Counseling Not Criminalization in Schools Act This bill prohibits the use of federal funds for law enforcement officers in schools. It also establishes a grant program to replace law enforcement officers in schools with personnel and services that support mental health and trauma-informed services. Specifically, the bill prohibits the use of federal funds to hire, maintain, or train law enforcement officers in elementary or secondary schools. Further, it prohibits the use of Community Oriented Policing Services (COPS) grants for law enforcement officers in schools. Additionally, the bill directs the Department of Education to award grants to local educational agencies to (1) replace law enforcement officers in elementary and secondary schools with personnel and services that support mental health and trauma-informed services, and (2) reform school safety and disciplinary policies to reflect evidence-based practices that do not rely on the criminal justice system. A recipient must use grants funds to hire, maintain, or train specified staff. The bill prohibits the use of grant funds for (1) establishing or enforcing punitive school discipline policies, (2) purchasing or installing surveillance equipment (e.g., metal detectors), or (3) arming teachers or other school personnel.