To provide demonstration grants to secondary schools for the purpose of extending the length of the academic year at such schools.

Directs the Secretary of Education to provide demonstration grants to secondary schools to extend the length of the academic year for three consecutive years at such schools to not fewer than 200 academic days, with each such day consisting of not fewer than seven hours of actual instruction.

Allows such grants to extend over a period of not more than three fiscal years. Makes grant payments subject to annual approval by the Secretary and availability of fiscal year appropriations. Sets forth application requirements, including a 20 percent non-Federal match with good-faith exceptions.

Sets forth selection requirements, including, to the extent practicable, schools that: (1) have a high percentage of students from single-parent homes or homes where both parents work; (2) are located in economically depressed communities with high percentages of individuals with alcohol and other drug abuse problems and individuals involved in gang activities; and (3) are equitably distributed among various regions and among rural and urban areas. Provides for selection of replacement schools in cases of noncompliance. Requires notification of the participating secondary schools' State and local education agencies.

Directs the Secretary to study the effects of such academic year extension under such program, including: (1) a test to measure learning retention; (2) effects on the learning process in general, including increased daily attendance, parental involvement, postsecondary attendance, positive behavorial and social skills, and reduced alcohol and other drug abuse, gang-related activities, and drop-out rate; and (3) the extent the program is believed to be successful by the participating students, teachers, parents, and State and local educational agencies. Requires the Secretary to submit a preliminary and a final report to the Present, the Congress, and each State educational agency of secondary schools receiving such grants.

Authorizes appropriations.