A bill to amend the act of September 30, 1950 (Public Law 874, 81st Cong.) relating to financial assistance for schools in areas affected by Federal activities to provide for a phasing out of certain entitlements under that act, and for other purposes.

Provides for a gradual phasing out of specified entitlement provisions of Federal aid to federally impacted school areas.

Provides that for fiscal years beginning after June 30, 1975, in determining the entitlement of a local educational agency to a specified allotment according to the number of children of Federal employees and the local contribution rate: (1) the Commissioner shall count: (a) each child who for fiscal years beginning after June 30, 1973, was counted by that agency for two consecutive fiscal years, as three quarters, (b) each child who for fiscal years beginning after June 30, 1973, was counted for the purpose of that sentence for three consecutive fiscal years, as one-half, and (c) each child who for fiscal years beginning after June 30, 1973, was counted for four consecutive fiscal years, as one quarter; and (2) the Commissioner shall not count any child who for fiscal years beginning after June 30, 1973, was counted by that agency for the purpose of that sentence for five consecutive fiscal years.