H.R. 7340

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7340 Introduced in House (IH)]

<DOC>

119th CONGRESS
2d Session
H. R. 7340

To provide for the long-term improvement of public school facilities, 
and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

February 4, 2026

Mr. Scott of Virginia (for himself, Mr. Norcross, Mr. Smith of 
Washington, Mr. Panetta, Ms. Sanchez, Ms. Tokuda, Ms. Wilson of 
Florida, Ms. Strickland, Ms. Schakowsky, Mr. Beyer, Ms. Plaskett, Mr. 
Horsford, Mr. Morelle, Ms. Ross, Mr. Magaziner, Mr. Casten, Ms. Lee of 
Pennsylvania, Mr. Takano, Ms. Norton, Mr. McGarvey, Ms. McClellan, Ms. 
Barragan, Ms. Pingree, Mr. Mannion, Mr. Landsman, Mr. Bishop, Mrs. 
McBath, Mr. Swalwell, Ms. Elfreth, Mr. Goldman of New York, Mrs. 
Cherfilus-McCormick, Ms. Bonamici, Mr. Carson, Mr. Mrvan, Mrs. Beatty, 
Ms. Simon, Mr. Foster, Mr. David Scott of Georgia, Mr. Lieu, Mr. Davis 
of Illinois, Ms. Dean of Pennsylvania, Mrs. Trahan, Ms. Craig, Mr. 
Deluzio, Ms. Scanlon, Ms. Castor of Florida, Ms. Jacobs, Mr. Mfume, 
Mrs. Hayes, Ms. Budzinski, Ms. Salinas, Ms. Brownley, Ms. Lois Frankel 
of Florida, Mr. Latimer, Mrs. McClain Delaney, Ms. Moore of Wisconsin, 
Ms. Stansbury, Mr. Moulton, Ms. Tlaib, Mr. Courtney, Mr. Vargas, Ms. 
Omar, Ms. Kaptur, Mr. Carbajal, Mr. Thompson of Mississippi, Ms. 
DeGette, Ms. Lofgren, Ms. Escobar, Mr. Mullin, Mrs. Grijalva, Mr. 
Johnson of Georgia, Mr. Garamendi, Mr. Sherman, Mr. Casar, Mr. Boyle of 
Pennsylvania, Mr. Green of Texas, Mr. Quigley, Mr. Thanedar, Mr. 
DeSaulnier, Ms. Chu, Mr. Bell, Ms. Titus, Mr. Cisneros, and Mr. Raskin) 
introduced the following bill; which was referred to the Committee on 
Education and Workforce, and in addition to the Committee on Ways and 
Means, for a period to be subsequently determined by the Speaker, in 
each case for consideration of such provisions as fall within the 
jurisdiction of the committee concerned

_______________________________________________________________________

A BILL

To provide for the long-term improvement of public school facilities, 
and for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title.--This Act may be cited as the ``Rebuild America's 
Schools Act of 2026''.
(b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
TITLE I--GRANTS FOR THE LONG-TERM IMPROVEMENT OF PUBLIC SCHOOL 
FACILITIES

Sec. 101. Purpose and reservation.
Sec. 102. Allocations to States.
Sec. 103. Need-based grants to qualified local educational agencies.
Sec. 104. Annual report on grant program.
Sec. 105. Authorization of appropriations.
TITLE II--SCHOOL INFRASTRUCTURE BONDS

Sec. 201. Restoration of certain qualified tax credit bonds.
Sec. 202. School infrastructure bonds.
Sec. 203. Annual report on bond program.
TITLE III--USES OF FUNDS

Sec. 301. Allowable uses of funds.
Sec. 302. Prohibited uses.
Sec. 303. Requirements for hazard-resistance and energy and water 
conservation.
Sec. 304. Green practices.
Sec. 305. Use of American iron, steel, and manufactured products.
TITLE IV--REPORTS AND OTHER MATTERS

Sec. 401. Comptroller General report.
Sec. 402. Study and report on physical condition of public schools.
Sec. 403. Office of School Infrastructure and Sustainability.
Sec. 404. Development of data standards.
Sec. 405. Information clearinghouse.
Sec. 406. Sense of Congress on opportunity zones.
TITLE V--IMPACT AID CONSTRUCTION

Sec. 501. Temporary increase in funding for impact aid construction.
TITLE VI--ASSISTANCE FOR REPAIR OF SCHOOL FOUNDATIONS AFFECTED BY 
PYRRHOTITE

Sec. 601. Allocations to States.
Sec. 602. Grants to local educational agencies.
Sec. 603. Definitions.
Sec. 604. Authorization of appropriations.

SEC. 2. DEFINITIONS.

In this Act:
(1) Appropriate congressional committees.--The term 
``appropriate congressional committees'' means the Committee on 
Education and the Workforce of the House of Representatives and 
the Committee on Health, Education, Labor, and Pensions of the 
Senate.
(2) Bureau-funded school.--The term ``Bureau-funded 
school'' has the meaning given that term in section 1141 of the 
Education Amendments of 1978 (25 U.S.C. 2021).
(3) Covered funds.--The term ``covered funds'' means funds 
received--
(A) under title I of this Act;
(B) from a school infrastructure bond; or
(C) from a qualified zone academy bond (as such 
term is defined in section 54E of the Internal Revenue 
Code of 1986 (as restored by section 201)).
(4) ESEA terms.--The terms ``elementary school'', 
``outlying area'', and ``secondary school'' have the meanings 
given those terms in section 8101 of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 7801).
(5) Local educational agency.--The term ``local educational 
agency'' has the meaning given that term in section 8101 of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801) 
except that such term does not include a Bureau-funded school.
(6) Net zero energy school.--The term ``net zero energy 
school'' means a public elementary school or public secondary 
school that--
(A) generates renewable energy on-site; and
(B) produces enough renewable energy to meet its 
own annual energy consumption requirements.
(7) Public school facilities.--The term ``public school 
facilities'' means the facilities and grounds of a public 
elementary school or a public secondary school.
(8) Qualified local educational agency.--The term 
``qualified local educational agency'' means a local 
educational agency that receives funds under part A of title I 
of the Elementary and Secondary Education Act of 1965 (20 
U.S.C. 6311 et seq.).
(9) School infrastructure bond.--The term ``school 
infrastructure bond'' has the meaning given such term in 
section 54BB of the Internal Revenue Code of 1986 (as added by 
section 202).
(10) Secretary.--The term ``Secretary'' means the Secretary 
of Education.
(11) State.--The term ``State'' means each of the 50 
States, the District of Columbia, and the Commonwealth of 
Puerto Rico.

TITLE I--GRANTS FOR THE LONG-TERM IMPROVEMENT OF PUBLIC SCHOOL 
FACILITIES

SEC. 101. PURPOSE AND RESERVATION.

(a) Purpose.--Funds made available under this title shall be for 
the purpose of supporting long-term improvements to public school 
facilities in accordance with this Act.
(b) Reservation for Outlying Areas and Bureau-Funded Schools.--
(1) In general.--For each of fiscal years 2027 through 
2031, the Secretary shall reserve, from the amount appropriated 
to carry out this title--
(A) one-half of 1 percent, to make allocations to 
the outlying areas in accordance with paragraph (3); 
and
(B) one-half of 1 percent, for payments to the 
Secretary of the Interior to provide assistance to 
Bureau-funded schools.
(2) Use of reserved funds.--
(A) In general.--Funds reserved under paragraph (1) 
shall be used in accordance with title III.
(B) Special rules for bureau-funded schools.--
(i) Applicability.--The provisions of title 
III shall apply to a Bureau-funded school that 
receives assistance under paragraph (1)(B) in 
the same manner that such provisions apply to a 
qualified local educational agency that 
receives covered funds. The facilities of a 
Bureau-funded school shall be treated as public 
school facilities for purposes of the 
application of such provisions.
(ii) Treatment of tribally operated 
schools.--The Secretary of the Interior shall 
provide assistance to Bureau-funded schools 
under paragraph (1)(B) without regard to 
whether such schools are operated by the Bureau 
of Indian Education or by an Indian Tribe. In 
the case of a Bureau-funded school that is a 
contract or grant school (as that term is 
defined in section 1141 of the Education 
Amendments of 1978 (25 U.S.C. 2021)) operated 
by an Indian Tribe, the Secretary of the 
Interior shall provide assistance under such 
paragraph to the Indian Tribe concerned.
(3) Allocation to outlying areas.--From the amount reserved 
under paragraph (1)(A) for a fiscal year, the Secretary shall 
allocate to each outlying area an amount in proportion to the 
amount received by the outlying area under part A of title I of 
the Elementary and Secondary Education Act of 1965 (20 U.S.C. 
6311 et seq.) for the previous fiscal year relative to the 
total such amount received by all outlying areas for such 
previous fiscal year.

SEC. 102. ALLOCATION TO STATES.

(a) Allocation to States.--
(1) State-by-state allocation.--
(A) Fiscal year 2027.--Of the amount appropriated 
to carry out this title for fiscal year 2027 and not 
reserved under section 101(b), not later than 30 days 
after such funds are appropriated, each State that 
provides an assurance to the Secretary that the State 
will comply with the requirements of section 103(c) 
shall be allocated an amount in proportion to the 
amount received by all local educational agencies in 
the State under part A of title I of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 6311 et 
seq.) for the previous fiscal year relative to the 
total amount received under such part for such fiscal 
year by all local educational agencies in every State 
that provides such an assurance to the Secretary.
(B) Other fiscal years.--Of the amount appropriated 
to carry out this title for each fiscal year other than 
fiscal year 2027 and not reserved under section 101(b), 
each State that has a plan approved by the Secretary 
under subsection (b) shall be allocated an amount in 
proportion to the amount received by all local 
educational agencies in the State under part A of title 
I of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6311 et seq.) for the previous fiscal year 
relative to the total amount received under such part 
for such fiscal year by all local educational agencies 
in every State that has a plan approved by the 
Secretary under subsection (b).
(2) State reservation.--A State may reserve not more than 5 
percent of its allocation under paragraph (1) to carry out its 
responsibilities under this Act, which shall include--
(A) providing technical assistance to local 
educational agencies, including by--
(i) identifying which State agencies have 
programs, resources, and expertise relevant to 
the activities supported by the allocation 
under this section; and
(ii) coordinating the provision of 
technical assistance across such agencies;
(B) in accordance with the guidance issued by the 
Secretary under section 404, developing an online, 
publicly searchable database that contains an inventory 
of the infrastructure of all public school facilities 
in the State (including the facilities of Bureau-funded 
schools, as appropriate), including, with respect to 
each such facility, an identification of--
(i) the information described in clauses 
(i) through (vii) of subparagraph (F);
(ii) the age (including an identification 
of the date of any retrofits or recent 
renovations) of--
(I) the facility;
(II) its roof;
(III) its electrical panels and 
lighting system;
(IV) its windows and any skylights;
(V) its cooking equipment and major 
appliances;
(VI) its plumbing; and
(VII) its heating, ventilation, and 
air conditioning system, including any 
energy management controls and systems;
(iii) fire safety inspection results;
(iv) the proximity of the facilities to 
toxic sites, including sites contaminated by 
per- and polyfluoroalkyl substances, or the 
vulnerability of the facilities to natural 
disasters, including the extent to which 
facilities that are vulnerable to seismic 
natural disasters are seismically retrofitted;
(v) any previous inspections showing the 
presence of toxic substances, including per- 
and polyfluoroalkyl substances;
(vi) any improvements that are needed to 
support indoor and outdoor social distancing, 
personal hygiene, and building hygiene 
(including with respect to heating, 
ventilation, and air conditioning usage) in 
school facilities, consistent with guidance 
issued by the Centers for Disease Control and 
Prevention; and
(vii) any improvements that are needed to 
support energy and water efficiency, 
resilience, and climate mitigation;
(C) updating the database developed under 
subparagraph (B) not less frequently than once every 3 
years;
(D) ensuring that the information in the database 
developed under subparagraph (B)--
(i) is posted on a publicly accessible 
State website; and
(ii) is regularly distributed to local 
educational agencies and Tribal governments in 
the State;
(E) issuing and reviewing regulations to ensure the 
health and safety of students and staff during 
construction or renovation projects;
(F) issuing or reviewing regulations to ensure 
safe, healthy, and high-performing school buildings, 
including regulations governing--
(i) indoor environmental quality and 
ventilation, including exposure to carbon 
monoxide, carbon dioxide, lead-based paint, and 
other combustion by-products such as oxides of 
nitrogen;
(ii) mold, mildew, and moisture control;
(iii) the safety of drinking water at the 
tap and water used for meal preparation, 
including regulations that--
(I) address the presence of lead 
and other contaminants, including per- 
and polyfluoroalkyl substances, in such 
water; and
(II) require the regular testing of 
the potability of water at the tap and 
testing for contaminants, including 
per- and polyfluoroalkyl substances;
(iv) energy and water efficiency;
(v) excessive classroom noise due to 
activities allowable under section 301;
(vi) the levels of maintenance work, 
operational spending, and capital investment 
needed to maintain the quality of public school 
facilities; and
(vii) the construction or renovation of 
such facilities, including applicable building 
codes;
(G) creating a plan to reduce or eliminate exposure 
to toxic substances, including mercury, radon, PCBs, 
lead, vapor intrusions, per- and polyfluoroalkyl 
substances, and asbestos; and
(H) creating a plan to increase the number of net 
zero energy schools in the State, including 
professional development opportunities for State and 
local educational agency staff involved in maintenance, 
operations, and school facilities capital outlay 
projects related to energy and water efficiency, 
resilience, climate mitigation, renewable energy, 
energy storage, and building electrification.
(b) State Plan.--
(1) In general.--Except as provided in paragraph (2), to be 
eligible to receive an allocation under this section, a State 
shall submit to the Secretary a plan that--
(A) describes how the State will use the allocation 
to make long-term improvements to public school 
facilities;
(B) explains how the State will carry out each of 
its responsibilities under subsection (a)(2);
(C) explains how the State will make the 
determinations under subsections (b) through (d) of 
section 103, including how the State will consider the 
impact that projects will have on student diversity and 
racial and socioeconomic isolation of students 
attending any current (as of the time of the submission 
of the plan) or future public school facilities 
supported by such projects;
(D) identifies how long, and at what levels, the 
State will maintain fiscal effort for the activities 
supported by the allocation after the State no longer 
receives the allocation; and
(E) includes such other information as the 
Secretary may require.
(2) Expedited process for fiscal year 2027.--
(A) Assurance to secretary.--To be eligible to 
receive an allocation for fiscal year 2027 under 
subsection (a)(1)(A), a State shall provide to the 
Secretary an assurance that the State will comply with 
the requirements of section 103(c).
(B) Submittal of state plan.--A State shall not be 
required to submit a State plan under paragraph (1) 
before receiving an allocation for fiscal year 2027 
under subsection (a)(1)(A). A State that receives an 
allocation under such subsection for such fiscal year 
shall submit to the Secretary the State plan described 
in paragraph (1) not later than 90 days after the date 
on which such allocation is received.
(3) Approval and disapproval.--The Secretary shall have the 
authority to approve or disapprove a State plan submitted under 
paragraph (1).
(c) Conditions.--As a condition of receiving an allocation under 
this section, a State shall agree to the following:
(1) Matching requirement.--
(A) In general.--The State shall contribute, from 
non-Federal sources, an amount equal to 10 percent of 
the amount of the allocation received under this 
section to carry out the activities supported by the 
allocation.
(B) Deadline.--The State shall provide any 
contribution required under subparagraph (A) not later 
than September 30, 2035.
(C) Certain fiscal years.--With respect to a fiscal 
year for which more than $7,000,000,000 are 
appropriated to carry out this title, subparagraph (A) 
shall be applied as if ``, from non-Federal sources,'' 
were struck.
(D) Commitment to proportional state investment in 
school facilities.--
(i) In general.--The State shall provide an 
assurance to the Secretary that for each fiscal 
year that the State receives an allocation 
under this section, the State's share of school 
facilities capital outlay will be not less than 
90 percent of the average of the State's share 
of school facilities capital outlay for the 5 
years preceding the fiscal year for which the 
allocation is received.
(ii) Waiver.--Notwithstanding clause (i), 
in response to a request from a State, the 
Secretary may modify or waive, in whole or in 
part, the requirement of clause (i) if the 
Secretary determines that such State 
demonstrates an exceptional or uncontrollable 
circumstance, such as a natural disaster, 
pandemic, or precipitous decline in revenue.
(iii) State's share of school facilities 
capital outlay.--In this subparagraph, the term 
``State's share of school facilities capital 
outlay'' means--
(I) the total State expenditures on 
school facilities capital outlay 
projects; divided by
(II) the total school facilities 
capital expenditures in the State on 
school facilities capital outlay 
projects.
(iv) Total state expenditures.--In this 
subparagraph, the term ``total State 
expenditures'' means the State's total 
expenditures (from funds other than an 
allocation under this section) on school 
facilities capital outlay projects, including--
(I) any direct expenditures by the 
State for the purpose of school 
facilities capital outlay projects; and
(II) funds provided by the State to 
local educational agencies for the 
purpose of school facilities capital 
outlay projects.
(v) Total school facilities capital 
expenditures in the state.--In this 
subparagraph, the term ``total school 
facilities capital expenditures in the State'', 
means the sum of--
(I) the total State expenditures 
calculated under clause (iv); plus
(II) all additional expenditures 
(from funds other than an allocation 
under this section) on school 
facilities capital outlay projects by 
local educational agencies in the State 
that were not included in the 
calculation of total State expenditures 
under clause (iv).
(2) Supplement not supplant.--The State shall use an 
allocation under this section only to supplement the level of 
State public funds that would, in absence of the receipt of 
Federal funds under this section, be made available for the 
State's contribution to school facilities capital outlays, and 
not to supplant such State public funds.

SEC. 103. NEED-BASED GRANTS TO QUALIFIED LOCAL EDUCATIONAL AGENCIES.

(a) Grants to Local Educational Agencies.--
(1) In general.--Subject to paragraph (2), from the amounts 
allocated to a State under section 102(a) and contributed by 
the State under section 102(c)(1), the State shall award grants 
to qualified local educational agencies, on a competitive 
basis, to carry out the activities described in section 301(a).
(2) Allowance for digital learning.--A State may use up to 
10 percent of the amount described in paragraph (1) to make 
grants to qualified local educational agencies to carry out 
activities to improve digital learning in accordance with 
section 301(b).
(b) Eligibility.--
(1) In general.--To be eligible to receive a grant under 
this section, a qualified local educational agency--
(A) shall be among the local educational agencies 
in the State with the highest numbers or percentages of 
students counted under section 1124(c) of the 
Elementary and Secondary Education Act of 1965 (20 
U.S.C. 6333(c));
(B) shall agree to prioritize the improvement of 
the facilities of public schools that serve the highest 
percentages of students who are eligible for a free or 
reduced price lunch under the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1751 et seq.) 
(which, in the case of a high school, may be calculated 
using comparable data from the schools that feed into 
the high school), as compared to other public schools 
in the jurisdiction of the agency; and
(C) shall be among the local educational agencies 
in the State with the most limited capacity to raise 
funds for the long-term improvement of public school 
facilities, as determined by an assessment of--
(i) the current and historic ability of the 
agency to raise funds for construction, 
renovation, modernization, and major repair 
projects for schools;
(ii) whether the agency has been able to 
issue bonds or receive other funds to support 
school construction projects; and
(iii) the bond rating of the agency.
(2) Equitable distribution.--
(A) Numbers and percentages of certain students.--
In making the determination under paragraph (1)(A), the 
State shall ensure that grants under this section are 
equitably distributed among--
(i) qualified local educational agencies in 
the State with the highest numbers of students 
counted under section 1124(c) of the Elementary 
and Secondary Education Act of 1965 (20 U.S.C. 
6333(c)); and
(ii) qualified local educational agencies 
in the State with the highest percentages of 
students counted under such section.
(B) Geographic diversity.--The State shall ensure 
that grants under this section are awarded to qualified 
local educational agencies that represent the 
geographic diversity of the State.
(3) Statewide thresholds.--The State shall establish 
reasonable thresholds for determining whether a local 
educational agency is among agencies in the State with the 
highest numbers or percentages of students counted under 
section 1124(c) of the Elementary and Secondary Education Act 
of 1965 (20 U.S.C. 6333(c)) as required under paragraph (1)(A).
(c) Priority of Grants.--In awarding grants under this section, the 
State shall give priority to qualified local educational agencies 
that--
(1)(A) demonstrate the greatest need for such a grant, as 
determined by a comparison of the factors described in 
subsection (b)(1) and other indicators of need in the public 
school facilities of such local educational agencies, 
including--
(i) the median age of facilities;
(ii) the extent to which student enrollment exceeds 
physical and instructional capacity;
(iii) the condition of major building systems such 
as heating, ventilation, air conditioning, electrical, 
water, and sewer systems;
(iv) the condition of roofs, windows, and doors; 
and
(v) other critical health and safety conditions;
(B) will use the grant to improve the facilities of--
(i) elementary schools or middle schools that have 
an enrollment of students who are eligible for a free 
or reduced price lunch under the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1751 et seq.) that 
constitutes not less than 40 percent of the total 
student enrollment at such schools; or
(ii) high schools that have an enrollment of 
students who are eligible for a free or reduced price 
lunch under such Act that constitutes not less than 30 
percent of the total student enrollment at such schools 
(which may be calculated using comparable data from the 
schools that feed into the high school); and
(C) operate public school facilities that pose a severe 
health and safety threat to students and staff, which may 
include consideration of threats posed by the proximity of the 
facilities to toxic sites or brownfield sites or the 
vulnerability of the facilities to natural disasters; or
(2)(A) will use the grant to improve access to high-speed 
broadband sufficient to support digital learning in accordance 
with section 301(b);
(B) serve elementary schools or secondary schools, 
including rural schools, that lack such access; and
(C) meet one or more of the requirements set forth in 
subparagraphs (A) through (C) of paragraph (1).
(d) Application.--To be considered for a grant under this section, 
a qualified local educational agency shall submit an application to the 
State at such time, in such manner, and containing such information as 
the State may require. Such application shall include, at minimum--
(1) the information necessary for the State to make the 
determinations under subsections (b) and (c);
(2) a description of the projects that the agency plans to 
carry out with the grant;
(3) an explanation of how such projects will--
(A) improve conditions for the health and safety of 
staff and students at schools served by the agency;
(B) improve learning and reduce inequity for such 
students; and
(C) improve school facilities' performance with 
respect to energy and water efficiency, resilience, and 
climate mitigation;
(4) in the case of a local educational agency that proposes 
to fund a repair, renovation, or construction project for a 
public charter school, the extent to which--
(A) the public charter school lacks access to 
funding for school repair, renovation, and construction 
through the financing methods available to other public 
schools or local educational agencies in the State; and
(B) the charter school operator owns or has care 
and control of the facility that is to be repaired, 
renovated, or constructed; and
(5) an explanation of how the local educational agency 
plans to increase the number of contracts such agency has with 
certified small businesses, minority-owned businesses, veteran-
owned businesses, or women-owned businesses as of the date of 
submission of the application by awarding such contracts under 
projects supported by the grant.
(e) Facilities Master Plan.--
(1) Plan required.--Not later than 180 days after receiving 
a grant under this section, a qualified local educational 
agency shall submit to the State a comprehensive 10-year 
facilities master plan.
(2) Elements.--The facilities master plan required under 
paragraph (1) shall include, with respect to all public school 
facilities of the qualified local educational agency, a 
description of--
(A) the extent to which public school facilities 
meet students' educational needs and support the 
agency's educational mission and vision;
(B) the physical condition of the public school 
facilities;
(C) the current health, safety, and environmental 
conditions of the public school facilities, including--
(i) indoor air quality;
(ii) the presence of toxic substances;
(iii) the safety of drinking water at the 
tap and water used for meal preparation, 
including the level of lead and other 
contaminants in such water;
(iv) energy and water efficiency, 
resilience, and climate mitigation;
(v) excessive classroom noise; and
(vi) other health, safety, and 
environmental conditions that would impact the 
health, safety, and learning ability of 
students;
(D) how the local educational agency will address 
the conditions identified under subparagraph (C), 
including identifying performance targets where 
applicable;
(E) the impact of current and future student 
enrollment levels (as of the date of application) on 
the design of current and future public school 
facilities, as well as the financial implications of 
such enrollment levels;
(F) the dollar amount and percentage of funds the 
local educational agency will dedicate to capital 
construction projects for public school facilities, 
including--
(i) any funds in the budget of the agency 
that will be dedicated to such projects; and
(ii) any funds not in the budget of the 
agency that will be dedicated to such projects, 
including any funds available to the agency as 
the result of a bond issue; and
(G) the dollar amount and percentage of funds the 
local educational agency will dedicate to the 
maintenance and operation of public school facilities, 
including--
(i) any funds in the budget of the agency 
that will be dedicated to the maintenance and 
operation of such facilities; and
(ii) any funds not in the budget of the 
agency that will be dedicated to the 
maintenance and operation of such facilities.
(3) Consultation.--In developing the facilities master plan 
required under paragraph (1)--
(A) a qualified local educational agency shall 
consult with teachers, principals and other school 
leaders, custodial and maintenance staff, emergency 
first responders, school facilities directors, students 
and families, community residents, and Indian Tribes; 
and
(B) in addition to the consultation required under 
subparagraph (A), a Bureau-funded school shall consult 
with the Bureau of Indian Education.

SEC. 104. ANNUAL REPORT ON GRANT PROGRAM.

(a) In General.--Not later than September 30 of each fiscal year 
beginning after the date of the enactment of this Act, the Secretary 
shall submit to the appropriate congressional committees a report on 
the projects carried out with funds made available under this title.
(b) Elements.--The report under subsection (a) shall include, with 
respect to the fiscal year preceding the year in which the report is 
submitted, the following:
(1) An identification of each local educational agency that 
received a grant under this title.
(2) With respect to each such agency, a description of--
(A) the demographic composition of the student 
population served by the agency, disaggregated by--
(i) race;
(ii) the number and percentage of students 
counted under section 1124(c) of the Elementary 
and Secondary Education Act of 1965 (20 U.S.C. 
6333(c)); and
(iii) the number and percentage of students 
who are eligible for a free or reduced price 
lunch under the Richard B. Russell National 
School Lunch Act (42 U.S.C. 1751 et seq.);
(B) the population density of the geographic area 
served by the agency;
(C) the projects for which the agency used the 
grant received under this title, described using 
measurements of school facility quality from the most 
recent available version of the Common Education Data 
Standards published by the National Center for 
Education Statistics;
(D) the demonstrable or expected benefits of the 
projects, including any improvements--
(i) to conditions for health, safety, and 
learning; and
(ii) to school facilities with respect to 
energy and water efficiency, resilience, 
reduced carbon emissions, and climate 
mitigation;
(E) the square footage of the improvements made 
with covered funds;
(F) the total cost of each such project--
(i) in total; and
(ii) disaggregated by the costs of 
planning, design, construction, site purchase, 
and improvements;
(G) the estimated number of jobs created by the 
projects;
(H) of the total number of contracts awarded under 
the project, the percentage of such contracts that were 
awarded to certified small businesses, minority-owned 
businesses, veteran-owned businesses, and women-owned 
businesses; and
(I)(i) the total dollar value of contracts awarded 
under the project to certified small businesses, 
minority-owned businesses, veteran-owned businesses, 
and women-owned businesses, respectively; and
(ii) the total dollar value of contracts awarded 
under the project to all such businesses combined.
(3) The total dollar amount of all grants received by local 
educational agencies under this title.
(c) LEA Information Collection.--A local educational agency that 
receives a grant under this title shall--
(1) annually compile the information described in 
subsection (b)(2);
(2) make the information available to the public, including 
by posting the information on a publicly accessible agency 
website; and
(3) submit the information to the State.
(d) State Information Distribution.--A State that receives 
information from a local educational agency under subsection (c) 
shall--
(1) compile the information and report it annually to the 
Secretary at such time and in such manner as the Secretary may 
require;
(2) make the information available to the public, including 
by posting the information on a publicly accessible State 
website; and
(3) regularly distribute the information to local 
educational agencies and Tribal governments in the State.

SEC. 105. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated $20,000,000,000 for each of 
fiscal years 2027 through 2031 to carry out this title. Amounts so 
appropriated are authorized to remain available through fiscal year 
2036.

TITLE II--SCHOOL INFRASTRUCTURE BONDS

SEC. 201. RESTORATION OF CERTAIN QUALIFIED TAX CREDIT BONDS.

(a) Allowance of Credit.--
(1) In general.--Section 54A of the Internal Revenue Code 
of 1986, as in effect on the day before repeal by Public Law 
115-97, is revived.
(2) Credit limited to certain bonds.--
(A) In general.--Section 54A(d)(1) of such Code, as 
revived by paragraph (1), is amended by striking 
``means--'' and all that follows through ``which is 
part'' and inserting ``means a qualified zone academy 
bond which is part''.
(B) Conforming amendment.--Section 54A(c)(2)(C) of 
such Code, as revived by paragraph (1), is amended by 
striking ``means--'' and all that follows and inserting 
``a purpose specified in section 54E(a)(1)''.
(3) Conforming amendments.--
(A) The Internal Revenue Code of 1986 is amended by 
inserting before section 54A (as revived by paragraph 
(1)) the following:

``Subpart I--Qualified Tax Credit Bonds

``Sec. 54A. Credit to holder of qualified tax credit bonds.''.
(B) Section 6401(b)(1) of such Code is amended by 
striking ``and G'' and inserting ``G, and I''.
(C) The table of subparts for part IV of subchapter 
A of chapter 1 of such Code is amended by adding at the 
end the following:

``subpart i--qualified tax credit bonds''.

(b) Credit Allowed to Issuer.--
(1) In general.--Section 6431 of the Internal Revenue Code 
of 1986, as in effect on the day before repeal by Public Law 
115-97, is revived.
(2) Conforming amendment.--Section 6211(b)(4) of such Code 
is amended by striking ``and 6428A'' and inserting ``6428A, and 
6431''.
(c) Qualified Zone Academy Bonds.--
(1) In general.--Section 54E of the Internal Revenue Code 
of 1986, as in effect on the day before repeal by Public Law 
115-97, is revived.
(2) Extension of limitation.--Section 54(E)(c)(1) of such 
Code is amended--
(A) by striking ``and $400,000,000'' and inserting 
``$400,000,000'', and
(B) by striking ``and, except as provided'' and all 
that follows through the period at the end and 
inserting ``, and $1,400,000,000 for 2027 and each 
calendar year thereafter.''.
(3) Removal of private business contribution requirement.--
Section 54E of the Internal Revenue Code of 1986, as revived by 
paragraph (1) and amended by paragraph (2), is amended--
(A) in subsection (a)(3), by inserting ``and'' at 
the end of subparagraph (A), by striking subparagraph 
(B), and by redesignating subparagraph (C) as 
subparagraph (B),
(B) by striking subsection (b), and
(C) by redesignating subsections (c) and (d) as 
subsections (b) and (c), respectively.
(4) Construction of a public school facility.--Section 
54E(c)(3)(A) of the Internal Revenue Code of 1986, as revived 
by paragraph (1) and redesignated in paragraph (3)(C), is 
amended by striking ``rehabilitating or repairing'' and 
inserting ``constructing, rehabilitating, retrofitting, or 
repairing''.
(d) Conforming Amendment Related to Application of Certain Labor 
Standards.--
(1) In general.--Subchapter IV of chapter 31 of the title 
40, United States Code, shall apply to projects financed with 
the proceeds of any qualified zone academy bond (as defined in 
section 54E of the Internal Revenue Code of 1986) issued after 
the date of the enactment of the American Recovery and 
Reinvestment Tax Act of 2009.
(2) Conforming amendment.--Section 1601 of the American 
Recovery and Reinvestment Tax Act of 2009 is amended by 
striking paragraph (3) and redesignating paragraphs (4) and (5) 
as paragraphs (3) and (4), respectively.
(e) Effective Date.--The amendments made by this section shall 
apply to obligations issued after December 31, 2026.

SEC. 202. SCHOOL INFRASTRUCTURE BONDS.

(a) In General.--The Internal Revenue Code of 1986 is amended by 
inserting after subpart I (as revived by section 201) of part IV of 
subchapter A of chapter 1 the following new subpart:

``Subpart J--School Infrastructure Bonds

``Sec. 54BB. School infrastructure bonds.

``SEC. 54BB. SCHOOL INFRASTRUCTURE BONDS.

``(a) In General.--If a taxpayer holds a school infrastructure bond 
on one or more interest payment dates of the bond during any taxable 
year, there shall be allowed as a credit against the tax imposed by 
this chapter for the taxable year an amount equal to the sum of the 
credits determined under subsection (b) with respect to such dates.
``(b) Amount of Credit.--The amount of the credit determined under 
this subsection with respect to any interest payment date for a school 
infrastructure bond is 100 percent of the amount of interest payable by 
the issuer with respect to such date.
``(c) Limitation Based on Amount of Tax.--
``(1) In general.--The credit allowed under subsection (a) 
for any taxable year shall not exceed the excess of--
``(A) the sum of the regular tax liability of the 
taxpayer (as defined in section 26(b)) plus the tax 
imposed by section 55, over
``(B) the sum of the credits allowable under this 
part (other than subpart C and this subpart).
``(2) Carryover of unused credit.--If the credit allowable 
under subsection (a) exceeds the limitation imposed by 
paragraph (1) for such taxable year, such excess shall be 
carried to the succeeding taxable year and added to the credit 
allowable under subsection (a) for such taxable year 
(determined before the application of paragraph (1) for such 
succeeding taxable year).
``(d) School Infrastructure Bond.--
``(1) In general.--For purposes of this section, the term 
`school infrastructure bond' means any bond issued as part of 
an issue if--
``(A) 100 percent of the available project proceeds 
of such issue are to be used for the purposes described 
in section 301 of the Rebuild America's Schools Act of 
2026,
``(B) the interest on such obligation would (but 
for this section) be excludable from gross income under 
section 103,
``(C) the issue meets the requirements of paragraph 
(3), and
``(D) the issuer designates such bond for purposes 
of this section.
``(2) Applicable rules.--For purposes of applying paragraph 
(1)--
``(A) for purposes of section 149(b), a school 
infrastructure bond shall not be treated as federally 
guaranteed by reason of the credit allowed under 
section 6431(a),
``(B) for purposes of section 148, the yield on a 
school infrastructure bond shall be determined without 
regard to the credit allowed under subsection (a), and
``(C) a bond shall not be treated as a school 
infrastructure bond if the issue price has more than a 
de minimis amount (determined under rules similar to 
the rules of section 1273(a)(3)) of premium over the 
stated principal amount of the bond.
``(3) 6-year expenditure period.--
``(A) In general.--An issue shall be treated as 
meeting the requirements of this paragraph if, as of 
the date of issuance, the issuer reasonably expects 100 
percent of the available project proceeds to be spent 
for purposes described in section 301 of the Rebuild 
America's Schools Act of 2026 within the 6-year period 
beginning on such date of issuance.
``(B) Failure to spend required amount of bond 
proceeds within 6 years.--To the extent that less than 
100 percent of the available project proceeds of the 
issue are expended at the close of the period described 
in subparagraph (A) with respect to such issue, the 
issuer shall redeem all of the nonqualified bonds 
within 90 days after the end of such period. For 
purposes of this paragraph, the amount of the 
nonqualified bonds required to be redeemed shall be 
determined in the same manner as under section 142.
``(e) Limitation on Amount of Bonds Designated.--The maximum 
aggregate face amount of bonds issued during any calendar year which 
may be designated under subsection (d)(1)(D) by any issuer shall not 
exceed the limitation amount allocated under subsection (g) for such 
calendar year to such issuer.
``(f) National Limitation on Amount of Bonds Designated.--The 
national qualified school infrastructure bond limitation for each 
calendar year is--
``(1) $10,000,000,000 for 2027,
``(2) $10,000,000,000 for 2028, and
``(3) $10,000,000,000 for 2029.
``(g) Allocation of Limitation.--
``(1) Allocations.--
``(A) States.--After application of subparagraph 
(B) and paragraph (3)(A), the limitation applicable 
under subsection (f) for a calendar year shall be 
allocated by the Secretary among the States in 
proportion to the respective amounts received by all 
local educational agencies in each State under part A 
of title I of the Elementary and Secondary Education 
Act of 1965 (20 U.S.C. 6311 et seq.) for the previous 
fiscal year relative to the total such amount received 
by all local educational agencies for the most recent 
fiscal year ending before such calendar year.
``(B) Certain possessions.--One-half of 1 percent 
of the amount of the limitation applicable under 
subsection (f) for a calendar year shall be allocated 
by the Secretary to possessions of the United States 
other than Puerto Rico for such calendar year.
``(2) Allocations to schools.--The limitation amount 
allocated to a State or possession under paragraph (1) shall be 
allocated by the State educational agency (or such other agency 
as is authorized under State law to make such allocation) to 
issuers within such State or possession in accordance with the 
priorities described in subsections (c) and (d) of section 103 
of the Rebuild America's Schools Act of 2026 and the 
eligibility requirements described in section 103(b) of such 
Act, except that paragraph (1)(C) of such section shall not 
apply to the determination of eligibility for such allocation.
``(3) Allocations for indian schools.--
``(A) In general.--One-half of 1 percent of the 
amount of the limitation applicable under subsection 
(f) for any calendar year shall be allocated by the 
Secretary to the Secretary of the Interior for schools 
funded by the Bureau of Indian Affairs for such 
calendar year.
``(B) Allocation to schools.--The limitation amount 
allocated to the Secretary of the Interior under 
paragraph (1) shall be allocated by such Secretary to 
issuers or schools funded as described in paragraph 
(2). In the case of amounts allocated under the 
preceding sentence, Indian tribal governments shall be 
treated as qualified issuers for purposes of this 
subchapter.
``(4) Digital learning.--Up to 10 percent of the limitation 
amount allocated under paragraph (1) or (3)(A) may be allocated 
by the State to issuers within such State (in the case of an 
amount allocated under paragraph (1)) or by the Secretary of 
the Interior to issuers or schools funded by the Bureau of 
Indian Affairs (in the case of an amount allocated under 
paragraph (3)(A)) to carry out activities to improve digital 
learning in accordance with section 301(b) of the Rebuild 
America's Schools Act of 2026.
``(h) Interest Payment Date.--For purposes of this section, the 
term `interest payment date' means any date on which the holder of 
record of the school infrastructure bond is entitled to a payment of 
interest under such bond.
``(i) Special Rules.--
``(1) Interest on school infrastructure bonds includible in 
gross income for federal income tax purposes.--For purposes of 
this title, interest on any school infrastructure bond shall be 
includible in gross income.
``(2) Application of certain rules.--Rules similar to the 
rules of subsections (f), (g), (h), and (i) of section 54A 
shall apply for purposes of the credit allowed under subsection 
(a).''.
(b) Credit Allowed to Issuer.--Section 6431(f)(3)(A) of such Code, 
as revived by section 201(b)(1), is amended by striking ``means any 
qualified tax credit bond'' and all that follows through the end of 
subparagraph (A) and inserting ``means any bond if--
``(A) such bond is--
``(i) a qualified tax credit bond which is 
a qualified zone academy bond (as defined in 
section 54E) determined without regard to any 
allocation relating to the national zone 
academy bond limitation for years after 2010 or 
any carryforward of any such allocation, or
``(ii) any school infrastructure bond (as 
defined in section 54BB), and''.
(c) Application of Certain Labor Standards.--Subchapter IV of 
chapter 31 of title 40, United States Code, shall apply to projects 
financed with the proceeds of any qualified zone academy bond (as 
defined in section 54E of the Internal Revenue Code of 1986) issued 
after the date of the enactment of this Act.
(d) Conforming Amendments.--
(1) Section 6401(b)(1) of the Internal Revenue Code of 
1986, as amended by section 201(a), is amended by striking 
``and I'' and inserting ``I, and J''.
(2) The table of subparts for part IV of subchapter A of 
chapter 1 of such Code, as amended by section 201(a), is 
amended by adding at the end the following:

``subpart j--school infrastructure bonds''.

(e) Effective Date.--The amendments made by this section shall 
apply to obligations issued after December 31, 2026.

SEC. 203. ANNUAL REPORT ON BOND PROGRAM.

(a) In General.--Not later than September 30 of each fiscal year 
beginning after the date of the enactment of this Act, the Secretary of 
the Treasury shall submit to the appropriate congressional committees a 
report on the amendments made by sections 201 and 202.
(b) Elements.--The report under paragraph (1) shall include, with 
respect to the fiscal year preceding the year in which the report is 
submitted, the following:
(1) An identification of--
(A) each local educational agency (if any) that 
received an allocation under section 54E(b)(2) or 
54BB(g) of the Internal Revenue Code of 1986, and
(B) each local educational agency (if any) that was 
eligible to receive such funds but did not receive such 
funds.
(2) With respect to each local educational agency described 
in paragraph (1)--
(A) an assessment of the capacity of the agency to 
raise funds for the long-term improvement of public 
school facilities, as determined by an assessment of--
(i) the current and historic ability of the 
agency to raise funds for construction, 
renovation, modernization, and major repair 
projects for schools, including the ability of 
the agency to raise funds through imposition of 
property taxes,
(ii) whether the agency has been able to 
issue bonds to fund construction projects, 
including--
(I) qualified zone academy bonds 
under section 54E of the Internal 
Revenue Code of 1986, and
(II) school infrastructure bonds 
under section 54BB of the Internal 
Revenue Code of 1986, and
(iii) the bond rating of the agency,
(B) the demographic composition of the student 
population served by the agency, disaggregated by--
(i) race,
(ii) the number and percentage of students 
counted under section 1124(c) of the Elementary 
and Secondary Education Act of 1965 (20 U.S.C. 
6333(c)), and
(iii) the number and percentage of students 
who are eligible for a free or reduced price 
lunch under the Richard B. Russell National 
School Lunch Act (42 U.S.C. 1751 et seq.),
(C) the population density of the geographic area 
served by the agency,
(D) a description of the projects carried out with 
funds received from school infrastructure bonds,
(E) a description of the demonstrable or expected 
benefits of the projects, and
(F) the estimated number of jobs created by the 
projects.
(3) The total dollar amount of all funds received by local 
educational agencies from school infrastructure bonds.
(4) Any other factors that the Secretary of the Treasury 
determines to be appropriate.
(c) Information Collection.--A State or local educational agency 
that receives an allocation under section 54E(b)(2) or 54BB(g) of the 
Internal Revenue Code of 1986 shall--
(1) annually compile the information necessary for the 
Secretary of the Treasury to determine the elements described 
in subsection (b), and
(2) report the information to the Secretary of the Treasury 
at such time and in such manner as the Secretary of the 
Treasury may require.
(d) Secretary of the Treasury.--For purposes of this section, the 
term ``Secretary of the Treasury'' includes the Secretary's delegate.

TITLE III--USES OF FUNDS

SEC. 301. ALLOWABLE USES OF FUNDS.

(a) In General.--Except as provided in section 302, a local 
educational agency that receives covered funds may use such funds to--
(1) develop, maintain, and update (as necessary) the 
facilities master plan required under section 103(e);
(2) construct, modernize, renovate, or retrofit public 
school facilities, which may include seismic retrofitting for 
schools vulnerable to seismic natural disasters;
(3) decarbonize public school facilities through the 
adoption of all-electric space and water heating systems and 
cooking equipment, including other efficiency improvements and 
on-site renewable energy installation;
(4) carry out major repairs of public school facilities, 
including deferred maintenance projects;
(5) install furniture or fixtures with at least a 10-year 
life in public school facilities;
(6) construct new public school facilities;
(7) acquire and prepare sites on which new public school 
facilities will be constructed;
(8) extend the life of basic systems and components of 
public school facilities;
(9) ensure current or anticipated enrollment does not 
exceed the physical and instructional capacity of public school 
facilities;
(10) ensure the building envelopes and interiors of public 
school facilities protect occupants from natural elements and 
human threats, and are structurally sound and secure;
(11) compose building design plans that strengthen the 
safety and security on school premises by utilizing design 
elements, principles, and technology that--
(A) guarantee layers of security throughout the 
school premises; and
(B) uphold the aesthetics of the school premises as 
a learning and teaching environment;
(12) improve energy and water efficiency to lower the costs 
of energy and water consumption in public school facilities;
(13) improve indoor air quality in public school 
facilities;
(14) reduce or eliminate the presence of--
(A) toxic substances, including mercury, radon, 
PCBs, lead, per- and polyfluoroalkyl substances, and 
asbestos;
(B) mold and mildew; or
(C) rodents and pests;
(15) ensure the safety of drinking water at the tap and 
water used for meal preparation in public school facilities, 
which may include testing of the potability of water at the tap 
for the presence of lead and other contaminants, including per- 
and polyfluoroalkyl substances;
(16) bring public school facilities into compliance with 
applicable fire, health, and safety codes;
(17) make public school facilities accessible to people 
with disabilities through compliance with the Americans with 
Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) and section 
504 of the Rehabilitation Act of 1973 (29 U.S.C. 794);
(18) provide instructional program space improvements for 
programs relating to early learning (including early learning 
programs operated by partners of the agency), special 
education, science, technology, career and technical education, 
physical education, music, the arts, and literacy (including 
library programs);
(19) improving the public school facilities of magnet 
schools, or other instructional programs, designed to increase 
student diversity and decrease racial or socioeconomic 
isolation;
(20) increase the use of public school facilities for the 
purpose of community-based partnerships that provide students 
with academic, health, and social services;
(21) ensure the health of students and staff during the 
construction or modernization of public school facilities; or
(22) reduce or eliminate excessive classroom noise due to 
activities allowable under this section.
(b) Allowance for Digital Learning.--A local educational agency may 
use covered funds to leverage existing public programs or public-
private partnerships to expand access to high-speed broadband 
sufficient for digital learning.

SEC. 302. PROHIBITED USES.

(a) In General.--A local educational agency that receives covered 
funds may not use such funds for--
(1) payment of routine and predictable maintenance costs 
and minor repairs;
(2) any facility that is primarily used for athletic 
contests or exhibitions or other events for which admission is 
charged to the general public;
(3) vehicles; or
(4) central offices, operation centers, or other facilities 
that are not primarily used to educate students.
(b) Additional Prohibitions Relating to Charter Schools.--No 
covered funds may be used--
(1) for the facilities of a public charter school that is 
operated or managed by a for-profit entity; or
(2) for the facilities of a public charter school if--
(A) the school leases the facilities from an 
individual or for-profit entity; and
(B) such individual, or an individual with a direct 
or indirect financial interest in such entity, has a 
management or governance role in such school.

SEC. 303. REQUIREMENTS FOR HAZARD-RESISTANCE AND ENERGY AND WATER 
CONSERVATION.

A local educational agency that receives covered funds shall ensure 
that any new construction, modernization, or renovation project carried 
out with such funds meets or exceeds the requirements of the following:
(1) Requirements for such projects set forth in the most 
recent published edition of a nationally recognized, consensus-
based model building code.
(2) Requirements for such projects set forth in the most 
recent published edition of a nationally recognized, consensus-
based model energy conservation code.
(3) Performance criteria under the WaterSense program, 
established under section 324B of the of the Energy Policy and 
Conservation Act (42 U.S.C. 6294b), applicable to such projects 
within a nationally recognized, consensus-based model code.
(4) Indoor environmental air quality requirements 
applicable to such projects as set forth in the most recent 
published edition of a nationally recognized, consensus-based 
code or standard.

SEC. 304. GREEN PRACTICES.

(a) In General.--A local educational agency that uses covered funds 
for a new construction. modernization, or renovation project shall 
ensure that such project for new construction is certified, verified, 
or consistent with the applicable provisions of--
(1) the United States Green Building Council Leadership in 
Energy and Environmental Design green building rating standard 
(commonly known as the ``LEED Green Building Rating System'');
(2) the Living Building Challenge developed by the 
International Living Future Institute;
(3) a green building rating program developed by the 
Collaborative for High-Performance Schools (commonly known as 
``CHPS'') that is CHPS-verified;
(4) the Green Building Initiative Green Globes rating 
system; or
(5) a program that--
(A) has standards that are equivalent to or more 
stringent than the standards of a program described in 
paragraphs (1) through (4);
(B) is adopted by the State or another jurisdiction 
with authority over the agency; and
(C) includes a verifiable method to demonstrate 
compliance with such program.

SEC. 305. USE OF AMERICAN IRON, STEEL, AND MANUFACTURED PRODUCTS.

(a) In General.--A local educational agency that receives covered 
funds shall ensure that any iron, steel, and manufactured products used 
in projects carried out with such funds are produced in the United 
States.
(b) Waiver Authority.--
(1) In general.--The Secretary may waive the requirement of 
subsection (a) if the Secretary determines that--
(A) applying subsection (a) would be inconsistent 
with the public interest;
(B) iron, steel, and manufactured products produced 
in the United States are not produced in a sufficient 
and reasonably available amount or are not of a 
satisfactory quality; or
(C) using iron, steel, and manufactured products 
produced in the United States will increase the cost of 
the overall project by more than 25 percent.
(2) Publication.--Before issuing a waiver under paragraph 
(1), the Secretary shall publish in the Federal Register a 
detailed written explanation of the waiver determination.
(c) Consistency With International Agreements.--This section shall 
be applied in a manner consistent with the obligations of the United 
States under international agreements.
(d) Definitions.--In this section:
(1) Produced in the united states.--The term ``produced in 
the United States'' means the following:
(A) When used with respect to a manufactured 
product, the product was manufactured in the United 
States and the cost of the components of such product 
that were mined, produced, or manufactured in the 
United States exceeds 60 percent of the total cost of 
all components of the product.
(B) When used with respect to iron or steel 
products, or an individual component of a manufactured 
product, all manufacturing processes for such iron or 
steel products or components, from the initial melting 
stage through the application of coatings, occurred in 
the United States, except that the term does not 
include--
(i) steel or iron material or products 
manufactured abroad from semi-finished steel or 
iron from the United States; and
(ii) steel or iron material or products 
manufactured in the United States from semi-
finished steel or iron of foreign origin.
(2) Manufactured product.--The term ``manufactured 
product'' means any construction material or end product (as 
such terms are defined in part 25.003 of the Federal 
Acquisition Regulation) that is not an iron or steel product, 
including--
(A) electrical components; and
(B) nonferrous building materials, including, 
aluminum and polyvinylchloride (PVC), glass, fiber 
optics, plastic, wood, masonry, rubber, manufactured 
stone, any other nonferrous metals, and any 
unmanufactured construction material.

TITLE IV--REPORTS AND OTHER MATTERS

SEC. 401. COMPTROLLER GENERAL REPORT.

(a) In General.--Not later than 2 years after the date on which the 
majority of States receiving allocations under section 102 have made 
grants to local educational agencies under section 103, the Comptroller 
General of the United States shall submit to the appropriate 
congressional committees a report on the projects carried out with 
covered funds.
(b) Elements.--The report under subsection (a) shall include an 
assessment of--
(1) State activities, including--
(A) criteria used by each State to determine high-
need students and facilities for purposes of the 
projects carried out with covered funds; and
(B) whether the State issued new regulations to 
ensure the health and safety of students and staff 
during construction or renovation projects or to ensure 
safe, healthy, and high-performing school buildings;
(2) the types of projects carried out with covered funds, 
including--
(A) the square footage of the improvements made 
with covered funds;
(B) the total cost of each such project; and
(C) the costs of the project disaggregated by the 
costs for planning, design, construction, site 
purchase, and improvements;
(3) the geographic distribution of the projects;
(4) an assessment of the impact of selected projects (as 
identified by the Secretary) on the health and safety of school 
staff and students; and
(5) how the Secretary or States could make covered funds 
more accessible--
(A) to schools with the highest numbers and 
percentages of students counted under section 1124(c) 
of the Elementary and Secondary Education Act of 1965 
(20 U.S.C. 6333(c)); and
(B) to schools with fiscal challenges in raising 
capital for school infrastructure projects.
(c) Updates.--The Comptroller General shall update and resubmit the 
report under this section to the appropriate congressional committees--
(1) on a date that is between 5 and 6 years after the date 
of the submittal of the first report under this section; and
(2) on a date that is between 10 and 11 years after the 
date of the submittal of such first report.

SEC. 402. STUDY AND REPORT ON PHYSICAL CONDITION OF PUBLIC SCHOOLS.

(a) Study and Report.--Not less frequently than once in each 5-year 
period beginning after the date of the enactment of this Act, the 
Secretary, acting through the Director of the Institute of Education 
Sciences, shall--
(1) carry out a comprehensive study of the physical 
conditions of all public schools in each State and outlying 
area; and
(2) submit a report to the appropriate congressional 
committees that includes the results of the study.
(b) Elements.--Each study and report under subsection (a) shall 
include--
(1) an assessment of--
(A) the effect of school facility conditions on 
student and staff health and safety;
(B) the effect of school facility conditions on 
student academic outcomes;
(C) the condition of school facilities, set forth 
separately by geographic region;
(D) the condition of school facilities for 
economically disadvantaged students as well as students 
from major racial and ethnic subgroups;
(E) the accessibility of school facilities for 
students and staff with disabilities;
(F) the prevalence of school facilities at which 
student enrollment exceeds the physical and 
instructional capacity of the facility and the effect 
of such excess enrollment on instructional quality and 
delivery of school wraparound services;
(G) the condition of school facilities affected by 
natural disasters;
(H) the effect that projects carried out with 
covered funds have on the communities in which such 
projects are conducted, including the vitality, jobs, 
population, and economy of such communities;
(I) the ability of building envelopes and interiors 
of public school facilities to protect occupants from 
natural elements and human threats; and
(J) the performance of school facilities projects 
with respect to energy and water efficiency and climate 
mitigation and resilience;
(2) an explanation of any differences observed with respect 
to the factors described in subparagraphs (A) through (J) of 
paragraph (1); and
(3) a cost estimate for bringing school facilities to a 
state of good repair, as determined by the Secretary.

SEC. 403. OFFICE OF SCHOOL INFRASTRUCTURE AND SUSTAINABILITY.

(a) Establishment.--Not later than 90 days after the date of 
enactment of this Act, the Secretary shall establish within the 
Department of Education an office to be known as the ``Office of School 
Infrastructure and Sustainability'' (referred to in this section as the 
``Office'').
(b) Head of Office.--The head of the Office shall be an individual 
designated by the Secretary.
(c) Duties.--The duties of the Office shall be--
(1) to advise the Secretary on State plans under section 
102;
(2) to serve as a liaison with other departments and 
agencies of the Federal Government on matters relating to 
public school facilities, including the Department of Energy, 
the Department of Health and Human Services, the Department of 
the Treasury, the Federal Emergency Management Agency, and the 
Environmental Protection Agency;
(3) to ensure the Department of Education is prepared to 
meet the requirements of this Act in a timely manner; and
(4) to manage such other programs or initiatives affecting 
public school facilities as the Secretary determines 
appropriate.

SEC. 404. DEVELOPMENT OF DATA STANDARDS.

(a) Data Standards.--Not later than 120 days after the date of the 
enactment of this Act, the Secretary, in consultation with the 
officials described in subsection (b), shall--
(1) identify the data that States should collect and 
include in the databases developed under section 102(a)(2)(B);
(2) develop standards for the measurement of such data; and
(3) issue guidance to States concerning the collection and 
measurement of such data.
(b) Officials.--The officials described in this subsection are--
(1) the Administrator of the Environmental Protection 
Agency;
(2) the Secretary of Energy;
(3) the Director of the Centers for Disease Control and 
Prevention; and
(4) the Director of the National Institute for Occupational 
Safety and Health.

SEC. 405. INFORMATION CLEARINGHOUSE.

(a) In General.--Not later than 120 days after the date of the 
enactment of this Act, the Secretary shall establish a clearinghouse to 
disseminate information on Federal programs and financing mechanisms 
that may be used to assist schools in initiating, developing, and 
financing--
(1) energy efficiency projects;
(2) distributed generation projects; and
(3) energy retrofitting projects.
(b) Elements.--In carrying out subsection (a), the Secretary 
shall--
(1) consult with the officials described in section 404(b) 
to develop a list of Federal programs and financing mechanisms 
to be included in the clearinghouse; and
(2) coordinate with such officials to develop a 
collaborative education and outreach effort to streamline 
communications and promote the Federal programs and financing 
mechanisms included in the clearinghouse, which may include the 
development and maintenance of a single online resource that 
includes contact information for relevant technical assistance 
that may be used by States, outlying areas, local educational 
agencies, and Bureau-funded schools to effectively access and 
use such Federal programs and financing mechanisms.

SEC. 406. SENSE OF CONGRESS ON OPPORTUNITY ZONES.

(a) Findings.--The Congress finds as follows:
(1) Opportunity Zones were championed by prominent leaders 
of both parties as an innovative way to tackle longstanding 
challenges.
(2) As of December 2018, 8,763 low-income communities had 
been designated as Opportunity Zones, representing all 50 
States, the District of Columbia, Puerto Rico, the United 
States Virgin Islands, and American Samoa.
(3) Schools are integral parts of communities, and a key 
part of communities' economic and workforce development efforts 
could be modernizing school facilities.
(b) Sense of Congress.--It is the sense of the Congress that 
opportunity zones, when combined with public infrastructure investment, 
can provide an innovative approach to capital financing that has the 
potential to unleash creativity and help local communities rebuild 
schools, rebuild economics, and get people back to work.

TITLE V--IMPACT AID CONSTRUCTION

SEC. 501. TEMPORARY INCREASE IN FUNDING FOR IMPACT AID CONSTRUCTION.

Section 7014(d) of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 7714(d)) is amended to read as follows:
``(d) Construction.--For the purpose of carrying out section 7007, 
there are authorized to be appropriated $100,000,000 for each of fiscal 
years 2027 through 2031.''.

TITLE VI--ASSISTANCE FOR REPAIR OF SCHOOL FOUNDATIONS AFFECTED BY 
PYRRHOTITE

SEC. 601. ALLOCATIONS TO STATES.

(a) In General.--Beginning not later than 180 days after the date 
of the enactment of this Act, the Secretary shall carry out a program 
under which the Secretary makes allocations to States to pay the 
Federal share of the costs of making grants to local educational 
agencies under section 602.
(b) Website.--Not later than 180 days after the date of enactment 
of this Act, the Secretary shall publish, on a publicly accessible 
website of the Department of Education, instructions describing how a 
State may receive an allocation under this section.

SEC. 602. GRANTS TO LOCAL EDUCATIONAL AGENCIES.

(a) In General.--From the amounts allocated to a State under 
section 601(a) and contributed by the State under subsection (e)(2), 
the State shall award grants to local educational agencies--
(1) to pay the future costs of repairing concrete school 
foundations damaged by the presence of pyrrhotite; or
(2) to reimburse such agencies for costs incurred by the 
agencies in making such repairs in the five-year period 
preceding the date of enactment of this Act.
(b) Local Educational Agency Eligibility.--
(1) Eligibility for grants for future repairs.--To be 
eligible to receive a grant under subsection (a)(1), a local 
educational agency shall--
(A) with respect to each school for which the 
agency seeks to use grant funds, demonstrate to the 
State that--
(i) the school is a pyrrhotite-affected 
school; and
(ii) any laboratory tests, core tests, and 
visual inspections of the school's foundation 
used to determine that the school is a 
pyrrhotite-affected school were conducted--
(I) by a professional engineer 
licensed in the State in which the 
school is located; and
(II) in accordance with applicable 
State standards or standards approved 
by any independent, nonprofit, or 
private entity authorized by the State 
to oversee construction, testing, or 
financial relief efforts for damaged 
building foundations; and
(B) provide an assurance that--
(i) the local educational agency will use 
the grant only for the allowable uses described 
in subsection (f)(1); and
(ii) all work funded with the grant will be 
conducted by a qualified contractor or 
architect licensed in the State.
(2) Eligibility for reimbursement grants.--To be eligible 
to receive a grant under subsection (a)(2), a local educational 
agency shall demonstrate that it met the requirements of 
paragraph (1) at the time it carried out the project for which 
the agency seeks reimbursement.
(c) Application.--
(1) In general.--A local educational agency that seeks a 
grant under this section shall submit to the State an 
application at such time, in such manner, and containing such 
information as the State may require, which upon approval by 
the State under subsection (d)(1)(A), the State shall submit to 
the Secretary for approval under subsection (d)(1)(B).
(2) Contents.--At minimum, each application shall include--
(A) information and documentation sufficient to 
enable the State to determine if the local educational 
agency meets the eligibility criteria under subsection 
(b);
(B) in the case of an agency seeking a grant under 
subsection (a)(1), an estimate of the costs of carrying 
out the activities described in subsection (f);
(C) in the case of an agency seeking a grant under 
subsection (a)(2)--
(i) an itemized explanation of--
(I) the costs incurred by the 
agency in carrying out any activities 
described subsection (f);
(II) any amounts contributed from 
other Federal, State, local, or private 
sources for such activities; and
(ii) the amount for which the local 
educational agency seeks reimbursement; and
(D) the percentage of any costs described in 
subparagraph (B) or (C) that are covered by an 
insurance policy.
(d) Approval and Disbursement.--
(1) Approval.--
(A) State.--The State shall approve the application 
of each local educational agency for submission to the 
Secretary that--
(i) submits a complete and correct 
application under subsection (c); and
(ii) meets the criteria for eligibility 
under subsection (b).
(B) Secretary.--Not later than 60 days after 
receiving an application of a local educational agency 
submitted by a State under subsection (c)(1), the 
Secretary shall--
(i) approve such application, in a case in 
which the Secretary determines that such 
application meets the requirements of 
subparagraph (A); or
(ii) deny such application, in the case of 
an application that does not meet such 
requirements.
(2) Disbursement.--
(A) Allocation.--The Secretary shall disburse an 
allocation to a State not later than 60 days after the 
date on which the Secretary approves an application 
under paragraph (1)(B).
(B) Grant.--The State shall disburse grant funds to 
a local educational agency not later than 60 days after 
the date on which the State receives an allocation 
under subparagraph (A).
(e) Federal and State Share.--
(1) Federal share.--The Federal share of each grant under 
this section shall be an amount that is not more than 50 
percent of the total cost of the project for which the grant is 
awarded.
(2) State share.--
(A) In general.--Subject to subparagraph (B), the 
State share of each grant under this section shall be 
an amount that is not less than 40 percent of the total 
cost of the project for which the grant is awarded, 
which the State shall contribute from non-Federal 
sources.
(B) Special rule for reimbursement grants.--In the 
case of a reimbursement grant made to a local 
educational agency under subsection (a)(2), a State 
shall be treated as meeting the requirement of 
subparagraph (A) if the State demonstrates that it 
contributed, from non-Federal sources, not less than 40 
percent of the total cost of the project for which the 
reimbursement grant is awarded.
(f) Uses of Funds.--
(1) Allowable uses of funds.--A local educational agency 
that receives a grant under this section shall use such grant 
only for costs associated with--
(A) the repair or replacement of the concrete 
foundation or other affected areas of a pyrrhotite-
affected school in the jurisdiction of such agency to 
the extent necessary--
(i) to restore the structural integrity of 
the school to the safety and health standards 
established by the professional licensed 
engineer or architect associated with the 
project; and
(ii) to restore the school to the condition 
it was in before the school's foundation was 
damaged due to the presence of pyrrhotite; and
(B) engineering reports, architectural design, core 
tests, and other activities directly related to the 
repair or replacement project.
(2) Prohibited uses of funds.--A local educational agency 
that receives a grant under this section may not use the grant 
for any costs associated with--
(A) work done to outbuildings, sheds, or barns, 
swimming pools (whether in-ground or above-ground), 
playgrounds or ballfields, or any ponds or water 
features;
(B) the purchase of items not directly associated 
with the repair or replacement of the school building 
or its systems, including items such as desks, chairs, 
electronics, sports equipment, or other school 
supplies; or
(C) any other activities not described in paragraph 
(1).
(g) Limitation.--A local educational agency may not, for the same 
project, receive a grant under both--
(1) this section; and
(2) title I.

SEC. 603. DEFINITIONS.

In this title:
(1) Pyrrhotite-affected school.--The term ``pyrrhotite-
affected school'' means an elementary school or a secondary 
school that meets the following criteria:
(A) The school has a concrete foundation.
(B) Pyrrhotite is present in the school's concrete 
foundation, as demonstrated by a petrographic or other 
type of laboratory core analysis or core inspection.
(C) A visual inspection of the school's concrete 
foundation indicates that the presence of pyrrhotite is 
causing the foundation to deteriorate at an unsafe 
rate.
(D) A qualified engineer determined that the 
deterioration of the school's foundation, due to the 
presence of pyrrhotite--
(i) caused the school to become 
structurally unsound; or
(ii) will result in the school becoming 
structurally unsound within the next five 
years.
(2) Qualified contractor.--The term ``qualified 
contractor'' means a contractor who is qualified under State 
law, or approved by any State agency or other State-sanctioned 
independent or nonprofit entity, to repair or replace 
residential or commercial building foundations that are 
deteriorating due to the presence of pyrrhotite.

SEC. 604. AUTHORIZATION OF APPROPRIATIONS.

There are authorized to be appropriated to carry out this title 
such sums as may be necessary for fiscal year 2027 and each fiscal year 
thereafter.
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