A Senate committee hearing received testimony on proposed amendments to the Indian provisions of the Elementary and Secondary Education Act (ESEA). The proposals include amendments to the ESEA amendments of 1978 related to Bureau of Indian Affairs (BIA) schools and amendments to the Tribally Controlled Schools Act of 1988. Both sets of proposals stress local tribal flexibility in developing education programs and continue the trend toward increasing tribal contracting of federal services and programs. Testimony from U.S. Senators and representatives of Native educational associations addressed the role of Native school boards, the backlog of nearly a billion dollars in construction needs at BIA schools, the need for investment accounts for every BIA school to cover the costs of capital improvements, funding mechanisms, tribal educational standards and accountability, and local training and technical assistance needs. The question of whether a BIA grant school could also receive state charter-school funds was discussed. The appendix contains the Navajo Nation's recommendations for specific language to be used in the amendments. (SV)