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92 STAT. 2327

curriculum; staff; (4) facilities; (5) community demographics; and (6) student assessment information. BUREAU EDUCATION POLICIES

SEC. 1133. Within one hundred and eighty days of the date of enactment of this Act, the Secretary shall develop, publish in the Federal Register, and submit to all agency and area offices of the Bureau, all tribal governments, and the appropriate committees of the Congress, a draft set of education policies, procedures, and practices for educationrelated action of the Bureau. The Secretary shall, within one year of the date of enactment of this Act, provide that such uniform policies, procedures, and practices shall be finalized and promulgated. Thereafter, such policies, procedures, and practices and their periodic revisions, shall serve as the foundation for future Bureau actions in education.

Publication in Federal Register and submittals to Bureau, tribes, and congressional committees. 25 USC 2013.

UNIFORM EDUCATION PROCEDURES AND PRACTICES

SEC. 1134. The Secretary shall cause the various divisions of the Bureau to formulate uniform procedures and practices with respect to such concerns of those divisions as relate to education, and shall report such practices and procedures to the Congress.

Report to Congress. 25 USC 2014.

RECRUITMENT OF INDIAN EDUCATORS

SEC. 1135. The Secretary shall institute a policy for the recruitment Policy and plan, of qualified Indian educators and a detailed plan to promote employees 25 USC 2015. from within the Bureau. Such plan shall include opportunities for acquiring'work experience prior to actual work assignment. A N N U A L REPORT

SEC. 1136. The Secretary shall submit to each appropriate committee Submittal to of the Congress a detailed annual report on the state of education within the Bureau and any problems encountered in the field of edu- committees. cation during the year. Such report shall contain suggestions for 25 USC 2016. improving the Bureau educational system and increasing local Indian control of such system. RIGHTS OF INDIAN STUDENTS

SEC. 1137. Within six months of the date of enactment of this Act, the Secretary shall prescribe such rules and regulations as are necessary to insure the constitutional and civil rights of Indian students attending Bureau schools, including, but not limited to, their right to privacy under the laws of the United States, their right to freedom of religion and expression and their right to due process in connection with disciplinary actions, suspensions, and expulsions.

Rules and regulations. 25 USC 2017.

REGULATIONS

SEC. 1138. Regulations required to be adopted under sections 1126 25 USC 2018. through 1137 of this Act shall be deemed rules of general applicability prescribed for the administration of an applicable program for the purposes of section 431 of the General Education Provisions Act and 20 USC 1232. shall be promulgated, submitted for congressional review, and take effect in accordance with the provisions of such section.

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 92 STAT. 2328

PUBLIC LAW 95-561—NOV. 1, 1978 DEFINITIONS

25 USC 2019.

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43 USC 1601 note.

SEC. 1139. For the purpose of this title— (1) the term "agency school board" means a body, the members of which are appointed by the school boards of the schools located within such agency, and the number of such members shall be determined by the Secretary in consultation with the affected tribes, except that, in agencies serving a single school, the school board of such school shall fulfill these duties; (2) the term "Bureau" means the Bureau of Indian Affairs of the Department of the Interior; (3) the term "Commissioner" means the Commissioner of Education; (4) the term "financial plan" means a plan of services to be provided by each Bureau school; (5) the term "Indian organization" means any group, association, partnership, corporation, or other legal entity owned or controlled by a federally recognized Indian tribe or tribes, or a majority of whose members are members of federally recognized Indian tribes; (6) the term "local educational agency" means a board of education or other legally constituted local school authority having administrative control and direction of free public education in a county, township, independent, or other school district located within a State, and includes any State agency which directly operates and maintains facilities for providing free public education; (7) the term "local school board", when used with respect to a Bureau school, means a body chosen in accordance with the laws of the tribe to be served or, in the absence of such laws, elected by the parents of the Indian children attending the school, except that in schools serving a substantial number of students from different tribes, the members shall be appointed by the governing bodies of the tribes affected; and the number of such members shall be determined by the Secretary in consultation with the affected tribes; (8) the term "Secretary" means the Secretary of the Interior; (9) the term "supervisor" means the individual in the position of ultimate authority at a Bureau school; and (10) the term "tribe" means any Indian tribe, band, nation, or other organized group or community, including any Alaska Native village or regional or village corporation as defined in or established pursuant to the Alaska Native Claims Settlement Act (85 Stat. 688) which is recognized as eligible for the special programs and services provided by the United States to Indians because of their status as Indians. PART C—INDIAN EDUCATION PROVISIONS EXTENSION OP AUTHORIZATION

20 USC 3385. Ante, p. 2284.

SEC. 1141. (a) Section 1005(g) of the Elementary and Secondary Education Act of 1965 as redesignated by section 801 of this Act, is amended by striking out "July 1, 1978" and inserting in lieu thereof "October 1, 1983". (b) Section 303(a)(1) of the Indian Elementary and Secondary School Assistance Act (title III of the Act of September 30, 1950 (Public Law 874, Eighty-first Congress)) as added by the Indian

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 PUBLIC LAW 95-561—NOV. 1, 1978 Education Act, is amended by striking out "October 1, 1978" and inserting in lieu thereof "October 1, 1983". (c)(1) Section 422 of the Indian Education Act is amended by striking out "each of the three succeeding fiscal years" and inserting in lieu thereof "each of the succeeding fiscal years ending prior to October 1, 1983". (2) Section 423(a) of such Act is amended by striking out "each of the three succeeding fiscal years" and inserting in lieu thereof "each of the succeeding fiscal years ending prior to October 1, 1983". (3) Section 442(a) of such Act is amended by striking out "October 1, 1978" and inserting in lieu thereof "October 1, 1983".

92 STAT. 2329 20 USC 241bb. 20 USC 3385a.

20 USC 3385b. 20 USC 1221g.

CULTURALLY RELATED ACADEMIC NEEDS

SEC. 1142. (a) Section 302(a) of the Indian Elementary and Secondary School Assistance Act is amended— 20 USC 241aa. (1) by striking out "special educational needs of Indian students" and inserting in lieu thereof "special educational and culturally related academic needs of Indian students"; and (2) by striking out "these special educational needs" and inserting in lieu thereof "these special educational or culturally related academic needs, or both". (b) Section 304 of such Act is amended by striking out "special 20 USC 241cc. educational needs" each place it appears in paragraphs (1) and (2) and inserting in lieu thereof "special educational or culturally related academic needs, or both,", DEMONSTRATION

PROJECTS

SEC. 1143, Section 303 of the Indian Elementary and Secondary School Assistance Act is amended by adding at the end thereof the following new subsection: "(c) In addition to the sums appropriated for any fiscal year for grants to local educational agencies under this title, there is hereby authorized to be appropriated for any fiscal year an amount not in excess of 10 per centum of the amount appropriated for payments on the basis of entitlements computed under subsection (a) for that fiscal year, for the purpose of enabling the Commissioner to make grants on a competitive basis to local educational agencies to support demonstration projects and programs which are designed to plan for and improve education opportunities for Indian children, except that the Commissioner shall reserve a portion not to exceed 25 per centum of such funds to make grants for demonstration projects examining the special educational and culturally related academic needs that arise in school districts with high concentrations of Indian children.". PARENT

Grants, appropriation authorization. 20 USC 24Ibb.

COMMITTEES

SEC. 1144, Section 305(b) of the Indian Elementary and Secondary School Assistance Act is amended— 20 USC 241dd, (1) by inserting "(including persons acting in loco parentis other than school administrators or officials)" after "Indian children" in paragraph (2)(B)(i) and after "children participating in the program" in paragraph (2)(B) (ii); (2) by inserting ", including policies and procedures relating to the hiring of personnel," aft€r "policies and procedures" in paragraph (2)(C); and

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 9 2 STAT. 2 3 3 0

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PUBLIC LAW 9 5 - 5 6 1 — N O V. 1, 1978 (3) by striking out the period at the end of paragraph (2)(C) and inserting in lieu thereof a semicolon and by adding at the end thereof the following new paragraph: "(3) provides that the parent committee formed pursuant to paragraph (2)(B)(ii) will adopt and abide by reasonable by-laws for the conduct of the program for which assistance is sought.". ALLOCATION ADJUSTMENT

20 USC 241ff.

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20 USC 241bb.

SKO. 1145. Section 307(b) of the Indian Elementary and Secondary School Assistance Act is amended to read as follows: "(b) In the case of any fiscal year in which the maximum amounts for which local educational agencies are eligible have been reduced under the first sentence of subsection (a), and in which additional funds have not been made available to pay in full the total of such maximum amounts under the second sentence of such subsection, the Commissioner may reallot, in such m a n n e r as h e determines will best assist in advancing the purposes of this title, any amount awarded to a local education agency in excess of the amount to which it is entitled under section 303(a) and subsection (a) of this section, or any amount which the Commissioner determines, based upon estimates made by local educational agencies, will not be needed by any such agency to carry out its approved project.". TRIBAL SCHOOLS

20 USC 241bb-l.

SEC. 1146. Notwithstanding any other provision of law, any Indian tribe or organization which is controlled or sanctioned by an Indian tribal government and which operates any school for the children of that tribe shall be deemed to be a local educational agency for purposes of section 303(a) of the Indian Elementary and Secondary School Assistance Act if each such school, as determined by the Commissioner, operated by that tribe or organization provides its students an educational program which meets the standards established under section 1121 for the basic education of Indian children, or is a school operated under contract by that tribe or organization in accordance with the provisions of the Indian Self-Determination and Education 25 USC 450 note. Assistance Act. DEFINITIONSTUDY

20 USC 1221h.

i

SEC. 1147. Section 453 of the Indian Education Act is amended by inserting " (a) " immediately after "SEC. 453." and by adding at the end thereof the following new subsection: consultation and "(b) The Assistant Secretary of Health, Education, and Welfare submittal to for Education, in consultation with Indian tribes, national Indian Congress. organizations, and the Secretary of the Interior, shall supervise a thorough study and analysis of the definition of Indian contained in subsection (a) and submit a report on the results of such study and analysis to the Congress not later than January 1, 1980. Such study and analysis shall include but not be limited to— "(1) an identification of the total number of Indian children being served under this title; " (2) an identification of the number of Indian children eligible and served under each of the four clauses of such definition in such subsection; "(3) an evaluation of the consequences of eliminating descendants in the second degree from the terms of such definition, or of specifying a final date by which tribes, bands, and groups must be recognized, or of both;

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"(4) other options for changes in the terms of such definition and an evaluation of the consequences of such changes, together with supporting data; "(5) recommendations with respect to criteria for use by the Commissioner under the rulemaking authority contained in clause (4) of such subsection.". DATA COLLECTION

SEC. 1148. Section 453 of the Indian Education Act is amended by 20 USC 1221h. inserting after subsection (b), as added by section 1147: "(c) In establishing a child's eligibility for entitlement under part A of this Act, the Commissioner shall request at least the following information on the student eligibility form: "(1) the name of the tribe, band, or other organized group of Indians with which the applicant claims membership, along with the enrollment number establishing membership (where applicable), and the name and address of the organization which has updated and accurate membership data for such tribe, band, or other organized group of Indians; or, if the child is not a member of a tribe, band, or other organized group of Indians, the student eligibility form shall bear the name, the enrollment number (where applicable) and the organization (and address thereof) responsible for maintaining updated and accurate membership roles of any of the applicant's parents or grandparents, from whom the applicant claims eligibility; "(2) whether the tribe, band, or other organized group of Indians with which the applicant, his parents, or grandparents claim membership are federally recognized; "(3) the name and address of the parent or legal guardian; "(4) the signature of the parent or legal guardian verifying the accuracy of the information supplied; and "(5) any other information which the Secretary deems necessary to provide an accurate program profile.''. PROGRAM MONITORING

SEC. 1149. (a) The Commissioner shall establish a method of auditing on an annual basis a sample of not less than one-third of the total number of school districts receiving funds under part A of the Indian Education Act, and shall report to the Congress his findings. (b) Any falsification of information provided on the local educational agency application for funds under part A of such Act is punishable by impoundment of unused funds and an ineligibility for receiving any future entitlement under such Act. (c) Any falsification of information provided on the student eligibility form for funds under part A of such Act is punishable by making that individual ineligible for receiving any future entitlement under the Act.

Annual audit, report to Congress. 20 USC 241aa note. Information falsification.

AMENDMENTS TO TITLE X OP THE ELEMENTARY AND SECONDARY EDUCATION ACT OF 1965

SEC. 1150. (a) Section 1005(c)(1)(E) of the Elementary and Secondary Education Act of 1965, as redesignated by section 801 of this Act, is amended by inserting "and gifted and talented Indian 20 USC 3385. children" after "handicapped". Ante, p. 2284.

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 92 STAT. 2332 20 USC 3385. Ante, p. 2284.

PUBLIC LAW 95-561—NOV. 1, 1978 {b)(l) Section 1005(c)(1)(F) of the Elementary and Secondary Education Act of 1965, as redesignated by section 801 of this Act, is amended to read as follows: ' (F) early childhood programs, including kindergarten;". (2)(A) Section 1005(d^ of the Elementary and ^condary Education Act of 19')5, as reaesignated by section 801 of this Act, is amended— (i) by striking out "children" in paragraphs (1) and (2) of such section andT)y inserting in lieu thereof "students" each time it appears; and (li) by inserting after "teachers" a comma and the following: "administrators". (B) The section heading of section 1005 of the Elementary and Secondary Education Act of 1965, as redesignated by section 801 of this Act, is amended to read as follows: "IMPROVEMENT OF EDUCATIONAL OPPORTUNITIES FOR I N M A N STUDENTS'

Regional information centers, establishment, grants and contracts.

20 USC 241aa note. 20 USC 1211a.

20 USC 241dd.

(c)(1) Section 1005(e) of the Elementary and Secondary Education Act of 1965, as redesignated by section 801 of this Act, is amended as follows: "(e)(1) The Commissioner is also authorized to make grants to and contracts with public agencies. State educational agencies in States in which more than five thousand Indian children are enrolled in public elementary and secondary schools, Indian tribes, Indian institutions, Indian organizations, or to make contracts with private institutions and Organizations, to establish, on a regional basis, information centers to— "(A) evaluate programs assisted under this part, under the Indian Elementary and Secondary School Assistance Act, under section 314 of the Adult Education Act, and other Indian education programs in order to determine their effectiveness in meeting the special educational and culturally related academic needs of Indian children and to conduct research to determine those needs; "(B) provide technical assistance upon request to local educational agencies and Indian tribes, Indian organizations, Indian institutions, and parent committees created pursuant to section 305(b)(2)(B) (ii) of the Indian Elementary and Secondary School Assistance Act in evaluating and carrying out programs assisted under this part, under such Act, nnd under section 314 of the Adult Education Act through the provision of materials and personnel resources; and "(C) disseminate information upon request to the parties described in subparagraph (B) concerning all Federal education programs which affect the education of Indian children including information on successful models and programs designed to meet the special educational needs of Indian children. "(2) Grants or contracts made pursuant to this subsection may be made for at term not to exceed three years (renewable at the end of that period subject t6 the approval of the Commissioner) provided that provision is made to insure annual review of the projects.". (21 Section 1005(b)' of such Act, as redesignated by section 801 of thig Act, is amended by striking out "Indian tribes, organizations, and institutions" and inserting in lieu thereof "Indian tribes, Indian organizations, and Indian institutions". ,

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 PUBLIC LAW 95-561—NOV. 1, 1978 (d) Section 1005(f) of the Elementary and Secondary Education Act of 1965. as redesignated by section 801 of this Act, is amended by inserting " (1) " after " (f) ", by redesignating clauses (1), (2), (3), and (4) as clauses (A), (B), (C),and (D) respectively, and by adding at the end thereof the following: "(2) The Commissioner shall not approve an application for a grant under subsection (e) of this section unless he is satisfied that the funds made available under that subsection will be so used as to supplement the level of funds from State, local, and other Federal sources that would, in the absence of Federal funds under this subsection, be made available by the State or local educational agency for the activities described in this subsection, and in no case will be used so as to supplant those funds.". (e) Section 1005(g) of the Elementary and Secondary Education Act of 1965, as redesignated by section 801 of this Act, is amended by inserting " (1) " after " (g) " and by adding at the end thereof the following: "(2) For the purpose of making grants under subsection (e) of this section there are hereby authorized to be appropriated $8,000,000 for each of the fiscal years ending prior to October 1, 1983. The sum of the grants made to State educational agencies under subsection (e) of this section shall not exceed 15 per centum in any fiscal year of the sums appropriated for that year.". (f) Section 306(a) of the Indian Elementary and Secondary School Assistance Act is amended by inserting "estimated to be" after "equal to the amount".

92 STAT. 2333 20 USC 3385. Ante, p. 2284.

Appropriation audiorization.

20 USC 241ee.

DEFINITION OF INDIAN

SEC. 1151. Section 453(1) of the Indian Education Act is amended 20 USC 1221h. by striking out "now or in the future". TEACHER TRAINING AND FELLOWSHIPS

SEC. 1152. (a) The first sentence of section 422(a) of the Indian Education Act is amended by striking out "children" and inserting in 20 USC 3385a. lieu thereof "people". (b) Section 423(a) of the Indian Education Act is amended— 20 USC 3385b. (1) by striking out "less than three, nor"; and (2) by striking out "professional or graduate degree in engineering, medicine, law, business, forestry, and related field" and inserting in lieu thereof "postbaccalaureate degree in medicine, law, education, and related fields or leading to an undergraduate or graduate degree in engineering, business administration, natural resources, and related fields.". TITLE XII—ADMINISTRATIVE PROVISIONS PART A—EQUALIZATION DATA COLLECTION

SEC. 1201. Section 406 of the General Education Provisions Act is 20 USC amended by adding at the end thereof the following new subsection: 1221e-l. "(i)(1) In addition to its other responsibilities, the National Cen- Consultation. ter for Education Statistics shall, in consultation with the Office of Education, collect uniform data from the States on financing of ele-

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PUBLIC LAW 95-561—NOV. 1, 1978

mentary and secondary education. Each State receiving funds under 20 USC 821 note. the Elementary and Secondary Education Act of 1965 shall cooperate with the National Center in this effort. State profile, "(2)(A) The National Center shall, in consultation with the Office publication. of Education, publish by no later than September 30, 1979, and by no later than September 30 of each second fiscal year thereafter, a composite profile of each State showing the degree to which each has achieved equalization of resources for elementary and secondary education among the school districts within the State. A summary of these profiles shall show this equalization among the States. "(B) In compiling the profiles required by this paragraph, the National Center shall list the degree of equalization both within and among the States according to the following standards: "(i) the disparity in expenditures amon^ school districts; "(ii) the disparity from wealth neutrality; and "(iii) such other measures as the National Center considers appropriate, including a consideration of price differentials and pupil-teacher ratios. Appropriation "(3) There are authorized to be appropriated such sums as may be authorization. necessary for any fiscal year to assist the National Center in carrying out its responsibilities under this subsection.". EQUALIZATION ASSISTANCE

SEC. 1202. Part C of the General Education Provisions Act amended by inserting after section 426 the following new section:

IS

"EQUALIZATION ASSISTANCE

Grants. 20 USC 1231C-1.

20 USC 246.

National dissemination center, designation.

Appropriation authorization.

"SEC. 426A. (a) The Commissioner is authorized from the sums appropriated pursuant to subsection (d) to make grants to States to assist in developing and implementing plans to revise their systems of financing elementary and secondary education in order to achieve a greater equalization of resources among school districts. Any State desiring to receive such a grant shall (1) submit an application approved by the State legislature for such funds, (2) provide that State funds will match the Federal funds on a dollar for dollar basis, and (3) show how these efforts build upon the knowledge gained through the plans developed pursuant to section 842 of the Education Amendments of 1974. "(b) The Commissioner is authorized, from sums appropriated pursuant to subsection (d), (1) to develop and disseminate models and materials useful to the States in planning and implementing revisions of their school financing systems, and (2) to establish temporary national and regional training centers to assist those involved in school finance in providing the level of expertise needed by the States in revising their financing systems. "(c) The Commissioner shall (1) designate a unit within the Office of Education to serve as a national dissemination center for information on the States' efforts to achieve a greater equalization of resources for elementary and secondary education, and (2) develop an analysis of what has been learned through the use of funds available under section 842 of the Education Amendments of 1974 and disseminate the results of this analysis. "(d) There are hereby authorized to be appropriated $4,000,000 for each of the fiscal years ending prior to September 30, 1983, for the purposes of this section.".

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SCHOOL F I N A N C E

20 USC 1221-1 SEC. 1203, (a) It is the purpose of this section to provide for— (1) the availability of reliable and comparative data on the note. status and trends in financing elementary and secondary education; (2) the conduct of studies necessary to understand and analyze the trends and problems affecting the financing of elementary and secondary education, both public and non-public, including the prospects for adequate financing during the next ten years; and (3) the development of recommendations for Federal policies to assist in improving the equity and efficiency of Federal and State systems for raising and distributing revenues to support elementary and secondary education. (b) In order to carry out the purposes of this section, the Secretary shall carry out the studies and surveys set forth in subsection (e) relating to the financing of elementary and secondary education. (c)(1) In order to provide the Secretary and the Congress with Advisory panel advice and counsel from distinguished and knowledgeable members of on Financing the public on the conduct of the activities authorized under this sec- Elementary and tion, there is established within the Department of Health, Education, Secondary Education, and Welfare an Advisory Panel on Financing Elementary and Sec- establishment ondary Education to be composed of fifteen members appointed by and membership. the President. The Panel shall include (A) representatives of public and non-public elementary and secondary education, including board members, administrators, and teachers, (B) State and local officials, (C) citizens, and (D) scholars of school finance. (2) The members of the Advisory Panel shall be appointed, without regard for the provisions of title ^, United States Code, governing appointments in the competitive service, not later than sixty days after the enactment of this section. (3) Members who are not in the regular full-time employ of the Compensation. United States shall, while attending to the business of the Advisory Panel, be entitled to receive compensation at the daily rate prescribed for grade 18 in section 5332 of such title 5, including travel time. All 5 USC 5332 members while serving on the business of the Advisory Panel away note. from their homes or regular places of business, may be allowed travel expenses in accordance with section 5703 of title 5. (4) The Advisory Panel shall provide periodic advice to the Secretary concerning all activities conducted under this section. The Secretary shall make available to the Advisory Panel such technical and other assistance as may be necessary to enable the Advisory Panel to carry out its responsibilities. (5) The views and recommendations of the Advisory Panel shall be presented to the White House Conference on Education called pursuant to the provisions of section 804 of the Education Amendments 20 USC 1221-1 of 1974. (6) Sixty days after the submission of the final report under sub- note. Termination. section (f) of this section, the Advisory Panel shall terminate. (7) There are authorized to be appropriated such sums as may be Appropriation necessary for fiscal years 1979 and 1980 to carry out the provisions authorization. of this subsection. (8) Section 804(c)(1) of the Education Amendments of 1974 is amended— (A) by striking out "thirty-five" and inserting in lieu thereof "forty-one";

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Studies and surveys.

20 USC 1221e-l.

V

PUBLIC LAW 95-561—NOV. 1, 1978 (B) by striking out "fifteen" and inserting in lieu thereof "twenty-one"; and (C) by inserting after the first sentence the following new sentence: "Six of the members appointed by the President shall be members of the Advisory Panel on Financing Elementary and Secondary Education.". (d) The studies and surveys conducted under this section shall consider (1) the prospects for adequate financing of elementary and secondary schools during the ten year period from October 1, 1979, through September 30, 1989, and (2) the distribution of financial resources for elementary and secondary education among the States, among school districts within the States, and among schools within school districts. The Secretary shall have the authority necessary to achieve coordination, avoid redundancy, and insure the high quality of the studies and surveys carried out under this section and to ensure the relevance of those studies to the objectives of this section. (e) The studies and surveys carried out under this section shall include— (1) an analysis of the capacity of educational finance systems to provide adequate school revenues, including an examination of future trends in educational service requirements, cost of supplying these services, and available school revenues from Federal, State, and local sources, taking account of noneducational service demands on revenues: (2) to the extent feasible, the development of procedures for the conduct of the activities of the National Center for Education Statistics under section 406(i) of the General Education Provisions Act: (3) an analysis of the recent trends in the distribution of these resources including (A) an examination of recent court and State legislative developments, (B) case studies of States showing the greatest degree of equalization of resources in order to determine whether common elements exist leading to such equalization, and (C) special analyses of the effects of such recent trends on school districts in large urban areas and in poor rural areas and the effects of such trends on students who are members of minority groups, or who are economically or educationally disadvantaged or handicapped; (4) an analysis of standards to measure inter-State, intra-State, and intradistrict equalization, including an examination of the standards showing disparities in expenditures, variations from fiscal neutrality, weightings of classes of pupils, and applications of these standards to an illustrative number of States, school districts, and schools; (5) an analysis of the impact of Federal and State education programs on the distribution of State and local educational resources and of the relationship between such Federal and State programs; (6) recommendations for alternative Federal roles in the context of the total responsibility for financing schools among local. State, and Federal levels, including recommendations for changes in current Federal programs and suggestions for new Federal programs to promote greater equalization; (7) an analysis of the impact of school finance equalization on the cost and quality of education programs, including particularly the quality of education programs in those districts recognized as educational leaders prior to equalization;

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(8) an analysis of the effects of school finance equalization on curricular and extracurricular activities related to the arts, athletics, foreign languages, music, and other programs or activities of special value, or enrichment, or which especially serve the needs or talents of a limited sector of the preschool, elementary, or secondary school population; (9) an analysis of the effects of school finance equalization on the distribution of tax burdens by level of government, type of revenue, and family income of taxpayers; (10) an analysis of current and future Federal assistance for non-public elementary and secondary education, including the extent of non-public participation in Federal programs, trends in enrollments and costs of private education, the impact of private schools on public school enrollments and financial support, and an examination of alternative Federal policies for support of private '•'•' education; and (11) an analysis of the extent to which school districts participate in programs administered by Federal agencies other than the Education Division of the Department of Health, Education, and Welfare which analysis (A) shall include an assessment of barriers to school district participation in programs which have general purpose governments as primary beneficiaries and (B) shall explore alternative coordinating mechanisms to achieve equitable school district participation in such programs. The studies described in this section shall be assigned to such organizational units within the Department as the Secretary deems appropriate. All studies and surveys described in this section shall utilize existing information to the extent possible, and shall require the collection of new information only as may be required. Appropriate resources shall be made available to reimburse respondents for costs associated with any additional data collection required by this section. (f) The Secretary and the Advisory Panel shall make interim reports to the President and the Congress no later than December 31, 1979, and December 31, 1980, and shall make a final report thereto no later than December 31, 1981, on the results of the studies conducted under this section. The Secretary and the Advisory Panel shall provide comments on each of the above reports and such additional recommendations, including recommendations for legislation, as the Secretary and the Panel may deem appropriate to the President and to the Congress no later than sixty days after the submission of such reports. Any other provisions of law, rule, or regulation to the contrary notwithstanding, such reports of the Panel shall not be submitted to any review outside of the Panel before their transmittal to the Congress, but the President and the Secretary may make to the Congress such recommendations with respect to the contents of the reports as each may deem appropriate. (g)(1) The Secretary shall submit to the Congress, within one hundred and twenty days after the date of the enactment of the Act, a plan for studies to be conducted under this section. The Secretary shall have such plan delivered to both Houses on the same day and to each House while it is in session. The Secretary shall not commence such studies until the first day after the close of the first period of sixty calendar days of continuous session of Congress after the date of the delivery of such plan to the Congress. (2) For the purposes of paragraph (1) — (A) continuity of session is broken only by adjournment of Congress sine die; and

Reports to President and Congress. Comments and legislative recommendations.

Plan, submittal to Congress.

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 92 STAT. 2338

PUBLIC LAW 95-561—NOV. 1, 1978 (B) the days on which either House is not in session because of an adjournment of more than three days to a day certain are excluded in the computation of the sixty-day period. (h) Sums made available pursuant to section 183 of the Elementary and Secondary Education Act of 1965 and other funds available to any agency of the Department of Health, Education, and Welfare for purposes consistent with this section, shall be available to carry out the provisions of this section. (i) For purposes of this section, the term "State" means each of the States, the District of Columbia, and the Commonwealth of Puerto Rico.

'State.

Control of Paperwork Amendments of 1978. 20 USC 1221-3 note.

SEC. 1211. This part may be cited as the "Control of Paperwork Amendments of 1978".

,

GENERAL EDUCATION PROVISIONS ACT AMENDMENT

PART B—PAPERWORK CONTROL SHORT TITLE

SEC. 1212. (a) Paragraph (3) of section 406(b) of the General Edu20 USC 1221e-l. cation Provisions Act is amended by inserting ", including State agencies responsible for postsecondary education," immediately after "local educational agencies". (b) The General Education Provisions Act is amended by adding after section 400 the following new section: "CONTROL OF PAPERWORK

Coordination. " S E C 400A. (a)(1)(A) In order to eliminate excessive detail and 20 USC 1221-3. unnecessary and redundant information requests and to achieve the collection of information in the most efficient and effective possible manner, the Secretary shall coordinate the collection of information and data acquisitioned activities of all Federal agencies, (i) whenever the respondents are primarily educational agencies or institutions, and (ii) whenever the purpose of such activities is to request information needed for the management of, or the formulation of, policy related to Federal education programs or research or evaluation studies related to the implementation of Federal education programs. Federal Education "(B) There is hereby established a Federal Education Data AcquisiData Acquisition tion Council, to consist of members appointed by the Secretary who Council, shall represent the public and the major agencies which collect and use establishment, education data, including one representative each of the Office of Manmembership, and agement and Budget and of the Office of Federal Statistical Policy and duties. Standards. The members representing the public may be appointed for not more than three years. The Council shall advise and assist the Secretary with respect to the improvement, development, and coordination of Federal education information and data acquisition activities, and shall review the policies, practices, and procedures established by the Secretary. The Council shall meet regularly during the year and shall be headed by an individual from an agency which has expertise in data collection but which undertakes no major data collection of education data. Definitions. " (2) For the purposes of this section, the term— " (A) 'information' has the meaning given it by section 3502 of title 44, United State Code; • "(B) 'Federal agency' has the meaning given it by section 3502 of the same title; and

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1059

 PUBLIC LAW 95-561—NOV. 1, 1978

92 STAT. 2339

"(C) 'educational agency or institution' means any public or private agency or institution oifering education programs. "(3)(A) The Secretary shall review and coordinate all collection of Review and information and data acquisition activities described in paragraph coordination. (1)(A) of this subsection, in accordance with procedures approved by the Federal Education Data Acquisition Council. Such procedures shall be designed in order to enable the Secretary to determine whether proposed collection of information and data acquisition activities are excessive in detail, unnecessary, redundant, ineffective, or excessively costly, and, if so, to advise the heads of the relevant Federal agencies. "(B) No collection of information or data acquisition activity subject to such procedures shall be subject to any other review, coordination, or approval procedure outside of the relevant Federal agency except as required by this subsection and except that an aggrieved agency may seek review of an adverse action by the Secretary under subparagraph (A) by the Director of the Office of Management under the rules and regulations established pursuant to section 3509 of title 44, United States Code, and the Director shall issue a decision thereon within 10 days after receipt of the request for review. "(C) The procedures established by the Secretary shall include a review of plans for evaluations and for research when such plans are in their preliminary stages, in order to give advice to the heads of Federal agencies regarding the data acquisition aspects of such plans. "(b)(1) The Secretary shall assist each Federal agency in per- Assistance and forming the review and coordination required by this section and plan requirement. shall require of each agency a plan for each collection of information and data acquisition activity, which shall include— "(A) a detailed justification of how information once collected will be used; "(B) the methods of analysis which will be applied to such data; "(C) the timetable for the dissemination of the collected data; and "(D) an estimate of the costs and man-hours required by each educational agency or institution to complete the request and an estimate of costs to Federal agencies to collect, process, and analyze the information, based upon previous experience with similar data or upon a sample of respondents. "(2) In performing the review and coordination required by this section, the Secretary shall assure that— "(A) no information or data will be requested of any educational agency or institution unless that request has been approved and publicly announced by the February 15 immediately preceding the beginning of the new school year, unless there is an urgent need for mis information or a very unusual circumstance exists regarding it; (B) sampling techniques, instead of universal responses, will be used wherever possible, with special consideration being given to the burden being placed upon small school districts, colleges, and other educational agencies and institutions; and "(C) no request for information or data will be approved if such information or data exist in the same or a similar form in the automated indexing system required to be developed pursuant to subsection (d). "(3) Each educational agency or institution subject to a request Comments under the collection of information and data acquisition activity and

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1060

 92 STAT. 2340

PUBLIC LAW 95-561—NOV. 1, 1978

their representative organizations shall have an opportunity, during a thirty-day period, to comment to the Secretary on the collection of information and data acquisition activity. The exact data instruments for each proposed activity shall be available to the public upon request during this comment period. " (4) N o changes may be made in the plans for the acquisition of that information or data, except changes required as a result of the review described in this section, after such plans have been finally approved under this section, unless the changed plans go through the same approval process. Waiver. " (5) The Secretary may waive the requirements of this section for individual research and evaluation studies which are not designated for individual project monitoring or review, provided that— " (A) the study shall be of a nonrecurring n a t u r e; " (B) any educational agency or institution may choose whether or not to participate, and that any such decision shall not be used by any Federal agency for purposes of individual project monitoring or funding decisions; " (C) the man-hours necessary for educational agencies and institutions to respond to requests for information or data shall not be excessive, and the requests shall not be excessive in detail, unnecessary, redundant, ineffective, or excessively costly; and " (D) the Federal agency requesting information or data has Announcement in Federal Register. announced the plans for the study in the Federal Register. Notification. The Secretary shall inform the relevant agency or institution concerning the waiver decision within thirty days following such an announcement, or the study shall be deemed waived and may proceed. Any study waived under the provisions of this subsection shall be subject to no other review than that of the agency requesting information or data from educational agencies or institutions. " (6) Nothing in this section shall be construed to interfere with the enforcement of the provisions of the Civil Rights Act of 1964 or any 42 USC 2000a note. other nondiscrimination provision of Federal law. " (c) The Secretary shall, insofar as practicable, and in accordance with the provisions of this Act, provide educational agencies and institutions and other Federal agencies, pursuant to the requirement of 20 USC 1221e-l. section 406(f)(2)(A), with summaries of information collected and the data acquired by Federal agencies, unless such data were acquired on a confidential basis. " (d) The Secretary shall, insofar as practicable— Standard " (1) develop standard definitions and terms consistent, wherdefinitions and ever possible, with those established by the Office of Federal Staterms. tistical Policy and Standards, Department of Commerce, to be used by all Federal agencies in dealing with education-related information and data acquisition requests; Automated " (2) develop an automated indexing system for cataloging all indexing system. available d a t a; Uniform reporting " (3) establish uniform reporting dates among Federal agencies dates. for the information and data acquisition required after review under this section; Listings, " (4) publish annually a listing of education d a t a requests, by publication. Federal agency, and for the programs administered in the Education Division, publish a listing annually of each such program with its appropriation and with the data burden resulting from each such program; and Authority, " (5) require the Federal agency proposing the collection of identification. information or d a t a acquisition activity to identify in its data instrument the legislative auhority specifically requiring such col-

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1061

 PUBLIC LAW 95-561—NOV. 1, 1978

92 STAT. 2341

lection, if any, and require the responding educational agency or institution to make the same identification if it in turn collects such information or data from other agencies or individuals. "(e)(1) Subject to the provisions of paragraph (2), the Secre- Procedures, tary shall develop, in consultation with Federal and State agencies consultation. and local educational agencies, procedures whereby educational agencies and institutions are permitted to submit information required under any Federal educational program to a single Federal or State educational agency. "(2) Any procedures developed under paragraph (1) shall be considered regulations for the purpose of section 431 and shall be sub- 20 USC 1232. mitted subject to disapproval in accordance with section 431(e) of this Act for a period of not to exceed 60 days computed in accordance with such section. "(f) The Secretary shall submit a report to the Congress not less Report and than once every three years, describing the implementation of this recommendations section. Such report shall contain recommendations for revisions to to Congress. Federal laws which the Secretary finds are imposing undue burdens on educational agencies and institutions, and such recommendations shall not be subject to any review by any Federal agency outside the Department. "(f)(1) The Secretary is authorized to make grants from sums Education appropriated pursuant to this subsection to State educational agencies, management including State agencies responsible for postsecondary education, for information the development or improvement of education management informa- systems, grants. tion systems. "(2) Any State educational agency is eligible for a grant of funds Eligibility. under this subsection subject to the following conditions: " (A) The agency agrees to use such funds for the development or improvement of its management information system and agrees to coordinate all data collection for Federal programs administered by the agency through such a system. "(B) The agency agrees to provide funds to local educational agencies and institutions of higher education for the development or improvement of management information systems when such grants are deemed necessary by the State educational agency. "(C) The State agency agrees to take specific steps, in cooperation with the Secretary and with local educational agencies or institutions of higher education in the State, as appropriate, to eliminate excessive detail and unnecessary and redundant information requests within the State and to achieve the collection of information in the most efficient and effective possible manner so as to avoid imposing undue burdens on local educational agencies or institutions of higher education. "(g) For the purpose of carrying out this subsection— Appropriation "(1) there are authorized to be appropriated for salaries and authorization. expenses $600,000 for fiscal year 1979, $1,000,000 for fiscal year 1980, and $1,200,000 for each of the two succeeding fiscal years; " (2) there are authorized to be appropriated for grants under paragraph (6) the sums of $5,000,000 for fiscal year 1979, $25,000,000 for fiscal year 1980, and $50,000,000 for each of the two succeeding fiscal years; and "(3) the sums appropriated according to paragraphs (1) and (2) shall be appropriated as separate line items.". (c) Section 406 of such Act is amended— 20 USC 1221e-I. (1) by striking out subsection (g),and (2) by redesignating subsection (h), and all references thereto, as subsection (g).

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128 "Now let us play Three-word Letters," said Nan. And then she explained the game. "I will call out a letter and you must try to think of a sentence of three words, each word starting with that letter. Now then, are you ready?"

"Yes! yes!" the girls and boys cried.

"B," said Nan.

There was a second of silence.

"Boston Baked Beans!" shouted Charley Mason.

"That is right, Charley. Now it is your turn to give a letter."

"F," said Charley.

"Five Fat Fairies!" cried Nellie Parks.

"Four Fresh Fish," put in another of the girls.

"Nellie has it," said Charley. "But I never heard of fat fairies, did you?" and this question made everybody laugh.

"My letter is M," said Nellie, after a pause.

"More Minced Mushrooms," said Bert.

"More Mean Men," said another boy.

"Mind My Mule," said one of the girls.

"Oh, Helen, I didn't know you had a mule,"

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1062

 92 STAT. 2342

PUBLIC LAW 95-561—NOV. 1, 1978 SEC. 1213. Subpart 2 of part C of the General Education Provisions Act is amended by adding immediately before section 431 thereof the following new section: ''APPLICATIONS

20 USC 1231g.

"SEC. 430. (a) Notwithstanding any other provision of law, unless expressly in limitation of the provisions of this section, the Commissioner is authorized to provide for the submission of applications for assistance effective for three fiscal years under any applicable program with whatever amendments to such applications being required as the Commissioner determines essential. Uniform "(b) The Commissioner shall, insofar as is practicable, establish submission dates, uniform dates during the year for the submission of applicaestablishment. tions under all applicable programs and for the approval of such applications. "(c) The Commissioner shall, insofar as is practicable, develop and require the use of— "(1) a common application for grants to local educational agencies in applicable programs administered by State educational agencies in which the funds are distributed to such local agencies pursuant to some objective formula, and such application shall be used as the single application for as many of these programs as is practicable; APPLICATIONS

"(2) a common application for grants to local educational agencies in applicable programs administered by State educational agencies in which the funds are distributed to such local agencies on a competitive or discretionary basis, and such application shall be used as the single application for as many of such programs as is practicable; and "(3) a common application for grants to local educational agencies in applicable programs which are directly administered by the Commissioner, and such application shall be used as the single application for as many of these programs as is practicable.". PART C—FEDERAL, STATE AND LOCAL RESPONSIBILITIES STATE AND LOCAL ADMINISTRATION

20 USC 1232d, 1226a-l. 20 USC 1232f, 1221e-la. 20 USC 1232c, 1232e.

SEC. 1231. (a) The General Education Provisions Act is further amended— (1) by redesignating section 435 as section 415, by inserting such section (as so redesignated) immediately after section 414, and by deleting such section from its previous location; (2) by redesignating section 437 as section 406A, by inserting such section immediately after section 406, and by deleting such section from its previous location; and (3) by striking out sections 434 and 436 and by inserting immediately after section 433 the following new subpart: "Subpart 3—Administration of Education Programs and Projects by States and Local Educational Agencies ((STATE

Plan submittal and requirements. 20 USC 1232c.

EDUCATIONAL AGENCY MONITORING AND ENFORCEMENT

"SEC. 434. (a) In the case of any applicable program in which Federal funds are made available to local agencies in a State through or

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1063

 PUBLIC LAW 95-561—NOV. 1, 1978

92 STAT. 2343

under the supervision of a State board or agency, the Commissioner may require the State to submit a plan for monitoring compliance by local agencies with Federal requirements under such program and for enforcement by the State of such requirements. The Commissioner may require such plan to provide— "(1) for periodic visits by State personnel of programs administered by local agencies to determine whether such programs are being conducted in accordance with such requirements; "(2) for periodic audits of expenditures under such programs by auditors of the State or other auditors not under the control, direction, or supervision of the local educational agency; and "(3) that the State investigate and resolve all complaints received by the State, or referred to the State by the Commissioner, relating to the administration of such programs. " (b) In order to enforce the Federal requirements under any appli- Enforcement, cable program the State may— "(1) withhold approval, in whole or in part, of the application of a local agency for funds under the program until the State is satisfied that such requirements will be met; except that the State shall not finally disapprove such an application unless the State provides the local agency an opportunity for a hearing before an impartial hearing officer and such officer determines that there has been a substantial failure by the local agency to comply with any of such requirements; " (2) suspend payments to any local agency, itt whole or in part, under the program if the State has reason to befieve that the local agency has failed substantially to comply with any of such requirements, except that (A) the State shall not suspend such payments until fifteen days after the State provides the local agency an opportunity to show cause why such action should not be taken and (B) no such suspension shall continue in effect longer than sixty days unless the State within such period provides the notice for a hearing required under paragraph (3) of this subsection; "(3) withhold payments, in whole or in part, under any such program if the State finds, after reasonable notice and opportunity for a hearing before an impartial hearing officer, that the local agency has failed substantially to comply with any of such requirements. Any withholding of payments under paragraph (3) of this subsection shall continue until the State is satisfied that there is no longer a failure to comply substantially with any of such requirements. "SINGLE STATE APPLICATION

"SEC. 435. (a) In the case of any State which applies, contracts, or 20 USC 1232d. submits a plan, for participation in any applicable program in which Federal funds are made available for assistance to local educational agencies through, or under the supervision of, the State educational agency of that State, such State shall submit (subject, in the case of programs under titles I and IV of the Elementary and Secondary Education Act of 1965, to the provisions of title V of such Act) to the Com- Ante, pp. 2153, missioner a general application containing the assurances set forth in 2229, 2240. subsection (b). Such application may be submitted jointly for all programs covered by the application, or it may be submitted separately for each such program or for groups of programs. Each application submitted under this section must be approved by each official, agency,

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1064

 92 STAT. 2344

Assurances. Administration.

Reports and records.

Post, p. 2346.

Program participation.

Consultation.

PUBLIC LAW 95-561—NOV. 1, 1978 board, or other entity within the State which, under State law, is primarily responsible for supervision of the activities conducted under each program covered by the application. "(b) An application submitted under subsection (a) shall set forth assurances, satisfactory to the Commissioner— "(1) that each program will be administered in accordance with all applicable statutes, regulations, program plans, and applications; "(2) that the control of funds provided under each program and title to property acquired with program funds will be in a public agency, or in a nonprofit private agency, institution, or organization if the statute authorizing the program provides for grants to such entities, and that the public agency or nonprofit private agency, institution, or organization will administer such funds and property; "(3) that the State will adopt and use proper methods of administering each applicable program, including— "(A) monitoring of agencies, institutions, and organizations responsible for carrying out each program, and the enforcement of any obligations imposed on those agencies, institutions, and organizations under law, "(B) providing technical assistance, where necessary, to such agencies, institutions, and organizations, "(C) encouraging the adoption of promising or innovative educational techniques by such agencies, institutions, and organizations, "(D) the dissemination throughout the State of information on program requirements and successful practices, and " (E) the correction of deficiencies in program operations that are identified through monitoring or evaluation; "(4) that the State will evaluate the effectiveness of covered programs in meeting their statutory objectives, at such intervals (not less often than once every three years) and in accordance with such procedures as the Commissioner may prescribe by regulation, and that the State will cooperate in carrying out any evaluation of each program conducted by or for the Secretary or other Federal official; "(5) that the State will use fiscal control and fund accounting procedures that will ensure proper disbursement of, and accounting for, Federal funds paid to the State under each program; "(6) that the State will make reports to the Commissioner (including reports on the results of evaluations required under paragraph (4)) as may reasonably be necessary to enable the Commissioner to perform his duties under each program, and that the State will maintain such records, in accordance with the requirements of section 437 of this Act, and afford access to the records as the Commissioner may find necessary to carry out his duties; and " (7) that the State will provide reasonable opportunities for the participation by local agencies, representatives of the class of individuals affected by each program and other interested institutions, organizations, and individuals in the planning for and operation of each program, including the following: " (A) the State will consult with relevant advisory committees, local agencies, interest groups, and experienced professionals in the development of program plans required by statute;

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1065

 PUBLIC LAW 95-561—NOV. 1, 1978 " (B) the State will publish each proposed plan, in a manner that will ensure circulation throughout the State, at least sixty days prior to the date on which the plan is submitted to the Commissioner or on which the plan becomes effective, whichever occurs earlier, with an opportunity for public comments on such plan to be accepted for at least t h i r t y d a y s; " (C) the State will hold public hearings on the proposed plans if required by the Commissioner by regulation; and " (D) the State will provide an opportunity for interested agencies, organizations, and individuals to suggest improvements in the administration of the program and to allege that there has been a failure by any entity to comply with applicable statutes and regulations. " (c) E a c h general application submitted under this section shall remain in effect for the duration of any program it covers. The Commissioner shall not require the resubmission or amendment of that application unless required by changes in Federal or State law or by other significant changes in the circumstances affecting an assurance in that application. " S I N G L E LOCAL E D U C A T I O N A L A G E N C Y

92 STAT. 2 3 4 5 Proposals, publication and comments.

Hearings,

APPLICATION

" SEC. 436. (a) E a c h local educational agency which participates in an applicable program under which Federal funds are made available to such agency through a State agency or board shall submit to such agency or board a general application containing the assurances set forth in subsection (b). That application shall cover the participation by that local education agency in all such programs. " (b) The general application submitted by a local educational agency under subsection (a) shall set forth assurances— " (1) that the local educational agency will administer each program covered by the application in accordance with all applicable statutes, regulations, program plans, and applications; " (2) that the control of funds provided to the local educational agency under each program and title to property acquired with those funds, will be in a public agency and that a public agency will administer those funds and property; " (3) that the local educational agency will use fiscal control and fund accounting procedures that will ensure proper disbursement of, and accounting for, Federal funds paid to that agency under each program; " (4) that the local educational agency will make reports to the State agency or board and to the Commissioner as may reasonably be necessary to enable the State agency or board and the Commissioner to perform their duties and that the local educational agency will maintain such records, including the records required under section 437, and provide access to those records, as the State agency or board or the Commissioner deem necessary to perform their duties: " (5) that the local educational agency will provide reasonable opportunities for the participation by teachers, parents, and other interested agencies, organizations, and individuals in the planning for and operation of each program; " (6) that any application, evaluation, periodic program plan or report relating to each program will be made readily available to parents and other members of the general public;

20 USC 1232e.

Assurances, Administration,

f

Reports and records.

Program participation, Public availability,

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1066

 92 STAT. 2346

PUBLIC LAW 95-561—NOV. 1, 1978

"(7) that in the case of any project involving construction— "(A) the project is not inconsistent with overall State plans for the construction of school facilities, and "(B) in developing plans for construction, due consideration will be given to excellence of architecture and design and to compliance with standards prescribed by the Secretary under section 504 of the Rehabilitation Act of 1973 in 29 USC 794. order to ensure that facilities constructed with the use of Federal funds are accessible to and usable by handicapped individuals; and "(8) that the local educational agency has adopted effective procedures for acquiring and disseminating to teachers and administrators participating in each program significant information from educational research, demonstrations, and similar projects, and for adopting, where appropriate, promising educational practices developed through such projects. "(c) A general application submitted under this section shall remain in effect for the duration of the programs it covers. The State agencies or boards administering the programs covered by the application shall not require the submission or amendment of such application unless required by changes in Federal or State law or by other significant change in the circumstances affecting an assurance in such application.". (b) Section 497A(a) of the Higher Education Act of 1965 is 20 USC 1088f-l. amended by striking out "or of section 434(c) of the General Education Provisions Act.". (c) Part C of the General Education Provisions Act is further amended by inserting immediately after section 436 the following: "Subpart 4—Records; Privacy; Limitation on Withholding Federal Funds (C

RECORDS

20 USC 1232f.

Audits, access.

"SEC. 437. (a) Each recipient of Federal funds under any applicable program through any grant, subgrant, contract, subcontract, loan, or other arrangement (other than procurement contracts awarded by an administrative head of an educational agency) shall keep records which fully disclose the amount and disposition by the recipient of those funds, the total cost of the activity for which the funds are used, the share of that cost provided from other sources, and such other records as will facilitate an effective audit. The recipient shall maintain such records for five years after the completion of the activity for which the funds are used. "(b) The Secretary and the Comptroller General of the United States, or any of their duly authorized representatives, shall have access, for the purpose of audit examination, to any records of a recipient which may be related, or pertinent to, the grants, subgrants, contracts, subcontracts, loans, or other arrangements to which reference is made in subsection (a)j or which may relate to the compliance of the recipient with any requirement of an applicable program.". ENFORCEMENT

20 USC 1221.

SEC. 1232. The General Education Provisions Act is amended by adding at the end thereof the following new part:

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1067

 PUBLIC LAW 95-561—NOV. 1, 1978

92 STAT. 2347

"PART E—ENFORCEMENT "EDUCATION APPEAL BOARD

"SEC. 451. (a) The Commissioner shall establish in the Office of Education an Education Appeal Board (hereinafter in this part referred to as the 'Board') the functions of which shall be to conduct— "Tl^ audit appeal hearings pursuant to section 452 of this Act, "(2) withholding hearings pursuant to section 453 of this Act, "(3) cease and desist hearings pursuant to section 454 of this Act, and " (4) other proceedings designated by the Commissioner. "(b) The members of the Board shall be designated by the Secretary, in consultation with the Assistant Secretary for Education and the Commissioner, and may include individuals who are officers or employees of the United States, as well as individuals who are not fulltime employees of the Federal Government. "(c) The Board shall be composed of not less than fifteen nor more than thirty members, of whom no more than one-third shall be officers or employees of the Department. The Secretary shall designate one of the members of the Board to be the Chairman. "(d) For the purposes of conducting hearings as provided in subsection (a) the Chairman may appoint hearing panels of not less than three members of the Board, or the Chairman may designate the entire Board to sit as a panel for any case or class of cases. On any such panel— "(1) the majority of members shall not be individuals in the full-time employment of the Federal Government, "(2) the membership shall not include any individual who is a party to, or has any responsibility for, any particular matter assigned to that panel, and "(3) the Chairman of the Board shall designate one member of each such panel to be the presiding officer. "(e) The proceedings of the Board shall be conducted according to such rules as the Commissioner shall prescribe by regulation in conformance with the rules relating to hearings in title 5, United States Code, sections 554, 556, and 557 respecting— "(1) the receipt of oral or written testimony, " (2) notice of the issues to be considered, " (3^ the right to counsel, " (4) intervention of third parties, "(5) transcripts of proceedings, and "(6) such other matters as may be necessary to carry out the functions of the Board. "(f) If there has been established within the Department of Health, Education, and Welfare an appeal board which the Commissioner determines is capable of carrying out the functions of the Board established under this section, he may, with the approval of the Secretary, designate such Department appeal board to carry out the functions of this section. ((AUDIT DETERMINATIONS

Establishment and functions.

452. (a) Whenever the Commissioner determines that an expenditure not allowable under a program listed in section 435(a) of this title, or conducted under title VI and title VII of the Elementary and Secondary Education Act of 1965 or under the Emergency School Aid Act, has been made by a State or by a local educational agency, or

Notification. 20 USC 1234a. Ante, p. 2343. Ante, pp. 2252, 2268. Ante, p. 2252.

"SEC._

20 USC 1234.

Membership.

Chairman. Hearing panels.

Appeal board, designation.

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1068

 92 STAT. 2348

PUBLIC LAW 95-561—NOV. 1, 1978

that a State or local educational agency has otherwise failed to discharge its obligation to account for funds under any such program, the Commissioner shall give such State or local educational agency written notice of a final audit determination, and he shall at the same time notify such State or agency of its right to have such determination reviewed by the Board. Review, "(b) A State or a local educational agency that has received written application. notice of a final audit determination and that desires to have such determination reviewed by the Board shall submit to the Board an application for review not later than thirty days after receipt of notification of the final audit determination. The application for review shall be in the form and contain the information specified by the Board. The Board shall return to the Commissioner for such action as he deems appropriate any final audit determination which, in the judgment of the Board, contains insufficient detail to identify with particularity those expenditures which are not allowable. Unless the Board determines that a final audit determination lacks sufficient detail, the burden shall be upon the State or local educational agency to demonstrate the allowability of expenditures disallowed in the final audit determination. "(c) When a State or a local educational agency has submitted an application for review with respect to a final audit determination, no action shall be taken by the Commissioner to collect the amount determined to be owing until the Board has issued a final decision upholding the audit determination as to all or any part of such amount. The filing of such an application shall not affect the authority of the Commissioner to take any other adverse action against such State or agency under this part. "(d) A decision of the Board with respect to an application for review under this section shall become final unless within sixty days following receipt by the State or by the local educational agency of written notice of the decision— "(1) the Commissioner for good cause shown, modifies or sets aside the decision, in whole or in part, in which case the decision shall become final sixty days after such action by the Commissioner, or "(2) the State or the local educational agency files a petition for judicial review as provided in section 455 of this Act. "(e) A final audit determination by the Commissioner under subsection (a) with respect to which review has not been requested pursuant to subsection (b), or a final decision of the Board under this section upholding a final audit determination against a State or a local educational agency shall establish the amount of the audit determination as a claim of the United States which the State or the local educational agency shall be required to pay to the United States and which may be collected by the Commissioner in accordance with the Federal 31 USC 951 note. Claims Collection Act of 1966. Claim "(f)(1) Notwithstanding any other provision of law, the Commiscompromises. sioner may, subject to the notice requirements of paragraph (2), compromise any claim established under this section for which the initial determination was found to be not in excess of $50,000, where the Commissioner determines that (A) the collection of any or all of the amount thereof would not be practical or in the public interest, and (B) the practice which resulted in the claim has been corrected and will not recur. Publication in " (2) Not less than forty-five days prior to the exercise of the authorFederal Register, ity to compromise a claim pursuant to paragraph (1), the Commis-

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1069

 PUBLIC LAW 95-561—NOV. 1, 1978

92 STAT. 2349

sioner shall publish in the Federal Register a notice of his intention to do so. Such notice shall provide interested persons an opportunity Comments, to comment on any proposed action under this subsection through the submission of written data, views, or arguments. "(g) No State and no local educational agency shall be liable to refund any amount expended under an applicable program which is determined to be unauthorized by law if that expenditure was made more than five years before that State or local educational agency is given the notice required by subsection (a). "(h) The Secretary shall employ, assign, or transfer sufficient professional personnel to ensure that all matters brought before the Board may be dealt with in a timely manner. "WITHHOLDINGS

"SEC. 453. (a) Whenever the Commissioner has reason to believe that any recipient of funds under any applicable program (other than a program to which regulations promulgated under section 497A of the Higher Education Act of 1965 apply), has failed to comply substantially with any requirement of law applicable to such funds, he shall notify such recipient in writing of his intention to withhold, in whole or in part, further payments under such program, including payments for State or local administrative costs, until he is satisfied that the recipient no longer fails to comply with such assurances or other terms. "(b) The notification required under subsection (a) shall state (1) the facts upon which the Commissioner has based his belief and (2) a notice of opportunity for a hearing to be held on a date at least thirty days after the notification has been sent to the recipent. The hearing shall be held before the Board and shall be conducted in accordance with rules prescribed pursuant to section 451(e) of this Act. "(c) Pending the outcome of any proceeding initiated under this section, the Commissioner may suspend payments to such a recipient, after such recipient has been given reasonable notice and opportunity to show cause why such action should not be taken. "(d) The decision of the Board in any proceeding brought under this section shall become final unless within sixty days following receipt by the recipient of written notice of the decision— "(1) the Commissioner for good cause shown, modifies, or sets aside the decision in whole or in part, in which case the decision as modified shall become final sixty days after such action by the Commissioner, or "(2) the recipient files a petition for judicial review as provided in section 455 of this Act.

Notification. 20 USC 1234b. 20 USC 1088f-l.

Notice and hearing.

CEASE AND DESIST ORDERS

"SEC. 454. (a) Whenever the Commissioner has reason to believe that any State or any local educational agency that receives funds under any applicable program has failed to comply substantially with any requirement of law applicable to such funds, in lieu of proceeding under section 453 of this Act, the Commissioner may issue and cause to be served upon such State or upon such local educational agency a complaint (1) stating the charges upon which his belief is based, and (2) containing a notice of a hearing to be held before the Board on a date at least thirty days after the service of that complaint. "(b) The State or the local educational agency upon which such a

eomplaints. 20 USC 1234c.

Notice and hearing.

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PUBLIC LAW 95-561—NOV. 1, 1978

complaint has been served shall have the right to appear before the r Board on the date specified and to show cause why an order should not be entered by the Board requiring such State or such local educational agency to cease and desist from the violation of law charged in the complaint. Testimony, filing. "(c) The testimony in any hearing held under this section shall be Report. reduced to writing and filed with the Board. If upon that hearing the Board shall be of the opinion that the State or the local educational agency is in violation of any requirement of law as charged in the complaint, it shall make a report in writing stating its findings of fact and shall issue and cause to be served upon the State or the local educational agency an order requiring the State or the local educational agency to cease and desist from the practice, policy, or procedure which resulted in such violation. "(d) The report and order of the Board shall become final on the sixtieth day following the date upon which the order of the Board was served upon the State or the local educational agency unless before that day the State or local educational agency files a petition for judicial review as provided in section 455 of this Act. Enforcement. "(e) A final order of the Board under this section may be enforced, as determined by the Commissioner, by— "(1) the withholding of any portion of the amount payable, y including amounts payable for administrative costs, under the affected program to the State or the local educational agency against which the final order has been issued, or Certification. "(2) the Commissioner certifying the facts to the Attorney General whose duty it shall be to cause appropriate proceeding to be brought for the enforcement of the order. (.(.JUDICIAL Entitlement. 20 USC 1234d.

REVIEW

"SEC. 455. (a) Any recipient of funds under an applicable program that would be adversely affected by any action under section 452, 453, or 454 of this Act, and any State entitled to receive funds under Ante, p. 2343. a program listed in section 435(a) of this title whose application therefor has been disapproved by the Commissioner, shall be entitled to judical review of such action in accordance with the provision of this section. Petition,filingand " (b) Any State, local educational agency, or other recipient entitled copy. to judicial review under subsection (a) that desires such review of any action by the Commissioner or the Board qualifying for review under this section shall, within sixty days of that action, file with the United States Court of Appeals for the circuit in which that State, local educational agency, or other recipient is located, a petition for review of such action. A copy of the petition shall be forthwith transmitted by the clerk of the court to the Commissioner. The Commissioner thereupon shall file in the court the record of the proceedings on which the action was based, as provided in section 2112 of title 28, United States Code. "(c) The findings of fact by the Board, if supported by substantial evidence, shall be conclusive; but the court, for good cause shown, may remand the case to the Board to take further evidence, and the Board may thereupon make new or modified findings of fact and may modify its previous action, and shall certify to the court the record of the further proceedings. Such new or modified findings of fact shall likewise be conclusive if supported by substantial evidence. "(d) The court shall have jurisdiction to affirm the action of the Board or the Commissioner or to set it aside, in whole or in part. The

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92 STAT. 2351

judgment of the court shall be subject to review by the Supreme Court of the United States upon certiorari or certification as provided in section 1254 of title 28, United States Code. USE OF RECOVERED FUNDS

"SEC. 456. (a) Whenever the Commissioner has recovered funds following a final audit determination with respect to any applicable program, he may consider those funds to be additional funds available for that program and may arrange to repay to the State or the local agency affected by that action not to exceed 75 percent of those funds upon his determination that— "(1) the practices or procedures of the State or local agency that resulted in the audit determination have been corrected, and that the State or the local agency is in all other respects in compliance with the requirement of that program; "(2) the State or the local agency has submitted to the Commissioner a plan for the use of those funds pursuant to the requirements of that program and, to the extent possible, for the benefit of the population that was affected by the failure to comply or by the misexpenditures that resulted in the audit exception; and "(3) the use of those funds in accordance with that plan would serve to achieve the purposes of the program under which the funds were originally granted. "(b) Any payments by the Commissioner under this section shall be subject to such other conditions as the Commissioner deems necessary to accomplish the purposes of the affected programs, including— " (1) the submission of periodic reports on the use of funds provided under this section; and "(2) consultation by the State or local agency with parents or representatives of the population that will benefit from the payments. "(c) Notwithstanding any other provisions of law, the Commissioner may authorize amounts made available under this section to remain available for expenditure, subject to such conditions as he deems appropriate, for up to three fiscal years following the fiscal year in which the audit determination referred to in subsection (a) was made. "(d) At least thirty days prior to entering into an arrangement under this section, the Commissioner shall publish in the Federal Register a notice of his intent to do so and the terms and conditions under which payments will be made. Interested persons shall have an opportunity for at least thirty days to submit comments to the Commissioner regarding the proposed arrangement.".

State or local agency, repayment. 20 USC 1234e.

Notice, publication in Federal Register. Comments.

PART D—GEIJERAL ADMINISTRATIVE PROVISIONS OFFICE OF NON-PUBLIC EDUCATION

SEC. 1241. Section 403 of the General Education Provisions Act is Establishment. amended by adding at the end thereof the followina: new subsection: 20 USC 1221c. " (d)(1) There shall be, in the Office of Education, an Office of Non-Public Education to insure the maximum potential participation of nonpublic school students in all Federal educational programs for which such children are eligible. "(2) The Office shall be headed by the Deputy Commissioner for Non-Public Education, who shall be appointed by the Commissioner.".

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Page:United States Statutes at Large Volume 92 Part 2.djvu/1072

 92 STAT. 2352

PUBLIC LAW 95-561—NOV. 1, 1978 NATIONAL ASSESSMENT OF EDUCATIONAL PROGRESS

Grant or cooperative agreement. 20 USC 122 le.

Management. Assessment Policy G)mmittee, establishment and membership.

SEC. 1242. Section 405 of the General Education Provisions Act is amended by adding at the end thereof the following new subsection: "(k)(1) In addition to other responsibilities of the Institute under this section, the Institute shall carry out, by grant to or cooperative agreement (subject to the provisions of the Federal Grant and Cooperative Agreement Act of 1977) with a nonprofit education organization, a National Assessment of Educational Progress which shall have as a primary purpose the assessment of the performance of children and young adults in the basic skills of reading, mathematics, and comr;ninication. Sucli a National Assessment shall— " (A) collect and report at least once every five years data assessing the performance of students at various age or grade levels in each of the areas of reading, writing, and mathematics; "(B) report periodically data on changes in knowledge and skills of such students over a period of time; "(C) conduct special assessments of other educational areas, as the need for additional national information arises; and "(D) provide technical assistance to State educational agencies and to local educational agencies on the use of National Assessment objectives, primarily pertaining to the basic skills of reading, mathematics, and communication, and on making comparisons of such assessments with the national profile and change data developed by the National Assessment. "(2)(A) The education organization through which the Institute carries out the National Assessment shall be responsible for overall management of the National Assessment. Such organization shall delegate authority to design and supervise the conduct of the National Assessment to an Assessment Policy Committee established by such organization. The Assessment Policy Committee shall be composed of— "(i) five members appointed by the education organization of whom two members shall be representatives of business and industry and three members shall be representatives of the general public, and "(ii) twelve members appointed by the education organization from the categories of membership specified in subparagraph (B). "(B) Members of the Assessment Policy Committee appointed in accordance with division (ii) of subparagraph (A) shall be— " (i) one chief State school officer; "(ii) two State legislators; "(iii) two school district superintendents; " (iv) one chairman of a State board of education; " (v) one chairman of a local school board; " ^ vi) one Governor of a State; and "(vii) four classroom teachers. "(C) The Director of the Institute shall serve as an ex officio member of the Assessment Policy Committee. The Director shall also appoint a member of the National Council on Education Research to serve as a nonvoting member of the Assessment Policy Committee. "(D) Members appointed in accordance with divisions (i) and (ii) of subparagraph (A) shall be appointed for terms of three years, except that (i) in the case of members appointed for fiscal year 1979, one third of the membership shall be appointed for terms of one year each and one third shall be appointed for terms of two years each, and (ii) appointments to fill vacancies shall be for such terms as

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remain unexpired. No member shall be appointed to serve more than two consecutive terms. "(3) The Assessment Policy Committee established by paragraph Duties. (2) shall be responsible for the design of the National Assessment, including the selection of the learning areas to be assessed, the development and selection of goal statements and assessment items, the assessment methodology, the form and content of the reporting and dissemination of assessment results, and studies to evaluate and improve the form and utilization of the National Assessment. "(4) Each learning area assessment shall have ^oal statements devised through a national consensus approach, providing for active participation of teachers, curriculum specialists, subject matter specialists, local school administrators, parents, and concerned members of the general public. All items selected for use in the assessment shall Review. be reviewed to exclude items which might reflect racial, sex, cultural, or regional bias. "(5) Participation in the National Assessment by State and local educational agencies selected as part of a sample of such agencies shall be voluntary. "(6) The Director of the Institute shall provide for a review of the Review, comments National Assessment at least once every three years. This review shall and report to provide an opportunity for public comment on the conduct and use- Congress. fulness of National Assessment and shall result in a report to the Congress and to the Nation on the findings and recommendations, if any, stemming from the review. " (7) There are authorized to be appropriated $10,500,000 for each Appropriation fiscal year ending prior to October 1, 1983, to carry out the provisions authorization. of this subsection.". NATIONAL CENTER FOR EDUCATION STATISTICS

SEC. 1243. (a) Section 406(g) of the General Education Provisions Act (as redesignated by section 1212(c)) is amended by striking out Ante, p. 2341. "October 1, 1978" both places it appears therein, and by inserting instead "October 1, 1983". (b)(1) Section 408(a) of such Act is amended by inserting "or by 20 USC 1221e-3. delegation of authority pursuant to law" immediately after "vested in him by law". (2) Section 408(a)(1) of that Act is amended by inserting after "operation of" a comma and the following: "and governing the applicable programs administered by". GENERAL AUTHORITY OF ADMINISTRATIVE HEADS OF EDUCATION AGENCIES

SEC. 1244. Section 408 of the General Education Provisions Act is further amended by redesignating subsections (b) and (c) as subsections (c) and (d), respectively, and by inserting immediately after subsection (a) the following new subsection: "(b) The administrative head of an education agency shall ensure that, in contracting under the authority of this section for the services of independent persons in the competitive review of grant applications, all such persons are qualified, by education and experience, to perform such services. The qualifications of such persons and the terms of such contracts, other than information which identify such person, shall be readily made available to the public". (4) Section 408(d) of such Act (as redesignated by paragraph (3) of this subsection) is amended by striking out "For the purposes of

Gjntracts, qualifications and terms, public availability.

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 92 STAT. 2354

PUBLIC LAW 95-561—NOV. 1, 1978 this section" and inserting in lieu thereof "For the purposes of this title".

20 USC 1225.

i

AVAII-^BILITY O r APPROPRIATIONS

SEC. 1245. (a) Section 412(b) of the General Education Provisions Act is amended by striking out "ending prior to October 1, 1979.". (b) Section 412(b) of such Act is further amended by inserting " (1) " immediately after the subsection designation thereof and by inserting at the end of subsection (b) the following new paragraph: "(2) Any funds under any applicable program which, pursuant to paragraph (1), are available for obligation and expenditure in the year succeeding the fiscal year for which they were appropriated shall be obligated and expended in accordance with— "(A) the Federal statutory and regulatory provisions relating to such program which are in effect for such succeeding fiscal year, and "(B) any program plan or application submitted by such educational agencies or institutions for such program for such succeeding fiscal year.". EVALUATION

20 USC 1226c.

20 USC 1226d.

SEC. 1246. (a) Section 417(a)(1) of the General Education Provisions Act is amended by adding, after "effectiveness of applicable programs", the following: "(including compliance with provisions of law requiring the maintenance of non-Federal expenditures for the purposes of such applicable programs)". (b) Section 417(a)(1) is further amended by striking out "Committee on Labor and Public Welfare" and inserting in lieu thereof "Committee on Human Resources". (c) Section 418(b)(1)(A) of such Act is amended by adding, after "expenditures", the following: "(including, where applicable, State and local expenditures)". REVIEW o r APPLICATIONS

20 USC 1231b-2.

SEC 1247. Section 425(a) of General Education Provisions Act is amended by striking out "or (3)" and inserting in lieu thereof the following: "(3) ordering, in accordance with a final State audit resolution determination, the repayment of misspent or misapplied Federal funds, or (4)". TECHNICAL ASSISTANCE; DISSEMINATION

Contracts and grants, awards. 20 USC 1231c.

SEC. 1248. Section 426 of the General Education Provisions Act is amended by redesignating subsection (c) of such section as subsection (d) and by inserting after subsection (b) the following new subsection: "(c) In awarding contracts and grants for the development of curricula or instructional materials, the Commissioner and the Director of the National Institute of Education shall— "(1) encourage applicants to assure that such curricula or instructional materials will be developed in a manner conducive to dissemination through continuing consultations with publishers, personnel of State and local educational agencies, teachers, administrators, community representatives, and other individuals experienced in such dissemination;

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92 STAT. 2355

"(2) permit applicants to include provision for reasonable consultation fees or planning costs; and " (3) insure that grants to public agencies and nonprofit private organizations and contracts with public agencies and private organizations for publication and dissemination of curricula or instructional materials, or both, are awarded competitively to such agencies and organizations which provide assurances that the curricula and instructional materials will reach the target populations for which they were developed.". M A I N T E N A N C E OF EFFORT

SEC. 1249. Section 431A of the General Education Provisions Act is amended to read as follows: "MAINTENANCE OF EFFORT DETERMINATION

"SEC. 431A. (a) I n prescribing regulations for carrying out the requirements of section 403(a) (10) for fiscal year 1979 and section 404 (a)(7) for subsequent fiscal years of the Elementary and Secondary Education Act of 1965 and section 307(b) of the Adult Education Act, the Commissioner shall determine the amount so expended on the basis of per pupil or aggregate expenditures. " (b) The Commissioner may waive, for one fiscal year only, the requirements of this section if he determines that such a waiver would be equitable due to exceptional and unforeseen circumstances such as a natural disaster or a precipitous and unforeseen decline in the financial resources of the local educational agency. In any case in which a waiver under this subsection is granted, the Commissioner shall reduce the amount of the Federal payment for the program affected for the current fiscal year in the exact proportion to which the amount expended (either on an average per pupil or aggregate basis) was less than the amount required by section 403(a) (10) for fiscal year 1979, and section 404(a)(7) for subsequent fiscal years of the Elementary and Secondary Education Act of 1965 or section 307(b) of the Adult Education Act. No level of funding permitted under such a waiver may be used as the basis for computing the fiscal effort required, under such sections, for years subsequent to the year covered by such waiver; such fiscal effort shall be computed on the basis of the level of funding which would, but for such waiver, have been required. " (c) The Commissioner shall establish objective criteria of general applicability to carry out the waiver authority contained in this section. " (d) This section shall be effective with respect to each requirement to which it applies, during the period which begins on the date of the enactment of the Education Amendments of 1978, and ends on the date of termination of the program to which the requirement applies. For purposes of the preceding sentence, a program shall be considered to terminate on September 30 of the fiscal year, if any, during which such program is automatically extended pursuant to section 414 of the General Education Provisions Act.".

20 USC 1232-1. 20 USC 1803, 3084. 20 USC 821 note, 1206. Waiver. 20 USC 1232-1.

eriteria.

20 USC 1226a.

PROTECTION or PUPIL RIGHTS

SEC. 1250. Section 439 of the General Education Provisions Act 20 USC 1232h. (relating to protection of pupil rights) is amended by inserting " (a) "

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