S3777119th CongressWALLET

Rebuild America’s Schools Act of 2026

Sponsored By: Senator John Reed

Introduced

Summary

This bill would set up a nationwide program to rebuild and modernize public school facilities serving high‑need students. It pairs large, targeted grants with new tax‑credit school bonds and strict health, safety, energy, and transparency rules to guide projects and prioritization.

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  • Families and students: Schools serving higher shares of low‑income students would be prioritized for upgrades that target indoor air quality, lead and PFAS testing, seismic and foundation repairs, and safer learning spaces. Some priority thresholds are 40 percent free/reduced‑price lunch for elementary and middle schools and 30 percent for high schools.
  • Local educational agencies (LEAs) and schools: States would distribute need‑based grants and LEAs must submit a 10‑year facilities master plan within 180 days of a grant; Title I facilities grants are authorized at $20 billion a year for FY2027–FY2031 and States may use up to 10 percent of grants for digital learning.
  • States, Tribes, and agencies: States must create public online facilities databases updated at least every 3 years and meet a 10 percent non‑Federal match rule unless waived; Bureau‑funded and tribally operated schools get special allocations and treatment.

*This bill would authorize large new federal outlays including $20.0 billion per year for five years for Title I facilities and $100.0 million per year for Impact Aid construction, and it would create tax‑credit school infrastructure bonds that could reduce federal revenue, so it would increase federal budgetary commitments.*

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 3 benefits, 0 costs, 2 mixed.

Extra Impact Aid for school construction

This bill would authorize $100 million to be appropriated each year for Impact Aid construction in fiscal years 2027, 2028, 2029, 2030, and 2031. If enacted, school districts eligible under Impact Aid could receive additional construction funding during those years.

Tax-credit bonds for school projects

This bill would create and expand tax‑credit bonds for school projects. It would let holders of designated school infrastructure bonds claim a tax credit equal to 100% of interest payable, subject to a national cap of $10 billion in each calendar year 2027–2029 and State allocation rules. It would also revive and change qualified tax credit and zone academy bond rules, set a $1.4 billion annual limit for one program starting in 2027, broaden eligible uses, and apply labor standards. The Treasury would publish annual reports listing which districts received bond allocations and project details.

Big federal school facilities grants

This bill would authorize $20 billion per year for school facility grants for FY2027–FY2031, with the money available through FY2036. The Secretary would divide funds to States based on prior-year Title I receipts, reserving 0.5% for outlying areas and 0.5% for Bureau-funded schools. States could reserve up to 5% of their allocation for administration, technical help, and a public facilities database updated at least every 3 years. States would run competitive grants that prioritize districts with the worst facility needs and meet FRPL thresholds (40% for elementary/middle, 30% for high schools); up to 10% may be used for digital learning and broadband. States must provide a 10% non‑Federal match (due by Sept. 30, 2035) and promise to keep capital outlay near prior levels, though the Secretary may grant waivers. The bill would require quick grant timelines, a 10‑year facilities master plan within 180 days after a grant, a federal clearinghouse and data standards within 120 days, and annual Secretary reporting to Congress on awards and project details.

Help for pyrrhotite school repairs

This bill would create a program, starting within 180 days after enactment, to pay part of foundation repairs for schools damaged by pyrrhotite. Grants could cover up to 50% of eligible repair costs and States must provide at least 40% from non‑Federal sources. The program could also reimburse eligible repairs done in the five years before enactment. Funds may be used only for foundation repair work and related engineering, and many items (playgrounds, desks, routine maintenance, vehicles, unrelated facilities) are not allowed.

Green building and Buy American rules

This bill would require school construction and renovation paid with covered funds to meet a green‑building certification and the latest building and energy codes, WaterSense criteria, and indoor air quality standards. It would require iron, steel, and manufactured products used in projects to be produced in the U.S. (a manufactured product counts as U.S. produced if at least 60% of component costs are U.S.-origin). The Secretary could waive Buy American rules for public interest, lack of U.S. supply or quality, or if U.S. sourcing raises project cost by more than 25%, and must publish waiver explanations.

Sponsors & CoSponsors

Sponsor

John Reed

RI • D

Cosponsors

  • Chris Van Hollen

    MD • D

    Sponsored 2/4/2026

  • Martin Heinrich

    NM • D

    Sponsored 2/4/2026

  • Timothy Kaine

    VA • D

    Sponsored 2/4/2026

  • Jeff Merkley

    OR • D

    Sponsored 2/4/2026

  • Richard Blumenthal

    CT • D

    Sponsored 2/4/2026

  • Mazie Hirono

    HI • D

    Sponsored 2/4/2026

  • Alex Padilla

    CA • D

    Sponsored 2/4/2026

  • Tina Smith

    MN • D

    Sponsored 2/4/2026

  • Catherine Cortez Masto

    NV • D

    Sponsored 2/4/2026

  • Jeanne Shaheen

    NH • D

    Sponsored 2/4/2026

  • Richard Durbin

    IL • D

    Sponsored 2/4/2026

  • Sheldon Whitehouse

    RI • D

    Sponsored 2/4/2026

  • Angela Alsobrooks

    MD • D

    Sponsored 2/4/2026

  • Cory Booker

    NJ • D

    Sponsored 2/4/2026

  • Edward Markey

    MA • D

    Sponsored 2/4/2026

  • Sen. Luján, Ben Ray [D-NM]

    NM • D

    Sponsored 2/4/2026

  • Tammy Duckworth

    IL • D

    Sponsored 2/4/2026

  • Christopher Murphy

    CT • D

    Sponsored 2/9/2026

  • John Fetterman

    PA • D

    Sponsored 2/10/2026

  • Peter Welch

    VT • D

    Sponsored 2/10/2026

Roll Call Votes

No roll call votes available for this bill.

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