COMMITTEE ON EDUCATION AND LABOR CARL D. PERKINS, Kentucky, Chairman EDITH GREEN, Oregon FRANK THOMPSON, JR., New Jersey ALBERT H. QUIE, Minnesota PETER A. PEYSER, New York (II) CONTENTS Kurzman, Hon. Stephen, Assistant Secretary for Legislation, HEW, accompanied by Christopher T. Cross, Deputy Assistant Secretary Marland, Hon. Sidney P., Jr., Commissioner of Education, accom- Marland, Hon. Sidney P., Jr., Commissioner of Education, Existing Education Programs Repealed by Education Revenue Sharing____ Scott, Hon. Robert W., Governor, State of North Carolina, letter to Page OVERSIGHT HEARING ON ELEMENTARY AND SECONDARY EDUCATION THURSDAY, DECEMBER 9, 1971 HOUSE OF REPRESENTATIVES, COMMITTEE ON EDUCATION AND LABOR, Washington, D.C. The committee met, pursuant to notice, at 10 a.m., in room 2175 of the Rayburn Office Building, Hon. Carl D. Perkins (chairman of the committee) presiding. Members present: Perkins, Green, Pucinski, Brademas, Hawkins, Hicks, Quie, Bell, Reid, Landgrebe, Hansen, Ruth and Peyser. Staff members present: H. D. Reed, Jr., general counsel; and Charles W. Radcliffe, minority counsel for education. (Text of H.R. 7796 follows:) H.R. 7796 A BILL to strengthen education by providing a share of the revenues of the United States to the States and to local educational agencies for the purpose of assisting them in carrying out education programs reflecting areas of national concern Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Education Revenue Sharing Act of 1971". FINDINGS AND PURPOSE SEC. 2. (a) The Congress hereby finds that, while public education is primarily the responsibility of the States and local communities of this country, the Federal Government has a responsibility to assist them in meeting the costs of education in areas of special national concern. The Congress finds, however, that prior programs of Federal financial assistance for elementary or secondary education are too narrow in scope to meet the needs of State and local school systems. (b) It is therefore the purpose of this Act to replace certain current programs of Federal assistance to elementary or secondary education by a system of Federal revenue sharing for education designed to meet such needs, to encourage innovation and development of new educational programs and practices, to provide for educationally disadvantaged children an education comparable to that available to their classmates, to provide the special educational services needed by the physically and mentally handicapped, to encourage greater attention to the vital field of vocational and career education, to assure to children whose parents live or work on Federal property an education comparable to that given to other children, and to provide State and local educational officials with the flexibility and responsibility they need to make meaningful decisions in response to the needs of their students. AUTHORIZATION OF APPROPRIATIONS AND PLANNING PAYMENTS SEC. 3. (a) For the fiscal year ending June 30, 1973, and for each fiscal year thereafter, there are authorized to be appropriated, to be available without fiscal year limitation, such sums as may be necessary for carrying out this Act. (b) There are also authorized to be appropriated such sums as may be necessary to enable the Secretary to make, during the period beginning January 1, 1972, and ending with the close of June 3, 1972, payments to States to assist them in planning for the transition from the system of categorical grants authorized by the statutes and parts thereof repealed by section 21 to the system of revenue sharing for education authorized by this Act. Such payments shall be made on such terms and conditions as the Secretary specifies for the purpose of carrying out this subsection. ALLOTMENT AND USE OF SHARED REVENUES SEC. 4. (a) From the sums appropriated pursuant to section 3 (a) for any fiscal year and not reserved pursuant to section 11, the Secretary shall allot to each State an amount equal to 60 per centum of the average per pupil expenditure in the United States multiplied by the number of children in average daily attendance in the public elementary or secondary schools of such State during such year who resided on Federal property, which amount shall be available for any educational purpose. (b) From the remainder of such sums, the Secretary shall allot to each State an amount which bears the same ratio to such remainder as the sum of the products determined under paragraphs (1) through (3) of this subsection with respect to such State bears to the total of the sums of such products with respect to all States. Such products for any State shall be (1) 1.0 multiplied by the number of children aged 5 to 17, inclusive, in such State who are in low-income families; (2) 0.6 multiplied by the number of children in average daily attendance in the public elementary or secondary schools of such State during such fiscal year who (A) resided on other than Federal property with a parent employed on Federal property, or (B) had a parent on active duty in the uniformed services (as defined in section 101 of title 37, United States Code); and (3) 0.1 multiplied by the number of children aged five to seventeen, inclusive, in the State. (c) (1) That portion of each State's allotment derived from application of the provisions of paragraph (1) of subsection (b) shall be available only for programs and projects designed to meet the special educational needs, at the preschool or any other educational level, of educationally disadvantaged children(A) who reside in school attendance areas having high concentrations of low-income families; (B) who are migratory children of migratory agricultural workers; or (C) who are neglected or delinquent children for whose education the State, rather than a local educational agency, is directly responsible. (2) That portion of each State's allotment derived from application of the provisions of paragraph (2) of subsection (b) shall be available for any educational activity. (3) Except as provided in section 6 (A) one-sixth of that portion of each State's allotment derived from application of the provisions of paragraph (3) of subsection (b) shall be available only for programs and projects at the preschool or any other educational level designed to meet the special educational needs of handicapped children, including handicapped children for whose education the State, rather than a local educational agency, is directly responsible; (B) one-third of that portion of each State's allotment derived from application of the provisions of paragraph (3) of subsection (b) shall be available only for vocational education activities; and (C) one-half of that portion of each State's allotment derived from application of the provisions of paragraph (3) of subsection (b) shall be available only for supporting materials and services. (d) Programs, projects, or activities assisted under this Act may include construction. (e) In the event that any State is not eligible to receive funds under this Act for any fiscal year, or notifies the Secretary that it does not desire to receive such funds, the allotment of such State for such fiscal year derived from any provision of subsection (b) shall be available for reallotment from time to time, on such date or dates during such year as the Secretary may fix, to other States in proportion to the original amount of the allotment to such other States which |