Thank you, Chairman Enzi, Senator Kennedy and the members of the Committee. I want to thank you all for your focus on lifelong learning. And I want to thank my esteemed colleague Secretary Chao for her expertise and dedication. We have worked together on these issues for the past four years.

As Secretary Chao pointed out, we live in a very different world today than the one our parents and grandparents knew. In that world, a single occupation could last a lifetime, from Graduation Day to retirement; a single skill could ensure a worker a comfortable living for his or her family.

Today, guarantees of stability and security are fewer. But opportunities are far more numerous—if we are prepared to seize them.

The question is, are we prepared? Are children receiving a quality education? Do young adults have the skills they need to succeed in this new world?

To answer those questions, we must first look in the mirror. In Texas, we say that "if all you ever do is all you've ever done, all you ever get will be all you've ever gotten." The world has changed. We must change along with it. The old government model—top-down structures, process over results, multiple funding streams with limited flexibility—is simply not good enough anymore. We need to have the courage to change the way we do business.

This change starts with public education. No government program available at age 20 can make up for a poor education from ages 5-18.

A little over three years ago, Congress joined President Bush to tackle the educational status quo. The result was the No Child Left Behind Act.

Its focus on accountability, high standards, local control and research-based instruction is showing real results. Nearly every state now reports improved academic performance. And students once at greatest risk of being left behind—such as those in large urban school districts—are now leading the way.

The President's 2006 budget provides a $603 million increase for core Title I Grants to Local Education Agencies to keep this progress going strong. Now we must take the next step.

Earlier this year, Bill Gates told the nation's governors that, "Training the workforce of tomorrow with the high schools of today is like trying to teach kids about today's computers on a 50-year-old mainframe."

That may have been an exaggeration. But not by much. The old high school model is not serving us as well as it can or should. Forty percent of schools offer no Advanced Placement courses. Fewer than half the states require at least three years of math or science to graduate. And we still measure performance by the amount of time students sit in classrooms, not by what they know and are able to do.

So it comes as no shock that nearly one-third of incoming ninth-graders do not make it to Graduation Day within four years. Or that, of those who do, less than one-third are prepared for college, according to the Manhattan Institute. Or that our college dropout rate is six times' higher than Japan's.

I believe Gov. Mark Warner, the Democratic chair of the National Governors Association, speaks for all of us when he says, "it is imperative that we make reform of the American high school a national priority." I believe it's time to apply the bipartisan principles of No Child Left Behind to grades 9 through 12.

President Bush's 2006 Budget would provide $1.5 billion for a High School Initiative to improve the academic achievement of at-risk students and measure performance annually to ensure all students get the help they need.

The Budget also contains unprecedented financial support for students taking Advanced Placement classes; new Enhanced Pell Grants to encourage more challenging coursework; and Community College Access Grants to let students earn college-level credit in high school for both academic and technical courses.

The key to success, of course, is a highly qualified teacher in every classroom. The President's Budget would make permanent the increase in loan forgiveness from $5,000 to $17,500 for highly qualified math, science and special education teachers serving low-income communities.

And the President's adjunct teacher program will bring outside professionals into the classroom, answering the question, why not have a NASA scientist teach physics in our public schools?

This attitude of change extends to higher education. The President, as you know, is seeking the reauthorization of the Higher Education Act. But we want to improve it as well.

For the first time, Pell Grants would be made available year-round, to allow students to learn on their own timetable. And the maximum award would be increased by $100 each of the next five years. An estimated 5.5 million students would benefit.

Our Jobs for the 21st Century Initiative will help community colleges identify and meet the needs of local job providers. It's a bold partnership between the Department of Education and the Department of Labor. As a former Austin Community College employee, I know how hard these institutions work to be responsive to their diverse students and the community.

Portland Community College's Gateway to College program, for instance, helps former dropouts earn a high school diploma, then continue on to certificate or degree programs in their academic or technical field. They understand that you don't have to have a four-year bachelor's or a master's degree to enjoy a successful career and life.

Finally, our reform of the Perkins Vocational Program will ensure that the people it was designed to help have the rigorous background in math and science as well as the technical skills to succeed in the modern workplace. The data that we know—and the facts that you've just heard—tell us that the status quo just isn't working.

As President Bush has said, "If we don't adjust quickly, and if we don't do smart things with the taxpayers' money, we're going to have a shortage of skilled workersand we're no longer going to be on the leading edge of change."

In other words, we cannot just "pour new funds into old federal models." We have to anticipate needs and take steps to meet them.

One of the best ways is through technology. As part of our Adult Education national plan, we're establishing a web-based system to inform adults of programs and activities that help them learn English and math. And we'll offer access to software so they can learn these skills from any computer at any time.

Technology is changing the world faster than our imagination can predict it. Our high schools may be very different places a decade or two from now. The old, regimented "factory"-type model, based on time spent in classrooms, may give way to a new "competency-based" model that measures progress according to what kids have learned, not the date on the calendar.

Such a model would take full advantage of community resources, private sector innovations and the advanced, interactive technologies kids and teachers use at home and school. We already see it in the movement to create "Digital High Schools" and the explosive growth of "Distance Learning." It is a smarter, faster, more student-centric model of learning.

I compare it to tax season—which is on many Americans' mind right now! In the past, you would see lines of cars stretching to the post office at midnight on April 15th. That was the old model. Now sophisticated computer programs like "Turbotax" help us get the job done faster and better.

I have traveled to elementary and secondary schools across the country, from Ohio to California, and closer to home in Annapolis and Richmond. I've spoken with dozens of parents, teachers, principals and administrators. I have not heard many questions about specific federal programs.

I have heard concerns about how well we are preparing young adults to succeed in higher education and the workforce. They understand that we live in a world in which 80 percent of the fastest-growing jobs will require post-secondary education or training.

Reform cannot wait. According to the President's Council of Advisors on Science and Technology, our students lose interest in math and science the further they advance through the educational system.

Meanwhile, Craig Barrett, CEO of Intel, reports that "China and India are expanding their university-level math, science and engineering programs at a pace comparable to the United States after World War II." He adds, "If the world's best engineers are produced in India or Singapore, that is where our companies will go."

In 2001, India graduated nearly one million more students from college than the U.S.; China has six times as many graduates majoring in engineering. Both are now members of the World Trade Organization. If only 10 percent of their population is well-educated, that means 230 million new competitors. Clearly, we're no longer the only economic kid on the block.

This is a time of change and opportunity. But we can take advantage only if we change as well. We must stop being captives of the past and start thinking like competitors and consumers.

President Bush's proposals will help create a seamless educational continuum from K-12 through college and beyond, to serve young students and adults seeking to adapt to the ever-changing global economy.

All Americans need a strong foundation of academic skills in order to fulfill their roles as workers, parents, and citizens. We look forward to working with the Committee and Congress to help make it happen. Thank you.

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