All 67 Stat. 529.

Construction oosts.

Minimum

facilities.

20 USC 255.

Effective date.

"(B) in the absence of any such approved agreement, as attendance at (or membership of) a school of the local educational agency so making or contracting to make such tuition payment.

In any determination of average daily attendance at or membership of schools, children who are not provided free public education (as defined in paragraph (4)) shall not be counted."

(i) Section 210 (7) of such Act is amended by inserting "or minimum" after "complete" in the first sentence thereof and by adding at the end thereof the following new sentence: "The cost of constructing minimum school facilities in the school district of a local educational agency shall be determined by the Commissioner, after consultation with the State and local educational agencies, on the basis of such information as may be contained in the application of such local educational agency and such other information as he may obtain."

(j). The last sentence of section 210 (10) of such Act is amended to read: "Except as used in sections 203, 204, 309, and 310, such term does not include interests in land and off-site improvements."

(k) Section 210 (11) of such Act is amended by inserting at the end thereof the following new sentence: "Whether or not school facilities are minimum school facilities shall be determined by the Commissioner, after consultation with the State and local educational agencies, in accordance with regulations prescribed by him."

(1) The second sentence of section 210 (12) of such Act is amended by inserting before the period at the end thereof "or which has responsibility for the provision of such facilities".

(m) Section 105 (a) of such Act is amended by striking out “title” and inserting "Act" in lieu thereof.

SEC. 3. The amendments made by the preceding sections of this Act shall become effective July 1, 1953.

Approved August 8, 1953.

Chapter 402

1st Session

H. R. 6078

AN ACT

All 67 Stat. 530.

To amend Public Law 874 of the Eighty-first Congress so as to make improvements in its provisions and extend its duration for a two-year period, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) the first Educational sentence of section 2 (a) of the Act of September 30, 1950 (Public Law agencies af874, Eighty-first Congress), is amended by striking out "three succeed- footed by Feding fiscal years" and inserting in lieu thereof "five succeeding fiscal al activities. years".

(b) Such section 2 (a) is further amended by inserting "with respect to the property so acquired" after the phrase "other Federal payments" wherever such phrase appears therein.

(c) Section 2 (b) (1) of such Act is amended by inserting after "Act" the following: ", and property taxes paid with respect to Federal property, whether or not such taxes are paid by the United States".

64 Stat. 1101. 20 USC 237.

SEC. 2 (a) (1) Subsections (a) and (b) of section 3 of such Act are 20 USC 238. amended to read as follows:

"CHILDREN RESIDING ON, OR WHOSE PARENTS ARE EMPLOYED ON, FEDERAL PROPERTY

"CHILDREN OF PERSONS WHO RESIDE AND WORK ON FEDERAL PROPERTY

"SEC. 3. (a) For the purpose of computing the amount to which a local educational agency is entitled under this section for any fiscal year ending prior to July 1, 1956, the Commissioner shall determine the number of children who were in average daily attendance at the schools of such agency, and for whom such agency provided free public education, during the preceding fiscal year, and who, while in attendance at such schools, resided on Federal property and (1) did so with a parent employed on Federal property situated in whole or in part in the same State as the school district of such agency or situated within reasonable commuting distance from the school district of such agency, or (2) had a parent who was on active duty in the uniformed services (as defined in section 102 of the Career Compensation Act of 63 Stat. 804. 1949).

"CHILDREN OF PERSONS WHO RESIDE OR WORK ON FEDERAL PROPERTY

"(b) For such purpose, the Commissioner shall also determine the number of children who were in average daily attendance at the schools of a local educational agency, and for whom such agency provided free public education, during the preceding fiscal year (other than those specified in subsection (a) hereof) and who, while in attendance at such schools, either resided on Federal property, or resided with a parent employed on Federal property situated in whole or in part in the same State as such agency or situated within reasonable commuting distance from the school district of such agency."

(2) Such section is further amended by striking out subsections (d), (e), and (f), by redesignating subsections (c) and (g) as subsections (d) and (e), respectively, and by inserting after subsection (b) the following new subsection:

37 USC 231.

All 67 Stat. 536.

"COMPUTATION OF AMOUNT OF ENTITLEMENT

"(c) (1) The amount to which a local educational agency is entitled under this section for any fiscal year ending prior to July 1, 1956, shall be an amount equal to (A) the local contribution rate (determined under subsection (d)) multiplied by (B) the sum of the number of children determined under subsection (a) and one-half of the number determined under subsection (b), minus 3 per centum of the difference between such sum and the total number of children who were in average daily attendance at the schools of such agency, and for whom such agency provided free public education, during the preceding fiscal year; except that no local educational agency shall be entitled to any payment under this section for any fiscal year unless the sum of the number of children determined under subsection (a)

and one-half of the number of children determined under subsection (b) is ten or more. Notwithstanding the foregoing provisions of this paragraph, whenever and to the extent that, in his judgment, exceptional circumstances exist which make such action necessary to avoid inequity and avoid defeating the purposes of this Act, the Commissioner may waive or reduce the 3 per centum deduction, or the requirement of ten or more children, contained in this paragraph, or both. “(2) If—

"(A) the amount computed under paragraph (1) for a local educational agency for any fiscal year ending prior to July 1, 1956, together with the funds available to such agency from State, local, and other Federal sources (including funds available under section 4 of this Act) is, in the judgment of the Commissioner, less than the amount necessary to enable such agency to provide a level of education equivalent to that maintained in the school districts of the State which, in the judgment of the Commissioner, are generally comparable to the school district of such agency;

"(B) such agency is, in the judgment of the Commissioner, making a reasonable tax effort and exercising due diligence in availing itself of State and other financial assistance;

"(C) not less than 50 per centum of the total number of children who were in average daily attendance at the schools of such agency, and for whom such agency provided free public education, during the preceding fiscal year resided on Federal property; and

"(D) effective for the fiscal year beginning July 1, 1955, the eligibility of such agency under State law for State aid with respect to the free public education of children residing on Federal property, and the amount of such aid, is determined on a basis no less favorable to such agency than the basis used in determining the eligibility of local educational agencies for State aid, and the amount thereof, with respect to the free public education of other children in the State,

the Commissioner may increase the amount computed under paragraph (1) to the extent necessary to enable such agency to provide a level of education equivalent to that maintained in such comparable school districts; except that this paragraph shall in no case operate to increase the amount computed for any fiscal year under paragraph (1) for a local educational agency above the amount determined by the Commissioner to be the cost per pupil of providing a level of education equivalent to that maintained in such comparable school districts, multiplied by the number of children who were in average daily attendance at the schools of such agency, and for whom such agency provided free public education, during the preceding year and who resided on Federal property during such preceding year, minus the amount of State aid which the Commissioner determines to be avail

All 67 Stat. 532.

able with respect to such children for the year for which the computation is being made."

(b) (1) So much of the subsection of such section 3 herein redesignated as subsection (d) as precedes clause (1) thereof is amended to read as follows:

"LOCAL CONTRIBUTION RATE

"(d) The local contribution rate for a local educational agency (other than a local educational agency in Alaska, Hawaii, Puerto Rico, Wake Island, or the Virgin Islands) for any fiscal year shall be computed by the Commissioner of Education, after consultation with the State educational agency and the local educational agency, in the following manner :".

(2) Clause (1) of such subsection is amended by striking out "most nearly comparable" and inserting in lieu thereof "generally comparable".

(c) Such subsection is further amended by adding at the end thereof the following new sentences: "In no event shall the local contribution rate for any local educational agency in any State in the continental United States for any fiscal year be less than 50 per centum of (i) the aggregate current expenditures, during the second fiscal year preceding such fiscal year, made by all local educational agencies in such State (without regard to the source of the funds from which such expenditures were made), divided by (ii) the aggregate number of children in average daily attendance to whom such agencies provided free public education during such second preceding fiscal year. The local contribution rate for any local educational agency in Alaska, Hawaii, Puerto Rico, Wake Island, or the Virgin Islands, shall be determined for any fiscal year by the Commissioner in accordance with policies and principles which will, in his judgment, best effectuate the purposes of this Act and most nearly approximate the policies and principles provided herein for determining local contribution rates in other States."

(d) The subsection of such section herein redesignated as subsection (e) is amended by inserting "(other than subsection (c) (2) thereof)" after "this section". The second parenthetical clause contained in such subsection is amended to read as follows: "(but only to the extent such payments are not deducted under the last sentence of section 2 (a); and, in the case of Federal payments representing an allotment to the local educational agency from United States Forestry Reserve funds, Taylor Grazing Act funds, United States Mineral Lease Royalty funds, Migratory Bird Conservation Act funds, or similar funds, only to the extent that children who reside on or with a parent employed on the property with respect to which such funds are paid are included in determining the amount to which such agency is entitled under this section)".

SEC. 3. Subsection (a) of section 4 of such Act is amended to read 64 Stat. 1104. as follows:

"INCREASES HEREAFTER OCCURRING

"SEC. 4. (a) If the Commissioner determines for any fiscal year ending prior to July 1, 1956

"(1) that, as a direct result of activities of the United States (carried on either directly or through a contractor), an increase in the number of children in average daily attendance at the schools of any local educational agency has occurred in such fiscal year, which increase so resulting from activities of the United States is equal to at least 5 per centum of the number of

20 USC 2 39.

All 67 Stat. 533.

64 Stat. 1101. 20 USC 237.

64 Stat. 1106. 20 USC 239.

all children in average daily attendance at the schools of such agency during the preceding fiscal year; and

"(2) that such activities of the United States have placed on such agency a substantial and continuing financial burden; and "(3) that such agency is making a reasonable tax effort and is exercising due diligence in availing itself of State and other financial assistance but is unable to secure sufficient funds to meet the increased educational costs involved,

then such agency shall be entitled to receive for such fiscal year an amount equal to the product of

"(A) the number of children which the Commissioner determines to be the increase, so resulting from activities of the United States, in such year in average daily attendance; and

"(B) the amount which the Commissioner determines to be the current expenditures per child necessary to provide free public education to such additional children during such year, minus the amount which the Commissioner determines to be available from State, local, and Federal sources for such purpose (not counting as available for such purpose either payments under section 2 of this Act or funds from local sources necessary to provide free public education to other children).

For the next fiscal year (except where the determination under the preceding sentence has been made with respect to the fiscal year ending June 30, 1956) such agency shall be entitled to receive 50 per centum of such product, but not to exceed for such year the amount which the Commissioner determines to be necessary to enable such agency, with the State, local, and other Federal funds available to it for such purpose, to provide a level of education equivalent to that maintained in the school districts in such State which in his judgment are generally comparable to the school district of such agency. The determinations whether an increase has occurred for purposes of clause (1) hereof and whether such increase meets the 5 per centum requirement contained in such clause, for any fiscal year, shall be made on the basis of estimates by the Commissioner made prior to the close of such year, except that an underestimate made by the Commissioner pursuant to the foregoing provisions of this sentence shall not operate to deprive an agency of its entitlement to any payments under this section to which it would be entitled had the estimate been accurate. The determination under clause (B) shall be made by the Commissioner after considering the current expenditures per child in providing free public education in those school districts in the State which, in the judgment of the Commissioner, are generally comparable to the school district of the local educational agency for which the computation is being made."

SEC. 4. Subsection (c) of section 4 of such Act is amended to read as follows:

"COUNTING OF CERTAIN CHILDREN

"(c) In determining under subsection (a) whether there has been an increase in attendance in any fiscal year directly resulting from activities of the United States and the number of children with respect to whom payment is to be made for any fiscal year, the Commissioner shall not count children whose attendance is attributable to activities of the United States carried on in connection with real property which has been excluded from the definition of Federal property by the last 64 Stat. 1108. sentence of paragraph (1) of section 9, but shall count as an increase directly resulting from activities of the United States an increase in the number of children who reside on Federal property or reside with a parent employed on Federal property."

20 USC 244.