School Readiness Act of 2003

        [Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2210 Referred in Senate (RFS)]

1st Session
H. R. 2210

_______________________________________________________________________

IN THE SENATE OF THE UNITED STATES

July 25 (legislative day, July 21), 2003

Received; read twice and referred to the Committee on Health,
Education, Labor, and Pensions

_______________________________________________________________________

AN ACT

To reauthorize the Head Start Act to improve the school readiness of
disadvantaged children, and for other purposes.

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

SECTION 1. SHORT TITLE.

This Act may be cited as the ``School Readiness Act of 2003''.

TITLE I--HEAD START REAUTHORIZATION AND PROGRAM IMPROVEMENTS

SEC. 101. PURPOSE.

Section 636 of the Head Start Act (42 U.S.C. 9831) is amended to
read as follows:

``SEC. 636. STATEMENT OF PURPOSE.

``It is the purpose of this subchapter to promote school readiness
by enhancing the development of low-income children, through
educational instruction in prereading skills, premathematics skills,
and language, and through the provision to low-income children and
their families of health, educational, nutritional, social and other
services that are determined, based on family needs assessments, to be
necessary.''.

SEC. 102. DEFINITIONS.

Section 637 of the Head Start Act (42 U.S.C. 9832) is amended as
follows:
(1) In paragraph (17) by striking ``, but for fiscal
years'' and all that follows down to the period.
(2) By adding the following at the end thereof:
``(18) The term `eligible entities' means an institution of
higher education or other agency with expertise in delivering
training in early childhood development, family support, and
other assistance designed to improve the quality of early
childhood educations programs.
``(19) The term `homeless children' has the meaning given
such term in subtitle B of title VII of the McKinney-Vento
Homeless Assistance Act (42 U.S.C. 11431 et seq.).''.

SEC. 103. AUTHORIZATION.

Section 639 of the Head Start Act (42 U.S.C. 9834) is amended to
read as follows:

``SEC. 639. AUTHORIZATION OF APPROPRIATIONS.

``(a) In General.--There are authorized to be appropriated for
carrying out the provisions of this subchapter $6,870,000,000 for the
fiscal year 2004, $6,988,750,000 for fiscal year 2005, $7,106,500,000
for fiscal year 2006, $7,245,000,000 for fiscal year 2007, and
$7,427,000,000 for fiscal year 2008.
``(b) Specific Programs.--From the amount appropriated under
subsection (a), the Secretary shall make available not more than
$20,000,000 for fiscal year 2004, and such sums as may be necessary for
fiscal year 2005 through 2008 to carry out such other research,
demonstration, and evaluation activities, including longitudinal
studies, under section 649.
``(1) not more than $7,000,000 for each of fiscal years
2004 through 2008 to carry out impact studies under section
649(g); and
``(2) not more than $13,000,000 for fiscal year 2004, and
such sums as may be necessary for each of fiscal years 2005
through 2008, to carry out other research, demonstration, and
evaluation activities, including longitudinal studies, under
section 649.
``(c) Administrative Expenses.--There are authorized to be
appropriated $5,000,000 for each of fiscal years 2004 through 2008 to
assist participating States with the administrative expenses associated
with implementing a program under section 643A.''.

SEC. 104. ALLOTMENT OF FUNDS; LIMITATIONS ON ASSISTANCE.

Section 640 of the Head Start Act (42 U.S.C. 9835) is amended as
follows:
(1) In subsection (a)(2):
(A) By striking ``1998'' in subparagraph (A) and
inserting ``2003''.
(B) By amending subparagraph (B) to read as
follows:
``(B) payments, subject to paragraph (7) to Guam, American
Samoa, the Commonwealth of the Northern Mariana Islands, and
the Virgin Islands of the United States;''.
(2) By striking the last sentence of paragraph (2) of
subsection (a).
(3)(A) By amending subsection (a)(2)(C) to read as follows:
``(C) training and technical assistance activities that are
sufficient to meet the needs associated with program expansion
and to foster program and management improvement as described
in section 648 of this subchapter, in an amount for each fiscal
year which is equal to one percent of the amount appropriated
for such fiscal year, of which--
``(i) not less than 50 percent shall be made
available to local Head Start agencies to comply with
the standards described in section 641A(a)(1), of which
not less than 50 percent shall be used to comply with
the standards described in section 641A(a)(1)(B) and
for the uses described in clauses (iii), (iv), and
(vii) of subsection (a)(3)(B);
``(ii) not less than 30 percent shall be made
available to support a State system of early childhood
education training and technical assistance;
``(iii) not less than 20 percent shall be made
available to the Secretary to assist local programs in
meeting the standards described in section 641A(a)(1);
and
``(iv) not less than $3,000,000 of the amount in
clause (iii) appropriated for such fiscal year shall be
made available to carry out activities described in
section 648(c)(4);''.
(B) By inserting the following at the end of subsection
(a)(2):
``Of an additional one percent of the amount appropriated for such
fiscal year, the Secretary shall use not less than 25 percent of such
funds to fund the expansion of services to migrant and seasonal Head
Start children. If sufficient migrant and seasonal eligible children
are not available to use such funds, then enrollment priority shall be
given to other disadvantaged populations referred to in subparagraph
(A). Not less than 60 percent of such one percent amount shall be used
to fund quality improvement activites as described in sec 640(a)(3)(B)
and (C)''.
(4) In subsection (a)(3)(A) by inserting at the end
thereof:
``(iii) After the reservation of amounts under paragraph (2) and
the 60 percent amount referred to in subparagraph (A) of this
paragraph, a portion of the remaining funds shall be made available for
quality to expand services to underserved populations, such as children
receiving services under the Early Head Start and Migrant and Seasonal
Head Start programs.''.
(5) In subsection (a)(3)(A)(i)(I) by striking ``1999'' and
all that follows down to the semicolon and inserting ``2004
through 2008''.
(6) By amending subsection (a)(3)(B) to read as follows:
``(B) Funds reserved under this paragraph (referred to in this
paragraph as `quality improvement funds') shall be used to accomplish
any or all of the following goals:
``(i) Ensuring that Head Start programs meet or exceed
standards pursuant to section 641A(a)(1).
``(ii) Ensuring that such programs have adequate numbers of
qualified staff, and that such staff is furnished adequate
training, including developing skills to promote the
development of language skills, premathematic skills, and
prereading in young children and in working with children with
non-English language background, children referred by child
welfare services, and children with disabilities, when
appropriate.
``(iii) Developing and financing the salary scales
described under section 644(a) and section 653, in order to
ensure that salary levels and benefits are adequate to attract
and retain qualified staff for such programs.
``(iv) Using salary increases to improve staff
qualifications, and to assist with the implementation of
programs specifically designed to enable lead instructors to
become more effective educators, for the staff of Head Start
programs, and to encourage the staff to continually improve
their skills and expertise by informing the staff of the
availability of Federal and State incentive and loan
forgiveness programs for professional development.
``(v) Improving community-wide strategic planning and needs
assessments for such programs and collaboration efforts for
such programs, including collaborations to increase program
participation by underserved populations of eligible children.
``(vi) Ensuring that the physical environments of Head
Start programs are conducive to providing effective program
services to children and families, and are accessible to
children with disabilities and their parents.
``(vii) Ensuring that such programs have qualified staff
that can promote language skills and literacy growth of
children and that can provide children with a variety of skills
that have been identified, through scientifically based reading
research, as predictive of later reading achievement.
``(viii) Providing assistance to complete post-secondary
course work needed to attain baccalaureate degrees in early
childhood education.
``(ix) Making such other improvements in the quality of
such programs as the Secretary may designate.
``(x) To promote the regular attendance and stability of
highly mobile children, including migrant and homeless
children.''.
(7) By amending subsection (a)(3)(C) to read as follows:
``(C) Quality improvement funds shall be used to carry out any or
all of the following activities:
``(i)(I) Not less than one-half of the amount reserved
under this paragraph, to improve the compensation (including
benefits) of classroom teachers and other staff of Head Start
agencies providing instructional services and thereby enhancing
recruitment and retention of qualified staff, including
recruitment and retention pursuant to achieving the
requirements set forth in section 648A(a). The expenditure of
funds under this clause shall be subject to section 653. Salary
increases, in excess of cost-of-living allowance, provided with
such funds shall be subject to the specific standards governing
salaries and salary increases established pursuant to section
644(a).
``(II) If a Head Start agency certifies to the Secretary
for such fiscal year that part of the funds set aside under
subclause (I) to improve wages cannot be expended by such
agency to improve wages because of the operation of section
653, then such agency may expend such part for any of the uses
specified in this subparagraph (other than wages).
``(III) From the remainder of the amount reserved under
this paragraph (after the Secretary carries out subclause (I)),
the Secretary shall carry out any or all of the activities
described in clauses (ii) through (vii), placing the highest
priority on the activities described in clause (ii).
``(ii) To train classroom teachers and other staff to meet
the education standards described in section 641A(a)(1)(B),
through activities--
``(I) to promote children's language and prereading
growth, through techniques identified through
scientifically based reading research;
``(II) to promote the acquisition of the English
language for non-English background children and
families;
``(III) to foster children's school readiness
skills through activities described in section
648A(a)(1); and
``(IV) to educate and provide training necessary to
improve the qualifications particularly with respect to
such assistance to enable more instructors to meet the
degree requirements under section 648A(a)(2)(A) and to
support staff training, child counseling, and other
services necessary to address the problems of children
participating in Head Start programs, including
children from dysfunctional families, children who
experience chronic violence in their communities, and
children who experience substance abuse in their
families.
``(iii) To employ additional Head Start staff, including
staff necessary to reduce the child-staff ratio lead
instructors who meet the qualifications of section 648A(a) and
staff necessary to coordinate a Head Start program with other
services available to children participating in such program
and to their families.
``(iv) To pay costs incurred by Head Start agencies to
purchase insurance (other than employee benefits) and thereby
maintain or expand Head Start services.
``(v) To supplement amounts provided under paragraph (2)(C)
to provide training necessary to improve the qualifications of
the staff of the Head Start agencies, and to support staff
training, child counseling, and other services necessary to
address the problems of children participating in Head Start
programs, including children from dysfunctional families,
children who experience chronic violence in their communities,
and children who experience substance abuse in their families.
``(vi) To conduct outreach to homeless families in an
effort to increase the program participation of eligible
homeless children.
``(vii) Such other activities as the Secretary may
designate.
``(viii) To conduct outreach to migrant and seasonal farm-
working families and families with children with a limited
English proficiency.''.
(8) In subsection (a)(4) by striking ``1998'' in
subparagraph (A) and inserting ``2003''.
(9) In subsection (a)(5)(B)--
(A) by striking ``may'' and inserting ``shall'';
and
(B) by inserting ``early childhood education''
after ``regarding''.
(10) By amending subsection (a)(5)(C) to read as follows:
``(C) In order to improve results for children, a State that
receives a grant under subparagraph (B) shall--
``(i) appoint an individual to serve as the State Director
of Collaboration between--
``(I) the appropriate regional office of the
Administration for Children and Families;
``(II) the State educational agency;
``(III) the State Department of Health and Human
Services;
``(IV) the State agency that oversees child care;
``(V) the State agency that assists children with
developmental disabilities;
``(VI) the State Head Start Association;
``(VII) the State network of child care resource
and referral agencies;
``(VIII) local educational agencies;
``(IX) community-based and faith-based
organizations;
``(X) State representatives of migrant and seasonal
Head Start programs;
``(XI) State representatives of Indian Head Start
programs;
``(XII) State and local providers of early
childhood education and child care; and
``(XIII) other entities carrying out programs
serving low-income children and families in the State;
``(ii) ensure that the State Director of Collaboration
holds a position with sufficient authority and access to ensure
that the collaboration described in subparagraph (B) is
effective and involves a range of State agencies;
``(iii) involve the entities described in section clause
(i) to develop a strategic plan for the coordinated outreach to
identify eligible children and implementation strategies based
on a needs assessment conducted by the Office of the State
Director of Collaboration which shall include an assessment of
the availability of high quality prekindergarten services for
low-income children in the State. Such assessment shall be
completed within one year after the date of enactment of the
`School Readiness Act of 2003' and be updated on an annual
basis and shall be made available to the general public within
the State;
``(iv) ensure that the collaboration described in
subparagraph (B) involves coordination of Head Start services
with health care, welfare, child care, child protective
services, education, and community service activities, family
literacy services, activities relating to children with
disabilities (including coordination of services with those
State officials who are responsible for administering part C
and section 619 of the Individuals with Disabilities Education
Act), and services for homeless children (including
coordination of services with the Office of Coordinator for
Education of Homeless Children and Youth designated under
section 722 (g)(1)(J)(ii) of the McKinney-Vento Homeless
Education Assistance Improvements Act of 2001;
``(v) consult with the chief State school officer, local
educational agencies, and representatives of local Head Start
agencies and providers of early childhood education and care in
unified planning regarding early care and education services at
both the State and local levels, including collaborative
efforts to develop school readiness standards; and
``(vi) consult with the chief State school officer, local
educational agencies, State child care administrators, State
human services administrators, representatives of local
resource and referral agencies, local early childhood councils,
providers of early childhood education and care and other
relevant State and local agencies, and representatives of the
State Head Start Associations to plan for the provision of
full-working-day, full calendar year early care and education
services for children.''.
(11) By amending clause (i) of subsection (a)(5)(D) by
inserting ``and providers of services supporting early
childhood education and child care'' after ``Associations''.
(12) By amending subsection (a)(6)(A) to read as follows:
``(A) From amounts reserved and allotted pursuant to paragraphs (2)
and (4), the Secretary shall use, for grants for programs described in
section 645A(a) of this subchapter, a portion of the combined total of
such amounts equal to at least 10 percent for fiscal years 2004 through
2008, of the amount appropriated pursuant to section 639(a), except as
provided in subparagraph (B).''.
(13) By inserting the following before the period at the
end of subsection (f): ``, including models that leverage the
existing capacity and capabilities of the delivery system of
early childhood education and child care''.
(14) By inserting the following after ``manner that will''
in subsection (g)(2)(G): ``leverage the existing delivery
systems of such services and''.
(15) By amending subsection (g)(2)(C) to read as follows:
``(C) the extent to which the applicant has undertaken
community-wide strategic planning and needs assessments
involving other community organizations and public agencies
serving children and families (including organizations and
agencies providing family support services and protective
services to children and families, and organizations serving
families in whose homes English is not the language customarily
spoken), and organizations and public entities serving children
with disabilities and homeless children (including the local
educational agency liaison designated under section
722(g)(1)(J)(ii) of the McKinney-Vento Homeless Education
Assistance Improvements Act of 2001);''.
(16) By inserting in subsection (g)(2)(H) after ``serving
the community involved'' the following: ``, including the
liaison designated under section 722(g)(1)(J)(ii) of the
McKinney-Vento Homeless Education Assistance Improvements Act
of 2001,''.
(17) By adding the following new subsections at the end
thereof:
``(m) Enrollment of Homeless Children.--The Secretary shall by
regulation prescribe policies and procedures to remove barriers to the
enrollment and participation of eligible homeless children in Head
Start programs. Such regulations shall require Head Start agencies to:
``(1) implement policies and procedures to ensure that
eligible homeless children are identified and prioritized for
enrollment,
``(2) allow homeless families to apply to, enroll in and
attend Head Start programs while required documents, such as
proof of residency, immunization and other medical records,
birth certificates and other documents, are obtained within a
reasonable time frame, and
``(3) coordinate individual Head Start centers and programs
with efforts to implement Subtitle VII-B of the McKinney-Vento
Homeless Assistance Act.
``(n) Savings Provision.--Nothing in this Act shall be construed to
require a State to establish a program of early education for children
in the State, to require any child to participate in a program of early
education, to attend school, or to participate in any initial screening
prior to participation in such program, except as provided under
section 612(a)(3), (consistent with section 614(a)(1)(C)), of the
Individuals with Disabilities Education Act.
``(o) Materials.--All curricula and instructional materials funded
under this subchapter shall be scientifically based and age
appropriate. Parents shall have the ability to inspect, upon request,
any curricula or instructional materials.''.

SEC. 105. DESIGNATION OF AGENCIES.

Section 641 of the Head Start Act (42 U.S.C. 9836) is amended as
follows:
(1) In subsection (a)--
(A) by inserting after ``community'' in the first
place it appears ``, including a community-based or
faith-based organization'';
(B) by inserting ``(1)'' after ``(a)'';
(C) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively; and
(D) by adding the following at the end thereof:
``(2) In order to be designated as a Head Start agency and to
receive a grant under this subchapter, a grantee shall establish
grantee-determined goals for improving the school readiness of children
participating in a program under this subchapter, which shall include
goals for--
``(A) educational instruction in prereading,
premathematical, and language skills; and
``(B) the provision of health, educational, nutritional,
social, and other services.
``(3) In order to receive a grant subsequent to the initial grant
provided following the date of enactment of this subchapter, the
grantee shall demonstrate that it has met the goals described in
paragraph (2).
``(4) Progress in meeting such goals shall not be measured
primarily or solely by the results of assessments.''.
(2) By amending subsection (c) to read as follows:
``(c) In the administration of the provisions of this section, the
Secretary shall, in consultation with the chief executive officer of
the State involved if such State expends non-Federal funds to carry out
Head Start programs, give priority in the designation of Head Start
agencies to any local public or private nonprofit or for-profit agency
which is receiving funds under any Head Start program on the date of
the enactment of this Act that fulfills the program and financial
management requirements, standards described in section 641A(a)(1),
results-based performance measures developed by the Secretary under
section 641A(b), or other requirements established by the Secretary.''.
(3) By amending subsection (d) to read as follows:
``(d) If no entity in a community is entitled to the priority
specified in subsection (c), then the Secretary may designate a Head
Start agency from among qualified applicants in such community. In
selecting from among qualified applicants for designation as a Head
Start agency, the Secretary shall give priority to any qualified agency
that functioned as a Head Start delegate agency in the community and
carried out a Head Start program that the Secretary determines met or
exceeded such performance standards and such results-based performance
measures. In selecting from among qualified applicants for designation
as a Head Start agency, the Secretary shall consider the effectiveness
of each such applicant to provide Head Start services, based on--
``(1) any past performance of such applicant in providing
services comparable to Head Start services, including how
effectively such applicant provided such comparable services;
``(2) the capacity of such applicant to serve eligible
children with scientifically-based programs that promote school
readiness of children participating in the program;
``(3) the plan of such applicant to meet standards set
forth in section 641A(a)(1), with particular attention to the
standards set forth in subparagraphs (A) and (B) of such
section;
``(4) the plan of such applicant to provide comprehensive
health, nutritional, educational, social, and other services
needed to prepare children to succeed in school;
``(5) the plan of such applicant to coordinate the Head
Start program it proposes to carry out with other preschool
programs, including Early Reading First and Even Start programs
under title I, part B, subparts 1 and 2 of the Elementary and
Secondary Education Act of 1965; other preschool programs
carried out under title I of the Act; programs under part C and
section 619 of the Individuals with Disabilities Education Act;
State prekindergarten programs; and with the educational
programs such children will enter at the age of compulsory
school attendance;
``(6) the plan of such applicant to coordinate the Head
Start program it proposes to carry out with private entities
with resources available to assist the Head Start Program meet
its program needs;
``(7) the plan of such applicant--
``(A) to seek the involvement of parents of
participating children in activities (at home and in
the center involved where practicable) designed to help
such parents become full partners in the education of
their children;
``(B) to afford such parents the opportunity to
participate in the development, conduct, and overall
performance of the program at the local level;
``(C) to offer (directly or through referral to
local entities, such as entities carrying out Even
Start programs under part B of chapter 1 of title I of
the Elementary and Secondary Education Act of 1965 (20
U.S.C. 2741 et seq.), public and school libraries, and
family support programs) to such parents--
``(i) family literacy services; and
``(ii) parenting skills training;
``(D) to offer to parents of participating children
substance abuse counseling (either directly or through
referral to local entities), including information on
drug-exposed infants and fetal alcohol syndrome;
``(E) at the option of such applicant, to offer
(directly or through referral to local entities) to
such parents--
``(i) training in basic child development;
``(ii) assistance in developing
communication skills;
``(iii) opportunities for parents to share
experiences with other parents; or
``(iv) any other activity designed to help
such parents become full partners in the
education of their children;
``(F) to provide, with respect to each
participating family, a family needs assessment that
includes consultation with such parents about the
benefits of parent involvement and about the activities
described in subparagraphs (C) (D), and (E) in which
such parents may choose to become involved (taking into
consideration their specific family needs, work
schedules, and other responsibilities); and
``(G) to extend out reach to fathers in order to
strengthen the role of fathers in families by working
directly with fathers and father-figures through such
activities as including fathers in home visits;
implementing father outreach efforts, providing
opportunities for direct father-child interactions; and
targeting increased male participation in the program;
``(8) the ability of such applicant to carry out the plans
described in paragraphs (2), (3), and (4);
``(9) other factors related to the requirements of this
subchapter;
``(10) the plan of such applicant to meet the needs of non-
English background children and their families, including needs
related to the acquisition of the English language;
``(11) the plan of such applicant to meet the needs of
children with disabilities;
``(12) the plan of such applicant who chooses to assist
younger siblings of children who will participate in the
proposed Head Start program to obtain health services from
other sources;
``(13) the plan of such applicant to collaborate with other
entities carrying out early childhood education and child care
programs in the community; and
``(14) the plan of such applicant to meet the needs of
homeless children.''.

SEC. 106. QUALITY STANDARDS; MONITORING OF HEAD START AGENCIES AND
PROGRAMS.

Section 641A of the Head Start Act (42 U.S.C. 9836a) is amended as
follows:
(1) In subsection (a)(1)(B) by amending clause (ii) to read
as follows:
``(ii) additional education standards to ensure
that the children participating in the program, at a
minimum develop and demonstrate--
``(I) language skills;
``(II) prereading knowledge and skills,
including interest in and appreciation of
books, reading and writing either alone or with
others;
``(III) premathematics knowledge and
skills, including aspects of classification,
seriation, number, spatial relations, and time;
``(IV) cognitive abilities related to
academic achievement;
``(V) social and emotional development
important for environments constructive for
child development, early learning, and school
success; and
``(VI) in the case of limited-English
proficient children, progress toward
acquisition of the English language.''.
(2) By amending subsection (a)(2)(B) to read as follows:
``(B) take into consideration--
``(i) past experience with use of the
standards in effect under this subchapter on
October 27, 1998;
``(ii) changes over the period since
October 27, 1998, in the circumstances and
problems typically facing children and families
served by Head Start agencies;
``(iii) developments concerning best
practices with respect to early childhood
education and development, children with
disabilities, family services, program
administration, and financial management;
``(iv) projected needs of an expanding Head
Start program;
``(v) guidelines and standards currently in
effect or under consideration that promote
child health services, and projected needs of
expanding Head Start programs;
``(vi) changes in the population of
children who are eligible to participate in
Head Start programs, including the language
background and family structure of such
children;
``(vii) the need for, and state-of-the-art
developments relating to, local policies and
activities designed to ensure that children
participating in Head Start programs make a
successful transition to schools; and
``(viii) the unique challenges faced by
individual programs, including those that are
seasonal or short term, and those that serve
rural populations; and''.
(3) In subsection (a)(2)(C)(ii) by striking all that
follows ``in effect on'' down to the period and inserting
``October 27, 1998''.
(4) By amending subsection (b)(2) to read as follows:
``(2) Characteristics of measures.--The performance
measures developed under this subsection shall--
``(A) be used to assess the impact of the various
services provided by Head Start programs and, to the
extent the Secretary finds appropriate, administrative
and financial management practices of such programs;
``(B) be adaptable for use in self-assessment, peer
review, and program evaluation of individual Head Start
agencies and programs;
``(C) be developed for other program purposes as
determined by the Secretary;
``(D) be appropriate for the population served; and
``(E) be reviewed no less than every 4 years, based
on advances in the science of early childhood
development.
The performance measures shall include the performance
standards described in subsection (a)(1)(A) and (B).''.
(5) By amending subsection (b)(4) to read as follows:
``(4) Educational measures.--Results based measures shall
be designed for the purpose of promoting the competencies of
children participating in Head Start programs specified in
subsection (a)(1)(B)(ii), with an emphasis on measuring those
competencies that have a strong scientifically-based
predictability of a child's school readiness and later
performance in school.''.
(6) In subsection (c)(1)(C) by striking ``the standards''
and inserting ``one or more of the performance measures
developed by the Secretary under subsection (b)''.
(7) By amending subsection (c)(2) to read as follows:
``(2) Conduct of reviews.--The Secretary shall ensure that
reviews described in subparagraphs (A) through (C) of paragraph
(1)--
``(A) that incorporate a monitoring visit, do so
without prior notice of the visit to the local agency
or program;
``(B) are conducted by review teams that shall
include individuals who are knowledgeable about Head
Start programs and, to the maximum extent practicable,
the diverse (including linguistic and cultural) needs
of eligible children (including children with
disabilities) and limited-English proficient children
and their families;
``(C) include as part of the reviews of the
programs, a review and assessment of program
effectiveness, as measured in accordance with the
results-based performance measures developed by the
Secretary pursuant to subsection (b) and with the
standards established pursuant to subparagraphs (A) and
(B) of subsection (a)(1);
``(D) seek information from the communities and the
States involved about the performance of the programs
and the efforts of the Head Start agencies to
collaborate with other entities carrying out early
childhood education and child care programs in the
community;
``(E) seek information from the communities where
Head Start programs exist about innovative or effective
collaborative efforts, barriers to collaboration, and
the efforts of the Head Start agencies and programs to
collaborate with the entities carrying out early
childhood education and child care programs in the
community;
``(F) include as part of the reviews of the
programs, a review and assessment of whether a program
is in conformity with the income eligibility
requirements, as defined in section 645 and regulations
promulgated thereunder;
``(G) include as part of the reviews of the
programs, a review and assessment of whether programs
have adequately addressed the population and community
needs (including populations of children with a limited
English proficiency and children of migrant and
seasonal farm-working families); and
``(H) include as part of the review the extent to
which the program addresses the community needs and
strategic plan identified in section 640(g)(2)(C).''.
(8) By amending so much of subsection (d)(1) as precedes
subparagraph (A) to read as follows:
``(1) Determination.--If the Secretary determines, on the
basis of a review pursuant to subsection (c), that a Head Start
agency designated pursuant to section 641 fails to meet the
standards described in subsection (a) or results-based
performance measures developed by the Secretary under
subsection (b), or fails to adequately address the community
needs and strategic plan identified in 640(g)(2)(C), the
Secretary shall--''
(9) By amending subsection (d)(2) to read as follows:
``(2) Quality improvement plan.--
``(A) Agency and program responsibilities.--In
order to retain a designation as a Head Start agency
under this subchapter, or in the case of a Head Start
Program, in order to continue to receive funds from
such agency, a Head Start agency, or Head Start program
that is the subject of a determination described in
paragraph (1) (other than an agency or program required
to correct a deficiency immediately or during a 90-day
period under clause (i) or (ii) of paragraph (1)(B))
shall--
``(i) develop in a timely manner, a quality
improvement plan which shall be subject to the
approval of the Secretary, or in the case of a
program, the sponsoring agency, and which shall
specify--
``(I) the deficiencies to be
corrected;
``(II) the actions to be taken to
correct such deficiencies; and
``(III) the timetable for
accomplishment of the corrective
actions specified; and
``(ii) eliminate each deficiency
identified, not later than the date for
elimination of such deficiency specified in
such plan (which shall not be later than 1 year
after the date the agency or program received
notice of the determination and of the specific
deficiency to be corrected).
``(B) Secretarial responsibility.--Not later than
30 days after receiving from a Head Start agency a
proposed quality improvement plan pursuant to
subparagraph (A), the Secretary shall either approve
such proposed plan or specify the reasons why the
proposed plan cannot be approved.
``(C) Agency responsibility for program
improvement.--Not later than 30 days after receiving
from a Head Start program, a proposed quality
improvement plan pursuant to subparagraph (A), the
sponsoring agency shall either approve such proposed
plan or specify the reasons why the proposed plan
cannot be approved.''.
(10) In subsection (d)(3) by inserting ``and programs''
after ``agencies''.
(11) Subsection (e) is amended to read as follows:
``(e) Summaries of Monitoring Outcomes.--Not later than 120 days
after the end of each fiscal year, the Secretary shall publish a
summary report on the findings of reviews conducted under subsection
(c) and on the outcomes of quality improvement plans implemented under
subsection (d), during such fiscal year. Such information shall be made
available to all parents with students receiving assistance under this
Act in a understandable and uniform format, and to the extent
practicable, provided in a language that the parents can understand,
and in addition, make the information widely available through public
means such as distribution through public agencies, and at a minimum
posting such information on the Internet immediately upon
publication.''.

SEC. 107. POWERS AND FUNCTIONS OF HEAD START AGENCIES.

Section 642 of the Head Start Act (42 U.S.C. 9837(b)) is amended as
follows:
(1) By amending subsection (b) to read as follows:
``(b) In order to be so designated, a Head Start agency shall
also--
``(1) establish a program with standards set forth in
section 641A(a)(1), with particular attention to the standards
set forth in subparagraphs (A) and (B) of such section;
``(2) demonstrate capacity to serve eligible children with
scientifically-based curricula and other interventions that
help promote the school readiness of children participating in
the program;
``(3) establish effective procedures by which parents and
area residents concerned will be enabled to directly
participate in decisions that influence the character of
programs affecting their interests;
``(4) provide for their regular participation in the
implementation of such programs;
``(5) provide technical and other support needed to enable
parents and area residents to secure on their own behalf
available assistance from public and private sources;
``(6) seek the involvement of parents of participating
children in activities designed to help such parents become
full partners in the education of their children, and to afford
such parents the opportunity to participate in the development,
conduct, and overall performance of the program at the local
level;
``(7) conduct outreach to schools in which Head Start
children enroll, local educational agencies, the local business
community, community-based organizations, faith-based
organizations, museums, and libraries to generate support and
leverage the resources of the entire local community in order
to improve school readiness;
``(8) offer (directly or through referral to local
entities, such as entities carrying out Even Start programs
under part B of chapter 1 of title I of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 2741 et seq.)), to
parents of participating children, family literacy services and
parenting skills training;
``(9) offer to parents of participating children substance
abuse counseling (either directly or through referral to local
entities), including information on drug-exposed infants and
fetal alcohol syndrome;
``(10) at the option of such agency, offer (directly or
through referral to local entities), to such parents--
``(A) training in basic child development;
``(B) assistance in developing communication
skills;
``(C) opportunities to share experiences with other
parents;
``(D) regular in-home visitation; or
``(E) any other activity designed to help such
parents become full partners in the education of their
children;
``(11) provide, with respect to each participating family,
a family needs assessment that includes consultation with such
parents about the benefits of parent involvement and about the
activities described in paragraphs (4) through (7) in which
such parents may choose to be involved (taking into
consideration their specific family needs, work schedules, and
other responsibilities);
``(12) consider providing services to assist younger
siblings of children participating in its Head Start program to
obtain health services from other sources;
``(13) perform community outreach to encourage individuals
previously unaffiliated with Head Start programs to participate
in its Head Start program as volunteers; and
``(14)(A) inform custodial parents in single-parent
families that participate in programs, activities, or services
carried out or provided under this subchapter about the
availability of child support services for purposes of
establishing paternity and acquiring child support; and
``(B) refer eligible parents to the child support offices
of State and local governments.''.
(2) Amend subsection (c) to read as follows:
``(c) The head of each Head Start agency shall coordinate and
collaborate with the State agency responsible for administering the
State program carried out under the Child Care and Development Block
Grant Act of 1990 (42 U.S.C. 9858 et seq.), and other early childhood
education and development programs, including programs under subtitle
VII-B of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11431-
11435), Even Start programs under part B of chapter 1 of title I of the
Elementary and Secondary Education Act of 1965 (20 U.S.C. 2741 et
seq.), and programs under Part C and section 619 of the Individuals
with Disabilities Education Act (20 U.S.C. 1431-1445, 1419), and the
Child Abuse Prevention and Treatment Act (42 U.S.C. 5106a), serving the
children and families served by the Head Start agency to carry out the
provisions of this subchapter.''.
(3) In subsection (d) by redesignating paragraphs (2)
through (4) as paragraph (3) through (5) and inserting the
following new paragraph after paragraph (1):
``(2) In communities where both public prekindergarten programs and
Head Start programs operate, a Head Start agency shall coordinate with
the local educational agency or other public agency responsible for the
operation of the prekindergarten program and providers of
prekindergarten, including for outreach to identify eligible
children.''.
(5) In paragraph (3) (as redesignated) of subsection (d), strike
``and'' at the end of subparagraph (A) and insert the following after
subparagraph (A) and redesignate subparagraph (B) as (C):
``(B) collaborating to increase the program
participation of underserved populations of eligible
children; and''.

SEC. 108. HEAD START ALIGNMENT WITH K-12 EDUCATION.

Section 642A of the Head Start Act (42 U.S.C. 9837a) is amended as
follows:
(1) The heading is amended to read as follows:

``SEC. 642A. HEAD START ALIGNMENT WITH K-12 EDUCATION.''.

(2) In paragraph (2) after ``social workers,'' insert the
following: ``McKinney-Vento liaisons as established under
section 722 (g)(1)(J)(ii) of the McKinney-Vento Homeless
Education Assistance Improvements Act of 2001,''.
(3) Add the following new paragraph after paragraph (2) and
redesignated paragraphs (3) through (7) as (4) through (8):
``(3) developing continuity of developmentally appropriate
curricula between Head Start and local educational agencies to
ensure an effective transition and appropriate shared
expectations for children's learning and development as they
make such transition to school;''.
(4) Paragraph (6)(as redesignated by paragraph (3) of this
section) is amended to read as follows:
``(6) developing and implementing a family outreach and
support program in cooperation with entities carrying out
parental involvement efforts under title I of the Elementary
and Secondary Education Act of 1965 and family outreach and
support efforts under subtitle VII-B of the McKinney-Vento
Homeless Assistance Act;''.
(4) In paragraph (7)(as redesignated by paragraph (3) of
this section) by inserting ``and continuity in parental
involvement activities'' after ``developmental continuity''.
(5) Strike ``and'' at the end of paragraph (7)(as
redesignated by paragraph (3) of this section) and strike the
period at the end of paragraph (8)(as redesignated by paragraph
(3) of this section) and insert a semicolon.
(6) Add the following after paragraph (8):
``(9) helping parents to understand the importance of
parental involvement in a child's academic success while
teaching them strategies for maintaining parental involvement
as their child moves from Head Start to elementary school; and
``(10) developing and implementing a system to increase
program participation of underserved populations of eligible
children.''.

SEC. 109. ADMINISTRATIVE REQUIREMENTS AND STANDARDS.

Section 644 of the Head Start Act (42 U.S.C. 9839) is amended in
subsection (f)(2) by redesignating subparagraphs (A) through (E) as (B)
through (F) and inserting the following new subparagraph before
subparagraph (B) (as so redesignated):
``(A) a description of the consultation conducted by the
Head Start agency with the providers in the community
demonstrating capacity and capability to provide services under
this Act, and of the potential for collaboration with such
providers and the cost effectiveness of such collaboration as
opposed to the cost effectiveness of the purchase of a
facility;''

SEC. 110. ELIGIBILITY.

Section 645(a) of the Head Start Act (42 U.S.C. 9843) is amended as
follows:
(1) By striking ``to a reasonable extent'' in paragraph
(1)(B)(i) and inserting ``not to exceed 10 percent of the total
enrollment'' and by striking ``benefit from such programs'' and
inserting ``benefit from such programs, including children
referred by child welfare services,''.
(2) By adding the following new paragraph at the end
thereof:
``(3) The amount of a basic allowance provided under section 403 of
title 37, United States Code, on behalf of an individual who is a
member of the uniformed services for housing that is acquired or
constructed under the authority of subchapter IV of chapter 169 of
title 10, United States Code, or any other related provision of law,
shall not be considered to be income for purposes of determining the
eligibility of a child of the individual for programs assisted under
this subchapter.''.

SEC. 111. EARLY HEAD START PROGRAMS.

(a) In General.--Section 645A of the Head Start Act (42 U.S.C.
9643) is amended as follows:
(1) By amending paragraphs (4) and (5) of subsection (b) to
read as follows:
``(4) provide services to parents to support their role as
parents (including parenting skills training and training in
basic child development) and to help the families move toward
self-sufficiency (including educational and employment services
as appropriate);
``(5) coordinate services with services (including home-
based services) provided by programs in the State and programs
in the community (including programs for infants and toddlers
with disabilities) to ensure a comprehensive array of services
(such as health and mental health services, and family support
services);''.
(2) By amending paragraph (8) of subsection (b) to read as
follows:
``(8) ensure formal linkages with the agencies and entities
described in section 644(b) of the Individuals with
Disabilities Education Act (20 U.S.C. 1444(b)) and providers of
early intervention services for infants and toddlers with
disabilities under the Individuals with Disabilities Education
Act (20 U.S.C. 1400 et seq.) and the agency responsible for
administering the section 106 of the Child Abuse Prevention and
Treatment Act (42 U.S.C. 5106a); and''.
(3) In subsection (g)(2)(B) by striking ``and'' at the end
of clause (iii), by striking the period at the end of clause
(iv) and inserting ``; and'' and by inserting the following at
the end:
``(v) providing professional development
designed to increase program participation for
underserved populations of eligible
children.''.
(b) Migrant and Seasonal Programs.--Section 645A(d)(1) of the Head
Start Act (42 US.C. 9643(d)(1)) is amended to read as follows:
``(1) entities operating Head Start programs under this
subpart, including migrant and seasonal Head Start programs;
and''.
(c) Community- and Faith-Based Organizations.--Section 645A(d)(2)
of the Head Start Act (42 US.C. 9643(d)(21)) is amended by inserting
``, including community- and faith-based organizations'' after
``entities'' in the second place it appears.

SEC. 112. TECHNICAL ASSISTANCE AND TRAINING.

Section 648 of the Head Start Act (42 U.S.C. 9843) is amended as
follows:
(1) By inserting the following new subsection after
subsection (a) and redesignating subsections (b) through (e) as
subsections (c) through (f):
``(b) The Secretary shall make available to each State the money
reserved in section 640(a)(2)(C)(ii) to support a State-based system
delivering training and technical assistance that improves the capacity
of Head Start programs within a State to deliver services in accordance
with the Head Start standards in section 641A(a)(1), with particular
attention to the standards set forth in subparagraphs (A) and (B) of
such section. The Secretary shall--
``(1) ensure eligible entities within a State are chosen by
the Secretary, in consultation with the State Collaboration
Board described in section 640(a)(5)(C)(i), through a
competitive bid process;
``(2) ensure that existing agencies with demonstrated
expertise in providing high quality training and technical
assistance to improve the delivery of Head Start services,
including the State Head Start Association, State agencies,
migrant and seasonal Head Start programs operating in the
State, and other entities currently providing training and
technical assistance in early education, be included in the
planning and coordination of the State system of training and
technical assistance; and
``(3) encourage States to supplement the funds authorized
in section 640(a)(2)(C)(ii) with State, Federal, or local funds
other than Head Start funds, to expand activities beyond Head
Start agencies to include other providers of other early
childhood services within a State.''.
(2) In subsection (d) (as redesignated):
(A) In paragraph (2), after ``disabilities'' insert
``and for activities described in section 1221(b)(3) of
the Elementary and Secondary Education Act of 1965''.
(B) In paragraph (5) after ``assessment'' insert
``, including the needs of homeless children and their
families''.
(C) By striking ``and'' at the end of paragraph
(10), by striking the period at the end of paragraph
(11) and inserting ``; and'' and by inserting the
following at the end:
``(12) assist Head Start agencies and programs in
increasing program participation of eligible homeless
children.''.
(3) In subsection (e) (as redesignated by paragraph (1)) by
inserting ``, including community- and faith-based
organizations'' after ``entities''.
(4) By amending subsection (f) (as redesignated by
paragraph (1)) to read as follows:
``(f) The Secretary shall provide, either directly or through
grants or other arrangements, funds from programs authorized under this
subchapter to support an organization to administer a centralized child
development and national assessment program leading to recognized
credentials for personnel working in early childhood development and
child care programs, training for personnel providing services to non-
English language background children (including services to promote the
acquisition of the English language), training for personnel providing
services to children determined to be abused or neglected, training for
personnel providing services to children referred by or receiving child
welfare services, training for personnel in helping children cope with
community violence, and resource access projects for personnel working
with disabled children.''.
(5) Insert at the end of the section:
``(g) Helping Personnel Better Serve Migrant and Seasonal Farm-
working Communities and Homeless Families.--The Secretary shall
provide, either directly or through grants, or other arrangements,
funds for training of Head Start personnel in addressing the unique
needs of migrant and seasonal working families, families with a limited
English proficiency, and homeless families.
``(h) Authorized Activities.--The majority of funds expended under
this section shall be used to provide high quality, sustained,
intensive, and classroom-focused training and technical assistance in
order to have a positive and lasting impact on classroom instruction.
Funds shall be used to carry out activities related to any or all of
the following:
``(1) Education and early childhood development.
``(2) Child health, nutrition, and safety.
``(3) Family and community partnerships.
``(4) Other areas that impact the quality or overall
effectiveness of Head Start programs.
``(i) Prohibition on Use of Funds.--Funds under this subchapter
used for training shall be used for needs identified annually by a
grant applicant or delegate agency in their program improvement plan,
except that funds shall not be used for long-distance travel expenses
for training activities available locally or regionally or for training
activities substantially similar to locally or regionally available
training activities.
``(j) Definition.--For purposes of this section, the term `eligible
entities' means an institution of higher education or other entity with
expertise in delivering training in early childhood development, family
support, and other assistance designed to improve the delivery of Head
Start services.''.

SEC. 113. STAFF QUALIFICATIONS AND DEVELOPMENT.

Section 648A of the Head Start Act (42 U.S.C. 9843a) is amended as
follows:
(1) By amending paragraph (2) of subsection (a) to read as
follows:
``(2) Degree requirements.--
``(A) In general.--The Secretary shall ensure that
not later than September 30, 2008, at least 50 percent
of all Head Start teachers nationwide in center-based
programs have--
``(i) a baccalaureate, or advanced degree
in early childhood education; or
``(ii) a baccalaureate, or advanced degree
in a field related to early childhood
education, with experience in teaching
preschool children.
``(B) Progress.--Each Head State agency shall
provide to the Secretary a report indicating the number
and percentage of classroom instructors with child
development associate credentials and associate,
baccalaureate, or advanced degrees. The Secretary shall
compile all program reports and make them available to
the Committee on Education and the Workforce of the
United States House of Representatives and the
Committee on Health, Education, Labor, and Pensions of
the United States Senate.
``(C) Requirement for new Head Start teachers.--
Within 3 years after the date of enactment of this
clause, the Secretary shall require that all Head Start
teachers nationwide in center-based programs hired
following the date of enactment of this subparagraph--
``(i) have an associate, baccalaureate, or
advanced degree in early childhood education;
``(ii) have an associate, baccalaureate, or
advanced degree in a field related to early
childhood education, with experience in
teaching preschool children; or
``(iii) be currently enrolled in a program
of study leading to an associate degree in
early childhood education and agree to complete
degree requirements within 3 years from the
date of hire.
``(D) Service requirements.--The Secretary shall
establish requirements to ensure that individuals who
receive financial assistance under this Act in order to
comply with the requirements under section 648A(a)(2)
shall subsequently teach in a Head Start center for a
period of time equivalent to the period for which they
received assistance or repay the amount of the
funds.''.
(2) By adding the following at the end thereof:
``(f) Professional Development Plans.--Every Head Start agency and
program shall create, in consultation with an employee, a professional
development plan for all full-time employees who provide direct
services to children.''.

SEC. 114. RESEARCH, DEMONSTRATIONS, AND EVALUATION.

Section 649 of the Head Start Act (42 U.S.C. 9844) is amended as
follows:
(1) By amending subsection (a)(1)(B) to read as follows:
``(B) use the Head Start programs to develop, test,
and disseminate new ideas and approaches for addressing
the needs of low-income preschool children (including
children with disabilities and children determined to
be abused or neglected) and their families and
communities (including demonstrations of innovative
non-center based program models such as home-based and
mobile programs), and otherwise to further the purposes
of this subchapter.''.
(1) By striking paragraph (9) of subsection (d) and
inserting ``(9) Repealed.--''.
(2) By striking clause (i) of subsection (g)(1)(A) and
redesignating clauses (ii) and (iii) as clauses (i) and (ii).
(3) In subsection (g)(7)(C)(i) by striking ``1999'' and
inserting ``2003'', striking ``2001'' and inserting ``2005'',
and striking ``2003'' and inserting ``2006''.
(4) By amending subsection (h) to read as follows:
``(h) NAS Study.--
``(1) In General.--The Secretary shall use funds allocated
in section 640(a)(2)(C)(iii) to contract with the National
Academy of Sciences for the Board on Children, Youth, and
Families of the National Research Council to establish an
independent panel of experts to review and synthesize research,
theory and applications in the social, behavioral and
biological sciences and shall make recommendations on early
childhood pedagogy with regard to each of the following:
``(A) Age and developmentally appropriate Head
Start academic requirements and outcomes, including but
not limited to the domains in 641A(a)(B).
``(B) Differences in the type, length, mix and
intensity of services necessary to ensure that children
from challenging family and social backgrounds
including: low-income children, children of color,
children with special needs, and children with limited
English proficiency enter kindergarten ready to
succeed.
``(C) Appropriate assessments of young children for
the purposes of improving instruction, services, and
program quality, including systematic observation
assessment in a child's natural environment, parent and
provider interviews, and accommodations for children
with disabilities and appropriate assessments for
children with special needs, including English language
learners.
``(2) Composition.--The panel shall consist of multiple
experts in each of the following areas:
``(A) Child development and education, including
cognitive, social, emotional, physical, approaches to
learning, and other domains of child development and
learning.
``(B) Professional development, including teacher
preparation, to individuals who teach young children in
programs.
``(C) Assessment of young children, including
screening, diagnostic and classroom-based instructional
assessment; children with special needs, including
children with disabilities and limited English
proficient children.
``(3) Timing.--The National Academy of Sciences and the
Board shall establish the panel not later than 90 days after
the date of enactment of this paragraph. The panel should
complete its recommendations within 18 months of its convening.
``(4) Application of Panel Report.--The results of the
panel study shall be used as guidelines by the Secretary to
develop, inform and revise, where appropriate, the Head Start
education performance measures and standards and the
assessments utilized in the Head Start program.''.

SEC. 115. REPORTS.

Section 650 of the Head Start Act (42 U.S.C. 9845) is amended as
follows:
(1) The first sentence of subsection (a) is amended to read
as follows: ``At least once during every 2-year period, the
Secretary shall prepare and submit, to the Committee on
Education and the Workforce of the House of Representatives and
the Committee on Health, Education, Labor and Pensions of the
Senate, a report concerning the status of children (including
disabled, homeless, and non-English language background
children) in Head Start programs, including the number of
children and the services being provided to such children.''.
(2) Paragraph (8) of subsection (a) is amended by inserting
``, homelessness'' after ``background''.

SEC. 116. HEAD START NONDISCRIMINATION PROVISIONS.

Section 654 of the Head Start Act (42 U.S.C. 9849) is amended to
read as follows:

``SEC. 654. NONDISCRIMINATION PROVISIONS.

``(a)(1) The Secretary shall not provide financial assistance for
any program, project, or activity under this subchapter unless the
grant or contract with respect thereto specifically provides that no
person with responsibilities in the operation thereof will discriminate
with respect to any such program, project, or activity because of race,
creed, color, national origin, sex, political affiliation, or beliefs.
``(2) Paragraph (1) shall not apply to a recipient of financial
assistance under this subchapter that is a religious corporation,
association, educational institution, or society, with respect to the
employment of individuals of a particular religion to perform work
connected with the carrying on by such corporation, association,
educational institution, or society of its activities. Such recipients
shall comply with the other requirements contained in this subsection.
``(b) No person in the United States shall on the ground of sex be
excluded from participation in, be denied the benefits of, be subjected
to discrimination under, or be denied employment in connection with any
program or activity receiving assistance under this subchapter. The
Secretary shall enforce the provisions of the preceding sentence in
accordance with section 602 of the Civil Rights Act of 1964. Section
603 of such Act shall apply with respect to any action taken by the
Secretary to enforce such sentence. This section shall not be construed
as affecting any other legal remedy that a person may have if such
person is excluded from participation in, denied the benefit of,
subjected to discrimination under, or denied employment (except as
provided in subsection (a)(2)), in the administration of any program,
project, or activity receiving assistance under this subchapter.
``(c) The Secretary shall not provide financial assistance for any
program, project, or activity under this subchapter unless the grant or
contract relating to the financial assistance specifically provides
that no person with responsibilities in the operation of the program,
project, or activity will discriminate against any individual because
of a handicapping condition in violation of section 504 of the
Rehabilitation Act of 1973, except as provided in subsection (a)(2).''.

SEC. 117. EFFECTIVE DATE.

The amendments made by this Act shall be effective with respect to
fiscal years beginning on and after October 1, 2003.

TITLE II--STATE DEMONSTRATION PROGRAM

SEC. 201. STATE DEMONSTRATION PROGRAM.

The Head Start Act is amended by inserting after section 643 the
following new section:

``SEC. 643A. STATE DEMONSTRATION PROGRAM.

``(a) Grants.--
``(1) In general.--
``(A) Eligible States.--In the case of each
eligible State that submits to the Secretary an
application that fulfills the requirements of this
section, the Secretary, from amounts appropriated under
section 639(a), shall make a grant to the State to
carry out a State demonstration program under this
section, except that the Secretary shall not make such
grants to more than 8 eligible States.
``(B) Determination.--The Secretary shall make
awards to those States that demonstrate--
``(i) that the State standards generally
meet or exceed the standards that ensure the
quality and effectiveness of programs operated
by Head Start agencies;
``(ii) the capacity to deliver high quality
early childhood education services to prepare
children, including low-income children, for
school; and
``(iii) success in improving the school
readiness of children.
``(2) State eligibility.--A State shall be eligible to
participate in the program under this section if it meets each
of the following criteria:
``(A) The State has an existing State supported
system providing public prekindergarten to children
prior to entry into kindergarten.
``(B) The State has implemented standards as of
fiscal year 2003 for school readiness that include
standards for language, prereading and premathematics
development for prekindergarten that are aligned with
State kindergarten through twelfth grade academic
content standards and which shall apply to all programs
receiving funds under this part or provides an
assurance that such standards will be aligned by the
end of the second fiscal year of participation.
``(C) State and locally appropriated funds for
prekindergarten services and Head Start services in the
base year under this section shall not be less than 50
percent of the Federal funds that the grantees in the
State received under this Act in the base year for
services to Head Start eligible children, excluding
amounts for services provided under section 645A.
``(D) The State has established a means for inter-
agency coordination and collaboration in the
development of the plan under subsection (h).
``(b) Lead Agency.--A program under this section shall be
administered by a State governmental entity designated by the Chief
Executive Officer of the State as the lead State agency.
``(c) State Operation of Program.--The State may conduct all or any
part of the program under this section (including the activities
specified in subsection (g)) directly or by grant, contract, or
cooperative agreement.
``(d) Transition.--
``(1) In general.--For 60 months after the effective date
of this section, the State shall continue to provide funds to
each local grantee who--
``(A) was receiving funds under this subchapter, as
in effect prior to the date of enactment of this
section, and
``(B) is serving the geographic area covered by the
plan in section 643A(h).
Such continuing grants shall be made in accordance with the
terms of the grant made to the local grantee immediately prior
to such date of enactment. This paragraph shall not apply to a
grant applicant who has experienced substantial uncorrected
deficiencies on Department of Health and Human Services
monitoring reports during any year of the most recent 5-year
period, or to a grantee that, as determined by the State, does
not comply with the State plan described in subsection 643A(h)
submitted to the Secretary.
``(e) Federal Financial Assistance.--
``(1) Allocation of federal allotments to state programs.--
From each total amount described in paragraph (2) allotted to a
State for a fiscal year, the Secretary shall pay to a State
with a program approved under this section for such fiscal year
an amount equal to--
``(A) if the State program is statewide, 100
percent of such total amount; and
``(B) if the State program is limited to a
geographic area or areas, the sum of--
``(i) an amount equal to the amount
received by grantees in such geographic area or
areas for the Federal fiscal year preceding the
first fiscal year of the State program under
this section; plus
``(ii) an amount bearing the same ratio to
the excess (if any) above the total amount for
such preceding fiscal year as the number of
children less than 5 years of age from families
whose income is below the poverty line in the
geographic area or areas included in the
program bears to the total number of such
children in the State (as determined using the
same data used pursuant to section
640(a)(4)(B)).
``(2) Funds allocated.--For purposes of paragraph (1),
amounts described in this paragraph are:
``(A) Basic state allotments.--Amounts allotted to
States pursuant to section 640(a)(4), including amounts
reserved pursuant to section 640(a)(5), excluding
amounts for services provided under section 645A.
``(B) State allotments of expansion funds.--Amounts
allotted to States pursuant to section
640(a)(3)(D)(i)(I) for program expansion.
``(C) Quality improvement funds.--Quality
improvement funds (if any) reserved pursuant to section
640(a)(3).
``(D) Training and technical assistance funds.--An
amount bearing the same ratio to the amount set aside
for training and technical assistance activities
pursuant to section 640(a)(2)(C)(i) and (ii) as the
State's share of amounts allotted under section
640(a)(4)(B) bears to the total amount so allotted (and
for purposes of subparagraph (A), such amount shall be
considered an amount allotted to the State for the
fiscal year).
``(3) Non-Federal match.--(A) In determining the amount of
Federal and non-Federal contributions for purposes of this
section, the amounts required to be expended by the State under
subsection (h)(14)(B) (relating to maintenance of effort) shall
be excluded.
``(B) Financial assistance made available to a State under
this subchapter shall be in an amount equal to 95 percent of
the total amount expended for such programs. The Secretary
shall require non-Federal contributions in an amount equal to 5
percent of the total amount expended under this subchapter for
such programs.
``(C) Non-Federal contributions may be made in cash or in
kind, fairly evaluated, including plant, equipment, or
services.
``(4) Combined operations with other early childhood
education programs.--A State may combine funds for a program
under this section with funds for other early childhood
programs serving children in the same age group, as long as all
applicable requirements of this subchapter are met with respect
to either--
``(A) the entire combined program; or
``(B) each child served in such combined program
for whom the services provided are funded from
appropriations under this subchapter or non-Federal
matching contributions under this subchapter.
``(5) Use of funds without regard to allotment purposes.--A
State may use funds received pursuant to this section for any
program purpose set forth in section 636, without regard to the
purposes for such funds specified in section 640.
``(6) Other funds.--Funds received under this section shall
not supplant any non-Federal, State or local funds that would
otherwise be used for activities authorized under this section
or similar activities carried out in the State.
``(f) Coordination and Choice.--
``(1) In general.--A State demonstration Program shall be
coordinated with the education programs of local educational
agencies in the State to ensure that the program is effectively
designed to develop in children in the program the knowledge
and behaviors necessary to transition successfully to
kindergarten and to succeed in school.
``(2) Programs concerned.--
``(A) Required programs.--Such coordination shall
occur regarding the implementation of the following:
``(i) The Early Reading First and Even
Start programs under title I, part B, subparts
2 and 3 of the Elementary and Secondary
Education Act of 1965, and other preschool
programs carried out under title I of that Act.
``(ii) State prekindergarten programs.
``(iii) The Ready-to-Learn Television
Program under subpart 3 of part D of title II
of the Elementary and Secondary Education Act.
``(B) Optional programs.--Such coordination may
occur regarding the implementation of the following:
``(i) Programs under the Child Care and
Development Block Grant Act.
``(ii) Other publicly funded early
childhood education programs.
``(3) Parental choice.--The program shall allow parents to
choose the preschool program for their child.
``(g) Required Services.--With funds under this section, the State
shall provide services described in section 641A at least as extensive
as were provided, and to at least as many low-income children and
families in each fiscal year as were provided such services, with such
funds in the base year in the State (or, if applicable, in the
geographic area included in the State program). A program under this
section shall include the following comprehensive activities designed
to promote school readiness and success in school:
``(1) Child development and education.--Activities with
enrolled children that promote--
``(A) cognitive development, language development,
prereading, and premathematics knowledge and skills;
``(B) physical development, health, and nutrition
(including through coordination with, and referral of
children and families to local health service entities;
and
``(C) social development important for environments
constructive for child development, early learning, and
school success.
``(2) Parent education and involvement.--Activities with
the parents of enrolled children directed at enhancing and
encouraging--
``(A) involvement in, and ability to support, their
children's educational development;
``(B) parenting skills and understanding of child
development; and
``(C) ability to participate effectively in
decisions relating to the education of their children.
``(3) Social and family support services.--Activities
directed at securing appropriate social and family support
services for enrolled children and their families, primarily
through referral and coordination with local, State, and
Federal entities that provide such services.
``(4) Head start services.--For purposes of paragraph (1)
Head Start services furnished in a State program under this
section shall include all Head Start services, other than--
``(A) Indian Head Start programs and migrant and
seasonal Head Start programs supported with funds
reserved under section 640(a)(2)(A); and
``(B) Early Head Start services provided under
section 645A.
``(h) State Plan.--A State proposing to administer a program under
this section shall submit a State plan to the Secretary. The State plan
shall include the following:
``(1) Lead state agency.--The plan shall identify the
entity designated by the Chief Executive Officer of the State
as the lead State agency.
``(2) Geographic area.--The plan shall specify whether the
program is statewide, and, if it is not, identify the
geographic area or areas covered by the plan. A geographic area
may be a city, county, standard metropolitan statistical area,
or such other geographic area in the State.
``(3) Program period.--A State program under this section
shall be in effect for 5 Federal fiscal years.
``(4) Program description.--The plan shall describe the
services under subsection (f) to be provided in the program and
arrangements the State proposes to use to provide the services
specified in subsection (g), including how the State will
leverage existing delivery systems for such services.
``(5) Needs assessment.--The plan shall describe the
results of a State needs assessment and shall provide an
assurance that the State will use the results to identify the
needs for early childhood education services within a State or
geographic area to be served and is targeting services to those
areas of greatest need and to expand and improve services to
disadvantaged children in the State.
``(6) Assurance of compliance.--The plan shall provide an
assurance that the State program will comply with the
requirements of this section, including each of the following:
``(A) Priority for low-income children.--
Requirements established pursuant to section 645(a)
concerning the eligibility and priority of individuals
for participation in Head Start programs.
``(B) Continuation for existing providers.--An
applicant who received funds under this subchapter in
prior fiscal years and has not corrected any
substantial deficiencies identified in the past 5 years
shall not be eligible to receive any grants, contract,
or cooperative agreements under this section.
``(C) Participation of children with
disabilities.--Requirements pursuant to section 640(d)
concerning Head Start enrollment opportunities and
services for children with disabilities.
``(D) Provisions concerning fees and copayments.--
The provisions of section 645(b) concerning the
charging of fees and the circumstances under which
copayments are permissible.
``(E) Federal share; state and local matching.--The
provisions of section 640(b) limiting Federal financial
assistance for Head Start programs, and providing for
non-Federal contributions.
``(F) Administrative costs.--The provisions of
section 644(b) limiting the share of program funds that
may be used for developing and administering a program.
``(G) Federal property interest.--Applicable
provisions of this subchapter regarding the Federal
Government interest in property (including real
property) purchased, leased, or renovated with Federal
funds.
``(7) Identification of barriers.--The plan shall identify
barriers in the State to the effective use of Federal, State,
and local public funds, and private funds, for early education
and care that are available to the State on the date on which
the application is submitted.
``(8) State guidelines for school readiness.--The plan
shall include--
``(A) a State definition of school readiness;
``(B) a description of the State's general goals
for school readiness, including how the State intends
to--
``(i) promote and maintain ongoing
communication and collaboration between
providers of early care and education and local
educational agencies in the State;
``(ii) align early childhood and
kindergarten curricula to ensure program
continuity; and
``(iii) ensure that children successfully
transition to kindergarten.
``(9) Teacher qualifications.--The plan shall assure that
the qualifications and credentials for early childhood teachers
meet or exceed the standards in section 648A(a)(2)(A), (B), and
(C).
``(10) Professional development.--The plan shall provide a
description of the State plan for assuring the ongoing
professional development of early childhood educators and
administrators including how the State intends to--
``(A) improve the competencies of early childhood
educators in meeting the cognitive and other
developmental needs of young children through effective
instructional strategies, methods, and skills;
``(B) develop and implement initiatives to
effectively recruit and promote the retention of well-
qualified early childhood educators;
``(C) encourage institutions of higher education,
providers of community-based training, and other
qualified providers to develop high-quality programs to
prepare students to be early childhood education
professionals; and
``(D) improve the quality of professional
development available to meet the needs of teachers
that serve preschool children.
``(11) Quality Standards.--The State shall describe the
State's standards, applicable to all agencies, programs, and
projects that receive funds under this subchapter, including a
description of--
``(A) standards with respect to services required
to be provided, including health, parental involvement,
nutritional, social, transition activities described in
section 642(d) of this subchapter, and other services;
``(B)(i) education standards to promote the school
readiness of children participating in a State program
under title II of this subchapter; and
``(ii) additional education standards to ensure
that the children participating in the program, at a
minimum develop and demonstrate--
``(I) language skills;
``(II) prereading knowledge and skills,
including interest in and appreciation of
books, reading and writing either alone or with
others;
``(III) premathematics knowledge and
skills, including aspects of classification,
seriation, number, spatial relations, and time;
``(IV) cognitive abilities related to
academic achievement;
``(V) social development important for
environments constructive for child
development, early learning, and school
success; and
``(VI) in the case of limited-English
proficient children, progress toward
acquisition of the English language;
``(C) the State's minimum standards for early
childhood teacher credentials and qualifications;
``(D) the student-teacher ratio for each age-group
served;
``(E) administrative and financial management
standards;
``(F) standards relating to the condition and
location of facilities for such agencies, programs, and
projects; and
``(G) such other standards as the State finds to be
appropriate.
``(12) State accountability system.--
``(A) In general.--The State plan shall--
``(i) ensure that individual providers are
achieving results in advancing the knowledge
and behaviors identified by the State as
prerequisites for kindergarten success; and
``(ii) specify the measures the State will
use to evaluate the progress toward achieving
such results and the effectiveness of the State
program under this section, and of individual
providers in such program.
``(B) Publication of results.--
``(i) In general.--Subject to clause (ii),
the results shall be made publicly available in
the communities served by the program.
``(ii) Confidentiality safeguards.--The
system shall have in effect privacy safeguards
ensuring that information on children included
in data and results made public in accordance
with clause (i) shall be in aggregated form,
and shall not include information allowing
identification of individual children.
``(13) Transition plan.--The initial State plan shall make
provision for transition from the direct Federal program under
section 640 to the demonstration program.
``(14) Cooperation with research studies.--The plan shall
provide assurances that the State will cooperate with research
activities described in section 649.
``(15) Maintenance of effort.--The State plan shall--
``(A) contain a commitment to provide data, at such
times and in such format as the Secretary requires,
concerning non-Federal expenditures and numbers of
children and families served in preschool and Head
Start programs during the base year and each fiscal
year covered under the State plan, sufficient to
satisfy the Secretary that the State program will meet
its obligation with respect to the maintenance of
effort requirement under subparagraph (B); and
``(B) assure that the resources (which may be cash
or in-kind) contributed by the State government to
child care for preschool-aged children and other
preschool programs, including Head Start, in the State
(or, if applicable, in the geographic area included in
the State program) for each fiscal year in which the
program under this section is in effect shall be in an
amount at least equal to the total amount of such State
governmental resources contributed to support such
programs in the State (or geographic area) for the base
year.
``(16) Training and Technical Assistance.--The State plan
shall describe the training and technical assistance activities
that shall provide high quality, sustained, intensive, and
classroom-focused training and technical assistance in order to
have a positive and lasting impact on classroom instruction.
``(i) Records, Reports and Audits.--The State agency administering
the State program, and each entity participating as a Head Start
service provider, shall maintain such records, make such reports, and
cooperate with such audits as the Secretary may require for oversight
of program activities and expenditures.
``(j) Inapplicability of Provisions Concerning Priority in Agency
Designation.--The provisions of subsections (c) and (d) of section 641
(concerning priority in designation of Head Start agencies, successor
agencies, and delegate agencies) shall not apply to a State program
under this section.
``(k) Consultation.--A State proposing to administer a program
under this section shall submit, with the plan under this section,
assurances that the plan was developed through timely and meaningful
consultation with appropriate public and private sector entities,
including--
``(1) representatives of agencies responsible for
administering early education and care programs in the State,
including Head Start providers;
``(2) parents;
``(3) the State educational agency and local educational
agencies;
``(4) early childhood education professionals;
``(5) kindergarten teachers and teachers in grades 1
through 4;
``(6) child welfare agencies;
``(7) child care resource and referral agencies;
``(8) child care providers; and
``(9) a wide array of persons interested in and involved
with early care and early education issues in the State, such
as representatives of--
``(A) health care professionals;
``(B) the State agency with responsibility for the
special supplemental nutrition program for women,
infants, and children established by section 17 of the
Child Nutrition Act of 1966;
``(C) institutions of higher education;
``(D) community-based and faith-based
organizations;
``(E) the business community;
``(F) State legislators and local officials;
``(G) museums and libraries;
``(H) other relevant entities in the State; and
``(I) other agencies that provide resources for
young children.
``(l) State Plan Submission.--An application shall be submitted by
a State pursuant to this section to the Secretary, in consultation with
the Secretary of Education, and shall be deemed to be approved by the
Secretary unless the Secretary makes a written determination, prior to
the expiration of a reasonable time beginning on the date on which the
Secretary received the application, that the application is not in
compliance with this section.
``(m) Treatment of Funds.--If a State or local government
contributes its own funds to supplement activities carried out under
the applicable programs, the State or local government has the option
to separate out the Federal funds or commingle them. If the funds are
commingled, the provisions of this subchapter shall apply to all of the
commingled funds in the same manner, and to the same extent, as the
provisions apply to the Federal funds.
``(n) Federal Oversight Authority; Corrective Action; Withdrawal of
Approval.--
``(1) Federal oversight.--The Secretary shall retain the
authority to oversee the operation of the State program under
this section, including through review of records and reports,
audits, and onsite inspection of records and facilities and
monitoring of program activities and operations.
``(2) Correction of deficiencies.--If the Secretary
determines that a State program under this section
substantially fails to meet the requirements of this section,
the Secretary shall notify the State of the deficiencies
identified and require corrective action as follows:
``(A) Deficiencies causing immediate jeopardy.--The
Secretary shall require immediate corrective action to
eliminate a deficiency that the Secretary finds
threatens the health or safety of staff or program
participants or poses a threat to the integrity of
Federal funds.
``(B) Other deficiencies.--The Secretary, taking
into consideration the nature and magnitude of a
deficiency not described in subparagraph (A), and the
time reasonably required for correction, may--
``(i) require the State to correct the
deficiency within 90 days after notification
under this paragraph; or
``(ii) require the State to implement a
quality improvement plan designed to correct
the deficiency within one year from
identification of the deficiency.
``(3) Withdrawal of approval.--If the deficiencies
identified under paragraph (2) are not corrected by the
deadlines established by the Secretary, the Secretary shall
initiate proceedings to withdraw approval of the State program
under this section.
``(4) Procedural rights.--A State subject to adverse action
under this subsection shall have the same procedural rights as
a Head Start agency subject to adverse action under section
641A.
``(o) Independent Evaluation.--
``(1) In General.--The Secretary shall contract with an
independent organization outside of the Department to design
and conduct a multi-year, rigorous, scientifically valid,
quantitative evaluation of the State demonstration program.
``(2) Process.--The Secretary shall award a contract within
180 days of the date of enactment of the School Readiness Act
of 2003, to an organization that is capable of designing and
carrying out an independent evaluation described in this
subsection.
``(3) Analysis.--The evaluation shall include an analysis
of each State participating in the State demonstration program,
including--
``(A) A quantitative description of the State
prekindergarten program and Head Start programs within
such State, as such programs existed prior to
participation in the State demonstration program,
including:
``(i) data on the characteristics of the
children served, including the overall number
and percentages of children served
disaggregated by socioeconomic status, race and
ethnicity of those served;
``(ii) the quality and characteristics of
the services provided to such children; and
``(iii) the education attainment of
instructional staff.
``(B) A quantitative and qualitative description of
the State program after each year of participation in
the State demonstration, which shall include each of
the following:
``(i) A description of changes in the
administration of the State program, including
the Head Start program, within such State.
``(ii) The rate of progress of the State in
improving the school readiness of disadvantaged
children in the key domains of development.
``(iii) Data as described in subparagraph
(A), as updated annually.
``(iv) The extent to which each State has
met the goals established by such State with
respect to annual goals as described under
section 643(h)(10).
``(4) Report.--(A) The Secretary shall provide an interim
report on the progress of such evaluation and of the progress
of States participating in the State demonstration in
increasing the availability of high quality prekindergarten
services for low-income children not later than October 1, 2006
to the Committee on Education and the Workforce in the House of
Representatives and the Committee on Health, Education, Labor,
and Pensions in the Senate.
``(B) The Secretary shall provide a final report to the
Committee on Education and the Workforce in the House of
Representatives and the Committee on Health, Education, Labor,
and Pensions in the Senate, not later than October 1, 2007,
which shall include an overall evaluation of the State
demonstration program, including an assessment of its success
in increasing the overall availability of high quality
prekindergarten services for low income children in each of the
participating States as compared to a representative sample of
non-participating States.
``(p) State Participation Agreement.--Following the submission of
an application fulfilling all requirements of this section, a State
that meets all eligibility requirements set forth in section 643A(a)(2)
and is selected by the Secretary to participate in the demonstration
program under this section shall:
``(1) maintain or increase fiscal year 2003 State funding
levels for early childhood education;
``(2) provide an additional contribution of non-federal
funds equal to 5 percent of the State's Federal Head Start
allotment;
``(3) use Head Start funding only for the purposes of Head
Start as described in section 636;
``(4) provide all comprehensive social services currently
available to Head Start children, including health and
nutrition;
``(5) develop a strategy to maximize parental involvement
to enable parents to become full partners in the education of
their children;
``(6) demonstrate that the qualifications and credentials
for early childhood teachers meet or exceed the standards in
section 648A(a)(2)(A), (B), and (C);
``(7) enforce quality standards for school readiness that
are aligned with K-12 educational standards and generally meet
or exceed the Federal Head Start performance standards;
``(8) continue funding, for a period of 60 months, all
current Head Start grantees as described in section 643A(d);
``(9) provide services described in section 641A that are
at least as extensive as were provided, and to at least as many
low-income children and families in the State, in each fiscal
year as were provided such services in the base year;
``(10) establish a comprehensive collaboration effort to
integrate Head Start, state-funded pre-kindergarten programs,
Even Start, Title I preschool, and Early Reading First;
``(11) participate in independent evaluations of the
demonstration program authorized under this subchapter; and
``(12) submit to Federal oversight by the Secretary.
``(q) Definition.--For purposes of this section, the term `base
year' means the fiscal year 2003.''.

Passed the House of Representatives July 25 (legislative
day, July 24), 2003.

Attest:

JEFF TRANDAHL,

Clerk.