Rebuild America’s Schools Act of 2026
- Bill Number
- S. 3777
- Origin Chamber
- Senate
- Congress
- 119th Congress, Session 2
- Policy Area
- Education
- Status
- Introduced
- Latest Action
- 2026-02-04: Read twice and referred to the Committee on Finance. (Sponsor introductory remarks on measure: CR S491)
- Last Updated
- 2026-03-30T20:35:18Z
AI-Generated Summary
Purpose of the Legislation
The Rebuild America's Schools Act of 2026 aims to fund and support the long-term repair, renovation, modernization, and construction of public school facilities across the United States. It prioritizes high-need schools serving low-income and disadvantaged students, while promoting health, safety, energy efficiency, and environmental sustainability. The act seeks to address aging infrastructure, reduce inequities in education, and create jobs through targeted federal investments.
Key Provisions
The legislation is structured into six titles, providing grants, tax incentives, and specific assistance programs:
- Title I: Grants for Long-Term Improvement of Public School Facilities
- Allocates funds to states based on their share of federal education funding for low-income students; states must submit plans and match 10% of funds (waivable in high-funding years).
- States award competitive, need-based grants to qualified local educational agencies (LEAs)—those serving high numbers of low-income students with limited fundraising capacity—for projects like repairs, renovations, and energy upgrades.
- Reserves 1% of funds for outlying areas (e.g., U.S. territories) and Bureau of Indian Education-funded schools.
- Authorizes $20 billion annually from fiscal years 2027 through 2031, available until 2036.
- Requires states to create public databases on school conditions (e.g., age, safety inspections, toxin presence) and LEAs to develop 10-year facilities master plans.
- Title II: School Infrastructure Bonds
- Restores and expands qualified zone academy bonds (tax credits for bondholders or issuers) with a $1.4 billion annual limit starting in 2027, removing private contribution requirements and allowing use for school construction.
- Introduces new "school infrastructure bonds" with a $10 billion annual national limit (2027–2029), providing 100% tax credits on interest to finance school projects.
- Allocates bond limits to states proportionally based on low-income student funding; up to 10% can support digital learning broadband access.
- Requires a 6-year spending period for bond proceeds, with redemption for unspent funds.
- Title III: Uses of Funds
- Allowable Uses: Funds can support construction, repairs, energy-efficient upgrades (e.g., renewable energy, all-electric systems), toxin removal (e.g., lead, asbestos, PFAS chemicals—short for per- and polyfluoroalkyl substances, which are persistent pollutants), accessibility improvements, and broadband for digital learning. Projects must prioritize health, safety, and equity.
- Prohibited Uses: No funds for routine maintenance, athletic facilities with paid admission, vehicles, or for-profit charter schools (with exceptions for non-profit-operated charters).
- Mandates compliance with building codes, energy/water conservation standards, and green building certifications (e.g., LEED—Leadership in Energy and Environmental Design, a rating system for sustainable construction).
- Requires use of U.S.-produced iron, steel, and manufactured goods (waivable for cost, availability, or public interest reasons), consistent with U.S. trade agreements.
- Title IV: Reports and Other Matters
- Mandates annual reports from the Department of Education and Treasury on grant/bond usage, including demographics, project benefits (e.g., jobs created, energy savings), and equity in distribution.
- Requires a Government Accountability Office review of program effectiveness every 5–6 years.
- Directs a 5-year study on national school conditions, assessing health impacts, accessibility, and repair costs.
- Establishes an Office of School Infrastructure and Sustainability in the Department of Education to coordinate efforts.
- Develops data standards for school inventories and creates an information clearinghouse for federal financing options (e.g., energy retrofits).
- Expresses congressional support for combining opportunity zones (designated low-income areas for tax incentives) with school investments to boost community economies.
- Title V: Impact Aid Construction
- Temporarily increases funding for Impact Aid (federal support for schools on federal lands, e.g., military bases) to $100 million annually from 2027–2031 for construction projects.
- Title VI: Assistance for Repair of School Foundations Affected by Pyrrhotite
- Provides grants to states for LEAs to repair or reimburse costs for schools with foundations damaged by pyrrhotite (a mineral causing concrete to crumble).
- Eligibility requires professional engineering confirmation; federal share up to 50%, state share at least 40%.
- Authorizes necessary appropriations starting in 2027; prohibits dual funding with Title I grants.
Significant Changes to Existing Law
- New Funding Mechanisms: Introduces school infrastructure bonds and restores/extends qualified zone academy bonds, previously limited or repealed, to incentivize private investment in schools without private matching requirements.
- Grant Program Creation: Establishes a major new federal grant program under Title I, absent in prior law, with equity-focused allocations tied to low-income student data from the Elementary and Secondary Education Act (ESEA).
- Impact Aid Boost: Raises authorization from prior levels (e.g., around $18–20 million) to $100 million annually, expanding support for federally impacted schools.
- Sustainability Mandates: Adds requirements for green practices, U.S. manufacturing preferences, and toxin testing (e.g., PFAS), building on but exceeding ESEA and Americans with Disabilities Act standards.
- Pyrrhotite-Specific Aid: Creates a targeted program for a niche infrastructure issue not previously addressed federally.
- Reporting and Oversight: Imposes new data collection, master planning, and interagency coordination not required under existing education laws.
Potential Impacts
- On Government Agencies: The Department of Education gains new responsibilities (e.g., office establishment, data standards), increasing administrative workload but enabling better coordination with agencies like Energy, EPA, and Treasury. States and LEAs face matching funds and planning requirements, potentially straining budgets but providing tools for infrastructure tracking.
- On Citizens: Students in high-need, low-income schools (especially in underserved or rural areas) benefit from safer, more modern facilities, improved learning environments, and reduced health risks (e.g., better air quality, toxin removal). Teachers and staff gain from enhanced safety and accessibility. Communities see job creation (e.g., construction roles) and economic boosts via green upgrades and opportunity zone synergies. Long-term energy savings could lower school operating costs, indirectly benefiting taxpayers.
- On International Relations: Minimal direct impact, but the "Buy American" provisions for materials must align with U.S. trade agreements, potentially affecting imports from allies. Environmental standards (e.g., climate resilience) support U.S. global commitments to sustainability without binding international obligations.
Main Stakeholders Affected
- Local Educational Agencies (LEAs): Primary recipients, especially qualified LEAs serving high percentages of low-income, disadvantaged, or disabled students; must prioritize equity and submit detailed plans.
- States and Outlying Areas: Responsible for allocations, technical assistance, and databases; required to maintain fiscal effort for school capital projects.
- Students and Educators: Especially in public elementary/secondary schools, including Bureau-funded (Native American) and Impact Aid schools; benefit from health/safety improvements and reduced isolation.
- Communities and Businesses: Low-income and rural areas gain infrastructure upgrades; small, minority-, veteran-, and women-owned businesses are prioritized for contracts. Opportunity zones target economically distressed communities.
- Federal Agencies: Department of Education (oversight), Treasury (bonds), Interior (tribal schools), and others (e.g., EPA for toxins) for coordination.
- Charter Schools: Limited access, excluding for-profit entities to prevent misuse.
Notable Legal, Constitutional, or Political Implications
- Legal: Strengthens compliance with existing laws like ESEA (for equity), Americans with Disabilities Act (accessibility), and labor standards (e.g., Davis-Bacon prevailing wages for bond projects). The "supplement not supplant" rule ensures federal funds add to, not replace, state/local spending. Waivers for matching funds or Buy American rules provide flexibility but require public justification to avoid challenges.
- Constitutional: Aligns with federal spending power under Article I (general welfare) and equal protection principles by targeting disparities without infringing state education authority (states retain plan approval). No apparent First Amendment or property rights issues.
- Political: Sponsored by a bipartisan group of senators, it emphasizes infrastructure equity and green jobs, potentially bridging divides on education and climate policy. Authorizes significant spending ($100+ billion over years), raising fiscal debates, but ties to low-income aid may garner broad support. Encourages state innovation (e.g., net-zero energy schools) while promoting national standards for accountability.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (20)
Sen. Van Hollen, Chris [D-MD], Sen. Heinrich, Martin [D-NM], Sen. Kaine, Tim [D-VA], Sen. Merkley, Jeff [D-OR], Sen. Blumenthal, Richard [D-CT], Sen. Hirono, Mazie K. [D-HI], Sen. Padilla, Alex [D-CA], Sen. Smith, Tina [D-MN], Sen. Cortez Masto, Catherine [D-NV], Sen. Shaheen, Jeanne [D-NH], Sen. Durbin, Richard J. [D-IL], Sen. Whitehouse, Sheldon [D-RI], Sen. Alsobrooks, Angela D. [D-MD], Sen. Booker, Cory A. [D-NJ], Sen. Markey, Edward J. [D-MA], Sen. Luján, Ben Ray [D-NM], Sen. Duckworth, Tammy [D-IL], Sen. Murphy, Christopher [D-CT], Sen. Fetterman, John [D-PA], Sen. Welch, Peter [D-VT]
Recent Actions
- 2026-02-04: Read twice and referred to the Committee on Finance. (Sponsor introductory remarks on measure: CR S491)
- 2026-02-04: Introduced in Senate
Bill Versions
- Rebuild America’s Schools Act of 2026 — issued 2026-02-04 — PDF (75 pages)