NO. 114.  AN ACT RELATING TO COMPLIANCE WITH THE NO CHILD LEFT BEHIND ACT.

(S.308)

It is hereby enacted by the General Assembly of the State of Vermont:

Sec. 1.  16 V.S.A. § 144b is amended to read:

§ 144b.  FEDERAL EDUCATION AID FUNDS; ADMINISTRATION

(a)  The state board of education, as sole state agency, may administer such federal funds as may be made available to the state under Public Law 89-10, known as the Elementary and Secondary Education Act of 1965 as amended, and Public Law 107-110, known as the No Child Left Behind Act of 2001. Those funds may be accepted and shall be distributed and accounted for by the state treasurer in accordance with that law and rules and regulations of the United States issued under it if there is conflict between that law or those rules and regulations and the laws of this state.

(b)  For purposes of distribution of funds under this section, a supervisory union or supervisory district shall be a local education agency as that term is defined in 20 U.S.C. § 7801(26).

(c)  For purposes of determining pupil performance and application of consequences for failure to meet standards and for provision of compensatory and remedial services pursuant to 20 U.S.C. §§ 6311-6318, a school district shall be a local education agency. 

Sec. 2.  16 V.S.A. § 261a(4) and (6) are amended to read:

(4)  in accordance with criteria established by the state board, establish a plan for receiving and disbursing federal and state funds distributed by the department of education, including funds awarded under P.L. 89-10, the Elementary and Secondary Education Act of 1965 as amended;

(6)  provide or, if agreed upon by unanimous vote at a supervisory union meeting, coordinate provision of the following educational services on behalf of member districts:

(A)  special education;

(B)  except as provided in section 144b of this title, compensatory and remedial services; and

(C)  other services as directed by the state board and local boards;

Sec. 3.  16 V.S.A. § 563(26) is added to read:

(26)  Shall carry out the duties of a local education agency, as that term is defined in 20 U.S.C. § 7801(26), for purposes of determining pupil performance and application of consequences for failure to meet standards and for provision of compensatory and remedial services pursuant to 20 U.S.C. §§ 6311-6318.

Sec. 4.  Sec. 2 of No. 64 of the Acts of 2003 is amended to read:

Sec. 2.  COMPLIANCE WITH FEDERAL REQUIREMENTS; MEASURING

             ADEQUATE YEARLY PROGRESS TOWARD ACHIEVING

             STATE STANDARDS; CONSEQUENCES

16 V.S.A. § 165 authorizes the commissioner of education to determine how well schools and students are meeting state standards every two years and to impose certain consequences if schools are failing to meet standards after specific time periods.  Notwithstanding the provisions of that section, in order to comply with the provisions of Public Law 107-110, known as the No Child Left Behind Act of 2001, during school years 2003-2004 and 2004-2005 through 2005-2006, the commissioner is authorized to determine whether schools and school districts are meeting state standards annually and the state board of education is authorized to impose on schools and school districts consequences allowed in state law and required by the Act within the time frame required in the Act.  However, consistent with Title IX, Part E, Subpart 2, Sec. 9527 of the No Child Left Behind Act, neither the state nor any subdivision thereof shall be required to spend any funds or incur any costs not paid for under the Act in order to comply with the provisions of the Act.  The state or any subdivision thereof may expend other funds for activities they were already conducting consistent with the Act, or for activities authorized in a state or local fiscal year 2004 budget.  It is the intent of the general assembly to continue to study the provisions of the federal law and to seek guidance from the federal government in order to determine permanent changes to Title 16 that will be necessary to comply with federal law and to avoid having federal law cause state and local governments to absorb the cost of unfunded mandates.

Sec. 5.  Subsections (b), (c), and (e) of Sec. 3 of No. 64 of the Acts of 2003 are amended to read:

(b)  Notwithstanding the provisions of 16 V.S.A. §§ 1075(e), 1093, and 1128(b) which stipulate that a child of parents who become homeless shall be educated in the school district in which the child is found and that a school district may choose not to accept nonresident pupils, in order to comply with the provisions of Public Law 107-110, known as the No Child Left Behind Act of 2001, the provisions of this section shall apply to children who are homeless during school year years 2003-2004 through 2005-2006.  It is the intent of the general assembly to continue to study the provisions of the federal law and to seek guidance from the federal government in order to determine permanent changes to Title 16 that will be necessary to comply with federal law.

(c)  If a child becomes homeless during school year 2003-2004, 2004-2005, or 2005-2006, the child shall either be educated:  in the school of origin for the duration of the homelessness or for the remainder of the academic year if the child becomes permanently housed outside the district of origin; or in the school district in which the child is actually living.  The determination as to which school the child shall attend shall be made by the school board of the school district in which the child is living according to the best interests of the child. 

(e)  Notwithstanding the provisions of 16 V.S.A. § 4001(1)(A) which stipulate that a pupil must be a legal resident of the district attending a school owned and operated by the district in order to be counted in the average daily membership of the district, during the 2003-2004 school year through 2005‑2006 school years, a child who is homeless during the census period shall be counted in the school district or districts in which the child is enrolled.  However, if at any time a homeless child enrolls, pursuant to this section, in a school district other than the district in which the child was counted, the district in which the child is enrolled shall become responsible for the education of the child, including payment of education services and, if appropriate, development and implementation of an individualized education plan.

Approved:  May 12, 2004