SECTION 1. MASTER TEACHER PROGRAMS.

    Title II of the Elementary and Secondary Education Act of 1965 (20 
U.S.C. 6601 et seq.) is amended--
            (1) by redesignating part E as part F;
            (2) by redesignating sections 2401 and 2402 as sections 
        2501 and 2502, respectively; and
            (3) by inserting after part D the following new part:

                   ``PART E--MASTER TEACHER PROGRAMS

``SEC. 2401. MASTER TEACHER PROGRAMS.

    ``(a) Definitions.--In this part:
            ``(1) Board certified.--The term `board certified' means 
        successful completion of all requirements to be certified by 
        the National Board for Professional Teaching Standards.
            ``(2) Master teacher.--The term `master teacher' means a 
        teacher who is certified by the National Board for Professional 
        Teaching Standards and has been teaching for not less than 3 
        years.
            ``(3) Novice teacher.--The term `novice teacher' means a 
        teacher who has been teaching for not more than 3 years at a 
        public elementary school or secondary school.
    ``(b) Program Authorized.--
            ``(1) Authority.--The Secretary is authorized to award 
        grants on a competitive basis to local educational agencies to 
        establish master teacher programs described in subsection (d).
            ``(2) Distribution.--To the maximum extent practicable, the 
        Secretary shall award grants under paragraph (1) so that such 
        grants are distributed among the local educational agencies 
        with the highest concentration of teachers who are not 
        certified or licensed or are provisionally certified or 
        licensed.
            ``(3) Amount.--The amount of a grant awarded under 
        paragraph (1) shall be determined based on--
                    ``(A) the total amount appropriated for a fiscal 
                year under subsection (h); and
                    ``(B) the extent of the concentration of teachers 
                who are not certified or licensed or are provisionally 
                certified or licensed in the local educational agency 
                involved.
    ``(c) Duration.--A grant under this section shall be awarded for a 
period of 5 years.
    ``(d) Authorized Activities.--The master teacher programs described 
in this subsection shall provide funding assistance to teachers who 
seek to become board certified, including the provision of the board 
certification fee.
    ``(e) Applications.--
            ``(1) In general.--A local educational agency desiring a 
        grant under this section shall submit an application to the 
        Secretary at such time, in such manner, and accompanied by such 
        information as the Secretary may reasonably require.
            ``(2) Approval of application.--The Secretary shall make a 
        determination regarding an application submitted under 
        paragraph (1) based on a recommendation of a peer review panel, 
        as established by the Secretary, and any other criteria that 
        the Secretary determines to be appropriate.
    ``(f) Payments.--
            ``(1) In general.--Grant payments shall be made under this 
        section on an annual basis.
            ``(2) Administrative costs.--Each local educational agency 
        that receives a grant under this section shall use not more 
        than 2 percent of the amount awarded under the grant for 
        administrative costs.
            ``(3) Denial of grant.--If the Secretary determines that a 
        local educational agency has failed to make substantial 
        progress during a fiscal year in increasing the percentage of 
        teachers who are board certified, or in improving student 
        achievement, such an agency shall not be eligible for a grant 
        payment under this section in the next succeeding year.
    ``(g) Reports.--Not later than March 31, 2005, the Secretary shall 
prepare and submit to the Committee on Health, Education, Labor, and 
Pensions of the Senate and the Committee on Education and the Workforce 
of the House of Representatives a report of program activities funded 
under this section.
    ``(h) Matching Requirement.--The Secretary may not award a grant to 
a local educational agency under this section unless the local 
educational agency agrees that, with respect to costs to be incurred by 
the agency in carrying out activities for which the grant was awarded, 
the agency shall provide (directly or through donations from public or 
private entities) non-Federal contributions in an amount equal to 25 
percent of the amount of the grant awarded to the agency.
    ``(i) Repayment of Funds.--
            ``(1) In general.--In the case of any program under this 
        section in which assistance is provided to a teacher to pay the 
        National Board for Professional Teaching Standard board 
        certification fee to become board certified, assistance may 
        only be provided if the teacher makes agreements as follows:
                    ``(A) The teacher will enter and complete the 
                National Board for Professional Teaching Standards 
                board certification program to become board certified.
                    ``(B) After completion of such program (whether or 
                not successfully), the teacher will teach in the public 
                school system for a period of not less than 2 years.
            ``(2) Breach of agreements.--A teacher receiving assistance 
        described in paragraph (1) is liable to the local educational 
        agency that provides such assistance for the amount of the 
        certification fee described in paragraph (1) if such teacher--
                    ``(A) voluntarily withdraws or terminates the 
                certification program before taking the examination for 
                board certification; or
                    ``(B) is dismissed from the certification program 
                before taking such examination.
    ``(j) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section, $50,000,000 for each of the 
fiscal years 2002 through 2006.''.
Amends the Elementary and Secondary Education Act of 1965 to authorize the Secretary of Education to make competitive five-year grants to local educational agencies to establish master teacher programs that provide funding assistance to teachers to become board certified by the National Board for Professional Teaching Standards, including the provision of the board certification fee. Requires teachers receiving such assistance to: (1) enter and complete the board certification program; and (2) upon becoming board certified, teach in a public school system for at least two years.
A bill to put teachers first by providing grants for master teacher programs.