[Pages H9773-H10052]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

CONFERENCE REPORT ON H.R. 1, NO CHILD LEFT BEHIND ACT OF 2001

Mr. BOEHNER submitted the following conference report and statement
on the bill (H.R. 1) to close the achievement gap with accountability,
flexibility, and choice, so that no child is left behind:

Conference Report (H. Rept. 107-334)

The committee of conference on the disagreeing votes of the two
Houses on the amendment of the Senate to the bill (H.R. 1), to close
the achievement gap with accountability, flexibility, and choice, so
that no child is left behind, having met, after full and free
conference, have agreed to recommend and do recommend to their
respective Houses as follows:
That the House recede from its disagreement to the amendment of the
Senate and agree to the same with an amendment as follows:
In lieu of the matter proposed to be inserted by the Senate
amendment, inserting the following:

SECTION 1. SHORT TITLE.

This title may be cited as the ``No Child Left Behind Act
of 2001''.

SEC. 2. TABLE OF CONTENTS.

The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. References.
Sec. 4. Transition.
Sec. 5. Effective date.

TITLE I--IMPROVING THE ACADEMIC ACHIEVEMENT OF THE DISADVANTAGED

Sec. 101. Improving the academic achievement of the disadvantaged.

TITLE II--PREPARING, TRAINING, AND RECRUITING HIGH QUALITY TEACHERS AND
PRINCIPALS

Sec. 201. Teacher and principal training and recruiting fund.
Sec. 202. Continuation of awards.

TITLE III--LANGUAGE INSTRUCTION FOR LIMITED ENGLISH PROFICIENT AND
IMMIGRANT STUDENTS

Sec. 301. Language instruction for limited English proficient children
and immigrant children and youth.

TITLE IV--21ST CENTURY SCHOOLS

Sec. 401. 21st century schools.

TITLE V--PROMOTING INFORMED PARENTAL CHOICE AND INNOVATIVE PROGRAMS

Sec. 501. Innovative programs and parental choice provisions.
Sec. 502. Continuation of awards.

TITLE VI--FLEXIBILITY AND ACCOUNTABILITY

Sec. 601. Flexibility and accountability.
Sec. 602. Amendment to the National Education Statistics Act of 1994.

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

Sec. 701. Indians.
Sec. 702. Conforming amendments.
Sec. 703. Savings provisions.

TITLE VIII--IMPACT AID PROGRAM

Sec. 801. Payments relating to Federal acquisition of real property.
Sec. 802. Payments for eligible federally connected children.
Sec. 803. Construction.
Sec. 804. State consideration of payments in providing State aid.
Sec. 805. Authorization of appropriations.

TITLE IX--GENERAL PROVISIONS

Sec. 901. General provisions.

TITLE X--REPEALS, REDESIGNATIONS, AND AMENDMENTS TO OTHER STATUTES

PART A--REPEALS

Sec. 1011. Repeals.
Sec. 1012. Conforming clerical and technical amendments.

PART B--REDESIGNATIONS

Sec. 1021. Comprehensive Regional Assistance Centers.
Sec. 1022. National Diffusion Network.
Sec. 1023. Eisenhower Regional Mathematics and Science Education
Consortia.
Sec. 1024. Technology-based technical assistance.
Sec. 1025. Conforming amendments.

PART C--HOMELESS EDUCATION

Sec. 1031. Short title.
Sec. 1032. Education for homeless children and youths.
Sec. 1033. Conforming amendment.
Sec. 1034. Technical amendment.N O T I C E

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[[Page H9774]]

PART D--NATIVE AMERICAN EDUCATION IMPROVEMENT

Sec. 1041. Short title.
Sec. 1042. Amendments to the Education Amendments of 1978.
Sec. 1043. Tribally Controlled Schools Act of 1988.
Sec. 1044. Lease payments by the Ojibwa Indian school.
Sec. 1045. Enrollment and general assistance payments.

PART E--HIGHER EDUCATION ACT OF 1965

Sec. 1051. Preparing tomorrow's teachers to use technology.
Sec. 1052. Continuation of awards.

PART F--GENERAL EDUCATION PROVISIONS ACT

Sec. 1061. Student privacy, parental access to information,
and administration of certain physical examinations to
minors.
Sec. 1062. Technical corrections.

PART G--MISCELLANEOUS OTHER STATUTES

Sec. 1071. Title 5 of the United States Code.
Sec. 1072. Department of Education Organization Act.
Sec. 1073. Education Flexibility Partnership Act of 1999.
Sec. 1074. Educational Research, Development,
Dissemination, and Improvement Act of 1994.
Sec. 1075. National Child Protection Act of 1993.
Sec. 1076. Technical and conforming amendments.

SEC. 3. REFERENCES.

Except as otherwise expressly provided, whenever in this
Act an amendment or repeal is expressed in terms of an
amendment to, or repeal of, a section or other provision, the
reference shall be considered to be made to a section or
other provision of the Elementary and Secondary Education Act
of 1965 (20 U.S.C. 6301 et seq.).

SEC. 4. TRANSITION.

(a) Multi-Year Awards.--Except as otherwise provided in
this Act, the recipient of a multi-year award under the
Elementary and Secondary Education Act of 1965, as that Act
was in effect prior to the date of enactment of this Act,
shall continue to receive funds in accordance with the terms
of that award, except that no additional funds may be awarded
after September 30, 2002.
(b) Planning and Transition.--Notwithstanding any other
provision of law, a recipient of funds under the Elementary
and Secondary Education Act of 1965, as that Act was in
effect prior to the date of enactment of this Act, may use
funds available to the recipient under that predecessor
authority to carry out necessary and reasonable planning and
transition activities in order to ensure an orderly
implementation of programs authorized by this Act, and the
amendments made by this Act.
(c) Orderly Transition.--The Secretary shall take such
steps as are necessary to provide for the orderly transition
to, and implementation of, programs authorized by this Act,
and by the amendments made by this Act, from programs
authorized by the Elementary and Secondary Education Act of
1965, as that Act was in effect prior to the date of
enactment of this Act.

SEC. 5. EFFECTIVE DATE.

(a) In General.--Except as otherwise provided in this Act,
this Act, and the amendments made by this Act, shall be
effective upon the date of enactment of this Act.
(b) Noncompetitive Programs.--With respect to
noncompetitive programs under which any funds are allotted by
the Secretary of Education to recipients on the basis of a
formula, this Act, and the amendments made by this Act, shall
take effect on July 1, 2002.
(c) Competitive Programs.--With respect to programs that
are conducted by the Secretary on a competitive basis, this
Act, and the amendments made by this Act, shall take effect
with respect to appropriations for use under those programs
for fiscal year 2002.
(d) Impact Aid.--With respect to title VIII (Impact Aid),
this Act, and the amendments made by this Act, shall take
effect with respect to appropriations for use under that
title for fiscal year 2002.

SEC. 6. TABLE OF CONTENTS OF ELEMENTARY AND SECONDARY
EDUCATION ACT OF 1965.

The Act is amended--
(1) in the heading of section 1, by striking ``table of
contents'' and inserting ``short title''; and
(2) by adding after section 1 the following new section:

``SEC. 2. TABLE OF CONTENTS.

``The table of contents for this Act is as follows:

``Sec. 1. Short title.
``Sec. 2. Table of contents.
``TITLE I--IMPROVING THE ACADEMIC ACHIEVEMENT OF THE DISADVANTAGED
``Sec. 1001. Statement of purpose.
``Sec. 1002. Authorization of appropriations.
``Sec. 1003. School improvement.
``Sec. 1004. State administration.

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

``Subpart 1--Basic Program Requirements

``Sec. 1111. State plans.
``Sec. 1112. Local educational agency plans.
``Sec. 1113. Eligible school attendance areas.
``Sec. 1114. Schoolwide programs.
``Sec. 1115. Targeted assistance schools.
``Sec. 1116. Academic assessment and local educational agency and
school improvement.
``Sec. 1117. School support and recognition.
``Sec. 1118. Parental involvement.
``Sec. 1119. Qualifications for teachers and paraprofessionals.
``Sec. 1120. Participation of children enrolled in private schools.
``Sec. 1120A. Fiscal requirements.
``Sec. 1120B. Coordination requirements.

``Subpart 2--Allocations

``Sec. 1121. Grants for the outlying areas and the secretary of the
interior.
``Sec. 1122. Allocations to States.
``Sec. 1124. Basic grants to local educational agencies.
``Sec. 1124A. Concentration grants to local educational agencies.
``Sec. 1125. Targeted grants to local educational agencies.
``Sec. 1125AA. Adequacy of funding of targeted grants to local
educational agencies in fiscal years after fiscal year
2001.
``Sec. 1125A. Education finance incentive grant program.
``Sec. 1126. Special allocation procedures.
``Sec. 1127. Carryover and waiver.

``PART B--STUDENT READING SKILLS IMPROVEMENT GRANTS

``Subpart 1--Reading First

``Sec. 1201. Purposes.
``Sec. 1202. Formula grants to State educational agencies.
``Sec. 1203. State formula grant applications.
``Sec. 1204. Targeted assistance grants.
``Sec. 1205. External evaluation.
``Sec. 1206. National activities.
``Sec. 1207. Information dissemination.
``Sec. 1208. Definitions.

``Subpart 2--Early Reading First

``Sec. 1221. Purposes; definitions.
``Sec. 1222. Local early reading first grants.
``Sec. 1223. Federal administration.
``Sec. 1224. Information dissemination.
``Sec. 1225. Reporting requirements.
``Sec. 1226. Evaluation.

``Subpart 3--William F. Goodling Even Start Family Literacy Programs

``Sec. 1231. Statement of purpose.
``Sec. 1232. Program authorized.
``Sec. 1233. State educational agency programs.
``Sec. 1234. Uses of funds.
``Sec. 1235. Program elements.
``Sec. 1236. Eligible participants.
``Sec. 1237. Applications.
``Sec. 1238. Award of subgrants.
``Sec. 1239. Evaluation.
``Sec. 1240. Indicators of program quality.
``Sec. 1241. Research.
``Sec. 1242. Construction.

``Subpart 4--Improving Literacy Through School Libraries

``Sec. 1251. Improving literacy through school libraries.

``PART C--EDUCATION OF MIGRATORY CHILDREN

``Sec. 1301. Program purpose.
``Sec. 1302. Program authorized.
``Sec. 1303. State allocations.
``Sec. 1304. State applications; services.
``Sec. 1305. Secretarial approval; peer review.
``Sec. 1306. Comprehensive needs assessment and service-delivery plan;
authorized activities.
``Sec. 1307. Bypass.
``Sec. 1308. Coordination of migrant education activities.
``Sec. 1309. Definitions.

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

``Sec. 1401. Purpose and program authorization.
``Sec. 1402. Payments for programs under this part.

``Subpart 1--State Agency Programs

``Sec. 1411. Eligibility.
``Sec. 1412. Allocation of funds.
``Sec. 1413. State reallocation of funds.
``Sec. 1414. State plan and State agency applications.
``Sec. 1415. Use of funds.
``Sec. 1416. Institution-wide projects.
``Sec. 1417. Three-year programs or projects.
``Sec. 1418. Transition services.
``Sec. 1419. Evaluation; technical assistance; annual model program.

``Subpart 2--Local Agency Programs

``Sec. 1421. Purpose.
``Sec. 1422. Programs operated by local educational agencies.
``Sec. 1423. Local educational agency applications.
``Sec. 1424. Uses of funds.
``Sec. 1425. Program requirements for correctional facilities receiving
funds under this section.
``Sec. 1426. Accountability.

``Subpart 3--General Provisions

``Sec. 1431. Program evaluations.
``Sec. 1432. Definitions.

``PART E--NATIONAL ASSESSMENT OF TITLE I

``Sec. 1501. Evaluations.
``Sec. 1502. Demonstrations of innovative practices.
``Sec. 1503. Assessment evaluation.
``Sec. 1504. Close up fellowship program.

``PART F--COMPREHENSIVE SCHOOL REFORM

``Sec. 1601. Purpose.
``Sec. 1602. Program authorization.
``Sec. 1603. State applications.
``Sec. 1604. State use of funds.

[[Page H9775]]

``Sec. 1605. Local applications.
``Sec. 1606. Local use of funds.
``Sec. 1607. Evaluation and reports.
``Sec. 1608. Quality initiatives.

``PART G--ADVANCED PLACEMENT PROGRAMS

``Sec. 1701. Short title.
``Sec. 1702. Purposes.
``Sec. 1703. Funding distribution rule.
``Sec. 1704. Advanced placement test fee program.
``Sec. 1705. Advanced placement incentive program grants.
``Sec. 1706. Supplement, not supplant.
``Sec. 1707. Definitions.
``Sec. 1708. Authorization of appropriations.

``PART H--SCHOOL DROPOUT PREVENTION

``Sec. 1801. Short title.
``Sec. 1802. Purpose.
``Sec. 1803. Authorization of appropriations.

``Subpart 1--Coordinated National Strategy

``Sec. 1811. National activities.

``Subpart 2--School Dropout Prevention Initiative

``Sec. 1821. Definitions.
``Sec. 1822. Program authorized.
``Sec. 1823. Applications.
``Sec. 1824. State reservation.
``Sec. 1825. Strategies and capacity building.
``Sec. 1826. Selection of local educational agencies for subgrants.
``Sec. 1827. Community based organizations.
``Sec. 1828. Technical assistance.
``Sec. 1829. School dropout rate calculation.
``Sec. 1830. Reporting and accountability.

``PART I--GENERAL PROVISIONS

``Sec. 1901. Federal regulations.
``Sec. 1902. Agreements and records.
``Sec. 1903. State administration.
``Sec. 1904. Local educational agency spending audits.
``Sec. 1905. Prohibition against Federal mandates, direction, or
control.
``Sec. 1906. Rule of construction on equalized spending.
``Sec. 1907. State report on dropout data.
``Sec. 1908. Regulations for sections 1111 and 1116.
``TITLE II--PREPARING, TRAINING, AND RECRUITING HIGH QUALITY TEACHERS
AND PRINCIPALS

``PART A--TEACHER AND PRINCIPAL TRAINING AND RECRUITING FUND

``Sec. 2101. Purpose.
``Sec. 2102. Definitions.
``Sec. 2103. Authorizations of appropriations.

``Subpart 1--Grants to States

``Sec. 2111. Allotments to States.
``Sec. 2112. State applications.
``Sec. 2113. State use of funds.

``Subpart 2--Subgrants to Local Educational Agencies

``Sec. 2121. Allocations to local educational agencies.
``Sec. 2122. Local applications and needs assessment.
``Sec. 2123. Local use of funds.

``Subpart 3--Subgrants to Eligible Partnerships

``Sec. 2131. Definitions.
``Sec. 2132. Subgrants.
``Sec. 2133. Applications.
``Sec. 2134. Use of funds.

``Subpart 4--Accountability

``Sec. 2141. Technical assistance and accountability.

``Subpart 5--National Activities

``Sec. 2151. National activities of demonstrated effectiveness.

``PART B--MATHEMATICS AND SCIENCE PARTNERSHIPS

``Sec. 2201. Purpose; definitions.
``Sec. 2202. Grants for mathematics and science partnerships.
``Sec. 2203. Authorization of appropriations.

``PART C--INNOVATION FOR TEACHER QUALITY

``Subpart 1--Transitions to Teaching

``CHAPTER A--TROOPS-TO-TEACHERS PROGRAM

``Sec. 2301. Definitions.
``Sec. 2302. Authorization of Troops-to-Teachers Program.
``Sec. 2303. Recruitment and selection of program participants.
``Sec. 2304. Participation agreement and financial assistance.
``Sec. 2305. Participation by States.
``Sec. 2306. Support of innovative preretirement teacher certification
programs.
``Sec. 2307. Reporting requirements.

``CHAPTER B--TRANSITION TO TEACHING PROGRAM

``Sec. 2311. Purposes.
``Sec. 2312. Definitions.
``Sec. 2313. Grant program.
``Sec. 2314. Evaluation and accountability for recruiting and retaining
teachers.

``CHAPTER C--GENERAL PROVISIONS

``Sec. 2321. Authorization of appropriations.

``Subpart 2--National Writing Project

``Sec. 2331. Purposes.
``Sec. 2332. National Writing Project.

``Subpart 3--Civic Education

``Sec. 2341. Short title.
``Sec. 2342. Purpose.
``Sec. 2343. General authority.
``Sec. 2344. We the People program.
``Sec. 2345. Cooperative civic education and economic education
exchange programs.
``Sec. 2346. Authorization of appropriations.

``Subpart 4--Teaching of Traditional American History

``Sec. 2351. Establishment of program.
``Sec. 2352. Authorization of appropriations.

``Subpart 5--Teacher Liability Protection

``Sec. 2361. Short title.
``Sec. 2362. Purpose.
``Sec. 2363. Definitions.
``Sec. 2364. Applicability.
``Sec. 2365. Preemption and election of State nonapplicability.
``Sec. 2366. Limitation on liability for teachers.
``Sec. 2367. Allocation of responsibility for noneconomic loss.
``Sec. 2368. Effective date.

``PART D--ENHANCING EDUCATION THROUGH TECHNOLOGY

``Sec. 2401. Short title.
``Sec. 2402. Purposes and goals.
``Sec. 2403. Definitions.
``Sec. 2404. Authorization of appropriations.

``Subpart 1--State and Local Technology Grants

``Sec. 2411. Allotment and reallotment.
``Sec. 2412. Use of allotment by State.
``Sec. 2413. State applications.
``Sec. 2414. Local applications.
``Sec. 2415. State activities.
``Sec. 2416. Local activities.

``Subpart 2--National Technology Activities

``Sec. 2421. National activities.
``Sec. 2422. National education technology plan.

``Subpart 3--Ready-to-Learn Television

``Sec. 2431. Ready-to-Learn Television.

``Subpart 4--Limitation on Availability of Certain Funds for Schools

``Sec. 2441. Internet safety.
``TITLE III--LANGUAGE INSTRUCTION FOR LIMITED ENGLISH PROFICIENT AND
IMMIGRANT STUDENTS
``Sec. 3001. Authorizations of appropriations; condition on
effectiveness of parts.

``PART A--ENGLISH LANGUAGE ACQUISITION, LANGUAGE ENHANCEMENT, AND
ACADEMIC ACHIEVEMENT ACT

``Sec. 3101. Short title.
``Sec. 3102. Purposes.

``Subpart 1--Grants and Subgrants for English Language Acquisition and
Language Enhancement

``Sec. 3111. Formula grants to States.
``Sec. 3112. Native American and Alaska Native children in school.
``Sec. 3113. State and specially qualified agency plans.
``Sec. 3114. Within-State allocations.
``Sec. 3115. Subgrants to eligible entities.
``Sec. 3116. Local plans.

``Subpart 2--Accountability and Administration

``Sec. 3121. Evaluations.
``Sec. 3122. Achievement objectives and accountability.
``Sec. 3123. Reporting requirements.
``Sec. 3124. Coordination with related programs.
``Sec. 3125. Rules of construction.
``Sec. 3126. Legal authority under State law.
``Sec. 3127. Civil rights.
``Sec. 3128. Programs for Native Americans and Puerto Rico.
``Sec. 3129. Prohibition.

``Subpart 3--National Activities

``Sec. 3131. National professional development project.

``Subpart 4--Definitions

``Sec. 3141. Eligible entity.

``PART B--IMPROVING LANGUAGE INSTRUCTION EDUCATIONAL PROGRAMS

``Sec. 3201. Short title.
``Sec. 3202. Purpose.
``Sec. 3203. Native American children in school.
``Sec. 3204. Residents of the territories and freely associated states.

``Subpart 1--Program Development and Enhancement

``Sec. 3211. Financial assistance for language instruction educational
programs.
``Sec. 3212. Program enhancement activities.
``Sec. 3213. Comprehensive school and systemwide improvement
activities.
``Sec. 3214. Applications.
``Sec. 3215. Capacity building.
``Sec. 3216. Programs for Native Americans and Puerto Rico.
``Sec. 3217. Evaluations.
``Sec. 3218. Construction.

``Subpart 2--Research, Evaluation, and Dissemination

``Sec. 3221. Authority.
``Sec. 3222. Research.
``Sec. 3223. Academic excellence awards.
``Sec. 3224. State grant program.
``Sec. 3225. Instruction materials development.

``Subpart 3--Professional Development

``Sec. 3231. Professional development grants.

``Subpart 4--Emergency Immigrant Education Program

``Sec. 3241. Purpose.
``Sec. 3242. State administrative costs.
``Sec. 3243. Withholding.
``Sec. 3244. State allotments.
``Sec. 3245. State applications.
``Sec. 3246. Administrative provisions.
``Sec. 3247. Uses of funds.
``Sec. 3248. Reports.

``Subpart 5--Administration

``Sec. 3251. Release time.
``Sec. 3252. Notification.
``Sec. 3253. Coordination and reporting requirements.

``PART C--GENERAL PROVISIONS

``Sec. 3301. Definitions.
``Sec. 3302. Parental notification.
``Sec. 3303. National Clearinghouse.
``Sec. 3304. Regulations.

[[Page H9776]]

``TITLE IV--21ST CENTURY SCHOOLS

``PART A--SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES

``Sec. 4001. Short title.
``Sec. 4002. Purpose.
``Sec. 4003. Authorization of appropriations.

``Subpart 1--State Grants

``Sec. 4111. Reservations and allotments.
``Sec. 4112. Reservation of State funds for safe and drug-free schools.
``Sec. 4113. State application.
``Sec. 4114. Local educational agency program.
``Sec. 4115. Authorized activities.
``Sec. 4116. Reporting.
``Sec. 4117. Programs for Native Hawaiians.

``Subpart 2--National Programs

``Sec. 4121. Federal activities.
``Sec. 4122. Impact evaluation.
``Sec. 4123. Hate crime prevention.
``Sec. 4124. Safe and Drug-Free Schools and Communities Advisory
Committee.
``Sec. 4125. National coordinator program.
``Sec. 4126. Community service grant program.
``Sec. 4127. School Security Technology and Resource Center.
``Sec. 4128. National Center for School and Youth Safety.
``Sec. 4129. Grants to reduce alcohol abuse.
``Sec. 4130. Mentoring programs.

``Subpart 3--Gun Possession

``Sec. 4141. Gun-free requirements.

``Subpart 4--General Provisions

``Sec. 4151. Definitions.
``Sec. 4152. Message and materials.
``Sec. 4153. Parental consent.
``Sec. 4154. Prohibited uses of funds.
``Sec. 4155. Transfer of school disciplinary records.

``PART B--21ST CENTURY COMMUNITY LEARNING CENTERS

``Sec. 4201. Purpose; definitions.
``Sec. 4202. Allotments to States.
``Sec. 4203. State application.
``Sec. 4204. Local competitive grant program.
``Sec. 4205. Local activities.
``Sec. 4206. Authorization of appropriations.

``PART C--ENVIRONMENTAL TOBACCO SMOKE

``Sec. 4301. Short title.
``Sec. 4302. Definitions.
``Sec. 4303. Nonsmoking policy for children's services.
``Sec. 4304. Preemption.
``TITLE V--PROMOTING INFORMED PARENTAL CHOICE AND INNOVATIVE PROGRAMS

``PART A--INNOVATIVE PROGRAMS

``Sec. 5101. Purposes, State and local responsibility.

``Subpart 1--State and Local Programs

``Sec. 5111. Allotment to States.
``Sec. 5112. Allocation to local educational agencies.

``Subpart 2--State Programs

``Sec. 5121. State uses of funds.
``Sec. 5122. State applications.

``Subpart 3--Local Innovative Education Programs

``Sec. 5131. Local uses of funds.
``Sec. 5132. Administrative authority.
``Sec. 5133. Local applications.

``Subpart 4--General Provisions

``Sec. 5141. Maintenance of effort.
``Sec. 5142. Participation of children enrolled in private schools.
``Sec. 5143. Federal administration.
``Sec. 5144. Supplement, not supplant.
``Sec. 5145. Definitions.
``Sec. 5146. Authorization of appropriations.

``PART B--PUBLIC CHARTER SCHOOLS

``Subpart 1--Charter School Programs

``Sec. 5201. Purpose.
``Sec. 5202. Program authorized.
``Sec. 5203. Applications.
``Sec. 5204. Administration.
``Sec. 5205. National activities.
``Sec. 5206. Federal formula allocation during first year and for
successive enrollment expansions.
``Sec. 5207. Solicitation of input from charter school operators.
``Sec. 5208. Records transfer.
``Sec. 5209. Paperwork reduction.
``Sec. 5210. Definitions.
``Sec. 5211. Authorization of appropriations.

``Subpart 2--Credit Enhancement Initiatives To Assist Charter School
Facility Acquisition, Construction, and Renovation

``Sec. 5221. Purpose.
``Sec. 5222. Grants to eligible entities.
``Sec. 5223. Applications.
``Sec. 5224. Charter school objectives.
``Sec. 5225. Reserve account.
``Sec. 5226. Limitation on administrative costs.
``Sec. 5227. Audits and reports.
``Sec. 5228. No full faith and credit for grantee obligations.
``Sec. 5229. Recovery of funds.
``Sec. 5230. Definitions.
``Sec. 5231. Authorization of appropriations.

``Subpart 3--Voluntary Public School Choice Programs

``Sec. 5241. Grants.
``Sec. 5242. Uses of funds.
``Sec. 5243. Applications.
``Sec. 5244. Priorities.
``Sec. 5245. Requirements and voluntary participation.
``Sec. 5246. Evaluations.
``Sec. 5247. Definitions.
``Sec. 5248. Authorization of appropriations.

``PART C--MAGNET SCHOOLS ASSISTANCE

``Sec. 5301. Findings and purpose.
``Sec. 5302. Definition.
``Sec. 5303. Program authorized.
``Sec. 5304. Eligibility.
``Sec. 5305. Applications and requirements.
``Sec. 5306. Priority.
``Sec. 5307. Use of funds.
``Sec. 5308. Prohibition.
``Sec. 5309. Limitations.
``Sec. 5310. Evaluations.
``Sec. 5311. Authorization of appropriations; reservation.

``PART D--FUND FOR THE IMPROVEMENT OF EDUCATION

``Sec. 5401. Authorization of appropriations.

``Subpart 1--Fund for the Improvement of Education

``Sec. 5411. Programs authorized.
``Sec. 5412. Applications.
``Sec. 5413. Program requirements.
``Sec. 5414. Studies of national significance.

``Subpart 2--Elementary and Secondary School Counseling Programs

``Sec. 5421. Elementary and secondary school counseling programs.

``Subpart 3--Partnerships in Character Education

``Sec. 5431. Partnerships in Character Education program.

``Subpart 4--Smaller Learning Communities

``Sec. 5441. Smaller Learning Communities.

``Subpart 5--Reading Is Fundamental--Inexpensive Book Distribution
Program

``Sec. 5451. Inexpensive book distribution program for reading
motivation.

``Subpart 6--Gifted and Talented Students

``Sec. 5461. Short title.
``Sec. 5462. Purpose.
``Sec. 5463. Rule of construction.
``Sec. 5464. Authorized programs.
``Sec. 5465. Program priorities.
``Sec. 5466. General provisions.

``Subpart 7--Star Schools Program

``Sec. 5471. Short title.
``Sec. 5472. Purposes.
``Sec. 5473. Grant program authorized.
``Sec. 5474. Applications.
``Sec. 5475. Other grant assistance.
``Sec. 5476. Administrative provisions.
``Sec. 5477. Definitions.

``Subpart 8--Ready to Teach

``Sec. 5481. Grants.
``Sec. 5482. Application required.
``Sec. 5483. Reports and evaluation.
``Sec. 5484. Digital educational programming grants.
``Sec. 5485. Administrative costs.

``Subpart 9--Foreign Language Assistance Program

``Sec. 5491. Short title.
``Sec. 5492. Program authorized.
``Sec. 5493. Applications.
``Sec. 5494. Elementary school foreign language incentive program.

``Subpart 10--Physical Education

``Sec. 5501. Short title.
``Sec. 5502. Purpose.
``Sec. 5503. Program authorized.
``Sec. 5504. Applications.
``Sec. 5505. Requirements.
``Sec. 5506. Administrative provisions.
``Sec. 5507. Supplement, not supplant.

``Subpart 11--Community Technology Centers

``Sec. 5511. Purpose and program authorization.
``Sec. 5512. Eligibility and application requirements.
``Sec. 5513. Uses of funds.

``Subpart 12--Educational, Cultural, Apprenticeship, and Exchange
Programs for Alaska Natives, Native Hawaiians, and Their Historical
Whaling and Trading Partners in Massachusetts

``Sec. 5521. Short title.
``Sec. 5522. Findings and purposes.
``Sec. 5523. Program authorization.
``Sec. 5524. Administrative provisions.
``Sec. 5525. Availability of funds.
``Sec. 5526. Definitions.

``Subpart 13--Excellence in Economic Education

``Sec. 5531. Short title.
``Sec. 5532. Purpose and goals.
``Sec. 5533. Grant program authorized.
``Sec. 5534. Applications.
``Sec. 5535. Requirements.
``Sec. 5536. Administrative provisions.
``Sec. 5537. Supplement, not supplant.

``Subpart 14--Grants to Improve the Mental Health of Children

``Sec. 5541. Grants for the integration of schools and mental health
systems.
``Sec. 5542. Promotion of school readiness through early childhood
emotional and social development.

``Subpart 15--Arts in Education

``Sec. 5551. Assistance for arts education.

``Subpart 16--Parental Assistance and Local Family Information Centers

``Sec. 5561. Purposes.
``Sec. 5562. Grants authorized.
``Sec. 5563. Applications.
``Sec. 5564. Uses of funds.
``Sec. 5565. Administrative provisions.
``Sec. 5566. Local family information centers.

``Subpart 17--Combatting Domestic Violence

``Sec. 5571. Grants to combat the impact of experiencing or witnessing
domestic violence on elementary and secondary school
children.

``Subpart 18--Healthy, High-Performance Schools

``Sec. 5581. Grant program authorized.
``Sec. 5582. State uses of funds.
``Sec. 5583. Local uses of funds.
``Sec. 5584. Report to Congress.
``Sec. 5585. Limitations.

[[Page H9777]]

``Sec. 5586. Healthy, high-performance school building defined.

``Subpart 19--Grants for Capital Expenses of Providing Equitable
Services for Private School Students

``Sec. 5591. Grant program authorized.
``Sec. 5592. Uses of funds.
``Sec. 5593. Allotments to States.
``Sec. 5594. Subgrants to local educational agencies.
``Sec. 5595. Capital expenses defined.
``Sec. 5596. mination.

``Subpart 20--Additional Assistance for Certain Local Educational
Agencies Impacted by Federal Property Acquisition

``Sec. 5601. Reservation.
``Sec. 5602. Eligibility.
``Sec. 5603. Maximum amount.

``Subpart 21--Women's Educational Equity Act

``Sec. 5611. Short title and findings.
``Sec. 5612. Statement of purposes.
``Sec. 5613. Programs authorized.
``Sec. 5614. Applications.
``Sec. 5615. Criteria and priorities.
``Sec. 5616. Report.
``Sec. 5617. Administration.
``Sec. 5618. Amount.
``TITLE VI--FLEXIBILITY AND ACCOUNTABILITY

``PART A--IMPROVING ACADEMIC ACHIEVEMENT

``Subpart 1--Accountability

``Sec. 6111. Grants for State assessments and related activities.
``Sec. 6112. Grants for enhanced assessment instruments.
``Sec. 6113. Funding.

``Subpart 2--Funding Transferability for State and Local Educational
Agencies

``Sec. 6121. Short title.
``Sec. 6122. Purpose.
``Sec. 6123. Transferability of funds.

``Subpart 3--State and Local Flexibility Demonstration

``Sec. 6131. Short title.
``Sec. 6132. Purpose.
``Sec. 6133. General provision.

``CHAPTER A--STATE FLEXIBILITY AUTHORITY

``Sec. 6141. State flexibility.
``Sec. 6142. Consolidation and use of funds.
``Sec. 6143. Performance review and penalties.
``Sec. 6144. Renewal of grant of flexibility authority.

``CHAPTER B--LOCAL FLEXIBILITY DEMONSTRATION

``Sec. 6151. Local flexibility demonstration agreements.
``Sec. 6152. Consolidation and use of funds.
``Sec. 6153. Limitations on administrative expenditures.
``Sec. 6154. Performance review and penalties.
``Sec. 6155. Renewal of local flexibility demonstration agreement.
``Sec. 6156. Reports.

``Subpart 4--State Accountability for Adequate Yearly Progress

``Sec. 6161. Accountability for adequate yearly progress.
``Sec. 6162. Peer review.
``Sec. 6163. Technical assistance.
``Sec. 6164. Report to Congress.

``PART B--RURAL EDUCATION INITIATIVE

``Sec. 6201. Short title.
``Sec. 6202. Purpose.

``Subpart 1--Small, Rural School Achievement Program

``Sec. 6211. Use of applicable funding.
``Sec. 6212. Grant program authorized.
``Sec. 6213. Accountability.

``Subpart 2--Rural and Low-Income School Program

``Sec. 6221. Program authorized.
``Sec. 6222. Uses of funds.
``Sec. 6223. Applications.
``Sec. 6224. Accountability.

``Subpart 3--General Provisions

``Sec. 6231. Annual average daily attendance determination.
``Sec. 6232. Supplement, not supplant.
``Sec. 6233. Rule of construction.
``Sec. 6234. Authorization of appropriations.

``PART C--GENERAL PROVISIONS

``Sec. 6301. Prohibition against Federal mandates, direction, or
control.
``Sec. 6302. Rule of construction on equalized spending.
``TITLE VII--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

``PART A--INDIAN EDUCATION

``Sec. 7101. Statement of policy.
``Sec. 7102. Purpose.

``Subpart 1--Formula Grants to Local Educational Agencies

``Sec. 7111. Purpose.
``Sec. 7112. Grants to local educational agencies and tribes.
``Sec. 7113. Amount of grants.
``Sec. 7114. Applications.
``Sec. 7115. Authorized services and activities.
``Sec. 7116. Integration of services authorized.
``Sec. 7117. Student eligibility forms.
``Sec. 7118. Payments.
``Sec. 7119. State educational agency review.

``Subpart 2--Special Programs and Projects To Improve Educational
Opportunities for Indian Children

``Sec. 7121. Improvement of educational opportunities for Indian
children.
``Sec. 7122. Professional development for teachers and education
professionals.

``Subpart 3--National Activities

``Sec. 7131. National research activities.
``Sec. 7132. In-service training for teachers of Indian children.
``Sec. 7133. Fellowships for Indian students.
``Sec. 7134. Gifted and talented Indian students.
``Sec. 7135. Grants to tribes for education administrative planning and
development.
``Sec. 7136. Improvement of educational opportunities for adult
Indians.

``Subpart 4--Federal Administration

``Sec. 7141. National Advisory Council on Indian Education.
``Sec. 7142. Peer review.
``Sec. 7143. Preference for Indian applicants.
``Sec. 7144. Minimum grant criteria.

``Subpart 5--Definitions; Authorizations of Appropriations

``Sec. 7151. Definitions.
``Sec. 7152. Authorizations of appropriations.

``PART B--NATIVE HAWAIIAN EDUCATION

``Sec. 7201. Short title.
``Sec. 7202. Findings.
``Sec. 7203. Purposes.
``Sec. 7204. Native Hawaiian Education Council and island councils.
``Sec. 7205. Program authorized.
``Sec. 7206. Administrative provisions.
``Sec. 7207. Definitions.

``PART C--ALASKA NATIVE EDUCATION

``Sec. 7301. Short title.
``Sec. 7302. Findings.
``Sec. 7303. Purposes.
``Sec. 7304. Program authorized.
``Sec. 7305. Administrative provisions.
``Sec. 7306. Definitions.
``TITLE VIII--IMPACT AID
``Sec. 8001. Purpose.
``Sec. 8002. Payments relating to Federal acquisition of real property.
``Sec. 8003. Payments for eligible federally connected children.
``Sec. 8004. Policies and procedures relating to children residing on
Indian lands.
``Sec. 8005. Application for payments under sections 8002 and 8003.
``Sec. 8007. Construction.
``Sec. 8008. Facilities.
``Sec. 8009. State consideration of payments in providing State aid.
``Sec. 8010. Federal administration.
``Sec. 8011. Administrative hearings and judicial review.
``Sec. 8012. Forgiveness of overpayments.
``Sec. 8013. Definitions.
``Sec. 8014. Authorization of appropriations.
``TITLE IX--GENERAL PROVISIONS

``PART A--DEFINITIONS

``Sec. 9101. Definitions.
``Sec. 9102. Applicability of title.
``Sec. 9103. Applicability to Bureau of Indian Affairs operated
schools.

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

``Sec. 9201. Consolidation of State administrative funds for elementary
and secondary education programs.
``Sec. 9202. Single local educational agency States.
``Sec. 9203. Consolidation of funds for local administration.
``Sec. 9204. Consolidated set-aside for Department of the Interior
funds.

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

``Sec. 9301. Purpose.
``Sec. 9302. Optional consolidated State plans or applications.
``Sec. 9303. Consolidated reporting.
``Sec. 9304. General applicability of State educational agency
assurances.
``Sec. 9305. Consolidated local plans or applications.
``Sec. 9306. Other general assurances.

``PART D--WAIVERS

``Sec. 9401. Waivers of statutory and regulatory requirements.

``PART E--UNIFORM PROVISIONS

``Subpart 1--Private Schools

``Sec. 9501. Participation by private school children and teachers.
``Sec. 9502. Standards for by-pass.
``Sec. 9503. Complaint process for participation of private school
children.
``Sec. 9504. By-pass determination process.
``Sec. 9505. Prohibition against funds for religious worship or
instruction.
``Sec. 9506. Private, religious, and home schools.

``Subpart 2--Other Provisions

``Sec. 9521. Maintenance of effort.
``Sec. 9522. Prohibition regarding State aid.
``Sec. 9523. Privacy of assessment results.
``Sec. 9524. School prayer.
``Sec. 9525. Equal access to public school facilities.
``Sec. 9526. General prohibitions.
``Sec. 9527. Prohibitions on Federal Government and use of Federal
funds.
``Sec. 9528. Armed forces recruiter access to students and student
recruiting information.
``Sec. 9529. Prohibition on federally sponsored testing.
``Sec. 9530. Limitations on national testing or certification for
teachers.
``Sec. 9531. Prohibition on nationwide database.
``Sec. 9532. Unsafe school choice option.
``Sec. 9533. Prohibition on discrimination.
``Sec. 9534. Civil rights.
``Sec. 9535. Rulemaking.
``Sec. 9536. Severability.

``PART F--EVALUATIONS

``Sec. 9601. Evaluations.''.

[[Page H9778]]

TITLE I--IMPROVING THE ACADEMIC ACHIEVEMENT OF THE DISADVANTAGED

SEC. 101. IMPROVING THE ACADEMIC ACHIEVEMENT OF THE
DISADVANTAGED.

Title I of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 6301 et seq.) is amended to read as follows:
``TITLE I--IMPROVING THE ACADEMIC ACHIEVEMENT OF THE DISADVANTAGED

``SEC. 1001. STATEMENT OF PURPOSE.

``The purpose of this title is to ensure that all children
have a fair, equal, and significant opportunity to obtain a
high-quality education and reach, at a minimum, proficiency
on challenging State academic achievement standards and state
academic assessments. This purpose can be accomplished by--
``(1) ensuring that high-quality academic assessments,
accountability systems, teacher preparation and training,
curriculum, and instructional materials are aligned with
challenging State academic standards so that students,
teachers, parents, and administrators can measure progress
against common expectations for student academic achievement;
``(2) meeting the educational needs of low-achieving
children in our Nation's highest-poverty schools, limited
English proficient children, migratory children, children
with disabilities, Indian children, neglected or delinquent
children, and young children in need of reading assistance;
``(3) closing the achievement gap between high- and low-
performing children, especially the achievement gaps between
minority and nonminority students, and between disadvantaged
children and their more advantaged peers;
``(4) holding schools, local educational agencies, and
States accountable for improving the academic achievement of
all students, and identifying and turning around low-
performing schools that have failed to provide a high-quality
education to their students, while providing alternatives to
students in such schools to enable the students to receive a
high-quality education;
``(5) distributing and targeting resources sufficiently to
make a difference to local educational agencies and schools
where needs are greatest;
``(6) improving and strengthening accountability, teaching,
and learning by using State assessment systems designed to
ensure that students are meeting challenging State academic
achievement and content standards and increasing achievement
overall, but especially for the disadvantaged;
``(7) providing greater decisionmaking authority and
flexibility to schools and teachers in exchange for greater
responsibility for student performance;
``(8) providing children an enriched and accelerated
educational program, including the use of schoolwide programs
or additional services that increase the amount and quality
of instructional time;
``(9) promoting schoolwide reform and ensuring the access
of children to effective, scientifically based instructional
strategies and challenging academic content;
``(10) significantly elevating the quality of instruction
by providing staff in participating schools with substantial
opportunities for professional development;
``(11) coordinating services under all parts of this title
with each other, with other educational services, and, to the
extent feasible, with other agencies providing services to
youth, children, and families; and
``(12) affording parents substantial and meaningful
opportunities to participate in the education of their
children.

``SEC. 1002. AUTHORIZATION OF APPROPRIATIONS.

``(a) Local Educational Agency Grants.--For the purpose of
carrying out part A, there are authorized to be
appropriated--
``(1) $13,500,000,000 for fiscal year 2002;
``(2) $16,000,000,000 for fiscal year 2003;
``(3) $18,500,000,000 for fiscal year 2004;
``(4) $20,500,000,000 for fiscal year 2005;
``(5) $22,750,000,000 for fiscal year 2006; and
``(6) $25,000,000,000 for fiscal year 2007.
``(b) Reading First.--
``(1) Reading first.--For the purpose of carrying out
subpart 1 of part B, there are authorized to be appropriated
$900,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.
``(2) Early reading first.--For the purpose of carrying out
subpart 2 of part B, there are authorized to be appropriated
$75,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.
``(3) Even start.--For the purpose of carrying out subpart
3 of part B, there are authorized to be appropriated
$260,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.
``(4) Improving literacy through school libraries.--For the
purpose of carrying out subpart 4 of part B, there are
authorized to be appropriated $250,000,000 for fiscal year
2002 and such sums as may be necessary for each of the 5
succeeding fiscal years.
``(c) Education of Migratory Children.--For the purpose of
carrying out part C, there are authorized to be appropriated
$410,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.
``(d) Prevention and Intervention Programs for Youth Who
Are Neglected, Delinquent, or at Risk.--For the purpose of
carrying out part D, there are authorized to be appropriated
$50,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.
``(e) Federal Activities.--
``(1) Sections 1501 and 1502.--For the purpose of carrying
out sections 1501 and 1502, there are authorized to be
appropriated such sums as may be necessary for fiscal year
2002 and each of the 5 succeeding fiscal years.
``(2) Section 1504.--
``(A) In general.--For the purpose of carrying out section
1504, there are authorized to be appropriated such sums as
may be necessary for fiscal year 2002 and for each of the 5
succeeding fiscal years.
``(B) Special rule.--Of the funds appropriated pursuant to
subparagraph (A), not more than 30 percent may be used for
teachers associated with students participating in the
programs described in subsections (a)(1), (b)(1), and (c)(1).
``(f) Comprehensive School Reform.--For the purpose of
carrying out part F, there are authorized to be appropriated
such sums as may be necessary for fiscal year 2002 and each
of the 5 succeeding fiscal years.
``(g) Advanced Placement.--For the purposes of carrying out
part G, there are authorized to be appropriated such sums for
fiscal year 2002 and each 5 succeeding fiscal year.
``(h) School Dropout Prevention.--For the purpose of
carrying out part H, there are authorized to be appropriated
$125,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years, of
which--
``(1) up to 10 percent shall be available to carry out
subpart 1 of part H for each fiscal year; and
``(2) the remainder shall be available to carry out subpart
2 of part H for each fiscal year.
``(i) School Improvement.--For the purpose of carrying out
section 1003(g), there are authorized to be appropriated
$500,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.

``SEC. 1003. SCHOOL IMPROVEMENT.

``(a) State Reservations.--Each State shall reserve 2
percent of the amount the State receives under subpart 2 of
part A for fiscal years 2002 and 2003, and 4 percent of the
amount received under such subpart for fiscal years 2004
through 2007, to carry out subsection (b) and to carry out
the State's responsibilities under sections 1116 and 1117,
including carrying out the State educational agency's
statewide system of technical assistance and support for
local educational agencies.
``(b) Uses.--Of the amount reserved under subsection (a)
for any fiscal year, the State educational agency--
``(1) shall allocate not less than 95 percent of that
amount directly to local educational agencies for schools
identified for school improvement, corrective action, and
restructuring, for activities under section 1116(b); or
``(2) may, with the approval of the local educational
agency, directly provide for these activities or arrange for
their provision through other entities such as school support
teams or educational service agencies.
``(c) Priority.--The State educational agency, in
allocating funds to local educational agencies under this
section, shall give priority to local educational agencies
that--
``(1) serve the lowest-achieving schools;
``(2) demonstrate the greatest need for such funds; and
``(3) demonstrate the strongest commitment to ensuring that
such funds are used to enable the lowest-achieving schools to
meet the progress goals in school improvement plans under
section 1116 (b)(3)(A)(v).
``(d) Unused Funds.--If, after consultation with local
educational agencies in the State, the State educational
agency determines that the amount of funds reserved to carry
out subsection (b) is greater than the amount needed to
provide the assistance described in that subsection, the
State educational agency shall allocate the excess amount to
local educational agencies in accordance with--
``(1) the relative allocations the State educational agency
made to those agencies for that fiscal year under subpart 2
of part A; or
``(2) section 1126(c).
``(e) Special Rule.--Notwithstanding any other provision of
this section, the amount of funds reserved by the State
educational agency under subsection (a) in any fiscal year
shall not decrease the amount of funds each local educational
agency receives under subpart 2 below the amount received
by such local educational agency under such subpart for
the preceding fiscal year.
``(f) Reporting.--The State educational agency shall make
publicly available a list of those schools that have received
funds or services pursuant to subsection (b) and the
percentage of students from each school from families with
incomes below the poverty line.
``(g) Assistance for Local School Improvement.--
``(1) Program authorized.--The Secretary shall award grants
to States to enable the States to provide subgrants to local
educational agencies for the purpose of providing assistance
for school improvement consistent with section 1116.
``(2) State allotments.--Such grants shall be allotted
among States, the Bureau of Indian Affairs, and the outlying
areas, in proportion to the funds received by the States, the
Bureau of Indian Affairs, and the outlying areas,
respectively, for the fiscal year under parts A, C, and D of
this title. The Secretary shall expeditiously allot a portion
of such funds to States for the purpose of assisting local
educational agencies and schools that were in school
improvement status on the date preceding the date of
enactment of the No Child Left Behind Act of 2001.
``(3) Reallocations.--If a State does not receive funds
under this subsection, the Secretary shall reallocate such
funds to other States in the same proportion funds are
allocated under paragraph (2).
``(4) State applications.--Each State educational agency
that desires to receive funds under this subsection shall
submit an application to the Secretary at such time, and
containing such information, as the Secretary shall

[[Page H9779]]

reasonably require, except that such requirement shall be
waived if a State educational agency submitted such
information as part of its State plan under this part. Each
State application shall describe how the State educational
agency will allocate such funds in order to assist the State
educational agency and local educational agencies in
complying with school improvement, corrective action, and
restructuring requirements of section 1116.
``(5) Local educational agency grants.--A grant to a local
educational agency under this subsection shall be--
``(A) of sufficient size and scope to support the
activities required under sections 1116 and 1117, but not
less than $50,000 and not more than $500,000 for each
participating school;
``(B) integrated with other funds awarded by the State
under this Act; and
``(C) renewable for 2 additional 1-year periods if schools
are meeting the goals in their school improvement plans
developed under section 1116.
``(6) Priority.--The State, in awarding such grants, shall
give priority to local educational agencies with the lowest-
achieving schools that demonstrate--
``(A) the greatest need for such funds; and
``(B) the strongest commitment to ensuring that such funds
are used to provide adequate resources to enable the lowest-
achieving schools to meet the goals under school and local
educational agency improvement, corrective action, and
restructuring plans under section 1116.
``(7) Allocation.--A State educational agency that receives
a grant under this subsection shall allocate at least 95
percent of the grant funds directly to local educational
agencies for schools identified for school improvement,
corrective action, or restructuring to carry out activities
under section 1116(b), or may, with the approval of the local
educational agency, directly provide for these activities or
arrange for their provision through other entities such as
school support teams or educational service agencies.
``(8) Administrative costs.--A State educational agency
that receives a grant award under this subsection may reserve
not more than 5 percent of such grant funds for
administration, evaluation, and technical assistance
expenses.
``(9) Local awards.--Each local educational agency that
applies for assistance under this subsection shall describe
how it will provide the lowest-achieving schools the
resources necessary to meet goals under school and local
educational agency improvement, corrective action, and
restructuring plans under section 1116.

``SEC. 1004. STATE ADMINISTRATION.

``(a) In General.--Except as provided in subsection (b), to
carry out administrative duties assigned under parts A, C,
and D of this title, each State may reserve the greater of--
``(1) 1 percent of the amounts received under such parts;
or
``(2) $400,000 ($50,000 in the case of each outlying area).
``(b) Exception.--If the sum of the amounts appropriated
for parts A, C, and D of this title is equal to or greater
than $14,000,000,000, then the reservation described in
subsection (a)(1) shall not exceed 1 percent of the amount
the State would receive, if $14,000,000,000 were allocated
among the States for parts A, C, and D of this title.

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

``Subpart 1--Basic Program Requirements

``SEC. 1111. STATE PLANS.

``(a) Plans Required.--
``(1) In general.--Any State desiring to receive a grant
under this part shall submit to the Secretary a plan,
developed in consultation with local educational agencies,
teachers, principals, pupil services personnel,
administrators (including administrators of programs
described in other parts of this title), other staff, and
parents, that satisfies the requirements of this section and
that is coordinated with other programs under this Act, the
Individuals with Disabilities Education Act, the Carl D.
Perkins Vocational and Technical Education Act of 1998, the
Head Start Act, the Adult Education and Family Literacy Act,
and the McKinney-Vento Homeless Assistance Act.
``(2) Consolidated plan.--A State plan submitted under
paragraph (1) may be submitted as part of a consolidated plan
under section 9302.
``(b) Academic Standards, Academic Assessments, and
Accountability.--
``(1) Challenging academic standards.--
``(A) In general.--Each State plan shall demonstrate that
the State has adopted challenging academic content standards
and challenging student academic achievement standards that
will be used by the State, its local educational agencies,
and its schools to carry out this part, except that a State
shall not be required to submit such standards to the
Secretary.
``(B) Same standards.--The academic standards required by
subparagraph (A) shall be the same academic standards that
the State applies to all schools and children in the State.
``(C) Subjects.--The State shall have such academic
standards for all public elementary school and secondary
school children, including children served under this part,
in subjects determined by the State, but including at least
mathematics, reading or language arts, and (beginning in the
2005-2006 school year) science, which shall include the same
knowledge, skills, and levels of achievement expected of all
children.
``(D) Challenging academic standards.--Standards under this
paragraph shall include--
``(i) challenging academic content standards in academic
subjects that--

``(I) specify what children are expected to know and be
able to do;
``(II) contain coherent and rigorous content; and
``(III) encourage the teaching of advanced skills; and

``(ii) challenging student academic achievement standards
that--

``(I) are aligned with the State's academic content
standards;
``(II) describe 2 levels of high achievement (proficient
and advanced) that determine how well children are mastering
the material in the State academic content standards; and
``(III) describe a third level of achievement (basic) to
provide complete information about the progress of the lower-
achieving children toward mastering the proficient and
advanced levels of achievement.

``(E) Information.--For the subjects in which students will
be served under this part, but for which a State is not
required by subparagraphs (A), (B), and (C) to develop, and
has not otherwise developed, such academic standards, the
State plan shall describe a strategy for ensuring that
students are taught the same knowledge and skills in such
subjects and held to the same expectations as are all
children.
``(F) Existing standards.--Nothing in this part shall
prohibit a State from revising, consistent with this section,
any standard adopted under this part before or after the date
of enactment of the No Child Left Behind Act of 2001.
``(2) Accountability.--
``(A) In general.--Each State plan shall demonstrate that
the State has developed and is implementing a single,
statewide State accountability system that will be effective
in ensuring that all local educational agencies, public
elementary schools, and public secondary schools make
adequate yearly progress as defined under this paragraph.
Each State accountability system shall--
``(i) be based on the academic standards and academic
assessments adopted under paragraphs (1) and (3), and other
academic indicators consistent with subparagraph (C)(vi) and
(vii), and shall take into account the achievement of all
public elementary school and secondary school students;
``(ii) be the same accountability system the State uses for
all public elementary schools and secondary schools or all
local educational agencies in the State, except that public
elementary schools, secondary schools, and local educational
agencies not participating under this part are not subject to
the requirements of section 1116; and
``(iii) include sanctions and rewards, such as bonuses and
recognition, the State will use to hold local educational
agencies and public elementary schools and secondary schools
accountable for student achievement and for ensuring that
they make adequate yearly progress in accordance with the
State's definition under subparagraphs (B) and (C).
``(B) Adequate yearly progress.--Each State plan shall
demonstrate, based on academic assessments described in
paragraph (3), and in accordance with this paragraph, what
constitutes adequate yearly progress of the State, and of all
public elementary schools, secondary schools, and local
educational agencies in the State, toward enabling all public
elementary school and secondary school students to meet the
State's student academic achievement standards, while working
toward the goal of narrowing the achievement gaps in the
State, local educational agencies, and schools.
``(C) Definition.--`Adequate yearly progress' shall be
defined by the State in a manner that--
``(i) applies the same high standards of academic
achievement to all public elementary school and secondary
school students in the State;
``(ii) is statistically valid and reliable;
``(iii) results in continuous and substantial academic
improvement for all students;
``(iv) measures the progress of public elementary schools,
secondary schools and local educational agencies and the
State based primarily on the academic assessments described
in paragraph (3);
``(v) includes separate measurable annual objectives for
continuous and substantial improvement for each of the
following:

``(I) The achievement of all public elementary school and
secondary school students.
``(II) The achievement of--

``(aa) economically disadvantaged students;
``(bb) students from major racial and ethnic groups;
``(cc) students with disabilities; and
``(dd) students with limited English proficiency;

except that disaggregation of data under subclause (II) shall
not be required in a case in which the number of students in
a category is insufficient to yield statistically reliable
information or the results would reveal personally
identifiable information about an individual student;

``(vi) in accordance with subparagraph (D), includes
graduation rates for public secondary school students and at
least 1 other academic indicator, as determined by the State
for all public elementary school students; and
``(vii) in accordance with subparagraph (D), at the State's
discretion, may also include other academic indicators, as
determined by the State for all public school students,
measured separately for each group described in clause (v),
such as achievement on additional State or locally
administered assessments, decreases in grade-to-grade
retention rates, attendance rates, and changes in the
percentages of students completing gifted and talented,
advanced placement, and college preparatory courses.
``(D) Requirements for other indicators.--In carrying out
subparagraph (C)(vi) and (vii), the State--
``(i) shall ensure that the indicators described in those
provisions are valid and reliable, and are consistent with
relevant, nationally recognized professional and technical
standards, if any; and

[[Page H9780]]

``(ii) except as provided in subparagraph (I)(i), may not
use those indicators to reduce the number of, or change, the
schools that would otherwise be subject to school
improvement, corrective action, or restructuring under
section 1116 if those additional indicators were not used,
but may use them to identify additional schools for school
improvement or in need of corrective action or restructuring.
``(E) Starting point.--Each State, using data for the 2001-
2002 school year, shall establish the starting point for
measuring, under subparagraphs (G) and (H), the percentage of
students meeting or exceeding the State's proficient level of
academic achievement on the State assessments under paragraph
(3) and pursuant to the timeline described in subparagraph
(F). The starting point shall be, at a minimum, based on the
higher of the percentage of students at the proficient level
who are in--
``(i) the State's lowest achieving group of students
described in subparagraph (C)(v)(II); or
``(ii) the school at the 20th percentile in the State,
based on enrollment, among all schools ranked by the
percentage of students at the proficient level.
``(F) Timeline.--Each State shall establish a timeline for
adequate yearly progress. The timeline shall ensure that not
later than 12 years after the end of the 2001-2002 school
year, all students in each group described in subparagraph
(C)(v) will meet or exceed the State's proficient level of
academic achievement on the State assessments under paragraph
(3).
``(G) Measurable objectives.--Each State shall establish
statewide annual measurable objectives, pursuant to
subparagraph (C)(v), for meeting the requirements of this
paragraph, and which--
``(i) shall be set separately for the assessments of
mathematics and reading or language arts under subsection
(a)(3);
``(ii) shall be the same for all schools and local
educational agencies in the State;
``(iii) shall identify a single minimum percentage of
students who are required to meet or exceed the proficient
level on the academic assessments that applies separately to
each group of students described in subparagraph (C)(v);
``(iv) shall ensure that all students will meet or exceed
the State's proficient level of academic achievement on the
State assessments within the State's timeline under
subparagraph (F); and
``(v) may be the same for more than 1 year, subject to the
requirements of subparagraph (H).
``(H) Intermediate goals for annual yearly progress.--Each
State shall establish intermediate goals for meeting the
requirements, including the measurable objectives in
subparagraph (G), of this paragraph and that shall--
``(i) increase in equal increments over the period covered
by the State's timeline under subparagraph (F);
``(ii) provide for the first increase to occur in not more
than two years; and
``(iii) provide for each following increase to occur in not
more than three years.
``(I) Annual improvement for schools.--Each year, for a
school to make adequate yearly progress under this
paragraph--
``(i) each group of students described in subparagraph
(C)(v) must meet or exceed the objectives set by the State
under subparagraph (G), except that if any group described in
subparagraph (C)(v) does not meet those objectives in any
particular year, the school shall be considered to have made
adequate yearly progress if the percentage of students in
that group who did not meet or exceed the proficient level of
academic achievement on the State assessments under paragraph
(3) for that year decreased by 10 percent of that percentage
from the preceding school year and that group made progress
on one or more of the academic indicators described in
subparagraph (C)(vi) or (vii); and
``(ii) not less than 95 percent of each group of students
described in subparagraph (C)(v) who are enrolled in the
school are required to take the assessments, consistent with
paragraph (3)(C)(xi) and with accommodations, guidelines, and
alternative assessments provided in the same manner as those
provided under section 612(a)(17)(A) of the Individuals with
Disabilities Education Act and paragraph (3), on which
adequate yearly progress is based (except that the 95 percent
requirement described in this clause shall not apply in a
case in which the number of students in a category is
insufficient to yield statistically reliable information or
the results would reveal personally identifiable information
about an individual student).
``(J) Uniform averaging procedure.--For the purpose of
determining whether schools are making adequate yearly
progress, the State may establish a uniform procedure for
averaging data which includes one or more of the following:
``(i) The State may average data from the school year for
which the determination is made with data from one or two
school years immediately preceding that school year.
``(ii) Until the assessments described in paragraph (3) are
administered in such manner and time to allow for the
implementation of the uniform procedure for averaging data
described in clause (i), the State may use the academic
assessments that were required under paragraph (3) as that
paragraph was in effect on the day preceding the date of
enactment of the No Child Left Behind Act of 2001, provided
that nothing in this clause shall be construed to undermine
or delay the determination of adequate yearly progress, the
requirements of section 1116, or the implementation of
assessments under this section.
``(iii) The State may use data across grades in a school.
``(3) Academic assessments.--
``(A) In general.--Each State plan shall demonstrate that
the State, in consultation with local educational agencies,
has implemented a set of high-quality, yearly student
academic assessments that include, at a minimum, academic
assessments in mathematics, reading or language arts, and
science that will be used as the primary means of determining
the yearly performance of the State and of each local
educational agency and school in the State in enabling all
children to meet the State's challenging student academic
achievement standards, except that no State shall be required
to meet the requirements of this part relating to science
assessments until the beginning of the 2007-2008 school year.
``(B) Use of assessments.--Each State may incorporate the
data from the assessments under this paragraph into a State-
developed longitudinal data system that links student test
scores, length of enrollment, and graduation records over
time.
``(C) Requirements.--Such assessments shall--
``(i) be the same academic assessments used to measure the
achievement of all children;
``(ii) be aligned with the State's challenging academic
content and student academic achievement standards, and
provide coherent information about student attainment of such
standards;
``(iii) be used for purposes for which such assessments are
valid and reliable, and be consistent with relevant,
nationally recognized professional and technical standards;
``(iv) be used only if the State provides to the Secretary
evidence from the test publisher or other relevant sources
that the assessments used are of adequate technical quality
for each purpose required under this Act and are consistent
with the requirements of this section, and such evidence is
made public by the Secretary upon request;
``(v)(I) except as otherwise provided for grades 3 through
8 under clause vii, measure the proficiency of students in,
at a minimum, mathematics and reading or language arts, and
be administered not less than once during--

``(aa) grades 3 through 5;
``(bb) grades 6 through 9; and
``(cc) grades 10 through 12;

``(II) beginning not later than school year 2007-2008,
measure the proficiency of all students in science and be
administered not less than one time during--

``(aa) grades 3 through 5;
``(bb) grades 6 through 9; and
``(cc) grades 10 through 12;

``(vi) involve multiple up-to-date measures of student
academic achievement, including measures that assess higher-
order thinking skills and understanding;
``(vii) beginning not later than school year 2005-2006,
measure the achievement of students against the challenging
State academic content and student academic achievement
standards in each of grades 3 through 8 in, at a minimum,
mathematics, and reading or language arts, except that the
Secretary may provide the State 1 additional year if the
State demonstrates that exceptional or uncontrollable
circumstances, such as a natural disaster or a precipitous
and unforeseen decline in the financial resources of the
State, prevented full implementation of the academic
assessments by that deadline and that the State will complete
implementation within the additional 1-year period;
``(viii) at the discretion of the State, measure the
proficiency of students in academic subjects not described in
clauses (v), (vi), (vii) in which the State has adopted
challenging academic content and academic achievement
standards;
``(ix) provide for--

``(I) the participation in such assessments of all
students;
``(II) the reasonable adaptations and accommodations for
students with disabilities (as defined under section 602(3)
of the Individuals with Disabilities Education Act) necessary
to measure the academic achievement of such students relative
to State academic content and State student academic
achievement standards; and
``(III) the inclusion of limited English proficient
students, who shall be assessed in a valid and reliable
manner and provided reasonable accommodations on assessments
administered to such students under this paragraph,
including, to the extent practicable, assessments in the
language and form most likely to yield accurate data on what
such students know and can do in academic content areas,
until such students have achieved English language
proficiency as determined under paragraph (7);

``(x) notwithstanding subclause (III), the academic
assessment (using tests written in English) of reading or
language arts of any student who has attended school in the
United States (not including Puerto Rico) for 3 or more
consecutive school years, except that if the local
educational agency determines, on a case-by-case individual
basis, that academic assessments in another language or form
would likely yield more accurate and reliable information on
what such student knows and can do, the local educational
agency may make a determination to assess such student in the
appropriate language other than English for a period that
does not exceed 2 additional consecutive years, provided that
such student has not yet reached a level of English language
proficiency sufficient to yield valid and reliable
information on what such student knows and can do on tests
(written in English) of reading or language arts;
``(xi) include students who have attended schools in a
local educational agency for a full academic year but have
not attended a single school for a full academic year, except
that the performance of students who have attended more than
1 school in the local educational agency in any academic year
shall be used only in determining the progress of the local
educational agency;
``(xii) produce individual student interpretive,
descriptive, and diagnostic reports, consistent with clause
(iii) that allow parents, teachers,

[[Page H9781]]

and principals to understand and address the specific
academic needs of students, and include information regarding
achievement on academic assessments aligned with State
academic achievement standards, and that are provided to
parents, teachers, and principals, as soon as is practicably
possible after the assessment is given, in an understandable
and uniform format, and to the extent practicable, in a
language that parents can understand;
``(xiii) enable results to be disaggregated within each
State, local educational agency, and school by gender, by
each major racial and ethnic group, by English proficiency
status, by migrant status, by students with disabilities as
compared to nondisabled students, and by economically
disadvantaged students as compared to students who are not
economically disadvantaged, except that, in the case of a
local educational agency or a school, such disaggregation
shall not be required in a case in which the number of
students in a category is insufficient to yield statistically
reliable information or the results would reveal personally
identifiable information about an individual student;
``(xiv) be consistent with widely accepted professional
testing standards, objectively measure academic achievement,
knowledge, and skills, and be tests that do not evaluate or
assess personal or family beliefs and attitudes, or publicly
disclose personally identifiable information; and
``(xv) enable itemized score analyses to be produced and
reported, consistent with clause (iii), to local educational
agencies and schools, so that parents, teachers, principals,
and administrators can interpret and address the specific
academic needs of students as indicated by the students'
achievement on assessment items.
``(D) Deferral.--A State may defer the commencement, or
suspend the administration, but not cease the development, of
the assessments described in this paragraph, that were not
required prior to the date of enactment of the No Child Left
Behind Act of 2001, for 1 year for each year for which the
amount appropriated for grants under section 6204(c) is less
than--
``(i) $370,000,000 for fiscal year 2002;
``(ii) $380,000,000 for fiscal year 2003;
``(iii) $390,000,000 for fiscal year 2004; and
``(iv) $400,000,000 for fiscal years 2005 through 2007.
``(4) Special rule.--Academic assessment measures in
addition to those in paragraph (3) that do not meet
the requirements of such paragraph may be included in the
assessment under paragraph (3) as additional measures, but
may not be used in lieu of the academic assessments
required under paragraph (3). Such additional assessment
measures may not be used to reduce the number of or
change, the schools that would otherwise be subject to
school improvement, corrective action, or restructuring
under section 1116 if such additional indicators were not
used, but may be used to identify additional schools for
school improvement or in need of corrective action or
restructuring except as provided in paragraph (2)(i)(I).
``(5) State authority.--If a State educational agency
provides evidence, which is satisfactory to the Secretary,
that neither the State educational agency nor any other State
government official, agency, or entity has sufficient
authority, under State law, to adopt curriculum content and
student academic achievement standards, and academic
assessments aligned with such academic standards, which will
be applicable to all students enrolled in the State's public
elementary schools and secondary schools, then the State
educational agency may meet the requirements of this
subsection by--
``(A) adopting academic standards and academic assessments
that meet the requirements of this subsection, on a statewide
basis, and limiting their applicability to students served
under this part; or
``(B) adopting and implementing policies that ensure that
each local educational agency in the State that receives
grants under this part will adopt curriculum content and
student academic achievement standards, and academic
assessments aligned with such standards, which--
``(i) meet all of the criteria in this subsection and any
regulations regarding such standards and assessments that the
Secretary may publish; and
``(ii) are applicable to all students served by each such
local educational agency.
``(6) Language assessments.--Each State plan shall identify
the languages other than English that are present in the
participating student population and indicate the languages
for which yearly student academic assessments are not
available and are needed. The State shall make every effort
to develop such assessments and may request assistance from
the Secretary if linguistically accessible academic
assessment measures are needed. Upon request, the Secretary
shall assist with the identification of appropriate academic
assessment measures in the needed languages, but shall not
mandate a specific academic assessment or mode of
instruction.
``(7) Academic assessments of english language
proficiency.--Each State plan shall demonstrate that local
educational agencies in the State will, beginning not later
than school year 2002-2003, provide for an annual assessment
of English proficiency (measuring students' oral language,
reading, and writing skills in English) of all students with
limited English proficiency in the schools served by the
State, except that the Secretary may provide the State 1
additional year if the State demonstrates that exceptional or
uncontrollable circumstances, such as a natural disaster or a
precipitous and unforeseen decline in the financial resources
of the State, prevented full implementation of this paragraph
by that deadline and that the State will complete
implementation within the additional 1-year period.
``(8) Requirement.--Each State plan shall describe--
``(A) how the State educational agency will assist each
local educational agency and school affected by the State
plan to develop the capacity to comply with each of the
requirements of sections 1112(c)(1)(D), 1114(b), and 1115(c)
that is applicable to such agency or school;
``(B) how the State educational agency will assist each
local educational agency and school affected by the State
plan to provide additional educational assistance to
individual students assessed as needing help to achieve the
State's challenging academic achievement standards;
``(C) the specific steps the State educational agency will
take to ensure that both schoolwide programs and targeted
assistance schools provide instruction by highly qualified
instructional staff as required by sections 1114(b)(1)(C) and
1115(c)(1)(E), including steps that the State educational
agency will take to ensure that poor and minority children
are not taught at higher rates than other children by
inexperienced, unqualified, or out-of-field teachers, and the
measures that the State educational agency will use to
evaluate and publicly report the progress of the State
educational agency with respect to such steps;
``(D) an assurance that the State educational agency will
assist local educational agencies in developing or
identifying high-quality effective curricula aligned with
State academic achievement standards and how the State
educational agency will disseminate such curricula to each
local educational agency and school within the State; and
``(E) such other factors the State determines appropriate
to provide students an opportunity to achieve the knowledge
and skills described in the challenging academic content
standards adopted by the State.
``(9) Factors affecting student achievement.--Each State
plan shall include an assurance that the State will
coordinate and collaborate, to the extent feasible and
necessary as determined by the State, with agencies providing
services to children, youth, and families, with respect to
local educational agencies within the State that are
identified under section 1116 and that request assistance
with addressing major factors that have significantly
affected the academic achievement of students in the local
educational agency or schools served by such agency.
``(10) Use of academic assessment results to improve
student academic achievement.--Each State plan shall describe
how the State will ensure that the results of the State
assessments described in paragraph (3)--
``(A) will be promptly provided to local educational
agencies, schools, and teachers in a manner that is clear and
easy to understand, but not later than before the beginning
of the next school year; and
``(B) be used by those local educational agencies, schools,
and teachers to improve the educational achievement of
individual students.
``(c) Other Provisions To Support Teaching and Learning.--
Each State plan shall contain assurances that--
``(1) the State will meet the requirements of subsection
(h)(1) and, beginning with the 2002-2003 school year, will
produce the annual State report cards described in such
subsection, except that the Secretary may provide the State 1
additional year if the State demonstrates that exceptional or
uncontrollable circumstances, such as a natural disaster or a
precipitous and unforeseen decline in the financial resources
of the State, prevented full implementation of this paragraph
by that deadline and that the State will complete
implementation within the additional 1-year period;
``(2) the State will, beginning in school year 2002-2003,
participate in biennial State academic assessments of 4th and
8th grade reading and mathematics under the National
Assessment of Educational Progress carried out under section
411(b)(2) of the National Education Statistics Act of 1994 if
the Secretary pays the costs of administering such
assessments;
``(3) the State educational agency, in consultation with
the Governor, will include, as a component of the State plan,
a plan to carry out the responsibilities of the State under
sections 1116 and 1117, including carrying out the State
educational agency's statewide system of technical assistance
and support for local educational agencies;
``(4) the State educational agency will work with other
agencies, including educational service agencies or other
local consortia, and institutions to provide technical
assistance to local educational agencies and schools,
including technical assistance in providing professional
development under section 1119, technical assistance under
section 1117, and technical assistance relating to parental
involvement under section 1118;
``(5)(A) where educational service agencies exist, the
State educational agency will consider providing professional
development and technical assistance through such agencies;
and
``(B) where educational service agencies do not exist, the
State educational agency will consider providing professional
development and technical assistance through other
cooperative agreements such as through a consortium of local
educational agencies;
``(6) the State educational agency will notify local
educational agencies and the public of the content and
student academic achievement standards and academic
assessments developed under this section, and of the
authority to operate schoolwide programs, and will fulfill
the State educational agency's responsibilities regarding
local educational agency improvement and school improvement
under section 1116, including such corrective actions as are
necessary;
``(7) the State educational agency will provide the least
restrictive and burdensome regulations for local educational
agencies and individual schools participating in a program
assisted under this part;

[[Page H9782]]

``(8) the State educational agency will inform the
Secretary and the public of how Federal laws, if at all,
hinder the ability of States to hold local educational
agencies and schools accountable for student academic
achievement;
``(9) the State educational agency will encourage schools
to consolidate funds from other Federal, State, and local
sources for schoolwide reform in schoolwide programs under
section 1114;
``(10) the State educational agency will modify or
eliminate State fiscal and accounting barriers so that
schools can easily consolidate funds from other Federal,
State, and local sources for schoolwide programs under
section 1114;
``(11) the State educational agency has involved the
committee of practitioners established under section 1903(b)
in developing the plan and monitoring its implementation;
``(12) the State educational agency will inform local
educational agencies in the State of the local educational
agency's authority to transfer funds under title VI, to
obtain waivers under part D of title IX, and, if the State is
an Ed-Flex Partnership State, to obtain waivers under the
Education Flexibility Partnership Act of 1999;
``(13) the State will coordinate activities funded under
this part with other Federal activities as appropriate; and
``(14) the State educational agency will encourage local
educational agencies and individual schools participating in
a program assisted under this part to offer family literacy
services (using funds under this part), if the agency or
school determines that a substantial number of students
served under this part by the agency or school have parents
who do not have a secondary school diploma or its recognized
equivalent or who have low levels of literacy.
``(d) Parental Involvement.--Each State plan shall describe
how the State will support the collection and dissemination
to local educational agencies and schools of effective
parental involvement practices. Such practices shall--
``(1) be based on the most current research that meets the
highest professional and technical standards, on effective
parental involvement that fosters achievement to high
standards for all children; and
``(2) be geared toward lowering barriers to greater
participation by parents in school planning, review, and
improvement experienced.
``(e) Peer Review and Secretarial Approval.--
``(1) Secretarial duties.--The Secretary shall--
``(A) establish a peer-review process to assist in the
review of State plans;
``(B) appoint individuals to the peer-review process who
are representative of parents, teachers, State educational
agencies, and local educational agencies, and who are
familiar with educational standards, assessments,
accountability, the needs of low-performing schools, and
other educational needs of students;
``(C) approve a State plan within 120 days of its
submission unless the Secretary determines that the plan does
not meet the requirements of this section;
``(D) if the Secretary determines that the State plan does
not meet the requirements of subsection (a), (b), or (c),
immediately notify the State of such determination and the
reasons for such determination;
``(E) not decline to approve a State's plan before--
``(i) offering the State an opportunity to revise its plan;
``(ii) providing technical assistance in order to assist
the State to meet the requirements of subsections (a), (b),
and (c); and
``(iii) providing a hearing; and
``(F) have the authority to disapprove a State plan for not
meeting the requirements of this part, but shall not have the
authority to require a State, as a condition of approval of
the State plan, to include in, or delete from, such plan one
or more specific elements of the State's academic content
standards or to use specific academic assessment instruments
or items.
``(2) State revisions.--A State shall revise its State plan
if necessary to satisfy the requirements of this section.
``(f) Duration of the Plan.--
``(1) In general.--Each State plan shall--
``(A) remain in effect for the duration of the State's
participation under this part; and
``(B) be periodically reviewed and revised by the State, as
necessary, to reflect changes in the State's strategies and
programs under this part.
``(2) Additional information.--If the State makes
significant changes to its State plan, such as the adoption
of new State academic content standards and State student
achievement standards, new academic assessments, or a new
definition of adequate yearly progress, the State shall
submit such information to the Secretary.
``(g) Penalties.--
``(1) Failure to meet deadlines enacted in 1994.--
``(A) In general.--If a State fails to meet the deadlines
established by the Improving America's Schools Act of 1994
(or under any waiver granted by the Secretary or under any
compliance agreement with the Secretary) for demonstrating
that the State has in place challenging academic content
standards and student achievement standards, and a system for
measuring and monitoring adequate yearly progress, the
Secretary shall withhold 25 percent of the funds that would
otherwise be available to the State for State administration
and activities under this part in each year until the
Secretary determines that the State meets those requirements.
``(B) No extension.--Notwithstanding any other provision of
law, 90 days after the date of enactment of the No Child Left
Behind Act of 2001 the Secretary shall not grant any
additional waivers of, or enter into any additional
compliance agreements to extend, the deadlines described in
subparagraph (A) for any State.
``(2) Failure to meet requirements enacted in 2001.--If a
State fails to meet any of the requirements of this section,
other than the requirements described in paragraph (1), then
the Secretary may withhold funds for State administration
under this part until the Secretary determines that the State
has fulfilled those requirements.
``(h) Reports.--
``(1) Annual state report card.--
``(A) In general.--Not later than the beginning of the
2002-2003 school year, unless the State has received a 1-year
extension pursuant to subsection (c)(1), a State that
receives assistance under this part shall prepare and
disseminate an annual State report card.
``(B) Implementation.--The State report card shall be--
``(i) concise; and
``(ii) presented in an understandable and uniform format
and, to the extent practicable, provided in a language that
the parents can understand.
``(C) Required information.--The State shall include in its
annual State report card--
``(i) information, in the aggregate, on student achievement
at each proficiency level on the State academic assessments
described in subsection (b)(3) (disaggregated by race,
ethnicity, gender, disability status, migrant status, English
proficiency, and status as economically disadvantaged, except
that such disaggregation shall not be required in a case in
which the number of students in a category is insufficient to
yield statistically reliable information or the results would
reveal personally identifiable information about an
individual student);
``(ii) information that provides a comparison between the
actual achievement levels of each group of students described
in subsection (b)(2)(C)(v) and the State's annual measurable
objectives for each such group of students on each of the
academic assessments required under this part;
``(iii) the percentage of students not tested
(disaggregated by the same categories and subject to the same
exception described in clause (i));
``(iv) the most recent 2-year trend in student achievement
in each subject area, and for each grade level, for which
assessments under this section are required;
``(v) aggregate information on any other indicators used by
the State to determine the adequate yearly progress of
students in achieving State academic achievement standards;
``(vi) graduation rates for secondary school students
consistent with subsection (b)(2)(B)(vii);
``(vii) information on the performance of local educational
agencies in the State regarding making adequate yearly
progress, including the number and names of each school
identified for school improvement under section 1116; and
``(viii) the professional qualifications of teachers in the
State, the percentage of such teachers teaching with
emergency or provisional credentials, and the percentage of
classes in the State not taught by highly qualified teachers,
in the aggregate and disaggregated by high-poverty compared
to low-poverty schools which, for the purpose of this clause,
means schools in the top quartile of poverty and the bottom
quartile of poverty in the State.
``(D) Optional information.--The State may include in its
annual State report card such other information as the State
believes will best provide parents, students, and other
members of the public with information regarding the progress
of each of the State's public elementary schools and public
secondary schools. Such information may include information
regarding--
``(i) school attendance rates;
``(ii) average class size in each grade;
``(iii) academic achievement and gains in English
proficiency of limited English proficient students;
``(iv) the incidence of school violence, drug abuse,
alcohol abuse, student suspensions, and student expulsions;
``(v) the extent and type of parental involvement in the
schools;
``(vi) the percentage of students completing advanced
placement courses, and the rate of passing of advanced
placement tests; and
``(vii) a clear and concise description of the State's
accountability system, including a description of the
criteria by which the State evaluates school performance, and
the criteria that the State has established, consistent with
subsection (b)(2), to determine the status of schools
regarding school improvement, corrective action, and
restructuring.
``(2) Annual local educational agency report cards.--
``(A) Report cards.--
``(i) In general.--Not later than the beginning of the
2002-2003 school year, a local educational agency that
receives assistance under this part shall prepare and
disseminate an annual local educational agency report card,
except that the State may provide the local educational
agency 1 additional year if the local educational agency
demonstrates that exceptional or uncontrollable
circumstances, such as a natural disaster or a precipitous
and unforeseen decline in the financial resources of the
local educational agency, prevented full implementation of
this paragraph by that deadline and that the local
educational agency will complete implementation within the
additional 1-year period.
``(ii) Special rule.--If a State has received an extension
pursuant to subsection (c)(1), then a local educational
agency within that State shall not be required to include the
information required under paragraph (1)(C) in such report
card during such extension.
``(B) Minimum requirements.--The State shall ensure that
each local educational agency

[[Page H9783]]

collects appropriate data and includes in the local
educational agency's annual report the information described
in paragraph (1)(C) as applied to the local educational
agency and each school served by the local educational
agency, and--
``(i) in the case of a local educational agency--

``(I) the number and percentage of schools identified for
school improvement under section 1116(c) and how long the
schools have been so identified; and
``(II) information that shows how students served by the
local educational agency achieved on the statewide academic
assessment compared to students in the State as a whole; and

``(ii) in the case of a school--

``(I) whether the school has been identified for school
improvement; and

``(II) information that shows how the school's students
achievement on the statewide academic assessments and other
indicators of adequate yearly progress compared to students
in the local educational agency and the State as a whole.

``(C) Other information.--A local educational agency may
include in its annual local educational agency report card
any other appropriate information, whether or not such
information is included in the annual State report card.
``(D) Data.--A local educational agency or school shall
only include in its annual local educational agency report
card data that are sufficient to yield statistically reliable
information, as determined by the State, and that do not
reveal personally identifiable information about an
individual student.
``(E) Public dissemination.--The local educational agency
shall, not later than the beginning of the 2002-2003 school
year, unless the local educational agency has received a 1-
year extension pursuant to subparagraph (A), publicly
disseminate the information described in this paragraph to
all schools in the school district served by the local
educational agency and to all parents of students attending
those schools in an understandable and uniform format and, to
the extent practicable, provided in a language that the
parents can understand, and make the information widely
available through public means, such as posting on the
Internet, distribution to the media, and distribution through
public agencies, except that if a local educational agency
issues a report card for all students, the local educational
agency may include the information under this section as part
of such report.
``(3) Preexisting report cards.--A State educational agency
or local educational agency that was providing public report
cards on the performance of students, schools, local
educational agencies, or the State prior to the enactment of
the No Child Left Behind Act of 2001 may use those report
cards for the purpose of this subsection, so long as any such
report card is modified, as may be needed, to contain the
information required by this subsection.
``(4) Annual state report to the secretary.--Each State
receiving assistance under this part shall report annually to
the Secretary, and make widely available within the State--
``(A) beginning with school year 2002-2003, information on
the State's progress in developing and implementing the
academic assessments described in subsection (b)(3);
``(B) beginning not later than school year 2002-2003,
information on the achievement of students on the academic
assessments required by subsection (b)(3), including the
disaggregated results for the categories of students
identified in subsection (b)(2)(C)(v);
``(C) in any year before the State begins to provide the
information described in subparagraph (B), information on the
results of student academic assessments (including
disaggregated results) required under this section;
``(D) beginning not later than school year 2002-2003,
unless the State has received an extension pursuant to
subsection (c)(1), information on the acquisition of English
proficiency by children with limited English proficiency;
``(E) the number and names of each school identified for
school improvement under section 1116(c), the reason why each
school was so identified, and the measures taken to address
the achievement problems of such schools;
``(F) the number of students and schools that participated
in public school choice and supplemental service programs and
activities under this title; and
``(G) beginning not later than the 2002-2003 school year,
information on the quality of teachers and the percentage of
classes being taught by highly qualified teachers in the
State, local educational agency, and school.
``(5) Report to congress.--The Secretary shall transmit
annually to the Committee on Education and the Workforce of
the House of Representatives and the Committee on Health,
Education, Labor, and Pensions of the Senate a report that
provides national and State-level data on the information
collected under paragraph (4).
``(6) Parents right-to-know.--
``(A) Qualifications.--At the beginning of each school
year, a local educational agency that receives funds under
this part shall notify the parents of each student attending
any school receiving funds under this part that the parents
may request, and the agency will provide the parents on
request (and in a timely manner), information regarding the
professional qualifications of the student's classroom
teachers, including, at a minimum, the following:
``(i) Whether the teacher has met State qualification and
licensing criteria for the grade levels and subject areas in
which the teacher provides instruction.
``(ii) Whether the teacher is teaching under emergency or
other provisional status through which State qualification or
licensing criteria have been waived.
``(iii) The baccalaureate degree major of the teacher and
any other graduate certification or degree held by the
teacher, and the field of discipline of the certification or
degree.
``(iv) Whether the child is provided services by
paraprofessionals and, if so, their qualifications.
``(B) Additional information.--In addition to the
information that parents may request under subparagraph (A),
a school that receives funds under this part shall provide to
each individual parent--
``(i) information on the level of achievement of the
parent's child in each of the State academic assessments as
required under this part; and
``(ii) timely notice that the parent's child has been
assigned, or has been taught for 4 or more consecutive weeks
by, a teacher who is not highly qualified.
``(C) Format.--The notice and information provided to
parents under this paragraph shall be in an understandable
and uniform format and, to the extent practicable, provided
in a language that the parents can understand.
``(i) Privacy.--Information collected under this section
shall be collected and disseminated in a manner that protects
the privacy of individuals.
``(j) Technical Assistance.--The Secretary shall provide a
State educational agency, at the State educational agency's
request, technical assistance in meeting the requirements of
this section, including the provision of advice by experts in
the development of high-quality academic assessments, the
setting of State standards, the development of measures of
adequate yearly progress that are valid and reliable, and
other relevant areas.
``(k) Voluntary Partnerships.--A State may enter into a
voluntary partnership with another State to develop and
implement the academic assessments and standards required
under this section.
``(l) Construction.--Nothing in this part shall be
construed to prescribe the use of the academic assessments
described in this part for student promotion or graduation
purposes.
``(m) Special Rule With Respect to Bureau-Funded Schools.--
In determining the assessments to be used by each operated or
funded by BIA school receiving funds under this part, the
following shall apply:
``(1) Each such school that is accredited by the State in
which it is operating shall use the assessments the State has
developed and implemented to meet the requirements of this
section, or such other appropriate assessment as approved by
the Secretary of the Interior.
``(2) Each such school that is accredited by a regional
accrediting organization shall adopt an appropriate
assessment, in consultation with and with the approval of,
the Secretary of the Interior and consistent with assessments
adopted by other schools in the same State or region, that
meets the requirements of this section.
``(3) Each such school that is accredited by a tribal
accrediting agency or tribal division of education shall use
an assessment developed by such agency or division, except
that the Secretary of the Interior shall ensure that such
assessment meets the requirements of this section.

``SEC. 1112. LOCAL EDUCATIONAL AGENCY PLANS.

``(a) Plans Required.--
``(1) Subgrants.--A local educational agency may receive a
subgrant under this part for any fiscal year only if such
agency has on file with the State educational agency a plan,
approved by the State educational agency, that is coordinated
with other programs under this Act, the Individuals with
Disabilities Education Act, the Carl D. Perkins Vocational
and Technical Education Act of 1998, the McKinney-Vento
Homeless Assistance Act, and other Acts, as appropriate.
``(2) Consolidated application.--The plan may be submitted
as part of a consolidated application under section 9305.
``(b) Plan Provisions.--
``(1) In general.--In order to help low-achieving children
meet challenging achievement academic standards, each local
educational agency plan shall include--
``(A) a description of high-quality student academic
assessments, if any, that are in addition to the academic
assessments described in the State plan under section
1111(b)(3), that the local educational agency and schools
served under this part will use--
``(i) to determine the success of children served under
this part in meeting the State student academic achievement
standards, and to provide information to teachers, parents,
and students on the progress being made toward meeting the
State student academic achievement standards described in
section 1111(b)(1)(D)(ii);
``(ii) to assist in diagnosis, teaching, and learning in
the classroom in ways that best enable low-achieving children
served under this part to meet State student achievement
academic standards and do well in the local curriculum;
``(iii) to determine what revisions are needed to projects
under this part so that such children meet the State student
academic achievement standards; and
``(iv) to identify effectively students who may be at risk
for reading failure or who are having difficulty reading,
through the use of screening, diagnostic, and classroom-based
instructional reading assessments, as defined under section
1208;
``(B) at the local educational agency's discretion, a
description of any other indicators that will be used in
addition to the academic indicators described in section 1111
for the uses described in such section;
``(C) a description of how the local educational agency
will provide additional educational assistance to individual
students assessed as needing help in meeting the State's
challenging student academic achievement standards;

[[Page H9784]]

``(D) a description of the strategy the local educational
agency will use to coordinate programs under this part with
programs under title II to provide professional development
for teachers and principals, and, if appropriate, pupil
services personnel, administrators, parents and other staff,
including local educational agency level staff in accordance
with sections 1118 and 1119;
``(E) a description of how the local educational agency
will coordinate and integrate services provided under this
part with other educational services at the local educational
agency or individual school level, such as--
``(i) Even Start, Head Start, Reading First, Early Reading
First, and other preschool programs, including plans for the
transition of participants in such programs to local
elementary school programs; and
``(ii) services for children with limited English
proficiency, children with disabilities, migratory children,
neglected or delinquent youth, Indian children served under
part A of title VII, homeless children, and immigrant
children in order to increase program effectiveness,
eliminate duplication, and reduce fragmentation of the
instructional program;
``(F) an assurance that the local educational agency will
participate, if selected, in the State National Assessment of
Educational Progress in 4th and 8th grade reading and
mathematics carried out under section 411(b)(2) of the
National Education Statistics Act of 1994;
``(G) a description of the poverty criteria that will be
used to select school attendance areas under section 1113;
``(H) a description of how teachers, in consultation with
parents, administrators, and pupil services personnel, in
targeted assistance schools under section 1115, will identify
the eligible children most in need of services under this
part;
``(I) a general description of the nature of the programs
to be conducted by such agency's schools under sections 1114
and 1115 and, where appropriate, educational services outside
such schools for children living in local institutions for
neglected or delinquent children, and for neglected and
delinquent children in community day school programs;
``(J) a description of how the local educational agency
will ensure that migratory children and formerly migratory
children who are eligible to receive services under this part
are selected to receive such services on the same basis as
other children who are selected to receive services under
this part;
``(K) if appropriate, a description of how the local
educational agency will use funds under this part to support
preschool programs for children, particularly children
participating in Early Reading First, or in a Head Start or
Even Start program, which services may be provided directly
by the local educational agency or through a subcontract with
the local Head Start agency designated by the Secretary of
Health and Human Services under section 641 of the Head Start
Act, or an agency operating an Even Start program, an Early
Reading First program, or another comparable public early
childhood development program;
``(L) a description of the actions the local educational
agency will take to assist its low-achieving schools
identified under section 1116 as in need of improvement;
``(M) a description of the actions the local educational
agency will take to implement public school choice and
supplemental services, consistent with the requirements of
section 1116;
``(N) a description of how the local educational agency
will meet the requirements of section 1119;
``(O) a description of the services the local educational
agency will provide homeless children, including services
provided with funds reserved under section 1113(c)(3)(A);
``(P) a description of the strategy the local educational
agency will use to implement effective parental involvement
under section 1118; and
``(Q) where appropriate, a description of how the local
educational agency will use funds under this part to support
after school, (including before school and summer school) and
school-year extension programs).
``(2) Exception.--The academic assessments and indicators
described in subparagraphs (A) and (B) of paragraph (1) shall
not be used--
``(A) in lieu of the academic assessments required under
section 1111(b)(3) and other State academic indicators under
section 1111(b)(2); or
``(B) to reduce the number of, or change which, schools
would otherwise be subject to school improvement, corrective
action, or restructuring under section 1116, if such
additional assessments or indicators described in such
subparagraphs were not used, but such assessments and
indicators may be used to identify additional schools for
school improvement or in need of corrective action or
restructuring.
``(c) Assurances.--
``(1) In general.--Each local educational agency plan shall
provide assurances that the local educational agency will--
``(A) inform eligible schools and parents of schoolwide
program authority and the ability of such schools to
consolidate funds from Federal, State, and local sources;
``(B) provide technical assistance and support to
schoolwide programs;
``(C) work in consultation with schools as the schools
develop the schools' plans pursuant to section 1114 and
assist schools as the schools implement such plans or
undertake activities pursuant to section 1115 so that each
school can make adequate yearly progress toward meeting the
State student academic achievement standards;
``(D) fulfill such agency's school improvement
responsibilities under section 1116, including taking actions
under paragraphs (7) and (8) of section 1116(b);
``(E) provide services to eligible children attending
private elementary schools and secondary schools in
accordance with section 1120, and timely and meaningful
consultation with private school officials regarding such
services;
``(F) take into account the experience of model programs
for the educationally disadvantaged, and the findings of
relevant scientifically based research indicating that
services may be most effective if focused on students in the
earliest grades at schools that receive funds under this
part;
``(G) in the case of a local educational agency that
chooses to use funds under this part to provide early
childhood development services to low-income children below
the age of compulsory school attendance, ensure that such
services comply with the performance standards established
under section 641A(a) of the Head Start Act;
``(H) work in consultation with schools as the schools
develop and implement their plans or activities under
sections 1118 and 1119;
``(I) comply with the requirements of section 1119
regarding the qualifications of teachers and
paraprofessionals and professional development;
``(J) inform eligible schools of the local educational
agency's authority to obtain waivers on the school's behalf
under title IX and, if the State is an Ed-Flex Partnership
State, to obtain waivers under the Education Flexibility
Partnership Act of 1999;
``(K) coordinate and collaborate, to the extent feasible
and necessary as determined by the local educational agency,
with the State educational agency and other agencies
providing services to children, youth, and families with
respect to a school in school improvement, corrective action,
or restructuring under section 1116 if such a school requests
assistance from the local educational agency in addressing
major factors that have significantly affected student
achievement at the school;
``(L) ensure, through incentives for voluntary transfers,
the provision of professional development, recruitment
programs, or other effective strategies, that low-income
students and minority students are not taught at higher rates
than other students by unqualified, out-of-field, or
inexperienced teachers;
``(M) use the results of the student academic assessments
required under section 1111(b)(3), and other measures or
indicators available to the agency, to review annually the
progress of each school served by the agency and receiving
funds under this part to determine whether all of the schools
are making the progress necessary to ensure that all students
will meet the State's proficient level of achievement on the
State academic assessments described in section 1111(b)(3)
within 12 years from the baseline year described in section
1111(b)(2)(E)(ii);
``(N) ensure that the results from the academic assessments
required under section 1111(b)(3) will be provided to parents
and teachers as soon as is practicably possible after the
test is taken, in an understandable and uniform format and,
to the extent practicable, provided in a language that the
parents can understand; and
``(O) assist each school served by the agency and assisted
under this part in developing or identifying examples of
high-quality, effective curricula consistent with section
1111(b)(8)(D).
``(2) Special rule.--In carrying out subparagraph (G) of
paragraph (1), the Secretary--
``(A) shall consult with the Secretary of Health and Human
Services and shall establish procedures (taking into
consideration existing State and local laws, and local
teacher contracts) to assist local educational agencies to
comply with such subparagraph; and
``(B) shall disseminate to local educational agencies the
Head Start performance standards as in effect under section
641A(a) of the Head Start Act, and such agencies affected by
such subparagraph shall plan for the implementation of such
subparagraph (taking into consideration existing State and
local laws, and local teacher contracts), including pursuing
the availability of other Federal, State, and local funding
sources to assist in compliance with such subparagraph.
``(3) Inapplicability.--Paragraph (1)(G) of this subsection
shall not apply to preschool programs using the Even Start
model or to Even Start programs that are expanded through the
use of funds under this part.
``(d) Plan Development and Duration.--
``(1) Consultation.--Each local educational agency plan
shall be developed in consultation with teachers, principals,
administrators (including administrators of programs
described in other parts of this title), and other
appropriate school personnel, and with parents of children in
schools served under this part.
``(2) Duration.--Each such plan shall be submitted for the
first year for which this part is in effect following the
date of enactment of the No Child Left Behind Act of 2001 and
shall remain in effect for the duration of the agency's
participation under this part.
``(3) Review.--Each local educational agency shall
periodically review and, as necessary, revise its plan.
``(e) State Approval.--
``(1) In general.--Each local educational agency plan shall
be filed according to a schedule established by the State
educational agency.
``(2) Approval.--The State educational agency shall approve
a local educational agency's plan only if the State
educational agency determines that the local educational
agency's plan--
``(A) enables schools served under this part to
substantially help children served under this part meet the
academic standards expected of all children described in
section 1111(b)(1); and
``(B) meets the requirements of this section.
``(3) Review.--The State educational agency shall review
the local educational agency's plan to determine if such
agencies activities are in accordance with sections 1118 and
1119.
``(f) Program Responsibility.--The local educational agency
plan shall reflect the shared

[[Page H9785]]

responsibility of schools, teachers, and the local
educational agency in making decisions regarding activities
under sections 1114 and 1115.
``(g) Parental Notification.--
``(1) In general.--
``(A) Notice.--Each local educational agency using funds
under this part to provide a language instruction educational
program as determined in part C of title III shall, not later
than 30 days after the beginning of the school year, inform a
parent or parents of a limited English proficient child
identified for participation or participating in, such a
program of--
``(i) the reasons for the identification of their child as
limited English proficient and in need of placement in a
language instruction educational program;
``(ii) the child's level of English proficiency, how such
level was assessed, and the status of the child's academic
achievement;
``(iii) the methods of instruction used in the program in
which their child is, or will be participating, and the
methods of instruction used in other available programs,
including how such programs differ in content, instructional
goals, and the use of English and a native language in
instruction;
``(iv) how the program in which their child is, or will be
participating, will meet the educational strengths and needs
of their child;
``(v) how such program will specifically help their child
learn English, and meet age-appropriate academic achievement
standards for grade promotion and graduation;
``(vi) the specific exit requirements for the program,
including the expected rate of transition from such program
into classrooms that are not tailored for limited English
proficient children, and the expected rate of graduation from
secondary school for such program if funds under this part
are used for children in secondary schools;
``(vii) in the case of a child with a disability, how such
program meets the objectives of the individualized education
program of the child;
``(viii) information pertaining to parental rights that
includes written guidance--

``(I) detailing--

``(aa) the right that parents have to have their child
immediately removed from such program upon their request; and
``(bb) the options that parents have to decline to enroll
their child in such program or to choose another program or
method of instruction, if available; and

``(II) assisting parents in selecting among various
programs and methods of instruction, if more than one program
or method is offered by the eligible entity.

``(B) Separate notification.--In addition to providing the
information required to be provided under paragraph (1), each
eligible entity that is using funds provided under this part
to provide a language instruction educational program, and
that has failed to make progress on the annual measurable
achievement objectives described in section 3122 for any
fiscal year for which part A is in effect, shall separately
inform a parent or the parents of a child identified for
participation in such program, or participating in such
program, of such failure not later than 30 days after such
failure occurs.
``(2) Notice.--The notice and information provided in
paragraph (1) to a parent or parents of a child identified
for participation in a language instruction educational
program for limited English proficient children shall be in
an understandable and uniform format and, to the extent
practicable, provided in a language that the parents can
understand.
``(3) Special rule applicable during the school year.--For
those children who have not been identified as limited
English proficient prior to the beginning of the school year
the local educational agency shall notify parents within the
first 2 weeks of the child being placed in a language
instruction educational program consistent with paragraphs
(1) and (2).
``(4) Parental participation.--Each local educational
agency receiving funds under this part shall implement an
effective means of outreach to parents of limited English
proficient students to inform the parents regarding how the
parents can be involved in the education of their children,
and be active participants in assisting their children to
attain English proficiency, achieve at high levels in core
academic subjects, and meet challenging State academic
achievement standards and State academic content standards
expected of all students, including holding, and sending
notice of opportunities for, regular meetings for the purpose
of formulating and responding to recommendations from parents
of students assisted under this part.
``(5) Basis for admission or exclusion.--A student shall
not be admitted to, or excluded from, any federally assisted
education program on the basis of a surname or language-
minority status.

``SEC. 1113. ELIGIBLE SCHOOL ATTENDANCE AREAS.

``(a) Determination.--
``(1) In general.--A local educational agency shall use
funds received under this part only in eligible school
attendance areas.
``(2) Eligible school attendance areas.--For the purposes
of this part--
``(A) the term `school attendance area' means, in relation
to a particular school, the geographical area in which the
children who are normally served by that school reside; and
``(B) the term `eligible school attendance area' means a
school attendance area in which the percentage of children
from low-income families is at least as high as the
percentage of children from low-income families served by the
local educational agency as a whole.
``(3) Ranking order.--If funds allocated in accordance with
subsection (c) are insufficient to serve all eligible school
attendance areas, a local educational agency shall--
``(A) annually rank, without regard to grade spans, such
agency's eligible school attendance areas in which the
concentration of children from low-income families exceeds 75
percent from highest to lowest according to the percentage of
children from low-income families; and
``(B) serve such eligible school attendance areas in rank
order.
``(4) Remaining funds.--If funds remain after serving all
eligible school attendance areas under paragraph (3), a local
educational agency shall--
``(A) annually rank such agency's remaining eligible school
attendance areas from highest to lowest either by grade span
or for the entire local educational agency according to the
percentage of children from low-income families; and
``(B) serve such eligible school attendance areas in rank
order either within each grade-span grouping or within the
local educational agency as a whole.
``(5) Measures.--The local educational agency shall use the
same measure of poverty, which measure shall be the number of
children ages 5 through 17 in poverty counted in the most
recent census data approved by the Secretary, the number of
children eligible for free and reduced priced lunches under
the Richard B. Russell National School Lunch Act, the number
of children in families receiving assistance under the State
program funded under part A of title IV of the Social
Security Act, or the number of children eligible to receive
medical assistance under the Medicaid program, or a composite
of such indicators, with respect to all school attendance
areas in the local educational agency--
``(A) to identify eligible school attendance areas;
``(B) to determine the ranking of each area; and
``(C) to determine allocations under subsection (c).
``(6) Exception.--This subsection shall not apply to a
local educational agency with a total enrollment of less than
1,000 children.
``(7) Waiver for Desegregation Plans.--The Secretary may
approve a local educational agency's written request for a
waiver of the requirements of subsections (a) and (c), and
permit such agency to treat as eligible, and serve, any
school that children attend with a State-ordered, court-
ordered school desegregation plan or a plan that continues to
be implemented in accordance with a State-ordered or court-
ordered desegregation plan, if--
``(A) the number of economically disadvantaged children
enrolled in the school is at least 25 percent of the school's
total enrollment; and
``(B) the Secretary determines on the basis of a written
request from such agency and in accordance with such criteria
as the Secretary establishes, that approval of that request
would further the purposes of this part.
``(b) Local educational agency discretion.--
``(1) In general.--Notwithstanding subsection (a)(2), a
local educational agency may--
``(A) designate as eligible any school attendance area or
school in which at least 35 percent of the children are from
low-income families;
``(B) use funds received under this part in a school that
is not in an eligible school attendance area, if the
percentage of children from low-income families enrolled in
the school is equal to or greater than the percentage of such
children in a participating school attendance area of such
agency;
``(C) designate and serve a school attendance area or
school that is not eligible under this section, but that was
eligible and that was served in the preceding fiscal year,
but only for 1 additional fiscal year; and
``(D) elect not to serve an eligible school attendance area
or eligible school that has a higher percentage of children
from low-income families if--
``(i) the school meets the comparability requirements of
section 1120A(c);
``(ii) the school is receiving supplemental funds from
other State or local sources that are spent according to the
requirements of section 1114 or 1115; and
``(iii) the funds expended from such other sources equal or
exceed the amount that would be provided under this part.
``(2) Special rule.--Notwithstanding paragraph (1)(D), the
number of children attending private elementary schools and
secondary schools who are to receive services, and the
assistance such children are to receive under this part,
shall be determined without regard to whether the public
school attendance area in which such children reside is
assisted under subparagraph (A).
``(c) Allocations.--
``(1) In general.--A local educational agency shall
allocate funds received under this part to eligible school
attendance areas or eligible schools, identified under
subsections (a) and (b), in rank order, on the basis of the
total number of children from low-income families in each
area or school.
``(2) Special rule.--
``(A) In general.--Except as provided in subparagraph (B),
the per-pupil amount of funds allocated to each school
attendance area or school under paragraph (1) shall be at
least 125 percent of the per-pupil amount of funds a local
educational agency received for that year under the
poverty criteria described by the local educational agency
in the plan submitted under section 1112, except that this
paragraph shall not apply to a local educational agency
that only serves schools in which the percentage of such
children is 35 percent or greater.
``(B) Exception.--A local educational agency may reduce the
amount of funds allocated under subparagraph (A) for a school
attendance area or school by the amount of any supplemental
State and local funds expended in that school attendance area
or school for programs that meet the requirements of section
1114 or 1115.

[[Page H9786]]

``(3) Reservation.--A local educational agency shall
reserve such funds as are necessary under this part to
provide services comparable to those provided to children in
schools funded under this part to serve--
``(A) homeless children who do not attend participating
schools, including providing educationally related support
services to children in shelters and other locations where
children may live;
``(B) children in local institutions for neglected
children; and
``(C) if appropriate, children in local institutions for
delinquent children, and neglected or delinquent children in
community day school programs.
``(4) Financial incentives and rewards reservation.--A
local educational agency may reserve such funds as are
necessary from those funds received by the local educational
agency under title II, and not more than 5 percent of those
funds received by the local educational agency under subpart
2, to provide financial incentives and rewards to teachers
who serve in schools eligible under this section and
identified for school improvement, corrective action, and
restructuring under section 1116(b) for the purpose of
attracting and retaining qualified and effective teachers.

``SEC. 1114. SCHOOLWIDE PROGRAMS.

``(a) Use of Funds for Schoolwide Programs.--
``(1) In general.--A local educational agency may
consolidate and use funds under this part, together with
other Federal, State, and local funds, in order to upgrade
the entire educational program of a school that serves an
eligible school attendance area in which not less than 40
percent of the children are from low-income families, or not
less than 40 percent of the children enrolled in the school
are from such families.
``(2) Identification of students not required.--
``(A) In general.--No school participating in a schoolwide
program shall be required--
``(i) to identify particular children under this part as
eligible to participate in a schoolwide program; or
``(ii) to provide services to such children that are
supplementary, as otherwise required by section 1120A(b).
``(B) Supplemental funds.--A school participating in a
schoolwide program shall use funds available to carry out
this section only to supplement the amount of funds that
would, in the absence of funds under this part, be made
available from non-Federal sources for the school, including
funds needed to provide services that are required by law for
children with disabilities and children with limited English
proficiency.
``(3) Exemption from statutory and regulatory
requirements.--
``(A) Exemption.--Except as provided in subsection (b), the
Secretary may, through publication of a notice in the Federal
Register, exempt schoolwide programs under this section from
statutory or regulatory provisions of any other
noncompetitive formula grant program administered by the
Secretary (other than formula or discretionary grant programs
under the Individuals with Disabilities Education Act, except
as provided in section 613(a)(2)(D) of such Act), or any
discretionary grant program administered by the Secretary, to
support schoolwide programs if the intent and purposes of
such other programs are met.
``(B) Requirements.--A school that chooses to use funds
from such other programs shall not be relieved of the
requirements relating to health, safety, civil rights,
student and parental participation and involvement, services
to private school children, maintenance of effort,
comparability of services, uses of Federal funds to
supplement, not supplant non-Federal funds, or the
distribution of funds to State educational agencies or local
educational agencies that apply to the receipt of funds from
such programs.
``(C) Records.--A school that consolidates and uses funds
from different Federal programs under this section shall not
be required to maintain separate fiscal accounting records,
by program, that identify the specific activities supported
by those particular funds as long as the school maintains
records that demonstrate that the schoolwide program,
considered as a whole, addresses the intent and purposes of
each of the Federal programs that were consolidated to
support the schoolwide program.
``(4) Professional development.--Each school receiving
funds under this part for any fiscal year shall devote
sufficient resources to effectively carry out the activities
described in subsection (b)(1)(D) in accordance with section
1119 for such fiscal year, except that a school may enter
into a consortium with another school to carry out such
activities.
``(b) Components of a Schoolwide Program.--
``(1) In general.--A schoolwide program shall include the
following components:
``(A) A comprehensive needs assessment of the entire school
(including taking into account the needs of migratory
children as defined in section 1309(2)) that is based on
information which includes the achievement of children in
relation to the State academic content standards and the
State student academic achievement standards described in
section 1111(b)(1).
``(B) Schoolwide reform strategies that--
``(i) provide opportunities for all children to meet the
State's proficient and advanced levels of student academic
achievement described in section 1111(b)(1)(D);
``(ii) use effective methods and instructional strategies
that are based on scientifically based research that--

``(I) strengthen the core academic program in the school;
``(II) increase the amount and quality of learning time,
such as providing an extended school year and before- and
after-school and summer programs and opportunities, and help
provide an enriched and accelerated curriculum; and
``(III) include strategies for meeting the educational
needs of historically underserved populations;

``(iii)(I) include strategies to address the needs of all
children in the school, but particularly the needs of low-
achieving children and those at risk of not meeting the State
student academic achievement standards who are members of the
target population of any program that is included in the
schoolwide program, which may include--

``(aa) counseling, pupil services, and mentoring services;
``(bb) college and career awareness and preparation, such
as college and career guidance, personal finance education,
and innovative teaching methods, which may include applied
learning and team-teaching strategies; and
``(cc) the integration of vocational and technical
education programs; and

``(II) address how the school will determine if such needs
have been met; and
``(iv) are consistent with, and are designed to implement,
the State and local improvement plans, if any.
``(C) Instruction by highly qualified teachers.
``(D) In accordance with section 1119 and subsection
(a)(4), high-quality and ongoing professional development for
teachers, principals, and paraprofessionals and, if
appropriate, pupil services personnel, parents, and other
staff to enable all children in the school to meet the
State's student academic achievement standards.
``(E) Strategies to attract high-quality highly qualified
teachers to high-need schools.
``(F) Strategies to increase parental involvement in
accordance with section 1118, such as family literary
services.
``(G) Plans for assisting preschool children in the
transition from early childhood programs, such as Head Start,
Even Start, Early Reading First, or a State-run preschool
program, to local elementary school programs.
``(H) Measures to include teachers in the decisions
regarding the use of academic assessments described in
section 1111(b)(3) in order to provide information on, and to
improve, the achievement of individual students and the
overall instructional program.
``(I) Activities to ensure that students who experience
difficulty mastering the proficient or advanced levels of
academic achievement standards required by section 1111(b)(1)
shall be provided with effective, timely additional
assistance which shall include measures to ensure that
students' difficulties are identified on a timely basis and
to provide sufficient information on which to base effective
assistance.
``(J) Coordination and integration of Federal, State, and
local services and programs, including programs supported
under this Act, violence prevention programs, nutrition
programs, housing programs, Head Start, adult education,
vocational and technical education, and job training.
``(2) Plan.--
``(A) In general.--Any eligible school that desires to
operate a schoolwide program shall first develop (or amend a
plan for such a program that was in existence on the day
before the date of enactment of the No Child Left Behind Act
of 2001), in consultation with the local educational agency
and its school support team or other technical assistance
provider under section 1117, a comprehensive plan for
reforming the total instructional program in the school
that--
``(i) describes how the school will implement the
components described in paragraph (1);
``(ii) describes how the school will use resources under
this part and from other sources to implement those
components;
``(iii) includes a list of State educational agency and
local educational agency programs and other Federal programs
under subsection (a)(3) that will be consolidated in the
schoolwide program; and
``(iv) describes how the school will provide individual
student academic assessment results in a language the parents
can understand, including an interpretation of those results,
to the parents of a child who participates in the academic
assessments required by section 1111(b)(3).
``(B) Plan development.--The comprehensive plan shall be--
``(i) developed during a one-year period, unless--

``(I) the local educational agency, after considering the
recommendation of the technical assistance providers under
section 1117, determines that less time is needed to develop
and implement the schoolwide program; or
``(II) the school is operating a schoolwide program on the
day preceding the date of enactment of the No Child Left
Behind Act of 2001, in which case such school may continue to
operate such program, but shall develop amendments to its
existing plan during the first year of assistance after that
date to reflect the provisions of this section;

``(ii) developed with the involvement of parents and other
members of the community to be served and individuals who
will carry out such plan, including teachers, principals, and
administrators (including administrators of programs
described in other parts of this title), and, if appropriate,
pupil services personnel, technical assistance providers,
school staff, and, if the plan relates to a secondary school,
students from such school;
``(iii) in effect for the duration of the school's
participation under this part and reviewed and revised, as
necessary, by the school;
``(iv) available to the local educational agency, parents,
and the public, and the information contained in such plan
shall be in an understandable and uniform format and, to the
extent

[[Page H9787]]

practicable, provided in a language that the parents can
understand; and
``(v) if appropriate, developed in coordination with
programs under Reading First, Early Reading First, Even
Start, Carl D. Perkins Vocational and Technical Education Act
of 1998, and the Head Start Act.
``(c) Prekindergarten Program.--A school that is eligible
for a schoolwide program under this section may use funds
made available under this part to establish or enhance
prekindergarten programs for children below the age of 6,
such as Even Start programs or Early Reading First programs.

``SEC. 1115. TARGETED ASSISTANCE SCHOOLS.

``(a) In General.--In all schools selected to receive funds
under section 1113(c) that are ineligible for a schoolwide
program under section 1114, or that choose not to operate
such a schoolwide program, a local educational agency serving
such school may use funds received under this part only for
programs that provide services to eligible children under
subsection (b) identified as having the greatest need for
special assistance.
``(b) Eligible Children.--
``(1) Eligible population.--
``(A) In general.--The eligible population for services
under this section is--
``(i) children not older than age 21 who are entitled to a
free public education through grade 12; and
``(ii) children who are not yet at a grade level at which
the local educational agency provides a free public
education.
``(B) Eligible children from eligible population.--From the
population described in subparagraph (A), eligible children
are children identified by the school as failing, or most at
risk of failing, to meet the State's challenging student
academic achievement standards on the basis of multiple,
educationally related, objective criteria established by the
local educational agency and supplemented by the school,
except that children from preschool through grade 2 shall be
selected solely on the basis of such criteria as teacher
judgment, interviews with parents, and developmentally
appropriate measures.
``(2) Children included.--
``(A) In general.--Children who are economically
disadvantaged, children with disabilities, migrant children
or limited English proficient children, are eligible for
services under this part on the same basis as other children
selected to receive services under this part.
``(B) Head start, even start, or early reading first
children.--A child who, at any time in the 2 years preceding
the year for which the determination is made, participated in
a Head Start, Even Start, or Early Reading First program, or
in preschool services under this title, is eligible for
services under this part.
``(C) Part c children.--A child who, at any time in the 2
years preceding the year for which the determination is made,
received services under part C is eligible for services under
this part.
``(D) Neglected or delinquent children.--A child in a local
institution for neglected or delinquent children and youth or
attending a community day program for such children is
eligible for services under this part.
``(E) Homeless children.--A child who is homeless and
attending any school served by the local educational agency
is eligible for services under this part.
``(3) Special rule.--Funds received under this part may not
be used to provide services that are otherwise required by
law to be made available to children described in paragraph
(2) but may be used to coordinate or supplement such
services.
``(c) Components of a Targeted Assistance School Program.--
``(1) In general.--To assist targeted assistance schools
and local educational agencies to meet their responsibility
to provide for all their students served under this part the
opportunity to meet the State's challenging student academic
achievement standards in subjects as determined by the State,
each targeted assistance program under this section shall--
``(A) use such program's resources under this part to help
participating children meet such State's challenging student
academic achievement standards expected for all children;
``(B) ensure that planning for students served under this
part is incorporated into existing school planning;
``(C) use effective methods and instructional strategies
that are based on scientifically based research that
strengthens the core academic program of the school and
that--
``(i) give primary consideration to providing extended
learning time, such as an extended school year, before- and
after-school, and summer programs and opportunities;
``(ii) help provide an accelerated, high-quality
curriculum, including applied learning; and
``(iii) minimize removing children from the regular
classroom during regular school hours for instruction
provided under this part;
``(D) coordinate with and support the regular education
program, which may include services to assist preschool
children in the transition from early childhood programs such
as Head Start, Even Start, Early Reading First or State-run
preschool programs to elementary school programs;
``(E) provide instruction by highly qualified teachers;
``(F) in accordance with subsection (e)(3) and section
1119, provide opportunities for professional development with
resources provided under this part, and, to the extent
practicable, from other sources, for teachers, principals,
and paraprofessionals, including, if appropriate, pupil
services personnel, parents, and other staff, who work with
participating children in programs under this section or in
the regular education program;
``(G) provide strategies to increase parental involvement
in accordance with section 1118, such as family literacy
services; and
``(H) coordinate and integrate Federal, State, and local
services and programs, including programs supported under
this Act, violence prevention programs, nutrition programs,
housing programs, Head Start, adult education, vocational and
technical education, and job training.
``(2) Requirements.--Each school conducting a program under
this section shall assist participating children selected in
accordance with subsection (b) to meet the State's proficient
and advanced levels of achievement by--
``(A) the coordinating of resources provided under this
part with other resources; and
``(B) reviewing, on an ongoing basis, the progress of
participating children and revising the targeted assistance
program, if necessary, to provide additional assistance to
enable such children to meet the State's challenging student
academic achievement standards, such as an extended school
year, before- and after-school, and summer programs and
opportunities, training for teachers regarding how to
identify students who need additional assistance, and
training for teachers regarding how to implement student
academic achievement standards in the classroom.
``(d) Integration of Professional Development.--To promote
the integration of staff supported with funds under this part
into the regular school program and overall school planning
and improvement efforts, public school personnel who are paid
with funds received under this part may--
``(1) participate in general professional development and
school planning activities; and
``(2) assume limited duties that are assigned to similar
personnel who are not so paid, including duties beyond
classroom instruction or that do not benefit participating
children, so long as the amount of time spent on such duties
is the same proportion of total work time as prevails with
respect to similar personnel at the same school.
``(e) Special Rules.--
``(1) Simultaneous service.--Nothing in this section shall
be construed to prohibit a school from serving students under
this section simultaneously with students with similar
educational needs, in the same educational settings where
appropriate.
``(2) Comprehensive services.--If--
``(A) health, nutrition, and other social services are not
otherwise available to eligible children in a targeted
assistance school and such school, if appropriate, has
engaged in a comprehensive needs assessment and established a
collaborative partnership with local service providers; and
``(B) funds are not reasonably available from other public
or private sources to provide such services, then a portion
of the funds provided under this part may be used as a last
resort to provide such services, including--
``(i) the provision of basic medical equipment, such as
eyeglasses and hearing aids;
``(ii) compensation of a coordinator; and
``(iii) professional development necessary to assist
teachers, pupil services personnel, other staff, and parents
in identifying and meeting the comprehensive needs of
eligible children.
``(3) Professional development.--Each school receiving
funds under this part for any fiscal year shall devote
sufficient resources to carry out effectively the
professional development activities described in subparagraph
(F) of subsection (c)(1) in accordance with section 1119 for
such fiscal year, and a school may enter into a consortium
with another school to carry out such activities.

``SEC. 1116. ACADEMIC ASSESSMENT AND LOCAL EDUCATIONAL AGENCY
AND SCHOOL IMPROVEMENT.

``(a) Local Review.--
``(1) In general.--Each local educational agency receiving
funds under this part shall--
``(A) use the State academic assessments and other
indicators described in the State plan to review annually the
progress of each school served under this part to determine
whether the school is making adequate yearly progress as
defined in section 1111(b)(2);
``(B) at the local educational agency's discretion, use any
academic assessments or any other academic indicators
described in the local educational agency's plan under
section 1112(b)(1)(A) and (B) to review annually the progress
of each school served under this part to determine whether
the school is making adequate yearly progress as defined in
section 1111(b)(2), except that the local educational agency
may not use such indicators (other than as provided for in
section 1111(b)(2)(I)) if the indicators reduce the number or
change the schools that would otherwise be subject to school
improvement, corrective action, or restructuring under
section 1116 if such additional indicators were not used, but
may identify additional schools for school improvement or in
need of corrective action or restructuring;
``(C) publicize and disseminate the results of the local
annual review described in paragraph (1) to parents,
teachers, principals, schools, and the community so that the
teachers, principals, other staff, and schools can
continually refine, in an instructionally useful manner, the
program of instruction to help all children served under this
part meet the challenging State student academic achievement
standards established under section 1111(b)(1); and
``(D) review the effectiveness of the actions and
activities the schools are carrying out under this part with
respect to parental involvement, professional development,
and other activities assisted under this part.
``(2) Available results.--The State educational agency
shall ensure that the results of State academic assessments
administered in that

[[Page H9788]]

school year are available to the local educational agency
before the beginning of the next school year.
``(b) School Improvement.--
``(1) General requirements.--
``(A) Identification.--Subject to subparagraph (C), a local
educational agency shall identify for school improvement any
elementary school or secondary school served under this part
that fails, for 2 consecutive years, to make adequate yearly
progress as defined in the State's plan under section
1111(b)(2).
``(B) Deadline.--The identification described in
subparagraph (A) shall take place before the beginning of the
school year following such failure to make adequate yearly
progress.
``(C) Application.--Subparagraph (A) shall not apply to a
school if almost every student in each group specified in
section 1111(b)(2)(C)(v) enrolled in such school is meeting
or exceeding the State's proficient level of academic
achievement.
``(D) Targeted assistance schools.--To determine if an
elementary school or a secondary school that is conducting a
targeted assistance program under section 1115 should be
identified for school improvement, corrective action, or
restructuring under this section, a local educational agency
may choose to review the progress of only the students in the
school who are served, or are eligible for services, under
this part.
``(E) Public school choice.--
``(i) In general.--In the case of a school identified for
school improvement under this paragraph, the local
educational agency shall, not later than the first day of the
school year following such identification, provide all
students enrolled in the school with the option to transfer
to another public school served by the local educational
agency, which may include a public charter school, that has
not been identified for school improvement under this
paragraph, unless such an option is prohibited by State law.
``(ii) Rule.--In providing students the option to transfer
to another public school, the local educational agency shall
give priority to the lowest achieving children from low-
income families, as determined by the local educational
agency for purposes of allocating funds to schools under
section 1113(c)(1).
``(F) Transfer.--Students who use the option to transfer
under subparagraph (E) and paragraph (5)(A), (7)(C)(i), or
(8)(A)(i) or subsection (c)(10)(C)(vii) shall be enrolled in
classes and other activities in the public school to which
the students transfer in the same manner as all other
children at the public school.
``(2) Opportunity to review and present evidence; time
limit.--
``(A) Identification.--Before identifying an elementary
school or a secondary school for school improvement under
paragraphs (1) or (5)(A), for corrective action under
paragraph (7), or for restructuring under paragraph (8), the
local educational agency shall provide the school with an
opportunity to review the school-level data, including
academic assessment data, on which the proposed
identification is based.
``(B) Evidence.--If the principal of a school proposed for
identification under paragraph (1), (5)(A), (7), or (8)
believes, or a majority of the parents of the students
enrolled in such school believe, that the proposed
identification is in error for statistical or other
substantive reasons, the principal may provide supporting
evidence to the local educational agency, which shall
consider that evidence before making a final determination.
``(C) Final determination.--Not later than 30 days after a
local educational agency provides the school with the
opportunity to review such school-level data, the local
educational agency shall make public a final determination on
the status of the school with respect to the identification.
``(3) School plan.--
``(A) Revised plan.--After the resolution of a review under
paragraph (2), each school identified under paragraph (1) for
school improvement shall, not later than 3 months after being
so identified, develop or revise a school plan, in
consultation with parents, school staff, the local
educational agency serving the school, and outside experts,
for approval by such local educational agency. The school
plan shall cover a 2-year period and--
``(i) incorporate strategies based on scientifically based
research that will strengthen the core academic subjects in
the school and address the specific academic issues that
caused the school to be identified for school improvement,
and may include a strategy for the implementation of a
comprehensive school reform model that includes each of the
components described in part F;
``(ii) adopt policies and practices concerning the school's
core academic subjects that have the greatest likelihood of
ensuring that all groups of students specified in section
1111(b)(2)(C)(v) and enrolled in the school will meet the
State's proficient level of achievement on the State academic
assessment described in section 1111(b)(3) not later than 12
years after the end of the 2001-2002 school year;
``(iii) provide an assurance that the school will spend not
less than 10 percent of the funds made available to the
school under section 1113 for each fiscal year that the
school is in school improvement status, for the purpose of
providing to the school's teachers and principal high-quality
professional development that--

``(I) directly addresses the academic achievement problem
that caused the school to be identified for school
improvement;

``(II) meets the requirements for professional development
activities under section 1119; and

``(III) is provided in a manner that affords increased
opportunity for participating in that professional
development;

``(iv) specify how the funds described in clause (iii) will
be used to remove the school from school improvement status;
``(v) establish specific annual, measurable objectives for
continuous and substantial progress by each group of students
specified in section 1111(b)(2)(C)(v) and enrolled in the
school that will ensure that all such groups of students
will, in accordance with adequate yearly progress as defined
in section 1111(b)(2), meet the State's proficient level of
achievement on the State academic assessment described in
section 1111(b)(3) not later than 12 years after the end of
the 2001-2002 school year;
``(vi) describe how the school will provide written notice
about the identification to parents of each student enrolled
in such school, in a format and, to the extent practicable,
in a language that the parents can understand;
``(vii) specify the responsibilities of the school, the
local educational agency, and the State educational agency
serving the school under the plan, including the technical
assistance to be provided by the local educational agency
under paragraph (4) and the local educational agency's
responsibilities under section 1120A;
``(viii) include strategies to promote effective parental
involvement in the school;
``(ix) incorporate, as appropriate, activities before
school, after school, during the summer, and during any
extension of the school year; and
``(x) incorporate a teacher mentoring program.
``(B) Conditional approval.--The local educational agency
may condition approval of a school plan under this paragraph
on--
``(i) inclusion of one or more of the corrective actions
specified in paragraph (7)(C)(iv); or
``(ii) feedback on the school improvement plan from parents
and community leaders.
``(C) Plan implementation.--Except as provided in
subparagraph (D), a school shall implement the school plan
(including a revised plan) expeditiously, but not later than
the beginning of the next full school year following the
identification under paragraph (1).
``(D) Plan approved during school year.--Notwithstanding
subparagraph (C), if a plan is not approved prior to the
beginning of a school year, such plan shall be implemented
immediately upon approval.
``(E) Local educational agency approval.--The local
educational agency, within 45 days of receiving a school
plan, shall--
``(i) establish a peer review process to assist with review
of the school plan; and
``(ii) promptly review the school plan, work with the
school as necessary, and approve the school plan if the plan
meets the requirements of this paragraph.
``(4) Technical assistance.--
``(A) In general.--For each school identified for school
improvement under paragraph (1), the local educational agency
serving the school shall ensure the provision of technical
assistance as the school develops and implements the school
plan under paragraph (3) throughout the plan's duration.
``(B) Specific assistance.--Such technical assistance--
``(i) shall include assistance in analyzing data from the
assessments required under section 1111(b)(3), and other
examples of student work, to identify and address, problems
in instruction and problems, if any, in implementing the
parental involvement requirements described in section 1118,
the professional development requirements described in
section 1119, and the responsibilities of the school and
local educational agency under the school plan, and to
identify and address solutions to such problems;
``(ii) shall include assistance in identifying and
implementing professional development, instructional
strategies, and methods of instruction that are based on
scientifically based research and that have proven effective
in addressing the specific instructional issues that caused
the school to be identified for school improvement;
``(iii) shall include assistance in analyzing and revising
the school's budget so that the school's resources are more
effectively allocated to the activities most likely to
increase student academic achievement and to remove the
school from school improvement status; and
``(iv) may be provided--

``(I) by the local educational agency, through mechanisms
authorized under section 1117; or
``(II) by the State educational agency, an institution of
higher education (that is in full compliance with all the
reporting provisions of title II of the Higher Education Act
of 1965), a private not-for-profit organization or for-profit
organization, an educational service agency, or another
entity with experience in helping schools improve academic
achievement.

``(C) Scientifically based research.--Technical assistance
provided under this section by a local educational agency or
an entity approved by that agency shall be based on
scientifically based research.
``(5) Failure to make adequate yearly progress after
identification.--In the case of any school served under this
part that fails to make adequate yearly progress, as defined
by the State under section 1111(b)(2), by the end of the
first full school year after identification under paragraph
(1), the local educational agency serving such school--
``(A) shall continue to provide all students enrolled in
the school with the option to transfer to another public
school served by the local educational agency in accordance
with subparagraphs (E) and (F);
``(B) shall make supplemental educational services
available consistent with subsection (e)(1); and
``(C) shall continue to provide technical assistance.
``(6) Notice to parents.--A local educational agency shall
promptly provide to a parent or

[[Page H9789]]

parents (in an understandable and uniform format and, to the
extent practicable, in a language the parents can understand)
of each student enrolled in an elementary school or a
secondary school identified for school improvement under
paragraph (1), for corrective action under paragraph (7), or
for restructuring under paragraph (8)--
``(A) an explanation of what the identification means, and
how the school compares in terms of academic achievement to
other elementary schools or secondary schools served by the
local educational agency and the State educational agency
involved;
``(B) the reasons for the identification;
``(C) an explanation of what the school identified for
school improvement is doing to address the problem of low
achievement;
``(D) an explanation of what the local educational agency
or State educational agency is doing to help the school
address the achievement problem;
``(E) an explanation of how the parents can become involved
in addressing the academic issues that caused the school to
be identified for school improvement; and
``(F) an explanation of the parents' option to transfer
their child to another public school under paragraphs (1)(E),
(5)(A), (7)(C)(i), (8)(A)(i), and subsection (c)(10)(C)(vii)
(with transportation provided by the agency when required by
paragraph (9)) or to obtain supplemental educational services
for the child, in accordance with subsection (e).
``(7) Corrective action.--
``(A) In general.--In this subsection, the term `corrective
action' means action, consistent with State law, that--
``(i) substantially and directly responds to--

``(I) the consistent academic failure of a school that
caused the local educational agency to take such action; and
``(II) any underlying staffing, curriculum, or other
problems in the school; and

``(ii) is designed to increase substantially the likelihood
that each group of students described in 1111(b)(2)(C)
enrolled in the school identified for corrective action will
meet or exceed the State's proficient levels of achievement
on the State academic assessments described in section
1111(b)(3).
``(B) System.--In order to help students served under this
part meet challenging State student academic achievement
standards, each local educational agency shall implement a
system of corrective action in accordance with subparagraphs
(C) through (E).
``(C) Role of local educational agency.--In the case of any
school served by a local educational agency under this part
that fails to make adequate yearly progress, as defined by
the State under section 1111(b)(2), by the end of the second
full school year after the identification under paragraph
(1), the local educational agency shall--
``(i) continue to provide all students enrolled in the
school with the option to transfer to another public school
served by the local educational agency, in accordance with
paragraph (1)(E) and (F);
``(ii) continue to provide technical assistance consistent
with paragraph (4) while instituting any corrective action
under clause (iv);
``(iii) continue to make supplemental educational services
available, in accordance with subsection (e), to children who
remain in the school; and
``(iv) identify the school for corrective action and take
at least one of the following corrective actions:

``(I) Replace the school staff who are relevant to the
failure to make adequate yearly progress.
``(II) Institute and fully implement a new curriculum,
including providing appropriate professional development for
all relevant staff, that is based on scientifically based
research and offers substantial promise of improving
educational achievement for low-achieving students and
enabling the school to make adequate yearly progress.
``(III) Significantly decrease management authority at the
school level.
``(IV) Appoint an outside expert to advise the school on
its progress toward making adequate yearly progress, based on
its school plan under paragraph (3).
``(V) Extend the school year or school day for the school.
``(VI) Restructure the internal organizational structure of
the school.

``(D) Delay.--Notwithstanding any other provision of this
paragraph, the local educational agency may delay, for a
period not to exceed 1 year, implementation of the
requirements under paragraph (5), corrective action under
this paragraph, or restructuring under paragraph (8) if the
school makes adequate yearly progress for 1 year or if its
failure to make adequate yearly progress is due to
exceptional or uncontrollable circumstances, such as a
natural disaster or a precipitous and unforeseen decline in
the financial resources of the local educational agency or
school. No such period shall be taken into account in
determining the number of consecutive years of failure to
make adequate yearly progress.
``(E) Publication and dissemination.--The local educational
agency shall publish and disseminate information regarding
any corrective action the local educational agency takes
under this paragraph at a school--
``(i) to the public and to the parents of each student
enrolled in the school subject to corrective action;
``(ii) in an understandable and uniform format and, to the
extent practicable, provided in a language that the parents
can understand; and
``(iii) through such means as the Internet, the media, and
public agencies.
``(8) Restructuring.--
``(A) Failure to make adequate yearly progress.--If, after
1 full school year of corrective action under paragraph (7),
a school subject to such corrective action continues to fail
to make adequate yearly progress, then the local educational
agency shall--
``(i) continue to provide all students enrolled in the
school with the option to transfer to another public school
served by the local educational agency, in accordance with
paragraph (1)(E) and (F);
``(ii) continue to make supplemental educational services
available, in accordance with subsection (e), to children who
remain in the school; and
``(iii) prepare a plan and make necessary arrangements to
carry out subparagraph (B).
``(B) Alternative governance.--Not later than the beginning
of the school year following the year in which the local
educational agency implements subparagraph (A), the local
educational agency shall implement one of the following
alternative governance arrangements for the school consistent
with State law:
``(i) Reopening the school as a public charter school.
``(ii) Replacing all or most of the school staff (which may
include the principal) who are relevant to the failure to
make adequate yearly progress.
``(iii) Entering into a contract with an entity, such as a
private management company, with a demonstrated record of
effectiveness, to operate the public school.
``(iv) Turning the operation of the school over to the
State, if permitted under State law and agreed to by the
State.
``(v) Any other major restructuring of the school's
governance arrangement that makes fundamental reforms, such
as significant changes in the school's staffing and
governance, to improve student academic achievement in the
school and that has substantial promise of enabling the
school to make adequate yearly progress as defined in the
State plan under section 1111(b)(2). In the case of a rural
local educational agency with a total of less than 600
students in average daily attendance at the schools that are
served by the agency and all of whose schools have a School
Locale Code of 7 or 8, as determined by the Secretary, the
Secretary shall, at such agency's request, provide technical
assistance to such agency for the purpose of implementing
this clause.
``(C) Prompt notice.--The local educational agency shall--
``(i) provide prompt notice to teachers and parents
whenever subparagraph (A) or (B) applies; and
``(ii) provide the teachers and parents with an adequate
opportunity to--

``(I) comment before taking any action under those
subparagraphs; and
``(II) participate in developing any plan under
subparagraph (A)(iii).

``(9) Transportation.--In any case described in paragraph
(1)(E) for schools described in paragraphs (1)(A), (5),
(7)(C)(i), and (8)(A), and subsection (c)(10)(C)(vii), the
local educational agency shall provide, or shall pay for the
provision of, transportation for the student to the public
school the student attends.
``(10) Funds for transportation and supplemental
educational services.--
``(A) In general.--Unless a lesser amount is needed to
comply with paragraph (9) and to satisfy all requests for
supplemental educational services under subsection (e), a
local educational agency shall spend an amount equal to 20
percent of its allocation under subpart 2, from which the
agency shall spend--
``(i) an amount equal to 5 percent of its allocation under
subpart 2 to provide, or pay for, transportation under
paragraph (9);
``(ii) an amount equal to 5 percent of its allocation under
subpart 2 to provide supplemental educational services under
subsection (e); and
``(iii) an amount equal to the remaining 10 percent of its
allocation under subpart 2 for transportation under paragraph
(9), supplemental educational services under subsection (e),
or both, as the agency determines.
``(B) Total amount.--The total amount described in
subparagraph (A)(ii) is the maximum amount the local
educational agency shall be required to spend under this part
on supplemental educational services described in subsection
(e).
``(C) Insufficient funds.--If the amount of funds described
in subparagraph (A)(ii) or (iii) and available to provide
services under this subsection is insufficient to provide
supplemental educational services to each child whose parents
request the services, the local educational agency shall give
priority to providing the services to the lowest-achieving
children.
``(D) Prohibition.--A local educational agency shall not,
as a result of the application of this paragraph, reduce by
more than 15 percent the total amount made available under
section 1113(c) to a school described in paragraph (7)(C) or
(8)(A) of subsection (b).
``(11) Cooperative agreement.--In any case described in
paragraph (1)(E), (5)(A), (7)(C)(i), or (8)(A)(i), or
subsection (c)(10)(C)(vii) if all public schools served by
the local educational agency to which a child may transfer
are identified for school improvement, corrective action or
restructuring, the agency shall, to the extent practicable,
establish a cooperative agreement with other local
educational agencies in the area for a transfer.
``(12) Duration.--If any school identified for school
improvement, corrective action, or restructuring makes
adequate yearly progress for 2 consecutive school years, the
local educational agency shall no longer subject the school
to the requirements of school improvement, corrective action,
or restructuring or identify the school for school
improvement for the succeeding school year.
``(13) Special rule.--A local educational agency shall
permit a child who transferred to

[[Page H9790]]

another school under this subsection to remain in that school
until the child has completed the highest grade in that
school. The obligation of the local educational agency to
provide, or to provide for, transportation for the child ends
at the end of a school year if the local educational agency
determines that the school from which the child transferred
is no longer identified for school improvement or subject to
corrective action or restructuring.
``(14) State educational agency responsibilities.--The
State educational agency shall--
``(A) make technical assistance under section 1117
available to schools identified for school improvement,
corrective action, or restructuring under this subsection
consistent with section 1117(a)(2);
``(B) if the State educational agency determines that a
local educational agency failed to carry out its
responsibilities under this subsection, take such corrective
actions as the State educational agency determines to be
appropriate and in compliance with State law;
``(C) ensure that academic assessment results under this
part are provided to schools before any identification of a
school may take place under this subsection; and
``(D) for local educational agencies or schools identified
for improvement under this subsection, notify the Secretary
of major factors that were brought to the attention of the
State educational agency under section 1111(b)(9) that have
significantly affected student academic achievement.
``(c) State Review and Local Educational Agency
Improvement.--
``(1) In general.--A State shall--
``(A) annually review the progress of each local
educational agency receiving funds under this part to
determine whether schools receiving assistance under this
part are making adequate yearly progress as defined in
section 1111(b)(2) toward meeting the State's student
academic achievement standards and to determine if each local
educational agency is carrying out its responsibilities under
this section and sections 1117, 1118, and 1119; and
``(B) publicize and disseminate to local educational
agencies, teachers and other staff, parents, students, and
the community the results of the State review, including
statistically sound disaggregated results, as required by
section 1111(b)(2).
``(2) Rewards.--In the case of a local educational agency
that, for 2 consecutive years, has exceeded adequate yearly
progress as defined in the State plan under section
1111(b)(2), the State may make rewards of the kinds described
under section 1117 to the agency.
``(3) Identification of local educational agency for
improvement.--A State shall identify for improvement any
local educational agency that, for 2 consecutive years,
including the period immediately prior to the date of
enactment of the No Child Left Behind Act of 2001, failed to
make adequate yearly progress as defined in the State's plan
under section 1111(b)(2).
``(4) Targeted assistance schools.--When reviewing targeted
assistance schools served by a local educational agency, a
State educational agency may choose to review the progress of
only the students in such schools who are served, or are
eligible for services, under this part.
``(5) Opportunity to review and present evidence.--
``(A) Review.--Before identifying a local educational
agency for improvement under paragraph (3) or corrective
action under paragraph (10), a State educational agency shall
provide the local educational agency with an opportunity to
review the data, including academic assessment data, on which
the proposed identification is based.
``(B) Evidence.--If the local educational agency believes
that the proposed identification is in error for statistical
or other substantive reasons, the agency may provide
supporting evidence to the State educational agency, which
shall consider the evidence before making a final
determination not later than 30 days after the State
educational agency provides the local educational agency with
the opportunity to review such data under subparagraph (A).
``(6) Notification to parents.--The State educational
agency shall promptly provide to the parents (in a format
and, to the extent practicable, in a language the parents can
understand) of each student enrolled in a school served by a
local educational agency identified for improvement, the
results of the review under paragraph (1) and, if the agency
is identified for improvement, the reasons for that
identification and how parents can participate in upgrading
the quality of the local educational agency.
``(7) Local educational agency revisions.--
``(A) Plan.--Each local educational agency identified under
paragraph (3) shall, not later than 3 months after being so
identified, develop or revise a local educational agency
plan, in consultation with parents, school staff, and others.
Such plan shall--
``(i) incorporate scientifically based research strategies
that strengthen the core academic program in schools served
by the local educational agency;
``(ii) identify actions that have the greatest likelihood
of improving the achievement of participating children in
meeting the State's student academic achievement standards;
``(iii) address the professional development needs of the
instructional staff serving the agency by committing to spend
not less than 10 percent of the funds received by the local
educational agency under subpart 2 for each fiscal year in
which the agency is identified for improvement for
professional development (including funds reserved for
professional development under subsection (b)(3)(A)(iii)),
but excluding funds reserved for professional development
under section 1119;
``(iv) include specific measurable achievement goals and
targets for each of the groups of students identified in the
disaggregated data pursuant to section 1111(b)(2)(C)(v),
consistent with adequate yearly progress as defined under
section 1111(b)(2);
``(v) address the fundamental teaching and learning needs
in the schools of that agency, and the specific academic
problems of low-achieving students, including a determination
of why the local educational agency's prior plan failed to
bring about increased student academic achievement;
``(vi) incorporate, as appropriate, activities before
school, after school, during the summer, and during an
extension of the school year;
``(vii) specify the responsibilities of the State
educational agency and the local educational agency under the
plan, including specifying the technical assistance to be
provided by the State educational agency under paragraph (9)
and the local educational agency's responsibilities under
section 1120A; and
``(viii) include strategies to promote effective parental
involvement in the school.
``(B) Implementation.--The local educational agency shall
implement the plan (including a revised plan) expeditiously,
but not later than the beginning of the next school year
after the school year in which the agency was identified for
improvement.
``(9) State educational agency responsibility.--
``(A) Technical or other assistance.--For each local
educational agency identified under paragraph (3), the State
educational agency shall provide technical or other
assistance if requested, as authorized under section 1117, to
better enable the local educational agency to--
``(i) develop and implement the local educational agency's
plan; and
``(ii) work with schools needing improvement.
``(B) Methods and strategies.--Technical assistance
provided under this section by the State educational agency
or an entity authorized by such agency shall be supported by
effective methods and instructional strategies based on
scientifically based research. Such technical assistance
shall address problems, if any, in implementing the parental
involvement activities described in section 1118 and the
professional development activities described in section
1119.
``(10) Corrective action.--In order to help students served
under this part meet challenging State student academic
achievement standards, each State shall implement a system of
corrective action in accordance with the following:
``(A) Definition.--As used in this paragraph, the term
`corrective action' means action, consistent with State law,
that--
``(i) substantially and directly responds to the consistent
academic failure that caused the State to take such action
and to any underlying staffing, curricular, or other problems
in the agency; and
``(ii) is designed to meet the goal of having all students
served under this part achieve at the proficient and advanced
student academic achievement levels.
``(B) General requirements.--After providing technical
assistance under paragraph (9) and subject to subparagraph
(E), the State--
``(i) may take corrective action at any time with respect
to a local educational agency that has been identified under
paragraph (3);
``(ii) shall take corrective action with respect to any
local educational agency that fails to make adequate yearly
progress, as defined by the State, by the end of the second
full school year after the identification of the agency under
paragraph (3); and
``(iii) shall continue to provide technical assistance
while instituting any corrective action under clause (i) or
(ii).
``(C) Certain corrective actions required.--In the case of
a local educational agency identified for corrective action,
the State educational agency shall take at least one of the
following corrective actions:
``(i) Deferring programmatic funds or reducing
administrative funds.
``(ii) Instituting and fully implementing a new curriculum
that is based on State and local academic content and
achievement standards, including providing appropriate
professional development based on scientifically based
research for all relevant staff, that offers substantial
promise of improving educational achievement for low-
achieving students.
``(iii) Replacing the local educational agency personnel
who are relevant to the failure to make adequate yearly
progress.
``(iv) Removing particular schools from the jurisdiction of
the local educational agency and establishing alternative
arrangements for public governance and supervision of such
schools.
``(v) Appointing, through the State educational agency, a
receiver or trustee to administer the affairs of the local
educational agency in place of the superintendent and school
board.
``(vi) Abolishing or restructuring the local educational
agency.
``(vii) Authorizing students to transfer from a school
operated by the local educational agency to a higher-
performing public school operated by another local
educational agency in accordance with subsections (b)(1)(E)
and (F), and providing to such students transportation (or
the costs of transportation) to such schools consistent with
subsection (b)(9), in conjunction with carrying out not less
than 1 additional action described under this subparagraph.
``(D) Hearing.--Prior to implementing any corrective action
under this paragraph, the State educational agency shall
provide notice and a hearing to the affected local
educational agency, if State law provides for such notice and
hearing. The hearing shall take place not later than 45 days
following the decision to implement corrective action.
``(E) Notice to parents.--The State educational agency
shall publish, and disseminate

[[Page H9791]]

to parents and the public, information on any corrective
action the State educational agency takes under this
paragraph through such means as the Internet, the media, and
public agencies.
``(F) Delay.--Notwithstanding subparagraph (B)(ii), a State
educational agency may delay, for a period not to exceed 1
year, implementation of corrective action under this
paragraph if the local educational agency makes adequate
yearly progress for 1 year or its failure to make adequate
yearly progress is due to exceptional or uncontrollable
circumstances, such as a natural disaster or a precipitous
and unforeseen decline in the financial resources of the
local educational agency. No such period shall be taken into
account in determining the number of consecutive years of
failure to make adequate yearly progress.
``(11) Special rule.--If a local educational agency makes
adequate yearly progress for 2 consecutive school years
beginning after the date of identification of the agency
under paragraph (3), the State educational agency need no
longer subject the local educational agency to corrective
action for the succeeding school year.
``(d) Construction.--Nothing in this section shall be
construed to alter or otherwise affect the rights, remedies,
and procedures afforded school or school district employees
under Federal, State, or local laws (including applicable
regulations or court orders) or under the terms of collective
bargaining agreements, memoranda of understanding, or other
agreements between such employees and their employers.
``(e) Supplemental Educational Services.--
``(1) Supplemental educational services.--In the case of
any school described in paragraph (5), (7), or (8) of
subsection (b), the local educational agency serving such
school shall, subject to this subsection, arrange for the
provision of supplemental educational services to eligible
children in the school from a provider with a demonstrated
record of effectiveness, that is selected by the parents and
approved for that purpose by the State educational agency in
accordance with reasonable criteria, consistent with
paragraph (5), that the State educational agency shall adopt.
``(2) Local educational agency responsibilities.--Each
local educational agency subject to this subsection shall--
``(A) provide, at a minimum, annual notice to parents (in
an understandable and uniform format and, to the extent
practicable, in a language the parents can understand) of--
``(i) the availability of services under this subsection;
``(ii) the identity of approved providers of those services
that are within the local educational agency or whose
services are reasonably available in neighboring local
educational agencies; and
``(iii) a brief description of the services,
qualifications, and demonstrated effectiveness of each such
provider;
``(B) if requested, assist parents in choosing a provider
from the list of approved providers maintained by the State;
``(C) apply fair and equitable procedures for serving
students if the number of spaces at approved providers is not
sufficient to serve all students; and
``(D) not disclose to the public the identity of any
student who is eligible for, or receiving, supplemental
educational services under this subsection without the
written permission of the parents of the student.
``(3) Agreement.--In the case of the selection of an
approved provider by a parent, the local educational agency
shall enter into an agreement with such provider. Such
agreement shall--
``(A) require the local educational agency to develop, in
consultation with parents (and the provider chosen by the
parents), a statement of specific achievement goals for the
student, how the student's progress will be measured, and a
timetable for improving achievement that, in the case of a
student with disabilities, is consistent with the student's
individualized education program under section 614(d) of the
Individuals with Disabilities Education Act;
``(B) describe how the student's parents and the student's
teacher or teachers will be regularly informed of the
student's progress;
``(C) provide for the termination of such agreement if the
provider is unable to meet such goals and timetables;
``(D) contain provisions with respect to the making of
payments to the provider by the local educational agency; and
``(E) prohibit the provider from disclosing to the public
the identity of any student eligible for, or receiving,
supplemental educational services under this subsection
without the written permission of the parents of such
student.
``(4) State educational agency responsibilities.--A State
educational agency shall--
``(A) in consultation with local educational agencies,
parents, teachers, and other interested members of the
public, promote maximum participation by providers to ensure,
to the extent practicable, that parents have as many choices
as possible;
``(B) develop and apply objective criteria, consistent with
paragraph (5), to potential providers that are based on a
demonstrated record of effectiveness in increasing the
academic proficiency of students in subjects relevant to
meeting the State academic content and student achievement
standards adopted under section 1111(b)(1);
``(C) maintain an updated list of approved providers across
the State, by school district, from which parents may select;
``(D) develop, implement, and publicly report on standards
and techniques for monitoring the quality and effectiveness
of the services offered by approved providers under this
subsection, and for withdrawing approval from providers that
fail, for 2 consecutive years, to contribute to increasing
the academic proficiency of students served under this
subsection as described in subparagraph (B); and
``(E) provide annual notice to potential providers of
supplemental educational services of the opportunity to
provide services under this subsection and of the applicable
procedures for obtaining approval from the State educational
agency to be an approved provider of those services.
``(5) Criteria for providers.--In order for a provider to
be included on the State list under paragraph (4)(C), a
provider shall agree to carry out the following:
``(A) Provide parents of children receiving supplemental
educational services under this subsection and the
appropriate local educational agency with information on the
progress of the children in increasing achievement, in a
format and, to the extent practicable, a language that such
parents can understand.
``(B) Ensure that instruction provided and content used by
the provider are consistent with the instruction provided and
content used by the local educational agency and State, and
are aligned with State student academic achievement
standards.
``(C) Meet all applicable Federal, State, and local health,
safety, and civil rights laws.
``(D) Ensure that all instruction and content under this
subsection are secular, neutral, and nonideological.
``(6) Amounts for supplemental educational services.--The
amount that a local educational agency shall make available
for supplemental educational services for each child
receiving those services under this subsection shall be the
lesser of--
``(A) the amount of the agency's allocation under subpart
2, divided by the number of children from families below the
poverty level counted under section 1124(c)(1)(A); or
``(B) the actual costs of the supplemental educational
services received by the child.
``(7) Funds provided by state educational agency.--Each
State educational agency may use funds that the agency
reserves under this part, and part A of title V, to assist
local educational agencies that do not have sufficient funds
to provide services under this subsection for all eligible
students requesting such services.
``(8) Duration.--The local educational agency shall
continue to provide supplemental educational services to a
child receiving such services under this subsection until the
end of the school year in which such services were first
received.
``(9) Prohibition.--Nothing contained in this subsection
shall permit the making of any payment for religious worship
or instruction.
``(10) Waiver.--
``(A) Requirement.--At the request of a local educational
agency, a State educational agency may waive, in whole or in
part, the requirement of this subsection to provide
supplemental educational services if the State educational
agency determines that--
``(i) none of the providers of those services on the list
approved by the State educational agency under paragraph
(4)(C) makes those services available in the area served by
the local educational agency or within a reasonable distance
of that area; and
``(ii) the local educational agency provides evidence that
it is not able to provide those services.
``(B) Notification.--The State educational agency shall
notify the local educational agency, within 30 days of
receiving the local educational agency's request for a waiver
under subparagraph (A), whether the request is approved or
disapproved and, if disapproved, the reasons for the
disapproval, in writing.
``(11) Special rule.--If State law prohibits a State
educational agency from carrying out one or more of its
responsibilities under paragraph (4) with respect to those
who provide, or seek approval to provide, supplemental
educational services, each local educational agency in the
State shall carry out those responsibilities with respect to
its students who are eligible for those services.
``(12) Definitions.--In this subsection--
``(A) the term `eligible child' means a child from a low-
income family, as determined by the local educational agency
for purposes of allocating funds to schools under section
1113(c)(1);
``(B) the term `provider' means a non-profit entity, a for-
profit entity, or a local educational agency that--
``(i) has a demonstrated record of effectiveness in
increasing student academic achievement;
``(ii) is capable of providing supplemental educational
services that are consistent with the instructional program
of the local educational agency and the academic standards
described under section 1111; and
``(iii) is financially sound; and
``(C) the term `supplemental educational services' means
tutoring and other supplemental academic enrichment services
that are--
``(i) in addition to instruction provided during the school
day; and
``(ii) are of high quality, research-based, and
specifically designed to increase the academic achievement of
eligible children on the academic assessments required under
section 1111 and attain proficiency in meeting the State's
academic achievement standards.
``(f) Schools and LEAs Previously Identified for
Improvement or Corrective Action.--
``(1) Schools.--
``(A) School improvement.--
``(i) Schools in school-improvement status before date of
enactment.--Any school that was in the first year of school
improvement status under this section on the day preceding
the date of enactment of the No Child Left Behind Act of 2001
(as this section was in effect on such day) shall be treated
by the local educational agency as a school that is in the
first year of school improvement status under paragraph (1).

[[Page H9792]]

``(ii) Schools in school-improvement status for 2 or more
years before date of enactment.--Any school that was in
school improvement status under this section for 2 or more
consecutive school years preceding the date of enactment of
the No Child Left Behind Act of 2001 (as this section was in
effect on such day) shall be treated by the local educational
agency as a school described in subsection (b)(5).
``(B) Corrective action.--Any school that was in corrective
action status under this section on the day preceding the
date of enactment of the No Child Left Behind Act of 2001 (as
this section was in effect on such day) shall be treated by
the local educational agency as a school described in
paragraph (7).
``(2) LEAs.--
``(A) LEA improvement.--A State shall identify for
improvement under subsection (c)(3) any local educational
agency that was in improvement status under this section as
this section was in effect on the day preceding the date of
enactment of the No Child Left Behind Act of 2001.
``(B) Corrective action.--A State shall identify for
corrective action under subsection (c)(10) any local
educational agency that was in corrective action status under
this section as this section was in effect on the day
preceding the date of enactment of the No Child Left Behind
Act of 2001.
``(C) Special rule.--For the schools and other local
educational agencies described under paragraphs (1) and (2),
as required, the State shall ensure that public school choice
in accordance with subparagraphs (b)(1)(E) and (F) and
supplemental education services in accordance with subsection
(e) are provided not later than the first day of the 2002-
2003 school year.
``(D) Transition.--With respect to a determination that a
local educational agency has for 2 consecutive years failed
to make adequate yearly progress as defined in the State plan
under section 1111(b)(2), such determination shall include in
such 2-year period any continuous period of time immediately
preceding the date of enactment of the No Child Left Behind
Act of 2001 during which the agency has failed to make such
progress.
``(g) Schools Funded by the Bureau of Indian Affairs.--
``(1) Adequate yearly progress for bureau funded schools.--
``(A) Development of definition.--
``(i) Definition.--The Secretary of the Interior, in
consultation with the Secretary if the Secretary of Interior
requests the consultation, using the process set out in
section 1138(b) of the Education Amendments of 1978, shall
define adequate yearly progress, consistent with section
1111(b), for the schools funded by the Bureau of Indian
Affairs on a regional or tribal basis, as appropriate, taking
into account the unique circumstances and needs of such
schools and the students served by such schools.
``(ii) Use of definition.--The Secretary of the Interior,
consistent with clause (i), may use the definition of
adequate yearly progress that the State in which the school
that is funded by the Bureau is located uses consistent with
section 1111(b), or in the case of schools that are located
in more than 1 State, the Secretary of the Interior may use
whichever State definition of adequate yearly progress that
best meets the unique circumstances and needs of such school
or schools and the students the schools serve.
``(B) Waiver.--The tribal governing body or school board of
a school funded by the Bureau of Indian Affairs may waive, in
part or in whole, the definition of adequate yearly progress
established pursuant to paragraph (A) where such definition
is determined by such body or school board to be
inappropriate. If such definition is waived, the tribal
governing body or school board shall, within 60 days
thereafter, submit to the Secretary of Interior a proposal
for an alternative definition of adequate yearly progress,
consistent with section 1111(b), that takes into account the
unique circumstances and needs of such school or schools and
the students served. The Secretary of the Interior, in
consultation with the Secretary if the Secretary of Interior
requests the consultation, shall approve such alternative
definition unless the Secretary determines that the
definition does not meet the requirements of section 1111(b),
taking into account the unique circumstances and needs of
such school or schools and the students served.
``(C) Technical assistance.--The Secretary of Interior
shall, in consultation with the Secretary if the Secretary of
Interior requests the consultation, either directly or
through a contract, provide technical assistance, upon
request, to a tribal governing body or school board of a
school funded by the Bureau of Indian Affairs that seeks to
develop an alternative definition of adequate yearly
progress.
``(2) Accountability for bia schools.--For the purposes of
this section, schools funded by the Bureau of Indian Affairs
shall be considered schools subject to subsection (b), as
specifically provided for in this subsection, except that
such schools shall not be subject to subsection (c), or the
requirements to provide public school choice and supplemental
educational services under subsections (b) and (e).
``(3) School improvement for bureau schools.--
``(A) Contract and grant schools.--For a school funded by
the Bureau of Indian Affairs which is operated under a
contract issued by the Secretary of the Interior pursuant to
the Indian Self-Determination Act (25 U.S.C. 450 et seq.) or
under a grant issued by the Secretary of the Interior
pursuant to the Tribally Controlled Schools Act of 1988 (25
U.S.C. 2501 et seq.), the school board of such school shall
be responsible for meeting the requirements of subsection (b)
relating to development and implementation of any school
improvement plan as described in subsections (b)(1) through
(b)(3), and subsection (b)(5), other than subsection
(b)(1)(E). The Bureau of Indian Affairs shall be responsible
for meeting the requirements of subsection (b)(4) relating to
technical assistance.
``(B) Bureau operated schools.--For schools operated by the
Bureau of Indian Affairs, the Bureau shall be responsible for
meeting the requirements of subsection (b) relating to
development and implementation of any school improvement plan
as described in subsections (b)(1) through (b)(5), other than
subsection (b)(1)(E).
``(4) Corrective action and restructuring for bureau funded
schools.--
``(A) Contract and grant schools.--For a school funded by
the Bureau of Indian Affairs which is operated under a
contract issued by the Secretary of the Interior pursuant to
the Indian Self-Determination Act (25 U.S.C. 450 et seq.) or
under a grant issued by the Secretary of the Interior
pursuant to the Tribally Controlled Schools Act of 1988 (25
U.S.C. 2501 et seq.), the school board of such school shall
be responsible for meeting the requirements of subsection (b)
relating to corrective action and restructuring as described
in subsection (b)(7) and (b)(8). Any action taken by such
school board under subsection (b)(7) or (b)(8) shall take
into account the unique circumstances and structure of the
Bureau of Indian Affairs-funded school system and the laws
governing that system.
``(B) Bureau operated schools.--For schools operated by the
Bureau of Indian Affairs, the Bureau shall be responsible for
meeting the requirements of subsection (b) relating to
corrective action and restructuring as described in
subsection (b)(7) and (b)(8). Any action taken by the Bureau
under subsection (b)(7) or (b)(8) shall take into account the
unique circumstances and structure of the Bureau of Indian
Affairs-funded school system and the laws governing that
system.
``(5) Annual report.--On an annual basis, the Secretary of
the Interior shall report to the Secretary of Education and
to the appropriate committees of Congress regarding any
schools funded by the Bureau of Indian Affairs which have
been identified for school improvement. Such report shall
include--
``(A) the identity of each school;
B) a statement from each affected school board regarding
the factors that lead to such identification; and
``(C) an analysis by the Secretary of the Interior, in
consultation with the Secretary if the Secretary of Interior
requests the consultation, as to whether sufficient resources
were available to enable such school to achieve adequate
yearly progress.
``(h) Other Agencies.--After receiving the notice described
in subsection (b)(14)(D), the Secretary may notify, to the
extent feasible and necessary as determined by the Secretary,
other relevant Federal agencies regarding the major factors
that were determined by the State educational agency to have
significantly affected student academic achievement.

``SEC. 1117. SCHOOL SUPPORT AND RECOGNITION.

``(a) System for Support.--
``(1) In general.--Each State shall establish a statewide
system of intensive and sustained support and improvement for
local educational agencies and schools receiving funds under
this part, in order to increase the opportunity for all
students served by those agencies and schools to meet the
State's academic content standards and student academic
achievement standards.
``(2) Priorities.--In carrying out this subsection, a State
shall--
``(A) first, provide support and assistance to local
educational agencies with schools subject to corrective
action under section 1116 and assist those schools, in
accordance with section 1116(b)(11), for which a local
educational agency has failed to carry out its
responsibilities under paragraphs (7) and (8) of section
1116(b);
``(B) second, provide support and assistance to other local
educational agencies with schools identified as in need of
improvement under section 1116(b); and
``(C) third, provide support and assistance to other local
educational agencies and schools participating under this
part that need that support and assistance in order to
achieve the purpose of this part.
``(3) Regional centers.--Such a statewide system shall, to
the extent practicable, work with and receive support and
assistance from the comprehensive regional technical
assistance centers and the regional educational laboratories
under section 941(h) of the Educational Research,
Development, Dissemination, and Improvement Act of 1994, or
other providers of technical assistance.
``(4) Statewide system.--
``(A) In order to achieve the purpose described in
paragraph (1), the statewide system shall include, at a
minimum, the following approaches:
``(i) Establishing school support teams in accordance with
subparagraph (C) for assignment to, and working in, schools
in the State that are described in paragraph (2).
``(ii) Providing such support as the State educational
agency determines necessary and available in order to ensure
the effectiveness of such teams.
``(iii) Designating and using distinguished teachers and
principals who are chosen from schools served under this part
that have been especially successful in improving academic
achievement.
``(iv) Devising additional approaches to providing the
assistance described in paragraph (1), such as providing
assistance through institutions of higher education and
educational service agencies or other local consortia, and
private providers of scientifically based technical
assistance.
``(B) Priority.--The State educational agency shall give
priority to the approach described in clause (i) of
subparagraph (A).

[[Page H9793]]

``(5) School support teams.--
``(A) Composition.--Each school support team established
under this section shall be composed of persons knowledgeable
about scientifically based research and practice on teaching
and learning and about successful schoolwide projects, school
reform, and improving educational opportunities for low-
achieving students, including--
``(i) highly qualified or distinguished teachers and
principals;
``(ii) pupil services personnel;
``(iii) parents;
``(iv) representatives of institutions of higher education;
``(v) representatives of regional educational laboratories
or comprehensive regional technical assistance centers;
``(vi) representatives of outside consultant groups; or
``(vii) other individuals as the State educational agency,
in consultation with the local educational agency, may
determine appropriate.
``(B) Functions.--Each school support team assigned to a
school under this section shall--
``(i) review and analyze all facets of the school's
operation, including the design and operation of the
instructional program, and assist the school in developing
recommendations for improving student performance in that
school;
``(ii) collaborate with parents and school staff and the
local educational agency serving the school in the design,
implementation, and monitoring of a plan that, if fully
implemented, can reasonably be expected to improve student
performance and help the school meet its goals for
improvement, including adequate yearly progress under section
1111(b)(2)(B);
``(iii) evaluate, at least semiannually, the effectiveness
of school personnel assigned to the school, including
identifying outstanding teachers and principals, and make
findings and recommendations to the school, the local
educational agency, and, where appropriate, the State
educational agency; and
``(iv) make additional recommendations as the school
implements the plan described in clause (ii) to the local
educational agency and the State educational agency
concerning additional assistance that is needed by the school
or the school support team.
``(C) Continuation of assistance.--After 1 school year,
from the beginning of the activities, such school support
team, in consultation with the local educational agency, may
recommend that the school support team continue to provide
assistance to the school, or that the local educational
agency or the State educational agency, as appropriate, take
alternative actions with regard to the school.
``(b) State Recognition.--
``(1) Academic achievement awards program.--
``(A) In general.--Each State receiving a grant under this
part--
``(i) shall establish a program for making academic
achievement awards to recognize schools that meet the
criteria described in subparagraph (B); and
``(ii) as appropriate and as funds are available under
subsection (c)(2)(A), may financially reward schools served
under this part that meet the criteria described in clause
(ii).
``(B) Criteria.--The criteria referred to in subparagraph
(A) are that a school--
``(i) significantly closed the achievement gap between the
groups of students described in section 1111(b)(2); or
``(ii) exceeded their adequate yearly progress, consistent
with section 1111(b)(2), for 2 or more consecutive years.
``(2) Distinguished schools.--Of those schools meeting the
criteria described in paragraph (2), each State shall
designate as distinguished schools those schools that have
made the greatest gains in closing the achievement gap as
described in subparagraph (B)(i) or exceeding adequate yearly
progress as described in subparagraph (B)(ii). Such
distinguished schools may serve as models for and provide
support to other schools, especially schools identified for
improvement under section 1116, to assist such schools in
meeting the State's academic content standards and student
academic achievement standards.
``(3) Awards to teachers.--A State program under paragraph
(1) may also recognize and provide financial awards to
teachers teaching in a school described in such paragraph
that consistently makes significant gains in academic
achievement in the areas in which the teacher provides
instruction, or to teachers or principals designated as
distinguished under subsection (a)(4)(A)(iii).
``(c) Funding.--
``(1) In general.--Each State--
``(A) shall use funds reserved under section 1003(a) and
may use funds made available under section 1003(g) for the
approaches described under subsection (a)(4)(A); and
``(B) shall use State administrative funds authorized under
section 1004(a) to establish the statewide system of support
described under subsection (a).
``(2) Reservations of funds by state.--
``(A) Awards program.--For the purpose of carrying out
subsection (b)(1), each State receiving a grant under this
part may reserve, from the amount (if any) by which the funds
received by the State under subpart 2 for a fiscal year
exceed the amount received by the State under that subpart
for the preceding fiscal year, not more than 5 percent of
such excess amount.
``(B) Teacher awards.--For the purpose of carrying out
subsection (b)(3), a State educational agency may reserve
such funds as necessary from funds made available under
section 2113.
``(3) Use within 3 years.--Notwithstanding any other
provision of law, the amount reserved under subparagraph (A)
by a State for each fiscal year shall remain available to the
State until expended for a period not exceeding 3 years
receipt of funds.
``(4) Special allocation rule for schools in high-poverty
areas.--
``(A) In general.--Each State shall distribute not less
than 75 percent of any amount reserved under paragraph (2)(A)
for each fiscal year to schools described in subparagraph
(B), or to teachers consistent with subsection (b)(3).
``(B) School described.--A school described in
subparagraph) (A) is a school whose student population is in
the highest quartile of schools statewide in terms of the
percentage of children from low income families.

``SEC. 1118. PARENTAL INVOLVEMENT.

``(a) Local Educational Agency Policy.--
``(1) In general.--A local educational agency may receive
funds under this part only if such agency implements
programs, activities, and procedures for the involvement of
parents in programs assisted under this part consistent with
this section. Such programs, activities, and procedures shall
be planned and implemented with meaningful consultation with
parents of participating children.
``(2) Written policy.--Each local educational agency that
receives funds under this part shall develop jointly with,
agree on with, and distribute to, parents of participating
children a written parent involvement policy. The policy
shall be incorporated into the local educational agency's
plan developed under section 1112, establish the agency's
expectations for parent involvement, and describe how the
agency will--
``(A) involve parents in the joint development of the plan
under section 1112, and the process of school review and
improvement under section 1116;
``(B) provide the coordination, technical assistance, and
other support necessary to assist participating schools in
planning and implementing effective parent involvement
activities to improve student academic achievement and school
performance;
``(C) build the schools' and parents' capacity for strong
parental involvement as described in subsection (e);
``(D) coordinate and integrate parental involvement
strategies under this part with parental involvement
strategies under other programs, such as the Head Start
program, Reading First program, Early Reading First program,
Even Start program, Parents as Teachers program, and Home
Instruction Program for Preschool Youngsters, and State-run
preschool programs;
``(E) conduct, with the involvement of parents, an annual
evaluation of the content and effectiveness of the parental
involvement policy in improving the academic quality of the
schools served under this part, including identifying
barriers to greater participation by parents in activities
authorized by this section (with particular attention to
parents who are economically disadvantaged, are disabled,
have limited English proficiency, have limited literacy, or
are of any racial or ethnic minority background), and use the
findings of such evaluation to design strategies for more
effective parental involvement, and to revise, if necessary,
the parental involvement policies described in this section;
and
``(F) involve parents in the activities of the schools
served under this part.
``(3) Reservation.--
``(A) In general.--Each local educational agency shall
reserve not less than 1 percent of such agency's allocation
under subpart 2 of this part to carry out this section,
including promoting family literacy and parenting skills,
except that this paragraph shall not apply if 1 percent of
such agency's allocation under subpart 2 of this part for the
fiscal year for which the determination is made is $5,000 or
less.
``(B) Parental input.--Parents of children receiving
services under this part shall be involved in the decisions
regarding how funds reserved under subparagraph (A) are
allotted for parental involvement activities.
``(C) Distribution of funds.--Not less than 95 percent of
the funds reserved under subparagraph (A) shall be
distributed to schools served under this part.
``(b) School Parental Involvement Policy.--
``(1) In general.--Each school served under this part shall
jointly develop with, and distribute to, parents of
participating children a written parental involvement policy,
agreed on by such parents, that shall describe the means for
carrying out the requirements of subsections (c) through (f).
Parents shall be notified of the policy in an understandable
and uniform format and, to the extent practicable, provided
in a language the parents can understand. Such policy shall
be made available to the local community and updated
periodically to meet the changing needs of parents and the
school.
``(2) Special rule.--If the school has a parental
involvement policy that applies to all parents, such school
may amend that policy, if necessary, to meet the requirements
of this subsection.
``(3) Amendment.--If the local educational agency involved
has a school district-level parental involvement policy that
applies to all parents, such agency may amend that policy, if
necessary, to meet the requirements of this subsection.
``(4) Parental comments.--If the plan under section 1112 is
not satisfactory to the parents of participating children,
the local educational agency shall submit any parent comments
with such plan when such local educational agency submits the
plan to the State.
``(c) Policy Involvement.--Each school served under this
part shall--
``(1) convene an annual meeting, at a convenient time, to
which all parents of participating

[[Page H9794]]

children shall be invited and encouraged to attend, to inform
parents of their school's participation under this part and
to explain the requirements of this part, and the right of
the parents to be involved;
``(2) offer a flexible number of meetings, such as meetings
in the morning or evening, and may provide, with funds
provided under this part, transportation, child care, or home
visits, as such services relate to parental involvement;
``(3) involve parents, in an organized, ongoing, and timely
way, in the planning, review, and improvement of programs
under this part, including the planning, review, and
improvement of the school parental involvement policy and the
joint development of the schoolwide program plan under
section 1114(b)(2), except that if a school has in place a
process for involving parents in the joint planning and
design of the school's programs, the school may use that
process, if such process includes an adequate representation
of parents of participating children;
``(4) provide parents of participating children--
``(A) timely information about programs under this part;
``(B) a description and explanation of the curriculum in
use at the school, the forms of academic assessment used to
measure student progress, and the proficiency levels students
are expected to meet; and
``(C) if requested by parents, opportunities for regular
meetings to formulate suggestions and to participate, as
appropriate, in decisions relating to the education of their
children, and respond to any such suggestions as soon as
practicably possible; and
``(5) if the schoolwide program plan under section
1114(b)(2) is not satisfactory to the parents of
participating children, submit any parent comments on the
plan when the school makes the plan available to the local
educational agency.
(d) Shared Responsibilities for High Student Academic
Achievement.--As a component of the school-level parental
involvement policy developed under subsection (b), each
school served under this part shall jointly develop with
parents for all children served under this part a school-
parent compact that outlines how parents, the entire school
staff, and students will share the responsibility for
improved student academic achievement and the means by which
the school and parents will build and develop a partnership
to help children achieve the State's high standards. Such
compact shall--
(1) describe the school's responsibility to provide high-
quality curriculum and instruction in a supportive and
effective learning environment that enables the children
served under this part to meet the State's student academic
achievement standards, and the ways in which each parent will
be responsible for supporting their children's learning, such
as monitoring attendance, homework completion, and television
watching; volunteering in their child's classroom; and
participating, as appropriate, in decisions relating to the
education of their children and positive use of
extracurricular time; and
(2) address the importance of communication between
teachers and parents on an ongoing basis through, at a
minimum--
(A) parent-teacher conferences in elementary schools, at
least annually, during which the compact shall be discussed
as the compact relates to the individual child's achievement;
(B) frequent reports to parents on their children's
progress; and
(C) reasonable access to staff, opportunities to volunteer
and participate in their child's class, and observation of
classroom activities.
``(e) Building Capacity for Involvement.--To ensure
effective involvement of parents and to support a partnership
among the school involved, parents, and the community to
improve student academic achievement, each school and local
educational agency assisted under this part--
``(1) shall provide assistance to parents of children
served by the school or local educational agency, as
appropriate, in understanding such topics as the State's
academic content standards and State student academic
achievement standards, State and local academic assessments,
the requirements of this part, and how to monitor a child's
progress and work with educators to improve the achievement
of their children;
``(2) shall provide materials and training to help parents
to work with their children to improve their children's
achievement, such as literacy training and using technology,
as appropriate, to foster parental involvement;
``(3) shall educate teachers, pupil services personnel,
principals, and other staff, with the assistance of parents,
in the value and utility of contributions of parents, and in
how to reach out to, communicate with, and work with parents
as equal partners, implement and coordinate parent programs,
and build ties between parents and the school;
``(4) shall, to the extent feasible and appropriate,
coordinate and integrate parent involvement programs and
activities with Head Start, Reading First, Early Reading
First, Even Start, the Home Instruction Programs for
Preschool Youngsters, the Parents as Teachers Program, and
public preschool and other programs, and conduct other
activities, such as parent resource centers, that encourage
and support parents in more fully participating in the
education of their children;
``(5) shall ensure that information related to school and
parent programs, meetings, and other activities is sent to
the parents of participating children in a format and, to the
extent practicable, in a language the parents can understand;
``(6) may involve parents in the development of training
for teachers, principals, and other educators to improve the
effectiveness of such training;
``(7) may provide necessary literacy training from funds
received under this part if the local educational agency has
exhausted all other reasonably available sources of funding
for such training;
``(8) may pay reasonable and necessary expenses associated
with local parental involvement activities, including
transportation and child care costs, to enable parents to
participate in school-related meetings and training sessions;
``(9) may train parents to enhance the involvement of other
parents;
``(10) may arrange school meetings at a variety of times,
or conduct in-home conferences between teachers or other
educators, who work directly with participating children,
with parents who are unable to attend such conferences at
school, in order to maximize parental involvement and
participation;
``(11) may adopt and implement model approaches to
improving parental involvement;
``(12) may establish a districtwide parent advisory council
to provide advice on all matters related to parental
involvement in programs supported under this section;
``(13) may develop appropriate roles for community-based
organizations and businesses in parent involvement
activities; and
``(14) shall provide such other reasonable support for
parental involvement activities under this section as parents
may request.
``(f) Accessibility.--In carrying out the parental
involvement requirements of this part, local educational
agencies and schools, to the extent practicable, shall
provide full opportunities for the participation of parents
with limited English proficiency, parents with disabilities,
and parents of migratory children, including providing
information and school reports required under section 1111 in
a format and, to the extent practicable, in a language such
parents understand.
``(g) Information From Parental Information and Resource
Centers.--In a State where a parental information and
resource center is established to provide training,
information, and support to parents and individuals who work
with local parents, local educational agencies, and schools
receiving assistance under this part, each local educational
agency or school that receives assistance under this part and
is located in the State shall assist parents and parental
organizations by informing such parents and organizations of
the existence and purpose of such centers.
``(h) Review.--The State educational agency shall review
the local educational agency's parental involvement policies
and practices to determine if the policies and practices meet
the requirements of this section.

``SEC. 1119. QUALIFICATIONS FOR TEACHERS AND
PARAPROFESSIONALS.

``(a) Teacher Qualifications and Measurable Objectives.--
``(1) In general.--Beginning with the first day of the
first school year after the date of enactment of the No Child
Left Behind Act of 2001, each local educational agency
receiving assistance under this part shall ensure that all
teachers hired after such day and teaching in a program
supported with funds under this part are highly qualified.
``(2) State plan.--As part of the plan described in section
1111, each State educational agency receiving assistance
under this part shall develop a plan to ensure that all
teachers teaching in core academic subjects within the State
are highly qualified not later than the end of the 2005-2006
school year. Such plan shall establish annual measurable
objectives for each local educational agency and school that,
at a minimum--
``(A) shall include an annual increase in the percentage of
highly qualified teachers at each local educational agency
and school, to ensure that all teachers teaching in core
academic subjects in each public elementary school and
secondary school are highly qualified not later than the end
of the 2005-2006 school year;
``(B) shall include an annual increase in the percentage of
teachers who are receiving high-quality professional
development to enable such teachers to become highly
qualified and successful classroom teachers; and
``(C) may include such other measures as the State
educational agency determines to be appropriate to increase
teacher qualifications.
``(3) Local plan.--As part of the plan described in section
1112, each local educational agency receiving assistance
under this part shall develop a plan to ensure that all
teachers teaching within the school district served by the
local educational agency are highly qualified not later than
the end of the 2005-2006 school year.
``(b) Reports.--
``(1) Annual state and local reports.--
``(A) Local reports.--Each State educational agency
described in subsection (a)(2) shall require each local
educational agency receiving funds under this part to
publicly report, each year, beginning with the 2002-2003
school year, the annual progress of the local educational
agency as a whole and of each of the schools served by the
agency, in meeting the measurable objectives described in
subsection (a)(2).
``(B) State reports.--Each State educational agency
receiving assistance under this part shall prepare and submit
each year, beginning with the 2002-2003 school year, a report
to the Secretary, describing the State educational agency's
progress in meeting the measurable objectives described in
subsection (a)(2).
``(C) Information from other reports.--A State educational
agency or local educational agency may submit information
from the reports described in section 1111(h) for the
purposes of this subsection, if such report is modified, as
may be necessary, to contain the information required by this
subsection, and may submit such information as a part of the
reports required under section 1111(h).

[[Page H9795]]

``(2) Annual reports by the secretary.--Each year,
beginning with the 2002-2003 school year, the Secretary shall
publicly report the annual progress of State educational
agencies, local educational agencies, and schools, in meeting
the measurable objectives described in subsection (a)(2).
``(c) New Paraprofessionals.--
``(1) In general.--Each local educational agency receiving
assistance under this part shall ensure that all
paraprofessionals hired after the date of enactment of the No
Child Left Behind Act of 2001 and working in a program
supported with funds under this part shall have--
``(A) completed at least 2 years of study at an institution
of higher education;
``(B) obtained an associate's (or higher) degree; or
``(C) met a rigorous standard of quality and can
demonstrate, through a formal State or local academic
assessment--
``(i) knowledge of, and the ability to assist in
instructing, reading, writing, and mathematics; or
``(ii) knowledge of, and the ability to assist in
instructing, reading readiness, writing readiness, and
mathematics readiness, as appropriate.
``(2) Clarification.--The receipt of a secondary school
diploma (or its recognized equivalent) shall be necessary but
not sufficient to satisfy the requirements of paragraph
(1)(C).
``(d) Existing Paraprofessionals.--Each local educational
agency receiving assistance under this part shall ensure that
all paraprofessionals hired before the date of enactment of
the No Child Left Behind Act of 2001, and working in a
program supported with funds under this part shall, not later
than 4 years after the date of enactment satisfy the
requirements of subsection (b).
``(e) Exceptions for Translation and Parental Involvement
Activities.--Subsections (c) and (d) shall not apply to a
paraprofessional--
``(1) who is proficient in English and a language other
than English and who provides services primarily to enhance
the participation of children in programs under this part by
acting as a translator; or
``(2) whose duties consist solely of conducting parental
involvement activities consistent with section 1118.
``(f) General Requirement for All Paraprofessionals.--Each
local educational agency receiving assistance under this part
shall ensure that all paraprofessionals working in a program
supported with funds under this part, regardless of the
paraprofessionals' hiring date, have earned a secondary
school diploma or its recognized equivalent.
``(g) Duties of Paraprofessionals.--
``(1) In general.--Each local educational agency receiving
assistance under this part shall ensure that a
paraprofessional working in a program supported with funds
under this part is not assigned a duty inconsistent with this
subsection.
``(2) Responsibilities paraprofessionals may be assigned.--
A paraprofessional described in paragraph (1) may be
assigned--
``(A) to provide one-on-one tutoring for eligible students,
if the tutoring is scheduled at a time when a student would
not otherwise receive instruction from a teacher;
``(B) to assist with classroom management, such as
organizing instructional and other materials;
``(C) to provide assistance in a computer laboratory;
``(D) to conduct parental involvement activities;
``(E) to provide support in a library or media center;
``(F) to act as a translator; or
``(G) to provide instructional services to students in
accordance with paragraph (3).
``(3) Additional limitations.--A paraprofessional described
in paragraph (1)--
``(A) may not provide any instructional service to a
student unless the paraprofessional is working under the
direct supervision of a teacher consistent with section 1119;
and
``(B) may assume limited duties that are assigned to
similar personnel who are not working in a program supported
with funds under this part, including duties beyond classroom
instruction or that do not benefit participating children, so
long as the amount of time spent on such duties is the same
proportion of total work time as prevails with respect to
similar personnel at the same school.
``(h) Use of Funds.--A local educational agency receiving
funds under this part may use such funds to support ongoing
training and professional development to assist teachers and
paraprofessionals in satisfying the requirements of this
section.
``(i) Verification of Compliance.--
``(1) In general.--In verifying compliance with this
section, each local educational agency, at a minimum, shall
require that the principal of each school operating a program
under section 1114 or 1115 attest annually in writing as to
whether such school is in compliance with the requirements of
this section.
``(2) Availability of information.--Copies of attestations
under paragraph (1)--
``(A) shall be maintained at each school operating a
program under section 1114 or 1115 and at the main office of
the local educational agency; and
``(B) shall be available to any member of the general
public on request.
``(j) Combinations of Funds.--Funds provided under this
part that are used for professional development purposes may
be combined with funds provided under title II of this Act,
other Acts, and other sources.
``(k) Special Rule.--Except as provided in subsection (l),
no State educational agency shall require a school or a local
educational agency to expend a specific amount of funds for
professional development activities under this part, except
that this paragraph shall not apply with respect to
requirements under section 1116(c)(3).
``(l) Minimum Expenditures.--Each local educational agency
that receives funds under this part shall use not less than 5
percent, or more than 10 percent, of such funds for each of
fiscal years 2002 and 2003, and not less than 5 percent of
the funds for each subsequent fiscal year, for professional
development activities to ensure that teachers who are not
highly qualified become highly qualified not later than the
end of the 2005-2006 school year.

``SEC. 1120. PARTICIPATION OF CHILDREN ENROLLED IN PRIVATE
SCHOOLS.

``(a) General Requirement.--
``(1) In general.--To the extent consistent with the number
of eligible children identified under section 1115(b) in the
school district served by a local educational agency who are
enrolled in private elementary schools and secondary schools,
a local educational agency shall, after timely and meaningful
consultation with appropriate private school officials,
provide such children, on an equitable basis, special
educational services or other benefits under this part (such
as dual enrollment, educational radio and television,
computer equipment and materials, other technology, and
mobile educational services and equipment) that address their
needs, and shall ensure that teachers and families of the
children participate, on an equitable basis, in services and
activities developed pursuant to sections 1118 and 1119.
``(2) Secular, neutral, nonideological.--Such educational
services or other benefits, including materials and
equipment, shall be secular, neutral, and nonideological.
``(3) Equity.--Educational services and other benefits for
such private school children shall be equitable in comparison
to services and other benefits for public school children
participating under this part, and shall be provided in a
timely manner.
``(4) Expenditures.--Expenditures for educational services
and other benefits to eligible private school children shall
be equal to the proportion of funds allocated to
participating school attendance areas based on the number of
children from low-income families who attend private schools,
which the local educational agency may determine each year or
every 2 years.
``(5) Provision of services.--The local educational agency
may provide services under this section directly or through
contracts with public and private agencies, organizations,
and institutions.
``(b) Consultation.--
``(1) In general.--To ensure timely and meaningful
consultation, a local educational agency shall consult with
appropriate private school officials during the design and
development of such agency's programs under this part, on
issues such as--
``(A) how the children's needs will be identified;
``(B) what services will be offered;
``(C) how, where, and by whom the services will be
provided;
``(D) how the services will be academically assessed and
how the results of that assessment will be used to improve
those services;
``(E) the size and scope of the equitable services to be
provided to the eligible private school children, and the
proportion of funds that is allocated under subsection
(a)(4) for such services;
``(F) the method or sources of data that are used under
subsection (c) and section 1113(c)(1) to determine the number
of children from low-income families in participating school
attendance areas who attend private schools;
``(G) how and when the agency will make decisions about the
delivery of services to such children, including a thorough
consideration and analysis of the views of the private school
officials on the provision of services through a contract
with potential third-party providers; and
``(H) how, if the agency disagrees with the views of the
private school officials on the provision of services through
a contract, the local educational agency will provide in
writing to such private school officials an analysis of the
reasons why the local educational agency has chosen not to
use a contractor.
``(2) Timing.--Such consultation shall include meetings of
agency and private school officials and shall occur before
the local educational agency makes any decision that affects
the opportunities of eligible private school children to
participate in programs under this part. Such meetings shall
continue throughout implementation and assessment of services
provided under this section.
``(3) Discussion.--Such consultation shall include a
discussion of service delivery mechanisms a local educational
agency can use to provide equitable services to eligible
private school children.
``(4) Documentation.--Each local educational agency shall
maintain in the agency's records and provide to the State
educational agency involved a written affirmation signed by
officials of each participating private school that the
consultation required by this section has occurred. If such
officials do not provide such affirmation within a reasonable
period of time, the local educational agency shall forward
the documentation that such consultation has taken place to
the State educational agency.
``(5) Compliance.--
``(A) In general.--A private school official shall have the
right to complain to the State educational agency that the
local educational agency did not engage in consultation that
was meaningful and timely, or did not give due consideration
to the views of the private school official.

[[Page H9796]]

``(B) Procedure.--If the private school official wishes to
complain, the official shall provide the basis of the
noncompliance with this section by the local educational
agency to the State educational agency, and the local
educational agency shall forward the appropriate
documentation to the State educational agency.
``(c) Allocation for Equitable Service to Private School
Students.--
``(1) Calculation.--A local educational agency shall have
the final authority, consistent with this section, to
calculate the number of children, ages 5 through 17, who are
from low-income families and attend private schools by--
``(A) using the same measure of low income used to count
public school children;
``(B) using the results of a survey that, to the extent
possible, protects the identity of families of private school
students, and allowing such survey results to be extrapolated
if complete actual data are unavailable;
``(C) applying the low-income percentage of each
participating public school attendance area, determined
pursuant to this section, to the number of private school
children who reside in that school attendance area; or
``(D) using an equated measure of low income correlated
with the measure of low income used to count public school
children.
``(2) Complaint process.--Any dispute regarding low-income
data for private school students shall be subject to the
complaint process authorized in section 9505.
``(d) Public Control of Funds.--
``(1) In general.--The control of funds provided under this
part, and title to materials, equipment, and property
purchased with such funds, shall be in a public agency, and a
public agency shall administer such funds materials,
equipment, and property.
``(2) Provision of services.--
``(A) Provider.--The provision of services under this
section shall be provided--
``(i) by employees of a public agency; or
``(ii) through contract by such public agency with an
individual, association, agency, or organization.
``(B) Requirement.--In the provision of such services, such
employee, individual, association, agency, or organization
shall be independent of such private school and of any
religious organization, and such employment or contract shall
be under the control and supervision of such public agency.
``(e) Standards for a Bypass.--If a local educational
agency is prohibited by law from providing for the
participation in programs on an equitable basis of eligible
children enrolled in private elementary schools and secondary
schools, or if the Secretary determines that a local
educational agency has substantially failed or is unwilling,
to provide for such participation, as required by this
section, the Secretary shall--
``(1) waive the requirements of this section for such local
educational agency;
``(2) arrange for the provision of services to such
children through arrangements that shall be subject to the
requirements of this section and sections 9503 and 9504; and
``(3) in making the determination under this subsection,
consider one or more factors, including the quality, size,
scope, and location of the program and the opportunity of
eligible children to participate.

``SEC. 1120A. FISCAL REQUIREMENTS.

``(a) Maintenance of Effort.--A local educational agency
may receive funds under this part for any fiscal year only if
the State educational agency involved finds that the local
educational agency has maintained the agency's fiscal effort
in accordance with section 9521.
``(b) Federal Funds To Supplement, Not Supplant, Non-
Federal Funds.--
``(1) In general.--A State educational agency or local
educational agency shall use Federal funds received under
this part only to supplement the funds that would, in the
absence of such Federal funds, be made available from non-
Federal sources for the education of pupils participating in
programs assisted under this part, and not to supplant such
funds.
``(2) Special rule.--No local educational agency shall be
required to provide services under this part through a
particular instructional method or in a particular
instructional setting in order to demonstrate such agency's
compliance with paragraph (1).
``(c) Comparability of Services.--
``(1) In general.--
``(A) Comparable services.--Except as provided in
paragraphs (4) and (5), a local educational agency may
receive funds under this part only if State and local funds
will be used in schools served under this part to provide
services that, taken as a whole, are at least comparable to
services in schools that are not receiving funds under this
part.
``(B) Substantially comparable services.--If the local
educational agency is serving all of such agency's schools
under this part, such agency may receive funds under this
part only if such agency will use State and local funds to
provide services that, taken as a whole, are substantially
comparable in each school.
``(C) Basis.--A local educational agency may meet the
requirements of subparagraphs (A) and (B) on a grade-span by
grade-span basis or a school-by-school basis.
``(2) Written assurance.--
``(A) Equivalence.--A local educational agency shall be
considered to have met the requirements of paragraph (1) if
such agency has filed with the State educational agency a
written assurance that such agency has established and
implemented--
``(i) a local educational agency-wide salary schedule;
``(ii) a policy to ensure equivalence among schools in
teachers, administrators, and other staff; and
``(iii) a policy to ensure equivalence among schools in the
provision of curriculum materials and instructional supplies.
``(B) Determinations.--For the purpose of this subsection,
in the determination of expenditures per pupil from State and
local funds, or instructional salaries per pupil from State
and local funds, staff salary differentials for years of
employment shall not be included in such determinations.
``(C) Exclusions.--A local educational agency need not
include unpredictable changes in student enrollment or
personnel assignments that occur after the beginning of a
school year in determining comparability of services under
this subsection.
``(3) Procedures and records.--Each local educational
agency assisted under this part shall--
``(A) develop procedures for compliance with this
subsection; and
``(B) maintain records that are updated biennially
documenting such agency's compliance with this subsection.
``(4) Inapplicability.--This subsection shall not apply to
a local educational agency that does not have more than one
building for each grade span.
``(5) Compliance.--For the purpose of determining
compliance with paragraph (1), a local educational agency may
exclude State and local funds expended for--
``(A) language instruction educational programs; and
``(B) the excess costs of providing services to children
with disabilities as determined by the local educational
agency.
``(d) Exclusion of Funds.--For the purpose of complying
with subsections (b) and (c), a State educational agency or
local educational agency may exclude supplemental State or
local funds expended in any school attendance area or school
for programs that meet the intent and purposes of this part.

``SEC. 1120B. COORDINATION REQUIREMENTS.

``(a) In General.--Each local educational agency receiving
assistance under this part shall carry out the activities
described in subsection (b) with Head Start agencies and, if
feasible, other entities carrying out early childhood
development programs such as the Early Reading First program.
``(b) Activities.--The activities referred to in subsection
(a) are activities that increase coordination between the
local educational agency and a Head Start agency and, if
feasible, other entities carrying out early childhood
development programs, such as the Early Reading First
program, serving children who will attend the schools of the
local educational agency, including--
``(1) developing and implementing a systematic procedure
for receiving records regarding such children, transferred
with parental consent from a Head Start program or, where
applicable, another early childhood development program such
as the Early Reading First program;
``(2) establishing channels of communication between school
staff and their counterparts (including teachers, social
workers, and health staff) in such Head Start agencies or
other entities carrying out early childhood development
programs such as the Early Reading First program, as
appropriate, to facilitate coordination of programs;
``(3) conducting meetings involving parents, kindergarten
or elementary school teachers, and Head Start teachers or, if
appropriate, teachers from other early childhood development
programs such as the Early Reading First program, to discuss
the developmental and other needs of individual children;
``(4) organizing and participating in joint transition-
related training of school staff, Head Start program staff,
Early Reading First program staff, and, where appropriate,
other early childhood development program staff; and
``(5) linking the educational services provided by such
local educational agency with the services provided by local
Head Start agencies and entities carrying out Early Reading
First programs.
``(c) Coordination of Regulations.--The Secretary shall
work with the Secretary of Health and Human Services to
coordinate regulations promulgated under this part with
regulations promulgated under the Head Start Act.

``Subpart 2--Allocations

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

``(a) Reservation of Funds.--From the amount appropriated
for payments to States for any fiscal year under section
1002(a) and 1125A(f), the Secretary shall reserve a total of
1 percent to provide assistance to--
``(1) the outlying areas in the amount determined in
accordance with subsection (b); and
``(2) the Secretary of the Interior in the amount necessary
to make payments pursuant to subsection (d).
``(b) Assistance to Outlying Areas.--
``(1) Funds reserved.--From the amount made available for
any fiscal year under subsection (a), the Secretary shall
award grants to local educational agencies in the outlying
areas.
``(2) Competitive grants.--Until each appropriate outlying
area enters into an agreement for extension of United States
educational assistance under the Compact of Free Association
after the date of enactment of the No Child Left Behind Act
of 2001, the Secretary shall carry out the competition
described in paragraph (3), except that the amount reserved
to carry out such competition shall not exceed $5,000,000.
``(3) Limitation for competitive grants.--
``(A) Competitive grants.--The Secretary shall use funds
described in paragraph (2) to award grants to the outlying
areas and freely associated States to carry out the purposes
of this part.

[[Page H9797]]

``(B) Award basis.--The Secretary shall award grants under
subparagraph (A) on a competitive basis, taking into
consideration the recommendations of the Pacific Region
Educational Laboratory in Honolulu, Hawaii.
``(C) Uses.--Except as provided in subparagraph (D), grant
funds awarded under this paragraph may be used only--
``(i) for programs described in this Act, including teacher
training, curriculum development, instructional materials, or
general school improvement and reform; and
``(ii) to provide direct educational services that assist
all students with meeting challenging State academic content
standards.
``(D) Administrative costs.--The Secretary may provide not
more than 5 percent of the amount reserved for grants under
this paragraph to pay the administrative costs of the Pacific
Region Educational Laboratory under subparagraph (B).
``(4) Special rule.--The provisions of Public Law 95-134,
permitting the consolidation of grants by the outlying areas,
shall not apply to funds provided to the freely associated
States under this section.
``(c) Definitions.--For the purpose of subsections (a) and
(b)--
``(1) the term ``freely associated States'' means the
Republic of the Marshall Islands, the Federated States of
Micronesia, and the Republic of Palau; and
``(2) the term ``outlying area'' means the United States
Virgin Islands, Guam, American Samoa, and the Commonwealth of
the Northern Mariana Islands.
``(d) Allotment to the Secretary of the Interior.--
``(1) In general.--The amount allotted for payments to the
Secretary of the Interior under subsection (a)(2) for any
fiscal year shall be, as determined pursuant to criteria
established by the Secretary, the amount necessary to meet
the special educational needs of--
``(A) Indian children on reservations served by elementary
schools and secondary schools for Indian children operated or
supported by the Department of the Interior; and
``(B) out-of-State Indian children in elementary schools
and secondary schools in local educational agencies under
special contracts with the Department of the Interior.
``(2) Payments.--From the amount allotted for payments to
the Secretary of the Interior under subsection (a)(2), the
Secretary of the Interior shall make payments to local
educational agencies, on such terms as the Secretary
determines will best carry out the purposes of this part,
with respect to out-of-State Indian children described in
paragraph (1). The amount of such payment may not exceed, for
each such child, the greater of--
``(A) 40 percent of the average per-pupil expenditure in
the State in which the agency is located; or
``(B) 48 percent of such expenditure in the United States.

``SEC. 1122. ALLOCATIONS TO STATES.

``(a) Allocation Formula.--Of the amount appropriated under
section 1002(a) to carry out this part for each of fiscal
years 2002 through 2007 (referred to in this subsection as
the current fiscal year)--
``(1) an amount equal to the amount made available to carry
out section 1124 for fiscal year 2001 shall be allocated in
accordance with section 1124;
``(2) an amount equal to the amount made available to carry
out section 1124A for fiscal year 2001 shall be allocated in
accordance with section 1124A; and
``(3) an amount equal to 100 percent of the amount, if any,
by which the amount made available to carry out sections
1124, 1124A, and 1125 for the current fiscal year for which
the determination is made exceeds the amount available to
carry out sections 1124 and 1124A for fiscal year 2001 shall
be allocated in accordance with section 1125.
``(b) Adjustments Where Necessitated by Appropriations.--
``(1) In general.--If the sums available under this subpart
for any fiscal year are insufficient to pay the full amounts
that all local educational agencies in States are eligible to
receive under sections 1124, 1124A, and 1125 for such year,
the Secretary shall ratably reduce the allocations to such
local educational agencies, subject to subsections (c) and
(d) of this section.
``(2) Additional funds.--If additional funds become
available for making payments under sections 1124, 1124A, and
1125 for such fiscal year, allocations that were reduced
under paragraph (1) shall be increased on the same basis as
they were reduced.
``(c) Hold-Harmless Amounts.--
``(1) Amounts for sections 1124, 1124a, and 1125.--For each
fiscal year, the amount made available to each local
educational agency under each of sections 1124, 1124A, and
1125 shall be--
``(A) not less than 95 percent of the amount made available
for the preceding fiscal year if the number of children
counted for grants under section 1124 is not less than 30
percent of the total number of children aged 5 to 17 years,
inclusive, in the local educational agency;
``(B) not less than 90 percent of the amount made available
for the preceding fiscal year if the percentage described in
subparagraph (A) is between 15 percent and 30 percent; and
``(C) not less than 85 percent of the amount made available
for the preceding fiscal year if the percentage described in
subparagraph (A) is below 15 percent.
``(2) Payments.--If sufficient funds are appropriated, the
amounts described in paragraph (1) shall be paid to all local
educational agencies that received grants under section 1124A
for the preceding fiscal year, regardless of whether the
local educational agency meets the minimum eligibility
criteria for that fiscal year described in section
1124A(a)(1)(A) except that a local educational agency that
does not meet such minimum eligibility criteria for 4
consecutive years shall no longer be eligible to receive a
hold harmless amount referred to in paragraph (1).
``(3) Applicability.--Notwithstanding any other provision
of law, the Secretary shall not take into consideration the
hold-harmless provisions of this subsection for any fiscal
year for purposes of calculating State or local allocations
for the fiscal year under any program administered by the
Secretary other than a program authorized under this part.
``(4) Population data.--For any fiscal year for which the
Secretary calculates grants on the basis of population data
for counties, the Secretary shall apply the hold-harmless
percentages in paragraphs (1) and (2) to counties and, if the
Secretary's allocation for a county is not sufficient to meet
the hold-harmless requirements of this subsection for every
local educational agency within that county, the State
educational agency shall reallocate funds proportionately
from all other local educational agencies in the State that
are receiving funds in excess of the hold-harmless amounts
specified in this subsection.
``(d) Ratable Reductions.--
``(1) In general.--If the sums made available under this
subpart for any fiscal year are insufficient to pay the full
amounts that local educational agencies in all States are
eligible to receive under subsection (c) for such year, the
Secretary shall ratably reduce such amounts for such year.
``(2) Additional funds.--If additional funds become
available for making payments under subsection (c) for such
fiscal year, amounts that were reduced under paragraph (1)
shall be increased on the same basis as such amounts were
reduced.
``(e) Definition.--For the purpose of this section and
sections 1124, 1124A, 1125, and 1125A, the term ``State''
means each of the 50 States, the District of Columbia, and
the Commonwealth of Puerto Rico.

``SEC. 1124. BASIC GRANTS TO LOCAL EDUCATIONAL AGENCIES.

``(a) Amount of Grants.--
``(1) Grants for local educational agencies and puerto
rico.--Except as provided in paragraph (4) and in section
1126, the grant that a local educational agency is eligible
to receive under this section for a fiscal year is the amount
determined by multiplying--
``(A) the number of children counted under subsection (c);
and
``(B) 40 percent of the average per-pupil expenditure in
the State, except that the amount determined under this
subparagraph shall not be less than 32 percent, or more than
48 percent, of the average per-pupil expenditure in the
United States.
``(2) Calculation of grants.--
``(A) Allocations to local educational agencies.--The
Secretary shall calculate grants under this section on the
basis of the number of children counted under subsection (c)
for local educational agencies, unless the Secretary and the
Secretary of Commerce determine that some or all of those
data are unreliable or that their use would be otherwise
inappropriate, in which case--
``(i) the 2 Secretaries shall publicly disclose the reasons
for their determination in detail; and
``(ii) paragraph (3) shall apply.
``(B) Allocations to large and small local educational
agencies.--
``(i) For any fiscal year to which this paragraph applies,
the Secretary shall calculate grants under this section for
each local educational agency.
``(ii) The amount of a grant under this section for each
large local educational agency shall be the amount determined
under clause (i).
``(iii) For small local educational agencies, the State
educational agency may either--

``(I) distribute grants under this section in amounts
determined by the Secretary under clause (i); or
``(II) use an alternative method approved by the Secretary
to distribute the portion of the State's total grants under
this section that is based on those small agencies.

``(iv) An alternative method under clause (iii)(II) shall
be based on population data that the State educational agency
determines best reflect the current distribution of children
in poor families among the State's small local educational
agencies that meet the eligibility criteria of subsection
(b).
``(v) If a small local educational agency is dissatisfied
with the determination of its grant by the State educational
agency under clause (iii)(II), it may appeal that
determination to the Secretary, who shall respond not later
than 45 days after receipt of such appeal.
``(vi) As used in this subparagraph--

``(I) the term ``large local educational agency'' means a
local educational agency serving an area with a total
population of 20,000 or more; and
``(II) the term ``small local educational agency'' means a
local educational agency serving an area with a total
population of less than 20,000.

``(3) Allocations to counties.--
``(A) Calculation.--For any fiscal year to which this
paragraph applies, the Secretary shall calculate grants under
this section on the basis of the number of children counted
under subsection (c) for counties, and State educational
agencies shall suballocate county amounts to local
educational agencies, in accordance with regulations issued
by the Secretary.
``(B) Direct allocations.--In any State in which a large
number of local educational agencies overlap county
boundaries, or for which the State believes it has data that
would better target funds than allocating them by county, the

[[Page H9798]]

State educational agency may apply to the Secretary for
authority to make the allocations under this subpart for a
particular fiscal year directly to local educational agencies
without regard to counties.
``(C) Allocations to local educational agencies.--If the
Secretary approves the State educational agency's application
under subparagraph (B), the State educational agency shall
provide the Secretary an assurance that such allocations
shall be made--
``(i) using precisely the same factors for determining a
grant as are used under this subpart; or
``(ii) using data that the State educational agency submits
to the Secretary for approval that more accurately target
poverty.
``(D) Appeal.--The State educational agency shall provide
the Secretary an assurance that it will establish a procedure
through which a local educational agency that is dissatisfied
with its determinations under subparagraph (B) may appeal
directly to the Secretary for a final determination.
``(4) Puerto rico.--
``(A) In general.--For each fiscal year, the grant that the
Commonwealth of Puerto Rico shall be eligible to receive
under this section shall be the amount determined by
multiplying the number of children counted under subsection
(c) for the Commonwealth of Puerto Rico by the product of--
``(i) subject to subparagraph (B), the percentage that the
average per-pupil expenditure in the Commonwealth of Puerto
Rico is of the lowest average per-pupil expenditure of any of
the 50 States; and
``(ii) 32 percent of the average per-pupil expenditure in
the United States.
``(B) Minimum percentage.--The percentage in subparagraph
(A)(i) shall not be less than--
``(i) for fiscal year 2002, 77.5 percent;
``(ii) for fiscal year 2003, 80.0 percent;
``(iii) for fiscal year 2004, 82.5 percent;
``(iv) for fiscal year 2005, 85.0 percent;
``(v) for fiscal year 2006, 92.5 percent; and
``(vi) for fiscal year 2007 and succeeding fiscal years,
100.0 percent.
``(C) Limitation.--If the application of subparagraph (B)
would result in any of the 50 States or the District of
Columbia receiving less under this subpart than it received
under this subpart for the preceding fiscal year, the
percentage in subparagraph (A) shall be the greater of--
``(i) the percentage in subparagraph (A)(i);
``(ii) the percentage specified in subparagraph (B) for the
preceding fiscal year; or
``(iii) the percentage used for the preceding fiscal year.
``(b) Minimum Number of Children to Qualify.--A local
educational agency is eligible for a basic grant under this
section for any fiscal year only if the number of children
counted under subsection (c) for that agency is both--
``(1) 10 or more; and
``(2) more than 2 percent of the total school-age
population in the agency's jurisdiction.
``(c) Children to be Counted.--
``(1) Categories of children.--The number of children to be
counted for purposes of this section is the aggregate of--
``(A) the number of children aged 5 to 17, inclusive, in
the school district of the local educational agency from
families below the poverty level as determined under
paragraph (2);
``(B) the number of children (determined under paragraph
(4) for either the preceding year as described in that
paragraph, or for the second preceding year, as the Secretary
finds appropriate) aged 5 to 17, inclusive, in the school
district of such agency in institutions for neglected and
delinquent children (other than such institutions operated by
the United States), but not counted pursuant to subpart 1 of
part D for the purposes of a grant to a State agency, or
being supported in foster homes with public funds; and
``(C) the number of children aged 5 to 17, inclusive, in
the school district of such agency from families above the
poverty level as determined under paragraph (4).
``(2) Determination of number of children.--For the
purposes of this section, the Secretary shall determine the
number of children aged 5 to 17, inclusive, from families
below the poverty level on the basis of the most recent
satisfactory data, described in paragraph (3), available from
the Department of Commerce. The District of Columbia and the
Commonwealth of Puerto Rico shall be treated as individual
local educational agencies. If a local educational agency
contains 2 or more counties in their entirety, then each
county will be treated as if such county were a separate
local educational agency for purposes of calculating grants
under this part. The total of grants for such counties shall
be allocated to such a local educational agency, which local
educational agency shall distribute to schools in each county
within such agency a share of the local educational agency's
total grant that is no less than the county's share of the
population counts used to calculate the local educational
agency's grant.
``(3) Population updates.--
``(A) In general.--In fiscal year 2002 and each subsequent
fiscal year, the Secretary shall use updated data on the
number of children, aged 5 to 17, inclusive, from families
below the poverty level for counties or local educational
agencies, published by the Department of Commerce, unless the
Secretary and the Secretary of Commerce determine that the
use of the updated population data would be inappropriate or
unreliable. If appropriate and reliable data are not
available annually, the Secretary shall use data which are
updated every 2 years.
``(B) Inappropriate or unreliable data.--If the Secretary
and the Secretary of Commerce determine that some or all of
the data referred to in subparagraph (A) are inappropriate or
unreliable, the Secretary and the Secretary of Commerce shall
publicly disclose their reasons.
``(C) Criteria of poverty.--In determining the families
that are below the poverty level, the Secretary shall use the
criteria of poverty used by the Bureau of the Census in
compiling the most recent decennial census, as the criteria
have been updated by increases in the Consumer Price Index
for All Urban Consumers, published by the Bureau of Labor
Statistics.
``(4) Other children to be counted.--
``(A) For the purpose of this section, the Secretary shall
determine the number of children aged 5 to 17, inclusive,
from families above the poverty level on the basis of the
number of such children from families receiving an annual
income, in excess of the current criteria of poverty, from
payments under a State program funded under part A of title
IV of the Social Security Act; and in making such
determinations, the Secretary shall use the criteria of
poverty used by the Bureau of the Census in compiling the
most recent decennial census for a family of 4 in such form
as those criteria have been updated by increases in the
Consumer Price Index for all urban consumers, published by
the Bureau of Labor Statistics.
``(B) The Secretary shall determine the number of such
children and the number of children aged 5 through 17 living
in institutions for neglected or delinquent children, or
being supported in foster homes with public funds, on the
basis of the caseload data for the month of October of the
preceding fiscal year (using, in the case of children
described in the preceding sentence, the criteria of poverty
and the form of such criteria required by such sentence which
were determined for the calendar year preceding such month of
October) or, to the extent that such data are not available
to the Secretary before January of the calendar year in which
the Secretary's determination is made, then on the basis of
the most recent reliable data available to the Secretary at
the time of such determination.
``(C) Except for the data on children living in
institutions for neglected or delinquent children, the
Secretary of Health and Human Services shall collect and
transmit the information required by this subparagraph to the
Secretary not later than January 1 of each year.
``(D) For the purpose of this section, the Secretary shall
consider all children who are in correctional institutions to
be living in institutions for delinquent children.
``(5) Estimate.--When requested by the Secretary, the
Secretary of Commerce shall make a special updated estimate
of the number of children of such ages who are from families
below the poverty level (as determined under paragraph
(1)(A)) in each school district, and the Secretary is
authorized to pay (either in advance or by way of
reimbursement) the Secretary of Commerce the cost of making
this special estimate. The Secretary of Commerce shall give
consideration to any request of the chief executive of a
State for the collection of additional census information.
``(d) State Minimum.--Notwithstanding section 1122, the
aggregate amount allotted for all local educational agencies
within a State may not be less than the lesser of--
``(1) 0.25 percent of the total amount allocated to States
under this section for fiscal year 2001, plus 0.35 percent of
the total amount allocated to States under this section in
excess of the amount allocated for fiscal year 2001; or
``(2) the average of--
``(A) the amount calculated in paragraph (1), above; and
``(B) the number of children in such State counted under
subsection (c) in the fiscal year multiplied by 150 percent
of the national average per-pupil payment made with funds
available under this section for that year.

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

``(a) Eligibility for and Amount of Grants.--
``(1) In general.--(A) Except as otherwise provided in this
paragraph, each local educational agency which is eligible
for a grant under section 1124 for any fiscal year is
eligible for an additional grant under this section for that
fiscal year if the number of children counted under section
1124(c) in the agency exceeds either--
``(i) 6,500; or
``(ii) 15 percent of the total number of children aged 5
through 17 in the agency.
``(B) Notwithstanding section 1122, no State shall receive
less than the lesser of--
``(i) 0.25 percent of the total amount allocated to States
under this section for fiscal year 2001, plus 0.35 percent of
the total amount allocated to States under this section in
excess of the amount allocated for fiscal year 2001; or
``(ii) the average of--
``(I) the amount calculated under clause (i); and
``(II) the greater of--

``(aa) $340,000; or
``(bb) the number of children in such State counted for
purposes of this section in that fiscal year multiplied by
150 percent of the national average per-pupil payment made
with funds available under this section for that year.

``(2) Determination.--For each county or local educational
agency eligible to receive an additional grant under this
section for any fiscal year, the Secretary shall determine
the product of--
``(A) the number of children counted under section 1124(c)
for that fiscal year; and
``(B) the amount in section 1124(a)(1)(B) for each State
except the Commonwealth of Puerto Rico, and the amount in
section 1124(a)(4) for the Commonwealth of Puerto Rico.
``(3) Amount.--The amount of the additional grant for which
an eligible local educational agency or county is eligible
under this section for any fiscal year shall be an amount
which bears the same ratio to the amount available to

[[Page H9799]]

carry out this section for that fiscal year as the product
determined under paragraph (2) for such local educational
agency for that fiscal year bears to the sum of such products
for all local educational agencies in the United States for
that fiscal year.
``(4) Local allocations.--(A) Grant amounts under this
section shall be determined in accordance with section
1124(a)(2), (3) and (4).
``(B) For any fiscal year for which the Secretary allocates
funds under this section on the basis of counties, a State
may reserve not more than 2 percent of its allocation under
this section to make grants to local educational agencies
that meet the criteria of paragraph (1)(A)(i) or (ii) and are
in ineligible counties that do not meet these criteria.
``(b) Small States.--In any State for which on the date of
enactment of the No Child Left Behind Act of 2001 the number
of children counted under Section 1124(c) is less than 0.25
percent of the number of those children counted for all
States, the State educational agency shall allocate funds
under this section among the local educational agencies in
the State either--
``(1) in accordance with paragraphs (2) and (4) of
subsection (a); or
``(2) based on their respective concentrations and numbers
of children counted under section 1124(c), except that only
those local educational agencies with concentrations or
numbers of children counted under section 1124(c) that exceed
the statewide average percentage of such children or the
statewide average number of such children shall receive any
funds on the basis of this paragraph.

``SEC. 1125. TARGETED GRANTS TO LOCAL EDUCATIONAL AGENCIES.

``(a) Eligibility of Local Educational Agencies.--
``(1) In general.--A local educational agency in a State is
eligible to receive a targeted grant under this section for
any fiscal year if--
``(A) the number of children in the local educational
agency counted under section 1124(c), before application of
the weighted child count described in subsection (c), is at
least 10; and
``(B) if the number of children counted for grants under
section 1124(c), before application of the weighted child
count described in subsection (c), is at least 5 percent of
the total number of children aged 5 to 17 years, inclusive,
in the school district of the local educational agency.
``(2) Special rule.--For any fiscal year for which the
Secretary allocates funds under this section on the basis of
counties, funds made available as a result of applying this
subsection shall be reallocated by the State educational
agency to other eligible local educational agencies in the
State in proportion to the distribution of other funds under
this section.
``(b) Grants for Local Educational Agencies, the District
of Columbia, and the Commonwealth of Puerto Rico.--
``(1) In general.--The amount of the grant that a local
educational agency in a State (other than the Commonwealth of
Puerto Rico) is eligible to receive under this section for
any fiscal year shall be the product of--
``(A) the weighted child count determined under subsection
(c); and
``(B) the amount determined under section 1124(a)(1)(B).
``(2) Puerto rico.--For each fiscal year, the amount of the
grant the Commonwealth of Puerto Rico is eligible to receive
under this section shall be equal to the number of children
counted under subsection (c) for the Commonwealth of Puerto
Rico, multiplied by the amount determined in section
1124(a)(4) for the Commonwealth of Puerto Rico.
``(c) Weighted Child Count.--
``(1) Weights for allocations to counties.--
``(A) In general.--For each fiscal year for which the
Secretary uses county population data to calculate grants,
the weighted child count used to determine a county's
allocation under this section is the larger of the 2 amounts
determined under subparagraphs (B) and (C).
``(B) By percentage of children.--The amount referred to in
subparagraph (A) is determined by adding--
``(i) the number of children determined under section
1124(c) for that county who constitute not more than 15.00
percent, inclusive, of the county's total population aged 5
to 17, inclusive, multiplied by 1.0;
``(ii) the number of such children who constitute more than
15.00 percent, but not more than 19.00 percent, of such
population, multiplied by 1.75;
``(iii) the number of such children who constitute more
than 19.00 percent, but not more than 24.20 percent, of such
population, multiplied by 2.5;
``(iv) the number of such children who constitute more than
24.20 percent, but not more than 29.20 percent, of such
population, multiplied by 3.25; and
``(v) the number of such children who constitute more than
29.20 percent of such population, multiplied by 4.0.
``(C) By number of children.--The amount referred to in
subparagraph (A) is determined by adding--
``(i) the number of children determined under section
1124(c) who constitute not more than 2,311, inclusive, of the
county's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(ii) the number of such children between 2,312 and 7,913,
inclusive, in such population, multiplied by 1.5;
``(iii) the number of such children between 7,914 and
23,917, inclusive, in such population, multiplied by 2.0;
``(iv) the number of such children between 23,918 and
93,810, inclusive, in such population, multiplied by 2.5; and
``(v) the number of such children in excess of 93,811 in
such population, multiplied by 3.0.
``(D) Puerto rico.--Notwithstanding subparagraph (A), the
weighting factor for the Commonwealth of Puerto Rico under
this paragraph shall not be greater than the total number of
children counted under section 1124(c) multiplied by 1.82.
``(2) Weights for allocations to local educational
agencies.--
``(A) In general.--For each fiscal year for which the
Secretary uses local educational agency data, the weighted
child count used to determine a local educational agency's
grant under this section is the larger of the 2 amounts
determined under subparagraphs (B) and (C).
``(B) By percentage of children.--The amount referred to in
subparagraph (A) is determined by adding--
``(i) the number of children determined under section
1124(c) for that local educational agency who constitute not
more than 15.58 percent, inclusive, of the agency's total
population aged 5 to 17, inclusive, multiplied by 1.0;
``(ii) the number of such children who constitute more than
15.58 percent, but not more than 22.11 percent, of such
population, multiplied by 1.75;
``(iii) the number of such children who constitute more
than 22.11 percent, but not more than 30.16 percent, of such
population, multiplied by 2.5;
``(iv) the number of such children who constitute more than
30.16 percent, but not more than 38.24 percent, of such
population, multiplied by 3.25; and
``(v) the number of such children who constitute more than
38.24 percent of such population, multiplied by 4.0.
``(C) By number of children.--The amount referred to in
subparagraph (A) is determined by adding--
``(i) the number of children determined under section
1124(c) who constitute not more than 691, inclusive, of the
agency's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(ii) the number of such children between 692 and 2,262,
inclusive, in such population, multiplied by 1.5;
``(iii) the number of such children between 2,263 and
7,851, inclusive, in such population, multiplied by 2.0;
``(iv) the number of such children between 7,852 and
35,514, inclusive, in such population, multiplied by 2.5; and
``(v) the number of such children in excess of 35,514 in
such population, multiplied by 3.0.
``(D) Puerto rico.--Notwithstanding subparagraph (A), the
weighting factor for the Commonwealth of Puerto Rico under
this paragraph shall not be greater than the total number of
children counted under section 1124(c) multiplied by 1.82.
``(d) Calculation of Grant Amounts.--Grant amounts under
this section shall be calculated in the same manner as grant
amounts are calculated under section 1124(a) (2) and (3).
``(e) State Minimum.--Notwithstanding any other provision
of this section or section 1122, from the total amount
available for any fiscal year to carry out this section, each
State shall be allotted at least the lesser of--
``(1) 0.35 percent of the total amount available to carry
out this section; or
``(2) the average of--
``(A) 0.35 percent of the total amount available to carry
out this section; and
``(B) 150 percent of the national average grant under this
section per child described in section 1124(c), without
application of a weighting factor, multiplied by the State's
total number of children described in section 1124(c),
without application of a weighting factor.

``SEC. 1125AA. ADEQUACY OF FUNDING OF TARGETED GRANTS TO
LOCAL EDUCATIONAL AGENCIES IN FISCAL YEARS
AFTER FISCAL YEAR 2001.

``(a) Findings.--Congress makes the following findings:
``(1) The current Basic Grant Formula for the distribution
of funds under this part often does not provide funds for the
economically disadvantaged students for which such funds are
targeted.
``(2) Any school district in which more than 2 percent of
the students live below the poverty level qualifies for
funding under the Basic Grant Formula. As a result, 9 out of
every 10 school districts in the country receive some form of
aid under the Formula.
``(3) 58 percent of all schools receive at least some
funding under this part, including many suburban schools with
predominantly well-off students.
``(4) 1 out of every 5 schools with concentrations of poor
students between 50 and 75 percent receive no funding at all
under this part.
``(5) In passing the Improving America's Schools Act in
1994, Congress declared that grants under this part would
more sharply target high poverty schools by using the
Targeted Grant Formula, but annual appropriation Acts have
prevented the use of that Formula.
``(6) The advantage of the Targeted Grant Formula over
other funding formulas under this part is that the Targeted
Grant Formula provides increased grants per poor child as the
percentage of economically disadvantaged children in a school
district increases.
``(7) Studies have found that the poverty of a child's
family is much more likely to be associated with educational
disadvantage if the family lives in an area with large
concentrations of poor families.
``(8) States with large populations of high poverty
students would receive significantly more funding if more
funds under this part were allocated through the Targeted
Grant Formula.
``(9) Congress has an obligation to allocate funds under
this part so that such funds will positively affect the
largest number of economically disadvantaged students.
``(b) Limitation on Allocation of Title I Funds Contingent
on Adequate Funding of

[[Page H9800]]

Targeted Grants.--Pursuant to section 1122, the total amount
allocated in any fiscal year after fiscal year 2001 for
programs and activities under this part shall not exceed the
amount allocated in fiscal year 2001 for such programs and
activities unless the amount available for targeted grants to
local educational agencies under section 1125 in the
applicable fiscal year meets the requirements of section
1122(a).

``SEC. 1125A. EDUCATION FINANCE INCENTIVE GRANT PROGRAM.

``(a) Grants.--From funds appropriated under subsection (f)
the Secretary is authorized to make grants to States, from
allotments under subsection (b), to carry out the programs
and activities of this part.
``(b) Distribution Based Upon Fiscal Effort and Equity.--
``(1) In general.--
``(A) In general.--Except as provided in subparagraph (B),
funds appropriated pursuant to subsection (f) shall be
allotted to each State based upon the number of children
counted under section 1124(c) in such State multiplied by the
product of--
``(i) the amount in section 1124(a)(1)(B) for all States
other than the Commonwealth of Puerto Rico, except that the
amount determined under that subparagraph shall not be less
that 34 percent or more than 46 percent of the average per
pupil expenditure in the United States, and the amount in
section 1124(a)(4) for the Commonwealth of Puerto Rico,
except that the amount in section 1124(a)(4)(A)(ii) shall be
34 percent of the average per pupil expenditure in the United
States; multiplied by
``(ii) such State's effort factor described in paragraph
(2); multiplied by
``(iii) 1.30 minus such State's equity factor described in
paragraph (3).
``(B) State minimum.--Notwithstanding any other provision
of this section or section 1122, from the total amount
available for any fiscal year to carry out this section, each
State shall be allotted at least the lesser of--
``(i) 0.35 percent of total appropriations; or
``(ii) the average of--

``(I) 0.35 percent of the total amount available to carry
out this section; and
``(II) 150 percent of the national average grant under this
section per child described in section 1124(c), without
application of a weighting factor, multiplied by the State's
total number of children described in section 1124(c),
without application of a weighting factor.

``(2) Effort factor.--
``(A) In general.--Except as provided in subparagraph (B),
the effort factor for a State shall be determined in
accordance with the succeeding sentence, except that such
factor shall not be less than 0.95 nor greater than 1.05. The
effort factor determined under this sentence shall be a
fraction the numerator of which is the product of the 3-year
average per-pupil expenditure in the State multiplied by the
3-year average per capita income in the United States and the
denominator of which is the product of the 3-year average per
capita income in such State multiplied by the 3-year average
per-pupil expenditure in the United States.
``(B) Commonwealth of puerto rico.--The effort factor for
the Commonwealth of Puerto Rico shall be equal to the lowest
effort factor calculated under subparagraph (A) for any
State.
``(3) Equity factor.--
``(A) Determination.--
``(i) In general.--Except as provided in subparagraph (B),
the Secretary shall determine the equity factor under this
section for each State in accordance with clause (ii).
``(ii) Computation.--

``(I) In general.--For each State, the Secretary shall
compute a weighted coefficient of variation for the per-pupil
expenditures of local educational agencies in accordance with
subclauses (II), (III), and (IV).
``(II) Variation.--In computing coefficients of variation,
the Secretary shall weigh the variation between per-pupil
expenditures in each local educational agency and the average
per-pupil expenditures in the State according to the number
of pupils served by the local educational agency.

``(III) Number of pupils.--In determining the number of
pupils under this paragraph served by each local educational
agency and in each State, the Secretary shall multiply the
number of children counted under section 1124(c) by a factor
of 1.4.
``(IV) Enrollment requirement.--In computing coefficients
of variation, the Secretary shall include only those local
educational agencies with an enrollment of more than 200
students.

``(B) Special rule.--The equity factor for a State that
meets the disparity standard described in section 222.162 of
title 34, Code of Federal Regulations (as such section was in
effect on the day preceding the date of enactment of the No
Child Left Behind Act of 2001) or a State with only 1 local
educational agency shall be not greater than 0.10.
``(c) Use of Funds; Eligibility of Local Educational
Agencies.--All funds awarded to each State under this section
shall be allocated to local educational agencies under the
following provisions. Within local educational agencies,
funds allocated under this section shall be distributed to
schools on a basis consistent with section 1113, and may only
be used to carry out activities under this part. A local
educational agency in a State is eligible to receive a
targeted grant under this section for any fiscal year if--
``(A) the number of children in the local educational
agency counted under section 1124(c), before application of
the weighted child count described in paragraph (3), is at
least 10; and
``(B) if the number of children counted for grants under
section 1124(c), before application of the weighted child
count described in paragraph (3), is at least 5 percent of
the total number of children aged 5 to 17 years, inclusive,
in the school district of the local educational agency.
``For any fiscal year for which the Secretary allocates
funds under this section on the basis of counties, funds made
available as a result of applying this subsection shall be
reallocated by the State educational agency to other eligible
local educational agencies in the State in proportion to the
distribution of other funds under this section.
``(d) Allocation of Funds to Eligible Local Educational
Agencies.--Funds received by States under this section shall
be allocated within States to eligible local educational
agencies on the basis of weighted child counts calculated in
accordance with paragraph (1), (2), or (3), as appropriate
for each State.
``(1) States with an equity factor less than .10.--In
States with an equity factor less than .10, the weighted
child counts referred to in subsection (d) shall be
calculated as follows:
``(A) Weights for allocations to counties.--
``(i) In general.--For each fiscal year for which the
Secretary uses county population data to calculate grants,
the weighted child count used to determine a county's
allocation under this section is the larger of the 2 amounts
determined under clauses (ii) and (iii).
``(ii) By percentage of children.--The amount referred to
in clause ``(i) is determined by adding--

``(I) the number of children determined under section
1124(c) for that county who constitute not more than 15.00
percent, inclusive, of the county's total population aged 5
to 17, inclusive, multiplied by 1.0;
``(II) the number of such children who constitute more than
15.00 percent, but not more than 19.00 percent, of such
population, multiplied by 1.75;
``(III) the number of such children who constitute more
than 19.00 percent, but not more than 24.20 percent, of such
population, multiplied by 2.5;
``(IV) the number of such children who constitute more than
24.20 percent, but not more than 29.20 percent, of such
population, multiplied by 3.25; and
``(V) the number of such children who constitute more than
29.20 percent of such population, multiplied by 4.0.

``(iii) By number of children.--The amount referred to in
clause (i) is determined by adding

``(I) the number of children determined under section
1124(c) who constitute not more than 2,311, inclusive, of the
county's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(II) the number of such children between 2,312 and 7,913,
inclusive, in such population, multiplied by 1.5;
``(III) the number of such children between 7,914 and
23,917, inclusive, in such population, multiplied by 2.0;
``(IV) the number of such children between 23,918 and
93,810, inclusive, in such population, multiplied by 2.5; and
``(V) the number of such children in excess of 93,811 in
such population, multiplied by 3.0.

``(B) Weights for allocations to local educational
agencies.--
``(i) In general.--For each fiscal year for which the
Secretary uses local educational agency data, the weighted
child count used to determine a local educational agency's
grant under this section is the larger of the 2 amounts
determined under clauses (ii) and (iii).
``(ii) By percentage of children.--The amount referred to
in clause (i) is determined by adding--

``(I) the number of children determined under section
1124(c) for that local educational agency who constitute not
more than 15.58 percent, inclusive, of the agency's total
population aged 5 to 17, inclusive, multiplied by 1.0;
``(II) the number of such children who constitute more than
15.58 percent, but not more than 22.11 percent, of such
population, multiplied by 1.75;
``(III) the number of such children who constitute more
than 22.11 percent, but not more than 30.16 percent, of such
population, multiplied by 2.5;
``(IV) the number of such children who constitute more than
30.16 percent, but not more than 38.24 percent, of such
population, multiplied by 3.25; and
``(V) the number of such children who constitute more than
38.24 percent of such population, multiplied by 4.0.

``(iii) By number of children.--The amount referred to in
clause (i) is determined by adding--

``(I) the number of children determined under section
1124(c) who constitute not more than 691, inclusive, of the
agency's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(II) the number of such children between 692 and 2,262,
inclusive, in such population, multiplied by 1.5;
``(III) the number of such children between 2,263 and
7,851, inclusive, in such population, multiplied by 2.0;
``(IV) the number of such children between 7,852 and
35,514, inclusive, in such population, multiplied by 2.5; and
``(V) the number of such children in excess of 35,514 in
such population, multiplied by 3.0.

``(2) States with an equity factor greater than or equal to
.10 and less than .20.--In States with an equity factor
greater than or equal to .10 and less than .20,the weighted
child counts referred to in subsection (d) shall be
calculated as follows:
``(A) Weights for allocations to counties.--
``(i) In general.--For each fiscal year for which the
Secretary uses county population data to calculate grants,
the weighted child count used to determine a county's
allocation under this section is the larger of the 2 amounts
determined under clauses (ii) and (iii).

[[Page H9801]]

``(ii) By percentage of children.--The amount referred to
in clause (i) is determined by adding--

``(IV) the number of such children who constitute more than
24.20 percent, but not more than 29.20 percent, of such
population, multiplied by 4.5; and
``(V) the number of such children who constitute more than
29.20 percent of such population, multiplied by 6.0.

``(iii) By number of children.--The amount referred to in
clause (i) is determined by adding--

``(I) the number of children determined under section
1124(c) who constitute not more than 2,311, inclusive, of the
county's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(II) the number of such children between 2,312 and 7,913,
inclusive, in such population, multiplied by 1.5;
``(III) the number of such children between 7,914 and
23,917, inclusive, in such population, multiplied by 2.25;
``(IV) the number of such children between 23,918 and
93,810, inclusive, in such population, multiplied by 3.375;
and
``(V) the number of such children in excess of 93,811 in
such population, multiplied by 4.5.

``(I) the number of children determined under section
1124(c) for that local educational agency who constitute not
more than 15.58 percent, inclusive, of the agency's total
population aged 5 to 17, inclusive, multiplied by 1.0;
``(II) the number of such children who constitute more than
15.58 percent, but not more than 22.11 percent, of such
population, multiplied by 1.5;
``(III) the number of such children who constitute more
than 22.11 percent, but not more than 30.16 percent, of such
population, multiplied by 3.0;
``(IV) the number of such children who constitute more than
30.16 percent, but not more than 38.24 percent, of such
population, multiplied by 4.5; and
``(V) the number of such children who constitute more than
38.24 percent of such population, multiplied by 6.0.

``(iii) By number of children.--The amount referred to in
clause (i) is determined by adding--

``(I) the number of children determined under section
1124(c) who constitute not more than 691, inclusive, of the
agency's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(II) the number of such children between 692 and 2,262,
inclusive, in such population, multiplied by 1.5;
``(III) the number of such children between 2,263 and
7,851, inclusive, in such population, multiplied by 2.25;
``(IV) the number of such children between 7,852 and
35,514, inclusive, in such population, multiplied by 3.375;
and
``(V) the number of such children in excess of 35,514 in
such population, multiplied by 4.5.

``(3) States with an equity factor greater than or equal to
.20.--In States with an equity factor greater than or equal
to .20, the weighted child counts referred to in subsection
(d) shall be calculated as follows:
``(A) Weights for allocations to counties.--
``(i) In general.--For each fiscal year for which the
Secretary uses county population data to calculate grants,
the weighted child count used to determine a county's
allocation under this section is the larger of the 2 amounts
determined under clauses (ii) and (iii).
``(ii) By percentage of children.--The amount referred to
in clause (i) is determined by adding--

``(I) the number of children determined under section
1124(c) for that county who constitute not more than 15.00
percent, inclusive, of the county's total population aged 5
to 17, inclusive, multiplied by 1.0;
``(II) the number of such children who constitute more than
15.00 percent, but not more than 19.00 percent, of such
population, multiplied by 2.0;
``(III) the number of such children who constitute more
than 19.00 percent, but not more than 24.20 percent, of such
population, multiplied by 4.0;
``(IV) the number of such children who constitute more than
24.20 percent, but not more than 29.20 percent, of such
population, multiplied by 6.0; and
``(V) the number of such children who constitute more than
29.20 percent of such population, multiplied by 8.0.

``(iii) By number of children.--The amount referred to in
clause (i) is determined by adding--

``(I) the number of children determined under section
1124(c) who constitute not more than 2,311, inclusive, of the
county's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(II) the number of such children between 2,312 and 7,913,
inclusive, in such population, multiplied by 2.0;
``(III) the number of such children between 7,914 and
23,917, inclusive, in such population, multiplied by 3.0;
``(IV) the number of such children between 23,918 and
93,810, inclusive, in such population, multiplied by 4.5; and
``(V) the number of such children in excess of 93,811 in
such population, multiplied by 6.0.

``(I) the number of children determined under section
1124(c) for that local educational agency who constitute not
more than 15.58 percent, inclusive, of the agency's total
population aged 5 to 17, inclusive, multiplied by 1.0;
``(II) the number of such children who constitute more than
15.58 percent, but not more than 22.11 percent, of such
population, multiplied by 2.0;
``(III) the number of such children who constitute more
than 22.11 percent, but not more than 30.16 percent, of such
population, multiplied by 4.0;
``(IV) the number of such children who constitute more than
30.16 percent, but not more than 38.24 percent, of such
population, multiplied by 6.0; and
``(V) the number of such children who constitute more than
38.24 percent of such population, multiplied by 8.0.

``(iii) By number of children.--The amount referred to in
clause (i) is determined by adding--

``(I) the number of children determined under section
1124(c) who constitute not more than 691, inclusive, of the
agency's total population aged 5 to 17, inclusive, multiplied
by 1.0;
``(II) the number of such children between 692 and 2,262,
inclusive, in such population, multiplied by 2.0;
``(III) the number of such children between 2,263 and
7,851, inclusive, in such population, multiplied by 3.0;
``(IV) the number of such children between 7,852 and
35,514, inclusive, in such population, multiplied by 4.5; and

``(V) the number of such children in excess of 35,514 in
such population, multiplied by 6.0.

``(e) Maintenance of Effort.--
``(1) In general.--Except as provided in paragraph (2), a
State is entitled to receive its full allotment of funds
under this section for any fiscal year if the Secretary finds
that either the combined fiscal effort per student or the
aggregate expenditures within the State with respect to the
provision of free public education for the fiscal year
preceding the fiscal year for which the determination is made
was not less than 90 percent of such combined fiscal effort
or aggregate expenditures for the second fiscal year
preceding the fiscal year for which the determination is
made.
``(2) Reduction of funds.--The Secretary shall reduce the
amount of funds awarded to any State under this section in
any fiscal year in the exact proportion to which the State
fails to meet the requirements of paragraph (1) by falling
below 90 percent of both the fiscal effort per student and
aggregate expenditures (using the measure most favorable to
the State), and no such lesser amount shall be used for
computing the effort required under paragraph (1) for
subsequent years.
``(3) Waivers.--The Secretary may waive, for 1 fiscal year
only, the requirements of this subsection if the Secretary
determines that such a waiver would be equitable due to
exceptional or uncontrollable circumstances such as a natural
disaster or a precipitous and unforeseen decline in the
financial resources of the State.
``(f) Authorization of Appropriations.--There are
authorized to be appropriated to carry out this section such
sums as may be necessary for fiscal year 2002 and for each of
the 5 succeeding fiscal years.
``(g) Adjustments Where Necessitated by Appropriations.--
``(1) In general.--If the sums available under this section
for any fiscal year are insufficient to pay the full amounts
that all local educational agencies in States are eligible to
receive under this section for such year, the Secretary shall
ratably reduce the allocations to such local educational
agencies, subject to paragraphs (2) and (3).
``(2) Additional funds.--If additional funds become
available for making payments under this section for such
fiscal year, allocations that were reduced under paragraph
(1) shall be increased on the same basis as they were
reduced.
``(3) Hold-harmless amounts.--For each fiscal year, if
sufficient funds are available, the amount made available to
each local educational agency under this section shall be
``(A) not less than 95 percent of the amount made available
for the preceding fiscal year if the number of children
counted for grants under section 1124 is not less than 30
percent of the total number of children aged 5 to 17 years,
inclusive, in the local educational agency;
``(B) not less than 90 percent of the amount made available
for the preceding fiscal year if the percentage described in
subparagraph (A) is between 15 percent and 30 percent; and
``(C) not less than 85 percent of the amount made available
for the preceding fiscal year if the percentage described in
subparagraph (A) is below 15 percent.
``(4) Applicability.--Notwithstanding any other provision
of law, the Secretary shall not take into consideration the
hold-harmless provisions of this subsection for any fiscal
year for

[[Page H9802]]

purposes of calculating State or local allocations for the
fiscal year under any program administered by the Secretary
other than a program authorized under this part.

``SEC. 1126. SPECIAL ALLOCATION PROCEDURES.

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

``SEC. 1127. CARRYOVER AND WAIVER.

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

``PART B--STUDENT READING SKILLS IMPROVEMENT GRANTS

``Subpart 1--Reading First

``SEC. 1201. PURPOSES.

``The purposes of this subpart are as follows:
``(1) To provide assistance to State educational agencies
and local educational agencies in establishing reading
programs for students in kindergarten through grade 3 that
are based on scientifically based reading research, to ensure
that every student can read at grade level or above not later
than the end of grade 3.
``(2) To provide assistance to State educational agencies
and local educational agencies in preparing teachers,
including special education teachers, through professional
development and other support, so the teachers can identify
specific reading barriers facing their students and so the
teachers have the tools to effectively help their students
learn to read.
``(3) To provide assistance to State educational agencies
and local educational agencies in selecting or administering
screening, diagnostic, and classroom-based instructional
reading assessments.
``(4) To provide assistance to State educational agencies
and local educational agencies in selecting or developing
effective instructional materials (including classroom-based
materials to assist teachers in implementing the essential
components of reading instruction), programs, learning
systems, and strategies to implement methods that have been
proven to prevent or remediate reading failure within a
State.
``(5) To strengthen coordination among schools, early
literacy programs, and family literacy programs to improve
reading achievement for all children.

``SEC. 1202. FORMULA GRANTS TO STATE EDUCATIONAL AGENCIES.

``(a) In General.--
``(1) Authorization to make grants.--In the case of each
State educational agency that in accordance with section 1203
submits to the Secretary an application for a 6-year period,
the Secretary, from amounts appropriated under section
1002(b)(1) and subject to the application's approval, shall
make a grant to the State educational agency for the uses
specified in subsections (c) and (d). For each fiscal year,
the funds provided under the grant shall equal the allotment
determined for the State educational agency under subsection
(b).
``(2) Duration of grants.--Subject to subsection (e)(3), a
grant under this section shall be awarded for a period of not
more than 6 years.
``(b) Determination of Amount of Allotments.--
``(1) Reservations from appropriations.--From the total
amount made available to carry out this subpart for a fiscal
year, the Secretary--
``(A) shall reserve \1/2\ of 1 percent for allotments for
the United States Virgin Islands, Guam, American Samoa, and
the Commonwealth of the Northern Mariana Islands, to be
distributed among these outlying areas on the basis of their
relative need, as determined by the Secretary in accordance
with the purposes of this subpart;
``(B) shall reserve \1/2\ of 1 percent for the Secretary of
the Interior for programs under this subpart in schools
operated or funded by the Bureau of Indian Affairs;
``(C) may reserve not more than 2\1/2\ percent or
$25,000,000, whichever is less, to carry out section 1205
(relating to external evaluation) and section 1206 (relating
to national activities);
``(D) shall reserve $5,000,000 to carry out sections 1207
and 1224 (relating to information dissemination); and
``(E) for any fiscal year, beginning with fiscal year 2004,
for which the amount appropriated to carry out this subpart
exceeds the amount appropriated for fiscal year 2003, shall
reserve, to carry out section 1204, the lesser of--
``(i) $90,000,000; or
``(ii) 10 percent of such excess amount.
``(2) State allotments.--In accordance with paragraph (3),
the Secretary shall allot among each of the States the total
amount made available to carry out this subpart for any
fiscal year and not reserved under paragraph (1).
``(3) Determination of state allotment amounts.--
``(A) In general.--Subject to subparagraph (B), the
Secretary shall allot the amount made available under
paragraph (2) for a fiscal year among the States in
proportion to the number of children, aged 5 to 17, who
reside within the State and are from families with incomes
below the poverty line for the most recent fiscal year for
which satisfactory data are available, compared to the number
of such individuals who reside in all such States for that
fiscal year.
``(B) Exceptions.--
``(i) Minimum grant amount.--Subject to clause (ii), no
State receiving an allotment under subparagraph (A) may
receive less than \1/4\ of 1 percent of the total amount
allotted under such subparagraph.
``(ii) Puerto rico.--The percentage of the amount allotted
under subparagraph (A) that is allotted to the Commonwealth
of Puerto Rico for a fiscal year may not exceed the
percentage that was received by the Commonwealth of Puerto
Rico of the funds allocated to all States under subpart 2 of
part A for the preceding fiscal year.
``(4) Distribution of subgrants.--The Secretary may make a
grant to a State educational agency only if the State
educational agency agrees to expend at least 80 percent of
the amount of the funds provided under the grant for the
purpose of making, in accordance with subsection (c),
competitive subgrants to eligible local educational agencies.
``(5) Reallotment.--If a State educational agency described
in paragraph (2) does not apply for an allotment under this
section for any fiscal year, or if the State educational
agency's application is not approved, the Secretary shall
reallot such amount to the remaining State educational
agencies in accordance with paragraph (3).
``(6) Definition of state.--For purposes of this
subsection, the term `State' means each of the 50 States, the
District of Columbia, and the Commonwealth of Puerto Rico.
``(c) Subgrants to Local Educational Agencies.--
``(1) Authorization to make subgrants.--In accordance with
paragraph (2), a State educational agency that receives a
grant under this section shall make competitive subgrants to
eligible local educational agencies.
``(2) Allocation.--
``(A) Minimum subgrant amount.--In making subgrants under
paragraph (1), a State educational agency shall allocate to
each eligible local educational agency that receives such a
subgrant, at a minimum, an amount that bears the same
relation to the funds made available under subsection (b)(4)
as the amount the eligible local educational agency received
under part A for the preceding fiscal year bears to the
amount all the local educational agencies in the State
received under part A for the preceding fiscal year.
``(B) Priority.--In making subgrants under paragraph (1), a
State educational agency shall give priority to eligible
local educational agencies in which at least--
``(i) 15 percent of the children served by the eligible
local educational agency are from families with incomes below
the poverty line; or
``(ii) 6,500 children served by the eligible local
educational agency are from families with incomes below the
poverty line.
``(3) Notice.--A State educational agency receiving a grant
under this section shall provide notice to all eligible local
educational agencies in the State of the availability of
competitive subgrants under this subsection and of the
requirements for applying for the subgrants.
``(4) Local application.--To be eligible to receive a
subgrant under this subsection, an eligible local educational
agency shall submit an application to the State educational
agency at such time, in such manner, and containing such
information as the State educational agency may reasonably
require.
``(5) State requirement.--In distributing subgrant funds to
eligible local educational agencies under this subsection, a
State educational agency shall--
``(A) provide funds in sufficient size and scope to enable
the eligible local educational agencies to improve reading
instruction; and

[[Page H9803]]

``(B) provide the funds in amounts related to the number or
percentage of students in kindergarten through grade 3 who
are reading below grade level.
``(6) Limitation to certain schools.--In distributing
subgrant funds under this subsection, an eligible local
educational agency shall provide funds only to schools that
both--
``(A) are among the schools served by that eligible local
educational agency with the highest percentages or numbers of
students in kindergarten through grade 3 reading below grade
level, based on the most currently available data; and
``(B)(i) are identified for school improvement under
section 1116(b); or
``(ii) have the highest percentages or numbers of children
counted under section 1124(c).
``(7) Local uses of funds.--
``(A) Required uses.--Subject to paragraph (8), an eligible
local educational agency that receives a subgrant under this
subsection shall use the funds provided under the subgrant to
carry out the following activities:
``(i) Selecting and administering screening, diagnostic,
and classroom-based instructional reading assessments.
``(ii) Selecting and implementing a learning system or
program of reading instruction based on scientifically based
reading research that--

``(I) includes the essential components of reading
instruction; and
``(II) provides such instruction to the children in
kindergarten through grade 3 in the schools served by the
eligible local educational agency, including children who--

``(aa) may have reading difficulties;
``(bb) are at risk of being referred to special education
based on these difficulties;
``(cc) have been evaluated under section 614 of the
Individuals with Disabilities Education Act but, in
accordance with section 614(b)(5) of that Act, have not been
identified as being a child with a disability (as defined in
section 602 of that Act);
``(dd) are being served under such Act primarily due to
being identified as being a child with a specific learning
disability (as defined in section 602 of that Act) related to
reading;
``(ee) are deficient in the essential components of reading
skills, as listed in subparagraphs (A) through (E) of section
1208(3); or
``(ff) are identified as having limited English
proficiency.
``(iii) Procuring and implementing instructional materials,
including education technology such as software and other
digital curricula, that are based on scientifically based
reading research.
``(iv) Providing professional development for teachers of
kindergarten through grade 3, and special education teachers
of kindergarten through grade 12, that--

``(I) will prepare these teachers in all of the essential
components of reading instruction;
``(II) shall include--

``(aa) information on instructional materials, programs,
strategies, and approaches based on scientifically based
reading research, including early intervention, classroom
reading materials, and remedial programs and approaches; and
``(bb) instruction in the use of screening, diagnostic, and
classroom-based instructional reading assessments and other
procedures that effectively identify students who may be at
risk for reading failure or who are having difficulty
reading;

``(III) shall be provided by eligible professional
development providers; and
``(IV) will assist teachers in becoming fully qualified in
reading instruction in accordance with the requirements of
section 1119.

``(v) Collecting and summarizing data--

``(I) to document the effectiveness of activities carried
out under this subpart in individual schools and in the local
educational agency as a whole; and
``(II) to stimulate and accelerate improvement by
identifying the schools that produce significant gains in
reading achievement.

``(vi) Reporting data for all students and categories of
students described in section 1111(b)(2)(C)(v)(II).
``(vii) Promoting reading and library programs that provide
access to engaging reading material, including coordination
with programs funded through grants received under subpart 4,
where applicable.
``(B) Additional uses.--Subject to paragraph (8), an
eligible local educational agency that receives a subgrant
under this subsection may use the funds provided under the
subgrant to carry out the following activities:
``(i) Humanities-based family literacy programs (which may
be referred to as ``Prime Time Family Reading Time'') that
bond families around the acts of reading and using public
libraries.
``(ii) Providing training in the essential components of
reading instruction to a parent or other individual who
volunteers to be a student's reading tutor, to enable such
parent or individual to support instructional practices that
are based on scientifically based reading research and are
being used by the student's teacher.
``(iii) Assisting parents, through the use of materials and
reading programs, strategies, and approaches (including
family literacy services) that are based on scientifically
based reading research, to encourage reading and support
their child's reading development.
``(8) Local planning and administration.--An eligible local
educational agency that receives a subgrant under this
subsection may use not more than 3.5 percent of the funds
provided under the subgrant for planning and administration.
``(d) State Uses of Funds.--
``(1) In general.--A State educational agency that receives
a grant under this section may expend not more than a total
of 20 percent of the grant funds to carry out the activities
described in paragraphs (3), (4), and (5).
``(2) Priority.--A State educational agency shall give
priority to carrying out the activities described in
paragraphs (3), (4), and (5) for schools described in
subsection (c)(6).
``(3) Professional inservice and preservice development and
review.--A State educational agency may expend not more than
65 percent of the amount of the funds made available under
paragraph (1)--
``(A) to develop and implement a program of professional
development for teachers, including special education
teachers, of kindergarten through grade 3 that--
``(i) will prepare these teachers in all the essential
components of reading instruction;
``(ii) shall include--

``(I) information on instructional materials, programs,
strategies, and approaches based on scientifically based
reading research, including early intervention and reading
remediation materials, programs, and approaches; and
``(II) instruction in the use of screening, diagnostic, and
classroom-based instructional reading assessments and other
scientifically based procedures that effectively identify
students who may be at risk for reading failure or who are
having difficulty reading; and

``(iii) shall be provided by eligible professional
development providers;
``(B) to strengthen and enhance preservice courses for
students preparing, at all public institutions of higher
education in the State, to teach kindergarten through grade 3
by--
``(i) reviewing such courses to determine whether the
courses' content is consistent with the findings of the most
current scientifically based reading research, including
findings on the essential components of reading instruction;
``(ii) following up such reviews with recommendations to
ensure that such institutions offer courses that meet the
highest standards; and
``(iii) preparing a report on the results of such reviews,
submitting the report to the reading and literacy partnership
for the State established under section 1203(d), and making
the report available for public review by means of the
Internet; and
``(C) to make recommendations on how the State licensure
and certification standards in the area of reading might be
improved.
``(4) Technical assistance for local educational agencies
and schools.--A State educational agency may expend not more
than 25 percent of the amount of the funds made available
under paragraph (1) for 1 or more of the following:
``(A) Assisting local educational agencies in accomplishing
the tasks required to design and implement a program under
this subpart, including--
``(i) selecting and implementing a program or programs of
reading instruction based on scientifically based reading
research;
``(ii) selecting screening, diagnostic, and classroom-based
instructional reading assessments; and
``(iii) identifying eligible professional development
providers to help prepare reading teachers to teach students
using the programs and assessments described in clauses (i)
and (ii).
``(B) Providing expanded opportunities to students in
kindergarten through grade 3 who are served by eligible local
educational agencies for receiving reading assistance from
alternative providers that includes--
``(i) screening, diagnostic, and classroom-based
instructional reading assessments; and
``(ii) as need is indicated by the assessments under clause
(i), instruction based on scientifically based reading
research that includes the essential components of reading
instruction.
``(5) Planning, administration, and reporting.--
``(A) Expenditure of funds.--A State educational agency may
expend not more than 10 percent of the amount of funds made
available under paragraph (1) for the activities described in
this paragraph.
``(B) Planning and administration.--A State educational
agency that receives a grant under this section may expend
funds made available under subparagraph (A) for planning and
administration relating to the State uses of funds authorized
under this subpart, including the following:
``(i) Administering the distribution of competitive
subgrants to eligible local educational agencies under
subsection (c) and section 1204(d).
``(ii) Assessing and evaluating, on a regular basis,
eligible local educational agency activities assisted under
this subpart, with respect to whether they have been
effective in increasing the number of children in grades 1,
2, and 3 served under this subpart who can read at or above
grade level.
``(C) Annual reporting.--
``(i) In general.--A State educational agency that receives
a grant under this section shall expend funds made available
under subparagraph (A) to provide the Secretary annually with
a report on the implementation of this subpart.
``(ii) Information included.--Each report under this
subparagraph shall include information on the following:

``(I) Evidence that the State educational agency is
fulfilling its obligations under this subpart.
``(II) Specific identification of those schools and local
educational agencies that report the largest gains in reading
achievement.
``(III) The progress the State educational agency and local
educational agencies within the State are making in reducing
the number of students served under this subpart in grades 1,
2, and 3 who are reading below grade level, as demonstrated
by such information as teacher reports and school evaluations
of mastery of the essential components of reading
instruction.
``(IV) Evidence on whether the State educational agency and
local educational agencies within the State have
significantly increased the number of students reading at
grade level or

[[Page H9804]]

above, significantly increased the percentages of students
described in section 1111(b)(2)(C)(v)(II) who are reading at
grade level or above, and successfully implemented this
subpart.

``(iii) Privacy protection.--Data in the report shall be
reported in a manner that protects the privacy of
individuals.
``(iv) Contract.--To the extent practicable, a State
educational agency shall enter into a contract with an entity
that conducts scientifically based reading research, under
which contract the entity will assist the State educational
agency in producing the reports required to be submitted
under this subparagraph.
``(e) Review.--
``(1) Progress report.--
``(A) Submission.--Not later than 60 days after the
termination of the third year of the grant period, each State
educational agency receiving a grant under this section shall
submit a progress report to the Secretary.
``(B) Information included.--The progress report shall
include information on the progress the State educational
agency and local educational agencies within the State are
making in reducing the number of students served under this
subpart in grades 1, 2, and 3 who are reading below grade
level (as demonstrated by such information as teacher reports
and school evaluations of mastery of the essential components
of reading instruction). The report shall also include
evidence from the State educational agency and local
educational agencies within the State that the State
educational agency and the local educational agencies have
significantly increased the number of students reading at
grade level or above, significantly increased the percentages
of students described in section 1111(b)(2)(C)(v)(II) who are
reading at grade level or above, and successfully implemented
this subpart.
``(2) Peer review.--The progress report described in
paragraph (1) shall be reviewed by the peer review panel
convened under section 1203(c)(2).
``(3) Consequences of insufficient progress.--After
submission of the progress report described in paragraph (1),
if the Secretary determines that the State educational agency
is not making significant progress in meeting the purposes of
this subpart, the Secretary may withhold from the State
educational agency, in whole or in part, further payments
under this section in accordance with section 455 of the
General Education Provisions Act or take such other action
authorized by law as the Secretary determines necessary,
including providing technical assistance upon request of the
State educational agency.
``(f) Funds not used for state level activities.--Any
portion of funds described in subsection (d)(1) that a State
educational agency does not expend in accordance with
subsection (d)(1) shall be expended for the purpose of making
subgrants in accordance with subsection (c).

``SEC. 1203. STATE FORMULA GRANT APPLICATIONS.

``(a) Applications.--
``(1) In general.--A State educational agency that desires
to receive a grant under section 1202 shall submit an
application to the Secretary at such time and in such form as
the Secretary may require. The application shall contain the
information described in subsection (b).
``(2) Special application provisions.--For those State
educational agencies that have received a grant under part C
of title II (as such part was in effect on the day before the
date of enactment of the No Child Left Behind Act of 2001),
the Secretary shall establish a modified set of requirements
for an application under this section that takes into account
the information already submitted and approved under that
program and minimizes the duplication of effort on the part
of such State educational agencies.
``(b) Contents.--An application under this section shall
contain the following:
``(1) An assurance that the Governor of the State, in
consultation with the State educational agency, has
established a reading and literacy partnership described in
subsection (d), and a description of how such partnership--
``(A) coordinated the development of the application; and
``(B) will assist in the oversight and evaluation of the
State educational agency's activities under this subpart.
``(2) A description, if applicable, of the State's strategy
to expand, continue, or modify activities authorized under
part C of title II (as such part was in effect on the day
before the date of enactment of the No Child Left Behind Act
of 2001).
``(3) An assurance that the State educational agency, and
any local educational agencies receiving a subgrant from that
State educational agency under section 1202, will, if
requested, participate in the external evaluation under
section 1205.
``(4) A State educational agency plan containing a
description of the following:
``(A) How the State educational agency will assist local
educational agencies in identifying screening, diagnostic,
and classroom-based instructional reading assessments.
``(B) How the State educational agency will assist local
educational agencies in identifying instructional materials,
programs, strategies, and approaches, based on scientifically
based reading research, including early intervention and
reading remediation materials, programs, and approaches.
``(C) How the State educational agency will ensure that
professional development activities related to reading
instruction and provided under section 1202 are--
``(i) coordinated with other Federal, State, and local
level funds, and used effectively to improve instructional
practices for reading; and
``(ii) based on scientifically based reading research.
``(D) How the activities assisted under section 1202 will
address the needs of teachers and other instructional staff
in implementing the essential components of reading
instruction.
``(E) How subgrants made by the State educational agency
under section 1202 will meet the requirements of section
1202, including how the State educational agency will ensure
that eligible local educational agencies receiving subgrants
under section 1202 will use practices based on scientifically
based reading research.
``(F) How the State educational agency will, to the extent
practicable, make grants to eligible local educational
agencies in both rural and urban areas.
``(G) How the State educational agency will build on, and
promote coordination among literacy programs in the State
(including federally funded programs such as programs under
the Adult Education and Family Literacy Act, the Individuals
with Disabilities Education Act, and subpart 2), to increase
the effectiveness of the programs in improving reading for
adults and children and to avoid duplication of the efforts
of the program.
``(H) How the State educational agency will assess and
evaluate, on a regular basis, eligible local educational
agency activities assisted under section 1202, with respect
to whether the activities have been effective in achieving
the purposes of section 1202.
``(I) Any other information that the Secretary may
reasonably require.
``(c) Approval of Applications.--
``(1) In general.--The Secretary shall approve an
application of a State educational agency under this section
only if such application meets the requirements of this
section.
``(2) Peer review.--
``(A) In general.--The Secretary, in consultation with the
National Institute for Literacy, shall convene a panel to
evaluate applications under this section. At a minimum, the
panel shall include--
``(i) 3 individuals selected by the Secretary;
``(ii) 3 individuals selected by the National Institute for
Literacy;
``(iii) 3 individuals selected by the National Research
Council of the National Academy of Sciences; and
``(iv) 3 individuals selected by the National Institute of
Child Health and Human Development.
``(B) Experts.--The panel shall include--
``(i) experts who are competent, by virtue of their
training, expertise, or experience, to evaluate applications
under this section;
``(ii) experts who provide professional development to
individuals who teach reading to children and adults based on
scientifically based reading research;
``(iii) experts who provide professional development to
other instructional staff based on scientifically based
reading research; and
``(iv) an individual who has expertise in screening,
diagnostic, and classroom-based instructional reading
assessments.
``(C) Recommendations.--The panel shall recommend grant
applications from State educational agencies under this
section to the Secretary for funding or for disapproval.
``(d) Reading and Literacy Partnerships.--
``(1) In general.--For a State educational agency to
receive a grant under section 1202, the Governor of the
State, in consultation with the State educational agency,
shall establish a reading and literacy partnership.
``(2) Required participants.--The reading and literacy
partnership shall include the following participants:
``(A) The Governor of the State.
``(B) The chief State school officer.
``(C) The chairman and the ranking member of each committee
of the State legislature that is responsible for education
policy.
``(D) A representative, selected jointly by the Governor
and the chief State school officer, of at least 1 eligible
local educational agency.
``(E) A representative, selected jointly by the Governor
and the chief State school officer, of a community-based
organization working with children to improve their reading
skills, particularly a community-based organization using
tutors and scientifically based reading research.
``(F) State directors of appropriate Federal or State
programs with a strong reading component, selected jointly by
the Governor and the chief State school officer.
``(G) A parent of a public or private school student or a
parent who educates the parent's child in the parent's home,
selected jointly by the Governor and the chief State school
officer.
``(H) A teacher, who may be a special education teacher,
who successfully teaches reading, and another instructional
staff member, selected jointly by the Governor and the chief
State school officer.
``(I) A family literacy service provider selected jointly
by the Governor and the chief State school officer.
``(3) Optional participants.--The reading and literacy
partnership may include additional participants, who shall be
selected jointly by the Governor and the chief State school
officer, and who may include a representative of--
``(A) an institution of higher education operating a
program of teacher preparation in the State that is based on
scientifically based reading research;
``(B) a local educational agency;
``(C) a private nonprofit or for-profit eligible
professional development provider providing instruction based
on scientifically based reading research;
``(D) an adult education provider;
``(E) a volunteer organization that is involved in reading
programs; or
``(F) a school library or a public library that offers
reading or literacy programs for children or families.
``(4) Preexisting partnership.--If, before the date of
enactment of the No Child Left Behind Act of 2001, a State
educational agency established a consortium, partnership, or
any other similar body that was considered a reading and

[[Page H9805]]

literacy partnership for purposes of part C of title II of
this Act (as such part was in effect on the day before the
date of enactment of No Child Left Behind Act of 2001), that
consortium, partnership, or body may be considered a reading
and literacy partnership for purposes of this subsection
consistent with the provisions of this subpart.

``SEC. 1204. TARGETED ASSISTANCE GRANTS.

``(a) Eligibility Criteria for Awarding Targeted Assistance
Grants to States.--Beginning with fiscal year 2004, from
funds appropriated under section 1202(b)(1)(E), the Secretary
shall make grants, on a competitive basis, to those State
educational agencies that--
``(1) for each of 2 consecutive years, demonstrate that an
increasing percentage of third graders in each of the groups
described in section 1111(b)(2)(C)(v)(II) in the schools
served by the local educational agencies receiving funds
under section 1202 are reaching the proficient level in
reading; and
``(2) for each of the same such consecutive 2 years,
demonstrate that schools receiving funds under section 1202
are improving the reading skills of students in grades 1, 2,
and 3 based on screening, diagnostic, and classroom-based
instructional reading assessments.
``(b) Continuation of Performance Awards.--For any State
educational agency that receives a competitive grant under
this section, the Secretary shall make an award for each of
the succeeding years that the State educational agency
demonstrates it is continuing to meet the criteria described
in subsection (a).
``(c) Distribution of Targeted Assistance Grants.--
``(1) In general.--The Secretary shall make a grant to each
State educational agency with an application approved under
this section in an amount that bears the same relation to the
amount made available to carry out this section for a fiscal
year as the number of children counted under section 1124(c)
for the State bears to the number of such children so counted
for all States with applications approved for that year.
``(2) Peer review.--The peer review panel convened under
section 1203(c)(2) shall review the applications submitted
under this subsection. The panel shall recommend such
applications to the Secretary for funding or for disapproval.
``(3) Application contents.--A State educational agency
that desires to receive a grant under this section shall
submit an application to the Secretary at such time, in such
manner, and accompanied by such information as the Secretary
may require. Each such application shall include the
following:
``(A) Evidence that the State educational agency has
carried out its obligations under section 1203.
``(B) Evidence that the State educational agency has met
the criteria described in subsection (a).
``(C) The amount of funds requested by the State
educational agency and a description of the criteria the
State educational agency intends to use in distributing
subgrants to eligible local educational agencies under this
section to continue or expand activities under subsection
(d)(5).
``(D) Evidence that the State educational agency has
increased significantly the percentage of students reading at
grade level or above.
``(E) Any additional evidence that demonstrates success in
the implementation of this section.
``(d) Subgrants to Eligible Local Educational Agencies.--
``(1) In general.--The Secretary may make a grant to a
State educational agency under this section only if the State
educational agency agrees to expend 100 percent of the amount
of the funds provided under the grant for the purpose of
making competitive subgrants in accordance with this
subsection to eligible local educational agencies.
``(2) Notice.--A State educational agency receiving a grant
under this section shall provide notice to all local
educational agencies in the State of the availability of
competitive subgrants under this subsection and of the
requirements for applying for the subgrants.
``(3) Application.--To be eligible to receive a subgrant
under this subsection, an eligible local educational agency
shall submit an application to the State educational agency
at such time, in such manner, and containing such information
as the State educational agency may reasonably require.
``(4) Distribution.--
``(A) In general.--A State educational agency shall
distribute subgrants under this section through a competitive
process based on relative need of eligible local educational
agencies and the evidence described in this paragraph.
``(B) Evidence used in all years.--For all fiscal years, a
State educational agency shall distribute subgrants under
this section based on evidence that an eligible local
educational agency--
``(i) satisfies the requirements of section 1202(c)(4);
``(ii) will carry out its obligations under this subpart;
``(iii) will work with other local educational agencies in
the State that have not received a subgrant under this
subsection to assist such nonreceiving agencies in increasing
the reading achievement of students; and
``(iv) is meeting the criteria described in subsection (a).
``(5) Local uses of funds.--An eligible local educational
agency that receives a subgrant under this subsection--
``(A) shall use the funds provided under the subgrant to
carry out the activities described in section 1202(c)(7)(A);
and
``(B) may use such funds to carry out the activities
described in section 1202(c)(7)(B).

``SEC. 1205. EXTERNAL EVALUATION.

``(a) In General.--From funds reserved under section
1202(b)(1)(C), the Secretary shall contract with an
independent organization outside of the Department for a 5-
year, rigorous, scientifically valid, quantitative evaluation
of this subpart.
``(b) Process.--The evaluation under subsection (a) shall
be conducted by an organization that is capable of designing
and carrying out an independent evaluation that identifies
the effects of specific activities carried out by State
educational agencies and local educational agencies under
this subpart on improving reading instruction. Such
evaluation shall take into account factors influencing
student performance that are not controlled by teachers or
education administrators.
``(c) Analysis.--The evaluation under subsection (a) shall
include the following:
``(1) An analysis of the relationship between each of the
essential components of reading instruction and overall
reading proficiency.
``(2) An analysis of whether assessment tools used by State
educational agencies and local educational agencies measure
the essential components of reading.
``(3) An analysis of how State reading standards correlate
with the essential components of reading instruction.
``(4) An analysis of whether the receipt of a targeted
assistance grant under section 1204 results in an increase in
the number of children who read proficiently.
``(5) A measurement of the extent to which specific
instructional materials improve reading proficiency.
``(6) A measurement of the extent to which specific
screening, diagnostic, and classroom-based instructional
reading assessments assist teachers in identifying specific
reading deficiencies.
``(7) A measurement of the extent to which professional
development programs implemented by State educational
agencies using funds received under this subpart improve
reading instruction.
``(8) A measurement of how well students preparing to enter
the teaching profession are prepared to teach the essential
components of reading instruction.
``(9) An analysis of changes in students' interest in
reading and time spent reading outside of school.
``(10) Any other analysis or measurement pertinent to this
subpart that is determined to be appropriate by the
Secretary.
``(d) Program Improvement.--The findings of the evaluation
conducted under this section shall be provided to State
educational agencies and local educational agencies on a
periodic basis for use in program improvement.

``SEC. 1206. NATIONAL ACTIVITIES.

``From funds reserved under section 1202(b)(1)(C), the
Secretary--
``(1) may provide technical assistance in achieving the
purposes of this subpart to State educational agencies, local
educational agencies, and schools requesting such assistance;
``(2) shall, at a minimum, evaluate the impact of services
provided to children under this subpart with respect to their
referral to, and eligibility for, special education services
under the Individuals with Disabilities Education Act (based
on their difficulties learning to read); and
``(3) shall carry out the external evaluation as described
in section 1205.

``SEC. 1207. INFORMATION DISSEMINATION.

``(a) In General.--From funds reserved under section
1202(b)(1)(D), the National Institute for Literacy, in
collaboration with the Secretary of Education, the Secretary
of Health and Human Services, and the Director of the
National Institute for Child Health and Human Development
shall--
``(1) disseminate information on scientifically based
reading research pertaining to children, youth, and adults;
``(2) identify and disseminate information about schools,
local educational agencies, and State educational agencies
that have effectively developed and implemented classroom
reading programs that meet the requirements of this subpart,
including those State educational agencies, local educational
agencies, and schools that have been identified as effective
through the evaluation and peer review provisions of this
subpart; and
``(3) support the continued identification and
dissemination of information on reading programs that contain
the essential components of reading instruction as supported
by scientifically based reading research, that can lead to
improved reading outcomes for children, youth, and adults.
``(b) Dissemination and Coordination.--At a minimum, the
National Institute for Literacy shall disseminate the
information described in subsection (a) to--
``(1) recipients of Federal financial assistance under this
title, title III, the Head Start Act, the Individuals with
Disabilities Education Act, and the Adult Education and
Family Literacy Act; and
``(2) each Bureau funded school (as defined in section 1141
of the Education Amendments of 1978).
``(c) Use of Existing Networks.--In carrying out this
section, the National Institute for Literacy shall, to the
extent practicable, use existing information and
dissemination networks developed and maintained through other
public and private entities including through the Department
and the National Center for Family Literacy.
``(d) National Institute for Literacy--For purposes of
funds reserved under section 1202(b)(1)(D) to carry out this
section, the National Institute for Literacy shall administer

[[Page H9806]]

such funds in accordance with section 242(b) of Public Law
105-220 (relating to the establishment and administration of
the National Institute for Literacy).

``SEC. 1208. DEFINITIONS.

``In this subpart:
``(1) Eligible local educational agency.--The term
`eligible local educational agency' means a local educational
agency that--
``(A) is among the local educational agencies in the State
with the highest numbers or percentages of students in
kindergarten through grade 3 reading below grade level, based
on the most currently available data; and
``(B) has--
``(i) jurisdiction over a geographic area that includes an
area designated as an empowerment zone, or an enterprise
community, under part I of subchapter U of chapter 1 of the
Internal Revenue Code of 1986;
``(ii) jurisdiction over a significant number or percentage
of schools that are identified for school improvement under
section 1116(b); or
``(iii) the highest numbers or percentages of children who
are counted under section 1124(c), in comparison to other
local educational agencies in the State.
``(2) Eligible professional development provider.--The term
`eligible professional development provider' means a provider
of professional development in reading instruction to
teachers, including special education teachers, that is based
on scientifically based reading research.
``(3) Essential components of reading instruction.--The
term `essential components of reading instruction' means
explicit and systematic instruction in--
``(A) phonemic awareness;
``(B) phonics;
``(C) vocabulary development;
``(D) reading fluency, including oral reading skills; and
``(E) reading comprehension strategies.
``(4) Instructional staff.--The term `instructional
staff'--
``(A) means individuals who have responsibility for
teaching children to read; and
``(B) includes principals, teachers, supervisors of
instruction, librarians, library school media specialists,
teachers of academic subjects other than reading, and other
individuals who have responsibility for assisting children to
learn to read.
``(5) Reading.--The term `reading' means a complex system
of deriving meaning from print that requires all of the
following:
``(A) The skills and knowledge to understand how phonemes,
or speech sounds, are connected to print.
``(B) The ability to decode unfamiliar words.
``(C) The ability to read fluently.
``(D) Sufficient background information and vocabulary to
foster reading comprehension.
``(E) The development of appropriate active strategies to
construct meaning from print.
``(F) The development and maintenance of a motivation to
read.
``(6) Scientifically based reading research.--The term
`scientifically based reading research' means research that--
``(A) applies rigorous, systematic, and objective
procedures to obtain valid knowledge relevant to reading
development, reading instruction, and reading difficulties;
and
``(B) includes research that--
``(i) employs systematic, empirical methods that draw on
observation or experiment;
``(ii) involves rigorous data analyses that are adequate to
test the stated hypotheses and justify the general
conclusions drawn;
``(iii) relies on measurements or observational methods
that provide valid data across evaluators and observers and
across multiple measurements and observations; and
``(iv) has been accepted by a peer-reviewed journal or
approved by a panel of independent experts through a
comparably rigorous, objective, and scientific review.
``(7) Screening, diagnostic, and classroom-based
instructional reading assessments.--
``(A) In general.--The term `screening, diagnostic, and
classroom-based instructional reading assessments' means--
``(i) screening reading assessments;
``(ii) diagnostic reading assessments; and
``(iii) classroom-based instructional reading assessments.
``(B) Screening reading assessment.--The term `screening
reading assessment' means an assessment that is--
``(i) valid, reliable, and based on scientifically based
reading research; and
``(ii) a brief procedure designed as a first step in
identifying children who may be at high risk for delayed
development or academic failure and in need of further
diagnosis of their need for special services or additional
reading instruction.
``(C) Diagnostic reading assessment.--The term `diagnostic
reading assessment' means an assessment that is--
``(i) valid, reliable, and based on scientifically based
reading research; and
``(ii) used for the purpose of--

``(I) identifying a child's specific areas of strengths and
weaknesses so that the child has learned to read by the end
of grade 3;
``(II) determining any difficulties that a child may have
in learning to read and the potential cause of such
difficulties; and
``(III) helping to determine possible reading intervention
strategies and related special needs.

``(D) Classroom-based instructional reading assessment.--
The term `classroom-based instructional reading assessment'
means an assessment that--
``(i) evaluates children's learning based on systematic
observations by teachers of children performing academic
tasks that are part of their daily classroom experience; and
``(ii) is used to improve instruction in reading, including
classroom instruction.

``Subpart 2--Early Reading First

``SEC. 1221. PURPOSES; DEFINITIONS.

``(a) Purposes.--The purposes of this subpart are as
follows:
``(1) To support local efforts to enhance the early
language, literacy, and prereading development of preschool
age children, particularly those from low-income families,
through strategies and professional development that are
based on scientifically based reading research.
``(2) To provide preschool age children with cognitive
learning opportunities in high-quality language and
literature-rich environments, so that the children can attain
the fundamental knowledge and skills necessary for optimal
reading development in kindergarten and beyond.
``(3) To demonstrate language and literacy activities based
on scientifically based reading research that supports the
age-appropriate development of--
``(A) recognition, leading to automatic recognition, of
letters of the alphabet;
``(B) knowledge of letter sounds, the blending of sounds,
and the use of increasingly complex vocabulary;
``(C) an understanding that written language is composed of
phonemes and letters each representing 1 or more speech
sounds that in combination make up syllables, words, and
sentences;
``(D) spoken language, including vocabulary and oral
comprehension abilities; and
``(E) knowledge of the purposes and conventions of print.
``(4) To use screening assessments to effectively identify
preschool age children who may be at risk for reading
failure.
``(5) To integrate such scientific reading research-based
instructional materials and literacy activities with existing
programs of preschools, child care agencies and programs,
Head Start centers, and family literacy services.
``(b) Definitions.--For purposes of this subpart:
``(1) Eligible applicant.--The term `eligible applicant'
means--
``(A) one or more local educational agencies that are
eligible to receive a subgrant under subpart 1;
``(B) one or more public or private organizations or
agencies, acting on behalf of 1 or more programs that serve
preschool age children (such as a program at a Head Start
center, a child care program, or a family literacy program),
which organizations or agencies shall be located in a
community served by a local educational agency described in
subparagraph (A); or
``(C) one or more local educational agencies described in
subparagraph (A) in collaboration with 1 or more
organizations or agencies described in subparagraph (B).
``(2) Scientifically based reading research.--The term
`scientifically based reading research' has the same meaning
given to that term in section 1208.
``(3) Screening reading assessment.--The term `screening
reading assessment' has the same meaning given to that term
in section 1208.

``SEC. 1222. LOCAL EARLY READING FIRST GRANTS.

``(a) Program Authorized.--From amounts appropriated under
section 1002(b)(2), the Secretary shall award grants, on a
competitive basis, for periods of not more than 6 years, to
eligible applicants to enable the eligible applicants to
carry out the authorized activities described in subsection
(d).
``(b) Applications.--An eligible applicant that desires to
receive a grant under this section shall submit an
application to the Secretary, which shall include a
description of--
``(1) the programs to be served by the proposed project,
including demographic and socioeconomic information on the
preschool age children enrolled in the programs;
``(2) how the proposed project will enhance the school
readiness of preschool age children in high-quality oral
language and literature-rich environments;
``(3) how the proposed project will prepare and provide
ongoing assistance to staff in the programs, through
professional development and other support, to provide high-
quality language, literacy, and prereading activities using
scientifically based reading research, for preschool age
children;
``(4) how the proposed project will provide services and
use instructional materials that are based on scientifically
based reading research on early language acquisition,
prereading activities, and the development of spoken
vocabulary skills;
``(5) how the proposed project will help staff in the
programs to meet more effectively the diverse needs of
preschool age children in the community, including such
children with limited English proficiency, disabilities, or
other special needs;
``(6) how the proposed project will integrate such
instructional materials and literacy activities with existing
preschool programs and family literacy services;
``(7) how the proposed project will help children,
particularly children experiencing difficulty with spoken
language, prereading, and early reading skills, to make the
transition from preschool to formal classroom instruction in
school;
``(8) if the eligible applicant has received a subgrant
under subpart 1, how the activities conducted under this
subpart will be coordinated with the eligible applicant's
activities under subpart 1 at the kindergarten through grade
3 level;
``(9) how the proposed project will evaluate the success of
the activities supported under this

[[Page H9807]]

subpart in enhancing the early language, literacy, and
prereading development of preschool age children served by
the project; and
``(10) such other information as the Secretary may require.
``(c) Approval of Local Applications.--The Secretary shall
select applicants for funding under this subpart based on the
quality of the applications and the recommendations of a peer
review panel convened under section 1203(c)(2), that
includes, at a minimum, 3 individuals, selected from the
entities described in clauses (ii), (iii), and (iv) of
section 1203(c)(2)(A), who are experts in early reading
development and early childhood development.
``(d) Authorized Activities.--An eligible applicant that
receives a grant under this subpart shall use the funds
provided under the grant to carry out the following
activities:
``(1) Providing preschool age children with high-quality
oral language and literature-rich environments in which to
acquire language and prereading skills.
``(2) Providing professional development that is based on
scientifically based reading research knowledge of early
language and reading development for the staff of the
eligible applicant and that will assist in developing the
preschool age children's--
``(A) recognition, leading to automatic recognition, of
letters of the alphabet, knowledge of letters, sounds,
blending of letter sounds, and increasingly complex
vocabulary;
``(B) understanding that written language is composed of
phonemes and letters each representing 1 or more speech
sounds that in combination make up syllables, words, and
sentences;
``(C) spoken language, including vocabulary and oral
comprehension abilities; and
``(D) knowledge of the purposes and conventions of print.
``(3) Identifying and providing activities and
instructional materials that are based on scientifically
based reading research for use in developing the skills and
abilities described in paragraph (2).
``(4) Acquiring, providing training for, and implementing
screening reading assessments or other appropriate measures
that are based on scientifically based reading research to
determine whether preschool age children are developing the
skills described in this subsection.
``(5) Integrating such instructional materials, activities,
tools, and measures into the programs offered by the eligible
applicant.
``(e) Award Amounts.--The Secretary may establish a maximum
award amount, or ranges of award amounts, for grants under
this subpart.

``SEC. 1223. FEDERAL ADMINISTRATION.

``The Secretary shall consult with the Secretary of Health
and Human Services to coordinate the activities under this
subpart with preschool age programs administered by the
Department of Health and Human Services.

``SEC. 1224. INFORMATION DISSEMINATION.

``From the funds the National Institute for Literacy
receives under section 1202(b)(1)(D), the National Institute
for Literacy, in consultation with the Secretary, shall
disseminate information regarding projects assisted under
this subpart that have proven effective.

``SEC. 1225. REPORTING REQUIREMENTS.

``Each eligible applicant receiving a grant under this
subpart shall report annually to the Secretary regarding the
eligible applicant's progress in addressing the purposes of
this subpart. Such report shall include, at a minimum, a
description of--
``(1) the research-based instruction, materials, and
activities being used in the programs funded under the grant;
``(2) the types of programs funded under the grant and the
ages of children served by such programs;
``(3) the qualifications of the program staff who provide
early literacy instruction under such programs and the type
of ongoing professional development provided to such staff;
and
``(4) the results of the evaluation described in section
1222(b)(9).

``SEC. 1226. EVALUATION.

``(a) In General.--From the total amount made available
under section 1002(b)(2) for the period beginning October 1,
2002, and ending September 30, 2006, the Secretary shall
reserve not more than $3,000,000 to conduct an independent
evaluation of the effectiveness of this subpart.
``(b) Reports.--
``(1) Interim report.--Not later than October 1, 2004, the
Secretary shall submit an interim report to the Committee on
Education and the Workforce of the House of Representatives
and the Committee on Health, Education, Labor, and Pensions
of the Senate.
``(2) Final report.--Not later than September 30, 2006, the
Secretary shall submit a final report to the committees
described in paragraph (1).
``(c) Contents.--The reports submitted under subsection (b)
shall include information on the following:
``(1) How the grant recipients under this subpart are
improving the prereading skills of preschool children.
``(2) The effectiveness of the professional development
program assisted under this subpart.
``(3) How early childhood teachers are being prepared with
scientifically based reading research on early reading
development.
``(4) What activities and instructional practices are most
effective.
``(5) How prereading instructional materials and literacy
activities based on scientifically based reading research are
being integrated into preschools, child care agencies and
programs, programs carried out under the Head Start Act, and
family literacy programs.
``(6) Any recommendations on strengthening or modifying
this subpart.

``Subpart 3--William F. Goodling Even Start Family Literacy Programs

``SEC. 1231. STATEMENT OF PURPOSE.

``It is the purpose of this subpart to help break the cycle
of poverty and illiteracy by--
``(1) improving the educational opportunities of the
Nation's low-income families by integrating early childhood
education, adult literacy or adult basic education, and
parenting education into a unified family literacy program,
to be referred to as `Even Start'; and
``(2) establishing a program that shall--
``(A) be implemented through cooperative projects that
build on high-quality existing community resources to create
a new range of services;
``(B) promote the academic achievement of children and
adults;
``(C) assist children and adults from low-income families
to achieve to challenging State content standards and
challenging State student achievement standards; and
``(D) use instructional programs based on scientifically
based reading research and addressing the prevention of
reading difficulties for children and adults, to the extent
such research is available.

``SEC. 1232. PROGRAM AUTHORIZED.

``(a) Reservation for Migrant Programs, Outlying Areas, and
Indian Tribes.--
``(1) In general.--For each fiscal year, the Secretary
shall reserve 5 percent of the amount appropriated under
section 1002(b)(3) (or, if such appropriated amount exceeds
$200,000,000, 6 percent of such amount) for programs, under
such terms and conditions as the Secretary shall establish,
that are consistent with the purpose of this subpart, and
according to their relative needs, for--
``(A) children of migratory workers;
``(B) the outlying areas; and
``(C) Indian tribes and tribal organizations.
``(2) Special rule.--After December 21, 2000, the Secretary
shall award a grant, on a competitive basis, of sufficient
size and for a period of sufficient duration to demonstrate
the effectiveness of a family literacy program in a prison
that houses women and their preschool age children and that
has the capability of developing a program of high quality.
``(3) Coordination of programs for american indians.--The
Secretary shall ensure that programs under paragraph (1)(C)
are coordinated with family literacy programs operated by the
Bureau of Indian Affairs in order to avoid duplication and to
encourage the dissemination of information on high-quality
family literacy programs serving American Indians.
``(b) Reservation for Federal Activities.--
``(1) Evaluation, technical assistance, program
improvement, and replication activities.--Subject to
paragraph (2), from amounts appropriated under section
1002(b)(3), the Secretary may reserve not more than 3 percent
of such amounts for purposes of--
``(A) carrying out the evaluation required by section 1239;
and
``(B) providing, through grants or contracts with eligible
organizations, technical assistance, program improvement, and
replication activities.
``(2) Research.--In any fiscal year, if the amount
appropriated under section 1002(b)(3) for such year--
``(A) is equal to or less than the amount appropriated for
the preceding fiscal year, the Secretary may reserve from
such amount only the amount necessary to continue multi-year
activities carried out pursuant to section 1241(b) that began
during or prior to the fiscal year preceding the fiscal year
for which the determination is made; or
``(B) exceeds the amount appropriated for the preceding
fiscal year, then the Secretary shall reserve from such
excess amount $2,000,000 or 50 percent, whichever is less, to
carry out section 1241(b).
``(c) Reservation for Grants.--
``(1) Grants authorized.--
``(A) In general.--For any fiscal year for which at least 1
State educational agency applies and submits an application
that meets the requirements and goals of this subsection and
for which the amount appropriated under section 1002(b)(3)
exceeds the amount appropriated under that section for the
preceding fiscal year, the Secretary shall reserve, from the
amount of the excess remaining after the application of
subsection (b)(2), the amount of the remainder or $1,000,000,
whichever is less, to award grants, on a competitive basis,
to State educational agencies to enable them to plan and
implement statewide family literacy initiatives to coordinate
and, where appropriate, integrate existing Federal, State,
and local literacy resources consistent with the purposes of
this subpart.
``(B) Coordination and integration.--The coordination and
integration described in subparagraph (A) shall include
coordination and integration of funds available under the
Adult Education and Family Literacy Act, the Head Start Act,
this subpart, part A of this title, and part A of title IV of
the Social Security Act.
``(C) Restriction.--No State educational agency may receive
more than 1 grant under this subsection.
``(2) Consortia.--
``(A) Establishment.--To receive a grant under this
subsection, a State educational agency shall establish a
consortium of State-level programs under the following
provisions of laws:
``(i) This title (other than part D).
``(ii) The Head Start Act.
``(iii) The Adult Education and Family Literacy Act.
``(iv) All other State-funded preschool programs and
programs providing literacy services to adults.
``(B) Plan.--To receive a grant under this subsection, the
consortium established by a State educational agency shall
create a plan to use a portion of the State educational
agency's

[[Page H9808]]

resources, derived from the programs referred to in
subparagraph (A), to strengthen and expand family literacy
services in the State.
``(C) Coordination with subpart 1.--The consortium shall
coordinate its activities under this paragraph with the
activities of the reading and literacy partnership for the
State educational agency established under section 1203(d),
if the State educational agency receives a grant under
section 1202.
``(3) Reading instruction.--Statewide family literacy
initiatives implemented under this subsection shall base
reading instruction on scientifically based reading research.
``(4) Technical assistance.--The Secretary shall provide,
directly or through a grant or contract with an organization
with experience in the development and operation of
successful family literacy services, technical assistance to
State educational agencies receiving a grant under this
subsection.
``(5) Matching requirement.--The Secretary shall not make a
grant to a State educational agency under this subsection
unless the State educational agency agrees that, with respect
to the costs to be incurred by the eligible consortium in
carrying out the activities for which the grant was awarded,
the State educational agency will make available non-Federal
contributions in an amount equal to not less than the Federal
funds provided under the grant.
``(d) State Educational Agency Allocation.--
``(1) In general.--From amounts appropriated under section
1002(b)(3) and not reserved under subsection (a), (b), or
(c), the Secretary shall make grants to State educational
agencies from allocations under paragraph (2).
``(2) Allocations.--Except as provided in paragraph (3),
from the total amount available under paragraph (1) for
allocation to State educational agencies in any fiscal year,
each State educational agency shall be eligible to receive a
grant under paragraph (1) in an amount that bears the same
ratio to the total amount as the amount allocated under part
A to that State educational agency bears to the total amount
allocated under that part to all State educational agencies.
``(3) Minimum.--No State educational agency shall receive a
grant under paragraph (1) in any fiscal year in an amount
that is less than $250,000, or \1/2\ of 1 percent of the
amount appropriated under section 1002(b)(3) and not reserved
under subsections (a), (b), and (c) for such year, whichever
is greater.
``(e) Definitions.--For the purpose of this subpart--
``(1) the term `eligible entity' means a partnership
composed of--
``(A) a local educational agency; and
``(B) a nonprofit community-based organization, a public
agency other than a local educational agency, an institution
of higher education, or a public or private nonprofit
organization other than a local educational agency, of
demonstrated quality;
``(2) the term `eligible organization' means any public or
private nonprofit organization with a record of providing
effective services to family literacy providers, such as the
National Center for Family Literacy, Parents as Teachers,
Inc., the Home Instruction Program for Preschool Youngsters,
and the Home and School Institute, Inc.;
``(3) the terms `Indian tribe' and `tribal organization'
have the meanings given those terms in section 4 of the
Indian Self-Determination and Education Assistance Act;
``(4) the term `scientifically based reading research' has
the meaning given that term in section 1208; and
``(5) the term `State' means each of the 50 States, the
District of Columbia, and the Commonwealth of Puerto Rico.

``SEC. 1233. STATE EDUCATIONAL AGENCY PROGRAMS.

``(a) State Educational Agency Level Activities.--Each
State educational agency that receives a grant under section
1232(d)(1) may use not more than a total of 6 percent of the
grant funds for the costs of--
``(1) administration, which amount shall not exceed half of
the total;
``(2) providing, through 1 or more subgrants or contracts,
technical assistance for program improvement and replication,
to eligible entities that receive subgrants under subsection
(b); and
``(3) carrying out sections 1240 and 1234(c).
``(b) Subgrants for Local Programs.--
``(1) In general.--Each State educational agency shall use
the grant funds received under section 1232(d)(1) and not
reserved under subsection (a) to award subgrants to eligible
entities to carry out Even Start programs.
``(2) Minimum subgrant amounts.--
``(A) In general.--Except as provided in subparagraphs (B)
and (C), no State educational agency shall award a subgrant
under paragraph (1) in an amount less than $75,000.
``(B) Subgrantees in ninth and succeeding years.--No State
educational agency shall award a subgrant under paragraph (1)
in an amount less than $52,500 to an eligible entity for a
fiscal year to carry out an Even Start program that is
receiving assistance under this subpart or its predecessor
authority for the ninth (or any subsequent) fiscal year.
``(C) Exception for single subgrant.--A State educational
agency may award 1 subgrant in each fiscal year of sufficient
size, scope, and quality to be effective in an amount less
than $75,000 if, after awarding subgrants under paragraph (1)
for that fiscal year in accordance with subparagraphs (A) and
(B), less than $75,000 is available to the State educational
agency to award those subgrants.

``SEC. 1234. USES OF FUNDS.

``(a) In General.--In carrying out an Even Start program
under this subpart, a recipient of funds under this subpart
shall use those funds to pay the Federal share of the cost of
providing intensive family literacy services that involve
parents and children, from birth through age 7, in a
cooperative effort to help parents become full partners in
the education of their children and to assist children in
reaching their full potential as learners.
``(b) Federal Share Limitation.--
``(1) In general.--
``(A) Federal share.--Except as provided in paragraph (2),
the Federal share under this subpart may not exceed--
``(i) 90 percent of the total cost of the program in the
first year that the program receives assistance under this
subpart or its predecessor authority;
``(ii) 80 percent in the second year;
``(iii) 70 percent in the third year;
``(iv) 60 percent in the fourth year;
``(v) 50 percent in the fifth, sixth, seventh, and eighth
such years; and
``(vi) 35 percent in any subsequent year.
``(B) Remaining cost.--The remaining cost of a program
assisted under this subpart may be provided in cash or in
kind, fairly evaluated, and may be obtained from any source,
including other Federal funds under this Act.
``(2) Waiver.--The State educational agency may waive, in
whole or in part, the Federal share described in paragraph
(1) for an eligible entity if the entity--
``(A) demonstrates that it otherwise would not be able to
participate in the program assisted under this subpart; and
``(B) negotiates an agreement with the State educational
agency with respect to the amount of the remaining cost to
which the waiver will be applicable.
``(3) Prohibition.--Federal funds provided under this
subpart may not be used for the indirect costs of a program
assisted under this subpart, except that the Secretary may
waive this paragraph if an eligible recipient of funds
reserved under section 1232(a)(1)(C) demonstrates to the
Secretary's satisfaction that the recipient otherwise would
not be able to participate in the program assisted under this
subpart.
``(c) Use of Funds for Family Literacy Services.--
``(1) In general.--A State educational agency may use a
portion of funds reserved under section 1233(a), to assist
eligible entities receiving a subgrant under section 1233(b)
in improving the quality of family literacy services provided
under Even Start programs under this subpart, except that in
no case may a State educational agency's use of funds for
this purpose for a fiscal year result in a decrease from the
level of activities and services provided to program
participants in the preceding year.
``(2) Priority.--In carrying out paragraph (1), a State
educational agency shall give priority to programs that were
of low quality, as evaluated based on the indicators of
program quality developed by the State educational agency
under section 1240.
``(3) Technical assistance to help local programs raise
additional funds.--In carrying out paragraph (1), a State
educational agency may use the funds referred to in that
paragraph to provide technical assistance to help local
programs of demonstrated effectiveness to access and leverage
additional funds for the purpose of expanding services and
reducing waiting lists, including requesting and applying for
non-Federal resources.
``(4) Technical assistance and training.--Assistance under
paragraph (1) shall be in the form of technical assistance
and training, provided by a State educational agency through
a grant, contract, or cooperative agreement with an entity
that has experience in offering high-quality training and
technical assistance to family literacy providers.

``SEC. 1235. PROGRAM ELEMENTS.

``Each program assisted under this subpart shall--
``(1) include the identification and recruitment of
families most in need of services provided under this
subpart, as indicated by a low level of income, a low level
of adult literacy or English language proficiency of the
eligible parent or parents, and other need-related
indicators;
``(2) include screening and preparation of parents,
including teenage parents, and children to enable those
parents and children to participate fully in the activities
and services provided under this subpart, including testing,
referral to necessary counselling, other developmental and
support services, and related services;
``(3) be designed to accommodate the participants' work
schedule and other responsibilities, including the provision
of support services, when those services are unavailable from
other sources, necessary for participation in the activities
assisted under this subpart, such as--
``(A) scheduling and locating of services to allow joint
participation by parents and children;
``(B) child care for the period that parents are involved
in the program provided under this subpart; and
``(C) transportation for the purpose of enabling parents
and their children to participate in programs authorized by
this subpart;
``(4) include high-quality, intensive instructional
programs that promote adult literacy and empower parents to
support the educational growth of their children,
developmentally appropriate early childhood educational
services, and preparation of children for success in regular
school programs;
``(5) with respect to the qualifications of staff the cost
of whose salaries are paid, in whole or in part, with Federal
funds provided under this subpart, ensure that--
``(A) not later than December 21, 2004--
``(i) a majority of the individuals providing academic
instruction--

``(I) shall have obtained an associate's, bachelor's, or
graduate degree in a field related to

[[Page H9809]]

early childhood education, elementary school or secondary
school education, or adult education; and
``(II) if applicable, shall meet qualifications established
by the State for early childhood education, elementary school
or secondary school education, or adult education provided as
part of an Even Start program or another family literacy
program;

``(ii) the individual responsible for administration of
family literacy services under this subpart has received
training in the operation of a family literacy program; and
``(iii) paraprofessionals who provide support for academic
instruction have a secondary school diploma or its recognized
equivalent; and
``(B) all new personnel hired to provide academic
instruction--
``(i) have obtained an associate's, bachelor's, or graduate
degree in a field related to early childhood education,
elementary school or secondary school education, or adult
education; and
``(ii) if applicable, meet qualifications established by
the State for early childhood education, elementary school or
secondary school education, or adult education provided as
part of an Even Start program or another family literacy
program;
``(6) include special training of staff, including child-
care staff, to develop the skills necessary to work with
parents and young children in the full range of instructional
services offered through this subpart;
``(7) provide and monitor integrated instructional services
to participating parents and children through home-based
programs;
``(8) operate on a year-round basis, including the
provision of some program services, including instructional
and enrichment services, during the summer months;
``(9) be coordinated with--
``(A) other programs assisted under this Act;
``(B) any relevant programs under the Adult Education and
Family Literacy Act, the Individuals with Disabilities
Education Act, and title I of the Workforce Investment Act of
1998; and
``(C) the Head Start program, volunteer literacy programs,
and other relevant programs;
``(10) use instructional programs based on scientifically
based reading research for children and adults, to the extent
that research is available;
``(11) encourage participating families to attend regularly
and to remain in the program a sufficient time to meet their
program goals;
``(12) include reading-readiness activities for preschool
children based on scientifically based reading research, to
the extent available, to ensure that children enter school
ready to learn to read;
``(13) if applicable, promote the continuity of family
literacy to ensure that individuals retain and improve their
educational outcomes;
``(14) ensure that the programs will serve those families
most in need of the activities and services provided by this
subpart; and
``(15) provide for an independent evaluation of the
program, to be used for program improvement.

``SEC. 1236. ELIGIBLE PARTICIPANTS.

``(a) In General.--Except as provided in subsection (b),
eligible participants in an Even Start program are--
``(1) a parent or parents--
``(A) who are eligible for participation in adult education
and literacy activities under the Adult Education and Family
Literacy Act; or
``(B) who are within the State's compulsory school
attendance age range, so long as a local educational agency
provides (or ensures the availability of) the basic education
component required under this subpart, or who are attending
secondary school; and
``(2) the child or children, from birth through age 7, of
any individual described in paragraph (1).
``(b) Eligibility for Certain Other Participants.--
``(1) In general.--Family members of eligible participants
described in subsection (a) may participate in activities and
services provided under this subpart, when appropriate to
serve the purpose of this subpart.
``(2) Special rule.--Any family participating in a program
assisted under this subpart that becomes ineligible to
participate as a result of 1 or more members of the family
becoming ineligible to participate may continue to
participate in the program until all members of the family
become ineligible to participate, which--
``(A) in the case of a family in which ineligibility was
due to the child or children of the family attaining the age
of 8, shall be in 2 years or when the parent or parents
become ineligible due to educational advancement, whichever
occurs first; and
``(B) in the case of a family in which ineligibility was
due to the educational advancement of the parent or parents
of the family, shall be when all children in the family
attain the age of 8.
``(3) Children 8 years of age or older.--If an Even Start
program assisted under this subpart collaborates with a
program under part A, and funds received under the part A
program contribute to paying the cost of providing programs
under this subpart to children 8 years of age or older, the
Even Start program may, notwithstanding subsection (a)(2),
permit the participation of children 8 years of age or older
if the focus of the program continues to remain on families
with young children.

``SEC. 1237. APPLICATIONS.

``(a) Submission.--To be eligible to receive a subgrant
under this subpart, an eligible entity shall submit an
application to the State educational agency in such form and
containing or accompanied by such information as the State
educational agency shall require.
``(b) Required Documentation.--Each application shall
include documentation, satisfactory to the State educational
agency, that the eligible entity has the qualified personnel
needed--
``(1) to develop, administer, and implement an Even Start
program under this subpart; and
``(2) to provide access to the special training necessary
to prepare staff for the program, which may be offered by an
eligible organization.
``(c) Plan.--
``(1) In general.--The application shall also include a
plan of operation and continuous improvement for the program,
that includes--
``(A) a description of the program objectives, strategies
to meet those objectives, and how those strategies and
objectives are consistent with the program indicators
established by the State;
``(B) a description of the activities and services that
will be provided under the program, including a description
of how the program will incorporate the program elements
required by section 1235;
``(C) a description of the population to be served and an
estimate of the number of participants to be served;
``(D) as appropriate, a description of the applicant's
collaborative efforts with institutions of higher education,
community-based organizations, the State educational agency,
private elementary schools, or other eligible organizations
in carrying out the program for which assistance is sought;
``(E) a statement of the methods that will be used--
``(i) to ensure that the programs will serve families most
in need of the activities and services provided by this
subpart;
``(ii) to provide services under this subpart to
individuals with special needs, such as individuals with
limited English proficiency and individuals with
disabilities; and
``(iii) to encourage participants to remain in the program
for a time sufficient to meet the program's purpose;
``(F) a description of how the plan is integrated with
other programs under this Act or other Acts, as appropriate;
and
``(G) a description of how the plan provides for rigorous
and objective evaluation of progress toward the program
objectives described in subparagraph (A) and for continuing
use of evaluation data for program improvement.
``(2) Duration of the plan.--Each plan submitted under
paragraph (1) shall--
``(A) remain in effect for the duration of the eligible
entity's participation under this subpart; and
``(B) be periodically reviewed and revised by the eligible
entity as necessary.
``(d) Consolidated Application.--The plan described in
subsection (c)(1)(F) may be submitted as part of a
consolidated application under section 9302.

``SEC. 1238. AWARD OF SUBGRANTS.

``(a) Selection Process.--
``(1) In general.--The State educational agency shall
establish a review panel in accordance with paragraph (3)
that will approve applications that--
``(A) are most likely to be successful in--
``(i) meeting the purpose of this subpart; and
``(ii) effectively implementing the program elements
required under section 1235;
``(B) demonstrate that the area to be served by the program
has a high percentage or a large number of children and
families who are in need of those services as indicated by
high levels of poverty, illiteracy, unemployment, limited
English proficiency, or other need-related indicators, such
as a high percentage of children to be served by the program
who reside in a school attendance area served by a local
educational agency eligible for participation in programs
under part A, a high number or percentage of parents who have
been victims of domestic violence, or a high number or
percentage of parents who are receiving assistance under a
State program funded under part A of title IV of the Social
Security Act (42 U.S.C. 601 et seq.);
``(C) provide services for at least a 3-year age range,
which may begin at birth;
``(D) demonstrate the greatest possible cooperation and
coordination between a variety of relevant service providers
in all phases of the program;
``(E) include cost-effective budgets, given the scope of
the application;
``(F) demonstrate the applicant's ability to provide the
non-Federal share required by section 1234(b);
``(G) are representative of urban and rural regions of the
State; and
``(H) show the greatest promise for providing models that
may be adopted by other family literacy projects and other
local educational agencies.
``(2) Priority for subgrants.--The State educational agency
shall give priority for subgrants under this subsection to
applications that--
``(A) target services primarily to families described in
paragraph (1)(B); or
``(B) are located in areas designated as empowerment zones
or enterprise communities.
``(3) Review panel.--A review panel shall consist of at
least 3 members, including 1 early childhood professional, 1
adult education professional, and 1 individual with expertise
in family literacy programs, and may include other
individuals, such as 1 or more of the following:
``(A) A representative of a parent-child education
organization.
``(B) A representative of a community-based literacy
organization.
``(C) A member of a local board of education.
``(D) A representative of business and industry with a
commitment to education.
``(E) An individual who has been involved in the
implementation of programs under this title in the State.
``(b) Duration.--

[[Page H9810]]

``(1) In general.--Subgrants under this subpart may be
awarded for a period not to exceed 4 years.
``(2) Startup period.--The State educational agency may
provide subgrant funds to an eligible recipient, at the
recipient's request, for a 3- to 6-month start-up period
during the first year of the 4-year grant period, which may
include staff recruitment and training, and the coordination
of services, before requiring full implementation of the
program.
``(3) Continuing eligibility.--In awarding subgrant funds
to continue a program under this subpart after the first
year, the State educational agency shall review the progress
of each eligible entity in meeting the objectives of the
program referred to in section 1237(c)(1)(A) and shall
evaluate the program based on the indicators of program
quality developed by the State under section 1240.
``(4) Insufficient progress.--The State educational agency
may refuse to award subgrant funds to an eligible entity if
the agency finds that the eligible entity has not
sufficiently improved the performance of the program, as
evaluated based on the indicators of program quality
developed by the State under section 1240, after--
``(A) providing technical assistance to the eligible
entity; and
``(B) affording the eligible entity notice and an
opportunity for a hearing.
``(5) Grant renewal.--(A) An eligible entity that has
previously received a subgrant under this subpart may reapply
under this subpart for additional subgrants.
``(B) The Federal share of any subgrant renewed under
subparagraph (A) shall be limited in accordance with section
1234(b).

``SEC. 1239. EVALUATION.

``From funds reserved under section 1232(b)(1), the
Secretary shall provide for an independent evaluation of
programs assisted under this subpart--
``(1) to determine the performance and effectiveness of
programs assisted under this subpart;
``(2) to identify effective Even Start programs assisted
under this subpart that can be duplicated and used in
providing technical assistance to Federal, State, and local
programs; and
``(3) to provide State educational agencies and eligible
entities receiving a subgrant under this subpart, directly or
through a grant or contract with an organization with
experience in the development and operation of successful
family literacy services, technical assistance to ensure that
local evaluations undertaken under section 1235(15) provide
accurate information on the effectiveness of programs
assisted under this subpart.

``SEC. 1240. INDICATORS OF PROGRAM QUALITY.

``Each State educational agency receiving funds under this
subpart shall develop, based on the best available research
and evaluation data, indicators of program quality for
programs assisted under this subpart. The indicators shall be
used to monitor, evaluate, and improve those programs within
the State. The indicators shall include the following:
``(1) With respect to eligible participants in a program
who are adults--
``(A) achievement in the areas of reading, writing,
English-language acquisition, problem solving, and numeracy;
``(B) receipt of a secondary school diploma or a general
equivalency diploma (GED);
``(C) entry into a postsecondary school, job retraining
program, or employment or career advancement, including the
military; and
``(D) such other indicators as the State may develop.
``(2) With respect to eligible participants in a program
who are children--
``(A) improvement in ability to read on grade level or
reading readiness;
``(B) school attendance;
``(C) grade retention and promotion; and
``(D) such other indicators as the State may develop.

``SEC. 1241. RESEARCH.

``(a) In General.--The Secretary shall carry out, through
grant or contract, research into the components of successful
family literacy services, in order to--
``(1) improve the quality of existing programs assisted
under this subpart or other family literacy programs carried
out under this Act or the Adult Education and Family Literacy
Act; and
``(2) develop models for new programs to be carried out
under this Act or the Adult Education and Family Literacy
Act.
``(b) Scientifically Based Research on Family Literacy.--
``(1) In general.--From amounts reserved under section
1232(b)(2), the National Institute for Literacy, in
consultation with the Secretary, shall carry out research
that--
``(A) is scientifically based reading research; and
``(B) determines--
``(i) the most effective ways of improving the literacy
skills of adults with reading difficulties; and
``(ii) how family literacy services can best provide
parents with the knowledge and skills the parents need to
support their children's literacy development.
``(2) Use of expert entity.--The National Institute for
Literacy, in consultation with the Secretary, shall carry out
the research under paragraph (1) through an entity, including
a Federal agency, that has expertise in carrying out
longitudinal studies of the development of literacy skills in
children and has developed effective interventions to help
children with reading difficulties.
``(c) Dissemination.--The National Institute for Literacy
shall disseminate, pursuant to section 1207, the results of
the research described in subsections (a) and (b) to State
educational agencies and recipients of subgrants under this
subpart.

``SEC. 1242. CONSTRUCTION.

``Nothing in this subpart shall be construed to prohibit a
recipient of funds under this subpart from serving students
participating in Even Start simultaneously with students with
similar educational needs, in the same educational settings
where appropriate.

``Subpart 4--Improving Literacy Through School Libraries

``SEC. 1251. IMPROVING LITERACY THROUGH SCHOOL LIBRARIES.

``(a) Purposes.--The purpose of this subpart is to improve
literacy skills and academic achievement of students by
providing students with increased access to up-to-date school
library materials, a well-equipped, technologically advanced
school library media center, and well-trained, professionally
certified school library media specialists.
``(b) Reservation.--From the funds appropriated under
section 1002(b)(4) for a fiscal year, the Secretary shall
reserve--
``(1) \1/2\ of 1 percent to award assistance under this
section to the Bureau of Indian Affairs to carry out
activities consistent with the purpose of this subpart; and
``(2) \1/2\ of 1 percent to award assistance under this
section to the outlying areas according to their respective
needs for assistance under this subpart.
``(c) Grants.--
``(1) Competitive grants to eligible local educational
agencies.--If the amount of funds appropriated under section
1002(b)(4) for a fiscal year is less than $100,000,000, then
the Secretary shall award grants, on a competitive basis, to
eligible local educational agencies under subsection (e).
``(2) Formula grants to states.--If the amount of funds
appropriated under section 1002(b)(4) for a fiscal year
equals or exceeds $100,000,000, then the Secretary shall
award grants to State educational agencies from allotments
under subsection (d).
``(3) Definition of eligible local educational agency.--In
this section the term `eligible local educational agency'
means--
``(A) in the case of a local educational agency receiving
assistance made available under paragraph (1), a local
educational agency in which 20 percent of the students served
by the local educational agency are from families with
incomes below the poverty line; and
``(B) in the case of a local educational agency receiving
assistance from State allocations made available under
paragraph (2), a local educational agency in which--
``(i) 15 percent of the students who are served by the
local educational agency are from such families; or
``(ii) the percentage of students from such families who
are served by the local educational agency is greater than
the statewide percentage of children from such families.
``(d) State Grants.--
``(1) Allotments.--From funds made available under
subsection (c)(2) and not reserved under subsections (b) and
(j) for a fiscal year, the Secretary shall allot to each
State educational agency having an application approved under
subsection (f)(1) an amount that bears the same relation to
the funds as the amount the State educational agency received
under part A for the preceding fiscal year bears to the
amount all such State educational agencies received under
part A for the preceding fiscal year, to increase literacy
and reading skills by improving school libraries.
``(2) Competitive grants to eligible local educational
agencies.--Each State educational agency receiving an
allotment under paragraph (1) for a fiscal year--
``(A) may reserve not more than 3 percent of the allotted
funds to provide technical assistance, disseminate
information about school library media programs that are
effective and based on scientifically based research, and pay
administrative costs related to activities under this
section; and
``(B) shall use the allotted funds that remain after making
the reservation under subparagraph (A) to award grants, for a
period of 1 year, on a competitive basis, to eligible local
educational agencies in the State that have an application
approved under subsection (f)(2) for activities described in
subsection (g).
``(3) Reallotment.--If a State educational agency does not
apply for an allotment under this section for any fiscal
year, or if the State educational agency's application is not
approved, the Secretary shall reallot the amount of the State
educational agency's allotment to the remaining State
educational agencies in accordance with paragraph (1).
``(e) Direct Competitive Grants to Eligible Local
Educational Agencies.--
``(1) In general.--From amounts made available under
subsection (c)(1) and not reserved under subsections (b) and
(j) for a fiscal year, the Secretary shall award grants, on a
competitive basis, to eligible local educational agencies
that have applications approved under subsection (f)(2) for
activities described in subsection (g).
``(2) Duration.--The Secretary shall award grants under
this subsection for a period of 1 year.
``(3) Distribution.--The Secretary shall ensure that grants
under this subsection are equitably distributed among the
different geographic regions of the United States, and among
local educational agencies serving urban and rural areas.
``(f) Applications.--
``(1) State educational agency.--Each State educational
agency desiring assistance under this section shall submit to
the Secretary an application at such time, in such manner,
and containing such information as the Secretary shall
require. The application shall contain a description of--

[[Page H9811]]

``(A) how the State educational agency will assist eligible
local educational agencies in meeting the requirements of
this section and in using scientifically based research to
implement effective school library media programs; and
``(B) the standards and techniques the State educational
agency will use to evaluate the quality and impact of
activities carried out under this section by eligible local
educational agencies to determine the need for technical
assistance and whether to continue to provide additional
funding to the agencies under this section.
``(2) Eligible local educational agency.--Each eligible
local educational agency desiring assistance under this
section shall submit to the Secretary or State educational
agency, as appropriate, an application at such time, in such
manner, and containing such information as the Secretary or
State educational agency, respectively, shall require. The
application shall contain a description of--
``(A) a needs assessment relating to the need for school
library media improvement, based on the age and condition of
school library media resources, including book collections,
access of school library media centers to advanced
technology, and the availability of well-trained,
professionally certified school library media specialists, in
schools served by the eligible local educational agency;
``(B) the manner in which the eligible local educational
agency will use the funds made available through the grant to
carry out the activities described in subsection (g);
``(C) how the eligible local educational agency will
extensively involve school library media specialists,
teachers, administrators, and parents in the activities
assisted under this section, and the manner in which the
eligible local educational agency will carry out the
activities described in subsection (g) using programs and
materials that are grounded in scientifically based research;
``(D) the manner in which the eligible local educational
agency will effectively coordinate the funds and activities
provided under this section with Federal, State, and local
funds and activities under this subpart and other literacy,
library, technology, and professional development funds and
activities; and
``(E) the manner in which the eligible local educational
agency will collect and analyze data on the quality and
impact of activities carried out under this section by
schools served by the eligible local educational agency.
``(g) Local Activities.--Funds under this section may be
used to--
``(1) acquire up-to-date school library media resources,
including books;
``(2) acquire and use advanced technology, incorporated
into the curricula of the school, to develop and enhance the
information literacy, information retrieval, and critical
thinking skills of students;
``(3) facilitate Internet links and other resource-sharing
networks among schools and school library media centers, and
public and academic libraries, where possible;
``(4) provide professional development described in section
1222(d)(2) for school library media specialists, and
activities that foster increased collaboration between school
library media specialists, teachers, and administrators; and
``(5) provide students with access to school libraries
during nonschool hours, including the hours before and after
school, during weekends, and during summer vacation periods.
``(h) Accountability and Reporting.--
``(1) Local reports.--Each eligible local educational
agency that receives funds under this section for a fiscal
year shall report to the Secretary or State educational
agency, as appropriate, on how the funding was used and the
extent to which the availability of, the access to, and the
use of, up-to-date school library media resources in the
elementary schools and secondary schools served by the
eligible local educational agency was increased.
``(2) State report.--Each State educational agency that
receives funds under this section shall compile the reports
received under paragraph (1) and submit the compiled reports
to the Secretary.
``(i) Supplement, Not Supplant.--Funds made available under
this section shall be used to supplement, and not supplant,
other Federal, State, and local funds expended to carry out
activities relating to library, technology, or professional
development activities.
``(j) National Activities.--
``(1) Evaluations.--From the funds appropriated under
section 1002(b)(4) for each fiscal year, the Secretary shall
reserve not more than 1 percent for annual, independent,
national evaluations of the activities assisted under this
section and their impact on improving the reading skills of
students. The evaluations shall be conducted not later than 3
years after the date of enactment of the No Child Left Behind
Act of 2001, and biennially thereafter.
``(2) Report to congress.--The Secretary shall transmit the
State reports received under subsection (h)(2) and the
evaluations conducted under paragraph (1) to the Committee on
Health, Education, Labor, and Pensions of the Senate and the
Committee on Education and the Workforce of the House of
Representatives.

``PART C--EDUCATION OF MIGRATORY CHILDREN

``SEC. 1301. PROGRAM PURPOSE.

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

``SEC. 1302. PROGRAM AUTHORIZED.

``In order to carry out the purpose of this part, the
Secretary shall make grants to State educational agencies, or
combinations of such agencies, to establish or improve,
directly or through local operating agencies, programs of
education for migratory children in accordance with this
part.

``SEC. 1303. STATE ALLOCATIONS.

``(a) State Allocations.--
``(1) Fiscal year 2002.--For fiscal year 2002, each State
(other than the Commonwealth of Puerto Rico) is entitled to
receive under this part an amount equal to--
``(A) the sum of the estimated number of migratory children
aged 3 through 21 who reside in the State full time and the
full-time equivalent of the estimated number of migratory
children aged 3 through 21 who reside in the State part time,
as determined in accordance with subsection (e); multiplied
by
``(B) 40 percent of the average per-pupil expenditure in
the State, except that the amount determined under this
paragraph shall not be less than 32 percent, nor more than 48
percent, of the average per-pupil expenditure in the United
States.
``(2) Subsequent years.--
``(A) Base amount.--
``(i) In general.--Except as provided in subsection (b) and
clause (ii), each State (other than the Commonwealth of
Puerto Rico) is entitled to receive under this part, for
fiscal year 2003 and succeeding fiscal years, an amount equal
to--

``(I) the amount that such State received under this part
for fiscal year 2002; plus
``(II) the amount allocated to the State under subparagraph
(B).

``(ii) Nonparticipating states.--In the case of a State
(other than the Commonwealth of Puerto Rico) that did not
receive any funds for fiscal year 2002 under this part, the
State shall receive, for fiscal year 2003 and succeeding
fiscal years, an amount equal to--

``(I) the amount that such State would have received under
this part for fiscal year 2002 if its application under
section 1304 for the year had been approved; plus
``(II) the amount allocated to the State under subparagraph
(B).

``(B) Allocation of additional amount.--For fiscal year
2003 and succeeding fiscal years, the amount (if any) by
which the funds appropriated to carry out this part for the
year exceed such funds for fiscal year 2002 shall be
allocated to a State (other than the Commonwealth of Puerto
Rico) so that the State receives an amount equal to--
``(i) the sum of--

``(I) the number of identified eligible migratory children,
aged 3 through 21, residing in the State during the previous
year; and
``(II) the number of identified eligible migratory
children, aged 3 through 21, who received services under this
part in summer or intersession programs provided by the State
during such year; multiplied by

``(ii) 40 percent of the average per-pupil expenditure in
the State, except that the amount determined under this
clause may not be less than 32 percent, or more than 48
percent, of the average per-pupil expenditure in the United
States.
``(b) Allocation to Puerto Rico.--
``(1) In general.--For each fiscal year, the grant which
the Commonwealth of Puerto Rico shall be eligible to receive
under this part shall be the amount determined by multiplying
the number of children who would be counted under subsection
(a)(1)(A) if such subsection applied to the Commonwealth of
Puerto Rico by the product of--
``(A) the percentage which the average per-pupil
expenditure in the Commonwealth of Puerto Rico is of the
lowest average per-pupil expenditure of any of the 50 States;
and
``(B) 32 percent of the average per-pupil expenditure in
the United States.
``(2) Minimum percentage.--The percentage in paragraph
(1)(A) shall not be less than--
``(A) for fiscal year 2002, 77.5 percent;
``(B) for fiscal year 2003, 80.0 percent;
``(C) for fiscal year 2004, 82.5 percent; and
``(D) for fiscal year 2005 and succeeding fiscal years,
85.0 percent.
``(3) Limitation.--If the application of paragraph (2) for
any fiscal year would result in any of the 50 States or the
District of Columbia receiving less under this part than it
received under this part for the preceding fiscal year, then
the percentage described in paragraph (1)(A) that is used for
the Commonwealth of Puerto Rico for the fiscal year for which
the determination is made shall be the greater of the
percentage in paragraph (1)(A) for such fiscal year or the
percentage used for the preceding fiscal year.
``(c) Ratable Reductions; Reallocations.--

[[Page H9812]]

``(1) In general.--(A) If, after the Secretary reserves
funds under section 1308(c), the amount appropriated to carry
out this part for any fiscal year is insufficient to pay in
full the amounts for which all States are eligible, the
Secretary shall ratably reduce each such amount.
``(B) If additional funds become available for making such
payments for any fiscal year, the Secretary shall allocate
such funds to States in amounts that the Secretary determines
will best carry out the purpose of this part.
``(2) Special rule.--(A) The Secretary shall further reduce
the amount of any grant to a State under this part for any
fiscal year if the Secretary determines, based on available
information on the numbers and needs of migratory children in
the State and the program proposed by the State to address
such needs, that such amount exceeds the amount required
under section 1304.
``(B) The Secretary shall reallocate such excess funds to
other States whose grants under this part would otherwise be
insufficient to provide an appropriate level of services to
migratory children, in such amounts as the Secretary
determines are appropriate.
``(d) Consortium Arrangements.--
``(1) In general.--In the case of a State that receives a
grant of $1,000,000 or less under this section, the Secretary
shall consult with the State educational agency to determine
whether consortium arrangements with another State or other
appropriate entity would result in delivery of services in a
more effective and efficient manner.
``(2) Proposals.--Any State, regardless of the amount of
such State's allocation, may submit a consortium arrangement
to the Secretary for approval.
``(3) Approval.--The Secretary shall approve a consortium
arrangement under paragraph (1) or (2) if the proposal
demonstrates that the arrangement will--
``(A) reduce administrative costs or program function costs
for State programs; and
``(B) make more funds available for direct services to add
substantially to the welfare or educational attainment of
children to be served under this part.
``(e) Determining Numbers of Eligible Children.--In order
to determine the estimated number of migratory children
residing in each State for purposes of this section, the
Secretary shall--
``(1) use such information as the Secretary finds most
accurately reflects the actual number of migratory children;
``(2) develop and implement a procedure for more accurately
reflecting cost factors for different types of summer and
intersession program designs;
``(3) adjust the full-time equivalent number of migratory
children who reside in each State to take into account--
``(A) the special needs of those children participating in
special programs provided under this part that operate during
the summer and intersession periods; and
``(B) the additional costs of operating such programs; and
``(4) conduct an analysis of the options for adjusting the
formula so as to better direct services to the child whose
education has been interrupted.

``SEC. 1304. STATE APPLICATIONS; SERVICES.

``(a) Application Required.--Any State desiring to receive
a grant under this part for any fiscal year shall submit an
application to the Secretary at such time and in such manner
as the Secretary may require.
``(b) Program Information.--Each such application shall
include--
``(1) a description of how, in planning, implementing, and
evaluating programs and projects assisted under this part,
the State and its local operating agencies will ensure that
the special educational needs of migratory children,
including preschool migratory children, are identified and
addressed through--
``(A) the full range of services that are available for
migratory children from appropriate local, State, and Federal
educational programs;
``(B) joint planning among local, State, and Federal
educational programs serving migrant children, including
language instruction educational programs under part A or B
of title III;
``(C) the integration of services available under this part
with services provided by those other programs; and
``(D) measurable program goals and outcomes;
``(2) a description of the steps the State is taking to
provide all migratory students with the opportunity to meet
the same challenging State academic content standards and
challenging State student academic achievement standards that
all children are expected to meet;
``(3) a description of how the State will use funds
received under this part to promote interstate and intrastate
coordination of services for migratory children, including
how, consistent with procedures the Secretary may require,
the State will provide for educational continuity through the
timely transfer of pertinent school records, including
information on health, when children move from one school to
another, whether or not such move occurs during the regular
school year;
``(4) a description of the State's priorities for the use
of funds received under this part, and how such priorities
relate to the State's assessment of needs for services in the
State;
``(5) a description of how the State will determine the
amount of any subgrants the State will award to local
operating agencies, taking into account the numbers and needs
of migratory children, the requirements of subsection (d),
and the availability of funds from other Federal, State, and
local programs;
``(6) such budgetary and other information as the Secretary
may require; and
``(7) a description of how the State will encourage
programs and projects assisted under this part to offer
family literacy services if the program or project serves a
substantial number of migratory children who have parents who
do not have a high school diploma or its recognized
equivalent or who have low levels of literacy.
``(c) Assurances.--Each such application shall also include
assurances, satisfactory to the Secretary, that--
``(1) funds received under this part will be used only--
``(A) for programs and projects, including the acquisition
of equipment, in accordance with section 1306; and
``(B) to coordinate such programs and projects with similar
programs and projects within the State and in other States,
as well as with other Federal programs that can benefit
migratory children and their families;
``(2) such programs and projects will be carried out in a
manner consistent with the objectives of section 1114,
subsections (b) and (d) of section 1115, subsections (b) and
(c) of section 1120A, and part I;
``(3) in the planning and operation of programs and
projects at both the State and local agency operating level,
there is consultation with parent advisory councils for
programs of 1 school year in duration, and that all such
programs and projects are carried out--
``(A) in a manner that provides for the same parental
involvement as is required for programs and projects under
section 1118, unless extraordinary circumstances make such
provision impractical; and
``(B) in a format and language understandable to the
parents;
``(4) in planning and carrying out such programs and
projects, there has been, and will be, adequate provision for
addressing the unmet education needs of preschool migratory
children;
``(5) the effectiveness of such programs and projects will
be determined, where feasible, using the same approaches and
standards that will be used to assess the performance of
students, schools, and local educational agencies under part
A;
``(6) to the extent feasible, such programs and projects
will provide for--
``(A) advocacy and outreach activities for migratory
children and their families, including informing such
children and families of, or helping such children and
families gain access to, other education, health, nutrition,
and social services;
``(B) professional development programs, including
mentoring, for teachers and other program personnel;
``(C) family literacy programs, including such programs
that use models developed under Even Start;
``(D) the integration of information technology into
educational and related programs; and
``(E) programs to facilitate the transition of secondary
school students to postsecondary education or employment; and
``(7) the State will assist the Secretary in determining
the number of migratory children under paragraphs (1)(A) and
(2)(B)(i) of section 1303(a), through such procedures as the
Secretary may require.
``(d) Priority for Services.--In providing services with
funds received under this part, each recipient of such funds
shall give priority to migratory children who are failing, or
most at risk of failing, to meet the State's challenging
State academic content standards and challenging State
student academic achievement standards, and whose education
has been interrupted during the regular school year.
``(e) Continuation of Services.--Notwithstanding any other
provision of this part--
``(1) a child who ceases to be a migratory child during a
school term shall be eligible for services until the end of
such term;
``(2) a child who is no longer a migratory child may
continue to receive services for 1 additional school year,
but only if comparable services are not available through
other programs; and
``(3) secondary school students who were eligible for
services in secondary school may continue to be served
through credit accrual programs until graduation.

``SEC. 1305. SECRETARIAL APPROVAL; PEER REVIEW.

``(a) Secretarial Approval.--The Secretary shall approve
each State application that meets the requirements of this
part.
``(b) Peer Review.--The Secretary may review any such
application with the assistance and advice of State officials
and other individuals with relevant expertise.

``SEC. 1306. COMPREHENSIVE NEEDS ASSESSMENT AND SERVICE-
DELIVERY PLAN; AUTHORIZED ACTIVITIES.

``(a) Comprehensive Plan.--
``(1) In general.--Each State that receives assistance
under this part shall ensure that the State and its local
operating agencies identify and address the
special educational needs of migratory children in
accordance with a comprehensive State plan that--
``(A) is integrated with other programs under this Act or
other Acts, as appropriate;
``(B) may be submitted as a part of consolidated
application under section 9302, if--
``(i) the special needs of migratory children are
specifically addressed in the comprehensive State plan;
``(ii) the comprehensive State plan is developed in
collaboration with parents of migratory children; and
``(iii) the comprehensive State planning is not used to
supplant State efforts regarding, or administrative funding
for, this part;
``(C) provides that migratory children will have an
opportunity to meet the same challenging State academic
content standards and challenging State student academic
achievement standards that all children are expected to meet;

[[Page H9813]]

``(D) specifies measurable program goals and outcomes;
``(E) encompasses the full range of services that are
available for migratory children from appropriate local,
State, and Federal educational programs;
``(F) is the product of joint planning among such local,
State, and Federal programs, including programs under part A,
early childhood programs, and language instruction
educational programs under part A or B of title III; and
``(G) provides for the integration of services available
under this part with services provided by such other
programs.
``(2) Duration of the plan.--Each such comprehensive State
plan shall--
``(A) remain in effect for the duration of the State's
participation under this part; and
``(B) be periodically reviewed and revised by the State, as
necessary, to reflect changes in the State's strategies and
programs under this part.
``(b) Authorized Activities.--
``(1) Flexibility.--In implementing the comprehensive plan
described in subsection (a), each State educational agency,
where applicable through its local educational agencies,
shall have the flexibility to determine the activities to be
provided with funds made available under this part, except
that such funds first shall be used to meet the identified
needs of migratory children that result from their migratory
lifestyle, and to permit these children to participate
effectively in school.
``(2) Unaddressed needs.--Funds provided under this part
shall be used to address the needs of migratory children that
are not addressed by services available from other Federal or
non-Federal programs, except that migratory children who are
eligible to receive services under part A may receive those
services through funds provided under that part, or through
funds under this part that remain after the agency addresses
the needs described in paragraph (1).
``(3) Construction.--Nothing in this part shall be
construed to prohibit a local educational agency from serving
migratory children simultaneously with students with similar
educational needs in the same educational settings, where
appropriate.
``(4) Special rule.--Notwithstanding section 1114, a school
that receives funds under this part shall continue to address
the identified needs described in paragraph (1), and shall
meet the special educational needs of migratory children
before using funds under this part for schoolwide programs
under section 1114.

``SEC. 1307. BYPASS.

``The Secretary may use all or part of any State's
allocation under this part to make arrangements with any
public or private nonprofit agency to carry out the purpose
of this part in such State if the Secretary determines that--
``(1) the State is unable or unwilling to conduct
educational programs for migratory children;
``(2) such arrangements would result in more efficient and
economic administration of such programs; or
``(3) such arrangements would add substantially to the
welfare or educational attainment of such children.

``SEC. 1308. COORDINATION OF MIGRANT EDUCATION ACTIVITIES.

``(a) Improvement of Coordination.--
``(1) In general.--The Secretary, in consultation with the
States, may make grants to, or enter into contracts with,
State educational agencies, local educational agencies,
institutions of higher education, and other public and
private nonprofit entities to improve the interstate and
intrastate coordination among such agencies' educational
programs, including the establishment or improvement of
programs for credit accrual and exchange, available to
migratory students.
``(2) Duration.--Grants under this subsection may be
awarded for not more than 5 years.
``(b) Student Records.--
``(1) Assistance.--The Secretary shall assist States in
developing effective methods for the electronic transfer of
student records and in determining the number of migratory
children in each State.
``(2) Information system.--
``(A) In general.--The Secretary, in consultation with the
States, shall ensure the linkage of migrant student record
systems for the purpose of electronically exchanging, among
the States, health and educational information regarding all
migratory students. The Secretary shall ensure such linkage
occurs in a cost-effective manner, utilizing systems used by
the States prior to, or developed after, the date of
enactment of the No Child Left Behind Act of 2001, and shall
determine the minimum data elements that each State receiving
funds under this part shall collect and maintain. Such
elements may include--
``(i) immunization records and other health information;
``(ii) elementary and secondary academic history (including
partial credit), credit accrual, and results from State
assessments required under section 1111(b);
``(iii) other academic information essential to ensuring
that migratory children achieve to high standards; and
``(iv) eligibility for services under the Individuals with
Disabilities Education Act.
``(B) Notice and comment.--After consulting with the States
under subparagraph (A), the Secretary shall publish a notice
in the Federal Register seeking public comment on the
proposed data elements that each State receiving funds under
this part shall be required to collect for purposes of
electronic transfer of migratory student information and the
requirements that States shall meet for immediate electronic
access to such information. Such publication shall occur not
later than 120 days after the date of enactment of the No
Child Left Behind Act of 2001.
``(3) No cost for certain transfers.--A State educational
agency or local educational agency receiving assistance under
this part shall make student records available to another
State educational agency or local educational agency that
requests the records at no cost to the requesting agency, if
the request is made in order to meet the needs of a migratory
child.
``(4) Report to congress.--
``(A) In general.--Not later than April 30, 2003, the
Secretary shall report to the Committee on Health, Education,
Labor, and Pensions of the Senate and the Committee on
Education and the Workforce of the House of Representatives
the Secretary's findings and recommendations regarding the
maintenance and transfer of health and educational
information for migratory students by the States.
``(B) Required contents.--The Secretary shall include in
such report--
``(i) a review of the progress of States in developing and
linking electronic records transfer systems;
``(ii) recommendations for the development and linkage of
such systems; and
``(iii) recommendations for measures that may be taken to
ensure the continuity of services provided for migratory
students.
``(c) Availability of Funds.--For the purpose of carrying
out this section in any fiscal year, the Secretary shall
reserve not more than $10,000,000 of the amount appropriated
to carry out this part for such year.
``(d) Incentive Grants.--From the amounts made available to
carry out this section for any fiscal year, the Secretary may
reserve not more than $3,000,000 to award grants of not more
than $250,000 on a competitive basis to State educational
agencies that propose a consortium arrangement with another
State or other appropriate entity that the Secretary
determines, pursuant to criteria that the Secretary shall
establish, will improve the delivery of services to migratory
children whose education is interrupted.
``(e) Data Collection.--The Secretary shall direct the
National Center for Education Statistics to collect data on
migratory children.

``SEC. 1309. DEFINITIONS.

``As used in this part:
``(1) Local operating agency.--The term `local operating
agency' means--
``(A) a local educational agency to which a State
educational agency makes a subgrant under this part;
``(B) a public or nonprofit private agency with which a
State educational agency or the Secretary makes an
arrangement to carry out a project under this part; or
``(C) a State educational agency, if the State educational
agency operates the State's migrant education program or
projects directly.
``(2) Migratory child.--The term `migratory child' means a
child who is, or whose parent or spouse is, a migratory
agricultural worker, including a migratory dairy worker, or a
migratory fisher, and who, in the preceding 36 months, in
order to obtain, or accompany such parent or spouse, in order
to obtain, temporary or seasonal employment in agricultural
or fishing work--
``(A) has moved from one school district to another;
``(B) in a State that is comprised of a single school
district, has moved from one administrative area to another
within such district; or
``(C) resides in a school district of more than 15,000
square miles, and migrates a distance of 20 miles or more to
a temporary residence to engage in a fishing activity.

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

``SEC. 1401. PURPOSE AND PROGRAM AUTHORIZATION.

``(a) Purpose.--It is the purpose of this part--
``(1) to improve educational services for children and
youth in local and State institutions for neglected or
delinquent children and youth so that such children and youth
have the opportunity to meet the same challenging State
academic content standards and challenging State student
academic achievement standards that all children in the State
are expected to meet;
``(2) to provide such children and youth with the services
needed to make a successful transition from
institutionalization to further schooling or employment; and
``(3) to prevent at-risk youth from dropping out of school,
and to provide dropouts, and children and youth returning
from correctional facilities or institutions for neglected or
delinquent children and youth, with a support system to
ensure their continued education.
``(b) Program Authorized.--In order to carry out the
purpose of this part and from amounts appropriated under
section 1002(d), the Secretary shall make grants to State
educational agencies to enable such agencies to award
subgrants to State agencies and local educational agencies to
establish or improve programs of education for neglected,
delinquent, or at-risk children and youth.

``SEC. 1402. PAYMENTS FOR PROGRAMS UNDER THIS PART.

``(a) Agency Subgrants.--Based on the allocation amount
computed under section 1412, the Secretary shall allocate to
each State educational agency an amount necessary to make
subgrants to State agencies under subpart 1.
``(b) Local Subgrants.--Each State shall retain, for the
purpose of carrying out subpart 2, funds generated throughout
the State under part A of this title based on children and
youth residing in local correctional facilities, or attending
community day programs for delinquent children and youth.

[[Page H9814]]

``Subpart 1--State Agency Programs

``SEC. 1411. ELIGIBILITY.

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

``SEC. 1412. ALLOCATION OF FUNDS.

``(a) Subgrants to State Agencies.--
``(1) In general.--Each State agency described in section
1411 (other than an agency in the Commonwealth of Puerto
Rico) is eligible to receive a subgrant under this subpart,
for each fiscal year, in an amount equal to the product of--
``(A) the number of neglected or delinquent children and
youth described in section 1411 who--
``(i) are enrolled for at least 15 hours per week in
education programs in adult correctional institutions; and
``(ii) are enrolled for at least 20 hours per week--

``(I) in education programs in institutions for neglected
or delinquent children and youth; or
``(II) in community day programs for neglected or
delinquent children and youth; and

``(B) 40 percent of the average per-pupil expenditure in
the State, except that the amount determined under this
subparagraph shall not be less than 32 percent, nor more than
48 percent, of the average per-pupil expenditure in the
United States.
``(2) Special rule.--The number of neglected or delinquent
children and youth determined under paragraph (1) shall--
``(A) be determined by the State agency by a deadline set
by the Secretary, except that no State agency shall be
required to determine the number of such children and youth
on a specific date set by the Secretary; and
``(B) be adjusted, as the Secretary determines is
appropriate, to reflect the relative length of such agency's
annual programs.
``(b) Subgrants to State Agencies in Puerto Rico.--
``(1) In general.--For each fiscal year, the amount of the
subgrant which a State agency in the Commonwealth of Puerto
Rico shall be eligible to receive under this subpart shall be
the amount determined by multiplying the number of children
counted under subsection (a)(1)(A) for the Commonwealth of
Puerto Rico by the product of--
``(A) the percentage which the average per-pupil
expenditure in the Commonwealth of Puerto Rico is of the
lowest average per-pupil expenditure of any of the 50 States;
and
``(B) 32 percent of the average per-pupil expenditure in
the United States.
``(2) Minimum percentage.--The percentage in paragraph
(1)(A) shall not be less than--
``(A) for fiscal year 2002, 77.5 percent;
``(B) for fiscal year 2003, 80.0 percent;
``(C) for fiscal year 2004, 82.5 percent; and
``(D) for fiscal year 2005 and succeeding fiscal years,
85.0 percent.
``(3) Limitation.--If the application of paragraph (2)
would result in any of the 50 States or the District of
Columbia receiving less under this subpart than it received
under this subpart for the preceding fiscal year, then the
percentage described in paragraph (1)(A) that is used for the
Commonwealth of Puerto Rico for the fiscal year for which the
determination is made shall be the greater of--
``(A) the percentage in paragraph (1)(A) for such fiscal
year; or
``(B) the percentage used for the preceding fiscal year.
``(c) Ratable Reductions in Case of Insufficient
Appropriations.--If the amount appropriated for any fiscal
year for subgrants under subsections (a) and (b) is
insufficient to pay the full amount for which all State
agencies are eligible under such subsections, the Secretary
shall ratably reduce each such amount.

``SEC. 1413. STATE REALLOCATION OF FUNDS.

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

``SEC. 1414. STATE PLAN AND STATE AGENCY APPLICATIONS.

``(a) State Plan.--
``(1) In general.--Each State educational agency that
desires to receive a grant under this subpart shall submit,
for approval by the Secretary, a plan--
``(A) for meeting the educational needs of neglected,
delinquent, and at-risk children and youth;
``(B) for assisting in the transition of children and youth
from correctional facilities to locally operated programs;
and
``(C) that is integrated with other programs under this Act
or other Acts, as appropriate.
``(2) Contents.--Each such State plan shall--
``(A) describe the program goals, objectives, and
performance measures established by the State that will be
used to assess the effectiveness of the program in improving
the academic, vocational, and technical skills of children in
the program;
``(B) provide that, to the extent feasible, such children
will have the same opportunities to achieve as such children
would have if such children were in the schools of local
educational agencies in the State; and
``(C) contain an assurance that the State educational
agency will--
``(i) ensure that programs assisted under this subpart will
be carried out in accordance with the State plan described in
this subsection;
``(ii) carry out the evaluation requirements of section
1431;
``(iii) ensure that the State agencies receiving subgrants
under this subpart comply with all applicable statutory and
regulatory requirements; and
``(iv) provide such other information as the Secretary may
reasonably require.
``(3) Duration of the plan.--Each such State plan shall--
``(A) remain in effect for the duration of the State's
participation under this part; and
``(B) be periodically reviewed and revised by the State, as
necessary, to reflect changes in the State's strategies and
programs under this part.
``(b) Secretarial Approval and Peer Review.--
``(1) Secretarial approval.--The Secretary shall approve
each State plan that meets the requirements of this subpart.
``(2) Peer review.--The Secretary may review any State plan
with the assistance and advice of individuals with relevant
expertise.
``(c) State Agency Applications.--Any State agency that
desires to receive funds to carry out a program under this
subpart shall submit an application to the State educational
agency that--
``(1) describes the procedures to be used, consistent with
the State plan under section 1111, to assess the educational
needs of the children to be served under this subpart;
``(2) provide an assurance that in making services
available to children and youth in adult correctional
institutions, priority will be given to such children and
youth who are likely to complete incarceration within a 2-
year period;
``(3) describes the program, including a budget for the
first year of the program, with annual updates to be provided
to the State educational agency;
``(4) describes how the program will meet the goals and
objectives of the State plan;
``(5) describes how the State agency will consult with
experts and provide the necessary training for appropriate
staff, to ensure that the planning and operation of
institution-wide projects under section 1416 are of high
quality;
``(6) describes how the State agency will carry out the
evaluation requirements of section 9601 and how the results
of the most recent evaluation will be used to plan and
improve the program;
``(7) includes data showing that the State agency has
maintained the fiscal effort required of a local educational
agency, in accordance with section 9521;
``(8) describes how the programs will be coordinated with
other appropriate State and Federal programs, such as
programs under title I of Public Law 105-220, vocational and
technical education programs, State and local dropout
prevention programs, and special education programs;
``(9) describes how the State agency will encourage
correctional facilities receiving funds under this subpart to
coordinate with local educational agencies or alternative
education programs attended by incarcerated children and
youth prior to their incarceration to ensure that student
assessments and appropriate academic records are shared
jointly between the correctional facility and the local
educational agency or alternative education program;
``(10) describes how appropriate professional development
will be provided to teachers and other staff;
``(11) designates an individual in each affected
correctional facility or institution for neglected or
delinquent children and youth to be responsible for issues
relating to the transition of children and youth from such
facility or institution to locally operated programs;
``(12) describes how the State agency will endeavor to
coordinate with businesses for training and mentoring for
participating children and youth;
``(13) provides an assurance that the State agency will
assist in locating alternative programs through which
students can continue their education if the students are not
returning to school after leaving the correctional facility
or institution for neglected or delinquent children and
youth;
``(14) provides assurances that the State agency will work
with parents to secure parents' assistance in improving the
educational achievement of their children and youth, and
preventing their children's and youth's further involvement
in delinquent activities;
``(15) provides an assurance that the State agency will
work with children and youth with disabilities in order to
meet an existing individualized education program and an
assurance that the agency will notify the child's or youth's
local school if the child or youth--
``(A) is identified as in need of special education
services while the child or youth is in the correctional
facility or institution for neglected or delinquent children
and youth; and
``(B) intends to return to the local school;
``(16) provides an assurance that the State agency will
work with children and youth who dropped out of school before
entering the correctional facility or institution for
neglected or delinquent children and youth to encourage the
children and youth to reenter school once the term of the
incarceration is completed or provide the child or youth with
the skills necessary to gain employment, continue the
education of the child or youth, or achieve a secondary
school diploma or its recognized equivalent if the child or
youth does not intend to return to school;
``(17) provides an assurance that teachers and other
qualified staff are trained to work with children and youth
with disabilities and other students with special needs
taking into consideration the unique needs of such students;
``(18) describes any additional services to be provided to
children and youth, such as career

[[Page H9815]]

counseling, distance learning, and assistance in securing
student loans and grants; and
``(19) provides an assurance that the program under this
subpart will be coordinated with any programs operated under
the Juvenile Justice and Delinquency Prevention Act of 1974
(42 U.S.C. 5601 et seq.) or other comparable programs, if
applicable.

``SEC. 1415. USE OF FUNDS.

``(a) Uses.--
``(1) In general.--A State agency shall use funds received
under this subpart only for programs and projects that--
``(A) are consistent with the State plan under section
1414(a); and
``(B) concentrate on providing participants with the
knowledge and skills needed to make a successful transition
to secondary school completion, vocational or technical
training, further education, or employment.
``(2) Programs and projects.--Such programs and projects--
``(A) may include the acquisition of equipment;
``(B) shall be designed to support educational services
that--
``(i) except for institution-wide projects under section
1416, are provided to children and youth identified by the
State agency as failing, or most at-risk of failing, to meet
the State's challenging academic content standards and
student academic achievement standards;
``(ii) supplement and improve the quality of the
educational services provided to such children and youth by
the State agency; and
``(iii) afford such children and youth an opportunity to
meet challenging State academic achievement standards;
``(C) shall be carried out in a manner consistent with
section 1120A and part I (as applied to programs and projects
under this part); and
``(D) may include the costs of meeting the evaluation
requirements of section 9601.
``(b) Supplement, Not Supplant.--A program under this
subpart that supplements the number of hours of instruction
students receive from State and local sources shall be
considered to comply with the supplement, not supplant
requirement of section 1120A (as applied to this part)
without regard to the subject areas in which instruction is
given during those hours.

``SEC. 1416. INSTITUTION-WIDE PROJECTS.

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

``SEC. 1417. THREE-YEAR PROGRAMS OR PROJECTS.

``If a State agency operates a program or project under
this subpart in which individual children or youth are likely
to participate for more than 1 year, the State educational
agency may approve the State agency's application for a
subgrant under this subpart for a period of not more than 3
years.

``SEC. 1418. TRANSITION SERVICES.

``(a) Transition Services.--Each State agency shall reserve
not less than 15 percent and not more than 30 percent of the
amount such agency receives under this subpart for any fiscal
year to support--
``(1) projects that facilitate the transition of children
and youth from State-operated institutions to schools served
by local educational agencies; or
``(2) the successful reentry of youth offenders, who are
age 20 or younger and have received a secondary school
diploma or its recognized equivalent, into postsecondary
education, or vocational and technical training programs,
through strategies designed to expose the youth to, and
prepare the youth for, postsecondary education, or vocational
and technical training programs, such as--
``(A) preplacement programs that allow adjudicated or
incarcerated youth to audit or attend courses on college,
university, or community college campuses, or through
programs provided in institutional settings;
``(B) worksite schools, in which institutions of higher
education and private or public employers partner to create
programs to help students make a successful transition to
postsecondary education and employment; and
``(C) essential support services to ensure the success of
the youth, such as--
``(i) personal, vocational and technical, and academic,
counseling;
``(ii) placement services designed to place the youth in a
university, college, or junior college program;
``(iii) information concerning, and assistance in
obtaining, available student financial aid;
``(iv) counseling services; and
``(v) job placement services.
``(b) Conduct of Projects.--A project supported under this
section may be conducted directly by the State agency, or
through a contract or other arrangement with one or more
local educational agencies, other public agencies, or private
nonprofit organizations.
``(c) Rule of Construction.--Nothing in this section shall
be construed to prohibit a school that receives funds under
subsection (a) from serving neglected and delinquent children
and youth simultaneously with students with similar
educational needs, in the same educational settings where
appropriate.

``SEC. 1419. EVALUATION; TECHNICAL ASSISTANCE; ANNUAL MODEL
PROGRAM.

``The Secretary may reserve not more than 2.5 percent of
the amount made available to carry out this subpart for a
fiscal year--
``(1) to develop a uniform model to evaluate the
effectiveness of programs assisted under this subpart; and
``(2) to provide technical assistance to and support the
capacity building of State agency programs assisted under
this subpart.

``Subpart 2--Local Agency Programs

``SEC. 1421. PURPOSE.

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

``SEC. 1422. PROGRAMS OPERATED BY LOCAL EDUCATIONAL AGENCIES.

``(a) Local Subgrants.--With funds made available under
section 1402(b), the State educational agency shall award
subgrants to local educational agencies with high numbers or
percentages of children and youth residing in locally
operated (including county operated) correctional facilities
for children and youth (including facilities involved in
community day programs).
``(b) Special Rule.--A local educational agency that serves
a school operated by a correctional facility is not required
to operate a program of support for children and youth
returning from such school to a school that is not operated
by a correctional agency but served by such local educational
agency, if more than 30 percent of the children and youth
attending the school operated by the correctional facility
will reside outside the boundaries served by the local
educational agency after leaving such facility.
``(c) Notification.--A State educational agency shall
notify local educational agencies within the State of the
eligibility of such agencies to receive a subgrant under this
subpart.
``(d) Transitional and Academic Services.--Transitional and
supportive programs operated in local educational agencies
under this subpart shall be designed primarily to meet the
transitional and academic needs of students returning to
local educational agencies or alternative education programs
from correctional facilities. Services to students at-risk of
dropping out of school shall not have a negative impact on
meeting the transitional and academic needs of the students
returning from correctional facilities.

``SEC. 1423. LOCAL EDUCATIONAL AGENCY APPLICATIONS.

``Each local educational agency desiring assistance under
this subpart shall submit an application to the State
educational agency that contains such information as the
State educational agency may require. Each such application
shall include--
``(1) a description of the program to be assisted;
``(2) a description of formal agreements, regarding the
program to be assisted, between--
``(A) the local educational agency; and
``(B) correctional facilities and alternative school
programs serving children and youth involved with the
juvenile justice system;
``(3) as appropriate, a description of how participating
schools will coordinate with facilities working with
delinquent children and youth to ensure that such children
and youth are participating in an education program
comparable to one operating in the local school such youth
would attend;
``(4) a description of the program operated by
participating schools for children and youth returning from
correctional facilities and, as appropriate, the types of
services that such schools will provide such children and
youth and other at-risk children and youth;

[[Page H9816]]

``(5) a description of the characteristics (including
learning difficulties, substance abuse problems, and other
special needs) of the children and youth who will be
returning from correctional facilities and, as appropriate,
other at-risk children and youth expected to be served by the
program, and a description of how the school will coordinate
existing educational programs to meet the unique educational
needs of such children and youth;
``(6) as appropriate, a description of how schools will
coordinate with existing social, health, and other services
to meet the needs of students returning from correctional
facilities, at-risk children or youth, and other
participating children or youth, including prenatal health
care and nutrition services related to the health of the
parent and the child or youth, parenting and child
development classes, child care, targeted reentry and
outreach programs, referrals to community resources, and
scheduling flexibility;
``(7) as appropriate, a description of any partnerships
with local businesses to develop training, curriculum-based
youth entrepreneurship education, and mentoring services for
participating students;
``(8) as appropriate, a description of how the program will
involve parents in efforts to improve the educational
achievement of their children, assist in dropout prevention
activities, and prevent the involvement of their children in
delinquent activities;
``(9) a description of how the program under this subpart
will be coordinated with other Federal, State, and local
programs, such as programs under title I of Public Law 105-
220 and vocational and technical education programs serving
at-risk children and youth;
``(10) a description of how the program will be coordinated
with programs operated under the Juvenile Justice and
Delinquency Prevention Act of 1974 and other comparable
programs, if applicable;
``(11) as appropriate, a description of how schools will
work with probation officers to assist in meeting the needs
of children and youth returning from correctional facilities;
``(12) a description of the efforts participating schools
will make to ensure correctional facilities working with
children and youth are aware of a child's or youth's existing
individualized education program; and
``(13) as appropriate, a description of the steps
participating schools will take to find alternative
placements for children and youth interested in continuing
their education but unable to participate in a regular public
school program.

``SEC. 1424. USES OF FUNDS.

``Funds provided to local educational agencies under this
subpart may be used, as appropriate, for--
``(1) programs that serve children and youth returning to
local schools from correctional facilities, to assist in the
transition of such children and youth to the school
environment and help them remain in school in order to
complete their education;
``(2) dropout prevention programs which serve at-risk
children and youth, including pregnant and parenting teens,
children and youth who have come in contact with the juvenile
justice system, children and youth at least 1 year behind
their expected grade level, migrant youth, immigrant youth,
students with limited English proficiency, and gang members;
``(3) the coordination of health and social services for
such individuals if there is a likelihood that the provision
of such services, including day care, drug and alcohol
counseling, and mental health services, will improve the
likelihood such individuals will complete their education;
``(4) special programs to meet the unique academic needs of
participating children and youth, including vocational and
technical education, special education, career counseling,
curriculum-based youth entrepreneurship education, and
assistance in securing student loans or grants for
postsecondary education; and
``(5) programs providing mentoring and peer mediation.

``SEC. 1425. PROGRAM REQUIREMENTS FOR CORRECTIONAL FACILITIES
RECEIVING FUNDS UNDER THIS SECTION.

``Each correctional facility entering into an agreement
with a local educational agency under section 1423(2) to
provide services to children and youth under this subpart
shall--
``(1) where feasible, ensure that educational programs in
the correctional facility are coordinated with the student's
home school, particularly with respect to a student with an
individualized education program under part B of the
Individuals with Disabilities Education Act;
``(2) if the child or youth is identified as in need of
special education services while in the correctional
facility, notify the local school of the child or youth of
such need;
``(3) where feasible, provide transition assistance to help
the child or youth stay in school, including coordination of
services for the family, counseling, assistance in accessing
drug and alcohol abuse prevention programs, tutoring, and
family counseling;
``(4) provide support programs that encourage children and
youth who have dropped out of school to reenter school once
their term at the correctional facility has been completed,
or provide such children and youth with the skills necessary
to gain employment or seek a secondary school diploma or its
recognized equivalent;
``(5) work to ensure that the correctional facility is
staffed with teachers and other qualified staff who are
trained to work with children and youth with disabilities
taking into consideration the unique needs of such children
and youth;
``(6) ensure that educational programs in the correctional
facility are related to assisting students to meet high
academic achievement standards;
``(7) to the extent possible, use technology to assist in
coordinating educational programs between the correctional
facility and the community school;
``(8) where feasible, involve parents in efforts to improve
the educational achievement of their children and prevent the
further involvement of such children in delinquent
activities;
``(9) coordinate funds received under this subpart with
other local, State, and Federal funds available to provide
services to participating children and youth, such as funds
made available under title I of Public Law 105-220, and
vocational and technical education funds;
``(10) coordinate programs operated under this subpart with
activities funded under the Juvenile Justice and Delinquency
Prevention Act of 1974 and other comparable programs, if
applicable; and
``(11) if appropriate, work with local businesses to
develop training, curriculum-based youth entrepreneurship
education, and mentoring programs for children and youth.

``SEC. 1426. ACCOUNTABILITY.

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

``Subpart 3--General Provisions

``SEC. 1431. PROGRAM EVALUATIONS.

``(a) Scope of Evaluation.--Each State agency or local
educational agency that conducts a program under subpart 1 or
2 shall evaluate the program, disaggregating data on
participation by gender, race, ethnicity, and age, not less
than once every 3 years, to determine the program's impact on
the ability of participants--
``(1) to maintain and improve educational achievement;
``(2) to accrue school credits that meet State requirements
for grade promotion and secondary school graduation;
``(3) to make the transition to a regular program or other
education program operated by a local educational agency;
``(4) to complete secondary school (or secondary school
equivalency requirements) and obtain employment after leaving
the correctional facility or institution for neglected or
delinquent children and youth; and
``(5) as appropriate, to participate in postsecondary
education and job training programs.
``(b) Exception.--The disaggregation required under
subsection (a) shall not be required in a case in which the
number of students in a category is insufficient to yield
statistically reliable information or the results would
reveal personally identifiable information about an
individual student.
``(c) Evaluation Measures.--In conducting each evaluation
under subsection (a), a State agency or local educational
agency shall use multiple and appropriate measures of student
progress.
``(d) Evaluation Results.--Each State agency and local
educational agency shall--
``(1) submit evaluation results to the State educational
agency and the Secretary; and
``(2) use the results of evaluations under this section to
plan and improve subsequent programs for participating
children and youth.

``SEC. 1432. DEFINITIONS.

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

``PART E--NATIONAL ASSESSMENT OF TITLE I

``SEC. 1501. EVALUATIONS.

``(a) National Assessment of Title I.--
``(1) In general.--The Secretary shall conduct a national
assessment of the programs assisted under this title and the
impact of this title on States, local educational agencies,
schools, and students.

[[Page H9817]]

``(2) Issues to be examined.--In conducting the assessment
under this subsection, the Secretary shall examine, at a
minimum, the following:
``(A) The implementation of programs assisted under this
title and the impact of such implementation on increasing
student academic achievement (particularly in schools with
high concentrations of children living in poverty), relative
to the goal of all students reaching the proficient level of
achievement based on State academic assessments, challenging
State academic content standards, and challenging State
student academic achievement standards under section 1111.
``(B) The types of programs and services that have
demonstrated the greatest likelihood of helping students
reach the proficient and advanced levels of achievement based
on State student academic achievement standards and State
academic content standards.
``(C) The implementation of State academic standards,
assessments, and accountability systems developed under this
title, including--
``(i) the time and cost required for the development of
academic assessments for students in grades 3 through 8;
``(ii) how well such State assessments meet the
requirements for assessments described in this title; and
``(iii) the impact of such standards, assessments, and
accountability systems on educational programs and
instruction at the local level.
``(D) Each State's definition of adequate yearly progress,
including--
``(i) the impact of applying this definition to schools,
local educational agencies, and the States;
``(ii) the number of schools and local educational agencies
not meeting this definition; and
``(iii) the changes in the identification of schools in
need of improvement as a result of such definition.
``(E) How schools, local educational agencies, and States
have--
``(i) publicized and disseminated the local educational
agency report cards required under section 1111(b) to
teachers, school staff, students, parents, and the community;
``(ii) used funds made available under this title to
provide preschool and family literacy services and the impact
of these services on students' school readiness;
``(iii) implemented the provisions of section 1118 and
afforded parents meaningful opportunities to be involved in
the education of their children;
``(iv) used Federal, State, and local educational agency
funds and resources to support schools and provide technical
assistance to improve the achievement of students in low-
performing schools, including the impact of the technical
assistance on such achievement; and
``(v) used State educational agency and local educational
agency funds and resources to help schools in which 50
percent or more of the students are from families with
incomes below the poverty line meet the requirement described
in section 1119 of having all teachers highly qualified not
later than the end of the 2005-2006 school year
``(F) The implementation of schoolwide programs and
targeted assistance programs under this title and the impact
of such programs on improving student academic achievement,
including the extent to which schools meet the requirements
of such programs.
``(G) The extent to which varying models of comprehensive
school reform are funded and implemented under this title,
and the effect of the implementation of such models on
improving achievement of disadvantaged students.
``(H) The costs as compared to the benefits of the
activities assisted under this title.
``(I) The extent to which actions authorized under section
1116 are implemented by State educational agencies and local
educational agencies to improve the academic achievement of
students in low-performing schools, and the effectiveness of
the implementation of such actions, including the
following:
``(i) The number of schools identified for school
improvement and how many years the schools remain in this
status.
``(ii) The types of support provided by the State
educational agencies and local educational agencies to
schools and local educational agencies respectively
identified as in need of improvement, and the impact of such
support on student achievement.
``(iii) The number of parents who take advantage of the
public school choice provisions of this title, the costs
(including transportation costs) associated with implementing
these provisions, the implementation of these provisions, and
the impact of these provisions (including the impact of
attending another school) on student achievement.
``(iv) The number of parents who choose to take advantage
of the supplemental services option, the criteria used by the
States to determine the quality of providers, the kinds of
services that are available and utilized, the costs
associated with implementing this option, and the impact of
receiving supplemental services on student achievement.
``(v) The implementation and impact of actions that are
taken with regard to schools and local educational agencies
identified for corrective action and restructuring.
``(J) The extent to which State and local fiscal accounting
requirements under this title affect the flexibility of
schoolwide programs.
``(K) The implementation and impact of the professional
development activities assisted under this title and title II
on instruction, student academic achievement, and teacher
qualifications.
``(L) The extent to which the assistance made available
under this title, including funds under section 1002, is
targeted to disadvantaged students, schools, and local
educational agencies with the greatest need.
``(M) The effectiveness of Federal administration
assistance made available under this title, including
monitoring and technical assistance.
``(N) The academic achievement of the groups of students
described in section 1111(b)(2)(C)(v)(II).
``(O) Such other issues as the Secretary considers
appropriate.
``(3) Sources of information.--In conducting the assessment
under this subsection, the Secretary shall use information
from a variety of sources, including the National Assessment
of Educational Progress (carried out under section 411 of the
National Education Statistics Act of 1994), State
evaluations, and other research studies.
``(4) Coordination.--In carrying out this subsection, the
Secretary shall--
``(A) coordinate the national assessment under this
subsection with the longitudinal study described in
subsection (c); and
``(B) ensure that the independent review panel described in
subsection (d) participates in conducting the national
assessment under this subsection, including planning for and
reviewing the assessment.
``(5) Developmentally appropriate measures.--In conducting
the national assessment under this subsection, the Secretary
shall use developmentally appropriate measures to assess
student academic achievement.
``(6) Reports.--
``(A) Interim report.--Not later than 3 years after the
date of enactment of the No Child Left Behind Act of 2001,
the Secretary shall transmit to the President, the Committee
on Education and the Workforce of the House of
Representatives, and the Committee on Health, Education,
Labor, and Pensions of the Senate an interim report on the
national assessment conducted under this subsection.
``(B) Final report.--Not later than 5 years after the date
of enactment of the No Child Left Behind Act of 2001, the
Secretary shall transmit to the President, the Committee on
Education and the Workforce of the House of Representatives,
and the Committee on Health, Education, Labor, and Pensions
of the Senate a final report on the national assessment
conducted under this subsection.
``(b) Studies and Data Collection.--
``(1) In general.--In addition to other activities
described in this section, the Secretary may, directly or
through awarding grants to or entering into contracts with
appropriate entities--
``(A) assess the implementation and effectiveness of
programs under this title;
``(B) collect the data necessary to comply with the
Government Performance and Results Act of 1993; and
``(C) provide guidance and technical assistance to State
educational agencies and local educational agencies in
developing and maintaining management information systems
through which such agencies may develop program performance
indicators to improve services and performance.
``(2) Minimum information.--In carrying out this
subsection, the Secretary shall collect, at a minimum, trend
information on the effect of each program authorized under
this title, which shall complement the data collected and
reported under subsections (a) and (c).
``(c) National Longitudinal Study.--
``(1) In general.--The Secretary shall conduct a
longitudinal study of schools receiving assistance under part
A.
``(2) Issues to be examined.--In carrying out this
subsection, the Secretary shall ensure that the study
referred to in paragraph (1) provides Congress and educators
with each of the following:
``(A) An accurate description and analysis of the short-
and long-term effect of the assistance made available under
this title on academic achievement.
``(B) Information that can be used to improve the
effectiveness of the assistance made available under this
title in enabling students to meet challenging academic
achievement standards.
``(C) An analysis of educational practices or model
programs that are effective in improving the achievement of
disadvantaged children.
``(D) An analysis of the costs as compared to the benefits
of the assistance made available under this title in
improving the achievement of disadvantaged children.
``(E) An analysis of the effects of the availability of
school choice options under section 1116 on the academic
achievement of disadvantaged students, on schools in school
improvement, and on schools from which students have
transferred under such options.
``(F) Such other information as the Secretary considers
appropriate.
``(3) Scope.--In conducting the study referred to in
paragraph (1), the Secretary shall ensure that the study--
``(A) bases its analysis on a nationally representative
sample of schools participating in programs under this title;
``(B) to the extent practicable, includes in its analysis
students who transfer to different schools during the course
of the study; and
``(C) analyzes varying models or strategies for delivering
school services, including--
``(i) schoolwide and targeted services; and
``(ii) comprehensive school reform models.
``(d) Independent Review Panel.--
``(1) In general.--The Secretary shall establish an
independent review panel (in this subsection referred to as
the `Review Panel') to advise the Secretary on methodological
and other issues that arise in carrying out subsections (a)
and (c).
``(2) Appointment of members.--
``(A) In general.--Subject to subparagraph (B), the
Secretary shall appoint members of the Review Panel from
among qualified individuals who are--

[[Page H9818]]

``(i) specialists in statistics, evaluation, research, and
assessment;
``(ii) education practitioners, including teachers,
principals, and local and State superintendents;
``(iii) parents and members of local school boards or other
organizations involved with the implementation and operation
of programs under this title; and
``(iv) other individuals with technical expertise who will
contribute to the overall rigor and quality of the program
evaluation.
``(B) Limitations.--In appointing members of the Review
Panel, the Secretary shall ensure that--
``(i) in order to ensure diversity, the Review Panel
includes individuals appointed under subparagraph (A)(i) who
represent disciplines or programs outside the field of
education; and
``(ii) the total number of the individuals appointed under
subparagraph (A)(ii) or (A)(iv) does not exceed \1/4\ of the
total number of the individuals appointed under this
paragraph.
``(3) Functions.--The Review Panel shall consult with and
advise the Secretary--
``(A) to ensure that the assessment conducted under
subsection (a) and the study conducted under subsection (c)--
``(i) adhere to the highest possible standards of quality
with respect to research design, statistical analysis, and
the dissemination of findings; and
``(ii) use valid and reliable measures to document program
implementation and impacts; and
``(B) to ensure--
``(i) that the final report described in subsection
(a)(6)(B) is reviewed not later than 120 days after its
completion by not less than 2 independent experts in program
evaluation (who may be from among the members of the Review
Panel appointed under paragraph (2));
``(ii) that such experts evaluate and comment on the degree
to which the report complies with subsection (a); and
``(iii) that the comments of such experts are transmitted
with the report under subsection (a)(6)(B).

``SEC. 1502. DEMONSTRATIONS OF INNOVATIVE PRACTICES.

``(a) In General.--From the funds appropriated for any
fiscal year under section 1002(e)(1), the Secretary may award
grants to State educational agencies, local educational
agencies, other public agencies, nonprofit organizations,
public or private partnerships involving business and
industry organizations, and consortia of such entities to
carry out demonstration projects that show the most promise
of enabling children served under this title to meet
challenging State academic content standards and challenging
State student academic achievement standards.
``(b) Evaluation.--The Secretary shall evaluate the
demonstration projects supported under this title, using
rigorous methodological designs and techniques, including
control groups and random assignment, to the extent feasible,
to produce reliable evidence of effectiveness.
``(c) Partnerships.--From funds appropriated under section
1002(e)(1) for any fiscal year, the Secretary may, directly
or through grants or contracts, work in partnership with
State educational agencies, local educational agencies, other
public agencies, and nonprofit organizations to disseminate
and use the highest quality research and knowledge about
effective practices to improve the quality of teaching and
learning in schools assisted under this title.

``SEC. 1503. ASSESSMENT EVALUATION.

``(a) In General.--The Secretary shall conduct an
independent study of assessments used for State
accountability purposes and for making decisions about the
promotion and graduation of students. Such research shall be
conducted over a period not to exceed 5 years and shall
address the components described in subsection (d).
``(b) Contract Authorized.--The Secretary is authorized to
award a contract, through a peer review process, to an
organization or entity capable of conducting rigorous,
independent research. The Assistant Secretary of Educational
Research and Improvement shall appoint peer reviewers to
evaluate the applications for this contract.
``(c) Study.--The study shall--
``(1) synthesize and analyze existing research that meets
standards of quality and scientific rigor; and
``(2) evaluate academic assessment and accountability
systems in State educational agencies, local educational
agencies, and schools; and
``(3) make recommendations to the Department and to the
Committee on Education and the Workforce of the United States
House of Representatives and the Committee on Health,
Education, Labor, and Pensions of the United States Senate,
based on the findings of the study.
``(d) Components of the Research Program.--The study
described in subsection (a) shall examine--
``(1) the effect of the assessment and accountability
systems described in section (c) on students, teachers,
parents, families, schools, school districts, and States,
including correlations between such systems and--
``(A) student academic achievement, progress to the State-
defined level of proficiency, and progress toward closing
achievement gaps, based on independent measures;
``(B) changes in course offerings, teaching practices,
course content, and instructional material;
``(C) changes in turnover rates among teachers, principals,
and pupil-services personnel;
``(D) changes in dropout, grade-retention, and graduation
rates for students; and
``(E) such other effects as may be appropriate;
``(2) the effect of the academic assessments on students
with disabilities;
``(3) the effect of the academic assessments on low,
middle, and high socioeconomic status students, limited and
nonlimited English proficient students, racial and ethnic
minority students, and nonracial or nonethnic minority
students;
``(4) guidelines for assessing the validity, reliability,
and consistency of those systems using nationally recognized
professional and technical standards; and
``(5) the relationship between accountability systems and
the inclusion or exclusion of students from the assessment
system; and
``(6) such other factors as the Secretary finds
appropriate.
``(d) Reporting.--Not later than 3 years after the contract
described in section (b) is awarded, the organization or
entity conducting the study shall submit an interim report to
the Committee on Education and the Workforce of the United
States House of Representatives and the Committee on Health,
Education, Labor and Pensions of the United States
Senate. Congress, and to the President and the States, and
shall make the report widely available to the public. The
organization or entity shall submit a final report to the
same recipients as soon as possible after the completion
of the study. Additional reports may be periodically
prepared and released as necessary.
``(e) Reservation of Funds.--The Secretary may reserve up
to 15 percent of the funds authorized to be appropriated for
this part to carry out the study, except such reservation of
funds shall not exceed $1,500,000.

``SEC. 1504. CLOSE UP FELLOWSHIP PROGRAM.

``(a) Program for Middle School and Secondary School
Students.--
``(1) Establishment.--
``(A) General authority.--In accordance with this
subsection, the Secretary may make grants to the Close Up
Foundation of Washington, District of Columbia, a
nonpartisan, nonprofit foundation, for the purpose of
assisting the Close Up Foundation in carrying out its
programs of increasing civic responsibility and understanding
of the Federal Government among middle school and secondary
school students.
``(B) Use of funds.--Grants under this subsection shall be
used only to provide financial assistance to economically
disadvantaged students who participate in the programs
described in subparagraph (A).
``(C) Name of fellowships.--Financial assistance received
by students pursuant to this subsection shall be known as
Close Up fellowships.
``(2) Applications.--
``(A) Application required.--No grant under this subsection
may be made except upon an application at such time, in such
manner, and accompanied by such information as the Secretary
may reasonably require.
``(B) Contents of application.--Each application submitted
under this paragraph shall contain assurances that--
``(i) Close Up fellowships provided under this subsection
shall be made to economically disadvantaged middle school and
secondary school students;
``(ii) every effort shall be made to ensure the
participation of students from rural, small town, and urban
areas;
``(iii) in awarding the fellowships to economically
disadvantaged students, special consideration shall be given
to the participation of those students with special
educational needs, including students with disabilities,
ethnic minority students, and students with migrant parents;
and
``(iv) the funds received under this subsection shall be
properly disbursed.
``(b) Program for Middle School and Secondary School
Teachers.--
``(1) Establishment.--
``(A) General authority.--In accordance with this
subsection, the Secretary may make grants to the Close Up
Foundation of Washington, District of Columbia, a
nonpartisan, nonprofit foundation, for the purpose of
assisting the Close Up Foundation in carrying out its
programs of professional development for middle school and
secondary school teachers and its programs to increase civic
responsibility and understanding of the Federal Government
among the teachers' students.
``(B) Use of funds.--Grants under this subsection shall be
used only to provide financial assistance to teachers who
participate in the programs described in subparagraph (A).
``(C) Name of fellowships.--Financial assistance received
by teachers pursuant to this subsection shall be known as
Close Up fellowships.
``(2) Applications.--
``(A) Application required.--No grant under this subsection
may be made except upon an application at such time, in such
manner, and accompanied by such information as the Secretary
may reasonably require.
``(B) Contents of application.--Each application submitted
under this paragraph shall contain assurances that--
``(i) Close Up fellowships provided under this subsection
shall be made only to a teacher who has worked with at least
1 student from such teacher's school who participates in a
program described in subsection (a)(1)(A);
``(ii) no teacher shall receive more than 1 such fellowship
in any fiscal year; and
``(iii) the funds received under this subsection shall be
properly disbursed.
``(c) Programs for New Americans.--
``(1) Establishment.--
``(A) General authority.--In accordance with this
subsection, the Secretary may make grants to the Close Up
Foundation of Washington, District of Columbia, a
nonpartisan, nonprofit foundation, for the purpose of
assisting the Close Up Foundation in carrying out its

[[Page H9819]]

programs of increasing civic responsibility and understanding
of the Federal Government among economically disadvantaged
middle school and secondary school recent immigrant students.
``(B) Definition.--In this subsection, the term `recent
immigrant student' means a student who is a member of a
family that immigrated to the United States within 5 years of
the student's participation in such a program.
``(C) Use of funds.--Grants under this subsection shall be
used only to provide financial assistance to economically
disadvantaged recent immigrant students and their teachers
who participate in the programs described in subparagraph
(A).
``(D) Name of fellowships.--Financial assistance received
by students and teachers pursuant to this subsection shall be
known as Close Up Fellowships for New Americans.
``(2) Applications.--
``(A) Application required.--No grant under this subsection
may be made except upon an application at such time, in such
manner, and accompanied by such information as the Secretary
may reasonably require.
``(B) Contents of application.--Each application submitted
under this paragraph shall contain assurances that--
``(i) Close Up Fellowships for New Americans shall be made
to economically disadvantaged middle school and secondary
school recent immigrant students;
``(ii) every effort shall be made to ensure the
participation of recent immigrant students from rural, small
town, and urban areas;
``(iii) in awarding the fellowships to economically
disadvantaged recent immigrant students, special
consideration shall be given to the participation of those
students with special educational needs, including students
with disabilities, students with migrant parents, and ethnic
minority students;
``(iv) fully describe the activities to be carried out with
the proceeds of the grant made under paragraph (1); and
``(v) the funds received under this subsection shall be
properly disbursed.
``(d) General Provisions.--
``(1) Administrative provisions.--
``(A) Accountability.--In consultation with the Secretary,
the Close Up Foundation shall devise and implement procedures
to measure the efficacy of the programs authorized in
subsections (a), (b), and (c) in attaining objectives that
include the following:
``(i) Providing young people with an increased
understanding of the Federal Government.
``(ii) Heightening a sense of civic responsibility among
young people.
``(iii) Enhancing the skills of educators in teaching young
people about civic responsibility, the Federal Government,
and attaining citizenship competencies.
``(B) General rule.--Payments under this section may be
made in installments, in advance, or by way of reimbursement,
with necessary adjustments on account of underpayments or
overpayments.
``(C) Audit rule.--The Comptroller General of the United
States or any of the Comptroller General's duly authorized
representatives shall have access for the purpose of audit
and examination to any books, documents, papers, and records
that are pertinent to any grant under this section.
``(2) Continuation of awards.--Notwithstanding any other
provision of this Act, any person or entity that was awarded
a grant under part G of title X before the date of enactment
of the No Child Left Behind Act of 2001 shall continue to
receive funds in accordance with the terms of such award
until the date on which the award period terminates under
such terms.

``PART F--COMPREHENSIVE SCHOOL REFORM

``SEC. 1601. PURPOSE.

``The purpose of this part is to provide financial
incentives for schools to develop comprehensive school
reforms, based upon scientifically based research and
effective practices that include an emphasis on basic
academics and parental involvement so that all children can
meet challenging State academic content and academic
achievement standards.

``SEC. 1602. PROGRAM AUTHORIZATION.

``(a) Program Authorized.--
``(1) In general.--The Secretary is authorized to award
grants to State educational agencies, from allotments under
paragraph (2), to enable the State educational agencies to
award subgrants to local educational agencies to carry out
the purpose described in section 1601.
``(2) Allotments.--
``(A) Reservations.--Of the amount appropriated under
section 1002(f), the Secretary may reserve--
``(i) not more than 1 percent for each fiscal year to
provide assistance to schools supported by the Bureau of
Indian Affairs and in the United States Virgin Islands, Guam,
American Samoa, and the Commonwealth of the Northern Mariana
Islands according to their respective needs for assistance
under this part;
``(ii) not more than 1 percent for each fiscal year to
conduct national evaluation activities described in section
1607; and
``(iii) not more than 3 percent of the amount appropriated
in fiscal year 2002 to carry out this part, for quality
initiatives described in section 1608.
``(B) In general.--Of the amount appropriated under section
1002(f) that remains after making the reservation under
subparagraph (A) for a fiscal year, the Secretary shall allot
to each State for the fiscal year an amount that bears the
same ratio to the remainder for that fiscal year as the
amount made available under section 1124 to the State for the
preceding fiscal year bears to the total amount made
available under section 1124 to all States for that year.
``(C) Reallotment.--If a State does not apply for funds
under this section, the Secretary shall reallot such funds to
other States that do apply in proportion to the amount
allotted to such other States under subparagraph (B).

``SEC. 1603. STATE APPLICATIONS.

``(a) In General.--Each State educational agency that
desires to receive a grant under this section shall submit an
application to the Secretary at such time, in such manner,
and containing such information as the Secretary may
reasonably require.
``(b) Contents.--Each such application shall describe--
``(1) the process and selection criteria by which the State
educational agency, using expert review, will select local
educational agencies to receive subgrants under this section;
``(2) how the State educational agency will ensure that
funds under this part are limited to comprehensive school
reform programs that--
``(A) include each of the components described in section
1606(a);
``(B) have the capacity to improve the academic achievement
of all students in core academic subjects within
participating schools; and
``(C) are supported by technical assistance providers that
have a successful track record, financial stability, and the
capacity to deliver high quality materials, professional
development for school personnel, and on-site support during
the full implementation period of the reforms;
``(3) how the State educational agency will disseminate
materials and information on comprehensive school reforms
that are based on scientifically based research and effective
practices;
``(4) how the State educational agency will evaluate
annually the implementation of such reforms and measure the
extent to which the reforms have resulted in increased
student academic achievement; and
``(5) how the State educational agency will provide
technical assistance to the local educational agency or
consortia of local educational agencies, and to participating
schools, in evaluating, developing, and implementing
comprehensive school reform.

``SEC. 1604. STATE USE OF FUNDS.

``(a) In General.--Except as provided in subsection (e), a
State educational agency that receives a grant under this
part shall use the grant funds to award subgrants, on a
competitive basis, to local educational agencies or consortia
of local educational agencies in the State that receive funds
under part A, to support comprehensive school reforms in
schools that are eligible for funds under part A.
``(b) Subgrant Requirements.--A subgrant to a local
educational agency or consortium shall be--
``(1) of sufficient size and scope to support the initial
costs of comprehensive school reforms selected or designed by
each school identified in the application of the local
educational agency or consortium;
``(2) in an amount not less than $50,000--
``(A) for each participating school; or
``(B) for each participating consortium of small schools
(which for purposes of this subparagraph means a consortium
of small schools serving a total of not more than 500
students); and
``(3) renewable for 2 additional 1-year subgrant periods
after the initial 1-year subgrant is made if the school is or
the schools are making substantial progress in the
implementation of reforms.
``(c) Priority.--A State educational agency, in awarding
subgrants under this part, shall give priority to local
educational agencies or consortia that--
``(1) plan to use the funds in schools identified as being
in need of improvement or corrective action under section
1116(c); and
``(2) demonstrate a commitment to assist schools with
budget allocation, professional development, and other
strategies necessary to ensure the comprehensive school
reforms are properly implemented and are sustained in the
future.
``(d) Grant Consideration.--In awarding subgrants under
this part, the State educational agency shall take into
consideration the equitable distribution of subgrants to
different geographic regions within the State, including
urban and rural areas, and to schools serving elementary and
secondary students.
``(e) Administrative Costs.--A State educational agency
that receives a grant under this part may reserve not more
than 5 percent of the grant funds for administrative,
evaluation, and technical assistance expenses.
``(f) Supplement.--Funds made available under this part
shall be used to supplement, and not supplant, any other
Federal, State, or local funds that would otherwise be
available to carry out the activities assisted under this
part.
``(g) Reporting.--Each State educational agency that
receives a grant under this part shall provide to the
Secretary such information as the Secretary may require,
including the names of local educational agencies and schools
receiving assistance under this part, the amount of the
assistance, a description of the comprehensive school reforms
selected and used, and a copy of the State's annual
evaluation of the implementation of comprehensive school
reforms supported under this part and the student achievement
results.

``SEC. 1605. LOCAL APPLICATIONS.

``(a) In General.--Each local educational agency or
consortium of local educational agencies desiring a subgrant
under this section shall submit an application to the State
educational agency at such time, in such manner, and
containing such information as the State educational agency
may reasonably require.

[[Page H9820]]

``(b) Contents.--Each such application shall--
``(1) identify the schools that are eligible for assistance
under part A and plan to implement a comprehensive school
reform program, including the projected costs of such a
program;
``(2) describe the comprehensive school reforms based on
scientifically based research and effective practices that
such schools will implement;
``(3) describe how the local educational agency or
consortium will provide technical assistance and support for
the effective implementation of the comprehensive school
reforms based on scientifically based research and effective
practices selected by such schools; and
``(4) describe how the local educational agency or
consortium will evaluate the implementation of such
comprehensive school reforms and measure the results achieved
in improving student academic achievement.

``SEC. 1606. LOCAL USE OF FUNDS.

``(a) Uses of Funds.--A local educational agency or
consortium that receives a subgrant under this part shall
provide the subgrant funds to schools that are eligible for
assistance under part A and served by the agency, to enable
the schools to implement a comprehensive school reform
program that--
``(1) employs proven strategies and proven methods for
student learning, teaching, and school management that are
based on scientifically based research and effective
practices and have been replicated successfully in schools;
``(2) integrates a comprehensive design for effective
school functioning, including instruction, assessment,
classroom management, professional development, parental
involvement, and school management, that aligns the school's
curriculum, technology, and professional development into a
comprehensive school reform plan for schoolwide change
designed to enable all students to meet challenging State
content and student academic achievement standards and
addresses needs identified through a school needs assessment;
``(3) provides high quality and continuous teacher and
staff professional development;
``(4) includes measurable goals for student academic
achievement and benchmarks for meeting such goals;
``(5) is supported by teachers, principals, administrators,
school personnel staff, and other professional staff;
``(6) provides support for teachers, principals,
administrators, and other school staff;
``(7) provides for the meaningful involvement of parents
and the local community in planning, implementing, and
evaluating school improvement activities consistent with
section 1118;
``(8) uses high quality external technical support and
assistance from an entity that has experience and expertise
in schoolwide reform and improvement, which may include an
institution of higher education;
``(9) includes a plan for the annual evaluation of the
implementation of school reforms and the student results
achieved;
``(10) identifies other resources, including Federal,
State, local, and private resources, that shall be used to
coordinate services that will support and sustain the
comprehensive school reform effort; and
``(11)(A) has been found, through scientifically based
research to significantly improve the academic achievement of
students participating in such program as compared to
students in schools who have not participated in such
program; or
``(B) has been found to have strong evidence that such
program will significantly improve the academic achievement
of participating children.
``(b) Special Rule.--A school that receives funds to
develop a comprehensive school reform program shall not be
limited to using nationally available approaches, but may
develop the school's own comprehensive school reform program
for schoolwide change as described in subsection (a).

``SEC. 1607. EVALUATION AND REPORTS.

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

``SEC. 1608. QUALITY INITIATIVES.

``The Secretary, through grants or contracts, shall provide
funds for--
``(1) a public-private effort, in which funds are matched
by private organizations, to assist States, local educational
agencies, and schools, in making informed decisions regarding
approving or selecting providers of comprehensive school
reform, consistent with the requirements described in section
1606(a); and
``(2) activities to foster the development of comprehensive
school reform models and to provide effective capacity
building for comprehensive school reform providers to expand
their work in more schools, assure quality, and promote
financial stability.

``PART G--ADVANCED PLACEMENT PROGRAMS

``SEC. 1701. SHORT TITLE.

``This part may be cited as the `Access to High Standards
Act'.

``SEC. 1702. PURPOSES.

The purposes of this part are--
``(1) to support State and local efforts to raise academic
standards through advanced placement programs, and thus
further increase the number of students who participate and
succeed in advanced placement programs;
``(2) to encourage more of the 600,000 students who take
advanced placement courses each year but do not take advanced
placement exams each year, to demonstrate their achievements
through taking the exams;
``(3) to build on the many benefits of advanced placement
programs for students, which benefits may include the
acquisition of skills that are important to many employers,
Scholastic Aptitude Test (SAT) scores that are 100 points
above the national averages, and the achievement of better
grades in secondary school and in college than the grades of
students who have not participated in the programs;
``(4) to increase the availability and broaden the range of
schools, including middle schools, that have advanced
placement and pre-advanced placement programs;
``(5) to demonstrate that larger and more diverse groups of
students can participate and succeed in advanced placement
programs;
``(6) to provide greater access to advanced placement and
pre-advanced placement courses and highly trained teachers
for low-income and other disadvantaged students;
``(7) to provide access to advanced placement courses for
secondary school students at schools that do not offer
advanced placement programs, increase the rate at
which secondary school students participate in advanced
placement courses, and increase the numbers of students
who receive advanced placement test scores for which
college academic credit is awarded;
``(8) to increase the participation of low-income
individuals in taking advanced placement tests through the
payment or partial payment of the costs of the advanced
placement test fees; and
``(9) to increase the number of individuals that achieve a
baccalaureate or advanced degree, and to decrease the amount
of time such individuals require to attain such degrees.

``SEC. 1703. FUNDING DISTRIBUTION RULE.

``From amounts appropriated under section 1002(g) for a
fiscal year, the Secretary shall give priority to funding
activities under section 1704 and shall distribute any
remaining funds under section 1705.

``SEC. 1704. ADVANCED PLACEMENT TEST FEE PROGRAM.

``(a) Grants Authorized.--From amounts made available under
section 1703 for a fiscal year, the Secretary shall award
grants to State educational agencies having applications
approved under this section to enable the State educational
agencies to reimburse low-income individuals to cover part or
all of the costs of advanced placement test fees, if the low-
income individuals--
``(1) are enrolled in an advanced placement course; and
``(2) plan to take an advanced placement test.
``(b) Award Basis.--In determining the amount of the grant
awarded to a State educational agency under this section for
a fiscal year, the Secretary shall consider the number of
children eligible to be counted under section 1124(c) in the
State in relation to the number of such children so counted
in all the States.
``(c) Information Dissemination.--A State educational
agency awarded a grant under this section shall disseminate
information regarding the availability of advanced placement
test fee payments under this section to eligible individuals
through secondary school teachers and guidance counselors.
``(d) Applications.--Each State educational agency desiring
to receive a grant under this section shall submit an
application to the Secretary at such time, in such manner,
and accompanied by such information as the Secretary may
require. At a minimum, each State educational agency
application shall--
``(1) describe the advanced placement test fees the State
educational agency will pay on behalf of low-income
individuals in the State from grant funds awarded under this
section;
``(2) provide an assurance that any grant funds awarded
under this section shall be used only to pay for advanced
placement test fees; and
``(3) contain such information as the Secretary may require
to demonstrate that the State educational agency will ensure
that a student is eligible for payments authorized under this
section, including documentation required under chapter 1 of
subpart 2 of part A of title IV of the Higher Education Act
of 1965.
``(e) Regulations.--The Secretary shall prescribe such
regulations as are necessary to carry out this section.
``(f) Report.--
``(1) In general.--Each State educational agency awarded a
grant under this section shall, with respect to each advanced
placement subject, annually report to the Secretary on--
``(A) the number of students in the State who are taking an
advanced placement course in that subject;
``(B) the number of advanced placement tests taken by
students in the State who have taken an advanced placement
course in that subject;
``(C) the number of students in the State scoring at
different levels on advanced placement tests in that subject;
and
``(D) demographic information regarding individuals in the
State taking advanced placement courses and tests in that
subject disaggregated by race, ethnicity, sex, English
proficiency status, and socioeconomic status.
``(2) Report to congress.--The Secretary shall annually
compile the information received from each State educational
agency under paragraph (1) and report to the appropriate
Committees of Congress regarding the information.

[[Page H9821]]

``(g) BIA as SEA.--For purposes of this section the Bureau
of Indian Affairs shall be treated as a State educational
agency.

``SEC. 1705. ADVANCED PLACEMENT INCENTIVE PROGRAM GRANTS.

``(a) Grants authorized.--
``(1) In general.--From amounts made available under
section 1703 for a fiscal year, the Secretary shall award
grants, on a competitive basis, to eligible entities to
enable those entities to carry out the authorized activities
described in subsection (d).
``(2) Duration and payments.--
``(A) Duration.--The Secretary shall award a grant under
this section for a period of not more than 3 years.
``(B) Payments.--The Secretary shall make grant payments
under this section on an annual basis.
``(3) Definition of eligible entity.--In this section, the
term `eligible entity' means a State educational agency,
local educational agency, or national nonprofit educational
entity with expertise in advanced placement services.
``(b) Application.--Each eligible entity desiring a grant
under this section shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information as the Secretary may require.
``(c) Priority.--In awarding grants under this section, the
Secretary shall give priority to an eligible entity that
submits an application under subsection (b) that--
``(1) demonstrates a pervasive need for access to advanced
placement incentive programs;
``(2) provides for the involvement of business and
community organizations in the activities to be assisted;
``(3) assures the availability of matching funds from
State, local, or other sources to pay for the cost of
activities to be assisted;
``(4) demonstrates a focus on developing or expanding
advanced placement programs and participation in the core
academic areas of English, mathematics, and science;
``(5) demonstrates an intent to carry out activities that
target--
``(A) local educational agencies serving schools with a
high concentration of low-income students; or
``(B) schools with a high concentration of low-income
students; and
``(6) in the case of a local educational agency, assures
that the local educational agency serves schools with a high
concentration of low-income students; or
``(7) demonstrates an intent to carry out activities to
increase the availability of, and participation in, on-line
advanced placement courses.
``(d) Authorized Activities.--
``(1) In general.--Subject to paragraph (2), an eligible
entity shall use grant funds made available under this
section to expand access for low-income individuals to
advanced placement incentive programs that involve--
``(A) teacher training;
``(B) pre-advanced placement course development;
``(C) coordination and articulation between grade levels to
prepare students for academic achievement in advanced
placement courses;
``(D) books and supplies; or
``(E) activities to increase the availability of, and
participation in, on-line advanced placement courses; or
``(F) any other activity directly related to expanding
access to and participation in advanced placement incentive
programs, particularly for low-income individuals.
``(2) State educational agency.--In the case of an eligible
entity that is a State educational agency, the entity may use
grant funds made available under this section to award
subgrants to local educational agencies to enable the local
educational agencies to carry out the activities under
paragraph (1).
``(e) Contracts.--An eligible entity awarded a grant to
provide online advanced placement courses under this part may
enter into a contract with a nonprofit or for profit
organization to provide the online advanced placement
courses, including contracting for necessary support
services.
``(f) Data Collection and Reporting.--
``(1) Data collection.--Each eligible entity awarded a
grant under this section shall, with respect to each advanced
placement subject, annually report to the Secretary on--
``(A) the number of students served by the eligible entity
who are taking an advanced placement course in that subject;
``(B) the number of advanced placement tests taken by
students served by the eligible entity in that subject;
``(C) the number of students served by the eligible entity
scoring at different levels on advanced placement tests in
that subject; and
``(D) demographic information regarding individuals served
by such agency who taking advanced placement courses and
tests in that subject disaggregated by race, ethnicity, sex,
English proficiency status, and socioeconomic status.
``(2) Report.--The Secretary shall annually compile the
information received from each eligible entity under
paragraph (1) and report to the appropriate Committees of
Congress regarding the information.

``SEC. 1706. SUPPLEMENT, NOT SUPPLANT.

Grant funds provided under this part shall supplement, and
not supplant, other non-Federal funds that are available to
assist low-income individuals to pay for the cost of advanced
placement test fees or to expand access to advanced placement
and pre-advanced placement courses.

``SEC. 1707. DEFINITIONS.

``In this part:
``(1) Advanced placement test.--The term `advanced
placement test' means an advanced placement test administered
by the College Board or approved by the Secretary.
``(2) High concentration of low-income students.--The term
`high concentration of low-income students', used with
respect to a school, means a school that serves a student
population 40 percent or more of whom are low-income
individuals.
``(3) Low-income individual.--The term `low-income
individual' means an individual who is determined by a State
educational agency or local educational agency to be a child,
ages 5 through 17, from a low-income family, on the basis of
data used by the Secretary to determine allocations under
section 1124 of this Act, data on children eligible for free
or reduced-price lunches under the National School Lunch Act,
data on children in families receiving assistance under part
A of title IV of the Social Security Act, or data on children
eligible to receive medical assistance under the medicaid
program under title XIX of the Social Security Act, or
through an alternate method that combines or extrapolates
from those data.

``PART H--SCHOOL DROPOUT PREVENTION

``SEC. 1801. SHORT TITLE.

``This part may be cited as the `Dropout Prevention Act'.

``SEC. 1802. PURPOSE.

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

``SEC. 1803. AUTHORIZATION OF APPROPRIATIONS.

``For the purpose of carrying out this part, there are
authorized to be appropriated $125,000,000 for fiscal year
2002 and such sums as may be necessary for each of the 5
succeeding fiscal years, of which--
``(1) 10 percent shall be available to carry out subpart 1
for each fiscal year; and
``(2) 90 percent shall be available to carry out subpart 2
for each fiscal year.

``Subpart 1--Coordinated National Strategy

``SEC. 1811. NATIONAL ACTIVITIES.

``(a) In General.--The Secretary is authorized--
``(1) to collect systematic data on the effectiveness of
the programs assisted under this part in reducing school
dropout rates and increasing school reentry and secondary
school graduation rates;
``(2) to establish a national clearinghouse of information
on effective school dropout prevention and reentry programs
that shall disseminate to State educational agencies, local
educational agencies, and schools--
``(A) the results of research on school dropout prevention
and reentry; and
``(B) information on effective programs, best practices,
and Federal resources to--
``(i) reduce annual school dropout rates;
``(ii) increase school reentry; and
``(iii) increase secondary school graduation rates;
``(3) to provide technical assistance to State educational
agencies, local educational agencies, and schools in
designing and implementing programs and securing resources to
implement effective school dropout prevention and reentry
programs;
``(4) to establish and consult with an interagency working
group that shall--
``(A) address inter- and intra-agency program coordination
issues at the Federal level with respect to school dropout
prevention and reentry, and assess the targeting of existing
Federal services to students who are most at risk of dropping
out of school, and the cost-effectiveness of various programs
and approaches used to address school dropout prevention and
reentry;
``(B) describe the ways in which State educational agencies
and local educational agencies can implement effective school
dropout prevention and reentry programs using funds from a
variety of Federal programs, including the programs under
this part; and
``(C) examine Federal programs that may have a positive
impact on secondary school graduation or school reentry;
``(5) to carry out a national recognition program in
accordance with subsection (b) that recognizes schools that
have made extraordinary progress in lowering school dropout
rates; and
``(6) to use funds made available for this subpart to carry
out the evaluation required under section 1830(c).
``(b) Recognition Program.--
``(1) Establishment.--The Secretary shall--
``(A) establish a national recognition program; and
``(B) develop uniform national guidelines for the
recognition program that shall be used to recognize eligible
schools from nominations submitted by State educational
agencies.
``(2) Recognition.--The Secretary shall recognize, under
the recognition program established under paragraph (1),
eligible schools.
``(3) Support.--The Secretary may make monetary awards to
an eligible school recognized under this subsection in
amounts determined appropriate by the Secretary that shall be
used for dissemination activities within the eligible school
district or nationally.
``(4) Definition of eligible school.--In this subsection,
the term `eligible school' means a public middle school or
secondary school, including a charter school, that has
implemented comprehensive reforms that have been effective in
lowering school dropout rates for all students--
``(A) in that secondary school or charter school; or

[[Page H9822]]

``(B) in the case of a middle school, in the secondary
school that the middle school feeds students into.
``(c) Capacity Building.--
``(1) In general.--The Secretary, through a contract with 1
or more non-Federal entities, may conduct a capacity building
and design initiative in order to increase the types of
proven strategies for school dropout prevention and reentry
that address the needs of an entire school population rather
than a subset of students.
``(2) Number and duration.--
``(A) Number.--The Secretary may award not more than 5
contracts under this subsection.
``(B) Duration.--The Secretary may award a contract under
this subsection for a period of not more than 5 years.
``(d) Support for Existing Reform Networks.--
``(1) In general.--The Secretary may provide appropriate
support to eligible entities to enable the eligible entities
to provide training, materials, development, and staff
assistance to schools assisted under this part.
``(2) Definition of eligible entity.--In this subsection,
the term `eligible entity' means an entity that, prior to the
date of enactment of the Dropout Prevention Act--
``(A) provided training, technical assistance, and
materials related to school dropout prevention or reentry to
100 or more elementary schools or secondary schools; and
``(B) developed and published a specific educational
program or design related to school dropout prevention or
reentry for use by the schools.

``Subpart 2--School Dropout Prevention Initiative

``SEC. 1821. DEFINITIONS.

``In this subpart:
``(1) Low-income student.--The term `low-income student'
means a student who is determined by a local educational
agency to be from a low-income family using the measures
described in section 1113(c).
``(2) State.--The term `State' means each of the several
States of the United States, the District of Columbia, the
Commonwealth of Puerto Rico, the United States Virgin
Islands, Guam, American Samoa, the Commonwealth of the
Northern Mariana Islands, and the Bureau of Indian Affairs
for purposes of serving schools funded by the Bureau.

``SEC. 1822. PROGRAM AUTHORIZED.

``(a) Grants to State Educational Agencies and Local
Educational Agencies.--
``(1) Amount less than $75,000,000.--
``(A) In general.--If the amount appropriated under section
1803 for a fiscal year equals or is less than $75,000,000,
then the Secretary shall use such amount to award grants, on
a competitive basis, to--
``(i) State educational agencies to support activities--

``(I) in schools that--

``(aa) serve students in grades 6 through 12; and
``(bb) have annual school dropout rates that are above the
State average annual school dropout rate; or

``(II) in the middle schools that feed students into the
schools described in subclause (I); or

``(ii) local educational agencies that operate--

``(I) schools that--

``(aa) serve students in grades 6 through 12; and
``(bb) have annual school dropout rates that are above the
State average annual school dropout rate; or

``(II) middle schools that feed students into the schools
described in subclause (I).

``(B) Use of grant funds.--Grant funds awarded under this
paragraph shall be used to fund effective, sustainable, and
coordinated school dropout prevention and reentry programs
that may include the activities described in subsection
(b)(2), in--
``(i) schools serving students in grades 6 through 12 that
have annual school dropout rates that are above the State
average annual school dropout rate; or
``(ii) the middle schools that feed students into the
schools described in clause (i).
``(2) Amount less than $250,000,000 but more than
$75,000,000.--If the amount appropriated under section 1803
for a fiscal year is less than $250,000,000 but more than
$75,000,000, then the Secretary shall use such amount to
award grants, on a competitive basis, to State educational
agencies to enable the State educational agencies to award
subgrants under subsection (b).
``(3) Amount equal to or exceeds $250,000,000.--If the
amount appropriated under section 1803 for a fiscal year
equals or exceeds $250,000,000, then the Secretary shall use
such amount to award a grant to each State educational agency
in an amount that bears the same relation to such
appropriated amount as the amount the State educational
agency received under part A for the preceding fiscal year
bears to the amount received by all State educational
agencies under such part for the preceding fiscal year, to
enable the State educational agency to award subgrants under
subsection (b).
``(b) Subgrants to Local Educational Agencies.--
``(1) In general.--From amounts made available to a State
educational agency under paragraph (2) or (3) of subsection
(a), the State educational agency shall award subgrants, on a
competitive basis, to local educational agencies that operate
public schools that serve students in grades 6 through 12 and
that have annual school dropout rates that are above the
State average annual school dropout rate, to enable those
schools, or the middle schools that feed students into those
schools, to implement effective, sustainable, and coordinated
school dropout prevention and reentry programs that involve
activities such as--
``(A) professional development;
``(B) obtaining curricular materials;
``(C) release time for professional staff to obtain
professional development;
``(D) planning and research;
``(E) remedial education;
``(F) reduction in pupil-to-teacher ratios;
``(G) efforts to meet State student academic achievement
standards;
``(H) counseling and mentoring for at-risk students;
``(I) implementing comprehensive school reform models, such
as creating smaller learning communities; and
``(J) school reentry activities.
``(2) Amount.--Subject to paragraph (3), a subgrant under
this subpart shall be awarded--
``(A) in the first year that a local educational agency
receives a subgrant payment under this subpart, in an amount
that is based on factors such as--
``(i) the size of schools operated by the local educational
agency;
``(ii) costs of the model or set of prevention and reentry
strategies being implemented; and
``(iii) local cost factors such as poverty rates;
``(B) in the second year, in an amount that is not less
than 75 percent of the amount the local educational agency
received under this subpart in the first such year;
``(C) in the third year, in an amount that is not less than
50 percent of the amount the local educational agency
received under this subpart in the first such year; and
``(D) in each succeeding year, in an amount that is not
less than 30 percent of the amount the local educational
agency received under this subpart in the first year.
``(3) Duration.--A subgrant under this subpart shall be
awarded for a period of 3 years, and may be continued for a
period of 2 additional years if the State educational agency
determines, based on the annual reports described in section
1830(a), that significant progress has been made in lowering
the annual school dropout rate for secondary schools
participating in the program assisted under this subpart.

``SEC. 1823. APPLICATIONS.

``(a) In General.--To receive--
``(1) a grant under this subpart, a State educational
agency or local educational agency shall submit an
application and plan to the Secretary at such time, in such
manner, and accompanied by such information as the Secretary
may reasonably require; and
``(2) a subgrant under this subpart, a local educational
agency shall submit an application and plan to the State
educational agency at such time, in such manner, and
accompanied by such information as the State educational
agency may reasonably require.
``(b) Contents.--
``(1) State educational agency and local educational
agency.--Each application and plan submitted under subsection
(a) shall--
``(A) include an outline--
``(i) of the State educational agency's or local
educational agency's strategy for reducing the State
educational agency or local educational agency's annual
school dropout rate;
``(ii) for targeting secondary schools, and the middle
schools that feed students into those secondary schools, that
have the highest annual school dropout rates; and
``(iii) for assessing the effectiveness of the efforts
described in the plan;
``(B) contain an identification of the schools in the State
or operated by the local educational agency that have annual
school dropout rates that are greater than the average annual
school dropout rate for the State;
``(C) describe the instructional strategies to be
implemented, how the strategies will serve all students, and
the effectiveness of the strategies;
``(D) describe a budget and timeline for implementing the
strategies;
``(E) contain evidence of coordination with existing
resources;
``(F) provide an assurance that funds provided under this
subpart will supplement, and not supplant, other State and
local funds available for school dropout prevention and
reentry programs; and
``(G) describe how the activities to be assisted conform
with research knowledge about school dropout prevention and
reentry.
``(2) Local educational agency.--Each application and plan
submitted under subsection (a) by a local educational agency
shall contain, in addition to the requirements of paragraph
(1)--
``(A) an assurance that the local educational agency is
committed to providing ongoing operational support for such
schools to address the problem of school dropouts for a
period of 5 years; and
``(B) an assurance that the local educational agency will
support the plan, including--
``(i) provision of release time for teacher training;
``(ii) efforts to coordinate activities for secondary
schools and the middle schools that feed students into those
secondary schools; and
``(iii) encouraging other schools served by the local
educational agency to participate in the plan.

``SEC. 1824. STATE RESERVATION.

``A State educational agency that receives a grant under
paragraph (2) or (3) of section 1822(a) may reserve not more
than 5 percent of the grant funds for administrative costs
and State activities related to school dropout prevention and
reentry activities, of which not more than 2 percent of the
grant funds may be used for administrative costs.

``SEC. 1825. STRATEGIES AND CAPACITY BUILDING.

``Each local educational agency receiving a grant or
subgrant under this subpart and each State educational agency
receiving a grant

[[Page H9823]]

under this subpart shall implement scientifically based,
sustainable, and widely replicated strategies for school
dropout prevention and reentry. The strategies may include--
``(1) specific strategies for targeted purposes, such as--
``(A) effective early intervention programs designed to
identify at-risk students;
``(B) effective programs serving at-risk students,
including racial and ethnic minorities and pregnant and
parenting teenagers, designed to prevent such students from
dropping out of school; and
``(C) effective programs to identify and encourage youth
who have already dropped out of school to reenter school and
complete their secondary education; and
``(2) approaches such as breaking larger schools down into
smaller learning communities and other comprehensive reform
approaches, creating alternative school programs, and
developing clear linkages to career skills and employment.

``SEC. 1826. SELECTION OF LOCAL EDUCATIONAL AGENCIES FOR
SUBGRANTS.

``(a) State Educational Agency Review and Award.--The State
educational agency shall review applications submitted under
section 1823(a)(2) and award subgrants to local educational
agencies with the assistance and advice of a panel of experts
on school dropout prevention and reentry.
``(b) Eligibility.--A local educational agency is eligible
to receive a subgrant under this subpart if the local
educational agency operates a public school (including a
public alternative school)--
``(1) that is eligible to receive assistance under part A;
and
``(2)(A) that serves students 50 percent or more of whom
are low-income students; or
``(B) in which a majority of the students come from feeder
schools that serve students 50 percent or more of whom are
low-income students.

``SEC. 1827. COMMUNITY BASED ORGANIZATIONS.

``A local educational agency that receives a grant or
subgrant under this subpart and a State educational agency
that receives a grant under this subpart may use the funds to
secure necessary services from a community-based organization
or other government agency if the funds are used to provide
school dropout prevention and reentry activities related to
schoolwide efforts.

``SEC. 1828. TECHNICAL ASSISTANCE.

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

``SEC. 1829. SCHOOL DROPOUT RATE CALCULATION.

``For purposes of calculating an annual school dropout rate
under this subpart, a school shall use the annual event
school dropout rate for students leaving a school in a single
year determined in accordance with the National Center for
Education Statistics' Common Core of Data.

``SEC. 1830. REPORTING AND ACCOUNTABILITY.

``(a) Local Educational Agency Reports.--
``(1) In general.--To receive funds under this subpart for
a fiscal year after the first fiscal year that a local
educational agency receives funds under this subpart, the
local educational agency shall provide, on an annual basis, a
report regarding the status of the implementation of
activities funded under this subpart, and the dropout data
for students at schools assisted under this subpart,
disaggregated by race and ethnicity, to the--
``(A) Secretary, if the local educational agency receives a
grant under section 1822(a)(1); or
``(B) State educational agency, if the local educational
agency receives a subgrant under paragraph (2) or (3) of
section 1822(a).
``(2) Dropout data.--The dropout data under paragraph (1)
shall include annual school dropout rates for each fiscal
year, starting with the 2 fiscal years before the local
educational agency received funds under this subpart.
``(b) State Report on Program Activities.--Each State
educational agency receiving funds under this subpart shall
provide to the Secretary, at such time and in such format as
the Secretary may require, information on the status of the
implementation of activities funded under this subpart and
outcome data for students in schools assisted under this
subpart.
``(c) Accountability.--The Secretary shall evaluate the
effect of the activities assisted under this subpart on
school dropout prevention compared, if feasible, to a control
group using control procedures. The Secretary may use funds
appropriated for subpart 1 to carry out this evaluation.

``PART I--GENERAL PROVISIONS

``SEC. 1901. FEDERAL REGULATIONS.

``(a) In General.--The Secretary may issue such regulations
as are necessary to reasonably ensure that there is
compliance with this title.
``(b) Negotiated Rulemaking Process.--
``(1) In general.--Before publishing in the Federal
Register proposed regulations to carry out this title, the
Secretary shall obtain the advice and recommendations of
representatives of Federal, State, and local administrators,
parents, teachers, paraprofessionals, and members of local
school boards and other organizations involved with the
implementation and operation of programs under this title.
``(2) Meetings and electronic exchange.--Such advice and
recommendations may be obtained through such mechanisms as
regional meetings and electronic exchanges of information.
``(3) Proposed regulations.--After obtaining such advice
and recommendations, and before publishing proposed
regulations, the Secretary shall--
``(A) establish a negotiated rulemaking process on, at a
minimum, standards and assessments;
``(B) select individuals to participate in such process
from among individuals or groups that provided advice and
recommendations, including representation from all geographic
regions of the United States, in such numbers as will provide
an equitable balance between representatives of parents and
students and representatives of educators and education
officials; and
``(C) prepare a draft of proposed policy options that shall
be provided to the individuals selected by the Secretary
under subparagraph (B) not less than 15 days before the first
meeting under such process.
``(4) Process.--Such process--
``(A) shall be conducted in a timely manner to ensure that
final regulations are issued by the Secretary not later than
1 year after the date of enactment of the No Child Left
Behind Act of 2001; and
``(B) shall not be subject to the Federal Advisory
Committee Act, but shall otherwise follow the provisions of
the Negotiated Rulemaking Act of 1990 (5 U.S.C. 561 et seq.).
``(5) Emergency situation.--In an emergency situation in
which regulations to carry out this title must be issued
within a very limited time to assist State educational
agencies and local educational agencies with the operation of
a program under this title, the Secretary may issue proposed
regulations without following such process but shall,
immediately thereafter and before issuing final regulations,
conduct regional meetings to review such proposed
regulations.
``(c) Limitation.--Regulations to carry out this part may
not require local programs to follow a particular
instructional model, such as the provision of services
outside the regular classroom or school program.

``SEC. 1902. AGREEMENTS AND RECORDS.

``(a) Agreements.--All published proposed regulations shall
conform to agreements that result from negotiated rulemaking
described in section 1901 unless the Secretary reopens the
negotiated rulemaking process or provides a written
explanation to the participants involved in the process
explaining why the Secretary decided to depart from, and not
adhere to, such agreements.
``(b) Records.--The Secretary shall ensure that an accurate
and reliable record of agreements reached during the
negotiations process is maintained.

``SEC. 1903. STATE ADMINISTRATION.

``(a) Rulemaking.--
``(1) In general.--Each State that receives funds under
this title shall--
``(A) ensure that any State rules, regulations, and
policies relating to this title conform to the purposes of
this title and provide any such proposed rules, regulations,
and policies to the committee of practitioners created under
subsection (b) for review and comment;
``(B) minimize such rules, regulations, and policies to
which the State's local educational agencies and schools are
subject;
``(C) eliminate or modify State and local fiscal accounting
requirements in order to facilitate the ability of schools to
consolidate funds under schoolwide programs; and
``(D) identify any such rule, regulation, or policy as a
State-imposed requirement.
``(2) Support and facilitation.--State rules, regulations,
and policies under this title shall support and facilitate
local educational agency and school-level systemic reform
designed to enable all children to meet the challenging State
student academic achievement standards.
``(b) Committee of Practitioners.--
``(1) In general.--Each State educational agency that
receives funds under this title shall create a State
committee of practitioners to advise the State in carrying
out its responsibilities under this title.
``(2) Membership.--Each such committee shall include--
``(A) as a majority of its members, representatives from
local educational agencies;
``(B) administrators, including the administrators of
programs described in other parts of this title;
``(C) teachers, including vocational educators;
``(D) parents;
``(E) members of local school boards;
``(F) representatives of private school children; and
``(G) pupil services personnel.
``(3) Duties.--The duties of such committee shall include a
review, before publication, of any proposed or final State
rule or regulation pursuant to this title. In an emergency
situation where such rule or regulation must be issued within
a very limited time to assist local educational agencies with
the operation of the program under this title, the State
educational agency may issue a regulation without prior
consultation, but shall immediately thereafter convene the
State committee of practitioners to review the emergency
regulation before issuance in final form.

``SEC. 1904. LOCAL EDUCATIONAL AGENCY SPENDING AUDITS.

``(a) Audits.--The Comptroller General of the United States
shall conduct audits of not less than 6 local educational
agencies that receive funds under part A in each fiscal year
to determine more clearly and specifically how local
educational agencies are expending such funds. Such audits--
``(1) shall be conducted in 6 local educational agencies
that represent the size, ethnic, economic, and geographic
diversity of local educational agencies; and
``(2) shall examine the extent to which funds have been
expended for academic instruction in the core curriculum and
activities unrelated to academic instruction in the core
curriculum, such as the payment of janitorial, utility, and
other maintenance services, the purchase and

[[Page H9824]]

lease of vehicles, and the payment for travel and attendance
costs at conferences.
``(b) Report.--Not later than 3 months after the completion
of the audits under subsection (a) each year, the Comptroller
General of the United States shall submit a report on each
audit to the Committee on Education and the Workforce of the
House of Representatives and the Committee on Health,
Education, Labor and Pensions of the Senate.

``SEC. 1905. PROHIBITION AGAINST FEDERAL MANDATES, DIRECTION,
OR CONTROL.

``Nothing in this title shall be construed to authorize an
officer or employee of the Federal Government to mandate,
direct, or control a State, local educational agency, or
school's specific instructional content, academic achievement
standards and assessments, curriculum, or program of
instruction.

``SEC. 1906. RULE OF CONSTRUCTION ON EQUALIZED SPENDING.

``Nothing in this title shall be construed to mandate
equalized spending per pupil for a State, local educational
agency, or school.

``SEC. 1907. STATE REPORT ON DROPOUT DATA.

``Not later than 1 year after a State educational agency
receives funds under this title, the agency shall report to
the Secretary and statewide, all school district data
regarding annual school dropout rates in the State
disaggregated by race and ethnicity according to procedures
that conform with the National Center for Education
Statistics' Common Core of Data.

``SEC. 1908. REGULATIONS FOR SECTIONS 1111 AND 1116.

``The Secretary shall issue regulations for sections 1111
and 1116 not later than 6 months after the date of enactment
of the No Child Left Behind Act of 2001.''.
TITLE II--PREPARING, TRAINING, AND RECRUITING HIGH QUALITY TEACHERS AND
PRINCIPALS

SEC. 201. TEACHER AND PRINCIPAL TRAINING AND RECRUITING FUND.

Title II (20 U.S.C. 6601 et seq.) is amended to read as
follows:
``TITLE II--PREPARING, TRAINING, AND RECRUITING HIGH QUALITY TEACHERS
AND PRINCIPALS

``PART A--TEACHER AND PRINCIPAL TRAINING AND RECRUITING FUND

``SEC. 2101. PURPOSE.

``The purpose of this part is to provide grants to State
educational agencies, local educational agencies, State
agencies for higher education, and eligible partnerships in
order to--
``(1) increase student academic achievement through
strategies such as improving teacher and principal quality
and increasing the number of highly qualified teachers in the
classroom and highly qualified principals and assistant
principals in schools; and
``(2) hold local educational agencies and schools
accountable for improvements in student academic achievement.

``SEC. 2102. DEFINITIONS.

``In this part:
``(1) Arts and sciences.--The term `arts and sciences'
means--
``(A) when referring to an organizational unit of an
institution of higher education, any academic unit that
offers one or more academic majors in disciplines or content
areas corresponding to the academic subjects in which
teachers teach; and
``(B) when referring to a specific academic subject, the
disciplines or content areas in which an academic major is
offered by an organizational unit described in subparagraph
(A).
``(2) Charter school.--The term `charter school' has the
meaning given the term in section 5210.
``(3) High-need local educational agency.--The term `high-
need local educational agency' means a local educational
agency--
``(A)(i) that serves not fewer than 10,000 children from
families with incomes below the poverty line; or
``(ii) for which not less than 20 percent of the children
served by the agency are from families with incomes below the
poverty line; and
``(B)(i) for which there is a high percentage of teachers
not teaching in the academic subjects or grade levels that
the teachers were trained to teach; or
``(ii) for which there is a high percentage of teachers
with emergency, provisional, or temporary certification or
licensing.
``(4) Highly qualified paraprofessional.--The term `highly
qualified paraprofessional' means a paraprofessional who has
not less than 2 years of--
``(A) experience in a classroom; and
``(B) postsecondary education or demonstrated competence in
a field or academic subject for which there is a significant
shortage of qualified teachers.
``(5) Out-of-field teacher.--The term `out-of-field
teacher' means a teacher who is teaching an academic subject
or a grade level for which the teacher is not highly
qualified.
``(6) Principal.--The term `principal' includes an
assistant principal.

``SEC. 2103. AUTHORIZATIONS OF APPROPRIATIONS.

``(a) Grants to States, Local Educational Agencies, and
Eligible Partnerships.--There are authorized to be
appropriated to carry out this part (other than subpart 5)
$3,175,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.
``(b) National Programs.--There are authorized to be
appropriated to carry out subpart 5 such sums as may be
necessary for fiscal year 2002 and each of the 5 succeeding
fiscal years.

``Subpart 1--Grants to States

``SEC. 2111. ALLOTMENTS TO STATES.

``(a) In General.--The Secretary shall make grants to
States with applications approved under section 2112 to pay
for the Federal share of the cost of carrying out the
activities specified in section 2113. Each grant shall
consist of the allotment determined for a State under
subsection (b).
``(b) Determination of Allotments.--
``(1) Reservation of funds.--
``(A) In general.--From the total amount appropriated under
section 2103(a) for a fiscal year, the Secretary shall
reserve--
``(i) \1/2\ of 1 percent for allotments for the United
States Virgin Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands, to be
distributed among those outlying areas on the basis of their
relative need, as determined by the Secretary, in accordance
with the purpose of this part; and
``(ii) \1/2\ of 1 percent for the Secretary of the Interior
for programs under this part in schools operated or funded by
the Bureau of Indian Affairs.
``(2) State allotments.--
``(A) Hold harmless.--
``(i) In general.--Subject to subparagraph (B), from the
funds appropriated under section 2103(a) for any fiscal year
and not reserved under paragraph (1), the Secretary shall
allot to each of the 50 States, the District of Columbia, and
the Commonwealth of Puerto Rico an amount equal to the total
amount that such State received for fiscal year 2001 under--

``(I) section 2202(b) of this Act (as in effect on the day
before the date of enactment of the No Child Left Behind Act
of 2001); and
``(II) section 306 of the Department of Education
Appropriations Act, 2001 (as enacted into law by section
1(a)(1) of Public Law 106-554).

``(ii) Ratable reduction.--If the funds described in clause
(i) are insufficient to pay the full amounts that all States
are eligible to receive under clause (i) for any fiscal year,
the Secretary shall ratably reduce those amounts for the
fiscal year.
``(B) Allotment of additional funds.--
``(i) In general.--Subject to clause (ii), for any fiscal
year for which the funds appropriated under section 2103(a)
and not reserved under paragraph (1) exceed the total amount
required to make allotments under subparagraph (A), the
Secretary shall allot to each of the States described in
subparagraph (A) the sum of--

``(I) an amount that bears the same relationship to 35
percent of the excess amount as the number of individuals age
5 through 17 in the State, as determined by the Secretary on
the basis of the most recent satisfactory data, bears to the
number of those individuals in all such States, as so
determined; and
``(II) an amount that bears the same relationship to 65
percent of the excess amount as the number of individuals age
5 through 17 from families with incomes below the poverty
line, in the State, as determined by the Secretary on the
basis of the most recent satisfactory data, bears to the
number of those individuals in all such States, as so
determined.

``(ii) Exception.--No State receiving an allotment under
clause (i) may receive less than \1/2\ of 1 percent of the
total excess amount allotted under such clause for a fiscal
year.
``(3) Reallotment.--If any State does not apply for an
allotment under this subsection for any fiscal year, the
Secretary shall reallot the amount of the allotment to the
remaining States in accordance with this subsection.

``SEC. 2112. STATE APPLICATIONS.

``(a) In General.--For a State to be eligible to receive a
grant under this part, the State educational agency shall
submit an application to the Secretary at such time, in such
manner, and containing such information as the Secretary may
reasonably require.
``(b) Contents.--Each application submitted under this
section shall include the following:
``(1) A description of how the activities to be carried out
by the State educational agency under this subpart will be
based on a review of scientifically based research and an
explanation of why the activities are expected to improve
student academic achievement.
``(2) A description of how the State educational agency
will ensure that a local educational agency receiving a
subgrant to carry out subpart 2 will comply with the
requirements of such subpart.
``(3) A description of how the State educational agency
will ensure that activities assisted under this subpart are
aligned with challenging State academic content and student
academic achievement standards, State assessments, and State
and local curricula.
``(4) A description of how the State educational agency
will use funds under this part to improve the quality of the
State's teachers and principals.
``(5)(A) A description of how the State educational agency
will coordinate professional development activities
authorized under this part with professional development
activities provided under other Federal, State, and local
programs.
``(B) A description of the comprehensive strategy that the
State educational agency will use, as part of such
coordination effort, to ensure that teachers are trained in
the use of technology so that technology and applications of
technology are effectively used in the classroom to improve
teaching and learning in all curricula and academic subjects,
as appropriate.
``(6) A description of how the State educational agency
will encourage the development of proven, innovative
strategies to deliver intensive professional development
programs that are both cost-effective and easily accessible,
such as strategies that involve delivery through the use of
technology, peer networks, and distance learning.
``(7)(A) A description of how the State educational agency
will ensure compliance with the

[[Page H9825]]

requirements for professional development activities
described in section 9101 and how the activities to be
carried out under the grant will be developed collaboratively
and based on the input of teachers, principals, parents,
administrators, paraprofessionals, and other school
personnel.
``(B) In the case of a State in which the State educational
agency is not the entity responsible for teacher professional
standards, certification, and licensing, an assurance that
the State activities carried out under this subpart are
carried out in conjunction with the entity responsible for
such standards, certification, and licensing under State law.
``(8) A description of how the State educational agency
will ensure that the professional development (including
teacher mentoring) needs of teachers will be met using funds
under this subpart and subpart 2.
``(9) A description of the State educational agency's
annual measurable objectives under section 1119(a)(2).
``(10) A description of how the State educational agency
will use funds under this part to meet the teacher and
paraprofessional requirements of section 1119 and how the
State educational agency will hold local educational agencies
accountable for meeting the annual measurable objectives
described in section 1119(a)(2).
``(11) In the case of a State that has a charter school law
that exempts teachers from State certification and licensing
requirements, the specific portion of the State law that
provides for the exemption.
``(12) An assurance that the State educational agency will
comply with section 9501 (regarding participation by private
school children and teachers).
``(c) Deemed Approval.--An application submitted by a State
educational agency pursuant to subsection (a) shall be deemed
to be approved by the Secretary unless the Secretary makes a
written determination, prior to the expiration of the 120-day
period beginning on the date on which the Secretary received
the application, that the application is not in compliance
with this subpart.
``(d) Disapproval.--The Secretary shall not finally
disapprove the application, except after giving the State
educational agency notice and an opportunity for a hearing.
``(e) Notification.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
this subpart, the Secretary shall--
``(1) give the State educational agency notice and an
opportunity for a hearing; and
``(2) notify the State educational agency of the finding of
noncompliance and, in such notification, shall--
``(A) cite the specific provisions in the application that
are not in compliance; and
``(B) request additional information, only as to the
noncompliant provisions, needed to make the application
compliant.
``(f) Response.--If the State educational agency responds
to the Secretary's notification described in subsection
(e)(2) during the 45-day period beginning on the date on
which the agency received the notification, and resubmits the
application with the requested information described in
subsection (e)(2)(B), the Secretary shall approve or
disapprove such application prior to the later of--
``(1) the expiration of the 45-day period beginning on the
date on which the application is resubmitted; or
``(2) the expiration of the 120-day period described in
subsection (c).
``(g) Failure to Respond.--If the State educational agency
does not respond to the Secretary's notification described in
subsection (e)(2) during the 45-day period beginning on the
date on which the agency received the notification, such
application shall be deemed to be disapproved.

``SEC. 2113. STATE USE OF FUNDS.

``(a) In General.--A State that receives a grant under
section 2111 shall--
``(1) reserve 95 percent of the funds made available
through the grant to make subgrants to local educational
agencies as described in subpart 2;
``(2) reserve 2.5 percent (or, for a fiscal year described
in subsection (b), the percentage determined under subsection
(b)) of the funds to make subgrants to local partnerships as
described in subpart 3; and
``(3) use the remainder of the funds for State activities
described in subsection (c).
``(b) Special Rule.--For any fiscal year for which the
total amount that would be reserved by all States under
subsection (a)(2), if the States applied a 2.5 percentage
rate, exceeds $125,000,000, the Secretary shall determine an
alternative percentage that the States shall apply for that
fiscal year under subsection (a)(2) so that the total amount
reserved by all States under subsection (a)(2) equals
$125,000,000.
``(c) State Activities.--The State educational agency for a
State that receives a grant under section 2111 shall use the
funds described in subsection (a)(3) to carry out one or more
of the following activities, which may be carried out through
a grant or contract with a for-profit or nonprofit entity:
``(1) Reforming teacher and principal certification
(including recertification) or licensing requirements to
ensure that--
``(A)(i) teachers have the necessary subject matter
knowledge and teaching skills in the academic subjects that
the teachers teach; and
``(ii) principals have the instructional leadership skills
to help teachers teach and students learn;
``(B) teacher certification (including recertification) or
licensing requirements are aligned with challenging State
academic content standards; and
``(C) teachers have the subject matter knowledge and
teaching skills, including technology literacy, and
principals have the instructional leadership skills,
necessary to help students meet challenging State student
academic achievement standards.
``(2) Carrying out programs that provide support to
teachers or principals, including support for teachers and
principals new to their profession, such as programs that--
``(A) provide teacher mentoring, team teaching, reduced
class schedules, and intensive professional development; and
``(B) use standards or assessments for guiding beginning
teachers that are consistent with challenging State student
academic achievement standards and with the requirements for
professional development activities described in section
9101.
``(3) Carrying out programs that establish, expand, or
improve alternative routes for State certification of
teachers and principals, especially in the areas of
mathematics and science, for highly qualified individuals
with a baccalaureate or master's degree, including mid-career
professionals from other occupations, paraprofessionals,
former military personnel, and recent college or university
graduates with records of academic distinction who
demonstrate the potential to become highly effective teachers
or principals.
``(4) Developing and implementing mechanisms to assist
local educational agencies and schools in effectively
recruiting and retaining highly qualified teachers, including
specialists in core academic subjects, principals, and pupil
services personnel, except that funds made available under
this paragraph may be used for pupil services personnel
only--
``(A) if the State educational agency is making progress
toward meeting the annual measurable objectives described in
section 1119(a)(2); and
``(B) in a manner consistent with mechanisms to assist
local educational agencies and schools in effectively
recruiting and retaining highly qualified teachers and
principals.
``(5) Reforming tenure systems, implementing teacher
testing for subject matter knowledge, and implementing
teacher testing for State certification or licensing,
consistent with title II of the Higher Education Act of 1965.
``(6) Providing professional development for teachers and
principals and, in cases in which a State educational agency
determines support to be appropriate, supporting the
participation of pupil services personnel in the same type of
professional development activities as are made available to
teachers and principals.
``(7) Developing systems to measure the effectiveness of
specific professional development programs and strategies to
document gains in student academic achievement or increases
in teacher mastery of the academic subjects the teachers
teach.
``(8) Fulfilling the State educational agency's
responsibilities concerning proper and efficient
administration of the programs carried out under this part,
including provision of technical assistance to local
educational agencies.
``(9) Funding projects to promote reciprocity of teacher
and principal certification or licensing between or among
States, except that no reciprocity agreement developed under
this paragraph or developed using funds provided under this
part may lead to the weakening of any State teaching
certification or licensing requirement.
``(10) Developing or assisting local educational agencies
in the development and use of proven, innovative strategies
to deliver intensive professional development programs that
are both cost-effective and easily accessible, such as
strategies that involve delivery through the use of
technology, peer networks, and distance learning.
``(11) Encouraging and supporting the training of teachers
and administrators to effectively integrate technology into
curricula and instruction, including training to improve the
ability to collect, manage, and analyze data to improve
teaching, decisionmaking, school improvement efforts, and
accountability.
``(12) Developing, or assisting local educational agencies
in developing, merit-based performance systems, and
strategies that provide differential and bonus pay for
teachers in high-need academic subjects such as reading,
mathematics, and science and teachers in high-poverty schools
and districts.
``(13) Providing assistance to local educational agencies
for the development and implementation of professional
development programs for principals that enable the
principals to be effective school leaders and prepare all
students to meet challenging State academic content and
student academic achievement standards, and the development
and support of school leadership academies to help
exceptionally talented aspiring or current principals and
superintendents become outstanding managers and educational
leaders.
``(14) Developing, or assisting local educational agencies
in developing, teacher advancement initiatives that promote
professional growth and emphasize multiple career paths (such
as paths to becoming a career teacher, mentor teacher, or
exemplary teacher) and pay differentiation.
``(15) Providing assistance to teachers to enable them to
meet certification, licensing, or other requirements needed
to become highly qualified by the end of the fourth year for
which the State receives funds under this part (as amended by
the No Child Left Behind Act of 2001).
``(16) Supporting activities that ensure that teachers are
able to use challenging State academic content standards and
student academic achievement standards, and State
assessments, to improve instructional practices and improve
student academic achievement.
``(17) Funding projects and carrying out programs to
encourage men to become elementary school teachers.

[[Page H9826]]

``(18) Establishing and operating a center that--
``(A) serves as a statewide clearinghouse for the
recruitment and placement of kindergarten, elementary school,
and secondary school teachers; and
``(B) establishes and carries out programs to improve
teacher recruitment and retention within the State.
``(d) Administrative Costs.--A State educational agency or
State agency for higher education receiving a grant under
this part may use not more than 1 percent of the grant funds
for planning and administration related to carrying out
activities under subsection (c) and subpart 3.
``(e) Coordination.--A State that receives a grant to carry
out this subpart and a grant under section 202 of the Higher
Education Act of 1965 shall coordinate the activities carried
out under this subpart and the activities carried out under
that section.
``(f) Supplement, Not Supplant.--Funds received under this
subpart shall be used to supplement, and not supplant, non-
Federal funds that would otherwise be used for activities
authorized under this subpart.

``Subpart 2--Subgrants to Local Educational Agencies

``SEC. 2121. ALLOCATIONS TO LOCAL EDUCATIONAL AGENCIES.

``(a) Subgrants to Local Educational Agencies.--
``(1) In general.--The Secretary may make a grant to a
State under subpart 1 only if the State educational agency
agrees to distribute the funds described in this subsection
as subgrants to local educational agencies under this
subpart.
``(2) Hold harmless.--
``(A) In general.--From the funds reserved by a State under
section 2113(a)(1), the State educational agency shall
allocate to each local educational agency in the State an
amount equal to the total amount that such agency received
for fiscal year 2001 under--
``(i) section 2203(1)(B) of this Act (as in effect on the
day before the date of enactment of the No Child Left Behind
Act of 2001); and
``(ii) section 306 of the Department of Education
Appropriations Act, 2001 (as enacted into law by section
1(a)(1) of Public Law 106-554).
``(B) Nonparticipating agencies.--In the case of a local
educational agency that did not receive any funds for fiscal
year 2001 under one or both of the provisions referred to in
clauses (i) and (ii) of subparagraph (A), the amount
allocated to the agency under such subparagraph shall be the
total amount that the agency would have received for fiscal
year 2001 if the agency had elected to participate in all of
the programs for which the agency was eligible under each of
the provisions referred to in those clauses.
``(C) Ratable reduction.--If the funds described in
subparagraph (A) are insufficient to pay the full amounts
that all local educational agencies in the State are eligible
to receive under subparagraph (A) for any fiscal year, the
State educational agency shall ratably reduce such amounts
for the fiscal year.
``(3) Allocation of additional funds.--For any fiscal year
for which the funds reserved by a State under section
2113(a)(1) exceed the total amount required to make
allocations under paragraph (2), the State educational agency
shall allocate to each of the eligible local educational
agencies in the State the sum of--
``(A) an amount that bears the same relationship to 20
percent of the excess amount as the number of individuals age
5 through 17 in the geographic area served by the agency, as
determined by the Secretary on the basis of the most recent
satisfactory data, bears to the number of those individuals
in the geographic areas served by all the local educational
agencies in the State, as so determined; and
``(B) an amount that bears the same relationship to 80
percent of the excess amount as the number of individuals age
5 through 17 from families with incomes below the poverty
line in the geographic area served by the agency, as
determined by the Secretary on the basis of the most recent
satisfactory data, bears to the number of those individuals
in the geographic areas served by all the local educational
agencies in the State, as so determined.

``SEC. 2122. LOCAL APPLICATIONS AND NEEDS ASSESSMENT.

``(a) In General.--To be eligible to receive a subgrant
under this subpart, a local educational agency shall submit
an application to the State educational agency at such time,
in such manner, and containing such information as the State
educational agency may reasonably require.
``(b) Contents.--Each application submitted under this
section shall be based on the needs assessment required in
subsection (c) and shall include the following:
``(1)(A) A description of the activities to be carried out
by the local educational agency under this subpart and how
these activities will be aligned with--
``(i) challenging State academic content standards and
student academic achievement standards, and State
assessments; and
``(ii) the curricula and programs tied to the standards
described in clause (i).
``(B) A description of how the activities will be based on
a review of scientifically based research and an explanation
of why the activities are expected to improve student
academic achievement.
``(2) A description of how the activities will have a
substantial, measurable, and positive impact on student
academic achievement and how the activities will be used as
part of a broader strategy to eliminate the achievement gap
that separates low-income and minority students from other
students.
``(3) An assurance that the local educational agency will
target funds to schools within the jurisdiction of the local
educational agency that--
``(A) have the lowest proportion of highly qualified
teachers;
``(B) have the largest average class size; or
``(C) are identified for school improvement under section
1116(b).
``(4) A description of how the local educational agency
will coordinate professional development activities
authorized under this subpart with professional development
activities provided through other Federal, State, and local
programs.
``(5) A description of the professional development
activities that will be made available to teachers and
principals under this subpart and how the local educational
agency will ensure that the professional development (which
may include teacher mentoring) needs of teachers and
principals will be met using funds under this subpart.
``(6) A description of how the local educational agency
will integrate funds under this subpart with funds received
under part D that are used for professional development to
train teachers to integrate technology into curricula and
instruction to improve teaching, learning, and technology
literacy.
``(7) A description of how the local educational agency,
teachers, paraprofessionals, principals, other relevant
school personnel, and parents have collaborated in the
planning of activities to be carried out under this subpart
and in the preparation of the application.
``(8) A description of the results of the needs assessment
described in subsection (c).
``(9) A description of how the local educational agency
will provide training to enable teachers to--
``(A) teach and address the needs of students with
different learning styles, particularly students with
disabilities, students with special learning needs (including
students who are gifted and talented), and students with
limited English proficiency;
``(B) improve student behavior in the classroom and
identify early and appropriate interventions to help students
described in subparagraph (A) learn;
``(C) involve parents in their child's education; and
``(D) understand and use data and assessments to improve
classroom practice and student learning.
``(10) A description of how the local educational agency
will use funds under this subpart to meet the requirements of
section 1119.
``(11) An assurance that the local educational agency will
comply with section 9501 (regarding participation by private
school children and teachers).
``(c) Needs Assessment.--
``(1) In general.--To be eligible to receive a subgrant
under this subpart, a local educational agency shall conduct
an assessment of local needs for professional development and
hiring, as identified by the local educational agency and
school staff.
``(2) Requirements.--Such needs assessment shall be
conducted with the involvement of teachers, including
teachers participating in programs under part A of title I,
and shall take into account the activities that need to be
conducted in order to give teachers the means, including
subject matter knowledge and teaching skills, and to give
principals the instructional leadership skills to help
teachers, to provide students with the opportunity to meet
challenging State and local student academic achievement
standards.

``SEC. 2123. LOCAL USE OF FUNDS.

``(a) In General.--A local educational agency that receives
a subgrant under section 2121 shall use the funds made
available through the subgrant to carry out one or more of
the following activities, including carrying out the
activities through a grant or contract with a for-profit or
nonprofit entity:
``(1) Developing and implementing mechanisms to assist
schools in effectively recruiting and retaining highly
qualified teachers, including specialists in core academic
subjects, principals, and pupil services personnel, except
that funds made available under this paragraph may be used
for pupil services personnel only--
``(A) if the local educational agency is making progress
toward meeting the annual measurable objectives described in
section 1119(a)(2); and
``(B) in a manner consistent with mechanisms to assist
schools in effectively recruiting and retaining highly
qualified teachers and principals.
``(2) Developing and implementing initiatives to assist in
recruiting highly qualified teachers (particularly
initiatives that have proven effective in retaining highly
qualified teachers), and hiring highly qualified teachers,
who will be assigned teaching positions within their fields,
including--
``(A) providing scholarships, signing bonuses, or other
financial incentives, such as differential pay, for teachers
to teach--
``(i) in academic subjects in which there exists a shortage
of highly qualified teachers within a school or within the
local educational agency; and
``(ii) in schools in which there exists a shortage of
highly qualified teachers;
``(B) recruiting and hiring highly qualified teachers to
reduce class size, particularly in the early grades; and
``(C) establishing programs that--
``(i) train and hire regular and special education teachers
(which may include hiring special education teachers to team-
teach in classrooms that contain both children with
disabilities and nondisabled children);
``(ii) train and hire highly qualified teachers of special
needs children, as well as teaching specialists in core
academic subjects who will provide increased individualized
instruction to students;

[[Page H9827]]

``(iii) recruit qualified professionals from other fields,
including highly qualified paraprofessionals, and provide
such professionals with alternative routes to teacher
certification, including developing and implementing hiring
policies that ensure comprehensive recruitment efforts as a
way to expand the applicant pool, such as through identifying
teachers certified through alternative routes, and using a
system of intensive screening designed to hire the most
qualified applicants; and
``(iv) provide increased opportunities for minorities,
individuals with disabilities, and other individuals
underrepresented in the teaching profession.
``(3) Providing professional development activities--
``(A) that improve the knowledge of teachers and principals
and, in appropriate cases, paraprofessionals, concerning--
``(i) one or more of the core academic subjects that the
teachers teach; and
``(ii) effective instructional strategies, methods, and
skills, and use of challenging State academic content
standards and student academic achievement standards, and
State assessments, to improve teaching practices and student
academic achievement; and
``(B) that improve the knowledge of teachers and principals
and, in appropriate cases, paraprofessionals, concerning
effective instructional practices and that--
``(i) involve collaborative groups of teachers and
administrators;
``(ii) provide training in how to teach and address the
needs of students with different learning styles,
particularly students with disabilities, students with
special learning needs (including students who are gifted and
talented), and students with limited English proficiency;
``(iii) provide training in methods of--

``(I) improving student behavior in the classroom; and

``(II) identifying early and appropriate interventions to
help students described in clause (ii) learn;

``(iv) provide training to enable teachers and principals
to involve parents in their child's education, especially
parents of limited English proficient and immigrant children;
and
``(v) provide training on how to understand and use data
and assessments to improve classroom practice and student
learning.
``(4) Developing and implementing initiatives to promote
retention of highly qualified teachers and principals,
particularly within elementary schools and secondary schools
with a high percentage of low-achieving students, including
programs that provide--
``(A) teacher mentoring from exemplary teachers,
principals, or superintendents;
``(B) induction and support for teachers and principals
during their first 3 years of employment as teachers or
principals, respectively;
``(C) incentives, including financial incentives, to retain
teachers who have a record of success in helping low-
achieving students improve their academic achievement; or
``(D) incentives, including financial incentives, to
principals who have a record of improving the academic
achievement of all students, but particularly students from
economically disadvantaged families, students from racial and
ethnic minority groups, and students with disabilities.
``(5) Carrying out programs and activities that are
designed to improve the quality of the teacher force, such
as--
``(A) innovative professional development programs (which
may be provided through partnerships including institutions
of higher education), including programs that train teachers
and principals to integrate technology into curricula and
instruction to improve teaching, learning, and technology
literacy, are consistent with the requirements of section
9101, and are coordinated with activities carried out under
part D;
``(B) development and use of proven, cost-effective
strategies for the implementation of professional development
activities, such as through the use of technology and
distance learning;
``(C) tenure reform;
``(D) merit pay programs; and
``(E) testing of elementary school and secondary school
teachers in the academic subjects that the teachers teach.
``(6) Carrying out professional development activities
designed to improve the quality of principals and
superintendents, including the development and support of
academies to help talented aspiring or current principals and
superintendents become outstanding managers and educational
leaders.
``(7) Hiring highly qualified teachers, including teachers
who become highly qualified through State and local
alternative routes to certification, and special education
teachers, in order to reduce class size, particularly in the
early grades.
``(8) Carrying out teacher advancement initiatives that
promote professional growth and emphasize multiple career
paths (such as paths to becoming a career teacher, mentor
teacher, or exemplary teacher) and pay differentiation.
``(10) Carrying out programs and activities related to
exemplary teachers.
``(b) Supplement, Not Supplant.--Funds received under this
subpart shall be used to supplement, and not supplant, non-
Federal funds that would otherwise be used for activities
authorized under this subpart.

``Subpart 3--Subgrants to Eligible Partnerships

``SEC. 2131. DEFINITIONS.

``In this subpart:
``(1) Eligible partnership.--The term `eligible
partnership' means an entity that--
``(A) shall include--
``(i) a private or State institution of higher education
and the division of the institution that prepares teachers
and principals;
``(ii) a school of arts and sciences; and
``(iii) a high-need local educational agency; and
``(B) may include another local educational agency, a
public charter school, an elementary school or secondary
school, an educational service agency, a nonprofit
educational organization, another institution of higher
education, a school of arts and sciences within such an
institution, the division of such an institution that
prepares teachers and principals, a nonprofit cultural
organization, an entity carrying out a prekindergarten
program, a teacher organization, a principal organization, or
a business.
``(2) Low-performing school.--The term `low-performing
school' means an elementary school or secondary school that
is identified under section 1116.

``SEC. 2132. SUBGRANTS.

``(a) In General.--The State agency for higher education
for a State that receives a grant under section 2111, working
in conjunction with the State educational agency (if such
agencies are separate), shall use the funds reserved under
section 2113(a)(2) to make subgrants, on a competitive basis,
to eligible partnerships to enable such partnerships to carry
out the activities described in section 2134.
``(b) Distribution.--The State agency for higher education
shall ensure that--
``(1) such subgrants are equitably distributed by
geographic area within a State; or
``(2) eligible partnerships in all geographic areas within
the State are served through the subgrants.
``(c) Special Rule.--No single participant in an eligible
partnership may use more than 50 percent of the funds made
available to the partnership under this section.

``SEC. 2133. APPLICATIONS.

``To be eligible to receive a subgrant under this subpart,
an eligible partnership shall submit an application to the
State agency for higher education at such time, in such
manner, and containing such information as the agency may
require.

``SEC. 2134. USE OF FUNDS.

``(a) In General.--An eligible partnership that receives a
subgrant under section 2132 shall use the subgrant funds
for--
``(1) professional development activities in core academic
subjects to ensure that--
``(A) teachers and highly qualified paraprofessionals, and,
if appropriate, principals have subject matter knowledge in
the academic subjects that the teachers teach, including the
use of computer related technology to enhance student
learning; and
``(B) principals have the instructional leadership skills
that will help such principals work most effectively with
teachers to help students master core academic subjects; and
``(2) developing and providing assistance to local
educational agencies and individuals who are teachers, highly
qualified paraprofessionals, or principals of schools served
by such agencies, for sustained, high-quality professional
development activities that--
``(A) ensure that the individuals are able to use
challenging State academic content standards and student
academic achievement standards, and State assessments, to
improve instructional practices and improve student
academic achievement;
``(B) may include intensive programs designed to prepare
such individuals who will return to a school to provide
instruction related to the professional development described
in subparagraph (A) to other such individuals within such
school; and
``(C) may include activities of partnerships between one or
more local educational agencies, one or more schools served
by such local educational agencies, and one or more
institutions of higher education for the purpose of improving
teaching and learning at low-performing schools.
``(b) Coordination.--An eligible partnership that receives
a subgrant to carry out this subpart and a grant under
section 203 of the Higher Education Act of 1965 shall
coordinate the activities carried out under this subpart and
the activities carried out under that section 203.

``Subpart 4--Accountability

``SEC. 2141. TECHNICAL ASSISTANCE AND ACCOUNTABILITY.

``(a) Improvement Plan.--After the second year of the plan
described in section 1119(a)(2), if a State educational
agency determines, based on the reports described in section
1119(b)(1), that a local educational agency in the State has
failed to make progress toward meeting the annual measurable
objectives described in section 1119(a)(2), for 2 consecutive
years, such local educational agency shall develop an
improvement plan that will enable the agency to meet such
annual measurable objectives and that specifically addresses
issues that prevented the agency from meeting such annual
measurable objectives.
``(b) Technical Assistance.--During the development of the
improvement plan described in subsection (a) and throughout
implementation of the plan, the State educational agency
shall--
``(1) provide technical assistance to the local educational
agency; and
``(2) provide technical assistance, if applicable, to
schools served by the local educational agency that need
assistance to enable the local educational agency to meet the
annual measurable objectives described in section 1119(a)(2).
``(c) Accountability.--After the third year of the plan
described in section 1119(a)(2), if the State educational
agency determines, based on the reports described in section
1119(b)(1), that the local educational agency has failed to
make progress toward meeting the annual measurable objectives
described in section 1119(a)(2), and

[[Page H9828]]

has failed to make adequate yearly progress as described
under section 1111(b)(2)(B), for 3 consecutive years, the
State educational agency shall enter into an agreement with
such local educational agency on the use of that agency's
funds under this part. As part of this agreement, the State
educational agency--
``(1) shall develop, in conjunction with the local
educational agency, teachers, and principals, professional
development strategies and activities, based on
scientifically based research, that the local educational
agency will use to meet the annual measurable objectives
described in section 1119(a)(2) and require such agency to
utilize such strategies and activities; and
``(2)(A) except as provided in subparagraphs (B) and (C),
shall prohibit the use of funds received under part A of
title I to fund any paraprofessional hired after the date
such determination is made;
``(B) shall allow the use of such funds to fund a
paraprofessional hired after that date if the local
educational agency can demonstrate that the hiring is to fill
a vacancy created by the departure of another
paraprofessional funded under title I and such new
paraprofessional satisfies the requirements of section
1119(c); and
``(C) may allow the use of such funds to fund a
paraprofessional hired after that date if the local
educational agency can demonstrate--
``(i) that a significant influx of population has
substantially increased student enrollment; or
``(ii) that there is an increased need for translators or
assistance with parental involvement activities.
``(d) Special Rule.--During the development of the
strategies and activities described in subsection (c)(1), the
State educational agency shall, in conjunction with the local
educational agency, provide from funds allocated to such
local educational agency under subpart 2 directly to one or
more schools served by such local educational agency, to
enable teachers at the schools to choose, with continuing
consultation with the principal involved, professional
development activities that--
``(1) meet the requirements for professional development
activities described in section 9101; and
``(2) are coordinated with other reform efforts at the
schools.

``Subpart 5--National Activities

``SEC. 2151. NATIONAL ACTIVITIES OF DEMONSTRATED
EFFECTIVENESS.

``(a) National Teacher Recruitment Campaign.--The Secretary
is authorized to establish and carry out a national teacher
recruitment campaign, which may include activities carried
out through the National Teacher Recruitment Clearinghouse,
to assist high-need local educational agencies in recruiting
teachers (particularly those activities that are effective in
retaining new teachers) and training teachers and to conduct
a national public service campaign concerning the resources
for, and the routes to, entering the field of teaching. In
carrying out the campaign, the Secretary may promote and link
the activities of the campaign to the information and
referral activities of the National Teacher Recruitment
Clearinghouse. The Secretary shall coordinate activities
under this subsection with State and regional recruitment
activities.
``(b) School Leadership.--
``(1) In general.--The Secretary is authorized to establish
and carry out a national principal recruitment program to
assist high-need local educational agencies in recruiting and
training principals (including assistant principals) through
such activities as--
``(A) providing financial incentives to aspiring new
principals;
``(B) providing stipends to principals who mentor new
principals;
``(C) carrying out professional development programs in
instructional leadership and management; and
``(D) providing incentives that are appropriate for
teachers or individuals from other fields who want to become
principals and that are effective in retaining new
principals.
``(2) Grants.--If the Secretary uses sums made available
under section 2103(b) to carry out paragraph (1), the
Secretary shall carry out such paragraph by making grants, on
a competitive basis, to--
``(A) high-need local educational agencies;
``(B) consortia of high-need local educational agencies;
and
``(C) partnerships of high-need local educational agencies,
nonprofit organizations, and institutions of higher
education.
``(c) Advanced Certification or Advanced Credentialing.--
``(1) In general.--The Secretary is authorized to support
activities to encourage and support teachers seeking advanced
certification or advanced credentialing through high quality
professional teacher enhancement programs designed to improve
teaching and learning.
``(2) Implementation.--In carrying out paragraph (1), the
Secretary shall make grants to eligible entities to--
``(A) develop teacher standards that include measures tied
to increased student academic achievement; and
``(B) promote outreach, teacher recruitment, teacher
subsidy, or teacher support programs, related to teacher
certification or credentialing by the National Board for
Professional Teaching Standards, the National Council on
Teacher Quality, or other nationally recognized certification
or credentialing organizations.
``(3) Eligible entities.--In this subsection, the term
`eligible entity' includes--
``(A) a State educational agency;
``(B) a local educational agency;
``(C) the National Board for Professional Teaching
Standards, in partnership with a high-need local educational
agency or a State educational agency;
``(D) the National Council on Teacher Quality, in
partnership with a high-need local educational agency or a
State educational agency; or
``(E) another recognized entity, including another
recognized certification or credentialing organization, in
partnership with a high-need local educational agency or a
State educational agency.
``(d) Special Education Teacher Training.--The Secretary is
authorized to award a grant to the University of Northern
Colorado to enable such university to provide, to other
institutions of higher education, assistance in training
special education teachers.
``(e) Early Childhood Educator Professional Development.--
``(1) Purpose.--The purpose of this subsection is to
enhance the school readiness of young children, particularly
disadvantaged young children, and to prevent young children
from encountering difficulties once the children enter
school, by improving the knowledge and skills of early
childhood educators who work in communities that have high
concentrations of children living in poverty.
``(2) Program authorized.--
``(A) Grants to partnerships.--The Secretary is authorized
to carry out the purpose of this subsection by awarding
grants, on a competitive basis, to partnerships consisting
of--
``(i)(I) one or more institutions of higher education that
provide professional development for early childhood
educators who work with children from low-income families in
high-need communities; or
``(II) another public or private entity that provides such
professional development;
``(ii) one or more public agencies (including local
educational agencies, State educational agencies, State human
services agencies, and State and local agencies administering
programs under the Child Care and Development Block Grant Act
of 1990 (42 U.S.C. 9858 et seq.), Head Start agencies, or
private organizations; and
``(iii) to the extent feasible, an entity with demonstrated
experience in providing training to educators in early
childhood education programs concerning identifying and
preventing behavior problems or working with children
identified as or suspected to be victims of abuse.
``(B) Duration and number of grants.--
``(i) Duration.--The Secretary shall award grants under
this subsection for periods of not more than 4 years.
``(ii) Number.--No partnership may receive more than one
grant under this subsection.
``(3) Applications.--
``(A) Applications required.--Any partnership that desires
to receive a grant under this subsection shall submit an
application to the Secretary at such time, in such manner,
and containing such information as the Secretary may require.
``(B) Contents.--Each such application shall include--
``(i) a description of the high-need community to be served
by the project proposed to be carried out through the grant,
including such demographic and socioeconomic information as
the Secretary may request;
``(ii) information on the quality of the early childhood
educator professional development program currently conducted
(as of the date of the submission of the application) by the
institution of higher education or another provider in the
partnership;
``(iii) the results of a needs assessment that the entities
in the partnership have undertaken to determine the most
critical professional development needs of the early
childhood educators to be served by the partnership and in
the broader community, and a description of how the proposed
project will address those needs;
``(iv) a description of how the proposed project will be
carried out, including a description of--

``(I) how individuals will be selected to participate;
``(II) the types of professional development activities,
based on scientifically based research, that will be carried
out;
``(III) how research on effective professional development
and on adult learning will be used to design and deliver
project activities;
``(IV) how the project will be coordinated with and build
on, and will not supplant or duplicate, early childhood
education professional development activities in the high-
need community;
``(V) how the project will train early childhood educators
to provide developmentally appropriate school-readiness
services that are based on the best available research on
early childhood pedagogy and child development and learning
domains;
``(VI) how the project will train early childhood educators
to meet the diverse educational needs of children in the
community, including children who have limited English
proficiency, children with disabilities, or children with
other special needs; and
``(VII) how the project will train early childhood
educators in identifying and preventing behavioral problems
in children or working with children identified as or
suspected to be victims of abuse;

``(v) a description of--

``(I) the specific objectives that the partnership will
seek to attain through the project, and the methods that the
partnership will use to measure progress toward attainment of
those objectives; and
``(II) how the objectives and the measurement methods align
with the achievement indicators established by the Secretary
under paragraph (6)(A);

``(vi) a description of the partnership's plan for
continuing the activities carried out under the project after
Federal funding ceases;
``(vii) an assurance that, where applicable, the project
will provide appropriate professional development to
volunteers working directly with young children, as well as
to paid staff; and

[[Page H9829]]

``(viii) an assurance that, in developing the application
and in carrying out the project, the partnership has
consulted with, and will consult with, relevant agencies,
early childhood educator organizations, and early childhood
providers that are not members of the partnership.
``(4) Selection of grant recipients.--
``(A) Criteria.--The Secretary shall select partnerships to
receive grants under this subsection on the basis of the
degree to which the communities proposed to be served require
assistance and the quality of the applications submitted
under paragraph (3).
``(B) Geographic distribution.--In selecting partnerships
to receive grants under this subsection, the Secretary shall
seek to ensure that communities in different regions of the
Nation, as well as both urban and rural communities, are
served.
``(5) Uses of funds.--
``(A) In general.--Each partnership receiving a grant under
this subsection shall use the grant funds to carry out
activities that will improve the knowledge and skills of
early childhood educators who are working in early childhood
programs that are located in high-need communities and serve
concentrations of children from low-income families.
``(B) Allowable activities.--Such activities may include--
``(i) professional development for early childhood
educators, particularly to familiarize those educators with
the application of recent research on child, language, and
literacy development and on early childhood pedagogy;
``(ii) professional development for early childhood
educators in working with parents, so that the educators and
parents can work together to provide and support
developmentally appropriate school-readiness services that
are based on scientifically based research on early childhood
pedagogy and child development and learning domains;
``(iii) professional development for early childhood
educators to work with children who have limited English
proficiency, children with disabilities, and children with
other special needs;
``(iv) professional development to train early childhood
educators in identifying and preventing behavioral problems
in children or working with children identified as or
suspected to be victims of abuse;
``(v) activities that assist and support early childhood
educators during their first 3 years in the field;
``(vi) development and implementation of early childhood
educator professional development programs that make use of
distance learning and other technologies;
``(vii) professional development activities related to the
selection and use of screening and diagnostic assessments to
improve teaching and learning; and
``(viii) data collection, evaluation, and reporting needed
to meet the requirements of paragraph (6) relating to
accountability.
``(6) Accountability.--
``(A) Achievement indicators.--On the date on which the
Secretary first issues a notice soliciting applications for
grants under this subsection, the Secretary shall announce
achievement indicators for this subsection, which shall be
designed--
``(i) to measure the quality and accessibility of the
professional development provided;
``(ii) to measure the impact of that professional
development on the early childhood education provided by the
individuals who receive the professional development; and
``(iii) to provide such other measures of program impact as
the Secretary determines to be appropriate.
``(B) Annual reports; termination.--
``(i) Annual reports.--Each partnership receiving a grant
under this subsection shall report annually to the Secretary
on the partnership's progress toward attaining the
achievement indicators.
``(ii) Termination.--The Secretary may terminate a grant
under this subsection at any time if the Secretary determines
that the partnership receiving the grant is not making
satisfactory progress toward attaining the achievement
indicators.
``(7) Cost-sharing.--
``(A) In general.--Each partnership carrying out a project
through a grant awarded under this subsection shall provide,
from sources other than the program carried out under this
subsection, which may include Federal sources--
``(i) at least 50 percent of the total cost of the project
for the grant period; and
``(ii) at least 20 percent of the project cost for each
year.
``(B) Acceptable contributions.--A partnership may meet the
requirements of subparagraph (A) by providing contributions
in cash or in kind, fairly evaluated, including plant,
equipment, and services.
``(C) Waivers.--The Secretary may waive or modify the
requirements of subparagraph (A) for partnerships in cases of
demonstrated financial hardship.
``(8) Federal coordination.--The Secretary and the
Secretary of Health and Human Services shall coordinate
activities carried out through programs under this subsection
with activities carried out through other early childhood
programs administered by the Secretary or the Secretary of
Health and Human Services.
``(9) Definitions.--In this subsection:
``(A) Early childhood educator.--The term `early childhood
educator' means a person providing, or employed by a provider
of, nonresidential child care services (including center-
based, family-based, and in-home child care services) that is
legally operating under State law, and that complies with
applicable State and local requirements for the provision of
child care services to children at any age from birth through
the age at which a child may start kindergarten in that
State.
``(B) High-need community.--
``(i) In general.--The term `high-need community' means--

``(I) a political subdivision of a State, or a portion of a
political subdivision of a State, in which at least 50
percent of the children are from low-income families; or
``(II) a political subdivision of a State that is among the
10 percent of political subdivisions of the State having the
greatest numbers of such children.

``(ii) Determination.--In determining which communities are
described in clause (i), the Secretary shall use such data as
the Secretary determines are most accurate and appropriate.
``(C) Low-income family.--The term `low-income family'
means a family with an income below the poverty line for the
most recent fiscal year for which satisfactory data are
available.
``(f) Teacher Mobility.--
``(1) Establishment.--The Secretary is authorized to
establish a panel to be known as the National Panel on
Teacher Mobility (referred to in this subsection as the
`panel').
``(2) Membership.--The panel shall be composed of 12
members appointed by the Secretary. The Secretary shall
appoint the members from among practitioners and experts with
experience relating to teacher mobility, such as teachers,
members of teacher certification or licensing bodies, faculty
of institutions of higher education that prepare teachers,
and State policymakers with such experience.
``(3) Period of appointment; vacancies.--Members shall be
appointed for the life of the panel. Any vacancy in the panel
shall not affect the powers of the panel, but shall be filled
in the same manner as the original appointment.
``(4) Duties.--
``(A) Study.--
``(i) In general.--The panel shall study strategies for
increasing mobility and employment opportunities for highly
qualified teachers, especially for States with teacher
shortages and States with school districts or schools that
are difficult to staff.
``(ii) Data and analysis.--As part of the study, the panel
shall evaluate the desirability and feasibility of State
initiatives that support teacher mobility by collecting data
and conducting effective analysis concerning--

``(I) teacher supply and demand;
``(II) the development of recruitment and hiring strategies
that support teachers; and
``(III) increasing reciprocity of certification and
licensing across States.

``(B) Report.--Not later than 1 year after the date on
which all members of the panel have been appointed, the panel
shall submit to the Secretary and to the appropriate
committees of Congress a report containing the results of the
study.
``(5) Powers.--
``(A) Hearings.--The panel may hold such hearings, sit and
act at such times and places, take such testimony, and
receive such evidence as the panel considers advisable to
carry out the objectives of this subsection.
``(B) Information from federal agencies.--The panel may
secure directly from any Federal department or agency such
information as the panel considers necessary to carry out the
provisions of this subsection. Upon request of a majority of
the members of the panel, the head of such department or
agency shall furnish such information to the panel.
``(C) Postal services.--The panel may use the United States
mails in the same manner and under the same conditions as
other departments and agencies of the Federal Government.
``(6) Personnel.--
``(A) Travel expenses.--The members of the panel shall not
receive compensation for the performance of services for the
panel, but shall be allowed travel expenses, including per
diem in lieu of subsistence, at rates authorized for
employees of agencies under subchapter I of chapter 57 of
title 5, United States Code, while away from their homes or
regular places of business in the performance of services for
the panel. Notwithstanding section 1342 of title 31, United
States Code, the Secretary may accept the voluntary and
uncompensated services of members of the panel.
``(B) Detail of government employees.--Any Federal
Government employee may be detailed to the panel without
reimbursement, and such detail shall be without interruption
or loss of civil service status or privilege.
``(7) Permanent committee.--Section 14 of the Federal
Advisory Committee Act (5 U.S.C. App.) shall not apply to the
panel.

``PART B--MATHEMATICS AND SCIENCE PARTNERSHIPS

``SEC. 2201. PURPOSE; DEFINITIONS.

``(a) Purpose.--The purpose of this part is to improve the
academic achievement of students in the areas of mathematics
and science by encouraging State educational agencies,
institutions of higher education, local educational agencies,
elementary schools, and secondary schools to participate in
programs that--
``(1) improve and upgrade the status and stature of
mathematics and science teaching by encouraging institutions
of higher education to assume greater responsibility for
improving mathematics and science teacher education through
the establishment of a comprehensive, integrated system of
recruiting, training, and advising mathematics and science
teachers;
``(2) focus on the education of mathematics and science
teachers as a career-long process that continuously
stimulates teachers' intellectual growth and upgrades
teachers' knowledge and skills;
``(3) bring mathematics and science teachers in elementary
schools and secondary schools together with scientists,
mathematicians, and engineers to increase the subject matter
knowledge of mathematics and science teachers and improve
such teachers' teaching skills through the

[[Page H9830]]

use of sophisticated laboratory equipment and work space,
computing facilities, libraries, and other resources that
institutions of higher education are better able to provide
than the elementary schools and secondary schools;
``(4) develop more rigorous mathematics and science
curricula that are aligned with challenging State and local
academic content standards and with the standards expected
for postsecondary study in engineering, mathematics, and
science; and
``(5) improve and expand training of mathematics and
science teachers, including training such teachers in the
effective integration of technology into curricula and
instruction.
``(b) Definitions.--In this part:
``(1) Eligible partnership.--The term `eligible
partnership' means a partnership that--
``(A) shall include--
``(i) if grants are awarded under section 2202(a)(1), a
State educational agency;
``(ii) an engineering, mathematics, or science department
of an institution of higher education; and
``(iii) a high-need local educational agency; and
``(B) may include--
``(i) another engineering, mathematics, science, or teacher
training department of an institution of higher education;
``(ii) additional local educational agencies, public
charter schools, public or private elementary schools or
secondary schools, or a consortium of such schools;
``(iii) a business; or
``(iv) a nonprofit or for-profit organization of
demonstrated effectiveness in improving the quality of
mathematics and science teachers.
``(2) Summer workshop or institute.--The term `summer
workshop or institute' means a workshop or institute,
conducted during the summer, that--
``(A) is conducted for a period of not less than 2 weeks;
``(B) includes, as a component, a program that provides
direct interaction between students and faculty; and
``(C) provides for followup training during the academic
year that is conducted in the classroom for a period of not
less than 3 consecutive or nonconsecutive days, except that--
``(i) if the workshop or institute is conducted during a 2-
week period, the followup training shall be conducted for a
period of not less than 4 days; and
``(ii) if the followup training is for teachers in rural
school districts, the followup training may be conducted
through distance learning.

``SEC. 2202. GRANTS FOR MATHEMATICS AND SCIENCE PARTNERSHIPS.

``(a) Grants Authorized.--
``(1) Grants to partnerships.--For any fiscal year for
which the funds appropriated under section 2203 are less than
$100,000,000, the Secretary is authorized to award grants, on
a competitive basis, to eligible partnerships to carry out
the authorized activities described in subsection (c).
``(2) Grants to state educational agencies.--
``(A) In general.--For any fiscal year for which the funds
appropriated under section 2203 equal or exceed
$100,000,000--
``(i) if an eligible partnership in the State was
previously awarded a grant under paragraph (1), and the grant
period has not ended, the Secretary shall reserve funds in a
sufficient amount to make payments to the partnership in
accordance with the terms of the grant; and
``(ii) the Secretary is authorized to award grants to State
educational agencies to enable such agencies to award
subgrants, on a competitive basis, to eligible partnerships
to carry out the authorized activities described in
subsection (c).
``(B) Allotment.--The Secretary shall allot the amount made
available under this part for a fiscal year and not reserved
under subparagraph (A)(i) among the State educational
agencies in proportion to the number of children, aged 5 to
17, who are from families with incomes below the poverty line
and reside in a State for the most recent fiscal year for
which satisfactory data are available, as compared to the
number of such children who reside in all such States for
such year.
``(C) Minimum allotment.--The amount of any State
educational agency's allotment under subparagraph (B) for any
fiscal year may not be less than \1/2\ of 1 percent of the
amount made available under this part for such year.
``(3) Duration.--The Secretary shall award grants under
this part for a period of 3 years.
``(4) Supplement, not supplant.--Funds received under this
part shall be used to supplement, and not supplant, funds
that would otherwise be used for activities authorized under
this part.
``(b) Application Requirements.--
``(1) In general.--Each eligible partnership desiring a
grant or subgrant under this part shall submit an
application--
``(A) in the case of grants awarded pursuant to subsection
(a)(1), to the Secretary, at such time, in such manner, and
accompanied by such information as the Secretary may require;
or
``(B) in the case of subgrants awarded pursuant to
subsection (a)(2), to the State educational agency, at such
time, in such manner, and accompanied by such information as
the State educational agency may require.
``(2) Contents.--Each application submitted pursuant to
paragraph (1) shall include--
``(A) the results of a comprehensive assessment of the
teacher quality and professional development needs of any
schools, local educational agencies, and State educational
agencies that comprise the eligible partnership with respect
to the teaching and learning of mathematics and science;
``(B) a description of how the activities to be carried out
by the eligible partnership will be aligned with challenging
State academic content and student academic achievement
standards in mathematics and science and with other
educational reform activities that promote student academic
achievement in mathematics and science;
``(C) a description of how the activities to be carried out
by the eligible partnership will be based on a review of
scientifically based research, and an explanation of how the
activities are expected to improve student academic
achievement and strengthen the quality of mathematics and
science instruction;
``(D) a description of--
``(i) how the eligible partnership will carry out the
authorized activities described in subsection (c); and
``(ii) the eligible partnership's evaluation and
accountability plan described in subsection (e); and
``(E) a description of how the eligible partnership will
continue the activities funded under this part after the
original grant or subgrant period has expired.
``(c) Authorized Activities.--An eligible partnership shall
use funds provided under this part for one or more of the
following activities related to elementary schools or
secondary schools:
``(1) Creating opportunities for enhanced and ongoing
professional development of mathematics and science teachers
that improves the subject matter knowledge of such teachers.
``(2) Promoting strong teaching skills for mathematics and
science teachers and teacher educators, including integrating
reliable scientifically based research teaching methods and
technology-based teaching methods into the curriculum.
``(3) Establishing and operating mathematics and science
summer workshops or institutes, including followup training,
for elementary school and secondary school mathematics and
science teachers that--
``(A) shall--
``(i) directly relate to the curriculum and academic areas
in which the teacher provides instruction, and focus only
secondarily on pedagogy;
``(ii) enhance the ability of the teacher to understand and
use the challenging State academic content standards for
mathematics and science and to select appropriate curricula;
and
``(iii) train teachers to use curricula that are--

``(I) based on scientific research;
``(II) aligned with challenging State academic content
standards; and
``(III) object-centered, experiment-oriented, and concept-
and content-based; and

``(B) may include--
``(i) programs that provide teachers and prospective
teachers with opportunities to work under the guidance of
experienced teachers and college faculty;
``(ii) instruction in the use of data and assessments to
inform and instruct classroom practice; and
``(iii) professional development activities, including
supplemental and followup activities, such as curriculum
alignment, distance learning, and activities that train
teachers to utilize technology in the classroom.
``(4) Recruiting mathematics, engineering, and science
majors to teaching through the use of--
``(A) signing and performance incentives that are linked to
activities proven effective in retaining teachers, for
individuals with demonstrated professional experience in
mathematics, engineering, or science;
``(B) stipends provided to mathematics and science teachers
for certification through alternative routes;
``(C) scholarships for teachers to pursue advanced course
work in mathematics, engineering, or science; and
``(D) other programs that the State educational agency
determines to be effective in recruiting and retaining
individuals with strong mathematics, engineering, or science
backgrounds.
``(5) Developing or redesigning more rigorous mathematics
and science curricula that are aligned with challenging State
and local academic content standards and with the standards
expected for postsecondary study in mathematics and science.
``(6) Establishing distance learning programs for
mathematics and science teachers using curricula that are
innovative, content-based, and based on scientifically based
research that is current as of the date of the program
involved.
``(7) Designing programs to prepare a mathematics or
science teacher at a school to provide professional
development to other mathematics or science teachers at the
school and to assist beginning and other teachers at the
school, including (if applicable) a mechanism to integrate
the teacher's experiences from a summer workshop or institute
into the provision of professional development and
assistance.
``(8) Establishing and operating programs to bring
mathematics and science teachers into contact with working
scientists, mathematicians, and engineers, to expand such
teachers' subject matter knowledge of and research in science
and mathematics.
``(9) Designing programs to identify and develop exemplary
mathematics and science teachers in the kindergarten through
grade 8 classrooms.
``(10) Training mathematics and science teachers and
developing programs to encourage young women and other
underrepresented individuals in mathematics and science
careers (including engineering and technology) to pursue
postsecondary degrees in majors leading to such careers.
``(d) Coordination and Consultation.--
``(1) Partnership grants.--An eligible partnership
receiving a grant under section 203 of the Higher Education
Act of 1965 shall coordinate the use of such funds with any
related activities carried out by such partnership with funds
made available under this part.

[[Page H9831]]

``(2) National science foundation.--In carrying out the
activities authorized by this part, the Secretary shall
consult and coordinate with the Director of the National
Science Foundation, particularly with respect to the
appropriate roles for the Department and the Foundation in
the conduct of summer workshops, institutes, or partnerships
to improve mathematics and science teaching in elementary
schools and secondary schools.
``(e) Evaluation and Accountability Plan.--
``(1) In general.--Each eligible partnership receiving a
grant or subgrant under this part shall develop an evaluation
and accountability plan for activities assisted under this
part that includes rigorous objectives that measure the
impact of activities funded under this part.
``(2) Contents.--The plan developed pursuant to paragraph
(1)--
``(A) shall include measurable objectives to increase the
number of mathematics and science teachers who participate in
content-based professional development activities;
``(B) shall include measurable objectives for improved
student academic achievement on State mathematics and science
assessments or, where applicable, an International
Mathematics and Science Study assessment; and
``(C) may include objectives and measures for--
``(i) increased participation by students in advanced
courses in mathematics and science;
``(ii) increased percentages of elementary school teachers
with academic majors or minors, or group majors or minors, in
mathematics, engineering, or the sciences; and
``(iii) increased percentages of secondary school classes
in mathematics and science taught by teachers with academic
majors in mathematics, engineering, and science.
``(f) Report.--Each eligible partnership receiving a grant
or subgrant under this part shall report annually to the
Secretary regarding the eligible partnership's progress in
meeting the objectives described in the accountability plan
of the partnership under subsection (e).

``SEC. 2203. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
part $450,000,000 for fiscal year 2002 and such sums as may
be necessary for each of the 5 succeeding fiscal years.

``PART C--INNOVATION FOR TEACHER QUALITY

``Subpart 1--Transitions to Teaching

``CHAPTER A--TROOPS-TO-TEACHERS PROGRAM

``SEC. 2301. DEFINITIONS.

``In this chapter:
``(1) Armed forces.--The term `Armed Forces' means the
Army, Navy, Air Force, Marine Corps, and Coast Guard.
``(2) Member of the armed forces.--The term `member of the
Armed Forces' includes a former member of the Armed Forces.
``(3) Program.--The term `Program' means the Troops-to-
Teachers Program authorized by this chapter.
``(4) Reserve component.--The term `reserve component'
means--
``(A) the Army National Guard of the United States;
``(B) the Army Reserve;
``(C) the Naval Reserve;
``(D) the Marine Corps Reserve;
``(E) the Air National Guard of the United States;
``(F) the Air Force Reserve; and
``(G) the Coast Guard Reserve.
``(5) Secretary concerned.--The term `Secretary concerned'
means--
``(A) the Secretary of the Army, with respect to matters
concerning a reserve component of the Army;
``(B) the Secretary of the Navy, with respect to matters
concerning reserve components named in subparagraphs (C) and
(D) of paragraph (4);
``(C) the Secretary of the Air Force, with respect to
matters concerning a reserve component of the Air Force; and
``(D) the Secretary of Transportation, with respect to
matters concerning the Coast Guard Reserve.

``SEC. 2302. AUTHORIZATION OF TROOPS-TO-TEACHERS PROGRAM.

``(a) Purpose.--The purpose of this section is to authorize
a mechanism for the funding and administration of the Troops-
to-Teachers Program, which was originally established by the
Troops-to-Teachers Program Act of 1999 (title XVII of the
National Defense Authorization Act for Fiscal Year 2000) (20
U.S.C. 9301 et seq.).
``(b) Program Authorized.--The Secretary may carry out a
program (to be known as the `Troops-to-Teachers Program')--
``(1) to assist eligible members of the Armed Forces
described in section 2303 to obtain certification or
licensing as elementary school teachers, secondary school
teachers, or vocational or technical teachers, and to become
highly qualified teachers; and
``(2) to facilitate the employment of such members--
``(A) by local educational agencies or public charter
schools that the Secretary identifies as--
``(i) receiving grants under part A of title I as a result
of having within their jurisdictions concentrations of
children from low-income families; or
``(ii) experiencing a shortage of highly qualified
teachers, in particular a shortage of science, mathematics,
special education, or vocational or technical teachers; and
``(B) in elementary schools or secondary schools, or as
vocational or technical teachers.
``(c) Administration of Program.--The Secretary shall enter
into a memorandum of agreement with the Secretary of Defense
under which the Secretary of Defense, acting through the
Defense Activity for Non-Traditional Education Support of the
Department of Defense, will perform the actual administration
of the Program, other than section 2306. Using funds
appropriated to the Secretary to carry out this chapter, the
Secretary shall transfer to the Secretary of Defense such
amounts as may be necessary to administer the Program
pursuant to the memorandum of agreement.
``(d) Information Regarding Program.--The Secretary shall
provide to the Secretary of Defense information regarding the
Program and applications to participate in the Program, for
distribution as part of preseparation counseling provided
under section 1142 of title 10, United States Code, to
members of the Armed Forces described in section 2303.
``(e) Placement Assistance and Referral Services.--The
Secretary may, with the agreement of the Secretary of
Defense, provide placement assistance and referral services
to members of the Armed Forces who meet the criteria
described in section 2303, including meeting education
qualification requirements under subsection 2303(c)(2). Such
members shall not be eligible for financial assistance under
subsections (c) and (d) of section 2304.

``SEC. 2303. RECRUITMENT AND SELECTION OF PROGRAM
PARTICIPANTS.

``(a) Eligible Members.--The following members of the Armed
Forces are eligible for selection to participate in the
Program:
``(1) Any member who--
``(A) on or after October 1, 1999, becomes entitled to
retired or retainer pay in the manner provided in title 10 or
title 14, United States Code;
``(B) has an approved date of retirement that is within 1
year after the date on which the member submits an
application to participate in the Program; or
``(C) has been transferred to the Retired Reserve.
``(2) Any member who, on or after the date of enactment of
the No Child Left Behind Act of 2001--
``(A)(i) is separated or released from active duty after 6
or more years of continuous active duty immediately before
the separation or release; or
``(ii) has completed a total of at least 10 years of active
duty service, 10 years of service computed under section
12732 of title 10, United States Code, or 10 years of any
combination of such service; and
``(B) executes a reserve commitment agreement for a period
of not less than 3 years under subsection (e)(2).
``(3) Any member who, on or after the date of enactment of
the No Child Left Behind Act of 2001, is retired or separated
for physical disability under chapter 61 of title 10, United
States Code.
``(4) Any member who--
``(A) during the period beginning on October 1, 1990, and
ending on September 30, 1999, was involuntarily discharged or
released from active duty for purposes of a reduction of
force after 6 or more years of continuous active duty
immediately before the discharge or release; or
``(B) applied for the teacher placement program
administered under section 1151 of title 10, United States
Code, before the repeal of that section, and satisfied the
eligibility criteria specified in subsection (c) of such
section 1151.
``(b) Submission of Applications.--
``(1) Form and submission.--Selection of eligible members
of the Armed Forces to participate in the Program shall be
made on the basis of applications submitted to the Secretary
within the time periods specified in paragraph (2). An
application shall be in such form and contain such
information as the Secretary may require.
``(2) Time for submission.--An application shall be
considered to be submitted on a timely basis under paragraph
(1) if--
``(A) in the case of a member described in paragraph
(1)(A), (2), or (3) of subsection (a), the application is
submitted not later than 4 years after the date on which the
member is retired or separated or released from active duty,
whichever applies to the member; or
``(B) in the case of a member described in subsection
(a)(4), the application is submitted not later than September
30, 2003.
``(c) Selection Criteria.--
``(1) Establishment.--Subject to paragraphs (2) and (3),
the Secretary shall prescribe the criteria to be used to
select eligible members of the Armed Forces to participate in
the Program.
``(2) Educational background.--
``(A) Elementary or secondary school teacher.--If a member
of the Armed Forces described in paragraph (1), (2), or (3)
of subsection (a) is applying for assistance for placement as
an elementary school or secondary school teacher, the
Secretary shall require the member to have received a
baccalaureate or advanced degree from an accredited
institution of higher education.
``(B) Vocational or technical teacher.--If a member of the
Armed Forces described in paragraph (1), (2), or (3) of
subsection (a) is applying for assistance for placement as a
vocational or technical teacher, the Secretary shall require
the member--
``(i) to have received the equivalent of 1 year of college
from an accredited institution of higher education and have 6
or more years of military experience in a vocational or
technical field; or
``(ii) to otherwise meet the certification or licensing
requirements for a vocational or technical teacher in the
State in which the member seeks assistance for placement
under the Program.
``(3) Honorable service.--A member of the Armed Forces is
eligible to participate in the Program only if the member's
last period of service in the Armed Forces was honorable, as
characterized by the Secretary concerned (as defined

[[Page H9832]]

in section 101(a)(9) of title 10, United States Code). A
member selected to participate in the Program before the
retirement of the member or the separation or release of
the member from active duty may continue to participate in
the Program after the retirement, separation, or release
only if the member's last period of service is
characterized as honorable by the Secretary concerned (as
so defined).
``(d) Selection Priorities.--In selecting eligible members
of the Armed Forces to receive assistance under the Program,
the Secretary shall give priority to members who have
educational or military experience in science, mathematics,
special education, or vocational or technical subjects and
agree to seek employment as science, mathematics, or special
education teachers in elementary schools or secondary schools
or in other schools under the jurisdiction of a local
educational agency.
``(e) Other Conditions on Selection.--
``(1) Selection subject to funding.--The Secretary may not
select an eligible member of the Armed Forces to participate
in the Program under this section and receive financial
assistance under section 2304 unless the Secretary has
sufficient appropriations for the Program available at the
time of the selection to satisfy the obligations to be
incurred by the United States under section 2304 with respect
to the member.
``(2) Reserve commitment agreement.--The Secretary may not
select an eligible member of the Armed Forces described in
subsection (a)(2)(A) to participate in the Program under this
section and receive financial assistance under section 2304
unless--
``(A) the Secretary notifies the Secretary concerned and
the member that the Secretary has reserved a full stipend or
bonus under section 2304 for the member; and
``(B) the member executes a written agreement with the
Secretary concerned to serve as a member of the Selected
Reserve of a reserve component of the Armed Forces for a
period of not less than 3 years (in addition to any other
reserve commitment the member may have).

``SEC. 2304. PARTICIPATION AGREEMENT AND FINANCIAL
ASSISTANCE.

``(a) Participation Agreement.--
``(1) In general.--An eligible member of the Armed Forces
selected to participate in the Program under section 2303 and
receive financial assistance under this section shall be
required to enter into an agreement with the Secretary in
which the member agrees--
``(A) within such time as the Secretary may require, to
obtain certification or licensing as an elementary school
teacher, secondary school teacher, or vocational or technical
teacher, and to become a highly qualified teacher; and
``(B) to accept an offer of full-time employment as an
elementary school teacher, secondary school teacher, or
vocational or technical teacher for not less than 3 school
years with a high-need local educational agency or public
charter school, as such terms are defined in section 2101, to
begin the school year after obtaining that certification or
licensing.
``(2) Waiver.--The Secretary may waive the 3-year
commitment described in paragraph (1)(B) for a participant if
the Secretary determines such waiver to be appropriate. If
the Secretary provides the waiver, the participant shall not
be considered to be in violation of the agreement and shall
not be required to provide reimbursement under subsection
(f), for failure to meet the 3-year commitment.
``(b) Violation of Participation Agreement; Exceptions.--A
participant in the Program shall not be considered to be in
violation of the participation agreement entered into under
subsection (a) during any period in which the participant--
``(1) is pursuing a full-time course of study related to
the field of teaching at an institution of higher education;
``(2) is serving on active duty as a member of the Armed
Forces;
``(3) is temporarily totally disabled for a period of time
not to exceed 3 years as established by sworn affidavit of a
qualified physician;
``(4) is unable to secure employment for a period not to
exceed 12 months by reason of the care required by a spouse
who is disabled;
``(5) is a highly qualified teacher who is seeking and
unable to find full-time employment as a teacher in an
elementary school or secondary school or as a vocational or
technical teacher for a single period not to exceed 27
months; or
``(6) satisfies the provisions of additional reimbursement
exceptions that may be prescribed by the Secretary.
``(c) Stipend for Participants.--
``(1) Stipend authorized.--Subject to paragraph (2), the
Secretary may pay to a participant in the Program selected
under section 2303 a stipend in an amount of not more than
$5,000.
``(2) Limitation.--The total number of stipends that may be
paid under paragraph (1) in any fiscal year may not exceed
5,000.
``(d) Bonus for Participants.--
``(1) Bonus authorized.--Subject to paragraph (2), the
Secretary may, in lieu of paying a stipend under subsection
(c), pay a bonus of $10,000 to a participant in the Program
selected under section 2303 who agrees in the participation
agreement under subsection (a) to become a highly qualified
teacher and to accept full-time employment as an elementary
school teacher, secondary school teacher, or vocational or
technical teacher for not less than 3 school years in a high-
need school.
``(2) Limitation.--The total number of bonuses that may be
paid under paragraph (1) in any fiscal year may not exceed
3,000.
``(3) High-need school defined.--In this subsection, the
term `high-need school' means a public elementary school,
public secondary school, or public charter school that meets
one or more of the following criteria:
``(A) Low-income children.--At least 50 percent of the
students enrolled in the school were from low-income families
(as described in section 2302(b)(2)(A)(i)).
``(B) Children with disabilities.--The school has a large
percentage of students who qualify for assistance under part
B of the Individuals with Disabilities Education Act.
``(e) Treatment of Stipend and Bonus.--A stipend or bonus
paid under this section to a participant in the Program shall
be taken into account in determining the eligibility of the
participant for Federal student financial assistance provided
under title IV of the Higher Education Act of 1965.
``(f) Reimbursement Under Certain Circumstances.--
``(1) Reimbursement required.--A participant in the Program
who is paid a stipend or bonus under this section shall be
required to repay the stipend or bonus under the following
circumstances:
``(A) Failure to obtain qualifications or employment.--The
participant fails to obtain teacher certification or
licensing, to become a highly qualified teacher, or to obtain
employment as an elementary school teacher, secondary school
teacher, or vocational or technical teacher as required by
the participation agreement under subsection (a).
``(B) Termination of employment.--The participant
voluntarily leaves, or is terminated for cause from,
employment as an elementary school teacher, secondary school
teacher, or vocational or technical teacher during the 3
years of required service in violation of the participation
agreement.
``(C) Failure to complete service under reserve commitment
agreement.--The participant executed a written agreement with
the Secretary concerned under section 2303(e)(2) to serve as
a member of a reserve component of the Armed Forces for a
period of 3 years and fails to complete the required term of
service.
``(2) Amount of reimbursement.--A participant required to
reimburse the Secretary for a stipend or bonus paid to the
participant under this section shall pay an amount that bears
the same ratio to the amount of the stipend or bonus as the
unserved portion of required service bears to the 3 years of
required service. Any amount owed by the participant shall
bear interest at the rate equal to the highest rate being
paid by the United States on the day on which the
reimbursement is determined to be due for securities having
maturities of 90 days or less and shall accrue from the day
on which the participant is first notified of the amount due.
``(3) Treatment of obligation.--The obligation to reimburse
the Secretary under this subsection is, for all purposes, a
debt owing the United States. A discharge in bankruptcy under
title 11, United States Code, shall not release a participant
from the obligation to reimburse the Secretary under this
subsection.
``(4) Exceptions to reimbursement requirement.--A
participant shall be excused from reimbursement under this
subsection if the participant becomes permanently totally
disabled as established by sworn affidavit of a qualified
physician. The Secretary may also waive the reimbursement in
cases of extreme hardship to the participant, as determined
by the Secretary.
``(g) Relationship to Educational Assistance Under
Montgomery GI Bill.--The receipt by a participant in the
Program of a stipend or bonus under this section shall not
reduce or otherwise affect the entitlement of the participant
to any benefits under chapter 30 of title 38, United States
Code, or chapter 1606 of title 10, United States Code.

``SEC. 2305. PARTICIPATION BY STATES.

``(a) Discharge of State Activities Through Consortia of
States.--The Secretary may permit States participating in the
Program to carry out activities authorized for such States
under the Program through one or more consortia of such
States.
``(b) Assistance to States.--
``(1) Grants authorized.--Subject to paragraph (2), the
Secretary may make grants to States participating in the
Program, or to consortia of such States, in order to permit
such States or consortia of States to operate offices for
purposes of recruiting eligible members of the Armed Forces
for participation in the Program and facilitating the
employment of participants in the Program as elementary
school teachers, secondary school teachers, and vocational or
technical teachers.
``(2) Limitation.--The total amount of grants made under
paragraph (1) in any fiscal year may not exceed $5,000,000.

``SEC. 2306. SUPPORT OF INNOVATIVE PRERETIREMENT TEACHER
CERTIFICATION PROGRAMS.

``(a) Purpose.--The purpose of this section is to provide
funding to develop, implement, and demonstrate teacher
certification programs.
``(b) Development, Implementation and Demonstration.--The
Secretary may enter into a memorandum of agreement with a
State educational agency, an institution of higher education,
or a consortia of State educational agencies or institutions
of higher education, to develop, implement, and demonstrate
teacher certification programs for members of the Armed
Forces described in section 2303(a)(1)(B) for the purpose of
assisting such members to consider and prepare for a career
as a highly qualified elementary school teacher, secondary
school teacher, or vocational or technical teacher upon
retirement from the Armed Forces.
``(c) Program Elements.--A teacher certification program
under subsection (b) shall--
``(1) provide recognition of military experience and
training as related to certification or licensing
requirements;
``(2) provide courses of instruction that may be conducted
on or near a military installation;
``(3) incorporate alternative approaches to achieve teacher
certification, such as innovative

[[Page H9833]]

methods to gaining field-based teaching experiences, and
assessment of background and experience as related to skills,
knowledge, and abilities required of elementary school
teachers, secondary school teachers, or vocational or
technical teachers;
``(4) provide for courses to be delivered via distance
education methods; and
``(5) address any additional requirements or specifications
established by the Secretary.
``(d) Application Procedures.--
``(1) In general.--A State educational agencies or
institution of higher education (or a consortium of State
educational agencies or institutions of higher education)
that desires to enter into a memorandum under subsection (b)
shall prepare and submit to the Secretary a proposal, at such
time, in such manner, and containing such information as the
Secretary may require, including an assurance that the State
educational agency, institution, or consortium is operating a
program leading to State approved teacher certification.
``(2) Preference.--The Secretary shall give preference to
State educational agencies, institutions, and consortia that
submit proposals that provide for cost sharing with respect
to the program involved.
``(e) Continuation of Programs.--Upon successful completion
of the demonstration phase of teacher certification programs
funded under this section, the continued operation of the
teacher certification programs shall not be the
responsibility of the Secretary. A State educational agency,
institution, or consortium that desires to continue a program
that is funded under this section after such funding is
terminated shall use amounts derived from tuition charges to
continue such program.
``(f) Funding Limitation.--The total amount obligated by
the Secretary under this section for any fiscal year may not
exceed $10,000,000.

``SEC. 2307. REPORTING REQUIREMENTS.

``(a) Report Required.--Not later than March 31, 2006, the
Secretary (in consultation with the Secretary of Defense and
the Secretary of Transportation) and the Comptroller General
of the United States shall submit to Congress a report on the
effectiveness of the Program in the recruitment and retention
of qualified personnel by local educational agencies and
public charter schools.
``(b) Elements of Report.--The report submitted under
subsection (a) shall include information on the following:
``(1) The number of participants in the Program.
``(2) The schools in which the participants are employed.
``(3) The grade levels at which the participants teach.
``(4) The academic subjects taught by the participants.
``(5) The rates of retention of the participants by the
local educational agencies and public charter schools
employing the participants.
``(6) Such other matters as the Secretary or the
Comptroller General of the United States, as the case may be,
considers to be appropriate.

``CHAPTER B--TRANSITION TO TEACHING PROGRAM

``SEC. 2311. PURPOSES.

``The purposes of this chapter are--
``(1) to establish a program to recruit and retain highly
qualified mid-career professionals (including highly
qualified paraprofessionals), and recent graduates of an
institution of higher education, as teachers in high-need
schools, including recruiting teachers through alternative
routes to certification; and
``(2) to encourage the development and expansion of
alternative routes to certification under State-approved
programs that enable individuals to be eligible for teacher
certification within a reduced period of time, relying on the
experience, expertise, and academic qualifications of an
individual, or other factors in lieu of traditional course
work in the field of education.

``SEC. 2312. DEFINITIONS.

``In this chapter:
``(1) Eligible participant.--The term `eligible
participant' means--
``(A) an individual with substantial, demonstrable career
experience, including a highly qualified paraprofessional; or
``(B) an individual who is a graduate of an institution of
higher education who--
``(i) has graduated not more than 3 years before applying
to an eligible entity to teach under this chapter; and
``(ii) in the case of an individual wishing to teach in a
secondary school, has completed an academic major (or courses
totaling an equivalent number of credit hours) in the
academic subject that the individual will teach.
``(2) High-need local educational agency.--The term `high-
need local educational agency' has the meaning given the term
in section 2102.
``(3) High-need school.--The term `high-need school' means
a school that--
``(A) is located in an area in which the percentage of
students from families with incomes below the poverty line is
30 percent or more; or
``(B)(i) is located in an area with a high percentage of
out-of-field teachers, as defined in section 2102;
``(ii) is within the top quartile of elementary schools and
secondary schools statewide, as ranked by the number of
unfilled, available teacher positions at the schools;
``(iii) is located in an area in which there is a high
teacher turnover rate; or
``(iv) is located in an area in which there is a high
percentage of teachers who are not certified or licensed.

``SEC. 2313. GRANT PROGRAM.

``(a) In General.--The Secretary may establish a program to
make grants on a competitive basis to eligible entities to
develop State and local teacher corps or other programs to
establish, expand, or enhance teacher recruitment and
retention efforts.
``(b) Eligible entity.--To be eligible to receive a grant
under this section, an entity shall be--
``(1) a State educational agency;
``(2) a high-need local educational agency;
``(3) a for-profit or nonprofit organization that has a
proven record of effectively recruiting and retaining highly
qualified teachers, in a partnership with a high-need local
educational agency or with a State educational agency;
``(4) an institution of higher education, in a partnership
with a high-need local educational agency or with a State
educational agency;
``(5) a regional consortium of State educational agencies;
or
``(6) a consortium of high-need local educational agencies.
``(c) Priority.--In making such a grant, the Secretary
shall give priority to a partnership or consortium that
includes a high-need State educational agency or local
educational agency.
``(d) Application.--
``(1) In general.--To be eligible to receive a grant under
this section, an entity described in subsection (b) shall
submit an application to the Secretary at such time, in such
manner, and containing such information as the Secretary may
require.
``(2) Contents.--The application shall describe--
``(A) one or more target recruitment groups on which the
applicant will focus its recruitment efforts;
``(B) the characteristics of each such target group that--
``(i) show the knowledge and experience of the group's
members; and
``(ii) demonstrate that the members are eligible to achieve
the objectives of this section;
``(C) describe how the applicant will use funds received
under this section to develop a teacher corps or other
program to recruit and retain highly qualified midcareer
professionals (which may include highly qualified
paraprofessionals), recent college graduates, and recent
graduate school graduates, as highly qualified teachers in
high-need schools operated by high-need local educational
agencies;
``(D) explain how the program carried out under the grant
will meet the relevant State laws (including regulations)
related to teacher certification or licensing and facilitate
the certification or licensing of such teachers;
``(E) describe how the grant will increase the number of
highly qualified teachers, in high-need schools operated by
high-need local educational agencies (in urban or rural
school districts), and in high-need academic subjects, in the
jurisdiction served by the applicant; and
``(F) describe how the applicant will collaborate, as
needed, with other institutions, agencies, or organizations
to recruit (particularly through activities that have proven
effective in retaining highly qualified teachers), train,
place, support, and provide teacher induction programs to
program participants under this chapter, including providing
evidence of the commitment of the institutions, agencies, or
organizations to the applicant's programs.
``(e) Duration of Grants.--The Secretary may make grants
under this section for periods of 5 years. At the end of the
5-year period for such a grant, the grant recipient may apply
for an additional grant under this section.
``(f) Equitable Distribution.--To the extent practicable,
the Secretary shall ensure an equitable geographic
distribution of grants under this section among the regions
of the United States.
``(g) Uses of Funds.--
``(1) In general.--An entity that receives a grant under
this section shall use the funds made available through the
grant to develop a teacher corps or other program in order to
establish, expand, or enhance a teacher recruitment and
retention program for highly qualified mid-career
professionals (including highly qualified paraprofessionals),
and recent graduates of an institution of higher education,
who are eligible participants, including activities that
provide alternative routes to teacher certification.
``(2) Authorized activities.--The entity shall use the
funds to carry out a program that includes two or more of the
following activities:
``(A) Providing scholarships, stipends, bonuses, and other
financial incentives, that are linked to participation in
activities that have proven effective in retaining teachers
in high-need schools operated by high-need local educational
agencies, to all eligible participants, in an amount not to
exceed $5,000 per participant.
``(B) Carrying out pre- and post-placement induction or
support activities that have proven effective in recruiting
and retaining teachers, such as--
``(i) teacher mentoring;
``(ii) providing internships;
``(iii) providing high-quality, preservice coursework; and
``(iv) providing high-quality, sustained inservice
professional development.
``(C) Carrying out placement and ongoing activities to
ensure that teachers are placed in fields in which the
teachers are highly qualified to teach and are placed in
high-need schools.
``(D) Making payments to pay for costs associated with
accepting teachers recruited under this section from among
eligible participants or provide financial incentives to
prospective teachers who are eligible participants.
``(E) Collaborating with institutions of higher education
in developing and implementing programs to facilitate teacher
recruitment (including teacher credentialing) and teacher
retention programs.
``(F) Carrying out other programs, projects, and activities
that are designed and have proven to be effective in
recruiting and retaining teachers, and that the Secretary
determines to be appropriate.

[[Page H9834]]

``(G) Developing long-term recruitment and retention
strategies including developing--
``(i) a statewide or regionwide clearinghouse for the
recruitment and placement of teachers;
``(ii) administrative structures to develop and implement
programs to provide alternative routes to certification;
``(iii) reciprocity agreements between or among States for
the certification or licensing of teachers; or
``(iv) other long-term teacher recruitment and retention
strategies.
``(3) Effective programs.--The entity shall use the funds
only for programs that have proven to be effective in both
recruiting and retaining teachers.
``(h) Requirements.--
``(1) Targeting.--An entity that receives a grant under
this section to carry out a program shall ensure that
participants in the program recruited with funds made
available under this section are placed in high-need schools
operated by high-need local educational agencies. In placing
the participants in the schools, the entity shall give
priority to the schools that are located in areas with the
highest percentages of students from families with incomes
below the poverty line.
``(2) Supplement, not supplant.--Funds made available under
this section shall be used to supplement, and not supplant,
State and local public funds expended for teacher recruitment
and retention programs, including programs to recruit the
teachers through alternative routes to certification.
``(3) Partnerships and consortia of local educational
agencies.--In the case of a partnership established by a
local educational agency to carry out a program under this
chapter, or a consortium of such agencies established to
carry out a program under this chapter, the local educational
agency or consortium shall not be eligible to receive funds
through a State program under this chapter.
``(i) Period of Service.--A program participant in a
program under this chapter who receives training through the
program shall serve a high-need school operated by a high-
need local educational agency for at least 3 years.
``(j) Repayment.--The Secretary shall establish such
requirements as the Secretary determines to be appropriate to
ensure that program participants who receive a stipend or
other financial incentive under subsection (g)(2)(A), but
fail to complete their service obligation under subsection
(i), repay all or a portion of such stipend or other
incentive.
``(k) Administrative Funds.--No entity that receives a
grant under this section shall use more than 5 percent of the
funds made available through the grant for the administration
of a program under this chapter carried out under the grant.

``SEC. 2314. EVALUATION AND ACCOUNTABILITY FOR RECRUITING AND
RETAINING TEACHERS.

``(a) Evaluation.--Each entity that receives a grant under
this chapter shall conduct--
``(1) an interim evaluation of the program funded under the
grant at the end of the third year of the grant period; and
``(2) a final evaluation of the program at the end of the
fifth year of the grant period.
``(b) Contents.--In conducting the evaluation, the entity
shall describe the extent to which local educational agencies
that received funds through the grant have met the goals
relating to teacher recruitment and retention described in
the application.
``(c) Reports.--The entity shall prepare and submit to the
Secretary and to Congress interim and final reports
containing the results of the interim and final evaluations,
respectively.
``(d) Revocation.--If the Secretary determines that the
recipient of a grant under this chapter has not made
substantial progress in meeting such goals and the objectives
of the grant by the end of the third year of the grant
period, the Secretary--
``(1) shall revoke the payment made for the fourth year of
the grant period; and
``(2) shall not make a payment for the fifth year of the
grant period.

``CHAPTER C--GENERAL PROVISIONS

``SEC. 2321. AUTHORIZATION OF APPROPRIATIONS.

``(a) In General.--There are authorized to be appropriated
to carry out this subpart $150,000,000 for fiscal year 2002
and such sums as may be necessary for each of the 5
succeeding fiscal years.
``(b) Reservation.--From the funds appropriated to carry
out this subpart for fiscal year 2002, the Secretary shall
reserve not more than $30,000,000 to carry out chapter A.

``Subpart 2--National Writing Project

``SEC. 2331. PURPOSES.

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

``SEC. 2332. NATIONAL WRITING PROJECT.

``(a) Authorization.--The Secretary is authorized to award
a grant to the National Writing Project, a nonprofit
educational organization that has as its primary purpose the
improvement of the quality of student writing and learning
(hereafter in this section referred to as the `grantee') to
improve the teaching of writing and the use of writing as a
part of the learning process in our Nation's classrooms.
``(b) Requirements of Grant.--The grant shall provide
that--
``(1) the grantee will enter into contracts with
institutions of higher education or other nonprofit
educational providers (hereafter in this section referred to
as `contractors') under which the contractors will agree to
establish, operate, and provide the non-Federal share of the
cost of teacher training programs in effective approaches and
processes for the teaching of writing;
``(2) funds made available by the Secretary to the grantee
pursuant to any contract entered into under this section will
be used to pay the Federal share of the cost of establishing
and operating teacher training programs as provided in
paragraph (1); and
``(3) the grantee will meet such other conditions and
standards as the Secretary determines to be necessary to
assure compliance with the provisions of this section and
will provide such technical assistance as may be necessary to
carry out the provisions of this section.
``(c) Teacher Training Programs.--The teacher training
programs authorized in subsection (a) shall--
``(1) be conducted during the school year and during the
summer months;
``(2) train teachers who teach grades kindergarten through
college;
``(3) select teachers to become members of a National
Writing Project teacher network whose members will conduct
writing workshops for other teachers in the area served by
each National Writing Project site; and
``(4) encourage teachers from all disciplines to
participate in such teacher training programs.
``(d) Federal Share.--
``(1) In general.--Except as provided in paragraph (2) or
(3) and for purposes of subsection (a), the term `Federal
share' means, with respect to the costs of teacher
training programs authorized in subsection (a), 50 percent
of such costs to the contractor.
``(2) Waiver.--The Secretary may waive the provisions of
paragraph (1) on a case-by-case basis if the National
Advisory Board described in subsection (e) determines, on the
basis of financial need, that such waiver is necessary.
``(3) Maximum.--The Federal share of the costs of teacher
training programs conducted pursuant to subsection (a) may
not exceed $100,000 for any one contractor, or $200,000 for a
statewide program administered by any one contractor in at
least five sites throughout the State.
``(e) National Advisory Board.--
``(1) Establishment.--The National Writing Project shall
establish and operate a National Advisory Board.
``(2) Composition.--The National Advisory Board established
pursuant to paragraph (1) shall consist of--
``(A) national educational leaders;
``(B) leaders in the field of writing; and
``(C) such other individuals as the National Writing
Project determines necessary.
``(3) Duties.--The National Advisory Board established
pursuant to paragraph (1) shall--
``(A) advise the National Writing Project on national
issues related to student writing and the teaching of
writing;
``(B) review the activities and programs of the National
Writing Project; and
``(C) support the continued development of the National
Writing Project.
``(f) Evaluation.--
``(1) In general.--The Secretary shall conduct an
independent evaluation by grant or contract of the teacher
training programs administered pursuant to this subpart. Such
evaluation shall specify the amount of funds expended by the
National Writing Project and each contractor receiving
assistance under this section for administrative costs. The
results of such evaluation shall be made available to the
appropriate committees of Congress.
``(2) Funding limitation.--The Secretary shall reserve not
more than $150,000 from the total amount appropriated
pursuant to the authority of subsection (h) for fiscal year
2002 and each of the 5 succeeding fiscal years to conduct the
evaluation described in paragraph (1).
``(g) Application Review.--
``(1) Review board.--The National Writing Project shall
establish and operate a National Review Board that shall
consist of--
``(A) leaders in the field of research in writing; and
``(B) such other individuals as the National Writing
Project deems necessary.
``(2) Duties.--The National Review Board shall--
``(A) review all applications for assistance under this
subsection; and
``(B) recommend applications for assistance under this
subsection for funding by the National Writing Project.
``(h) Authorization of Appropriations.--There are
authorized to be appropriated to carry out this subpart
$15,000,000 as may be necessary for fiscal year 2002 and each
of the 5 succeeding fiscal years.

``Subpart 3--Civic Education

``SEC. 2341. SHORT TITLE.

``This subpart may be cited as the `Education for Democracy
Act'.

``SEC. 2342. PURPOSE.

``It is the purpose of this subpart--
``(1) to improve the quality of civics and government
education by educating students about the history and
principles of the Constitution of the United States,
including the Bill of Rights;
``(2) to foster civic competence and responsibility; and
``(3) to improve the quality of civic education and
economic education through cooperative civic education and
economic education exchange programs with emerging
democracies.

``SEC. 2343. GENERAL AUTHORITY.

``(a) Authority.--The Secretary is authorized to award
grants to, or enter into contracts with--

[[Page H9835]]

``(1) the Center for Civic Education, to carry out civic
education activities under sections 2344 and 2345;
``(2) the National Council on Economic Education, to carry
out economic education activities under section 2345; and
``(3) organizations experienced in the development of
curricula and programs in civics and government education and
economic education for students in elementary schools and
secondary schools in countries other than the United States,
to carry out civic education activities under section 2345.
``(b) Distribution for Cooperative Civic Education and
Economic Education Exchange Programs.--
``(1) Limitation.--Not more than 40 percent of the amount
appropriated under section 2346 for a fiscal year shall be
used to carry out section 2345.
``(2) Distribution.--Of the amount used to carry out
section 2345 for a fiscal year (consistent with paragraph
(1)), the Secretary shall use--
``(A) 37.5 percent for a grant or contract for the Center
for Civic Education;
``(B) 37.5 percent for a grant or contract for the National
Council on Economic Education; and
``(C) 25 percent for not less than 1, but not more than 3,
grants or contracts for organizations described in subsection
(a)(3).

``SEC. 2344. WE THE PEOPLE PROGRAM.

``(a) The Citizen and the Constitution.--
``(1) Educational activities.--The Center for Civic
Education--
``(A) shall use funds made available under grants or
contracts under section 2343(a)(1)--
``(i) to continue and expand the educational activities of
the program entitled the `We the People . . . The Citizen and
the Constitution' program administered by such center;
``(ii) to carry out activities to enhance student
attainment of challenging academic content standards in
civics and government;
``(iii) to provide a course of instruction on the basic
principles of the Nation's constitutional democracy and the
history of the Constitution of the United States, including
the Bill of Rights;
``(iv) to provide, at the request of a participating
school, school and community simulated congressional hearings
following the course of instruction described in clause
(iii); and
``(v) to provide an annual national competition of
simulated congressional hearings for secondary school
students who wish to participate in such a program; and
``(B) may use funds made available under grants or
contracts under section 2343(a)(1)--
``(i) to provide advanced, sustained, and ongoing training
of teachers about the Constitution of the United States and
the political system of the United States;
``(ii) to provide materials and methods of instruction,
including teacher training, that utilize the latest
advancements in educational technology; and
``(iii) to provide civic education materials and services
to address specific problems such as the prevention of school
violence and the abuse of drugs and alcohol.
``(2) Availability of program.--The education program
authorized under this subsection shall be made available to
public and private elementary schools and secondary schools,
including Bureau funded schools, in the 435 congressional
districts, and in the District of Columbia, the Commonwealth
of Puerto Rico, the United States Virgin Islands, Guam,
American Samoa, and the Commonwealth of the Northern Mariana
Islands.
``(b) Project Citizen.--
``(1) Educational activities.--The Center for Civic
Education--
``(A) shall use funds made available under grants or
contracts under section 2343(a)(1)--
``(i) to continue and expand the educational activities of
the program entitled the `We the People . . . Project
Citizen' program administered by the Center;
``(ii) to carry out activities to enhance student
attainment of challenging academic content standards in
civics and government;
``(iii) to provide a course of instruction at the middle
school level on the roles of State and local governments in
the Federal system established by the Constitution of the
United States; and
``(iv) to provide an annual national showcase or
competition; and
``(B) may use funds made available under grants or
contracts under section 2343(a)(1)--
``(i) to provide optional school and community simulated
State legislative hearings;
``(ii) to provide advanced, sustained, and ongoing training
of teachers on the roles of State and local governments in
the Federal system established by the Constitution of the
United States;
``(iii) to provide materials and methods of instruction,
including teacher training, that utilize the latest
advancements in educational technology; and
``(iv) to provide civic education materials and services to
address specific problems such as the prevention of school
violence and the abuse of drugs and alcohol.
``(2) Availability of program.--The education program
authorized under this subsection shall be made available to
public and private middle schools, including Bureau funded
schools, in the 50 States of the United States, the District
of Columbia, the Commonwealth of Puerto Rico, the United
States Virgin Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands.
``(c) Bureau-Funded School Defined.--In this section, the
term `Bureau-funded school' has the meaning given such term
in section 1146 of the Education Amendments of 1978 (25
U.S.C. 2026).

``SEC. 2345. COOPERATIVE CIVIC EDUCATION AND ECONOMIC
EDUCATION EXCHANGE PROGRAMS.

``(a) Cooperative Education Exchange Programs.--The Center
for Civic Education, the National Council on Economic
Education, and organizations described in section 2343(a)(3)
shall use funds made available under grants or contracts
under section 2343 to carry out cooperative education
exchange programs in accordance with this section.
``(b) Purpose.--The purpose of the cooperative education
exchange programs carried out under this section shall be--
``(1) to make available to educators from eligible
countries exemplary curriculum and teacher training programs
in civics and government education, and economics education,
developed in the United States;
``(2) to assist eligible countries in the adaptation,
implementation, and institutionalization of such programs;
``(3) to create and implement civics and government
education, and economic education, programs for students that
draw upon the experiences of the participating eligible
countries;
``(4) to provide a means for the exchange of ideas and
experiences in civics and government education, and economic
education, among political, educational, governmental, and
private sector leaders of participating eligible countries;
and
``(5) to provide support for--
``(A) independent research and evaluation to determine the
effects of educational programs on students' development of
the knowledge, skills, and traits of character essential for
the preservation and improvement of constitutional democracy;
and
``(B) effective participation in, and the preservation and
improvement of, an efficient market economy.
``(c) Activities.--In carrying out the cooperative
education exchange programs assisted under this section, the
Center for Civic Education, the National Council on Economic
Education, and organizations described in section 2343(a)(3)
shall--
``(1) provide to the participants from eligible countries--
``(A) seminars on the basic principles of United States
constitutional democracy and economic system, including
seminars on the major governmental and economic institutions
and systems in the United States, and visits to such
institutions;
``(B) visits to school systems, institutions of higher
education, and nonprofit organizations conducting exemplary
programs in civics and government education, and economic
education, in the United States;
``(C) translations and adaptations with respect to United
States civics and government education, and economic
education, curricular programs for students and teachers, and
in the case of training programs for teachers, translations
and adaptations into forms useful in schools in eligible
countries, and joint research projects in such areas; and
``(D) independent research and evaluation assistance--
``(i) to determine the effects of the cooperative education
exchange programs on students' development of the knowledge,
skills, and traits of character essential for the
preservation and improvement of constitutional democracy; and
``(ii) to identify effective participation in, and the
preservation and improvement of, an efficient market economy;
``(2) provide to the participants from the United States--
``(A) seminars on the histories, economies, and systems of
government of eligible countries;
``(B) visits to school systems, institutions of higher
education, and organizations conducting exemplary programs in
civics and government education, and economic education,
located in eligible countries;
``(C) assistance from educators and scholars in eligible
countries in the development of curricular materials on the
history, government, and economy of such countries that are
useful in United States classrooms;
``(D) opportunities to provide onsite demonstrations of
United States curricula and pedagogy for educational leaders
in eligible countries; and
``(E) independent research and evaluation assistance to
determine--
``(i) the effects of the cooperative education exchange
programs assisted under this section on students' development
of the knowledge, skills, and traits of character essential
for the preservation and improvement of constitutional
democracy; and
``(ii) effective participation in, and improvement of, an
efficient market economy; and
``(3) assist participants from eligible countries and the
United States to participate in international conferences on
civics and government education, and economic education, for
educational leaders, teacher trainers, scholars in related
disciplines, and educational policymakers.
``(d) Participants.--The primary participants in the
cooperative education exchange programs assisted under this
section shall be educational leaders in the areas of civics
and government education, and economic education, including
teachers, curriculum and teacher training specialists,
scholars in relevant disciplines, and educational
policymakers, and government and private sector leaders from
the United States and eligible countries.
``(e) Consultation.--The Secretary may award a grant to, or
enter into a contract with, the entities described in section
2343 to carry out programs assisted under this section only
if the Secretary of State concurs with the Secretary that
such grant, or contract, respectively, is consistent with the
foreign policy of the United States.
``(f) Avoidance of Duplication.--With the concurrence of
the Secretary of State, the Secretary shall ensure that--

[[Page H9836]]

``(1) the activities carried out under the programs
assisted under this section are not duplicative of other
activities conducted in eligible countries; and
``(2) any institutions in eligible countries, with which
the Center for Civic Education, the National Council on
Economic Education, or organizations described in section
2343(a)(3) may work in conducting such activities, are
creditable.
``(g) Eligible Country Defined.--In this section, the term
`eligible country' means a Central European country,
an Eastern European country, Lithuania, Latvia, Estonia,
the independent states of the former Soviet Union as
defined in section 3 of the FREEDOM Support Act (22 U.S.C.
5801), the Republic of Ireland, the province of Northern
Ireland in the United Kingdom, and any developing country
(as such term is defined in section 209(d) of the
Education for the Deaf Act) if the Secretary, with the
concurrence of the Secretary of State, determines that
such developing country has a democratic form of
government.

``SEC. 2346. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
subpart $30,000,000 for fiscal year 2002 and such sums as may
be necessary for each of the 5 succeeding fiscal years.

``Subpart 4--Teaching of Traditional American History

``SEC. 2351. ESTABLISHMENT OF PROGRAM.

``(a) In General.--The Secretary may establish and
implement a program to be known as the `Teaching American
History Grant Program', under which the Secretary shall award
grants on a competitive basis to local educational agencies--
``(1) to carry out activities to promote the teaching of
traditional American history in elementary schools and
secondary schools as a separate academic subject (not as a
component of social studies); and
``(2) for the development, implementation, and
strengthening of programs to teach traditional American
history as a separate academic subject (not as a component of
social studies) within elementary school and secondary school
curricula, including the implementation of activities--
``(A) to improve the quality of instruction; and
``(B) to provide professional development and teacher
education activities with respect to American history.
``(b) Required Partnership.--A local educational agency
that receives a grant under subsection (a) shall carry out
activities under the grant in partnership with one or more of
the following:
``(1) An institution of higher education.
``(2) A nonprofit history or humanities organization.
``(3) A library or museum.
``(c) Application.--To be eligible to receive an grant
under this section, a local educational agency shall submit
an application to the Secretary at such time, in such manner,
and containing such information as the Secretary may require.

``SEC. 2352. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
subpart such sums as may be necessary for fiscal year 2002
and each of the 5 succeeding fiscal years.

``Subpart 5--Teacher Liability Protection

``SEC. 2361. SHORT TITLE.

``This subpart may be cited as the `Paul D. Coverdell
Teacher Protection Act of 2001'.

``SEC. 2362. PURPOSE.

``The purpose of this subpart is to provide teachers,
principals, and other school professionals the tools they
need to undertake reasonable actions to maintain order,
discipline, and an appropriate educational environment.

``SEC. 2363. DEFINITIONS.

``For purposes of this subpart:
``(1) Economic loss.--The term `economic loss' means any
pecuniary loss resulting from harm (including the loss of
earnings or other benefits related to employment, medical
expense loss, replacement services loss, loss due to death,
burial costs, and loss of business or employment
opportunities) to the extent recovery for such loss is
allowed under applicable State law.
``(2) Harm.--The term `harm' includes physical,
nonphysical, economic, and noneconomic losses.
``(3) Noneconomic loss.--The term `noneconomic loss' means
loss for physical or emotional pain, suffering,
inconvenience, physical impairment, mental anguish,
disfigurement, loss of enjoyment of life, loss of society or
companionship, loss of consortium (other than loss of
domestic service), hedonic damages, injury to reputation, or
any other nonpecuniary loss of any kind or nature.
``(4) School.--The term `school' means a public or private
kindergarten, a public or private elementary school or
secondary school, or a home school.
``(5) State.--The term `State' means each of the several
States of the United States, the District of Columbia, the
Commonwealth of Puerto Rico, the United States Virgin
Islands, Guam, American Samoa, the Commonwealth of the
Northern Mariana Islands, any other territory or possession
of the United States, or any political subdivision of any
such State, territory, or possession.
``(6) Teacher.--The term `teacher' means--
``(A) a teacher, instructor, principal, or administrator;
``(B) another educational professional who works in a
school;
``(C) a professional or nonprofessional employee who--
``(i) works in a school; and
``(ii)(I) in the employee's job, maintains discipline or
ensures safety; or
``(II) in an emergency, is called on to maintain discipline
or ensure safety; or
``(D) an individual member of a school board (as distinct
from the board).

``SEC. 2364. APPLICABILITY.

``This subpart shall only apply to States that receive
funds under this Act, and shall apply to such a State as a
condition of receiving such funds.

``SEC. 2365. PREEMPTION AND ELECTION OF STATE
NONAPPLICABILITY.

``(a) Preemption.--This subpart preempts the laws of any
State to the extent that such laws are inconsistent with this
subpart, except that this subpart shall not preempt any State
law that provides additional protection from liability
relating to teachers.
``(b) Election of State Regarding Nonapplicability.--This
subpart shall not apply to any civil action in a State court
against a teacher with respect to claims arising within that
State if such State enacts a statute in accordance with State
requirements for enacting legislation--
``(1) citing the authority of this subsection;
``(2) declaring the election of such State that this
subpart shall not apply, as of a date certain, to such civil
action in the State; and
``(3) containing no other provisions.

``SEC. 2366. LIMITATION ON LIABILITY FOR TEACHERS.

``(a) Liability Protection for Teachers.--Except as
provided in subsection (b), no teacher in a school shall be
liable for harm caused by an act or omission of the teacher
on behalf of the school if--
``(1) the teacher was acting within the scope of the
teacher's employment or responsibilities to a school or
governmental entity;
``(2) the actions of the teacher were carried out in
conformity with Federal, State, and local laws (including
rules and regulations) in furtherance of efforts to control,
discipline, expel, or suspend a student or maintain order or
control in the classroom or school;
``(3) if appropriate or required, the teacher was properly
licensed, certified, or authorized by the appropriate
authorities for the activities or practice involved in the
State in which the harm occurred, where the activities were
or practice was undertaken within the scope of the teacher's
responsibilities;
``(4) the harm was not caused by willful or criminal
misconduct, gross negligence, reckless misconduct, or a
conscious, flagrant indifference to the rights or safety of
the individual harmed by the teacher; and
``(5) the harm was not caused by the teacher operating a
motor vehicle, vessel, aircraft, or other vehicle for which
the State requires the operator or the owner of the vehicle,
craft, or vessel to--
``(A) possess an operator's license; or
``(B) maintain insurance.
``(b) Exceptions to Teacher Liability Protection.--If the
laws of a State limit teacher liability subject to one or
more of the following conditions, such conditions shall not
be construed as inconsistent with this section:
``(1) A State law that requires a school or governmental
entity to adhere to risk management procedures, including
mandatory training of teachers.
``(2) A State law that makes the school or governmental
entity liable for the acts or omissions of its teachers to
the same extent as an employer is liable for the acts or
omissions of its employees.
``(3) A State law that makes a limitation of liability
inapplicable if the civil action was brought by an officer of
a State or local government pursuant to State or local law.
``(c) Limitation on Punitive Damages Based on the Actions
of Teachers.--
``(1) General rule.--Punitive damages may not be awarded
against a teacher in an action brought for harm based on the
act or omission of a teacher acting within the scope of the
teacher's employment or responsibilities to a school or
governmental entity unless the claimant establishes by clear
and convincing evidence that the harm was proximately caused
by an act or omission of such teacher that constitutes
willful or criminal misconduct, or a conscious, flagrant
indifference to the rights or safety of the individual
harmed.
``(2) Construction.--Paragraph (1) does not create a cause
of action for punitive damages and does not preempt or
supersede any Federal or State law to the extent that such
law would further limit the award of punitive damages.
``(d) Exceptions to Limitations on Liability.--
``(1) In general.--The limitations on the liability of a
teacher under this subpart shall not apply to any misconduct
that--
``(A) constitutes a crime of violence (as that term is
defined in section 16 of title 18, United States Code) or act
of international terrorism (as that term is defined in
section 2331 of title 18, United States Code) for which the
defendant has been convicted in any court;
``(B) involves a sexual offense, as defined by applicable
State law, for which the defendant has been convicted in any
court;
``(C) involves misconduct for which the defendant has been
found to have violated a Federal or State civil rights law;
or
``(D) where the defendant was under the influence (as
determined pursuant to applicable State law) of intoxicating
alcohol or any drug at the time of the misconduct.
``(2) Hiring.--The limitations on the liability of a
teacher under this subpart shall not apply to misconduct
during background investigations, or during other actions,
involved in the hiring of a teacher.
``(e) Rules of Construction.--
``(1) Concerning responsibility of teachers to schools and
governmental entities.--

[[Page H9837]]

Nothing in this section shall be construed to affect any
civil action brought by any school or any governmental entity
against any teacher of such school.
``(2) Concerning corporal punishment.--Nothing in this
subpart shall be construed to affect any State or local law
(including a rule or regulation) or policy pertaining to the
use of corporal punishment.

``SEC. 2367. ALLOCATION OF RESPONSIBILITY FOR NONECONOMIC
LOSS.

``(a) General Rule.--In any civil action against a teacher,
based on an act or omission of a teacher acting within the
scope of the teacher's employment or responsibilities to a
school or governmental entity, the liability of the teacher
for noneconomic loss shall be determined in accordance with
subsection (b).
``(b) Amount of Liability.--
``(1) In general.--
``(A) Liability.--Each defendant who is a teacher shall be
liable only for the amount of noneconomic loss allocated to
that defendant in direct proportion to the percentage of
responsibility of that defendant (determined in accordance
with paragraph (2)) for the harm to the claimant with respect
to which that defendant is liable.
``(B) Separate judgment.--The court shall render a separate
judgment against each defendant in an amount determined
pursuant to subparagraph (A).
``(2) Percentage of responsibility.--For purposes of
determining the amount of noneconomic loss allocated to a
defendant who is a teacher under this section, the trier of
fact shall determine the percentage of responsibility of each
person responsible for the claimant's harm, whether or not
such person is a party to the action.
``(c) Rule of Construction.--Nothing in this section shall
be construed to preempt or supersede any Federal or State law
that further limits the application of joint liability in a
civil action described in subsection (a), beyond the
limitations established in this section.

``SEC. 2368. EFFECTIVE DATE.

``(a) In General.--This subpart shall take effect 90 days
after the date of enactment of the No Child Left Behind Act
of 2001.
``(b) Application.--This subpart applies to any claim for
harm caused by an act or omission of a teacher if that claim
is filed on or after the effective date of the No Child Left
Behind Act of 2001 without regard to whether the harm that is
the subject of the claim or the conduct that caused the harm
occurred before such effective date.

``PART D--ENHANCING EDUCATION THROUGH TECHNOLOGY

``SEC. 2401. SHORT TITLE.

``This part may be cited as the `Enhancing Education
Through Technology Act of 2001'.

``SEC. 2402. PURPOSES AND GOALS.

``(a) Purposes.--The purposes of this part are the
following:
``(1) To provide assistance to States and localities for
the implementation and support of a comprehensive system that
effectively uses technology in elementary schools and
secondary schools to improve student academic achievement.
``(2) To encourage the establishment or expansion of
initiatives, including initiatives involving public-private
partnerships, designed to increase access to technology,
particularly in schools served by high-need local educational
agencies.
``(3) To assist States and localities in the acquisition,
development, interconnection, implementation, improvement,
and maintenance of an effective educational technology
infrastructure in a manner that expands access to technology
for students (particularly for disadvantaged students) and
teachers.
``(4) To promote initiatives that provide school teachers,
principals, and administrators with the capacity to integrate
technology effectively into curricula and instruction that
are aligned with challenging State academic content and
student academic achievement standards, through such means as
high-quality professional development programs.
``(5) To enhance the ongoing professional development of
teachers, principals, and administrators by providing
constant access to training and updated research in teaching
and learning through electronic means.
``(6) To support the development and utilization of
electronic networks and other innovative methods, such as
distance learning, of delivering specialized or rigorous
academic courses and curricula for students in areas that
would not otherwise have access to such courses and
curricula, particularly in geographically isolated regions.
``(7) To support the rigorous evaluation of programs funded
under this part, particularly regarding the impact of such
programs on student academic achievement, and ensure that
timely information on the results of such evaluations is
widely accessible through electronic means.
``(8) To support local efforts using technology to promote
parent and family involvement in education and communication
among students, parents, teachers, principals, and
administrators.
``(b) Goals.--
``(1) Primary goal.--The primary goal of this part is to
improve student academic achievement through the use of
technology in elementary schools and secondary schools.
``(2) Additional goals.--The additional goals of this part
are the following:
``(A) To assist every student in crossing the digital
divide by ensuring that every student is technologically
literate by the time the student finishes the eighth grade,
regardless of the student's race, ethnicity, gender, family
income, geographic location, or disability.
``(B) To encourage the effective integration of technology
resources and systems with teacher training and curriculum
development to establish research-based instructional methods
that can be widely implemented as best practices by State
educational agencies and local educational agencies.

``SEC. 2403. DEFINITIONS.

``In this part:
``(1) Eligible local entity.--The term `eligible local
entity' means--
``(A) a high-need local educational agency; or
``(B) an eligible local partnership.
``(2) Eligible local partnership.--The term `eligible local
partnership' means a partnership that--
``(A) shall include at least one high-need local
educational agency and at least one--
``(i) local educational agency that can demonstrate that
teachers in schools served by the agency are effectively
integrating technology and proven teaching practices into
instruction, based on a review of relevant research, and that
the integration results in improvement in--

``(I) classroom instruction in the core academic subjects;
and
``(II) the preparation of students to meet challenging
State academic content and student academic achievement
standards;

``(ii) institution of higher education that is in full
compliance with the reporting requirements of section 207(f)
of the Higher Education Act of 1965 and that has not been
identified by its State as low-performing under section 208
of such Act;
``(iii) for-profit business or organization that develops,
designs, manufactures, or produces technology products or
services, or has substantial expertise in the application of
technology in instruction; or
``(iv) public or private nonprofit organization with
demonstrated experience in the application of educational
technology to instruction; and
``(B) may include other local educational agencies,
educational service agencies, libraries, or other educational
entities appropriate to provide local programs.
``(3) High-need local educational agency.--The term `high-
need local educational agency' means a local educational
agency that--
``(A) is among the local educational agencies in a State
with the highest numbers or percentages of children from
families with incomes below the poverty line; and
``(B)(i) operates one or more schools identified under
section 1116; or
``(ii) has a substantial need for assistance in acquiring
and using technology.

``SEC. 2404. AUTHORIZATION OF APPROPRIATIONS.

``(a) In General.--There are authorized to be appropriated
to carry out subparts 1 and 2 $1,000,000,000 for fiscal year
2002, and such sums as may be necessary for each of the 5
succeeding fiscal years.
``(b) Allocation of Funds Between State and Local and
National Initiatives.--The amount of funds made available
under subsection (a) for a fiscal year shall be allocated so
that--
``(1) not less than 98 percent is made available to carry
out subpart 1; and
``(2) not more than 2 percent is made available to carry
out subpart 2.
``(c) Allocation of Funds for Study.--Of the total amount
of funds allocated under subsection (b)(2) for fiscal years
2002 through 2007, not more than $15,000,000 may be used to
carry out section 2421(a).
``(d) Limitation.--Of the amount of funds made available to
a recipient of funds under this part for a fiscal year, not
more than 5 percent may be used by the recipient for
administrative costs or technical assistance, of which not
more than 60 percent may be used by the recipient for
administrative costs.

``Subpart 1--State and Local Technology Grants

``SEC. 2411. ALLOTMENT AND REALLOTMENT.

``(a) Reservations and Allotment.--From the amount made
available to carry out this subpart under section 2404(b)(1)
for a fiscal year--
``(1) the Secretary shall reserve--
``(A) \3/4\ of 1 percent for the Secretary of the Interior
for programs under this subpart for schools operated or
funded by the Bureau of Indian Affairs;
``(B) \1/2\ of 1 percent to provide assistance under this
subpart to the outlying areas; and
``(C) such sums as may be necessary for continuation awards
on grants awarded under section 3136 prior to the date of
enactment of the No Child Left Behind Act of 2001; and
``(2) from the remainder of such amount and subject to
subsection (b), the Secretary shall make grants by allotting
to each eligible State educational agency under this subpart
an amount that bears the same relationship to such remainder
for such year as the amount received under part A of title I
for such year by such State educational agency bears to the
amount received under such part for such year by all State
educational agencies.
``(b) Minimum Allotment.--The amount of any State
educational agency's allotment under subsection (a)(2) for
any fiscal year may not be less than \1/2\ of 1 percent of
the amount made available for allotments to States under this
part for such year.
``(c) Reallotment of Unused Funds.--If any State
educational agency does not apply for an allotment under this
subpart for a fiscal year, or does not use its entire
allotment under this subpart for that fiscal year, the
Secretary shall reallot the amount of the State educational
agency's allotment, or the unused portion of the allotment,
to the remaining State educational agencies that use their
entire allotments under this subpart in accordance with this
section.

[[Page H9838]]

``(d) State Educational Agency Defined.--In this section,
the term `State educational agency' does not include an
agency of an outlying area or the Bureau of Indian Affairs.

``SEC. 2412. USE OF ALLOTMENT BY STATE.

``(a) In General.--Of the amount provided to a State
educational agency (from the agency's allotment under section
2411(a)(2)) for a fiscal year--
``(1) the State educational agency may use not more than 5
percent to carry out activities under section 2415; and
``(2) the State educational agency shall distribute the
remainder as follows:
``(A) From 50 percent of the remainder, the State
educational agency shall award subgrants by allocating to
each eligible local educational agency that has submitted an
application to the State educational agency under section
2414, for the activities described in section 2416, an amount
that bears the same relationship to 50 percent of the
remainder for such year as the amount received under part A
of title I for such year by such local educational agency
bears to the amount received under such part for such year by
all local educational agencies within the State.
``(B) From 50 percent of the remainder and subject to
subsection (b), the State educational agency shall award
subgrants, through a State-determined competitive process, to
eligible local entities that have submitted applications to
the State educational agency under section 2414, for the
activities described in section 2416.
``(b) Sufficient Amounts.--
``(1) Special rule.--In awarding a subgrant under
subsection (a)(2)(B), the State educational agency shall--
``(A) determine the local educational agencies that--
``(i) received allocations under subsection (a)(2)(A) that
are not of sufficient size to be effective, consistent with
the purposes of this part; and
``(ii) are eligible local entities;
``(B) give priority to applications submitted by eligible
local educational agencies described in subparagraph (A); and
``(C) determine the minimum amount for awards under
subsection (a)(2)(B) to ensure that subgrants awarded under
that subsection are of sufficient size to be effective.
``(2) Sufficiency.--In awarding subgrants under subsection
(a)(2)(B), each State educational agency shall ensure that
each subgrant is of sufficient size and duration, and that
the program funded by the subgrant is of sufficient scope and
quality, to carry out the purposes of this part effectively.
``(3) Distribution.--In awarding subgrants under subsection
(a)(2)(B), each State educational agency shall ensure an
equitable distribution of assistance under this subpart among
urban and rural areas of the State, according to the
demonstrated need of those local educational agencies serving
the areas.
``(c) Fiscal Agent.--If an eligible local partnership
receives a subgrant under subsection (a)(2)(B), a local
educational agency in the partnership shall serve as the
fiscal agent for the partnership.
``(d) Technical Assistance.--Each State educational agency
receiving a grant under section 2411(a) shall--
``(1) identify the local educational agencies served by the
State educational agency that--
``(A) have the highest numbers or percentages of children
from families with incomes below the poverty line; and
``(B) demonstrate to such State educational agency the
greatest need for technical assistance in developing an
application under section 2414; and
``(2) offer the technical assistance described in paragraph
(1)(B) to those local educational agencies.

``SEC. 2413. STATE APPLICATIONS.

``(a) In General.--To be eligible to receive a grant under
this subpart, a State educational agency shall submit to the
Secretary, at such time and in such manner as the Secretary
may specify, an application containing a new or updated
statewide long-range strategic educational technology plan
(which shall address the educational technology needs of
local educational agencies) and such other information as the
Secretary may reasonably require.
``(b) Contents.--Each State application submitted under
subsection (a) shall include each of the following:
``(1) An outline of the State educational agency's long-
term strategies for improving student academic achievement,
including technology literacy, through the effective use of
technology in classrooms throughout the State, including
through improving the capacity of teachers to integrate
technology effectively into curricula and instruction.
``(2) A description of the State educational agency's goals
for using advanced technology to improve student academic
achievement, and how those goals are aligned with challenging
State academic content and student academic achievement
standards.
``(3) A description of how the State educational agency
will take steps to ensure that all students and teachers in
the State, particularly students and teachers in districts
served by high-need local educational agencies, have
increased access to technology.
``(4) A description of the process and accountability
measures that the State educational agency will use to
evaluate the extent to which activities funded under this
subpart are effective in integrating technology into
curricula and instruction.
``(5) A description of how the State educational agency
will encourage the development and utilization of innovative
strategies for the delivery of specialized or rigorous
academic courses and curricula through the use of technology,
including distance learning technologies, particularly for
those areas of the State that would not otherwise have access
to such courses and curricula due to geographical isolation
or insufficient resources.
``(6) An assurance that financial assistance provided under
this subpart will supplement, and not supplant, State and
local funds.
``(7) A description of how the plan incorporates teacher
education, professional development, and curriculum
development, and how the State educational agency will work
to ensure that teachers and principals in a State receiving
funds under this part are technologically literate.
``(8) A description of--
``(A) how the State educational agency will provide
technical assistance to applicants under section 2414,
especially to those applicants serving the highest numbers or
percentages of children in poverty or with the greatest need
for technical assistance; and
``(B) the capacity of the State educational agency to
provide such assistance.
``(9) A description of technology resources and systems
that the State will provide for the purpose of establishing
best practices that can be widely replicated by State
educational agencies and local educational agencies in the
State and in other States.
``(10) A description of the State's long-term strategies
for financing technology to ensure that all students,
teachers, and classrooms have access to technology.
``(11) A description of the State's strategies for using
technology to increase parental involvement.
``(12) A description of how the State educational agency
will ensure that each subgrant awarded under section
2412(a)(2)(B) is of sufficient size and duration, and that
the program funded by the subgrant is of sufficient scope and
quality, to carry out the purposes of this part effectively.
``(13) A description of how the State educational agency
will ensure ongoing integration of technology into school
curricula and instructional strategies in all schools in the
State, so that technology will be fully integrated into the
curricula and instruction of the schools by December 31,
2006.
``(14) A description of how the local educational agencies
in the State will provide incentives to teachers who are
technologically literate and teaching in rural or urban
areas, to encourage such teachers to remain in those areas.
``(15) A description of how public and private entities
will participate in the implementation and support of the
plan.
``(c) Deemed Approval.--An application submitted by a State
educational agency pursuant to subsection (a) shall be deemed
to be approved by the Secretary unless the Secretary makes a
written determination, prior to the expiration of the 120-day
period beginning on the date on which the Secretary received
the application, that the application is not in compliance
with this part.
``(d) Disapproval.--The Secretary shall not finally
disapprove the application, except after giving the State
educational agency notice and an opportunity for a hearing.
``(e) Notification.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
this part, the Secretary shall--
``(1) give the State educational agency notice and an
opportunity for a hearing; and
``(2) notify the State educational agency of the finding of
noncompliance and, in such notification, shall--
``(A) cite the specific provisions in the application that
are not in compliance; and
``(B) request additional information, only as to the
noncompliant provisions, needed to make the application
compliant.
``(f) Response.--If the State educational agency responds
to the Secretary's notification described in subsection
(e)(2) during the 45-day period beginning on the date on
which the agency received the notification, and resubmits the
application with the requested information described in
subsection (e)(2)(B), the Secretary shall approve or
disapprove such application prior to the later of--
``(1) the expiration of the 45-day period beginning on the
date on which the application is resubmitted; or
``(2) the expiration of the 120-day period described in
subsection (c).
``(g) Failure to Respond.--If the State educational agency
does not respond to the Secretary's notification described in
subsection (e)(2) during the 45-day period beginning on the
date on which the agency received the notification, such
application shall be deemed to be disapproved.

``SEC. 2414. LOCAL APPLICATIONS.

``(a) In General.--To be eligible to receive a subgrant
from a State educational agency under this subpart, a local
educational agency or eligible local entity shall submit to
the State educational agency an application containing a new
or updated local long-range strategic educational technology
plan that is consistent with the objectives of the statewide
educational technology plan described in section 2413(a), and
such other information as the State educational agency may
reasonably require, at such time and in such manner as the
State educational agency may require.
``(b) Contents.--The application shall include each of the
following:
``(1) A description of how the applicant will use Federal
funds under this subpart to improve the student academic
achievement, including technology literacy, of all students
attending schools served by the local educational agency and
to improve the capacity of all teachers teaching in schools
served by the local educational agency to integrate
technology effectively into curricula and instruction.

[[Page H9839]]

``(2) A description of the applicant's specific goals for
using advanced technology to improve student academic
achievement, aligned with challenging State academic content
and student academic achievement standards.
``(3) A description of the steps the applicant will take to
ensure that all students and teachers in schools served by
the local educational agency involved have increased access
to educational technology, including how the agency would use
funds under this subpart (such as combining the funds with
funds from other sources), to help ensure that--
``(A) students in high-poverty and high-needs schools, or
schools identified under section 1116, have access to
technology; and
``(B) teachers are prepared to integrate technology
effectively into curricula and instruction.
``(4) A description of how the applicant will--
``(A) identify and promote curricula and teaching
strategies that integrate technology effectively into
curricula and instruction, based on a review of relevant
research, leading to improvements in student academic
achievement, as measured by challenging State academic
content and student academic achievement standards; and
``(B) provide ongoing, sustained professional development
for teachers, principals, administrators, and school library
media personnel serving the local educational agency, to
further the effective use of technology in the classroom or
library media center, including, if applicable, a list of the
entities that will be partners with the local educational
agency involved in providing the ongoing, sustained
professional development.
``(5) A description of the type and costs of technologies
to be acquired under this subpart, including services,
software, and digital curricula, and including specific
provisions for interoperability among components of such
technologies.
``(6) A description of how the applicant will coordinate
activities carried out with funds provided under this subpart
with technology-related activities carried out with funds
available from other Federal, State, and local sources.
``(7) A description of how the applicant will integrate
technology (including software and other electronically
delivered learning materials) into curricula and instruction,
and a timeline for such integration.
``(8) A description of how the applicant will encourage the
development and utilization of innovative strategies for the
delivery of specialized or rigorous academic courses and
curricula through the use of technology, including distance
learning technologies, particularly for those areas that
would not otherwise have access to such courses and curricula
due to geographical isolation or insufficient resources.
``(9) A description of how the applicant will ensure the
effective use of technology to promote parental involvement
and increase communication with parents, including a
description of how parents will be informed of the technology
being applied in their child's education so that the parents
are able to reinforce at home the instruction their child
receives at school.
``(10) A description of how programs will be developed,
where applicable, in collaboration with adult literacy
service providers, to maximize the use of technology.
``(11) A description of the process and accountability
measures that the applicant will use to evaluate the extent
to which activities funded under this subpart are effective
in integrating technology into curricula and instruction,
increasing the ability of teachers to teach, and enabling
students to meet challenging State academic content and
student academic achievement standards.
``(12) A description of the supporting resources (such as
services, software, other electronically delivered learning
materials, and print resources) that will be acquired to
ensure successful and effective uses of technology.
``(c) Combined Applications.--A local educational agency
that is an eligible local entity and submits an application
to the State educational agency under this section for funds
awarded under section 2412(a)(2)(A) may combine the agency's
application for funds awarded under that section with an
application for funds awarded under section 2412(a)(2)(B).
``(d) Special Rule.--
``(1) Consortium applications.--
``(A) In general.--For any fiscal year, a local educational
agency applying for financial assistance described in section
2412(a)(2)(A) may apply as part of a consortium that includes
other local educational agencies, institutions of higher
education, educational service agencies, libraries, or other
educational entities appropriate to provide local programs.
``(B) Fiscal agent.--If a local educational agency applies
for and receives financial assistance described in section
2412(a)(2)(A) as part of a consortium, the local educational
agency shall serve as the fiscal agent for the consortium.
``(2) State educational agency assistance.--At the request
of a local educational agency, a State educational agency may
assist the local educational agency in the formation of a
consortium described in paragraph (1) to provide services for
the teachers and students served by the local educational
agency.

``SEC. 2415. STATE ACTIVITIES.

``From funds made available under section 2412(a)(1), a
State educational agency shall carry out activities and
assist local efforts to carry out the purposes of this part,
which may include the following activities:
``(1) Developing, or assisting applicants or recipients of
funds under this subpart in the development and utilization
of, innovative strategies for the delivery of specialized or
rigorous academic courses and curricula through the use of
technology, including distance learning technologies, and
providing other technical assistance to such applicants or
recipients throughout the State, with priority given to high-
need local educational agencies.
``(2) Establishing or supporting public-private initiatives
(such as interest-free or reduced-cost loans) for the
acquisition of educational technology for high-need local
educational agencies and students attending schools served by
such agencies.
``(3) Assisting recipients of funds under this subpart in
providing sustained and intensive, high-quality professional
development based on a review of relevant research in the
integration of advanced technologies, including emerging
technologies, into curricula and instruction and in using
those technologies to create new learning environments,
including training in the use of technology to--
``(A) access data and resources to develop curricula and
instructional materials;
``(B) enable teachers--
``(i) to use the Internet and other technology to
communicate with parents, other teachers, principals, and
administrators; and
``(ii) to retrieve Internet-based learning resources; and
``(C) lead to improvements in classroom instruction in the
core academic subjects, that effectively prepare students to
meet challenging State academic content standards and student
academic achievement standards.
``(4) Assisting recipients of funds under this subpart in
providing all students (including students with disabilities
and students with limited English proficiency) and teachers
with access to educational technology.
``(5) Developing performance measurement systems to
determine the effectiveness of educational technology
programs funded under this subpart, particularly in
determining the extent to which activities funded under this
subpart are effective in integrating technology into
curricula and instruction, increasing the ability of teachers
to teach, and enabling students to meet challenging State
academic content and student academic achievement standards.
``(6) Collaborating with other State educational agencies
on distance learning, including making specialized or
rigorous academic courses and curricula available to students
in areas that would not otherwise have access to such courses
and curricula.

``SEC. 2416. LOCAL ACTIVITIES.

``(a) Professional Development.--
``(1) In general.--A recipient of funds made available
under section 2412(a)(2) shall use not less than 25 percent
of such funds to provide ongoing, sustained, and intensive,
high-quality professional development. The recipient shall
provide professional development in the integration of
advanced technologies, including emerging technologies, into
curricula and instruction and in using those technologies to
create new learning environments, such as professional
development in the use of technology--
``(A) to access data and resources to develop curricula and
instructional materials;
``(B) to enable teachers--
``(i) to use the Internet and other technology to
communicate with parents, other teachers, principals, and
administrators; and
``(ii) to retrieve Internet-based learning resources; and
``(C) to lead to improvements in classroom instruction in
the core academic subjects, that effectively prepare students
to meet challenging State academic content standards,
including increasing student technology literacy, and student
academic achievement standards.
``(2) Waivers.--Paragraph (1) shall not apply to a
recipient of funds made available under section 2412(a)(2)
that demonstrates, to the satisfaction of the State
educational agency involved, that the recipient already
provides ongoing, sustained, and intensive, high-quality
professional development that is based on a review of
relevant research, to all teachers in core academic subjects
in the integration of advanced technologies, including
emerging technologies, into curricula and instruction.
``(b) Other Activities.--In addition to the activities
described in subsection (a), a recipient of funds made
available by a State educational agency under section
2412(a)(2) shall use such funds to carry out other activities
consistent with this subpart, which may include the
following:
``(1) Establishing or expanding initiatives, particularly
initiatives involving public-private partnerships, designed
to increase access to technology for students and teachers,
with special emphasis on the access of high-need schools to
technology.
``(2) Adapting or expanding existing and new applications
of technology to enable teachers to increase student academic
achievement, including technology literacy--
``(A) through the use of teaching practices that are based
on a review of relevant research and are designed to prepare
students to meet challenging State academic content and
student academic achievement standards; and
``(B) by the development and utilization of innovative
distance learning strategies to deliver specialized or
rigorous academic courses and curricula to areas that would
not otherwise have access to such courses and curricula.
``(3) Acquiring proven and effective courses and curricula
that include integrated technology and are designed to help
students meet challenging State academic content and student
academic achievement standards.
``(4) Utilizing technology to develop or expand efforts to
connect schools and teachers with parents and students to
promote meaningful parental involvement, to foster increased
communication about curricula, assignments, and assessments
between students, parents, and teachers, and to assist
parents to understand the technology being applied in their
child's education, so that parents are able to reinforce at
home the instruction their child receives at school.

[[Page H9840]]

``(5) Preparing one or more teachers in elementary schools
and secondary schools as technology leaders who are provided
with the means to serve as experts and train other teachers
in the effective use of technology, and providing bonus
payments to the technology leaders.
``(6) Acquiring, adapting, expanding, implementing,
repairing, and maintaining existing and new applications of
technology, to support the school reform effort and to
improve student academic achievement, including technology
literacy.
``(7) Acquiring connectivity linkages, resources, and
services (including the acquisition of hardware and software
and other electronically delivered learning materials) for
use by teachers, students, academic counselors, and school
library media personnel in the classroom, in academic and
college counseling centers, or in school library media
centers, in order to improve student academic achievement.
``(8) Using technology to collect, manage, and analyze data
to inform and enhance teaching and school improvement
efforts.
``(9) Implementing performance measurement systems to
determine the effectiveness of education technology programs
funded under this subpart, particularly in determining the
extent to which activities funded under this subpart are
effective in integrating technology into curricula and
instruction, increasing the ability of teachers to teach, and
enabling students to meet challenging State academic content
and student academic achievement standards.
``(10) Developing, enhancing, or implementing information
technology courses.

``Subpart 2--National Technology Activities

``SEC. 2421. NATIONAL ACTIVITIES.

``(a) Study.--Using funds made available under section
2404(b)(2), the Secretary--
``(1) shall conduct an independent, long-term study,
utilizing scientifically based research methods and control
groups or control conditions--
``(A) on the conditions and practices under which
educational technology is effective in increasing student
academic achievement; and
``(B) on the conditions and practices that increase the
ability of teachers to integrate technology effectively into
curricula and instruction, that enhance the learning
environment and opportunities, and that increase student
academic achievement, including technology literacy;
``(2) shall establish an independent review panel to advise
the Secretary on methodological and other issues that arise
in conducting the long-term study;
``(3) shall consult with other interested Federal
departments or agencies, State and local educational
practitioners and policymakers (including teachers,
principals, and superintendents), and experts in technology,
regarding the study; and
``(4) shall submit to Congress interim reports, when
appropriate, and a final report, to be submitted not later
than April 1, 2006, on the findings of the study.
``(b) Dissemination.--Using funds made available under
section 2404(b)(2), the Secretary shall make widely
available, including through dissemination on the Internet
and to all State educational agencies and other recipients of
funds under this part, findings identified through activities
carried out under this section regarding the conditions and
practices under which educational technology is effective in
increasing student academic achievement.
``(c) Technical Assistance.--Using funds made available
under section 2404(b)(2), the Secretary may provide technical
assistance (directly or through the competitive award of
grants or contracts) to State educational agencies, local
educational agencies, and other recipients of funds,
particularly in rural areas, under this part, in order to
assist such State educational agencies, local educational
agencies, and other recipients to achieve the purposes of
this part.

``SEC. 2422. NATIONAL EDUCATION TECHNOLOGY PLAN.

``(a) In General.--Based on the Nation's progress and an
assessment by the Secretary of the continuing and future
needs of the Nation's schools in effectively using technology
to provide all students the opportunity to meet challenging
State academic content and student academic achievement
standards, the Secretary shall update and publish, in a form
readily accessible to the public, a national long-range
technology plan, by not later than 12 months after the date
of enactment of the No Child Left Behind Act of 2001.
``(b) Contents.--The plan referred to in subsection (a)
shall include each of the following:
``(1) A description of the manner in which the Secretary
will promote--
``(A) higher student academic achievement through the
integration of advanced technologies, including emerging
technologies, into curricula and instruction;
``(B) increased access to technology for teaching and
learning for schools with a high number or percentage of
children from families with incomes below the poverty line;
and
``(C) the use of technology to assist in the implementation
of State systemic reform strategies.
``(2) A description of joint activities of the Department
of Education and other Federal departments or agencies that
will promote the use of technology in education.

``Subpart 3--Ready-to-Learn Television

``SEC. 2431. READY-TO-LEARN TELEVISION.

``(a) Program Authorized.--
``(1) In general.--The Secretary is authorized to award
grants to, or enter into contracts or cooperative agreements
with, eligible entities described in paragraph (3) to enable
such entities--
``(A) to develop, produce, and distribute educational and
instructional video programming for preschool and elementary
school children and their parents in order to facilitate
student academic achievement;
``(B) to facilitate the development, directly or through
contracts with producers of children and family educational
television programming, of educational programming for
preschool and elementary school children, and the
accompanying support materials and services that promote the
effective use of such programming;
``(C) to facilitate the development of programming and
digital content containing Ready-to-Learn-based children's
programming and resources for parents and caregivers that is
specially designed for nationwide distribution over public
television stations' digital broadcasting channels and the
Internet;
``(D) to contract with entities (such as public
telecommunications entities) so that programs developed under
this section are disseminated and distributed to the widest
possible audience appropriate to be served by the
programming, and through the use of the most appropriate
distribution technologies; and
``(E) to develop and disseminate education and training
materials, including interactive programs and programs
adaptable to distance learning technologies, that are
designed--
``(i) to promote school readiness; and
``(ii) to promote the effective use of materials developed
under subparagraphs (B) and (C) among parents, teachers, Head
Start providers, Even Start providers, providers of family
literacy services, child care providers, early childhood
development personnel, elementary school teachers, public
libraries, and after-school program personnel caring for
preschool and elementary school children.
``(2) Availability.--In awarding grants, contracts, or
cooperative agreements under this section, the Secretary
shall ensure that eligible entities make programming widely
available, with support materials as appropriate, to young
children, parents, child care workers, Head Start providers,
Even Start providers, and providers of family literacy
services to increase the effective use of such programming.
``(3) Eligible entities.--To be eligible to receive a
grant, contract, or cooperative agreements under this
section, an entity shall be a public telecommunications
entity that is able to demonstrate each of the following:
``(A) A capacity for the development and national
distribution of educational and instructional television
programming of high quality that is accessible by a large
majority of disadvantaged preschool and elementary school
children.
``(B) A capacity to contract with the producers of
children's television programming for the purpose of
developing educational television programming of high
quality.
``(C) A capacity, consistent with the entity's mission and
nonprofit nature, to negotiate such contracts in a manner
that returns to the entity an appropriate share of any
ancillary income from sales of any program-related products.
``(D) A capacity to localize programming and materials to
meet specific State and local needs and to provide
educational outreach at the local level.
``(4) Coordination of activities.--An entity receiving a
grant, contract, or cooperative agreement under this section
shall consult with the Secretary and the Secretary of Health
and Human Services--
``(A) to maximize the utilization of quality educational
programming by preschool and elementary school children, and
make such programming widely available to federally funded
programs serving such populations; and
``(B) to coordinate activities with Federal programs that
have major training components for early childhood
development, including programs under the Head Start Act (42
U.S.C. 9831 et seq.) and Even Start, and State training
activities funded under the Child Care and Development Block
Grant Act of 1990 (42 U.S.C. 9858 et seq.), regarding the
availability and utilization of materials developed under
paragraph (1)(E) to enhance parent and child care provider
skills in early childhood development and education.
``(b) Applications.--To be eligible to receive a grant,
contract, or cooperative agreement under subsection (a), an
entity shall submit to the Secretary an application at such
time, in such manner, and containing such information as the
Secretary may reasonably require.
``(c) Reports and Evaluations.--
``(1) Annual report to the secretary.--An entity receiving
a grant, contract, or cooperative agreement under this
section shall prepare and submit to the Secretary an annual
report that contains such information as the Secretary may
require. At a minimum, the report shall describe the program
activities undertaken with funds received under the grant,
contract, or cooperative agreement, including each of the
following:
``(A) The programming that has been developed, directly or
indirectly, by the eligible entity, and the target population
of the programs developed.
``(B) The support and training materials that have been
developed to accompany the programming, and the method by
which the materials are distributed to consumers and users of
the programming.
``(C) The means by which programming developed under this
section has been distributed, including the distance learning
technologies that have been utilized to make programming
available, and the geographic distribution achieved through
such technologies.
``(D) The initiatives undertaken by the entity to develop
public-private partnerships to secure non-Federal support for
the development, distribution, and broadcast of educational
and instructional programming.
``(2) Report to congress.--The Secretary shall prepare and
submit to the relevant committees of Congress a biannual
report that includes the following:

[[Page H9841]]

``(A) A summary of the activities assisted under subsection
(a).
``(B) A description of the education and training materials
made available under subsection (a)(1)(E), the manner in
which outreach has been conducted to inform parents and child
care providers of the availability of such materials, and the
manner in which such materials have been distributed in
accordance with such subsection.
``(d) Administrative Costs.--An entity that receives a
grant, contract, or cooperative agreement under this section
may use up to 5 percent of the amount received under the
grant, contract, or agreement for the normal and customary
expenses of administering the grant, contract, or agreement.
``(e) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated
to carry out this section such sums as may be necessary for
fiscal year 2002, and for each of the 5 succeeding fiscal
years.
``(2) Funding rule.--Not less than 60 percent of the amount
appropriated under paragraph (1) for each fiscal year shall
be used to carry out activities under subparagraphs (B)
through (D) of subsection (a)(1).

``Subpart 4--Limitation on Availability of Certain Funds for Schools

``SEC. 2441. INTERNET SAFETY.

``(a) In General.--No funds made available under this part
to a local educational agency for an elementary school or
secondary school that does not receive services at discount
rates under section 254(h)(5) of the Communications Act of
1934 (47 U.S.C. 254(h)(5)) may be used to purchase computers
used to access the Internet, or to pay for direct costs
associated with accessing the Internet, for such school
unless the school, school board, local educational agency, or
other authority with responsibility for administration of
such school both--
``(1)(A) has in place a policy of Internet safety for
minors that includes the operation of a technology protection
measure with respect to any of its computers with Internet
access that protects against access through such computers to
visual depictions that are--
``(i) obscene;
``(ii) child pornography; or
``(iii) harmful to minors; and
``(B) is enforcing the operation of such technology
protection measure during any use of such computers by
minors; and
``(2)(A) has in place a policy of Internet safety that
includes the operation of a technology protection measure
with respect to any of its computers with Internet access
that protects against access through such computers to visual
depictions that are--
``(i) obscene; or
``(ii) child pornography; and
``(B) is enforcing the operation of such technology
protection measure during any use of such computers.
``(b) Timing and Applicability of Implementation.--
``(1) In general.--The local educational agency with
responsibility for a school covered by subsection (a) shall
certify the compliance of such school with the requirements
of subsection (a) as part of the application process for the
next program funding year under this Act following December
21, 2000, and for each subsequent program funding year
thereafter.
``(2) Process.--
``(A) Schools with internet safety policies and technology
protection measures in place.--A local educational agency
with responsibility for a school covered by subsection (a)
that has in place an Internet safety policy meeting the
requirements of subsection (a) shall certify its compliance
with subsection (a) during each annual program application
cycle under this Act.
``(B) Schools without internet safety policies and
technology protection measures in place.--
``(i) Certification.--A local educational agency with
responsibility for a school covered by subsection (a) that
does not have in place an Internet safety policy meeting the
requirements of subsection (a)--

``(I) for the first program year after December 21, 2000,
in which the local educational agency is applying for funds
for such school under this Act, shall certify that it is
undertaking such actions, including any necessary procurement
procedures, to put in place an Internet safety policy that
meets such requirements; and
``(II) for the second program year after December 21, 2000,
in which the local educational agency is applying for funds
for such school under this Act, shall certify that such
school is in compliance with such requirements.

``(ii) Ineligibility.--Any school covered by subsection (a)
for which the local educational agency concerned is unable to
certify compliance with such requirements in such second
program year shall be ineligible for all funding under this
part for such second program year and all subsequent program
years until such time as such school comes into compliance
with such requirements.
``(C) Waivers.--Any school subject to a certification under
subparagraph (B)(i)(II) for which the local educational
agency concerned cannot make the certification otherwise
required by that subparagraph may seek a waiver of that
subparagraph if State or local procurement rules or
regulations or competitive bidding requirements prevent
the making of the certification otherwise required by that
subparagraph. The local educational agency concerned shall
notify the Secretary of the applicability of that
subparagraph to the school. Such notice shall certify that
the school will be brought into compliance with the
requirements in subsection (a) before the start of the
third program year after December 21, 2000, in which the
school is applying for funds under this part.
``(c) Disabling During Certain Use.--An administrator,
supervisor, or person authorized by the responsible authority
under subsection (a) may disable the technology protection
measure concerned to enable access for bona fide research or
other lawful purposes.
``(d) Noncompliance.--
``(1) Use of general education provisions act remedies.--
Whenever the Secretary has reason to believe that any
recipient of funds under this part is failing to comply
substantially with the requirements of this section, the
Secretary may--
``(A) withhold further payments to the recipient under this
part;
``(B) issue a complaint to compel compliance of the
recipient through a cease and desist order; or
``(C) enter into a compliance agreement with a recipient to
bring it into compliance with such requirements,
in same manner as the Secretary is authorized to take such
actions under sections 455, 456, and 457, respectively, of
the General Education Provisions Act.
``(2) Recovery of funds prohibited.--The actions authorized
by paragraph (1) are the exclusive remedies available with
respect to the failure of a school to comply substantially
with a provision of this section, and the Secretary shall not
seek a recovery of funds from the recipient for such failure.
``(3) Recommencement of payments.--Whenever the Secretary
determines (whether by certification or other appropriate
evidence) that a recipient of funds who is subject to the
withholding of payments under paragraph (1)(A) has cured the
failure providing the basis for the withholding of payments,
the Secretary shall cease the withholding of payments to the
recipient under that paragraph.
``(e) Definitions.--In this subpart:
``(1) Computer.--The term `computer' includes any hardware,
software, or other technology attached or connected to,
installed in, or otherwise used in connection with a
computer.
``(2) Access to internet.--A computer shall be considered
to have access to the Internet if such computer is equipped
with a modem or is connected to a computer network that has
access to the Internet.
``(3) Acquisition or operation.--An elementary school or
secondary school shall be considered to have received funds
under this part for the acquisition or operation of any
computer if such funds are used in any manner, directly or
indirectly--
``(A) to purchase, lease, or otherwise acquire or obtain
the use of such computer; or
``(B) to obtain services, supplies, software, or other
actions or materials to support, or in connection with, the
operation of such computer.
``(4) Minor.--The term `minor' means an individual who has
not attained the age of 17.
``(5) Child pornography.--The term `child pornography' has
the meaning given that term in section 2256 of title 18,
United States Code.
``(6) Harmful to minors.--The term `harmful to minors'
means any picture, image, graphic image file, or other visual
depiction that--
``(A) taken as a whole and with respect to minors, appeals
to a prurient interest in nudity, sex, or excretion;
``(B) depicts, describes, or represents, in a patently
offensive way with respect to what is suitable for minors, an
actual or simulated sexual act or sexual contact, actual or
simulated normal or perverted sexual acts, or a lewd
exhibition of the genitals; and
``(C) taken as a whole, lacks serious literary, artistic,
political, or scientific value as to minors.
``(7) Obscene.--The term `obscene' has the meaning
applicable to that term under section 1460 of title 18,
United States Code.
``(8) Sexual act and sexual contact.--The terms `sexual
act' and `sexual contact' have the meanings given those terms
in section 2246 of title 18, United States Code.
``(f) Severability.--If any provision of this section is
held invalid, the remainder of this section shall not be
affected thereby.''.

SEC. 202. CONTINUATION OF AWARDS.

Notwithstanding any other provision of this Act or the
Elementary and Secondary Education Act of 1965, in the case
of--
(1) a person or entity that, prior to the date of enactment
of this Act, was awarded funds appropriated under the
Department of Education Appropriations Act, 2001 for new
teacher recruitment initiatives; or
(2) a person or agency that, prior to the date of enactment
of this Act, was awarded a grant or contract under part K of
title X of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 8331 et seq.),

the Secretary of Education shall continue to provide funds in
accordance with the terms of such award until the date on
which the award period terminates.
TITLE III--LANGUAGE INSTRUCTION FOR LIMITED ENGLISH PROFICIENT AND
IMMIGRANT STUDENTS

SEC. 301. LANGUAGE INSTRUCTION FOR LIMITED ENGLISH PROFICIENT
CHILDREN AND IMMIGRANT CHILDREN AND YOUTH.

Title III (20 U.S.C. 6801 et seq.) is amended to read as
follows:
``TITLE III--LANGUAGE INSTRUCTION FOR LIMITED ENGLISH PROFICIENT AND
IMMIGRANT STUDENTS

``SEC. 3001. AUTHORIZATIONS OF APPROPRIATIONS; CONDITION ON
EFFECTIVENESS OF PARTS.

``(a) Authorizations of Appropriations.--
``(1) In general.--Subject to subsection (b), there are
authorized to be appropriated to carry out this title, except
for subpart 4 of part B, $750,000,000 for fiscal year 2002
and such sums as may be necessary for each of the 5
succeeding fiscal years.
``(2) Emergency immigrant education program.--There are
authorized to be appropriated

[[Page H9842]]

to carry out subpart 4 of part B (when such part is in
effect) such sums as may be necessary for fiscal year 2002
and each of the 5 succeeding fiscal years.
``(b) Conditions on Effectiveness of Parts A and B.--
``(1) Part a.--Part A shall be in effect for any fiscal
year for which the amount appropriated under paragraphs (1)
and (2) of subsection (a) equals or exceeds $650,000,000.
``(2) Part b.--Part B shall be in effect only for a fiscal
year for which part A is not in effect.
``(c) References.--In any fiscal year for which part A is
in effect, references in Federal law (other than this title)
to part B shall be considered to be references to part A. In
any fiscal year for which part B is in effect, references in
Federal law (other than this title) to part A shall be
considered to be references to part B.

``PART A--ENGLISH LANGUAGE ACQUISITION, LANGUAGE ENHANCEMENT, AND
ACADEMIC ACHIEVEMENT ACT

``SEC. 3101. SHORT TITLE.

``This part may be cited as the `English Language
Acquisition, Language Enhancement, and Academic Achievement
Act'.

``SEC. 3102. PURPOSES.

``The purposes of this part are--
``(1) to help ensure that children who are limited English
proficient, including immigrant children and youth, attain
English proficiency, develop high levels of academic
attainment in English, and meet the same challenging State
academic content and student academic achievement standards
as all children are expected to meet;
``(2) to assist all limited English proficient children,
including immigrant children and youth, to achieve at high
levels in the core academic subjects so that those children
can meet the same challenging State academic content and
student academic achievement standards as all children are
expected to meet, consistent with section 1111(b)(1);
``(3) to develop high-quality language instruction
educational programs designed to assist State educational
agencies, local educational agencies, and schools in teaching
limited English proficient children and serving immigrant
children and youth;
``(4) to assist State educational agencies and local
educational agencies to develop and enhance their capacity to
provide high-quality instructional programs designed to
prepare limited English proficient children, including
immigrant children and youth, to enter all-English
instruction settings;
``(5) to assist State educational agencies, local
educational agencies, and schools to build their capacity to
establish, implement, and sustain language instruction
educational programs and programs of English language
development for limited English proficient children;
``(6) to promote parental and community participation in
language instruction educational programs for the parents and
communities of limited English proficient children;
``(7) to streamline language instruction educational
programs into a program carried out through formula grants to
State educational agencies and local educational agencies to
help limited English proficient children, including immigrant
children and youth, develop proficiency in English, while
meeting challenging State academic content and student
academic achievement standards;
``(8) to hold State educational agencies, local educational
agencies, and schools accountable for increases in English
proficiency and core academic content knowledge of limited
English proficient children by requiring--
``(A) demonstrated improvements in the English proficiency
of limited English proficient children each fiscal year; and
``(B) adequate yearly progress for limited English
proficient children, including immigrant children and youth,
as described in section 1111(b)(2)(B); and
``(9) to provide State educational agencies and local
educational agencies with the flexibility to implement
language instruction educational programs, based on
scientifically based research on teaching limited English
proficient children, that the agencies believe to be the most
effective for teaching English.

``Subpart 1--Grants and Subgrants for English Language Acquisition and
Language Enhancement

``SEC. 3111. FORMULA GRANTS TO STATES.

``(a) In General.--In the case of each State educational
agency having a plan approved by the Secretary for a fiscal
year under section 3113, the Secretary shall make a grant for
the year to the agency for the purposes specified in
subsection (b). The grant shall consist of the allotment
determined for the State educational agency under subsection
(c).
``(b) Use of Funds.--
``(1) Subgrants to eligible entities.--The Secretary may
make a grant under subsection (a) only if the State
educational agency involved agrees to expend at least 95
percent of the State educational agency's allotment under
subsection (c) for a fiscal year--
``(A) to award subgrants, from allocations under section
3114, to eligible entities to carry out the activities
described in section 3115 (other than subsection (e)); and
``(B) to award subgrants under section 3114(d)(1) to
eligible entities that are described in that section to carry
out the activities described in section 3115(e).
``(2) State activities.--Subject to paragraph (3), each
State educational agency receiving a grant under subsection
(a) may reserve not more than 5 percent of the agency's
allotment under subsection (c) to carry out one or more of
the following activities:
``(A) Professional development activities, and other
activities, that assist personnel in meeting State and local
certification and licensing requirements for teaching limited
English proficient children.
``(B) Planning, evaluation, administration, and interagency
coordination related to the subgrants referred to in
paragraph (1).
``(C) Providing technical assistance and other forms of
assistance to eligible entities that are receiving subgrants
from a State educational agency under this subpart, including
assistance in--
``(i) identifying and implementing language instruction
educational programs and curricula that are based on
scientifically based research on teaching limited English
proficient children;
``(ii) helping limited English proficient children meet the
same challenging State academic content and student academic
achievement standards as all children are expected to meet;
``(iii) identifying or developing, and implementing,
measures of English proficiency; and
``(iv) promoting parental and community participation in
programs that serve limited English proficient children.
``(D) Providing recognition, which may include providing
financial awards, to subgrantees that have exceeded their
annual measurable achievement objectives pursuant to section
3122.
``(3) Administrative expenses.--From the amount reserved
under paragraph (2), a State educational agency may use not
more than 60 percent of such amount or $175,000, whichever is
greater, for the planning and administrative costs of
carrying out paragraphs (1) and (2).
``(c) Reservations and Allotments.--
``(1) Reservations.--From the amount appropriated under
section 3001(a) for each fiscal year, the Secretary shall
reserve--
``(A) 0.5 percent or $5,000,000 of such amount, whichever
is greater, for payments to eligible entities that are
defined under section 3112(a) for activities, approved by the
Secretary, consistent with this subpart;
``(B) 0.5 percent of such amount for payments to outlying
areas, to be allotted in accordance with their respective
needs for assistance under this subpart, as determined by the
Secretary, for activities, approved by the Secretary,
consistent with this subpart;
``(C) 6.5 percent of such amount for national activities
under sections 3131 and 3303, except that not more than 0.5
percent of such amount shall be reserved for evaluation
activities conducted by the Secretary and not more than
$2,000,000 of such amount may be reserved for the National
Clearinghouse for English Language Acquisition and Language
Instruction Educational Programs described in section 3303;
and
``(D) such sums as may be necessary to make continuation
awards under paragraph (2).
``(2) Continuation awards.--
``(A) In general.--Before making allotments to State
educational agencies under paragraph (3) for any fiscal year,
the Secretary shall use the sums reserved under paragraph
(1)(D) to make continuation awards to recipients who received
grants or fellowships for the fiscal year preceding any
fiscal year described in section 3001(b)(1)(A) under--
``(i) subparts 1 and 3 of part A of title VII (as in effect
on the day before the date of enactment of the No Child Left
Behind Act of 2001); or
``(ii) subparts 1 and 3 of part B of this title.
``(B) Use of funds.--The Secretary shall make the awards in
order to allow such recipients to receive awards for the
complete period of their grants or fellowships under the
appropriate subparts.
``(3) State allotments.--
``(A) In general.--Except as provided in subparagraph (B),
from the amount appropriated under section 3001(a) for each
fiscal year that remains after making the reservations under
paragraph (1), the Secretary shall allot to each State
educational agency having a plan approved under section
3113(c)--
``(i) an amount that bears the same relationship to 80
percent of the remainder as the number of limited English
proficient children in the State bears to the number of such
children in all States; and
``(ii) an amount that bears the same relationship to 20
percent of the remainder as the number of immigrant children
and youth in the State bears to the number of such children
and youth in all States.
``(B) Minimum allotments.--No State educational agency
shall receive an allotment under this paragraph that is less
than $500,000.
``(C) Reallotment.--If any State educational agency
described in subparagraph (A) does not submit a plan to the
Secretary for a fiscal year, or submits a plan (or any
amendment to a plan) that the Secretary, after reasonable
notice and opportunity for a hearing, determines does not
satisfy the requirements of this subpart, the Secretary--
``(i) shall endeavor to make the State's allotment
available on a competitive basis to specially qualified
agencies within the State to satisfy the requirements of
section 3115 (and any additional requirements that the
Secretary may impose), consistent with the purposes of such
section, and to carry out required and authorized activities
under such section; and
``(ii) shall reallot any portion of such allotment
remaining after the application of clause (i) to the
remaining State educational agencies in accordance with
subparagraph (A).
``(D) Special rule for puerto rico.--The total amount
allotted to Puerto Rico for any fiscal year under
subparagraph (A) shall not exceed 0.5 percent of the total
amount allotted to all States for that fiscal year.
``(4) Use of data for determinations.--
``(A) In general.--In making State allotments under
paragraph (3), for the purpose of determining the number of
limited English proficient children in a State and in all
States, and the number of immigrant children and youth in a

[[Page H9843]]

State and in all States, for each fiscal year, the Secretary
shall use data that will yield the most accurate, up-to-date
numbers of such children and youth.
``(B) Special rule.--
``(i) First 2 years.--In making determinations under
subparagraph (A) for the 2 fiscal years following the date of
enactment of the No Child Left Behind Act of 2001, the
Secretary shall determine the number of limited English
proficient children in a State and in all States, and the
number of immigrant children and youth in a State and in all
States, using data available from the Bureau of Census or
submitted by the States to the Secretary.
``(ii) Subsequent years.--For subsequent fiscal years, the
Secretary shall determine the number of limited English
proficient children in a State and in all States, and the
number of immigrant children and youth in a State and in all
States, using the more accurate of--

``(I) the data available from the American Community Survey
available from the Department of Commerce; or
``(II) the number of children being assessed for English
proficiency in a State as required under section 1111(b)(7).

``SEC. 3112. NATIVE AMERICAN AND ALASKA NATIVE CHILDREN IN
SCHOOL.

``(a) Eligible Entities.--For the purpose of carrying out
programs under this part for individuals served by elementary
schools, secondary schools, and postsecondary schools
operated predominately for Native American children
(including Alaska Native children), the following shall be
considered to be an eligible entity:
``(1) An Indian tribe.
``(2) A tribally sanctioned educational authority.
``(3) A Native Hawaiian or Native American Pacific Islander
native language educational organization.
``(4) An elementary school or secondary school that is
operated or funded by the Bureau of Indian Affairs, or a
consortium of such schools.
``(5) An elementary school or secondary school operated
under a contract with or grant from the Bureau of Indian
Affairs, in consortium with another such school or a tribal
or community organization.
``(6) An elementary school or secondary school operated by
the Bureau of Indian Affairs and an institution of higher
education, in consortium with an elementary school or
secondary school operated under a contract with or grant from
the Bureau of Indian Affairs or a tribal or community
organization.
``(b) Submission of Applications for Assistance.--
Notwithstanding any other provision of this part, an entity
that is considered to be an eligible entity under subsection
(a), and that desires to receive Federal financial assistance
under this subpart, shall submit an application to the
Secretary.
``(c) Special Rule.--An eligible entity described in
subsection (a) that receives Federal financial assistance
pursuant to this section shall not be eligible to receive a
subgrant under section 3114.

``SEC. 3113. STATE AND SPECIALLY QUALIFIED AGENCY PLANS.

``(a) Plan Required.--Each State educational agency and
specially qualified agency desiring a grant under this
subpart shall submit a plan to the Secretary at such time, in
such manner, and containing such information as the Secretary
may require.
``(b) Contents.--Each plan submitted under subsection (a)
shall--
``(1) describe the process that the agency will use in
making subgrants to eligible entities under section
3114(d)(1);
``(2) describe how the agency will establish standards and
objectives for raising the level of English proficiency that
are derived from the 4 recognized domains of speaking,
listening, reading, and writing, and that are aligned with
achievement of the challenging State academic content and
student academic achievement standards described in section
1111(b)(1);
``(3) contain an assurance that--
``(A) in the case of a State educational agency, the agency
consulted with local educational agencies, education-related
community groups and nonprofit organizations, parents,
teachers, school administrators, and researchers, in
developing the annual measurable achievement objectives
described in section 3122;
``(B) in the case of a specially qualified agency, the
agency consulted with education-related community groups and
nonprofit organizations, parents, teachers, and researchers,
in developing the annual measurable achievement objectives
described in section 3122;
``(C) the agency will ensure that eligible entities
receiving a subgrant under this subpart comply with the
requirement in section 1111(b)(7) to annually assess in
English children who have been in the United States for 3 or
more consecutive years;
``(D) the agency will ensure that eligible entities
receiving a subgrant under this subpart annually assess the
English proficiency of all limited English proficient
children participating in a program funded under this
subpart, consistent with section 1111(b)(7);
``(E) in awarding subgrants under section 3114, the agency
will address the needs of school systems of all sizes and in
all geographic areas, including school systems with rural and
urban schools;
``(F) subgrants to eligible entities under section
3114(d)(1) will be of sufficient size and scope to allow such
entities to carry out high-quality language instruction
educational programs for limited English proficient children;
and
``(G) the agency will require an eligible entity receiving
a subgrant under this subpart to use the subgrant in ways
that will build such recipient's capacity to continue to
offer high-quality language instruction educational programs
that assist limited English proficient children in meeting
challenging State academic content and student academic
achievement standards once assistance under this subpart is
no longer available;
``(4) describe how the agency will coordinate its programs
and activities under this subpart with its other programs and
activities under this Act and other Acts, as appropriate;
``(5) describe how the agency will hold local educational
agencies, eligible entities, elementary schools, and
secondary schools accountable for--
``(A) meeting all annual measurable achievement objectives
described in section 3122;
``(B) making adequate yearly progress for limited English
proficient children, as described in section 1111(b)(2)(B);
and
``(C) achieving the purposes of this part; and
``(6) describe how eligible entities in the State will be
given the flexibility to teach limited English proficient
children--
``(A) using a language instruction curriculum that is tied
to scientifically based research on teaching limited English
proficient children and that has been demonstrated to be
effective; and
``(B) in the manner the eligible entities determine to be
the most effective.
``(c) Approval.--The Secretary, after using a peer review
process, shall approve a plan submitted under subsection (a)
if the plan meets the requirements of this section.
``(d) Duration of Plan.--
``(1) In general.--Each plan submitted by a State
educational agency or specially qualified agency and approved
under subsection (c) shall--
``(A) remain in effect for the duration of the agency's
participation under this part; and
``(B) be periodically reviewed and revised by the agency,
as necessary, to reflect changes to the agency's strategies
and programs carried out under this part.
``(2) Additional information.--
``(A) Amendments.--If the State educational agency or
specially qualified agency amends the plan, the agency shall
submit such amendment to the Secretary.
``(B) Approval.--The Secretary shall approve such amendment
to an approved plan, unless the Secretary determines that the
amendment will result in the agency not meeting the
requirements, or fulfilling the purposes, of this part.
``(e) Consolidated Plan.--A plan submitted under subsection
(a) may be submitted as part of a consolidated plan under
section 9302.
``(f) Secretary Assistance.--The Secretary shall provide
technical assistance, if requested, in the development of
English proficiency standards, objectives, and assessments.

``SEC. 3114. WITHIN-STATE ALLOCATIONS.

``(a) In General.--After making the reservation required
under subsection (d)(1), each State educational agency
receiving a grant under section 3111(c)(3) shall award
subgrants for a fiscal year by allocating to each eligible
entity in the State having a plan approved under section 3116
an amount that bears the same relationship to the amount
received under the grant and remaining after making such
reservation as the population of limited English proficient
children in schools served by the eligible entity bears to
the population of limited English proficient children in
schools served by all eligible entities in the State.
``(b) Limitation.--A State educational agency shall not
award a subgrant from an allocation made under subsection (a)
if the amount of such subgrant would be less than $10,000.
``(c) Reallocation.--Whenever a State educational agency
determines that an amount from an allocation made to an
eligible entity under subsection (a) for a fiscal year will
not be used by the entity for the purpose for which the
allocation was made, the agency shall, in accordance with
such rules as it determines to be appropriate, reallocate
such amount, consistent with such subsection, to other
eligible entities in the State that the agency determines
will use the amount to carry out that purpose.
``(d) Required Reservation.--A State educational agency
receiving a grant under this subpart for a fiscal year--
``(1) shall reserve not more than 15 percent of the
agency's allotment under section 3111(c)(3) to award
subgrants to eligible entities in the State that have
experienced a significant increase, as compared to the
average of the 2 preceding fiscal years, in the percentage or
number of immigrant children and youth, who have enrolled,
during the fiscal year preceding the fiscal year for which
the subgrant is made, in public and nonpublic elementary
schools and secondary schools in the geographic areas under
the jurisdiction of, or served by, such entities; and
``(2) in awarding subgrants under paragraph (1)--
``(A) shall equally consider eligible entities that satisfy
the requirement of such paragraph but have limited or no
experience in serving immigrant children and youth; and
``(B) shall consider the quality of each local plan under
section 3116 and ensure that each subgrant is of sufficient
size and scope to meet the purposes of this part.

``SEC. 3115. SUBGRANTS TO ELIGIBLE ENTITIES.

``(a) Purposes of Subgrants.--A State educational agency
may make a subgrant to an eligible entity from funds received
by the agency under this subpart only if the entity agrees to
expend the funds to improve the education of limited English
proficient children, by assisting the children to learn
English and meet challenging State academic content and
student academic achievement standards. In carrying out
activities with such funds, the entity shall use approaches
and methodologies based on scientifically based research on
teaching limited

[[Page H9844]]

English proficient children and immigrant children and youth
for the following purposes:
``(1) Developing and implementing new language instruction
educational programs and academic content instruction
programs for such children, and such children and youth,
including programs of early childhood education, elementary
school programs, and secondary school programs.
``(2) Carrying out highly focused, innovative, locally
designed activities to expand or enhance existing language
instruction educational programs and academic content
instruction programs for such children, and such children and
youth.
``(3) Implementing, within an individual school, schoolwide
programs for restructuring, reforming, and upgrading all
relevant programs, activities, and operations relating to
language instruction educational programs and academic
content instruction for such children, and such children and
youth.
``(4) Implementing, within the entire jurisdiction of a
local educational agency, agencywide programs for
restructuring, reforming, and upgrading all relevant
programs, activities, and operations relating to language
instruction educational programs and academic content
instruction for such children, and such children and youth.
``(b) Administrative Expenses.--Each eligible entity
receiving funds under section 3114(a) for a fiscal year may
use not more than 2 percent of such funds for the cost of
administering this subpart.
``(c) Required Subgrantee Activities.--An eligible entity
receiving funds under section 3114(a) shall use the funds--
``(1) to increase the English proficiency of limited
English proficient children by providing high-quality
language instruction educational programs that are based on
scientifically based research demonstrating the
effectiveness of the programs in increasing--
``(A) English proficiency; and
``(B) student academic achievement in the core academic
subjects; and
``(2) to provide high-quality professional development to
classroom teachers (including teachers in classroom settings
that are not the settings of language instruction educational
programs), principals, administrators, and other school or
community-based organizational personnel, that is--
``(A) designed to improve the instruction and assessment of
limited English proficient children;
``(B) designed to enhance the ability of such teachers to
understand and use curricula, assessment measures, and
instruction strategies for limited English proficient
children;
``(C) based on scientifically based research demonstrating
the effectiveness of the professional development in
increasing children's English proficiency or substantially
increasing the subject matter knowledge, teaching knowledge,
and teaching skills of such teachers; and
``(D) of sufficient intensity and duration (which shall not
include activities such as one-day or short-term workshops
and conferences) to have a positive and lasting impact on the
teachers' performance in the classroom, except that this
subparagraph shall not apply to an activity that is one
component of a long-term, comprehensive professional
development plan established by a teacher and the teacher's
supervisor based on an assessment of the needs of the
teacher, the supervisor, the students of the teacher, and any
local educational agency employing the teacher.
``(d) Authorized Subgrantee Activities.--Subject to
subsection (c), an eligible entity receiving funds under
section 3114(a) may use the funds to achieve one of the
purposes described in subsection (a) by undertaking one or
more of the following activities:
``(1) Upgrading program objectives and effective
instruction strategies.
``(2) Improving the instruction program for limited English
proficient children by identifying, acquiring, and upgrading
curricula, instruction materials, educational software, and
assessment procedures.
``(3) Providing--
``(A) tutorials and academic or vocational education for
limited English proficient children; and
``(B) intensified instruction.
``(4) Developing and implementing elementary school or
secondary school language instruction educational programs
that are coordinated with other relevant programs and
services.
``(5) Improving the English proficiency and academic
achievement of limited English proficient children.
``(6) Providing community participation programs, family
literacy services, and parent outreach and training
activities to limited English proficient children and their
families--
``(A) to improve the English language skills of limited
English proficient children; and
``(B) to assist parents in helping their children to
improve their academic achievement and becoming active
participants in the education of their children.
``(7) Improving the instruction of limited English
proficient children by providing for--
``(A) the acquisition or development of educational
technology or instructional materials;
``(B) access to, and participation in, electronic networks
for materials, training, and communication; and
``(C) incorporation of the resources described in
subparagraphs (A) and (B) into curricula and programs, such
as those funded under this subpart.
``(8) Carrying out other activities that are consistent
with the purposes of this section.
``(e) Activities by Agencies Experiencing Substantial
Increases in Immigrant Children and Youth.--
``(1) In general.--An eligible entity receiving funds under
section 3114(d)(1) shall use the funds to pay for activities
that provide enhanced instructional opportunities for
immigrant children and youth, which may include--
``(A) family literacy, parent outreach, and training
activities designed to assist parents to become active
participants in the education of their children;
``(B) support for personnel, including teacher aides who
have been specifically trained, or are being trained, to
provide services to immigrant children and youth;
``(C) provision of tutorials, mentoring, and academic or
career counseling for immigrant children and youth;
``(D) identification and acquisition of curricular
materials, educational software, and technologies to be used
in the program carried out with funds;
``(E) basic instruction services that are directly
attributable to the presence in the school district involved
of immigrant children and youth, including the payment of
costs of providing additional classroom supplies, costs of
transportation, or such other costs as are directly
attributable to such additional basic instruction services;
``(F) other instruction services that are designed to
assist immigrant children and youth to achieve in elementary
schools and secondary schools in the United States, such as
programs of introduction to the educational system and civics
education; and
``(G) activities, coordinated with community-based
organizations, institutions of higher education, private
sector entities, or other entities with expertise in working
with immigrants, to assist parents of immigrant children and
youth by offering comprehensive community services.
``(2) Duration of subgrants.--The duration of a subgrant
made by a State educational agency under section 3114(d)(1)
shall be determined by the agency in its discretion.
``(f) Selection of Method of Instruction.--
``(1) In general.--To receive a subgrant from a State
educational agency under this subpart, an eligible entity
shall select one or more methods or forms of instruction to
be used in the programs and activities undertaken by the
entity to assist limited English proficient children to
attain English proficiency and meet challenging State
academic content and student academic achievement standards.
``(2) Consistency.--Such selection shall be consistent with
sections 3125 through 3127.
``(g) Supplement, Not Supplant.--Federal funds made
available under this subpart shall be used so as to
supplement the level of Federal, State, and local public
funds that, in the absence of such availability, would have
been expended for programs for limited English proficient
children and immigrant children and youth and in no case to
supplant such Federal, State, and local public funds.

``SEC. 3116. LOCAL PLANS.

``(a) Plan Required.--Each eligible entity desiring a
subgrant from the State educational agency under section 3114
shall submit a plan to the State educational agency at such
time, in such manner, and containing such information as the
State educational agency may require.
``(b) Contents.--Each plan submitted under subsection (a)
shall--
``(1) describe the programs and activities proposed to be
developed, implemented and administered under the subgrant;
``(2) describe how the eligible entity will use the
subgrant funds to meet all annual measurable achievement
objectives described in section 3122;
``(3) describe how the eligible entity will hold elementary
schools and secondary schools receiving funds under this
subpart accountable for--
``(A) meeting the annual measurable achievement objectives
described in section 3122;
``(B) making adequate yearly progress for limited English
proficient children, as described in section 1111(b)(2)(B);
and
``(C) annually measuring the English proficiency of limited
English proficient children, so that such children served by
the programs carried out under this part develop proficiency
in English while meeting State academic content and student
academic achievement standards as required by section
1111(b)(1);
``(4) describe how the eligible entity will promote
parental and community participation in programs for limited
English proficient children;
``(5) contain an assurance that the eligible entity
consulted with teachers, researchers, school administrators,
and parents, and, if appropriate, with education-related
community groups and nonprofit organizations, and
institutions of higher education, in developing such plan;
and
``(6) describe how language instruction educational
programs carried out under the subgrant will ensure that
limited English proficient children being served by the
programs develop English proficiency.
``(c) Teacher English Fluency.--Each eligible entity
receiving a subgrant under section 3114 shall include in its
plan a certification that all teachers in any language
instruction educational program for limited English
proficient children that is, or will be, funded under this
part are fluent in English and any other language used for
instruction, including having written and oral communications
skills.
``(d) Other Requirements for Approval.--Each local plan
shall also contain assurances that--
``(1) each local educational agency that is included in the
eligible entity is complying with section 3302 prior to, and
throughout, each school year;
``(2) the eligible entity annually will assess the English
proficiency of all children with limited English proficiency
participating in programs funded under this part;

[[Page H9845]]

``(3) the eligible entity has based its proposed plan on
scientifically based research on teaching limited English
proficient children;
``(4) the eligible entity will ensure that the programs
will enable children to speak, read, write, and comprehend
the English language and meet challenging State academic
content and student academic achievement standards; and
``(5) the eligible entity is not in violation of any State
law, including State constitutional law, regarding the
education of limited English proficient children, consistent
with sections 3126 and 3127.

``Subpart 2--Accountability and Administration

``SEC. 3121. EVALUATIONS.

``(a) In General.--Each eligible entity that receives a
subgrant from a State educational agency under subpart 1
shall provide such agency, at the conclusion of every second
fiscal year during which the subgrant is received, with an
evaluation, in a form prescribed by the agency, that
includes--
``(1) a description of the programs and activities
conducted by the entity with funds received under subpart 1
during the 2 immediately preceding fiscal years;
``(2) a description of the progress made by children in
learning the English language and meeting challenging State
academic content and student academic achievement standards;
``(3) the number and percentage of children in the programs
and activities attaining English proficiency by the end of
each school year, as determined by a valid and reliable
assessment of English proficiency; and
``(4) a description of the progress made by children in
meeting challenging State academic content and student
academic achievement standards for each of the 2 years after
such children are no longer receiving services under this
part.
``(b) Use of Evaluation.--An evaluation provided by an
eligible entity under subsection (a) shall be used by the
entity and the State educational agency--
``(1) for improvement of programs and activities;
``(2) to determine the effectiveness of programs and
activities in assisting children who are limited English
proficient to attain English proficiency (as measured
consistent with subsection (d)) and meet challenging State
academic content and student academic achievement standards;
and
``(3) in determining whether or not to continue funding for
specific programs or activities.
``(c) Evaluation Components.--An evaluation provided by an
eligible entity under subsection (a) shall--
``(1) provide an evaluation of children enrolled in a
program or activity conducted by the entity using funds under
subpart 1 (including the percentage of children) who--
``(A) are making progress in attaining English proficiency,
including the percentage of children who have achieved
English proficiency;
``(B) have transitioned into classrooms not tailored to
limited English proficient children, and have a sufficient
level of English proficiency to permit them to achieve in
English and transition into classrooms not tailored to
limited English proficient children;
``(C) are meeting the same challenging State academic
content and student academic achievement standards as all
children are expected to meet; and
``(D) are not receiving waivers for the reading or language
arts assessments under section 1111(b)(3)(C); and
``(2) include such other information as the State
educational agency may require.
``(d) Evaluation Measures.--A State shall approve
evaluation measures for use under subsection (c) that are
designed to assess--
``(1) the progress of children in attaining English
proficiency, including a child's level of comprehension,
speaking, listening, reading, and writing skills in English;
``(2) student attainment of challenging State student
academic achievement standards on assessments described in
section 1111(b)(3); and
``(3) progress in meeting the annual measurable achievement
objectives described in section 3122.
``(e) Special Rule for Specially Qualified Agencies.--Each
specially qualified agency receiving a grant under this part
shall provide the evaluations described in subsection (a) to
the Secretary subject to the same requirements as apply to
eligible entities providing such evaluations to State
educational agencies under such subsection.

``SEC. 3122. ACHIEVEMENT OBJECTIVES AND ACCOUNTABILITY.

``(a) Achievement Objectives.--
``(1) In general.--Each State educational agency or
specially qualified agency receiving a grant under subpart 1
shall develop annual measurable achievement objectives for
limited English proficient children served under this part
that relate to such children's development and attainment of
English proficiency while meeting challenging State
academic content and student academic achievement
standards as required by section 1111(b)(1).
``(2) Development of objectives.--Such annual measurable
achievement objectives shall be developed in a manner that--
``(A) reflects the amount of time an individual child has
been enrolled in a language instruction educational program;
and
``(B) uses consistent methods and measurements to reflect
the increases described in subparagraphs (A)(i), (A)(ii), and
(B) of paragraph (3).
``(3) Contents.--Such annual measurable achievement
objectives--
``(A) shall include--
``(i) at a minimum, annual increases in the number or
percentage of children making progress in learning English;
``(ii) at a minimum, annual increases in the number or
percentage of children attaining English proficiency by the
end of each school year, as determined by a valid and
reliable assessment of English proficiency consistent with
section 1111(b)(7); and
``(iii) making adequate yearly progress for limited English
proficient children as described in section 1111(b)(2)(B);
and
``(B) at the discretion of the agency, may include the
number or percentage of children not receiving waivers for
reading or language arts assessments under section
1111(b)(3)(C), but this achievement objective shall not be
applied to an eligible entity that, in a given school year--
``(i) has experienced a large increase in limited English
proficient children or immigrant children and youth;
``(ii) enrolls a statistically significant number of
immigrant children and youth from countries where such
children and youth had little or no access to formal
education; or
``(iii) has a statistically significant number of immigrant
children and youth who have fled from war or natural
disaster.
``(b) Accountability.--
``(1) For states.--Each State educational agency receiving
a grant under subpart 1 shall hold eligible entities
receiving a subgrant under such subpart accountable for
meeting the annual measurable achievement objectives under
subsection (a), including making adequate yearly progress for
limited English proficient children.
``(2) Improvement plan.--If a State educational agency
determines, based on the annual measurable achievement
objectives described in subsection (a), that an eligible
entity has failed to make progress toward meeting such
objectives for 2 consecutive years, the agency shall require
the entity to develop an improvement plan that will ensure
that the entity meets such objectives. The improvement plan
shall specifically address the factors that prevented the
entity from achieving such objectives.
``(3) Technical assistance.--During the development of the
improvement plan described in paragraph (2), and throughout
its implementation, the State educational agency shall--
``(A) provide technical assistance to the eligible entity;
``(B) provide technical assistance, if applicable, to
schools served by such entity under subpart 1 that need
assistance to enable the schools to meet the annual
measurable achievement objectives described in subsection
(a);
``(C) develop, in consultation with the entity,
professional development strategies and activities, based on
scientifically based research, that the agency will use to
meet such objectives;
``(D) require such entity to utilize such strategies and
activities; and
``(E) develop, in consultation with the entity, a plan to
incorporate strategies and methodologies, based on
scientifically based research, to improve the specific
program or method of instruction provided to limited English
proficient children.
``(4) Accountability.--If a State educational agency
determines that an eligible entity has failed to meet the
annual measurable achievement objectives described in
subsection (a) for 4 consecutive years, the agency shall--
``(A) require such entity to modify the entity's
curriculum, program, and method of instruction; or
``(B)(i) make a determination whether the entity shall
continue to receive funds related to the entity's failure to
meet such objectives; and
``(ii) require such entity to replace educational personnel
relevant to the entity's failure to meet such objectives.
``(c) Special Rule for Specially Qualified Agencies.--The
Secretary shall hold specially qualified agencies receiving a
grant under this subpart accountable for meeting the annual
measurable achievement objectives described in subsection (a)
in the same manner as State educational agencies hold
eligible entities accountable under subsection (b).

``SEC. 3123. REPORTING REQUIREMENTS.

``(a) States.--Based upon the evaluations provided to a
State educational agency under section 3121, each such agency
that receives a grant under this part shall prepare and
submit every second year to the Secretary a report on
programs and activities carried out by the State educational
agency under this part and the effectiveness of such programs
and activities in improving the education provided to
children who are limited English proficient.
``(b) Secretary.--Every second year, the Secretary shall
prepare and submit to the Committee on Education and the
Workforce of the House of Representatives and the Committee
on Health, Education, Labor, and Pensions of the Senate a
report--
``(1) on programs and activities carried out to serve
limited English proficient children under this part, and the
effectiveness of such programs and activities in improving
the academic achievement and English proficiency of children
who are limited English proficient;
``(2) on the types of language instruction educational
programs used by local educational agencies or eligible
entities receiving funding under this part to teach limited
English proficient children;
``(3) containing a critical synthesis of data reported by
eligible entities to States under section 3121(a);
``(4) containing a description of technical assistance and
other assistance provided by State educational agencies under
section 3111(b)(2)(C);
``(5) containing an estimate of the number of certified or
licensed teachers working in language instruction educational
programs and educating limited English proficient children,
and an estimate of the number of such teachers

[[Page H9846]]

that will be needed for the succeeding 5 fiscal years;
``(6) containing the major findings of scientifically based
research carried out under this part;
``(7) containing the number of programs or activities, if
any, that were terminated because the entities carrying out
the programs or activities were not able to reach program
goals;
``(8) containing the number of limited English proficient
children served by eligible entities receiving funding under
this part who were transitioned out of language instruction
educational programs funded under this part into classrooms
where instruction is not tailored for limited English
proficient children; and
``(9) containing other information gathered from the
evaluations from specially qualified agencies and other
reports submitted to the Secretary under this title when
applicable.

``SEC. 3124. COORDINATION WITH RELATED PROGRAMS.

``In order to maximize Federal efforts aimed at serving the
educational needs of children of limited English proficiency,
the Secretary shall coordinate and ensure close cooperation
with other entities carrying out programs serving language-
minority and limited English proficient children that are
administered by the Department and other agencies.

``SEC. 3125. RULES OF CONSTRUCTION.

``Nothing in this part shall be construed--
``(1) to prohibit a local educational agency from serving
limited English proficient children simultaneously with
children with similar educational needs, in the same
educational settings where appropriate;
``(2) to require a State or a local educational agency to
establish, continue, or eliminate any particular type of
instructional program for limited English proficient
children; or
``(3) to limit the preservation or use of Native American
languages.

``SEC. 3126. LEGAL AUTHORITY UNDER STATE LAW.

``Nothing in this part shall be construed to negate or
supersede State law, or the legal authority under State law
of any State agency, State entity, or State public official,
over programs that are under the jurisdiction of the State
agency, entity, or official.

``SEC. 3127. CIVIL RIGHTS.

``Nothing in this part shall be construed in a manner
inconsistent with any Federal law guaranteeing a civil right.

``SEC. 3128. PROGRAMS FOR NATIVE AMERICANS AND PUERTO RICO.

``Notwithstanding any other provision of this part,
programs authorized under this part that serve Native
American (including Native American Pacific
Islander) children and children in the Commonwealth of
Puerto Rico may include programs of instruction, teacher
training, curriculum development, evaluation, and
assessment designed for Native American children learning
and studying Native American languages and children of
limited Spanish proficiency, except that an outcome of
programs serving such children shall be increased English
proficiency among such children.

``SEC. 3129. PROHIBITION.

``In carrying out this part, the Secretary shall neither
mandate nor preclude the use of a particular curricular or
pedagogical approach to educating limited English proficient
children.

``Subpart 3--National Activities

``SEC. 3131. NATIONAL PROFESSIONAL DEVELOPMENT PROJECT.

``The Secretary shall use funds made available under
section 3111(c)(1)(C) to award grants on a competitive basis,
for a period of not more than 5 years, to institutions of
higher education (in consortia with State educational
agencies or local educational agencies) to provide for
professional development activities that will improve
classroom instruction for limited English proficient children
and assist educational personnel working with such children
to meet high professional standards, including standards for
certification and licensure as teachers who work in language
instruction educational programs or serve limited English
proficient children. Grants awarded under this subsection may
be used--
``(1) for preservice professional development programs that
will assist local schools and institutions of higher
education to upgrade the qualifications and skills of
educational personnel who are not certified or licensed,
especially educational paraprofessionals;
``(2) for the development of curricula appropriate to the
needs of the consortia participants involved; and
``(3) in conjunction with other Federal need-based student
financial assistance programs, for financial assistance, and
costs related to tuition, fees, and books for enrolling in
courses required to complete the degree involved, to meet
certification or licensing requirements for teachers who work
in language instruction educational programs or serve limited
English proficient children.

``Subpart 4--Definitions

``SEC. 3141. ELIGIBLE ENTITY.

``In this part, the term `eligible entity' means--
``(1) one or more local educational agencies; or
``(2) one or more local educational agencies, in
collaboration with an institution of higher education,
community-based organization, or State educational agency.

``PART B--IMPROVING LANGUAGE INSTRUCTION EDUCATIONAL PROGRAMS

``SEC. 3201. SHORT TITLE.

``This part may be cited as the `Improving Language
Instruction Educational Programs For Academic Achievement
Act'.

``SEC. 3202. PURPOSE.

``The purpose of this part is to help ensure that limited
English proficient children master English and meet the same
rigorous standards for academic achievement as all children
are expected to meet, including meeting challenging State
academic content and student academic achievement standards
by--
``(1) promoting systemic improvement and reform of, and
developing accountability systems for, educational programs
serving limited English proficient children;
``(2) developing language skills and multicultural
understanding;
``(3) developing the English proficiency of limited English
proficient children and, to the extent possible, the native
language skills of such children;
``(4) providing similar assistance to Native Americans with
certain modifications relative to the unique status of Native
American languages under Federal law;
``(5) developing data collection and dissemination,
research, materials, and technical assistance that are
focused on school improvement for limited English proficient
children; and
``(6) developing programs that strengthen and improve the
professional training of educational personnel who work with
limited English proficient children.

``SEC. 3203. NATIVE AMERICAN CHILDREN IN SCHOOL.

``(a) Eligible Entities.--For the purpose of carrying out
programs under this part for individuals served by elementary
schools, secondary schools, and postsecondary schools
operated predominately for Native American (including Alaska
Native) children and youth, an Indian tribe, a tribally
sanctioned educational authority, a Native Hawaiian or Native
American Pacific Islander native language education
organization, or an elementary school or secondary school
that is operated or funded by the Bureau of Indian Affairs
shall be considered to be a local educational agency.
``(b) Application.--Notwithstanding any other provision of
this part, each tribe, authority, organization, or school
described in subsection (a) shall submit any application for
assistance under this part directly to the Secretary along
with timely comments on the need for the program proposed in
the application.

``SEC. 3204. RESIDENTS OF THE TERRITORIES AND FREELY
ASSOCIATED STATES.

``For the purpose of carrying out programs under this part
in the outlying areas, the term `local educational agency'
includes public institutions or agencies whose mission is the
preservation and maintenance of native languages.

``Subpart 1--Program Development and Enhancement

``SEC. 3211. FINANCIAL ASSISTANCE FOR LANGUAGE INSTRUCTION
EDUCATIONAL PROGRAMS.

``The purpose of this subpart is to assist local
educational agencies, institutions of higher education, and
community-based organizations, through the grants authorized
under sections 3212 and 3213--
``(1) to develop and enhance their capacity to provide
high-quality instruction through language instruction
educational programs or special alternative instruction
programs to limited English proficient children; and
``(2) to help such children--
``(A) develop English proficiency and, to the extent
possible, proficiency in their native language; and
``(B) meet the same challenging State academic content and
student academic achievement standards as all children are
expected to meet under section 1111(b)(1).

``SEC. 3212. PROGRAM ENHANCEMENT ACTIVITIES.

``(a) Program Authorized.--
``(1) Authority.--
``(A) In general.--The Secretary is authorized to award
grants to eligible entities having applications approved
under section 3214 to enable such entities to provide
innovative, locally designed, high-quality instruction to
limited English proficient children, by expanding,
developing, or strengthening language instruction educational
programs or special alternative instruction programs.
``(B) Period.--Each grant awarded under this section shall
be awarded for a period of 3 years.
``(2) Authorized activities.--
``(A) Mandatory activities.--Grants awarded under this
section shall be used for--
``(i) developing, implementing, expanding, or enhancing
comprehensive preschool, elementary, or secondary education
programs for limited English proficient children, that are--

``(I) aligned with State and local academic content and
student academic achievement standards, and local school
reform efforts; and
``(II) coordinated with related academic services for
children;

``(ii) providing high-quality professional development to
classroom teachers, administrators, and other school or
community-based organization personnel to improve the
instruction and assessment of limited English proficient
children; and
``(iii) annually assessing the English proficiency of all
limited English proficient children served by activities
carried out under this section.
``(B) Permissible activities.--Grants awarded under this
section may be used for--
``(i) implementing programs to upgrade the reading and
other academic skills of limited English proficient children;
``(ii) developing accountability systems to monitor the
academic progress of limited English proficient and formerly
limited English proficient children;
``(iii) implementing family education programs and parent
outreach and training activities designed to assist parents
to become active participants in the education of their
children;

[[Page H9847]]

``(iv) improving the instruction programs for limited
English proficient children by identifying, acquiring, and
applying effective curricula, instruction materials
(including materials provided through technology), and
assessments that are all aligned with State and local
standards;
``(v) providing intensified instruction, including
tutorials and academic, or vocational and technical,
training, for limited English proficient children;
``(vi) adapting best practice models for meeting the needs
of limited English proficient children;
``(vii) assisting limited English proficient children with
disabilities;
``(viii) implementing applied learning activities such as
service learning to enhance and support comprehensive
elementary and secondary language instruction educational
programs;
``(ix) acquiring or developing education technology or
instruction materials for limited English proficient
children, including materials in languages other than
English;
``(x) participating in electronic networks for materials,
training, and communication, and incorporating information
derived from such participation in curricula and programs;
and
``(xi) carrying out such other activities related to the
purpose of this part as the Secretary may approve.
``(b) Priority.--In awarding grants under this section, the
Secretary may give priority to an entity that--
``(1) serves a school district--
``(A) that has a total district enrollment that is less
than 10,000 students; or
``(B) with a large percentage or number of limited English
proficient children; and
``(2) has limited or no experience in serving limited
English proficient children.
``(c) Eligible Entity.--In this section, the term `eligible
entity' means--
``(1) one or more local educational agencies;
``(2) one or more local educational agencies in
collaboration with an institution of higher education,
community-based organization, or State educational agency; or
``(3) a community-based organization or an institution of
higher education that has an application approved by the
local educational agency to participate in programs carried
out under this subpart by enhancing early childhood education
or family education programs or conducting instruction
programs that supplement the educational services provided by
a local educational agency.

``SEC. 3213. COMPREHENSIVE SCHOOL AND SYSTEMWIDE IMPROVEMENT
ACTIVITIES.

``(a) Program Authorized.--
``(1) Authority.--The Secretary is authorized to award
grants to eligible entities having applications approved
under section 3214 to enable such entities to develop and
implement language instruction educational programs, and
improve, reform, or upgrade programs or operations that serve
significant percentages or numbers of limited English
proficient children.
``(2) Mandatory activities.--Grants awarded under this
section shall be used for--
``(A) improving instruction programs for limited English
proficient children by acquiring and upgrading curricula and
related instruction materials;
``(B) aligning the activities carried out under this
section with State and local school reform efforts;
``(C) providing training, aligned with State and local
standards, to school personnel and participating community-
based organization personnel to improve the instruction and
assessment of limited English proficient children;
``(D) developing and implementing plans, coordinated with
plans for programs carried out under title II of the Higher
Education Act of 1965 (where applicable), and title II of
this Act (where applicable), to recruit teachers trained to
serve limited English proficient children;
``(E) implementing culturally and linguistically
appropriate family education programs, or parent outreach and
training activities, that are designed to assist parents of
limited English proficient children to become active
participants in the education of their children;
``(F) coordinating the activities carried out under this
section with other programs, such as programs carried out
under this title;
``(G) providing services to meet the full range of the
educational needs of limited English proficient children;
``(H) annually assessing the English proficiency of all
limited English proficient children served by the activities
carried out under this section; and
``(I) developing or improving accountability systems to
monitor the academic progress of limited English proficient
children.
``(3) Permissible activities.--Grants awarded under this
section may be used for--
``(A) implementing programs to upgrade reading and other
academic skills of limited English proficient children;
``(B) developing and using educational technology to
improve learning, assessments, and accountability to meet the
needs of limited English proficient children;
``(C) implementing scientifically based research programs
to meet the needs of limited English proficient children;
``(D) providing tutorials and academic, or vocational and
technical, training for limited English proficient children;
``(E) developing and implementing State and local academic
content and student academic achievement standards for
learning English as a second language, as well as for
learning other languages;
``(F) developing and implementing programs for limited
English proficient children to meet the needs of changing
populations of such children;
``(G) implementing policies to ensure that limited English
proficient children have access to other education programs
(other than programs designed to address limited English
proficiency);
``(H) assisting limited English proficient children with
disabilities;
``(I) developing and implementing programs to help children
become proficient in English and other languages;
``(J) acquiring or developing education technology or
instruction materials for limited English proficient
children, including materials in languages other than
English;
``(K) participating in electronic networks for materials,
training, and communication and incorporating information
derived from such participation in curricula and programs;
and
``(L) carrying out such other activities related to the
purpose of this part as the Secretary may approve.
``(4) Special rule.--
``(A) Planning.--A recipient of a grant under this section,
before carrying out activities under this section, shall
plan, train personnel, develop curricula, and acquire or
develop materials, but shall not use funds made available
under this section for planning purposes for more than 45
days.
``(B) Commencement of activities.-- The recipient shall
commence carrying out activities under this section not later
than the later of--
``(i) the beginning of the first school year that begins
after the grant is received; or
``(ii) 30 days after the date of receipt of the grant.
``(b) Availability of Appropriations.--
``(1) Reservation of funds for continued payments.--
``(A) Covered grant.--In this paragraph, the term `covered
grant' means a grant--
``(i) that was awarded under section 7112, 7113, 7114, or
7115 (as such sections were in effect on the day before the
date of enactment of the No Child Left Behind Act of 2001);
and
``(ii) for which the grant period has not ended.
``(B) Reservation.--For any fiscal year that is part of the
grant period of a covered grant, the Secretary shall reserve
funds for the payments described in subparagraph (C) from the
amount appropriated for the fiscal year under section 3001(a)
and made available for carrying out this section.
``(C) Payments.--The Secretary shall continue to make grant
payments to each entity that received a covered grant, in
accordance with the terms of that grant, for the duration of
the grant period of the grant, to carry out activities in
accordance with the appropriate section described in
subparagraph (A)(i).
``(2) Availability.--Of the amount appropriated for a
fiscal year under section 3001(a) that is made available to
carry out this section, and that remains after the Secretary
reserves funds for payments under paragraph (1)--
``(A) not less than \1/3\ of the remainder shall be used to
award grants to eligible entities for activities carried out
within an entire school district; and
``(B) not less than \2/3\ of the remainder shall be used to
award grants to eligible entities for activities carried out
within individual schools.
``(c) Priority.--In awarding grants under this section, the
Secretary shall give priority to an applicant that--
``(1) experiences a significant increase in the number or
percentage of limited English proficient children enrolled in
the applicant's programs and has limited or no experience in
serving limited English proficient children;
``(2) is a local educational agency that serves a school
district that has a total district enrollment that is less
than 10,000 students;
``(3) demonstrates that the applicant has a proven track
record of success in helping limited English proficient
children learn English and meet high academic standards; or
``(4) serves a school district with a large number or
percentage of limited English proficient children.
``(d) Eligible Entities.--In this section, the term
`eligible entity' means--
``(1) one or more local educational agencies; or
``(2) one or more local educational agencies, in
collaboration with an institution of higher education,
community-based organization, or State educational agency.

``SEC. 3214. APPLICATIONS.

``(a) In General.--
``(1) Secretary.--To receive a grant under this subpart, an
eligible entity described in section 3212 or 3213 shall
submit an application to the Secretary at such time, in such
form, and containing such information as the Secretary may
require.
``(2) State educational agency.--The eligible entity, with
the exception of schools funded by the Bureau of Indian
Affairs, shall submit a copy of the application submitted by
the entity under this section to the State educational
agency.
``(b) State Review and Comments.--
``(1) Deadline.--The State educational agency, not later
than 45 days after receipt of an application under this
section, shall review the application and submit the written
comments of the agency regarding the application to the
Secretary.
``(2) Comments.--
``(A) Submission of comments.--Regarding applications
submitted under this subpart, the State educational agency
shall--
``(i) submit to the Secretary written comments regarding
all such applications; and
``(ii) submit to each eligible entity the comments that
pertain to such entity.
``(B) Subject.--For purposes of this subpart, such comments
shall address--
``(i) how the activities to be carried out under the grant
will further the academic achievement and English proficiency
of limited English proficient children served under the
grant; and

[[Page H9848]]

``(ii) how the grant application is consistent with the
State plan required under section 1111.
``(c) Eligible Entity Comments.--An eligible entity may
submit to the Secretary comments that address the comments
submitted by the State educational agency.
``(d) Comment Consideration.--In making grants under this
subpart, the Secretary shall take into consideration comments
made by State educational agencies.
``(e) Waiver.--Notwithstanding subsection (b), the
Secretary is authorized to waive the review requirement
specified in subsection (b) if a State educational agency can
demonstrate that such review requirement may impede such
agency's ability to fulfill the requirements of participation
in the program authorized in section 3224, particularly such
agency's ability to carry out data collection efforts and
such agency's ability to provide technical assistance to
local educational agencies not receiving funds under this
subpart.
``(f) Required Documentation.--Such application shall
include documentation that--
``(1) the applicant has the qualified personnel required to
develop, administer, and implement the program proposed in
the application; and
``(2) the leadership personnel of each school participating
in the program have been involved in the development and
planning of the program in the school.
``(g) Contents.--
``(1) In general.--An application for a grant under this
subpart shall contain the following:
``(A) A description of the need for the proposed program,
including--
``(i) data on the number of limited English proficient
children in the school or school district to be served;
``(ii) information on the characteristics of the children,
including--

``(I) the native languages of the children;
``(II) the proficiency of the children in English and their
native language;
``(III) achievement data (current as of the date of
submission of the application) for the limited English
proficient children in--

``(aa) reading or language arts (in English and in the
native language, if applicable); and
``(bb) mathematics;

``(IV) a comparison of that data for the children with that
data for the English proficient peers of the children; and
``(V) the previous schooling experiences of the children;

``(iii) the professional development needs of the
instruction personnel who will provide services for the
limited English proficient children under the proposed
program; and
``(iv) how the services provided through the grant will
supplement the basic services provided to limited English
proficient children.
``(B) A description of the program to be implemented and
how such program's design--
``(i) relates to the linguistic and academic needs of the
limited English proficient children to be served;
``(ii) will ensure that the services provided through the
program will supplement the basic services the applicant
provides to limited English proficient children;
``(iii) will ensure that the program is coordinated with
other programs under this Act and other Acts;
``(iv) involves the parents of the limited English
proficient children to be served;
``(v) ensures accountability in achieving high academic
standards; and
``(vi) promotes coordination of services for the limited
English proficient children to be served and their families.
``(C) A description, if appropriate, of the applicant's
collaborative activities with institutions of higher
education, community-based organizations, local educational
agencies or State educational agencies, private schools,
nonprofit organizations, or businesses in carrying out the
proposed program.
``(D) An assurance that the applicant will not reduce the
level of State and local funds that the applicant expends for
language instruction educational programs or special
alternative instruction programs if the applicant receives an
award under this subpart.
``(E) An assurance that the applicant will employ teachers
in the proposed program who, individually or in combination,
are proficient in--
``(i) English, with respect to written, as well as oral,
communication skills; and
``(ii) the native language of the majority of the children
who the teachers teach, if instruction in the program is in
the native language as well as English.
``(F) A budget for the grant funds.
``(2) Additional information.--Each application for a grant
under section 3213 shall--
``(A) describe--
``(i) current services (as of the date of submission of the
application) the applicant provides to limited English
proficient children;
``(ii) what services limited English proficient children
will receive under the grant that such children will not
otherwise receive;
``(iii) how funds received under this subpart will be
integrated with all other Federal, State, local, and private
resources that may be used to serve limited English
proficient children;
``(iv) specific achievement and school retention goals for
the children to be served by the proposed program and how
progress toward achieving such goals will be measured; and
``(v) the current family education programs (as of the date
of submission of the application) of the eligible entity, if
applicable; and
``(B) provide assurances that--
``(i) the program funded with the grant will be integrated
with the overall educational program of the children served
through the proposed program; and
``(ii) the application has been developed in consultation
with parents and other representatives of the children to be
served in such program.
``(h) Approval of Applications.--An application for a grant
under this subpart may be approved only if the Secretary
determines that--
``(1) the program proposed in the application will use
qualified personnel, including personnel who are proficient
in the language or languages used for instruction;
``(2) in designing the program, the eligible entity has,
after consultation with appropriate private school
officials--
``(A) taken into account the needs of children in nonprofit
private elementary schools and secondary schools; and
``(B) in a manner consistent with the number of such
children enrolled in such schools in the area to be served,
whose educational needs are of the type and whose language,
and grade levels are of a similar type to the needs,
language, and grade levels that the program is intended to
address, provided for the participation of such children on a
basis comparable to the basis on which public school children
participate;
``(3)(A) student evaluation and assessment procedures in
the program are valid and reliable for limited English
proficient children; and
``(B) limited English proficient children with disabilities
will be identified and served through the program in
accordance with the requirements of the Individuals with
Disabilities Education Act;
``(4) Federal funds made available for the program will be
used to supplement the State and local funds that, in the
absence of such Federal funds, would be expended for special
programs for children of limited English proficient
individuals, and in no case to supplant such State and local
funds, except that nothing in this paragraph shall be
construed to preclude a local educational agency from using
funds made available under this subpart--
``(A) for activities carried out under an order of a
Federal or State court respecting services to be provided to
such children; or
``(B) to carry out a plan approved by the Secretary as
adequate under title VI of the Civil Rights Act of 1964 with
respect to services to be provided to such children;
``(5)(A) the assistance provided through the grant will
contribute toward building the capacity of the eligible
entity to provide a program on a regular basis, similar to
the proposed program, that will be of sufficient size, scope,
and quality to promise significant improvement in the
education of limited English proficient children; and
``(B) the eligible entity will have the resources and
commitment to continue the program of sufficient size, scope,
and quality when assistance under this subpart is reduced or
no longer available; and
``(6) the eligible entity will use State and national
dissemination sources for program design and dissemination of
results and products.
``(i) Consideration.--In determining whether to approve an
application under this subpart, the Secretary shall give
consideration to--
``(1) the degree to which the program for which assistance
is sought involves the collaborative efforts of institutions
of higher education, community-based organizations, the
appropriate local educational agency and State educational
agency, or businesses; and
``(2) whether the application provides for training for
personnel participating in, or preparing to participate in, a
program that will assist such personnel in meeting State and
local certification requirements.

``SEC. 3215. CAPACITY BUILDING.

``Each recipient of a grant under this subpart shall use
the grant in ways that will build such recipient's capacity
to continue to offer high-quality language instruction
educational programs and special alternative instruction
programs to limited English proficient children after Federal
assistance is reduced or eliminated.

``SEC. 3216. PROGRAMS FOR NATIVE AMERICANS AND PUERTO RICO.

``Notwithstanding any other provision of this part,
programs authorized under this subpart that serve Native
American (including Native American Pacific Islander)
children and children in the Commonwealth of Puerto Rico may
include programs of instruction, teacher training, curriculum
development, evaluation, and assessment designed for Native
American children learning and studying Native American
languages and children of limited Spanish proficiency, except
that an outcome of programs serving such children shall be
increased English proficiency among such children.

``SEC. 3217. EVALUATIONS.

``(a) Evaluation.--Each recipient of funds under this
subpart for a program shall annually conduct an evaluation of
the program and submit to the Secretary a report concerning
the evaluation, in the form prescribed by the Secretary.
``(b) Use of Evaluation.--Such evaluation shall be used by
the grant recipient--
``(1) for program improvement;
``(2) to further define the program's goals and objectives;
and
``(3) to determine program effectiveness.
``(c) Evaluation Report Components.--In preparing the
evaluation reports, the recipient shall--
``(1) use the data provided in the application submitted by
the recipient under section 3214 as baseline data against
which to report academic achievement and gains in English
proficiency for children in the program;
``(2) disaggregate the results of the evaluation by gender,
native languages spoken by children, socioeconomic status,
and whether the children have disabilities;
``(3) include data on the progress of the recipient in
achieving the objectives of the program, including data
demonstrating the extent to which children served by the
program are meeting the challenging State academic content
and

[[Page H9849]]

student academic achievement standards, and including data
comparing limited English proficient children with English
proficient children with regard to school retention and
academic achievement concerning--
``(A) reading and language arts;
``(B) English proficiency;
``(C) mathematics; and
``(D) the native language of the children, if the program
develops native language proficiency;
``(4) include information on the extent that professional
development activities carried out through the program have
resulted in improved classroom practices and improved student
academic achievement;
``(5) include a description of how the activities carried
out through the program are coordinated and integrated with
the other Federal, State, or local programs serving limited
English proficient children; and
``(6) include such other information as the Secretary may
require.

``SEC. 3218. CONSTRUCTION.

``Nothing in this subpart shall be construed to prohibit a
local educational agency from serving limited English
proficient children simultaneously with children with similar
educational needs, in the same educational settings where
appropriate.

``Subpart 2--Research, Evaluation, and Dissemination

``SEC. 3221. AUTHORITY.

``(a) In General.--The Secretary is authorized to conduct
data collection, dissemination, research, and ongoing program
evaluation activities in accordance with the provisions of
this subpart for the purpose of improving language
instruction educational programs and special alternative
instruction programs for limited English proficient children.
``(b) Competitive Awards.--Research and program evaluation
activities carried out under this subpart shall be supported
through competitive grants, contracts, and cooperative
agreements awarded to institutions of higher education,
nonprofit organizations, State educational agencies, and
local educational agencies.
``(c) Administration.--The Secretary shall conduct data
collection, dissemination, and ongoing program evaluation
activities authorized by this subpart through the Office of
English Language Acquisition, Language Enhancement, and
Academic Achievement for Limited English Proficient Students.

``SEC. 3222. RESEARCH.

``(a) Administration.--The Secretary shall conduct research
activities authorized by this subpart through the Office of
Educational Research and Improvement in coordination and
collaboration with the Office of English Language
Acquisition, Language Enhancement, and Academic Achievement
for Limited English Proficient Students.
``(b) Requirements.--Such research activities--
``(1) shall have a practical application to teachers,
counselors, paraprofessionals, school administrators,
parents, and others involved in improving the education of
limited English proficient children and their families;
``(2) may include research on effective instruction
practices for multilingual classes, and on effective
instruction strategies to be used by a teacher or other staff
member who does not know the native language of a limited
English proficient child in the teacher's or staff member's
classroom;
``(3) may include establishing (through the National Center
for Education Statistics in consultation with experts in
second language acquisition and scientifically based research
on teaching limited English proficient children) a common
definition of `limited English proficient child' for purposes
of national data collection; and
``(4) shall be administered by individuals with expertise
in second language acquisition, scientifically based research
on teaching limited English proficient children, and the
needs of limited English proficient children and their
families.
``(c) Field-Initiated Research.--
``(1) In general.--The Secretary shall reserve not less
than 5 percent of the funds made available to carry out this
section for field-initiated research conducted by recipients
of grants under subpart 1 or this subpart who have received
such grants within the previous 5 years. Such research may
provide for longitudinal studies of limited English
proficient children or teachers who serve such children,
monitoring the education of such children from entry into
language instruction educational programs through
secondary school completion.
``(2) Applications.--An applicant for assistance under this
subsection may submit an application for such assistance to
the Secretary at the same time as the applicant submits
another application under subpart 1 or this subpart. The
Secretary shall complete a review of such applications on a
timely basis to allow the activities carried out under
research and program grants to be coordinated when recipients
are awarded 2 or more of such grants.
``(d) Consultation.--The Secretary shall consult with
agencies, organizations, and individuals that are engaged in
research and practice on the education of limited English
proficient children, language instruction educational
programs, or related research, to identify areas of study and
activities to be funded under this section.
``(e) Data Collection.--The Secretary shall provide for the
collection of data on limited English proficient children as
part of the data systems operated by the Department.

``SEC. 3223. ACADEMIC EXCELLENCE AWARDS.

``(a) Authority.--The Secretary may make grants to State
educational agencies to assist the agencies in recognizing
local educational agencies and other public and nonprofit
entities whose programs have--
``(1) demonstrated significant progress in assisting
limited English proficient children to learn English
according to age appropriate and developmentally appropriate
standards; and
``(2) demonstrated significant progress in assisting
limited English proficient children to meet, according to age
appropriate and developmentally appropriate standards, the
same challenging State academic content and student academic
achievement standards as all children are expected to meet.
``(b) Applications.--A State educational agency desiring a
grant under this section shall include an application for
such grant in the application submitted by the agency under
section 3224(e).

``SEC. 3224. STATE GRANT PROGRAM.

``(a) State Grant Program.--The Secretary is authorized to
make an award to a State educational agency that
demonstrates, to the satisfaction of the Secretary, that such
agency, through such agency's programs and other Federal
education programs, effectively provides for the education of
limited English proficient children within the State.
``(b) Payments.--The amount paid to a State educational
agency under subsection (a) shall not exceed 5 percent of the
total amount awarded to local educational agencies and
entities within the State under subpart 1 for the previous
fiscal year, except that in no case shall the amount paid by
the Secretary to any State educational agency under this
subsection for any fiscal year be less than $100,000.
``(c) Use of Funds.--
``(1) In general.--A State educational agency shall use
funds awarded under this section--
``(A) to assist local educational agencies in the State
with activities that--
``(i) consist of program design, capacity building,
assessment of student academic achievement, program
evaluation, and development of data collection and
accountability systems for limited English proficient
children; and
``(ii) are aligned with State reform efforts; and
``(B) to collect data on the State's limited English
proficient populations and document the services available to
all such populations.
``(2) Training.--The State educational agency may also use
funds provided under this section for the training of State
educational agency personnel in educational issues affecting
limited English proficient children.
``(3) Special rule.--Recipients of funds under this section
shall not restrict the provision of services under this
section to federally funded programs.
``(d) State Consultation.--A State educational agency
receiving funds under this section shall consult with
recipients of grants under this subpart and other individuals
or organizations involved in the development or operation of
programs serving limited English proficient children to
ensure that such funds are used in a manner consistent with
the requirements of this subpart.
``(e) Applications.--A State educational agency desiring to
receive funds under this section shall submit an application
to the Secretary at such time, in such form, and containing
such information and assurances as the Secretary may require.
``(f) Supplement, Not Supplant.--Federal funds made
available under this section for any fiscal year shall be
used by the State educational agency to supplement and, to
the extent practical, to increase the State funds that, in
the absence of such Federal funds, would be made available
for the purposes described in this section, and in no case to
supplant such State funds.
``(g) Report to the Secretary.--A State educational agency
receiving an award under this section shall provide for the
annual submission of a summary report to the Secretary
describing such State's use of the funds made available
through the award.

``SEC. 3225. INSTRUCTION MATERIALS DEVELOPMENT.

``(a) In General.--The Secretary may make grants for the
development, publication, and dissemination of high-quality
instruction materials--
``(1) in Native American languages (including Native
Hawaiian languages and the language of Native American
Pacific Islanders), and the language of natives of the
outlying areas, for which instruction materials are not
readily available; and
``(2) in other low-incidence languages in the United States
for which instruction materials are not readily available.
``(b) Priority.--In making the grants, the Secretary shall
give priority to applicants for the grants who propose--
``(1) to develop instruction materials in languages
indigenous to the United States or the outlying areas; and
``(2) to develop and evaluate materials, in collaboration
with entities carrying out activities assisted under subpart
1 and this subpart, that are consistent with challenging
State academic content and student academic achievement
standards.

``Subpart 3--Professional Development

``SEC. 3231. PROFESSIONAL DEVELOPMENT GRANTS.

``(a) Purpose.--The purpose of this section is to provide
assistance to prepare educators to improve educational
services for limited English proficient children by--
``(1) supporting professional development programs and
activities to prepare teachers, pupil service personnel,
administrators, and other educational personnel working in
language instruction educational programs to provide
effective services to limited English proficient children;

[[Page H9850]]

``(2) incorporating curricula and resources concerning
appropriate and effective instruction and assessment
methodologies specific to limited English proficient children
into preservice and inservice professional development
programs;
``(3) upgrading the qualifications and skills of non-
certified educational personnel, including paraprofessionals,
to enable such personnel to meet high professional standards
for educating limited English proficient children;
``(4) improving the quality of professional development
programs in schools or departments of education at
institutions of higher education, for educational personnel
serving, or preparing to serve, limited English proficient
children; and
``(5) supporting the recruitment and training of
prospective educational personnel to serve limited English
proficient children by providing fellowships for
undergraduate, graduate, doctoral, and post-doctoral study
related to the instruction of such children.
``(b) Authorization.--
``(1) In general.--The Secretary is authorized to award
grants under this section to--
``(A) State educational agencies;
``(B) local educational agencies;
``(C) institutions of higher education; or
``(D) consortia of one or more local educational agencies,
State educational agencies, institutions of higher education,
for-profit organizations, or nonprofit organizations.
``(2) Duration.--Each grant awarded under this section
shall be awarded for a period of not more than 4 years.
``(c) Authorized Activities.--Grants awarded under this
section shall be used to conduct high-quality professional
development programs and effective activities to improve the
quality of instruction and services provided to limited
English proficient children, including--
``(1) implementing preservice and inservice professional
development programs for teachers who serve limited English
proficient children, administrators, and other educational
personnel who are preparing to provide educational services
for limited English proficient children, including
professional development programs that assist limited English
proficient children to attain English proficiency;
``(2) implementing school-based collaborative efforts among
teachers to improve instruction in core academic subjects,
especially reading, for limited English proficient children;
``(3) developing and implementing programs to assist
beginning teachers who serve limited English proficient
children with transitioning to the teaching profession,
including programs that provide mentoring and team teaching
with trained and experienced teachers;
``(4) implementing programs that support effective teacher
use of education technologies to improve instruction and
assessment;
``(5) developing curricular materials and assessments for
teachers that are appropriate to the needs of limited English
proficient children, and that are aligned with challenging
State academic content and student academic achievement
standards, including materials and assessments that ensure
limited English proficient children attain English
proficiency;
``(6) integrating and coordinating activities with entities
carrying out other programs consistent with the purpose of
this section and supported under this Act, or other Acts as
appropriate;
``(7) developing and implementing career ladder programs to
upgrade the qualifications and skills of non-certified
educational personnel working in, or preparing to work in,
language instruction educational programs to enable such
personnel to meet high professional standards, including
standards for certification and licensure as teachers;
``(8) developing and implementing activities to help
recruit and train secondary school students as teachers who
serve limited English proficient children;
``(9) providing fellowships and assistance for costs
related to enrollment in a course of study at an institution
of higher education that addresses the instruction of limited
English proficient children in such areas as teacher
training, program administration, research, evaluation, and
curriculum development, and for the support of dissertation
research related to such study, except that any person
receiving such a fellowship or assistance shall agree to--
``(A) work in an activity related to improving the
educational services for limited English proficient children
authorized under this subpart, including work as a teacher
that serves limited English proficient children, for a period
of time equivalent to the period of time during which such
person receives assistance under this paragraph; or
``(B) repay such assistance; and
``(10) carrying out such other activities as are consistent
with the purpose of this section.
``(d) Application.--
``(1) In general.--Each eligible entity desiring a grant
under this section shall submit an application to the
Secretary at such time, in such form, and containing such
information as the Secretary may require.
``(2) Contents.--Each application shall--
``(A) describe the programs and activities proposed to be
developed, implemented, and administered under the award;
``(B) describe how the applicant has consulted with, and
assessed the needs of, public and private schools serving
limited English proficient children to determine such
schools' need for, and the design of, the program for which
funds are sought; and
``(C) describe how the programs and activities to be
carried out under the award will be used to ensure that
limited English proficient children meet challenging State
academic content and student academic achievement standards
and attain English proficiency.
``(3) Special rule.--An eligible entity that proposes to
conduct a master's-level or doctoral-level program with funds
received under this section shall include in the entity's
application an assurance that such program will include a
training practicum in a local elementary school or secondary
school program serving limited English proficient children.
``(4) Outreach and technical assistance.--The Secretary
shall provide for outreach and technical assistance to
institutions of higher education eligible for assistance
under title III of the Higher Education Act of 1965, and
institutions of higher education that are operated or funded
by the Bureau of Indian Affairs, to facilitate the
participation of such institutions in programs and activities
under this section.
``(5) Distribution rule.--In making awards under this
section, the Secretary shall ensure adequate representation
of Hispanic-serving institutions that demonstrate competence
and experience in carrying out the programs and activities
authorized under this section and that are otherwise
qualified.
``(e) Priorities in Awarding Grants.--
``(1) Grants to agencies.--In awarding grants to State
educational agencies and local educational agencies under
this section, the Secretary shall give priority to agencies
that propose programs and activities designed to implement
professional development programs for teachers and
educational personnel who are providing or preparing to
provide educational services for limited English proficient
children, including services provided through language
instruction educational programs, that ensure such children
attain English proficiency and meet challenging State
academic content and student academic achievement standards.
``(2) Grants to institutions of higher education.--In
awarding grants to institutions of higher education under
this section, the Secretary shall give priority to
institutions that propose programs and activities to recruit
and upgrade the qualifications and skills of certified and
non-certified educational personnel by offering degree
programs that prepare beginning teachers to serve limited
English proficient children.
``(f) Program Evaluations.--Each recipient of an award
under this section for a program or activity shall annually
conduct an independent evaluation of the program or activity
and submit to the Secretary a report containing such
evaluation. Such report shall include information on--
``(1) the program or activity conducted by the recipient to
provide high-quality professional development to participants
in such program or activity;
``(2) the number of participants served through the program
or activity, the number of participants who completed the
requirements of the program or activity, and the number of
participants who took positions in an instruction setting
with limited English proficient children;
``(3) the effectiveness of the program or activity in
imparting the professional skills necessary for participants
to achieve the objectives of the program or activity; and
``(4) the teaching effectiveness of graduates of the
program or activity or other participants who have completed
the program or activity.

``Subpart 4--Emergency Immigrant Education Program

``SEC. 3241. PURPOSE.

``The purpose of this subpart is to assist eligible local
educational agencies that experience unexpectedly large
increases in their student population due to immigration--
``(1) to provide high-quality instruction to immigrant
children and youth; and
``(2) to help such children and youth--
``(A) with their transition into American society; and
``(B) meet the same challenging State academic content and
student academic achievement standards as all children are
expected to meet.

``SEC. 3242. STATE ADMINISTRATIVE COSTS.

``For any fiscal year, a State educational agency may
reserve not more than 1.5 percent (2 percent if the State
educational agency distributes funds received under this
subpart to local educational agencies on a competitive basis)
of the amount allotted to such agency under section 3244 to
pay the costs of performing such agency's administrative
functions under this subpart.

``SEC. 3243. WITHHOLDING.

``Whenever the Secretary, after providing reasonable notice
and opportunity for a hearing to any State educational
agency, finds that there is a failure to comply with a
requirement of any provision of this subpart, the Secretary
shall notify that agency that further payments will not be
made to the agency under this subpart or, in the discretion
of the Secretary, that the State educational agency shall not
make further payments under this subpart to specified
local educational agencies whose actions cause or are
involved in such failure until the Secretary is satisfied
that there is no longer any such failure to comply. Until
the Secretary is so satisfied, no further payments shall
be made to the State educational agency under this
subpart, or payments by the State educational agency under
this subpart shall be limited to local educational
agencies whose actions did not cause or were not involved
in the failure, as the case may be.

``SEC. 3244. STATE ALLOTMENTS.

``(a) Payments.--The Secretary shall, in accordance with
the provisions of this section, make payments to State
educational agencies for each of the fiscal years 2002
through 2008 for the purpose set forth in section 3241.
``(b) Allotments.--
``(1) In general.--Except as provided in subsections (c)
and (d), of the amount appropriated for each fiscal year for
this subpart, each State participating in the program
assisted under this subpart shall receive an allotment equal
to the proportion of the number of immigrant children

[[Page H9851]]

and youth who are enrolled in public elementary schools or
secondary schools under the jurisdiction of each local
educational agency described in paragraph (2), and in
nonpublic elementary schools or secondary schools within the
district served by each such local educational agency within
such State, relative to the total number of immigrant
children and youth so enrolled in all the States
participating in the program assisted under this subpart.
``(2) Eligible local educational agencies.--A local
educational agency referred to in paragraph (1) is a local
educational agency for which the sum of the number of
immigrant children and youth who are enrolled in public
elementary schools or secondary schools under the
jurisdiction of such agency, and in nonpublic elementary
schools or secondary schools within the district served by
such agency, during the fiscal year for which the payments
are to be made under this subpart, is equal to at least--
``(A) 500; or
``(B) 3 percent of the total number of children enrolled in
such public or nonpublic schools during such fiscal year,
whichever is less.
``(c) Determinations of Number of Children and Youth.--
``(1) In general.--Determinations by the Secretary under
this section for any period with respect to the number of
immigrant children and youth shall be made on the basis of
data or estimates provided to the Secretary by each State
educational agency in accordance with criteria established by
the Secretary, unless the Secretary determines, after notice
and opportunity for a hearing to the affected State
educational agency, that such data or estimates are clearly
erroneous.
``(2) Special rule.--No such determination with respect to
the number of immigrant children and youth shall operate
because of an underestimate or overestimate to deprive any
State educational agency of the allotment under this section
that such State would otherwise have received had such
determination been made on the basis of accurate data.
``(d) Reallotment.--
``(1) In general.--Whenever the Secretary determines that
any amount of a payment made to a State under this subpart
for a fiscal year will not be used by such State for carrying
out the purpose for which the payment was made, the Secretary
shall make such amount available for carrying out such
purpose to one or more other States to the extent the
Secretary determines that such other States will be able to
use such additional amount for carrying out such purpose.
``(2) Fiscal year.--Any amount made available to a State
from any appropriation for a fiscal year in accordance with
paragraph (1) shall, for purposes of this subpart, be
regarded as part of such State's payment (as determined under
subsection (b)) for such year, but shall remain available
until the end of the succeeding fiscal year.
``(e) Reservation of Funds.--
``(1) In general.--Notwithstanding any other provision of
this subpart, if the amount appropriated to carry out this
subpart exceeds $50,000,000 for a fiscal year, a State
educational agency may reserve not more than 20 percent of
such agency's payment under this subpart for such year to
award grants, on a competitive basis, to local educational
agencies within the State as follows:
``(A) Agencies with immigrant children and youth.--At least
\1/2\ of the funds reserved under this paragraph shall be
made available to eligible local educational agencies (as
described in subsection (b)(2)) within the State with the
highest numbers and percentages of immigrant children and
youth.
``(B) Agencies with a sudden influx of children and
youth.--Funds reserved under this paragraph and not made
available under subparagraph (A) may be distributed to local
educational agencies within the State that are experiencing a
sudden influx of immigrant children and youth and that are
otherwise not eligible for assistance under this subpart.
``(2) Use of grant funds.--Each local educational agency
receiving a grant under paragraph (1) shall use such grant
funds to carry out the activities described in section 3247.
``(3) Information.--Local educational agencies receiving
funds under paragraph (1) with the highest number of
immigrant children and youth may make information available
on serving immigrant children and youth to local educational
agencies in the State with sparse numbers of such children
and youth.

``SEC. 3245. STATE APPLICATIONS.

``(a) Submission.--No State educational agency shall
receive any payment under this subpart for any fiscal year
unless such agency submits an application to the Secretary at
such time, in such manner, and containing or accompanied by
such information, as the Secretary may reasonably require.
Each such application shall--
``(1) provide that the educational programs, services, and
activities for which payments under this subpart are made
will be administered by or under the supervision of the
agency;
``(2) provide assurances that payments under this subpart
will be used for purposes set forth in sections 3241 and
3247, including a description of how local educational
agencies receiving funds under this subpart will use such
funds to meet such purposes and will coordinate with entities
carrying out other programs and activities assisted under
this Act, and other Acts as appropriate;
``(3) provide an assurance that local educational agencies
receiving funds under this subpart will coordinate the use of
such funds with entities carrying out programs and activities
assisted under part A of title I;
``(4) provide assurances that such payments, with the
exception of payments reserved under section 3244(e), will be
distributed among local educational agencies within that
State on the basis of the number of immigrant children and
youth counted with respect to each such local educational
agency under section 3244(b)(1);
``(5) provide assurances that the State educational agency
will not finally disapprove in whole or in part any
application for funds received under this subpart without
first affording the local educational agency submitting an
application for such funds reasonable notice and opportunity
for a hearing;
``(6) provide for making such reports as the Secretary may
reasonably require to perform the Secretary's functions under
this subpart;
``(7) provide assurances--
``(A) that to the extent consistent with the number of
immigrant children and youth enrolled in the nonpublic
elementary schools or secondary schools within the district
served by a local educational agency, such agency, after
consultation with appropriate officials of such schools,
shall provide for the benefit of such children and youth
secular, neutral, and nonideological services, materials, and
equipment necessary for the education of such children and
youth;
``(B) that the control of funds provided under this subpart
for any materials or equipment, or property repaired,
remodeled, or constructed with those funds shall be in a
public agency for the uses and purpose provided in this
subpart, and a public agency shall administer such funds and
property; and
``(C) that the provision of services pursuant to this
paragraph shall be provided by employees of a public agency
or through contract by such public agency with a person,
association, agency, or corporation who or which, in the
provision of such services, is independent of such nonpublic
elementary school or secondary school and of any religious
organization, and such employment or contract shall be under
the control and supervision of such public agency, and the
funds provided under this paragraph shall not be commingled
with State or local funds;
``(8) provide that funds reserved under section 3244(e) be
awarded on a competitive basis based on merit and need in
accordance with such section; and
``(9) provide an assurance that the State educational
agency and local educational agencies in the State receiving
funds under this subpart will comply with the requirements
of section 1120(b).
``(b) Application Review.--
``(1) In general.--The Secretary shall review all
applications submitted pursuant to this section by State
educational agencies.
``(2) Approval.--The Secretary shall approve any
application submitted by a State educational agency that
meets the requirements of this section.
``(3) Disapproval.--The Secretary shall disapprove any
application submitted by a State educational agency that does
not meet the requirements of this section, but shall not
finally disapprove an application except after providing
reasonable notice, technical assistance, and an opportunity
for a hearing to the State educational agency.

``SEC. 3246. ADMINISTRATIVE PROVISIONS.

``(a) Notification of Amount.--The Secretary, not later
than June 1 of each year, shall notify each State educational
agency that has an application approved under section 3245 of
the amount of such agency's allotment under section 3244 for
the succeeding year.
``(b) Services to Immigrant Children and Youth Enrolled in
Nonpublic Schools.--If by reason of any provision of law a
local educational agency is prohibited from providing
educational services for immigrant children and youth
enrolled in nonpublic elementary schools and secondary
schools, as required by section 3245(a)(7), or if the
Secretary determines that a local educational agency has
substantially failed or is unwilling to provide for the
participation on an equitable basis of such children and
youth enrolled in such schools, the Secretary may waive such
requirement and shall arrange for the provision of services,
subject to the requirements of this subpart, to such children
and youth. Such waivers shall be subject to consultation,
withholding, notice, and judicial review requirements in
accordance with the provisions of title I.

``SEC. 3247. USES OF FUNDS.

``(a) Use of Funds.--Funds awarded under this subpart shall
be used to pay for enhanced instructional opportunities for
immigrant children and youth, which may include--
``(1) family literacy, parent outreach, and training
activities designed to assist parents to become active
participants in the education of their children;
``(2) support of personnel, including teacher aides who
have been specifically trained, or are being trained, to
provide services to immigrant children and youth;
``(3) tutorials, mentoring, and academic or career
counseling for immigrant children and youth;
``(4) identification and acquisition of curricular
materials, educational software, and technologies;
``(5) the provision of basic instruction services that are
directly attributable to the presence in the school district
of immigrant children and youth, including payment of costs
of providing additional classroom supplies, costs of
transportation, or such other costs as are directly
attributable to such additional basic instruction services;
and
``(6) such other activities, related to the purpose of this
subpart, as the Secretary may authorize.
``(b) Consortia.--A local educational agency that receives
a grant under this subpart may collaborate or form a
consortium with one or

[[Page H9852]]

more local educational agencies, institutions of higher
education, and nonprofit organizations to carry out a program
described in an application approved under this subpart.
``(c) Subgrants.--A local educational agency that receives
a grant under this subpart may, with the approval of the
Secretary, make a subgrant to, or enter into a contract with,
an institution of higher education, a nonprofit organization,
or a consortium of such institutions or organizations to
carry out a program described in an application approved
under this subpart, including a program to serve out-of-
school youth.
``(d) Construction.--Nothing in this subpart shall be
construed to prohibit a local educational agency from serving
immigrant children and youth simultaneously with children and
youth with similar educational needs, in the same educational
settings where appropriate.

``SEC. 3248. REPORTS.

``(a) Biennial Report.--Each State educational agency
receiving funds under this subpart shall submit, once every 2
years, a report to the Secretary concerning the expenditure
of funds by local educational agencies under this subpart.
Each local educational agency receiving funds under this
subpart shall submit to the State educational agency such
information as may be necessary for such report.
``(b) Report to Congress.--The Secretary shall submit, once
every 2 years, a report to the appropriate committees of
Congress concerning programs assisted under this subpart.

``Subpart 5--Administration

``SEC. 3251. RELEASE TIME.

``The Secretary shall allow entities carrying out
professional development programs funded under this part to
use funds provided under this part for professional
release time to enable individuals to participate in
programs assisted under this part.

``SEC. 3252. NOTIFICATION.

``A State educational agency, and when applicable, the
State board for postsecondary education, shall be notified
within 3 working days after the date an award under this part
is made to an eligible entity within the State.

``SEC. 3253. COORDINATION AND REPORTING REQUIREMENTS.

``(a) Coordination With Related Programs.--In order to
maximize Federal efforts aimed at serving the educational
needs of children and youth of limited English proficiency,
the Secretary shall coordinate and ensure close cooperation
with other programs serving language-minority and limited
English proficient children that are administered by the
Department and other agencies. The Secretary shall consult
with the Secretary of Labor, the Secretary of Health and
Human Services, the Secretary of Agriculture, the Attorney
General, and the heads of other relevant agencies to identify
and eliminate barriers to appropriate coordination of
programs that affect language-minority and limited English
proficient children and their families. The Secretary shall
provide for continuing consultation and collaboration,
between the Office of English Language Acquisition, Language
Enhancement, and Academic Achievement for Limited English
Proficient Students and relevant programs operated by the
Department, including programs under this part and other
programs under this Act, in planning, contracts, providing
joint technical assistance, providing joint field monitoring
activities and in other relevant activities to ensure
effective program coordination to provide high-quality
educational opportunities to all language-minority and
limited English proficient children.
``(b) Data.--The Secretary shall, to the extent feasible,
ensure that all data collected by the Department shall
include the collection and reporting of data on limited
English proficient children.
``(c) Publication of Proposals.--The Secretary shall
publish and disseminate all requests for proposals for
programs funded under this part.
``(d) Report.--The Director shall prepare and, not later
than February 1 of every other year, shall submit to the
Secretary, the Committee on Education and the Workforce of
the House of Representatives, and the Committee on Health,
Education, Labor, and Pensions of the Senate a report--
``(1) on programs and activities carried out to serve
limited English proficient children under this part, and the
effectiveness of such programs and activities in improving
the academic achievement and English proficiency of children
who are limited English proficient;
``(2) containing a critical synthesis of data reported by
States under section 3224, when applicable;
``(3) containing an estimate of the number of certified or
licensed teachers working in language instruction educational
programs and educating limited English proficient children,
and an estimate of the number of such teachers that will be
needed for the succeeding 5 fiscal years;
``(4) containing the major findings of scientifically based
research carried out under this part; and
``(5) containing other information gathered from the
reports submitted to the Secretary under this title when
applicable.

``PART C--GENERAL PROVISIONS

``SEC. 3301. DEFINITIONS.

``Except as otherwise provided, in this title:
``(1) Child.--The term `child' means any individual aged 3
through 21.
``(2) Community-based organization.--The term `community-
based organization' means a private nonprofit organization of
demonstrated effectiveness, Indian tribe, or tribally
sanctioned educational authority, that is representative of a
community or significant segments of a community and that
provides educational or related services to individuals in
the community. Such term includes a Native Hawaiian or Native
American Pacific Islander native language educational
organization.
``(3) Community college.--The term `community college'
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, including institutions
receiving assistance under the Tribally Controlled College or
University Assistance Act of 1978.
``(4) Director.--The term `Director' means the Director of
the Office of English Language Acquisition, Language
Enhancement, and Academic Achievement for Limited English
Proficient Students established under section 209 of the
Department of Education Organization Act.
``(5) Family education program.--The term `family education
program' means a language instruction educational program or
special alternative instruction program that--
``(A) is designed--
``(i) to help limited English proficient adults and out-of-
school youths achieve English proficiency; and
``(ii) to provide instruction on how parents and family
members can facilitate the educational achievement of their
children;
``(B) when feasible, uses instructional programs based on
models developed under the Even Start Family Literacy
Programs, which promote adult literacy and train parents to
support the educational growth of their children, the Parents
as Teachers Program, and the Home Instruction Program for
Preschool Youngsters; and
``(C) gives preference to participation by parents and
immediate family members of children attending school.
``(6) Immigrant children and youth.--The term `immigrant
children and youth' means individuals who--
``(A) are aged 3 through 21;
``(B) were not born in any State; and
``(C) have not been attending one or more schools in any
one or more States for more than 3 full academic years.
``(7) Indian tribe.--The term `Indian tribe' means any
Indian tribe, band, nation, or other organized group or
community, including any Native village or Regional
Corporation or Village Corporation as defined in or
established pursuant to the Alaska Native Claims Settlement
Act, that is recognized as eligible for the special programs
and services provided by the United States to Indians because
of their status as Indians.
``(8) Language instruction educational program.--The term
`language instruction educational program' means an
instruction course--
``(A) in which a limited English proficient child is placed
for the purpose of developing and attaining English
proficiency, while meeting challenging State academic content
and student academic achievement standards, as required by
section 1111(b)(1); and
``(B) that may make instructional use of both English and a
child's native language to enable the child to develop and
attain English proficiency, and may include the participation
of English proficient children if such course is designed to
enable all participating children to become proficient in
English and a second language.
``(9) Native american and native american language.--The
terms `Native American' and `Native American language' shall
have the meanings given such terms in section 103 of the
Native American Languages Act.
``(10) Native hawaiian or native american pacific islander
native language educational organization.--The term `Native
Hawaiian or Native American Pacific Islander native language
educational organization' means a nonprofit organization
with--
``(A) a majority of its governing board and employees
consisting of fluent speakers of the traditional Native
American languages used in the organization's educational
programs; and
``(B) not less than 5 years successful experience in
providing educational services in traditional Native American
languages.
``(11) Native language.--The term `native language', when
used with reference to an individual of limited English
proficiency, means--
``(A) the language normally used by such individual; or
``(B) in the case of a child or youth, the language
normally used by the parents of the child or youth.
``(12) Paraprofessional.--The term `paraprofessional' means
an individual who is employed in a preschool, elementary
school, or secondary school under the supervision of a
certified or licensed teacher, including individuals employed
in language instruction educational programs, special
education, and migrant education.
``(13) Specially qualified agency.--The term `specially
qualified agency' means an eligible entity, as defined in
section 3141, in a State whose State educational agency--
``(A) does not participate in a program under subpart 1 of
part A for a fiscal year; or
``(B) submits a plan (or any amendment to a plan) that the
Secretary, after reasonable notice and opportunity for a
hearing, determines does not satisfy the requirements of such
subpart.
``(14) State.--The term `State' means each of the 50
States, the District of Columbia, and the Commonwealth of
Puerto Rico.
``(15) Tribally sanctioned educational authority.--The term
`tribally sanctioned educational authority' means--
``(A) any department or division of education operating
within the administrative structure of the duly constituted
governing body of an Indian tribe; and
``(B) any nonprofit institution or organization that is--

[[Page H9853]]

``(i) chartered by the governing body of an Indian tribe to
operate a school described in section 3112(a) or otherwise to
oversee the delivery of educational services to members of
the tribe; and
``(ii) approved by the Secretary for the purpose of
carrying out programs under subpart 1 of part A for
individuals served by a school described in section 3112(a).

``SEC. 3302. PARENTAL NOTIFICATION.

``(a) In General.--Each eligible entity using funds
provided under this title to provide a language instruction
educational program shall, not later than 30 days after the
beginning of the school year, inform a parent or the parents
of a limited English proficient child identified for
participation in, or participating in, such program of--
``(1) the reasons for the identification of their child as
limited English proficient and in need of placement in a
language instruction educational program;
``(2) the child's level of English proficiency, how such
level was assessed, and the status of the child's academic
achievement;
``(3) the method of instruction used in the program in
which their child is, or will be, participating, and the
methods of instruction used in other available programs,
including how such programs differ in content, instruction
goals, and use of English and a native language in
instruction;
``(4) how the program in which their child is, or will be
participating will meet the educational strengths and needs
of the child;
``(5) how such program will specifically help their child
learn English, and meet age appropriate academic achievement
standards for grade promotion and graduation;
``(6) the specific exit requirements for such program, the
expected rate of transition from such program into classrooms
that are not tailored for limited English proficient
children, and the expected rate of graduation from secondary
school for such program if funds under this title are used
for children in secondary schools;
``(7) in the case of a child with a disability, how such
program meets the objectives of the individualized education
program of the child; and
``(8) information pertaining to parental rights that
includes written guidance--
``(A) detailing--
``(i) the right that parents have to have their child
immediately removed from such program upon their request; and
``(ii) the options that parents have to decline to enroll
their child in such program or to choose another program or
method of instruction, if available; and
``(B) assisting parents in selecting among various programs
and methods of instruction, if more than one program or
method is offered by the eligible entity.
``(b) Separate Notification.--In addition to providing the
information required to be provided under subsection (a),
each eligible entity that is using funds provided under this
title to provide a language instruction educational program,
and that has failed to make progress on the annual measurable
achievement objectives described in section 3122 for any
fiscal year for which part A is in effect, shall separately
inform a parent or the parents of a child identified for
participation in such program, or participating in such
program, of such failure not later than 30 days after such
failure occurs.
``(c) Receipt of Information.--The information required to
be provided under subsections (a) and (b) to a parent shall
be provided in an understandable and uniform format and, to
the extent practicable, in a language that the parent can
understand.
``(d) Special Rule Applicable During School Year.--For a
child who has not been identified for participation in a
language instruction educational program prior to the
beginning of the school year, the eligible entity shall carry
out subsections (a) through (c) with respect to the parents
of the child within 2 weeks of the child being placed in such
a program.
``(e) Parental Participation.--
``(1) In General.--Each eligible entity using funds
provided under this title to provide a language instruction
educational program shall implement an effective means of
outreach to parents of limited English proficient children to
inform such parents of how they can--
``(A) be involved in the education of their children; and
``(B) be active participants in assisting their children--
``(i) to learn English;
``(ii) to achieve at high levels in core academic subjects;
and
``(iii) to meet the same challenging State academic content
and student academic achievement standards as all children
are expected to meet.
``(2) Receipt of recommendations.--The outreach described
in paragraph (1) shall include holding, and sending notice of
opportunities for, regular meetings for the purpose of
formulating and responding to recommendations from parents
described in such paragraph.
``(f) Basis for Admission or Exclusion.--A child shall not
be admitted to, or excluded from, any federally assisted
education program on the basis of a surname or language-
minority status.

``SEC. 3303. NATIONAL CLEARINGHOUSE.

``The Secretary shall establish and support the operation
of a National Clearinghouse for English Language Acquisition
and Language Instruction Educational Programs, which shall
collect, analyze, synthesize, and disseminate information
about language instruction educational programs for limited
English proficient children, and related programs. The
National Clearinghouse shall--
``(1) be administered as an adjunct clearinghouse of the
Educational Resources Information Center Clearinghouses
system supported by the Office of Educational Research and
Improvement;
``(2) coordinate activities with Federal data and
information clearinghouses and entities operating Federal
dissemination networks and systems;
``(3) develop a system for improving the operation and
effectiveness of federally funded language instruction
educational programs;
``(4) collect and disseminate information on--
``(A) educational research and processes related to the
education of limited English proficient children; and
``(B) accountability systems that monitor the academic
progress of limited English proficient children in language
instruction educational programs, including information on
academic content and English proficiency assessments for
language instruction educational programs; and
``(5) publish, on an annual basis, a list of grant
recipients under this title.

``SEC. 3304. REGULATIONS.

``In developing regulations under this title, the Secretary
shall consult with State educational agencies and local
educational agencies, organizations representing limited
English proficient individuals, and organizations
representing teachers and other personnel involved in the
education of limited English proficient children.''.
TITLE IV--21ST CENTURY SCHOOLS

SEC. 401. 21ST CENTURY SCHOOLS.

Title IV (20 U.S.C. 7101 et seq.) is amended to read as
follows:
``TITLE IV--21ST CENTURY SCHOOLS

``PART A--SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES

``SEC. 4001. SHORT TITLE.

``This part may be cited as the `Safe and Drug-Free Schools
and Communities Act'.

``SEC. 4002. PURPOSE.

``The purpose of this part is to support programs that
prevent violence in and around schools; that prevent the
illegal use of alcohol, tobacco, and drugs; that involve
parents and communities; and that are coordinated with
related Federal, State, school, and community efforts and
resources to foster a safe and drug-free learning environment
that supports student academic achievement, through the
provision of Federal assistance to--
``(1) States for grants to local educational agencies and
consortia of such agencies to establish, operate, and improve
local programs of school drug and violence prevention and
early intervention;
``(2) States for grants to, and contracts with, community-
based organizations and public and private entities for
programs of drug and violence prevention and early
intervention, including community-wide drug and violence
prevention planning and organizing activities;
``(3) States for development, training, technical
assistance, and coordination activities; and
``(4) public and private entities to provide technical
assistance; conduct training, demonstrations, and evaluation;
and to provide supplementary services and community-wide drug
and violence prevention planning and organizing activities
for the prevention of drug use and violence among students
and youth.

``SEC. 4003. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated--
``(1) $650,000,000 for fiscal year 2002, and such sums as
may be necessary for each of the 5 succeeding fiscal years,
for State grants under subpart 1; and
``(2) such sums for fiscal year 2002, and for each of the 5
succeeding fiscal years, for national programs under subpart
2.

``Subpart 1--State Grants

``SEC. 4111. RESERVATIONS AND ALLOTMENTS.

``(a) Reservations.--
``(1) In general.--From the amount made available under
section 4003(1) to carry out this subpart for each fiscal
year, the Secretary--
``(A) shall reserve 1 percent or $4,750,000 (whichever is
greater) of such amount for grants to Guam, American Samoa,
the United States Virgin Islands, and the Commonwealth of the
Northern Mariana Islands, to be allotted in accordance with
the Secretary's determination of their respective needs and
to carry out programs described in this subpart;
``(B) shall reserve 1 percent or $4,750,000 (whichever is
greater) of such amount for the Secretary of the Interior to
carry out programs described in this subpart for Indian
youth; and
``(C) shall reserve 0.2 percent of such amount for Native
Hawaiians to be used under section 4117 to carry out programs
described in this subpart.
``(2) Other reservations.--From the amount made available
under section 4003(2) to carry out subpart 2 for each fiscal
year, the Secretary--
``(A) may reserve not more than $2,000,000 for the national
impact evaluation required by section 4122(a);
``(B) notwithstanding section 3 of the No Child Left Behind
Act of 2001, shall reserve an amount necessary to make
continuation grants to grantees under the Safe Schools/
Healthy Students initiative (under the same terms and
conditions as provided for in the grants involved).
``(b) State Allotments.--
``(1) In general.--Except as provided in paragraph (2), the
Secretary shall, for each fiscal year, allot among the
States--
``(A) \1/2\ of the remainder not reserved under subsection
(a) according to the ratio between the school-aged population
of each State and the school-aged population of all the
States; and
``(B) \1/2\ of such remainder according to the ratio
between the amount each State received

[[Page H9854]]

under section 1124A for the preceding year and the sum of
such amounts received by all the States.
``(2) Minimum.--For any fiscal year, no State shall be
allotted under this subsection an amount that is less than
the greater of--
``(A) \1/2\ of 1 percent of the total amount allotted to
all the States under this subsection; or
``(B) the amount such State received for fiscal year 2001
under section 4111 as such section was in effect the day
preceding the date of enactment of the No Child Left Behind
Act of 2001.
``(3) Reallotment.--
``(A) Reallotment for failure to apply.--If any State does
not apply for an allotment under this subpart for a fiscal
year, the Secretary shall reallot the amount of the State's
allotment to the remaining States in accordance with this
section.
``(B) Reallotment of unused funds.--The Secretary may
reallot any amount of any allotment to a State if the
Secretary determines that the State will be unable to use
such amount within 2 years of such allotment. Such
reallotments shall be made on the same basis as allotments
are made under paragraph (1).
``(4) Definitions.--In this section the term `State' means
each of the 50 States, the District of Columbia, and the
Commonwealth of Puerto Rico.
``(c) Limitation.--Amounts appropriated under section
4003(2) for a fiscal year may not be increased above the
amounts appropriated under such section for the previous
fiscal year unless the amounts appropriated under section
4003(1) for the fiscal year involved are at least 10 percent
greater that the amounts appropriated under such section
4003(1) for the previous fiscal year.

``SEC. 4112. RESERVATION OF STATE FUNDS FOR SAFE AND DRUG-
FREE SCHOOLS.

``(a) State Reservation for the Chief Executive Officer of
a State.--
``(1) In general.--The chief executive officer of a State
may reserve not more than 20 percent of the total amount
allocated to a State under section 4111(b) for each fiscal
year to award competitive grants and contracts to local
educational agencies, community-based organizations
(including community anti-drug coalitions) other public
entities and private organizations, and consortia thereof.
Such grants and contracts shall be used to carry out the
comprehensive State plan described in section 4113(a) through
programs or activities that complement and support activities
of local educational agencies described in section 4115(b).
Such officer shall award grants based on--
``(A) the quality of the program or activity proposed; and
``(B) how the program or activity meets the principles of
effectiveness described in section 4115(a).
``(2) Priority.--In making such grants and contracts under
this section, a chief executive officer shall give priority
to programs and activities that prevent illegal drug use and
violence for--
``(A) children and youth who are not normally served by
State educational agencies or local educational agencies; or
``(B) populations that need special services or additional
resources (such as youth in juvenile detention facilities,
runaway or homeless children and youth, pregnant and
parenting teenagers, and school dropouts).
``(3) Special consideration.--In awarding funds under
paragraph (1), a chief executive officer shall give special
consideration to grantees that pursue a comprehensive
approach to drug and violence prevention that includes
providing and incorporating mental health services related to
drug and violence prevention in their program.
``(4) Peer review.--Grants or contracts awarded under this
section shall be subject to a peer review process.
``(5) Use of funds.--Grants and contracts under this
section shall be used to implement drug and violence
prevention activities, including--
``(A) activities that complement and support local
educational agency activities under section 4115, including
developing and implementing activities to prevent and reduce
violence associated with prejudice and intolerance;
``(B) dissemination of information about drug and violence
prevention; and
``(C) development and implementation of community-wide drug
and violence prevention planning and organizing.
``(6) Administrative costs.--The chief executive officer of
a State may use not more than 3 percent of the amount
described in paragraph (1) for the administrative costs
incurred in carrying out the duties of such officer under
this section.
``(b) In State Distribution.--
``(1) In general.--A State educational agency shall
distribute not less than 93 percent of the amount made
available to the State under section 4111(b), less the amount
reserved under subsection (a) of this section, to its local
educational agencies.
``(2) State administration costs.--
``(A) In general.--A State educational agency may use not
more than 3 percent of the amount made available to the State
under section 4111(b) for each fiscal year less the amount
reserved under subsection (a) of this section, for State
educational agency administrative costs, including the
implementation of the uniform management information and
reporting system as provided for under subsection (c)(3).
``(B) Additional amounts for the uniform management
information system.--In the case of fiscal year 2002, a State
educational agency may, in addition to amounts provided for
in subparagraph (A), use 1 percent of the amount made
available to the State educational agency under section
4111(b) for each fiscal year less the amount reserved under
subsection (a) of this section, for implementation of the
uniform management information and reporting system as
provided for under subsection (c)(3).
``(c) State Activities.--
``(1) In general.--A State educational agency may use not
more than 5 percent of the amount made available to the State
under section 4111(b) for each fiscal year less the amount
reserved under subsection (a) of this section, for activities
described in this subsection.
``(2) Activities.--A State educational agency shall use the
amounts described in paragraph (1), either directly, or
through grants and contracts, to plan, develop, and implement
capacity building, technical assistance and training,
evaluation, program improvement services, and coordination
activities for local educational agencies, community-based
organizations, and other public and private entities. Such
uses--
``(A) shall meet the principles of effectiveness described
in section 4115(a);
``(B) shall complement and support local uses of funds
under section 4115(b);
``(C) shall be in accordance with the purposes of this
part; and
``(D) may include, among others activities--
``(i) identification, development, evaluation, and
dissemination of drug and violence prevention strategies,
programs, activities, and other information;
``(ii) training, technical assistance, and demonstration
projects to address violence that is associated with
prejudice and intolerance; and
``(iii) financial assistance to enhance drug and violence
prevention resources available in areas that serve large
numbers of low-income children, are sparsely populated, or
have other special needs.
``(3) Uniform management information and reporting
system.--
``(A) Information and statistics.--A State shall establish
a uniform management information and reporting system.
``(B) Uses of funds.--A State may use funds described in
subparagraphs (A) and (B) of subsection (b)(2), either
directly or through grants and contracts, to implement the
uniform management information and reporting system described
in subparagraph (A), for the collection of information on--
``(i) truancy rates;
``(ii) the frequency, seriousness, and incidence of
violence and drug-related offenses resulting in suspensions
and expulsions in elementary schools and secondary schools in
the State;
``(iii) the types of curricula, programs, and services
provided by the chief executive officer, the State
educational agency, local educational agencies, and other
recipients of funds under this subpart; and
``(iv) the incidence and prevalence, age of onset,
perception of health risk, and perception of social
disapproval of drug use and violence by youth in schools and
communities.
``(C) Compilation of statistics.--In compiling the
statistics required for the uniform management information
and reporting system, the offenses described in subparagraph
(B)(ii) shall be defined pursuant to the State's criminal
code, but shall not identify victims of crimes or persons
accused of crimes. The collected data shall include incident
reports by school officials, anonymous student surveys, and
anonymous teacher surveys.
``(D) Reporting.--The information described under
subparagraph (B) shall be reported to the public and the data
referenced in clauses (i) and (ii) of such subparagraph shall
be reported to the State on a school-by-school basis.
``(E) Limitation.--Nothing in this subsection shall be
construed to authorize the Secretary to require particular
policies, procedures, or practices with respect to crimes
committed on school property or school security.

``SEC. 4113. STATE APPLICATION.

``(a) In General.--In order to receive an allotment under
section 4111(b) for any fiscal year, a State shall submit to
the Secretary, at such time as the Secretary may require, an
application that--
``(1) contains a comprehensive plan for the use of funds by
the State educational agency and the chief executive officer
of the State to provide safe, orderly, and drug-free schools
and communities through programs and activities that
complement and support activities of local educational
agencies under section 4115(b), that comply with the
principles of effectiveness under section 4115(a), and that
otherwise are in accordance with the purpose of this part;
``(2) describes how activities funded under this subpart
will foster a safe and drug-free learning environment that
supports academic achievement;
``(3) provides an assurance that the application was
developed in consultation and coordination with appropriate
State officials and others, including the chief executive
officer, the chief State school officer, the head of the
State alcohol and drug abuse agency, the heads of the State
health and mental health agencies, the head of the State
criminal justice planning agency, the head of the State child
welfare agency, the head of the State board of education, or
their designees, and representatives of parents, students,
and community-based organizations;
``(4) describes how the State educational agency will
coordinate such agency's activities under this subpart with
the chief executive officer's drug and violence prevention
programs under this subpart and with the prevention efforts
of other State agencies and other programs, as appropriate,
in accordance with the provisions in section 9306;
``(5) provides an assurance that funds reserved under
section 4112(a) will not duplicate the efforts of the State
educational agency and local educational agencies with regard
to the provision of school-based drug and violence prevention
activities and that those funds will be used to serve
populations not normally served

[[Page H9855]]

by the State educational agencies and local educational
agencies and populations that need special services, such as
school dropouts, suspended and expelled students, youth in
detention centers, runaway or homeless children and youth,
and pregnant and parenting youth;
``(6) provides an assurance that the State will cooperate
with, and assist, the Secretary in conducting data collection
as required by section 4122;
``(7) provides an assurance that the local educational
agencies in the State will comply with the provisions of
section 9501 pertaining to the participation of private
school children and teachers in the programs and activities
under this subpart;
``(8) provides an assurance that funds under this subpart
will be used to increase the level of State, local, and other
non-Federal funds that would, in the absence of funds under
this subpart, be made available for programs and activities
authorized under this subpart, and in no case supplant such
State, local, and other non-Federal funds;
``(9) contains the results of a needs assessment conducted
by the State for drug and violence prevention programs, which
shall be based on ongoing State evaluation activities,
including data on--
``(A) the incidence and prevalence of illegal drug use and
violence among youth in schools and communities, including
the age of onset, the perception of health risks, and the
perception of social disapproval among such youth;
``(B) the prevalence of risk factors, including high or
increasing rates of reported cases of child abuse or domestic
violence;
``(C) the prevalence of protective factors, buffers, or
assets; and
``(D) other variables in the school and community
identified through scientifically based research;
``(10) provides a statement of the State's performance
measures for drug and violence prevention programs and
activities to be funded under this subpart that will be
focused on student behavior and attitudes, derived from the
needs assessment described in paragraph (9), and be developed
in consultation between the State and local officials, and
that consist of--
``(A) performance indicators for drug and violence
prevention programs and activities; and
``(B) levels of performance for each performance indicator;
``(11) describes the procedures the State will use for
assessing and publicly reporting progress toward meeting the
performance measures described in paragraph (10);
``(12) provides an assurance that the State application
will be available for public review after submission of the
application;
``(13) describes the special outreach activities that will
be carried out by the State educational agency and the chief
executive officer of the State to maximize the participation
of community-based organizations of demonstrated
effectiveness that provide services such as mentoring
programs in low-income communities;
``(14) describes how funds will be used by the State
educational agency and the chief executive officer of the
State to support, develop, and implement community-wide
comprehensive drug and violence prevention planning and
organizing activities;
``(15) describes how input from parents will be sought
regarding the use of funds by the State educational agency
and the chief executive officer of the State;
``(16) describes how the State educational agency will
review applications from local educational agencies,
including how the agency will receive input from parents in
such review;
``(17) describes how the State educational agency will
monitor the implementation of activities under this subpart,
and provide technical assistance for local educational
agencies, community-based organizations, other public
entities, and private organizations;
``(18) describes how the chief executive officer of the
State will award funds under section 4112(a) and implement a
plan for monitoring the performance of, and providing
technical assistance to, recipients of such funds; and
``(19) includes any other information the Secretary may
require.
``(b) Interim Application.--
``(1) Authority.--Notwithstanding any other provision of
this section, a State may submit for fiscal year 2002 a 1-
year interim application and plan for the use of funds under
this subpart that is consistent with the requirements of this
section and contains such information as the Secretary may
specify in regulations.
``(2) Purpose.--The purpose of such interim application and
plan shall be to afford the State the opportunity to fully
develop and review such State's application and comprehensive
plan otherwise required by this section.
``(3) Exception.--A State may not receive a grant under
this subpart for a fiscal year after fiscal year 2002 unless
the Secretary has approved such State's application and
comprehensive plan as described in subsection (a).
``(c) Approval Process.--
``(1) Deemed approval.--An application submitted by a State
pursuant to this section shall undergo peer review by the
Secretary and shall be deemed to be approved by the Secretary
unless the Secretary makes a written determination, prior to
the expiration of the 120-day period beginning on the date on
which the Secretary received the application, that the
application is not in compliance with this subpart.
``(2) Disapproval.--The Secretary shall not finally
disapprove the application, except after giving the State
educational agency and the chief executive officer of the
State notice and an opportunity for a hearing.
``(3) Notification.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
this subpart, the Secretary shall--
``(A) give the State educational agency and the chief
executive officer of the State notice and an opportunity for
a hearing; and
``(B) notify the State educational agency and the chief
executive officer of the State of the finding of
noncompliance, and in such notification, shall--
``(i) cite the specific provisions in the application that
are not in compliance; and
``(ii) request additional information, only as to the
noncompliant provisions, needed to make the application
compliant.
``(4) Response.--If the State educational agency and the
chief executive officer of the State respond to the
Secretary's notification described in paragraph (3)(B) during
the 45-day period beginning on the date on which the agency
received the notification, and resubmit the application with
the requested information described in paragraph (3)(B)(ii),
the Secretary shall approve or disapprove such application
prior to the later of--
``(A) the expiration of the 45-day period beginning on the
date on which the application is resubmitted; or
``(B) the expiration of the 120-day period described in
paragraph (1).
``(5) Failure to respond.--If the State educational agency
and the chief executive officer of the State do not respond
to the Secretary's notification described in paragraph (3)(B)
during the 45-day period beginning on the date on which the
agency received the notification, such application shall be
deemed to be disapproved.

``SEC. 4114. LOCAL EDUCATIONAL AGENCY PROGRAM.

``(a) In General.--
``(1) Funds to local educational agencies.--A State shall
provide the amount made available to the State under this
subpart, less the amounts reserved under section 4112 to
local educational agencies for drug and violence prevention
and education programs and activities as follows:
``(A) 60 percent of such amount based on the relative
amount such agencies received under part A of title I for the
preceding fiscal year.
``(B) 40 percent of such amount based on the relative
enrollments in public and private nonprofit elementary
schools and secondary schools within the boundaries of such
agencies.
``(2) Administrative costs.--Of the amount received under
paragraph (1), a local educational agency may use not more
than 2 percent for the administrative costs of carrying out
its responsibilities under this subpart.
``(3) Return of funds to state; reallocation.--
``(A) Return.--Except as provided in subparagraph (B), upon
the expiration of the 1-year period beginning on the date on
which a local educational agency receives its allocation
under this subpart--
``(i) such agency shall return to the State educational
agency any funds from such allocation that remain
unobligated; and
``(ii) the State educational agency shall reallocate any
such amount to local educational agencies that have submitted
plans for using such amount for programs or activities on a
timely basis.
``(B) Carryover.--In any fiscal year, a local educational
agency, may retain for obligation in the succeeding fiscal
year--
``(i) an amount equal to not more than 25 percent of the
allocation it received under this subpart for such fiscal
year; or
``(ii) upon a demonstration of good cause by such agency
and approval by the State educational agency, an amount that
exceeds 25 percent of such allocation.
``(C) Reallocation.--If a local educational agency chooses
not to apply to receive the amount allocated to such agency
under subsection (a), or if such agency's application under
subsection (d) is disapproved by the State educational
agency, the State educational agency shall reallocate such
amount to one or more of its other local educational
agencies.
``(b) Eligibility.--To be eligible to receive a subgrant
under this subpart, a local educational agency desiring a
subgrant shall submit an application to the State educational
agency in accordance with subsection (d). Such an application
shall be amended, as necessary, to reflect changes in the
activities and programs of the local educational agency.
``(c) Development.--
``(1) Consultation.--
``(A) In general.--A local educational agency shall develop
its application through timely and meaningful consultation
with State and local government representatives,
representatives of schools to be served (including private
schools), teachers and other staff, parents, students,
community-based organizations, and others with relevant and
demonstrated expertise in drug and violence prevention
activities (such as medical, mental health, and law
enforcement professionals).
``(B) Continued consultation.--On an ongoing basis, the
local educational agency shall consult with such
representatives and organizations in order to seek advice
regarding how best to coordinate such agency's activities
under this subpart with other related strategies, programs,
and activities being conducted in the community.
``(2) Design and development.--To ensure timely and
meaningful consultation under paragraph (1), a local
educational agency at the initial stages of design and
development of a program or activity shall consult, in
accordance with this subsection, with appropriate entities
and persons on issues regarding the design and development of
the program or activity, including efforts to meet the
principles of effectiveness described in section 4115(a).
``(d) Contents of Applications.--An application submitted
by a local educational agency under this section shall
contain--
``(1) an assurance that the activities or programs to be
funded comply with the principles

[[Page H9856]]

of effectiveness described in section 4115(a) and foster a
safe and drug-free learning environment that supports
academic achievement;
``(2) a detailed explanation of the local educational
agency's comprehensive plan for drug and violence prevention,
including a description of--
``(A) how the plan will be coordinated with programs under
this Act, and other Federal, State, and local programs for
drug and violence prevention, in accordance with section
9306;
``(B) the local educational agency's performance measures
for drug and violence prevention programs and activities,
that shall consist of--
``(i) performance indicators for drug and violence
prevention programs and activities; including--

``(I) specific reductions in the prevalence of identified
risk factors; and
``(II) specific increases in the prevalence of protective
factors, buffers, or assets if any have been identified; and

``(ii) levels of performance for each performance
indicator;
``(C) how such agency will assess and publicly report
progress toward attaining its performance measures;
``(D) the drug and violence prevention activity or program
to be funded, including how the activity or program will meet
the principles of effectiveness described in section 4115(a),
and the means of evaluating such activity or program; and
``(E) how the services will be targeted to schools and
students with the greatest need;
``(3) a description for how the results of the evaluations
of the effectiveness of the program will be used to refine,
improve, and strengthen the program;
``(4) an assurance that funds under this subpart will be
used to increase the level of State, local, and other non-
Federal funds that would, in the absence of funds under this
subpart, be made available for programs and activities
authorized under this subpart, and in no case supplant such
State, local, and other non-Federal funds;
``(5) a description of the mechanisms used to provide
effective notice to the community of an intention to submit
an application under this subpart;
``(6) an assurance that drug and violence prevention
programs supported under this subpart convey a clear and
consistent message that acts of violence and the illegal use
of drugs are wrong and harmful;
``(7) an assurance that the applicant has, or the schools
to be served have, a plan for keeping schools safe and drug-
free that includes--
``(A) appropriate and effective school discipline policies
that prohibit disorderly conduct, the illegal possession of
weapons, and the illegal use, possession, distribution, and
sale of tobacco, alcohol, and other drugs by students;
``(B) security procedures at school and while students are
on the way to and from school;
``(C) prevention activities that are designed to create and
maintain safe, disciplined, and drug-free environments;
``(D) a crisis management plan for responding to violent or
traumatic incidents on school grounds; and
``(E) a code of conduct policy for all students that
clearly states the responsibilities of students, teachers,
and administrators in maintaining a classroom environment
that--
``(i) allows a teacher to communicate effectively with all
students in the class;
``(ii) allows all students in the class to learn;
``(iii) has consequences that are fair, and developmentally
appropriate;
``(iv) considers the student and the circumstances of the
situation; and
``(v) is enforced accordingly;
``(8) an assurance that the application and any waiver
request under section 4115(a)(3) will be available for public
review after submission of the application; and
``(9) such other assurances, goals, and objectives
identified through scientifically based research that the
State may reasonably require in accordance with the purpose
of this part.
``(e) Review of Application.--
``(1) In general.--In reviewing local applications under
this section, a State educational agency shall use a peer
review process or other methods of assuring the quality of
such applications.
``(2) Considerations.--In determining whether to approve
the application of a local educational agency under this
section, a State educational agency shall consider the
quality of application and the extent to which the
application meets the principles of effectiveness described
in section 4115(a).
``(f) Approval Process.--
``(1) Deemed approval.--An application submitted by a local
educational agency pursuant to this section shall be deemed
to be approved by the State educational agency unless the
State educational agency makes a written determination, prior
to the expiration of the 120-day period beginning on the date
on which the State educational agency received the
application, that the application is not in compliance with
this subpart.
``(2) Disapproval.--The State educational agency shall not
finally disapprove the application, except after giving the
local educational agency notice and opportunity for a
hearing.
``(3) Notification.--If the State educational agency finds
that the application is not in compliance, in whole or in
part, with this subpart, the State educational agency shall--
``(A) give the local educational agency notice and an
opportunity for a hearing; and
``(B) notify the local educational agency of the finding of
noncompliance, and in such notification, shall--
``(i) cite the specific provisions in the application that
are not in compliance; and
``(ii) request additional information, only as to the
noncompliant provisions, needed to make the application
compliant.
``(4) Response.--If the local educational agency responds
to the State educational agency's notification described in
paragraph (3)(B) during the 45-day period beginning on the
date on which the agency received the notification, and
resubmits the application with the requested information
described in paragraph (3)(B)(ii), the State educational
agency shall approve or disapprove such application prior to
the later of--
``(A) the expiration of the 45-day period beginning on the
date on which the application is resubmitted; or
``(B) the expiration of the 120-day period described in
paragraph (1).
``(5) Failure to respond.--If the local educational agency
does not respond to the State educational agency's
notification described in paragraph (3)(B) during the 45-day
period beginning on the date on which the agency received the
notification, such application shall be deemed to be
disapproved.

``SEC. 4115. AUTHORIZED ACTIVITIES.

``(a) Principles of Effectiveness.--
``(1) In general.--For a program or activity developed
pursuant to this subpart to meet the principles of
effectiveness, such program or activity shall--
``(A) be based on an assessment of objective data regarding
the incidence of violence and illegal drug use in the
elementary schools and secondary schools and communities to
be served, including an objective analysis of the current
conditions and consequences regarding violence and illegal
drug use, including delinquency and serious discipline
problems, among students who attend such schools (including
private school students who participate in the drug and
violence prevention program) that is based on ongoing local
assessment or evaluation activities;
``(B) be based on an established set of performance
measures aimed at ensuring that the elementary schools and
secondary schools and communities to be served by the program
have a safe, orderly, and drug-free learning environment;
``(C) be based on scientifically based research that
provides evidence that the program to be used will reduce
violence and illegal drug use;
``(D) be based on an analysis of the data reasonably
available at the time, of the prevalence of risk factors,
including high or increasing rates of reported cases of child
abuse and domestic violence; protective factors, buffers,
assets; or other variables in schools and communities in the
State identified through scientifically based research;
and
``(E) include meaningful and ongoing consultation with and
input from parents in the development of the application and
administration of the program or activity.
``(2) Periodic evaluation.--
``(A) Requirement.--The program or activity shall undergo a
periodic evaluation to assess its progress toward reducing
violence and illegal drug use in schools to be served based
on performance measures described in section 4114(d)(2)(B).
``(B) Use of results.--The results shall be used to refine,
improve, and strengthen the program, and to refine the
performance measures, and shall also be made available to the
public upon request, with public notice of such availability
provided.
``(3) Waiver.--A local educational agency may apply to the
State for a waiver of the requirement of subsection (a)(1)(C)
to allow innovative activities or programs that demonstrate
substantial likelihood of success.
``(b) Local Educational Agency Activities.--
``(1) Program requirements.--A local educational agency
shall use funds made available under section 4114 to develop,
implement, and evaluate comprehensive programs and
activities, which are coordinated with other school and
community-based services and programs, that shall--
``(A) foster a safe and drug-free learning environment that
supports academic achievement;
``(B) be consistent with the principles of effectiveness
described in subsection (a)(1);
``(C) be designed to--
``(i) prevent or reduce violence; the use, possession and
distribution of illegal drugs; and delinquency; and
``(ii) create a well disciplined environment conducive to
learning, which includes consultation between teachers,
principals, and other school personnel to identify early
warning signs of drug use and violence and to provide
behavioral interventions as part of classroom management
efforts; and
``(D) include activities to--
``(i) promote the involvement of parents in the activity or
program;
``(ii) promote coordination with community groups and
coalitions, and government agencies; and
``(iii) distribute information about the local educational
agency's needs, goals, and programs under this subpart.
``(2) Authorized activities.--Each local educational
agency, or consortium of such agencies, that receives a
subgrant under this subpart may use such funds to carry out
activities that comply with the principles of effectiveness
described in subsection (a), such as the following:
``(A) Age appropriate and developmentally based activities
that--
``(i) address the consequences of violence and the illegal
use of drugs, as appropriate;
``(ii) promote a sense of individual responsibility;
``(iii) teach students that most people do not illegally
use drugs;
``(iv) teach students to recognize social and peer pressure
to use drugs illegally and the skills for resisting illegal
drug use;
``(v) teach students about the dangers of emerging drugs;

[[Page H9857]]

``(vi) engage students in the learning process; and
``(vii) incorporate activities in secondary schools that
reinforce prevention activities implemented in elementary
schools.
``(B) Activities that involve families, community sectors
(which may include appropriately trained seniors), and a
variety of drug and violence prevention providers in setting
clear expectations against violence and illegal use of drugs
and appropriate consequences for violence and illegal use of
drugs.
``(C) Dissemination of drug and violence prevention
information to schools and the community.
``(D) Professional development and training for, and
involvement of, school personnel, pupil services personnel,
parents, and interested community members in prevention,
education, early identification and intervention, mentoring,
or rehabilitation referral, as related to drug and violence
prevention.
``(E) Drug and violence prevention activities that may
include the following:
``(i) Community-wide planning and organizing activities to
reduce violence and illegal drug use, which may include gang
activity prevention.
``(ii) Acquiring and installing metal detectors, electronic
locks, surveillance cameras, or other related equipment and
technologies.
``(iii) Reporting criminal offenses committed on school
property.
``(iv) Developing and implementing comprehensive school
security plans or obtaining technical assistance concerning
such plans, which may include obtaining a security assessment
or assistance from the School Security and Technology
Resource Center at the Sandia National Laboratory located in
Albuquerque, New Mexico.
``(v) Supporting safe zones of passage activities that
ensure that students travel safely to and from school, which
may include bicycle and pedestrian safety programs.
``(vi) The hiring and mandatory training, based on
scientific research, of school security personnel (including
school resource officers) who interact with students in
support of youth drug and violence prevention activities
under this part that are implemented in the school.
``(vii) Expanded and improved school-based mental health
services related to illegal drug use and violence, including
early identification of violence and illegal drug use,
assessment, and direct or group counseling services provided
to students, parents, families, and school personnel by
qualified school-based mental health service providers.
``(viii) Conflict resolution programs, including peer
mediation programs that educate and train peer mediators and
a designated faculty supervisor, and youth anti-crime and
anti-drug councils and activities.
``(ix) Alternative education programs or services for
violent or drug abusing students that reduce the need for
suspension or expulsion or that serve students who have been
suspended or expelled from the regular educational settings,
including programs or services to assist students to make
continued progress toward meeting the State academic
achievement standards and to reenter the regular education
setting.
``(x) Counseling, mentoring, referral services, and other
student assistance practices and programs, including
assistance provided by qualified school-based mental health
services providers and the training of teachers by school-
based mental health services providers in appropriate
identification and intervention techniques for students at
risk of violent behavior and illegal use of drugs.
``(xi) Programs that encourage students to seek advice
from, and to confide in, a trusted adult regarding concerns
about violence and illegal drug use.
``(xii) Drug and violence prevention activities designed to
reduce truancy.
``(xiii) Age-appropriate, developmentally-based violence
prevention and education programs that address victimization
associated with prejudice and intolerance, and that include
activities designed to help students develop a sense of
individual responsibility and respect for the rights of
others, and to resolve conflicts without violence.
``(xiv) Consistent with the fourth amendment to the
Constitution of the United States, the testing of a student
for illegal drug use or the inspecting of a student's locker
for weapons or illegal drugs or drug paraphernalia, including
at the request of or with the consent of a parent or legal
guardian of the student, if the local educational agency
elects to so test or inspect.
``(xv) Emergency intervention services following traumatic
crisis events, such as a shooting, major accident, or a drug-
related incident that have disrupted the learning
environment.
``(xvi) Establishing or implementing a system for
transferring suspension and expulsion records, consistent
with section 444 of the General Education Provisions Act (20
U.S.C. 1232g), by a local educational agency to any public or
private elementary school or secondary school.
``(xvii) Developing and implementing character education
programs, as a component of drug and violence prevention
programs, that take into account the views of parents of the
students for whom the program is intended and such students,
such as a program described in subpart 3 of part D of title
V.
``(xviii) Establishing and maintaining a school safety
hotline.
``(xix) Community service, including community service
performed by expelled students, and service-learning
projects.
``(xx) Conducting a nationwide background check of each
local educational agency employee, regardless of when hired,
and prospective employees for the purpose of determining
whether the employee or prospective employee has been
convicted of a crime that bears upon the employee's fitness--

``(I) to be responsible for the safety or well-being of
children;
``(II) to serve in the particular capacity in which the
employee or prospective employee is or will be employed; or
``(III) to otherwise be employed by the local educational
agency.

``(xxi) Programs to train school personnel to identify
warning signs of youth suicide and to create an action plan
to help youth at risk of suicide.
``(xxii) Programs that respond to the needs of students who
are faced with domestic violence or child abuse.
``(F) The evaluation of any of the activities authorized
under this subsection and the collection of objective data
used to assess program needs, program implementation, or
program success in achieving program goals and objectives.
``(c) Limitation.--
``(1) In general.--Except as provided in paragraph (2), not
more than 40 percent of the funds available to a local
educational agency under this subpart may be used to carry
out the activities described in clauses (ii) through (vi) of
subsection (b)(2)(E), of which not more than 50 percent of
such amount may be used to carry out the activities described
in clauses (ii) through (v) of such subsection.
``(2) Exception.--A local educational agency may use funds
under this subpart for activities described in clauses (ii)
through (v) of subsection (b)(2)(E) only if funding for these
activities is not received from other Federal agencies.
``(d) Rule of Construction.--Nothing in this section shall
be construed to prohibit the use of funds under this subpart
by any local educational agency or school for the
establishment or implementation of a school uniform policy if
such policy is part of the overall comprehensive drug and
violence prevention plan of the State involved and is
supported by the State's needs assessment and other
scientifically based research information.

``SEC. 4116. REPORTING.

``(a) State Report.--
``(1) In general.--By December 1, 2003, and every 2 years
thereafter, the chief executive officer of the State, in
cooperation with the State educational agency, shall submit
to the Secretary a report--
``(A) on the implementation and outcomes of State programs
under section 4112(a)(1) and section 4112(c) and local
educational agency programs under section 4115(b), as well as
an assessment of their effectiveness;
``(B) on the State's progress toward attaining its
performance measures for drug and violence prevention under
section 4113(a)(10); and
``(C) on the State's efforts to inform parents of, and
include parents in, violence and drug prevention efforts.
``(2) Special rule.--The report required by this subsection
shall be--
``(A) in the form specified by the Secretary;
``(B) based on the State's ongoing evaluation activities,
and shall include data on the incidence and prevalence, age
of onset, perception of health risk, and perception of social
disapproval of drug use and violence by youth in schools and
communities; and
``(C) made readily available to the public.
``(b) Local Educational Agency Report.--
``(1) In general.--Each local educational agency receiving
funds under this subpart shall submit to the State
educational agency such information that the State requires
to complete the State report required by subsection (a),
including a description of how parents were informed of, and
participated in, violence and drug prevention efforts.
``(2) Availability.--Information under paragraph (1) shall
be made readily available to the public.
``(3) Provision of documentation.--Not later than January 1
of each year that a State is required to report under
subsection (a), the Secretary shall provide to the State
education agency all of the necessary documentation required
for compliance with this section.

``SEC. 4117. PROGRAMS FOR NATIVE HAWAIIANS.

``(a) General Authority.--From the funds made available
pursuant to section 4111(a)(1)(C) to carry out this section,
the Secretary shall make grants to or enter into cooperative
agreements or contracts with organizations primarily serving
and representing Native Hawaiians for the benefit of Native
Hawaiians to plan, conduct, and administer programs, or
portions thereof, that are authorized by and consistent with
the provisions of this subpart.
``(b) Definition of Native Hawaiian.--For the purposes of
this section, the term `Native Hawaiian' means any individual
any of whose ancestors were natives, prior to 1778, of the
area which now comprises the State of Hawaii.

``Subpart 2--National Programs

``SEC. 4121. FEDERAL ACTIVITIES.

``(a) Program Authorized.--From funds made available to
carry out this subpart under section 4003(2), the Secretary,
in consultation with the Secretary of Health and Human
Services, the Director of the Office of National Drug Control
Policy, and the Attorney General, shall carry out programs to
prevent the illegal use of drugs and violence among, and
promote safety and discipline for, students. The Secretary
shall carry out such programs directly, or through grants,
contracts, or cooperative agreements with public and private
entities and individuals, or through agreements with other
Federal agencies, and shall coordinate such programs with
other appropriate Federal activities. Such programs may
include--
``(1) the development and demonstration of innovative
strategies for the training of school personnel, parents, and
members of the community for drug and violence prevention
activities based on State and local needs;
``(2) the development, demonstration, scientifically based
evaluation, and dissemination of

[[Page H9858]]

innovative and high quality drug and violence prevention
programs and activities, based on State and local needs,
which may include--
``(A) alternative education models, either established
within a school or separate and apart from an existing
school, that are designed to promote drug and violence
prevention, reduce disruptive behavior, reduce the need for
repeat suspensions and expulsions, enable students to meet
challenging State academic standards, and enable students to
return to the regular classroom as soon as possible;
``(B) community service and service-learning projects,
designed to rebuild safe and healthy neighborhoods and
increase students' sense of individual responsibility;
``(C) video-based projects developed by noncommercial
telecommunications entities that provide young people with
models for conflict resolution and responsible
decisionmaking; and
``(D) child abuse education and prevention programs for
elementary and secondary students;
``(3) the provision of information on drug abuse education
and prevention to the Secretary of Health and Human Services
for dissemination;
``(4) the provision of information on violence prevention
and education and school safety to the Department of Justice
for dissemination;
``(5) technical assistance to chief executive officers,
State agencies, local educational agencies, and other
recipients of funding under this part to build capacity to
develop and implement high-quality, effective drug and
violence prevention programs consistent with the principles
of effectiveness in section 4115(a);
``(6) assistance to school systems that have particularly
severe drug and violence problems, including hiring drug
prevention and school safety coordinators, or assistance to
support appropriate response efforts to crisis situations;
``(7) the development of education and training programs,
curricula, instructional materials, and professional training
and development for preventing and reducing the incidence of
crimes and conflicts motivated by hate in localities most
directly affected by hate crimes;
``(8) activities in communities designated as empowerment
zones or enterprise communities that will connect schools to
community-wide efforts to reduce drug and violence problems;
and
``(9) other activities in accordance with the purpose of
this part, based on State and local needs.
``(b) Peer Review.--The Secretary shall use a peer review
process in reviewing applications for funds under this
section.

``SEC. 4122. IMPACT EVALUATION.

``(a) Biennial Evaluation.--The Secretary, in consultation
with the Safe and Drug-Free Schools and Communities Advisory
Committee described in section 4124, shall conduct an
independent biennial evaluation of the impact of programs
assisted under this subpart and of other recent and new
initiatives to combat violence and illegal drug use in
schools. The evaluation shall report on whether community and
local educational agency programs funded under this subpart--
``(1) comply with the principles of effectiveness described
in section 4115(a);
``(2) have appreciably reduced the level of illegal drug,
alcohol and tobacco use, and school violence and the illegal
presence of weapons at schools; and
``(3) have conducted effective parent involvement and
training programs.
``(b) Data Collection.--The National Center for Education
Statistics shall collect data, that is subject to independent
review, to determine the incidence and prevalence of illegal
drug use and violence in elementary schools and secondary
schools in the States. The collected data shall include
incident reports by schools officials, anonymous student
surveys, and anonymous teacher surveys.
``(c) Biennial Report.--Not later than January 1, 2003, and
every 2 years thereafter, the Secretary shall submit to the
President and Congress a report on the findings of the
evaluation conducted under subsection (a) together with the
data collected under subsection (b) and data available from
other sources on the incidence and prevalence, age of onset,
perception of health risk, and perception of social
disapproval of drug use and violence in elementary schools
and secondary schools in the States. The Secretary shall
include data submitted by the States pursuant to subsection
4116(a).

``SEC. 4123. HATE CRIME PREVENTION.

``(a) Grant Authorization.--From funds made available to
carry out this subpart under section 4003(2) the Secretary
may make grants to local educational agencies and community-
based organizations for the purpose of providing assistance
to localities most directly affected by hate crimes.
``(b) Use of Funds.--
``(1) Program development.--Grants under this section may
be used to improve elementary and secondary educational
efforts, including--
``(A) development of education and training programs
designed to prevent and to reduce the incidence of crimes and
conflicts motivated by hate;
``(B) development of curricula for the purpose of improving
conflict or dispute resolution skills of students, teachers,
and administrators;
``(C) development and acquisition of equipment and
instructional materials to meet the needs of, or otherwise be
part of, hate crime or conflict programs; and
``(D) professional training and development for teachers
and administrators on the causes, effects, and resolutions of
hate crimes or hate-based conflicts.
``(2) Application.--In order to be eligible to receive a
grant under this section for any fiscal year, a local
educational agency, or a local educational agency in
conjunction with a community-based organization, shall submit
an application to the Secretary in such form and containing
such information as the Secretary may reasonably require.
``(3) Requirements.--Each application under paragraph (2)
shall include--
``(A) a request for funds for the purpose described in this
section;
``(B) a description of the schools and communities to be
served by the grants; and
``(C) assurances that Federal funds received under this
section shall be used to supplement, and not supplant, non-
Federal funds.
``(4) Comprehensive plan.--Each application shall include a
comprehensive plan that contains--
``(A) a description of the hate crime or conflict problems
within the schools or the community targeted for assistance;
``(B) a description of the program to be developed or
augmented by such Federal and matching funds;
``(C) assurances that such program or activity shall be
administered by or under the supervision of the applicant;
``(D) procedures for the proper and efficient
administration of such program; and
``(E) fiscal control and fund accounting procedures as may
be necessary to ensure prudent use, proper disbursement, and
accurate accounting of funds received under this section.
``(c) Award of Grants.--
``(1) Selection of recipients.--The Secretary shall
consider the incidence of crimes and conflicts motivated by
bias in the targeted schools and communities in awarding
grants under this section.
``(2) Geographic distribution.--The Secretary shall
attempt, to the extent practicable, to achieve an equitable
geographic distribution of grant awards.
``(3) Dissemination of information.--The Secretary shall
attempt, to the extent practicable, to make available
information regarding successful hate crime prevention
programs, including programs established or expanded with
grants under this section.
``(d) Reports.--The Secretary shall submit to Congress a
report every 2 years that shall contain a detailed statement
regarding grants and awards, activities of grant recipients,
and an evaluation of programs established under this section.

``SEC. 4124. SAFE AND DRUG-FREE SCHOOLS AND COMMUNITIES
ADVISORY COMMITTEE.

``(a) Establishment.--
``(1) In general.--There is hereby established an advisory
committee to be known as the `Safe and Drug Free Schools and
Communities Advisory Committee' (referred to in this section
as the `Advisory Committee') to--
``(A) consult with the Secretary under subsection (b);
``(B) coordinate Federal school- and community-based
substance abuse and violence prevention programs and reduce
duplicative research or services;
``(C) develop core data sets and evaluation protocols for
safe and drug-free school- and community-based programs;
``(D) provide technical assistance and training for safe
and drug-free school- and community-based programs;
``(E) provide for the diffusion of scientifically based
research to safe and drug-free school- and community-based
programs; and
``(F) review other regulations and standards developed
under this title.
``(2) Composition.--The Advisory Committee shall be
composed of representatives from--
``(A) the Department of Education;
``(B) the Centers for Disease Control and Prevention;
``(C) the National Institute on Drug Abuse;
``(D) the National Institute on Alcoholism and Alcohol
Abuse;
``(E) the Center for Substance Abuse Prevention;
``(F) the Center for Mental Health Services;
``(G) the Office of Juvenile Justice and Delinquency
Prevention;
``(H) the Office of National Drug Control Policy;
``(I) State and local governments, including education
agencies; and
``(J) researchers and expert practitioners.
``(3) Consultation.--In carrying out its duties under this
section, the Advisory Committee shall annually consult with
interested State and local coordinators of school- and
community-based substance abuse and violence prevention
programs and other interested groups.
``(b) Programs.--
``(1) In general.--From amounts made available under
section 4003(2) to carry out this subpart, the Secretary, in
consultation with the Advisory Committee, shall carry out
scientifically based research programs to strengthen the
accountability and effectiveness of the State, chief
executive officer's, and national programs under this part.
``(2) Grants, contracts or cooperative agreements.--The
Secretary shall carry out paragraph (1) directly or through
grants, contracts, or cooperative agreements with public and
private entities and individuals or through agreements with
other Federal agencies.
``(3) Coordination.--The Secretary shall coordinate
programs under this section with other appropriate Federal
activities.
``(4) Activities.--Activities that may be carried out under
programs funded under this section may include--
``(A) the provision of technical assistance and training,
in collaboration with other Federal agencies utilizing their
expertise and national and regional training systems, for
Governors, State educational agencies and local educational
agencies to support high quality, effective programs that--

[[Page H9859]]

``(i) provide a thorough assessment of the substance abuse
and violence problem;
``(ii) utilize objective data and the knowledge of a wide
range of community members;
``(iii) develop measurable goals and objectives; and
``(iv) implement scientifically based research activities
that have been shown to be effective and that meet identified
needs;
``(B) the provision of technical assistance and training to
foster program accountability;
``(C) the diffusion and dissemination of best practices and
programs;
``(D) the development of core data sets and evaluation
tools;
``(E) program evaluations;
``(F) the provision of information on drug abuse education
and prevention to the Secretary of Health and Human Services
for dissemination by the clearinghouse for alcohol and drug
abuse information established under section 501(d)(16) of the
Public Health Service Act; and
``(G) other activities that meet unmet needs related to the
purpose of this part and that are undertaken in consultation
with the Advisory Committee.

``SEC. 4125. NATIONAL COORDINATOR PROGRAM.

``(a) In General.--From funds made available to carry out
this subpart under section 4003(2), the Secretary may provide
for the establishment of a National Coordinator Program under
which the Secretary shall award grants to local educational
agencies for the hiring of drug prevention and school safety
program coordinators.
``(b) Use of Funds.--Amounts received under a grant under
subsection (a) shall be used by local educational agencies to
recruit, hire, and train individuals to serve as drug
prevention and school safety program coordinators in schools
with significant drug and school safety problems. Such
coordinators shall be responsible for developing, conducting,
and analyzing assessments of drug and crime problems at their
schools, and administering the safe and drug-free grant
program at such schools.

``SEC. 4126. COMMUNITY SERVICE GRANT PROGRAM.

``(a) In General.--From funds made available to carry out
this subpart under section 4003(2), the Secretary may make
grants to States to carry out programs under which students
expelled or suspended from school are required to perform
community service.
(b) Allocation.--From the amount described in subsection
(a), the Secretary shall allocate among the States--
``(1) \1/2\ according to the ratio between the school-aged
population of each State and the school-aged population of
all the States; and
``(2) \1/2\ according to the ratio between the amount each
State received under section 1124A for the preceding year and
the sum of such amounts received by all the States.
``(c) Minimum.--For any fiscal year, no State shall be
allotted under this section an amount that is less than \1/2\
of 1 percent of the total amount allotted to all the States
under this section.
``(d) Reallotment.--The Secretary may reallot any amount of
any allotment to a State if the Secretary determines that the
State will be unable to use such amount within 2 years of
such allotment. Such reallotments shall be made on the same
basis as allotments are made under subsection (b).
``(e) Definition.--In this section, the term `State' means
each of the 50 States, the District of Columbia, and the
Commonwealth of Puerto Rico.

``SEC. 4127. SCHOOL SECURITY TECHNOLOGY AND RESOURCE CENTER.

``(a) Center.--From funds made available to carry out this
subpart under section 4003(2), the Secretary, the Attorney
General, and the Secretary of Energy may enter into an
agreement for the establishment at the Sandia National
Laboratories, in partnership with the National Law
Enforcement and Corrections Technology Center--Southeast and
the National Center for Rural Law Enforcement in Little Rock,
Arkansas, of a center to be known as the `School Security
Technology and Resource Center' (hereinafter in this section
`the Center').
``(b) Administration.--The Center established under
subsection (a) shall be administered by the Attorney General.
``(c) Functions.--The center established under subsection
(a) shall be a resource to local educational agencies for
school security assessments, security technology development,
evaluation and implementation, and technical assistance
relating to improving school security. The Center will also
conduct and publish school violence research, coalesce data
from victim communities, and monitor and report on schools
that implement school security strategies.

``SEC. 4128. NATIONAL CENTER FOR SCHOOL AND YOUTH SAFETY.

``(a) Establishment.--From funds made available to carry
out this subpart under section 4003(2), the Secretary of
Education and the Attorney General may jointly establish a
National Center for School and Youth Safety (in this section
referred to as the `Center'). The Secretary of Education and
the Attorney General may establish the Center at an existing
facility, if the facility has a history of performing two or
more of the duties described in subsection (b). The Secretary
of Education and the Attorney General shall jointly appoint a
Director of the Center to oversee the operation of the
Center.
``(b) Duties.--The Center shall carry out emergency
response, anonymous student hotline, consultation, and
information and outreach activities with respect to
elementary and secondary school safety, including the
following:
``(1) Emergency response.--The staff of the Center, and
such temporary contract employees as the Director of the
Center shall determine necessary, shall offer emergency
assistance to local communities to respond to school safety
crises. Such assistance shall include counseling for victims
and the community, assistance to law enforcement to address
short-term security concerns, and advice on how to enhance
school safety, prevent future incidents, and respond to
future incidents.
``(2) Anonymous student hotline.--The Center shall
establish a toll-free telephone number for students to report
criminal activity, threats of criminal activity, and other
high-risk behaviors such as substance abuse, gang or cult
affiliation, depression, or other warning signs of
potentially violent behavior. The Center shall relay the
reports, without attribution, to local law enforcement or
appropriate school hotlines. The Director of the Center shall
work with the Attorney General to establish guidelines for
Center staff to work with law enforcement around the Nation
to relay information reported through the hotline.
``(3) Consultation.--The Center shall establish a toll-free
number for the public to contact staff of the Center for
consultation regarding school safety. The Director of the
Center shall hire administrative staff and individuals with
expertise in enhancing school safety, including individuals
with backgrounds in counseling and psychology, education, law
enforcement and criminal justice, and community development
to assist in the consultation.
``(4) Information and outreach.--The Center shall compile
information about the best practices in school violence
prevention, intervention, and crisis management, and shall
serve as a clearinghouse for model school safety program
information. The staff of the Center shall work to ensure
local governments, school officials, parents, students, and
law enforcement officials and agencies are aware of the
resources, grants, and expertise available to enhance school
safety and prevent school crime. The staff of the Center
shall give special attention to providing outreach to rural
and impoverished communities.

``SEC. 4129. GRANTS TO REDUCE ALCOHOL ABUSE.

``(a) In General.--The Secretary, in consultation with the
Administrator of the Substance Abuse and Mental Health
Services Administration, may award grants from funds made
available to carry out this subpart under section 4003(2), on
a competitive basis, to local educational agencies to enable
such agencies to develop and implement innovative and
effective programs to reduce alcohol abuse in secondary
schools.
``(b) Eligibility.--To be eligible to receive a grant under
subsection (a), a local educational agency shall prepare and
submit to the Secretary an application at such time, in such
manner, and containing such information as the Secretary may
require, including--
``(1) a description of the activities to be carried out
under the grant;
``(2) an assurance that such activities will include 1 or
more of the proven strategies for reducing underage alcohol
abuse as determined by the Substance Abuse and Mental Health
Services Administration;
``(3) an explanation of how activities to be carried under
the grant that are not described in paragraph (2) will be
effective in reducing underage alcohol abuse, including
references to the past effectiveness of such activities;
``(4) an assurance that the applicant will submit to the
Secretary an annual report concerning the effectiveness of
the programs and activities funded under the grant; and
``(5) such other information as the Secretary determines
appropriate.
``(c) Streamlining of Process for Low-Income and Rural
LEAs.--The Secretary, in consultation with the Administrator
of the Substance Abuse and Mental Health Services
Administration, shall develop procedures to make the
application process for grants under this section more user-
friendly, particularly for low-income and rural local
educational agencies.
``(d) Reservations.--
``(1) Samhsa.--The Secretary may reserve 20 percent of any
amount used to carry out this section to enable the
Administrator of the Substance Abuse and Mental Health
Services Administration to provide alcohol abuse
resources and start-up assistance to local educational
agencies receiving grants under this section.
``(2) Low-income and rural areas.--The Secretary may
reserve 25 percent of any amount used to carry out this
section to award grants to low-income and rural local
educational agencies.

``SEC. 4130. MENTORING PROGRAMS.

``(a) Purpose; Definitions.--
``(1) Purpose.--The purpose of this section is to make
assistance available to promote mentoring programs for
children with greatest need--
``(A) to assist such children in receiving support and
guidance from a mentor;
``(B) to improve the academic achievement of such children;
``(C) to improve interpersonal relationships between such
children and their peers, teachers, other adults, and family
members;
``(D) to reduce the dropout rate of such children; and
``(E) to reduce juvenile delinquency and involvement in
gangs by such children.
``(2) Definitions.--In this part:
``(A) Child with greatest need.--The term `child with
greatest need' means a child who is at risk of educational
failure, dropping out of school, or involvement in criminal
or delinquent activities, or who lacks strong positive role
models.
``(B) Eligible entity.--The term `eligible entity' means--
``(i) a local educational agency;
``(ii) a nonprofit, community-based organization; or
``(iii) a partnership between a local educational agency
and a nonprofit, community-based organization.

[[Page H9860]]

``(C) Mentor.--The term `mentor' means a responsible adult,
a postsecondary school student, or a secondary school student
who works with a child--
``(i) to provide a positive role model for the child;
``(ii) to establish a supportive relationship with the
child; and
``(iii) to provide the child with academic assistance and
exposure to new experiences and examples of opportunity that
enhance the ability of the child to become a responsible
adult.
``(D) State.--The term `State' means each of the several
States, the District of Columbia, the Commonwealth of Puerto
Rico, the United States Virgin Islands, Guam, American Samoa,
and the Commonwealth of the Northern Mariana Islands.
``(b) Grant Program.--
``(1) In general.--The Secretary may award grants from
funds made available to carry out this subpart under section
4003(2) to eligible entities to assist such entities in
establishing and supporting mentoring programs and activities
for children with greatest need that--
``(A) are designed to link such children (particularly
children living in rural areas, high-crime areas, or troubled
home environments, or children experiencing educational
failure) with mentors who--
``(i) have received training and support in mentoring;
``(ii) have been screened using appropriate reference
checks, child and domestic abuse record checks, and criminal
background checks; and
``(iii) are interested in working with children with
greatest need; and
``(B) are intended to achieve 1 or more of the following
goals with respect to children with greatest need:
``(i) Provide general guidance.
``(ii) Promote personal and social responsibility.
``(iii) Increase participation in, and enhance the ability
to benefit from, elementary and secondary education.
``(iv) Discourage illegal use of drugs and alcohol,
violence, use of dangerous weapons, promiscuous behavior, and
other criminal, harmful, or potentially harmful activity.
``(v) Encourage participation in community service and
community activities.
``(vi) Encourage setting goals and planning for the future,
including encouragement of graduation from secondary school
and planning for postsecondary education or training.
``(viii) Discourage involvement in gangs.
``(2) Use of funds.--
``(A) In general.--Each eligible entity awarded a grant
under this subsection shall use the grant funds for
activities that establish or implement a mentoring program,
that may include--
``(i) hiring of mentoring coordinators and support staff;
``(ii) providing for the professional development of
mentoring coordinators and support staff;
``(iii) recruitment, screening, and training of mentors;
``(iv) reimbursement to schools, if appropriate, for the
use of school materials or supplies in carrying out the
mentoring program;
``(v) dissemination of outreach materials;
``(vi) evaluation of the mentoring program using
scientifically based methods; and
``(vii) such other activities as the Secretary may
reasonably prescribe by rule.
``(B) Prohibited uses.--Notwithstanding subparagraph (A),
an eligible entity awarded a grant under this section may not
use the grant funds--
``(i) to directly compensate mentors;
``(ii) to obtain educational or other materials or
equipment that would otherwise be used in the ordinary course
of the eligible entity's operations;
``(iii) to support litigation of any kind; or
``(iv) for any other purpose reasonably prohibited by the
Secretary by rule.
``(3) Availability of funds.--Funds made available through
a grant under this section shall be available for obligation
for a period not to exceed 3 years.
``(4) Application.--Each eligible entity seeking a grant
under this section shall submit to the Secretary an
application that includes--
``(A) a description of the plan for the mentoring program
the eligible entity proposes to carry out with such grant;
``(B) information on the children expected to be served by
the mentoring program for which such grant is sought;
``(C) a description of the mechanism the eligible entity
will use to match children with mentors based on the needs of
the children;
``(D) an assurance that no mentor will be assigned to
mentor so many children that the assignment will undermine
the mentor's ability to be an effective mentor or the
mentor's ability to establish a close relationship (a one-to-
one relationship, where practicable) with each mentored
child;
``(E) an assurance that the mentoring program will provide
children with a variety of experiences and support,
including--
``(i) emotional support;
``(ii) academic assistance; and
``(iii) exposure to experiences that the children might not
otherwise encounter on their own;
``(F) an assurance that the mentoring program will be
monitored to ensure that each child assigned a mentor
benefits from that assignment and that the child will be
assigned a new mentor if the relationship between the
original mentor and the child is not beneficial to the child;
``(G) information regarding how mentors and children will
be recruited to the mentoring program;
``(H) information regarding how prospective mentors will be
screened;
``(I) information on the training that will be provided to
mentors; and
``(J) information on the system that the eligible entity
will use to manage and monitor information relating to the
mentoring program's--
``(i) reference checks;
``(ii) child and domestic abuse record checks;
``(iii) criminal background checks; and
``(iv) procedure for matching children with mentors.
``(5) Selection.--
``(A) Competitive basis.--In accordance with this
subsection, the Secretary shall award grants to eligible
entities on a competitive basis.
``(B) Priority.--In awarding grants under subparagraph (A),
the Secretary shall give priority to each eligible entity
that--
``(i) serves children with greatest need living in rural
areas, high-crime areas, or troubled home environments, or
who attend schools with violence problems;
``(ii) provides high quality background screening of
mentors, training of mentors, and technical assistance in
carrying out mentoring programs; or
``(iii) proposes a school-based mentoring program.
``(C) Other considerations.--In awarding grants under
subparagraph (A), the Secretary shall also consider--
``(i) the degree to which the location of the mentoring
program proposed by each eligible entity contributes to a
fair distribution of mentoring programs with respect to urban
and rural locations;
``(ii) the quality of the mentoring program proposed by
each eligible entity, including--

``(I) the resources, if any, the eligible entity will
dedicate to providing children with opportunities for job
training or postsecondary education;
``(II) the degree to which parents, teachers, community-
based organizations, and the local community have
participated, or will participate, in the design and
implementation of the proposed mentoring program;
``(III) the degree to which the eligible entity can ensure
that mentors will develop longstanding relationships with the
children they mentor;
``(IV) the degree to which the mentoring program will serve
children with greatest need in the 4th through 8th grades;
and
``(V) the degree to which the mentoring program will
continue to serve children from the 9th grade through
graduation from secondary school, as needed; and

``(iii) the capability of each eligible entity to
effectively implement its mentoring program.
``(D) Grant to each state.--Notwithstanding any other
provision of this subsection, in awarding grants under
subparagraph (A), the Secretary shall select not less than 1
grant recipient from each State for which there is an
eligible entity that submits an application of sufficient
quality pursuant to paragraph (4).
``(6) Model Screening Guidelines.--
``(A) In general.--Based on model screening guidelines
developed by the Office of Juvenile Programs of the
Department of Justice, the Secretary shall develop and
distribute to each eligible entity awarded a grant under this
section specific model guidelines for the screening of
mentors who seek to participate in mentoring programs
assisted under this section.
``(B) Background checks.--The guidelines developed under
this subsection shall include, at a minimum, a requirement
that potential mentors be subject to reference checks, child
and domestic abuse record checks, and criminal background
checks.

``Subpart 3--Gun Possession

``SEC. 4141. GUN-FREE REQUIREMENTS.

``(a) Short Title.--This subpart may be cited as the ``Gun-
Free Schools Act''.
``(b) Requirements.--
``(1) In general.--Each State receiving Federal funds under
the No Child Left Behind Act of 2001 shall have in effect a
State law requiring local educational agencies to expel from
school for a period of not less than one year a student who
is determined to have brought a firearm to a school, or to
have possessed a firearm at a school, under the jurisdiction
of local educational agencies in that State, except that such
State law shall allow the chief administering officer of a
local educational agency to modify such expulsion requirement
for a student on a case-by-case basis if such modification is
in writing.
``(2) Construction.--Nothing in this subpart shall be
construed to prevent a State from allowing a local
educational agency that has expelled a student from such a
student's regular school setting from providing educational
services to such student in an alternative setting.
``(3) Definition.--For the purpose of this section, the
term `firearm' has the same meaning given such term in
section 921(a) of title 18, United States Code.
``(c) Special Rule.--The provisions of this section shall
be construed in a manner consistent with the Individuals with
Disabilities Education Act.
``(d) Report to State.--Each local educational agency
requesting assistance from the State educational agency that
is to be provided from funds made available to the State
under the No Child Left Behind Act of 2001 shall provide to
the State, in the application requesting such assistance--
``(1) an assurance that such local educational agency is in
compliance with the State law required by subsection (b); and
``(2) a description of the circumstances surrounding any
expulsions imposed under the State law required by subsection
(b), including--
``(A) the name of the school concerned;
``(B) the number of students expelled from such school; and
``(C) the type of firearms concerned.
``(e) Reporting.--Each State shall report the information
described in subsection (d) to the Secretary on an annual
basis.

[[Page H9861]]

``(f) Definition.--For the purpose of subsection (d), the
term `school' means any setting that is under the control and
supervision of the local educational agency for the purpose
of student activities approved and authorized by the local
educational agency.
``(g) Exception.--Nothing in this section shall apply to a
firearm that is lawfully stored inside a locked vehicle on
school property, or if it is for activities approved and
authorized by the local educational agency and the local
educational agency adopts appropriate safeguards to ensure
student safety.
``(h) Policy Regarding Criminal Justice System Referral.--
``(1) In general.--No funds shall be made available under
the No Child Left Behind Act of 2001 to any local educational
agency unless such agency has a policy requiring referral to
the criminal justice or juvenile delinquency system of any
student who brings a firearm or weapon to a school served by
such agency.
``(2) Definitions.--For the purpose of this subsection, the
terms `firearm' and `school' have the same meaning given to
such terms by section 921(a) of title 18, United States Code.

``Subpart 4--General Provisions

``SEC. 4151. DEFINITIONS.

``In this part:
``(1) Controlled substance.--The term `controlled
substance' means a drug or other substance identified under
Schedule I, II, III, IV, or V in section 202(c) of the
Controlled Substances Act (21 U.S.C. 812(c)).
``(2) Drug.--The term `drug' includes controlled
substances; the illegal use of alcohol and tobacco; and the
harmful, abusive, or addictive use of substances, including
inhalants and anabolic steroids.
``(3) Drug and violence prevention.--The term `drug and
violence prevention' means--
``(A) with respect to drugs, prevention, early
intervention, rehabilitation referral, or education related
to the illegal use of drugs;
``(B) with respect to violence, the promotion of school
safety, such that students and school personnel are free from
violent and disruptive acts, including sexual harassment and
abuse, and victimization associated with prejudice and
intolerance, on school premises, going to and from school,
and at school-sponsored activities, through the creation and
maintenance of a school environment that is free of weapons
and fosters individual responsibility and respect for the
rights of others.
``(4) Hate crime.--The term `hate crime' means a crime as
described in section 1(b) of the Hate Crime Statistics Act of
1990.
``(5) Nonprofit.--The term `nonprofit', as applied to a
school, agency, organization, or institution means a school,
agency, organization, or institution owned and operated by
one or more nonprofit corporations or associations, no part
of the net earnings of which inures, or may lawfully inure,
to the benefit of any private shareholder or individual.
``(6) Protective factor, buffer, or asset.--The terms
`protective factor', `buffer', and `asset' mean any one of a
number of the community, school, family, or peer-individual
domains that are known, through prospective, longitudinal
research efforts, or which are grounded in a well-established
theoretical model of prevention, and have been shown to
prevent alcohol, tobacco, or illegal drug use, as well as
violent behavior, by youth in the community, and which
promote positive youth development.
``(7) Risk factor.--The term `risk factor' means any one of
a number of characteristics of the community, school, family,
or peer-individual domains that are known, through
prospective, longitudinal research efforts, to be predictive
of alcohol, tobacco, and illegal drug use, as well as violent
behavior, by youth in the school and community.
``(8) School-aged population.--The term `school-aged
population' means the population aged five through 17, as
determined by the Secretary on the basis of the most recent
satisfactory data available from the Department of Commerce.
``(9) School based mental health services provider.--The
term `school based mental health services provider' includes
a State licensed or State certified school counselor, school
psychologist, school social worker, or other State licensed
or certified mental health professional qualified under State
law to provide such services to children and adolescents.
``(10) School personnel.--The term `school personnel'
includes teachers, principals, administrators, counselors,
social workers, psychologists, nurses, librarians, and other
support staff who are employed by a school or who perform
services for the school on a contractual basis.
``(11) School resource officer.--The term `school resource
officer' means a career law enforcement officer, with sworn
authority, deployed in community oriented policing, and
assigned by the employing police department to a local
educational agency to work in collaboration with schools and
community based organizations to--
``(A) educate students in crime and illegal drug use
prevention and safety;
``(B) develop or expand community justice initiatives for
students; and
``(C) train students in conflict resolution, restorative
justice, and crime and illegal drug use awareness.

``SEC. 4152. MESSAGE AND MATERIALS.

``(a) `Wrong and Harmful' Message.--Drug and violence
prevention programs supported under this part shall convey a
clear and consistent message that the illegal use of drugs
and acts of violence are wrong and harmful.
``(b) Curriculum.--The Secretary shall not prescribe the
use of specific curricula for programs supported under this
part.

``SEC. 4153. PARENTAL CONSENT.

``Upon receipt of written notification from the parents or
legal guardians of a student, the local educational agency
shall withdraw such student from any program or activity
funded under this part. The local educational agency shall
make reasonable efforts to inform parents or legal guardians
of the content of such programs or activities funded under
this part, other than classroom instruction.

``SEC. 4154. PROHIBITED USES OF FUNDS.

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

``SEC. 4155. TRANSFER OF SCHOOL DISCIPLINARY RECORDS.

``(a) Nonapplication of Provisions.--This section shall not
apply to any disciplinary records with respect to a
suspension or expulsion that are transferred from a private,
parochial or other nonpublic school, person, institution, or
other entity, that provides education below the college
level.
``(b) Disciplinary Records.--In accordance with the Family
Educational Rights and Privacy Act of 1974 (20 U.S.C. 1232g),
not later than 2 years after the date of enactment of this
part, each State receiving Federal funds under this Act shall
provide an assurance to the Secretary that the State has a
procedure in place to facilitate the transfer of disciplinary
records, with respect to a suspension or expulsion, by local
educational agencies to any private or public elementary
school or secondary school for any student who is enrolled or
seeks, intends, or is instructed to enroll, on a full- or
part-time basis, in the school.

``PART B--21ST CENTURY COMMUNITY LEARNING CENTERS

``SEC. 4201. PURPOSE; DEFINITIONS.

``(a) Purpose.--The purpose of this part is to provide
opportunities for communities to establish or expand
activities in community learning centers that--
``(1) provide opportunities for academic enrichment,
including providing tutorial services to help students,
particularly students who attend low-performing schools, to
meet State and local student academic achievement standards
in core academic subjects, such as reading and mathematics;
``(2) offer students a broad array of additional services,
programs, and activities, such as youth development
activities, drug and violence prevention programs, counseling
programs, art, music, and recreation programs, technology
education programs, and character education programs, that
are designed to reinforce and complement the regular academic
program of participating students; and
``(3) offer families of students served by community
learning centers opportunities for literacy and related
educational development.
``(b) Definitions.--In this part:
``(1) Community learning center.--The term `community
learning center' means an entity that--
``(A) assists students in meeting State and local academic
achievement standards in core academic subjects, such as
reading and mathematics, by providing the students with
opportunities for academic enrichment activities and a broad
array of other activities (such as drug and violence
prevention, counseling, art, music, recreation, technology,
and character education programs) during nonschool hours or
periods when school is not in session (such as before and
after school or during summer recess) that reinforce and
complement the regular academic programs of the schools
attended by the students served; and
``(B) offers families of students served by such center
opportunities for literacy and related educational
development.
``(2) Covered program.--The term `covered program' means a
program for which--
``(A) the Secretary made a grant under part I of title X
(as such part was in effect on the day before the date of
enactment of the No Child Left Behind Act of 2001); and
``(B) the grant period had not ended on that date of
enactment.
``(3) Eligible entity.--The term `eligible entity' means a
local educational agency, community-based organization,
another public or private entity, or a consortium of 2 or
more of such agencies, organizations, or entities.
``(4) State.--The term `State' means each of the 50 States,
the District of Columbia, and the Commonwealth of Puerto
Rico.

``SEC. 4202. ALLOTMENTS TO STATES.

``(a) Reservation.--From the funds appropriated under
section 4206 for any fiscal year, the Secretary shall
reserve--
``(1) such amount as may be necessary to make continuation
awards to grant recipients under covered programs (under the
terms of those grants);
``(2) not more than 1 percent for national activities,
which the Secretary may carry out directly or through grants
and contracts, such as providing technical assistance to
eligible entities carrying out programs under this part or
conducting a national evaluation; and
``(3) not more than 1 percent for payments to the outlying
areas and the Bureau of Indian Affairs, to be allotted in
accordance with their respective needs for assistance under
this part, as determined by the Secretary, to enable the
outlying areas and the Bureau to carry out the purpose of
this part.
``(b) State Allotments.--
``(1) Determination.--From the funds appropriated under
section 4206 for any fiscal year

[[Page H9862]]

and remaining after the Secretary makes reservations under
subsection (a), the Secretary shall allot to each State for
the fiscal year an amount that bears the same relationship to
the remainder as the amount the State received under subpart
2 of part A of title I for the preceding fiscal year bears to
the amount all States received under that subpart for the
preceding fiscal year, except that no State shall receive
less than an amount equal to \1/2\ of 1 percent of the total
amount made available to all States under this subsection.
``(2) Reallotment of unused funds.--If a State does not
receive an allotment under this part for a fiscal year, the
Secretary shall reallot the amount of the State's allotment
to the remaining States in accordance with this section.
``(c) State Use of Funds.--
``(1) In general.--Each State that receives an allotment
under this part shall reserve not less than 95 percent of the
amount allotted to such State under subsection (b), for each
fiscal year for awards to eligible entities under section
4204.
``(2) State administration.--A State educational agency may
use not more than 2 percent of the amount made available to
the State under subsection (b) for--
``(A) the administrative costs of carrying out its
responsibilities under this part;
``(B) establishing and implementing a peer review process
for grant applications described in section 4204(b)
(including consultation with the Governor and other State
agencies responsible for administering youth development
programs and adult learning activities); and
``(C) supervising the awarding of funds to eligible
entities (in consultation with the Governor and other State
agencies responsible for administering youth development
programs and adult learning activities).
``(3) State activities.--A State educational agency may use
not more than 3 percent of the amount made available to the
State under subsection (b) for the following activities:
``(A) Monitoring and evaluation of programs and activities
assisted under this part.
``(B) Providing capacity building, training, and technical
assistance under this part.
``(C) Comprehensive evaluation (directly, or through a
grant or contract) of the effectiveness of programs and
activities assisted under this part.
``(D) Providing training and technical assistance to
eligible entities who are applicants for or recipients of
awards under this part.

``SEC. 4203. STATE APPLICATION.

``(a) In General.--In order to receive an allotment under
section 4202 for any fiscal year, a State shall submit to the
Secretary, at such time as the Secretary may require, an
application that--
``(1) designates the State educational agency as the agency
responsible for the administration and supervision of
programs assisted under this part;
``(2) describes how the State educational agency will use
funds received under this part, including funds reserved for
State-level activities;
``(3) contains an assurance that the State educational
agency will make awards under this part only to eligible
entities that propose to serve--
``(A) students who primarily attend--
``(i) schools eligible for schoolwide programs under
section 1114; or
``(ii) schools that serve a high percentage of students
from low-income families; and
``(B) the families of students described in subparagraph
(A);
``(4) describes the procedures and criteria the State
educational agency will use for reviewing applications and
awarding funds to eligible entities on a competitive basis,
which shall include procedures and criteria that take into
consideration the likelihood that a proposed community
learning center will help participating students meet local
content and student academic achievement standards;
``(5) describes how the State educational agency will
ensure that awards made under this part are--
``(A) of sufficient size and scope to support high-quality,
effective programs that are consistent with the purpose of
this part; and
``(B) in amounts that are consistent with section 4204(h);
``(6) describes the steps the State educational agency will
take to ensure that programs implement effective strategies,
including providing ongoing technical assistance and
training, evaluation, and dissemination of promising
practices;
``(7) describes how programs under this part will be
coordinated with programs under this Act, and other programs
as appropriate;
``(8) contains an assurance that the State educational
agency--
``(A) will make awards for programs for a period of not
less than 3 years and not more than 5 years; and
``(B) will require each eligible entity seeking such an
award to submit a plan describing how the community learning
center to be funded through the award will continue after
funding under this part ends;
``(9) contains an assurance that funds appropriated to
carry out this part will be used to supplement, and not
supplant, other Federal, State, and local public funds
expended to provide programs and activities authorized under
this part and other similar programs;
``(10) contains an assurance that the State educational
agency will require eligible entities to describe in their
applications under section 4204(b) how the transportation
needs of participating students will be addressed;
``(11) provides an assurance that the application was
developed in consultation and coordination with appropriate
State officials, including the chief State school officer,
and other State agencies administering before and after
school (or summer school) programs, the heads of the State
health and mental health agencies or their designees, and
representatives of teachers, parents, students, the
business community, and community-based organizations;
``(12) describes the results of the State's needs and
resources assessment for before and after school activities,
which shall be based on the results of on-going State
evaluation activities;
``(13) describes how the State educational agency will
evaluate the effectiveness of programs and activities carried
out under this part, which shall include, at a minimum--
``(A) a description of the performance indicators and
performance measures that will be used to evaluate programs
and activities; and
``(B) public dissemination of the evaluations of programs
and activities carried out under this part; and
``(14) provides for timely public notice of intent to file
an application and an assurance that the application will be
available for public review after submission.
``(b) Deemed Approval.--An application submitted by a State
educational agency pursuant to subsection (a) shall be deemed
to be approved by the Secretary unless the Secretary makes a
written determination, prior to the expiration of the 120-day
period beginning on the date on which the Secretary received
the application, that the application is not in compliance
with this part.
``(c) Disapproval.--The Secretary shall not finally
disapprove the application, except after giving the State
educational agency notice and opportunity for a hearing.
``(d) Notification.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
this part, the Secretary shall--
``(1) give the State educational agency notice and an
opportunity for a hearing; and
``(2) notify the State educational agency of the finding of
noncompliance, and, in such notification, shall--
``(A) cite the specific provisions in the application that
are not in compliance; and
``(B) request additional information, only as to the
noncompliant provisions, needed to make the application
compliant.
``(e) Response.--If the State educational agency responds
to the Secretary's notification described in subsection
(d)(2) during the 45-day period beginning on the date on
which the agency received the notification, and resubmits the
application with the requested information described in
subsection (d)(2)(B), the Secretary shall approve or
disapprove such application prior to the later of--
``(1) the expiration of the 45-day period beginning on the
date on which the application is resubmitted; or
``(2) the expiration of the 120-day period described in
subsection (b).
``(f) Failure to Respond.--If the State educational agency
does not respond to the Secretary's notification described in
subsection (d)(2) during the 45-day period beginning on the
date on which the agency received the notification, such
application shall be deemed to be disapproved.

``SEC. 4204. LOCAL COMPETITIVE GRANT PROGRAM.

``(a) In General.--A State that receives funds under this
part for a fiscal year shall provide the amount made
available under section 4202(c)(1) to eligible entities for
community learning centers in accordance with this part.
``(b) Application.--
``(1) In general.--To be eligible to receive an award under
this part, an eligible entity shall submit an application to
the State educational agency at such time, in such manner,
and including such information as the State educational
agency may reasonably require.
``(2) Contents.--Each application submitted under paragraph
(1) shall include--
``(A) a description of the before and after school or
summer recess activities to be funded, including--
``(i) an assurance that the program will take place in a
safe and easily accessible facility;
``(ii) a description of how students participating in the
program carried out by the community learning center will
travel safely to and from the center and home; and
``(iii) a description of how the eligible entity will
disseminate information about the community learning center
(including its location) to the community in a manner that is
understandable and accessible;
``(B) a description of how the activity is expected to
improve student academic achievement;
``(C) an identification of Federal, State, and local
programs that will be combined or coordinated with the
proposed program to make the most effective use of public
resources;
``(D) an assurance that the proposed program was developed,
and will be carried out, in active collaboration with the
schools the students attend;
``(E) a description of how the activities will meet the
principles of effectiveness described in section 4205(b);
``(F) an assurance that the program will primarily target
students who attend schools eligible for schoolwide programs
under section 1114 and the families of such students;
``(G) an assurance that funds under this part will be used
to increase the level of State, local, and other non-Federal
funds that would, in the absence of funds under this part, be
made available for programs and activities authorized under
this part, and in no case supplant Federal, State, local, or
non-Federal funds;
``(H) a description of the partnership between a local
educational agency, a community-based organization, and
another public entity or private entity, if appropriate;
``(I) an evaluation of the community needs and available
resources for the community learning center and a description
of how the

[[Page H9863]]

program proposed to be carried out in the center will address
those needs (including the needs of working families);
``(J) a demonstration that the eligible entity has
experience, or promise of success, in providing educational
and related activities that will complement and enhance the
academic performance, achievement, and positive youth
development of the students;
``(K) a description of a preliminary plan for how the
community learning center will continue after funding under
this part ends;
``(L) an assurance that the community will be given notice
of an intent to submit an application and that the
application and any waiver request will be available for
public review after submission of the application;
``(M) if the eligible entity plans to use senior volunteers
in activities carried out through the community learning
center, a description of how the eligible entity will
encourage and use appropriately qualified seniors to serve as
the volunteers; and
``(N) such other information and assurances as the State
educational agency may reasonably require.
``(c) Approval of Certain Applications.--The State
educational agency may approve an application under this part
for a program to be located in a facility other than an
elementary school or secondary school only if the program
will be at least as available and accessible to the students
to be served as if the program were located in an elementary
school or secondary school.
``(d) Permissive Local Match.--
``(1) In general.--A State educational agency may require
an eligible entity to match funds awarded under this part,
except that such match may not exceed the amount of the grant
award and may not be derived from other Federal or State
funds.
``(2) Sliding scale.--The amount of a match under paragraph
(1) shall be established based on a sliding fee scale that
takes into account--
``(A) the relative poverty of the population to be targeted
by the eligible entity; and
``(B) the ability of the eligible entity to obtain such
matching funds.
``(3) In-kind contributions.--Each State educational agency
that requires an eligible entity to match funds under this
subsection shall permit the eligible entity to provide all or
any portion of such match in the form of in-kind
contributions.
``(4) Consideration.--Notwithstanding this subsection, a
State educational agency shall not consider an eligible
entity's ability to match funds when determining which
eligible entities will receive awards under this part.
``(e) Peer Review.--In reviewing local applications under
this section, a State educational agency shall use a peer
review process or other methods of assuring the quality of
such applications.
``(f) Geographic Diversity.--To the extent practicable, a
State educational agency shall distribute funds under this
part equitably among geographic areas within the State,
including urban and rural communities.
``(g) Duration of Awards.--Grants under this part may be
awarded for a period of not less than 3 years and not more
than 5 years.
``(h) Amount of Awards.--A grant awarded under this part
may not be made in an amount that is less than $50,000.
``(i) Priority.--
``(1) In general.--In awarding grants under this part, a
State educational agency shall give priority to
applications--
``(A) proposing to target services to students who attend
schools that have been identified as in need of improvement
under section 1116; and
``(B) submitted jointly by eligible entities consisting of
not less than 1--
``(i) local educational agency receiving funds under part A
of title I; and
``(ii) community-based organization or other public or
private entity.
``(2) Special rule.--The State educational agency shall
provide the same priority under paragraph (1) to an
application submitted by a local educational agency if the
local educational agency demonstrates that it is unable to
partner with a community-based organization in reasonable
geographic proximity and of sufficient quality to meet the
requirements of this part.

``SEC. 4205. LOCAL ACTIVITIES.

``(a) Authorized Activities.--Each eligible entity that
receives an award under this part may use the award funds to
carry out a broad array of before and after school activities
(including during summer recess periods) that advance student
academic achievement, including--
``(1) remedial education activities and academic enrichment
learning programs, including providing additional assistance
to students to allow the students to improve their academic
achievement;
``(2) mathematics and science education activities;
``(3) arts and music education activities;
``(4) entrepreneurial education programs;
``(5) tutoring services (including those provided by senior
citizen volunteers) and mentoring programs;
``(6) programs that provide after school activities for
limited English proficient students that emphasize language
skills and academic achievement;
``(7) recreational activities;
``(8) telecommunications and technology education programs;
``(9) expanded library service hours;
``(10) programs that promote parental involvement and
family literacy;
``(11) programs that provide assistance to students who
have been truant, suspended, or expelled to allow the
students to improve their academic achievement; and
``(12) drug and violence prevention programs, counseling
programs, and character education programs.
``(b) Principles of Effectiveness.--
``(1) In general.--For a program or activity developed
pursuant to this part to meet the principles of
effectiveness, such program or activity shall--
``(A) be based upon an assessment of objective data
regarding the need for before and after school programs
(including during summer recess periods) and activities in
the schools and communities;
``(B) be based upon an established set of performance
measures aimed at ensuring the availability of high quality
academic enrichment opportunities; and
``(C) if appropriate, be based upon scientifically based
research that provides evidence that the program or activity
will help students meet the State and local student academic
achievement standards.
``(2) Periodic evaluation.--
``(A) In general.--The program or activity shall undergo a
periodic evaluation to assess its progress toward achieving
its goal of providing high quality opportunities for academic
enrichment.
``(B) Use of results.--The results of evaluations under
subparagraph (A) shall be--
``(i) used to refine, improve, and strengthen the program
or activity, and to refine the performance measures; and
``(ii) made available to the public upon request, with
public notice of such availability provided.

``SEC. 4206. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated--
``(1) $1,250,000,000 for fiscal year 2002;
``(2) $1,500,000,000 for fiscal year 2003;
``(3) $1,750,000,000 for fiscal year 2004;
``(4) $2,000,000,000 for fiscal year 2005;
``(5) $2,250,000,000 for fiscal year 2006; and
``(6) $2,500,000,000 for fiscal year 2007.

``PART C--ENVIRONMENTAL TOBACCO SMOKE

``SEC. 4301. SHORT TITLE.

``This part may be cited as the `Pro-Children Act of 2001'.

``SEC. 4302. DEFINITIONS.

``As used in this part:
``(1) Children.--The term `children' means individuals who
have not attained the age of 18.
``(2) Children's services.--The term `children's services'
means the provision on a routine or regular basis of health,
day care, education, or library services--
``(A) that are funded, after the date of enactment of the
No Child Left Behind Act of 2001, directly by the Federal
Government or through State or local governments, by Federal
grant, loan, loan guarantee, or contract programs--
``(i) administered by either the Secretary of Health and
Human Services or the Secretary of Education (other than
services provided and funded solely under titles XVIII and
XIX of the Social Security Act); or
``(ii) administered by the Secretary of Agriculture in the
case of a clinic (as defined in part 246.2 of title 7, Code
of Federal Regulations (or any corresponding similar
regulation or ruling)) under section 17(b)(6) of the Child
Nutrition Act of 1966; or
``(B) that are provided in indoor facilities that are
constructed, operated, or maintained with such Federal funds,
as determined by the appropriate head of a Federal agency in
any enforcement action carried out under this part,
except that nothing in clause (ii) of subparagraph (A) is
intended to include facilities (other than clinics) where
coupons are redeemed under the Child Nutrition Act of 1966.
``(3) Indoor facility.--The term `indoor facility' means a
building that is enclosed.
``(4) Person.--The term `person' means any State or local
subdivision of a State, agency of such State or subdivision,
corporation, or partnership that owns or operates or
otherwise controls and provides children's services or any
individual who owns or operates or otherwise controls and
provides such services.
``(5) Secretary.--The term `Secretary' means the Secretary
of Health and Human Services.

``SEC. 4303. NONSMOKING POLICY FOR CHILDREN'S SERVICES.

``(a) Prohibition.--After the date of enactment of the No
Child Left Behind Act of 2001, no person shall permit smoking
within any indoor facility owned or leased or contracted for,
and utilized, by such person for provision of routine or
regular kindergarten, elementary, or secondary education or
library services to children.
``(b) Additional Prohibition.--
``(1) In general.--After the date of enactment of the No
Child Left Behind Act of 2001, no person shall permit smoking
within any indoor facility (or portion of such a facility)
owned or leased or contracted for, and utilized by, such
person for the provision of regular or routine health care or
day care or early childhood development (Head Start)
services.
``(2) Exception.--Paragraph (1) shall not apply to--
``(A) any portion of such facility that is used for
inpatient hospital treatment of individuals dependent on, or
addicted to, drugs or alcohol; and
``(B) any private residence.
``(c) Federal Agencies.--
``(1) Kindergarten, elementary, or secondary education or
library services.--After the date of enactment of the No
Child Left Behind Act of 2001, no Federal agency shall permit
smoking within any indoor facility in the United States
operated by such agency, directly or by contract, to provide
routine or regular kindergarten, elementary, or secondary
education or library services to children.
``(2) Health or day care or early childhood development
services.--

[[Page H9864]]

``(A) In general.--After the date of enactment of the No
Child Left Behind Act of 2001, no Federal agency shall permit
smoking within any indoor facility (or portion of such
facility) operated by such agency, directly or by contract,
to provide routine or regular health or day care or early
childhood development (Head Start) services to children.
``(B) Exception.--Subparagraph (A) shall not apply to--
``(i) any portion of such facility that is used for
inpatient hospital treatment of individuals dependent on, or
addicted to, drugs or alcohol; and
``(ii) any private residence.
``(3) Application of provisions.--The provisions of
paragraph (2) shall also apply to the provision of such
routine or regular kindergarten, elementary or secondary
education or library services in the facilities described in
paragraph (2) not subject to paragraph (1).
``(d) Notice.--The prohibitions in subsections (a) through
(c) shall be published in a notice in the Federal Register by
the Secretary (in consultation with the heads of other
affected agencies) and by such agency heads in funding
arrangements involving the provision of children's services
administered by such heads. Such prohibitions shall be
effective 90 days after such notice is published, or 270 days
after the date of enactment of the No Child Left Behind Act
of 2001, whichever occurs first.
``(e) Civil Penalties.--
``(1) In general.--Any failure to comply with a prohibition
in this section shall be considered to be a violation of this
section and any person subject to such prohibition who
commits such violation may be liable to the United States for
a civil penalty in an amount not to exceed $1,000 for each
violation, or may be subject to an administrative compliance
order, or both, as determined by the Secretary. Each day a
violation continues shall constitute a separate violation. In
the case of any civil penalty assessed under this section,
the total amount shall not exceed fifty percent of the amount
of Federal funds received under the No Child Left Behind Act
of 2001 by such person for the fiscal year in which the
continuing violation occurred. For the purpose of the
prohibition in subsection (c), the term `person', as used in
this paragraph, shall mean the head of the applicable Federal
agency or the contractor of such agency providing the
services to children.
``(2) Administrative proceeding.--A civil penalty may be
assessed in a written notice, or an administrative compliance
order may be issued under paragraph (1), by the Secretary
only after an opportunity for a hearing in accordance with
section 554 of title 5, United States Code. Before making
such assessment or issuing such order, or both, the Secretary
shall give written notice of the assessment or order to such
person by certified mail with return receipt and provide
information in the notice of an opportunity to request in
writing, not later than 30 days after the date of receipt of
such notice, such hearing. The notice shall reasonably
describe the violation and be accompanied with the procedures
for such hearing and a simple form that may be used to
request such hearing if such person desires to use such form.
If a hearing is requested, the Secretary shall establish by
such certified notice the time and place for such hearing,
which shall be located, to the greatest extent possible, at a
location convenient to such person. The Secretary (or the
Secretary's designee) and such person may consult to arrange
a suitable date and location where appropriate.
``(3) Circumstances affecting penalty or order.--In
determining the amount of the civil penalty or the nature of
the administrative compliance order, the Secretary shall take
into account, as appropriate--
``(A) the nature, circumstances, extent, and gravity of the
violation;
``(B) with respect to the violator, any good faith efforts
to comply, the importance of achieving early and permanent
compliance, the ability to pay or comply, the effect of the
penalty or order on the ability to continue operation, any
prior history of the same kind of violation, the degree of
culpability, and any demonstration of willingness to comply
with the prohibitions of this section in a timely manner; and
``(C) such other matters as justice may require.
``(4) Modification.--The Secretary may, as appropriate,
compromise, modify, or remit, with or without conditions, any
civil penalty or administrative compliance order. In the case
of a civil penalty, the amount, as finally determined by the
Secretary or agreed upon in compromise, may be deducted from
any sums that the United States or the agencies or
instrumentalities of the United States owe to the person
against whom the penalty is assessed.
``(5) Petition for review.--Any person aggrieved by a
penalty assessed or an order issued, or both, by the
Secretary under this section may file a petition for judicial
review of the order with the United States Court of Appeals
for the District of Columbia Circuit or for any other circuit
in which the person resides or transacts business. Such
person shall provide a copy of the petition to the Secretary
or the Secretary's designee. The petition shall be filed
within 30 days after the Secretary's assessment or order, or
both, are final and have been provided to such person by
certified mail. The Secretary shall promptly provide to the
court a certified copy of the transcript of any hearing held
under this section and a copy of the notice or order.
``(6) Failure to comply.--If a person fails to pay an
assessment of a civil penalty or comply with an order, after
the assessment or order, or both, are final under this
section, or after a court has entered a final judgment under
paragraph (5) in favor of the Secretary, the Attorney
General, at the request of the Secretary, shall recover the
amount of the civil penalty (plus interest at prevailing
rates from the day the assessment or order, or both, are
final) or enforce the order in an action brought in the
appropriate district court of the United States. In such
action, the validity and appropriateness of the penalty or
order or the amount of the penalty shall not be subject to
review.

``SEC. 4304. PREEMPTION.

``Nothing in this part is intended to preempt any provision
of law of a State or political subdivision of a State that is
more restrictive than a provision of this part.''.
TITLE V--PROMOTING INFORMED PARENTAL CHOICE AND INNOVATIVE PROGRAMS

SEC. 501. INNOVATIVE PROGRAMS AND PARENTAL CHOICE PROVISIONS.

Title V (20 U.S.C. 7201 et seq.) is amended to read as
follows:
``TITLE V--PROMOTING INFORMED PARENTAL CHOICE AND INNOVATIVE PROGRAMS

``PART A--INNOVATIVE PROGRAMS

``SEC. 5101. PURPOSES, STATE AND LOCAL RESPONSIBILITY.

``(a) Purposes.--The purposes of this part are the
following:
``(1) To support local education reform efforts that are
consistent with and support statewide education reform
efforts.
``(2) To provide funding to enable State educational
agencies and local educational agencies to implement
promising educational reform programs and school improvement
programs based on scientifically based research.
``(3) To provide a continuing source of innovation and
educational improvement, including support programs to
provide library services and instructional and media
materials.
``(4) To meet the educational needs of all students,
including at-risk youth.
``(5) To develop and implement education programs to
improve school, student, and teacher performance, including
professional development activities and class size reduction
programs.
``(b) State and Local Responsibility.--The State
educational agency shall bear the basic responsibility for
the administration of funds made available under this part,
but it is the intent of Congress that the responsibility be
carried out with a minimum of paperwork and that the
responsibility for the design and implementation of programs
assisted under this part be mainly that of local educational
agencies, school superintendents and principals, and
classroom teachers and supporting personnel, because local
educational agencies and individuals have the most direct
contact with students and are most likely to be able to
design programs to meet the educational needs of students in
their own school districts.

``Subpart 1--State and Local Programs

``SEC. 5111. ALLOTMENT TO STATES.

``(a) In General.--From the sums appropriated to carry out
this part for each fiscal year and not reserved under
subsection (b), the Secretary shall allot, and make available
in accordance with this part, to each State educational
agency an amount that bears the same ratio to such sums as
the school-age population of the State bears to the school-
age population of all States, except that no State shall
receive less than an amount equal to \1/2\ of 1 percent of
such sums.
``(b) Reservation.--From the sums appropriated to carry out
this part for each fiscal year, the Secretary shall reserve
not more than 1 percent for payments to the outlying areas,
to be allotted in accordance with their respective needs for
assistance under this part.

``SEC. 5112. ALLOCATION TO LOCAL EDUCATIONAL AGENCIES.

``(a) Distribution Rule.--
``(1) Allocation of base amounts.--From the amount made
available to a State educational agency under this part for a
fiscal year, the State educational agency shall distribute,
to local educational agencies within the State, an amount
that is not less than 85 percent of the amount made available
to the State educational agency under this part for fiscal
year 2002, according to the relative enrollments in public
and in private nonprofit schools within the jurisdictions of
such local educational agencies, adjusted, in accordance with
criteria approved by the Secretary, to provide higher per-
pupil allocations to local educational agencies that have the
greatest numbers or percentages of children whose education
imposes a higher-than-average cost per child, such as--
``(A) children living in areas with high concentrations of
economically disadvantaged families;
``(B) children from economically disadvantaged families;
and
``(C) children living in sparsely populated areas.
``(2) Allocation of increased amounts.--From the amount
made available to a State educational agency under this part
for a fiscal year that exceeds the amount made available to
the agency under this part for fiscal year 2002, the State
educational agency shall distribute 100 percent (or, in the
case of a State educational agency receiving a minimum
allotment under section 5111(a), not less than 50 percent,
notwithstanding subsection (b)) to local educational agencies
within the State, on the same basis as the State educational
agency distributes amounts under paragraph (1).
``(b) Limitations and Requirements.--Not more than 15
percent of funds made available under section 5111 for State
programs under this part for any fiscal year may be used for
State administration under section 5121.
``(c) Calculation of Enrollments.--
``(1) In general.--The calculation of relative enrollments
under subsection (a)(1) shall be on the basis of the total
of--

[[Page H9865]]

``(A) the number of children enrolled in public schools;
and
``(B) the number of children enrolled in private nonprofit
schools that participated in programs assisted under this
part, for the fiscal year preceding the fiscal year for which
the determination is made.
``(2) Rule of construction.--Nothing in this subsection
shall diminish the responsibility of each local educational
agency to contact, on an annual basis, appropriate officials
from private nonprofit schools within the areas served by
such agencies in order to determine whether such schools
desire that their children participate in programs assisted
under this part.
``(3) Adjustments.--
``(A) State criteria.--Relative enrollments calculated
under subsection (a)(1) shall be adjusted, in accordance with
criteria approved by the Secretary under subparagraph (B), to
provide higher per-pupil allocations only to local
educational agencies that serve the greatest numbers or
percentages of--
``(i) children living in areas with high concentrations of
economically disadvantaged families;
``(ii) children from economically disadvantaged families;
or
``(iii) children living in sparsely populated areas.
``(B) Review of criteria.--The Secretary shall review
criteria submitted by a State educational agency for
adjusting allocations under paragraph (1) and shall approve
such criteria only if the Secretary determines that such
criteria are reasonably calculated to produce an adjusted
allocation that reflects the relative needs of the State's
local educational agencies based on the factors set forth in
subparagraph (A).
``(d) Payment of Allocations.--
``(1) Distribution.--From the funds paid to a State
educational agency under this subpart for a fiscal year, the
State educational agency shall distribute to each eligible
local educational agency that has submitted an application as
required by section 5133 the amount of such local educational
agency's allocation, as determined under subsection (a).
``(2) Additional funds.--
``(A) Use.--Additional funds resulting from higher per-
pupil allocations provided to a local educational agency on
the basis of adjusted enrollments of children described in
subsection (a)(1) may, in the discretion of the local
educational agency, be allocated for expenditures to provide
services for children enrolled in public schools and private
nonprofit schools in direct proportion to the number of
children described in subsection (a)(1) and enrolled in such
schools within the area served by the local educational
agency.
``(B) Allocation.--In any fiscal year, any local
educational agency that elects to allocate such additional
funds in the manner described in subparagraph (A) shall
allocate all additional funds to schools within the area
served by the local educational agency in such manner.
``(C) Rule of construction.--Subparagraphs (A) and (B) may
not be construed to require any school to limit the use of
the additional funds described in subparagraph (A) to the
provision of services to specific students or categories of
students.

``Subpart 2--State Programs

``SEC. 5121. STATE USES OF FUNDS.

``A State educational agency may use funds made available
for State use under section 5112(b) only for one or more of
the following:
``(1) State administration of programs under this part,
including--
``(A) allocating funds to local educational agencies;
``(B) planning, supervising, and processing State
educational agency funds; and
``(C) monitoring and evaluating programs under this part.
``(2) Support for the planning, design, and initial
implementation of charter schools as described in part B.
``(3) Statewide education reform, school improvement
programs and technical assistance and direct grants to local
educational agencies, which assist such agencies under
section 5131.
``(4) Support for the design and implementation of high-
quality yearly student assessments.
``(5) Support for implementation of challenging State and
local academic achievement standards.
``(6) Support for arrangements that provide for independent
analysis to measure and report on school district
achievement.
``(7) Support for the program described in section 321 of
the Departments of Labor, Health and Human Services, and
Education, and Related Agencies Appropriations Act, 2001 (as
enacted into law by section 1(a)(1) of Public Law 106-554).
``(8) Support for programs to assist in the implementation
of the policy described in section 9507 which may include
payment of reasonable transportation costs and tuition costs
for such students.

``SEC. 5122. STATE APPLICATIONS.

``(a) Application Requirements.--Any State that desires to
receive assistance under this part shall submit to the
Secretary an application that includes each of the following:
``(1) Designation of the State educational agency as the
State agency responsible for administration and supervision
of programs assisted under this part.
``(2) Provision for an annual statewide summary of how
assistance under this part is contributing toward improving
student academic achievement or improving the quality of
education for students.
``(3) Information setting forth the allocation of funds
required to implement section 5142.
``(4) A provision that the State educational agency will
keep such records, and provide such information to the
Secretary, as may be required for fiscal audit and program
evaluation (consistent with the responsibilities of the
Secretary under this section).
``(5) An assurance that, apart from providing technical and
advisory assistance and monitoring compliance with this part,
the State educational agency has not exercised, and will not
exercise, any influence in the decisionmaking processes of
local educational agencies as to the expenditure made
pursuant to an application submitted under section 5133.
``(6) An assurance that there is compliance with the
specific requirements of this part.
``(7) Provision for timely public notice and public
dissemination of the information provided under paragraph
(3).
``(b) Statewide Summary.--The statewide summary referred to
in subsection (a)(2) shall be submitted annually to the
Secretary and shall be derived from the evaluation
information submitted by local educational agencies to the
State educational agency under section 5133(b)(8). The State
educational agency shall determine the format and content of
such summary and may include in the summary statistical
measures, such as the number of students served by each type
of innovative assistance program described in section 5131
and the number of teachers trained.
``(c) Period of Application.--An application submitted by
the State educational agency under subsection (a) shall be
for a period not to exceed 3 years. The agency may amend the
application annually, as may be necessary to reflect changes,
without filing a new application.
``(d) Audit Rule.--A local educational agency that receives
less than an average of $10,000 under this part for any 3
consecutive fiscal years shall not be audited more frequently
than once every 5 years.

``Subpart 3--Local Innovative Education Programs

``SEC. 5131. LOCAL USES OF FUNDS.

``(a) Innovative Assistance Programs.--Funds made available
to local educational agencies under section 5112 shall be
used for innovative assistance programs, which may include
any of the following:
``(1) Programs to recruit, train, and hire highly qualified
teachers to reduce class size, especially in the early
grades, and professional development activities carried out
in accordance with title II, that give teachers, principals,
and administrators the knowledge and skills to provide
students with the opportunity to meet challenging State or
local academic content standards and student academic
achievement standards.
``(2) Technology activities related to the implementation
of school-based reform efforts, including professional
development to assist teachers and other school personnel
(including school library media personnel) regarding how to
use technology effectively in the classrooms and the school
library media centers involved.
``(3) Programs for the development or acquisition and use
of instructional and educational materials, including library
services and materials (including media materials), academic
assessments, reference materials, computer software and
hardware for instructional use, and other curricular
materials that are tied to high academic standards, that will
be used to improve student academic achievement, and that are
part of an overall education reform program.
``(4) Promising education reform projects, including magnet
schools.
``(5) Programs to improve the academic achievement of
educationally disadvantaged elementary school and secondary
school students, including activities to prevent students
from dropping out of school.
``(6) Programs to improve the literacy skills of adults,
especially the parents of children served by the local
educational agency, including adult education and family
literacy programs.
``(7) Programs to provide for the educational needs of
gifted and talented children.
``(8) The planning, design, and initial implementation of
charter schools as described in part B.
``(9) School improvement programs or activities under
sections 1116 and 1117.
``(10) Community service programs that use qualified school
personnel to train and mobilize young people to measurably
strengthen their communities through nonviolence,
responsibility, compassion, respect, and moral courage.
``(11) Activities to promote consumer, economic, and
personal finance education, such as disseminating information
on and encouraging use of the best practices for teaching the
basic principles of economics and promoting the concept of
achieving financial literacy through the teaching of personal
financial management skills (including the basic principles
involved with earning, spending, saving, and investing).
``(12) Activities to promote, implement, or expand public
school choice.
``(13) Programs to hire and support school nurses.
``(14) Expansion and improvement of school-based mental
health services, including early identification of drug use
and violence, assessment, and direct individual or group
counseling services provided to students, parents, and school
personnel by qualified school-based mental health services
personnel.
``(15) Alternative educational programs for those students
who have been expelled or suspended from their regular
educational setting, including programs to assist students to
reenter the regular educational setting upon return from
treatment or alternative educational programs.
``(16) Programs to establish or enhance prekindergarten
programs for children.

[[Page H9866]]

``(17) Academic intervention programs that are operated
jointly with community-based organizations and that support
academic enrichment, and counseling programs conducted during
the school day (including during extended school day or
extended school year programs), for students most at risk of
not meeting challenging State academic achievement standards
or not completing secondary school.
``(18) Programs for cardiopulmonary resuscitation (CPR)
training in schools.
``(19) Programs to establish smaller learning communities.
``(20) Activities that encourage and expand improvements
throughout the area served by the local educational agency
that are designed to advance student academic achievement.
``(21) Initiatives to generate, maintain, and strengthen
parental and community involvement.
``(22) Programs and activities that expand learning
opportunities through best-practice models designed to
improve classroom learning and teaching.
``(23) Programs to provide same-gender schools and
classrooms (consistent with applicable law).
``(24) Service learning activities.
``(25) School safety programs, including programs to
implement the policy described in section 9507 and which may
include payment of reasonable transportation costs and
tuition costs for such students.
``(26) Programs that employ research-based cognitive and
perceptual development approaches and rely on a diagnostic-
prescriptive model to improve students' learning of academic
content at the preschool, elementary, and secondary levels.
``(27) Supplemental educational services, as defined in
section 1116(e).
``(b) Requirements.--The innovative assistance programs
described in subsection (a) shall be--
``(1) tied to promoting challenging academic achievement
standards;
``(2) used to improve student academic achievement; and
``(3) part of an overall education reform strategy.
``(c) Guidelines.--Not later than 120 days after the date
of enactment of the No Child Left Behind Act of 2001, the
Secretary shall issue guidelines for local educational
agencies seeking funding for programs described in subsection
(a)(23).

``SEC. 5132. ADMINISTRATIVE AUTHORITY.

``In order to conduct the programs authorized by this part,
each State educational agency or local educational agency may
use funds made available under this part to make grants to,
and to enter into contracts with, local educational agencies,
institutions of higher education, libraries, museums, and
other public and private nonprofit agencies, organizations,
and institutions.

``SEC. 5133. LOCAL APPLICATIONS.

``(a) Submission of Application.--A local educational
agency may receive an allocation of funds under this part for
any year for which the agency submits an application under
this section that the State educational agency certifies
under subsection (b).
``(b) Certification and Contents of Application.--The State
educational agency shall certify each application submitted
under subsection (a) that includes each of the following:
``(1) A description of locally identified needs relative to
the purposes of this part and to the innovative assistance
programs described in section 5131.
``(2) A statement that sets forth the planned allocation of
funds, based on the needs identified in subparagraph (A),
among innovative assistance programs described in section
5131, a description of the programs that the local
educational agency intends to support, and a description
of the reasons for the selection of such programs.
``(3) Information setting forth the allocation of such
funds required to implement section 5142.
``(4) A description of how assistance under this part will
contribute to improving student academic achievement or
improving the quality of education for students.
``(5) An assurance that the local educational agency will
comply with this part, including the provisions of section
5142 concerning the participation of children enrolled in
private nonprofit schools.
``(6) An assurance that the local educational agency will
keep such records, and provide such information to the State
educational agency, as may be reasonably required for fiscal
audit and program evaluation (consistent with the
responsibilities of the State educational agency under this
part).
``(7) Provision, in the allocation of funds for the
assistance authorized by this part and in the planning,
design, and implementation of such innovative assistance
programs, for systematic consultation with parents of
children attending elementary schools and secondary schools
in the area served by the local educational agency, with
teachers and administrative personnel in such schools, and
with such other groups involved in the implementation of this
part (such as librarians, school counselors, and other pupil
services personnel) as may be considered appropriate by the
local educational agency.
``(8) An assurance that--
``(A) programs carried out under this part will be
evaluated annually;
``(B) the evaluation will be used to make decisions about
appropriate changes in programs for the subsequent year;
``(C) the evaluation will describe how assistance under
this part affected student academic achievement and will
include, at a minimum, information and data on the use of
funds, the types of services furnished, and the students
served under this part; and
``(D) the evaluation will be submitted to the State
educational agency at the time and in the manner requested by
the State educational agency.
``(9) If the local educational agency seeks funds under
section 5131(a)(23), a description of how the agency will
comply with the guidelines issued by the Secretary regarding
same-gender schools and classrooms under section 5131(c).
``(b) Period of Application.--An application submitted by a
local educational agency under subsection (a) may seek
allocations under this part for a period not to exceed 3
fiscal years. The agency may amend the application annually,
as may be necessary to reflect changes, without the filing of
a new application.
``(c) Local Educational Agency Discretion.--
``(1) In general.--Subject to the limitations and
requirements of this part, a local educational agency shall
have complete discretion in determining how funds made
available to carry out this subpart will be divided among
programs described in section 5131.
``(2) Limitation.--In exercising the discretion described
in paragraph (1), a local educational agency shall ensure
that expenditures under this subpart carry out the purposes
of this part and are used to meet the educational needs
within the schools served by the local educational agency.

``Subpart 4--General Provisions

``SEC. 5141. MAINTENANCE OF EFFORT.

``(a) In general.--Except as provided in subsection (b), a
State educational agency is entitled to receive its full
allotment of funds under this part for any fiscal year only
if the Secretary determines that either the combined fiscal
effort per student or the aggregate expenditures within the
State, with respect to the provision of free public education
for the fiscal year preceding the fiscal year for which the
determination is made, was not less than 90 percent of such
combined fiscal effort or aggregate expenditures for the
second fiscal year preceding the fiscal year for which the
determination is made.
``(b) Reduction of funds.--The Secretary shall reduce the
amount of the allotment of funds under this part in any
fiscal year in the exact proportion by which the State
educational agency fails to meet the requirements of
subsection (a) by falling below 90 percent of the fiscal
effort per student or aggregate expenditures (using the
measure most favorable to the State educational agency), and
no such lesser amount shall be used for computing the effort
or expenditures required under paragraph (1) for subsequent
years.
``(c) Waiver.--The Secretary may waive, for 1 fiscal year
only, the requirements of this section, if the Secretary
determines that such a waiver would be equitable due to
exceptional or uncontrollable circumstances, such as a
natural disaster or a precipitous and unforeseen decline in
the financial resources of the State educational agency.

``SEC. 5142. PARTICIPATION OF CHILDREN ENROLLED IN PRIVATE
SCHOOLS.

``(a) Participation on Equitable Basis.--
``(1) In general.--To the extent consistent with the number
of children in the school district of a local educational
agency that is eligible to receive funds under this part, or
that serves the area in which a program assisted under this
part is located, who are enrolled in private nonprofit
elementary schools and secondary schools, or, with respect to
instructional or personnel training programs funded by the
State educational agency from funds made available for State
educational agency use, the local educational agency, after
consultation with appropriate private school officials--
``(A) shall provide, as may be necessary, for the benefit
of such children in such schools--
``(i) secular, neutral, and nonideological services,
materials, and equipment, including the participation of the
teachers of such children (and other educational personnel
serving such children) in training programs; and
``(ii) the repair, minor remodeling, or construction of
public facilities (consistent with subsection (c)); or
``(B) if such services, materials, and equipment are not
feasible or necessary in one or more such private schools, as
determined by the local educational agency after consultation
with the appropriate private school officials, shall provide
such other arrangements as will assure equitable
participation of such children in the purposes and benefits
of this part.
``(2) Other provisions for services.--If no program is
carried out under paragraph (1) in the school district of a
local educational agency, the State educational agency shall
make arrangements, such as through contracts with nonprofit
agencies or organizations, under which children in private
schools in the district are provided with services and
materials to the same extent as would have occurred if the
local educational agency had received funds under this part.
``(3) Application of requirements.--The requirements of
this section relating to the participation of children,
teachers, and other personnel serving such children shall
apply to programs carried out under this part by a State
educational agency or local educational agency, whether
directly or through grants to, or contracts with, other
public or private agencies, institutions, or organizations.
``(b) Equal Expenditures.--
``(1) In general.--Expenditures for programs under
subsection (a) shall be equal (consistent with the number of
children to be served) to expenditures for programs under
this part for children enrolled in the public schools of the
local educational agency.
``(2) Concentrated programs.--Taking into account the needs
of the individual children and other factors that relate to
the expenditures

[[Page H9867]]

referred to in paragraph (1), and when funds available to a
local educational agency under this part are used to
concentrate programs on a particular group, attendance area,
or grade or age level, children enrolled in private schools
who are included within the group, attendance area, or grade
or age level selected for such concentration shall, after
consultation with the appropriate private school officials,
be assured equitable participation in the purposes and
benefits of such programs.
``(c) Administrative Requirements.--
``(1) Funds and property.--The control of funds provided
under this part, and title to materials, equipment, and
property repaired, remodeled, or constructed with such funds,
shall be in a public agency for the uses and purposes
provided in this part, and a public agency shall administer
such funds and property.
``(2) Provision of services.--Services provided under this
part shall be provided by employees of a public agency or
through contract by such a public agency with a person,
association, agency, or corporation that, in the provision of
such services, is independent of the private school and of
any religious organizations, and such employment or contract
shall be under the control and supervision of such a public
agency. The funds provided under this part shall not be
commingled with State or local funds.
``(d) Waiver.--
``(1) State prohibition.--If a State educational agency or
local educational agency is prohibited, by reason of any
provision of law, from providing for the participation in
programs of children enrolled in private elementary schools
and secondary schools as required by subsections (a) through
(c), the Secretary shall waive such requirements for the
agency involved and shall arrange for the provision of
services to such children through arrangements that shall be
subject to the requirements of this section.
``(2) Failure to comply.--If the Secretary determines that
a State educational agency or a local educational agency has
substantially failed, or is unwilling, to provide for the
participation on an equitable basis of children enrolled in
private elementary schools and secondary schools as required
by subsections (a) through (c), the Secretary may waive such
requirements and shall arrange for the provision of services
to such children through arrangements that shall be subject
to the requirements of this section.
``(e) Withholding of Allotment or Allocation.--Pending
final resolution of any investigation or complaint that could
result in a waiver under subsection (d)(1) or (d)(2), the
Secretary may withhold from the allotment or allocation of
the affected State educational agency or local educational
agency the amount estimated by the Secretary to be necessary
to pay the cost of services to be provided by the Secretary
under such subsection.
``(f) Duration of Determination.--Any determination by the
Secretary under this section shall continue in effect until
the Secretary determines that there will no longer be any
failure or inability on the part of the State educational
agency or local educational agency to meet the requirements
of subsections (a) through (c).
``(g) Payment From State Allotment.--When the Secretary
arranges for services under subsection (d), the Secretary
shall, after consultation with the appropriate public school
and private school officials, pay the cost of such services,
including the administrative costs of arranging for those
services, from the appropriate allotment of the State
educational agency under this part.
``(h) Review of Determination.--
``(1) Written objections.--The Secretary shall not take any
final action under this section until the State educational
agency and the local educational agency affected by such
action have had an opportunity, for not less than 45 days
after receiving written notice thereof, to submit written
objections and to appear before the Secretary or the
Secretary's designee to show cause why that action should not
be taken.
``(2) Court action.--If a State educational agency or local
educational agency is dissatisfied with the Secretary's final
action after a proceeding under paragraph (1), such agency
may, not later than 60 days after notice of such action, file
with the United States court of appeals for the circuit in
which such State is located a petition for review of that
action. A copy of the petition shall be transmitted by the
clerk of the court to the Secretary. The Secretary thereupon
shall file in the court the record of the proceedings on
which the Secretary based the action, as provided in section
2112 of title 28, United States Code.
``(3) Remand to secretary.--The findings of fact by the
Secretary with respect to a proceeding under paragraph (1),
if supported by substantial evidence, shall be conclusive.
The court, for good cause shown, may remand the case to the
Secretary to take further evidence and the Secretary may make
new or modified findings of fact and may modify the
Secretary's previous action, and shall file in the court the
record of the further proceedings. Such new or modified
findings of fact shall likewise be conclusive, if supported
by substantial evidence.
``(4) Court review.--Upon the filing of a petition under
paragraph (2), the court shall have jurisdiction to affirm
the action of the Secretary or to set such action aside, in
whole or in part. The judgment of the court shall be subject
to review by the Supreme Court upon certiorari or
certification, as provided in section 1254 of title 28,
United States Code.
``(i) Prior Determination.--Any bypass determination by the
Secretary under title VI (as such title was in effect on the
day preceding the date of enactment of the No Child Left
Behind Act of 2001) shall, to the extent consistent with the
purposes of this part, apply to programs under this part.

``SEC. 5143. FEDERAL ADMINISTRATION.

``(a) Technical Assistance.--The Secretary, upon request,
shall provide technical assistance to State educational
agencies and local educational agencies under this part.
``(b) Rulemaking.--The Secretary shall issue regulations
under this part only to the extent that such regulations are
necessary to ensure that there is compliance with the
specific requirements and assurances required by this part.
``(c) Availability of Appropriations.--Notwithstanding any
other provision of law, unless expressly in limitation of
this subsection, funds appropriated in any fiscal year to
carry out programs under this part shall become available for
obligation on July 1 of such fiscal year and shall remain
available for obligation until the end of the subsequent
fiscal year.

``SEC. 5144. SUPPLEMENT, NOT SUPPLANT.

``Funds made available under this part shall be used to
supplement, and not supplant, any other Federal, State, or
local education funds.

``SEC. 5145. DEFINITIONS.

``In this part:
``(1) Local educational agency.--The term `local
educational agency' means a local educational agency or a
consortium of such agencies.
``(2) Public school.--The term `public school' means a
public elementary school or a public secondary school.
``(3) School-age population.--The term `school-age
population' means the population aged 5 through 17.
``(4) State.--The term `State' means each of the 50 States,
the District of Columbia, and the Commonwealth of Puerto
Rico.

``SEC. 5146. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
part--
``(1) $450,000,000 for fiscal year 2002;
``(2) $475,000,000 for fiscal year 2003;
``(3) $500,000,000 for fiscal year 2004;
``(4) $525,000,000 for fiscal year 2005;
``(5) $550,000,000 for fiscal year 2006; and
``(6) $600,000,000 for fiscal year 2007.

``PART B--PUBLIC CHARTER SCHOOLS

``Subpart 1--Charter School Programs

``SEC. 5201. PURPOSE.

``It is the purpose of this subpart to increase national
understanding of the charter schools model by--
``(1) providing financial assistance for the planning,
program design, and initial implementation of charter
schools;
``(2) evaluating the effects of such schools, including the
effects on students, student academic achievement, staff, and
parents;
``(3) expanding the number of high-quality charter schools
available to students across the Nation; and
``(4) encouraging the States to provide support to charter
schools for facilities financing in an amount more nearly
commensurate to the amount the States have typically provided
for traditional public schools.

``SEC. 5202. PROGRAM AUTHORIZED.

``(a) In General.--The Secretary may award grants to State
educational agencies having applications approved pursuant to
section 5203 to enable such agencies to conduct a charter
school grant program in accordance with this subpart.
``(b) Special Rule.--If a State educational agency elects
not to participate in the program authorized by this subpart
or does not have an application approved under section 5203,
the Secretary may award a grant to an eligible applicant that
serves such State and has an application approved pursuant to
section 5203(c).
``(c) Program Periods.--
``(1) Grants to states.--Grants awarded to State
educational agencies under this subpart shall be for a period
of not more than 3 years.
``(2) Grants to eligible applicants.--Grants awarded by the
Secretary to eligible applicants or subgrants awarded by
State educational agencies to eligible applicants under this
subpart shall be for a period of not more than 3 years, of
which the eligible applicant may use--
``(A) not more than 18 months for planning and program
design;
``(B) not more than 2 years for the initial implementation
of a charter school; and
``(C) not more than 2 years to carry out dissemination
activities described in section 5204(f)(6)(B).
``(d) Limitation.--A charter school may not receive--
``(1) more than 1 grant for activities described in
subparagraphs (A) and (B) of subsection (c)(2); or
``(2) more than 1 grant for activities under subparagraph
(C) of subsection (c)(2).
``(e) Priority Treatment.--
``(1) In general.--In awarding grants under this subpart
for fiscal year 2002 or any succeeding fiscal year from any
funds appropriated under section 5211 (other than funds
reserved to carry out section 5205(b)), the Secretary shall
give priority to States to the extent that the States meet
the criteria described in paragraph (2) and 1 or more of the
criteria described in subparagraph (A), (B), or (C) of
paragraph (3).
``(2) Review and evaluation priority criteria.--The
criteria referred to in paragraph (1) are that the State
provides for periodic review and evaluation by the authorized
public chartering agency of each charter school, at least
once every 5 years unless required more frequently by State
law, to determine whether the charter school is meeting the
terms of the school's charter, and is meeting or exceeding
the student academic achievement requirements and goals for
charter schools as set forth under State law or the school's
charter.
``(3) Priority criteria.--The criteria referred to in
paragraph (1) are the following:

[[Page H9868]]

``(A) The State has demonstrated progress, in increasing
the number of high-quality charter schools that are held
accountable in the terms of the schools' charters for meeting
clear and measurable objectives for the educational progress
of the students attending the schools, in the period prior to
the period for which a State educational agency or eligible
applicant applies for a grant under this subpart.
``(B) The State--
``(i) provides for 1 authorized public chartering agency
that is not a local educational agency, such as a State
chartering board, for each individual or entity seeking to
operate a charter school pursuant to such State law; or
``(ii) in the case of a State in which local educational
agencies are the only authorized public chartering agencies,
allows for an appeals process for the denial of an
application for a charter school.
``(C) The State ensures that each charter school has a high
degree of autonomy over the charter school's budgets and
expenditures.
``(f) Amount Criteria.--In determining the amount of a
grant to be awarded under this subpart to a State educational
agency, the Secretary shall take into consideration the
number of charter schools that are operating, or are approved
to open, in the State.

``SEC. 5203. APPLICATIONS.

``(a) Applications From State Agencies.--Each State
educational agency desiring a grant from the Secretary under
this subpart shall submit to the Secretary an application at
such time, in such manner, and containing or accompanied by
such information as the Secretary may require.
``(b) Contents of a State Educational Agency Application.--
Each application submitted pursuant to subsection (a) shall--
``(1) describe the objectives of the State educational
agency's charter school grant program and a description of
how such objectives will be fulfilled, including steps taken
by the State educational agency to inform teachers, parents,
and communities of the State educational agency's charter
school grant program; and
``(2) describe how the State educational agency--
``(A) will inform each charter school in the State
regarding--
``(i) Federal funds that the charter school is eligible to
receive; and
``(ii) Federal programs in which the charter school may
participate;
``(B) will ensure that each charter school in the State
receives the charter school's commensurate share of Federal
education funds that are allocated by formula each year,
including during the first year of operation of the charter
school; and
``(C) will disseminate best or promising practices of
charter schools to each local educational agency in the
State; and
``(3) contain assurances that the State educational agency
will require each eligible applicant desiring to receive a
subgrant to submit an application to the State educational
agency containing--
``(A) a description of the educational program to be
implemented by the proposed charter school, including--
``(i) how the program will enable all students to meet
challenging State student academic achievement standards;
``(ii) the grade levels or ages of children to be served;
and
``(iii) the curriculum and instructional practices to be
used;
``(B) a description of how the charter school will be
managed;
``(C) a description of--
``(i) the objectives of the charter school; and
``(ii) the methods by which the charter school will
determine its progress toward achieving those objectives;
``(D) a description of the administrative relationship
between the charter school and the authorized public
chartering agency;
``(E) a description of how parents and other members of the
community will be involved in the planning, program design,
and implementation of the charter school;
``(F) a description of how the authorized public chartering
agency will provide for continued operation of the school
once the Federal grant has expired, if such agency determines
that the school has met the objectives described in
subparagraph (C)(i);
``(G) a request and justification for waivers of any
Federal statutory or regulatory provisions that the eligible
applicant believes are necessary for the successful operation
of the charter school, and a description of any State or
local rules, generally applicable to public schools, that
will be waived for, or otherwise not apply to, the school;
``(H) a description of how the subgrant funds or grant
funds, as appropriate, will be used, including a description
of how such funds will be used in conjunction with other
Federal programs administered by the Secretary;
``(I) a description of how students in the community will
be--
``(i) informed about the charter school; and
``(ii) given an equal opportunity to attend the charter
school;
``(J) an assurance that the eligible applicant will
annually provide the Secretary and the State educational
agency such information as may be required to determine if
the charter school is making satisfactory progress toward
achieving the objectives described in subparagraph (C)(i);
``(K) an assurance that the eligible applicant will
cooperate with the Secretary and the State educational agency
in evaluating the program assisted under this subpart;
``(L) a description of how a charter school that is
considered a local educational agency under State law, or a
local educational agency in which a charter school is
located, will comply with sections 613(a)(5) and 613(e)(1)(B)
of the Individuals with Disabilities Education Act;
``(M) if the eligible applicant desires to use subgrant
funds for dissemination activities under section
5202(c)(2)(C), a description of those activities and how
those activities will involve charter schools and other
public schools, local educational agencies, developers, and
potential developers; and
``(N) such other information and assurances as the
Secretary and the State educational agency may require.
``(c) Eligible Applicant Application.--Each eligible
applicant desiring a grant pursuant to section 5202(b) shall
submit an application to the Secretary at such time, in such
manner, and accompanied by such information as the Secretary
may reasonably require.
``(d) Contents of Eligible Applicant Application.--Each
application submitted pursuant to subsection (c) shall
contain--
``(1) the information and assurances described in
subparagraphs (A) through (N) of subsection (b)(3), except
that for purposes of this subsection subparagraphs (J), (K),
and (N) of such subsection shall be applied by striking `and
the State educational agency' each place such term appears;
``(2) assurances that the State educational agency--
``(A) will grant, or will obtain, waivers of State
statutory or regulatory requirements; and
``(B) will assist each subgrantee in the State in receiving
a waiver under section 5204(e); and
``(3) assurances that the eligible applicant has provided
its authorized public chartering authority timely notice, and
a copy, of the application, except that the State educational
agency (or the Secretary, in the case of an application
submitted to the Secretary) may waive the requirement of this
paragraph in the case of an application for a precharter
planning grant or subgrant if the authorized public
chartering authority to which a charter school proposal will
be submitted has not been determined at the time the grant or
subgrant application is submitted.

``SEC. 5204. ADMINISTRATION.

``(a) Selection Criteria for State Educational Agencies.--
The Secretary shall award grants to State educational
agencies under this subpart on the basis of the quality of
the applications submitted under section 5203(b), after
taking into consideration such factors as--
``(1) the contribution that the charter schools grant
program will make to assisting educationally disadvantaged
and other students in meeting State academic content
standards and State student academic achievement standards;
``(2) the degree of flexibility afforded by the State
educational agency to charter schools under the State's
charter schools law;
``(3) the ambitiousness of the objectives for the State
charter school grant program;
``(4) the quality of the strategy for assessing achievement
of those objectives;
``(5) the likelihood that the charter school grant program
will meet those objectives and improve educational results
for students;
``(6) the number of high-quality charter schools created
under this subpart in the State; and
``(7) in the case of State educational agencies that
propose to use grant funds to support dissemination
activities under subsection (f)(6)(B), the quality of those
activities and the likelihood that those activities will
improve student academic achievement.
``(b) Selection Criteria for Eligible Applicants.--The
Secretary shall award grants to eligible applicants under
this subpart on the basis of the quality of the applications
submitted under section 5203(c), after taking into
consideration such factors as--
``(1) the quality of the proposed curriculum and
instructional practices;
``(2) the degree of flexibility afforded by the State
educational agency and, if applicable, the local educational
agency to the charter school;
``(3) the extent of community support for the application;
``(4) the ambitiousness of the objectives for the charter
school;
``(5) the quality of the strategy for assessing achievement
of those objectives;
``(6) the likelihood that the charter school will meet
those objectives and improve educational results for
students; and
``(7) in the case of an eligible applicant that proposes to
use grant funds to support dissemination activities under
subsection (f)(6)(B), the quality of those activities and the
likelihood that those activities will improve student
achievement.
``(c) Peer Review.--The Secretary, and each State
educational agency receiving a grant under this subpart,
shall use a peer review process to review applications for
assistance under this subpart.
``(d) Diversity of Projects.--The Secretary and each State
educational agency receiving a grant under this subpart,
shall award grants and subgrants under this subpart in a
manner that, to the extent possible, ensures that such grants
and subgrants--
``(1) are distributed throughout different areas of the
Nation and each State, including urban and rural areas; and
``(2) will assist charter schools representing a variety of
educational approaches, such as approaches designed to reduce
school size.
``(e) Waivers.--The Secretary may waive any statutory or
regulatory requirement over which the Secretary exercises
administrative authority except any such requirement relating
to the elements of a charter school described in section
5210(1), if--
``(1) the waiver is requested in an approved application
under this subpart; and
``(2) the Secretary determines that granting such a waiver
will promote the purpose of this subpart.

[[Page H9869]]

``(f) Use of Funds.--
``(1) State educational agencies.--Each State educational
agency receiving a grant under this subpart shall use such
grant funds to award subgrants to 1 or more eligible
applicants in the State to enable such applicant to plan and
implement a charter school in accordance with this subpart,
except that the State educational agency may reserve not more
than 10 percent of the grant funds to support dissemination
activities described in paragraph (6).
``(2) Eligible applicants.--Each eligible applicant
receiving funds from the Secretary or a State educational
agency shall use such funds to plan and implement a charter
school, or to disseminate information about the charter
school and successful practices in the charter school, in
accordance with this subpart.
``(3) Allowable activities.--An eligible applicant
receiving a grant or subgrant under this subpart may use the
grant or subgrant funds only for--
(A) post-award planning and design of the educational
program, which may include--
``(i) refinement of the desired educational results and of
the methods for measuring progress toward achieving those
results; and
``(ii) professional development of teachers and other staff
who will work in the charter school; and
``(B) initial implementation of the charter school, which
may include--
``(i) informing the community about the school;
``(ii) acquiring necessary equipment and educational
materials and supplies;
``(iii) acquiring or developing curriculum materials; and
``(iv) other initial operational costs that cannot be met
from State or local sources.
``(4) Administrative expenses.--
``(A) State educational agency administrative expenses.--
Each State educational agency receiving a grant pursuant to
this subpart may reserve not more than 5 percent of such
grant funds for administrative expenses associated with the
charter school grant program assisted under this subpart.
``(B) Local administrative expenses.--A local educational
agency may not deduct funds for administrative fees or
expenses from a subgrant awarded to an eligible applicant,
unless the eligible applicant enters voluntarily into a
mutually agreed upon arrangement for administrative services
with the relevant local educational agency. Absent such
approval, the local educational agency shall distribute all
such subgrant funds to the eligible applicant without delay.
``(5) Revolving loan funds.--Each State educational agency
receiving a grant pursuant to this subpart may reserve not
more than 10 percent of the grant funds for the establishment
of a revolving loan fund. Such fund may be used to make loans
to eligible applicants that have received a subgrant under
this subpart, under such terms as may be determined by the
State educational agency, for the initial operation of the
charter school grant program of the eligible applicant until
such time as the recipient begins receiving ongoing
operational support from State or local financing sources.
``(6) Dissemination.--
``(A) In general.--A charter school may apply for funds
under this subpart, whether or not the charter school has
applied for or received funds under this subpart for
planning, program design, or implementation, to carry out the
activities described in subparagraph (B) if the charter
school has been in operation for at least 3 consecutive years
and has demonstrated overall success, including--
``(i) substantial progress in improving student academic
achievement;
``(ii) high levels of parent satisfaction; and
``(iii) the management and leadership necessary to overcome
initial start-up problems and establish a thriving,
financially viable charter school.
``(B) Activities.--A charter school described in
subparagraph (A) may use funds reserved under paragraph (1)
to assist other schools in adapting the charter school's
program (or certain aspects of the charter school's program),
or to disseminate information about the charter school,
through such activities as--
``(i) assisting other individuals with the planning and
start-up of 1 or more new public schools, including charter
schools, that are independent of the assisting charter school
and the assisting charter school's developers, and that agree
to be held to at least as high a level of accountability as
the assisting charter school;
``(ii) developing partnerships with other public schools,
including charter schools, designed to improve student
academic achievement in each of the schools participating in
the partnership;
``(iii) developing curriculum materials, assessments, and
other materials that promote increased student achievement
and are based on successful practices within the assisting
charter school; and
``(iv) conducting evaluations and developing materials that
document the successful practices of the assisting charter
school and that are designed to improve student performance
in other schools.
``(g) Tribally Controlled Schools.--Each State that
receives a grant under this subpart and designates a tribally
controlled school as a charter school shall not consider
payments to a school under the Tribally Controlled Schools
Act of 1988 (25 U.S.C. 2507) in determining--
``(1) the eligibility of the school to receive any other
Federal, State, or local aid; or
``(2) the amount of such aid.

``SEC. 5205. NATIONAL ACTIVITIES.

``(a) In General.--The Secretary shall reserve for each
fiscal year the greater of 5 percent or $5,000,000 of the
amount appropriated to carry out this subpart, except that in
no fiscal year shall the total amount so reserved exceed
$8,000,000, to carry out the following activities:
``(1) To provide charter schools, either directly or
through State educational agencies, with--
``(A) information regarding--
``(i) Federal funds that charter schools are eligible to
receive; and
``(ii) other Federal programs in which charter schools may
participate; and
``(B) assistance in applying for Federal education funds
that are allocated by formula, including assistance with
filing deadlines and submission of applications.
``(2) To provide for other evaluations or studies that
include the evaluation of the impact of charter schools on
student academic achievement, including information
regarding--
``(A) students attending charter schools reported on the
basis of race, age, disability, gender, limited English
proficiency, and previous enrollment in public school; and
``(B) the professional qualifications of teachers within a
charter school and the turnover of the teaching force.
``(3) To provide--
``(A) information to applicants for assistance under this
subpart;
``(B) assistance to applicants for assistance under this
subpart with the preparation of applications under section
5203;
``(C) assistance in the planning and startup of charter
schools;
``(D) training and technical assistance to existing charter
schools; and
``(E) for the dissemination to other public schools of best
or promising practices in charter schools.
``(4) To provide (including through the use of 1 or more
contracts that use a competitive bidding process) for the
collection of information regarding the financial resources
available to charter schools, including access to private
capital, and to widely disseminate to charter schools any
such relevant information and model descriptions of
successful programs.
``(5) To carry out evaluations of, technical assistance
for, and information dissemination regarding, the per-pupil
facilities aid programs. In carrying out the evaluations, the
Secretary may carry out 1 or more evaluations of State
programs assisted under this subsection, which shall, at a
minimum, address--
``(A) how, and the extent to which, the programs promote
educational equity and excellence; and
``(B) the extent to which charter schools supported through
the programs are--
``(i) held accountable to the public;
``(ii) effective in improving public education; and
``(iii) open and accessible to all students.
``(b) Per-Pupil Facilities Aid Programs.--
``(1) Definition of per-pupil facilities aid program.--In
this subsection, the term `per-pupil facilities aid program'
means a program in which a State makes payments, on a per-
pupil basis, to charter schools to provide the schools with
financing--
``(A) that is dedicated solely for funding charter school
facilities; or
``(B) a portion of which is dedicated for funding charter
school facilities.
``(2) Grants.--
``(A) In general.--From the amount made available to carry
out this subsection under paragraphs (2) and (3)(B) of
section 5211(b) for any fiscal year, the Secretary shall make
grants, on a competitive basis, to States to pay for the
Federal share of the cost of establishing or enhancing, and
administering per-pupil facilities aid programs.
``(B) Period.--The Secretary shall award grants under this
subsection for periods of not more than 5 years.
``(C) Federal share.--The Federal share of the cost
described in subparagraph (A) for a per-pupil facilities aid
program shall be not more than--
``(i) 90 percent of the cost, for the first fiscal year for
which the program receives assistance under this subsection;
``(ii) 80 percent in the second such year;
``(iii) 60 percent in the third such year;
``(iv) 40 percent in the fourth such year; and
``(v) 20 percent in the fifth such year.
``(3) Use of funds.--
``(A) In general.--A State that receives a grant under this
subsection shall use the funds made available through the
grant to establish or enhance, and administer, a per-pupil
facilities aid program for charter schools in the State.
``(B) Evaluations; technical assistance; dissemination.--
From the amount made available to a State through a grant
under this subsection for a fiscal year, the State may
reserve not more than 5 percent to carry out evaluations, to
provide technical assistance, and to disseminate information.
``(C) Supplement, not supplant.--Funds made available under
this subsection shall be used to supplement, and not
supplant, State and local public funds expended to provide
per pupil facilities aid programs, operations financing
programs, or other programs, for charter schools.
``(4) Requirements.--
``(A) Voluntary participation.--No State may be required to
participate in a program carried out under this subsection.
``(B) State law.--To be eligible to receive a grant under
this subsection, a State shall establish or enhance, and
administer, a per-pupil facilities aid program for charter
schools in the State, that--
``(i) is specified in State law; and
``(ii) provides annual financing, on a per-pupil basis, for
charter school facilities.
``(5) Applications.--To be eligible to receive a grant
under this subsection, a State shall submit an application to
the Secretary at such time, in such manner, and containing
such information as the Secretary may require.
``(6) Priorities.--In making grants under this subsection,
the Secretary shall give priority to

[[Page H9870]]

States that meet the criteria described in paragraph (2), and
subparagraphs (A), (B), and (C) of paragraph (3), of section
5202(e).
``(c) Rule of Construction.--Nothing in this section shall
be construed to require charter schools to collect any data
described in subsection (a).

``SEC. 5206. FEDERAL FORMULA ALLOCATION DURING FIRST YEAR AND
FOR SUCCESSIVE ENROLLMENT EXPANSIONS.

``(a) In General.--For purposes of the allocation to
schools by the States or their agencies of funds under part A
of title I, and any other Federal funds which the Secretary
allocates to States on a formula basis, the Secretary and
each State educational agency shall take such measures as are
necessary to ensure that every charter school receives the
Federal funding for which the charter school is eligible not
later than 5 months after the charter school first opens,
notwithstanding the fact that the identity and
characteristics of the students enrolling in that charter
school are not fully and completely determined until that
charter school actually opens. The measures similarly shall
ensure that every charter school expanding its enrollment in
any subsequent year of operation receives the Federal funding
for which the charter school is eligible not later than 5
months after such expansion.
``(b) Adjustment and Late Openings.--
``(1) In general.--The measures described in subsection (a)
shall include provision for appropriate adjustments, through
recovery of funds or reduction of payments for the succeeding
year, in cases where payments made to a charter school on the
basis of estimated or projected enrollment data exceed the
amounts that the school is eligible to receive on the basis
of actual or final enrollment data.
``(2) Rule.--For charter schools that first open after
November 1 of any academic year, the State, in accordance
with guidance provided by the Secretary and applicable
Federal statutes and regulations, shall ensure that such
charter schools that are eligible for the funds described in
subsection (a) for such academic year have a full and fair
opportunity to receive those funds during the charter
schools' first year of operation.

``SEC. 5207. SOLICITATION OF INPUT FROM CHARTER SCHOOL
OPERATORS.

``To the extent practicable, the Secretary shall ensure
that administrators, teachers, and other individuals directly
involved in the operation of charter schools are consulted in
the development of any rules or regulations required to
implement this subpart, as well as in the development of any
rules or regulations relevant to charter schools that are
required to implement part A of title I, the Individuals with
Disabilities Education Act, or any other program
administered by the Secretary that provides education
funds to charter schools or regulates the activities of
charter schools.

``SEC. 5208. RECORDS TRANSFER.

``State educational agencies and local educational
agencies, to the extent practicable, shall ensure that a
student's records and, if applicable, a student's
individualized education program as defined in section
602(11) of the Individuals with Disabilities Education Act,
are transferred to a charter school upon the transfer of the
student to the charter school, and to another public school
upon the transfer of the student from a charter school to
another public school, in accordance with applicable State
law.

``SEC. 5209. PAPERWORK REDUCTION.

``To the extent practicable, the Secretary and each
authorized public chartering agency shall ensure that
implementation of this subpart results in a minimum of
paperwork for any eligible applicant or charter school.

``SEC. 5210. DEFINITIONS.

``In this subpart:
``(1) Charter school.--The term `charter school' means a
public school that--
``(A) in accordance with a specific State statute
authorizing the granting of charters to schools, is exempt
from significant State or local rules that inhibit the
flexible operation and management of public schools, but not
from any rules relating to the other requirements of this
paragraph;
``(B) is created by a developer as a public school, or is
adapted by a developer from an existing public school, and is
operated under public supervision and direction;
``(C) operates in pursuit of a specific set of educational
objectives determined by the school's developer and agreed to
by the authorized public chartering agency;
``(D) provides a program of elementary or secondary
education, or both;
``(E) is nonsectarian in its programs, admissions policies,
employment practices, and all other operations, and is not
affiliated with a sectarian school or religious institution;
``(F) does not charge tuition;
``(G) complies with the Age Discrimination Act of 1975,
title VI of the Civil Rights Act of 1964, title IX of the
Education Amendments of 1972, section 504 of the
Rehabilitation Act of 1973, and part B of the Individuals
with Disabilities Education Act;
``(H) is a school to which parents choose to send their
children, and that admits students on the basis of a lottery,
if more students apply for admission than can be
accommodated;
``(I) agrees to comply with the same Federal and State
audit requirements as do other elementary schools and
secondary schools in the State, unless such requirements are
specifically waived for the purpose of this program;
``(J) meets all applicable Federal, State, and local health
and safety requirements;
``(K) operates in accordance with State law; and
``(L) has a written performance contract with the
authorized public chartering agency in the State that
includes a description of how student performance will be
measured in charter schools pursuant to State assessments
that are required of other schools and pursuant to any other
assessments mutually agreeable to the authorized public
chartering agency and the charter school.
``(2) Developer.--The term `developer' means an individual
or group of individuals (including a public or private
nonprofit organization), which may include teachers,
administrators and other school staff, parents, or other
members of the local community in which a charter school
project will be carried out.
``(3) Eligible applicant.--The term `eligible applicant'
means a developer that has--
``(A) applied to an authorized public chartering authority
to operate a charter school; and
``(B) provided adequate and timely notice to that authority
under section 5203(d)(3).
``(4) Authorized public chartering agency.--The term
`authorized public chartering agency' means a State
educational agency, local educational agency, or other public
entity that has the authority pursuant to State law and
approved by the Secretary to authorize or approve a charter
school.

``SEC. 5211. AUTHORIZATION OF APPROPRIATIONS.

``(a) In General.--There are authorized to be appropriated
to carry out this subpart $300,000,000 for fiscal year 2002
and such sums as may be necessary for each of the 5
succeeding fiscal years.
``(b) Reservation.--From the amount appropriated under
subsection (a) for each fiscal year, the Secretary shall
reserve--
``(1) $200,000,000 to carry out this subpart, other than
section 5205(b); and
``(2) any funds in excess of $200,000,000, that do not
exceed $300,000,000, to carry out section 5205(b); and
``(3)(A) 50 percent of any funds in excess of $300,000,000
to carry out this subpart, other than section 5205(b); and
``(B) 50 percent of any funds in excess of $300,000,000 to
carry out section 5205(b).

``Subpart 2--Credit Enhancement Initiatives To Assist Charter School
Facility Acquisition, Construction, and Renovation

``SEC. 5221. PURPOSE.

``The purpose of this subpart is to provide grants to
eligible entities to permit the eligible entities to
demonstrate innovative credit enhancement initiatives that
assist charter schools to address the cost of acquiring,
constructing, and renovating facilities.

``SEC. 5222. GRANTS TO ELIGIBLE ENTITIES.

``(a) Grants.--The Secretary shall use 100 percent of the
amount available to carry out this subpart to award not less
than 3 grants to eligible entities that have applications
approved under this subpart to demonstrate innovative methods
of assisting charter schools to address the cost of
acquiring, constructing, and renovating facilities by
enhancing the availability of loans or bond financing.
``(b) Grantee Selection.--
``(1) Evaluation of application.--The Secretary shall
evaluate each application submitted under section 5223, and
shall determine whether the application is sufficient to
merit approval.
``(2) Distribution of grants.--The Secretary shall award at
least 1 grant to an eligible entity described in section
5230(2)(A), at least 1 grant to an eligible entity described
in section 5230(2)(B), and at least 1 grant to an eligible
entity described in section 5230(2)(C), if applications are
submitted that permit the Secretary to do so without
approving an application that is not of sufficient quality to
merit approval.
``(c) Grant Characteristics.--Grants under this subpart
shall be of a sufficient size, scope, and quality so as to
ensure an effective demonstration of an innovative means of
enhancing credit for the financing of charter school
acquisition, construction, or renovation.
``(d) Special Rule.--In the event the Secretary determines
that the funds made available under this subpart are
insufficient to permit the Secretary to award not less than 3
grants in accordance with subsections (a) through (c), such
3-grant minimum and subsection (b)(2) shall not apply, and
the Secretary may determine the appropriate number of grants
to be awarded in accordance with subsection (c).

``SEC. 5223. APPLICATIONS.

``(a) In General.--To receive a grant under this subpart,
an eligible entity shall submit to the Secretary an
application in such form as the Secretary may reasonably
require.
``(b) Contents.--An application submitted under subsection
(a) shall contain--
``(1) a statement identifying the activities proposed to be
undertaken with funds received under this subpart, including
how the eligible entity will determine which charter schools
will receive assistance, and how much and what types of
assistance charter schools will receive;
``(2) a description of the involvement of charter schools
in the application's development and the design of the
proposed activities;
``(3) a description of the eligible entity's expertise in
capital market financing;
``(4) a description of how the proposed activities will
leverage the maximum amount of private-sector financing
capital relative to the amount of government funding used and
otherwise enhance credit available to charter schools;
``(5) a description of how the eligible entity possesses
sufficient expertise in education to evaluate the likelihood
of success of a charter school program for which facilities
financing is sought;
``(6) in the case of an application submitted by a State
governmental entity, a description of the actions that the
entity has taken, or will take, to ensure that charter
schools within the State receive the funding the charter
schools need to have adequate facilities; and
``(7) such other information as the Secretary may
reasonably require.

[[Page H9871]]

``SEC. 5224. CHARTER SCHOOL OBJECTIVES.

``An eligible entity receiving a grant under this subpart
shall use the funds deposited in the reserve account
established under section 5225(a) to assist 1 or more charter
schools to access private sector capital to accomplish 1 or
both of the following objectives:
``(1) The acquisition (by purchase, lease, donation, or
otherwise) of an interest (including an interest held by a
third party for the benefit of a charter school) in improved
or unimproved real property that is necessary to commence or
continue the operation of a charter school.
``(2) The construction of new facilities, or the
renovation, repair, or alteration of existing facilities,
necessary to commence or continue the operation of a charter
school.

``SEC. 5225. RESERVE ACCOUNT.

``(a) Use of Funds.--To assist charter schools to
accomplish the objectives described in section 5224, an
eligible entity receiving a grant under this subpart shall,
in accordance with State and local law, directly or
indirectly, alone or in collaboration with others, deposit
the funds received under this subpart (other than funds used
for administrative costs in accordance with section 5226) in
a reserve account established and maintained by the eligible
entity for this purpose. Amounts deposited in such account
shall be used by the eligible entity for 1 or more of the
following purposes:
``(1) Guaranteeing, insuring, and reinsuring bonds, notes,
evidences of debt, loans, and interests therein, the proceeds
of which are used for an objective described in section 5224.
``(2) Guaranteeing and insuring leases of personal and real
property for an objective described in section 5224.
``(3) Facilitating financing by identifying potential
lending sources, encouraging private lending, and other
similar activities that directly promote lending to, or for
the benefit of, charter schools.
``(4) Facilitating the issuance of bonds by charter
schools, or by other public entities for the benefit of
charter schools, by providing technical, administrative, and
other appropriate assistance (including the recruitment of
bond counsel, underwriters, and potential investors and the
consolidation of multiple charter school projects within a
single bond issue).
``(b) Investment.--Funds received under this subpart and
deposited in the reserve account established under subsection
(a) shall be invested in obligations issued or guaranteed by
the United States or a State, or in other similarly low-risk
securities.
``(c) Reinvestment of Earnings.--Any earnings on funds
received under this subpart shall be deposited in the reserve
account established under subsection (a) and used in
accordance with such subsection.

``SEC. 5226. LIMITATION ON ADMINISTRATIVE COSTS.

``An eligible entity may use not more than 0.25 percent of
the funds received under this subpart for the administrative
costs of carrying out its responsibilities under this
subpart.

``SEC. 5227. AUDITS AND REPORTS.

``(a) Financial Record Maintenance and Audit.--The
financial records of each eligible entity receiving a grant
under this subpart shall be maintained in accordance with
generally accepted accounting principles and shall be subject
to an annual audit by an independent public accountant.
``(b) Reports.--
``(1) Grantee annual reports.--Each eligible entity
receiving a grant under this subpart annually shall submit to
the Secretary a report of its operations and activities under
this subpart.
``(2) Contents.--Each annual report submitted under
paragraph (1) shall include--
``(A) a copy of the most recent financial statements, and
any accompanying opinion on such statements, prepared by the
independent public accountant reviewing the financial records
of the eligible entity;
``(B) a copy of any report made on an audit of the
financial records of the eligible entity that was conducted
under subsection (a) during the reporting period;
``(C) an evaluation by the eligible entity of the
effectiveness of its use of the Federal funds provided under
this subpart in leveraging private funds;
``(D) a listing and description of the charter schools
served during the reporting period;
``(E) a description of the activities carried out by the
eligible entity to assist charter schools in meeting the
objectives set forth in section 5224; and
``(F) a description of the characteristics of lenders and
other financial institutions participating in the activities
undertaken by the eligible entity under this subpart during
the reporting period.
``(3) Secretarial report.--The Secretary shall review the
reports submitted under paragraph (1) and shall provide a
comprehensive annual report to Congress on the activities
conducted under this subpart.

``SEC. 5228. NO FULL FAITH AND CREDIT FOR GRANTEE
OBLIGATIONS.

``No financial obligation of an eligible entity entered
into pursuant to this subpart (such as an obligation under a
guarantee, bond, note, evidence of debt, or loan) shall be an
obligation of, or guaranteed in any respect by, the United
States. The full faith and credit of the United States is not
pledged to the payment of funds which may be required to be
paid under any obligation made by an eligible entity pursuant
to any provision of this subpart.

``SEC. 5229. RECOVERY OF FUNDS.

``(a) In General.--The Secretary, in accordance with
chapter 37 of title 31, United States Code, shall collect--
``(1) all of the funds in a reserve account established by
an eligible entity under section 5225(a) if the Secretary
determines, not earlier than 2 years after the date on which
the eligible entity first received funds under this subpart,
that the eligible entity has failed to make substantial
progress in carrying out the purposes described in section
5225(a); or
``(2) all or a portion of the funds in a reserve account
established by an eligible entity under section 5225(a) if
the Secretary determines that the eligible entity has
permanently ceased to use all or a portion of the funds in
such account to accomplish any purpose described in section
5225(a).
``(b) Exercise of Authority.--The Secretary shall not
exercise the authority provided in subsection (a) to collect
from any eligible entity any funds that are being properly
used to achieve 1 or more of the purposes described in
section 5225(a).
``(c) Procedures.--The provisions of sections 451, 452, and
458 of the General Education Provisions Act shall apply to
the recovery of funds under subsection (a).
``(d) Construction.--This section shall not be construed to
impair or affect the authority of the Secretary to recover
funds under part D of the General Education Provisions Act.

``SEC. 5230. DEFINITIONS.

``In this subpart:
``(1) Charter school.--The term `charter school' has the
meaning given such term in section 5210.
``(2) Eligible entity.--The term `eligible entity' means--
``(A) a public entity, such as a State or local
governmental entity;
``(B) a private nonprofit entity; or
``(C) a consortium of entities described in subparagraphs
(A) and (B).

``SEC. 5231. AUTHORIZATION OF APPROPRIATIONS.

``For the purpose of carrying out this subpart, there are
authorized to be appropriated $150,000,000 for fiscal year
2002 and such sums as may be necessary for fiscal year
2003.''

``Subpart 3--Voluntary Public School Choice Programs

``SEC. 5241. GRANTS.

``(a) Authorization.--From funds made available under
section 5248 to carry out this subpart, the Secretary shall
award grants, on a competitive basis, to eligible entities to
enable the entities to establish or expand a program of
public school choice (referred to in this subpart as a
`program') in accordance with this subpart.
``(b) Duration.--Grants awarded under subsection (a) may be
awarded for a period of not more than 5 years.

``SEC. 5242. USES OF FUNDS.

``(a) Required Use of Funds.--An eligible entity that
receives a grant under this subpart shall use the grant funds
to provide students selected to participate in the program
with transportation services or the cost of transportation to
and from the public elementary schools and secondary schools,
including charter schools, that the students choose to attend
under the program.
``(b) Permissible Uses of Funds.--An eligible entity that
receives a grant under this subpart may use the grant funds
for--
``(1) planning or designing a program (for not more than 1
year);
``(2) the cost of making tuition transfer payments to
public elementary schools or secondary schools to which
students transfer under the program;
``(3) the cost of capacity-enhancing activities that enable
high-demand public elementary schools or secondary schools to
accommodate transfer requests under the program;
``(4) the cost of carrying out public education campaigns
to inform students and parents about the program; and
``(5) other costs reasonably necessary to implement the
program.
``(c) Nonpermissible Uses of Funds.--An eligible entity
that receives a grant under this subpart may not use the
grant funds for school construction.
``(d) Administrative Expenses.--The eligible entity may use
not more than 5 percent of the funds made available through
the grant for any fiscal year for administrative expenses.

``SEC. 5243. APPLICATIONS.

``(a) Submission.--An eligible entity that desires a grant
under this subpart shall submit an application to the
Secretary at such time, in such manner, and containing such
information as the Secretary may require.
``(b) Contents.--An application submitted under subsection
(a) shall include--
``(1) a description of the program for which the eligible
entity seeks funds and the goals for such program;
``(2) a description of how and when parents of students
will be given the notice required under section 5245(a)(2);
``(3) a description of how students will be selected for
the program;
``(4) a description of how the program will be coordinated
with, and will complement and enhance, other related Federal
and non-Federal projects;
``(5) if the program is to be carried out by a partnership,
the name of each partner and a description of the partner's
responsibilities; and
``(6) such other information as the Secretary may require.

``SEC. 5244. PRIORITIES.

``In awarding grants under this subpart, the Secretary
shall give priority to an eligible entity--
``(1) whose program would provide the widest variety of
choices to all students in participating schools;
``(2) whose program would, through various choice options,
have the most impact in allowing students in low-performing
schools to attend higher-performing schools; and
``(3) that is a partnership that seeks to implement an
interdistrict approach to carrying out a program.

[[Page H9872]]

``SEC. 5245. REQUIREMENTS AND VOLUNTARY PARTICIPATION.

``(a) Parent and Community Involvement and Notice.--In
carrying out a program under this subpart, an eligible entity
shall--
``(1) develop the program with--
``(A) the involvement of parents and others in the
community to be served; and
``(B) individuals who will carry out the program, including
administrators, teachers, principals, and other staff; and
``(2) provide to parents of students in the area to be
served by the program with prompt notice of--
``(A) the existence of the program;
``(B) the program's availability; and
``(C) a clear explanation of how the program will operate.
``(b) Selection of Students.--An eligible entity that
receives a grant under this subpart shall select students to
participate in a program on the basis of a lottery, if more
students apply for admission to the program than can be
accommodated.
``(c) Voluntary Participation.--Student participation in a
program funded under this subpart shall be voluntary.

``SEC. 5246. EVALUATIONS.

``(a) In General.--From the amount made available to carry
out this subpart for any fiscal year, the Secretary may
reserve not more than 5 percent--
``(1) to carry out evaluations;
``(2) to provide technical assistance; and
``(3) to disseminate information.
``(b) Evaluations.--In carrying out the evaluations under
subsection (a), the Secretary shall, at a minimum, address--
``(1) how, and the extent to which, the programs promote
educational equity and excellence;
``(2) the characteristics of the students participating in
the programs; and
``(3) the effect of the programs on the academic
achievement of students participating in the programs,
particularly students who move from schools identified under
section 1116 to schools not so identified, and on the overall
quality of participating schools and districts.

``SEC. 5247. DEFINITIONS.

``In this subpart:
``(1) Charter school.--The term `charter school' has the
meaning given such term in section 5210.
``(2) Eligible entity.--The term `eligible entity' means--
``(A) one or more State educational agencies;
``(B) one or more local educational agencies; or
``(C) a partnership of--
``(i) one or more--

``(I) State educational agencies; and
``(II) local educational agencies or other public, for-
profit, or nonprofit entities; or

``(ii) one or more--

``(I) local educational agencies; and
``(II) public, for-profit, or nonprofit entities.

``(3) Low-performing school.--The term `low-performing
school' means a public elementary school or secondary school
that has failed to make adequate yearly progress, as
described in section 1111(b), for 2 or more consecutive
years.

``SEC. 5248. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
subpart $100,000,000 for fiscal year 2002 and each of the 5
succeeding fiscal years.

``PART C--MAGNET SCHOOLS ASSISTANCE

``SEC. 5301. FINDINGS AND PURPOSE.

``(a) Findings.--Congress makes the following findings:
``(1) Magnet schools are a significant part of the Nation's
effort to achieve voluntary desegregation in our Nation's
schools.
``(2) The use of magnet schools has increased dramatically
since the inception of the magnet schools assistance program
under this Act, with approximately 2,000,000 students
nationwide attending such schools, of whom more than 65
percent are non-white.
``(3) Magnet schools offer a wide range of distinctive
programs that have served as models for school improvement
efforts.
``(4) It is in the best interests of the United States--
``(A) to continue the Federal Government's support of local
educational agencies that are implementing court-ordered
desegregation plans and local educational agencies that are
voluntarily seeking to foster meaningful interaction among
students of different racial and ethnic backgrounds,
beginning at the earliest stage of such students' education;
``(B) to ensure that all students have equitable access to
a high quality education that will prepare all students to
function well in a technologically oriented and a highly
competitive economy comprised of people from many different
racial and ethnic backgrounds; and
``(C) to continue to desegregate and diversify schools by
supporting magnet schools, recognizing that segregation
exists between minority and nonminority students as well as
among students of different minority groups.
``(5) Desegregation efforts through magnet school programs
are a significant part of our Nation's effort to achieve
voluntary desegregation in schools and help to ensure equal
educational opportunities for all students.
``(b) Purpose.--The purpose of this part is to assist in
the desegregation of schools served by local educational
agencies by providing financial assistance to eligible local
educational agencies for--
``(1) the elimination, reduction, or prevention of minority
group isolation in elementary schools and secondary schools
with substantial proportions of minority students, which
shall include assisting in the efforts of the United States
to achieve voluntary desegregation in public schools;
``(2) the development and implementation of magnet school
programs that will assist local educational agencies in
achieving systemic reforms and providing all students the
opportunity to meet challenging State academic content
standards and student academic achievement standards;
``(3) the development and design of innovative educational
methods and practices that promote diversity and increase
choices in public elementary schools and public secondary
schools and public educational programs;
``(4) courses of instruction within magnet schools that
will substantially strengthen the knowledge of academic
subjects and the attainment of tangible and marketable
vocational, technological, and professional skills of
students attending such schools;
``(5) improving the capacity of local educational agencies,
including through professional development, to continue
operating magnet schools at a high performance level after
Federal funding for the magnet schools is terminated; and
``(6) ensuring that all students enrolled in the magnet
school programs have equitable access to high quality
education that will enable the students to succeed
academically and continue with postsecondary education or
productive employment.

``SEC. 5302. DEFINITION.

``For the purpose of this part, the term `magnet school'
means a public elementary school, public secondary school,
public elementary education center, or public secondary
education center that offers a special curriculum capable of
attracting substantial numbers of students of different
racial backgrounds.

``SEC. 5303. PROGRAM AUTHORIZED.

``The Secretary, in accordance with this part, is
authorized to award grants to eligible local educational
agencies, and consortia of such agencies where appropriate,
to carry out the purpose of this part for magnet schools that
are--
``(1) part of an approved desegregation plan; and
``(2) designed to bring students from different social,
economic, ethnic, and racial backgrounds together.

``SEC. 5304. ELIGIBILITY.

``A local educational agency, or consortium of such
agencies where appropriate, is eligible to receive a grant
under this part to carry out the purpose of this part if such
agency or consortium--
``(1) is implementing a plan undertaken pursuant to a final
order issued by a court of the United States, or a court of
any State, or any other State agency or official of competent
jurisdiction, that requires the desegregation of minority-
group-segregated children or faculty in the elementary
schools and secondary schools of such agency; or
``(2) without having been required to do so, has adopted
and is implementing, or will, if a grant is awarded to such
local educational agency, or consortium of such agencies,
under this part, adopt and implement a plan that has been
approved by the Secretary as adequate under title VI of
the Civil Rights Act of 1964 for the desegregation of
minority-group-segregated children or faculty in such
schools.

``SEC. 5305. APPLICATIONS AND REQUIREMENTS.

``(a) Applications.--An eligible local educational agency,
or consortium of such agencies, desiring to receive a grant
under this part shall submit an application to the Secretary
at such time, in such manner, and containing such information
and assurances as the Secretary may reasonably require.
``(b) Information and Assurances.--Each application
submitted under subsection (a) shall include--
``(1) a description of--
``(A) how a grant awarded under this part will be used to
promote desegregation, including how the proposed magnet
school programs will increase interaction among students of
different social, economic, ethnic, and racial backgrounds;
``(B) the manner and extent to which the magnet school
program will increase student academic achievement in the
instructional area or areas offered by the school;
``(C) how the applicant will continue the magnet school
program after assistance under this part is no longer
available, and, if applicable, an explanation of why magnet
schools established or supported by the applicant with grant
funds under this part cannot be continued without the use of
grant funds under this part;
``(D) how grant funds under this part will be used--
``(i) to improve student academic achievement for all
students attending the magnet school programs; and
``(ii) to implement services and activities that are
consistent with other programs under this Act, and other
Acts, as appropriate; and
``(E) the criteria to be used in selecting students to
attend the proposed magnet school program; and
``(2) assurances that the applicant will--
``(A) use grant funds under this part for the purposes
specified in section 5301(b);
``(B) employ highly qualified teachers in the courses of
instruction assisted under this part;
``(C) not engage in discrimination based on race, religion,
color, national origin, sex, or disability in--
``(i) the hiring, promotion, or assignment of employees of
the applicant or other personnel for whom the applicant has
any administrative responsibility;
``(ii) the assignment of students to schools, or to courses
of instruction within the schools, of such applicant, except
to carry out the approved plan; and

[[Page H9873]]

``(iii) designing or operating extracurricular activities
for students;
``(D) carry out a high-quality education program that will
encourage greater parental decisionmaking and involvement;
and
``(E) give students residing in the local attendance area
of the proposed magnet school program equitable consideration
for placement in the program, consistent with desegregation
guidelines and the capacity of the applicant to accommodate
the students.
``(c) Special Rule.--No grant shall be awarded under this
part unless the Assistant Secretary of Education for Civil
Rights determines that the assurances described in subsection
(b)(2)(C) will be met.

``SEC. 5306. PRIORITY.

``In awarding grants under this part, the Secretary shall
give priority to applicants that--
``(1) demonstrate the greatest need for assistance, based
on the expense or difficulty of effectively carrying out
approved desegregation plans and the magnet school program
for which the grant is sought;
``(2) propose to carry out new magnet school programs, or
significantly revise existing magnet school programs; and
``(3) propose to select students to attend magnet school
programs by methods such as lottery, rather than through
academic examination.

``SEC. 5307. USE OF FUNDS.

``(a) In General.--Grant funds made available under this
part may be used by an eligible local educational agency, or
consortium of such agencies--
``(1) for planning and promotional activities directly
related to the development, expansion, continuation, or
enhancement of academic programs and services offered at
magnet schools;
``(2) for the acquisition of books, materials, and
equipment, including computers and the maintenance and
operation of materials, equipment, and computers, necessary
to conduct programs in magnet schools;
``(3) for the compensation, or subsidization of the
compensation, of elementary school and secondary school
teachers who are highly qualified, and instructional staff
where applicable, who are necessary to conduct programs in
magnet schools;
``(4) with respect to a magnet school program offered to
less than the entire student population of a school, for
instructional activities that--
``(A) are designed to make available the special curriculum
that is offered by the magnet school program to students who
are enrolled in the school but who are not enrolled in the
magnet school program; and
``(B) further the purpose of this part;
``(5) for activities, which may include professional
development, that will build the recipient's capacity to
operate magnet school programs once the grant period has
ended;
``(6) to enable the local educational agency, or consortium
of such agencies, to have more flexibility in the
administration of a magnet school program in order to serve
students attending a school who are not enrolled in a magnet
school program; and
``(7) to enable the local educational agency, or consortium
of such agencies, to have flexibility in designing magnet
schools for students in all grades.
``(b) Special Rule.--Grant funds under this part may be
used for activities described in paragraphs (2) and (3) of
subsection (a) only if the activities are directly related to
improving student academic achievement based on the State's
challenging academic content standards and student academic
achievement standards or directly related to improving
student reading skills or knowledge of mathematics, science,
history, geography, English, foreign languages, art, or
music, or to improving vocational, technological, and
professional skills.

``SEC. 5308. PROHIBITION.

``Grants under this part may not be used for transportation
or any activity that does not augment academic improvement.

``SEC. 5309. LIMITATIONS.

``(a) Duration of Awards.--A grant under this part shall be
awarded for a period that shall not exceed 3 fiscal years.
``(b) Limitation on Planning Funds.--A local educational
agency, or consortium of such agencies, may expend for
planning (professional development shall not be considered to
be planning for purposes of this subsection) not more than 50
percent of the grant funds received under this part for
the first year of the program and not more than 15 percent
of such funds for each of the second and third such years.
``(c) Amount.--No local educational agency, or consortium
of such agencies, awarded a grant under this part shall
receive more than $4,000,000 under this part for any 1 fiscal
year.
``(d) Timing.--To the extent practicable, the Secretary
shall award grants for any fiscal year under this part not
later than July 1 of the applicable fiscal year.

``SEC. 5310. EVALUATIONS.

``(a) Reservation.--The Secretary may reserve not more than
2 percent of the funds appropriated under section 5311(a) for
any fiscal year to carry out evaluations, provide technical
assistance, and carry out dissemination projects with respect
to magnet school programs assisted under this part.
``(b) Contents.--Each evaluation described in subsection
(a), at a minimum, shall address--
``(1) how and the extent to which magnet school programs
lead to educational quality and improvement;
``(2) the extent to which magnet school programs enhance
student access to a high quality education;
``(3) the extent to which magnet school programs lead to
the elimination, reduction, or prevention of minority group
isolation in elementary schools and secondary schools with
substantial proportions of minority students; and
``(4) the extent to which magnet school programs differ
from other school programs in terms of the organizational
characteristics and resource allocations of such magnet
school programs.
``(c) Dissemination.--The Secretary shall collect and
disseminate to the general public information on successful
magnet school programs.

``SEC. 5311. AUTHORIZATION OF APPROPRIATIONS; RESERVATION.

``(a) Authorization.--For the purpose of carrying out this
part, there are authorized to be appropriated $125,000,000
for fiscal year 2002 and such sums as may be necessary for
each of the 5 succeeding fiscal years.
``(b) Availability of Funds for Grants to Agencies Not
Previously Assisted.--In any fiscal year for which the amount
appropriated pursuant to subsection (a) exceeds $75,000,000,
the Secretary shall give priority in using such amounts in
excess of $75,000,000 to awarding grants to local educational
agencies or consortia of such agencies that did not receive a
grant under this part in the preceding fiscal year.

``PART D--FUND FOR THE IMPROVEMENT OF EDUCATION

``SEC. 5401. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
part the following amounts:
``(1) $550,000,000 for fiscal year 2002.
``(2) $575,000,000 for fiscal year 2003.
``(3) $600,000,000 for fiscal year 2004.
``(4) $625,000,000 for fiscal year 2005.
``(5) $650,000,000 for fiscal year 2006.
``(6) $675,000,000 for fiscal year 2007.

``Subpart 1--Fund for the Improvement of Education

``SEC. 5411. PROGRAMS AUTHORIZED.

``(a) Authorization.--The Secretary is authorized to
support nationally significant programs to improve the
quality of elementary and secondary education at the State
and local levels and help all children meet challenging State
academic content and student academic achievement standards.
The Secretary may carry out such programs directly, or
through grants to, or contracts with--
``(1) States or local educational agencies;
``(2) institutions of higher education; and
``(3) other public and private agencies, organizations, and
institutions.
``(b) Uses of Funds.--Funds made available under section
5401 to carry out this subpart may be used for any of the
following programs:
``(1) Activities to promote systemic education reform at
the State and local levels, including scientifically based
research, development, and evaluation designed to improve--
``(A) student academic achievement at the State and local
level; and
``(B) strategies for effective parent and community
involvement.
``(2) Programs at the State and local levels that are
designed to yield significant results, including programs to
explore approaches to public school choice and school-based
decisionmaking.
``(3) Recognition programs, which may include financial
awards to States, local educational agencies, and schools
that have made the greatest progress, based on the
Secretary's determination or on a nomination by the State in
which the school is located (or in the case of a Bureau
funded school, by the Secretary of the Interior) in--
``(A) improving the academic achievement of economically
disadvantaged students and students from major racial and
ethnic minority groups; and
``(B) in closing the academic achievement gap for those
groups of students farthest away from the proficient level on
the academic assessments administered by the State under
section 1111.
``(4) Scientifically based studies and evaluations of
education reform strategies and innovations, and the
dissemination of information on the effectiveness of such
strategies and innovations.
``(5) Identification and recognition of exemplary schools
and programs, such as Blue Ribbon Schools, including programs
to evaluate the effectiveness of using the best practices of
exemplary or Blue Ribbon Schools to improve academic
achievement.
``(6) Activities to support Scholar-Athlete Games programs,
including the World Scholar-Athlete Games and the U.S.
Scholar-Athlete Games.
``(7) Programs to promote voter participation in American
elections through programs, such as the National Student/
Parent Mock Election and Kids Voting USA.
``(8) Demonstrations relating to the planning and
evaluation of the effectiveness of programs under which local
educational agencies or schools contract with private
management organizations to reform a school or schools.
``(9) Other programs that meet the purposes of this Act.
``(c) Basis of Awards.--The Secretary is authorized to--
``(1) make awards under this subpart on the basis of
competitions announced by the Secretary; and
``(2) support meritorious unsolicited proposals for awards
under this subpart.
``(d) Effectiveness of Programs.--The Secretary shall
ensure that programs supported under this subpart are
designed so that their effectiveness is readily
ascertainable, and shall ensure that such effectiveness is
assessed using rigorous, scientifically based research and
evaluations.

``SEC. 5412. APPLICATIONS.

``(a) Submission.--To be eligible for an award under this
subpart, an entity shall submit an application to the
Secretary, at such time, in

[[Page H9874]]

such manner, and containing such information as the Secretary
may require.
``(b) Contents.--Each application submitted under
subsection (a) shall--
``(1) establish clear objectives, which are based on
scientifically based research, for the proposed program; and
``(2) describe the activities the applicant will carry out
in order to meet the objectives described in paragraph (1).
``(c) Peer Review.--The Secretary shall use a peer review
process in reviewing applications for awards under this
subpart and in recognizing States, local educational
agencies, and schools under section 5411(b)(3), only if funds
are used for such recognition programs. The Secretary may use
funds appropriated under this subpart for the cost of such
peer review.

``SEC. 5413. PROGRAM REQUIREMENTS.

``(a) Evaluations.--A recipient of an award under this
subpart shall--
``(1) evaluate the effectiveness of the program funded
under the award in achieving the objectives stated in
application submitted under section 5412; and
``(2) report to the Secretary such information as may be
required to determine the effectiveness of such program,
including evidence of progress toward meeting such
objectives.
``(b) Dissemination of Evaluation Results.--The Secretary
shall provide for the dissemination of the evaluations of
programs funded under this subpart by making the evaluations
publicly available upon request, and shall provide public
notice that the evaluations are so available.
``(c) Matching Funds.--The Secretary may require recipients
of awards under this subpart to provide matching funds from
non-Federal sources, and shall permit the recipients to match
funds in whole or in part with in-kind contributions.
``(d) Special Rule for Recognition Programs.--The
application requirements of section 5412(b), and the
evaluation requirements of subsections (a) and (b) of this
section, do not apply to recognition programs under section
5411(b)(3).

``SEC. 5414. STUDIES OF NATIONAL SIGNIFICANCE.

``(a) Studies.--The Secretary shall conduct the following
studies of national significance:
``(1) Unhealthy public school buildings.--A study regarding
the health and learning impacts of environmentally unhealthy
public school buildings on students and teachers. The study
shall include the following information:
``(A) The characteristics of those public elementary school
and secondary school buildings that contribute to unhealthy
school environments.
``(B) The health and learning impacts of environmental
unhealthy public school buildings on students that are
attending or that have attended such schools.
``(C) Recommendations to Congress on how to assist schools
that are out of compliance with Federal or State health and
safety codes, and a cost estimate of bringing up
environmentally unhealthy public school buildings to minimum
Federal health and safety building standards.
``(2) Exposure to violent entertainment.--A study regarding
how exposure to violent entertainment (such as in movies,
music, television, Internet content, video games, and arcade
games) affects children's cognitive development and
educational achievement.
``(3) Sexual abuse in schools.--A study regarding the
prevalence of sexual abuse in schools, including
recommendations and legislative remedies for addressing the
problem of sexual abuse in schools.
``(b) Completion Date.--The studies under subsection (a)
shall be completed not later than 18 months after the date of
enactment of the No Child Left Behind Act of 2001.
``(c) Public Dissemination.--The Secretary shall make the
study conducted under subsection (a)(1) available to the
public through the Educational Resources Information Center
National Clearinghouse for Educational Facilities of the
Department.

``Subpart 2--Elementary and Secondary School Counseling Programs

``SEC. 5421. ELEMENTARY AND SECONDARY SCHOOL COUNSELING
PROGRAMS.

``(a) Grants Authorized.--
``(1) In general.--The Secretary is authorized to award
grants to local educational agencies to enable such agencies
to establish or expand elementary school and secondary school
counseling programs that comply with the requirements of
subsection (c)(2).
``(2) Special consideration.--In awarding grants under this
section, the Secretary shall give special consideration to
applications describing programs that--
``(A) demonstrate the greatest need for new or additional
counseling services among children in the schools served by
the local educational agency, in part by providing
information on current ratios of students to school
counselors, students to school social workers, and students
to school psychologists;
``(B) propose the most promising and innovative approaches
for initiating or expanding school counseling; and
``(C) show the greatest potential for replication and
dissemination.
``(3) Equitable distribution.--In awarding grants under
this section, the Secretary shall ensure an equitable
geographic distribution among the regions of the United
States and among local educational agencies located in urban,
rural, and suburban areas.
``(4) Duration.--A grant under this section shall be
awarded for a period not to exceed 3 years.
``(5) Maximum grant.--A grant awarded under this section
shall not exceed $400,000 for any fiscal year.
``(6) Supplement, not supplant.--Funds made available under
this section shall be used to supplement, and not supplant,
other Federal, State, or local funds used for providing
school-based counseling and mental health services to
students.
``(b) Applications.--
``(1) In general.--Each local educational agency desiring a
grant under this section shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information as the Secretary may reasonably require.
``(2) Contents.--Each application for a grant under this
section shall--
``(A) describe the school population to be targeted by the
program, the particular counseling needs of such population,
and the current school counseling resources available for
meeting such needs;
``(B) describe the activities, services, and training to be
provided by the program and the specific approaches to be
used to meet the needs described in subparagraph (A);
``(C) describe the methods to be used to evaluate the
outcomes and effectiveness of the program;
``(D) describe how the local educational agency will
involve community groups, social service agencies, and other
public and private entities in collaborative efforts to
enhance the program and promote school-linked services
integration;
``(E) document that the local educational agency has the
personnel qualified to develop, implement, and administer the
program;
``(F) describe how diverse cultural populations, if
applicable, will be served through the program;
``(G) assure that the funds made available under this
subpart for any fiscal year will be used to supplement, and
not supplant, any other Federal, State, or local funds used
for providing school-based counseling and mental health
services to students; and
``(H) assure that the applicant will appoint an advisory
board composed of interested parties, including parents,
teachers, school administrators, counseling services
providers described in subsection (c)(2)(D), and community
leaders, to advise the local educational agency on the design
and implementation of the program.
``(c) Use of Funds.--
``(1) In general.--The Secretary is authorized to award
grants to local educational agencies to enable the local
educational agencies to initiate or expand elementary school
or secondary school counseling programs that comply with the
requirements of paragraph (2).
``(2) Requirements.--Each program funded under this section
shall--
``(A) be comprehensive in addressing the counseling and
educational needs of all students;
``(B) use a developmental, preventive approach to
counseling;
``(C) increase the range, availability, quantity, and
quality of counseling services in the elementary schools and
secondary schools of the local educational agency;
``(D) expand counseling services through qualified school
counselors, school social workers, school psychologists,
other qualified psychologists, or child and adolescent
psychiatrists;
``(E) use innovative approaches to increase children's
understanding of peer and family relationships, work and
self, decisionmaking, or academic and career planning, or to
improve peer interaction;
``(F) provide counseling services in settings that meet the
range of student needs;
``(G) include in-service training appropriate to the
activities funded under this Act for teachers, instructional
staff, and appropriate school personnel, including in-service
training in appropriate identification and early intervention
techniques by school counselors, school social workers,
school psychologists, other qualified psychologists, and
child and adolescent psychiatrists;
``(H) involve parents of participating students in the
design, implementation, and evaluation of the counseling
program;
``(I) involve community groups, social service agencies, or
other public or private entities in collaborative efforts to
enhance the program and promote school-linked integration of
services;
``(J) evaluate annually the effectiveness and outcomes of
the counseling services and activities assisted under this
section;
``(K) ensure a team approach to school counseling in the
schools served by the local educational agency by working
toward ratios recommended by the American School Health
Association of 1 school counselor to 250 students, 1 school
social worker to 800 students, and 1 school psychologist to
1,000 students; and
``(L) ensure that school counselors, school psychologists,
other qualified psychologists, school social workers, or
child and adolescent psychiatrists paid from funds made
available under this section spend a majority of their time
counseling students or in other activities directly related
to the counseling process.
``(d) Limitation on Administrative Costs.--Not more than 4
percent of the amounts made available under this section for
any fiscal year may be used for administrative costs to carry
out this section.
``(e) Definitions.--For the purpose of this section--
``(1) the term `child and adolescent psychiatrist' means an
individual who--
``(A) possesses State medical licensure; and
``(B) has completed residency training programs in both
general psychiatry and child and adolescent psychiatry;
``(2) the term `other qualified psychologist' means an
individual who has demonstrated competence in counseling
children in a school setting and who--
``(A) is licensed in psychology by the State in which the
individual works; and

[[Page H9875]]

``(B) practices in the scope of the individual's education,
training, and experience with children in school settings;
``(3) the term `school counselor' means an individual who
has documented competence in counseling children and
adolescents in a school setting and who--
``(A) is licensed by the State or certified by an
independent professional regulatory authority;
``(B) in the absence of such State licensure or
certification, possesses national certification in school
counseling or a specialty of counseling granted by an
independent professional organization; or
``(C) holds a minimum of a master's degree in school
counseling from a program accredited by the Council for
Accreditation of Counseling and Related Educational Programs
or the equivalent;
``(4) the term `school psychologist' means an individual
who--
``(A) has completed a minimum of 60 graduate semester hours
in school psychology from an institution of higher education
and has completed 1,200 clock hours in a supervised school
psychology internship, of which 600 hours are in the school
setting;
``(B) is licensed or certified in school psychology by the
State in which the individual works; or
``(C) in the absence of such State licensure or
certification, possesses national certification by the
National School Psychology Certification Board; and
``(5) the term `school social worker' means an individual
who--
``(A) holds a master's degree in social work from a program
accredited by the Council on Social Work Education; and
``(B)(i) is licensed or certified by the State in which
services are provided; or
``(ii) in the absence of such State licensure or
certification, possesses a national credential or
certification as a school social work specialist granted by
an independent professional organization.
``(f) Report.--Not later than 2 years after assistance is
made available to local educational agencies under subsection
(c), the Secretary shall make publicly available a report--
``(1) evaluating the programs assisted pursuant to each
grant under this subpart; and
``(2) outlining the information from local educational
agencies regarding the ratios of students to--
``(A) school counselors;
``(B) school social workers; and
``(C) school psychologists.
``(g) Special Rule.--
``(1) Amount equals or exceeds $40,000,000.--If the amount
of funds made available by the Secretary for this subpart
equals or exceeds $40,000,000, the Secretary shall award not
less than $40,000,000 in grants to local educational agencies
to enable the agencies to establish or expand counseling
programs in elementary schools.
``(2) Amount less than $40,000,000.--If the amount of funds
made available by the Secretary for this subpart is less than
$40,000,000, the Secretary shall award grants to local
educational agencies only to establish or expand counseling
programs in elementary schools.

``Subpart 3--Partnerships in Character Education

``SEC. 5431. PARTNERSHIPS IN CHARACTER EDUCATION PROGRAM.

``(a) Program Authorized.--
``(1) In general.--The Secretary is authorized to award
grants to eligible entities for the design and implementation
of character education programs that--
``(A) are able to be integrated into classroom instruction
and to be consistent with State academic content standards;
and
``(B) are able to be carried out in conjunction with other
educational reform efforts.
``(2) Eligible entity.--In this section, the term `eligible
entity' means--
``(A) a State educational agency in partnership with--
``(i) one or more local educational agencies; or
``(ii) one or more--

``(I) local educational agencies; and
``(II) nonprofit organizations or entities, including an
institution of higher education;

``(B) a local educational agency or consortium of local
educational agencies; or
``(C) a local educational agency in partnership with one or
more nonprofit organizations or entities, including an
institution of higher education.
``(3) Duration.--Each grant under this section shall be
awarded for a period not to exceed 5 years, of which the
eligible entity may not use more than 1 year for planning and
program design.
``(4) Amount of grants for state educational agencies.--
Subject to the availability of appropriations, the amount of
a grant made by the Secretary to a State educational agency
under this section shall not be less than $500,000 if the
State educational agency--
``(A) is in a partnership described in paragraph (2)(A);
and
``(B) meets such requirements as the Secretary may
establish under this section.
``(b) Contracts Under Program.--
``(1) Evaluation.--Each eligible entity awarded a grant
under this section may contract with outside sources,
including institutions of higher education and private and
nonprofit organizations, for the purposes of--
``(A) evaluating the program for which the assistance is
made available;
``(B) measuring the integration of such program into the
curriculum and teaching methods of schools where the program
is carried out; and
``(C) measuring the success of such program in fostering
the elements of character selected by the recipient under
subsection (c).
``(2) Materials and program development.--Each eligible
entity awarded a grant under this section may contract with
outside sources, including institutions of higher education
and private and nonprofit organizations, for assistance in--
``(A) developing secular curricula, materials, teacher
training, and other activities related to character
education; and
``(B) integrating secular character education into the
curricula and teaching methods of schools where the program
is carried out.
``(c) Elements of Character.--
``(1) Selection.--
``(A) In general.--Each eligible entity awarded a grant
under this section may select the elements of character that
will be taught under the program for which the grant was
awarded.
``(B) Consideration of views.--In selecting elements of
character under subparagraph (A), the eligible entity shall
consider the views of the parents of the students to be
taught under the program and the views of the students.
``(2) Example elements.--Elements of character selected
under this subsection may include any of the following:
``(A) Caring.
``(B) Civic virtue and citizenship.
``(C) Justice and fairness.
``(D) Respect.
``(E) Responsibility.
``(F) Trustworthiness.
``(G) Giving.
``(H) Any other elements deemed appropriate by the eligible
entity.
``(d) Use of Funds by State Educational Agency
Recipients.--Of the total funds received in any fiscal year
under this section by an eligible entity that is a State
educational agency--
``(1) not more than 3 percent of such funds may be used for
administrative purposes; and
``(2) the remainder of such funds may be used for--
``(A) collaborative initiatives with and between local
educational agencies and schools;
``(B) the preparation or purchase of materials, and teacher
training;
``(C) providing assistance to local educational agencies,
schools, or institutions of higher education; and
``(D) technical assistance and evaluation.
``(e) Application.--
``(1) In general.--Each eligible entity desiring a grant
under this section shall submit an application to the
Secretary at such time and in such manner as the Secretary
may require.
``(2) Required information.--Each application for a grant
under this section shall include (together with any other
information that the Secretary may require) information
that--
``(A) demonstrates that the program for which the grant is
sought has clear objectives that are based on scientifically
based research;
``(B) describes any partnerships or collaborative efforts
among the organizations and entities of the eligible entity;
``(C) describes the activities that will be carried out
with the grant funds and how such activities will meet the
objectives described in subparagraph (A), including--
``(i) how parents, students, students with disabilities
(including those with mental or physical disabilities), and
other members of the community, including members of private
and nonprofit organizations, will be involved in the design
and implementation of the program and how the eligible entity
will work with the larger community to increase the reach and
promise of the program;
``(ii) curriculum and instructional practices that will be
used or developed; and
``(iii) methods of teacher training and parent education
that will be used or developed;
``(D) describes how the program for which the grant is
sought will be linked to other efforts to improve academic
achievement, including--
``(i) broader educational reforms that are being instituted
by the eligible entity or its partners; and
``(ii) State academic content standards;
``(E) in the case of an eligible entity that is a State
educational agency, describes how the State educational
agency--
``(i) will provide technical and professional assistance to
its local educational agency partners in the development and
implementation of character education programs; and
``(ii) will assist other interested local educational
agencies that are not members of the original partnership in
designing and establishing character education programs;
``(F) describes how the eligible entity will evaluate the
success of its program--
``(i) based on the objectives described in subparagraph
(A); and
``(ii) in cooperation with any national evaluation
conducted pursuant to subsection (h)(2)(B)(iii); and
``(G) assures that the eligible entity annually will
provide to the Secretary such information as may be required
to determine the effectiveness of the program.
``(f) Selection of Recipients.--
``(1) Peer review.--
``(A) In general.--In selecting eligible entities to
receive grants under this section from among the applicants
for such grants, the Secretary shall use a peer review
process that includes the participation of experts in the
field of character education and development.
``(B) Use of funds.--The Secretary may use funds
appropriated under this section for the cost of carrying out
peer reviews under this paragraph.
``(2) Selection criteria.--Each selection under paragraph
(1) shall be made on the basis of the quality of the
application submitted, taking into consideration such factors
as--
``(A) the extent to which the program fosters character in
students and the potential for improved student academic
achievement;

[[Page H9876]]

``(B) the extent and ongoing nature of parental, student,
and community involvement;
``(C) the quality of the plan for measuring and assessing
success; and
``(D) the likelihood that the objectives of the program
will be achieved.
``(3) Equitable distribution.--In making selections under
this subsection, the Secretary shall ensure, to the extent
practicable under paragraph (2), that the programs assisted
under this section are equitably distributed among the
geographic regions of the United States, and among urban,
suburban, and rural areas.
``(g) Participation by Private School Children and
Teachers.--Each eligible entity that receives a grant under
this section shall provide, to the extent feasible and
appropriate, for the participation in programs and activities
under this section of students and teachers in private
elementary schools and secondary schools.
``(h) Evaluation and Program Development.--
``(1) State and local reporting and evaluation.--Each
eligible entity receiving a grant under this section shall
submit to the Secretary a comprehensive evaluation of the
program assisted under this section, including its impact on
students, students with disabilities (including those with
mental or physical disabilities), teachers, administrators,
parents, and others--
``(A) by the end of the second year of the program; and
``(B) not later than 1 year after completion of the grant
period.
``(2) National research, dissemination, and evaluation.--
``(A) In general.--
``(i) Authorization.--The Secretary is authorized to award
grants to, or enter into contracts or cooperative agreements
with, State educational agencies or local educational
agencies, institutions of higher education, tribal
organizations, or other public or private agencies or
organizations to carry out research, development,
dissemination, technical assistance, and evaluation
activities that support or inform State and local character
education programs.
``(ii) Reservation of funds.--The Secretary shall reserve
not more than 5 percent of the funds made available under
this section to carry out this paragraph.
``(B) Uses.--Funds made available under subparagraph (A)
may be used for the following:
``(i) Conducting research and development activities that
focus on matters such as--

``(I) the extent to which schools are undertaking character
education initiatives;
``(II) the effectiveness of instructional models for all
students, including students with disabilities (including
those with mental or physical disabilities);
``(III) materials and curricula for use by programs in
character education;
``(IV) models of professional development in character
education;
``(V) the development of measures of effectiveness for
character education programs (which may include the factors
described in paragraph (3)); and
``(VI) the effectiveness of State and local programs
receiving funds under this section.

``(ii) Providing technical assistance to State and local
programs, particularly on matters of program evaluation.
``(iii) Conducting evaluations of State and local programs
receiving funding under this section, that may be conducted
through a national clearinghouse under clause (iv).
``(iv) Compiling and disseminating, through a national
clearinghouse or other means--

``(I) information on model character education programs;
``(II) information about high quality character education
materials and curricula;
``(III) research findings in the area of character
education and character development; and
``(IV) any other information that will be useful to
character education program participants nationwide,
including educators, parents, and administrators.

``(C) Partnerships.--In carrying out national activities
under this paragraph, the Secretary may enter into
partnerships with national nonprofit character education
organizations and institutions of higher education with
expertise and successful experience in implementing--
``(i) character education programs that had an effective
impact on schools, students, students with disabilities
(including those with mental or physical disabilities), and
teachers; or
``(ii) character education program evaluation and research.
``(D) Partnership for activities under subparagraph
(B)(iv).--In carrying out national activities under
subparagraph (B)(iv), the Secretary may enter into a
partnership with a national nonprofit character education
organization that will disseminate information to educators,
parents, administrators, and others nationwide, including
information about the range of model character education
programs, materials, and curricula.
``(E) Report.--Each entity awarded a grant or entering into
a contract or cooperative agreement under this paragraph
shall submit an annual report to the Secretary that--
``(i) describes the entity's progress in carrying out
research, development, dissemination, evaluation, and
technical assistance under this paragraph;
``(ii) identifies unmet and future information needs in the
field of character education; and
``(iii) if applicable, describes the progress of the entity
in carrying out the requirements of subparagraph (B)(iv),
including a listing of--

``(I) the number of requests for information received by
the entity in the course of carrying out such requirements;
``(II) the types of organizations making such requests; and
``(III) the types of information requested.

``(3) Factors.--Factors that may be considered in
evaluating the success of programs funded under this section
include the following:
``(A) Discipline issues.
``(B) Student academic achievement.
``(C) Participation in extracurricular activities.
``(D) Parental and community involvement.
``(E) Faculty and administration involvement.
``(F) Student and staff morale.
``(G) Overall improvements in school climate for all
students, including students with disabilities (including
those with mental or physical disabilities).
``(i) Permissive Match.--
``(1) In general.--The Secretary may require eligible
entities to match funds awarded under this section with non-
Federal funds, except that the amount of the match may not
exceed the amount of the grant award.
``(2) Sliding scale.--The amount of a match under paragraph
(1) shall be established based on a sliding scale that takes
into account--
``(A) the poverty of the population to be targeted by the
eligible entity; and
``(B) the ability of the eligible entity to obtain funding
for the match.
``(3) In-kind contributions.--The Secretary shall permit
eligible entities to match funds in whole or in part with in-
kind contributions.
``(4) Consideration.--Notwithstanding this subsection, the
Secretary in making awards under this section shall not
consider the ability of an eligible entity to match funds.

``Subpart 4--Smaller Learning Communities

``SEC. 5441. SMALLER LEARNING COMMUNITIES.

``(a) Grant Authority.--The Secretary is authorized to
award grants to local educational agencies to enable the
agencies to create a smaller learning community or
communities.
``(b) Application.--Each local educational agency desiring
a grant under this subpart shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information as the Secretary may require. The
application shall include descriptions of the following:
``(1) Strategies and methods the local educational agency
will use to create the smaller learning community or
communities.
``(2) Curriculum and instructional practices, including any
particular themes or emphases, to be used in the smaller
learning environment.
``(3) The extent of involvement of teachers and other
school personnel in investigating, designing, implementing,
and sustaining the smaller learning community or communities.
``(4) The process to be used for involving students,
parents, and other stakeholders in the development and
implementation of the smaller learning community or
communities.
``(5) Any cooperation or collaboration among community
agencies, organizations, businesses, and others to develop or
implement a plan to create the smaller learning community or
communities.
``(6) The training and professional development activities
that will be offered to teachers and others involved in the
activities assisted under this subpart.
``(7) The objectives of the activities assisted under this
subpart, including a description of how such activities will
better enable all students to reach challenging State
academic content standards and State student academic
achievement standards.
``(8) The methods by which the local educational agency
will assess progress in meeting the objectives described in
paragraph (7).
``(9) If the smaller learning community or communities
exist as a school-within-a-school, the relationship,
including governance and administration, of the smaller
learning community to the remainder of the school.
``(10) The administrative and managerial relationship
between the local educational agency and the smaller learning
community or communities, including how such agency will
demonstrate a commitment to the continuity of the smaller
learning community or communities (including the continuity
of student and teacher assignment to a particular learning
community).
``(11) How the local educational agency will coordinate or
use funds provided under this subpart with other funds
provided under this Act or other Federal laws.
``(12) The grade levels or ages of students who will
participate in the smaller learning community or communities.
``(13) The method of placing students in the smaller
learning community or communities, such that students are not
placed according to ability or any other measure, but are
placed at random or by their own choice, and not pursuant to
testing or other judgments.
``(c) Authorized Activities.--Funds under this section may
be used for one or more of the following:
``(1) To study--
``(A) the feasibility of creating the smaller learning
community or communities; and
``(B) effective and innovative organizational and
instructional strategies that will be used in the smaller
learning community or communities.
``(2) To research, develop, and implement--
``(A) strategies for creating the smaller learning
community or communities; and
``(B) strategies for effective and innovative changes in
curriculum and instruction, geared to challenging State
academic content standards and State student academic
achievement standards.
``(3) To provide professional development for school staff
in innovative teaching methods that--
``(A) challenge and engage students; and
``(B) will be used in the smaller learning community or
communities.
``(4) To develop and implement strategies to include
parents, business representatives, local institutions of
higher education, community-based organizations, and other
community members in the smaller learning communities as

[[Page H9877]]

facilitators of activities that enable teachers to
participate in professional development activities and
provide links between students and their community.

``Subpart 5--Reading is Fundamental--Inexpensive Book Distribution
Program

``SEC. 5451. INEXPENSIVE BOOK DISTRIBUTION PROGRAM FOR
READING MOTIVATION.

``(a) Purpose.--The purpose of this subpart is to establish
and implement a model partnership between a governmental
entity and a private entity, to help prepare young children
for reading and to motivate older children to read, through
the distribution of inexpensive books. Local reading
motivation programs assisted under this section shall use
such assistance to provide books, training for volunteers,
motivational activities, and other essential literacy
resources and shall assign the highest priority to serving
the youngest and neediest children in the United States.
``(b) Authorization.--The Secretary is authorized to enter
into a contract with Reading Is Fundamental (RIF) (hereafter
in this section referred to as the `contractor') to support
and promote programs, which include the distribution of
inexpensive books to young and school-age children, that
motivate children to read.
``(c) Requirements of Contract.--Any contract entered into
under subsection (b) shall contain each of the following:
``(1) A provision that the contractor will enter into
subcontracts with local private nonprofit groups or
organizations, or with public agencies, under which each
subcontractor will agree to establish, operate, and provide
the non-Federal share of the cost of reading motivation
programs that include the distribution of books, by gift (to
the extent feasible) or by loan, to children from birth
through secondary school age, including children in family
literacy programs.
``(2) A provision that funds made available to
subcontractors will be used only to pay the Federal share of
the cost of such programs.
``(3) A provision that, in selecting subcontractors for
initial funding, the contractor will give priority to
programs that will serve a substantial number or percentage
of children with special needs, such as the following:
``(A) Low-income children, particularly in high-poverty
areas.
``(B) Children at risk of school failure.
``(C) Children with disabilities.
``(D) Foster children.
``(E) Homeless children.
``(F) Migrant children.
``(G) Children without access to libraries.
``(H) Institutionalized or incarcerated children.
``(I) Children whose parents are institutionalized or
incarcerated.
``(4) A provision that the contractor will provide such
training and technical assistance to subcontractors as may be
necessary to carry out the purpose of this subpart.
``(5) A provision that the contractor will annually report
to the Secretary the number, and a description, of programs
funded under paragraph (3).
``(6) Such other terms and conditions as the Secretary
determines to be appropriate to ensure the effectiveness of
such programs.
``(d) Restriction on Payments.--The Secretary shall make no
payment of the Federal share of the cost of acquiring and
distributing books under any contract under this section
unless the Secretary determines that the contractor or
subcontractor, as the case may be, has made arrangements with
book publishers or distributors to obtain books at discounts
at least as favorable as discounts that are customarily given
by such publisher or distributor for book purchases made
under similar circumstances in the absence of Federal
assistance.
``(e) Special Rules for Certain Subcontractors.--
``(1) Funds from other federal sources.--Subcontractors
operating programs under this section in low-income
communities with a substantial number or percentage of
children with special needs, as described in subsection
(c)(3), may use funds from other Federal sources to pay the
non-Federal share of the cost of the program, if those funds
do not comprise more than 50 percent of the non-Federal share
of the funds used for the cost of acquiring and distributing
books.
``(2) Waiver authority.--Notwithstanding subsection (c),
the contractor may waive, in whole or in part, the
requirement in subsection (c)(1) for a subcontractor, if the
subcontractor demonstrates that it would otherwise not be
able to participate in the program, and enters into an
agreement with the contractor with respect to the amount of
the non-Federal share to which the waiver will apply. In a
case in which such a waiver is granted, the requirement in
subsection (c)(2) shall not apply.
``(f) Multi-Year Contracts.--The contractor may enter into
a multi-year subcontract under this section, if--
``(1) the contractor believes that such subcontract will
provide the subcontractor with additional leverage in seeking
local commitments; and
``(2) the subcontract does not undermine the finances of
the national program.
``(g) Federal Share Defined.--In this section, the term
`Federal share' means, with respect to the cost to a
subcontractor of purchasing books to be paid for under this
section, 75 percent of such costs to the subcontractor,
except that the Federal share for programs serving children
of migrant or seasonal farmworkers shall be 100 percent of
such costs to the subcontractor.

``Subpart 6--Gifted and Talented Students

``SEC. 5461. SHORT TITLE.

``This subpart may be cited as the `Jacob K. Javits Gifted
and Talented Students Education Act of 2001'.

``SEC. 5462. PURPOSE.

``The purpose of this subpart is to initiate a coordinated
program of scientifically based research, demonstration
projects, innovative strategies, and similar activities
designed to build and enhance the ability of elementary
schools and secondary schools nationwide to meet the special
educational needs of gifted and talented students.

``SEC. 5463. RULE OF CONSTRUCTION.

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

``SEC. 5464. AUTHORIZED PROGRAMS.

``(a) Establishment of Program.--
``(1) In general.--The Secretary (after consultation with
experts in the field of the education of gifted and talented
students) is authorized to make grants to, or enter into
contracts with, State educational agencies, local educational
agencies, institutions of higher education, other public
agencies, and other private agencies and organizations
(including Indian tribes and Indian organizations (as such
terms are defined in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b))
and Native Hawaiian organizations) to assist such agencies,
institutions, and organizations in carrying out programs or
projects authorized by this subpart that are designed to meet
the educational needs of gifted and talented students,
including the training of personnel in the education of
gifted and talented students and in the use, where
appropriate, of gifted and talented services, materials, and
methods for all students.
``(2) Application.--Each entity seeking assistance under
this subpart shall submit an application to the Secretary at
such time, in such manner, and containing such information as
the Secretary may reasonably require. Each such application
shall describe how--
``(A) the proposed gifted and talented services, materials,
and methods can be adapted, if appropriate, for use by all
students; and
``(B) the proposed programs can be evaluated.
``(b) Use of Funds.--Programs and projects assisted under
this section may include each of the following:
``(1) Conducting--
``(A) scientifically based research on methods and
techniques for identifying and teaching gifted and talented
students and for using gifted and talented programs and
methods to serve all students; and
``(B) program evaluations, surveys, and the collection,
analysis, and development of information needed to accomplish
the purpose of this subpart.
``(2) Carrying out professional development (including
fellowships) for personnel (including leadership personnel)
involved in the education of gifted and talented students.
``(3) Establishing and operating model projects and
exemplary programs for serving gifted and talented students,
including innovative methods for identifying and educating
students who may not be served by traditional gifted and
talented programs (such as summer programs, mentoring
programs, service learning programs, and cooperative programs
involving business, industry, and education).
``(4) Implementing innovative strategies, such as
cooperative learning, peer tutoring, and service learning.
``(5) Carrying out programs of technical assistance and
information dissemination, including assistance and
information with respect to how gifted and talented programs
and methods, where appropriate, may be adapted for use by all
students.
``(6) Making materials and services available through State
regional educational service centers, institutions of higher
education, or other entities.
``(7) Providing funds for challenging, high-level course
work, disseminated through technologies (including distance
learning), for individual students or groups of students in
schools and local educational agencies that would not
otherwise have the resources to provide such course work.
``(c) Special Rule.--To the extent that funds appropriated
to carry out this subpart for a fiscal year beginning with
fiscal year 2002 exceed such funds appropriated for fiscal
year 2001, the Secretary shall use such excess funds to
award grants, on a competitive basis, to State educational
agencies, local educational agencies, or both, to
implement activities described in subsection (b).
``(d) Center for Research and Development.--
``(1) In General.--The Secretary (after consultation with
experts in the field of the education of gifted and talented
students) shall establish a National Research Center for the
Education of Gifted and Talented Children and Youth through
grants to, or contracts with, one or more institutions of
higher education or State educational agencies, or a
combination or consortium of such institutions and agencies
and other public or private agencies and organizations, for
the purpose of carrying out activities described in
subsection (b).
``(2) Director.--The National Center shall be headed by a
Director. The Secretary may authorize the Director to carry
out such functions of the National Center as may be agreed
upon through arrangements with institutions of higher
education, State educational agencies, local educational
agencies, or other public or private agencies and
organizations.
``(3) Funding.--The Secretary may use not more than 30
percent of the funds made available under this subpart for
fiscal year 2001 to carry out this subsection.

[[Page H9878]]

``(e) Coordination.--Scientifically based research
activities supported under this subpart--
``(1) shall be carried out in consultation with the Office
of Educational Research and Improvement to ensure that such
activities are coordinated with and enhance the research and
development activities supported by such Office; and
``(2) may include collaborative scientifically based
research activities which are jointly funded and carried out
with such Office.

``SEC. 5465. PROGRAM PRIORITIES.

``(a) General Priority.--In carrying out this subpart, the
Secretary shall give highest priority to programs and
projects designed to develop new information that--
``(1) improves the capability of schools to plan, conduct,
and improve programs to identify and serve gifted and
talented students; and
``(2) assists schools in the identification of, and
provision of services to, gifted and talented students
(including economically disadvantaged individuals,
individuals with limited English proficiency, and individuals
with disabilities) who may not be identified and served
through traditional assessment methods.
``(b) Service Priority.--The Secretary shall ensure that
not less than 50 percent of the applications approved under
section 5464(a)(2) in a fiscal year address the priority
described in subsection (a)(2).

``SEC. 5466. GENERAL PROVISIONS.

``(a) Participation of Private School Children and
Teachers.--In making grants and entering into contracts under
this subpart, the Secretary shall ensure, where appropriate,
that provision is made for the equitable participation of
students and teachers in private nonprofit elementary schools
and secondary schools, including the participation of
teachers and other personnel in professional development
programs serving such students.
``(b) Review, Dissemination, and Evaluation.--The Secretary
shall--
``(1) use a peer review process in reviewing applications
under this subpart;
``(2) ensure that information on the activities and results
of programs and projects funded under this subpart is
disseminated to appropriate State educational agencies, local
educational agencies, and other appropriate organizations,
including nonprofit private organizations; and
``(3) evaluate the effectiveness of programs under this
subpart in accordance with section 9601, in terms of the
impact on students traditionally served in separate gifted
and talented programs and on other students, and submit the
results of such evaluation to Congress not later than 2 years
after the date of enactment of the No Child Left Behind Act
of 2001.
``(c) Program Operations.--The Secretary shall ensure that
the programs under this subpart are administered within the
Department by a person who has recognized professional
qualifications and experience in the field of the education
of gifted and talented students and who shall--
``(1) administer and coordinate the programs authorized
under this subpart;
``(2) serve as a focal point of national leadership and
information on the educational needs of gifted and talented
students and the availability of educational services and
programs designed to meet such needs;
``(3) assist the Assistant Secretary for Educational
Research and Improvement in identifying research priorities
that reflect the needs of gifted and talented students; and
``(4) shall disseminate, and consult on, the information
developed under this subpart with other offices within the
Department.

``Subpart 7--Star Schools Program

``SEC. 5471. SHORT TITLE.

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

``SEC. 5472. PURPOSES.

``The purposes of this subpart are the following:
``(1) To encourage improved instruction in mathematics,
science, and foreign languages as well as other subjects
(such as literacy skills and vocational education).
``(2) To serve underserved populations, including
disadvantaged, illiterate, limited English proficient
populations, and individuals with disabilities through a Star
Schools program under which grants are made to eligible
telecommunication partnerships to enable such partnerships--
``(A) to develop, construct, acquire, maintain, and operate
telecommunications audio and visual facilities and equipment;
``(B) to develop and acquire educational and instructional
programming; and
``(C) to obtain technical assistance for the use of such
facilities and instructional programming.

``SEC. 5473. GRANT PROGRAM AUTHORIZED.

``(a) Authorization.--The Secretary, in conjunction with
the Office of Educational Technology, is authorized to make
grants, in accordance with the provisions of this subpart, to
eligible entities to pay the Federal share of the cost of the
following:
``(1) Development, construction, acquisition, maintenance,
and operation of telecommunications facilities and equipment.
``(2) Development and acquisition of live, interactive
instructional programming.
``(3) Development and acquisition of preservice and
inservice teacher training programs based on established
research regarding teacher-to-teacher mentoring, and ongoing,
in-class instruction.
``(4) Establishment of teleconferencing facilities and
resources for making interactive training available to
teachers.
``(5) Obtaining technical assistance.
``(6) Coordination of the design and connectivity of
telecommunications networks to reach the greatest number of
schools.
``(b) Duration and Amount.--
``(1) In general.--A grant under this section may not
exceed--
``(A) 5 years in duration (subject to subsection (c)); and
``(B) $10,000,000 in any single fiscal year.
``(c) Renewal.--
``(1) In general.--Grants awarded under subsection (a) may
be renewed for a single additional period of 3 years.
``(2) Continuing Eligibility.--In order to be eligible to
receive a grant renewal under this subsection, a grant
recipient shall demonstrate, to the satisfaction of the
Secretary, in an addendum to its application submitted under
section 5474, that the grant recipient will--
``(A) continue to provide services in the subject areas and
geographic areas assisted with funds received under this
subpart for the previous grant period; and
``(B) use all grant funds received under this subpart for
the 3 year renewal period to provide expanded services by--
``(i) increasing the number of students, schools, or school
districts served by the courses of instruction assisted under
this part in the previous fiscal year;
``(ii) providing new courses of instruction; and
``(iii) serving new populations of underserved individuals,
such as children or adults who are disadvantaged, have
limited English proficiency, are individuals with
disabilities, are illiterate, or lack secondary school
diplomas or their recognized equivalent.
``(3) Supplement, not supplant.--Grant funds received under
this subsection shall be used to supplement, and not
supplant, services provided by the grant recipient under this
subpart in the previous fiscal year.
``(d) Reservations.--
``(1) Instructional programming.--At least 25 percent of
the funds made available to the Secretary for any fiscal year
under this subpart shall be used for the cost of
instructional programming.
``(2) Local educational agency assistance.--At least 50
percent of the funds available in any fiscal year under this
subpart shall be used for the cost of facilities, equipment,
teacher training or retraining, technical assistance, or
programming, for local educational agencies that are eligible
to receive assistance under part A of title I.
``(e) Federal Share.--
``(1) Amount.--The Federal share of the cost of projects
funded under this section shall not exceed the following
amounts:
``(A) 75 percent for the first and second years for which
an eligible telecommunications partnership receives a grant
under this subpart.
``(B) 60 percent for the third and fourth such years.
``(C) 50 percent for the fifth such year.
``(2) Reduction or waiver.--The Secretary may reduce or
waive the corresponding non-Federal share under paragraph (1)
upon a showing of financial hardship.
``(f) Required local educational agency participation.--The
Secretary is authorized to make a grant under this section to
any eligible entity, if at least one local educational agency
is participating in the proposed program.
``(g) Assistance Obtaining Satellite Time.--The Secretary
may assist recipients of grants made under this section in
acquiring satellite time, where appropriate, as economically
as possible.

``SEC. 5474. APPLICATIONS.

``(a) Submission.--Each eligible entity that desires to
receive a grant under section 5473 shall submit an
application to the Secretary, at such time, in such manner,
and containing or accompanied by such information as the
Secretary may reasonably require.
``(b) Contents.--An application submitted under subsection
(a) shall include each of the following:
``(1) A description of how the proposed program will assist
all students to have an opportunity to meet challenging State
academic achievement standards, how such program will assist
State and local educational reform efforts, and how such
program will contribute to creating a high-quality system of
educational development.
``(2) A description of the telecommunications facilities
and equipment and technical assistance for which assistance
is sought, which may include--
``(A) the design, development, construction, acquisition,
maintenance, and operation of State or multistate educational
telecommunications networks and technology resource centers;
``(B) microwave, fiber optics, cable, and satellite
transmission equipment or any combination thereof;
``(C) reception facilities;
``(D) satellite time;
``(E) production facilities;
``(F) other telecommunications equipment capable of serving
a wide geographic area;
``(G) the provision of training services to instructors who
will be using the facilities and equipment for which
assistance is sought, including training in using such
facilities and equipment and training in integrating programs
into the classroom curriculum; and
``(H) the development of educational and related
programming for use on a telecommunications network.
``(3) In the case of an application for assistance for
instructional programming, a description of the types of
programming that will be developed to enhance instruction and
training and provide an assurance that such programming will
be designed in consultation with professionals (including
classroom teachers) who are experts in the applicable subject
matter and grade level.

[[Page H9879]]

``(4) A description of how the eligible entity has engaged
in sufficient survey and analysis of the area to be served to
ensure that the services offered by the eligible entity will
increase the availability of courses of instruction in
English, mathematics, science, foreign languages, arts,
history, geography, or other disciplines.
``(5) A description of the professional development
policies for teachers and other school personnel to be
implemented to ensure the effective use of the
telecommunications facilities and equipment for which
assistance is sought.
``(6) A description of the manner in which historically
underserved students (such as students from low-income
families, limited English proficient students, students with
disabilities, or students who have low literacy skills) and
their families, will participate in the benefits of the
telecommunications facilities, equipment, technical
assistance, and programming assisted under this subpart.
``(7) A description of how existing telecommunications
equipment, facilities, and services, where available, will be
used.
``(8) An assurance that the financial interest of the
United States in the telecommunications facilities and
equipment will be protected for the useful life of such
facilities and equipment.
``(9) An assurance that a significant portion of any
facilities and equipment, technical assistance, and
programming for which assistance is sought for elementary
schools and secondary schools will be made available to
schools or local educational agencies that have a high number
or percentage of children eligible to be counted under part A
of title I.
``(10) An assurance that the applicant will use the funds
provided under this subpart to supplement, and not supplant,
funds available for the purposes of this subpart.
``(11) A description of how funds received under this
subpart will be coordinated with funds received for
educational technology in the classroom.
``(12) A description of the activities or services for
which assistance is sought, such as--
``(A) providing facilities, equipment, training services,
and technical assistance;
``(B) making programs accessible to students with
disabilities through mechanisms such as closed captioning and
descriptive video services;
``(C) linking networks around issues of national importance
(such as elections) or to provide information about
employment opportunities, job training, or student and other
social service programs;
``(D) sharing curriculum resources between networks and
development of program guides which demonstrate cooperative,
cross-network listing of programs for specific curriculum
areas;
``(E) providing teacher and student support services,
including classroom and training support materials which
permit student and teacher involvement in the live
interactive distance learning telecasts;
``(F) incorporating community resources, such as libraries
and museums, into instructional programs;
``(G) providing professional development for teachers,
including, as appropriate, training to early childhood
development and Head Start teachers and staff and vocational
education teachers and staff, and adult and family educators;
``(H) providing programs for adults to maximize the use of
telecommunications facilities and equipment;
``(I) providing teacher training on proposed or established
models of exemplary academic content standards in mathematics
and science and other disciplines as such standards are
developed; and
``(J) providing parent education programs during and after
the regular school day which reinforce a student's course of
study and actively involve parents in the learning process.
``(13) A description of how the proposed program as a whole
will be financed and how arrangements for future financing
will be developed before the program expires.
``(14) An assurance that a significant portion of any
facilities, equipment, technical assistance, and programming
for which assistance is sought for elementary schools and
secondary schools will be made available to schools in local
educational agencies that have a high percentage of children
counted for the purpose of part A of title I.
``(15) An assurance that the applicant will provide such
information and cooperate in any evaluation that the
Secretary may conduct under this subpart.
``(16) Such additional assurances as the Secretary may
reasonably require.
``(c) Approval.--In approving applications submitted under
subsection (a) for grants under section 5473, the Secretary
shall--
``(1) to the extent feasible, ensure an equitable
geographic distribution of services provided under this
subpart.
``(2) give priority to applications describing programs
that--
``(A) propose high-quality plans, will provide instruction
consistent with State academic content standards, or will
otherwise provide significant and specific assistance to
States and local educational agencies undertaking systemic
education reform;
``(B) will provide services to programs serving adults,
especially parents, with low levels of literacy;
``(C) will serve schools with significant numbers of
children counted for the purposes of part A of title I;
``(D) ensure that the eligible entity will--
``(i) serve the broadest range of institutions, programs
providing instruction outside of the school setting, programs
serving adults, especially parents, with low levels of
literacy, institutions of higher education, teacher training
centers, research institutes, and private industry;
``(ii) have substantial academic and teaching capabilities,
including the capability of training, retraining, and
inservice upgrading of teaching skills and the capability to
provide professional development;
``(iii) provide a comprehensive range of courses for
educators to teach instructional strategies for students with
different skill levels;
``(iv) provide training to participating educators in ways
to integrate telecommunications courses into existing school
curriculum;
``(v) provide instruction for students, teachers, and
parents;
``(vi) serve a multistate area; and
``(vii) give priority to the provision of equipment and
linkages to isolated areas; and
``(E) involve a telecommunications entity (such as a
satellite, cable, telephone, computer, or public or private
television stations) participating in the eligible entity and
donating equipment or in-kind services for telecommunications
linkages.

``SEC. 5475. OTHER GRANT ASSISTANCE.

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

``SEC. 5476. ADMINISTRATIVE PROVISIONS.

``(a) Leadership, Evaluation, and Peer Review.--
``(1) Reservation of funds.--The Secretary may reserve not
more than 5 percent of the amount made available to carry out
this subpart for a fiscal year for national leadership,
evaluation, and peer review activities, which the Secretary
may carry out directly or through grants, contracts, and
cooperative agreements.
``(2) Leadership.--Funds reserved for leadership activities
under paragraph (1) may be used for--
``(A) disseminating information, including lists and
descriptions of services available from grant recipients
under this subpart; and
``(B) other activities designed to enhance the quality of
distance learning activities nationwide.
``(3) Evaluation.--Funds reserved for evaluation activities
under paragraph (1) may be used to conduct independent
evaluations of the activities assisted under this subpart and
of distance learning in general, including--
``(A) analyses of distance learning efforts (including such
efforts that are, or are not, assisted under this subpart);
and

[[Page H9880]]

``(B) comparisons of the effects (including student
outcomes) of different technologies in distance learning
efforts.
``(4) Peer review.--Funds reserved for peer review
activities under paragraph (1) may be used for peer review
of--
``(A) applications for grants under this subpart; and
``(B) activities assisted under this subpart.
``(b) Coordination.--The Department, the National Science
Foundation, the Department of Agriculture, the Department of
Commerce, and any other Federal department or agency
operating a telecommunications network for educational
purposes, shall coordinate the activities assisted under this
subpart with the activities of such department or agency
relating to a telecommunications network for educational
purposes.
``(c) Funds From Other Agencies.--The Secretary may accept
funds from other Federal departments or agencies to carry out
the purposes of this subpart, including funds for the
purchase of equipment.
``(d) Availability of Funds.--Funds made available to carry
out this subpart shall remain available until expended.
``(e) Closed Captioning and Descriptive Video.--The
Secretary shall encourage each entity receiving funds under
this subpart to provide--
``(1) closed captioning of the verbal content of the
entity's programming, as appropriate; and
``(2) descriptive video of the visual content of the
entity's programming, as appropriate.

``SEC. 5477. DEFINITIONS.

``In this subpart:
``(1) Educational institution.--The term `educational
institution' means an institution of higher education, a
local educational agency, or a State educational agency.
``(2) Eligible entity.--The term `eligible entity' includes
any of the following that is organized on a Statewide or
multistate basis:
``(A) A public agency or corporation established for the
purpose of developing and operating telecommunications
networks to enhance educational opportunities provided by
educational institutions, teacher training centers, and other
entities, except that any such agency or corporation shall
represent the interests of elementary schools and secondary
schools that are eligible to participate in the program under
part A of title I.
``(B) A partnership that will provide telecommunications
services and that includes three or more of the following
entities, at least one of which shall be an agency described
in clause (i) or (ii):
``(i) A local educational agency that serves a significant
number of elementary schools and secondary schools that are
eligible for assistance under part A of title I, or
elementary schools and secondary schools operated or funded
for Indian children by the Department of the Interior
eligible under section 1121(d)(1)(A).
``(ii) A State educational agency.
``(iii) An adult and family education program.
``(iv) An institution of higher education or a State higher
education agency (as that term is defined in section 103 of
the Higher Education Act of 1965 (20 U.S.C. 1003)).
``(v) A teacher training center or academy that--

``(I) provides teacher preservice and inservice training;
and
``(II) receives Federal financial assistance or has been
approved by a State agency;

``(vi)(I) A public or private entity with experience and
expertise in the planning and operation of a
telecommunications network, including entities involved in
telecommunications through satellite, cable, telephone, or
computer; or
``(II) a public broadcasting entity with such experience.
``(vii) A public or private elementary school or secondary
school.
``(3) Instructional programming.--The term `instructional
programming' means courses of instruction and training
courses for elementary and secondary students, teachers, and
others, and materials for use in such instruction and
training that have been prepared in audio and visual form on
tape, disc, film, or live, and presented by means of
telecommunications devices.
``(4) Public broadcasting entity.--The term `public
broadcasting entity' has the same meaning given such term in
section 397 of the Communications Act of 1934 (47 U.S.C.
397).

``Subpart 8--Ready to Teach

``SEC. 5481. GRANTS.

``(a) In General.--The Secretary is authorized to award
grants to a nonprofit telecommunications entity, or
partnership of such entities, for the purpose of carrying out
a national telecommunications-based program to improve
teaching in core curriculum areas. The program shall be
designed to assist elementary school and secondary school
teachers in preparing all students to achieve challenging
State academic content and student academic achievement
standards in core curriculum areas.
``(b) Digital Educational Programming.--The Secretary is
authorized to award grants, as provided for in section 5484,
to eligible entities described in subsection (b) of such
section, to enable such entities to develop, produce, and
distribute innovative educational and instructional video
programming that is designed for use by elementary schools
and secondary schools and based on challenging State academic
content and student academic achievement standards. In
awarding such grants, the Secretary shall ensure that
eligible entities enter into multiyear content development
collaborative arrangements with State educational agencies,
local educational agencies, institutions of higher education,
businesses, or other agencies or organizations.

``SEC. 5482. APPLICATION REQUIRED.

``(a) General Application.--
``(1) In general.--To be eligible to receive a grant under
section 5481(a), a nonprofit telecommunications entity, or
partnership of such entities shall submit an application to
the Secretary. Each such application shall--
``(A) demonstrate that the applicant will use the public
broadcasting infrastructure, the Internet, and school digital
networks, where available, to deliver video and data in an
integrated service to train teachers in the use of materials
and learning technologies for achieving challenging State
academic content and student academic achievement standards;
``(B) ensure that the project for which assistance is
sought will be conducted in cooperation with appropriate
State educational agencies, local educational agencies, and
State or local nonprofit public telecommunications entities;
``(C) ensure that a significant portion of the benefits
available for elementary schools and secondary schools from
the project for which assistance is sought will be available
to schools of local educational agencies that have a high
percentage of children counted for the purpose of part A of
title I; and
``(D) contain such additional assurances as the Secretary
may reasonably require.
``(2) Sites.--In approving applications under paragraph
(1), the Secretary shall ensure that the program authorized
by section 5481(a) is conducted at elementary school and
secondary school sites throughout the United States.
``(b) Programming Application.--To be eligible to receive a
grant under section 5481(b), an entity shall submit an
application to the Secretary at such time, in such manner,
and accompanied by such information as the Secretary may
reasonably require.

``SEC. 5483. REPORTS AND EVALUATION.

``An entity receiving a grant under section 5481(a) shall
prepare and submit to the Secretary an annual report that
contains such information as the Secretary may require. At a
minimum, such report shall describe the program activities
undertaken with funds received under the grant, including--
``(1) the core curriculum areas for which program
activities have been undertaken and the number of teachers
using the program in each core curriculum area; and
``(2) the States in which teachers using the program are
located.

``SEC. 5484. DIGITAL EDUCATIONAL PROGRAMMING GRANTS.

``(a) Grants.--The Secretary is authorized to award grants
under section 5481(b) to eligible entities to facilitate the
development of educational programming that shall--
``(1) include student assessment tools to provide feedback
on student academic achievement;
``(2) include built-in teacher utilization and support
components to ensure that teachers understand and can easily
use the content of the programming with group instruction or
for individual student use;
``(3) be created for, or adaptable to, challenging State
academic content standards and student academic achievement
standards; and
``(4) be capable of distribution through digital
broadcasting and school digital networks.
``(b) Eligible Entities.--To be eligible to receive a grant
under section 5481(b), an entity shall be a local public
telecommunications entity, as defined in section 397(12) of
the Communications Act of 1934, that is able to demonstrate a
capacity for the development and distribution of educational
and instructional television programming of high quality.
``(c) Competitive Basis.--Grants under section 5481(b)
shall be awarded on a competitive basis as determined by the
Secretary.
``(d) Matching Requirement.--To be eligible to receive a
grant under section 5481(b), an entity shall contribute to
the activities assisted under such grant non-Federal matching
funds in an amount equal to not less than 100 percent of the
amount of the grant. Such matching funds may include funds
provided for the transition to digital broadcasting, as well
as in-kind contributions.
``(e) Duration.--A grant under section 5481(b) shall be
awarded for a period of 3 years in order to provide a
sufficient period of time for the creation of a substantial
body of significant content.

``SEC. 5485. ADMINISTRATIVE COSTS.

``An entity that receives a grant under this subpart may
not use more than 5 percent of the amount received under the
grant for administrative costs.

``Subpart 9--Foreign Language Assistance Program

``SEC. 5491. SHORT TITLE.

``This subpart may be cited as the `Foreign Language
Assistance Act of 2001'.

``SEC. 5492. PROGRAM AUTHORIZED.

``(a) Program Authority.--
``(1) In general.--The Secretary is authorized to make
grants, on a competitive basis, to State educational agencies
or local educational agencies to pay the Federal share of the
cost of innovative model programs providing for the
establishment, improvement, or expansion of foreign language
study for elementary school and secondary school students.
``(2) Duration.--Each grant under paragraph (1) shall be
awarded for a period of 3 years.
``(b) Requirements.--
``(1) Grants to state educational agencies.--In awarding a
grant under subsection (a) to a State educational agency, the
Secretary shall support programs that promote systemic
approaches to improving foreign language learning in the
State.
``(2) Grants to local educational agencies.--In awarding a
grant under subsection (a) to a local educational agency, the
Secretary shall support programs that--
``(A) show the promise of being continued beyond the grant
period;

[[Page H9881]]

``(B) demonstrate approaches that can be disseminated and
duplicated in other local educational agencies; and
``(C) may include a professional development component.
``(c) Federal Share.--
``(1) In general.--The Federal share for each fiscal year
shall be 50 percent.
``(2) Waiver.--Notwithstanding paragraph (1), the Secretary
may determine the Federal share for any local educational
agency which the Secretary determines does not have adequate
resources to pay the non-Federal share of the cost of the
activities assisted under this subpart.
``(d) Special rule.--Not less than \3/4\ of the funds made
available under section 5401 to carry out this subpart shall
be used for the expansion of foreign language learning in the
elementary grades.
``(e) Reservation.--The Secretary may reserve not more than
5 percent of funds made available under section 5401 to carry
out this subpart for a fiscal year to evaluate the efficacy
of programs assisted under this subpart.

``SEC. 5493. APPLICATIONS.

``(a) In General.--Any State educational agency or local
educational agency desiring a grant under this subpart shall
submit an application to the Secretary at such time, in such
manner, and containing such information and assurances as the
Secretary may require.
``(b) Special Consideration.--The Secretary shall give
special consideration to applications describing programs
that--
``(1) include intensive summer foreign language programs
for professional development;
``(2) link nonnative English speakers in the community with
the schools in order to promote two-way language learning;
``(3) promote the sequential study of a foreign language
for students, beginning in elementary schools;
``(4) make effective use of technology, such as computer-
assisted instruction, language laboratories, or distance
learning, to promote foreign language study;
``(5) promote innovative activities, such as foreign
language immersion, partial foreign language immersion, or
content-based instruction; and
``(6) are carried out through a consortium comprised of the
agency receiving the grant and an elementary school or
secondary school.

``SEC. 5494. ELEMENTARY SCHOOL FOREIGN LANGUAGE INCENTIVE
PROGRAM.

``(a) Incentive Payments.--From amounts made available
under section 5401 to carry out this subpart, the Secretary
shall make an incentive payment for each fiscal year to each
public elementary school that provides to students attending
such school a program designed to lead to communicative
competency in a foreign language.
``(b) Amount.--The Secretary shall determine the amount of
the incentive payment under subsection (a) for each public
elementary school for each fiscal year on the basis of the
number of students participating in a program described in
such subsection at such school for such year compared to the
total number of such students at all such schools in the
United States for such year.
``(c) Requirement.--The Secretary shall consider a program
to be designed to lead to communicative competency in a
foreign language if such program is comparable to a program
that provides not less than 45 minutes of instruction in a
foreign language for not fewer than 4 days per week
throughout an academic year.

``Subpart 10--Physical Education

``SEC. 5501. SHORT TITLE.

``This subpart may be cited as the `Carol M. White Physical
Education Program'.

``SEC. 5502. PURPOSE.

``The purpose of this subpart is to award grants and
contracts to initiate, expand, and improve physical education
programs for all kindergarten through 12th-grade students.

``SEC. 5503. PROGRAM AUTHORIZED.

``(a) Authorization.--The Secretary is authorized to award
grants to local educational agencies and community-based
organizations (such as Boys and Girls Clubs, Boy Scouts and
Girl Scouts, and the Young Men's Christian Organization
(YMCA) and Young Women's Christian Organization (YWCA)) to
pay the Federal share of the costs of initiating, expanding,
and improving physical education programs (including after-
school programs) for kindergarten through 12th-grade students
by--
``(1) providing equipment and support to enable students to
participate actively in physical education activities; and
``(2) providing funds for staff and teacher training and
education.
``(b) Program Elements.--A physical education program
funded under this subpart may provide for one or more of the
following:
``(1) Fitness education and assessment to help students
understand, improve, or maintain their physical well-being.
``(2) Instruction in a variety of motor skills and physical
activities designed to enhance the physical, mental, and
social or emotional development of every student.
``(3) Development of, and instruction in, cognitive
concepts about motor skill and physical fitness that support
a lifelong healthy lifestyle.
``(4) Opportunities to develop positive social and
cooperative skills through physical activity participation.
``(5) Instruction in healthy eating habits and good
nutrition.
``(6) Opportunities for professional development for
teachers of physical education to stay abreast of the latest
research, issues, and trends in the field of physical
education.
``(c) Special Rule.--For the purpose of this subpart,
extracurricular activities, such as team sports and Reserve
Officers' Training Corps (ROTC) program activities, shall not
be considered as part of the curriculum of a physical
education program assisted under this subpart.

``SEC. 5504. APPLICATIONS.

``(a) Submission.--Each local educational agency or
community-based organization desiring a grant or contract
under this subpart shall submit to the Secretary an
application that contains a plan to initiate, expand, or
improve physical education programs in order to make progress
toward meeting State standards for physical education.
``(b) Private School and Home-Schooled Students.--An
application for funds under this subpart may provide for the
participation, in the activities funded under this subpart,
of--
``(1) students enrolled in private nonprofit elementary
schools or secondary schools, and their parents and teachers;
or
``(2) home-schooled students, and their parents and
teachers.

``SEC. 5505. REQUIREMENTS.

``(a) Annual Report to the Secretary.--In order to continue
receiving funding after the first year of a multiyear grant
or contract under this subpart, the administrator of the
grant or contract for the local educational agency or
community-based organization shall submit to the Secretary an
annual report that--
``(1) describes the activities conducted during the
preceding year; and
``(2) demonstrates that progress has been made toward
meeting State standards for physical education.
``(b) Administrative Expenses.--Not more than 5 percent of
the grant funds made available to a local educational agency
or community-based organization under this subpart for any
fiscal year may be used for administrative expenses.

``SEC. 5506. ADMINISTRATIVE PROVISIONS.

``(a) Federal Share.--The Federal share under this subpart
may not exceed--
``(1) 90 percent of the total cost of a program for the
first year for which the program receives assistance under
this subpart; and
``(2) 75 percent of such cost for the second and each
subsequent such year.
``(b) Proportionality.--To the extent practicable, the
Secretary shall ensure that grants awarded under this subpart
shall be equitably distributed among local educational
agencies and community-based organizations serving urban and
rural areas.
``(c) Report to Congress.--Not later than June 1, 2003, the
Secretary shall submit a report to Congress that--
``(1) describes the programs assisted under this subpart;
``(2) documents the success of such programs in improving
physical fitness; and
``(3) makes such recommendations as the Secretary
determines appropriate for the continuation and improvement
of the programs assisted under this subpart.
``(d) Availability of Funds.--Amounts made available to the
Secretary to carry out this subpart shall remain available
until expended.

``SEC. 5507. SUPPLEMENT, NOT SUPPLANT.

``Funds made available under this subpart shall be used to
supplement, and not supplant, any other Federal, State, or
local funds available for physical education activities.

``Subpart 11--Community Technology Centers

``SEC. 5511. PURPOSE AND PROGRAM AUTHORIZATION.

``(a) Purpose.--It is the purpose of this subpart to assist
eligible applicants--
``(1) to create or expand community technology centers that
will provide disadvantaged residents of economically
distressed urban and rural communities with access to
information technology and related training; and
``(2) to provide technical assistance and support to
community technology centers.
``(b) Program Authorization.--The Secretary is authorized,
in conjunction with the Office of Educational Technology, to
award grants, contracts, or cooperative agreements, on a
competitive basis, for a period of not more than 3 years, to
eligible applicants in order to assist such applicants in--
``(1) creating or expanding community technology centers;
or
``(2) providing technical assistance and support to
community technology centers.
``(3) Service of americorps participants.--The Secretary
may collaborate with the Chief Executive Officer of the
Corporation for National and Community Service on the use in
community technology centers of participants in National
Service programs carried out under subtitle C of title I of
the National and Community Service Act of 1990 (42 U.S.C.
12571 et seq.).

``SEC. 5512. ELIGIBILITY AND APPLICATION REQUIREMENTS.

``(a) Eligible Applicants.--In order to be eligible to
receive an award under this subpart, an applicant shall--
``(1) be an entity (such as a foundation, museum, library,
for-profit business, public or private nonprofit
organization, or community-based organization), an
institution of higher education, a State educational agency,
a local education agency, or a consortium of such entities,
institutions, or agencies; and
``(2) have the capacity to significantly expand access to
computers and related services for disadvantaged residents of
economically distressed urban and rural communities (who
would otherwise be denied such access).
``(b) Application Requirements.--In order to receive an
award under this subpart, an eligible applicant shall submit
an application to the Secretary at such time, and containing
such information, as the Secretary may require. The
application shall include each of the following:
``(1) A description of the proposed project, including a
description of the magnitude of the need for the services and
how the project would

[[Page H9882]]

expand access to information technology and related services
to disadvantaged residents of an economically distressed
urban or rural community.
``(2) A demonstration of--
``(A) the commitment, including the financial commitment,
of entities (such as institutions, organizations, business
and other groups in the community) that will provide support
for the creation, expansion, and continuation of the proposed
project; and
``(B) the extent to which the proposed project coordinates
with other appropriate agencies, efforts, and organizations
providing services to disadvantaged residents of an
economically distressed urban or rural community.
``(3) A description of how the proposed project would be
sustained once the Federal funds awarded under this subpart
end.
``(4) A plan for the evaluation of the program, which shall
include benchmarks to monitor progress toward specific
project objectives.
``(c) Matching Requirements.--The Federal share of the cost
of any project funded under this subpart shall not exceed 50
percent. The non-Federal share of such project may be in cash
or in kind, fairly evaluated, including services.

``SEC. 5513. USES OF FUNDS.

``(a) Required Uses.--A recipient shall use funds under
this subpart for--
``(1) creating or expanding community technology centers
that expand access to information technology and related
training for disadvantaged residents of distressed urban or
rural communities; and
``(2) evaluating the effectiveness of the project.
``(b) Permissible Uses.--A recipient may use funds under
this subpart for activities, described in its application,
that carry out the purposes of this subpart, such as--
``(1) supporting a center coordinator, and staff, to
supervise instruction and build community partnerships;
``(2) acquiring equipment, networking capabilities, and
infrastructure to carry out the project; and
``(3) developing and providing services and activities for
community residents that provide access to computers,
information technology, and the use of such technology in
support of preschool preparation, academic achievement,
educational development, and workforce development, such as
the following:
``(A) After-school activities in which children and youths
use software that provides academic enrichment and assistance
with homework, develop their technical skills, explore the
Internet, and participate in multimedia activities, including
web page design and creation.
``(B) Adult education and family literacy activities
through technology and the Internet, including--
``(i) General Education Development, Language Instruction
Educational Programs, and adult basic education classes or
programs;
``(ii) introduction to computers;
``(iii) intergenerational activities; and
``(iv) educational development opportunities.
``(C) Career development and job preparation activities,
such as--
``(i) training in basic and advanced computer skills;
``(ii) resume writing workshops; and
``(iii) access to databases of employment opportunities,
career information, and other online materials.
``(D) Small business activities, such as--
``(i) computer-based training for basic entrepreneurial
skills and electronic commerce; and
``(ii) access to information on business start-up programs
that is available online, or from other sources.
``(E) Activities that provide home access to computers and
technology, such as assistance and services to promote the
acquisition, installation, and use of information technology
in the home through low-cost solutions such as networked
computers, web-based television devices, and other
technology.

``Subpart 12--Educational, Cultural, Apprenticeship, and Exchange
Programs for Alaska Natives, Native Hawaiians, and Their Historical
Whaling and Trading Partners in Massachusetts

``SEC. 5521. SHORT TITLE.

``This subpart may be cited as the `Alaska Native and
Native Hawaiian Education Through Cultural and Historical
Organizations Act'.

``SEC. 5522. FINDINGS AND PURPOSES.

``(a) Findings.--Congress finds the following:
``(1) Alaska Natives and Native Hawaiians have been linked
for over 200 years to the coastal towns of Salem,
Massachusetts, and New Bedford, Massachusetts, through the
China trade from Salem and whaling voyages from New Bedford.
``(2) Nineteenth-century trading ships sailed from Salem,
Massachusetts, around Cape Horn of South America, and up the
Northwest coast of the United States to Alaska, where their
crews traded with Alaska Native people for furs, and then
went on to Hawaii to trade for sandalwood with Native
Hawaiians before going on to China.
``(3) During the 19th century, over 2,000 whaling voyages
sailed out of New Bedford, Massachusetts to the Arctic region
of Alaska, and joined Alaska Natives from Barrow, Alaska and
other areas in the Arctic region in subsistence whaling
activities.
``(4) Many New Bedford whaling voyages continued on to
Hawaii, where they joined Native Hawaiians from the
neighboring islands.
``(5) From those commercial and whaling voyages, a rich
cultural exchange and strong trading relationships developed
among the three peoples involved.
``(6) In the past decades, awareness of the historical
trading, cultural, and whaling links has faded among Alaska
Natives, Native Hawaiians, and the people of the continental
United States.
``(7) In 2000, the Alaska Native Heritage Center in Alaska,
the Bishop Museum in Hawaii, and the Peabody-Essex Museum in
Massachusetts initiated the New Trade Winds project to use
21st-century technology, including the Internet, to educate
students and their parents about historic and contemporary
cultural and trading ties that continue to link the diverse
cultures of the peoples involved.
``(8) The New Bedford Whaling Museum, in partnership with
the New Bedford Whaling National Historical Park, has
developed a cultural exchange and educational program with
the Inupiat Heritage Center in Barrow, Alaska to bring
together the children, parents, and elders from the Arctic
region of Alaska with children and families of Massachusetts
to learn about their historical ties and about each other's
contemporary cultures.
``(9) Within the fast-growing cultural sector, meaningful
educational and career opportunities based on traditional
relationships exist for Alaska Natives, Native Hawaiians, and
low-income youth in Massachusetts.
``(10) Cultural institutions can provide practical,
culturally relevant, education-related internship and
apprentice programs, such as the Museum Action Corps at the
Peabody-Essex Museum and similar programs at the New Bedford
Oceanarium and other institutions, to prepare youths and
their families for careers in the cultural sector.
``(11) The resources of the institutions described in
paragraphs (7) and (8) provide unique opportunities for
illustrating and interpreting the contributions of Alaska
Natives, Native Hawaiians, the whaling industry, and the
China trade to the economic, social, and environmental
history of the United States, for educating students and
their parents, and for providing opportunities for
internships and apprenticeships leading to careers with
cultural institutions.
``(b) Purposes.--The purposes of this subpart are the
following:
``(1) To authorize and develop innovative culturally-based
educational programs and cultural exchanges to assist Alaska
Natives, Native Hawaiians, and children and families of
Massachusetts linked by history and tradition to Alaska and
Hawaii to learn about shared culture and traditions.
``(2) To authorize and develop internship and apprentice
programs to assist Alaska Natives, Native Hawaiians, and
children and families of Massachusetts linked by history and
tradition with Alaska and Hawaii to prepare for careers with
cultural institutions.
``(3) To supplement programs and authorities in the area of
education to further the objectives of this subpart.

``SEC. 5523. PROGRAM AUTHORIZATION.

``(a) Grants and Contracts.--In order to carry out programs
that fulfill the purposes of this subpart, the Secretary is
authorized to make grants to, or enter into contracts with,
the following:
``(1) The Alaska Native Heritage Center in Anchorage,
Alaska.
``(2) The Inupiat Heritage Center in Barrow, Alaska.
``(3) The Bishop Museum in Hawaii.
``(4) The Peabody-Essex Museum in Salem, Massachusetts.
``(5) The New Bedford Whaling Museum and the New Bedford
Oceanarium in New Bedford, Massachusetts.
``(6) Other Alaska Native and Native Hawaiian cultural and
educational organizations.
``(7) Cultural and educational organizations with
experience in developing or operating programs that
illustrate and interpret the contributions of Alaska Natives,
Native Hawaiians, the whaling industry, and the China trade
to the economic, social, and environmental history of the
United States.
``(8) Consortia of the organizations and entities described
in this subsection.
``(b) Uses of Funds.--Activities provided through programs
carried out under this subpart may include one or more of the
following:
``(1) Development and implementation of educational
programs to increase understanding of cultural diversity and
multicultural communication among Alaska Natives, Native
Hawaiians, and the people of the continental United States,
based on historic patterns of trading and commerce.
``(2) Development and implementation of programs using
modern technology, including the Internet, to educate
students, their parents, and teachers about historic and
contemporary cultural and trading ties that continue to link
the diverse cultures of Alaska Natives, Native Hawaiians, and
the people of Massachusetts.
``(3) Cultural exchanges of elders, students, parents, and
teachers among Alaska Natives, Native Hawaiians, and the
people of Massachusetts to increase awareness of diverse
cultures among each group.
``(4) Sharing of collections among cultural institutions
designed to increase awareness of diverse cultures and links
among them.
``(5) Development and implementation of internship and
apprentice programs in cultural institutions to train Alaska
Natives, Native Hawaiians and low-income students in
Massachusetts for careers with cultural institutions.
``(6) Other activities, consistent with the purposes of
this subpart, to meet the educational needs of Alaska
Natives, Native Hawaiians, and students and their parents in
Massachusetts.

``SEC. 5524. ADMINISTRATIVE PROVISIONS.

``(a) Application Required.--No grant may be made under
this subpart, and no contract may be entered into under this
subpart, unless the entity seeking the grant or contract
submits an application to the Secretary at such time, in such
manner, and containing such information as the Secretary may
determine to be necessary to carry out the provisions of this
subpart.

[[Page H9883]]

``(b) Local Educational Agency Coordination.--Each
applicant for a grant or contract under this subpart shall
inform each local educational agency serving students who
will participate in the program to be carried out under the
grant or contract about the application.

``SEC. 5525. AVAILABILITY OF FUNDS.

``If sufficient funds are made available under section 5401
to carry out this subpart for a fiscal year, the Secretary
shall make available, to support activities described in
section 5523(b), the following amounts:
``(1) Not less than $2,000,000 each to--
``(A) the New Bedford Whaling Museum, in partnership with
the New Bedford Oceanarium, in Massachusetts; and
``(B) the Inupiat Heritage Center in Alaska.
``(2) For the New Trade Winds project, not less than
$1,000,000 each to--
``(A) the Alaska Native Heritage Center in Alaska;
``(B) the Bishop Museum in Hawaii; and
``(C) the Peabody-Essex Museum in Massachusetts.
``(3) For internship and apprenticeship programs (including
the Museum Action Corps of the Peabody-Essex Museum), not
less than $1,000,000 each to--
``(A) the Alaska Native Heritage Center in Alaska;
``(B) the Bishop Museum in Hawaii; and
``(C) the Peabody-Essex Museum in Massachusetts.

``SEC. 5526. DEFINITIONS.

``In this subpart:
``(1) Alaska Native.--The term `Alaska Native' has the
meaning given that term in section 7306.
``(2) Native Hawaiian.--The term `Native Hawaiian' has the
meaning given that term in section 7207.

``Subpart 13--Excellence in Economic Education

``SEC. 5531. SHORT TITLE.

``This subpart may be cited as the `Excellence in Economic
Education Act of 2001'.

``SEC. 5532. PURPOSE AND GOALS.

``(a) Purpose.--The purpose of this subpart is to promote
economic and financial literacy among all students in
kindergarten through grade 12 by awarding a competitive grant
to a national nonprofit educational organization that has as
its primary purpose the improvement of the quality of student
understanding of personal finance and economics.
``(b) Objectives.--The objectives of this subpart are the
following:
``(1) To increase students' knowledge of, and achievement
in, economics to enable the students to become more
productive and informed citizens.
``(2) To strengthen teachers' understanding of, and
competency in, economics to enable the teachers to increase
student mastery of economic principles and the practical
application of those principles.
``(3) To encourage economic education research and
development, to disseminate effective instructional
materials, and to promote replication of best practices and
exemplary programs that foster economic literacy.
``(4) To assist States in measuring the impact of education
in economics.
``(5) To leverage and expand private and public support for
economic education partnerships at national, State, and local
levels.

``SEC. 5533. GRANT PROGRAM AUTHORIZED.

``(a) Authorization.--The Secretary is authorized to award
a competitive grant to a national nonprofit educational
organization that has as its primary purpose the improvement
of the quality of student understanding of personal finance
and economics through effective teaching of economics in the
Nation's classrooms (referred to in this subpart as the
`grantee').
``(b) Uses of funds.--
``(1) Direct activities.--The grantee shall use 25 percent
of the funds made available through the grant for a fiscal
year--
``(A) to strengthen and expand the grantee's relationships
with State and local personal finance, entrepreneurial, and
economic education organizations;
``(B) to support and promote training of teachers who teach
a grade from kindergarten through grade 12 regarding
economics, including the dissemination of information on
effective practices and research findings regarding the
teaching of economics;
``(C) to support research on effective teaching practices
and the development of assessment instruments to document
student understanding of personal finance and economics; and
``(D) to develop and disseminate appropriate materials to
foster economic literacy.
``(2) Subgrants.--The grantee shall use 75 percent of the
funds made available through the grant for a fiscal year to
award subgrants to State educational agencies or local
educational agencies, and State or local economic, personal
finance, or entrepreneurial education organizations (referred
to in this section as the `recipient'). The grantee shall
award such a subgrant to pay for the Federal share of the
cost of enabling the recipient to work in partnership with
one or more of the entities described in paragraph (3) for
one or more of the following purposes:
``(A) Collaboratively establishing and conducting teacher
training programs that use effective and innovative
approaches to the teaching of economics, personal finance,
and entrepreneurship.
``(B) Providing resources to school districts that desire
to incorporate economics and personal finance into the
curricula of the schools in the districts.
``(C) Conducting evaluations of the impact of economic and
financial literacy education on students.
``(D) Conducting economic and financial literacy education
research.
``(E) Creating and conducting school-based student
activities to promote consumer, economic, and personal
finance education (such as saving, investing, and
entrepreneurial education) and to encourage awareness and
student academic achievement in economics.
``(F) Encouraging replication of best practices to promote
economic and financial literacy.
``(3) Partnership entities.--The entities described in this
paragraph are the following:
``(A) A private sector entity.
``(B) A State educational agency.
``(C) A local educational agency.
``(D) An institution of higher education.
``(E) An organization promoting economic development.
``(F) An organization promoting educational excellence.
``(G) An organization promoting personal finance or
entrepreneurial education.

``SEC. 5534. APPLICATIONS.

``(a) Grantee Applications.--To be eligible to receive a
grant under this subpart, the grantee shall submit to the
Secretary an application at such time, in such manner, and
accompanied by such information as the Secretary may require.
``(b) Recipient Applications.--
``(1) Submission.--To be eligible to receive a subgrant
under this section, a recipient shall submit an application
to the grantee at such time, in such manner, and accompanied
by such information as the grantee may require.
``(2) Review.--The grantee shall invite the individuals
described in paragraph (3) to review all applications from
recipients for a subgrant under this section and to make
recommendations to the grantee regarding the approval of the
applications.
``(3) Reviewers.--The individuals described in this
paragraph are the following:
``(i) Leaders in the fields of economics and education.
``(ii) Such other individuals as the grantee determines to
be necessary, especially members of the State and local
business, banking, and finance communities.

``SEC. 5535. REQUIREMENTS.

``(a) Administrative costs.--The grantee and each recipient
receiving a subgrant under this subpart for a fiscal year may
use not more than 5 percent of the funds made available
through the grant or subgrant for administrative costs.
``(b) Teacher Training Programs.--In carrying out the
teacher training programs described in section 5533(b)(2)(A),
a recipient shall--
``(1) train teachers who teach a grade from kindergarten
through grade 12; and
``(2) encourage teachers from disciplines other than
economics and financial literacy to participate in such
teacher training programs, if the training will promote the
economic and financial literacy of those teachers' students.
``(c) Involvement of Business Community.--In carrying out
the activities assisted under this subpart, the grantee and
recipients are strongly encouraged to--
``(1) include interactions with the local business
community to the fullest extent possible to reinforce the
connection between economic and financial literacy and
economic development; and
``(2) work with private businesses to obtain matching
contributions for Federal funds and assist recipients in
working toward self-sufficiency.
``(d) Additional requirements and technical assistance.--
The grantee shall--
``(1) meet such other requirements as the Secretary
determines to be necessary to assure compliance with this
section; and
``(2) receive from the Secretary such technical assistance
as may be necessary to carry out this section.

``SEC. 5536. ADMINISTRATIVE PROVISIONS.

``(a) Federal Share.--The Federal share of the cost
described in section 5533(b)(2) shall be 50 percent.
``(b) Payment of Non-Federal Share.--The non-Federal share
may be paid in cash or in kind (fairly evaluated, including
plant, equipment, or services).
``(c) Reports to Congress.--Not later than 2 years after
the date funds are first made available to carry out this
subpart, and every 2 years thereafter, the Secretary shall
submit to the appropriate committees of Congress a report
regarding activities assisted under this subpart.

``SEC. 5537. SUPPLEMENT, NOT SUPPLANT.

Funds made available to carry out this subpart shall be
used to supplement, and not supplant, other Federal, State,
and local funds expended for the purpose described in section
5532(a).

``Subpart 14--Grants to Improve the Mental Health of Children

``SEC. 5541. GRANTS FOR THE INTEGRATION OF SCHOOLS AND MENTAL
HEALTH SYSTEMS.

``(a) Authorization.--The Secretary is authorized to award
grants to, or enter into contracts or cooperative agreements
with, State educational agencies, local educational agencies,
or Indian tribes, for the purpose of increasing student
access to quality mental health care by developing innovative
programs to link local school systems with the local mental
health system.
``(b) Duration.--With respect to a grant, contract, or
cooperative agreement awarded or entered into under this
section, the period during which payments under such grant,
contract or agreement are made to the recipient may not
exceed 5 years.
``(c) Use of funds.--A State educational agency, local
educational agency, or Indian

[[Page H9884]]

tribe that receives a grant, contract, or cooperative
agreement under this section shall use amounts made available
through such grant, contract, or cooperative agreement for
the following:
``(1) To enhance, improve, or develop collaborative efforts
between school-based service systems and mental health
service systems to provide, enhance, or improve prevention,
diagnosis, and treatment services to students.
``(2) To enhance the availability of crisis intervention
services, appropriate referrals for students potentially in
need of mental health services, and ongoing mental health
services.
``(3) To provide training for the school personnel and
mental health professionals who will participate in the
program carried out under this section.
``(4) To provide technical assistance and consultation to
school systems and mental health agencies and families
participating in the program carried out under this section.
``(5) To provide linguistically appropriate and culturally
competent services.
``(6) To evaluate the effectiveness of the program carried
out under this section in increasing student access to
quality mental health services, and make recommendations to
the Secretary about sustainability of the program.
``(d) Applications.--To be eligible to receive a grant,
contract, or cooperative agreement under this section, a
State educational agency, local educational agency, or Indian
tribe shall submit an application to the Secretary at such
time, in such manner, and containing such information as the
Secretary may reasonably require. The application shall
include each of the following:
``(1) A description of the program to be funded under the
grant, contract, or cooperative agreement.
``(2) A description of how such program will increase
access to quality mental health services for students.
``(3) A description of how the applicant will establish a
crisis intervention program to provide immediate mental
health services to the school community when necessary.
``(4) An assurance that--
``(A) persons providing services under the grant, contract,
or cooperative agreement are adequately trained to provide
such services;
``(B) the services will be provided in accordance with
subsection (c);
``(C) teachers, principal administrators, and other school
personnel are aware of the program; and
``(D) parents of students participating in services under
this section will be involved in the design and
implementation of the services.
``(5) An explanation of how the applicant will support and
integrate existing school-based services with the program to
provide appropriate mental health services for students.
``(6) An explanation of how the applicant will establish a
program that will support students and the school in
maintaining an environment conducive to learning.
``(e) Interagency agreements.--
``(1) Designation of lead agency.--The recipient of each
grant, contract, or cooperative agreement shall designate a
lead agency to direct the establishment of an interagency
agreement among local educational agencies, juvenile justice
authorities, mental health agencies, and other relevant
entities in the State, in collaboration with local entities
and parents and guardians of students.
``(2) Contents.--The interagency agreement shall ensure the
provision of the services described in subsection (c),
specifying with respect to each agency, authority, or
entity--
``(A) the financial responsibility for the services;
``(B) the conditions and terms of responsibility for the
services, including quality, accountability, and coordination
of the services; and
``(C) the conditions and terms of reimbursement among the
agencies, authorities, or entities that are parties to the
interagency agreement, including procedures for dispute
resolution.
``(f) Evaluation.--The Secretary shall evaluate each
program carried out by a State educational agency, local
educational agency, or Indian tribe under this section and
shall disseminate the findings with respect to each such
evaluation to appropriate public and private entities.
``(g) Distribution of awards.--The Secretary shall ensure
that grants, contracts, and cooperative agreements awarded or
entered into under this section are equitably distributed
among the geographical regions of the United States and among
urban, suburban, and rural populations.
``(h) Rule of Construction.--Nothing in Federal law shall
be construed--
``(1) to prohibit an entity involved with a program carried
out under this section from reporting a crime that is
committed by a student to appropriate authorities; or
``(2) to prevent State law enforcement and judicial
authorities from exercising their responsibilities with
regard to the application of Federal and State law to crimes
committed by a student.
``(i) Supplement, Not Supplant.--Any services provided
through programs carried out under this section must
supplement, and not supplant, existing mental health
services, including any services required to be provided
under the Individuals with Disabilities Education Act (20
U.S.C. 1400 et seq.).

``SEC. 5542. PROMOTION OF SCHOOL READINESS THROUGH EARLY
CHILDHOOD EMOTIONAL AND SOCIAL DEVELOPMENT.

``(a) Authorization.--The Secretary, in consultation with
the Secretary of Health and Human Services, may award grants
(to be known as `Foundations for Learning Grants') to local
educational agencies, local councils, community-based
organizations, and other public or nonprofit private entities
to assist eligible children to become ready for school.
``(b) Applications.--To be eligible to receive a grant
under this section, a local educational agency, local
council, community-based organization, or other public or
nonprofit private entity, or a combination of such entities,
shall submit an application to the Secretary at such time, in
such manner, and accompanied by such information as the
Secretary may reasonably require. The application shall
include each of the following:
``(1) A description of the population that the applicant
intends to serve and the types of services to be provided
under the grant.
``(2) A description of the manner in which services under
the grant will be coordinated with existing similar services
provided by public and nonprofit private entities within the
State.
``(3) An assurance that--
``(A) services under the grant shall be provided by or
under the supervision of qualified professionals with
expertise in early childhood development;
``(B) such services shall be culturally competent;
``(C) such services shall be provided in accordance with
subsection (c);
``(D) funds received under this section shall be used to
supplement, and not supplant, non-Federal funds; and
``(E) parents of students participating in services under
this section will be involved in the design and
implementation of the services.
``(c) Uses of funds.--A local educational agency, local
council, community-based organization, or other public or
nonprofit private entity that receives funds under this
section may use such funds to benefit eligible children, for
one or more of the following:
``(1) To deliver services to eligible children and their
families that foster eligible children's emotional,
behavioral, and social development and take into
consideration the characteristics described in subsection
(f)(1)
``(2) To coordinate and facilitate access by eligible
children and their families to the services available through
community resources, including mental health, physical
health, substance abuse, educational, domestic violence
prevention, child welfare, and social services.
``(3) To provide ancillary services such as transportation
or child care in order to facilitate the delivery of any
other services or activities authorized by this section.
``(4) To develop or enhance early childhood community
partnerships and build toward a community system of care that
brings together child-serving agencies or organizations to
provide individualized supports for eligible children and
their families.
``(5) To evaluate the success of strategies and services
provided pursuant to this section in promoting young
children's successful entry to school and to maintain data
systems required for effective evaluations.
``(6) To pay for the expenses of administering the
activities authorized under this section, including
assessment of children's eligibility for services.
``(d) Limitations.--
``(1) Services not otherwise funded.--A local educational
agency, local council, community-based organization, or other
public or nonprofit private entity may use funds under this
section only to pay for services that cannot be paid for
using other Federal, State, or local public resources or
through private insurance.
``(2) Administrative expenses.--A grantee may not use more
than 3 percent of the amount of the grant to pay the
administrative expenses described in subsection (c)(6).
``(e) Evaluations.--The Secretary shall directly evaluate,
or enter into a contract for an outside evaluation of, each
program carried out under this section and shall disseminate
the findings with respect to such evaluation to appropriate
public and private entities.
``(f) Definitions.--In this section:
``(1) Eligible child.--The term `eligible child' means a
child who has not attained the age of 7 years, and to whom
two or more of the following characteristics apply:
``(A) The child has been abused, maltreated, or neglected.
``(B) The child has been exposed to violence.
``(C) The child has been homeless.
``(D) The child has been removed from child care, Head
Start, or preschool for behavioral reasons or is at risk of
being so removed.
``(E) The child has been exposed to parental depression or
other mental illness.
``(F) The family income with respect to the child is below
200 percent of the poverty line.
``(G) The child has been exposed to parental substance
abuse.
``(H) The child has had early behavioral and peer
relationship problems.
``(I) The child had a low birth weight.
``(J) The child has a cognitive deficit or developmental
disability.
``(2) Local council.--The term `local council' means a
council that is established or designated by a local
government entity, Indian tribe, regional corporation, or
native Hawaiian entity, as appropriate, which is composed of
representatives of local agencies directly affected by early
learning programs, parents, key community leaders, and other
individuals concerned with early learning issues in the
locality, such as elementary education, child care resource
and referral services, early learning opportunities, child
care, and health services.
``(3) Provider of early childhood services.--The term
`provider of early childhood services' means a public or
private entity that has regular contact with young children,
including child welfare agencies, child care providers, Head
Start and Early Head Start providers, preschools,
kindergartens, libraries, mental health professionals, family
courts, homeless shelters, and primary care providers.

[[Page H9885]]

``Subpart 15--Arts in Education

``SEC. 5551. ASSISTANCE FOR ARTS EDUCATION.

``(a) Purposes.--The purposes of this subpart are the
following:
``(1) To support systemic education reform by strengthening
arts education as an integral part of the elementary school
and secondary school curriculum.
``(2) To help ensure that all students meet challenging
State academic content standards and challenging State
student academic achievement standards in the arts.
``(3) To support the national effort to enable all students
to demonstrate competence in the arts.
``(b) Authority.--The Secretary is authorized to make
grants to, or enter into contracts or cooperative agreements
with, eligible entities described in subsection (c).
``(c) Eligible Entities.--The Secretary may make assistance
available under subsection (b) to each of the following
eligible entities:
``(1) State educational agencies.
``(2) Local educational agencies.
``(3) Institutions of higher education.
``(4) Museums or other cultural institutions.
``(5) Any other public or private agencies, institutions,
or organizations.
``(d) Use of Funds.--Assistance made available under this
subpart may be used for any of the following:
``(1) Research on arts education.
``(2) Planning, developing, acquiring, expanding,
improving, or disseminating information about model school-
based arts education programs.
``(3) The development of model State arts education
assessments based on State academic achievement standards.
``(4) The development and implementation of curriculum
frameworks for arts education.
``(5) The development of model inservice professional
development programs for arts educators and other
instructional staff.
``(6) Supporting collaborative activities with Federal
agencies or institutions involved in arts education, arts
educators, and organizations representing the arts, including
State and local arts agencies involved in arts education.
``(7) Supporting model projects and programs in the
performing arts for children and youth through arrangements
made with the John F. Kennedy Center for the Performing Arts.
``(8) Supporting model projects and programs by Very
Special Arts which assure the participation in mainstream
settings in arts and education programs of individuals with
disabilities.
``(9) Supporting model projects and programs to integrate
arts education into the regular elementary school and
secondary school curriculum.
``(10) Other activities that further the purposes of this
subpart.
``(e) Special Rule.--If the amount made available to the
Secretary to carry out this subpart for any fiscal year is
$15,000,000 or less, then such amount shall only be available
to carry out the activities described in paragraphs (7) and
(8) of subsection (d).
``(f) Conditions.--As conditions of receiving assistance
made available under this subpart, the Secretary shall
require each entity receiving such assistance--
``(1) to coordinate, to the extent practicable, each
project or program carried out with such assistance with
appropriate activities of public or private cultural
agencies, institutions, and organizations, including museums,
arts education associations, libraries, and theaters; and
``(2) to use such assistance only to supplement, and not to
supplant, any other assistance or funds made available from
non-Federal sources for the activities assisted under this
subpart.
``(g) Consultation.--In carrying out this subpart, the
Secretary shall consult with Federal agencies or
institutions, arts educators (including professional arts
education associations), and organizations representing the
arts (including State and local arts agencies involved in
arts education).

``Subpart 16--Parental Assistance and Local Family Information Centers

``SEC. 5561. PURPOSES.

``The purposes of this subpart are the following:
``(1) To provide leadership, technical assistance, and
financial support to nonprofit organizations (including
statewide nonprofit organizations) and local educational
agencies to help the organizations and agencies implement
successful and effective parental involvement policies,
programs, and activities that lead to improvements in student
academic achievement.
``(2) To strengthen partnerships among parents (including
parents of children from birth through age 5), teachers,
principals, administrators, and other school personnel in
meeting the educational needs of children.
``(3) To develop and strengthen the relationship between
parents and their children's school.
``(4) To further the developmental progress of children
assisted under this subpart.
``(5) To coordinate activities funded under this subpart
with parental involvement initiatives funded under section
1118 and other provisions of this Act.
``(6) To provide a comprehensive approach to improving
student learning, through coordination and integration of
Federal, State, and local services and programs.

``SEC. 5562. GRANTS AUTHORIZED.

``(a) Parental Information and Resource Centers.--The
Secretary is authorized to award grants in each fiscal year
to nonprofit organizations (including statewide nonprofit
organizations), and consortia of such organizations and local
educational agencies, to establish school-linked or school-
based parental information and resource centers that provide
comprehensive training, information, and support to--
``(1) parents of children enrolled in elementary schools
and secondary schools;
``(2) individuals who work with the parents of children
enrolled in elementary schools and secondary schools;
``(3) State educational agencies, local educational
agencies, schools, organizations that support family-school
partnerships (such as parent-teacher associations and Parents
as Teachers organizations), and other organizations that
carry out parent education and family involvement programs;
and
``(4) parents of children from birth through age 5.
``(b) Geographic Distribution.--In awarding grants under
this subpart, the Secretary shall, to the extent practicable,
ensure that such grants are distributed in all geographic
regions of the United States.

``SEC. 5563. APPLICATIONS.

``(a) Submission.--Each nonprofit organization (including a
statewide nonprofit organization), or a consortia of such an
organization and a local educational agency, that desires a
grant under this subpart shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information as the Secretary may require.
``(b) Contents.--Each application submitted under
subsection (a), at a minimum, shall include assurances that
the organization or consortium will--
``(1)(A) be governed by a board of directors the membership
of which includes parents; or
``(B) be an organization or consortium that represents the
interests of parents;
``(2) establish a special advisory committee the membership
of which includes--
``(A) parents of children enrolled in elementary schools
and secondary schools, who shall constitute a majority of the
members of the special advisory committee;
``(B) representatives of education professionals with
expertise in improving services for disadvantaged children;
and
``(C) representatives of local elementary schools and
secondary schools, including students and representatives
from local youth organizations;
``(3) use at least 50 percent of the funds received under
this subpart in each fiscal year to serve areas with high
concentrations of low-income families, in order to serve
parents who are severely educationally or economically
disadvantaged;
``(4) operate a center of sufficient size, scope, and
quality to ensure that the center is adequate to serve the
parents in the area;
``(5) serve both urban and rural areas;
``(6) design a center that meets the unique training,
information, and support needs of parents of children
enrolled in elementary schools and secondary schools,
particularly such parents who are educationally or
economically disadvantaged;
``(7) demonstrate the capacity and expertise to conduct the
effective training, information, and support activities for
which assistance is sought;
``(8) network with--
``(A) local educational agencies and schools;
``(B) parents of children enrolled in elementary schools
and secondary schools;
``(C) parent training and information centers assisted
under section 682 of the Individuals with Disabilities
Education Act;
``(D) clearinghouses; and
``(E) other organizations and agencies;
``(9) focus on serving parents of children enrolled in
elementary schools and secondary schools who are parents of
low-income, minority, and limited English proficient
children;
``(10) use at least 30 percent of the funds received under
this subpart in each fiscal year to establish, expand, or
operate Parents as Teachers programs, Home Instruction for
Preschool Youngsters programs, or other early childhood
parent education programs;
``(11) provide assistance to parents in areas such as
understanding State and local standards and measures of
student and school academic achievement;
``(12) work with State educational agencies and local
educational agencies to determine parental needs and the best
means for delivery of services;
``(13) identify and coordinate Federal, State, and local
services and programs that support improved student learning,
including programs supported under this Act, violence
prevention programs, nutrition programs, housing programs,
Head Start programs, adult education, and job training; and
``(14) work with and foster partnerships with other
agencies that provide programs and deliver services described
in paragraph (13) to make such programs and services more
accessible to children and families.

``SEC. 5564. USES OF FUNDS.

``(a) In General.--Grant funds received under this subpart
shall be used for one or more of the following:
``(1) To assist parents in participating effectively in
their children's education and to help their children meet
State and local standards, such as assisting parents--
``(A) to engage in activities that will improve student
academic achievement, including understanding the
accountability systems in place within their State
educational agency and local educational agency and
understanding their children's educational academic
achievement in comparison to State and local standards;
``(B) to provide follow-up support for their children's
educational achievement;
``(C) to communicate effectively with teachers, principals,
counselors, administrators, and other school personnel;
``(D) to become active participants in the development,
implementation, and review of

[[Page H9886]]

school-parent compacts, parent involvement policies, and
school planning and improvement;
``(E) to participate in the design and provision of
assistance to students who are not making adequate academic
progress;
``(F) to participate in State and local decisionmaking; and
``(G) to train other parents (such as training related to
Parents as Teachers activities).
``(2) To obtain information about the range of options,
programs, services, and resources available at the national,
State, and local levels to assist parents and school
personnel who work with parents.
``(3) To help the parents learn and use the technology
applied in their children's education.
``(4) To plan, implement, and fund activities for parents
that coordinate the education of their children with other
Federal, State, and local services and programs that serve
their children or their families.
``(5) To provide support for State or local educational
personnel, if the participation of such personnel will
further the activities assisted under the grant.
``(6) To coordinate and integrate early childhood programs
with school-age programs.
``(b) Permissive Activities.--Grant funds received under
this subpart may be used to assist schools with activities
including one or more of the following:
``(1) Developing and implementing the schools' plans or
activities under sections 1118 and 1119.
``(2) Developing and implementing school improvement plans,
including addressing problems that develop in the
implementation of the schools' plans or activities under
sections 1118 and 1119.
``(3) Providing information about assessment and individual
results to parents in a manner and a language the family can
understand.
``(4) Coordinating the efforts of Federal, State, and local
parent education and family involvement initiatives.
``(5) Providing training, information, and support to--
``(A) State educational agencies;
``(B) local educational agencies and schools, especially
low-performing local educational agencies and schools; and
``(C) organizations that support family-school
partnerships.

``SEC. 5565. ADMINISTRATIVE PROVISIONS.

``(a) Matching Funds for Grant Renewal.--For each fiscal
year after the first fiscal year in which an organization or
consortium receives assistance under this subpart, the
organization or consortium shall demonstrate in the
application submitted for such fiscal year, that a portion of
the services provided by the organization or consortium is
supported through non-Federal contributions, which
contributions may be in cash or in kind.
``(b) Submission of Information.--
``(1) In general.--Each organization or consortium
receiving assistance under this subpart shall submit to the
Secretary, on an annual basis, information concerning the
parental information and resource centers assisted under this
subpart, including the following information:
``(A) The number of parents (including the number of
minority and limited English proficient parents) who receive
information and training.
``(B) The types and modes of training, information, and
support provided under this subpart.
``(C) The strategies used to reach and serve parents of
minority and limited English proficient children, parents
with limited literacy skills, and other parents in need of
the services provided under this subpart.
``(D) The parental involvement policies and practices used
by the center and an evaluation of whether such policies and
practices are effective in improving home-school
communication, student academic achievement, student and
school academic achievement, and parental involvement in
school planning, review, and improvement.
``(E) The effectiveness of the activities that local
educational agencies and schools are carrying out, with
regard to parental involvement and other activities assisted
under this Act, that lead to improved student academic
achievement and improved student and school academic
achievement.
``(2) Dissemination.--The Secretary shall disseminate
annually to Congress and the public the information that each
organization or consortium submits under paragraph (1).
``(c) Technical Assistance.--The Secretary shall provide
technical assistance, by grant or contract, for the
establishment, development, and coordination of parent
training, information, and support programs and parental
information and resource centers.
``(d) Rule of Construction.--Nothing in this subpart shall
be construed to prohibit a parental information and resource
center from--
``(1) having its employees or agents meet with a parent at
a site that is not on school grounds; or
``(2) working with another agency that serves children.
``(e) Parental Rights.--Notwithstanding any other provision
of this subpart--
``(1) no person (including a parent who educates a child at
home, a public school parent, or a private school parent)
shall be required to participate in any program of parent
education or developmental screening under this subpart; and
``(2) no program or center assisted under this subpart
shall take any action that infringes in any manner on the
right of a parent to direct the education of their children.
``(f) Continuation of Awards.--The Secretary shall use
funds made available under this subpart to continue to make
grant or contract payments to each entity that was awarded a
multiyear grant or contract under title IV of the Goals 2000:
Educate America Act (as such title was in effect on the day
before the date of enactment of the No Child Left Behind Act
of 2001) for the duration of the grant or contract award.

``SEC. 5566. LOCAL FAMILY INFORMATION CENTERS.

``(a) In General.--If the amount made available to carry
out this subpart for a fiscal year is more than $50,000,000,
the Secretary is authorized to award 50 percent of the amount
that exceeds $50,000,000 as grants to, and enter into
contracts and cooperative agreements with, local nonprofit
parent organizations to enable the organizations to support
local family information centers that help ensure that
parents of students in elementary schools and secondary
schools assisted under this subpart have the training,
information, and support the parents need to enable the
parents to participate effectively in their children's early
childhood education, in their children's elementary and
secondary education, and in helping their children to meet
challenging State academic content and student academic
achievement standards.
``(b) Local Nonprofit Parent Organization Defined.--In this
section, the term `local nonprofit parent organization' means
a private nonprofit organization (other than an institution
of higher education) that--
``(1) has a demonstrated record of working with low-income
individuals and parents;
``(2)(A) has a board of directors, the majority of whom are
parents of students in elementary schools and secondary
schools assisted under part A of title I and located in the
geographic area to be served by a local family information
center; or
``(B) has a special governing committee to direct and
implement a local family information center, a majority of
the members of whom are parents of students in schools
assisted under part A of title I; and
``(3) is located in a community with elementary schools and
secondary schools that receive funds under part A of title I,
and is accessible to the families of students in those
schools.

``Subpart 17--Combatting Domestic Violence

``SEC. 5571. GRANTS TO COMBAT THE IMPACT OF EXPERIENCING OR
WITNESSING DOMESTIC VIOLENCE ON ELEMENTARY AND
SECONDARY SCHOOL CHILDREN.

``(a) Definitions.--In this section:
``(1) Domestic violence.--The term `domestic violence' has
the meaning given that term in section 2003 of the Omnibus
Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3796gg-
2).
``(2) Expert.--The term `expert' means--
``(A) an expert on domestic violence, sexual assault, and
child abuse from the educational, legal, youth, mental
health, substance abuse, or victim advocacy field; and
``(B) a State or local domestic violence coalition or
community-based youth organization.
``(3) Witness domestic violence.--
``(A) In general.--The term `witness domestic violence'
means to witness--
``(i) an act of domestic violence that constitutes actual
or attempted physical assault; or
``(ii) a threat or other action that places the victim in
fear of domestic violence.
``(B) Witness.--In subparagraph (A), the term `witness'
means--
``(i) to directly observe an act, threat, or action
described in subparagraph (A), or the aftermath of that act,
threat, or action; or
``(ii) to be within earshot of an act, threat, or action
described in subparagraph (A), or the aftermath of that act,
threat, or action.
``(b) Grants Authorized.--
``(1) Authority.--The Secretary is authorized to award
grants to local educational agencies that work with experts
to enable the elementary schools and secondary schools served
by the local educational agency--
``(A) to provide training to school administrators,
faculty, and staff, with respect to issues concerning
children who experience domestic violence in dating
relationships or who witness domestic violence, and the
impact of the violence on the children;
``(B) to provide educational programming for students
regarding domestic violence and the impact of experiencing or
witnessing domestic violence on children;
``(C) to provide support services for students and school
personnel to develop and strengthen effective prevention and
intervention strategies with respect to issues concerning
children who experience domestic violence in dating
relationships or who witness domestic violence, and the
impact of the violence on the children; and
``(D) to develop and implement school system policies
regarding appropriate and safe responses to, identification
of, and referral procedures for, students who are
experiencing or witnessing domestic violence.
``(2) Award basis.--The Secretary is authorized to award
grants under this section--
``(A) on a competitive basis; and
``(B) in a manner that ensures that such grants are
equitably distributed among local educational agencies
located in rural, urban, and suburban areas.
``(3) Policy dissemination.--The Secretary shall
disseminate to local educational agencies any Department
policy guidance regarding the prevention of domestic violence
and the impact on children of experiencing or witnessing
domestic violence.
``(c) Uses of Funds.--Funds made available to carry out
this subpart may be used for one or more of the following
purposes:
``(1) To provide training for elementary school and
secondary school administrators, faculty, and staff that
addresses issues concerning elementary school and secondary
school students who experience domestic violence in dating
relationships or who witness domestic violence, and the
impact of such violence on those students.

[[Page H9887]]

``(2) To provide education programs for elementary school
and secondary school students that are developmentally
appropriate for the students' grade levels and are designed
to meet any unique cultural and language needs of the
particular student populations.
``(3) To develop and implement elementary school and
secondary school system policies regarding--
``(A) appropriate and safe responses to, identification of,
and referral procedures for, students who are experiencing or
witnessing domestic violence; and
``(B) to develop and implement policies on reporting and
referral procedures for those students.
``(4) To provide the necessary human resources to respond
to the needs of elementary school and secondary school
students and personnel who are faced with the issue of
domestic violence, such as a resource person who is either
on-site or on-call and who is an expert.
``(5) To provide media center materials and educational
materials to elementary schools and secondary schools that
address issues concerning children who experience domestic
violence in dating relationships or who witness domestic
violence, and the impact of the violence on those children.
``(6) To conduct evaluations to assess the impact of
programs and policies assisted under this subpart in order to
enhance the development of the programs.
``(d) Confidentiality.--Policies, programs, training
materials, and evaluations developed and implemented under
subsection (c) shall address issues of safety and
confidentiality for the victim and the victim's family in a
manner consistent with applicable Federal and State laws.
``(e) Application.--To be eligible for a grant under this
section for a fiscal year, a local educational agency, in
consultation with an expert, shall submit an application to
the Secretary at such time, in such manner, and containing
such information as the Secretary may require. The
application shall include each of the following:
``(1) A description of the need for funds provided under
the grant and the plan for implementation of any of the
activities described in subsection (c).
``(2) A description of how the experts will work in
consultation and collaboration with the local educational
agency.
``(3) Measurable objectives for, and expected results from,
the use of the funds provided under the grant.
``(4) Provisions for appropriate remuneration for
collaborating partners.

``Subpart 18--Healthy, High-Performance Schools

``SEC. 5581. GRANT PROGRAM AUTHORIZED.

``The Secretary, in consultation with the Secretary of
Energy and the Administrator of the Environmental Protection
Agency, is authorized to award grants to State educational
agencies to permit such State educational agencies to carry
out section 5582.

``SEC. 5582. STATE USES OF FUNDS.

``(a) Subgrants.--
``(1) In general.--A State educational agency receiving a
grant under this subpart shall use funds made available under
the grant to award subgrants to local educational agencies to
permit such local educational agencies to carry out the
activities described in section 5583.
``(2) Limitation.--A State educational agency shall award
subgrants under this subsection to local educational agencies
that are the neediest, as determined by the State, and that
have made a commitment to develop healthy, high-performance
school buildings in accordance with the plan developed and
approved under paragraph (3)(A).
``(3) Implementation.--
``(A) Plans.--A State educational agency shall award
subgrants under this subsection only to local educational
agencies that, in consultation with the State educational
agency and State agencies with responsibilities relating to
energy and health, have developed plans that the State
educational agency determines to be feasible and appropriate
in order to achieve the purposes for which the subgrants are
made.
``(B) Supplementing grant funds.--The State educational
agency shall encourage local educational agencies that
receive subgrants under this subsection to supplement their
subgrant funds with funds from other sources in order to
implement their plans.
``(b) Administration.--A State educational agency receiving
a grant under this subpart shall use the grant funds made
available under this subpart for one or more of the
following:
``(1) To evaluate compliance by local educational agencies
with the requirements of this subpart.
``(2) To distribute information and materials on healthy,
high-performance school buildings for both new and existing
facilities.
``(3) To organize and conduct programs for school board
members, school district personnel, and others to disseminate
information on healthy, high-performance school buildings.
``(4) To provide technical services and assistance in
planning and designing healthy, high-performance school
buildings.
``(5) To collect and monitor information pertaining to
healthy, high-performance school building projects.

``SEC. 5583. LOCAL USES OF FUNDS.

``(a) In General.--A local educational agency that receives
a subgrant under section 5582(a) shall use the subgrant funds
to plan and prepare for healthy, high-performance school
building projects that--
``(1) reduce energy use to at least 30 percent below that
of a school constructed in compliance with standards
prescribed in chapter 8 of the 2000 International Energy
Conservation Code, or a similar State code intended to
achieve substantially equivalent results;
``(2) meet Federal and State health and safety codes; and
``(3) support healthful, energy efficient, and
environmentally sound practices.
``(b) Use of Funds.--A local educational agency that
receives a subgrant under section 5582(a) shall use funds for
one or more of the following:
``(1) To develop a comprehensive energy audit of the energy
consumption characteristics of a building and the need for
additional energy conservation measures necessary to allow
schools to meet the guidelines set out in subsection (a).
``(2) To produce a comprehensive analysis of building
strategies, designs, materials, and equipment that--
``(A) are cost effective, produce greater energy
efficiency, and enhance indoor air quality; and
``(B) can be used when conducting school construction and
renovation or purchasing materials and equipment.
``(3) To obtain research and provide technical services and
assistance in planning and designing healthy, high-
performance school buildings, including developing a timeline
for implementation of such plans.

``SEC. 5584. REPORT TO CONGRESS.

``The Secretary shall conduct a biennial review of State
actions implementing this subpart and carrying out the plans
developed under this subpart through State and local funding,
and shall submit a report to Congress on the results of such
reviews.

``SEC. 5585. LIMITATIONS.

``No funds received under this subpart may be used for any
of the following:
``(1) Payment of maintenance of costs in connection with
any projects constructed in whole or in part with Federal
funds provided under this subpart.
``(2) Construction, renovation, or repair of school
facilities.
``(3) Construction, renovation, repair, or acquisition of a
stadium or other facility primarily used for athletic
contests or exhibitions, or other events for which admission
is charged to the general public.

``SEC. 5586. HEALTHY, HIGH-PERFORMANCE SCHOOL BUILDING
DEFINED.

``In this subpart, the term `healthy, high-performance
school building' means a school building in which the design,
construction, operation, and maintenance--
``(1) use energy-efficient and affordable practices and
materials;
``(2) are cost-effective;
``(3) enhance indoor air quality; and
``(4) protect and conserve water.

``Subpart 19--Grants for Capital Expenses of Providing Equitable
Services for Private School Students

``SEC. 5591. GRANT PROGRAM AUTHORIZED.

``The Secretary is authorized to award grants to State
educational agencies, from allotments made under section
5593, to enable the State educational agencies to award
subgrants to local educational agencies to pay for capital
expenses in accordance with this subpart.

``SEC. 5592. USES OF FUNDS.

``A local educational agency that receives a subgrant under
this subpart shall use the subgrant funds only to pay for
capital expenses incurred in providing equitable services for
private school students under section 1120.

``SEC. 5593. ALLOTMENTS TO STATES.

``From the funds made available to carry out this subpart
for a fiscal year, the Secretary shall allot to each State an
amount that bears the same ratio to the funds made available
as the number of private school students who received
services under part A of title I in the State in the most
recent year for which data, satisfactory to the Secretary,
are available bears to the number of such students in all
States in such year.

``SEC. 5594. SUBGRANTS TO LOCAL EDUCATIONAL AGENCIES.

``(a) Applications.--A local educational agency that
desires to receive a subgrant under this subpart shall submit
an application to the State educational agency involved at
such time, in such manner, and containing such information as
the State educational agency may require.
``(b) Distribution.--A State educational agency shall award
subgrants to local educational agencies within the State
based on the degree of need set forth in their respective
applications submitted under subsection (a).

``SEC. 5595. CAPITAL EXPENSES DEFINED.

``In this subpart, the term `capital expenses' means--
``(1) expenditures for noninstructional goods and services,
such as the purchase, lease, or renovation of real and
personal property, including mobile educational units and
leasing of neutral sites or spaces;
``(2) insurance and maintenance costs;
``(3) transportation; and
``(4) other comparable goods and services.

``SEC. 5596. TERMINATION.

``The authority provided by this subpart terminates
effective October 1, 2003.

``Subpart 20--Additional Assistance for Certain Local Educational
Agencies Impacted by Federal Property Acquisition

``SEC. 5601. RESERVATION.

``The Secretary is authorized to provide additional
assistance to meet special circumstances relating to the
provision of education in local educational agencies eligible
to receive assistance under section 8002.

``SEC. 5602. ELIGIBILITY.

``A local educational agency is eligible to receive
additional assistance under this subpart only if such
agency--
``(1) received a payment under both section 8002 and
section 8003(b) for fiscal year 1996 and

[[Page H9888]]

is eligible to receive payments under those sections for the
year of application;
``(2) provided a free public education to children
described under subparagraphs (A), (B), or (D) of section
8003(a)(1);
``(3) had a military installation located within the
geographic boundaries of the local educational agency that
was closed as a result of base closure or realignment and, at
the time at which the agency is applying for a payment under
this subpart, the agency does not have a military
installation located within its geographic boundaries;
``(4) remains responsible for the free public education of
children residing in housing located on Federal property
within the boundaries of the closed military installation but
whose parents are on active duty in the uniformed services
and assigned to a military activity located within the
boundaries of an adjoining local educational agency; and
``(5) demonstrates to the satisfaction of the Secretary
that such agency's per-pupil revenue derived from local
sources for current expenditures is not less than that
revenue for the preceding fiscal year.

``SEC. 5603. MAXIMUM AMOUNT.

``(a) Maximum Amount.--The maximum amount that a local
educational agency is eligible to receive under this subpart
for any fiscal year, when combined with its payment under
section 8002(b), shall not be more than 50 percent of the
maximum amount determined under section 8002(b).
``(b) Insufficient Funds.--If funds appropriated under
section 5401 are insufficient to pay the amount determined
under subsection (a), the Secretary shall ratably reduce the
payment to each local education agency eligible under this
subpart.
``(c) Excess Funds.--If funds appropriated under section
5401 are in excess of the amount determined under subsection
(a), the Secretary shall ratably distribute any excess funds
to all local educational agencies eligible for payment under
section 8002(b).

``Subpart 21--Women's Educational Equity Act

``SEC. 5611. SHORT TITLE AND FINDINGS.

``(a) Short Title.--This subpart may be cited as the
`Women's Educational Equity Act of 2001'.
``(b) Findings.--Congress finds that--
``(1) since the enactment of title IX of the Education
Amendments of 1972, women and girls have made strides in
educational achievement and in their ability to avail
themselves of educational opportunities;
``(2) because of funding provided under the Women's
Educational Equity Act, more curricula, training, and
other educational materials concerning educational equity
for women and girls are available for national
dissemination;
``(3) teaching and learning practices in the United States
are frequently inequitable as such practices relate to women
and girls, for example--
``(A) sexual harassment, particularly that experienced by
girls, undermines the ability of schools to provide a safe
and equitable learning or workplace environment;
``(B) classroom textbooks and other educational materials
do not sufficiently reflect the experiences, achievements, or
concerns of women and, in most cases, are not written by
women or persons of color;
``(C) girls do not take as many mathematics and science
courses as boys, girls lose confidence in their mathematics
and science ability as girls move through adolescence, and
there are few women role models in the sciences; and
``(D) pregnant and parenting teenagers are at high risk for
dropping out of school and existing dropout prevention
programs do not adequately address the needs of such
teenagers;
``(4) efforts to improve the quality of public education
also must include efforts to ensure equal access to quality
education programs for all women and girls;
``(5) Federal support should address not only research and
development of innovative model curricula and teaching and
learning strategies to promote gender equity, but should also
assist schools and local communities implement gender
equitable practices;
``(6) Federal assistance for gender equity must be tied to
systemic reform, involve collaborative efforts to implement
effective gender practices at the local level, and encourage
parental participation; and
``(7) excellence in education, high educational
achievements and standards, and the full participation of
women and girls in American society, cannot be achieved
without educational equity for women and girls.

``SEC. 5612. STATEMENT OF PURPOSES.

``It is the purpose of this subpart--
``(1) to promote gender equity in education in the United
States;
``(2) to provide financial assistance to enable educational
agencies and institutions to meet the requirements of title
IX of the Educational Amendments of 1972; and
``(3) to promote equity in education for women and girls
who suffer from multiple forms of discrimination based on
sex, race, ethnic origin, limited English proficiency,
disability, or age.

``SEC. 5613. PROGRAMS AUTHORIZED.

``(a) In General.--The Secretary is authorized--
``(1) to promote, coordinate, and evaluate gender equity
policies, programs, activities, and initiatives in all
Federal education programs and offices;
``(2) to develop, maintain, and disseminate materials,
resources, analyses, and research relating to education
equity for women and girls;
``(3) to provide information and technical assistance to
assure the effective implementation of gender equity
programs;
``(4) to coordinate gender equity programs and activities
with other Federal agencies with jurisdiction over education
and related programs;
``(5) to assist the Assistant Secretary of the Office of
Educational Research and Improvement in identifying research
priorities related to education equity for women and girls;
and
``(6) to perform any other activities consistent with
achieving the purposes of this subpart.
``(b) Grants Authorized.--
``(1) In general.--The Secretary is authorized to award
grants to, and enter into contracts and cooperative
agreements with, public agencies, private nonprofit agencies,
organizations, institutions, student groups, community
groups, and individuals, for a period not to exceed 4 years,
to--
``(A) provide grants to develop model equity programs; and
``(B) provide funds for the implementation of equity
programs in schools throughout the Nation.
``(2) Support and technical assistance.--To achieve the
purposes of this subpart, the Secretary is authorized to
provide support and technical assistance--
``(A) to implement effective gender-equity policies and
programs at all educational levels, including--
``(i) assisting educational agencies and institutions to
implement policies and practices to comply with title IX of
the Education Amendments of 1972;
``(ii) training for teachers, counselors, administrators,
and other school personnel, especially preschool and
elementary school personnel, in gender equitable teaching and
learning practices;
``(iii) leadership training for women and girls to develop
professional and marketable skills to compete in the global
marketplace, improve self-esteem, and benefit from exposure
to positive role models;
``(iv) school-to-work transition programs, guidance and
counseling activities, and other programs to increase
opportunities for women and girls to enter a technologically
demanding workplace and, in particular, to enter highly
skilled, high paying careers in which women and girls have
been underrepresented;
``(v) enhancing educational and career opportunities for
those women and girls who suffer multiple forms of
discrimination, based on sex, and on race, ethnic origin,
limited English proficiency, disability, socioeconomic
status, or age;
``(vi) assisting pregnant students and students rearing
children to remain in or to return to secondary school,
graduate, and prepare their preschool children to start
school;
``(vii) evaluating exemplary model programs to assess the
ability of such programs to advance educational equity for
women and girls;
``(viii) introduction into the classroom of textbooks,
curricula, and other materials designed to achieve equity for
women and girls;
``(ix) programs and policies to address sexual harassment
and violence against women and girls and to ensure that
educational institutions are free from threats to the safety
of students and personnel;
``(x) nondiscriminatory tests of aptitude and achievement
and of alternative assessments that eliminate biased
assessment instruments from use;
``(xi) programs to increase educational opportunities,
including higher education, vocational training, and other
educational programs for low-income women, including
underemployed and unemployed women, and women receiving
assistance under a State program funded under part A of title
IV of the Social Security Act;
``(xii) programs to improve representation of women in
educational administration at all levels; and
``(xiii) planning, development, and initial implementation
of--

``(I) comprehensive institutionwide or districtwide
evaluation to assess the presence or absence of gender equity
in educational settings;

``(II) comprehensive plans for implementation of equity
programs in State educational agencies and local educational
agencies and institutions of higher education, including
community colleges; and
``(III) innovative approaches to school-community
partnerships for educational equity;

``(B) for research and development, which shall be
coordinated with each of the research institutes of the
Office of Educational Research and Improvement to avoid
duplication of research efforts, designed to advance gender
equity nationwide and to help make policies and practices in
educational agencies and institutions, and local communities,
gender equitable, including--
``(i) research and development of innovative strategies and
model training programs for teachers and other education
personnel;
``(ii) the development of high-quality and challenging
assessment instruments that are nondiscriminatory;
``(iii) the development and evaluation of model curricula,
textbooks, software, and other educational materials to
ensure the absence of gender stereotyping and bias;
``(iv) the development of instruments and procedures that
employ new and innovative strategies to assess whether
diverse educational settings are gender equitable;
``(v) the development of instruments and strategies for
evaluation, dissemination, and replication of promising or
exemplary programs designed to assist local educational
agencies in integrating gender equity in their educational
policies and practices;
``(vi) updating high-quality educational materials
previously developed through awards made under this subpart;
``(vii) the development of policies and programs to address
and prevent sexual harassment and violence to ensure that
educational institutions are free from threats to safety of
students and personnel;

[[Page H9889]]

``(viii) the development and improvement of programs and
activities to increase opportunity for women, including
continuing educational activities, vocational education, and
programs for low-income women, including underemployed and
unemployed women, and women receiving assistance under the
State program funded under part A of title IV of the Social
Security Act; and
``(ix) the development of guidance and counseling
activities, including career education programs, designed to
ensure gender equity.

``SEC. 5614. APPLICATIONS.

``An application under this subpart shall--
``(1) set forth policies and procedures that will ensure a
comprehensive evaluation of the activities assisted under
this subpart, including an evaluation of the practices,
policies, and materials used by the applicant and an
evaluation or estimate of the continued significance of the
work of the project following completion of the award period;
``(2) demonstrate how the applicant will address
perceptions of gender roles based on cultural differences or
stereotypes;
``(3) for applications for assistance under section
5613(b)(1), demonstrate how the applicant will foster
partnerships and, where applicable, share resources with
State educational agencies, local educational agencies,
institutions of higher education, community-based
organizations (including organizations serving women),
parent, teacher, and student groups, businesses, or other
recipients of Federal educational funding which may include
State literacy resource centers;
``(4) for applications for assistance under section
5613(b)(1), demonstrate how parental involvement in the
project will be encouraged; and
``(5) for applications for assistance under section
5613(b)(1), describe plans for continuation of the activities
assisted under this subpart with local support following
completion of the grant period and termination of Federal
support under this subpart.

``SEC. 5615. CRITERIA AND PRIORITIES.

``(a) Criteria and Priorities.--
``(1) In general.--The Secretary shall establish separate
criteria and priorities for awards under paragraphs (1) and
(2) of section 5613(b) to ensure that funds under this
subpart are used for programs that most effectively will
achieve the purposes of this subpart.
``(2) Criteria.--The criteria described in paragraph (1)
may include the extent to which the activities assisted under
this subpart--
``(A) address the needs of women and girls of color and
women and girls with disabilities;
``(B) meet locally defined and documented educational
equity needs and priorities, including compliance with title
IX of the Education Amendments of 1972;
``(C) are a significant component of a comprehensive plan
for educational equity and compliance with title IX of the
Education Amendments of 1972 in the particular school
district, institution of higher education, vocational-
technical institution, or other educational agency or
institution; and
``(D) implement an institutional change strategy with long-
term impact that will continue as a central activity of the
applicant after the grant under this subpart has terminated.
``(b) Priorities.--In awarding grants under this subpart,
the Secretary may give special consideration to
applications--
``(1) submitted by applicants that have not received
assistance under this subpart or this subpart's predecessor
authorities;
``(2) for projects that will contribute significantly to
directly improving teaching and learning practices in the
local community; and
``(3) for projects that will--
``(A) provide for a comprehensive approach to enhancing
gender equity in educational institutions and agencies;
``(B) draw on a variety of resources, including the
resources of local educational agencies, community-based
organizations, institutions of higher education, and private
organizations;
``(C) implement a strategy with long-term impact that will
continue as a central activity of the applicant after the
grant under this subpart has terminated;
``(D) address issues of national significance that can be
duplicated; and
``(E) address the educational needs of women and girls who
suffer multiple or compound discrimination based on sex and
on race, ethnic origin, disability, or age.
``(c) Special Rule.--To the extent feasible, the Secretary
shall ensure that grants awarded under this subpart for each
fiscal year address--
``(1) all levels of education, including preschool,
elementary and secondary education, higher education,
vocational education, and adult education;
``(2) all regions of the United States; and
``(3) urban, rural, and suburban educational institutions.
``(d) Coordination.--Research activities supported under
this subpart--
``(1) shall be carried out in consultation with the Office
of Educational Research and Improvement to ensure that such
activities are coordinated with and enhance the research and
development activities supported by the Office; and
``(2) may include collaborative research activities which
are jointly funded and carried out with the Office of
Educational Research and Improvement.
``(e) Limitation.--Nothing in this subpart shall be
construed as prohibiting men and boys from participating in
any programs or activities assisted with funds under this
subpart.

``SEC. 5616. REPORT.

``Not later than January 1, 2006, the Secretary shall
submit to the President and Congress a report on the status
of educational equity for girls and women in the Nation.

``SEC. 5617. ADMINISTRATION.

``(a) Evaluation and Dissemination.--Not later than January
1, 2005, the Secretary shall evaluate and disseminate
materials and programs developed under this subpart and shall
report to Congress regarding such evaluation materials and
programs.
``(b) Program Operations.--The Secretary shall ensure that
the activities assisted under this subpart are administered
within the Department by a person who has recognized
professional qualifications and experience in the field of
gender equity education.

``SEC. 5618. AMOUNT.

``From amounts made available to carry out this subpart for
a fiscal year, not less than \2/3\ of such amount shall be
used to carry out the activities described in section
5613(b)(1).

SEC. 502. CONTINUATION OF AWARDS.

(a) In general.--Notwithstanding any other provision of
this Act or the Elementary and Secondary Education Act of
1965 (20 U.S.C. 6301 et seq.), in the case of any agency or
consortium that was awarded a grant under section 5111 of the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
7211) or any person or agency that was awarded a contract or
grant under part B, D, or E of title X of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 8031 et seq., 8091
et seq., 8131 et seq.), prior to the date of enactment of
this Act, the Secretary of Education shall continue to
provide funds in accordance with the terms of such award
until the date on which the award period terminates under
such terms.
(b) Special Rule.--Notwithstanding any other provision of
this Act, any person or agency that was awarded or entered
into a grant, contract, or cooperative agreement under part B
of title V of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 7231 et seq.), prior to the date of enactment
of this Act shall continue to receive funds in accordance
with the terms of such grant, contract, or agreement until
the date on which the grant, contract, or agreement period
terminates under such terms.
TITLE VI--FLEXIBILITY AND ACCOUNTABILITY

SEC. 601. FLEXIBILITY AND ACCOUNTABILITY.

Title VI (20 U.S.C. 7301 et seq.) is amended to read as
follows:
``TITLE VI--FLEXIBILITY AND ACCOUNTABILITY

``PART A--IMPROVING ACADEMIC ACHIEVEMENT

``Subpart 1--Accountability

``SEC. 6111. GRANTS FOR STATE ASSESSMENTS AND RELATED
ACTIVITIES.

``The Secretary shall make grants to States to enable the
States--
``(1) to pay the costs of the development of the additional
State assessments and standards required by section 1111(b),
which may include the costs of working in voluntary
partnerships with other States, at the sole discretion of
each such State; and
``(2) if a State has developed the assessments and
standards required by section 1111(b), to administer those
assessments or to carry out other activities described in
this subpart and other activities related to ensuring that
the State's schools and local educational agencies are held
accountable for results, such as the following:
``(A) Developing challenging State academic content and
student academic achievement standards and aligned
assessments in academic subjects for which standards and
assessments are not required by section 1111(b).
``(B) Developing or improving assessments of English
language proficiency necessary to comply with section
1111(b)(7).
``(C) Ensuring the continued validity and reliability of
State assessments.
``(D) Refining State assessments to ensure their continued
alignment with the State's academic content standards and to
improve the alignment of curricula and instructional
materials.
``(E) Developing multiple measures to increase the
reliability and validity of State assessment systems.
``(F) Strengthening the capacity of local educational
agencies and schools to provide all students the opportunity
to increase educational achievement, including carrying out
professional development activities aligned with State
student academic achievement standards and assessments.
``(G) Expanding the range of accommodations available to
students with limited English proficiency and students with
disabilities to improve the rates of inclusion of such
students, including professional development activities
aligned with State academic achievement standards and
assessments.
``(H) Improving the dissemination of information on student
achievement and school performance to parents and the
community, including the development of information and
reporting systems designed to identify best educational
practices based on scientifically based research or to assist
in linking records of student achievement, length of
enrollment, and graduation over time.

``SEC. 6112. GRANTS FOR ENHANCED ASSESSMENT INSTRUMENTS.

``(a) Grant Program Authorized.--From funds made available
to carry out this subpart, the Secretary shall award, on a
competitive basis, grants to State educational agencies that
have submitted an application at such time, in such manner,
and containing such information as the Secretary may require,
which demonstrate to the satisfaction of the Secretary, that
the requirements of this section will be met, for the
following:
``(1) To enable States (or consortia of States) to
collaborate with institutions of higher education, other
research institutions, or other organizations to improve
the quality, validity, and

[[Page H9890]]

reliability of State academic assessments beyond the
requirements for such assessments described in section
1111(b)(3).
``(2) To measure student academic achievement using
multiple measures of student academic achievement from
multiple sources.
``(3) To chart student progress over time.
``(4) To evaluate student academic achievement through the
development of comprehensive academic assessment instruments,
such as performance and technology-based academic
assessments.
``(b) Application.--Each State wishing to apply for funds
under this section shall include in its State plan under part
A of title I such information as the Secretary may require.
``(c) Annual Report.--Each State educational agency
receiving a grant under this section shall submit an annual
report to the Secretary describing its activities, and the
result of those activities, under the grant.

``SEC. 6113. FUNDING.

``(a) Authorization of Appropriations.--
``(1) National assessment of educational progress.--For the
purpose of administering the State assessments under the
National Assessment of Educational Progress, there are
authorized to be appropriated $72,000,000 for fiscal year
2002, and such sums as may be necessary for each of the 5
succeeding fiscal years.
``(2) State assessments and related activities.--For the
purpose of carrying out this subpart, there are authorized to
be appropriated $490,000,000 for fiscal year 2002, and such
sums as may be necessary for each of the 5 succeeding fiscal
years.
``(b) Allotment of Appropriated Funds.--
``(1) In general.--From amounts made available for each
fiscal year under subsection (a)(2) that are equal to or less
than the amount described in section 1111(b)(3)(D)
(hereinafter in this subsection referred to as the `trigger
amount'), the Secretary shall--
``(A) reserve \1/2\ of 1 percent for the Bureau of Indian
Affairs;
``(B) reserve \1/2\ of 1 percent for the outlying areas;
and
``(C) from the remainder, allocate to each State an amount
equal to--
``(i) $3,000,000; and
``(ii) with respect to any amounts remaining after the
allocation is made under clause (i), an amount that bears the
same relationship to such total remaining amounts as the
number of students ages 5 through 17 in the State (as
determined by the Secretary on the basis of the most recent
satisfactory data) bears to the total number of such students
in all States.
``(2) Remainder.--Any amounts remaining for a fiscal year
after the Secretary carries out paragraph (1) shall be made
available as follows:
``(A)(i) To award funds under section 6112 to States
according to the quality, needs, and scope of the State
application under that section.
``(ii) In determining the grant amount under clause (i),
the Secretary shall ensure that a State's grant shall include
an amount that bears the same relationship to the total funds
available under this paragraph for the fiscal year as the
number of students ages 5 through 17 in the State (as
determined by the Secretary on the basis of the most recent
satisfactory data) bears to the total number of such students
in all States.
``(B) Any amounts remaining after the Secretary awards
funds under subparagraph (A) shall be allocated to each State
that did not receive a grant under such subparagraph, in an
amount that bears the same relationship to the total funds
available under this subparagraph as the number of students
ages 5 through 17 in the State (as determined by the
Secretary on the basis of the most recent satisfactory data)
bears to the total number of such students in all States.
``(c) State Defined.--In this section, the term `State'
means each of the 50 States, the District of Columbia, and
the Commonwealth of Puerto Rico.

``Subpart 2--Funding Transferability for State and Local Educational
Agencies

``SEC. 6121. SHORT TITLE.

``This subpart may be cited as the `State and Local
Transferability Act'.

``SEC. 6122. PURPOSE.

``The purpose of this subpart is to allow States and local
educational agencies the flexibility--
``(1) to target Federal funds to Federal programs that most
effectively address the unique needs of States and
localities; and
``(2) to transfer Federal funds allocated to other
activities to allocations for certain activities authorized
under title I.

``SEC. 6123. TRANSFERABILITY OF FUNDS.

``(a) Transfers by States.--
``(1) In general.--In accordance with this subpart, a State
may transfer not more than 50 percent of the
nonadministrative State funds (including funds transferred
under paragraph (2)) allotted to the State for use for State-
level activities under the following provisions for a fiscal
year to one or more of the State's allotments for such fiscal
year under any other of such provisions:
``(A) Section 2113(a)(3).
``(B) Section 2412(a)(1).
``(C) Subsections (a)(1) (with the agreement of the
Governor) and (c)(1) of section 4112 and section 4202(c)(3).
``(D) Section 5112(b).
``(2) Additional funds for title i.--In accordance with
this subpart and subject to the 50 percent limitation
described in paragraph (1), a State may transfer any funds
allotted to the State under a provision listed in paragraph
(1) to its allotment under title I.
``(b) Transfers by Local Educational Agencies.--
``(1) Authority to transfer funds.--
``(A) In general.--In accordance with this subpart, a local
educational agency (except a local educational agency
identified for improvement under section 1116(c) or subject
to corrective action under section 1116(c)(9)) may transfer
not more than 50 percent of the funds allocated to it
(including funds transferred under subparagraph (C)) under
each of the provisions listed in paragraph (2) for a fiscal
year to one or more of its allocations for such fiscal year
under any other provision listed in paragraph (2).
``(B) Agencies identified for improvement.--In accordance
with this subpart, a local educational agency identified for
improvement under section 1116(c) may transfer not more than
30 percent of the funds allocated to it (including funds
transferred under subparagraph (C)) under each of the
provisions listed in paragraph (2) for a fiscal year--
``(i) to its allocation for school improvement for such
fiscal year under section 1003; or
``(ii) to any other allocation for such fiscal year if such
transferred funds are used only for local educational agency
improvement activities consistent with section 1116(c).
``(C) Additional funds for title i.--In accordance with
this subpart and subject to the percentage limitation
described in subparagraph (A) or (B), as applicable, a local
educational agency may transfer funds allocated to such
agency under any of the provisions listed in paragraph (2)
for a fiscal year to its allocation for part A of title I for
that fiscal year.
``(2) Applicable provisions.--A local educational agency
may transfer funds under subparagraph (A), (B), or (C) of
paragraph (1) from allocations made under each of the
following provisions:
``(A) Section 2121.
``(B) Section 2412(a)(2)(A).
``(C) Section 4112(b)(1).
``(D) Section 5112(a).
``(c) No Transfer of Title I Funds.--A State or a local
educational agency may not transfer under this subpart to any
other program any funds allotted or allocated to it for part
A of title I.
``(d) Modification of Plans and Applications;
Notification.--
``(1) State transfers.--Each State that makes a transfer of
funds under this section shall--
``(A) modify, to account for such transfer, each State
plan, or application submitted by the State, to which such
funds relate;
``(B) not later than 30 days after the date of such
transfer, submit a copy of such modified plan or application
to the Secretary; and
``(C) not later than 30 days before the effective date of
such transfer, notify the Secretary of such transfer.
``(2) Local transfers.--Each local educational agency that
makes a transfer of funds under this section shall--
``(A) modify, to account for such transfer, each local
plan, or application submitted by the agency, to which such
funds relate;
``(B) not later than 30 days after the date of such
transfer, submit a copy of such modified plan or application
to the State; and
``(C) not later than 30 days before the effective date of
such transfer, notify the State of such transfer.
``(e) Applicable Rules.--
``(1) In general.--Except as otherwise provided in this
subpart, funds transferred under this section are subject to
each of the rules and requirements applicable to the funds
under the provision to which the transferred funds are
transferred.
``(2) Consultation.--Each State educational agency or local
educational agency that transfers funds under this section
shall conduct consultations in accordance with section 9501,
if such transfer transfers funds from a program that provides
for the participation of students, teachers, or other
educational personnel, from private schools.

``Subpart 3--State and Local Flexibility Demonstration

``SEC. 6131. SHORT TITLE.

``This subpart may be cited as the `State and Local
Flexibility Demonstration Act'.

``SEC. 6132. PURPOSE.

``The purpose of this subpart is to create options for
selected State educational agencies and local educational
agencies--
``(1) to improve the academic achievement of all students,
and to focus the resources of the Federal Government upon
such achievement;
``(2) to improve teacher quality and subject matter
mastery, especially in mathematics, reading, and science;
``(3) to better empower parents, educators, administrators,
and schools to effectively address the needs of their
children and students;
``(4) to give participating State educational agencies and
local educational agencies greater flexibility in determining
how to increase their students' academic achievement and
implement education reforms in their schools;
``(5) to eliminate barriers to implementing effective State
and local education reform, while preserving the goals of
opportunity for all students and accountability for student
progress;
``(6) to hold participating State educational agencies and
local educational agencies accountable for increasing the
academic achievement of all students, especially
disadvantaged students; and
``(7) to narrow achievement gaps between the lowest and
highest achieving groups of students so that no child is left
behind.

``SEC. 6133. GENERAL PROVISION.

``For purposes of this subpart, any State that is one local
educational agency shall be considered a State educational
agency and not a local educational agency.

[[Page H9891]]

``CHAPTER A--STATE FLEXIBILITY AUTHORITY

``SEC. 6141. STATE FLEXIBILITY.

``(a) Flexibility Authority.--Except as otherwise provided
in this chapter, the Secretary shall, on a competitive basis,
grant flexibility authority to not more than 7 eligible State
educational agencies, under which the agencies may
consolidate and use funds in accordance with section 6142.
``(b) Definitions.--In this chapter:
``(1) Eligible state educational agency.--The term
`eligible State educational agency' means a State educational
agency that--
``(A) submits an approvable application under subsection
(c); and
``(B) proposes performance agreements--
``(i) that shall be entered into with not fewer than 4, and
not more than 10, local educational agencies;
``(ii) not fewer than half of which shall be entered into
with high-poverty local educational agencies; and
``(iii) that require the local educational agencies
described in clause (i) to align their use of consolidated
funds under section 6152 with the State educational agency's
use of consolidated funds under section 6142.
``(2) High-poverty local educational agency.--The term
`high-poverty local educational agency' means a local
educational agency for which 20 percent or more of the
children who are age 5 through 17, and served by the local
educational agency, are from families with incomes below the
poverty line.
``(c) State Applications.--
``(1) Applications.--To be eligible to receive flexibility
authority under this chapter, a State educational agency
shall submit an application to the Secretary at such time, in
such manner, and containing such information as the Secretary
may require, including--
``(A) information demonstrating, to the satisfaction of the
Secretary, that the grant of authority offers substantial
promise of--
``(i) assisting the State educational agency in making
adequate yearly progress, as defined under section
1111(b)(2); and
``(ii) aligning State and local reforms and assisting the
local educational agencies that enter into performance
agreements with the State educational agency under paragraph
(2) in making such adequate yearly progress;
``(B) the performance agreements that the State educational
agency proposes to enter into with eligible local educational
agencies under paragraph (2);
``(C) information demonstrating that the State educational
agency has consulted with and involved parents,
representatives of local educational agencies, and other
educators in the development of the terms of the grant of
authority;
``(D) a provision specifying that the grant of flexibility
authority shall be for a term of not more than 5 years;
``(E) a list of the programs described in section 6142(b)
that are included in the scope of the grant of authority;
``(F) a provision specifying that no requirements of any
program described in section 6142(b) and included by a State
educational agency in the scope of the grant of authority
shall apply to that agency, except as otherwise provided in
this chapter;
``(G) a 5-year plan describing how the State educational
agency intends to consolidate and use the funds from programs
included in the scope of the grant of authority, for any
educational purpose authorized under this Act, in order to
make adequate yearly progress and advance the education
priorities of the State and the local educational agencies
with which the State educational agency enters into
performance agreements;
``(H) an assurance that the State educational agency will
provide parents, teachers, and representatives of local
educational agencies and schools with notice and an
opportunity to comment on the proposed terms of the grant of
authority;
``(I) an assurance that the State educational agency, and
the local educational agencies with which the State
educational agency enters into performance agreements, will
use fiscal control and fund accounting procedures that will
ensure proper disbursement of, and accounting for, Federal
funds consolidated and used under the grant of authority;
``(J) an assurance that the State educational agency, and
the local educational agencies with which the State
educational agency enters into performance agreements, will
meet the requirements of all applicable Federal civil rights
laws in carrying out the grant of authority, including
consolidating and using funds under the grant of authority;
``(K) an assurance that, in consolidating and using funds
under the grant of authority--
``(i) the State educational agency, and the local
educational agencies with which the State educational agency
enters into performance agreements, will provide for the
equitable participation of students and professional staff in
private schools consistent with section 9501; and
``(ii) that sections 9502, 9503, and 9504 shall apply to
all services and assistance provided with such funds in the
same manner as such sections apply to services and assistance
provided in accordance with section 9501;
``(L) an assurance that the State educational agency will,
for the duration of the grant of authority, use funds
consolidated under section 6142 only to supplement the amount
of funds that would, in the absence of those Federal funds,
be made available from non-Federal sources for the education
of students participating in programs assisted with the
consolidated funds, and not to supplant those funds; and
``(M) an assurance that the State educational agency shall,
not later than 1 year after the date on which the Secretary
makes the grant of authority, and annually thereafter during
the term of the grant of authority, disseminate widely to
parents and the general public, transmit to the Secretary,
distribute to print and broadcast media, and post on the
Internet, a report, which shall include a detailed
description of how the State educational agency, and the
local educational agencies with which the State educational
agency enters into performance agreements, used the funds
consolidated under the grant of authority to make adequate
yearly progress and advance the education priorities of the
State and local educational agencies in the State.
``(2) Proposed performance agreements with local
educational agencies.--
``(A) In general.--A State educational agency that wishes
to receive flexibility authority under this subpart shall
propose performance agreements that meet the requirements of
clauses (i) and (ii) of subsection (b)(1)(B) (subject to
approval of the application or amendment involved under
subsection (d) or (e)).
``(B) Performance agreements.--Each proposed performance
agreement with a local educational agency shall--
``(i) contain plans for the local educational agency to
consolidate and use funds in accordance with section 6152,
for activities that are aligned with the State educational
agency's plan described in paragraph (1)(G);
``(ii) be subject to the requirements of chapter B relating
to agreements between the Secretary and a local educational
agency, except--

``(I) that, as appropriate, references in that chapter to
the Secretary shall be deemed to be references to the State
educational agency; and
``(II) as otherwise provided in this chapter; and

``(iii) contain an assurance that the local educational
agency will, for the duration of the grant of authority, use
funds consolidated under section 6152 only to supplement the
amount of funds that would, in the absence of those Federal
funds, be made available from non-Federal sources for the
education of students participating in programs assisted with
the consolidated funds, and not to supplant those funds.
``(d) Approval and Selection.--The Secretary shall--
``(1) establish a peer review process to assist in the
review of proposed State applications under this section; and
``(2) appoint individuals to participate in the peer review
process who are--
``(A) representative of parents, teachers, State
educational agencies, and local educational agencies; and
``(B) familiar with educational standards, assessments,
accountability, curricula, instruction, and staff
development, and other diverse educational needs of students.
``(e) Amendment to Grant of Authority.--
``(1) In general.--Subject to paragraph (2), the Secretary
shall amend the grant of flexibility authority made to a
State educational agency under this chapter, in each of the
following circumstances:
``(A) Reduction in scope of the grant of authority.--Not
later than 1 year after receiving a grant of flexibility
authority, the State educational agency seeks to amend the
grant of authority to remove from the scope of the grant of
authority any program described in section 6142(b).
``(B) Expansion of scope of the grant of authority.--Not
later than 1 year after receiving a grant of flexibility
authority, the State educational agency seeks to amend the
grant of authority to include in the scope of the grant of
authority any additional program described in section 6142(b)
or any additional achievement indicators for which the State
will be held accountable.
``(C) Changes with respect to number of performance
agreements.--The State educational agency seeks to amend the
grant of authority to include or remove performance
agreements that the State educational agency proposes to
enter into with eligible local educational agencies, except
that in no case may the State educational agency enter into
performance agreements that do not meet the requirements of
clauses (i) and (ii) of subsection (b)(1)(B).
``(2) Approval and disapproval.--
``(A) Deemed approval.--A proposed amendment to a grant of
flexibility authority submitted by a State educational agency
pursuant to paragraph (1) shall be deemed to be approved by
the Secretary unless the Secretary makes a written
determination, prior to the expiration of the 120-day period
beginning on the date on which the Secretary received the
proposed amendment, that the proposed amendment is not in
compliance with this chapter.
``(B) Disapproval.--The Secretary shall not finally
disapprove the proposed amendment, except after giving the
State educational agency notice and an opportunity for a
hearing.
``(C) Notification.--If the Secretary finds that the
proposed amendment is not in compliance, in whole or in part,
with this chapter, the Secretary shall--
``(i) give the State educational agency notice and an
opportunity for a hearing; and
``(ii) notify the State educational agency of the finding
of noncompliance and, in such notification, shall--

``(I) cite the specific provisions in the proposed
amendment that are not in compliance; and
``(II) request additional information, only as to the
noncompliant provisions, needed to make the proposed
amendment compliant.

``(D) Response.--If the State educational agency responds
to the Secretary's notification described in subparagraph
(C)(ii) during the 45-day period beginning on the date on
which the

[[Page H9892]]

agency received the notification, and resubmits the proposed
amendment with the requested information described in
subparagraph (C)(ii)(II), the Secretary shall approve or
disapprove such proposed amendment prior to the later of--
``(i) the expiration of the 45-day period beginning on the
date on which the proposed amendment is resubmitted; or
``(ii) the expiration of the 120-day period described in
subparagraph (A).
``(E) Failure to respond.--If the State educational agency
does not respond to the Secretary's notification described in
subparagraph (C)(ii) during the 45-day period beginning on
the date on which the agency received the notification, such
proposed amendment shall be deemed to be disapproved.
``(3) Treatment of program funds withdrawn from grant of
authority.--Beginning on the effective date of an amendment
executed under paragraph (1)(A), each program requirement of
each program removed from the scope of a grant of authority
shall apply to the use of funds made available under the
program by the State educational agency and each local
educational agency with which the State educational agency
has a performance agreement.

``SEC. 6142. CONSOLIDATION AND USE OF FUNDS.

``(a) In General.--
``(1) Authority.--Under a grant of flexibility authority
made under this chapter, a State educational agency may
consolidate Federal funds described in subsection (b) and
made available to the agency, and use such funds for any
educational purpose authorized under this Act.
``(2) Program requirements.--Except as otherwise provided
in this chapter, a State educational agency may use funds
under paragraph (1) notwithstanding the program requirements
of the program under which the funds were made available to
the State.
``(b) Eligible Funds and Programs.--
``(1) Funds.--The funds described in this subsection are
funds, for State-level activities and State administration,
that are described in the following provisions:
``(A) Section 1004.
``(B) Paragraphs (4) and (5) of section 1202(d).
``(C) Section 2113(a)(3).
``(D) Section 2412(a)(1).
``(E) Subsections (a) (with the agreement of the Governor),
(b)(2), and (c)(1) of section 4112.
``(F) Paragraphs (2) and (3) of section 4202(c).
``(G) Section 5112(b).
``(2) Programs.--The programs described in this subsection
are the programs authorized to be carried out with funds
described in paragraph (1).
``(c) Special Rule.--A State educational agency that
receives a grant of flexibility authority under this
chapter--
``(1) shall ensure that the funds described in section
5112(a) are allocated to local educational agencies in the
State in accordance with section 5112(a); but
``(2) may specify how the local educational agencies shall
use the allocated funds.

``SEC. 6143. PERFORMANCE REVIEW AND PENALTIES.

``(a) Midterm Review.--
``(1) Failure to make adequate yearly progress.--If, during
the term of a grant of flexibility authority under this
chapter, a State educational agency fails to make adequate
yearly progress for 2 consecutive years, the Secretary shall,
after providing notice and an opportunity for a hearing,
terminate the grant of authority promptly.
``(2) Noncompliance.--The Secretary may, after providing
notice and an opportunity for a hearing (including the
opportunity to provide evidence as described in paragraph
(3)), terminate a grant of flexibility authority for a State
if there is evidence that the State educational agency
involved has failed to comply with the terms of the grant of
authority.
``(3) Evidence.--If a State educational agency believes
that a determination of the Secretary under this subsection
is in error for statistical or other substantive reasons, the
State educational agency may provide supporting evidence
to the Secretary, and the Secretary shall consider that
evidence before making a final termination determination
under this subsection.
``(b) Final Review.--
``(1) In general.--If, at the end of the 5-year term of a
grant of flexibility authority made under this chapter, the
State educational agency has not met the requirements
described in section 6141(c), the Secretary may not renew the
grant of flexibility authority under section 6144.
``(2) Compliance.--Beginning on the date on which such term
ends, the State educational agency, and the local educational
agencies with which the State educational agency has entered
into performance agreements, shall be required to comply with
each of the program requirements in effect on such date for
each program that was included in the grant of authority.

``SEC. 6144. RENEWAL OF GRANT OF FLEXIBILITY AUTHORITY.

``(a) In General.--Except as provided in section 6143 and
in accordance with this section, if a State educational
agency has met, by the end of the original 5-year term of a
grant of flexibility authority under this chapter, the
requirements described in section 6141(c), the Secretary
shall renew a grant of flexibility authority for one
additional 5-year term.
``(b) Renewal.--The Secretary may not renew a grant of
flexibility authority under this chapter unless, not later
than 6 months before the end of the original term of the
grant of authority, the State educational agency seeking the
renewal notifies the Secretary, and the local educational
agencies with which the State educational agency has entered
into performance agreements, of the agency's intention to
renew the grant of authority.
``(c) Effective Date.--A renewal under this section shall
be effective on the later of--
``(1) the expiration of the original term of the grant of
authority; or
``(2) the date on which the State educational agency
seeking the renewal provides to the Secretary all data
required for the application described in section 6141(c).

``CHAPTER B--LOCAL FLEXIBILITY DEMONSTRATION

``SEC. 6151. LOCAL FLEXIBILITY DEMONSTRATION AGREEMENTS.

``(a) Authority.--Except as otherwise provided in this
chapter, the Secretary shall, on a competitive basis, enter
into local flexibility demonstration agreements--
``(1) with local educational agencies that submit
approvable proposed agreements under subsection (c) and that
are selected under subsection (b); and
``(2) under which those agencies may consolidate and use
funds in accordance with section 6152.
``(b) Selection of Local Educational Agencies.--
``(1) In general.--Subject to paragraph (2), the Secretary
shall enter into local flexibility demonstration agreements
under this chapter with not more than 80 local educational
agencies. Each local educational agency shall be selected on
a competitive basis from among those local educational
agencies that--
``(A) submit a proposed local flexibility demonstration
agreement under subsection (c) to the Secretary and
demonstrate, to the satisfaction of the Secretary, that the
agreement--
``(i) has a substantial promise of assisting the local
educational agency in meeting the State's definition of
adequate yearly progress, advancing the education priorities
of the local educational agency, meeting the general purposes
of the programs included under this chapter and the purposes
of this part, improving student achievement, and narrowing
achievement gaps in accordance with section 1111(b);
``(ii) meets the requirements of this chapter; and
``(iii) contains a plan to consolidate and use funds in
accordance with section 6152 in order to meet the State's
definition of adequate yearly progress and the local
educational agency's specific, measurable goals for improving
student achievement and narrowing achievement gaps; and
``(B) have consulted and involved parents and other
educators in the development of the proposed local
flexibility demonstration agreement.
``(2) Geographic distribution.--
``(A) Initial agreements.--The Secretary may enter into not
more than 3 local flexibility demonstration agreements under
this chapter with local educational agencies in each State
that does not have a grant of flexibility authority under
chapter A.
``(B) Urban and rural areas.--If more than 3 local
educational agencies in a State submit approvable local
flexibility demonstration agreements under this chapter, the
Secretary shall select local educational agencies with which
to enter into such agreements in a manner that ensures an
equitable distribution among such agencies serving urban and
rural areas.
``(C) Priority of states to enter into state flexibility
demonstration agreements.--Notwithstanding any other
provision of this part, a local educational agency may not
seek to enter into a local flexibility demonstration
agreement under this chapter if that agency is located in a
State for which the State educational agency--
``(i) has, not later than 4 months after the date of
enactment of the No Child Left Behind Act of 2001, notified
the Secretary of its intent to apply for a grant of
flexibility authority under chapter A and, within such period
of time as the Secretary may establish, is provided with such
authority by the Secretary; or
``(ii) has, at any time after such period, been granted
flexibility authority under chapter A.
``(c) Required Terms of Local Flexibility Demonstration
Agreement.--Each local flexibility demonstration agreement
entered into with the Secretary under this chapter shall
contain each of the following terms:
``(1) Duration.--The local flexibility demonstration
agreement shall be for a term of 5 years.
``(2) Application of program requirements.--The local
flexibility demonstration agreement shall provide that no
requirements of any program described in section 6152 and
included by a local educational agency in the scope of its
agreement shall apply to that agency, except as otherwise
provided in this chapter.
``(3) List of programs.--The local flexibility
demonstration agreement shall list which of the programs
described in section 6152 are included in the scope of the
agreement.
``(4) Use of funds to improve student achievement.--The
local flexibility demonstration agreement shall contain a 5-
year plan describing how the local educational agency intends
to consolidate and use the funds from programs included in
the scope of the agreement for any educational purpose
authorized under this Act to advance the education priorities
of the local educational agency, meet the general purposes of
the included programs, improve student achievement, and
narrow achievement gaps in accordance with section 1111(b).
``(5) Local input.--The local flexibility demonstration
agreement shall contain an assurance that the local
educational agency will provide parents, teachers, and
representatives of schools with notice and an opportunity to
comment on the proposed terms of the local flexibility
demonstration agreement.
``(6) Fiscal responsibilities.--The local flexibility
demonstration agreement shall contain an assurance that the
local educational agency will use fiscal control and fund
accounting procedures that will ensure proper disbursement
of, and accounting for, Federal funds consolidated and used
under the agreement.

[[Page H9893]]

``(7) Civil rights.--The local flexibility demonstration
agreement shall contain an assurance that the local
educational agency will meet the requirements of all
applicable Federal civil rights laws in carrying out the
agreement and in consolidating and using the funds under the
agreement.
``(8) Private school participation.--The local flexibility
demonstration agreement shall contain an assurance that the
local educational agency agrees that in consolidating and
using funds under the agreement--
``(A) the local educational agency, will provide for the
equitable participation of students and professional staff in
private schools consistent with section 9501; and
``(B) that sections 9502, 9503, and 9504 shall apply to all
services and assistance provided with such funds in the same
manner as such sections apply to services and assistance
provided in accordance with section 9501.
``(9) Supplanting.-- The local flexibility demonstration
agreement shall contain an assurance that the local
educational agency will, for the duration of the grant of
authority, use funds consolidated under section 6152 only to
supplement the amount of funds that would, in the absence of
those Federal funds, be made available from non-Federal
sources for the education of students participating in
programs assisted with the consolidated funds, and not to
supplant those funds.
``(10) Annual reports.--The local flexibility demonstration
agreement shall contain an assurance that the local
educational agency shall, not later than 1 year after the
date on which the Secretary enters into the agreement, and
annually thereafter during the term of the agreement,
disseminate widely to parents and the general public,
transmit to the Secretary, and the State educational agency
for the State in which the local educational agency is
located, distribute to print and broadcast media, and post on
the Internet, a report that includes a detailed description
of how the local educational agency used the funds
consolidated under the agreement to improve student academic
achievement and reduce achievement gaps.
``(d) Peer Review.--The Secretary shall--
``(1) establish a peer review process to assist in the
review of proposed local flexibility demonstration agreements
under this chapter; and
``(2) appoint individuals to the peer review process who
are representative of parents, teachers, State educational
agencies, and local educational agencies, and who are
familiar with educational standards, assessments,
accountability, curriculum, instruction and staff
development, and other diverse educational needs of students.
``(e) Amendment to Performance Agreement.--
``(1) In general.--In each of the following circumstances,
the Secretary shall amend a local flexibility demonstration
agreement entered into with a local educational agency under
this chapter:
``(A) Reduction in scope of local flexibility demonstration
agreement.--Not later than 1 year after entering into a local
flexibility demonstration agreement, the local educational
agency seeks to amend the agreement to remove from the scope
any program described in section 6152.
``(B) Expansion of scope of local flexibility demonstration
agreement.--Not later than 1 year after entering into the
local flexibility demonstration agreement, a local
educational agency seeks to amend the agreement to include in
its scope any additional program described in section 6251 or
any additional achievement indicators for which the local
educational agency will be held accountable.
``(2) Approval and disapproval.--
``(A) Deemed approval.--A proposed amendment to a local
flexibility demonstration agreement pursuant to paragraph (1)
shall be deemed to be approved by the Secretary unless the
Secretary makes a written determination, prior to the
expiration of the 120-day period beginning on the date on
which the Secretary received the proposed amendment, that the
proposed amendment is not in compliance with this chapter.
``(B) Disapproval.--The Secretary shall not finally
disapprove the proposed amendment, except after giving the
local educational agency notice and an opportunity for a
hearing.
``(C) Notification.--If the Secretary finds that the
proposed amendment is not in compliance, in whole or in part,
with this chapter, the Secretary shall--
``(i) give the local educational agency notice and an
opportunity for a hearing; and
``(ii) notify the local educational agency of the finding
of noncompliance and, in such notification, shall--

``(D) Response.--If the local educational agency responds
to the Secretary's notification described in subparagraph
(C)(ii) during the 45-day period beginning on the date on
which the agency received the notification, and resubmits the
proposed amendment with the requested information described
in subparagraph (C)(ii)(II), the Secretary shall approve or
disapprove such proposed amendment prior to the later of--
``(i) the expiration of the 45-day period beginning on the
date on which the proposed amendment is resubmitted; or
``(ii) the expiration of the 120-day period described in
subparagraph (A).
``(E) Failure to respond.--If the local educational agency
does not respond to the Secretary's notification described in
subparagraph (C)(ii) during the 45-day period beginning on
the date on which the agency received the notification, such
proposed amendment shall be deemed to be disapproved.
``(3) Treatment of program funds withdrawn from
agreement.--Beginning on the effective date of an amendment
executed under paragraph (1)(A), each program requirement of
each program removed from the scope of a local flexibility
demonstration agreement shall apply to the use of funds made
available under the program by the local educational agency.

``SEC. 6152. CONSOLIDATION AND USE OF FUNDS.

``(a) In General.--
``(1) Authority.--Under a local flexibility demonstration
agreement entered into under this chapter, a local
educational agency may consolidate Federal funds made
available to the agency under the provisions listed in
subsection (b) and use such funds for any educational
purpose permitted under this Act.
``(2) Program requirements.--Except as otherwise provided
in this chapter, a local educational agency may use funds
under paragraph (1) notwithstanding the program requirements
of the program under which the funds were made available to
the agency.
``(b) Eligible Programs.--Program funds made available to
local educational agencies on the basis of a formula under
the following provisions may be consolidated and used under
subsection (a):
``(1) Subpart 2 of part A of title II.
``(2) Subpart 1 of part D of title II.
``(3) Subpart 1 of part A of title IV.
``(4) Subpart 1 of part A of title V.

``SEC. 6153. LIMITATIONS ON ADMINISTRATIVE EXPENDITURES.

``Each local educational agency that has entered into a
local flexibility demonstration agreement with the Secretary
under this chapter may use for administrative purposes not
more than 4 percent of the total amount of funds allocated to
the agency under the programs included in the scope of the
agreement.

``SEC. 6154. PERFORMANCE REVIEW AND PENALTIES.

``(a) Midterm Review.--
``(1) Failure to make adequate yearly progress.--If, during
the term of a local flexibility demonstration agreement, a
local educational agency fails to make adequate yearly
progress for 2 consecutive years, the Secretary shall, after
notice and opportunity for a hearing, promptly terminate the
agreement.
``(2) Noncompliance.--The Secretary may, after providing
notice and an opportunity for a hearing (including the
opportunity to provide information as provided for in
paragraph (3)), terminate a local flexibility demonstration
agreement under this chapter if there is evidence that the
local educational agency has failed to comply with the terms
of the agreement.
``(3) Evidence.--If a local educational agency believes
that the Secretary's determination under this subsection is
in error for statistical or other substantive reasons, the
local educational agency may provide supporting evidence to
the Secretary, and the Secretary shall consider that evidence
before making a final early termination determination.
``(b) Final Review.--If, at the end of the 5-year term of a
local flexibility demonstration agreement entered into under
this chapter, the local educational agency has not met the
requirements described in section 6151(c), the Secretary may
not renew the agreement under section 6155 and, beginning on
the date on which such term ends, the local educational
agency shall be required to comply with each of the program
requirements in effect on such date for each program included
in the local flexibility demonstration agreement.

``SEC. 6155. RENEWAL OF LOCAL FLEXIBILITY DEMONSTRATION
AGREEMENT.

``(a) In General.--Except as provided in section 6154 and
in accordance with this section, the Secretary shall renew
for 1 additional 5-year term a local flexibility
demonstration agreement entered into under this chapter if
the local educational agency has met, by the end of the
original term of the agreement, the requirements described in
section 6151(c).
``(b) Notification.--The Secretary may not renew a local
flexibility demonstration agreement under this chapter
unless, not less than 6 months before the end of the original
term of the agreement, the local educational agency seeking
the renewal notifies the Secretary of its intention to renew.
``(c) Effective Date.--A renewal under this section shall
be effective at the end of the original term of the agreement
or on the date on which the local educational agency seeking
renewal provides to the Secretary all data required under the
agreement, whichever is later.

``SEC. 6156. REPORTS.

``(a) Transmittal to Congress.--Not later than 60 days
after the Secretary receives a report described in section
6151(b)(10), the Secretary shall make the report available to
the Committee on Education and the Workforce of the House of
Representatives and the Committee on Health, Education, Labor
and Pensions of the Senate.
``(b) Limitation.--A State in which a local educational
agency that has a local flexibility demonstration agreement
is located may not require such local educational agency to
provide any application information with respect to the
programs included within the scope of that agreement other
than that information that is required to be included in the
report described in section 6151(b)(10).

``Subpart 4--State Accountability for Adequate Yearly Progress

``SEC. 6161. ACCOUNTABILITY FOR ADEQUATE YEARLY PROGRESS.

``In the case of a State educational agency that has a plan
approved under subpart 1 of part A of title I after the date
of enactment of the No Child Left Behind Act of 2001, and has
a plan approved under subpart 1 of part A of title III of
such Act after such date of enactment, the Secretary shall
annually, starting

[[Page H9894]]

with the beginning of the first school year following the
first 2 school years for which such plans were implemented,
review whether the State has--
``(1) made adequate yearly progress, as defined in section
1111(b)(2)(B), for each of the groups of students described
in section 1111(b)(2)(C)(v); and
``(2) met its annual measurable achievement objectives
under section 3122(a).

``SEC. 6162. PEER REVIEW.

``The Secretary shall use a peer review process to review,
based on data from the State assessments administered under
section 1111(b)(3) and on data from the evaluations conducted
under section 3121, whether the State has failed to make
adequate yearly progress for 2 consecutive years or whether
the State has met its annual measurable achievement
objectives.

``SEC. 6163. TECHNICAL ASSISTANCE.

``(a) Provision of Assistance.--
``(1) Adequate yearly progress.--Based on the review
described in section 6161(1), the Secretary shall provide
technical assistance to a State that has failed to make
adequate yearly progress, as defined in section 1111(b)(2),
for 2 consecutive years. The Secretary shall provide such
assistance not later than the beginning of the first school
year that begins after such determination is made.
``(2) Annual measurable achievement objectives.--Based on
the reviews described in section 6161(2), the Secretary may
provide technical assistance to a State that has failed to
meet its annual measurable achievement objectives under
section 3122(a) for 2 consecutive years. The Secretary shall
provide such assistance not later than the beginning of the
first school year that begins after such determination is
made.
``(b) Characteristics.--The technical assistance described
in subsection (a) shall--
``(1) be valid, reliable and rigorous; and
``(2) provide constructive feedback to help the State make
adequate yearly progress, as defined in section 1111(b)(2),
or meet the annual measurable achievement objectives under
section 3122(a).

``SEC. 6164. REPORT TO CONGRESS.

``Beginning with the school year that begins in 2005, the
Secretary shall submit an annual report to the Committee on
Education and the Workforce of the House of Representatives
and the Committee on Health, Education, Labor, and Pensions
of the Senate containing the following:
``(1) A list of each State that has not made adequate
yearly progress based on the review conducted under section
6161(1).
``(2) A list of each State that has not met its annual
measurable achievement objectives based on the review
conducted under section 6161(2).
``(3) The information reported by the State to the
Secretary pursuant to section 1119(a).
``(4) A description of any technical assistance provided
pursuant to section 6163.

``PART B--RURAL EDUCATION INITIATIVE

``SEC. 6201. SHORT TITLE.

``This part may be cited as the `Rural Education
Achievement Program'.

``SEC. 6202. PURPOSE.

``It is the purpose of this part to address the unique
needs of rural school districts that frequently--
``(1) lack the personnel and resources needed to compete
effectively for Federal competitive grants; and
``(2) receive formula grant allocations in amounts too
small to be effective in meeting their intended purposes.

``Subpart 1--Small, Rural School Achievement Program

``SEC. 6211. USE OF APPLICABLE FUNDING.

``(a) Alternative Uses.--
``(1) In general.--Notwithstanding any other provision of
law, an eligible local educational agency may use the
applicable funding that the agency is eligible to receive
from the State educational agency for a fiscal year to carry
out local activities authorized under any of the following
provisions:
``(A) Part A of title I.
``(B) Part A or D of title II.
``(C) Title III.
``(D) Part A or B of title IV.
``(E) Part A of title V.
``(2) Notification.--An eligible local educational agency
shall notify the State educational agency of the local
educational agency's intention to use the applicable funding
in accordance with paragraph (1), by a date that is
established by the State educational agency for the
notification.
``(b) Eligibility.--
``(1) In general.--A local educational agency shall be
eligible to use the applicable funding in accordance with
subsection (a) if--
``(A)(i)(I) the total number of students in average daily
attendance at all of the schools served by the local
educational agency is fewer than 600; or
``(II) each county in which a school served by the local
educational agency is located has a total population density
of fewer than 10 persons per square mile; and
``(ii) all of the schools served by the local educational
agency are designated with a school locale code of 7 or 8, as
determined by the Secretary; or
``(B) the agency meets the criteria established in
subparagraph (A)(i) and the Secretary, in accordance with
paragraph (2), grants the local educational agency's request
to waive the criteria described in subparagraph (A)(ii).
``(2) Certification.--The Secretary shall determine whether
to waive the criteria described in paragraph (1)(A)(ii) based
on a demonstration by the local educational agency, and
concurrence by the State educational agency, that the local
educational agency is located in an area defined as rural by
a governmental agency of the State.
``(c) Applicable Funding Defined.--In this section, the
term `applicable funding' means funds provided under any of
the following provisions:
``(1) Subpart 2 and section 2412(a)(2)(A) of title II.
``(2) Section 4114.
``(3) Part A of title V.
``(d) Disbursement.--Each State educational agency that
receives applicable funding for a fiscal year shall disburse
the applicable funding to local educational agencies for
alternative uses under this section for the fiscal year at
the same time as the State educational agency disburses the
applicable funding to local educational agencies that do not
intend to use the applicable funding for such alternative
uses for the fiscal year.
``(e) Applicable Rules.--Applicable funding under this
section shall be available to carry out local activities
authorized under subsection (a).

``SEC. 6212. GRANT PROGRAM AUTHORIZED.

``(a) In General.--The Secretary is authorized to award
grants to eligible local educational agencies to enable the
local educational agencies to carry out activities authorized
under any of the following provisions:
``(1) Part A of title I.
``(2) Part A or D of title II.
``(3) Title III.
``(4) Part A or B of title IV.
``(5) Part A of title V.
``(b) Allocation.--
``(1) In general.--Except as provided in paragraph (3), the
Secretary shall award a grant under subsection (a) to a local
educational agency eligible under section 6211(b) for a
fiscal year in an amount equal to the initial amount
determined under paragraph (2) for the fiscal year minus the
total amount received by the agency under the provisions of
law described in section 6211(c) for the preceding fiscal
year.
``(2) Determination of initial amount.--The initial amount
referred to in paragraph (1) is equal to $100 multiplied by
the total number of students in excess of 50 students, in
average daily attendance at the schools served by the local
educational agency, plus $20,000, except that the initial
amount may not exceed $60,000.
``(3) Ratable adjustment.--
``(A) In general.--If the amount made available to carry
out this section for any fiscal year is not sufficient to pay
in full the amounts that local educational agencies are
eligible to receive under paragraph (1) for such year, the
Secretary shall ratably reduce such amounts for such year.
``(B) Additional amounts.--If additional funds become
available for making payments under paragraph (1) for such
fiscal year, payments that were reduced under subparagraph
(A) shall be increased on the same basis as such payments
were reduced.
``(c) Disbursement.--The Secretary shall disburse the funds
awarded to a local educational agency under this section for
a fiscal year not later than July 1 of that fiscal year.
``(d) Special Eligibility Rule.--A local educational agency
that is eligible to receive a grant under this subpart for a
fiscal year is not eligible to receive funds for such
fiscal year under subpart 2.

``SEC. 6213. ACCOUNTABILITY.

``(a) Academic Achievement Assessment.--Each local
educational agency that uses or receives funds under this
subpart for a fiscal year shall administer an assessment that
is consistent with section 1111(b)(3).
``(b) Determination Regarding Continuing Participation.--
Each State educational agency that receives funding under the
provisions of law described in section 6211(c) shall--
``(1) after the third year that a local educational agency
in the State participates in a program under this subpart and
on the basis of the results of the assessments described in
subsection (a), determine whether the local educational
agency participating in the program made adequate yearly
progress, as described in section 1111(b)(2);
``(2) permit only those local educational agencies that
participated and made adequate yearly progress, as described
in section 1111(b)(2), to continue to participate; and
``(3) permit those local educational agencies that
participated and failed to make adequate yearly progress, as
described in section 1111(b)(2), to continue to participate
only if such local educational agencies use applicable
funding under this subpart to carry out the requirements of
section 1116.

``Subpart 2--Rural and Low-Income School Program

``SEC. 6221. PROGRAM AUTHORIZED.

``(a) Grants to States.--
``(1) In general.--From amounts appropriated under section
6234 for this subpart for a fiscal year that are not reserved
under subsection (c), the Secretary shall award grants (from
allotments made under paragraph (2)) for the fiscal year to
State educational agencies that have applications submitted
under section 6223 approved to enable the State educational
agencies to award grants to eligible local educational
agencies for local authorized activities described in section
6222(a).
``(2) Allotment.--From amounts described in paragraph (1)
for a fiscal year, the Secretary shall allot to each State
educational agency for that fiscal year an amount that bears
the same ratio to those amounts as the number of students in
average daily attendance served by eligible local educational
agencies in the State for that fiscal year bears to the
number of all such students served by eligible local
educational agencies in all States for that fiscal year.
``(3) Specially qualified agencies.--
``(A) Eligibility and application.--If a State educational
agency elects not to participate in the program under this
subpart or does

[[Page H9895]]

not have an application submitted under section 6223
approved, a specially qualified agency in such State desiring
a grant under this subpart may submit an application under
such section directly to the Secretary to receive an award
under this subpart.
``(B) Direct awards.--The Secretary may award, on a
competitive basis or by formula, the amount the State
educational agency is eligible to receive under paragraph (2)
directly to a specially qualified agency in the State that
has submitted an application in accordance with subparagraph
(A) and obtained approval of the application.
``(C) Specially qualified agency defined.--In this subpart,
the term `specially qualified agency' means an eligible local
educational agency served by a State educational agency that
does not participate in a program under this subpart in a
fiscal year, that may apply directly to the Secretary for a
grant in such year under this subsection.
``(b) Local Awards.--
``(1) Eligibility.--A local educational agency shall be
eligible to receive a grant under this subpart if--
``(A) 20 percent or more of the children ages 5 through 17
years served by the local educational agency are from
families with incomes below the poverty line; and
``(B) all of the schools served by the agency are
designated with a school locale code of 6, 7, or 8, as
determined by the Secretary.
``(2) Award basis.--A State educational agency shall award
grants to eligible local educational agencies--
``(A) on a competitive basis;
``(B) according to a formula based on the number of
students in average daily attendance served by the eligible
local educational agencies or schools in the State; or
``(C) according to an alternative formula, if, prior to
awarding the grants, the State educational agency
demonstrates, to the satisfaction of the Secretary, that the
alternative formula enables the State educational agency to
allot the grant funds in a manner that serves equal or
greater concentrations of children from families with incomes
below the poverty line, relative to the concentrations that
would be served if the State educational agency used the
formula described in subparagraph (B).
``(c) Reservations.--From amounts appropriated under
section 6234 for this subpart for a fiscal year, the
Secretary shall reserve--
``(1) \1/2\ of 1 percent to make awards to elementary
schools or secondary schools operated or supported by the
Bureau of Indian Affairs, to carry out the activities
authorized under this subpart; and
``(2) \1/2\ of 1 percent to make awards to the outlying
areas in accordance with their respective needs, to carry out
the activities authorized under this subpart.

``SEC. 6222. USES OF FUNDS.

``(a) Local Awards.--Grant funds awarded to local
educational agencies under this subpart shall be used for any
of the following:
``(1) Teacher recruitment and retention, including the use
of signing bonuses and other financial incentives.
``(2) Teacher professional development, including programs
that train teachers to utilize technology to improve teaching
and to train special needs teachers.
``(3) Educational technology, including software and
hardware, as described in part D of title II.
``(4) Parental involvement activities.
``(5) Activities authorized under the Safe and Drug-Free
Schools program under part A of title IV.
``(6) Activities authorized under part A of title I.
``(7) Activities authorized under title III.
``(b) Administrative Costs.--A State educational agency
receiving a grant under this subpart may not use more than 5
percent of the amount of the grant for State administrative
costs and to provide technical assistance to eligible local
educational agencies.

``SEC. 6223. APPLICATIONS.

``(a) In General.--Each State educational agency or
specially qualified agency desiring to receive a grant under
this subpart shall submit an application to the Secretary at
such time, in such manner, and accompanied by such
information as the Secretary may require.
``(b) Contents.--At a minimum, each application submitted
under subsection (a) shall include information on specific
measurable goals and objectives to be achieved through the
activities carried out through the grant, which may include
specific educational goals and objectives relating to--
``(1) increased student academic achievement;
``(2) decreased student dropout rates; or
``(3) such other factors as the State educational agency or
specially qualified agency may choose to measure.

``SEC. 6224. ACCOUNTABILITY.

``(a) State Report.--Each State educational agency that
receives a grant under this subpart shall prepare and submit
an annual report to the Secretary. The report shall
describe--
``(1) the method the State educational agency used to award
grants to eligible local educational agencies, and to provide
assistance to schools, under this subpart;
``(2) how local educational agencies and schools used funds
provided under this subpart; and
``(3) the degree to which progress has been made toward
meeting the goals and objectives described in the application
submitted under section 6223.
``(b) Specially Qualified Agency Report.--Each specially
qualified agency that receives a grant under this subpart
shall provide an annual report to the Secretary. Such report
shall describe--
``(1) how such agency uses funds provided under this
subpart; and
``(2) the degree to which progress has been made toward
meeting the goals and objectives described in the application
submitted under section 6223.
``(c) Report to Congress.--The Secretary shall prepare and
submit to the Committee on Education and the Workforce of the
House of Representatives and the Committee on Health,
Education, Labor, and Pensions of the Senate a biennial
report. The report shall describe--
``(1) the methods the State educational agencies used to
award grants to eligible local educational agencies, and to
provide assistance to schools, under this subpart;
``(2) how local educational agencies and schools used funds
provided under this subpart; and
``(3) the degree to which progress has been made toward
meeting the goals and objectives described in the
applications submitted under section 6223.
``(d) Academic Achievement Assessment.--Each local
educational agency or specially qualified agency that
receives a grant under this subpart for a fiscal year shall
administer an assessment that is consistent with section
1111(b)(3).
``(e) Determination Regarding Continuing Participation.--
Each State educational agency or specially qualified agency
that receives a grant under this subpart shall--
``(1) after the third year that a local educational agency
or specially qualified agency in the State receives funds
under this subpart, and on the basis of the results of the
assessments described in subsection (d)--
``(A) in the case of a local educational agency, determine
whether the local educational agency made adequate yearly
progress, as described in section 1111(b)(2); and
``(B) in the case of a specially qualified agency, submit
to the Secretary information that would allow the Secretary
to determine whether the specially qualified agency has made
adequate yearly progress, as described in section
1111(b)(2);
``(2) permit only those local educational agencies or
specially qualified agencies that made adequate yearly
progress, as described in section 1111(b)(2), to continue to
receive grants under this subpart; and
``(3) permit those local educational agencies or specially
qualified agencies that failed to make adequate yearly
progress, as described in section 1111(b)(2), to continue to
receive such grants only if the State educational agency
disbursed such grants to the local educational agencies or
specially qualified agencies to carry out the requirements of
section 1116.

``Subpart 3--General Provisions

``SEC. 6231. ANNUAL AVERAGE DAILY ATTENDANCE DETERMINATION.

``(a) Census Determination.--Each local educational agency
desiring a grant under section 6212 and each local
educational agency or specially qualified agency desiring a
grant under subpart 2 shall--
``(1) not later than December 1 of each year, conduct a
census to determine the number of students in average daily
attendance in kindergarten through grade 12 at the schools
served by the agency; and
``(2) not later than March 1 of each year, submit the
number described in paragraph (1) to the Secretary (and to
the State educational agency, in the case of a local
educational agency seeking a grant under subpart (2)).
``(b) Penalty.--If the Secretary determines that a local
educational agency or specially qualified agency has
knowingly submitted false information under subsection (a)
for the purpose of gaining additional funds under section
6212 or subpart 2, then the agency shall be fined an amount
equal to twice the difference between the amount the agency
received under this section and the correct amount the agency
would have received under section 6212 or subpart 2 if the
agency had submitted accurate information under subsection
(a).

``SEC. 6232. SUPPLEMENT, NOT SUPPLANT.

``Funds made available under subpart 1 or subpart 2 shall
be used to supplement, and not supplant, any other Federal,
State, or local education funds.

``SEC. 6233. RULE OF CONSTRUCTION.

``Nothing in this part shall be construed to prohibit a
local educational agency that enters into cooperative
arrangements with other local educational agencies for the
provision of special, compensatory, or other education
services, pursuant to State law or a written agreement, from
entering into similar arrangements for the use, or the
coordination of the use, of the funds made available under
this part.

``SEC. 6234. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
part $300,000,000 for fiscal year 2002 and such sums as may
be necessary for each of the 5 succeeding fiscal years, to be
distributed equally between subparts 1 and 2.

``PART C--GENERAL PROVISIONS

``SEC. 6301. PROHIBITION AGAINST FEDERAL MANDATES, DIRECTION,
OR CONTROL.

``SEC. 6302. RULE OF CONSTRUCTION ON EQUALIZED SPENDING.

``Nothing in this title shall be construed to mandate
equalized spending per pupil for a State, local educational
agency, or school.''.

[[Page H9896]]

SEC. 602. AMENDMENT TO THE NATIONAL EDUCATION STATISTICS ACT
OF 1994.

(a) National Assessment of Educational Progress.--Section
411 of the National Education Statistics Act of 1994 (20
U.S.C. 9010) is amended to read as follows:

``SEC. 411. NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS.

``(a) Establishment.--The Commissioner shall, with the
advice of the National Assessment Governing Board established
under section 412, and with the technical assistance of the
Advisory Council established under section 407, carry out,
through grants, contracts, or cooperative agreements with one
or more qualified organizations, or consortia thereof, a
National Assessment of Educational Progress, which
collectively refers to a national assessment, State
assessments, and a long-term trend assessment in reading and
mathematics.
``(b) Purpose; State Assessments.--
``(1) Purpose.--The purpose of this section is to provide,
in a timely manner, a fair and accurate measurement of
student academic achievement and reporting trends in such
achievement in reading, mathematics, and other subject matter
as specified in this section.
``(2) Measurement and reporting.--The Commissioner, in
carrying out the measurement and reporting described in
paragraph (1), shall--
``(A) use a random sampling process which is consistent
with relevant, widely accepted professional assessment
standards and that produces data that are representative on a
national and regional basis;
``(B) conduct a national assessment and collect and report
assessment data, including achievement data trends, in a
valid and reliable manner on student academic achievement in
public and private elementary schools and secondary schools
at least once every two years, in grades 4 and 8 in reading
and mathematics;
``(C) conduct a national assessment and collect and report
assessment data, including achievement data trends, in a
valid and reliable manner on student academic achievement in
public and private schools in reading and mathematics in
grade 12 in regularly scheduled intervals, but at least as
often as such assessments were conducted prior to the date of
enactment of the No Child Left Behind Act of 2001;
``(D) to the extent time and resources allow, and after the
requirements described in subparagraph (B) are implemented
and the requirements described in subparagraph (C) are met,
conduct additional national assessments and collect and
report assessment data, including achievement data trends, in
a valid and reliable manner on student academic achievement
in grades 4, 8, and 12 in public and private elementary
schools and secondary schools in regularly scheduled
intervals in additional subject matter, including writing,
science, history, geography, civics, economics, foreign
languages, and arts, and the trend assessment described in
subparagraph (F);
``(E) conduct the reading and mathematics assessments
described in subparagraph (B) in the same year, and every
other year thereafter, to provide for one year in which no
such assessments are conducted in between each administration
of such assessments;
``(F) continue to conduct the trend assessment of academic
achievement at ages 9, 13, and 17 for the purpose of
maintaining data on long-term trends in reading and
mathematics;
``(G) include information on special groups, including,
whenever feasible, information collected, cross tabulated,
compared, and reported by race, ethnicity, socioeconomic
status, gender, disability and limited English proficiency;
and
``(H) ensure that achievement data are made available on a
timely basis following official reporting, in a manner that
facilitates further analysis and that includes trend lines.
``(3) State assessments.--
``(A) In general.--The Commissioner--
``(i) shall conduct biennial State academic assessments of
student achievement in reading and mathematics in grades 4
and 8 as described in paragraphs (1)(B) and (1)(E);
``(ii) may conduct the State academic assessments of
student achievement in reading and mathematics in grade 12 as
described in paragraph (1)(C);
``(iii) may conduct State academic assessments of student
achievement in grades 4, 8, and 12 as described in paragraph
(1)(D); and
``(iv) shall conduct each such State assessment, in each
subject area and at each grade level, on a developmental
basis until the Commissioner determines, as the result of an
evaluation required by subsection (f), that such assessment
produces high quality data that are valid and reliable.
(B) Agreement.--
(i) In general.--States participating in State assessments
shall enter into an agreement with the Secretary pursuant to
subsection (d)(3).
``(ii) Content.--Such agreement shall contain information
sufficient to give States full information about the process
for decision-making (which shall include the consensus
process used), on objectives to be tested, and the standards
for random sampling, test administration, test security, data
collection, validation, and reporting.
``(C) Review and release.--
``(i) In general.--Except as provided in clause (ii), a
participating State shall review and give permission for the
release of results from any test of its students administered
as a part of a State assessment prior to the release of such
data. Refusal by a State to release its data shall not
restrict the release of data from other States that have
approved the release of such data.
``(ii) Special rule.--A State participating in the biennial
academic assessments of student achievement in reading and
mathematics in grades 4 and 8 shall be deemed to have given
its permission to release its data if the State has an
approved plan under section 1111 of the Elementary and
Secondary Education Act of 1965.
``(4) Prohibited activities.--
``(A) In general.--The use of assessment items and data on
any assessment authorized under this section by an agent or
agents of the Federal Government to rank, compare, or
otherwise evaluate individual students or teachers, or to
provide rewards or sanctions for individual students,
teachers, schools or local educational agencies is
prohibited.
``(B) Special rule.--Any assessment authorized under this
section shall not be used by an agent or agents of the
Federal Government to establish, require, or influence the
standards, assessments, curriculum, including lesson plans,
textbooks, or classroom materials, or instructional practices
of States or local educational agencies.
``(C) Applicability to student educational decisions.--
Nothing in this section shall be construed to prescribe the
use of any assessment authorized under this section for
student promotion or graduation purposes.
``(D) Applicability to home schools.--Nothing in this
section shall be construed to affect home schools, whether or
not a home school is treated as a home school or a private
school under State law, nor shall any home schooled student
be required to participate in any assessment referenced or
authorized under this section.
``(5) Requirement.--In carrying out any assessment
authorized under this section, the Commissioner, in a manner
consistent with subsection (c)(2), shall--
``(A) use widely accepted professional testing standards,
objectively measure academic achievement, knowledge, and
skills, and ensure that any academic assessment authorized
under this section be tests that do not evaluate or assess
personal or family beliefs and attitudes or publicly disclose
personally identifiable information;
``(B) only collect information that is directly related to
the appraisal of academic achievement, and to the fair and
accurate presentation of such information; and
``(C) collect information on race, ethnicity, socioeconomic
status, disability, limited English proficiency, and gender.
(6) Technical assistance.--In carrying out any assessment
authorized under this section, the Commissioner may provide
technical assistance to States, localities, and other
parties.
``(c) Access.--
``(1) Public access.--
``(A) In general.--Except as provided in paragraph (3),
parents and members of the public shall have access to all
assessment data, questions, and complete and current
assessment instruments of any assessment authorized under
this section. The local educational agency shall make
reasonable efforts to inform parents and members of the
public about the access required under this paragraph.
``(B) Timeline.--The access described in this paragraph
shall be provided within 45 days of the date the request was
made, in writing, and be made available in a secure setting
that is convenient to both parties.
``(C) Prohibition.--To protect the integrity of the
assessment, no copy of the assessment items or assessment
instruments shall be duplicated or taken from the secure
setting.
``(2) Complaints.--
``(A) In general.--Parents and members of the public may
submit written complaints to the National Assessment
Governing Board.
``(B) Forwarding of complaints.--The National Assessment
Governing Board shall forward such complaints to the
Commissioner, the Secretary of Education, and the State and
local educational agency from within which the complaint
originated within 30 days of receipt of such complaint.
``(C) Review.--The National Assessment Governing Board, in
consultation with the Commissioner, shall review such
complaint and determine whether revisions are necessary and
appropriate. As determined by such review, the Board shall
revise, as necessary and appropriate, the procedures or
assessment items that have generated the complaint and
respond to the individual submitting the complaint, with a
copy of such response provided to the Secretary, describing
any action taken, not later than 30 days after so acting.
``(D) Report.--The Secretary shall submit a summary report
of all complaints received pursuant to subparagraph (A) and
responses by the National Assessment Governing Board pursuant
to subparagraph (B) to the Chairman of the House Committee on
Education and the Workforce, and the Chairman of the Senate
Committee on Health, Education, Labor, and Pensions.
``(E) Cognitive questions.--
``(i) In general.--The Commissioner may decline to make
available through public means, such as posting on the
Internet, distribution to the media, distribution through
public agencies, or in response to a request under section
552 of title 5, United States Code, for a period, not to
exceed 10 years after initial use, cognitive questions that
the Commissioner intends to reuse in the future.
``(ii) Extension.--Notwithstanding clause (i), the
Commissioner may decline to make cognitive questions
available as described in clause (i) for a period longer than
10 years if the Commissioner determines such additional
period is necessary to protect the security and integrity of
long-term trend data.
``(3) Personally identifiable information.--
``(A) In general.--The Commissioner shall ensure that all
personally identifiable information about students, their
academic achievement, and their families, and that
information with respect to individual schools, remains
confidential, in accordance with section 552a of title 5,
United States Code.

[[Page H9897]]

``(B) Prohibition.--The National Board, the Commissioner,
and any contractor or subcontractor shall not maintain any
system of records containing a student's name, birth
information, Social Security number, or parents' name or
names, or any other personally identifiable information.
``(4) Penalties.--Any unauthorized person who knowingly
discloses, publishes, or uses assessment questions, or
complete and current assessment instruments of any assessment
authorized under this section may be fined as specified in
section 3571 of title 18, United States Code or charged with
a class E felony.
``(d) Participation.--
``(1) Voluntary participation.--Participation in any
assessment authorized under this section shall be voluntary
for students, schools, and local educational agencies.
``(2) Student participation.--Parents of children selected
to participate in any assessment authorized under this
section shall be informed before the administration of any
authorized assessment, that their child may be excused from
participation for any reason, is not required to finish any
authorized assessment, and is not required to answer any test
question.
``(3) State participation.--
``(A) Voluntary.--Participation in assessments authorized
under this section, other than reading and mathematics in
grades 4 and 8, shall be voluntary.
``(B) Agreement.--For reading and mathematics assessments
in grades 4 and 8, the Secretary shall enter into an
agreement with any State carrying out an assessment for the
State under this section. Each such agreement shall contain
provisions designed to ensure that the State will participate
in the assessment.
``(4) Review.--Representatives of State educational
agencies and local educational agencies or the chief State
school officer shall have the right to review any assessment
item or procedure of any authorized assessment upon request
in a manner consistent with subsection (c), except the review
described in subparagraph (2)(C) of subsection (c) shall take
place in consultation with the representatives described in
this paragraph.
``(e) Student Achievement Levels.--
``(1) Achievement levels.--The National Assessment
Governing Board shall develop appropriate student achievement
levels for each grade or age in each subject area to be
tested under assessments authorized under this section,
except the trend assessment described in subsection
(b)(2)(F).
``(2) Determination of levels.--
``(A) In general.--Such levels shall--
``(i) be determined by--

``(I) identifying the knowledge that can be measured and
verified objectively using widely accepted professional
assessment standards; and
``(II) developing achievement levels that are consistent
with relevant widely accepted professional assessment
standards and based on the appropriate level of subject
matter knowledge for grade levels to be assessed, or the age
of the students, as the case may be.

``(B) National consensus approach.--After the
determinations described in subparagraph (A), devising a
national consensus approach.
``(C) Trial basis.--The achievement levels shall be used on
a trial basis until the Commissioner determines, as a result
of an evaluation under subsection (f), that such levels are
reasonable, valid, and informative to the public.
``(D) Status.--The Commissioner and the Board shall ensure
that reports using such levels on a trial basis do so in a
manner that makes clear the status of such levels.
(E) Updates.--Such levels shall be updated as appropriate
by the National Assessment Governing Board in consultation
with the Commissioner.
``(3) Reporting.--After determining that such levels are
reasonable, valid, and informative to the public, as the
result of an evaluation under subsection (f), the
Commissioner shall use such levels or other methods or
indicators for reporting results of the National Assessment
and State assessments.
``(4) Review.--The National Assessment Governing Board
shall provide for a review of any trial student achievement
levels under development by representatives of State
educational agencies or the chief State school officer in a
manner consistent with subsection (c), except the review
described in subparagraph (2)(C) shall take place in
consultation with the representatives described in this
paragraph.
``(f) Review of National and State Assessments.--
``(1) Review.--
``(A) In general.--The Secretary shall provide for
continuing review of any assessment authorized under this
section, and student achievement levels, by 1 or more
professional assessment evaluation organizations.
``(B) Issues addressed.--Such continuing review shall
address--
``(i) whether any authorized assessment is properly
administered, produces high quality data that are valid and
reliable, is consistent with relevant widely accepted
professional assessment standards, and produces data on
student achievement that are not otherwise available to the
State (other than data comparing participating States to each
other and the Nation);
``(ii) whether student achievement levels are reasonable,
valid, reliable, and informative to the public;-
``(iii) whether any authorized assessment is being
administered as a random sample and is reporting the trends
in academic achievement in a valid and reliable manner in the
subject areas being assessed;
``(iv) whether any of the test questions are biased, as
described in section 412(e)(4); and
``(v) whether the appropriate authorized assessments are
measuring, consistent with this section, reading ability and
mathematical knowledge.
``(2) Report.--The Secretary shall report to the Committee
on Education and the Workforce of the House of
Representatives and the Committee on Health, Education,
Labor, and Pensions of the Senate, the President, and the
Nation on the findings and recommendations of such
reviews.
``(3) Use of findings and recommendations.--The
Commissioner and the National Assessment Governing Board
shall consider the findings and recommendations of such
reviews in designing the competition to select the
organization, or organizations, through which the
Commissioner carries out the National Assessment.
``(g) Coverage Agreements.--
``(1) Department of defense schools.--The Secretary and the
Secretary of Defense may enter into an agreement, including
such terms as are mutually satisfactory, to include in the
National Assessment elementary schools and secondary schools
operated by the Department of Defense.
``(2) Bureau of indian affairs schools.--The Secretary and
the Secretary of the Interior may enter into an agreement,
including such terms as are mutually satisfactory, to include
in the National Assessment schools for Indian children
operated or supported by the Bureau of Indian Affairs.''.
(b) National Assessment Governing Board.--Section 412 of
the National Education Statistics Act of 1994 (20 U.S.C.
9011) is amended to read as follows:

``SEC. 412. NATIONAL ASSESSMENT GOVERNING BOARD.

``(a) Establishment.--There is established the National
Assessment Governing Board (hereafter in this title referred
to as the ''Board''), which shall formulate policy guidelines
for the National Assessment.
``(b) Membership.--
``(1) Appointment and composition.--The Board shall be
appointed by the Secretary and be composed as follows:
``(A) Two Governors, or former Governors, who shall not be
members of the same political party.
``(B) Two State legislators, who shall not be members of
the same political party.
``(C) Two chief State school officers.
``(D) One superintendent of a local educational agency.
``(E) One member of a State board of education.
``(F) One member of a local board of education.
``(G) Three classroom teachers representing the grade
levels at which the National Assessment is conducted.
``(H) One representative of business or industry.
``(I) Two curriculum specialists.
``(J) Three testing and measurement experts, who shall have
training and experience in the field of testing and
measurement.
``(K) One nonpublic school administrator or policymaker.
``(L) Two school principals, of whom one shall be an
elementary school principal and one shall be a secondary
school principal.
``(M) Two parents who are not employed by a local, State or
Federal educational agency.
``(N) Two additional members who are representatives of the
general public, and who may be parents, but who are not
employed by a local, State, or Federal educational agency.
``(2) Assistant secretary for educational research.--The
Assistant Secretary for Educational Research and Improvement
shall serve as an ex officio, nonvoting member of the Board.
``(3) Balance and diversity.--The Secretary and the Board
shall ensure at all times that the membership of the Board
reflects regional, racial, gender, and cultural balance and
diversity and that the Board exercises its independent
judgment, free from inappropriate influences and special
interests.
``(c) Terms.--
``(1) In general.--Terms of service of members of the Board
shall be staggered and may not exceed a period of 4 years, as
determined by the Secretary.
``(2) Service limitation.--Members of the Board may serve
not more than two terms.
``(3) Change of status.--A member of the Board who changes
status under subsection (b) during the term of the
appointment of the member may continue to serve as a member
until the expiration of such term.
``(4) Conforming provision.--Members of the Board
previously granted 3 year terms, whose terms are in effect on
the date of enactment of the Department of Education
Appropriations Act, 2001, shall have their terms extended by
one year.
``(d) Vacancies.--
``(1) In general.--
``(A) Organizations.--The Secretary shall appoint new
members to fill vacancies on the Board from among individuals
who are nominated by organizations representing the type of
individuals described in subsection (b)(1) with respect to
which the vacancy exists.
``(B) Nominations.--Each organization submitting
nominations to the Secretary with respect to a particular
vacancy shall nominate for such vacancy six individuals who
are qualified by experience or training to fill the
particular Board vacancy.
``(C) Maintenance of board.--The Secretary's appointments
shall maintain the composition, diversity, and balance of the
Board required under subsection (b).
``(2) Additional nominations.--The Secretary may request
that each organization described in paragraph (1)(A) submit
additional nominations if the Secretary determines that none
of the individuals nominated by such organization have
appropriate knowledge or expertise.

[[Page H9898]]

``(e) Duties.--
``(1) In general.--In carrying out its functions under this
section the Board shall--
``(A) select the subject areas to be assessed (consistent
with section 411(b));
``(B) develop appropriate student achievement levels as
provided in section 411(e);
``(C) develop assessment objectives consistent with the
requirements of this section and test specifications that
produce an assessment that is valid and reliable, and are
based on relevant widely accepted professional standards;
``(D) develop a process for review of the assessment which
includes the active participation of teachers, curriculum
specialists, local school administrators, parents, and
concerned members of the public;
``(E) design the methodology of the assessment to ensure
that assessment items are valid and reliable, in consultation
with appropriate technical experts in measurement and
assessment, content and subject matter, sampling, and other
technical experts who engage in large scale surveys,
including the Advisory Council established under section 407;
``(F) consistent with section 411, measure student academic
achievement in grades 4, 8, and 12 in the authorized academic
subjects;
``(G) develop guidelines for reporting and disseminating
results;
``(H) develop standards and procedures for regional and
national comparisons; and
``(I) take appropriate actions needed to improve the form,
content, use, and reporting of results of any assessment
authorized by section 411 consistent with the provisions of
this section and section 411.
``(2) Delegation.--The Board may delegate any of the
Board's procedural and administrative functions to its staff.
``(3) All cognitive and noncognitive assessment items.--The
Board shall have final authority on the appropriateness of
all assessment items.
``(4) Prohibition against bias.--The Board shall take steps
to ensure that all items selected for use in the National
Assessment are free from racial, cultural, gender, or
regional bias and are secular, neutral, and non-ideological.
``(5) Technical.--In carrying out the duties required by
paragraph (1), the Board may seek technical advice, as
appropriate, from the Commissioner and the Advisory Council
on Education Statistics and other experts.
``(6) Report.--Not later than 90 days after an evaluation
of the student achievement levels under section 411(e), the
Board shall make a report to the Secretary, the Committee on
Education and the Workforce of the House of Representatives,
and the Committee on Health, Education, Labor, and Pensions
of the Senate describing the steps the Board is taking to
respond to each of the recommendations contained in such
evaluation.
``(f) Personnel.--
``(1) In general.--In the exercise of its responsibilities,
the Board shall be independent of the Secretary and the other
offices and officers of the Department.
``(2) Staff.--
``(A) In general.--The Secretary may appoint, at the
request of the Board, such staff as will enable the Board to
carry out its responsibilities.
``(B) Technical employees.--Such appointments may include,
for terms not to exceed three years and without regard to the
provisions of title 5, United States Code, governing
appointments in the competitive service, not more than six
technical employees who may be paid without regard to the
provisions of chapter 51 and subchapter III of chapter 53 of
such title relating to classification and General Schedule
pay rates.
``(g) Coordination.--The Commissioner and the Board shall
meet periodically--
``(1) to ensure coordination of their duties and activities
relating to the National Assessment; and
``(2) for the Commissioner to report to the Board on the
Department's actions to implement the decisions of the Board.
``(h) Administration.--The Federal Advisory Committee Act
(5 U.S.C. App.) shall not apply with respect to the Board,
other than sections 10, 11, and 12 of such Act.''.
TITLE VII--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

SEC. 701. INDIANS.

Title VII (20 U.S.C. 7401 et seq.) is amended to read as
follows:
``TITLE VII--INDIAN, NATIVE HAWAIIAN, AND ALASKA NATIVE EDUCATION

``PART A--INDIAN EDUCATION

``SEC. 7101. STATEMENT OF POLICY.

``It is the policy of the United States to fulfill the
Federal Government's unique and continuing trust relationship
with and responsibility to the Indian people for the
education of Indian children. The Federal Government will
continue to work with local educational agencies, Indian
tribes and organizations, postsecondary institutions, and
other entities toward the goal of ensuring that programs that
serve Indian children are of the highest quality and provide
for not only the basic elementary and secondary educational
needs, but also the unique educational and culturally related
academic needs of these children.

``SEC. 7102. PURPOSE.

``(a) Purpose.--It is the purpose of this part to support
the efforts of local educational agencies, Indian tribes and
organizations, postsecondary institutions, and other entities
to meet the unique educational and culturally related
academic needs of American Indian and Alaska Native students,
so that such students can meet the same challenging State
student academic achievement standards as all other students
are expected to meet.
``(b) Programs.--This part carries out the purpose
described in subsection (a) by authorizing programs of direct
assistance for--
``(1) meeting the unique educational and culturally related
academic needs of American Indians and Alaska Natives;
``(2) the education of Indian children and adults;
``(3) the training of Indian persons as educators and
counselors, and in other professions serving Indian people;
and
``(4) research, evaluation, data collection, and technical
assistance.

``Subpart 1--Formula Grants to Local Educational Agencies

``SEC. 7111. PURPOSE.

``It is the purpose of this subpart to support local
educational agencies in their efforts to reform elementary
school and secondary school programs that serve Indian
students in order to ensure that such programs--
``(1) are based on challenging State academic content and
student academic achievement standards that are used for all
students; and
``(2) are designed to assist Indian students in meeting
those standards.

``SEC. 7112. GRANTS TO LOCAL EDUCATIONAL AGENCIES AND TRIBES.

``(a) In General.--The Secretary may make grants, from
allocations made under section 7113, to local educational
agencies and Indian tribes, in accordance with this section
and section 7113.
``(b) Local Educational Agencies.--
``(1) Enrollment requirements.--A local educational agency
shall be eligible for a grant under this subpart for any
fiscal year if the number of Indian children eligible under
section 7117 who were enrolled in the schools of the agency,
and to whom the agency provided free public education, during
the preceding fiscal year--
``(A) was at least 10; or
``(B) constituted not less than 25 percent of the total
number of individuals enrolled in the schools of such agency.
``(2) Exclusion.--The requirement of paragraph (1) shall
not apply in Alaska, California, or Oklahoma, or with respect
to any local educational agency located on, or in proximity
to, a reservation.
``(c) Indian Tribes.--
``(1) In general.--If a local educational agency that is
otherwise eligible for a grant under this subpart does not
establish a committee under section 7114(c)(4) for such
grant, an Indian tribe that represents not less than \1/2\ of
the eligible Indian children who are served by such local
educational agency may apply for such grant.
``(2) Special rule.--The Secretary shall treat each Indian
tribe applying for a grant pursuant to paragraph (1) as if
such Indian tribe were a local educational agency for
purposes of this subpart, except that any such tribe is not
subject to section 7114(c)(4), section 7118(c), or section
7119.

``SEC. 7113. AMOUNT OF GRANTS.

``(a) Amount of Grant Awards.--
``(1) In general.--Except as provided in subsection (b) and
paragraph (2), the Secretary shall allocate to each local
educational agency that has an approved application under
this subpart an amount equal to the product of--
``(A) the number of Indian children who are eligible under
section 7117 and served by such agency; and
``(B) the greater of--
``(i) the average per pupil expenditure of the State in
which such agency is located; or
``(ii) 80 percent of the average per pupil expenditure of
all the States.
``(2) Reduction.--The Secretary shall reduce the amount of
each allocation otherwise determined under this section in
accordance with subsection (e).
``(b) Minimum Grant.--
``(1) In general.--Notwithstanding subsection (e), an
entity that is eligible for a grant under section 7112, and a
school that is operated or supported by the Bureau of Indian
Affairs that is eligible for a grant under subsection (d),
that submits an application that is approved by the
Secretary, shall, subject to appropriations, receive a
grant under this subpart in an amount that is not less
than $3,000.
``(2) Consortia.--Local educational agencies may form a
consortium for the purpose of obtaining grants under this
subpart.
``(3) Increase.--The Secretary may increase the minimum
grant under paragraph (1) to not more than $4,000 for all
grantees if the Secretary determines such increase is
necessary to ensure the quality of the programs provided.
``(c) Definition.--For the purpose of this section, the
term `average per pupil expenditure', used with respect to a
State, means an amount equal to--
``(1) the sum of the aggregate current expenditures of all
the local educational agencies in the State, plus any direct
current expenditures by the State for the operation of such
agencies, without regard to the sources of funds from which
such local or State expenditures were made, during the second
fiscal year preceding the fiscal year for which the
computation is made; divided by
``(2) the aggregate number of children who were included in
average daily attendance for whom such agencies provided free
public education during such preceding fiscal year.
``(d) Schools Operated or Supported by the Bureau of Indian
Affairs.--
``(1) In general.--Subject to subsection (e), in addition
to the grants awarded under subsection (a), the Secretary
shall allocate to the Secretary of the Interior an amount
equal to the product of--
``(A) the total number of Indian children enrolled in
schools that are operated by--
``(i) the Bureau of Indian Affairs; or
``(ii) an Indian tribe, or an organization controlled or
sanctioned by an Indian tribal government, for the children
of that tribe under a contract with, or grant from, the
Department of the

[[Page H9899]]

Interior under the Indian Self-Determination Act or the
Tribally Controlled Schools Act of 1988; and
``(B) the greater of--
``(i) the average per pupil expenditure of the State in
which the school is located; or
``(ii) 80 percent of the average per pupil expenditure of
all the States.
``(2) Special rule.--Any school described in paragraph
(1)(A) that wishes to receive an allocation under this
subpart shall submit an application in accordance with
section 7114, and shall otherwise be treated as a local
educational agency for the purpose of this subpart, except
that such school shall not be subject to section 7114(c)(4),
section 7118(c), or section 7119.
``(e) Ratable Reductions.--If the sums appropriated for any
fiscal year under section 7152(a) are insufficient to pay in
full the amounts determined for local educational agencies
under subsection (a)(1) and for the Secretary of the Interior
under subsection (d), each of those amounts shall be ratably
reduced.

``SEC. 7114. APPLICATIONS.

``(a) Application Required.--Each local educational agency
that desires to receive a grant under this subpart shall
submit an application to the Secretary at such time, in such
manner, and containing such information as the Secretary may
reasonably require.
``(b) Comprehensive Program Required.--Each application
submitted under subsection (a) shall include a description of
a comprehensive program for meeting the needs of Indian
children served by the local educational agency, including
the language and cultural needs of the children, that--
``(1) describes how the comprehensive program will offer
programs and activities to meet the culturally related
academic needs of American Indian and Alaska Native students;
``(2)(A) is consistent with the State and local plans
submitted under other provisions of this Act; and
``(B) includes academic content and student academic
achievement goals for such children, and benchmarks for
attaining such goals, that are based on the challenging State
academic content and student academic achievement standards
adopted under title I for all children;
``(3) explains how Federal, State, and local programs,
especially programs carried out under title I, will meet the
needs of such students;
``(4) demonstrates how funds made available under this
subpart will be used for activities described in section
7115;
``(5) describes the professional development opportunities
that will be provided, as needed, to ensure that--
``(A) teachers and other school professionals who are new
to the Indian community are prepared to work with Indian
children; and
``(B) all teachers who will be involved in programs
assisted under this subpart have been properly trained to
carry out such programs; and
``(6) describes how the local educational agency--
``(A) will periodically assess the progress of all Indian
children enrolled in the schools of the local educational
agency, including Indian children who do not participate in
programs assisted under this subpart, in meeting the goals
described in paragraph (2);
``(B) will provide the results of each assessment referred
to in subparagraph (A) to--
``(i) the committee described in subsection (c)(4); and
``(ii) the community served by the local educational
agency; and
``(C) is responding to findings of any previous assessments
that are similar to the assessments described in subparagraph
(A).
``(c) Assurances.--Each application submitted under
subsection (a) shall include assurances that--
``(1) the local educational agency will use funds received
under this subpart only to supplement the funds that, in the
absence of the Federal funds made available under this
subpart, such agency would make available for the education
of Indian children, and not to supplant such funds;
``(2) the local educational agency will prepare and submit
to the Secretary such reports, in such form and containing
such information, as the Secretary may require to--
``(A) carry out the functions of the Secretary under this
subpart; and
``(B) determine the extent to which activities carried out
with funds provided to the local educational agency under
this subpart are effective in improving the educational
achievement of Indian students served by such agency;
``(3) the program for which assistance is sought--
``(A) is based on a comprehensive local assessment and
prioritization of the unique educational and culturally
related academic needs of the American Indian and Alaska
Native students for whom the local educational agency is
providing an education;
``(B) will use the best available talents and resources,
including individuals from the Indian community; and
``(C) was developed by such agency in open consultation
with parents of Indian children and teachers, and, if
appropriate, Indian students from secondary schools,
including through public hearings held by such agency to
provide to the individuals described in this subparagraph a
full opportunity to understand the program and to offer
recommendations regarding the program; and
``(4) the local educational agency developed the program
with the participation and written approval of a committee--
``(A) that is composed of, and selected by--
``(i) parents of Indian children in the local educational
agency's schools;
``(ii) teachers in the schools; and
``(iii) if appropriate, Indian students attending secondary
schools of the agency;
``(B) a majority of whose members are parents of Indian
children;
``(C) that has set forth such policies and procedures,
including policies and procedures relating to the hiring of
personnel, as will ensure that the program for which
assistance is sought will be operated and evaluated in
consultation with, and with the involvement of, parents of
the children, and representatives of the area, to be served;
``(D) with respect to an application describing a
schoolwide program in accordance with section 7115(c), that
has--
``(i) reviewed in a timely fashion the program; and
``(ii) determined that the program will not diminish the
availability of culturally related activities for American
Indian and Alaska Native students; and
``(E) that has adopted reasonable bylaws for the conduct of
the activities of the committee and abides by such bylaws.

``SEC. 7115. AUTHORIZED SERVICES AND ACTIVITIES.

``(a) General Requirements.--Each local educational agency
that receives a grant under this subpart shall use the grant
funds, in a manner consistent with the purpose specified in
section 7111, for services and activities that--
(1) are designed to carry out the comprehensive program of
the local educational agency for Indian students, and
described in the application of the local educational agency
submitted to the Secretary under section 7114(a);
``(2) are designed with special regard for the language and
cultural needs of the Indian students; and
``(3) supplement and enrich the regular school program of
such agency.
``(b) Particular Activities.--The services and activities
referred to in subsection (a) may include--
``(1) culturally related activities that support the
program described in the application submitted by the local
educational agency;
``(2) early childhood and family programs that emphasize
school readiness;
``(3) enrichment programs that focus on problem solving and
cognitive skills development and directly support the
attainment of challenging State academic content and student
academic achievement standards;
``(4) integrated educational services in combination with
other programs that meet the needs of Indian children and
their families;
``(5) career preparation activities to enable Indian
students to participate in programs such as the programs
supported by the Carl D. Perkins Vocational and Technical
Education Act of 1998, including programs for tech-prep
education, mentoring, and apprenticeship;
``(6) activities to educate individuals concerning
substance abuse and to prevent substance abuse;
``(7) the acquisition of equipment, but only if the
acquisition of the equipment is essential to achieve the
purpose described in section 7111;
``(8) activities that promote the incorporation of
culturally responsive teaching and learning strategies into
the educational program of the local educational agency;
``(9) activities that incorporate American Indian and
Alaska Native specific curriculum content, consistent with
State standards, into the curriculum used by the local
educational agency;
``(10) family literacy services; and
``(11) activities that recognize and support the unique
cultural and educational needs of Indian children, and
incorporate appropriately qualified tribal elders and
seniors.
``(c) Schoolwide Programs.--Notwithstanding any other
provision of law, a local educational agency may use funds
made available to such agency under this subpart to support a
schoolwide program under section 1114 if--
``(1) the committee established pursuant to section
7114(c)(4) approves the use of the funds for the schoolwide
program; and
``(2) the schoolwide program is consistent with the purpose
described in section 7111.
``(d) Limitation on Administrative Costs.--Not more than 5
percent of the funds provided to a grantee under this subpart
for any fiscal year may be used for administrative purposes.

``SEC. 7116. INTEGRATION OF SERVICES AUTHORIZED.

``(a) Plan.--An entity receiving funds under this subpart
may submit a plan to the Secretary for the integration of
education and related services provided to Indian students.
``(b) Consolidation of Programs.--Upon the receipt of an
acceptable plan under subsection (a), the Secretary, in
cooperation with each Federal agency providing grants for the
provision of education and related services to the entity,
shall authorize the entity to consolidate, in accordance with
such plan, the federally funded education and related
services programs of the entity and the Federal programs, or
portions of the programs, serving Indian students in a manner
that integrates the program services involved into a single,
coordinated, comprehensive program and reduces administrative
costs by consolidating administrative functions.
``(c) Programs Affected.--The funds that may be
consolidated in a demonstration project under any such plan
referred to in subsection (a) shall include funds for any
Federal program exclusively serving Indian children, or the
funds reserved under any Federal program to exclusively serve
Indian children, under which the entity is eligible for
receipt of funds under a statutory or administrative formula
for the purposes of providing education and related services
that would be used to serve Indian students.
``(d) Plan Requirements.--For a plan to be acceptable
pursuant to subsection (b), the plan shall--
``(1) identify the programs or funding sources to be
consolidated;

[[Page H9900]]

``(2) be consistent with the objectives of this section
concerning authorizing the services to be integrated in a
demonstration project;
``(3) describe a comprehensive strategy that identifies the
full range of potential educational opportunities and related
services to be provided to assist Indian students to achieve
the objectives set forth in this subpart;
``(4) describe the way in which services are to be
integrated and delivered and the results expected from the
plan;
``(5) identify the projected expenditures under the plan in
a single budget;
``(6) identify the State, tribal, or local agency or
agencies to be involved in the delivery of the services
integrated under the plan;
``(7) identify any statutory provisions, regulations,
policies, or procedures that the entity believes need to be
waived in order to implement the plan;
``(8) set forth measures for academic content and student
academic achievement goals designed to be met within a
specific period of time; and
``(9) be approved by a committee formed in accordance with
section 7114(c)(4), if such a committee exists.
``(e) Plan Review.--Upon receipt of the plan from an
eligible entity, the Secretary shall consult with the
Secretary of each Federal department providing funds to be
used to implement the plan, and with the entity submitting
the plan. The parties so consulting shall identify any
waivers of statutory requirements or of Federal departmental
regulations, policies, or procedures necessary to enable the
entity to implement the plan. Notwithstanding any other
provision of law, the Secretary of the affected department
shall have the authority to waive any regulation, policy, or
procedure promulgated by that department that has been so
identified by the entity or department, unless the Secretary
of the affected department determines that such a waiver is
inconsistent with the objectives of this subpart or those
provisions of the statute from which the program involved
derives authority that are specifically applicable to Indian
students.
``(f) Plan Approval.--Within 90 days after the receipt of
an entity's plan by the Secretary, the Secretary shall inform
the entity, in writing, of the Secretary's approval or
disapproval of the plan. If the plan is disapproved, the
entity shall be informed, in writing, of the reasons for the
disapproval and shall be given an opportunity to amend the
plan or to petition the Secretary to reconsider such
disapproval.
``(g) Responsibilities of Department of Education.--Not
later than 180 days after the date of enactment of the No
Child Left Behind Act of 2001, the Secretary of Education,
the Secretary of the Interior, and the head of any other
Federal department or agency identified by the Secretary of
Education, shall enter into an interdepartmental memorandum
of agreement providing for the implementation of the
demonstration projects authorized under this section. The
lead agency head for a demonstration project under this
section shall be--
``(1) the Secretary of the Interior, in the case of an
entity meeting the definition of a contract or grant school
under title XI of the Education Amendments of 1978; or
``(2) the Secretary of Education, in the case of any other
entity.
``(h) Responsibilities of Lead Agency.--The
responsibilities of the lead agency shall include--
``(1) the use of a single report format related to the plan
for the individual project, which shall be used by an
eligible entity to report on the activities undertaken under
the project;
``(2) the use of a single report format related to the
projected expenditures for the individual project which shall
be used by an eligible entity to report on all project
expenditures;
``(3) the development of a single system of Federal
oversight for the project, which shall be implemented by the
lead agency; and
``(4) the provision of technical assistance to an eligible
entity appropriate to the project, except that an eligible
entity shall have the authority to accept or reject the plan
for providing such technical assistance and the technical
assistance provider.
``(i) Report Requirements.--A single report format shall be
developed by the Secretary, consistent with the requirements
of this section. Such report format shall require that
reports described in subsection (h), together with records
maintained on the consolidated program at the local level,
shall contain such information as will allow a determination
that the eligible entity has complied with the requirements
incorporated in its approved plan, including making a
demonstration of student academic achievement, and will
provide assurances to each Secretary that the eligible entity
has complied with all directly applicable statutory
requirements and with those directly applicable regulatory
requirements that have not been waived.
``(j) No Reduction in Amounts.--In no case shall the amount
of Federal funds available to an eligible entity involved in
any demonstration project be reduced as a result of the
enactment of this section.
``(k) Interagency Fund Transfers Authorized.--The Secretary
is authorized to take such action as may be necessary to
provide for an interagency transfer of funds otherwise
available to an eligible entity in order to further the
objectives of this section.
``(l) Administration of Funds.--
``(1) In general.--Program funds for the consolidated
programs shall be administered in such a manner as to allow
for a determination that funds from a specific program are
spent on allowable activities authorized under such program,
except that the eligible entity shall determine the
proportion of the funds granted that shall be allocated to
such program.
``(2) Separate records not required.--Nothing in this
section shall be construed as requiring the eligible entity
to maintain separate records tracing any services or
activities conducted under the approved plan to the
individual programs under which funds were authorized for the
services or activities, nor shall the eligible entity be
required to allocate expenditures among such individual
programs.
``(m) Overage.--The eligible entity may commingle all
administrative funds from the consolidated programs and shall
be entitled to the full amount of such funds (under each
program's or agency's regulations). The overage (defined as
the difference between the amount of the commingled funds and
the actual administrative cost of the programs) shall be
considered to be properly spent for Federal audit purposes,
if the overage is used for the purposes provided for under
this section.
``(n) Fiscal Accountability.--Nothing in this part shall be
construed so as to interfere with the ability of the
Secretary or the lead agency to fulfill the responsibilities
for the safeguarding of Federal funds pursuant to chapter 75
of title 31, United States Code.
``(o) Report on Statutory Obstacles to Program
Integration.--
``(1) Preliminary report.--Not later than 2 years after the
date of enactment of the No Child Left Behind Act of 2001,
the Secretary of Education shall submit a preliminary report
to the Committee on Education and the Workforce and the
Committee on Resources of the House of Representatives and
the Committee on Health, Education, Labor, and Pensions and
the Committee on Indian Affairs of the Senate on the status
of the implementation of the demonstration projects
authorized under this section.
``(2) Final report.--Not later than 5 years after the date
of enactment of the No Child Left Behind Act of 2001, the
Secretary of Education shall submit a report to the Committee
on Education and the Workforce and the Committee on Resources
of the House of Representatives and the Committee on Health,
Education, Labor, and Pensions and the Committee on Indian
Affairs of the Senate on the results of the implementation of
the demonstration projects authorized under this section.
Such report shall identify statutory barriers to the ability
of participants to integrate more effectively their education
and related services to Indian students in a manner
consistent with the objectives of this section.
``(p) Definitions.--For the purposes of this section, the
term `Secretary' means--
``(1) the Secretary of the Interior, in the case of an
entity meeting the definition of a contract or grant school
under title XI of the Education Amendments of 1978; or
``(2) the Secretary of Education, in the case of any other
entity.

``SEC. 7117. STUDENT ELIGIBILITY FORMS.

``(a) In General.--The Secretary shall require that, as
part of an application for a grant under this subpart, each
applicant shall maintain a file, with respect to each Indian
child for whom the local educational agency provides a free
public education, that contains a form that sets forth
information establishing the status of the child as an
Indian child eligible for assistance under this subpart,
and that otherwise meets the requirements of subsection
(b).
``(b) Forms.--The form described in subsection (a) shall
include--
``(1) either--
``(A)(i) the name of the tribe or band of Indians (as
defined in section 7151) with respect to which the child
claims membership;
``(ii) the enrollment number establishing the membership of
the child (if readily available); and
``(iii) the name and address of the organization that
maintains updated and accurate membership data for such tribe
or band of Indians; or
``(B) the name, the enrollment number (if readily
available), and the name and address of the organization
responsible for maintaining updated and accurate membership
data, of any parent or grandparent of the child from whom the
child claims eligibility under this subpart, if the child is
not a member of the tribe or band of Indians (as so defined);
``(2) a statement of whether the tribe or band of Indians
(as so defined), with respect to which the child, or parent
or grandparent of the child, claims membership, is federally
recognized;
``(3) the name and address of the parent or legal guardian
of the child;
``(4) a signature of the parent or legal guardian of the
child that verifies the accuracy of the information supplied;
and
``(5) any other information that the Secretary considers
necessary to provide an accurate program profile.
``(c) Statutory Construction.--Nothing in this section
shall be construed to affect a definition contained in
section 7151.
``(d) Forms and Standards of Proof.--The forms and the
standards of proof (including the standard of good faith
compliance) that were in use during the 1985-86 academic year
to establish the eligibility of a child for entitlement under
the Indian Elementary and Secondary School Assistance Act
shall be the forms and standards of proof used--
``(1) to establish eligibility under this subpart; and
``(2) to meet the requirements of subsection (a).
``(e) Documentation.--For purposes of determining whether a
child is eligible to be counted for the purpose of computing
the amount of a grant award under section 7113, the
membership of the child, or any parent or grandparent of the
child, in a tribe or band of Indians (as so defined) may be
established by proof other than an enrollment number,
notwithstanding the availability of an enrollment number for
a member of such tribe or band. Nothing in subsection (b)
shall be construed to require the furnishing of an enrollment
number.

[[Page H9901]]

``(f) Monitoring and Evaluation Review.--
``(1) In general.--
``(A) Review.--For each fiscal year, in order to provide
such information as is necessary to carry out the
responsibility of the Secretary to provide technical
assistance under this subpart, the Secretary shall conduct a
monitoring and evaluation review of a sampling of the
recipients of grants under this subpart. The sampling
conducted under this subparagraph shall take into account the
size of and the geographic location of each local educational
agency.
``(B) Exception.--A local educational agency may not be
held liable to the United States or be subject to any
penalty, by reason of the findings of an audit that relates
to the date of completion, or the date of submission, of any
forms used to establish, before April 28, 1988, the
eligibility of a child for an entitlement under the Indian
Elementary and Secondary School Assistance Act.
``(2) False information.--Any local educational agency that
provides false information in an application for a grant
under this subpart shall--
``(A) be ineligible to apply for any other grant under this
subpart; and
``(B) be liable to the United States for any funds from the
grant that have not been expended.
``(3) Excluded children.--A student who provides false
information for the form required under subsection (a) shall
not be counted for the purpose of computing the amount of a
grant under section 7113.
``(g) Tribal Grant and Contract Schools.--Notwithstanding
any other provision of this section, in calculating the
amount of a grant under this subpart to a tribal school that
receives a grant or contract from the Bureau of Indian
Affairs, the Secretary shall use only 1 of the following, as
selected by the school:
``(1) A count of the number of students in the schools
certified by the Bureau.
``(2) A count of the number of students for whom the school
has eligibility forms that comply with this section.
``(h) Timing of Child Counts.--For purposes of determining
the number of children to be counted in calculating the
amount of a local educational agency's grant under this
subpart (other than in the case described in subsection
(g)(1)), the local educational agency shall--
``(1) establish a date on, or a period not longer than 31
consecutive days during, which the agency counts those
children, if that date or period occurs before the deadline
established by the Secretary for submitting an application
under section 7114; and
``(2) determine that each such child was enrolled, and
receiving a free public education, in a school of the agency
on that date or during that period, as the case may be.

``SEC. 7118. PAYMENTS.

``(a) In General.--Subject to subsections (b) and (c), the
Secretary shall pay to each local educational agency that
submits an application that is approved by the Secretary
under this subpart the amount determined under section 7113.
The Secretary shall notify the local educational agency of
the amount of the payment not later than June 1 of the year
for which the Secretary makes the payment.
``(b) Payments Taken Into Account by the State.--The
Secretary may not make a grant under this subpart to a local
educational agency for a fiscal year if, for such fiscal
year, the State in which the local educational agency is
located takes into consideration payments made under this
chapter in determining the eligibility of the local
educational agency for State aid, or the amount of the State
aid, with respect to the free public education of children
during such fiscal year or the preceding fiscal year.
``(c) Reduction of Payment for Failure To Maintain Fiscal
Effort.--
``(1) In general.--The Secretary may not pay a local
educational agency the full amount of a grant award
determined under section 7113 for any fiscal year unless the
State educational agency notifies the Secretary, and the
Secretary determines, that with respect to the provision of
free public education by the local educational agency for the
preceding fiscal year, the combined fiscal effort of the
local educational agency and the State, computed on either a
per student or aggregate expenditure basis, was not less than
90 percent of the amount of the combined fiscal effort,
computed on the same basis, for the second preceding fiscal
year.
``(2) Failure to maintain effort.--If, for the preceding
fiscal year, the Secretary determines that a local
educational agency and State failed to maintain the combined
fiscal effort for such agency at the level specified in
paragraph (1), the Secretary shall--
``(A) reduce the amount of the grant that would otherwise
be made to such agency under this subpart in the exact
proportion of the failure to maintain the fiscal effort at
such level; and
``(B) not use the reduced amount of the agency and State
expenditures for the preceding year to determine compliance
with paragraph (1) for any succeeding fiscal year, but shall
use the amount of expenditures that would have been required
to comply with paragraph (1).
``(3) Waiver.--
``(A) In general.--The Secretary may waive the requirement
of paragraph (1) for a local educational agency, for not more
than 1 year at a time, if the Secretary determines that the
failure to comply with such requirement is due to exceptional
or uncontrollable circumstances, such as a natural disaster
or a precipitous and unforeseen decline in the agency's
financial resources.
``(B) Future determinations.--The Secretary shall not use
the reduced amount of the agency's expenditures for the
fiscal year preceding the fiscal year for which a waiver is
granted to determine compliance with paragraph (1) for any
succeeding fiscal year, but shall use the amount of
expenditures that would have been required to comply with
paragraph (1) in the absence of the waiver.
``(d) Reallocations.--The Secretary may reallocate, in a
manner that the Secretary determines will best carry out the
purpose of this subpart, any amounts that--
``(1) based on estimates made by local educational agencies
or other information, the Secretary determines will not be
needed by such agencies to carry out approved programs under
this subpart; or
``(2) otherwise become available for reallocation under
this subpart.

``SEC. 7119. STATE EDUCATIONAL AGENCY REVIEW.

``Before submitting an application to the Secretary under
section 7114, a local educational agency shall submit the
application to the State educational agency, which may
comment on such application. If the State educational agency
comments on the application, the agency shall comment on all
applications submitted by local educational agencies in the
State and shall provide those comments to the respective
local educational agencies, with an opportunity to respond.

``Subpart 2--Special Programs and Projects To Improve Educational
Opportunities for Indian Children

``SEC. 7121. IMPROVEMENT OF EDUCATIONAL OPPORTUNITIES FOR
INDIAN CHILDREN.

``(a) Purpose.--
``(1) In general.--It is the purpose of this section to
support projects to develop, test, and demonstrate the
effectiveness of services and programs to improve educational
opportunities and achievement of Indian children.
``(2) Coordination.--The Secretary shall take the necessary
actions to achieve the coordination of activities assisted
under this subpart with--
``(A) other programs funded under this Act; and
``(B) other Federal programs operated for the benefit of
American Indian and Alaska Native children.
``(b) Eligible Entities.--In this section, the term
`eligible entity' means a State educational agency, local
educational agency, Indian tribe, Indian organization,
federally supported elementary school or secondary school for
Indian students, Indian institution (including an Indian
institution of higher education), or a consortium of such
entities.
``(c) Grants Authorized.--
``(1) In general.--The Secretary shall award grants to
eligible entities to enable such entities to carry out
activities that meet the purpose of this section, including--
``(A) innovative programs related to the educational needs
of educationally disadvantaged children;
``(B) educational services that are not available to such
children in sufficient quantity or quality, including
remedial instruction, to raise the achievement of Indian
children in 1 or more of the core academic subjects of
English, mathematics, science, foreign languages, art,
history, and geography;
``(C) bilingual and bicultural programs and projects;
``(D) special health and nutrition services, and other
related activities, that address the special health, social,
and psychological problems of Indian children;
``(E) special compensatory and other programs and projects
designed to assist and encourage Indian children to enter,
remain in, or reenter school, and to increase the rate of
high school graduation for Indian children;
``(F) comprehensive guidance, counseling, and testing
services;
``(G) early childhood and kindergarten programs, including
family-based preschool programs that emphasize school
readiness and parental skills, and the provision of services
to Indian children with disabilities;
``(H) partnership projects between local educational
agencies and institutions of higher education that allow
secondary school students to enroll in courses at the
postsecondary level to aid such students in the transition
from secondary to postsecondary education;
``(I) partnership projects between schools and local
businesses for career preparation programs designed to
provide Indian youth with the knowledge and skills such youth
need to make an effective transition from school to a high-
skill, high-wage career;
``(J) programs designed to encourage and assist Indian
students to work toward, and gain entrance into, an
institution of higher education;
``(K) family literacy services;
``(L) activities that recognize and support the unique
cultural and educational needs of Indian children, and
incorporate appropriately qualified tribal elders and
seniors; or
``(M) other services that meet the purpose described in
this section.
``(2) Professional development.--Professional development
of teaching professionals and paraprofessionals may be a part
of any program assisted under this section.
``(d) Grant Requirements and Applications.--
``(1) Grant requirements.--
``(A) In general.--The Secretary may make multiyear grants
under subsection (c) for the planning, development, pilot
operation, or demonstration of any activity described in
subsection (c) for a period not to exceed 5 years.
``(B) Priority.--In making multiyear grants described in
this paragraph, the Secretary shall give priority to entities
submitting applications that present a plan for combining 2
or more of the activities described in subsection (c) over a
period of more than 1 year.
``(C) Progress.--The Secretary shall make a grant payment
for a grant described in this

[[Page H9902]]

paragraph to an eligible entity after the initial year of the
multiyear grant only if the Secretary determines that the
eligible entity has made substantial progress in carrying out
the activities assisted under the grant in accordance with
the application submitted under paragraph (3) and any
subsequent modifications to such application.
``(2) Dissemination grants.--
``(A) In general.--In addition to awarding the multiyear
grants described in paragraph (1), the Secretary may award
grants under subsection (c) to eligible entities for the
dissemination of exemplary materials or programs assisted
under this section.
``(B) Determination.--The Secretary may award a
dissemination grant described in this paragraph if, prior to
awarding the grant, the Secretary determines that the
material or program to be disseminated--
``(i) has been adequately reviewed;
``(ii) has demonstrated educational merit; and
``(iii) can be replicated.
``(3) Application.--
``(A) In general.--Any eligible entity that desires to
receive a grant under this section shall submit an
application to the Secretary at such time and in such manner
as the Secretary may reasonably require.
``(B) Contents.--Each application submitted to the
Secretary under subparagraph (A), other than an application
for a dissemination grant under paragraph (2), shall
contain--
``(i) a description of how parents of Indian children and
representatives of Indian tribes have been, and will be,
involved in developing and implementing the activities for
which assistance is sought;
``(ii) assurances that the applicant will participate, at
the request of the Secretary, in any national evaluation of
activities assisted under this section;
``(iii) information demonstrating that the proposed program
for the activities is a scientifically based research
program, where applicable, which may include a program that
has been modified to be culturally appropriate for students
who will be served;
``(iv) a description of how the applicant will incorporate
the proposed activities into the ongoing school program
involved once the grant period is over; and
``(v) such other assurances and information as the
Secretary may reasonably require.
``(e) Administrative Costs.--Not more than 5 percent of the
funds provided to a grantee under this subpart for any fiscal
year may be used for administrative purposes.

``SEC. 7122. PROFESSIONAL DEVELOPMENT FOR TEACHERS AND
EDUCATION PROFESSIONALS.

``(a) Purposes.--The purposes of this section are--
``(1) to increase the number of qualified Indian
individuals in teaching or other education professions that
serve Indian people;
``(2) to provide training to qualified Indian individuals
to enable such individuals to become teachers,
administrators, teacher aides, social workers, and ancillary
educational personnel; and
``(3) to improve the skills of qualified Indian individuals
who serve in the capacities described in paragraph (2).
``(b) Eligible Entities.--For the purpose of this section,
the term `eligible entity' means--
``(1) an institution of higher education, including an
Indian institution of higher education;
``(2) a State educational agency or local educational
agency, in consortium with an institution of higher
education;
``(3) an Indian tribe or organization, in consortium with
an institution of higher education; and
``(4) a Bureau-funded school (as defined in section 1146 of
the Education Amendments of 1978).
``(c) Program Authorized.--The Secretary is authorized to
award grants to eligible entities having applications
approved under this section to enable those entities to carry
out the activities described in subsection (d).
``(d) Authorized Activities.--
``(1) In general.--Grant funds under this section shall be
used for activities to provide support and training for
Indian individuals in a manner consistent with the purposes
of this section. Such activities may include continuing
programs, symposia, workshops, conferences, and direct
financial support, and may include programs designed to train
tribal elders and seniors.
``(2) Special rules.--
``(A) Type of training.--For education personnel, the
training received pursuant to a grant under this section may
be inservice or preservice training.
``(B) Program.--For individuals who are being trained to
enter any field other than teaching, the training received
pursuant to a grant under this section shall be in a program
that results in a graduate degree.
``(e) Application.--Each eligible entity desiring a grant
under this section shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information, as the Secretary may reasonably require.
``(f) Special Rule.--In awarding grants under this section,
the Secretary--
``(1) shall consider the prior performance of the eligible
entity; and
``(2) may not limit eligibility to receive a grant under
this section on the basis of--
``(A) the number of previous grants the Secretary has
awarded such entity; or
``(B) the length of any period during which such entity
received such grants.
``(g) Grant Period.--Each grant under this section shall be
awarded for a period of not more than 5 years.
``(h) Service Obligation.--
``(1) In general.--The Secretary shall require, by
regulation, that an individual who receives training pursuant
to a grant made under this section--
``(A) perform work--
``(i) related to the training received under this section;
and
``(ii) that benefits Indian people; or
``(B) repay all or a prorated part of the assistance
received.
``(2) Reporting.--The Secretary shall establish, by
regulation, a reporting procedure under which a grant
recipient under this section shall, not later than 12 months
after the date of completion of the training, and
periodically thereafter, provide information concerning
compliance with the work requirement under paragraph (1).

``Subpart 3--National Activities

``SEC. 7131. NATIONAL RESEARCH ACTIVITIES.

``(a) Authorized Activities.--The Secretary may use funds
made available under section 7152(b) for each fiscal year
to--
``(1) conduct research related to effective approaches for
the education of Indian children and adults;
``(2) evaluate federally assisted education programs from
which Indian children and adults may benefit;
``(3) collect and analyze data on the educational status
and needs of Indians; and
``(4) carry out other activities that are consistent with
the purpose of this part.
``(b) Eligibility.--The Secretary may carry out any of the
activities described in subsection (a) directly or through
grants to, or contracts or cooperative agreements with,
Indian tribes, Indian organizations, State educational
agencies, local educational agencies, institutions of higher
education, including Indian institutions of higher education,
and other public and private agencies and institutions.
``(c) Coordination.--Research activities supported under
this section--
``(1) shall be carried out in consultation with the Office
of Educational Research and Improvement to ensure that such
activities are coordinated with and enhance the research and
development activities supported by the Office; and
``(2) may include collaborative research activities that
are jointly funded and carried out by the Office of Indian
Education Programs and the Office of Educational Research and
Improvement.

``SEC. 7132. IN-SERVICE TRAINING FOR TEACHERS OF INDIAN
CHILDREN.

``(a) Grants Authorized.--In addition to the grants
authorized by section 7122(c), the Secretary may make grants
to eligible consortia for the provision of high quality in-
service training. The Secretary may make such a grant to--
``(1) a consortium of a tribal college and an institution
of higher education that awards a degree in education; or
``(2) a consortium of--
``(A) a tribal college;
``(B) an institution of higher education that awards a
degree in education; and
``(C) 1 or more elementary schools or secondary schools
operated by the Bureau of Indian Affairs, local educational
agencies serving Indian children, or tribal educational
agencies.
``(b) Use of Funds.--
``(1) In-service training.--A consortium that receives a
grant under subsection (a) shall use the grant funds only to
provide high quality in-service training to teachers,
including teachers who are not Indians, in schools of local
educational agencies with substantial numbers of Indian
children enrolled in their schools, in order to better meet
the needs of those children.
``(2) Components.--The training described in paragraph (1)
shall include such activities as preparing teachers to use
the best available scientifically based research practices
and learning strategies, and to make the most effective use
of curricula and materials, to respond to the unique needs of
Indian children in their classrooms.
``(c) Preference for Indian Applicants.--In applying
section 7143 to this section, the Secretary shall give a
preference to any consortium that includes 1 or more of the
entities described in section 7143.

``SEC. 7133. FELLOWSHIPS FOR INDIAN STUDENTS.

``(a) Fellowships.--
``(1) Authority.--The Secretary is authorized to award
fellowships to Indian students to enable such students to
study in graduate and professional programs at institutions
of higher education.
``(2) Requirements.--The fellowships described in paragraph
(1) shall be awarded to Indian students to enable such
students to pursue a course of study--
``(A) of not more than 4 academic years; and
``(B) that leads--
``(i) toward a postbaccalaureate degree in medicine,
clinical psychology, psychology, law, education, or a related
field; or
``(ii) to an undergraduate or graduate degree in
engineering, business administration, natural resources, or a
related field.
``(b) Stipends.--The Secretary shall pay to Indian students
awarded fellowships under subsection (a) such stipends
(including allowances for subsistence of such students and
dependents of such students) as the Secretary determines to
be consistent with prevailing practices under comparable
federally supported programs.
``(c) Payments to Institutions in Lieu of Tuition.--The
Secretary shall pay to the institution of higher education at
which such a fellowship recipient is pursuing a course of
study, in lieu of tuition charged to such recipient, such
amounts as the Secretary may determine to be necessary to
cover the cost of education provided to such recipient.

[[Page H9903]]

``(d) Special Rules.--
``(1) In general.--If a fellowship awarded under subsection
(a) is vacated prior to the end of the period for which the
fellowship is awarded, the Secretary may award an additional
fellowship for the unexpired portion of the period of the
first fellowship.
``(2) Written notice.--Not later than 45 days before the
commencement of an academic term, the Secretary shall provide
to each individual who is awarded a fellowship under
subsection (a) for such academic term written notice of--
``(A) the amount of the funding for the fellowship; and
``(B) any stipends or other payments that will be made
under this section to, or for the benefit of, the individual
for the academic term.
``(3) Priority.--Not more than 10 percent of the
fellowships awarded under subsection (a) shall be awarded, on
a priority basis, to persons receiving training in guidance
counseling with a specialty in the area of alcohol and
substance abuse counseling and education.
``(e) Service Obligation.--
``(1) In general.--The Secretary shall require, by
regulation, that an individual who receives financial
assistance under this section--
``(A) perform work--
``(i) related to the training for which the individual
receives the assistance under this section; and
``(ii) that benefits Indian people; or
``(B) repay all or a prorated portion of such assistance.
``(2) Reporting.--The Secretary shall establish, by
regulation, a reporting procedure under which a recipient of
assistance under this section shall, not later than 12 months
after the date of completion of the training, and
periodically thereafter, provide information concerning the
compliance of such recipient with the work requirement
described in paragraph (1).
``(f) Administration of Fellowships.--The Secretary may
administer the fellowships authorized under this section
through a grant to, or contract or cooperative agreement
with, an Indian organization with demonstrated qualifications
to administer all facets of the program assisted under this
section.

``SEC. 7134. GIFTED AND TALENTED INDIAN STUDENTS.

``(a) Program Authorized.--The Secretary is authorized to--
``(1) establish 2 centers for gifted and talented Indian
students at tribally controlled community colleges in
accordance with this section; and
``(2) support demonstration projects described in
subsection (c).
``(b) Eligible Entities.--The Secretary shall make grants,
or enter into contracts, for the activities described in
subsection (a), to or with--
``(1) 2 tribally controlled community colleges that--
``(A) are eligible for funding under the Tribally
Controlled College or University Assistance Act of 1978; and
``(B) are fully accredited; or
``(2) the American Indian Higher Education Consortium, if
the Secretary does not receive applications that the
Secretary determines to be approvable from 2 colleges that
meet the requirements of paragraph (1).
``(c) Use of Funds.--
``(1) In general.--Funds made available through the grants
made, or contracts entered into, by the Secretary under
subsection (b) shall be used for--
``(A) the establishment of centers described in subsection
(a); and
``(B) carrying out demonstration projects designed to--
``(i) address the special needs of Indian students in
elementary schools and secondary schools who are gifted and
talented; and
``(ii) provide such support services to the families of the
students described in clause (i) as are needed to enable such
students to benefit from the projects.
``(2) Subcontracts.--Each recipient of a grant or contract
under subsection (b) to carry out a demonstration project
under subsection (a) may enter into a contract with any other
entity, including the Children's Television Workshop, to
carry out the demonstration project.
``(3) Demonstration projects.--Demonstration projects
assisted under subsection (b) may include--
``(A) the identification of the special needs of gifted and
talented Indian students, particularly at the elementary
school level, giving attention to--
``(i) identifying the emotional and psychosocial needs of
such students; and
``(ii) providing such support services to the families of
such students as are needed to enable such students to
benefit from the projects;
``(B) the conduct of educational, psychosocial, and
developmental activities that the Secretary determines hold a
reasonable promise of resulting in substantial progress
toward meeting the educational needs of such gifted and
talented children, including--
``(i) demonstrating and exploring the use of Indian
languages and exposure to Indian cultural traditions; and
``(ii) carrying out mentoring and apprenticeship programs;
``(C) the provision of technical assistance and the
coordination of activities at schools that receive grants
under subsection (d) with respect to the activities assisted
under such grants, the evaluation of programs assisted under
such grants, or the dissemination of such evaluations;
``(D) the use of public television in meeting the special
educational needs of such gifted and talented children;
``(E) leadership programs designed to replicate programs
for such children throughout the United States, including
disseminating information derived from the demonstration
projects conducted under subsection (a); and
``(F) appropriate research, evaluation, and related
activities pertaining to the needs of such children and to
the provision of such support services to the families of
such children as are needed to enable such children to
benefit from the projects.
``(4) Application.--Each eligible entity desiring a grant
or contract under subsection (b) shall submit an application
to the Secretary at such time, in such manner, and
accompanied by such information, as the Secretary may
reasonably require.
``(d) Additional Grants.--
``(1) In general.--The Secretary, in consultation with the
Secretary of the Interior, shall award 5 grants to schools
funded by the Bureau of Indian Affairs (hereafter referred to
individually in this section as a `Bureau school') for
program research and development and the development and
dissemination of curriculum and teacher training material,
regarding--
``(A) gifted and talented students;
``(B) college preparatory studies (including programs for
Indian students with an interest in pursuing teaching
careers);
``(C) students with special culturally related academic
needs, including students with social, lingual, and cultural
needs; or
``(D) mathematics and science education.
``(2) Applications.--Each Bureau school desiring a grant
under this subsection shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information, as the Secretary may reasonably require.
``(3) Special rule.--Each application described in
paragraph (2) shall be developed, and each grant under this
subsection shall be administered, jointly by the supervisor
of the Bureau school and the local educational agency serving
such school.
``(4) Requirements.--In awarding grants under paragraph
(1), the Secretary shall achieve a mixture of the programs
described in paragraph (1) that ensures that Indian students
at all grade levels and in all geographic areas of the United
States are able to participate in a program assisted under
this subsection.
``(5) Grant period.--Subject to the availability of
appropriations, a grant awarded under paragraph (1) shall be
awarded for a 3-year period and may be renewed by the
Secretary for additional 3-year periods if the Secretary
determines that the performance of the grant recipient has
been satisfactory.
``(6) Dissemination.--
``(A) Cooperative efforts.--The dissemination of any
materials developed from activities assisted under paragraph
(1) shall be carried out in cooperation with entities that
receive funds pursuant to subsection (b).
``(B) Report.--The Secretary shall prepare and submit to
the Secretary of the Interior and to Congress a report
concerning any results from activities described in this
subsection.
``(7) Evaluation costs.--
``(A) Division.--The costs of evaluating any activities
assisted under paragraph (1) shall be divided between the
Bureau schools conducting such activities and the recipients
of grants or contracts under subsection (b) who conduct
demonstration projects under subsection (a).
``(B) Grants and contracts.--If no funds are provided under
subsection (b) for--
``(i) the evaluation of activities assisted under paragraph
(1);
``(ii) technical assistance and coordination with respect
to such activities; or
``(iii) the dissemination of the evaluations referred to in
clause (i),
the Secretary shall make such grants, or enter into such
contracts, as are necessary to provide for the evaluations,
technical assistance, and coordination of such activities,
and the dissemination of the evaluations.
``(e) Information Network.--The Secretary shall encourage
each recipient of a grant or contract under this section to
work cooperatively as part of a national network to ensure
that the information developed by the grant or contract
recipient is readily available to the entire educational
community.

``SEC. 7135. GRANTS TO TRIBES FOR EDUCATION ADMINISTRATIVE
PLANNING AND DEVELOPMENT.

``(a) In General.--The Secretary may make grants to Indian
tribes, and tribal organizations approved by Indian tribes,
to plan and develop a centralized tribal administrative
entity to--
``(1) coordinate all education programs operated by the
tribe or within the territorial jurisdiction of the tribe;
``(2) develop education codes for schools within the
territorial jurisdiction of the tribe;
``(3) provide support services and technical assistance to
schools serving children of the tribe; and
``(4) perform child-find screening services for the
preschool-aged children of the tribe to--
``(A) ensure placement in appropriate educational
facilities; and
``(B) coordinate the provision of any needed special
services for conditions such as disabilities and English
language skill deficiencies.
``(b) Period of Grant.--Each grant awarded under this
section may be awarded for a period of not more than 3 years.
Such grant may be renewed upon the termination of the initial
period of the grant if the grant recipient demonstrates to
the satisfaction of the Secretary that renewing the grant for
an additional 3-year period is necessary to carry out the
objectives of the grant described in subsection (c)(2)(A).
``(c) Application for Grant.--
``(1) In general.--Each Indian tribe and tribal
organization desiring a grant under this section shall submit
an application to the Secretary at such time, in such manner,
containing such information, and consistent with such
criteria, as the Secretary may prescribe in regulations.
``(2) Contents.--Each application described in paragraph
(1) shall contain--

[[Page H9904]]

``(A) a statement describing the activities to be
conducted, and the objectives to be achieved, under the
grant; and
``(B) a description of the method to be used for evaluating
the effectiveness of the activities for which assistance is
sought and for determining whether such objectives are
achieved.
``(3) Approval.--The Secretary may approve an application
submitted by a tribe or tribal organization pursuant to this
section only if the Secretary is satisfied that such
application, including any documentation submitted with the
application--
``(A) demonstrates that the applicant has consulted with
other education entities, if any, within the territorial
jurisdiction of the applicant who will be affected by the
activities to be conducted under the grant;
``(B) provides for consultation with such other education
entities in the operation and evaluation of the activities
conducted under the grant; and
``(C) demonstrates that there will be adequate resources
provided under this section or from other sources to complete
the activities for which assistance is sought, except that
the availability of such other resources shall not be a basis
for disapproval of such application.
``(d) Restriction.--A tribe may not receive funds under
this section if such tribe receives funds under section 1144
of the Education Amendments of 1978.

``SEC. 7136. IMPROVEMENT OF EDUCATIONAL OPPORTUNITIES FOR
ADULT INDIANS.

``(a) In General.--The Secretary shall make grants to State
educational agencies, local educational agencies, and Indian
tribes, institutions, and organizations--
``(1) to support planning, pilot, and demonstration
projects that are designed to test and demonstrate the
effectiveness of programs for improving employment and
educational opportunities for adult Indians;
``(2) to assist in the establishment and operation of
programs that are designed to stimulate--
``(A) the provision of basic literacy opportunities for all
nonliterate Indian adults; and
``(B) the provision of opportunities to all Indian adults
to qualify for a secondary school diploma, or its recognized
equivalent, in the shortest period of time feasible;
``(3) to support a major research and development program
to develop more innovative and effective techniques for
achieving literacy and secondary school equivalency for
Indians;
``(4) to provide for basic surveys and evaluations to
define accurately the extent of the problems of illiteracy
and lack of secondary school completion among Indians; and
``(5) to encourage the dissemination of information and
materials relating to, and the evaluation of, the
effectiveness of education programs that may offer
educational opportunities to Indian adults.
``(b) Educational Services.--The Secretary may make grants
to Indian tribes, institutions, and organizations to develop
and establish educational services and programs specifically
designed to improve educational opportunities for Indian
adults.
``(c) Information and Evaluation.--The Secretary may make
grants to, and enter into contracts with, public agencies and
institutions and Indian tribes, institutions, and
organizations, for--
``(1) the dissemination of information concerning
educational programs, services, and resources available to
Indian adults, including evaluations of the programs,
services, and resources; and
``(2) the evaluation of federally assisted programs in
which Indian adults may participate to determine the
effectiveness of the programs in achieving the purposes of
the programs with respect to Indian adults.
``(d) Applications.--
``(1) In general.--Each entity desiring a grant or contract
under this section shall submit to the Secretary an
application at such time, in such manner, containing such
information, and consistent with such criteria, as the
Secretary may prescribe in regulations.
``(2) Contents.--Each application described in paragraph
(1) shall contain--
``(A) a statement describing the activities to be conducted
and the objectives to be achieved under the grant or
contract; and
``(B) a description of the method to be used for evaluating
the effectiveness of the activities for which assistance is
sought and determining whether the objectives of the grant or
contract are achieved.
``(3) Approval.--The Secretary shall not approve an
application described in paragraph (1) unless the Secretary
determines that such application, including any documentation
submitted with the application, indicates that--
``(A) there has been adequate participation, by the
individuals to be served and the appropriate tribal
communities, in the planning and development of the
activities to be assisted; and
``(B) the individuals and tribal communities referred to in
subparagraph (A) will participate in the operation and
evaluation of the activities to be assisted.
``(4) Priority.--In approving applications under paragraph
(1), the Secretary shall give priority to applications from
Indian educational agencies, organizations, and institutions.
``(e) Administrative Costs.--Not more than 5 percent of the
funds made available to an entity through a grant or contract
made or entered into under this section for a fiscal year may
be used to pay for administrative costs.

``Subpart 4--Federal Administration

``SEC. 7141. NATIONAL ADVISORY COUNCIL ON INDIAN EDUCATION.

``(a) Membership.--There is established a National Advisory
Council on Indian Education (hereafter in this section
referred to as the `Council'), which shall--
``(1) consist of 15 Indian members, who shall be appointed
by the President from lists of nominees furnished, from time
to time, by Indian tribes and organizations; and
``(2) represent different geographic areas of the United
States.
``(b) Duties.--The Council shall--
``(1) advise the Secretary concerning the funding and
administration (including the development of regulations and
administrative policies and practices) of any program,
including any program established under this part--
``(A) with respect to which the Secretary has jurisdiction;
and
``(B)(i) that includes Indian children or adults as
participants; or
``(ii) that may benefit Indian children or adults;
``(2) make recommendations to the Secretary for filling the
position of Director of Indian Education whenever a vacancy
occurs; and
``(3) submit to Congress, not later than June 30 of each
year, a report on the activities of the Council, including--
``(A) any recommendations that the Council considers
appropriate for the improvement of Federal education programs
that include Indian children or adults as participants, or
that may benefit Indian children or adults; and
``(B) recommendations concerning the funding of any program
described in subparagraph (A).

``SEC. 7142. PEER REVIEW.

``The Secretary may use a peer review process to review
applications submitted to the Secretary under subpart 2 or
subpart 3.

``SEC. 7143. PREFERENCE FOR INDIAN APPLICANTS.

``In making grants and entering into contracts or
cooperative agreements under subpart 2 or subpart 3, the
Secretary shall give a preference to Indian tribes,
organizations, and institutions of higher education under any
program with respect to which Indian tribes, organizations,
and institutions are eligible to apply for grants, contracts,
or cooperative agreements.

``SEC. 7144. MINIMUM GRANT CRITERIA.

``The Secretary may not approve an application for a grant,
contract, or cooperative agreement under subpart 2 or subpart
3 unless the application is for a grant, contract, or
cooperative agreement that is--
``(1) of sufficient size, scope, and quality to achieve the
purpose or objectives of such grant, contract, or cooperative
agreement; and
``(2) based on relevant research findings.

``Subpart 5--Definitions; Authorizations of Appropriations

``SEC. 7151. DEFINITIONS.

``For the purposes of this part:
``(1) Adult.--The term `adult' means an individual who--
``(A) has attained the age of 16 years; or
``(B) has attained an age that is greater than the age of
compulsory school attendance under an applicable State law.
``(2) Free public education.--The term `free public
education' means education that is--
``(A) provided at public expense, under public supervision
and direction, and without tuition charge; and
``(B) provided as elementary or secondary education in the
applicable State or to preschool children.
``(3) Indian.--The term `Indian' means an individual who
is--
``(A) a member of an Indian tribe or band, as membership is
defined by the tribe or band, including--
``(i) any tribe or band terminated since 1940; and
``(ii) any tribe or band recognized by the State in which
the tribe or band resides;
``(B) a descendant, in the first or second degree, of an
individual described in subparagraph (A);
``(C) considered by the Secretary of the Interior to be an
Indian for any purpose;
``(D) an Eskimo, Aleut, or other Alaska Native; or
``(E) a member of an organized Indian group that received a
grant under the Indian Education Act of 1988 as in effect the
day preceding the date of enactment of the Improving
America's Schools Act of 1994.

``SEC. 7152. AUTHORIZATIONS OF APPROPRIATIONS.

``(a) Subpart 1.--For the purpose of carrying out subpart
1, there are authorized to be appropriated $96,400,000 for
fiscal year 2002 and such sums as may be necessary for each
of the 5 succeeding fiscal years.
``(b) Subparts 2 and 3.--For the purpose of carrying out
subparts 2 and 3, there are authorized to be appropriated
$24,000,000 for fiscal year 2002 and such sums as may be
necessary for each of the 5 succeeding fiscal years.

``PART B--NATIVE HAWAIIAN EDUCATION

``SEC. 7201. SHORT TITLE.

``This part may be cited as the `Native Hawaiian Education
Act'.

``SEC. 7202. FINDINGS.

``Congress finds the following:
``(1) Native Hawaiians are a distinct and unique indigenous
people with a historical continuity to the original
inhabitants of the Hawaiian archipelago, whose society was
organized as a nation and internationally recognized as a
nation by the United States, Britain, France, and Japan, as
evidenced by treaties governing friendship, commerce, and
navigation.
``(2) At the time of the arrival of the first nonindigenous
people in Hawai`i in 1778, the Native Hawaiian people lived
in a highly organized, self-sufficient subsistence social
system based on a communal land tenure system with a
sophisticated language, culture, and religion.
``(3) A unified monarchal government of the Hawaiian
Islands was established in 1810 under Kamehameha I, the first
King of Hawai`i.
``(4) From 1826 until 1893, the United States recognized
the sovereignty and independence of

[[Page H9905]]

the Kingdom of Hawai`i, which was established in 1810 under
Kamehameha I, extended full and complete diplomatic
recognition to the Kingdom of Hawai`i, and entered into
treaties and conventions with the Kingdom of Hawai`i to
govern friendship, commerce and navigation in 1826, 1842,
1849, 1875, and 1887.
``(5) In 1893, the sovereign, independent, internationally
recognized, and indigenous government of Hawai`i, the Kingdom
of Hawai`i, was overthrown by a small group of non-Hawaiians,
including United States citizens, who were assisted in their
efforts by the United States Minister, a United States naval
representative, and armed naval forces of the United States.
Because of the participation of United States agents and
citizens in the overthrow of the Kingdom of Hawai`i, in 1993
the United States apologized to Native Hawaiians for the
overthrow and the deprivation of the rights of Native
Hawaiians to self-determination through Public Law 103-150
(107 Stat. 1510).
``(6) In 1898, the joint resolution entitled `Joint
Resolution to provide for annexing the Hawaiian Islands to
the United States', approved July 7, 1898 (30 Stat. 750),
ceded absolute title of all lands held by the Republic of
Hawai`i, including the government and crown lands of the
former Kingdom of Hawai`i, to the United States, but mandated
that revenue generated from the lands be used `solely for the
benefit of the inhabitants of the Hawaiian Islands for
educational and other public purposes'.
``(7) By 1919, the Native Hawaiian population had declined
from an estimated 1,000,000 in 1778 to an alarming 22,600,
and in recognition of this severe decline, Congress enacted
the Hawaiian Homes Commission Act, 1920 (42 Stat. 108), which
designated approximately 200,000 acres of ceded public lands
for homesteading by Native Hawaiians.
``(8) Through the enactment of the Hawaiian Homes
Commission Act, 1920, Congress affirmed the special
relationship between the United States and the Native
Hawaiians, which was described by then Secretary of the
Interior Franklin K. Lane, who said: `One thing that
impressed me . . . was the fact that the natives of the
island who are our wards, I should say, and for whom in a
sense we are trustees, are falling off rapidly in numbers and
many of them are in poverty.'.
``(9) In 1938, Congress again acknowledged the unique
status of the Hawaiian people by including in the Act of June
20, 1938 (52 Stat. 781, chapter 530; 16 U.S.C. 391b, 391b-1,
392b, 392c, 396, 396a), a provision to lease lands within the
National Parks extension to Native Hawaiians and to permit
fishing in the area `only by native Hawaiian residents of
said area or of adjacent villages and by visitors under their
guidance.'.
``(10) Under the Act entitled `An Act to provide for the
admission of the State of Hawai`i into the Union', approved
March 18, 1959 (73 Stat. 4), the United States transferred
responsibility for the administration of the Hawaiian Home
Lands to the State of Hawai`i but reaffirmed the trust
relationship between the United States and the Hawaiian
people by retaining the exclusive power to enforce the trust,
including the power to approve land exchanges and amendments
to such Act affecting the rights of beneficiaries under such
Act.
``(11) In 1959, under the Act entitled `An Act to provide
for the admission of the State of Hawai`i into the Union',
the United States also ceded to the State of Hawai`i title to
the public lands formerly held by the United States, but
mandated that such lands be held by the State `in public
trust' and reaffirmed the special relationship that existed
between the United States and the Hawaiian people by
retaining the legal responsibility to enforce the public
trust responsibility of the State of Hawai`i for the
betterment of the conditions of Native Hawaiians, as defined
in section 201(a) of the Hawaiian Homes Commission Act,
1920.
``(12) The United States has recognized and reaffirmed
that--
``(A) Native Hawaiians have a cultural, historic, and land-
based link to the indigenous people who exercised sovereignty
over the Hawaiian Islands, and that group has never
relinquished its claims to sovereignty or its sovereign
lands;
``(B) Congress does not extend services to Native Hawaiians
because of their race, but because of their unique status as
the indigenous people of a once sovereign nation as to whom
the United States has established a trust relationship;
``(C) Congress has also delegated broad authority to
administer a portion of the Federal trust responsibility to
the State of Hawai`i;
``(D) the political status of Native Hawaiians is
comparable to that of American Indians and Alaska Natives;
and
``(E) the aboriginal, indigenous people of the United
States have--
``(i) a continuing right to autonomy in their internal
affairs; and
``(ii) an ongoing right of self-determination and self-
governance that has never been extinguished.
``(13) The political relationship between the United States
and the Native Hawaiian people has been recognized and
reaffirmed by the United States, as evidenced by the
inclusion of Native Hawaiians in--
``(A) the Native American Programs Act of 1974 (42 U.S.C.
2991 et seq.);
``(B) the American Indian Religious Freedom Act (42 U.S.C.
1996);
``(C) the National Museum of the American Indian Act (20
U.S.C. 80q et seq.);
``(D) the Native American Graves Protection and
Repatriation Act (25 U.S.C. 3001 et seq.);
``(E) the National Historic Preservation Act (16 U.S.C. 470
et seq.);
``(F) the Native American Languages Act (25 U.S.C. 2901 et
seq.);
``(G) the American Indian, Alaska Native, and Native
Hawaiian Culture and Art Development Act (20 U.S.C. 4401 et
seq.);
``(H) the Workforce Investment Act of 1998 (29 U.S.C. 2801
et seq.); and
``(I) the Older Americans Act of 1965 (42 U.S.C. 3001 et
seq.).
``(14) In 1981, Congress instructed the Office of Education
to submit to Congress a comprehensive report on Native
Hawaiian education. The report, entitled the `Native Hawaiian
Educational Assessment Project', was released in 1983 and
documented that Native Hawaiians scored below parity with
regard to national norms on standardized achievement tests,
were disproportionately represented in many negative social
and physical statistics indicative of special educational
needs, and had educational needs that were related to their
unique cultural situation, such as different learning styles
and low self-image.
``(15) In recognition of the educational needs of Native
Hawaiians, in 1988, Congress enacted title IV of the Augustus
F. Hawkins-Robert T. Stafford Elementary and Secondary School
Improvement Amendments of 1988 (102 Stat. 130) to authorize
and develop supplemental educational programs to address the
unique conditions of Native Hawaiians.
``(16) In 1993, the Kamehameha Schools Bishop Estate
released a 10-year update of findings of the Native Hawaiian
Educational Assessment Project, which found that despite the
successes of the programs established under title IV of the
Augustus F. Hawkins-Robert T. Stafford Elementary and
Secondary School Improvement Amendments of 1988, many of the
same educational needs still existed for Native Hawaiians.
Subsequent reports by the Kamehameha Schools Bishop Estate
and other organizations have generally confirmed those
findings. For example--
``(A) educational risk factors continue to start even
before birth for many Native Hawaiian children, including--
``(i) late or no prenatal care;
``(ii) high rates of births by Native Hawaiian women who
are unmarried; and
``(iii) high rates of births to teenage parents;
``(B) Native Hawaiian students continue to begin their
school experience lagging behind other students in terms of
readiness factors such as vocabulary test scores;
``(C) Native Hawaiian students continue to score below
national norms on standardized education achievement tests at
all grade levels;
``(D) both public and private schools continue to show a
pattern of lower percentages of Native Hawaiian students in
the uppermost achievement levels and in gifted and talented
programs;
``(E) Native Hawaiian students continue to be
overrepresented among students qualifying for special
education programs provided to students with learning
disabilities, mild mental retardation, emotional impairment,
and other such disabilities;
``(F) Native Hawaiians continue to be underrepresented in
institutions of higher education and among adults who have
completed 4 or more years of college;
``(G) Native Hawaiians continue to be disproportionately
represented in many negative social and physical statistics
indicative of special educational needs, as demonstrated by
the fact that--
``(i) Native Hawaiian students are more likely to be
retained in grade level and to be excessively absent in
secondary school;
``(ii) Native Hawaiian students have the highest rates of
drug and alcohol use in the State of Hawai`i; and
``(iii) Native Hawaiian children continue to be
disproportionately victimized by child abuse and neglect; and
``(H) Native Hawaiians now comprise over 23 percent of the
students served by the State of Hawai`i Department of
Education, and there are and will continue to be
geographically rural, isolated areas with a high Native
Hawaiian population density.
``(17) In the 1998 National Assessment of Educational
Progress, Hawaiian fourth-graders ranked 39th among groups of
students from 39 States in reading. Given that Hawaiian
students rank among the lowest groups of students nationally
in reading, and that Native Hawaiian students rank the lowest
among Hawaiian students in reading, it is imperative that
greater focus be placed on beginning reading and early
education and literacy in Hawai`i.
``(18) The findings described in paragraphs (16) and (17)
are inconsistent with the high rates of literacy and
integration of traditional culture and Western education
historically achieved by Native Hawaiians through a Hawaiian
language-based public school system established in 1840 by
Kamehameha III.
``(19) Following the overthrow of the Kingdom of Hawai`i in
1893, Hawaiian medium schools were banned. After annexation,
throughout the territorial and statehood period of Hawai`i,
and until 1986, use of the Hawaiian language as an
instructional medium in education in public schools was
declared unlawful. The declaration caused incalculable harm
to a culture that placed a very high value on the power of
language, as exemplified in the traditional saying: `I ka
`olelo no ke ola; I ka `olelo no ka make. In the language
rests life; In the language rests death.'.
``(20) Despite the consequences of over 100 years of
nonindigenous influence, the Native Hawaiian people are
determined to preserve, develop, and transmit to future
generations their ancestral territory and their cultural
identity in accordance with their own spiritual and
traditional beliefs, customs, practices, language, and social
institutions.
``(21) The State of Hawai`i, in the constitution and
statutes of the State of Hawai`i--
``(A) reaffirms and protects the unique right of the Native
Hawaiian people to practice and perpetuate their culture and
religious customs, beliefs, practices, and language;

[[Page H9906]]

``(B) recognizes the traditional language of the Native
Hawaiian people as an official language of the State of
Hawai`i, which may be used as the language of instruction for
all subjects and grades in the public school system; and
``(C) promotes the study of the Hawaiian culture, language,
and history by providing a Hawaiian education program and
using community expertise as a suitable and essential means
to further the program.

``SEC. 7203. PURPOSES.

``The purposes of this part are to--
``(1) authorize and develop innovative educational programs
to assist Native Hawaiians;
``(2) provide direction and guidance to appropriate
Federal, State, and local agencies to focus resources,
including resources made available under this part, on Native
Hawaiian education, and to provide periodic assessment and
data collection;
``(3) supplement and expand programs and authorities in the
area of education to further the purposes of this title; and
``(4) encourage the maximum participation of Native
Hawaiians in planning and management of Native Hawaiian
education programs.

``SEC. 7204. NATIVE HAWAIIAN EDUCATION COUNCIL AND ISLAND
COUNCILS.

``(a) Establishment of Native Hawaiian Education Council.--
In order to better effectuate the purposes of this part
through the coordination of educational and related services
and programs available to Native Hawaiians, including those
programs receiving funding under this part, the Secretary is
authorized to establish a Native Hawaiian Education Council
(hereafter in this part referred to as the `Education
Council').
``(b) Composition of Education Council.--The Education
Council shall consist of not more than 21 members, unless
otherwise determined by a majority of the council.
``(c) Conditions and Terms.--
``(1) Conditions.--At least 10 members of the Education
Council shall be Native Hawaiian education service providers
and 10 members of the Education Council shall be Native
Hawaiians or Native Hawaiian education consumers. In
addition, a representative of the State of Hawai`i Office of
Hawaiian Affairs shall serve as a member of the Education
Council.
``(2) Appointments.--The members of the Education Council
shall be appointed by the Secretary based on recommendations
received from the Native Hawaiian community.
``(3) Terms.--Members of the Education Council shall serve
for staggered terms of 3 years, except as provided in
paragraph (4).
``(4) Council determinations.--Additional conditions and
terms relating to membership on the Education Council,
including term lengths and term renewals, shall be determined
by a majority of the Education Council.
``(d) Native Hawaiian Education Council Grant.--The
Secretary shall make a direct grant to the Education Council
to carry out the following activities:
``(1) Coordinate the educational and related services and
programs available to Native Hawaiians, including the
programs assisted under this part.
``(2) Assess the extent to which such services and programs
meet the needs of Native Hawaiians, and collect data on the
status of Native Hawaiian education.
``(3) Provide direction and guidance, through the issuance
of reports and recommendations, to appropriate Federal,
State, and local agencies in order to focus and improve the
use of resources, including resources made available under
this part, relating to Native Hawaiian education, and serve,
where appropriate, in an advisory capacity.
``(4) Make direct grants, if such grants enable the
Education Council to carry out the duties of the Education
Council, as described in paragraphs (1) through (3).
``(e) Additional Duties of the Education Council.--
``(1) In general.--The Education Council shall provide
copies of any reports and recommendations issued by the
Education Council, including any information that the
Education Council provides to the Secretary pursuant to
subsection (i), to the Secretary, the Committee on Education
and the Workforce of the House of Representatives, and the
Committee on Indian Affairs of the Senate.
``(2) Annual report.--The Education Council shall prepare
and submit to the Secretary an annual report on the Education
Council's activities.
``(3) Island council support and assistance.--The Education
Council shall provide such administrative support and
financial assistance to the island councils established
pursuant to subsection (f) as the Secretary determines to be
appropriate, in a manner that supports the distinct needs of
each island council.
``(f) Establishment of Island Councils.--
``(1) In general.--In order to better effectuate the
purposes of this part and to ensure the adequate
representation of island and community interests within the
Education Council, the Secretary is authorized to facilitate
the establishment of Native Hawaiian education island
councils (hereafter in this part referred to as an `island
council') for the following islands:
``(A) Hawai`i.
``(B) Maui.
``(C) Moloka`i.
``(D) Lana`i.
``(E) O`ahu.
``(F) Kaua`i.
``(G) Ni`ihau.
``(2) Composition of island councils.--Each island council
shall consist of parents, students, and other community
members who have an interest in the education of Native
Hawaiians, and shall be representative of individuals
concerned with the educational needs of all age groups, from
children in preschool through adults. At least \3/4\ of the
members of each island council shall be Native Hawaiians.
``(g) Administrative Provisions Relating to Education
Council and Island Councils.--The Education Council and each
island council shall meet at the call of the chairperson of
the appropriate council, or upon the request of the majority
of the members of the appropriate council, but in any event
not less often than 4 times during each calendar year. The
provisions of the Federal Advisory Committee Act shall not
apply to the Education Council and each island council.
``(h) Compensation.--Members of the Education Council and
each island council shall not receive any compensation for
service on the Education Council and each island council,
respectively.
``(i) Report.--Not later than 4 years after the date of
enactment of the No Child Left Behind Act of 2001, the
Secretary shall prepare and submit to the Committee on
Education and the Workforce of the House of Representatives
and the Committee on Indian Affairs of the Senate a report
that summarizes the annual reports of the Education Council,
describes the allocation and use of funds under this part,
and contains recommendations for changes in Federal, State,
and local policy to advance the purposes of this part.

``SEC. 7205. PROGRAM AUTHORIZED.

``(a) General Authority.--
``(1) Grants and contracts.--The Secretary is authorized to
make direct grants to, or enter into contracts with--
``(A) Native Hawaiian educational organizations;
``(B) Native Hawaiian community-based organizations;
``(C) public and private nonprofit organizations, agencies,
and institutions with experience in developing or operating
Native Hawaiian programs or programs of instruction in the
Native Hawaiian language; and
``(D) consortia of the organizations, agencies, and
institutions described in subparagraphs (A) through (C),
to carry out programs that meet the purposes of this part.
``(2) Priorities.--In awarding grants or contracts to carry
out activities described in paragraph (3), the Secretary
shall give priority to entities proposing projects that are
designed to address--
``(A) beginning reading and literacy among students in
kindergarten through third grade;
``(B) the needs of at-risk children and youth;
``(C) needs in fields or disciplines in which Native
Hawaiians are underemployed; and
``(D) the use of the Hawaiian language in instruction.
``(3) Authorized activities.--Activities provided through
programs carried out under this part may include--
``(A) the development and maintenance of a statewide Native
Hawaiian early education and care system to provide a
continuum of services for Native Hawaiian children from the
prenatal period of the children through age 5;
``(B) the operation of family-based education centers that
provide such services as--
``(i) programs for Native Hawaiian parents and their
infants from the prenatal period of the infants through age
3;
``(ii) preschool programs for Native Hawaiians; and
``(iii) research on, and development and assessment of,
family-based, early childhood, and preschool programs for
Native Hawaiians;
``(C) activities that enhance beginning reading and
literacy in either the Hawaiian or the English language among
Native Hawaiian students in kindergarten through third grade
and assistance in addressing the distinct features of
combined English and Hawaiian literacy for Hawaiian speakers
in fifth and sixth grade;
``(D) activities to meet the special needs of Native
Hawaiian students with disabilities, including--
``(i) the identification of such students and their needs;
``(ii) the provision of support services to the families of
those students; and
``(iii) other activities consistent with the requirements
of the Individuals with Disabilities Education Act;
``(E) activities that address the special needs of Native
Hawaiian students who are gifted and talented, including--
``(i) educational, psychological, and developmental
activities designed to assist in the educational progress of
those students; and
``(ii) activities that involve the parents of those
students in a manner designed to assist in the students'
educational progress;
``(F) the development of academic and vocational curricula
to address the needs of Native Hawaiian children and adults,
including curriculum materials in the Hawaiian language and
mathematics and science curricula that incorporate Native
Hawaiian tradition and culture;
``(G) professional development activities for educators,
including--
``(i) the development of programs to prepare prospective
teachers to address the unique needs of Native Hawaiian
students within the context of Native Hawaiian culture,
language, and traditions;
``(ii) in-service programs to improve the ability of
teachers who teach in schools with concentrations of Native
Hawaiian students to meet those students' unique needs; and
``(iii) the recruitment and preparation of Native
Hawaiians, and other individuals who live in communities with
a high concentration of Native Hawaiians, to become teachers;
``(H) the operation of community-based learning centers
that address the needs of Native Hawaiian families and
communities through the

[[Page H9907]]

coordination of public and private programs and services,
including--
``(i) preschool programs;
``(ii) after-school programs;
``(iii) vocational and adult education programs; and
``(iv) programs that recognize and support the unique
cultural and educational needs of Native Hawaiian children,
and incorporate appropriately qualified Native Hawaiian
elders and seniors;
``(I) activities, including program co-location, to enable
Native Hawaiians to enter and complete programs of
postsecondary education, including--
``(i) provision of full or partial scholarships for
undergraduate or graduate study that are awarded to students
based on their academic promise and financial need, with a
priority, at the graduate level, given to students entering
professions in which Native Hawaiians are underrepresented;
``(ii) family literacy services;
``(iii) counseling and support services for students
receiving scholarship assistance;
``(iv) counseling and guidance for Native Hawaiian
secondary students who have the potential to receive
scholarships; and
``(v) faculty development activities designed to promote
the matriculation of Native Hawaiian students;
``(J) research and data collection activities to determine
the educational status and needs of Native Hawaiian children
and adults;
``(K) other research and evaluation activities related to
programs carried out under this part; and
``(L) other activities, consistent with the purposes of
this part, to meet the educational needs of Native Hawaiian
children and adults.
``(4) Special rule and conditions.--
``(A) Institutions outside hawaii.--The Secretary shall not
establish a policy under this section that prevents a Native
Hawaiian student enrolled at a 2- or 4-year degree granting
institution of higher education outside of the State of
Hawai`i from receiving a scholarship pursuant to paragraph
(3)(I).
``(B) Scholarship conditions.--The Secretary shall
establish conditions for receipt of a scholarship awarded
under paragraph (3)(I). The conditions shall require that an
individual seeking such a scholarship enter into a contract
to provide professional services, either during the
scholarship period or upon completion of a program of
postsecondary education, to the Native Hawaiian community.
``(b) Administrative Costs.--Not more than 5 percent of
funds provided to a recipient of a grant or contract under
subsection (a) for any fiscal year may be used for
administrative purposes.
``(c) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated
to carry out this section and section 7204 such sums as may
be necessary for fiscal year 2002 and each of the 5
succeeding fiscal years.
``(2) Reservation.--Of the funds appropriated under this
subsection, the Secretary shall reserve $500,000 for fiscal
year 2002 and each of the 5 succeeding fiscal years to make a
direct grant to the Education Council to carry out section
7204.
``(3) Availability.--Funds appropriated under this
subsection shall remain available until expended.

``SEC. 7206. ADMINISTRATIVE PROVISIONS.

``SEC. 7207. DEFINITIONS.

``In this part:
``(1) Native hawaiian.--The term `Native Hawaiian' means
any individual who is--
``(A) a citizen of the United States; and
``(B) a descendant of the aboriginal people who, prior to
1778, occupied and exercised sovereignty in the area that now
comprises the State of Hawai`i, as evidenced by--
``(i) genealogical records;
``(ii) Kupuna (elders) or Kama`aina (long-term community
residents) verification; or
``(iii) certified birth records.
``(2) Native hawaiian community-based organization.--The
term `Native Hawaiian community-based organization' means any
organization that is composed primarily of Native Hawaiians
from a specific community and that assists in the social,
cultural, and educational development of Native Hawaiians in
that community.
``(3) Native hawaiian educational organization.--The term
`Native Hawaiian educational organization' means a private
nonprofit organization that--
``(A) serves the interests of Native Hawaiians;
``(B) has Native Hawaiians in substantive and policymaking
positions within the organization;
``(C) incorporates Native Hawaiian perspective, values,
language, culture, and traditions into the core function of
the organization;
``(D) has demonstrated expertise in the education of Native
Hawaiian youth; and
``(E) has demonstrated expertise in research and program
development.
``(4) Native hawaiian language.--The term `Native Hawaiian
language' means the single Native American language
indigenous to the original inhabitants of the State of
Hawai`i.
``(5) Native hawaiian organization.--The term `Native
Hawaiian organization' means a private nonprofit organization
that--
``(A) serves the interests of Native Hawaiians;
``(B) has Native Hawaiians in substantive and policymaking
positions within the organizations; and
``(C) is recognized by the Governor of Hawai`i for the
purpose of planning, conducting, or administering programs
(or portions of programs) for the benefit of Native
Hawaiians.
``(6) Office of hawaiian affairs.--The term `Office of
Hawaiian Affairs' means the Office of Hawaiian Affairs
established by the Constitution of the State of Hawaii.

``PART C--ALASKA NATIVE EDUCATION

``SEC. 7301. SHORT TITLE.

``This part may be cited as the `Alaska Native Educational
Equity, Support, and Assistance Act'.

``SEC. 7302. FINDINGS.

``Congress finds and declares the following:
``(1) The attainment of educational success is critical to
the betterment of the conditions, long-term well-being, and
preservation of the culture of Alaska Natives.
``(2) It is the policy of the Federal Government to
encourage the maximum participation by Alaska Natives in the
planning and the management of Alaska Native education
programs.
``(3) Alaska Native children enter and exit school with
serious educational handicaps.
``(4) The educational achievement of Alaska Native children
is far below national norms. Native performance on
standardized tests is low, Native student dropout rates are
high, and Natives are significantly underrepresented among
holders of baccalaureate degrees in the State of Alaska. As a
result, Native students are being denied their opportunity to
become full participants in society by grade school and high
school educations that are condemning an entire generation to
an underclass status and a life of limited choices.
``(5) The programs authorized in this part, combined with
expanded Head Start, infant learning, and early childhood
education programs, and parent education programs, are
essential if educational handicaps are to be overcome.
``(6) The sheer magnitude of the geographic barriers to be
overcome in delivering educational services in rural Alaska
and Alaska villages should be addressed through the
development and implementation of innovative, model programs
in a variety of areas.
``(7) Native children should be afforded the opportunity to
begin their formal education on a par with their non-Native
peers. The Federal Government should lend support to efforts
developed by and undertaken within the Alaska Native
community to improve educational opportunity for all
students.

``SEC. 7303. PURPOSES.

``The purposes of this part are as follows:
``(1) To recognize the unique educational needs of Alaska
Natives.
``(2) To authorize the development of supplemental
educational programs to benefit Alaska Natives.
``(3) To supplement existing programs and authorities in
the area of education to further the purposes of this part.
``(4) To provide direction and guidance to appropriate
Federal, State and local agencies to focus resources,
including resources made available under this part, on
meeting the educational needs of Alaska Natives.

``SEC. 7304. PROGRAM AUTHORIZED.

``(a) General Authority.--
``(1) Grants and contracts.--The Secretary is authorized to
make grants to, or enter into contracts with, Alaska Native
organizations, educational entities with experience in
developing or operating Alaska Native programs or programs of
instruction conducted in Alaska Native languages, cultural
and community-based organizations with experience in
developing or operating programs to benefit Alaska Natives,
and consortia of organizations and entities described in this
paragraph to carry out programs that meet the purposes of
this part.
``(2) Permissible activities.--Activities provided through
programs carried out under this part may include the
following:
``(A) The development and implementation of plans, methods,
and strategies to improve the education of Alaska Natives.
``(B) The development of curricula and educational programs
that address the educational needs of Alaska Native students,
including the following:
``(i) Curriculum materials that reflect the cultural
diversity or the contributions of Alaska Natives.
``(ii) Instructional programs that make use of Native
Alaskan languages.
``(iii) Networks that introduce successful programs,
materials, and techniques to urban and rural schools.
``(C) Professional development activities for educators,
including the following:
``(i) Programs to prepare teachers to address the cultural
diversity and unique needs of Alaska Native students.
``(ii) In-service programs to improve the ability of
teachers to meet the unique needs of Alaska Native students.
``(iii) Recruitment and preparation of teachers who are
Alaska Native, reside in communities with high concentrations
of Alaska Native students, or are likely to succeed as
teachers in isolated, rural communities and engage in cross-
cultural instruction in Alaska.
``(D) The development and operation of home instruction
programs for Alaska Native preschool children, to ensure the
active involvement of parents in their children's education
from the earliest ages.

[[Page H9908]]

``(E) Family literacy services.
``(F) The development and operation of student enrichment
programs in science and mathematics that--
``(i) are designed to prepare Alaska Native students from
rural areas, who are preparing to enter secondary school, to
excel in science and math;
``(ii) provide appropriate support services to the families
of such students that are needed to enable such students to
benefit from the programs; and
``(iii) may include activities that recognize and support
the unique cultural and educational needs of Alaska Native
children, and incorporate appropriately qualified Alaska
Native elders and seniors.
``(G) Research and data collection activities to determine
the educational status and needs of Alaska Native children
and adults.
``(H) Other research and evaluation activities related to
programs carried out under this part.
``(I) Remedial and enrichment programs to assist Alaska
Native students in performing at a high level on standardized
tests.
``(J) Education and training of Alaska Native students
enrolled in a degree program that will lead to certification
or licensing as teachers.
``(K) Parenting education for parents and caregivers of
Alaska Native children to improve parenting and caregiving
skills (including skills relating to discipline and cognitive
development), including parenting education provided through
in-home visitation of new mothers.
``(L) Cultural education programs operated by the Alaska
Native Heritage Center and designed to share the Alaska
Native culture with students.
``(M) A cultural exchange program operated by the Alaska
Humanities Forum and designed to share Alaska Native culture
with urban students in a rural setting, which shall be known
as the Rose Cultural Exchange Program.
``(N) Activities carried out through Even Start programs
carried out under subpart 3 of part B of title I and Head
Start programs carried out under the Head Start Act,
including the training of teachers for programs described in
this subparagraph.
``(O) Other early learning and preschool programs.
``(P) Dropout prevention programs such as the Cook Inlet
Tribal Council's Partners for Success program.
``(Q) An Alaska Initiative for Community Engagement
program.
``(R) Career preparation activities to enable Alaska Native
children and adults to prepare for meaningful employment,
including programs providing tech-prep, mentoring, training,
and apprenticeship activities.
``(S) Provision of operational support and purchasing of
equipment, to develop regional vocational schools in rural
areas of Alaska, including boarding schools, for Alaska
Native students in grades 9 through 12, or at higher levels
of education, to provide the students with necessary
resources to prepare for skilled employment opportunities.
``(T) Other activities, consistent with the purposes of
this part, to meet the educational needs of Alaska Native
children and adults.
``(3) Home instruction programs.--Home instruction programs
for Alaska Native preschool children carried out under
paragraph (2)(D) may include the following:
``(A) Programs for parents and their infants, from the
prenatal period of the infant through age 3.
``(B) Preschool programs.
``(C) Training, education, and support for parents in such
areas as reading readiness, observation, story telling, and
critical thinking.
``(b) Limitation on Administrative Costs.--Not more than 5
percent of funds provided to a grantee under this section for
any fiscal year may be used for administrative purposes.
``(c) Priorities.--In awarding grants or contracts to carry
out activities described in subsection (a)(2), except for
activities listed in subsection (d)(2), the Secretary shall
give priority to applications from Alaska Native regional
nonprofit organizations, or consortia that include at least 1
Alaska Native regional nonprofit organization.
``(d) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated
to carry out this section such sums as may be necessary for
fiscal year 2002 and each of the 5 succeeding fiscal years.
``(2) Availability of funds.--Of the funds appropriated and
made available under this section for a fiscal year, the
Secretary shall make available--
``(A) not less than $1,000,000 to support activities
described in subsection (a)(2)(K);
``(B) not less than $1,000,000 to support activities
described in subsection (a)(2)(L);
``(C) not less than $1,000,000 to support activities
described in subsection (a)(2)(M);
``(D) not less than $2,000,000 to support activities
described in subsection (a)(2)(P); and
``(E) not less than $2,000,000 to support activities
described in subsection (a)(2)(Q).

``SEC. 7305. ADMINISTRATIVE PROVISIONS.

``(a) Application Required.--No grant may be made under
this part, and no contract may be entered into under this
part, unless the entity seeking the grant or contract submits
an application to the Secretary in such form, in such manner,
and containing such information as the Secretary may
determine necessary to carry out the provisions of this part.
``(b) Applications.--A State educational agency or local
educational agency may apply for an award under this part
only as part of a consortium involving an Alaska Native
organization. The consortium may include other eligible
applicants.
``(c) Consultation Required.--Each applicant for an award
under this part shall provide for ongoing advice from and
consultation with representatives of the Alaska Native
community.
``(d) Local Educational Agency Coordination.--Each
applicant for an award under this part shall inform each
local educational agency serving students who would
participate in the program to be carried out under the grant
or contract about the application.

``SEC. 7306. DEFINITIONS.

``In this part:
``(1) Alaska native.--The term `Alaska Native' has the same
meaning as the term `Native' has in section 3(b) of the
Alaska Native Claims Settlement Act.
``(2) Alaska native organization.--The term `Alaska Native
organization' means a federally recognized tribe, consortium
of tribes, regional nonprofit Native association, and another
organization that--
``(A) has or commits to acquire expertise in the education
of Alaska Natives; and
``(B) has Alaska Natives in substantive and policymaking
positions within the organization.''.

SEC. 702. CONFORMING AMENDMENTS.

(a) Higher Education Act of 1965.--Section 317(b) of the
Higher Education Act of 1965 (20 U.S.C. 1059d(b)) is
amended--
(1) in paragraph (1), by striking ``section 9308'' and
inserting ``section 7306''; and
(2) in paragraph (3), by striking ``section 9212'' and
inserting ``section 7207''.
(b) Public Law 88-210.--Section 116 of Public Law 88-210
(as added by section 1 of Public Law 105-332 (112 Stat.
3076)) is amended by striking ``section 9212 of the Native
Hawaiian Education Act (20 U.S.C. 7912)'' and inserting
``section 7207 of the Native Hawaiian Education Act''.
(c) Carl D. Perkins Vocational and Technical Education Act
of 1998.--Section 116(a)(5) of the Carl D. Perkins Vocational
and Technical Education Act of 1998 (20 U.S.C. 2326(a)(5)) is
amended by striking ``section 9212'' and all that follows and
inserting ``section 7207 of the Native Hawaiian Education
Act''.
(d) Museum and Library Services Act.--Section 261 of the
Museum and Library Services Act (20 U.S.C. 9161) is amended
by striking ``section 9212 of the Native Hawaiian Education
Act (20 U.S.C. 7912)'' and inserting ``section 7207 of the
Native Hawaiian Education Act''.
(e) Act of April 16, 1934.--Section 5 of the Act of April
16, 1934 (commonly known as the ``Johnson-O'Malley Act'') (88
Stat. 2213; 25 U.S.C. 456) is amended by striking ``section
9104(c)(4)'' and inserting ``section 7114(c)(4)''.
(f) Native American Languages Act.--Section 103 of the
Native American Languages Act (25 U.S.C. 2902) is amended--
(1) in paragraph (2), by striking ``section 9161(4) of the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
7881(4))'' and inserting ``section 7151(3) of the Elementary
and Secondary Education Act of 1965''; and
(2) in paragraph (3), by striking ``section 9212(1) of the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
7912(1))'' and inserting ``section 7207 of the Elementary and
Secondary Education Act of 1965''.
(g) Workforce Investment Act of 1998.--Section 166(b)(3) of
the Workforce Investment Act of 1998 (29 U.S.C. 2911(b)(3))
is amended by striking ``paragraphs (1) and (3),
respectively, of section 9212 of the Native Hawaiian
Education Act (20 U.S.C. 7912)'' and inserting ``section 7207
of the Native Hawaiian Education Act''.
(h) Assets for Independence Act.--Section 404(11) of the
Assets for Independence Act (42 U.S.C. 604 note) is amended
by striking ``section 9212 of the Native Hawaiian Education
Act (20 U.S.C. 7912)'' and inserting ``section 7207 of the
Native Hawaiian Education Act''.

SEC. 703. SAVINGS PROVISIONS.

Funds appropriated for parts A, B, and C of title IX of the
Elementary and Secondary Education Act of 1965 (as in effect
on the day before the date of enactment of this Act) shall be
available for use under parts A, B, and C, respectively, of
title VII of such Act, as added by this section.
TITLE VIII--IMPACT AID PROGRAM

SEC. 801. PAYMENTS RELATING TO FEDERAL ACQUISITION OF REAL
PROPERTY.

(a) Foundation Payments for Pre-1995 Recipients.--Section
8002(h)(1) (20 U.S.C. 7702(h)(1)) is amended--
(1) in subparagraph (A), by striking ``and was eligible to
receive a payment under section 2 of the Act of September 30,
1950'' and inserting ``and that filed, or has been determined
pursuant to statute to have filed a timely application, and
met, or has been determined pursuant to statute to meet, the
eligibility requirements of section 2(a)(1)(C) of the Act of
September 30, 1950''; and
(2) in subparagraph (B), by striking ``(or if the local
educational agency was not eligible to receive a payment
under such section 2 for fiscal year 1994'' and inserting
``(or if the local educational agency did not meet, or has
not been determined pursuant to statute to meet, the
eligibility requirements of section 2(a)(1)(C) of the Act of
September 30, 1950 for fiscal year 1994''.
(b) Payments for 1995 Recipients.--Section 8002(h)(2) (20
U.S.C. 7702(h)(2)) is amended--
(1) in subparagraph (A), by adding at the end before the
period ``, or whose application under this section for fiscal
year 1995 was determined pursuant to statute to be timely
filed for purposes of payments for subsequent fiscal years'';
and
(2) in subparagraph (B)(ii), by striking ``for each local
educational agency that received a payment under this section
for fiscal year 1995'' and inserting ``for each local
educational agency described in subparagraph (A)''.
(c) Remaining Funds.--Section 8002(h)(4)(B) (20 U.S.C.
7702(h)(4)(B)) is amended--
(1) by striking ``(in the same manner as percentage shares
are determined for local educational agencies under paragraph
(2)(B)(ii))'' and inserting ``(by dividing the maximum

[[Page H9909]]

amount that the agency is eligible to receive under
subsection (b) by the total of the maximum amounts for all
such agencies)''; and
(2) by striking ``, except that for the purpose of
calculating a local educational agency's assessed value of
the Federal property'' and inserting ``, except that, for the
purpose of calculating a local educational agency's maximum
amount under subsection (b)''.
(d) Additional Assistance for Certain Local Educational
Agencies Impacted by Federal Property Acquisition.--Section
8002 (20 U.S.C. 7702) is amended by striking subsection (j).
(e) Minimum Payment with Respect to Loss of Eligibility of
Certain Local Educational Agencies.--Section 8002 (20 U.S.C.
7702) is amended by adding at the end the following:
``(n) Loss of Eligibility.--
``(1) In general.--Notwithstanding any other provision of
this section, the Secretary shall make a minimum payment to a
local educational agency described in paragraph (2), for the
first fiscal year that the agency loses eligibility for
assistance under this section as a result of property located
within the school district served by the agency failing to
meet the definition of Federal property under section
8013(5)(C)(iii), in an amount equal to 90 percent of the
amount received by the agency under this section for the
preceding year.
``(2) Local educational agency described.--A local
educational agency described in this paragraph is an agency
that--
``(A) was eligible for, and received, a payment under this
section for fiscal year 2002; and
``(B) beginning in fiscal year 2003 or a subsequent fiscal
year, is no longer eligible for payments under this section
as provided for in subsection (a)(1)(C) as a result of the
transfer of the Federal property involved to a non-Federal
entity.''.
(f) Application for Payment.--Notwithstanding any other
provision of law, the Secretary shall treat as timely filed
an application under section 8002 (20 U.S.C. 7702) from
Academy School District 20, Colorado, for a payment for
fiscal year 1999, and shall process that application from
funds appropriated for that section for fiscal year 2001.

SEC. 802. PAYMENTS FOR ELIGIBLE FEDERALLY CONNECTED CHILDREN.

(a) Eligibility for Certain Heavily Impacted Local
Educational Agencies.--
(1) In general.--Section 8003(b)(2)(C) (20 U.S.C.
7703(b)(2)(C)) is amended--
(A) in clauses (i) and (ii), by inserting after ``Federal
military installation'' each place it appears the following:
``(or if the agency is a qualified local educational agency
as described in clause (iv))''; and
(B) by adding at the end the following:
``(iv) Qualified local educational agency.--A qualified
local educational agency described in this clause is an
agency that meets the following requirements:

``(I) The boundaries of the agency are the same as island
property designated by the Secretary of the Interior to be
property that is held in trust by the Federal Government.
``(II) The agency has no taxing authority.
``(III) The agency received a payment under paragraph (1)
for fiscal year 2001.''.

(2) Effective date.--The Secretary shall consider an
application for a payment under section 8003(b)(2) for fiscal
year 2002 from a qualified local educational agency described
in section 8003(b)(2)(C)(iv), as added by paragraph (1), as
meeting the requirements of section 8003(b)(2)(C)(iii), and
shall provide a payment under section 8003(b)(2) for fiscal
year 2002, if the agency submits to the Secretary an
application for payment under such section not later than 30
days after the date of enactment of this Act.
(b) Applications for Payment.--
(1) Warner public schools, muskogee county, oklahoma.--
Notwithstanding any other provision of law, the Secretary of
Education shall treat as timely filed an application under
section 8003 (20 U.S.C. 7703) from Warner Public Schools,
Muskogee County, Oklahoma, for a payment for fiscal year
2002, and shall process that application for payment, if the
Secretary has received the fiscal year 2002 application not
later than 30 days after the date of enactment of this Act.
(2) Pine point school, school district 25, minnesota.--
Notwithstanding any other provision of law, the Secretary
shall treat as timely filed an application under section 8003
(20 U.S.C. 7703) from Pine Point School, School District 25,
Minnesota, for a payment for fiscal year 2000, and shall
process that application for payment, if the Secretary has
received the fiscal year 2000 application not later than 30
days after the date of enactment of this Act.

SEC. 803. CONSTRUCTION.

Section 8007(b) (20 U.S.C. 7707(b)) is amended to read as
follows:
``(b) School Facility Emergency and Modernization Grants
Authorized.--
``(1) In general.--From 60 percent of the amount
appropriated for each fiscal year under section 8014(e), the
Secretary--
``(A) shall award emergency grants in accordance with this
subsection to eligible local educational agencies to enable
the agencies to carry out emergency repairs of school
facilities; and
``(B) shall award modernization grants in accordance with
this subsection to eligible local educational agencies to
enable the agencies to carry out the modernization of school
facilities.
``(2) Priority.--In approving applications from local
educational agencies for emergency grants and modernization
grants under this subsection, the Secretary shall give
priority to applications in accordance with the following:
``(A) The Secretary shall first give priority to
applications for emergency grants from local educational
agencies that meet the requirements of paragraph (3)(A) and,
among such applications for emergency grants, shall give
priority to those applications of local educational agencies
based on the severity of the emergency, as determined by the
Secretary.
``(B) The Secretary shall next give priority to
applications for emergency grants from local educational
agencies that meet the requirements of subparagraph (C) or
(D) of paragraph (3) and, among such applications for
emergency grants, shall give priority to those applications
of local educational agencies based on the severity of the
emergency, as determined by the Secretary.
``(C) The Secretary shall next give priority to
applications for modernization grants from local educational
agencies that meet the requirements of paragraph (3)(B) and,
among such applications for modernization grants, shall give
priority to those applications of local educational agencies
based on the severity of the need for modernization, as
determined by the Secretary.
``(D) The Secretary shall next give priority to
applications for modernization grants from local educational
agencies that meet the requirements of subparagraph (C) or
(D) of paragraph (3) and, among such applications for
modernization grants, shall give priority to those
applications of local educational agencies based on the
severity of the need for modernization, as determined by the
Secretary.
``(3) Eligibility requirements.--
``(A) Emergency grants.--A local educational agency is
eligible to receive an emergency grant under paragraph (2)(A)
if--
``(i) the agency (or in the case of a local educational
agency that does not have the authority to tax or issue
bonds, the agency's fiscal agent)--

``(I) has no practical capacity to issue bonds;
``(II) has minimal capacity to issue bonds and is at not
less than 75 percent of the agency's limit of bonded
indebtedness; or
``(III) does not meet the requirements of subclauses (I)
and (II) but is eligible to receive funds under section
8003(b)(2) for the fiscal year; and

``(ii) the agency is eligible to receive assistance under
subsection (a) for the fiscal year and has a school facility
emergency, as determined by the Secretary, that poses a
health or safety hazard to the students and school personnel
assigned to the school facility.
``(B) Modernization grants.--A local educational agency is
eligible to receive a modernization grant under paragraph
(2)(C) if--
``(i) the agency is eligible to receive assistance under
this title for the fiscal year;
``(ii) the agency (or in the case of a local educational
agency that does not have the authority to tax or issue
bonds, the agency's fiscal agent) meets the requirements of
subclause (I), (II), or (III) of subparagraph (A)(i); and
``(iii) the agency has facility needs resulting from the
presence of the Federal Government, such as the enrollment of
federally connected children, the presence of tax-exempt
Federal property, or an increase in enrollment due to the
expansion of Federal activities, housing privatization, or
the acquisition of Federal property.
``(C) Additional eligibility for emergency and
modernization grants.--(i) A local educational agency is
eligible to receive an emergency grant or a modernization
grant under subparagraph (B) or (D) of paragraph (2),
respectively, if the agency meets the following requirements:
``(I) The agency receives a basic support payment under
section 8003(b) for the fiscal year and the agency meets at
least one of the following requirements:

``(aa) The number of children determined under section
8003(a)(1)(C) for the agency for the preceding school year
constituted at least 40 percent of the total student
enrollment in the schools of the agency during the preceding
school year.
``(bb) The number of children determined under
subparagraphs (B) and (D)(i) of section 8003(a)(1) for the
agency for the preceding school year constituted at least 40
percent of the total student enrollment in the schools of the
agency during the preceding school year.

``(II) The agency (or in the case of a local educational
agency that does not have the authority to tax or issue
bonds, the agency's fiscal agent) is at not less than 75
percent of the agency's limit of bonded indebtedness.
``(III) The agency has an assessed value of real property
per student that may be taxed for school purposes that is
less than the average of the assessed value of real property
per student that may be taxed for school purposes in the
State in which the local educational agency is located.
``(ii) A local educational agency is also eligible to
receive a modernization grant under this subparagraph if the
agency is eligible to receive assistance under section 8002
for the fiscal year and meets the requirements of subclauses
(II) and (III) of clause (i).
``(D) Special rule.--
``(i) In general.--Any school described in clause (ii) that
desires to receive an emergency grant or a modernization
grant under subparagraph (B) or (D) of paragraph (2),
respectively, shall, except as provided in the following
sentence, submit an application in accordance with paragraph
(6), and shall otherwise be treated as a local educational
agency for the purpose of this subsection. The school shall
submit an application for the grant to the local educational
agency of such school and the agency shall submit the
application on behalf of the school to the Secretary.
``(ii) School described.--A school described in this clause
is a school that meets the following requirements:

``(I) The school is located within the geographic
boundaries of a local educational agency that does not meet
the applicable eligibility requirements under subparagraph
(A), (B), or (C) for a grant under this subsection.

[[Page H9910]]

``(II) The school meets at least one of the following
requirements:

``(aa) The number of children determined under section
8003(a)(1)(C) for the school for the preceding school year
constituted at least 40 percent of the total student
enrollment in the school during the preceding school year.
``(bb) The number of children determined under
subparagraphs (B) and (D)(i) of section 8003(a)(1) for the
school for the preceding school year constituted at least 40
percent of the total student enrollment in the school during
the preceding school year.

``(III) The school is located within the geographic
boundaries of a local educational agency that meets the
requirements of subclauses (II) and (III) of subparagraph
(C)(i).

``(E) Rule of construction.--For purposes of subparagraph
(A)(i), a local educational agency--
``(i) has no practical capacity to issue bonds if the total
assessed value of real property that may be taxed for school
purposes is less than $25,000,000; and
``(ii) has minimal capacity to issue bonds if the total
assessed value of real property that may be taxed for school
purposes is at least $25,000,000 but not more than
$50,000,000.
``(4) Award criteria.--In awarding emergency grants and
modernization grants under this subsection, the Secretary
shall consider the following factors:
``(A) The ability of the local educational agency to
respond to the emergency, or to pay for the modernization
project, as the case may be, as measured by--
``(i) the agency's level of bonded indebtedness;
``(ii) the assessed value of real property per student that
may be taxed for school purposes compared to the average of
the assessed value of real property per student that may be
taxed for school purposes in the State in which the agency is
located;
``(iii) the agency's total tax rate for school purposes
(or, if applicable, for capital expenditures) compared to the
average total tax rate for school purposes (or the average
capital expenditure tax rate, if applicable) in the State in
which the agency is located; and
``(iv) funds that are available to the agency, from any
other source, including subsection (a), that may be used for
capital expenditures.
``(B) The percentage of property in the agency that is
nontaxable due to the presence of the Federal Government.
``(C) The number and percentages of children described in
subparagraphs (A), (B), (C), and (D) of section 8003(a)(1)
served in the school facility with the emergency or served in
the school facility proposed for modernization, as the case
may be.
``(D) In the case of an emergency grant, the severity of
the emergency, as measured by the threat that the condition
of the school facility poses to the health, safety, and well-
being of students.
``(E) In the case of a modernization grant--
``(i) the severity of the need for modernization, as
measured by such factors as--

``(I) overcrowding, as evidenced by the use of portable
classrooms, or the potential for future overcrowding because
of increased enrollment; or
``(II) the agency's inability to utilize technology or
offer a curriculum in accordance with contemporary State
standards due to the physical limitations of the current
school facility; and

``(ii) the age of the school facility proposed for
modernization.
``(5) Other award provisions.--
``(A) General provisions.--
``(i) Limitations on amount of funds.--

``(I) In general.--The amount of funds provided under an
emergency grant or a modernization grant awarded under this
subsection to a local educational agency that meets the
requirements of subclause (II) or (III) of paragraph
(3)(A)(i) for purposes of eligibility under subparagraph (A)
or (B) of paragraph (3) or that meets the requirements of
clause (i) or (ii) of paragraph (3)(C) for purposes of
eligibility under such paragraph (3)(C), or to a school that
is eligible under paragraph (3)(D)--

``(aa) shall not exceed 50 percent of the total cost of the
project to be assisted under this subsection; and
``(bb) shall not exceed $4,000,000 during any 4-year
period.

``(II) In-kind contributions.--A local educational agency
may use in-kind contributions to meet the matching
requirement of subclause (I)(aa).

``(ii) Prohibitions on use of funds.--A local educational
agency may not use funds provided under an emergency grant or
modernization grant awarded under this subsection for--

``(I) a project for a school facility for which the agency
does not have full title or other interest;
``(II) stadiums or other school facilities that are
primarily used for athletic contests, exhibitions, or other
events for which admission is charged to the general public;
or
``(III) the acquisition of real property.

``(iii) Supplement, not supplant.--A local educational
agency shall use funds provided under an emergency grant or
modernization grant awarded under this subsection only to
supplement the amount of funds that would, in the absence of
the Federal funds provided under the grant, be made available
from non-Federal sources to carry out emergency repairs of
school facilities or to carry out the modernization of school
facilities, as the case may be, and not to supplant such
funds.
``(iv) Maintenance costs.--Nothing in this subsection shall
be construed to authorize the payment of maintenance costs in
connection with any school facility modernized in whole or in
part with Federal funds provided under this subsection.
``(v) Environmental safeguards.--All projects carried out
with Federal funds provided under this subsection shall
comply with all relevant Federal, State, and local
environmental laws and regulations.
``(vi) Carry-over of certain applications.--A local
educational agency that applies for an emergency grant or a
modernization grant under this subsection for a fiscal year
and does not receive the grant for the fiscal year shall have
the application for the grant considered for the following
fiscal year, subject to the priority requirements of
paragraph (2) and the award criteria requirements of
paragraph (4).
``(B) Emergency grants; prohibition on use of funds.--A
local educational agency that is awarded an emergency grant
under this subsection may not use amounts under the grant for
the complete or partial replacement of an existing school
facility unless such replacement is less expensive or more
cost-effective than correcting the identified emergency.
``(6) Application.--A local educational agency that desires
to receive an emergency grant or a modernization grant under
this subsection shall submit an application to the Secretary
at such time, in such manner, and accompanied by such
information as the Secretary may require. Each application
shall contain the following:
``(A) A description of how the local educational agency
meets the award criteria under paragraph (4), including the
information described in clauses (i) through (iv) of
paragraph (4)(A) and subparagraphs (B) and (C) of paragraph
(4).
``(B) In the case of an application for an emergency
grant--
``(i) a description of the school facility deficiency that
poses a health or safety hazard to the occupants of the
facility and a description of how the deficiency will be
repaired; and
``(ii) a signed statement from an appropriate local
official certifying that a deficiency in the school facility
threatens the health or safety of the occupants of the
facility or that prevents the use of all or a portion of the
building.
``(C) In the case of an application for a modernization
grant--
``(i) an explanation of the need for the school facility
modernization project;
``(ii) the date on which original construction of the
facility to be modernized was completed;
``(iii) a listing of the school facilities to be
modernized, including the number and percentage of children
determined under section 8003(a)(1) in average daily
attendance in each school facility; and
``(iv) a description of the ownership of the property on
which the current school facility is located or on which the
planned school facility will be located.
``(D) A description of the project for which a grant under
this subsection will be used, including a cost estimate for
the project.
``(E) A description of the interest in, or authority over,
the school facility involved, such as an ownership interest
or a lease arrangement.
``(F) Such other information and assurances as the
Secretary may reasonably require.
``(7) Report.--
``(A) In general.--Not later than January 1 of each year,
the Secretary shall prepare and submit to the appropriate
congressional committees a report that contains a
justification for each grant awarded under this subsection
for the prior fiscal year.
``(B) Definition.--In this paragraph, the term `appropriate
congressional committees' means--
``(i) the Committee on Appropriations and the Committee on
Education and the Workforce of the House of Representatives;
and
``(ii) the Committee on Appropriations and the Committee on
Health, Education, Labor, and Pensions of the Senate.''.

SEC. 804. STATE CONSIDERATION OF PAYMENTS IN PROVIDING STATE
AID.

Section 8009(b)(1) (20 U.S.C. 7709(b)(1)) is amended by
inserting after ``section 8003(a)(2)(B)'' the following:
``and, with respect to a local educational agency that
receives a payment under section 8003(b)(2), the amount in
excess of the amount that the agency would receive if the
agency were deemed to be an agency eligible to receive a
payment under section 8003(b)(1) and not section
8003(b)(2)''.

SEC. 805. AUTHORIZATION OF APPROPRIATIONS.

(a) In General.--Section 8014 (20 U.S.C. 7714) is amended
in subsections (a), (b), (c), and (f) by striking ``three
succeeding fiscal years'' each place it appears and inserting
``seven succeeding fiscal years''.
(b) Construction.--Section 8014(e) (20 U.S.C. 7714(e)) is
amended by striking ``for each of the three succeeding fiscal
years'' and inserting ``for fiscal year 2001, $150,000,000
for fiscal year 2002, and such sums as may be necessary for
each of the five succeeding fiscal years''.
(c) Additional Assistance for Certain Local Educational
Agencies Impacted by Federal Property Acquisition.--Section
8014 (20 U.S.C. 7714) is amended by striking subsection (g).
``TITLE IX--GENERAL PROVISIONS

``PART A--DEFINITIONS

``SEC. 9101. DEFINITIONS.

``Except as otherwise provided, in this Act:
``(1) Average daily attendance.--
``(A) In general.--Except as provided otherwise by State
law or this paragraph, the term `average daily attendance'
means--
``(i) the aggregate number of days of attendance of all
students during a school year; divided by
``(ii) the number of days school is in session during that
year.
``(B) Conversion.--The Secretary shall permit the
conversion of average daily membership (or other similar
data) to average daily attendance for local educational
agencies in States that

[[Page H9911]]

provide State aid to local educational agencies on the basis
of average daily membership (or other similar data).
``(C) Special rule.--If the local educational agency in
which a child resides makes a tuition or other payment for
the free public education of the child in a school located in
another school district, the Secretary shall, for the purpose
of this Act--
``(i) consider the child to be in attendance at a school of
the agency making the payment; and
``(ii) not consider the child to be in attendance at a
school of the agency receiving the payment.
``(D) Children with disabilities.--If a local educational
agency makes a tuition payment to a private school or to a
public school of another local educational agency for a child
with a disability, as defined in section 602 of the
Individuals with Disabilities Education Act, the Secretary
shall, for the purpose of this Act, consider the child to be
in attendance at a school of the agency making the payment.
``(2) Average per-pupil expenditure.--The term `average
per-pupil expenditure' means, in the case of a State or of
the United States--
``(A) without regard to the source of funds--
``(i) the aggregate current expenditures, during the third
fiscal year preceding the fiscal year for which the
determination is made (or, if satisfactory data for that year
are not available, during the most recent preceding fiscal
year for which satisfactory data are available) of all local
educational agencies in the State or, in the case of the
United States, for all States (which, for the purpose of this
paragraph, means the 50 States and the District of Columbia);
plus
``(ii) any direct current expenditures by the State for the
operation of those agencies; divided by
``(B) the aggregate number of children in average daily
attendance to whom those agencies provided free public
education during that preceding year.
``(3) Beginning teacher.--The term `beginning teacher'
means a teacher in a public school who has been teaching less
than a total of 3 complete school years.
``(4) Child.--The term `child' means any person within the
age limits for which the State provides free public
education.
``(5) Child with a disability.--The term `child with a
disability' has the same meaning given that term in section
602 of the Individuals with Disabilities Education Act.
``(6) Community-based organization.--The term `community-
based organization' means a public or private nonprofit
organization of demonstrated effectiveness that--
``(A) is representative of a community or significant
segments of a community; and
``(B) provides educational or related services to
individuals in the community.
``(7) Consolidated local application.--The term
`consolidated local application' means an application
submitted by a local educational agency pursuant to section
9305.
``(8) Consolidated local plan.--The term `consolidated
local plan' means a plan submitted by a local educational
agency pursuant to section 9305.
``(9) Consolidated state application.--The term
`consolidated State application' means an application
submitted by a State educational agency pursuant to section
9302.
``(10) Consolidated state plan.--The term `consolidated
State plan' means a plan submitted by a State educational
agency pursuant to section 9302.
``(11) Core academic subjects.--The term `core academic
subjects' means English, reading or language arts,
mathematics, science, foreign languages, civics and
government, economics, arts, history, and geography.
``(12) County.--The term `county' means one of the
divisions of a State used by the Secretary of Commerce in
compiling and reporting data regarding counties.
``(13) Covered program.--The term `covered program' means
each of the programs authorized by--
``(A) part A of title I;
``(B) subpart 3 of part B of title I;
``(C) part C of title I;
``(D) part D of title I;
``(E) part F of title I;
``(F) part A of title II;
``(G) part D of title II;
``(H) part A of title III;
``(I) part A of title IV;
``(J) part B of title IV;
``(K) part A of title V; and
``(L) subpart 2 of part B of title VI.
``(14) Current expenditures.--The term `current
expenditures' means expenditures for free public education--
``(A) including expenditures for administration,
instruction, attendance and health services, pupil
transportation services, operation and maintenance of plant,
fixed charges, and net expenditures to cover deficits for
food services and student body activities; but
``(B) not including expenditures for community services,
capital outlay, and debt service, or any expenditures made
from funds received under title I and part A of title V.
``(15) Department.--The term `Department' means the
Department of Education.
``(16) Distance learning.--The term `distance learning'
means the transmission of educational or instructional
programming to geographically dispersed individuals and
groups via telecommunications.
``(17) Educational service agency.--The term `educational
service agency' means a regional public multiservice agency
authorized by State statute to develop, manage, and provide
services or programs to local educational agencies.
``(18) Elementary school.--The term `elementary school'
means a nonprofit institutional day or residential school,
including a public elementary charter school, that provides
elementary education, as determined under State law.
``(19) Exemplary teacher.--The term `exemplary teacher'
means a teacher who--
(A) is a highly qualified teacher such as a master teacher;
(B) has been teaching for at least 5 years in a public or
private school or institution of higher education;
(C) is recommended to be an exemplary teacher by
administrators and other teachers who are knowledgeable about
the individual's performance;
(D) is currently teaching and based in a public school; and
(E) assists other teachers in improving instructional
strategies, improves the skills of other teachers, performs
teacher mentoring, develops curricula, and offers other
professional development.
``(20) Family literacy services.--The term `family literacy
services' means services provided to participants on a
voluntary basis that are of sufficient intensity in terms of
hours, and of sufficient duration, to make sustainable
changes in a family, and that integrate all of the following
activities:
``(A) Interactive literacy activities between parents and
their children.
``(B) Training for parents regarding how to be the primary
teacher for their children and full partners in the education
of their children.
``(C) Parent literacy training that leads to economic self-
sufficiency.
``(D) An age-appropriate education to prepare children for
success in school and life experiences.
``(21) Free public education.--The term `free public
education' means education that is provided--
``(A) at public expense, under public supervision and
direction, and without tuition charge; and
``(B) as elementary school or secondary school education as
determined under applicable State law, except that the term
does not include any education provided beyond grade 12.
``(22) Gifted and talented.--The term `gifted and
talented', when used with respect to students, children, or
youth, means students, children, or youth who give evidence
of high achievement capability in areas such as intellectual,
creative, artistic, or leadership capacity, or in specific
academic fields, and who need services or activities not
ordinarily provided by the school in order to fully develop
those capabilities.
``(23) Highly qualified.--The term `highly qualified'--
``(A) when used with respect to any public elementary
school or secondary school teacher teaching in a State, means
that--
``(i) the teacher has obtained full State certification as
a teacher (including certification obtained through
alternative routes to certification) or passed the State
teacher licensing examination, and holds a license to teach
in such State, except that when used with respect to any
teacher teaching in a public charter school, the term means
that the teacher meets the requirements set forth in the
State's public charter school law; and
``(ii) the teacher has not had certification or licensure
requirements waived on an emergency, temporary, or
provisional basis;
``(B) when used with respect to--
``(i) an elementary school teacher who is new to the
profession, means that the teacher--

``(I) holds at least a bachelor's degree; and
``(II) has demonstrated, by passing a rigorous State test,
subject knowledge and teaching skills in reading, writing,
mathematics, and other areas of the basic elementary school
curriculum (which may consist of passing a State-required
certification or licensing test or tests in reading, writing,
mathematics, and other areas of the basic elementary school
curriculum); or

``(ii) a middle or secondary school teacher who is new to
the profession, means that the teacher holds at least a
bachelor's degree and has demonstrated a high level of
competency in each of the academic subjects in which the
teacher teaches by--

``(I) passing a rigorous State academic subject test in
each of the academic subjects in which the teacher teaches
(which may consist of a passing level of performance on a
State-required certification or licensing test or tests in
each of the academic subjects in which the teacher teaches);
or
``(II) successful completion, in each of the academic
subjects in which the teacher teaches, of an academic major,
a graduate degree, coursework equivalent to an undergraduate
academic major, or advanced certification or credentialing;
and

``(C) when used with respect to an elementary, middle, or
secondary school teacher who is not new to the profession,
means that the teacher holds at least a bachelor's degree
and--
``(i) has met the applicable standard in clause (i) or (ii)
of subparagraph (B), which includes an option for a test; or
``(ii) demonstrates competence in all the academic subjects
in which the teacher teaches based on a high objective
uniform State standard of evaluation that--

``(I) is set by the State for both grade appropriate
academic subject matter knowledge and teaching skills;
``(II) is aligned with challenging State academic content
and student academic achievement standards and developed in
consultation with core content specialists, teachers,
principals, and school administrators;
``(III) provides objective, coherent information about the
teacher's attainment of core content knowledge in the
academic subjects in which a teacher teaches;
``(IV) is applied uniformly to all teachers in the same
academic subject and the same grade level throughout the
State;
``(V) takes into consideration, but not be based primarily
on, the time the teacher has been teaching in the academic
subject;

[[Page H9912]]

``(VI) is made available to the public upon request; and
``(VII) may involve multiple, objective measures of teacher
competency.

``(24) Institution of higher education.--The term
`institution of higher education' has the meaning given that
term in section 101(a) of the Higher Education Act of 1965.
``(25) Limited english proficient.--The term `limited
English proficient', when used with respect to an individual,
means an individual--
``(A) who is aged 3 through 21;
``(B) who is enrolled or preparing to enroll in an
elementary school or secondary school;
``(C)(i) who was not born in the United States or whose
native language is a language other than English;
``(ii)(I) who is a Native American or Alaska Native, or a
native resident of the outlying areas; and
``(II) who comes from an environment where a language other
than English has had a significant impact on the individual's
level of English language proficiency; or
``(iii) who is migratory, whose native language is a
language other than English, and who comes from an
environment where a language other than English is dominant;
and
``(D) whose difficulties in speaking, reading, writing, or
understanding the English language may be sufficient to deny
the individual--
``(i) the ability to meet the State's proficient level of
achievement on State assessments described in section
1111(b)(3);
``(ii) the ability to successfully achieve in classrooms
where the language of instruction is English; or
``(iii) the opportunity to participate fully in society.
``(26) Local educational agency.--
``(A) In general.--The term `local educational agency'
means a public board of education or other public authority
legally constituted within a State for either administrative
control or direction of, or to perform a service function
for, public elementary schools or secondary schools in a
city, county, township, school district, or other political
subdivision of a State, or of or for a combination of school
districts or counties that is recognized in a State as an
administrative agency for its public elementary schools or
secondary schools.
``(B) Administrative control and direction.--The term
includes any other public institution or agency having
administrative control and direction of a public elementary
school or secondary school.
``(C) BIA schools.--The term includes an elementary school
or secondary school funded by the Bureau of Indian Affairs
but only to the extent that including the school makes the
school eligible for programs for which specific eligibility
is not provided to the school in another provision of law and
the school does not have a student population that is smaller
than the student population of the local educational agency
receiving assistance under this Act with the smallest student
population, except that the school shall not be subject to
the jurisdiction of any State educational agency other than
the Bureau of Indian Affairs.
``(D) Educational service agencies.--The term includes
educational service agencies and consortia of those agencies.
``(E) State educational agency.--The term includes the
State educational agency in a State in which the State
educational agency is the sole educational agency for all
public schools.
``(27) Mentoring.--The term `mentoring', except when used
to refer to teacher mentoring, means a process by which a
responsible adult, postsecondary student, or secondary school
student works with a child to provide a positive role model
for the child, to establish a supportive relationship with
the child, and to provide the child with academic assistance
and exposure to new experiences and examples of opportunity
that enhance the ability of the child to become a responsible
adult.
``(28) Native american and native american language.--The
terms `Native American' and `Native American language' have
the same meaning given those terms in section 103 of the
Native American Languages Act of 1990.
``(29) Other staff.--The term `other staff' means pupil
services personnel, librarians, career guidance and
counseling personnel, education aides, and other
instructional and administrative personnel.
``(30) Outlying area.--The term `outlying area' means the
United States Virgin Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands, and for the
purpose of section 1121(b) and any other discretionary grant
program under this Act, includes the freely associated states
of the Republic of the Marshall Islands, the Federated States
of Micronesia, and the Republic of Palau until an agreement
for the extension of United States education assistance under
the Compact of Free Association for each of the freely
associated states becomes effective after the date of
enactment of the No Child Left Behind Act of 2001.
``(31) Parent.--The term `parent' includes a legal guardian
or other person standing in loco parentis (such as a
grandparent or stepparent with whom the child lives, or a
person who is legally responsible for the child's welfare).
``(32) Parental involvement.--The term `parental
involvement' means the participation of parents in regular,
two-way, and meaningful communication involving student
academic learning and other school activities, including
ensuring--
``(A) that parents play an integral role in assisting their
child's learning;
``(B) that parents are encouraged to be actively involved
in their child's education at school;
``(C) that parents are full partners in their child's
education and are included, as appropriate, in decisionmaking
and on advisory committees to assist in the education of
their child;
``(D) the carrying out of other activities, such as those
described in section 1118.
``(33) Poverty line.--The term `poverty line' means the
poverty line (as defined by the Office of Management and
Budget and revised annually in accordance with section 673(2)
of the Community Services Block Grant Act) applicable to a
family of the size involved.
``(34) Professional development.--The term `professional
development'--
``(A) includes activities that--
``(i) improve and increase teachers' knowledge of the
academic subjects the teachers teach, and enable teachers to
become highly qualified;
``(ii) are an integral part of broad schoolwide and
districtwide educational improvement plans;
``(iii) give teachers, principals, and administrators the
knowledge and skills to provide students with the opportunity
to meet challenging State academic content standards and
student academic achievement standards;
``(iv) improve classroom management skills;
``(v)(I) are high quality, sustained, intensive, and
classroom-focused in order to have a positive and lasting
impact on classroom instruction and the teacher's performance
in the classroom; and
``(II) are not 1-day or short-term workshops or
conferences;
``(vi) support the recruiting, hiring, and training of
highly qualified teachers, including teachers who became
highly qualified through State and local alternative routes
to certification;
``(vii) advance teacher understanding of effective
instructional strategies that are--

``(I) based on scientifically based research (except that
this subclause shall not apply to activities carried out
under part D of title II); and
``(II) strategies for improving student academic
achievement or substantially increasing the knowledge and
teaching skills of teachers; and

``(viii) are aligned with and directly related to--

``(I) State academic content standards, student academic
achievement standards, and assessments; and
``(II) the curricula and programs tied to the standards
described in subclause (I) except that this subclause shall
not apply to activities described in clauses (ii) and (iii)
of section 2123(3)(B);

``(ix) are developed with extensive participation of
teachers, principals, parents, and administrators of schools
to be served under this Act;
``(x) are designed to give teachers of limited English
proficient children, and other teachers and instructional
staff, the knowledge and skills to provide instruction and
appropriate language and academic support services to those
children, including the appropriate use of curricula and
assessments;
``(xi) to the extent appropriate, provide training for
teachers and principals in the use of technology so that
technology and technology applications are effectively used
in the classroom to improve teaching and learning in the
curricula and core academic subjects in which the teachers
teach;
``(xii) as a whole, are regularly evaluated for their
impact on increased teacher effectiveness and improved
student academic achievement, with the findings of the
evaluations used to improve the quality of professional
development;
``(xiii) provide instruction in methods of teaching
children with special needs;
``(xiv) include instruction in the use of data and
assessments to inform and instruct classroom practice; and
``(xv) include instruction in ways that teachers,
principals, pupil services personnel, and school
administrators may work more effectively with parents; and
``(B) may include activities that--
``(i) involve the forming of partnerships with institutions
of higher education to establish school-based teacher
training programs that provide prospective teachers and
beginning teachers with an opportunity to work under the
guidance of experienced teachers and college faculty;
``(ii) create programs to enable paraprofessionals
(assisting teachers employed by a local educational agency
receiving assistance under part A of title I) to obtain the
education necessary for those paraprofessionals to become
certified and licensed teachers; and
``(iii) provide follow-up training to teachers who have
participated in activities described in subparagraph (A) or
another clause of this subparagraph that are designed to
ensure that the knowledge and skills learned by the teachers
are implemented in the classroom.
``(35) Public telecommunications entity.--The term `public
telecommunications entity' has the meaning given that term in
section 397(12) of the Communications Act of 1934.
``(36) Pupil services personnel; pupil services.--
``(A) Pupil services personnel.--The term `pupil services
personnel' means school counselors, school social workers,
school psychologists, and other qualified professional
personnel involved in providing assessment, diagnosis,
counseling, educational, therapeutic, and other necessary
services (including related services as that term is defined
in section 602 of the Individuals with Disabilities Education
Act) as part of a comprehensive program to meet student
needs.
``(B) Pupil services.--The term `pupil services' means the
services provided by pupil services personnel.
``(37) Scientifically based research.--The term
`scientifically based research'--
``(A) means research that involves the application of
rigorous, systematic, and objective procedures to obtain
reliable and valid knowledge relevant to education activities
and programs; and
``(B) includes research that--

[[Page H9913]]

``(i) employs systematic, empirical methods that draw on
observation or experiment;
``(ii) involves rigorous data analyses that are adequate to
test the stated hypotheses and justify the general
conclusions drawn;
``(iii) relies on measurements or observational methods
that provide reliable and valid data across evaluators and
observers, across multiple measurements and observations, and
across studies by the same or different investigators;
``(iv) is evaluated using experimental or quasi-
experimental designs in which individuals, entities,
programs, or activities are assigned to different conditions
and with appropriate controls to evaluate the effects of the
condition of interest, with a preference for random-
assignment experiments, or other designs to the extent that
those designs contain within-condition or across-condition
controls;
``(v) ensures that experimental studies are presented in
sufficient detail and clarity to allow for replication or, at
a minimum, offer the opportunity to build systematically on
their findings; and
``(vi) has been accepted by a peer-reviewed journal or
approved by a panel of independent experts through a
comparably rigorous, objective, and scientific review.
``(38) Secondary school.--The term `secondary school' means
a nonprofit institutional day or residential school,
including a public secondary charter school, that provides
secondary education, as determined under State law, except
that the term does not include any education beyond grade 12.
``(39) Secretary.--The term `Secretary' means the Secretary
of Education.
State.--The term `State' means each of the 50 States, the
District of Columbia, the Commonwealth of Puerto Rico, and
each of the outlying areas.
``(41) State educational agency.--The term `State
educational agency' means the agency primarily responsible
for the State supervision of public elementary schools and
secondary schools.
``(42) Teacher mentoring.--The term `teacher mentoring'
means activities that--
``(A) consist of structured guidance and regular and
ongoing support for teachers, especially beginning teachers,
that--
``(i) are designed to help the teachers continue to improve
their practice of teaching and to develop their instructional
skills; and
``(ii) as part of an ongoing developmental induction
process--

``(I) involve the assistance of an exemplary teacher and
other appropriate individuals from a school, local
educational agency, or institution of higher education; and
``(II) may include coaching, classroom observation, team
teaching, and reduced teaching loads; and

``(B) may include the establishment of a partnership by a
local educational agency with an institution of higher
education, another local educational agency, a teacher
organization, or another organization.
``(43) Technology.--The term `technology' means state-of-
the-art technology products and services.

``SEC. 9102. APPLICABILITY OF TITLE.

``Parts B, C, D, and E of this title do not apply to title
VIII of this Act.

``SEC. 9103. APPLICABILITY TO BUREAU OF INDIAN AFFAIRS
OPERATED SCHOOLS.

``For the purpose of any competitive program under this
Act--
``(1) a consortium of schools operated by the Bureau of
Indian Affairs;
``(2) a school operated under a contract or grant with the
Bureau of Indian Affairs in consortium with another contract
or grant school or a tribal or community organization; or
``(3) a Bureau of Indian Affairs school in consortium with
an institution of higher education, a contract or grant
school, or a tribal or community organization,
shall be given the same consideration as a local educational
agency.

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

``SEC. 9201. CONSOLIDATION OF STATE ADMINISTRATIVE FUNDS FOR
ELEMENTARY AND SECONDARY EDUCATION PROGRAMS.

``(a) Consolidation of Administrative Funds.--
``(1) In general.--A State educational agency may
consolidate the amounts specifically made available to it for
State administration under one or more of the programs under
paragraph (2) if the State educational agency can demonstrate
that the majority of its resources are derived from non-
Federal sources.
``(2) Applicability.--This section applies to any program
under this Act under which funds are authorized to be used
for administration, and such other programs as the Secretary
may designate.
``(b) Use of funds.--
``(1) In general.--A State educational agency shall use the
amount available under this section for the administration of
the programs included in the consolidation under subsection
(a).
``(2) Additional uses.--A State educational agency may also
use funds available under this section for administrative
activities designed to enhance the effective and coordinated
use of funds under programs included in the consolidation
under subsection (a), such as--
``(A) the coordination of those programs with other Federal
and non-Federal programs;
``(B) the establishment and operation of peer-review
mechanisms under this Act;
``(C) the administration of this title;
``(D) the dissemination of information regarding model
programs and practices;
``(E) technical assistance under any program under this
Act;
``(F) State-level activities designed to carry out this
title;
``(G) training personnel engaged in audit and other
monitoring activities; and
``(H) implementation of the Cooperative Audit Resolution
and Oversight Initiative of the Department.
``(c) Records.--A State educational agency that
consolidates administrative funds under this section shall
not be required to keep separate records, by individual
program, to account for costs relating to the administration
of programs included in the consolidation under subsection
(a).
``(d) Review.--To determine the effectiveness of State
administration under this section, the Secretary may
periodically review the performance of State educational
agencies in using consolidated administrative funds under
this section and take such steps as the Secretary finds
appropriate to ensure the effectiveness of that
administration.
``(e) Unused Administrative Funds.--If a State educational
agency does not use all of the funds available to the agency
under this section for administration, the agency may use
those funds during the applicable period of availability as
funds available under one or more programs included in the
consolidation under subsection (a).
``(f) Consolidation of Funds for Standards and Assessment
Development.--In order to develop challenging State academic
standards and assessments, a State educational agency may
consolidate the amounts described in subsection (a) for those
purposes under title I.

``SEC. 9202. SINGLE LOCAL EDUCATIONAL AGENCY STATES.

``A State educational agency that also serves as a local
educational agency shall, in its applications or plans under
this Act, describe how the agency will eliminate duplication
in conducting administrative functions.

``SEC. 9203. CONSOLIDATION OF FUNDS FOR LOCAL ADMINISTRATION.

``(a) General Authority.--In accordance with regulations of
the Secretary and for any fiscal year, a local educational
agency, with the approval of its State educational agency,
may consolidate and use for the administration of one or more
programs under this Act (or such other programs as the
Secretary shall designate) not more than the percentage,
established in each program, of the total available for the
local educational agency under those programs.
``(b) State Procedures.--Within 1 year after the date of
enactment of the No Child Left Behind Act of 2001, a State
educational agency shall, in collaboration with local
educational agencies in the State, establish procedures for
responding to requests from local educational agencies to
consolidate administrative funds under subsection (a) and for
establishing limitations on the amount of funds under those
programs that may be used for administration on a
consolidated basis.
``(c) Conditions.--A local educational agency that
consolidates administrative funds under this section for any
fiscal year shall not use any other funds under the programs
included in the consolidation for administration for that
fiscal year.
``(d) Uses of Administrative Funds.--A local educational
agency that consolidates administrative funds under this
section may use the consolidated funds for the administration
of the programs and for uses, at the school district and
school levels, comparable to those described in section
9201(b)(2).
``(e) Records.--A local educational agency that
consolidates administrative funds under this section shall
not be required to keep separate records, by individual
program, to account for costs relating to the administration
of the programs included in the consolidation.

``SEC. 9204. CONSOLIDATED SET-ASIDE FOR DEPARTMENT OF THE
INTERIOR FUNDS.

``(a) General Authority.--
``(1) Transfer.--The Secretary shall transfer to the
Department of the Interior, as a consolidated amount for
covered programs, the Indian education programs under part A
of title VII, and the education for homeless children and
youth program under subtitle B of title VII of the McKinney-
Vento Homeless Assistance Act, the amounts allotted to the
Department of the Interior under those programs.
``(2) Agreement.--
``(A) In general.--The Secretary and the Secretary of the
Interior shall enter into an agreement, consistent with the
requirements of the programs specified in paragraph (1), for
the distribution and use of those program funds under terms
that the Secretary determines best meet the purposes of those
programs.
``(B) Contents.--The agreement shall--
``(i) set forth the plans of the Secretary of the Interior
for the use of the amount transferred and the achievement
measures to assess program effectiveness, including
measurable goals and objectives; and
``(ii) be developed in consultation with Indian tribes.
``(b) Administration.--The Department of the Interior may
use not more than 1.5 percent of the funds consolidated under
this section for its costs related to the administration of
the funds transferred under this section.

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

``SEC. 9301. PURPOSE.

``The purposes of this part are--
``(1) to improve teaching and learning by encouraging
greater cross-program coordination, planning, and service
delivery;
``(2) to provide greater flexibility to State and local
authorities through consolidated plans, applications, and
reporting; and

[[Page H9914]]

``(3) to enhance the integration of programs under this Act
with State and local programs.

``SEC. 9302. OPTIONAL CONSOLIDATED STATE PLANS OR
APPLICATIONS.

``(a) General Authority.--
``(1) Simplification.--In order to simplify application
requirements and reduce the burden for State educational
agencies under this Act, the Secretary, in accordance with
subsection (b), shall establish procedures and criteria under
which, after consultation with the Governor, a State
educational agency may submit a consolidated State plan or a
consolidated State application meeting the requirements of
this section for--
``(A) each of the covered programs in which the State
participates; and
``(B) such other programs as the Secretary may designate.
``(2) Consolidated applications and plans.--After
consultation with the Governor, a State educational agency
that submits a consolidated State plan or a consolidated
State application under this section shall not be required to
submit separate State plans or applications under any of the
programs to which the consolidated State plan or consolidated
State application under this section applies.
``(b) Collaboration.--
``(1) In general.--In establishing criteria and procedures
under this section, the Secretary shall collaborate with
State educational agencies and, as appropriate, with other
State agencies, local educational agencies, public and
private nonprofit agencies, organizations, and institutions,
private schools, and representatives of parents, students,
and teachers.
``(2) Contents.--Through the collaborative process
described in paragraph (1), the Secretary shall establish,
for each program under this Act to which this section
applies, the descriptions, information, assurances, and other
material required to be included in a consolidated State plan
or consolidated State application.
``(3) Necessary materials.--The Secretary shall require
only descriptions, information, assurances (including
assurances of compliance with applicable provisions regarding
participation by private school children and teachers), and
other materials that are absolutely necessary for the
consideration of the consolidated State plan or consolidated
State application.

``SEC. 9303. CONSOLIDATED REPORTING.

``(a) In general.--In order to simplify reporting
requirements and reduce reporting burdens, the Secretary
shall establish procedures and criteria under which a State
educational agency, in consultation with the Governor of the
State, may submit a consolidated State annual report.
``(b) Contents.--The report shall contain information about
the programs included in the report, including the
performance of the State under those programs, and other
matters as the Secretary determines are necessary, such as
monitoring activities.
``(c) Replacement.--The report shall replace separate
individual annual reports for the programs included in the
consolidated State annual report.

``SEC. 9304. GENERAL APPLICABILITY OF STATE EDUCATIONAL
AGENCY ASSURANCES.

``(a) Assurances.--A State educational agency, in
consultation with the Governor of the State, that submits a
consolidated State plan or consolidated State application
under this Act, whether separately or under section 9302,
shall have on file with the Secretary a single set of
assurances, applicable to each program for which the plan or
application is submitted, that provides that--
``(1) each such program will be administered in accordance
with all applicable statutes, regulations, program plans, and
applications;
``(2)(A) the control of funds provided under each such
program and title to property acquired with program funds
will be in a public agency, a nonprofit private agency,
institution, or organization, or an Indian tribe, if the law
authorizing the program provides for assistance to those
entities; and
``(B) the public agency, nonprofit private agency,
institution, or organization, or Indian tribe will administer
those funds and property to the extent required by the
authorizing law;
``(3) the State will adopt and use proper methods of
administering each such program, including--
``(A) the enforcement of any obligations imposed by law on
agencies, institutions, organizations, and other recipients
responsible for carrying out each program;
``(B) the correction of deficiencies in program operations
that are identified through audits, monitoring, or
evaluation; and
``(C) the adoption of written procedures for the receipt
and resolution of complaints alleging violations of law in
the administration of the programs;
``(4) the State will cooperate in carrying out any
evaluation of each such program conducted by or for the
Secretary or other Federal officials;
``(5) the State will use such fiscal control and fund
accounting procedures as will ensure proper disbursement of,
and accounting for, Federal funds paid to the State under
each such program;
``(6) the State will--
``(A) make reports to the Secretary as may be necessary to
enable the Secretary to perform the Secretary's duties under
each such program; and
``(B) maintain such records, provide such information to
the Secretary, and afford such access to the records as the
Secretary may find necessary to carry out the Secretary's
duties; and
``(7) before the plan or application was submitted to the
Secretary, the State afforded a reasonable opportunity for
public comment on the plan or application and considered such
comment.
``(b) GEPA Provision.--Section 441 of the General Education
Provisions Act shall not apply to programs under this Act.

``SEC. 9305. CONSOLIDATED LOCAL PLANS OR APPLICATIONS.

``(a) General Authority.--
``(1) Consolidated plan.--A local educational agency
receiving funds under more than one covered program may
submit plans or applications to the State educational
agency under those programs on a consolidated basis.
``(2) Availability to governor.--The State educational
agency shall make any consolidated local plans and
applications available to the Governor.
``(b) Required Consolidated Plans or Applications.--A State
educational agency that has an approved consolidated State
plan or application under section 9302 may require local
educational agencies in the State receiving funds under more
than one program included in the consolidated State plan or
consolidated State application to submit consolidated local
plans or applications under those programs, but may not
require those agencies to submit separate plans.
``(c) Collaboration.--A State educational agency, in
consultation with the Governor, shall collaborate with local
educational agencies in the State in establishing procedures
for the submission of the consolidated State plans or
consolidated State applications under this section.
``(d) Necessary Materials.--The State educational agency
shall require only descriptions, information, assurances, and
other material that are absolutely necessary for the
consideration of the local educational agency plan or
application.

``SEC. 9306. OTHER GENERAL ASSURANCES.

``(a) Assurances.--Any applicant, other than a State
educational agency that submits a plan or application under
this Act, whether separately or pursuant to section 9305,
shall have on file with the State educational agency a single
set of assurances, applicable to each program for which a
plan or application is submitted, that provides that--
``(1) each such program will be administered in accordance
with all applicable statutes, regulations, program plans, and
applications;
``(2)(A) the control of funds provided under each such
program and title to property acquired with program funds
will be in a public agency or in a nonprofit private agency,
institution, organization, or Indian tribe, if the law
authorizing the program provides for assistance to those
entities; and
``(B) the public agency, nonprofit private agency,
institution, or organization, or Indian tribe will administer
the funds and property to the extent required by the
authorizing statutes;
``(3) the applicant will adopt and use proper methods of
administering each such program, including--
``(A) the enforcement of any obligations imposed by law on
agencies, institutions, organizations, and other recipients
responsible for carrying out each program; and
``(B) the correction of deficiencies in program operations
that are identified through audits, monitoring, or
evaluation;
``(4) the applicant will cooperate in carrying out any
evaluation of each such program conducted by or for the State
educational agency, the Secretary, or other Federal
officials;
``(5) the applicant will use such fiscal control and fund
accounting procedures as will ensure proper disbursement of,
and accounting for, Federal funds paid to the applicant under
each such program;
``(6) the applicant will--
``(A) submit such reports to the State educational agency
(which shall make the reports available to the Governor) and
the Secretary as the State educational agency and Secretary
may require to enable the State educational agency and the
Secretary to perform their duties under each such program;
and
``(B) maintain such records, provide such information, and
afford such access to the records as the State educational
agency (after consultation with the Governor) or the
Secretary may reasonably require to carry out the State
educational agency's or the Secretary's duties; and
``(7) before the application was submitted, the applicant
afforded a reasonable opportunity for public comment on the
application and considered such comment.
``(b) GEPA Provision.--Section 442 of the General Education
Provisions Act shall not apply to programs under this Act.

``PART D--WAIVERS

``SEC. 9401. WAIVERS OF STATUTORY AND REGULATORY
REQUIREMENTS.

``(a) In General.--Except as provided in subsection (c),
the Secretary may waive any statutory or regulatory
requirement of this Act for a State educational agency, local
educational agency, Indian tribe, or school through a local
educational agency, that--
``(1) receives funds under a program authorized by this
Act; and
``(2) requests a waiver under subsection (b).
``(b) Request for Waiver.--
``(1) In general.--A State educational agency, local
educational agency, or Indian tribe that desires a waiver
shall submit a waiver request to the Secretary that--
``(A) identifies the Federal programs affected by the
requested waiver;
``(B) describes which Federal statutory or regulatory
requirements are to be waived and how the waiving of those
requirements will--
``(i) increase the quality of instruction for students; and
``(ii) improve the academic achievement of students;
``(C) describes, for each school year, specific, measurable
educational goals, in accordance

[[Page H9915]]

with section 1111(b), for the State educational agency and
for each local educational agency, Indian tribe, or school
that would be affected by the waiver and the methods to be
used to measure annually /such progress for meeting such
goals and outcomes;
``(D) explains how the waiver will assist the State
educational agency and each affected local educational
agency, Indian tribe, or school in reaching those goals; and
``(E) describes how schools will continue to provide
assistance to the same populations served by programs for
which waivers are requested.
``(2) Additional information.--Such requests--
``(A) may provide for waivers of requirements applicable to
State educational agencies, local educational agencies,
Indian tribes, and schools; and
``(B) shall be developed and submitted--
``(i)(I) by local educational agencies (on behalf of those
agencies and schools) to State educational agencies; and
``(II) by State educational agencies (on behalf of, and
based on the requests of, local educational agencies) to the
Secretary; or
``(ii) by Indian tribes (on behalf of schools operated by
the tribes) to the Secretary.
``(3) General requirements.--
``(A) State educational agencies.--In the case of a waiver
request submitted by a State educational agency acting on its
own behalf, the State educational agency shall--
``(i) provide all interested local educational agencies in
the State with notice and a reasonable opportunity to comment
on the request;
``(ii) submit the comments to the Secretary; and
``(iii) provide notice and information to the public
regarding the waiver request in the manner in which the
applying agency customarily provides similar notices and
information to the public.
``(B) Local educational agencies.--In the case of a waiver
request submitted by a local educational agency that receives
funds under this Act--
``(i) the request shall be reviewed by the State
educational agency and be accompanied by the comments, if
any, of the State educational agency; and
``(ii) notice and information regarding the waiver request
shall be provided to the public by the agency requesting the
waiver in the manner in which that agency customarily
provides similar notices and information to the public.
``(c) Restrictions.--The Secretary shall not waive under
this section any statutory or regulatory requirements
relating to--
``(1) the allocation or distribution of funds to States,
local educational agencies, or other recipients of funds
under this Act;
``(2) maintenance of effort;
``(3) comparability of services;
``(4) use of Federal funds to supplement, not supplant,
non-Federal funds;
``(5) equitable participation of private school students
and teachers;
``(6) parental participation and involvement;
``(7) applicable civil rights requirements;
``(8) the requirement for a charter school under subpart 1
of part B of title V;
``(9) the prohibitions regarding--
``(A) State aid in section 9522;
``(B) use of funds for religious worship or instruction in
section 9505; and
``(C) activities in section 9526; or
``(10) the selection of a school attendance area or school
under subsections (a) and (b) of section 1113, except that
the Secretary may grant a waiver to allow a school attendance
area or school to participate in activities under part A of
title I if the percentage of children from low-income
families in the school attendance area or who attend the
school is not more than 10 percentage points below the lowest
percentage of those children for any school attendance area
or school of the local educational agency that meets the
requirements of subsections (a) and (b) of section 1113.
``(d) Duration and Extension of Waiver.--
``(1) In general.--Except as provided in paragraph (2), a
waiver approved by the Secretary under this section may be
for a period not to exceed 4 years.
``(2) Extension.--The Secretary may extend the period
described in paragraph (1) if the Secretary determines that--
``(A) the waiver has been effective in enabling the State
or affected recipient to carry out the activities for which
the waiver was requested and the waiver has contributed to
improved student achievement; and
`(B) the extension is in the public interest.
``(e) Reports.--
``(1) Local waiver.--A local educational agency that
receives a waiver under this section shall, at the end of the
second year for which a waiver is received under this section
and each subsequent year, submit a report to the State
educational agency that--
``(A) describes the uses of the waiver by the agency or by
schools;
``(B) describes how schools continued to provide assistance
to the same populations served by the programs for which
waivers were granted; and
``(C) evaluates the progress of the agency and of schools
in improving the quality of instruction or the academic
achievement of students.
``(2) State waiver.--A State educational agency that
receives reports required under paragraph (1) shall annually
submit a report to the Secretary that is based on those
reports and contains such information as the Secretary may
require.
``(3) Indian tribe waiver.--An Indian tribe that receives a
waiver under this section shall annually submit a report to
the Secretary that--
``(A) describes the uses of the waiver by schools operated
by the tribe; and
``(B) evaluates the progress of those schools in improving
the quality of instruction or the academic achievement of
students.
``(4) Report to congress.--Beginning in fiscal year 2002
and for each subsequent year, the Secretary shall submit to
the Committee on Education and the Workforce of the House of
Representatives and the Committee on Health, Education, Labor
and Pensions of the Senate a report--
``(A) summarizing the uses of waivers by State educational
agencies, local educational agencies, Indian tribes, and
schools; and
``(B) describing whether the waivers--
``(i) increased the quality of instruction to students; or
``(ii) improved the academic achievement of students.
``(f) Termination of Waivers.--The Secretary shall
terminate a waiver under this section if the Secretary
determines, after notice and an opportunity for a hearing,
that the performance of the State or other recipient affected
by the waiver has been inadequate to justify a continuation
of the waiver or if the waiver is no longer necessary to
achieve its original purposes.
``(g) Publication.--A notice of the Secretary's decision to
grant each waiver under subsection (a) shall be published in
the Federal Register and the Secretary shall provide for the
dissemination of the notice to State educational agencies,
interested parties, including educators, parents, students,
advocacy and civil rights organizations, and the public.

``PART E--UNIFORM PROVISIONS

``Subpart 1--Private Schools

``SEC. 9501. PARTICIPATION BY PRIVATE SCHOOL CHILDREN AND
TEACHERS.

``(a) Private School Participation.--
``(1) In general.--Except as otherwise provided in this
Act, to the extent consistent with the number of eligible
children in areas served by a State educational agency, local
educational agency, educational service agency, consortium of
those agencies, or another entity receiving financial
assistance under a program specified in subsection (b), who
are enrolled in private elementary schools and secondary
schools in areas served by such agency, consortium, or
entity, the agency, consortium, or entity shall, after timely
and meaningful consultation with appropriate private school
officials provide to those children and their teachers or
other educational personnel, on an equitable basis, special
educational services or other benefits that address their
needs under the program.
``(2) Secular, neutral, and nonideological services or
benefits.--Educational services or other benefits, including
materials and equipment, provided under this section, shall
be secular, neutral, and nonideological.
``(3) Special rule.--Educational services and other
benefits provided under this section for private school
children, teachers, and other educational personnel shall be
equitable in comparison to services and other benefits for
public school children, teachers, and other educational
personnel participating in the program and shall be provided
in a timely manner.
``(4) Expenditures.--Expenditures for educational services
and other benefits provided under this section for eligible
private school children, their teachers, and
other educational personnel serving those children shall
be equal, taking into account the number and educational
needs of the children to be served, to the expenditures
for participating public school children.
``(5) Provision of services.--An agency, consortium, or
entity described in subsection (a)(1) of this section may
provide those services directly or through contracts with
public and private agencies, organizations, and institutions.
``(b) Applicability.--
``(1) In general.--This section applies to programs under--
``(A) subparts 1 and 3 of part B of title I;
``(B) part C of title I;
``(C) part A of title II, to the extent provided in
paragraph (3);
``(D) part B of title II;
``(E) part D of title II;
``(F) part A of title III;
``(G) part A of title IV; and
``(H) part B of title IV.
``(2) Definition.--For the purpose of this section, the
term `eligible children' means children eligible for services
under a program described in paragraph (1).
``(3) Application.--(A) Except as provided in subparagraph
(B), this subpart, including subsection (a)(4), applies to
funds awarded to a local educational agency under part A of
title II only to the extent that the local educational agency
uses funds under that part to provide professional
development to teachers and others.
``(B) Subject to subparagraph (A), the share of the local
educational agency's subgrant under part A of title II that
is used for professional development and subject to a
determination of equitable expenditures under subsection
(a)(4) shall not be less than the aggregate share of that
agency's awards that were used for professional development
for fiscal year 2001 under section 2203(1)(B) (as such
section was in effect on the day preceding the date of
enactment of the No Child Left Behind Act of 2001) and
section 306 of the Department of Education Appropriations
Act, 2001.
``(c) Consultation.--
``(1) In general.--To ensure timely and meaningful
consultation, a State educational agency, local educational
agency, educational service agency, consortium of those
agencies, or entity shall consult with appropriate private
school officials during the design and development of the
programs under this Act, on issues such as--
``(A) how the children's needs will be identified;

[[Page H9916]]

``(B) what services will be offered;
``(C) how, where, and by whom the services will be
provided;
``(D) how the services will be assessed and how the results
of the assessment will be used to improve those services;
``(E) the size and scope of the equitable services to be
provided to the eligible private school children, teachers,
and other educational personnel and the amount of funds
available for those services; and
``(F) how and when the agency, consortium, or entity will
make decisions about the delivery of services, including a
thorough consideration and analysis of the views of the
private school officials on the provision of contract
services through potential third-party providers.
``(2) Disagreement.--If the agency, consortium, or entity
disagrees with the views of the private school officials on
the provision of services through a contract, the agency,
consortium, or entity shall provide to the private school
officials a written explanation of the reasons why the local
educational agency has chosen not to use a contractor.
``(3) Timing.--The consultation required by paragraph (1)
shall occur before the agency, consortium, or entity makes
any decision that affects the opportunities of eligible
private school children, teachers, and other educational
personnel to participate in programs under this Act, and
shall continue throughout the implementation and assessment
of activities under this section.
``(4) Discussion required.--The consultation required by
paragraph (1) shall include a discussion of service delivery
mechanisms that the agency, consortium, or entity could use
to provide equitable services to eligible private school
children, teachers, administrators, and other staff.
``(d) Public Control of Funds.--
``(1) In general.--The control of funds used to provide
services under this section, and title to materials,
equipment, and property purchased with those funds, shall be
in a public agency for the uses and purposes provided in this
Act, and a public agency shall administer the funds and
property.
``(2) Provision of services.--
``(A) In general.--The provision of services under this
section shall be provided--
``(i) by employees of a public agency; or
``(ii) through contract by the public agency with an
individual, association, agency, organization, or other
entity.
``(B) Independence; public agency.--In the provision of
those services, the employee, person, association, agency,
organization, or other entity shall be independent of the
private school and of any religious organization, and the
employment or contract shall be under the control and
supervision of the public agency.
``(C) Commingling of funds prohibited.--Funds used to
provide services under this section shall not be commingled
with non-Federal funds.

``SEC. 9502. STANDARDS FOR BY-PASS.

``(a) In General.--If, by reason of any provision of law, a
State educational agency, local educational agency,
educational service agency, consortium of those agencies, or
other entity is prohibited from providing for the
participation in programs of children enrolled in, or
teachers or other educational personnel from, private
elementary schools and secondary schools, on an equitable
basis, or if the Secretary determines that the agency,
consortium, or entity has substantially failed or is
unwilling to provide for that participation, as required by
section 9501, the Secretary shall--
``(1) waive the requirements of that section for the
agency, consortium, or entity; and
``(2) arrange for the provision of equitable services to
those children, teachers, or other educational personnel
through arrangements that shall be subject to the
requirements of this section and of sections 9501, 9503, and
9504.
``(b) Determination.--In making the determination under
subsection (a), the Secretary shall consider one or more
factors, including the quality, size, scope, and location of
the program, and the opportunity of private school children,
teachers, and other educational personnel to participate in
the program.

``SEC. 9503. COMPLAINT PROCESS FOR PARTICIPATION OF PRIVATE
SCHOOL CHILDREN.

``(a) Procedures for Complaints.--The Secretary shall
develop and implement written procedures for receiving,
investigating, and resolving complaints from parents,
teachers, or other individuals and organizations concerning
violations of section 9501 by a State educational agency,
local educational agency, educational service agency,
consortium of those agencies, or entity. The individual or
organization shall submit the complaint to the State
educational agency for a written resolution by the State
educational agency within a reasonable period of time.
``(b) Appeals to Secretary.--The resolution may be appealed
by an interested party to the Secretary not later than 30
days after the State educational agency resolves the
complaint or fails to resolve the complaint within a
reasonable period of time. The appeal shall be accompanied by
a copy of the State educational agency's resolution, and a
complete statement of the reasons supporting the appeal. The
Secretary shall investigate and resolve the appeal not later
than 120 days after receipt of the appeal.

``SEC. 9504. BY-PASS DETERMINATION PROCESS.

``(a) Review.--
``(1) In general.--
``(A) Written objections.--The Secretary shall not take any
final action under section 9502 until the State educational
agency, local educational agency, educational service agency,
consortium of those agencies, or entity affected by the
action has had an opportunity, for not less than 45 days
after receiving written notice thereof, to submit written
objections and to appear before the Secretary to show cause
why that action should not be taken.
``(B) Prior to reduction.--Pending final resolution of any
investigation or complaint that could result in a
determination under this section, the Secretary may withhold
from the allocation of the affected State educational agency
or local educational agency the amount estimated by the
Secretary to be necessary to pay the cost of those services.
``(2) Petition for review.--
``(A) Petition.--If the affected agency, consortium, or
entity is dissatisfied with the Secretary's final action
after a proceeding under paragraph (1), the agency,
consortium, or entity may, within 60 days after notice of
that action, file with the United States court of appeals for
the circuit in which the State is located a petition for
review of that action.
``(B) Transmission.--A copy of the petition shall be
forthwith transmitted by the clerk of the court to the
Secretary.
``(C) Filing.--The Secretary, upon receipt of the copy of
the petition, shall file in the court the record of the
proceedings on which the Secretary based the action, as
provided in section 2112 of title 28, United States Code.
``(3) Findings of fact.--
``(A) In general.--The findings of fact by the Secretary,
if supported by substantial evidence, shall be conclusive,
but the court, for good cause shown, may remand the case to
the Secretary to take further evidence and the Secretary may
then make new or modified findings of fact and may modify the
Secretary's previous action, and shall file in the court the
record of the further proceedings.
``(B) New or modified findings.--Any new or modified
findings of fact shall likewise be conclusive if supported by
substantial evidence.
``(4) Jurisdiction.--
``(A) In general.--Upon the filing of a petition, the court
shall have jurisdiction to affirm the action of the Secretary
or to set the action aside, in whole or in part.
``(B) Judgment.--The judgment of the court shall be subject
to review by the Supreme Court of the United States upon
certiorari or certification as provided in section 1254 of
title 28, United States Code.
``(b) Determination.--Any determination by the Secretary
under this section shall continue in effect until the
Secretary determines, in consultation with that agency,
consortium, or entity and representatives of the affected
private school children, teachers, or other educational
personnel, that there will no longer be any failure or
inability on the part of the agency, consortium, or entity to
meet the applicable requirements of section 9501 or any other
provision of this Act.
``(c) Payment From State Allotment.--When the Secretary
arranges for services pursuant to this section, the Secretary
shall, after consultation with the appropriate public and
private school officials, pay the cost of those services,
including the administrative costs of arranging for those
services, from the appropriate allocation or allocations
under this Act.
``(d) Prior Determination.--Any by-pass determination by
the Secretary under this Act as in effect on the day
preceding the date of enactment of the No Child Left Behind
Act of 2001 shall remain in effect to the extent the
Secretary determines that that determination is consistent
with the purpose of this section.

``SEC. 9505. PROHIBITION AGAINST FUNDS FOR RELIGIOUS WORSHIP
OR INSTRUCTION.

``Nothing contained in this Act shall be construed to
authorize the making of any payment under this Act for
religious worship or instruction.

``SEC. 9506. PRIVATE, RELIGIOUS, AND HOME SCHOOLS.

``(a) Applicability to Nonrecipient Private Schools.--
Nothing in this Act shall be construed to affect any private
school that does not receive funds or services under this
Act, nor shall any student who attends a private school that
does not receive funds or services under this Act be required
to participate in any assessment referenced in this Act.
``(b) Applicability to Home Schools.--Nothing in this Act
shall be construed to affect a home school, whether or not a
home school is treated as a home school or a private school
under State law, nor shall any student schooled at home be
required to participate in any assessment referenced in this
Act.
``(c) Rule of Construction on Prohibition of Federal
Control Over Nonpublic Schools.--Nothing in this Act shall be
construed to permit, allow, encourage, or authorize any
Federal control over any aspect of any private, religious, or
home school, whether or not a home school is treated as a
private school or home school under State law. This section
shall not be construed to bar private, religious, or home
schools from participation in programs or services under this
Act.
``(d) Rule of Construction on State and Local Educational
Agency Mandates.--Nothing in this Act shall be construed to
require any State educational agency or local educational
agency that receives funds under this Act to mandate, direct,
or control the curriculum of a private or home school,
regardless or whether or not a home school is treated as a
private school under state law, nor shall any funds under
this Act be used for this purpose.

``Subpart 2--Other Provisions

``SEC. 9521. MAINTENANCE OF EFFORT.

``(a) In General.--A local educational agency may receive
funds under a covered program for any fiscal year only if the
State educational agency finds that either the combined
fiscal effort per student or the aggregate expenditures of
the agency and the State with respect to the provision of
free public education by the agency

[[Page H9917]]

for the preceding fiscal year was not less than 90 percent of
the combined fiscal effort or aggregate expenditures for the
second preceding fiscal year.
``(b) Reduction in Case of Failure To Meet.--
``(1) In general.--The State educational agency shall
reduce the amount of the allocation of funds under a covered
program in any fiscal year in the exact proportion by which a
local educational agency fails to meet the requirement of
subsection (a) of this section by falling below 90 percent of
both the combined fiscal effort per student and aggregate
expenditures (using the measure most favorable to the local
agency).
``(2) Special rule.--No such lesser amount shall be used
for computing the effort required under subsection (a) of
this section for subsequent years.
``(c) Waiver.--The Secretary may waive the requirements of
this section if the Secretary determines that a waiver would
be equitable due to--
``(1) exceptional or uncontrollable circumstances, such as
a natural disaster; or
``(2) a precipitous decline in the financial resources of
the local educational agency.

``SEC. 9522. PROHIBITION REGARDING STATE AID.

``A State shall not take into consideration payments under
this Act (other than under title VIII) in determining the
eligibility of any local educational agency in that State for
State aid, or the amount of State aid, with respect to free
public education of children.

``SEC. 9523. PRIVACY OF ASSESSMENT RESULTS.

``Any results from an individual assessment referred to in
this Act of a student that become part of the education
records of the student shall have the protections provided in
section 444 of the General Education Provisions Act.

``SEC. 9524. SCHOOL PRAYER.

``(a) Guidance.--The Secretary shall provide and revise
guidance, not later than September 1, 2002, and of every
second year thereafter, to State educational agencies, local
educational agencies, and the public on constitutionally
protected prayer in public elementary schools and secondary
schools, including making the guidance available on the
Internet. The guidance shall be reviewed, prior to
distribution, by the Office of Legal Counsel of the
Department of Justice for verification that the guidance
represents the current state of the law concerning
constitutionally protected prayer in public elementary
schools and secondary schools.
``(b) Certification.--As a condition of receiving funds
under this Act, a local educational agency shall certify in
writing to the State educational agency involved that no
policy of the local educational agency prevents, or otherwise
denies participation in, constitutionally protected prayer in
public elementary schools and secondary schools, as detailed
in the guidance required under subsection (a). The
certification shall be provided by October 1 of each year.
The State educational agency shall report to the Secretary by
November 1 of each year a list of those local educational
agencies that have not filed the certification or against
which complaints have been made to the State educational
agency that the local educational agencies are not in
compliance with this section.
``(c) Enforcement.--The Secretary is authorized and
directed to effectuate subsection (b) by issuing, and
securing compliance with, rules or orders with respect to a
local educational agency that fails to certify, or is found
to have certified in bad faith, that no policy of the local
educational agency prevents, or otherwise denies
participation in, constitutionally protected prayer in public
elementary schools and secondary schools.

``SEC. 9525. EQUAL ACCESS TO PUBLIC SCHOOL FACILITIES.

``(a) Short Title.--This section may be cited as the `Boy
Scouts of America Equal Access Act'.
``(b) In General.--
``(1) Equal access.--Notwithstanding any other provision of
law, no public elementary school, public secondary school,
local educational agency, or State educational agency that
has a designated open forum or a limited public forum and
that receives funds made available through the Department
shall deny equal access or a fair opportunity to meet to, or
discriminate against, any group officially affiliated with
the Boy Scouts of America, or any other youth group listed in
title 36 of the United States Code (as a patriotic society),
that wishes to conduct a meeting within that designated open
forum or limited public forum, including denying such access
or opportunity or discriminating for reasons based on the
membership or leadership criteria or oath of allegiance to
God and country of the Boy Scouts of America or of the youth
group listed in title 36 of the United States Code (as a
patriotic society).
``(2) Voluntary sponsorship.--Nothing in this section shall
be construed to require any school, agency, or a school
served by an agency to sponsor any group officially
affiliated with the Boy Scouts of America, or any other youth
group listed in title 36 of the United States Code (as a
patriotic society).
``(c) Termination of Assistance and Other Action.--
``(1) Departmental action.--The Secretary is authorized and
directed to effectuate subsection (b) by issuing and securing
compliance with rules or orders with respect to a public
elementary school, public secondary school, local educational
agency, or State educational agency that receives funds made
available through the Department and that denies equal
access, or a fair opportunity to meet, or discriminates, as
described in subsection (b).
``(2) Procedure.--The Secretary shall issue and secure
compliance with the rules or orders, under paragraph (1),
through the Office for Civil Rights and in a manner
consistent with the procedure used by a Federal department or
agency under section 602 of the Civil Rights Act of 1964. If
the public school or agency does not comply with the rules or
orders, then notwithstanding any other provision of law, no
funds made available through the Department shall be provided
to a school that fails to comply with such rules or orders or
to any agency or school served by an agency that fails to
comply with such rules or orders.
``(3) Judicial review.--Any action taken by the Secretary
under paragraph (1) shall be subject to the judicial review
described in section 603 of the Civil Rights Act of 1964. Any
person aggrieved by the action may obtain that judicial
review in the manner, and to the extent, provided in section
603 of such Act.
``(d) Definition and Rule.--
``(1) Definition.--In this section, the term `youth group'
means any group or organization intended to serve young
people under the age of 21.
``(2) Rule.--For the purpose of this section, an elementary
school or secondary school has a limited public forum
whenever the school involved grants an offering to, or
opportunity for, one or more outside youth or community
groups to meet on school premises or in school facilities
before or after the hours during which attendance at the
school is compulsory.

``SEC. 9526. GENERAL PROHIBITIONS.

``(a) Prohibition.--None of the funds authorized under this
Act shall be used--
``(1) to develop or distribute materials, or operate
programs or courses of instruction directed at youth, that
are designed to promote or encourage sexual activity, whether
homosexual or heterosexual;
``(2) to distribute or to aid in the distribution by any
organization of legally obscene materials to minors on school
grounds;
``(3) to provide sex education or HIV-prevention education
in schools unless that instruction is age appropriate and
includes the health benefits of abstinence; or
``(4) to operate a program of contraceptive distribution in
schools.
``(b) Local Control.--Nothing in this section shall be
construed to--
``(1) authorize an officer or employee of the Federal
Government to mandate, direct, review, or control a State,
local educational agency, or school's instructional content,
curriculum, and related activities;
``(2) limit the application of the General Education
Provisions Act;
``(3) require the distribution of scientifically or
medically false or inaccurate materials or to prohibit the
distribution of scientifically or medically true or accurate
materials; or
``(4) create any legally enforceable right.

``SEC. 9527. PROHIBITIONS ON FEDERAL GOVERNMENT AND USE OF
FEDERAL FUNDS.

``(a) General Prohibition.--Nothing in this Act shall be
construed to authorize an officer or employee of the Federal
Government to mandate, direct, or control a State, local
educational agency, or school's curriculum, program of
instruction, or allocation of State or local resources, or
mandate a State or any subdivision thereof to spend any funds
or incur any costs not paid for under this Act.
``(b) Prohibition on Endorsement of Curriculum.--
Notwithstanding any other prohibition of Federal law, no
funds provided to the Department under this Act may be used
by the Department to endorse, approve, or sanction any
curriculum designed to be used in an elementary school or
secondary school.
``(c) Prohibition on Requiring Federal Approval or
Certification of Standards.--
``(1) In general.--Notwithstanding any other provision of
Federal law, no State shall be required to have academic
content or student academic achievement standards approved or
certified by the Federal Government, in order to receive
assistance under this Act.
``(2) Rule of construction.--Nothing in this subsection
shall be construed to affect requirements under title I or
part A of title VI.
``(d) Rule of Construction on Building Standards.--Nothing
in this Act shall be construed to mandate national school
building standards for a State, local educational agency, or
school.

``SEC. 9528. ARMED FORCES RECRUITER ACCESS TO STUDENTS AND
STUDENT RECRUITING INFORMATION.

``(a) Policy.--
``(1) Access to student recruiting information.--
Notwithstanding section 444(a)(5)(B) of the General Education
Provisions Act and except as provided in paragraph (2), each
local educational agency receiving assistance under this Act
shall provide, on a request made by military recruiters or an
institution of higher education, access to secondary school
students names, addresses, and telephone listings.
``(2) Consent.--A secondary school student or the parent of
the student may request that the student's name, address, and
telephone listing described in paragraph (1) not be released
without prior written parental consent, and the local
educational agency or private school shall notify parents of
the option to make a request and shall comply with any
request.
``(3) Same access to students.--Each local educational
agency receiving assistance under this Act shall provide
military recruiters the same access to secondary school
students as is provided generally to post secondary
educational institutions or to prospective employers of those
students.
``(b) Notification.--The Secretary, in consultation with
the Secretary of Defense, shall, not later than 120 days
after the date of enactment of the No Child Left Behind Act
of 2001, notify principals, school administrators, and other
educators about the requirements of this section.
``(c) Exception.--The requirements of this section do not
apply to a private secondary

[[Page H9918]]

school that maintains a religious objection to service in the
Armed Forces if the objection is verifiable through the
corporate or other organizational documents or materials of
that school.
``(d) Special Rule.--A local educational agency prohibited
by Connecticut State law (either explicitly by statute or
through statutory interpretation by the State Supreme Court
or State Attorney General) from providing military recruiters
with information or access as required by this section shall
have until May 31, 2002, to comply with that requirement.

``SEC. 9529. PROHIBITION ON FEDERALLY SPONSORED TESTING.

``(a) General Prohibition.--Notwithstanding any other
provision of Federal law and except as provided in subsection
(b), no funds provided under this Act to the Secretary or to
the recipient of any award may be used to develop, pilot
test, field test, implement, administer, or distribute any
federally sponsored national test in reading, mathematics, or
any other subject, unless specifically and explicitly
authorized by law.
``(b) Exceptions.--Subsection (a) shall not apply to
international comparative assessments developed under the
authority of section 404(a)(6) of the National Education
Statistics Act of 1994 and administered to only a
representative sample of pupils in the United States and in
foreign nations.

``SEC. 9530. LIMITATIONS ON NATIONAL TESTING OR CERTIFICATION
FOR TEACHERS.

``(a) Mandatory National Testing or Certification of
Teachers.--Notwithstanding any other provision of this Act or
any other provision of law, no funds available to the
Department or otherwise available under this Act may be used
for any purpose relating to a mandatory nationwide test or
certification of teachers or education paraprofessionals,
including any planning, development, implementation, or
administration of such test or certification.
``(b) Prohibition on Withholding Funds.--The Secretary is
prohibited from withholding funds from any State educational
agency or local educational agency if the State educational
agency or local educational agency fails to adopt a specific
method of teacher or paraprofessional certification.

``SEC. 9531. PROHIBITION ON NATIONWIDE DATABASE.

``Nothing in this Act (other than section 1308(b)) shall be
construed to authorize the development of a nationwide
database of personally identifiable information on
individuals involved in studies or other collections of data
under this Act.

``SEC. 9532. UNSAFE SCHOOL CHOICE OPTION.

``(a) Unsafe School Choice Policy.--Each State receiving
funds under this Act shall establish and implement a
statewide policy requiring that a student attending a
persistently dangerous public elementary school or secondary
school, as determined by the State in consultation with a
representative sample of local educational agencies, or who
becomes a victim of a violent criminal offense, as determined
by State law, while in or on the grounds of a public
elementary school or secondary school that the student
attends, be allowed to attend a safe public elementary or
secondary school within the local educational agency,
including a public charter school.
``(b) Certification.--As a condition of receiving funds
under this Act, a State shall certify in writing to the
Secretary that the State is in compliance with this section.

``SEC. 9533. PROHIBITION ON DISCRIMINATION.

``Nothing in this Act shall be construed to require,
authorize, or permit, the Secretary, or a State educational
agency, local educational agency, or school to grant to a
student, or deny or impose upon a student, any financial or
educational benefit or burden, in violation of the fifth or
14th amendments to the Constitution or other law relating to
discrimination in the provision of federally funded programs
or activities.

``SEC. 9534. CIVIL RIGHTS.

``(a) In General.--Nothing in this Act shall be construed
to permit discrimination on the basis of race, color,
religion, sex (except as otherwise permitted under title IX
of the Education Amendments of 1972), national origin, or
disability in any program funded under this Act.
``(b) Rule of Construction.--Nothing in this Act shall be
construed to require the disruption of services to a child or
the displacement of a child enrolled in or participating in a
program administered by an eligible entity, as defined in
section 1116 of title I and part B of title V, at the
commencement of the entity's participation in a grant under
section 1116 of title I or part B of title V.

``SEC. 9535. RULEMAKING.

``The Secretary shall issue regulations under this Act only
to the extent that such regulations are necessary to ensure
that there is compliance with the specific requirements and
assurances required by this Act.

``SEC. 9536. SEVERABILITY.

``If any provision of this Act is held invalid, the
remainder of this Act shall be unaffected thereby.

``PART F--EVALUATIONS

``SEC. 9601. EVALUATIONS.

``(a) Reservation of Funds.--Except as provided in
subsections (b) and (c), the Secretary may reserve not more
than 0.5 percent of the amount appropriated to carry out each
categorical program and demonstration project authorized
under this Act--
``(1) to conduct--
``(A) comprehensive evaluations of the program or project;
and
``(B) studies of the effectiveness of the program or
project and its administrative impact on schools and local
educational agencies;
``(2) to evaluate the aggregate short- and long-term
effects and cost efficiencies across Federal programs
assisted or authorized under this Act and related Federal
preschool, elementary, and secondary programs under any other
Federal law; and
``(3) to increase the usefulness of evaluations of grant
recipients in order to ensure the continuous progress of the
program or project by improving the quality, timeliness,
efficiency, and use of information relating to performance
under the program or project.
``(b) Titles I and III Excluded.--The Secretary may not
reserve under subsection (a) funds appropriated to carry out
any program authorized under title I or title III.
``(c) Evaluation Activities Authorized Elsewhere.--If,
under any other provision of this Act (other than title I),
funds are authorized to be reserved or used for evaluation
activities with respect to a program or project, the
Secretary may not reserve additional funds under this section
for the evaluation of that program or project.
TITLE X--REPEALS, REDESIGNATIONS, AND AMENDMENTS TO OTHER STATUTES

PART A--REPEALS

SEC. 1011. REPEALS.

The following provisions of law are repealed:
(1) Part G of title XV of the Higher Education Amendments
of 1992 (20 U.S.C. 1070a-11 note), relating to the Advanced
Placement fee payment program.
(2) Part B of title VIII of the Higher Education Amendments
of 1998 (20 U.S.C. 1070a-11 note), relating to the Advanced
Placement incentive program.
(3) Part F of the General Education Provisions Act (20
U.S.C. 1235 et seq.), relating to Ready to Learn Television.
(4) The following provisions of the Goals 2000: Educate
America Act (20 U.S.C. 5801 et seq.):
(A) Parts A and C of title II (20 U.S.C. 5821 et seq.,
5871), relating to the National Education Goals Panel.
(B) Title VI (20 U.S.C. 5951), relating to the
International Education Program.
(5) The following provisions of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 6301 et seq.):
(A) Titles X through XII (20 U.S.C. 8001 et seq.).
(B) Sections 13001 and 13002 (20 U.S.C. 8601, 8602).
(C) Title XIV (20 U.S.C. 8801 et seq.).
(6) The Troops-to-Teachers Program Act of 1999 (20 U.S.C.
9301 et seq.).

SEC. 1012. CONFORMING CLERICAL AND TECHNICAL AMENDMENTS.

The table of contents in section 1(b) of the Goals 2000:
Educate America Act (20 U.S.C. 5801 note) is amended by
striking the items relating to the following provisions:
(1) Parts A and C of title II (including the items relating
to sections within those parts).
(2) Sections 231, 232, 234, and 235.
(3) Titles III through VI (including the items relating to
sections within those titles).

PART B--REDESIGNATIONS

SEC. 1021. COMPREHENSIVE REGIONAL ASSISTANCE CENTERS.

(a) In General.--Part A of title XIII of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 8621 et seq.) is
transferred to and redesignated as part K of the Educational
Research, Development, Dissemination, and Improvement Act of
1994.
(b) Sections.--Sections 13101 through 13105 of such part
are redesignated as sections 1001 through 1005, respectively.
(c) Defined Terms.--Part K of the Educational Research,
Development, Dissemination, and Improvement Act of 1994 (as
transferred and redesignated by this section) is amended by
adding at the end the following new section:

``SEC. 1006. DEFINED TERMS.

``In this part, the definitions of terms defined in section
9101 of the Elementary and Secondary Education Act of 1965
shall apply.''.

SEC. 1022. NATIONAL DIFFUSION NETWORK.

(a) In General.--Part B of title XIII of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 8651 et seq.) is
transferred to and redesignated as part L of the Educational
Research, Development, Dissemination, and Improvement Act of
1994.
(b) Sections.--Sections 13201 and 13102 of such part are
redesignated as sections 1011 and 1012, respectively.
(c) Defined Terms.--Part L of the Educational Research,
Development, Dissemination, and Improvement Act of 1994 (as
transferred and redesignated by this section) is amended by
adding at the end the following new section:

``SEC. 1013. DEFINED TERMS.

``In this part, the definitions of terms defined in section
9101 of the Elementary and Secondary Education Act of 1965
shall apply.''.

SEC. 1023. EISENHOWER REGIONAL MATHEMATICS AND SCIENCE
EDUCATION CONSORTIA.

(a) In General.--Part C of title XIII of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 8671 et seq.) is
transferred to and redesignated as part M of the Educational
Research, Development, Dissemination, and Improvement Act of
1994.
(b) Sections.--Sections 13301 through 13108 of such part
are redesignated as sections 1021 through 1028, respectively.
(c) Defined Terms.--Part M of the Educational Research,
Development, Dissemination, and Improvement Act of 1994 (as
transferred and redesignated by this section) is amended by
adding at the end the following new section:

``SEC. 1029. DEFINED TERMS.

``In this part, the definitions of terms defined in section
9101 of the Elementary and Secondary Education Act of 1965
shall apply.''.

SEC. 1024. TECHNOLOGY-BASED TECHNICAL ASSISTANCE.

(a) In General.--Part D of title XIII of the Elementary and
Secondary Education Act of

[[Page H9919]]

1965 (20 U.S.C. 8701) is transferred to and redesignated as
part N of the Educational Research, Development,
Dissemination, and Improvement Act of 1994.
(b) Sections.--Section 13401 of such part is redesignated
as section 1031.
(c) Defined Terms.--Part N of the Educational Research,
Development, Dissemination, and Improvement Act of 1994 (as
transferred and redesignated by this section) is amended by
adding at the end the following new section:

``SEC. 1032. DEFINED TERMS.

``In this part, the definitions of terms defined in section
9101 of the Elementary and Secondary Education Act of 1965
shall apply.''.

SEC. 1025. CONFORMING AMENDMENTS.

(a) Parts K Through M.--Parts K through M of the
Educational Research, Development, Dissemination, and
Improvement Act of 1994 (as transferred and redesignated by
sections 1021 through 1024 of this Act) are amended as
follows:
(1) Insert ``of such Act'' in--
(A) section 1002(a)(1)(A), after ``title I''; and
(B) section 1002(a)(1)(B), after ``section 1114''.
(2) Insert ``of the Elementary and Secondary Education Act
of 1965 (as such Act was in effect on the day before the date
of enactment of the No Child Left Behind Act of 2001)'' in--
(A) sections 1001(a)(2)(A) and 1011(e)(1), after ``title
I'';
(B) sections 1002(b)(1) and section 1011(g)(3)(A), after
``section 1114''; and
(C) in section 1011(e)(3), after ``title III''.
(3) In section 1011(a)(1), strike ``(hereafter referred to
in this Act as `NDN')''.
(4) In subsections (c) and (g)(1) of section 1011 and in
section 1027(1)(E), strike ``of the Educational Research,
Development, Dissemination, and Improvement Act of 1994''.
(5) In subsections (a)(2)(A) and (d) of section 1011,
strike ``part A'' and insert ``part K''.
(6) In sections 1002(a)(4) and 1011(e)(3), strike ``part
C'' and insert ``part M''.
(7) In section 1002(a), strike ``section 13101(a)'' and
insert ``section 1001(a)''.
(8) In section 1003(b)(1), strike ``section 13102'' and
insert ``section 1002''.
(9) In section 1004(b)(1), strike ``section 13105'' and
insert ``section 1005''.
(10) In sections 1002(a)(7) and 1003(b)(2), strike
``section 13201'' and insert ``section 1011''.
(11) In section 1022(2) and (3), strike ``section
13301(a)(1)'' and insert ``section 1021(a)(1)''.
(12) In section 1027(4), strike ``section 13301'' and
insert ``section 1021''.
(13) In subsections (a) and (b) of section 1025, strike
``section 13303'' and insert ``section 1023''.
(14) In the text preceding paragraph (1) of section 1022,
strike ``section 13304'' and insert ``section 1024''.
(15) In section 1021(a)(3), strike ``section 13308'' and
insert ``section 1028''.
(16) In sections 1003(b)(2) and 1011(f)(4), strike
``section 13401'' and insert ``section 1031''.
(17) Strike ``this Act'' and insert ``the Elementary and
Secondary Education Act of 1965 (as such Act was in effect on
the day before the date of enactment of the No Child Left
Behind Act of 2001)'' in--
(A) section 1001(a)(1) (the first occurrence only);
(B) paragraphs (1) through (3) of section 1001(c);
(C) paragraphs (1), (2), (6), and (8) of section 1002(a);
(D) section 1011(e); and
(E) section 1031(2).
(18) In paragraphs (1) and (2) of section 1004(b), strike
``this Act'' and insert ``the Elementary and Secondary
Education Act of 1965''.
(19) In section 1001(a)(1) (the second occurrence only) and
in section 1002(a)(1)(C), strike ``this Act'' and insert
``such Act''.
(20) Section 1011 is amended--
(A) in subsection (a)(1), by striking ``In order to
implement the purposes of this title, the'' and inserting
``The''; and
(B) in subsection (f)(5), by striking ``to achieve the
purposes of this title''.
(21) In section 1022(1), strike ``, the Eisenhower National
Clearinghouse for Science and Mathematics Education
established under section 2102(b)''.
(22) In section 1026(a), strike ``section 14701'' and
insert ``section 9601''.
(b) Title XIII Heading.--The Elementary and Secondary
Education Act of 1965 is amended by striking the heading of
title XIII.

PART C--HOMELESS EDUCATION

SEC. 1031. SHORT TITLE.

This part may be cited as the ``McKinney-Vento Homeless
Education Assistance Improvements Act of 2001''.

SEC. 1032. EDUCATION FOR HOMELESS CHILDREN AND YOUTHS.

Subtitle B of title VII of the McKinney-Vento Homeless
Assistance Act (42 U.S.C. 11431 et seq.) is amended to read
as follows:
``Subtitle B--Education for Homeless Children and Youths

``SEC. 721. STATEMENT OF POLICY.

``The following is the policy of the Congress:
``(1) Each State educational agency shall ensure that each
child of a homeless individual and each homeless youth has
equal access to the same free, appropriate public education,
including a public preschool education, as provided to other
children and youths.
``(2) In any State that has a compulsory residency
requirement as a component of the State's compulsory school
attendance laws or other laws, regulations, practices, or
policies that may act as a barrier to the enrollment,
attendance, or success in school of homeless children and
youths, the State will review and undertake steps to revise
such laws, regulations, practices, or policies to ensure that
homeless children and youths are afforded the same free,
appropriate public education as provided to other children
and youths.
``(3) Homelessness alone is not sufficient reason to
separate students from the mainstream school environment.
``(4) Homeless children and youths should have access to
the education and other services that such children and
youths need to ensure that such children and youths have an
opportunity to meet the same challenging State student
academic achievement standards to which all students are
held.

``SEC. 722. GRANTS FOR STATE AND LOCAL ACTIVITIES FOR THE
EDUCATION OF HOMELESS CHILDREN AND YOUTHS.

``(a) General Authority.--The Secretary is authorized to
make grants to States in accordance with the provisions of
this section to enable such States to carry out the
activities described in subsections (d) through (g).
``(b) Application.--No State may receive a grant under this
section unless the State educational agency submits an
application to the Secretary at such time, in such manner,
and containing or accompanied by such information as the
Secretary may reasonably require.
``(c) Allocation and Reservations.--
``(1) Allocation.--(A) Subject to subparagraph (B), the
Secretary is authorized to allot to each State an amount that
bears the same ratio to the amount appropriated for such year
under section 726 that remains after the Secretary reserves
funds under paragraph (2) and uses funds to carry out section
724(d) and (h), as the amount allocated under section 1122 of
the Elementary and Secondary Education Act of 1965 to the
State for that year bears to the total amount allocated under
section 1122 of such Act to all States for that year, except
that no State shall receive less than the greater of--
``(i) $150,000;
``(ii) \1/4\ of 1 percent of the amount appropriated under
section 726 for that year; or
``(iii) the amount such State received under this section
for fiscal year 2001.
``(B) If there are insufficient funds in a fiscal year to
allot to each State the minimum amount under subparagraph
(A), the Secretary shall ratably reduce the allotments to all
States based on the proportionate share that each State
received under this subsection for the preceding fiscal year.
``(2) Reservations.--(A) The Secretary is authorized to
reserve 0.1 percent of the amount appropriated for each
fiscal year under section 726 to be allocated by the
Secretary among the United States Virgin Islands, Guam,
American Samoa, and the Commonwealth of the Northern Mariana
Islands, according to their respective need for assistance
under this subtitle, as determined by the Secretary.
``(B)(i) The Secretary shall transfer 1 percent of the
amount appropriated for each fiscal year under section 726 to
the Department of the Interior for programs for Indian
students served by schools funded by the Secretary of the
Interior, as determined under the Indian Self-Determination
and Education Assistance Act (25 U.S.C. 450 et seq.), that
are consistent with the purposes of the programs described in
this subtitle.
``(ii) The Secretary and the Secretary of the Interior
shall enter into an agreement, consistent with the
requirements of this subtitle, for the distribution and use
of the funds described in clause (i) under terms that the
Secretary determines best meet the purposes of the programs
described in this subtitle. Such agreement shall set forth
the plans of the Secretary of the Interior for the use of the
amounts transferred, including appropriate goals, objectives,
and milestones.
``(3) State defined.--For purposes of this subsection, the
term `State' does not include the United States Virgin
Islands, Guam, American Samoa, or the Commonwealth of the
Northern Mariana Islands.
``(d) Activities.--Grants under this section shall be used
for the following:
``(1) To carry out the policies set forth in section 721 in
the State.
``(2) To provide activities for, and services to, homeless
children, including preschool-aged homeless children, and
youths that enable such children and youths to enroll in,
attend, and succeed in school, or, if appropriate, in
preschool programs.
``(3) To establish or designate an Office of Coordinator
for Education of Homeless Children and Youths in the State
educational agency in accordance with subsection (f).
``(4) To prepare and carry out the State plan described in
subsection (g).
``(5) To develop and implement professional development
programs for school personnel to heighten their awareness of,
and capacity to respond to, specific problems in the
education of homeless children and youths.
``(e) State and Local Subgrants.--
``(1) Minimum disbursements by states.--From the sums made
available each year to carry out this subtitle, the State
educational agency shall distribute not less than 75 percent
in subgrants to local educational agencies for the purposes
of carrying out section 723, except that States funded at the
minimum level set forth in subsection (c)(1) shall distribute
not less than 50 percent in subgrants to local educational
agencies for the purposes of carrying out section 723.
``(2) Use by state educational agency.--A State educational
agency may use funds made available for State use under this
subtitle to conduct activities under subsection (f) directly
or through grants or contracts.
``(3) Prohibition on segregating homeless students.--
``(A) In general.--Except as provided in subparagraph (B)
and section 723(a)(2)(B)(ii), in providing a free public
education to a homeless child or youth, no State receiving
funds under this subtitle shall segregate such child or youth
in a separate school, or in a separate program within a
school, based on such child's or youth's status as homeless.

[[Page H9920]]

``(B) Exception.--Notwithstanding subparagraph (A),
paragraphs (1)(J)(i) and (3) of subsection (g), section
723(a)(2), and any other provision of this subtitle relating
to the placement of homeless children or youths in schools, a
State that has a separate school for homeless children or
youths that was operated in fiscal year 2000 in a covered
county shall be eligible to receive funds under this subtitle
for programs carried out in such school if--
``(i) the school meets the requirements of subparagraph
(C);
``(ii) any local educational agency serving a school that
the homeless children and youths enrolled in the separate
school are eligible to attend meets the requirements of
subparagraph (E); and
``(iii) the State is otherwise eligible to receive funds
under this subtitle.
``(C) School requirements.--For the State to be eligible
under subparagraph (B) to receive funds under this subtitle,
the school described in such subparagraph shall--
``(i) provide written notice, at the time any child or
youth seeks enrollment in such school, and at least twice
annually while the child or youth is enrolled in such
school, to the parent or guardian of the child or youth
(or, in the case of an unaccompanied youth, the youth)
that--

``(I) shall be signed by the parent or guardian (or, in the
case of an unaccompanied youth, the youth);
``(II) sets forth the general rights provided under this
subtitle;
``(III) specifically states--

``(aa) the choice of schools homeless children and youths
are eligible to attend, as provided in subsection (g)(3)(A);
``(bb) that no homeless child or youth is required to
attend a separate school for homeless children or youths;
``(cc) that homeless children and youths shall be provided
comparable services described in subsection (g)(4), including
transportation services, educational services, and meals
through school meals programs; and
``(dd) that homeless children and youths should not be
stigmatized by school personnel; and

``(IV) provides contact information for the local liaison
for homeless children and youths and the State Coordinator
for Education of Homeless Children and Youths;

``(ii)(I) provide assistance to the parent or guardian of
each homeless child or youth (or, in the case of an
unaccompanied youth, the youth) to exercise the right to
attend the parent's or guardian's (or youth's) choice of
schools, as provided in subsection (g)(3)(A); and
``(II) coordinate with the local educational agency with
jurisdiction for the school selected by the parent or
guardian (or youth), to provide transportation and other
necessary services;
``(iii) ensure that the parent or guardian (or, in the case
of an unaccompanied youth, the youth) shall receive the
information required by this subparagraph in a manner and
form understandable to such parent or guardian (or youth),
including, if necessary and to the extent feasible, in the
native language of such parent or guardian (or youth); and
``(iv) demonstrate in the school's application for funds
under this subtitle that such school--

``(I) is complying with clauses (i) and (ii); and
``(II) is meeting (as of the date of submission of the
application) the same Federal and State standards,
regulations, and mandates as other public schools in the
State (such as complying with sections 1111 and 1116 of the
Elementary and Secondary Education Act of 1965 and providing
a full range of education and related services, including
services applicable to students with disabilities).

``(D) School ineligibility.--A separate school described in
subparagraph (B) that fails to meet the standards,
regulations, and mandates described in subparagraph
(C)(iv)(II) shall not be eligible to receive funds under this
subtitle for programs carried out in such school after the
first date of such failure.
``(E) Local educational agency requirements.--For the State
to be eligible to receive the funds described in subparagraph
(B), the local educational agency described in subparagraph
(B)(ii) shall--
``(i) implement a coordinated system for ensuring that
homeless children and youths--

``(I) are advised of the choice of schools provided in
subsection (g)(3)(A);
``(II) are immediately enrolled, in accordance with
subsection (g)(3)(C), in the school selected under subsection
(g)(3)(A); and
``(III) are promptly provided necessary services described
in subsection (g)(4), including transportation, to allow
homeless children and youths to exercise their choices of
schools under subsection (g)(3)(A);

``(ii) document that written notice has been provided--

``(I) in accordance with subparagraph (C)(i) for each child
or youth enrolled in a separate school under subparagraph
(B); and
``(II) in accordance with subsection (g)(6)(A)(v);

``(iii) prohibit schools within the agency's jurisdiction
from referring homeless children or youths to, or requiring
homeless children and youths to enroll in or attend, a
separate school described in subparagraph (B);
``(iv) identify and remove any barriers that exist in
schools within the agency's jurisdiction that may have
contributed to the creation or existence of separate schools
described in subparagraph (B); and
``(v) not use funds received under this subtitle to
establish--

``(I) new or additional separate schools for homeless
children or youths; or
``(II) new or additional sites for separate schools for
homeless children or youths, other than the sites occupied by
the schools described in subparagraph (B) in fiscal year
2000.

``(F) Report.--
``(i) Preparation.--The Secretary shall prepare a report on
the separate schools and local educational agencies described
in subparagraph (B) that receive funds under this subtitle in
accordance with this paragraph. The report shall contain, at
a minimum, information on--

``(I) compliance with all requirements of this paragraph;
``(II) barriers to school access in the school districts
served by the local educational agencies; and
``(III) the progress the separate schools are making in
integrating homeless children and youths into the mainstream
school environment, including the average length of student
enrollment in such schools.

``(ii) Compliance with information requests.--For purposes
of enabling the Secretary to prepare the report, the separate
schools and local educational agencies shall cooperate with
the Secretary and the State Coordinator for Education of
Homeless Children and Youths established in the State under
subsection (d)(3), and shall comply with any requests for
information by the Secretary and State Coordinator for such
State.
``(iii) Submission.--Not later than 2 years after the date
of enactment of the McKinney-Vento Homeless Education
Assistance Improvements Act of 2001, the Secretary shall
submit the report described in clause (i) to--

``(I) the President;

``(II) the Committee on Education and the Workforce of the
House of Representatives; and
``(III) the Committee on Health, Education, Labor, and
Pensions of the Senate.

``(G) Definition.--For purposes of this paragraph, the term
`covered county' means--
``(i) San Joaquin County, California;
``(ii) Orange County, California;
``(iii) San Diego County, California; and
``(iv) Maricopa County, Arizona.
``(f) Functions of the Office of Coordinator.--The
Coordinator for Education of Homeless Children and Youths
established in each State shall--
``(1) gather reliable, valid, and comprehensive information
on the nature and extent of the problems homeless children
and youths have in gaining access to public preschool
programs and to public elementary schools and secondary
schools, the difficulties in identifying the special needs of
such children and youths, any progress made by the State
educational agency and local educational agencies in the
State in addressing such problems and difficulties, and the
success of the programs under this subtitle in allowing
homeless children and youths to enroll in, attend, and
succeed in, school;
``(2) develop and carry out the State plan described in
subsection (g);
``(3) collect and transmit to the Secretary, at such time
and in such manner as the Secretary may require, a report
containing such information as the Secretary determines is
necessary to assess the educational needs of homeless
children and youths within the State;
``(4) facilitate coordination between the State educational
agency, the State social services agency, and other agencies
(including agencies providing mental health services) to
provide services to homeless children, including preschool-
aged homeless children, and youths, and to families of such
children and youths;
``(5) in order to improve the provision of comprehensive
education and related services to homeless children and
youths and their families, coordinate and collaborate with--
``(A) educators, including child development and preschool
program personnel;
``(B) providers of services to homeless and runaway
children and youths and homeless families (including domestic
violence agencies, shelter operators, transitional housing
facilities, runaway and homeless youth centers, and
transitional living programs for homeless youths);
``(C) local educational agency liaisons designated under
subsection (g)(1)(J)(ii) for homeless children and youths;
and
``(D) community organizations and groups representing
homeless children and youths and their families; and
``(6) provide technical assistance to local educational
agencies in coordination with local educational agency
liaisons designated under subsection (g)(1)(J)(ii), to ensure
that local educational agencies comply with the requirements
of section 722(e)(3) and paragraphs (3) through (7) of
subsection (g).
``(g) State Plan.--
``(1) In general.--Each State shall submit to the Secretary
a plan to provide for the education of homeless children and
youths within the State. Such plan shall include the
following:
``(A) A description of how such children and youths are (or
will be) given the opportunity to meet the same challenging
State academic achievement standards all students are
expected to meet.
``(B) A description of the procedures the State educational
agency will use to identify such children and youths in the
State and to assess their special needs.
``(C) A description of procedures for the prompt resolution
of disputes regarding the educational placement of homeless
children and youths.
``(D) A description of programs for school personnel
(including principals, attendance officers, teachers,
enrollment personnel, and pupil services personnel) to
heighten the awareness of such personnel of the specific
needs of runaway and homeless youths.
``(E) A description of procedures that ensure that homeless
children and youths who meet the relevant eligibility
criteria are able to participate in Federal, State, or local
food programs.
``(F) A description of procedures that ensure that--
``(i) homeless children have equal access to the same
public preschool programs, administered

[[Page H9921]]

by the State agency, as provided to other children in the
State;
``(ii) homeless youths and youths separated from the public
schools are identified and accorded equal access to
appropriate secondary education and support services; and
``(iii) homeless children and youths who meet the relevant
eligibility criteria are able to participate in Federal,
State, or local before- and after-school care programs.
``(G) Strategies to address problems identified in the
report provided to the Secretary under subsection (f)(3).
``(H) Strategies to address other problems with respect to
the education of homeless children and youths, including
problems resulting from enrollment delays that are caused
by--
``(i) immunization and medical records requirements;
``(ii) residency requirements;
``(iii) lack of birth certificates, school records, or
other documentation;
``(iv) guardianship issues; or
``(v) uniform or dress code requirements.
``(I) A demonstration that the State educational agency and
local educational agencies in the State have developed, and
shall review and revise, policies to remove barriers to the
enrollment and retention of homeless children and youths in
schools in the State.
``(J) Assurances that--
``(i) the State educational agency and local educational
agencies in the State will adopt policies and practices to
ensure that homeless children and youths are not stigmatized
or segregated on the basis of their status as homeless;
``(ii) local educational agencies will designate an
appropriate staff person, who may also be a coordinator for
other Federal programs, as a local educational agency liaison
for homeless children and youths, to carry out the duties
described in paragraph (6)(A); and
``(iii) the State and its local educational agencies will
adopt policies and practices to ensure that transportation is
provided, at the request of the parent or guardian (or in the
case of an unaccompanied youth, the liaison), to and from the
school of origin, as determined in paragraph (3)(A), in
accordance with the following, as applicable:

``(I) If the homeless child or youth continues to live in
the area served by the local educational agency in which the
school of origin is located, the child's or youth's
transportation to and from the school of origin shall be
provided or arranged by the local educational agency in which
the school of origin is located.
``(II) If the homeless child's or youth's living
arrangements in the area served by the local educational
agency of origin terminate and the child or youth, though
continuing his or her education in the school of origin,
begins living in an area served by another local educational
agency, the local educational agency of origin and the local
educational agency in which the homeless child or youth is
living shall agree upon a method to apportion the
responsibility and costs for providing the child with
transportation to and from the school of origin. If the local
educational agencies are unable to agree upon such method,
the responsibility and costs for transportation shall be
shared equally.

``(2) Compliance.--
``(A) In general.--Each plan adopted under this subsection
shall also describe how the State will ensure that local
educational agencies in the State will comply with the
requirements of paragraphs (3) through (7).
``(B) Coordination.--Such plan shall indicate what
technical assistance the State will furnish to local
educational agencies and how compliance efforts will be
coordinated with the local educational agency liaisons
designated under paragraph (1)(J)(ii).
``(3) Local educational agency requirements.--
``(A) In general.--The local educational agency serving
each child or youth to be assisted under this subtitle shall,
according to the child's or youth's best interest--
``(i) continue the child's or youth's education in the
school of origin for the duration of homelessness--

``(I) in any case in which a family becomes homeless
between academic years or during an academic year; or
``(II) for the remainder of the academic year, if the child
or youth becomes permanently housed during an academic year;
or

``(ii) enroll the child or youth in any public school that
nonhomeless students who live in the attendance area in which
the child or youth is actually living are eligible to attend.
``(B) Best interest.--In determining the best interest of
the child or youth under subparagraph (A), the local
educational agency shall--
``(i) to the extent feasible, keep a homeless child or
youth in the school of origin, except when doing so is
contrary to the wishes of the child's or youth's parent or
guardian;
``(ii) provide a written explanation, including a statement
regarding the right to appeal under subparagraph (E), to the
homeless child's or youth's parent or guardian, if the local
educational agency sends such child or youth to a school
other than the school of origin or a school requested by the
parent or guardian; and
``(iii) in the case of an unaccompanied youth, ensure that
the homeless liaison designated under paragraph (1)(J)(ii)
assists in placement or enrollment decisions under this
subparagraph, considers the views of such unaccompanied
youth, and provides notice to such youth of the right to
appeal under subparagraph (E).
``(C) Enrollment.--(i) The school selected in accordance
with this paragraph shall immediately enroll the homeless
child or youth, even if the child or youth is unable to
produce records normally required for enrollment, such as
previous academic records, medical records, proof of
residency, or other documentation.
``(ii) The enrolling school shall immediately contact the
school last attended by the child or youth to obtain relevant
academic and other records.
``(iii) If the child or youth needs to obtain
immunizations, or immunization or medical records, the
enrolling school shall immediately refer the parent or
guardian of the child or youth to the local educational
agency liaison designated under paragraph (1)(J)(ii), who
shall assist in obtaining necessary immunizations, or
immunization or medical records, in accordance with
subparagraph (D).
``(D) Records.--Any record ordinarily kept by the school,
including immunization or medical records, academic records,
birth certificates, guardianship records, and evaluations for
special services or programs, regarding each homeless child
or youth shall be maintained--
``(i) so that the records are available, in a timely
fashion, when a child or youth enters a new school or school
district; and
``(ii) in a manner consistent with section 444 of the
General Education Provisions Act (20 U.S.C. 1232g).
``(E) Enrollment disputes.--If a dispute arises over school
selection or enrollment in a school--
``(i) the child or youth shall be immediately admitted to
the school in which enrollment is sought, pending resolution
of the dispute;
``(ii) the parent or guardian of the child or youth shall
be provided with a written explanation of the school's
decision regarding school selection or enrollment, including
the rights of the parent, guardian, or youth to appeal the
decision;
``(iii) the child, youth, parent, or guardian shall be
referred to the local educational agency liaison designated
under paragraph (1)(J)(ii), who shall carry out the dispute
resolution process as described in paragraph (1)(C) as
expeditiously as possible after receiving notice of the
dispute; and
``(iv) in the case of an unaccompanied youth, the homeless
liaison shall ensure that the youth is immediately enrolled
in school pending resolution of the dispute.
``(F) Placement choice.--The choice regarding placement
shall be made regardless of whether the child or youth lives
with the homeless parents or has been temporarily placed
elsewhere.
``(G) School of origin defined.--In this paragraph, the
term `school of origin' means the school that the child or
youth attended when permanently housed or the school in which
the child or youth was last enrolled.
``(H) Contact information.--Nothing in this subtitle shall
prohibit a local educational agency from requiring a parent
or guardian of a homeless child to submit contact
information.
``(4) Comparable services.--Each homeless child or youth to
be assisted under this subtitle shall be provided services
comparable to services offered to other students in the
school selected under paragraph (3), including the following:
``(A) Transportation services.
``(B) Educational services for which the child or youth
meets the eligibility criteria, such as services provided
under title I of the Elementary and Secondary Education Act
of 1965 or similar State or local programs, educational
programs for children with disabilities, and educational
programs for students with limited English proficiency.
``(C) Programs in vocational and technical education.
``(D) Programs for gifted and talented students.
``(E) School nutrition programs.
``(5) Coordination.--
``(A) In general.--Each local educational agency serving
homeless children and youths that receives assistance under
this subtitle shall coordinate--
``(i) the provision of services under this subtitle with
local social services agencies and other agencies or programs
providing services to homeless children and youths and their
families, including services and programs funded under the
Runaway and Homeless Youth Act (42 U.S.C. 5701 et seq.); and
``(ii) with other local educational agencies on
interdistrict issues, such as transportation or transfer of
school records.
``(B) Housing assistance.--If applicable, each State
educational agency and local educational agency that receives
assistance under this subtitle shall coordinate with State
and local housing agencies responsible for developing the
comprehensive housing affordability strategy described in
section 105 of the Cranston-Gonzalez National Affordable
Housing Act (42 U.S.C. 12705) to minimize educational
disruption for children and youths who become homeless.
``(C) Coordination purpose.--The coordination required
under subparagraphs (A) and (B) shall be designed to--
``(i) ensure that homeless children and youths have access
and reasonable proximity to available education and related
support services; and
``(ii) raise the awareness of school personnel and service
providers of the effects of short-term stays in a shelter and
other challenges associated with homelessness.
``(6) Local educational agency liaison.--
``(A) Duties.--Each local educational agency liaison for
homeless children and youths, designated under paragraph
(1)(J)(ii), shall ensure that--
``(i) homeless children and youths are identified by school
personnel and through coordination activities with other
entities and agencies;
``(ii) homeless children and youths enroll in, and have a
full and equal opportunity to succeed in, schools of that
local educational agency;
``(iii) homeless families, children, and youths receive
educational services for which such families, children, and
youths are eligible, including Head Start and Even Start
programs and preschool programs administered by the local
educational agency, and referrals to health care

[[Page H9922]]

services, dental services, mental health services, and other
appropriate services;
``(iv) the parents or guardians of homeless children and
youths are informed of the educational and related
opportunities available to their children and are provided
with meaningful opportunities to participate in the education
of their children;
``(v) public notice of the educational rights of homeless
children and youths is disseminated where such children and
youths receive services under this Act, such as schools,
family shelters, and soup kitchens;
``(vi) enrollment disputes are mediated in accordance with
paragraph (3)(E); and
``(vii) the parent or guardian of a homeless child or
youth, and any unaccompanied youth, is fully informed of all
transportation services, including transportation to the
school of origin, as described in paragraph (1)(J)(iii), and
is assisted in accessing transportation to the school that is
selected under paragraph (3)(A).
``(B) Notice.--State coordinators established under
subsection (d)(3) and local educational agencies shall inform
school personnel, service providers, and advocates working
with homeless families of the duties of the local educational
agency liaisons.
``(C) Local and state coordination.--Local educational
agency liaisons for homeless children and youths shall, as a
part of their duties, coordinate and collaborate with State
coordinators and community and school personnel responsible
for the provision of education and related services to
homeless children and youths.
``(7) Review and revisions.--
``(A) In general.--Each State educational agency and local
educational agency that receives assistance under this
subtitle shall review and revise any policies that may act as
barriers to the enrollment of homeless children and youths in
schools that are selected under paragraph (3).
``(B) Consideration.--In reviewing and revising such
policies, consideration shall be given to issues concerning
transportation, immunization, residency, birth certificates,
school records and other documentation, and guardianship.
``(C) Special attention.--Special attention shall be given
to ensuring the enrollment and attendance of homeless
children and youths who are not currently attending school.

``SEC. 723. LOCAL EDUCATIONAL AGENCY SUBGRANTS FOR THE
EDUCATION OF HOMELESS CHILDREN AND YOUTHS.

``(a) General Authority.--
``(1) In general.--The State educational agency shall, in
accordance with section 722(e), and from amounts made
available to such agency under section 726, make subgrants to
local educational agencies for the purpose of facilitating
the enrollment, attendance, and success in school of homeless
children and youths.
``(2) Services.--
``(A) In general.--Services under paragraph (1)--
``(i) may be provided through programs on school grounds or
at other facilities;
``(ii) shall, to the maximum extent practicable, be
provided through existing programs and mechanisms that
integrate homeless children and youths with nonhomeless
children and youths; and
``(iii) shall be designed to expand or improve services
provided as part of a school's regular academic program, but
not to replace such services provided under such program.
``(B) Services on school grounds.--If services under
paragraph (1) are provided on school grounds, schools--
``(i) may use funds under this subtitle to provide the same
services to other children and youths who are determined by
the local educational agency to be at risk of failing in, or
dropping out of, school, subject to the requirements of
clause (ii); and
``(ii) except as otherwise provided in section
722(e)(3)(B), shall not provide services in settings within a
school that segregate homeless children and youths from other
children and youths, except as necessary for short periods of
time--

``(I) for health and safety emergencies; or
``(II) to provide temporary, special, and supplementary
services to meet the unique needs of homeless children and
youths.

``(3) Requirement.--Services provided under this section
shall not replace the regular academic program and shall be
designed to expand upon or improve services provided as part
of the school's regular academic program.
``(b) Application.--A local educational agency that desires
to receive a subgrant under this section shall submit an
application to the State educational agency at such time, in
such manner, and containing or accompanied by such
information as the State educational agency may reasonably
require. Such application shall include the following:
``(1) An assessment of the educational and related needs of
homeless children and youths in the area served by such
agency (which may be undertaken as part of needs assessments
for other disadvantaged groups).
``(2) A description of the services and programs for which
assistance is sought to address the needs identified in
paragraph (1).
``(3) An assurance that the local educational agency's
combined fiscal effort per student, or the aggregate
expenditures of that agency and the State with respect to the
provision of free public education by such agency for the
fiscal year preceding the fiscal year for which the
determination is made, was not less than 90 percent of such
combined fiscal effort or aggregate expenditures for the
second fiscal year preceding the fiscal year for which the
determination is made.
``(4) An assurance that the applicant complies with, or
will use requested funds to comply with, paragraphs (3)
through (7) of section 722(g).
``(5) A description of policies and procedures, consistent
with section 722(e)(3), that the agency will implement to
ensure that activities carried out by the agency will not
isolate or stigmatize homeless children and youths.
``(c) Awards.--
``(1) In general.--The State educational agency shall, in
accordance with the requirements of this subtitle and from
amounts made available to it under section 726, make
competitive subgrants to local educational agencies that
submit applications under subsection (b). Such subgrants
shall be awarded on the basis of the need of such agencies
for assistance under this subtitle and the quality of the
applications submitted.
``(2) Need.--In determining need under paragraph (1), the
State educational agency may consider the number of homeless
children and youths enrolled in preschool, elementary, and
secondary schools within the area served by the local
educational agency, and shall consider the needs of such
children and youths and the ability of the local educational
agency to meet such needs. The State educational agency may
also consider the following:
``(A) The extent to which the proposed use of funds will
facilitate the enrollment, retention, and educational success
of homeless children and youths.
``(B) The extent to which the application--
``(i) reflects coordination with other local and State
agencies that serve homeless children and youths; and
``(ii) describes how the applicant will meet the
requirements of section 722(g)(3).
``(C) The extent to which the applicant exhibits in the
application and in current practice a commitment to education
for all homeless children and youths.
``(D) Such other criteria as the State agency determines
appropriate.
``(3) Quality.--In determining the quality of applications
under paragraph (1), the State educational agency shall
consider the following:
``(A) The applicant's needs assessment under subsection
(b)(1) and the likelihood that the program presented in the
application will meet such needs.
``(B) The types, intensity, and coordination of the
services to be provided under the program.
``(C) The involvement of parents or guardians of homeless
children or youths in the education of their children.
``(D) The extent to which homeless children and youths will
be integrated within the regular education program.
``(E) The quality of the applicant's evaluation plan for
the program.
``(F) The extent to which services provided under this
subtitle will be coordinated with other services available to
homeless children and youths and their families.
``(G) Such other measures as the State educational agency
considers indicative of a high-quality program, such as the
extent to which the local educational agency will provide
case management or related services to unaccompanied youths.
``(4) Duration of grants.--Grants awarded under this
section shall be for terms not to exceed 3 years.
``(d) Authorized Activities.--A local educational agency
may use funds awarded under this section for activities that
carry out the purpose of this subtitle, including the
following:
``(1) The provision of tutoring, supplemental instruction,
and enriched educational services that are linked to the
achievement of the same challenging State academic content
standards and challenging State student academic achievement
standards the State establishes for other children and
youths.
``(2) The provision of expedited evaluations of the
strengths and needs of homeless children and youths,
including needs and eligibility for programs and services
(such as educational programs for gifted and talented
students, children with disabilities, and students with
limited English proficiency, services provided under title I
of the Elementary and Secondary Education Act of 1965 or
similar State or local programs, programs in vocational and
technical education, and school nutrition programs).
``(3) Professional development and other activities for
educators and pupil services personnel that are designed to
heighten the understanding and sensitivity of such personnel
to the needs of homeless children and youths, the rights of
such children and youths under this subtitle, and the
specific educational needs of runaway and homeless youths.
``(4) The provision of referral services to homeless
children and youths for medical, dental, mental, and other
health services.
``(5) The provision of assistance to defray the excess cost
of transportation for students under section 722(g)(4)(A),
not otherwise provided through Federal, State, or local
funding, where necessary to enable students to attend the
school selected under section 722(g)(3).
``(6) The provision of developmentally appropriate early
childhood education programs, not otherwise provided through
Federal, State, or local funding, for preschool-aged homeless
children.
``(7) The provision of services and assistance to attract,
engage, and retain homeless children and youths, and
unaccompanied youths, in public school programs and services
provided to nonhomeless children and youths.
``(8) The provision for homeless children and youths of
before- and after-school, mentoring, and summer programs in
which a teacher or other qualified individual provides
tutoring, homework assistance, and supervision of educational
activities.
``(9) If necessary, the payment of fees and other costs
associated with tracking, obtaining, and transferring records
necessary to enroll homeless children and youths in school,
including birth certificates, immunization or medical
records, academic records, guardianship records, and
evaluations for special programs or services.

[[Page H9923]]

``(10) The provision of education and training to the
parents of homeless children and youths about the rights of,
and resources available to, such children and youths.
``(11) The development of coordination between schools and
agencies providing services to homeless children and youths,
as described in section 722(g)(5).
``(12) The provision of pupil services (including violence
prevention counseling) and referrals for such services.
``(13) Activities to address the particular needs of
homeless children and youths that may arise from domestic
violence.
``(14) The adaptation of space and purchase of supplies for
any nonschool facilities made available under subsection
(a)(2) to provide services under this subsection.
``(15) The provision of school supplies, including those
supplies to be distributed at shelters or temporary housing
facilities, or other appropriate locations.
``(16) The provision of other extraordinary or emergency
assistance needed to enable homeless children and youths to
attend school.

``SEC. 724. SECRETARIAL RESPONSIBILITIES.

``(a) Review of State Plans.--In reviewing the State plan
submitted by a State educational agency under section 722(g),
the Secretary shall use a peer review process and shall
evaluate whether State laws, policies, and practices
described in such plan adequately address the problems of
homeless children and youths relating to access to education
and placement as described in such plan.
``(b) Technical Assistance.--The Secretary shall provide
support and technical assistance to a State educational
agency to assist such agency in carrying out its
responsibilities under this subtitle, if requested by the
State educational agency.
``(c) Notice.--The Secretary shall, before the next school
year that begins after the date of enactment of the McKinney-
Vento Homeless Education Assistance Improvements Act of 2001,
create and disseminate nationwide a public notice of the
educational rights of homeless children and youths and
disseminate such notice to other Federal agencies, programs,
and grantees, including Head Start grantees, Health Care for
the Homeless grantees, Emergency Food and Shelter grantees,
and homeless assistance programs administered by the
Department of Housing and Urban Development.
``(d) Evaluation and Dissemination.--The Secretary shall
conduct evaluation and dissemination activities of programs
designed to meet the educational needs of homeless elementary
and secondary school students, and may use funds appropriated
under section 726 to conduct such activities.
``(e) Submission and Distribution.--The Secretary shall
require applications for grants under this subtitle to be
submitted to the Secretary not later than the expiration of
the 60-day period beginning on the date that funds are
available for purposes of making such grants and shall make
such grants not later than the expiration of the 120-day
period beginning on such date.
``(f) Determination by Secretary.--The Secretary, based on
the information received from the States and information
gathered by the Secretary under subsection (h), shall
determine the extent to which State educational agencies are
ensuring that each homeless child and homeless youth has
access to a free appropriate public education, as described
in section 721(1).
``(g) Guidelines.--The Secretary shall develop, issue, and
publish in the Federal Register, not later than 60 days after
the date of enactment of the McKinney-Vento Homeless
Education Assistance Improvements Act of 2001, school
enrollment guidelines for States with respect to homeless
children and youths. The guidelines shall describe--
``(1) successful ways in which a State may assist local
educational agencies to immediately enroll homeless children
and youths in school; and
``(2) how a State can review the State's requirements
regarding immunization and medical or school records and make
such revisions to the requirements as are appropriate and
necessary in order to enroll homeless children and youths in
school immediately.
``(h) Information.--
``(1) In general.--From funds appropriated under section
726, the Secretary shall, directly or through grants,
contracts, or cooperative agreements, periodically collect
and disseminate data and information regarding--
``(A) the number and location of homeless children and
youths;
``(B) the education and related services such children and
youths receive;
``(C) the extent to which the needs of homeless children
and youths are being met; and
``(D) such other data and information as the Secretary
determines to be necessary and relevant to carry out this
subtitle.
``(2) Coordination.--The Secretary shall coordinate such
collection and dissemination with other agencies and entities
that receive assistance and administer programs under this
subtitle.
``(i) Report.--Not later than 4 years after the date of
enactment of the McKinney-Vento Homeless Education Assistance
Improvements Act of 2001, the Secretary shall prepare and
submit to the President and the Committee on Education and
the Workforce of the House of Representatives and the
Committee on Health, Education, Labor, and Pensions of the
Senate a report on the status of education of homeless
children and youths, which shall include information on--
``(1) the education of homeless children and youths; and
``(2) the actions of the Secretary and the effectiveness of
the programs supported under this subtitle.

``SEC. 725. DEFINITIONS.

``For purposes of this subtitle:
``(1) The terms `enroll' and `enrollment' include attending
classes and participating fully in school activities.
``(2) The term `homeless children and youths'--
``(A) means individuals who lack a fixed, regular, and
adequate nighttime residence (within the meaning of section
103(a)(1)); and
``(B) includes--
``(i) children and youths who are sharing the housing of
other persons due to loss of housing, economic hardship, or a
similar reason; are living in motels, hotels, trailer parks,
or camping grounds due to the lack of alternative adequate
accommodations; are living in emergency or transitional
shelters; are abandoned in hospitals; or are awaiting foster
care placement;
``(ii) children and youths who have a primary nighttime
residence that is a public or private place not designed for
or ordinarily used as a regular sleeping accommodation for
human beings (within the meaning of section 103(a)(2)(C));
``(iii) children and youths who are living in cars, parks,
public spaces, abandoned buildings, substandard housing, bus
or train stations, or similar settings; and
``(iv) migratory children (as such term is defined in
section 1309 of the Elementary and Secondary Education Act of
1965) who qualify as homeless for the purposes of this
subtitle because the children are living in circumstances
described in clauses (i) through (iii).
``(3) The terms `local educational agency' and `State
educational agency' have the meanings given such terms in
section 9101 of the Elementary and Secondary Education Act of
1965.
``(4) The term `Secretary' means the Secretary of
Education.
``(5) The term `State' means each of the 50 States, the
District of Columbia, and the Commonwealth of Puerto Rico.
``(6) The term `unaccompanied youth' includes a youth not
in the physical custody of a parent or guardian.

``SEC. 726. AUTHORIZATION OF APPROPRIATIONS.

``For the purpose of carrying out this subtitle, there are
authorized to be appropriated $70,000,000 for fiscal year
2002 and such sums as may be necessary for each of fiscal
years 2003 through 2007.''.

SEC. 1033. CONFORMING AMENDMENT.

The table of contents of the McKinney-Vento Homeless
Assistance Act (42 U.S.C. 11301 note) is amended so that the
items relating to subtitle B of title VII read as follows:

``Subtitle B--Education for Homeless Children and Youths

``Sec. 721. Statement of policy.
``Sec. 722. Grants for State and local activities for the education of
homeless children and youths.
``Sec. 723. Local educational agency subgrants for the education of
homeless children and youths.
``Sec. 724. Secretarial responsibilities.
``Sec. 725. Definitions.
``Sec. 726. Authorization of appropriations.''.

SEC. 1034. TECHNICAL AMENDMENT.

(a) In General.--Section 1 of Public Law 106-400 (42 U.S.C.
11301) is amended by striking ``Section 1 of'' and inserting
``Section 101 of''.
(b) Effective Date.--The amendment made by subsection (a)
shall be deemed to be effective on the date of enactment of
Public Law 106-400.

PART D--NATIVE AMERICAN EDUCATION IMPROVEMENT

SEC. 1041. SHORT TITLE.

This part may be cited as the ``Native American Education
Improvement Act of 2001''.

SEC. 1042. AMENDMENTS TO THE EDUCATION AMENDMENTS OF 1978.

Part B of title XI of the Education Amendments of 1978 (25
U.S.C. 2001 et seq.) is amended to read as follows:

``PART B--BUREAU OF INDIAN AFFAIRS PROGRAMS

``SEC. 1120. DECLARATION OF POLICY.

``Congress declares that the Federal Government has the
sole responsibility for the operation and financial support
of the Bureau of Indian Affairs funded school system that it
has established on or near Indian reservations and Indian
trust lands throughout the Nation for Indian children. It is
the policy of the United States to fulfill the Federal
Government's unique and continuing trust relationship with
and responsibility to the Indian people for the education of
Indian children and for the operation and financial support
of the Bureau of Indian Affairs-funded school system to work
in full cooperation with tribes toward the goal of ensuring
that the programs of the Bureau of Indian Affairs-funded
school system are of the highest quality and provide for the
basic elementary and secondary educational needs of Indian
children, including meeting the unique educational and
cultural needs of those children.

``SEC. 1121. ACCREDITATION FOR THE BASIC EDUCATION OF INDIAN
CHILDREN IN BUREAU OF INDIAN AFFAIRS SCHOOLS.

``(a) Purpose; Declarations of Purpose.--
``(1) Purpose.--The purpose of the accreditation required
under this section shall be to ensure that Indian students
being served by a school funded by the Bureau of Indian
Affairs are provided with educational opportunities that
equal or exceed those for all other students in the United
States.
``(2) Declarations of purpose.--Local school boards for
schools operated by the Bureau of Indian Affairs, in
cooperation and consultation with the appropriate tribal
governing bodies and their communities, are encouraged to
adopt declarations of purpose for education for their
communities, taking into account the implications of such
declarations on education in

[[Page H9924]]

their communities and for their schools. In adopting such
declarations of purpose, the school boards shall consider the
effect the declarations may have on the motivation of
students and faculties.
``(b) Accreditation.--
``(1) Deadline.--
``(A) In general.--Not later than 24 months after the date
of enactment of the Native American Education Improvement Act
of 2001, each Bureau-funded school shall, to the extent that
necessary funds are provided, be a candidate for
accreditation or be accredited--
``(i) by a tribal accrediting body, if the accreditation
standards of the tribal accrediting body have been accepted
by formal action of the tribal governing body and such
accreditation is acknowledged by a generally recognized State
certification or regional accrediting agency;
``(ii) by a regional accreditation agency;
``(iii) by State accreditation standards for the State in
which the Bureau-funded school is located; or
``(iv) in the case of a Bureau-funded school that is
located on a reservation that is located in more than 1
State, in accordance with the State accreditation standards
of 1 State as selected by the tribal government.
``(B) Feasibility study.--Not later than 12 months after
the date of enactment of the Native American Education
Improvement Act of 2001, the Secretary of the Interior and
the Secretary of Education shall, in consultation with Indian
tribes, Indian education organizations, and accrediting
agencies, develop and submit to the appropriate committees of
Congress a report on the desirability and feasibility of
establishing a tribal accreditation agency that would--
``(i) review and acknowledge the accreditation standards
for Bureau-funded schools; and
``(ii) establish accreditation procedures to facilitate the
application, review of the standards and review processes,
and recognition of qualified and credible tribal departments
of education as accrediting bodies serving tribal schools.
``(2) Determination of accreditation to be applied.--The
accreditation type applied for each school shall be
determined by the tribal governing body, or the school board,
if authorized by the tribal governing body.
``(3) Assistance to school boards.--
``(A) In general.--The Secretary, through contracts and
grants, shall provide technical and financial assistance to
Bureau-funded schools, to the extent that necessary amounts
are made available, to enable such schools to obtain the
accreditation required under this subsection, if the school
boards request that such assistance, in part or in whole, be
provided.
``(B) Entities through which assistance may be provided.--
The Secretary may provide such assistance directly or through
the Department of Education, an institution of higher
education, a private not-for-profit organization or for-
profit organization, an educational service agency, or
another entity with demonstrated experience in assisting
schools in obtaining accreditation.
``(4) Application of current standards during
accreditation.--A Bureau-funded school that is seeking
accreditation shall remain subject to the standards issued
under section 1121 of the Education Amendments of 1978 and in
effect on the day before the date of enactment of the Native
American Education Improvement Act of 2001 until such time as
the school is accredited, except that if any of such
standards are in conflict with the standards of the
accrediting agency, the standards of such agency shall apply
in such case.
``(5) Annual report on unaccredited schools.--Not later
than 90 days after the end of each school year, the Secretary
shall prepare and submit to the Committee on Appropriations,
the Committee on Education and the Workforce, and the
Committee on Resources of the House of Representatives and
the Committee on Appropriations, the Committee on Indian
Affairs, and the Committee on Health, Education, Labor, and
Pensions of the Senate, a report concerning unaccredited
Bureau-funded schools that--
``(A) identifies those Bureau-funded schools that fail to
be accredited or to be candidates for accreditation within
the period provided for in paragraph (1);
``(B) with respect to each Bureau-funded school identified
under subparagraph (A), identifies the reasons that each such
school is not accredited or a candidate for accreditation, as
determined by the appropriate accreditation agency, and a
description of any possible way in which to remedy such
nonaccreditation; and
``(C) with respect to each Bureau-funded school for which
the reported reasons for the lack of accreditation under
subparagraph (B) are a result of the school's inadequate
basic resources, contains information and funding requests
for the full funding needed to provide such schools with
accreditation, such funds if provided shall be applied to
such unaccredited school under this paragraph.
``(6) Opportunity to review and present evidence.--
``(A) In general.--Prior to including a Bureau-funded
school in an annual report required under paragraph (5), the
Secretary shall--
``(i) ensure that the school has exhausted all
administrative remedies provided by the accreditation agency;
and
``(ii) provide the school with an opportunity to review the
data on which such inclusion is based.
``(B) Provision of additional information.--If the school
board of a school that the Secretary has proposed for
inclusion in an annual report under paragraph (5) believes
that such inclusion is in error, the school board may provide
to the Secretary such information as the board believes is in
conflict with the information and conclusions of the
Secretary with respect to the determination to include the
school in such annual report. The Secretary shall consider
such information provided by the school board before making a
final determination concerning the inclusion of the school in
any such report.
``(C) Publication of accreditation status.--Not later than
30 days after making an initial determination to include a
school in an annual report under paragraph (5), the Secretary
shall make public the final determination on the
accreditation status of the school.
``(7) School plan.--
``(A) In general.--Not later than 120 days after the date
on which a school is included in an annual report under
paragraph (5), the school shall develop a school plan, in
consultation with interested parties including parents,
school staff, the school board, and other outside experts (if
appropriate), that shall be submitted to the Secretary for
approval. The school plan shall cover a 3-year period and
shall--
``(i) incorporate strategies that address the specific
issues that caused the school to fail to be accredited or
fail to be a candidate for accreditation;
``(ii) incorporate policies and practices concerning the
school that have the greatest likelihood of ensuring that the
school will obtain accreditation during the 3-year period
beginning on the date on which the plan is implemented;
``(iii) contain an assurance that the school will reserve
the necessary funds, from the funds described in paragraph
(3), for each fiscal year for the purpose of obtaining
accreditation;
``(iv) specify how the funds described in clause (iii) will
be used to obtain accreditation;
``(v) establish specific annual, objective goals for
measuring continuous and significant progress made by the
school in a manner that will ensure the accreditation of the
school within the 3-year period described in clause (ii);
``(vi) identify how the school will provide written
notification about the lack of accreditation to the parents
of each student enrolled in such school, in a format and, to
the extent practicable, in a language the parents can
understand; and
``(vii) specify the responsibilities of the school board
and any assistance to be provided by the Secretary under
paragraph (3).
``(B) Implementation.--A school shall implement the school
plan under subparagraph (A) expeditiously, but in no event
later than the beginning of the school year following the
school year in which the school was included in the annual
report under paragraph (5) so long as the necessary resources
have been provided to the school.
``(C) Review of plan.--Not later than 45 days after
receiving a school plan, the Secretary shall--
``(i) establish a peer-review process to assist with the
review of the plan; and
``(ii) promptly review the school plan, work with the
school as necessary, and approve the school plan if the plan
meets the requirements of this paragraph.
``(8) Corrective action.--
``(A) Definition.--In this subsection, the term `corrective
action' means any action that--
``(i) substantially and directly responds to--

``(I) the failure of a school to achieve accreditation; and
``(II) any underlying staffing, curriculum, or other
programmatic problem in the school that contributed to the
lack of accreditation; and

``(ii) is designed to increase substantially the likelihood
that the school will be accredited.
``(B) Waiver.--The Secretary shall grant a waiver which
shall exempt a school from any or all of the requirements of
this paragraph and paragraph (7) (though such school shall be
required to comply with the standards contained in part 36 of
title 25, Code of Federal Register, as in effect on the date
of enactment of the Native American Education Improvement Act
of 2001) if the school--
``(i) is identified in the report described in paragraph
(5)(C); and
``(ii) fails to be accredited for reasons that are beyond
the control of the school board, as determined by the
Secretary, including, but not limited to--

``(I) a significant decline in financial resources;
``(II) the poor condition of facilities, vehicles, or other
property; and
``(III) a natural disaster.

``(C) Duties of secretary.--After providing assistance to a
school under paragraph (3), the Secretary shall--
``(i) annually review the progress of the school under the
applicable school plan to determine whether the school is
meeting, or making adequate progress towards, achieving the
goals described in paragraph (7)(A)(v) with respect to
reaccreditation or becoming a candidate for accreditation;
``(ii) except as provided in subparagraph (B), continue to
provide assistance while implementing the school's plan, and,
if determined appropriate by the Secretary, take corrective
action with respect to the school if it fails to be
accredited at the end of the third full year immediately
following the date that the school's plan was first in effect
under paragraph (7);
``(iii) provide all students enrolled in a school that is
eligible for a corrective action determination by the
Secretary under clause (ii) with the option to transfer to
another public or Bureau-funded school, including a public
charter school, that is accredited;
``(iv) promptly notify the parents of children enrolled in
a school that is eligible for a corrective action
determination by the Secretary under clause (ii) of the
option to transfer their child to another public or Bureau-
funded school; and
``(v) provide, or pay for the provision of, transportation
for each student described in clause (iii) to the school
described in clause (iii) to which the student elects to be
transferred to the extent funds are available, as
determined by the tribal governing body.

[[Page H9925]]

``(D) Failure of school plan of bureau-operated school.--
With respect to a Bureau-operated school that fails to be
accredited at the end of the third full year immediately
following the date that the school's plan was first in effect
under paragraph (7), the Secretary may take 1 or more of the
following corrective actions:
``(i) Institute and fully implement actions suggested by
the accrediting agency.
``(ii) Consult with the tribe involved to determine the
causes for the lack of accreditation including potential
staffing and administrative changes that are or may be
necessary.
``(iii) Set aside a certain amount of funds that may only
be used by the school to obtain accreditation.
``(iv)(I) Provide the tribe with a 60-day period during
which to determine whether the tribe desires to operate the
school as a contract or grant school before meeting the
accreditation requirements in section 5207(c) of the Tribally
Controlled Schools Act of 1988 at the beginning of the next
school year following the determination to take corrective
action. If the tribe agrees to operate the school as a
contract or grant school, the tribe shall prepare a plan,
pursuant to paragraph (7), for approval by the Secretary in
accordance with paragraph (7), to achieve accreditation.
``(II) If the tribe declines to assume control of the
school, the Secretary, in consultation with the tribe, may
contract with an outside entity, consistent with applicable
law, or appoint a receiver or trustee to operate and
administer the affairs of the school until the school is
accredited. The outside entity, receiver, or trustee shall
prepare a plan, pursuant to paragraph (7), for approval by
the Secretary in accordance with paragraph (7).
``(III) Upon accreditation of the school, the Secretary
shall allow the tribe to continue to operate the school as a
grant or contract school, or if the school is being
controlled by an outside entity, provide the tribe with the
option to assume operation of the school as a contract
school, in accordance with the Indian Self-Determination Act,
or as a grant school in accordance with the Tribally
Controlled Schools Act of 1988, at the beginning of the
school year following the school year in which the school
obtains accreditation. If the tribe declines, the Secretary
may allow the outside entity, receiver, or trustee to
continue the operation of the school or reassume control of
the school.
``(E) Failure of school plan of contract or grant school.--
``(i) Corrective action.--With respect to a contract or
grant school that fails to be accredited at the end of the
third full year immediately following the date that the
school's plan was first in effect under paragraph (7), the
Secretary may take 1 or more of the corrective actions
described in subparagraph (D)(i) and (D)(ii). The Secretary
shall implement such corrective action for at least 1 year
prior to taking any action described under clause (ii).
``(ii) Outside entity.--If the corrective action described
in clause (i) does not result in accreditation of the school,
the Secretary, in conjunction with the tribal governing body,
may contract with an outside entity to operate the school in
order to achieve accreditation of the school within 2 school
years. Prior to entering into such a contract, the Secretary
shall develop a proposal for such operation which shall
include, at a minimum, the following elements:

``(I) The identification of 1 or more outside entities each
of which has demonstrated to the Secretary its ability to
develop a satisfactory plan for achieving accreditation and
its willingness and availability to undertake such a plan.
``(II) A plan for implementing operation of the school by
such an outside entity, including the methodology for
oversight and evaluation of the performance of the outside
entity by the Secretary and the tribe.

``(iii) Proposal amendments.--The tribal governing body
shall have 60 days to amend the plan developed pursuant to
clause (ii), including identifying another outside entity to
operate the school. The Secretary shall reach agreement with
the tribal governing body on the proposal and any such
amendments to the plan not later than 30 days after the
expiration of the 60 day period described in the preceding
sentence. After the approval of the proposal and any
amendments, the Secretary, with continuing consultation with
such tribal governing body, shall implement the proposal.
``(iv) Accreditation.--Upon accreditation of the school,
the tribe shall have the option to assume the operation and
administration of the school as a contract school after
complying with the Indian Self-Determination Act, or as a
grant school, after complying with the Tribally Controlled
Schools Act of 1988, at the beginning of the school year
following the year in which the school obtains accreditation.
``(v) Retrocede.--Nothing in this subparagraph shall limit
a tribe's right to retrocede operation of a school to the
Secretary pursuant to section 105(e) of the Indian Self-
Determination Act (with respect to a contract school) or
section 5204(f) of the Tribally Controlled Schools Act of
1988 (with respect to a grant school).
``(vi) Consistent.--The provisions of this subparagraph
shall be construed to be consistent with the provisions of
the Tribally Controlled Schools Act of 1988 and the Indian
Self-Determination Act as in effect on the day before the
date of enactment of the Native American Education
Improvement Act of 2001, and shall not be construed as
expanding the authority of the Secretary under any other law.
``(F) Hearing.--With respect to a school that is operated
pursuant to a grant, or a school that is operated under a
contract under the Indian Self-Determination Act, prior to
implementing any corrective action under this paragraph, the
Secretary shall provide notice and an opportunity for a
hearing to the affected school pursuant to section 5207 of
the Tribally Controlled Schools Act of 1988.
``(9) Statutory construction.--Nothing in this section
shall be construed to alter or otherwise affect the rights,
remedies, and procedures afforded to school employees under
applicable law (including applicable regulations or court
orders) or under the terms of any collective bargaining
agreement, memorandum of understanding, or other agreement
between such employees and their employers.
``(10) Fiscal control and fund accounting standards.--The
Bureau shall, either directly or through contract with an
Indian organization, establish a consistent system of
reporting standards for fiscal control and fund accounting
for all contract and grant schools. Such standards shall
provide data comparable to those used by Bureau-operated
schools.
``(c) Annual Plan.--
``(1) In general.--Except as provided in subsection (b),
the Secretary shall implement the standards in effect under
this section on the day before the date of enactment of the
Native American Education Improvement Act of 2001.
``(2) Plan.--On an annual basis, the Secretary shall submit
to the appropriate committees of Congress, all Bureau-funded
schools, and the tribal governing bodies of such schools a
detailed plan to ensure that all Bureau-funded schools are
accredited, or if such schools are in the process of
obtaining accreditation that such schools meet the Bureau
standards in effect on the day before the date of enactment
of the Native American Education Improvement Act of 2001 to
the extent that such standards do not conflict with the
standards of the accrediting agency. Such plan shall include
detailed information on the status of each school's
educational program in relation to the applicable standards,
specific cost estimates for meeting such standards at each
school, and specific timelines for bringing each school up to
the level required by such standards.
``(d) Closure or Consolidation of Schools.--
``(1) In general.--Except as specifically required by law--
``(A) no Bureau-funded school or dormitory operated on or
after January 1, 1992, may be closed, consolidated, or
transferred to another authority; and
``(B) no program of such a school may be substantially
curtailed except in accordance with the requirements of this
subsection.
``(2) Exceptions.--This subsection (other than this
paragraph) shall not apply--
``(A) in those cases in which the tribal governing body for
a school, or the local school board concerned (if designated
by the tribal governing body to act under this paragraph),
requests the closure, consolidation, or substantial
curtailment; or
``(B) if a temporary closure, consolidation, or substantial
curtailment is required by facility conditions that
constitute an immediate hazard to health and safety.
``(3) Regulations.--The Secretary shall, by regulation,
promulgate standards and procedures for the closure, transfer
to another authority, consolidation, or substantial
curtailment of Bureau schools, in accordance with the
requirements of this subsection.
``(4) Notice.--
``(A) In general.--In a case in which closure, transfer to
another authority, consolidation, or substantial curtailment
of a school is under active consideration or review by any
division of the Bureau or the Department of the Interior, the
affected tribe, tribal governing body, and designated local
school board will be notified immediately in writing, kept
fully and currently informed, and afforded an opportunity to
comment with respect to such consideration or review.
``(B) Decision to close.--If a formal decision is made to
close, transfer to another authority, consolidate, or
substantially curtail a school, the affected tribe, tribal
governing body, and designated school board shall be notified
not later than 180 days before the end of the school year
preceding the proposed closure date.
``(C) Copies.--Copies of any such notices and information
shall be--
``(i) submitted promptly to the appropriate committees of
Congress; and
``(ii) published in the Federal Register.
``(5) Report.--The Secretary shall submit to the
appropriate committees of Congress, the affected tribe, and
the designated school board, a report describing the process
of the active consideration or review referred to in
paragraph (4) that includes--
``(A) a study of the impact of such action on the student
population;
``(B) a description of those students with particular
educational and social needs;
``(C) recommendations to ensure that alternative services
are available to such students; and
``(D) a description of the consultation conducted between
the potential service provider, current service provider,
parents, tribal representatives and the tribe or tribes
involved, and the Director of the Office of Indian Education
Programs within the Bureau regarding such students.
``(6) Limitation on certain actions.--No irrevocable action
may be taken in furtherance of any such proposed school
closure, transfer to another authority, consolidation, or
substantial curtailment (including any action which would
prejudice the personnel or programs of such school) prior to
the end of the first full academic year after such report is
made.
``(7) Tribal governing body approval required for certain
actions.--The Secretary may, with the approval of the tribal
governing body, terminate, contract, transfer to any other
authority, consolidate, or substantially curtail the
operation or facilities of--
``(A) any Bureau-funded school that is operated on or after
of January 1, 1999;
``(B) any program of such a school that is operated on or
after January 1, 1999; or

[[Page H9926]]

``(C) any school board of a school operated under a grant
under the Tribally Controlled Schools Act of 1988.
``(e) Application for Contracts or Grants for Non-Bureau-
Funded Schools or Expansion of Bureau-Funded Schools.--
``(1) Review by secretary.--
``(A) Consideration of factors.--
``(i) In general.--The Secretary shall consider only the
factors described in subparagraph (B) in reviewing--

``(I) applications from any tribe for the awarding of a
contract or grant for a school that is not a Bureau-funded
school; and
``(II) applications from any tribe or school board of any
Bureau-funded school for--

``(aa) a school which is not a Bureau-funded school; or
``(bb) the expansion of a Bureau-funded school which would
increase the amount of funds received by the Indian tribe or
school board under section 1127.
``(ii) No denial based on geographic proximity.--With
respect to applications described in this subparagraph, the
Secretary shall give consideration to all factors described
in subparagraph (B), but no such application shall be denied
based primarily upon the geographic proximity of comparable
public education.
``(B) Factors.--With respect to applications described in
subparagraph (A), the Secretary shall consider the following
factors relating to the program and services that are the
subject of the application:
``(i) The adequacy of the facilities or the potential to
obtain or provide adequate facilities.
``(ii) Geographic and demographic factors in the affected
areas.
``(iii) The adequacy of the applicant's program plans or,
in the case of a Bureau-funded school, of projected needs
analysis done either by the tribe or the Bureau.
``(iv) Geographic proximity of comparable public education.
``(v) The stated needs of all affected parties, including
students, families, tribal governments at both the central
and local levels, and school organizations.
``(vi) Adequacy and comparability of programs already
available.
``(vii) Consistency of available programs with tribal
educational codes or tribal legislation on education.
``(viii) The history and success of those services for the
proposed population to be served, as determined from all
factors, including standardized examination performance.
``(2) Determination on application.--
``(A) In general.--Not later than 180 days after the date
on which an application described in paragraph (1)(A) is
submitted to the Secretary, the Secretary shall make a
determination of whether to approve the application.
``(B) Failure to make determination.--If the Secretary
fails to make a determination with respect to an application
by the date described in subparagraph (A), the application
shall be deemed to have been approved by the Secretary.
``(3) Requirements for applications.--
``(A) In general.--Notwithstanding paragraph (2)(B), an
application described in paragraph (1)(A) may be approved by
the Secretary only if--
``(i) the application has been approved by the tribal
governing body of the students served by (or to be served by)
the school or program that is the subject of the application;
and
``(ii) written evidence of such approval is submitted with
the application.
``(B) Included information.--Each application described in
paragraph (1)(A) shall include information concerning each of
the factors described in paragraph (1)(B).
``(4) Denial of applications.--If the Secretary denies an
application described in paragraph (1)(A), the Secretary
shall--
``(A) state the objections to the application in writing to
the applicant not later than 180 days after the date the
application is submitted to the Secretary;
``(B) provide assistance to the applicant to overcome the
stated objections;
``(C) provide to the applicant a hearing on the record
regarding the denial, under the same rules and regulations as
apply under the Indian Self-Determination and Education
Assistance Act; and
``(D) provide to the applicant a notice of the applicant's
appeals rights and an opportunity to appeal the decision
resulting from the hearing under subparagraph (D).
``(5) Effective date of a subject application.--
``(A) In general.--Except as otherwise provided in this
paragraph, an action that is the subject of any application
described in paragraph (1)(A) that is approved by the
Secretary shall become effective--
``(i) at the beginning of the academic year following the
fiscal year in which the application is approved; or
``(ii) at an earlier date determined by the Secretary.
``(B) Applications deemed approved.--If an application is
deemed to have been approved by the Secretary under paragraph
(2)(B), the action that is the subject of the application
shall become effective--
``(i) on the date that is 18 months after the date on which
the application is submitted to the Secretary; or
``(ii) at an earlier date determined by the Secretary.
``(6) Statutory construction.--Nothing in this section or
any other provision of law, shall be construed to preclude
the expansion of grades and related facilities at a Bureau-
funded school, if such expansion is paid for with non-Bureau
funds. Subject to the availability of appropriated funds the
Secretary is authorized to provide the necessary funds needed
to supplement the cost of operations and maintenance of such
expansion.
``(f) Joint Administration.--Administrative,
transportation, and program cost funds received by Bureau-
funded schools, and any program from the Department of
Education or any other Federal agency for the purpose of
providing education or related services, and other funds
received for such education and related services from
nonfederally funded programs, shall be apportioned and the
funds shall be retained at the school.
``(g) General Use of Funds.--Funds received by Bureau-
funded schools from the Bureau of Indian Affairs, and under
any program from the Department of Education or any other
Federal agency, for the purpose of providing education or
related services may be used for schoolwide projects to
improve the educational program for all Indian students.
``(h) Study on Adequacy of Funds and Formulas.--
``(1) Study.--The Comptroller General of the United States
shall conduct a study to determine the adequacy of funding,
and formulas used by the Bureau to determine funding, for
programs operated by Bureau-funded schools, taking into
account unique circumstances applicable to Bureau-funded
schools. The study shall analyze existing information
gathered and contained in germane studies that have been
conducted or are currently being conducted with regard to
Bureau-funded schools.
``(2) Action.--Upon completion of the study, the Secretary
of the Interior shall take such action as necessary to ensure
distribution of the findings of the study to all affected
Indian tribes, local school boards, and associations of local
school boards.

``SEC. 1122. NATIONAL CRITERIA FOR HOME-LIVING SITUATIONS.

``(a) Revision of Standards.--
``(1) In general.--The Secretary, in consultation with the
Secretary of Education, Indian organizations and tribes, and
Bureau-funded schools, shall revise the national standards
for home-living (dormitory) situations to include such
factors as heating, lighting, cooling, adult-child ratios,
needs for counselors (including special needs related to off-
reservation home-living (dormitory) situations), therapeutic
programs, space, and privacy.
``(2) Implementation.--Such standards shall be implemented
in Bureau-operated schools, and shall serve as minimum
standards for contract or grant schools.
``(3) Revision after establishment.--Once established, any
revisions of such standards shall be developed according to
the requirements established under section 1137.
``(b) Implementation.--The Secretary shall implement the
revised standards established under this section immediately
upon completion of the standards.
``(c) Plan.--
``(1) In general.--The Secretary shall submit to the
appropriate committees of Congress, the tribes, and the
affected schools, and publish in the Federal Register, a
detailed plan to bring all Bureau-funded schools that
provide home-living (dormitory) situations up to the
standards established under this section.
``(2) Components of plan.--The plan described in paragraph
(1) shall include--
``(A) a statement of the relative needs of each Bureau-
funded home-living (dormitory) school;
``(B) projected future needs of each Bureau-funded home-
living (dormitory) school;
``(C) detailed information on the status of each school in
relation to the standards established under this section;
``(D) specific cost estimates for meeting each standard for
each such school;
``(E) aggregate cost estimates for bringing all such
schools into compliance with the criteria established under
this section; and
``(F) specific timelines for bringing each school into
compliance with such standards.
``(d) Waiver.--
``(1) In general.--A tribal governing body or local school
board may, in accordance with this subsection, waive the
standards established under this section for a school
described in subsection (a).
``(2) Inappropriate standards.--
``(A) In general.--A tribal governing body, or the local
school board so designated by the tribal governing body, may
waive, in whole or in part, the standards established under
this section if such standards are determined by such body or
board to be inappropriate for the needs of students from that
tribe.
``(B) Alternative standards.--The tribal governing body or
school board involved shall, not later than 60 days after
providing a waiver under subparagraph (A) for a school,
submit to the Director a proposal for alternative standards
that take into account the specific needs of the tribe's
children. Such alternative standards shall be established by
the Director for the school involved unless specifically
rejected by the Director for good cause and in writing
provided to the affected tribes or local school board.
``(e) Closure for Failure To Meet Standards Prohibited.--No
school in operation on or before July 1, 1999 (regardless of
compliance or noncompliance with the standards established
under this section), may be closed, transferred to another
authority, or consolidated, and no program of such a school
may be substantially curtailed, because the school failed to
meet such standards.

``SEC. 1123. CODIFICATION OF REGULATIONS.

``(a) Part 32 of Title 25, Code of Federal Regulations.--
The provisions of part 32 of title 25, Code of Federal
Regulations, as in effect on January 1, 1987, are
incorporated into this Act and shall be treated as though
such provisions are set forth in this subsection. Such
provisions may be altered only by means of an Act of
Congress. To the extent that such provisions of part 32 do
not conform with this Act or any statutory

[[Page H9927]]

provision of law enacted before November 1, 1978, the
provisions of this Act and the provisions of such other
statutory law shall govern.
``(b) Definition of Regulation.--In this section, the term
`regulation' means any rule, regulation, guideline,
interpretation, order, or requirement of general
applicability prescribed by any officer or employee of the
executive branch.

``SEC. 1124. SCHOOL BOUNDARIES.

``(a) Establishment by Secretary.--The Secretary shall
establish, by regulation, separate geographical attendance
areas for each Bureau-funded school.
``(b) Establishment by Tribal Body.--In any case where
there is more than one Bureau-funded school located on an
Indian reservation, at the direction of the tribal governing
body, the relevant school boards of the Bureau-funded schools
on the reservation may, by mutual consent, establish the
relevant attendance areas for such schools, subject to the
approval of the tribal governing body. Any such boundaries so
established shall be accepted by the Secretary.
``(c) Boundary Revisions.--
``(1) Notice.--On or after July 1, 2001, no geographical
attendance area shall be revised or established with respect
to any Bureau-funded school unless the tribal governing body
or the local school board concerned (if so designated by the
tribal governing body) has been afforded--
``(A) at least 6 months notice of the intention of the
Bureau to revise or establish such attendance area; and
``(B) the opportunity to propose alternative boundaries.
``(2) Revision process.--Any tribe may petition the
Secretary for revision of existing attendance area
boundaries. The Secretary shall accept such proposed
alternative or revised boundaries unless the Secretary finds,
after consultation with the affected tribe or tribes, that
such revised boundaries do not reflect the needs of the
Indian students to be served or do not provide adequate
stability to all of the affected programs. The Secretary
shall cause such revisions to be published in the Federal
Register.
``(3) Tribal resolution determination.--Nothing in this
section shall deny a tribal governing body the authority, on
a continuing basis, to adopt a tribal resolution allowing
parents the choice of the Bureau-funded school their children
may attend, regardless of the attendance boundaries
established under this section.
``(d) Funding Restrictions.--
``(1) In general.--The Secretary shall not deny funding to
a Bureau-funded school for any eligible Indian student
attending the school solely because that student's home or
domicile is outside of the geographical attendance area
established for that school under this section.
``(2) Transportation.--No funding shall be made available
without tribal authorization to enable a school to provide
transportation for any student to or from the school and a
location outside the approved attendance area of the school.
``(e) Reservation as Boundary.--When there is only 1
Bureau-funded program located on an Indian reservation--
``(1) the attendance area for the program shall be the
boundaries (established by treaty, agreement, legislation,
court decisions, or executive decisions and as accepted by
the tribe) of the reservation served; and
``(2) those students residing near the reservation shall
also receive services from such program.
``(f) Off-Reservation Home-Living (Dormitory) Schools.--
``(1) In general.--Notwithstanding any geographical
attendance areas, attendance at off-reservation home-living
(dormitory) schools shall include students requiring special
emphasis programs to be implemented at each off-reservation
home-living (dormitory) school.
``(2) Coordination.--Such attendance shall be coordinated
between education line officers, the family, and the
referring and receiving programs.

``SEC. 1125. FACILITIES CONSTRUCTION.

``(a) National Survey of Facilities Conditions.--
``(1) In general.--Not later than 12 months after the date
of enactment of the Native American Education Improvement Act
of 2001, the General Accounting Office shall compile,
collect, and secure the data that are needed to prepare a
national survey of the physical conditions of all Bureau-
funded school facilities.
``(2) Data and methodologies.--In preparing the national
survey required under paragraph (1), the General Accounting
Office shall use the following data and methodologies:
``(A) The existing Department of Defense formula for
determining the condition and adequacy of Department of
Defense facilities.
``(B) Data related to conditions of Bureau-funded schools
that has previously been compiled, collected, or secured from
whatever source derived so long as the data are accurate,
relevant, timely, and necessary to the survey.
``(C) The methodologies of the American Institute of
Architects, or other accredited and reputable architecture or
engineering associations.
``(3) Consultations.--
``(A) In general.--In carrying out the survey required
under paragraph (1), the General Accounting Office shall, to
the maximum extent practicable, consult (and if necessary
contract) with national, regional, and tribal Indian
education organizations to ensure that a complete and
accurate national survey is achieved.
``(B) Requests for information.--All Bureau-funded schools
shall comply with reasonable requests for information by the
General Accounting Office and shall respond to such requests
in a timely fashion.
``(4) Submission.--Not later than 2 years after the date of
enactment of the Native American Education Improvement Act of
2001, the General Accounting Office shall submit the results
of the national survey conducted under paragraph (1) to the
Committee on Indian Affairs, the Committee on Health,
Education, Labor, and Pensions, and the Committee on
Appropriations of the Senate and the Committee on Resources,
the Committee on Education and the Workforce, and the
Committee on Appropriations of the House of Representatives
and to the Secretary. The Secretary shall submit the results
of the national survey to school boards of Bureau-funded
schools and their respective tribes.
``(5) Negotiated rulemaking committee.--
``(A) In general.--Not later than 6 months after the date
on which the submission is made under paragraph (4), the
Secretary shall establish a negotiated rulemaking committee
pursuant to section 1138(b)(3). The negotiated rulemaking
committee shall prepare and submit to the Secretary the
following:
``(i) A catalog of the condition of school facilities at
all Bureau-funded schools that--

``(I) incorporates the findings from the General Accounting
Office study evaluating and comparing school systems of the
Department of Defense and the Bureau of Indian Affairs;
``(II) rates such facilities with respect to the rate of
deterioration and useful life of structures and major
systems;
``(III) establishes a routine maintenance schedule for each
facility;
``(IV) identifies the complementary educational facilities
that do not exist but that are needed; and
``(V) makes projections on the amount of funds needed to
keep each school viable, consistent with the accreditation
standards required pursuant to this Act.

``(ii) A school replacement and new construction report
that determines replacement and new construction need, and a
formula for the equitable distribution of funds to address
such need, for Bureau-funded schools. Such formula shall
utilize necessary factors in determining an equitable
distribution of funds, including--

``(I) the size of school;
``(II) school enrollment;
``(III) the age of the school;
``(IV) the condition of the school;
``(V) environmental factors at the school; and
``(VI) school isolation.

``(iii) A renovation repairs report that determines
renovation need (major and minor), and a formula for the
equitable distribution of funds to address such need, for
Bureau-funded schools. Such report shall identify needed
repairs or renovations with respect to a facility, or a part
of a facility, or the grounds of the facility, to remedy a
need based on disabilities access or health and safety
changes to a facility. The formula developed shall utilize
necessary factors in determining an equitable distribution of
funds, including the factors described in clause (ii).
``(B) Submission of reports.--Not later than 24 months
after the negotiated rulemaking committee is established
under subparagraph (A), the reports described in clauses (ii)
and (iii) of subparagraph (A) shall be submitted to the
committees of Congress referred to in paragraph (4), the
national and regional Indian education organizations, and to
all school boards of Bureau-funded schools and their
respective tribes.
``(6) Facilities information systems support database.--The
Secretary shall develop a Facilities Information Systems
Support Database to maintain and update the information
contained in the reports under clauses (ii) and (iii) of
paragraph (5)(A) and the information contained in the survey
conducted under paragraph (1). The system shall be updated
every 3 years by the Bureau of Indian Affairs and monitored
by General Accounting Office, and shall be made available to
school boards of Bureau-funded schools and their respective
tribes, and Congress.
``(b) Compliance With Health and Safety Standards.--
``(1) In general.--The Secretary shall immediately begin to
bring all schools, dormitories, and other Indian education-
related facilities operated by the Bureau or under contract
or grant with the Bureau, into compliance with--
``(A) all applicable tribal, Federal, or State health and
safety standards, whichever provides greater protection
(except that the tribal standards to be applied shall be no
greater than any otherwise applicable Federal or State
standards);
``(B) section 504 of the Rehabilitation Act of 1973; and
``(C) the Americans with Disabilities Act of 1990.
``(2) No termination required.--Nothing in this subsection
requires termination of the operations of any facility that--
``(A) does not comply with the provisions and standards
described in paragraph (1); and
``(B) is in use on the date of enactment of the Native
American Education Improvement Act of 2001.
``(c) Compliance Plan.--At the time that the annual budget
request for Bureau educational services is presented, the
Secretary shall submit to the appropriate committees of
Congress a detailed plan to bring all facilities covered
under subsection (a) into compliance with the standards
referred to in that subsection that includes--
``(1) detailed information on the status of each facility's
compliance with such standards;
``(2) specific cost estimates for meeting such standards at
each school; and
``(3) specific timelines for bringing each school into
compliance with such standards.
``(d) Construction Priorities.--
``(1) System to establish priorities.--On an annual basis,
the Secretary shall submit to the appropriate committees of
Congress and cause to be published in the Federal Register,
the system

[[Page H9928]]

used to establish priorities for replacement and construction
projects for Bureau-funded schools and home-living schools,
including boarding schools and dormitories. At the time any
budget request for education is presented, the Secretary
shall publish in the Federal Register and submit with the
budget request the current list of all Bureau-funded school
construction priorities.
``(2) Long-term construction and replacement list.--In
addition to the plan submitted under subsection (c), the
Secretary shall--
``(A) not later than 18 months after the date of enactment
of the Native American Education Improvement Act of 2001,
establish a long-term construction and replacement list for
all Bureau-funded schools;
``(B) using the list prepared under subparagraph (A),
propose a list for the orderly replacement of all Bureau-
funded education-related facilities over a period of 40 years
to enable planning and scheduling of budget requests;
``(C) cause the list prepared under subsection (B) to be
published in the Federal Register and allow a period of not
less than 120 days for public comment;
``(D) make such revisions to the list prepared under
subparagraph (B) as are appropriate based on the comments
received; and
``(E) cause the final list to be published in the Federal
Register.
``(3) Effect on other list.--Nothing in this section shall
interfere with or change in any way the construction priority
list as it existed on the day before the date of enactment of
the Native American Education Improvement Act of 2001.
``(e) Hazardous Condition at Bureau-Funded School.--
``(1) Closure, consolidation, or curtailment.--
``(A) In general.--A Bureau-funded school may be closed or
consolidated, or the programs of a Bureau-funded school may
be substantially curtailed, by reason of facility conditions
that constitute an immediate hazard to health and safety only
if a health and safety officer of the Bureau and an
individual designated at the beginning of the school year by
the tribe involved under subparagraph (B) determine that such
conditions exist at a facility of the Bureau-funded school.
``(B) Designation of individual by tribe.--To be designated
by a tribe for purposes of subparagraph (A), an individual
shall--
``(i) be a licensed or certified facilities safety
inspector;
``(ii) have demonstrated experience in the inspection of
facilities for health and safety purposes with respect to
occupancy; or
``(iii) have a significant educational background in the
health and safety of facilities with respect to occupancy.
``(C) Inspection.--After making a determination described
in subparagraph (A), the Bureau health and safety officer and
the individual designated by the tribe shall conduct an
inspection of the conditions of such facility in order to
determine whether conditions at such facility constitute an
immediate hazard to health and safety. Such inspection shall
be completed as expeditiously as practicable, but not later
than 20 days after the date on which the action described in
subparagraph (A) is taken.
``(D) Failure to concur.--If the Bureau health and safety
officer, and the individual designated by the tribe,
conducting the inspection of a facility required under
subparagraph (C) do not concur that conditions at the
facility constitute an immediate hazard to health and safety,
such officer and individual shall immediately notify the
tribal governing body and provide written information related
to their determinations.
``(E) Consideration by tribal governing body.--Not later
than 10 days after a tribal governing body receives notice
under subparagraph (D), the tribal governing body shall
consider all information relating to the determinations of
the Bureau health and safety officer and the individual
designated by the tribe and make a determination regarding
the closure, consolidation, or curtailment involved.
``(F) Agreement to close, consolidate, or curtail.--
``(i) In general.--If the Bureau health and safety officer
and the individual designated by the tribe conducting the
inspection of a facility required under subparagraph (C),
concur that conditions at the facility constitute an
immediate hazard to health and safety, or if the tribal
governing body makes such a determination under subparagraph
(E), the facility involved shall be closed immediately.
``(ii) Reopening of facility if no immediate hazard found
to exist.--If the Bureau health and safety officer or the
individual designated by the tribe conducting the inspection
of a facility required under subparagraph (C) determines that
conditions at the facility do not constitute an immediate
hazard to health and safety, any consolidation or curtailment
that was made under this paragraph shall immediately cease
and any school closed by reason of conditions at the facility
shall be reopened immediately.
``(G) General closure report.--If a Bureau-funded school is
temporarily closed or consolidated or the programs of a
Bureau-funded school are temporarily substantially curtailed
under this subsection and the Secretary determines that the
closure, consolidation, or curtailment will exceed 1 year,
the Secretary shall submit to the appropriate committees of
Congress, the affected tribe, and the local school board,
not later than 90 days after the date on which the
closure, consolidation, or curtailment was initiated, a
report that specifies--
``(i) the reasons for such temporary action;
``(ii) the actions the Secretary is taking to eliminate the
conditions that constitute the hazard;
``(iii) an estimated date by which the actions described in
clause (ii) will be concluded; and
``(iv) a plan for providing alternate education services
for students enrolled at the school that is to be closed.
``(2) Nonapplication of certain standards for temporary
facility use.--
``(A) Classroom activities.--The Secretary shall permit the
local school board to temporarily utilize facilities adjacent
to the school, or satellite facilities, if such facilities
are suitable for conducting classroom activities. In
permitting the use of facilities under the preceding
sentence, the Secretary may waive applicable minor standards
under section 1121 relating to such facilities (such as the
required number of exit lights or configuration of restrooms)
so long as such waivers do not result in the creation of an
environment that constitutes an immediate and substantial
threat to the health, safety, and life of students and staff.
``(B) Administrative activities.--The provisions of
subparagraph (A) shall apply with respect to administrative
personnel if the facilities involved are suitable for
activities performed by such personnel.
``(C) Temporary.--In this paragraph, the term `temporary'
means--
``(i) with respect to a school that is to be closed for not
more than 1 year, 3 months or less; and
``(ii) with respect to a school that is to be closed for
not less than 1 year, a time period determined appropriate by
the Bureau.
``(3) Treatment of closure.--Any closure of a Bureau-funded
school under this subsection for a period that exceeds 30
days but is less than 1 year, shall be treated by the Bureau
as an emergency facility improvement and repair project.
``(4) Use of funds.--With respect to a Bureau-funded school
that is closed under this subsection, the tribal governing
body, or the designated local school board of each Bureau-
funded school, involved may authorize the use of funds
allocated pursuant to section 1127, to abate the hazardous
conditions without further action by Congress.
``(f) Funding Requirement.--
``(1) Distribution of funds.--Beginning with the first
fiscal year following the date of enactment of the Native
American Education Improvement Act of 2001, all funds
appropriated to the budget accounts for the operations and
maintenance of Bureau-funded schools shall be distributed by
formula to the schools. No funds from these accounts may be
retained or segregated by the Bureau to pay for
administrative or other costs of any facilities branch or
office, at any level of the Bureau.
``(2) Requirements for certain uses.--No funds shall be
withheld from the distribution to the budget of any school
operated under contract or grant by the Bureau for
maintenance or any other facilities or road-related purpose,
unless such school has consented, as a modification to the
contract or in writing for grants schools, to the withholding
of such funds, including the amount thereof, the purpose for
which the funds will be used, and the timeline for the
services to be provided. The school may, at the end of any
fiscal year, cancel an agreement under this paragraph upon
giving the Bureau 30 days notice of its intent to do so.
``(g) No Reduction in Federal Funding.--Nothing in this
section shall diminish any Federal funding due to the receipt
by the school of funding for facilities improvement or
construction from a State or any other source.

``SEC. 1126. BUREAU OF INDIAN AFFAIRS EDUCATION FUNCTIONS.

``(a) Formulation and Establishment of Policy and
Procedure; Supervision of Programs and Expenditures.--The
Secretary shall vest in the Assistant Secretary for Indian
Affairs all functions with respect to formulation and
establishment of policy and procedure and supervision of
programs and expenditures of Federal funds for the purpose of
Indian education administered by the Bureau. The Assistant
Secretary shall carry out such functions through the Director
of the Office of Indian Education Programs.
``(b) Direction and Supervision of Personnel Operations.--
``(1) In general.--Not later than 180 days after the date
of enactment of the Native American Education Improvement Act
of 2001, the Director of the Office shall direct and
supervise the operations of all personnel directly and
substantially involved in the provision of education program
services by the Bureau, including school or institution
custodial or maintenance personnel, and personnel responsible
for contracting, procurement, and finance functions connected
with school operation programs.
``(2) Transfers.--The Assistant Secretary for Indian
Affairs shall, not later than 180 days after the date of
enactment of the Native American Education Improvement Act of
2001, coordinate the transfer of functions relating to
procurements for, contracts of, operation of, and maintenance
of schools and other support functions to the Director.
``(c) Inherent Federal Function.--For purposes of this Act,
all functions relating to education that are located at the
Area or Agency level and performed by an education line
officer shall be subject to contract under the Indian Self-
Determination and Education Assistance Act, unless determined
by the Secretary to be inherently Federal functions as
defined in section 1141(12).
``(d) Evaluation of Programs; Services and Support
Functions; Technical and Coordinating Assistance.--Education
personnel who are under the direction and supervision of the
Director of the Office of Indian Education Programs in
accordance with subsection (b)(1) shall--
``(1) monitor and evaluate Bureau education programs;

[[Page H9929]]

``(2) provide all services and support functions for
education programs with respect to personnel matters
involving staffing actions and functions; and
``(3) provide technical and coordinating assistance in
areas such as procurement, contracting, budgeting, personnel,
curriculum, and operation and maintenance of school
facilities.
``(e) Construction, Improvement, Operation, and Maintenance
of Facilities.--
``(1) Plan for construction.--The Assistant Secretary shall
submit as part of the annual budget a plan--
``(A) for school facilities to be constructed under section
1125(c);
``(B) for establishing priorities among projects and for
the improvement and repair of educational facilities, which
together shall form the basis for the distribution of
appropriated funds; and
``(C) for capital improvements to be made over the 5
succeeding years.
``(2) Program for operation and maintenance.--
``(A) Establishment.--The Assistant Secretary shall
establish a program, including the distribution of
appropriated funds, for the operation and maintenance of
education facilities. Such program shall include--
``(i) a method of computing the amount necessary for each
educational facility;
``(ii) similar treatment of all Bureau-funded schools;
``(iii) a notice of an allocation of appropriated funds
from the Director of the Office of Indian Education Programs
directly to the education line officers and appropriate
school officials;
``(iv) a method for determining the need for, and priority
of, facilities repair and maintenance projects, both major
and minor (to be determined, through the conduct by the
Assistant Secretary, of a series of meetings at the agency
and area level with representatives of the Bureau-funded
schools in those areas and agencies to receive comment on the
lists and prioritization of such projects); and
``(v) a system for the conduct of routine preventive
maintenance.
``(B) Local supervisors.--The appropriate education line
officers shall make arrangements for the maintenance of
education facilities with the local supervisors of the Bureau
maintenance personnel. The local supervisors of Bureau
maintenance personnel shall take appropriate action to
implement the decisions made by the appropriate education
line officers, except that no funds under this chapter may be
authorized for expenditure unless such appropriate education
line officer is assured that the necessary maintenance has
been, or will be, provided in a reasonable manner.
``(3) Implementation.--This subsection shall be implemented
as soon as practicable after the date of enactment of the
Native American Education Improvement Act of 2001.
``(f) Acceptance of Gifts and Bequests.--
``(1) Guidelines.--Notwithstanding any other provision of
law, the Director of the Office shall promulgate guidelines
for the establishment and administration of mechanisms for
the acceptance of gifts and bequests for the use and benefit
of particular schools or designated Bureau-operated education
programs, including, in appropriate cases, the establishment
and administration of trust funds.
``(2) Monitoring and reports.--Except as provided in
paragraph (3), in a case in which a Bureau-operated education
program is the beneficiary of such a gift or bequest, the
Director shall--
``(A) make provisions for monitoring use of the gift or
bequest; and
``(B) submit a report to the appropriate committees of
Congress that describes the amount and terms of such gift or
bequest, the manner in which such gift or bequest shall be
used, and any results achieved by such use.
``(3) Exception.--The requirements of paragraph (2) shall
not apply in the case of a gift or bequest that is valued at
$5,000 or less.
``(g) Definition of Functions.--For the purpose of this
section, the term `functions' includes powers and duties.

``SEC. 1127. ALLOTMENT FORMULA.

``(a) Factors Considered; Revision To Reflect Standards.--
``(1) Formula.--The Secretary shall establish, by
regulation adopted in accordance with section 1137, a formula
for determining the minimum annual amount of funds necessary
to sustain each Bureau-funded school. In establishing such
formula, the Secretary shall consider--
``(A) the number of eligible Indian students served and
total student population of the school;
``(B) special cost factors, such as--
``(i) the isolation of the school;
``(ii) the need for special staffing, transportation, or
educational programs;
``(iii) food and housing costs;
``(iv) maintenance and repair costs associated with the
physical condition of the educational facilities;
``(v) special transportation and other costs of isolated
and small schools;
``(vi) the costs of home-living (dormitory) arrangements,
where determined necessary by a tribal governing body or
designated school board;
``(vii) costs associated with greater lengths of service by
education personnel;
``(viii) the costs of therapeutic programs for students
requiring such programs; and
``(ix) special costs for gifted and talented students;
``(C) the cost of providing academic services which are at
least equivalent to those provided by public schools in the
State in which the school is located;
``(D) whether the available funding will enable the school
involved to comply with the accreditation standards
applicable to the school under section 1121; and
``(E) such other relevant factors as the Secretary
determines are appropriate.
``(2) Revision of formula.--
``(A) In general.--Upon the establishment of the standards
required in section 1122, the Secretary shall revise the
formula established under this subsection to reflect the cost
of funding such standards.
``(B) Review of formula.--Not later than January 1, 2003,
the Secretary shall review the formula established under this
section and shall take such steps as are necessary to
increase the availability of counseling and therapeutic
programs for students in off-reservation home-living
(dormitory) schools and other Bureau-operated residential
facilities.
``(C) Review of standards.--Concurrent with such action,
the Secretary shall review the standards established under
section 1122 to be certain that adequate provision is made
for parental notification regarding, and consent for, such
counseling and therapeutic programs.
``(b) Pro Rata Allotment.--Notwithstanding any other
provision of law, Federal funds appropriated for the general
local operation of Bureau-funded schools shall be allotted
pro rata in accordance with the formula established under
subsection (a).
``(c) Annual Adjustment; Reservation of Amount for School
Board Activities.--
``(1) Annual adjustment.--For fiscal year 2003, and for
each subsequent fiscal year, the Secretary shall adjust the
formula established under subsection (a) to ensure that the
formula does the following:
``(A) Uses a weighted unit of 1.2 for each eligible Indian
student enrolled in the seventh and eighth grades of the
school in considering the number of eligible Indian students
served by the school.
``(B) Considers a school with an enrollment of less than 50
eligible Indian students as having an average daily
attendance of 50 eligible Indian students for purposes of
implementing the adjustment factor for small schools.
``(C) Takes into account the provision of residential
services on less than a 9-month basis at a school when the
school board and supervisor of the school determine that a
less than 9-month basis will be implemented for the school
year involved.
``(D) Uses a weighted unit of 2.0 for each eligible Indian
student that--
``(i) is gifted and talented; and
``(ii) is enrolled in the school on a full-time basis,
in considering the number of eligible Indian students served
by the school.
``(E) Uses a weighted unit of 0.25 for each eligible Indian
student who is enrolled in a year-long credit course in an
Indian or Native language as part of the regular curriculum
of a school, in considering the number of eligible Indian
students served by such school. The adjustment required under
this subparagraph shall be used for such school after--
``(i) the certification of the Indian or Native language
curriculum by the school board of such school to the
Secretary, together with an estimate of the number of full-
time students expected to be enrolled in the curriculum in
the second school year for which the certification is made;
and
(ii) the funds appropriated for allotment under this
section are designated by the appropriations Act
appropriating such funds as the amount necessary to implement
such adjustment at such school without reducing allotments
made under this section to any school by virtue of such
adjustment.
``(2) Reservation of amount.--
``(A) In general.--From the funds allotted in accordance
with the formula established under subsection (a) for each
Bureau school, the local school board of such school may
reserve an amount which does not exceed the greater of--
``(i) $8,000; or
``(ii) the lesser of--

``(I) $15,000; or
``(II) 1 percent of such allotted funds,

for school board activities for such school, including
(notwithstanding any other provision of law) meeting expenses
and the cost of membership in, and support of, organizations
engaged in activities on behalf of Indian education.
``(B) Training.--
``(i) In general.--Each local school board, and any agency
school board that serves as a local school board for any
grant or contract school, shall ensure that each individual
who is a new member of the school board receives, within 1
year after the individual becomes a member of the school
board, 40 hours of training relevant to that individual's
service on the board.
``(ii) Types of training.--Such training may include
training concerning legal issues pertaining to Bureau-funded
schools, legal issues pertaining to school boards, ethics,
and other topics determined to be appropriate by the school
board.
``(iii) Recommendation.--The training described in this
subparagraph shall not be required, but is recommended, for a
tribal governing body that serves in the capacity of a school
board.
``(d) Reservation of Amount for Emergencies.--
``(1) In general.--The Secretary shall reserve from the
funds available for distribution for each fiscal year under
this section an amount that, in the aggregate, equals 1
percent of the funds available for such purpose for that
fiscal year, to be used, at the discretion of the Director of
the Office of Indian Education Programs, to meet emergencies
and unforeseen contingencies affecting the education programs
funded under this section.
``(2) Use of funds.--Funds reserved under this subsection
may be expended only for education services or programs,
including emergency repairs of educational facilities, at a

[[Page H9930]]

schoolsite (as defined by section 5204(c)(2) of the Tribally
Controlled Schools Act of 1988).
``(3) Availability of funds.--Funds reserved under this
subsection shall remain available without fiscal year
limitation until expended. However, the aggregate amount
available from all fiscal years may not exceed 1 percent of
the current year funds.
``(4) Report.--When the Secretary makes funds available
under this subsection, the Secretary shall report such action
to the appropriate committees of Congress within the annual
budget submission.
``(e) Supplemental Appropriations.--Supplemental
appropriations enacted to meet increased pay costs
attributable to school level personnel shall be distributed
under this section.
``(f) Eligible Indian Student Defined.--In this section,
the term `eligible Indian student' means a student who--
``(1) is a member of, or is at least \1/4\ degree Indian
blood descendant of a member of, a tribe that is eligible for
the special programs and services provided by the United
States through the Bureau to Indians because of their status
as Indians;
``(2) resides on or near a reservation or meets the
criteria for attendance at a Bureau off-reservation home-
living school; and
``(3) is enrolled in a Bureau-funded school.
``(g) Tuition.--
``(1) In general.--No eligible Indian student or a student
attending a Bureau school under paragraph (2)(C) may be
charged tuition for attendance at a Bureau school or contract
or grant school.
``(2) Attendance of non-indian students at bureau
schools.--The Secretary may permit the attendance at a Bureau
school of a student who is not an eligible Indian student
if--
``(A) the Secretary determines that the student's
attendance will not adversely affect the school's program for
eligible Indian students because of cost, overcrowding, or
violation of standards or accreditation;
``(B) the school board consents;
``(C) the student is a dependent of a Bureau, Indian Health
Service, or tribal government employee who lives on or near
the school site; or
``(D) tuition is paid for the student that is not more than
the tuition charged by the nearest public school district for
out-of-district students and shall be in addition to the
school's allocation under this section.
``(3) Attendance of non-indian students at contract and
grant schools.--The school board of a contract or grant
school may permit students who are not eligible Indian
students under this subsection to attend its contract school
or grant school. Any tuition collected for those students
shall be in addition to funding received under this section.
``(h) Funds Available Without Fiscal Year Limitation.--
Notwithstanding any other provision of law, at the election
of the school board of a Bureau school made at any time
during the fiscal year, a portion equal to not more than 15
percent of the funds allocated with respect to a school under
this section for any fiscal year shall remain available to
the school for expenditure without fiscal year limitation.
The Assistant Secretary shall take such steps as are
necessary to implement this subsection.
``(i) Students at Richfield Dormitory, Richfield, Utah.--
``(1) In general.--Tuition for the instruction of each out-
of-State Indian student in a home-living situation at the
Richfield dormitory in Richfield, Utah, who attends Sevier
County high schools in Richfield, Utah, for an academic year,
shall be paid from Indian school equalization program funds
authorized in this section and section 1129, at a rate not to
exceed the weighted amount provided for under subsection (b)
for a student for that year.
``(2) No administrative cost funds.--No additional
administrative cost funds shall be provided under this part
to pay for administrative costs relating to the instruction
of the students.

``SEC. 1128. ADMINISTRATIVE COST GRANTS.

``(a) Definitions.--In this section:
``(1) Administrative cost.--
``(A) In general.--The term `administrative cost' means the
cost of necessary administrative functions which--
``(i) the tribe or tribal organization incurs as a result
of operating a tribal elementary or secondary educational
program;
``(ii) are not customarily paid by comparable Bureau-
operated programs out of direct program funds; and
``(iii) are either--

``(I) normally provided for comparable Bureau programs by
Federal officials using resources other than Bureau direct
program funds; or
``(II) are otherwise required of tribal self-determination
program operators by law or prudent management practice.

``(B) Inclusions.--The term `administrative cost' may
include--
``(i) contract or grant (or other agreement)
administration;
``(ii) executive, policy, and corporate leadership and
decisionmaking;
``(iii) program planning, development, and management;
``(iv) fiscal, personnel, property, and procurement
management;
``(v) related office services and record keeping; and
``(vi) costs of necessary insurance, auditing, legal,
safety and security services.
``(2) Bureau elementary and secondary functions.--The term
`Bureau elementary and secondary functions' means--
``(A) all functions funded at Bureau schools by the Office;
``(B) all programs--
``(i) funds for which are appropriated to other agencies of
the Federal Government; and
``(ii) which are administered for the benefit of Indians
through Bureau schools; and
``(C) all operation, maintenance, and repair funds for
facilities and government quarters used in the operation or
support of elementary and secondary education functions for
the benefit of Indians, from whatever source derived.
``(3) Direct cost base.--
``(A) In general.--Except as otherwise provided in
subparagraph (B), the direct cost base of a tribe or tribal
organization for the fiscal year is the aggregate direct cost
program funding for all tribal elementary or secondary
educational programs operated by the tribe or tribal
organization during--
``(i) the second fiscal year preceding such fiscal year; or
``(ii) if such programs have not been operated by the tribe
or tribal organization during the two preceding fiscal years,
the first fiscal year preceding such fiscal year.
``(B) Functions not previously operated.--In the case of
Bureau elementary or secondary education functions which have
not previously been operated by a tribe or tribal
organization under contract, grant, or agreement with the
Bureau, the direct cost base for the initial year shall be
the projected aggregate direct cost program funding for all
Bureau elementary and secondary functions to be operated by
the tribe or tribal organization during that fiscal year.
``(4) Maximum base rate.--The term `maximum base rate'
means 50 percent.
``(5) Minimum base rate.--The term `minimum base rate'
means 11 percent.
``(6) Standard direct cost base.--The term `standard direct
cost base' means $600,000.
``(7) Tribal elementary or secondary educational
programs.--The term `tribal elementary or secondary
educational programs' means all Bureau elementary and
secondary functions, together with any other Bureau programs
or portions of programs (excluding funds for social services
that are appropriated to agencies other than the Bureau and
are funded through the Bureau, funds for major subcontracts,
construction, and other major capital expenditures, and
unexpended funds carried over from prior years) which share
common administrative cost functions, that are operated
directly by a tribe or tribal organization under a contract,
grant, or agreement with the Bureau.
``(b) Grants; Effect Upon Appropriated Amounts.--
``(1) Grants.--Subject to the availability of funds, the
Secretary shall provide grants to each tribe or tribal
organization operating a contract school or grant school in
the amount determined under this section with respect to the
tribe or tribal organization for the purpose of paying the
administrative and indirect costs incurred in operating
contract or grant schools, provided that no school operated
as a stand-alone institution shall receive less than $200,000
per year for these purposes, in order to--
``(A) enable tribes and tribal organizations operating such
schools, without reducing direct program services to the
beneficiaries of the program, to provide all related
administrative overhead services and operations necessary to
meet the requirements of law and prudent management practice;
and
``(B) carry out other necessary support functions which
would otherwise be provided by the Secretary or other Federal
officers or employees, from resources other than direct
program funds, in support of comparable Bureau-operated
programs.
``(2) Effect upon appropriated amounts.--Amounts
appropriated to fund the grants provided under this section
shall be in addition to, and shall not reduce, the amounts
appropriated for the program being administered by the
contract or grant school.
``(c) Determination of Grant Amount.--
``(1) In general.--The amount of the grant provided to each
tribe or tribal organization under this section for each
fiscal year shall be determined by applying the
administrative cost percentage rate of the tribe or tribal
organization to the aggregate of the Bureau elementary and
secondary functions operated by the tribe or tribal
organization for which funds are received from or through the
Bureau.
``(2) Direct cost base funds.--The Secretary shall--
``(A) reduce the amount of the grant determined under
paragraph (1) to the extent that payments for administrative
costs are actually received by an Indian tribe or tribal
organization under any Federal education program included in
the direct cost base of the tribe or tribal organization; and
``(B) take such actions as may be necessary to be
reimbursed by any other department or agency of the Federal
Government for the portion of grants made under this section
for the costs of administering any program for Indians that
is funded by appropriations made to such other department or
agency.
``(d) Administrative Cost Percentage Rate.--
``(1) In general.--For purposes of this section, the
administrative cost percentage rate for a contract or grant
school for a fiscal year is equal to the percentage
determined by dividing--
``(A) the sum of--
``(i) the amount equal to--

``(I) the direct cost base of the tribe or tribal
organization for the fiscal year, multiplied by
``(II) the minimum base rate; plus

``(ii) the amount equal to--

``(I) the standard direct cost base; multiplied by
``(II) the maximum base rate; by

``(B) the sum of--
``(i) the direct cost base of the tribe or tribal
organization for the fiscal year; plus
``(ii) the standard direct cost base.
``(2) Rounding.--The administrative cost percentage rate
shall be determined to the \1/100\ of a decimal point.
``(3) Applicability.--The administrative cost percentage
rate determined under this subsection shall not apply to
other programs operated by the tribe or tribal organization.

[[Page H9931]]

``(e) Combining Funds.--
``(1) In general.--Funds received by a tribe or contract or
grant school as grants under this section for tribal
elementary or secondary educational programs may be combined
by the tribe or contract or grant school into a single
administrative cost account without the necessity of
maintaining separate funding source accounting.
``(2) Indirect cost funds.--Indirect cost funds for
programs at the school which share common administrative
services with tribal elementary or secondary educational
programs may be included in the administrative cost account
described in paragraph (1).
``(f) Availability of Funds.--Funds received as grants
under this section with respect to tribal elementary or
secondary education programs shall remain available to the
contract or grant school without fiscal year limitation and
without diminishing the amount of any grants otherwise
payable to the school under this section for any fiscal year
beginning after the fiscal year for which the grant is
provided.
``(g) Treatment of Funds.--Funds received as grants under
this section for Bureau-funded programs operated by a tribe
or tribal organization under a contract or agreement shall
not be taken into consideration for purposes of indirect cost
underrecovery and overrecovery determinations by any Federal
agency for any other funds, from whatever source derived.
``(h) Treatment of Entity Operating Other Programs.--In
applying this section and section 106 of the Indian Self-
Determination and Education Assistance Act with respect to an
Indian tribe or tribal organization that--
``(1) receives funds under this section for administrative
costs incurred in operating a contract or grant school or a
school operated under the Tribally Controlled Schools Act of
1988; and
``(2) operates 1 or more other programs under a contract or
grant provided under the Indian Self-Determination and
Education Assistance Act,

the Secretary shall ensure that the Indian tribe or tribal
organization is provided with the full amount of the
administrative costs that are associated with operating the
contract or grant school, and of the indirect costs, that are
associated with all of such other programs, except that funds
appropriated for implementation of this section shall be used
only to supply the amount of the grant required to be
provided by this section.
``(i) Studies for Determination of Factors Affecting Costs;
Base Rates Limits; Standard Direct Cost Base; Report to
Congress.--
``(1) Studies.--Not later than 120 days after the date of
enactment of the Native American Education Improvement Act of
2001, the Director of the Office of Indian Education Programs
shall--
``(A) conduct such studies as may be needed to establish an
empirical basis for determining relevant factors
substantially affecting required administrative costs of
tribal elementary and secondary education programs, using the
formula set forth in subsection (c); and
``(B) conduct a study to determine--
``(i) a maximum base rate which ensures that the amount of
the grants provided under this section will provide adequate
(but not excessive) funding of the administrative costs of
the smallest tribal elementary or secondary educational
programs;
``(ii) a minimum base rate which ensures that the amount of
the grants provided under this section will provide adequate
(but not excessive) funding of the administrative costs of
the largest tribal elementary or secondary educational
programs; and
``(iii) a standard direct cost base which is the aggregate
direct cost funding level for which the percentage determined
under subsection (d) will--
``(I) be equal to the median between the maximum base rate
and the minimum base rate; and
``(II) ensure that the amount of the grants provided under
this section will provide adequate (but not excessive)
funding of the administrative costs of tribal elementary or
secondary educational programs closest to the size of the
program.
``(2) Guidelines.--The studies required under paragraph (1)
shall--
``(A) be conducted in full consultation (in accordance with
section 1131) with--
``(i) the tribes and tribal organizations that are affected
by the application of the formula set forth in subsection
(c); and
``(ii) all national and regional Indian organizations of
which such tribes and tribal organizations are typically
members;
``(B) be conducted onsite with a representative statistical
sample of the tribal elementary or secondary educational
programs under a contract entered into with a nationally
reputable public accounting and business consulting firm;
``(C) take into account the availability of skilled labor
commodities, business and automatic data processing services,
related Indian preference and Indian control of education
requirements, and any other market factors found to
substantially affect the administrative costs and efficiency
of each such tribal elementary or secondary educational
program studied in order to ensure that all required
administrative activities can reasonably be delivered in a
cost effective manner for each such program, given an
administrative cost allowance generated by the values,
percentages, or other factors found in the studies to be
relevant in such formula;
``(D) identify, and quantify in terms of percentages of
direct program costs, any general factors arising from
geographic isolation, or numbers of programs administered,
independent of program size factors used to compute a base
administrative cost percentage in such formula; and
``(E) identify any other incremental cost factors
substantially affecting the costs of required administrative
cost functions at any of the tribal elementary or secondary
educational programs studied and determine whether the
factors are of general applicability to other such programs,
and (if so) how the factors may effectively be incorporated
into such formula.
``(3) Consultation with inspector general.--In carrying out
the studies required under this subsection, the Director
shall obtain the input of, and afford an opportunity to
participate to, the Inspector General of the Department of
the Interior.
``(4) Consideration of delivery of administrative
services.--Determinations described in paragraph (2)(C) shall
be based on what is practicable at each location studied,
given prudent management practice, irrespective of whether
required administrative services were actually or fully
delivered at these sites, or whether other services were
delivered instead, during the period of the study.
``(5) Report.--Upon completion of the studies conducted
under paragraph (1), the Director shall submit to Congress a
report on the findings of the studies, together with
determinations based upon such studies that would affect the
definitions set forth under subsection (e) that are used in
the formula set forth in subsection (c).
``(6) Projection of costs.--The Secretary shall include in
the Bureau's justification for each appropriations request
beginning in the first fiscal year after the completion of
the studies conducted under paragraph (1), a projection of
the overall costs associated with the formula set forth in
subsection (c) for all tribal elementary or secondary
education programs which the Secretary expects to be funded
in the fiscal year for which the appropriations are sought.
``(7) Determination of program size.--For purposes of this
subsection, the size of tribal elementary or secondary
educational programs is determined by the aggregate direct
cost program funding level for all Bureau-funded programs
which share common administrative cost functions.
``(j) Authorization of Appropriations.--
``(1) In general.--There are authorized to be appropriated
to carry out this section such sums as may be necessary.
``(2) Reductions.--If the total amount of funds necessary
to provide grants to tribes and tribal organizations in the
amounts determined under subsection (c) for a fiscal year
exceeds the amount of funds appropriated to carry out this
section for such fiscal year, the Secretary shall reduce the
amount of each grant determined under subsection (c) for such
fiscal year by an amount that bears the same relationship to
such excess as the amount of such grants determined under
subsection (c) bears to the total of all grants determined
under subsection (c) section for all tribes and tribal
organizations for such fiscal year.
``(k) Applicability to Schools Operating Under Tribally
Controlled Schools Act of 1988.--The provisions of this
section shall apply to schools operating under the Tribally
Controlled Schools Act of 1988.
``(l) Administrative Cost Grant Budget Requests.--
``(1) In general.--Beginning with President's annual budget
request under section 1105 of title 31, United States Code
for fiscal year 2002, and with respect to each succeeding
budget request, at the discretion of the Secretary, the
Secretary shall submit to the appropriate committees of
Congress information and funding requests for the full
funding of administrative costs grants required to be paid
under this section.
``(2) Requirements.--
``(A) Funding for new conversions to contract or grant
school operations.--With respect to a budget request under
paragraph (1), the amount required to provide full funding
for an administrative cost grant for each tribe or tribal
organization expected to begin operation of a Bureau-funded
school as contract or grant school in the academic year
funded by such annual budget request, the amount so required
shall not be less than 10 percent of the amount required for
subparagraph (B).
``(B) Funding for continuing contract and grant school
operations.--With respect to a budget request under paragraph
(1), the amount required to provide full funding for an
administrative cost grant for each tribe or tribal
organization operating a contract or grant school at the time
the annual budget request is submitted, which amount shall
include the amount of funds required to provide full funding
for an administrative cost grant for each tribe or tribal
organization which began operation of a contract or grant
school with administrative cost grant funds supplied from the
amount described in subparagraph (A).

``SEC. 1129. DIVISION OF BUDGET ANALYSIS.

``(a) Establishment.--Not later than 1 year after the date
of enactment of the Native American Education Improvement Act
of 2001, the Secretary shall establish within the Office of
Indian Education Programs a Division of Budget Analysis
(hereafter in this section referred to as the `Division').
Such Division shall be under the direct supervision and
control of the Director of the Office.
``(b) Functions.--In consultation with the tribal governing
bodies and tribal school boards, the Director of the Office,
through the Division, shall conduct studies, surveys, or
other activities to gather demographic information on Bureau-
funded schools and project the amount necessary to provide
Indian students in such schools the educational program set
forth in this part.
``(c) Annual Reports.--Not later than the date on which the
Assistant Secretary for Indian Affairs makes the annual
budget submission, for each fiscal year after the date of
enactment of the Native American Education Improvement Act of
2001, the Director of the Office

[[Page H9932]]

shall submit to the appropriate committees of Congress
(including the Appropriations committees), all Bureau-funded
schools, and the tribal governing bodies of such schools, a
report that contains--
``(1) projections, based upon the information gathered
pursuant to subsection (b) and any other relevant
information, of amounts necessary to provide Indian students
in Bureau-funded schools the educational program set forth in
this part;
``(2) a description of the methods and formulas used to
calculate the amounts projected pursuant to paragraph (1);
and
``(3) such other information as the Director of the Office
considers appropriate.
``(d) Use of Reports.--The Director of the Office and the
Assistant Secretary for Indian Affairs shall use the annual
report required by subsection (c) when preparing annual
budget submissions.

``SEC. 1130. UNIFORM DIRECT FUNDING AND SUPPORT.

``(a) Establishment of System and Forward Funding.--
``(1) In general.--The Secretary shall establish, by
regulation adopted in accordance with section 1136, a system
for the direct funding and support of all Bureau-funded
schools. Such system shall allot funds in accordance with
section 1127. All amounts appropriated for distribution in
accordance with this section shall be made available in
accordance with paragraph (2).
``(2) Timing for use of funds.--
``(A) Availability.--For the purposes of affording adequate
notice of funding available pursuant to the allotments made
under section 1127 and the allotments of funds for operation
and maintenance of facilities, amounts appropriated in an
appropriations Act for any fiscal year for such allotments--
``(i) shall become available for obligation by the affected
schools on July 1 of the fiscal year for which such
allotments are appropriated without further action by the
Secretary; and
``(ii) shall remain available for obligation through the
succeeding fiscal year.
``(B) Publications.--The Secretary shall, on the basis of
the amounts appropriated as described in this paragraph--
``(i) publish, not later than July 1 of the fiscal year for
which the amounts are appropriated, information indicating
the amount of the allotments to be made to each affected
school under section 1127, of 80 percent of such appropriated
amounts; and
``(ii) publish, not later than September 30 of such fiscal
year, information indicating the amount of the allotments to
be made under section 1127, from the remaining 20 percent of
such appropriated amounts, adjusted to reflect the actual
student attendance.
``(C) Overpayments.--Any overpayments made to tribal
schools shall be returned to the Secretary not later than 30
days after the final determination that the school was
overpaid pursuant to this section.
``(3) Limitation.--
``(A) Expenditures.--Notwithstanding any other provision of
law (including a regulation), the supervisor of a Bureau-
operated school may expend an aggregate of not more than
$50,000 of the amount allotted to the school under section
1127 to acquire materials, supplies, equipment, operation
services, maintenance services, and other services for the
school, and amounts received as operations and maintenance
funds, funds received from the Department of Education, or
funds received from other Federal sources, without
competitive bidding if--
``(i) the cost for any single item acquired does not exceed
$15,000;
``(ii) the school board approves the acquisition;
``(iii) the supervisor certifies that the cost is fair and
reasonable;
``(iv) the documents relating to the acquisition executed
by the supervisor of the school or other school staff cite
this paragraph as authority for the acquisition; and
``(v) the acquisition transaction is documented in a
journal maintained at the school that clearly identifies when
the transaction occurred, the item that was acquired and from
whom, the price paid, the quantities acquired, and any other
information the supervisor or the school board considers to
be relevant.
``(B) Notice.--Not later than 6 months after the date of
enactment of the Native American Education Improvement Act of
2001, the Secretary shall send notice of the provisions of
this paragraph to each supervisor of a Bureau school and
associated school board chairperson, the education line
officer of each agency and area, and the Bureau division in
charge of procurement, at both the local and national levels.
``(C) Application and guidelines.--The Director of the
Office shall be responsible for--
``(i) determining the application of this paragraph,
including the authorization of specific individuals to carry
out this paragraph;
``(ii) ensuring that there is at least 1 such individual at
each Bureau facility; and
``(iii) the provision of guidelines on the use of this
paragraph and adequate training on such guidelines.
``(4) Effect of sequestration order.--If a sequestration
order issued under the Balanced Budget and Emergency Deficit
Control Act of 1985 reduces the amount of funds available for
allotment under section 1127 for any fiscal year by more than
7 percent of the amount of funds available for allotment
under such section during the preceding fiscal year--
``(A) to fund allotments under section 1127, the Secretary,
notwithstanding any other law, may use--
``(i) funds appropriated for the operation of any Bureau-
funded school that is closed or consolidated; and
``(ii) funds appropriated for any program that has been
curtailed at any Bureau school; and
``(B) the Secretary may waive the application of the
provisions of section 1121(h) with respect to the closure or
consolidation of a school, or the curtailment of a program at
a school, during such fiscal year if the funds described in
clauses (i) and (ii) of subparagraph (A) with respect to such
school are used to fund allotments made under section 1127
for such fiscal year.
``(b) Local Financial Plans for Expenditure of Funds.--
``(1) Plan required.--Each Bureau-operated school that
receives an allotment under section 1127 shall prepare a
local financial plan that specifies the manner in which the
school will expend the funds made available under the
allotment and ensures that the school will meet the
accreditation requirements or standards for the school
pursuant to section 1121.
``(2) Requirement.--A local financial plan under paragraph
(1) shall comply with all applicable Federal and tribal laws.
``(3) Preparation and revision.--
``(A) In general.--The financial plan for a school under
subparagraph (A) shall be prepared by the supervisor of the
school in active consultation with the local school board for
the school.
``(B) Authority of school board.--The local school board
for each school shall have the authority to ratify, reject,
or amend such financial plan and, at the initiative of the
local school board or in response to the supervisor of the
school, to revise such financial plan to meet needs not
foreseen at the time of preparation of the financial plan.
``(4) Role of supervisor.--The supervisor of the school--
``(A) shall implement the decisions of the school board
relating to the financial plan under paragraph (1);
``(B) shall provide the appropriate local union
representative of the education employees of the school with
copies of proposed financial plans relating to the school and
all modifications and proposed modifications to the plans,
and at the same time submit such copies to the local school
board; and
``(C) may appeal any such action of the local school board
to the appropriate education line officer of the Bureau
agency by filing a written statement describing the action
and the reasons the supervisor believes such action should be
overturned.
``(5) Statements.--
``(A) In general.--A copy of each statement filed under
paragraph (4)(C) shall be submitted to the local school board
and such board shall be afforded an opportunity to respond,
in writing, to such appeal.
``(B) Overturned actions.--After reviewing such written
appeal and response, the appropriate education line officer
may, for good cause, overturn the action of the local school
board.
``(C) Transmission of determination.--The appropriate
education line officer shall transmit the determination of
such appeal in the form of a written opinion to such board
and to such supervisor identifying the reasons for
overturning such action.
``(c) Tribal Division of Education, Self-Determination
Grant and Contract Funds.--The Secretary may approve
applications for funding tribal divisions of education and
developing tribal codes of education, from funds made
available pursuant to section 103(a) of the Indian Self-
Determination and Education Assistance Act.
``(d) Technical Assistance and Training.--In carrying out
this section, a local school board may request technical
assistance and training from the Secretary, and the Secretary
shall, to the maximum extent practicable, provide those
services and make appropriate provisions in the budget of the
Office for the provision of those services.
``(e) Summer Program of Academic and Support Services.--
``(1) Plan.--
``(A) In general.--A financial plan under subsection (b)
for a school may include, at the discretion of the local
administrator and the school board of such school, a
provision for a summer program of academic and support
services for students of the school.
``(B) Prevention activities.--Any such program may include
activities related to the prevention of alcohol and substance
abuse.
``(C) Summer use.--The Assistant Secretary for Indian
Affairs shall provide for the use of any such school facility
during any summer in which such use is requested.
``(2) Use of other funds.--Notwithstanding any other
provision of law, funds authorized under the Act of April 16,
1934, and this Act may be used to augment the services
provided in each summer program at the option, and under the
control, of the tribe or Indian controlled school receiving
such funds.
``(3) Technical assistance and program coordination.--The
Assistant Secretary for Indian Affairs, acting through the
Director of the Office, shall--
``(A) provide technical assistance and coordination for any
program described in paragraph (1); and
``(B) to the extent practicable, encourage the coordination
of such programs with any other summer programs that might
benefit Indian youth, regardless of the funding source or
administrative entity of any such program.
``(f) Cooperative Agreements.--
``(1) Implementation.--
``(A) In general.--From funds allotted to a Bureau school
under section 1127, the Secretary shall, if specifically
requested by the appropriate tribal governing body, implement
a cooperative agreement that is entered into between the
tribe, the Bureau, the local school board, and a local public
school district that meets the requirements of paragraph (2)
and involves the school.

[[Page H9933]]

``(B) Terms.--The tribe, the Bureau, the school board, and
the local public school district shall determine the terms of
an agreement entered into under subparagraph (A).
``(2) Coordination provisions.--An agreement under
paragraph (1) may, with respect to the Bureau school and
schools in the school district involved, encompass
coordination of all or any part of the following:
``(A) The academic program and curriculum, unless the
Bureau school is accredited by a State or regional
accrediting entity and would not continue to be so accredited
if the agreement encompassed the program and curriculum.
``(B) Support services, including procurement and
facilities maintenance.
``(C) Transportation.
``(3) Equal benefit and burden.--
``(A) In general.--Each agreement entered into under
paragraph (1) shall confer a benefit upon the Bureau school
commensurate with the burden assumed by the school.
``(B) Limitation.--Subparagraph (A) shall not be construed
to require equal expenditures, or an exchange of similar
services, by the Bureau school and schools in the school
district.
``(g) Product or Result of Student Projects.--
Notwithstanding any other provision of law, in a case in
which there is agreement on action between the superintendent
and the school board of a Bureau-funded school, the product
or result of a project conducted in whole or in major part by
a student may be given to that student upon the completion of
such project.
``(h) Matching Fund Requirements.--
``(1) Not considered federal funds.--Notwithstanding any
other provision of law, funds received by a Bureau-funded
school under this title for education-related activities (not
including funds for construction, maintenance, and facilities
improvement or repair) shall not be considered Federal funds
for the purposes of a matching funds requirement for any
Federal program.
``(2) Limitation.--In considering an application from a
Bureau-funded school for participation in a program or
project that requires matching funds, the entity
administering such program or project or awarding such grant
shall not give positive or negative weight to such
application based solely on the provisions of paragraph (1).

``SEC. 1131. POLICY FOR INDIAN CONTROL OF INDIAN EDUCATION.

``(a) Facilitation of Indian Control.--It shall be the
policy of the United States acting through the Secretary, in
carrying out the functions of the Bureau, to facilitate
Indian control of Indian affairs in all matters relating to
education.
``(b) Consultation With Tribes.--
``(1) In general.--All actions under this Act shall be done
with active consultation with tribes. The United States
acting through the Secretary, and tribes shall work in a
government-to-government relationship to ensure quality
education for all tribal members.
``(2) Requirements.--
``(A) Definition of consultation.--In this subsection, the
term `consultation' means a process involving the open
discussion and joint deliberation of all options with respect
to potential issues or changes between the Bureau and all
interested parties.
``(B) Discussion and joint deliberation.--During
discussions and joint deliberations, interested parties
(including tribes and school officials) shall be given an
opportunity--
``(i) to present issues (including proposals regarding
changes in current practices or programs) that will be
considered for future action by the Secretary; and
``(ii) to participate and discuss the options presented, or
to present alternatives, with the views and concerns of the
interested parties given effect unless the Secretary
determines, from information available from or presented by
the interested parties during 1 or more of the discussions
and deliberations, that there is a substantial reason for
another course of action.
``(C) Explanation by secretary.--The Secretary shall submit
to any Member of Congress, within 18 days of the receipt of a
written request by such Member, a written explanation of any
decision made by the Secretary which is not consistent with
the views of the interested parties described in subparagraph
(B).

``SEC. 1132. INDIAN EDUCATION PERSONNEL.

``(a) In General.--Chapter 51, subchapter III of chapter
53, and chapter 63 of title 5, United States Code, relating
to classification, pay and leave, respectively, and the
sections of such title relating to the appointment,
promotion, hours of work, and removal of civil service
employees, shall not apply to educators or to education
positions (as defined in subsection (p)).
``(b) Regulations.--Not later than 60 days after the date
of enactment of the Native American Education Improvement Act
of 2001, the Secretary shall prescribe regulations to carry
out this section. Such regulations shall provide for--
``(1) the establishment of education positions;
``(2) the establishment of qualifications for educators and
education personnel;
``(3) the fixing of basic compensation for educators and
education positions;
``(4) the appointment of educators;
``(5) the discharge of educators;
``(6) the entitlement of educators to compensation;
``(7) the payment of compensation to educators;
``(8) the conditions of employment of educators;
``(9) the leave system for educators;
``(10) the annual leave and sick leave for educators;
``(11) the length of the school year applicable to
education positions described in subsection (a); and
``(12) such additional matters as may be appropriate.
``(c) Qualifications of Educators.--
``(1) Requirements.--In prescribing regulations to govern
the qualifications of educators, the Secretary shall require
that--
``(A) lists of qualified and interviewed applicants for
education positions be maintained in each agency and area
office of the Bureau from among individuals who have applied
at the agency or area level for an education position or who
have applied at the national level and have indicated in such
application an interest in working in certain areas or
agencies;
``(B) a local school board shall have the authority to
waive on a case-by-case basis, any formal education or degree
qualifications established by regulation pursuant to
subsection (b)(2), in order for a tribal member to be hired
in an education position to teach courses on tribal culture
and language and that subject to subsection (e)(2), a
determination by a school board that such a person be
hired shall be instituted by the supervisor of the school
involved; and
``(C) that it shall not be a prerequisite to the employment
of an individual in an education position at the local level
that--
``(i) such individual's name appear on a list maintained
pursuant to subparagraph (A); or
``(ii) such individual have applied at the national level
for an education position.
``(2) Exception for certain temporary employment.--The
Secretary may authorize the temporary employment in an
education position of an individual who has not met the
certification standards established pursuant to regulations
if the Secretary determines that failure to do so would
result in that position remaining vacant.
``(d) Hiring of Educators.--
``(1) Requirements.--In prescribing regulations to govern
the appointment of educators, the Secretary shall require--
``(A)(i)(I) that educators employed in a Bureau school
(other than the supervisor of the school) shall be hired by
the supervisor of the school; and
``(II) in a case in which there are no qualified applicants
available to fill a vacancy at a Bureau school, the
supervisor may consult a list maintained pursuant to
subsection (c)(1)(A);
``(ii) each supervisor of a Bureau school shall be hired by
the education line officer of the agency office of the Bureau
for the jurisdiction in which the school is located;
``(iii) each educator employed in an agency office of the
Bureau shall be hired by the superintendent for education of
the agency office; and
``(iv) each education line officer and educator employed in
the office of the Director of the Office shall be hired by
the Director;
``(B)(i) before an individual is employed in an education
position in a Bureau school by the supervisor of the school
(or, with respect to the position of supervisor, by the
appropriate agency education line officer), the local school
board for the school shall be consulted; and
``(ii) that a determination by such school board, as
evidenced by school board records, that such individual
should or should not be so employed shall be instituted by
the supervisor (or with respect to the position of
supervisor, by the superintendent for education of the agency
office);
``(C)(i) before an individual is employed in an education
position in an agency or area office of the Bureau, the
appropriate agency school board shall be consulted; and
``(ii) a determination by such school board, as evidenced
by school board records, that such individual should or
should not be employed shall be instituted by the
superintendent for education of the agency office; and
``(D) all employment decisions or actions be in compliance
with all applicable Federal, State and tribal laws.
``(2) Information regarding application at national
level.--
``(A) In general.--Any individual who applies at the local
level for an education position shall state on such
individual's application whether or not such individual has
applied at the national level for an education position in
the Bureau.
``(B) Determination of accuracy.--If such individual is
employed at the local level, such individual's name shall be
immediately forwarded to the Secretary, who shall, as soon as
practicable but in no event in more than 30 days, ascertain
the accuracy of the statement made by such individual
pursuant to subparagraph (A).
``(C) False statements.--Notwithstanding subsection (e), if
the individual's statement is found to have been false, such
individual, at the Secretary's discretion, may be disciplined
or discharged.
``(D) Conditional appointment for national provision.--If
the individual has applied at the national level for an
education position in the Bureau, the appointment of such
individual at the local level shall be conditional for a
period of 90 days, during which period the Secretary may
appoint a more qualified individual (as determined by the
Secretary) from the list maintained at the national level
pursuant to subsection (c)(1)(A)(ii) to the position to which
such individual was appointed.
``(3) Statutory construction.--Except as expressly
provided, nothing in this section shall be construed as
conferring upon local school boards authority over, or
control of, educators at Bureau-funded schools or the
authority to issue management decisions.
``(4) Appeals.--
``(A) By supervisor.--
``(i) In general.--The supervisor of a school may appeal to
the appropriate agency education line officer any
determination by the local school board for the school that
an individual

[[Page H9934]]

be employed, or not be employed, in an education position in
the school (other than that of supervisor) by filing a
written statement describing the determination and the
reasons the supervisor believes such determination should be
overturned.
``(ii) Action by board.--A copy of such statement shall be
submitted to the local school board and such board shall be
afforded an opportunity to respond, in writing, to such
appeal.
``(iii) Overturning of determination.--After reviewing such
written appeal and response, the education line officer may,
for good cause, overturn the determination of the local
school board.
``(iv) Transmission of determination.--The education line
officer shall transmit the determination of such appeal in
the form of a written opinion to such board and to such
supervisor identifying the reasons for overturning such
determination.
``(B) By education line officer.--
``(i) In general.--The education line officer of an agency
office of the Bureau may appeal to the Director of the Office
any determination by the local school board for the school
that an individual be employed, or not be employed, as the
supervisor of a school by filing a written statement
describing the determination and the reasons the supervisor
believes such determination should be overturned.
``(ii) Action by board.--A copy of such statement shall be
submitted to the local school board and such board shall be
afforded an opportunity to respond, in writing, to such
appeal.
``(iii) Overturning of determination.--After reviewing such
written appeal and response, the Director may, for good
cause, overturn the determination of the local school board.
``(iv) Transmission of determination.--The Director shall
transmit the determination of such appeal in the form of a
written opinion to such board and to such education line
officer identifying the reasons for overturning such
determination.
``(5) Other appeals.--
``(A) In general.--The education line officer of an agency
office of the Bureau may appeal to the Director of the Office
any determination by the agency school board that an
individual be employed, or not be employed, in an education
position in such agency office by filing a written statement
describing the determination and the reasons the supervisor
believes such determination should be overturned.
``(B) Action by board.--A copy of such statement shall be
submitted to the agency school board and such board shall be
afforded an opportunity to respond, in writing, to such
appeal.
``(C) Overturning of determination.--After reviewing such
written appeal and response, the Director may, for good
cause, overturn the determination of the agency school board.
``(D) Transmission of determination.--The Director shall
transmit the determination of such appeal in the form of a
written opinion to such board and to such education line
officer identifying the reasons for overturning such
determination.
``(e) Discharge and Conditions of Employment of
Educators.--
``(1) Regulations.--In promulgating regulations to govern
the discharge and conditions of employment of educators, the
Secretary shall require--
``(A) that procedures shall be established for the rapid
and equitable resolution of grievances of educators;
``(B) that no educator may be discharged without notice of
the reasons for the discharge and an opportunity for a
hearing under procedures that comport with the requirements
of due process; and
``(C) that each educator employed in a Bureau school shall
be notified 30 days prior to the end of an academic year
whether the employment contract of the individual will be
renewed for the following year.
``(2) Procedures for discharge.--
``(A) Determinations.--
``(i) In general.--Except as provided in clause (iii), the
supervisor of a Bureau school may discharge (subject to
procedures established under paragraph (1)(B)) for cause (as
determined under regulations prescribed by the Secretary) any
educator employed in such school.
``(ii) Notification of board.--On giving notice to an
educator of the supervisor's intention to discharge the
educator, the supervisor shall immediately notify the local
school board of the proposed discharge.
``(iii) Determination by board.--If the local school board
determines that such educator shall not be discharged, that
determination shall be followed by the supervisor.
``(B) Appeals.--
``(i) In general.--The supervisor shall have the right to
appeal to the education line officer of the appropriate
agency office of the Bureau a determination by a local school
board under subparagraph (A)(iii), as evidenced by school
board records, not to discharge an educator.
``(ii) Decision of agency education line officer.--Upon
hearing such an appeal, the agency education line officer
may, for good cause, issue a decision overturning the
determination of the local school board with respect to the
employment of such individual.
``(iii) Form of decision.--The education line officer shall
make the decision in writing and submit the decision to the
local school board.
``(3) Recommendations of school boards for discharge.--Each
local school board for a Bureau school shall have the right--
``(A) to recommend to the supervisor that an educator
employed in the school be discharged; and
``(B) to recommend to the education line officer of the
appropriate agency office of the Bureau and to the Director
of the Office, that the supervisor of the school be
discharged.
``(f) Applicability of Indian Preference Laws.--
``(1) Applicability.--
``(A) In general.--Notwithstanding any provision of the
Indian preference laws, such laws shall not apply in the case
of any personnel action carried out under this section with
respect to an applicant or employee not entitled to an Indian
preference if each tribal organization concerned--
``(i) grants a written waiver of the application of those
laws with respect to the personnel action; and
``(ii) states that the waiver is necessary.
``(B) No effect on responsibility of bureau.--This
paragraph shall not be construed to relieve the
responsibility of the Bureau to issue timely and adequate
announcements and advertisements concerning any such
personnel action if such action is intended to fill a vacancy
(no matter how such vacancy is created).
``(2) Definitions.--In this subsection:
``(A) Indian preference laws.--
``(i) In general.--The term `Indian preference laws' means
section 12 of the Act of June 18, 1934 (48 Stat. 986, chapter
576) or any other provision of law granting a preference to
Indians in promotions and other personnel actions.
``(ii) Exclusion.--The term `Indian preference laws' does
not include section 7(b) of the Indian Self-Determination and
Education Assistance Act.
``(B) Tribal organization.--The term `tribal organization'
means--
``(i) the recognized governing body of any Indian tribe,
band, nation, pueblo, or other organized community, including
a Native village (as defined in section 3(c) of the Alaska
Native Claims Settlement Act); or
``(ii) in connection with any personnel action referred to
in this subsection, any local school board to which the
governing body has delegated the authority to grant a waiver
under this subsection with respect to a personnel action.
``(g) Compensation or Annual Salary.--
``(1) In general.--
``(A) Compensation for educators and education positions.--
Except as otherwise provided in this section, the Secretary
shall establish the compensation or annual salary rate for
educators and education positions--
``(i) at rates in effect under the General Schedule for
individuals with comparable qualifications, and holding
comparable positions, to whom chapter 51 of title 5, United
States Code, is applicable; or
``(ii) on the basis of the Federal Wage System schedule in
effect for the locality involved, and for the comparable
positions, at the rates of compensation in effect for the
senior executive service.
``(B) Compensation or salary for teachers and counselors.--
``(i) In general.--The Secretary shall establish the rate
of compensation, or annual salary rate, for the positions of
teachers and counselors (including dormitory counselors and
home-living counselors) at the rate of compensation
applicable (on the date of enactment of the Native American
Education Improvement Act of 2001 and thereafter) for
comparable positions in the overseas schools under the
Defense Department Overseas Teachers Pay and Personnel
Practices Act.
``(ii) Essential provisions.--The Secretary shall allow the
local school boards involved authority to implement only the
aspects of the Defense Department Overseas Teachers Pay and
Personnel Practices Act pay provisions that are considered
essential for recruitment and retention of teachers and
counselors. Implementation of such provisions shall not be
construed to require the implementation of that entire Act.
``(C) Rates for new hires.--
``(i) In general.--Beginning with the first fiscal year
following the date of enactment of the Native American
Education Improvement Act of 2001, each local school board of
a Bureau school may establish a rate of compensation or
annual salary rate described in clause (ii) for teachers and
counselors (including academic counselors) who are new hires
at the school and who had not worked at the school, as of the
first day of such fiscal year.
``(ii) Consistent rates.--The rates established under
clause (i) shall be consistent with the rates paid for
individuals in the same positions, with the same tenure and
training, as the teachers and counselors, in any other school
within whose boundaries the Bureau school is located.
``(iii) Decreases.--In a case in which the establishment of
rates under clause (i) causes a reduction in compensation at
a school from the rate of compensation that was in effect for
the first fiscal year following the date of enactment of the
Native American Education Improvement Act of 2001, the new
rates of compensation may be applied to the compensation of
employees of the school who worked at the school as of such
date of enactment by applying those rates at each contract
renewal for the employees so that the reduction takes effect
in 3 equal installments.
``(iv) Increases.--In a case in which adoption of rates
under clause (i) leads to an increase in the payment of
compensation from that which was in effect for the fiscal
year following the date of enactment of the Native American
Education Improvement Act of 2001, the school board may make
such rates applicable at the next contract renewal such
that--

``(I) the increase occurs in its entirety; or
``(II) the increase is applied in 3 equal installments.

``(D) Use of Regulations; Continued Employment of Certain
Educators.--The establishment of rates of basic compensation
and annual salary rates under subparagraphs (B) and (C) shall
not--
``(i) preclude the use of regulations and procedures used
by the Bureau prior to April 28, 1988, in making
determinations regarding promotions and advancements through
levels of pay that

[[Page H9935]]

are based on the merit, education, experience, or tenure of
the educator; or
``(ii) affect the continued employment or compensation of
an educator who was employed in an education position on
October 31, 1979, and who did not make an election under
subsection (p) as in effect on January 1, 1990.
``(2) Post differential rates.--
``(A) In general.--The Secretary may pay a post
differential rate, not to exceed 25 percent of the rate of
compensation, for educators or education positions, on the
basis of conditions of environment or work that warrant
additional pay, as a recruitment and retention incentive.
``(B) Supervisor's authority.--
``(i) In general.--Except as provided in clause (ii), on
the request of the supervisor and the local school board of a
Bureau school, the Secretary shall grant the supervisor of
the school authorization to provide 1 or more post
differential rates under subparagraph (A).
``(ii) Exception.--The Secretary shall disapprove, or
approve with a modification, a request for authorization to
provide a post differential rate if the Secretary determines
for clear and convincing reasons (and advises the board in
writing of those reasons) that the rate should be disapproved
or decreased because the disparity of compensation between
the appropriate educators or positions in the Bureau school,
and the comparable educators or positions at the nearest
public school, is--

``(I)(aa) at least 5 percent; or
``(bb) less than 5 percent; and
``(II) does not affect the recruitment or retention of
employees at the school.

``(iii) Approval of requests.--A request made under clause
(i) shall be considered to be approved at the end of the 60th
day after the request is received in the Central Office of
the Bureau unless before that time the request is approved,
approved with a modification, or disapproved by the
Secretary.
``(iv) Discontinuation of or decrease in rates.--The
Secretary or the supervisor of a Bureau school may
discontinue or decrease a post differential rate provided for
under this paragraph at the beginning of an academic year
if--

``(I) the local school board requests that such
differential be discontinued or decreased; or
``(II) the Secretary or the supervisor, respectively,
determines for clear and convincing reasons (and advises the
board in writing of those reasons) that there is no disparity
of compensation that would affect the recruitment or
retention of employees at the school after the differential
is discontinued or decreased.

``(v) Reports.--On or before February 1 of each year, the
Secretary shall submit to Congress a report describing the
requests and approvals of authorization made under this
paragraph during the previous year and listing the positions
receiving post differential rates under contracts entered
into under those authorizations.
``(h) Liquidation of Remaining Leave Upon Termination.--
Upon termination of employment with the Bureau, any annual
leave remaining to the credit of an individual covered by of
this section shall be liquidated in accordance with sections
5551(a) and 6306 of title 5, United States Code, except that
leave earned or accrued under regulations promulgated
pursuant to subsection (b)(10) shall not be so liquidated.
``(i) Transfer of Remaining Sick Leave Upon Transfer,
Promotion, or Reemployment.--In the case of any educator who
is transferred, promoted, or reappointed, without break in
service, to a position in the Federal Government under a
different leave system, any remaining leave to the credit
of such person earned or credited under the regulations
promulgated pursuant to subsection (b)(10) shall be
transferred to such person's credit in the employing
agency on an adjusted basis in accordance with regulations
which shall be promulgated by the Office of Personnel
Management.
``(j) Ineligibility for Employment of Voluntarily
Terminated Educators.--An educator who voluntarily terminates
employment with the Bureau before the expiration of the
existing employment contract between such educator and the
Bureau shall not be eligible to be employed in another
education position in the Bureau during the remainder of the
term of such contract.
``(k) Dual Compensation.--In the case of any educator
employed in an education position described in subsection
(l)(1)(A) who--
``(1) is employed at the close of a school year;
``(2) agrees in writing to serve in such position for the
next school year; and
``(3) is employed in another position during the recess
period immediately preceding such next school year, or during
such recess period receives additional compensation referred
to in section 5533 of title 5, United States Code, relating
to dual compensation,
shall not apply to such educator by reason of any such
employment during a recess period for any receipt of
additional compensation.
``(l) Voluntary Services.--
``(1) In general.--Notwithstanding section 1342 of title
31, United States Code, the Secretary may, subject to the
approval of the local school board concerned, accept
voluntary services on behalf of Bureau schools.
``(2) Federal employee protection.--Nothing in this part
requires Federal employees to work without compensation or
allows the use of volunteer services to displace or replace
Federal employees.
``(3) Federal status.--An individual providing volunteer
services under this section is a Federal employee only for
purposes of chapter 81 of title 5, United States Code, and
chapter 171 of title 28, United States Code.
``(m) Proration of Pay.--
``(1) Election of employee.--
``(A) In general.--Notwithstanding any other provision of
law, including laws relating to dual compensation, the
Secretary, at the election of the employee, shall prorate the
salary of an employee employed in an education position for
the academic school year over the entire 12-month period.
``(B) Election.--Each educator employed for the academic
school year shall annually elect to be paid on a 12-month
basis or for those months while school is in session.
``(C) No loss of pay or benefits.--No educator shall suffer
a loss of pay or benefits, including benefits under
unemployment or other Federal or federally assisted programs,
because of such election.
``(2) Change of election.--During the course of such year
the employee may change election once.
``(3) Lump sum payment.--That portion of the employee's pay
which would be paid between academic school years may be paid
in a lump sum at the election of the employee.
``(4) Nonapplicability.--This subsection applies to those
individuals employed under the provisions of section 1132 of
this title or title 5, United States Code.
``(5) Definitions.--For purposes of this subsection, the
terms `educator' and `education position' have the meanings
contained in paragraphs (1) and (2) of subsection (o).
``(n) Extracurricular Activities.--
``(1) Stipend.--
``(A) In general.--Notwithstanding any other provision of
law, the Secretary may provide, for each Bureau area, a
stipend in lieu of overtime premium pay or compensatory time
off.
``(B) Provision to employees.--Any employee of the Bureau
who performs additional activities to provide services to
students or otherwise support the school's academic and
social programs may elect to be compensated for all such work
on the basis of the stipend.
``(C) Nature of stipend.--Such stipend shall be paid as a
supplement to the employee's base pay.
``(2) Election not to receive stipend.--If an employee
elects not to be compensated through the stipend established
by this subsection, the appropriate provisions of title 5,
United States Code, shall apply.
``(3) Applicability of subsection.--This subsection applies
to all Bureau employees, regardless of whether the employee
is employed under section 1132 of this title or title 5,
United States Code.
``(o) Definitions.--In this section:
``(1) Education position.--The term `education position'
means a position in the Bureau the duties and
responsibilities of which--
``(A)(i) are performed on a school year basis principally
in a Bureau school; and
``(ii) involve--
``(I) classroom or other instruction or the supervision or
direction of classroom or other instruction;
``(II) any activity (other than teaching) which requires
academic credits in educational theory and practice equal to
the academic credits in educational theory and practice
required for a bachelor's degree in education from an
accredited institution of higher education;
``(III) any activity in or related to the field of
education notwithstanding that academic credits in
educational theory and practice are not a formal requirement
for the conduct of such activity; or
``(IV) support services at, or associated with, the site of
the school; or
``(B) are performed at the agency level of the Bureau and
involve the implementation of education-related programs
other than the position for agency superintendent for
education.
``(2) Educator.--The term `educator' means an individual
whose services are required, or who is employed, in an
education position.
``(p) Covered Individuals; Election.--This section shall
apply with respect to any educator hired after November 1,
1979 (and to any educator who elected for coverage under that
provision after November 1, 1979) and to the position in
which such individual is employed. The enactment of this
section shall not affect the continued employment of an
individual employed on October 31, 1979, in an education
position, or such person's right to receive the compensation
attached to such position.
``(q) Furlough Without Consent.--
``(1) In general.--An educator who was employed in an
education position on October 31, 1979, who was eligible to
make an election under subsection (p) at that time, and who
did not make the election under such subsection, may not be
placed on furlough (within the meaning of section 7511(a)(5)
of title 5, United States Code, without the consent of such
educator for an aggregate of more than 4 weeks within the
same calendar year, unless--
``(A) the supervisor, with the approval of the local school
board (or of the education line officer upon appeal under
paragraph (2)), of the Bureau school at which such educator
provides services determines that a longer period of furlough
is necessary due to an insufficient amount of funds available
for personnel compensation at such school, as determined
under the financial plan process as determined under
section 1129(b); and
``(B) all educators (other than principals and clerical
employees) providing services at such Bureau school are
placed on furloughs of equal length, except that the
supervisor, with the approval of the local school board (or
of the agency education line officer upon appeal under
paragraph (2)), may continue 1 or more educators in pay
status if--
``(i) such educators are needed to operate summer programs,
attend summer training sessions, or participate in special
activities including curriculum development committees; and
``(ii) such educators are selected based upon such
educator's qualifications after public notice of the minimum
qualifications reasonably

[[Page H9936]]

necessary and without discrimination as to supervisory,
nonsupervisory, or other status of the educators who apply.
``(2) Appeals.--The supervisor of a Bureau school may
appeal to the appropriate agency education line officer any
refusal by the local school board to approve any
determination of the supervisor that is described in
paragraph (1)(A) by filing a written statement describing the
determination and the reasons the supervisor believes such
determination should be approved. A copy of such statement
shall be submitted to the local school board and such board
shall be afforded an opportunity to respond, in writing, to
such appeal. After reviewing such written appeal and
response, the education line officer may, for good cause,
approve the determination of the supervisor. The educational
line officer shall transmit the determination of such appeal
in the form of a written opinion to such local school board
and to the supervisor identifying the reasons for approving
such determination.
``(r) Stipends.--The Secretary is authorized to provide
annual stipends to teachers who become certified by the
National Board of Professional Teaching Standards, the
National Council on Teacher Quality, or other nationally
recognized certification or credentialing organizations.

``SEC. 1133. COMPUTERIZED MANAGEMENT INFORMATION SYSTEM.

``(a) In General.--Not later than 12 months after the date
of enactment of the Native American Education Improvement Act
of 2001, the Secretary shall update the computerized
management information system within the Office. The
information to be updated shall include information
regarding--
``(1) student enrollment;
``(2) curricula;
``(3) staffing;
``(4) facilities;
``(5) community demographics;
``(6) student assessment information;
``(7) information on the administrative and program costs
attributable to each Bureau program, divided into discrete
elements;
``(8) relevant reports;
``(9) personnel records;
``(10) finance and payroll; and
``(11) such other items as the Secretary determines to be
appropriate.
``(b) Implementation of System.--Not later than July 1,
2003, the Secretary shall complete the implementation of the
updated computerized management information system at each
Bureau field office and Bureau-funded school.

``SEC. 1134. RECRUITMENT OF INDIAN EDUCATORS.

``The Secretary shall institute a policy for the
recruitment of qualified Indian educators and a detailed plan
to promote employees from within the Bureau. Such plan shall
include opportunities for acquiring work experience prior to
actual work assignment.

``SEC. 1135. ANNUAL REPORT; AUDITS.

``(a) Annual Reports.--The Secretary shall submit to each
appropriate committee of Congress, all Bureau-funded schools,
and the tribal governing bodies of such schools, a detailed
annual report on the state of education within the Bureau,
and any problems encountered in Indian education during the
period covered by the report, that includes--
``(1) suggestions for the improvement of the Bureau
educational system and for increasing tribal or local Indian
control of such system; and
``(2) information on the status of tribally controlled
community colleges.
``(b) Budget Request.--The annual budget request for the
education programs of the Bureau, as submitted as part of the
President's next annual budget request under section 1105 of
title 31, United States Code, shall include the plans
required by sections 1121(c), 1122(c), and 1124(c).
``(c) Financial and Compliance Audits.--The Inspector
General of the Department of the Interior shall establish a
system to ensure that financial and compliance audits, based
upon the extent to which a school described in subsection (a)
has complied with the local financial plan under section
1130, are conducted of each Bureau-operated school at least
once every 3 years.
``(d) Administrative Evaluation of Schools.--The Director
shall, at least once every 3 to 5 years, conduct a
comprehensive evaluation of Bureau-operated schools. Such
evaluation shall be in addition to any other program review
or evaluation that may be required under Federal law.

``SEC. 1136. RIGHTS OF INDIAN STUDENTS.

``The Secretary shall prescribe such rules and regulations
as are necessary to ensure the constitutional and civil
rights of Indian students attending Bureau-funded schools,
including such students' rights to--
``(1) privacy under the laws of the United States;
``(2) freedom of religion and expression; and
``(3) to due process in connection with disciplinary
actions, suspensions, and expulsions.

``SEC. 1137. REGULATIONS.

``(a) Promulgation.--
``(1) In General.--The Secretary may promulgate only such
regulations--
``(A) as are necessary to ensure compliance with the
specific provisions of this part; and
``(B) as the Secretary is authorized to promulgate pursuant
to section 5211 of the Tribally Controlled Schools Act of
1988 (25 U.S.C. 2510).
``(2) Publication.--In promulgating the regulations, the
Secretary shall--
``(A) publish proposed regulations in the Federal Register;
and
``(B) provide a period of not less than 120 days for public
comment and consultation on the regulations.
``(3) Citation.--The regulations shall contain, immediately
following each regulatory section, a citation to any
statutory provision providing authority to promulgate such
regulatory section.
``(b) Miscellaneous.--The provisions of this Act shall
supersede any conflicting provisions of law (including any
conflicting regulations) in effect on the day before the date
of enactment of this Act and the Secretary is authorized to
repeal any regulation inconsistent with the provisions of
this Act.

``SEC. 1138. REGIONAL MEETINGS AND NEGOTIATED RULEMAKING.

``(a) Regional Meetings.--Prior to publishing any proposed
regulations under subsection (b)(1), and prior to
establishing the negotiated rulemaking committee under
subsection (b)(3), the Secretary shall convene regional
meetings to consult with personnel of the Office of Indian
Education Programs, educators at Bureau schools, and tribal
officials, parents, teachers, administrators, and school
board members of tribes served by Bureau-funded schools to
provide guidance to the Secretary on the content of
regulations authorized to be promulgated under this part
and the Tribally Controlled Schools Act of 1988.
``(b) Negotiated Rulemaking.--
``(1) In general.--Notwithstanding sections 563(a) and
565(a) of title 5, United States Code, the Secretary shall
promulgate regulations authorized under subsection (a) and
under the Tribally Controlled Schools Act of 1988, in
accordance with the negotiated rulemaking procedures provided
for under subchapter III of chapter 5 of title 5, United
States Code, and shall publish final regulations in the
Federal Register.
``(2) Notification to congress.--If draft regulations
implementing this part and the Tribally Controlled Schools
Act of 1988 are not promulgated in final form within 18
months after the date of enactment of the Native American
Education Improvement Act of 2001, the Secretary shall notify
the appropriate committees of Congress of which draft
regulations were not promulgated in final form by the
deadline and the reason such final regulations were not
promulgated.
``(3) Rulemaking committee.--The Secretary shall establish
a negotiated rulemaking committee to carry out this
subsection. In establishing such committee, the Secretary
shall--
``(A) apply the procedures provided for under subchapter
III of chapter 5 of title 5, United States Code, in a manner
that reflects the unique government-to-government
relationship between Indian tribes and the United States;
``(B) ensure that the membership of the committee includes
only representatives of the Federal Government and of tribes
served by Bureau-funded schools;
``(C) select the tribal representatives of the committee
from among individuals nominated by the representatives of
the tribal and tribally operated schools;
``(D) ensure, to the maximum extent possible, that the
tribal representative membership on the committee reflects
the proportionate share of students from tribes served by the
Bureau-funded school system; and
``(E) comply with the Federal Advisory Committee Act (5
U.S.C. App.).
``(4) Special rule.--The Secretary shall carry out this
section using the general administrative funds of the
Department of the Interior. In accordance with subchapter III
of chapter 5 of title 5, United States Code, and section 7(d)
of the Federal Advisory Committee Act, payment of costs
associated with negotiated rulemaking shall include the
reasonable expenses of committee members.
``(c) Application of Section.--
``(1) Supremacy of provisions.--The provisions of this
section shall supersede any conflicting regulations in effect
on the day before the date of enactment of this part, and the
Secretary may repeal any regulation that is inconsistent with
the provisions of this part.
``(2) Modifications.--The Secretary may modify regulations
promulgated under this section or the Tribally Controlled
Schools Act of 1988, only in accordance with this section.

``SEC. 1139. EARLY CHILDHOOD DEVELOPMENT PROGRAM.

``(a) In General.--The Secretary shall provide grants to
tribes, tribal organizations, and consortia of tribes and
tribal organizations to fund early childhood development
programs that are operated by such tribes, organizations, or
consortia.
``(b) Amount of Grants.--
``(1) In general.--The total amount of the grants provided
under subsection (a) with respect to each tribe, tribal
organization, or consortium of tribes or tribal organizations
for each fiscal year shall be equal to the amount which bears
the same relationship to the total amount appropriated under
the authority of subsection (g) for such fiscal year (less
amounts provided under subsection (f)) as--
``(A) the total number of children under 6 years of age who
are members of--
``(i) such tribe;
``(ii) the tribe that authorized such tribal organization;
or
``(iii) any tribe that--

``(I) is a member of such consortium; or
``(II) authorizes any tribal organization that is a member
of such consortium; bears to

``(B) the total number of all children under 6 years of age
who are members of any tribe that--
``(i) is eligible to receive funds under subsection (a);
``(ii) is a member of a consortium that is eligible to
receive such funds; or
``(iii) authorizes a tribal organization that is eligible
to receive such funds.
``(2) Limitation.--No grant may be provided under
subsection (a)--
``(A) to any tribe that has less than 500 members;

[[Page H9937]]

``(B) to any tribal organization which is authorized--
``(i) by only one tribe that has less than 500 members; or
``(ii) by one or more tribes that have a combined total
membership of less than 500 members; or
``(C) to any consortium composed of tribes, or tribal
organizations authorized by tribes, that have a combined
total tribal membership of less than 500 members.
``(c) Application.--
``(1) In general.--A grant may be provided under subsection
(a) to a tribe, tribal organization, or consortium of tribes
and tribal organizations only if the tribe, organization, or
consortium submits to the Secretary an application for the
grant at such time and in such form as the Secretary shall
prescribe.
``(2) Contents.--Applications submitted under paragraph (1)
shall set forth the early childhood development program that
the applicant desires to operate.
``(d) Requirement of Programs Funded.--The early childhood
development programs that are funded by grants provided under
subsection (a)--
``(1) shall coordinate existing programs and may provide
services that meet identified needs of parents and children
under 6 years of age which are not being met by existing
programs, including--
``(A) prenatal care;
``(B) nutrition education;
``(C) health education and screening;
``(D) family literacy services;
``(E) educational testing; and
``(F) other educational services;
``(2) may include instruction in the language, art, and
culture of the tribe; and
``(3) shall provide for periodic assessment of the program.
``(e) Coordination of Family Literacy Programs.--Family
literacy programs operated under this section and other
family literacy programs operated by the Bureau of Indian
Affairs shall be coordinated with family literacy programs
for Indian children under part B of title I of the Elementary
and Secondary Education Act of 1965 in order to avoid
duplication and to encourage the dissemination of information
on quality family literacy programs serving Indians.
``(f) Administrative Costs.--The Secretary shall, out of
funds appropriated under subsection (g), include in the
grants provided under subsection (a) amounts for
administrative costs incurred by the tribe, tribal
organization, or consortium of tribes in establishing and
maintaining the early childhood development program.
``(g) Authorization of Appropriations.--There are
authorized to be appropriated to carry out this section such
sums as may be necessary.

``SEC. 1140. TRIBAL DEPARTMENTS OR DIVISIONS OF EDUCATION.

``(a) In General.--Subject to the availability of
appropriations, the Secretary shall make grants and provide
technical assistance to tribes for the development and
operation of tribal departments or divisions of education for
the purpose of planning and coordinating all educational
programs of the tribe.
``(b) Applications.--For a tribe to be eligible to receive
a grant under this section, the governing body of the tribe
shall submit an application to the Secretary at such time, in
such manner, and containing such information as the Secretary
may require.
``(c) Diversity.--The Secretary shall award grants under
this section in a manner that fosters geographic and
population diversity.
``(d) Use.--Tribes that receive grants under this section
shall use the funds made available through the grants--
``(1) to facilitate tribal control in all matters relating
to the education of Indian children on reservations (and on
former Indian reservations in Oklahoma);
``(2) to provide for the development of coordinated
educational programs (including all preschool, elementary,
secondary, and higher or vocational educational programs
funded by tribal, Federal, or other sources) on reservations
(and on former Indian reservations in Oklahoma) by
encouraging tribal administrative support of all Bureau-
funded educational programs as well as encouraging tribal
cooperation and coordination with entities carrying out all
educational programs receiving financial support from other
Federal agencies, State agencies, or private entities; and
``(3) to provide for the development and enforcement of
tribal educational codes, including tribal educational
policies and tribal standards applicable to curriculum,
personnel, students, facilities, and support programs.
``(e) Priorities.--In making grants under this section, the
Secretary shall give priority to any application that--
``(1) includes--
``(A) assurances that the applicant serves 3 or more
separate Bureau-funded schools; and
``(B) assurances from the applicant that the tribal
department of education to be funded under this section will
provide coordinating services and technical assistance to all
of such schools;
``(2) includes assurances that all education programs for
which funds are provided by such a contract or grant will be
monitored and audited, by or through the tribal department of
education, to ensure that the programs meet the requirements
of law; and
``(3) provides a plan and schedule that--
``(A) provides for--
``(i) the assumption, by the tribal department of
education, of all assets and functions of the Bureau agency
office associated with the tribe, to the extent the assets
and functions relate to education; and
``(ii) the termination by the Bureau of such functions and
office at the time of such assumption; and
``(B) provides that the assumption shall occur over the
term of the grant made under this section, except that, when
mutually agreeable to the tribal governing body and the
Assistant Secretary, the period in which such assumption is
to occur may be modified, reduced, or extended after the
initial year of the grant.
``(f) Time Period of Grant.--Subject to the availability of
appropriated funds, a grant provided under this section shall
be provided for a period of 3 years. If the performance of
the grant recipient is satisfactory to the Secretary, the
grant may be renewed for additional 3-year terms.
``(g) Terms, Conditions, or Requirements.--A tribe that
receives a grant under this section shall comply with
regulations relating to grants made under section 103(a) of
the Indian Self-Determination and Education Assistance Act
that are in effect on the date that the tribal governing body
submits the application for the grant under subsection (b).
The Secretary shall not impose any terms, conditions, or
requirements on the provision of grants under this section
that are not specified in this section.
``(h) Authorization of Appropriations.--There are
authorized to be appropriated to carry out this section
$2,000,000.

``SEC. 1141. DEFINITIONS.

``For the purposes of this part, unless otherwise
specified:
``(1) Agency school board.--The term `agency school board'
means a body--
``(A) the members of which are appointed by all of the
school boards of the schools located within an agency,
including schools operated under contract or grant; and
``(B) the number of such members is determined by the
Secretary, in consultation with the affected tribes;
except that, in agencies serving a single school, the school
board of such school shall fulfill these duties, and in
agencies having schools or a school operated under contract
or grant, 1 such member at least shall be from such a school.
``(2) Bureau.--The term `Bureau' means the Bureau of Indian
Affairs of the Department of the Interior.
``(3) Bureau-funded school.--The term `Bureau-funded
school' means--
``(A) a Bureau school;
``(B) a contract or grant school; or
``(C) a school for which assistance is provided under the
Tribally Controlled Schools Act of 1988.
``(4) Bureau school.--The term `Bureau school' means a
Bureau-operated elementary or secondary day or boarding
school or a Bureau-operated dormitory for students attending
a school other than a Bureau school.
``(5) Complementary educational facilities.--The term
`complementary educational facilities' means educational
program functional spaces such as libraries, gymnasiums, and
cafeterias.
``(6) Contract or grant school.--The term `contract or
grant school' means an elementary school, secondary school,
or dormitory that receives financial assistance for its
operation under a contract, grant, or agreement with the
Bureau under section 102, 103(a), or 208 of the Indian Self-
Determination and Education Assistance Act, or under the
Tribally Controlled Schools Act of 1988.
``(7) Director.--The term `Director' means the Director of
the Office of Indian Education Programs.
``(8) Education line officer.--The term `education line
officer' means a member of the education personnel under the
supervision of the Director of the Office, whether located in
a central, area, or agency office.
``(9) Family literacy services.--The term `family literacy
services' has the meaning given that term in section 8101 of
the Elementary and Secondary Education Act of 1965 (20 U.S.C.
8801).
``(10) Financial plan.--The term `financial plan' means a
plan of services provided by each Bureau school.
``(11) Indian organization.--the term `Indian organization'
means any group, association, partnership, corporation, or
other legal entity owned or controlled by a federally
recognized Indian tribe or tribes, or a majority of whose
members are members of federally recognized tribes.
``(12) Inherently federal functions.--The term `inherently
Federal functions' means functions and responsibilities
which, under section 1126(c), are noncontractable,
including--
``(A) the allocation and obligation of Federal funds and
determinations as to the amounts of expenditures;
``(B) the administration of Federal personnel laws for
Federal employees;
``(C) the administration of Federal contracting and grant
laws, including the monitoring and auditing of contracts and
grants in order to maintain the continuing trust,
programmatic, and fiscal responsibilities of the Secretary;
``(D) the conducting of administrative hearings and
deciding of administrative appeals;
``(E) the determination of the Secretary's views and
recommendations concerning administrative appeals or
litigation and the representation of the Secretary in
administrative appeals and litigation;
``(F) the issuance of Federal regulations and policies as
well as any documents published in the Federal Register;
``(G) reporting to Congress and the President;
``(H) the formulation of the Secretary's and the
President's policies and their budgetary and legislative
recommendations and views; and
``(I) the nondelegable statutory duties of the Secretary
relating to trust resources.
``(13) Local educational agency.--The term `local
educational agency' means a board of

[[Page H9938]]

education or other legally constituted local school authority
having administrative control and direction of free public
education in a county, township, or independent or other
school district located within a State, and includes any
State agency that directly operates and maintains facilities
for providing free public education.
``(14) Local school board.--The term `local school board',
when used with respect to a Bureau school, means a body
chosen in accordance with the laws of the tribe to be served
or, in the absence of such laws, elected by the parents of
the Indian children attending the school, except that, for a
school serving a substantial number of students from
different tribes--
``(A) the members of the body shall be appointed by the
tribal governing bodies of the tribes affected; and
``(B) the number of such members shall be determined by the
Secretary in consultation with the affected tribes.
``(15) Office.--The term `Office' means the Office of
Indian Education Programs within the Bureau.
``(16) Regulation.--
``(A) In general.--The term `regulation' means any part of
a statement of general or particular applicability of the
Secretary designed to carry out, interpret, or prescribe law
or policy in carrying out this Act.
``(B) Rule of construction.--Nothing in subparagraph (A) or
any other provision of this title shall be construed to
prohibit the Secretary from issuing guidance, internal
directives, or other documents similar to the documents found
in the Indian Affairs Manual of the Bureau of Indian Affairs.
``(17) Secretary.--The term `Secretary' means the Secretary
of the Interior.
``(18) Supervisor.--The term `supervisor' means the
individual in the position of ultimate authority at a Bureau
school.
``(19) Tribal governing body.--The term `tribal governing
body' means, with respect to any school, the tribal governing
body, or tribal governing bodies, that represent at least 90
percent of the students served by such school.
``(20) Tribe.--The term `tribe' means any Indian tribe,
band, nation, or other organized group or community,
including an Alaska Native Regional Corporation or Village
Corporation (as defined in or established pursuant to the
Alaska Native Claims Settlement Act), which is recognized as
eligible for the special programs and services provided by
the United States to Indians because of their status as
Indians.''.

SEC. 1043. TRIBALLY CONTROLLED SCHOOLS ACT OF 1988.

The Tribally Controlled Schools Act of 1988 (25 U.S.C. 2501
et seq.) is amended by striking sections 5202 through 5212
and inserting the following new sections:

``SEC. 5202. DECLARATION OF POLICY.

``(a) Recognition.--Congress recognizes that the Indian
Self-Determination and Education Assistance Act, which was a
product of the legitimate aspirations and a recognition of
the inherent authority of Indian nations, was and is a
crucial positive step towards tribal and community control
and that the United States has an obligation to assure
maximum Indian participation in the direction of educational
services so as to render the persons administering such
services and the services themselves more responsive to the
needs and desires of Indian communities.
``(b) Commitment.--Congress declares its commitment to the
maintenance of the Federal Government's unique and continuing
trust relationship with and responsibility to the Indian
people for the education of Indian children through the
establishment of a meaningful Indian self-determination
policy for education that will deter further perpetuation of
Federal bureaucratic domination of programs.
``(c) National Goal.--Congress declares that a national
goal of the United States is to provide the resources,
processes, and structure that will enable tribes and local
communities to obtain the quantity and quality of educational
services and opportunities that will permit Indian children--
``(1) to compete and excel in areas of their choice; and
``(2) to achieve the measure of self-determination
essential to their social and economic well-being.
``(d) Educational Needs.--Congress affirms--
``(1) true self-determination in any society of people is
dependent upon an educational process that will ensure the
development of qualified people to fulfill meaningful
leadership roles;
``(2) that Indian people have special and unique
educational needs, including the need for programs to meet
the linguistic and cultural aspirations of Indian tribes and
communities; and
``(3) that those needs may best be met through a grant
process.
``(e) Federal Relations.--Congress declares a commitment to
the policies described in this section and support, to the
full extent of congressional responsibility, for Federal
relations with the Indian nations.
``(f) Termination.--Congress repudiates and rejects House
Concurrent Resolution 108 of the 83d Congress and any policy
of unilateral termination of Federal relations with any
Indian Nation.

``SEC. 5203. GRANTS AUTHORIZED.

``(a) In General.--
``(1) Eligibility.--The Secretary shall provide grants to
Indian tribes, and tribal organizations that--
``(A) operate contract schools under title XI of the
Education Amendments of 1978 and notify the Secretary of
their election to operate the schools with assistance under
this part rather than continuing the schools as contract
schools;
``(B) operate other tribally controlled schools eligible
for assistance under this part and submit applications (which
are approved by their tribal governing bodies) to the
Secretary for such grants; or
``(C) elect to assume operation of Bureau-funded schools
with the assistance under this part and submit applications
(which are approved by their tribal governing bodies) to the
Secretary for such grants.
``(2) Deposit of funds.--Grants provided under this part
shall be deposited into the general operating fund of the
tribally controlled school with respect to which the grant is
made.
``(3) Use of funds.--
``(A) In general.--Except as otherwise provided in this
paragraph, grants provided under this part shall be used to
defray, at the discretion of the school board of the tribally
controlled school with respect to which the grant is
provided, any expenditures for education related activities
for which any funds that compose the grant may be used under
the laws described in section 5205(a), including expenditures
for--
``(i) school operations, academic, educational,
residential, guidance and counseling, and administrative
purposes; and
``(ii) support services for the school, including
transportation.
``(B) Exception.--Grants provided under this part may, at
the discretion of the school board of the tribally controlled
school with respect to which such grant is provided, be used
to defray operations and maintenance expenditures for the
school if any funds for the operation and maintenance of the
school are allocated to the school under the provisions of
any of the laws described in section 5205(a).
``(b) Limitations.--
``(1) One grant per tribe or organization per fiscal
year.--Not more than 1 grant may be provided under this part
with respect to any Indian tribe or tribal organization for
any fiscal year.
``(2) Nonsectarian use.--Funds provided under any grant
made under this part may not be used in connection with
religious worship or sectarian instruction.
``(3) Administrative costs limitation.--Funds provided
under any grant under this part may not be expended for
administrative costs (as defined in section 1128(h)(1) of the
Education Amendments of 1978) in excess of the amount
generated for such costs under section 1128 of such Act.
``(c) Limitation on Transfer of Funds Among School Sites.--
``(1) In general.--In the case of a grantee that operates
schools at more than 1 school site, the grantee may expend at
any school site operated by the grantee not more than the
lesser of--
``(A) 10 percent of the funds allocated for another school
site under section 1128 of the Education Amendments of 1978;
or
``(B) $400,000 of the funds allocated for another school
site.
``(2) Definition of school site.--For purposes of this
subsection, the term `school site' means the physical
location and the facilities of an elementary or secondary
educational or residential program operated by, or under
contract or grant with, the Bureau for which a discreet
student count is identified under the funding formula
established under section 1127 of the Education Amendments of
1978.
``(d) No Requirement To Accept Grants.--Nothing in this
part may be construed--
``(1) to require a tribe or tribal organization to apply
for or accept; or
``(2) to allow any person to coerce any tribe or tribal
organization to apply for, or accept,
a grant under this part to plan, conduct, and administer all
of, or any portion of, any Bureau program. Such applications
and the timing of such applications shall be strictly
voluntary. Nothing in this part may be construed as allowing
or requiring any grant with any entity other than the entity
to which the grant is provided.
``(e) No Effect on Federal Responsibility.--Grants provided
under this part shall not terminate, modify, suspend, or
reduce the responsibility of the Federal Government to
provide a program.
``(f) Retrocession.--
``(1) In general.--Whenever a tribal governing body
requests retrocession of any program for which assistance is
provided under this part, such retrocession shall become
effective upon a date specified by the Secretary that is not
later than 120 days after the date on which the tribal
governing body requests the retrocession. A later date may be
specified if mutually agreed upon by the Secretary and the
tribal governing body. If such a program is retroceded, the
Secretary shall provide to any Indian tribe served by such
program at least the same quantity and quality of services
that would have been provided under such program at the level
of funding provided under this part prior to the
retrocession.
``(2) Status after retrocession.--The tribe requesting
retrocession shall specify whether the retrocession is to
status as a Bureau-operated school or as a school operated
under contract under the Indian Self-Determination and
Education Assistance Act.
``(3) Transfer of equipment and materials.--Except as
otherwise determined by the Secretary, the tribe or tribal
organization operating the program to be retroceded must
transfer to the Secretary (or to the tribe or tribal
organization which will operate the program as a contract
school) the existing equipment and materials which were
acquired--
``(A) with assistance under this part; or
``(B) upon assumption of operation of the program under
this part, if the school was a Bureau-funded school under
title XI of the Education Amendments of 1978 before receiving
assistance under this part.
``(g) Prohibition of Termination for Administrative
Convenience.--Grants provided

[[Page H9939]]

under this part may not be terminated, modified, suspended,
or reduced solely for the convenience of the administering
agency.

``SEC. 5204. COMPOSITION OF GRANTS.

``(a) In General.--The grant provided under this part to an
Indian tribe or tribal organization for any fiscal year shall
consist of--
``(1) the total amount of funds allocated for such fiscal
year under sections 1127 and 1128 of the Education Amendments
of 1978 with respect to the tribally controlled schools
eligible for assistance under this part which are operated by
such Indian tribe or tribal organization, including, but not
limited to, funds provided under such sections, or under any
other provision of law, for transportation costs;
``(2) to the extent requested by such Indian tribe or
tribal organization, the total amount of funds provided from
operations and maintenance accounts and, notwithstanding
section 105 of the Indian Self-Determination Act, or any
other provision of law, other facilities accounts for such
schools for such fiscal year (including but not limited to
those referenced under section 1126(d) of the Education
Amendments of 1978 or any other law); and
``(3) the total amount of funds that are allocated to such
schools for such fiscal year under--
``(A) title I of the Elementary and Secondary Education Act
of 1965;
``(B) the Individuals with Disabilities Education Act; and
``(C) any other Federal education law, that are allocated
to such schools for such fiscal year.
``(b) Special Rules.--
``(1) In general.--
``(A) Applicability of certain laws.--Funds allocated to a
tribally controlled school by reason of paragraph (1) or (2)
of subsection (a) shall be subject to the provisions of this
part and shall not be subject to any additional restriction,
priority, or limitation that is imposed by the Bureau with
respect to funds provided under--
``(i) title I of the Elementary and Secondary Education Act
of 1965;
``(ii) the Individuals with Disabilities Education Act; or
``(iii) any Federal education law other than title XI of
the Education Amendments of 1978.
``(B) Applicability of bureau provisions.--Indian tribes
and tribal organizations to which grants are provided under
this part, and tribally controlled schools for which such
grants are provided, shall not be subject to any
requirements, obligations, restrictions, or limitations
imposed by the Bureau that would otherwise apply solely by
reason of the receipt of funds provided under any law
referred to in clause (i), (ii), or (iii) of subparagraph
(A).
``(2) Schools considered contract schools.--Tribally
controlled schools for which grants are provided under this
part shall be treated as contract schools for the purposes of
allocation of funds under sections 1126(e), 1127, and 1128 of
the Education Amendments of 1978.
``(3) Schools considered bureau schools.--Tribally
controlled schools for which grants are provided under this
chapter shall be treated as Bureau schools for the purposes
of allocation of funds provided under--
``(A) title I of the Elementary and Secondary Education Act
of 1965;
``(B) the Individuals with Disabilities Education Act; and
``(C) any other Federal education law, that are distributed
through the Bureau.
``(4) Accounts; use of certain funds.--
``(A) Separate account.--
``(i) In general.--Notwithstanding section 5204(a)(2), with
respect to funds from facilities improvement and repair,
alteration and renovation (major or minor), health and
safety, or new construction accounts included in the grant
provided under section 5204(a), the grant recipient shall
maintain a separate account for such funds.
``(ii) Submission of accounting.--At the end of the period
designated for the work covered by the funds received, the
grant recipient shall submit to the Secretary a separate
accounting of the work done and the funds expended.
``(iii) Use of funds.--Funds received from those accounts
may only be used for the purpose for which the funds were
appropriated and for the work encompassed by the application
or submission for which the funds were received.
``(iv) Completion of project.--Upon completion of a project
for which a separate account is established under this
paragraph, the portion of the grant related to such project
may be closed out upon agreement by the grantee and the
Secretary.
``(B) Requirements for projects.--
``(i) Regulatory requirements.--With respect to a grant to
a tribally controlled school under this part for new
construction or facilities improvements and repair in excess
of $100,000, such grant shall be subject to the
Administrative and Audit Requirements and Cost Principles for
Assistance Programs contained in part 12 of title 43, Code of
Federal Regulations.
``(ii) Exception.--Notwithstanding clause (i), grants
described in such clause shall not be subject to section
12.61 of title 43, Code of Federal Regulations. The Secretary
and the grantee shall negotiate and determine a schedule of
payments for the work to be performed.
``(iii) Applications.--In considering applications for a
grant described in clause (i), the Secretary shall consider
whether the Indian tribe or tribal organization involved
would be deficient in ensuring that the construction projects
under the proposed grant conform to applicable building
standards and codes and Federal, tribal, or State health and
safety standards as required under section 1124 of the
Education Amendments of 1978 (25 U.S.C. 2005(a)) with respect
to organizational and financial management capabilities.
``(iv) Disputes.--Any disputes between the Secretary and
any grantee concerning a grant described in clause (i) shall
be subject to the dispute provisions contained in section
5209(e).
``(C) New construction.--Notwithstanding subparagraph (A),
a school receiving a grant under this part for facilities
improvement and repair may use such grant funds for new
construction if the tribal governing body or tribal
organization that submits the application for the grant
provides funding for the new construction equal to at least
25 percent of the total cost of such new construction.
``(D) Period.--In a case in which the appropriations
measure under which the funds described in subparagraph (A)
are made available or the application submitted for the funds
does not stipulate a period for the work covered by the
funds, the Secretary and the grant recipient shall consult
and determine such a period prior to the transfer of the
funds. A period so determined may be extended upon mutual
agreement of the Secretary and the grant recipient.
``(5) Enforcement of request to include funds.--
``(A) In general.--If the Secretary fails to carry out a
request filed by an Indian tribe or tribal organization to
include in such tribe or organization's grant under this part
the funds described in subsection (a)(2) within 180 days
after the filing of the request, the Secretary shall--
``(i) be deemed to have approved such request; and
``(ii) immediately upon the expiration of such 180-day
period amend the grant accordingly.
``(B) Rights.--A tribe or organization described in
subparagraph (A) may enforce its rights under subsection
(a)(2) and this paragraph, including rights relating to any
denial or failure to act on such tribe's or organization's
request, pursuant to the dispute authority described in
section 5209(e).

``SEC. 5205. ELIGIBILITY FOR GRANTS.

``(a) Rules.--
``(1) In general.--A tribally controlled school is eligible
for assistance under this part if the school--
``(A) on April 28, 1988, was a contract school under title
XI of the Education Amendments of 1978 and the tribe or
tribal organization operating the school submits to the
Secretary a written notice of election to receive a grant
under this part;
``(B) was a Bureau-operated school under title XI of the
Education Amendments of 1978 and has met the requirements of
subsection (b);
``(C) is a school for which the Bureau has not provided
funds, but which has met the requirements of subsection (c);
or
``(D) is a school with respect to which an election has
been made under paragraph (2) and which has met the
requirements of subsection (b).
``(2) New schools.--Any application which has been
submitted under the Indian Self-Determination and Education
Assistance Act by an Indian tribe for a school which is not
in operation on the date of enactment of the Native American
Education Improvement Act of 2001 shall be reviewed under the
guidelines and regulations for applications submitted under
the Indian Self-Determination and Education Assistance Act
that were in effect at the time the application was
submitted, unless the Indian tribe or tribal organization
elects to have the application reviewed under the provisions
of subsection (b).
``(b) Additional Requirements for Bureau-Funded Schools and
Certain Electing Schools.--
``(1) Bureau-funded schools.--A school that was a Bureau-
funded school under title XI of the Education Amendments of
1978 on the date of enactment of the Native American
Education Improvement Act of 2001 and any school with respect
to which an election is made under subsection (a)(2), meets
the requirements of this subsection if--
``(A) the Indian tribe or tribal organization that
operates, or desires to operate, the school submits to the
Secretary an application requesting that the Secretary--
``(i) transfer operation of the school to the Indian tribe
or tribal organization, if the Indian tribe or tribal
organization is not already operating the school; and
``(ii) make a determination as to whether the school is
eligible for assistance under this part; and
``(B) the Secretary makes a determination that the school
is eligible for assistance under this part.
``(2) Certain electing schools.--
``(A) In general.--By not later than the date that is 120
days after the date on which an application is submitted to
the Secretary under paragraph (1)(A), the Secretary shall
determine--
``(i) in the case of a school which is not being operated
by the Indian tribe or tribal organization, whether to
transfer operation of the school to the Indian tribe or
tribal organization; and
``(ii) whether the school is eligible for assistance under
this part.
``(B) Other determinations.--In considering applications
submitted under paragraph (1)(A), the Secretary--
``(i) shall transfer operation of the school to the Indian
tribe or tribal organization, if the tribe or tribal
organization is not already operating the school; and
``(ii) shall determine that the school is eligible for
assistance under this part, unless the Secretary finds by
clear and convincing evidence that the services to be
provided by the Indian tribe or tribal organization will be
deleterious to the welfare of the Indians served by the
school.
``(C) Considerations.--In considering applications
submitted under paragraph (1)(A), the Secretary shall
consider whether the Indian

[[Page H9940]]

tribe or tribal organization would be deficient in operating
the school with respect to--
``(i) equipment;
``(ii) bookkeeping and accounting procedures;
``(iii) ability to adequately manage a school; or
``(iv) adequately trained personnel.
``(c) Additional Requirements for a School Which Is Not a
Bureau-Funded School.--
``(1) In general.--A school which is not a Bureau-funded
school under title XI of the Education Amendments of 1978
meets the requirements of this subsection if--
``(A) the Indian tribe or tribal organization that
operates, or desires to operate, the school submits to the
Secretary an application requesting a determination by the
Secretary as to whether the school is eligible for assistance
under this part; and
``(B) the Secretary makes a determination that a school is
eligible for assistance under this part.
``(2) Deadline for determination by secretary.--
``(A) In general.--By not later than the date that is 180
days after the date on which an application is submitted to
the Secretary under paragraph (1)(A), the Secretary shall
determine whether the school is eligible for assistance under
this part.
``(B) Considerations.--In making the determination under
subparagraph (A), the Secretary shall give equal
consideration to each of the following factors:
``(i) With respect to the applicant's proposal--

``(I) the adequacy of facilities or the potential to obtain
or provide adequate facilities;
``(II) geographic and demographic factors in the affected
areas;
``(III) adequacy of the applicant's program plans;
``(IV) geographic proximity of comparable public education;
and
``(V) the needs as expressed by all affected parties,
including but not limited to students, families, tribal
governments at both the central and local levels, and school
organizations.

``(ii) With respect to all education services already
available--

``(I) geographic and demographic factors in the affected
areas;
``(II) adequacy and comparability of programs already
available;
``(III) consistency of available programs with tribal
education codes or tribal legislation on education; and
``(IV) the history and success of these services for the
proposed population to be served, as determined from all
factors including, if relevant, standardized examination
performance.

``(C) Geographic proximity.--The Secretary may not make a
determination under this paragraph that is primarily based
upon the geographic proximity of comparable public education.
``(D) Other information.--Applications submitted under
paragraph (1)(A) shall include information on the factors
described in subparagraph (B)(i), but the applicant may also
provide the Secretary such information relative to the
factors described in subparagraph (B)(ii) as the applicant
considers appropriate.
``(E) Deadline.--If the Secretary fails to make a
determination under subparagraph (A) with respect to an
application within 180 days after the date on which the
Secretary received the application, the Secretary shall be
treated as having made a determination that the tribally
controlled school is eligible for assistance under the title
and the grant shall become effective 18 months after the date
on which the Secretary received the application, or on an
earlier date, at the Secretary's discretion.
``(d) Filing of Applications and Reports.--
``(1) In general.--All applications and reports submitted
to the Secretary under this part, and any amendments to such
applications or reports, shall be filed with the education
line officer designated by the Director of the Office of
Indian Education Programs of the Bureau of Indian Affairs.
The date on which such filing occurs shall, for purposes of
this part, be treated as the date on which the application or
amendment was submitted to the Secretary.
``(2) Supporting documentation.--Any application that is
submitted under this chapter shall be accompanied by a
document indicating the action taken by the tribal governing
body in authorizing such application.
``(e) Effective Date for Approved Applications.--Except as
provided by subsection (c)(2)(E), a grant provided under this
part, and any transfer of the operation of a Bureau school
made under subsection (b), shall become effective beginning
the academic year succeeding the fiscal year in which the
application for the grant or transfer is made, or at an
earlier date determined by the Secretary.
``(f) Denial of Applications.--
``(1) In general.--Whenever the Secretary refuses to
approve a grant under this chapter, to transfer operation of
a Bureau school under subsection (b), or determines that a
school is not eligible for assistance under this part, the
Secretary shall--
``(A) state the objections in writing to the tribe or
tribal organization within the allotted time;
``(B) provide assistance to the tribe or tribal
organization to overcome all stated objections;
``(C) at the request of the tribe or tribal organization,
provide the tribe or tribal organization a hearing on the
record under the same rules and regulations that apply under
the Indian Self-Determination and Education Assistance Act;
and
``(D) provide an opportunity to appeal the objection
raised.
``(2) Timeline for reconsideration of amended
applications.--The Secretary shall reconsider any amended
application submitted under this part within 60 days after
the amended application is submitted to the Secretary.
``(g) Report.--The Bureau shall submit an annual report to
the Congress on all applications received, and actions taken
(including the costs associated with such actions), under
this section at the same time that the President is required
to submit to Congress the budget under section 1105 of title
31, United States Code.

``SEC. 5206. DURATION OF ELIGIBILITY DETERMINATION.

``(a) In General.--If the Secretary determines that a
tribally controlled school is eligible for assistance under
this part, the eligibility determination shall remain in
effect until the determination is revoked by the Secretary,
and the requirements of subsection (b) or (c) of section
5205, if applicable, shall be considered to have been met
with respect to such school until the eligibility
determination is revoked by the Secretary.
``(b) Annual Reports.--
``(1) In general.--Each recipient of a grant provided under
this part shall complete an annual report which shall be
limited to--
``(A) an annual financial statement reporting revenue and
expenditures as defined by the cost accounting established by
the grantee;
``(B) an annual financial audit conducted pursuant to the
standards of the Single Audit Act of 1984;
``(C) a biennial compliance audit of the procurement of
personal property during the period for which the report is
being prepared that shall be in compliance with written
procurement standards that are developed by the local school
board;
``(D) an annual submission to the Secretary of the number
of students served and a brief description of programs
offered under the grant; and
``(E) a program evaluation conducted by an impartial
evaluation review team, to be based on the standards
established for purposes of subsection (c)(1)(A)(ii).
``(2) Evaluation review teams.--Where appropriate, other
tribally controlled schools and representatives of tribally
controlled community colleges shall make up members of the
evaluation review teams.
``(3) Evaluations.--In the case of a school which is
accredited, evaluations will be conducted at intervals under
the terms of accreditation.
``(4) Submission of report.--
``(A) To tribal governing body.--Upon completion of the
report required under paragraph (1), the recipient of the
grant shall send (via first class mail, return receipt
requested) a copy of such annual report to the tribal
governing body (as defined in section 1132(f) of the
Education Amendments of 1978) of the tribally controlled
school.
``(B) To secretary.--Not later than 30 days after receiving
written confirmation that the tribal governing body has
received the report sent pursuant to subparagraph (A), the
recipient of the grant shall send a copy of the report to the
Secretary.
``(c) Revocation of Eligibility.--
``(1) Determination of eligibility for assistance.--The
Secretary shall not revoke a determination that a school is
eligible for assistance under this part if--
``(A) the Indian tribe or tribal organization submits the
reports required under subsection (b) with respect to the
school; and
``(B) at least 1 of the following clauses applies with
respect to the school:
``(i) The school is certified or accredited by a State or
regional accrediting association or is a candidate in good
standing for such accreditation under the rules of the State
or regional accrediting association, showing that credits
achieved by the students within the education programs are,
or will be, accepted at grade level by a State certified or
regionally accredited institution.
``(ii) The Secretary determines that there is a reasonable
expectation that the certification or accreditation described
in clause (i), or candidacy in good standing for such
certification or accreditation, will be achieved by the
school within 3 years. The school seeking accreditation shall
remain under the standards of the Bureau in effect on the
date of enactment of the Native American Education
Improvement Act of 2001 until such time as the school is
accredited, except that if the Bureau standards are in
conflict with the standards of the accrediting agency, the
standards of such agency shall apply in such case.
``(iii) The school is accredited by a tribal department of
education if such accreditation is accepted by a generally
recognized regional or State accreditation agency.
``(iv)(I) With respect to a school that lacks
accreditation, or that is not a candidate for accreditation,
based on circumstances that are not beyond the control of the
school board, every 3 years an impartial evaluator agreed
upon by the Secretary and the grant recipient conducts
evaluations of the school, and the school receives a positive
assessment under such evaluations. The evaluations are
conducted under standards adopted by a contractor under a
contract for the school entered into under the Indian
Self-Determination and Education Assistance Act (or
revisions of such standards agreed to by the Secretary and
the grant recipient) prior to the date of enactment of the
Native American Education Improvement Act of 2001.
``(II) If the Secretary and a grant recipient other than a
tribal governing body fail to agree on such an evaluator, the
tribal governing body shall choose the evaluator or perform
the evaluation. If the Secretary and a grant recipient that
is a tribal governing body fail to agree on such an
evaluator, subclause (I) shall not apply.
``(III) A positive assessment by an impartial evaluator
under this clause shall not affect the revocation of a
determination of eligibility by

[[Page H9941]]

the Secretary where such revocation is based on circumstances
that were within the control of the school board.
``(2) Notice requirements for revocation.--The Secretary
shall not revoke a determination that a school is eligible
for assistance under this part, or reassume control of a
school that was a Bureau school prior to approval of an
application submitted under section 5206(b)(1)(A) until the
Secretary--
``(A) provides notice to the tribally controlled school and
the tribal governing body (within the meaning of section 1141
of the Education Amendments of 1978) of the tribally
controlled school which states--
``(i) the specific deficiencies that led to the revocation
or resumption determination; and
``(ii) the actions that are needed to remedy such
deficiencies; and
``(B) affords such authority an opportunity to effect the
remedial actions.
``(3) Technical assistance.--The Secretary shall provide
such technical assistance to enable the school and governing
body to carry out such remedial actions.
``(4) Hearing and appeal.--In addition to notice and
technical assistance under this subsection, the Secretary
shall provide to the school and governing body--
``(A) at the request of the school or governing body, a
hearing on the record regarding the revocation or
reassumption determination, to be conducted under the rules
and regulations described in section 5206(f)(1)(C); and
``(B) an opportunity to appeal the decision resulting from
the hearing.
``(d) Applicability of Section Pursuant to Election Under
Section 5208(b).--With respect to a tribally controlled
school that receives assistance under this part pursuant to
an election made under section 5208(b)--
``(1) subsection (b) of this section shall apply; and
``(2) the Secretary may not revoke eligibility for
assistance under this part except in conformance with
subsection (c) of this section.

``SEC. 5207. PAYMENT OF GRANTS; INVESTMENT OF FUNDS.

``(a) Payments.--
``(1) In general.--Except as otherwise provided in this
subsection, the Secretary shall make payments to grantees
under this part in 2 payments, of which--
``(A) the first payment shall be made not later than July 1
of each year in an amount equal to 80 percent of the amount
which the grantee was entitled to receive during the
preceding academic year; and
``(B) the second payment, consisting of the remainder to
which the grantee is entitled for the academic year, shall be
made not later than December 1 of each year.
``(2) Excess funding.--In a case in which the amount
provided to a grant recipient under paragraph (1)(A) is in
excess of the amount that the recipient is entitled to
receive for the academic year involved, the recipient shall
return to the Secretary such excess amount not later than 30
days after the final determination that the school was
overpaid pursuant to this section. The amount returned to the
Secretary under this paragraph shall be distributed equally
to all schools in the system.
``(3) Newly funded schools.--For any school for which no
payment under this part was made from Bureau funds in the
preceding academic year, full payment of the amount computed
for the first academic year of eligibility under this part
shall be made not later than December 1 of the academic year.
``(4) Late funding.--With regard to funds for grantees that
become available for obligation on October 1 of the fiscal
year for which such funds are appropriated, the Secretary
shall make payments to grantees not later than December 1 of
the fiscal year.
``(5) Applicability of certain title 31 provisions.--The
provisions of chapter 39 of title 31, United States Code,
shall apply to the payments required to be made by paragraphs
(1), (3), and (4).
``(6) Restrictions.--Paragraphs (1), (3), and (4) shall be
subject to any restriction on amounts of payments under this
part that are imposed by a continuing resolution or other Act
appropriating the funds involved.
``(b) Investment of Funds.--
``(1) Treatment of interest and investment income.--
Notwithstanding any other provision of law, any interest or
investment income that accrues to any funds provided under
this part after such funds are paid to the Indian tribe or
tribal organization and before such funds are expended for
the purpose for which such funds were provided under this
part shall be the property of the Indian tribe or tribal
organization and shall not be taken into account by any
officer or employee of the Federal Government in determining
whether to provide assistance, or the amount of assistance,
under any provision of Federal law. Such interest income
shall be spent on behalf of the school.
``(2) Permissible investments.--Funds provided under this
part may be invested by the Indian tribe or tribal
organization before such funds are expended for the purposes
of this part so long as such funds are--
``(A) invested by the Indian tribe or tribal organization
only in obligations of the United States, or in obligations
or securities that are guaranteed or insured by the United
States, or mutual (or other) funds registered with the
Securities and Exchange Commission and which only invest in
obligations of the United States, or securities that are
guaranteed or insured by the United States; or
``(B) deposited only into accounts that are insure by and
agency or instrumentality of the United States, or are fully
collateralized to ensure protection of the funds, even in the
event of a bank failure.
``(c) Recoveries.--For the purposes of underrecovery and
overrecovery determinations by any Federal agency for any
other funds, from whatever source derived, funds received
under this part shall not be taken into consideration.

``SEC. 5208. APPLICATION WITH RESPECT TO INDIAN SELF-
DETERMINATION AND EDUCATION ASSISTANCE ACT.

``(a) Certain Provisions To Apply to Grants.--The following
provisions of the Indian Self-Determination and Education
Assistance Act (and any subsequent revisions thereto or
renumbering thereof), shall apply to grants provided under
this part:
``(1) Section 5(f) (relating to single agency audit).
``(2) Section 6 (relating to criminal activities;
penalties).
``(3) Section 7 (relating to wage and labor standards).
``(4) Section 104 (relating to retention of Federal
employee coverage).
``(5) Section 105(f) (relating to Federal property).
``(6) Section 105(k) (relating to access to Federal sources
of supply).
``(7) Section 105(l) (relating to lease of facility used
for administration and delivery of services).
``(8) Section 106(f) (relating to limitation on remedies
relating to cost allowances).
``(9) Section 106(j) (relating to use of funds for matching
or cost participation requirements).
``(10) Section 106(k) (relating to allowable uses of
funds).
``(11) Section 108(c) (Model Agreements provisions
(1)(a)(5) (relating to limitations of costs), (1)(a)(7)
(relating to records and monitoring), (1)(a)(8) (relating to
property), and (a)(1)(9) (relating to availability of funds).
``(12) Section 109 (relating to reassumption).
``(13) Section 111 (relating to sovereign immunity and
trusteeship rights unaffected).
``(b) Election for Grant in Lieu of Contract.--
``(1) In general.--Contractors for activities to which this
part applies who have entered into a contract under the
Indian Self-Determination and Education Assistance Act that
is in effect on the date of enactment of the Native American
Education Improvement Act of 2001 may, by giving notice to
the Secretary, elect to have the provisions of this part
apply to such activity in lieu of such contract.
``(2) Effective date of election.--Any election made under
paragraph (1) shall take effect on the first day of July
immediately following the date of such election.
``(3) Exception.--In any case in which the first day of
July immediately following the date of an election under
paragraph (1) is less than 60 days after such election, such
election shall not take effect until the first day of July of
year following the year in which the election is made.
``(c) No Duplication.--No funds may be provided under any
contract entered into under the Indian Self-Determination and
Education Assistance Act to pay any expenses incurred in
providing any program or services if a grant has been made
under this part to pay such expenses.
``(d) Transfers and Carryovers.--
``(1) Buildings, equipment, supplies, materials.--A tribe
or tribal organization assuming the operation of--
``(A) a Bureau school with assistance under this part shall
be entitled to the transfer or use of buildings, equipment,
supplies, and materials to the same extent as if it were
contracting under the Indian Self-Determination and Education
Assistance Act; or
``(B) a contract school with assistance under this part
shall be entitled to the transfer or use of buildings,
equipment, supplies and materials that were used in the
operation of the contract school to the same extent as if it
were contracting under the Indian Self-Determination and
Education Assistance Act.
``(2) Funds.--Any tribe or tribal organization which
assumes operation of a Bureau school with assistance under
this part and any tribe or tribal organization which elects
to operate a school with assistance under this part rather
that to continue as a contract school shall be entitled to
any funds which would carryover from the previous fiscal year
as if such school were operated as a contract school.
``(3) Funding for school improvement.--Any tribe or tribal
organization that assumes operation of a Bureau school or a
contract school with assistance under this part shall be
eligible for funding for the improvement, alteration,
replacement, and repair of facilities to the same extent as a
Bureau school.
``(e) Exceptions, Problems, and Disputes.--Any exception or
problem cited in an audit conducted pursuant to section
5206(b)(1), any dispute regarding a grant authorized to be
made pursuant to this part or any amendment to such grant,
and any dispute involving an administrative cost grant under
section 1128 of the Education Amendments of 1978 shall be
administered under the provisions governing such exceptions,
problems, or disputes in the case of contracts under the
Indian Self-Determination and Education Assistance Act. The
Equal Access to Justice Act shall apply to administrative
appeals filed after September 8, 1988, by grantees regarding
a grant under this part, including an administrative cost
grant.

``SEC. 5209. ROLE OF THE DIRECTOR.

``Applications for grants under this part, and all
application modifications, shall be reviewed and approved by
personnel under the direction and control of the Director of
the Office of Indian Education Programs. Required reports
shall be submitted to education personnel under the direction
and control of the Director of such Office.

``SEC. 5210. REGULATIONS.

``The Secretary is authorized to issue regulations relating
to the discharge of duties specifically assigned to the
Secretary in this part. For

[[Page H9942]]

all other matters relating to the details of planning,
developing, implementing, and evaluating grants under this
part, the Secretary shall not issue regulations.

``SEC. 5211. THE TRIBALLY CONTROLLED GRANT SCHOOL ENDOWMENT
PROGRAM.

``(a) In General.--
``(1) Establishment.--Each school receiving a grant under
this part may establish, at a federally insured financial
institution, a trust fund for the purposes of this section.
``(2) Deposits and use.--The school may provide--
``(A) for deposit into the trust fund, only funds from non-
Federal sources, except that the interest on funds received
from grants provided under this part may be used for that
purpose;
``(B) for deposit into the trust fund, any earnings on
funds deposited in the fund; and
``(C) for the sole use of the school any noncash, in-kind
contributions of real or personal property, which may at any
time be used, sold, or otherwise disposed of.
``(b) Interest.--Interest from the fund established under
subsection (a) may periodically be withdrawn and used, at the
discretion of the school, to defray any expenses associated
with the operation of the school consistent with the purposes
of this Act.

``SEC. 5212. DEFINITIONS.

``In this part:
``(1) Bureau.--The term `Bureau' means the Bureau of Indian
Affairs of the Department of the Interior.
``(2) Eligible indian student.--The term `eligible Indian
student' has the meaning given such term in section 1127(f)
of the Education Amendments of 1978.
``(3) Indian.--The term `Indian' means a member of an
Indian tribe, and includes individuals who are eligible for
membership in a tribe, and the child or grandchild of such an
individual.
``(4) Indian tribe.--The term `Indian tribe' means any
Indian tribe, band, nation, or other organized group or
community, including an Alaska Native Village Corporation or
Regional Corporation (as defined in or established pursuant
to the Alaska Native Claims Settlement Act), which is
recognized as eligible for the special programs and services
provided by the United States to Indians because of their
status as Indians.
``(5) Local educational agency.--The term `local
educational agency' means a public board of education
or other public authority legally constituted within a
State for either administrative control or direction of,
or to perform a service function for, public elementary
schools or secondary schools in a city, county, township,
school district, or other political subdivision of a State
or such combination of school districts or counties as are
recognized in a State as an administrative agency for the
State's public elementary schools or secondary schools.
Such term includes any other public institution or agency
having administrative control and direction of a public
elementary school or secondary school.
``(6) Secretary.--The term `Secretary' means the Secretary
of the Interior.
``(7) Tribal governing body.--The term `tribal governing
body' means, with respect to any school that receives
assistance under this Act, the recognized governing body of
the Indian tribe involved.
``(8) Tribal organization.--
``(A) In general.--The term `tribal organization' means--
``(i) the recognized governing body of any Indian tribe; or
``(ii) any legally established organization of Indians
that--

``(I) is controlled, sanctioned, or chartered by such
governing body or is democratically elected by the adult
members of the Indian community to be served by such
organization; and
``(II) includes the maximum participation of Indians in all
phases of the organization's activities.

``(B) Authorization.--In any case in which a grant is
provided under this part to an organization to provide
services through a tribally controlled school benefiting more
than 1 Indian tribe, the approval of the governing bodies of
Indian tribes representing 80 percent of the students
attending the tribally controlled school shall be considered
a sufficient tribal authorization for such grant.
``(9) Tribally controlled school.--The term `tribally
controlled school' means a school that--
``(A) is operated by an Indian tribe or a tribal
organization, enrolling students in kindergarten through
grade 12, including a preschool;
``(B) is not a local educational agency; and
``(C) is not directly administered by the Bureau of Indian
Affairs.''.

SEC. 1044. LEASE PAYMENTS BY THE OJIBWA INDIAN SCHOOL.

(a) In General.--Notwithstanding the Tribally Controlled
Schools Act of 1988 (25 U.S.C. 2501 et seq.), or the
regulations promulgated under such Act, the Ojibwa Indian
School located in Belcourt, North Dakota, may use amounts
received under such Act to enter into, and make payments
under, a lease described in subsection (b).
(b) Lease.--A lease described in this subsection is a lease
that--
(1) is entered into by the Ojibwa Indian School for the use
of facilities owned by St. Ann's Catholic Church located in
Belcourt, North Dakota;
(2) is entered into in the 2001-2002 school year, or any
other school year in which the Ojibwa Indian School will use
such facilities for school purposes;
(3) requires lease payments in an amount determined
appropriate by an independent lease appraiser that is
selected by the parties to the lease, except that such amount
may not exceed the maximum amount per square foot that is
being paid by the Bureau of Indian Affairs for other
similarly situated Indian schools under the Indian Self-
Determination and Education Assistance Act (Public Law 93-
638); and
(4) contains a waiver of the right of St. Ann's Catholic
Church to bring an action against the Ojibwa Indian School,
the Turtle Mountain Band of Chippewa, or the Federal
Government for the recovery of any amounts remaining unpaid
under leases entered into prior to the date of enactment of
this Act.
(c) Method of Funding.--Amounts shall be made available by
the Bureau of Indian Affairs to make lease payments under
this section in the same manner as amounts are made available
to make payments under leases entered into by Indian schools
under the Indian Self-Determination and Education Assistance
Act (Public Law 93-638).
(d) Operation and Maintenance Funding.--The Bureau of
Indian Affairs shall provide funding for the operation and
maintenance of the facilities and property used by the Ojibwa
Indian School under the lease entered into under subsection
(a) so long as such facilities and property are being used by
the School for educational purposes.

SEC. 1045. ENROLLMENT AND GENERAL ASSISTANCE PAYMENTS.

Section 5404(a) of the Augustus F. Hawkins-Robert T.
Stafford Elementary and Secondary School Improvement
Amendments of 1988 (25 U.S.C. 13d-2(a)) is amended--
(1) by striking the matter preceding paragraph (1) and
inserting the following:
``(a) In General.--The Secretary of the Interior shall not
disqualify from continued receipt of general assistance
payments from the Bureau of Indian Affairs an otherwise
eligible Indian for whom the Bureau is making or may make
general assistance payments (or exclude such an individual
from continued consideration in determining the amount of
general assistance payments for a household) because the
individual is enrolled (and is making satisfactory progress
toward completion of a program or training that can
reasonably be expected to lead to gainful employment) for at
least half-time study or training
in--''; and
(2) by striking paragraph (4), and inserting the following:
``(4) other programs or training approved by the Secretary
or by tribal education, employment or training programs.''.

PART E--HIGHER EDUCATION ACT OF 1965

SEC. 1051. PREPARING TOMORROW'S TEACHERS TO USE TECHNOLOGY.

Title II of the Higher Education Act of 1965 (20 U.S.C.
1021 et seq.) is amended--
(1) by striking the title heading and inserting the
following:
``TITLE II--TEACHER QUALITY ENHANCEMENT

``PART A--TEACHER QUALITY ENHANCEMENT GRANTS FOR STATES AND
PARTNERSHIPS'';

(2) by striking ``this title'' each place it appears and
inserting ``this part''; and
(3) by adding at the end the following:

``PART B--PREPARING TOMORROW'S TEACHERS TO USE TECHNOLOGY

``SEC. 221. PURPOSE AND PROGRAM AUTHORITY.

``(a) Purpose.--It is the purpose of this part to assist
consortia of public and private entities--
``(1) to carry out programs that prepare prospective
teachers to use advanced technology to prepare all students
to meet challenging State and local academic content and
student academic achievement standards; and
``(2) to improve the ability of institutions of higher
education to carry out such programs.
``(b) Program Authority.--
``(1) In general.--The Secretary is authorized to award
grants to eligible applicants, or enter into contracts or
cooperative agreements with eligible applicants, on
a competitive basis in order to pay for the Federal share
of the cost of projects to develop or redesign teacher
preparation programs to enable prospective teachers to use
advanced technology effectively in their classrooms.
``(2) Period of awards.--The Secretary may award grants, or
enter into contracts or cooperative agreements, under this
part for periods that are not more than 5 years in duration.

``SEC. 222. ELIGIBILITY.

``(a) Eligible Applicants.--In order to receive a grant or
enter into a contract or cooperative agreement under this
part, an applicant shall be a consortium that includes the
following:
``(1) At least one institution of higher education that
awards baccalaureate degrees and prepares teachers for their
initial entry into teaching.
``(2) At least one State educational agency or local
educational agency.
``(3) One or more of the following entities:
``(A) An institution of higher education (other than the
institution described in paragraph (1)).
``(B) A school or department of education at an institution
of higher education.
``(C) A school or college of arts and sciences (as defined
in section 201(b)) at an institution of higher education.
``(D) A professional association, foundation, museum,
library, for-profit business, public or private nonprofit
organization, community-based organization, or other entity,
with the capacity to contribute to the technology-related
reform of teacher preparation programs.
``(b) Application Requirements.--In order to receive a
grant or enter into a contract or cooperative agreement under
this part, an eligible applicant shall submit an application
to the Secretary at such time, in such manner, and containing
such information as the Secretary may require. Such
application shall include the following:

[[Page H9943]]

``(1) A description of the proposed project, including how
the project would--
``(A) ensure that individuals participating in the project
would be prepared to use advanced technology to prepare all
students, including groups of students who are
underrepresented in technology-related fields and groups of
students who are economically disadvantaged, to meet
challenging State and local academic content and student
academic achievement standards; and
``(B) improve the ability of at least one participating
institution of higher education described in section
222(a)(1) to ensure such preparation.
``(2) A demonstration of--
``(A) the commitment, including the financial commitment,
of each of the members of the consortium for the proposed
project; and
``(B) the active support of the leadership of each
organization that is a member of the consortium for the
proposed project;
``(3) A description of how each member of the consortium
will participate in project activities.
``(4) A description of how the proposed project will be
continued after Federal funds are no longer awarded under
this part for the project.
``(5) A plan for the evaluation of the project, which shall
include benchmarks to monitor progress toward specific
project objectives.
``(c) Matching Requirements.--
``(1) In general.--The Federal share of the cost of any
project funded under this part shall not exceed 50 percent.
Except as provided in paragraph (2), the non-Federal share of
the cost of such project may be provided in cash or in kind,
fairly evaluated, including services.
``(2) Acquisition of equipment.--Not more than 10 percent
of the funds awarded for a project under this part may be
used to acquire equipment, networking capabilities, or
infrastructure, and the non-Federal share of the cost of any
such acquisition shall be provided in cash.

``SEC. 223. USE OF FUNDS.

``(a) Required Uses.--A consortium that receives a grant or
enters into a contract or cooperative agreement under this
part shall use funds made available under this part for--
``(1) a project creating one or more programs that prepare
prospective teachers to use advanced technology to prepare
all students, including groups of students who are
underrepresented in technology-related fields and groups of
students who are economically disadvantaged, to meet
challenging State and local academic content and student
academic achievement standards; and
``(2) evaluating the effectiveness of the project.
``(b) Permissible Uses.--The consortium may use funds made
available under this part for a project, described in the
application submitted by the consortium under this part, that
carries out the purpose of this part, such as the following:
``(1) Developing and implementing high-quality teacher
preparation programs that enable educators--
``(A) to learn the full range of resources that can be
accessed through the use of technology;
``(B) to integrate a variety of technologies into curricula
and instruction in order to expand students' knowledge;
``(C) to evaluate educational technologies and their
potential for use in instruction;
``(D) to help students develop their technical skills; and
``(E) to use technology to collect, manage, and analyze
data to improve teaching and decisionmaking.
``(2) Developing alternative teacher development paths that
provide elementary schools and secondary schools with well-
prepared, technology-proficient educators.
``(3) Developing achievement-based standards and
assessments aligned with the standards to measure the
capacity of prospective teachers to use technology
effectively in their classrooms.
``(4) Providing technical assistance to entities carrying
out other teacher preparation programs.
``(5) Developing and disseminating resources and
information in order to assist institutions of higher
education to prepare teachers to use technology effectively
in their classrooms.
``(6) Subject to section 222(c)(2), acquiring technology
equipment, networking capabilities, infrastructure, software,
and digital curricula to carry out the project.

``SEC. 224. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
part such sums as may be necessary for each of fiscal years
2002 and 2003.''.

SEC. 1052. CONTINUATION OF AWARDS.

Notwithstanding any other provision of this Act or the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
6301 et seq.), in the case of a person or entity that was
awarded a grant, relating to preparing tomorrow's teachers to
use technology, that was made pursuant to section 3122 of the
Elementary and Secondary Education Act of 1965 (20 U.S.C.
6832) prior to the date of enactment of this Act, the
Secretary of Education shall continue to provide funds in
accordance with the terms of such award until the date on
which the award period terminates.

PART F--GENERAL EDUCATION PROVISIONS ACT

SEC. 1061. STUDENT PRIVACY, PARENTAL ACCESS TO INFORMATION,
AND ADMINISTRATION OF CERTAIN PHYSICAL
EXAMINATIONS TO MINORS.

Section 445(b) of the General Education Provisions Act (20
U.S.C. 1232h(b)) is amended--
(1) by striking paragraphs (1) through (7) and inserting
the following new paragraphs:
``(1) political affiliations or beliefs of the student or
the student's parent;
``(2) mental or psychological problems of the student or
the student's family;
``(3) sex behavior or attitudes;
``(4) illegal, anti-social, self-incriminating, or
demeaning behavior;
``(5) critical appraisals of other individuals with whom
respondents have close family relationships;
``(6) legally recognized privileged or analogous
relationships, such as those of lawyers, physicians, and
ministers;
``(7) religious practices, affiliations, or beliefs of the
student or student's parent; or
``(8) income (other than that required by law to determine
eligibility for participation in a program or for receiving
financial assistance under such program),'';
(2) by redesignating subsections (c) through (e) as
subsections (d) through (f), respectively; and
(3) by inserting after subsection (b) the following new
subsection:
``(c) Development of Local Policies Concerning Student
Privacy, Parental Access to Information, and Administration
of Certain Physical Examinations to Minors.--
``(1) Development and Adoption of Local Policies.--Except
as provided in subsections (a) and (b), a local educational
agency that receives funds under any applicable program shall
develop and adopt policies, in consultation with parents,
regarding the following:
``(A)(i) The right of a parent of a student to inspect,
upon the request of the parent, a survey created by a third
party before the survey is administered or distributed by a
school to a student; and
``(ii) any applicable procedures for granting a request by
a parent for reasonable access to such survey within a
reasonable period of time after the request is received.
``(B) Arrangements to protect student privacy that are
provided by the agency in the event of the administration or
distribution of a survey to a student containing one or more
of the following items (including the right of a parent of a
student to inspect, upon the request of the parent, any
survey containing one or more of such items):
``(i) Political affiliations or beliefs of the student or
the student's parent.
``(ii) Mental or psychological problems of the student or
the student's family.
``(iii) Sex behavior or attitudes.
``(iv) Illegal, anti-social, self-incriminating, or
demeaning behavior.
``(v) Critical appraisals of other individuals with whom
respondents have close family relationships.
``(vi) Legally recognized privileged or analogous
relationships, such as those of lawyers, physicians, and
ministers.
``(vii) Religious practices, affiliations, or beliefs of
the student or the student's parent.
``(viii) Income (other than that required by law to
determine eligibility for participation in a program or for
receiving financial assistance under such program).
``(C)(i) The right of a parent of a student to inspect,
upon the request of the parent, any instructional material
used as part of the educational curriculum for the student;
and
``(ii) any applicable procedures for granting a request by
a parent for reasonable access to instructional material
within a reasonable period of time after the request is
received.
``(D) The administration of physical examinations or
screenings that the school or agency may administer to a
student.
``(E) The collection, disclosure, or use of personal
information collected from students for the purpose of
marketing or for selling that information (or otherwise
providing that information to others for that purpose),
including arrangements to protect student privacy that are
provided by the agency in the event of such collection,
disclosure, or use.
``(F)(i) The right of a parent of a student to inspect,
upon the request of the parent, any instrument used in the
collection of personal information under subparagraph (E)
before the instrument is administered or distributed to a
student; and
``(ii) any applicable procedures for granting a request by
a parent for reasonable access to such instrument within a
reasonable period of time after the request is received.
``(2) Parental notification.--
``(A) Notification of policies.--The policies developed by
a local educational agency under paragraph (1) shall provide
for reasonable notice of the adoption or continued use of
such policies directly to the parents of students enrolled in
schools served by that agency. At a minimum, the agency
shall--
``(i) provide such notice at least annually, at the
beginning of the school year, and within a reasonable period
of time after any substantive change in such policies; and
``(ii) offer an opportunity for the parent (and for
purposes of an activity described in subparagraph (C)(i), in
the case of a student of an appropriate age, the student) to
opt the student out of participation in an activity described
in subparagraph (C).
``(B) Notification of specific events.--The local
educational agency shall directly notify the parent of a
student, at least annually at the beginning of the school
year, of the specific or approximate dates during the school
year when activities described in subparagraph (C) are
scheduled, or expected to be scheduled.
``(C) Activities requiring notification.--The following
activities require notification under this paragraph:
``(i) Activities involving the collection, disclosure, or
use of personal information collected from students for the
purpose of marketing or for selling that information (or
otherwise providing that information to others for that
purpose).
``(ii) The administration of any survey containing one or
more items described in clauses (i) through (viii) of
paragraph (1)(B).

[[Page H9944]]

``(iii) Any nonemergency, invasive physical examination or
screening that is--

``(I) required as a condition of attendance;
``(II) administered by the school and scheduled by the
school in advance; and
``(III) not necessary to protect the immediate health and
safety of the student, or of other students.

``(3) Existing policies.--A local educational agency need
not develop and adopt new policies if the State educational
agency or local educational agency has in place, on the date
of enactment of the No Child Left Behind Act of 2001,
policies covering the requirements of paragraph (1). The
agency shall provide reasonable notice of such existing
policies to parents and guardians of students, in accordance
with paragraph (2).
``(4) Exceptions.--
``(A) Educational products or services.--Paragraph (1)(E)
does not apply to the collection, disclosure, or use of
personal information collected from students for the
exclusive purpose of developing, evaluating, or providing
educational products or services for, or to, students or
educational institutions, such as the following:
``(i) College or other postsecondary education recruitment,
or military recruitment.
``(ii) Book clubs, magazines, and programs providing access
to low-cost literary products.
``(iii) Curriculum and instructional materials used by
elementary schools and secondary schools.
``(iv) Tests and assessments used by elementary schools and
secondary schools to provide cognitive, evaluative,
diagnostic, clinical, aptitude, or achievement information
about students (or to generate other statistically useful
data for the purpose of securing such tests and assessments)
and the subsequent analysis and public release of the
aggregate data from such tests and assessments.
``(v) The sale by students of products or services to raise
funds for school-related or education-related activities.
``(vi) Student recognition programs.
``(B) State law exception.--The provisions of this
subsection--
``(i) shall not be construed to preempt applicable
provisions of State law that require parental notification;
and
``(ii) do not apply to any physical examination or
screening that is permitted or required by an applicable
State law, including physical examinations or screenings that
are permitted without parental notification.
``(5) General provisions.--
``(A) Rules of construction.--
``(i) This section does not supersede section 444.
``(ii) Paragraph (1)(D) does not apply to a survey
administered to a student in accordance with the Individuals
with Disabilities Education Act (20 U.S.C. 1400 et seq.).
``(B) Student rights.--The rights provided to parents under
this section transfer to the student when the student turns
18 years old, or is an emancipated minor (under an applicable
State law) at any age.
``(C) Information activities.--The Secretary shall annually
inform each State educational agency and each local
educational agency of the educational agency's obligations
under this section and section 444.
``(D) Funding.--A State educational agency or local
educational agency may use funds provided under part A of
title V of the Elementary and Secondary Education Act of 1965
to enhance parental involvement in areas affecting the in-
school privacy of students.
``(6) Definitions.--As used in this subsection:
``(A) Instructional material.--The term `instructional
material' means instructional content that is provided to a
student, regardless of its format, including printed or
representational materials, audio-visual materials, and
materials in electronic or digital formats (such as materials
accessible through the Internet). The term does not include
academic tests or academic assessments.
``(B) Invasive physical examination.--The term `invasive
physical examination' means any medical examination that
involves the exposure of private body parts, or any act
during such examination that includes incision, insertion, or
injection into the body, but does not include a hearing,
vision, or scoliosis screening.
``(C) Local educational agency.--The term `local
educational agency' means an elementary school, secondary
school, school district, or local board of education that is
the recipient of funds under an applicable program, but does
not include a postsecondary institution.
``(D) Parent.--The term `parent' includes a legal guardian
or other person standing in loco parentis (such as a
grandparent or stepparent with whom the child lives, or a
person who is legally responsible for the welfare of the
child).
``(E) Personal information.--The term `personal
information' means individually identifiable information
including--
``(i) a student or parent's first and last name;
``(ii) a home or other physical address (including street
name and the name of the city or town);
``(iii) a telephone number; or
``(iv) a Social Security identification number.
``(F) Student.--The term `student' means any elementary
school or secondary school student.
``(G) Survey.--The term `survey' includes an evaluation.''.

SEC. 1062. TECHNICAL CORRECTIONS.

The General Education Provisions Act (20 U.S.C. 1221 et
seq.) is amended as follows:
(1) Section 431.--Section 422 (the second place it appears)
(20 U.S.C. 1231a), relating to collection and dissemination
of information, is redesignated as section 431.
(2) Section 441.--Section 3501(c) of the Augustus F.
Hawkins-Robert T. Stafford Elementary and Secondary School
Improvement Amendments of 1988 (102 Stat. 357) is amended by
striking ``through `such Act)' '' and inserting ``through
`Act of 1965' '', effective as of the date of enactment of
that law.
(3) Section 444.--Section 444 (20 U.S.C. 1232g) is
amended--
(A) in subsection (a)(1), by moving subparagraph (B) four
ems to the left;
(B) in subsection (b)(1)(J), by moving subparagraph (J)(i)
and clause (ii) of subparagraph (J) each two ems to the left;
(C) in the undesignated text following subsection
(b)(1)(J)(ii), by striking ``clause (E)'' and inserting
``subparagraph (E)''; and
(D) in subsection (b), by moving paragraph (7)(A) and
subparagraph (B) of paragraph (7) each two ems to the left.
(4) Section 447.--Section 447(b) (20 U.S.C. 1232j(b)) is
amended by striking ``et seq.''.
(5) Section 475.--Section 475(b)(2) (20 U.S.C. 1235d) is
amended by striking ``section 4703(3)'' and inserting
``section 473(3)''.
(6) Section 477.--Section 477 (20 U.S.C. 1235f) is amended
by striking ``section 4702'' and inserting ``472''.

PART G--MISCELLANEOUS OTHER STATUTES

SEC. 1071. TITLE 5 OF THE UNITED STATES CODE.

(a) Compensation.--Section 5314 of title 5, United States
Code, is amended by adding at the end the following:
``Under Secretary of Education''.
(b) Effective Date.--This section shall take effect on the
first day of the first pay period on or after the date of
enactment of this Act.

SEC. 1072. DEPARTMENT OF EDUCATION ORGANIZATION ACT.

(a) Coordinator for the Outlying Areas.--Title II of the
Department of Education Organization Act (20 U.S.C. 3411 et
seq.) is amended by adding at the end the following new
section:

``coordinator for the outlying areas

``Sec. 220. (a) Establishment.--The Secretary shall
designate an office of the Department to coordinate the
activities of the Department as they relate to the outlying
areas.
``(b) Appointment.--Not later than 90 days after the date
of enactment of the No Child Left Behind Act of 2001, the
head of the office designated under subsection (a) shall
appoint a coordinator for the outlying areas, who shall be a
person with substantial experience in the operation of
Federal programs in the outlying areas.
``(c) Duties.--The coordinator for the outlying areas
shall--
``(1) serve as the principal advisor to the Department on
Federal matters affecting the outlying areas;
``(2) evaluate, on a periodic basis, the needs of education
programs in the outlying areas;
``(3) assist with the coordination of programs that serve
the outlying areas; and
``(4) provide guidance to programs within the Department
that serve the outlying areas.
``(d) Outlying Areas Defined.--As used in this section, the
term `outlying areas' includes Guam, the Virgin Islands,
American Samoa, and the Commonwealth of the Northern Marianas
Islands, but does not include the Freely Associated States of
the Republic of the Marshall Islands, the Federated States of
Micronesia, and the Republic of Palau.''.
(b) Renaming of Office.--The Department of Education
Organization Act (20 U.S.C. 3401 et seq.) is amended by
striking ``Office of Bilingual Education and Minority
Languages Affairs'' and ``Office of Bilingual Education''
each place either such term appears and inserting ``Office of
English Language Acquisition, Language Enhancement, and
Academic Achievement for Limited English Proficient
Students''.
(c) Clerical Amendments.--The Department of Education
Organization Act (20 U.S.C. 3401 et seq.) is amended as
follows:
(1) Table of contents.--The table of contents in section 1
(20 U.S.C. 3401 note) is amended--
(A) by amending the item relating to section 209 to read as
follows:

``Sec. 209. Office of English Language Acquisition, Language
Enhancement, and Academic Achievement for Limited English
Proficient Students.'';

(B) by amending the item relating to section 216 to read as
follows:

``Sec. 216. Office of English Language Acquisition, Language
Enhancement, and Academic Achievement for Limited English
Proficient Students.''; and

``Sec. 218. Office of Educational Technology.
``Sec. 219. Liaison for Proprietary Institutions of Higher Education.
``Sec. 220. Coordinator for the Outlying Areas.''.

(2) Section headings.--
(A) Section 209.--The section heading for section 209 of
the Department of Education Organization Act (20 U.S.C. 3420)
is amended to read as follows:

``office of english language acquisition, language enhancement, and
academic achievement for limited english proficient students''.

(B) Section 216.--The section heading for section 216 of
the Department of Education Organization Act (20 U.S.C.
3423d) is amended to read as follows:

``SEC. 216. OFFICE OF ENGLISH LANGUAGE ACQUISITION, LANGUAGE
ENHANCEMENT, AND ACADEMIC ACHIEVEMENT FOR
LIMITED ENGLISH PROFICIENT STUDENTS.''.

(d) Conforming Amendments.--Sections 209 and 216 of the
Department of Education Organization Act (20 U.S.C. 3420,
3423d) are amended by striking ``Director of Bilingual
Education

[[Page H9945]]

and Minority Languages Affairs'' each place such term appears
and inserting ``Director of English Language Acquisition,
Language Enhancement, and Academic Achievement for Limited
English Proficient Students''.
(e) Technical Corrections.--
(2) Section 202.--Paragraph (3) of section 202(b) (20
U.S.C. 3412(b)(3)), relating to the Assistant Secretary for
Educational Research and Improvement (as added by section
913(2) of the Goals 2000: Educate America Act (108 Stat.
223)), is redesignated as paragraph (4).
(3) Section 218.--Section 216 (the second place it appears)
(20 U.S.C. 3425), relating to the Office of Educational
Technology (as added by section 233(a) the Goals 2000:
Educate America Act (108 Stat. 154), is redesignated as
section 218.

SEC. 1073. EDUCATION FLEXIBILITY PARTNERSHIP ACT OF 1999.

Section 4(b) of the Education Flexibility Partnership Act
of 1999 (20 U.S.C. 5891b(b)) is amended to read as follows:
``(b) Included Programs.--The statutory or regulatory
requirements referred to in subsection (a)(1)(A) are any such
requirements for programs that are authorized under the
following provisions and under which the Secretary provides
funds to State educational agencies on the basis of a
formula:
``(1) The following provisions of the Elementary and
Secondary Education Act of 1965:
``(A) Part A (other than sections 1111 and 1116), subpart 3
of part B, and parts C, D, and F of title I.
``(B) Subparts 2 and 3 of part A of title II.
``(C) Subpart 1 of part D of title II.
``(D) Subpart 4 of part B of title III, if the funding
trigger in section 3001 of such Act is not reached.
``(E) Subpart 1 of part A of title IV.
``(F) Part A of title V.
``(2) The Carl D. Perkins Vocational and Technical
Education Act of 1998 (20 U.S.C. 2301 et seq.).''.

SEC. 1074. EDUCATIONAL RESEARCH, DEVELOPMENT, DISSEMINATION,
AND IMPROVEMENT ACT OF 1994.

The Educational Research, Development, Dissemination, and
Improvement Act of 1994 (20 U.S.C. 6001 et seq.) is amended
by adding after part I the following new part:

``PART J--CERTAIN MULTIYEAR GRANTS AND CONTRACTS

``SEC. 995. CONTINUATION OF AWARDS.

``(a) In General.--Notwithstanding any other provision of
law, from funds appropriated under subsection (b), the
Secretary--
``(1) shall continue to fund any multiyear grant or
contract awarded under section 3141 and parts A and C of
title XIII of the Elementary and Secondary Education Act of
1965 (as such provisions were in effect on the day preceding
the date of enactment of the No Child Left Behind Act of
2001), for the duration of that multiyear award in accordance
with its terms; and
``(2) may extend, on a year-to-year basis, any multiyear
grant or contract awarded under an authority described in
paragraph (1) that expires after the enactment of the No
Child Left Behind Act of 2001, but before the enactment of
successor authority to this Act.
``(b) Authorization of Appropriations.--There are
authorized to be appropriated for each fiscal year such sums
as may be necessary to carry out subsection (a).''.

SEC. 1075. NATIONAL CHILD PROTECTION ACT OF 1993.

Section 5(9) of the National Child Protection Act of 1993
(42 U.S.C. 5119c(9)) is amended--
(1) in subparagraph (A)(i), by inserting ``(including an
individual who is employed by a school in any capacity,
including as a child care provider, a teacher, or another
member of school personnel)'' before the semicolon at the
end; and
(2) in subparagraph (B)(i), by inserting ``(including an
individual who seeks to be employed by a school in any
capacity, including as a child care provider, a teacher, or
another member of school personnel)'' before the semicolon at
the end.

SEC. 1076. TECHNICAL AND CONFORMING AMENDMENTS.

(a) Legislative Branch Appropriations Act, 1997.--Section
5(d)(1) of the Legislative Branch Appropriations Act, 1997 (2
U.S.C. 117b-2(d)(1)) is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(b) Legislative Branch Appropriations Act, 1987.--Section
104(3)(B)(ii) of the Legislative Branch Appropriations Act,
1987 (as incorporated by reference in section 101(j) of
Public Law 99-500 and Public Law 99-591) (2 U.S.C.
117e(3)(B)(ii)) is amended by striking ``14101'' and
inserting ``9101''.
(c) National Agricultural Research, Extension, and Teaching
Policy Act of 1977.--Section 1417(j)(1)(B) of the National
Agricultural Research, Extension, and Teaching Policy Act of
1977 (7 U.S.C. 3152(j)(1)(B)) is amended--
(1) by striking ``14101(25)'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801(25))''.
(d) Refugee Education Assistance Act of 1980.--Section
101(1) of the Refugee Education Assistance Act of 1980 (8
U.S.C. 1522 note) is amended by striking ``14101'' and
inserting ``9101''.
(e) Title 10, United States Code.--Section 2194(e)(2) of
title 10, United States Code, is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(f) Toxic Substances Control Act.--
(1) Asbestos.--Paragraphs (7), (9) and (12) of section 202
of the Toxic Substances Control Act (15 U.S.C. 2642) are
amended by striking ``14101'' and inserting ``9101''.
(2) Radon.--Section 302(1)(A) of the Toxic Substances
Control Act (15 U.S.C. 2662(1)(A)) is amended by striking
``14101'' and inserting ``9101''.
(g) Higher Education Act of 1965.--Paragraphs (4), (5),
(6), (10), and (14) of section 103 of the Higher Education
Act of 1965 (20 U.S.C. 1003) are amended by striking
``14101'' and inserting ``9101''.
(h) General Education Provisions Act.--Section 425(6) of
the General Education Provisions Act (20 U.S.C. 1226c(6)) is
amended by striking ``14701'' and inserting ``9601''.
(i) Individuals with Disabilities Education Act.--Section
613(f) of the Individuals with Disabilities Education Act (20
U.S.C. 1413(f)) is amended by striking paragraph (3).
(j) Education Amendments of 1972.--Section 908(2)(B) of the
Education Amendments of 1972 (20 U.S.C. 1687(2)(B)) is
amended by striking ``14101'' and inserting ``9101''.
(k) Carl D. Perkins Vocational and Technical Education Act
of 1998.--Section 3 of the Carl D. Perkins Vocational and
Technical Education Act of 1998 (20 U.S.C. 2302) is amended--
(1) in paragraph (5)--
(A) by striking ``10306'' and inserting ``5206''; and
(B) by striking ``(20 U.S.C. 8066)'';
(2) in paragraph (8) by striking ``14101'' and inserting
``9101''; and
(3) in paragraphs (16) and (21)--
(A) by striking ``14101'' and inserting ``9101''; and
(B) by striking ``(20 U.S.C. 8801)''.
(l) Education for Economic Security Act.--
(1) Economic security.--Section 3(3) of the Education for
Economic Security Act (20 U.S.C. 3902) is amended--
(A) in paragraph (3)--
(i) by striking ``198(a)(7)'' and inserting ``9101''; and
(B) in paragraph (7)--
(i) by striking ``198(a)(10)'' and inserting ``9101''; and
(C) in paragraph (12)--
(i) by striking ``198(a)(17)'' and inserting ``9101''.
(2) Asbestos.--Section 511 of the Education for Economic
Security Act (20 U.S.C. 4020) is amended--
(A) in paragraph (4)(A), by striking ``198(a)(10)'' and
inserting ``9101''; and
(B) in paragraph (5)(A), by striking ``198(a)(7)'' and
inserting ``9101''.
(m) James Madison Memorial Fellowship Act.--Section 815(4)
of the James Madison Memorial Fellowship Act (20 U.S.C.
4514(4)) is amended by striking ``14101'' and inserting
``9101''.
(n) National Environmental Education Act.--Section 3(5) of
the National Environmental Education Act (20 U.S.C. 5502(5))
is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 3381)''.
(o) Education Flexibility Partnership Act of 1999.--Section
3(1) of the Education Flexibility Partnership Act of 1999 (20
U.S.C. 5891a(1)) is amended by striking ``14101'' and
inserting ``9101''.
(p) District of Columbia College Access Act of 1999.--
Section 3(c)(5) of the District of Columbia College Access
Act of 1999 (Public Law 106-98; 113 Stat. 1323) is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(q) School-to-Work Opportunities Act of 1994.--Paragraph
(5) of section 502(b) of the School-to-Work Opportunities Act
of 1994 (20 U.S.C. 6212(b)(5)) is amended to read as follows:
``(5) parts K through N of the Educational Research,
Development, Dissemination, and Improvement Act of 1994;
and''.
(r) National Education Statistics Act of 1994.--Paragraphs
(4) and (6) of section 402(c) of the National Education
Statistics Act of 1994 (20 U.S.C. 9001(c)) are amended by
striking ``14101'' and inserting ``9101''.
(s) Adult Education and Family Literacy Act.--Section
203(13) of the Adult Education and Family Literacy Act (20
U.S.C. 9202(13)) is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(t) Internal Revenue Code of 1986.--Section 1397E(d)(4)(B)
of the Internal Revenue Code of 1986 is amended by striking
``14101'' and inserting ``9101''.
(u) Rehabilitation Act of 1973.--
(1) Research.--Section 202(b)(4)(A)(i) of the
Rehabilitation Act of 1973 (29 U.S.C. 762(b)(4)(A)(i)) is
amended by striking ``14101'' and inserting ``9101''.
(2) Nondiscrimination.--Section 504(b)(2)(B) of the
Rehabilitation Act of 1973 (29 U.S.C. 794(b)(2)(B)) is
amended by striking ``14101'' and inserting ``9101''.
(v) Family and Medical Leave Act of 1993.--Section
108(a)(1)(A) of the Family and Medical Leave Act of 1993 (29
U.S.C. 2618(a)(1)(A)) is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 2891(12))''.
(w) Workforce Investment Act of 1998.--Paragraphs (23) and
(40) of section 101 of the Workforce Investment Act of 1998
(29 U.S.C. 2801) are amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(x) Safe Drinking Water Act.--Paragraphs (3)(A) and (6) of
section 1461 of the Safe Drinking Water Act (42 U.S.C. 300j-
21) are amended by striking ``14101'' and inserting ``9101''.
(y) Civil Rights Act of 1964.--Section 606(2)(B) of the
Civil Rights Act of 1964 (42

[[Page H9946]]

U.S.C. 2000d-4a(2)(B)) is amended by striking ``14101'' and
inserting ``9101''.
(z) Age Discrimination Act of 1975.--Section 309(4)(B)(ii)
of the Age Discrimination Act of 1975 (42 U.S.C.
6107(4)(B)(ii)) is amended by striking ``14101'' and
inserting ``9101''.
(aa) Hazardous and Solid Waste Amendments of 1989.--Section
221(f)(3)(B)(i) of The Hazardous and Solid Waste Amendments
of 1984 (42 U.S.C. 6921 note) is amended by striking
``198(a)(7)'' and inserting ``9101''.
(bb) Albert Einstein Distinguished Educator Fellowship Act
of 1994.--Paragraphs (1), (2), and (3) of section 514 of the
Albert Einstein Distinguished Educator Fellowship Act of 1994
(42 U.S.C. 7382b) are amended by striking ``14101'' and
inserting ``9101''.
(cc) Earthquake Hazards.--Section 2(c)(1)(A) of the Act
entitled ``An Act to authorize appropriations for carrying
out the Earthquake Hazards Reduction Act of 1977 for fiscal
years 1998 and 1999, and for other purposes'', approved
October 1, 1997 (42 U.S.C. 7704 note) is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(dd) State Dependent Care Development Grants Act.--
Paragraphs (6) and (11) of section 670G of the State
Dependent Care Development Grants Act (42 U.S.C. 9877) are
amended by striking ``14101'' and inserting ``9101''.
(ee) Community Services Block Grant Act.--Section 682(b)(4)
of the Community Services Block Grant Act (42 U.S.C.
9923(b)(4)) is amended--
(1) by striking ``14101'' and inserting ``9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(ff) National and Community Service Act of 1990.--
Paragraphs (8), (14), (22), and (28) of section 101 of the
National and Community Service Act of 1990 (42 U.S.C. 12511)
are amended by striking ``14101'' and inserting ``9101''.
(gg) Telecommunications Act of 1996.--Section 706(c)(2) of
the Telecommunications Act of 1996 (47 U.S.C. 157 note) is
amended--
(1) by striking ``paragraphs (14) and (25), respectively,
of section 14101'' and inserting ``section 9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(hh) Communications Act of 1934.--Section 254(h)(7)(A) of
the Communications Act of 1934 (47 U.S.C. 254(h)(7)(A)) is
amended--
(1) by striking ``paragraphs (14) and (25), respectively,
of section 14101'' and inserting ``section 9101''; and
(2) by striking ``(20 U.S.C. 8801)''.
(ii) Transportation Equity Act for the 21st Century.--
Section 4024 of the Transportation Equity Act for the 21st
Century (49 U.S.C. 31136 note) is amended by striking
``14101'' and inserting ``9101''.
And the Senate agree to the same.

John Boehner,
Thomas E. Petri,
Marge Roukema,
Howard ``Buck'' McKeon,
Mike Castle,
Lindsey, Graham,
Van Hilleary,
Johnny, Isakson,
George Miller,
Dale E. Kildee,
Majors R. Owens,
Patsy T. Mink,
Robert E. Andrews,
Tim Roemer,
Managers on the Part of the House.

Edward Kennedy,
Christopher Dodd,
Tom Harkin,
Barbara A. Mikulski,
Jeff Bingaman,
Patty Murray,
John Edwards,
Hillary Rodham Clinton,
Joseph Lieberman,
Evan Bayh,
Judd Gregg,
Bill Frist,
Mike Enzi,
Tim Hutchinson,
John Warner,
Kit Bond,
Pat Roberts,
Susan Collins,
Jeff Sessions,
Mike DeWine,
Wayne Allard,
John Ensign,
Managers on the Part of the Senate.

JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

The managers on the part of the House and the Senate at the
conference on the disagreeing votes of the two Houses on the
amendment of the Senate to the bill, (H.R. 1), to close the
achievement gap with accountability, flexibility, and choice,
so that no child is left behind, submit the following joint
statement to the House and the Senate in explanation of the
effect to the action agreed upon by the managers and
recommended in the accompanying conference report:
The Senate amendment struck all of the text of the House
bill after the enacting clause and inserted a substitute
text.
The House recedes from its disagreement to all of the
amendment of the Senate with an amendment that is a
substitute for the House bill and the Senate amendment. The
differences between the House bill, the Senate amendment, and
the substitute agreed to in conference are noted below,
except for clerical corrections, conforming changes made
necessary by agreements reached by the conferees, and minor
drafting and clerical changes.

Title I, Part A, Subpart 2 (Formula)

**Note: The side-by-sides were numbered wrong, so these
notes have been re-numbered. To correlate these notes with
your side-by-side, add 15 to the side-by-side note number to
get these re-numbered notes.
501. The House bill and the Senate amendment are
substantially the same with exception of technical
differences.
LC
502. Both bills provide assistance to the outlying areas.
The Senate amendment, but not the House bill, provides
assistance to the outlying areas in accordance with such
criteria as the Secretary determines will best carry out the
purpose of this part.
LC--conform to note 504.
503. The House bill and the Senate amendment are
substantially the same except the Senate amendment clarifies
that grants are specifically to local educational agencies.
HR
504. Both the House bill and the Senate amendment authorize
a competition for grants. The House bill authorizes the
competition for FY2002 and FY2003, while the Senate amendment
authorizes the competition for FY2002 and each of the 6
succeeding fiscal years. The House bill and the Senate
amendment have two different ways of referring to the $5
million reserved for the Freely Associated States. The Senate
amendment authorizes the Secretary to reserve $5 million for
the competitive grants from funds under subsection (a)(1),
for the Freely Associated States. The House bill, but not the
Senate amendment, caps the reservation at the level reserved
for the Freely Associated States in FY1999, which was $5
million. The House bill directs the Secretary to make
competitive grant awards pursuant to the recommendations of
the Pacific Region Educational Laboratory while the Senate
amendment allows the Secretary to award grants ``taking into
consideration'' the recommendations of the Pacific Region
Educational Laboratory. The House bill provides for
competitive grants to outlying areas and Freely Associated
States while the Senate amendment includes only the Freely
Associated States.
HR with amendment to strike ``For fiscal year 2002, and
each of the 6 succeeding fiscal years'' and insert ``Until an
agreement for the extension of United States education
assistance under the Compact of Free Association for each
appropriate outlying area enters into effect after the date
of enactment of this Act.
505. The Senate amendment, but not the House bill, provides
that funds may only be used for specified purposes under this
paragraph.
HR with an amendment to insert ``that assist all students
with meeting challenging State academic content standards''
after ``to provide direct educational services'' in (ii).
506. The House bill and the Senate amendment both permit
the Secretary to provide 5 percent of the amount reserved for
grants under this paragraph to the Pacific Region Educational
Laboratory for pay for administrative costs. There are minor
technical differences in wording.
SR
507. The House bill, but not the Senate amendment, includes
a special rule whereby, consolidation authority under P.L.
95-134 does not apply with respect to these funds.
SR
508. The House bill, but not the Senate amendment, includes
definitions of ``Freely Associated States'' and ``Outlying
Area'' for purposes of subsection (a) and (b). See also note
29 in Title VIII's General Provisions regarding definitions
of these words. See also note 507 following.
LC--conform and put in Title VIII
509. The House bill and the Senate amendment are identical,
except the House bill uses the word ``allotted'' while the
Senate amendment uses the word ``reserved.''
SR
510. The House bill and the Senate amendment are identical,
except the House bill uses the word ``allotted'' while the
Senate amendment uses the word ``reserved.''
SR
511. The House bill and the Senate amendment are
substantially the same, except the House bill refers to
FY2002-FY2006 while the Senate amendment refers to FY2002-
FY2008. The House bill refers to amounts ``equal to'' the
amount appropriated to carry out section 1124 while the
Senate amendment refers to amounts ``less than or equal to''
the amount appropriated to carry out section 1124. In effect,
the House bill and Senate amendment are the same, as long as
appropriations are at or above the FY2001 level.
SR with an amendment to strike ``2006'' and insert
``2007''.
512. The Senate amendment refers to amounts appropriated
that are not used under paragraph (1) while the House bill
does not have a similar clause.
SR
513. The House bill allocates funds under section 1125
according to the extent to which the amount appropriated
under 1002(a) for the current fiscal year exceeds the amount
appropriated for fiscal year 2001. The Senate amendment
allocates funds in accordance with section 1125 for which a
determination is made that funds are not used to carry out
paragraphs (1) and (2). In effect, the House bill and Senate
amendment are the same.
SR
514. The House bill and Senate amendment have identical
provisions on ratable reductions.

[[Page H9947]]

LC
515. The House bill includes a hold harmless provision for
sections 1124 and 1125 together, with a separate provision
for section 1124A. The Senate amendment includes a hold
harmless for sections 1124, 1124A and 1125 as one provision.
The House bill provides for basic and targeted grants a hold
harmless of 95 percent, 90 percent and 85 percent based on
ranges of percentages of poor children in LEAs, while the
Senate amendment provides, for basic, concentration, and
targeted grants, a hold harmless based on the greater of 100%
of what a district received for 2001 or the amount the
district would have received under the statutory formula
without applying any hold harmless. Under the House bill, the
hold harmless provisions apply separately to each formula, as
opposed to being applied to total grants under all three
formulas. The Senate amendment applies to the FY2001 grant
amount for each year, not to the previous year's grant
amount, as in the House bill.
SR
516. The House bill, but not the Senate amendment provides
for an 85 percent hold harmless for section 1124A
(concentration) grants. Compare to Senate provision above.
SR with an amendment--apply according to district poverty
level a sliding scale hold harmless of 85 percent to 95
percent of previous year's grant to basic, concentration, and
targeted formulas, separately.
517. The House bill, but not the Senate amendment, provides
a special rule regarding ineligible LEAs with respect to
grants under section 1124A. See also the ``Special Rules''
under subsection (c)(2) of the Senate bill for minimum
eligibility criteria.
SR
518. The Senate amendment, but not the House bill,
prohibits the Secretary from taking into account the hold
harmless for purposes of calculating State or local
allocations for any other program that relies on Part A
allocations.
HR
519. The House bill, and the Senate amendment contain the
same provision (see section 1122(c)(3) of the Senate
amendment), which provides a special rule for addressing
situations where allocations for counties are insufficient to
meet the hold harmless requirements for every local
educational agency within that county. Under such
circumstances, the State educational agency shall reallocate
funds from all other local educational agencies in the State
that are receiving funds in excess of the hold harmless
amounts.
LC
520. The Senate amendment, but not the House bill, requires
the Secretary of Education to use updated population data
published by the Department of Commerce for purposes of
carrying out grants under section 1124, unless the Secretary
of Education and the Secretary of Commerce determine the use
of the updated population data would be inappropriate or
unreliable. The Senate amendment also includes provisions
relating to inappropriate or unreliable data, poverty
criteria, authorizations of appropriations, special rules,
and calculations based on population data for counties. The
Senate amendment provides for the use of population updates
annually, rather than every second year, as under the House
bill.
HR with an amendment to insert ``annually'' between ``use''
and ``updated'' in clause (i); Allow for biennial data usage
when annually updated data in not available; strike clause
(iv) Authorization of Appropriations and subclauses (II) and
(III) of clause (ii);
LC on Senate (3).
Report Language:
The Conferees strongly urge the Department of Education and
the Department of Commerce to work collaboratively to produce
annually updated data on the number of poor children as soon
as possible, but not later than March 2003. The conferees
believe it is imperative that the departments use annually
updated data as produced by the Department of Commerce, as
provided for in the Conference agreement. The Conferees
recognize that additional resources will likely be necessary
to produce annually updated data and therefore expect the
Departments of Commerce and Education to submit budget
requests that reflect the efforts that will be necessary to
carry out this new responsibility.
521. The House bill and the Senate amendment on ratable
reductions are identical.
LC
522. The Senate amendment includes definitions for ``Freely
Associated States,'' and ``Outlying Areas,'' for purposes of
this subpart. The House bill, in note 493 above, includes
definitions of ``Freely Associated States'' and ``Outlying
Areas.'' See also note 29 in Title VIII (General Provisions)
for definition of ``Outlying Area.''
LC
523. The House bill and the Senate amendment both include
definitions of the term ``State.'' The Senate amendment
references the definition for purposes of this subpart while
the House bill references applicability to section 1122,
1124, 1124A, and 1125.
LC
524. The House bill and the Senate amendment have identical
provisions for the amount of grants to local educational
agencies.
LC
525. The House bill and the Senate amendment are identical
for the calculation of grants for purposes of allocations to
local educational agencies.
LC
526. The House bill and Senate amendment have substantially
similar provisions for allocations to large and small local
educational agencies with minor technical differences.
LC
527. The House bill and the Senate amendment have
substantially similar provisions on allocations to counties
with minor technical differences.
LC
528. The House bill and the Senate amendment are identical
except the House bill uses the ``Assurances'' in the heading
and the Senate bill uses the phrase ``Allocations to Local
Educational Agencies.''
HR
529. The House bill and the Senate amendment are
substantially similar with minor technical differences in
wording.
LC
530. The House bill and Senate amendment are substantially
similar with minor technical differences in wording.
LC
531. The House bill, but not the Senate amendment, includes
minimum percentages for each of fiscal years 2002-2005 and
succeeding fiscal years in the calculations of the
expenditure factor for Puerto Rico.
SR with an amendment to insert:
``(v) for fiscal year 2006, 92.5 percent; and
``(vi) for fiscal year 2007, 100 percent.''
532. The House bill, but not the Senate amendment, includes
adjustments in allocations to Puerto Rico relative to any of
the 50 States or the District of Columbia receiving less than
in the preceding fiscal year.
SR with an amendment to strike the ``or'' after ``(A)(i)''
and insert a comma, and insert ``, or the percentage
specified in subparagraph (B) for the preceding fiscal year''
after ``the percentage used for the preceding fiscal year''.
533. The House bill, but not the Senate amendment, includes
a definition of ``State'' for purposes of this subsection.
SR
534. The House bill and Senate amendment have identical
provisions relating to the minimum number of children to
qualify for a basic grant.
LC
535. The House bill and the Senate amendment on categories
of children to be counted are identical except the Senate
amendment references both paragraphs (2) and (3) for the
determination, while the House bill only references paragraph
(2).
HR
536. Paragraph (B) of the Senate amendment is identical to
Paragraph (C) of the House bill.
LC
537. Paragraph (B) of the House bill is identical to
Paragraph (C) of the Senate amendment with minor technical
differences in the placement of parentheticals.
LC
538. Paragraph (C) of the House bill and Paragraph (B) of
the Senate amendment are identical.
LC
539. The House bill and the Senate amendment are identical
with the exception of minor technical differences in
drafting.
SR
540. The House bill and the Senate amendment are identical
with minor technical differences in drafting. However, see
also note 505 above for section (c)(1)(C)(i) of the Senate
amendment which provides population updates every year rather
than every second year as under the House bill and under
(c)(3) of the Senate amendment.
LC--conform with note 520.
541. The House bill and the Senate amendment are identical
with the exception of technical differences in punctuation.
LC
542. The House bill and Senate amendment are identical with
minor technical differences in cross references.
LC
543. The House bill and Senate amendment are identical with
minor technical differences.
HR with an amendment to increase small state minimum for
funds above FY 2001 level to .35 percent with current law per
pupil grant cap adjusted accordingly.
544. The House bill and Senate amendment have substantially
similar provisions on eligibility for concentration grants,
except Guam, American Samoa, the Virgin Islands, and the
Commonwealth of the Northern Mariana Islands are not eligible
for such grants under the House bill. See also section 1123
of the Senate amendment which defines ``state'' as the 50
states, the District of Columbia and Puerto Rico for purposes
of subpart 2. Accordingly, the effect of the House bill and
Senate amendment herein is the same.
HR with an amendment to increase small state minimum for
funds above FY 2001 level to .35 percent with current law per
pupil grant cap adjusted accordingly.
545. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment includes a calculation relating to Puerto Rico in
the formula. The effect of the House bill and the Senate
amendment is the same.
HR with an amendment to strike ``section 1124(a)(3)'' and
insert ``section 1124(a)(4)''.
546. The House bill and the Senate amendment are identical.
LC
547. The House bill and the Senate amendment are identical
except in paragraph (B)

[[Page H9948]]

the House bill refers to ``allocation'' to the State while
the Senate amendment refers to ``amount made available to the
State.''
SR
548. The Senate amendment, but not the House bill, includes
a ratable reduction rule.
SR
549. The House bill and the Senate amendment have
substantially similar provisions regarding minimum grants
with technical differences in wording. The Senate amendment
refers to States receiving .25 percent or less while the
House bill refers to minimum grants.
SR with an amendment to strike ``In States that receive the
minimum grant under subsection (a)(1)(B)'' and to insert ``In
any State for which on the date of enactment of The No Child
Left Behind Act of 2001 the number of children counted under
section 1124(c) is less than 0.25 percent of the number of
those children counted for all States''.
550. The House bill and Senate amendment on targeted grants
are substantially the same with technical differences,
including differences in formatting.
HR
551. The House bill and Senate amendment are substantially
the same. However, the House bill refers to a State and the
District of Columbia while the Senate amendment refers to a
State ``(other than the Commonwealth of Puerto Rico).''
LC
552. The House bill and the Senate amendment are
substantially the same.
LC
553. The House bill and the Senate amendment on weighted
child counts are identical with technical differences.
HR with an amendment to update quintiles as per latest
available Census poverty data and to strike ``1.72'' and
insert ``1.82'' in subparagraph (D) of paragraphs (1) and
(2).
554. The House bill and the Senate amendment are
substantially the same.
LC
555. The House bill and the Senate amendment have
substantially different provisions for the state minimum. The
House bill guarantees .25% of appropriations or the average
of .25% of the amount available to carry out the
concentration grants section and 150% of the national
average. The Senate amendment provides a .5% minimum grant.
SR with an amendment to strike ``.25'' and insert ``.35''
in its place; and strike ``one quarter of 1'' and insert
``.35''.
556. The Senate amendment, but not the House bill, includes
findings relative to the funding of targeted grants, and a
statement on funding such grants. The Senate amendment
effectively re-emphasizes the text in section 1122(a).
HR with an amendment to strike all language in subsection
(b) and insert the following:
``(b) Limitation on Allocation of Title I Funds Contingent
on Adequate Funding of Targeted Grants.--Pursuant to section
1122, the total amount allocated in any fiscal year after
fiscal year 2001 for programs and activities under Part A of
Title I of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 6311 et seq.) shall not exceed the amount
allocated in fiscal year 2001 for such programs and
activities unless the amount available for targeted grants to
local educational agencies under section 1125 of that Act (20
U.S.C. 6335) in the applicable fiscal year meets the
requirements of section 1122 (a).''
557. The Senate amendment, but not the House bill, includes
an education finance incentive program. The Senate amendment,
but not the House bill, also provides for a school finance
equity study in subsection (f).
HR with an amendment:
(1) funds distributed to states based on multiplication of
each state's effort factor, equity factor, total number of
children counted under section 1124 (c), and ``cost of
education factor'' described in section 1124 (a)(1)(B),
except that the amount determined under that subparagraph
shall not be less than 34 percent or more than 46 percent of
the average per pupil expenditure in the United States;
(2) funds distributed within state via section 1125 in
states with an equity factor that is greater than 1.2, via
section 1125 with a maximum weight of 6 in states with an
equity factor greater than 1.1 and less than 1.2, and via
section 1125 with a maximum weight of 8 in states with an
equity factor greater than 1.0 and less than 1.1;
(3) strike ``.5'' and insert ``.35'' in subparagraph (B) of
paragraph (1) of subsection (b).
(4) strike ``$200,000,000'' and insert ``such sums'' and
strike ``6'' and insert ``5'' in subsection (e).
558. The House bill and the Senate amendment have identical
special allocation procedures except the House bill refers to
``neglected children'' while the Senate amendment refers to
``neglected or delinquent children.''
HR
559. The House bill and Senate amendment are identical.
LC
560. The House bill, but not the Senate amendment, includes
a provision relating to secular, neutral, and nonideological
educational services and benefits.
HR

Title I, Part A

1. The House bill and the Senate amendment have different
titles.
SR
2. The House bill and the Senate amendment are
substantially the same.
LC*
*Legislative Counsel, only minor and technical changes were
made.
3. The Senate amendment, but not the House bill, amends
current law by moving the ``SHORT TITLE'' and ``TABLE OF
CONTENTS'' to different sections and adds a ``PURPOSE''
section for the entire Act.
HR
4. The House bill, but not the Senate amendment, continues
for one year after the enactment of the bill those grants
entered into before enactment. The Senate amendment, but not
the House bill, contains specific transitional provisions
within the various titles of the Senate amendment. Also, see
note in Title VIII, General Provisions.
SR with an amendment to strike ``date that is one year
after the effective date of this Act'' and replace with ``the
end of fiscal year 2002, unless such grant was awarded after
the date of enactment of this Act but prior to January 1,
2002, in which case such grant funds shall be available for
one year after such grant is awarded.''
5. The House bill and the Senate amendment vary
significantly as to organization of each piece of
legislation. The differences between the two bills are fully
explained in the notes for each title, which are organized
according to the House bill.
HR/SR with an amendment--(see organizational handout).
6. The Senate amendment does not contain a similar
provision.
SR with amendment to strike ``on October 1, 2001, or'' and
``, whichever occurs later''
7. The House bill and the Senate amendment have different
headings for Title I.
SR with amendment to strike ``PERFORMANCE'' and insert
``ACHIEVEMENT''
8. The House bill and the Senate amendment have different
section headings.
SR
9. The House bill, but not the Senate amendment contains
findings.
HR
10. The Senate amendment, but not the House bill, contains
a more detailed statement of purpose and references
challenging State content and performance standards. Both the
House bill and the Senate amendment refer to ``all
children''. The Senate amendment, but not the House bill,
describes the purpose of the title in the following nine
paragraphs.
HR/SR with amendment to insert:

``SEC. 1001. STATEMENT OF PURPOSE.

``The purpose of this title is to ensure all children have
a fair, equal and significant opportunity to obtain a high
quality education and reach, at a minimum, proficiency on
challenging state academic achievement standards and state
academic assessments. This purpose can be accomplished by--
``(1) ensuring high quality academic assessments,
accountability systems, teacher preparation and training,
curriculum, and instructional materials are aligned with
challenging State academic standards so that students,
teachers, parents, and administrators can measure progress
against common expectations for student academic achievement;
``(2) meeting the educational needs of low-achieving
children in our Nation's highest-poverty schools, limited
English proficient children, migratory children, disabled
children, Indian children, neglected or delinquent children,
and young children in need of reading assistance;
``(3) closing the achievement gap between high and low
performing children, especially the achievement gaps between
minority and non-minority students, and between disadvantaged
and their more advantaged peers;
``(4) holding schools, local educational agencies, and
States accountable for improving the academic achievement of
all students, and identifying and turning around low-
performing schools that have failed to provide a high quality
education to its students, while providing alternatives to
students in such schools to enable them to receive a high
quality education;
``(5) distributing and targeting resources sufficiently to
make a difference to local educational agencies and schools
where needs are greatest;
``(6) improving and strengthening accountability, teaching,
and learning by using State assessment systems designed to
ensure students are meeting challenging State academic
achievement and content standards and increasing achievement
overall, but especially for the disadvantaged;
``(7) providing greater decision making authority and
flexibility to schools and teachers in exchange for greater
responsibility for student performance;
``(8) providing children an enriched and accelerated
educational program, including the use of schoolwide programs
or additional services that increase the amount and quality
of instructional time;
``(9) promoting schoolwide reform and ensuring access of
children to effective, scientifically-based instructional
strategies and challenging academic content;
``(10) significantly elevating the quality of instruction
by providing staff in participating schools with substantial
opportunities for professional development;
``(11) coordinating services under all parts of this title
with each other, with other educational services, and to the
extent feasible, with other agencies providing services to
youth, children, and families;
``(12) affording parents substantial and meaningful
opportunities to participate in the education of their
children;''

[[Page H9949]]

11. The House bill, but not the Senate amendment, contains
a subsection that describes the recognition of need by
Congress. However, see notes 12 and 13.
HR (see note 10)
12. The Senate amendment contains a generally similar
provision to the House bill regarding accountability in
paragraph (8) of section 1001 of the Senate amendment.
HR (see note 10)
13. The Senate amendment contains a generally similar
provision to the House bill regarding the quality and
alignment of standards, assessments, and other efforts of
states and LEAs in paragraph (1) of section 1001 of the
Senate amendment.
HR (see note 10)
14. The Senate amendment, but not the House bill, provides
a short title for the LEA grants subsection.
HR
15. The House bill and the Senate amendment are
substantially different. The Senate amendment authorizes
greater annual appropriations than the House bill and extends
the authorization schedule through 2011, while the House bill
provides authorization levels through 2006.
HR/SR with amendment to strike all and insert the
following:
``(A) $13,500,000,000 for fiscal year 2002;
``(B) $16,000,000,000 for fiscal year 2003;
``(C) $18,500,000,000 for fiscal year 2004;
``(D) $20,500,000,000 for fiscal year 2005;
``(E) $22,750,000,000 for fiscal year 2006;
``(F) $25,000,000,000 for fiscal year 2007.''
Report Language:
The Conferees recognize that Title I grants to local
educational agencies are essential to provide low-income
students with the resources they need to meet challenging
State academic achievement standards. The Conferees further
recognize that to implement fully the reforms incorporated in
the conference agreement, the local educational agencies will
require increased Title I resources, for which reason the
Conferees have agreed to significant and annual increases in
Title I authorizations.
According to the Congressional Research Service, one common
interpretation of the ``full funding'' theory for Title I,
part A is based on the maximum payment calculations under the
Basic Grant allocation formula, which is one of the four
Title I, part A formulas. The Basic Grant formula establishes
a maximum payment based on the number of low-income children
(and other children that qualify for services under other
Title I programs) multiplied by a State expenditure factor.
The State expenditure factor for the Basic Grant formula is
the State average expenditure per pupil in average daily
attendance for public elementary and secondary education,
within the range of 80% to 120% of the national average. The
80%--120% range means that if the State average expenditure
per pupil is less than 80% of the national average, it is
raised to 80%, and if it is above 120%, it is reduced to
120%. Under this theory, for fiscal year 2001, Congress
provided local educational agencies with roughly 1/3 of
``full funding.''
The Conferees also note there are other theories that might
be used to determine ``full funding'' of Title I, part A, to
ensure that the maximum number of low-income, low-achieving
children receive direct educational assistance.
The Conferees wish to emphasize that the conference
agreement provides for significantly increased and targeted
funding for Title I, part A, and strongly encourage Congress
to continue to significantly increase funding for Title I,
part A. Such funding, in conjunction with the significant
reforms in the conference agreement, is critical to helping
schools close the achievement gap and low-income students
achieve and succeed academically.''
16. The House bill and the Senate amendment authorize the
same amount for FY 02 and such sums for the out years. The
House bill and Senate amendment refer to the same program but
have a technical difference in cross-references. Also, the
Senate amendment authorizes such sums for the 6 succeeding
fiscal years while the House bill authorizes such sums for
the 4 succeeding fiscal years. The technical difference in
cross-references and the difference in the number of years
for which such sums are authorized beyond FY 02 are
consistent throughout the remainder of the provisions
authorizing appropriations for the various Title I programs.
LC
17. The House bill and the Senate amendment are
substantially the same with the differences indicated in note
16 regarding cross-references and the number of years.
LC
18. The House bill and the Senate amendment contain
different authorization levels for FY 02, but otherwise are
substantially the same with the differences indicated in note
16 regarding cross-references and the number of years.
LC
19. The House bill authorizes such sums for FY 02 and the 4
succeeding fiscal years. The Senate amendment authorizes $25
million for FY 02 and such sums for the 6 succeeding fiscal
years.
HR/SR with amendment to move RIF to FIE and to strike
paragraph (4) and insert:
``(4) Improving Literacy Through Libararies.--For the
purpose of carrying out subpart 4 of part B, there are
authorized to be appropriated $250,000,000 for fiscal year
2002 and such sums as may be necessary for each of the 5
succeeding fiscal years.''
20. The House bill and the Senate amendment contain
different authorization levels for FY 02, but otherwise are
substantially the same with the difference indicated in note
16 regarding the number of years.
LC
21. The House bill and the Senate amendment are
substantially the same with the differences indicated in note
16 regarding cross-references and the number of years.
LC
22. The House bill and the Senate amendment contain
different authorization levels for FY 02, but otherwise are
substantially the same with the difference indicated in note
16 regarding cross-references and the number of years.
LC
23. The House bill and the Senate amendment are
substantially the same with the difference indicated in note
16 regarding the number of years.
HR/SR to strike all language (Rural authorization is now in
Title VI, part B).
24. The House bill authorizes $6 million for FY 02 and such
sums for FY 03. The Senate amendment authorizes $15 million
for FY 02 and FY 03, and $5 million for FY 04.
HR/SR to move to FIE
25. The House bill and the Senate amendment contain
different authorization levels for FY 02, but otherwise are
substantially the same with the difference indicated in note
16 regarding the number of years.
HR with amendment to strike paragraph (1) and to insert:
``(1) Sections 1501 and 1502.--For the purposes of carrying
out sections 1501 and 1502, there are authorized to be
appropriated such sums as may be necessary for fiscal year
2002 and each of the 5 succeeding fiscal years.''
26. The House bill authorizes such sums for FY 02 and the 4
succeeding fiscal years. The Senate amendment authorizes $25
million for FY 02 and such sums for the 6 succeeding fiscal
years.
HR/SR to strike all language
27. The Senate amendment does not contain a similar
provision.
SR with amendment to strike 1503 in both places and insert
1504.
28. The House bill does not contain a similar provision in
Title I, part A. However, see note in Title V of the House
bill for the authorization level for 21st Century Community
Learning Centers.
SR with amendment to include agreed upon authorization
level in the 21st Century program (Title IV, part B).
29. The House bill does not contain a similar provision.
HR with amendment to strike $500,000,000 and insert
$125,000,000 and to insert as a new subsection:
(#--LC) ``Advanced Placement--For the purpose of carrying
out part H, there are authorized to appropriated such sums as
may be necessary for fiscal year 2002 and for each of the 5
succeeding fiscal years.''
30. The Senate amendment retains the State administration
reservation of 1% of programs through a redesignation of Part
F of current law, with significant differences between the
House bill and the Senate amendment. The House bill limits
State administration to 1% of the State's allocation for FY
01, while the Senate amendment limits it to 1% of each fiscal
year's allocation. In addition, the House bill refers to
``administrative duties assigned'', while the Senate
amendment refers to ``proper and efficient performance of its
duties''. Otherwise, the Senate amendment does not contain
the House bill provisions in paragraphs (2) and (3).
SR with amendment to strike paragraphs (1) and (2) and
insert:
(1)(A) To carry out administrative duties assigned under
parts A, C, and D of this title, each State may reserve the
greater of--
(i) 1 percent of the amounts received under such parts; or
(ii) $400,000 ($50,000 for each outlying area);
(B) If the sum of the amounts appropriated for parts A, C,
and D of this title is equal to or greater than
$14,000,000,000, the reservation described in subparagraph
(A)(i) shall not exceed 1 percent of the amount the State
received, or would receive, if $14,000,000,000 is allocated
among the States for parts A, C, and D of this title.
31. The Senate amendment does not contain a similar
provision.
SR with amendment to insert as new paragraph (7) and
renumber the subsequent paragraphs accordingly:
``(7) A State educational agency that receives a grant
award under this subsection shall allocate at least 95
percent of that amount directly to local educational agencies
for schools identified for school improvement, corrective
action, and restructuring for activities under section
1116(b), or may, with the approval of the local educational
agency, directly provide for these activities or arrange for
their provision through other entities such as school support
teams or educational service agencies.''
32. The House bill requires the State to reserve 1% of the
part A, subpart 2 amount for FY 02 and FY 03, and 3% of the
part A, subpart 2 amount for FY 04 through FY 06. The Senate
amendment requires the State to reserve 3.5% of the part A,
subpart 2 amount for FY 02 and FY 03, and 5% of the part A,
subpart 2 amount for FY 04 through FY 08. Otherwise the House
bill and Senate amendment are similar.
SR with amendment to strike ``1 percent'' and insert ``2
percent'' and to strike ``3 percent'' and insert ``4
percent''.
33. The House bill requires the State to allocate 95% of
the funds reserved to those schools identified pursuant to
section 1116(b)

[[Page H9950]]

that have the greatest need and in sufficient amounts. The
Senate amendment requires the State to allocate 50% of the
funds reserved to those schools identified pursuant to
section 1116(c). The House bill and the Senate amendment
differ technically in the cross-references.
SR with amendment to insert ``for activities'' after
``restructuring'' and strike all after ``1116(b)'' and insert
``or may, with the approval of the local educational agency,
directly provide for these activities or arrange for their
provision through other entities such as school support teams
or educational service agencies.''
34. The Senate amendment does not contain a similar
provision.
SR
35. The Senate amendment does not contain a similar
provision.
SR
36. The Senate amendment does not contain a similar
provision.
SR with amendment to add a new subsection:
``(f) Reporting--Upon request, the State education agency
shall provide a list of those schools that have received
funds or services pursuant to subsection (b) and the poverty
percentage of such schools.''
37. The House bill does not contain a similar provision.
HR with an amendment move language to the State plan and
appear as section 1111(c)(3), then renumber current
1111(c)(3) as (c)(4), and subsequent sections in like manner.
(Cross reference with note 113)
``(3) the State educational agency, in consultation with
the Governor, will include, as a component of the State plan,
a plan to carry out the responsibilities of the State under
sections 1116 and 1117, including carrying out the State
educational agency's statewide system of technical assistance
and support for local educational agencies.''
38. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill, but not
the Senate amendment, requires consultation with entities
listed, while the Senate amendment, but not the House bill,
specifically refers to the chief State school official who
prepares the plan and that the Governor is consulted; and (2)
The House bill requires coordination with the acts listed,
including the Homeless Act, which the Senate amendment does
not, while the Senate amendment requires coordination with
the acts listed, including the Adult Education and Family
Literacy Act, which the House bill does not.
SR with an amendment to insert ``Adult Education and Family
Literacy Act'' before ``and the McKinney-Vento''.
39. The House bill and the Senate amendment are
substantially similar with a technical difference in cross-
references.
LC
40. The House bill and the Senate amendment are
substantially similar with the exception that the House bill,
but not the Senate amendment, refers to ``academic content
standards'' and ``academic achievement standards''. This
difference in references to standards is consistent
throughout the remainder of Title I, part A, of each piece of
legislation.
SR
41. The House bill and the Senate amendment are similar
with technical differences.
SR
42. The House bill, but not the Senate amendment,
specifically refers to students served under this part and
emphasizes that all children are held to the same
expectations. The Senate amendment, but not the House bill,
includes history as a subject for which standards are
required. In addition, the House bill refers to the date by
which science standards are required, which the Senate
amendment also does, but in subparagraph (C)(ii) following of
the Senate amendment. See note 44.
SR
43. The House bill does not contain a similar provision.
SR
44. See note 42 regarding the date by which science
standards are required.
SR
45. The House bill and the Senate amendment are
substantially similar in subparagraph (D) of each piece of
legislation, with the exception indicated in note 46 and the
reference to standards indicated in note 40.
LC
46. The Senate amendment does not contain a similar
provision.
SR
47. The House bill and the Senate amendment are similar
with minor wording differences.
LC
48. The Senate amendment does not contain a similar
provision.
SR with an amendment to insert the following language:
``(F) Nothing in this part shall prohibit a State from
revising, consistent with this section, any standard adopted
under this part before or after the date of enactment of the
No Child Left Behind Act of 2001.''
49. The House bill and the Senate amendment are
substantially the same with the following exceptions: (1) The
Senate amendment, but not the House bill, refers to a single
statewide system; (2) The Senate amendment, but not the House
bill, references two subparagraphs regarding adequate yearly
progress; and (3) The House bill, but not the Senate
amendment, refers to all ``public'' elementary and secondary
schools.
HR with an amendment to insert ``public'' before
``elementary and secondary schools''.
(LC for all other occurrences).
50. The House bill and the Senate amendment are similar
with the following exceptions: (1) See note 40 regarding
references to standards; (2) The House bill, but not the
Senate amendment, adds the word ``academic'' before
``assessments'', which is consistent throughout the remainder
of Title I, part A, of each piece of legislation ; (3) There
is a technical difference in cross-references; and (4) The
House bill, but not the Senate amendment, refers to all
``public'' school students.
SR with an amendment to insert ``and other academic
indicators consistent with subparagraph (D)'' before ``and
take into account''.
51. The House bill and the Senate amendment are
substantially the same with the following exceptions: (1) A
technical difference in cross-references; and (2) The House
bill, but not the Senate amendment, refers to ``public''
schools.
SR
52. The House bill does not contain a similar provision.
SR
53. The House bill and the Senate amendment are similar
with the following exceptions: (1) The Senate amendment, but
not the House bill, refers to ``bonuses or recognition''; (2)
The House bill, but not the Senate amendment, refers to
``public'' schools; and (3) The Senate amendment, but not the
House bill, holds LEAs and schools accountable for student
achievement and performance.
SR with an amendment to strike ``rewards and sanctions''
and insert ``sanctions and rewards, such as bonuses or
recognition,''.
54. The Senate amendment does not contain a similar
provision. However, the Senate amendment defines adequate
yearly progress in subparagraphs (B) through (H) following of
the Senate amendment.
SR
55. The House bill and the Senate amendment are similar
with the exception that the Senate amendment references a
subparagraph the House bill does not.
SR
56. The House bill and the Senate amendment are similar
with the exception indicated in note 50 regarding public
school students.
SR with amendment to strike ``performance'' and insert
``achievement''
57. The House bill does not contain a similar provision.
HR
58. The House bill does not contain a similar provision.
HR
59. The House bill and the Senate amendment are similar
with the exceptions indicated in notes 50 regarding
assessments and 51 regarding public schools.
SR
60. The Senate amendment does not contain a similar
provision. However, see the Senate amendment provision in
subparagraph (B)(vii) regarding the similar issue of high
school completion. See note 65.
HR
61. The House bill and the Senate amendment are similar
with the exceptions that the House bill provides an exception
to the required disaggregation of data which the Senate
amendment also does in clause (v)(II) (see note 63), and the
House bill refers to ``numerical objectives'', while the
Senate amendment refers to ``measurable objectives''.
SR with amendment to strike ``annual numerical'' and insert
``measurable''
62. See note 50 regarding public school students.
SR
63. The Senate amendment contains two more groups than the
House bill: ``migrant students'' and ``students by gender''.
However, see note 72 regarding the Senate amendment provision
in subparagraph (D)(i)(II). In addition, the House bill, but
not the Senate amendment, refers to ``major'' racial and
ethnic groups. Also, see note 61 regarding the exception to
the disaggregation of data.
SR
64. The Senate amendment does not contain a similar
provision.
HR
65. The Senate does not contain a similar provision.
However, see the Senate amendment provision in subparagraph
(B)(vii) regarding high school completion and the exception
regarding the inclusion of such factors not affecting school
identification for school improvement or corrective action
(under section 1116 of each piece of legislation). In
addition, the House allows for these additional indicators to
be discretionary, while the Senate amendment requires high
school completion / graduation and one other factor as
mandatory.
SR with amendment to strike clause (v) and insert:
``(v) at the State's discretion, may also include other
academic indicators such as achievement on additional State
or local academic assessments, decreases in grade-to-grade
retention rates, attendance rates, and changes in the
percentages of students from the subgroups described in
[(C)(v)(ii)] completing gifted and talented, advanced
placement, and college preparatory courses, except the use of
such indicators may not be used to reduce the number or
change which schools would otherwise be subject to school
improvement, corrective action, or restructuring under
section 1116 if such additional indicators were not used, but
may be used to identify additional schools for school
improvement or in need of corrective action or
restructuring.''

[[Page H9951]]

And with amendment to add a special rule that these
indicators and those referenced at note 67 shall be
consistent with nationally recognized professional standards.
66. Both the House bill and the Senate amendment require
the State to establish a timeline by which the groups of
students identified by each piece of legislation (see note
63) shall meet or exceed the State's proficient level on the
State assessments used under this section and section 1116 of
each piece of legislation. However, there are several major
differences: (1) The House bill, but not the Senate
amendment, establishes a baseline year by which to establish
the timeline, which is the first year after enactment; (2)
The House bill, but not the Senate amendment, requires a
target year to get all groups of students to proficiency that
is not to exceed 12 years after the baseline year is
established; (3) The Senate amendment, but not the House
bill, requires all groups of students to obtain proficiency
in 10 years or less after enactment; and (4) See note 50
regarding academic assessments.
SR
67. See notes 60 and 65.
HR with amendment to strike ``school completion or'' and to
strike ``except that . . . included'' and replace with: ``
except the use of such indicators may not be used to reduce
the number or change which schools would otherwise be subject
to school improvement, corrective action, or restructuring
under section 1116 if such additional indicators were not
used, but may be used to identify additional schools for
school improvement or in need of corrective action or
restructuring.''
Report Language:
The Conferees intend that adequate yearly progress shall
not be met or exceeded based solely on increased dropouts.
68. The Senate amendment does not contain a similar
provision.
HR with amendment to insert that a State must establish a
statutory minimum starting point based on each State's lowest
achieving subgroup or the bottom quintile of the total
student population in the State, whichever is higher, and
that States must raise the ``bar'' at least once every three
years in equal increments to reach 100% proficiency in 12
years, except the bar may remain the same for the first 2
years.
69. The House bill does not contain a similar provision.
SR with amendment to insert a significant progress
exemption where the subgroup not meeting adequate yearly
progress make a 10% reduction in the percentage of students
in that subgroup who are not proficient and progress on one
other academic indicator would allow a school to avoid being
identified/to have met AYP.
70. The House bill and the Senate amendment are similar
with minor wording differences and the following exceptions:
(1) See note 63 regarding the differences in groups of
students between each piece of legislation; (2) Technical
differences in cross-references regarding accommodations for
students with disabilities; and (3) The Senate amendment, but
not the House bill, contains an exception that this provision
shall not abrogate the requirement to assess all students.
SR with amendment to insert: ``with paragraph [(4)(H)(ii)
{House reference /(3(I)(ii) {Senate reference ] and with
accommodations, guidelines, and alternate assessments
provided in the same manner as they are provided under''
after ``consistent'' and to strike ``with'' before ``section
612(a)(17)(A)'' and to insert at the end after ``based'' the
following: ``(except that the 95 percent requirement
described in this subparagraph shall not be required in a
case in which the number of students in a category is
insufficient to yield statistically reliable information or
the results would reveal individually identifiable
information about an individual student).''
71. The House bill does not contain a similar provision.
SR
72. The Senate amendment reduces the groups of students
(see note 63) that must make at least 1% gain in the
percentage of students meeting the proficient level of
performance. Consequently, the composition of the required
groups that must be making progress to proficiency under the
House bill and the Senate amendment are the same.
SR
73. The House bill does not contain a similar provision.
HR with amendment to add a new clause:
(#--LC) ``the State, in establishing the uniform procedure
for averaging data with the previous 1 or 2 school years
preceding the school year for which the determination of
meeting or exceeding adequate yearly progress is made,
consistent with clause [(ii)], may use the academic
assessments described in paragraph [(2)--conform with grade
span assessment reference] that were required prior to the
date of enactment of this Act until such time as the
additional assessments described in paragraph [(2)--conform
with 3-8 assessment reference] and required under this Act
are being administered in such manner and time as to allow
for the uniform procedure for averaging data described in
clause [(ii)].''
74. The House bill and the Senate amendment are
substantially similar with the exception that the Senate
amendment, but not the House bill, lists specific groups the
State must seek comment from. In addition, there are some
minor wording differences.
HR
75. The House bill and the Senate amendment are
substantially similar with the exceptions indicated in notes
40 and 50 regarding references to standards and assessments,
and with the exception indicated in note 76.
LC
76. The House bill and the Senate amendment are similar
with the exception that the House bill, but not the Senate
amendment, references regulations published by the Secretary
relating to the standards and assessments required under
Title I, part A.
SR
77. The House bill does not contain a similar provision.
HR with an amendment to strike subparagraph (H) and insert
the following as a new subparagraph (H):
``(H) The accountability provisions under this Act shall be
overseen for charter schools in accordance with State charter
school law.''
Report Language:
``Charter schools are public schools and therefore subject
to the same accountability requirements of this Act as they
apply to other public schools, including Sections 1111 and
1116, as developed in each state. However, there is no intent
to replace or duplicate the role of authorized chartering
agencies, as established under each state's charter school
law, in overseeing the Act's accountability requirements for
the charter schools that they authorize. Authorized
chartering agencies should be held accountable for carrying
out their oversight responsibilities as determined by each
state through its charter school law and other applicable
state laws. This should be done in ways that do not inhibit
or discourage the approval or oversight of innovative, high
quality charter schools.''
78. The House bill and the Senate amendment are similar
with following exceptions: (1) The House bill, but not the
Senate amendment, refers to the State implementing a set of
assessments; (2) The Senate amendment, but not the House
bill, refers to consultation with LEAs in the assessment
plan; (3) The Senate amendment, but not the House bill,
requires science assessments, but provides an exception that
such assessments shall not be required until the 2007-2008
school year; (4) The House bill, but not the Senate
amendment, refers to the yearly performance progress of the
State; (5) The House bill, but not the Senate amendment,
refers to ``challenging'' standards; and (6) See notes 40 and
50 regarding references to standards and assessments.
SR with an amendment to:
Insert ``in consultation with local educational agencies,''
after ``that the State'', insert ``and science'' after
``language arts'', insert after ``achievement standards'' and
before the period the following: ``except that no State shall
be required to meet the requirements of this part relating to
science assessments until the beginning of the 2007-2008
school year''.
Insert before ``Such assessments shall--'' the following
language:
``Each State may incorporate the data from these
assessments into a state-developed longitudinal data system
that links student test scores, length of enrollment, and
graduation records over time.''
LC regarding references to standards and assessments.
Report Language:
``The Conferees are aware of, and encouraged by,
initiatives undertaken in some States to enable parents and
others to compare the progress of students, classrooms and
schools on a longitudinal basis. The Conferees wish to make
clear that States may incorporate the data from the
assessments required under this subsection into a state-
developed longitudinal data system that links students' test
scores, length of enrollment, and graduation records over
time. Such systems may enable policymakers, educators, and
parents to better evaluate the success of schools by
reporting on the achievement of students enrolled in the same
school for at least three years.''
``The Conferees recognize that a quality science education
should prepare students to distinguish the data and testable
theories of science from religious or philosophical claims
that are made in the name of science. Where topics are taught
that may generate controversy (such as biological evolution),
the curriculum should help students to understand the full
range of scientific views that exist, why such topics may
generate controversy, and how scientific discoveries can
profoundly affect society.''
79. The House bill and the Senate amendment are the same
with the exception indicated in note 40 regarding references
to standards.
LC
80. The House bill and the Senate amendment are similar
with the following exception: The Senate amendment, but not
the House bill, refers to ``nationally'' recognized standards
of testing that are developed and used by ``national experts
on educational testing''.
HR with an amendment to strike ``developed and . . . on
educational testing;''
81. The Senate amendment does not contain a similar
provision.
HR
82. The House bill does not contain a similar provision.
HR with an amendment to insert after ``Act,'' the words
``and are consistent with the requirements of this
section,''.
83. The House bill requires assessments in at least
mathematics and reading or language arts at least once in the
grade spans listed. The Senate amendment requires assessments
to commence not later than the 01-02 school year for students
served under

[[Page H9952]]

Title I, part A in mathematics and reading or language arts
at least once in the grade spans listed.
SR with an amendment:
``(E)(i) except as otherwise provided for grades 3 through
8 under subparagraph [(G)], measure the proficiency of
students in, at a minimum, mathematics and reading or
language arts, and be administered not less than once
during--
``(I) grades 3 through 5;
``(II) grades 6 through 9; and
``(III) grades 10 through 12;''
84. The Senate amendment, but not the House bill, requires
assessments to commence not later than the 02-03 school year
for all students in mathematics and reading or language arts
at least once in the grade spans listed.
SR with an amendment:
(ii) beginning not later than school year 2007-2008,
measure the proficiency of all students in science and be
administered not less than once during--

(I) grades 3 through 5;
(II) grades 6 through 9; and
(III) grades 10 through 12;

85. The House bill does not contain a similar provision.
SR (See note 78)
86. The House bill refers to student ``achievement'', while
the Senate amendment refers to student ``performance''. In
addition, the House bill refers to ``critical thinking
skills'', while the Senate amendment refers to ``higher order
thinking skills.''
HR with an amendment to strike ``performance'' and insert
``academic achievement''.
87. The House bill requires assessments in the 04-05 school
year in each of the grades 3 through 8 in at least
mathematics and reading or language arts. The Senate
amendment requires assessments in the 05-06 school year
annually in grades 3 through 8 and at least once in the grade
span of 10-12, in at least mathematics and reading or
language arts, if the tests are aligned with State standards.
(The House bill contains a similar requirement for an
assessment at least once in the grade span of 10-12 in at
least mathematics and reading or language arts in paragraph
(4)(E).) See notes 40 and 50 regarding references to
standards and assessments. In addition, the House bill and
the Senate amendment allow for a delay in assessment
implementation with the following exceptions: (1) The House
bill provides for a one-year delay after the 04-05 school
year if the assessment will be implemented after that one-
year delay, while the Senate amendment provides for the
assessments to be delayed from the 05-06 school year to the
06-07 school year if the assessments will be implemented in
the 06-07 school year.; and (2) The House bill refers to the
financial resources of the State, while the Senate amendment
refers to the financial resources of the LEA or school.
SR with an amendment to strike ``2004-2005'' and replace
with ``2005-2006''.
88. The House bill does not contain a similar provision.
HR with amendment to strike clause (i) and insert as a new
clause (i):
``(i) a State may defer commencement, or suspend the
administration, but not cease the development, of the
assessments described in this paragraph, that were not
required prior to the date of enactment of this Act, for 1
year, for each year for which the amount appropriated for
grants under section [6205(a)(3) {Senate / 7104(a)(3)
{House ] is less than--''
(Retain subclauses (I), (II), (III))
And to strike ``fiscal year 2005'' in subclause (IV) and
insert ``fiscal years 2005 through 2007'' and strike
subclauses (VI) and (VII).
89. The House bill does not contain a similar provision.
HR
90. The House bill and the Senate amendment are similar
with minor wording differences and the exception indicated in
note 91.
HR/SR with an amendment to strike clause (iii) and insert
as a new clause (iii):
``(iii) the inclusion of limited English proficient
students, who shall be assessed in a valid and reliable
manner and provided reasonable accommodations on assessments
administered to such students under this paragraph,
including, to the extent practicable, assessments in the
language and form most likely to yield accurate data on what
such students know and can do in academic content areas,
until such students have achieved English language
proficiency as determined under paragraph (7).
91. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill allows LEAs
to determine if students should be assessed in the
appropriate language (as opposed to English) and then assess
such students in the appropriate language for one additional
year; (2) The Senate amendment allows LEAs to demonstrate to
the SEA if students should be assessed in the appropriate
language (as opposed to English) and the SEA to permit such
students to be assessed in the appropriate language for one
or more additional years contingent upon the exception
described.
HR/SR with an amendment to strike clause (iv) and insert as
a new clause (iv):
``(iv) notwithstanding clause (iii), the academic
assessment (using tests written in English) of reading or
language arts of any student who has attended school in the
United States (not including Puerto Rico) for 3 or more
consecutive school years, except if the local educational
agency determines, on a case-by-case individual basis, that
academic assessments in another language or form would likely
yield more accurate and reliable information on what such
students know and can do, the local educational agency may
make a determination to assess such students in the
appropriate language other than English for a period that
does not exceed 2 additional consecutive years, provided that
such student has not yet reached a level of English language
proficiency sufficient to yield valid and reliable
information on what such student knows and can do on tests
(written in English) of reading or language arts.''
92. The House bill and the Senate amendment are the same.
LC
93. The House bill and the Senate amendment are similar
with the following exceptions: (1) The Senate amendment, but
not the House bill, refers to ``interpretive and descriptive
reports''; (2) The Senate amendment, but not the House bill,
refers to the parents of all students; (3) The House bill
refers to assessment scores, while the Senate amendment
refers to assessment ``performance''; and (4) The Senate
amendment, but not the House bill, includes a list of other
measures that can be included on the reports.
HR with an amendment to strike subparagraph (L) and insert:
``(L) produce individual student interpretive, descriptive,
and diagnostic reports, consistent with 1111[(b)(3)(C)--
(nationally recognized professional standards reference)],
which allow parents, teachers, and principals to understand
and address the specific academic needs of students, and
include information regarding achievement on academic
assessments aligned with State academic achievement
standards, that are provided to parents, teachers, and
principals, as soon as is practicably possible after the
assessment is given, in an understandable and uniform format,
and to the extent practicable, in a language that parents can
understand;''
94. The House bill and the Senate amendment are
substantially similar with the exception that the Senate
amendment, but not the House bill, provides for an exception
to the disaggregation.
HR with an amendment to insert ``major'' before ``racial
and ethnic group,''.
95. The Senate amendment does not contain a similar
provision.
SR with amendment to strike (L) and insert as a new
subparagraph (L):
``(N) be consistent with widely accepted professional
testing standards, objectively measure academic achievement,
knowledge and skills, and be tests that do not evaluate or
assess personal or family beliefs and attitudes, or publicly
disclose personally identifiable information;''
Report language:
The Conferees wish to clarify that this provision does not
prohibit the use of essay, extended response, or short answer
test items, nor does it prohibit the use of test items which
require a student to analyze a passage of text or to express
opinions, provided that such test items are developed
consistent with widely accepted professional testing
standards.
96. The House bill does not contain a similar provision.
HR with amendment to strike subparagraph (N) and insert:
``(N) enable itemized score analysis to be produced and
reported, consistent with 1111[(b)(3)(C)--(nationally
recognized professional standards reference)], to local
educational agencies and schools, so that parents, teachers,
principals and administrators can interpret and address the
specific academic needs of students as indicated by the
students' achievement on assessment items.''
Report Language:
``In providing for itemized score analysis, the Conferees
intend for data to be presented in a format which parents,
teachers and schools can understand. Providing parents,
teachers and schools with clear and technology-viable access
to both scores and scoring procedures is one of the best
strategies to ensure that mistakes that do occur are both
identified and corrected in an expedient manner. In
developing their State academic assessment systems, States
should also consider and address the issue of sufficient
assessment transparency and accessibility in order to protect
the ability of students, parents, teachers and school
administrators to gain access to test results and testing
methodologies.''
97. The House bill and the Senate amendment are similar in
that they do not allow additional assessment measures to take
the place of those assessments required in paragraph (4) of
the House bill or paragraph (3) of the Senate amendment. The
House bill, but not the Senate amendment, further stipulates
that such additional assessment measures shall not change the
identification of schools pursuant to section 1116. See note
67.
SR with amendment to strike ``Results on ... not included''
and insert: ``The use of such additional assessment measures
may not be used to reduce the number or change which schools
would otherwise be subject to school improvement, corrective
action, or restructuring under section 1116 if such
additional indicators were not used, but may be used to
identify additional schools for school improvement or in need
of corrective action or restructuring.''
98. The House bill does not contain a similar provision.

[[Page H9953]]

SR
99. The House bill and the Senate amendment are
substantially the same with the exception indicated in note
50 regarding references to assessments.
LC
100. The Senate amendment, but not the House bill, refers
to the development of English proficiency as appropriate to
the factors listed. The Senate amendment, but not the House
bill, refers to students served under this part or Title III
of the Senate amendment with the stated exception. The House
bill, but not the Senate amendment, refers to all LEP
students in the State's schools.
SR with amendment to strike paragraph (7) and replace with:
``(7) Academic Assessments of English Language
Proficiency.--Each State plan shall demonstrate that local
educational agencies in the State will, beginning no later
than school year 2002-2003, provide for an annual assessment
of English proficiency (measuring students' oral language,
reading, and writing skills in English) for all students with
limited English proficiency in their schools, except that the
Secretary may provide the State 1 additional year if the
State demonstrates that exceptional or uncontrollable
circumstances, such as a natural disaster or a precipitous
and unforeseen decline in the financial resources of the
State, prevented full implementation of this paragraph by
that deadline and that it will complete implementation within
the additional 1-year period.''
Report language:
``This Act requires each State to provide for annual
English language proficiency assessments (covering speaking,
listening, reading and writing skills) by the beginning of
the 2002--2003 school year. The Conferees believe that
additional scientifically-based research efforts must be made
to develop better assessments to measure the progress of
limited English proficient children in developing their
English language proficiency, including speaking, listening,
reading and writing skills. The Conferees encourage the
Secretary to provide technical assistance to States, if
requested, on the development and implementation of such
assessments.''
101. The House bill and the Senate amendment are the same
with technical differences in cross-references.
LC
102. The Senate amendment does not contain a similar
provision.
SR
103. The House bill does not contain a similar provision.
HR
104. The House bill does not contain a similar provision.
HR with an amendment to strike ``how the . . . will develop
or identify'' and insert ``an assurance that the SEA will
assist LEAs in developing or identifying''.
105. The House bill and the Senate amendment are
substantially the same with the exception indicated in note
40 regarding references to standards.
LC
106. The House bill does not contain a similar provision.
SR
107. The House bill does not contain a similar provision.
HR with amendment:
``(8) Factors Impacting Student Achievement.--Each State
plan shall include an assurance that the State will
coordinate and collaborate, to the extent feasible and
necessary as determined by the State, with agencies providing
services to children, youth, and families, with respect to
local educational agencies within the State that are
identified for improvement under section 1116 and that
request assistance with addressing major factors that have
significantly impacted student achievement at the local
educational agency or at schools in such agency.''
108. The Senate amendment does not contain a similar
provision. However, see the Senate amendment provision in
subsection (f) of section 1111 regarding the provision of
information.
SR with amendment to strike ``the end'' and insert ``before
the beginning'' and insert ``next'' before ``school year''
and to strike ``(consistent with 1116''.
109. The Senate amendment does not contain a similar
provision.
SR
110. The Senate amendment does not contain a similar
provision. However, see the Senate amendment provision in
subsection (l) of section 1111. See note 172.
HR
111. The House bill and the Senate amendment are similar
with the exception that the House bill refers to 2003--04
school year, while the Senate amendment refers to the 2002--
03 school year, and with technical differences in cross-
references.
HR with amendment
``(c) Other Provisions To Support Teaching and Learning.--
Each State plan shall contain assurances that--
``(1) the State will meet the requirements of subsection
(j)(1) and, beginning with the 2002-2003 school year, will
produce the annual State report cards described in such
subsection, except that the Secretary may provide the State 1
additional year if the State demonstrates that exceptional or
uncontrollable circumstances, such as a natural disaster or a
precipitous and unforeseen decline in the financial resources
of the State, prevented full implementation of this paragraph
by that deadline and that it will complete implementation
within the additional 1-year period.''
112. The House bill refers to ``academic'' assessments,
while the Senate amendment refers to ``State'' assessments.
The Senate amendment, but not the House bill, refers to the
Secretary paying the costs of administration of these
assessments and provides for an exception for states with
fewer than .25% of the total number of poor, school-aged
children in the U.S. The House bill, but not the Senate
amendment, provides for an alternative assessment to NAEP.
HR with amendment to strike ``annual'' and insert
``biennial'' before ``State assessments of 4th and 8th'' and
to insert ``academic'' after ``State'' and before
``assessments'' and to strike ``except that ... basis.''
113. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment, but not the House bill, refers to parental
involvement under section 1118. In addition, there is a
technical difference in cross-references regarding section
1119.
HR
114. The House bill and the Senate amendment are the same
with minor wording differences.
LC
115. The House bill and the Senate amendment are the same
with minor wording differences.
LC
116. The House bill and the Senate amendment are the same
with the exceptions indicated in notes 40 and 50 regarding
references to standards and assessments.
LC
117. The House bill and the Senate amendment are the same
with minor wording differences.
LC
118. The House bill and the Senate amendment are the same
with minor wording differences.
LC
119. The House bill and the Senate amendment are the same.
LC
120. The House bill and the Senate amendment are the same
with a minor wording difference.
LC
121. The House bill and the Senate amendment are the same
with a technical difference in cross-references.
LC
122. The House bill and the Senate amendment are
substantially similar with the following exceptions: 1) The
House bill, but not the Senate amendment, refers to transfer
authority under Title VII of the House bill; and (2) There is
a technical differences in cross-references regarding
waivers.
SR
LC--check cites for included programs.
123. The House bill does not contain a similar provision.
HR
124. The Senate amendment does not contain a similar
provision.
SR
125. The House bill does not contain a similar provision.
The House bill and the Senate amendment are substantially
the same through subparagraph (B) of the Senate amendment
following. See the next note.
HR with an amendment to insert in (d)(1) ``meeting the
highest professional and technical standards'' after
``current research''.
126. The House bill does not contain a similar provision.
HR with an amendment to insert ``the needs of low-
performing schools'' after ``accountability,''
127. The House bill and the Senate amendment are the same
in the following provisions with the exception indicated in
note 128 and those indicated in notes 40 and 50 regarding
references to standards and assessments.
LC
128. The House bill does not contain a similar provision.
HR
129. The House bill does not contain a similar provision.
However, see the House bill provision in subsection (b)(9) of
section 1111 regarding the provision of information (note
108).
The House bill and the Senate amendment are the same
through paragraph (1). See the next note.
SR
130. The Senate amendment does not contain a similar
provision.
HR
131. The House bill and the Senate amendment are
substantially the same with the exceptions indicated in notes
40 and 50 regarding references to standards and assessments.
LC
132. The House bill and the Senate amendment are similar
with the exceptions that the House bill refers to a
prohibition of Federal control, while the Senate amendment
says that nothing in this part shall be construed to
authorize Federal control, and with the differences indicated
in notes 40 and 50 regarding references to standards and
assessments and other minor wording differences.
HR with amendment (use same language agreed upon for Title
IX).
133. The House bill refers to those deadlines established
by IASA of 1994 or those established under any waivers or
compliance agreements with Secretary. The Senate amendment
refers to ``statutory deadlines. The Senate amendment, but
not the House

[[Page H9954]]

bill, refers to standards aligned with assessments. The House
bill, but not the Senate amendment, requires the Secretary to
withhold 25% of the funds available to the State for
administration and activities each year. The Senate
amendment, but not the House bill, requires the Secretary to
withhold an undefined amount of funds for State
administration and activities under section 1117 and take
such needed steps to assist State to reach compliance.
SR with an amendment to insert ``under this part'' after
``administration and activities''.
134. The Senate amendment does not contain a similar
provision.
SR with amendment to insert ``,90 days after enactment of
this Act,'' after ``The Secretary shall not''.
135. The Senate amendment does not contain a similar
provision. However, the Senate amendment does refer generally
to ``statutory deadlines'' in subsection (i) previously. See
note 133.
SR with an amendment to insert ``under this part'' after
``administration''.
136. The House bill and the Senate amendment are similar
through subparagraph (D) of each piece of legislation with
the exception that the House bill requires the reports not
later than the start of the 03-04 school year, while the
Senate amendment requires the reports not later than the
start of the 02-03 school year.
HR with an amendment to insert the following:
``(j) Reports.--
``(1) Annual State Report Card.--
``(A) In general.--Not later than the beginning of the
2002-2003 school year, unless the State has received a one-
year waiver pursuant to subsection (c)(1), a State that
receives assistance under this Act shall prepare and
disseminate an annual State report card.
``(B) Implementation.--The State report card shall be--
``(i) concise; and
``(ii) presented in an understandable and uniform format
and, to the extent practicable, provided in a language that
the parents can understand.''
137. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill and the
Senate amendment have different cross-references; and (2) The
House bill, but not the Senate amendment contains an
exception to the required disaggregation; however, the Senate
amendment contains a similar exception in paragraph (2)(D).
See note 156.
HR/SR with an amendment to insert as new (D) and (E):
(Notes 137-150)
``(D) Required information.--The State shall include in its
annual State report card--
``(i) information, in the aggregate, on student achievement
at each proficiency level on the State academic assessments
described in subsection (b)(4) (disaggregated by race,
ethnicity, gender, disability status, migrant status, English
proficiency, and status as economically disadvantaged,
except that such disaggregation shall not be required in a
case in which the number of students in a category is
insufficient to yield statistically reliable information
or the results would reveal individually identifiable
information about an individual student);
``(ii) information that provides a comparison between the
actual achievement levels of each group of students described
in subclauses (I) and (II) of subsection (b)(2)(C) to the
State's annual numerical objectives for each such group of
students on each of the assessments required under this part;
``(iii) the percentage of students not tested
(disaggregated by the same categories and subject to the same
exception described in clause (i));
``(iv) the most recent 2-year trend in student performance
in each subject area, and for each grade level, for which
assessments under section 1111 are required;
``(v) aggregate information on any other indicators used by
the State to determine the adequate yearly progress of
students in achieving State academic achievement standards;
``(vi) graduation rates for secondary school students,
consistent with 1111[(b)(2)(B)(vii)];
``(vii) information on the performance of local educational
agencies in the State regarding making adequate yearly
progress, including the number and names of each school
identified for school improvement, including schools
identified under section 1116;
``(viii) the professional qualifications of teachers in the
aggregate, the percentage of teachers teaching with emergency
or provisional credentials, and the percentage of classes not
taught by highly qualified teachers (disaggregated by high
poverty and low poverty schools which for purposes of this
clause means schools in the top quartile of poverty and the
bottom quartile of poverty) in the State;
``(E) Permissive information.--The State may include in its
annual State report card such other information as the State
believes will best provide parents, students, and other
members of the public with information regarding the progress
of each of the State's public elementary schools and
secondary schools. Such information may include information
regarding--
``(i) school attendance rates;
``(ii) average class size in each grade;
``(iii) academic achievement and gains in English
proficiency of limited English proficient students;
``(iv) the incidence of school violence, drug abuse,
alcohol abuse, student suspensions, and student expulsions;
``(v) the extent and type of parental involvement in the
schools;
``(vi) the percentage of students completing advanced
placement courses, and the rate of passing of advanced
placement tests;
``(vii) a clear and concise description of the State's
accountability system, including: a description of the
criteria by which the State evaluates school performance, and
the criteria that the State has established, consistent with
(b)(2)(B), to determine the status of schools regarding
school improvement, corrective action, and reconstitution;
and
Report Language:
The Conferees intend that reporting of graduation rates
described in clause (vi) shall be determined by reporting the
percentage of students who graduate from high school with a
regular diploma (not an alternative degree that may not be
fully aligned with State academic standards, such as a
certificate or GED), on time (within four years of starting
the ninth grade for high schools that begin with the ninth
grade or within the standard number of years for high schools
that begin with another grade). The approach used to
calculate graduation rates must also avoid counting dropouts
as transfers. States that have or could have a more accurate
longitudinal system that follows individual student progress
through high school may use that system if approved by the
Secretary as part of the State's Title I plan.
The Conferees intend that in addition to reporting
graduation rates for secondary schools that for those
districts that define secondary school as including grades 6,
7 or 8, data should be reported on student progress from that
entry grade level through twelfth grade with particular
attention placed on the transition point between eighth and
ninth grade.
138. The Senate amendment does not contain a similar
provision.
HR/SR with an amendment; (See note 137).
139. The House bill and the Senate amendment are the same
with the exception to disaggregation indicated in note 137.
HR/SR with an amendment; (See note 137).
140. The House bill does not contain a similar provision.
HR/SR with an amendment; (See note 137).
141. The House bill does not contain a similar provision.
HR/SR with an amendment; (See note 137).
142. The House bill and the Senate amendment require 4-year
graduation rates, although the House bill requires the
percentage of students who graduate, while the Senate
amendment requires the average graduation rates. In addition,
the Senate amendment, but not the House bill, requires the
average 4-year school dropout rates disaggregated by the
categories listed with an exception to the required
disaggregation. See also note 147.
HR/SR with an amendment; (See note 137).
143. The House bill does not contain a similar provision.
However, see also the House bill provision in section
1116(b)(6).
HR/SR with an amendment; (See note 137).
144. The Senate amendment does not contain a similar
provision.
HR/SR with an amendment; (See note 137).
145. The House bill does not contain a similar provision.
HR/SR with an amendment; (See note 137).
146. The House bill, but not the Senate amendment, requires
the State aggregate of the qualifications of teachers. The
House bill and the Senate amendment both require the
percentage of teachers teaching with emergency or provisional
qualifications, although the Senate amendment requires this
information to be disaggregated by poverty. The Senate
amendment refers to classes not taught by ``highly''
qualified teachers, while the House bill refers to classes
not taught by ``fully'' qualified teachers.
HR/SR with an amendment; (See note 137).
147. The House bill and the Senate amendment allow for
additional information. However, the House bill lists other
possible categories of information, while the Senate
amendment lists them in clauses (i) through (x) following in
the Senate amendment. Also, the House bill allows dropout
rates as an optional category, while the Senate amendment
requires dropout rates in subparagraph (D)(v). See note 142.
HR/SR with an amendment; (See note 137).
148. The Senate amendment provisions in clauses (i) and
(ii) are similar to those listed in the House bill in clause
(vii).
HR/SR with an amendment; (See note 137).
149. The House bill does not contain the provisions listed
in clauses (iii) through (x) of the Senate amendment
following.
HR/SR with an amendment; (See note 137).
150. The House bill, but not the Senate amendment, contains
a provision requiring the State to annually report a
description of its accountability system.
HR/SR with an amendment; (See note 137).
151. The House bill does not contain a similar provision.
However, see note 133 of the House bill's Title VIII, General
Provisions.
SR
152. The House bill does not contain a similar provision.
HR with an amendment to insert the following:
(2) Annual Local Educational Agency Report Cards.--
``(A) (i) In general.--Not later than the beginning of the
2002-2003 school year, a local educational agency that
receives assistance under this Act shall prepare and
disseminate

[[Page H9955]]

an annual local educational agency report card, except that
the State may provide the local educational agency 1
additional year if the local educational agency demonstrates
that exceptional or uncontrollable circumstances, such as a
natural disaster or a precipitous and unforeseen decline in
the financial resources of the local educational agency,
prevented full implementation of this paragraph by that
deadline and that it will complete implementation within the
additional 1-year period.''
``(ii) Special rule.--If a State has received a waiver under
subsection (c)(1), then a local education agency within that
State shall not be required to include the information
required under paragraph (1)(D) in such report card during
the one year waiver period.''
153. The House bill and the Senate amendment are
substantially similar through subparagraph (B) of the House
bill and subparagraph (C) of the Senate amendment with minor
wording differences, the exception indicated in note 50
regarding references to assessments, and the exceptions
indicated in notes 154 and 155.
LC
154. The House bill refers to ``its schools students'',
while the Senate amendment refers to ``students served by the
local educational agency''.
LC
155. The House bill refers to ``its students'', while the
Senate amendment refers to ``the school's students''.
SR with an amendment to insert ``and other adequate yearly
progress indicators'' after ``academic assessments''.
156. The House bill does not contain a similar provision,
however, see note 137.
HR
157. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill requires
the LEA report card to be publicly disseminated not later
than the start of the 03-04 school year, while the Senate
amendment requires the LEA report card to be publicly
disseminated not later than the start of the 02-03 school
year; and (2) The Senate amendment, but not the House bill,
provides for an exception for LEAs already issuing a report
card for all students.
HR with an amendment to insert as new (E):
``(E) Public dissemination.--The local educational agency
shall, not later than the beginning of the 2002-2003 school
year, unless the local educational agency has received a one
year waiver pursuant to section 1111(c)(2), publicly
disseminate the information described in this paragraph to
all schools in the school district and to all parents of
students attending those schools in an understandable and
uniform format and, to the extent practicable, provided in a
language that the parents can understand, and make the
information broadly available through public means, such as
posting on the Internet, distribution to the media, and
distribution through public agencies, except that if a
local educational agency issues a report card for all
students, the local educational agency may include the
information under this section as part of such report.''
158. The House bill and the Senate amendment are similar
with the exception that the House bill references those
report cards in existence prior to the enactment of H.R. 1.
SR
159. The House bill and the Senate amendment are
substantially the same in paragraph (4) and subparagraph (A)
of each piece of legislation with the following exceptions:
(1) See note 50 regarding references to assessments; and (2)
A technical difference in cross-references.
HR/SR with amendment to strike paragraph (4) and insert as
new (4):
``(4) Annual state report to the secretary.--Each State
receiving assistance under this Act shall report annually to
the Secretary, and publicly disseminate within the State--
(A) beginning with school year [2001-2002], information on
the State's progress in developing and implementing the
assessments described in subsection (b)(3);
``(B) beginning not later than school year 2002-2003,
information on the achievement of students on the assessments
required by that section, including the disaggregated results
for the categories of students identified in subsection
1111(b)--[COMMENT: The reference will be to the 6 categories
agreed upon for reporting: economically disadvantaged,
racial/ethnic minority, disabled, LEP, gender, and migrant]
``(C) in any year before the State begins to provide the
information described in subparagraph (B), information on the
results of student assessments (including disaggregated
results) required under this section.
``(D) beginning not later than school year 2002-2003,
unless the State has received a waiver pursuant to section
1111(c)(1), information on the acquisition of English
proficiency by children with limited English proficiency;
``(E) the number and names of each school identified for
school improvement, including schools identified under
section 1116(c), the reason why each school was so
identified, and the measures taken to address the performance
problems of such schools;
``(F) the number of students and schools that participated
in public school choice and supplemental service programs and
activities under this title.
``(G) beginning not later than the 2002-2003 school year,
information on the quality of teachers and the percentage of
classes being taught by highly qualified teachers as defined
in [section], in the State, LEA, and school consistent with
subparagraph (D)(7) (see note 137).''
160. The House bill and the Senate amendment are
substantially the same with the following exceptions: (1) See
note 50 regarding references to assessments; and (2) The
categories of students referenced in each bill are different.
See note 63.
HR/SR with an amendment; (See note 159).
161. The Senate amendment does not contain a similar
provision.
HR/SR with an amendment; (See note 159).
162. The House bill contains a similar provision in section
1116 (b)(6) (see note 300). The House bill refers to a report
not less than once a year, while the Senate amendment refers
to an annual report. The Senate amendment refers to each
State receiving assistance under this Act, while the House
bill refers to each SEA. The House bill and the Senate
amendment refer to the names of schools identified for school
improvement, although the Senate amendment contains a
specific cross-reference to section 1116. The Senate
amendment, but not the House bill, refers to the number of
schools identified for school improvement, the reason for
such identification, and the measures taken to address the
school's performance problems.
HR/SR with an amendment; (See note 159).
163. The House bill and the Senate amendment are
substantially the same except for difference indicated in
note 50 regarding references to assessments.
HR/SR with an amendment; (See note 159).
164. The House bill and the Senate amendment are
substantially the same with the following exceptions: (1) The
House bill, but not the Senate amendment, requires that
parental notification be provided at the beginning of the
school year; and (2) The House bill, but not the Senate
amendment, requires LEAs to provide information to requesting
parents in a timely manner.
SR
165. The House bill and the Senate amendment provisions are
the same in clauses (i) through (iv) following each piece of
legislation, with a minor wording difference in clause (iv).
LC
166. The House bill and the Senate amendment are
substantially the same with the exception that the House
bill, but not the Senate amendment, refers to additional
information beyond that described in subparagraph (A).
LC
167. The Senate amendment does not contain a similar
provision.
SR
168. The House bill, but not the Senate amendment, requires
the information be provided to parents in an understandable
language to the extent practicable.
SR (LC all other references to providing information to
parents in an understandable and uniform format and, to the
extent practicable, provided in a language that the parents
can understand)
169. The Senate amendment does not contain a similar
provision.
SR
170. The House bill does not contain a similar provision.
HR with an amendment to move the following language to
after note 163 and before paragraph (5) and redesignate
sections according:
``(5) Report to congress.--The Secretary shall transmit
annually to [Standard name for House and Senate education
committees] a report that provides national and state level
data on the information collected under (4).''
171. The House bill and the Senate amendment are the same.
4LC
172. The House bill does not contain a similar provision.
However, see also the House bill provision in subsection
(b)(10) of section 1111. See note 110.
HR
173. The House bill does not contain a similar provision.
HR
174. The Senate amendment does not contain a similar
provision.
SR with amendment to add a new subsection at end of section
1111 and before section 1112:
(#--LC) ``In General.--Nothing in this part shall prescribe
the use of the assessments described under this part for
student promotion or graduation purposes.''
175. The House bill and the Senate amendment are
substantially the same with the exception that the House
bill, but not the Senate amendment, refers to the Homeless
Act.
SR
176. The House bill and the Senate amendment are
substantially the same with the exception of a technical
difference in cross-references.
LC
177. The House bill, but not the Senate amendment, makes a
number of changes to current law. The Senate amendment
retains current law unchanged through subparagraph (C).
SR with an amendment to strike (b)(1) and insert the
following:
``(1) a description of high-quality student academic
assessments, if any, that are in addition to the academic
assessments described in the State plan under section
1111(b)(3), that the local educational agency and schools
served under this part will use to--''
178. The Senate amendment, but not the House bill, contains
this subparagraph regarding first grade student literacy and
related interventions and assessments.

[[Page H9956]]

HR with an amendment to insert as new (D):
``(D) effectively identify students who may be at risk for
reading failure or who are having difficulty reading through
the use of screening, diagnostic, and classroom-based
instructional reading assessments, as defined under section
1209 of this title.''
179. The House bill, but not the Senate amendment, makes a
number of changes to current law. The Senate amendment
retains current law unchanged to subparagraph (B).
SR with an amendment to strike paragraph (2) and insert:
``(2) at the local educational agency's discretion, a
description of other academic indicators, if any, that will
be used in addition to the academic assessments described in
paragraph (1) for the uses described in such paragraph;''
180. The Senate amendment does not contain a similar
provision.
SR
181. The House bill and the Senate amendment are similar
with the exception that the Senate amendment refers to
coordination with Title II of the Senate bill if a LEA
receives funds under such title.
SR with an amendment on coordination with Title II and
adding `` and principals'' after ``teachers'' .
182. The Senate amendment makes a technical change to
current law regarding the wording of ``vocational programs''.
Both the House bill and the Senate amendment strike ``school-
to-work transition programs''.
SR with an amendment to insert ``vocational''.
183. The House bill and the Senate amendment strike the
same language with the exception that the House bill, but not
the Senate amendment retains ``served under part C'' after
``migratory children''.
SR with and amendment inserting ``children with
disabilities'' after ``proficiency,''; strike ``or with
disabilities''; and strike ``served under part C,''.
184. The Senate amendment, which retains current law to
paragraph (9), does not contain this provision regarding LEA
participation in NAEP or an alternative assessment if
selected.
SR with amendment to strike ``or in another . . . section
7101(b)(1)(B)(ii)'' in paragraph (6).
185. The House bill and the Senate amendment are generally
similar. However, the House bill refers to ``preschool
programs for children'' and lists a number of such programs
and services, while the Senate amendment refers to ``early
childhood education programs under section 1120B''.
SR
186. The House bill refers to LEA actions to assist schools
in school improvement, while the Senate amendment refers to
LEA determinations of factors impacting student achievement
at schools in school improvement or corrective action.
SR
187. The Senate amendment does not contain paragraphs (13)
through (15) of the House bill.
SR with an amendment to insert as new (13), (14), and (15):
``(13) a description of the actions the local educational
agency will take to implement public school choice and
supplemental services, consistent with the requirements of
section 1116;
``(14) a description how the local educational agency will
meet the requirements of section 1119; and
``(15) a description of the services the local educational
agency will provide homeless children, including services
provided with funds reserved under section 1113(f)(3)(A).''
188. The House bill does not contain paragraphs (10) and
(12) of the Senate amendment.
HR with an amendment to insert ``after school (including
before school and summer school) and'' after ``this part to
support'' and with amendment to insert new paragraph:
``(#--LC) The academic assessments and indicators described
in paragraphs (1) and (2) shall not be used in lieu of the
academic assessments required under section 1111[(b)(4)] and
other State academic indicators under section 1111[(b)(2)].
In addition, the use of the assessments and indicators
described in paragraphs (1) and (2) may not be used to reduce
the number or change which schools would otherwise be subject
to school improvement, corrective action, or restructuring
under section 1116, if such additional assessments or
indicators described in paragraphs (1) and (2) were not used,
but such assessments and indicators may be used to identify
additional schools for school improvement or in need of
corrective action or restructuring.''
189. The House bill and the Senate amendment are the same.
LC
190. The House bill, but not the Senate amendment, refers
to the ability of schools to consolidate funds from the
entities listed. The Senate amendment refers to schoolwide
projects while the House bill refers to school wide programs.
SR
191. See note 40 regarding references to standards.
LC
192. The House bill and the Senate amendment are
substantially the same with a technical difference in cross-
references.
LC
193. The House bill and the Senate amendment are the same.
LC
194. The House bill, but not the Senate amendment refers to
``scientifically based'' research.
SR
195. The Senate amendment does not contain a similar
provision.
SR
196. The House bill does not contain the Senate amendment
provisions in paragraph (5).
HR
197. The House bill requires compliance with section 1119
relating to teacher and paraprofessional qualifications,
while the Senate amendment requires compliance with section
1119 relating to professional development.
SR with an amendment to insert ``and professional
development'' after ``paraprofessionals''.
198. The House bill and the Senate amendment are
substantially the same with a technical difference in cross-
references.
LC
199. The House bill and the Senate amendment are
substantially the same, except the Senate amendment, but not
the House bill, refers to ``health and social services''.
HR with amendment:
``(6) coordinate, and collaborate, to the extent feasible
and necessary as determined by the local educational agency,
with the state and other agencies providing service to
children, youth, and families with respect to schools in
school improvement, corrective action, or restructuring under
section 1116 that request assistance from the local
educational agency with addressing major factors that have
significantly impacted student achievement at the school.''
200. The House bill does not contain the following Senate
provisions in paragraphs (11) through (14).
HR with amendment to strike ``10 years'' and insert ``12
years'' and to strike ``of the date . . . Act'' and insert
``the end of the 2001-2002 school year'' in paragraph (12),
to conform parental information in paragraph (13) with note
#168, and to strike paragraph (14) and insert the following:
``(14) assist each school served by the agency and assisted
under this part in developing or identifying models of high
quality, effective curriculum models consistent with section
1111(b)(6)(C).''
201. The House bill, but not the Senate amendment, makes a
number of changes to current law in paragraphs (d)(1) and
(2). The Senate amendment retains current law unchanged to
subsection (e).
SR with an amendment to strike ``academic achievement
standards'' and insert ``Performance Standards'' after ``Head
Start'' in subparagraph (B).
202. The House bill and the Senate provision are the same.
LC
203. The House bill and the Senate amendment are similar in
retaining current law with the exception that the House bill,
but not the Senate amendment, modifies the organization of
paragraph (2) and adds a new subparagraph (B).
SR
204. The House bill does not retain paragraph (3) of
current law which the Senate amendment retains and modifies.
HR
205. The House bill and the Senate amendment retain current
law with no changes.
LC
206. The Senate amendment does not contain this provision
regarding parental notification and consent for English
language instruction of the House bill.
SR with amendment to strike subsection (g) and insert the
following as new subsection (g):
``(g) Parental Notification.--
``(a) In General.--(1) Each eligible entity using funds
under this title to provide high-quality language instruction
educational programs shall inform a parent or parents of a
child participating in such a program of--
``(A) the reasons for the identification of their child as
limited English proficient and being in need of placement in
a language instruction educational program;
``(B) the child's level of English proficiency, how such
level was assessed, and the status of the child's academic
achievement;
``(C) the program and methods of instruction available,
including how such programs differ in content, instructional
goals, and use of English and a native language in
instruction;
``(D) how the language instruction educational program will
meet the educational strengths and needs of their child;
``(E) how such language instruction program will
specifically help the child acquire English, and meet age
appropriate academic achievement standards for grade
promotion and graduation;
``(F) the specific exit requirements for the program,
including the expected rate of transition from the program
into classrooms that are not tailored for limited English
proficient students, and the expected rate of graduation from
high school for the program if funds under this title are
used for children in secondary schools;
``(G) in the case of a student with a disability who
participates in an English language instruction educational
program, how the program meets the objectives of the
individualized education program of the student;
``(H) the entity's failure to make progress on the annual
measurable achievement objectives in section 3329(a), if
applicable. Such notice shall be sent in addition to the
parental notification of their child as in need of
participation in a language instruction educational program.

[[Page H9957]]

``(I) information pertaining to parental rights, that
includes written guidance--
``(i) detailing the options that parents have to remove
their child in an language instruction educational program,
and shall give parents an opportunity to decline such
enrollment, and the right to have their child immediately
removed from a specialized language instruction program upon
their request; and
``(ii) assisting parents in selecting among various
programs and methods of instruction, if more than one program
or method is offered by the eligible entity.
``(b) Receipt of Information.--The notice and information
provided in subsection (a) to a parent or parents of a child
identified for participation in a language instruction
educational program for limited English proficient children
shall be in an understandable and uniform format and, to the
extent practicable, provided in a language that the parents
can understand.
``(c) Special Rule Applicable During the School Year.--For
those children who have not been identified as limited
English proficient prior to the beginning of the school year
the eligible entity shall notify parents within the first two
weeks of the child being placed in a language instruction
educational program consistent with subsections (a) and (b).
``(d) Parental Participation.--Each eligible entity using
funds under this title shall implement an effective means of
outreach to parents of limited English proficient students to
inform parents of how they can be involved in the education
of their children, and be active participants in assisting
their children to attain English and achieve at high levels
in core academic subjects and meet challenging state academic
achievement standards and state academic content standards
expected of all students, including holding and sending
notice of opportunities for regular meetings for the purpose
of formulating and responding to recommendations from parents
of students assisted under this title.
``(e) Basis for Admission or Exclusion.--A student shall
not be admitted to, or excluded from, any federally assisted
education program on the basis of a surname or language-
minority status.''
207. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
208. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
209. The House bill and the Senate amendment are
substantially similar with minor differences in wording and a
difference in the cross-reference (the House bill refers to
the subsection regarding Ranking Order and the Senate
amendment refers to Eligible School Attendance Areas).
LC
210. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
211. The House bill, but not the Senate amendment, makes a
number of changes to current law in subsection (b) regarding
the rank order of funds and by adding a new paragraph (3)
regarding elementary schools. Otherwise, the House bill
retains current law with minor changes through paragraph
(c)(1). The Senate amendment retains current law unchanged
through paragraph (c)(1).
HR
212. The House bill adds a paragraph (2) regarding
equitable service to private school students. The Senate
amendment contains the same provision in section 1120A. See
note 488.
HR
213. The House bill, but not the Senate amendment, makes a
change to current law regarding the total enrollment. The
Senate amendment retains current law unchanged through
subsection (e).
HR
214. The House bill, but not the Senate amendment, makes a
number of minor, technical changes to current law. The Senate
amendment retains current law unchanged through subparagraph
(f)(3)(C).
LC
215. The Senate amendment does not contain the provisions
in paragraphs (4) and (5) of the House bill regarding school
improvement reservation and financial incentives and rewards
reservation.
SR with an amendment to insert ``from the amount (if any)
by which the funds received by the LEA under this part for a
fiscal year exceed the amount received by the LEA under this
part for the preceding fiscal year,'' after ``necessary'' in
paragraph (4) and to insert ``from those funds received by
the LEA under Title II and up to 5% of those funds received
by the LEA'' after ``necessary'' in paragraph (5).
216. The Senate amendment does not contain similar
provisions.
HR
217. The House bill and the Senate amendment are similar
with the following exceptions: 1) The House bill refers to a
LEA that ``may consolidate'' funds, while the Senate
amendment refers to a LEA that ``may use'' funds; and 2) The
Senate amendment, but not the House bill, refers to the
``initial year of the schoolwide program''.
SR with an amendment to insert ``and use'' after
``consolidate''.
218. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
219. The House bill and the Senate amendment are the same.
LC
220. The House bill, but not the Senate amendment, makes a
number of changes to current law regarding an exception to
IDEA in subparagraph (A) and the list of requirements in
subparagraph (B). The Senate amendment retains current law
unchanged through subparagraph (B).
SR with an amendment to add ``comparability of services''
after ``maintenance of effort'' in subparagraph (B).
221. The House bill and the Senate amendment are
substantially similar with the following exceptions: 1) The
House bill refers to ``consolidate'' funds, while the Senate
amendment refers to ``use'' funds; and 2) Minor wording
differences.
SR with an amendment to insert ``and uses'' after
``consolidates''.
222. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
223. The House bill, but not the Senate amendment, makes a
number of changes to current law regarding the addition of
migratory children in subparagraph (A), omitting current law
clause (iii) in schoolwide reform strategies, referring to
``scientifically based research'' in clause (ii), adding
subclause (I), referencing standards and low-achieving in
subclause (I) of clause (iii), and omitting specific examples
contained in current law subclause (I) of clause (iiii). The
Senate amendment retains current law unchanged.
SR with an amendment to insert the following (rewrite of
whole subsection):
``(c) Components of a Schoolwide Program.--
``(1) In General.--A schoolwide program shall include the
following components:
``(A) A comprehensive needs assessment of the entire school
(including taking into account the needs of migratory
children as defined in section 1309(2)) that is based on
information which includes the performance of children in
relation to the State academic content standards and the
State student academic achievement standards described in
section 1111(b)(1).
``(B) Schoolwide reform strategies that--
``(i) provide opportunities for all children to meet the
State's proficient and advanced levels of student achievement
described in section 1111(b)(1)(D);
``(ii) use effective methods and instructional strategies
that are based upon scientifically based research that--
``(I) strengthen the core academic program in the school;

``(II) increase the amount and quality of learning time,
such as providing an extended school year and before- and
after-school and summer programs and opportunities, and help
provide an enriched and accelerated curriculum; and
``(III) include strategies for meeting the educational
needs of historically underserved populations;

``(aa) counseling, pupil services, and mentoring services;
``(bb) college and career awareness and preparation, such
as college and career guidance, personal finance education,
and innovative teaching methods which may include applied
learning and team teaching strategies; and
``(cc) the integration of vocational and technical
education programs; and

``(II) address how the school will determine if such needs
have been met; and''
224. The House bill does not contain a similar provision,
although the House bill also strikes the reference to Goals
2000 as does the Senate amendment in clause (i).
LC
225. The House bill, but not the Senate amendment, makes a
number of changes to current law regarding teachers in
subparagraph (C), professional development in subparagraph
(D), and by adding subparagraph (E). The Senate amendment
retains current law unchanged through subparagraph (D).
SR with an amendment to insert ``principals,'' after
``teachers,'' in (D); and strike ``such as . . . pay'' in
(E).
Report language:
``The Conferees believe that teacher recruitment strategies
will be most effective if they succeed in attracting highly
qualified teachers and subsequently retaining those teachers.
Such strategies can include differential pay and merit based
pay, as well as other services such as teacher advancement
initiatives that promote professional growth and multiple
career paths, pre-service internships, high quality
professional development, effective mentoring, and ongoing,
comprehensive evaluations of teachers' knowledge and
abilities.''
226. The Senate amendment, but not the House bill, refers
to a list of activities beyond family literacy services.
SR
227. The House bill, but not the Senate amendment, makes a
number of changes to current law regarding the listed
programs in subparagraph (G), cross-references in
subparagraph (H), referring to proficiency in subparagraph
(I), and omitting clauses (ii) and (iii) of subparagraph (H)
of current law.

[[Page H9958]]

The Senate amendment retains current law unchanged through
subparagraph (H).
SR
228. The House bill does not contain a similar provision.
HR with an amendment to insert ``vocational and technical
education'' before ``job training''.
229. The House bill and the Senate amendment refer to the
title of each piece of legislation. In addition, the House
bill, but not the Senate amendment, makes changes to current
law by omitting consultation requirements in paragraph (2),
omitting clause (iv) through subparagraph (2)(B) of current
law. The Senate amendment retains current law unchanged
through subparagraph (C).
SR with an amendment to insert ``, in consultation with the
local educational agency and its school support team or other
technical assistance provider under section 1117,'' in
paragraph (2) before ``, a comprehensive plan'' and to strike
in (2)(A) ``incorporates'' and insert ``describes how the
school will implement''.
230. The House bill does not contain this provision.
HR with an amendment to retain current law clause (iv) as
subparagraph (D) and to conform parental information in that
subparagraph with note #168.
231. The House bill does not contain this provision.
SR
232. The House bill, but not the Senate amendment, makes
changes to current law by omitting the requirement to
consider recommendations of technical assistance providers in
clause (i). The Senate amendment retains current law.
HR
233. The House bill and the Senate amendment refer to the
title of each piece of legislation. In addition, the House
bill, but not the Senate amendment, makes a number of changes
to current law by changing the plan requirements in clause
(ii), adding to the involvement requirements in subparagraph
(B), and by changing the availability requirements in
subparagraph (D). The Senate amendment retains current law
through subparagraph (D).
SR with an amendment to conform parental information with
note #168.
234. Both the House bill and the Senate amendment strike
the reference to the School-to-Work Act. In addition, the
House bill, but not the Senate amendment, makes a change to
current law by changing the list of programs to coordinate
with. The Senate amendment retains current law.
SR
235. The House bill and the Senate amendment retain current
law with no substantive changes regarding the Accountability
provision.
LC
236. The Senate amendment does not contain similar
provisions.
SR
237. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
238. The House bill and the Senate amendment are
substantially the same.
LC
239. The House bill, but not the Senate amendment, makes a
number of changes to current law by changing references to
standards and assessments in subparagraph (B) and changing
the list of included children in clause (i) of subparagraph
(A). The Senate amendment retains current law unchanged
through paragraph (2).
HR (LC--academic achievement).
240. The Senate amendment refers to early childhood
education services under this title, while the House bill
refers to preschool services under this title and adds a
reference to Early Reading First.
SR
241. The House bill and the Senate amendment strike the
reference to part D (of Title I) and its predecessor
authority. The House bill, but not the Senate amendment,
changes the reference from part (D) (Neglected and Delinquent
education) to part (C) (Migrant education). The House bill,
but not the Senate amendment, changes to current law. The
Senate amendment retains current law.
SR
242. The House bill clarifies that these 2 groups of
children are eligible, not possibly eligible as under current
law. The Senate retains current law through subparagraph (D).
SR
243. The House bill, but not the Senate amendment, makes a
number of changes to current law by changing references to
standards in paragraph (1) and subparagraph (A), omitting
subparagraph (B) of current law, changing subparagraph (3),
replacing current law subparagraph (E) with subparagraph (D)
of the House bill, and changing the teacher references in
subparagraph (E). The Senate amendment retains current law
unchanged through subparagraph (G).
SR/LC conform ``highly qualified teacher'' in this note.
244. The House bill, but not the Senate amendment,
references subsection (e)(3) and section 1119A. The Senate
amendment, but not the House bill, refers to
``paraprofessionals'' and ``parents''. The House bill, but
not the Senate amendment, conditions the provision of
opportunities for professional development for ``pupil
services personnel''.
SR with an amendment to strike ``, for teachers . . . pupil
services personnel,'' and replace with ``, for teachers,
principals and paraprofessionals, including, if appropriate,
pupil services personnel, parents, and other staff.''
245. The House bill and the Senate amendment reference
section 1118 of Title I, part A of each piece of legislation
and ``family literacy services.'' However, the Senate
amendment, but not the House bill, adds after family literacy
services a list of additional options.
SR
246. The House bill contains a generally similar provision
in subsection (c)(2)(A). See note 248.
HR with an amendment to insert ``vocational and technical
education''.
247. The House bill and the Senate amendment retain current
law with no substantive changes.
SR (Note 181)
248. The Senate amendment contains a generally similar
provision in subparagraph (I) following. See note 246. The
House bill, but not the Senate amendment, makes a change to
current law by omitting the reference to standards in current
law. The Senate amendment retains current law.
SR
249. The House bill, but not the Senate amendment, makes a
number of changes to current law by changing the reference to
standards in subparagraph (B), changing the section heading
in subsection (d), omitting the reference to children served
under this part in subsection (d), omitting paragraphs (1)
and (3) of subsection (d) of current law, changing
subparagraph (2) list of services, and omitting subparagraph
(B) of paragraph (2) of current law. The Senate amendment
retains current law.
SR with an amendment to retain current law 1115(d)(1); to
strike ``medical'' and insert ``health'' in paragraph (2) and
to insert current law subparagraph (e)(2)(B) as subparagraph
(e)(2)(C).
250. The House bill, but not the Senate amendment, makes a
number of changes to current law by referencing public
schools throughout, changing the plan provisions in
subsection (b), replacing paragraph (5) of current law with
paragraph (2) of the House bill and modifying the list of
required participants, replacing paragraph (6) of current law
with paragraph (4) and omitting paragraphs (2)-(4) and (7)-
(9) of current law.
HR/SR to eliminate from current law.
251. The House bill does not contain a similar section.
However, pupil safety and school choice activities are an
authorized use of funds under section 5115 (b)(2)(P) of the
House bill. See Title V of the House bill.
SR
252. The House bill and the Senate amendment have different
section headings. The House bill adds the word ``academic''
before assessment, which is consistent throughout this part.
See note 50.
LC
253. The House bill and the Senate amendment are similar
with the following exceptions: (1) There is a difference in
cross-references to the adequate yearly progress provisions
in each piece of legislation; (2) The Senate amendment, but
not the House bill, requires LEAs to use State assessments
and additional measures described in their plan to determine
if adequate yearly progress is being met; the House bill, but
not the Senate amendment, requires the use of State
assessments to determine if adequate yearly progress is being
met; and (3) The Senate amendment, but not the House bill,
refers to enabling students to meet the State standards.
SR with amendment to strike paragraph (1) and insert the
following and redesignate subsequent paragraphs accordingly:
``(1) use the State academic assessments and other academic
indicators described in the State plan to review annually the
progress of each school served under this part to determine
whether the school is making adequate yearly progress as
defined in section [1111(b)(2)(B)]; and
``(2) at the local education agency's discretion, use any
academic assessments or any other academic indicators
described in the local educational agency's plan under
section [1112(b)(1) and (2)] to review annually the progress
of each school served under this part to determine whether
the school is making adequate yearly progress as defined in
section [1111(b)(2)(B)], except the use of such additional
assessments or indicators may not be used to reduce the
number or change which schools would otherwise be subject to
school improvement, corrective action, or restructuring under
section 1116 if such additional assessments or indicators
were not used, but may be used to identify additional schools
for school improvement or in need of corrective action or
restructuring.''
254. The House bill refers to publication and dissemination
of results, while the Senate amendment refers to the
provision of results. The Senate amendment, but not the House
bill, adds the word ``local'' before ``annual review''. The
House bill has a different list of recipients than the Senate
amendment. The Senate amendment, but not the House bill,
describes how the results are to be provided and what they
are to be used for.
HR/SR with an amendment to merge the language of both.
255. The House bill and the Senate amendment are similar,
with the following exceptions: (1) The House bill contains a
general reference to parental involvement under the Act,
while the Senate amendment refers to specific parental
involvement under section 1118; and (2) The Senate amendment,
but not

[[Page H9959]]

the House bill, refers to professional development under
section 1119 and ``other activities'' under the Act.
SR with an amendment to insert ``professional development,
and other activities'' after ``parental involvement,'' in
(3).
256. The House bill does not contain a similar provision.
SR
257. The House bill and the Senate amendment are similar
with the following exceptions: (1) The Senate amendment, but
not the House bill, conditions the LEA requirements on
subparagraph (B) following, although subsection (b)(1)(C) of
the House bill is similar; see note 260; and (2) There is a
difference in cross-references to the adequate yearly
progress provisions in each piece of legislation.
HR with amendment to strike ``for any year'' and insert
``for two consecutive years''
258. The Senate amendment contains a similar provision
which is located in subsection (b)(12)(A)(i). See note 331
for differences.
HR
259. The Senate amendment does not contain a similar
provision.
SR with amendment to strike ``first day'' and insert
``beginning'' and to insert ``next'' before ``school year''.
260. The House bill and the Senate amendment are similar
with the exceptions that the House bill refers to
``advanced'' achievement and the Senate amendment refers to
``proficient level of performance'', and there is a technical
difference in cross-references.
HR
261. The House bill and the Senate amendment are the same.
LC
262. The Senate amendment contains a similar provision in
subsection (b)(5). See notes 290, 291 and 292 for
differences.
SR with amendment to add at the end: ``In providing
students the option to transfer to another public school, the
local educational agency shall give priority to the lowest-
achieving children from low-income families, as determined by
the local educational agency for purposes of allocating funds
to schools under section 1113(c)(1).''
263. The Senate amendment does not contain a similar
provision.
SR
264. The House bill and the Senate amendment are the same
with the exception that the House bill refers to
``restructuring'' while the Senate amendment refers to
``reconstitution''.
SR
265. The House bill and the Senate amendment are
substantially the same with the exception that the House
bill, but not the Senate amendment, allows for supporting
evidence to be provided to contest an identification if a
majority of parents believe the identification was in error.
SR
Report language:
``The Conferees urge that, in providing the opportunity for
review under paragraph (2) and before identifying a school
for school improvement, corrective action, or restructuring,
SEAs should provide to LEAs, and the LEAs shall make
available to school officials, teachers, parents, and other
interested parties, information on the statistical accuracy
of the assessment and the data produced in a language and
format that is likely to be accessible and understandable to
all parties, in order to allow such individuals to make an
informed judgment about the accuracy of the identification
for improvement of a school.''
266. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill, but not
the Senate amendment, refers to an LEA providing a school
with the opportunity to review school level data; and (2) The
Senate amendment, but not the House bill, refers to an LEA
making an initial determination under the paragraphs listed.
SR
267. The House bill and the Senate amendment are
substantially the same with the exception that the House
bill, but not the Senate amendment, conditions the LEA
requirements on the resolution of the review previously
described in paragraph (2).
SR
268. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment, but not the House bill, allows for the inclusion
of a comprehensive school reform model meeting the
requirements of section 1706(a).
HR
269. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill and the
Senate amendment reference different categories of students
(see note 63); (2) There is a technical difference in cross-
references to assessment provisions; and (3) The House bill
and the Senate amendment differ in the title of each piece of
legislation.
HR/SR with amendment to strike ``10 years'' and insert ``12
years'' and to strike ``after the date . . . 2001'' and
insert ``of the end of the 2001--2002 school year''
270. The House bill and the Senate amendment are the same.
LC
271. The House bill and the Senate amendment are the same.
LC
272. The House bill and the Senate amendment are the same
with a technical difference in cross-references.
LC
273. The Senate amendment does not contain a similar
provision.
SR
274. The House bill and the Senate amendment are the same.
LC
275. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill and the
Senate amendment reference different categories of students
(see note 63); (2) There is a technical difference in cross-
references to assessment provisions; (3) The House bill and
the Senate amendment differ in the title of each piece of
legislation; (4) The House bill refers to ``measurable''
goals, while the Senate amendment refers to ``objective''
goals; and (5) The Senate amendment, but not the House bill,
refers to students making ``continuous and significant
progress''.
SR w/amendment to insert ``objective'' after
``measurable'', to insert ``consistent with adequate yearly
progress as defined under section 1111 (b)'' and to strike
``10 years'' and insert ``12 years'' and to strike ``after
the date . . . 2001'' and insert ``of the end of the 2001--
2002 school year''
276. The House bill and the Senate amendment are the same.
LC
277. The House bill and the Senate amendment are the same.
LC and after ``(4)'' insert ``and the local educational
agency's responsibilities under section 1120A.''
278. The House bill does not contain a similar provision.
HR
279. The Senate amendment does not contain similar
provisions.
SR with an amendment to strike ``extended learning time for
students, such as'' and insert ``activities'' after ``year''
in clause (viii) and to strike clause (ix) and insert ``(ix)
incorporate a teacher mentoring program.''
Report Language:
Successful mentoring programs pair beginning and veteran
teachers with an exemplary teacher who has expertise in the
same subject matter as the teachers who are mentored.
Mentoring programs are usually school-based and include
activities such as observing and coaching the teachers who
are mentored.
280. The House bill and the Senate amendment are the same
with a technical difference in cross-references.
LC
281. The Senate amendment does not contain a similar
provision.
SR
282. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill, but not
the Senate amendment, provides for an exception to the
requirement described in subparagraph (D) of the House bill
following; and (2) The House bill refers to the school year
following the school year in which the school failed to make
adequate yearly progress, while the Senate amendment refers
to the school year following the school year in which the
school was identified.
HR with amendment to insert ``Except as provided in
subparagraph [(D)],'' before ``A school shall''
283. The Senate amendment does not contain a similar
provision.
SR
284. The Senate amendment, but not the House bill, requires
the LEA to act 45 days after receiving a school plan.
HR
285. The House bill and the Senate amendment are the same
in the clauses (i) and (ii) of each piece of legislation.
LC
Report language:
``The Conferees believe that in instances where peer review
of a school plan [Section 1116(c)(3)(D)] is required, local
educational agencies may, with the approval of the State
educational agency, use the State Committee of Practitioners
(as described in Section 1803(b)) to perform the peer review
process.''
286. The House bill and the Senate amendment are
substantially the same with the exception that the House
bill, but not the Senate amendment, directs the LEA to
provide technical assistance to the school ``throughout the
duration of the plan.''
SR
287. The House bill and the Senate amendment differ
technically in the cross-reference. The Senate amendment, but
not the House bill, refers to problems in implementing
parental involvement (under section 1118), professional
development (under section 1119), and other school and LEA
responsibilities.
HR
288. The House bill and the Senate amendment are the
similar with the exception of the House bill reference to
professional development.
SR
289. The House bill and the Senate amendment are the same
through subparagraph (C) following of each piece of
legislation.
LC
290. The House bill contains a similar provision which is
located in subsection (b)(1)(E) (see note 262). The House
bill requires intra-district public school choice not later
than the first day of the school year following
identification, while the Senate amendment requires intra-
district public school choice at the end of the first year
after the school year for which the school was identified. In
addition, there is a difference in cross-references to the
adequate yearly progress provisions in each piece of
legislation.
HR with amendment to insert ``continue to'' before
``provide'' and to strike ``unless'' in

[[Page H9960]]

subparagraph (A) and to insert as a new subparagraph (#--LC)
``make supplemental services available, consistent with
subsection [(d)(1)]''
291. The House bill contains a similar provision which is
located in subsection (b)(1)(E). The Senate amendment, but
not the House bill, also requires the intra-district public
school choice to be not prohibited by local law, including
school board approved LEA policy.
SR
292. The House bill does not contain a similar exception.
SR
293. The House bill does not contain this provision. Also
see note 303.
SR
294. The House bill does not contain this provision.
However, see also paragraph (4) of the House bill.
HR with amendment to strike ``while . . . action''
295. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment, but not the House bill, references corrective
action and reconstitution.
HR with an amendment strike ``reconstitution'' and insert
``restructuring'' in (F)(7) and to conform parental
information with note #168.
296. The House bill and the Senate amendment are the same
with minor wording differences in subparagraphs (A) through
(C) following of each piece of legislation.
SR
297. The House bill and the Senate amendment are
substantially the same with the exception that the House
refers to the ``achievement'' problem, while the Senate
amendment refers to the ``performance'' problem.
SR
298. The House bill and the Senate amendment are the same
with minor differences in wording.
LC
299. The House bill, but not the Senate amendment, includes
public charter schools. The Senate amendment, but not the
House bill, conditions the explanation on when the school is
identified for corrective action or reconstitution. The
Senate amendment, but not the House bill, refers to the
provision of transportation and supplementary services.
HR with amendment to strike ``when the school is identified
. . . (8),''
300. See note 162.
HR
301. The House bill and the Senate amendment are the same
in subparagraph (A) of each piece of legislation with minor
wording differences and a technical difference in cross-
references. The Senate amendment requires corrective action
to be consistent with ``State and local law'', while the
House bill requires corrective action to be consistent with
State law.
SR
302. The House bill and the Senate amendment are similar
with minor wording differences and a technical difference in
cross-references.
LC
303. The House bill, but not the Senate amendment, refers
to the provision of public school choice and technical
assistance and the identification of a school and corrective
action to be taken. The Senate amendment contains a similar
provision in clause (iii) following. There is a technical
difference in cross-references to assessment provisions. The
House bill refers to those schools that have failed to make
adequate yearly progress at the end of the first full school
year following identification. The Senate amendment refers to
those schools that have failed to make adequate yearly
progress at the end of the 2nd year after the school year for
which the school was identified. The House bill contains a
provision regarding those schools identified before
enactment, which the Senate also does in paragraph (12)
following. See note 331 for differences.
HR with amendment to add ``full school'' after ``second''
304. The House bill and the Senate amendment are similar
with the following exceptions: (1) The House bill, but not
the Senate amendment adds ``continue to'' before ``provide;
and (2) The House bill, but not the Senate amendment, refers
to State law.
SR
305. The House bill and the Senate amendment contain
similar provisions, however, the House bill provision is
located in subsection (b)(10). The House bill refers to those
schools in school improvement, while the Senate amendment
refers to those schools in school improvement and corrective
action. The Senate amendment, but not the House bill,
requires the transfer of as many children as possible and
that the selection of those children is done on an equitable
basis.
SR
306. See note 303 regarding identifying schools and taking
corrective actions.
LC
307. The House bill does not contain this provision.
SR
308. The House bill, but not the Senate amendment, refers
to the staff relevant to the failure to make adequate yearly
progress.
SR
309. The House bill and the Senate amendment are
substantially similar with the exceptions of minor wording
differences and the House bill, but not the Senate amendment,
referring to the school meeting adequate yearly progress.
SR with an amendment to insert Report Language:
Report Language:
If an LEA chooses to implement a new curriculum as a means
of corrective action, such new curriculum shall significantly
depart from the existing curriculum in a manner aimed to have
the school attain adequate yearly progress. The Conferees
intend that such new curriculum constitute a substantial
structural change to the school's curriculum that is
consistent with the State academic content and academic
achievement standards and specifically address issues
identified by the plan developed by the school upon being
identified as in need of improvement.
310. The Senate amendment does not contain the provisions
in subclauses (III)--(VI) following in the House bill.
SR
311. The House bill and the Senate amendment are the same.
LC with amendment to add ``requirements of second year of
school improvement'' after ``implementation of'', strike
``only'' and insert ``restructuring'', strike ``school's
failure'' and to insert ``school makes adequate yearly
progress for one year or fails'' before ``to make'' and to
strike ``was justified''.
312. The House bill, but not the Senate amendment, requires
the information be disseminated to the parents of children
enrolled at the school in a format and to the extent
practicable in a language the parents can understand.
SR with an amendment to conform parental information with
note #168.
313. Both the House bill and the Senate amendment refer to
schools having failed to make adequate yearly progress after
one year of corrective action, although the House bill refers
to a ``full'' year. However, the House bill, but not the
Senate amendment, also requires for schools to be identified
in restructuring to fail to make statistically significant
adequate yearly progress for the economically disadvantaged
students in the subjects included in the State's definition
of adequate yearly progress after one year.
HR with amendment to insert ``full school'' after ``one''
314. The Senate amendment does not contain a similar
provision.
HR
315. See note 304.
SR with amendment to insert ``continue to'' before
``provide''
316. The Senate amendment, but not the House bill, refers
to those children who remain in the schools.
HR with amendment to insert ``continue to'' before ``make''
and for LC to move same language to corrective action (at
note 304) and to move same language but without ``continue
to'' to 2nd year of school improvement (at note 290)
317. The House bill and the Senate amendment are the same
through clause (i) of the House bill and subclause (I)
following of the Senate amendment.
LC
318. The House bill, but not the Senate amendment, includes
principals. Otherwise, see note 308.
SR with an amendment to strike ``the principal and'' and
insert ``which may include the principal'' after ``that are
relevant,''.
319. The House bill refers to ``entering into a contract'',
while the Senate amendment refers to ``turning the
operation'' over.
SR with an amendment to insert ``with a demonstrated record
of effectiveness'' after ``public school'' in (iii).
320. The House bill, but not the Senate amendment, refers
to State law permitting such action.
SR
321. The House bill does not contain these Senate
provisions.
HR with an amendment to strike subclause (V) and clause
(ii) and replace with a new subclause (V) and report
language:

``(V) Any other major restructuring of the school's
governance arrangement that makes fundamental reforms, such
as significant changes in the school's staffing and
governance, to improve student academic achievement in the
school and which has substantial promise of enabling the
school to make adequate yearly progress as defined in the
State plan under section 1111(b)(2). In the case of a rural
local educational agency with less than 600 students in
average daily attendance at the schools served by the agency
and have a School Locale Code of 7 or 8, as determined by the
Secretary, the Secretary shall, at such agency's request,
provide technical assistance to such agency for the purpose
of implementing this subclause.''

Report Language:
The Conferees recognize that rural schools and communities
face unique challenges, including geographic isolation, in
implementing the alternative governance arrangements under
subparagraph (B)(i)(I)--(IV). Therefore, the Conferees intend
for the Secretary to provide technical assistance and
otherwise make every effort to assist these schools in
restructuring, while not lessening the accountability
requirements under this subparagraph.
322. The Senate amendment does not contain a similar
provision.
SR with amendment to strike ``the end'' and insert ``not
later than the beginning'' and to insert ``next'' before
``school year in which the academic assessments are
administered''.
323. The House bill, but not the Senate amendment, refers
to the participation of parents, to the extent practicable,
in the development of the plan required by this paragraph.
The House bill, but not the Senate

[[Page H9961]]

amendment, also requires parents to be given an explanation
of the plan under this paragraph.
SR with an amendment to strike ``to the extent
practicable''.
324. The House bill refers by cross-reference to those
schools in school improvement, corrective action, or
restructuring. The Senate amendment refers to those schools
in corrective action.
SR with amendment for LC to add a reference to 2nd year of
school improvement (at note 290)
325. The House bill, but not the Senate amendment, refers
to ``public'' schools. The Senate amendment, but not the
House bill, references the subsection regarding a LEAs
obligation to provide supplementary services and
transportation costs.
SR
326. The House bill and the Senate amendment cap the amount
the LEA can use for transportation costs at 15% of the LEA
allocation under this part. The Senate amendment, but not the
House bill, also includes the costs of providing
supplementary services in the 15% cap.
SR with amendment to strike ``15 percent'' and insert ``5
percent'' and for LC to insert as a new subparagraph (C) the
10% ``flex pot'' that can be used for either public school
choice or for supplemental services and to insert special
rule that if the State pays for public school choice, the 5%
can be used as an additional flex pot to pay for supplemental
services.
327. See note 305.
SR with amendment for LC to add a reference to 2nd year of
school improvement (at note 290) and to insert ``corrective
action, or restructuring'' after ``school improvement''
328. The House bill, but not the Senate amendment, refers
to those schools in corrective action and restructuring.
Otherwise, the House bill and Senate amendment are
substantially the same.
HR with amendment to insert ``school improvement,
corrective action, or restructuring'' and to strike
``reconstitution'' in both places.
329. The Senate amendment does not contain a similar
provision.
HR
330. The House bill does not contain a similar provision.
HR with amendment to strike paragraph (11) and insert new
paragraph (11):
``(11) Special Rule.--A local educational agency shall
permit a child who transferred to another school under this
subsection to remain in that school until the child has
completed the highest grade in that school. The obligation of
the local educational agency to provide, or to provide for,
transportation for the child ends, except that the obligation
of the local educational agency to provide, or provide for,
transportation remains until the end of the school year, if
the school from which the child transferred is no longer
identified for school improvement or subject to corrective
action or restructuring.''
331. See notes 258 and 303.
HR with amendment to strike in subparagraph (A) (i) and
(ii) ``at the beginning of the next school year following
such day'' and to strike in subparagraph (B) ``and that fails
. . . such date'' and to strike in subparagraph (B) ``subject
to . . . next school year'' and insert ``treated by the local
educational agency as a school described in paragraph (7)''
and to strike subparagraphs (A)(iii) and (A)(iv) and
subparagraph (B)(ii), and to add a special rule that public
school choice and supplemental services must be implemented
no later than the beginning of the 2002-2003 school year for
the appropriate schools identified before enactment pursuant
to paragraphs (A)(i) and (ii) and (B)(ii), and the Department
of Education must issue regulations on the new provisions
relating to sections 1111 and 1116 within 6 months of date of
enactment of this Act.
332. The House bill refers to State responsibilities while
the Senate amendment refers to SEA responsibilities.
HR
333. The Senate amendment, but not the House bill, refers
to schools in corrective action. The House bill, but not the
Senate amendment, refers to ``restructuring''. The Senate
amendment, but not the House bill, directs the SEA to use
funds reserved under section 1003 to the extent possible.
SR with an amendment to insert ``corrective action'' after
``school improvement,'' in (A).
334. The House bill and the Senate amendment are the same
with minor wording differences.
LC
335. The Senate amendment does not contain this provision.
SR with amendment to strike ``within the same . . . was
given'' and insert ``before any identification of a school
required under this section takes place.''
336. The House bill does not contain these provisions.
HR with amendment to strike subparagraphs (C) and (D) and
insert new subparagraph (C):
``(C) for local educational agencies or schools identified
for improvement under section 1116, notify the Secretary of
major factors that were brought to the attention of the State
educational agency under section 1111(b)(8) that have
significantly impacted student achievement.''
337. There is a difference in cross-references regarding
adequate yearly progress. The Senate amendment, but not the
House bill, also requires a review of the LEA's
implementation of the responsibilities contained in the
listed sections.
SR with an amendment ``and to determine if each LEA is
carrying out its responsibilities under 1116, 1117, 1118, and
1119'' after ``achievement standards'' and before the semi-
colon.
338. The Senate amendment does not contain this provision.
SR
339. The House bill does not contain these provisions.
SR with an amendment to strike subparagraph (B) and strike
paragraph (2) and insert:
``(2) Rewards.--In the case of a local educational agency
that for 2 consecutive years has exceeded the State's
definition of adequate yearly progress as defined in the
State plan under section 1111(b)(2), the State may make
rewards of the kinds described under section 1117.''
340. The Senate amendment, but not the House bill, refers
to schools served under this part and their progress toward
meeting the State's performance standards. The Senate
amendment also provides for an exception for targeted
assistance programs, which the House does as well in
paragraph (4), although the House bill refers to targeted
assistance schools and there are other minor wording
differences.
SR
341. The Senate amendment does not contain this provision.
SR with amendment for LC to move language to note 331 as
subparagraph (C) and to parallel school improvement and
corrective action language for schools.
342. The Senate amendment does not contain this provision.
SR with amendment for LC to move language to note 331 as
subparagraph (D) and to parallel school improvement and
corrective action language for schools.
343. See note 340.
SR
344. The House bill and the Senate amendment are similar
with the following exceptions: (1) There is a difference in
the paragraph references; (2) The House bill refers to LEA
data, while the Senate amendment refers to ``school-level''
data; and (3) There are minor wording differences between the
House bill and Senate amendment regarding the LEA provision
of evidence for alleged identification error and the timeline
for the final determination of LEA status.
SR with an amendment to strike ``local educational agency''
before ``data''.
Report Language:
The Conferees urge that, in providing the opportunity for
review under paragraph (5) and before identifying a local
educational agency for improvement, SEAs should provide to
LEAs, and the LEAs shall make available to school officials,
teachers, parents, and other interested parties, information
on the statistical accuracy of the assessment and the data
produced in a language and format that is likely to be
accessible and understandable to all parties, in order to
allow such individuals to make an informed judgment about the
accuracy of the identification for improvement of a local
educational agency.''
345. The Senate amendment does not contain a similar
provision.
SR
346. The House bill and the Senate amendment are similar
with a technical difference in cross-references regarding LEA
identification. In addition, the House bill, but not the
Senate amendment, requires consultation with the groups
listed.
SR
347. The House bill and the Senate amendment are the same.
LC
348. The Senate amendment, but not the House bill, refers
to consistency with State standards.
HR
349. The Senate amendment does not contain a similar
provision.
SR
350. The Senate amendment, but not the House bill, contains
numerous requirements, including specifying where the funds
are to be taken from, how they are to be treated, and what
they are to be used for.
HR with amendment to strike clause (iv) and replace with
new clause (iv): ``(iv) address the professional development
needs of the instructional staff by committing to spend not
less than 10% of the funds received by the local educational
agency under this part during 1 fiscal year for professional
development (including funds reserved for professional
development under subsection (c)(3)(A)(iii)), but excluding
funds reserved for professional development under subsection
(j) of section 1119A.''
Report language:
``The Conferees intend that such funds shall supplement and
not supplant professional development that instructional
staff would otherwise receive, and which professional
development, including mentoring for teachers in low-
performing schools, shall increase the content knowledge of
teachers and build the capacity of the teachers to align
classroom instruction with challenging academic content
standards and to bring all students to proficient or advanced
levels of achievement as determined by the State.''
351. The House bill and the Senate amendment are generally
similar with the exception that the Senate amendment refers
to ``subjects and grades'' and ``continuous and significant
progress'' toward proficiency over 10 years.

[[Page H9962]]

SR with an amendment to insert ``consistent with adequate
yearly progress as described under section 1111(b)''
352. The House bill does not contain a similar provision.
HR with an amendment to strike ``and performance;'' and
insert ``academic'' before ``achievement''.
353. The Senate amendment does not contain a similar
provision.
SR with an amendment to strike clause (iii) and insert as
new clause (iii):
``(iii) incorporate, as appropriate, before school, after
school, during the summer, and extension of the school year
activities.''
(See note 279)
354. The House bill and the Senate amendment are
substantially the same.
LC to conform with parental language from note 168.
355. The House bill and the Senate amendment are similar
with the exception that the Senate amendment, but not the
House bill, includes SEA technical assistance.
HR with an amendment to insert after ``(5)'' the following:
``and the local educational agency's responsibilities under
section 1120A.''
356. The House bill does not contain a similar provision.
HR
357. The Senate amendment does not contain a similar
provision.
SR
358. The House bill and the Senate amendment are similar
with the exception that the House bill, but not the Senate
amendment, refers to the provision of technical assistance if
requested. In addition, the House bill refers to the
``State'' responsibility while the Senate amendment refers to
the SEA responsibility, a difference which is consistent
through the remainder of each piece of legislation.
HR with an amendment to insert ``if requested'' after ``or
other assistance''
359. The House bill and the Senate amendment are
substantially the same in clauses (i) and (ii) following of
each piece of legislation.
LC
360. The House bill and the Senate amendment are similar
with the exception that the Senate amendment, but not the
House bill, refers to the provision of SEA technical
assistance for problems implementing those activities listed
in the Senate amendment.
HR with an amendment to strike ``tied to scientifically
based research'' and insert ``based on scientifically based
research'' in (B).
361. The Senate amendment does not contain this provision.
SR
362. The House bill and the Senate amendment are similar
with minor differences in wording, technical differences in
cross-references, and the Senate amendment refers to
consistency with State and local law, while the House bill in
subparagraph (B) following refers to consistency with State
law. See note 365.
SR
363. The House bill and the Senate amendment are the same
with the exception that the House bill specifically
references clauses regarding corrective action.
LC
364. The Senate amendment does not contain this provision.
SR
365. The House bill and the Senate amendment are similar,
with minor wording differences, and the Senate amendment, but
not the House bill, refers to consistency with State and
local law. See note 362 and subparagraph (B) in the House
bill.
SR
366. The House bill and the Senate amendment are similar.
HR with an amendment to strike ``deferring, reducing, or
withholding funds.'' and insert ``deferring programmatic
funds or reducing administrative funds'' in (vi).
367. The House bill does not contain this provision.
HR with an amendment to insert Report Language:
Report Language:
If an SEA chooses to implement a new curriculum as a means
of corrective action, such new curriculum shall significantly
depart from the existing curriculum in a manner aimed to have
the LEA attain adequate yearly progress. The conferees intend
that such new curriculum shall constitute a substantial
structural change to the LEA's curriculum that is consistent
with State academic content and academic achievement
standards and specifically address issues identified by the
plan developed by the local educational agency upon being
identified as in need of improvement.
368. The House bill refers to replacing personnel relevant
to the failure to make adequate yearly progress. The Senate
amendment refers to reconstituting personnel.
SR
369. The House bill and the Senate amendment are
substantially the same in the following three provisions.
LC
370. The Senate amendment does not contain a similar
provision.
SR with amendment to require LEA to use the 5% LEA
reservation and 10% flex reservation for transportation. (See
note 326)
371. The Senate amendment, but not the House bill, refers
to that corrective action taken pursuant to this paragraph.
The House bill refers to due process provided to LEAs, while
the Senate amendment refers to notice provided to LEAs. The
Senate amendment, but not the House bill, refers to a
timeline by which the hearing shall take place.
HR
372. The House bill and the Senate amendment are
substantially the same with the exception that the House bill
refers to specific dissemination outlets, while the Senate
amendment refers to a generally available medium.
LC
373. The House bill and the Senate amendment are
substantially the same with minor wording differences, and
the House bill, but not the Senate amendment, refers to the
financial resources of LEAs and schools.
LC with amendment to conform with note 311
374. The House bill does not contain a similar provision.
SR
375. The House bill and the Senate amendment are similar
with the exceptions of minor wording differences and that the
House bill allows for an LEA to make adequate yearly progress
two out of the three years following identification, while
the Senate amendment requires a LEA to make adequate yearly
progress for two consecutive years.
HR
376. The House bill does not contain this provision.
HR
377. The House bill and the Senate amendment have different
headings and are located in different subsections of section
1116 of each piece of legislation.
HR
378. The House bill and the Senate amendment provide the
option of supplemental services to parents if a school has
failed for 3 years to make adequate yearly progress, as
defined in each piece of legislation in Title I, part A, with
a technical difference in cross-references. The House bill
refers to ``each eligible child'' that is able to obtain
supplemental services, while the Senate amendment refers to
``to children in the school''. The House bill defines
``eligible child'' in subsection (d)(10)(A) (See note 414).
Both the House bill and the Senate amendment require the SEA
to approve supplemental service providers and allow parents
to choose from the approved providers. However, the House
bill, but not the Senate amendment, describes the minimum
elements of the ``reasonable criteria'' the SEAs shall use to
approve supplemental service providers.
HR/SR with amendment:
(#--LC) Supplemental Educational Services.--
(1) In the case of any school described in subsection [2nd
year of school improvement, corrective action, or
restructuring], the local educational agency serving such
school shall, subject to subparagraphs [(B) through (E)],
arrange for the provision of supplemental services to
eligible children in the school from a provider with a
demonstrated record of effectiveness, selected by the parents
and approved for that purpose by the State educational agency
in accordance with reasonable criteria that it shall adopt.''
Report Language:
The Conferees intend that a local educational agency shall
not be required to arrange for the provision of supplemental
services for a student, if the parent of such student has not
requested supplemental services.
379. The House bill, but not the Senate amendment,
references the criteria described in paragraph (d)(1) of the
House bill in regards to those supplemental service providers
that may be selected by parents. In addition, the House bill
requires the LEA to assist requesting parents with the
selection of a provider, while the Senate amendment contains
a similar provision in subsection (f)(2)(C) of the Senate
amendment. See note 388.
HR
380. The House bill contains a specific reference to a
contract between the LEA and a supplemental service provider,
while the Senate amendment generally refers to the
relationship between the LEA and the provider in subsection
(f)(1)(C)--(FINANCIAL OBLIGATION OF LEA) and (f)(2)(E) of the
Senate amendment.
HR/SR with amendment to insert the following and strike all
language (380--395 & 406):
(3) Local Educational Agency Responsibilities.--Each local
educational agency subject to this subsection shall--
(A) provide, at a minimum, annual notice to parents (in a
format and, to the extent practicable, in a language the
parents can understand) of--
(i) the availability of services under this subsection;
(ii) the approved providers of those services that are
within the school district served by the agency or whose
services are reasonably available in neighboring school
districts; and (iii) a brief description of the services,
qualifications, and demonstrated effectiveness of each such
provider;
(B) if requested, assist parents to choose a provider from
the list of approved providers maintained by the State;
(C) apply fair and equitable procedures for serving
students if spaces at approved providers are not sufficient
to serve all students;
(D) not disclose to the public the identity of any student
eligible for, or receiving, supplemental services under this
subsection without the written permission of the parents of
the student.

[[Page H9963]]

(E) Agreement.--In the case of the selection of a provider
by a parent, the local educational agency shall enter into an
agreement with such provider. Such agreement shall--
(i) require the local educational agency to develop, with
parents (and the provider they have chosen), a statement of
specific performance goals for the student, how the student's
progress will be measured, and a timetable for improving
achievement that, in the case of a student with disabilities,
is consistent with the student's individualized education
program under section 614(d) of the Individuals with
Disabilities Education Act;
(ii) describe how the student's parents and the student's
teacher or teachers will be regularly informed of the
student's progress;
(iii) provide for the termination of such agreement with a
provider that is unable to meet such goals and timetables;
and
(iv) contain provisions with respect to the making of
payments to the provider by the local educational agency;
(v) prohibit the provider from disclosing to the public the
identity of any student eligible for, or receiving,
supplemental services under this subsection without the
written permission of the parents of such student.
(4) State Educational Agency Responsibilities.--Each State
educational agency shall--
(A) promote maximum participation by providers, in
consultation with local educational agencies, parents,
teachers, and other interested members of the public, to
ensure, to the extent practicable, that parents have as many
choices of those providers as possible;
(B) develop and apply objective criteria, consistent with
paragraph [(6)], to potential providers that are based on a
demonstrated record of effectiveness in increasing the
academic proficiency of students in subjects relevant to
meeting the State academic content and student achievement
standards adopted under section 1111(b)(1);
(C) maintain an updated list of approved providers across
the State, by school district, from which parents may select;
and
(D) ensure supplemental services are provided the school
year following the date of enactment of the [NCLB Act].
Report Language:
The Conferees intend for State educational agencies to
actively consider the inclusion of providers who can deliver
high-quality distance learning in order to meet the purposes
of this section.
381. The House bill and the Senate amendment require the
LEA, the provider, and the child's parents to agree on the
goals and progress for the supplemental services provided,
although the Senate provision is in subsection (f)(2)(E) of
the Senate amendment. Also see note 390.
HR/SR with amendment to strike language (see note 380)
382. The Senate amendment does not contain a similar
provision.
HR/SR with amendment to strike language (see note 380)
383. The Senate amendment does not contain a similar
provision, although the Senate amendment does generally
reference the relationship between the LEA and the
supplemental service provider in subsection (f)(1)(C)--
(Financial Obligation of Lea) and (f)(2)(E) of the Senate
amendment.
HR/SR with amendment to strike language (see note 380)
384. The House bill and the Senate amendment require each
LEA required to provide supplemental services (see note 378)
to notify parents of the availability of supplemental
services, with the exception of some minor wording
differences.
HR/SR with amendment to strike language (see note 380)
385. The House bill and the Senate amendment require the
LEA to notify parents of the eligible supplemental service
providers, with the exception that the Senate amendment, but
not the House bill, requires notification to parents of those
providers within the district or in neighboring districts.
HR/SR with amendment to strike language (see note 380)
386. The House bill does not contain a similar provision.
HR/SR with amendment to strike language (see note 380)
387. The Senate amendment requires LEAs to inform providers
in that school district of the opportunity to provide
supplemental services and of the procedures for getting SEA
approval to provide those services. The House bill contains a
similar provision, but requires the SEA to notify all
providers of the opportunity to provide services, not just
those within a district, in subsection (d)(5)(E) of the House
bill.
HR/SR with amendment to strike language (see note 380)
388. See note 379.
HR/SR with amendment to strike language (see note 380)
389. The House bill does not contain a similar provision.
HR/SR with amendment to strike language (see note 380)
390. The Senate amendment, but not the House bill, requires
the child's parents to be informed of the child's progress on
a regular basis (however, see House bill subparagraph (6)(A)
regarding parental information required) (see note 400) and
the supplemental services are consistent with a child's IEP
under IDEA. Otherwise see note 381.
HR/SR with amendment to strike language (see note 380)
391. The House bill does not contain a similar provision.
HR/SR with amendment to strike language (see note 380)
392. The House bill and the Senate amendment require
consultation carrying out the responsibilities detailed in
the following subparagraphs, although the Senate amendment,
but not the House bill, contains more entities that shall be
consulted.
HR/SR with amendment to strike language (see note 380)
393. The House bill and the Senate amendment are similar
with the exceptions that the House bill, but not the Senate
amendment, requires consultation with LEAs and with minor
wording differences.
HR/SR with amendment to strike language (see note 380)
394. The House bill and Senate amendment are generally
similar in terms of requiring the SEA to develop criteria by
which to judge the eligibility of supplemental service
providers to participate. However, the Senate amendment, but
not the House bill, adds the word ``objective'' before
``criteria''. In addition, the Senate amendment, but not the
House bill, specifically references standards developed
pursuant to section 1111 of Title I, while the House bill
references these standards in paragraph (d)(1) and generally
in subparagraph (d)(6)(B).
HR/SR with amendment to strike language (see note 380)
395. The Senate amendment, but not the House bill, requires
the SEA to maintain a list of supplemental service providers
in the LEAs that must make supplemental services available.
HR/SR with amendment to strike language (see note 380)
396. The House bill and the Senate amendment require the
SEA to develop standards and techniques to monitor the
performance of supplemental service providers and to withdraw
SEA approval if such standards are not being met by the
providers. The Senate amendment, but not the House bill,
requires the SEA to publicly report on the nature of the
services offered by supplemental service providers. In
addition, the Senate amendment, but not the House bill,
refers to subparagraph (B) regarding standards. See note 394.
HR with an amendment to strike ``develop and implement''
and strike ``publicly report on,'' and insert as the first
clause in (D) ``develop, implement, and publicly report on''.
397. See note 387.
SR
398. The Senate amendment requires the SEA to ensure
supplemental service providers meet the codes listed. The
House bill contains a similar provision, with the exception
that the House bill, but not the Senate amendment, also
includes civil-rights laws. However, the House bill provision
is in subsection (d)(6)(C). See note 402.
SR
399. The Senate amendment does not contain a similar
provision, however similar elements can be found throughout
the Senate amendment. See the following notes for cross-
references.
SR
400. The Senate amendment does not contain a substantially
similar provision, however, see note 390 regarding
information required to be provided to parents on the
progress of their child.
SR
401. See note 382.
SR with an amendment to insert ``and is aligned with
academic achievement standards'' after ``and State,'' in (B).
402. See note 398.
SR
403. The Senate amendment does not contain a similar
provision.
SR
404. The House bill, but not the Senate amendment, sets a
limit on the administration and cost of providing
supplemental services to 40 percent of the Title I, part A,
subpart 2 per child allocation for each school identified as
having failed to meet adequate yearly progress for 3 years
(see note 378). The House bill defines ``per child
allocation'' in subparagraph (d)(10)(D). The Senate
amendment, but not the House bill, establishes the maximum
amount a LEA shall pay for supplemental services for each
child receiving services as either the LEA's Title I, part A,
subpart 2 allocation divided by the number of low-income
students in the district, or the actual cost of the services
received, whichever is less.
HR with amendment to insert after ``low-income families''
the following: ``(which, for the purposes of this
subparagraph shall mean poverty as used by the Census)''
405. The House bill does not contain a similar provision.
HR
406. The House bill does not contain a similar provision.
However, see notes 380 and 383.
HR/SR with amendment to strike language (see note 380)
407. The House bill, but not the Senate amendment, allows
an LEA to use up to 15% of its Title I, part A, subpart 2
allocation to pay for transportation costs associated with
providing supplemental services. The Senate amendment, but
not the House bill, allows an LEA to use not more than 15% of
its Title I, part A, subpart 2 allocation for supplemental
services as well as transportation costs related to public
school choice transportation costs referenced in subsection
(c)(9) of the Senate amendment. See note 326.
HR with amendment to strike ``15 percent'' and insert ``5
percent'' and to strike ``or to provide . . . (c)(9)'' and
for LC to add a reference to the ``flex pot'' at note 326.

[[Page H9964]]

408. The House bill does not contain a similar provision.
However, see note 404.
HR
409. The House bill does not contain a similar provision.
HR
410. The House bill does not contain a similar provision.
HR
411. The Senate amendment does not contain a similar
provision in Title I, part A. However, the Senate amendment
contains a provision in section 5331(b)(1)(Q) which
authorizes LEAs to use Innovative Program Strategies funds to
help pay the costs of supplementary services.
SR
412. The Senate amendment does not contain a similar
provision.
SR
413. The Senate amendment does not contain a similar
provision.
SR with amendment:
``(9) Duration.--The local educational agency shall continue
to provide supplemental educational services to a child
receiving such services under this subsection until the end
of the school year in which such services were received.''
414. The Senate amendment does not contain a similar
provision.
SR
415. The House bill and the Senate amendment are generally
similar in the definition of supplemental services. However,
the Senate amendment, but not the House bill, includes in the
definition the words ``high quality, research-based, focused
on academic content''. In addition, the House bill defines
the services as designed to help the student increase
achievement on the assessments required under section 1111 of
Title I, while the Senate amendment defines the services as
directed at raising student proficiency on the State's
standards generally.
SR with an amendment to insert the following:
``(B) supplemental educational services' means tutoring and
other supplemental academic enrichment services that are--
(i) in addition to instruction provided during the school
day; and
(ii) are of high quality, research-based, and specifically
designed to increase the academic achievement of eligible
children on the academic assessments required under section
1111 and attain proficiency in meeting the State's academic
achievement standards;''
416. The Senate amendment does not contain a similar
provision.
SR with an amendment to strike subparagraph (C) and insert
the following:
``(C) `provider' means a non-profit entity, a for-profit
entity, or a local educational agency which has a
demonstrated record of effectiveness in increasing student
academic achievement, and is capable of providing
supplemental instructional services that are consistent with
the instructional program of the local educational agency and
the academic standards described under section 1111, and is
financially sound.''
417. The Senate amendment does not contain a similar
provision regarding fiscal management.
SR
418. The Senate amendment does not contain a similar
provision. However, also see note 407.
HR
419. The Senate amendment does not contain a similar
provision.
SR
420. The House bill does not contain a similar provision.
HR with amendment to strike paragraph (4) and insert the
following:
``(4) Waiver.--(A) At the request of a local educational
agency, a State educational agency may waive, in whole or in
part, the requirement of this subsection to provide
supplemental services if the State educational agency
determines that--
``(i) none of the providers of those services on the list
approved by the State educational agency under [paragraph
(5)] makes those services available in the area served by the
local educational agency or within a reasonable distance of
that area; and
``(ii) the local educational agency provides evidence that
it is not able to provide those services.
``(B) The State educational agency shall notify the local
educational agency, within 30 days of receiving the local
educational agency's request for a waiver, whether the
request is approved or disapproved. If the waiver is
disapproved, the State educational agency shall respond in
writing within the same time frame with the reasons for the
disapproval.''
421. The House bill does not contain a similar provision.
HR with amendment to strike paragraph (5) and insert the
following:
``(5) Special rule.--If State law prohibits a State
educational agency from carrying out one or more of its
responsibilities under [paragraph (5)] with respect to those
who provide, or seek approval to provide, supplemental
services, each local educational agency in the State shall
carry out those responsibilities with respect to its students
who are eligible for those services.''
422. The Senate amendment does not contain a similar
provision.
SR with amendment:
(f) Schools Funded by the Bureau of Indian Affairs.--
(1) Adequate yearly progress for bureau funded schools.--
(A) (i) Development of definition.--The Secretary of the
Interior, in consultation with the Secretary of Education if
the Secretary of Interior requests it, using the process set
out in section 1138A [LC] of the Education Amendments of 1978
(25 U.S.C. 2001) [negotiated rulemaking for Bureau schools],
shall define adequate yearly progress, consistent with
section 1111(b), for the schools funded by the Bureau of
Indian Affairs on a regional or tribal basis, as appropriate,
taking into account the unique circumstances and needs of
such schools and the students served by such schools.
(ii) The Secretary of the Interior, consistent with clause
(i), may use the definition of adequate yearly progress that
the State in which the school that is funded by the Bureau is
located uses consistent with section 1111(b), or in the case
of schools that are located in more than one State, the
Secretary of the Interior may use whichever State definition
of adequate yearly progress that best meets the circumstances
and needs of such school or schools and the students they
serve.
(B) Waiver.--The tribal governing body or school board of a
school funded by the Bureau of Indian Affairs may waive, in
part or in whole, the definition of adequate yearly progress
established pursuant to paragraph (A) where such definition
is deemed by such body or school board to be inappropriate.
If such definition is waived, the tribal governing body or
school board shall, within 60 days thereafter, submit to the
Secretary of Interior a proposal for an alternative
definition of adequate yearly progress, consistent with
section 1111(b), that takes into account the unique
circumstances and needs of such school or schools and the
students served. The Secretary of the Interior, in
consultation with the Secretary of Education if the Secretary
of Interior requests it, shall approve such alternative
definition unless the Secretary determines that the
definition does not meet the requirements of section 1111(b),
having taken into account the unique circumstances and needs
of such school or schools and the students served.
(C) Technical assistance.--The Secretary of Interior shall,
in consultation with the Secretary of Education if the
Secretary of Interior requests it, either directly or through
a contract, provide technical assistance, upon request, to a
tribal governing body or school board of a school funded by
the Bureau of Indian Affairs that seeks to develop an
alternative definition of adequate yearly progress.
(2) Accountability for bia schools.--For the purposes of
this section, schools funded by the Bureau of Indian Affairs
shall be considered schools subject to subsection (b), as
specifically provided for in this subsection, except that
such schools shall not be subject to subsections (b)(1)(E)
[public school choice], (b)(9), (b)(10), (c) and (d).
(3) School improvement for bureau schools.--
(A) Contract and grant schools.--For a school funded by the
Bureau of Indian Affairs which is operated under a contract
issued by the Secretary of the Interior pursuant to the
Indian Self-Determination Act [25 USC 450 et seq.] or under a
grant issued by the Secretary of the Interior pursuant to the
Tribally Controlled Schools Act [25 USC 2501 et seq.], the
school board of such school shall be responsible for meeting
the requirements of subsection (b) relating to development
and implementation of any school improvement plan as
described in subsection(b)(1) through (b)(3) and subsection
(b)(5), except subsection (b)(1)(E)[public school choice].
The Bureau of Indian Affairs shall be responsible for meeting
the requirements of subsection (b)(4) relating to
technical assistance.
(B) Bureau operated schools.--For schools operated by the
Bureau of Indian Affairs, the Bureau shall be responsible for
meeting the requirements of subsection (b) relating to
development and implementation of any school improvement plan
as described in subsection(b)(1) through (b)(5) except
subsection (b)(1)(E)[public school choice].
(4) Corrective action and restructuring for bureau funded
schools.
(A) Contract and grant schools.--For a school funded by the
Bureau of Indian Affairs which is operated under a contract
issued by the Secretary of the Interior pursuant to the
Indian Self-Determination Act [25 USC {time} 450 et seq.] or
under a grant issued by the Secretary of the Interior
pursuant to the Tribally Controlled Schools Act [25 USC 2501
et seq.], the school board of such school shall be
responsible for meeting the requirements of subsection (b)
relating to corrective action and restructuring as described
in subsection (b)(7) and (b)(8). Any action taken by such
school board under subsection (b)(7) or (b)(8) shall take
into account the unique circumstances and structure of the
Bureau of Indian Affairs-funded school system and the laws
governing that system.
(B) Bureau operated schools.--For schools operated by the
Bureau of Indian Affairs, the Bureau shall be responsible for
meeting the requirements of subsection (b) relating to
corrective action and restructuring as described in
subsection (b)(7) and (b)(8). Any action taken by the Bureau
under subsection (b)(7) or (b)(8) shall take into account the
unique circumstances and structure of the Bureau of Indian
Affairs-funded school system and the laws governing that
system.
(5) Annual report.--On an annual basis, the Secretary of
the Interior shall report to the Secretary of Education and
to the [House

[[Page H9965]]

and Senate Committees] regarding any schools funded by the
Bureau of Indian Affairs which have been identified for
school improvement. Such report shall include--
(A) the identity of each school;
(B) a statement from each affected school board regarding
the factors that lead to such identification; and
(C) an analysis by the Secretary of the Interior, in
consultation with the Secretary of Education if the Secretary
of Interior requests it, as to whether sufficient resources
were available to enable such school to achieve adequate
yearly progress.
423. The House bill does not contain a similar provision.
HR with amendment to strike subsection (g) and insert new
subsection (g):
``(g) Other Agencies.--Pursuant to the notification
described in subsection (c)(13)(C), the Secretary may notify,
to the extent feasible and necessary as determined by the
Secretary, other relevant Federal agencies regarding the
major factors determined by the State educational agency that
have significantly impacted student achievement.''
424. The House bill, but not the Senate amendment, makes a
number of changes to current law by adding LEAs, changing the
references to standards and omitting paragraph (2) of
subsection (a) of current law. The Senate amendment retains
current law.
HR/SR with amendment to strike all and insert the
following:

SEC. 107. SCHOOL SUPPORT AND RECOGNITION.

Section 1117 is amended to read as follows:

``SEC. 1117. SCHOOL SUPPORT AND RECOGNITION.

``(a) System For Support.--Each State shall establish a
statewide system of intensive and sustained support and
improvement for local educational agencies and schools
receiving funds under this part, in order to increase the
opportunity for all students in those agencies and schools to
meet the State's academic content standards and student
academic achievement standards.
``(1) Priorities.--In carrying out this subsection, a State
shall--
``(A) first, provide support and assistance to local
educational agencies subject to corrective action under
section 1116 and assist schools, in accordance with section
1116(b)(11), for which a local educational agency has failed
to carry out its responsibilities under paragraphs (7) and
(8) of section 1116(b);
``(B) second, provide support and assistance to other local
educational agencies identified as in need of improvement
under section 1116(b); and
``(C) third, provide support and assistance to other local
educational agencies and schools participating under this
part that need that support and assistance in order to
achieve the purpose of this part.
``(2) Regional centers.--Such a statewide system shall, to
the extent practicable, work with and receive support and
assistance from the comprehensive regional technical
assistance centers and the regional educational laboratories
under section 941(h) of the Educational Research,
Development, Dissemination, and Improvement Act of 1994, or
other providers of technical assistance.
``(3) Provisions.--The system shall include at a minimum,
the following:
``(A) Approaches.--
``(i) In general.--In order to achieve the purpose
described in subsection (a), each such system shall give
priority to using funds made available to carry out this
section--

``(I) to establish school support teams for assignment to
and working in schools in the State that are described in
subsection (a)(1)(A) which shall be composed of persons
knowledgeable about scientifically based research and
practice on teaching and learning and about successful
schoolwide projects, school reform, and improving educational
opportunities for low-achieving students, including--
``(aa) highly qualified or distinguished teachers and
principals;
``(bb) pupil services personnel;
``(cc) parents;
``(dd) representatives of institutions of higher education;
``(ee) regional educational laboratories or comprehensive
regional technical assistance centers;
``(ff) outside consultant groups; or
``(gg) other individuals as the State educational agency,
in consultation with the local educational agency, may
determine appropriate.
``(II) to provide such support as the State educational
agency determines to be necessary and available to assure the
effectiveness of such teams .
``(III) Functions.--Each school support team assigned to a
school under this section shall--
``(aa) review and analyze all facets of the school's
operation, including the design and operation of the
instructional program, and assist the school in developing
recommendations for improving student performances in that
school;
``(bb) collaborate, with parents and school staff and the
local educational agency serving the school, in the design,
implementation, and monitoring of a plan that, if fully
implemented, can reasonably be expected to improve student
performance and help the school meet its goals for
improvement, including adequate yearly progress under section
1111(b)(2)(B);
``(cc) evaluate, at least semiannually, the effectiveness
of school personnel assigned to the school, including
identifying outstanding teachers and principals, and make
findings and recommendations to the school, the local
educational agency, and, where appropriate, the State
educational agency; and
``(dd) make additional recommendations as the school
implements the plan described in clause (ii) to the local
educational agency and the State educational agency
concerning additional assistance that is needed by the school
or the school support team.
``(ii) Continuation of assistance.--After 1 school year,
the school support team, in consultation with the local
educational agency, may recommend that the school support
team continue to provide assistance to the school, or that
the local educational agency or the State educational agency,
as appropriate, take alternative actions with regard to the
school.

``(iii) the designation and use of `Distinguished Teachers
and Principals', chosen from schools served under this part
that have been especially successful in improving academic
achievement.
``(iv) Alternatives.--The State may devise additional
approaches to providing the assistance described in
subsection (a), such as providing assistance through
institutions of higher education and educational service
agencies or other local consortia, and private providers of
scientifically based technical assistance.
``(b) State Recognition.--
``(1) Establishment of academic achievement awards
program.--
``(A) In general.--Each State receiving a grant under this
part shall establish a program for making academic
achievement awards to recognize and, as appropriate and as
funds are available under subsection (c)(3)(A), may
financially reward schools served under this part that have--
``(i) significantly closed the achievement gap between the
groups of students defined in section 1111(b)(2); or
``(ii) exceeded their adequate yearly progress goals,
consistent with section 1111(b)(2), for 2 or more consecutive
years.
``(B) Distinguished schools.--Of those schools meeting the
criteria described in subparagraph (A), each State shall
designate as distinguished schools those schools that have
made the greatest gains in closing the achievement gap as
described in clause (i) or exceeding adequate yearly progress
as described in clause (ii). Such designated schools may
serve as models and provide support to other schools,
especially schools identified for improvement under section
1116, to assist such schools in meeting the State's academic
content standards and student academic achievement standards.
``(C) Awards to teachers.--A State program under paragraph
(A) may also recognize and provide financial awards to
teachers teaching in a school described in such paragraph
that consistently makes significant gains in academic
achievement in the areas in which the teacher provides
instruction, or to teachers or principals designated as
distinguished under subsection (a)(3)(A)(iii).
``(c) Funds.--Each State--
``(1) shall use funds reserved under section 1003(a) and
may use funds made available under section 1002(j) for the
approaches described under subsection (a)(3)(A).'
``(2) shall use State administrative funds authorized under
section 1002(i) for such purpose to establish a Statewide
system of support described under subsection (a) and
``(3) (A) Reservation of funds by state.--
``(i) For the purpose of carrying out subparagraphs (A),
(B), or (C) of subsection (b), each State receiving a grant
under this part may reserve, from the amount (if any) by
which the funds received by the State under this part for a
fiscal year exceed the amount received by the State under
this part for the preceding fiscal year, not more than 5
percent of such excess amount; and
``(ii) For the purpose of carrying out subparagraph (C) of
subsection (b), a State educational agency may reserve funds
as necessary from [State activity reference] under Title II.
``(B) Use within 3 years.--Notwithstanding any other
provision of law, the amount reserved under paragraph (A) by
a State for each fiscal year shall remain available to the
State until expended for a period not exceeding 3 years.
``(C) Special allocation rule for schools in high-poverty
areas.--
``(i) In General.--Each State shall distribute at least 75
percent of the amount reserved under paragraph (A) for each
fiscal year to schools described in subparagraph (A), or to
teachers consistent with subsection (b)(1)(C).
``(ii) School described.--A school described in
subparagraph) (i) is a school whose student population is in
the highest quartile of schools statewide in terms of the
percentage of children from low income families.
425. The House bill and the Senate amendment are similar
except the House bill refers to the State, while the Senate
amendment refers to the SEA. There are also technical
differences in cross-references.
HR/SR with amendment (see note 424)
426. The House bill and the Senate amendment are similar
with a technical difference in cross-references. The House
bill only refers to LEAs, while the Senate amendment refers
to both LEAs and schools.
HR/SR with amendment (see note 424)
427. The House bill and the Senate amendment are the same.
HR/SR with amendment (see note 424)
428. The House bill does not contain this provision.

[[Page H9966]]

HR/SR with amendment (see note 424)
429. The House bill refers to technical assistance to
support the approaches listed while the Senate amendment
refers to giving priority to using available funds for the
approaches listed.
HR/SR with amendment (see note 424)
430. Both the House bill and the Senate amendment refer to
school support teams. However, there are major differences:
(1) The Senate amendment, but not the House bill, refers to
the assignment and working of such teams in schools described
in subsection (a)(3(A); (2) The House bill, but not the
Senate amendment, refers to scientifically based research and
practice on teaching and learning; (3) The Senate amendment,
but not the House bill, refers to schoolwide projects and
school reform; (4) The House bill refers to ``educational
results'', while the Senate amendment refers to ``educational
opportunities''; and (5) The Senate amendment, but not the
House bill, contains a specific list of required individuals.
HR/SR with amendment (see note 424)
431. The House bill does not contain a similar provision.
HR/SR with amendment (see note 424)
432. The House bill does not contain similar provisions.
The Senate amendment, but not the House bill, makes a number
of changes to current law. Clauses (i) and (ii) of the Senate
amendment are in current law. The Senate amendment adds the
functions in clauses (iii) and (iv).
HR/SR with amendment (see note 424)
433. The House bill does not contain similar provisions.
The Senate amendment, but not the House bill, makes a number
of changes to current law. The Senate amendment allows States
to identify any school served under the part as a
distinguished school, while current law refers to only those
schools that have exceeded the State's adequate yearly
progress definition for 3 consecutive years. The Senate
amendment also makes a technical change adding a parenthesis
and expands distinguished educators to teachers and
principals.
HR/SR with amendment (see note 424)
434. The House bill, but not the Senate amendment, refers
to ``Distinguished Educators'' chosen from schools served
under this part. The House bill and the Senate amendment are
similar as to the criteria of academic achievement. The
Senate amendment, but not the House bill, refers to State
recognition and provision of financial awards to teachers and
principals.
HR/SR with amendment (see note 424)
435. The House bill does not contain these provisions.
HR/SR with amendment (see note 424)
436. The House bill, but not the Senate amendment, makes a
number of changes to current law by changing the wording,
uses and cross-references in subsection (d) and by changing
cross-references in subsection (e). The Senate amendment
retains current law.
HR/SR with amendment (see note 424)
437. The Senate amendment does not contain a similar
section.
HR/SR with amendment (see note 424)
438. The House bill does not contain a similar section.
HR with amendment to move language to Title VI, part A with
amendments to language (See note 45 of Title VII).
439. The House bill and the Senate amendment retain current
law with no changes.
LC
440. The House bill does not contain the Senate amendment's
change to current law. Otherwise, the House bill and the
Senate amendment retain current law with no other changes.
HR
441. The House bill, but not the Senate amendment, makes a
number of changes to current law by adding a reference to
Early Reading First in subparagraph (D), replacing
subparagraphs (E) and (F) of current law with subparagraphs
(E) and (F) of the House bill. The Senate amendment retains
current law unchanged through subparagraph (F).
SR with amendment to strike subparagraph (E) and insert:
``(E) conduct, with the involvement of parents, an annual
evaluation of the content and effectiveness of the parental
involvement policy in improving the academic quality of the
schools served under this part, including identifying
barriers to greater participation by parents in activities
authorized by this section, including giving particular
attention to parents who are economically disadvantaged, are
disabled, have limited English proficiency, have limited
literacy, or are of any racial or ethnic minority background,
and use findings of such evaluation to design strategies for
more effective parental involvement, and to revise, if
necessary, the parental involvement policies described in
this section; and''
442. The House bill and the Senate amendment retain current
law with no changes in subparagraphs (A) and (B). The House
bill, but not the Senate amendment, contains a new
subparagraph (C) regarding the requirement that 95 percent of
funds must be distributed to schools served under this part.
SR
443. The House bill does not contain similar provisions.
SR
444. The House bill, but not the Senate amendment,
conditions the provision of notice to parents in a language
they can understand ``to the extent practicable'' and
includes the format parents can understand.
SR with an amendment to conform parental information with
note #168
445. The House bill does not contain this provision.
HR
446. The House bill and the Senate amendment retain current
law with no substantive changes through paragraph (c)(3).
LC
447. The House bill, but not the Senate amendment, makes a
number of changes to current law through subsection (e). The
Senate amendment retains current law. The House bill strikes
subparagraphs (B), (D) and (E) from current law in paragraph
(4). In addition, the House bill eliminates school-parent
compacts in current law in subsection (d), changes references
to assessments and changes cross-references in paragraph (5).
SR with amendment to strike paragraph (4) and insert the
following:
``(4) provide parents of participating children--
``(A) timely information about programs under this part;
``(B) a description and explanation of the curriculum in
use at the school, the forms of academic assessment used to
measure student progress, and the proficiency levels students
are expected to meet; and
``(C) if requested by parents, opportunities for regular
meetings to formulate suggestions and to participate, as
appropriate, in decisions relating to the education of their
children, and respond to any such suggestions as soon as
practicably possible; and''
And with amendment to strike subsection (d) and to replace
with current law subsection (d).
448. Both the Senate amendment and the House bill strike
the reference to National Education Goals. The House bill
refers to ``participating parents'', while the Senate
amendment refers to the parents of children served. The
Senate amendment, but not the House bill, conditions the
provision ``as appropriate''.
HR
449. The Senate amendment does not contain a similar
provision. The House bill, but not the Senate amendment,
makes a number of changes to current law. The Senate
amendment retains current law with the exception of the
addition of a new subparagraph (C). See next note.
SR with an amendment to insert ``such as literacy training
and using technology, as appropriate, to foster parental
involvement;'' to the end of paragraph (2).
450. The House bill does not contain a similar provision.
SR
451. The House bill, but not the Senate amendment, makes a
number of changes to current law by changing ``home'' to
``parents'' in paragraph (3), adding references in paragraph
(4), adding ``parents'' in paragraph (5) (current law (7)),
adding understandable language requirements in paragraph (6)
(current law (8)), omitting current law paragraphs (6) and
(12), and omitting words from paragraphs (9) (current law
(11)) and (11) (current law (14)). The Senate amendment
retains current law unchanged through paragraph (14).
SR with amendment to strike paragraphs (4) and (10) and
insert the following:
(4) shall, to the extent feasible and appropriate,
coordinate and integrate parent involvement programs and
activities with Head Start, Reading First, Early Reading
First, Even Start, the Home Instruction Programs for
PreSchool Youngsters, the Parents as Teachers Program, public
pre-school and other programs, and conduct other activities,
such as parent resource centers, that encourage and support
in more fully participating in the education of their
children.
(10) may arrange school meetings at a variety of times or
conduct in-home conferences between teachers or other
educators, who work directly with participating children,
with parents who are unable to attend such conferences at
school, in order to maximize parental involvement and
participation;
452. The House bill and the Senate amendment are similar
except that the House bill refers to the ``part'', while the
Senate amendment refers to the ``section'', which limits the
Senate amendment provision as compared to the House bill.
SR
453. The House bill, but not the Senate amendment, makes a
change to current law. The Senate amendment retains current
law.
SR
454. The House bill does not contain a similar provision.
HR with an amendment to strike ``which may . . .
technologies'' in (16)
455. The House bill and the Senate amendment refer to
``parents of migratory children''. Otherwise, the House bill,
but not the Senate amendment, makes a number of changes to
current law. The Senate amendment retains current law.
SR
456. The House bill does not contain similar provisions.
HR with amendment to strike all after ``existence and
purpose of such centers'' in subsection (g) AND to retain
subsection (h).
457. The House bill, but not the Senate amendment, makes a
number of changes to current law. The Senate amendment
retains current law. In addition, see also Senate provisions
regarding teacher quality programs in Title II.
SR with amendment to strike ``fully'' before ``qualified''
and insert ``highly'' in (a)(1) and to strike ``1 year or
more'' in (b)(1), insert ``State or local'' after ``formal''
in (b)(1)(C), strike ``before the date that is 1 year'' and
strike ``3'' and replace with ``4'' after ``not later than''
in (c), strike ``only'' in (f)(2), strike

[[Page H9967]]

``fully qualified'' before ``teacher'' and insert
``consistent with 1119'' after ``teacher'' in (f)(3)(A),
strike (f)(3)(B) and strike (g)(2).
Insert as new subsection (f)(3)(B) the following:
``(B) may assume limited duties that are assigned to
similar personnel who are not so paid, including duties
beyond classroom instruction or that do not benefit
participating children, so long as the amount of time spent
on such duties is the same proportion of total work time as
prevails with respect to similar personnel at the same
school.''
Insert as new subsections (a) and (b) and redesignate
subsequent subsections accordingly (make changes indicated
above first, strike subsection (a), and then add the
following new language):

``SEC. 1119. QUALIFICATIONS FOR TEACHERS AND
PARAPROFESSIONALS.

(a) Teachers Qualifications and Measurable Objectives.--
(1) In general.--Beginning with the first school year after
the effective date of this Act, each local educational agency
receiving assistance under this part shall ensure that all
teachers hired and teaching in a program supported with funds
under this part are highly qualified.
(2) State Plan.--As part of the plan described in section
1111, each State educational agency receiving assistance
under this part shall develop and submit to the Secretary a
plan to ensure that all teachers teaching within the State
are highly qualified not later than the end of the 2005-2006
school year. Such plan shall establish annual measurable
objectives for each local educational agency and school,
that, at a minimum--
(A) shall include an annual increase in the percentage of
highly qualified teachers at each local educational agency
and school, to ensure that all teachers teaching in core
academic subjects in each public elementary school and
secondary school are highly qualified not later than the end
of the 2005-2006 school year;
(B) shall include an annual increase in the percentage of
teachers who are receiving high-quality professional
development to enable such teachers to become highly
qualified and successful classroom teachers; and
(C) may include such other measures as the State
educational agency deems appropriate to increase teacher
qualifications.
(3) Local plan.--As part of the plan described in section
1112, each local educational agency receiving assistance
under this part shall develop and submit to the State
educational agency a plan to ensure that all teachers
teaching within the local educational agency and each school
are highly qualified not later than the end of the 2005-2006
school year.
(b) Reports.--
(1) Annual State and Local Reports.--
(A) Each State educational agency described under
subsection (a) shall require each local educational agency
receiving funds under this part to publicly report, each
year, beginning in the 2002-2003 school year, the annual
progress of the local educational agency as a whole and of
each of its schools, in meeting the measurable objectives
described in subsection (a)(2).
(B) Each State educational agency receiving assistance
under this part shall prepare and submit each year, beginning
in the 2002-2003 school year, a report to the Secretary,
describing the State educational agency's progress in
meeting the measurable objectives described in subsection
(a)(2).
(C) A State or local educational agency may submit
information from the reports described in section 1111[(h)--
LC] for the purposes of this subsection, if such report is
modified, as may be necessary, to contain the information
required by this subsection, and may submit such information
as a part of the reports required under section 1111[(h)--
LC].
(2) Annual Reports by the Secretary.--Each year, beginning
in the 2002-2003 school year, the Secretary shall publicly
report the annual progress of State educational agencies,
local educational agencies, and schools in meeting the
measurable objectives described in subsection (a)(2),
including the information submitted pursuant to paragraph
(1)(B).
458. The House bill, but not the Senate amendment, includes
this provision, which the Senate amendment does not. The
Senate amendment retains current law.
(Notes 458-469).
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
459. The Senate amendment, but not the House bill, refers
to supporting professional development activities and
includes paraprofessionals, pupil services personnel, and
parents. See note 40 regarding references to standards.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
460. The Senate amendment does not contain this provision.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
461. The House bill and the Senate amendment are similar
with the exception that the House bill, but not the Senate
amendment, refers to ``scientifically based'' research.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
462. The Senate amendment does not contain similar
provisions and instead retains current law.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
463. The Senate amendment, but not the House bill, contains
an exception to the prohibition.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
464. Both the House bill and the Senate amendment strike
the reference to Title III of the Goals Act, which the House
bill does by striking the entire subparagraph referenced by
the Senate amendment.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
465. The Senate amendment does not contain similar
provisions.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
466. The House bill and the Senate amendment are the same
with minor wording differences.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
467. The House bill and the Senate amendment are
substantially the same.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
468. The House bill does not contain a similar provision.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
469. The House bill, but not the Senate amendment, makes a
number of changes to current law by redesignating current law
paragraph (2) as subsection (c), omitting current law
paragraphs (G), (H), and (I), changing the references to and
uses of assessment assessments in paragraph (1), and by
changing a change in subsection (d). The Senate amendment
retains current law.
HR/SR with an agreement to move redrafted definition of
``Professional Development'' to General Provisions. (See
Teacher Offer notes 174-193).
470. Both the House bill and the Senate amendment strike
the reference to Goals 2000. Otherwise, the House bill, but
not the Senate amendment, makes changes to current law by
referring to ``consolidation''. The Senate amendment retains
current law.
HR
471. The House bill, but not the Senate amendment, makes a
number of changes to current law by omitting current law
paragraphs (1) and (d) of subsection (h). The Senate
amendment retains current law.
SR
472. The House bill does not contain a similar provision.
HR with amendment to strike subsection (j) and insert as
new subsection (j):
``(j) Each local educational agency that receives funds
under this part shall use not less than 5 percent or more
than 10 percent of such funds for each of fiscal years 2002
and 2003, and not less than 5 percent of the funds for each
subsequent fiscal year, for professional development
activities to ensure that teachers who are not highly
qualified become highly qualified not later than the end of
the 2005-2006 school year.''
473. The House bill and the Senate amendment are
substantially the same regarding addressing the needs and
ensuring participation of teachers and families in the
activities of the sections indicated, with a technical
differences in cross-references.
LC
474. The House bill and the Senate amendment retain current
law with no changes.
LC
475. The House bill and the Senate amendment are the same
regarding the timely provision of services and benefits.
LC
476. The House bill and the Senate amendment are similar
regarding the LEA determination.
LC
477. The House bill, but not the Senate amendment, makes a
change to current law by replacing ``shall'' with ``may''.
The Senate amendment retains current law.
HR
478. The House bill and the Senate amendment retain current
law with no changes.
LC
479. The House bill and the Senate amendment are the same.
LC
480. The House bill and the Senate amendment are the same
with a minor wording difference.
LC
481. The House bill, but not the Senate amendment, makes
changes to current law by referring to ``funds generated
...''. The Senate amendment retains current law.
HR
482. The Senate amendment does not contain this provision.
SR
483. The House bill and the Senate amendment are similar
with minor wording differences.

[[Page H9968]]

LC
484. The House bill, but not the Senate amendment, makes a
number of changes to current law by including and describing
``meetings''. The Senate amendment retains current law.
SR
485. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
486. The House bill and the Senate amendment are similar,
except the Senate amendment, but not the House bill, contains
a description of what the LEA shall do if a private school
declines to participate and the requirement of the LEA to
notify the private school each year of the opportunity to
participate.
HR/SR with amendment to strike paragraph (4) and insert new
paragraph (4):
``(4) Documentation.--Each local educational agency shall
maintain in its records and provide to the State educational
agency a written affirmation signed by officials of each
participating private school that the consultation required
by this section has occurred. If such officials do not
provide such affirmation within a reasonable period of time,
the local educational agency shall forward the documentation
that such consultation has taken place to the State
educational agency. Such officials who do not provide such
affirmation may appeal to the State educational agency,
consistent with subsection [#--LC], regarding any failure of
the local educational agency to provide the consultation
required by this section.''
487. The House bill and the Senate amendment are similar,
except the House bill refers the ``State'' throughout and the
Senate amendment refers to the SEA throughout. In addition,
there are other minor wording differences.
LC
488. The House contains the same provision in section
1113(c)(2). See note 212.
HR with an amendment to insert new subparagraph (D):
``(D) using an equated measure of low-income correlated
with the measure of low-income used to count public school
children.''
489. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
490. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
491. The House bill and the Senate amendment retain current
law with no substantive changes.
LC
492. The House bill and the Senate amendment refer to the
same provision in the references but the cross-references
differ.
LC
493. The House bill and the Senate amendment are
substantially the same with minor differences in wording.
LC
494. The House bill and the Senate amendment retain current
law with no substantive changes.
HR/SR to move language to FIE
495. The House bill does not contain this provision.
SR
496. The House bill and the Senate amendment retain current
law with no substantive changes.
LC and SR with amendment to strike ``English language
instruction'' and replace with ``language instruction
educational program'' in paragraph (5)(A).
497. The House bill and the Senate amendment have different
section headings. In addition, the House bill, but not the
Senate amendment, omits much of current law.
SR
498. The House bill, but not the Senate amendment, makes a
number of changes to current law by adding references to
Early Reading First throughout and adding paragraph (5). The
Senate amendment retains current law.
SR
499. The House bill refers to the Head Start Act, while the
Senate amendment refers to the Head Start Amendments of 1998.
SR
500. The House bill does not contain similar provisions.
HR with amendment to strike all language and add a new
subsection (d):
``(d) Early Childhood Services.--A local educational agency
may use funds received under this part to provide high
quality preschool services.''
SR--Limitation on funds
501. The House bill does not contain this section.
HR with amendment to strike all language and add a new
subsection (e):
``(e) A local educational agency may use funds received
under this part to extend the length of the school year.''

Title I, Part B--Reading First

1. The House bill and the Senate amendment both authorize
$900 million for FY 2002. In the out years, the House bill
authorizes such sums for 4 succeeding fiscal years and the
Senate amendment authorizes such sums for 6 succeeding fiscal
years.
HR with amendment to go to 5 succeeding years.
2. The House bill and the Senate amendment authorize $75
million in FY 2002. The House amendment authorizes such sums
for 4 succeeding fiscal years and the Senate Amendment
authorizes such sums for 6 succeeding fiscal years.
SR with amendment to go to 5 succeeding years.
3. The House bill authorizes $275 million for FY 2002 and
such sums for 4 succeeding fiscal years and the Senate
Amendment authorizes $250 million for FY 2002 and such sums
for 6 succeeding fiscal years.
SR with an amendment to authorize $260 million for FY 2002
and such sums for 5 succeeding years.
4. The House bill authorizes such sums for FY 2002 and for
the 4 succeeding fiscal years. The Senate amendment
appropriates $25 million for FY 2002 and such sums for 6
succeeding fiscal years.
HR/SR (no authorization because moved to FIE).
5. The Senate amendment authorizes $500 million for a
school library program, the House bill does not.
HR with an agreement to authorize program at $250 million
(with a trigger for a formula grant at $100 million).
6. The House bill includes findings, the Senate amendment
does not.
HR
7. The House bill and the Senate amendment contain similar
provisions.
LC
8. Identical
LC
9. The House bill includes reference to special education
teachers.
SR
10. The House bill references ``classroom instruction.''
HR (see note 11)
11. The Senate amendment references ``classroom-based
instructional assessments.''
HR with amendment to strike ``screening . . . assessments''
and insert ``screening, diagnostic, and classroom-based
instructional reading assessments.''
LC make three terms uniform throughout Title I, part B.
Insert ``learning systems,'' after ``effective,'' in (4).
Insert ``including classroom-based materials to assist
teachers in implementing the essential components of reading
instruction,'' after ``instructional materials'' in (4).
12. The Senate amendment includes ``family literacy
programs''.
HR
13. The House bill requires states to show progress after
the third year of funding, or risk losing future funding
under Reading First. The Senate amendment does not include
this provision.
SR with an amendment to conform list of groups in
(B)(i)(II) to list of groups for accountability purposes
under Title I (A).
14. The House bill reserves 1 percent for national
activities. The Senate amendment authorizes 1 percent ($9
million) funds for all national activities, including the
external evaluation and technical assistance. In addition the
House bill reserves $30 million or 3 percent, whichever is
less, for the external evaluation.
HR with an amendment to cap Reservation from appropriations
for external evaluation at 2.5% or $25 million, which ever is
less.
15. Identical provision.
HR with an amendment to insert the following language as
new Senate (3):
(3) beginning with 2004, shall reserve annually not more
than 10 percent or $90 million, whichever is less, from funds
appropriated for this part in excess of the amount
appropriated for FY 2003 to carry out 1207(d).''
(Legislative language to be finalized after ratification).
16. The House bill provides 80 percent of funds to States
via formula with the remainder for the Secretary to
distribute via competitive grants. The Senate amendment
provides 100 percent of funds to State via formula for the
first two years, after which 25 percent is for competitive
grants from the Secretary.
HR with an amendment to strike (A) and (B).
17. The House bill has a formula based on school age
population below the poverty line. The Senate amendment uses
a Title I formula.
SR
18. The House bill includes an allotment for Puerto Rico.
The Senate has no comparable provision.
SR
19. The Senate amendment has no similar provisions.
SR with an amendment to insert special rule:
``Special Rule.--In allocating funds to school districts
which successfully compete for and win grants under Reading
first, state educational agencies would allocate, at a
minimum, to each district the same percentage such district
receives of Title I dollars as compared to the title I amount
received by all school districts. In awarding grants, SEA's
shall give priority to school districts with 15 percent or
greater poverty or 6,500 poor children.''
(Legislative language to be finalized after ratification).
LC--place appropriately.
20. Identical provision.
LC
21. Identical provisions.
HR
22. Identical provisions.
HR
23. Identical provisions.
HR
24. Similar language with different headings.

[[Page H9969]]

HR
25. The House bill refers to eligible LEAs who have the
``highest percentages''; The Senate amendment refers to ``a
high number'' of students.
HR with an amendment to strike ``a high'' and insert ``the
highest'' before ``numbers or percentages'' in (4)(A).
26. The House bill requires LEAs to have a ``significant
number'' of schools identified for school improvement and the
Senate amendment requires LEAs to have at least one school in
school improvement.''
SR with an amendment to strike ``significant number'' and
insert ``significant number or percentage''.
27. The House bill (ii) uses a definition based on the
``greatest number or percentages'' based on school age
population below the poverty line, while the Senate amendment
(iii) uses the ``number of children counted under Title I''.
HR with an amendment to strike ``a high'' and insert ``the
highest''.
28. Similar provision.
SR with an amendment striking last clause, ``as determined
. . . tools.''
29. The House bill does not include (B).
HR
30. The House bill states LEAs ``may'' provide funds to
schools meeting (A) and (B) and the Senate amendment states
they ``shall'' provide funds to schools meeting (A), (B) or
(C).
LC
31. The House bill uses ``highest percentages of students''
and the Senate amendment uses ``a high percentage of
students.''
SR with an amendment to insert ``or numbers'' after
``percentages''
32. Identical provisions except for different references.
LC
33. The House bill uses the ``greatest numbers or
percentages of children from low income families'', and the
Senate amendment uses ``a high percentage of children counted
under Sec. 1124.''
HR with an amendment to strike ``have a high percentage''
and insert ``has the highest percentage or number''.
34. The House bill allows for ``selecting and administering
assessments, and adds ``screening'', and ``tools'' to the
diagnostic assessments. The Senate amendment allows for
``selecting, developing and administering assessments.''
SR with an amendment to strike ``rigorous diagnostic
reading and screening assessment tools'' and insert
``screening, diagnostic, and classroom-based instructional
reading assessments.''
35. The House bill references ``classroom'' reading
instruction, the Senate amendment does not.
SR with an amendment to insert ``learning system'' after
``a'' and before ``program,'' and strike ``classroom''.
Report Language:
The Conferees intend State educational agencies and local
educational agencies to be able to select from a wide variety
of quality programs and interventions to fund under Reading
First and Early Reading First, including small group and one
to one tutoring, so long as those programs are based in
research meeting the criteria in the definition of
scientifically based reading research.
36. The House bill refers to the ``essential components of
reading instruction''. The Senate amendment refers to ``major
components of reading instruction.''
SR
37. Identical provision.
LC
38. Identical provision.
LC
39. Identical provision.
LC
40. Identical provision.
LC
41. The House bill adds ``(ee) are deficient in their
phonemic awareness, phonics skills, vocabulary development,
oral reading fluency, or comprehension strategies; or''. The
Senate amendment has no similar provision.
SR with an amendment to strike ``their . . . comprehension
strategies,'' insert ``the essential components of reading
instruction,''
42. Identical provision.
LC
43. The Senate amendment refers to ``education technology
such as software and other digital curricula,'' The House
bill does not.
HR
44. The House bill refers to ``special education teachers''
of grades K-12. The Senate amendment does not.
SR
45. The House bill uses ``essential'' the Senate amendment
uses ``major'' components.
SR
46. The House bill uses the term ``based''. The Senate
amendment uses the term ``grounded.''
SR
47. The House bill adds ``screening'' and ``tools'' to
classroom assessments.
HR with an amendment to strike ``rigorous diagnostic
reading assessments'' and insert ``screening, diagnostic, and
classroom-based instructional reading assessments.''
48. Identical provision.
LC
49. The Senate amendment has no similar provision.
SR with an amendment to insert ``reading in'' before
``accordance with''.
50. The House bill refers to library services in (B)(ii).
HR with an amendment to insert Prime Time Family Reading
Time.
51. The House bill and the Senate amendment include
provisions related to providing training to volunteers. The
House bill includes parents and is optional. The Senate
amendment requires these activities.
SR with an amendment to strike House (i) insert the
following language:
``An LEA may use funds to provide training to parents and
other individuals in the Essential Components of reading
instruction who volunteer to be reading tutors for students
to enable such volunteers to support instructional practices
that are based on scientifically-based reading research and
being used by the student's teacher.''
Report Language:
``The Committee recognizes the value of research-based,
structured learning systems that incorporate community and
parental involvement in reading, targeted to low-performing
K-12 student populations, that are aligned to state standards
and create a high level of accountability. Recently
implemented programs, including the HOSTS Language Arts
program, in Texas, Ohio, Florida, Delaware, and Michigan have
impacted a critical mass of students, and assisted schools in
significantly improving student reading levels, raising
student achievement and test results, and overall school
performance.
``It has been proven that these programs significantly
reduce academic failure, promote school safety, and decrease
dropout, substance abuse, teen pregnancy, crime, and
unemployment rates. Specifically, the Committee believes
these intensive, research-based learning systems that utilize
teacher oversight, dramatically increase student achievement
and implement the recommendations of the National Reading
Panel.''
52. The House bill and Senate amendment include provisions
related to family literacy services and parental involvement.
The House bill provision is optional. The Senate bill
requires this activity.
SR with an amendment to strike House (ii) and insert the
following language:
``An LEA may use funds to assist parents, through the use
of materials and reading programs, strategies and approaches,
including family literacy services, that are based on
scientifically-based reading research to encourage reading
and support their child's reading development.''
53. The House bill contains no similar provision. The
Senate amendment makes collecting and summarizing data a use
of funds.
HR (move to ``required list'').
54. The House bill has no similar provision.
HR with an amendment to conform list of groups in
(H)(ii)(I) to list of groups referenced in Section 1203
(b)(2)(B)(i)(II)--(See note 13).
55. The House bill has 2 percent and the Senate amendment
has 5 percent.
HR with an amendment to strike ``5'' and insert ``3.5''.
56. The House bill allows not more than 15 percent for
professional development. The Senate amendment allows ``not
more than 20 percent for professional development; technical
assistance, planning, administration and reporting. [( c)(6)]
HR
[Note.--The following language coordinates with notes 56-
75]
``(d) Other State Uses of Funds.--
(1) In general.--A State educational agency that receives a
grant under this section may expend not more than a total of
20 percent of the grant funds to carry out the activities
described in paragraphs (3), (4), and (5).
(2) Priority.--A State shall give priority to carrying out
the activities described in paragraphs (3), (4), and (5) for
schools described in subsection (c)(6).
(3) Professional development.--A State may expend not less
than 65 percent of the amount of the funds made available
under paragraph (1) to develop and implement a program of
professional development for teachers, including special
education teachers, of grades kindergarten through 3 that--
(A) will prepare these teachers in all the essential
components of reading instruction;
(B) shall include--
(i) information on instructional materials, programs,
strategies, and approaches based on scientifically-based
reading research, including early intervention and reading
remediation materials, programs, and approaches; and
(ii) instruction in the use of rigorous diagnostic reading
and screening assessment tools and other procedures that
effectively identify students who may be at risk for reading
failure or who are having difficulty reading; and screening,
diagnostic, and classroom-based instructional reading
assessments; and
(C) shall be provided by eligible professional development
providers.
(4) Technical assistance for local educational agencies and
schools.--A State may expend not more than 25 percent of the
amount of the funds made available under paragraph (1) for
one or more of the following authorized State activities--
(A) Assisting local educational agencies in accomplishing
the tasks required to design and implement a program under
this subpart, including--
(i) selecting and implementing a program or programs of
classroom reading instruction based on scientifically based
reading research;
(ii) selecting rigorous diagnostic reading and screening
assessment tools; and screening, diagnostic, and classroom-
based instructional reading assessments; and

[[Page H9970]]

(iii) identifying eligible professional development
providers to help prepare reading teachers to teach students
using the programs and assessments described in subparagraphs
(A) and (B).
(B) Providing expanded opportunities to students in grades
kindergarten through 3 within eligible local educational
agencies for receiving reading assistance from alternative
providers that includes--
(i) a rigorous diagnostic reading assessment; and
screening, diagnostic, and classroom-based instructional
reading assessments; and
(ii) as need is indicated by such assessments, instruction
based on scientifically-based reading research that includes
the essential components of reading instruction.
(5) Planning, administration, and reporting.--
(A) In general.--A State may expend not more than 10
percent of the amount of funds made available under paragraph
(1) for the activities described in this paragraph.
(B) Planning and administration.--A State that . . .
(C) Annual reporting.--. . .

* * * * *

(6) Funds not used for state-level activities.--Any portion
of the funds described in paragraph (1) that a State does not
expend to carry out the activities described in paragraphs
(3), (4), and (5) shall be expended for the purpose of making
subgrants in accordance with subsection (c).''
57. The Senate amendment prioritizes eligible entities.
HR--See note 56
58. The House bill includes ``special education teachers.''
HR with an amendment inserting ``special education
teachers'' after ``teachers''. See note 56
59. The Senate amendment allows ``100 percent of the state
reservation to be used for professional development.
HR--See note 56
60. The House bill refers to the term ``essential''
components; The Senate amendment refers to ``major''
components.
SR--See note 56
61. Identical language
HR with an amendment to strike ``grounded'' and insert
``based''. See note 56
62. The House bill includes ``screening assessment tools.''
HR with the three terms (see note 11). See note 56
63. Identical provision.
LC--See note 56
64. The House bill includes a section to strengthen and
enhance professional development courses in reading, and to
insure that such courses in reading instruction ensure that
the courses meet the highest standards, prepare a report on
the findings and make the information available to the
public.
SR with an amendment to strike ``professional development''
and insert ``pre-service education and training'' after
``enhance'' in (ii). See note 56
65. The House bill requires certain unused funds to be
allocated for reading grants. The Senate amendment has no
comparable provision.
SR with an amendment to insert ``not used for State level
activities'' after ``funds'' and strike ``subparagraph (A)''
and insert ``(d)(1)''. See note 56
66. The Senate amendment allows for up to 25 percent of the
State reservation to be used for technical assistance. This
would equal 5 percent of the total state allotment. The House
bill allows for up to 3 percent of the state allotment to be
used for such purposes.
HR with an amendment to insert:
15 for PD
3 for TA--Up to 5 for TA
2 for admin
(See note 56 for language (4))
67. The House bill refers to the implementation of a
``classroom reading program.'' The Senate amendment does not
refer to ``classroom instruction.''
HR--See note 56
68. The House bill uses ``based'' the Senate amendment uses
``grounded.''
SR with an amendment to strike ``classroom''. See note 56
69. The House bill adds ``screening'' and ``tools'' to
diagnostic assessments.
SR with an amendment to use three words (see note 11). See
note 56
70. Identical provision.
LC--See note 56
71. Similar provision.
HR--See note 56
72. The House bill includes ``screening'' and ``tools.''.
HR with amendment to strike ``rigorous . . . tools'' and
insert three terms (see notes 11 and 56).
73. The House bill refers to ``essential'' components; the
Senate amendment refers to ``major'' components.
SR--See note 56
74. The Senate amendment allows for up to 25 percent of the
state reservation to be used for planning, administration and
reporting. The House bill allows for up to 2 percent for
similar activities.
HR with an amendment (see note 56 for language (5)).
75. The Senate amendment provides for ``collecting and
summarizing data to document the effectiveness of this
subpart and to stimulate improvement by identifying LEAs that
produce significant gains in reading achievement. The House
bill requires evaluation on a 'regular basis' to determine if
more children are reading at or above grade level.
SR--See note 56
76. The Senate amendment requires additional data. The
House bill does not.
SR with an amendment to insert House language from Sec.
1203 (B)(i)(II).
``(ii) Information included.--The progress report shall
include information on the progress the State, and local
educational agencies within the State, are making in reducing
the number of students served under this subpart in the first
and second grades who are reading below grade level, as
demonstrated by such information as teacher reports and
school evaluations of mastery of the essential components of
reading instruction. The report shall also include evidence
from the State and its local educational agencies that they
have significantly increased the number of students reading
at grade level or above, significantly increased the
percentages of students in ethnic, racial, and low-income
populations who are reading at grade level or above, and
successfully implemented this subpart.''
77. Identical provision.
LC see note 76.
78. The House bill and the Senate amendment require the
state to annually report on the implementation of this
program.
SR with an amendment to conform list of groups in
(d)(C)(ii) to list of groups referenced in Section 1203
(b)(2)(B)(i)(II)--(See note 13).
See note 76.
79. The House bill refers to ``set forth'' the Senate
amendment refers to ``reported.''.
HR
80. Identical provision.
HR
81. The House bill has no comparable ``Prime Time Family
Reading Time (paragraph (6)).
HR with an amendment to move to Note 50.
Report Language:
The conferees intend that funding for this activity be used
for a library humanities-based program consisting of reading,
discussion and storytelling that helps low-literacy families
bond around the act of reading and learning together and
fosters high academic expectations and achievement for
children and their parents.
82. The Senate amendment does not have a comparable
``Recommendations Section.''
HR
83. Identical provision.
LC
84. The House bill does not have any comparable provision.
HR
85. Identical provision.
HR/LC
86. Identical provision.
HR/LC
87. Identical provision.
HR with an amendment to insert the following language:
``including participation, if requested, of State and Local
Education Agencies in all national evaluations under this
subpart.'' after ``activities under this subpart'' in (1)(B).
88. The House bill has no comparable provision.
HR/SR with an amendment to insert the following language
(correlates to notes 88-94):
``2. A State plan containing a description of the
following:
``A. How the State will assist local educational agencies
in identifying rigorous diagnostic reading assessments.
``B. How the State will assist local educational agencies
in identifying instructional materials, programs, strategies,
and approaches, grounded on scientifically based reading
research, including early intervention and reading
remediation materials, programs and approaches.
``C. How the State educational agency will ensure that
professional development activities related to reading
instruction and provided under this subpart are--
``i. Coordinated with other Federal, State and local level
funds and used effectively to improve instructional practices
for reading; and
``ii. Based on scientifically based reading research.
``D. How the activities assisted under this subpart will
address the needs of teachers and other instructional staff
in implementing the essential components of reading
instruction.
``E. How subgrants made by the State educational agency
under this subpart will meet the requirements of this
subpart, including how the State educational agency will
ensure that local educational agencies receiving subgrants
under this subpart will use practices based on scientifically
based reading research.
``F. How the State educational agency will, to the extent
practicable, make grants to subgrantees in both rural and
urban areas.
``G. How the State educational agency will build on, and
promote coordination among literacy programs in the State
(including federally funded programs such as the Adult
Education and Family Literacy Act, the Individuals with
Disabilities Education Act, and Early Reading First), in
order to increase the effectiveness of the programs in
improving reading for adults and children and to avoid
duplication of the efforts of the program; and
H. How the State will assess and evaluate, on a regular
basis, local educational agency activities assisted under
this subpart, with respect to whether they have been
effective in achieving the purposes of this subpart.
``I. Any other information that the Secretary may
reasonable require.''

[[Page H9971]]

89. Identical provision.
HR/SR with an amendment (see note 88).
90. Similar provision.
HR/SR with an amendment (see note 88).
91. Identical provision.
HR/SR with an amendment (see note 88).
92. Similar provision.
HR/SR with an amendment (see note 88).
93. The Senate amendment has no comparable provision on
participation in the national external evaluation.
HR/SR with an amendment (see note 88).
94. The House bill has no comparable sections (C) through
(H).
HR/SR with an amendment (see note 88).
95. Identical provision.
HR with an amendment to insert ``including an individual
who has expertise in student screening, diagnostic, and
classroom assessments of the essential components of reading
instruction,'' before ``based on scientifically based reading
research'' in (B).
96. Similar provisions.
SR
97. The House bill refers to a special education teacher.
The Senate amendment does not.
SR
98. The House bill has no comparable provision.
HR with an amendment to strike ``notwithstanding . . .
paragraph (1)'' and insert in its place, ``consistent with
the provisions of this part.''
99. The House bill gives the Secretary the authority to
allot 20 percent for awarding 2 year competitive grants after
approval of the 5 year formula grant application of the
State. The Senate amendment, beginning in 2004, authorizes
the Secretary to reserve 25 percent of funds for competitive
grants.
HR/SR with an amendment to:
Strike House (a) and (b) and (b)(1) and (b)(2);
Strike Senate (a) and (b)(1);
Strike ``Competitive'' and insert ``Targeted Assistance''
in Senate (2);
Strike Senate (A) and (3);
Keep Senate (B), and (5);
Keep Senate (C) and strike ``screening ... assessments and
insert three terms;
Keep Senate (4) and strike ``or (3)'';
Conform (b)(2)(B) to list of groups for accountability
purposes under Title I (A).
**Senate (B) on page 20--HR/LC**
100. The House has the expert Peer Review Panel recommend
applicants to the Secretary for the awarding of discretionary
grants. The Senate amendment has no comparable provision.
SR with an amendment to strike House (A) and (B) and insert
Senate (i) (ii) and strike ``or (3).'' in (ii).
101. The House bill has no comparable provision.
HR
102. The Senate amendment has no comparable provision.
HR
103. Similar provision.
LC
104. Similar provision.
SR
105. The Senate amendment uses the ``adequate yearly
progress'' standard.
SR with an amendment to reference criteria in 1223(B)(2).
106. Similar provisions.
HR/SR and delete.
107. The House bill has no similar provision.
SR
108. Similar provision.
SR/LC
109. The House bill includes a definition of ``state.'' The
Senate amendment does not have definition in this subpart but
states that the General Provisions definitions apply.
HR
110. There is no comparable provision in the House bill.
SR
111. There are no comparable provisions in the House bill.
SR
112. Similar Provision.
SR with an amendment to strike ``shall use only . . . this
subpart and'' in (b); Strike ``rigorous . . . tools'' in (6)
and insert ``screening, diagnostic, and classroom-based
instructional reading assessments.''
113. The Senate amendment includes, at a minimum, the
evaluation of services, provided to children under this
subpart with respect to their referral and eligibility for
special education services under IDEA (based on their
difficulties in learning to read).
HR/SR with an amendment to insert the following combined
and new language:
``Sec. 1207. National Activities.--From funds reserved
under section 1203(b)(1)(D) the Secretary--
``(a) may provide technical assistance in achieving the
purposes of this subpart to States, local educational
agencies, and schools requesting such assistance.
``(b) shall, at a minimum, evaluate the impact of services
provided to children under this subpart with respect to their
referral to and eligibility for special education services
under the Individuals with Disabilities Education Act (based
on their difficulties learning to read).
``(c) shall carry out the External Evaluation as described
in section 1206.
``(d) From funds reserved under Sec. 1203(b)(1)(E), shall
establish Competitive Targeted Assistance Grants--
``(1) to eligible high-need local educational agencies
which meet the criteria described in section 1203(c)(4)
within the State in which the LEA resides to carry out the
activities described in section 1203(c)(7)(A) and (B);
``(2) based on criteria which the Secretary shall develop
for the awarding of funds described under this subsection,
which shall at a minimum, shall include a process of peer
review as described under section 1204(c)(2), and be limited
to one year of funding per eligible high need LEA unless such
LEA can demonstrate significant progress in meeting the goals
established in section 1205(d)(4)(C).''
114. Identical provisions.
LC
115. Similar provisions.
HR with an amendment to insert the following after (b).
Insert House (b)(1)(B); insert''
``(C) For the purpose of administering the funds reserved
under Sec. 1203(b)(E) to carry out this section, the
provisions of Sec. 242 of P.L. 105-220 shall apply.''
116. The House bill specifies that ``special education
Teachers'' are included, the Senate amendment does not.
SR
117. The House bill refers to ``essential'' components; the
Senate amendment refers to ``major'' components.
SR
118. The House bill refers to ``explicit'' systematic
instruction; the Senate amendment does not.
SR
119. The House bill includes ``oral'' reading fluency and
the Senate amendment includes ``reading fluency.''
HR with an amendment to insert ``including oral reading
skills'' after ``reading fluency,''.
120. Identical provision.
LC
121. Identical provision.
LC
122. The House bill and Senate amendment are similar. The
House bill requires that assessments measure progress in four
areas, and the Senate bill requires that assessments measure
progress in at least one of four areas. The House bill, but
not the Senate amendment adds ``skills'' after phonics.
HR/SR with an amendment to insert the following language:
``(5) Rigorous screening, diagnostic, classroom-based
reading assessments.--
``The term `screening reading assessment' means assessments
that are--
``(A) valid, reliable, and based on scientifically-based
reading research;
``(B) a brief procedure designed as a first step in
identifying children who may be at high risk for delayed
development or academic failure and in need of further
diagnosis of their need for special or additional reading
instruction.
``The term ``diagnostic reading assessment'' means
assessments that are--
``(A) valid, reliable, and based on scientifically-based
reading research;
``(B) used for the purpose of

(i) identifying a child's specific areas of strengths and
weaknesses so that they have learned to read by the end of
the third grade; and
(ii) determining any difficulties that a child may have in
learning to read and the potential cause of such
difficulties;

``(iii) helping to determine possible reading intervention
strategies, and related special needs.
The term ``classroom-based instructional assessment''
means--
``(A) evaluations of children's learning based on
systematic observations by teachers of children performing
academic tasks that are part of their daily classroom
experience; and
``(B) are used to improve instruction in reading, including
classroom instruction.''
123. The Senate has no comparable provision.
HR/SR with an amendment (See note 122).
124. Identical provision.
LC
125. There are similar purposes in both the House bill and
the Senate amendment.
LC
Insert the following language for notes 125-134:
``Sec 1221. Purposes.
``The purposes of this subpart are as follows:
``(1) To support local efforts to enhance the early
language, literacy, and pre-reading development of preschool
age children, particularly those from low-income families,
through strategies and professional development that are
based on scientifically based research.
``(2) To provide preschool age children with cognitive
learning opportunities in high-quality language and
literature-rich environments, so that the children can attain
the fundamental knowledge and skills necessary for optimal
reading development in kindergarten and beyond.
``(3) To demonstrate language and literacy activities based
on scientifically based research that supports the age-
appropriate development of--
``(A) Recognition, leading to automatic recognition, of
letters of the alphabet, knowledge of letter sounds, the
blending of sounds, and the use of increasingly complex
vocabulary;
``(B) an understanding that written language is composed of
phonemes and letters each representing one or more speech
sounds that in combination make up syllables, words and
sentences.
``(C) spoken language, including vocabulary and oral
comprehension abilities; and
``(D) knowledge of the purposes and conventions of print.

[[Page H9972]]

``(4) To use screening assessments to effectively identify
preschool children who may be at risk for reading failure.
``(5) To integrate such scientific reading research-based
instructional materials and literacy activities with existing
programs of preschools, child care agencies and programs, and
Head Start centers, and with family literacy services.''
126. The House bill purposes limit development of pre-
reading skills to children ages 3-5 and the Senate amendment
uses broader terminology of ``preschool age children.'' This
difference repeats throughout Early Reading first subpart.
HR--See note 125
127. The House bill purposes include assessment/screening
of children and the Senate amendment does not.
HR--See note 125
128. Similar provisions. The items in the Senate amendment
are re-ordered to compare with similar items in the House
bill.
HR with an amendment to strike ``understanding . . .
language;'' and insert ``knowledge of letter sounds, blending
of sounds, and use of increasingly complex vocabulary;'' and
insert ``Recognition, leading to'' before ``automatic
recognition''.--See note 125
129. Similar provision.
HR/SR--See note 125
130. Identical provision.
HR with an amendment to insert ``including vocabulary''
after ``spoken language''.--See note 125
131. The House bill requires knowledge of ``semiotic
concepts''. The Senate amendment specifies knowledge of
``purposes and conventions of print.''
HR--See note 125
132. The Senate amendment does not have this provision for
screening tools.
SR with an amendment to insert ``reading'' after
``scientific'' and strike ``tools'' and insert
``assessments'' in (3).--See note 125
133. Similar provision.
SR--See note 125
134. Identical provision.
SR with an amendment to insert ``reading'' after
``scientific''.--See note 125
135. Similar provision.
HR
136. The Senate amendment allows multiple LEA's to apply as
a single applicant and the House bill does not.
HR
137. The House bill requires demographic information on
communities served by programs and the Senate amendment
requires demographic information on the children served by
programs.
HR
138. The House bill specifies oral language environments
and the Senate amendment does not.
SR with an amendment to strike ``aged 3 through 5'' and
inserting ``preschool age'' before ``children'' in House (2).
take the Senate (2) inserting ``reading'' after
``scientifically based''; drop both (3); take the House (4);
take the Senate (4); take House (5); drop Senate (5); drop
House (6), (8) (9); take House (7); take Senate (6); take
Senate (7) and (8); drop House (10).
139. Similar provision.
LC
140. Similar provision.
LC
141. Similar provision.
LC
142. This provision is not in the House bill
LC
143. This provision is not in the Senate amendment.
LC
144. The Senate amendment (7) is similar to the House bill
(9) but the Senate amendment evaluates the success in
enhancing ``early language, literacy, and pre-reading
development'' and the House bill states ``early language and
reading development.''
LC
145. The House bill uses the same peer review panel
convened for the Reading First grants and the Senate
amendment has a separate peer review provision.
SR with an amendment to insert after ``under section
1204(c)(2),'' the following language: ``except such panel
shall include, at a minimum, three individuals, selected from
the entities described in (ii), (iii), and (iv), who are
experts in early reading development and early childhood
development.''
146. The House bill includes ``oral'' language skills.
HR
147. The Senate amendment requires 5 activities.
HR with an amendment (notes 147-153): take Senate (B); take
Senate (iii) (amended like note 128); take Senate (i); take
Senate (iv).
148. Similar provision.
LC--see note 147
149. The Senate amendment (B) is similar to the House bill
(B) but the Senate amendment describes professional
development being for ``staff'' and the House bill describes
professional development as being for ``teachers.''
LC--see note 147
150. Similar provision.
HR--see note 147, (amended like note 128).
151. The House bill notes in (ii) that ``words are made up
of small segments of speech sounds.''
HR/SR with an amendment to insert the following language as
new (ii):
``Understanding that written language is composed of
phonemes and letters each representing one or more speech
sounds that in combination make up syllables, words and
sentences.''
152. Similar provision.
HR--see note 147
153. The Senate amendment refers to knowledge of ``purposes
and conventions of print.'' The House bill refers to
understanding of ``semiotic concepts.''
HR--see note 147
154. The Senate amendment refers to subparagraph (B ) in
the House bill which lists the skills to be taught to
children.
HR
155. Similar provision.
HR
156. Similar provision.
HR with an amendment to insert the following language:

``SEC. 1243. FEDERAL ADMINISTRATION.

``The Secretary shall consult with the Secretary of Health
and Human Services in order to coordinate the activities
undertaken under this subpart with preschool age programs
administered by the Department of Health and Human
Services.''
157. The House bill has no comparable section.
HR with an amendment to insert Senate lead-in (``Each
eligible . . . a description of--'') and to strike Senate
(1), (3), and (2) and to insert House (1), (2), (3).
158. The House bill requires information on staff
qualifications and the Senate amendment does not.
SR
159. The House bill has no similar provision.
HR
160. The House bill allows up to $1 million for evaluation.
HR with an amendment to insert the following language:

``SEC. 1246. EVALUATION.

``From the total amount appropriated under section
1002(b)(3) for the period beginning October 1, 2002 and
ending September 30, 2006, the Secretary shall reserve not
more than $3,000,000 to conduct an independent evaluation of
the effectiveness of this subpart. An interim Report shall be
sent to the House Education and the Workforce Committee and
the Senate Health, Education, Labor, and Pensions Committee
by October 1, 2004, with a final Report due no later than
September 30, 2006. The Report shall include information on
how the grant recipients under this subpart are improving the
pre-reading skills of pre-school children; the effectiveness
of the professional development program; how early childhood
teachers are being prepared with scientifically based reading
research of early reading development; what activities and
instructional practices are most effective; how
scientifically research-based pre-reading instructional
materials and literacy activities are being integrated into
pre-schools, child care agencies and programs, and Head Start
Centers and Family Literacy programs, and any recommendations
on strengthening, or modifying this subpart.''
161. The Senate amendment allows up to $5 million for
evaluation.
LC--see note 160.
162. The House bill has no comparable provision.
HR
163. The House bill makes technical changes to Even Start.
The Senate amendment does not.
SR
164. The House bill transfers the program to a different
Title, makes minor changes, and continues current law. The
Senate amendment rewrites the program.
HR/SR with an agreement to move to Subpart 5 of Title V,
Part D (FIE).
Report Language:
In the 2000 rate case, the U.S. Postal Service levied an
18% increase on mail sent under Bound Printed Matter (BPM),
the class of mail under which books are sent to our nation's
schools, libraries, literacy, and early childhood programs.
This increase, the highest of any category, has had a direct
impact on the ability of several literacy and free book
programs to deliver their services. It has come to the
attention of the Conferees that the U.S. Postal Service
intends to again increase the rates charged for bound printed
matter, including books. Given the educational importance of
the 100 million books shipped to children annually under this
rate, the Conferees urge the U.S. Postal Service and Congress
to take action to ensure the continued affordability of books
for all of America's children.
165. Virtually identical purpose.
LC
166. Virtually identical provisions.
LC
167. Virtually identical provisions for requirements of
contract.
LC
168. Virtually identical provisions.
LC
169. Identical provisions.
LC
170. Identical provisions.
LC
171. Virtually identical provisions.
LC
172. The Senate amendment contains no similar provision.
SR
173. The House bill authorizes such sums as may be
necessary for fiscal year 2002 and each of the 4 succeeding
fiscal years. The Senate amendment authorizes $25 million for
FY 02 and such sums as may be necessary for each of the 6
succeeding fiscal years.
HR/SR (no authorization because moved to FIE).

[[Page H9973]]

Title I, Part C--Education of Migratory Children

1. The Senate amendment, but not the House bill, amends the
program purpose by adding two paragraphs that state that: (1)
Migrant students should not be penalized because of
differences between states in curriculum, graduation
requirements and standards; and (2) Migrant students have the
same opportunities as all children to meet academic
achievement and content standards.
HR
2. The House bill, but not the Senate amendment, modifies
the formula for distributing funds to the States by basing a
State's child count on the number of eligible children, aged
3 through 21, residing in the State during the previous year,
plus the number of children who received services in summer
or intersession programs provided by the State. Only funding
above the amount appropriated for fiscal year 2002 will be
distributed via the new formula.
SR with an amendment to require the Secretary to take into
account the amount of time children spend in a particular
program.
``In changing the formula which allocates funds to the
States for migrant education programs, the Conferees are
concerned that some children could be double counted, thereby
inaccurately inflating allocations to some States. To address
this situation, the Conferees have amended section 1303 (e)
to require the Secretary to develop a procedure to take into
account the amount of time a child may spend in a particular
program. The Conferees strongly encourage the Secretary to
develop such a procedure and utilize it when making
allocations to the States.''
3. The House bill, but not the Senate amendment, sets and
annually increases the minimum allocation amounts for Puerto
Rico.
SR with an amendment to retain subsection (d).
4. The House bill and the Senate amendment eliminate the
reference to a comprehensive plan and replace it with
language to ensure migrant children are provided with the
full range of services from all applicable government
programs and that coordination will take place between the
various levels of government programs, including the federal
ESEA Title III program.
SR
5. The House bill, but not the Senate amendment, requires
the integration of services under the Migrant education
program with other programs, and adds a requirement for
measurable program goals and outcomes.
SR
6. The House bill, but not the Senate amendment, modifies
the manner in which subgrants to LEAs must be allocated.
SR
7. The House bill and the Senate amendment changes to the
Assurances subsection of current law are the same with
exceptions indicated in notes 8 and 9.
LC
8. The Senate amendment does not have this provision, which
is technical.
SR
9. The House bill does not have this provision.
HR
10. The House bill, but not the Senate amendment,
eliminates the requirement that States develop both a
comprehensive service delivery plan and a program
application.
HR
11. The Senate amendment, but not the House bill, places
conditions on whether States may submit consolidated
applications.
HR
12. The House bill does not have the Senate provision
regarding special education needs of migrant students.
HR
13. The House bill, but not the Senate amendment, changes
current law to clarify State flexibility in determining the
activities to be provided as long as funds are first used to
meet the identified educational needs of migrant children.
SR with an amendment to add ``where applicable'' in (a) (1)
in first sentence after ``agency''.
14. The House bill, but not the Senate amendment, requires
the Secretary of Education to assist States in developing
effective methods to transfer student records and in
determining the number of migrant children in each State.
Under the House bill, the Secretary is also required to work
with States to determine the minimum data elements for
records to be maintained and transferred and to assist States
in linking their records systems for electronic maintenance
and transfer.
HR/SR with an amendment to Sec. 124. Coordination of
Migrant Education Activities:
``(a) Duration.--Section 1308 (a) (2) [20 U.S.C. 6398 (a)
(2)] is amended by striking ``subpart'' and inserting
``subsection''.
``(b) Student Records.--Section 1308 (b) (20 U.S.C. 6398
(b)) is amended to read as follows:
`` `(b) Student Records.--
`` `(1) Assistance.--The Secretary shall assist States in
developing effective methods for the electronic transfer of
student records and in determining the number of migratory
children in each State.' ''
15. The Senate amendment, but not the House bill, requires
the Secretary to establish a system for electronically
transferring student records and lists possible data
elements.
HR/SR with an amendment:
``(2) Information system.--(A) The Secretary, in
consultation with the States, shall ensure the linkage of
migrant student record systems for the purpose of
electronically exchanging, among the States, health and
educational information regarding all migrant students.
The Secretary shall ensure such linkage in a cost-
effective manner, utilizing systems used by the States
prior to, or developed after, the date of enactment of
[this Act], and shall determine the minimum data elements
that each State receiving funds under this part shall
collect and maintain. Such elements may include-
``(i) immunization records and other health information;
``(ii) elementary and secondary academic history (including
partial credit), credit accrual, and results from State
assessments required under this title;
``(iii) other academic information essential to ensuring
that migrant children achieve to high standards; and
``(iv) eligibility for services under the Individuals with
Disabilities Education Act.
Ensuring the timely exchange of important education and
health information for migrant students is critically
important. Although some States have developed and
implemented their own student records systems, current
failures and interruptions in records transfer result in
delays in school enrollment and academic services for migrant
students, discrepancies in student placement, and repeat
immunizations of migrant children. It is the Conferees'
intent to link existing systems of interstate migrant records
transfer, and expand their function to enable the electronic
transfer of records among all States. Section 1308(b)(2)
provides federal leadership to accomplish this objective by
requiring the Secretary to electronically link migrant
student records. Such linkage will build upon existing and
future systems for records transfer and will facilitate a
timely exchange of health and academic information.''
16. The House bill, but not the Senate amendment, requires
SEAs and LEAs to make migrant student records available at no
cost to another SEA or LEA requesting such records.
SR
17. The House bill does not contain the Senate provisions
in subparagraphs (B), (C), (D) regarding the solicitation of
comments on the migrant student record transfer system,
deadline for operation of the system, and the reservation of
funds for the Secretary in establishing the system.
HR/SR with an amendment:
``(B) The Secretary shall publish, after consultation
described in subparagraph (A), a notice in the Federal
Register seeking public comment on the proposed data elements
that each State receiving funds under this part shall be
required to collect for purposes of electronic transfer of
migrant student information, and the requirements that States
must meet for immediate electronic access to such
information. The publishing of such notice shall take place
not later than 120 days after the date of enactment of [this
Act].''
18. The House bill does not contain the Senate amendment
provision requiring a report be submitted to Congress by the
Secretary regarding the findings and recommendations
pertaining to the migrant student record transfer system.
HR with an amendment:
``(4) Report to Congress.--Not later than April 30, 2003,
the Secretary shall report to the Committee on Health,
Education, Labor, and Pensions of the Senate and the
Committee on Education and the Workforce of the House of
Representatives the Secretary's finding and the
recommendations regarding the maintenance and transfer of
health and educational information for migrant students by
the States, and shall include in this report--
``(A) a review of the progress of States in developing and
linking electronic records transfer systems;
``(B) recommendations for the developments and linkage of
such systems; and
``(C) recommendations for measures that may be taken to
ensure the continuity of services provided for migrant
students.''
19. The Senate amendment language in this subparagraph is
similar to the House bill language in subsection (b)(1)
regarding assistance to States in transferring records and
determining the number of migrant students. (See note 13.)
However, the Senate amendment retains the current law
provisions regarding the Secretary's need to help States
develop methods to count full-time equivalent students, which
the House bill does not.
HR/SR with an amendment:
Section 1308(b) (20 U.S.C. 6398(b)) is amended as follows:
``(b) Student Records.--
(1) Assistance.--The Secretary shall assist States in
developing effective methods for the electronic transfer of
student records and in determining the number of migratory
children in each State.''
20. The House bill and the Senate amendment are the same.
LC
21. The House bill and the Senate amendment are the same
regarding the maximum amount the Secretary may award to SEAs
for incentive grants. The House bill, but not the Senate
amendment, references consortium arrangements with other
States or appropriate entities that the Secretary determines
will improve the delivery of services to migratory children.

[[Page H9974]]

SR
22. The Senate amendment, but not the House bill, requires
NCES to collect data on migratory children.
HR
Authorization levels: House at $420 million and Senate at
$400 million-
SR with an amendment to strike ``$420 million'' and insert
``$410 million.''

Title I, Part D--Neglected or Delinquent Youth

1. The House bill and Senate amendment have different
headings.
HR
2. The House bill, but not the Senate amendment, contains
two findings regarding youth returning from correctional
facilities and pregnant and parenting teenagers.
HR
3. The Senate amendment, but not the House bill, moves the
PURPOSE AND PROGRAM AUTHORIZED section under Subpart 1 of the
Senate amendment.
HR with an amendment to strike ``of Dropping out'' in the
title of Subpart 1, so that it states: ``Prevention and
Intervention Programs for Children and Youth Who are
Neglected, Delinquent, or at Risk.''
LC should conform language throughout this part to ensure
that it conforms with neglected, delinquent or at risk kids--
while striking reference to ``drop-outs'' unless indicated
otherwise.
4. The Senate amendment, but not the House bill, makes
minor wording changes to the Purpose and Program Authorized
section.
HR/LC
5. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes, related to the
organizational structure of the Senate amendment.
HR
6. The Senate amendment, but not the House bill, organizes
this part into 3 chapters of subpart 1. Also, the Senate
amendment, but not the House bill, makes minor conforming,
technical wording changes, related to the organizational
structure of the Senate amendment.
HR
7. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes, related to the
organizational structure of the Senate amendment.
HR
8. The House bill and Senate amendment provisions in
subsection (b) regarding Subgrants to State Agencies in
Puerto Rico are the same.
SR
9. The House bill, but not the Senate amendment, sets the
minimum allocation amounts Puerto Rico will receive.
SR
10. The House bill, but not the Senate amendment, provides
for a minimum amount that shall be appropriated to Puerto
Rico contingent upon all 50 States and the District of
Columbia receiving the same amount as they did the previous
year. If not, then Puerto Rico would receive funds based on
the greater percentage provided for in paragraph (1)(A) or
the percentage of the previous fiscal year.
SR
11. The Senate amendment, but not the House bill, contains
this provision regarding ratable reductions.
HR
12. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes, related to the
organizational structure of the Senate amendment.
HR
13. The House bill, but not the Senate amendment, changes
the wording of paragraph (1) by revising the language to
focus on the provision of services to youth returning from
correctional institutions instead of youth at risk of
dropping out. In addition, the reference to another section
in both the House bill (8306) and the Senate amendment (5506)
are to the same general policy regarding Other General
Assurances (see Title VIII of the House bill).
SR with an amendment to include ``at risk'' after
``delinquent''.
14. The House bill, but not the Senate amendment, adds the
word ``technical'' after ``vocational''.
SR
LC conform language regarding ``opportunity to learn''
change to ``opportunity to achieve'' in House (2) (B).
15. The House bill refers to evaluations associated with
Institution-Wide Projects (Section 1416), while the Senate
amendment refers to general program evaluations under section
1431.
HR
16. The House bill and Senate amendment provisions in
paragraph (3) and in subsection (b) following are the same,
with the exception indicated in note 17.
LC
17. The House bill heading for paragraph (1) is different
than the Senate amendment heading for paragraph (1);
otherwise, see note 16.
SR
18. Both the House bill and the Senate amendment reference
the State Plan under Title I, part A.
LC
19. The House amendment refers to the specific section in
Title VIII of the House bill regarding evaluations, while the
Senate amendment refers to evaluations generally.
LC
20. The reference to another section in both the House bill
(8501) and the Senate amendment (4) are to the same general
policy regarding fiscal effort (see Title VIII of the House
bill).
LC
21. The House bill refers to job training programs in
general, while the Senate amendment refers specifically to
the Workforce Investment Act of 1998. In addition, the House
bill, but not the Senate amendment, adds the word
``technical'' after ``vocational''.
HR with an amendment to replace ``Workforce Investment Act
of 1998'' with ``PL 105-220''.
SR on House bill adding ``technical'' after ``vocational''.
22. The House bill, but not the Senate amendment, contains
this additional element for State applications to focus on
the provision of services to youth returning from
correctional institutions.
SR
23. The Senate amendment, but not the House bill, adds the
word ``children'' before ``youth''.
HR
LC conform part with same change.
24. The House bill, but not the Senate amendment, adds the
word ``incarceration'' in place of the word ``youth'' after
``term of''.
LC
25. The Senate amendment, but not the House bill, adds the
word ``children'' before ``youth''. The House bill, but not
the Senate amendment, adds the words ``distance learning''
before ``and assistance''.
LC on Senate amendment adding ``children'' before
``youth''; SR on House bill adding ``distance learning''.
26. The House bill, but not the Senate amendment, adds the
words ``vocational and technical training'' to subparagraph
(B).
SR
27. The House bill, but not the Senate amendment, strikes
clause (iii).
HR with amendment to change language in (iii) to strike
``learn to such'' and replace with ``achieve''.
LC for similar references in remainder of this part.
28. The House amendment refers to the specific section in
Title VIII of the House bill regarding evaluations, while the
Senate amendment refers to evaluations generally.
SR
29. The Senate amendment, but not the House bill, contains
this provision regarding the supplement, not supplant
provision in section 1120A of Title I, part A.
HR
30. The Senate amendment, but not the House bill, contains
this section on Institution-Wide Projects.
HR
31. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes related to the
organizational structure of the Senate amendment.
HR
32. The House bill, but not the Senate amendment, changes
the reservation percentage for SEAs to 15 percent. The Senate
amendment, as amended, but not the House bill allows for a
reservation percentage range between 5 and 30 percent, as
well as adds two new paragraphs pertaining to the kinds of
transition services that may be supported.
HR with an amendment that reservation percentage be 15-30%.
HR with an amendment to strike (C) (iii) and (C) (v) and
add new clause (C)(v):
``Counseling services.''--The Conferees recognize that LEAs
may find that counseling programs, including the provision of
mental health services, are a necessary and appropriate
component of ensuring the successful transition of youth
returning from correctional facilities.''
33. The Senate amendment, but not the House bill, adds the
word ``youth'' after ``children''.
LC/HR
34. The Senate amendment, but not the House bill, adds a
new section allowing the Secretary of Education to reserve up
to 5 percent of part D funds each year for national
activities involving evaluation, technical assistance and
model programs.
H.R. with 3 amendments: change ``shall'' to ``may'', change
5% to 2.5%, strike paragraph 3.
35. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes related to the
organizational structure of the Senate amendment.
LC
36. The House bill, but not the Senate amendment, reorders
this paragraph to focus on the provision of services to youth
returning from correctional institutions.
SR with an amendment to strike ``dropping out of school''
in House paragraph (3).
37. Both the House bill and the Senate amendment strike the
word ``retained'', which is a technical change.
LC
38. The House bill, but not the Senate amendment, revises
subsection (b) to focus on the provision of services to youth
returning from correctional institutions instead of youth at
risk of dropping out.
SR
39. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes related to the
organizational structure of the Senate amendment.
HR/LC
40. The House bill, but not the Senate amendment, adds
subsection (d), Transitional and Academic Services, with
language to focus on the provision of services to

[[Page H9975]]

youth returning from correctional institutions and by
stipulating that services to youth at risk of dropping out
shall not negatively impact the transitional and academic
needs of youth returning from correctional facilities.
SR
41. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes related to the
organizational structure of the Senate amendment.
LC
42. The House bill, but not the Senate amendment, revises
paragraphs (4), (5) and (6) following to focus on the
provision of services to youth returning from correctional
institutions instead of youth at risk of dropping out and
removes the conditional statement ``as appropriate''
preceding each LEA application requirement. See notes 43 and
44 for exceptions.
SR with an amendment to add to (4) ``as appropriate''
between ``and'' and ``the''.
43. The House bill, but not the Senate amendment, requires
specific characteristics of the youth to be served to be
described, as well as adding a secondary requirement to
describe other youth expected to be served. Otherwise, see
note 43.
SR
44. The House bill, but not the Senate amendment, adds the
word ``other'' to the list of existing services LEAs will
describe how to coordinate. Otherwise, see note 42.
SR
45. The House bill, but not the Senate amendment, adds
``curriculum-based entrepreneurship education''.
SR
46. The House bill and Senate amendment have the same
meaning in paragraph (8), but are worded slightly different.
LC
47. The House bill refers to job training programs in
general, while the Senate amendment refers specifically to
the Workforce Investment Act of 1998. In addition, the House
bill, but not the Senate amendment, adds the word
``technical'' after ``vocational''.
HR with an amendment to replace ``Workforce Investment Act
of 1998'' with ``PL 105-220''.
SR on House bill adding ``technical'' after ``vocational''.
48. The House bill and the Senate amendment are the same as
current law in paragraphs (10)-(13).
LC
49. The House bill, but not the Senate amendment, contains
a provision regarding LEA uses of funds to focus on the
provision of services to youth returning from correctional
institutions.
SR
50. The House bill, but not the Senate amendment, has no
reference to youth ``at educational risk'' and has no
reference to specific groups of youth who may be at risk of
dropping out.
HR
51. The House bill, but not the Senate amendment, adds the
word ``other'' to the list of existing services LEAs can use
funds to coordinate. The Senate amendment, but not the House
bill, refers to ``drug and alcohol counseling''.
HR with an amendment to add ``and mental health services''
after ``counseling''.
52. The House bill, but not the Senate amendment, adds the
word ``technical'' after ``vocational'' and adds
``curriculum-based entrepreneurship education''.
SR
53. The House bill, but not the Senate amendment, adds
another paragraph regarding mentoring and peer mediation to
the LEA uses of funds.
SR
54. The House bill and Senate amendment headings for this
section are different.
HR
55. The House bill and Senate amendment have different
internal organization structures which accounts for this and
the immediately following technical changes.
LC
56. The House bill, but not the Senate amendment, changes
``where feasible'' to ``to the extent practicable'' in all
the following paragraphs, through paragraph (8) in which the
former phrase appears.
HR
57. The House bill, but not the Senate amendment, makes a
number of changes to this paragraph. See notes 52 and 55.
HR with an amendment to replace ``Workforce Investment Act
of 1998'' with ``PL 105-220''.
58. The House bill, but not the Senate amendment, adds a
citation to the U.S. Code for the Act referenced.
LC
59. See note 45.
SR
60. The Senate amendment, but not the House bill, makes
minor conforming, technical wording changes, related to the
organizational structure of the Senate amendment.
LC
61. The House bill, but not the Senate amendment, changes
the reference to ``sex'' to ``gender'' and eliminates the
conditional statement ``if feasible''. Otherwise, the House
bill and the Senate amendment are the same in paragraphs (1)-
(4) and in subsections (b) and (c) that follow. See exception
in note 62.
SR with an amendment to reference Title I-A exceptions for
``statistically significant and personally identifiable''
data.
62. The Senate amendment, but not the House bill, adds a
new paragraph to the evaluation of program's impact on
participants.
HR with an amendment to add ``as appropriate'' before
participate.
63. The Senate amendment, but not the House bill, adds
paragraph headings before each term is defined in paragraphs
(1)-(4).
HR
64. The Senate amendment, but not the House bill,
reorganizes this paragraph. Neither the Senate amendment nor
the House bill changes the meaning of this definition.
LC
Authorization levels--LC (identical authorization amounts
of $50 million in FY 02 and such sums in FY 03-07).

Title I, Part E--Evaluations and Demonstrations

1. The House bill amends section 1501, while the Senate
amendment strikes the entire section and replaces it.
LC
2. The Senate amendment, but not the House bill, includes
the words ``of Title I'' after ``National Assessment''.
HR
3. The House bill requires the Secretary of Education to
assess the programs assisted under Title I, while the Senate
amendment requires the Secretary to assess the impact of
policies of Title I on States, LEAs, schools and students.
HR with an amendment to insert ``the programs assisted
and'' before ``the impact of the policies'' and strike
``title I of...Teachers Act'' and insert ``this title'' in
(a).
4. The Senate amendment requires the participation of an
independent review panel composed of the groups listed at all
stages of the assessment. The House bill also requires the
participation of an ``independent'' review panel, but
stipulates a number of conditions that must be met in regards
to the review panel, which the Senate does not, in subsection
(d) of the House bill. See note 49.
SR
5. The House bill and the Senate amendment are
substantially the same with minor wording differences.
HR
6. The House bill, but not the Senate amendment, contains a
general requirement to examine the implementation and impact
of Title I programs in regards to increasing academic
achievement, especially in high-poverty schools. See the next
note.
SR with an amendment to insert as new (A): ``the
implementation of programs assisted under this title and the
impact of such implementation on increasing student academic
achievement particularly in schools with high concentrations
of children living in poverty, toward the goal of all
students reaching the proficient level on challenging State
academic content and achievement standards and State academic
assessments under section 1111, including providing
information on what types of programs and services that have
demonstrated the greatest likelihood of helping students
reach the State's academic achievement standards for
proficient and advanced;''
7. The Senate amendment, but not the House bill, contains a
specific requirement to examine student progress to
proficiency in at least reading and math based on State
standards and assessments required under section 1111 of
Title I (including NAEP).
SR
8. The House bill does not contain a similar provision.
SR
9. The House bill contains a general requirement to examine
the implementation and impact of State standards, assessments
and accountability systems. The Senate amendment is more
specific as to what must be examined in regards to
assessments and calls for examination of implementation of
requirements for development and administration of 3-8 annual
assessments and how well they meet Title I requirements (see
next note), but does not reference standards as the House
does.
HR/SR with an amendment to insert as new language: ``the
implementation of State standards, assessments, and
accountability systems developed under this title, including
the time and cost required for the development of assessments
for students in grades 3-8 and how well they meet the
requirements for assessments described in this title, and the
impact of such standards, assessments, and accountability
systems on educational programs and instruction at the local
level.''
10. The Senate amendment requires a specific examination of
the ``adequate yearly progress'' requirement in Title I, part
A. The House does not contain a similar provision, although
it does require an examination of accountability in general
in subparagraph (a)(2)(B). See previous note.
HR with an amendment: ``defined adequate yearly progress
and what has been the impact of applying this standard to
schools, local educational agencies, and the state, including
the number of schools and local educational agencies not
meeting the standard and the changes in such
identification.''
11. The House bill and the Senate amendment require an
examination of schoolwide programs and targeted assistance,
but the Senate amendment has a similar requirement in
subparagraph (a)(2)(G) of the Senate amendment. See note 22.
SR with an amendment: ``the implementation and impact of
schoolwide programs and targeted assistance programs under
this title on improving student academic achievement and to
what extent such schools meet the requirements for such
programs.''

[[Page H9976]]

12. The House bill does not contain a similar provision,
although to the extent report cards are considered an element
of accountability, see note 9 and paragraph (a)(B) of the
House bill.
HR with an amendment to insert ``parents,'' after
``students''.
13. The House bill and the Senate amendment require an
examination of comprehensive school reform, although the
House is more specific as to models, implementation and
impact, while the Senate is more general as to effectiveness,
but the Senate provision regarding this requirement is in
paragraph (b)(2) of the Senate amendment. See note 35.
SR with an amendment to insert ``and implemented'' after
``are funded'' in (D).
14. The Senate amendment does not contain a similar
provision.
SR
15. The House bill and the Senate amendment require an
examination of school choice as defined in section 1116 of
Title I, part A of each piece of legislation, although the
Senate provision is in clause (a)(2)(F)(iii). See note 19.
The House bill, but not the Senate amendment, requires an
examination of the schools from which students have
transferred.
HR
16. The House bill and the Senate amendment require an
examination of action required pursuant to section 1116 of
Title I, part A of each piece of legislation. However, the
House bill requirement is more general as to impact and
implementation, while the Senate amendment is more specific
as detailed in clauses (a)(2)(F)(i)-(v) following the Senate
amendment. See notes 17-21.
SR with an amendment to strike ``employed'' and insert
``implemented''.
17. The House bill does not contain a similar provision.
HR
18. The House bill does not contain a similar provision.
However, the House bill does refer to support provided by the
SEA and LEA generally, in subparagraphs (a)(2)(H) and
(a)(2)(K). See notes 26 and 29.
HR
19. The Senate amendment requires a specific examination of
public school choice, as defined in section 1116 of Title I,
part A, regarding number of parents taking the option, costs
associated with the option, and the impact on student
achievement. The House bill also requires an examination of
public school choice as defined in section 1116 of Title I,
part A, but is more general. See note 15.
HR with an amendment to insert as new (iii): ``the number
of parents who take advantage of the public school choice
provisions of this title, the costs, including transportation
costs, associated with implementing these provisions, and the
implementation and impact of these provisions, including the
impact of attending another school, on student achievement;''
20. The House bill does not contain a similar provision.
HR
21. The House bill does not contain a similar provision
specific to examining the actions taken regarding
reconstitution, as defined in section 1116 of Title I, part
A, of the Senate amendment. Also, see note 16.
HR with an amendment to strike ``kinds'' and insert
``implementation and impact'' before ``actions that are
taken'' and strike ``reconstitution'' and insert ``corrective
action and restructuring.'' in (v).
22. See note 11. In addition, the Senate amendment requires
an examination of professional development in this
subparagraph, while the House requires a similar examination
of professional development in subparagraph (a)(2)(J). Also,
see note 28.
SR
23. The House bill does not contain a similar provision.
HR
24. The House bill does not contain a similar provision.
HR with an amendment to insert ``implemented the provisions
of section 1118 and'' before ``afforded parents'' and strike
``at school and at home;'' in (I).
25. The House bill does not contain a similar provision,
although to the extent school improvement reservation can be
generally considered assistance available under this title
and is targeted to schools with the most need, see
subparagraph (a)(2)(K) of the House bill and note 29.
SR
26. The House bill and the Senate amendment are
substantially the same with minor wording differences.
HR with an amendment to strike the language in Senate (K)
and insert the following language: ``used federal, State, and
local educational agency funds and resources to support
schools and provide technical assistance to improve the
achievement of students in low-performing schools, and the
impact of such assistance on such achievement; and''
27. The Senate amendment does not contain a similar
provision regarding accounting requirements limiting
schoolwide programs, although the Senate amendment does
require an examination of schoolwide programs in subparagraph
(a)(2)(G) of the Senate amendment. See note 11.
SR with an amendment to strike ``limit'' and insert
``effect, if at all'' in (I).
28. See note 22 regarding the professional development
requirement in the Senate amendment.
SR with an amendment to strike the language in (J) and
insert the following language: ``the implementation and
impact of the professional development activities assisted
under this title and title II on instruction and student
academic achievement and on teacher qualifications;''
29. The Senate amendment does not contain a similar
provision, however, see note 25.
SR with an amendment to insert the following language:
``the extent to which the assistance made available under
this title, including funds under section 1003, is targeted
to disadvantaged students, schools, and local educational
agencies with the greatest need.''
30. The Senate amendment does not contain a similar
provision.
SR
31. The Senate amendment does not contain a similar
provision.
SR
32. The House bill does not contain a similar provision.
HR with an amendment to strike ``fully'' and insert
``highly'' and to strike ``in four years.'' and insert ``not
later than the end of 2005-2006 school year.''
33. The Senate amendment and the House bill require the
national assessment authorized under this section to examine
how the programs under Title I have improved student
achievement, although the House provision is located in
subparagraph (a)(2)(A).
SR
34. The House bill does not contain a similar provision,
however, see notes 6 and 7.
SR
35. See note 13.
SR
36. The House bill and the Senate amendment require the
national assessment authorized under this section to be
longitudinal. However, the Senate amendment includes the
conditional statement ``to the extent possible'' and seeks to
track students. The House bill requires a longitudinal study
of schools, not students, is not conditional, and stipulates
a number of requirements which the Senate amendment does not.
In addition, the House bill provision regarding this
longitudinal study is located in subsection (c) of the House
bill.
SR
37. The House bill does not contain a similar provision.
HR with an amendment to strike ``to the extent possible''
and insert ``academic'' before ``achievement'';
LC--make last subparagraph of list.
38. The House bill does not contain a similar provision.
HR with an amendment to strike ``performance'' and insert
``academic achievement''.
39. The Senate amendment does not contain a similar
provision.
SR
40. The Senate amendment does not contain a similar
provision as the House bill in paragraph (a)(4) and
subparagraph (a)(4)(A).
SR
41. See note 4.
SR
42. The House bill and the Senate amendment require the
Secretary to provide an interim and final report to Congress
on the national assessment authorized under this section.
However, the House bill also requires both reports to be
submitted to the President. In addition, the House bill
stipulates the report must be delivered three years after
enactment of the House bill, while the Senate amendment sets
a date certain for delivery of the report of December 20,
2004. The Senate amendment provisions regarding the report
are located in subsection (e) of the Senate amendment.
SR with an amendment to strike ``Congress'' and insert
``House Education and the Workforce Committee and Senate
Health, Education, Labor and Pensions Committee''; LC make
uniform throughout Act.
43. The House bill, but not the Senate amendment, requires
the final report on the national assessment authorized under
this section to be delivered no more than 4 years after
enactment of the House bill. The Senate amendment requires
the final report to be delivered by a date certain of
December 20, 2007, which is later than the deadline contained
in the House bill.
SR with an amendment to strike ``4'' and insert ``5''.
44. The House bill and the Senate amendment are
substantially the same in the provisions regarding
authorizing the Secretary to undertake additional studies and
data collection with minor wording differences and with the
exception indicated in note 45.
SR with an amendment to strike House (A) and insert Senate
(1) in its place.
45. The Senate amendment does not contain a similar
provision.
SR
46. See note 42.
SR
47. See note 43.
SR
48. See note 36; otherwise, the Senate amendment does not
contain similar provisions.
SR with an amendment to strike ``performance'' and insert
``achievement'' in (A);
LC--conform (A)-(F) to previous changes.
49. See note 4; otherwise, the Senate amendment does not
contain similar provisions.
SR with an amendment to change (iii) to new (iv) and insert
as new (iii) ``parents, members of local boards of education,
and other organizations involved with the implementation and
operation of programs under this title.''; Strike ``a
majority of the number of'' and insert ``include'' in House
(B)(i).
Report Language:
The Conferees intend that parents or other representatives
of migrant children, homeless children, and limited English
proficient

[[Page H9977]]

children be included among ``parents,'' and that civil rights
groups, test publishers, participating private schools, and
faith-based organizations with educational expertise, be
included among the ``other organizations involved with the
implementation and operation of programs under this title.''
50. The House bill, but not the Senate amendment, makes
minor technical changes to section 1502.
SR
51. House bill renames program as ``Ellender-Close Up
Fellowship Program'' and the Senate amendment renames program
as ``Close Up Fellowship Program.''
HR
52. Both House bill and Senate amendment contain findings,
but the findings differ.
HR/SR--No findings
53. Virtually identical provisions.
SR
54. Virtually identical provisions.
LC
55. House bill uses the term ``recent immigrants'' and
Senate amendment uses the term ``students with migrant
parents.''
HR
56. Identical title.
LC
57. House bill, but not Senate amendment, contains
additional language ``to promote greater civic understanding
and responsibility among the students of such teachers.''
SR
58. Virtually identical provisions.
SR
59. Virtually identical provisions.
LC
60. House bill entitled ``Programs for Recent Immigrants
and Students of Migrant Parents.'' Senate Amendment entitled
``Programs for New Americans.''
HR
61. House bill authorizes Close Up Foundation to carry out
programs among economically disadvantaged recent immigrants
and students of migrant parents. Senate amendment authorizes
Close Up Foundation to carry out programs among economically
disadvantaged secondary school students who are recent
immigrants.
HR with an amendment to insert ``middle and'' before
``secondary school students''.
62. House bill contains no similar provision.
HR
63. Under House bill, grants shall be used for financial
assistance to economically disadvantaged older Americans,
recent immigrants and students of migrant parents who
participate in the program. Under Senate amendment, grants
shall be used only to provide financial assistance to
economically disadvantaged recent immigrant students who
participate in the program.
HR with an amendment to insert ``and their teachers'' after
``recent immigrant students'' and insert ``and teachers''
after ``by such students''.
64. Virtually identical provisions.
LC
65. House bill requires applications to contain provisions
to assure that fellowship grants are made to economically
disadvantaged recent immigrants and students of migrant
parents. Senate amendment requires applications to contain
provisions to assure that fellowship grants are made to
economically disadvantaged secondary school students.
HR with an amendment to insert ``middle school and'' before
``secondary school students;''.
66. House bill requires applications to contain provisions
that every effort will be made to ensure the participation of
recent immigrants and students of migrant parents from rural
and small town areas. Senate amendment requires applications
to contain provisions that every effort shall be made to
ensure the participation of recent immigrant students from
rural and small town areas
HR
67. House bill gives special consideration to the
participation of recent immigrants and students of migrant
parents with special needs, including individuals with
disabilities, ethnic minorities, and gifted and talented
students. Senate amendment states that in awarding
fellowships to economically disadvantaged recent immigrant
students, special consideration will be given to the
participation of those students with special educational
needs, including students with disabilities, students with
migrant parents and ethnic minority students.
HR
68. Similar provisions.
LC
69. Similar provisions.
LC
70. House bill contains no similar provision.
HR
71. Virtually identical provision.
LC
72. Virtually identical provision.
LC
73. House bill stipulates that the Secretary may use not
more than 30 percent to carry out subsection (c) of this
section (programs for middle and secondary school teachers).
Senate amendment stipulates that not more than 30 percent may
be used for middle and secondary school teachers and teachers
of recent immigrants associated with students participating
in the programs described in sections 2511, 2521 and 2531.
HR
74. House bill authorizes such sums as may be necessary for
FY 02 and for each of the 4 succeeding fiscal years. Senate
amendment authorizes to carry out the provisions of subparts
1, 2, and 3 of this part $6,000,000 for FY 02 and such sums
as may be necessary for each of the four succeeding fiscal
years.
SR with an amendment to strike ``4 succeeding'' and insert
``5 succeeding''.
76. Senate amendment contains no similar provision.
SR

Title I, Part F--Comprehensive School Reform

1. The House bill and the Senate amendment designate the
comprehensive school reform program as different parts within
each respective piece of legislation.
LC
2. The House bill, but not the Senate amendment, contains
findings.
HR
3. The House bill and the Senate amendment are
substantially the same in the PURPOSE section, except the
Senate amendment adds the word ``promising'' before
``effective practices''. In addition, the House references
``academic achievement standards'', while the Senate
references ``student performance standards''.
SR with LC on further references to standards.
4. The Senate amendment, but not the House bill, references
``allotments'', as described in paragraph (2) following.
Otherwise, the House bill and Senate amendment are the same
with a technical difference in cross-references.
LC
5. The House bill and Senate amendment have different
paragraph headings.
LC
6. The Senate amendment, but not the House bill,
specifically refers to the Title I section authorizing funds
for this part.
HR
7. The Senate amendment, but not the House bill, has
language regarding the amounts the Secretary may reserve for
the entities listed based on their need for assistance.
HR
8. The House bill and the Senate amendment are the same
with a technical difference in cross-references.
LC
9. The House bill allows the Secretary to reserve 2% of the
amount appropriated in FY 02 for quality initiatives, while
the Senate amendment allows a reservation of 3%. The House
bill and Senate amendment also have a technical difference in
cross-references.
SR with an amendment to change 2% to 3%.
10. The Senate amendment, but not the House bill,
specifically refers to the Title I section authorizing funds
for this part, otherwise the House bill and Senate amendment
are substantially the same.
HR with an amendment to include House subparagraph (C)
regarding the Secretary's reallocation of funds to the
States.
11. The Senate amendment, unlike the House bill, does not
have a ``STATE AWARDS'' subsection heading.
HR
12. The House bill and Senate amendment are substantially
the same with a minor wording difference that does not affect
the meaning.
LC
13. The House bill and the Senate amendment are the same
with a technical difference in cross-references.
LC
14. The House bill, but not the Senate amendment, requires
comprehensive school reform program technical assistance
providers to be financially stable. The Senate amendment, but
not the House bill, requires comprehensive school reform
program technical assistance providers have capacity to
deliver on-site support during reform implementation.
SR on House reference to financially stable.
HR on Senate reference to on-site support.
15. The Senate amendment, but not the House bill, adds the
word ``promising'' before ``effective practices''. The House
bill requires dissemination of ``materials'', while the
Senate amendment requires dissemination of ``information''.
SR on House reference to effective practices.
SR with an amendment to include ``and information'' after
``materials''.
16. The House bill, but not the Senate amendment, contains
the phrase ``and to participating schools''. The House bill
requires technical assistance to be provided, while the
Senate amendment requires technical assistance to be made
available.
SR
17. The Senate amendment, but not the House bill, contains
the word ``STATE'' in the heading.
LC
18. The House bill and Senate amendment are substantially
the same with a technical difference in cross-references. The
Senate amendment refers to subgrants from SEAs to LEAs, while
the House amendment refers to grants from SEAs to LEAs
throughout the remainder of this subsection (or, in the case
of the Senate amendment, throughout this section), with the
exception indicated in note 21.
LC
19. The House bill and the Senate amendment have different
headings.
LC
20. The House bill refers to ``schools'', while the Senate
amendment refers to ``school''.
HR with an amendment to add ``or schools'' after
``school''.

[[Page H9978]]

21. The Senate amendment, but not the House bill, adds the
words ``or consortia''. The Senate amendment refers to the
SEA, while the House bill refers to the State.
HR
22. The Senate amendment, but not the House bill, requires
SEAs to give priority to both conditions in paragraphs in (1)
and (2) when awarding subgrants to LEAs or consortia thereof.
The House bill, but not the Senate amendment, requires SEAs
to only give priority either to clause (i), or clause (ii),
when awarding subgrants to LEAs. With this exception and that
indicated in note 21, the House bill and Senate amendment are
substantially the same in the PRIORITY provisions.
HR
23. The House bill and Senate amendment are substantially
the same with minor, technical wording differences.
LC
24. The House bill and Senate amendment are substantially
the same except the House bill refers to the States
``annual'' evaluation and the Senate bill does not and with
other minor, technical wording differences.
SR/LC
25. The House bill and Senate amendment have different
headings.
SR/LC
26. The Senate amendment, but not the House bill, requires
LEAs to submit an application to the SEA as the SEA may
require. Otherwise the content of LEA applications in the
House bill and the Senate amendment are substantially the
same with the exceptions indicated in notes 27 and 28.
HR
27. The Senate amendment, but not the House bill, adds the
word ``promising'' before ``effective practices''.
SR
28. The Senate amendment, but not the House bill, adds the
word ``comprehensive'' before ``reforms''.
HR
29. The House bill, unlike the Senate amendment, does not
have a section heading.
LC
30. The House bill and Senate amendment have different
headings. The Senate amendment, but not the House bill,
refers to LEAs or consortia thereof. In addition, the Senate
amendment, but not the House bill, requires LEAs to award
subgrants to schools eligible for assistance under part A of
Title I and that are served by that agency.
HR
LC regarding headings.
31. The House bill and the Senate amendment are
substantially the same with the exception indicated in note
27, and the House bill references those strategies and
methods replicated in similar schools, while the Senate
amendment does not reference similar schools.
SR with an amendment to strike ``similar''.
32. See note 3, specifically that part regarding standards.
LC regarding ``academic achievement standards''.
33. The House bill, but not the Senate amendment, requires
benchmarks for student performance goals in a school's
comprehensive school reform program. The House bill refers to
``other professional staff'' while the Senate amendment
refers to ``school personnel staff''.
HR to include both terms: ``other professional staff'' and
``school personnel staff''.
SR to include (E) regarding comprehensive school reform
programs being supported by teachers, principals,
administrators, and other professional staff.
34. The House bill requires the involvement of parents in
``planning and implementing'' school improvement activities,
while the Senate amendment requires parental involvement to
``strengthen'' school improvement activities.
SR with an amendment to strike ``and'' and insert ``,''.
Add `` and evaluating'' after ``implementing'' and add at end
``consistent with section 1118''.
35. The House bill, but not the Senate amendment, requires
an annual evaluation of student results achieved. The Senate
amendment refers to an evaluation of student performance.
SR
36. The House bill and the Senate amendment are
substantially the same with minor technical wording
differences.
LC
37. The House bill, but not the Senate amendment, requires
a school's comprehensive school reform program to have been
proven effective in improving academic performance through
field testing or which has a strong evidentiary basis as
described in subparagraph (J)(i) and (ii).
SR with an amendment to strike ``rigorous field experiments
in multiple cites''; and insert ``scientifically based
research'' and strike all references to ``similar''.
38. The House bill and Senate amendment are substantially
the same with minor wording differences, including a
technical difference in cross-references.
LC
39. The House bill and Senate amendment have different
headings.
SR
40. The House bill and Senate amendment are substantially
the same with a minor wording difference that does not affect
the meaning.
LC
41. The Senate amendment requires the Secretary of
Education to submit an interim report on comprehensive school
reform implementation to Congress, while the House bill
requires the Secretary to submit an interim report on the
first year of comprehensive school reform implementation to
Congress.
HR with an amendment to strike ``Prior to the completion of
the national evaluation.'' Also strike ``an interim'' and
insert ``a''. After ``describing'' add ``results of the
evaluation under subsection (b)''. Also strike
``implementation activities'' and ``which began in 1998''.
42. The Senate amendment requires the Secretary to
``promote'' the activities described in the following
paragraphs, while the House bill requires the Secretary to
``provide funds'' for these activities.
SR
43. The House bill and Senate amendment are similar in
paragraphs (1) and (2), with minor wording differences, a
technical difference in cross-references, and with the
exceptions indicated in the next two notes.
LC
44. The Senate amendment, but not the House bill, requires
the Secretary to support activities that promote financial
stability in comprehensive school reform providers.
HR
45. The House bill, but not the Senate amendment, requires
the Secretary to provide funds for activities to ensure high
quality services meeting the needs of teachers and students.
The Senate amendment requires activities to ``assure
quality'' in paragraph (2).
HR
Authorization Level: House $260 million. Senate $500
million.
SR with an amendment to strike ``$260 million'' and replace
with ``such sums''.

Title I, Part G--Rural Education

(New Title VI, Part B)

1. House bill authorizes program in Title I, Part G and
short title is `Rural Education Initiative Act.' Senate
amendment authorizes program in Title V, Part B, Subpart 2
and short title is `Rural Education Achievement Program.'
HR with an agreement to move to Title VI, Part B.
2. Senate amendment, but not House bill, contains purpose.
HR
3. House bill, but not Senate amendment, contains findings.
HR
4. House bill ``Subpart 1--Rural Education Flexibility.''
Senate amendment ``Chapter 1--Small, Rural School Achievement
Program.''
HR
5. Under House bill, a school district may use applicable
funding for the local activities authorized in: Title I Part
A; Title II Part A (teacher quality), Title III Part A
(education of limited English proficient and immigrant
children); Title IV Part A (innovative programs); Title V
Part A (safe schools and 21st century schools); or Title V
Part B (enhancing education through technology). Under Senate
amendment, a school district may use applicable funding for
the activities authorized in: Section 1114 (schoolwide
programs); Section 1115 (targeted assistance schools);
Section 1116 (assessments and school improvement); Section
2123 (teacher quality--local uses of state grant funds);
Section 4116 (safe and drug-free schools--local drug and
violence prevention); or Section 5331(b) (local activities
under innovative education program strategies).
SR
6. Under House bill, eligibility is limited to fewer than
600 students in average daily attendance, and all of its
schools with a School Locale Code of 7 or 8. Under Senate
amendment, eligibility is limited to (1) Fewer than 600
students in average daily attendance or all schools in the
district located in counties with a population density of
fewer than 10 persons per square mile, and (2) all schools
have a Locale Code of 7 or 8.
HR
7. Under House bill, the Secretary shall determine whether
or not to waive the School Locale Code requirement based on a
demonstration by an LEA and concurrence by the SEA, that the
LEA is located in an area defined as rural by a governmental
agency of the State. Under Senate amendment, the Secretary
may waive the School Locale Code requirement if the Secretary
determines, based on information demonstrated by the LEA or
the SEA on behalf of the LEA, that the LEA is located in an
area defined as rural by a governmental agency of the State.
SR
8. House bill applicable funding: Title II A (teacher
quality); Section 3106 (education of limited English
proficient and immigrant children); Title IV Part A
(innovative programs); Title V Part A, Subpart 1 (safe
schools); and Section 5212(a)(2)(A) (enhancing education
through technology). Senate amendment applicable funding:
Title II (teacher quality); Title IV (Safe and Drug-Free
Schools and Communities Act of 1994); and Title V Part B,
Subpart 4 (innovative education program strategies).
HR/SR with an agreement for ``applicable funding'' to
include: Subpart 2 of Title II (Teachers); Section
2412(a)(2)(A) (Technology); Section 4114 (Safe and Drugfree
Schools); and Part A of Title V (Innovative Programs).
9. Similar provision.
LC
10. Similar provision.
LC
11. House bill contains no similar provision.
HR

[[Page H9979]]

12. Under House bill, grants are authorized for eligible
LEAs to support local or statewide education reform efforts
intended to improve the academic achievement of elementary
school and secondary school students and the quality of
instruction provided for the students. Under Senate
amendment, grants authorized for eligible LEAs for the same
activities supported under the flexibility authority with the
addition of: Section 2213 (mathematics and science
partnerships), or Section 2306 (state and local programs for
technology).
HR with an amendment to mirror Note 5 uses.
13. Similar provision except that the amount in House bill
is based on the preceding fiscal year and the Senate
amendment is based on the same fiscal year.
SR
14. Virtually identical provision.
LC
15. Virtually identical provision.
LC
16. Identical provision.
LC
17. Identical provision.
LC
18. Senate amendment, but not House bill, contains penalty.
HR
19. Identical provision.
LC
20. Similar provision.
SR
21. Identical provision.
LC
22. House bill has no similar provision.
HR
23. Under House bill, LEA must administer assessments
consistent with the provisions of ESEA Title I, Section 1111.
SEA permits only a district meeting ``adequate yearly
progress'' as defined under Section 1111 to continue to
participate after second year of participation. Under Senate
amendment, LEA must assess its student achievement using
statewide assessment consistent with the assessment under
ESEA Title I, Section 1111(b), or, absent such assessment, a
test of its own selection. State permits an LEA to continue
for additional three-year period only if its students perform
``better'' on the assessment after the third year than they
did in the first year. An LEA that does not meet this
criterion is ineligible to participate for a 3-year period.
SR with an amendment to read as follows:
``(1) after each third year that a local educational agency
participates in a program under section 1711 or 1712 and on
the basis of the results of the assessments described in
subsection (a), determine whether the schools served by the
local educational agency participating in the program
performed in accordance with section 1111;
``(2) permit those local educational agencies that
participated and make adequate yearly progress, as described
in section 1111(b)(2), to continue to participate; and,
``(3) only permit those local educational agencies that
participated and fail to make adequate yearly progress, as
described in section 1111(b)(2), to continue to participate
if they disburse applicable funding under section 1711(c) to
carry out the requirements of section 1116.''
24. House bill ``Subpart 2--Rural Education Assistance.''
Senate amendment ``Chapter 2--Low-Income and Rural School
Program.''
HR with an amendment to change title to ``Rural and Low
Income School Program''.
25. House bill, but not Senate amendment, contains
provision to reserve \1/2\ of 1 percent for Bureau of Indian
Affairs.
SR with an amendment to add .5% reservation for outlying
areas.
26. Similar provision.
LC
27. Virtually identical provision.
LC
28. Virtually identical provision.
LC
29. Under House bill, funds can be used for teacher
recruitment and retention, professional development for
teachers, acquisition of educational technology, parental
involvement activities, or programs to improve student
achievement. Under Senate amendment, funds can be used for
the activities described in Section 5331(b) (local activities
authorized under Title V Part B, Subpart 4--innovative
programs). These uses include ones similar to those
identified in House bill and other uses, such as acquisition
of instructional materials, assessments, and curricular
materials; and student and parental literacy efforts.
SR with an amendment to strike (E) and insert ``(E) Safe
and Drug Free Schools; (F) Title I, part A; and (G) Programs
for Limited English Proficient Students''
30. Similar provision.
LC
31. House bill, but not Senate amendment, allows the State,
as appropriate, to define formula.
SR with an amendment to read as follows:
(2) according to a formula based on the number of students
in average daily attendance served by the eligible local
educational agencies or schools in the State. The State
educational agency may use a formula not based on the number
of students in average daily attendance if the State
educational agency demonstrates, to the satisfaction of the
Secretary and prior to awarding grants to local educational
agencies, that the State educational agency will allocate
funds according to a formula which serves high concentrations
of children from low-income families at a level proportional
to or higher than the level that would occur with a formula
based on the number of students in average daily attendance.
Report Language:
The conferees note that the objective of this section is to
allow the State educational agency the flexibility to
implement their own formula so long as that formula is more
likely to allocate funds to areas of high concentrations of
poverty than a formula based on average daily attendance.
32. Virtually identical provision.
SR with an amendment to insert ``and technical assistance
to eligible LEA's'' after ``administrative costs''.
33. Similar provision.
HR
34. Similar provision except that House bill also requires
the SEA to describe the method used to provide assistance to
schools.
SR
35. Virtually identical provision.
LC
36. Virtually identical provision.
LC
37. Senate amendment, but not House bill, contains
``supplement not supplant'' provision.
HR
38. Virtually identical provision.
LC
39. Senate amendment, but not House bill, contains
provision that requires LEAs that receive a grant to
administer an assessment to determine the academic
achievement of students in the schools served by the LEA.
HR with an amendment to amend Senate amendment (c) to read
as follows (consistent with Note 23):
``(c) Academic Achievement.--
``(1) In general.--Each local educational agency that
receives a grant under this chapter [subpart] for a fiscal
year shall administer an assessment consistent with section
1111.
``(2) Special rule.--Each local educational agency that
receives a grant under this chapter [subpart] shall use the
same assessment described in paragraph (1) for each year of
participation in the program carried out under this chapter
[subpart].''
40. House bill, but not Senate amendment, requires the
Secretary to prepare a report for Congress.
SR with an amendment to strike ``annual'' and insert
``biennial'' in (c).
41. House bill requires the Secretary to review the
progress of the SEA or specially qualified agency in
achieving goals and objectives and determine whether the
agency has made progress toward meeting such goals and
objectives. Senate amendment requires the SEA to determine
whether students served by an LEA participating in the
program performed better on assessments after the 3rd year of
participation than the students performed on the assessments
after the first year of participation.
HR with an amendment to amend Senate amendment (d) to read
as follows (consistent with Note 23):
``(d) State Educational Agency Determination Regarding
Continuing Participation.--Each State educational agency that
receives a grant under this chapter [subpart] shall--
``(1) after each third year that a local educational agency
receives funds under this chapter [subpart] and on the basis
of the results of the assessments described in subsection
(c), determine whether the schools served by such local
educational agency performed in accordance with section 1111;
``(2) permit such local educational agencies that make
adequate yearly progress, as described in section 1111(b)(2),
to continue to receive grants; and,
``(3) only permit such local educational agencies that fail
to make adequate yearly progress, as described in section
1111(b)(2), to continue to receive grants if they disburse
such grants to carry out the requirements of section 1116.''
42. House bill, but not Senate amendment, requires the
Secretary to review the use of funds of the SEA or specially
qualified agency.
HR
43. Senate amendment, but not House bill, permits only the
LEAs that performed better on assessments (as described in
Note 39) to continue to participate in the program for an
additional 3 years.
HR
44. House bill permits the Secretary to deny the provision
of additional funds in subsequent fiscal years to an agency
only if the Secretary determines, after notice and an
opportunity for a hearing, that the agency's use of funds has
been inadequate to justify continuation of such funding.
Senate amendment prohibits the LEAs that participated in the
program and served students that did not perform better on
assessments (as described in Note 39) from participating in
the program for a period of 3 years from the date of the
determination.
HR
45. Identical definition.
LC
46. Similar definition.
LC
47. House bill, but not Senate amendment, contains
definition for State.
HR
48. House bill authorizes $300 million for FY 02 and such
sums as may be necessary for the next four years with the
appropriation divided evenly between the two programs
(authorization from Section 1002). Senate amendment
authorizes $150 million for each of the two programs for FY
02 and such sums as may be necessary for each of the next six
fiscal years.

[[Page H9980]]

HR/SR with an agreement to authorize $300 million for FY
2002 and such sums as may be necessary for each of 5
succeeding fiscal years to be distributed equally between
subparts 1 and 2.

Title I, Part H--General Provisions

(New Title I, Part I)

1. The House bill, but not the Senate amendment, makes
several changes to the general provisions of Title I and
includes them in Title I, Part H of the House bill. The
Senate amendment retains current law for the general
provisions for Title I. The Senate amendment redesignates
sections 1601 through 1604 of current law, respectively, as
sections 1901 through 1904. See section 161(2) of the Senate
amendment regarding the redesignation.
SR with amendment to add ``and other organizations'' after
``local boards of education''; Strike ``ensure reasonable
compliance'' and insert ``reasonably ensure that there is
compliance''.
Report Language:
The Conferees intend that parents or other representatives
of migrant children, homeless children, and limited English
proficient children be included among ``parents,'' and that
civil rights groups, test publishers, participating private
schools, and faith-based organizations with educational
expertise be included among the ``other organizations
involved with the implementation and operation of programs
under this title.''
2. The House bill requires the Secretary to establish a
negotiated rulemaking process on a minimum of three key
issues, including accountability, implementation of
assessments, and use of paraprofessionals. The Senate
amendment retains current law which requires a negotiated
rulemaking process on at least two key issues, including (i)
schoolwide programs and (ii) standards and assessments.
SR with an amendment to: Strike (b)(A) and replace with
``(A) at a minimum, establish a negotiated rulemaking
process on standards and assessments.'';
Insert at (b)(3)(B), before the semicolon, ``in such numbers
as will provide an equitable balance between representatives
of parents and students and representatives of educators and
education officials.''; and Strike ``regulations'' and add
``policy options'' in (b)(3)(C).
Report Language:
The Conferees intend that the Secretary select individuals
to participate in the Title I negotiated rulemaking in
numbers that will provide an equitable balance between
representatives of parents and students and representatives
of educators and education officials. The Conferees do not
intend this language to require strict numerical equality or
comparability among these representatives. Rather, the
Conferees intend the Secretary to have flexibility in
selecting the conferees, while ensuring that the views of
both program beneficiaries and program providers are fairly
heard and considered.
3. The House bill, includes provisions governing agreements
and record keeping on proposed regulations and negotiated
rulemaking. The Senate amendment retains current law.
SR
4. The House bill includes a provision on state rulemaking
and regulations. The Senate amendment retains current law.
SR
5. The House bill authorizes a committee of practitioners.
The Senate amendment retains current law. See also section
1002(i) of the House bill for authorization of state
administrative expenses. The Senate amendment retains current
law on the Committee of Practitioners and includes the
authorization for administrative expenses here.
SR
6. The House bill includes a local administrative costs
limitation of not more than 4 percent. The Senate amendment
has no provision.
HR with report language:
The Conferees intend LEAs to use only the necessary and
appropriate amount of funds to provide for administrative
expenses based on a reasonable definition of such expenses.
However, the Conferees recognize the need for additional
information regarding this matter and thereby direct the
Comptroller General of the General Accounting Office to
undertake a study of the definitions of administrative
expenses employed by LEAs across the States and the amount of
funds reserved for such expenses. The design of such study
will be developed by Congress in consultation with the GAO
and, as appropriate, with the Secretary of Education.
7. The Senate amendment, but not the House bill, includes a
provision in section 1120C of part A of Title I that
prohibits the use of funds by a local educational agency for
certain activities. See also Title I, Part A, subpart 1 for
placement of this section.
SR
8. The Senate amendment, but not the House bill, provides
for not less than 6 audits of local educational agencies to
determine how such agencies are expending Title I funds.
HR with amendment to strike ``the Office of Inspector
General'' and add ``General Accounting Office'' in (a) and
(b).
9. The House bill, but not the Senate amendment, ensures
that no provision of Title I affects home schools. See note
125 from Title VIII (General Provisions for all of ESEA) of
House bill which applies the rule of construction to the
entire Act (section 8508 of Title VIII). The Senate amendment
includes a similar provision in section 17(a) and section 11,
also referenced in note 125.
HR
10. The House bill, but not the Senate amendment, ensures
that no provision of Title I affects private schools that do
not receive Title I funds, and no student at such a school is
required to participate in assessments referenced in Title I.
See note 126 from Title VIII (General Provisions for all of
ESEA) of the House bill which applies similar rule of
construction to the entire Act (section 8509 of Title VIII).
The Senate amendment includes a similar provision in section
17(b), also referenced in note 126.
HR
11. The House bill, but not the Senate amendment, ensures
that the privacy of individual assessments results are
protected from disclosure under section 444 of the General
Education Provisions Act. The Senate amendment includes a
similar provision in section 1111(j)(1)(F) of Title I, Part A
but references section 445 rather than section 444.
SR with amendment to move Section 1807 to Title VIII
(General Provisions).

Title II--Teacher and Principal Quality

(New Title II, Parts A, B, and C)

1. House bill Title II is ``Preparing, Training, and
Recruiting Quality Teachers.'' Senate amendment Title II is
``Teachers and Principals.''
SR with an amendment to insert ``and Principals'' after
``Teachers''.
2. House bill Section 201 is ``Teacher Quality Training and
Recruiting Fund.'' Senate amendment Section 201 is ``Teacher
Quality.''
SR with an amendment to insert ``and Principal'' after
``Teacher''.
3. Identical provision.
LC
4. House bill is ``Preparing, Training, and Recruiting
Quality Teachers.'' Senate amendment is ``Teachers and
Principals.''
SR with an amendment to insert ``and Principals'' after
``Teachers''.
5. House bill Part A is ``Teacher Quality Training and
Recruiting Fund.'' Senate amendment Part A is ``Teacher and
Principal Quality.''
SR with an amendment to insert ``and Principal'' after
``Teacher''.
6. Similar provisions.
HR with an amendment to strike ``and student performance''
in Senate (3) and to redesignate Senate (3) as (2).
7. Senate amendment, but not House bill, contains purpose
to hold LEAs and schools accountable so that all teachers
teaching core academic subjects in public schools, in which
not less than 50 percent of the students are from low-income
families, are highly qualified.
SR
8. Senate amendment, but not House bill, contains purpose
of holding LEAs and schools accountable for improvements in
student academic achievement and student performance.
SR (redesignated as (2) in Note 6).
9. House bill Subpart 1 is ``Grants to States to Prepare,
Train, and Recruit Qualified Teachers.'' Senate amendment
Subpart 1 is ``Grants to States.''
HR
10. Similar provisions.
LC
11. Similar provisions.
LC
12. House bill names individual outlying areas; Senate
amendment cites ``outlying areas.''
SR
13. Similar provisions.
SR with an amendment to strike ``for professional
development activities for teachers, other staff, and
administrators''.
14. Senate amendment, but not House bill, limits the amount
of funds that may be reserved for BIA and Outlying Areas to
the amount received by these entities in FY 01.
SR
15. Similar provisions (wording differs).
LC
16. House bill, but not Senate amendment, sets the hold
harmless amount for nonparticipating States at what they
would have received in FY 01, had they participated.
HR
17. Similar provision.
LC
18. House bill formula to the States is 50% based on
population and 50% based on poverty. Senate amendment formula
to the States is 35% based on population and 65% based on
poverty.
HR
19. House bill defines poverty here based on OMB definition
and Senate amendment defines poverty in Section 2102 based on
OMB definition.
HR
20. Similar small State minimum.
LC
21. Similar provisions (wording differs).
LC
22. House bill, but not Senate amendment, has language that
provides that funds granted under this Subpart shall be used
to carry out activities for the improvement of teaching and
learning.
HR
23. Under House bill, States may reserve not more than 5%
of funds for one or more of the authorized State activities
described in Subsection (e) [Authorized State Activities];
and for planning and administration related to carrying out
such activities and making

[[Page H9981]]

subgrants to LEAs under Subparts 2 [math and science
partnerships] and 3 [Subgrants to LEAs]. Under Senate
amendment, States must reserve 2% of funds available for
State activities described in Subsection (b) [State
Activities]; 95% of the funds to make subgrants to LEAs as
described in Subpart 2 [Subgrants to LEAs]; and 3% of the
funds to make subgrants to local partnerships as described in
Subpart 3 [Subgrants to Eligible Partnerships].
HR with an amendment to read as follows:

``SEC. 2113. STATE USE OF FUNDS.

``(a) In General.--A State that receives a grant under
section 2111 shall--
``(1) reserve 95 percent of the funds to make subgrants to
local educational agencies as described in subpart 2
[Subgrants to Local Educational Agencies];
``(2) reserve 2.5 percent (or, for a fiscal year described
in subsection (b), the percentage determined under subsection
(b)) of the funds to make subgrants to local partnerships as
described in subpart 3 [Subgrants to Eligible Partnerships];
and
``(3) use the remainder of the funds for State activities.
``(b) Special Rule.--For any fiscal year for which the
total amount that would be reserved by all States under
subsection (a)(2), if the State applied a 2.5 percentage
rate, exceeds $125,000,000, the Secretary shall determine an
alternative percentage that the States shall apply for that
fiscal year under subsection (a)(2) so that the total amount
reserved by all States under subsection (a)(2) equals
$125,000,000.''
24. House bill, but not Senate amendment, caps State
administrative costs at 1% of the total State grant.
SR with an amendment to read as follows:
``(4) Administrative costs.--A State educational agency or
State agency for higher education receiving a grant under
this part may use not more than 1 percent of the amount of
funds provided under the grant for planning and
administration related to carrying out activities under
subsection (b) [State Activities] and subpart 3 [Subgrants to
Eligible Partnerships].''
25. Similar provisions.
LC
26. House bill, but not Senate amendment, provides that a
grant to a State can only be awarded if the State agrees to
distribute the funds described in this subsection as
subgrants to LEAs.
SR
27. House bill, but not Senate amendment, contains a hold
harmless provision for LEAs.
SR
28. House bill, but not Senate amendment, contains a
provision for nonparticipating agencies.
SR
29. House bill, but not Senate amendment, contains a
provision for ratable reduction.
SR
30. Similar provisions except House bill provides for
allotment of additional funds (above the LEA hold harmless
provision).
SR
31. Similar provisions (20% based on population) except
that House bill is based on the relative enrollment in public
and private nonprofit elementary and secondary schools within
LEAs and Senate amendment is based on the number of
individuals age 5 through 17 in the geographic area served by
LEAs.
HR
32. Similar provisions (80% based on poverty) except that
House bill defines poverty here based on OMB definition and
Senate amendment defines poverty in Section 2102 based on OMB
definition.
LC
33. House bill, but not Senate amendment, provides that all
new funding above the LEA hold harmless level goes out 50%
for LEAs and 50% for Math and Science partnerships under
Subpart 2.
HR
34. House bill, but not Senate amendment, requires States
to award competitive subgrants for Math and Science
partnerships (Senate amendment Section 2201 contains separate
program for math and science partnerships).
HR
35. Under House bill, but not Senate amendment, although
50% of the excess is for partnerships, that amount cannot
equal more than 15% to 20% of the total state allocation
minus State reservation, the precise percentage in that range
being chosen by the State.
HR
36. Under House bill, but not Senate amendment, States must
award at least 15%--but not more than 20%--of the funds (at
the discretion of the State) on a competitive basis to
eligible partnerships under Subpart 2.
HR
37. House bill lists authorized activities. Senate
amendment requires SEA to carry out one or more of the listed
activities, including through a grant or contract with a for-
profit or nonprofit entity.
HR
38. Similar provision except that Senate amendment includes
language regarding principals.
HR
39. Similar provision except the Senate amendment includes
language regarding principals.
HR
40. Similar provision.
SR
41. Similar provision except that Senate amendment includes
language regarding technology literacy and principals (Senate
amendment also uses term ``performance standards'').
HR with an amendment to strike ``performance'' and insert
``academic''.
42. Similar provisions except that Senate amendment, but
not House bill, specifically mentions ``assistant
principals,'' ``team teaching,'' and ``reduced schedules.''
HR with an amendment to read as follows:
``(2) Carrying out programs that provide support, including
during their initial experience, to teachers, principals, or
assistant principals, such as programs that provide teacher
mentoring, team teaching, reduced schedules, and intensive
professional development.''
43. House bill similar to Senate amendment (8) below.
SR
44. Similar provisions except that Senate amendment, but
not House bill, includes principals and specifically includes
MA recipients.
HR
45. House bill, but not Senate amendment, emphasizes math
and science.
SR
46. Similar provisions except that Senate amendment
includes language for pupil services personnel and recruiting
specialists in core academic subjects (Language in Senate
amendment paragraph (6) largely duplicates Senate amendment
paragraph (5)).
HR with an amendment to strike Senate (6) and amend Senate
(5) to read as follows:
``(5)(A) Developing and implementing effective mechanisms
to assist local educational agencies and schools in
effectively recruiting and retaining highly qualified
teachers and principals, including specialists in core
academic subjects, and pupil services personnel.
``(B) Special rule.--Funds under this paragraph may be used
for pupil services personnel only in cases in which the State
educational agency deems appropriate, if the State
educational agency is making progress toward meeting the
objectives described in section 2141(a) [Accountability], and
in a manner consistent with mechanisms to assist local
educational agencies and schools in effectively recruiting
and retaining highly qualified teachers and principals.''
47. House bill provides for reforming tenure systems and
implementing teacher testing and other procedures to
expeditiously remove ineffective teachers from the classroom.
Senate amendment provides for testing new teachers for
subject matter knowledge, and testing the teachers for State
certification or licensing (similar to House bill (iii)
above).
HR/SR with an amendment to combine language in House bill
and Senate amendment and add report language:
``(8) Reforming tenure systems, implementing teacher
testing for teachers for subject matter knowledge, and
implementing teacher testing for teachers for State
certification or licensing, consistent with title II of the
Higher Education Act of 1965.''
Report Language:
The conferees recognize that a State educational agency may
elect to reform tenure systems and implement teacher testing
to expeditiously remove ineffective teachers from the
classroom, while ensuring due process consistent with State
law.
48. Similar provisions regarding tenure reform.
HR/SR (addressed in Note 47).
49. Senate amendment contains no similar provision.
SR with an amendment to strike ``enhanced performance'' and
after ``strategies'' insert ``to document student academic
gains or increases in teachers' mastery of subjects they
teach.''
50. Senate amendment contains no similar provision.
SR with an amendment to combine with Note 65.
``(18) Fulfilling the State's responsibilities concerning
proper and efficient administration of the programs carried
out under this part including technical assistance to local
educational agencies.''
51. Similar provision except that House bill provides that
reciprocity agreements cannot weaken State teacher
certification requirements and Senate amendment includes
principals.
SR with an amendment to insert ``and principal'' after
``reciprocity of teacher''.
52. Senate amendment contains no similar provision.
SR with an amendment to combine with Note 64.
``(8) Developing or assisting local educational agencies in
the development and utilization of proven, innovative
strategies to deliver intensive professional development
programs that are both cost-effective and easily accessible,
such as through the use of technology, peer networks, and
distance learning.''
53. Senate amendment, but not House bill, includes
administrators.
HR
54. Similar provision except that Senate amendment contains
specific language regarding the ability to collect, manage,
and analyze data to improve teaching, decision making and
school improvement efforts and accountability.
HR
55. Similar provision except that House bill includes
language on assessments for teachers and differential pay for
teachers in high need subject areas and House bill also
focuses on teachers in high need subject areas in high-
poverty districts.

[[Page H9982]]

SR with an amendment to strike ``rigorous assessments for
teachers'' and add report language:
Report Language:
The Conferees note that locally negotiated and
collaboratively designed programs for performance based pay
systems are an effective type of merit based pay in that
performance based pay systems reward teachers for working
together to raise student achievement for all students
throughout the school.
56. Senate amendment contains no similar provision.
SR
57. Senate amendment contains no similar provision.
SR
58. House bill contains no similar provision.
HR (LC use ``highly qualified'' throughout this Title; LC
with Note 78).
59. House bill contains no similar provision.
HR
60. House bill contains no similar provision.
HR
61. House bill contains no similar provision.
HR
62. House bill contains no similar provision.
SR
63. House bill contains no similar provision.
HR with an amendment to read as follows:
``(15) Providing professional development for teachers and
principals and, in cases in which a State educational agency
deems appropriate, supporting the participation of pupil
services personnel in the same type of professional
development activities made available to teachers and
principals.''
64. House bill contains no similar provision.
SR (see Note 52).
65. House bill contains no similar provision.
SR (see Note 50).
66. Similar coordination provision.
LC
67. Similar provisions.
LC
68. Senate amendment, but not House bill, requires a
description of how activities will be based on review of
relevant research and include explanation of why they are
expected to improve student performance and outcomes.
HR with an amendment to strike ``relevant'' and insert
``scientifically based'' and to strike ``performance and
outcomes'' and insert ``academic achievement''.
69. Similar provisions.
LC
70. Senate amendment, but not House bill, requires a
description of how the SEA will ensure that activities are
aligned with State content standards, student performance
standards, and assessments
HR with an amendment read as follows:
``(2) A description of how the State educational agency
will ensure that activities assisted under this subpart are
aligned with State academic content and achievement
standards, assessments, and State and local curriculum.''
71. House bill, but not Senate amendment, requires a
description of how the State will use funds under this Part
to meet the requirements of section 1119(a)(2).
SR (LC on reference to section 1119(a)(2)).
72. Senate amendment, but not House bill, requires a
description of how SEA will use funds to improve the quality
of the State's teachers, principals, and assistant
principals, and the educational opportunities for students.
HR with an amendment to strike ``, and the educational
opportunities for students''.
73. Similar coordination provisions except House bill
includes 21st Century Schools (Title V, Part A--Subpart 2),
and Senate amendment includes Title II of HEA.
SR with an amendment to read as follows:
``(3)(A) A description of how the State educational agency
will coordinate professional development activities
authorized under this part with professional development
activities provided under other Federal, State, and local
programs.
(B) The application shall also describe the comprehensive
strategy that the State educational agency will take as part
of such coordination effort, to ensure that teachers are
trained in the utilization of technology so that technology
and its applications are effectively used in the classroom to
improve teaching and learning in all curriculum and content
areas, as appropriate.''
74. House bill, but not Senate amendment, requires a
description of how the State will encourage the development
of proven, innovative strategies to deliver intensive
professional development programs such as through the use of
technology and distance learning.
SR
75. Similar provisions except House bill cites language
(Section 2033) defining a broad range of attributes for the
professional development that is to be supported and Senate
amendment includes input from paraprofessionals,
administrators, and other school personnel (but not
principals).
HR/SR to combine language (LC on reference to section
2033):
``(6)(A) A description of how the State educational agency
will ensure compliance with section 2033 and how the
activities to be carried out are developed collaboratively
and are based on the input of teachers, principals, parents,
administrators, paraprofessionals, and other school
personnel.
(B) In the case of a State where the State educational
agency is not the entity responsible for teacher professional
standards, licensing, and certification an assurance that the
state activities under this subpart are carried out in
conjunction with the entity responsible for these activities
under State law.''
76. Senate amendment, but not House bill, requires a
description of how the SEA will ensure that the professional
development (including teacher mentoring) needs of teachers
will be met using funds under this Subpart and Subpart 2.
HR
77. Senate amendment, but not House bill, requires a
description of the SEA's annual measurable performance
objectives under Section 2141 (State Performance Objectives
and Accountability).
HR with an amendment to strike ``performance''.
78. House bill contains no similar provision (although
House bill (2) and Senate amendment (9) both have to do with
the quality objectives regarding teachers).
HR with an amendment to read as follows (LC on references
to sections 1119 and 2141):
``(9) A description of how the State educational agency
will use funds under this part to meet the teacher and
paraprofessional requirements of section 1119 and how the
State educational agency will hold local educational agencies
accountable for meeting the measurable objectives under
section 2141.''
79. Senate amendment, but not House bill, requires an
assurance that the SEA will consistently monitor the progress
of each LEA in meeting the performance objectives described
in Section 2142 (Local Performance Objectives and
Accountability).
SR (see Note 172).
80. Senate amendment, but not House bill, requires--in the
case of a State that has a charter school law that exempts
teachers from State certification and licensing
requirements--a description of the basis for the exemption.
HR with an amendment to read as follows:
``(11) In the case of a State that has a charter school law
that exempts teachers from State certification and licensing
requirements, the State educational agency shall include as
part of their application the specific portion of the State
law which provides for this exemption.''
81. House bill contains no similar provision regarding
participation by private school children and teachers.
HR
82. Similar provision except House bill includes language
regarding State notice and opportunity for a hearing.
SR with an amendment to read as follows:
``(c) General Approval.--A State educational agency's
application submitted pursuant to subsection (a) shall be
deemed to be approved by the Secretary unless the Secretary
makes a written determination, prior to the expiration of the
120 day period beginning on the date that the Secretary
receives the application, that the application is in
violation of this part.
``(d) Disapproval.--The Secretary shall not finally
disapprove an application, except after giving the State
educational agency notice and opportunity for a hearing.
``(e) Special Rule.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
the provisions of this part, the Secretary shall:
``(1) implement the procedures described in subsection (d);
and
``(2) notify the State educational agency of the findings
of non-compliance where such notification shall--
``(A) cite the specific provisions in the application that
are not in compliance; and
``(B) request additional information, only as to those
noncompliant provisions, needed to make the application
compliant.
``(f) If the State educational agency does not respond to
the notification described in subsection (e)(2) within 45
days, such application is not approved.
``(g) If the State educational agency does respond to the
Secretary's notification described in subsection (e)(2)
within 45 days with the requested information necessary to
make the application compliant, the Secretary shall approve
or disapprove such application not later than 45 days
following its resubmission or the end of the 120 day period
described in subsection (c), whichever is later.''
83. House bill contains no similar provision. Senate
amendment provides funds to the State agency for Higher
Education to make competitive subgrants to eligible
partnerships.
HR with an amendment to read as follows and report
language:

``Subpart 3--Subgrants to Eligible Partnerships

``SEC. 2131. SUBGRANTS.

[[Page H9983]]

``(2) eligible partnerships in all geographic areas within
the State are served through the subgrants.
``(c) Special Rule.--No single participant in an eligible
partnership may use more than 50 percent of the funds made
available to the partnership under this section.

``SEC. 2132. APPLICATIONS.

``SEC. 2133. USE OF FUNDS.

``(a) In General.--An eligible partnership that receives a
subgrant under section 2131 shall use the funds made
available through the subgrant for--
``(1) professional development activities in core academic
subjects to ensure that teachers and highly qualified
paraprofessionals, and, if appropriate, principals have
subject matter knowledge in the academic subjects that the
teachers teach including the use of computer related
technology to enhance student learning and that principals
and assistant principals have the instructional leadership
skills that will help such principals and assistant
principals work most effectively with teachers to help
students master core academic subjects; and
``(2) developing and providing assistance to local
educational agencies and individuals who are teachers, highly
qualified paraprofessionals, or principals of schools served
by such agencies, for sustained, high-quality professional
development activities that--
``(A) ensure that the individuals are able to use State
academic content standards, academic achievement standards,
and assessments to improve instructional practices and
improve student academic achievement;
``(B) may include intensive programs designed to prepare
such individuals who will return to a school to provide
instruction related to the professional development described
in subparagraph (A) to other such individuals within such
school; and
``(C) may include activities of partnerships between
institutions of 1 or more local educational agencies, 1 or
more schools served by such local educational agencies, and 1
or more institutions of higher education for the purpose of
improving teaching and learning at low-performing schools.
``(b) Coordination.--An eligible partnership that receives
a subgrant to carry out this subpart and a grant under
section 203 of the Higher Education Act of 1965 shall
coordinate the activities carried out under this subpart and
the activities carried out under section 203.

``SEC. 2134. DEFINITIONS.--

In this subpart--
``(1) Eligible Partnership.--The term 'eligible
partnership' means an entity that--
``(A) shall include--
``(i) a private or State institution of higher education
and the division of the institution that prepares teachers
and principals;
``(ii) a school of arts and sciences; and
``(iii) a high need local educational agency; and
``(B) may include another local educational agency, a
public charter school, an elementary school or secondary
school, an educational service agency, a nonprofit
educational organization, another institution of higher
education, a school of arts and sciences within such an
institution, the division of such an institution that
prepares teachers and principals, a nonprofit cultural
organization, an entity carrying out a prekindergarten
program, a teacher organization, principal organization, or a
business.
(2) Low-Performing School.--The term `low-performing
school' means an elementary school or secondary school that
is identified under section 1116.''
Report Language:
The Conferees intend that the partnerships described in
section 2131 [Subgrants to Eligible Partnerships] include
education councils and professional development schools, or
similar partnerships, including those funded under Section
203 of the Higher Education Act, that contain 1 or more local
educational agencies, acting on behalf of elementary schools
or secondary schools served by the agencies and 1 or more
institutions of higher education, including community
colleges. The purpose of these partnerships is to provide
professional development to teachers to ensure that the
teachers are prepared and meet high standards for teaching,
particularly by educating and preparing prospective teachers
in a classroom setting and enhancing the knowledge of in-
service teachers while improving the education of the
classroom students. Such partnerships also substantially
increase interaction between faculty at institutions of
higher education and new and experienced teachers,
principals, and other administrators at elementary schools or
secondary schools, and provide support, including preparation
time, for such interaction.
84. Similar provision.
HR with an amendment to insert ``local educational
agencies'' after ``higher education,''.
85. House bill contains no similar provision.
HR with an amendment to insert ``Improve and'' before
``upgrade'' and insert ``, training'' after ``recruiting''.
86. Similar provisions (wording differs).
HR
87. Senate amendment contains no similar provision.
HR
88. Similar provisions (wording differs).
SR
89. House bill contains no similar provision.
HR
90. House bill contains no similar provision.
HR
91. House bill reserves funds for States to award grants to
partnerships (see Section 2023). Senate amendment authorizes
a separate competitive grant program with grants awarded by
the Secretary.
HR with an amendment to read as follows:

``Subpart 1--Grants for Math and Science Partnerships

``SEC. 2211. GRANTS AUTHORIZED.

``(a) Grants by the Secretary.--In any fiscal year in which
the appropriations for this subpart are less than
$100,000,000, the Secretary is authorized to award grants, on
a competitive basis, to eligible partnerships to carry out
the authorized activities in section 2213.
``(b) Grants to States.--
``(1) In any fiscal year in which the appropriations for
this subpart equal or exceed $100,000,000, the Secretary is
authorized to make grants to State educational agencies to
enable the State educational agency to award grants, on a
competitive basis, to eligible partnerships to carry out the
authorized activities in section 2213.
``(2) Subject to subparagraph (1), the Secretary shall
allot the amount made available under this subpart for a
fiscal year among the States in proportion to the number of
children, aged 5 to 17, who reside within the State from
families with incomes below the poverty line.
``(3) In any fiscal year in which this subsection applies,
no State shall receive less than one half of one percent.''
92. Senate amendment provides that the Secretary award
grants for 5 years. House bill permits grants between 2 and 5
years.
HR with an amendment to strike ``5'' and insert ``3''.
93. Senate amendment, but not House bill, contains a
provision that requires matching funds from States.
HR with an amendment to read as follows:
``(c) Special Rule.--Grant funds received under this
subpart shall be used to supplement and not supplant funds
that would otherwise be used for activities funded under this
subpart.''
94. Senate amendment requires that the Secretary give a
priority for high need LEAs here, while House bill definition
of ``eligible partnership'' requires that eligible
partnerships contain a high need LEA (Section 2026).
SR
95. Similar provision except that House bill is an
application to the State and the Senate amendment is an
application to the Secretary.
HR with an amendment to read as follows:

``SEC. 2212. APPLICATION REQUIREMENTS.

``(a) In General.--Each eligible partnership desiring a
grant under this subpart shall submit an application to the
Secretary, if funds are awarded under section 2211(a), and to
the State educational agency, if funds are awarded under
section 2211(b), at such time, in such manner, and
accompanied by such information as the Secretary or State
educational agency, as the case may be, may require.''
96. House bill requires a general assessment while the
Senate amendment delineates specific elements that may be
included in assessment of teacher quality and professional
development.
HR with an amendment to read as follows and report
language:
``(1) the results of a comprehensive assessment of the
teacher quality and professional development needs of all the
schools and agencies participating in the eligible
partnership with respect to the teaching and learning of
mathematics and science.''
Report Language:
The application requirements for the partnership grants
include completing and reporting on a comprehensive
assessment of teacher quality in the relevant schools and
districts. Such an assessment should include relevant
information regarding the needs of the schools and districts
with respect to the quality of teaching and learning of
mathematics and science, including, but not limited to: (1)
information regarding the participation of students in
advanced courses in mathematics and science; (2) the
percentages of secondary school classes in mathematics and
science taught by teachers with academic majors in
mathematics and science (respectively); (3) the number and
percentage of mathematics and science teachers who
participate in content-based professional development
activities; and (4) the extent to which elementary teachers
have the necessary content knowledge to teach mathematics and
science.
97. Similar provision except that Senate amendment includes
local standards.
SR with an amendment to insert ``and achievement'' after
``content''.
98. Similar provisions.
SR with an amendment to strike ``relevant'' and insert
``scientifically based'' in House (3).
99. Senate amendment, but not House bill, requires a
description of how the SEA and LEA will comply with
requirements regarding participation by private school
children and teachers.
HR with an amendment to read as follows:
``(5) a description of how the eligible partnership will
continue the activities funded

[[Page H9984]]

under this subpart after the original Federal grant has
ended.''
100. House bill provides that the SEA, working in
conjunction with the State agency for higher education (if
such agencies are separate), shall award subgrants on a
competitive basis to eligible partnerships. Senate amendment
authorizes a separate competitive grant program with grants
awarded by the Secretary (see Section 2211).
HR
101. House bill, but not Senate amendment, provides that
the State shall award for a period of not less than 2 and not
more than 5 years.
HR
102. Similar provision.
HR
103. House bill contains no similar provision.
HR
104. House bill contains no similar provision.
HR
105. House bill contains no similar provision.
HR
106. Similar provision except that House bill is more
detailed in summer professional development workshop
requirements.
SR with an amendment to insert ``including follow-up
training'' after ``institutes''.
107. Similar provisions except that House bill is focused
on recruiting math, engineering and science students or
mathematicians, engineers and scientists to teaching and
Senate amendment is focused is on recruitment of math and
science majors.
HR with an amendment to insert ``, engineering'' after
mathematics in Senate (3) and insert ``, engineering'' after
``mathematics'' each place it appears in Senate (3)(A).
108. House bill contains no similar provision.
HR
109. House bill contains no similar provision.
HR with an amendment to insert ``, engineering'' after
``mathematics''.
110. House bill contains no similar provision.
HR with an amendment to insert ``, engineering'' after
``mathematics''.
111. House bill contains no similar provision.
HR with an amendment to insert ``, engineering'' after
``mathematics'' and strike ``grounded in'' and insert ``based
on scientifically based''.
112. House bill contains no similar provision.
HR with an amendment to strike ``novice'' and insert
``beginning and other''.
113. Similar provision, except House bill includes
mathematicians and engineers, and states a purpose for the
activity.
SR
114. House bill contains no similar provision.
HR with an amendment to strike ``master'' and insert
``exemplary''.
115. House bill contains no similar provision.
SR
116. House bill contains no similar provision.
SR
117. Senate amendment provides for a priority for high need
LEAs only for the mastery incentive system (House bill
requires that all partnerships contain a high need LEA).
SR
118. House bill, but not Senate amendment, requires States
to give priority to applications seeking to fund summer
workshops.
HR
119. House bill contains no similar provision.
SR
120. House bill contains no similar provision.
HR with an amendment to read as follows:
``(12) Training teachers and developing programs to
encourage young women and other underrepresented individuals
in mathematics and science careers (including engineering and
technology) to pursue postsecondary degrees in majors leading
to such careers.''
121. Senate amendment does not contain a provision
regarding coordination with the Higher Education Act.
SR with an amendment to read as follows (see Note 299):
``(e) Coordination and Consultation.--
``(1) Partnerships receiving grants under section 203 of
the Higher Education Act of 1965 (20 U.S.C. 1023) shall
coordinate the use of such funds with any related activities
carried out by such partnership with funds made available
under this subpart; and
``(2) In carrying out the activities authorized by this
subpart, the Secretary shall consult and coordinate
activities with the Director of the National Science
Foundation, particularly with respect to the appropriate
roles for the Department and the Foundation in the conduct of
summer workshops, institutes, or partnerships to improve
mathematics and science teaching in elementary schools and
secondary schools.''
122. Similar provision, except all elements listed for
Senate amendment are required; only House bill (1) is
required.
SR with an amendment to read as follows (combine Notes 122
through 128):

``SEC. 2024. EVALUATION AND ACCOUNTABILITY PLAN.

``(a) In General.--Each eligible partnership receiving a
subgrant under this subpart shall develop an evaluation and
accountability plan for activities assisted under this
subpart that includes rigorous objectives that measure the
impact of activities funded under this subpart.
``(b) Contents.--The plan--
``(1) shall include measurable objectives to increase the
number of mathematics and science teachers who participate in
content-based professional development activities; and
``(2) shall include measurable objectives for improved
student performance on State mathematics and science
assessments or, where applicable, an International Math and
Science Study assessment;
``(3) may include objectives and measures for--
``(A) increased participation by students in advanced
courses in mathematics and science;
``(B) increased percentages of elementary school teachers
with academic majors or minors, or group majors or minors, in
mathematics, engineering, or the sciences;
``(C) increased numbers of mathematics and science teachers
who participate in content-based professional development
activities; and
``(D) increased percentages of secondary school classes in
mathematics and science taught by teachers with academic
majors in mathematics and science, respectively.''
123. House bill, but not Senate amendment, requires plan to
include goals related to increasing the number of math and
science teachers participating in content-based professional
development.
SR (see Note 122).
124. Similar provision, except Senate amendment includes
performance on TIMSS.
SR (see Note 122).
125. Identical provisions.
SR (see Note 122).
126. Senate amendment contains no similar provision.
SR (see Note 122).
127. House bill contains no similar provision.
SR (see Note 122).
128. Identical provisions.
SR (see Note 122).
129. Similar provision.
LC
130. Similar provision. House bill language applies only to
subgrants made for 5-year period (House bill permits grants
between 2 and 5 years to be made; only 5 year grants can be
made under Senate amendment.
LC with an agreement to strike ``performance''.
131. Similar provision except House bill applies only to
subgrants made for 5-year period (House bill permits grants
between 2 and 5 years; only 5 year grants can be made under
Senate amendment).
HR/SR (delete language).
132. Similar provision.
HR with an amendment to insert ``if funds are awarded under
section 2211(a)'' after ``a State educational agency'' (LC on
reference to section 2211(a)).
133. House bill does not specifically include an
engineering department, but identifies private and state-
supported public institutions of higher education; Senate
amendment generally refers to institutions of higher
education.
HR
134. House bill, but not Senate amendment, requires all
partnerships to include a high need LEA.
SR
135. House bill allows another entire higher education
institutions or teaching training departments within them.
Senate amendment limits eligibility to only specific
departments of higher education institutions.
HR
136. House bill, but not Senate amendment, specifically
includes charter schools and consortia.
SR
137. Identical provision.
LC
138. Similar provision except that Senate amendment
identifies a broader array of entities.
HR with an amendment to redraft and include report
language:
``(iv) a nonprofit or for-profit organization of
demonstrated effectiveness.''
Report Language:
The conferees recognize that a nonprofit or for-profit
organization of demonstrated effectiveness may include a
museum, research institution, or a or high-impact public
coalition composed of leaders from business, kindergarten
through grade 12 education, institutions of higher education,
public policy organizations, and other organizations.
139. Senate amendment defines ``high need local educational
agency'' here.
HR/SR with an agreement to move redrafted definition of
`high need local educational agency to Title II definitions
(see Note 297).
140. Similar definition (wording differences).
LC
141. Similar provision.
LC
142. Senate amendment, but not House bill, contains special
rule to allow grants to be used to hire teachers to reduce
class size (House bill groups allowable activities together
and also allows hiring of teachers).
SR
143. House bill list of uses is permissive. Senate
amendment requires LEAs to carry out at least 1 of these
activities.
HR
144. Senate amendment, but not House bill, allows LEAs to
carry out these activities

[[Page H9985]]

through a grant or contract with a for-profit or nonprofit
entity.
HR
145. House bill is similar to Senate amendment Section
2123(a) (Special Rule). Senate amendment specifies retention
as a focus on these activities (in subsequent provision House
bill addresses retention).
HR with an amendment to read as follows:
``(8)(A) Developing and implementing mechanisms to assist
schools in effectively recruiting and retaining highly
qualified teachers who will be assigned teaching positions
within their field, principals, and pupil services personnel.
``(B) Special rule.--Funds under this paragraph may be used
for pupil services personnel only in cases in which the local
educational agency deems appropriate, if the local
educational agency is making progress toward meeting the
objectives described in section 2141(a) [Accountability], and
in a manner consistent with mechanisms to assist schools in
effectively recruiting and retaining highly qualified
teachers and principals.''
146. Similar recruitment activities except that House bill
allows funds to be used to recruit individuals who are
underrepresented in the teaching field and the Senate
amendment allows funds to be used to recruit teachers in
order to reduce class size and special education teachers.
SR with an amendment to read as follows:
``(5) Initiatives to assist in recruiting, particularly
activities that have proven effective in retaining highly
qualified teachers, and hiring highly qualified teachers who
will be assigned teaching positions within their field,
including--
``(A) providing scholarships, signing bonuses or other
financial incentives, such as differential pay, for teachers
to teach in schools or in academic subject areas in which
there exists a shortage of such highly qualified teachers
within a school or the local educational agency;
``(B) recruiting and hiring highly qualified teachers to
reduce class size, particularly in the early grades;
``(C) establishing programs that--
``(i) train and hire regular and special education teachers
(which may include hiring special education teachers to team-
teach in classrooms that contain both children with
disabilities and nondisabled children);
``(ii) train and hire teachers of special needs children,
who are highly qualified as well as teaching specialists in
core academic subjects who will provide increased
individualized instruction to students;
``(iii) recruit qualified professionals from other fields,
including highly qualified paraprofessionals and provide such
professionals with alternative routes to teacher
certification, including hiring policies that ensure
comprehensive recruitment efforts as a way to expand the
applicant pool, such as through identifying teachers
certified through alternative routes, coupled with a system
of intensive screening designed to hire the most qualified
applicant; and
``(iv) provide increased opportunities for minorities,
individuals with disabilities, and other individuals
underrepresented in the teaching profession.''
147. House bill contains no similar provision.
HR with an amendment to read as follows and report
language:
(1) Providing professional development activities that
improve the knowledge of teachers and principals, and, where
appropriate paraprofessionals, concerning--
``(A) 1 or more of the core academic subjects that the
teachers and principals teach;
``(B) effective instructional strategies, methods, and
skills and use of State academic content standards, student
academic achievement standards, and assessments to improve
teaching practices and student achievement;
``(C) effective instructional practices that--
``(i) involve collaborative groups of teachers and
administrators;
``(ii) provide training in how to teach and address the
needs of students with different learning styles,
particularly students with disabilities, students with
special learning needs (including those who are gifted and
talented) and students with limited English proficiency;
``(iii) provide training in methods of improving student
behavior in the classroom and how to identify early and
appropriate interventions to help children described in (ii)
learn;
``(iv) provide training to enable teachers and principals
to involve parents in their child's education, especially
parents of LEP and immigrant children; and
``(v) provide training on how to understand and use data
and assessments to improve classroom practice and student
learning.''
Report Language:
The Conferees note that effective instructional practices
that involve collaborative groups of teachers and
administrators includes such strategies as the provision of
dedicated time for collaborative lesson planning and
curriculum development meetings; consultation with exemplary
teachers; team teaching, peer observation, and coaching;
provision of short-term and long-term visits to classrooms
and schools; the establishment and maintenance of local
professional development networks that provide a forum for
interaction among teachers and administrators about content
knowledge and teaching and leadership skills; and the
provision of release time as needed for such activities.
The Conferees recognize that effective professional
development strategies, methods, and skills may include
implementing a year-round school schedule that allows the
local educational agency to increase pay for teachers.
148. House bill specifies activities to promote retention
of highly qualified teachers and principals, particularly in
schools with high percentage of low-achieving students.
Senate amendment provides for induction and support for
teachers, principals, and assistant principals during their
first 3 years of employment as teachers, principals, or
assistant principals.
SR with an amendment to: strike ``newly hired'' and ``such
as'' in House (A); strike ``master'' and insert ``exemplary''
in House (A); redesignate Senate (4) as new House (B);
redesignate House (B) as (C); and redesignate House (C) as
(D) and insert ``and students with disabilities'' after
``minority groups''.
149. House bill focuses mentoring on newly hired teachers
as part of effort to retain highly qualified teachers and
principals. Senate amendment specifies that teacher and
principal mentoring is an allowable LEA activity.
SR on House (3)(A) with an amendment to read as follows (LC
on references to section 2033 and part D):
``(A) innovative professional development programs (which
may be through partnerships including institutions of higher
education), including programs that train teachers and
principals to integrate technology into curricula and
instruction to improve teaching, learning, and technology
literacy, are consistent with the requirements of section
2033, and are coordinated with part D;''
SR on House (3)(B)
150. Similar provisions (wording differs).
LC with agreement to add report language:
Report Language:
The Conferees note that locally negotiated and
collaboratively designed programs for performance based pay
systems are an effective type of merit based pay in that
performance based pay systems reward teachers for working
together to raise student achievement for all students
throughout the school.
151. Senate amendment contains no similar provisions.
SR with an amendment to strike House (4) and strike
``exceptionally'' in House (5).
152. Identical provision.
LC with an agreement to strike ``master'' and insert
``exemplary''.
153. House bill, but not Senate amendment, stipulates that
if funding for partnerships under Subpart 2 is less than 15%
of the State allocation minus state reservation for
activities, administration and planning, the State shall use
not less than the amount expended by the agency under section
2206(b) of this Act (as in effect on the day before the date
of the enactment of the No Child Left Behind Act of 2001),
for the fiscal year preceding the year in which such
enactment occurs, to carry out professional development
activities in mathematics and science.
HR
154. House bill contains no similar provision.
SR
155. House bill contains no similar provision.
HR with an amendment to read as follows (see Note 297 for
definition of exemplary teacher):
``(7) Carrying out programs and activities related to
exemplary teachers.''
156. Similar provision.
HR
157. Senate amendment, but not House bill, requires
applications to be based on the needs assessment.
HR
158. House bill contains no similar provisions.
HR with amendment to:
Strike ``content standards, performance standards'' in
Senate (b)(1)(A)(i) and insert ``academic standards, student
academic achievement'';
Strike ``relevant'' in Senate (b)(1)(B) and insert
``scientifically based''; and
Strike ``and student performance'' in Senate (b)(2).
159. Similar provisions except House bill includes schools
with large average class size.
SR with an agreement to use ``highly qualified''.
160. Similar provision.
SR
161. Similar provisions although House bill includes 21st
Century Schools (Title V, Part A, Subpart 2), and Senate
amendment includes Title II of HEA.
SR with an amendment to strike all after ``local programs''
in House (2).
162. House bill contains no similar provision.
HR with an amendment to combine with Note 164:
``(5) A description of the professional development
activities that will be made available to teachers and
principals under this subpart and how the local educational
agency will ensure that the professional development (which
may include teacher mentoring) needs of teachers and
principals will be met using funds under this subpart.''
163. Senate amendment contains no similar provision.
SR with an amendment to strike ``to utilize technology to
improve teaching and learning'' and insert ``to integrate
technology into curricula and instruction to improve
teaching, learning, and technology literacy'' (see Note 149).

[[Page H9986]]

164. House bill contains no similar provision.
SR
165. Similar provisions. House bill only applies to
application preparation and specifies administrators. Senate
amendment applies to planning activities and application
preparation and includes paraprofessionals and identifies
other relevant school personnel.
HR
166. House bill contains no similar provision.
HR
167. House bill contains no similar provision.
SR
168. House bill contains no similar provision.
SR (see Note 172).
169. House bill contains no similar provision.
HR with an amendment to read as follows:
``(11) A description of how the local educational agency
will provide training to enable teachers to--
``(A) teach and address the needs of children with
different learning styles, particularly students with
disabilities, students with special learning needs (including
those who are gifted and talented), and students with limited
English proficiency;
``(B) improve student behavior in the classroom and
identify early and appropriate interventions to help children
described in (A) learn;
``(C) involve parents in their child's education; and
``(D) understand and use data and assessments to improve
classroom practice and student learning.''
170. House bill contains no similar provision.
HR
171. House bill contains no similar provisions on needs
assessment.
HR with an amendment to strike ``student performance'' in
(2) and insert ``student academic achievement''.
172. Senate amendment, but not House bill, contains
accountability provisions for Title II. House bill contains
accountability provisions in Title I and requires that all
teachers be ``fully qualified'' by December 31, 2005.
HR with an amendment to read as follows:

``SEC. XXXX. TECHNICAL ASSISTANCE AND ACCOUNTABILITY.

``(a) Improvement Plan.--After the second year of the plan
described in section 1119(a)(2), if a State educational
agency, based on the reports described under section
1119(b)(1), determines that a local educational agency in the
State has failed to make progress toward meeting the
measurable objectives described in section 1119(a)(2), such
local educational agency shall develop an improvement plan to
enable the agency to meet such measurable objectives that
specifically addresses issues that prevented the agency from
meeting such measurable objectives.
``(b) Technical Assistance.--During the development of the
improvement plan described in subsection (a) and throughout
its implementation, the State educational agency shall--
``(1) provide technical assistance to the local educational
agency; and
``(2) provide technical assistance, if applicable, to
schools served by the local educational agency that need
assistance to enable the local educational agency to meet the
measurable objectives described in section 1119(a)(2).
``(c) Accountability.--After the third year of the plan
described in section 1119(a)(2), if the State educational
agency determines, based on the reports described under
section 1119(b)(1), that the local educational agency has
failed to make progress toward meeting the measurable
objectives described in section 1119(a)(2), and has failed to
make adequate yearly progress as described under section
1111(b)(2), for 3 consecutive years, the State educational
agency shall enter into an agreement with such agency on the
use of its funds under this part. As part of this agreement,
the State educational agency shall--
``(1) develop, in conjunction with the local educational
agency, teachers, and principals, professional development
strategies and activities, based on scientifically based
research, that the local educational agency will use to meet
the measurable objectives described under section 1119(a)(2)
and require such agency to utilize such strategies and
activities; and
``(2) prohibit the use of funds received under title I,
part A to fund any paraprofessional hired after such
determination is made by the State educational agency in
subsection (c), except that if the local educational agency
can demonstrate that a significant influx of population has
substantially increased student enrollment, or can
demonstrate an increased need for translators or assistance
with parental involvement activities, the State may allow the
hiring of new paraprofessionals, under title I, part A, to
address these specific needs.
``(d) During the development of the strategies and
activities described in subsection (c)(1), the State
educational agency shall, in conjunction with the local
educational agency, provide funds directly to a school or
schools served by such local educational agency, for the
teachers to choose, in continuing consultation with the
principal, professional development consistent with the
requirements of [reference ``professional development''
definition in General Provisions] and coordinated with other
reform efforts at the school.''
173. House bill contains no similar provision.
SR with agreement to send joint House and Senate letter to
GAO.
174. House bill requires that professional development meet
the requirements of the state Title I plan that all teachers
are fully qualified by December 31, 2005 and contains similar
language to House bill Title I, Section 1119(A).
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
175. House bill contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
176. Similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
177. House bill contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
178. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
179. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
180. House bill contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
181. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
182. House bill requires that professional development
activities be tied to ``scientifically based research.''
Senate amendment requires that activities be based on the
``best available research.''
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
183. Similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
184. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
185. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
186. House bill calls for professional development to
enable teachers and principals to effectively use technology
while Senate amendment seeks to strengthen teachers' ability
to integrate technology into the curriculum.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
187. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
188. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
189. Similar provision (wording differs).
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
190. Similar provision (wording differs).
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
191. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
192. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
193. Senate amendment contains no similar provision.
HR/SR with an agreement to move redrafted definition of
`professional development' to General Provisions.
194. Senate amendment contains no similar provision
regarding Teacher Opportunity Payments.
HR
195. Senate amendment contains no similar provisions.
HR
196. House bill incorporates the Troops-to-Teachers program
into the ESEA. Senate amendment amends current law (Troops-
to-Teachers Program Act of 1999--Title XVII of the National
Defense Authorization Act of Fiscal Year 2000). [References
to Senate language regarding Troops-to-Teachers reflect
current law language as amended by Senate amendment].
SR
197. House bill contains no similar provision.
HR
198. Similar provision. Senate amendment amends Section
1701 to define ``administering Secretary'' to mean Secretary
of

[[Page H9987]]

Education (under House bill, by incorporation in ESEA,
``Secretary'' is the Secretary of Education).
SR
199. Senate amendment amends Section 1701 to strike
definition of ``alternative certification or licensure
requirement'' from current law (House bill has no definition
of that phrase).
SR
200. Senate amendment amends Section 1701 to add active and
former members of the Coast Guard to definition of ``member
of Armed Forces'' (House bill specifies that program is for
members and former members of the Armed Forces which includes
Coast Guard).
SR
201. Similar provisions. House bill specifies members and
former members of the Armed Forces who meet requirements of
Section 2042; Senate amendment specifies members of the Armed
Forces who retire.
SR
202. House bill, but not Senate amendment, uses term
``fully qualified'' to describe teachers.
SR with an amendment to strike ``fully'' and insert
``highly''.
203. Senate amendment amends current law to add assistance
to members of the active reserve forces to activities. House
bill has no comparable language.
SR (see Note 213).
204. House bill specifies employment in schools or as
vocational or technical teachers.
SR
205. Senate amendment specifies employment by LEAs with
shortages.
HR
206. Similar provisions except under House bill, the
memorandum of agreement is between the Secretaries of
Education and Defense. Under Senate amendment, the memorandum
of agreement is between administering Secretary (Secretary of
Education) and DANTES.
SR
207. Senate amendment, but not House bill, permits
administering Secretary to retain funds to identify LEAs with
concentrations of low-income children or teacher shortages,
or States with alternative certification.
SR
208. Similar provision. House bill provision is similar to
Section 1703(d) of current law as amended by Senate
amendment.
LC
209. House bill requires Secretary of Education to provide
information to Secretary of Defense for dissemination. Senate
amendment has no comparable requirement for Secretary of
Education although it requires Secretary of Defense to
disseminate the information.
SR
210. Similar provisions. House bill characterizes placement
and referral services as ``regarding employment
opportunities.'' House bill extends services to those leaving
active duty under ``other than adverse conditions,'' while
Senate amendment specifies honorable discharge. (House bill
in Section 2042(c)(3) requires honorable discharge for
eligibility).
HR
211. Senate amendment, but not House bill, specifies that
the members have to meet educational qualifications.
HR
212. House bill contains no similar provision to this new
Subsection in Section 1702.
LC (see Note 206).
213. Provisions governing eligible members differ between
House and Senate language. House bill covers several specific
groups of members; Section 1703(a) as amended by Senate
targets program to retirees from October 1, 2000 to September
30, 2006 or members of active reserve.
SR with an amendment add new paragraph at the end of
(a)(1):
``(C) on or after the date of the enactment of the No Child
Left Behind Act of 2001, has an approved date of voluntary
retirement from the reserve and, as of the date the member
submits an application to participate in the Program, has one
year or less of reserve duty remaining before retirement.''
SR with an amendment to (a)(2) to read as follows:
``(2) Any member who, on or after the date of the enactment
of the No Child Left Behind Act of 2001--
``(A)(i) is separated or released from active duty after
six or more years of continuous active duty immediately
before the separation or release;
``(ii) has a total of ten years active or reserve duty; or
``(iii) has a combined total of ten years active duty and
reserve service; and
``(B) executes a reserve commitment agreement for a period
of three years under subsection (e)(2).''
214. Similar provisions.
LC
215. House bill specifies that application needs to be
submitted during specified time period. Senate amendment
amends section 1704(a) to strike ``on a timely basis.''
SR
216. No comparable provision in current law as amended by
Senate.
SR
217. House bill provision is similar to section 1703(b) of
current law as amended by Senate. Wording differs in some
places. Primary difference is that House bill reduces from 10
to 6 the number of years of military experience in a
vocational or technical field required as one option for
member applying for placement as vocational or technical
teacher.
SR
218. Section 1703(c) of current law as amended by Senate
requires member's last period of service to have been
characterized as honorable. House bill has similar language
and adds provision directed to individuals selected to
participate prior to retirement, separation, or release from
active duty.
SR
219. House bill provision similar to section 1704(b) of
current law as amended by Senate, but Senate amendment
includes as selection priority members with educational or
military experience in another subject area identified as
important for national educational objectives.
SR
220. House bill provision similar to section 1704(c) of
current law as amended by Senate (wording differs).
LC
221. No comparable provision in current law as amended by
Senate.
SR (see Note 213).
222. House bill similar to section 1704(d) as amended by
Senate.
LC
223. House bill, but not Senate amendment, uses term
``fully qualified'' to describe teachers.
SR with an amendment to strike ``fully'' and insert
``highly''.
224. Both House bill and Senate amendment would reduce the
required commitment in current law from 4 years down to 3
years, only Senate permits Secretary of Defense to waive the
3 year commitment.
HR
225. House bill, but not Senate amendment, refers to
charter schools.
SR with an amendment to strike ``fully'' and insert
``highly'' and insert ``high need'' after ``years with a''.
226. Similar provisions.
LC
227. House bill refers to an institution of higher
education; current law as amended refers to eligible
institution.
SR
228. House bill, but not Senate amendment, uses term
``fully qualified.''
SR with an amendment to strike ``fully'' and insert
``highly''.
229. House bill provision same as current law section
1705(a) as amended by Senate.
LC
230. House bill, but not Senate amendment, has limit on
total number of stipends.
SR with an amendment to strike ``3,000'' and insert
``5,000''.
231. House bill provision similar to current law section
1705(b) as amended by Senate.
LC
232. House bill, but not Senate amendment, uses term
``fully qualified.''
SR with an amendment to strike ``fully'' and insert
``highly''.
233. House bill reduces commitment to 3 years; current law
as amended by Senate does not.
SR
234. House bill, but not Senate amendment, has limit on
total number of bonuses.
SR with an amendment to strike ``1,000'' and insert
``3,000''.
235. House bill specifies that high need school must meet 1
or more of 3 criteria involving students counted for purposes
of making Title I grants, students qualifying for IDEA
assistance, or any other criteria established by Secretary in
consultation with National Assessment Governing Board.
Current law as amended by Senate stipulates that school must
be in a low-income district as defined by the Secretary.
SR with an amendment to strike House (C).
236. Identical provision.
LC
237. House bill provisions regarding reimbursement
required, amount of reimbursement, treatment of obligation,
exceptions to reimbursement requirement, and relationship
to educational assistance under Montgomery GI Bill are
similar to current law section 1705(d)(1)-(3) as amended
by Senate (wording differs).
LC
238. Current law section 1705(d)(4) describes how interest
is to be calculated on amounts owed by participants; House
has no comparable language.
SR
239. Similar provision.
LC
240. House bill and current law section 1706(a) as amended
by Senate amendment are similar; terms used to reference
Secretary differ.
LC
241. House bill and current law section 1706 (b) as amended
by Senate are similar, but Senate amendment does not include
the $4 million obligation limitation and does not refer to
``former members.''
SR with an amendment to strike ``4,000,000'' and insert
``5,000,000''.
242. Similar provision except House bill describes purpose
in more detail.
SR
243. House bill refers to vocational or technical teachers;
current law as amended by Senate does not.
SR
244. Virtually identical provisions.
LC
245. House bill, but not Senate amendment, provides that
the program must address additional requirements set by
Secretary.
SR
246. Similar provisions. House bill includes States among
entities eligible to submit applications and Senate amendment
gives administering Secretary discretion over the

[[Page H9988]]

timing and manner of and information in, applications.
LC
247. House bill provides that continuation of program is
not responsibility of the Secretary. Senate amendment permits
higher education institutions wanting to continue program to
use tuition charges to do so.
HR/SR with an agreement to keep provisions in House bill
and Senate amendment.
248. House bill, but not current law as amended by Senate,
has funding limitation.
SR with an amendment to strike ``5,000,000'' and insert
``10,000,000''.
249. Senate amendment has no comparable provision.
SR with an amendment to: strike ``each year'' and insert
``2006''; strike ``each'' after ``Comptroller General
shall''; and strike House (c).
250. Current law as amended by the Senate only defines
``administering Secretary,'' ``member of the Armed Forces,''
and ``State.''
SR
251. House bill authorizes $50 for both Troops-to-Teachers
and Transition-to-Teaching programs combined. Senate
amendment authorizes $50 million solely for the Troops-to-
Teachers program.
HR/SR with an agreement to authorize $150 million for both
Troops-to-Teachers and Transition to Teaching programs
combined of which up to $30 million shall be reserved for
Troops-to-Teachers. (see Note 289)
252. Senate amendment includes a Transition to Teaching
authority among the required national activities that the
Secretary must support (this is separate from the Careers to
Classrooms authority). House bill Transition to Teaching
program is delineated with features similar to the Senate
Careers to Classrooms. Those two programs are aligned below.
SR with an amendment to: strike Senate (d); strike
``Careers to Classrooms'' in heading of Senate (e) and insert
``Transition to Teaching'' (LC throughout); and insert
continuation of award language for current grantees.
253. House bill refers to high need LEAs and career
changers, and identifies specific subject areas. Senate
amendment addresses its purposes to mid career professionals,
recent college graduates, and paraprofessional, and
references high need schools.
HR with an amendment to: strike ``and certain
paraprofessionals''; and insert ``(including highly qualified
paraprofessionals)'' after ``mid-career professionals''.
254. Senate amendment, but not House bill, has development
and expansion of alternative certification as a purpose.
HR
255. House bill defines ``program participants'' and Senate
amendment defines ``eligible participant'' differently
(Senate amendment definition establishes more specific
criteria that vary depending upon the level of instruction.).
HR with an amendment to read as follows:
``(A) Eligible participant.--The term `eligible
participant' means--
``(i) an individual with substantial demonstrable career
experiences, including a highly qualified paraprofessional;
or
``(ii) an individual who is a graduate of an institution of
higher education who--

``(A) has graduated not later than 3 years before applying
to an agency or consortium to teach under this subsection;
and
``(B) in the case of an individual wishing to teach in a
secondary school, has completed an academic major (or courses
totaling an equivalent number of credit hours) in the
academic subject that the individual will teach.''

256. House bill contains no similar provision.
HR/SR with an agreement to move redrafted definition of
``high need local educational agency'' to Title II
definitions (see Note 297).
257. House bill contains no similar provision.
HR
258. House bill contains no similar provision.
SR
259. House bill contains no similar provision.
SR (definition of ``poverty line'' moved to General
Provisions).
260. House bill authorizes grants to higher education
institutions; Senate amendment has priority for
collaborations with higher education institution or nonprofit
organization with a proven record regarding teacher
recruitment and retention.
HR with an amendment to read as follows:
``(3) Grant program.--
``(A) In general.--The Secretary shall establish a program
to make grants on a competitive basis to eligible entities to
develop State and local teacher corps or other programs to
establish, expand, or enhance teacher recruitment and
retention efforts.
``(B) Eligible entity.--An eligible entity described in (A)
means a:
``(i) State educational agency;
``(ii) high need local educational agency;
``(iii) for-profit and nonprofit organization that has a
proven record of effectively recruiting and retaining highly
qualified teachers in partnership with a high need local
educational agency or a State educational agency;
``(iv) institution of higher education in partnership with
a high need a local educational agency or a State educational
agency;
``(v) regional consortia of State educational agencies; or
``(vi) consortia of high need local educational agencies.
``(C) Priority.--In making such a grant, the Secretary
shall give priority to an eligible entity that applies for a
grant in partnership with a high need local educational
agency or a State educational agency.''
Report Language:
For a grant that involves a for-profit organization,
nonprofit organization, or an institution of higher
education, the conferees intend that such entities may apply
for and receive a grant from the Secretary. In doing so, such
entities shall describe in their application how the entity
will partner with a high need local educational agency or
State educational agency.
261. Similar provision.
LC
262. House bill contains no similar provision.
HR with an amendment to read as follows:
``(B) Contents.--The application shall--
``(i) describe the target recruitment group upon which the
applicant will focus its recruitment efforts and the
characteristics of the target group that shows the knowledge
and experience of its members and demonstrates that the
members are eligible to meet the purpose of this section;
``(ii) describe how the applicant will use funds received
under this subsection to develop a teacher corps or other
program to recruit and retain highly qualified mid-career
professionals, including highly qualified paraprofessionals,
recent college graduates and graduate school graduates, as
highly qualified teachers in high need schools;
``(iii) explain how the program will meet the relevant
State laws (including regulations) related to teacher
certification and licensing and facilitate the certification
or licensing of such teachers;
``(iv) describe how the grant will increase the number of
highly qualified teachers in high need schools in high need
school districts (that are urban or rural) and in high need
academic subjects in the jurisdiction served by the
applicant; and
``(v) a description of how the applicant will collaborate,
as needed, with other institutions, agencies, or
organizations to recruit, particularly through activities
that have proven effective in retaining highly qualified
teachers, train, place, support, and provide teacher
induction programs to program participants under this
section, including evidence of commitment of those
institutions, agencies, or organizations to the applicant's
program.''
263. Senate amendment contains no similar provision.
HR/SR (provisions redrafted under Note 262).
264. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
265. Similar provision.
HR/SR (provisions redrafted under Note 262).
266. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
267. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
268. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
269. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
270. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
271. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
272. House bill contains no similar provision.
HR/SR (provisions redrafted under Note 262).
273. House bill requires collaboration in implementation of
the program. Senate amendment requires collaboration in
development of the application and delineates a broader range
of individuals and entities.
HR/SR (provisions redrafted under Note 262).
274. Senate amendment contains no similar provision.
HR/SR (provisions redrafted under Note 262).
275. House bill contains no similar provision.
HR
276. Similar provisions (wording differs).
LC
277. House bill contains no similar provision.
HR
278. Senate amendment, but not House bill, has general
statement of uses of funds.
HR with an amendment to read as follows:
``(8) Uses of funds.--
``(A) In general.--An applicant that receives a grant under
this subsection shall use the funds made available through
the grant to develop a teacher corps or other program in
order to establish, expand, or enhance a teacher recruitment
program for highly qualified mid-career professionals,
including highly qualified paraprofessionals, and graduates
of institutions of higher education, who are eligible
participants, including activities that provide alternative
routes to teacher certification.

[[Page H9989]]

``(B) Authorized activities.--The applicant shall use the
funds to carry out a program that includes 2 or more of the
following activities--
``(i) Providing scholarships, stipends, bonuses, and other
financial incentives, that are linked to participation in
activities that have proven effective in retaining teachers
in higher need school districts, to all eligible
participants, not to exceed $5,000 per participant;
``(ii) Pre-and post-placement induction or support
activities that have proven effective in recruiting and
retaining teachers such as mentoring, internships, high
quality, pre-service course work and high quality, sustained
in-service professional development;
``(iii) Placement and ongoing activities to ensure that
teachers are placed in fields which they are qualified to
teach and are placed in the highest need schools;
``(iv) Make payments to schools to pay for costs associated
with accepting teachers recruited under this subsection from
among eligible participants or to provide financial
incentives to prospective teachers who are eligible
participants;
``(v) Collaborate with institutions of higher education in
developing and implementing programs to facilitate teacher
recruitment (including teacher credentialing) and teacher
retention programs;
``(vi) Carry out other programs, projects, and activities
that are designed and have proven to be effective in
recruiting and retaining teachers; and that the Secretary
determines to be appropriate; and
``(vii) Develop Long-term Recruitment and Retention
Strategies including a statewide or region wide clearinghouse
for the recruitment and placement of teachers, the
establishment of administrative structures to development and
implement programs to provide alternative routes to
certification, reciprocity agreements between or among States
for the certification or licensure of teachers, or other
long-term teacher recruitment and retention strategies.
``(C) Effective activities.--The applicant shall use the
funds only for activities that have proven effective in both
recruiting and retaining teachers.''
279. House bill permits funds to be used for identified
activities. Senate amendment requires grantees to carry out a
teacher corps or other program including 2 or more of the
listed activities.
HR/SR (provisions redrafted under Note 278).
280. Senate amendment contains no similar provision.
HR/SR (provisions redrafted under Note 278).
281. Similar provisions except Senate amendment delineates
incentives in detail and identifies criteria the participants
must meet.
HR/SR (provisions redrafted under Note 278).
282. Senate amendment, but not House bill, authorizes
payments to participating schools.
HR/SR (provisions redrafted under Note 278).
283. Senate amendment contains no similar provision.
HR/SR (provisions redrafted under Note 278).
284. Senate amendment contains no similar provision.
HR/SR (provisions redrafted under Note 278).
285. House bill provides for general post-placement
activities for participants. Senate amendment enumerates
several such activities.
HR/SR (provisions redrafted under Note 278).
286. House bill and Senate amendment have similar
provisions governing length of required service and
repayment. House bill defines period of service as at least 3
years in high need LEA. Senate amendment requires recipient
to teach for at least 2 years in high need school during 5
year period following completion of training.
SR
287. House bill contains no similar provision.
HR
288. House bill contains no similar provision.
HR
289. House bill authorizes $50 million for both Troops-to-
Teachers and Transition-to-Teaching programs combined. Senate
amendment authorizes $200 million solely for the Careers to
Classrooms program and $50 million solely for Troops-to-
Teachers program.
HR/SR with an agreement to authorize $150 million for both
Troops-to-Teachers and Transition to Teaching programs
combined of which up to $30 million shall be reserved for
Troops-to-Teachers. (see Note 251)
290. Senate amendment, but not House bill, provides for a
National Teacher Recruitment Campaign.
HR with an agreement to move redrafted provision to Subpart
5 of Part A.
291. House bill contains no similar provisions.
SR
292. Senate amendment, but not House bill, contains
``National Programs.''
HR
293. Senate amendment authorizes a separate program for
school leadership with separate authorization of $50 million
for FY02 and such sums as may be necessary for each
subsequent fiscal year.
HR with an agreement to move redrafted provision to Subpart
5 of Part A.
294. Senate amendment, but not House bill, requires
Secretary to support activities related to advanced
certification with grants awarded to the National Board for
Professional Teaching Standards.
HR with an agreement to move to Subpart 5 of Part A and an
amendment to read as follows and report language:
``(d) Advanced Certification or Advanced Credentialing.--
``(1) In general.--The Secretary shall support activities
to encourage and support teachers seeking advanced
certification or advanced credentialing through high quality
professional teacher enhancement programs designed to improve
teaching and learning.
``(2) Implementation.--In carrying out paragraph (1), the
Secretary shall make grants to eligible entities to--
``(A) develop teacher standards which include measures tied
to increased student academic achievement; and
``(B) to promote outreach, teacher recruitment, teacher
subsidy, or teacher support programs related to teacher
certification by the National Board for Professional Teaching
Standards, the National Council on Teacher Quality, and other
nationally recognized certification organizations.
``(3) Eligible entities.--Under this section, eligible
entities include--
``(A) State educational agencies;
``(B) local educational agencies;
``(C) the National Board for Professional Teaching
Standards in partnership with a high need local educational
agency or a State educational agency;
``(D) the National Council on Teacher Quality in
partnership with a high need local educational agency or a
State educational agency; or
``(E) other recognized entities, including other recognized
certification organizations, in partnership with a high need
local educational agency or a State educational agency.''
``(e) Special Education Teacher Training.--The Secretary is
authorized to award a grant to the University of Northern
Colorado to enable such university to provide other
institutions of higher education assistance in training
special education teachers.''
Report Language:
For a grant that involves the National Board for
Professional Teaching Standards, the National Council on
Teacher Quality, or other recognized certification
organizations, the conferees intend that such entities may
apply for and receive a grant from the Secretary. In doing
so, such entities shall describe in their application how the
entity will partner with a high need local educational agency
or State educational agency.
In recognition of the importance of teachers having current
content knowledge, as well as pedagogical expertise, the
conferees urge that the Secretary give priority to applicants
that show that the weight given to the content knowledge
portion of the advanced certification or credentialing is at
least 60 percent, and provide assurances that they will work
with the Secretary and States to conduct outreach activities
for teachers serving in high poverty areas to seek advanced
certification or credentialing and provide them with
incentives to obtain such certification or credentialing.
295. House bill authorizes $3.6 billion for FY 02 and such
sums as may be necessary for the next four years. In
addition, House bill authorizes $50 million for the Troops-
to-Teachers and Transition-to-Teaching programs combined.
Senate amendment authorizes $3 billion (other than subpart 5)
for FY 02 and such sums as may be necessary for each of the 6
succeeding fiscal years. In addition, Senate amendment
authorizes $100 million (other than subsections (b), (e), and
(f)) for FY 02 and such sums as may be necessary for each of
the 6 succeeding fiscal years. [See section 1003(b) for
specific authorization levels through FY 08].
HR with an amendment to strike ``3,000,000,000'' in section
2103(a) and insert ``3,175,000,000'' and to strike ``6
succeeding'' and insert ``5 succeeding'' and an agreement to
authorize National Activities at such sums.
296. House bill contains no similar provision.
SR
297. House bill and Senate amendment define different
terms.
HR/SR with an agreement to define the following terms in
Title II:
``(1) Arts and sciences.--The term `arts and sciences'
means--
``(A) when referring to an organizational unit of an
institution of higher education, any academic unit that
offers one or more academic majors in disciplines or content
areas corresponding to the academic subject matter areas in
which teachers provide instruction; and
``(B) when referring to a specific academic subject matter
area, the disciplines or content areas in which academic
majors are offered by the arts and sciences organizational
unit.
``(2) Charter school.--The term `charter school' has the
meaning given the term in section 5120.
``(3) High need local educational agency.--The term `high
need local educational agency' means--
``(A) a local educational agency which serves at least
10,000 children from families with incomes below the poverty
line; or more than 20 percent of the children served by such
agency are from families with incomes below the poverty line;
and
``(B) a local educational agency in which there is a high
percentage of teachers not

[[Page H9990]]

teaching in the content area in which the teachers were
trained to teach.
``(4) Highly qualified paraprofessional.--The term `highly
qualified paraprofessional' means a paraprofessional--
``(i) with at least two years of experience in a classroom;
and
``(ii) with at least two years of postsecondary education
or has demonstrated competence in a field or subject matter
for which there is a significant shortage of qualified
teachers.
``(5) Out-of-field teacher.--The term `out-of-field
teacher' means a secondary school teacher who is teaching an
academic subject for which the teacher is not highly
qualified.
``(6) Publicly report.--The term `publicly report', when
used with respect to the dissemination of information, means
that the information is made widely available to the public,
including parents and students, in an understandable and
uniform format, and to the extent practicable in a language
the parent can understand, through such means as the Internet
and major print and broadcast media outlets.''
298. House bill contains no similar provision.
SR
299. House bill contains no similar provision.
SR (see Note 121).
300. Senate amendment separately authorizes math and
science partnerships at $900 million (House bill math and
science partnerships are reserved under Title II, Part A
authorization).
HR with an amendment to strike ``$900,000,000'' and insert
``$450,000,000''.
301. Senate amendment, but not House bill, authorizes funds
for clearinghouse.
SR
302. House bill transfers and continues the National
Writing Project as Part B of Title II. Senate amendment
amends entire program to ``read as follows'' as Part B of
Title XVI. (Subsequent references to ``current law'' are to
current law as extended by provisions in House bill).
HR/SR with an agreement to move to Subpart 3 of Part C.
303. Senate amendment, but not House bill, adds
``continuing.''
SR
304. Senate amendment, but not House bill, adds new text
beginning with ``the shortage of . . .''
SR
305. Senate amendment adds new statistics regarding
writing.
SR
306. Senate amendment similar to current law (wording
differs).
SR
307. Senate amendment similar to current law (wording
differs).
SR
308. No comparable provision in current law.
SR
309. Senate amendment similar to current law (wording
differs).
SR
310. Senate amendment modifies current law which describes
teachers in all regions of the country who have developed
successful methods for teaching writing.
SR
311. Senate amendment similar to current law (wording
differs).
SR
312. Senate amendment adds ``reading'' to current law.
SR
313. Senate amendment updates current law statistics.
SR
314. Senate amendment replaces two subsections from current
law that describe results of studies and amount of funding
leveraged by federal support.
SR
315. Senate amendment, but not House bill, drops language
describing National Writing Project summer and school year
activities, teachers-teaching-teachers, career-long
education, the number of sites needed to serve all teachers,
and the inadequate nature of private foundation resources for
National Writing Project.
HR
316. No comparable provision in current law.
HR
317. Similar provision to current law, except Senate
amendment drops list of activities.
HR
318. Except where noted, Senate amendment retains current
law.
HR
319. Senate amendment similar to current law (wording
differs).
HR
320. Senate amendment increases maximum for individual
contractor from $40,000 to $100,000.
HR
321. Senate amendment drops current law language regarding
classroom teacher grants.
HR
322. Senate amendment updates current law which applied
limit to FY 1994 and succeeding four fiscal years.
HR
323. House bill authorizes such sums as may be necessary
for FY 02 and succeeding four fiscal years. Senate amendment
specifies authorization of $15 million for FY 02 and such
sums as may be necessary for succeeding 6 fiscal years.
HR with an amendment to strike ``6 succeeding fiscal
years'' and insert ``5 succeeding fiscal years''.
324. Senate amendment contains no similar provision.
SR
325. House bill ``Civic Education'' is Part C of Title II
and Senate amendment ``Education for Democracy'' is Part D of
Title XVI.
HR/SR with an agreement to move to Subpart 4 of Part C.
326. Identical provision.
LC
327. Identical provisions.
HR/SR (no findings).
328. Identical provisions.
HR
329. Identical provisions.
HR/SR with an agreement that:
The allocation reserved for the ``We the People Program''
be awarded to the Center for Civic Education; and
The allocation reserved for ``Cooperative Civic Education
and Economic Education Exchange Programs'' be awarded to the
Center for Civic Education (37.5 percent); the National
Council on Economic Education (37.5 percent); and up to 3
grants to other organizations (25 percent).
330. House bill contains similar provisions throughout this
part but requires the Secretary of Education to get the
``concurrence'' of the Secretary of State.
HR with an amendment to strike Senate (2).
331. Virtually identical provisions.
LC
332. House bill provides for ``allowable'' uses of funds;
Senate amendment has ``requirements''--provisions are
otherwise identical.
SR
333. Virtually identical provision.
HR
334. Virtually identical provisions.
LC
335. House bill provides for ``allowable'' uses of funds;
Senate amendment has ``requirements''--provisions are
otherwise identical.
SR
336. Virtually identical provisions.
HR
337. Virtually identical provisions.
HR
338. House bill has similar avoidance of duplication
provisions (see below).
SR
339. Virtually identical provisions.
LC
340. Senate amendment has similar avoidance of duplication
provisions (see above).
SR
341. Similar definition except that House bill requires the
``concurrence'' of the Secretary of State as compared to
``consultation'' under Senate amendment.
SR
342. House bill authorizes such sums as may be necessary
for each of FY 02 through FY 06 with a limitation on funding
for activities under subsection (a)(2). Senate amendment
authorizes $15 million for Section 11304 for FY 02 and such
sums as may be necessary for each of FY 03 through FY 08 and
authorizes $12 million for Section 11305 for FY 02 and such
sums as may be necessary for each of FY 03 through FY 08.
HR/SR with an agreement to use a single authorization for
FY 2002 of $30 million, of which not more than 40 percent of
the amount appropriated shall be used for Cooperative Civic
Education and Economic Education Exchange Programs.
343. Similar provisions except where noted.
SR
344. House bill has ``Liability'' in the title.
HR with an amendment to strike findings.
345. Senate amendment has concluding phrase ``which are
critical for the continued economic development of the United
States.''
HR/SR (no findings).
346. House bill contains no similar provision.
HR with an amendment to strike (5) and (6) in findings and
in section 10003 add new (a):
``(a) This title shall only apply to those States that
receive funds under this Act, and shall apply to such a State
as a condition of receiving such funds.''
347. Similar provisions (wording differs).
HR
348. House bill contains no similar provision.
HR
349. Senate amendment contains no similar provision.
HR
350. House bill contains no similar provision.
HR
351. House bill includes school board, and local
educational agency and any employee of the agency in
definition of ``teacher.'' Senate amendment specifies terms
applies only to members of a school board and does not
reference districts and district employees.
SR with an amendment to (6) to read as follows:
``(6) Teacher.--The term `teacher' means a teacher;
instructor; principal; administrator; other educational
professional that works in a school; professional or non-
professional employee that works in a school whose job it is
to maintain discipline or ensure safety, or due to an
emergency is called upon to maintain discipline or ensure
safety; or an individual member of a school board (as
distinct from the board itself).''

[[Page H9991]]

352. House bill contains no similar provision.
HR with an amendment to strike ``the Paul D. Coverdell
Teacher Protection Act of 2001'' and insert ``[Short Title of
this Act]''.
353. Similar provision (wording differs).
HR
354. House bill contains no similar provision.
HR with an agreement to move redrafted Early Childhood
Educator Professional Development provisions to Subpart 5 of
Part A.
355. House bill contains no similar provision.
HR/SR with an agreement to move National Panel on Teacher
Mobility to Subpart 5 of Part A and add report language.
Report Language:
Research indicates that many qualified teachers are not
presently working as teachers despite the growing shortage of
teachers in many communities due to obstacles related to
teacher mobility. The bill includes authorization for a Panel
on Teacher Mobility to study strategies for increasing
mobility and employment opportunities for qualified teachers,
especially in States with teacher shortages and States with
districts or schools that are difficult to staff. Conferees
do not intend pension portability be addressed by the panel.
However, the conferees note that the portability of teacher
pensions was extensively addressed in P.L. 107-16, the
Economic Growth and Tax Relief Reconciliation Act of 2001
(EGATRRA). The new provisions will generally be effective on
January 1, 2002. Previous law hindered teachers' ability to
move their pension benefits with them when they took new
jobs. The new provisions break down the barriers thereby
enhancing teachers' mobility. Thus, teachers can now take new
employment while more fully preserving their pension
benefits.

Title III, Part A--Bilingual

(New Title III)

1. The House bill and Senate Amendment have different
titles.
HR/SR with an amendment to title this part: the ``English
Language Acquisition, Language Enhancement, and Academic
Achievement Act''.
2. The House bill, but not the Senate Amendment, lists
findings. The Senate Amendment, but not the House bill,
provides that Part D only becomes enacted if appropriations
are $700 million or more.
HR
3. The Senate Amendment, but not the House bill, states
policy of the federal government.
HR/SR with an amendment to strike all legislative language
in notes 3-12 and insert:
``(b) Purposes.--The purposes of this part are--
``(1) to help ensure that children who are limited English
proficient, including recent immigrant children and youth
attain English proficiency develop high levels of academic
attainment in English, and meet the same challenging state
academic content standards and challenging state student
academic achievement standards expected of all children;
``(2) to assist all limited English proficient students,
including recent immigrant children and youth, to achieve at
high levels in the core academic subjects so that those
students can meet the same challenging state academic content
and student academic achievement standards that all students
are expected to meet, consistent with section 1111(b)(1);
``(3) to develop high-quality programs designed to assist
state educational agencies, local educational agencies and
schools in teaching limited English proficient children and
serving recent immigrant children and youth;
``(4) to assist state educational agencies and local
educational agencies to develop and enhance their capacity to
provide high-quality instructional programs designed to
prepare limited English proficient students, including recent
immigrant children and youth, to enter all-English
instructional settings;
``(5) to assist state educational agencies, local
educational agencies and schools to build their capacity to
establish, implement, and sustain programs of instruction and
English language development for limited English proficient
students;
``(6) to promote parental and community participation in
programs for limited English proficient students;
``(7) to streamline language instruction educational
programs into a program carried out through formula grants to
state and local educational agencies to help limited English
proficient students, including recent immigrant children and
youth, develop proficiency in English, while meeting state
academic content and student academic achievement
standards;
``(8) to hold state educational agencies, local educational
agencies and schools accountable for increases in English
proficiency and core academic content knowledge of limited
English proficient students by requiring;
``(A) demonstrated improvements in the English proficiency
of limited English proficient students each fiscal year; and
``(B) adequate yearly progress with limited English
proficient students, including recent immigrant students, as
described in section 1111(b) (2); and
``(9) to provide state educational agencies and local
educational agencies with the flexibility to implement the
instructional programs, based on scientifically based
research on teaching limited English proficient children,
that the agencies believe to be the most effective for
teaching English.''
4. Using different language, the House bill and the Senate
Amendment state purposes.
HR/SR (see note 3)
5. Using different language, the House bill and the Senate
Amendment state that the purpose of this part is to help LEP
children attain English proficiency and develop high levels
of achievement in academic areas. The House bill, but not the
Senate Amendment includes academic attainment in English. The
Senate Amendment, but not the House bill, includes attaining
English ``as quickly and as effectively as possible.''
HR/SR (see note 3)
6. The House bill, but not the Senate Amendment, states the
purpose is to develop high-quality programs to assist LEAs in
teaching LEP children. (Similar to note 5)
HR/SR (see note 3)
7. The House bill states this similar provision in note 5.
HR/SR (see note 3)
8. The House bill, but not the Senate Amendment, states the
purpose is to assist LEAs to develop and enhance high-quality
instruction programs designed to prepare LEP students,
including recent immigrant students, to enter all-English
instructional settings within 3 years. The Senate Amendment,
in note 1, says ``as quickly and effectively as possible.''
HR/SR (see note 3)
9. The Senate Amendment, but not the House bill, states
that LEP students develop English proficiency as quickly and
as effectively as possible by streamlining language
instruction educational programs into performance-based
grants for SEAs and LEAs.
HR/SR (see note 3)
10. The Senate Amendment, but not the House bill, requires
states to help LEAs and schools demonstrate improvements in
English proficiency each fiscal year.
HR/SR (see note 3)
11. The Senate Amendment, but not the House bill,
specifically states that states are required to ensure that
LEPs make AYP.
HR/SR (see note 3)
12. Using different language, the House bill and the Senate
Amendment, both provide SEAs and LEAs flexibility to
implement instructional programs tied to scientifically based
research and that agencies believe to be the most effective
for teaching English. The House bill, but not the Senate
Amendment, uses ``scientifically based reading research and
sound research and theory.''
HR/SR (see note 3)
13. Using different language, the House bill and the Senate
Amendment provide provisions for parental notification.
(Notes 13 and 15-39, 124 and 223)
HR/SR with an amendment to strike all legislative language
in notes 13 and 15-39 and insert:

``SEC. 3. PARENTAL NOTIFICATION.

``(a) In General.--(1) Each eligible entity using funds
under this title to provide high-quality language instruction
educational programs shall inform a parent or parents of a
child participating in such a program of--
``(A) the reasons for the identification of their child as
limited English proficient and being in need of placement in
a language instruction educational program;
``(B) the child's level of English proficiency, how such
level was assessed, and the status of the child's academic
achievement;
``(C) the program and methods of instruction available,
including how such programs differ in content, instructional
goals, and use of English and a native language in
instruction;
``(D) how the language instruction educational program will
meet the educational strengths and needs of their child;
``(E) how such language instruction program will
specifically help the child acquire English, and meet age
appropriate academic achievement standards for grade
promotion and graduation;
``(F) the specific exit requirements for the program,
including the expected rate of transition from the program
into classrooms that are not tailored for limited English
proficient students, and the expected rate of graduation from
high school for the program if funds under this title are
used for children in secondary schools;
``(G) in the case of a student with a disability who
participates in an language instruction educational program,
how the program meets the objectives of the individualized
education program of the student;
``(H) If applicable, the entity's failure to make progress
on the annual measurable achievement objectives in section
3329(a). Such notice shall be sent in addition to the
parental notification of their child as in need of
participation in a language instruction educational program;
and
``(I) information pertaining to parental rights, that
includes written guidance--
``(i) detailing the options that parents have to remove
their child from an language instruction educational program,
and shall give parents an opportunity to decline such
enrollment, and the right to have their child immediately
removed from a language instruction educational program upon
their request; and
``(ii) assisting parents in selecting among various
programs and methods of instruction, if more than one program
or method is offered by the eligible entity.
``(b) Receipt of Information.--The notice and information
provided in subsection (a) to

[[Page H9992]]

a parent or parents of a child identified for participation
in an language instruction educational program for limited
English proficient children shall be in an understandable and
uniform format and, to the extent practicable, provided in a
language that the parents can understand.
``(c) Special Rule Applicable During the School Year.--For
those children who have not been identified as limited
English proficient prior to the beginning of the school year
the eligible entity shall notify parents within the first two
weeks of the child being placed in a language instruction
educational program consistent with subsections (a) and (b).
``(d) Parental Participation.--Each eligible entity using
funds under this title shall implement an effective means of
outreach to parents of limited English proficient students to
inform parents of how they can be involved in the education
of their children, and be active participants in assisting
their children to attain English and achieve at high levels
in core academic subjects and meet challenging state academic
achievement standards and state academic content standards
expected of all students, including holding and sending
notice of opportunities for regular meetings for the purpose
of formulating and responding to recommendations from parents
of students assisted under this title.
``(e) Basis for Admission or Exclusion.--A student shall
not be admitted to, or excluded from, any federally assisted
education program on the basis of a surname or language-
minority status.''
14. In developing regulations, the Senate Amendment, but
not the House bill, requires the Secretary to consult with
SEAs, LEAs, organizations representing LEP individuals, and
teachers and other personnel involved with teaching LEP
students.
HR
15. Using different language, the House bill and the Senate
Amendment, provide provisions for parental notification
HR/SR--see note 13.
16. In a different order, both the House bill and the
Senate Amendment require the reasons for the child being in
need of language instruction. (See note 23) The House bill,
but not the Senate Amendment uses English language
instruction. The Senate Amendment, but not the House bill,
uses language instruction educational program.
HR/SR--see note 13.
17. Using different language, both the House bill and the
Senate Amendment, require the child's level of English
proficiency, how such level was assessed, and the status of
the child's academic achievement. The Senate Amendment, but
not the House bill, further requires the implications of the
student's educational strengths and need for age- and grade-
appropriate academic attainment, grade promotion, and
graduation.
HR/SR--see note 13.
18. The Senate Amendment, but not the House bill, requires
programs available to meet the student's educational
strengths and needs, and how the programs differ in content
and instruction.
HR/SR--see note 13.
19. The Senate Amendment, but not the House bill, provides
for students with a disability participating in a language
instruction educational program.
HR/SR--see note 13.
20. Using different language, both the House bill and the
Senate Amendment, provide for how the program will help the
LEP child acquire English and meet age-appropriate standards
for grade promotion and graduation. The Senate Amendment, but
not the House bill, also requires the instructional goals of
the program.
HR/SR--see note 13.
21. The Senate Amendment, but not the House bill, further
requires the characteristics, benefits, and past academic
results of such language program and of instructional
alternatives.
HR/SR--see note 13.
22. The House bill, but not the Senate Amendment, requires
the specific exit requirements for the language program.
HR/SR--see note 13.
23. Both the House bill and Senate Amendment contain this
provision in a different order. (See note 16)
HR/SR--see note 13.
24. The House bill, but not the Senate Amendment, requires
the expected rate of transition from the program into a
classroom not tailored for LEP children.
HR/SR--see note 13.
25. The Senate Amendment, but not the House bill, requires
parents be informed of how they can participate and be
involved in the language instruction program.
HR/SR--see note 13.
26. The House bill, but not the Senate Amendment, requires
that if funds are used for children in secondary schools
parents be informed of the expected rate of graduation from
high school.
HR/SR--see note 13.
27. The House bill, but not the Senate Amendment, requires
LEAs to make a ``reasonable and substantial effort'' to
obtain informed parental consent prior to the placement of a
child in an English language instruction program if the
program does not exclusively use the English language in
instruction. The Senate Amendment provides that parents be
informed and provided an option to decline enrollment in a
program. (See note 31)
HR/SR--see note 13.
28. The House bill, but not the Senate Amendment, requires
LEAs to maintain a written record if parental consent cannot
be obtained.
HR/SR--see note 13.
29. The House bill, but not the Senate Amendment, requires
LEAs to mail or deliver a copy of the written record and a
final request for consent before providing services to LEP
students.
HR/SR--see note 13.
30. The House bill, but not the Senate Amendment, provides
for situations when children are not identified as limited
English proficient prior to the beginning of the school year.
HR/SR--see note 13.
31. The Senate Amendment, but not the House bill, requires
that parents be informed of their option to decline
enrollment of their LEP child in a program.
HR/SR--see note 13.
32. The House bill, but not the Senate Amendment, requires
that parents select among programs if more than one method is
offered and have the right to immediately remove their child
from the program upon their request.
HR/SR--see note 13.
33. The Senate Amendment, but not the House bill, provides
that LEAs cannot be relieved of the agency's obligations of
the Civil Rights Act simply because a parent chooses not to
enroll a student in a language instruction program.
HR/SR--see note 13.
34. Using different language, the House bill and the Senate
Amendment require that parents receive information about
their child's instruction program. The Senate Amendment, but
not the House bill, further requires information to be in the
language used by parents if necessary and feasible.
HR/SR--see note 13.
35. Both the House bill and the Senate Amendment, have
similar language regarding timely information about programs.
HR/SR--see note 13.
36. Using similar language, the House bill and the Senate
Amendment, provide parents with a notice of opportunities for
regular meetings to permit parents to formulate and respond
to recommendations from such parents.
HR/SR--see note 13.
37. The House bill, but not the Senate Amendment, requires
that parents receive procedural information for removing
their child from a program.
HR/SR--see note 13.
38. Both the House bill and the Senate Amendment have
similar language stating that students cannot be admitted or
excluded in a program solely on the basis of a surname or
language minority status.
HR/SR--see note 13.
39. The Senate Amendment, but not the House bill, has a
provision stating that nothing shall be construed as to
mandate, direct or control an entity's choice in developing
standards or assessments, curriculum or program of
instruction.
HR/SR--see note 13.
40. The House bill, but not the Senate Amendment, provides
for testing of LEP children. Both the House bill and the
Senate Amendment have similar provisions for testing LEP
children in Title I, Part A.
HR
41. Both the House bill and the Senate Amendment, require
that LEP children, who have been in school in the US for
three or more consecutive years be tested in English. The
Senate Amendment contains the same requirement in Title I,
Part A. The House bill, but not the Senate Amendment, further
permits the tests to be administered for one additional year,
on a case-by-case basis in another language or form. The
Senate Amendment, but not the House bill, further permits
such tests to be administered for additional years, provided
that the total number of students so assessed does not exceed
1/3 the number of students assessed in their native
language in the previous year.
HR
42. Using different language, the House bill and the Senate
Amendment, authorize federal grants to states for the
purposes of assisting LEP children. The House bill, but not
the Senate Amendment, provides such grants for the fiscal
year in which it is applied for. The Senate Amendment, but
not the House bill, provides that such grants remain in
effect for the duration of the state's participation under
this part. (See note 86)
SR
43. The House bill, but not the Senate Amendment, states
the purposes of the state grants.
HR
44. The House bill, but not the Senate Amendment, provides
that a state must expend at least 95 percent of its allotment
to local eligible entities.
SR
45. Both the House bill and the Senate Amendment provide
that a state may not expend more than 5 percent of its
allotment for state activities.
LC
46. Both the House bill and the Senate Amendment provide
activities for which state grants may be used.
LC
47. The House bill, but not the Senate Amendment, provides
for authorized activities that state grants may be used for,
such as professional development activities, providing
scholarships and fellowships to students who agree to teach
limited English proficient children upon graduation, planning
administration and interagency coordination, providing
technical assistance to LEAs who teach limited English
proficient

[[Page H9993]]

children and other eligible entities not receiving a subgrant
from the state, and providing bonuses to eligible entities
with successful programs.
HR/SR with an amendment to strike all legislative language
in notes 47-49 and insert:
``(2) State activities.--Each state educational agency
receiving a grant under this part may reserve not more than 5
percent of the agency's allotment under section 3323(b)(2) to
carry out state activities described in the state plan
submitted under section 3325, including--
``(A) professional development activities, and other
activities, that assist personnel in meeting state and local
certification requirements for teaching limited English
proficient children;
``(B) planning, evaluation, administration, and interagency
coordination related to the subgrants referred to in
paragraph (1).
``(C) providing technical assistance and other forms of
assistance to local educational agencies that are receiving
assistance from a state educational agency under this part
including--
``(i) identifying and implementing language instruction
educational programs and curricula that are based on
scientifically based research on teaching limited English
proficient children;
``(ii) helping limited English proficient students meet the
same challenging state academic content standards and
challenging state student academic achievement standards that
all students are expected to meet;
``(iii) identifying or developing and implementing measures
of English language proficiency; and
``(iv) promoting parental and community participation in
programs that serve limited English proficient students.
``(D) Provide recognition, which may include financial
awards to subgrantees who have exceeded their achievement
objectives pursuant to section 3329.''
48. The Senate Amendment, but not the House bill, requires
SEAs to describe how they will provide technical assistance
to LEAs and elementary and secondary schools for: identifying
and implementing language instruction educational programs
and curricula tied to scientifically based research; helping
LEP student meet challenging state content and student
performance standards expected of all children; identify or
develop and implement measures of English language
proficiency; and the promoting of parental and community
participation in programs. The Senate Amendment provides that
these activities be described in the state plan.
HR/SR (see note 47)
49. The Senate Amendment, but not the House bill, includes
the same set of criteria for specially qualified agencies.
HR/SR (see note 47)
50. Using different language, the House bill and the Senate
Amendment, require that a state receiving a grant may not use
more than two percent of its allotment for administrative
purposes.
HR with an amendment to strike ``may use not more than 2
percent'' and insert ``may use up to 3 percent or $175,000,
whichever is greater,'' and strike ``costs'' after
``planning'' in (3).
51. Both the House bill and the Senate Amendment provide
for the determination of allotments and reservations.
LC
52. Using different language, the House bill and the Senate
Amendment, reserve .5 percent for payments to LEAs that serve
Native American children. The House bill, but not the Senate
Amendment, provides it for individuals in schools operated
predominately for Native American or Alaska Native children.
The Senate Amendment, but not the House bill, reserves .5
percent for payments to the Secretary of Interior for
activities and schools operated by the BIA. The House bill,
but not the Senate Amendment, defines these entities in
Section 3106(a). (See note 67)
HR/SR with an amendment to insert as a new (A): ``(A) .5%
or $5 million of such amount, whichever is greater, for
payments to eligible entities that are defined under section
3106(a) for activities proposed by the Secretary.''
53. Using similar language both the House bill and the
Senate Amendment provide .5 percent for payments to outlying
areas.
LC
54. The House bill, but not the Senate Amendment, reserves
.5 percent for the evaluation of programs for dissemination
of best practices. The Senate Amendment, but not the House
bill, continues a National Clearinghouse to disseminate best
practices. (See note 176)
HR
55. The Senate Amendment, but not the House bill, reserves
6 percent for national leadership activities.
HR with an amendment to change to ``6.5 percent'' with .5
percent for evaluation and no more than $2 million for the
National Clearinghouse.
56. The Senate Amendment, but not the House bill, reserves
such sums for continuation awards.
LC
57. Using different language the House bill and the Senate
Amendment provide for the continuation of current grant
awards. The House bill, but not the Senate Amendment,
provides for such continuation only for grants made to
subpart 1, Part A (Capacity and Demonstration grants) under
current law. The Senate Amendment, but not the House bill,
provides for the continuation of grants made under Subparts 1
and 3 under Part A (Capacity and Demonstration Grants;
Professional Development Grants) The Senate Amendment, but
not the House bill, provides for awards to cover grants under
current law, as well as, grants made in years that Part D is
not in effect (when the appropriation is not $700 million or
more).
HR
58. Using different language, both the House bill and the
Senate Amendment, provide for state allotments. The House
bill, but not the Senate Amendment, awards grants to states
based on the number of LEP students. The Senate Amendment,
but not the House bill, awards grants to states based 67
percent of each state's share of LEP students and 33 percent
of each state's share of immigrant students.
HR with an amendment to strike ``67'' and insert ``80'' in
(A)(i) and to strike ``33'' and insert ``20'' in (A)(ii).
59. The Senate Amendment, but not the House bill, provides
that no state would receive less than .5 percent of the total
amount available for distribution.
HR with an amendment to strike ``less than . . . under this
paragraph'' and insert ``that is in the amount of not less
than $500,000'' in (B).
60. Using different language, the House bill and the Senate
Amendment, require the Secretary to make grants to specially
qualified agencies from the amount made available to states
when it's determined that such allotment will not be used for
the intended purpose. Both the House bill and the Senate
Amendment, stipulate that funds are available when a state
does not submit an application or submits an application that
is not approved. The Senate Amendment, but not the House
bill, allows the Secretary to determine such rules as to be
appropriate to make amounts available to states.
SR
61. Using different language, the House bill, and the
Senate Amendment, require the Secretary to make reallotments
available on a competitive basis to specially qualified
agencies within the state. The House bill, but not the Senate
Amendment, provide for reallocating any portion to the
remaining states.
SR
62. The House bill, but not the Senate Amendment, permits
specially qualified agencies receiving funding to waive
certain requirements.
SR
63. The Senate Amendment, but not the House bill, limits a
specially qualified agency from using not more than 1 percent
of the direct award for administrative costs.
HR with an amendment to strike ``not more than 1 percent''
and insert ``not more 2 percent''.
64. The House bill and the Senate Amendment refer to
amounts for Puerto Rico. The House bill, but not the Senate
Amendment, caps such amount at .5 percent of the amount
allotted to all states. The Senate Amendment, but not the
House bill, reserves .5 percent for Puerto Rico.
SR
65. Using different language, the House bill and the Senate
Amendment, provides for data determinations. The House bill,
but not the Senate Amendment, provides for determining the
number of LEP children in the state based on the most recent
satisfactory data available from the Bureau of the Census and
the American Community Survey. It also stipulates that if
satisfactory data is not available or deemed outdated from
these sources, then funds are provided based on data provided
by the states. The Senate Amendment, but not the House bill,
requires the Secretary to use data that would yield the most
accurate and up-to-date figures, including data from the
Bureau of the Census or data submitted by the states. The
Senate Amendment, but not the House bill, also includes
immigrant children and youth in their data collection.
HR with an amendment to insert as (A) and (B):
``(3) Use of data for determinations.--
``(A) In general.--For the purposes of making state
allotments under paragraph (2), for the purpose of
determining the number of limited English proficient students
in a state and in all states, and the number of immigrant
children and youth in a state and in all states, for each
fiscal year, the Secretary shall use data that will yield the
most accurate, up-to-date numbers of such students.
``(B) Special rule.--In making such determinations under
paragraph (A) for the two fiscal years following the
enactment of [Name of Act], the Secretary shall determine the
number of limited English proficient students in a state and
in all states, and the number of immigrant children and youth
in a state and in all states, using data available from the
Bureau of Census or submitted by the states to the Secretary.
After such time, the Secretary shall use data available from
the American Community Survey available from the Department
of Commerce or the number of students being assessed for
English proficiency in a state as required under section
1111(b)(7), whichever the Secretary determines to be the most
accurate.''
66. The House bill, but not the Senate Amendment,
stipulates that the Secretary may not reduce a state's
allotment based on the state's selection of any method of
instruction, as its preferred method of teaching English to
LEP children.
HR
67. The House bill, but not the Senate Amendment, clarifies
certain entities that

[[Page H9994]]

operate schools for Native American or Alaska Native children
are considered LEAs, and therefore eligible to receive
funding under 3105(c)(1)(A). (See note 52)
SR with an amendment to insert as new SEC. 3106:

``SEC. 3106. NATIVE AMERICAN AND ALASKAN NATIVE CHILDREN IN
SCHOOL.

``(a) Eligible entities.--For the purpose of carrying out
programs under this part for individuals served by
elementary, secondary, and postsecondary schools operated
predominately for Native American or Alaska Native children
or youth, the following shall be considered to be an eligible
entity--
``(1) An Indian Tribe. [Corresponding with Definition in
Current Law 7104.]
``(2) A tribally sanctioned educational authority.
``(3) A Native Hawaiian or Native American Pacific Islander
native language educational organization.
``(4) An elementary or secondary school that is operated or
funded by the Bureau of Indian Affairs, or a consortium of
such schools.
``(5) An elementary or secondary school operated under a
contract with or grant from the Bureau of Indian Affairs, in
consortium with another such school or a tribal or community
organization;
``(6) An elementary or secondary school operated by the
Bureau of Indian Affairs and an institution of higher
education, in consortium with an elementary or secondary
school operated under a contract with or grant from the
Bureau of Indian Affairs or a tribal or community
organization;
``(b) Submission of Applications for Assistance.--
Notwithstanding any other provision of this part, an entity
that is considered to be an eligible entity under subsection
(a), and that desires to submit an application for federal
financial assistance under this subpart, shall submit the
application to the Secretary.
``(c) Special Rule.--Eligible Entities described under
subsection (a) which receive federal financial assistance
pursuant to this section shall not be eligible to receive a
subgrant under section [section on State subgrants to
eligible entities under formula grant].''
68. Using different language and criteria, both the House
bill and the Senate Amendment, stipulate the requirements for
an application to be approved by the Secretary. The House
bill uses ``state application.'' The Senate Amendment uses
``state plans.''
HR
69. The House bill, but not the Senate Amendment,
stipulates that states must describe the process for making
competitive subgrants to eligible entities. The Senate
Amendment, but not the House bill, provides a formula for
making allotments to LEAs in Sec. 3324.
HR/SR with an amendment to strike all legislative language
in notes 69-84 and insert:
``(a) Plan Required.--Each state educational agency and
specially qualified agency desiring a grant under this part
shall submit a plan to the Secretary at such time, in such
manner, and containing such information as the Secretary may
require. Such plan shall:
``(1) describe the process that the state educational
agency will use in making competitive subgrants to eligible
entities under section 3324(a) [conform to recent immigrant
program cite];
``(2) contain an agreement that, in awarding grants under
3324(a)(2), the state educational agency will address the
needs of school systems of all sizes and in all geographic
areas, including rural and urban schools;
``(3) contain an agreement that competitive subgrants to
eligible entities under section 3324(a)(2) shall be of
sufficient size and scope to allow such entities to carry out
high quality education programs for limited English
proficient children;
``(4) contain an agreement that the state educational
agency will coordinate its programs and activities under this
part with its other programs and activities under this Act
and other Acts, as appropriate;
``(5) describe how the state educational agency or
specially qualified agency will establish standards and
objectives for raising the level of English language
proficiency that are derived from the 4 recognized domains of
speaking, listening, reading, and writing, and that are
aligned with achievement of the state academic content and
student academic achievement standards described in section
1111(b)(1);
``(6) contain an assurance that the--
``(A) state educational agency consulted with local
educational agencies, education related community groups and
nonprofit organizations, parents, teachers, school
administrators, and researchers, in setting the achievement
objectives described in section 3329;
``(B) specially qualified agency consulted with education
related community groups and nonprofit organizations,
parents, teachers, and researchers, in setting the
achievement objectives described in section 3329;
``(C) state educational agency or specially qualified
agency will ensure that eligible entities comply with section
1111 (b)(3)(j) [LC] to annually test children in English who
have been in the United States for 3 or more consecutive
years;
``(D) state educational agency or specially qualified
agency will develop and require eligible entities receiving a
subgrant under this subpart to annually assess the English
proficiency of all children with limited English proficiency
participating in a program funded under this part, consistent
with section 1111(b)(6) [conform to annual proficiency
assessments in Title I];--
``(7) contain an agreement that the state educational
agency or specially qualified agency will hold local
educational agencies, eligible entities, and elementary and
secondary schools accountable for--
``(A) meeting all achievement objectives described in
section 3329;
``(B) making adequate yearly progress with limited English
proficient students as described in section 1111(b)(2); and
``(C) meeting the purposes of this part;
``(8) describes how eligible entities in the state will be
given the flexibility to teach limited English proficient
students--
``(A) using a language instruction curriculum that is tied
to scientifically based research on teaching limited English
proficient children and that has been demonstrated to be
effective; and
``(B) in the manner the eligible entities determine to be
the most effective; and
``(9) contains an agreement that the state will require
eligible entities receiving a subgrant under this part to use
the subgrant in ways that will build such recipient's
capacity to continue to offer high-quality language
instruction educational programs which assist limited English
proficient children in attaining challenging state academic
content standards and challenging state student academic
achievement standards once assistance under this part is no
longer available.
70. The House bill, but not the Senate Amendment,
stipulates that states must agree to address the needs of
schools, including rural and urban schools.
HR/SR (see note 69)
71. The House bill, but not the Senate Amendment,
stipulates that states must agree to make competitive
subgrants that are of sufficient size and scope to eligible
entities.
HR/SR (see note 69)
72. Using different language, the Senate Amendment and the
House bill, require states receiving grants under this part
to establish English language standards and benchmarks. The
Senate Amendment, but not the House bill, specifically states
that such benchmarks and standards must be derived from
speaking, listening, reading, and writing. The House bill has
a similar provision. (See note 76).
HR/SR (see note 69)
73. The House bill, but not the Senate Amendment, requires
states to agree to coordinate its programs and activities
with other programs and activities as appropriate.
HR/SR (see note 69)
74. The Senate Amendment, but not the House bill, requires
SEAs and specially qualified agencies to consult with other
groups, such as LEAs, education-related community groups and
nonprofit organizations, parents, teachers, school
administrators and second language acquisition specialists in
setting performance objectives.
HR/SR (see note 69)
75. The House bill, but not the Senate Amendment, requires
states to monitor the progress of students enrolled in such
programs and activities in attaining English proficiency and
attaining challenging state academic content standards and
academic achievement standards.
HR/SR (see note 69)
76. Using different language, the Senate Amendment and the
House bill, require states or specially qualified agencies to
establish English language standards and benchmarks. The
House bill and the Senate Amendment, require that such
standards be aligned with state academic content and
achievement standards. The Senate Amendment, but not the
House bill, requires that such benchmarks and standards be
derived from speaking, listening, reading, and writing.
HR/SR (see note 69)
77. The Senate Amendment, but not the House bill, requires
states to describe how SEAs will hold LEAs accountable for
meeting all performance objectives and making adequate yearly
progress with LEP students.
HR/SR (see note 69)
78. Using different language, the House bill and the Senate
Amendment, require states to annually measure LEP students
progress in becoming English proficient. The House bill, but
not the Senate Amendment, requires states to ensure that
eligible entities comply with annual testing requirements for
LEP students in reading and language arts who have been in
the US for 3 or more consecutive years. The Senate Amendment,
but not the House bill, requires states to annually measure
LEP students progress in becoming English proficient as
quickly and as effectively as possible.
HR/SR (see note 69)
79. The Senate Amendment, but not the House bill, includes
the same requirements for specially qualified agencies.
HR/SR (see note 69)
80. The House bill, but not the Senate Amendment,
stipulates that the application must contain an assurance
that the state will develop high-quality annual assessments
to measure English language proficiency and require eligible
entities receiving a subgrant to annually assess all LEP
children for English proficiency. The Senate Amendment
requires annual assessments to measure the English
proficiency of all LEP students under Title I.
HR/SR (see note 69)
81. The Senate Amendment, but not the House bill, requires
specially qualified agencies to describe the activities for
which assistance is sought, how such activities will

[[Page H9995]]

increase the effectiveness with which students develop
English proficiency as quickly and effectively as possible,
while meeting state content and student performance
standards.
HR/SR (see note 69)
82. The House bill, but not the Senate Amendment,
stipulates that states must develop annual performance
objectives as part of the state application, and must include
percentage increases in performance on annual assessments in
reading, writing, speaking, and listening comprehension as
compared to the preceding school year. The Senate Amendment
requires states to develop annual performance objectives
under Sec. 3329
HR/SR (see note 69)
83. The Senate Amendment, but not the House bill,
stipulates that the SEA must describe how LEAs will be given
the flexibility to teach LEP students using language
instruction curriculum that is tied to scientifically based
research and demonstrated to be effective, and in a manner
determined to be the most effective by the LEA.
HR/SR (see note 69)
84. The House bill, but not the Senate Amendment,
stipulates that states must require eligible entities to use
subgrants in ways that will build the capacity of such
recipient to continue to offer high-quality English language
programs that assist LEP children in attaining challenging
state academic content standards and achievement standards
once assistance is no longer available.
HR/SR (see note 69)
85. The Senate Amendment, but not the House bill, requires
the Secretary to approve a state or specially qualified
agency plan that meets all of the requirements after using a
peer review process.
HR with an amendment to strike ``and holds reasonable . . .
in section 3321(b).''
86. The Senate Amendment, but not the House bill,
stipulates that each state or specially qualified agency plan
must remain in effect for the duration of the SEAs or
specially qualified agency's participation under this part
and must be periodically reviewed and revised by the SEA or
specially qualified agency to reflect changes to strategies
and programs carried out. The House bill, but not the Senate
Amendment, provides such grants for the fiscal year in which
it is applied for. (See note 42)
HR
87. The Senate Amendment, but not the House bill, requires
the SEA or specially qualified agency to submit significant
changes to their plans to the Secretary. The Secretary must
approve such changes, but has the right to deny approval if
it deems such changes to not meet the requirements or fulfill
the purposes of the grants.
HR with an amendment to insert the following language as
(2)(A):
``(A) Amendments.--If the State educational agency or
specially qualified agency amends the plan, such agencies
shall submit such amendments to the Secretary.''
88. The Senate Amendment, but not the House bill, permits
states to submit a plan as part of a consolidated plan.
HR
89. The Senate Amendment, but not the House bill, requires
the Secretary to provide technical assistance in the
development of English language development standards and
English language proficiency assessments, if requested.
HR with an amendment to insert the following language as
(2)(f):
``(f) Secretary Assistance.--The Secretary shall provide
technical assistance, if requested, in the development of
English language proficiency standards, objectives, and
assessments.
90. The House bill, but not the Senate Amendment, describes
the main purposes of the subgrants.
SR with an amendment to strike ``reading'' after ``based on
scientifically based'' and ``and sound research and theory''
before ``on teaching limited'' in (a). Strike ``English'' and
insert ``instructional educational programs'' after the word
``language'' in paragraphs (1)(2) and (3).
91. The Senate Amendment, but not the House bill, provides
for grants to LEAs to carry out Sec. 3327(b) (Grants for the
education of LEP students) and 3327 (c) (Grants for the
education of immigrant students). Both the House bill and
Senate Amendment provide that at least 95 percent of federal
funding be used for making subgrants to eligible entities and
LEAs. (See note 131)
HR
92. The Senate Amendment, but not the House bill, requires
that not more then 1 percent of funds received by LEAs be
used for administrative costs.
HR with an amendment to strike ``1 percent'' and insert ``2
percent''.
93. Using different language and criteria, the House bill
and the Senate Amendment, provide for activities of LEAs and
eligible entities receiving subgrants from states. The House
bill, but not the Senate Amendment, stipulates that states
may make a subgrant to eligible entities to achieve one of
the purposes by undertaking activities to improve the
understanding and use of the English language based on a
child's learning skills and attainment of challenging state
academic content and student achievement standards. The
Senate Amendment, but not the House bill, stipulates that
grant funds shall be used for specific criteria.
HR/SR with an amendment to strike all legislative language
in notes 93-105 and insert:
``(b) Authorized Subgrantee Activities.--
(1) In general.--Subject to paragraph (2), a state
educational agency may make a subgrant
to an eligible entity from funds received by the State under
this subpart to achieve one of the purposes described in
subsection (a) by undertaking one or more of the following
activities--
``(A) Upgrading program objectives and effective
instructional strategies.
``(B) Improving the instruction program for limited English
proficient students by identifying, acquiring, and upgrading
curricula, instructional materials, educational software, and
assessment procedures.
``(C) Providing.--
(i) tutorials and academic or vocational education for
limited English proficient children; and
``(ii) intensified instruction.
``(D) Developing and implementing elementary or secondary
school language instruction educational programs that are
coordinated with other relevant programs and services.
``(E) Improving the English language proficiency and
academic performance of limited English proficient children.
``(F) Providing community participation programs, family
literacy services and parent outreach and training activities
to limited English proficient children and their families to
improve the English language skills of limited proficient
children, and assist parents in helping their children to
improve their academic performance, and become active
participants in the education of their children;
``(G) Improving the instruction of limited English
proficient children by providing for the acquisition or
development of education technology or instructional
materials, access to and participation in electronic networks
for materials, training and communications, and incorporation
of such resources in curricula and programs, such as those
funded under this subpart; and
``(H) Other activities that are consistent with the
purposes of this part.
(c) Required Subgrantee Activities.--
``(1) An eligible entity receiving a grant under this
subpart shall use the grant funds --
``(A) to increase limited English proficient students'
proficiency in English by providing high-quality language
instruction educational programs that are--
``(i) based on scientifically based research demonstrating
the effectiveness of the programs in increasing English
proficiency; and
``(ii) based on scientifically based research demonstrating
the effectiveness of the programs in increasing student
performance in the core academic subjects;
``(B) to provide high-quality professional development to
classroom teachers, (including teachers in classroom settings
that are not the settings of language instruction educational
programs) principals, administrators, and other school or
community-based organizational personnel to improve the
instruction and assessment of children who are limited
English proficient children, that are--
``(i) designed to enhance the ability of the teachers to
understand and use curricula, assessment measures, and
instructional strategies for limited English proficient
students;
``(ii) based on scientifically based research demonstrating
the effectiveness of those activities in increasing students'
English proficiency or substantially increasing the subject
matter knowledge, teaching knowledge, and teaching skills of
those teachers; and
``(iii) of sufficient intensity and duration (not to
include activities such as 1-day or short-term workshops and
conferences) to have a positive and lasting impact on the
teachers' performance in the classroom, except that this
clause shall not apply to an activity that is 1 component
described in a long-term, comprehensive professional
development plan established by a teacher and the teacher's
supervisor based on an assessment of the needs of the
teacher, the supervisor, the students of the teacher, and the
local educational agency.''
94. The House bill, but not the Senate Amendment, lists
activities that may be undertaken by eligible entities, such
as, upgrading program objectives and effective instructional
strategies as an activity.
HR/SR (see note 93)
95. The House bill, but not the Senate Amendment,
stipulates that improving the instruction program for LEP
students by identifying, acquiring, and upgrading curricula,
instructional materials, educational software, and assessment
procedures is also an activity.
HR/SR (see note 93)
96. The Senate Amendment, but not the House bill,
stipulates that grants funds must be used to increase LEP
students' proficiency in English by providing high-quality
language instruction education programs that are tied to
scientifically based research demonstrating the effectiveness
of the programs in increasing English proficiency and in
increasing student performance in the core academic subjects.
HR/SR (see note 93)
97. The House bill, but not the Senate Amendment, further
lists activities that may be undertaken by eligible entities,
such as providing tutorials and academic or vocational
education and intensified instruction for LEP children.
HR/SR (see note 93)
98. The House bill, but not the Senate Amendment stipulates
that developing and implementing elementary and secondary

[[Page H9996]]

school English language instructional programs coordinated
with other relevant programs and services as an activity.
HR/SR (see note 93)
99. Using different language, the House bill and the Senate
Amendment, provide for professional development activities to
improve the instruction of LEP children. The House bill, but
not the Senate Amendment, extends such activities to
principals, administrators, and other school or community-
based organizational personnel to improve instruction and
assessment. The Senate Amendment, but not the House bill,
further requires such activities to be tied to scientifically
based research.
HR/SR (see note 93)
100. The Senate Amendment, but not the House bill, further
provides that professional development activities be of
sufficient intensity and duration to have a lasting impact on
the teachers' performance in the classroom. This clause does
not apply for long-term, comprehensive professional
development plans already established.
HR/SR (see note 93)
101. The House bill, but not the Senate Amendment, further
requires the improvement of the English language proficiency
and academic performance of LEP children.
HR/SR (see note 93)
101. The House bill, but not the Senate Amendment, requires
the improvement of the instruction of LEP children by
acquiring or development of educational technology or
instructional materials, training and communications, and
incorporation of such resources in curricula and programs.
HR/SR (see note 93)
102. The House bill, but not the Senate Amendment, requires
the development of tutoring programs for LEP children that
provide early intervention and intensive instruction to
increase academic achievement, graduation rates and prepare
students for transitioning into classrooms where instruction
is not tailored for LEP children.
HR/SR (see note 93)
104. Using different language, the House bill and Senate
Amendment, provide for parental participation and outreach.
HR/SR (see note 93)
105. The House bill, but not the Senate Amendment, includes
other activities.
HR/SR (see note 93)
106. The House bill, but not the Senate Amendment, requires
any program or activity undertaken by eligible entities using
a subgrant from a state be designed to assist students in
attaining English proficiency within three years of
attendance in the U.S. and move such students into classrooms
where instruction is not tailored for limited English
proficient children.
HR
107. The House bill, but not the Senate Amendment,
stipulates that eligible entities must select one or more
methods or forms of instruction to be used to assist LEP
children in attaining English and to meet challenging state
academic content and student academic achievement standards.
SR
108. The House bill, but not the Senate Amendment,
stipulates that states have the discretion to decide the
duration of a subgrant to an eligible entity.
SR
109. The Senate Amendment, but not the House bill, provides
for grant awards to meet the needs of immigrant students
under Sec. 3324(c).
HR
110. The Senate Amendment, but not the House bill,
specifies activities to provide support for immigrant
children.
HR with an amendment to strike ``payment of salaries'' and
insert ``support for'' before ``personnel'' in (2);
Strike ``overhead costs, costs of construction,
acquisition, or rental of space'' in (5).
Insert the following language as (6) and (7):
``(6) other instructional services that are designed to
assist immigrant students to achieve in elementary and
secondary schools in the United States, such as programs of
introduction to the educational system, and civics education;
and
``(7) activities, coordinated with community-based
organizations, institutions of higher education, private
sector entities, or other entities with expertise in working
with immigrants, to assist parents of immigrant students by
offering comprehensive community services.''
111. The Senate Amendment, but not the House bill, includes
a provision to insure that funds are used to supplement and
not supplant other federal, state and local public funds.
HR
112. Using different language, both the House bill and the
Senate Amendment, require eligible entities to apply for
subgrants from the state. The House bill, but not the Senate
Amendment uses ``application.'' The Senate Amendment, but not
the House bill, uses ``plan.''
HR
113. Using different language and criteria, both the House
bill and the Senate Amendment, stipulate the requirements for
submitting a plan or application.
HR
114. The House bill, but not the Senate Amendment, requires
an eligible entity to describe the programs and activities to
be developed, implemented, and administered under the
subgrant.
HR/SR with an amendment to strike all legislative language
in notes 114-121 and insert:
``(b) Contents.--Each plan submitted under subsection (a)
shall--
``(A) describe the programs and activities proposed to be
developed, implemented and administered under the subgrant;
``(B) describe how the eligible entity will use the grant
funds to meet all achievement objectives described in section
3329;
``(C) describe how the eligible entity will hold elementary
schools and secondary schools accountable for--
``(i) meeting the achievement objectives described in
section 3329;
``(ii) making adequate yearly progress with limited English
proficient students as described in section 1111(b)(2); and
``(iii) annually measuring the English language proficiency
of limited English proficient students, so that such students
served by the programs carried out under this subpart develop
proficiency in English while meeting state academic content
and student academic achievement standards as required by
section 1111(b)(1);
``(D) describe how the eligible entity will promote
parental and community participation in programs for limited
English proficient students;
``(E) contain an assurance that the local educational
agency consulted with teachers, researchers, school
administrators, and parents, and if appropriate, with
education related community groups and nonprofit
organizations, and institutions of higher education, in
developing the local educational agency plan;
``(F) describe how language instruction educational
programs will ensure that limited English proficient students
being served by the programs develop English language
proficiency.''
115. The Senate Amendment, but not the House bill, requires
applicants to describe how such a subgrant will meet all
performance objectives.
HR/SR (see note 114)
116. The House bill, but not the Senate Amendment, requires
applicants to describe how such subgrant will be used to
satisfy the requirement of moving LEP children out of
specialized classrooms.
HR/SR (see note 114)
117. The Senate Amendment, but not the House bill, requires
applicants to describe how they will measure the progress of
LEP children and hold schools accountable for making such
progress.
HR/SR (see note 114)
118. The Senate Amendment, but not the House bill, requires
applicants to describe how they will promote parental and
community participation in LEP programs.
HR/SR (see note 114)
119. The Senate Amendment, but not the House bill, requires
applicants to contain assurances that they consulted with
appropriate experts and officials in developing the local
educational agency plan.
HR/SR (see note 114)
120. Using similar language, the House bill and the Senate
Amendment, require applicants to describe how they will use
disaggregated results of student assessments and other
measures to annually review the progress of schools within
its jurisdiction to determine if such schools are making AYP
necessary to ensure that LEP students will meet the state's
proficient level of performance.
HR/SR (see note 114)
121. Placed in a different order and using different
language, both the House bill and the Senate Amendment,
require applicants to describe how language instruction
programs will ensure that LEP students develop English
proficiency. The Senate Amendment, but not the House bill,
states as quickly and effectively as possible. The House
bill, but not the Senate Amendment, states after 3 academic
years of enrollment. (See note 127)
HR with an amendment to insert ``and attain'' after
``develop'' and strike ``as quickly and effectively as
possible.''
122. The House bill, but not the Senate Amendment,
stipulates additional requirements that must be included for
an application to be approved.
HR
123. The House bill and the Senate Amendment have similar
provisions. The House bill, but not the Senate Amendment,
requires eligible entities to use qualified personnel who are
proficient in English, including written and oral
communication skills. The Senate Amendment, but not the House
bill, stipulates that LEAs certify to the SEAs that all
teachers for LEP students are fluent in English and any other
language used for instruction.
HR with an amendment to insert ``including written and oral
communication skills,'' after ``instruction,'' and insert
Report Language:
Report Language:
Although various educational staff, such as para-
professionals, serve a critical need in language instruction
educational programs, teachers of such programs are the
primary provider of instruction to limited English proficient
students. As such, it is the intent of Conferees to ensure
that teachers in language instruction educational programs be
well-qualified in the designated method or instructional
approach used with limited English proficient students.
124. The House bill, but not the Senate Amendment, requires
eligible entities to ensure that all agencies are complying
with the parental consent requirements each school year;
SR
125. The House bill, but not the Senate Amendment, requires
eligible entities to assess the English proficiency of all
children with LEP participating in a program;

[[Page H9997]]

SR
126. The House bill, but not the Senate Amendment, requires
eligible entities to have based its proposal on
scientifically based reading research and sound research and
theory on teaching LEP children.
SR with an amendment to strike ``reading'' and ``sound
research and theory'' in (D).
127. Placed in a different order and using different
language, both the House bill and the Senate Amendment,
require applicants to describe how language instruction
programs will ensure LEP students to develop English
proficiency. The House bill, but not the Senate Amendment,
states after 3 academic years of enrollment. The Senate
Amendment, but not the House bill, states as quickly and
effectively as possible. (See note 121)
HR
128. The House bill, but not the Senate Amendment, requires
eligible entities to ensure that programs will enable
children to speak, read, write and comprehend the English
language.
SR
129. The House bill, but not the Senate Amendment, requires
eligible entities to ensure that they are not in violation of
any state law or state constitutional law regarding the
education of LEP children.
SR
130. The House bill, but not the Senate Amendment, requires
states to consider the quality of the application and ensure
it meets the purposes of the subgrant.
SR
131. Using different language, the House bill and the
Senate Amendment require states to expend at least 95 percent
of their federal grant money for making subgrants to eligible
entities and LEAs. (See note 91)
LC
132. The House bill, but not the Senate Amendment, requires
states to reserve 75 percent of their funds for subgrants to
eligible entities. The House bill, but not the Senate
Amendment, distributes funds only to LEAs if the number of
LEP children and youth is at least 500 students, or 3 percent
of the total population.
HR
133. Using similar language, the House bill and the Senate
Amendment require states to award funds to eligible entities
and LEAs based on their share of LEP children.
HR
134. The Senate Amendment, but not the House bill, requires
a state to award an LEA a minimum grant of $10,000.
HR
135. The House bill, but not the Senate Amendment, requires
states to reallocate any funding that will not be used during
a fiscal year.
SR
136. The House bill, but not the Senate Amendment, reserves
25 percent of its remaining funds to award competitive
subgrants to eligible entities experiencing significant
increases in LEP children.
HR
137. The Senate Amendment, but not the House bill, requires
states to reserve up to 15 percent for LEAs experiencing a
substantial increase in immigrant children enrollment.
HR (See note 138).
138. Using different language, the House bill and the
Senate Amendment, define the terms ``significant increases''
and ``substantial increase.'' The House bill, but not the
Senate Amendment, provides awards to eligible entities with
``significant increases'' (as determined by the state) in LEP
children over the 2 previous years or who do not qualify for
subgrants under the 75 percent formula distribution.
HR/SR with an amendment to strike House (2) and Senate (B)
and combine Senate (A) and House (1) to insert as the
following new (A):
``(A) In general.--A state educational agency receiving a
grant under this part for a fiscal year shall reserve not
more than 15 percent of the agency's allotment under section
3323(b)(2) to award grants to local educational agencies in
the state that have experienced significant increases, as
compared to the previous 2 years, in the percentage or number
of immigrant children and youth, that have enrolled in public
and nonpublic elementary and secondary schools in the
geographic areas under the jurisdiction of, or served by,
such entities during the previous fiscal year for which the
subgrant is made and shall equally consider local educational
agencies that have limited or no experience in serving
immigrant children and youth.''
139. The Senate Amendment, but not the House bill, defines
``substantial increase'' as an increase in an LEA's immigrant
enrollment of at least 20 percent or 50 children relative to
the preceding year, or as an increase of at least 20 percent
in an LEA's immigrant enrollment for which the LEA has
limited or no experience in educating LEP students.
SR
140. Both the House bill and Senate Amendment provide for
the authorization of appropriations. The House bill, but not
the Senate Amendment, authorizes $750 million for FY 2002 and
such sums through FY 2006. The Senate Amendment, but not the
House bill, authorizes $700 million for the bilingual
education program for FY 2002 and such sums through FY 2008.
SR with amendment to change 4 to 5 succeeding years.
141. The Senate Amendment, but not the House bill,
authorizes that for any fiscal year that funds appropriated
for the bilingual education program are $700 million or more,
the funds should be used for the state and local grants for
language minority students in Part D.
HR with an amendment to strike the language, conform to new
structure and insert:
(b) State and Local Grants.--Notwithstanding subsection
(a), for any fiscal year for which the total amount of funds
appropriated for Parts A and C are not less than $650
million, all such funds shall be used to carry out Part D.
Report Language:
The Conferees support the reform measures being included in
the formula grant program (Title III, Part A). By making
these reforms contingent upon a set appropriated amount, the
Conferees intend to make these reforms permanent and
encourage the appropriators to maintain such amount for all
succeeding fiscal years.
142. The Senate Amendment, but not the House bill, contains
a Sense of the Senate that Congress should appropriate $750
million to carry out Parts A and D and authorizes significant
increases in appropriations for FY 2003 through FY 2008. This
was an amendment to Title X of the Senate Amendment.
SR with an amendment to strike all of (a).
SR on (b)
143. The Senate Amendment, but not the House bill,
stipulates that Parts A, C, E and F are not in effect if Part
D is enacted. Part D is only enacted when the appropriation
is $700 million or more.
HR with amendment to conform to new structure
144. The House bill, but not the Senate Amendment, requires
subgrant recipients to submit biennial evaluations to the
state. The evaluation must include programs and activities
conducted by the entity; the progress made by LEP students in
meeting challenging state academic content and student
achievement standards; the number and percentage of LEP
students attaining English proficiency; and the progress made
by students in meeting challenging state academic content and
student achievement standards after such students are no
longer receiving services. The Senate Amendment, but not the
House bill, also requires increases in the number and
percentage of LEP students attaining English proficiency.
(See note 148)
SR with an amendment to:
Strike ``subpart 1'' and insert ``this part'' after
``under'' and strike ``of'' and insert ``that includes'' in
(a);
Insert ``a description of'' before ``the programs'' and
strike ``subpart 1'' and insert ``this part for'' in (1).
145. The House bill, but not the Senate Amendment,
stipulates that the evaluations must be used for improvement
of programs and activities; the effectiveness of such
programs and activities in teaching LEP children English and
meet challenging state academic standards; and whether or not
to continue funding for programs and activities.
SR
146. The House bill, but not the Senate Amendment,
stipulates the components of the evaluation such as an
evaluation of whether or not students enrolled in a program
or activity have attained English proficiency; and have
achieved a working knowledge of the English language.
SR with an amendment to strike (c)(1), (A), (B) and (2) and
insert:
``(c) Evaluation Components.--An evaluation provided by an
eligible entity under subsection (a) shall provide an
evaluation of students enrolled in a program or activity
conducted by the entity using funds under this title,
including the percentage of students that --
``(1) are making progress in attaining English proficiency,
including the percentage of students that have achieved
proficiency in the English language and the percentage of
students that have transitioned into classrooms not tailored
for limited English proficient students;
``(2) have achieved a level of proficiency in the English
language that is sufficient to permit them to achieve in
English, in a classroom that is not tailored to limited
English proficient children;
``(3) are meeting challenging state academic content
standards and challenging state student academic achievement
standards expected of all students;
``(4) are not receiving waivers for grades 3-8 testing
under section 1111(b)(H)(iv); and
``(5) such other information as the state may require.''
147. The House bill, but not the Senate Amendment, requires
states to approve evaluation measures that are designed to
assess oral language proficiency in Kindergarten, oral
language proficiency, including speaking and listening skills
in first grade, including reading and writing proficiency in
second grade and higher, and attainment of challenging state
student academic achievement standards.
SR with an amendment to strike (d)(1)--(4) and insert:
``(d) Evaluation Measures.--In preparing an evaluation for
use by an entity under subsection (a), a state shall approve
evaluation measures, as applicable, for use under subsection
(c) that are designed to assess -
``(1) the progress of students in attaining English
proficiency that shows the level of oral language, including
speaking and listening, reading, and writing skills in
English;
``(2) student attainment of challenging state student
academic achievement standards on assessments described in
section 1111(b)[check reference]; and
``(3) progress in meeting the state annual achievement
objectives as consistent with section 3329.''

[[Page H9998]]

148. The Senate Amendment, but not the House bill, requires
SEAs or specially qualified agencies to develop annual
measurable performance objectives for LEP programs and must
specify an incremental percentage increase for each
performance objective for each fiscal year, including
increases in the number of LEP students demonstrating
increases on annual assessments.
HR with an amendment to strike SEC. 3329 (a) and insert:

SEC. 3329. ACHIEVEMENT OBJECTIVES AND ACCOUNTABILITY

``(a) In General.--Each state educational agency or
specially qualified agency receiving a grant under this title
shall develop annual measurable achievement objectives for
limited English proficient students served under this title
with respect to helping such students develop and attain
proficiency in English while meeting state academic content
and student academic achievement standards as required by
section 1111(b)(1). Such achievement objectives shall be
developed in a manner that considers the amount of time an
individual student has been enrolled in a language
instruction educational program and assigns such objectives
in an appropriate manner to reflect such enrollment, and
shall be consistent in the method and measurement for
determining the increases described in paragraphs (1), (2)
and (4). Measurable achievement objective for students served
in language instruction educational programs under this title
shall include--
``(1) at a minimum, annual increases in the number or
percentage of students making progress made by students in
learning the English language;
``(2) at a minimum, annual increases in the number or
percentage of students attaining English language proficiency
by the end of each school year, as determined by a valid and
reliable assessment of English proficiency consistent with
section 1111(b)(7);
``(3) meeting adequate yearly progress for limited English
proficient student established in section 1111(b)(2)(C)(iv);
and
``(4) may include, at the discretion of the State, the
number or percentage of students not receiving waivers for
grades 3-8 testing under section 1111(b)(H)(iv), except that
States shall not apply such requirement to eligible entities
that in a given school year--
``(A) have experienced a large influx of limited English
proficient children or immigrant children and youth;
``(B) enroll a statistically significant number of
immigrants from countries where such immigrants had little or
no access to formal education; or
``(C) have a statistically significant number of immigrants
who have fled from war and natural disaster.''
Report Language:
To Modify Achievement Objectives 3329(a)--The Conferees
wish to clarify that annual measurable achievement objectives
described under 3329(a) for developing and attaining English
proficiency be derived from scientifically-based research on
teaching limited English proficient children such as, but not
limited to research conducted by the READ Institute, the
National Academy of Sciences and the Center for Applied
Linguistics, and be established by states in a manner that
reflects the full range of second language proficiency,
including developmentally-appropriate communication and
academic skills.
To Modify Achievement Objectives 3329(a)(1) and
3329(a)(2)--In providing for achievement objectives under
section 3329(a), the Conferees intend to reflect progress in
the development and the attainment of English language
proficiency among limited English proficient students. In
developing these objectives, states should distinguish
between learning the English language and attaining English
language proficiency by establishing such objectives in a
manner that reflects the number of children showing improved
achievement on assessments of English language proficiency
(consistent with section 3329(a)(1)), and that reflects the
number of children within a common group or cohort of
students that are enrolled in a language instruction
educational program from year to year, and that attain full
English proficiency (consistent with section 3329(a)(2)).
149. The Senate Amendment, but not the House bill, requires
SEAs and specially qualified agencies to be held accountable
for meeting annual measurable performance objectives and
meeting AYP.
HR with an amendment to strike (b)(1) and (b)(2) and
insert:
``(b) Accountability.--
``(1) For States.--Each state educational agency receiving
a grant under this title shall hold eligible entities
accountable for meeting the annual measurable achievement
objectives under this part and adequate yearly progress for
limited English proficient students under section
1111(b)(2)(B).
``(2) Improvement Plan.--(A) If the state determines, based
on the objectives described in subsection (a) that the entity
has failed to make progress toward meeting the annual
measurable achievement objectives for limited English
proficient children for two consecutive years, the entity
shall develop an improvement plan to ensure that the entity
meets such annual measurable objectives that specifically
addresses factors that prevented the entity from achieving
their objectives.
``(3) Technical Assistance.--During the development of the
improvement plan described in subparagraph (2), and
throughout its implementation, the State educational agency
shall --
``(A) provide technical assistance to eligible entities;
``(B) provide technical assistance, if applicable, to
schools served by such entity that need assistance to enable
the local educational agency to meet the annual measurable
objectives described in subsection (a);
``(C) develop, in consultation with the entity,
professional development strategies and activities, based on
scientifically-based research that the agency will use to
meet the annual measurable objectives described in subsection
(a) and require such entity to utilize such strategies and
activities;
``(D) develop, in consultation with the entity, a plan to
incorporate strategies and methodologies, based on
scientifically-based research, to improve the specific
program or method of instruction provided to limited English
proficient students.
``(4) Accountability.--If the State determines the entity
has failed to meet the objectives in subsection (a) for
limited English proficient children for four consecutive
years, the State educational agency shall--
``(A) require such entity to modify their curriculum,
program, and method of instruction; or
``(B) make a determination whether such entity shall
continue to receive funds related to the entity's failure to
make progress on the measurable objectives in (a); and
``(C) require such entity to replace educational personnel
relevant to the entity's failure to make progress on the
measurable objectives in (a).''
Report Language:
For the purposes of making determinations as described in
subsections (b)(2) and (b)(4), a State educational agency
shall assign equal weight to annual goals for learning and
attaining English (consistent with (a)(1) and (a)(2)), and to
annual objectives for academic proficiency (consistent with
(a)(3)).
150. The House bill, but not the Senate Amendment, requires
states receiving a grant to submit a report to the Secretary
every two years on the programs and activities undertaken by
the state and the effectiveness of such programs and
activities in improving the education of LEP children.
SR
151. The House bill, but not the Senate Amendment, requires
the Secretary to prepare and submit a report every two years
to the respective House and Senate committees.
SR with an amendment to strike paragraphs (1)--(5) and to
insert the following as new paragraphs (1)--(8):
``(b) Secretary.--Every second year, the Secretary shall
prepare and submit to the Committee on Education and the
Workforce of the House of Representatives and the Committee
on Health, Education, Labor, and Pensions of the Senate a
report on--
``(1) programs and activities undertaken to serve limited
English proficient students under part and, the effectiveness
of such programs and activities in improving the academic
achievement and English proficiency of children who are
limited English proficient;
``(2) the types of language instructional educational
programs used by local educational agencies or eligible
entities receiving funding under this title to teach limited
English proficient children;
``(3) a critical synthesis of data reported by the states,
pursuant to section 3124, when applicable;
``(4) an estimate of the number of teachers certified in
the field of language instruction educational programs and
the education of limited English proficient students, and an
estimate of the number of such teachers which will be needed
for the succeeding 5 fiscal years;
``(5) the major findings of scientifically based research
carried out under this title;
``(6) the number of programs or projects, if any, that were
terminated because they were not able to reach program goals;
``(7) the number of limited English proficient children
served by local educational agencies or eligible entities
receiving funding under this title who were transitioned out
of language instruction educational programs funded under
this title into classrooms where instruction is not tailored
for limited English proficient children; and
``(8) other information gathered from the reports submitted
under section 3122(a), 3107, and 3124(g) when applicable.''
152. The House bill, but not the Senate Amendment, requires
the Secretary to coordinate all programs serving language
minority and LEP students administered by the Department and
other agencies.
SR
153. The House bill, but not the Senate Amendment, defines
``children and youth.''
SR
Definition linked to note 222.
154. The Senate Amendment, but not the House bill, defines
``core academic subjects.''
HR/SR to move to General Provisions of the Act.
155. The House bill, but not the Senate Amendment, defines
``community-based organization.'' The House bill also defines
this in Title VIII--General Provisions.
SR
156. The Senate Amendment, but not the House bill, defines
``immigrant children and youth.''
HR
157. The House bill, but not the Senate Amendment, defines
``eligible entity.''
SR

[[Page H9999]]

158. The Senate Amendment, but not the House bill, defines
``language instruction educational program.''
HR with an amendment to insert ``and attaining'' after
``developing'' in (A);
Insert ``academic'' after ``State'' in (A);
Strike ``performance'' and insert ``academic achievement''
in (A);
Insert ``and attain'' after ``develop'' in (B).
Strike ``as quickly and effectively as possible'' in both
(A) and (B).
159. The House bill, but not the Senate Amendment, defines
``Native Hawaiian or Native American Pacific Islander Native
language educational organization.''
HR with amendment to use definition on page 121, numbers 9
and 10, which reads as follows:
``Native american and native american language.--The terms
``Native American and Native American language'' shall have
the same meanings given such terms in section 103 of the
Native American Languages Act.
``Native hawaiian or native american pacific islander
native language educational organization.--The term ``Native
Hawaiian or Native American Pacific Islander Native Language
educational organization'' means a nonprofit organization
with a majority of its governing board and employees
consisting of fluent speakers of the traditional Native
American languages used in the organization's educational
programs and with not less than 5 years successful experience
in providing educational services in traditional Native
American languages.''
160. The Senate Amendment, but not the House bill, defines
the term ``limited English proficient student'' in Part D.
The House bill only defines ``limited English proficient
student `` in Title VIII--General Provisions.
HR with an amendment to strike ``opportunity to learn'' and
insert ``ability to successfully achieve'' in (4)(D)(ii).
Move definition to General provisions.
161. The Senate Amendment, but not the House bill, defines
``local educational agency'' in Part D. The House bill
defines it in Title VIII--General Provisions.
SR
162. Using different language, the House bill and the
Senate Amendment, define ``native language.''
HR/SR with an amendment to use definition on page 122,
number 11, which reads as follows:
``Native Language--the term native language, when used with
reference to an individual of limited English proficiency,
means the language normally used by such individual, or in
the case of a child or youth, the language normally used by
the parents of the child or youth.''
163. The Senate Amendment, but not the House bill, defines
``scientifically based research'' in Part D. The House bill
defines it in Title VIII--General Provisions.
SR
164. Using different language, the House bill and the
Senate Amendment, define ``specially qualified agency.''
HR with an amendment to add House (6)(B) to Senate (8).
165. The Senate Amendment, but not the House bill, defines
``state'' in Part D. The House bill defines it in Title
VIII--General Provisions.
SR
166. The House bill, but not the Senate Amendment, defines
``tribally sanctioned educational authority.''
SR
167. The House bill, but not the Senate Amendment,
stipulates that nothing shall be construed as to prohibiting
LEAs from serving LEP children simultaneously with students
with similar needs, in the same educational settings where
appropriate; requires states or LEAs to establish, continue,
or eliminate any particular type of instructional programs
for LEP children; or limit the preservation or use of Native
American languages.
SR
168. The House bill, but not the Senate Amendment, requires
the Secretary to issue regulations that are only necessary to
ensure compliance with specific requirements of this part.
HR
169. The House bill, but not the Senate Amendment, provides
that nothing shall be construed to negate or supersede the
legal authority under state law.
SR
170. The House bill, but not the Senate Amendment, provides
for the protection of federal law guaranteeing a civil right.
SR
171. The House bill, but not the Senate Amendment,
stipulates that programs that serve Native American children,
Native Pacific Island children and children of the
Commonwealth of Puerto Rico may include learning and studying
their native languages, as long as the primary focus and
outcome of such program is to increase English proficiency
among such children.
SR with an amendment to strike ``primary.''
172. The House bill, but not the Senate Amendment, provides
the necessary conforming amendments for this title and
changes the name of the office that administers bilingual
education programs as well as changes the name of the
director.
SR with an amendment to strike ``Office of Educational
Services for Limited English Proficient Children'' and to
insert ``Office of English Language Acquisition, Language
Enhancement and Academic Achievement for Limited English
Proficient Students'' in paragraph (1); Strike ``Director of
Educational Services for Limited English Proficient
Children'' and insert ``Director of English Language
Acquisition, Language Enhancement and Academic Achievement
for Limited English Proficient Students'' in (2); and Conform
to subsection (b).
173. The Senate Amendment, but not the House bill,
prohibits the Secretary from mandating or stopping the use of
a particular curricular or instructional approach to
education LEP students.
HR
174. The Senate Amendment, but not the House bill, provides
for national leadership activities.
HR
175. The Senate Amendment, but not the House bill, provides
competitive grants for up to five years, for professional
development activities.
HR with an amendment to strike ``bilingual education
teachers'' and insert ``teachers that serve limited English
proficient students'' in (b); Strike paragraph (1); Insert
the following language for (4):
``(4) in conjunction with other federal need-based student
financial assistance programs, financial assistance and costs
related to tuition, fees, and books for enrolling in courses
required to complete the degree involved, and meet
certification or licensing requirements for teachers that
serve limited English proficient students.''
176. The Senate Amendment, but not the House bill,
continues the National Clearinghouse for Bilingual Education.
HR with an amendment to strike the language and insert the
following:
(c) National Clearinghouse.--The Secretary shall establish
and support the operation of a National Clearinghouse for
English Language Acquisition and Language Instruction
Educational Programs, which shall collect, analyze,
synthesize, and disseminate information about second language
acquisition programs for limited English proficient students,
and related programs. The National Clearinghouse shall--
(1) be administered as an adjunct clearinghouse of the
Educational Resources Information Center Clearinghouses
system supported by the Office of Educational Research and
Improvement;
(2) coordinate activities with federal data and information
clearinghouses and entities operating federal dissemination
networks and systems;
(3) develop a system for improving the operation and
effectiveness of federally funded language instruction
educational programs;
(4) collect and disseminate information on--
(A) educational research and processes related to the
education of limited English proficient students; and
(B) accountability systems that monitor the academic
progress of limited English proficient students in language
instruction educational programs, including information on
academic content standards and English language proficiency
assessments for language instructional programs;
(5) publish, on an annual basis, a list of grant recipients
under this section.
177. No comparable House provision.
HR
178. No comparable House provision.
HR with an amendment to move (2)(A) to the definition
section and to strike (B).
179. No comparable House provision.
HR
180. No comparable House provision.
HR
181. No comparable House provisions.
HR with an amendment to strike the purpose (a)(1), (2), and
(3); Strike subparagraph (A) and insert:
``(A) In General.--The Secretary is authorized to award
grants to eligible entities having applications approved
under section 3104 to enable such entities to provide
innovative, locally designed, high quality instruction to
children and youth of limited English proficiency, by
expanding, developing or strengthening language instruction
educational programs.''
Strike ``performance'' and insert ``academic achievement''
in (2)(i)(I);
Insert ``academic'' before ``services'' in (2)(i)(II);
Strike ``career counseling'' and insert ``vocational and
technical training'' in (B)(v);
Strike one of the two duplicative (B)(v);
Insert as (B)(ix):
``(ix) acquiring or developing education technology or
instructional materials for limited English proficient
students, including materials in languages other than
English, and participation in electronic networks for
materials, training, communication, and incorporation of such
resources in curricula and programs.''
LC--renumber original (B)(ix) as (x).
182. No comparable House provisions.
HR with an amendment to:
Strike the purpose (a) and (1)-(3);
Strike (b)(1) AUTHORITY, and insert as new (1):
``(1) Authority.--The Secretary may award grants to
eligible entities having applications approved under section
3104 to enable such entities to develop and implement
language instruction educational programs, and improve,
reform, or upgrade programs or operations that serve
significant percentages or numbers of students of limited
English proficiency.''
Strike ``career counseling'' and insert ``vocational or
technical training'' in (3)(D);
Strike ``performance'' and insert ``academic achievement''
in (3)(E);

[[Page H10000]]

Strike ``such as...education programs'' in (3)(G) and
insert a period after ``proficiency;''
Strike ``all'' and ``more than 1 language'' and insert
``English and other languages'' after ``in'' in (3)(I);
Insert as new (3)(J):
``(J) acquiring or developing education technology or
instructional materials for limited English proficient
students, including materials in languages other than
English, and participation in electronic networks for
materials, training, communication, and incorporation of such
resources in curricula and programs.''
LC--re-letter original (3)(J) as (3)(K);
Strike first ``90'' and insert ``45'' and strike second
``90'' and insert ``30'' and insert ``the beginning of the
school year or after ``not later than'' in (4);
Insert ``7112, 7113, 7114, 7115'' in (1)(A)(i) [COVERED
GRANT];
Insert ``to eligible entities'' after ``award grants'' in both (2)(A)
and (2)(B)
[Availability].
Insert new (d)(A)--(D):
(d) PRIORITY--In awarding grants under this section, the
Secretary shall give priority to an entity that--
(A) experiences a significant increase in the number or
percentage of limited English proficient students enrolled in
the applicant's programs and has limited or no experience in
serving limited English proficient students;
``(B) is a local educational agency that serves a school
district that has a total district enrollment that is less
than 10,000 students;
``(C) demonstrates that the applicant has a proven track
record of success in helping limited English proficient
children and youth learn English and meet high academic
standards; or
``(D) serves a school district with a large number or
percentage of limited English proficient students.
``(e) Eligible Entities . . .''
183. No comparable House provision.
HR with an amendment to:
Strike ``bilingual'' and insert ``language instruction
educational programs'' in (1)(D) [In General section]; Strike
``with an advisory . . . whose members are'' in (2)(B)(ii);
Strike ``and fair'' in (h)(B)(3)(A) and insert ``and'' after
``valid;''
Move all of (1) PRIORITY (pg. 78) to Section 3103 (pg. 65),
strike ``subpart'' and insert ``section'' in (1), strike
paragraph (D); and Strike (3) Due Consideration (B).
184. No comparable House provision.
HR with an amendment to strike ``bilingual'' and insert
``language instruction educational programs'' in Sec. 3105.
185. No comparable House provision.
HR
186. No comparable House provision.
HR with an amendment to strike ``language groups'' and
insert ``native languages spoken by student'' and insert
``socioeconomic status'' before the ``and'' in (c)(2); Strike
``performance'' and insert ``academic achievement'' in
(c)(3).
Report Language:
It is the intent of the Conferees that evaluations
submitted to the Secretary under this subpart accurately
reflect academic achievement and progress made in developing
and attaining English language proficiency for all students
enrolled in a particular language instruction educational
program. Consistent with section 3107(c)(2), results shall be
disaggregated by language group and show the progress made by
all students, when applicable.
187. No comparable House provision.
HR
188. No comparable House provision.
HR with an amendment to:
Strike ``bilingual'' and insert ``language instruction
educational programs'' in Sec. 3221 (a).
Strike ``Office of Bilingual Education and Minority
Language Affairs'' and insert ``Office of English Language
Acquisition, Language Enhancement and Academic Achievement
for Limited English Proficient Students'' in Sec. 3321(c).
189. No comparable House provisions.
HR with an amendment to replace the current Sec. 3122
(b)(3) with the following language:
``(3) may include establishing (through the National Center
for Education Statistics in consultation with experts in
second language acquisition and in scientifically-based
research on teaching LEP students) a common definition of
'limited English proficient student' for purposed of national
data collection; and''
Strike ``bilingual education'' and insert ``second language
acquisition, scientifically-based research on teaching LEP
students,'' in (b)(4).
Insert ``LEP'' before ``students or teachers'' and strike
``into bilingual education'' and insert ``that serve such
students'', strike the second ``bilingual education'' and
insert ``language instruction educational programs'' in
(c)(1);
Replace the current (2)(d) with the following language:
``(d) Consultation.--The Secretary shall consult with
agencies, organizations, and individuals that are engaged in
research and practice on the education of LEP students,
language instruction educational programs, or related
research, to identify areas of study and activities to be
funded under this section.''
Strike ``Office of Bilingual Education and Minority
Language Affairs'' and insert ``Office of English Language
Acquisition, Language Enhancement and Academic Achievement
for Limited English Proficient Students'' in Sec. 3122 (a).
190. No comparable House provision.
HR with an amendment to insert ``academic'' after ``State''
in (a)(2).
191. No comparable House provision.
HR with an amendment to strike $200,000 and insert
``$100,000'' in sec. 3124(b).
192. No comparable House provision.
HR with an amendment to strike ``bilingual education'' and
replace with ``language instruction educational programs'' in
sec. 3125 (a), (b)(3), and (b)(4);
Conform (b)(4) to Note 176.
193. No comparable House provision.
HR with an amendment to strike ``voluntary national content
standards'' in (b)(2) and insert ``academic'' after ``State''
in (b)(2).
194. No comparable House provision.
HR with an amendment to strike all legislative language in
notes 194-202 and insert:

``SEC. 3131.

PROFESSIONAL DEVELOPMENT.

``(a) Purpose.--The purpose of this subpart is to provide
assistance to prepare educators to improve the educational
services for limited English proficient children and youth
by--
``(1) supporting professional development programs and
activities to prepare teachers, pupil service personnel,
administrators, and other educational personnel working in
language instruction educational programs to provide
effective services to limited English proficient children and
youth;
``(2) incorporating curricula and resources on appropriate
and effective instructional and assessment methodologies
specific to limited English proficient students into pre-
service and in-service professional development programs;
``(3) upgrading the qualifications and skills of non-
certified educational personnel, including educational
paraprofessionals, to enable such personnel to meet high
professional standards for educating limited English
proficient students;
``(4) improving quality of professional development
programs in schools or departments of education at
institutions of higher education, for educational personnel
serving or preparing to serve children and youth of limited
English proficiency; and
``(5) supporting the recruitment and training of
prospective educational personnel to serve limited English
proficient students by providing fellowships for
undergraduate, graduate, doctoral, and post-doctoral study
related to the instruction of such students.
``(b) Authorization.--
``(1) In general.--The Secretary is authorized to award
grants to institutions of higher education, state educational
agencies, local educational agencies, or a consortium of one
or more local educational agencies, state educational
agencies, institutions of higher education, or for profit and
nonprofit organizations.
``(2) Duration.--Each grant awarded under this subpart
shall be awarded for a period of not more than 4 years.
``(c) Authorized Activities.--Grants awarded under this
subpart shall be used to conduct high-quality professional
development programs and effective activities and strategies
to improve the quality of instruction and services provided
to limited English proficient students, including--
``(1) implementing pre-service and in-service professional
development programs for teachers that serve limited English
proficient students, administrators, and other educational
personnel who are preparing to provide educational services
for children and youth of limited English proficiency,
including professional development programs that assist
limited English proficient children to attain English
proficiency;
``(2) implementing school-based collaborative efforts among
teachers to improve instruction in core academic areas,
especially reading, for students of limited English
proficiency;
``(3) developing and implementing programs to assist new
teachers who serve limited English proficient students with
transitioning to the teaching profession, including mentoring
and team teaching with trained and experienced teachers;
``(4) implementing programs that support effective teacher
use of education technologies to improve instruction and
assessment;
``(5) developing curricular materials and assessments for
teachers that are appropriate to the needs of limited English
proficient students, and that are aligned with state academic
achievement content standards, including materials and
assessments that ensure limited English proficient children
attain English proficiency;
``(6) integrating and coordinating activities with entities
carrying out other programs consistent with the purposes of
this subsection and supported under this Act, or other Acts
as appropriate;
``(7) developing and implementing career ladder programs to
upgrade the qualifications and skills of non-certified
educational personnel working in, or preparing to work in,
language instruction educational programs to enable such
personnel to meet high professional standards, including
standards for certification and licensure as teachers;
``(8) developing and implementing activities to help
recruit and train secondary school students as teachers that
serve limited English proficient students;
``(9) providing fellowships and assistance for costs
related to enrollment in a course of study at an institution
of higher education

[[Page H10001]]

that addresses the instruction of children and youth of
limited English proficiency in such areas as teacher
training, program administration, research, evaluation, and
curriculum development, and for the support of dissertation
research related to such study, provided that any person
receiving such a fellowship or assistance shall agree to--
``(A) work in an activity related to the program or in an
activity such as an activity authorized under this subpart,
including work as a teacher that serves limited English
proficient students, for a period of time equivalent to the
period of time during which such person receives assistance
under this provision; or
``(B) repay such assistance; and
``(10) carrying out such other activities as are consistent
with the purpose of this subpart.
``(d) Application.--
``(1) In general.--Each eligible entity desiring a grant
under this subpart shall submit an application to the
Secretary at such time, in such form, and containing such
information as the Secretary may require.
``(A) Contents.--Each application shall--
``(i) describe the programs and activities proposed to be
developed, implemented and administered under the award;
``(ii) describe how the applicant has consulted with, and
assessed the needs of, public and private schools serving
children and youth of limited English proficiency to
determine such schools' need for, and the design of, the
program for which funds are sought; and
``(iii) describe how the activities to be carried out under
the award will be used to ensure limited English proficient
students meet state academic achievement standards and attain
English proficiency.
``(B) Special rule.--An eligible entity who proposes
conducting a master's- or doctoral-level program with funds
applied for under this subpart shall contain an assurance in
their application that such program will include, as a part
of the program, a training practicum in a local school
program serving children and youth of limited English
proficiency.
``(C) Outreach and technical assistance.--The Secretary
shall provide for outreach and technical assistance to
institutions of higher education eligible for assistance
under title III of the Higher Education Act of 1965 and
institutions of higher education that are operated or funded
by the Bureau of Indian Affairs to facilitate the
participation of such institutions in activities under this
subpart.
``(D) Distribution rule.--In making awards under this
subpart, the Secretary shall ensure adequate representation
of Hispanic-serving institutions that demonstrate competence
and experience concerning the programs and activities
authorized under this subpart and are otherwise qualified.
``(e) Priorities in Awarding Grants.--
``(1) Priorities.--
``(A) In awarding grants to state educational agencies and
local educational agencies under this subpart, the Secretary
shall give priority to programs and activities designed to
implement professional development programs for teachers and
educational personnel who are currently providing or
preparing to provide educational services for limited English
proficient children and youth, including services provided
through language instruction educational programs, that
ensure such children attain English proficiency and meet
challenging state academic content and student academic
achievement standards.
``(B) In awarding grants to institutions of higher
education under this subpart, the Secretary shall give
priority to institutions who propose programs to recruit and
upgrade the qualifications and skills of certified and non-
certified educational personnel by offering degree programs
that prepare new teachers to serve limited English proficient
students.
``(f) Program Evaluations.--
``(1) In general.--Each recipient of awards under this
subpart shall annually conduct an independent evaluation of
the program and submit to the Secretary a report containing
the independent evaluation. Such report shall include
information on--
``(A) the programs and activities conducted by the
recipient to provide high-quality professional development to
participants of such programs and activities;
``(B) the number of participants served through the
program, the number of participants who completed program
requirements, and the number of participants who took
positions in an instructional setting with limited English
proficient students;
``(C) the effectiveness of the program in imparting the
professional skills necessary for participants to achieve the
objectives of the program; and
``(D) the teaching effectiveness of graduates of the
program or other participants who have completed the
program.''
195. No comparable House provision.
HR with an amendment (see note 194).
196. No comparable House provision.
HR with an amendment (see note 194).
197. No comparable House provision.
HR with an amendment (see note 194).
198. No comparable House provision.
HR with an amendment (see note 194).
199. No comparable House provision.
HR with an amendment (see note 194).
200. No comparable House provision.
HR with an amendment (see note 194).
201. No comparable House provision.
HR with an amendment (see note 194).
202. No comparable House provision.
SR
203. No comparable House provision.
HR with an amendment to move to FIE/LIFE
204. No comparable House provision.
HR with an amendment to move to FIE/LIFE
205. No comparable House provision.
HR with an amendment to move to FIE/LIFE
206. No comparable House provision.
HR with an amendment to move to FIE/LIFE
207. No comparable House provision.
HR with an amendment to move to FIE/LIFE (strike language
not needed)
208. No comparable House provisions.
HR with an amendment to strike (a) Findings.
209. No comparable House provisions.
HR
210. No comparable House provisions.
HR
211. No comparable House provision.
HR
212. No comparable House provision.
HR
213. No comparable House provision.
HR
214. No comparable House provision.
HR with an amendment to strike ``salaries'' and insert
``support'' in (a)(2); Strike ``overhead costs, costs of
construction, acquisition or rental of space'' in (a)(5).
215. No comparable House provision.
HR
216. No comparable House provision.
HR with an amendment to strike ``$200,000 for fiscal year
2001 and such sums as may be necessary for each of the 6
succeeding fiscal years'' and insert: ``such sums for fiscal
year 2001 and such sums as may be necessary for each of the 5
succeeding fiscal years.''
217. No comparable House provision.
HR
218. No comparable House provision.
HR with an amendment to move to Authorized Activities to
subpart 1--Bilingual Education Capacity and Demonstration
Grants
219. No comparable House provision.
HR
220. No comparable House provision.
HR
221. No comparable House provision.
SR with an amendment to correspond with note 151.
Insert ``appropriately'' after ``number of,'' strike
``bilingual,'' and strike ``bilingual education teachers''
and insert ``teachers that serve limited English proficient
students'' in (d)(3)
222. No comparable House provision.
SR on definition of ``Bilingual Education Program;''
HR on definition of ``children and youth;''
SR on definition of ``community-based organization;''
HR on definition of ``community college;''
HR with amendment to strike ``Office of Bilingual Education
and Minority Languages Affairs'' and insert ``Office of
English Language Acquisition, Language Enhancement, and
Academic Achievement for Limited English Proficient
Students'' in definition of ``director'';
HR on definition of ``family education program;''
SR on definition of (6)(B) ``instruction for higher
education and employment;''
HR on definition of ``immigrant children and youth;''
SR on definition of ``limited English proficiency and
limited English proficient;''
HR on definition of ``Native American and Native American
Language;''
HR on definition of ``Native Hawaiian or Native American
Pacific Islander Native Language Educational Organization;''
HR on definition of ``Native Language'' (keep with note 162
(pg. 51);
HR with amendment to strike ``Office of Bilingual Education
and Minority Languages Affairs'' and insert ``Office of
English Language Acquisition, Language Enhancement, and
Academic Achievement for Limited English Proficient
Students'' in definition of ``office'';
SR on definition of ``other programs for persons of limited
English proficiency;''
HR on definition of ``paraprofessional;''
SR on definition of ``special alternative instructional
program''
223. No comparable House provision.
Corresponds with notes 13-39.

Title III, Part B--Indian and Alaska Native Education

(New Title VII)

1. The House bill authorizes programs for Indian and Alaska
Native Education. The Senate amendment authorizes programs
for Indian, Native Hawaiian, and Alaska Native Education. The
House bill places these programs in Title III, Part B. The
Senate amendment places them in Title VII.
HR/LC for placement.
2. The House bill includes a header referencing Indian and
Alaska Native Education. The Senate amendment references
Indian Education. The House bill places programs relating to
Indian education in Title III, Part B, Subpart 1. The Senate
amendment places these programs in Title VII, Part A.
LC
3. Using slightly different language, both the House bill
and the Senate amendment include the same findings.
HR/SR with an amendment to insert the following language:

``statement of policy

``It is the policy of the United States to fulfill the
Federal Government's unique and

[[Page H10002]]

continuing trust relationship with and responsibility to the
American Indian people for the education of Indian children.
The Federal Government will continue to work with local
educational agencies, Indian tribes and organizations,
postsecondary institutions, and other entities toward the
goal of assuring that programs that serve Indian children are
of the highest quality and provide for not only the basic
elementary and secondary educational needs, but also the
unique educational and culturally related academic needs of
these children.''
4. Using slightly different language, both the House bill
and the Senate amendment include the same purposes.
LC
5. Both the House bill and the Senate amendment authorize
formula grants to Local Educational Agencies. The House bill
does this in Chapter 1, the Senate amendment does this in
Subpart 1.
LC
6. Using slightly different language, both the House bill
and the Senate amendment have the same purposes.
LC
7. The House bill references academic content standards and
State student academic achievement standards. The Senate
amendment references State student performance standards.
LC--align with bill--academic achievement standards
8. Using different placement, both the House bill and
Senate amendment provide for grants to LEAs.
LC
9. Using slightly different language, both the House bill
and the Senate amendment describe eligibility requirements.
LC
10. Using slightly different language, both the House bill
and the Senate amendment allow for Indian tribes to apply for
grants in the event that an eligible LEA does not establish a
parent committee.
LC
11. Using slightly different language and different
references, both the House bill and the Senate amendment
establish criteria to determine the amount of grants to
eligible LEAs. The Senate amendment but not the House bill
references subsection (d)--the definition of average per
pupil expenditure.
LC
12. Using slightly different language, both the House bill
and the Senate amendment provide for a minimum grant amount.
LC
13. Using slightly different language, both the House bill
and the Senate amendment provide the same definitions.
LC
14. Using slightly different language, both the House bill
and the Senate amendment provide the same criteria for grants
to schools supported by the Bureau of Indian Affairs (BIA).
LC
15. Using slightly different language, both the House bill
and the Senate amendment provide for the same application
requirements.
HR
16. The House bill allows applications for schoolwide
programs to be approved if they will not diminish culturally
related activities. The Senate amendment allows for
schoolwide programs if they enhance culturally related
activities.
SR
17. Using slightly different language, both the House bill
and the Senate amendment have the same general criteria for
the use of grant funds.
LC
18. Using slightly different language, both the House bill
and the Senate amendment have similar specific requirements
for the use of grant funds.
LC
19. The House bill refers to State academic content
standards and State academic achievement standards. The
Senate amendment refers to State content standards and State
performance standards.
LC--need to conform academic achievement standards
20. The House bill references the Perkins Vocational and
Technical Education Act of 1998. The Senate amendment
references P.L. 103-239, and P.L. 88-120.
SR
21. The Senate amendment, but not the House bill, specifies
that funds may be used to promote the incorporation of
culturally responsive teaching and learning strategies.
HR
22. The Senate amendment, but not the House bill, specifies
that funds may be used for activities that incorporate
American Indian and Alaska Native specific curriculum
content.
HR
23. The Senate amendment, but not the House bill, specifies
that funds may be used to promote coordination and
collaboration between tribal, Federal, and State public
schools.
SR
24. Using slightly different language, both the House bill
and the Senate amendment allow LEAs to use funds to support
schoolwide programs.
LC
25. Using slightly different language, both the House bill
and the Senate amendment limit the use of funds by a grantee
for administrative purposes to five percent of the funds
received.
LC
26. Using slightly different language, both the House bill
and the Senate amendment provide for LEAs receiving formula
grants under this Title to combine federal funds received to
serve Indian students into a comprehensive program to serve
such students.
LC
27. Using slightly different language, both the House bill
and the Senate amendment require LEAs that want to
participate to submit a plan to the Secretary.
SR
28. Using slightly different language, both the House bill
and the Senate amendment require the Secretary to authorize
the applicant to consolidate programs upon receipt of an
acceptable plan.
HR
29. Using slightly different language, both the House bill
and the Senate amendment set forth criteria for commingling
of funds.
LC
30. Using slightly different language, both the House bill
and the Senate amendment list the same requirements for an
acceptable plan.
LC
31. The Senate amendment but not the House bill requires
consultation with the House Committee on Resources and the
Senate Committee on Indian Affairs.
SR
32. Using slightly different language, both the House bill
and the Senate amendment require coordination among federal
agencies, which provide funds effected under the LEA's plan.
LC
33. Using slightly different language, both the House bill
and the Senate amendment set forth the responsibilities of
federal agencies under this section, as well as criteria for
determining the lead agency for the purposes of this section.
SR
34. Using slightly different language, both the House bill
and the Senate amendment list information that the applicant
is required to report to the Secretary.
SR
35. Using slightly different language, both the House bill
and the Senate amendment prohibit reduction in funding
received by applicants, authorize interagency fund transfers,
set forth administrative requirements for participating LEAs,
allow for simplified record keeping for participating LEAs,
allow for the commingling of administrative funds, and allow
the Secretary and the lead agency to safeguard federal funds
pursuant to the Single Audit Act.
LC--to check references to other acts
36. Using slightly different Language, both the House bill
and the Senate amendment require the Secretary of Education
to report on obstacles to program integration to the relevant
congressional committees. The House bill and the Senate
amendment requires the reports to be made to the Senate
Health, Education, Labor, and Pensions committee, and to the
House Committee on Education and the Workforce. In addition,
the Senate amendment requires reports to be made to the
Senate Committee on Indian Affairs.
HR
37. Using slightly different language, both the House bill
and the Senate amendment define the term ``Secretary'' for
purposes of this section.
SR
38. Using slightly different language, both the House bill
and the Senate amendment set forth information that must be
included on student eligibility forms.
HR
39. Using slightly different language, both the House bill
and the Senate amendment set forth the same criteria for the
Secretary to conduct monitoring and evaluation reviews,
compute grant awards for BIA funded schools, and establish
the timing of child counts.
LC
40. Using slightly different language, both the House bill
and the Senate amendment set forth the same criteria
regarding notification of payments, payments taken into
account by a State in determination of State aid, and
maintenance of effort.
LC
41. The Senate amendment refers to ``the year'', while the
House bill refers to the ``preceding year.
SR
42. See note 41.
SR
43. Using slightly different language, both the House bill
and the Senate amendment provide the same requirements for
State review of applications.
LC
44. Both the House bill and the Senate amendment authorize
special programs and projects to improve educational
opportunities for Indian children. These activities are
authorized under Chapter 2 in the House bill and Subpart 2 in
the Senate amendment.
LC
45. Using slightly different language, both the House bill
and the Senate amendment set forth the same purposes.
LC
46. Using slightly different language, both the House bill
and the Senate amendment list the same eligible entities.
HR
47. Both the House bill and the Senate amendment authorize
the same activities.
HR with an amendment to strike ``secondary school'' and
insert ``high school'' in (E).
48. The House bill refers to career preparation programs,
while the Senate amendment

[[Page H10003]]

refers to school-to-work transition programs.
SR
49. Using slightly different language, both the House bill
and the Senate amendment authorize grants for professional
development. The Senate amendment refers to pre-service or
in-service training, while the House bill refers to
professional development.
SR
50. Using slightly different language, both the House bill
and the Senate amendment set forth the same grant and
application requirements.
LC
51. Using different language, both the House bill and the
Senate amendment require that material to be disseminated:
(1) be adequately reviewed; (2) have demonstrated educational
merit; and (3) has the ability to be replicated.
HR
52. The Senate amendment refers to scientifically based
research, while the Senate amendment refers to research-based
programs.
HR with an amendment to insert ``where applicable'' after
``research program'' in (iii).
53. Using slightly different language, both the House bill
and the Senate amendment limit the use of funds for
administrative purposes to five percent of the funds
received.
LC
54. Using slightly different language, both the House bill
and the Senate amendment authorize grants for professional
development.
SR
55. Both the House bill and the Senate amendment set forth
the same purposes.
SR
56. Using different wording, both the House bill and the
Senate amendment designate institutions of higher education,
State and local educational agencies, and Indian tribes or
organizations as eligible entities. The House bill specifies
that Indian tribes or organizations are eligible in
consortium with institutions of higher education. The Senate
amendment defines ``eligible entity'' to mean a consortium
of: (1) an SEA or LEA; (2) an institution of higher education
(including an Indian institution of higher education); or (3)
an Indian tribe or organization.
SR with an amendment to insert ``a BIA funded school'' as
new House (4).
57. Using slightly different language, both the House bill
and the Senate amendment authorize the Secretary to award
grants to eligible entities.
LC
58. Using slightly different language, both the House bill
and the Senate amendment authorize the same activities, set
forth the same application requirements, place the same
requirements on eligible entities and individuals trained
under the program, and set forth the same reporting
requirements.
LC
59. The Senate amendment, but not the House bill authorizes
a specific program for in-service training for teachers of
Indian children.
HR with amendment to move to national activities and delete
any findings or separate authorizations of appropriations.
60. The Senate amendment, but not the House bill, maintains
an authorization for fellowships for Indian students. This
provision is currently unfunded.
HR with an amendment to move to national activities and
delete any findings or separate authorizations of
appropriations.
61. The Senate amendment, but not the House bill, maintains
an authorization of a program for gifted and talented Indian
students. This authorization is currently unfunded.
HR with an amendment to move to national activities and
delete any findings or separate authorizations of
appropriations.
62. The Senate amendment, but not the House bill, maintains
an authorization of a program to provide grants to tribes for
administrative planning and development. This authorization
is currently unfunded.
HR with an amendment to move to national activities and
delete any findings or separate authorizations of
appropriations.
63. The Senate amendment, but not the House bill, maintains
an authorization for a programs related to adult education
for Indians. This authorization is currently unfunded.
HR with an amendment to move to national activities and
delete any findings or separate authorizations of
appropriations.
64. Using slightly different language, both the House bill
and the Senate amendment authorize the use of funds for
research activities related to the education of Indian
children and adults. The House bill authorizes these
activities in Chapter 3. The Senate amendment places them in
Subpart 4.
LC
65. The Senate amendment but not the House bill limits the
amount of funds that can be used for administrative expenses
to not more than 5 percent of the grant or contract.
SR
66. Both the House bill and the Senate amendment authorize
the National Advisory Council in Indian Education (NACIE).
The House bill does this in Chapter 4. The Senate amendment
does so in Subpart 5.
LC
67. Using almost identical language, both the House bill
and the Senate amendment set forth membership criteria and
duties for the Council.
LC
68. Using different language, both the House bill and the
Senate amendment provide for peer review of applications,
preferences for certain Indian applicants, and minimum grant
criteria.
LC
69. Both the House bill and the Senate amendment provide
definitions and authorizations of appropriations. The House
bill does so in Chapter 5. The Senate amendment does so in
Subpart 6.
LC
70. Both the House bill and the Senate amendment provide
identical definitions of ``adult'', ``free public
education'', and ``Indian''.
SR
71. The House bill authorizes $100,000,000 million for
Chapter 1 for FY 2002, and such sums for each of fiscal years
2003 through 2006. The Senate amendment authorizes
$93,300,000 for FY 2002, and such sums for each of the six
succeeding fiscal years.
SR with an amendment to Strike $100,000,000 and insert
$96,400,000.
72. The House bill authorizes $25,000,000 for Chapters 2
and 3 for FY 2002, and such sums for FY 2003 through 2006.
The Senate amendment authorizes $20,000,000 for Subparts 2
through 4 for FY 2002, and such sums for each of the six
succeeding fiscal years.
SR with an amendment to Strike $25,000,000 and insert
$24,000,000.
73. The House bill but not the Senate amendment includes a
savings provision.
SR
74. The Senate amendment, but not the House bill, continues
programs to supplement educational programs for Native
Hawaiians.
HR with an amendment accept Senate language on findings;
Move Native Hawaiian Council language to allowable uses of
funds; Insert ``including program co-location'' after
``activities,'' in Sec. 7205 (a)(3)(I); and to strike section
7205 (a)(3)(L) (construction).
75. The Senate amendment, but not the House bill,
authorizes $300,000 for FY 2002 and such sums as necessary
for Native Hawaiian education councils.
HR with an amendment to make Native Hawaiian education
councils an authorized activity with funding set aside of
$500,000 per year.
76. The Senate amendment, but not the House bill,
authorizes $35,000,000 for FY 2002, and such sums as
necessary for the succeeding six fiscal years, for programs
to supplement the education of Native Hawaiians.
HR with an amendment--Strike ``$35,000,000'' so that it is
``such sums for FY 2002, and each of the succeeding six
fiscal years'', and insert a provision such that $500,000 is
reserved to fund Native Hawaiian education councils.
77. Both the House bill and the Senate amendment authorize
programs to supplement the education of Alaska Natives. The
House bill authorizes these programs under Subpart 2. The
Senate amendment authorizes them under Part C.
LC
78. Both the House bill and the Senate amendment provide
the same short title.
LC
79. Using slightly different language, both the House bill
and the Senate amendment have the same findings.
HR
80. Using slightly different language, both the House bill
and the Senate amendment have the same purposes.
LC
81. Both the House bill and the Senate amendment authorize
the Secretary to make grants or enter into contracts.
HR
82. Both the House bill and the Senate amendment list
permissible activities. The House bill includes the
development of plans, the development of curricula and
educational programs, professional development of educators,
the development and operation of home instruction programs,
family literacy services, the development and operation of
enrichment programs in science and math, research and data
collection, and other research and evaluation activities. In
addition, the Senate amendment lists parenting education,
cultural education programs, cultural exchange programs
activities carried out through the Even Start program, other
early learning and preschool programs, dropout prevention
programs, an Alaska initiative for community engagement,
career preparation activities, and operational support and
construction funding as permissible activities.
HR
83. Using slightly different language, both the House bill
and the Senate amendment limit the amount of grants that can
be spent on administrative costs to five percent.
LC
84. The Senate amendment but not the House bill requires
the Secretary to give priority to applications from Alaska
Native regional nonprofit organizations or consortia that
include Alaska Native nonprofit organizations when awarding
grants for permissible activities listed under subsection (a)
(2). The Senate amendment further exempts funds earmarked for
certain permissible activities from this provision
HR
85. The House bill authorizes the appropriation of
$15,000,000 for FY 2002, and such sums as necessary for FY
2003 through FY 2006 to carry out this part. The Senate
amendment authorizes $35,000,000 million for FY 2002 and such
sums as necessary for each of the six succeeding fiscal years
to carry out this section (see note 80).

[[Page H10004]]

HR with an amendment to strike ``$35,000,000'' and insert
such sums as necessary.
86. The Senate amendment but not the House bill directs the
Secretary to make available $1 million annually for each of
the following activities: (1) parenting education; (2)
cultural education programs; and (3) cultural exchange
programs. The Senate amendment further directs the Secretary
to make available annually $2 million for each of the
following activities: (1) dropout prevention programs; and
(2) an Alaska Native Initiative for Community Engagement
program.
HR
87. Using slightly different language, both the House bill
and the Senate amendment provide administrative provisions
including application requirements, requirements for
consultation with representatives of the Alaska Native
community, and coordination with local educational agencies.
LC
88. Using slightly different language, both the House bill
and the Senate amendment provide the same definitions of
``Alaska Native'', and ``Alaska Native Organization''.
LC
89. The House bill but not the Senate amendment includes a
savings provision.
SR
90. The Senate amendment, but not the House bill, includes
conforming amendments.
LC
91. The Senate amendment but not the House bill contains a
new Part D, entitled ``Educational, Cultural, Apprenticeship
and Exchange Programs for Alaska Natives, Native Hawaiians
and Their Historical Whaling and Trading Partners in
Massachusetts''.
HR with an amendment to move to the Life Fund.
92. The Senate amendment but not the House bill contains
findings.
HR with an amendment to move to the Life Fund.
93. The Senate amendment but not the House bill establishes
the purpose of the program.
HR with an amendment to move to the Life Fund.
94. The Senate amendment but not the House bill authorizes
the Secretary to make grants or enter into contracts, and
lists eligible entities.
HR with an amendment to move to the Life Fund.
95. The Senate amendment but not the House bill lists
permissible activities.
HR with an amendment to move to the Life Fund.
96. The Senate amendment but not the House bill authorizes
the appropriation of $10 million for FY 2002, and such sums
as necessary for each of the 6 succeeding fiscal years.
SR with an amendment for one allowable use under single
authorization for Life Fund.
97. The Senate amendment but not the House bill requires
the Secretary to make available $2 million for the New
Bedford Whaling Museum, $2 million for the Inupiat Heritage
Center, $1 million each for the Alaska Native Heritage
Center, the Bishop Museum, and the Peabody--Essex Museum to
carry out permissible activities under this part, and $1
million each for the Alaska Native Heritage Center, the
Bishop Museum, and the Peabody--Essex Museum for internship
and apprenticeship programs.
HR with an amendment to move to the Life Fund.
98. The Senate amendment but not the House bill provides
application requirements and requires coordination with Local
Educational Agencies.
HR with an amendment to move to the Life Fund.

Title III, Part B--BIA Indians

(New Title X, Part D)

1. The Senate Amendment, but not the House bill includes a
short Title for its amendments.
HR
2. The Senate amendment, but not the House bill, includes a
reference to the Federal government's unique and continuing
trust relationship with the Indian people.
SR
3. The House bill, but not the Senate Amendment refers to
the responsibility for the operation of BIA schools as solely
the Federal Governments.
HR/SR
4. Using similar language, both the House bill and the
Senate amendment have a statement of policy. The Senate
amendment, but not the House bill, references the basic
elementary and secondary educational needs of Indian
children.
HR with an amendment to strike all of Senate (b) Policy and
insert in its place the following language:
``It is the policy of the United States to fulfill the
Federal Government's unique and continuing trust relationship
with and responsibility to the Indian people for the
education of Indian children and for the operation and
financial support of the Bureau of Indian Affairs funded
school system to work in full cooperation with tribes toward
the goal of assuring that the programs of the Bureau of
Indian Affairs funded school system are of the highest
quality and provide for the basic elementary and secondary
educational needs of Indian children, including meeting the
unique educational and cultural needs of these children.''
5. The Senate Amendment refers to accreditation while the
House bill refers to accreditation standards.
HR
6. The Senate Amendment, but not the House bill, includes a
declaration of purpose.
HR with an amendment to strike all of Senate (B).
7. The House bill, but not the Senate amendment, requires
that the Secretary carry out studies and surveys to establish
and revise standards through a contract with an Indian
organization.
HR
8. The House bill, but not the Senate amendment, requires
the Secretary to revise Bureau academic standards.
HR
9. The House bill, but not the Senate amendment requires
the Secretary to provide alternative standards to ensure
compliance with minimum accreditation standards for the State
or region of a school.
HR
10. The House bill, but not the Senate amendment, allows
tribal governing bodies to waive Bureau standards under
certain circumstances.
HR
11. The House bill allows Bureau schools to meet standards
or be accredited not later than the 2nd academic year after
publication of the standards, while the Senate amendment
requires accreditation 12-months after the date of enactment.
HR with an amendment to strike ``12'' and insert ``24''.
12. The House bill allows for accreditation by a tribal
accrediting agency if the standards used by that agency are
equal to, or exceed standards of the accreditor for the State
or region in which the school is located. The Senate
amendment allows for tribal accreditation if such
accreditation is certified by a State or accepted by a
regional accreditor. The Senate amendment further allows a
tribal government to select the State accreditor if its
reservation is located in more than one State.
SR with an amendment to strike ``are equal . . . is
located;'' in (A) and insert ``such accreditation is
acknowledged by a generally recognized State certification or
regional accrediting agency;''
Insert Senate (iv) as a new House (D).
Report language to read as follows:
Section (i) concerning tribal accreditation clarifies the
conferee's intent that accreditation standards developed by
tribal accrediting bodies are recognized by State or regional
accrediting agencies. It is the purpose of this section to
have Bureau-funded schools develop standards that are equal
to or exceed the accreditation standards of a State or
regional accrediting agency, chosen by the school board in
conjunction with the tribal governing body. The accreditation
agency should recognize that tribal departments of education
are more experienced in developing standards of accreditation
for Indian schools and their children. These accreditation
standards take into account the unique cultural barriers that
exist for Indian children and the conditions needed for them
to achieve their educational goals.
13. The Senate amendment but not the House bill requires
the Secretary of Interior, in conjunction with the Secretary
of Education, to study and report on the feasibility of
establishing a National Tribal Accrediting Agency. The report
is to be made to the appropriate committees of Congress
within 12 months of the date of enactment.
HR with an amendment to insert as new (B) the following
language:
``(B) Feasibility study.--Not later than 12 months after
the date of enactment of the Native American Education
Improvement Act of 2001, the Secretary of the Interior and
the Secretary of Education shall, in consultation with Indian
tribes, Indian education organizations, and accrediting
agencies, develop and submit to the appropriate Committees of
Congress a report on the desirability and feasibility of
establishing a tribal accreditation agency that would serve
to review and acknowledge the accreditation standards for
Bureau funded schools and that would establish accreditation
procedures to facilitate the application, review of the
standards and review processes, and recognition of qualified
and credible tribal departments of education as accrediting
bodies serving tribal schools.''
14. The House bill, but not the Senate amendment, refers to
standards.
HR
15. The House bill provides that assistance may be given to
contract or grant schools in implementing bureau standards,
upon request. The Senate Amendment provides that assistance
may be given to Bureau funded schools to obtain
accreditation. Such assistance can be provided through a
number of entities.
HR
16. The Senate amendment, but not the House bill, provides
that Bureau standards shall apply while accreditation is
being sought.
HR
17. The Senate Amendment, but not the House bill, provides
that the Secretary issue a report on unaccredited Bureau
funded schools 90 days after the end of each school year.
HR with an amendment to insert ``the Committee on Education
and the Workforce'' after ``the Committees on
Appropriations,'' and to insert ``the HELP Committee'' before
``of the Senate'' in (5).
18. The Senate amendment, but not the House bill, provides
schools with the opportunity to present evidence prior to
being included in the report.

[[Page H10005]]

HR
19. The Senate amendment, but not the House bill requires
schools included in the annual report to develop a school
plan to obtain accreditation.
HR
20. The Senate amendment, but not the House bill, requires
the Secretary to take corrective action against a Bureau
school if they fail to obtain accreditation.
HR with an amendment to strike all language and insert the
following:
``(8) Corrective action.--
``(A) Definition.--In this subsection, the term `corrective
action' means action that--
``(i) substantially and directly responds to--
``(I) the failure of a school to achieve accreditation; and
``(II) any underlying staffing, curriculum, or other
programmatic problem in the school that contributed to the
lack of accreditation; and
``(ii) is designed to increase substantially the likelihood
that the school will be accredited.
``(B) Corrective action inapplicable.--The Secretary shall
grant a waiver to any school that-
(i) is identified in the report described in paragraph
(5)(C); and
(ii) fails to be accredited for reasons that are beyond the
control of the school board, as determined by the Secretary.
Reasons that are beyond the control of the school board
include, but are not limited to, significant decline in
financial resources, the poor condition of facilities,
vehicles or other property, or a natural disaster. Such a
waiver shall exempt such school from any or all of the
requirements of this paragraph and paragraph (7), but such
school shall be required to comply with the standards
contained in part 36 of title 25, Code of Federal Register,
as in effect on the date of enactment of the [Native American
Education Improvement Act of 2001].
``(C) Duties of secretary.--After providing assistance to a
school under paragraph (3), the Secretary shall--
``(i) annually review the progress of the school under the
applicable school plan, to determine whether the school is
meeting, or making adequate progress towards, achieving the
goals described in paragraph (7)(A)(v) with respect to
reaccredidation or becoming a candidate for accreditation;
``(ii) except as provided in subparagraph (B), continue to
provide assistance while implementing the school's plan, and,
if determined appropriate by the Secretary, take corrective
action with respect to the school if it fails to be
accredited at the end of the third year of the school's plan;
``(iii) promptly notify the parents of children enrolled in
the school of the option to transfer their child to another
public or Bureau funded school;
``(iv) provide all students enrolled in the school with the
option to transfer to another public or Bureau funded school,
including a public charter school, that is accredited; and
``(v) provide, or pay for the provision of, transportation
for each student described in clause (iv) to the school
described in clause (iv) to which the student elects to be
transferred to the extent funds are available as determined
by the tribal governing body.
``(D) Failure of school plan.--With respect to a Bureau
operated school that fails to be accredited at the end of the
3-year period during which the school's plan is in effect
under paragraph (7), the Secretary may take 1 or more of the
following corrective actions:
``(i) Institute and fully implement actions suggested by
the accrediting agency.
``(ii) Consult with the tribe involved to determine the
causes for the lack of accreditation including potential
staffing and administrative changes that are or may be
necessary.
``(iii) Set aside a certain amount of funds that may only
be used by the school to obtain accreditation.
``(iv)(I) Provide the tribe with a 60-day period in which
to determine whether the tribe desires to operate the school
as a contract or grant school, before meeting the
accreditation requirements in section 5207 of the Tribally
Controlled Schools Act, at the beginning of the next school
year following the determination to take corrective action.
If the tribe agrees to operate the school as a contract or
grant school, the tribe shall prepare a plan, pursuant to
paragraph (7), for approval by the Secretary in accordance
with paragraph (7), to achieve accreditation.
``(II) If the tribe declines to assume control of the
school, the Secretary, in consultation with the tribe, may
contract with an outside entity, consistent with applicable
law, or appoint a receiver or trustee to operate and
administer the affairs of the school until the school is
accredited. The outside entity, receiver or trustee shall
prepare a plan, pursuant to paragraph (7), for approval by
the Secretary in accordance with paragraph (7).
``(III) Upon accreditation of the school, the Secretary
shall allow the tribe to continue to operate the school as a
grant or contract school, or if being controlled by an
outside entity, provide the tribe with the option to assume
operation of the school as a contract school, in accordance
with the Indian Self Determination Act, or as a grant school
in accordance with the Tribally Controlled Schools Act, at
the beginning of the school year following the school year in
which the school obtains accreditation. If the tribe
declines, the Secretary may allow the outside entity,
receiver or trustee to continue the operation of the school
or reassume control of the school.
``(E) Failure of school plan of contract or grant school.
``(i) Corrective action.--With respect to a contract or
grant school that fails to be accredited at the end of the 3-
year period during which the school's plan is in effect under
paragraph (7), the Secretary may take 1 or more of the
corrective actions described in (D)(i) through (iii). The
Secretary shall implement such corrective action for at least
1 year prior to taking any action described in clause (ii).
``(ii) Outside entity.--If the corrective action described
in clause (i) does not result in accreditation of the school,
the Secretary, in conjunction with the tribal governing body,
may contract with an outside entity to operate the school in
order to achieve accreditation of the school within 2 school
years. Prior to any such contract, the Secretary shall
develop a proposal for such operation which shall include, at
a minimum, the following elements:

``(I) the identification of 1 or more outside entities
which has demonstrated to the Secretary its ability to
develop a satisfactory plan for achieving accreditation, and
which is willing and available to undertake such plan; and
``(II) a plan for implementing operation of the school by
such outside entity, including the methodology for oversight
and evaluation of the performance of such outside entity by
the Secretary and the tribe.

``(iii) Proposal amendments.--The tribal governing body
shall have 60 days to amend the proposal described in clause
(ii), including identifying another outside entity to operate
the school. The Secretary shall reach agreement with the
tribal governing body on the proposal and any such amendments
to such proposal within 30 days of the expiration of the 60
day period described in the preceding sentence. After the
approval of such proposal and any such amendments, the
Secretary, with continuing consultation with such tribal
governing body, shall implement such proposal.
``(iv) Accreditation.--Upon accreditation of the school,
the tribe shall have the option to assume the operation and
administration of the school as a contract school after
complying with the Indian Self Determination Act, or as a
grant school, after complying with the Tribally Controlled
Schools Act, at the beginning of the school year following
the year in which the school obtains accreditation.
``(v) Retrocede.--Nothing in this subparagraph shall limit
a tribe's right to retrocede operation of a school to the
Secretary pursuant to Sec. 105(e) of the Indian Self-
Determination Act (with respect to a contract school) or Sec.
5204(f) of the Tribally Controlled Schools Act (with respect
to a grant school).
(vi) Consistent.--The provisions of this subparagraph shall
be construed consistent with the provisions of the Tribally
Controlled Schools Act and the Indian Self Determination Act
as in effect on the date of enactment of the Native American
Education Improvement Act of 2001, and shall not be construed
as expanding the authority of the Secretary under any other
law.
``(F) Hearing.--With respect to a school that is operated
pursuant to a grant, or a school that is operated under a
contract under the Indian Self Determination Act, prior to
implementing any corrective action under this paragraph, the
Secretary shall provide notice and an opportunity for a
hearing to the affected school pursuant to section 5207 of
the Tribally Controlled Schools Act.''
Report Language:
It is not the intent of the Conferees to broaden the
authority of the Secretary of the Interior provided under the
Indian Self Determination Act. However, nothing is intended
to prevent this Act from being implemented as set forth in
the Conference report. It is also the intent of this Act that
prior to revoking an eligibility of determination and ceasing
funding of a school, the Secretary shall exhaust all remedies
stated in the Act and take any actions necessary to keep the
school operational. The Conferees intend that the Secretary
work with the affected tribe, consistent with the Federal
policies of Indian self-determination, including, if
necessary, temporarily assuming the operation and
administration of a school that fails to become accredited
for reasons that are not beyond the control of the school
until the school becomes accredited and to eliminate
impediments to achieving accreditation, including addressing
underlying staffing, curriculum, or other programmatic
problems in the school.
Section 1121(b)(8)(E) authorizes the Secretary to contract
with an outside entity in cases where a contract or grant
school has not achieved accreditation after the
implementation of a school plan and corrective actions. While
this section does not require the Secretary to contract with
an outside entity, it is the intention of the Conferees to
provide the Secretary with the discretion to contract with an
outside entity in a case where both the school plan and any
corrective action taken have not caused the school to gain
accreditation. The Conferees do not intend to require the
Secretary to contract with an outside entity if accreditation
of the school can be gained through application of corrective
actions.
With respect to public school choice:
The Conferees intend tribal governing bodies or school
boards to establish reasonable

[[Page H10006]]

parameters on the distance the school to which the child
wishes to transfer is from the originating school. The
Conferees do not intend this public school choice provision
to provide an option to transfer to any school irrespective
of the distance or costs associated with travel to such
school.
21. The Senate amendment, but not the House bill, states
that nothing in this section alters or otherwise affects the
rights, remedies, and procedures afforded to school
employees.
HR
22. The House bill, but not the Senate amendment, requires
the Secretary to establish consistent reporting standards for
fiscal control and fund accounting.
SR
23. Using similar language, both the House bill and the
Senate amendment require the Secretary to implement Bureau
academic standards and accreditation standards.
LC
24. Using similar language, both the House bill and the
Senate amendments contain certain prohibitions related to the
closure of BIA funded schools.
HR
25. Using similar language, both the House bill and the
Senate amendment require the Secretary to promulgate
regulations for the closure, transfer, consolidation, or
substantial curtailment of BIA schools.
LC
26. Using similar language, both the House bill and the
Senate amendment require notification for the reason for
closure. The House bill requires notification to the local
school board of a closure 6-months prior to the end of the
school year.
LC
27. Using similar language, both the House bill and the
Senate amendment require reports whenever a Bureau funded
school is closed, transferred to another authority, or its
program is actively curtailed.
LC
28. Both the House bill and the Senate amendment prohibit
actions to close, transfer authority over, consolidate or
substantially curtail Bureau funded schools until the end of
the full first academic year after a negative report is made.
The House bill refers to irrevocable action while the Senate
amendment refers to irreversible action.
SR
29. Using similar language, both the House bill but and the
Senate amendment allow the closure of a Bureau funded school
or school program operated after January 1, 1999, or a school
board operated under a grant with the approval of a tribal
governing body.
LC
30. Using similar language, both the House bill and the
Senate amendment establish the factors to be used in
reviewing applications for schools that are not Bureau funded
or for the expansion of a Bureau funded school.
LC
31. Both the House bill and the Senate amendment require
the Secretary to make a determination with respect to an
application within 180 after submission, and treats the
application as approved if the Secretary takes no negative
action within that time.
LC
32. Using similar language, both the House bill and the
Senate amendment sets forth requirements for applications.
LC
33. Using similar language, both the House bill and the
Senate amendment set forth requirements on the Secretary for
disapproval of applications. If an application is
disapproved, the Secretary must state objections in writing,
provide assistance to the applicant to overcome the
objections, and provide the applicant with a hearing.
HR
34. Using similar language, both the House bill and the
Senate amendment set forth timeframes for successful
applications to go into effect.
LC
35. The House bill but not the Senate amendment requires
maintenance on privately funded expansions to be paid for
with non-Bureau funds.
HR/SR to insert the following language for (6):
``Statutory Administration.--Nothing in this section or any
other provision of law, shall be construed to preclude the
expansion of grades and related facilities at a Bureau funded
school, if such expansion is paid for with non-Bureau funds.
Subject to the availability of appropriated funds the
Secretary is authorized to provide the necessary funds needed
to supplement the cost of operations and maintenance of such
expansion.''
36. The Senate amendment but not the House bill requires
funds provided to be apportioned and retained at the schools.
HR
37. Using similar language, both the House bill and the
Senate amendment allow all federal funds received for
educational or related services to be used for schoolwide
projects.
LC
38. Using different language, the House bill and the Senate
amendment require the Comptroller General, in consultation
with Indian tribes and school boards, to study and report on
the adequacy of funding and formulas used for the funding of
Bureau funded schools.
SR with amendment to strike the first paragraph of the
House language and insert the following in its place:
``(1) Study.--The Comptroller General of the United States
shall conduct a study to determine the adequacy of funding,
and formulas used by the Bureau to determine funding, for
programs operated by Bureau funded schools, taking into
account unique circumstances applicable to Bureau funded
schools. The study shall analyze existing information
gathered and contained in germane studies that have been
conducted or are currently being conducted in regards to
Bureau funded schools.''
39. Both the House bill and the Senate amendment require
the Secretary to revise standards for home-living situations.
The House bill, but not the Senate amendment, requires
consultation. In addition, the House bill requires that such
criteria serve as minimum standards.
LC
40. Using identical language, both the House bill and the
Senate amendment require the Secretary to implement these
standards immediately upon their issuance.
LC
41. Using different language, both the House bill and the
Senate amendment require the Secretary, at the time of each
budget submission, to submit a plan to bring all Bureau
funded schools providing home-living situations into
compliance with the home-living standards developed under
this section. Both the House bill and the Senate amendment
provide for the same information to be reported.
SR
LC--consistent throughout part (no budget reference).
42. The House bill allows for the waiver of home-living
standards in the same manner as a tribal governing body may
waive accreditation standards. The Senate amendment allows
for the waiver of home-living standards under certain
criteria.
HR
43. Using similar language, both the House bill and the
Senate amendment prohibit the Secretary from closing Bureau
funded schools for failure to meet home-living standards. The
House bill references schools in operation prior to January
1, 1987, while the Senate amendment references schools in
operation prior to July 1, 1999.
HR
44. The House bill, but not the Senate amendment codifies
regulations under Part 32 of Title 25 of the Code of Federal
Regulations (CFR). The House bill further defines
regulations.
SR on (a); LC on (b) for placement.
45. Using slightly different language, both the House bill
and the Senate amendment require the Secretary to establish
geographical attendance area for Bureau schools, and allows
tribal governing bodies to establish such boundaries in the
event that more than one tribe occupies a geographical area.
LC
46. Using different language, both the House bill and the
Senate amendment prohibit the Secretary from revising
attendance without the consent of tribal governing bodies
unless certain criteria are met. The House bill references
July 1, 2001. The Senate bill references July 1, 1999. Both
the House bill and the Senate amendment allow tribal
governing bodies to petition the Secretary for boundary
changes.
SR
47. Using slightly different language, both the House bill
and the Senate amendment allow parents the choice of Bureau
funded schools, regardless of geographic boundaries, if the
tribal governing body approves a resolution allowing such
choice.
LC
48. Using slightly different language, both the House bill
and the Senate amendment require the Secretary to provide
funding for eligible Indian child to attend a Bureau funded
school regardless of whether they reside within the
geographical attendance area. In addition, both deny funding
for transportation of such children unless authorized by the
tribal governing body.
LC
49. Using slightly different language, both the House bill
and the Senate amendment require that the geographical
attendance area be co-terminous with the boundaries of the
reservation, in the event that a single school serves a
reservation.
LC
50. Using different language, both the House bill and the
Senate amendment require schools with home-living situations
to accommodate students requiring special emphasis programs,
regardless of geographic boundaries, and requires
coordination among interested parties.
LC
51. The Senate amendment, but not the House bill, requires
the General Accounting Office (GAO) to conduct a study of the
physical needs of facilities at Bureau funded schools. This
study makes comparisons with school funded by the Department
of Defense, and must be submitted to the relevant committees
of Congress within two years of the date of enactment.
HR with an amendment to insert ``accurate,'' before
``relevant'' in (2)(B); insert ``and the HELP Committee''
before ``of the Senate'' in (4); also in (4), end the
sentence after ``Secretary'' and strike ``who, in turn'' and
insert ``The Secretary''.
52. The Senate amendment but not the House bill requires
the Secretary to establish a negotiated rule making committee
to compile a catalog of the condition of Bureau funded
schools and a school construction and replacement report.
These reports must be submitted to the relevant Congressional
committees and other entities not later than 24 months after
establishment of the negotiated rulemaking committee.

[[Page H10007]]

HR with an amendment on placement.
LC--place in over all negotiators provisions.
53. The Senate amendment but not the House bill requires
the Secretary to develop a facilities information systems
support database to maintain and update information contained
in the facilities reports. The system is to be updated every
3 years, monitored by the GAO, and the information is to be
made available to Bureau funded schools and other interested
parties, and to Congress.
HR
54. Using slightly different language, both the House bill
and the Senate amendment require the Secretary to bring
Bureau funded school facilities into compliance with health
and safety codes. The House bill references the ``No Child
Left Behind Act of 2001'', while the Senate amendment
references the ``Native American Education Improvement Act of
2001''.
LC
55. Using almost identical language, both the House bill
and the Senate amendment require the Secretary to submit a
plan to bring all Bureau funded education facilities into
compliance with health and safety standards. Such plan must
be submitted to the appropriate committees of Congress at the
time of the annual budget request.
LC
56. Using similar language, both the House bill and the
Senate amendment require the Secretary to establish and
publicly report the system used to establish priorities for
the replacement and construction of Bureau funded schools.
Both the House bill and the Senate amendment further require
the establishment of a long term plan for construction and
replacement of Bureau schools.
LC
57. Using similar language, both the House bill and the
Senate amendment allow for the closure or consolidation of
Bureau funded schools in the event of conditions that
threaten health and safety. In addition, the Senate amendment
requires that the Bureau health and safety officer and an
individual designated by the Tribe determine that such
conditions exist.
HR with an amendment to strike ``and'' and insert ``or'' in
(A);
Insert a new (iv): ``be designated at the beginning of the
school year.'' in (B).
58. Both the House bill and the Senate amendment require
inspection of the facility by two individuals to determine if
a health or safety hazard requires a facilities closure. The
House bill requires the Bureau officer to be accompanied by
an appropriate tribal, county, municipal, or State health or
safety officer. The Senate amendment requires an individual
designated by the tribe. The House bill further requires the
inspection to occur within 30 days after the finding of the
hazard. The House bill prohibits further negative action
unless both inspectors concur that a health or safety threat
exists. The Senate amendment provides for different action in
the case of non-concurrence.
HR with an amendment to strike ``In'' and insert ``After''
before ``making''; and insert ``Such inspection shall be
completed as soon as possible but in no case later than 20
days after the date on which the action described in
paragraph (1) is taken.'' as the last sentence in (C).
59. The Senate amendment, but not the House bill, require
notification of the tribal governing body in the case that
the two inspectors do not concur (see note 56).
HR
60. The Senate amendment but not the House bill requires
the tribal governing body to make the determination regarding
closure or curtailment in the case that 2 health and safety
inspectors do not concur (see note 58).
HR
61. The House bill requires that consolidation or
curtailment immediately halt, or that the facility be
reopened if the Bureau health and safety inspector does not
find conditions present an immediate health or safety hazard.
The Senate amendment requires that if the inspectors agree
that a health or safety condition exists, or if the tribal
governing body makes such a determination, that the facility
shall be closed immediately.
HR with an amendment to insert House (B) to end of Senate
(F) as new (1).
62. Both the House bill and the Senate amendment require
that in the event of a closure or curtailment that will
exceed 1 year, the Secretary shall issue a report to
Congress. The House bill requires the report within 6 months,
while the Senate amendment requires the report within 3
months. The Senate amendment also requires the report to go
to other interested parties, requires more reporting
elements, and outline steps that the effected school,
designated school board, or tribal governing body may take to
continue its program during the closure.
HR
63. The Senate amendment, but not the House bill, requires
that all funds allocated for operations or maintenance be
distributed under a formula, and prohibits these funds from
being used for administrative purposes by the Bureau.
HR
64. Using different language, both the House bill and the
Senate amendment prohibit the Secretary from withholding
funds for maintenance, facilities or roads without the
consent of the school.
LC
65. Using slightly different language both the House bill
and the Senate amendment prohibit any reduction in federal
facilities funding due to the receipt of facilities funding
from a State or other source.
LC
66. Using slightly separate language, both the House bill
and the Senate amendment require the Secretary to vest in the
Assistant Secretary for Indian Affairs all functions with
respect to the formulation and establishment of policy and
procedure to carry out Indian education programs.
LC
67. Using slightly different language, both the House bill
and the Senate amendment require the transfer of all
personnel directly and substantially involved in the
provision of Indian education programs to the Office of
Indian Education Programs. The transfer is to occur within 6
months of the date of enactment, and is to be overseen by the
Assistant Secretary for Indian Affairs.
HR
68. The Senate amendment but not the House bill subjects
all functions related to education that are located at the
Area or Agency level and carried out by an education line-
officer to contracting under the Indian Self-Determination
and Education Assistance Act, unless the Secretary determines
the function to be inherently a federal function.
HR with an amendment to strike ``section 1139(9)'' and
insert ``section 1139(11).
69. Both the House bill and the Senate amendment set forth
the same responsibilities for personnel under the direction
of the Office of Indian Education Programs.
LC
70. Using slightly different language, both the House bill
and the Senate amendment require an annual plan for the
construction, improvement, operation and maintenance of
facilities to be submitted annually with the budget.
LC
71. Using similar language, both the House bill and the
Senate amendment require the Assistant Secretary to establish
procedures for the uniform upkeep of Bureau funded education
facilities. The Senate amendment further requires the
Assistant Secretary to hold a series of meetings to receive
comment.
LC
72. Using similar language, both the House bill and the
Senate amendment set forth criteria for the implementation of
maintenance.
LC
73. Using identical language, both the House bill and the
Senate amendment require the implementation of this provision
as soon as practicable after the date of enactment.
LC
74. Using similar language, both the House bill and the
Senate amendment require the Director to develop mechanisms
and guidelines for the acceptance and use of gifts and
bequests to benefit particular schools or education programs.
The Senate Amendment exempts gifts below $5000 from these
guidelines.
HR
75. Using similar language, both the House bill and the
Senate amendment clarify the use of the term function for the
purposes of this section.
LC
76. Using similar language, both the House bill and the
Senate amendment require the Secretary to establish a formula
for determining the minimum annual funding required to
sustain each Bureau funded school. The House bill and the
Senate amendment require the Secretary to consider the same
criteria, except that the Senate amendment adds funding to
comply with accreditation standards to the list.
LC
77. Using similar language, both the House bill and the
Senate amendment require the Secretary to revise the funding
formula to take into account revisions in academic and
accreditation standards.
HR
78. The House bill and Senate Amendment allow the Secretary
to consider other factors, but the Senate Amendment includes
the GAO study and comparing BIA schools to DOD schools.
SR
79. Using similar language, both the House bill and the
Senate amendment require a revision of the formula
established in this subsection to reflect the revision of
standards.
SR
80. Both the House bill and the Senate amendment require
the pro rata distribution of general local operational funds
to Bureau funded schools.
LC
81. Using similar language, both the House bill and the
Senate amendment establish the same formula for the
distribution of Bureau funds.
SR
82. Both the House bill and the Senate amendment allow
school boards to reserve funds for certain purposes. The
Senate amendment, but not the House bill requires agency
school boards to provide training for new school board
members and recommends, but doesn't require training for
tribal governing bodies that operate as school boards.
HR
83. Using similar language, both the House bill and the
Senate amendment provide for the reservation of funds for
emergencies.
LC
84. Using similar language, both the House bill and the
Senate amendment provide for

[[Page H10008]]

the distribution of supplemental appropriations.
LC
85. Using similar language, both the House bill and the
Senate amendment define ``eligible Indian student''. The
Senate amendment, but not the House bill, defines an eligible
Indian student as a student who is enrolled in a BIA funded
school.
HR
86. Using similar language, both the House bill and the
Senate amendment set forth criteria under which a Bureau
school can charge tuition, and circumstances under which a
non-Indian student can attend a Bureau school.
LC
87. Using almost identical language, both the House bill
and the Senate amendment allow not more than 15 percent of
funding under this section to remain available without fiscal
year limitation.
LC
88. Using similar language, both the House bill and the
Senate amendment provide funding for students at the
Richfield Dormitory. The Senate amendment prohibits the
payment of administrative costs associated with the
instruction of these students.
HR
89. Using similar language, both the House bill and the
Senate amendment provide a formula for the payment of
administrative cost grants for both direct and indirect
costs. The House bill, but not the Senate amendment, subjects
the grants to the availability of appropriated funds.
SR
90. Using different placement, both the House bill and the
Senate amendment contain specific criteria for the payment of
administrative cost grants (see note 91).
LC
91. Using different placement, both the House bill and the
Senate amendment contain specific criteria for the payment of
administrative cost grants (see note 90).
LC
92. Using similar language, both the House bill and the
Senate amendment provide for no reduction in amounts received
by grant or contract schools, and provide for a determination
of the grant amount.
LC
93. The Senate amendment, but not the House bill, provides
that funding shall be ratably reduced in the event of
insufficient appropriations. The House bill has a similar
provision under authorization of appropriations (see note
98).
LC
94. Using similar language, both the House bill and the
Senate amendment provide an administrative cost percentage
rate.
LC
95. Using similar language, both the House bill and the
Senate amendment have provisions relating to the use and
treatment of funds.
LC
96. The Senate Amendment references section 106 of ISDEAA,
while the House bill references section 105 of ISDEAA.
HR
97. The House bill, but not the Senate amendment, requires
the director to conduct a study to ensure that administrative
cost grants will be based on criteria that ensure adequate
but not excessive funding.
SR
98. Both the House bill and the Senate amendment authorize
such sums as are necessary for the payment of administrative
cost grants under this section. In addition, the House bill
provides for the ratable reduction of funds in the event
appropriations are insufficient. The Senate has a similar
provision earlier in the section (see note 93).
LC
99. Using different language, both the House bill and the
Senate amendment apply the provisions of this section
(administrative cost grants) to schools receiving assistance
under the Tribally Controlled Schools Act of 1988.
LC
100. The Senate amendment, but not the House bill, requires
the Secretary to request full funding for administrative cost
grants in budget submissions on an annual basis beginning
with the President's budget request for fiscal year 2002.
HR with an amendment to insert ``at the discretion of the
Secretary,'' before ``the Secretary shall submit''.
101. Using similar language, both the House bill and the
Senate amendment require the Assistant Secretary to establish
within the Office of Indian Education Programs a Division of
Budget Analysis. The Division is to report on projected
amounts necessary to provide educational programs in Bureau
funded schools.
LC
102. Using similar language, both the House bill and the
Senate amendment establish the timing of the availability of
Bureau education funds to schools.
HR
103. The House bill requires the Secretary to publish the
allotment of 85 percent of allocated funds for schools not
later than July 1 of each fiscal year. The Senate amendment
requires the Secretary to publish the allotments of 80
percent of such funds.
HR
104. The House bill requires the Secretary to publish the
allotment of the remaining 15 percent of such funds, adjusted
to reflect actual student attendance not later than September
30. The Senate amendment includes a similar provision,
requiring the publication of the remaining 20 percent of
funds, and sets forth a timeline for the return of over
awards.
HR
105. Using similar language, both the House bill and the
Senate amendment allow the supervisor of a Bureau funded
school to expend an aggregate amount of not more than $50,000
per year to acquire materials, supplies, equipment, services,
operation, and maintenance without competitive bidding, and
sets forth criteria under which this authority may be
exercised.
HR with and amendment to insert ``operated'' after
``Bureau'' in paragraph (3)(A).
106. The House bill, but not the Senate amendment, sets
forth procedures in the event of a sequestration of funds.
SR
LC to update references.
107. Using similar language, both the House bill and the
Senate amendment require Bureau operated schools to develop a
financial plan and expend federal funds in accordance with
that plan. The House bill refers to all Bureau operated
schools, which the Senate amendment refers to each Bureau
school which receives an allotment under section 1126.
LC
108. The Senate amendment, but not the House bill requires
financial plans to comply with all applicable Federal and
tribal laws.
HR
109. The House bill, but not the Senate amendment,
prohibits funds received for self-determination grants under
the Indian Self-Determination and Education Assistance Act
from being used for technical education and training in the
field of education by the Bureau, unless expended under a
plan agreed to by the tribe or tribes affected.
HR
110. Using different language, both the House bill and the
Senate amendment allow funds to be expended for tribal
divisions of education and development of tribal codes of
education. The House bill references section 104 of the
ISDEAA while the Senate amendment references section 103
of such Act.
HR
111. Using similar language, both the House bill and the
Senate amendment allow the Secretary to supply technical
assistance and training at the request of a local school
board.
LC
112. Using similar language, both the House bill and the
Senate amendment provide for summer programs of instruction
and set forth criteria under which they may be provided.
LC
113. Using similar language, both the House bill and the
Senate amendment allow for cooperative agreements between
Bureau funded schools and local public school districts, and
set forth criteria under which they may be entered into.
HR
114. Using identical language, both the House bill and the
Senate amendment allow a student to keep the product or
result of a project in which the student participated and
sets forth criteria under which this may occur.
LC
115. Using different language, both the House bill and the
Senate amendment exempt funds received by Bureau funded
schools under this part from being considered federal funds
if used to meet matching funds requirements of other federal
programs. In addition, the Senate amendment exempts Bureau
funded schools from such requirements, and prohibits the
entity administering the program from considering the
exemption when awarding such grants.
HR with an amendment to strike paragraph (2).
116. Using similar language, both the House bill and the
Senate amendment set forth a federal policy of facilitating
Indian control in all affairs relating to Indian education,
requires consultation with tribes, and sets forth
requirements for such consultation.
HR
117. Using similar language, both the House bill and the
Senate amendment set forth requirements for the hiring and
employment of Indian education personnel.
LC
118. The House bill, but not the Senate amendment, requires
that a list of qualified and interviewed applicants be
maintained in the Office of Indian Education Programs of
applicants that have applied at the national level and that
are interested in working anywhere within the United States.
HR
119. The House bill requires that before an individual may
be employed in an education position in the Office of the
Director, the national boards representing all Bureau schools
must be consulted. The Senate amendment requires that all
employment decisions be in compliance with applicable
federal, State, and tribal laws.
HR
120. Using different language, both the House bill and the
Senate amendment require that applicants at the local level
state whether they have applied at the national level, and
allows for discipline or discharge in the event of a false
statement.
LC
121. The Senate amendment but not the House bill sets forth
procedures for the appeal of employment decisions.
HR
122. Using similar language, both the House bill and the
Senate amendment set

[[Page H10009]]

forth procedures in the event that the adoption of new rates
of pay lead to increases.
LC
123. The House bill but not the Senate amendment sets forth
procedures for determination of pay rates based on merit and
advancement, and preclude such adjustments from effecting
certain individuals employed on October 1, 1979.
LC on placement.
124. Both the House bill and the Senate amendment allow the
Secretary to pay a post-differential rate not to exceed 25
percent if warranted by conditions of environment or work,
and set forth provisions under which post-differential pay
may be granted.
LC
125. Using similar language, both the House bill and the
Senate amendment sets forth provisions for the supervisor of
a school to grant differential pay.
HR
126. Using similar language, both the House bill and the
Senate amendment provide for the liquidation of remaining
leave upon termination and the transfer of sick leave upon
transfer, promotion, or reemployment.
LC
127. Using similar language, both the House bill and the
Senate amendment provide that an educator that voluntarily
terminates employment before the expiration of a contract is
ineligible for reemployment in another post prior to the
expiration of the term of the contract.
LC
128. Using similar language, both the House bill and the
Senate amendment set forth terms and conditions for dual
compensation of educators, the acceptance of voluntary
services, proration of pay, lump sum payments of salary, the
payment of stipends, and the applicability of this section to
individual employees based on employment status as of October
31, 1979.
LC
129. The House bill provides for definitions. The Senate
amendment provides definitions using different placement.
SR
LC on placement
130. The Senate amendment, but not the House bill puts
certain restrictions on furloughs without consent, and
provides for stipends for instructors that become certified
by the National Board on Professional Teaching Standards.
HR
LC to conform (r) with resolution of note 294 in Title II.
131. Using slightly different language, both the House bill
and the Senate amendment require the Secretary to establish a
computerized information system within the Office of Indian
Education Programs. The House bill requires its establishment
not later than July 1, 2003, while the Senate amendment
requires establishment not later than 12 months from the date
of enactment. Both require maintenance of the same
information.
HR
132. The House bill requires implementation in Bureau field
offices and Bureau funded schools not later than July 1,
2004, while the Senate amendment requires such implementation
not later than July 1, 2003.
HR
133. The House bill but not the Senate amendment requires
the Secretary to cause various divisions of the Bureau to
formulate uniform procedures and practices with respect to
education functions and to report them to Congress.
HR
134. Using almost identical language, both the House bill
and the Senate amendment requires the Secretary to implement
a policy for the recruitment of Indian educators.
LC
135. Using almost identical language, both the House bill
and the Senate amendment require the Secretary to report on
the state of education within the Bureau. The House requires
this report on a biennial basis, while the Senate amendment
requires an annual report.
HR
136. Using different language, both the House bill and the
Senate amendment require plans required under this Act to be
submitted to Congress with the budget request. The House bill
also requires the submission of information on funds provided
to previously private schools and the needs and costs of
maintenance for Tribally Controlled Community Colleges.
HR
137. Using slightly different language, both the House bill
and the Senate amendment require the Inspector General ensure
financial and compliance audits of each Bureau school at
least once every 3 years.
LC
138. The Senate amendment but not the House bill requires
the Director to conduct a comprehensive evaluation of Bureau
operated schools every 3 to 5 years.
HR
139. Using slightly different language, both the House bill
and the Senate amendment require the Secretary to prescribe
regulations to ensure the constitutional and civil rights of
Indian students, and prohibit the Secretary from promulgating
unless they are necessary to ensure compliance with specific
provisions of this Act. The House bill requires a comment
period of at least 90 days on such regulations while the
Senate amendment requires a comment of at least 120 days.
Using different placement, both the House bill and the Senate
amendment require regulations issued to cite specific legal
authority. In addition, the House bill states that this Act
shall supercede any conflicting provision of law.
SR with an amendment to strike ``90'' and insert ``120''.
140. Using different language, both the House bill and the
Senate amendment require negotiated rulemaking and public
comment prior to publishing proposed regulations.
HR with an amendment to strike Senate (c)(2) and insert
House (b)(2) in its place and apply 18 month deadline to
House language.
141. Both the House bill and the Senate amendment require
meetings to comply with the Federal Advisory Committee Act.
LC
142. The Senate amendment but not the House bill authorizes
appropriations for negotiated rule making, provide that
provisions under this section supercede conflicting
provisions of law, and prohibit the Secretary from modifying
regulations promulgated under this section only in accordance
with this section.
HR with an amendment to strike paragraph (4) and insert the
following language:
``(4) Special Rule.--The Secretary shall carry out this
section using the general administrative funds of the
Department of the Interior. In accordance with subchapter III
of chapter 5 of title 5, United States Code, and section 7(d)
of the Federal Advisory Committee Act, payment of costs
associated with negotiated rulemaking shall include the
reasonable expenses of committee members.''
And to include (d)(1) and (2) striking ``provisions of law
(including any conflicting''.
143. Using almost identical language, both the House bill
and the Senate amendment authorize early childhood
development programs.
LC
144. The House bill authorizes $10 million for FY 2002, and
such sums as are necessary for fiscal years 2003 through 2006
for early childhood development programs. The Senate
amendment authorizes such sums as may be necessary for fiscal
years 2002 through 2006.
HR
145. Using different language, both the House bill and the
Senate amendment allow grants for the development and
operation of tribal departments and divisions of education.
HR
146. The House bill but not the Senate amendment allows
funds to be used to comply with regulations under section
103(a) of the Indian Self-Determination and Educational
Assistance Act.
HR
147. Both the House bill and the Senate amendment set forth
different priorities for grants.
HR
148. Both the House bill and the Senate amendment authorize
$2 million for FY 2002 and such sums as necessary for FY 2003
through 2006 for tribal departments or divisions of
education.
LC
149. Using similar language, both the House bill and the
Senate amendment contain similar definitions.
LC
150. The Senate amendment but not the House bill defines
the term ``complementary educational facilities.''
HR
151. The Senate amendment, but not the House bill, defines
``Director.''
HR
152. The House bill but not the Senate amendment defines
the term ``family literacy service.''
SR
153. The Senate amendment but not the House bill defines
the term ``inherently Federal functions.''
HR
154. The Senate bill but not the House amendment defines
the term ``regulation.''
HR with an amendment to insert the following language:
``(15) Regulation.--
``(A) In general.--The term ``regulation'' means any part
of a statement of general or particular applicability of the
Secretary designed to carry out, interpret, or prescribe law
or policy in carrying out this Act.
``(B) Rule of construction.--Nothing in the definition
contained in subparagraph (A), or any other provision of this
title, shall be construed to prohibit the Secretary from
issuing guidance, internal directive or other documents
similar to the documents found in the Indian Affairs Manual
(Bureau of Indian Affairs).''
155. Both the House bill and the Senate amendment amend the
Tribally Controlled Schools Act of 1988.
LC
156. Using similar language, both the House bill and the
Senate amendment have identical findings.
HR/SR to eliminate findings and with an amendment to insert
the following language:

``DECLARATION OF POLICY

``(a) Recognition. Congress recognizes that the Indian
Self-Determination and Education Assistance Act, which was a
product of the legitimate aspirations and a recognition of
the inherent authority of Indian nations, was and is a
crucial positive step towards tribal and community control
and that the United States has an obligation to assure
maximum Indian participation in the direction of educational
services so as to

[[Page H10010]]

render the persons administering such services and the
services themselves more responsive to the needs and desires
of Indian communities.
``(b) Commitment. Congress declares its commitment to the
maintenance of the Federal Government's unique and continuing
trust relationship with and responsibility to the Indian
people for the education of Indian children through the
establishment of a meaningful Indian self-determination
policy for education that will deter further perpetuation of
Federal bureaucratic domination of programs.
``(c) National Goal. Congress declares that a national goal
of the United States is to provide the resources, processes,
and structure that will enable tribes and local communities
to obtain the quantity and quality of educational services
and opportunities that will permit Indian children--
``(1) to compete and excel in areas of their choice; and
``(2) to achieve the measure of self-determination
essential to their social and economic well-being.
``(d) Educational Needs. Congress affirms--
``(1) true self-determination in any society of people is
dependent upon an educational process that will ensure the
development of qualified people to fulfill meaningful
leadership roles;
``(2) the special and unique educational needs of Indian
people, including the need for programs to meet the
linguistic and cultural aspirations of Indian tribes and
communities; and
``(3) that the needs may best be met through a grant
process.
``(e) Federal Relations. Congress declares a commitment to
the policies described in this section and support, to the
full extent of congressional responsibility, for Federal
relations with the Indian nations.''
157. Using similar language, both the House bill and the
Senate amendment have the same declaration of policy.
HR with an amendment (see language from note 156).
158. Using similar language, both the House bill and the
Senate amendment provide for grants to Indian tribes and
tribal organizations for school operations.
LC
159. The Senate amendment, but not the House bill, waives
the Tort Claims Act for programs operated by a tribally
controlled school if the program is not funded by a federal
agency.
SR
160. Using almost identical language, both the House bill
and the Senate amendment provide for federal funds to be
included in the grant.
LC
161. Using similar language, both the House bill and the
Senate amendment set forth accounting provisions for funds
used for improvement or repair, alteration or renovation
health or safety, or new construction. The Senate amendment,
but not the House bill, sets out various requirements for
construction and facilities improvement projects.
HR with an amendment to insert the following language at
the end of (A): ``Upon completion of a project for which a
separate account is established under this paragraph, the
portion of the grant related to such project may be closed
out upon agreement by the grantee and the Secretary.''
162. Using almost identical language, both the House bill
and the Senate amendment set forth application procedures and
processes for grant schools.
LC
163. The Senate amendment, but not the House bill, requires
the application to be approved by the tribal governing body.
SR
164. The Senate amendment, but not the House bill, states
that nothing in this subsection shall be construed as making
a tribe act as a surety for a grantee, and attempts to
clarify that existing surety requirements are not required.
SR
165. Using similar language, both the House bill and the
Senate amendment sets forth criteria under which schools
eligible to be grant schools remain eligible and criteria
under which grant status may be revoked.
LC
166. The Senate amendment, but not the House bill, requires
a biennial compliance audit.
HR with an agreement to insert the following Report
Language:
Report Language:
In establishing the requirements for the biennial
compliance audit, the Conferees expect the Secretary, through
regulation, to establish a reasonable threshold that would
exempt purchases of less than $5000 for this audit.
167. The Senate amendment, but not the House bill, requires
the school seeking accreditation to remain under the
standards of the Bureau until the school is accredited.
HR with an agreement to insert the following Report
Language:
Report Language:
In determining which circumstances are under the control of
the school board, the Conferees intend that circumstances
such as insufficient funding for school programs, inability
to recruit certified teachers and administrators, and
facilities that do not meet accreditation standards shall not
be considered within the control of the school board.
168. The Senate amendment, but not the House bill, states
that a positive assessment by an impartial evaluator shall
not affect a revocation of a determination of eligibility.
HR
169. The Senate amendment, but not the House bill, provides
a hearing upon request of the school or governing body.
HR
170. Using similar language, both the House bill and the
Senate amendment set forth payment criteria.
LC
171. The House bill requires that a first payment be made
to schools not later than July 15 of each year, in an amount
equal to 85 percent of the amount to be received for the
year. The Senate amendment requires that the payment be made
not later than July 1 of each year in an amount equal to 80
percent of the amount the grantee is eligible to receive for
the year. Both the House bill and the Senate amendment
require that the remainder be paid not later than December 1
of each year.
LC for consistency.
172. The Senate amendment, but not the House bill, provides
for the return of excess funds.
HR
173. The Senate amendment, but not the House bill,
prohibits states from taking into account assistance made
under this part and provides for penalties in the event that
they do.
SR
174. Using almost identical language, both the House bill
and the Senate amendment apply certain provisions of the
Indian Self-Determination and Education Assistance Act to
schools funded under this part, allow schools to elect to be
grant rather than contract schools, and provide for
carryovers and transfers.
LC
175. The Senate amendment requires an election to take
effect on the 1st day of July following the election. The
House bill requires an election to take effect on October 1
of the fiscal year succeeding the fiscal year in which the
election is made or 60 days after the election.
HR
176. The Senate amendment, but not the House bill, provides
that any tribe or tribal organization that assumes operation
of a Bureau school as a grant school shall be eligible for
facilities improvement.
HR
177. Using almost identical language, both the House bill
and the Senate amendment set forth the role of the Director,
sets forth the Secretary's ability to issue regulations, and
provides for the establishment of endowment programs funded
with non-federal funds.
LC
178. The House bill, but not the Senate amendment, states
that regulations shall not have the standing of Federal
statute for the purposes of judicial review.
HR
179. Using almost identical language, both the House bill
and the Senate amendment set forth Definitions.
LC
180. The Senate amendment but not the House bill provides a
definition of the term ``Indian.''
HR
181. The Senate amendment but not the House bill provides a
definition of the term ``tribal governing body.''
HR
182. The Senate amendment but not the House bill allows the
Ojibwa Indian School to use funds received under this Act to
enter into a lease agreement with Saint Ann's Catholic
Church.
HR
183. The Senate amendment but not the House bill amends the
Augustine F. Hawkins--Robert T. Stafford Elementary and
Secondary to prohibit the Secretary from disqualifying
certain individuals from continued receipt of general
assistance payments under certain circumstances.
HR
184. The House bill but not the Senate amendment places
certain limitations on reductions of administrative funds to
the Bureau for failure to meet accountability provisions
contained in the No Child Left Behind Act of 2001.
HR

Title IV, Part A--Innovative Programs (Block Grant)

(New Title V, Part A)

1. House bill ``Innovative Programs'' is Part A of Title
IV. Senate amendment ``Innovative Education Program
Strategies'' is Subpart 4 of Part B of Title V.
LC
2. House bill, but not Senate amendment, contains findings.
HR
3. Senate amendment, but not House bill, includes support
for local reform efforts that are consistent with and support
statewide reform efforts.
HR
4. Similar provision except that House bill, but not Senate
amendment, mentions school improvement initiatives based on
scientifically based research.
SR
5. Identical provision.
LC
6. House bill, but not Senate amendment, mentions the need
to meet the educational needs of all students, including
youth at-risk.
SR
7. Senate amendment, but not House bill, includes support
for programs to improve

[[Page H10011]]

school, student, and teacher performance, including
professional development activities and class size reduction.
HR
8. Similar provision except that House bill refers to
`State' while Senate amendment refers to `State educational
agency' (this continues throughout each bill).
HR
9. Virtually identical provisions.
LC
10. Similar provisions.
SR with an amendment to insert the following language:

``SEC. 4112. ALLOCATION TO LOCAL EDUCATIONAL AGENCIES.

``(a) Distribution Rule.--
``(1) Allocation of base amounts.--From the amount made
available to the State under this subpart for fiscal year
2002, and from the amount made available to the State for any
succeeding fiscal year up to the amount available for fiscal
year 2002, the State educational agency shall distribute not
less than 85 percent to local educational agencies within
such State according to the relative enrollments in public
and private, nonprofit schools within the jurisdictions of
such agencies, adjusted, in accordance with criteria approved
by the Secretary, to provide higher per-pupil allocations to
local educational agencies that have the greatest numbers or
percentages of children whose education imposes a higher than
average cost per child, such as--
``(A) children living in areas with high concentrations of
economically disadvantaged families;
``(B) children from economically disadvantaged families;
and
``(C) children living in sparsely populated areas.''
11. House bill, but not Senate amendment, requires that
100% of funds above the FY 01 level be distributed to LEAs
for local innovative assistance programs.
SR with an amendment to insert the following language:
``(2) Allocations of increased amounts.--From the amount
made available to the State under this subpart for any fiscal
year that exceeds the amount made available for fiscal year
2002, the State educational agency shall distribute the
following percentages to local educational agencies on the
same basis as funds are allocated under paragraph (1):
``(A) At least 50 percent in the case of a State receiving
the minimum allocation under section 4111(b); and
``(B) 100 percent in all other cases.''
12. House bill limits State administrative funds at 25% of
State share. Senate amendment limits State administrative
funds a 15% of State share.
HR
13. Virtually identical provisions.
SR with an amendment to strike ``State'' and insert ``State
educational agency'' each place it occurs; LC to continue
this change throughout this Part.
14. Virtually identical provisions.
LC
15. Similar provisions.
LC
16. Senate amendment, but not House bill, includes support
for effective schools programs.
SR
17. Senate amendment, but not House bill, allows States to
use funds to design and implement high-quality yearly student
assessments.
HR
18. Senate amendment, but not House bill, allows States to
use funds to support implementation of State and local
standards.
HR
19. Identical provision.
LC
20. House bill stipulates that if a State seeks to receive
assistance under this subpart, the individual, entity, or
agency responsible for public elementary and secondary
education policy under the State constitution or State law
shall submit to the Secretary an application. Senate
amendment requires the State to submit an application.
HR
21. Senate amendment, but not House bill, designates the
State educational agency as the State agency responsible for
administration and supervision of programs assisted under
this subpart
HR
22. House bill requires an annual summary of how assistance
is contributing toward improving student achievement. Senate
amendment requires a biannual submission of data on the use
of funds, services, and students served.
SR
23. Similar provisions.
LC
24. House bill describes the annual statewide summary
(required in (a)(1) above). Senate amendment contains no such
description of the biannual submission of data (required in
(b)(2) above).
SR with amendment to insert ``annually'' after the word
``submitted''.
25. Identical provision.
LC
26. House bill specifies that an LEA may not be audited
more than once every 5 years if its average grant is less
than $5,000. Senate amendment specifies that an LEA that
receives an average grant of less than $10,000 for 3 fiscal
years may not be audited more than once every 5 years.
HR
27. Similar provision.
LC
28. Similar use of funds regarding teachers and
professional development.
HR/SR with amendment to insert the following combined
language:
``(1) programs to recruit, train, and hire highly qualified
teachers to reduce class size, especially in the early
grades, and professional development activities carried out
in accordance with Title II, that give teachers, principals,
and administrators the knowledge and skills to provide
students with the opportunity to meet challenging State or
local academic content standards and student academic
achievement standards;''
29. Similar use of funds regarding technology activities.
HR
30. Similar use of funds regarding acquisition of
instructional and educational materials, including library
services.
SR
31. House bill, but not Senate amendment, contains use of
funds regarding promising education reform projects.
SR with an amendment to strike ``effective schools and''.
32. Similar use of funds regarding programs to improve the
academic performance of educationally disadvantaged students.
HR
33. House bill provides for programs to combat illiteracy.
Senate amendment provides for programs to improve the
literacy skills of adults.
HR
34. Identical provision.
LC
35. House bill, but not Senate amendment, provides for
programs for the planning, designing, and initial
implementation of charter schools.
SR
36. Identical provision.
LC
37. House bill, but not Senate amendment, provides for
community service programs that use qualified school
personnel to train and mobilize young people to measurably
strengthen their communities.
SR
38. Identical provision.
LC with an amendment to include the following report
language:
The conferees recognize that entrepreneurial education has
largely been absent from current educational curriculums. In
light of the rapidly changing economy and emphasis on new
technologies, the conferees note that it is increasingly
important to stimulate entrepreneurial thinking and the
consideration at an early age of business ownership as a
viable option. The conferees agree that encouraging the
distribution of innovative entrepreneurial education programs
that teach basic business skills and the development of sound
business plans to secondary school age students is essential
to expanding future opportunities and prosperity.
39. House bill, but not Senate amendment, provides for
activities to promote, implement, or expand public school
choice.
SR
40. House bill, but not Senate amendment, provides for
programs to hire and support school nurses.
SR
41. House bill, but not Senate amendment, provides for
programs to expand and improve school-based mental health
services.
SR
42. House bill, but not Senate amendment, provides for
alternative educational programs for those students who have
been expelled or suspended from their regular educational
setting.
SR
43. House bill, but not Senate amendment, provides for
programs to establish or enhance pre-kindergarten programs
for children ages 3 through 5.
SR with an amendment to strike ``ages 3 through 5''.
44. House bill, but not Senate amendment, provides for
academic intervention programs that are operated jointly with
community-based organizations.
SR
45. House bill, but not Senate amendment, provides for CPR
training in schools.
SR
46. House bill, but not Senate amendment, provides for
programs to establish smaller learning communities.
SR
47. Senate amendment, but not House bill, provides for
activities that encourage and expand improvements throughout
the LEA.
HR with an amendment to strike ``performance'' and insert
``academic achievement''.
48. Senate amendment, but not House bill, provides for
initiatives to generate, maintain, and strengthen parental
and community involvement.
HR with an amendment to strike ``including initiatives . .
. birth through 5''.
49. Senate amendment, but not House bill, provides for
programs and activities that expand learning opportunities
through best practice models.
HR
50. Senate amendment, but not House bill, provides for
programs to provide same gender schools and classrooms.
HR
51. Senate amendment, but not House bill, provides for
service learning activities.
HR
52. Senate amendment, but not House bill, provides for
school safety programs.
HR
53. Senate amendment, but not House bill, provides for
programs that employ research-

[[Page H10012]]

based cognitive and perceptual development approaches and
rely on a diagnostic-prescriptive model to improve students'
learning of academic content.
HR
54. Senate amendment, but not House bill, provides for
supplemental educational services.
HR
55. Senate amendment, but not House bill, requires local
innovative assistance programs to be tied to promoting high
academic standards, used to improve student performance, and
be part of an overall education reform strategy.
HR with an amendment to insert ``achievement'' before
``standards'' in (A) and strike ``performance'' and insert
``academic achievement'' in (B).
56. Senate amendment, but not House bill, requires the
Secretary to issue guidelines for LEAs.
HR with an amendment to strike ``the Better Education for
Students and Teachers'' and insert ``this'' and strike
``specific award criteria and other''.
LC for subsection cite (b)(1)(L).
57. Virtually identical provision, except House bill
includes `religious organizations' as a possible nonprofit
agency.
HR
58. Similar provisions.
LC
59. House bill, but not Senate amendment, requires local
applications to provide assurances that programs, services,
and activities will be evaluated annually.
SR with amendment to insert Senate language from Note 22
and add at the end a new (I):
``(H) provides assurance that--
``(i) programs, services and activities will be evaluated
annually;
``(ii) such evaluation will be used to make decisions about
appropriate changes in program services and activities for
the subsequent year;
``(iii) such evaluation will describe how assistance under
this subpart affected student academic achievement, and will
include, at a minimum, information and data on the use of
funds, the types of services furnished, and the students
served under this part; and
``(iv) such evaluation will be submitted to the State in
the time and manner requested by the State.
``(I) if appropriate, describe how applicants seeking funds
under section 5331(b)(1)(L) will comply with guidance issued
by the Secretary regarding same gender schools and classrooms
under section 5331(c).''
60. Senate amendment, but not House bill, allows
allocations of funds to programs for 3 years.
SR
61. Similar provisions.
LC
62. Virtually identical provisions.
LC
63. Virtually identical provisions.
LC
64. Virtually identical provisions.
LC
65. Identical provisions.
LC
66. Virtually identical provisions.
LC
67. Senate amendment, but not House bill, authorizes local
funds for construction of small schools.
HR with an agreement to move to section 5121 (State Uses of
Funds) amended to read as follows:
``(7) Support for the program described in section 321 of
H.R. 5656, the Labor-Health and Human Services-Education
Appropriations Act, 2001, as incorporated into P.L. 106-554,
the Consolidated Appropriations Act, 2001.''
68. Identical definition.
LC
69. Identical definition.
LC
70. Similar definitions (House bill defines term under
general provisions).
SR
71. House bill authorizes $450 million for FY 02 and such
sums as may be necessary for each of FY 03 through FY 06.
Senate amendment authorizes $850 million for FY 02 and such
sums as may be necessary for each of next 6 succeeding fiscal
years.
SR
72. Senate amendment, but not House bill, contains
provision regarding duration of assistance.
SR
LC--Add the following language to section 5121 (State Uses
of Funds):
``(8) Support for programs to assist in the implementation
of the policy described in section [Unsafe School Choice
Policy in General Provisions], which may include payment of
reasonable transportation costs and tuition costs for such
students.''
LC--Redraft (25) in section 5131 (Local Uses of Funds):
``(25) School safety programs, including programs to
implement the policy described in section [Unsafe School
Choice Policy in General Provisions], and which may include
payment of reasonable transportation costs and tuition costs
for such students.''
73. House bill authorizes ``Arts Education'' as Subpart 2
of Part A of Title IV. Senate amendment authorizes ``Arts in
Education'' as Subpart 3 of Part F of Title XVI.
HR/SR with an agreement to move to Subpart 15 of Title V,
Part D (FIE).
74. House bill and Senate amendment contain various
findings.
HR/SR (no findings)
75. Similar provisions except that Senate amendment
contains an additional purpose to support the national effort
to enable all students to demonstrate competence in the arts.
SR with an amendment to insert Senate (3) after House (2).
76. Similar provisions.
SR
77. House bill uses the term `States' and Senate amendment
uses the term `State educational agencies.'
HR
78. Similar provisions.
LC
79. House bill, but not Senate amendment, authorizes a use
of funds for planning, developing, acquiring, expanding,
improving, or disseminating model school-based arts education
programs.
SR with amendment to insert the following combined
language:
``(2) planning, developing, acquiring, expanding,
improving, or disseminating information about, model school-
based arts education programs;''
80. Senate amendment, but not House bill, authorizes a use
of funds for the development of, and dissemination of
information about, model arts education programs.
SR
81. Similar provisions.
SR with an amendment to include the following report
language:
For the purpose of this Subpart, the Conferees expect the
Department to continue a close consultative relationship with
federal agencies or institutions that have expertise in arts
education including the National Endowment for the Arts, the
Institute of Museum and Library Services, the John F. Kennedy
Center for the Performing Arts, VSA Arts, and the National
Gallery of Art. The Department may also consult with other
arts education professional organizations and organizations
representing the arts including the Arts Education
Partnership, the National Association for Music Education,
and State and local arts agencies.
82. Similar provisions.
HR
83. Similar provisions.
LC
84. House bill, but not Senate amendment, includes a
supplement/not supplant provision.
SR
85. Senate amendment, but not House bill, contains a
special rule that if the amount made available to carry out
this subpart for any fiscal year is $15,000,000 or less, then
such amount shall only be available to carry out the
activities described in paragraphs (7) and (8) of subsection
(d).
HR
86. House bill lists general agencies and institutions with
which activities must be coordinated. Senate amendment lists
the National Endowment for the Arts, the Institute of Museum
and Library Services, the John F. Kennedy Center for the
Performing Arts, VSA Arts, and the National Gallery of Art
with which activities must be coordinated.
SR with an agreement to include the following report
language:
For the purpose of this Subpart, the Conferees expect the
Department to continue a close consultative relationship with
federal agencies or institutions that have expertise in arts
education including the National Endowment for the Arts, the
Institute of Museum and Library Services, the John F. Kennedy
Center for the Performing Arts, VSA Arts, and the National
Gallery of Art. The Department may also consult with other
arts education professional organizations and organizations
representing the arts including the Arts Education
Partnership, the National Association for Music Education,
and State and local arts agencies.
87. House bill and Senate amendment authorize this program
at such sums (Senate amendment authorization is listed as
part of the LIFE program (FIE)).
HR/SR (no authorization because moved to FIE).
88. House bill authorizes ``Gifted and Talented Children''
as Subpart 3 of Part A of Title IV. Senate amendment
authorized ``Gifted and Talented Children'' as Part E of
Title XVI.
HR/SR with an agreement to move to Subpart 6 of Title V,
Part D (FIE).
89. Identical short title.
LC
90. House bill and Senate amendment contain similar
findings.
HR/SR (no findings)
91. Similar purpose except that House bill explicitly
mentions scientifically based research.
SR
92. Senate amendment, but not House bill, triggers a
formula grant program once the appropriation equals or
exceeds $50 million.
SR
93. Similar provision.
LC
94. Virtually identical provisions.
LC
95. Virtually identical provisions.
LC
96. Similar provisions except that House bill, but not
Senate amendment, requires that research be scientifically
based.
SR with an amendment to add special rule and additional use
of funds (specifically a special rule to provide that all
funding above FY 2001 level be awarded to SEAs and/or LEAs on
a competitive basis for use of funds under House section
4164(b) and add non-duplicative use of funds (2) and (4) from
Senate section 11422(b) to House section 4164(b)).

[[Page H10013]]

``Special rule.--For fiscal year 2002 and succeeding fiscal
years, the Secretary shall use funds above the fiscal 2001
appropriation to award grants, on a competitive basis, to
State educational agencies and/or local educational agencies
to implement activities described under [House] section
4164(b).''
Add non-duplicative use funds of from Senate section
11422(b) to House section 4164(b):
``(6) Making materials and services available through State
regional educational service centers, institutions of higher
education, or other entities.
``(7) Providing funds for challenging, high-level course
work, disseminated through technologies (including distance
learning), for individual students or groups of students in
schools and local educational agencies that do not have the
resources otherwise to provide such course work.''
97. Similar provisions.
HR
98. Virtually identical provisions except that House bill
specifically references scientifically based research.
SR
99. Virtually identical provisions.
LC
100. Similar provisions.
LC
101. Virtually identical provisions.
LC
102. Similar provisions.
LC
103. Senate amendment, but not House bill, provides that
amounts appropriated above FY 01 level be dedicated toward
competitive grant awards for activities described in Section
11422 (formula grant program).
SR (see note 96).
104. Senate amendment, but not House bill, provides for a
formula grant program.
SR
105. House bill defines terms in general provisions.
SR
106. House bill authorizes such sums as may be necessary to
carry out this Subpart for each of fiscal years 2002 through
2006. Senate amendment authorizes $170 million for each of
fiscal years 2002 through 2008.
HR/SR (no authorization because moved to FIE).
107. House bill, but not Senate amendment, assures
continuation of awards granted prior to date of enactment.
SR

Title IV, Part B--Charter Schools

(New Title V, Part B)

1. Under the House bill, the Public Charter Schools program
is a ``part''. Under the Senate amendment, it is a
``chapter''.
SR
2. The House bill, but not the Senate amendment, has a
Findings subsection.
HR
3. The House bill and Senate amendment Purpose sections are
identical except that the House version adds the term
``academic'' after ``student'' in purpose (2).
LC
4. The House bill and Senate amendment Program Authorized
sections are identical except that the Senate amendment
version adds ``(other than funds reserved to carry out
section 5115 (b))'' after ``section 5121'' in (e)(1).
HR
5. The House bill uses the term ``academic achievement''
after ``student'' in (b)(3)(A)(i), while the Senate amendment
uses the term ``performance''.
LC
6. The House bill, but not the Senate amendment, includes
an assurance under (d) Contents of Applications (3)
pertaining to precharter planning grants and subgrants.
(See note 18)
SR
7. The House bill and Senate amendment have identical (a)
Selection Criteria for State Educational Agencies except that
the House bill adds the term ``academic'' after ``state'' and
``student'' in (a)(1) and uses the terms ``academic
achievement'' after ``student'' in (a)(7). In (a)(7), the
Senate amendment uses the term ``performance'' instead of
``academic achievement.''
LC
8. The House bill, but not the Senate amendment, explicitly
prohibits a local educational agency from deducting funds for
administrative fees or expenses from a subgrant awarded to an
eligible applicant under (4) Administrative Expenses.
SR with an amendment to insert after ``an eligible
applicant'' in (4) ``unless such applicant enters voluntarily
into a mutually agreed upon arrangement for administrative
services with the relevant LEA. Absent such approval the LEA
shall distribute all such grant funds to the grantee without
delay.''
9. The House bill and Senate amendment have identical (6)
Dissemination language except that the House bill uses the
term ``academic'' after ``student'' in (A)(i) and the terms
``academic achievement'' after ``student'' in (B)(ii). In
(B)(ii), the Senate amendment uses the term ``performance''
instead of ``achievement''.
LC
10. The Senate amendment, but not the House bill, adds
``(other than funds reserved to carry out section (b))''
after ``chapter'' in (a).
SR with amendment to move section 5115(b)(6) to (a) of the
National Activities section.
11. The Senate amendment, but not the House bill, includes
outdated language pertaining to a 4-year national study in
(a)(1)(B)(2).
SR
12. The House bill adds the term ``academic'' after
``student'' in (a)(2). The Senate amendment does not include
the term ``academic'' in (a)(3).
LC
13. The Carper-Gregg amendment to the Senate amendment
cites the Per-Pupil Facilities Aid Programs subsection as the
``Charter Schools Equity Act'' and states that the purposes
of this subsection are:
(A) to help eliminate the barriers that prevent charter
school developers from accessing the credit markets, by
encouraging lending institutions to lend funds to charter
schools on terms more similar to the terms typically extended
to traditional public schools; and
(B) to encourage the States to provide support to charter
schools for facilities financing in an amount more nearly
commensurate to the amount the States have typically provided
for traditional public schools.
However, this language does not amend the Elementary and
Secondary Education Act.
HR/SR with an amendment to move (B) to General Purpose
section.
14. The Senate amendment, but not the House bill, includes
(b) Per-Pupil Facilities Aid Programs under Section 5115,
National Activities.
HR with an amendment to add ``includes or'' in section
5115(b)(3)(B)(iii).
15. The House bill, but not the Senate amendment, deletes
the following outdated language: ``not later than 6 months
after the date of the enactment of the Charter School
Expansion Act of 1998'' in (a).
SR
16. The House bill, but not the Senate amendment, requires
the transfer of records to a private school upon the transfer
of the student from a charter or public school to the private
school (with the written consent of a parent of the student),
in accordance with applicable State law.
HR (with understanding--discussion about record transfer in
Safe and Drug Free).
17. The House bill defines a charter school as a public
school ``that admits students on the basis of a lottery or in
another non-discriminatory manner consistent with State law,
if more students apply for admission than can be
accommodated'' in (1)(H). The Senate amendment does not
include the phrase ``or in another non-discriminatory
manner consistent with State law.''
HR with Report Language:
``The Conferees encourage the Secretary to help ensure that
public charter school admissions policies are consistent with
federal and state law, while preserving the particular
mission of a charter school to the maximum extent possible.''
18. The House bill and Senate amendment have different
definitions of an ``eligible applicant'' in (3).
SR
19. The House bill authorizes the Public Charter Schools
program at $225 million for FY 2002 and such sums as may be
necessary for each of the 4 succeeding fiscal years. The
Senate amendment authorizes the Public Charter Schools
program at $400 million, $200 million of which is reserved
specifically for this chapter (other than the Per-Pupil
Facilities Aid Programs). Any remainder above the $200
million is reserved to carry out the Per-Pupil Facilities Aid
Programs. The Senate amendment authorizes the Public Charters
Schools program at such sums as may be necessary for each of
the 6 succeeding fiscal years.
HR with an amendment to strike $400 million and insert $300
million (first $200 million going to charters and next $100
million going to per pupil) with increases thereafter being
split 50/50.
Report Language:
Charter schools are public schools, yet lack the bonding
and taxing authority traditionally available to school
districts to finance their facilities. As a result, charter
schools are forced to use operating revenues that are
intended to be spent in the classroom to pay rent or to make
debt payments for facilities. States have the primary
obligation to address this inequity. But, to stimulate state
initiatives, this legislation authorizes a limited-term
federal role in encouraging states to establish or expand per
pupil facilities aid programs.
Conferees support significant funding increases for the
charter school program in order to free up resources, as
quickly as possible, for the per-pupil financing program, a
program that assists charter schools in meeting their
operating needs, so that charter school resources may be
better spent on academic activities.
20. The House bill, but not the Senate amendment, includes
a Continuation of Awards section.
SR
21. The Senate amendment, but not the House bill, includes
Chapter II--Credit Enhancement Initiatives to Promote Charter
School Facility Acquisition, Construction, and Renovation.
HR with an amendment to (1) strike all and insert Charter
School Facility Financing Demonstration Project language from
last year's Omnibus Appropriations; (2) authorize the
Demonstration Project for $150 million in FY 02 and such sums
in FY 03; and (3) include the following report language:
Report Language:
As stated in report language last year (P.L. 106-554), the
Credit Enhancement Program for charter school facilities
falls under the administrative responsibility of the
Secretary of Education.

[[Page H10014]]

Title IV, Part C--Magnets

(New Title V, Part C)

1. The Senate amendment, but not the House bill,
consolidates the Findings and Statement of Purpose into one
section.
HR
2. The House bill and Senate amendment each have 4 findings
but only the first finding is the same in both, except that
the Senate amendment adds ``Nation's'' in front of
``schools.''
HR with an amendment to: take Senate (1); take House (2),
(3), and (4)(A); insert as new language:
``(B) to ensure that all students have equitable access to
a quality education that will prepare them to function well
in a technologically oriented and a highly competitive
economy comprised of people from many different racial and
ethnic backgrounds.
``(C) to continue to desegregate and diversify schools by
supporting magnet schools, recognizing that such segregation
exists between minority and nonminority students as well as
among students of different minority groups. Desegregation
efforts through magnet programs are a significant part of our
Nation's effort to achieve voluntary desegregation in schools
and help to ensure equal educational opportunities for all
students.''
3. Under Statement of Purpose, the Senate amendment, but
not the House bill, includes ``which shall assist in the
efforts of the United States to achieve voluntary
desegregation in public schools'' at the end of (1).
HR
4. The Senate amendment adds the term ``local'' to
``content standards'' and ``student performance standards''
in (2), while the House bill adds the term ``academic'' after
``State'' and ``academic achievement'' after ``student''.
LC
5. The House bill, but not the Senate amendment, adds
``that promote diversity and increase choices in public
elementary and secondary schools and educational programs''
at the end of (3).
SR
6. The Senate amendment includes the phrase ``technological
and career'' before ``skills'' in (4). The House bill uses
the word ``technical'' instead.
HR with an amendment to strike ``career'' and insert
``professional''.
7. The Senate amendment, but not the House bill, includes
two additional purpose statements. See (5) and (6).
HR
8. Under the Elibibility section in (1), the Senate
amendment, but not the House bill, adds the word ``schools''
following ``elementary''.
SR
9. Under the Information and Assurances part in (1)(B), the
House bill, but not the Senate amendment, adds the term
``academic'' after ``student.''
LC
10. In (1)(D) the House bill reads: ``how funds under this
part will be used to improve student academic performance for
all students attending the magnet schools.'' The Senate
amendment reads: ``how funds under this subpart will be used
to implement services and activities that are consistent with
other programs under this Act, and other Acts, as
appropriate, in accordance with the provisions of section
5506;.''
HR/SR with an amendment to combine House and Senate (D),
and to strike ``the magnet schools'' and insert ``magnet
school programs''.
LC--``section 5506''; New citation.
11. In (2)(B), the House bill reads: ``employ fully
qualified teachers in the courses of instruction assisted
under this part;.'' The Senate amendment reads: ``employ
State certified or licensed teachers in the courses of
instruction assisted under this subpart to teach or supervise
others who are teaching the subject matter of the courses of
instruction;.''
SR
12. In (2)(E), the Senate amendment, but not the House
bill, includes ``consistent with desegregation guidelines and
the capacity of the project to accommodate these students''
following the word ``project''.
HR
13. The Senate amendment, but not the House bill, includes
(c) SPECIAL RULE.
HR
14. Under the Priority section, the Senate amendment, but
not the House bill, includes two additional priorities. See
(4) and (5).
SR
15. Under the Use of Funds section in (a)(3), the House
bill uses the phrase ``fully qualified.'' The Senate
amendment uses the phrase ``certified or licensed by the
State.''
SR
16. Under the Use of Funds section in (a)(5), the House
bill states ``for activities, which may include professional
development, that will build the recipient's capacity to
operate magnet school programs once the grant period has
ended.'' The Senate amendment states ``to include
professional development, which professional development
shall build the agency's or consortium's capacity to operate
the magnet school once Federal assistance has terminated;.''
SR
17. The Senate amendment, but not the House bill, includes
two additional uses of funds. See (6) and (7).
HR
18. Under (b) Special Rule, the House bill, but not the
Senate amendment, adds the phrase ``to improving the
students'' academic performance based on the State's
challenging academic content standards and student academic
achievement standards or'' after the word ``related'' and
before the word ``to.''
SR
19. The House bill also includes the phrase ``vocational
and technical skills,'' while the Senate amendment includes
the phrase ``vocational, technological and career skills.''
HR with an amendment to strike ``career'' and insert
``professional''.
20. Under the Prohibitions section, the House bill includes
the headline (a) Transportation and an additional
prohibition--
``(b) Planning.--A local educational agency shall not
expend funds under this part after the third year that such
agency receives funds under this part for such project.''
The Senate amendment does not include the headline or the
additional prohibition.
HR
21. Under (b) Limitation on Planning Funds, the Senate
amendment includes the phrase ``(professional development
shall not be considered as planning for purposes of this
subsection)'' and limits planning funds to ``25 percent of
such funds for the second year, and 15 percent of such funds
for the third such year.'' The House bill does not include
the above phrase and limits planning funds to ``15 percent of
such funds for the second such year, and 10 percent of such
funds for the third such year.''
HR with an amendment to strike ``25'' and insert ``15''.
22. Under (d) Timing, the House bill provides for the
Secretary to make awards no later than July 1 of the
applicable fiscal year, while the Senate amendment provides
that the awards are to be made not later than June 1 of the
applicable fiscal year.
SR
23. The Senate amendment includes SEC. 5140. INNOVATIVE
PROGRAMS. The House bill repeals this program.
SR
24. Under the Evaluations section in (a) Reservation, the
House bill refers to ``section 4312(a)'' where as the Senate
refers to ``section 5142(a).'' Also, the House bill uses the
phrase ``technical assistance, and dissemination projects
with respect to magnet school projects and programs assisted
under this part.'' Following the word ``evaluations,''. The
Senate amendment uses the phrase ``of projects assisted under
this subpart and to provide technical assistance for grant
recipients under this subpart.''
SR
25. Under (b) Contents (3), the Senate amendment, but not
the House bill, adds the word ``schools'' after
``elementary.'' The Senate amendment, but not the House bill,
includes an additional provision in (b) Contents. See (5).
SR
26. The Senate amendment, but not the House bill, includes
(c) Dissemination.
HR
27. Under the Authorization of Appropriations; Reservation
section, the House bill authorizes $125 million for fiscal
year 2002 and ``such sums as may be necessary for each of 4
succeeding fiscal years.'' The Senate amendment authorizes
$125 million for fiscal year 2002 and ``such sums as may be
necessary for each of the 6 succeeding fiscal years.''
LC
28. House bill1 transfers and continues current law.
HR/SR with an agreement to move to Subpart 20 of Title V,
Part D (FIE).
29. Senate amendment rewrites the Women's Educational
Equity Act.
HR/SR with an agreement to move to Subpart 20 of Title V,
Part D (FIE).
30. House bill authorizes $3 million for FY 02 and such
sums as may be necessary for each of the four succeeding
fiscal years.
HR/SR (no authorization because moved to FIE).
31. Senate amendment authorizes such sums as may be
necessary for FY 02 and for each of the 6 succeeding fiscal
years.
HR/SR (no authorization because moved to FIE).
32. The House bill, but not the Senate amendment, includes
SEC. 423. CONTINUATION OF AWARDS.
SR

Title V, Part A, subparts 1,3,4,5--Safe and Drug Free Schools

(New Title IV, Part A)

1. (Title) House bill includes Safe and Drug-Free and 21st
Century Community Learning Centers as separate subparts in
the same act with separate funding authorizations. Senate
amendment maintains these two programs as separate acts.
HR with an amendment to treat Safe and Drug-Free and 21st
Century as separate parts.
2. (Findings) House bill contains no findings.
SR
3. (Purpose) House bill and Senate amendment contain
similar provisions.
House bill includes before and after school activities as a
purpose of the Act.
Senate amendment specifies types of programs (i.e.:
alternative education, rehabilitation).
Senate amendment also references development and
implementation of policy at local level.
HR with an amendment to insert ``and communities'' after
``involve parents,'' in the lead-in;

[[Page H10015]]

Insert ``to foster a safe and drug-free learning
environment which supports academic achievement,'' after
``efforts and resources'' in the lead-in.
Strike everything after ``early intervention'' in (1).
Strike everything after ``prevention including'' in (2) and
insert ``community-wide drug and violence prevention planning
and organization activities.''
4. (State Grant Funds) House bill authorizes $475 million
for Safe and Drug-Free State Grants for FY 2002 and such sums
for 4 following years.
Senate amendment authorizes $700 million for Safe and Drug-
Free State Grants for FY 2002 and such sums for 6 following
years.
HR with an amendment to authorize appropriations at $650
million in FY 2002 and such sums in each of the 5 succeeding
fiscal years.
5. (National Programs Funds) House bill authorizes $60
million for national programs for Safe and Drug-Free and 21st
Century Community Learning Centers programs combined for FY
2002 and such sums for 4 following years
Senate amendment authorizes $150 million for Safe and Drug-
Free national programs for FY 2002 and such sums for 6
following years.
HR/SR with an amendment to authorize appropriations of such
sums in FY 2002 and each of the 5 succeeding fiscal years.
6. (Coordinator Funds) Senate amendment authorizes $75
million for a national coordinator initiative for FY 2002 and
such sums for 6 following years. House bill has no provision.
SR
7. (Domestic Violence Funds) Senate amendment authorizes $5
million for Domestic Violence Witness Program for FY 2002-
2004. House bill has no provision.
SR
8. (Suicide Prevention Funds) Senate amendment authorizes
$25 million for Suicide Prevention Program for FY 2002 and
such sums for 6 following years. House bill has no provision.
SR
9. (Guam, etc. Set-aside) House bill provides for the
greater of 1% or $4.75 million for grants to Guam, American
Samoa, Virgin Islands, and Northern Marianna Islands.
Senate amendment provides 1% for grants to the same
jurisdictions.
SR
10. (Indian Set Aside) House bill provides for the greater
of 1% or $4.75 million for grants for Indian Youth.
Senate amendment provides 1% for such grants.
SR
11. (Impact Evaluation Funds) Senate amendment allows the
Secretary to reserve up to $2 million for a national impact
evaluation.
HR with an amendment to move the National Impact Evaluation
authorization and appropriation to National Activities.
12. (Native Hawaiians Set-aside) Similar provisions.
LC
13. (Safe Schools/Healthy Students Funds) House bill
provides for continued funding of Safe Schools/Healthy
Students.
SR with an amendment to take reservation from the national
activities funds.
14. (Fed to State Formula) House bill and Senate amendment
contain similar provisions.
HR to Senate formula and include a hold harmless to FY2001
amount
15. (Reallotment) House bill provides for an annual
reallotment.
Senate amendment provides for reallotment every two years.
HR/SR to retain both.
16. (Definitions) House bill defines native Hawaiian.
Senate amendment defines state and local educational
agency.
LC throughout and eliminate if identical to general
definition.
17. (Limitation) House bill contains no similar provision.
HR
18. (Gov Programs) Similar set-aside for governor's
programs.
House bill specifies that awards are to be made based on
quality and how well aligned with principles of effectiveness
and includes LEAs as participants.
Senate amendment lists specific elements to be described in
a state plan:
--how programs will be coordinated so as not to be
duplicative of state and local efforts;
--how populations not normally served will be served;
--how governor will monitor the performance of and provide
technical outreach to recipients;
--how participation of CBOs will be maximized;
--how funds will support community-wide drug and violence
prevention activities;
--how parental input will be sought.
SR with an amendment to strike House language and insert
the following:

``SEC. 5112. RESERVATION OF STATE FUNDS FOR SAFE SCHOOLS.

``(a) State Reservation for the Governor.--
``(1) In general.--The chief executive officer of a State
may reserve not more than 20 percent of the total amount
allocated to a State under section 5111(b) for each fiscal
year to award competitive grants and contracts to local
educational agencies, community-based organizations
(including community anti-drug coalitions), other public
entities and private organizations, and consortia thereof.
Such grants and contracts shall be used to carry out the
comprehensive state plan through programs or activities that
complement and support activities of local educational
agencies described in section 5115. Such officer shall award
grants based on--
``(A) the quality of the activity or program proposed; and
``(B) how the program or activity meets the principles of
effectiveness described in section 5114(a)''
19. (Gov Programs) House bill gives special consideration
to programs providing and incorporating mental health
services.
Senate amendment gives priority to those not normally
served and to those needing special services.
HR with amendment to strike and replace with the following
language:
``(2) Priority.--In making such grants and contracts, a
chief executive officer shall give priority to illegal drug
use and violence prevention programs and activities for--
``(A) children and youth who are not normally served by
State or local educational agencies; or
``(B) populations that need special services or additional
resources (such as youth in juvenile detention facilities,
runaway or homeless children and youth, pregnant and
parenting teenagers, and school dropouts).
``(3) Special Consideration.--In awarding funds under
subparagraph (A), a chief executive officer shall give
special consideration to grantees that pursue a comprehensive
approach to drug and violence prevention that includes
providing and incorporating mental health services related to
drug and violence prevention in their program.
``(4) Peer Review.--Grants or contracts awarded under this
subpart shall be subject to a peer review process.''
20. (Gov Programs) Senate bill requires peer review of
grants awarded by chief executive officers.
HR with an amendment to strike Senate language.
21. (Gov Admin) House bill allows 1% for administration
expenses.
Senate amendment allows 5% for administration expenses, and
authorizes the chief executive officer to award grants to
state, county, or local law enforcement agencies to carry out
drug and violence prevention activities.
SR with an amendment to set administrative costs at not
more than 3 percent.
22. (Gov Applic) House bill contains no similar provisions.
SR
23. (Gov Activities) House bill contains no similar
provisions.
HR with amendment to strike language and insert:
``Grants and contracts under section [gov reservation]
shall be used to implement drug and violence prevention
activities, such as:
--activities that complement and support activities of
local education agencies under section [LEA uses of funds],
including developing and implementing activities to prevent
and reduce violence associated with prejudice and
intolerance;
--Dissemination of information about drug and violence
prevention.
--Development and implementation of community-wide drug and
violence prevention planning and organization.''
24. (SEA Funds) House bill provides 95% of an amount
reserved for state and local programs (80%) to be sent to the
local level.
Senate amendment provides for 91% of the amount reserved
for state and local programs (80%) to be sent the local
level.
HR with an amendment to strike language and insert the
following:
``(1) In general.--A state educational agency shall
distribute not less than 93 percent of the amount available
under section
[ ] to its local educational agencies.''
Report Language
``The Conferees wish to clarify that at all times a State
educational agency must distribute at least 93 percent of the
funds it receives to the local educational agencies.''
25. (SEA Funds) House bill allows 4% for state activities.
Senate amendment allows 5% for state activities.
SR with an amendment to strike the language and insert the
following:
``(2) State activities.--A state educational agency shall
use not more than 5 percent of the funds made available under
section [ ] for activities described in subsection (c).''
26. (SEA Funds) House bill allows 1% for administration
expenses.
Senate amendment allows 5% for administration expenses and
uniform reporting system.
SR with an amendment to strike the language and insert the
following:
``(3) State administration.--
``(A) In general.--A state educational agency shall use not
more than 3 percent of the funds made available under section
[ ] for state administration, including implementation of
the Uniform Management Information and Reporting System.
``(b) Special Rule.--For fiscal year 2002, a state
educational agency may use an additional 1 percent of the
amount made available under section [ ] for implementation
of the Uniform Management Information and Reporting System.''
27. (State Activ) Similar provisions, but House bill
authorizes generally, whereas Senate amendment specifies
types of activities and services.

[[Page H10016]]

SR with an amendment to strike language and insert the
following:
``(1) In general.--A State shall use a portion of the funds
described in subsection (b)(2), either directly, or through
grants and contracts, to plan, develop, and implement
capacity building, technical assistance and training,
evaluation, program improvement services, and coordination
activities for local educational agencies, community-based
organizations, and other public and private entities.
``(2) Activities.--Such uses shall meet the principles of
effectiveness described in section 5115(a), shall complement
and support local uses of funds under section 5115(b), and
otherwise shall further the purposes of this part, and may
include, among others,
``(A) identification, development, evaluation, and
dissemination of drug and violence prevention strategies,
programs, activities, and other information;
``(B) training, technical assistance, and demonstration
projects to address violence associated with prejudice and
intolerance;
``(C) and financial assistance to enhance drug and violence
prevention resources available in areas that serve large
numbers of low-income children, are sparsely populated, or
have other special needs.''
28. (Data Collection) Senate amendment contains no similar
provision.
HR with an amendment to strike the Senate language and
insert the following language:
``(2) Uniform management information and reporting
system.--
``(A)(1) Information and statistics.--In carrying out its
responsibilities under [state admin], a state shall implement
a uniform management information and reporting system.
``(2) A State may use funds described in subsection (b)(3),
either directly or through grants and contracts, to establish
and implement a uniform management information and reporting
system, to include information on--
``(i) truancy rates;
``(ii) the frequency, seriousness, and incidence of
violence and drug related offenses resulting in suspensions
and expulsion in elementary and secondary schools in States;
``(iii) the types of curricula, programs, and services
provided by the chief executive officer, state educational
agency, local educational agencies, and other recipients of
funds under this part; and
``(iv) the incidence and prevalence, age of onset,
perception of health risk, and perception of social
disapproval of drug use and violence by youth in schools and
communities.''
``(B) Compilation of statistics.--The statistics shall be
compiled in accordance with definitions as determined in the
State criminal code, but shall not identify victims of crimes
or persons accused of crimes. The collected data shall
include, incident reports by school officials, anonymous
student surveys, and anonymous teacher surveys.
``(C) Reporting.--Such data and statistics shall be
reported to the public and the statistics referenced in
(A)(2)(i) and (ii) shall be reported on a school-by-school
basis.
``(D) Limitation.--Nothing in this subsection shall be
construed to authorize the Secretary to require particular
policies, procedures, or practices with respect to crimes on
school property or school security.''
29. (Persistently Dangerous) Senate amendment contains no
similar provision.
HR with an amendment to insert the following language in
General Provisions--

``Unsafe School Choice Policy

``(a) Policy.--Each State receiving funds under this Act
shall establish and implement a statewide policy requiring
that a student attending a persistently dangerous public
elementary and secondary school, as determined by the State
in consultation with a representative sample of local
educational agencies, or who becomes a victim of a violent
criminal offense, as determined by State law, while in or on
the grounds of a public elementary or secondary school that
the student attends, be allowed to attend a safe public
elementary or secondary school within the local educational
agency, including a public charter school.
``(b) Certification.--As a condition of receiving funds
under this Act, a State shall certify in writing to the
Secretary that the State is in compliance with this section.
30. (State Application) Similar provisions aligned.
HR with amendment to strike and insert the following
language:

``SEC. 5113. STATE APPLICATION.

``(a) In General.--In order to receive an allotment under
section 4111 for any fiscal year, a State shall submit to the
Secretary, at such time as the Secretary may require, an
application that--
``(1) contains a comprehensive plan for the use of funds by
the State educational agency and the chief executive officer
to provide safe, orderly, and drug-free schools and
communities through programs and activities that complement
and support activities of local educational agencies under
section 5115(b), that comply with the principles of
effectiveness under section 5115(a), and that otherwise are
in accordance with the purposes of this part;
``(2) describes how activities funded under this subpart
will foster a safe and drug free learning environment that
supports academic achievement;
``(3) provides an assurance that the application was
developed in consultation and coordination with appropriate
State officials and others, including the chief executive
officer, the chief State school officer, the head of the
State alcohol and drug abuse agency, the heads of the State
health and mental health agencies, the head of the State
criminal justice planning agency, the head of the State child
welfare agency, the head of the State board of education, or
their designees, and representatives of parents, students,
and community-based organizations;
``(4) a description of how the State educational agency
will coordinate such agency's activities under this subpart
with the chief executive officer's drug and violence
prevention programs under this subpart and with the
prevention efforts of other State agencies and other
programs, as appropriate, in accordance with the provisions
in section 8306;
``(5) provides an assurance that the State will cooperate
with, and assist, the Secretary in conducting data collection
as required by section 5116(a);
``(6) provides an assurance that the local educational
agencies in the State will comply with the provisions of
section 8503 pertaining to the participation of private
school children and teachers in the programs and activities
under this subpart;
``(7) provides an assurance that funds under this subpart
will be used to increase the level of State, local, and other
non-Federal funds that would, in the absence of funds under
this subpart, be made available for programs and activities
authorized under this subpart, and in no case supplant such
State, local, and other non-Federal funds;
``(8) contains the results of the State's needs assessment
for drug and violence prevention programs, which shall be
based on the results of on-going State evaluation activities,
including data on the incidence and prevalence, age of onset,
perception of health risk, and perception of social
disapproval of drug use and violence by youth in schools and
communities and the prevalence of risk factors, including
high or increasing rates of reported cases of child abuse or
domestic violence, or protective factors, buffers or assets
or other variables identified through scientifically based
research in the school and community;
``(9)(A) provides a statement of the State's performance
measures for drug and violence prevention programs and
activities to be funded under this part that shall be focused
on student behavior and attitudes and be derived from the
needs assessment, be developed in consultation between the
State and local officials, and that consist of--
``(i) performance indicators for drug and violence
prevention programs and activities; and
``(ii) levels of performance for each performance
indicator;
``(B) a description of the procedures the State will use
for assessing and publicly reporting progress toward meeting
those performance measures; and
``(11) provides an assurance that the State application
will be available for public review after submission of the
application.
``(12) a description of the special outreach activities
that will be carried out by the State educational agency and
the state chief executive officer to maximize the
participation of community-based nonprofit organizations of
demonstrated effectiveness which provide services in low-
income communities, such as mentoring programs;
``(13) a description of how funds will be used by the state
educational agency and the state chief executive officer to
support, develop, and implement community-wide comprehensive
drug and violence prevention planning, organization, and
activities;
``(14) a specific description of how input from parents
will be sought regarding the use of funds by the state
educational agency and the state chief executive officer;
``(15) includes any other information the Secretary may
require.
``(b) [Sea Section of Application].--A State's application
under this section shall also contain a comprehensive plan
for the use of funds described in [ ] developed by the SEA
that
``(1) describes how the State educational agency will
review applications and allocate funds to local educational
agencies, including how the agency will receive input from
parents in such review;
``(2) describes how the SEA will monitor the implementation
of activities under this part, and provide technical
assistance under this part for local educational agencies,
community-based organizations, other public entities, and
private organizations under this subpart;
``(c) [Gov Section of Application].--`A State's application
under this section shall also contain a comprehensive plan
for the use of funds described in [ ] developed by the chief
executive officer that includes, with respect to each
activity--
``(1) a description of how funds reserved under section
4114(a) will be used so as not to duplicate the efforts of
the State educational agency and local educational agencies
with regard to the provision of school-based drug and
violence prevention activities and how those funds will be
used to serve populations not normally served by the State
and local educational agencies, such as school dropouts,
suspended and expelled students, and youth in detention
centers;
``(2) a description of how the chief executive officer will
award funds under section 4114(a) and implement a plan for
monitoring

[[Page H10017]]

the performance of, and providing technical assistance to,
recipients of such funds.''
31. (State Application) Senate amendment similar to House
bill section 5112(c)(1)
HR/SR to strike all.
32. (State Applic Review/Approval) House bill provides that
application deemed approved if no response within 90 days.
Senate amendment provides for peer review.
SR with an amendment to strike language and insert the
following language:
``(b) General Approval.--A State educational agency's
application submitted pursuant to subsection (a) shall be
deemed to be approved by the Secretary unless the Secretary
makes a written determination, prior to the expiration of the
120 day period beginning on the date that the Secretary
receives the application, that the application is in
violation of this part.
``(c) Disapproval.--The Secretary shall not finally
disapprove an application, except after giving the State
educational agency notice and opportunity for a hearing.
``(d) Special Rule.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
the provisions of this part, the Secretary shall:
``(1) implement the procedures described in subsection (c);
and
``(2) notify the State educational agency of the findings
of non-compliance where such notification shall--
``(A) cite the specific provisions in the application that
are not in compliance; and
``(B) request additional information, only as to those
noncompliant provisions, needed to make the application
compliant.
``(e) If the State educational agency does not respond to
the notification described in subsection (d)(2) within 45
days, such application is not approved.
``(f) If the State educational agency does respond to the
Secretary's notification described in subsection (d)(2)
within 45 days with the requested information necessary to
make the application compliant, the Secretary shall approve
or disapprove such application not later than 45 days
following its resubmission or the end of the 120 period
described in subsection (b), whichever is later.''
33. (State Applic Review/Approval) Senate amendment
contains no similar provision.
HR
34. (Interim Application) House bill contains no similar
provision.
HR
35. (LEA Grants) House bill sends 95% of 80% to local
educational agencies, with 60% based on title I and 40% based
on school enrollment.
Senate amendment sends 91% of 80% to local educational
agencies, under one of two formulae:
70% school enrollment and 30% state determined/greatest
need based on objective data.
70% greatest need competition based on objective data and
30% state determined additional need based on objective data.
SR
36. (Local Admin) Senate amendment contains no similar
provision.
SR with an amendment to strike ``1'' and insert ``2'' in
its place.
37. (Reallocation) Similar provisions.
Senate amendment also has provision reallocating funds if
local educational agency declines to apply or if application
is disapproved.
SR with an amendment inserting Senate (e) after House (3).
38. (Reallocation) Similar provisions.
LC
39. (LEA Application) Similar provisions.
LC
40. (LEA Applic) Similar provisions, but Senate amendment
specifies that consultation be done with an ``advisory
council,'' which has a membership similar to the
organizations listed in House bill, but also includes
representatives of business, the medical professional, and
law enforcement.
Senate amendment outlines specific duties of the advisory
council.
SR with amendment to strike (c)(1)(A) and insert the
following language:
``(A) In general.--A local educational agency shall develop
its application through timely and meaningful consultation
with State and local government representatives,
representatives of schools to be served (including private
schools), teachers and other staff, parents, students,
community-based organizations, and others with relevant and
demonstrated expertise in drug and violence prevention
activities (such as medical, mental health, and law
enforcement professionals).''
41. (Consultation) Senate amendment contains no similar
provision.
SR
42. (LEA Applic) Similar provisions aligned.
SR with an amendment to strike House (d)(1) and insert the
following language:
``(d) Contents of Applications.--
``(1) In general.--An application submitted by a local
educational agency under this section shall contain--
``(A) an assurance that the activities or programs to be
funded comply with the principles of effectiveness described
in section [ ] and foster a safe and drug-free learning
environment that supports academic achievement.
``(B) a detailed explanation of the local educational
agency's comprehensive plan for drug and violence prevention,
which shall include a description of--
``(1) how the plan will be coordinated with programs under
this Act, other Federal, State, and local programs for drug
and violence prevention, in accordance with the provisions of
section 8306;
``(ii) the local educational agency's performance measures
for drug and violence prevention programs and activities,
that shall consist of--

``(I) performance indicators for drug and violence
prevention programs and activities; including

``(aa) specific reductions in the prevalence of identified
risk factors;
``(bb) specific increases in the prevalence of protective
factors, buffers, or assets if any have been identified; or

``(II) levels of performance for each performance
indicator;
``(iii) how such agency will assess and publicly report
progress toward attaining its performance measures;

``(iv) the drug and violence prevention activity or program
to be funded, including how the activity or program will meet
the principles of effectiveness described in section 5115(a),
and the means of evaluating such activity or program; and
``(v) how the services will be targeted to schools and
students with the greatest need;
``(C) a specification for how the results of evaluation of
the effectiveness of the prevention program will be used to
refine, improve, and strengthen the program;
``(D) an assurance that funds under this subpart will be
used to increase the level of State, local, and other non-
Federal funds that would, in the absence of funds under this
subpart, be made available for programs and activities
authorized under this subpart, and in no case supplant such
State, local, and other non-Federal funds;
``(E) a description of the mechanisms used to provide
effective notice to the community of an intention to submit
an application under this title;
``(F) an assurance that drug and violence prevention
programs supported under this part convey a clear and
consistent message that acts of violence and the illegal use
of drugs are wrong and harmful;
``(G) an assurance that the applicant has, or the schools
to be served have, a plan for keeping schools safe and drug-
free that includes--
``(i) appropriate and effective school discipline policies
that prohibit disorderly conduct, the illegal possession of
weapons, and the illegal use, possession, distribution, and
sale of tobacco, alcohol, and other drugs by students;
``(ii) security procedures at school and while students are
on the way to and from school;
``(iii) prevention activities that are designed to create
and maintain safe, disciplined, and drug-free environments;
and
``(iv) a crisis management plan for responding to violent
or traumatic incidents on school grounds; and
``(v) a code of conduct policy for all students that
clearly states responsibilities of students, teachers, and
administrators in maintaining a classroom environment that
allows a teacher to communicate effectively with all students
in the class, allows all students in the class to learn, has
consequences that are fair and appropriate, considers the
student and the circumstances of the situation, and is
enforced accordingly;
``(H) an assurance that the application and any waiver
request will be available for public review after submission
of the application; and
``(I) such other assurances, goals, and objectives
identified through scientifically based research as the State
may reasonably require in accordance with the purpose of this
part.''
43. (LEA Applic Review/Approval) House bill deems local
application to be approved if approved if no response by 90
days.
Senate amendment requires peer review and provides factors
for determining approval: quality of plan; extent of problem
assessment; use of objective data and community input;
measurable goals and objectives; use of scientifically based
program.
HR with an amendment to strike in Senate (c)(2)(A) ``and
the extent . . . identified needs.''; and insert ``and the
extent to which the application meets the Principles of
Effectiveness in section ( ).''
Insert the following language:
``(a) Considerations.--
``(i) General approval.--A local educational agency's
application submitted pursuant to subsection [ ] shall be
deemed to be approved by the SEA unless the SEA makes a
written determination, prior to the expiration of the 120 day
period beginning on the date that the SEA receives the
application, that the application is in violation of this
part.
``(ii) Disapproval.--The SEA shall not finally disapprove
an application, except after giving the applicant notice and
opportunity for a hearing.
``(iii) Special rule.--If the SEA finds that the
application is not in compliance, in whole or in part, with
the provisions of this part, the SEA shall:
``(I) implement the procedures described in subsection (c);
and
``(II) notify the applicant of the findings of non-
compliance where such notification shall--
``(A) cite the specific provisions in the application that
are not in compliance; and
``(B) request additional information, only as to those
noncompliant provisions, needed to make the application
compliant.
``(iv) If the applicant does not respond to the
notification described in subsection

[[Page H10018]]

(iii)(II) within 45 days, such application is not approved.
``(v) If the applicant does respond to the SEA's
notification described in subsection (iii)(II) within 45 days
with the requested information necessary to make the
application compliant, the SEA shall approve or disapprove
such application not later than 45 days following its
resubmission or the end of the 120 period described in
subsection (b), whichever is later.''
44. (LEA Applic Review/Approval) Similar provisions.
HR/SR to strike all language
45. (Principles of Effectiveness) Senate amendment contains
no similar provision.
SR with an amendment to insert:
``(D) Be based on an analysis, of data reasonably available
at the time, of the prevalence of risk factors, including
high or increasing rates of reported cases of child abuse and
domestic violence, or protective factors, buffers or assets
or other variables identified through scientifically based
research in schools and communities in the State.''
``(E) Include meaningful and ongoing consultation with and
input from parents in the development of the application and
administration of the program or activity.''
Report Language--
The Conferees wish to clarify that the principles of
effectiveness established under section [ ] are intended to
increase the efficacy of drug and violence prevention
activities in states, communities, and schools, but are not
intended to result in the Secretary requiring State or
local educational agencies to use specific programs.
46. (LEA Required Activ) Similar provisions.
SR with an amendment to strike language in section 5115
(b)(1)(A) and replace with ``foster a safe and drug-free
learning environment that supports academic achievement;''
and to strike the language in section 5115(b)(1)(C)(i) and
replace with ``prevent or reduce violence; the use,
possession, and distribution of illegal drugs; and
delinquency; and''.
47. (LEA Uses of Funds) Similar provisions.
See Senate amendment section 4303, p. 72, Note #85.
See Senate amendment section 1115B.
SR with amendment to strike House language in insert the
following language:

``Local Allowable Uses of Funds

* * * * *

(2) ``Authorized activities.--Each local educational
agency, or consortium of such agencies, that receives a
subgrant under this subpart may use such funds to carry out
activities that comply with the principles of effectiveness
described in section 5115(a), such as--
(A) Age appropriate and developmentally based activities
that--
``(i) address the consequences of violence and the illegal
use of drugs, as appropriate.
``(ii) promote of a sense of individual responsibility.
``(iii) teach students that most people do not illegally
use drugs
``(iv) teach students to recognize social and peer pressure
to use drugs illegally and the skills for resisting illegal
drug use
``(v) teach students about the dangers of emerging drugs
``(vi) engage students in the learning process
``(vii) incorporate activities in secondary schools that
reinforce prevention activities implemented in elementary
schools.
``(B) Activities that involve families, community sectors
(which may include appropriately trained seniors), and a
variety of drug and violence prevention providers in setting
clear expectations against violence and illegal use of drugs
and appropriate consequences for violence and illegal use of
drugs.
``(C) drug and violence prevention information
dissemination to schools and the community.
``(D) professional development and training for and
involvement of school personnel, pupil services personnel,
parents, and interested community members in prevention,
education, early identification and intervention, mentoring,
or rehabilitation referral, as related to drug and violence
prevention.
``(E) Drug and violence prevention activities that may
include
``(i) Community-wide planning and organization activities
to reduce violence and illegal drug use, which may include
gang activity prevention
``(ii) (1) In General.--To the extent that expenditures do
not exceed 20 percent of the amount made available to a local
educational agency under this subpart (except that this
subparagraph shall not apply to (e)), student and school
security activities, including--

``(a) acquiring and installing metal detectors, electronic
locks, surveillance cameras, or other related equipment and
technologies;
``(b) reporting criminal offenses on school property;
``(c) developing comprehensive school security assessments;
``(d) supporting safe zones of passage activities that
ensure that students travel safely to and from school, which
may include bicycle and pedestrian safety program; and
``(e) hiring and mandatory training, based on scientific
research, of school security personnel (including school
resource officers) who interact with students in support of
youth drug and violence prevention activities under this part
that are implemented in the school.

``(2) Limitation.--A local educational agency shall only
use funds received under this part for activities described
in (1)(a) through (d) if funding for such activities is not
received from other federal agencies.
``(3) Special rule.--Not more than 40 percent of the amount
made available to a local educational agency under this part
may be spent on activities described in (e).
``(4) Definition.--A school resource officer is a career
law enforcement officer, with sworn authority, deployed in
community oriented policing, and assigned by the employing
police department to a local educational agency to work in
collaboration with schools and community based organizations
to

``(a) Educate students in crime prevention and safety;

``(b) Develop or expand community justice initiatives for
students; and
``(c) Train students in conflict resolution, restorative
justice, and crime awareness.

Legislative Counsel to redraft to reflect the agreement that
the activities of (a) through (d) cannot exceed 20 percent
and (a) through (d) in conjunction with (e) cannot exceed 40
percent.
``(iii) expanded and improved school-based mental health
services related to illegal use of drugs and violence,
including early identification of violence and illegal drug
use, assessment, and direct or group counseling services
provided to students, parents, families, and school personnel
by qualified school based mental health services providers
``(iv) conflict resolution programs, including peer
mediation programs that educate and train peer mediators and
a designated faculty supervisor and youth anti-crime and
anti-drug councils and activities
``(v) alternative education programs or services for
violent or drug abusing students that reduce the need for
suspension or expulsion or that serve students who have been
suspended or expelled from the regular educational settings,
including programs or services to assist students to make
continued progress toward meeting the state academic
achievement content standards and to reenter the regular
education setting
``(vi) counseling, mentoring, referral services, and other
student assistance practices and programs, including
assistance provided by qualified school based mental health
services providers and the training of teachers by school
based mental health services providers in appropriate
identification and intervention techniques for students at
risk of violent behavior and illegal use of drugs
``(vii) programs that encourage students to seek advice
from and to confide in a trusted adult regarding concerns
about violence and illegal drug use
``(viii) drug and violence prevention activities designed
to reduce truancy
``(ix) age-appropriate, developmentally based violence
prevention and education programs that address victimization
associated with prejudice and intolerance, and that include
activities designed to help students develop a sense of
individual responsibility and respect for the rights of
others, and to resolve conflicts without violence;
``(x) consistent with the fourth amendment to the
Constitution of the United States, the testing of a student
for illegal drug use or the inspecting of a student's locker
for weapons or illegal drugs or drug paraphernalia, including
at the request of or with the consent of a parent or legal
guardian of the student, if the local educational agency
elects to so test or inspect
``(xi) emergency intervention services following traumatic
crisis events, such as a shooting, major accident, or a drug-
related incident, that have disrupted the learning
environment
``(xii) establishing or implementing a system for
transferring suspension and expulsion records, consistent
with 20 U.S.C. 1232g, by a local educational agency to any
public or private elementary or secondary school
``(xiii) developing and implementing character education
programs as a component of a drug and violence prevention
program that take into account the views of parents of the
students for whom the program is intended and such students,
such as a program described in[character education cite]
``(xiv) establishing and maintaining a school safety
hotline
``(xv) community-service, including community-service
performed by expelled students, and service-learning projects
``(xvi) conducting a nationwide background check of each
local educational agency employee, regardless of when hired,
and prospective employees for the purpose of determining
whether the employee or prospective employee has been
convicted of a crime that bears upon the employee's fitness--

``(1) to have responsibility for the safety or well-being
of children
``(2) to serve in the particular capacity in which the
employee or prospective employee is or will be employed, or
``(3) to otherwise be employed at all by the local
educational agency

``(xvii) programs to train school personnel to identify
warning signs of youth suicide and to create an action plan
to help youth at risk of suicide
``(xviii) programs that respond to the needs of students
who are faced with domestic violence or child abuse
``(F) the evaluation of any of the activities authorized
under this subsection and the collection of objective data
used to assess program needs, program implementation, or
program success in achieving program goals and objectives''

[[Page H10019]]

Report Language:
The Conferees support the ability of local educational
agencies to address the needs of students who are victims of
varying situations involving violence and drug abuse (such as
familial drug abuse and dating violence) and to promote safe
environments for students.
48. (School Uniforms) House bill contains no similar
provision.
HR
49. (Impact Eval) Senate amendment provides for the
Secretary in consultation with the National Advisory
Committee to conduct an independent biennial report with
specific required elements, including data collected by the
NCES under (a)(2)
House bill for NCES to collect data and the Secretary to
report on certain data.
HR with an amendment to insert ``and drug use'' after
``combat violence'' in (1); insert ``comply with the
Principles of Effectiveness'' after ``agency programs'' in
(A); strike (A)(i) through (v) and strike (B); in (C) insert
``illegal'' before ``presence'' and strike ``firearms'' and
insert ``weapons''; and in (D) strike ``voluntary''.
50. (State Report) Similar provisions, but House bill
requires a state report every 3 years and Senate amendment
requires a state report every 2 years.
HR
51. (LEA Report) Similar provisions, but Senate amendment
contains a January 1 deadline.
HR
52. (Native Hawaiians) House bill contains no similar
provision.
HR
53. (National Programs) House bill limits evaluation to
effectiveness.
Senate amendment authorizes prevention programs.
HR with an amendment to strike ``at all educational levels
from preschool through the post-secondary level.''
54. (Coordination) Senate amendment contains a similar
provision in (a).
HR
55. (National Activities) House bill addresses
demonstration and evaluation.
Senate amendment addresses information dissemination, child
abuse prevention, program evaluation, direct services, and
other activities.
HR with an amendment to strike all and insert--

``SECTION 5131. NATIONAL ACTIVITIES.

* * * * *

``(3) Programs--Activities described in paragraph (1) may
include--
``(A) the development and demonstration of innovative
strategies for the training of school personnel, parents, and
members of the community for drug and violence prevention
activities, based on state and local needs;
``(B) the development, demonstration, scientifically based
evaluation, and dissemination of innovative and high quality
drug and violence prevention programs and activities, based
on State and local needs, which may include--;
``(i) alternative education models, either established
within a school or separate and apart from an existing
school, that are designed to promote drug and violence
prevention, reduce disruptive behavior, to reduce the need
for repeat suspensions and expulsions, to enable students to
meet challenging State academic standards, and to enable
students to return to the regular classroom as soon as
possible;
``(ii) community service and service-learning projects,
designed to rebuild safe and healthy neighborhoods and
increase students' sense of individual responsibility;
``(iii) video-based projects developed by noncommercial
telecommunications entities that provide young people with
models for conflict resolution and responsible
decisionmaking; and
(iv) child abuse education and prevention programs for
elementary and secondary students
``(C) the provision of information on drug abuse education
and prevention to the Secretary of Health and Human Services
for dissemination;
``(D) the provision of information on violence prevention
and education and school safety to the Department of Justice
for dissemination
``(E) technical assistance to chief executive officers,
State agencies, local educational agencies, and other
recipients of funding under this part to build capacity to
develop and implement high-quality, effective drug and
violence prevention programs consistent with the principles
of effectiveness.
``(F) assistance to school systems afflicted with
especially severe drug and violence problems, including for
the hiring of drug prevention and school safety coordinators,
or to support crisis situations and appropriate response
efforts;
``(G) the development of education and training programs,
curricula, instructional materials, and professional training
and development for preventing and reducing the incidence of
crimes and conflicts motivated by hate in localities most
directly affected by hate crimes;
``(H) activities in communities designated as empowerment
zones or enterprise communities that will connect schools to
community-wide efforts to reduce drug and violence problems;
and
``(I) other activities in accordance with the purposes of
this part, based on State and local needs.
Report Language.--``The Conferees understand that children
are especially susceptible to the terrible emotional and
mental anguish that terrorist attacks can cause. The
Conferees intend that crisis situations may include terrorist
attacks and that the Secretary may use funds to support
school based mental health services for children and school
personnel to respond to the mental health needs resulting
from a terrorist attack.''
56. (Peer Review) Similar provisions.
LC
57. (Gun Free Schools) Similar provisions, excepted as
noted.
Senate amendment only allows modification of 1 year
expulsion rule when modification is in writing.
Senate amendment denies funds to LEAs without policy,
whereas House bill affirms requirement.
HR with an amendment to strike ``weapon'' and insert
``firearm'' throughout and to strike Senate (Sec. 4202 (b)
and insert current law 14602(b).
58. (Gun Free Schools) Similar provisions.
LC
59. (Gun Free Schools) Similar provisions.
LC--use firearm
60. (Gun Free Schools) Senate amendment provides for an
annual report from the state to the Secretary.
HR
61. (Gun Free Schools) Senate amendment provides exception
for weapon lawfully stored in vehicle or approved by LEA.
HR
62. (Gun Free Schools) Similar provisions.
LC
63. (Gun Free Schools) Similar provisions.
See Senate amendment sec. 17(d) for similar home school
provision.
SR
64. (Definitions) Similar provisions.
See side-by-side HR/SR with an amendment:
Strike House section 5151(1);
Strike Senate section 4131(1);
SR to House section 5151(2), (3), (4);
HR on Senate section 4131(2)(C);
HR on Senate section 4131(3);
LC on House section 5151(5) and Senate section 4131(4);
HR on Senate section 4131(5), (6), (7);
LC on House section 5151(6) and Senate section 4131(8);
SR on House section 5151(7);
SR on House section 5151(8) with an amendment to strike
``guidance'';
LC on House section 5151(9) [eliminate if identical to
general definition]
65. (Message and Materials) Similar provisions.
Senate amendment allows Secretary to evaluate curricula.
SR with an amendment in (a) to insert ``and violence''
after ``Drug''; to strike ``is'' after ``drugs''; and to
insert ``and acts of violence are'' after ``drugs''.
SR on (b).
66. (Parental Consent) Senate amendment contains no similar
provision.
SR
67. (Prohibited Uses) Similar provisions.
HR with an amendment to strike ``alcohol, tobacco, or''
68. (IDEA) House bill requires each State to require LEAs
to have a policy permitting school personnel to discipline
children with a disability and without a disability in the
same manner in situations involving weapons, illegal drugs or
controlled substances, or aggravated assault or battery.
Senate amendment allows SEAs and LEAs to implement uniform
policies regarding discipline and order for all children.
HR/SR to strike both
69. (IDEA) House bill and Senate amendment allow
disciplinary action to be modified on a case-by-case basis.
HR/SR to strike both
70. (IDEA) Similar provisions.
HR/SR to strike both
71. (IDEA) House bill allows educational services to cease
if the State does not require continued services for children
with children without disabilities who are expelled or
suspended.
Senate amendment requires continuation of services when the
behavior is a manifestation of the child's disability. If
behavior is not a manifestation of the child's disability,
the same disciplinary procedures that would apply to a non-
disabled child may be applied.
HR/SR to strike both
72. (IDEA) House bill contains no similar provision.
SR
73. (IDEA) Senate amendment contains no similar provision.
HR
74. (IDEA) House bill contains no similar provision.
SR
75. (Coordinator Initiative) House bill contains no similar
provision.
HR with an amendment to include this initiative as an
allowable program under the national authority.
76. (Advisory Committee) House bill contains no similar
provision.
HR and include the following as Report Language:
The Conferees intend that the Advisory Council provide
advice to the Secretary regarding the improvement of drug and
violence prevention programs, and that grant-making authority
rests solely with the Secretary.
77. (Hate Crime) House bill contains no similar provision.
HR
78. (Domestic Violence) House bill contains no similar
provision.

[[Page H10020]]

HR with an agreement to move to Subpart 17 of Title V, Part
D (FIE).
79. (Community Service) House bill contains no similar
provision.
HR with an amendment to include this initiative as an
allowable program under the national authority.
80. (Suicide Prevention) House bill contains no similar
provision.
SR
81. (Mental Health) House bill contains no similar
provision.
HR with an agreement to move redrafted provision to Subpart
14 of Title V, Part D (FIE).
82. (Quality Rating) House bill contains no similar
provision.
SR
83. (School Safety and Violence Prevention) House bill
contains no similar provision, but generally is duplicative
of Safe and Drug-free state grants program.
SR
84. (School Uniforms) House bill contains no similar
provision.
SR
85. (Discipline Records Transfers) House bill contains
similar provision; see House bill section 5115(b)(2)(O), p.
33, Note #47.
HR
86. (Background Checks) House bill contains no similar
provision.
HR
87. (Reporting of School Violence) House bill contains a
similar use of funds in state grant program; see House bill
section 5115(b)(2)(R), p.33, Note #47
SR
88. (Security Technology Center) House bill contains no
similar provision.
HR with an amendment to include this initiative as an
allowable program under the national authority.
89. (Local Security Program) House bill contains no similar
provision.
SR with an amendment to include as an allowable use of
local funds subject to the 20 percent cap.
90. (Advisory Report) House bill contains no similar
provision.
SR
91. (School Safety Enhancement) House bill contains no
similar provision.
SR
92. (National Center for School and Youth Safety) House
bill contains no similar provision.
HR with an amendment to include this initiative as an
allowable program under the national authority.
93. (Safe Communities, Safe Schools) House bill contains no
similar provision.
SR
94. (Environmental Tobacco) House bill contains no similar
provision.
HR
95. (Environmental Tobacco) House bill contains no similar
provision.
HR
96. (Environmental Tobacco) House bill contains no similar
provision.
HR
97. (Alcohol Abuse) House bill contains no similar
provision.
HR with an amendment to include this initiative as an
allowable program under the national authority.

Title V, Part A, subpart 2--21st Century Schools

(New Title IV, Part B)

1. Senate amendment maintains both the 21st Century
Community Learning Centers program and the Safe and Drug-Free
Schools and Communities as separate programs.
House bill includes both programs under one act.
SR with an amendment to make it a separate part.
2. Similar provisions, but House bill focuses services on
students, and Senate amendment includes families and
students.
HR to Senate purpose.
HR with an amendment to add ``counseling programs'' in list
under (2).
HR with an amendment to strike in (3) ``lifelong learning
and'' and add `` and related educational'' after
``literacy''.
Report Language:
The Conferees recognize that counseling programs may
include mental health services.
3. Senate amendment authorizes awards to CLCs that serve
students who primarily attend schoolwide schools or schools
with a high percentage of students from low income families.
SR
(House bill primarily targets schools eligible for
schoolwide programs under section 1114 in state application--
see section 5122.)
4. Both House bill and Senate amendment provide for
reservations and continuation grants--see House bill section
5111 (4).
Senate amendment allows 1% for outlying areas and BIA.
HR
5. Both House bill and Senate amendment send funds to
States based on a formula. House bill sends funds based 50%
on school-age population and 50% on Title I, part A.
Senate amendment sends funds based on Title I, part A.
Similar provisions.
Similar provisions--see House bill section 5151 (9).
HR
6. Senate amendment contains no similar provision.
SR
7. Senate amendment contains no similar provisions.
SR
8. Senate amendment contains no similar provision.
SR with an amendment to allow 2% for state administration.
9. House bill allows 4% for monitoring, evaluations, and
technical assistance.
SR with amendment to include Senate section 1607 (b) (1)
(A) and (B) to House 5121 (c) (2).
SR with an amendment to include Senate 1607 (b) (2) to
House 5121 (c) (3) (A) and (B) with 3% for State activities.
Senate amendment allows 3% for planning, peer review, and
supervision and 3% for evaluation, training, and technical
assistance.
10. House bill and Senate amendment contain similar
provisions, additionally:
HR/SR with an amendment to insert the following language:

``SEC. 5122. STATE APPLICATION.

``(a) In General.--In order to receive an allotment under
section 5121(a) for any fiscal year, a State Educational
Agency shall submit to the Secretary, at such time as the
Secretary may require, an application that--
``(1) designates the State educational agency as the agency
responsible for the administration and supervision of
programs assisted under this part;
``(2) describes how the State Educational Agency will use
funds received under this part, including funds reserved for
State-level activities;
``(3) contains an assurance that the State Educational
Agency will make awards under this part only to eligible
entities that propose to serve--
``(A) students who primarily attend--
``(i) schools eligible for schoolwide programs under
section 1114; or
``(ii) schools that serve a high percentage of students
from low-income families; and
``(B) the families of students described in subparagraph
(A);
``(4) describes the procedures and criteria the State
Educational Agency will use for reviewing applications and
awarding funds to eligible entities on a competitive basis,
which shall include procedures and criteria that take into
consideration the likelihood that a proposed center will help
participating students meet local content and performance
standards by increasing their academic performance and
achievement;
``(5) describes how the State Educational Agency will
ensure that awards made under this part are--
``(A) of sufficient size and scope to support high-quality,
effective programs that are consistent with the purpose of
this part; and
``(B) in amounts that are consistent with section
[1608(b)];
``(6) describes the steps the State Educational Agency will
take to ensure that programs implement effective strategies,
including providing ongoing technical assistance and
training, evaluation, and dissemination of promising
practices;
``(7) describes how funds under this part will be
coordinated with programs under this Act, and other programs;
as appropriate, in accordance with the provisions of section
8306;
``(8) contains an assurance that the State Educational
Agency--
``(A) will make awards for programs of 3 to 5 year
duration; and
``(B) will require each eligible entity seeking such an
award to submit a plan describing how the center to be funded
through the award will continue after funding under this part
ends;
``(9) contains an assurance that funds appropriated to
carry out this part will be used to supplement, and not
supplant, other Federal, State, and local public funds
expended to provide programs and activities authorized under
this part and other similar activities;
``(10) contains an assurance that the State Educational
Agency will require eligible entities to describe in their
applications under section 1609 how the transportation needs
of participating students will be addressed;
``(11) provides an assurance that the application was
developed in consultation and coordination with appropriate
State officials, including the chief State school officer,
and other state agencies administering before and after
school (including during summer recess periods) programs, the
heads of the State health and mental health agencies or their
designees, representatives of teachers, parents, students,
the business community, and community-based organizations;
``(12) describes the results of the State's needs and
resources assessment for before and after school activities,
which shall be based on the results of on-going State
evaluation activities;
``(13) describes how the State Educational Agency will
evaluate the effectiveness of programs and activities carried
out under this part which shall include at a minimum--
``(A) a description of the performance indicators and
performance measures that will be used to evaluate programs
and activities; and
``(B) public dissemination of the evaluations of programs
and activities carried out under this part; and
``(14) provides for timely public notice of intent to file
application and an assurance that the application will be
available for public review after submission of the
application.''
House bill primary targets students at schoolwide eligible
schools.
Senate amendment targets students who attend schoolwide
schools or schools with students from low-income families.

[[Page H10021]]

Similar provisions are aligned.
See House bill sec. 5123(d).
See House bill sec 5123(b)
11. No similar Senate amendment provision.
SR with amendment to strike House language and insert the
following language:
``(b) General Approval.--A State educational agency's
application submitted pursuant to subsection (a) shall be
deemed to be approved by the Secretary unless the Secretary
makes a written determination, prior to the expiration of the
120 day period beginning on the date that the Secretary
receives the application, that the application is in
violation of this part.
``(c) Disapproval.--The Secretary shall not finally
disapprove an application, except after giving the State
educational agency notice and opportunity for a hearing.
``(d) Special Rule.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
the provisions of this part, the Secretary shall:
``(1) implement the procedures described in subsection (c);
and
``(2) notify the State educational agency of the findings
of non-compliance where such notification shall--
``(A) cite the specific provisions in the application that
are not in compliance; and
``(B) request additional information, only as to those
noncompliant provisions, needed to make the application
compliant.
``(e) If the State educational agency does not respond to
the notification described in subsection (d)(2) within 45
days, such application is not approved.
``(f) If the State educational agency does respond to the
Secretary's notification described in subsection (d)(2)
within 45 days with the requested information necessary to
make the application compliant, the Secretary shall approve
or disapprove such application not later than 45 days
following its resubmission or the end of the 120 period
described in subsection (b), whichever is later.''
12. House bill distributes 95% to the local level. Senate
amendment distributes 94% to the local level.
SR
13. House bill and Senate amendment contain similar
provisions aligned, additionally:
House bill includes principles of effectiveness
requirements and limits to before and after school
activities.
HR/SR with an amendment to insert the following language:
(APPLICATION) SECTION 5125
``(b) Eligibility.--
``(1) In general.--To be eligible to receive an award under
this part, an eligible entity shall submit an application to
the State at such time, in such manner, and including such
information as the State may reasonably require. Each such
application shall include--
``(A) a description of the before and after school activity
to be funded including--
``(i) an assurance that the program will take place in a
safe and easily accessible facility;
``(ii) a description of how students participating in the
program carried out by the center will travel safely to and
from the center and home;
``(iii) a description of how the eligible applicant will
disseminate information about the project (including its
location) to the community in a manner that is understandable
and accessible.
``(B) a description of how the activity is expected to
improve student academic performance;
``(C) an identification of Federal, State, and local
programs that will be combined or coordinated with the
proposed program in order to make the most effective use of
public resources;
``(D) an assurance that the proposed program was developed,
and will be carried out, in active collaboration with the
schools the students attend;
``(E) a description of how the activity will meet the
principles of effectiveness described in [section 5124];
``(F) an assurance that the program will primarily target
students who attend schools eligible for schoolwide programs
under section 1114 and the families of such students;
``(G) an assurance that funds under this part will be used
to increase the level of State, local, and other non-Federal
funds that would, in the absence of funds under this part, be
made available for programs and activities authorized under
this part; and in no case supplant Federal, State, local, or
non-Federal funds;
``(H) a description of the partnership between a local
educational agency, a community-based organization, and
another public entity or private entity, if appropriate;
``(I) an evaluation of the needs, available resources, and
goals and objectives for the proposed community learning
center and a description of how the program proposed to be
carried out in the center will address those needs (including
the needs of working families); and
``(J) a demonstration that the eligible entity has
experience, or promise of success, in providing educational
and related activities that will complement and enhance the
students' academic performance and achievement and positive
youth development;
``(K) a description of a preliminary plan for how the
center will continue after funding under this part ends; and
``(L) an assurance that the community will be given notice
of an intent to submit an application and that the
application and any waiver request will be available for
public review after submission of the application; and
``(M) if the entity plans to use senior volunteers in
activities carried out through the center, a description of
how the entity will encourage and use appropriately qualified
seniors to serve as the volunteers;
``(N) such other information and assurances as the State
may reasonably require.
14. (I) appeared in an accepted amendment in the Senate
amendment, but was not executed in the correct section in the
engrossed Senate amendment--see page 1185 of Senate
Amendment.
HR
15. House bill and Senate amendment contain similar
provisions, but Senate amendment also includes ``unit of
general purpose local government.''
SR with an amendment to change ``private organization'' to
``private entity'' and move to 21st Century definitions; and
strike the ``and'' after ``community-based organization,''
16. House bill requires peer review for local applications,
while the Senate amendment authorizes 3% of a State's
allocation for peer review, among other activities--see
Senate amendment sec. 1607(b)(1).
SR
17. House bill requires equitable geographical
distribution.
Senate amendment requires urban/rural equitable
distribution--see Senate bill sec. 1606(5)(B).
SR with an amendment to add at end ``including urban and
rural communities''.
18. House bill provides for awards of 3-5 years.
Senate amendment provides for awards of up to 4 years--see
Senate sec. 1601(5)(A).
SR
19. House bill and Senate amendment contain similar
provisions.
LC
20. House bill gives a priority to programs proposing to
serve students who attend schools identified as needing
improvement under section 1116 and schoolwides under section
1114.
Senate amendment gives an equal priority to title I
schools, community-based organizations, and consortia of the
two.
HR with an amendment to take House language but strike
``proposing to'' and add ``that will''.
HR with an amendment to substitute the following for Senate
language:
(b) Priority.--In making awards under this part, the SEA
shall give priority to applications submitted jointly by LEAs
receiving funds under Title I part A and community based
organizations or other public or private entities.
Special Rule--The SEA shall provide the same priority
described in (b) to an LEA which applies and demonstrates
that it is unable to partner with a community based
organization that is in reasonable geographic proximity and
of sufficient quality to meet the requirements of this part.
21. Senate amendment allows for centers to be located
outside of a school building if accessible and as effective
as school-based program.
House bill is silent on the location of a program.
HR with an amendment to strike Senate language and to
insert the following language:
``(c) Approval of Certain Applications.--The SEA may
approve an application under this subpart for a program to be
located in a facility other than an elementary school or a
secondary school, only if the program will be at least as
available and accessible to the students to be served as if
the program were located in the school.''
22. House bill contains no similar provision.
HR with an amendment to move to section 5124(c) of the
House bill, and substitute the following language:
``Programs that provide after-school activities for LEP
students that emphasize language skills and academic
achievement.''
Report Language:
The language expands the authorized activities to include
those projects with emphasis on language skills and academic
achievement programs for limited English proficient students.
Such activities may include activities to successfully
negotiate the classroom and school culture and environments
that may be unfamiliar to LEP children and their families,
such as standardized tests; the roles of teachers, classroom
aides, and school administrators; student conduct codes; and
after-school sports, music, and clubs.
23. Senate amendment contains no similar provision.
SR with amendment to add at end of (1) ``or may not come
from Federal or State sources''.
24. Senate amendment contains no similar provision.
SR with an amendment to strike ``extended learning
opportunities'' and add ``opportunities for academic
enrichment'' in (a)(1)(B) and (a)(2) with LC to make
conforming amendments to this term.
Insert in (a)(1)(A) ``(including summer school programs)''
following ``after school programs and activities''.
25. House bill requires that activities provide for
extended learning and academic reinforcement.
HR
26. Senate amendment contains no similar provision, but see
Senate amendment sec. 1602 for similar list of activities.
SR with an amendment to insert following language:
``(LOCAL ACTIVITIES) SECTION 5124
``(c) Authorized Activities.--Each eligible entity that
receives a subgrant under this

[[Page H10022]]

part may use such funds to carry out a broad array of
activities, such as--
``(1) before and after school activities (including summer
school programs) that advance student achievement,
including--
``(A) remedial education activities and academic enrichment
learning programs, including providing additional assistance
to students in order to allow them to improve their academic
achievement;
``(B) math and science education activities;
``(C) arts and music education activities;
``(D) entrepreneurial education programs;
``(E) tutoring services (including those provided by senior
citizen volunteers) and mentoring programs;
``(F) recreational activities;
``(G) telecommunications and technology education programs;
``(H) expanded library service hours;
``(I) programs that promote parental involvement and family
literacy; and
``(J) programs that provide assistance to students who have
been truant, suspended, or expelled to allow them to improve
their academic achievement; and
``(K) drug and violence prevention programs, counseling
programs, and character education programs; and
``(2) establishing or enhancing programs or initiatives
that improve academic achievement.''
27. Similar definitions aligned:
House bill assists students, while the Senate amendment
assists students and families of such students.
See House bill section 5122(a)(1).
HR with an amendment.
HR on ``(2) Covered Program''.
SR on ``(4) State''.
Insert the following language:
Definition of Community Learning Center:
For the purpose of this part, a `community learning center'
is an entity that assists students to meet state and local
academic achievement standards in core academic subjects,
such as reading and mathematics, by providing them with
opportunities for academic enrichment activities and a broad
array of other activities (such as drug and violence
prevention, counseling, art, music, recreation, technology,
and character education programs) during non-school hours or
periods when school is not in session (such as before and
after school or during summer recess) that reinforce and
complement the regular academic programs of the schools
attended by the students served; and
offers families of students served in such center
opportunities for literacy and related educational
development.
28. House bill authorizes $900 million for fy2002 and such
sums for 4 following years--see House bill sec. 5003.
Senate amendment authorizes $1.5 billion for fy 2002 and
such sums for following 6 years.
HR to strike and insert the following authorizations--FY02-
$1.25 billion, FY03-$1.5 billion, FY04-$1.75 billion; FY05-$2
billion, FY06-$2.25 billion, FY07-$2.5 billion
29. House bill contains no similar provisions.
SR

Title V, Part B--Enhancing Education Through Technology

(New Title II, Part D)

1. The House bill has 8 purposes and no goal. The Senate
amendment has 1 purpose and 2 goals.
HR/SR with an amendment to insert the following language:
Combination of House (1) and Senate (a):
Purposes:
``To provide assistance to States and localities for the
implementation and support of a comprehensive system that
effectively uses technology in elementary and secondary
schools to improve student academic achievement.''
Maintain House (2)-(8)
Goals:
``The primary goal of this part is to improve student
academic achievement through the use of technology in
elementary and secondary schools. The further goals of this
part are to assist every student in crossing the digital
divide by ensuring that every child is technologically
literate by the time the child finishes the 8th grade,
regardless of the child's race, ethnicity, gender, income,
geography, or disability and to encourage the effective
integration of technology resources and systems with teacher
training and curriculum development to establish research-
based methods that can be widely implemented into best
practices by State and local educational agencies.''
2. The House bill authorizes the State Technology grant
program for 5 years. The Senate amendment authorizes it for 7
years.
LC
3. The House bill includes $24.5 million for the Ready To
Learn, Ready To Teach program in this section. The Senate
amendment includes $50 million for a Ready to Learn program
in section 11209 and $45 million for a Ready To Teach program
in section 11258.
HR/SR with an amendment to strike all language. (See notes
78-82).
4. The House bill provides that not more than 5 percent may
be made available for activities of the Secretary under
subpart 2. The Senate amendment provides that not more than
.5 percent of the funds appropriated under subsection (a) may
be used for the activities of the Secretary under section
2311.
SR with an amendment to strike 5% and insert 2%.
5. The House bill reserves $15 million out of national
activities for a national technology study, but allows for
other uses of funds out of national activities. The Senate
amendment requires all funds under section 2311 to be used
for an independent longitudinal study of effective uses of
technology.
SR (LC to draft legislative language)
Policy: No more than 15 million over the course of
authorization.
6. The Senate amendment limits recipients to using not more
than 5 percent of the funds made available under this part
for administrative costs or technical assistance. The House
bill allows States to use up to 5 percent of their allocation
for State activities under section 5215(b), of which only 40
percent may be for administrative costs.
HR with an amendment to insert ``5% total, up to 3%
administration''.
7. The House bill and Senate amendment have completely
different definitions.
SR with an amendment to move House (1) to General
Provisions;
Strike ``scientifically-based research'' (3)(A) and insert
``a review of relevant research'';
At end of (4)(A) insert ``and'' and strike ``and'' in
(4)(B) and insert ``or''.
LC--ensure that language is drafted so that the LEA is the
fiscal agent of an eligible local partnership.
8. Also, see notes (32) and (43) in Title 8 for the general
definitions of a ``public telecommunications entity'' and
``technology.''
SR--(see note 7).
9. The House bill has a federal to state formula based 50
percent on Title I and 50 percent on student age population.
The Senate amendment has a federal to state formula based 100
percent on Title I.
HR
10. The House bill reserves \1/2\ of 1 percent of funds for
the Bureau of Indian Affairs and outlying areas. The Senate
amendment reserves 0.75 percent for the Bureau of Indian
Affairs and remains silent on outlying areas. However, the
Senate amendment includes ``outlying areas'' in its
definition of a ``State'' in section. 3 Definitions.
SR with an amendment to allocate BIA .75 percent
11. The Senate amendment allows continuation grants for
sections 3136 and 3122. Under section 5212, the House bill
allows two-year (or the duration of the original grant period
if shorter) continuation grants for section 3132 (a)(2).
HR with an amendment to strike reference to section 3122.
12. The House bill and Senate amendment have similar
reallotment of unused funds provisions.
SR
13. The Senate amendment prohibits a State whose minimum is
below \1/2\ of 1 percent to receive a grant. The House bill
prohibits a State grant to be less than \1/2\ of 1 percent.
SR with an amendment to allocate BIA .75 percent
14. The Senate amendment, but not the House bill, requires
the Secretary to give priority when awarding grants to SEAs
whose applications outline a strategy to carry out part E.
SR
15. The House bill requires the States to send out 60
percent of the funds to the LEAs based on Title I and to
compete the remaining 40 percent. The Senate amendment
requires the States to compete 100 percent of funds.
SR with an amendment to strike ``60'' in Sec. 5212
(a)(2)(A) and insert ``50''; and strike ``40'' in Sec.
5212(a)(2)(B) and insert ``50''; insert the following Special
Rule:
``(x)(1) Special Rule.--In awarding a grant under section
(competitive pot) the State educational agency shall--
(A) determine which local educational agencies received an
allocation under section (formula pot) that is not of
sufficient size so as to allow for an effective and
sufficient investment consistent with the purpose of this
part;
(B) give a priority to applications which received the
amount described in subparagraph (A); and
(C) determine the minimum amount for awards under section
(competitive pot) to ensure grants are of sufficient size so
as to be effective.
(2) Insufficient amount.--The State educational agency
shall determine the sufficiency of amounts described in
paragraph (1)(A) by taking into consideration the amount
received by local educational agencies under section (formula
pot) and whether such amount is of sufficient size so as to
allow for an effective and sufficient investment consistent
with the purpose of this part.''
16. The Senate amendment includes Sufficiency, Priority,
Distribution, and Technical Assistance language under this
section. The House bill includes similar ``Sufficiency'' and
``Technical Assistance'' language in section 5213 (8) and
(9). The House bill has no Priority language under this
section but places some emphasis on high-need LEAs in section
5213(b)(3). The House bill has no Distribution language.
HR with an amendment to strike (C).
17. The House bill includes Continuation of Award language
under this section.
HR
18. Although similar in some instances, the House bill and
Senate amendment have different State Application
requirements.
HR/SR with an amendment to:
Maintain House (a);
Combine House (b) with Senate (1-8);
Insert the following language for notes 18-28:

[[Page H10023]]

State Applications
``Each State application submitted under this section shall
include the following:
``(1) an outline of the State's long-term strategies for
improving student academic achievement including technology
literacy, through the effective use of technology in
classrooms throughout the State, including through improving
the capacity of teachers to effectively integrate technology
into the curricula and instruction;
``(2) a description of the State's goals for using advanced
technology to improve student achievement aligned to
challenging State academic standards and student academic
achievement standards;
``(3) a description of how the State will take steps to
ensure that all students and teachers in the State,
particularly those residing in or teaching in districts
served by high-need local educational agencies, have
increased access to technology;
``(4) a description of the process and accountability
measures that the State would use to evaluate the
effectiveness of the integration of technology;
``(5) a description of how the State would encourage the
development and utilization of innovative strategies for the
delivery of specialized or rigorous curricula through the use
of technology and distance learning technologies,
particularly for those areas of the State that would not
otherwise have access to such courses and curricula due to
geographical isolation or insufficient resources;
``(6) an assurance that financial assistance provided under
this subpart shall supplement, and not supplant, State and
local funds;
``(7) a description of how the plan incorporates teacher
education, professional development and curricular
development, and how the State would work to ensure that
teachers and principals in a State receiving funds under this
part are technologically literate;
``(8) a description of how the State educational agency
would provide technical assistance to applicants, especially
those with the highest number or percentage of children in
poverty or with the greatest need for technical assistance
and (its) capacity for providing such assistance;
``(9) a description of technology resources and systems for
the purpose of establishing best practices that can be widely
implemented by State and local educational agencies;
``(10) a description of long-term strategies for financing
technology to ensure that all students, teachers, and
classrooms would have access to technology;
``(11) a description of strategies for using technology to
increase parental involvement;
``(12) a description of how the SEA would ensure that each
grant awarded using funds described under section
5212(a)(2)(B) is of sufficient duration, and of sufficient
size, scope, and quality, to carry out the purpose of this
part effectively;
``(13) a description of how the State will ensure ongoing
integration of technology into instructional strategies and
school curricula in all schools in the State, so that
technology will be fully integrated into those schools by
December 31, 2006; and
``(14) a description of how the local educational agency
will provide incentives to teachers who are technologically
literate to encourage such teachers to remain in rural and
urban areas, if applicable.
``(15) a description of how public and private entities
would participate in the implementation and support of the
plan.''
19. The House bill and Senate amendment have similar
language regarding long-term strategic plans.
HR/SR--See note 18.
20. The House bill and Senate amendment have similar
language regarding the use of technology to improve student
academic achievement and the teachers' ability to incorporate
technology into the curricula and instruction.
HR/SR--See note 18.
21. The Senate amendment has duplicative provisions
regarding teacher training, curricular development and use of
technology resources and systems. See provisions (2) and (8).
The House bill has no similar provisions.
HR/SR--See note 18.
22. The Senate amendment includes a provision regarding
parental involvement. The House bill mentions it as an
allowable State activity in section 5215(a)(3)(B)(i).
HR/SR--See note 18.
23. The Senate amendment requires States to develop a
technology financing strategy to provide access to all
students, teachers, and classrooms. The House bill requires
States to describe how they will ensure increased access for
all students and teachers particularly in high-need LEAs. The
House bill also has language in section 5215(a)(2) on
creating public-private partnerships to help high-need
districts acquire technology.
HR/SR--See note 18.
24. The Senate amendment requires participation by private
school teachers and students. The House bill has similar
participation requirements in the General Provisions (title
8). See note 97.
HR/SR--See note 18.
25. The House bill and Senate amendment have similar
supplement not supplant language.
HR/SR--See note 18.
26. The Senate amendment, but not the House bill, gives the
Secretary the option to require other information on how
States will provide assistance to LEAs that have the highest
numbers or percentages of children and demonstrate the
greatest need for technology, in order to improve student
academic achievement.
HR/SR--See note 18.
27. The House bill has more specific language than the
Senate amendment on the integration of technology, including
a goal of December 31, 2006, accountability for such
integration and its impact on student academic achievement.
HR/SR--See note 18.
28. The House bill, but not the Senate amendment, requires
the States to describe how they will encourage distance
learning and the delivery of specialized and rigorous
academic courses, particularly for those areas that would not
otherwise have access to such courses and curricula due to
geographic isolation or lack of resources.
HR/SR--See note 18.
28. The House bill, but not the Senate amendment, has a
goal of teachers and principals being computer-literate and
proficient (as determined by the State) by December 31, 2006.
HR/SR--See note 18.
29. The House bill, but not the Senate amendment, includes
Deemed Approval, Disapproval and Dissemination of Information
on State Applications language.
SR with amendment (this agreement would be based on the
agreement to have one policy throughout the bill on this
issue and is what we agreed to in 21st Century Community
Learning Centers Note #11) to strike House language and to
insert language to read as follows:
``(b) General Approval.--A State educational agency's
application submitted pursuant to subsection (a) shall be
deemed to be approved by the Secretary unless the Secretary
makes a written determination, prior to the expiration of the
120 day period beginning on the date that the Secretary
receives the application, that the application is in
violation of this part.
(c) Disapproval.--The Secretary shall not finally
disapprove an application, except after giving the State
educational agency notice and opportunity for a hearing.
(d) Special Rule.--If the Secretary finds that the
application is not in compliance, in whole or in part, with
the provisions of this part, the Secretary shall:
(1) implement the procedures described in subsection (c);
and
(2) notify the State educational agency of the findings of
non-compliance where such notification shall--
(A) cite the specific provisions in the application that
are not in compliance; and
(B) request additional information, only as to those
noncompliant provisions, needed to make the application
compliant.
(e) If the State educational agency does not respond to the
notification described in subsection (d)(2) within 45 days,
such application is not approved.
(f) If the State educational agency does respond to the
Secretary's notification described in subsection (d)(2)
within 45 days with the requested information necessary to
make the application compliant, the Secretary shall approve
or disapprove such application not later than 45 days
following its resubmission or the end of the 120 day period
described in subsection (b), whichever is later.''
30. Although similar in many instances, the House bill and
Senate amendment have different application requirements.
HR/SR with an amendment to insert the following language
for notes 30-48: And insert at the very end of the Technology
section the Internet Filtering language verbatim from the FY
01 Omnibus Appropriations bill.

``Local Application

``Each local application described in this section shall
include the following:
``(1) A description of how the applicant will use Federal
funds provided under this subpart to improve the academic
achievement, including technology literacy, of all students
and to improve the capacity of all teachers to provide
instruction through the use of technology.
``(2) A description of the applicant's specific goals for
using advanced technology to improve student achievement
aligned to challenging State academic content and student
academic achievement standards.
``(3) A description of how the applicant will take steps to
ensure that all students and teachers in schools served by
the local educational agency have increased access to
educational technology, including how it would use funds
under this subpart, such as in combination with other funds,
to help ensure that students in high poverty and high needs
schools, or schools identified for improvement under section
1116, have access to technology and teachers are prepared to
integrate technology effectively into instruction.
``(4) A description of how the applicant will--
``(A) promote teaching strategies and curricula, based on a
review of relevant research, which effectively integrate
technology into instruction, leading to improvements in
student academic achievement as measured by challenging State
academic content and student academic achievement standards;
and
``(B) provide ongoing, sustained professional development
for teachers, principals, administrators, and school library
media personnel served by the local educational agency to
further the effective use of technology in the classroom or
library media

[[Page H10024]]

center, and if applicable include a list of those entities
that will partner with the local educational agency in
providing ongoing sustained professional development;
``(5) A description of the type and costs of technologies
to be acquired, including services, software, and digital
curricula, including specific provisions for interoperability
among components of such technologies.
``(6) A description of how the local educational agency
will coordinate the technology provided pursuant to this part
with other grant funds available for technology from other
Federal, State, and local sources.
``(7) A description of how the applicant will integrate
technology (including software and other electronically
delivered learning materials) across the curriculum and a
time line for such integration.
``(8) A description of how the applicant will encourage the
development and utilization of innovative strategies for the
delivery of specialized or rigorous academic courses and
curricula through the use of technology and distance
learning, particularly for those areas that would not
otherwise have access to such courses and curricula due to
geographical isolation or insufficient resources.
``(9) A description of how the local educational agency
will ensure the effective use of technology to promote
parental involvement and increase communication with parents,
including a description of how parents will be informed of
the use of technologies so that the parents are able to
reinforce at home the instruction their child receives at
school.
``(10) A description of how programs will be developed in
collaboration with existing adult literacy service providers
to maximize the use of such technologies.
``(11) A description of the accountability measures and
process the applicant will use for the evaluation of the
extent to which funds provided under this subpart were
effective in integrating technology into school curriculum,
increasing the ability of teachers to teach, and enabling
students to meet challenging State academic content and
student academic achievement standards.
``(12) A description of the supporting resources, such as
services, software, other electronically delivered learning
materials, and print resources, that will be acquired to
ensure successful and effective uses of technologies.
31. The House bill and Senate amendment require an
application that is consistent with the objectives found in
the state-wide plan.
HR/SR--See note 30.
32. The House bill and Senate amendment require an
explanation of how technology will improve student academic
achievement and classroom instruction. The Senate amendment
also includes improving technology literacy to that
requirement.
HR/SR--See note 30.
33. The Senate amendment requires grantees to have reviewed
relevant research. The House bill requires ``scientifically-
based research'' in several provisions.
HR/SR--See note 30.
34. The House bill and Senate amendment require information
about how technology will be integrated into the curriculum.
However, the House bill requires a timeline and attention to
emerging technologies.
HR/SR--See note 30.
35. The Senate amendment requires technology to improve
parental involvement and communication. The House bill has
parental involvement language in sections 5215(a)(3)(B)(i)
and 5216(a)(2)(i).
HR/SR--See note 30.
36. The Senate amendment, but not the House bill, requires
parents to be informed of technology uses so it can be
reinforced at home.
HR/SR--See note 30.
40. The Senate amendment requires information on what type
of technology is acquired and how it will be interoperable.
The House bill only requires interoperability with previous
title III technology funds.
HR/SR--See note 30.
41. The House bill and Senate amendment focus on
professional development. However, the House bill focuses on
teachers and principals, while the Senate amendment focuses
on teachers, administrators, and library staff. The Senate
amendment also requires a list of partner entities that
provide professional development.
HR/SR--See note 30.
42. The Senate amendments, but not the House bill requires
a description of the projected cost of technologies to be
acquired and related expenses needed to implement the plan.
HR/SR--See note 30.
43. The House bill and Senate amendment require
coordination with other Federal, State and local funds. The
House bill specifically references titles II, IV, IDEA, and
Vocational Education.
HR/SR--See note 30.
44. The House bill and Senate amendment somewhat similar
language requiring an evaluation of how technology was
integrated into the curriculum and its impact on teaching and
students meeting State standards. The Senate amendment has
duplicative evaluation in section 2308(a).
HR/SR--See note 30.
45. The Senate amendment requires participation by private
school teachers and students. The House bill has similar
participation requirements in the General Provisions (title
8). See note 97.
HR/SR--See note 30.
46. The House bill, but not the Senate amendment, requires
applicants to take steps to ensure that all student and
teachers, particularly those in high-poverty and high-need
schools, have increased access to technology.
HR/SR--See note 30.
47. The House bill, but not the Senate amendment, requires
the local applicants to describe how they will encourage
distance learning and the delivery of specialized and
rigorous academic courses, particularly for those areas that
would not otherwise have access to such courses and curricula
due to geographic isolation or lack of resources.
HR/SR--See note 30.
48. The House bill, but not the Senate amendment, has a
second requirement for consistency with State-wide technology
priorities and requires integration with previous technology
funds.
HR/SR--See note 30.
49. The Senate amendment, but not the House bill, includes
language on the Formation of Consortia and Coordination of
Application Requirements.
SR with an amendment to add the following at the end of
Sec. 5212. Use of Allotment by State . . .
``Special Rule: A local educational agency for any fiscal
year may apply for financial assistance as part of a
consortium with other local educational agencies,
institutions of higher education, educational service
agencies, libraries, or other educational entities
appropriate to provide local programs. The State educational
agency may assist in the formation of consortia among local
educational agencies, institutions of higher education,
educational service agencies, libraries, or other appropriate
educational entities to provide services for the teachers and
students in a local educational agency at the request of such
local educational agency.''
LC--ensure that language is drafted so that the LEA is the
fiscal agent of the consortium.
50. The House bill, but not the Senate amendment, includes
a section on State Activities. See notes (6), (22), (23) and
(35).
SR with an amendment to insert ``or other technologies''
after ``Internet'' in (3)(B)(i); Strike (b).
51. Under this section, the House bill allows States to
help LEAs provide access to technology to all students,
including students with disabilities and limited English
proficiency.
SR
52. Under this section, the House bill allows States to
provide greater access to technology through libraries and
with the support of the private sector. The Senate amendment
requires States to describe how libraries can help increase
access to technology under section 2305(4) and allows
libraries to be part of a consortium with LEAs under section
2307(b). The Senate amendment also retains the Community
Technology Centers as a separate program.
HR with an amendment to strike requirement that States
describe how libraries can help increase access to technology
under section 2305(4).
53. Under this section, the House bill allows States to
collaborate with other States on distance learning.
SR
54. Although similar in substance, the House bill and
Senate amendment have different local uses of funds.
HR/SR with an amendment to insert the following language
for notes 54-67:

``Local Activities

``(a) Professional Development.--A recipient of funds made
available under section 5212(a)(2)(A) shall use not less than
25 percent of such funds to provide ongoing, sustained and
intensive, high-quality professional development, consistent
with section 2033 (as applicable), in the integration of
advanced technologies (including emerging technologies) into
curriculum and in using those technologies to create new
learning environments, such as professional development in
the use of technology to--
``(1) access data and resources to develop curricula and
instructional materials;
``(2) enable teachers--
``(i) to use the Internet and other technology to
communicate with parents, other teachers, principals, and
administrators; and
``(ii) to retrieve Internet-based learning resources; and
``(3) lead to improvements in classroom instruction in the
core academic subject areas, which effectively prepare
students to meet challenging State academic content and
student academic achievement standards, including increasing
student technology literacy.
Waiver.--Subsection (a) does not apply to a recipient of
funds under section 5212(a)(2)(A) that demonstrates, to the
satisfaction of the State educational agency, that such
recipient already provides sustained and intensive, high
quality professional development to all teachers in core
curriculum subjects based on review of relevant research in
the integration of technology (including emerging
technologies) into the curriculum.
``(b) Other Activities.--In addition to the activities
described in subsection (a), a recipient of funds distributed
by a State under section 5212(a)(2)(A) shall use such funds
to carry out other activities consistent with this subpart,
which may include the following:
``(1) The establishment or expansion of initiatives,
particularly those involving public-private partnerships,
designed to increase access to technology for students and
teachers, with special emphasis on the access of high-need
schools to technology.

[[Page H10025]]

``(2) Adapting or expanding existing and new applications
of technology to enable teachers to increase student academic
achievement including technology literacy through the use of
teaching practices that are based on a review of relevant
research and are designed to prepare students to meet
challenging State academic content and student academic
achievement standards, and for developing and utilizing
innovative distance education strategies to deliver rigorous
academic programs to areas who otherwise would not have
access to such courses.
``(3) Acquiring proven and effective curricula that include
integrated technology and are designed to help students
achieve challenging State academic content and student
academic achievement standards.
``(4) Utilizing technology to develop or expand efforts to
connect schools and teachers with parents and students to
promote meaningful parental involvement and foster increased
communication about curriculum, assignments, and assessments
between students, parents, and teachers, and assist parents
to understand the technology being applied in their child's
education so that parents are able to reinforce their child's
learning.
``(5) Preparing one or more teachers in elementary and
secondary schools as technology leaders who are provided with
the means to serve as experts and train other teachers in the
effective use of technology and providing bonus payments to
recognized technology leaders.
``(6) Acquiring, adapting, expanding, implementing,
repairing and maintaining existing and new applications of
technology, to support the school reform effort and improve
student academic achievement, including technology literacy.
``(7) Acquiring connectivity linkages, resources, and
services, including the acquisition of hardware and software
and other electronically delivered learning materials, for
use by teachers, students, academic counselors, and school
library media personnel in the classroom, in academic and
college counseling centers, or in school library media
centers, in order to improve student academic achievement;
``(8) Using technology to collect, manage, and analyze data
to inform and enhance teaching and school improvement
efforts.
``(9) Implementing enhanced performance measurement systems
to determine the effectiveness of education technology
programs funded under this subpart, particularly in
determining the extent to which education technology funded
under this subpart has been successfully integrated into
teaching strategies and school curriculum, has increased the
ability of teachers to teach, and has enabled students to
meet challenging State academic content and student academic
achievement standards.
``(10) Developing, enhancing or implementing information
technology courses.''
55. The House bill requires that local educational agencies
use at least 20 percent of their allocated funds for
professional development predicated on scientifically based
research and linked with professional development under Title
II. The Senate amendment requires that local educational
agencies use at least 30 percent of their allocated funds for
professional development.
HR/SR--See note 54.
56. The House bill has more specific requirements of
professional development funds than the Senate amendment and
allows States to waive the 20 percent requirement for LEAs
that demonstrate that they are doing enough already on
professional development.
HR/SR--See note 54.
57. The House bill's (c)(4) and the Senate amendment's
(a)(8) are identical provisions.
HR/SR--See note 54.
58. The Senate amendment has duplicative provisions in
(a)(3) and (a)(9).
HR/SR--See note 54.
59. The Senate amendment, but not the House bill, has a
requirement for connectivity with wide area networks.
However, the House bill allows funds to be used for acquiring
technology in general.
HR/SR--See note 54.
60. The House bill allows using funds for maintaining
educational technology. The Senate amendment requires using
funds to repair and maintain school technology equipment.
HR/SR--See note 54.
61. The House bill allows using funds for analyzing,
collecting, and managing data for general school reform. The
Senate amendment requires it.
HR/SR--See note 54.
62. The House bill, but not the Senate amendment, allows
using funds for initiatives, particularly for public-private
partnerships, designed to increase access for high-need LEAs.
HR/SR--See note 54.
63. The House bill, but not the Senate amendment, allows
using funds to acquire proven and effective criteria that
included integrated technology.
HR/SR--See note 54.
64. The House bill, but not the Senate amendment, allows
using funds to determine the effectiveness of technology
funded under this subpart.
HR/SR--See note 54.
65. The House bill, but not the Senate amendment, allows
funds to be used to develop teachers as technology leaders to
help train other teachers.
HR/SR--See note 54.
66. The House bill allows using funds to increase access to
technology in high-need LEAs, especially through technology
centers in partnerships with libraries and private sector
support. The Senate amendment retains the Community
Technology Centers.
HR
67. The Senate amendment's allowable uses of funds include
to increase parent and teacher communication and to help
parents under the technology being used, so they can
reinforce it.
HR/SR--See note 54.
68. The House bill and Senate amendment require the
Secretary to conduct a similar longitudinal study. However,
the House bill includes specific provisions relating to the
establishment of a review panel under (a)(1)(C) and reporting
requirements under (a)(1)(D).
SR with an amendment to strike ``the effect of . . .
academic achievement;'' and insert Senate (A) as part of
House (A) and insert Senate (B) as end part of House (A) with
the following changes: strike ``performance'' and insert
``academic achievement'' and strike ``and related 21st
century skills;''
Keep House (C) and (D), but House (D) becomes new (E);
Insert as new (D): ``consult with other interested Federal
departments or agencies, State and local educational
practitioners and policy makers (including teachers,
principals and superintendents) and experts in technology
regarding the study.''
Keep Senate (b)(2).
69. The House bill, but not the Senate amendment, requires
using ``scientifically based research methods and control
groups.''
SR
70. The House bill, but not the Senate amendment, includes
general language pertaining to the funding of national
technology initiatives under (a)(2) and provides for
technical assistance under (a)(3).
SR with an amendment to strike House (a)(2).
71. The Senate amendment includes ``dissemination''
requirements under (b)(2). The House bill includes
``evaluation and dissemination'' requirements under (b)(3).
HR
72. The House bill, but not the Senate amendment, includes
specific ``use of funds'' language under (b).
HR
73. The House bill includes ``requirements for recipients
of funds'' under (b)(2), including evaluation requirements.
The Senate amendment includes similar requirements in section
2308, which applies to LEAs that receive competitive grants
under section 2304(a)(2)(A). However, in section 2308(c) the
Senate amendment includes a specific sanction for the lack of
measurable improvements within 3 years that the House bill
does not.
HR/SR with an amendment to strike all language.
74. The Senate amendment, but not the House bill, includes
a separate Accountability section.
Also see note (73).
SR
75. Under this section, the Senate amendment provides
technical assistance in (d). The House bill requires it under
State Activities. Also see note (6).
SR
76. The Senate amendment, but not the House bill, includes
this National Evaluation of Technology Plans section.
SR with an amendment to put in national evaluation; insert
``particularly in rural areas'' after ``funds'' in (a)(3)--
see note 68.
77. The Senate amendment, but not the House bill, includes
this National Education Technology Plan section.
HR with an amendment to strike all language and insert the
following:

``SEC. 2310. NATIONAL EDUCATION TECHNOLOGY PLAN.

``(a) In General.--Based on the nation's progress and an
assessment by the Secretary of the continuing and future
needs of the nation's schools in effectively using technology
to provide all students the opportunity to achieve
challenging State academic content standards, the Secretary
shall update and publish in a form readily accessible to the
public the national long-range technology plan not later than
12 months after the date of enactment of this Act.
``(b) Content of the Plan.--The plan shall include a
description of the manner in which the Secretary will promote
higher academic achievement through the integration of
advanced technologies, including emerging technologies, into
the curriculum, increased access to technology for teaching
and learning for schools with a high number or percentage of
children from low-income families and the use of technology
to assist in the implementation of State systemic reform
strategies. The plan shall also describe joint activities of
the Department of Education and other federal departments or
agencies that will promote the use of technology in
education.''
Report Language:
The Conferees intend that the National Education Technology
Plan be conducted by the Secretary in consultation with other
federal departments or agencies, State and local education
practitioners, and policymakers, including parents, teachers,
principals, and superintendents, experts in technology and
the applications of technology to education, representatives
of distance learning consortia, representatives of
telecommunications partnerships receiving federal assistance
and providers of technology services and products. In
addition, the plan should describe

[[Page H10026]]

the manner in which the Secretary will work with and promote
the exchange of information among educators, State and local
educational agencies, and appropriate representatives of the
private sector, including the Universal Service
Administrative Company, and other relevant entities on the
effective use of technology in improving teaching, academic
achievement and technology literacy. The bill requires the
Secretary to report on joint activities regarding educational
technology of the Department of Education and other federal
agencies, and the Conferees intend that all relevant federal
agencies be involved. The plan must be published in a form
readily accessible to the public and submitted to the
President and the House Committee on Education and the
Workforce and the Senate Committee on Health, Education,
Labor and Pensions.
78. Although both the House bill and Senate amendment
reauthorize the Ready To Learn program, each does it
differently.
HR/SR with an amendment to strike all language and insert
the following:

``SEC. 11202. READY TO LEARN.

``(a) Program Authorized.--
``(1) In general.--The Secretary is authorized to award
grants to or enter into contracts or cooperative agreements
with eligible entities described in paragraph (3) to--
``(A) develop, produce, and distribute educational and
instructional video programming for preschool and elementary
school children and their parents in order to facilitate
student academic achievement.
``(B) facilitate the development directly, or through
contracts with producers of children and family educational
television programming, of educational programming for
preschool and elementary school children; and accompanying
support materials and services that promote the effective use
of such programming;
``(C) facilitate the development of programming and digital
content especially designed for nationwide distribution over
public television stations' digital broadcasting channels and
the Internet, containing Ready to Learn-based children's
programming and resources for parents and caregivers;
``(D) enable eligible entities to contract with entities
(such as public telecommunications entities) so that programs
developed under this section are disseminated and distributed
to the widest possible audience appropriate to be served by
the programming; and by the most appropriate distribution
technologies; and
``(E) develop and disseminate education and training
materials, including interactive programs and programs
adaptable to distance learning technologies that are designed
to (i) promote school readiness; and (ii) promote the
effective use of materials developed under subparagraphs (B)
and (C) among parents, teachers, Head Start providers, Even
Start providers, providers of family literacy services, child
care providers, early childhood development personnel,
elementary school teachers, public libraries, and after-
school program personnel caring for preschool and elementary
school children.
``(2) Availability.--In making such grants, contracts, or
cooperative agreements under this section, the Secretary
shall ensure that eligible entities make programming widely
available, with support materials as appropriate, to young
children, their parents, child care workers, and Head Start
providers, Even Start providers, and providers of family
literacy services to increase the effective use of such
programming.
``(3) Eligible entities.--To be eligible to receive a grant
under this subsection, an entity shall be a public
telecommunications entity which is able--
``(A) to demonstrate a capacity for the development and
national distribution of educational and instructional
television programming of high quality which is accessible by
a large majority of disadvantaged preschool and elementary
school children;
``(B) to demonstrate--
``(i) a capacity to contract with the producers of
children's television programming for the purpose of
developing educational television programming of high
quality;
``(ii) consistent with the entity's mission and nonprofit
nature, a capacity to negotiate such contracts in a manner
which returns to the entity an appropriate share of any
ancillary income from sales of any program-related products;
and
``(iii) a capacity to localize programming and materials to
meet specific State and local needs and provide educational
outreach at the local level.
``(4) Coordination of Activities.--An entity receiving a
grant, contract, or cooperative agreement from the Secretary
under this section shall work with the Secretary and the
Secretary of Health and Human Services to--
``(A) maximize the utilization of quality educational
programming by preschool and elementary school children, and
make such programming widely available to federally funded
programs serving such populations; and
``(B) coordinate with Federal programs that have major
training components for early childhood development,
including programs under the Head Start Act and Even Start,
and State training activities funded under the Child Care
Development Block Grant Act of 1990, regarding the
availability and utilization of materials developed under
paragraph (1)(E) to enhance parent and child care provider
skills in early childhood development and education.
``(b) Applications.--Each entity desiring a grant,
contract, or cooperative agreement under subsection (a) shall
submit an application to the Secretary at such time, in such
manner, and accompanied by such information as the Secretary
may reasonably require.
(c) Reports and Evaluation.--
``(1) Annual report to secretary.--An eligible entity
receiving funds under this section shall prepare and submit
to the Secretary an annual report which contains such
information as the Secretary may require. At a minimum, the
report shall describe the program activities undertaken with
funds provided under subsection (a), including--
``(A) the programming that has been developed directly or
indirectly by the eligible entity, and the target population
of the programs developed;
``(B) the support and training materials that have been
developed to accompany the programming, and the method by
which such materials are distributed to consumers and users
of the programming;
``(C) the means by which programming developed under this
section has been distributed, including the distance learning
technologies that have been utilized to make programming
available and the geographic distribution achieved through
such technologies; and
``(D) the initiatives undertaken by the eligible entity to
develop public-private partnerships to secure non-Federal
support for the development, distribution, and broadcast of
educational and instructional programming.
``(2) Report to congress.--The Secretary shall prepare and
submit to the relevant committees of Congress a biannual
report which includes--
(A) a summary of activities assisted under subsection (a);
``(B) a description of the education and training materials
made available under subsection (a)(1)(E), the manner in
which outreach has been conducted to inform parents and child
care providers of the availability of such materials, and the
manner in which such materials have been distributed in
accordance with such subsection.
``(d) Administrative Costs.--With respect to the
implementation of this section, eligible entities receiving a
grant, contract, or cooperative agreement from the Secretary
may use not more than 5 percent of the amounts received under
such section for the normal and customary expenses of
administering the grant, contract, or cooperative agreement.
``(e) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
carry out this section, such sums for fiscal year 2002, and
such sums as may be necessary for each of the 5 succeeding
fiscal years.
``(2) Funding rule.--Not less than 60 percent of the
amounts appropriated under subsection (a) for each fiscal
year shall be used to carry out subparagraphs (B), (C), and
(D) of subsection (a)(1).''
79. The House bill combines the Ready To Learn program with
the Telecommunications Demonstration Project for Mathematics
and a new digital content allowable use of funds for a total
authorization level of $24.5 million. The Secretary is only
required to fund the Ready To Learn program. Under the Senate
amendment, the Ready To Learn program and the former
Telecommunications Demonstration Project for Mathematics,
renamed Teacherline, are two separate programs. Ready To
Learn is authorized at $50 million and Teacherline, which
includes digital content, is authorized at $45 million.
HR/SR with an amendment to move Ready to Teach to Subpart 8
of Title V, Part D, amended to read as follows:

``SEC. 11252. READY TO TEACH.

(a) Grants Authorized.--The Secretary is authorized to make
grants to a nonprofit telecommunications entity, or
partnership of such entities, for the purpose of carrying out
a national telecommunications-based program to improve
teaching in core curriculum areas. The program shall be
designed to assist elementary school and secondary school
teachers in preparing all students for achieving challenging
State academic content and student academic achievement
standards in core curriculum areas.
``(b) Programming.--The Secretary is also authorized to
award grants to eligible entities described in section
11255(b) to develop, produce, and distribute innovative
educational and instructional video programming that is
designed for use by kindergarten through grade 12 schools and
based on challenging State academic content and student
academic achievement standards. In making the grants, the
Secretary shall ensure that eligible entities enter into
multiyear content development collaborative arrangements with
State educational agencies, local educational agencies,
institutions of higher education, businesses, or other
agencies and organizations.

``SEC. 11253. APPLICATION REQUIRED.

``(a) In General.--Each nonprofit telecommunications
entity, or partnership of such entities, desiring a grant
under section 11252(a) shall submit an application to the
Secretary. Each such application shall--
``(1) demonstrate that the applicant will use the public
broadcasting infrastructure, the Internet, and school digital
networks, where available, to deliver video and data in an
integrated service to train teachers in the

[[Page H10027]]

use of materials and learning technologies for achieving
challenging State academic content and student academic
achievement standards;
``(2) ensure that the project for which assistance is
sought will be conducted in cooperation with appropriate
State educational agencies, local educational agencies, and
State or local nonprofit public telecommunications entities;
``(3) ensure that a significant portion of the benefits
available for elementary schools and secondary schools from
the project for which assistance is sought will be available
to schools of local educational agencies which have a high
percentage of children counted for the purpose of part A of
title I; and
``(4) contain such additional assurances as the Secretary
may reasonably require.
``(b) Sites.--In approving applications under section
11252(a), the Secretary shall ensure that the program
authorized by section 11252(a) is conducted at elementary
school and secondary school sites across the Nation.
``(c) Application.--Each eligible entity desiring a grant
under section 11252(b) shall submit an application to the
Secretary at such time, in such manner, and accompanied by
such information as the Secretary may reasonably require.

``SEC. 11254. REPORTS AND EVALUATION.

``An eligible entity receiving funds under section 11252(a)
shall prepare and submit to the Secretary an annual report
which contains such information as the Secretary may require.
At a minimum, the report shall describe the program
activities undertaken with funds received under section
11252(a), including--
``(1) the core curriculum areas for which program
activities have been undertaken and the number of teachers
using the program in each core curriculum area; and
``(2) the States in which teachers using the program are
located.

``SEC. 11255. DIGITAL EDUCATIONAL PROGRAMMING.

``(a) Awards.--The Secretary shall award grants under
section 11252(b) to eligible entities to facilitate the
development of educational programming that shall--
``(1) include student assessment tools to give feedback on
student performance;
``(2) include built-in teacher utilization and support
components to ensure that teachers understand and can easily
use the content of the programming with group instruction or
for individual student use;
``(3) be created for, or adaptable to, challenging State
academic content standards and student academic achievement
standards; and
``(4) be capable of distribution through digital
broadcasting and school digital networks.
``(b) Eligible Entities.--To be eligible to receive a grant
under section 11252(b), an entity shall be a local public
telecommunications entity as defined by section 397(12) of
the Communications Act of 1934 that is able to demonstrate a
capacity for the development and distribution of educational
and instructional television programming of high quality.
``(c) Competitive Basis.--Grants under section 11252(b)
shall be awarded on a competitive basis as determined by the
Secretary.
``(d) Duration.--Each grant under section 11252(b) shall be
awarded for a period of 3 years in order to allow time for
the creation of a substantial body of significant content.

``SEC. 11256. MATCHING REQUIREMENT.

``Each eligible entity desiring a grant under section
11252(b) shall contribute to the activities assisted under
section 11252(b) non-Federal matching funds equal to not less
than 100 percent of the amount of the grant. Matching funds
may include funds provided for the transition to digital
broadcasting, as well as in-kind contributions.

``SEC. 11257. ADMINISTRATIVE COSTS.

``With respect to the implementation of section 11252(b),
entities receiving a grant from the Secretary may use not
more than 5 percent of the amounts received under the grant
for the normal and customary expenses of administering the
grant.''
80. The Senate amendment, but not the House bill, includes
extensive findings for both programs.
SR
81. The House bill, but not the Senate amendment, further
streamlines language contained in current law.
HR/SR (see note 78-79).
82. The House bill, but not the Senate amendment, requires
eligible applicants to demonstrate, consistent with the
entity's mission and nonprofit nature, a capacity to
negotiate contracts in a manner, which returns to the entity
an appropriate share of any ancillary income from sales of
any program-related products.
SR
83. The Senate amendment, but not the House bill, restores
the Community Technology Centers program. However, section 3
in the House bill includes one-year continuation of grants
language.
HR with an amendment to move redrafted provision to Subpart
11 of Title V, Part D (FIE).
84. The Senate amendment, but not the House bill, restores
the Preparing Tomorrow's Teachers To Use Technology program.
However, section 3 in the House bill includes one-year
continuation of grants language.
HR with an amendment to re-designate the ``Preparing
Tomorrow's Teachers to Use Technology'' program to Title II
of the Higher Education Act and authorize such sums as may be
necessary for FY 2002 and 2003. (Need to add continuation
language for current grantees.)
85. Under section 2242, only (c) Technology Preparation
applies to the technology portion of this bill.
LC
86. The Senate amendment, but not the House bill, restores
the Star Schools Program. However, section 3 in the House
bill includes one-year continuation of grants language.
HR with an agreement to move redrafted provision to Subpart
7 of Title V, Part D (FIE).
87. The Senate amendment, but not the House bill, includes
a new Rural Technology Education Academies program.
SR with an agreement to insert the following Report
Language:
Report Language:
The Conferees recognize that schools in rural areas and
small towns often require additional assistance to implement
an advanced technology curriculum. Due to the isolated nature
of many small, rural towns, technology can offer rural
students academic opportunities that they otherwise would not
have. Ensuring that rural students are technologically
literate is vitally important because it improves academic
performance and helps students participate in the highly
competitive economy of the 21st Century.
88. The House bill, but not the Senate amendment,
redesignated the Internet filtering language in title III of
current law to title V, Part B.
LC
89. The Senate amendment, but not the House bill, includes
this provision of incentives language.
SR (See also Note 65)

Title V, Part C--Character Education

(New Title V, Part D, Subpart 3)

1. House bill authorizes ``Character Education'' under
Title V, Part C. Senate amendment authorizes ``Partnerships
in Character Education'' as Subpart 5 of Part F of Title XVI.
HR/SR with an agreement to move to Subpart 3 of Title V,
Part D (FIE).
2. Senate amendment, but not House bill, contains a short
title.
SR
3. House bill refers to ``Character Education Program'' and
Senate amendment refers to ``Partnerships in Character
Education Program.''
HR
4. House bill authorizes the Secretary to make grants to
State educational agencies, local educational agencies, or
consortia of such agencies for the design and implementation
of character education programs. Senate amendment authorizes
the Secretary to award grants to eligible entities for the
design and implementation of character education programs.
HR
5. Senate amendment contains no similar provision.
SR with an amendment to strike ``for the core academic
subjects'' in (A).
6. Senate amendment contains no similar provision.
SR
7. House bill authorizes 5-year grants. Senate amendment
authorizes 3-year grants.
SR
8. Senate amendment, but not House bill, sets minimum grant
amount for eligible entities at $500,000.
HR
9. Senate amendment, but not House bill, defines eligible
entity.
HR with an amendment to strike ``another'' and insert ``one
or more'' and strike ``organization and entity'' and insert
``organizations or entities'' in (D).
10. House bill and Senate amendment allow each agency or
consortium receiving assistance under this section to
contract with outside sources, including institutions of
higher education and private and nonprofit organizations, for
the purposes of evaluating the program; and measuring the
success of such program in fostering the elements of
character.
SR
11. House bill, but not Senate amendment, provides that
outside sources may include religious organizations and adds
language to the evaluation for measuring the integration of
such program into the curriculum and teaching methods of
schools.
SR with an amendment to strike ``(including religious
organizations)'' in House (1); LC strike ``agency or
consortium'' and insert ``eligible entity'' throughout this
Part.
12. House bill, but not Senate amendment, allows each
agency or consortium receiving assistance under this section
to contract with outside sources, including institutions of
higher education and private and nonprofit organizations
(including religious organizations), for assistance in
developing secular curricula, materials, teacher training,
and other activities related to character education; and
integrating secular character education into the curriculum
and teaching methods of schools where the program is carried
out.
SR with an amendment to strike ``(including religious
organizations)'' in House (2).
13. Similar provision.
SR with an agreement to add the following report language:
The Conferees note that when selecting elements of
character the applicants may use a

[[Page H10028]]

scientifically based coherent, established classification
system with standardized definitions whose elements are
grounded in reliable and valid measures, and whose elements
contribute to human thriving, productivity, well-being, and
social harmony.
14. Similar provision.
LC
15. House bill, but not Senate amendment, requires the
agency or consortium receiving assistance to consider the
views of the parents or guardians of the students to be
taught under the program.
SR with an amendment to strike ``or guardians'' after
``parents'' and insert ``and the students,'' after ``of the
students''.
16. Identical provision.
LC
17. Identical provision.
LC
18. Identical provision.
LC
19. Similar provision.
HR
20. Identical provision.
LC
21. Similar provision.
HR
22. House bill, but not Senate amendment, includes
``giving'' as an example element of character.
SR
23. House bill contains no similar provision.
HR with an amendment to strike ``10'' and insert ``3'' in
(1).
24. Similar provision.
LC
25. Under House bill, but not Senate amendment, the
application must demonstrate that the program for which the
assistance is sought has clear goals and objectives that are
based on scientifically based research.
SR
26. Under Senate amendment, but not the House bill, the
application must contain a description of any partnerships or
collaborative efforts among the organizations and entities of
the eligible entity.
HR
27. Similar provision.
SR
28. Senate amendment, but not House bill, requires
applications to describe how parents, students, and other
members of the community will be involved in the design and
implementation of the program and how the eligible entity
will work with the larger community to increase the reach and
promise of the program.
HR
29. Senate amendment, but not House bill, requires
applications to describe the curriculum and instructional
practices that will be used or developed.
HR
30. Senate amendment, but not House bill, requires
applications to describe the methods of teacher training and
parent education that will be used or developed.
HR
31. House bill requires applications to describe how the
program will be linked to broader educational reforms that
are being instituted by the applicant or its partners; and
applicable State academic content standards for student
achievement. Senate amendment requires applications to
describe how the program will be linked to other efforts in
the schools to improve student performance.
SR with an amendment to strike ``applicable'' in (ii).
32. House bill contains no similar provision.
HR with an amendment to strike ``goals and'' in (E)(i).
33. House bill provides that in selecting agencies or
consortia to receive assistance under this section from among
the applicants for such assistance, the Secretary shall use a
peer review process that includes the participation of
experts in the field of character education. Senate amendment
provides that the Secretary shall select, through peer
review, eligible entities (see (f)(1) below).
SR with an amendment to insert ``and development.'' after
``character education'' in (A).
34. Similar provision.
SR
35. Senate amendment, but not House bill, requires the
Secretary to consider the extent to which the program fosters
character in students and the potential for improved student
performance.
HR
36. Similar provision.
HR
37. Senate amendment, but not House bill, requires the
Secretary to consider the quality of the plan for measuring
and assessing success.
HR
38. Similar provision.
LC strike ``goals'' and insert ``objectives''.
39. House bill contains no similar provision.
HR
40. House bill requires the Secretary to ensure, to the
extent practicable, that the programs assisted under this
section are equitably distributed among the geographic
regions of the United States, and among urban, suburban, and
rural areas. Senate amendment requires the Secretary to
ensure, to the extent practicable, that programs serve
different areas of the Nation, including urban, suburban, and
rural areas; and serve schools that serve minorities, Native
Americans, students of limited-English proficiency,
disadvantaged students, and students with disabilities.
SR
41. House bill requires each agency or consortium to submit
to the Secretary, not later than 5 years after the initial
grant, a report containing an evaluation of each program
assisted. The report must also evaluate the degree to which
each program attained the goals and objectives for the
program. Senate amendment requires each eligible entity
receiving a grant to submit to the Secretary a comprehensive
evaluation of the program, including the impact on students,
teachers, administrators, parents, and others by the second
year of the program and not later than 1 year after
completion of the grant period.
HR with an amendment to insert ``end of the'' before
``second year'' in (A)(i).
42. Senate amendment contains no similar provision.
HR
43. House bill contains no similar provision.
HR with an amendment to insert the following language:
``(2) National research, dissemination, and evaluation--
``(A) In general.--The Secretary is authorized to make
grants to, or enter into contracts or cooperative agreements
with, State or local educational agencies, institutions of
higher education, tribal organizations, or other public or
private agencies or organizations to carry out research,
development, dissemination, technical assistance, and
evaluation activities that support or inform State and local
character education programs. The Secretary shall reserve not
more than 5 percent of the funds made available under this
section to carry out this paragraph.
``(B) Uses.--Funds made available under subparagraph (A)
may be used--
``(i) to conduct research and development activities that
focus on matters such as--

``(I) the extent to which schools are undertaking character
education initiatives;
``(II) the effectiveness of instructional models for all
students, including students with physical and mental
disabilities;
``(III) materials and curricula that can be used by
programs in character education;
``(IV) models of professional development in character
education;
``(V) the development of measures of effectiveness for
character education programs which may include the factors
described in paragraph (3); and
``(VI) the effectiveness of State and local programs
receiving funds under this section.

``(ii) to provide technical assistance to State and local
programs, particularly on matters of program evaluation;
``(iii) to conduct evaluations of State and local programs
receiving funding under this section which may be conducted
by a national clearinghouse under (B)(iv); and
``(iv) to compile and disseminate, through a national
clearinghouse or other approaches--

``(I) information on model character education programs;
``(II) information about quality character education
materials and curricula;
``(III) research findings in the area of character
education and character development; and
``(IV) any other information that will be useful to
character education program participants, educators, parents,
administrators, and others nationwide.

``(C) Priority.--In carrying out national activities under
this paragraph, the Secretary shall seek to enter into
partnerships with national, nonprofit character education
organizations and institutions of higher education with
expertise and successful experience in implementing character
education programs that have had an effective impact on
schools, students (including students with disabilities), and
teachers or character education program evaluation and
research. In carrying out national activities under (B)(iv),
the Secretary shall seek to enter into partnership with a
national, nonprofit character education organization that
will disseminate information about the range of model
character education programs, materials, curricula, and other
information useful to educators, parents, administrators, and
others nationwide.
``(D) Report.--Each agency, entity, or organization that
receives a grant under this paragraph shall submit an annual
report to the Secretary that--
``(i) describes the progress of the grantee in carrying out
research, development, dissemination, evaluation, and
technical assistance under this paragraph;
``(ii) identifies unmet and future information needs in the
field of character education; and
``(iii) if appropriate, describes the progress of the
grantee in carrying out the requirements of (B)(iv),
including a listing of--

``(I) the number of requests for information received by
the grantee in the course of carrying out such requirements;
``(II) the types of organizations making such requests; and
``(III) the types of information requested.

``(3) Factors.--Factors which may be considered in
evaluating the success of programs funded under this section
may include--
``(A) discipline issues;
``(B) student performance;
``(C) participation in extracurricular activities;
``(D) parental and community involvement;
``(E) faculty and administration involvement;

[[Page H10029]]

``(F) student and staff morale; and
``(G) overall improvements in school climate for all
students, including students with physical and mental
disabilities.''
44. Senate amendment contains no similar provision.
SR with an amendment to insert the following language:
``(g) Permissive Match.--
``(1) In general.--The Secretary may require eligible
entities to match funds awarded under this subpart with non-
Federal funds, except that such match may not exceed the
amount of the grant award.
``(2) Sliding scale.--The amount of a match under paragraph
(1) shall be established based on a sliding fee scale that
takes into account--
``(A) the poverty of the population to be targeted by the
eligible entity; and
``(B) the ability of the eligible entity to obtain such
matching funds.
``(3) In-kind contributions.--The Secretary shall permit
eligible entities to match funds in whole or in part in the
form of in-kind contributions.
``(4) Consideration.--Notwithstanding this subsection, the
Secretary shall not consider an eligible entity's ability to
match funds when determining which eligible entities will
receive awards under this subpart.''
45. House bill authorizes $50 million for FY 02 and such
sums as may be necessary for each of FY 03 through FY 06.
Senate amendment authorizes such sums as may be necessary for
Part F for FY 02 and for each of the 6 succeeding fiscal
years (Character Education is Subpart 5 of Part F).
HR/SR (no authorization because moved to FIE).

Title V, Part D--Counseling

(New Title V, Part D, subpart 2)

1. House bill contains findings. Senate amendment contains
no similar provision.
HR
2. House bill and Senate amendment contain similar
provisions.
SR
3. House bill and Senate amendment contain similar
provisions. House bill contains a priority for applicants
that provide information on their ratios of students to
service providers.
SR
4. House bill and Senate amendment contain similar
provisions.
LC
5. House bill and Senate amendment contain similar
provisions.
LC
6. House bill and Senate amendment contain similar
provisions.
LC
7. Senate bill does not contain a similar provision.
SR
8. House bill does not contain an application requirement.
HR with an amendment in (b)(2)(A) to strike ``personal,
social . . . development'' and insert ``counseling''; to
strike (b)(2)(D) and insert ``describe how the local
educational agency will involve community groups, social
service agencies, and other public and private entities in
collaborative efforts to enhance the program and promote
school-linked services integration''; to strike (b)(2)(E); in
(b)(2)(H) strike all after ``to supplement'' and insert ``and
not supplant other Federal, State, or local funds used for
providing school-based counseling and mental health services
to students; and''; to strike (b)(2)(I) and insert ``assure
that the applicant will appoint an advisory board composed of
interested parties, including parents, teachers, school
administrators, counseling services providers under (c)(4),
and community leaders to advise the local educational agency
on the design and implementation of the program''
9. House bill and Senate amendment contain similar
provisions, with those provisions aligned:
House bill mentions ``counseling and educational''
services.
Senate amendment mentions ``personal, social, emotional,
and educational'' services.
House bill includes ``child and adolescent psychiatrists.''
House bill allows services to be provided in settings that
meet the range of needs. Senate amendment provides for
specific settings.
House bill provides for training for teachers to identify
and intervene with students at risk of violent behavior.
Senate amendment includes other pupil services personnel,
teachers, and instructional staff.
House includes child and adolescent psychologists as
providers.
Senate amendment includes institutions of higher education,
business, labor organizations, and ``promotes school-linker
services integration.''
House bill provides for specified ratios of students to
providers. Senate amendment contains no similar provision.
House bill mentions that providers must spend a
``majority'' of their time in activities directly related to
counseling. Senate amendment contains no similar provision.
SR with an amendment:
Insert Senate (c)(1):
In House (4) strike ``and'' before ``child and adolescent
psychiatrists'' and insert ``or other qualified
psychologists'' after ``child and adolescent psychiatrists'';
Strike House (7) and insert ``include in-service training
appropriate to the activities funded under this Act for
teachers, instructional staff, and appropriate school
personnel, including in-service training in appropriate
identification and early intervention techniques by school
counselors, school social workers, school psychologists,
child and adolescent psychiatrists and other qualified
psychologists;
In House (9) after ``program'' insert ``and promote school-
linked services integration''
Report Language:
A comprehensive counseling program addresses the individual
and educational needs of students in a variety of settings in
the school and is well-balanced among classroom group and
small group counseling, individual counseling, and
consultation with parents, teachers, administrators, and
other appropriate school personnel. The program involves
collaborative efforts with community groups, social service
agencies and other public and private entities to enhance the
program and promote school-linked service integration.
10. House bill limits administration expenses to 3%.
Senate amendment limits administration expenses to 5%.
SR with an amendment to strike ``3'' and insert ``4''
11. House bill and Senate amendment contain similar
provisions, with those provisions aligned.
House bill includes a definition of ``child and adolescent
psychiatrist.''
Senate amendment includes a definition of ``supervisor.''
SR with an amendment to insert in (2)(B) ``in school
psychology'' after ``certification''. Insert ``other
qualified psychologist means an individual who has
demonstrated competence in counseling children in a school
setting and who is licensed in psychology by the State in
which the individual works; and practices in the scope of the
individual's education, training, and experience with
children in school settings;
12. House bill requires a report on ratio of student to
providers within one year.
Senate amendment requires a report on progress at the end
of grant.
SR with an amendment to insert ``a report evaluating the
programs assistant pursuant to each grant under this subpart
and'' after ``publicly available''.
13. House bill contains no similar provision.
SR
14. House bill and Senate amendment contain similar
provisions.
HR/SR with an agreement to move to Subpart 2 of Title V,
Part D (FIE).
15. House bill contains no similar provision.
HR with an amendment to set the trigger at $40 million.

Title V, Part E--Mentoring

(New IV, Part A, within subpart 2)

1. House bill and Senate amendment contain similar
provisions.
SR with an amendment to strike ``an individual'' and insert
``a responsible adult, post-secondary school student, or
secondary school student'' in (2).
2. House bill and Senate amendment contain similar
provisions.
SR with an amendment to strike ``caring individual'' and
insert ``mentor;'' in (1).
3. House bill and Senate amendment contain similar
provisions, but the House bill allows secondary students to
serve as mentors along with adults.
SR with an amendment in (a)(1) to strike ``responsible
adults or students in secondary school'' and insert
``mentors''.
4. House bill and Senate amendment contain similar
provisions.
LC
5. House bill and Senate amendment contain similar
provisions.
LC
6. House bill and Senate amendment contain similar
provisions, but the House bill allows secondary students to
serve as mentors along with adults.
LC
Report Language:
The Conferees wish to recognize the expertise and
experience of mentoring organizations, such as Big Brothers
Big Sisters of America, Camp Fire Boys and Girls, Boys and
Girls Clubs, National Mentoring Partnership, the Young Men's
Christian Association, National Association for the
Advancement of Colored People, Aspira, League of United Latin
American Citizens, 100 Black Men of America and National 4-H
Council, in providing training and technical support for
mentoring programs. These organizations have a long history
of supporting mentoring for youth and have established
networks of mentoring organizations.
7. House bill and Senate amendment contain similar
provisions.
LC
8. House bill and Senate amendment contain similar
provisions.
LC
9. House bill and Senate amendment contain similar
provisions.
LC
10. House bill and Senate amendment contain similar
provisions.
LC
11. House bill and Senate amendment contain similar
provisions.
LC
12. House bill and Senate amendment contain similar
provisions.
LC
13. House bill and Senate amendment contain similar
provisions.
LC
14. House bill and Senate amendment contain similar
provisions.

[[Page H10030]]

HR/SR to delete (Staff to write letter to GAO).
15. House bill and Senate amendment contain similar
provisions.
HR/SR to strike both and treat program as an allowable
activity under the national authority in the Safe and Drug-
Free Schools and Communities Act
16. The Senate amendment requires the Secretary to make
grants to Big Brothers/Big Sisters to provide technical
assistance to grant recipients under (a) through mentoring
development centers located in various cities in the US.
Funds, in amounts determined by the Secretary, would come
from the authorization for Part G. House bill contains no
similar provision.
SR

Title VI--Impact Aid

(New Title VIII)

1. The House bill and the Senate bill have similar
provisions make a small modification to the ``hold harmless''
formula for distributing funds under Section 8002 (payments
for federal acquisition of real property).
SR
In the amendments to paragraph (1) of section 8002(h), the
House bill refers to being determined pursuant to ``statute''
while the Senate amendment refers to ``law.''
2. The House bill, but not the Senate bill, contains a
provision to extend the filing deadline for a school district
in Colorado that missed both: (1) its FY 1999 Section 8002
application deadline, and (2) a statutory exemption to that
exception deadline granted as part of the FY 2001 Department
of Education Appropriations Act. The district would be paid
from FY 2001 funds.
SR with an amendment to insert the following language:
``(b) Applications for Payment.--
``(1) Warner public schools, muskogee county, oklahoma.--
Notwithstanding any other provision of law, the Secretary of
Education shall treat as timely filed an application under
section 8003 (20 U.S.C. 7703) from Warner Public Schools,
Muskogee County, Oklahoma, for a payment for fiscal year
2002, and shall process that application for payment, if the
Secretary has received the fiscal year 2002 application not
later than 30 days after the date of the enactment of this
Act.
``(2) Pine point school, school district 25, minnesota.--
Notwithstanding any other provision of law, the Secretary
shall treat as timely filed an application under section 8003
(20 U.S.C. 7703) from Pine Point School, School District 25,
Minnesota, for a payment for fiscal year 2000, and shall
process that application for payment, if the Secretary has
received the fiscal year 2000 application not later than 30
days after the date of the enactment of this Act.''
3. This provision is similar to language regarding the
change to Section 8002 (h)(4)(B). This is addressed in
Section 601 (House Bill). See note 1.
SR
4. The Senate bill, but not the House bill provides for an
additional year of eligibility as ``federal property'' at a
reduced payment level, for property that the federal
government transfers to a non-federal entity.
HR
5. Both the House and Senate bills contain identical
language expanding the number of small school districts which
are guaranteed a 40 percent LOT payment.
HR/SR--to be taken out.
6. Both bills contain identical language modifying the
definition of a ``heavily impacted school district'' to
include school districts that have no taxing authority and
whose boundaries are coterminous with those of an island held
in trust by the federal government as being eligible for
``heavily impacted'' payments.
LC
7. Using different language, both the House bill and the
Senate amendment amend Section 8007(b) of current law. The
House provisions refer to ``School Facility Emergency and
Modernization Grants,'' while the Senate amendment refers to
``School Facility Modernization Grants.''
SR
8. Both the House bill and Senate amendment reserve 60
percent of the amount appropriated under subsection 8014(e)
for competitive construction grants. The House bill directs
the Secretary to award grants to LEAs for emergency repairs
of school facilities as well as for the modernization of
school facilities. The Senate bill directs the Secretary to
make grants to LEAs only for the modernization of school
facilities, but has a reservation of funds for emergency
repairs in a different part of the bill (see note 9).
SR
9. The Senate amendment, but not the House bill, allocates
10 percent of the funds reserved for modernization for grants
to LEAs described in paragraph (2)(A) (federal property), 45
percent for LEAs described in paragraph (2)(B) (Indian land),
and 45 percent for LEAs described in paragraph (2)(C)
(civilian ``a'' and military). The Senate amendment further
reserves 10 percent of the funding allocated to Indian lands
districts, and 10 percent of the funding allocated to
Military districts for emergency grants which are not subject
to specific award criteria.
SR
10. The House bill, but not the Senate amendment, requires
the Secretary to give priority to grants for emergency
situations when making awards under this subsection.
SR
11. The Senate amendment, but not the House bill, allows
funds reserved for Indian land or military districts to be
used for modernization of schools on or near federal
property, but only if the school itself has 25 percent of its
average daily attendance composed of federally impacted
students.
SR with an amendment to allow individual schools that would
otherwise qualify for an emergency grant or modernization
grant but are in a school districts that fails to qualify, to
apply for such a grant as if they were a ``expanded
definition school district'' (see description of structure
below). In order to qualify under this provision, a school
must be at least 40 percent impacted, and be part of an LEA
that has no bonding capacity or that has used up at least 75
percent of their bonding capacity, and has an assessed value
of taxable property per student in the school district that
is in the lowest 50 percent of school districts within the
state.
Note: Below is the policy and structure for construction;
final legislative language is still to be written:
Overall structure--
One pot for all qualifying entities to share;
Emergency projects are funded first in the order of
severity with projects in LEAs that have no practical
capacity to issue bonds or limited capacity to issue bonds
(House definitions) funded first, and expanded definition
LEAs (those that don't meet House definition but meet the
definition below) funded second if money remains, and funded
only under the same criteria that apply to districts with
limited capacity to issue bonds.
Modernization projects are funded if money remains after
all emergency applications are funded. The same criteria
apply for modernization grant and emergency grants. LEAs with
no practical capacity to issue bonds or limited capacity to
issue bonds (House definitions) are funded first, and
expanded definition LEAs (those that don't meet House
definition but meet definition below) are funded second if
money remains.
Expanded definition districts are districts that are at
least 40 percent impacted, have used up to at least 75
percent of their bonding capacity, and have an assessed value
of taxable property per student in the school district that
is in the lowest 50 percent of school districts within the
state.
Leg. Counsel to craft above language. May need some sort of
a special rule, or it might be better to just insert parts of
agreement into suitable sections of the bill.
12. Both the House bill and the Senate amendment list
eligibility requirements.
LC
13. The House bill but not the Senate amendment lists
eligibility requirements for emergency grants. An LEA may be
eligible if it receives formula grants under subsection (a),
has an emergency condition which threatens the health or
safety of students and personnel, and meets one of three
conditions: (1) it has no practical capacity to issue bonds;
(2) it has a limited capacity to issue bonds with a
requirement that the LEA has used at least 75 percent of its
bonding capacity; or (3) it is a heavily impacted district.
SR with amendment LC to craft language reflecting the
eligible pool as outlined in the policy above.
14. The House bill, but not the Senate amendment, requires
that for an entity to be eligible for an emergency grant,
that it be eligible to receive formula grants for
construction under subsection (a).
HR with amendment LC to craft language reflecting the
eligible pool as outlined in the policy above.
15. Both the House bill and the Senate amendment list
eligibility requirements for Modernization Grants.
LC
16. The House bill, but not the Senate amendment states
that in order to receive a modernization grant, the LEA must
meet the same criteria as those eligible for an emergency
grant, except for having a school facility emergency, or must
qualify as a federal lands district. The Senate amendment
lists slightly different criteria with different placement
(see note 17).
SR (per structure outlined in note 11).
17. The House bill and the Senate amendment have identical
eligibility requirements for federal property districts.
LC
18. The Senate amendment provides that in order to be
eligible for a modernization grant, an LEA and the facility
to be modernized must be at least 25 percent impacted by
certain types of connected students.
SR (per structure outlined in note 11).
19. The House bill, requires that in order to be eligible
for a modernization grant, the LEA must have facility needs
resulting from actions of the federal government. The Senate
amendment requires this as a criteria for consideration by
the Secretary (see note 26).
SR with an amendment to strike ``actions of the federal
government'' and insert in its place ``a federal presence''.
20. The House bill, but not the Senate amendment, defines
the terms lack of practical capacity to issue bonds and
minimal capacity to issue bonds.
SR (per structure outlined in note 11).
LC--May need to recede with an amendment to define
districts that can receive funding only after those with
limited or no practical bonding capacity are funded.
21. Both the House bill and the Senate amendment set forth
award criteria. The House bill sets forth criteria for both
emergency and modernization grants. The Senate bill requires
the Secretary to review applications from federal lands
districts, Indian lands districts, and military districts.
LC
Report Language:

[[Page H10031]]

The Conference Report requires the Secretary to consider
the severity of the need for modernization, which may be
measured by factors such as overcrowding or the potential for
overcrowding. The conferees note that such overcrowding may
arise from housing privatization undertaken by the Department
of Defense.
22. The House bill requires the Secretary to take into
account the ability of a school district to pay for either a
modernization project or an emergency project. The Senate
bill requires the Secretary to take into account the
districts ability to pay for modernization projects.
SR
23. The House bill, but not the Senate amendment, sets
forth the following criteria to measure an LEAs ability to
carry out a project, including its bonded indebtedness; its
assessed value of real property per student, compared to the
state average; the LEAs total tax rate for school purposes
compared to the state average; and funds available to the LEA
from other sources.
SR
24. Using different language, both the House bill and the
Senate amendment require the Secretary to consider the lack
of taxable property due to a federal presence and the impact
of federally connected children.
SR
25. Using different language, both the House bill and the
Senate amendment require the Secretary to consider the threat
that a condition poses to health or safety, and overcrowding
as evidenced by the use of portable facilities.
SR with amendment to insert (D)(ii).
26. The Senate amendment requires the Secretary to take
into account facility needs resulting from the federal
government. The House bill requires that facility needs
result from the federal government in order to be eligible
(see note 19).
SR (per note 19).
27. The House bill but not the Senate amendment requires
the Secretary to consider the LEAs inability to maximize the
use of technology or offer curriculum due to physical
facility limitations.
SR
28. Both the House bill and the Senate amendment require
the Secretary to consider the age of the facility to be
modernized.
LC
29. Using different language, both the House bill and the
Senate amendment provide additional award provisions.
LC
30. The House bill limits the amount of the cost of a
project that may be funded under this subsection to 50
percent for LEAs that have limited bonding capacity or that
qualify solely because they are heavily impacted. The Senate
amendment limits the federal share to 50 percent for all
projects.
SR
31. The House bill limits the amount an LEA may receive
under this subsection for LEAs having limited bonding
capacity or that qualify solely because they are heavily
impacted to $3 million over a 5-year period. The Senate
amendment limits the amount any LEA may receive to $5 million
over a 2-year period.
HR/SR with an amendment to allow these districts to receive
up to $4 million in a 4-year period.
32. The House bill allows the use of in-kind contributions
to meet the match required of LEAs. The Senate amendment has
a similar provision with different placement (see note 30).
SR
33. Both the House bill and the Senate amendment contain
certain prohibitions on the use of funds under this
subsection. These provisions are placed differently. The
House bill prohibits funds from being used for facilities for
which the LEA does not hold the title, or stadiums or other
facilities primarily used for events for which admission is
charged. The Senate amendment prohibits funds under this
subsection from being used for the acquisition of real
property, athletic and similar facilities for which admission
is charged, and requires that all projects carried out with
funds provided under this subsection to comply with relevant
environmental law and regulation.
LC--merge the language from both bills.
34. Using slightly different language, both the House bill
and the Senate amendment prohibit LEAs receiving funds under
this subsection from supplanting funds that would otherwise
be spent for facilities construction or modernization.
LC
35. The House bill but not the Senate amendment prohibits
emergency grants under this subsection from being used for
the replacement of an existing facility unless such
replacement is more cost effective than repair of the
existing facility.
SR
36. The House bill requires that emergency grants for which
funding is not available shall be considered in the following
year at the request of the LEA. The Senate amendment requires
that an eligible entity that applies for a grant which is not
funded shall have its grant application considered for the
following fiscal year. The Senate amendment places this
provision differently than the House bill.
HR
37. The House bill and the Senate amendment require LEAs
seeking a grant under this subsection to submit an
application to the Secretary.
LC
38. The House bill and the Senate amendment require
different information to be submitted to the Secretary. The
House bill requires applicants to submit information related
to the award criteria. In the case of emergency grants, it
requires a description of the hazard, and a signed
statement certifying the deficiency. In the case of a
modernization grant, the House bill requires an
explanation for the need for the project and the age of
the facility, a description of the project including a
cost estimate, and a description of ownership interest in
the facility.
LC--merge the lists of both bills.
39. The Senate amendment requires the submission of a
listing of the facilities to be modernized and the percentage
of federally impacted children, a description of the
ownership of the property, a description of how the LEA meets
the award criteria, a description of the project, and a cost
estimate for the project.
LC--merge the two.
40. The Senate amendment requires LEAs applying for an
emergency grant to submit a signed statement certifying the
deficiency. This is similar to one of the provisions for
emergency grants under the House bill (see above).
SR with an agreement to add report language.
Report Language:
The Conferees would urge the Department when awarding
grants under section 8007(b) of the Impact Aid Program that
every effort be made to insure that emergency grant
application requests from all eligible categories of school
districts are given equal consideration, subject to the
requirements of that subsection.
41. The Senate amendment, but not the House bill, requires
the Secretary to make every effort to meet fully the needs of
Indian lands and Military Impacted school districts.
SR
42. The Senate amendment requires the Secretary to give
priority based on severity of emergency if more than one
grant application is received from an Indian lands or
military district. The priority is based upon severity of the
emergency and when the application was received. The house
bill contains an absolute priority for emergency situations
under subsection (b)(2).
HR
43. The House bill, but not the Senate amendment, requires
the Secretary to report annually to the appropriate
committees of Congress a justification of grants made under
this subsection for the previous fiscal year. The House bill
further defines the appropriate congressional committees.
SR
44. The House bill, but not the Senate amendment, increases
the authorization for appropriation for Impact Aid
construction to $150 million for FY 2002, and such sums as
necessary for the four succeeding fiscal years.
SR
45. Both the House bill and the Senate bill have virtually
identical language to clarify that Section 8009 (equalized
states) payments are exempt from state equalization. The
House bill, but not the Senate amendment, includes a
reference to section 8003(b)(2).
SR
46. Both the House bill and the Senate bill contain
language to authorize the program through 2006.
SR with amendment to change word ``six'' to ``seven''.
47. The House bill, but not the Senate bill contains
language to transfer and redesignate the program.
LC
48. The House bill, but not the Senate bill contains a
provision to provide that funds appropriated under the
current placement of the Impact Aid program in Title VIII of
the ESEA will be available under that program as redesignated
as Title VI.
LC
Report Language:
Language was included in the FY 2001 National Defense
Authorization Act to reauthorize the Impact Aid program. As
part of the reauthorization, language was included in Section
8002(j) to authorize Section 8002 (payments relating to
federal acquisition of real property) funding for the
Centennial School District in Bucks County, Pennsylvania due
to their unique situation. The Centennial School District is
the only school district in the nation where the only
military facility that was located entirely within the
boundaries of the school district was realigned as a part of
base realignment and closure (BRAC), but the school district
continues to educate the children of families who continue to
live on that property even though the parent(s) are stationed
at a federal facility located outside the boundaries of the
school district. The Commander of that federal facility has
stated that this current situation will continue for the
foreseeable future. By moving the language of Section 8002(j)
of the Impact Aid Program to Part D of Title V, the Fund for
the Improvement of Education (FIE), it is not the intent of
the conferees to in any way affect the authorization for
funding Section 8002(j) and in no way minimizes the ability
of members to seek funding for the authorization on an annual
basis.
49. The House bill, but not the Senate bill contains
language regarding a Sense of Congress that the Impact Aid
program should be fully funded.
HR

[[Page H10032]]

Title VII--Flexibility and Accountability

(New Title VI, Part A)

1. The House bill and the Senate amendment locate this part
regarding rewards and sanctions pertaining to educational
achievement in the States in different parts of each piece of
legislation.
HR
2. The House bill and the Senate amendment have different
section headings regarding financial awards to states.
HR/SR with amendment to strike all language
3. The House bill and the Senate amendment use the same
name for these awards. However, the House bill requires the
Secretary of Education to make the awards, while the Senate
amendment allows the Secretary to decide whether to make the
awards. In addition, both the Senate amendment and the House
bill refer to the use of a peer review process to make
awards, although the House provision is located in subsection
(f). See note 21. Finally, the Senate amendment has the
Secretary make awards to States making the most progress
improving educational achievement, while the House bill
refers to States making significant progress.
HR/SR with an amendment to strike all language.
4. The House bill requires the Secretary to give greatest
weight to the criteria in paragraph (b)(1) of the House bill,
which the Senate also does, but in subparagraph (a)(2)(B) of
the Senate bill. See note 14.
HR/SR with an amendment to strike all language.
5. The House bill specifically refers to the two groups
listed, while the Senate amendment refers to groups by
reference to Title I, part A, which includes, in addition to
the groups listed in the House bill, the following: students
with disabilities, students with limited English proficiency,
migrant students and students by gender.
HR/SR with an amendment to strike all language.
6. The House bill, but not the Senate amendment, refers to
the assessments under section 1111 of Title I, part A. The
Senate amendment, but not the House bill, refers to students
reaching the State defined level of proficiency, which, by
inference, includes the assessments required under Title I,
part A.
HR/SR with an amendment to strike all language.
7. Both the House bill and the Senate amendment require the
Secretary to examine a State's performance on NAEP 4th and
8th grade assessments in reading and math. However, the House
bill refers to a specific school year in which 4th and 8th
grade NAEP assessment data must be examined, while the Senate
amendment refers to the 2nd year after which assessment data
is first available for all States under NAEP in 4th and 8th
grade.
HR/SR with an amendment to strike all language.
8. The House bill, but not the Senate amendment, allows
States to choose another assessment to NAEP that meets the
criteria described in subclauses (b)(B)(ii)(I)--(VIII) of the
House bill.
HR with an amendment to strike all language.
9. The House bill and the Senate amendment require the
Secretary to also examine the progress of all the State's
students (as opposed to specific groups, see note 5). Also,
the House bill and Senate amendment differ in a similar
manner as previously detailed in notes 6-8.
HR/SR with an amendment to strike all language.
10. The House bill and the Senate amendment are the same.
HR/SR with an amendment to strike all language.
11. The House bill, but not the Senate amendment, allows
the Secretary to consider the factors listed in paragraphs
(1) and (2) following in the House bill. The Senate
amendment, but not the House bill, requires the Secretary to
consider the factors listed in clauses (iv) and (v) following
in the Senate bill.
HR with an amendment to strike all language.
12. The House bill and the Senate amendment are the same.
HR/SR with an amendment to strike all language.
13. The House bill and the Senate amendment are
substantially the same with minor, technical differences in
wording.
HR/SR with an amendment to strike all language.
14. See note 4.
SR with an amendment to strike all language.
15. The House bill does not contain a similar provision.
SR with an amendment to strike all language.
16. The Senate amendment does not contain a similar
provision.
HR with an amendment to strike all language.
17. The House bill does not contain a similar provision.
SR with an amendment to strike all language.
18. The House bill does not contain a similar provision.
SR with an amendment to strike all language.
19. The House bill does not contain a similar provision;
however, see section 7104 of the House bill for authorization
levels. See note 46.
SR with an amendment to strike all language.
20. The Senate amendment does not contain a similar
provision.
HR with an amendment to strike all language.
21. See note 3 regarding the peer review process.
HR with an amendment to strike all language.
22. The House bill, but not the Senate amendment, contains
a subsection requiring the Secretary to make grants to states
to offset the cost of administering the alternative
assessment to NAEP.
HR with an amendment to strike all language.
23. The House bill and Senate amendment have different
section headings.
HR/SR with an amendment to strike all language.
24. The House bill and the Senate amendment are
substantially the same with the following exceptions: The
Senate amendment allows the Secretary to reduce State
administration funds ``by not more than 30 percent'', while
the House bill does not contain similar discretion for the
Secretary; and the Senate amendment, but not the House bill,
requires the Secretary to make any reductions in State
administrative funds in the ``subsequent fiscal year''.
HR/SR with an amendment to strike all language.
25. The House bill does not contain a similar provision,
but the House bill and the Senate amendment require the
Secretary to examine similar measures of student performance.
See notes 26 and 27.
SR with an amendment to strike all language.
26. The House bill and the Senate amendment refer to
``adequate yearly progress'' as defined under Title I, part
A, section 1111, although the Senate reference is more
specific. (In addition, the House bill and Senate amendment
differ in their provisions regarding adequate yearly progress
pursuant to each respective Title I, part A provisions.) Also
see note 5 regarding the number of groups required to be
included by the House bill and Senate amendment.
HR/SR with an amendment to strike all language.
27. See notes 7 and 8 regarding the differences in the
House bill and Senate amendment provisions regarding what the
Secretary must examine to determine, in this case, sanctions.
HR/SR with an amendment to strike all language.
28. The House bill, but not the Senate amendment, allows
the Secretary to increase the reduction in a State's
administrative funds by not more than an additional 45% for
the two years following the initial period described in
subsection (a) of the House bill. The Senate amendment, but
not the House bill, requires the Secretary to reduce a
State's administrative funds by not more than 75% in the
subsequent fiscal year for another year or years following
the initial period described in subsection (a) of the Senate
amendment.
HR/SR with an amendment to strike all language.
29. The Senate amendment does not contain a similar
provision.
HR with an amendment to strike all language.
30. The Senate amendment does not contain a similar
provision.
HR with an amendment to strike all language.
31. The House bill, but not the Senate amendment, requires
the Secretary to reduce a State's administrative funds by an
additional 20% above the reductions determined in subsections
(a) and (b) if the State has failed to make adequate yearly
progress regarding the acquisition of English proficiency by
students with limited English proficiency pursuant to Title
I, part A. The Senate amendment, but not the House bill,
requires the Secretary to determine whether a State has met
its performance objectives under Title III of the Senate bill
regarding the acquisition of English proficiency by limited
English proficient students as part of the initial period
described in subsection (a).
HR/SR with an amendment to strike all language.
32. The House bill does not contain a similar provision.
SR with an amendment to strike all language.
33. The Senate amendment does not contain a similar
provision.
HR with an amendment to strike all language.
34. The House bill and the Senate amendment have different
section headings.
HR
35. The House bill and the Senate amendment are
substantially the same with minor wording differences. In
addition, the House bill refers specifically to standards and
assessments required by section 1111 of Title I, part A,
while the Senate amendment refers to standards and
assessments added to ESEA current law by the Senate
amendment.
SR
36. The House bill allows funds provided under this section
to be used to pay for the costs of the administration of the
required assessments if the State has already developed the
required standards and assessments, while the Senate bill
allows the provided funds to be used for administration
regardless of the status of development of standards and
assessments. The Senate provision is located in subparagraph
(a)(3)(B) following. Otherwise, the House bill and the

[[Page H10033]]

Senate amendment are the same regarding carrying out other
activities under this part.
SR
37. The House bill and the Senate amendment are
substantially the same with minor wording differences.
SR
38. The Senate amendment does not contain a similar
provision. However, the Senate amendment does reference all
assessments required in paragraph (a)(1). See note 35.
SR
39. See note 36 regarding administration of assessments.
SR
40. The Senate does not contain similar provisions as the
House bill in subparagraphs (C)-(H) following.
SR with an amendment to insert ``, including professional
development activities aligned with state academic
achievement standards and assessments'' at the end of House
(F) and to strike subparagraph (H) and insert the following:
``(H) improving the dissemination of information on student
achievement and school performance to parents and the
community, including the development of information and
reporting systems designed to identify best educational
practices based upon scientifically based research or to
assist in linking records of student achievement, length of
enrollment, and graduation over time.''
41. The House bill does not contain a similar provision.
However, see subsection 7104(b) of the House bill and note
50.
SR
42. The House does not contain a similar provision.
SR
43. The House contains a similar provision, but it is
located in paragraph 7104(a)(3) of the House bill. See note
48.
SR
44. The House bill and the Senate amendment include a
provision to provide one-time bonuses to States that complete
their assessments ahead of the deadline established in Title
I, part A of each piece of legislation. However, there are
substantial differences between the two provisions. The
Senate amendment, but not the House bill, establishes a
specific school year by which the Secretary shall make the
one-time bonus payments. The Senate amendment, but not the
House bill, conditions these bonuses upon the assessments
being ``particularly high quality'' and which are the most
successful in assessing the ``range and depth of student
knowledge and proficiency''.
HR/SR with an amendment to strike all language.
45. See notes 3 and 21.
SR with amendment to insert the following from Title I-A
note 438 as new subsection:

``(#-LC) GRANTS FOR ENHANCED ASSESSMENT INSTRUMENTS.

``(a) From funds appropriated under [reference to Title VII
note 48], the Secretary shall award, on a competitive basis,
grants to States submitting an application in such time and
in such manner that the Secretary may require that
demonstrates to the satisfaction of the Secretary that the
requirements of this section and part will be met to--
``(1) enable States (or consortia of States) and local
educational agencies (or consortia of local educational
agencies) to collaborate with institutions of higher
education, other research institutions, or other
organizations to improve the quality, validity and
reliability of State academic assessments beyond the
requirements for such assessments described in section
1111[(b)(3)];
``(2) measure student academic achievement using multiple
measures of student academic achievement from multiple
sources;
``(3) chart student progress over time; and
``(4) evaluate student academic achievement through the
development of comprehensive academic assessment instruments
such as performance and technology-based academic
assessments.
``(d) Application.--Each State wishing to apply for funds
under this [paragraph] shall include in its State plan such
information as the Secretary may require.
``(f) Annual Report.--Each State or local educational
agency receiving a grant under this [section] shall submit an
annual report to the Secretary describing its activities, and
the result of those activities, under the grant.
46. The House bill and the Senate amendment authorize
appropriations for the same general purposes with minor,
technical differences in cross-references. In addition, the
House bill authorizes less than the Senate amendment. The
Senate amendment, but not the House bill, contains an
additional authorization of appropriations under section 6201
in subsection (e).
HR/SR with amendment to strike all language
47. The House bill, but not the Senate amendment,
authorizes $69 million in FY 02 and such sums through FY 06
for NAEP and the alternative assessment described in
subparagraph (b)(1)(B). The Senate amendment, but not the
House bill, authorizes $110 million in FY 02 and such sums
for the succeeding 6 fiscal years for NAEP only.
HR with an amendment to strike ``110,000,000'' and insert
``72,000,000''.
48. The House bill and the Senate amendment are similar
with the exception of technical differences in cross-
references. In addition, the House bill authorizes such sums
through FY 05, while the Senate amendment authorizes such
sums for the succeeding 6 fiscal years.
HR with amendment to strike paragraph (3) and insert the
following:
``(3) Authorization of appropriations.--For the purpose of
carrying out paragraph [(1)], there are authorized to be
appropriated $490,000,000 for fiscal year 2002, and such sums
as may be necessary for each of the 5 succeeding fiscal
years.''
49. The House bill contains a similar provision, but it is
located in subsection 7103(a) of the House bill. See notes
35-40.
SR
50. The House bill and the Senate amendment establish how
funds appropriated shall be distributed between the States.
However, there are substantial differences between the two
provisions. The House bill, but not the Senate amendment,
allocates half of the appropriated funds evenly between the
states and half on the population of children aged 5 to 17
in each State. The Senate amendment, but not the House
bill, allocates a set amount of $3 million per State and
allocates any remaining funds based on the number of
children enrolled in public schools in grades 3 through 8.
HR with amendment to, out of the $490 million authorized
(at note 48): from amounts equal to or less than the trigger
amount described in Title I-A for that fiscal year: (1)
reserve \1/2\ of 1 percent for Interior (BIA); (2) reserve
\1/2\ of 1 percent for Outlying Areas; (3) provide each State
$3 million; (4) allocate remaining funds, after the
application of (1), (2) and (3), to each State based on the
State's public school student population in grades 3-8; AND
from funds greater than the I-A trigger: (5) allocate funds
for approved applications under Enhanced Assessment
Instruments (see note 45) according to the quality, needs and
scope of the State application. In determining the grant
amount, the Secretary shall include any funds the State would
have received under (6) of this paragraph; and (6) allocate
any remaining funds after funds are allocated in (5) to each
State based on population described in (4), except that
States which received a grant under (5) receive none of these
remaining funds.
51. The House does not contain a similar provision.
HR
52. The House bill, but not the Senate amendment, contains
this part allowing SEAs and LEAs flexibility in targeting and
transferring federal funding.
SR with amendment to strike subparagraphs (A)-(C) of
subsection (a)(1) and insert:
``(A) Section 2113(a)(3) of Part A of Title II (Teachers);
``(B) Section 2412(a)(1) of Part D of Title II
(Technology);
``(C) Sections 4112(a)(1) (with the agreement of the
Governor) and 4112(c)(1) of Part A, and section 4202(c)(3) of
Part B of Title IV (Safe and Drug Free and 21st Century); and
``(D) Section 5112(b) of Part A of Title V (Innovative
Programs).''
and with amendment to strike subparagraphs (A)-(C) of
subsection (b)(2) and insert:
``(A) Section 2121 of Part A of Title II (Teachers);
``(B) Section 2412(a)(2)(A) of Part D of Title II
(Technology);
``(C) Section 4112(b)(1) of Part A of Title IV (Safe and
Drug Free); and
``(D) Section 5112(a) of Part A of Title V (Innovative
Programs).''
53. The House bill and the Senate amendment have different
headings and titles and locate this part in different parts
of each piece of legislation.
HR/SR with amendment to insert new title: ``State and Local
Flexibility Demonstration'' and SR with amendment to insert
``State and'' before ``Local'' in the Short Title.
54. The Senate amendment, but not the House bill, allows
SEAs, as well as LEAs, to participate and therefore meet the
specific requirements. The House bill only allows LEAs. This
difference is consistent in the provisions throughout these
parts except as otherwise noted.
HR
55. The House bill and the Senate amendment are
substantially the same with minor wording differences.
SR
56. The Senate amendment does not contain a similar
provision.
SR
57. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment adds ``educators'' and ``administrators'' to the
list.
HR
58. The House bill and the Senate amendment are similar
with the exception that the House bill refers to ``maximum
freedom'', while the Senate amendment refers to ``greater
flexibility''.
HR
59. The House bill refers to ``Federal barriers'', while
the Senate amendment refers to barriers in general. The House
bill refers to effective programs, while the Senate amendment
refers to effective reform. In addition, the Senate
amendment, but not the House bill, refers to equality of
student opportunity and accountability for student progress.
HR with amendment to strike ``of equality''.
60. The House bill and the Senate amendment are
substantially the same with minor wording differences.
HR
61. The House bill and the Senate amendment are similar
with the exception that the Senate amendment, but not the
House bill,

[[Page H10034]]

refers to ``low-income and minority students''.
HR with amendment to strike ``performing'' and insert
``achieving''.
62. The House bill and the Senate amendment have different
headings.
HR/SR with amendment to insert new section heading of
``Local Flexibility Demonstration''.
63. The House bill and the Senate amendment are similar
with the exceptions that the House bill, but not the Senate
amendment, references the State's definition of adequate
yearly progress and with a technical difference in cross-
references.
SR with amendment to insert ``on a competitive basis''
after ``shall''.
64. The House bill, but not the Senate amendment, requires
the Secretary to enter into performance agreements with not
more than 100 LEAs. The Senate amendment, but not the House
bill, requires the Secretary to select not more than 7 SEAs
and 25 LEAs for performance agreements. In addition, the
House bill and the Senate amendment require the Secretary to
consider geographic distribution (however, these provisions
differ, see note 73), while the Senate amendment, but not the
House bill, also conditions the Secretary's approval of LEA
participation. See note 74.
SR with amendment to strike ``100'' and insert ``150'' and
to insert ``on a competitive basis'' after ``shall'' and to
add ``consistent with [paragraph (2)--notes 73 and 74] after
first reference to ``local educational agencies''.
65. The House bill, but not the Senate amendment,
specifically requires the submission of a proposed
performance agreement to the Secretary. Otherwise, the
provisions are similar.
SR
66. The House bill, but not the Senate amendment, requires
a plan by the LEA to meet the State's definition of adequate
yearly progress. The Senate amendment, but not the House
bill, requires the SEA or LEA to exceed the State's
definition of adequate yearly progress by a statistically
significant amount while also meeting the various
requirements in sections 1111 and 1116 of Title I, part A, of
the Senate amendment.
SR
67. The House bill does not contain a similar provision.
SR
68. The House bill, but not the Senate amendment, requires
the LEA to notify the ``State''. The Senate amendment, but
not the House bill, requires the SEA to notify a list of
other entities described in subclauses (I) and (II) following
of the Senate amendment.
SR
69. The House bill does not contain a similar provision.
SR
70. The House bill does not contain a similar provision.
SR
71. The House bill and the Senate amendment are similar
with a minor wording difference.
LC
72. The House bill does not contain a similar provision.
HR
73. The House bill, but not the Senate amendment, allows
the Secretary to enter into no more than 2 performance
agreements per state for the first three years after the bill
has been enacted, and subsequent to this period, the
Secretary can enter into no more than 100 agreements total,
regardless of the number of agreements per state, so long as
there is an equitable distribution between urban and rural
areas. The Senate amendment, but not the House bill, requires
the Secretary to ensure equitable distribution of selected
agencies if more than 7 SEAs or 25 LEAs apply. In addition,
the Senate amendment, but not the House bill, requires the
Secretary to ensure equitable distribution of agencies
between urban and rural areas if more than 25 LEAs apply.
SR with amendment to insert that there must be no less than
4, but no more than 10 local flexibility demonstration
districts in the 7 State Flexibility Demonstration States
(for a total of 70 districts) and that at least half of the
districts must be districts with a poverty percentage of 20%
or higher. If districts do not sign up for local flexibility
in each of the 7 flex demo States, those districts may not be
reallocated to non-flex demo States.
74. The House bill does not contain a similar provision.
SR with amendment to insert that non-flex demo States may
have up to 3 local flex demo districts per State, up to a
total of 80 districts nationally.
75. The House bill contains a similar provision in
subparagraph (b)(1)(B). See note 68.
SR
76. The House bill contains a similar provision in
(b)(1)(B), although the House bill refers to ``State''. See
note 68.
SR
77. The House bill does not contain a similar provision.
SR
78. The House bill does not contain a similar provision.
SR
79. The House bill does not contain a similar provision.
SR
80. The House bill does not contain a similar provision.
SR
81. The House bill does not contain a similar provision.
SR
82. The House bill and the Senate amendment are similar
with minor wording differences in this provision and the
next.
SR
83. The House bill and the Senate amendment are
substantially the same with minor, technical differences in
wording and cross-references.
SR
84. The House bill and the Senate amendment are
substantially the same with minor, technical differences in
wording and cross-references.
SR
85. The House bill and the Senate amendment require a five-
year plan and a description of how funds will be combined and
used, although the Senate provision is located in clause
(D)(iii) following and refers to exceeding adequate yearly
progress by a statistically significant amount. The House
bill, but not the Senate amendment, lists a number of
necessary requirements in the five-year plan. The Senate
amendment outlines the necessary requirements in the
clauses (i)--(v) following of the Senate amendment.
SR with amendment to insert ``for any educational purpose
authorized under this Act'' after ``scope of the performance
agreement''.
86. The House does not contain similar provisions as the
Senate amendment in clauses (i)--(v) following of the Senate
amendment with the exception indicated in note 87 regarding
Senate amendment clause (iii).
SR
87. See note 85.
SR
88. The House bill and the Senate amendment are
substantially similar with the exception that the Senate
amendment, but not the House bill, requires an assurance of
the opportunity to comment on the proposed consolidation of
funds. The Senate amendment, but not the House bill,
specifically mentions the SEA opportunity to comment on the
distribution and use of funds to be consolidated.
SR with amendment to strike ``in accordance with State
law''.
89. The House bill and the Senate amendment are the same.
SR
90. The House bill and the Senate amendment are
substantially the same with a minor wording difference.
SR
91. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment is more specific as to equitable participation
provisions for funds consolidate and used under the
performance agreements. See note 119.
SR with amendment to insert ``consistent with section [Gen.
Prov. Reference]'' after ``schools''.
92. The Senate amendment does not contain a similar
provision.
SR
93. The House bill does not contain a similar provision.
HR with amendment to strike ``State educational agency''
and insert ``local educational agency''.
94. The House bill does not contain a similar provision.
SR
95. The House bill and the Senate amendment are
substantially the same with the following exceptions: (1) The
Senate amendment, but not the House bill, requires the report
to be disseminated to the extent practicable in the parents'
language; and (2) The House bill contains a general
requirement that the report details how achievement has
improved and gaps have been closed, while the Senate requires
a number of specific items related to student achievement as
detailed in clauses (i)-(iii) following of the Senate
amendment.
SR with amendment to strike ``agrees that'' and insert
``shall,'' and to strike ``the local educational agency
shall'' before ``disseminate''.
96. The House bill does not contain a similar provision.
SR
97. The House bill does not contain a similar provision.
SR
98. The House bill does not contain a similar provision.
SR
99. The House bill does not contain a similar provision.
SR
100. The House bill requires the Secretary to approve a
proposed performance agreement 60 days after receipt of the
agreement, while the Senate amendment requires approval 90
days after the deadline established by the Secretary. The
Senate amendment, but not the House bill, refers to a
``complete'' performance agreement.
SR with amendment for LC to make consistent with 21st
Century ``deemed approved'' language.
101. The Senate amendment, but not the House bill, contains
a provision requiring the Secretary to establish a peer
review process to review proposed performance agreements.
HR
102. The House bill and the Senate amendment are
substantially the same with the following exceptions: (1) The
House bill requires the Secretary to amend the performance
agreement if the requirements described in paragraphs (2)(A)
and (B) following of the House bill are met, while the Senate
amendment allows the SEA to amend contingent on the
requirements described in paragraphs (2)(A) and (B) following
of the Senate

[[Page H10035]]

amendment; and (2) There is a technical difference in cross-
references.
SR with amendment to strike ``State'' and insert ``local
educational agency''.
103. The House bill and the Senate amendment are
substantially the same with the following differences: (1)
The House bill refers to the ``State'' being held
accountable, while the Senate amendment refers to the SEA
being held accountable; and (2) There is a technical
difference in cross-references.
SR with amendment to strike ``a State seeks'' and insert
``a local educational agency seeking'' and to strike
``State'' and insert ``local educational agency'' before
``will be held''
104. See note 100 regarding differences in the time
provided the Secretary. In addition, the Senate amendment,
but not the House bill, allows the Secretary to provide the
SEA with documentation that the amendment plan ``no longer
has substantial promise'' of meeting this part's requirements
and refers to exceeding adequate yearly progress.
SR with amendment for LC to make consistent with 21st
Century ``deemed approved'' language.
105. The House bill and the Senate amendment are
substantially the same with minor, technical differences in
wording.
SR with amendment for LC to make consistent with 21st
Century ``deemed approved'' language.
106. The House bill does not contain a similar provision.
SR
107. The House bill, but not the Senate amendment,
addresses the reinstatement of program requirements on the
LEA once a program is removed from a performance agreement
beginning on the effective date of the executed amendment.
The Senate amendment, but not the House bill, addresses the
execution of adding or removing programs on the first day of
the first full academic year following the approval of the
amendment.
SR
108. The House bill and the Senate amendment are similar.
However, the House bill, but not the Senate amendment allows
the LEA to use its consolidated funds for any purpose in the
House bill. The Senate amendment, but not the House bill,
allows the SEA to use its consolidated funds for any purpose
of the eligible programs listed in subsection 5705(b) and
contingent upon paragraph (3) of the Senate amendment.
SR with amendment to strike ``, subject to subsection
(c),''.
109. The House bill and the Senate amendment are
substantially the same with the exceptions of minor wording
differences and that the House refers to the ``State'', while
the Senate refers to the SEA.
SR with amendment to strike ``State'' and insert ``local
educational agency''.
110. The House bill does not contain a similar provision.
SR
111. The House bill refers to provisions in the House bill
as eligible, while the Senate amendment refers to provisions
in law as eligible. In addition, the Senate amendment, but
not the House bill, specifies that ``only'' those funds
available in FY 02 and succeeding fiscal years are eligible
to be consolidated.
SR
112. The House bill does not contain a similar provision.
The Senate amendment includes as eligible programs: Title I,
part A, Even Start, 21st Century Community Learning Centers,
Comprehensive School Reform, School Dropout Prevention.
SR
113. The House bill refers to the whole of Title II of the
House bill (regarding Teachers), while the Senate amendment
refers to certain parts of Title II of the Senate amendment
(regarding Teachers and Technology).
SR with amendment to insert ``Section 2121 of Part A of''
before ``Title II'' (Teachers);
114. The House bill does not contain a similar provision.
The Senate amendment includes Bilingual Education as an
eligible program.
SR
115. The House bill refers to part A of Title IV of the
House bill (regarding Innovative Programs Block Grant), while
the Senate amendment refers to subpart 3 of part A of Title V
of the Senate amendment (regarding Public School Choice), and
subpart 4 of part B of title V (regarding Innovative Programs
Block Grant)
SR with amendment to strike paragraph (2) and insert: ``(2)
Section 2412(a)(2)(A) of Part D of Title II (Technology);''
116. The House bill refers to subpart 1 of part A of Title
V of the House bill (regarding Safe and Drug Free Schools),
while the Senate amendment refers to subpart 1 of part A of
Title IV of the Senate amendment (regarding Safe and Drug
Free Schools).
SR with amendment to strike paragraph (3) and insert ``(3)
Section 4112(b)(1) of Part A of Title IV (Safe and Drug
Free);''
117. The House bill refers to part B of Title V of the
House bill (regarding Technology). The Senate amendment
refers to part C of Title II of the Senate amendment
(regarding Technology) in paragraph (2). See note 113.
SR with amendment to strike paragraph (4) and insert ``(4)
Section 5112(a) of Part A of Title V (Innovative Programs).''
118. The House bill does not contain similar provisions as
the Senate amendment in paragraphs (6)-(8) following of the
Senate amendment.
SR
119. The Senate amendment, but not the House bill contains
a subsection applying specific equitable participation
provisions for funds consolidated and used under the
performance agreements. See note 91.
SR
120. The House bill does not contain a similar provision.
SR
121. The House bill does not contain a similar provision.
SR
122. The House bill does not contain a similar provision.
SR
123. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment, but not the House bill, conditions the LEA
administrative reservation on paragraph 5709(e)(2) regarding
sanctions.
SR
124. The House bill, but not the Senate amendment, requires
the Secretary to terminate a performance agreement before the
five-year ending point of the agreement if the LEA has failed
to make adequate yearly progress for three consecutive years.
The Senate amendment, but not the House bill, requires the
Secretary to terminate a performance agreement if, after the
first full year of the SEA's performance agreement, the SEA
fails to make its definition of adequate yearly progress for
2 consecutive years thereafter or fails to exceed its
definition of adequate yearly progress by a statistically
significant amount for three consecutive years thereafter.
Both the House bill and the Senate amendment require the
agency under review to be given notice and the opportunity
for a hearing.
SR with amendment to strike ``permitting'' and insert
``requiring''.
125. The House bill does not contain a similar provision.
HR with amendment to strike ``State educational agency''
and insert ``local educational agency''
126. The House bill does not contain a similar provision.
HR with amendment to strike all references to ``State
educational agency'' and insert in all cases ``local
educational agency''.
127. The House bill and the Senate amendment are
substantially the same with the following exceptions: (1) The
House bill refers to meeting ``achievement goals'', while the
Senate amendment refers to meeting the State's definition of
adequate yearly progress; (2) Minor differences in wording
and a technical difference in cross-references; and (3) The
House bill refers to the LEA complying with the program
requirements previously contained in the performance
agreement after the agreement has ended, which the Senate
also does in subsection (d) below.
SR
128. The House bill does not contain a similar provision.
SR
129. The Senate amendment, but not the House bill, refers
to the ``first day of the first full academic year''.
Otherwise, the House bill and the Senate amendment are
substantially the same, although the House bill contains this
provision in subsection (b). See note 126.
SR
130. The House bill does not contain a similar provision.
SR
131. The House bill, but not the Senate amendment requires
the Secretary to renew for one additional five-year term a
performance agreement with an agency that has ``met or
substantially met'' its performance goals at the end of the
original agreement. The Senate amendment, but not the House
bill, requires the Secretary to renew for one additional
five-year term a performance agreement with an agency that
has exceeded the adequate yearly progress in the agreement by
a statistically significant amount.
SR with amendment to strike ``State educational agency''
and insert ``local educational agency''.
132. The House bill and the Senate amendment are
substantially the same with minor wording differences.
SR
133. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment, but not the House bill, does not allow for a
renewal if the required information is not provided to the
Secretary within 60 days of the end of the term of the
original performance agreement.
SR
134. The House bill and the Senate amendment are
substantially the same with a technical difference in cross-
references.
LC
135. The Senate amendment does not contain a similar
provision.
SR
136. The House bill and the Senate amendment are
substantially the same with a technical difference in cross-
references. (In addition, the House bill and Senate amendment
differ in their provisions regarding adequate yearly progress
pursuant to each respective Title I, part A provisions.)
LC
137. The Senate amendment does not contain a similar
provision.
HR
138. The House bill does not contain a similar provision.
SR with amendment to insert State flexibility
demonstration, State accountability for AYP, and changes to
NAEP and NAGB in NESA:

[[Page H10036]]

(1) State flexibility Demonstration:
The purpose of this part is to allow 7 States additional
flexibility in the use of federal funds for State
administration and State activity funds. If a State chooses
to participate, it does not affect how much money they
receive--the same federal formulas apply.
Eligible Programs:
Part A of Title I--State administration only (Education for
the Disadvantaged);
Part B of Title I (Reading First and Even Start);
Section 2113(a)(3) of Part A of Title II (Teachers);
Section 2412(a)(1) of Part D of Title II (Technology);
Sections 4112(a)(1) (with the agreement of the Governor),
4112(c)(1), and 4112(b)(2) of Part A of Title IV (Safe and
Drug Free Schools);
Section 4202(c)(2) and (3) of Part B of Title IV (21st
Century Community Learning Centers);
Sections 5112(a) and 5112(b) of Part A of Title V--State
administration, State activity and Local activity funds
(Innovative Programs Block Grant).
Title V Block Grant--If the State educational agency
includes the local activity funds, it must ensure 85% of pre-
FY 2002 funds are sent locally and 100% of funds above the FY
2002 funds are sent locally.
Agreement with the Secretary--The State educational agency
would apply to the Secretary to be able to take advantage of
this flexibility.
Use of Funds--Similar to the schoolwide provision which
allows consolidation of federal dollars at the school level,
funds could be used for any educational activity authorized
under H.R. 1, to meet the general purposes of the program
funds included in the waiver, in order to improve academic
achievement and close achievement gaps.
Approval--The Secretary may approve the application only if
the Secretary determines that such application demonstrates
substantial promise of carrying out the education reform
goals of the State.
Reporting--States would annually report to the Secretary on
how they are using these funds in accordance with their
waiver.
Termination--The Secretary will terminate the State
flexibility under this part if the State fails to meet
adequate yearly progress for 2 consecutive years or for non-
compliance with the terms of the application.
Alignment--State flexibility demonstration States must have
no less than 4, but no more than 10, local flexibility
demonstration districts in alignment with the State
flexibility demonstration, and that at least half of the
districts must be districts with a poverty percentage of 20%
or higher. Districts participating in the State flex demo
State must align with the State flexibility demonstration for
the State to be eligible to participate in State flex.
Additional local flex demo districts beyond the minimum 4
districts required under the State flex demo may sign up at
any point, up to a total of 10 districts, so long as they are
in alignment with the State flex demo.
Districts in a State that is participating in State flex,
that are not part of the State flex demo (i.e., not the
initial 4 or among the 10 total) may benefit from the State
flex demo dollars (which is not inclusive of the local flex
demo dollars).
Districts that join the State in the State flex demo (i.e.,
the initial 4 or among the 10 total) shall submit their
performance agreements in conjunction with the State
application for State flex. The State shall submit a
``consolidated'' application including the district
information for those districts participating.
States have priority in signing up for the State flex demo
over districts wishing to sign up for the local flex demo so
as to encourage alignment between the State and districts. If
the State has not notified the Secretary of their interest to
participate in State flex in [6] months after enactment, the
districts in that State may submit performance agreements to
the Secretary.
(2) And State accountability for AYP language:

``SEC. . STATE ACCOUNTABILITY FOR ADEQUATE YEARLY PROGRESS.

``(a) Accountability for Adequate Yearly Progress.--After a
State has had its plan approved under Title I and Title III
of this Act and such plans have been implemented for 2 years,
the Secretary shall review whether the State has met its
adequate yearly progress definition under section 1111
[(b)(2)] of this Act for each of the groups of students
described in section 1111 [(b)(2) . . . (the 4 accountability
subgroups)] and meet its annual measurable objectives under
section [Title III] of this Act.
``(b) Determination.--The Secretary shall use a peer review
process to review, based on data from the State assessments
administered pursuant to section 1111 of this Act, whether a
State has failed to make its definition of adequate yearly
progress for two consecutive years, and to review, based on
data from the evaluations in section [Title III] of this Act,
whether a State has failed to meet its annual measurable
objectives under section [Title III] of this Act for two
consecutive years.
``(c) Technical Assistance.--(1) Based on the determination
described in subsection (b), the Secretary shall provide
technical assistance to a State that has not met its
definition of adequate yearly progress no later than the
beginning of the next school year following the school year
in which the determination described in subsection (b) is
made.
``(2) The technical assistance described in paragraph (1)
shall:
``(A) be valid, reliable and rigorous; and
``(B) provide constructive feedback to help the State meet
its definition of adequate yearly progress.
``(3) Based on the determination described in subsection
(b), the Secretary may provide technical assistance to a
State that has not met its annual objectives in section
[Title III] no later than the beginning of the next school
year following the school year in which the determination in
subsection (b) was made.
``(4) The technical assistance described in paragraph (1)
shall:
``(A) be valid, reliable, and rigorous; and
``(B) provide constructive feedback to help the State meet
its annual measurable objectives in section [Title III].''
Report Language:
``Just as schools and districts that fail to make adequate
yearly progress for student academic achievement for two
consecutive years must develop improvement plans, Conferees
expect States that continually fail to make adequate yearly
progress to develop and implement strategies that will enable
the State to make adequate yearly progress and that
specifically address issues that prevented the State from
making such progress.''
(d) Report to Congress.--Beginning with the 2005-2006
school year, the Secretary shall submit an annual report to
the Committee on Education and the Workforce of the House of
Representatives and the Committee on Health, Education, Labor
and Pensions of the Senate containing--
(1) a list of each State that has not met its definition of
adequate yearly progress based on the determination described
in subsection (b);
(2) a list of each State that has not met its annual
measurable objectives under section
[ --Title III];
(3) the information reported by the State to the Secretary
pursuant to section 1119
[ --teacher accountability]; and
(4) a description of any technical assistance provided
pursuant to subsection (c)
Report Language:
Conferees stress that a fundamental purpose of Title I as
established under this Act is to hold States, local
educational agencies and schools accountable for improving
the academic achievement of all students, and for identifying
and turning around low-performing schools. As a result,
Conferees expect States to meet their definition of adequate
yearly progress to the same degree as local school districts
and schools. The Conferees further urge Congress and the
Secretary to thoroughly examine the data collected from the
State assessment systems and factor such information into
future discussions on accountability measures for States,
which should include consideration of the use of fiscal
sanctions to hold those States that continually fail to meet
their definition of adequate yearly progress and fail to
improve the academic achievement of all students accountable.
(3) Sections 411 and 412 of the NESA are amended to read as
follows:

``SEC. 411. NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS.

[[Page H10037]]

and 12 in public and private schools in regularly scheduled
intervals in additional subject matter, including writing,
science, history, geography, civics, economics, foreign
languages, and arts, and the trend assessment described in
subparagraph (F);
``(E) conduct the reading and mathematics assessments
described in subparagraph (B) in the same year, and every
other year thereafter, to thereby provide for one year in
which no such assessments are conducted in between each
administration of such assessments; and
``(F) continue to conduct the trend assessment of academic
achievement at ages 9, 13, and 17 for the purpose of
maintaining data on long-term trends in reading and
mathematics.

[Report Language: ``The Conferees intend the long-term trend
assessment will continue to be administered in the same
manner as prior to the enactment of [NCLB/BEST]. Further, the
Conferees intend that NAGB shall formulate policy for the
long-term trend assessment.'']
``(G) include information on special groups, including,
whenever feasible, information collected, cross tabulated,
compared, and reported by race or ethnicity, socioeconomic
status, gender, disability and limited English proficiency;
and
``(H) ensure that achievement data are made available on a
timely basis following official reporting, in a manner that
facilitates further analysis and that includes trend lines;
``(2) State assessments.--(A) The Commissioner--
``(i) shall conduct biennial State academic assessments of
student achievement in reading and mathematics in grades 4
and 8 as described in paragraphs (1)(B) and (1)(E);
``(ii) may conduct the State academic assessments of
student achievement in reading and mathematics in grade 12 as
described in paragraph (1)(C);
``(iii) may conduct State academic assessments of student
achievement in grades 4, 8, and 12 as described in paragraph
(1)(D); and
``(iv) shall conduct each such State assessment, in each
subject area and at each grade level, on a developmental
basis until the Commissioner determines, as the result of an
evaluation required by subsection (f), that such assessment
produces high quality data that are valid and reliable.
``(B)(i) States participating in State assessments shall
enter into an agreement with the Secretary pursuant to
subsection (d)(3).
``(ii) Such agreement shall contain information sufficient
to give States full information about the process for
decision-making (which shall include the consensus process
used), on objectives to be tested, and the standards for
random sampling, test administration, test security, data
collection, validation, and reporting.
``(C)(i) Except as provided in clause (ii), a participating
State shall review and give permission for the release of
results from any test of its students administered as a part
of a State assessment prior to the release of such data.
Refusal by a State to release its data shall not restrict the
release of data from other States that have approved the
release of such data.
``(ii) A State participating in the biennial academic
assessments of student achievement in reading and mathematics
in grades 4 and 8 shall be deemed to have given its
permission to release its data if it has an approved plan
under section 1111 of the Elementary and Secondary Education
Act of 1965.
``(3) Prohibited activities.--
``(A) The use of assessment items and data on any
assessment authorized under this section by an agent or
agents of the Federal Government to rank, compare, or
otherwise evaluate individual students or teachers, or to
provide rewards or sanctions for individual students,
teachers, schools or local educational agencies is
prohibited.
``(B) Special rule.--Any assessment authorized under this
section shall not be used by an agent or agents of the
Federal Government to establish, require, or influence the
standards, assessments, curriculum, including lesson plans,
textbooks, or classroom materials, or instructional practices
of States or local educational agencies.
``(C) Applicability to student educational decisions.--
Nothing in this section shall prescribe the use of any
assessment authorized under this section for student
promotion or graduation purposes.
``(D) Applicability to home schools.--Nothing in this
section shall be construed to affect home schools, whether or
not a home school is treated as a home school or a private
school under State law, nor shall any home schooled student
be required to participate in any assessment referenced or
authorized under this section.
``(4) In carrying out any assessment authorized under this
section, the Commissioner, in a manner consistent with
subsection (c)(2), shall--
``(A) use widely accepted professional testing standards,
objectively measure academic achievement, knowledge, and
skills, and ensure that any academic assessment authorized
under this section be tests that do not evaluate or assess
personal or family beliefs and attitudes or publicly disclose
personally identifiable information;

[Report language: The Conferees wish to clarify that this
provision does not prohibit the use of essay, extended
response, or short answer test items, nor does it prohibit
the use of test items which require a student to analyze a
passage of text, or to express opinions provided that such
test items are developed consistent with widely accepted
professional assessment standards. Further, it does not
preclude the use of non-intrusive, non-cognitive questions,
approved by the National Assessment Governing Board, whose
direct relationship to academic achievement has been
demonstrated and is being studied as part of the National
Assessment of Educational Progress for the purposes of
improving such achievement.]

``(B) only collect information that is directly related to
the appraisal of academic achievement, and to the fair and
accurate presentation of such information; and''

[Report Language: The Conferees wish to clarify that ``fair
and accurate presentation'' is intended to mean that the data
and information resulting from the implementation of this
section, whether aggregated at the national, regional, or
State level, are valid and reliable and reported to the
public in a manner that is impartial and free of
misinterpretation, such as ensuring the statistical accuracy
of the data and information and not ranking State
performance.]

``(C) collect information on race, ethnicity, socioeconomic
status, disability, limited English proficiency, and gender.
``(5) Technical assistance.--In carrying out any assessment
authorized under this section, the Commissioner may provide
technical assistance to States, localities, and other
parties.
``(c) Access.--
``(1) Public access.--Except as provided in paragraph (2),
parents and members of the public shall have access to all
assessment data, questions, and complete and current
assessment instruments of any assessment authorized under
this section. The local educational agency shall make
reasonable efforts to inform parents and members of the
public about the access required under this paragraph.
``(A) The access described in this paragraph shall be
provided within 45 days of the date the request was made, in
writing, and be made available in a secure setting that is
convenient to both parties.''

[Report Language: ``The Conferees intend the access provided
in subsection (c)(1) to be arranged by the Department of
Education.'']

``(B) To protect the integrity of the assessment, no copy
of the assessment items or assessment instruments shall be
duplicated or taken from the secure setting.
``(2) Parents and members of the public may submit written
complaints to the National Assessment Governing Board.
``(A) The National Assessment Governing Board shall forward
such complaints to the Commissioner of the National Center of
Education Statistics, the Secretary of Education, and the
State and local educational agency from within which the
complaint originated within 30 days of receipt of such
complaint.
``(B) The National Assessment Governing Board, in
consultation with the Commissioner of the National Center for
Education Statistics, shall review such complaint and
determine whether revisions are necessary and appropriate. As
determined by such review, the Board shall revise, as
necessary and appropriate, the procedures or assessment items
that have generated the complaint and respond to the
individual submitting the complaint, with a copy of such
response provided to the Secretary, describing any action
taken, not later than 30 days after so acting.
``(C) The Secretary shall submit a summary report of all
complaints received pursuant to subparagraph (A) and
responses by the National Assessment Governing Board pursuant
to subparagraph (B) to the Chairman of the House Committee on
Education and the Workforce, and the Chairman of the Senate
Committee on Health, Education, Labor, and Pensions.
``(D) Special rule.--(i) The Commissioner may decline to
make widely available through public means, such as posting
on the Internet, distribution to the media, and distribution
through public agencies, for a period, not to exceed ten
years after initial use, cognitive questions that the
Commissioner intends to reuse in the future.
``(ii) Notwithstanding clause (i), the Commissioner may
decline to make cognitive questions widely available as
described in clause (i) for a period longer than ten years if
the Commissioner determines such additional period is
necessary to protect the security and integrity of long-term
trend data.''

[Report Language: ``The Conferees wish to clarify that the
access described in paragraph (1) shall continue to be
provided to parents and members of the public who request it
in writing to all cognitive questions and complete and
current assessment instruments of any assessment authorized
under this section, including those test items that the
Commissioner intends to withhold pursuant to subparagraph
(G).'']

``(2) Personally identifiable information.--
``(A) The Commissioner shall ensure that all personally
identifiable information about students, their academic
achievement, and their families, and that information with
respect to individual schools, remains confidential, in
accordance with section 552a of title 5, United States Code.

[[Page H10038]]

``(B) Neither the National Board, the Commissioner, nor any
contractor or subcontractor shall maintain any system of
records containing a student's name, birth information,
Social Security number, or parents' name or names, or any
other personally identifiable information.
``(3) Any unauthorized person who knowingly discloses,
publishes, or uses assessment questions, or complete and
current assessment instruments of any assessment authorized
under this section may be fined as specified in section 3571
of title 18, United States Code or charged with a class E
felony.
``(d) Participation.--
``(1) Voluntary participation.--Participation in any
assessment authorized under this section shall be voluntary
for students, schools and local educational agencies.
``(2) Student participation.--Parents of children selected
to participate in any assessment authorized under this
section shall be informed before the administration of any
authorized assessment, that their child may be excused from
participation for any reason, is not required to finish any
authorized assessment, and is not required to answer any test
question.
``(3) State participation.--
``(A) Participation in assessments authorized under this
section, other than reading and mathematics in grades 4 and
8, shall be voluntary.
``(B) For reading and mathematics assessments in grades 4
and 8, the Secretary shall enter into an agreement with any
State carrying out an assessment for the State under this
subsection. Each such agreement shall contain provisions
designed to ensure that the State will participate in the
assessment.
``(4) Review.--Representatives of State and local
educational agencies or the chief State school officer shall
have the right to review any assessment item or procedure of
any authorized assessment upon request in a manner consistent
with subsection (c), except the review described in
subparagraph (1)(E) of subsection (c) shall take place in
consultation with the representatives described in this
paragraph.
``(e) Student achievement levels.--
``(1) Achievement levels.--The National Assessment
Governing Board, established under section 412, shall develop
appropriate student achievement levels for each grade or age
in each subject area to be tested under assessments
authorized under this section, except the trend assessment
described in subsection (b)(1)(F).
``(2) Determination of levels.--
``(A) Such levels shall be determined by--
``(i) identifying the knowledge that can be measured and
verified objectively using widely accepted professional
assessment standards;
``(ii) developing achievement levels that are consistent
with relevant widely accepted professional assessment
standards and based on the appropriate level of subject
matter knowledge for grade levels to be assessed, or the age
of the students, as the case may be.
``(iii) after the determinations described in clauses (i)
and (ii), such levels shall be further devised through a
national consensus approach; and''

[Report language: The national consensus approach shall
include, but not be limited to, parents, concerned members of
the public, teachers, principals, local school
administrators, curriculum specialists, and experts described
in section 412(e)(1)(E).]
``(iv) used on a trial basis until the Commissioner
determines, as a result of an evaluation under subsection
(f), that such levels are reasonable, valid, and informative
to the public. The Commissioner and the Board shall ensure
that reports using such levels on a trial basis do so in a
manner that makes clear the status of such levels.
``(B) Such levels shall be updated as appropriate by the
National Assessment Governing Board in consultation with the
Commissioner.
``(3) Reporting.--After determining that such levels are
reasonable, valid, and informative to the public, as the
result of an evaluation under subsection (f), the
Commissioner shall use such levels or other methods or
indicators for reporting results of the National Assessment
and State assessments.
``(4) The National Assessment Governing Board shall provide
for a review of any trial student achievement levels under
development by representatives of State educational agencies
or the chief State school officer in a manner consistent with
subsection (c), except the review described in subparagraph
(1)(E) of subsection (c) shall take place in consultation
with the representatives described in this paragraph.
``(f) Review of National and State Assessments.--
``(1) In general.--(A) The Secretary shall provide for
continuing review of any assessment authorized under this
section, and student achievement levels, by one or more
professional assessment evaluation organizations.
``(B) Such continuing review shall address--
``(i) whether any authorized assessment is properly
administered, produces high quality data that are valid and
reliable, is consistent with relevant widely accepted
professional assessment standards, and produces data on
student achievement that are not otherwise available to the
State (other than data comparing participating States to each
other and the Nation); and
``(ii) whether student achievement levels are reasonable,
valid, reliable, and informative to the public;
``(iii) whether any authorized assessment is being
administered as a random sample and is reporting the trends
in academic achievement in a valid and reliable manner in the
subject areas being assessed;
``(iv) whether any of the test questions are biased,
consistent with section 412(e)(4);
``(v) whether the appropriate authorized assessments are
measuring, consistent with section 411, reading ability and
mathematical knowledge.
``(2) Report.--The Secretary shall report to the Committee
on Education and the Workforce of the House of
Representatives and the Committee on Health, Education, Labor
and Pensions of the Senate, the President, and the Nation on
the findings and recommendations of such reviews.
``(3) Use of findings and recommendations--The Commissioner
and the National Assessment Governing Board shall consider
the findings and recommendations of such reviews in designing
the competition to select the organization, or organizations,
through which the Commissioner carries out the National
Assessment.
(g) ``Coverage Agreements.--
``(1) Department of defense schools.--The Secretary and the
Secretary of Defense may enter into an agreement, including
such terms as are mutually satisfactory, to include in the
National Assessment elementary and secondary schools operated
by the Department of Defense.
``(2) Bureau of indian affairs schools.--The Secretary and
the Secretary of the Interior may enter into an agreement,
including such terms as are mutually satisfactory, to include
in the National Assessment schools for Indian children
operated or supported by the Bureau of Indian Affairs.

``SEC. 412. NATIONAL ASSESSMENT GOVERNING BOARD.

``(a) Establishment.--There is established the National
Assessment Governing Board (hereafter in this title referred
to as the ''Board''), which shall formulate policy guidelines
for the National Assessment.
``(b) Membership.--
``(1) Appointment and composition.--The Board shall be
appointed by the Secretary and be composed of--
``(A) two Governors, or former Governors, who shall not be
members of the same political party;
``(B) two State legislators, who shall not be members of
the same political party;
``(C) two chief State school officers;
``(D) one superintendent of a local educational agency;
``(E) one member of a State board of education;
``(F) one member of a local board of education;
``(G) three classroom teachers representing the grade
levels at which the National Assessment is conducted;
``(H) one representative of business or industry;
``(I) two curriculum specialists;
``(J) three testing and measurement experts, who shall have
training and experience in the field of testing and
measurement;
``(K) one nonpublic school administrators or policymakers;
``(L) two school principals, of whom one shall be an
elementary school principal and one shall be a secondary
school principal;
``(M) two parents who are not employed by a local, State or
federal educational agency; and
``(N) two additional members who are representatives of the
general public, and who may be parents, but who are not
employed by a local, State, or federal educational agency.
``(2) Assistant secretary for educational research.--The
Assistant Secretary for Educational Research and Improvement
shall serve as an ex officio, nonvoting member of the Board.
``(3) Special rule.--The Secretary and the Board shall
ensure at all times that the membership of the Board reflects
regional, racial, gender, and cultural balance and diversity
and that the Board exercises its independent judgment, free
from inappropriate influences and special interests.
``(c) Terms.--
``(1) In general.--Terms of service of members of the Board
shall be staggered and may not exceed a period of 4 years, as
determined by the Secretary.
``(2) Service limitation.--Members of the Board may serve
not more than two terms.
``(3) Change of status.--A member of the Board who changes
status under subsection (b) during the term of the
appointment of the member may continue to serve as a member
until the expiration of such term.
``(4) Conforming provision.--Members of the Board
previously granted 3 year terms, whose terms are in effect on
the date of enactment of the Department of Education
Appropriations Act, 2001, shall have their terms extended by
one year.
``(d) Vacancies.--
``(1) In general.--
``(A) The Secretary shall appoint new members to fill
vacancies on the Board from among individuals who are
nominated by organizations representing the type of
individuals described in subsection (b)(1) with respect to
which the vacancy exists.
``(B) Each organization submitting nominations to the
Secretary with respect to a particular vacancy shall nominate
for such vacancy six individuals who are qualified by

[[Page H10039]]

experience or training to fill the particular Board vacancy.
``(C) The Secretary's appointments shall maintain the
composition, diversity, and balance of the Board required
under subsection (b).
``(2) Additional nominations.--The Secretary may request
that each organization described in paragraph (1)(A) submit
additional nominations if the Secretary determines that none
of the individuals nominated by such organization have
appropriate knowledge or expertise.
``(e) Duties.--
``(1) In general.--In carrying out its functions under this
section the Board shall--
``(A) select the subject areas to be assessed (consistent
with section 411(b)(1));
``(B) develop appropriate student achievement levels as
provided in section 411(e);
``(C) develop assessment objectives consistent with the
requirements of this section and test specifications that
produce an assessment that is valid and reliable, and are
based on relevant widely accepted professional standards;
``(D) develop a process for review of the assessment which
includes the active participation of teachers, curriculum
specialists, local school administrators, parents, and
concerned members of the public;
``(E) design the methodology of the assessment to ensure
that assessment items are valid and reliable, in consultation
with appropriate technical experts in measurement and
assessment, content and subject matter, sampling, and other
technical experts who engage in large scale surveys,
including the Advisory Council established under section 407;
``(F) consistent with section 411, measure student academic
achievement in grades 4, 8, and 12 in the authorized academic
subjects;
``(G) develop guidelines for reporting and disseminating
results;
``(H) develop standards and procedures for regional and
national comparisons; and
``(I) take appropriate actions needed to improve the form,
content, use, and reporting of results of any assessment
authorized by section 411 consistent with the provisions of
this section and section 411.
``(2) Delegation.--The Board may delegate any of the
Board's procedural and administrative functions to its staff.
``(3) All cognitive and non cognitive assessment items.--
The Board shall have final authority on the appropriateness
of all assessment items.
``(4) Prohibition against bias.--The Board shall take steps
to ensure that all items selected for use in the National
Assessment are free from racial, cultural, gender, or
regional bias and are secular, neutral, and non-ideological.
``(5) Technical.--In carrying out the duties required by
paragraph (1), the Board may seek technical advice, as
appropriate, from the Commissioner and the Advisory Council
on Education Statistics and other experts.
``(6) Report.--Not later than 90 days after an evaluation
of the student achievement levels under section 411(e), the
Board shall make a report to the Secretary, the Committee on
Education and Labor of the House of Representatives, and the
Committee on Labor and Human Resources of the Senate
describing the steps the Board is taking to respond to each
of the recommendations contained in such evaluation.
```(f) Personnel.--
``(1) In general.--In the exercise of its responsibilities,
the Board shall be independent of the Secretary and the other
offices and officers of the Department.
``(2) Staff.--
``(A) The Secretary may appoint, at the request of the
Board, such staff as will enable the Board to carry out its
responsibilities.
``(B) Such appointments may include, for terms not to
exceed three years and without regard to the provisions of
title 5, United States Code, governing appointments in the
competitive service, not more than six technical employees
who may be paid without regard to the provisions of chapter
51 and subchapter III of chapter 53 of such title relating to
classification and General Schedule pay rates.
(g) Coordination.--The Commissioner and the Board shall
meet periodically--
``(1) to ensure coordination of their duties and activities
relating to the National Assessment; and
``(2) for the Commissioner to report to the Board on the
Department's actions to implement the decisions of the Board.
``(h) Administration.--Only sections 10, 11, and 12 of the
Federal Advisory Committee Act shall apply with respect to
the Board.

Title VIII--General Provisions

(New Title IX)

1. The House bill and the Senate amendment have identical
definitions of ``average daily attendance'' with a small
technical difference in wording in paragraph (D).
HR
2. The House bill and the Senate amendment have identical
definitions of ``average per pupil expenditure.''
LC
3. The House bill, but not the Senate amendment, includes a
definition of ``beginning teacher.''
SR
4. The House bill and the Senate amendment have identical
definitions of ``child.''
LC
5. The House bill, but not the Senate amendment includes a
definition of ``child with a disability.''
SR with an amendment that the term ``child with
disability'' means the same as such words in section 602 of
the Individuals with Disabilities Education Act.
6. The House bill and the Senate amendment have identical
definitions of ``community-based organization.''
LC
7. The House bill and the Senate amendment have identical
definitions of ``consolidated local application'' with a
technical difference in cross-references.
LC
8. The House bill and the Senate amendment have identical
definitions of ``consolidated local plan'' with a technical
difference in cross-references.
LC
9. The Senate amendment notes that the application is
submitted after consultation with the Governor. The House
bill does not have such a provision in the definition.
However, see note 65 relating to consolidated state
applications under section 8302 of the House bill.
SR
Report Language:
The Conferees recognize the importance of federal funds
working in conjunction with state education reform efforts.
It is the intent of the Conferees that consultation with the
Governor by the State educational agency on the federal
education plans be a meaningful and regular collaboration.
LC--insert in alphabetical order the following definition
for Core Academic Subjects:
``(#) Core Academic Subjects.--The term `core academic
subjects' means English, reading or language arts,
mathematics, science, foreign languages, civics and
government, economics, arts, history, and geography.''
10. The Senate amendment notes that the plan is submitted
after consultation with the Governor. The House bill does not
have such a provision in the definition. However, see note 65
relating to consolidated state applications which references
consultation with the Governor in the House bill.
SR
11. The House bill and the Senate amendment have identical
definitions of ``county.''
LC
12. The House bill and Senate amendment are similar with
the exception that the House bill covers more programs.
HR/SR with an amendment as follows:
(#) Covered program.--The term ``covered program'' means
each of the programs authorized by--
(A) part A of title I; [Disadvantaged]
(B) subpart 3 of part B of title I; [Even Start]
(C) part C of title I; [Migrants]
(D) part D of title I; [Neglected & Delinquent]
(E) part F of title I; [Comprehensive School Reform]
(F) part A of title II; [Teachers]
(G) part D of title II; [Technology]
(H) part A of title III; [Bilingual]
(I) part A of title IV; [Safe & Drug Free]
(J) part B of title IV; [21st Century Schools]
(K) part A of title V; and [Block Grant]
(L) subpart 2 of part B of title VI. [Rural]
13. The House bill and the Senate amendment are
substantially similar with the exception that the Senate
amendment includes expenditures for health services, while
the House bill does not. The House bill, but not the Senate
amendment excludes expenditures from funds received under
Title I. The reference to part A of title IV in the House
bill and the reference to subpart 4 of part B of title V are
references to the same thing--the innovative grants program.
HR on 11 (A)
SR on 11 (B)
14. The House bill and the Senate amendment are identical.
LC (fit between definitions at note 14 and 15) insert the
following definition for the term distance learning: ``the
transmission of educational or instructional programming to
geographically dispersed individuals and groups via
telecommunications.''
15. The House bill and the Senate amendment are identical.
LC
16. The House bill, but not the Senate amendment, includes
a definition of ``effective schools program.''
SR
17. The House bill and the Senate amendment are identical.
LC
18. The House bill, but not the Senate amendment, includes
a definition of ``essential components of reading
instruction.''
SR with an amendment to move definition approved to Title
I, Part B notes 117-119:
``(18) Essential components of reading instruction.--The
term ``major components of reading instruction'' means
systematic instruction that includes--
(A) phonemic awareness;
(B) phonics;
(C) vocabulary development;
(D) reading fluency, including oral reading skills; and
(E) reading comprehension strategies.
LC--insert in alphabetical order the following definition
for Exemplary Teacher:
(#) Exemplary teacher.--The term `exemplary teacher' means
a teacher who--
``(i) is a highly qualified teacher such as a master
teacher;
``(ii) has been teaching for at least 5 years in a public
or private school or institution of higher education;

[[Page H10040]]

``(iii) is recommended by administrators and other teachers
who are knowledgeable of the individual's performance;
``(iv) is currently teaching and based in a public school;
and
``(v) assists other teachers in improving instructional
strategies, improves the skills of other teachers, performs
mentoring, develops curriculum, and offers other professional
development.''
19. The House bill, but not the Senate amendment, includes
a definition of ``family literacy services''
SR
20. The House bill and the Senate amendment are identical.
LC
21. The House bill, but not the Senate amendment, includes
a definition of ``fully qualified.''
LC--insert in alphabetical order the following definition
for Highly Qualified:
(#) Highly qualified.--The term ``highly qualified
teacher''--
(A) when used with respect to any public elementary or
secondary school teacher means that--
(i) the teacher has obtained full State certification as a
teacher (including certification obtained through alternative
routes to certification) or passed the State teacher
licensing exam, and holds a license to teach in such State,
except that when used with respect to any teacher teaching in
a public charter school, means that the teacher meets the
requirements set forth in the State's public charter school
law; and,
(ii) the teacher has not had certification or licensure
requirements waived on an emergency, temporary, or
provisional basis.
(B) when used with respect to--
(i) an elementary school teacher that is new to the
profession, means that the teacher holds a bachelor's degree
and has demonstrated, by passing a rigorous State test or
tests, subject knowledge and teaching skills in reading,
writing, mathematics, and other areas of the basic elementary
school curriculum. This requirement shall be considered to be
met if a teacher has passed a state-required licensure or
certification test or tests, in reading, writing,
mathematics, and other elements of the basic elementary
school curriculum;
(ii) a middle or secondary school teacher that is new to
the profession, means that the teacher holds at least a
bachelor's degree and demonstrates a high level of competency
in each of the subject areas in which he or she teaches
through--

(I) a passing level of performance on a rigorous State
academic subject area test in each of the subject areas in
which he or she provides instruction. This requirement shall
be considered to be met if a teacher has passed a state-
required licensure or certification test or tests in each of
the subject areas in which he or she provides instruction; or
(II) completion, in each of the subject areas in which he
or she provides instruction, of: an academic major, a
graduate degree, successful completion of coursework
equivalent to an undergraduate major, or advanced
certification or credentialing.

(C) When used with respect to an elementary, middle, or
high school teacher that is not new to the profession means
that the teacher holds a bachelor's degree and has--
(i) met the applicable standard in (B)(i) or (B)(ii), which
includes an option for a test, or
(ii) demonstrates competence in all the subjects he or she
teaches based on a high objective uniform state standard of
evaluation that:

(aa) is set by the State for both grade appropriate
academic subject area knowledge and teaching skills;
(bb) is aligned with State content and student academic
achievement standards and developed in consultation with core
content specialists, teachers, principals, and school
administrators;
(cc) provides objective, coherent information about
teachers' attainment of core content knowledge in the subject
or subjects they teach;
(dd) is applied uniformly to all teachers in the same
subject and the same grade level throughout the state;
(ee) shall take into consideration, but not be based
primarily on, the time the teacher has been teaching in the
subject area;
(ff) shall be made available to the public upon request;
and
(gg) may involve multiple, objective measures of teacher
competency.

Report Language:
With respect to the alternative standard in subsection
(C)(ii), the conferees intend that elementary school teachers
would meet this standard by demonstrating appropriate
knowledge and teaching skills for the grade levels and
subjects they teach.
22. The House bill and Senate amendment are identical.
LC
23. The House bill and Senate amendment are identical.
LC with an amendment to change ``section 101'' to ``section
101(a)''
24. The House bill, but not the Senate amendment, includes
a definition of ``limited English proficient student.''
SR with an amendment to include the following language:
``(4) Limited english proficient.--The term `limited
English proficient' means an individual--
``(A) who is aged 3 through 21;
``(B) who is enrolled or preparing to enroll in an
elementary school or secondary school;
``(C)(i) who was not born in the United States or whose
native language is a language other than English;
``(ii)(I) who is a Native American or Alaska Native, or a
native resident of the outlying areas; and
``(II) who comes from an environment where a language other
than English has had a significant impact on such
individual's level of English language proficiency; or
``(iii) who is migratory, whose native language is a
language other than English, and who comes from an
environment where a language other than English is dominant;
and
``(D) who has sufficient difficulty speaking, reading,
writing, or understanding the English language, and whose
difficulties may deny the individual--
``(i) the ability to meet the State's proficient level of
performance on State assessments described in section
1111(b)(3);
``(ii) the ability to successfully achieve in classrooms
where the language of instruction is English; or
``(iii) the opportunity to participate fully in society.
25. The House bill and the Senate amendment are identical
with the exception that the House bill includes educational
service agencies or consortium of such agencies in this
definition under (D).
LC; SR with an amendment to add subsection (e) as follows:
``(e) The term includes the State Educational Agency in a
State in which the State Educational Agency is the sole
educational agency for all public schools.''
26. The House bill and the Senate amendment are
substantially the same. However, the Senate amendment limits
application of this definition to mentoring other than
teacher mentoring.
SR with an amendment:
(26) Mentoring.--The term `mentoring' means, except when
used to mean `teacher mentoring,' a process by which a
responsible adult, postsecondary student, or secondary
student works with a child to provide a positive role model
for the child, to establish a supportive relationship with
the child, and to provide the child with academic assistance
and exposure to new experiences and examples of opportunity
that enhance the ability of the child to become a responsible
adult.
27. The House bill, but not the Senate amendment, includes
a definition of ``Native American'' and ``Native American
language.''
SR
28. The House bill and the Senate amendment have identical
definitions of ``other staff.''
LC
29. The House bill, but not the Senate amendment, would
limit eligibility for the Marshall Islands, Federated States
of Micronesia, and Palau through fiscal year 2003. The House
bill uses the descriptor the ``freely associated states''
while the Senate amendment does not.
SR with an amendment:
Outlying Area: The term outlying area means the Virgin
Islands, Guam, American Samoa, and the Commonwealth of the
Northern Mariana Islands, and for the purpose of section
1121(b)(1) and any other discretionary grant program,
includes the freely associated states of the Republic of the
Marshall Islands, the Federated States of Micronesia, and the
Republic of Palau until agreed provisions for future United
States education assistance under a separate agreement for
the extension of United States assistance under the Compact
of Free Association for each of the freely associated States
enters into effect after the date of enactment of this Act.
Report Language:
The Conferees intend that the freely associated states of
the Republic of the Marshall Islands, the Federated States of
Micronesia and the Republic of Palau shall remain eligible
for grants as provided for in section 1121(b)(1) and for any
other discretionary grant program under the Elementary and
Secondary Education Act to the extent such programs, grant
assistance, and services are provided to the States and local
governments of the United States and residents of such States
for which a freely associated state or its citizens were
eligible on October 1, 1999. This eligibility shall continue
through the period of negotiations referred to in section 231
of the Compact of Free Association and shall end once
agreements for the extension of United States education
assistance under the Compact of Free Association enters into
effect. The Conferees understand that the federal financial
assistance under the Compact of Free Association for the
Republic of the Marshall Islands and the Federated States of
Micronesia expires on September 30, 2003 and urge that an
agreement regarding future assistance is submitted to the
Congress for approval at least one year before that date. The
Conferees strongly urge that the agreement be ratified by the
Congress prior to September 30, 2003. The Conferees also
recognize that the federal financial assistance under the
Compact of Free Association for the Republic of Palau is set
to expire in 2009 and strongly urge that an agreement
regarding future assistance for Palau is submitted to the
Congress for approval at least one year before that date. The
Conferees strongly urge that the agreement be ratified by
Congress prior to that date. The Conferees strongly recommend
that any Compact enacted after the date of enactment of this
Act provide sufficient funds for education to the Freely
Associated States and the Republic of Palau so

[[Page H10041]]

that funds under the Elementary and Secondary Education Act
will no longer be needed for these purposes.
30. The House bill and the Senate bill are substantially
the same, with the exception that the House bill further sets
forth examples of a person standing in loco parentis.
SR
31. The Senate amendment, but not the House bill, includes
a definition of ``parental involvement.''
HR with an amendment:
``(#) Parental Involvement.--The term `parental
involvement' means the participation of parents in regular,
two-way, and meaningful communication involving student
academic learning and other school activities, including
ensuring--
``(A) that parents play an integral role in assisting their
child's learning;
``(B) that parents are encouraged to be actively involved
in their child's education at school;
``(C) that parents are full partners in their child's
education included, as appropriate, in decision-making and on
advisory committees to assist in the education of their
child;
``(D) the carrying out of other activities, such as those
described in section 1118.
Report Language:
The conferees believe that parents must be integrally
involved in their child's education in order for that child
to increase their academic achievement. The conferees expect
that principals, teachers, and school administrators involve
parents in school activities, particularly those involving
academic achievement and take advantage of their knowledge
and expertise.''
LC--insert in alphabetical order the following definition
for Poverty Line:
``(#) Poverty Line.--The term `poverty line' means the
poverty line (as defined by the Office of Management and
Budget and revised annually in accordance with section 673(2)
of the Community Services Block Grant Act) applicable to a
family of the size involved.''
LC--insert in alphabetical order the following definition
for Professional Development:
``(#) Professional Development.--The term `professional
development' means activities that--
``(A) improve and increase teachers' knowledge of the
subjects they teach and to enable teachers to become highly
qualified;
``(B) are an integral part of broad schoolwide and
districtwide educational improvement plans;
``(C) give teachers, principals, and administrators the
knowledge and skills to provide students with the opportunity
to meet challenging State academic content standards and
student achievement standards;
``(D) improve classroom management skills;
``(E) are high quality, sustained, intensive, and
classroom-focused in order to have a positive and lasting
impact on classroom instruction and the teacher's performance
in the classroom, and are not one-day or short-term workshops
or conferences;
``(F) support the recruiting, hiring, and training of
highly qualified teachers, including teachers highly
qualified through State and local alternative routes;
``(G) advance teacher understanding of effective
instructional strategies based on scientifically based
research for improving student academic achievement or
substantially increasing the knowledge and teaching skills of
teachers;
``(H) are aligned with and directly related to--
``(i) State academic content standards, student academic
achievement standards, and assessments; and
``(ii) the curricula and programs tied to the standards
described in clause (i) except when used for activities
described in subparagraphs (f) [teaching in different
learning styles] and (G) [student behavior] of section
2031(a)(3) [see pages 25-26 of Title II side-by-side];
``(I) are developed with extensive participation of
teachers, principals, parents, and administrators of schools
to be served under this Act;
``(J) are designed to give teachers of limited English
proficient children, and other teachers and instructional
staff, the knowledge and skills to provide instruction and
appropriate language and academic support services to such
children, including the appropriate use of curriculum and
assessments;
``(K) to the extent appropriate, provide training for
teachers and principals in the use of technology so that
technology and its applications are effectively used in the
classroom to improve teaching and learning in the curriculum
and core academic areas in which the teachers provide
instruction;
``(L) as a whole, are regularly evaluated for their impact
on increased teacher effectiveness and improved student
achievement, with the findings of such evaluations used to
improve the quality of professional development;
``(M) provide instruction in methods of teaching children
with special needs.
``(N) include instruction in the use of data and
assessments to inform and instruct classroom practice;
``(O) include instruction in ways that teachers,
principals, pupil services personnel, and school
administrators may work more effectively with parents;
``(P) may include the forming of partnerships with
institutions of higher education to establish school-based
teacher training programs that provide prospective teachers
and novice teachers with an opportunity to work under the
guidance of experienced teachers and college faculty;
``(Q) may include the creation of programs for
paraprofessionals (assisting teachers employed by a local
educational agency receiving assistance under this part) to
obtain the education necessary for such paraprofessionals to
become licensed and certified teachers; and
``(R) may include activities that provide follow-up
training to teachers who have participated in professional
development activities which are designed to ensure that the
knowledge and skills learned by the teacher are implemented
in the classroom.''
Report Language for Professional Development definition:
The Conferees note that classroom-focused activities are
those activities which are directly tied to what teachers do
in their classrooms and directly linked to the school's
standards for student learning.
32. The Senate amendment, but not the House bill, includes
a definition of ``public telecommunications entity.
HR with an amendment to add ``(12)'' after ``397''.
33. The House bill and Senate amendment are identical with
a minor technical difference in the cross reference to the
Individuals With Disabilities Education Act.
LC
34. The House bill and the Senate amendment include an
identical definition of ``pupil services.''
LC
35. The House bill, but not the Senate amendment includes a
definition of ``reading.''
SR with an amendment to move definition to note 121 Title
I, Part B:
``(32) Reading.--The term `reading' means a complex system
of deriving meaning from print that requires all of the
following:
``(A) The skills and knowledge to understand how phonemes,
or speech sounds, are connected in print.
``(B) The ability to decode unfamiliar words.
``(C) The ability to read fluently.
``(D) Sufficient background information and vocabulary to
foster reading comprehensions.
``(E) The development of appropriate active strategies to
construct meaning from print.
``(F) The development and maintenance of a motivation to
read.''
36. The House bill, but not the Senate amendment, includes
a definition of ``rigorous diagnostic reading and screening
assessment tools.''
HR/SR with an amendment to move to note 122 of Title I,
Part B:
``Screening assessment.--The term ``screening reading
assessment'' means assessments that are--
``(A) valid, reliable, and based on scientifically-based
reading research; and
``(B) a brief procedure designed as a first step in
identifying children who may be at high risk for delayed
development or academic failure and in need of further
diagnosis of their need for special services or additional
reading instruction.
``Diagnostic reading assessment.--The term `diagnostic
reading assessment' means assessments that are--
``(A) valid, reliable, and based on scientifically-based
reading research;
``(B) used for the purpose of
``(i) identifying a child's specific areas of strengths and
weaknesses so that they have learned to read by the end of
the third grade;
``(ii) determining any difficulties that a child may have
in learning to read and the potential cause of such
difficulties; and
``(iii) helping to determine possible reading intervention
strategies, and related special needs.
``Classroom-based instructional assessment.--The term
`classroom-based instructional assessment' means--
``(A) evaluations of children's learning based on
systematic observations by teachers of children performing
academic tasks that are part of their daily classroom
experience; and
``(B) are used to improve instruction in reading, including
classroom instruction.''
37. The House bill includes a precise list of criteria of
``scientifically based research'' while the Senate amendment
includes a generalized definition.
SR with an amendment:
``(34) Scientifically based research.--The term
`scientifically based research'--
``(A) means the application of rigorous, systematic, and
objective procedures to obtain reliable and valid knowledge
relevant to education activities and programs; and
``(B) includes research that--
``(i) employs systematic, empirical methods that draw on
observation or experiment;
``(ii) involves rigorous data analyses that are adequate to
test the stated hypotheses and justify the general
conclusions drawn;
``(iii) relies on measurements or observational methods
that provide reliable and valid data across evaluators and
observers and across multiple measurements and observations
and across studies by the same or different investigators;
``(iv) is evaluated using experimental or quasi-
experimental designs in which individuals, entities,
programs, or activities are assigned to different conditions
and with appropriate controls to evaluate the effects of the
condition of interest, with a preference for random
assignment experiments, or other designs to the extent such
designs contain

[[Page H10042]]

within-condition or across condition controls;
``(v) ensure experimental studies are presented in
sufficient detail and clarity to allow for replication, or at
a minimum offer the opportunity to build systematically on
its findings; and
``(vi) has been accepted by a peer reviewed journal or
approved by a panel of independent experts through a
comparably rigorous, objective, scientific review.''
38. The House bill and Senate amendment are identical.
LC
39. The House bill and Senate amendment are identical.
LC
40. The House bill and the Senate amendment are identical.
LC
41. The House bill and Senate amendment are identical.
LC
42. The Senate amendment, but not the House bill, includes
a definition of ``teacher mentoring.'' See note 26 above on
mentoring
HR with an amendment in (31)(A) to strike ``beginning'' and
insert ``especially beginning teachers'' after ``teachers''
and in (31)(A)(ii)(I), to strike ``mentor'' and insert
``exemplary''.
Report Language:
The Conferees intend that a teacher mentoring program
should be available to all teachers who need it, and have
emphasized the needs of beginning teachers. This added
emphasis should not be read to exclude veteran teachers from
mentoring programs, but rather to acknowledge the significant
needs of beginning teachers. Data show that half of all
beginning teachers in high-poverty schools drop out of
teaching within five years, and 20 percent of all new
teachers leave teaching within three years. Furthermore, less
than half of teachers in low-performing schools, which are
also likely to be high-poverty schools, are likely to receive
any additional professional development. While beginning
teachers need the help and support that a high quality
mentoring program can provide, the Conferees believe federal
support for mentoring programs should not be limited to
beginning teachers only. Veteran teachers can also benefit
from sustained high quality mentoring and coaching efforts.
A number of recent surveys of teachers demonstrate that
veteran teachers want the type of sustained professional
development that they get by working with successful
teachers. Furthermore, there are a variety of existing
professional development models that have demonstrated the
benefits of providing mentoring and coaching to experienced
teachers, among them the El Paso Collective for Education
Excellence, which pairs veteran math and science teachers
with experienced teaching coaches.
Rather than single out any one group of teachers for
additional support and assistance, the Conferees believe that
any teacher, be it a beginning teacher who is struggling to
handle a class alone for the first time and is at risk of
dropping out of teaching, or one who has taught for multiple
years, who has shown difficulty in advancing the knowledge
and abilities of his or her students, should receive high
quality professional development, which may include being
paired with a mentor or coach. Therefore, the Conferees note
that mentoring services be provided to, but not be limited to
beginning teachers (teachers who have been in the classroom
less than 3 years).
The Conferees also note that teacher mentoring programs
should be part of an ongoing developmental induction process.
Effective induction processes should be a continuous process
throughout a teacher's time as a beginning teacher. This is
to provide the teacher with the most support possible to
enable the teacher to fully adapt to the teaching profession
and increase the likelihood the teacher will continue in the
teaching profession.
43. The House bill and the Senate amendment are similar.
Both describe technology as meaning state-of-the-art
technology products and services, but the Senate amendment
lists many examples of state-of-the-art technology products
and services.
SR with an amendment to strike ``latest''.
Report Language:
The Conferees intend the definition of technology to
include computer hardware, software and other electronically
delivered learning materials, web-based and other digital
learning resources, including on-line classes, interactive
tutorials, and interactive tools and virtual learning
environments, hand-held devices, wireless technology, voice
recognition systems and high quality digital video, distance
learning networks, visualization, modeling and simulation
software and learning focused digital libraries and
information retrieval systems, closed circuit television
systems, educational television, and radio programs and
services, cable television, satellite, copper and fiber optic
transmission, video, audio, and CD-ROM discs, and video and
audio tapes. The Secretary may incorporate additional
specific emerging technologies into the definition of
technology.
44. The House bill, but not the Senate amendment, notes
that Parts B, C, D, and E of Title VIII do not apply to Title
VI (Impact Aid).
SR/LC
45. The House bill, but not the Senate amendment, includes
a provision regarding the application of the provisions to
Bureau of Indian Affairs schools.
SR
46. The House bill and Senate amendment are identical with
the exception that there are different provisions of
applicability in paragraph (2).
SR
47. The House bill and the Senate amendment's uses of funds
are substantially the same, with the exception that the House
bill has a longer list of additional uses of funds.
SR
48. The House bill and the Senate amendment are identical.
LC
49. The House bill and the Senate amendment are identical.
LC
50. The House bill and the Senate amendment are identical.
LC
51. The Senate amendment, but not the House bill,
authorizes the consolidation of funds made available under
Title I to develop standards and assessments.
HR with an amendment to strike ``amounts made available''
and insert ``funds described in subsection (a)''.
52. The House bill and Senate amendment are identical.
LC
53. The House bill and the Senate amendment are
substantially identical with the exception that the Senate
amendment limits this authority to ``covered programs'' while
the House bill applies to programs under the Act. The House
bill refers to ``any fiscal year'' and the Senate amendment
does not.
SR
54. The House bill and the Senate amendment are identical
with technical differences in the cross reference to the Act.
LC
55. The House bill and the Senate amendment are identical.
LC
56. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment refers to ``covered programs'' and the House bill
refers to the administration of the programs at the school
district and school levels. There are other technical
differences.
SR
57. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment refers to ``covered programs.''
SR
58. The Senate amendment, but not the House bill, provides
for an administrative funds study.
SR
59. The House bill and Senate amendment are substantially
the same with the exception of technical differences in
citation.
LC (Need to say McKinney-Vento)
60. The House bill and Senate amendment are identical.
LC
61. The House bill and Senate amendment are identical.
LC
62. The House bill and the Senate amendment are identical.
LC
63. The Senate amendment, but not the House bill, includes
a provision on unneeded program funds. See note of Title
VII, Part B of the House bill for comprehensive
transferability authority.
SR
64. The House bill and the Senate amendment are similar
with the exception that the Senate bill refers to encouraging
greater cross--program coordination, planning, and service
delivery while the House bill refers to greater coordination
between programs and greater flexibility to State and local
authorities through the consolidation of State and local
plans, applications, and reporting. The Senate amendment
refers to integrating Federal programs with programs carried
out with State and local funds.
HR with an amendment to strike Senate's section 5501 and
replace with the following:

SEC. 8301. PURPOSE.

It is the purpose of this part to improve teaching and
learning by encouraging greater cross-program coordination,
planning, and service delivery, to provide greater
flexibility to State and local authorities through
consolidated plans, applications, and reporting, and to
enhance the integration of programs under this Act with State
and local programs.
65. The House bill and the Senate amendment are
substantially the same with technical differences and the
Senate amendment referring to ``covered programs'' while the
House bill does not. The House bill allows a consolidated
State plan for any program under the Act.
HR
66. The Senate amendment, but not the House bill,
specifically names Even Start and the Neglected and
Delinquent Youth program as additional programs. Both the
House bill and Senate amendment allow the Secretary to
designate other programs.
HR with an amendment to strike ``of Dropping Out''.
67. The House bill and Senate amendment are substantially
the same with technical differences in wording.
HR
68. The House bill and the Senate amendment are identical.
LC
69. The House bill and the Senate amendment are identical
with a technical difference in the cross reference to the
preceding paragraph.

[[Page H10043]]

LC
70. The House bill and the Senate amendment are
substantially the same with the exception that the Senate
amendment includes the parenthetical ``(including assurances
of compliance with applicable provisions regarding
participation by private school children and teachers).''
HR
71. The House bill, but not the Senate amendment, includes
a provision on consolidated reporting to the Secretary.
SR
72. The House bill and the Senate amendment are identical
with the exception that the House bill makes reference to the
State educational agency consulting with the Governor. There
are technical differences in the cross-references.
SR
73. The Senate amendment, but not the House bill, includes
additional coordination requirements relative to health and
social service programs and reporting thereon.
SR
74. The House bill and the Senate bill are substantially
the same with the exception that the Senate bill refers to
``covered'' programs. The House bill makes the consolidated
plans and applications available to the Governor, but the
Senate amendment has no such provision.
HR with an amendment to insert the following sentence at
the end of section 5505 (a): ``The State educational agency
shall make any consolidated local plans and applications
available to the Governor.''
75. The House bill and the Senate amendment are
substantially the same with the exception of technical
differences in cross-references. The House bill, but not the
Senate amendment, makes clear that a State may not require
separate plans to be submitted.
SR
76. The House bill and the Senate amendment are
substantially the same with the exception that the House bill
references consultation with the Governor.
SR
77. The House bill refers to ``State'' while the Senate
amendment refers to ``State educational Agency.''
HR
78. The House bill and the Senate amendment are
substantially the same but with the following exceptions: (1)
the House bill refers to applicants other than a State while
the Senate amendment refers to applicants other than a State
educational agency; (2) in paragraphs (6)(A) and (B), the
House bill refers to reports to the Governor and the State
educational agency while the Senate amendment refers only to
the State educational agency.
Note 78--HR on 5506(a)(1)-(5) and SR with an amendment on
5506 (a)(6)(A) and (B) to read as follows regarding
Governors:
(6) the applicant will--
(A) make reports to the State educational agency (which
agency shall make such report available to the Governor) and
the Secretary as may be necessary to enable such agency and
the Secretary to perform their duties under each such
program; and
(B) maintain such records, provide such information, and
afford access to the records as the State educational agency
(after consultation with the Governor) or the Secretary may
find necessary to carry out the State educational agency's or
the Secretary's duties; and
LC on 5506(a)(7) and 5506(b).
79. The House bill and the Senate amendment are
substantially the same except that the House bill refers also
to the Carl D. Perkins Vocational and Technical Education Act
of 1998.
HR
80. The House bill and the Senate amendment: (1) have
similar provisions in subparagraph (A) but with technical
differences; (2) have differences in subparagraphs (B) and
(C), except that subparagraph (C) of the House bill is
similar to subparagraph (D) of the Senate amendment; (3) are
different in that subparagraph (D) of the House bill has no
comparable provision in the Senate amendment; and (4) are
different in that the House has no subparagraphs (E) and (F)
while the Senate amendment does.
HR with an amendment as follows:
1. (B)(i)(ii) with the following changes: insert
``statutory or regulatory'' after ``Federal'' in (B) and
strike the ``or'' and insert ``and'' in (B)(i).
2. Insert following combination of House (C) and Senate
(E):
``(# LC) describes, for each school year, specific,
measurable educational goals for the State educational agency
and for each local educational agency, Indian tribe, or
school that would be affected by the waiver and the methods
to be used to annually measure such progress for meeting such
goals and outcomes;''
13. Insert House provision (D):
``Explains why the waiver will assist the State educational
agency and each affected local educational agency, Indian
tribe, or school in reaching such goals.''
LC--(Senate F becomes E).
81. The House bill and Senate amendment have identical
requirements for additional information to be submitted with
a waiver request.
LC
82. The House bill and Senate amendment are substantially
the same with minor technical differences.
LC
83. The House bill and the Senate amendment are identical
with the exception of technical differences in cross-
references. The House bill, but not the Senate amendment,
prohibits a waiver of the activities under section 8513. The
Senate amendment, but not the House bill, includes a
prohibition on the waiver of the selection of school
attendance areas in paragraph (10).
SR with an amendment to insert Senate paragraph (10)
84. The House bill provides for a waiver period of 5 years.
The Senate amendment provides for a waiver period of 3 years.
SR with an amendment to go to 4 years
85. The authority to extend a waiver for a longer period is
identical in the House bill and Senate amendment.
LC
86. The House bill and the Senate amendment have identical
provisions on reports submitted by a local educational agency
to a State educational agency.
LC
87. The House bill and the Senate amendment have identical
provisions on the submission of State educational agency
reports to the Secretary.
LC
88. The House bill and the Senate amendment have identical
provisions on the submission of reports by Indian tribes to
the Secretary.
LC
89. The House bill and the Senate amendment have identical
provisions on reports the Secretary submits to Congress.
LC
90. The House bill and the Senate amendment on termination
of waivers are substantially the same with the exception that
the House bill includes a notice and opportunity for a
hearing.
SR
91. The House bill and the Senate amendment have identical
provisions for the publication of waivers that have been
granted in the Federal Register.
LC
92. The Senate amendment, but not the House bill, moves the
authorization of the Education Flexibility (Ed Flex)
Partnership Act of 1999 (P.L. 106-25) into the Elementary and
Secondary Education Act and makes changes to the law. The
House bill makes no changes to the Education Flexibility
Partnership Act of 1999 and keeps it as a freestanding
authorization.
SR
93. The Senate amendment specifies the requirements to be
met to become an ``eligible state.'' See also section
1111(b)(7) of Title I, Part A of the Senate amendment which
stipulates that a state shall not be eligible for designation
as an Ed Flex state until the state develops assessments
aligned with the state's content standards in at least
mathematics and reading or language arts.
SR
94. The Senate amendment extends the authorization period
for Ed Flex through FY2008. Current law authorization is
through FY2004.
HR/SR with an amendment to be placed in Amendments to Other
Statutes:

``SEC . AMENDMENT TO EDUCATION FLEXIBILITY ACT OF 1999.

Section 4 of the Education Flexibility Act of 1999 is
amended by replacing section (b) with the following provision
(b):
``(b) Included Programs.--The statutory or regulatory
requirements referred to in subsection (a)(1)(A) are any such
requirements for programs that are authorized under the
following provisions and under which the Secretary provides
funds to State educational agencies on the basis of a
formula:
``(1) Part A (other than sections 1111 and 1116), subpart 3
of part B, and parts C, D, and F of title I of the No Child
Left Behind Act of 2001;
``(2) Subpart 2 of part A of title II of the No Child Left
Behind Act of 2001;
``(3) Subpart 1 of part D of title II of the No Child Left
Behind Act of 2001;
``(4) Subpart 4 of part B of title III of the No Child Left
Behind Act of 2001 if the funding trigger in section 3001 of
the No Child Left Behind Act of 2001 is not reached;
``(5) Subpart 1 of part A of title IV of the No Child Left
Behind Act of 2001;
``(6) Part A of title V of the No Child Left Behind Act of
2001; and
``(7) The Carl D. Perkins Vocational and Technical
Education Act of 1998.''
95. The House bill and the Senate amendment include
identical provisions on maintenance-of-effort.
LC; HR
96. The House bill and the Senate amendment include
identical provisions on reductions in funds in the case of a
local educational agency's failure to meet maintenance-of-
effort requirements.
LC; HR
97. The House bill and the Senate amendment have identical
waiver provisions.
LC; HR
98. The House bill and the Senate amendment are identical
with the exception of technical differences in cross-
references.
LC
99. The House bill and the Senate amendment are
substantially the same with the exception that the House bill
refers to ``another entity'' while the Senate amendment does
not have such terms. In addition, the Senate Amendment limits
equitable participation of teachers and other educational
personnel to training and professional development services.
SR with an amendment to strike ``.'' at end of provision
and insert: ``, and provide their

[[Page H10044]]

teachers and other education personnel serving such children
training and professional development services under such
program.''
100. The House bill and the Senate amendment are identical.
LC
101. The House bill and the Senate amendment are identical
with the exception that the House bill requires services and
benefits to be provided in a timely manner.
SR
102. The House bill and the Senate amendment on
expenditures are identical.
LC
103. The House bill and the Senate amendment are identical
with the exception that the House bill refers to an entity.
SR
104. The House bill and the Senate amendment have the
equitable participation requirements applicable to the same
as well as different programs. The House bill, but not the
Senate amendment, includes the 21st Century Community
Learning Centers and technology programs.
HR/SR with an amendment as follows:
(b) Applicability.--
(1) In general.--This section applies to programs under--
(A) part B, subparts 1 and 3 of title I; [Reading First and
Even Start]
(B) part C of title I; [Migrants]
(C) part A of title II; [Teachers]
(D) part B of title II; [Math/Science]
(E) part D of title II; [Technology]
(F) part A of title III; [Bilingual]
(G) part A of title IV; and [Safe & Drug Free]
(H) part B of title IV. [21st Century Schools]
105. The House bill and Senate amendment have an identical
definition of ``eligible children.''
LC
106. The House bill and the Senate amendment have
substantially the same consultation provisions with the
exception that the House bill includes consultation
requirements for who will provide services in subparagraph
(C), how results of assessments will be used to improve
services in subparagraph (D), the size and scope of equitable
services in subparagraph (E) and how and when decisions will
be made in subparagraph (F).
SR
107. The House bill, but not the Senate amendment, includes
a provision governing disagreements between private school
officials and agencies, consortia and entities with respect
to the provision of services through a contract.
SR
108. The House bill and the Senate amendment are identical
with the exception that the House bill ensures that
consultation continues throughout the implementation and
assessment of activities and refers to an entity.
SR
109. The House bill and the Senate amendment have identical
provisions on the content of discussions during the
consultations.
SR/LC
110. The House bill and Senate amendment have identical
provisions on the public control of funds.
LC
111. The House bill and the Senate amendment have identical
provisions on the public control of funds.
SR/LC
112. The House bill and the Senate amendment have identical
language on the provision of services with the exception that
the House bill refers to an ``other entity'' in clause (ii).
SR/LC
113. The House bill and the Senate amendment have identical
provisions on standards for bypass with the exception that
the House bill also refers to ``other entity.'' There are
technical differences in the two versions in cross-
references. The House bill includes factors the Secretary
shall consider in making his determination in paragraph (3)
while the Senate does not.
SR
114. The House bill and the Senate amendment are identical
with technical differences in cross-references and the House
bill refers to an ``entity'' while the Senate amendment does
not.
SR/LC
115. The House bill and the Senate amendment have identical
provisions on appeals to the Secretary.
LC
116. The House bill and the Senate amendment are identical
with the exception of technical differences in cross-
references and the House bill refers to ``entity'' while the
Senate bill does not.
SR/LC
117. The House bill and Senate amendment are identical.
LC
118. The House bill and the Senate amendment have identical
provisions on petitioning for review of decisions with the
exception that the House bill also refers to an entity.
SR/LC
119. The House bill and the Senate amendment have identical
provisions on findings of fact.
LC
120. The House bill and the Senate amendment have identical
provisions on jurisdiction.
LC
121. The House bill and the Senate amendment have identical
provisions on determinations by the Secretary with the
exception that the House bill also refers to an ``entity.''
There are technical differences in the cross-references.
SR/LC
122. The House bill and the Senate amendment have identical
provisions on payments from State allotments.
LC
123. The House bill and the Senate amendment have identical
provisions on prior determinations with the exception of
technical differences in cross-references to the Act.
LC
124. The House bill and the Senate amendment are identical.
LC
125. The House bill and the Senate amendment are similar.
The House bill has a similar provision in Title I, Part H in
section 1805. Both the House bill and the Senate amendment
reference how home schools are treated under state law.
SR with an amendment:

SEC. . PRIVATE, RELIGIOUS, AND HOME SCHOOLS.

(a) Applicability to Non-Recipient Private Schools.--
Nothing in this Act shall be construed to affect any private
school that does not receive funds or services under this
Act, nor shall any student who attends a private school that
does not receive funds or services under this Act be required
to participate in any assessment referenced in this Act.
(b) Applicability to Home Schools.--Nothing in this Act
shall be construed to affect home schools, whether or not a
home school is treated as a home school or a private school
under State law, nor shall any home schooled student be
required to participate in any assessment referenced in this
Act.
(c) Rule of Construction on Prohibition of Federal Control
Over Nonpublic Schools.--Nothing in this Act shall be
construed to permit, allow, encourage, or authorize any
Federal control over any aspect of any private, religious, or
home school, whether or not a home school is treated as a
private school or home school under State law. This section
shall not be construed to bar private, religious, or home
schools from participation in programs or services under this
Act.
(d) Rule of Construction on State and Local Educational
Agency Mandates.--Nothing in this Act shall be construed to
require any State or local educational agency that receives
funds under this Act to mandate, direct, or control the
curriculum of a private or home school, regardless or whether
or not a home school is treated as a private school under
state law, nor shall any funds under this Act be used for
this purpose.
126. The House bill and the Senate amendment are identical
with the exception of technical differences.
SR with an amendment (included in new language at note 125)
127. The House bill, but not the Senate amendment, includes
a provision on the privacy of assessment results. The House
bill has an identical provision in section 1807 of Title I,
Part H. The Senate amendment includes a similar provision in
section 1111(j)(1)(F) but with reference to section 445
instead of section 444.
HR with an amendment to insert:

``SEC. . PRIVACY OF ASSESSMENT RESULTS.

``Any results from individual assessments referenced in
this title which become part of the education records of the
student shall have the protections as provided in section 444
of the General Education Provisions Act.''
128. The House bill and the Senate amendment are identical
with the exception that the House bill includes other Acts in
addition to the No Child Left Behind Act.
SR with an amendment (included in new language at note 125)
129. The Senate amendment, but not the House bill, includes
a second provision relating to recipient nonpublic schools
that is identical to the House bill. The Senate amendment,
but not the House bill, includes rule of construction
regarding a superseded provision.
SR (included in new language at note 125)
130. The House bill makes funds under the Act conditional
upon a local educational agency submitting to the Secretary a
certification that no policy of the agency prevents or
otherwise denies participation in constitutionally protected
prayer in public schools. Under the Senate amendment a state
or local educational agency is ineligible for ESEA funds if a
Federal court adjudges the agency to have willfully violated
a Federal court order with respect to school prayer.
HR/SR with an amendment:
(Ratified October 30, 2001)
``Sec. . (a) Guidance.--The Secretary shall provide and
revise guidance, every two years by September 1, to State
educational agencies, local educational agencies and the
public on constitutionally protected prayer in public
schools, including making such guidance available on the
Internet. Such guidance shall be reviewed, prior to
distribution, by the Office of Legal Counsel of the U.S.
Department of Justice prior to distribution for verification
that the guidance represents the current state of the law
concerning constitutionally protected prayer in public
schools.
(b) Certification.--As a condition of receiving funds under
this Act, a local educational agency shall certify in writing
to

[[Page H10045]]

the State educational agency that no policy of the local
educational agency prevents, or otherwise denies
participation in, constitutionally protected prayer in public
schools, as detailed in the guidance required under
subsection (a). Such certification shall be provided annually
by October 1. The State educational agency shall report to
the Secretary by November 1 of each year a list of those
local educational agencies that have not filed the
certification or against which complaints have been made to
the State educational agency that certain local educational
agencies are not in compliance with this section.
(c) Enforcement.--The Secretary is authorized and directed
to effectuate subsection (b) by issuing, and securing
compliance with, rules or orders with respect to a local
educational agency that fails to certify, or is found to have
improperly certified, that no policy of the local educational
agency prevents, or otherwise denies participation in,
constitutionally protected prayer in public schools.''
131. The House bill and the Senate amendment are identical
with technical differences.
SR with an amendment to strike ``emphasizes'' and insert
``includes'' in paragraph (3).
132. The House bill and the Senate amendment are identical.
LC
133. The Senate amendment, but not the House bill, includes
a provision regarding state and local educational agency
mandates with respect to home school or private school
curricula.
HR with an amendment (included in new language at note 125)
134. The House bill includes a prohibition with respect to
Federal mandates, direction, and control while the Senate
amendment includes a rule of construction.
SR/HR with an amendment (new statutory and report language
below covers notes 134, 135, 140, 141)
Include in Title VIII:

SEC. . PROHIBITIONS ON FEDERAL GOVERNMENT AND USE OF
FEDERAL FUNDS.

(a) General Prohibition.--Nothing in this Act shall be
construed to authorize an officer or employee of the Federal
Government to mandate, direct, or control a State, local
educational agency, or school's curriculum, program of
instruction, or allocation of State or local resources, or
mandate a State or any subdivision thereof to spend any funds
or incur any costs not paid for under the Act.
(b) Prohibition on Endorsement of Curriculum.--
Notwithstanding any other prohibition of law, no funds
provided to the Department of Education under this Act may be
used by the Department to endorse, approve, or sanction any
curriculum designed to be used in an elementary or secondary
school.
(c) Prohibition on Requiring Federal Approval or
Certification of Standards.--
(1) In general.--Notwithstanding any other provision of
Federal law, no State shall be required to have academic
content or student academic achievement standards approved or
certified by the Federal Government, in order to receive
assistance under this Act.
(2) Rule of construction.--Nothing in this subsection shall
be construed to affect requirements under title I or title
VII of this Act.
(d) Rule of Construction on Building Standards.--Nothing in
this Act shall be construed to mandate national school
building standards for a State, local educational agency, or
school.
Report Language:
The Conferees intend that subsection (b) does not prohibit
the Department from identifying and disseminating information
about successful or promising instructional educational
practices, to the extent practicable, based on scientifically
based research.
Include in Title I, Part H:

SEC. . PROHIBITION OF FEDERAL MANDATES, DIRECTION, OR
CONTROL.

Nothing in this title or title VI Part A shall be construed
to authorize an officer or employee of the Federal Government
to mandate, direct, or control a State, local educational
agency, or school's specific instructional content or
academic achievement standards and assessments, curriculum,
or program of instruction.

SEC. . RULE OF CONSTRUCTION ON EQUALIZED SPENDING.

Nothing in this title shall be construed to mandate
equalized spending per pupil for a State, local educational
agency, or school.
135. The House bill, but not the Senate amendment, includes
rules of construction on federal mandates and control,
equalized spending, and building standards.
SR/HR with an amendment (See new language in note 134)
136. The House bill, but not the Senate amendment, includes
a provision on rulemaking.
SR
Report Language:
This section directs the Secretary to issue regulations
under this Act only to the extent that they are necessary to
ensure that there is compliance with the specific
requirements and assurances of the Act. The conferees do not
intend this language to prohibit the Secretary from issuing
regulations that are reasonably necessary to ensure timely
and orderly grant-making, high-quality applications that
respond to priority needs, or grantee accountability. Rather,
the conferees intend this section to constrain the
Secretary's ability to issue regulations that would impose
upon grantees additional substantive programmatic
requirements or limitations that are not necessary to ensure
compliance with the specific requirements and assurances
imposed by the statute.
137. The House bill, but not the Senate amendment, includes
a report on audits.
HR
138. The House bill authorizes a study of testing by the
Secretary and the Senate amendment authorizes the Secretary
to give a grant to the National Research Council of the
National Academy of Sciences to conduct an ongoing evaluation
of high-stakes assessments. There are substantial differences
in the House bill and Senate amendment.
HR/SR with an amendment to strike all language and insert
the following and to move to Title I, Part E:

``SEC. . ASSESSMENT EVALUATION.

``(a) In General.--The Secretary shall conduct an
independent study of assessments used for State
accountability purposes and for making decisions about the
promotion and graduation of students. Such research shall be
conducted over a period not to exceed 5 years and shall
address the components described in subsection (c).
``(b) Contract Authorized.--The Secretary is authorized to
award a contract, through a peer review process, to an
organization or entity capable of conducting rigorous,
independent research. The Assistant Secretary of Educational
Research and Improvement shall appoint peer reviewers to
evaluate the applications for this contract. The study
shall--
``(1) synthesize and analyze existing research that meets
standards of quality and scientific rigor; and
``(2) evaluate assessment and accountability systems in
state educational agencies, local educational agencies, and
schools; and
``(3) make recommendations to the Department and to the
Committee on Education and the Workforce of the United States
House of Representatives and the Committee on Health,
Education, Labor, and Pensions of the United States Senate,
based on the findings of the study.
``(c) Components of the Research Program.--The study
described in subsection (a) shall examine--
``(1) the effect of the assessment and accountability
systems described in section (b) on students, teachers,
parents, families, schools, school districts, and States,
including correlations between such systems and
``(A) student academic achievement, progress to the State-
defined level of proficiency, and progress toward closing
achievement gaps, based on independent measures;
``(B) changes in course offerings, teaching practices,
course content, and instructional material;
``(C) changes in turnover rates among teachers, principals,
and pupil-services personnel;
``(D) changes in dropout, grade-retention, and graduation
rates for students; and
``(E) such other effects as may be appropriate;
``(2) the effect of the assessments on students with
disabilities;
``(3) the effect of the assessments on low, middle, and
high socioeconomic status students, limited and nonlimited
English proficient students, racial and ethnic minority
students, and nonracial or nonethnic minority students;
``(4) guidelines for assessing the validity, reliability,
and consistency of those systems using nationally recognized
professional and technical standards; and
``(5) the relationship between accountability systems and
the inclusion or exclusion of students from the assessment
system; and
``(6) such other factors as the Secretary finds
appropriate.
``(d) Reporting.--Not later than 3 years after the contract
described in section (b) is awarded, the organization or
entity conducting the study will submit an interim report to
the Committee on Education and the Workforce of the United
States House of Representatives and the Committee on Health,
Education, Labor, and Pensions of the United States Senate,
and to the President and the States, and shall make the
report widely available to the public. The organization or
entity shall submit a final report to the same recipients as
soon as possible after the completion of the study.
Additional reports may be periodically released as necessary.
``(e) Reservation of Funds.--The Secretary may reserve up
to 15 percent of the funds authorized to be appropriated for
part E of title I to carry out the study, except such
reservation of funds shall not exceed $1,500,000.''
139. The Senate amendment, but not the House bill, includes
an authorization for a study of the costs of conducting
student assessments under section 1111. See note 137 above
which includes cost elements as a component part of another
study.
SR
Report Language:
The Conferees intend the General Accounting Office (GAO) to
conduct a study of the costs to States of developing and
administering the academic assessments required under section
1111(b) of Title I of this Act. The GAO should determine the
anticipated aggregate cost for all States to develop and
administer such assessments, as well as the

[[Page H10046]]

portion of the cost that is expected to be incurred in each
of the fiscal years 2002 through 2008. The GAO should
determine such costs for each State and the factors that may
explain cost variations States. The Conferees expect the GAO
to report the results of such study to the House Education
and the Workforce Committee and the Senate Health, Education,
Labor, and Pensions Committee no later than one year after
the date of enactment of this Act.
140. The House bill, but not the Senate amendment, includes
a prohibition on Federal government approval of standards.
The House bill, but not the Senate amendment, includes a rule
of construction relative to Title I. The Senate amendment
contains a limitation on conditions which is similar in
section 1111(h).
SR/HR with an amendment (See new language at note 134)
141. The House bill, but not the Senate amendment, includes
a prohibition on the endorsement by the Federal government of
curriculum. A related provision is included in the Senate
amendment in section 15.
SR/HR with an amendment (See new language at note 134)
142. The House bill and Senate amendment have similar rules
of construction regarding databases of personally
identifiable information, but with technical differences.
HR
143. The House bill includes a provision which requires
secondary schools that receive funds under the Elementary and
Secondary Education Act to permit armed services recruitment
activities on school grounds in a manner reasonably
accessible to all students at the school. The Senate
amendment prohibits Department of Defense funds from being
provided to higher education institutions that deny or that
effectively prevent the Secretary of Defense from obtaining
for military recruiting purposes, entry to campuses or access
to students or access to directory information pertaining to
students. The Senate amendment includes an exemption
provision, a provision regarding covered students, procedures
to making determinations, and a definition of ``directory
information.''
HR/SR with an amendment to read as follows:
(Ratified on October 30, 2001).

SEC. . ARMED FORCES RECRUITERS ACCESS TO STUDENTS AND
STUDENT RECRUITING INFORMATION.

``(a) Policy.--
``(1) Notwithstanding section 444(a)(5)(B) of the General
Education Provisions Act, each local educational agency
receiving assistance under this Act shall provide, upon a
request made by military recruiters or institutions of higher
education as defined by section 101(a) of the Higher
Education Act, access to secondary school student names,
addresses, and telephone listings.
``(2) A parent or student may request that the student's
name, address, and telephone listing under subparagraph (1)
not be released without prior written parental consent, and
the local education agency shall notify parents of such
option.
``(3) Each local educational agency receiving assistance
under this Act shall provide military recruiters the same
access to secondary school students as is provided generally
to postsecondary educational institutions or to
prospective employers of those students.
``(b) Notification.--The Secretary of Education, in
consultation with the Secretary of Defense, shall, not later
than 120 days after the enactment of this Act, notify
principals, school administrators, and other educators about
the requirements of this section.
``(c) Exception.--The requirements of this section do not
apply to a private secondary school that maintains a
religious objection to service in the Armed Forces and which
objection is verifiable through the corporate or other
organizational documents or materials of that school.
``(d) Special Rule.--A local educational agency prohibited
by Connecticut state law (either explicitly by statute or
through statutory interpretation of the State Supreme Court
or State Attorney General) from providing military recruiters
with information or access as required by this section shall
have until May 31, 2002 to comply with such requirements.
144. The Senate amendment, but not the House bill,
includes: (1) findings relative to Armed Forces and
recruitment; (2) a requirement for states to report to the
Secretary a list of schools that do not allow access to
military recruiters; and (3) a program for making awards to
states and schools for the purpose of educating principals,
administrators and others about career opportunities in the
Armed Forces.
SR
(Ratified on October 30, 2001).
145. The House bill, but not the Senate amendment, includes
a severability clause.
SR
146. The House bill, but not the Senate amendment,
encourages the Secretary to promote education savings
accounts.
HR
147. The House bill, but not the Senate amendment, includes
a Sense of the Congress provision on American made steel.
Subsections (a) and (b) relate to the Sense of Congress.
HR
148. The House bill, but not the Senate amendment, requires
school systems that receive funding under the Act to use
American made steel and to comply with the Buy America Act.
HR
149. The House bill, but not the Senate amendment, includes
a Sense of the Congress provision on paperwork reduction.
HR
150. The Senate amendment, but not the House bill, includes
findings and a Sense of the Senate provision regarding tax
relief for K-12 education expenses.
SR
151. The Senate amendment, but not the House bill, includes
findings and a Sense of the Senate provision relating to tax
relief for non-reimbursed education expenses of educators.
SR
152. The Senate amendment, but not the House bill, includes
findings and a Sense of the Senate provision regarding postal
rates for educational materials.
SR with report language to be added under Reading (Title I,
Part B, note 164)
Report Language:
In the 2000 rate case, the U.S. Postal Service levied an
18% increase on mail sent under Bound Printed Matter (BPM),
the class of mail under which books are sent to our nation's
schools, libraries, literacy, and early childhood programs.
This increase, the highest of any category, has had a direct
impact on the ability of several literacy and free book
programs to deliver their services. It has come to the
attention of the Conferees that the US Postal Service intends
to again increase the rates charged for bound printed matter,
including books. Given the educational importance of the 100
million books shipped to children annually under this rate,
the Conferees urge the U.S. Postal Service and Congress to
take action to ensure the continued affordability of books
for all of America's children.
153. The Senate amendment, but not the House bill, includes
findings and a Sense of the Senate provision relating to
campaign finance reform legislation.
SR
154. The Senate amendment, but not the House bill, includes
a Sense of the Senate provision that nothing in the Act or
any provision of law shall discourage the teaching of the
Bible in any public school.
SR
155. The Senate amendment, but not the House bill, includes
a Sense of the Senate provision relating to science
education.
SR
156. The Senate amendment, but not the House bill, includes
a Sense of the Congress provision regarding the study of the
Declaration of Independence, the United States Constitution,
and the Federal Papers.
SR
157. The Senate amendment, but not the House bill includes
findings and a Sense of the Congress provision relating to
the provision of educational materials which increase the
awareness of students about the contributions of veterans to
the nation.
SR
158. The Senate amendment, but not the House bill, includes
findings and a Sense of the Senate provision regarding the
benefits of music and arts education.
SR
159. The House bill and the Senate amendment both prohibit
any mandatory nationwide test or certification of teachers.
There are technical differences in the two bills. The House
bill, but not the Senate amendment, includes a provision on
the prohibition on withholding of funds relating to teacher
or paraprofessional certification.
HR with an amendment to insert House (b) after Senate (b).
160.The House bill and the Senate amendment have similar
provisions on the prohibition of national testing with
technical differences in the two versions. The Senate
amendment, but not the House bill, includes an exception for
the National Assessment of Educational Progress and the Third
International Math and Science Study. The House bill, but not
the Senate amendment, makes an exception for tests
``specifically and explicitly authorized by law.''
SR with an amendment (see language below) and report
language:

SEC. 8603. PROHIBITION ON FEDERALLY SPONSORED TESTING.

(a) General Prohibition.--Notwithstanding any other
provisions of Federal law and except as provided in
subsection (b), no funds provided under this Act to the
Secretary or to the recipient of any award may be used to
develop, pilot test, field test, implement, administer, or
distribute any federally sponsored national test in reading,
mathematics, or any other subject, unless specifically and
explicitly authorized by law.
(b) Exceptions.--Subsection (a) shall not apply to
international comparative assessments developed under the
authority of section 404(a)(6) of the National Education
Statistics Act of 1994 (20 U.S.C. 9003(a)(6) et seq.) and
administered to only a representative sample of pupils in the
United States and in foreign nations.
Report Language:
The prohibition on federally sponsored testing does not
apply to a test that is specifically and explicitly
authorized by law, inclusive of the National Education
Statistics Act of 1994.
161. The Senate amendment, but not the House bill, includes
a rule of construction on the prohibition of discrimination
relative to the fifth and 14th Amendments.
HR
162. The House bill, but not the Senate amendment, includes
a Sense of the Congress provision relating to memorials on
campus.
HR
163. The House bill and Senate amendment include Sense of
the Congress and Sense of

[[Page H10047]]

the Senate provisions, respectively, regarding 95 percent of
federal education funds being used for improving academic
achievement in the classroom. The Senate amendment includes
findings while the House bill does not.
HR/SR to strike all language.
164. The House bill, but not the Senate amendment, includes
a provision on the evaluation of Elementary and Secondary
Education Act programs. The Senate amendment does continue
some evaluations specific to individual programs.
SR
165. The House bill, but not the Senate amendment,
transfers comprehensive regional assistance centers from
Title XIII of the Elementary and Secondary Education Act to
Title VIII.
HR
166. The Senate amendment, but not the House bill, provides
for those grants or contracts entered into relating to
section 3141 (current law Title III of ESEA is Regional
Technical Support and Professional Development) or part A or
C of Title XIII (current law part A is Comprehensive Regional
Assistance Centers and part C is Eisenhower Regional
Mathematics and Science Education Consortia) before enactment
of this Act, to be continued for the duration of such
contract and award. The Senate amendment authorizes such sums
for this purpose. The Senate amendment, but not the House
bill, repeals this provision contingent upon enactment of a
law that reauthorizes a provision of the Educational
Research, Development, Dissemination, and Improvement Act of
1994 and, provided such enactment occurs after the date of
enactment of the Better Education for Students and Teachers
Act. See also section 3 of the House bill relating to a
transition rule for multiyear grants.
HR/SR with an amendment to be placed in Amendments to Other
Statutes:

``CERTAIN MULTIYEAR GRANTS AND CONTRACTS

``Sec ____. In General.--The Educational Research,
Development, Dissemination, and Improvement Act of 1994 is
amended by adding the following provision after Part I.

``PART J--CERTAIN MULTIYEAR GRANTS AND CONTRACTS

``Sec. 1001. (a) In General.--Notwithstanding any other
provision of law, from funds appropriated under subsection
(b), the Secretary--
``(1) shall continue to fund any multiyear grant or
contract awarded under section 3141, and Part A and Part C of
title XIII, of the Elementary and Secondary Education Act of
1965 as such provision was in effect on the day preceding the
date of the enactment of the [SHORT TITLE], for the duration
of that multiyear award in accordance with its terms; and
``(2) may extend, on a year-to-year basis, any multiyear
grant or contract awarded under an authority described in
paragraph (1) that expires after the enactment of [SHORT
TITLE], but before the enactment of successor authority to
the Educational Research, Development, Dissemination, and
Improvement Act of 1994.
``(b) Authorization of Appropriations.--There are
authorized to be appropriated for each fiscal year such sums
as may be necessary to carry out subsection (a).''
167. The House bill, but not the Senate amendment,
transfers the national diffusion network from Title XIII of
the Elementary and Secondary Education Act to Title VIII.
HR
168. The House bill, but not the Senate amendment,
transfers the Eisenhower Regional Mathematics and Science
Education Consortia from Title XIII of the Elementary and
Secondary Education Act to Title VIII.
HR
169. The House bill, but not the Senate amendment,
transfers the Technology-Based Technical Assistance program
from Title XIII of the Elementary and Secondary Education Act
to Title VIII.
HR
170. The House bill, but not the Senate amendment,
transfers the Regional Technical Support and Professional
Development program from Title III of the Elementary and
Secondary Education Act to Title VIII.
HR
LC--Add the following provisions in General Provisions
where most appropriate:
``Sec. ____. (a) Unsafe School Choice Policy.--Each State
receiving funds under this Act shall establish and implement
a statewide policy requiring that a student attending a
persistently dangerous public elementary and secondary
school, as determined by the State in consultation with a
representative sample of local educational agencies, or who
becomes a victim of a violent criminal offense, as determined
by State law, while in or on the grounds of a public
elementary or secondary school that the student attends, be
allowed to attend a safe public elementary or secondary
school within the local educational agency, including a
public charter school.
(b) Certification.--As a condition of receiving funds under
this Act, a State shall certify in writing to the Secretary
that the State is in compliance with this section.''

CIVIL RIGHTS OF BENEFICIARIES

``Sec. ____. (a) In General.--Nothing in this Act shall be
construed to permit discrimination on the basis of race,
color, religion, sex (except as otherwise permitted under
Title IX of the Education Amendment of 1972), national
origin, or disability in any program funded under this Act.
``(b) Rule of Construction.--Nothing in this Act shall be
construed to require the disruption of services to a child or
the displacement of a child enrolled in or participating in a
program administered by an eligible entity, as defined in
section 1116 of title I and Part B of title V, at the
commencement of the entity's participation in a grant under
section 1116 of title I or part B of title V.

Title IX--Miscellaneous Provisions

(Subsumed in Various Titles)

1. The House bill, but not the Senate amendment, makes
several changes to the National Education Statistics Act
(NESA) which relate to the use of the National Assessment of
Educational Progress (NAEP) for purposes of rewards and
sanctions under Title VII of the House bill and requiring
NAEP to be administered annually in reading and math.
HR (separate changes to NAEP now going in Title VI, Part A)
2. The House bill, but not the Senate amendment amends the
General Education Provisions Act to give parents the right to
access instructional materials, and to require parental
consent prior to giving or administering certain surveys,
evaluations, medical tests, treatments or immunizations to
minors.
HR/SR with an agreement to move to Title X, Amendments to
Other Statutes and with an amendment to strike all language
and insert the following:

``SEC. . STUDENT PRIVACY, PARENTAL ACCESS TO INFORMATION,
AND ADMINISTRATION OF CERTAIN PHYSICAL
EXAMINATIONS TO MINORS.

Section 445 of the General Education Provisions Act (20
U.S.C. 1232h) is amended as follows--
``(a) Strike items (1) through (7) of subsection (b) and
replace with the following items (1) through (8)--
``(1) political affiliations or beliefs of the student or
the student's parent;
``(2) mental or psychological problems of the student or
his family;
``(3) sex behavior or attitudes;
``(4) illegal, anti-social, self-incriminating or demeaning
behavior;
``(5) critical appraisals of other individuals with whom
respondents have close family relationships;
``(6) legally recognized privileged or analogous
relationships, such as those with lawyers, physicians, and
ministers;
``(7) religious practices, affiliations, or beliefs of the
student or student's parent; or
``(8) income (other than that required by law to determine
eligibility for participation in a program or for receiving
financial assistance under such program),''
``(b) Redesignate subsections (c) through (e) as
subsections (d) through (f), respectively, and insert the
following as subsection (c)--
``(c) Development of Local Policies Concerning Student
Privacy, Parental Access to Information, and Administration
of Certain Physical Examinations to Minors.--
``(1) Except as provided in subsections (a) and (b), a
local educational agency that receives funds under any
applicable program shall develop and adopt policies, in
consultation with parents, regarding--
``(A) the right of a parent of a student to inspect upon
the request of the parent a survey created by a third party
before the survey is administered or distributed by a school
to a student, and any applicable procedures for granting a
request by a parent for reasonable access to such survey
within a reasonable period of time after the request is
received;
``(B) arrangements to protect student privacy that are
provided by the agency in the event of the administration or
distribution of a survey to a student containing one or more
of the following items, including the right of a parent of a
student to inspect upon the request of the parent any survey
containing one or more of the following items--

``(i) political affiliations or beliefs of the student or
the student's parent;
``(ii) mental or psychological problems of the student or
his family;
``(iii) sex behavior or attitudes;
``(iv) illegal, anti-social, self-incriminating or
demeaning behavior;
``(v) critical appraisals of other individuals with whom
respondents have close family relationships;
``(vi) legally recognized privileged or analogous
relationships, such as those with lawyers, physicians, and
ministers;
``(vii) religious practices, affiliations, or beliefs of
the student or student's parent; or
``(viii) income (other than that required by law to
determine eligibility for participation in a program or for
receiving financial assistance under such program); and

``(C) the right of a parent of a student to inspect upon
the request of the parent any instructional material used as
part of the educational curriculum of the student, and any
applicable procedures for granting a request by a parent for
reasonable access to instructional material within a
reasonable period of time after the request is received;
``(D) the administration of physical examinations or
screenings that the school or agency may choose to administer
to a student;
``(E) the collection, disclosure, or use of personal
information collected from students for the purpose of
marketing or for selling or giving such personal information
to others for such purpose, including arrangements to protect
student privacy that are provided by

[[Page H10048]]

the agency in the event of the collection, disclosure, or use
of personal information collected from students for the
purpose of marketing or for selling or giving such
information to others for such purpose; and
``(F) the right of a parent of a student to inspect upon
the request of the parent any such instrument used in the
collection of personal information in subsection (E) before
the instrument is administered or distributed to a student,
and any applicable procedures for granting a request by a
parent for reasonable access to such instrument within a
reasonable period of time after the request is received.
``(2) Notification of policies and specific events to
parent.--(A) The policies developed by a local educational
agency under subsection (c)(1) shall provide for reasonable
notice of the adoption of such policies directly to the
parents of students enrolled in schools in that agency. At a
minimum, such notice shall be provided at least annually at
the beginning of the school year as well as within a
reasonable period of time after any substantive change in
such guidelines and shall offer the parent an opportunity to
opt his or her child out of participation in (and for the
purpose of subparagraph (i) shall offer students of an
appropriate age an opportunity to opt out of participation
in)--
``(i) activities involving the collection, disclosure, or
use of personal information collected from students for the
purpose of marketing or for selling or giving such personal
information to others for such purpose;
``(ii) any survey containing one or more items listed in
subsection (c)(1)(B); and
``(iii) any non-emergency, invasive physical examination or
screening that is required as a condition of attendance and
administered by the school and scheduled by the schools in
advance, and is not necessary to protect the immediate health
and safety of the student or other students.
``(B) Notification of specific events.--The local education
agency shall directly notify the parent of a student, at
least annually at the beginning of the school year, of the
specific or approximate dates during the school year when the
following activities are scheduled or expected to be
scheduled--
``(i) activities involving the collection, disclosure, or
use of personal information collected from students for the
purpose of marketing or for selling or giving such personal
information to others for such purpose;
``(ii) any survey containing one or more items listed in
subsection (c)(1)(B); and
``(iii) any non-emergency, invasive physical examination or
screening that is required as a condition of attendance and
administered by the school and scheduled by the schools in
advance, and is not necessary to protect the immediate health
and safety of the student or other students.
``(3) Existing guidelines.--A local educational agency or
institution need not develop and adopt new guidelines if the
state educational agency or local educational agency has
policies in place covering the requirements of subsection
(c)(1) on the day of the enactment of the [Short Title], but
shall provide reasonable notice of such existing policies to
parents and guardians of students as set forth in subsection
(c)(2).
``(4) Exceptions.--
``(A) Educational products or services.--Section (c)(1)(E)
shall not apply to the collection, disclosure, or use of
personal information collected from students for the
exclusive purpose of developing, evaluating, or providing
educational products or services for, or to, students or
educational institutions, such as the following--

``(i) college or other post-secondary education recruitment
or military recruitment;
``(ii) book clubs, magazines, and programs providing access
to low-cost literary products;
``(iii) curriculum and instructional materials used by
elementary and secondary schools;
``(iv) tests and assessments used by elementary and
secondary schools to provide cognitive, evaluative,
diagnostic, clinical, aptitude, or achievement information
about students (or to generate other statistically useful
data for the purpose of securing such tests and assessments)
and the subsequent analysis and public release of aggregate
data;
``(v) the sale by students of products or services to raise
funds for school--or education-related activities; and
``(vi) student recognition programs.

``(B) State law exception.--The provisions of subsection
(c) shall not--
``(i) be construed to preempt provisions of State law that
require parental notification; or
``(ii) apply to any physical examination or screening that
is permitted or required by State law, including those
physical examinations or screenings that are permitted
without parental notification.
``(5) Definitions.--(A) Local educational agency. For the
purpose of subsection (c), the term 'local educational
agency' means any elementary, middle, or secondary school,
and any school district or local board of education that is
the recipient of funds under any applicable program, but does
not include postsecondary institutions.
``(B) Instructional material. For the purpose of subsection
(c), the term 'instructional material' means instructional
content that is provided to a student regardless of its
format, including printed or representational materials,
audio/visual materials, and materials in electronic or
digital formats (such as materials accessible through the
internet), but does not include academic tests or academic
assessments.
``(C) Invasive physical examination. For the purpose of
this section, the term 'invasive physical examination' means
any medical examination that involves the exposure of private
body parts, or any act during such examination that includes
incision, insertion, or injection into the body, but does not
include hearing, vision, or scoliosis screenings.
``(D) Parent. For the purpose of this section, the term
'parent' includes a guardian.
``(E) Personal information. For the purpose of this
section, the term 'personal information' means individually
identifiable information including--
``(i) a student or parent's first and last name;
``(ii) a home or other physical address including street
name and name of city or town;
``(iii) a telephone number; or
``(iv) a Social Security number.
``(F) Student. For the purpose of this section, the term
'student' means any elementary or secondary school student.
``(G) Survey. For the purpose of this section, the term
'survey' includes an evaluation.
``(6) General provisions.--(A) In General.--(i) Nothing in
this section shall be construed to supercede section 444 of
the General Education Provisions Act (20 U.S.C. 1232g).
``(ii) Subsection (c)(1)(D) shall not apply to surveys
administered to a student in accordance with the Individuals
with Disabilities Education Act (20 U.S.C. 1400 et seq.).
``(B) Student rights. The rights provided to parents under
this section transfer to the student once the student turns
18 years old, or is an emancipated minor at any age.
``(C) Information activities. The Secretary shall annually
inform each State educational agency and each local
educational agency of the educational agency's obligations
under sections 444 and 445 of the General Education
Provisions Act (20 U.S.C. 1232g).
``(D) Funding. A State educational agency or local
educational agency may use funds provided under part A of
title V of the [Short Title] to enhance parental involvement
in areas affecting children's in-school privacy.''.
Report Language:
The Conferees intend that the term ``condition of
attendance'' includes any action, whether overt or implicit,
by a school or local educational agency in the announcement,
scheduling, or administration of a non-emergency, invasive
physical examination or screening which states or implies
that the school--or local educational agency-administered
examination or screening is required, compulsory, or may not
be opted out of by the parent.
3. Both the House bill and the Senate amendment are
identical in this section.
Notes 3-7: agreement to move to Title IX, General
Provisions;
Notes 3-5, HR/SR with an amendment;
Notes 6-7, SR with an amendment;
(Ratified October 30, 2001).

``SEC. . EQUAL ACCESS TO PUBLIC SCHOOL FACILITIES.

``(a) Short Title.--This section may be cited as the ``Boy
Scouts of America Equal Access Act.''
``(b) In General.--Notwithstanding any other provision of
law, no public elementary school, public secondary school,
local educational agency, or State educational agency that
has a designated open forum or a limited public forum shall
deny equal access or a fair opportunity to meet to, or
discriminate against, any group officially affiliated with
the Boy Scouts of America, or any other youth group listed in
title 36 of the United States Code as a patriotic society,
that wishes to conduct a meeting within that designated open
forum or limited public forum, including for reasons based on
the membership or leadership criteria or oath of allegiance
to God and country of the Boy Scouts of America or of the
youth group listed in title 36 of the United States Code as a
patriotic society.
Nothing in this section requires any school or a school
served by an agency to sponsor any group officially
affiliated with the Boy Scouts of America, or any other youth
group listed in title 36 of the United States Code as a
patriotic society.
``(c) Termination of Assistance and Other Action.--
``(1) Departmental action.--The Secretary is authorized and
directed to effectuate subsection (b) by issuing, and
securing compliance with, rules or orders with respect to a
public elementary school, public secondary school, local
educational agency, or State educational agency that receives
funds made available through the Department of Education and
that denies equal access, or a fair opportunity to meet, or
discriminates, as described in subsection (b).
``(2) Procedure.--The Secretary shall issue and secure
compliance with the rules or orders, under paragraph (1),
through the Office of Civil Rights and in a manner consistent
with the procedure used by a Federal department or agency
under section 602 of the Civil Rights Act of 1964 (42 U.S.C.
2000d-1). If the public school or agency does not comply with
the rules or orders, then notwithstanding any other provision
of law, no funds made available through the Department of
Education shall be provided to the school or any school
served by the agency.

[[Page H10049]]

``(3) Judicial review.--Any action taken by the Secretary
under paragraph (1) shall be subject to the judicial review
described in section 603 of that Act (42 U.S.C. 2000d-2). Any
person aggrieved by the action may obtain that judicial
review in the manner, and to the extent, provided in section
603 of that Act.
``(d) Definitions and Rule.--
``(1) Definitions.--In this section:
``(A) Elementary school; local educational agency;
secondary school; state educational agency.--The terms
`elementary school', `local educational agency', `secondary
school', and `State educational agency' have the meanings
given the terms in section 14101 of the Elementary and
Secondary Education Act of 1965 [update cite].
``(B) Secretary.--The term `Secretary' means the Secretary
of Education.
``(C) Youth group.--The term `youth group' means any group
or organization intended to serve young people under the age
of 21.
``(2) Rule.--For purposes of this section, an elementary
school or secondary school has a limited public forum
whenever the school involved grants an offering to, or
opportunity for, one or more outside youth or community
groups to meet on school premises or in school facilities
before or after the hours during which attendance at the
school is compulsory.''
4. The House bill and the Senate amendment address access
to and use of school facilities by the Boy Scouts of America
or of youth groups that prohibit the acceptance of
homosexuals, or individuals who reject the Boy Scouts' or the
youth group's oath of allegiance to God and country. The two
provisions are substantially the same with minor technical
differences.
HR/SR with an amendment (see note 3).
5. The House bill and the Senate amendment have same
effective date with exception that the House uses the clause
``notwithstanding section 5.''
HR/SR with an amendment (see note 3).
6. The Senate amendment, but not the House bill, includes a
second provision on the Boy Scouts. A short title is included
in section 1501 of the Senate amendment but not the House
bill.
SR with an amendment (see note 3).
7. The Senate amendment, but not the House bill, addresses
equal access to the use of school facilities by the Boy
Scouts or any other group, regardless of the groups' sexual
orientation.
SR with an amendment (see note 3).
8. The House bill repeals Parts A and C of Title II and
Title VI of the Goals 2000: Educate America Act. The Senate
amendment repeals all of the Goals 2000: Educate America Act.
SR and an agreement to move to Title X's repeals section.
9. The House bill, but not the Senate amendment, repeals
the Troops to Teachers Program Act of 1999.
LC and an agreement to move to Title X's repeals section.
10. The House bill repeals Title IX; Parts A, B, C, D, F,
G, I, J, and L of Title X; Titles XI,; Title XII; the title
heading of Title XIII and sections 13001 and 13002; and Title
XIV. The Senate amendment repeals Titles IX through XIV.
LC and an agreement to move to Title X's repeals section.
11. The Senate amendment, but not the House bill, includes
several provisions relating to the collection of information
from students which is used for commercial purposes.
HR/SR (see note 2).
12. The Senate amendment, but not the House bill, requires
State and local educational agencies that receive funds under
the Act to develop and adopt guidelines to protect student
privacy.
HR/SR (see note 2).
13. The Senate amendment but not the House bill includes a
separate public school choice program.
HR with an agreement to move to Title V, part B; and with
an amendment to strike ``125,000,000'' and to insert
``100,000,000''; to strike ``each subsequent fiscal year''
and to insert ``such sums as may be necessary for each of the
six succeeding fiscal years''.
Report Language:
The Conferees agree that the term ``school construction''
does not refer to minor renovations or repairs conducted in a
school or classroom or to the leasing or purchase of modular
classroom facilities which are understood to be appropriate
capacity-enhancing activities that enable high-demand public
school to accommodate transfer requests under the program.
The Conferees intend that students who transfer to another
public school shall be enrolled in classes and other
activities in the same manner as all other children at the
public school.
14. The Senate amendment, but not the House bill,
authorizes parental information and resource centers.
HR with an agreement to move to Subpart 16 of Title V, Part
D (FIE) and an agreement to reduce the reservation for the
Parents as Teachers program from 50 percent to 30 percent.
15. The Senate amendment, but not the House bill,
authorizes a new summer academic enrichment program.
SR
16. The Senate amendment, but not the House bill,
authorizes a dropout prevention program.
HR with an agreement to move to Title I, Part G and an
authorization of $125 million for FY 2002 and such sums for
each of the 5 succeeding fiscal years.
17. The Senate amendment, but not the House bill,
authorizes a new grant program relating to advanced placement
courses.
HR with an agreement to repeal current Higher Ed Act AP
program and move this new program to Title I, part H; funded
at such sums as necessary for FY 2002 and the 5 succeeding
fiscal years.
18. The Senate amendment, but not the House bill,
authorizes the Secretary of Education to award grants to the
National Student/Parent Mock Election, a nonprofit
organization, to promote voter participation in American
elections.
HR with an agreement to move to Subpart 1 of Title V, Part
D (FIE) as a general use of funds.
19. The Senate amendment, but not the House bill, includes
a new program for the teaching of traditional American
History.
HR with an agreement to move to Subpart 5 of Title II, Part
C.
20. The Senate amendment, but not the House bill, includes
a new program to promote economic and financial literacy.
HR with an agreement to move to Subpart 13 of Title V, Part
D (FIE).
21. The Senate amendment, but not the House bill,
authorizes the Director of the National Institutes of Health
and the Secretary of Education to jointly conduct a study on
how exposure to violence through movies, music, television
and other media affects children's cognitive development. The
Senate amendment also amends the National Education
Statistics Act to require the Commissioner of Education
Statistics to gather data on how much time children spend on
various forms of entertainment.
HR/SR with an amendment to strike all language and add the
following provision at Subpart 1 of Title V, Part D (FIE).

``SEC. XXXX. STUDIES OF NATIONAL SIGNIFICANCE.

(a) Studies.--The Secretary shall conduct the following
studies of national significance:
``(1) Study regarding the health and learning impacts of
environmentally unhealthy public school buildings on students
and teachers. The study shall include the following
information--
``A. The characteristics of public elementary and secondary
school buildings that contribute to unhealthy school
environments.
``B. The health and learning impacts of environmental
unhealthy public school buildings on students that are
attending or that have attended such schools.
``C. Recommendations to Congress on how to assist schools
that are out of compliance with Federal or State health and
safety codes, and a cost estimate of bringing up
environmentally unhealthy public school buildings to minimum
Federal health and safety building standards.
``(2) Study regarding how exposure to violent entertainment
(such as movies, music, television, Internet content, video
games, and arcade games) affects children's cognitive
development and educational achievement.
``(3) Study regarding the prevalence of sexual abuse in
schools, including recommendations and legislative remedies
for the problem of sexual abuse in schools.
``(4) Study on the most accurate measures of the rate at
which students drop out of and graduate from (including on-
time graduation from) schools in the United States.
``A. As part of the study, the Secretary shall examine
longitudinal means of measurement that follow individual
student progress, beginning with seventh grade and continuing
through graduation from secondary schools, and what states
can do to establish or strengthen such systems.
``B. Not less than 1 year after the date of enactment of
this Act, the Secretary shall transmit to Congress a report
containing the results of the study and any recommendations
that the Secretary may have regarding the subject of the
study.
``(b) Completion Date.--The studies under subsections
(a)(i)-(iii) shall be completed not later than 18 months
after the enactment of the No Child Left Behind Act of 2001.
``(c) Public Dissemination.--The Secretary shall make the
study under (a)(i) available for public consumption through
the Educational Resources Information Center National
Clearinghouse for Educational Facilities of the Department of
Education.''
22. The Senate amendment, but not the House bill, includes
findings regarding sexual abuse in schools, and an
authorization for the Secretary of Education in conjunction
with the Attorney General, to conduct a comprehensive study
of the prevalence of sexual abuse in schools and to prepare a
report thereon for submission to relevant Congressional
committees and others.
HR/SR to strike all language (see note 21)
23. The Senate amendment, but not the House bill,
authorizes a study of whether Federal income tax incentives
that provide education assistance affect higher education
tuition rates.
SR
24. The Senate amendment, but not the House bill, includes
an authorization for the Fund for the Improvement of
Education, a Secretarial discretionary grant program.
HR with an agreement to move to Subpart 1 of Title V, Part
D (FIE) amended to read as follows:

[[Page H10050]]

``TITLE V, PART D--FUND FOR THE IMPROVEMENT OF EDUCATION

``PART A--FUND FOR THE IMPROVEMENT OF EDUCATION

``SEC. XXXX. FUND FOR THE IMPROVEMENT OF EDUCATION.

``(a) Programs and Projects Authorized.--
``(1) In general.--From funds appropriated under this part,
the Secretary is authorized to support nationally significant
programs and projects to improve the quality of elementary
and secondary education at the State and local levels and
help all children meet challenging academic content and
achievement standards.
``(2) Methods for carrying out programs and projects.--The
Secretary is authorized to carry out such programs and
projects directly, or through grants to or contracts with
States or local educational agencies, institutions of higher
education, and other public and private agencies,
organizations, and institutions.
``(b) Uses of Funds.--The funds appropriated under this
part may be used for any of the following activities and
programs:
``(1) Activities to promote systemic education reform at
the State and local levels, including scientifically based
research, development, and evaluation designed to improve:
``(A) student academic achievement at the State and local
level; and
``(B) strategies for effective parent and community
involvement.
``(2) Programs at the State and local levels which are
designed to yield significant results, including programs to
explore approaches to public school choice and school-based
decision-making.
``(3) Recognition, which may include financial awards to
States, local educational agencies, and schools that--
``(A) have made the greatest progress in improving the
academic achievement of economically disadvantaged students
and students from major racial and ethnic minority groups and
in closing the academic achievement gap for those groups of
students farthest away from the proficient level on the
academic assessments administered by the State under section
1111 of Title I; or
``(B) are nominated by the States in which the schools are
located or, in the case of a Bureau of Indian Affairs funded
school, by the Secretary of the Interior, because they have
made the greatest progress in improving the academic
achievement of economically disadvantaged students and
students from major racial and ethnic minority groups and
have closed the academic achievement gap for those groups of
students farthest away from the proficient level on the
academic assessments administered by the State under section
1111 of Title I.
``(4) Scientifically based studies and evaluations of
education reform strategies and innovations, and the
dissemination of information on the effectiveness of such
strategies and innovations.
``(5) The identification and recognition of exemplary
schools and programs, such as Blue Ribbon Schools, including
projects to evaluate the effectiveness of using the best
practices of exemplary or Blue Ribbon Schools to improve
academic achievement.
``(6) Activities to support Scholar-Athlete Games programs,
including the World Scholar-Athlete Games and the U.S.
Scholar-Athlete Games.
``(7) Programs to promote voter participation in American
elections through programs such as the National Student/
Parent Mock Election and Kids Voting USA.
``(8) demonstrations relating to the planning and
evaluations of the effectiveness of projects under which
local educational agencies or schools contract with private
management organizations to reform a school or schools.
``(9) Other programs and projects that meet the purposes of
this section.

``SEC. XXXX. GENERAL PROVISIONS.

``(a) Awards Made on Competitive Basis.--The Secretary may:
``(1) make awards under this part on the basis of
competitions announced by the Secretary, and;
``(2) support meritorious unsolicited proposals.
``(b) Special Rule.--The Secretary shall ensure that
programs, projects, and activities supported under this part
are designed so that their effectiveness is readily
ascertainable, and shall ensure that such effectiveness is
assessed using rigorous, scientifically based research and
evaluations.
``(c) Peer Review.--The Secretary shall use a peer review
process in reviewing applications for assistance under this
part and in recognizing States, local educational agencies
and schools under section XXXX (b)(3) [Recognition] only if
funds are used for such activity, and may use funds
appropriated under this part for the cost of such peer
review.
``(d) Applications.--An applicant for an award under this
part shall submit an application which--
``(1) establishes clear goals and objectives for its
project under this part which are based on scientifically
based research; and
``(2) describes the activities it will carry out in order
to meet the goals and objectives described in paragraph (1).
``(e) Evaluations.--A recipient of an award under this part
shall--
``(1) evaluate the effectiveness of its project in
achieving the goals and objectives stated in its application;
and
``(2) report to the Secretary such information as may be
required, including evidence of its progress toward meeting
such goals, to determine the project's effectiveness.
``(f) Dissemination of Evaluation Results.--The Secretary
shall provide for the dissemination of the evaluations of
projects funded under this part by making the evaluations
publicly available upon request, and shall publish public
notice that the evaluations are so available.
``(g) Matching Funds.--The Secretary may require recipients
of awards under this part to provide matching funds from non-
Federal sources.
``(h) Special Rule.--The requirements of (d)
[Applications], (e) [Evaluations], and (f) [Dissemination of
Evaluation Results] shall not apply to activities described
in section XXXX (b)(3) [Recognition].

``SEC. XXXX. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this
part the following amounts:
$550 million for FY 2002
$575 million for FY 2003
$600 million for FY 2004
$625 million for FY 2005
$650 million for FY 2006
$675 million for FY 2007.''
25. The Senate amendment, but not the House bill,
authorizes the Secretary of Education to award grants to a
specific non-profit organization for the purpose of
reimbursing such organization for the costs of conducting
scholar-athlete games.
HR with an agreement to move to Subpart 1 of Title V, Part
D (FIE) as a general use of funds.
26. The Senate amendment, but not the House bill,
authorizes a Physical Education for Progress program.
HR with an agreement to move to Subpart 10 of Title V, Part
D (FIE).
27. The Senate amendment, but not the House bill,
authorizes a Smaller Learning Communities program. Similar
activities are included in Title V, Part B, Subpart 4,
Chapter 5 (use of funds under innovative education program
strategies) of the Senate amendment.
HR with an agreement to move to Subpart 4 of Title V, Part
D (FIE).
28. The Senate amendment, but not the House bill,
authorizes a study of the health and learning impacts of
dilapidated or environmentally unhealthy public school
buildings upon students.
HR/SR to strike all language (see note 21).
29. The Senate amendment, but not the House bill,
establishes a new program relating to improving the energy-
efficiency and environmental soundness of school buildings.
HR with an agreement to amend and move to Subpart 18 of
Title V, Part D (FIE).

Title IX, Part A, Subpart 2--Homeless Education

(New Title X, Part C)

SR for short title
1. House bill contains findings.
HR
2. Senate amendment does not contain similar provisions.
HR
3. House bill contains a purpose.
HR
4. Senate amendment contains no similar provision.
HR
5. House bill and Senate amendment contain identical
provision that clarifies that homelessness alone is not
sufficient reason to separate students from the mainstream
school environment (strikes `should not be' and replaces with
`is not').
SR with an amendment to insert ``appropriate'' before
``public education'' in House paragraph (1) and insert
``appropriate'' before ``public education'' in House
paragraph (2).
6. House bill and Senate amendment are identical.
LC
7. House bill and Senate amendment are identical.
LC
8. House bill increases the amount of McKinney-Vento
funding available to small States to one-half of one percent
of the overall appropriation, or $125,000, whichever is
greater.
SR with an amendment to set small state minimum at $150,000
or \1/4\ of 1% of the total appropriation, whichever is
greater, except that no state shall receive less than it
received in FY 2001.
9. Senate amendment makes $100,000 available to small
States.
SR--See Note 8.
10. House bill and Senate amendment strike Palau from
receiving funds.
LC
11. House bill requires the Secretary to transfer 1% to the
Department of Interior by replacing ``is authorized to'' with
``shall.''
SR
12. Senate amendment authorizes the transfer.
SR
13. Virtually identical provisions.
LC
14. House bill provides States with greater flexibility to
use McKinney-Vento funds for statewide support and technical
assistance activities.
SR
15. Senate amendment has a reservation of funds for
statewide activities.
SR
16. House bill prohibits states that receive McKinney funds
from segregating homeless

[[Page H10051]]

students, except for short periods of time for health and
safety emergencies or to provide temporary, special,
supplementary services. However, separate schools established
before the enactment of the law are excluded from this
prohibition and may continue to receive McKinney funds.
HR
17. Senate amendment prohibits states that receive McKinney
funds from segregating homeless students, except for short
periods of time for health and safety emergencies or to
provide temporary, special, supplementary services. However,
a State that has a separate school for homeless children or
youth that was operated in fiscal year 2000 in a covered
county (San Joaquin County, CA; Orange County, CA; San Diego
County, CA; and Maricopa County, AZ) is excluded from this
prohibition and may continue to receive McKinney funds as
long as such schools and the LEAs that homeless children
enrolled in the separate school are entitled to attend meet
the requirements set forth in this section.
HR
18. House bill and Senate amendment contain virtually
identical language that revises the provisions for the
Coordinator of Education of Homeless Children and Youth,
however, House bill requires that this information be
gathered ``to the extent possible.''
HR
``It is the intention of the conferees that the Office of
the Coordinator shall coordinate with the State Educational
Agency, state social services agencies, and other agencies,
including agencies providing mental health services, to
provide services to homeless children, youth, and families.''
19. House bill requires Coordinators to provide technical
assistance to ensure that LEAs comply with paragraphs 3
through 7 of the State plan.
SR (Accept both provisions--notes 19 & 20).
20. Senate amendment requires Coordinators to provide
technical assistance to ensure that LEAs comply with the
prohibition on segregating homeless students. House bill and
Senate amendment revise the State plan.
HR (Accept both provisions--notes 19 & 20).
21. House bill and Senate amendment revise the State plan.
LC
22. House bill requires the State plan to describe
procedures that ensure that homeless youth and youth
separated from the public schools are identified and accorded
equal access to appropriate secondary education and support
services.
SR
23. House bill adds immunization and medical records to the
list of problems which may cause enrollment delays, Senate
amendment does not.
SR
24. House bill adds uniform or dress code requirements to
the list of problems which may cause enrollment delays,
Senate amendment does not.
SR
25. House bill and Senate amendment contain similar
language requiring the State plan contain assurances that
SEAs and LEAs will adopt policies and practices to ensure
that homeless children and youth are not segregated on the
basis of their status as homeless.
HR on Senate (i).
SR on House (J) (ii).
26. House bill requires the State plan to contain
assurances that the State and school districts will adopt
policies and practices to ensure that transportation is
provided to and from the school of origin.
SR
27. Senate amendment contains no similar provision.
SR
28. Virtually identical provisions.
LC
29. House bill requires State plan to describe technical
assistance the State will offer LEAs.
SR
30. Senate amendment contains no similar provision.
SR
31. House bill and Senate amendment revise LEA requirements
with virtually identical provisions.
LC
32. Senate amendment requires LEAs to consider the wishes
of unaccompanied youth in placement decisions.
SR
33. House bill requires that parents, guardian, or
unaccompanied youth are given written notice of right of
appeal.
SR
34. Senate amendment contains no similar provision.
SR
35. House bill contains language regarding enrollment
decisions for unaccompanied youth. Senate amendment does not
contain this provision.
SR with an amendment to (B)(iii) to add ``considers the
views of such unaccompanied youth'' after ``subparagraph.''
36. Senate amendment specifies that the student shall be
referred to the appropriate authorities if the child or youth
needs to obtain immunizations.
SR
37. House bill specifies that the student shall be referred
to the liaison if the child or youth needs to obtain
immunizations.
SR
38. House bill contains language requiring ordinarily kept
records of students be maintained so that they are available
when a child or youth enters a new school or school district.
SR
39. House bill provides that written explanation of right
of appeal is provided to the parent or guardian.
SR
40. Senate amendment contains no similar provision.
SR
41. House bill specifies that the local liaison carries out
the dispute resolution process.
SR
42. Senate amendment contains no similar provision.
SR
43. House bill provides LEA authority to require submission
of contact information.
SR with an amendment to strike all after ``information'' in
(H).
44. Senate amendment contains no similar provision.
SR with an amendment as noted in Note 43.
45. House bill and Senate amendment are identical.
LC
46. House bill and Senate amendment contain virtually
identical language.
LC
47. House bill contains language on interdistrict
coordination.
SR
48. Senate amendment contains no similar provision.
SR
49. House bill and Senate amendment contain similar
provisions except that House bill adds ``reasonable
proximity.''
SR
50. House bill and Senate amendment revise the duties of
the local liaison with virtually identical language.
LC
51. House bill provides that the liaison coordinate with
school personnel and other entities to identify homeless
children.
SR with an amendment to strike ``an'' and insert ``a full
and'' before ``equal''.
52. House bill requires the liaison to inform students
about transportation services.
SR
53. Senate amendment contains no similar provision.
SR
54. House bill requires notice for all LEAs.
SR
55. Senate amendment requires notice for LEAs receiving
assistance under this subtitle.
SR
56. House bill and Senate amendment are identical.
LC
57. House bill and Senate amendment revise LEA services for
homeless children and youth with virtually identical
language.
SR
58. Similar provisions.
LC
59. House bill and Senate amendment are identical.
LC
60. House bill revises the LEA application language.
SR
61. Senate amendment makes a minor modification to current
law that is similar to language in House bill.
LC
62. House bill and Senate amendment are virtually
identical.
LC
63. House bill revises language regarding grants awarded to
LEAs.
LC
64. House bill and Senate amendment are virtually
identical.
LC
65. House bill and Senate amendment contain language for
determining the quality of applications that are virtually
identical.
LC
66. Senate amendment specifies that case management
services may be a factor used in determining quality.
SR with an amendment to add ``such as the extent to which
the local educational agency provides case management or
related services to homeless children and youth who are
unaccompanied by a parent or guardian'' after ``program'' in
House (G).
(Adding Senate (G) to end of House (G)).
67. House bill contains no similar provision.
SR with an amendment as noted in Note 66.
68. House bill revises LEA authorized activities, Senate
amendment does not.
SR
69. House bill provides for outreach assistance to
unaccompanied youth.
SR
70. Senate amendment contains no similar provision.
SR
71. House bill revises Secretarial Responsibilities
section.
SR
72. House bill requires the Secretary to provide and
disseminate notice of educational rights of homeless
children.
SR
73. Senate amendment contains no similar provision.
SR
74. Senate amendment contains a requirement for the
Secretary to develop and issue school enrollment guidelines
for homeless children and youth.
HR with an amendment to strike ``more quickly'' and insert
``immediately''.
75. House bill contains language requiring the Secretary to
disseminate information regarding the rights of homeless
children and youth (see ``Sec. 724(c) NOTICE'' above).

[[Page H10052]]

HR with an amendment as noted in Note 74.
76. House bill and Senate amendment contain virtually
identical language regarding information collection and
dissemination.
LC
77. House bill and Senate amendment contain virtually
identical language regarding a report from the Secretary on
the education of homeless children and youth.
LC
78. House bill specifically mentions ``children and youth
who are living in doubled-up accommodations.''
HR
79. House bill uses term ``individuals'' and Senate
amendment uses term ``children and youth.''
HR
80. Similar provisions.
HR
81. Identical provision.
LC
82. Similar provisions.
HR
83. Identical provision.
LC
84. House bill authorizes $60 million for fiscal year 2002
and such sums as may be necessary for each of fiscal years
2003 through 2006.
HR
85. Senate amendment authorizes $70 million for fiscal year
2002 and such sums as may be necessary for each of the 6
succeeding fiscal years.
HR with an amendment to strike ``6'' and insert ``5''.

Amendments to Other Statutes

(New Title X, Part G)

1. The Senate amendment, but not the House bill, amends the
term ``qualified entity'' of the National Child Protection
Act of 1993
SR with an amendment to insert:
``Sec. ( ) Background Checks.--Section 5(9) of the National
Child Protection Act of 1993 (42 U.S.C. 5119c(9)) is
amended--
``(1) in subparagraph (A)(i), by inserting ``(including an
individual who is employed by a school in any capacity,
including as a child care provider, a teacher, or another
member of school personnel)'' before the semicolon; and
``(2) in subparagraph (B)(i), by inserting ``(including an
individual who seeks to be employed by a school in any
capacity, including as a child care provider, a teacher, or
another member of school personnel)'' before the semicolon.''
``Sec. ( ) Coordinator for the Outlying Areas.--The
Department of Education Organization Act is amended by adding
at the end of Title II of such Act the following:

``SEC. 220. COORDINATOR FOR THE OUTLYING AREAS

``(a) Establishment.--The Secretary shall designate an
office of the Department to coordinate the activities of the
Department as they relate to the Outlying Areas.
``(b) Appointment.--The head of the office designated under
subsection (a) shall appoint, not later than 3 months after
the date of enactment of [the Act] a coordinator for the
Outlying Areas who shall be a person with substantial
experience in the operation of Federal programs in the
Outlying Areas.
``(c) Duties.--The Coordinator for the Outlying Areas
shall--
``(1) serve as the principal advisor to the Department on
federal matters affecting the Outlying Areas;
``(2) evaluate on a periodic basis the needs of education
programs in the Outlying Areas;
``(3) assist with the coordination of programs which serve
the Outlying Areas; and
``(4) provide guidance to programs within the Department
that serve the Outlying Areas.
``(d) Definition.--For the purposes of this section, the
term ``Outlying Areas'' includes Guam, the Virgin Islands,
American Samoa, and the Commonwealth of the Northern Marianas
Islands, but does not include the Freely Associated States of
the Republic of the Marshall Islands, the Federated States of
Micronesia, and the Republic of Palau.''
2. The Senate amendment, but not the House bill, amends the
Individuals With Disabilities Education Act to add a new
chapter 3 to part D of IDEA relating to improving early
intervention, educational, and transitional services.
SR
3. The Senate amendment includes findings regarding IDEA.
SR
4. The House bill does not contain a similar provision.
SR
5. The Senate amendment would amend IDEA to allow LEAs to
treat as local funds up to 55 percent of funding increases
beyond the amount received in FY2001 and to petition the
State to waive the 55% cap. It would also allow the Secretary
to prohibit the LEA from supplanting funds if it does not
meet part B requirements.
SR
6. The House bill does not contain a similar provision.
SR
7. The Senate amendment would amend IDEA to make funding of
part B mandatory for fiscal years 2002--2011.
SR
8. The House bill does not contain a similar provision.
SR
9. Senate returns IDEA part B to a discretionary program
for FY2012 and subsequent years. House contains no similar
provision.
SR
10. The Senate amendment, but not the House bill, includes
amendments to the Omnibus Crime Control and Safe Streets Act
of 1968 relating to school resource officers.
SR
11. The Senate amendment, but not the House bill, amends
the Higher Education Act to create a new program of loan
forgiveness for Head Start teachers.
SR
12. The Senate amendment, but not the House bill, includes
amendments to the Economic Espionage Act of 1966 relating to
Boys and Girls Clubs.
SR
13. The Senate amendment, but not the House bill, includes
amendments to the Carl D. Perkins Vocational and Technical
Education Act of 1998
SR
14. The Senate amendment, but not the House bill,
reauthorizes the National Environmental Education Act,
including comprehensive changes.
SR
15. The Senate amendment, but not the House bill, includes
amendments to the Federal Insecticide, Fungicide, and
Rodenticide Act.
SR
16. The Senate amendment, but not the House bill, amends
section 112(f)(1) of the Kids 2000 Act
SR
LC: Add following provision.
``Sec. . (a) Compensation.--Section 5314 of title 5,
United States Code, is amended by adding at the end thereof
the following: ``Under Secretary of Education''.
(b) Effective Date.--This Act shall take effect on the
first day of the first pay period that begins on or after the
date of enactment of this Act.''
For consideration of the House bill and the Senate amendment,
and modifications committed to conference:
John Boehner,
Thomas E. Petri,
Marge Roukema,
Howard ``Buck'' McKeon,
Mike Castle,
Lindsey Graham,
Van Hilleary,
Johnny Isakson,
George Miller,
Dale E. Kildee,
Major R. Owens,
Patsy T. Mink,
Robert E. Andrews,
Tim Roemer,
Managers on the Part of the House.

____________________