State facilities aid program authorized

Section 4304 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7221c) is amended by striking subsection (k) and inserting the following: (k) State facilities aid program (1) State entity defined In this subsection, the term State entity has the meaning given the term in section 4303(a). (2) Grants to state entities (A) Grants authorized From the amounts appropriated under paragraph (5) and not reserved under paragraph (3), the Secretary shall make competitive grants to State entities to pay for the cost of establishing or enhancing, and administering, charter school facilities aid programs. (B) Application A State entity desiring to receive a grant under this subsection shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. (C) Selection considerations In making grants under this subsection, the Secretary shall consider, based on quantitative measures, the extent to which the activities proposed to be carried out under a grant will— (i) improve the equity of charter schools’ access to facilities funding and financing within a State, by reducing gaps in such funding and financing (for both acquisitions and operating costs) between charter schools and other public schools; (ii) increase charter schools’ access to public buildings; and (iii) increase the access of charter schools in low-income and rural communities to adequate facilities. (D) Priorities In making grants under this subsection, the Secretary shall give a competitive preference priority to an applicant located in a State that— (i) qualifies for a priority under subparagraph (A) or (C) of section 4303(g)(2); (ii) provides charter schools with access to tax-exempt financing; (iii) ensures that land-use policies within the State, such as policies regarding permits and fees, provide for the same or substantially similar treatment of charter schools as other public schools; (iv) prohibits localities and other instrumentalities of the State from imposing negative deed restrictions on properties that limit charter school access, including prohibitions or restrictions on charter schools purchasing surplus public property; or (v) ensures that charter schools have the first right of refusal to purchase surplus public property. (E) Uses of funds A State entity receiving a grant under this subsection shall use such grant to carry out one or more of the following activities in the applicant’s State: (i) Increasing funding for, creating, or improving financing mechanisms to support charter schools’ acquisition, access to leasing, and construction or renovation of facilities, which may include partnerships with local educational agencies that provide access to public buildings. (ii) Increasing funding for, or creating funding mechanisms to support, charter schools’ ongoing facilities costs. (iii) Supporting the creation of alternative ownership models, to plan, develop, and manage facilities for charter schools and other public service providers. (iv) (I) In the case of a State entity that is not receiving a grant under subsection (a), establishing and maintaining a reserve account described in subsection (f) and depositing all, or a portion of, the grant funds received under this subsection in such reserve account for one or more of the purposes described subsection (f)(1). (II) In the case of a State entity that is receiving a grant under subsection (a), depositing all, or a portion of, the grant funds received under this subsection in the reserve account established and maintained by the State entity under subsection (f). (F) Supplement, not supplant A State entity receiving a grant under this subsection shall use such grant only to supplement, and not supplant, non-Federal funds that would otherwise be used for activities authorized under this subsection. (3) National activities From the amounts appropriated under paragraph (5), the Secretary may reserve not more than 2 percent to carry out, directly or through grants or contracts, technical assistance to grantees, evaluation of grant activities, and research and dissemination related to the purposes of this subsection.. (4) No Federal interest The financial assistance provided through grants made under this subsection shall not create a Federal interest as such term is defined in section 200.1 of title 2, Code of Federal Regulations (or successor regulations).. (5) Authorization of appropriations There are authorized to be appropriated to carry out this subsection $100,000,000 for each of fiscal years 2026 through 2030..