Overview

The purpose of Title VII is to establish a system for how states and school districts will be held accountable for improving student achievement.

States and school districts will be granted unprecedented flexibility by this proposal in how they may spend federal education funds. Accountability for student results is expected in return. States will submit plans that address specific accountability requirements. States and schools that make significant progress will be honored with rewards. The Secretary of Education will be authorized to withhold administrative funds from states that fail to make adequate progress.

Sanctions and rewards will be based on state assessment results as confirmed by the results of an annual sample of students in each state on the National Assessment of Educational Progress (NAEP) 4 th and 8 th grade assessment in reading and math.

Summary of Proposals

Frees Schools, Local School Districts, and States with More Flexibility:

Creates a Charter Option for States and Districts on the Cutting-Edge of Accountability and Reform. Interested states or school districts will be able to enter into a charter agreement with the Secretary of Education. The agreement would offer freedom from the current requirements placed on categorical grant programs in return for submitting a five-year performance agreement to the Secretary establishing specific goals for increased student performance. During the course of the charter, states or school districts will be subject to strict accountability for improving student achievement, review during the course of the charter, and sanctions for failing to meet the terms of the agreement. A state or school district would lose "charter" status if student achievement and other performance indicators did not improve as agreed to in the charter.

Increases Funding for the Individuals with Disabilities Education Act (IDEA). IDEA funds will be increased in order to reduce the burden that states and local districts bear in meeting the special needs of their disabled students.*

Increases Accountability for Improved Student Achievement:

Expects States to Improve Academic Achievement. In a manner similar to that in current law, states will, within a reasonable period of transition, submit to the Secretary of Education a consolidated state plan for all ESEA funds. The plan will include assurances that the state:

• Has adopted standards, annual assessments of all children in grades 3-8 in math and reading, reporting, and consequences for academic achievement in LEAs and schools. Federal funds will be available to help pay for such assessments and state accountability systems.

• Has developed a system of sanctions and rewards to hold LEAs accountable for meeting performance objectives.

• Publishes school-by-school report cards for parents, as well as on the Internet for all public schools. These report cards should include math and reading results disaggregated by ethnicity, gender, poverty, students with disabilities as compared to non-disabled students, and English proficiency. These report cards should be integrated with existing state and local report cards where possible.

• Agrees to participate in an annual National Assessment of Educational Progress (NAEP) for grades 4 and 8, in reading and math. Congress would fund administration of the test.

Creates Sanctions for Low-Performing States. The Secretary of Education will be authorized to reduce the amount a state may use for administration of ESEA programs if a state fails to meet its performance objectives. Sanctions will be based on whether a state meets its performance objectives for improving the achievement of disadvantaged students and English language proficiency.

Rewards for High-Performing States and Schools:

Creates an Achievement in Education Fund. The "Achievement in Education" fund will reward high-performing States that have made the greatest progress in closing achievement gaps and improving English proficiency. Performance will be evaluated using state assessment results. Those results will be confirmed with other indicators of academic achievement and the National Assessment of Educational Progress (NAEP).

Grants Bonuses for Early Implementation of Annual Assessments. States that implement annual reading and math assessments in grades 3-8 before the end of the second year after this plan's enactment will be eligible to receive a one-time bonus.

Awards "No Child Left Behind" School Bonuses. This proposal reforms the current Blue Ribbon Schools program. The Secretary of Education will administer a "No Child Left Behind" bonus fund that would honor and provide financial rewards to schools that make significant progress in closing the achievement gap.