[107th Congress Public Law 110]
[From the U.S. Government Printing Office]
<DOC>
[DOCID: f:publ110.107]
[[Page 115 STAT. 1425]]
Public Law 107-110
107th Congress
An Act
To close the achievement gap with accountability, flexibility, and
choice, so that no child is left behind. <<NOTE: Jan. 8, 2002 - [H.R.
1]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: No Child Left
Behind Act of 2001. Education. Inter-governmental relations.>>
SECTION 1. SHORT TITLE. <<NOTE: 20 USC 6301 note.>>
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.
Sec. 6. Table of contents of Elementary and Secondary Education Act of
1965.
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, Native Hawaiians, and Alaska Natives.
Sec. 702. Conforming amendments.
Sec. 703. Savings provisions.
TITLE VIII--IMPACT AID PROGRAM
Sec. 801. Payments relating to Federal acquisition of real property.
[[Page 115 STAT. 1426]]
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.
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. <<NOTE: 20 USC 6301 note.>>
(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.
[[Page 115 STAT. 1427]]
(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. <<NOTE: 20 USC 6301 note.>>
(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, <<NOTE: 20 USC 6301
note.>> 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.
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``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.
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``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.
``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.
``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.
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``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.
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``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.
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``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.
``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.
[[Page 115 STAT. 1433]]
``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.
[[Page 115 STAT. 1434]]
``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.
[[Page 115 STAT. 1435]]
``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.
[[Page 115 STAT. 1436]]
``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.
``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. Termination.
``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 purpose.
``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.
[[Page 115 STAT. 1437]]
``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. orization 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.
[[Page 115 STAT. 1438]]
``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--Aalaska 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.
[[Page 115 STAT. 1439]]
``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.''.
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. <<NOTE: 20 USC 6301.>>
``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,
[[Page 115 STAT. 1440]]
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. <<NOTE: 20 USC 6302.>>
``(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.--
[[Page 115 STAT. 1441]]
``(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.
[[Page 115 STAT. 1442]]
``(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. <<NOTE: 20 USC 6303.>> 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) <<NOTE: Public information. Records.>> 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.--
[[Page 115 STAT. 1443]]
``(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 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 two 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
[[Page 115 STAT. 1444]]
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. <<NOTE: 20 USC 6304.>>
``(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. <<NOTE: 20 USC 6311.>>
``(a) Plans Required.--
``(1) In general.--For any State desiring to receive a grant
under this part, the State educational agency shall submit to
the Secretary a plan, developed by the State educational agency,
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
[[Page 115 STAT. 1445]]
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 two 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
[[Page 115 STAT. 1446]]
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
[[Page 115 STAT. 1447]]
``(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 (defined as the percentage of
students who graduate from secondary school with a
regular diploma in the standard number of years)
and at least one 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
``(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
[[Page 115 STAT. 1448]]
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 2 years; and
``(iii) provide for each following increase to
occur in not more than 3 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
[[Page 115 STAT. 1449]]
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.
``(K) Accountability for charter schools.--The
accountability provisions under this Act shall be
overseen for charter schools in accordance with State
charter school law.
``(3) Academic assessments.--
``(A) In general.--Each State plan shall demonstrate
that the State educational agency, 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 educational
agency 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--
[[Page 115 STAT. 1450]]
``(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 educational
agency 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1451]]
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 three 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 two 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, 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
[[Page 115 STAT. 1452]]
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 6113(a)(2) 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
[[Page 115 STAT. 1453]]
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. <<NOTE: Deadline.>> --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 educational agency, 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
[[Page 115 STAT. 1454]]
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 educational
agency 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 educational
agency will coordinate and collaborate, to the extent feasible
and necessary as determined by the State educational agency,
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 educational agency 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) <<NOTE: Deadline.>> the State educational agency 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 educational agency 1 additional year if
the State 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 State, prevented full implementation of this paragraph by
that deadline and that the State will complete implementation
within the additional 1-year period;
``(2) <<NOTE: Deadline.>> 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;
[[Page 115 STAT. 1455]]
``(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) <<NOTE: Notification.>> 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;
``(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 educational agency will coordinate
activities funded under this part with other Federal activities
as appropriate; and
[[Page 115 STAT. 1456]]
``(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 educational agency 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) <<NOTE: Establishment.>> 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) <<NOTE: Deadline.>> 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 plan shall be revised by the
State educational agency if it is 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
[[Page 115 STAT. 1457]]
``(B) be periodically reviewed and revised as
necessary by the State educational agency to reflect
changes in the State's strategies and programs under
this part.
``(2) Additional information.--If significant changes are
made to a State's 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, such information shall be submitted 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1458]]
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)(C)(vi);
``(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
[[Page 115 STAT. 1459]]
``(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) <<NOTE: Deadline.>> 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 educational
agency 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 educational
agency 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 educational
agency shall ensure that each local educational agency
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
[[Page 115 STAT. 1460]]
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) <<NOTE: Deadline.>> 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) <<NOTE: Deadlines.>> Annual state report to the
secretary.--Each State educational agency 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;
[[Page 115 STAT. 1461]]
``(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) <<NOTE: Notification.>> 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 four 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
[[Page 115 STAT. 1462]]
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) <<NOTE: Applicability.>> 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. <<NOTE: 20 USC 6312.>>
``(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
[[Page 115 STAT. 1463]]
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;
``(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
[[Page 115 STAT. 1464]]
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
[[Page 115 STAT. 1465]]
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;
[[Page 115 STAT. 1466]]
``(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 end of the 2001-2002 school
year;
``(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) <<NOTE: Procedures.>> 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
[[Page 115 STAT. 1467]]
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 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1468]]
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) <<NOTE: Deadline.>> 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1469]]
education program on the basis of a surname or language-minority
status.
``SEC. 1113. <<NOTE: 20 USC 6313.>> 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).
[[Page 115 STAT. 1470]]
``(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
[[Page 115 STAT. 1471]]
(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.
``(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. <<NOTE: 20 USC 6314.>> 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
[[Page 115 STAT. 1472]]
``(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
[[Page 115 STAT. 1473]]
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.
[[Page 115 STAT. 1474]]
``(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) <<NOTE: Records.>> 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
[[Page 115 STAT. 1475]]
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 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. <<NOTE: 20 USC 6315.>>
``(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.
[[Page 115 STAT. 1476]]
``(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
[[Page 115 STAT. 1477]]
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--
[[Page 115 STAT. 1478]]
``(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. <<NOTE: 20 USC 6316.>> 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
[[Page 115 STAT. 1479]]
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 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
[[Page 115 STAT. 1480]]
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) <<NOTE: Deadline. Public information.>> 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) <<NOTE: Deadline.>> 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--
[[Page 115 STAT. 1481]]
``(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) <<NOTE: Deadline.>> 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) <<NOTE: Deadline.>> 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.
[[Page 115 STAT. 1482]]
``(E) Local educational agency approval.--The local
educational agency, within 45 days of receiving a school
plan, shall--
``(i) <<NOTE: Establishment.>> 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
[[Page 115 STAT. 1483]]
part that fails to make adequate yearly progress, as set out in
the State's plan 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 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).
[[Page 115 STAT. 1484]]
``(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.
[[Page 115 STAT. 1485]]
``(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) <<NOTE: Deadline.>> 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 educational agency, 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
[[Page 115 STAT. 1486]]
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
[[Page 115 STAT. 1487]]
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 two 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 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),
[[Page 115 STAT. 1488]]
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) <<NOTE: Deadline.>> 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1489]]
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) <<NOTE: Deadline.>> 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--
[[Page 115 STAT. 1490]]
``(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 one additional action described
under this subparagraph.
[[Page 115 STAT. 1491]]
``(D) <<NOTE: Notice. Deadline.>> 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) <<NOTE: Publication.>> Notice to parents.--
The State educational agency shall publish, and
disseminate 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 two consecutive school years
beginning after the date of identification of the agency under
paragraph (3), the State educational agency need no longer
identify the local educational agency for improvement or 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;
[[Page 115 STAT. 1492]]
``(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) <<NOTE: Records.>> maintain an updated list
of approved providers across the State, by school
district, from which parents may select;
[[Page 115 STAT. 1493]]
``(D) <<NOTE: Reports. Public information.>>
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) <<NOTE: Notice.>> 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.--
[[Page 115 STAT. 1494]]
``(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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1495]]
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).
``(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 two 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) <<NOTE: Deadline.>> 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,
[[Page 115 STAT. 1496]]
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 one 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. <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1497]]
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
[[Page 115 STAT. 1498]]
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. <<NOTE: 20 USC 6317.>> 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.
[[Page 115 STAT. 1499]]
``(B) Priority.--The State educational agency shall
give priority to the approach described in clause (i) of
subparagraph (A).
``(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 one 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
[[Page 115 STAT. 1500]]
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.
[[Page 115 STAT. 1501]]
``(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 in those
schools 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. <<NOTE: 20 USC 6318.>>
``(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
[[Page 115 STAT. 1502]]
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). <<NOTE: Notification.>> 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. <<NOTE: Public information.>> 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 children shall be invited and
encouraged to attend, to inform parents of their school's
[[Page 115 STAT. 1503]]
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--
[[Page 115 STAT. 1504]]
``(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;
[[Page 115 STAT. 1505]]
``(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. <<NOTE: 20 USC 6319.>> 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1506]]
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) <<NOTE: Deadline.>> 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) <<NOTE: Deadlines.>> 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).
``(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--
[[Page 115 STAT. 1507]]
``(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) <<NOTE: Deadline.>> 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 (c).
``(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
[[Page 115 STAT. 1508]]
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) <<NOTE: Deadline.>> 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. <<NOTE: 20 USC 6320.>> 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.
[[Page 115 STAT. 1509]]
``(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.
[[Page 115 STAT. 1510]]
``(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.
``(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
[[Page 115 STAT. 1511]]
``(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. <<NOTE: 20 USC 6321.>>
``(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
[[Page 115 STAT. 1512]]
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. <<NOTE: 20 USC 6322.>>
``(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.
[[Page 115 STAT. 1513]]
``(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. <<NOTE: 20 USC 6331.>> GRANTS FOR THE OUTLYING AREAS AND
THE SECRETARY OF THE INTERIOR.
``(a) Reservation of Funds.--From the amount appropriated for
payments to States for any fiscal year under section 1002(a) 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
[[Page 115 STAT. 1514]]
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.
``(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
[[Page 115 STAT. 1515]]
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. <<NOTE: 20 USC 6332.>>
``(a) Allocation Formula.--Of the amount appropriated under section
1002(a) to carry out this part for each of fiscal years 2002-2007
(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
[[Page 115 STAT. 1516]]
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) <<NOTE: Applicability.>> 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. <<NOTE: 20 USC
6333.>>
``(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
[[Page 115 STAT. 1517]]
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) <<NOTE: Public information.>> the two
Secretaries shall publicly disclose the reasons
for their determination in detail; and
``(ii) <<NOTE: Applicability.>> 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) <<NOTE: Deadline.>> 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 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.
[[Page 115 STAT. 1518]]
``(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.--
[[Page 115 STAT. 1519]]
``(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 two or more
counties in their entirety, then each county will be treated as
if such county were a separate local educational agency for
purposes of calculating grants under this part. The total of
grants for such counties shall be allocated to such a local
educational agency, which local educational agency shall
distribute to schools in each county within such agency a share
of the local educational agency's total grant that is no less
than the county's share of the population counts used to
calculate the local educational agency's grant.
``(3) Population updates.--
``(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) <<NOTE: Public information.>> 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,
[[Page 115 STAT. 1520]]
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 four 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1521]]
``(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. <<NOTE: 20 USC 6334.>> CONCENTRATION GRANTS TO LOCAL
EDUCATIONAL AGENCIES.
``(a) Eligibility for and Amount of Grants.--
``(1) In general.--(A) Except as otherwise provided in this
paragraph, each local educational agency 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 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).
[[Page 115 STAT. 1522]]
``(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. <<NOTE: 20 USC 6335.>> 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
[[Page 115 STAT. 1523]]
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 two 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 two amounts determined under subparagraphs
(B) and (C).
[[Page 115 STAT. 1524]]
``(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.
[[Page 115 STAT. 1525]]
``SEC. <<NOTE: 20 USC 6336.>> 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) Fifty-eight percent of all schools receive at least
some funding under this part, including many suburban schools
with predominantly well-off students.
``(4) One 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 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. <<NOTE: 20 USC 6337.>> 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
[[Page 115 STAT. 1526]]
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.--
[[Page 115 STAT. 1527]]
``(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 one 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.
[[Page 115 STAT. 1528]]
``(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 two 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
[[Page 115 STAT. 1529]]
of the two 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 two 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
[[Page 115 STAT. 1530]]
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 1.5;
``(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 3.0;
``(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 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.
``(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 two 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 1.5;
``(III) the number of such children
who constitute more than 22.11 percent,
but not more
[[Page 115 STAT. 1531]]
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 two 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
[[Page 115 STAT. 1532]]
``(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.
``(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 two 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 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;
[[Page 115 STAT. 1533]]
``(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
[[Page 115 STAT. 1534]]
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
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. <<NOTE: 20 USC 6338.>> 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 two or more local educational agencies serve, in
whole or in part, the same geographical area;
``(2) if a local educational agency provides free public
education for children who reside in the school district of
another local educational agency; or
``(3) to reflect the merger, creation, or change of
boundaries of one or more local educational agencies.
``(c) Reallocation.--If a State educational agency determines that
the amount of a grant a local educational agency would receive under
sections 1124, 1124A, 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. <<NOTE: 20 USC 6339.>> 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 one additional fiscal year.
[[Page 115 STAT. 1535]]
``(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. <<NOTE: 20 USC 6361.>> 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. <<NOTE: 20 USC 6362.>> 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).
[[Page 115 STAT. 1536]]
``(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 one-half 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 one-half 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 one-fourth
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
[[Page 115 STAT. 1537]]
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 115 STAT. 1538]]
``(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
[[Page 115 STAT. 1539]]
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 highly 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.
[[Page 115 STAT. 1540]]
``(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) <<NOTE: Reports. Public
information. Internet.>> 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
[[Page 115 STAT. 1541]]
not more than 25 percent of the amount of the funds made
available under paragraph (1) for one 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.
[[Page 115 STAT. 1542]]
``(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
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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1543]]
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. <<NOTE: 20 USC 6363.>> 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
[[Page 115 STAT. 1544]]
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) three individuals selected by the
Secretary;
``(ii) three individuals selected by the
National Institute for Literacy;
``(iii) three individuals selected by the
National Research Council of the National Academy
of Sciences; and
``(iv) three individuals selected by the
National Institute of Child Health and Human
Development.
``(B) Experts.--The panel shall include--
[[Page 115 STAT. 1545]]
``(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
one 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;
[[Page 115 STAT. 1546]]
``(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 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. <<NOTE: 20 USC 6364.>> 1204. TARGETED ASSISTANCE GRANTS.
``(a) Eligibility Criteria for Awarding Targeted Assistance Grants
to States.--Beginning <<NOTE: Effective date.>> 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,
[[Page 115 STAT. 1547]]
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--
[[Page 115 STAT. 1548]]
``(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. <<NOTE: 20 USC 6365.>> 1205. EXTERNAL EVALUATION.
``(a) <<NOTE: Contracts.>> 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. <<NOTE: 20 USC 6366.>> 1206. NATIONAL ACTIVITIES.
``From funds reserved under section 1202(b)(1)(C), the Secretary--
[[Page 115 STAT. 1549]]
``(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. <<NOTE: 20 USC 6367.>> 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 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. <<NOTE: 20 USC 6368.>> 1208. DEFINITIONS.
``In this subpart:
``(1) Eligible local educational agency.--The term `eligible
local educational agency' means a local educational agency
that--
[[Page 115 STAT. 1550]]
``(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--
[[Page 115 STAT. 1551]]
``(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.
[[Page 115 STAT. 1552]]
``Subpart 2--Early Reading First
``SEC. <<NOTE: 20 USC 6371.>> 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 one
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 one 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 one
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.
[[Page 115 STAT. 1553]]
``SEC. <<NOTE: 20 USC 6372.>> 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 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, three
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:
[[Page 115 STAT. 1554]]
``(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 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.
``(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. <<NOTE: 20 USC 6373.>> 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. <<NOTE: 20 USC 6374.>> 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. <<NOTE: 20 USC 6375.>> 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;
[[Page 115 STAT. 1555]]
``(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. <<NOTE: 20 USC 6376.>> 1226. EVALUATION.
``(a) <<NOTE: Effective date. Termination date.>> 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) <<NOTE: Deadlines.>> 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. <<NOTE: 20 USC 6381.>> 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;
[[Page 115 STAT. 1556]]
``(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. <<NOTE: 20 USC 6381a.>> 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
[[Page 115 STAT. 1557]]
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 one 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 one 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 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
[[Page 115 STAT. 1558]]
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 one-half 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. <<NOTE: 20 USC 6381b.>> 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--
[[Page 115 STAT. 1559]]
``(1) administration, which amount shall not exceed half of
the total;
``(2) providing, through one 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 one 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. <<NOTE: 20 USC 6381c.>> 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.
[[Page 115 STAT. 1560]]
``(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. <<NOTE: 20 USC 6381d.>> 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
[[Page 115 STAT. 1561]]
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) <<NOTE: Deadline.>> 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 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;
[[Page 115 STAT. 1562]]
``(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. <<NOTE: 20 USC 6381e.>> 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.
[[Page 115 STAT. 1563]]
``(2) Special rule.--Any family participating in a program
assisted under this subpart that becomes ineligible to
participate as a result of one 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. <<NOTE: 20 USC 6381f.>> 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
[[Page 115 STAT. 1564]]
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) may be submitted as part of a consolidated application under
section 9305.
``SEC. <<NOTE: 20 USC 6381g.>> 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;
[[Page 115 STAT. 1565]]
``(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 three members, including one early childhood professional,
one adult education professional, and one individual with
expertise in family literacy programs, and may include other
individuals, such as one 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.--
``(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
[[Page 115 STAT. 1566]]
``(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. <<NOTE: 20 USC 6381h.>> 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. <<NOTE: 20 USC 6381i.>> 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. <<NOTE: 20 USC 6381j.>> 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--
[[Page 115 STAT. 1567]]
``(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. <<NOTE: 20 USC 6381k.>> 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. <<NOTE: 20 USC 6383.>> 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) one-half 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) one-half 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
[[Page 115 STAT. 1568]]
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
[[Page 115 STAT. 1569]]
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--
``(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;
[[Page 115 STAT. 1570]]
``(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
[[Page 115 STAT. 1571]]
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. <<NOTE: 20 USC 6391.>> 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. <<NOTE: 20 USC 6392.>> 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. <<NOTE: 20 USC 6393.>> 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
[[Page 115 STAT. 1572]]
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
[[Page 115 STAT. 1573]]
``(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.--
``(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
[[Page 115 STAT. 1574]]
``(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. <<NOTE: 20 USC 6394.>> 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,
[[Page 115 STAT. 1575]]
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;
[[Page 115 STAT. 1576]]
``(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. <<NOTE: 20 USC 6395.>> 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. <<NOTE: 20 USC 6396.>> 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 a 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
[[Page 115 STAT. 1577]]
``(iii) the comprehensive State plan 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;
``(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.
[[Page 115 STAT. 1578]]
``SEC. <<NOTE: 20 USC 6397.>> 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. <<NOTE: 20 USC 6398.>> 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) <<NOTE: Federal Register,
publication.>> 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
[[Page 115 STAT. 1579]]
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. <<NOTE: Deadline.>> 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) <<NOTE: Deadline.>> 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. <<NOTE: 20 USC 6399.>> 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.
[[Page 115 STAT. 1580]]
``(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. <<NOTE: 20 USC 6421.>> 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. <<NOTE: 20 USC 6422.>> 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 115 STAT. 1581]]
``Subpart 1--State Agency Programs
``SEC. <<NOTE: 20 USC 6431.>> 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. <<NOTE: 20 USC 6432.>> 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--
[[Page 115 STAT. 1582]]
``(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. <<NOTE: 20 USC 6433.>> 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. <<NOTE: 20 USC 6434.>> 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;
[[Page 115 STAT. 1583]]
``(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
[[Page 115 STAT. 1584]]
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 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.
[[Page 115 STAT. 1585]]
``SEC. <<NOTE: 20 USC 6435.>> 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 andskills 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. <<NOTE: 20 USC 6436.>> 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
[[Page 115 STAT. 1586]]
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. <<NOTE: 20 USC 6437.>> 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. <<NOTE: 20 USC 6438.>> 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--
[[Page 115 STAT. 1587]]
``(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. <<NOTE: 20 USC 6439.>> 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. <<NOTE: 20 USC 6451.>> 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. <<NOTE: 20 USC 6452.>> 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
[[Page 115 STAT. 1588]]
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. <<NOTE: 20 USC 6453.>> 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;
``(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;
[[Page 115 STAT. 1589]]
``(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. <<NOTE: 20 USC 6454.>> 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. <<NOTE: 20 USC 6455.>> 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--
[[Page 115 STAT. 1590]]
``(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. <<NOTE: 20 USC 6456.>> 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
[[Page 115 STAT. 1591]]
or its recognized equivalent, or obtaining employment after such
children and youth are released.
``Subpart 3--General Provisions
``SEC. <<NOTE: 20 USC 6471.>> 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. <<NOTE: 20 USC 6472.>> 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
[[Page 115 STAT. 1592]]
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. <<NOTE: 20 USC 6491.>> 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.
``(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
State;
[[Page 115 STAT. 1593]]
``(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(h)(2) 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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1594]]
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 educational
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
educational 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) <<NOTE: Deadline.>> Interim report.--Not later
than 3 years after the date of enactment of the No Child
Left Behind Act
[[Page 115 STAT. 1595]]
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) <<NOTE: Deadline.>> 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
[[Page 115 STAT. 1596]]
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) <<NOTE: Establishment.>> 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--
``(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 one-fourth 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--
[[Page 115 STAT. 1597]]
``(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 two
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. <<NOTE: 20 USC 6492.>> 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. <<NOTE: 20 USC 6493.>> 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,
[[Page 115 STAT. 1598]]
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;
``(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.
``(e) <<NOTE: Deadline. Public information.>> Reporting.--Not later
than 3 years after the contract described in subsection (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, 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.
``(f) 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. <<NOTE: 20 USC 6494.>> 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
[[Page 115 STAT. 1599]]
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.
[[Page 115 STAT. 1600]]
``(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 one student from such
teacher's school who participates in a program
described in subsection (a)(1)(A);
``(ii) no teacher shall receive more than one
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
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;
[[Page 115 STAT. 1601]]
``(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. <<NOTE: 20 USC 6511.>> 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. <<NOTE: 20 USC 6512.>> 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--
[[Page 115 STAT. 1602]]
``(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. <<NOTE: 20 USC 6513.>> 1603. STATE APPLICATIONS.
``(a) In General.--Each State educational agency that desires to
receive a grant under this part shall submit an application to the
Secretary at such time, in such manner, and containing such information
as the Secretary may reasonably require.
``(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 part;
``(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
[[Page 115 STAT. 1603]]
``(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. <<NOTE: 20 USC 6514.>> 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 two 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
[[Page 115 STAT. 1604]]
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. <<NOTE: 20 USC 6515.>> 1605. LOCAL APPLICATIONS.
``(a) In General.--Each local educational agency or consortium of
local educational agencies desiring a subgrant under this part 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 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. <<NOTE: 20 USC 6516.>> 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;
[[Page 115 STAT. 1605]]
``(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. <<NOTE: 20 USC 6517.>> 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. <<NOTE: 20 USC 6518.>> 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
[[Page 115 STAT. 1606]]
for comprehensive school reform providers to expand their work
in more schools, assure quality, and promote financial
stability.
``PART <<NOTE: Access to High Standards Act.>> G--ADVANCED PLACEMENT
PROGRAMS
``SEC. <<NOTE: 20 USC 6531.>> 1701. SHORT TITLE.
``This part may be cited as the `Access to High Standards Act'.
``SEC. <<NOTE: 20 USC 6532.>> 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. <<NOTE: 20 USC 6533.>> 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. <<NOTE: 20 USC 6534.>> 1704. ADVANCED PLACEMENT TEST FEE PROGRAM.
``(a) Grants Authorized.--From amounts made available under section
1703 for a fiscal year, the Secretary shall award
[[Page 115 STAT. 1607]]
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) <<NOTE: Records.>> 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.
``(g) BIA as SEA.--For purposes of this section the Bureau of Indian
Affairs shall be treated as a State educational agency.
[[Page 115 STAT. 1608]]
``SEC. <<NOTE: 20 USC 6535.>> 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
[[Page 115 STAT. 1609]]
``(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) <<NOTE: Records.>> 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. <<NOTE: 20 USC 6536.>> 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. <<NOTE: 20 USC 6537.>> 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,
[[Page 115 STAT. 1610]]
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 <<NOTE: Dropout Prevention Act.>> H--SCHOOL DROPOUT PREVENTION
``SEC. <<NOTE: 20 USC 6551.>> 1801. SHORT TITLE.
``This part may be cited as the `Dropout Prevention Act'.
``SEC. <<NOTE: 20 USC 6552.>> 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. <<NOTE: 20 USC 6553.>> 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. <<NOTE: 20 USC 6555.>> 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;
[[Page 115 STAT. 1611]]
``(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
``(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
one 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.--
[[Page 115 STAT. 1612]]
``(A) Number.--The Secretary may award not more than
five 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. <<NOTE: 20 USC 6561.>> 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. <<NOTE: 20 USC 6561a.>> 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
[[Page 115 STAT. 1613]]
``(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
[[Page 115 STAT. 1614]]
``(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. <<NOTE: 20 USC 6561b.>> 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
[[Page 115 STAT. 1615]]
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. <<NOTE: 20 USC 6561c.>> 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. <<NOTE: 20 USC 6561d.>> 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 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
[[Page 115 STAT. 1616]]
``(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. <<NOTE: 20 USC 6561e.>> 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. <<NOTE: 20 USC 6561f.>> 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. <<NOTE: 20 USC 6561g.>> 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. <<NOTE: 20 USC 6561h.>> 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. <<NOTE: 20 USC 6561i.>> 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
[[Page 115 STAT. 1617]]
``(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. <<NOTE: 20 USC 6571.>> 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) <<NOTE: Federal Register, publication.>> 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) <<NOTE: Deadline.>> 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) <<NOTE: Deadline.>> shall be conducted in a
timely manner to ensure that final regulations are
issued by the Secretary not later
[[Page 115 STAT. 1618]]
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. <<NOTE: 20 USC 6572.>> 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. <<NOTE: 20 USC 6573.>> 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.
[[Page 115 STAT. 1619]]
``(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. <<NOTE: 20 USC 6574.>> 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 lease of vehicles,
and the payment for travel and attendance costs at conferences.
``(b) <<NOTE: Deadline.>> 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. <<NOTE: 20 USC 6575.>> 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. <<NOTE: 20 USC 6576.>> 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. <<NOTE: 20 USC 6577.>> 1907. STATE REPORT ON DROPOUT DATA.
``Not <<NOTE: Deadline.>> later than 1 year after a State
educational agency receives funds under this title, the agency shall
report to the Secretary
[[Page 115 STAT. 1620]]
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. <<NOTE: 20 USC 6578.>> 1908. REGULATIONS FOR SECTIONS 1111 AND
1116.
``The <<NOTE: Deadline.>> 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. <<NOTE: 20 USC 6601.>> 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. <<NOTE: 20 USC 6602.>> 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.
[[Page 115 STAT. 1621]]
``(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. <<NOTE: 20 USC 6603.>> 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. <<NOTE: 20 USC 6611.>> 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) one-half 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
[[Page 115 STAT. 1622]]
``(ii) one-half 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
one-half 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.
[[Page 115 STAT. 1623]]
``SEC. <<NOTE: 20 USC 6612.>> 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 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
[[Page 115 STAT. 1624]]
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.
[[Page 115 STAT. 1625]]
``SEC. 2113. STATE USE OF FUNDS. <<NOTE: 20 USC 6613.>>
``(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,
[[Page 115 STAT. 1626]]
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.
[[Page 115 STAT. 1627]]
``(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.
``(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. <<NOTE: 20 USC
6621.>>
``(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.--
[[Page 115 STAT. 1628]]
``(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. <<NOTE: 20 USC
6622.>>
``(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.
[[Page 115 STAT. 1629]]
``(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;
[[Page 115 STAT. 1630]]
``(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. <<NOTE: 20 USC 6623.>>
``(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
[[Page 115 STAT. 1631]]
``(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;
``(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,
[[Page 115 STAT. 1632]]
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.
[[Page 115 STAT. 1633]]
``(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. <<NOTE: 20 USC 6631.>>
``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. <<NOTE: 20 USC 6632.>>
``(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. <<NOTE: 20 USC 6633.>>
``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. <<NOTE: 20 USC 6634.>>
``(a) In General.--An eligible partnership that receives a subgrant
under section 2132 shall use the subgrant funds for--
[[Page 115 STAT. 1634]]
``(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. <<NOTE: 20 USC
6641.>>
``(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
[[Page 115 STAT. 1635]]
to enable the local educational agency to meet the annual
measurable objectives described in section 1119(a)(2).
``(c) <<NOTE: Contracts.>> 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 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. <<NOTE: 20 USC 6651.>>
``(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
[[Page 115 STAT. 1636]]
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;
[[Page 115 STAT. 1637]]
``(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
[[Page 115 STAT. 1638]]
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
[[Page 115 STAT. 1639]]
``(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
``(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;
[[Page 115 STAT. 1640]]
``(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.
[[Page 115 STAT. 1641]]
``(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.
[[Page 115 STAT. 1642]]
``(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) <<NOTE: Deadline.>> 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. <<NOTE: 20 USC 6661.>>
``(a) Purpose.--The purpose of this part is to improve the academic
achievement of students in the areas of mathematics
[[Page 115 STAT. 1643]]
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 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
[[Page 115 STAT. 1644]]
``(C) provides for followup training during the
academic year that is conducted in the classroom for a
period of not less than three 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. <<NOTE: 20
USC 6662.>>
``(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 one-half 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--
[[Page 115 STAT. 1645]]
``(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
[[Page 115 STAT. 1646]]
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.
[[Page 115 STAT. 1647]]
``(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.
``(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. <<NOTE: 20 USC 6663.>>
``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.
[[Page 115 STAT. 1648]]
``PART C--INNOVATION FOR TEACHER QUALITY
``Subpart 1--Transitions to Teaching
``CHAPTER A--TROOPS-TO-TEACHERS PROGRAM
``SEC. 2301. DEFINITIONS. <<NOTE: 20 USC 6671.>>
``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. <<NOTE: 20 USC
6672.>>
``(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
[[Page 115 STAT. 1649]]
``(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) <<NOTE: Memorandum.>> 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. <<NOTE: 20 USC 6673.>> 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--
[[Page 115 STAT. 1650]]
``(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--
ave 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
[[Page 115 STAT. 1651]]
last period of service in the Armed Forces was honorable, as
characterized by the Secretary concerned (as defined 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. <<NOTE: 20 USC 6674.>>
``(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.
[[Page 115 STAT. 1652]]
``(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
[[Page 115 STAT. 1653]]
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
[[Page 115 STAT. 1654]]
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. <<NOTE: 20 USC 6675.>>
``(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. <<NOTE: 20 USC 6676.>> 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 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 agency 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
[[Page 115 STAT. 1655]]
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. <<NOTE: 20 USC 6677.>>
``(a) <<NOTE: Deadline.>> 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. <<NOTE: 20 USC 6681.>>
``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
[[Page 115 STAT. 1656]]
factors in lieu of traditional course work in the field of
education.
``SEC. 2312. DEFINITIONS. <<NOTE: 20 USC 6682.>>
``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. <<NOTE: 20 USC 6683.>>
``(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.
[[Page 115 STAT. 1657]]
``(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
[[Page 115 STAT. 1658]]
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.
``(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
[[Page 115 STAT. 1659]]
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) <<NOTE: Requirements.>> 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. <<NOTE: 20 USC 6684.>> 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.
[[Page 115 STAT. 1660]]
``CHAPTER C--GENERAL PROVISIONS
``SEC. 2321. AUTHORIZATION OF APPROPRIATIONS. <<NOTE: 20 USC 6691.>>
``(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. <<NOTE: 20 USC 6701.>>
``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. <<NOTE: 20 USC 6702.>>
``(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;
[[Page 115 STAT. 1661]]
``(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.--
[[Page 115 STAT. 1662]]
``(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 <<NOTE: Education for Democracy Act.>>
``SEC. 2341. SHORT TITLE. <<NOTE: 20 USC 6711.>>
``This subpart may be cited as the `Education for Democracy Act'.
``SEC. 2342. PURPOSE. <<NOTE: 20 USC 6712.>>
``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. <<NOTE: 20 USC 6713.>>
``(a) Authority.--The Secretary is authorized to award grants to, or
enter into contracts with--
``(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
[[Page 115 STAT. 1663]]
``(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. <<NOTE: 20 USC 6714.>>
``(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;
[[Page 115 STAT. 1664]]
``(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. <<NOTE: 20 USC 6715.>> 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
[[Page 115 STAT. 1665]]
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--
[[Page 115 STAT. 1666]]
``(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--
``(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. <<NOTE: 20 USC 6716.>>
``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. <<NOTE: 20 USC 6721.>>
``(a) In General.--The Secretary may establish and implement a
program to be known as the `Teaching American History Grant
[[Page 115 STAT. 1667]]
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. <<NOTE: 20 USC 6722.>>
``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 <<NOTE: Paul D. Coverdell
Teacher Protection Act of 2001.>>
``SEC. 2361. SHORT TITLE. <<NOTE: 20 USC 6731.>>
``This subpart may be cited as the `Paul D. Coverdell Teacher
Protection Act of 2001'.
``SEC. 2362. PURPOSE. <<NOTE: 20 USC 6732.>>
``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. <<NOTE: 20 USC 6733.>>
``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
[[Page 115 STAT. 1668]]
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. <<NOTE: 20 USC 6734.>>
``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. <<NOTE: 20 USC 6735.>> 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. <<NOTE: 20 USC
6736.>>
``(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,
[[Page 115 STAT. 1669]]
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.
ate 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 entityunless 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;
[[Page 115 STAT. 1670]]
``(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.--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. <<NOTE: 20 USC 6737.>> 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. <<NOTE: 20 USC 6738.>>
``(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
[[Page 115 STAT. 1671]]
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 <<NOTE: Enhancing Education Through Technology Act of 2001.>>
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.
[[Page 115 STAT. 1672]]
``(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. <<NOTE: 20 USC 6753.>>
``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
[[Page 115 STAT. 1673]]
``(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. <<NOTE: 20 USC 6754.>>
``(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. <<NOTE: 20 USC 6761.>>
``(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) three-fourths 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) one-half 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 one-half of 1 percent of the amount made available for
allotments to States under this part for such year.
[[Page 115 STAT. 1674]]
``(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.
``(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. <<NOTE: 20 USC 6762.>>
``(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.
[[Page 115 STAT. 1675]]
``(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. <<NOTE: 20 USC 6763.>>
``(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
[[Page 115 STAT. 1676]]
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) <<NOTE: Notice.>> Disapproval.--The Secretary shall not
finally disapprove the application, except after giving the State
educational agency notice and an opportunity for a hearing.
[[Page 115 STAT. 1677]]
``(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. <<NOTE: 20 USC 6764.>>
``(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.
``(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
[[Page 115 STAT. 1678]]
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
[[Page 115 STAT. 1679]]
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. <<NOTE: 20 USC 6765.>>
``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--
[[Page 115 STAT. 1680]]
``(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. <<NOTE: 20 USC 6766.>>
``(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
[[Page 115 STAT. 1681]]
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.
``(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.
[[Page 115 STAT. 1682]]
``(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. <<NOTE: 20 USC 6771.>>
``(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) <<NOTE: Establishment.>> 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) <<NOTE: Reports. Deadline.>> 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) <<NOTE: Internet.>> 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. <<NOTE: 20 USC 6772.>>
``(a) <<NOTE: Publication. Public information.>> In General.--Based
on the Nation's progress and an assessment by the Secretary of the
continuing and future needs
[[Page 115 STAT. 1683]]
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. <<NOTE: 20 USC 6775.>>
``(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
[[Page 115 STAT. 1684]]
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.
[[Page 115 STAT. 1685]]
``(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:
``(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).
[[Page 115 STAT. 1686]]
``Subpart 4--Limitation on Availability of Certain Funds for Schools
``SEC. 2441. INTERNET SAFETY. <<NOTE: 20 USC 6777.>>
``(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) <<NOTE: Certification.>> 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
[[Page 115 STAT. 1687]]
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. <<NOTE: Notification.>> 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
[[Page 115 STAT. 1688]]
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. <<NOTE: 20 USC 6301 note.>>
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
[[Page 115 STAT. 1689]]
(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. <<NOTE: 20 USC 6801.>> 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 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.
[[Page 115 STAT. 1690]]
``PART <<NOTE: English Language Acquisition, Language Enhancement, and
Academic Achievement Act. Children, youth and families. Grants. 20 USC
6811.>> 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. <<NOTE: 20 USC 6812.>>
``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
[[Page 115 STAT. 1691]]
``(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. <<NOTE: 20 USC 6821.>>
``(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
[[Page 115 STAT. 1692]]
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.--
[[Page 115 STAT. 1693]]
``(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 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.
[[Page 115 STAT. 1694]]
``(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. <<NOTE: 20 USC 6822.>> 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. <<NOTE: 20 USC
6823.>>
``(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 four recognized domains of speaking, listening,
[[Page 115 STAT. 1695]]
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--
[[Page 115 STAT. 1696]]
``(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. <<NOTE: 20 USC 6824.>>
``(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.
[[Page 115 STAT. 1697]]
``(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. <<NOTE: 20 USC 6825.>>
``(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 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.
[[Page 115 STAT. 1698]]
``(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.
[[Page 115 STAT. 1699]]
``(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.--
[[Page 115 STAT. 1700]]
``(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. <<NOTE: 20 USC 6826.>>
``(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.
[[Page 115 STAT. 1701]]
``(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;
``(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. <<NOTE: 20 USC 6841.>>
``(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 two
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
[[Page 115 STAT. 1702]]
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. <<NOTE: 20 USC
6842.>>
``(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--
[[Page 115 STAT. 1703]]
``(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
[[Page 115 STAT. 1704]]
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. <<NOTE: 20 USC 6843.>>
``(a) <<NOTE: Deadline.>> 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);
[[Page 115 STAT. 1705]]
``(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 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. <<NOTE: 20 USC 6844.>>
``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. <<NOTE: 20 USC 6845.>>
``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. <<NOTE: 20 USC 6846.>>
``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. <<NOTE: 20 USC 6847.>>
``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. <<NOTE: 20
USC 6848.>>
``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
[[Page 115 STAT. 1706]]
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. <<NOTE: 20 USC 6849.>>
``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. <<NOTE: 20 USC
6861.>>
``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. <<NOTE: 20 USC 6871.>>
``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 <<NOTE: Improving Language Instruction Educational Programs For
Academic Achievement Act. Children, youth and families. Native
Americans. Grants 20 USC 6891.>> 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'.
[[Page 115 STAT. 1707]]
``SEC. 3202. PURPOSE. <<NOTE: 20 USC 6892.>>
``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. <<NOTE: 20 USC 6893.>>
``(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. <<NOTE: 20 USC 6894.>> 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. <<NOTE: 20 USC 6911.>> 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--
[[Page 115 STAT. 1708]]
``(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. <<NOTE: 20 USC 6912.>>
``(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 115 STAT. 1709]]
``(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. <<NOTE: 20 USC 6913.>> 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