STATUTE 100 Pg1145

PUBLIC LAW 99-457—OCT. 8, 1986 100 STAT.
1145
Public Law 99-457
99th Congress
An Act
To amend the Education of the Handicapped Act to reauthorize the discretionary Oct. 8, 1986
programs under that Act, to authorize an early intervention program under that
Act for handicapped infants and toddlers and their families, and for other purposes. [S. 2294]
Be it enacted by the Senate and House of Representatives of the

United States of America in Congress assembled, Education of the
Handicapped
SECTION 1. SHORT TITLE; REFERENCE. Act
Amendments of
(a) SHORT TITLE.—This Act may be cited as the "Education of the 1986.
Handicapped Act Amendments of 1986". Contracts.
(b) REFERENCE.—References in this Act to "the Act" are references Grants.
to the Education of the Handicapped Act. 20 u s e 1400
note.
20 u s e 1400.
TITLE I—HANDICAPPED INFANTS AND TODDLERS
SEC. 101. ADDITION OF A NEW PART RELATING TO HANDICAPPED
INFANTS AND TODDLERS.
(a) AMENDMENT.—The Act is amended by inserting after the part
added by section 316 the following new part:
"PART H—HANDICAPPED INFANTS AND TODDLERS
FINDINGS AND POLICY

"SEC. 671. (a) FINDINGS.—The Congress finds that there is an 20 use 1471.
urgent and substantial need—
"(1) to enhance the development of handicapped infants and
toddlers and to minimize their potential for developmental
delay,
"(2) to reduce the educational costs to our society, including
our Nation's schools, by minimizing the need for special edu-
cation and related services after handicapped infants and tod-
dlers reach school age,
"(3) to minimize the likelihood of institutionalization of handi-
capped individuals and maximize the potential for their
independent living in society, and
"(4) to enhance the capacity of families to meet the special
needs of their infants and toddlers with handicaps.
"(b) POLICY.—It is therefore the policy of the United States to State and local
provide financial assistance to States— governments.
"(1) to develop and implement a statewide, comprehensive,
coordinated, multidisciplinary, interagency program of early
intervention services for handicapped infants and toddlers and
their families, "
"(2) to facilitate the coordination of payment for early inter-
vention services from Federal, State, local, and private sources
(including public and private insurance coverage), and
"(3) to enhance its capacity to provide quality early interven-
tion services and expand and improve existing early interven-
100 STAT. 1146 PUBLIC LAW 99-457—OCT. 8, 1986
tioo services being provided to handicapped infants, toddlers,

and their famiUes.
"DEFINITIONS
20 use 1472. "SEC. 672. As used in this p a r t -

ed) The term 'handicapped infants and toddlers' means
individuals from birth to age 2, inclusive, who need early inter-
vention services because they—
"(A) are experiencing developmental delays, as measured
by appropriate diagnostic instruments and procedures in
one or more of the following areas: Cognitive development,,
physical development, language and speech development,,
psychosocial development, or self-help skills, or
"(B) have a diagnosed physical or mental condition which
has a high probability of resulting in developmental delay.
Such term may also include, at a State's discretion, individuals
from birth to age 2, inclusive, who are at risk of having substan-
tial developmental delays if early intervention services are not
provided.
"(2) 'Early intervention services' are developmental services
which—
"(A) are provided under public supervision,
"(B) are provided at no cost except where Federal or State
law provides for a system of payments by families, includ-
ing a schedule of sliding fees,
(C) are designed to meet a handicapped infant's or tod-
dler's developmental needs in any one or more of the
following areas:
"(i) physical development,
"(ii) cognitive development,
"(iii) language and speech development,
"(iv) psycho-social development, or
"(v) self-help skills,
"(D) meet the standards of the State, including the
requirements of this part,
'^(E) include—
"(i) family training, counseling, and home visits,
"(ii) special instruction,
"(iii) speech pathology and audiology,
"(iv) occupational therapy,
"(v) physical therapy,
"(vi) psychological services,
"(vii) case management services,
"(viii) medical services only for diagnostic or evalua-
tion purposes,
"(ix) early identification, screening, and assessment
services, and
"(x) health services necessary to enable the infant or
toddler to benefit from the other early intervention
services,
"(F) are provided by qualified personnel, including—
"(i) special educators,
"(ii) speech and language pathologists and
audiologists,
"(iii) occupational therapists,
"(iv) physical therapists,
"(v) psychologists,
PUBLIC LAW 99-457—OCT. 8, 1986 100 STAT. 1147
"(vi) social workers,

"(vii) nurses, and
"(viii) nutritionists, and
"(G) are provided in conformity with an individualized
family service plan adopted in accordance with section 677.
"(3) The term 'developmental delay' has the meaning given
such term by a State under section 676(b)(1).
"(4) The term 'Council' means the State Interagency Coordi-
nating Council established under section 682.
GENERAL AUTHORITY
"SEC. 673. The Secretary shall, in accordance with this part, make State and local
grants to States (from their allocations under section 684) to assist governments.
each State to develop a statewide, comprehensive, coordinated, Grants.
20 u s e 1473.
multidisciplinary, interagency system to provide early intervention
services for handicapped infants and toddlers and their families.
GENERAL ELIGIBIUTY
"SEC. 674. In order to be eligible for a grant under section 673 for State and local
any fiscal year, a State shall demonstrate to the Secretary (in its governments.
application under section 678) that the State has established a State Grants.
20 u s e 1474.
Interagency Coordinating Council which meets the requirements of
section 682.
"CONTINUING ELIGIBILITY
"SEC. 675. (a) FIRST TWO YEARS.—In order to be eligible for a grant State and local
under section 673 for the first or second year of a State's participa- governments.
tion under this part, a State shall include in its application under Grants.
section 678 for that year assurances that funds received under 20 u s e 1475.
section 673 shall be used to assist the State to plan, develop, and
implement the statewide system required by section 676.
"(b) THIRD AND FOURTH YEAR.—(1) In order to be eligible for a
grant under section 673 for the third or fourth year of a State's
participation under this part, a State shall include in its application
under section 678 for that year information and assurances dem-
onstrating to the satisfaction of the Secretary that—
"(A) the State has adopted a policy which incorporates all of
the components of a statewide system in accordance with sec-
tion 676 or obtained a waiver from the Secretary under para-
graph (2),
"(B) funds shall be used to plan, develop, and implement the
statewide system required by section 676, and
"(C) such statewide system will be in effect no later than the
beginning of the fourth year of the State's participation under
section 673, except that with respect to section 676(b)(4), a State
need only conduct multidisciplinary assessments, develop
individualized family service plans, and make available case
management services.
"(2) Notwithstanding paragraph (1), the Secretary may permit a
State to continue to receive assistance under section 673 during such
third year even if the State has not adopted the policy required by
paragraph (IXA) before receiving assistance if the State dem-
onstrates in its application—
"(A) that the State has made a good faith effort to adopt such
a policy,
"(B) the reasons why it was unable to meet the timeline and
the steps remaining before such a policy will be adopted, and
"(C) an assurance that the policy will be adopted and go into
effect before the fourth year of such assistance.
"(c) FIFTH AND SUCCEEDING YEARS.—In order to be eligible for a
grant under section 673 for a fifth and any succeeding year of a
State's participation under this part, a State shall include in its
application under section 678 for that year information and assur-
ances demonstrating to the satisfaction of the Secretary that the
State has in effect the statewide system required by section 676 and
a description of services to be provided under section 676(b)(2).
"(d) EXCEPTION.—Notwithstanding subsections (a) and (b), a State
which has in effect a State law, enacted before September 1, 1986,
that requires the provision of free appropriate public education to
handicapped children from birth through age 2, inclusive, shall be
eligible for a grant under section 673 for the first through fourth
years of a State's participation under this part.
"REQUIREMENTS FOR STATEWIDE SYSTEM
20 use 1476. "SEC. 676. (a) IN GENERAL.—A statewide system of coordinated,

comprehensive, multidisciplinary, interagency programs providing
appropriate early intervention services to all handicapped infants
and toddlers and their families shall include the minimum compo-
nents under subsection (b).
"(b) MINIMUM COMPONENTS.—The statewide system required by
subsection (a) shall include, at a minimum—
"(1) a definition of the term 'developmentally delayed' that
will be used by the State in carrying out programs under this
part,
"(2) timetables for ensuring that appropriate early interven-
tion services will be available to all handicapped infants and
toddlers in the State before the beginning of the fifth year of a
State's participation under this part,
"(3) a timely, comprehensive, multidisciplinary evaluation of
the functioning of each handicapped infant and toddler in the
State and the needs of the families to appropriately assist in the
development of the handicapped infant or toddler,
"(4) for each handicapped infant and toddler in the State, an
individualized family service plan in accordance with section
677, including case management services in accordance with
such service plan,
"(5) a comprehensive child find system, consistent with part
B, including a system for making referrals to service providers
that includes timelines and provides for the participation by
primary referral sources,
Public "(6) a public awareness program focusing on early identifica-
information. tion of handicapped infants and toddlers,
"(7) a central directory which includes early intervention
services, resources, and experts available in the State and
research and demonstration projects being conducted in the State,
"(8) a comprehensive system of personnel development,
"(9) a single line of responsibility in a lead agency designated
or established by the Governor for carrying out—
"(A) the general administration, supervision, and mon-
itoring of programs and activities receiving assistance
under section 673 to ensure compliance with this part,
"(B) the identification and coordination of all available

resources within the State from Federal, State, local and
private sources,
"(O the assignment of financial responsibility to the
appropriate agency,
(D) the development of procedures to ensure that serv-
ices are ptrovided to handicapped infants and toddlers and
their families in a timely manner pendii:^ the resolution of
anv disputes among public agencies or service providers,
(E) the rraolution of intra- and interagency disputes, and
"(F) the entry into formal interagency agreements that
define the financial responsibility of each agency for paying
for early intervention services (consistent with State law)
and procedures for resolving disputes and that include all
additional components necessaiy to ensure meaningful co-
operation and coordination,
"(10) a policy pertaining to the contracting or making of other
arrangements with service providers to provide early interven-
tion services in the State, consistent with the provisions of this
part, including the (intents of the application used and the
conditions of the contract or other arrangements,
"(11) a procedure for securing timely reimbursement of funds
used under this part in accordance with section 681(a),
"(12) procedural saft^uards with respect to pn^ams under
this part as required by section 680, and
"(13) policies and procedures relating to the establishment
and mamtenanoe of standards to ensure that personnel nec-
essary to carry out this part are appropriately and adequately
prepared and trained, induding—
"(A) the establishment and maintenance of standards
which are consistent with any State approved or recognized
certification, licensing, r^pystration, or other comparable
requirements which apjply to the area in which such person-
nel are providing early intervention services, and
"(B) to the extent such standards are not based on the
highest requirements in the State applicable to a specific
profession or discipline, the steps the State is taking to
require the retraining or hiring of personnel that meet
appropriate professional requirements in the State, and
"(14) a system for compiling data on the numbers of handi-
capped infants and toddlers and their families in the State in
need of appropriate early intervention services (which may be
based on a sami)ling of data), the numbers of such infants and
toddlers and their famiUes served, the types of services provided
(which may be based on a sampling of data), and other informa-
tion required by the Secretary.
"iNDIVmUALIZED FAMILY SERVICE PLAN
"SEC. 677. (a) ASSESSMENT AND PROGRAM DEVELOPMENT.—Each 20 use 1477.

handicapped infant or toddler and the infant or toddler's family
shall receive—
"(1) a multidisciplinary assessment of unique needs and the
identification of services appropriate to meet such needs, and
"(2) a written individualized family service plan developed by
a multidisciplinary teaan, including the parent or guardian, as
required by subsection (d).
"(b) PERIODIC REVIEW.—The individualized family service plan
shall be evaluated once a year and the family shall be provided a
review of the plan at 6 month-intervals (or more often where
appropriate bsised on infant and toddler and family needs).
"(c) PROMPTNESS AFTER ASSESSMENT.—The individualized family
service plan shall be developed within a reasonable time after the
assessment required by subsection (aXD is completed. With the
parent's consent, early intervention services may commence prior to
the completion of such assessment.
"(d) CONTENT OF PLAN.—The individualized family service plan
shall be in writing and contain—
"(1) a statement of the infant's or toddler's present levels of
physical development, cognitive development, language and
speech development, psycho-social development, and self-help
skills, based on acceptable objective criteria,
"(2) a statement of the family's strengths and needs relating
to enhancing the development of the family's handicapped
infant or toddler,
"(3) a statement of the major outcomes expected to be
achieved for the infant and toddler and the family, and the
criteria, procedures, and timelines used to determine the degree
to which progress toward achieving the outcomes are being
made and whether modifications or revisions of the outcomes or
services are necessary,
"(4) a statement of specific early intervention services nec-
essary to meet the unique needs of the infant or toddler and the
family, including the frequency, intensity, and the method of
delivering services,
"(5) the projected dates for initiation of services and the
anticipated duration of such services,
"(6) the name of the case manager from the profession most
immediately relevant to the infant's and toddler's or family's
needs who will be responsible for the implementation of the
plan and coordination with other agencies and persons, and
"(7) the steps to be taken supporting the transition of the
20 use 1411. handicapped toddler to services provided under part B to the
extent such services are considered appropriate.
"STATE APPUCATION AND ASSURANCES
Grants. "SEC. 678. (a) AppucATiON.—Any State desiring to receive a grant

Regulations. under section 673 for any year shall submit an application to the
20 use 1478. Secretary at such time and in such manner as the Secretary may
reasonably require by regulation. Such an application shall
contain—
"(1) a designation of the lead agency in the State that will be
responsible for the administration of funds provided under
section 673,
"(2) information demonstrating eligibility of the State under
section 674,
"(3) the information or assurances required to demonstrate
eligibility of the State for the particular year of participation
under section 675, and
"(4)(A) information demonstrating that the State has provided
(i) public hearings, (ii) adequate notice of such hearings, and (iii)
an opportunity for comment to the general public before the
submission of such application and before the adoption by the
State of the policies described in such appHcation, and (B) a

summary of the public comments and the State's responses,
"(5) a description of the uses for which funds will be expended
in accordance with this part and for the fifth and succeeding
fiscal years a description of the services to be provided,
"(6) a description of the procedure used to ensure an equitable
distribution of resources made available under this part among
all geographic areas within the State, and
"(7) such other information and assurances as the Secretary
may reasonably require by regulation.
"(b) STATEMENT OF ASSURANCES.—Any State desiring to receive a Regulations.
grant under section 673 shall file with the Secretary a statement at
such time and in such manner as the Secretary may reasonably
require by regulation. Such statement shall—
"(1) assure that funds paid to the State under section 673 will
be expended in accordance with this part,
"(2) contain assurances that the State will comply with the
requirements of section 681,
"(3) provide satisfactory assurance that the control of funds
provided under section 673, and title to property derived there-
from, shall be in a public agency for the uses and purposes
provided in this part and that a public agency will administer
such funds and property,
"(4) provide for (A) making such reports in such form and
containing such information as the Secretary may require to
carry out the Secretary's functions under this part, and (B)
keeping such records and affording such access thereto as the
Secretary may find necessary to assure the correctness and
verification of such reports and proper disbursement of Federal
funds under this part,
"(5) provide satisfactory assurance that Federal funds made
available under section 673 (A) will not be commingled with
State funds, and (B) will be so used as to supplement and
increase the level of State and local funds expended for handi-
capped infants and toddlers and their families and in no case to
supplgmt such State and local funds,
"(6) provide satisfactory assurance that such fiscal control
and fund accounting procedures will be adopted as may be
necessary to assure proper disbursement of, and accounting for,
Federal funds paid under section 673 to the State, and
"(7) such other information and assurances as the Secretary
may reasonably require by regulation.
"(c) APPROVAL OF APPUCATION AND ASSURANCES REQUIRED.—No
State may receive a grant under section 673 unless the Secretary
has approved the application and statement of assurances of that
State. The Secretary shall not disapprove such an application or
statement of assurances unless the Secretary determines, after
notice and opportunity for a hearing, that the application or state-
ment of assurances fails to comply with the requirements of this
section.
"USES OF FUNDS
"SEC. 679. In addition to using funds provided under section 673 to State and local
plan, develop, and implement the statewide system required by governments.
20 u s e 1479.
section 676. a State may use such funds—
"(1) for direct services for handicapped infants and toddlers
that are not otherwise provided from other pubhc or private
sources, and
"(2) to expand and improve on services for handicapped in-
fants and toddlers that are otherwise available.
PROCEDURAL SAFEGUARDS
state and local ''SEC. 680. The procedural safeguards required to be included in a
governments. statewide system under section 676(bX12) shall provide, at a mini-
20 u s e 1480. mum, the following:
"(1) The timely administrative resolution of complaints by
parents. Any party aggrieved by the findings and decision
regarding an administrative complaint shall have the right to
bring a civil action with respect to the complaint, which action
may be brought in any State court of competent jurisdiction or
in a district court of the United States without regard to the
amount in controversy. In any action brought under this para-
graph, the court shall receive the records of the administrative
proceedings, shall hear additional evidence at the request of a
party, and, basing its decision on the preponderance of the
evidence, shall grant such relief as the court determines is
appropriate.
Classified "(2) The right to confidentiality of personally identifiable
information. information.
"(3) The opportunity for parents and a guardian to examine
records relating to assessment, screening, eligibility determina-
tions, and the development and implementation of the individ-
ualized family service plan.
"(4) Procedures to protect the rights of the handicapped
infant and toddlers whenever the parents or guardian of the
child are not known or unavailable or the child is a ward of the
State, including the assignment of an individual (who shall not
be an employee of the State agency providing services) to act as
a surrogate for the parents or guardian.
"(5) Written prior notice to the parents or guardian of the
handicapped infant or toddler whenever the State agency or
service provider proposes to initiate or change or refuses to
initiate or change the identification, evaluation, placement, or
the provision of appropriate early intervention services to the
handicapped infant or toddler.
"(6) Procedures designed to assure that the notice required by
paragraph (5) fully informs the parents or guardian, in the
parents' or guardian's native language, unless it clearly is not
feasible to do so, of all procedures available pursuant to this
section.
"(7) During the pendency of any proceeding or action involv-
ing a complaint, unless the State agency and the parents or
guardian otherwise agree, the child shall continue to receive the
appropriate early intervention services currently being pro-
vided or if appljdng for initial services shall receive the services
not in dispute.
"PAYOR OP LAST RESORT
20 u s e 1481. "SEC. 681. (a) NONSUBSTTTUTION.—Funds provided under section
673 may not be used to satisfy a financial commitment for services
which would have been paid for from another public or private
source but for the enactment of this part, except that whenever
considered necessary to prevent the delay in the receipt of appro-
priate early intervention services by the infant or toddler or family
in a timely fashion, funds provided under section 673 may be used to
pay the provider of services pending reimbursement from the
agency which has ultimate responsibility for the payment.
"(b) REDUCTION OF OTHER BENEFITS.—Nothing in this part shall be
construed to permit the State to reduce medical or other assistance
available or to alter eligibility under title V of the Social Security
Act (relating to maternal and child health) or title XIX of the Social 42 use 701.
Security Act (relating to medicaid for handicapped infants and 42 USC1396.
toddlers) within the State.
"STATE INTERAGENCY COORDINATING COUNCIL
"SEC. 682. (a) ESTABUSHMENT.—(1) Any State which desires to 20 use 1482.
receive financial assistance under section 673 shall establish a State
Interagency Coordinating Council composed of 15 members.
"(2) The Council and the chairperson of the Council shall be
appointed by the Governor. In making appointments to the Council,
the Governor shall ensure that the membership of the Council
reasonably represents the population of the State.
"(b) COMPOSITION.—The Council shall be composed of—
"(1) at least 3 parents of handicapped infants or toddlers or
handicapped children aged 3 through 6, inclusive,
"(2) at least 3 public or private providers of early intervention
services,
"(3) at least one representative from the State legislature,
"(4) at leeist one person involved in personnel preparation,
and
"(5) other members representing each of the appropriate
agencies involved in the provision of or payment for early
intervention services to handicapped infants and toddlers and
their families and others selected by the Governor.
"(c) MEETINGS.—The Council shall meet at least quarterly and in
such places as it deems necessary. The meetings shall be publicly
announced, and, to the extent appropriate, open and accessible to
the general public.
"(d) MANAGEMENT AUTHORITY.—Subject to the approval of the
Governor, the Council may prepare and approve a budget using
funds under this part to hire staff, and obtain the services of such
professional, technical, and clerical personnel as may be necessary
to carry out its functions under this part.
"(e) FUNCTIONS OF COUNCIL.—The Council shall—
"(1) advise and assist the lead agency designated or estab-
lished under section 676(bX9) in the performance of the respon-
sibilities set out in such section, particularly the identification
of the sources of fiscal and other support for services for early
intervention programs, assignment of financial responsibility to
the appropriate agency, and the promotion of the interagency
agreements,
"(2) advise and assist the lead agency in the preparation of
applications and amendments thereto, and
"(3) prepare and submit an annual report to the Governor and Reports.
to the Secretary on the status of early intervention programs
for handicapped infants and toddlers and their families oper-
ated within the State.
"(f) CONFLICT OF INTEREST.—NO member of the Council shall cast a
vote on any matter which would provide direct financial benefit to
that member or otherwise give the appearance of a conflict of
interest under State law.
"(g) USE OF EXISTING COUNCILS.—TO the extent that a State has
established a Council before September 1, 1986, that is comparable
to the Council described in this section, such Council shall be
considered to be in compliance with this section. Within 4 years
after the date the State accepts funds under section 673, such State
shall establish a council that complies in full with this section.
"FEDERAL ADMINISTRATION
State and local "SEC. 683. Sections 616, 617, and 620 shall, to the extent not
governments. inconsistent with this part, apply to the program authorized by this
20 iusc°5'83. P^r*' except that—
20 use 1)416, "(1) any reference to a State educational agency shall be
1417,14^0. deemed to be a reference to the State agency established or
designated under section 676(b)(9),
"(2) any reference to the education of handicapped children
and the education of all handicapped children and the provision
of free public education to all handicapped children shall be
deemed to be a reference to the provision of services to handi-
capped infants and toddlers in accordance with this part, and
"(3) any reference to local educational agencies and inter-
mediate educational agencies shall be deemed to be a reference
to local service providers under this part.
ALLOCATION OF FUNDS
Guam. "SEC. 684. (a) From the sums appropriated to carry out this part
American for any fiscal year, the Secretary may reserve 1 percent for pay-
Samoa.
Virgin Islands. ments to Guam, American Samoa, the Virgin Islands, the Republic
Republic of the of the Marshall Islands, the Federated States of Micronesia, the
Marshall Republic of Palau, and the Commonwealth of the Northern Mariana
Islands. Islands in accordance with their respective needs.
Federated States
of Micronesia. "(b)(1) The Secretary shall make pa)mients to the Secretary of the
Republic of Interior according to the need for such assistance for the provision
Palau. of early intervention services to handicapped infants and toddlers
Commonwealth and their families on reservations serviced by the elementary and
of the
Northern secondary schools operated for Indians by the Department of the
Mariana Interior. The amount of such payment for any fiscal year shall be
Islands. 1.25 percent of the aggregate of the amount available to all States
20 u s e 1484. under this part for that fiscal year.
"(2) The Secretary of the Interior may receive an allotment under
paragraph (1) only after submitting to the Secretary an application
which meets the requirements of section 678 and which is approved
20 u s e 1416. by the Secretary. Section 616 shall apply to any such application.
"(c)(1) For each of the fiscal years 1987 through 1991 from the
funds remaining after the reservation and payments under subsec-
tions (a) and (b), the Secretary shall allot to each State an amount
which bears the same ratio to the amount of such remainder as the
number of infants and toddlers in the State bears to the number of
infants and toddlers in all States, except that no State shall receive
less than 0.5 percent of such remainder.
"(2) For the purpose of paragraph (1)—
"(A) the terms 'infants' and 'toddlers' mean children from

birth to age 2, inclusive, and
"(B) the term 'State' does not include the jurisdictions de-
scribed in subsection (a).
"(d) If any State elects not to receive its allotment under subsec-
tion (c)(1), the Secretary shall reallot, among the remaining States,
amounts from such State in accordance with such subsection.
"AUTHORIZATION OF APPROPRIATIONS
"SEC. 685. There are authorized to be appropriated to carry out 20 USC 1485
this part $50,000,000 for fiscal year 1987, $75,000,000 for fiscal year
1988, and such sums as may be necessary for each of the 3 succeed-
ing fiscal years.".
(b) STUDY OF SERVICES; COORDINATION OF ACTIONS.—(1) The Sec- 20 USC 1485
retary of Education and the Secretary of Health and Human Serv- note.
ices shall conduct a joint study of Federal funding sources and
services for early intervention programs currently available and
shall jointly act to facilitate interagency coordination of Federal
resources for such programs and to ensure that funding available to
handicapped infants, toddlers, children, and youth from Federal
programs, other than programs under the Education of the Handi-
capped Act, is not being withdrawn or reduced. 20 USC 1400.
(2) Not later than 18 months after the date of the enactment of Reports.
this Act, the Secretary of Education and the Secretary of Health and
Human Services shall submit a joint report to the Congress describ-
ing the findings of the study conducted under paragraph (1) and
describing the joint action taken under that paragraph.
TITLE II—HANDICAPPED CHILDREN AGED 3 TO 5

SEC. 201. PRESCHOOL GRANTS.
(a) AMENDMENT.—Section 619 of the Act (20 U.S.C. 1419) is amend-
ed to read as follows:
"PRE-SCHOOL GRANTS
"SEC. 619. (aXD For fiscal years 1987 through 1989 (or fiscal year State and local
1990 if the Secretary makes a grant under this paragraph for such governments.
fiscal year) the Secretary shall make a grant to any State which—
"(A) has met the eligibility requirements of section 612, 20 USC 1412.
"(B) has a State plan approved under section 613, and 20 USC 1413.
"(C) provides special education and related services to handi-
capped children aged three to five, inclusive.
"(2)(A) For fiscal year 1987 the amount of a grant to a State under
paragraph (1) may not exceed—
"(i) $300 per handicapped child aged three to five, inclusive,
who received special education and related services in such
State as determined under section 611(a)(3), or 20 USC 1411.
"(ii) if the amount appropriated under subsection (e) exceeds
the product of $300 and the total number of handicapped chil-
dren aged three to five, inclusive, who received special edu-
cation and related services as determined under section
611(aX3)-
"(I) $300 per handicapped child aged three to five, inclu-
sive, who received special education and related services in
such State as determined under section 611(a)(3), plus
"(II) an a m o u n t equal to the portion of the appropriation
available after allocating funds to all States under
subclause (I) (the excess appropriation) divided by the esti-
mated increase, from t h e preceding fiscal year, in the
n u m b e r of handicapped children aged t h r e e to five, inclu-
sive, who will be receiving special education and related
services in all States multiplied by t h e estimated n u m b e r of
such children in such State.
"(B) For fiscal year 1988, funds shall be distributed in accordance
with clause (i) or (ii) of p a r a g r a p h (2)(A), except t h a t t h e amount
specified therein shall be $400 instead of $300.
"(C) For fiscal year 1989, funds shall be distributed in accordance
with clause (i) or (ii) of p a r a g r a p h (2)(A), except t h a t t h e amount
specified t h e r e i n shall be $500 instead of $300.
"(D) If t h e Secretary makes a g r a n t u n d e r p a r a g r a p h (1) for fiscal
year 1990, t h e a m o u n t of a g r a n t to a S t a t e under such paragraph
may not exceed $1,000 per handicapped child aged t h r e e to five,
inclusive, who received special education and related services in
20 u s e 1411. such S t a t e as determined u n d e r section 611(a)(3).
"(E) If t h e actual n u m b e r of additional children served in a fiscal
year differs from t h e e s t i m a t e m a d e u n d e r clause (ii)(II) of t h e
applicable s u b p a r a g r a p h , s u b p a r a g r a p h (A)(ii)(II), t h e Secretary
shall adjust (upwards or downwards) a State's allotment in t h e
subsequent fiscal year.
"(F)(i) T h e a m o u n t of a g r a n t u n d e r s u b p a r a g r a p h (A), (B), or (C) to
any S t a t e for a fiscal y e a r m a y not exceed $3,800 per estimated
handicapped child aged t h r e e to five, inclusive, who will be receiving
or handicapped child, age t h r e e to five, inclusive, who is receiving
special education a n d related services in such State.
"(ii) If t h e a m o u n t appropriated u n d e r subsection (e) for any fiscal
year exceeds t h e a m o u n t of g r a n t s which m a y be m a d e to t h e States
for such fiscal year, t h e excess a m o u n t appropriated shall r e m a i n
available for obligation u n d e r this section for 2 succeeding fiscal
years.
"(3) To receive a g r a n t u n d e r p a r a g r a p h (1) a S t a t e shall m a k e an
application to t h e Secretary a t such time, in such m a n n e r , and
containing or accompanied by such information as t h e Secretary
m a y reasonably require.
"(bXD For fiscal y e a r 1990 (or fiscal year 1991 if required by
p a r a g r a p h (2)) a n d fiscal years thereafter t h e Secretary shall m a k e a
g r a n t to a n y S t a t e which—
Post, p. 1158. "(A) h a s met t h e eligibility r e q u i r e m e n t s of section 612, and
Post, pp. 1159, "(B) h a s a S t a t e plan approved u n d e r section 613 which
1174. includes policies a n d procedures t h a t a s s u r e t h e availability
under t h e S t a t e law a n d practice of such S t a t e of a free appro-
priate public education for all handicapped children aged t h r e e
to five, inclusive.
"(2) T h e Secretary m a y m a k e a g r a n t u n d e r p a r a g r a p h (1) only for
fiscal year 1990 a n d fiscal y e a r s thereafter, except t h a t if—
"(A) t h e aggregate a m o u n t t h a t was appropriated u n d e r
subsection (e) for fiscal years 1987, 1988, and 1989 was less t h a n
$656,000,000, a n d
"(B) t h e a m o u n t appropriated for fiscal y e a r 1990 u n d e r
subsection (e) is less t h a n $306,000,000,
t h e Secretary m a y not m a k e a g r a n t under p a r a g r a p h (1) until fiscal
y e a r 1991 and shall m a k e a g r a n t u n d e r subsection (a)(1) for fiscal
y e a r 1990.
"(3) The amount of any grant to any State under paragraph (1) for
any fiscal year may not exceed $1,000 for each handicapped child in
such State aged three to five, inclusive.
"(4) To receive a grant under paragraph (1) a State shall make an
application to the Secretary at such time, in such manner, and
containing or accompanied by such information as the Secretary
may reasonably require.
"(cXD For fiscal year 1987, a State which receives a grant under
subsection (a)(1) shall—
"(A) distribute at least 70 percent of such grant to local
educational agencies and intermediate educational units in such
State in accordance with paragraph (3), except that in applying
such section only handicapped children aged three to five,
inclusive, shall be considered,
"(B) use not more than 25 percent of such grant for the
planning and development of a comprehensive delivery system
for which a grant could have been made under section 623(b) in Post, p. 1161.
effect through fiscal year 1987 and for direct and support
services for handicapped children, and
"(C) use not more than 5 percent of such grant for administra-
tive expenses related to the grant.
"(2) For fiscal years beginning after fiscal year 1987, a State which
receives a grant under subsection (aXD or (bXD shall—
"(A) distribute at least 75 percent of such grant to local
educational agencies and intermediate educational units in such
State in accordance with paragraph (3), except that in applying
such section only handicapped children aged three to five,
inclusive, shall be considered,
"(B) use not more than 20 percent of such grant for the
planning and development of a comprehensive delivery system
for which a grant could have been made under section 623(b) in
effect through fiscal year 1987 and for direct and support
services for handicapped children, and
"(C) use not more than 5 percent of such grant for administra-
tive expenses related to the grant.
"(3) From the amount of funds available to local educational
agencies and intermediate educational units in any State under this
section, each local educational agency or intermediate educational
unit shall be entitled to—
"(A) an amount which bears the same ratio to the amount
available under subsection (aX2XAXi) or subsection (aX2XAXiiXI),
as the case may be, as the number of handicapped children aged
three to five, inclusive, who received special education and
related services as determined under section 611(aX3) in such 20 use I4il.
local educational agency or intermediate educational unit bears
to the aggregate number of handicapped children aged three to
five, inclusive, who received special education and related serv-
ices in all local educational agencies and intermediate edu-
cational units in the State entitled to funds under this section,
and
"(B) to the extent funds are available under subsection
(aX2XAXiiXn), an amount which bears the same ratio to the
amount available under subsection (aX2XAXiiXII) as the esti-
mated number of additional handicapped children aged three to
five, inclusive, who will be receiving special education and
related services in such local educational agency or intermedi-
ate educational unit bears to the aggregate number of
handicapped children aged three to five, inclusive, who will be
receiving special education and related services in all local
educational agencies and intermediate educational units in the
State entitled to funds under this section.
"(d) If the sums appropriated under subsection (e) for any fiscal
year for making payments to States under subsection (a)(1) or (b)(1)
are not sufficient to pay in full the maximum amounts which all
States may receive under such subsection for such fiscal year, the
maximum amounts which all States may receive under such subsec-
tion for such fiscal year shall be ratably reduced by first ratably
reducing amounts computed under the excess appropriation provi-
sion of subsection (aX2XAXiiXII)- If additional funds become avail-
able for making such payments for any fiscal year during which the
preceding sentence is applicable, the reduced maximum amounts
shall be increased on the same basis as they were reduced.
"(e) For grants under subsections (aXl) and (bXD there are au-
thorized to be appropriated such sums as may be necessary.".
(b) CONFORMING AMENDMENTS.—
(1) Section 611(aXlXA) of the Act (20 U.S.C. 1411(aXlXA)) is
amended to read as follows:
"(A) the number of handicapped children aged 3-5, inclusive,
in a State who are receiving special education and related
services as determined under paragraph (3) if the State is
20 u s e 1419. eligible for a grant under section 619 and the number of handi-
capped children aged 6-21, inclusive, in a State who are receiv-
ing special education and related services as so determined;".
(2XA) Section 611(gXl) of the Act is amended by striking out
"this part" each place it occurs and inserting in lieu thereof
"subsection (a)".
(B) Section 611(gXl) of the Act is amended by inserting "under
subsection (h)" after "appropriated".
(C) Section 611(gX2) of the Act is amended by striking out
"this part" the first place it occurs and inserting in lieu thereof
"this section".
(3) Section 611 of the Act is amended by adding at the end the
following:
"(h) For grants under subsection (a) there are authorized to be
appropriated such sums as may be necessary.".
20 u s e 1419 (c) EFFECTIVE DATE.—The amendment made by subsection (a) shall
note. take effect with respect to the school year 1987-1988.
SEC. 202. ELIGIBILITY FOR FINANCIAL ASSISTANCE.
20 u s e 1400. Part A of the Act is amended by adding at the end the following:
EUGIBILITY FOR FINANCIAL ASSISTANCE
State and local "SEC. 609. Effective for fiscal years for which the Secretary may
governments. make grants under section 619(bXl), no State or local educational
20 u s e 1408. agency or intermediate educational unit or other public institution
Ante, p. 1155.
20 use or agency may receive a grant under parts C through G which relate
1421-1454; exclusively to programs, projects, and activities pertaining to chil-
post, p. 1172. dren aged three to five, inclusive, unless the State is eligible to
receive a grant under section 61903)(1).".
SEC. 203. SHARING OF COSTS OF FREE APPROPRIATE PUBLIC EDUCATION.
(a) EuGiBiuTY FOR SECTION 611 GRANTS.—Section 612(6) of the Act
(20 U.S.C. 1412(6)) is amended by adding at the end the following:
"This paragraph shall not be construed to limit the responsibility of
agencies other than educational agencies in a State from providing
or paying for some or all of the costs of a free appropriate public
education to be provided handicapped children in the State.",
(b) STATE PLANS.—
(1) Section 613(aX9) of the Act (20 U.S.C. 1413(aX9)) is amended
to read as follows:
"(9) provide satisfactory assurance that Federal funds made
available under this part (A) will not be commingled with State
funds, and (B) will be so used as to supplement and increase the
level of Federal, State, and local funds (including funds that are
not under the direct control of State or local educational agen-
cies) expended for special education and related services pro-
vided to handicapped children under this part and in no case to
supplant such Federal, State, and local funds, except that,
where the State provides clear and convincing evidence that all
handicapped children have available to them a free appropriate
public education, the Secretary may waive in part the require-
ment of this clause if he concurs with the evidence provided by
the State;".
(2) Section 613(a) of the Act is amended by striking out "and"
at the end of paragraph (11), by striking out the period at the
end of paragraph (12) and inserting in lieu thereof a semicolon,
and by adding at the end the following:
"(13) set forth policies and procedures for developing and
implementing interagency agreements between the State edu-
cational agency and other appropriate State and local agencies
to (A) define the financial responsibility of each agency for
providing handicapped children and youth with free appro-
priate public education, and (B) resolve interagency disputes,
including procedures under which local educational agencies
may initiate proceedings under the agreement in order to
secure reimbursement from other agencies or otherwise imple-
ment the provisions of the agreement.".
(3) Section 613 of the Act is amended by adding at the end the
following:
"(e) This Act shall not be construed to permit a State to reduce
medical and other assistance available or to alter eligibility under
titles V and XIX of the Social Security Act with respect to the 42 USC 701,
provision of a free appropriate public education for handicapped 1396.
children within the State; and".
TITLE III—DISCRETIONARY PROGRAMS

SEC. 301. REGIONAL RESOURCE CENTERS.
Section 621 of the Act (20 U.S.C. 1421) is amended to read as
follows:
"REGIONAL RESOURCE AND FEDERAL CENTERS
"SEC. 621. (a) The Secretary may make grants to, or enter into Grants.
contracts or cooperative agreements with, institutions of higher Contracts.
education, public agencies, private nonprofit organizations, State governments^
educational agencies, or combinations of such agencies or institu-
tions (which combinations may include one or more local edu-
cational agencies) within particular regions of the United States, to
pay all or part of the cost of the establishment and operation of
regional resource centers. Each regional resource center shall pro-
vide consultation, technical assistance, and training to State edu-
cational agencies and through such State educational agencies to
local educational agencies and to other appropriate State agencies
providing early intervention services. The services provided by a
regional resource center shall be consistent with the priority needs
identified by the States served by the center and the findings of the
Secretary in monitoring reports prepared by the Secretary under
20 use 1417. section 617 of the Act. Each regional resource center established or
operated under this section shall—
"(1) assist in identifying and solving persistent problems in
providing quality special education and related services for
handicapped children and youth and early intervention services
to handicapped infants and toddlers and their families,
"(2) assist in developing, identifying, and replicating success-
ful programs and practices which will improve special education
and related services to handicapped children and youth and
their families and early intervention services to handicapped
infants and toddlers and their families,
"(3) gather and disseminate information to all State edu-
cational agencies within the region and coordinate activities
with other centers assisted under this subsection and other
relevant projects conducted by the Department of Education,
"(4) assist in the improvement of information dissemination
to and training activities for professionals and parents of handi-
capped infants, toddlers, children, and youth, and
"(5) provide information to and training for agencies, institu-
tions, and organizations, regarding techniques and approaches
for submitting applications for grants, contracts, and coopera-
20 use tive agreements under this part and parts D through G.
1422-1454; "(b) In determining whether to approve an application for a
post, p. 1172. project under subsection (a), the Secretary shall consider the need
for such a center in the region to be served by the applicant and the
capability of the applicant to fulfill the responsibilities under
subsection (a).
Reports. "(c) Each regional resource center shall report a summary of
materials produced or developed and the summaries reported shall
be included in the annual report to Congress required under section
20 use 1418. 618.
"(d) The Secretary may establish one coordinating technical
assistance center focusing on national priorities established by the
Secretary to assist the regional resource centers in the delivery of
technical assistance, consistent with such national priorities.
"(e) Before using funds made available in any fiscal year to carry
out this section for purposes of subsection (d), not less than the
amount made available for this section in the previous fiscal year
shall be made available for regional resource centers under subsec-
tion (a) and in no case shall more than $500,000 be made available
for the center under subsection (d).".
SEC. 302. SERVICES FOR DEAF-BLIND CHILDREN AND YOUTH.
20 use 1422. Section 622 is amended by adding at the end thereof the following
new subsections:
Grants. "(e) The Secretary is authorized to make grants to, or enter into
Contracts. contracts or cooperative agreements with, public or nonprofit pri-
vate agencies, institutions, or organizations for the development and
operation of extended school year demonstration programs for se-
verely handicapped children and youth, including deaf-blind chil-

dren and youth.
"(f) The Secretary may make grants to, or enter into contracts or Grants.
cooperative agreements with, the entities under section 624(a) for Contracts.
the purposes in such section.". Post, p. 1162.
SEC. 303. EARLY EDUCATION FOR HANDICAPPED CHILDREN.

follows:
" E A R L Y EDUCATION FOR HANDICAPPED CHILDREN
"SEC. 623. (aXD The Secretary may arrange by contract, grant, or Contracts.
cooperative agreement with appropriate public agencies and private Grants.
nonprofit organizations, for the development and operation of State and local
governments.
experimental, demonstration, and outreach preschool and early
intervention programs for handicapped children which the Sec-
retary determines show promise of promoting a comprehensive and
strengthened approach to the special problems of such children.
Such programs shall include activities and services designed to (1)
facilitate the intellectual, emotional, physical, mental, social,
speech, language development, and self-help skills of such children,
(2) encourage the participation of the parents of such children in the
development and operation of any such program, and (3) acquaint
the community to be served by any such program with the problems
and potentialities of such children, (4) offer training about exem-
plary models and practices to State and local personnel who provide
services to handicapped children from birth through eight, and (5)
support the adaption of exemplary models and practices in States
and local communities.
"(2) Programs authorized by paragraph (1) shall be coordinated
with similar programs in the schools operated or supported by State
or local educational agencies of the community to be served and
with similar programs operated by other public agencies in such
community.
"(3) As much as is feasible, programs assisted under paragraph (1) Urban areas.
shall be geographically dispersed throughout the Nation in urban as Rural areas.
well as rural areas.
"(4XA) Except as provided in subparagraph (B), no arrangement
under paragraph (1) shall provide for the payment of more than 90
percent of the total annual costs of development, operation, and
evaluation of any program. Non-Federal contributions may be in
cash or in kind, fairly evaluated, including plant, equipment, and
services.
"(B) The Secretary may waive the requirement of subparagraph Indians.
(A) in the case of an arrangement entered into under paragraph (1)
with governing bodies of Indian tribes located on Federal or State
reservations and with consortia of such bodies.
"Q)) The Secretary shall arrange by contract, grant, or cooperative Contracts.
agreement with appropriate public agencies and private nonprofit Grants.
organizations for the establishment of a technical assistance devel- State and local
governments.
opment system to assist entities operating experimental, demonstra-
tion, and outreach programs and to assist State agencies to expand
and improve services provided to handicapped children.
"(c) The Secretary shall arrange by contract, grant, or cooperative
agreement with appropriate public agencies and private nonprofit
organizations for the establishment of early childhood research
institutes to carry on sustained research to generate and dissemi-
nate new information on preschool and early intervention for handi-

capped children and their families.
Grants. "(d) The Secretary may make grants to, enter into contracts or
Contracts. cooperative agreements under this section with, such organizations
or institutions, as are determined by the Secretary to be appro-
priate, for research to identify and meet the full range of special
needs of handicapped children and for training of personnel for
programs specifically designed for handicapped children.
Federal "(e) At least one year before the termination of a grant, contract,
Register, or cooperative agreement made or entered into under subsections (b)
publication.
and (c), the Secretary shall publish in the Federal Register a notice
of intent to accept application for such a grant, contract, or coopera-
tive agreement contingent on the appropriation of sufficient funds
by Congress.
"(f) For purposes of this section the term 'handicapped children'
includes children from birth through eight years of age.".
SEC. 304. PROGRAMS FOR SEVERELY HANDICAPPED CHILDREN.
follows:
PROGRAMS FOR SEVERELY HANDICAPPED CHILDREN
Grants. "SEC. 624. (a) The Secretary may make grants to, or enter into
Contracts. contracts or cooperative agreements with, such organizations or
institutions, as are determined by the Secretary to be appropriate, to
address the needs of severely handicapped children and youth, for—
"(1) research to identify and meet the full range of special
needs of such handicapped children and youth,
"(2) the development or demonstration of new, or improve-
ments in, existing, methods, approaches, or techniques which
would contribute to the adjustment and education of such
handicapped children and youth,
"(3) training of personnel for programs specifically designed
for such children, and
"(4) dissemination of materials and information about prac-
tices found effective in working with such children and youth.
"(b) In making grants and contracts under subsection (a), the
Secretary shall ensure that the activities funded under such grants
and contracts will be coordinated with similar activities funded from
grants and contracts under other sections of this Act.
Urban areas. "(c) To the extent feasible, programs, authorized by subsection (a)
Rural areas. shall be geographically dispersed throughout the nation in urban
and rural areas.'.
SEC. 305. POSTSECONDARY EDUCATION PROGRAMS.
20 u s e 1424a. Section 625 is amended to read as follows:
POSTSECONDARY EDUCATION
Grants. "SEC. 625. (a)(1) The Secretary may make grants to, or enter into
Contracts. contracts with, State educational agencies, institutions of higher
education, junior and community colleges, vocational and technical
institutions, and other appropriate nonprofit educational agencies
for the development, operation, and dissemination of specially de-
signed model programs of postsecondary, vocational, technical,
continuing, or adult education for handicapped individuals.
"(2) In making grants or contracts on a competitive basis under

paragraph (1), the Secretary shall give priority consideration to 4
regional centers for the deaf and to model programs for individuals
with handicapping conditions other than deafness—
"(A) for developing and adapting programs of postsecondary,
vocational, technical, continuing, or adult education to meet the
special needs of handicapped individuals, and
"(B) for programs that coordinate, facilitate, and encourage
education of handicapped individuals with their nonhandi-
capped peers.
"(3) Persons operating programs for handicapped persons under a
grant or contract under paragraph (1) must coordinate their efforts
with and disseminate information about their activities to the
clearinghouse on postsecondary programs established under section
633(b). 20 u s e 1433.
"(4) At least one year before the termination of a grant or contract Federal
with any of the 4 regional centers for the deaf, the Secretary shall Register,
publication.
publish in the Federal Register a notice of intent to accept applica-
tion for such grant or contract, contingent on the appropriation of
sufficient funds by Congress.
"(5) To the extent feasible, programs authorized by paragraph (1)
shall be geographically dispensed throughout the nation in urban
and rural areas.
"(6) Of the sums made available for programs under paragraph (1),
not less than $2,000,000 shall first be available for the 4 regional
centers for the deaf.
"(b) For the purposes of subsection (a) the term 'handicapped
individuals' means individuals who are mentally retarded, hard of
hearing, deaf, speech or language impaired, visually handicapped,
seriously emotionally disturbed, orthopedically impaired, other
health impaired individuals, or individuals with specific learning
disabilities who by reason thereof require special education and
related services.".
SEC. 306. SECONDARY EDUCATION AND TRANSITIONAL SERVICES FOR
HANDICAPPED YOUTH.
Section 626 of the Act is amended to read as follows: 20 u s e 1425.
SECONDARY EDUCATION AND TRANSITIONAL SERVICES FOR

HANDICAPPED YOUTH
contracts with, institutions of higher education, State educational Contracts.
State and local
agencies, local educational agencies, or other appropriate public and governments.
private nonprofit institutions or agencies (including the State job
training coordinating councils and service delivery area administra-
tive entities established under the Job Training Partnership Act
(Public Law 97-300)) to— 29 u s e 1501
"(1) strengthen and coordinate special education and related note.
services for handicapped youth currently in school or who
recently left school to assist them in the transition to post-
secondary education, vocational training, competitive employ-
ment (including supported employment), continuing education,
or adult services,
"(2) stimulate the improvement and development of programs
for secondary special education, and
"(3) stimulate the improvement of the vocational and life

skills of handicapped students to enable them to be better
prepared for transition to adult life and services.
Urban areas. To the extent feasible, such programs shall be geographically dis-
Rural areas. persed through the Nation in urban and rural areas.
"(b) Projects assisted under subsection (a) may include—
"(1) developing strategies and techniques for transition to
independent living, vocational training, vocational rehabilita-
tion, postsecondary education, and competitive employment
(including supported employment) for handicapped youth,
"(2) establishing demonstration models for services, programs,
and individualized education programs, which emphasize voca-
tional training, transitional services, and placement for handi-
capped youth,
"(3) conducting demographic studies which provide informa-
tion on the numbers, age levels, types of handicapping condi-
tions, and services required for handicapped youth in need of
transitional programs,
"(4) specially designed vocational programs to increase the
potential for competitive employment for handicapped youth,
"(5) research and development projects for exemplary service
delivery models and the replication and dissemination of
successful models,
"(6) initiating cooperative models between educational agen-
cies and adult service agencies, including vocational rehabilita-
tion, mental health, mental retardation, public employment,
and employers, which facilitate the planning and developing of
transitional services for handicapped youth to postsecondary
education, vocational training, employment, continuing edu-
cation, and adult services,
"(7) developing appropriate procedures for evaluating voca-
tional training, placement, and transitional services for handi-
capped youth,
"(8) conducting studies which provide information on the
numbers, age levels, types of handicapping conditions and rea-
sons why handicapped youth drop out of school,
"(9) developing special education curriculum and instruc-
tional techniques that will improve handicapped students' ac-
quisition of the skills necessary for transition to adult life and
services, and
"(10) specifically designed physical education and therapeutic
recreation programs to increase the potential of handicapped
youths for community participation.
"(c) For purposes of paragraphs (1) and (2) of subsection (b), if an
applicant is not an educational agency, such applicant shall coordi-
nate with the State educational agency.
"(d) Applications for assistance under subsection (a) other than for
the purpose of conducting studies or evaluations shall—
"(1) describe the procedures to be used for disseminating
relevant findings and data to regional resource centers,
clearinghouses, and other interested persons, agencies, or
organizations,
(2) describe the procedures that will be used for coordinating
services among agencies for which handicapped youth are or
will be eligible, and
"(3) to the extent appropriate, provide for the direct participa-
tion of handicapped students and the parents of handicapped
students in the planning, development, and implementation of
such projects.
"(e) The Secretary is authorized to make grants to, or to enter into Grants,
contracts or cooperative agreements with, such organizations or Contracts,
institutions as are determined by the Secretary to be appropriate for
the development or demonstration of new or improvements in exist-
ing methods, approaches, or techniques which will contribute to the
adjustment and education of handicapped children and youth and
the dissemination of materials and information concerning practices
found effective in working with such children and youth.
"(f) The Secretary, as appropriate, shall coordinate programs
described under subsection (a) with projects developed under section
311 of the Rehabilitation Act of 1973.". 29 USC 777a.
SEC. 307. AUTHORIZATION.
Section 628 is amended to read as follows: 20 USC 1427.
"SEC. 628. (a) There are authorized to be appropriated to carry out

section 621, $6,700,000 for fiscal year 1987, $7,100,000 for fiscal year
1988, and $7,500,000 for fiscal year 1989.
"(b) There are authorized to be appropriated to carry out section
622, $15,900,000 for fiscal year 1987, $16,800,000 for fiscal year 1988,
and $17,800,000 for fiscal year 1989.
"(c) There are authorized to be appropriated to carry out section
"(d) There are authorized to be appropriated to carry out section
"(e) There are authorized to be appropriated to carry out section
"(f) There are authorized to be appropriated to carry out section
and $8,100,000 for fiscal year 1989.".
SEC. 308. GRANTS FOR PERSONNEL TRAINING.
follows:
"GRANTS FOR PERSONNEL TRAINING
"SEC. 631. (a)(1) The Secretary may make grants, which may
include scholarships with necessary stipends and allowances, to
institutions of higher education (including the university-affiliated
facilities program under the Rehabilitation Act of 1973 and satellite 29 USC 701 note,
network of the developmental disabilities program) and other appro-
priate nonprofit agencies to assist them in training personnel for
careers in special education and early intervention, including—
"(A) special education teaching, including speech-language
pathology and audiology, and adaptive physical education,
"(B) related services to handicapped children and youth in
educational settings,
"(C) special education supervision and administration,
"(D) special education research, and
"(E) training of special education personnel and other person-
nel providing special services and pre-school and early interven-
tion services for handicapjDed children.
State and local "(2)(A) In making grants under paragraph (1), the Secretary shall
governments. base the determination of such grants on information relating to the
present and projected need for the personnel to be trained based on
identified State, regional, or national shortages, and the capacity of
the institution or agency to train qualified personnel, and other
information considered appropriate by the Secretary.
"(B) The Secretary shall ensure that grants are only made under
paragraph (1) to applicant agencies and institutions that meet State
and professionally recognized standards for the preparation of spe-
cial education and related services personnel unless the grant is for
the purpose of assisting the applicant agency or institution to meet
such standards.
Fellowships. "(3) Grants under paragraph (1) may be used by institutions to
assist in covering the cost of courses of training or study for such
personnel and for establishing and maintaining fellowships or
traineeships with such stipends and allowances as may be deter-
mined by the Secretary.
"(4) The Secretary in carrying out paragraph (1) may reserve a
sum not to exceed 5 percent of the amount available for paragraph
(1) in each fiscal year for contracts to prepare personnel in areas
where shortages exist when a response to that need has not been
adequately addressed by the grant process.
"(b) The Secretary may make grants to institutions of higher
education and other appropriate nonprofit agencies to conduct spe-
cial projects to develop and demonstrate new approaches (including
the application of new technology) for the preservice training pur-
poses set forth in subsection (a), for regular educators, for the
training of teachers to work in community and school settings with
handicapped secondary school students, and for the inservice train-
ing of special education personnel, including classroom aides, re-
lated services personnel, and regular education personnel who serve
handicapped children and personnel providing early intervention
services.
"(c)(1) The Secretary may make grants through a separate com-
petition to private nonprofit organizations for the purpose of provid-
ing training and information to parents of handicapped children and
persons who work with parents to enable such individuals to partici-
pate more effectively with professionals in meeting the educational
needs of handicapped children. Such grants shall be designed to
meet the unique training and information needs of parents of
handicapped children living in the area to be served by the grant,
particularly those who are members of groups that have been
traditionally underrepresented.
"(2) In order to receive a grant under paragraph ( D a private
nonprofit organization shall—
"(A) be governed by a board of directors on which a majority
of the members are parents of handicapped children and which
includes members who are professionals in the field of special
education and related services who serve handicapped children
and youth, or if the nonprofit private organization does not have
such a board, such organization shall have a membership which
represents the interests of individuals with handicapping condi-
tions, and shall establish a special governing committee on
which a majority of the members are parents of handicapped
children and which includes members who are professionals in

the fields of special education and related services, to operate
the training and information program under paragraph (1),
"(B) serve the parents of children with the full range of
handicapping conditions under such grant program, and
"(C) demonstrate the capacity and expertise to conduct effec-
tively the training and information activities for which a grant
may be made under paragraph (1).
"(3) The board of directors or special governing committee of a
private nonprofit organization receiving a grant under paragraph (1)
shall meet at least once in each calendar quarter to review the
parent training and information activities for which the grant is
made, and each such committee shall advise the governing board
directly of its views and recommendations. Whenever a private
nonprofit organization requests the renewal of a grant under para-
graph (1) for a fiscal year, the board of directors or the special
governing committee shall submit to the Secretary a written review
of the parent training and information program conducted by that
private nonprofit organization during the preceding fiscal year.
"(4) The Secretary shall ensure that grants under paragraph (1) Urban areas.
will— Rural areas.
State and local
"(A) be distributed geographically to the greatest extent pos- governments.
sible throughout all the States and give priority to grants which
involve unserved areas, and
"(B) be targeted to parents of handicapped children in both
urban and rural areas or on a State or regional basis.
"(5) Parent training and information programs assisted under
paragraph (1) shall assist parents to—
"(A) better understand the nature and needs of the handi-
capping conditions of children,
"(B) provide followup support for handicapped children's edu-
cational programs,
"(C) communicate more effectively with special and regular
educators, administrators, related services personnel, and other
relevant professionals,
"(D) participate in educational decisionmaking processes
including the development of a handicapped child's individual-
ized educational program,
"(E) obtain information about the programs, services, and
resources available to handicapped children and the degree to
which the programs, services, and resources are appropriate,
and
"(F) understand the provisions for the education of handi-
capped children as specified under part B of this Act. 20 u s e 1411.
"(6) Parent training and information programs may, at a grant State and local
recipient's discretion, include State or local educational personnel governments.
where such participation will further an objective of the program
assisted by the grant.
"(7) Each private nonprofit organization operating a program
receiving a grant under paragraph (1) shall consult with appropriate
agencies which serve or assist handicapped children and youth and
are located in the jurisdictions served by the program.
"(8) The Secretary shall provide technical assistance, by grant or
contract, for establishing, developing, and coordinating parent train-
ing and information programs.".
SEC. 309. GRANTS FOR STATE EDUCATIONAL AGENCIES AND INSTITU-
TIONS FOR TRAINEESHIPS.
follows:
GRANTS TO STATE EDUCATIONAL AGENCIES AND INSTITUTIONS FOR
TRAINEESHIPS
"SEC. 632. The Secretary shall make grants to each State edu-
cational agency and may make grants to institutions of higher
education to assist in establishing and maintaining preservice and
inservice programs to prepare personnel to meet the needs of handi-
capped infants, toddlers, children, and youth or supervisors of such
persons, consistent with the personnel needs identified in the State's
comprehensive system of personnel development under section
Ante, p. 1159; 613.".
post, p. 1174.
SEC. 310. CLEARINGHOUSES.
State and local (a) IN GENERAL.—Subsection (a) of section 633 of the Act (20 U.S.C.
governments. 1433) is amended by striking out "to achieve" and all that follows in
that subsection and inserting in lieu thereof the following: "to
disseminate information and provide technical assistance on a na-
tional basis to parents, professionals, and other interested parties
concerning—
"(1) programs relating to the education of the handicapped
under this Act and under other Federal laws, and
"(2) participation in such programs, including referral of
individuals to appropriate national. State, and local agencies
and organizations for further gissistance.".
(b) ADDITIONAL CLEARINGHOUSE.—Section 633 of the Act is
amended by redesignating subsection (c) as subsection (d) and by
inserting after subsection (b) the following:
Grants. "(c) The Secretary shall make a grant or enter into a contract for
Contracts. a national clearinghouse designed to encourage students to seek
careers and professional personnel to seek employment in the var-
ious fields relating to the education of handicapped children and
youth through the following:
"(1) Collection and dissemination of information on current
and future national, regional, and State needs for special edu-
cation and related services personnel.
"(2) Dissemination to high school counselors and others
concerning current career opportunities in special education,
location of programs, and various forms of financial assistance
(such as scholarships, stipends, and allowances).
"(3) Identification of training programs available around the
country.
"(4) Establishment of a network among local and State edu-
cational agencies and institutions of higher education concern-
ing the supply of graduates and available openings.
"(5) Technical assistance to institutions seeking to meet State
and professionally recognized standards.".
(c) TECHNICAL AMENDMENT.—The heading for section 633 of the
Act is amended to read as follows:
CLEARINGHOUSES

follows:
"SEC. 635. (a) There are authorized to be appropriated to carry out

this part (other than section 633) $70,400,000 for fiscal year 1987,
$74,500,000 for fiscal year 1988, and $79,000,000 for fiscal year 1989.
There are authorized to be appropriated to carry out section 633,
$1,200,000 for fiscal year 1987, $1,900,000 for fiscal year 1988, and
$2,000,000 for fiscal year 1989.
"(b) Of the funds appropriated pursuant to subsection (a) for any
fiscal year, the Secretary shall reserve not less than 65 per centum
for activities described in subparagraphs (A) through (E) of section
631(a)(1).
"(c) Of the funds appropriated under subsection (a) for any fiscal
year, the Secretary shall reserve 10 percent for activities under
section 631(c).".
SEC. 312. RESEARCH AND DEMONSTRATION PROJECTS IN EDUCATION OF
HANDICAPPED CHILDREN.
follows:
"RESEARCH AND DEMONSTRATION PROJECTS IN EDUCATION OF
HANDICAPPED CHILDREN
contracts or cooperative agreements with. State and local edu- Contracts,
cational agencies, institutions of higher education, and other public
agencies and nonprofit private organizations for research and re-
lated activities to assist special education personnel, related services
personnel, early intervention personnel, and other appropriate per-
sons, including parents, in improving the special education and
related services and early intervention services for handicapped
infants, toddlers, children, and youth, and to conduct research,
surveys, or demonstrations relating to the provision of services to
handicapped infants, toddlers, children, and youth. Research and
related activities shall be designed to increase knowledge and under-
standing of handicapping conditions, and teaching, learning, and
education-related developmental practices and services for handi-
capped infants, toddlers, children and youth. Research and related
activities assisted under this section shall include the following:
"(1) The development of new and improved techniques and
devices for teaching handicapped infants, toddlers, children and
youth.
"(2) The development of curricula which meet the unique
educational and developmental needs of handicapped infants,
toddlers, children and youth.
"(3) The application of new technologies and knowledge for
the purpose of improving the instruction of handicapped in-
fants, toddlers, children and youth.
"(4) The development of program models and exemplary prac-
tices in areas of special education and early intervention.
"(5) The dissemination of information on research and related

activities conducted under this part to regional resource centers
and interested individuals and organizations.
"(6) The development of instruments, including tests, inven-
tories, and scales for measuring progress of handicapped
infants, toddlers, children and youth across a number of
developmental domains.
"(b) In carrying out subsection (a), the Secretary shall consider the
special education or early intervention experience of applicants
under such subsection.
Federal "(c) The Secretary shall publish proposed research priorities in
Register, the Federal Register every 2 years, not later than July 1, and shall
publication.
allow a period of 60 days for public comments and suggestions. After
analyzing and considering the public comments, the Secretary shall
publish final research priorities in the Federal Register not later
than 30 days after the close of the comment period.
Reports. "(d) The Secretary shall provide an index (including the title of
each research project and the name and address of the researching
organization) of all research projects conducted in the prior fiscal
Post, p. 1174. year in the annual report described under section 618. The Sec-
retary shall make reports of research projects available to the
education community at large and to other interested parties.
"(e) The Secretary shall coordinate the research priorities estab-
lished under subsection (c) with research priorities established by
the National Institute of Handicapped Research and shall provide
information concerning research priorities established under such
subsection to the National Council on the Handicapped, and to the
Bureau of Indian Affairs Advisory Committee for Exceptional
Children.".
SEC. 313. PANELS AND EXPERTS.
follows:
"PANELS OF EXPERTS
"SEC. 643. (a) The Secretary shall convene, in accordance with

subsection (b), panels of experts who are competent to evaluate
20 use proposals for projects under parts C through G. The panels shall be
1421-1454; composed of—
post, p. 1172.
"(1) individuals from the field of special education for the
handicapped and other relevant disciplines who have significant
expertise and experience in the content areas and age levels
addressed in the proposals, and
"(2) handicapped individuals and parents of handicapped
individuals when appropriate.
"(b)(1) The Secretary shall convene panels under subsection (a) for
any application which includes a total funding request exceeding
$60,000 and may convene or otherwise appoint panels for applica-
tions which include funding requests that are less than such
amount.
"(2) Such panels shall include a majority of non-Federal members.
Such non-Federal members shall be provided travel and per diem
not to exceed the rate provided to other educational consultants
used by the Department and shall be provided consultant fees at
such a rate.
"(c) The Secretary may use funds available under parts C through
G to pay expenses and fees of non-Federal members under subsec- 20 USC
tion (b).". 1421-1454;
post, p. 1172.
follows:
"SEC. 644. For purposes of carrying out this part, there are
authorized to be appropriated $18,000,000 for fiscal year 1987,
$19,000,000 for fiscal year 1988, and $20,100,000 for fiscal year
1989.".
SEC. 315. CAPTIONED FILMS AND EDUCATIONAL MEDIA FOR HANDI-
CAPPED PERSONS.
(a) ILLITERACY.—Subsection (a) of section 652 of the Act (20 U.S.C.
1452) is amended—
(1) by striking out "in accordance with regulations" and
inserting in lieu thereof ", including for the purpose of address-
ing problems of illiteracy among the handicapped",
(2) by inserting after "available" the following: ", in accord-
ance with regulations,".
(b) AUTHORIZED USES.—(1) Subsection (b)(4) of section 652 of the
Act is amended by inserting after "handicapped" the following: ",
public libraries,".
(2) Subsection (b)(7) is amended by striking the period and insert-
ing in lieu thereof "; and", and by adding the following:
"(8) provide by grant or contract for educational media and
materials for the deaf.".
(c) NATIONAL THEATRE OF THE DEAF.—Section 652 of the Act is
amended by adding at the end the following:
"(c) The Secretary may make grants to or enter into contracts or Grants,
cooperative agreements with the National Theatre of the Deaf, Inc. Contracts.
for the purpose of providing theatrical experiences to—
"(1) enrich the lives of deaf children and adults,
"(2) increase public awareness and understanding of deafness
and of the artistic and intellectual achievements of deaf people,
and
"(3) promote the integration of hearing and deaf people
through shared cultural experiences.".
Section 653 of the Act (20 U.S.C. 1453) is repealed and section 654
of the Act (20 U.S.C. 1454) is redesignated as section 653 and
"AUTHORIZATION
"SEC. 653. For the purposes of carrying out this part, there are 20 use 1454.
$15,750,000 for fiscal year 1988, and $16,540,000 for fiscal year
1989.".
SEC. 317. TECHNOLOGY, EDUCATIONAL MEDIA, AND MATERIALS FOR THE
HANDICAPPED.
The Act is amended by adding after part F the following: 20 USC 1451.
71-19A 0 - 89 - A : QL. 3 Part2

"PART G—TECHNOLOGY, EDUCATIONAL MEDIA, AND MATERIALS FOR
THE H A N D I C A P P E D
" F I N A N C I A L ASSISTANCE
Contracts. SEC. 661. The Secretary may make grants or enter into contracts
20 use 1461. or cooperative agreements with institutions of higher education.
State and local educational agencies, or other appropriate agencies
and organizations for the purpose of advancing the use of new
technology, media, and materials in the education of handicapped
students and the provision of early intervention to handicapped
infants and toddlers. In carrying out this subsection, the Secretary
may fund projects or centers for the purposes of—
"(1) determining how technology, media, and materials are
being used in the education of the handicapped and how they
can be used more effectively,
"(2) designing and adapting new technology, media, and mate-
rials to improve the education of handicapped students,
"(3) assisting the public and private sectors in the develop-
ment and marketing of new technology, media, and materials
for the education of the handicapped, and
"(4) disseminating information on the availability and use of
new technology, media, and materials for the education of the
handicapped.
20 use 1462. "SEC. 662. For the purposes of carrying out this part, there are
$10,500,000 for fiscal year 1988, and $11,025,000 for fiscal year 1989."
TITLE IV—MISCELLANEOUS
SEC. 401. REMOVAL OF ARCHITECTURAL BARRIERS.
Section 607(a) of the Act (20 U.S.C. 1406) is amended by inserting
"with the Secretary of the Interior and" after "cooperative
agreements".
SEC. 402. DEFINITIONS.
Section 602(a) of the Act (20 U.S.C. 1401(a)) is amended—
(1) in paragraph (11), by striking out "and" at the end of
subparagraph (D), by striking out the period at the end of
subparagraph (E) and inserting in lieu thereof "; and", and by
adding at the end the following:
"(F) The term includes community colleges receiving funding
25 use 1801 from the Secretary of the Interior under Public Law 95-471.",
note. and
(2) by adding at the end the following:
"(23)(A) The term 'public or private nonprofit agency or organiza-
tion' includes an Indian tribe.
"(B) The terms 'Indian', 'American Indian', and 'Indian American'
mean an individual who is a member of an Indian tribe.
"(C) The term 'Indian tribe' means any Federal or State Indian
tribe, band, rancheria, pueblo, colony, or community, including any
Alaskan native village or regional village corporation (as defined in
43 use 1601 or established under the Alaska Native Claims Settlement Act).".
note.
SEC. 403. ALLOCATION; STATE ADMINISTRATION.
(a) ALLOCATION.—Section 611(aX5)(A) of the Act (20 U.S.C.
1411(a)(5XA)) is amended to read as follows:
"(5XA) In determining the allotment of each State under para-
graph (1), the Secretary may not count—
"(i) handicapped children aged three to seventeen, inclusive,
in such State under paragraph (IXA) to the extent the number
of such children is greater than 12 percent of the number of all
children aged three to seventeen, inclusive, in such State and
the State serves all handicapped children aged three to five,
inclusive, in the State pursuant to State law or practice or the
order of any court,
"(ii) handicapped children aged five to seventeen, inclusive, in
such State under paragraph (IXA) to the extent the number of
such children is greater than 12 percent of the number of all
children aged five to seventeen, inclusive, in such State and the
State does not serve all handicapped children aged three to five,
inclusive, in the State pursuant to State law or practice on the
order of any court; and
"(iii) handicapped children who are counted under section 121
of the Elementary and Secondary Education Act of 1965.". 20 use 2731.
(b) STATE ADMINISTRATION.—Section 611(cX2XAXii) of the Act (20
U.S.C. 1411(cX2XAXii)) is amended to read as follows:
"(ii) the part remaining after use in accordance with clause (i)
shall be used by the State (I) to provide support services and
direct services in accordance with the priorities established
under section 612(3), and (II) for the administrative costs of 20 use 1412.
monitoring and complaint investigation but only to the extent
that such costs exceed the costs of administration incurred
during fiscal year 1985.".
SEC. 404. INDIANS.
Subsection (f) of section 611 of such Act (20 U.S.C. 1411) is
"(fKD The Secretary shall make payments to the Secretary of the
Interior according to the need for assistance for the education of
handicapped children on reservations serviced by elementary and
secondary schools operated for Indian children by the Department of
the Interior. The amount of such payment for any fiscal year shall
be 1.25 percent of the aggregate amounts available to all States
under this section for that fiscal year.
"(2) The Secretary of the Interior may receive an allotment under
paragraph (1) only after submitting to the Secretary an application
which—
"(A) meets the applicable requirements of sections 612, 613,
and 614(a), 20 use 1412;
"(B) includes satisfactory assurance that all handicapped chil- post, p. 1174.
dren aged 3 to 5, inclusive receive a free appropriate public ^^ ^se 1414.
education by or before the 1987-1988 school year,
"(C) includes an assurance that there are public hearings,
adequate notice of such hearings, and an opportunity for com-
ment afforded to members of tribes, tribal governing bodies, and
designated local school boards before adoption of the policies,
programs, and procedures required under sections 612, 613, and
614(a), and
"(D) is approved by the Secretary.
Section 616 shall apply to any such application.". 20 USC 1416.
SEC. 405. QUALIFIED PERSONNEL.
State and local Section 613(a) of the Act (20 U.S.C. 1413) is amended by inserting
governments. at the end thereof the following:
Ante, p. 1159. "(li) policies and procedures relating to the establishment
and maintenance of standards to ensure that personnel nec-
essary to carry out the purposes of this part are appropriately
and adequately prepared and trained, including—
"(A) the establishment and maintenance of standards
which are consistent with any State approved or recognized
certification, licensing, registration, or other comparable
requirements which apply to the area in which he or she is
providing special education or related services, and
"(B) to the extent such standards are not based on the
highest requirements in the State applicable to a specific
profession or discipline, the steps the State is taking to
require the retraining or hiring of personnel that meet
appropriate professional requirements in the State.".
SEC. 406. EVALUATION.
follows:
"EVALUATION
Grants. "SEC. 618. (a) The Secretary shall directly or by grant, contract, or
Contracts. cooperative agreement, collect data and conduct studies, investiga-
overnmtnts ^^ tions, and evaluations—
governmen s. ^Q^ ^ assess progress in the implementation of this Act, the
impact, and the effectiveness of State and local efforts and
efforts by the Secretary of Interior to provide free appropriate
public education to all handicapped children and youth and
early intervention services to handicapped infants and toddlers,
and
"(2) to provide—
"(A) Congress with information relevant to policymaking,
and
"(B) Federal, State, and local agencies and the Secretary
of Interior with information relevant to program manage-
ment, administration, and effectiveness with respect to
such education and early intervention services.
"(b) In carrying out subsection (a), the Secretary, on at least an
annual basis, shall obtain data concerning programs and projects
assisted under this Act and under other Federal laws relating to
handicapped infants, toddlers, children, and youth, and such addi-
tional information, from State and local educational agencies, the
Secretary of Interior, and other appropriate sources, as is necessary
for the implementation of this Act including—
"(1) the number of handicapped infants, toddlers, children,
and youth in each State receiving a free appropriate public
education or early intervention services (A) in age groups 0-2
and 3-5, and (B) in age groups 6-11, 12-17, and 18-21 by
disability category,
"(2) the number of handicapped children and youth in each
State who are participating in regular educational programs
(consistent with the requirements of sections 612(5)(B) and
20 use 1412, 614(a)(l)(C)(iv)) by disability category, and the number of handi-
1414. capped children and youth in separate cleisses, separate schools
or facilities, or public or private residential facilities, or who
have been otherwise removed from the regular education

environment,
"(3) the number of handicapped children and youth exiting
the educational system each year through program completion
or otherwise (A) in age group 3-5, and (B) in age groups 6-11,
12-17, and 18-21 by disability category and anticipated services
for the next year,
"(4) the amount of Federal, State, and local funds expended in
each State specifically for special education and related services
and for early intervention services (which may be based upon a
sampling of data from State agencies including State and local
educational agencies),
"(5) the number and type of personnel that are employed in
the provision of special education and related services to handi-
capped children and youth and early intervention services to
handicapped infants and toddlers by disability category served,
and the estimated number and tjrpe of additional personnel by
disability category needed to adequately carry out the policy
established by this Act, and
"(6) a description of the special education and related services
and early intervention services needed to fully implement this
Act throughout each State, including estimates of the number
of handicapped infants and toddlers in the 0-2 age group and
estimates of the number of handicapped children and youth (A)
in age group 3-5 and (B) in age groups 6-11, 12-17, and 18-21
and by disability category.
"(c) The Secretary shall, by grant, contract, or cooperative agree- Federal
ment, provide for evaluation studies to determine the impact of this Register,
Act. Each such evaluation shall include recommendations for publication.
improvement of the programs under this Act. The Secretary shall,
not later than July 1 of each year, submit to the appropriate
committees of each House of the Congress and publish in the
Federal Register proposed evaluation priorities for review and
comment.
"(dXD The Secretary may enter into cooperative agreements with
State educational agencies and other State agencies to carry out
studies to assess the impact and effectiveness of programs assisted
under this Act.
"(2) An agreement under paragraph (1) shall—
"(A) provide for the pa3rment of not to exceed 60 percent of
the total cost of studies conducted by a participating State
agency to assess the impact and effectiveness of programs as-
sisted under this Act, and
"(B) be developed in consultation with the State Advisory
Panel established under this Act, the local educational agencies,
and others involved in or concerned with the education of
handicapped children and youth and the provision of early
intervention services to handicapped infants and toddlers.
"(3) The Secretary shall provide technical assistance to participat-
ing State agencies in the implementation of the study design, analy-
sis, and reporting procedures.
"(4) In addition, the Secretary shall disseminate information from
such studies to State agencies, regional resources centers, £md
clearinghouses established by this Act, and, as appropriate, to others
involved in, or concerned with, the education of handicapped chil-
dren and youth and the provision of early intervention services to
handicapped infants and toddlers.
"(e)(1) At least one study shall be a longitudinal study of a sample

of handicapped students, encompassing the full range of handi-
capping conditions, examining their educational progress while in
special education and their occupational, educational, and independ-
ent living status after graduating from secondary school or other-
wise leaving special education.
"(2) At least one study shall focus on obtaining and compiling
current information available, through State educational agencies
and local educational agencies and other service providers, regard-
ing State and local expenditures for educational services for handi-
capped students (including special education and related services)
and shall gather information needed in order to calculate a range of
per pupil expenditures by handicapping condition.
Reports. "(fKD Not later than 120 days after the close of each fiscal year,
the Secretary shall publish and disseminate an annual report on the
progress being made toward the provision of a free appropriate
public education to all handicapped children and youth and early
intervention services for handicapped infants and toddlers. The
annual report shall be transmitted to the appropriate committees of
each House of Congress and published and disseminated in suffi-
cient quantities to the education community at large and to other
interested parties.
"(2) The Secretary shall include in each annual report under
paragraph (1)—
"(A) a compilation and analysis of data gathered under
subsection (b),
"(B) an index and summary of each evaluation activity and
results of studies conducted under subsection (c),
"(C) a description of findings and determinations resulting
from monitoring reviews of State implementation of part B of
20 u s e 1411. this Act,
"(D) an analysis and evaluation of the participation of handi-
capped children and youth in vocationsd education programs
and services,
"(E) an analysis and evaluation of the effectiveness of proce-
dures undertaken by each State educational agency, local edu-
cational agency, and intermediate educational unit to ensure
that handicapped children and youth receive special education
and related services in the least restrictive environment
commensurate with their needs and to improve programs of
instruction for handicapped children and youth in day or resi-
dential facilities, and
"(F) any recommendation for change in the provisions of this
Act or any other Federal law providing support for the edu-
cation of handicapped children and youth.
"(3) In the annual report under paragraph (1) for fiscal year 1985
which is published in 1986 and for every third year thereafter, the
Secretary shall include in the annual report—
"(A) an index of all current projects funded under parts C
20 use through G of this title, and
1421-1454; "(B) data reported under sections 621, 622, 623, 627, 634, 641,
Ante, p. 1172. and 661.
Ante, pp. 1159- "(4) In the annual report under paragraph (1) for fiscal year 1988
1161; 20 u s e
1426, 1434;
which is published in 1989, the Secretary shall include special
ante, p. 1169. sections addressing the provision of a free appropriate public edu-
Ante, p. 1172. cation to handicapped infants, toddlers, children, and youth in rural
areas and to handicapped migrants, handicapped Indians (particu-
larly programs operated under section 611(f)), handicapped Native Ante, p. 1173.
Hawaiian, and other native Pacific basin children and youth, handi-
capped infants, toddlers, children and youth of limited English
proficiency.
"(5) Beginning in 1986, in consultation with the National Council
for the Handicapped and the Bureau of Indian Affairs Advisory
Committee for Exceptional Children, a description of the status of
early intervention services for handicapped infants and toddlers
from birth through age two, inclusive, and special education and
related services to handicapped children from 3 through 5 years of
age (including those receiving services through Head Start, Devel-
opmental Disabilities Programs, Crippled Children's Services,
Mental Health/Mental Retardation Agency, and State child-devel-
opment centers and private agencies under contract with local
schools).
"(g) There are authorized to be appropriated $3,800,000 for fiscal
year 1987, $4,000,000 for fiscal year 1988, and $4,200,000 for fiscal
year 1989 to carry out this section.".
SEC. 407. REPEAL.
Section 604 of the Act (20 U.S.C. 1403) is repealed.
Approved October 8, 1986.
LEGISLATIVE HISTORY—S. 2294 (H.R. 5520):

HOUSE REPORTS: No. 99-860 accompanying H.R. 5520 (Comm. on Education and
Labor).
SENATE REPORTS: No. 99-315 (Comm. on Labor and Human Resources).
CONGRESSIONAL RECORD, Vol. 132 (1986):
June 6, considered and passed Senate.
Sept. 22, H.R. 5520 considered and passed House; proceedings vacated and
S. 2294, amended, passed in lieu.
Sept. 24, Senate concurred in House amendments.

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PUBLIC LAW 99-457—OCT. 8, 1986 100 STAT.

Be it enacted by the Senate and House of Representatives of the

FINDINGS AND POLICY

tioo services being provided to handicapped infants, toddlers,

20 use 1472. "SEC. 672. As used in this p a r t -

"(vi) social workers,

"REQUIREMENTS FOR STATEWIDE SYSTEM

20 use 1476. "SEC. 676. (a) IN GENERAL.—A statewide system of coordinated,

"(B) the identification and coordination of all available

"SEC. 677. (a) ASSESSMENT AND PROGRAM DEVELOPMENT.—Each 20 use 1477.

Grants. "SEC. 678. (a) AppucATiON.—Any State desiring to receive a grant

State of the policies described in such appHcation, and (B) a

"(A) the terms 'infants' and 'toddlers' mean children from

TITLE II—HANDICAPPED CHILDREN AGED 3 TO 5

TITLE III—DISCRETIONARY PROGRAMS

verely handicapped children and youth, including deaf-blind chil-

SEC. 303. EARLY EDUCATION FOR HANDICAPPED CHILDREN.

nate new information on preschool and early intervention for handi-

"(2) In making grants or contracts on a competitive basis under

SECONDARY EDUCATION AND TRANSITIONAL SERVICES FOR

"(3) stimulate the improvement of the vocational and life

"SEC. 628. (a) There are authorized to be appropriated to carry out

children and which includes members who are professionals in

SEC. 311. AUTHORIZATION.

"SEC. 635. (a) There are authorized to be appropriated to carry out

"(5) The dissemination of information on research and related

"SEC. 643. (a) The Secretary shall convene, in accordance with

71-19A 0 - 89 - A : QL. 3 Part2

have been otherwise removed from the regular education

"(e)(1) At least one study shall be a longitudinal study of a sample

LEGISLATIVE HISTORY—S. 2294 (H.R. 5520):

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