In this report, the Senate Committee on Labor and Human Resources--to which Senate Bill 1513 was referred--recommends that the bill pass as amended, thereby clearing the way for reauthorization of the Elementary and Secondary Education Act of 1965 legislation, including Title 1. Title 1 funds have been a major factor in providing locally operated "compensatory" educational programs, as well as other educational programs. Renamed the Improving America's Schools Act of 1994, the legislation is designed to continue improvement of learning and teaching and also to realign federal educational policy and programs to achieve the educational objectives of the Goals 2000 bill. The report is divided into nine sections. The first 123 pages contain sections on: (1) introduction to and purpose of the legislation; (2) committee views; (3) tabulation of votes cast in committee; (4) cost estimate of the legislation; (5) regulatory impact statement; (6) section-by-section analysis of the bill; (7) additional views of Senator Dave Durenberger; and (8) minority views of Senator Dan Coats. Section 9, the remaining 457 pages, examines changes in existing law that would result from passage of this bill. (ET)