SEC. 7007.

CONSTRUCTION

Section Summary

ESSA

SEC. 7007. CONSTRUCTION.

Section 7007, as redesignated and amended by section 7001 of this

Act, <<NOTE: 20 USC 7707.>> is further amended--

(1) in subsection (a)--

(A) in paragraph (3)(A)(i)--

(i) by redesignating the first subclause (II)

as subclause (I);

(ii) in subclause (II), by striking ``section

8008(a)'' and inserting ``section 7008(a)''; and

(B) in paragraph (4), by striking ``section

8013(3)'' and inserting ``section 7013(3)''; and

(2) in subsection (b)--

(A) in paragraph (3)(C)(i)(I), by adding at the end

the following:

``(cc) Not less than 10 percent of

the property acreage in the agency is

exempt from State and local taxation

under Federal law.''; and

(B) in paragraph (6)--

(i) in the matter preceding subparagraph (A),

by striking ``, in such manner, and accompanied by

such information'' and inserting ``and in such

manner'';

(ii) in subparagraph (A), by inserting before

the period at the end the following: ``, and

containing such additional information as may be

necessary to meet any award criteria for a grant

under this subsection as provided by any other

Act''; and

(iii) by striking subparagraph (F).

NCLB Text

SEC. 803. CONSTRUCTION.

Section 8007(b) (20 U.S.C. 7707(b)) is amended to read as follows:

``(b) School Facility Emergency and Modernization Grants

Authorized.--

``(1) In general.--From 60 percent of the amount

appropriated for each fiscal year under section 8014(e), the

Secretary--

``(A) shall award emergency grants in accordance

with this subsection to eligible local educational

agencies to enable the agencies to carry out emergency

repairs of school facilities; and

``(B) shall award modernization grants in accordance

with this subsection to eligible local educational

agencies to enable the agencies to carry out the

modernization of school facilities.

``(2) Priority.--In approving applications from local

educational agencies for emergency grants and modernization

grants under this subsection, the Secretary shall give priority

to applications in accordance with the following:

``(A) The Secretary shall first give priority to

applications for emergency grants from local educational

agencies that meet the requirements of paragraph (3)(A)

and, among such applications for emergency grants, shall

give priority to those applications of local educational

agencies based on the severity of the emergency, as

determined by the Secretary.

``(B) The Secretary shall next give priority to

applications for emergency grants from local educational

agencies that meet the requirements of subparagraph (C)

or (D) of paragraph (3) and, among such applications for

emergency grants, shall give priority to those

applications of local educational agencies based on the

severity of the emergency, as determined by the

Secretary.

``(C) The Secretary shall next give priority to

applications for modernization grants from local

educational agencies that meet the requirements of

paragraph (3)(B) and, among such applications for

modernization grants, shall give priority to those

applications of local educational agencies based on the

severity of the need for modernization, as determined by

the Secretary.

``(D) The Secretary shall next give priority to

applications for modernization grants from local

educational agencies that meet the requirements of

subparagraph (C) or (D) of paragraph (3) and, among such

applications for modernization grants, shall give

priority to those applications of local educational

agencies based on the severity of the need for

modernization, as determined by the Secretary.

``(3) Eligibility requirements.--

``(A) Emergency grants.--A local educational agency

is eligible to receive an emergency grant under

paragraph (2)(A) if--

[[Page 115 STAT. 1951]]

``(i) the agency (or in the case of a local

educational agency that does not have the

authority to tax or issue bonds, the agency's

fiscal agent)--

``(I) has no practical capacity to

issue bonds;

``(II) has minimal capacity to issue

bonds and is at not less than 75 percent

of the agency's limit of bonded

indebtedness; or

``(III) does not meet the

requirements of subclauses (I) and (II)

but is eligible to receive funds under

section 8003(b)(2) for the fiscal year;

and

``(ii) the agency is eligible to receive

assistance under subsection (a) for the fiscal

year and has a school facility emergency, as

determined by the Secretary, that poses a health

or safety hazard to the students and school

personnel assigned to the school facility.

``(B) Modernization grants.--A local educational

agency is eligible to receive a modernization grant

under paragraph (2)(C) if--

``(i) the agency is eligible to receive

assistance under this title for the fiscal year;

``(ii) the agency (or in the case of a local

educational agency that does not have the

authority to tax or issue bonds, the agency's

fiscal agent) meets the requirements of subclause

(I), (II), or (III) of subparagraph (A)(i); and

``(iii) the agency has facility needs

resulting from the presence of the Federal

Government, such as the enrollment of federally

connected children, the presence of tax-exempt

Federal property, or an increase in enrollment due

to the expansion of Federal activities, housing

privatization, or the acquisition of Federal

property.

``(C) Additional eligibility for emergency and

modernization grants.--(i) A local educational agency is

eligible to receive an emergency grant or a

modernization grant under subparagraph (B) or (D) of

paragraph (2), respectively, if the agency meets the

following requirements:

``(I) The agency receives a basic support

payment under section 8003(b) for the fiscal year

and the agency meets at least one of the following

requirements:

``(aa) The number of children

determined under section 8003(a)(1)(C)

for the agency for the preceding school

year constituted at least 40 percent of

the total student enrollment in the

schools of the agency during the

preceding school year.

``(bb) The number of children

determined under subparagraphs (B) and

(D)(i) of section 8003(a)(1) for the

agency for the preceding school year

constituted at least 40 percent of the

total student enrollment in the schools

of the agency during the preceding

school year.

``(II) The agency (or in the case of a local

educational agency that does not have the

authority to tax or issue bonds, the agency's

fiscal agent) is at

[[Page 115 STAT. 1952]]

not less than 75 percent of the agency's limit of

bonded indebtedness.

``(III) The agency has an assessed value of

real property per student that may be taxed for

school purposes that is less than the average of

the assessed value of real property per student

that may be taxed for school purposes in the State

in which the local educational agency is located.

``(ii) A local educational agency is also eligible

to receive a modernization grant under this subparagraph

if the agency is eligible to receive assistance under

section 8002 for the fiscal year and meets the

requirements of subclauses (II) and (III) of clause (i).

``(D) Special rule.--

``(i) In general.--Any school described in

clause (ii) that desires to receive an emergency

grant or a modernization grant under subparagraph

(B) or (D) of paragraph (2), respectively, shall,

except as provided in the following sentence,

submit an application in accordance with paragraph

(6), and shall otherwise be treated as a local

educational agency for the purpose of this

subsection. The school shall submit an application

for the grant to the local educational agency of

such school and the agency shall submit the

application on behalf of the school to the

Secretary.

``(ii) School described.--A school described

in this clause is a school that meets the

following requirements:

``(I) The school is located within

the geographic boundaries of a local

educational agency that does not meet

the applicable eligibility requirements

under subparagraph (A), (B), or (C) for

a grant under this subsection.

``(II) The school meets at least one

of the following requirements:

``(aa) The number of

children determined under

section 8003(a)(1)(C) for the

school for the preceding school

year constituted at least 40

percent of the total student

enrollment in the school during

the preceding school year.

``(bb) The number of

children determined under

subparagraphs (B) and (D)(i) of

section 8003(a)(1) for the

school for the preceding school

year constituted at least 40

percent of the total student

enrollment in the school during

the preceding school year.

``(III) The school is located within

the geographic boundaries of a local

educational agency that meets the

requirements of subclauses (II) and

(III) of subparagraph (C)(i).

``(E) Rule of construction.--For purposes of

subparagraph (A)(i), a local educational agency--

``(i) has no practical capacity to issue bonds

if the total assessed value of real property that

may be taxed for school purposes is less than

$25,000,000; and

[[Page 115 STAT. 1953]]

``(ii) has minimal capacity to issue bonds if

the total assessed value of real property that may

be taxed for school purposes is at least

$25,000,000 but not more than $50,000,000.

``(4) Award criteria.--In awarding emergency grants and

modernization grants under this subsection, the Secretary shall

consider the following factors:

``(A) The ability of the local educational agency to

respond to the emergency, or to pay for the

modernization project, as the case may be, as measured

by--

``(i) the agency's level of bonded

indebtedness;

``(ii) the assessed value of real property per

student that may be taxed for school purposes

compared to the average of the assessed value of

real property per student that may be taxed for

school purposes in the State in which the agency

is located;

``(iii) the agency's total tax rate for school

purposes (or, if applicable, for capital

expenditures) compared to the average total tax

rate for school purposes (or the average capital

expenditure tax rate, if applicable) in the State

in which the agency is located; and

``(iv) funds that are available to the agency,

from any other source, including subsection (a),

that may be used for capital expenditures.

``(B) The percentage of property in the agency that

is nontaxable due to the presence of the Federal

Government.

``(C) The number and percentages of children

described in subparagraphs (A), (B), (C), and (D) of

section 8003(a)(1) served in the school facility with

the emergency or served in the school facility proposed

for modernization, as the case may be.

``(D) In the case of an emergency grant, the

severity of the emergency, as measured by the threat

that the condition of the school facility poses to the

health, safety, and well-being of students.

``(E) In the case of a modernization grant--

``(i) the severity of the need for

modernization, as measured by such factors as--

``(I) overcrowding, as evidenced by

the use of portable classrooms, or the

potential for future overcrowding

because of increased enrollment; or

``(II) the agency's inability to

utilize technology or offer a curriculum

in accordance with contemporary State

standards due to the physical

limitations of the current school

facility; and

``(ii) the age of the school facility proposed

for modernization.

``(5) Other award provisions.--

``(A) General provisions.--

``(i) Limitations on amount of funds.--

``(I) In general.--The amount of

funds provided under an emergency grant

or a modernization grant awarded under

this subsection to a local educational

agency that meets the requirements of

subclause (II) or (III) of paragraph

(3)(A)(i) for purposes of eligibility

under subparagraph (A) or

[[Page 115 STAT. 1954]]

(B) of paragraph (3) or that meets the

requirements of clause (i) or (ii) of

paragraph (3)(C) for purposes of

eligibility under such paragraph (3)(C),

or to a school that is eligible under

paragraph (3)(D)--

``(aa) shall not exceed 50

percent of the total cost of the

project to be assisted under

this subsection; and

``(bb) shall not exceed

$4,000,000 during any 4-year

period.

``(II) In-kind contributions.--A

local educational agency may use in-kind

contributions to meet the matching

requirement of subclause (I)(aa).

``(ii) Prohibitions on use of funds.--A local

educational agency may not use funds provided

under an emergency grant or modernization grant

awarded under this subsection for--

``(I) a project for a school

facility for which the agency does not

have full title or other interest;

``(II) stadiums or other school

facilities that are primarily used for

athletic contests, exhibitions, or other

events for which admission is charged to

the general public; or

``(III) the acquisition of real

property.

``(iii) Supplement, not supplant.--A local

educational agency shall use funds provided under

an emergency grant or modernization grant awarded

under this subsection only to supplement the

amount of funds that would, in the absence of the

Federal funds provided under the grant, be made

available from non-Federal sources to carry out

emergency repairs of school facilities or to carry

out the modernization of school facilities, as the

case may be, and not to supplant such funds.

``(iv) Maintenance costs.--Nothing in this

subsection shall be construed to authorize the

payment of maintenance costs in connection with

any school facility modernized in whole or in part

with Federal funds provided under this subsection.

``(v) Environmental safeguards.--All projects

carried out with Federal funds provided under this

subsection shall comply with all relevant Federal,

State, and local environmental laws and

regulations.

``(vi) Carry-over of certain applications.--A

local educational agency that applies for an

emergency grant or a modernization grant under

this subsection for a fiscal year and does not

receive the grant for the fiscal year shall have

the application for the grant considered for the

following fiscal year, subject to the priority

requirements of paragraph (2) and the award

criteria requirements of paragraph (4).

``(B) Emergency grants; prohibition on use of

funds.--A local educational agency that is awarded an

emergency grant under this subsection may not use

amounts under the grant for the complete or partial

replacement of an existing school facility unless such

[[Page 115 STAT. 1955]]

replacement is less expensive or more cost-effective

than correcting the identified emergency.

``(6) Application.--A local educational agency that desires

to receive an emergency grant or a modernization grant under

this subsection shall submit an application to the Secretary at

such time, in such manner, and accompanied by such information

as the Secretary may require. Each application shall contain the

following:

``(A) A description of how the local educational

agency meets the award criteria under paragraph (4),

including the information described in clauses (i)

through (iv) of paragraph (4)(A) and subparagraphs (B)

and (C) of paragraph (4).

``(B) In the case of an application for an emergency

grant--

``(i) a description of the school facility

deficiency that poses a health or safety hazard to

the occupants of the facility and a description of

how the deficiency will be repaired; and

``(ii) a signed statement from an appropriate

local official certifying that a deficiency in the

school facility threatens the health or safety of

the occupants of the facility or that prevents the

use of all or a portion of the building.

``(C) In the case of an application for a

modernization grant--

``(i) an explanation of the need for the

school facility modernization project;

``(ii) the date on which original construction

of the facility to be modernized was completed;

``(iii) a listing of the school facilities to

be modernized, including the number and percentage

of children determined under section 8003(a)(1) in

average daily attendance in each school facility;

and

``(iv) a description of the ownership of the

property on which the current school facility is

located or on which the planned school facility

will be located.

``(D) A description of the project for which a grant

under this subsection will be used, including a cost

estimate for the project.

``(E) A description of the interest in, or authority

over, the school facility involved, such as an ownership

interest or a lease arrangement.

``(F) Such other information and assurances as the

Secretary may reasonably require.

``(7) Report.--

``(A) <<NOTE: Deadline.>> In general.--Not later

than January 1 of each year, the Secretary shall prepare

and submit to the appropriate congressional committees a

report that contains a justification for each grant

awarded under this subsection for the prior fiscal year.

``(B) Definition.--In this paragraph, the term

`appropriate congressional committees' means--

``(i) the Committee on Appropriations and the

Committee on Education and the Workforce of the

House of Representatives; and

[[Page 115 STAT. 1956]]

``(ii) the Committee on Appropriations and the

Committee on Health, Education, Labor, and

Pensions of the Senate.''.