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

May 22, 2003

Mr. CASTLE (for himself, Mr. BOEHNER, Mr. REGULA, Mr. WILSON of South Carolina, Mr. CUNNINGHAM, Mr. MURPHY, Mr. ISAKSON, Mr. MCKEON, and Mr. BROWN of South Carolina) introduced the following bill; which was referred to the Committee on Education and the Workforce

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, including 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 year' 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 delivery of Head Start services.'.

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 and such sums as may be necessary for fiscal years 2005 through 2008.

`(b) SPECIFIC PROGRAMS- From the amount appropriated under subsection (a), the Secretary shall make available--

`(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) By striking clauses (ii) and (iii) of subsection (a)(2)(B).

(2) By striking the last sentence of paragraph (2).

(3) 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 activities as described in section 648 of this title, in an amount for each fiscal year which is not less than one percent, and shall not exceed 2 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 performance standards described in section 641A(a)(1), of which not less than 50 percent shall be used to comply with the performance standards described in section 641A(a)(1)(B) and for the uses described in subparagraph (a)(3)(B)(iii), (a)(3)(B)(iv), and (a)(3)(B)(vii);

`(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 to meet the performance standards described in 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(d)(4);'.

(4) In subsection (a)(3)(A)(i)(I) by striking `1999' and all that follows down to the semicolon and inserting `2004 through 2008'.

(5) In subsection (a)(3)(B)(i) by striking `(a)(1)(A)' and inserting `(a)(1)'.

(6) In subsection (a)(3)(B)(ii) by striking `staff are' and inserting `staff is'.

(7) In subsection (a)(3)(C) by redesignating clause (vi) as clause (vii) and inserting the following new clause after clause (v):

`(vi) To conduct outreach to homeless families in an effort to increase the program participation of eligible homeless children.'.

(8) In subsection (a)(5)(B)--

(A) by striking `may' and inserting `shall'; and

(B) by inserting `early childhood education' after `regarding'.

(9) In subsection (a)(5)(C)--

(A) by striking `A State' and inserting `In order to improve results for children, a State';

(B) by striking clauses (i), (ii), and (iii) and inserting:

`(i) appoint an individual to serve as the State collaborator 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 oversees 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 migrant and seasonal Head Start associations;

`(XI) State Indian Head Start associations;

`(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 collaborator 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 640(a)(5)(C)(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 Collaborator;';

(C) by amending clause (v) to read as follows:

`(v) consult with the chief State school officer, local educational agencies, and representatives of local Head Start agencies 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

(D) by inserting the following new clause after clause (v) and redesignating clause (vi) as (vii):

`(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, 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; and'.

(10) By amending clause (i) of subsection (a)(5)(D) by inserting `and providers of services supporting early childhood education and child care' after `Associations'.

(11) By striking subsection (a)(6)(B).

(12) By inserting the following before the period at the end of section 640(f): `including models that leverage the existing capacity and capabilities of the delivery system of early childhood education and child care'.

(13) By inserting the following after `manner that will' in section 640(g)(2)(G): `leverage the existing delivery systems of such services and'.

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) by inserting after `community' in the first place it appears `any community-based or faith-based organization' and by inserting `(1)' after `(a)' and 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 (2).'

(2) In subsection (c)(1) by striking `unless' through `fails to meet' and inserting `that fulfills the'.

(3) By striking paragraph (2) of subsection (c).

(4) In subsection (d):

(A) By inserting the following new paragraphs after paragraph (1):

`(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 section 641A(a)(1)(B)(ii);'.

(B) By striking paragraph (3) and redesignating paragraph (2) as paragraph (4) and in such paragraph (4), by striking `to aid participating children in attaining their full potential' and inserting `prepare children to succeed in school'.

(C) By inserting the following after paragraph (4) and redesignating existing paragraphs (4) through (10) as paragraphs (7) through (13):

`(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;'.

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;

`(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.'.

(2) In subsection (a)(2)(A) by amending the parenthetical language to read as follows `(including appropriate services to limited-English proficient children and their families)'.

(3) In subsection (a)(2)(B)--

(A) in clause (i) by striking `on the date of enactment of this section' and inserting `on October 27, 1998';

(B) in clause (ii) by striking `since the date of enactment of this section' and inserting `since October 27, 1998,'; and

(C) by striking `and' at the end of clause (vi) and adding the following at the end thereof:

`(viii) the unique challenges faced by individual programs, including those that are seasonal or short term, and those that serve rural populations; and'.

(4) In subsection (a)(2)(C)(ii) by striking all that follows `in effect on' down to the period and inserting `October 27, 1998'.

(5) In subsection (b)(2):

(A) In subparagraph (B) by striking `not later than July 1, 1999; and' and inserting a semicolon.

(B) By striking the period at the end of subparagraph (C) and inserting `; and'.

(C) By adding the following new subparagraph at the end thereof:

`(D) be appropriate for the population served; and

`(E) be reviewed no less than every 5 years, based on advances in the science of early childhood development.'.

(D) In the language following new subparagraph (E) by striking `subsection (a)(1)(ii)' and inserting `subsection (a)(1)(A) and (B)'.

(6) In subsection (b) by amending paragraph (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.'.

(7) In subsection (c)(2):

(A) By striking subparagraphs (A) and (B).

(B) In subparagraph (C) by striking `(including linguistic and cultural)' and inserting

`and limited-English proficient children' after `disabilities'.

(C) At the end of subparagraph (D) by striking `and'.

(D) At the end of subparagraph (E) by striking the period and inserting a semicolon and the following new subparagraphs:

`(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; and

`(G) 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.'.

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 redesignating paragraphs (1) through (4) of subsection (b) as (3) through (6) and by inserting the following new paragraphs after `shall also--':

`(1) establish a program with standards set forth in section 641A(a)(1), with particular attention to the standards set forth in section 641A(a)(1)(B);

`(2) demonstrate capacity to serve eligible children with scientifically-based curricula and other interventions that help ensure the school readiness of children participating in the program;'.

(2) By inserting the following new paragraph after redesignated paragraph (6) of subsection (b) and by redesignating existing paragraphs (5) through (11) of subsection (b) as (8) through (14):

`(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;'.

(3) In subsection (d) by inserting the following new paragraph after paragraph (1) and redesignating paragraphs (2) through (5) as (3) through (6):

`(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, including for outreach to identify eligible children.'.

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

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

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

SEC. 109. ELIGIBILITY.

Section 645(a) of the Head Start Act (42 U.S.C. 9843) is amended 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. 110. INFANTS AND TODDLERS.

Section 645A of the Head Start Act (42 U.S.C. 9643) is amended in subsection (b)(1) by striking `physical, emotional, and intellectual development' and inserting `learning, health, and development'.

SEC. 111. 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 (c) through (f):

`(b) The Secretary shall make available 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 performance standards in section 641A(a)(1), with particular attention to the education standards in section 641A(a)(1)(B). The Secretary shall--

`(1) ensure eligible entities within a State are chosen by the Secretary 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, 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) By inserting the following at the end thereof:

`(g) 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. 112. STAFF QUALIFICATIONS AND DEVELOPMENT.

Section 648A of the Head Start Act (42 U.S.C. 9843a) is amended as follows:

(1) In subparagraph (C) of subsection (a)(1) by striking `and emotional' and inserting `to ensure school readiness' after `children'.

(2) In subparagraph (A) of subsection (a)(2) by striking `2003' and inserting `2008' and by striking `an associate,' and inserting `a' in clauses (i) and (ii).

(3) By adding the following at the end of subsection (a)(2):

`(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.'.

(4) 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. 113. RESEARCH, DEMONSTRATIONS, AND EVALUATION.

Section 649 of the Head Start Act (42 U.S.C. 9844) is amended as follows:

(1) By striking subsection (b).

(2) In subsection (c)(1)(C) by striking `multicultural nature' and inserting `range'.

(3) By striking paragraph (9) of subsection (d).

(4) In subsection (d)(10)(B) by striking `socio-emotional'.

(5) By striking clause (i) of subsection (g)(1)(A) and redesignating clauses (ii) and (iii) as clauses (i) and (ii).

(6) In subsection (g)(5)(A)(i) by striking `the social competence of children, by increasing'.

(7) By amending subsection (g)(5)(A)(ii)(I) to read as follows:

`(I) enhance the learning, health, and development of children;'.

(8) In subsection (g)(7)(C)(i) by striking `1999' and inserting `2003', striking `2001' and inserting `2005', and striking `2003' and inserting `2006'.

SEC. 114. CONFORMING AMENDMENTS.

Sections 640(a)(6)(B)(iii)(I), 648A(g)(7)(C)(ii), and 650(a) of the Head Start Act are each amended by striking `Labor and Human Resources' and inserting `Health, Education, Labor, and Pensions'.

SEC. 115. 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- 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.

`(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 early childhood education services to children prior to entry into kindergarten.

`(B) The State has existing standards for school readiness that are aligned with State kindergarten through twelfth grade academic content standards or provides an assurance that such standards will be aligned by the end of the second fiscal year of participation.

`(C) The State has established qualifications for early childhood educators.

`(D) The State has established a means for inter-agency coordination and collaboration in the development of the plan under (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- A local grantee that was receiving funds under the Head Start Act of 1965, as that Act was in effect prior to the date of enactment of this section, and is serving the geographic area covered by the plan in section 643A(h) shall continue to receive funds from the State, in accordance with the terms of that award for at least 12 months after a State receives approval to participate in a program under this section, provided that the

applicant has not experienced substantial uncorrected deficiencies on Department of Health and Human Services monitoring reports during any year of the most recent 5-year period.

`(2) AFTER TRANSITION- Following the end of the transition, States are strongly encouraged to continue utilizing current service providers that have demonstrated the ability to provide high quality Head Start services consistent with State guidelines for school preparedness for children entering kindergarten.

`(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).

`(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- Financial assistance made available to a State for programs carried out under this section shall not exceed 95 percent of the total amount expended for such programs. Non-Federal contributions may be made in cash or in kind, fairly evaluated, including plant, equipment, or services. The Secretary may not require non-Federal contributions in excess of 5 percent of the total amount expended for such programs. 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 (g)(1)(M)(iii)(relating to maintenance of effort) shall be excluded.

`(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 non-Federal funds that would otherwise be used for activities authorized under this section.

`(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 (and, if applicable, services described in section 645A) at least as extensive as were provided, and to at least as many 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):

`(A) Head Start services furnished in a State program under this section shall include all Head Start services, other than--

`(i) Indian Head Start programs and migrant and seasonal Head Start programs supported with funds reserved under section 640(a)(2)(A); and

`(ii) Early Head Start services, except as provided in subparagraph (B); and

`(B) Services furnished may, at State option, include Early Head Start services, either Statewide or in selected geographic areas of the State. In the case of a State that elects to administer an Early Head Start program under this section, the State shall provide a program of family-centered services for low-income infants, toddlers and pregnant women, meeting the requirements of section 645A, designed to promote the development of the children, and to enable their parents to fulfill their roles as parents and to move toward self-sufficiency.

`(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- The plan shall specify the period during which the program will be in effect.

`(A) IN GENERAL- A State program under this section shall be in effect for a period of at least three and not more than 5 Federal fiscal years.

`(B) EXTENSION- A State that has administered a program in accordance with the requirements of this section--

`(i) shall be allowed to extend such program through fiscal year 2008, upon submission to the Secretary, of a proposed plan meeting the requirements for approval; and

`(ii) shall notify the Secretary, at least one year before the end of the current plan period, whether the State intends to extend the program.

`(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 (f).

`(5) NEEDS ASSESSMENT- The plan shall provide an assurance that the State has identified the needs for services within a State or geographic area to be served and is targeting services to those areas of greatest need.

`(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) 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 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.

`(10) QUALITY ASSURANCE-

`(A) To assure the quality of early childhood services provided to preschool age children the plan shall--

`(i) describe State early childhood teacher credentials and qualifications;

`(ii) assure that the program has in place scientifically-based curricula;

`(iii) describe student-teacher ratio for each age group served;

`(iv) assure the program has in place services to promote congitive development, language, prereading, and premathematical knowledge and skills; and

`(v) assure that the program has in place services to promote the health, safety, nutrition, and other developmental needs of preschool age children.

`(B) The State plan shall provide an explanation for any of the above that do not conform to requirements under this subchapter.

`(11) 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 effective kindergarten performance; 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.

`(12) TRANSITION PLAN- The initial State plan shall make provision for transition from the direct Federal program under section 640 to the demonstration program.

`(13) COOPERATION WITH RESEARCH STUDIES- The plan shall provide assurances that the State will cooperate with research activities described in section 649.

`(14) 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.

`(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) 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.

`(n) EVALUATION- (1) The Secretary shall appoint an independent advisory committee to design, oversee, and compile findings from an evaluation of the state demonstration program--

`(2) The evaluation shall include--

`(A) data on the characteristics of preschool age children served;

`(B) an assessment of the quality and characteristics of the services provided;

`(C) the rate of progress of the State in improving the school readiness of disadvantaged children in the key domains of development; and

`(D) an assessment of the impact of the programs supported under this section on the access and quality of early childhood education systems.

`(o) DEFINITION- For purposes of this section, the term `base year' means the most recent Federal fiscal year preceding the first fiscal year of the State program under this section for which adequate and reliable data are available, as determined by the Secretary.'.

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