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H.R. 1350 (108th): Individuals with Disabilities Education Improvement Act of 2004

The text of the bill below is as of Apr 29, 2003 (Reported by House Committee).

Source: GPO

HR 1350 RH

Union Calendar No. 44

108th CONGRESS

1st Session

H. R. 1350

[Report No. 108-77]

To reauthorize the Individuals with Disabilities Education Act, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

March 19, 2003

Mr. CASTLE (for himself, Mr. BOEHNER, Mr. BALLENGER, Mr. MCKEON, Mr. SAM JOHNSON of Texas, Mr. GREENWOOD, Mr. DEMINT, Mrs. BIGGERT, Mr. TIBERI, Mr. KELLER, Mr. WILSON of South Carolina, and Mr. COLE) introduced the following bill; which was referred to the Committee on Education and the Workforce

April 29, 2003

Additional sponsors: Mr. EHLERS, Mr. LATOURETTE, Mr. PUTNAM, Mr. KENNEDY of Minnesota, Mr. GILLMOR, Mr. BURGESS, Mr. GORDON, and Mr. Bell

April 29, 2003

Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed

[Strike out all after the enacting clause and insert the part printed in italic]

[For text of introduced bill, see copy of bill as introduced on March 19, 2003]


A BILL

To reauthorize the Individuals with Disabilities Education Act, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ‘Improving Education Results for Children With Disabilities Act of 2003’.

TITLE I--GENERAL PROVISIONS

SEC. 101. SECTIONS 601 THROUGH 603 OF THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT.

    Sections 601 through 603 of the Individuals with Disabilities Education Act (20 U.S.C. 1400-1402) are amended to read as follows:

‘SEC. 601. SHORT TITLE; TABLE OF CONTENTS; FINDINGS; PURPOSES.

    ‘(a) SHORT TITLE- This Act may be cited as the ‘Individuals with Disabilities Education Act’.

    ‘(b) TABLE OF CONTENTS- The table of contents for this Act is as follows:

‘Part A--General Provisions

      ‘Sec. 601. Short title; table of contents; findings; purposes.

      ‘Sec. 602. Definitions.

      ‘Sec. 603. Office of Special Education Programs.

      ‘Sec. 604. Abrogation of State sovereign immunity.

      ‘Sec. 605. Acquisition of equipment; construction or alteration of facilities.

      ‘Sec. 606. Employment of individuals with disabilities.

      ‘Sec. 607. Requirements for prescribing regulations.

      ‘Sec. 608. State administration.

‘Part B--Assistance for Education of All Children with Disabilities

      ‘Sec. 611. Authorization; allotment; use of funds; authorization of appropriations.

      ‘Sec. 612. State eligibility.

      ‘Sec. 613. Local educational agency eligibility.

      ‘Sec. 614. Evaluations, eligibility determinations, individualized education programs, and educational placements.

      ‘Sec. 615. Procedural safeguards.

      ‘Sec. 616. Monitoring, enforcement, withholding, and judicial review.

      ‘Sec. 617. Administration.

      ‘Sec. 618. Program information.

      ‘Sec. 619. Preschool grants.

‘Part C--Infants and Toddlers with Disabilities

      ‘Sec. 631. Findings and policy.

      ‘Sec. 632. Definitions.

      ‘Sec. 633. General authority.

      ‘Sec. 634. Eligibility.

      ‘Sec. 635. Requirements for statewide system.

      ‘Sec. 636. Individualized family service plan.

      ‘Sec. 637. State application and assurances.

      ‘Sec. 638. Uses of funds.

      ‘Sec. 639. Procedural safeguards.

      ‘Sec. 640. Payor of last resort.

      ‘Sec. 641. State Interagency Coordinating Council.

      ‘Sec. 642. Federal administration.

      ‘Sec. 643. Allocation of funds.

      ‘Sec. 644. Authorization of appropriations.

‘Part D--National Activities To Improve Education of Children With Disabilities

      ‘Sec. 651. Findings.

‘SUBPART 1--STATE PROFESSIONAL DEVELOPMENT GRANTS

      ‘Sec. 652. Purpose.

      ‘Sec. 653. Eligibility and collaborative process.

      ‘Sec. 654. Applications.

      ‘Sec. 655. Use of funds.

      ‘Sec. 656. State grant amounts.

      ‘Sec. 657. Authorization of appropriations.

‘SUBPART 2--SCIENTIFICALLY BASED RESEARCH; TECHNICAL ASSISTANCE; MODEL DEMONSTRATION PROJECTS; DISSEMINATION OF INFORMATION; AND PERSONNEL PREPARATION PROGRAMS

      ‘Sec. 661. Purpose.

      ‘Sec. 662. Administrative provisions.

      ‘Sec. 663. Research to improve results for children with disabilities.

      ‘Sec. 664. Technical assistance, demonstration projects, dissemination of information, and implementation of scientifically based research.

      ‘Sec. 665. Personnel preparation programs to improve services and results for children with disabilities.

      ‘Sec. 666. Studies and evaluations.

      ‘Sec. 667. Authorization of appropriations.

‘SUBPART 3--SUPPORTS TO IMPROVE RESULTS FOR CHILDREN WITH DISABILITIES

      ‘Sec. 671. Purposes.

      ‘Sec. 672. Parent training and information centers.

      ‘Sec. 673. Community parent resource centers.

      ‘Sec. 674. Technical assistance for parent training and information centers.

      ‘Sec. 675. Technology development, demonstration, and utilization; and media services.

    ‘(c) FINDINGS- Congress finds the following:

      ‘(1) Disability is a natural part of the human experience and in no way diminishes the right of individuals to participate in or contribute to society. Improving educational results for children with disabilities is an essential element of our national policy of ensuring equality of opportunity, full participation, independent living, and economic self-sufficiency for individuals with disabilities.

      ‘(2) Before the date of the enactment of the Education for All Handicapped Children Act of 1975 (Public Law 94-142), the special educational needs of millions of children with disabilities were not being fully met and there were many children with disabilities participating in regular school programs whose undiagnosed disabilities prevented them from having a successful educational experience.

      ‘(3) Since the enactment and implementation of the Education for All Handicapped Children Act of 1975, this Act has been successful in ensuring children with disabilities and the families of such children access to a free appropriate public education and in improving educational results for children with disabilities.

      ‘(4) Over 25 years of research and experience has demonstrated that the education of children with disabilities can be made more effective by--

        ‘(A) having high expectations for such children and ensuring their access to the general education curriculum in the regular classroom to the maximum extent possible in order--

          ‘(i) to meet developmental goals and, to the maximum extent possible, the challenging expectations that have been established for all children; and

          ‘(ii) to be prepared to lead productive and independent adult lives, to the maximum extent possible;

        ‘(B) strengthening the role and responsibility of parents and ensuring that families of such children have meaningful opportunities to participate in the education of their children at school and at home;

        ‘(C) coordinating this Act with other local, State, and Federal school improvement efforts, including efforts under the Elementary and Secondary Education Act of 1965, in order to ensure that children with disabilities benefit from such efforts and that special education can become a service for such children rather than a place where they are sent;

        ‘(D) supporting high-quality, intensive professional development for personnel who work with children with disabilities;

        ‘(E) providing incentives for scientifically based reading programs and prereferral intervention services to reduce the need to label children as disabled in order to address their learning needs;

        ‘(F) focusing resources on teaching and learning while reducing paperwork and requirements that do not assist in improving educational results; and

        ‘(G) supporting the development and use of technology, including assistive technology devices and services, to maximize accessibility for children with disabilities.

      ‘(5) While States, local educational agencies, and educational service agencies are primarily responsible for providing an education for all children with disabilities, it is in the national interest that the Federal Government has a supporting role in assisting State and local efforts to educate children with disabilities in order to improve results for such children and to ensure equal protection of the law.

      ‘(6) A more equitable allocation of resources is essential for the Federal Government to meet its responsibility to provide an equal educational opportunity for all individuals.

      ‘(7)(A) The Federal Government must respond to the growing needs of an increasingly diverse society.

      ‘(B) America’s ethnic profile is rapidly changing. In the year 2000, nearly one of every three persons in America was a member of a minority group or was limited English proficient.

      ‘(C) Minority children comprise an increasing percentage of public school students.

      ‘(D) With such changing demographics, recruitment efforts for special education personnel should focus on increasing the participation of minorities in the teaching profession in order to provide appropriate role models with sufficient knowledge to address the special education needs of these students.

      ‘(8)(A) The limited English proficient population is the fastest growing in our Nation, and the growth is occurring in many parts of our Nation.

      ‘(B) Studies have documented apparent discrepancies in the levels of referral and placement of limited English proficient children in special education.

      ‘(C) This poses a special challenge for special education in the referral, assessment, and provision of services for our Nation’s students from non-English language backgrounds.

      ‘(9)(A) Greater efforts are needed to prevent the intensification of problems connected with mislabeling and high dropout rates among minority children with disabilities.

      ‘(B) More minority children continue to be served in special education than would be expected from the percentage of minority students in the general school population.

      ‘(C) African American children are overidentified as having mental retardation and emotional disturbance at rates greater than their white counterparts.

      ‘(D) In the 1998-99 school year, African American children represented just 14.8 percent of the population aged 6 through 21, but comprised 20.2 percent of all children with disabilities.

      ‘(E) Studies have found that schools with predominantly Caucasian students and teachers have placed disproportionately high numbers of their minority students into special education.

      ‘(10)(A) As the number of minority students in special education increases, the number of minority teachers and related services personnel produced in colleges and universities continues to decrease.

      ‘(B) The opportunity for full participation by minority individuals, organizations, and historically black colleges and universities in awards for grants and contracts, boards of organizations receiving assistance under this Act, peer review panels, and training of professionals in the area of special education is essential to obtain greater success in the education of minority children with disabilities.

    ‘(d) PURPOSES- The purposes of this title are--

      ‘(1)(A) to ensure that all children with disabilities have available to them a free appropriate public education that emphasizes special education and related services designed to meet their unique needs and prepare them for further education, employment, and independent living;

      ‘(B) to ensure that the rights of children with disabilities and parents of such children are protected; and

      ‘(C) to assist States, localities, educational service agencies, and Federal agencies to provide for the education of all children with disabilities;

      ‘(2) to assist States in the implementation of a statewide, comprehensive, coordinated, multidisciplinary, interagency system of early intervention services for infants and toddlers with disabilities and their families;

      ‘(3) to ensure that educators and parents have the necessary tools to improve educational results for children with disabilities by supporting system improvement activities; coordinated research and personnel preparation; coordinated technical assistance, dissemination, and support; and technology development and media services; and

      ‘(4) to assess, and ensure the effectiveness of, efforts to educate children with disabilities.

‘SEC. 602. DEFINITIONS.

    ‘Except as otherwise provided, as used in this Act:

      ‘(1) ASSISTIVE TECHNOLOGY DEVICE- The term ‘assistive technology device’ means any item, piece of equipment, or product system, whether acquired commercially off the shelf, modified, or customized, that is used to increase, maintain, or improve functional capabilities of a child with a disability.

      ‘(2) ASSISTIVE TECHNOLOGY SERVICE- The term ‘assistive technology service’ means any service that directly assists a child with a disability in the selection, acquisition, or use of an assistive technology device. Such term includes--

        ‘(A) the evaluation of the needs of such child, including a functional evaluation of the child in the child’s customary environment;

        ‘(B) purchasing, leasing, or otherwise providing for the acquisition of assistive technology devices by such child;

        ‘(C) selecting, designing, fitting, customizing, adapting, applying, maintaining, repairing, or replacing of assistive technology devices;

        ‘(D) coordinating and using other therapies, interventions, or services with assistive technology devices, such as those associated with existing education and rehabilitation plans and programs;

        ‘(E) training or technical assistance for such child, or, where appropriate, the family of such child; and

        ‘(F) training or technical assistance for professionals (including individuals providing education and rehabilitation services), employers, or other individuals who provide services to, employ, or are otherwise substantially involved in the major life functions of such child.

      ‘(3) CHILD WITH A DISABILITY-

        ‘(A) IN GENERAL- The term ‘child with a disability’ means a child--

          ‘(i) with mental retardation, hearing impairments (including deafness), speech or language impairments, visual impairments (including blindness), serious emotional disturbance (hereinafter referred to as ‘emotional disturbance’), orthopedic impairments, autism, traumatic brain injury, other health impairments, or specific learning disabilities; and

          ‘(ii) who, by reason thereof, needs special education and related services.

        ‘(B) CHILD AGED 3 THROUGH 9- The term ‘child with a disability’ for a child aged 3 through 9 or any subset of that age range, including ages 3 through 5, may, at the discretion of the State and the local educational agency, include a child--

          ‘(i) experiencing developmental delays, as defined by the State and as measured by appropriate diagnostic instruments and procedures, in one or more of the following areas: physical development, cognitive development, communication development, social or emotional development, or adaptive development; and

          ‘(ii) who, by reason thereof, needs special education and related services.

      ‘(4) EDUCATIONAL SERVICE AGENCY- The term ‘educational service agency’--

        ‘(A) means a regional public multiservice agency--

          ‘(i) authorized by State law to develop, manage, and provide services or programs to local educational agencies; and

          ‘(ii) recognized as an administrative agency for purposes of the provision of special education and related services provided within public elementary and secondary schools of the State; and

        ‘(B) includes any other public institution or agency having administrative control and direction over a public elementary or secondary school.

      ‘(5) ELEMENTARY SCHOOL- The term ‘elementary school’ means a nonprofit institutional day or residential school that provides elementary education, as determined under State law.

      ‘(6) EQUIPMENT- The term ‘equipment’ includes--

        ‘(A) machinery, utilities, and built-in equipment and any necessary enclosures or structures to house such machinery, utilities, or equipment; and

        ‘(B) all other items necessary for the functioning of a particular facility as a facility for the provision of educational services, including items such as instructional equipment and necessary furniture; printed, published, and audio-visual instructional materials; telecommunications, sensory, and other technological aids and devices; and books, periodicals, documents, and other related materials.

      ‘(7) EXCESS COSTS- The term ‘excess costs’ means those costs that are in excess of the average annual per-student expenditure in a local educational agency during the preceding school year for an elementary or secondary school student, as may be appropriate, and which shall be computed after deducting--

        ‘(A) amounts received--

          ‘(i) under part B of this title;

          ‘(ii) under part A of title I of the Elementary and Secondary Education Act of 1965; and

          ‘(iii) under title III of that Act; and

        ‘(B) any State or local funds expended for programs that would qualify for assistance under any of the provisions of law described in subparagraph (A).

      ‘(8) FREE APPROPRIATE PUBLIC EDUCATION- The term ‘free appropriate public education’ means special education and related services that--

        ‘(A) have been provided at public expense, under public supervision and direction, and without charge;

        ‘(B) meet the standards of the State educational agency;

        ‘(C) include an appropriate preschool, elementary, or secondary school education in the State involved; and

        ‘(D) are provided in conformity with the individualized education program required under section 614(d).

      ‘(9) HIGHLY QUALIFIED- The term ‘highly qualified’ has the same meaning as that term in section 9101 of the Elementary and Secondary Education Act of 1965.

      ‘(10) INDIAN- The term ‘Indian’ means an individual who is a member of an Indian tribe.

      ‘(11) INDIAN TRIBE- The term ‘Indian tribe’ means any Federal or State Indian tribe, band, rancheria, pueblo, colony, or community, including any Alaska Native village or regional village corporation (as defined in or established under the Alaska Native Claims Settlement Act).

      ‘(12) INDIVIDUALIZED EDUCATION PROGRAM- The term ‘individualized education program’ or ‘IEP’ means a written statement for each child with a disability that is developed, reviewed, and revised in accordance with section 614(d).

      ‘(13) INDIVIDUALIZED FAMILY SERVICE PLAN- The term ‘individualized family service plan’ has the meaning given such term in section 636.

      ‘(14) INFANT OR TODDLER WITH A DISABILITY- The term ‘infant or toddler with a disability’ has the meaning given such term in section 632.

      ‘(15) INSTITUTION OF HIGHER EDUCATION- The term ‘institution of higher education’--

        ‘(A) has the meaning given that term in subsection (a) or (b) of section 101 of the Higher Education Act of 1965; and

        ‘(B) also includes any community college receiving funding from the Secretary of the Interior under the Tribally Controlled Community College Assistance Act of 1978.

      ‘(16) LOCAL EDUCATIONAL AGENCY-

        ‘(A) The term ‘local educational agency’ means a public board of education or other public authority legally constituted within a State for either administrative control or direction of, or to perform a service function for, public elementary or secondary schools in a city, county, township, school district, or other political subdivision of a State, or for such combination of school districts or counties as are recognized in a State as an administrative agency for its public elementary or secondary schools.

        ‘(B) The term includes--

          ‘(i) an educational service agency, as defined in paragraph (4); and

          ‘(ii) any other public institution or agency having administrative control and direction of a public elementary or secondary school.

        ‘(C) The term includes an elementary or secondary school funded by the Bureau of Indian Affairs, but only to the extent that such inclusion makes the school eligible for programs for which specific eligibility is not provided to the school in another provision of law and the school does not have a student population that is smaller than the student population of the local educational agency receiving assistance under this Act with the smallest student population, except that the school shall not be subject to the jurisdiction of any State educational agency other than the Bureau of Indian Affairs.

      ‘(17) NATIVE LANGUAGE- The term ‘native language’, when used with reference to an individual of limited English proficiency, means the language normally used by the individual, or, in the case of a child, the language normally used by the parents of the child.

      ‘(18) NONPROFIT- The term ‘nonprofit’, as applied to a school, agency, organization, or institution, means a school, agency, organization, or institution owned and operated by one or more nonprofit corporations or associations no part of the net earnings of which inures, or may lawfully inure, to the benefit of any private shareholder or individual.

      ‘(19) OUTLYING AREA- The term ‘outlying area’ means the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands.

      ‘(20) PARENT- The term ‘parent’--

        ‘(A) includes a legal guardian; and

        ‘(B) except as used in sections 615(b)(2) and 639(a)(5), includes an individual assigned under either of those sections to be a surrogate parent.

      ‘(21) PARENT ORGANIZATION- The term ‘parent organization’ has the meaning given that term in section 672(g).

      ‘(22) PARENT TRAINING AND INFORMATION CENTER- The term ‘parent training and information center’ means a center assisted under sections 672 and 673.

      ‘(23) RELATED SERVICES- The term ‘related services’ means transportation, and such developmental, corrective, and other supportive services (including speech-language pathology and audiology services, psychological services, physical and occupational therapy, recreation, including therapeutic recreation, social work services, counseling services, including rehabilitation counseling, orientation and mobility services, and medical services, except that such medical services shall be for diagnostic and evaluation purposes only) as may be required to assist a child with a disability to benefit from special education, and includes the early identification and assessment of disabling conditions in children.

      ‘(24) SECONDARY SCHOOL- The term ‘secondary school’ means a nonprofit institutional day or residential school that provides secondary education, as determined under State law, except that it does not include any education beyond grade 12.

      ‘(25) SECRETARY- The term ‘Secretary’ means the Secretary of Education.

      ‘(26) SPECIAL EDUCATION- The term ‘special education’ means specially designed instruction, at no cost to parents, to meet the unique needs of a child with a disability, including--

        ‘(A) instruction conducted in the classroom, in the home, in hospitals and institutions, and in other settings; and

        ‘(B) instruction in physical education.

      ‘(27) SPECIFIC LEARNING DISABILITY-

        ‘(A) IN GENERAL- The term ‘specific learning disability’ means a disorder in one or more of the basic psychological processes involved in understanding or in using language, spoken or written, which disorder may manifest itself in imperfect ability to listen, think, speak, read, write, spell, or do mathematical calculations.

        ‘(B) DISORDERS INCLUDED- Such term includes such conditions as perceptual disabilities, brain injury, minimal brain dysfunction, dyslexia, and developmental aphasia.

        ‘(C) DISORDERS NOT INCLUDED- Such term does not include a learning problem that is primarily the result of visual, hearing, or motor disabilities, of mental retardation, of emotional disturbance, or of environmental, cultural, or economic disadvantage.

      ‘(28) STATE- The term ‘State’ means each of the 50 States, the District of Columbia, the Commonwealth of Puerto Rico, and each of the outlying areas.

      ‘(29) STATE EDUCATIONAL AGENCY- The term ‘State educational agency’ means the State board of education or other agency or officer primarily responsible for the State supervision of public elementary and secondary schools, or, if there is no such officer or agency, an officer or agency designated by the Governor or by State law.

      ‘(30) SUPPLEMENTARY AIDS AND SERVICES- The term ‘supplementary aids and services’ means aids, services, and other supports that are provided in regular education classes or other education-related settings to enable children with disabilities to be educated with nondisabled children to the maximum extent appropriate in accordance with section 612(a)(5).

      ‘(31) TRANSITION SERVICES- The term ‘transition services’ means a coordinated set of activities for a child with a disability that--

        ‘(A) is designed within a results-oriented process, that is focused on improving the academic and developmental achievement of the child with a disability to facilitate the child’s move from school to post-school activities, including post-secondary education, vocational training, integrated employment (including supported employment), continuing and adult education, adult services, independent living, or community participation;

        ‘(B) is based upon the individual child’s needs, taking into account the child’s skills, preferences, and interests; and

        ‘(C) includes instruction, related services, community experiences, the development of employment and other post-school adult living objectives, and, when appropriate, acquisition of daily living skills and functional vocational evaluation.

‘SEC. 603. OFFICE OF SPECIAL EDUCATION PROGRAMS.

    ‘(a) ESTABLISHMENT- There shall be, within the Office of Special Education and Rehabilitative Services in the Department of Education, an Office of Special Education Programs, which shall be the principal agency in such Department for administering and carrying out this Act and other programs and activities concerning the education of children with disabilities.

    ‘(b) DIRECTOR- The Office established under subsection (a) shall be headed by a Director who shall be selected by the Secretary and shall report directly to the Assistant Secretary for Special Education and Rehabilitative Services.

    ‘(c) VOLUNTARY AND UNCOMPENSATED SERVICES- Notwithstanding section 1342 of title 31, United States Code, the Secretary is authorized to accept voluntary and uncompensated services in furtherance of the purposes of this Act.’.

SEC. 102. SECTIONS 605 THROUGH 607 OF THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT.

    Sections 605 through 607 of the Individuals with Disabilities Education Act (20 U.S.C. 1404-1406) are amended to read as follows:

‘SEC. 605. ACQUISITION OF EQUIPMENT; CONSTRUCTION OR ALTERATION OF FACILITIES.

    ‘(a) IN GENERAL- If the Secretary determines that a program authorized under this Act would be improved by permitting program funds to be used to acquire appropriate equipment, or to construct new facilities or alter existing facilities, the Secretary is authorized to allow the use of those funds for those purposes.

    ‘(b) COMPLIANCE WITH CERTAIN REGULATIONS- Any construction of new facilities or alteration of existing facilities under subsection (a) shall comply with the requirements of--

      ‘(1) appendix A of part 36 of title 28, Code of Federal Regulations (commonly known as the ‘Americans with Disabilities Accessibility Guidelines for Buildings and Facilities’); or

      ‘(2) appendix A of part 101-19.6 of title 41, Code of Federal Regulations (commonly known as the ‘Uniform Federal Accessibility Standards’).

‘SEC. 606. EMPLOYMENT OF INDIVIDUALS WITH DISABILITIES.

    ‘The Secretary shall ensure that each recipient of assistance under this Act makes positive efforts to employ and advance in employment qualified individuals with disabilities, particularly as teachers, related services personnel, early intervention providers, and administrators, in programs assisted under this Act.

‘SEC. 607. REQUIREMENTS FOR PRESCRIBING REGULATIONS.

    ‘(a) IN GENERAL- The Secretary may issue regulations under this Act only to the extent that such regulations are reasonably necessary to ensure that there is compliance with the specific requirements of this Act.

    ‘(b) PROTECTIONS PROVIDED TO CHILDREN- The Secretary may not implement, or publish in final form, any regulation prescribed pursuant to this Act that would--

      ‘(1) violate or contradict any provision of this Act; and

      ‘(2) procedurally or substantively lessen the protections provided to children with disabilities under this Act, as embodied in regulations in effect on July 20, 1983 (particularly as such protections relate to parental consent to initial evaluation or initial placement in special education, least restrictive environment, related services, timelines, attendance of evaluation personnel at individualized education program meetings, or qualifications of personnel), except to the extent that such regulation reflects the clear and unequivocal intent of the Congress in legislation.

    ‘(c) PUBLIC COMMENT PERIOD- The Secretary shall provide a public comment period of at least 60 days on any regulation proposed under part B or part C of this Act on which an opportunity for public comment is otherwise required by law.

    ‘(d) POLICY LETTERS AND STATEMENTS- The Secretary may not issue policy letters or other statements (including on issues of national significance) that--

      ‘(1) would violate or contradict any provision of this Act; or

      ‘(2) establish a rule that is required for compliance with, and eligibility under, this Act without following the requirements of section 553 of title 5, United States Code.

    ‘(e) CORRESPONDENCE FROM DEPARTMENT OF EDUCATION DESCRIBING INTERPRETATIONS OF THIS PART-

      ‘(1) IN GENERAL- The Secretary shall, on a quarterly basis, publish in the Federal Register, and widely disseminate to interested entities through various additional forms of communication, a list of correspondence from the Department of Education received by individuals during the previous quarter that describes the interpretations of the Department of Education of this Act or the regulations implemented pursuant to this Act.

      ‘(2) ADDITIONAL INFORMATION- For each item of correspondence published in a list under paragraph (1), the Secretary shall--

        ‘(A) identify the topic addressed by the correspondence and shall include such other summary information as the Secretary determines to be appropriate; and

        ‘(B) ensure that all such correspondence is issued, where applicable, in compliance with section 553 of title 5, United States Code.

    ‘(f) EXPLANATION AND ASSURANCES- Any written response by the Secretary under subsection (e) regarding a policy, question, or interpretation under this Act shall include an explanation in the written response that the response--

      ‘(1) is issued, when required, in compliance with the requirements of section 553 of title 5, United States Code; and

      ‘(2) is provided as informal guidance and represents only the interpretation by the Department of Education of the applicable statutory or regulatory requirements in the context of the specific facts presented in the original question.’.

SEC. 103. SECTION 608 OF THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT.

    Part A of the Individuals with Disabilities Education Act (20 U.S.C. 1400 et seq.) is amended by adding at the end the following:

‘SEC. 608. STATE ADMINISTRATION.

    ‘(a) RULEMAKING- Each State that receives funds under this Act shall--

      ‘(1) ensure that any State rules, regulations, and policies relating to this Act conform to the purposes of this Act; and

      ‘(2) minimize the number of rules, regulations, and policies to which the State’s local educational agencies and schools are subject to under this Act.

    ‘(b) SUPPORT AND FACILITATION- All State rules, regulations, and policies relating to this Act shall support and facilitate local educational agency and school-level systemic reform designed to enable children with disabilities to meet the challenging State student academic achievement standards.’.

SEC. 104. GAO REVIEW; REPORT.

    (a) REVIEW- The Comptroller General shall conduct a review of all Federal requirements under the Individuals with Disabilities Education Act, and the requirements of a reasonable sample of State and local educational agencies relating to such Act, to determine which requirements result in excessive paperwork completion burdens for teachers, related services providers, and school administrators.

    (b) REPORT- Not later than 2 years after the date of the enactment of this Act, the Comptroller General shall prepare and submit to Congress a report that contains the results of the review under subsection (a).

SEC. 105. GAO REVIEW OF CERTAIN STATE DEFINITIONS AND EVALUATION PROCESSES.

    (a) REVIEW- The Comptroller General of the United States shall conduct a review of--

      (1) variation among States in definitions, and evaluation processes, relating to the provision of services under the Individuals with Disabilities Education Act to children having conditions described in section 602(a)(3) of such Act using the terms ‘emotional disturbance’, ‘other health impairments’, and ‘specific learning disability’; and

      (2) the degree to which these definitions and evaluation processes conform to scientific, peer-reviewed research.

    (b) REPORT- Not later than 2 years after the date of the enactment of this Act, the Comptroller General shall prepare and submit to Congress a report that contains the results of the review under subsection (a).

SEC. 106. ADDITIONAL GAO STUDY AND REPORT.

    (a) IN GENERAL- The Comptroller General of the United States shall conduct a study on existing or developing professional development programs for special education personnel delivered through the use of technology and distance learning.

    (b) REPORT- Not later than 2 years after the date of the enactment of this Act, the Comptroller General of the United States shall submit a report containing the findings from the study conducted under subsection (a) 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. 107. STUDY ON LIMITED ENGLISH PROFICIENT STUDENTS.

    (a) IN GENERAL- The Comptroller General of the United States shall conduct a study on how limited English proficient students are being served under the Individuals with Disabilities Education Act.

    (b) REPORT- Not later than 2 years after the date of the enactment of the Improving Education Results for Children With Disabilities Act of 2003, the Comptroller General of the United States shall submit a report containing the findings from the study conducted under subsection (a) 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.

TITLE II--ASSISTANCE FOR EDUCATION OF ALL CHILDREN WITH DISABILITIES

SEC. 201. AUTHORIZATION; ALLOTMENT; USE OF FUNDS; AUTHORIZATION OF APPROPRIATIONS.

    Section 611 of the Individuals with Disabilities Education Act (20 U.S.C. 1411) is amended to read as follows:

‘SEC. 611. AUTHORIZATION; ALLOTMENT; USE OF FUNDS; AUTHORIZATION OF APPROPRIATIONS.

    ‘(a) GRANTS TO STATES-

      ‘(1) PURPOSE OF GRANTS- The Secretary shall make grants to States and the outlying areas, and provide funds to the Secretary of the Interior, to assist them to provide special education and related services to children with disabilities in accordance with this part.

      ‘(2) MAXIMUM AMOUNTS- The maximum amount of the grant a State may receive under this section for any fiscal year is--

        ‘(A) the number of children with disabilities in the State who are receiving special education and related services--

          ‘(i) aged 3 through 5 if the State is eligible for a grant under section 619; and

          ‘(ii) aged 6 through 21; multiplied by

        ‘(B) 40 percent of the average per-pupil expenditure in public elementary and secondary schools in the United States.

      ‘(3) LIMITATION- Notwithstanding subparagraphs (A) and (B) of paragraph (2), the maximum amount of the grant a State may receive under this section for a fiscal year may not be based on the number of children ages 3 through 17, inclusive, in excess of 13.5 percent of the number of all children in that age range in the State.

    ‘(b) OUTLYING AREAS-

      ‘(1) FUNDS RESERVED- From the amount appropriated for any fiscal year under subsection (i), the Secretary shall reserve not more than one percent, which shall be used to provide assistance to the outlying areas in accordance with their respective populations of individuals aged 3 through 21.

      ‘(2) 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 those areas under this section.

    ‘(c) SECRETARY OF THE INTERIOR- From the amount appropriated for any fiscal year under subsection (i), the Secretary shall reserve 1.226 percent to provide assistance to the Secretary of the Interior in accordance with subsection (h).

    ‘(d) ALLOCATIONS TO STATES-

      ‘(1) IN GENERAL- After reserving funds for payments to the outlying areas and the Secretary of the Interior under subsections (b) and (c), the Secretary shall allocate the remaining amount among the States in accordance with this subsection.

      ‘(2) SPECIAL RULE FOR USE OF FISCAL YEAR 1999 AMOUNT- If a State does not make a free appropriate public education available to all children with disabilities aged 3 through 5 in the State in any fiscal year, the Secretary shall compute the State’s amount for fiscal year 1999, solely for the purpose of calculating the State’s allocation in the subsequent year under paragraph (3) or (4), by subtracting the amount allocated to the State for fiscal year 1999 on the basis of those children.

      ‘(3) INCREASE IN FUNDS- If the amount available for allocations to States under paragraph (1) is greater than the amount allocated to the States under this paragraph for the preceding fiscal year, those allocations shall be calculated as follows:

        ‘(A)(i) Except as provided in subparagraph (B), the Secretary shall allocate--

          ‘(I) to each State the amount it received for fiscal year 1999;

          ‘(II) 85 percent of any remaining funds to States on the basis of their relative populations of children aged 3 through 21 who are of the same age as children with disabilities for whom the State ensures the availability of a free appropriate public education under this part; and

          ‘(III) 15 percent of those remaining funds to States on the basis of their relative populations of children described in subclause (II) who are living in poverty.

        ‘(ii) For the purpose of making grants under this paragraph, the Secretary shall use the most recent population data, including data on children living in poverty, that are available and satisfactory to the Secretary.

        ‘(B) Notwithstanding subparagraph (A), allocations under this paragraph shall be subject to the following:

          ‘(i) No State’s allocation shall be less than its allocation for the preceding fiscal year.

          ‘(ii) No State’s allocation shall be less than the greatest of--

            ‘(I) the sum of--

‘(aa) the amount it received for fiscal year 1999; and

‘(bb) one-third of one percent of the amount by which the amount appropriated under subsection (i) exceeds the amount appropriated under this section for fiscal year 1999;

            ‘(II) the sum of--

‘(aa) the amount it received for the preceding fiscal year; and

‘(bb) that amount multiplied by the percentage by which the increase in the funds appropriated from the preceding fiscal year exceeds 1.5 percent; or

            ‘(III) the sum of--

‘(aa) the amount it received for the preceding fiscal year; and

‘(bb) that amount multiplied by 90 percent of the percentage increase in the amount appropriated from the preceding fiscal year.

          ‘(iii) Notwithstanding clause (ii), no State’s allocation under this paragraph shall exceed the sum of--

            ‘(I) the amount it received for the preceding fiscal year; and

            ‘(II) that amount multiplied by the sum of 1.5 percent and the percentage increase in the amount appropriated.

        ‘(C) If the amount available for allocations under this paragraph is insufficient to pay those allocations in full, those allocations shall be ratably reduced, subject to subparagraph (B)(i).

      ‘(4) DECREASE IN FUNDS- If the amount available for allocations to States under paragraph (1) is less than the amount allocated to the States under this section for the preceding fiscal year, those allocations shall be calculated as follows:

        ‘(A) If the amount available for allocations is greater than the amount allocated to the States for fiscal year 1999, each State shall be allocated the sum of--

          ‘(i) the amount it received for fiscal year 1999; and

          ‘(ii) an amount that bears the same relation to any remaining funds as the increase the State received for the preceding fiscal year over fiscal year 1999 bears to the total of all such increases for all States.

        ‘(B)(i) If the amount available for allocations is equal to or less than the amount allocated to the States for fiscal year 1999, each State shall be allocated the amount it received for fiscal year 1999.

        ‘(ii) If the amount available is insufficient to make the allocations described in clause (i), those allocations shall be ratably reduced.

    ‘(e) STATE-LEVEL ACTIVITIES-

      ‘(1) IN GENERAL-

        ‘(A) Each State may retain not more than the amount described in subparagraph (B) for administration and other State-level activities in accordance with paragraphs (2), (3), and (4).

        ‘(B) For each fiscal year, the Secretary shall determine and report to the State educational agency an amount that is 25 percent of the amount the State received under this section for fiscal year 1997, cumulatively adjusted by the Secretary for each succeeding fiscal year by the lesser of--

          ‘(i) the percentage increase, if any, from the preceding fiscal year in the State’s allocation under this section; or

          ‘(ii) the rate of inflation, as measured by the percentage increase, if any, from the preceding fiscal year in the Consumer Price Index For All Urban Consumers, published by the Bureau of Labor Statistics of the Department of Labor.

        ‘(C) A State may use funds it retains under subparagraph (A) without regard to--

          ‘(i) the prohibition on commingling of funds in section 612(a)(18)(B); and

          ‘(ii) the prohibition on supplanting other funds in section 612(a)(18)(C).

      ‘(2) STATE ADMINISTRATION-

        ‘(A) For the purpose of administering this part, including section 619 (including the coordination of activities under this part with, and providing technical assistance to, other programs that provide services to children with disabilities)--

          ‘(i) each State may use not more than 20 percent of the maximum amount it may retain under paragraph (1)(A) for any fiscal year or $500,000 (adjusted by the cumulative rate of inflation since fiscal year 1998, as measured by the percentage increase, if any, in the Consumer Price Index For All Urban Consumers, published by the Bureau of Labor Statistics of the Department of Labor), whichever is greater; and

          ‘(ii) each outlying area may use up to 5 percent of the amount it receives under this section for any fiscal year or $35,000 (adjusted by the cumulative rate of inflation since fiscal year 1998, as measured by the percentage increase, if any, in the Consumer Price Index For All Urban Consumers, published by the Bureau of Labor Statistics of the Department of Labor), whichever is greater.

        ‘(B) Funds described in subparagraph (A) may also be used for the administration of part C of this Act, if the State educational agency is the lead agency for the State under that part.

      ‘(3) HIGH COST SPECIAL EDUCATION AND RELATED SERVICES- Each State may use not more than 4 percent of the maximum amount it may retain under paragraph (1)(A) for any fiscal year to establish and implement cost or risk sharing funds, consortia, or cooperatives to assist local educational agencies in providing high cost special education and related services.

      ‘(4) OTHER STATE-LEVEL ACTIVITIES- Each State shall use any funds it retains under paragraph (1) and does not use under paragraph (2) or (3) for any of the following:

        ‘(A) Support and direct services, including technical assistance and personnel development and training.

        ‘(B) Administrative costs of monitoring and complaint investigation.

        ‘(C) To establish and implement the mediation and voluntary binding arbitration processes required by sections 612(a)(17) and 615(e), including providing for the costs of mediators, arbitrators, and support personnel.

        ‘(D) To assist local educational agencies in meeting personnel shortages.

        ‘(E) Activities at the State and local levels to meet the performance goals established by the State under section 612(a)(15) and to support implementation of the State plan under subpart 1 of part D if the State receives funds under that subpart.

        ‘(F) To support paperwork reduction activities, including expanding the appropriate use of technology in the IEP process under this part.

        ‘(G) To develop and maintain a comprehensive, coordinated, prereferral educational support system for students in kindergarten through grade 12 (with a particular emphasis on students in kindergarten through grade 3) who are not enrolled in special education but who need additional academic and behavioral support to succeed in a general education environment.

        ‘(H) To support capacity building activities and improve the delivery of services by local educational agencies to improve results for children with disabilities.

        ‘(I) For subgrants to local educational agencies for the purposes described in paragraph (5)(A).

      ‘(5)(A) SUBGRANTS TO LOCAL EDUCATIONAL AGENCIES FOR ACCOUNTABILITY- In any fiscal year in which the percentage increase in the State’s allocation under this section exceeds the rate of inflation (as measured by the percentage increase, if any, from the preceding fiscal year in the Consumer Price Index For All Urban Consumers, published by the Bureau of Labor Statistics of the Department of Labor), each State shall reserve, from its allocation under this section, the amount described in subparagraph (B) to make subgrants to local educational agencies, unless that amount is less than $100,000, to provide technical assistance and direct services to local educational agencies identified as being in need of improvement under section 1116 of the Elementary and Secondary Education Act of 1965 on the basis, in whole or in part, of the assessment results of the disaggregated subgroup of students with disabilities, including providing professional development to special and regular education teachers, based on scientifically based research to improve educational instruction.

      ‘(B) MAXIMUM SUBGRANT- For each fiscal year, the amount referred to in subparagraph (A) is--

        ‘(i) the maximum amount the State was allowed to retain under paragraph (1)(A) for the prior fiscal year, or for fiscal year 1998, 25 percent of the State’s allocation for fiscal year 1997 under this section; multiplied by

        ‘(ii) the difference between the percentage increase in the State’s allocation under this section and the rate of inflation, as measured by the percentage increase, if any, from the preceding fiscal year in the Consumer Price Index For All Urban Consumers, published by the Bureau of Labor Statistics of the Department of Labor.

      ‘(6) REPORT ON USE OF FUNDS- As part of the information required to be submitted to the Secretary under section 612, each State shall annually describe--

        ‘(A) how amounts retained under paragraph (1) will be used to meet the requirements of this part;

        ‘(B) how those amounts will be allocated among the activities described in this subsection to meet State priorities based on input from local educational agencies; and

        ‘(C) the percentage of those amounts, if any, that will be distributed to local educational agencies by formula.

    ‘(f) SUBGRANTS TO LOCAL EDUCATIONAL AGENCIES-

      ‘(1) SUBGRANTS REQUIRED- Each State that receives a grant under this section for any fiscal year shall distribute any funds it does not retain under subsection (e) to local educational agencies, including public charter schools that operate as local educational agencies, in the State that have established their eligibility under section 613, for use in accordance with this part.

      ‘(2) PROCEDURE FOR ALLOCATIONS TO LOCAL EDUCATIONAL AGENCIES- For each fiscal year for which funds are allocated to States under subsection (e), each State shall allocate funds under paragraph (1) as follows:

        ‘(A) BASE PAYMENTS- The State shall first award each agency described in paragraph (1) the amount that agency would have received under this section for fiscal year 1999, if the State had distributed 75 percent of its grant for that year under section 611(d), as then in effect.

        ‘(B) ALLOCATION OF REMAINING FUNDS- After making allocations under subparagraph (A), the State shall--

          ‘(i) allocate 85 percent of any remaining funds to those agencies on the basis of the relative numbers of children enrolled in public and private elementary and secondary schools within the agency’s jurisdiction; and

          ‘(ii) allocate 15 percent of those remaining funds to those agencies in accordance with their relative numbers of children living in poverty, as determined by the State educational agency.

      ‘(3) REALLOCATION OF FUNDS- If a State educational agency determines that a local educational agency is adequately providing a free appropriate public education to all children with disabilities residing in the area served by that agency with State and local funds, the State educational agency may reallocate any portion of the funds under this part that are not needed by that local agency to provide a free appropriate public education to other local educational agencies in the State that are not adequately providing special education and related services to all children with disabilities residing in the areas they serve.

    ‘(g) DEFINITIONS- For the purpose of this section--

      ‘(1) the term ‘average per-pupil expenditure in public elementary and secondary schools in the United States’ means--

        ‘(A) without regard to the source of funds--

          ‘(i) the aggregate current expenditures, during the second fiscal year preceding the fiscal year for which the determination is made (or, if satisfactory data for that year are not available, during the most recent preceding fiscal year for which satisfactory data are available) of all local educational agencies in the 50 States and the District of Columbia); plus

          ‘(ii) any direct expenditures by the State for the operation of those agencies; divided by

        ‘(B) the aggregate number of children in average daily attendance to whom those agencies provided free public education during that preceding year; and

      ‘(2) the term ‘State’ means each of the 50 States, the District of Columbia, and the Commonwealth of Puerto Rico.

    ‘(h) USE OF AMOUNTS BY SECRETARY OF THE INTERIOR-

      ‘(1) PROVISION OF AMOUNTS FOR ASSISTANCE-

        ‘(A) IN GENERAL- The Secretary of Education shall provide amounts to the Secretary of the Interior to meet the need for assistance for the education of children with disabilities on reservations aged 5 to 21, inclusive, enrolled in elementary and secondary schools for Indian children operated or funded by the Secretary of the Interior. The amount of such payment for any fiscal year shall be equal to 80 percent of the amount allotted under subsection (c) for that fiscal year. Of the amount described in the preceding sentence--

          ‘(i) 80 percent shall be allocated to such schools by July 1 of that fiscal year; and

          ‘(ii) 20 percent shall be allocated to such schools by September 30 of that fiscal year.

        ‘(B) CALCULATION OF NUMBER OF CHILDREN- In the case of Indian students aged 3 to 5, inclusive, who are enrolled in programs affiliated with the Bureau of Indian Affairs (hereafter in this subsection referred to as ‘BIA’) schools and that are required by the States in which such schools are located to attain or maintain State accreditation, and which schools have such accreditation prior to the date of enactment of the Individuals with Disabilities Education Act Amendments of 1991, the school shall be allowed to count those children for the purpose of distribution of the funds provided under this paragraph to the Secretary of the Interior. The Secretary of the Interior shall be responsible for meeting all of the requirements of this part for these children, in accordance with paragraph (2).

        ‘(C) ADDITIONAL REQUIREMENT- With respect to all other children aged 3 to 21, inclusive, on reservations, the State educational agency shall be responsible for ensuring that all of the requirements of this part are implemented.

      ‘(2) SUBMISSION OF INFORMATION- The Secretary of Education may provide the Secretary of the Interior amounts under paragraph (1) for a fiscal year only if the Secretary of the Interior submits to the Secretary of Education information that--

        ‘(A) demonstrates that the Department of the Interior meets the appropriate requirements, as determined by the Secretary of Education, of sections 612 (including monitoring and evaluation activities) and 613;

        ‘(B) includes a description of how the Secretary of the Interior will coordinate the provision of services under this part with local educational agencies, tribes and tribal organizations, and other private and Federal service providers;

        ‘(C) includes an assurance that there are public hearings, adequate notice of such hearings, and an opportunity for comment afforded to members of tribes, tribal governing bodies, and affected local school boards before the adoption of the policies, programs, and procedures described in subparagraph (A);

        ‘(D) includes an assurance that the Secretary of the Interior will provide such information as the Secretary of Education may require to comply with section 618;

        ‘(E) includes an assurance that the Secretary of the Interior and the Secretary of Health and Human Services have entered into a memorandum of agreement, to be provided to the Secretary of Education, for the coordination of services, resources, and personnel between their respective Federal, State, and local offices and with State and local educational agencies and other entities to facilitate the provision of services to Indian children with disabilities residing on or near reservations (such agreement shall provide for the apportionment of responsibilities and costs including, but not limited to, child find, evaluation, diagnosis, remediation or therapeutic measures, and (where appropriate) equipment and medical or personal supplies as needed for a child to remain in school or a program); and

        ‘(F) includes an assurance that the Department of the Interior will cooperate with the Department of Education in its exercise of monitoring, enforcement, and oversight of this application, and any agreements entered into between the Secretary of the Interior and other entities under this part, and will fulfill its duties under this part.

      Section 616(a) shall apply to the information described in this paragraph.

      ‘(3) PAYMENTS FOR EDUCATION AND SERVICES FOR INDIAN CHILDREN WITH DISABILITIES AGED 3 THROUGH 5-

        ‘(A) IN GENERAL- With funds appropriated under subsection (i), the Secretary of Education shall make payments to the Secretary of the Interior to be distributed to tribes or tribal organizations (as defined under section 4 of the Indian Self-Determination and Education Assistance Act) or consortia of the above to provide for the coordination of assistance for special education and related services for children with disabilities aged 3 through 5 on reservations served by elementary and secondary schools for Indian children operated or funded by the Department of the Interior. The amount of such payments under subparagraph (B) for any fiscal year shall be equal to 20 percent of the amount allotted under subsection (c).

        ‘(B) DISTRIBUTION OF FUNDS- The Secretary of the Interior shall distribute the total amount of the payment under subparagraph (A) by allocating to each tribe or tribal organization an amount based on the number of children with disabilities ages 3 through 5 residing on reservations as reported annually, divided by the total of those children served by all tribes or tribal organizations.

        ‘(C) SUBMISSION OF INFORMATION- To receive a payment under this paragraph, the tribe or tribal organization shall submit such figures to the Secretary of the Interior as required to determine the amounts to be allocated under subparagraph (B). This information shall be compiled and submitted to the Secretary of Education.

        ‘(D) USE OF FUNDS- The funds received by a tribe or tribal organization shall be used to assist in child find, screening, and other procedures for the early identification of children aged 3 through 5, parent training, and the provision of direct services. These activities may be carried out directly or through contracts or cooperative agreements with the BIA, local educational agencies, and other public or private nonprofit organizations. The tribe or tribal organization is encouraged to involve Indian parents in the development and implementation of these activities. The above entities shall, as appropriate, make referrals to local, State, or Federal entities for the provision of services or further diagnosis.

        ‘(E) ANNUAL REPORT- To be eligible to receive a grant pursuant to subparagraph (A), the tribe or tribal organization shall provide to the Secretary of the Interior an annual report of activities undertaken under this paragraph, including the number of contracts and cooperative agreements entered into, the number of children contacted and receiving services for each year, and the estimated number of children needing services during the year following the one in which the report is made. The Secretary of the Interior shall include a summary of this information on an annual basis in the report to the Secretary of Education required under this subsection. The Secretary of Education may require any additional information from the Secretary of the Interior.

        ‘(F) PROHIBITIONS- None of the funds allocated under this paragraph may be used by the Secretary of the Interior for administrative purposes, including child count and the provision of technical assistance.

      ‘(4) PLAN FOR COORDINATION OF SERVICES- The Secretary of the Interior shall develop and implement a plan for the coordination of services for all Indian children with disabilities residing on reservations covered under this Act. Such plan shall provide for the coordination of services benefiting these children from whatever source, including tribes, the Indian Health Service, other BIA divisions, and other Federal agencies. In developing the plan, the Secretary of the Interior shall consult with all interested and involved parties. It shall be based on the needs of the children and the system best suited for meeting those needs, and may involve the establishment of cooperative agreements between the BIA, other Federal agencies, and other entities. The plan shall also be distributed upon request to States, State and local educational agencies, and other agencies providing services to infants, toddlers, and children with disabilities, to tribes, and to other interested parties.

      ‘(5) ESTABLISHMENT OF ADVISORY BOARD- To meet the requirements of section 612(a)(22), the Secretary of the Interior shall establish, under the BIA, an advisory board composed of individuals involved in or concerned with the education and provision of services to Indian infants, toddlers, children, and youth with disabilities, including Indians with disabilities, Indian parents or guardians of such children, teachers, service providers, State and local educational officials, representatives of tribes or tribal organizations, representatives from State Interagency Coordinating Councils under section 641 in States having reservations, and other members representing the various divisions and entities of the BIA. The chairperson shall be selected by the Secretary of the Interior. The advisory board shall--

        ‘(A) assist in the coordination of services within the BIA and with other local, State, and Federal agencies in the provision of education for infants, toddlers, and children with disabilities;

        ‘(B) advise and assist the Secretary of the Interior in the performance of the Secretary’s responsibilities described in this subsection;

        ‘(C) develop and recommend policies concerning effective inter- and intra-agency collaboration, including modifications to regulations, and the elimination of barriers to inter- and intra-agency programs and activities;

        ‘(D) provide assistance and disseminate information on best practices, effective program coordination strategies, and recommendations for improved educational programming for Indian infants, toddlers, and children with disabilities; and

        ‘(E) provide assistance in the preparation of information required under paragraph (2)(D).

      ‘(6) ANNUAL REPORTS-

        ‘(A) IN GENERAL- The advisory board established under paragraph (5) shall prepare and submit to the Secretary of the Interior and to the Congress an annual report containing a description of the activities of the advisory board for the preceding year.

        ‘(B) AVAILABILITY- The Secretary of the Interior shall make available to the Secretary of Education the report described in subparagraph (A).

    ‘(i) AUTHORIZATION OF APPROPRIATIONS- For the purpose of carrying out this part, other than section 619, there are authorized to be appropriated--

      ‘(1) $11,074,398,000 for fiscal year 2004;

      ‘(2) $13,374,398,000 for fiscal year 2005;

      ‘(3) $15,746,302,000 for fiscal year 2006;

      ‘(4) $17,918,205,000 for fiscal year 2007;

      ‘(5) $20,090,109,000 for fiscal year 2008;

      ‘(6) $22,262,307,000 for fiscal year 2009;

      ‘(7) $25,198,603,000 for fiscal year 2010; and

      ‘(8) such sums as may be necessary for fiscal year 2011 and each subsequent fiscal year.’.

SEC. 202. STATE ELIGIBILITY.

    (a) IN GENERAL- (1) Section 612(a) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(a)) is amended in the matter preceding paragraph (1) by striking ‘demonstrates to the satisfaction of’ and inserting ‘reasonably demonstrates to’.

    (2) Paragraphs (1) through (11) of section 612(a) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(a)(1)-(11)) are amended to read as follows:

      ‘(1) FREE APPROPRIATE PUBLIC EDUCATION-

        ‘(A) IN GENERAL- A free appropriate public education is available to all children with disabilities residing in the State between the ages of 3 and 21, inclusive, including children with disabilities who have been suspended or expelled from school.

        ‘(B) LIMITATION- The obligation to make a free appropriate public education available to all children with disabilities does not apply with respect to children--

          ‘(i) aged 3 through 5 and 18 through 21 in a State to the extent that its application to those children would be inconsistent with State law or practice, or the order of any court, respecting the provision of public education to children in those age ranges; and

          ‘(ii) aged 18 through 21 to the extent that State law does not require that special education and related services under this part be provided to children with disabilities who, in the educational placement prior to their incarceration in an adult correctional facility--

            ‘(I) were not actually identified as being a child with a disability under section 602(3) of this Act; or

            ‘(II) did not have an individualized education program under this part.

      ‘(2) FULL EDUCATIONAL OPPORTUNITY GOAL- The State has established a goal of providing full educational opportunity to all children with disabilities and a detailed timetable for accomplishing that goal.

      ‘(3) CHILD FIND-

        ‘(A) IN GENERAL- All children with disabilities residing in the State, including children with disabilities attending private schools, regardless of the severity of their disabilities, and who are in need of special education and related services, are identified, located, and evaluated and a practical method is developed and implemented to determine which children with disabilities are currently receiving needed special education and related services.

        ‘(B) CONSTRUCTION- Nothing in this Act requires that children be classified by their disability so long as each child who has a disability listed in section 602 and who, by reason of that disability, needs special education and related services is regarded as a child with a disability under this part.

      ‘(4) INDIVIDUALIZED EDUCATION PROGRAM- An individualized education program, or an individualized family service plan that meets the requirements of section 636(d), is developed, reviewed, and revised for each child with a disability in accordance with section 614(d).

      ‘(5) LEAST RESTRICTIVE ENVIRONMENT-

        ‘(A) IN GENERAL- To the maximum extent appropriate, children with disabilities, including children in public or private institutions or other care facilities, are educated with children who are not disabled, and special classes, separate schooling, or other removal of children with disabilities from the regular educational environment occurs only when the nature or severity of the disability of a child is such that education in regular classes with the use of supplementary aids and services cannot be achieved satisfactorily.

        ‘(B) ADDITIONAL REQUIREMENT-

          ‘(i) IN GENERAL- If the State uses a funding mechanism by which the State distributes State funds on the basis of the type of setting in which a child is served, the funding mechanism does not result in placements that violate the requirements of subparagraph (A).

          ‘(ii) ASSURANCE- If the State does not have policies and procedures to ensure compliance with clause (i), the State shall provide the Secretary an assurance that it will revise the funding mechanism as soon as feasible to ensure that such mechanism does not result in such placements.

      ‘(6) PROCEDURAL SAFEGUARDS-

        ‘(A) IN GENERAL- Children with disabilities and their parents are afforded the procedural safeguards required by section 615.

        ‘(B) ADDITIONAL PROCEDURAL SAFEGUARDS- Procedures to ensure that testing and evaluation materials and procedures utilized for the purposes of evaluation and placement of children with disabilities for services under this Act will be selected and administered so as not to be racially or culturally discriminatory. Such materials or procedures shall be provided and administered in the child’s native language or mode of communication, unless it clearly is not feasible to do so, and no single procedure shall be the sole criterion for determining an appropriate educational program for a child.

      ‘(7) EVALUATION- Children with disabilities are evaluated in accordance with subsections (a) through (c) of section 614.

      ‘(8) CONFIDENTIALITY- Agencies in the State comply with section 617(d) (relating to the confidentiality of records and information).

      ‘(9) TRANSITION FROM PART C TO PRESCHOOL PROGRAMS- Children participating in early intervention programs assisted under part C, and who will participate in preschool programs assisted under this part, experience a smooth and effective transition to those preschool programs in a manner consistent with section 637(a)(8). By the third birthday of such a child, an individualized education program or, if consistent with section 636(d), an individualized family service plan, has been developed and is being implemented for the child. The local educational agency will participate in transition planning conferences arranged by the designated lead agency under section 637(a)(8).

      ‘(10) CHILDREN IN PRIVATE SCHOOLS-

        ‘(A) CHILDREN ENROLLED IN PRIVATE SCHOOLS BY THEIR PARENTS-

          ‘(i) IN GENERAL- To the extent consistent with the number and location of children with disabilities in the State who are enrolled by their parents in private elementary and secondary schools in the area served by such agency, provision is made for the participation of those children in the program assisted or carried out under this part by providing for such children special education and related services in accordance with the following requirements, unless the Secretary has arranged for services to those children under subsection (f):

            ‘(I) Amounts to be expended for the provision of those services (including direct services to parentally-placed children) by a local educational agency shall be equal to a proportionate amount of Federal funds made available under this part.

            ‘(II) In calculating the proportionate share of Federal funds, the local educational agency, after timely and meaningful consultation with representatives of children with disabilities parentally-placed in private schools as described in clause (iii), shall conduct a thorough and complete child-find process to determine the number of parentally-placed children with disabilities attending private schools located in the district.

            ‘(III) Such services may be provided to children with disabilities on the premises of private, including religious, schools, to the extent consistent with law.

            ‘(IV) State and local funds may supplement and in no case shall supplant the proportionate amount of Federal funds required to be expended under this paragraph.

            ‘(V) Each local educational agency maintains in its records and provides to the State educational agency the number of children evaluated under this paragraph, the number of children determined to be children with disabilities, and the number of children served under this subsection.

          ‘(ii) CHILD-FIND REQUIREMENT-

            ‘(I) IN GENERAL- The requirements of paragraph (3) of this subsection (relating to child find) shall apply with respect to children with disabilities in the State who are enrolled in private, including religious, elementary and secondary schools.

            ‘(II) EQUITABLE PARTICIPATION- The child-find process must be designed to ensure the equitable participation of parentally-placed private school children and an accurate count of such children.

            ‘(III) ACTIVITIES- In carrying out this clause, the local educational agency, or where applicable, the State educational agency, shall undertake activities similar to those activities undertaken for its public school children.

            ‘(IV) COST- The cost of carrying out this clause, including individual evaluations, may not be considered in determining whether a local education agency has met its obligations under clause (i).

            ‘(V) COMPLETION PERIOD- Such child-find process shall be completed in a time period comparable to that for other students attending public schools in the local educational agency.

          ‘(iii) CONSULTATION- To ensure timely and meaningful consultation, a local educational agency, or where appropriate, a state educational agency, shall consult with representatives of children with disabilities parentally-placed in private schools during the design and development of special education and related services for these children including--

            ‘(I) the child-find process and how parentally-placed private school children suspected of having a disability can participate equitably, including how parents, teachers, and private school officials will be informed of the process;

            ‘(II) the determination of the proportionate share of Federal funds available to serve parentally-placed private school children with disabilities under this paragraph, including the determination of how those funds were calculated;

            ‘(III) the consultation process among the district, private school officials, and parents of parentally-placed private school children with disabilities including how such process will operate throughout the school year to ensure that parentally-placed children with disabilities identified through the child find process can meaningfully participate in special education and related services; and

            ‘(IV) how, where, and by whom special education and related services will be provided for parentally-placed private school children, including a discussion of alternate service delivery mechanisms, how such services will be apportioned if funds are insufficient to serve all children, and how and when these decisions will be made.

          ‘(iv) COMPLIANCE-

            ‘(I) 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.

            ‘(II) 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. If the private school official is dissatisfied with the decision of the State educational agency, such official may complain to the Secretary by providing the basis of the noncompliance with this section by the local educational agency to the Secretary, and the State educational agency shall forward the appropriate documentation to the Secretary.

          ‘(v) PROVISION OF SERVICES-

            ‘(I) DIRECTLY OR THROUGH CONTRACTS- An agency may provide special education and related services directly or through contracts with public and private agencies, organizations, and institutions.

            ‘(II) SECULAR, NEUTRAL, NONIDEOLOGICAL- Special education and related services, including materials and equipment, shall be secular, neutral, and nonideological.

          ‘(vi) PUBLIC CONTROL OF FUNDS-

            ‘(I) IN GENERAL- The control of funds used to provide special education and related services under this section, and title to materials, equipment, and property purchased with those funds, shall be in a public agency for the uses and purposes provided in this Act, and a public agency shall administer the funds and property.

            ‘(II) PROVISION OF SERVICES- The provision of services under this Act shall be provided--

‘(aa) by employees of a public agency; or

‘(bb) through contract by the public agency with an individual, association, agency, organization, or other entity.

        ‘(B) CHILDREN PLACED IN, OR REFERRED TO, PRIVATE SCHOOLS BY PUBLIC AGENCIES-

          ‘(i) IN GENERAL- Children with disabilities in private schools and facilities are provided special education and related services, in accordance with an individualized education program, at no cost to their parents, if such children are placed in, or referred to, such schools or facilities by the State or appropriate local educational agency as the means of carrying out the requirements of this part or any other applicable law requiring the provision of special education and related services to all children with disabilities within such State.

          ‘(ii) STANDARDS- In all cases described in clause (i), the State educational agency shall determine whether such schools and facilities meet standards that apply to State and local educational agencies and that children so served have all the rights they would have if served by such agencies.

        ‘(C) PAYMENT FOR EDUCATION OF CHILDREN ENROLLED IN PRIVATE SCHOOLS WITHOUT CONSENT OF OR REFERRAL BY THE PUBLIC AGENCY-

          ‘(i) IN GENERAL- Subject to subparagraph (A), this part does not require a local educational agency to pay for the cost of education, including special education and related services, of a child with a disability at a private school or facility if that agency made a free appropriate public education available to the child and the parents elected to place the child in such private school or facility.

          ‘(ii) REIMBURSEMENT FOR PRIVATE SCHOOL PLACEMENT- If the parents of a child with a disability, who previously received special education and related services under the authority of a public agency, enroll the child in a private elementary or secondary school without the consent of or referral by the public agency, a court or a hearing officer may require the agency to reimburse the parents for the cost of that enrollment if the court or hearing officer finds that the agency had not made a free appropriate public education available to the child in a timely manner prior to that enrollment.

          ‘(iii) LIMITATION ON REIMBURSEMENT- The cost of reimbursement described in clause (ii) may be reduced or denied--

            ‘(I) if--

‘(aa) at the most recent IEP meeting that the parents attended prior to removal of the child from the public school, the parents did not inform the IEP Team that they were rejecting the placement proposed by the public agency to provide a free appropriate public education to their child, including stating their concerns and their intent to enroll their child in a private school at public expense; or

‘(bb) 10 business days (including any holidays that occur on a business day) prior to the removal of the child from the public school, the parents did not give written notice to the public agency of the information described in division (aa);

            ‘(II) if, prior to the parents’ removal of the child from the public school, the public agency informed the parents, through the notice requirements described in section 615(b)(7), of its intent to evaluate the child (including a statement of the purpose of the evaluation that was appropriate and reasonable), but the parents did not make the child available for such evaluation; or

            ‘(III) upon a judicial finding of unreasonableness with respect to actions taken by the parents.

          ‘(iv) EXCEPTION- Notwithstanding the notice requirement in clause (iii)(I), the cost of reimbursement--

            ‘(I) shall not be reduced or denied for failure to provide such notice if--

‘(aa) the school prevented the parent from providing such notice;

‘(bb) the parents had not received notice, pursuant to section 615, of the notice requirement in clause (iii)(I); or

‘(cc) compliance with clause (iii)(I) would likely result in physical harm to the child; and

            ‘(II) may, in the discretion of a court or a hearing officer, not be reduced or denied for failure to provide such notice if--

‘(aa) the parent is illiterate or cannot write in English; or

‘(bb) compliance with clause (iii)(I) would likely result in serious emotional harm to the child.

      ‘(11) STATE EDUCATIONAL AGENCY RESPONSIBLE FOR GENERAL SUPERVISION-

        ‘(A) IN GENERAL- The State educational agency is responsible for ensuring that--

          ‘(i) the requirements of this part are met; and

          ‘(ii) all educational programs for children with disabilities in the State, including all such programs administered by any other State or local agency--

            ‘(I) are under the general supervision of individuals in the State who are responsible for educational programs for children with disabilities; and

            ‘(II) meet the educational standards of the State educational agency.

        ‘(B) LIMITATION- Subparagraph (A) shall not limit the responsibility of agencies in the State other than the State educational agency to provide, or pay for some or all of the costs of, a free appropriate public education for any child with a disability in the State.

        ‘(C) EXCEPTION- Notwithstanding subparagraphs (A) and (B), the Governor (or another individual pursuant to State law), consistent with State law, may assign to any public agency in the State the responsibility of ensuring that the requirements of this part are met with respect to children with disabilities who are convicted as adults under State law and incarcerated in adult prisons.’.

    (3) Paragraphs (13) through (22) of section 612(a) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(a)(13)-(22)) are amended to read as follows:

      ‘(13) PROCEDURAL REQUIREMENTS RELATING TO LOCAL EDUCATIONAL AGENCY ELIGIBILITY- The State educational agency will not make a final determination that a local educational agency is not eligible for assistance under this part without first affording that agency reasonable notice and an opportunity for a hearing.

      ‘(14) PERSONNEL STANDARDS-

        ‘(A) IN GENERAL- The State educational agency has established and maintains standards to ensure that personnel necessary to carry out this part are appropriately and adequately prepared and trained.

        ‘(B) STANDARDS DESCRIBED- Such standards shall--

          ‘(i) ensure that special education teachers who teach in core academic subjects are highly qualified in those subjects;

          ‘(ii) be consistent with any State-approved or State-recognized certification, licensing, registration, or other comparable requirements that apply to the professional discipline in which those personnel are providing special education or related services in order to ensure that such individuals are qualified to provide such services; and

          ‘(iii) allow paraprofessionals and assistants who are appropriately trained and supervised, in accordance with State law, regulations, or written policy, in meeting the requirements of this part to be used to assist in the provision of special education and related services to children with disabilities under this part.

        ‘(C) INNOVATIVE STRATEGIES FOR PROFESSIONAL DEVELOPMENT- The State educational agency encourages the development and use of research-based innovative strategies, such as strategies using technology, peer networks, and distance learning, to deliver intensive professional development programs for special and regular education teachers, administrators, principals, and related services personnel that--

          ‘(i) improve educational results for students with disabilities; and

          ‘(ii) are both cost-effective and easily accessible.

      ‘(15) PERFORMANCE GOALS AND INDICATORS- The State--

        ‘(A) has established goals for the performance of children with disabilities in the State that--

          ‘(i) promote the purposes of this Act, as stated in section 601(d);

          ‘(ii) are the same as the State’s definition of adequate yearly progress, including the State’s objectives for progress by children with disabilities, under section 1111(b)(2)(C) of the Elementary and Secondary Education Act of 1965;

          ‘(iii) address dropout rates, as well as such other factors as the State may determine; and

          ‘(iv) are consistent, to the extent appropriate, with any other goals and standards for children established by the State;

        ‘(B) has established performance indicators the State will use to assess progress toward achieving those goals described in subparagraph (A), including measurable annual objectives for progress by children with disabilities under section 1111(b)(2)(C) of the Elementary and Secondary Education Act of 1965; and

        ‘(C) will annually report to the Secretary and the public on the progress of the State, and of children with disabilities in the State, toward meeting the goals established under subparagraph (A), which may include elements of the reports required under section 1111(h) of the Elementary and Secondary Education Act of 1965.

      ‘(16) PARTICIPATION IN ASSESSMENTS-

        ‘(A) IN GENERAL- (i) All children with disabilities are included in all general State and district-wide assessment programs, including assessments described under title I of the Elementary and Secondary Education Act of 1965, with appropriate accommodations, where necessary and as indicated in their respective individualized education programs.

        ‘(ii) The State (or, in the case of a district-wide assessment, the local educational agency) has developed and implemented guidelines for the provision of accommodations described in clause (i).

        ‘(iii) The State (or, in the case of a district-wide assessment the local educational agency)--

          ‘(I) has developed and implemented guidelines for the participation of children with disabilities in alternate assessments for those children who cannot participate in regular assessments under clause (i); and

          ‘(II) conducts those alternate assessments.

        ‘(B) REPORTS- The State educational agency (or, in the case of a district-wide assessment, the local educational agency) makes available to the public, and reports to the public with the same frequency and in the same detail as it reports on the assessment of nondisabled children, the following:

          ‘(i) The number of children with disabilities participating in regular assessments, and the number of those children who were provided accommodations in order to participate in those assessments.

          ‘(ii) The number of children with disabilities participating in alternate assessments.

          ‘(iii) The performance of children with disabilities on regular assessments and on alternate assessments (if the number of children with disabilities participating in those assessments is sufficient to yield statistically reliable information and reporting that information would not reveal personally identifiable information about an individual student), compared with the achievement of all children, including children with disabilities, on those assessments.

      ‘(17) DISPUTE RESOLUTION- The State has in effect systems of mediation and voluntary binding arbitration pursuant to section 615(e).

      ‘(18) SUPPLEMENTATION OF STATE, LOCAL, AND OTHER FEDERAL FUNDS-

        ‘(A) EXPENDITURES- Funds paid to a State under this part will be expended in accordance with all the provisions of this part.

        ‘(B) PROHIBITION AGAINST COMMINGLING- Funds paid to a State under this part will not be commingled with State funds.

        ‘(C) PROHIBITION AGAINST SUPPLANTATION AND CONDITIONS FOR WAIVER BY SECRETARY- Except as provided in section 613, funds paid to a State under this part will be used to supplement the level of Federal, State, and local funds (including funds that are not under the direct control of State or local educational agencies) expended for special education and related services provided to children with disabilities under this part and in no case to supplant such Federal, State, and local funds, except that, where the State provides clear and convincing evidence that all children with disabilities have available to them a free appropriate public education, the Secretary may waive, in whole or in part, the requirements of this subparagraph if the Secretary concurs with the evidence provided by the State.

      ‘(19) MAINTENANCE OF STATE FINANCIAL SUPPORT-

        ‘(A) IN GENERAL- The State does not reduce the amount of State financial support for special education and related services for children with disabilities, or otherwise made available because of the excess costs of educating those children, below the amount of that support for the preceding fiscal year.

        ‘(B) REDUCTION OF FUNDS FOR FAILURE TO MAINTAIN SUPPORT- The Secretary shall reduce the allocation of funds under section 611 for any fiscal year following the fiscal year in which the State fails to comply with the requirement of subparagraph (A) by the same amount by which the State fails to meet the requirement.

        ‘(C) WAIVERS FOR EXCEPTIONAL OR UNCONTROLLABLE CIRCUMSTANCES- The Secretary may waive the requirement of subparagraph (A) for a State, for one fiscal year at a time, if the Secretary determines that--

          ‘(i) granting 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; or

          ‘(ii) the State meets the standard in paragraph (18)(C) of this section for a waiver of the requirement to supplement, and not to supplant, funds received under this part.

        ‘(D) SUBSEQUENT YEARS- If, for any year, a State fails to meet the requirement of subparagraph (A), including any year for which the State is granted a waiver under subparagraph (C), the financial support required of the State in future years under subparagraph (A) shall be the amount that would have been required in the absence of that failure and not the reduced level of the State’s support.

      ‘(20) PUBLIC PARTICIPATION- Prior to the adoption of any policies and procedures needed to comply with this section (including any amendments to such policies and procedures), the State ensures that there are public hearings, adequate notice of the hearings, and an opportunity for comment available to the general public, including individuals with disabilities and parents of children with disabilities.

      ‘(21) STATE ADVISORY PANEL-

        ‘(A) IN GENERAL- The State has established and maintains an advisory panel for the purpose of providing policy guidance with respect to special education and related services for children with disabilities in the State.

        ‘(B) MEMBERSHIP- Such advisory panel shall consist of members appointed by the Governor, or any other official authorized under State law to make such appointments, that is representative of the State population and that is composed of individuals involved in, or concerned with, the education of children with disabilities, including--

          ‘(i) parents of children with disabilities (ages birth through 26);

          ‘(ii) individuals with disabilities;

          ‘(iii) teachers;

          ‘(iv) representatives of institutions of higher education that prepare special education and related services personnel;

          ‘(v) State and local education officials;

          ‘(vi) administrators of programs for children with disabilities;

          ‘(vii) representatives of other State agencies involved in the financing or delivery of related services to children with disabilities;

          ‘(viii) representatives of private schools and public charter schools;

          ‘(ix) at least one representative of a vocational, community, or business organization concerned with the provision of transition services to children with disabilities; and

          ‘(x) representatives from the State juvenile and adult corrections agencies.

        ‘(C) SPECIAL RULE- A majority of the members of the panel shall be individuals with disabilities or parents of children with disabilities ages birth through 26.

        ‘(D) DUTIES- The advisory panel shall--

          ‘(i) advise the State educational agency of unmet needs within the State in the education of children with disabilities;

          ‘(ii) comment publicly on any rules or regulations proposed by the State regarding the education of children with disabilities;

          ‘(iii) advise the State educational agency in developing evaluations and reporting on data to the Secretary under section 618;

          ‘(iv) advise the State educational agency in developing corrective action plans to address findings identified in Federal monitoring reports under this part; and

          ‘(v) advise the State educational agency in developing and implementing policies relating to the coordination of services for children with disabilities.

      ‘(22) SUSPENSION AND EXPULSION RATES-

        ‘(A) IN GENERAL- The State educational agency examines data, including data disaggregated by race and ethnicity, to determine if significant discrepancies are occurring in the rate of long-term suspensions and expulsions of children with disabilities--

          ‘(i) among local educational agencies in the State; or

          ‘(ii) compared to such rates for nondisabled children within such agencies.

        ‘(B) REVIEW AND REVISION OF POLICIES- If such discrepancies are occurring, the State educational agency reviews and, if appropriate, revises (or requires the affected State or local educational agency to revise) its policies, procedures, and practices relating to the development and implementation of IEPs, the use of positive behavioral interventions and supports, and procedural safeguards, to ensure that such policies, procedures, and practices comply with this Act.’.

    (4) Section 612(a) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(a)(13)-(22)) is amended by adding at the end the following:

      ‘(23) INSTRUCTIONAL MATERIALS-

        ‘(A) IN GENERAL- The State adopts the national instructional materials accessibility standard for the purposes of providing instructional materials to blind persons or other persons with print disabilities in a timely manner after the publication of the standard by the Secretary in the Federal Register.

        ‘(B) PURCHASE REQUIREMENT- Not later than 2 years after the date of the enactment of the Improving Education Results for Children With Disabilities Act of 2003, the State educational agency, when purchasing instructional materials for use in public elementary and secondary schools within the State, requires the publisher of the instructional materials, as a part of any purchase agreement that is made, renewed, or revised, to prepare and supply electronic files containing the contents of the instructional materials using the national instructional materials accessibility standard.

        ‘(C) DEFINITION- For purposes of this paragraph, the term ‘instructional materials’ means printed textbooks and related core materials that are written and published primarily for use in elementary school and secondary school instruction and are required by a State educational agency or local educational agency for use by pupils in the classroom.

      ‘(24) OVERIDENTIFICATION AND DISPROPORTIONALITY- The State has in effect, consistent with the purposes of this Act and with section 618, policies and procedures designed to prevent the overidentification or disproportionate representation by race and ethnicity of children as children with disabilities, including the identification of children as children with disabilities in accordance with a particular impairment described in section 602(3).

      ‘(25) PROHIBITION ON PSYCHOTROPIC MEDICATION- The State educational agency develops and implements policies and procedures prohibiting school personnel from requiring a child to obtain a prescription for substances covered by section 202(c) of the Controlled Substances Act (21 U.S.C. 812(c)) as a condition of attending school or receiving services.’.

    (b) STATE EDUCATIONAL AGENCY AS PROVIDER OF FREE APPROPRIATE PUBLIC EDUCATION OR DIRECT SERVICES- Section 612(b) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(b)) is amended to read as follows:

    ‘(b) STATE EDUCATIONAL AGENCY AS PROVIDER OF FREE APPROPRIATE PUBLIC EDUCATION OR DIRECT SERVICES- If the State educational agency provides free appropriate public education to children with disabilities, or provides direct services to such children, such agency--

      ‘(1) shall comply with any additional requirements of section 613(a), as if such agency were a local educational agency; and

      ‘(2) may use amounts that are otherwise available to such agency under this part to serve those children without regard to section 613(a)(2)(A)(i) (relating to excess costs).’.

    (c) EXCEPTION FOR PRIOR STATE PLANS- Section 612(c) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(c)) is amended to read as follows:

    ‘(c) EXCEPTION FOR PRIOR STATE PLANS-

      ‘(1) IN GENERAL- If a State has on file with the Secretary policies and procedures that demonstrate that such State meets any requirement of subsection (a), including any policies and procedures filed under this part as in effect before the effective date of the Improving Education Results for Children With Disabilities Act of 2003, the Secretary shall consider such State to have met such requirement for purposes of receiving a grant under this part.

      ‘(2) MODIFICATIONS MADE BY STATE- Subject to paragraph (3), an application submitted by a State in accordance with this section shall remain in effect until the State submits to the Secretary such modifications as the State deems necessary. This section shall apply to a modification to an application to the same extent and in the same manner as this section applies to the original plan.

      ‘(3) MODIFICATIONS REQUIRED BY THE SECRETARY- If, after the effective date of the Improving Education Results for Children With Disabilities Act of 2003, the provisions of this Act are amended (or the regulations developed to carry out this Act are amended), or there is a new interpretation of this Act by a Federal court or a State’s highest court, or there is an official finding of noncompliance with Federal law or regulations, the Secretary may require a State to modify its application only to the extent necessary to ensure the State’s compliance with this part.’.

    (d) APPROVAL BY THE SECRETARY- Section 612(d) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(d)) is amended to read as follows:

    ‘(d) APPROVAL BY THE SECRETARY-

      ‘(1) IN GENERAL- If the Secretary determines that a State is eligible to receive a grant under this part, the Secretary shall notify the State of that determination.

      ‘(2) NOTICE AND HEARING- The Secretary shall not make a final determination that a State is not eligible to receive a grant under this part until after providing the State--

        ‘(A) with reasonable notice; and

        ‘(B) with an opportunity for a hearing.’.

    (e) ASSISTANCE UNDER OTHER FEDERAL PROGRAMS- Section 612(e) of the Individuals with Disabilities Education Act (20 U.S.C. 1412(e)) is amended to read as follows:

    ‘(e) ASSISTANCE UNDER OTHER FEDERAL PROGRAMS- Nothing in this title permits a State to reduce medical and other assistance available, or to alter eligibility, under titles V and XIX of the Social Security Act with respect to the provision of a free appropriate public education for children with disabilities in the State.’.

SEC. 203. LOCAL EDUCATIONAL AGENCY ELIGIBILITY.

    Section 613 of the Individuals with Disabilities Education Act (20 U.S.C. 1413) is amended to read as follows:

‘SEC. 613. LOCAL EDUCATIONAL AGENCY ELIGIBILITY.

    ‘(a) IN GENERAL- A local educational agency is eligible for assistance under this part for a fiscal year if such agency reasonably demonstrates to the State educational agency that it meets each of the following conditions:

      ‘(1) CONSISTENCY WITH STATE POLICIES- The local educational agency, in providing for the education of children with disabilities within its jurisdiction, has in effect policies, procedures, and programs that are consistent with the State policies and procedures established under section 612.

      ‘(2) USE OF AMOUNTS-

        ‘(A) IN GENERAL- Amounts provided to the local educational agency under this part shall be expended in accordance with the applicable provisions of this part and--

          ‘(i) shall be used only to pay the excess costs of providing special education and related services to children with disabilities;

          ‘(ii) shall be used to supplement State, local, and other Federal funds and not to supplant such funds; and

          ‘(iii) shall not be used, except as provided in subparagraphs (B) and (C), to reduce the level of expenditures for the education of children with disabilities made by the local educational agency from local funds below the level of those expenditures for the preceding fiscal year.

        ‘(B) EXCEPTION- Notwithstanding the restriction in subparagraph (A)(iii), a local educational agency may reduce the level of expenditures where such reduction is attributable to--

          ‘(i) the voluntary departure, by retirement or otherwise, or departure for just cause, of special education personnel;

          ‘(ii) a decrease in the enrollment of children with disabilities;

          ‘(iii) the termination of the obligation of the agency, consistent with this part, to provide a program of special education to a particular child with a disability that is an exceptionally costly program, as determined by the State educational agency, because the child--

            ‘(I) has left the jurisdiction of the agency;

            ‘(II) has reached the age at which the obligation of the agency to provide a free appropriate public education to the child has terminated; or

            ‘(III) no longer needs such program of special education; or

          ‘(iv) the termination of costly expenditures for long-term purchases, such as the acquisition of equipment or the construction of school facilities.

        ‘(C) TREATMENT OF FEDERAL FUNDS IN CERTAIN FISCAL YEARS-

          ‘(i) Notwithstanding clauses (ii) and (iii) of subparagraph (A), for any fiscal year for which amounts appropriated to carry out section 611 exceeds $4,100,000,000, a local educational agency may treat as local funds, for the purpose of such clauses, up to 20 percent of the amount of funds it receives under this part that exceeds the amount it received under this part for the previous fiscal year.

          ‘(ii) If a local educational agency chooses to use the authority under clause (i), then the agency shall use those local funds to provide additional funding for programs under the Elementary and Secondary Education Act of 1965, including, but not limited to, programs that address student achievement, comprehensive school reform, literacy, teacher quality and professional development, school safety, before- and after- school learning opportunities.

          ‘(iii) Notwithstanding clause (i), if a State educational agency determines that a local educational agency is unable to establish and maintain programs of free appropriate public education that meet the requirements of subsection (a), the State educational agency shall prohibit the local educational agency from treating funds received under this part as local funds under clause (i) for that fiscal year, but only if it is authorized to do so by the State constitution or a State statute.

        ‘(D) SCHOOLWIDE PROGRAMS UNDER TITLE I OF THE ESEA- Notwithstanding subparagraph (A) or any other provision of this part, a local educational agency may use funds received under this part for any fiscal year to carry out a schoolwide program under section 1114 of the Elementary and Secondary Education Act of 1965, except that the amount so used in any such program shall not exceed--

          ‘(i) the number of children with disabilities participating in the schoolwide program; multiplied by

          ‘(ii)(I) the amount received by the local educational agency under this part for that fiscal year; divided by

          ‘(II) the number of children with disabilities in the jurisdiction of that agency.

      ‘(3) PERSONNEL DEVELOPMENT- The local educational agency shall ensure that all personnel necessary to carry out this part are appropriately and adequately prepared, consistent with the requirements of section 612 of this Act and section 1119 of the Elementary and Secondary Education Act of 1965.

      ‘(4) PERMISSIVE USE OF FUNDS- Notwithstanding paragraph (2)(A) or section 612(a)(18)(B) (relating to commingled funds), funds provided to the local educational agency under this part may be used for the following activities:

        ‘(A) SERVICES AND AIDS THAT ALSO BENEFIT NONDISABLED CHILDREN- For the costs of special education and related services and supplementary aids and services provided in a regular class or other education-related setting to a child with a disability in accordance with the individualized education program of the child, even if one or more nondisabled children benefit from such services.

        ‘(B) PREREFERRAL SERVICES- To develop and implement a system of comprehensive coordinated prereferral education support services in accordance with subsection (f).

        ‘(C) HIGH COST EDUCATION AND RELATED SERVICES- To establish and implement cost or risk sharing funds, consortia, or cooperatives for the agency itself, or for local educational agencies working in consortium of which the local educational agency is a part, to pay for high cost special education and related services.

        ‘(D) CASE MANAGEMENT AND ADMINISTRATION- To purchase appropriate technology for record keeping, data collection, and related case management activities of teachers and related services personnel who are providing services described in the individualized education program of children with disabilities necessary to the implementation of those case management activities.

        ‘(E) SUPPLEMENTAL EDUCATIONAL SERVICES FOR CHILDREN WITH DISABILITIES IN SCHOOLS DESIGNATED FOR IMPROVEMENT- For the reasonable additional expenses (as determined by the local educational agency) of any necessary accommodations to allow children with disabilities who are being educated in a school identified for school improvement under section 1116(b) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6316(b)) to be provided supplemental educational services under section 1116(e) of such Act on an equitable basis.

      ‘(5) TREATMENT OF CHARTER SCHOOLS AND THEIR STUDENTS- In carrying out this part with respect to charter schools that are public schools of the local educational agency, the local educational agency--

        ‘(A) serves children with disabilities attending those schools in the same manner as it serves children with disabilities in its other schools, including providing supplemental and related services on site at the charter school when the local educational agency has a policy or practice of providing those services on site to its other schools; and

        ‘(B) provides funds under this part to those schools on the same basis as it provides those funds to its other public schools (including, at the option of such agency, proportional distribution based on relative enrollment of children with disabilities at such charter schools), and at the same time as such agency distributes other Federal funds to those schools, consistent with the State’s charter law.

      ‘(6) PURCHASE OF INSTRUCTIONAL MATERIALS- Not later than 2 years after the date of the enactment of the Improving Education Results for Children With Disabilities Act of 2003, the local educational agency, when purchasing instructional materials for use in public elementary and secondary schools within the local educational agency, requires the publisher of the instructional materials, as a part of any purchase agreement that is made, renewed, or revised, to prepare and supply electronic files containing the contents of the instructional materials using the national instructional materials accessibility standard described in section 612(a)(23).

      ‘(7) INFORMATION FOR STATE EDUCATIONAL AGENCY- The local educational agency shall provide the State educational agency with information necessary to enable the State educational agency to carry out its duties under this part, including, with respect to paragraphs (15) and (16) of section 612(a), information relating to the performance of children with disabilities participating in programs carried out under this part.

      ‘(8) PUBLIC INFORMATION- The local educational agency shall make available to parents of children with disabilities and to the general public all documents relating to the eligibility of such agency under this part.

      ‘(9) RECORDS REGARDING MIGRATORY CHILDREN WITH DISABILITIES- The local educational agency shall cooperate in the Secretary’s efforts under section 1308 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6398) to ensure the linkage of records pertaining to migratory children with a disability for the purpose of electronically exchanging, among the States, health and educational information regarding such children.

    ‘(b) EXCEPTION FOR PRIOR LOCAL PLANS-

      ‘(1) IN GENERAL- If a local educational agency or State agency has on file with the State educational agency policies and procedures that demonstrate that such local educational agency, or such State agency, as the case may be, meets any requirement of subsection (a), including any policies and procedures filed under this part as in effect before the effective date of the Improving Education Results for Children With Disabilities Act of 2003, the State educational agency shall consider such local educational agency or State agency, as the case may be, to have met such requirement for purposes of receiving assistance under this part.

      ‘(2) MODIFICATION MADE BY LOCAL EDUCATIONAL AGENCY- Subject to paragraph (3), an application submitted by a local educational agency in accordance with this section shall remain in effect until it submits to the State educational agency such modifications as the local educational agency deems necessary.

      ‘(3) MODIFICATIONS REQUIRED BY STATE EDUCATIONAL AGENCY- If, after the date of the enactment of the Improving Education Results for Children With Disabilities Act of 2003, the provisions of this Act are amended (or the regulations developed to carry out this Act are amended), or there is a new interpretation of this Act by Federal or State courts, or there is an official finding of noncompliance with Federal or State law or regulations, the State educational agency may require a local educational agency to modify its application only to the extent necessary to ensure the local educational agency’s compliance with this part or State law.

    ‘(c) NOTIFICATION OF LOCAL EDUCATIONAL AGENCY OR STATE AGENCY IN CASE OF INELIGIBILITY- If the State educational agency determines that a local educational agency or State agency is not eligible under this section, the State educational agency shall notify the local educational agency or State agency, as the case may be, of that determination and shall provide such local educational agency or State agency with reasonable notice and an opportunity for a hearing.

    ‘(d) LOCAL EDUCATIONAL AGENCY COMPLIANCE-

      ‘(1) IN GENERAL- If the State educational agency, after reasonable notice and an opportunity for a hearing, finds that a local educational agency or State agency that has been determined to be eligible under this section is failing to comply with any requirement described in subsection (a), the State educational agency shall reduce or shall not provide any further payments to the local educational agency or State agency until the State educational agency is satisfied that the local educational agency or State agency, as the case may be, is complying with that requirement.

      ‘(2) ADDITIONAL REQUIREMENT- Any State agency or local educational agency in receipt of a notice described in paragraph (1) shall, by means of public notice, take such measures as may be necessary to bring the pendency of an action pursuant to this subsection to the attention of the public within the jurisdiction of such agency.

      ‘(3) CONSIDERATION- In carrying out its responsibilities under paragraph (1), the State educational agency shall consider any decision made in a hearing held under section 615 that is adverse to the local educational agency or State agency involved in that decision.

    ‘(e) JOINT ESTABLISHMENT OF ELIGIBILITY-

      ‘(1) JOINT ESTABLISHMENT-

        ‘(A) IN GENERAL- A State educational agency may require a local educational agency to establish its eligibility jointly with another local educational agency if the State educational agency determines that the local educational agency would be ineligible under this section because the local educational agency would not be able to establish and maintain programs of sufficient size and scope to effectively meet the needs of children with disabilities.

        ‘(B) CHARTER SCHOOL EXCEPTION- A State educational agency may not require a charter school that is a local educational agency to jointly establish its eligibility under subparagraph (A) unless it is explicitly permitted to do so under the State’s charter school statute.

      ‘(2) AMOUNT OF PAYMENTS- If a State educational agency requires the joint establishment of eligibility under paragraph (1), the total amount of funds made available to the affected local educational agencies shall be equal to the sum of the payments that each such local educational agency would have received under section 611(f) if such agencies were eligible for such payments.

      ‘(3) REQUIREMENTS- Local educational agencies that establish joint eligibility under this subsection shall--

        ‘(A) adopt policies and procedures that are consistent with the State’s policies and procedures under section 612(a); and

        ‘(B) be jointly responsible for implementing programs that receive assistance under this part.

      ‘(4) REQUIREMENTS FOR EDUCATIONAL SERVICE AGENCIES-

        ‘(A) IN GENERAL- If an educational service agency is required by State law to carry out programs under this part, the joint responsibilities given to local educational agencies under this subsection shall--

          ‘(i) not apply to the administration and disbursement of any payments received by that educational service agency; and

          ‘(ii) be carried out only by that educational service agency.

        ‘(B) ADDITIONAL REQUIREMENT- Notwithstanding any other provision of this subsection, an educational service agency shall provide for the education of children with disabilities in the least restrictive environment, as required by section 612(a)(5).

    ‘(f) PREREFERRAL SERVICES-

      ‘(1) IN GENERAL- A local educational agency may use not more than 15 percent of the amount such agency receives under this part for any fiscal year, in combination with other amounts (which may include amounts other than education funds), to develop and implement comprehensive coordinated prereferral educational support services for students in kindergarten through grade 12 (with a particular emphasis on students in grades kindergarten through 3) who have not been identified as needing special education or related services but who need additional academic and behavioral support to succeed in a general education environment.

      ‘(2) ACTIVITIES- In implementing comprehensive coordinated prereferral educational services under this subsection, a local educational agency may carry out the following activities:

        ‘(A) Professional development (which may be provided by entities other than local educational agencies) for teachers to enable them to deliver scientifically based academic and behavioral interventions, including scientifically based literacy instruction.

        ‘(B) Providing educational evaluations, services, and supports, including scientifically based literacy instruction and speech therapy.

        ‘(C) Providing behavioral evaluations and services and supports, including positive behavioral interventions and supports.

      ‘(3) EXCLUSION- Nothing in this subsection shall be construed to either limit or create a right to a free appropriate public education under this part.

      ‘(4) REPORTING- Each local educational agency that develops and maintains comprehensive coordinated prereferral educational support services under this subsection shall annually report to the State educational agency on--

        ‘(A) the number of students served under this subsection; and

        ‘(B) the number of students served under this subsection who subsequently receive special education and related services under this Act during the preceding 2-year period.

      ‘(5) COORDINATION WITH THE ELEMENTARY AND SECONDARY EDUCATION ACT OF 1965-

        ‘(A) IN GENERAL- Comprehensive coordinated prereferral educational support services provided under this subsection may be aligned with activities funded by, and carried out under, the Elementary and Secondary Education Act of 1965, such as the Reading First program under subpart 1 of part B of title I of such Act, the Early Reading First program under subpart 2 of part B of title I of such Act, reading and math supports under part A of title I of such Act, and behavior intervention supports, that improve results for children with disabilities.

        ‘(B) MAINTENANCE OF EFFORT- Funds used under this section shall be used to supplement, and not supplant, funds made available under the Elementary and Secondary Education Act of 1965.

    ‘(g) DIRECT SERVICES BY THE STATE EDUCATIONAL AGENCY-

      ‘(1) IN GENERAL- A State educational agency shall use the payments that would otherwise have been available to a local educational agency or to a State agency to provide special education and related services directly to children with disabilities residing in the area served by that local agency, or for whom that State agency is responsible, if the State educational agency determines that the local education agency or State agency, as the case may be--

        ‘(A) has not provided the information needed to establish the eligibility of such agency under this section;

        ‘(B) is unable to establish and maintain programs of free appropriate public education that meet the requirements of subsection (a);

        ‘(C) is unable or unwilling to be consolidated with one or more local educational agencies in order to establish and maintain such programs; or

        ‘(D) has one or more children with disabilities who can best be served by a regional or State program or service-delivery system designed to meet the needs of such children.

      ‘(2) MANNER AND LOCATION OF EDUCATION AND SERVICES- The State educational agency may provide special education and related services under paragraph (1) in such manner and at such locations (including regional or State centers) as the State agency considers appropriate. Such education and services shall be provided in accordance with this part.

    ‘(h) STATE AGENCY ELIGIBILITY- Any State agency that desires to receive a subgrant for any fiscal year under section 611(f) shall demonstrate to the satisfaction of the State educational agency that--

      ‘(1) all children with disabilities who are participating in programs and projects funded under this part receive a free appropriate public education, and that those children and their parents are provided all the rights and procedural safeguards described in this part; and

      ‘(2) the agency meets such other conditions of this section as the Secretary determines to be appropriate.

    ‘(i) DISCIPLINARY INFORMATION- The State may require that a local educational agency include in the records of a child with a disability a statement of any current or previous disciplinary action that has been taken against the child and transmit such statement to the same extent that such disciplinary information is included in, and transmitted with, the student records of nondisabled children. The statement may include a description of any behavior engaged in by the child that required disciplinary action, a description of the disciplinary action taken, and any other information that is relevant to the safety of the child and other individuals involved with the child. If the State adopts such a policy, and the child transfers from one school to another, the transmission of any of the child’s records must include both the child’s current individualized education program and any such statement of current or previous disciplinary action that has been taken against the child.’.

SEC. 204. EVALUATIONS, ELIGIBILITY DETERMINATIONS, INDIVIDUALIZED EDUCATION PROGRAMS, AND EDUCATIONAL PLACEMENTS.

    Section 614 of the Individuals with Disabilities Education Act (20 U.S.C. 1414) is amended to read as follows:

‘SEC. 614. EVALUATIONS, ELIGIBILITY DETERMINATIONS, INDIVIDUALIZED EDUCATION PROGRAMS, AND EDUCATIONAL PLACEMENTS.

    ‘(a) EVALUATIONS, PARENTAL CONSENT, AND REEVALUATIONS-

      ‘(1) INITIAL EVALUATIONS-

        ‘(A) IN GENERAL- A State educational agency, other State agency, or local educational agency shall conduct a full and individual initial evaluation, in accordance with this paragraph and subsection (b), before the initial provision of special education and related services to a child with a disability under this part.

        ‘(B) REQUEST FOR INITIAL EVALUATION- Consistent with subparagraph (D), either a parent of a child, a State educational agency, other State agency as appropriate, or local educational agency may initiate a request for an initial evaluation to determine if the child is a child with a disability.

        ‘(C) PROCEDURES- Such initial evaluation shall consist of procedures--

          ‘(i) to determine whether a child is a child with a disability (as defined in section 602(3)); and

          ‘(ii) to determine the educational needs of such child.

        ‘(D) PARENTAL CONSENT-

          ‘(i) IN GENERAL-

            ‘(I) CONSENT FOR INITIAL EVALUATION- The agency proposing to conduct an initial evaluation to determine if the child qualifies as a child with a disability as defined in section 602(3)(A) or 602(3)(B) shall obtain informed consent from the parent of such child before conducting the evaluation. Parental consent for evaluation shall not be construed as consent for placement for receipt of special education and related services.

            ‘(II) CONSENT FOR SERVICES- An agency that is responsible for making a free appropriate public education available to a child with a disability under this part shall seek to obtain informed consent from the parent of such child before providing special education and related services to the child.

          ‘(ii) ABSENCE OF CONSENT-

            ‘(I) FOR INITIAL EVALUATION- If the parent of such child does not provide consent for an initial evaluation under clause (i)(I), or the parent fails to respond to a request to provide the consent, the local educational agency may pursue the initial evaluation of the child through the procedures described in section 615, except to the extent inconsistent with State law relating to such parental consent.

            ‘(II) FOR SERVICES- If the parent of such child does not provide consent for services under clause (i)(II), or the parent fails to respond to a request to provide the consent, the local educational agency shall not provide special education and related services to the child through the procedures described in section 615.

            ‘(III) EFFECT ON AGENCY OBLIGATIONS- In any case for which there is an absence of consent for an initial evaluation under subclause (I), or for which there is an absence of consent for services under subclause (II)--

‘(aa) the local educational agency shall not be required to convene an IEP meeting or develop an IEP under this section for the child; and

‘(bb) the local educational agency shall not be considered to be in violation of any requirement under this part (including the requirement to make available a free appropriate public education to the child) with respect to the lack of an initial evaluation of the child, an IEP meeting with respect to the child, or the development of an IEP under this section for the child.

        ‘(E) RULE OF CONSTRUCTION- The screening of a student by a teacher or specialist to determine appropriate instructional strategies for curriculum implementation shall not be considered to be an evaluation for eligibility for special education and related services.

      ‘(2) REEVALUATIONS-

        ‘(A) IN GENERAL- A local educational agency shall ensure that a reevaluation of each child with a disability is conducted in accordance with subsections (b) and (c)--

          ‘(i) if the local educational agency determines that the educational needs, including improved academic achievement, of the child warrant a reevaluation; or

          ‘(ii) if the child’s parent or teacher requests a reevaluation.

        ‘(B) LIMITATION- A reevaluation conducted under subparagraph (A) shall occur--

          ‘(i) no more than once a year, unless the parent and the local educational agency agree otherwise; and

          ‘(ii) at least once every three years, unless the parent and the local educational agency agree that a reevaluation is unnecessary.

    ‘(b) EVALUATION PROCEDURES-

      ‘(1) NOTICE- The local educational agency shall provide notice to the parent of a child with a disability, in accordance with subsections (b)(3), (b)(4), and (c) of section 615, that describes any evaluation procedures such agency proposes to conduct.

      ‘(2) CONDUCT OF EVALUATION- In conducting the evaluation, the local educational agency shall--

        ‘(A) use multiple up-to-date measures and assessments to gather relevant functional, developmental, and academic information, including information provided by the parent, to assist in determining--

          ‘(i) whether the child is a child with a disability; and

          ‘(ii) the content of the child’s individualized education program, including information related to enabling the child to be involved in and progress in the general education curriculum or, for preschool children, to participate in appropriate activities;

        ‘(B) not use any single measure or assessment as the sole criterion for determining whether a child is a child with a disability or determining an appropriate educational program for the child; and

        ‘(C) use technically sound instruments that may assess the relative contribution of cognitive and behavioral factors, in addition to physical or developmental factors.

      ‘(3) ADDITIONAL REQUIREMENTS- Each local educational agency shall ensure that--

        ‘(A) assessments and other evaluation measures used to assess a child under this section--

          ‘(i) are selected and administered so as not to be discriminatory on a racial or cultural basis;

          ‘(ii) are provided and administered, to the extent practicable, in the language and form most likely to yield accurate academic and developmental data;

          ‘(iii) are used for the purposes for which the assessments or measures are valid and reliable;

          ‘(iv) are administered by trained and knowledgeable personnel; and

          ‘(v) are administered in accordance with any instructions provided by the producer of such tests;

        ‘(B) the child is assessed in all areas of suspected disability; and

        ‘(C) assessment tools and strategies that provide relevant information that directly assists persons in determining the educational needs of the child are provided.

      ‘(4) DETERMINATION OF ELIGIBILITY AND EDUCATIONAL NEED- Upon completion of the administration of assessments and other evaluation measures--

        ‘(A) the determination of whether the child is a child with a disability as defined in section 602(3) and the educational needs of the child shall be made by a team of qualified professionals and the parent of the child in accordance with paragraph (5); and

        ‘(B) a copy of the evaluation report and the documentation of determination of eligibility will be given to the parent.

      ‘(5) SPECIAL RULE FOR ELIGIBILITY DETERMINATION- In making a determination of eligibility under paragraph (4)(A), a child shall not be determined to be a child with a disability if the determinant factor for such determination is--

        ‘(A) lack of scientifically based instruction practices and programs that contain the essential components of reading instruction (as that term is defined in section 1208(3) of the Elementary and Secondary Education Act of 1965);

        ‘(B) lack of instruction in math; or

        ‘(C) limited English proficiency.

      ‘(6) SPECIFIC LEARNING DISABILITIES-

        ‘(A) IN GENERAL- Notwithstanding section 607 of this Act, when determining whether a child has a specific learning disability as defined under this Act, the local educational agency shall not be required to take into consideration whether the child has a severe discrepancy between achievement and intellectual ability in oral expression, listening comprehension, written expression, basic reading skill, reading comprehension, mathematical calculation, or mathematical reasoning.

        ‘(B) ADDITIONAL AUTHORITY- In determining whether a child has a specific learning disability, a local educational agency may use a process which determines if a child responds to scientific, research-based intervention.

    ‘(c) ADDITIONAL REQUIREMENTS FOR EVALUATION AND REEVALUATIONS-

      ‘(1) REVIEW OF EXISTING EVALUATION DATA- As part of an initial evaluation (if appropriate) and as part of any reevaluation under this section, the IEP Team described in subsection (d)(1)(B) and other qualified professionals, as appropriate, shall--

        ‘(A) review existing evaluation data on the child, including evaluations and information provided by the parents of the child, current classroom-based local or State assessments, and classroom-based observations, and teacher and related services providers observations; and

        ‘(B) on the basis of that review, and input from the child’s parents, identify what additional data, if any, are needed to determine--

          ‘(i) whether the child is a child with a disability as defined in section 602(3), and the educational needs of the child, or, in case of a reevaluation of a child, whether the child continues to have such a disability and such educational needs;

          ‘(ii) the present levels of academic achievement and related developmental needs of the child;

          ‘(iii) whether the child needs special education and related services, or in the case of a reevaluation of a child, whether the child continues to need special education and related services; and

          ‘(iv) whether any additions or modifications to the special education and related services are needed to enable the child to meet the measurable annual goals set out in the individualized education program of the child and to participate, as appropriate, in the general education curriculum.

      ‘(2) SOURCE OF DATA- The local educational agency shall administer such assessments and other evaluation measures as may be needed to produce the data identified by the IEP Team under paragraph (1)(B).

      ‘(3) PARENTAL CONSENT- Each local educational agency shall obtain informed parental consent, in accordance with subsection (a)(1)(D), prior to conducting any reevaluation of a child with a disability, except that such informed parental consent need not be obtained if the local educational agency can demonstrate that it had taken reasonable measures to obtain such consent and the child’s parent has failed to respond.

      ‘(4) REQUIREMENTS IF ADDITIONAL DATA ARE NOT NEEDED- If the IEP Team and other qualified professionals, as appropriate, determine that no additional data are needed to determine whether the child continues to be a child with a disability and to determine the child’s educational needs, the local educational agency--

        ‘(A) shall notify the child’s parents of--

          ‘(i) that determination and the reasons for it; and

          ‘(ii) the right of such parents to request an assessment to determine whether the child continues to be a child with a disability and to determine the child’s educational needs; and

        ‘(B) shall not be required to conduct such an assessment unless requested to by the child’s parents.

      ‘(5) EVALUATIONS BEFORE CHANGE IN ELIGIBILITY- A local educational agency shall evaluate a child with a disability in accordance with this section prior to graduation, and before determining that the child is no longer a child with a disability, only in instances where the IEP Team is not in agreement regarding the change in eligibility.

    ‘(d) INDIVIDUALIZED EDUCATION PROGRAMS-

      ‘(1) DEFINITIONS- As used in this title:

        ‘(A) INDIVIDUALIZED EDUCATION PROGRAM-

          ‘(i) IN GENERAL- The term ‘individualized education program’ or ‘IEP’ means a written statement for each child with a disability that is developed, reviewed, and revised in accordance with this section and that includes--

            ‘(I) a statement of the child’s present levels of academic achievement, including--

‘(aa) how the child’s disability affects the child’s involvement and progress in the general education curriculum;

‘(bb) for preschool children, as appropriate, how the disability affects the child’s participation in appropriate activities; and

‘(cc) until the beginning of the 2005-2006 school year, a description of benchmarks or short-term objectives, except in the case of children with disabilities who take alternate assessments aligned to alternate achievement standards, a description of benchmarks or short-term objectives shall continue to be included;

            ‘(II) a statement of measurable annual goals designed to--

‘(aa) meet the child’s needs that result from the child’s disability to enable the child to be involved in and make progress in the general education curriculum; and

‘(bb) meet the child’s other educational needs that result from the child’s disability;

            ‘(III) a statement of the special education and related services and supplementary aids and services, based on peer-reviewed research to the extent practicable, to be provided to the child, or on behalf of the child, and a statement of the program modifications or supports for school personnel that will be provided for the child--

‘(aa) to advance appropriately toward attaining the annual goals;

‘(bb) to be involved in and make progress in the general education curriculum in accordance with subclause (I) and to participate in extracurricular and other nonacademic activities; and

‘(cc) to be educated and participate with other children with disabilities and nondisabled children in the activities described in this paragraph;

            ‘(IV) an explanation of the extent, if any, to which the child will not participate with nondisabled children in the regular class and in the activities described in subclause (III)(cc);

            ‘(V)(aa) a statement of any individual appropriate accommodations in the administration of State or districtwide assessments of student achievement that are necessary to measure the academic achievement of the child consistent with section 612(a)(16)(A)(ii); and

            ‘(bb) if the IEP Team determines that the child will not participate in a particular State or districtwide assessment of student achievement (or part of such an assessment), a statement of--

‘(AA) why that assessment is not appropriate for the child; and

‘(BB) how the child will be assessed consistent with 612(a)(16)(A);

            ‘(VI) the projected date for the beginning of the services and modifications described in subclause (III), and the anticipated frequency, location, and duration of those services and modifications;

            ‘(VII)(aa) beginning at age 14, and updated annually, a statement of the transition service needs of the child under the applicable components of the child’s IEP that focuses on the child’s courses of study (such as participation in advanced-placement courses or a vocational education program);

            ‘(bb) beginning at age 16 (or younger, if determined appropriate by the IEP Team), a statement of needed transition services for the child, including, when appropriate, a statement of the interagency responsibilities or any needed linkages; and

            ‘(cc) beginning at least 1 year before the child reaches the age of majority under State law, a statement that the child has been informed of his or her rights under this title, if any, that will transfer to the child on reaching the age of majority under section 615(l); and

            ‘(VIII) a statement of--

‘(aa) how the child’s progress toward the annual goals described in subclause (II) will be measured; and

‘(bb) how the child’s parents will be regularly informed (by such means as periodic report cards), at least as often as parents are informed of their nondisabled children’s progress, of the sufficiency of their child’s progress toward the annual goals described in subclause (II).

          ‘(ii) RULE OF CONSTRUCTION- Nothing in this subparagraph shall be construed to require--

            ‘(I) that additional information be included in a child’s IEP beyond what is required in this subsection; and

            ‘(II) the IEP Team to include information under one component of a child’s IEP that is already contained under another component of such IEP.

        ‘(B) INDIVIDUALIZED EDUCATION PROGRAM TEAM- The term ‘individualized education program team’ or ‘IEP Team’ means a group of individuals composed of--

          ‘(i) the parents of a child with a disability;

          ‘(ii) a regular education teacher of such child, but such teacher shall not be required to attend a meeting or part of a meeting of the IEP Team involving issues not related to the child’s participation in the regular education environment, nor shall multiple regular education teachers, if the child has more than one regular education teacher, be required to attend a meeting, or part of a meeting, of the IEP team;

          ‘(iii) at least 1 special education teacher, or where appropriate, at least 1 special education provider of such child;

          ‘(iv) a representative of the local educational agency who--

            ‘(I) is qualified to provide, or supervise the provision of, specially designed instruction to meet the unique needs of children with disabilities;

            ‘(II) is knowledgeable about the general education curriculum; and

            ‘(III) is knowledgeable about the availability of resources of the local educational agency;

          ‘(v) an individual who can interpret the instructional implications of evaluation results, who may be a member of the team described in clauses (ii) through (vi);

          ‘(vi) at the discretion of the parent or the agency, other individuals who have knowledge or special expertise regarding the child, including related services personnel as appropriate; and

          ‘(vii) whenever appropriate, the child with a disability.

      ‘(2) REQUIREMENT THAT PROGRAM BE IN EFFECT-

        ‘(A) IN GENERAL- At the beginning of each school year, each local educational agency, State educational agency, or other State agency, as the case may be, shall have in effect, for each child with a disability in its jurisdiction, an individualized education program, as defined in paragraph (1)(A).

        ‘(B) PROGRAM FOR CHILD AGED 3 THROUGH 5- In the case of a child with a disability aged 3 through 5 (or, at the discretion of the State educational agency, a 2 year-old child with a disability who will turn age 3 during the school year), the IEP Team shall consider the individualized family service plan that contains the material described in section 636, and that is developed in accordance with this section, and the individualized family service plan may serve as the IEP of the child if using that plan as the IEP is--

          ‘(i) consistent with State policy; and

          ‘(ii) agreed to by the agency and the child’s parents.

      ‘(3) DEVELOPMENT OF IEP-

        ‘(A) IN GENERAL- In developing each child’s IEP, the IEP Team, subject to subparagraph (C), shall consider--

          ‘(i) the results of the initial evaluation or most recent evaluation of the child;

          ‘(ii) the academic and developmental needs of the child;

          ‘(iii) the strengths of the child; and

          ‘(iv) the concerns of the parents for enhancing the education of their child.

        ‘(B) CONSIDERATION OF SPECIAL FACTORS- The IEP Team shall--

          ‘(i) in the case of a child whose behavior impedes his or her learning or that of others, consider the use of positive behavioral interventions and supports, and other strategies, to address that behavior;

          ‘(ii) in the case of a child with limited English proficiency, consider the language needs of the child as such needs relate to the child’s IEP;

          ‘(iii) in the case of a child who is blind or visually impaired, provide for instruction in Braille and the use of Braille unless the IEP Team determines, after an evaluation of the child’s reading and writing skills, needs, and appropriate reading and writing media (including an evaluation of the child’s future needs for instruction in Braille or the use of Braille), that instruction in Braille or the use of Braille is not appropriate for the child;

          ‘(iv) consider the communication needs of the child, and in the case of a child who is deaf or hard of hearing, consider the child’s language and communication needs, opportunities for direct communications with peers and professional personnel in the child’s language and communication mode, academic level, and full range of needs, including opportunities for direct instruction in the child’s language and communication mode; and

          ‘(v) consider whether the child needs assistive technology devices and services.

        ‘(C) REQUIREMENT WITH RESPECT TO REGULAR EDUCATION TEACHER- The regular education teacher of the child, if a member of the IEP Team pursuant to paragraph (1)(B)(ii), shall, to the extent appropriate, participate in the development of the IEP of the child, including the determination of appropriate positive behavioral interventions and supports, and other strategies and the determination of supplementary aids and services, program modifications, and support for school personnel consistent with paragraph (1)(A)(i)(III).

        ‘(D) IEP TEAM ATTENDANCE- The parent of a child with a disability and the local educational agency may jointly excuse any member of the IEP Team from attending all or part of an IEP meeting if they agree that the member’s attendance is not necessary. The IEP Team shall obtain the member’s input prior to an IEP meeting from which the member is excused.

        ‘(E) AGREEMENT ON MEETING- In making changes to a child’s IEP after the annual IEP meeting, the parent of a child with a disability and the local educational agency may agree not to reconvene the IEP team and instead develop a written document to amend or modify the child’s current IEP.

        ‘(F) CONSOLIDATION OF IEP TEAM MEETINGS- To the extent possible, the local educational agency shall encourage the consolidation of IEP Team meetings for a child.

        ‘(G) AMENDMENTS- Changes to the IEP may be made either by the entire IEP Team or, as provided in subparagraph (E), by amending the IEP rather than by redrafting the entire IEP.

      ‘(4) REVIEW AND REVISION OF IEP-

        ‘(A) IN GENERAL- The local educational agency shall ensure that, subject to subparagraph (B), the IEP Team--

          ‘(i) reviews the child’s IEP periodically, but not less than annually, to determine whether the annual goals for the child are being achieved; and

          ‘(ii) revises the IEP as appropriate to address--

            ‘(I) any lack of expected progress toward the annual goals and in the general education curriculum, where appropriate;

            ‘(II) the results of any reevaluation conducted under this section;

            ‘(III) information about the child provided to, or by, the parents, as described in subsection (c)(1)(B);

            ‘(IV) the child’s anticipated needs; or

            ‘(V) other matters.

        ‘(B) REQUIREMENT WITH RESPECT TO REGULAR EDUCATION TEACHER- The regular education teacher of the child, if a member of the IEP Team, shall, consistent with this section, participate in the review and revision of the IEP of the child.

      ‘(5) MULTI-YEAR IEP-

        ‘(A) DEVELOPMENT- The local educational agency may offer to the parent of a child with a disability the option of developing a comprehensive multi-year IEP, not to exceed 3 years, that is designed to cover the natural transition points for the child. With the consent of the parent, the IEP Team shall develop an IEP, as described in paragraphs (1) and (3), that is designed to serve the child for the appropriate multi-year period, which includes a statement of--

          ‘(i) measurable goals pursuant to paragraph (1)(A)(i)(II), coinciding with natural transition points for the child, that will enable the child to be involved in and make progress in the general education curriculum and that will meet the child’s other needs that result from the child’s disability; and

          ‘(ii) measurable annual goals for determining progress toward meeting the goals described in clause (i).

        ‘(B) REVIEW AND REVISION OF MULTI-YEAR IEP-

          ‘(i) REQUIREMENT- The IEP Team shall conduct a review under paragraph (4) of the child’s multi-year IEP at each of the child’s natural transition points.

          ‘(ii) STREAMLINED ANNUAL REVIEW PROCESS- In years other than a child’s natural transition points, the local educational agency shall ensure that the IEP Team--

            ‘(I) provides an annual review of the child’s IEP to determine the child’s current levels of progress and determine whether the annual goals for the child are being achieved; and

            ‘(II) amends the IEP, as appropriate, to enable the child to continue to meet the measurable goals set out in the IEP.

          ‘(iii) COMPREHENSIVE REVIEW PROCESS- If the IEP Team determines, on the basis of the review under clause (i), that the child is not making sufficient progress toward the goals described in subparagraph (A), the local educational agency shall ensure that the IEP Team reviews the IEP under paragraph (4), within 30 calendar days.

          ‘(iv) PARENTAL PREFERENCE- At the request of the parent, the IEP Team shall conduct a review under paragraph (4) of the child’s multi-year IEP rather than a streamlined annual review under clause (ii).

        ‘(C) DEFINITION- As used in this paragraph, the term ‘natural transition points’ means those periods that are close in time to the transition of a child with a disability from preschool to elementary grades, from elementary grades to middle or junior high school grades, from middle or junior high school grades to high school grades, and from high school grades to post-secondary activities, but in no case longer than 3 years.

      ‘(6) FAILURE TO MEET TRANSITION OBJECTIVES- If a participating agency, other than the local educational agency, fails to provide the transition services described in the IEP in accordance with paragraph (1)(A)(i)(VII), the local educational agency shall reconvene the IEP Team to identify alternative strategies to meet the transition objectives for the child set out in that program.

      ‘(7) CHILDREN WITH DISABILITIES IN ADULT PRISONS-

        ‘(A) IN GENERAL- The following requirements do not apply to children with disabilities who are convicted as adults under State law and incarcerated in adult prisons:

          ‘(i) The requirements contained in section 612(a)(16) and paragraph (1)(A)(i)(V) of this subsection (relating to participation of children with disabilities in general assessments).

          ‘(ii) The requirements of items (aa) and (bb) of paragraph (1)(A)(i)(VII) of this subsection (relating to transition planning and transition services), do not apply with respect to such children whose eligibility under this part will end, because of their age, before they will be released from prison.

        ‘(B) ADDITIONAL REQUIREMENT- If a child with a disability is convicted as an adult under State law and incarcerated in an adult prison, the child’s IEP Team may modify the child’s IEP or placement notwithstanding the requirements of sections 612(a)(5)(A) and 614(d)(1)(A) if the State has demonstrated a bona fide security or compelling penological interest that cannot otherwise be accommodated.

    ‘(e) EDUCATIONAL PLACEMENTS- Each local educational agency or State educational agency shall ensure that the parents of each child with a disability are members of any group that makes decisions on the educational placement of their child.

    ‘(f) ALTERNATIVE MEANS OF MEETING PARTICIPATION- When conducting IEP team meetings and placement meetings pursuant to this section and 615, the parent of a child with a disability and a local educational agency may agree to use alternative means of meeting participation, such as video conferences and conference calls.’.

SEC. 205. PROCEDURAL SAFEGUARDS.

    (a) ESTABLISHMENT OF PROCEDURES- Section 615(a) of the Individuals with Disabilities Education Act (20 U.S.C. 1415(a)) is amended to read as follows:

    ‘(a) ESTABLISHMENT OF PROCEDURES- Any State educational agency, State agency, or local educational agency that receives assistance under this part shall establish and maintain procedures in accordance with this section to ensure that children with disabilities and their parents are guaranteed procedural safeguards with respect to the provision of free appropriate public education by such agencies.’.

    (b) TYPES OF PROCEDURES- Section 615(b) of the Individuals with Disabilities Education Act (20 U.S.C. 1415(b)) is amended to read as follows:

    ‘(b) TYPES OF PROCEDURES- The procedures required by this section shall include--

      ‘(1) an opportunity for the parents of a child with a disability to examine all records relating to such child and to participate in meetings with respect to the identification, evaluation, and educational placement of the child, and the provision of a free appropriate public education to such child, and to obtain as appropriate an independent educational evaluation of the child;

      ‘(2) procedures to protect the rights of the child whenever the parents of the child are not known, the agency cannot, after reasonable efforts, locate the parents, or the child is a ward of the State, including the assignment of an individual (who shall not be an employee of the State educational agency, the local educational agency, or any other agency that is involved in the education or care of the child) to act as a surrogate for the parents;

      ‘(3) written prior notice to the parents of the child whenever such agency--

        ‘(A) proposes to initiate or change; or

        ‘(B) refuses to initiate or change;

      the identification, evaluation, or educational placement of the child, in accordance with subsection (c), or the provision of a free appropriate public education to the child;

      ‘(4) procedures designed to ensure that the notice required by paragraph (3) is in the native language of the parents, unless it clearly is not feasible to do so;

      ‘(5) an opportunity for mediation and voluntary binding arbitration, in accordance with subsection (e);

      ‘(6) an opportunity to present complaints--

        ‘(A) with respect to any matter relating to the identification, evaluation, or educational placement of the child, or the provision of a free appropriate public education to such child; and

        ‘(B) which set forth a violation that occurred not more than one year before the complaint is filed;

      ‘(7)(A) procedures that require the parent of a child with a disability, or the attorney representing the child, to provide notice (which shall remain confidential)--

        ‘(i) to the local educational agency or State educational agency (if the State educational agency is the direct provider of services pursuant to section 613(g)), in the complaint filed under paragraph (6); and

        ‘(ii) that shall include--

          ‘(I) the name of the child, the address of the residence of the child (or, in the case of a homeless child or youth (within the meaning of section 725(2) of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11434a(2)), available contact information for the child), and the name of the school the child is attending;

          ‘(II) a description of the specific issues regarding the nature of the problem of the child relating to such proposed initiation or change, including facts relating to such problem; and

          ‘(III) a proposed resolution of the problem to the extent known and available to the parents at the time;

      ‘(B) a requirement that a parent of a child with a disability may not have a due process hearing until the parent, or the attorney representing the child, files a notice that meets the requirements of this paragraph; and

      ‘(8) procedures that require the State educational agency to develop a model form to assist parents in filing a complaint in accordance with paragraph (7).’.

    (c) CONTENT OF PRIOR WRITTEN NOTICE- Section 615(c) of the Individuals with Disabilities Education Act (20 U.S.C. 1415(c)) is amended to read as follows:

    ‘(c) CONTENT OF PRIOR WRITTEN NOTICE- The notice required by subsection (b)(3) shall include--

      ‘(1) a description of the action proposed or refused by the agency;

      ‘(2) an explanation of why the agency proposes or refuses to take the action and a description of each evaluation procedure, test, record, or report the agency used as a basis for the proposed or refused action;

      ‘(3) a statement that the parents of a child with a disability have protection under the procedural safeguards of this part and, if this notice is not an initial referral for evaluation, the means by which a copy of a description of the procedural safeguards can be obtained; and

      ‘(4) sources for parents to contact to obtain assistance in understanding the provisions of this part.’.

    (d) PROCEDURAL SAFEGUARDS NOTICE- Section 615(d) of the Individuals with Disabilities Education Act (20 U.S.C. 1415(d)) is amended to read as follows:

    ‘(d) PROCEDURAL SAFEGUARDS NOTICE-

      ‘(1) IN GENERAL- A copy of the procedural safeguards available to the parents of a child with a disability shall be given to the parents, at a minimum--

        ‘(A) upon initial referral or parental request for evaluation;

        ‘(B) annually, at the beginning of the school year; and

        ‘(C) upon written request by a parent.

      ‘(2) CONTENTS- The procedural safeguards notice shall include a description of the procedural safeguards, written in the native language of the parents, unless it clearly is not feasible to do so, and written in an easily understandable manner, available under this section and under regulations promulgated by the Secretary relating to--

        ‘(A) independent educational evaluation;

        ‘(B) prior written notice;

        ‘(C) parental consent;

        ‘(D) access to educational records;

        ‘(E) opportunity to present complaints;

        ‘(F) the child’s placement during pendency of due process proceedings;

        ‘(G) procedures for students who are subject to placement in an interim alternative educational setting;

        ‘(H) requirements for unilateral placement by parents of children in private schools at public expense;

        ‘(I) mediation, early dispute resolution, and voluntary binding arbitration;

        ‘(J) due process hearings, including requirements for disclosure of evaluation results and recommendations;

        ‘(K) civil actions; and

        ‘(L) attorneys’ fees.’.

    (e) MEDIATION AND VOLUNTARY BINDING ARBITRATION- Section 615(e) of the Individuals with Disabilities Education Act (20 U.S.C. 1415(e)) is amended to read as follows:

    ‘(e) MEDIATION AND VOLUNTARY BINDING ARBITRATION-

      ‘(1) MEDIATION-

        ‘(A) IN GENERAL- Any State educational agency or local educational agency that receives assistance under this part shall ensure that procedures are established and implemented to allow parties to disputes involving any matter, including matters arising prior to the filing of a complaint pursuant to subsection (b)(6), to resolve such disputes through a mediation process.

        ‘(B) REQUIREMENTS- Such procedures shall meet the following requirements:

          ‘(i) The procedures shall ensure that the mediation process--

            ‘(I) is voluntary on the part of the parties;

            ‘(II) is not used to deny or delay a parent’s right to a due process hearing under subsection (f), or to deny any other rights afforded under this part; and

            ‘(III) is conducted by a qualified and impartial mediator who is trained in effective mediation techniques.

          ‘(ii) A local educational agency or a State agency may establish procedures to offer to parents who choose not to use the mediation process, an opportunity to meet, at a time and location convenient to the parents, with a disinterested party who is under contract with--

            ‘(I) a parent training and information center in the State established under section 672; or

            ‘(II) an appropriate alternative dispute resolution entity;

          to encourage the use, and explain the benefits, of the mediation process to the parents.

          ‘(iii) The State shall maintain a list of individuals who are qualified mediators and knowledgeable in laws and regulations relating to the provision of special education and related services.

          ‘(iv) The State shall bear the cost of the mediation process, including the costs of meetings described in clause (ii).

          ‘(v) Each session in the mediation process shall be scheduled in a timely manner and shall be held in a location that is convenient to the parties to the dispute.

          ‘(vi) An agreement reached by the parties to the dispute in the mediation process shall be set forth in a written mediation agreement.

          ‘(vii) Discussions that occur during the mediation process shall be confidential and may not be used as evidence in any subsequent due process hearings or civil proceedings and the parties to the mediation process may be required to sign a confidentiality pledge prior to the commencement of such process.

      ‘(2) VOLUNTARY BINDING ARBITRATION-

        ‘(A) IN GENERAL- A State educational agency that receives assistance under this part shall ensure that procedures are established and implemented to allow parties to disputes involving any matter described in subsection (b)(6) to resolve such disputes through voluntary binding arbitration, which shall be available when a hearing is requested under subsection (f) or (j).

        ‘(B) REQUIREMENTS- Such procedures shall meet the following requirements:

          ‘(i) The procedures shall ensure that the voluntary binding arbitration process--

            ‘(I) is voluntarily and knowingly agreed to in writing by the parties; and

            ‘(II) is conducted by a qualified and impartial arbitrator.

          ‘(ii) A local educational agency or a State agency shall ensure that parents who choose to use voluntary binding arbitration understand that the process is in lieu of a due process hearing under subsection (f) or (j) and that the decision made by the arbitrator is final, unless there is fraud by a party or the arbitrator or misconduct on the part of the arbitrator.

          ‘(iii) The parties shall jointly agree to use an arbitrator from a list that the State shall maintain of individuals who are qualified arbitrators and knowledgeable in laws and regulations relating to the provision of special education and related services.

          ‘(iv) The arbitration shall be conducted according to State law on arbitration or, if there is no such applicable State law, in a manner consistent with the Revised Uniform Arbitration Act.

          ‘(v) The voluntary binding arbitration shall be scheduled in a timely manner and shall be held in a location that is convenient to the parties to the dispute.’.

    (f) IMPARTIAL DUE PROCESS HEARING- Section 615(f) of the Individuals with Disabilities Education Act (20 U.S.C. 1415(f)) is amended to read as follows:

    ‘(f) IMPARTIAL DUE PROCESS HEARING-

      ‘(1) IN GENERAL-

        ‘(A) ACCESS TO HEARING- Whenever a complaint has been received under subsection (b)(6) or (j) of this section, the parents or the local educational agency involved in such complaint shall have an opportunity for an impartial due process hearing, which shall be conducted by the State educational agency.

        ‘(B) RESOLUTION SESSION-

          ‘(i) IN GENERAL- Prior to the opportunity for an impartial due process hearing under subparagraph (A), the local educational agency shall convene a meeting with the parents--

            ‘(I) within 15 days of receiving notice of the parents’ complaint; and

            ‘(II) where the parents of the child discuss their complaint, and the specific issues that form the basis of the complaint, and the local educational agency is provided the opportunity to resolve the complaint;

          unless the parents and the local educational agency agree in writing to waive such meeting.

          ‘(ii) DUE PROCESS HEARING- If the local educational agency has not resolved the complaint to the satisfaction of the parents within 30 days of the receipt of the complaint, the due process hearing shall occur in accordance with subparagraph (A).

          ‘(iii) DEFINITION OF MEETING- A meeting conducted pursuant to clause (i) shall not be considered--

            ‘(I) a meeting convened as a result of an administrative hearing or judicial action; or

            ‘(II) an administrative hearing or judicial action for purposes of subsection (h)(3).

      ‘(2) DISCLOSURE OF EVALUATIONS AND RECOMMENDATIONS-

        ‘(A) IN GENERAL- At least 5 business days prior to a hearing conducted pursuant to paragraph (1), each party shall disclose to all other parties all evaluations completed by that date and recommendations based on the offering party’s evaluations that the party intends to use at the hearing.

        ‘(B) FAILURE TO DISCLOSE- A hearing officer may bar any party that fails to comply with subparagraph (A) from introducing the relevant evaluation or recommendation at the hearing without the consent of the other party.

      ‘(3) LIMITATION ON HEARING-

        ‘(A) HEARING OFFICER- A hearing conducted pursuant to paragraph (1)(A) may not be conducted by--

          ‘(i) an employee of the State educational agency or the local educational agency involved in the education or care of the child; or

          ‘(ii) any person having a personal or professional interest that would conflict with his or her objectivity in the hearing.

        ‘(B) SUBJECT MATTER OF HEARING- The parents of the child shall not be allowed to raise issues at the due process hearing that were not raised in the complaint or discussed during the meeting conducted pursuant to subparagraph (1)(B), unless the local educational agency agrees otherwise.

        ‘(C) DECISION OF HEARING OFFICER- A decision made by a hearing officer must be based on a determination of whether or not the child received a free appropriate public education.’.

    (g) APPEAL- Section 615 of the Individuals with Disabilities Education Act (20 U.S.C. 1415) is amended by striking subsection (g).

    (h) SAFEGUARDS- Section 615 of the Individuals with Disabilities Education Act (20 U.S.C. 1415) is amended--

      (1) by redesignating subsection (h) as subsection (g); and

      (2) by amending subsection (g) (as redesignated) to read as follows:

    ‘(g) SAFEGUARDS- Any party to a hearing conducted pursuant to subsection (f) or (j) shall be accorded--

      ‘(1) the right to be represented by counsel and by non-attorney advocates and to be accompanied and advised by individuals with special knowledge or training with respect to the problems of children with disabilities;

      ‘(2) the right to present evidence and confront, cross-examine, and compel the attendance of witnesses;

      ‘(3) the right to a written, or, at the option of the parents, electronic verbatim record of such hearing; and

      ‘(4) the right to written, or, at the option of the parents, electronic findings of fact and decisions (which findings and decisions shall be made available to the public consistent with the requirements of section 617(d)) (relating to the confidentiality of data, information, and records).’.

    (i) ADMINISTRATIVE PROCEDURES- Section 615 of the Individuals with Disabilities Education Act (20 U.S.C. 1415) is amended--

      (1) by redesignating subsection (i) as subsection (h); and

      (2) in subsection (h) (as redesignated)--

        (A) in paragraph (1)--

          (i) by striking ‘IN GENERAL- ’ and all that follows through ‘A decision made in a hearing’ and inserting ‘IN GENERAL- A decision made in a hearing’;

          (ii) by striking ‘(k)’ and inserting ‘(j)’;

          (iii) by striking ‘subsection (g) and’; and

          (iv) by striking subparagraph (B);

        (B) in paragraph (2)(A), by striking ‘subsection (f) or (k) who does not have the right to an appeal under subsection (g)’ and inserting ‘subsection (f) or (j)’; and

        (C) in paragraph (3), by amending subparagraph (C) to read as follows:

        ‘(C) DETERMINATION OF AMOUNT OF ATTORNEYS’ FEES-

          ‘(i) IN GENERAL- Fees awarded under this paragraph shall be based on rates determined by the Governor of the State (or other appropriate State official) in which the action or proceeding arose for the kind and quality of services furnished. No bonus or multiplier may be used in calculating the fees awarded under this subsection.

          ‘(ii) NOTICE- The Governor of the State (or other appropriate State official) shall make available to the public on an annual basis the rates described in clause (i).’.

    (j) MAINTENANCE OF CURRENT EDUCATIONAL PLACEMENT- Section 615 of the Individuals with Disabilities Education Act (20 U.S.C. 1415) is amended--

      (1) by redesignating subsection (j) as subsection (i); and

      (2) by amending subsection (i) (as redesignated) to read as follows:

    ‘(i) MAINTENANCE OF CURRENT EDUCATIONAL PLACEMENT- Except as provided in subsection (j)(4), during the pendency of any proceedings conducted pursuant to this section, unless the State or local educational agency and the parents otherwise agree, the child shall remain in the then-current educational placement of such child, or, if applying for initial admission to a public school, shall, with the consent of the parents, be placed in the public school program until all such proceedings have been completed.’.

    (k) PLACEMENT IN ALTERNATIVE EDUCATIONAL SETTING- Section 615 of the Individuals with Disabilities Education Act (20 U.S.C. 1415) is amended--

      (1) by redesignating subsection (k) as subsection (j); and

      (2) by amending subsection (j) (as redesignated) to read as follows:

    ‘(j) PLACEMENT IN ALTERNATIVE EDUCATIONAL SETTING-

      ‘(1) AUTHORITY OF SCHOOL PERSONNEL-

        ‘(A) IN GENERAL- School personnel under this section may order a change in the placement of a child with a disability who violates a code of student conduct policy to an appropriate interim alternative educational setting, another setting, or suspension, for not more than 10 school days (to the extent such alternatives would be applied to children without disabilities).

        ‘(B) ADDITIONAL AUTHORITY- Subject to subparagraph (C), and notwithstanding any other provision of this Act, school personnel under this section may order a change in the placement of a child with a disability who violates a code of student conduct policy to an appropriate interim alternative educational setting selected so as to enable the child to continue to participate in the general education curriculum, although in another setting, and to progress toward meeting the goals set out in the child’s IEP, for not more than 45 school days (to the extent such alternative and such duration would be applied to children without disabilities, and which may include consideration of unique circumstances on a case-by-case basis), except that the change in placement may last beyond 45 school days if required by State law or regulation for the violation in question, to ensure the safety and appropriate educational atmosphere in the schools under the jurisdiction of the local educational agency.

        ‘(C) SERVICES- A child with a disability who is removed from the child’s current placement under subparagraph (B) shall--

          ‘(i) continue to receive educational services selected so as to enable the child to continue to participate in the general education curriculum, although in another setting, and to progress toward meeting the goals set out in the child’s IEP; and

          ‘(ii) continue to receive behavioral intervention services designed to address the behavior violation so that it does not recur.

      ‘(2) DETERMINATION OF SETTING- The alternative educational setting described in paragraph (1)(B) shall be determined by the IEP Team.

      ‘(3) PARENT APPEAL-

        ‘(A) IN GENERAL- If the parent of a child with a disability disagrees with any decision regarding placement or punishment under this section, the parent may request a hearing.

        ‘(B) AUTHORITY OF HEARING OFFICER- If a parent of a child with a disability disagrees with a decision regarding placement of the child or punishment of the child under this section, including duration of the punishment, the hearing officer may determine whether the decision regarding such action was appropriate.

      ‘(4) PLACEMENT DURING APPEALS- When a parent requests a hearing regarding a disciplinary action described in paragraph (1)(B) to challenge the interim alternative educational setting or the violation of the code of student conduct policy, the child shall remain in the interim alternative educational setting pending the decision of the hearing officer or until the expiration of the time period provided for in paragraph (1)(B), whichever occurs first, unless the parent and the State or local educational agency agree otherwise.

      ‘(5) PROTECTIONS FOR CHILDREN NOT YET ELIGIBLE FOR SPECIAL EDUCATION AND RELATED SERVICES-

        ‘(A) IN GENERAL- A child who has not been determined to be eligible for special education and related services under this part and who has engaged in behavior that violates a code of student conduct policy, may assert any of the protections provided for in this part if the local educational agency had knowledge (as determined in accordance with this paragraph) that the child was a child with a disability before the behavior that precipitated the disciplinary action occurred.

        ‘(B) BASIS OF KNOWLEDGE- A local educational agency shall be deemed to have knowledge that a child is a child with a disability if, before the behavior that precipitated the disciplinary action occurred--

          ‘(i) the parent of the child has expressed concern in writing (unless the parent is illiterate or has a disability that prevents compliance with the requirements contained in this clause) to personnel of the appropriate educational agency that the child is in need of special education and related services;

          ‘(ii) the parent of the child has requested an evaluation of the child pursuant to section 614; or

          ‘(iii) the teacher of the child, or other personnel of the local educational agency, has expressed concern in writing about the behavior or performance of the child to the director of special education of such agency or to other personnel of the agency.

        ‘(C) CONDITIONS THAT APPLY IF NO BASIS OF KNOWLEDGE-

          ‘(i) IN GENERAL- If a local educational agency does not have knowledge that a child is a child with a disability (in accordance with subparagraph (B)) prior to taking disciplinary measures against the child, the child may be subjected to disciplinary measures applied to children without disabilities who engaged in comparable behaviors consistent with clause (ii).

          ‘(ii) LIMITATIONS- If a request is made for an evaluation of a child during the time period in which the child is subjected to disciplinary measures under paragraph (1) or (2), the evaluation shall be conducted in an expedited manner. If the child is determined to be a child with a disability, taking into consideration information from the evaluation conducted by the agency and information provided by the parents, the agency shall provide special education and related services in accordance with this part, except that, pending the results of the evaluation, the child shall remain in the educational placement determined by school authorities.

      ‘(6) REFERRAL TO AND ACTION BY LAW ENFORCEMENT AND JUDICIAL AUTHORITIES-

        ‘(A) IN GENERAL- Nothing in this part shall be construed to prohibit an agency from reporting a crime committed by a child with a disability to appropriate authorities or to prevent State law enforcement and judicial authorities from exercising their responsibilities with regard to the application of Federal and State law to crimes committed by a child with a disability.

        ‘(B) TRANSMISSION OF RECORDS- An agency reporting a crime committed by a child with a disability shall ensure that copies of the special education and disciplinary records of the child are transmitted for consideration by the appropriate authorities to whom it reports the crime.’.

    (l) RULE OF CONSTRUCTION- Section 615 of the Individuals with Disabilities Education Act (20 U.S.C. 1415) is amended by redesignating subsection (l) as subsection (k).

    (m) TRANSFER OF PARENTAL RIGHTS AT AGE OF MAJORITY- Section 615 of the Individuals with Disabilities Education Act (20 U.S.C. 1415) is amended--

      (1) by redesignating subsection (m) as subsection (l); and

      (2) by amending subsection (l) (as redesignated) to read as follows:

    ‘(l) TRANSFER OF PARENTAL RIGHTS AT AGE OF MAJORITY-

      ‘(1) IN GENERAL- A State that receives amounts from a grant under this part may provide that, when a child with a disability reaches the age of majority under State law (except for a child with a disability who has been determined to be incompetent under State law)--

        ‘(A) the public agency shall provide any notice required by this section to both the individual and the parents;

        ‘(B) all other rights accorded to parents under this part transfer to the child;

        ‘(C) the agency shall notify the individual and the parents of the transfer of rights; and

        ‘(D) all rights accorded to parents under this part transfer to children who are incarcerated in an adult or juvenile Federal, State, or local correctional institution.

      ‘(2) SPECIAL RULE- If, under State law, a child with a disability who has reached the age of majority under State law, who has not been determined to be incompetent, but who is determined not to have the ability to provide informed consent with respect to the educational program of the child, the State shall establish procedures for appointing the parent of the child, or if the parent is not available, another appropriate individual, to represent the educational interests of the child throughout the period of eligibility of the child under this part.’.

SEC. 206. MONITORING, ENFORCEMENT, WITHHOLDING, AND JUDICIAL REVIEW.

    Section 616 of the Individuals with Disabilities Education Act (20 U.S.C. 1416) is amended--

      (1) by amending the heading to read as follows:

‘SEC. 616. MONITORING, ENFORCEMENT, WITHHOLDING, AND JUDICIAL REVIEW.’;

      (2) by redesignating subsections (a) through (c) as subsections (e) through (g), respectively; and

      (3) by inserting before subsection (e) (as redesignated) the following:

    ‘(a) FEDERAL MONITORING-

      ‘(1) IN GENERAL- The Secretary shall monitor implementation of this Act.

      ‘(2) FOCUSED MONITORING- The primary focus of Federal monitoring activities shall be to improve educational results for all children with disabilities, while ensuring compliance with program requirements, with a particular emphasis on those requirements that are most closely related to improving educational results for children with disabilities.

    ‘(b) INDICATORS-

      ‘(1) REQUIRED INDICATORS- The Secretary shall examine relevant information and data related to States’ progress on improving educational results for children with disabilities by reviewing--

        ‘(A) achievement results of children with disabilities on State or district assessments, including children with disabilities taking State or district assessments with appropriate accommodations;

        ‘(B) achievement results of children with disabilities on State or district alternate assessments;

        ‘(C) graduation rates of children with disabilities and graduation rates of children with disabilities as compared to graduation rates of nondisabled children; and

        ‘(D) dropout rates for children with disabilities and dropout rates of children with disabilities as compared to dropout rates of nondisabled children.

      ‘(2) PERMISSIVE INDICATORS- The Secretary also may establish other priorities for review of relevant information and data, including data provided by States under section 618, and also including the following:

        ‘(A) PRIORITIES FOR THIS PART- The Secretary may give priority to monitoring on the following areas under this part:

          ‘(i) Provision of educational services in the least restrictive environment, including--

            ‘(I) education of children with disabilities with nondisabled peers to the maximum extent appropriate;

            ‘(II) provision of appropriate special education and related services;

            ‘(III) access to the general curriculum with appropriate accommodations;

            ‘(IV) provision of appropriate services to students whose behavior impedes learning; and

            ‘(V) participation and performance of children with disabilities on State and local assessments, including alternate assessments.

          ‘(ii) Secondary transition, including the extent to which youth exiting special education are prepared for post-secondary education, employment, and adult life, and are participants in appropriate transition planning while in school.

          ‘(iii) State exercise of general supervisory authority, including effective monitoring and use of complaint resolution, mediation, and voluntary binding arbitration.

        ‘(B) PRIORITIES FOR PART C- The Secretary may give priority to monitoring on the following areas under part C:

          ‘(i) Child find and public awareness to support the identification, evaluation and assessment of all eligible infants and toddlers, including the provision of culturally relevant materials to inform and promote referral.

          ‘(ii) Provision of early intervention services in natural environments, evaluation and assessment to identify child needs and family needs related to enhancing the development of the child, and provision of appropriate early intervention services in natural environments to meet the needs of individual children.

          ‘(iii) Effective early childhood transition to services under this part.

          ‘(iv) State exercise of general supervisory authority, including--

            ‘(I) effective monitoring and use of other mechanisms such as complaint resolution;

            ‘(II) implementation of mediation and voluntary binding arbitration; and

            ‘(III) coordination of parent and child protections.

      ‘(3) DATA COLLECTION AND ANALYSIS- The Secretary shall review the data collection and analysis capacity of States to ensure that data and information is collected, analyzed, and accurately reported to the Secretary. The Secretary may provide technical assistance to improve the capacity of States to meet data requirements.

    ‘(c) ADDITIONAL PRIORITIES-

      ‘(1) IN GENERAL- The Secretary may develop additional priorities for monitoring the effective implementation of this Act.

      ‘(2) PUBLIC COMMENT- The Secretary shall provide a public comment period of at least 30 days on any additional priority proposed under this part or part C.

      ‘(3) DATE OF ENFORCEMENT- The Secretary may not begin to enforce a new priority until one year from the date of publication of the priority in the Federal Register as a final rule.

    ‘(d) COMPLIANCE-

      ‘(1) IN GENERAL- The Secretary shall review State data to determine whether the State is in compliance with the provisions of this Act.

      ‘(2) LACK OF PROGRESS- If after examining data, as provided in section (b) or (c), the Secretary determines that a State is not making satisfactory progress in improving educational results for children with disabilities, the Secretary shall take one or more of the following actions:

        ‘(A) Advise the State of available sources of technical assistance that may help the State address the lack of progress, which may include assistance from the Office of Special Education Programs, other offices of the Department of Education, other Federal agencies, technical assistance providers approved by the Secretary, and other federally funded nonprofit agencies. Such technical assistance may include--

          ‘(i) the provision of advice by experts to address the areas of noncompliance, including explicit plans for ensuring compliance within a specified period of time;

          ‘(ii) assistance in identifying and implementing professional development, instructional strategies, and methods of instruction that are based on scientifically based research;

          ‘(iii) designating and using distinguished superintendents, principals, special education administrators, regular education teachers, and special education teachers to provide advice, technical assistance, and support; and

          ‘(iv) devising additional approaches to providing technical assistance, such as collaborating with institutions of higher education, educational service agencies, national centers of technical assistance supported under part D, and private providers of scientifically based technical assistance.

        ‘(B) Direct the use of State level funds for technical assistance on the area or areas of unsatisfactory performance.

        ‘(C) Each year withhold at least 20 but no more than 50 percent of the State’s funds under section 611(e), after providing the State the opportunity to show cause why the withholding should not occur, until the Secretary determines that sufficient progress has been made in improving educational results for children with disabilities.

      ‘(3) SUBSTANTIAL NON-COMPLIANCE-

        ‘(A) INITIAL DETERMINATION- When the Secretary determines that a State is not in substantial compliance with any provision of this part, the Secretary shall take one or more of the following actions:

          ‘(i) Request that the State prepare a corrective action plan or improvement plan if the Secretary determines that the State should be able to correct the problem within one year.

          ‘(ii) Identify the State as a high-risk grantee and impose special conditions on the State’s grant.

          ‘(iii) Require the State to enter into a compliance agreement under section 457 of the General Education Provisions Act, if the Secretary has reason to believe that the State cannot correct the problem within one year.

          ‘(iv) Recovery of funds under section 452 of the General Education Provisions Act.

          ‘(v)(I) Withholding of payments under subsection (e).

          ‘(II) Pending the outcome of any hearing to withhold payments under subsection (e), the Secretary may suspend payments to a recipient, suspend the authority of the recipient to obligate Federal funds, or both, after such recipient has been given reasonable notice and an opportunity to show cause why future payments or authority to obligate Federal funds should not be suspended.

        ‘(B) CONTINUED NON-COMPLIANCE-

          ‘(i) SECRETARIAL ACTION- If the Secretary has imposed special conditions on a grant under subparagraph (A)(ii) for substantially the same compliance problems for three consecutive years, and at the end of the third year the State has not demonstrated that the violation has been corrected to the satisfaction of the Secretary, the Secretary shall take such additional enforcement actions as the Secretary determines to be appropriate from among those actions specified in clauses (iii) through (v) of subparagraph (A).

          ‘(ii) REPORT TO CONGRESS- The Secretary shall report to Congress within 30 days of taking enforcement action pursuant to this paragraph on the specific action taken and the reasons why enforcement action was taken.’.

SEC. 207. ADMINISTRATION.

    Section 617 of the Individuals with Disabilities Education Act (20 U.S.C. 1417) is amended to read as follows:

‘SEC. 617. ADMINISTRATION.

    ‘(a) RESPONSIBILITIES OF SECRETARY- In carrying out this part, the Secretary shall--

      ‘(1) cooperate with, and (directly or by grant or contract) furnish technical assistance necessary to, the State in matters relating to--

        ‘(A) the education of children with disabilities; and

        ‘(B) carrying out this part; and

      ‘(2) provide short-term training programs and institutes.

    ‘(b) PROHIBITION AGAINST FEDERAL MANDATES, DIRECTION, OR CONTROL- Nothing in this Act may 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, curriculum, or program of instruction.

    ‘(c) CONFIDENTIALITY- The Secretary shall take appropriate action, in accordance with section 444 of the General Education Provisions Act (20 U.S.C. 1232g), to ensure the protection of the confidentiality of any personally identifiable data, information, and records collected or maintained by the Secretary and by State and local educational agencies pursuant to this part.

    ‘(d) PERSONNEL- The Secretary is authorized to hire qualified personnel necessary to carry out the Secretary’s duties under subsection (a) and under sections 618 and 661 without regard to the provisions of title 5, United States Code, relating to appointments in the competitive service and without regard to chapter 51 and subchapter III of chapter 53 of such title relating to classification and general schedule pay rates, except that no more than twenty such personnel shall be employed at any time.

    ‘(e) PILOT PROGRAM- The Secretary is authorized to grant waivers of paperwork requirements under this part for a period of time not to exceed 4 years with respect to not more than 10 States based on proposals submitted by States for addressing reduction of paperwork and non-instructional time spent fulfilling statutory and regulatory requirements.

    ‘(f) REPORT- The Secretary shall include in the annual report to Congress under section 426 of the Department of Education Organization Act information related to the effectiveness of waivers granted under subsection (e)--

      ‘(1) in reducing the paperwork burden on teachers, administrators, and related services providers and non-instructional time spent by teachers in complying with this part, including any specific recommendations for broader implementation; and

      ‘(2) in enhancing longer-term educational planning, improving positive outcomes for children with disabilities, promoting collaboration between IEP Team members, and ensuring satisfaction of family members, including any specific recommendations for broader implementation.

    ‘(g) MODEL FORMS- Not later than the date on which the Secretary publishes final regulations to implement this part (as amended by the Improving Education Results for Children With Disabilities Act of 2003), the Secretary shall publish and disseminate widely to States, local educational agencies, and parent training and information centers--

      ‘(1) a model individualized education program form;

      ‘(2) a model form for the procedural safeguards notice described in section 615(d); and

      ‘(3) a model form for the prior written notice described in section 615(b)(3);

    that would be consistent with the requirements of this part and be deemed to be sufficient to meet such requirements.’.

SEC. 208. PROGRAM INFORMATION.

    Section 618 of the Individuals with Disabilities Education Act (20 U.S.C. 1418) is amended to read as follows:

‘SEC. 618. PROGRAM INFORMATION.

    ‘(a) IN GENERAL- Each State and local educational agency that receives assistance under this part, and the Secretary of the Interior, shall provide data each year to the Secretary--

      ‘(1)(A) on--

        ‘(i) the number and percentage of children with disabilities, by race, ethnicity, and disability category, who are receiving a free appropriate public education;

        ‘(ii) the number and percentage of children with disabilities, by race and ethnicity, who are receiving early intervention services;

        ‘(iii) the number and percentage of children with disabilities, by race, ethnicity, and disability category, who are participating in regular education;

        ‘(iv) the number and percentage of children with disabilities, by race, ethnicity, and disability category, who are in separate classes, separate schools or facilities, or public or private residential facilities;

        ‘(v) the number and percentage of children with disabilities, by race and ethnicity, and disability category who begin secondary school and graduate with a regular high school diploma, through the age of 21;

        ‘(vi) the number and percentage of children with disabilities, by race, ethnicity, and disability category, who, for each year of age from age 14 to 21, stopped receiving special education and related services because of program completion or other reasons and the reasons why those children stopped receiving special education and related services;

        ‘(vii) the number and percentage of children with disabilities, by race and ethnicity, who, from birth through age 2, stopped receiving early intervention services because of program completion or for other reasons;

        ‘(viii)(I) the number and percentage of children with disabilities, by race, ethnicity, and disability category, who under subparagraph (A) or (B) of section 615(j)(1), are removed to an interim alternative educational setting;

        ‘(II) the acts or items precipitating those removals;

        ‘(III) the number of children with disabilities, by race, ethnicity, and disability category, who are subject to long-term suspensions or expulsions; and

        ‘(IV) the incidence, duration, and type of disciplinary actions, by race and ethnicity, including suspension and expulsions;

        ‘(ix) the number of complaints resolved through voluntary binding arbitration; and

        ‘(x) the number of mediations held and the number of settlement agreements reached through mediation;

      ‘(B) on the number and percentage of infants and toddlers, by race and ethnicity, who are at risk of having substantial developmental delays (as defined in section 632), and who are receiving early intervention services under part C; and

      ‘(C) on the number of children served with funds under section 613(f); and

      ‘(2) on any other information that may be required by the Secretary.

    ‘(b) SAMPLING- The Secretary may permit States and the Secretary of the Interior to obtain the data described in subsection (a) through sampling.

    ‘(c) DISPROPORTIONALITY-

      ‘(1) IN GENERAL- Each State that receives assistance under this part, and the Secretary of the Interior, shall provide for the collection and examination of data to determine if significant disproportionality based on race and ethnicity is occurring in the State and the local educational agencies of the State with respect to--

        ‘(A) the identification of children as children with disabilities, including the identification of children as children with disabilities in accordance with a particular impairment described in section 602(3);

        ‘(B) the placement in particular educational settings of such children; and

        ‘(C) the incidence, duration, and type of disciplinary actions, including suspensions and expulsions.

      ‘(2) REVIEW AND REVISION OF POLICIES, PRACTICES, AND PROCEDURES- In the case of a determination of significant disproportionality with respect to the identification of children as children with disabilities, or the placement in particular educational settings of such children, in accordance with paragraph (1), the State or the Secretary of the Interior, as the case may be--

        ‘(A) shall provide for the review and, if appropriate, revision of the policies, procedures, and practices used in such identification or placement to ensure that such policies, procedures, and practices comply with the requirements of this Act;

        ‘(B) shall require any local educational agency identified under paragraph (1) to reserve the maximum amount of funds under section 613(f) to provide comprehensive coordinated prereferral support services to serve children in the local educational agency, particularly children in those groups that were significantly overidentified under paragraph (1); and

        ‘(C) shall require the local educational agency to publicly report on the revision of policies, practices, and procedures described under subparagraph (A).’.

SEC. 209. PRESCHOOL GRANTS.

    Section 619 of the Individuals with Disabilities Education Act (20 U.S.C. 1419) is amended to read as follows:

‘SEC. 619. PRESCHOOL GRANTS.

    ‘(a) IN GENERAL- The Secretary shall provide grants under this section to assist States to provide special education and related services, in accordance with this part--

      ‘(1) to children with disabilities aged 3 through 5, inclusive; and

      ‘(2) at the State’s discretion, to 2-year-old children with disabilities who will turn 3 during the school year.

    ‘(b) ELIGIBILITY- A State shall be eligible for a grant under this section if such State--

      ‘(1) is eligible under section 612 to receive a grant under this part; and

      ‘(2) makes a free appropriate public education available to all children with disabilities, aged 3 through 5, residing in the State.

    ‘(c) ALLOCATIONS TO STATES-

      ‘(1) IN GENERAL- The Secretary shall allocate funds among the States in accordance with paragraph (2) or (3), as appropriate.

      ‘(2) INCREASE IN FUNDS- If the amount available for allocations to States under paragraph (1) is equal to or greater than the amount allocated to the States under this section for the preceding fiscal year, those allocations shall be calculated as follows:

        ‘(A)(i) Except as provided in subparagraph (B), the Secretary shall--

          ‘(I) allocate to each State the amount it received for fiscal year 1997;

          ‘(II) allocate 85 percent of any remaining funds to States on the basis of their relative populations of children aged 3 through 5; and

          ‘(III) allocate 15 percent of those remaining funds to States on the basis of their relative populations of all children aged 3 through 5 who are living in poverty.

        ‘(ii) For the purpose of making grants under this paragraph, the Secretary shall use the most recent population data, including data on children living in poverty, that are available and satisfactory to the Secretary.

        ‘(B) Notwithstanding subparagraph (A), allocations under this paragraph shall be subject to the following:

          ‘(i) No State’s allocation shall be less than its allocation for the preceding fiscal year.

          ‘(ii) No State’s allocation shall be less than the greatest of--

            ‘(I) the sum of--

‘(aa) the amount it received for fiscal year 1997; and

‘(bb) one third of one percent of the amount by which the amount appropriated under subsection (j) exceeds the amount appropriated under this section for fiscal year 1997;

            ‘(II) the sum of--

‘(aa) the amount it received for the preceding fiscal year; and

‘(bb) that amount multiplied by the percentage by which the increase in the funds appropriated from the preceding fiscal year exceeds 1.5 percent; or

            ‘(III) the sum of--

‘(aa) the amount it received for the preceding fiscal year; and

‘(bb) that amount multiplied by 90 percent of the percentage increase in the amount appropriated from the preceding fiscal year.

          ‘(iii) Notwithstanding clause (ii), no State’s allocation under this paragraph shall exceed the sum of--

            ‘(I) the amount it received for the preceding fiscal year; and

            ‘(II) that amount multiplied by the sum of 1.5 percent and the percentage increase in the amount appropriated.

        ‘(C) If the amount available for allocations under this paragraph is insufficient to pay those allocations in full, those allocations shall be ratably reduced, subject to subparagraph (B)(i).

      ‘(3) DECREASE IN FUNDS- If the amount available for allocations to States under paragraph (1) is less than the amount allocated to the States under this section for the preceding fiscal year, those allocations shall be calculated as follows:

        ‘(A) If the amount available for allocations is greater than the amount allocated to the States for fiscal year 1997, each State shall be allocated the sum of--

          ‘(i) the amount it received for fiscal year 1997; and

          ‘(ii) an amount that bears the same relation to any remaining funds as the increase the State received for the preceding fiscal year over fiscal year 1997 bears to the total of all such increases for all States.

        ‘(B) If the amount available for allocations is equal to or less than the amount allocated to the States for fiscal year 1997, each State shall be allocated the amount it received for that year, ratably reduced, if necessary.

    ‘(d) RESERVATION FOR STATE ACTIVITIES-

      ‘(1) IN GENERAL- Each State may retain not more than the amount described in paragraph (2) for administration and other State-level activities in accordance with subsections (e) and (f).

      ‘(2) AMOUNT DESCRIBED- For each fiscal year, the Secretary shall determine and report to the State educational agency an amount that is 25 percent of the amount the State received under this section for fiscal year 1997, cumulatively adjusted by the Secretary for each succeeding fiscal year by the lesser of--

        ‘(A) the percentage increase, if any, from the preceding fiscal year in the State’s allocation under this section; or

        ‘(B) the percentage increase, if any, from the preceding fiscal year in the Consumer Price Index For All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.

    ‘(e) STATE ADMINISTRATION-

      ‘(1) IN GENERAL- For the purpose of administering this section (including the coordination of activities under this part with, and providing technical assistance to, other programs that provide services to children with disabilities) a State may use not more than 20 percent of the maximum amount it may retain under subsection (d) for any fiscal year.

      ‘(2) ADMINISTRATION OF PART C- Funds described in paragraph (1) may also be used for the administration of part C of this Act, if the State educational agency is the lead agency for the State under that part.

    ‘(f) OTHER STATE-LEVEL ACTIVITIES- Each State shall use any funds it retains under subsection (d) and does not use for administration under subsection (e)--

      ‘(1) for support services (including establishing and implementing the mediation and voluntary binding arbitration process required by section 615(e)), which may benefit children with disabilities younger than 3 or older than 5 as long as those services also benefit children with disabilities aged 3 through 5;

      ‘(2) for direct services for children eligible for services under this section;

      ‘(3) for activities at the State and local levels to meet the performance goals established by the State under section 612(a)(16) and to support implementation of the State plan under subpart 1 of part D if the State receives funds under that subpart; or

      ‘(4) to supplement other funds used to develop and implement a Statewide coordinated services system designed to improve results for children and families, including children with disabilities and their families, but not to exceed one percent of the amount received by the State under this section for a fiscal year.

    ‘(g) SUBGRANTS TO LOCAL EDUCATIONAL AGENCIES-

      ‘(1) SUBGRANTS REQUIRED- Each State that receives a grant under this section for any fiscal year shall distribute all of the grant funds that it does not reserve under subsection (d) to local educational agencies in the State that have established their eligibility under section 613, as follows:

        ‘(A) BASE PAYMENTS- The State shall first award each agency described in paragraph (1) the amount that agency would have received under this section for fiscal year 1997 if the State had distributed 75 percent of its grant for that year under section 619(c)(3), as then in effect.

        ‘(B) ALLOCATION OF REMAINING FUNDS- After making allocations under subparagraph (A), the State shall--

          ‘(i) allocate 85 percent of any remaining funds to those agencies on the basis of the relative numbers of children enrolled in public and private elementary and secondary schools within the agency’s jurisdiction; and

          ‘(ii) allocate 15 percent of those remaining funds to those agencies in accordance with their relative numbers of children living in poverty, as determined by the State educational agency.

      ‘(2) REALLOCATION OF FUNDS- If a State educational agency determines that a local educational agency is adequately providing a free appropriate public education to all children with disabilities aged 3 through 5 residing in the area served by that agency with State and local funds, the State educational agency may reallocate any portion of the funds under this section that are not needed by that local agency to provide a free appropriate public education to other local educational agencies in the State that are not adequately providing special education and related services to all children with disabilities aged 3 through 5 residing in the areas they serve.

    ‘(h) PART C INAPPLICABLE- Part C of this Act does not apply to any child with a disability receiving a free appropriate public education, in accordance with this part, with funds received under this section.

    ‘(i) DEFINITION- For the purpose of this section, the term ‘State’ means each of the 50 States, the District of Columbia, and the Commonwealth of Puerto Rico.

    ‘(j) AUTHORIZATION OF APPROPRIATIONS- For the purpose of carrying out this section, there are authorized to be appropriated to the Secretary $500,000,000 for fiscal year 2004 and such sums as may be necessary for each subsequent fiscal year.’.

TITLE III--INFANTS AND TODDLERS WITH DISABILITIES

SEC. 301. SECTIONS 631 THROUGH 638 OF THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT.

    Sections 631 through 638 of the Individuals with Disabilities Education Act (20 U.S.C. 1431-1438) are amended to read as follows:

‘SEC. 631. FINDINGS AND POLICY.

    ‘(a) FINDINGS- The Congress finds that there is an urgent and substantial need--

      ‘(1) to enhance the development of infants and toddlers with disabilities and to minimize their potential for developmental delay;

      ‘(2) to reduce the educational costs to our society, including our Nation’s schools, by minimizing the need for special education and related services after infants and toddlers with disabilities reach school age;

      ‘(3) to minimize the likelihood of institutionalization of individuals with disabilities and maximize the potential for their independently living in society;

      ‘(4) to enhance the capacity of families to meet the special needs of their infants and toddlers with disabilities; and

      ‘(5) to enhance the capacity of State and local agencies and service providers to identify, evaluate, and meet the needs of historically underrepresented populations, particularly minority, low-income, inner-city, and rural populations.

    ‘(b) POLICY- It is the policy of the United States to provide financial assistance to States--

      ‘(1) to develop and implement a statewide, comprehensive, coordinated, multidisciplinary, interagency system that provides early intervention services for infants and toddlers with disabilities and their families;

      ‘(2) to facilitate the coordination of payment for early intervention services from Federal, State, local, and private sources (including public and private insurance coverage);

      ‘(3) to enhance their capacity to provide quality early intervention services and expand and improve existing early intervention services being provided to infants and toddlers with disabilities and their families; and

      ‘(4) to encourage States to expand opportunities for children under 3 years of age who would be at risk of having substantial developmental delay if they did not receive early intervention services.

‘SEC. 632. DEFINITIONS.

    ‘As used in this part:

      ‘(1) AT-RISK INFANT OR TODDLER- The term ‘at-risk infant or toddler’ means an individual under 3 years of age who would be at risk of experiencing a substantial developmental delay if early intervention services were not provided to the individual.

      ‘(2) COUNCIL- The term ‘council’ means a State interagency coordinating council established under section 641.

      ‘(3) DEVELOPMENTAL DELAY- The term ‘developmental delay’, when used with respect to an individual residing in a State, has the meaning given such term by the State under section 635(a)(1).

      ‘(4) EARLY INTERVENTION SERVICES- The term ‘early intervention services’ means developmental services that--

        ‘(A) are provided under public supervision;

        ‘(B) are provided at no cost except where Federal or State law provides for a system of payments by families, including a schedule of sliding fees;

        ‘(C) are designed to address family-identified priorities and concerns that are determined by individualized family service plan team to relate to enhancing the child’s development in any one or more of the following areas--

          ‘(i) physical development;

          ‘(ii) cognitive development;

          ‘(iii) communication development;

          ‘(iv) social or emotional development; or

          ‘(v) adaptive development;

        ‘(D) meet the standards of the State in which they are provided, including the requirements of this part;

        ‘(E) include--

          ‘(i) family training, family therapy, counseling, and home visits;

          ‘(ii) special instruction;

          ‘(iii) speech-language pathology and audiology services;

          ‘(iv) occupational therapy;

          ‘(v) physical therapy;

          ‘(vi) psychological services;

          ‘(vii) service coordination services;

          ‘(viii) medical services only for diagnostic or evaluation purposes;

          ‘(ix) early identification, screening, and assessment services;

          ‘(x) health services necessary to enable the infant or toddler to benefit from the other early intervention services;

          ‘(xi) social work services;

          ‘(xii) vision services;

          ‘(xiii) assistive technology devices and assistive technology services; and

          ‘(xiv) transportation and related costs that are necessary to enable an infant or toddler and the infant’s or toddler’s family to receive another service described in this paragraph;

        ‘(F) are provided by qualified personnel, including--

          ‘(i) special educators;

          ‘(ii) speech-language pathologists and audiologists;

          ‘(iii) occupational therapists;

          ‘(iv) physical therapists;

          ‘(v) psychologists;

          ‘(vi) social workers;

          ‘(vii) nurses;

          ‘(viii) registered dietitians;

          ‘(ix) family therapists;

          ‘(x) vision specialists, including ophthalmologists and optometrists;

          ‘(xi) orientation and mobility specialists; and

          ‘(xii) pediatricians and other physicians;

        ‘(G) to the maximum extent appropriate, are provided in natural environments, including the home, and community settings in which children without disabilities participate; and

        ‘(H) are provided in conformity with an individualized family service plan adopted in accordance with section 636.

      ‘(5) INFANT OR TODDLER WITH A DISABILITY- The term ‘infant or toddler with a disability’--

        ‘(A) means an individual under 3 years of age who needs early intervention services because the individual--

          ‘(i) is experiencing developmental delays, as measured by appropriate diagnostic instruments and procedures in one or more of the areas of cognitive development, physical development, communication development, social or emotional development, and adaptive development; or

          ‘(ii) has a diagnosed physical or mental condition which has a high probability of resulting in developmental delay;

        ‘(B) may also include, at a State’s discretion, at-risk infants and toddlers; and

        ‘(C) may also include, at a State’s discretion, a child aged 3 through 5, who previously received services under this part and who is eligible for services under section 619, if--

          ‘(i) services provided to this age group under this part include an educational component that promotes school readiness and incorporates scientifically based pre-literacy, language, and numeracy skills; and

          ‘(ii) parents are provided a written notification of their rights and responsibilities in determining whether their child will continue to receive services under this part or participate in preschool programs assisted under section 619.

‘SEC. 633. GENERAL AUTHORITY.

    ‘The Secretary shall, in accordance with this part, make grants to States (from their allotments under section 643) to assist each State to maintain and implement a statewide, comprehensive, coordinated, multidisciplinary, interagency system to provide early intervention services for infants and toddlers with disabilities and their families.

‘SEC. 634. ELIGIBILITY.

    ‘In order to be eligible for a grant under section 633, a State shall provide assurances to the Secretary that the State--

      ‘(1) has adopted a policy that appropriate early intervention services are available to all infants and toddlers with disabilities in the State and their families, including Indian infants and toddlers with disabilities and their families residing on a reservation geographically located in the State; and

      ‘(2) has in effect a statewide system that meets the requirements of section 635.

‘SEC. 635. REQUIREMENTS FOR STATEWIDE SYSTEM.

    ‘(a) IN GENERAL- A statewide system described in section 633 shall include, at a minimum, the following components:

      ‘(1) A definition of the term ‘developmental delay’ that will be used by the State in carrying out programs under this part.

      ‘(2) A State policy that is in effect and that ensures that appropriate early intervention services based on scientifically based research are available to all infants and toddlers with disabilities and their families, including Indian infants and toddlers and their families residing on a reservation geographically located in the State.

      ‘(3) A timely, comprehensive, multidisciplinary evaluation of the functioning of each infant or toddler with a disability in the State, and a family-directed identification of the needs of each family of such an infant or toddler, to appropriately assist in the development of the infant or toddler.

      ‘(4) For each infant or toddler with a disability in the State, an individualized family service plan in accordance with section 636, including service coordination services in accordance with such service plan.

      ‘(5) A comprehensive child find system, consistent with part B, including a system for making referrals to service providers that includes timelines and provides for participation by primary referral sources.

      ‘(6) A public awareness program focusing on early identification of infants and toddlers with disabilities, including the preparation and dissemination by the lead agency designated or established under paragraph (10) to all primary referral sources, especially hospitals and physicians, of information to be given to parents, especially to inform parents with premature infants, or infants with other physical risk factors associated with learning or developmental complications, on the availability of early intervention services under this part and of services under section 619 of this Act, and procedures for assisting such sources in disseminating such information to parents of infants and toddlers.

      ‘(7) A central directory that includes information on early intervention services, resources, and experts available in the State and research and demonstration projects being conducted in the State.

      ‘(8) A comprehensive system of personnel development, including the training of paraprofessionals and the training of primary referral sources respecting the basic components of early intervention services available in the State that--

        ‘(A) shall include--

          ‘(i) implementing innovative strategies and activities for the recruitment and retention of early education service providers;

          ‘(ii) promoting the preparation of early intervention providers who are fully and appropriately qualified to provide early intervention services under this part; and

          ‘(iii) training personnel to coordinate transition services for infants and toddlers served under this part from a program providing early intervention services under this part and under part B (other than section 619), to a preschool program receiving funds under section 619, or another appropriate program; and

        ‘(B) may include--

          ‘(i) training personnel to work in rural and inner-city areas; and

          ‘(ii) training personnel in the emotional and social development of young children.

      ‘(9) Subject to subsection (b), policies and procedures relating to the establishment and maintenance of standards to ensure that personnel necessary to carry out this part are appropriately and adequately prepared and trained, including the establishment and maintenance of standards that are consistent with any State-approved or recognized certification, licensing, registration, or other comparable requirements that apply to the area in which such personnel are providing early intervention services.

      ‘(10) A single line of responsibility in a lead agency designated or established by the Governor for carrying out--

        ‘(A) the general administration and supervision of programs and activities receiving assistance under section 633, and the monitoring of programs and activities used by the State to carry out this part, whether or not such programs or activities are receiving assistance made available under section 633, to ensure that the State complies with this part;

        ‘(B) the identification and coordination of all available resources within the State from Federal, State, local, and private sources;

        ‘(C) the assignment of financial responsibility in accordance with section 637(a)(2) to the appropriate agencies;

        ‘(D) the development of procedures to ensure that services are provided to infants and toddlers with disabilities and their families under this part in a timely manner pending the resolution of any disputes among public agencies or service providers;

        ‘(E) the resolution of intra- and interagency disputes; and

        ‘(F) the entry into formal interagency agreements that define the financial responsibility of each agency for paying for early intervention services (consistent with State law) and procedures for resolving disputes and that include all additional components necessary to ensure meaningful cooperation and coordination.

      ‘(11) A policy pertaining to the contracting or making of other arrangements with service providers to provide early intervention services in the State, consistent with the provisions of this part, including the contents of the application used and the conditions of the contract or other arrangements.

      ‘(12) A procedure for securing timely reimbursements of funds used under this part in accordance with section 640(a).

      ‘(13) Procedural safeguards with respect to programs under this part, as required by section 639.

      ‘(14) A system for compiling data requested by the Secretary under section 618 that relates to this part.

      ‘(15) A State interagency coordinating council that meets the requirements of section 641.

      ‘(16) Policies and procedures to ensure that, consistent with section 636(d)(5)--

        ‘(A) to the maximum extent appropriate, early intervention services are provided in natural environments; and

        ‘(B) the provision of early intervention services for any infant or toddler occurs in a setting other than a natural environment only when early intervention cannot be achieved satisfactorily for the infant or toddler in a natural environment.

    ‘(b) POLICY- In implementing subsection (a)(9), a State may adopt a policy that includes making ongoing good-faith efforts to recruit and hire appropriately and adequately trained personnel to provide early intervention services to infants and toddlers with disabilities, including, in a geographic area of the State where there is a shortage of such personnel, the most qualified individuals available who are making satisfactory progress toward completing applicable course work necessary to meet the standards described in subsection (a)(9), consistent with State law within 3 years.

    ‘(c) TREATMENT OF CHILDREN AGED 3 THROUGH 5-

      ‘(1) IN GENERAL- If a State includes children described in section 632(5)(C) in the system described in section 633, the State shall be considered to have fulfilled any obligation under part B with respect to the provision of a free appropriate public education to those children during the period in which they are receiving services under this part.

      ‘(2) CONSTRUCTION- Nothing in paragraph (1) shall be construed to alter or diminish the rights and protections afforded under this part to children described in such paragraph.

‘SEC. 636. INDIVIDUALIZED FAMILY SERVICE PLAN.

    ‘(a) ASSESSMENT AND PROGRAM DEVELOPMENT- A statewide system described in section 633 shall provide, at a minimum, for each infant or toddler with a disability, and the infant’s or toddler’s family, to receive--

      ‘(1) a multidisciplinary assessment of the unique strengths and needs of the infant or toddler and the identification of services appropriate to meet such needs;

      ‘(2) a family-directed assessment of the resources, priorities, and concerns of the family and the identification of the supports and services necessary to enhance the family’s capacity to meet the developmental needs of the infant or toddler; and

      ‘(3) a written individualized family service plan developed by a multidisciplinary team, including the parents, as required by subsection (e), including a description of the appropriate transition services for the child’s entrance in school.

    ‘(b) PERIODIC REVIEW- The individualized family service plan shall be evaluated once a year and the family shall be provided a review of the plan at 6-month intervals (or more often where appropriate based on infant or toddler and family needs).

    ‘(c) PROMPTNESS AFTER ASSESSMENT- The individualized family service plan shall be developed within a reasonable time after the assessment required by subsection (a)(1) is completed. With the parents’ consent, early intervention services may commence prior to the completion of the assessment.

    ‘(d) CONTENT OF PLAN- The individualized family service plan shall be in writing and contain--

      ‘(1) a statement of the infant’s or toddler’s present levels of physical development, cognitive development, communication development, social or emotional development, and adaptive development, based on objective criteria;

      ‘(2) a statement of the family’s resources, priorities, and concerns relating to enhancing the development of the family’s infant or toddler with a disability;

      ‘(3) a statement of the major goals expected to be achieved for the infant or toddler and the family, including pre-literacy and language skills, as developmentally appropriate for the child, and the criteria, procedures, and timelines used to determine the degree to which progress toward achieving the goals is being made and whether modifications or revisions of the goals or services are necessary;

      ‘(4) a statement of specific early intervention services based on peer-reviewed research, to the extent practicable, necessary to meet the unique needs of the infant or toddler and the family, including the frequency, intensity, and method of delivering services;

      ‘(5) a statement of the natural environments in which early intervention services will appropriately be provided, including a justification of the extent, if any, to which the services will not be provided in a natural environment;

      ‘(6) the projected dates for initiation of services and the anticipated length, duration, and frequency of the services;

      ‘(7) the identification of the service coordinator from the profession most immediately relevant to the infant’s or toddler’s or family’s needs (or who is otherwise qualified to carry out all applicable responsibilities under this part) who will be responsible for the implementation of the plan and coordination with other agencies and persons, including transition services; and

      ‘(8) the steps to be taken to support the transition of the toddler with a disability to preschool or other appropriate services.

    ‘(e) PARENTAL CONSENT- The contents of the individualized family service plan shall be fully explained to the parents and informed written consent from the parents shall be obtained prior to the provision of early intervention services described in such plan. If the parents do not provide consent with respect to a particular early intervention service, then only the early intervention services to which consent is obtained shall be provided.

‘SEC. 637. STATE APPLICATION AND ASSURANCES.

    ‘(a) APPLICATION- A State desiring to receive a grant under section 633 shall submit an application to the Secretary at such time and in such manner as the Secretary may reasonably require. The application shall contain--

      ‘(1) a designation of the lead agency in the State that will be responsible for the administration of funds provided under section 633;

      ‘(2) a designation of an individual or entity responsible for assigning financial responsibility among appropriate agencies;

      ‘(3) information demonstrating eligibility of the State under section 634, including a description of services to be provided to infants and toddlers with disabilities and their families through the system;

      ‘(4) if the State provides services to at-risk infants and toddlers through the statewide system, a description of such services;

      ‘(5) a description of the State policies and procedures requiring the referral of a child under the age 3 who is involved in a substantiated case of child abuse or neglect consistent with section 635(a)(5) or who is born and identified with fetal alcohol effects, fetal alcohol syndrome, neonatal intoxication, or neonatal physical or neurological harm resulting from prenatal drug exposure;

      ‘(6) a description of the uses for which funds will be expended in accordance with this part;

      ‘(7) a description of the procedure used to ensure that resources are made available under this part for all geographic areas within the State;

      ‘(8) a description of State policies and procedures that ensure that, prior to the adoption by the State of any other policy or procedure necessary to meet the requirements of this part, there are public hearings, adequate notice of the hearings, and an opportunity for comment available to the general public, including individuals with disabilities and parents of infants and toddlers with disabilities;

      ‘(9) a description of the policies and procedures to be used--

        ‘(A) to ensure a smooth transition for toddlers receiving early intervention services under this part to preschool or other appropriate services, including a description of how--

          ‘(i) the families of such toddlers will be included in the transition plans required by subparagraph (C); and

          ‘(ii) the lead agency designated or established under section 635(a)(10) will--

            ‘(I) notify the local educational agency for the area in which such a child resides that the child will shortly reach the age of eligibility for preschool services under part B, as determined in accordance with State law;

            ‘(II) in the case of a child who may be eligible for such preschool services, with the approval of the family of the child, convene a conference among the lead agency, the family, and the local educational agency at least 90 days (and at the discretion of all such parties, up to 6 months) before the child is eligible for the preschool services, to discuss any such services that the child may receive; and

            ‘(III) in the case of a child who may not be eligible for such preschool services, with the approval of the family, make reasonable efforts to convene a conference among the lead agency, the family, and providers of other appropriate services for children who are not eligible for preschool services under part B, to discuss the appropriate services that the child may receive;

        ‘(B) to review the child’s program options for the period from the child’s third birthday through the remainder of the school year; and

        ‘(C) to establish a transition plan;

      ‘(10) a description of State efforts to promote collaboration between Early Head Start programs, child care, and services under part C of this Act; and

      ‘(11) such other information and assurances as the Secretary may reasonably require.

    ‘(b) ASSURANCES- The application described in subsection (a)--

      ‘(1) shall provide satisfactory assurance that Federal funds made available under section 643 to the State will be expended in accordance with this part;

      ‘(2) shall contain an assurance that the State will comply with the requirements of section 640;

      ‘(3) shall provide satisfactory assurance that the control of funds provided under section 643, and title to property derived from those funds, will be in a public agency for the uses and purposes provided in this part and that a public agency will administer such funds and property;

      ‘(4) shall provide for--

        ‘(A) making such reports in such form and containing such information as the Secretary may require to carry out the Secretary’s functions under this part; and

        ‘(B) keeping such records and affording such access to them as the Secretary may find necessary to ensure the correctness and verification of those reports and proper disbursement of Federal funds under this part;

      ‘(5) provide satisfactory assurance that Federal funds made available under section 643 to the State--

        ‘(A) will not be commingled with State funds; and

        ‘(B) will be used so as to supplement the level of State and local funds expended for infants and toddlers with disabilities and their families and in no case to supplant those State and local funds;

      ‘(6) shall provide satisfactory assurance that such fiscal control and fund accounting procedures will be adopted as may be necessary to ensure proper disbursement of, and accounting for, Federal funds paid under section 643 to the State;

      ‘(7) shall provide satisfactory assurance that policies and procedures have been adopted to ensure meaningful involvement of underserved groups, including minority, low-income, and rural families, in the planning and implementation of all the requirements of this part; and

      ‘(8) shall contain such other information and assurances as the Secretary may reasonably require by regulation.

    ‘(c) STANDARD FOR DISAPPROVAL OF APPLICATION- The Secretary may not disapprove such an application unless the Secretary determines, after notice and opportunity for a hearing, that the application fails to comply with the requirements of this section.

    ‘(d) SUBSEQUENT STATE APPLICATION- If a State has on file with the Secretary a policy, procedure, or assurance that demonstrates that the State meets a requirement of this section, including any policy or procedure filed under this part (as in effect before the date of the enactment of the Improving Education Results for Children With Disabilities Act of 2003), the Secretary shall consider the State to have met the requirement for purposes of receiving a grant under this part.

    ‘(e) MODIFICATION OF APPLICATION- An application submitted by a State in accordance with this section shall remain in effect until the State submits to the Secretary such modifications as the State determines necessary. This section shall apply to a modification of an application to the same extent and in the same manner as this section applies to the original application.

    ‘(f) MODIFICATIONS REQUIRED BY THE SECRETARY- The Secretary may require a State to modify its application under this section, but only to the extent necessary to ensure the State’s compliance with this part, if--

      ‘(1) an amendment is made to this Act, or a Federal regulation issued under this Act;

      ‘(2) a new interpretation of this Act is made by a Federal court or the State’s highest court; or

      ‘(3) an official finding of noncompliance with Federal law or regulations is made with respect to the State.

‘SEC. 638. USES OF FUNDS.

    ‘In addition to using funds provided under section 633 to maintain and implement the statewide system required by such section, a State may use such funds--

      ‘(1) for direct early intervention services for infants and toddlers with disabilities, and their families, under this part that are not otherwise funded through other public or private sources;

      ‘(2) to expand and improve on services for infants and toddlers and their families under this part that are otherwise available;

      ‘(3) to provide a free appropriate public education, in accordance with part B, to children with disabilities from their third birthday to the beginning of the following school year; and

      ‘(4) in any State that does not provide services for at-risk infants and toddlers under section 637(a)(4), to strengthen the statewide system by initiating, expanding, or improving collaborative efforts related to at-risk infants and toddlers, including establishing linkages with appropriate public or private community-based organizations, services, and personnel for the purposes of--

        ‘(A) identifying and evaluating at-risk infants and toddlers;

        ‘(B) making referrals of the infants and toddlers identified and evaluated under subparagraph (A); and

        ‘(C) conducting periodic followup on each such referral to determine if the status of the infant or toddler involved has changed with respect to the eligibility of the infant or toddler for services under this part.’.

SEC. 302. SECTIONS 641 THROUGH 645 OF THE INDIVIDUALS WITH DISABILITIES EDUCATION ACT.

    Sections 641 through 645 of the Individuals with Disabilities Education Act (20 U.S.C. 1441-1445) are amended to read as follows:

‘SEC. 641. STATE INTERAGENCY COORDINATING COUNCIL.

    ‘(a) ESTABLISHMENT-

      ‘(1) IN GENERAL- A State that desires to receive financial assistance under this part shall establish a State interagency coordinating council.

      ‘(2) APPOINTMENT- The council shall be appointed by the Governor. In making appointments to the council, the Governor shall ensure that the membership of the council reasonably represents the population of the State.

      ‘(3) CHAIRPERSON- The Governor shall designate a member of the council to serve as the chairperson of the council, or shall require the council to so designate such a member. Any member of the council who is a representative of the lead agency designated under section 635(a)(10) may not serve as the chairperson of the council.

    ‘(b) COMPOSITION-

      ‘(1) IN GENERAL- The council shall be composed as follows:

        ‘(A) PARENTS- At least 20 percent of the members shall be parents of infants or toddlers with disabilities or children with disabilities aged 12 or younger, with knowledge of, or experience with, programs for infants and toddlers with disabilities. At least one such member shall be a parent of an infant or toddler with a disability or a child with a disability aged 6 or younger.

        ‘(B) SERVICE PROVIDERS- At least 20 percent of the members shall be public or private providers of early intervention services.

        ‘(C) STATE LEGISLATURE- At least one member shall be from the State legislature.

        ‘(D) PERSONNEL PREPARATION- At least one member shall be involved in personnel preparation.

        ‘(E) AGENCY FOR EARLY INTERVENTION SERVICES- At least one member shall be from each of the State agencies involved in the provision of, or payment for, early intervention services to infants and toddlers with disabilities and their families and shall have sufficient authority to engage in policy planning and implementation on behalf of such agencies.

        ‘(F) AGENCY FOR PRESCHOOL SERVICES- At least one member shall be from the State educational agency responsible for preschool services to children with disabilities and shall have sufficient authority to engage in policy planning and implementation on behalf of such agency.

        ‘(G) AGENCY FOR HEALTH INSURANCE- At least one member shall be from the agency responsible for the State governance of health insurance.

        ‘(H) HEAD START AGENCY- At least one representative from a Head Start agency or program in the State.

        ‘(I) CHILD CARE AGENCY- At least one representative from a State agency responsible for child care.

        ‘(J) MENTAL HEALTH AGENCY- At least one representative from the State agency responsible for children’s mental health.

        ‘(K) CHILD WELFARE AGENCY- At least one representative from the State agency responsible for child protective services.

        ‘(L) OFFICE OF THE COORDINATOR FOR THE EDUCATION OF HOMELESS CHILDREN AND YOUTH- At least one representative designated by the Office of the Coordinator.

      ‘(2) OTHER MEMBERS- The council may include other members selected by the Governor, including a representative from the Bureau of Indian Affairs, or where there is no BIA-operated or BIA-funded school, from the Indian Health Service or the tribe or tribal council.

    ‘(c) MEETINGS- The council shall meet at least quarterly and in such places as it deems necessary. The meetings shall be publicly announced, and, to the extent appropriate, open and accessible to the general public.

    ‘(d) MANAGEMENT AUTHORITY- Subject to the approval of the Governor, the council may prepare and approve a budget using funds under this part to conduct hearings and forums, to reimburse members of the council for reasonable and necessary expenses for attending council meetings and performing council duties (including child care for parent representatives), to pay compensation to a member of the council if the member is not employed or must forfeit wages from other employment when performing official council business, to hire staff, and to obtain the services of such professional, technical, and clerical personnel as may be necessary to carry out its functions under this part.

    ‘(e) FUNCTIONS OF COUNCIL-

      ‘(1) DUTIES- The council shall--

        ‘(A) advise and assist the lead agency designated or established under section 635(a)(10) in the performance of the responsibilities set forth in such section, particularly the identification of the sources of fiscal and other support for services for early intervention programs, assignment of financial responsibility to the appropriate agency, and the promotion of the interagency agreements;

        ‘(B) advise and assist the lead agency in the preparation of applications and amendments thereto;

        ‘(C) advise and assist the State educational agency regarding the transition of toddlers with disabilities to preschool and other appropriate services; and

        ‘(D) prepare and submit an annual report to the Governor and to the Secretary on the status of early intervention programs for infants and toddlers with disabilities and their families operated within the State.

      ‘(2) AUTHORIZED ACTIVITY- The council may advise and assist the lead agency and the State educational agency regarding the provision of appropriate services for children from birth through age 5. The council may advise appropriate agencies in the State with respect to the integration of services for infants and toddlers with disabilities and at-risk infants and toddlers and their families, regardless of whether at-risk infants and toddlers are eligible for early intervention services in the State.

    ‘(f) CONFLICT OF INTEREST- No member of the council shall cast a vote on any matter that would provide direct financial benefit to that member or otherwise give the appearance of a conflict of interest under State law.

‘SEC. 642. FEDERAL ADMINISTRATION.

    ‘Sections 616, 617, and 618 shall, to the extent not inconsistent with this part, apply to the program authorized by this part, except that--

      ‘(1) any reference in such sections to a State educational agency shall be considered to be a reference to a State’s lead agency established or designated under section 635(a)(10);

      ‘(2) any reference in such sections to a local educational agency, educational service agency, or a State agency shall be considered to be a reference to an early intervention service provider under this part; and

      ‘(3) any reference to the education of children with disabilities or the education of all children with disabilities shall be considered to be a reference to the provision of appropriate early intervention services to infants and toddlers with disabilities.

‘SEC. 643. ALLOCATION OF FUNDS.

    ‘(a) RESERVATION OF FUNDS FOR OUTLYING AREAS-

      ‘(1) IN GENERAL- From the sums appropriated to carry out this part for any fiscal year, the Secretary may reserve up to one percent for payments to Guam, American Samoa, the Virgin Islands, and the Commonwealth of the Northern Mariana Islands in accordance with their respective needs.

      ‘(2) CONSOLIDATION OF FUNDS- The provisions of Public Law 95-134, permitting the consolidation of grants to the outlying areas, shall not apply to funds those areas receive under this part.

    ‘(b) PAYMENTS TO INDIANS-

      ‘(1) IN GENERAL- The Secretary shall, subject to this subsection, make payments to the Secretary of the Interior to be distributed to tribes, tribal organizations (as defined under section 4 of the Indian Self-Determination and Education Assistance Act), or consortia of the above entities for the coordination of assistance in the provision of early intervention services by the States to infants and toddlers with disabilities and their families on reservations served by elementary and secondary schools for Indian children operated or funded by the Department of the Interior. The amount of such payment for any fiscal year shall be 1.25 percent of the aggregate of the amount available to all States under this part for such fiscal year.

      ‘(2) ALLOCATION- For each fiscal year, the Secretary of the Interior shall distribute the entire payment received under paragraph (1) by providing to each tribe, tribal organization, or consortium an amount based on the number of infants and toddlers residing on the reservation, as determined annually, divided by the total number of such children served by all tribes, tribal organizations, or consortia.

      ‘(3) INFORMATION- To receive a payment under this subsection, the tribe, tribal organization, or consortium shall submit such information to the Secretary of the Interior as is needed to determine the amounts to be distributed under paragraph (2).

      ‘(4) USE OF FUNDS- The funds received by a tribe, tribal organization, or consortium shall be used to assist States in child find, screening, and other procedures for the early identification of Indian children under 3 years of age and for parent training. Such funds may also be used to provide early intervention services in accordance with this part. Such activities may be carried out directly or through contracts or cooperative agreements with the BIA, local educational agencies, and other public or private nonprofit organizations. The tribe, tribal organization, or consortium is encouraged to involve Indian parents in the development and implementation of these activities. The above entities shall, as appropriate, make referrals to local, State, or Federal entities for the provision of services or further diagnosis.

      ‘(5) REPORTS- To be eligible to receive a grant under paragraph (2), a tribe, tribal organization, or consortium shall make an annual report to the Secretary of the Interior of activities undertaken under this subsection, including the number of contracts and cooperative agreements entered into, the number of children contacted and receiving services for each year, and the estimated number of children needing services during the year following the year in which the report is made. The Secretary of the Interior shall include a summary of this information on an annual basis to the Secretary of Education along with such other information as required under section 611(h)(3)(E). The Secretary of Education may require any additional information from the Secretary of the Interior.

      ‘(6) PROHIBITED USES OF FUNDS- None of the funds under this subsection may be used by the Secretary of the Interior for administrative purposes, including child count, and the provision of technical assistance.

    ‘(c) STATE ALLOTMENTS-

      ‘(1) IN GENERAL- Except as provided in paragraphs (2) and (3) from the funds remaining for each fiscal year after the reservation and payments under subsections (a) and (b), the Secretary shall first allot to each State an amount that bears the same ratio to the amount of such remainder as the number of infants and toddlers in the State bears to the number of infants and toddlers in all States.

      ‘(2) MINIMUM ALLOTMENTS- Except as provided in paragraph (3) no State shall receive an amount under this section for any fiscal year that is less than the greater of--

        ‘(A) one-half of one percent of the remaining amount described in paragraph (1); or

        ‘(B) $500,000.

      ‘(3) RATABLE REDUCTION-

        ‘(A) IN GENERAL- If the sums made available under this part for any fiscal year are insufficient to pay the full amounts that all States are eligible to receive under this subsection for such year, the Secretary shall ratably reduce the allotments to such States for such year.

        ‘(B) ADDITIONAL FUNDS- If additional funds become available for making payments under this subsection for a fiscal year, allotments that were reduced under subparagraph (A) shall be increased on the same basis they were reduced.

      ‘(4) DEFINITIONS- For the purpose of this subsection--

        ‘(A) the terms ‘infants’ and ‘toddlers’ mean children under 3 years of age; and

        ‘(B) the term ‘State’ means each of the 50 States, the District of Columbia, and the Commonwealth of Puerto Rico.

    ‘(d) REALLOTMENT OF FUNDS- If a State elects not to receive its allotment under subsection (c), the Secretary shall reallot, among the remaining States, amounts from such State in accordance with such subsection.

‘SEC. 644. AUTHORIZATION OF APPROPRIATIONS.

    ‘For the purpose of carrying out this part, there are authorized to be appropriated $447,000,000 for fiscal year 2004 and such sums as may be necessary for each of the fiscal years 2005 through 2009.’.

TITLE IV--NATIONAL ACTIVITIES TO IMPROVE EDUCATION OF CHILDREN WITH DISABILITIES

SEC. 401. NATIONAL ACTIVITIES TO IMPROVE EDUCATION OF CHILDREN WITH DISABILITIES.

    Part D of the Individuals with Disabilities Education Act (20 U.S.C. 1451 et seq.) is amended to read as follows:

‘PART D--NATIONAL ACTIVITIES TO IMPROVE EDUCATION OF CHILDREN WITH DISABILITIES

‘SEC. 651. FINDINGS.

    ‘The Congress finds the following:

      ‘(1) The Federal Government has an ongoing obligation to support activities that contribute to positive results for children with disabilities, enabling them to lead productive and independent adult lives.

      ‘(2) Systemic change benefiting all students, including children with disabilities, requires the involvement of States, local educational agencies, parents, individuals with disabilities and their families, teachers and other service providers, and other interested individuals and organizations, to develop and implement comprehensive strategies that improve educational results for children with disabilities.

      ‘(3) State educational agencies, in partnership with local educational agencies, parents of children with disabilities, and other individuals and organizations, are in the best position to improve education for children with disabilities and to address their special needs.

      ‘(4) An effective educational system serving students with disabilities should--

        ‘(A) maintain high academic standards and clear achievement goals for children, consistent with the standards and expectations for all students in the educational system, and provide for appropriate and effective strategies and methods to ensure that all children with disabilities have the opportunity to achieve those standards and goals;

        ‘(B) clearly define, in objective, measurable terms, the school and post-school results that children with disabilities are expected to achieve; and

        ‘(C) promote transition services, as described in section 602(31), and coordinate State and local education, social, health, mental health, and other services, to address the full range of student needs, particularly the needs of children with disabilities who need significant levels of support to participate and learn in school and the community.

      ‘(5) The availability of an adequate number of qualified personnel is critical in order to serve effectively children with disabilities, fill leadership positions in administrative and direct-service capacities, provide teacher training, and conduct high-quality research to improve special education.

      ‘(6) High-quality, comprehensive professional development programs are essential to ensure that the persons responsible for the education or transition of children with disabilities possess the skills and knowledge necessary to address the educational and related needs of those children.

      ‘(7) Models of professional development should be scientifically based and reflect successful practices, including strategies for recruiting, preparing, and retaining personnel.

      ‘(8) Continued support is essential for the development and maintenance of a coordinated and high-quality program of research to inform successful teaching practices and model curricula for educating children with disabilities.

      ‘(9) A comprehensive research agenda should be established and pursued to promote the highest quality and rigor in research on special education and related services, and to address the full range of issues facing children with disabilities, parents of children with disabilities, school personnel, and others.

      ‘(10) Technical assistance, support, and dissemination activities are necessary to ensure that parts B and C are fully implemented and achieve quality early intervention, educational, and transitional results for children with disabilities and their families.

      ‘(11) Parents, teachers, administrators, and related services personnel need technical assistance and information in a timely, coordinated, and accessible manner in order to improve early intervention, educational, and transitional services and results at the State and local levels for children with disabilities and their families.

      ‘(12) Parent training and information activities assist parents of a child with a disability in dealing with the multiple pressures of parenting such a child and are of particular importance in--

        ‘(A) creating and preserving constructive relationships between parents of children with disabilities and schools by facilitating open communication between such parents and schools, encouraging dispute resolution at the earliest point in time possible, and discouraging the escalation of an adversarial process between such parents and schools;

        ‘(B) ensuring the involvement of such parents in planning and decision-making with respect to early intervention, educational, and transitional services;

        ‘(C) achieving high-quality early intervention, educational, and transitional results for children with disabilities;

        ‘(D) providing such parents information on their rights, protections, and responsibilities under this Act to ensure improved early intervention, educational, and transitional results for children with disabilities;

        ‘(E) assisting such parents in the development of skills to participate effectively in the education and development of their children and in the transitions described in section 602(31);

        ‘(F) supporting the roles of such parents as participants within partnerships seeking to improve early intervention, educational, and transitional services and results for children with disabilities and their families; and

        ‘(G) supporting those parents who may have limited access to services and supports due to economic, cultural, or linguistic barriers.

      ‘(13) Support is needed to improve technological resources and integrate technology into the lives of children with disabilities, parents of children with disabilities, school personnel, and others through curricula, services, and assistive technologies.

‘Subpart 1--State Professional Development Grants

‘SEC. 652. PURPOSE.

    ‘The purpose of this subpart is to assist State educational agencies in reforming and improving their systems for professional development in early intervention, educational, and related and transition services in order to improve results for children with disabilities.

‘SEC. 653. ELIGIBILITY AND COLLABORATIVE PROCESS.

    ‘(a) ELIGIBLE APPLICANTS- A State educational agency may apply for a grant under this subpart for a period of not less than 1 year and not more than 5 years.

    ‘(b) PARTNERS-

      ‘(1) REQUIRED PARTNERS- In order to be considered for a grant under this subpart, a State educational agency shall enter into a partnership agreement with local educational agencies, at least one institution of higher education in the State, and other State agencies involved in, or concerned with, the education of children with disabilities.

      ‘(2) OPTIONAL PARTNERS- In addition, a State educational agency may enter into a partnership agreement with any of the following:

        ‘(A) The Governor.

        ‘(B) Parents of children with disabilities ages birth through 26.

        ‘(C) Parents of nondisabled children ages birth through 26.

        ‘(D) Individuals with disabilities.

        ‘(E) Organizations representing individuals with disabilities and their parents, such as parent training and information centers.

        ‘(F) Community-based and other nonprofit organizations involved in the education and employment of individuals with disabilities.

        ‘(G) The lead State agency for part C.

        ‘(H) General and special education teachers, related services personnel, and early intervention personnel.

        ‘(I) The State advisory panel established under part C.

        ‘(J) The State interagency coordinating council established under part C.

        ‘(K) Institutions of higher education within the State.

        ‘(L) Individuals knowledgeable about vocational education.

        ‘(M) The State agency for higher education.

        ‘(N) The State vocational rehabilitation agency.

        ‘(O) Public agencies with jurisdiction in the areas of health, mental health, social services, and juvenile justice.

        ‘(P) Other providers of professional development that work with students with disabilities.

        ‘(Q) Other individuals.

‘SEC. 654. APPLICATIONS.

    ‘(a) IN GENERAL-

      ‘(1) SUBMISSION- A State educational agency that desires to receive a grant under this subpart shall submit to the Secretary an application at such time, in such manner, and including such information as the Secretary may require.

      ‘(2) STATE PLAN- The application shall include a plan that addresses the State and local needs for the professional development of administrators, principals, teachers, related services personnel, and individuals who provide direct supplementary aids and services to children with disabilities, and that--

        ‘(A) is integrated, to the maximum extent possible, with State plans under the Elementary and Secondary Education Act of 1965, the Rehabilitation Act of 1973, and the Higher Education Act of 1965, as appropriate; and

        ‘(B) is designed to enable the State to meet the requirements of section 612(a)(15) of this Act.

    ‘(b) ELEMENTS OF STATE PLAN- Each State plan shall--

      ‘(1) describe a partnership agreement that--

        ‘(A) specifies--

          ‘(i) the nature and extent of the partnership among the State educational agency, local educational agencies, and other State agencies involved in, or concerned with, the education of children with disabilities, and the respective roles of each member of the partnership; and

          ‘(ii) how such agencies will work in partnership with other persons and organizations involved in, and concerned with, the education of children with disabilities, including the respective roles of each of these persons and organizations; and

        ‘(B) is in effect for the period of the grant;

      ‘(2) describe how grant funds, including part B funds retained for use at the State level under sections 611(e) and 619(d), and other Federal funds will be used to support activities conducted under this subpart;

      ‘(3) describe the strategies the State will use to implement the plan to improve results for children with disabilities, including--

        ‘(A) how the State will align its professional development plan with the plans submitted by the State under sections 1111 and 2112 of the Elementary and Secondary Education Act of 1965;

        ‘(B) how the State will provide technical assistance to local educational agencies and schools to improve the quality of professional development available to meet the needs of personnel that serve children with disabilities; and

        ‘(C) how the State will assess, on a regular basis, the extent to which the strategies implemented under this subpart have been effective in meeting the achievement goals and indicators in section 612(a)(16);

      ‘(4) describe, as appropriate, how the strategies described in paragraph (3) will be coordinated with public and private sector resources; and

      ‘(5) include an assurance that the State will use funds received under this subpart to carry out each of the activities specified in the plan.

    ‘(c) COMPETITIVE AWARDS-

      ‘(1) IN GENERAL- The Secretary shall make grants under this subpart on a competitive basis.

      ‘(2) PRIORITY- The Secretary may give priority to applications on the basis of need.

    ‘(d) PEER REVIEW-

      ‘(1) IN GENERAL- The Secretary shall evaluate applications under this subpart using a panel of experts who are qualified by virtue of their training, expertise, or experience.

      ‘(2) COMPOSITION OF PANEL- A majority of a panel described in paragraph (1) shall be composed of individuals who are not employees of the Federal Government.

      ‘(3) PAYMENT OF FEES AND EXPENSES OF CERTAIN MEMBERS- The Secretary may use available funds appropriated to carry out this subpart to pay the expenses and fees of panel members who are not employees of the Federal Government.

    ‘(e) REPORTING PROCEDURES- Each State educational agency that receives a grant under this subpart shall submit annual performance reports to the Secretary. The reports shall--

      ‘(1) describe the progress of the State in implementing its plan;

      ‘(2) analyze the effectiveness of the State’s activities under this subpart and of the State’s strategies for meeting its goals under section 612(a)(16); and

      ‘(3) identify any changes in such strategies needed to improve its performance.

‘SEC. 655. USE OF FUNDS.

    ‘(a) IN GENERAL-

      ‘(1) ACTIVITIES- A State educational agency that receives a grant under this subpart shall use the grant funds, subject to subsection (b), for the following:

        ‘(A) PROFESSIONAL DEVELOPMENT-

          ‘(i) Carrying out programs that support the professional development of early intervention personnel, related services personnel, and both special education and regular education teachers of children with disabilities, such as programs that--

            ‘(I) provide teacher mentoring, team teaching, reduced class schedules, and intensive professional development;

            ‘(II) use standards or assessments for guiding beginning teachers that are consistent with challenging State student academic achievement standards and with the definition of professional development in section 9101 of the Elementary and Secondary Education Act of 1965;

            ‘(III) promote collaborative and consultive models of providing special education ad related services; and

            ‘(IV) increase understanding as to the most appropriate placements and services for all students to reduce significant racial and ethnic disproportionality in eligibility, placement, and disciplinary actions.

          ‘(ii) Encouraging and supporting the training of special education and regular education 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.

          ‘(iii) Providing professional development activities that improve the knowledge of special education and regular education teachers concerning--

            ‘(I) the academic and developmental needs of students with disabilities; and

            ‘(II) effective instructional strategies, methods, and skills, use of challenging State academic content standards and student academic achievement standards, and use of State assessments, to improve teaching practices and student academic achievement.

          ‘(iv) Providing professional development activities that--

            ‘(I) improve the knowledge of special education and regular education teachers and principals and, in appropriate cases, related services personnel and paraprofessionals, concerning effective instructional practices;

            ‘(II) provide training in how to teach and address the needs of students with different learning styles;

            ‘(III) involve collaborative groups of teachers and administrators;

            ‘(IV) provide training in methods of--

‘(aa) positive behavior interventions and supports to improve student behavior in the classroom;

‘(bb) scientifically based reading instruction, including early literacy instruction; and

‘(cc) early and appropriate interventions to identify and help students with disabilities;

            ‘(V) provide training to enable special education and regular education teachers, related services personnel, and principals to involve parents in their child’s education, especially parents of low-income and limited English proficient children with disabilities; or

            ‘(VI) train administrators and other relevant school personnel in conducting facilitated individualized education program meetings.

          ‘(v) Developing and implementing initiatives to promote retention of highly qualified special education teachers, including programs that provide--

            ‘(I) teacher mentoring from exemplary special education teachers, principals, or superintendents;

            ‘(II) induction and support for special education teachers during their first 3 years of employment as teachers; or

            ‘(III) incentives, including financial incentives, to retain special education teachers who have a record of success in helping students with disabilities improve their academic achievement.

          ‘(vi) Carrying out programs and activities that are designed to improve the quality of the teacher force that serves children with disabilities, such as--

            ‘(I) 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 of the Elementary and Secondary Education Act of 1965, and are coordinated with activities carried out under this part; and

            ‘(II) 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.

        ‘(B) STATE ACTIVITIES-

          ‘(i) Reforming special education and regular education teacher certification (including recertification) or licensing requirements to ensure that--

            ‘(I) special education and regular education teachers have the training and information necessary, including an understanding of the latest scientifically valid education research and its applicability, to address the wide variety of needs of children with disabilities across disability categories;

            ‘(II) special education and regular education teachers have the necessary subject matter knowledge and teaching skills in the academic subjects that the teachers teach;

            ‘(III) special education and regular education teacher certification (including recertification) or licensing requirements are aligned with challenging State academic content standards; and

            ‘(IV) special education and regular education teachers have the subject matter knowledge and teaching skills, including technology literacy, necessary to help students meet challenging State student academic achievement standards.

          ‘(ii) Carrying out programs that establish, expand, or improve alternative routes for State certification of special education teachers for individuals who demonstrate the potential to become highly effective special education teachers, such as individuals with a baccalaureate or master’s degree (including mid-career professionals from other occupations), paraprofessionals, former military personnel, and recent college or university graduates with records of academic distinction.

          ‘(iii) Carrying out teacher advancement initiatives for special education teachers 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.

          ‘(iv) Developing and implementing mechanisms to assist local educational agencies and schools in effectively recruiting and retaining highly qualified special education teachers.

          ‘(v) 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.

          ‘(vi) Developing and implementing mechanisms to assist schools in effectively recruiting and retaining highly qualified special education teachers.

          ‘(vii) Funding projects to promote reciprocity of teacher certification or licensing between or among States for special education teachers, except that no reciprocity agreement developed under this clause or developed using funds provided under this subpart may lead to the weakening of any State teaching certification or licensing requirement.

          ‘(viii) Developing or assisting local educational agencies to serve children with disabilities through 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.

          ‘(ix) Developing, or assisting local educational agencies in developing, merit-based performance systems, and strategies that provide differential and bonus pay for special education teachers.

          ‘(x) 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 the academic achievement of children with disabilities.

          ‘(xi) Coordinating with, and expanding, centers established under section 2113(c)(18) of the Elementary and Secondary Education Act of 1965 to benefit special education teachers.

      ‘(2) CONTRACTS AND SUBGRANTS- Each such State educational agency--

        ‘(A) shall, consistent with its partnership agreement under section 654(b)(1), award contracts or subgrants to local educational agencies, institutions of higher education, and parent training and information centers, as appropriate, to carry out its State plan under this subpart; and

        ‘(B) may award contracts and subgrants to other public and private entities, including the lead agency under part C, to carry out such plan.

    ‘(b) USE OF FUNDS FOR PROFESSIONAL DEVELOPMENT- A State educational agency that receives a grant under this subpart shall use--

      ‘(1) not less than 90 percent of the funds it receives under the grant for any fiscal year for activities under subsection (a)(1)(A); and

      ‘(2) not more than 10 percent of the funds it receives under the grant for any fiscal year for activities under subsection (a)(1)(B).

    ‘(c) GRANTS TO OUTLYING AREAS- Public Law 95-134, permitting the consolidation of grants to the outlying areas, shall not apply to funds received under this subpart.

‘SEC. 656. STATE GRANT AMOUNTS.

    ‘(a) IN GENERAL- The Secretary shall make a grant to each State educational agency whose application the Secretary has selected for funding under this subpart in an amount for each fiscal year that is--

      ‘(1) not less than $500,000, nor more than $2,000,000, in the case of the 50 States, the District of Columbia, and the Commonwealth of Puerto Rico; and

      ‘(2) not less than $80,000, in the case of an outlying area.

    ‘(b) FACTORS- The Secretary shall set the amount of each grant under subsection (a) after considering--

      ‘(1) the amount of funds available for making the grants;

      ‘(2) the relative population of the State or outlying area; and

      ‘(3) the types of activities proposed by the State or outlying area, including--

        ‘(A) the alignment of proposed activities with paragraphs (14) and (15) of section 612(a);

        ‘(B) the alignment of proposed activities with the plans submitted under sections 1111 and 2112 of the Elementary and Secondary Education Act of 1965; and

        ‘(C) the use, as appropriate, of scientifically based research.

‘SEC. 657. AUTHORIZATION OF APPROPRIATIONS.

    ‘There are authorized to be appropriated to carry out this subpart $44,000,000 for fiscal year 2004 and such sums as may be necessary for each of the fiscal years 2005 through 2009.

‘Subpart 2--Scientifically Based Research; Technical Assistance; Model Demonstration Projects; Dissemination of Information; and Personnel Preparation Programs

‘SEC. 661. PURPOSE.

    ‘The purpose of this subpart is to provide Federal funding for scientifically based research, technical assistance, model demonstration projects, information dissemination, and personnel preparation programs to improve early intervention, educational, and transitional results for children with disabilities.

‘SEC. 662. ADMINISTRATIVE PROVISIONS.

    ‘(a) COMPREHENSIVE PLAN-

      ‘(1) IN GENERAL- The Secretary shall develop and implement a comprehensive plan for activities carried out under this subpart (other than section 663) in order to enhance the provision of educational, related, transitional, and early intervention services to children with disabilities under parts B and C. The plan shall include mechanisms to address educational, related services, transitional, and early intervention needs identified by State educational agencies in applications submitted under subpart 1.

      ‘(2) PUBLIC COMMENT- The Secretary shall provide a public comment period of at least 30 days on the plan.

      ‘(3) DISTRIBUTION OF FUNDS- In implementing the plan, the Secretary shall, to the extent appropriate, ensure that funds are awarded to recipients under this subpart to carry out activities that benefit, directly or indirectly, children with disabilities of all ages.

      ‘(4) REPORTS TO CONGRESS- The Secretary shall annually report to the Congress on the Secretary’s activities under this subsection, including an initial report not later than the date that is 12 months after the date of the enactment of Improving Education Results for Children With Disabilities Act of 2003.

    ‘(b) ELIGIBLE APPLICANTS-

      ‘(1) IN GENERAL- Except as otherwise provided in this subpart, the following entities are eligible to apply for a grant, contract, or cooperative agreement under this subpart:

        ‘(A) A State educational agency.

        ‘(B) A local educational agency.

        ‘(C) A public charter school that is a local educational agency under State law.

        ‘(D) An institution of higher education.

        ‘(E) Any other public agency.

        ‘(F) A private nonprofit organization.

        ‘(G) An outlying area.

        ‘(H) An Indian tribe or a tribal organization (as defined under section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450b)).

        ‘(I) A for-profit organization if the Secretary finds it appropriate given the specific purpose of the competition.

      ‘(2) SPECIAL RULE- The Secretary may limit the entities eligible for an award of a grant, contract, or cooperative agreement to one or more categories of eligible entities described in paragraph (1).

    ‘(c) SPECIAL POPULATIONS-

      ‘(1) APPLICATION REQUIREMENT- In making an award of a grant, contract, or cooperative agreement under this subpart, the Secretary shall, as appropriate, require an applicant to demonstrate how the applicant will address the needs of children with disabilities from minority backgrounds.

      ‘(2) REQUIRED OUTREACH AND TECHNICAL ASSISTANCE- Notwithstanding any other provision of this Act, the Secretary shall reserve at least two percent of the total amount of funds appropriated to carry out this subpart for either or both of the following activities:

        ‘(A) Providing outreach and technical assistance to historically black colleges and universities, and to institutions of higher education with minority enrollments of at least 25 percent, to promote the participation of such colleges, universities, and institutions in activities under this subpart.

        ‘(B) Enabling historically black colleges and universities, and the institutions described in subparagraph (A), to assist other colleges, universities, institutions, and agencies in improving educational and transitional results for children with disabilities, if such grant applicants meet the criteria established by the Secretary under this subpart.

    ‘(d) PRIORITIES- The Secretary, in making an award of a grant, contract, or cooperative agreement under this subpart, may, without regard to the rulemaking procedures under section 553 of title 5, United States Code, limit competitions to, or otherwise give priority to--

      ‘(1) projects that address one or more--

        ‘(A) age ranges;

        ‘(B) disabilities;

        ‘(C) school grades;

        ‘(D) types of educational placements or early intervention environments;

        ‘(E) types of services;

        ‘(F) content areas, such as reading; or

        ‘(G) effective strategies for helping children with disabilities learn appropriate behavior in the school and other community-based educational settings;

      ‘(2) projects that address the needs of children based on the severity or incidence of their disability;

      ‘(3) projects that address the needs of--

        ‘(A) low-achieving students;

        ‘(B) underserved populations;

        ‘(C) children from low-income families;

        ‘(D) children with limited English proficiency;

        ‘(E) unserved and underserved areas;

        ‘(F) rural or urban areas;

        ‘(G) children whose behavior interferes with their learning and socialization;

        ‘(H) children with intractable reading difficulties; and

        ‘(I) children in public charter schools;

      ‘(4) projects to reduce inappropriate identification of children as children with disabilities, particularly among minority children; and

      ‘(5) any activity that is expressly authorized in this subpart or subpart 3.

    ‘(e) APPLICANT AND RECIPIENT RESPONSIBILITIES-

      ‘(1) DEVELOPMENT AND ASSESSMENT OF PROJECTS- The Secretary shall require that an applicant for, and a recipient of, a grant, contract, or cooperative agreement for a project under this subpart--

        ‘(A) involve individuals with disabilities, or parents of individuals with disabilities ages birth through 26, in planning, implementing, and evaluating the project; and

        ‘(B) where appropriate, determine whether the project has any potential for replication and adoption by other entities.

      ‘(2) ADDITIONAL RESPONSIBILITIES- The Secretary may require a recipient of a grant, contract, or cooperative agreement for a project under this subpart--

        ‘(A) to share in the cost of the project;

        ‘(B) to prepare the research and evaluation findings and products from the project in formats that are useful for specific audiences, including parents, administrators, teachers, early intervention personnel, related services personnel, and individuals with disabilities;

        ‘(C) to disseminate such findings and products; and

        ‘(D) to collaborate with other such recipients in carrying out subparagraphs (B) and (C).

    ‘(f) APPLICATION MANAGEMENT-

      ‘(1) STANDING PANEL-

        ‘(A) IN GENERAL- The Secretary shall establish and use a standing panel of experts who are qualified, by virtue of their training, expertise, or experience, to evaluate applications under this subpart (other than section 663) that, individually, request more than $75,000 per year in Federal financial assistance.

        ‘(B) MEMBERSHIP- The standing panel shall include, at a minimum--

          ‘(i) individuals who are representatives of institutions of higher education that plan, develop, and carry out high-quality programs of personnel preparation;

          ‘(ii) individuals who design and carry out scientifically-based research targeted to the improvement of special education programs and services;

          ‘(iii) individuals who have recognized experience and knowledge necessary to integrate and apply scientifically-based research findings to improve educational and transitional results for children with disabilities;

          ‘(iv) individuals who administer programs at the State or local level in which children with disabilities participate;

          ‘(v) individuals who prepare parents of children with disabilities to participate in making decisions about the education of their children;

          ‘(vi) individuals who establish policies that affect the delivery of services to children with disabilities;

          ‘(vii) individuals who are parents of children with disabilities ages birth through 26 who are benefiting, or have benefited, from coordinated research, personnel preparation, and technical assistance; and

          ‘(viii) individuals with disabilities.

        ‘(C) TERM- No individual shall serve on the standing panel for more than 3 consecutive years.

      ‘(2) PEER-REVIEW PANELS FOR PARTICULAR COMPETITIONS-

        ‘(A) COMPOSITION- The Secretary shall ensure that each subpanel selected from the standing panel that reviews applications under this subpart (other than section 663) includes--

          ‘(i) individuals with knowledge and expertise on the issues addressed by the activities authorized by the subpart; and

          ‘(ii) to the extent practicable, parents of children with disabilities ages birth through 26, individuals with disabilities, and persons from diverse backgrounds.

        ‘(B) FEDERAL EMPLOYMENT LIMITATION- A majority of the individuals on each subpanel that reviews an application under this subpart (other than section 663) shall be individuals who are not employees of the Federal Government.

      ‘(3) USE OF DISCRETIONARY FUNDS FOR ADMINISTRATIVE PURPOSES-

        ‘(A) EXPENSES AND FEES OF NON-FEDERAL PANEL MEMBERS- The Secretary may use funds available under this subpart to pay the expenses and fees of the panel members who are not officers or employees of the Federal Government.

        ‘(B) ADMINISTRATIVE SUPPORT- The Secretary may use not more than 1 percent of the funds appropriated to carry out this subpart to pay non-Federal entities for administrative support related to management of applications submitted under this subpart.

    ‘(g) PROGRAM EVALUATION- The Secretary may use funds appropriated to carry out this subpart to evaluate activities carried out under the subpart.

    ‘(h) MINIMUM FUNDING REQUIRED-

      ‘(1) IN GENERAL- Subject to paragraph (2), the Secretary shall ensure that, for each fiscal year, at least the following amounts are provided under this subpart to address the following needs:

        ‘(A) $12,832,000 to address the educational, related services, transitional, and early intervention needs of children with deaf-blindness.

        ‘(B) $4,000,000 to address the postsecondary, vocational, technical, continuing, and adult education needs of individuals with deafness.

        ‘(C) $4,000,000 to address the educational, related services, and transitional needs of children with an emotional disturbance and those who are at risk of developing an emotional disturbance.

      ‘(2) RATABLE REDUCTION- If the total amount appropriated to carry out this subpart for any fiscal year is less than $130,000,000, the amounts listed in paragraph (1) shall be ratably reduced.

    ‘(i) ELIGIBILITY FOR FINANCIAL ASSISTANCE- Effective for fiscal years for which the Secretary may make grants under section 619(b), no State or local educational agency or educational service agency or other public institution or agency may receive a grant under this subpart which relates exclusively to programs, projects, and activities pertaining to children aged 3 through 5, inclusive, unless the State is eligible to receive a grant under section 619(b).

‘SEC. 663. RESEARCH TO IMPROVE RESULTS FOR CHILDREN WITH DISABILITIES.

    ‘(a) NATIONAL CENTER FOR SPECIAL EDUCATION RESEARCH-

      ‘(1) ESTABLISHMENT-

        ‘(A) IN GENERAL- There is established, in the Institute of Education Sciences established under section 111 of the Education Sciences Reform Act of 2002 (Public Law 107-279; 116 Stat. 1944) (hereinafter in this section referred to as ‘the Institute’), the National Center for Special Education Research.

        ‘(B) COMMISSIONER- The National Center for Special Education Research shall be headed by a Commissioner for Special Education Research (hereinafter in this section referred to as ‘the Commissioner’). The Commissioner shall be appointed by the Director of the Institute (hereinafter in this section referred to as ‘the Director’) in accordance with section 117 of the Education Sciences Reform Act of 2002. The Commissioner shall have substantial knowledge of the Center’s activities, including a high level of expertise in the fields of research and research management.

      ‘(2) APPLICABILITY OF EDUCATION SCIENCE REFORM ACT OF 2002- Parts A and E of the Education Sciences Reform Act of 2002, as well as the standards for peer review of applications and for the conduct and evaluation of research under sections 133(a) and 134 of such Act, shall apply to the Secretary, the Director, and the Commissioner in carrying out this section.

    ‘(b) COMPETITIVE GRANTS- The Director shall make competitive grants to, or enter into contracts or cooperative agreements with, eligible entities to expand the fundamental knowledge and understanding of the education of infants, toddlers, and children with disabilities in order to improve educational results for such individuals, in accordance with the priorities determined under this section.

    ‘(c) AUTHORIZED ACTIVITIES- Activities that may be carried out under this section include research activities--

      ‘(1) to improve services provided under this Act in order to improve academic achievement for children with disabilities;

      ‘(2) to investigate scientifically based educational practices that support learning and improve academic achievement and progress for all students with disabilities;

      ‘(3) to examine the special needs of preschool-aged children and infants and toddlers with disabilities, including factors that may result in developmental delays;

      ‘(4) to investigate scientifically based related services and interventions that promote participation and progress in the general education curriculum;

      ‘(5) to improve the alignment, compatibility, and development of valid and reliable assessment methods for assessing adequate yearly progress, as described under section 1111(b)(2)(B) of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 6311(b)(2)(B));

      ‘(6) to improve the alignment, compatibility, and development of valid and reliable alternate assessment methods for assessing adequate yearly progress, as described under such section 1111(b)(2)(B);

      ‘(7) to examine State content standards and alternate assessments for students with a significant cognitive impairment in terms of academic achievement, individualized instructional need, appropriate educational settings, and improved post-school results;

      ‘(8) to examine the educational and developmental needs of children with high-incidence and low-incidence disabilities;

      ‘(9) to examine the extent to which overidentification and underidentification of children with disabilities occurs, and the causes thereof;

      ‘(10) to improve reading and literacy skills for children with disabilities;

      ‘(11) to examine and improve secondary and postsecondary education and transitional needs of children with disabilities;

      ‘(12) to examine methods of early intervention for children with disabilities who need significant levels of support;

      ‘(13) to examine universal design concepts in the development of assessments, curricula, and instructional methods as a method to improve educational results for children with disabilities;

      ‘(14) to improve the professional preparation for personnel who provide educational and related services to children with disabilities, including children with low-incidence disabilities, to increase academic achievement of children with disabilities;

      ‘(15) to examine the excess costs of educating a child with a disability and expenses associated with high-cost special education and related services; and

      ‘(16) to examine the special needs of limited English proficient children with disabilities.

    ‘(d) PLAN- The National Center for Special Education Research shall propose to the Director a research plan, with the advice of the Assistant Secretary for Special Education and Rehabilitative Services, that--

      ‘(1) is consistent with the priorities and mission of the Institute of Educational Sciences and the mission of the Special Education Research Center and includes the activities described in paragraph (3);

      ‘(2) shall be carried out pursuant to subsection (c) and, as appropriate, be updated and modified; and

      ‘(3) carries out specific, long-term research activities that are consistent with the priorities and mission of the Institute of Educational Sciences, and are approved by the Director.

    ‘(e) IMPLEMENTATION- The National Center for Special Education Research shall implement the plan proposed under subsection (d) to carry out scientifically valid research that--

      ‘(1) is consistent with the purposes of this Act;

      ‘(2) reflects an appropriate balance across all age ranges of children with disabilities;

      ‘(3) provides for research that is objective and that uses measurable indicators to assess its progress and results;

      ‘(4) includes both basic research and applied research, which shall include research conducted through field-initiated studies and which may include ongoing research initiatives;

      ‘(5) ensures that the research conducted under this section is relevant to special education practice and policy;

      ‘(6) synthesize and disseminate, through the National Center for Education Evaluation and Regional Assistance as well as activities authorized under this part, the findings and results of education research conducted or supported by the National Center for Special Education Research; and

      ‘(7) assist the Director in the preparation of a biennial report, as a described in section 119 of the Education Sciences Reform Act of 2003.

    ‘(f) APPLICATIONS- An eligible entity that wishes to receive a grant, or enter into a contract or cooperative agreement, under this section shall submit an application to the Commissioner at such time, in such manner, and containing such information as the Commissioner may reasonably require.

‘SEC. 664. TECHNICAL ASSISTANCE, DEMONSTRATION PROJECTS, DISSEMINATION OF INFORMATION, AND IMPLEMENTATION OF SCIENTIFICALLY BASED RESEARCH.

    ‘(a) IN GENERAL- The Secretary shall make competitive grants to, or enter into contracts or cooperative agreements with, eligible entities including regional resource centers and clearinghouses to provide technical assistance, support model demonstration projects, disseminate useful information, and implement activities that are supported by scientifically based research.

    ‘(b) REQUIRED ACTIVITIES- Funds received under this section shall be used to support activities to improve services provided under this Act, including the practices of professionals and others involved in providing such services to children with disabilities, that promote academic achievement and improve results for children with disabilities through--

      ‘(1) implementing effective strategies for addressing inappropriate behavior of students with disabilities in schools, including strategies to prevent children with emotional and behavioral problems from developing emotional disturbances that require the provision of special education and related services;

      ‘(2) improving the alignment, compatibility, and development of valid and reliable assessments and alternate assessments for assessing adequate yearly progress, as described under section 1111(b)(2)(B) of the Elementary and Secondary Education Act of 1965;

      ‘(3) providing training for both regular education teachers and special education teachers to address the needs of students with different learning styles;

      ‘(4) identifying innovative, effective, and efficient curricula designs, instructional approaches, and strategies, and identifying positive academic and social learning opportunities, that--

        ‘(A) provide effective transitions between educational settings or from school to post school settings; and

        ‘(B) improve educational and transitional results at all levels of the educational system in which the activities are carried out and, in particular, that improve the progress of children with disabilities, as measured by assessments within the general education curriculum involved; and

      ‘(5) demonstrating and applying scientifically based findings to facilitate systemic changes, related to the provision of services to children with disabilities, in policy, procedure, practice, and the training and use of personnel.

    ‘(c) AUTHORIZED ACTIVITIES- Activities that may be carried out under this section include activities to improve services provided under this Act, including the practices of professionals and others involved in providing such services to children with disabilities, that promote academic achievement and improve results for children with disabilities through--

      ‘(1) applying and testing research findings in typical service settings to determine the usefulness, effectiveness, and general applicability of such research findings in such areas as improving instructional methods, curricula, and tools, such as textbooks and media;

      ‘(2) supporting and promoting the coordination of early intervention and educational services for children with disabilities with services provided by health, rehabilitation, and social service agencies;

      ‘(3) promoting improved alignment and compatibility of general and special education reforms concerned with curricular and instructional reform, and evaluation of such reforms;

      ‘(4) enabling professionals, parents of children with disabilities, and other persons to learn about, and implement, the findings of scientifically based research, and successful practices developed in model demonstration projects, relating to the provision of services to children with disabilities;

      ‘(5) conducting outreach, and disseminating information, relating to successful approaches to overcoming systemic barriers to the effective and efficient delivery of early intervention, educational, and transitional services to personnel who provide services to children with disabilities;

      ‘(6) assisting States and local educational agencies with the process of planning systemic changes that will promote improved early intervention, educational, and transitional results for children with disabilities;

      ‘(7) promoting change through a multistate or regional framework that benefits States, local educational agencies, and other participants in partnerships that are in the process of achieving systemic-change outcomes;

      ‘(8) focusing on the needs and issues that are specific to a population of children with disabilities, such as the provision of single-State and multi-State technical assistance and in-service training--

        ‘(A) to schools and agencies serving deaf-blind children and their families;

        ‘(B) to programs and agencies serving other groups of children with low-incidence disabilities and their families;

        ‘(C) addressing the postsecondary education needs of individuals who are deaf or hard-of-hearing; and

        ‘(D) to schools and personnel providing special education and related services for children with autism spectrum disorders;

      ‘(9) demonstrating models of personnel preparation to ensure appropriate placements and services for all students and reduce disproportionality in eligibility, placement, and disciplinary actions for minority and limited English proficient children; and

      ‘(10) disseminating information on how to reduce racial and ethnic disproportionalities identified under section 618.

    ‘(d) BALANCE AMONG ACTIVITIES AND AGE RANGES- In carrying out this section, the Secretary shall ensure that there is an appropriate balance across all age ranges of children with disabilities.

    ‘(e) LINKING STATES TO INFORMATION SOURCES- In carrying out this section, the Secretary shall support projects that link States to technical assistance resources, including special education and general education resources, and shall make research and related products available through libraries, electronic networks, parent training projects, and other information sources, including through the activities of the National Center for Evaluation and Regional Assistance established under the Education Sciences Reform Act.

    ‘(f) APPLICATIONS-

      ‘(1) IN GENERAL- An eligible entity that wishes to receive a grant, or enter into a contract or cooperative agreement, under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require.

      ‘(2) STANDARDS- To the maximum extent feasible, each applicant shall demonstrate that the project described in its application is supported by scientifically valid research that has been carried out in accordance with the standards for the conduct and evaluation of all relevant research and development established by the National Center for Education Research.

      ‘(3) PRIORITY- As appropriate, the Secretary shall give priority to applications that propose to serve teachers and school personnel directly in the school environment.

‘SEC. 665. PERSONNEL PREPARATION PROGRAMS TO IMPROVE SERVICES AND RESULTS FOR CHILDREN WITH DISABILITIES.

    ‘(a) IN GENERAL- The Secretary shall, on a competitive basis, make grants to, or enter into contracts or cooperative agreements with, eligible entities--

      ‘(1) to help address State-identified needs for qualified personnel in special education, related services, early intervention, and regular education, to work with children with disabilities;

      ‘(2) to ensure that those personnel have the necessary skills and knowledge, derived from practices that have been determined, through scientifically valid research, to be successful in serving those children;

      ‘(3) to encourage increased focus on academics and core content areas in special education personnel preparation programs;

      ‘(4) to ensure that regular education teachers have the necessary skills and knowledge to provide instruction to students with disabilities in the regular education classroom;

      ‘(5) to provide high-quality professional development for principals, superintendents, and other administrators, including training in--

        ‘(A) instructional leadership;

        ‘(B) behavioral supports in the school and classroom;

        ‘(C) paperwork reduction;

        ‘(D) promoting improved collaboration between special education and general education teachers;

        ‘(E) assessment and accountability;

        ‘(F) ensuring effective learning environments; and

        ‘(G) fostering positive relationships with parents; and

      ‘(6) to ensure that all special education teachers teaching in core academic subjects are highly qualified.

    ‘(b) PERSONNEL PREPARATION; AUTHORIZED ACTIVITIES-

      ‘(1) IN GENERAL- In carrying out this section, the Secretary shall support activities, including activities for high-incidence and low-incidence disabilities, consistent with the objectives described in subsection (a).

      ‘(2) AUTHORIZED ACTIVITIES- Activities that may be carried out under this subsection include the following:

        ‘(A) Promoting activities undertaken by institutions of higher education, local educational agencies, and other local entities--

          ‘(i) to improve and reform their existing programs, and to support effective existing programs, to prepare teachers and related services personnel--

            ‘(I) to meet the diverse needs of children with disabilities for early intervention, educational, and transitional services; and

            ‘(II) to work collaboratively in regular classroom settings; and

          ‘(ii) to incorporate best practices and scientifically based research about preparing personnel--

            ‘(I) so they will have the knowledge and skills to improve educational results for children with disabilities; and

            ‘(II) so they can implement effective teaching strategies and interventions to ensure appropriate identification, and to prevent the misidentification or overidentification, of children as having a disability, especially minority and limited English proficient children.

        ‘(B) Developing, evaluating, and disseminating innovative models for the recruitment, induction, retention, and assessment of highly qualified teachers to reduce shortages in personnel.

        ‘(C) Developing and improving programs for paraprofessionals to assist in the provision of special education, related services, and early intervention services, including interdisciplinary training to enable them to improve early intervention, educational, and transitional results for children with disabilities.

        ‘(D) Demonstrating models for the preparation of, and interdisciplinary training of, early intervention, special education, and general education personnel, to enable the personnel to acquire the collaboration skills necessary to work within teams to improve results for children with disabilities, particularly within the general education curriculum.

        ‘(E) Promoting the transferability, across State and local jurisdictions, of licensure and certification of teachers and administrators working with such children.

        ‘(F) Developing and disseminating models that prepare teachers with strategies, including behavioral interventions, for addressing the conduct of children with disabilities that impedes their learning and that of others in the classroom.

        ‘(G) Developing and improving programs to enhance the ability of general education teachers, principals, school administrators, and school board members to improve results for children with disabilities.

        ‘(H) Supporting institutions of higher education with minority enrollments of at least 25 percent for the purpose of preparing personnel to work with children with disabilities.

        ‘(I) Developing and improving programs to train special education teachers with an expertise in autism spectrum disorders.

    ‘(c) LOW-INCIDENCE DISABILITIES; AUTHORIZED ACTIVITIES-

      ‘(1) IN GENERAL- In carrying out this section, the Secretary shall support activities, consistent with the objectives described in subsection (a), that benefit children with low-incidence disabilities.

      ‘(2) AUTHORIZED ACTIVITIES- Activities that may be carried out under this subsection include activities such as the following:

        ‘(A) Preparing persons who--

          ‘(i) have prior training in educational and other related service fields; and

          ‘(ii) are studying to obtain degrees, certificates, or licensure that will enable them to assist children with low-incidence disabilities to achieve the objectives set out in their individualized education programs described in section 614(d), or to assist infants and toddlers with low incidence disabilities to achieve the outcomes described in their individualized family service plans described in section 636.

        ‘(B) Providing personnel from various disciplines with interdisciplinary training that will contribute to improvement in early intervention, educational, and transitional results for children with low-incidence disabilities.

        ‘(C) Preparing personnel in the innovative uses and application of technology to enhance learning by children with low-incidence disabilities through early intervention, educational, and transitional services.

        ‘(D) Preparing personnel who provide services to visually impaired or blind children to teach and use Braille in the provision of services to such children.

        ‘(E) Preparing personnel who provide services to deaf and hard-of-hearing children by providing direct language and communication access to the general education curriculum through spoken or signed languages, or other modes of communication.

        ‘(F) Preparing personnel to be qualified educational interpreters, to assist children with low-incidence disabilities, particularly deaf and hard-of-hearing children in school and school-related activities and deaf and hard-of-hearing infants and toddlers and preschool children in early intervention and preschool programs.

      ‘(3) DEFINITION- As used in this section, the term ‘low-incidence disability’ means--

        ‘(A) a visual or hearing impairment, or simultaneous visual and hearing impairments;

        ‘(B) a significant cognitive impairment; or

        ‘(C) any impairment for which a small number of personnel with highly specialized skills and knowledge are needed in order for children with that impairment to receive early intervention services or a free appropriate public education.

      ‘(4) SELECTION OF RECIPIENTS- In selecting recipients under this subsection, the Secretary may give preference to applications that propose to prepare personnel in more than one low-incidence disability, such as deafness and blindness.

      ‘(5) PREPARATION IN USE OF BRAILLE- The Secretary shall ensure that all recipients of assistance under this subsection who will use that assistance to prepare personnel to provide services to visually impaired or blind children that can appropriately be provided in Braille will prepare those individuals to provide those services in Braille.

    ‘(d) LEADERSHIP PREPARATION; AUTHORIZED ACTIVITIES-

      ‘(1) IN GENERAL- In carrying out this section, the Secretary shall support leadership preparation activities that are consistent with the objectives described in subsection (a).

      ‘(2) AUTHORIZED ACTIVITIES- Activities that may be carried out under this subsection include activities such as the following:

        ‘(A) Preparing personnel at the graduate, doctoral, and postdoctoral levels of training to administer, enhance, or provide services to improve results for children with disabilities.

        ‘(B) Providing interdisciplinary training for various types of leadership personnel, including teacher preparation faculty, related services faculty, administrators, researchers, supervisors, principals, and other persons whose work affects early intervention, educational, and transitional services for children with disabilities.

    ‘(e) APPLICATIONS-

      ‘(1) IN GENERAL- Any eligible entity that wishes to receive a grant, or enter into a contract or cooperative agreement, under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require.

      ‘(2) IDENTIFIED STATE NEEDS-

        ‘(A) REQUIREMENT TO ADDRESS IDENTIFIED NEEDS- Any application under subsection (b), (c), or (d) shall include information demonstrating to the satisfaction of the Secretary that the activities described in the application will address needs identified by the State or States the applicant proposes to serve.

        ‘(B) COOPERATION WITH STATE EDUCATIONAL AGENCIES- Any applicant that is not a local educational agency or a State educational agency shall include information demonstrating to the satisfaction of the Secretary that the applicant and one or more State educational agencies or local educational agencies will cooperate in carrying out and monitoring the project.

      ‘(3) ACCEPTANCE BY STATES OF PERSONNEL PREPARATION REQUIREMENTS- The Secretary may require applicants to provide assurances from one or more States that such States--

        ‘(A) intend to accept successful completion of the proposed personnel preparation program as meeting State personnel standards or other requirements in State law or regulation for serving children with disabilities or serving infants and toddlers with disabilities; and

        ‘(B) need personnel in the area or areas in which the applicant proposes to provide preparation, as identified in the States’ comprehensive systems of personnel development under parts B and C.

    ‘(f) SELECTION OF RECIPIENTS-

      ‘(1) IMPACT OF PROJECT- In selecting recipients under this section, the Secretary shall consider the impact of the project proposed in the application in meeting the need for personnel identified by the States.

      ‘(2) REQUIREMENT ON APPLICANTS TO MEET STATE AND PROFESSIONAL STANDARDS- The Secretary shall make grants under this section only to eligible applicants that meet State and professionally recognized standards for the preparation of special education and related services personnel, if the purpose of the project is to assist personnel in obtaining degrees.

      ‘(3) PREFERENCES- In selecting recipients under this section, the Secretary may--

        ‘(A) give preference to institutions of higher education that are educating regular education personnel to meet the needs of children with disabilities in integrated settings and educating special education personnel to work in collaboration with regular educators in integrated settings; and

        ‘(B) give preference to institutions of higher education that are successfully recruiting and preparing individuals with disabilities and individuals from groups that are underrepresented in the profession for which they are preparing individuals.

    ‘(g) SERVICE OBLIGATION-

      ‘(1) IN GENERAL- Each application for funds under subsections (b) and (c) shall include an assurance that the applicant will ensure that individuals who receive a scholarship under the proposed project will subsequently provide special education and related services to children with disabilities for a period of 2 years for every year for which assistance was received or repay all or part of the cost of that assistance, in accordance with regulations issued by the Secretary.

      ‘(2) LEADERSHIP PREPARATION- Each application for funds under subsection (d) shall include an assurance that the applicant will ensure that individuals who receive a scholarship under the proposed project will subsequently perform work related to their preparation for a period of 2 years for every year for which assistance was received or repay all or part of such costs, in accordance with regulations issued by the Secretary.

    ‘(h) SCHOLARSHIPS- The Secretary may include funds for scholarships, with necessary stipends and allowances, in awards under subsections (b), (c), and (d).

‘SEC. 666. STUDIES AND EVALUATIONS.

    ‘(a) IN GENERAL-

      ‘(1) PROGRESS ASSESSMENT- The Secretary shall, in accordance with the priorities determined under this section and in section 663, directly or through competitive grants, contracts, or cooperative agreements, assess the progress in the implementation of this Act, including the effectiveness of State and local efforts to provide--

        ‘(A) a free appropriate public education to children with disabilities; and

        ‘(B) early intervention services to infants and toddlers with disabilities and infants and toddlers who would be at risk of having substantial developmental delays if early intervention services were not provided to them.

      ‘(2) DELEGATION- Notwithstanding any other provision of law, the Secretary shall designate the Director of the Institute for Education Sciences to carry out this section.

      ‘(3) AUTHORIZED ACTIVITIES- In carrying out this subsection, the Secretary may support objective studies, evaluations, and assessments, including studies that--

        ‘(A) analyze issues identified in the research agenda in section 663(d);

        ‘(B) meet the standards in section 663(c); and

        ‘(C) undertake one or more of the following:

          ‘(i) An analysis of the measurable impact, outcomes, and results achieved by State educational agencies and local educational agencies through their activities to reform policies, procedures, and practices designed to improve educational and transitional services and results for children with disabilities.

          ‘(ii) An analysis of State and local needs for professional development, parent training, and other appropriate activities that can reduce the need for disciplinary actions involving children with disabilities.

          ‘(iii) An assessment of educational and transitional services and results for children with disabilities from minority backgrounds, including--

            ‘(I) data on--

‘(aa) the number of minority children who are referred for special education evaluation;

‘(bb) the number of minority children who are receiving special education and related services and their educational or other service placement;

‘(cc) the number of minority children who graduated from secondary programs with a regular diploma in the standard number of years; and

‘(dd) the number of minority children who drop out of the educational system without a regular diploma; and

            ‘(II) the performance of children with disabilities from minority backgrounds on State assessments and other performance indicators established for all students.

          ‘(iv) A measurement of educational and transitional services and results of children with disabilities served under this Act, including longitudinal studies that--

            ‘(I) examine educational and transitional services and results for children with disabilities who are 3 through 17 years of age and are receiving special education and related services under this Act, using a national, representative sample of distinct age cohorts and disability categories; and

            ‘(II) examine educational results, transition services, postsecondary placement, and employment status of individuals with disabilities, 18 through 21 years of age, who are receiving or have received special education and related services under this Act.

          ‘(v) An identification and report on the placement of children with disabilities by disability category.

    ‘(b) NATIONAL ASSESSMENT-

      ‘(1) IN GENERAL- The Secretary shall carry out a national assessment of activities carried out with Federal funds under this Act in order--

        ‘(A) to determine the effectiveness of this Act in achieving its purposes;

        ‘(B) to provide timely information to the President, the Congress, the States, local educational agencies, and the public on how to implement the Act more effectively; and

        ‘(C) to provide the President and the Congress with information that will be useful in developing legislation to achieve the purposes of this Act more effectively.

      ‘(2) PUBLIC COMMENT-

        ‘(A) PLAN- Not later than 12 months after the date of enactment of the Improving Education Results for Children With Disabilities Act of 2003, the Secretary shall publish in the Federal Register for public comment a comprehensive plan for developing and conducting the national assessment.

        ‘(B) COMMENT PERIOD- The Secretary shall provide a public comment period of at least 30 days on such plan.

      ‘(3) SCOPE OF ASSESSMENT- The national assessment shall assess the--

        ‘(A) implementation of programs assisted under this Act and the impact of such programs on addressing the developmental needs of, and improving the academic achievement of, children with disabilities to enable them to reach challenging developmental goals and challenging State academic content standards based on State academic assessments;

        ‘(B) types of programs and services that have demonstrated the greatest likelihood of helping students reach the challenging State academic content standards and developmental goals;

        ‘(C) implementation of the professional development activities assisted under this Act and the impact on instruction, student academic achievement, and teacher qualifications to enhance the ability of special education teachers and regular education teachers to improve results for children with disabilities; and

        ‘(D) effectiveness of schools, local educational agencies, States, other recipients of assistance under this Act, and the Secretary in achieving the purposes of this Act by--

          ‘(i) improving the academic achievement of children with disabilities and their performance on regular statewide assessments as compared to nondisabled children, and the performance of children with disabilities on alternate assessments;

          ‘(ii) improving the participation of children with disabilities in the general education curriculum;

          ‘(iii) improving the transitions of children with disabilities at natural transition points;

          ‘(iv) placing and serving children with disabilities, including minority children, in the least restrictive environment appropriate;

          ‘(v) preventing children with disabilities, especially children with emotional disturbances and specific learning disabilities, from dropping out of school;

          ‘(vi) addressing the reading and literacy needs of children with disabilities;

          ‘(vii) reducing the overidentification of children, especially minority and limited English proficient children, as having a disability;

          ‘(viii) improving the participation of parents of children with disabilities in the education of their children; and

          ‘(ix) resolving disagreements between education personnel and parents through alternate dispute resolution activities including mediation and voluntary binding arbitration.

      ‘(4) INTERIM AND FINAL REPORTS- The Secretary shall submit to the President and the Congress--

        ‘(A) an interim report that summarizes the preliminary findings of the assessment not later than 30 months after the date of the enactment of the Improving Education Results for Children With Disabilities Act of 2003; and

        ‘(B) a final report of the findings of the assessment not later than 5 years after the date of the enactment of such Act.

    ‘(c) ANNUAL REPORT- The Secretary shall provide an annual report to the Congress that--

      ‘(1) summarizes the research conducted under section 663;

      ‘(2) analyzes and summarizes the data reported by the States and the Secretary of the Interior under section 618;

      ‘(3) summarizes the studies and evaluations conducted under this section and the timeline for their completion;

      ‘(4) describes the extent and progress of the national assessment; and

      ‘(5) describes the findings and determinations resulting from reviews of State implementation of this Act.

‘SEC. 667. AUTHORIZATION OF APPROPRIATIONS.

    ‘There are authorized to be appropriated to carry out sections 663, 664, and 666 $171,861,000 for fiscal year 2004 and such sums as may be necessary for each of the fiscal years 2005 through 2009. There are authorized to be appropriated to carry out section 665 $90,000,000 for fiscal year 2004 and such sums as may be necessary for each of the fiscal years 2005 through 2009.

‘Subpart 3--Supports To Improve Results for Children With Disabilities

‘SEC. 671. PURPOSES.

    ‘The purposes of this subpart are to ensure that--

      ‘(1) children with disabilities and their parents receive training and information on their rights, responsibilities, and protections under this Act, in order to develop the skills necessary to cooperatively and effectively participate in planning and decisionmaking relating to early intervention, educational, and transitional services;

      ‘(2) parents, teachers, administrators, early intervention personnel, related services personnel, and transition personnel receive coordinated and accessible technical assistance and information to assist them in improving early intervention, educational, and transitional services and results for children with disabilities and their families; and

      ‘(3) appropriate technology and media are researched, developed, and demonstrated, to improve and implement early intervention, educational, and transitional services and results for children with disabilities and their families.

‘SEC. 672. PARENT TRAINING AND INFORMATION CENTERS.

    ‘(a) PROGRAM AUTHORIZED- The Secretary may make grants to, and enter into contracts and cooperative agreements with, parent organizations to support parent training and information centers to carry out activities under this section.

    ‘(b) REQUIRED ACTIVITIES- Each parent and community training and information center that receives assistance under this section shall--

      ‘(1) provide training and information that meets the needs of parents of children with disabilities living in the area served by the center, including underserved parents and parents of children who may be inappropriately identified, to enable children with disabilities--

        ‘(A) to meet developmental and challenging academic achievement goals that have been established for all children; and

        ‘(B) to be prepared to lead productive independent adult lives to the maximum extent possible;

      ‘(2) ensure that the training and information provided meets the needs of low-income parents and parents of children with limited English proficiency;

      ‘(3) serve the parents of infants, toddlers, and children with the full range of disabilities;

      ‘(4) assist parents--

        ‘(A) to better understand the nature of their children’s disabilities and their educational, developmental, and transitional needs;

        ‘(B) to communicate effectively and work collaboratively with personnel responsible for providing special education, early intervention, transition services, and related services;

        ‘(C) to participate in decisionmaking processes and the development of individualized education programs under part B and individualized family service plans under part C;

        ‘(D) to obtain appropriate information about the range, type and quality of options, programs, services, and resources available to assist children with disabilities and their families in school and at home;

        ‘(E) to understand the provisions of this Act for the education of, and the provision of early intervention services to, children with disabilities; and

        ‘(F) to participate in activities at the school level which benefit their children;

      ‘(5) assist parents in resolving disputes in the most expeditious way possible, including encouraging the use, and explaining the benefits, of alternative methods of dispute resolution, such as the use of individualized education program facilitators and mediation and voluntary binding arbitration processes described in section 615(e);

      ‘(6) assist parents to understand the availability of, and how to effectively use, procedural safeguards under this Act;

      ‘(7) network with appropriate clearinghouses, including organizations conducting national dissemination activities under subpart 2 and the Institute of Educational Sciences, and with other national, State, and local organizations and agencies, such as protection and advocacy agencies, that serve parents and families of children with the full range of disabilities; and

      ‘(8) annually report to the Secretary on--

        ‘(A) the number and demographics of parents to whom it provided information and training in the most recently concluded fiscal year; and

        ‘(B) the effectiveness of strategies used to reach and serve parents, including underserved parents of children with disabilities.

    ‘(c) OPTIONAL ACTIVITIES- A parent training and community and information center that receives assistance under this section may--

      ‘(1) provide information to teachers and other professionals to assist them in improving results for children with disabilities; and

      ‘(2) assist students with disabilities to understand their rights and responsibilities under section 615(l) on reaching the age of majority.

    ‘(d) APPLICATION REQUIREMENTS- Each application for assistance under this section shall identify with specificity the special efforts that the applicant will undertake--

      ‘(1) to ensure that the needs for training and information of underserved parents of children with disabilities in the area to be served are effectively met; and

      ‘(2) to work with community-based organizations, including those that work with low-income parents and parents of children with limited English proficiency.

    ‘(e) DISTRIBUTION OF FUNDS-

      ‘(1) IN GENERAL- The Secretary shall make at least 1 award to a parent organization in each State, unless the Secretary does not receive an application from such an organization in each State of sufficient quality to warrant approval.

      ‘(2) SELECTION REQUIREMENT- The Secretary shall select among applications submitted by parent organizations in a State in a manner that ensures the most effective assistance to parents, including parents in urban and rural areas, in the State.

    ‘(f) QUARTERLY REVIEW-

      ‘(1) REQUIREMENTS-

        ‘(A) MEETINGS- The board of directors or special governing committee of each organization that receives an award under this section shall meet at least once in each calendar quarter to review the activities for which the award was made.

        ‘(B) ADVISING BOARD- Each special governing committee shall directly advise the organization’s governing board of its views and recommendations.

      ‘(2) CONTINUATION AWARD- When an organization requests a continuation award under this section, the board of directors or special governing committee shall submit to the Secretary a written review of the parent training and information program conducted by the organization during the preceding fiscal year.

    ‘(g) DEFINITION OF PARENT ORGANIZATION- As used in this section, the term ‘parent organization’ means a private nonprofit organization (other than an institution of higher education) that--

      ‘(1) has a board of directors--

        ‘(A) the majority of whom are parents of children with disabilities ages birth through 26;

        ‘(B) that includes--

          ‘(i) individuals working in the fields of special education, related services, and early intervention; and

          ‘(ii) individuals with disabilities; and

        ‘(C) the parent and professional members of which are broadly representative of the population to be served, including low-income and limited English proficient parents of children with disabilities; or

      ‘(2) has--

        ‘(A) a membership that represents the interests of individuals with disabilities and has established a special governing committee that meets the requirements of paragraph (1); and

        ‘(B) a memorandum of understanding between the special governing committee and the board of directors of the organization that clearly outlines the relationship between the board and the committee and the decisionmaking responsibilities and authority of each.

‘SEC. 673. COMMUNITY PARENT RESOURCE CENTERS.

    ‘(a) IN GENERAL- The Secretary may make grants to, and enter into contracts and cooperative agreements with, local parent organizations to support parent training and information centers that will help ensure that underserved parents of children with disabilities, including low-income parents, parents of children with limited English proficiency, and parents with disabilities, have the training and information they need to enable them to participate effectively in helping their children with disabilities--

      ‘(1) to meet developmental goals and, to the maximum extent possible, those challenging standards that have been established for all children; and

      ‘(2) to be prepared to lead productive independent adult lives, to the maximum extent possible.

    ‘(b) REQUIRED ACTIVITIES- Each parent training and information center assisted under this section shall--

      ‘(1) provide training and information that meets the training and information needs of parents of children with disabilities proposed to be served by the grant, contract, or cooperative agreement;

      ‘(2) carry out the activities required of parent training and information centers under paragraphs (2) through (7) of section 672(b);

      ‘(3) establish cooperative partnerships with the parent training and information centers funded under section 672; and

      ‘(4) be designed to meet the specific needs of families who experience significant isolation from available sources of information and support.

    ‘(c) DEFINITION- As used is this section, the term ‘local parent organization’ means a parent organization, as defined in section 672(g), that either--

      ‘(1) has a board of directors the majority of whom are from the community to be served; or

      ‘(2) has--

        ‘(A) as a part of its mission, serving the interests of individuals with disabilities from such community; and

        ‘(B) a special governing committee to administer the grant, contract, or cooperative agreement, a majority of the members of which are individuals from such community.

‘SEC. 674. TECHNICAL ASSISTANCE FOR PARENT TRAINING AND INFORMATION CENTERS.

    ‘(a) IN GENERAL- The Secretary may, directly or through awards to eligible entities (as defined in section 662(b)), provide technical assistance for developing, assisting, and coordinating parent training and information programs carried out by parent training and information centers receiving assistance under sections 672 and 673.

    ‘(b) AUTHORIZED ACTIVITIES- The Secretary may provide technical assistance to a parent training and information center under this section in areas such as--

      ‘(1) effective coordination of parent training efforts;

      ‘(2) dissemination of scientifically based research and information;

      ‘(3) promotion of the use of technology, including assistive technology devices and assistive technology services;

      ‘(4) reaching underserved populations, including parents of low-income and limited English proficient children with disabilities;

      ‘(5) including children with disabilities in general education programs;

      ‘(6) facilitation of transitions from--

        ‘(A) early intervention services to preschool;

        ‘(B) preschool to elementary school;

        ‘(C) elementary school to secondary school; and

        ‘(D) secondary school to postsecondary environments; and

      ‘(7) promotion of alternative methods of dispute resolution, including mediation and voluntary binding arbitration.

‘SEC. 675. TECHNOLOGY DEVELOPMENT, DEMONSTRATION, AND UTILIZATION; AND MEDIA SERVICES.

    ‘(a) IN GENERAL- The Secretary shall competitively make grants to, and enter into contracts and cooperative agreements with, eligible entities (as defined in section 662(b)) to support activities described in subsections (b) and (c).

    ‘(b) TECHNOLOGY DEVELOPMENT, DEMONSTRATION, AND UTILIZATION-

      ‘(1) IN GENERAL- In carrying out this section, the Secretary shall support activities to promote the development, demonstration, and utilization of technology.

      ‘(2) AUTHORIZED ACTIVITIES- The following activities may be carried out under this subsection:

        ‘(A) Conducting research on, and promoting the demonstration and use of--

          ‘(i) innovative and emerging technologies for children with disabilities; and

          ‘(ii) improved transfer of technology from research and development to practice.

        ‘(B) Supporting research, development, and dissemination of technology with universal-design features, so that the technology is accessible to individuals with disabilities without further modification or adaptation.

        ‘(C) Demonstrating the use of systems to provide parents and teachers with information and training concerning early diagnosis of, intervention for, and effective teaching strategies for, young children with reading disabilities.

        ‘(D) Supporting the implementation of research programs.

        ‘(E) Communicating information on available technology and the uses of such technology to assist children with disabilities.

    ‘(c) EDUCATIONAL MEDIA SERVICES; OPTIONAL ACTIVITIES- In carrying out this section, the Secretary may support--

      ‘(1) educational media activities that are designed to be of educational value in the classroom setting to children with disabilities;

      ‘(2) providing video description, open captioning, or closed captioning of television programs, videos, or other materials with an education-based content for use in the classroom setting when such services are not provided by the producer or distributor of such information, including programs and materials associated with new and emerging technologies such as CDs, DVDs, video streaming, and other forms of multimedia;

      ‘(3) distributing materials described in paragraphs (1) and (2) through such mechanisms as a loan service; and

      ‘(4) providing free educational materials, including textbooks, in accessible media for visually impaired and print-disabled students in elementary, secondary, postsecondary, and graduate schools.

    ‘(d) APPLICATIONS- Any eligible entity (as defined in section 662(b)) that wishes to receive a grant, or enter into a contract or cooperative agreement, under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. For purposes of subsection (c)(4), such entity shall--

      ‘(1) be a national, nonprofit entity with a track record of meeting the needs of students with print disabilities through services described in paragraph (4);

      ‘(2) have the capacity to produce, maintain, and distribute in a timely fashion, up-to-date textbooks in digital audio formats to qualified students; and

      ‘(3) have a demonstrated ability to significantly leverage Federal funds through other public and private contributions, as well as through the expansive use of volunteers.

    ‘(e) AUTHORIZATION OF APPROPRIATIONS- There are authorized to be appropriated to carry out section 674 $32,710,000 for fiscal year 2004 and such sums as may be necessary for each of the fiscal years 2005 through 2009. There are authorized to be appropriated to carry out sections 672 and 673 $26,000,000 for fiscal year 2004 and such sums as may be necessary for each of the fiscal years 2005 through 2009.’.

SEC. 402. CONTINUATION OF FUNDING FOR COMMUNITY PARENT AND RESOURCE CENTERS.

    Notwithstanding any other provision of law, the Secretary of Education is authorized to use amounts made available for a fiscal year to carry out subpart 3 of part D of the Individuals with Disabilities Education Act (as added by section 401) to continue to provide funding under grants made to, or contracts or cooperative agreements entered into with, local parent organizations under section 683 of such Act (as such section was in effect on October 1, 2002).

Union Calendar No. 44

108th CONGRESS

1st Session

H. R. 1350

[Report No. 108-77]

A BILL

To reauthorize the Individuals with Disabilities Education Act, and for other purposes.


April 29, 2003

Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed