,,ii  #aaeth ,,congress  #ast ,session  
,s4 #fec  ,,in ,,the ,,senate ,,of ,,the
 ,,united ,,states  ,march #ae1 #bjag   
,mr4 ,hatch introduced the following    
bill2 which was read twice and referred 
to the ,committee on ,health1           
,education1 ,labor1 and ,pensions  ,a   
,,bill  ,to amend the ,carl ,d4 ,perkins
 ,career and ,technical ,education ,act 
of #bjjf to make the maintenance of     
effort provision less burdensome on     
,states4  #a4 ,short title  ,this ,act  
may be cited as the ,career and         
,technical ,education ,state            
,flexibility ,act4  #b4 ,maintenance of 
effort ,section #caa7;b7 of the ,carl   
,d4 ,perkins ,career and ,technical     
,education ,act of #bjjf 7#bj ,u4,s4,c4 
#bcia7;b77 is amended--  7#a7 in        
paragraph 7#a7-- 7,a7 by striking       
subparagraph 7,a7 and inserting the     
following3  7,a7 ,in general  7i7 ,in   
general ,in order for a ,state to       
receive its full allotment of funds     
under this ,act for any applicable      

fiscal year1 the ,state's fiscal effort 
per student1 or the aggregate           
expenditures of such ,state1 with       
respect to career and technical         
education for the fiscal year preceding 
such applicable fiscal year shall be not
 less than #hj percent the fiscal effort
 per student1 or the aggregate          
expenditures of such ,state1 for the    
second fiscal year preceding such       
applicable fiscal year4  7ii7           
,applicable fiscal year ,in clause 7i71 
the term applicable fiscal year means   
any fiscal year beginning with the third
 fiscal year that begins after the date 
of enactment of the ,career and         
,technical ,education ,state            
,flexibility ,act4  7iii7 ,no           
application for first two fiscal years2 
reset ,the maintenance of effort        
requirement under clause 7i7 shall not  
be applicable for the first #b fiscal   
years that begin after the date of      
enactment of the ,career and ,technical 
,education ,state ,flexibility ,act4    

,after the date of enactment of the     
,career and ,technical ,education ,state
 ,flexibility ,act1 a ,state may        
establish a new level of fiscal effort  
per student or aggregate expenditures   
for purposes of compliance with this    
subsection4  2 and  7,b7 in subparagraph
 7,b71 by striking shall exclude capital
 expenditures1 special #a-time project  
costs1 and the cost of pilot programs   
and inserting shall exclude competitive 
or incentive-based programs established 
by the ,state1 capital expenditures1    
special #a-time project costs1 and the  
cost of pilot programs2 and  7#b7 by    
striking paragraph 7#b7 and inserting   
the following3  7#b7 ,reduction in case 
of failure to meet effort ,the          
,secretary shall reduce the amount of a 
,state's allotment of funds under this  
,act for any applicable fiscal year 7as 
defined in paragraph 7#a77;,a77ii77 in  
the exact proportion by which the ,state
 fails to meet the requirement of       
paragraph 7#a77;,a77i7 by falling below 

#hj percent of both the ,state's fiscal 
effort per student and the ,state's     
aggregate expenditures 7using the       
measure most favorable to the ,state71  
if the ,state failed to meet such       
requirement 7as determined using the    
measure most favorable to the ,state74  
7#c7 ,waiver ,the ,secretary may waive  
the application of paragraph 7#b7 due to
 exceptional or uncontrollable          
circumstances affecting the ability of  
the ,state to meet the requirement of   
paragraph 7#a77;,a77i74  4