HOUSE REPORT TO ACCOMPANY THE FISCAL YEAR 2005 APPROPRIATIONS BILL FOR THE DEPARTMENTS OF LABOR, HHS AND EDUCATION

IMPACT AID

The bill provides $1,250,893,000 for Federal impact aid programs in fiscal year 2005, an increase of $21,366,000 above the fiscal year 2004 appropriation and the budget request. This account supports payments to school districts affected by Federal activities. Impact Aid represents a federal responsibility to local schools educating children whose families are connected with the military or who live on Indian land.                                                   The bill also includes language ensuring that schools serving the children of military personnel continue to receive Impact Aid funds when the military parents who live on-base are deployed and the child continues to attend the same school and in cases in which an on-base military parent is killed while on active duty and the child continues to attend the same school.

Basic support payments.—The bill includes $1,083,687,000 for basic support payments to local educational agencies, an increase of $20,000,000 above the fiscal year 2004 appropriation and the budget request. Basic support payments compensate school districts for lost tax revenue and are made on behalf of Federally-connected children such as children of members of the uniformed services who live on Federal property.

Payments for children with disabilities.—The Committee recommends $50,369,000 for payments on behalf of Federally-connected children with disabilities, the same as the budget request and the fiscal year 2004 appropriation. These payments compensate school districts for the increased costs of serving Federally-connected children with disabilities.

Facilities maintenance.—The Committee recommends $7,901,000 for facilities maintenance, the same as the fiscal year 2004 amount and the budget request. These capital payments are authorized for maintenance of certain facilities owned by the Department of Education.

Construction.—The Committee recommends $45,936,000 for the construction program, the same as the budget request and the fiscal year 2004 level. This program provides formula and competitive grants to eligible locally owned school districts for building and renovating school facilities.

Payments for Federal property.—The bill provides $63,000,000 for payments related to Federal property, an increase of $1,366,000 above the fiscal year 2004 appropriation and the budget request. Funds are awarded to school districts to compensate for lost tax revenue as the result of Federal acquisition of real property since 1938.