Subpart 1 Federal Pell Grants

Transcription

1 TITLE IV STUDENT ASSISTANCE PART A GRANTS TO STUDENTS IN ATTENDANCE AT INSTITUTIONS OF HIGHER EDUCATION SEC ø20 U.S.C STATEMENT OF PURPOSE; PROGRAM AUTHORIZATION. (a) PURPOSE. It is the purpose of this part, to assist in making available the benefits of postsecondary education to eligible students (defined in accordance with section 484) in institutions of higher education by (1) providing Federal Pell Grants to all eligible students; (2) providing supplemental educational opportunity grants to those students who demonstrate financial need; (3) providing for payments to the States to assist them in making financial aid available to such students; (4) providing for special programs and projects designed (A) to identify and encourage qualified youths with financial or cultural need with a potential for postsecondary education, (B) to prepare students from low-income families for postsecondary education, and (C) to provide remedial (including remedial language study) and other services to students; and (5) providing assistance to institutions of higher education. (b) SECRETARY REQUIRED TO CARRY OUT PURPOSES. The Secretary shall, in accordance with subparts 1 through 8, carry out programs to achieve the purposes of this part. Subpart 1 Federal Pell Grants SEC ø20 U.S.C. 1070a FEDERAL PELL GRANTS: AMOUNT AND DETERMINATIONS; APPLICATIONS. (a) PROGRAM AUTHORITY AND METHOD OF DISTRIBUTION. (1) For each fiscal year through fiscal year 2004, the Secretary shall pay to each eligible institution such sums as may be necessary to pay to each eligible student (defined in accordance with section 484) for each academic year during which that student is in attendance at an institution of higher education, as an undergraduate, a Federal Pell Grant in the amount for which that student is eligible, as determined pursuant to subsection (b). Not less than 85 percent of such sums shall be advanced to eligible institutions prior to the start of each payment period and shall be based upon an amount requested by the institution as needed to pay eligible students until such time as the Secretary determines and publishes in the Federal Register with an opportunity for comment, an alternative payment system that provides payments to institutions in an accurate and 1

2 Sec. 401 HIGHER EDUCATION ACT OF timely manner,, 1 except that this sentence shall not be construed to limit the authority of the Secretary to place an institution on a reimbursement system of payment. (2) Nothing in this section shall be interpreted to prohibit the Secretary from paying directly to students, in advance of the beginning of the academic term, an amount for which they are eligible, in cases where the eligible institution elects not to participate in the disbursement system required by paragraph (1). (3) Grants made under this subpart shall be known as Federal Pell Grants. (b) PURPOSE AND AMOUNT OF GRANTS. (1) The purpose of this subpart is to provide a Federal Pell Grant that in combination with reasonable family and student contribution and supplemented by the programs authorized under subparts 3 and 4 of this part, will meet at least 75 percent of a student s cost of attendance (as defined in section 472), unless the institution determines that a greater amount of assistance would better serve the purposes of section 401. (2)(A) The amount of the Federal Pell Grant for a student eligible under this part shall be (i) $4,500 for academic year ; (ii) $4,800 for academic year ; (iii) $5,100 for academic year ; (iv) $5,400 for academic year ; and (v) $5,800 for academic year , less an amount equal to the amount determined to be the expected family contribution with respect to that student for that year. (B) In any case where a student attends an institution of higher education on less than a full-time basis (including a student who attends an institution of higher education on less than a halftime basis) during any academic year, the amount of the Federal Pell Grant to which that student is entitled shall be reduced in proportion to the degree to which that student is not so attending on a full-time basis, in accordance with a schedule of reductions established by the Secretary for the purposes of this division, computed in accordance with this subpart. Such schedule of reductions shall be established by regulation and published in the Federal Register in accordance with section 482 of this Act. (3)(A) For any academic year for which an appropriation Act provides a maximum basic grant in an amount in excess of $2,700, the amount of a student s basic grant shall equal $2,700 plus (i) one-half of the amount by which such maximum basic grant exceeds $2,700; plus (ii) the lesser of (I) the remaining one-half of such excess; or (II) the sum of the student s tuition and, if the student has dependent care expenses (as described in section 472(8)) or disability-related expenses (as described in section 472(9)), an allowance determined by the institution for such expenses. 1 So in law. Section 401(a)(2) of P.L (112 Stat. 1650) added text in the second sentence after pay eligible students. The inserted material should have been added after the comma in pay eligible students,.

3 3 HIGHER EDUCATION ACT OF 1965 Sec. 401 (B) An institution that charged only fees in lieu of tuition as of October 1, 1998, may include in the institution s determination of tuition charged, fees that would normally constitute tuition. (4) No Federal Pell Grant under this subpart shall exceed the difference between the expected family contribution for a student and the cost of attendance (as defined in section 472) at the institution at which that student is in attendance. If, with respect to any student, it is determined that the amount of a Federal Pell Grant plus the amount of the expected family contribution for that student exceeds the cost of attendance for that year, the amount of the Federal Pell Grant shall be reduced until the combination of expected family contribution and the amount of the Federal Pell Grant does not exceed the cost of attendance at such institution. (5) No Federal Pell Grant shall be awarded to a student under this subpart if the amount of that grant for that student as determined under this subsection for any academic year is less than $400, except that a student who is eligible for a Federal Pell Grant that is equal to or greater than $200 but less than $400 shall be awarded a Federal Pell Grant of $400. (6)(A) The Secretary may allow, on a case-by-case basis, a student to receive 2 Pell grants during a single award year, if (i) the student is enrolled full-time in an associate or baccalaureate degree program of study that is 2 years or longer at an eligible institution that is computed in credit hours; and (ii) the student completes course work toward completion of an associate or baccalaureate degree that exceeds the requirements for a full academic year as defined by the institution. (B) The Secretary shall promulgate regulations implementing this paragraph. (7) Notwithstanding any other provision of this subpart, the Secretary shall allow the amount of the Federal Pell Grant to be exceeded for students participating in a program of study abroad approved for credit by the institution at which the student is enrolled when the reasonable costs of such program are greater than the cost of attendance at the student s home institution, except that the amount of such Federal Pell Grant in any fiscal year shall not exceed the grant level specified in the appropriate Appropriation Act for this subpart for such year. If the preceding sentence applies, the financial aid administrator at the home institution may use the cost of the study abroad program, rather than the home institution s cost, to determine the cost of attendance of the student. (8) No Federal Pell Grant shall be awarded under this subpart to any individual who is incarcerated in any Federal or State penal institution. (c) PERIOD OF ELIGIBILITY FOR GRANTS. (1) The period during which a student may receive Federal Pell Grants shall be the period required for the completion of the first undergraduate baccalaureate course of study being pursued by that student at the institution at which the student is in attendance except that any period during which the student is enrolled in a noncredit or remedial course of study as defined in paragraph (2) shall not be counted for the purpose of this paragraph.

4 Sec. 401 HIGHER EDUCATION ACT OF (2) Nothing in this section shall exclude from eligibility courses of study which are noncredit or remedial in nature (including courses in English language instruction) which are determined by the institution to be necessary to help the student be prepared for the pursuit of a first undergraduate baccalaureate degree or certificate or, in the case of courses in English language instruction, to be necessary to enable the student to utilize already existing knowledge, training, or skills. Nothing in this section shall exclude from eligibility programs of study abroad that are approved for credit by the home institution at which the student is enrolled. (3) No student is entitled to receive Pell Grant payments concurrently from more than one institution or from the Secretary and an institution. (4) Notwithstanding paragraph (1), the Secretary may allow, on a case-by-case basis, a student to receive a basic grant if the student (A) is carrying at least one-half the normal full-time work load for the course of study the student is pursuing, as determined by the institution of higher education; and (B) is enrolled or accepted for enrollment in a postbaccalaureate program that does not lead to a graduate degree, and in courses required by a State in order for the student to receive a professional certification or licensing credential that is required for employment as a teacher in an elementary school or secondary school in that State, except that this paragraph shall not apply to a student who is enrolled in an institution of higher education that offers a baccalaureate degree in education. (d) APPLICATIONS FOR GRANTS. (1) The Secretary shall from time to time set dates by which students shall file applications for Federal Pell Grants under this subpart. (2) Each student desiring a Federal Pell Grant for any year shall file an application therefor containing such information and assurances as the Secretary may deem necessary to enable the Secretary to carry out the functions and responsibilities of this subpart. (e) DISTRIBUTION OF GRANTS TO STUDENTS. Payments under this section shall be made in accordance with regulations promulgated by the Secretary for such purpose, in such manner as will best accomplish the purpose of this section. Any disbursement allowed to be made by crediting the student s account shall be limited to tuition and fees and, in the case of institutionally owned housing, room and board. The student may elect to have the institution provide other such goods and services by crediting the student s account. (f) CALCULATION OF ELIGIBILITY. (1) Each contractor processing applications for awards under this subpart (including a central processor, if any, designated by the Secretary) shall, in a timely manner, furnish to the student financial aid administrator (at each institution of higher education which a student awarded a Federal Pell Grant under this subpart is attending), as a part of its regular output document, the expected family contribution for each such student. Each such student financial aid administrator shall

5 5 HIGHER EDUCATION ACT OF 1965 Sec. 401 (A) examine and assess the data used to calculate the expected family contribution of the student furnished pursuant to this subsection; (B) recalculate the expected family contribution of the student if there has been a change in circumstances of the student or in the data submitted; (C) make the award to the student in the correct amount; and (D) after making such award report the corrected data to such contractor and to a central processor (if any) designated by the Secretary for a confirmation of the correct computation of amount of the expected family contribution for each such student. (2) Whenever a student receives an award under this subpart that, due to recalculation errors by the institution of higher education, is in excess of the amount which the student is entitled to receive under this subpart, such institution of higher education shall pay to the Secretary the amount of such excess unless such excess can be resolved in a subsequent disbursement to the institution. (3) Each contractor processing applications for awards under this subpart shall for each academic year after academic year prepare and submit a report to the Secretary on the correctness of the computations of amount of the expected family contribution, and on the accuracy of the questions on the application form under this subpart for the previous academic year for which the contractor is responsible. The Secretary shall transmit the report, together with the comments and recommendations of the Secretary, to the Committee on Appropriations and the Committee on Labor and Human Resources of the Senate and the Committee on Appropriations and the Committee on Education and the Workforce of the House of Representatives. (g) INSUFFICIENT APPROPRIATIONS. If, for any fiscal year, the funds appropriated for payments under this subpart are insufficient to satisfy fully all entitlements, as calculated under subsection (b) (but at the maximum grant level specified in such appropriation), the Secretary shall promptly transmit a notice of such insufficiency to each House of the Congress, and identify in such notice the additional amount that would be required to be appropriated to satisfy fully all entitlements (as so calculated at such maximum grant level). (h) USE OF EXCESS FUNDS. (1) If, at the end of a fiscal year, the funds available for making payments under this subpart exceed the amount necessary to make the payments required under this subpart to eligible students by 15 percent or less, then all of the excess funds shall remain available for making payments under this subpart during the next succeeding fiscal year. (2) If, at the end of a fiscal year, the funds available for making payments under this subpart exceed the amount necessary to make the payments required under this subpart to eligible students by more than 15 percent, then all of such funds shall remain available for making such payments but payments may be made under this paragraph only with respect to entitlements for that fiscal year.

6 Sec. 402A HIGHER EDUCATION ACT OF (i) TREATMENT OF INSTITUTIONS AND STUDENTS UNDER OTHER LAWS. Any institution of higher education which enters into an agreement with the Secretary to disburse to students attending that institution the amounts those students are eligible to receive under this subpart shall not be deemed, by virtue of such agreement, a contractor maintaining a system of records to accomplish a function of the Secretary. Recipients of Pell Grants shall not be considered to be individual grantees for purposes of subtitle D of title V of Public Law (j) INSTITUTIONAL INELIGIBILITY BASED ON DEFAULT RATES. (1) IN GENERAL. No institution of higher education shall be an eligible institution for purposes of this subpart if such institution of higher education is ineligible to participate in a loan program under part B or D as a result of a final default rate determination made by the Secretary under part B or D after the final publication of cohort default rates for fiscal year 1996 or a succeeding fiscal year. (2) SANCTIONS SUBJECT TO APPEAL OPPORTUNITY. No institution may be subject to the terms of this subsection unless the institution has had the opportunity to appeal the institution s default rate determination under regulations issued by the Secretary for the loan program authorized under part B or D, as applicable. This subsection shall not apply to an institution that was not participating in the loan program authorized under part B or D on the date of enactment of the Higher Education Amendments of 1998, unless the institution subsequently participates in the loan programs. Subpart 2 Federal Early Outreach and Student Services Programs CHAPTER 1 FEDERAL TRIO PROGRAMS SEC. 402A. ø20 U.S.C. 1070a 11 PROGRAM AUTHORITY; AUTHORIZA- TION OF APPROPRIATIONS. (a) GRANTS AND CONTRACTS AUTHORIZED. The Secretary shall, in accordance with the provisions of this chapter, carry out a program of making grants and contracts designed to identify qualified individuals from disadvantaged backgrounds, to prepare them for a program of postsecondary education, to provide support services for such students who are pursuing programs of postsecondary education, to motivate and prepare students for doctoral programs, and to train individuals serving or preparing for service in programs and projects so designed. * (b) RECIPIENTS, DURATION, AND SIZE. (1) RECIPIENTS. For the purposes described in subsection (a), the Secretary is authorized, without regard to section 3709 of the Revised Statutes (41 U.S.C. 5), to make grants to, and contracts with, institutions of higher education, public and private agencies and organizations, combinations of such institutions, agencies and organizations, and in exceptional circumstances, secondary schools, for planning, developing, or

7 7 HIGHER EDUCATION ACT OF 1965 Sec. 402A carrying out one or more of the services assisted under this chapter. (2) DURATION. Grants or contracts made under this chapter shall be awarded for a period of 4 years, except that (A) the Secretary shall award such grants or contracts for 5 years to applicants whose peer review scores were in the highest 10 percent of scores of all applicants receiving grants or contracts in each program competition for the same award year; (B) grants made under section 402G shall be awarded for a period of 2 years; and (C) grants under section 402H shall be awarded for a period determined by the Secretary. (3) MINIMUM GRANTS. Unless the institution or agency requests a smaller amount, individual grants under this chapter shall be no less than (A) $170,000 for programs authorized by sections 402D and 402G; (B) $180,000 for programs authorized by sections 402B and 402F; and (C) $190,000 for programs authorized by sections 402C and 402E. (c) PROCEDURES FOR AWARDING GRANTS AND CONTRACTS. (1) APPLICATION REQUIREMENTS. An eligible entity that desires to receive a grant or contract under this chapter shall submit an application to the Secretary in such manner and form, and containing such information and assurances, as the Secretary may reasonably require. (2) PRIOR EXPERIENCE. In making grants under this chapter, the Secretary shall consider each applicant s prior experience of service delivery under the particular program for which funds are sought. The level of consideration given the factor of prior experience shall not vary from the level of consideration given such factor during fiscal years 1994 through 1997, except that grants made under section 402H shall not be given prior experience consideration. (3) ORDER OF AWARDS; PROGRAM FRAUD. (A) Except with respect to grants made under sections 402G and 402H and as provided in subparagraph (B), the Secretary shall award grants and contracts under this chapter in the order of the scores received by the application for such grant or contract in the peer review process required under paragraph (4) and adjusted for prior experience in accordance with paragraph (2) of this subsection. (B) The Secretary is not required to provide assistance to a program otherwise eligible for assistance under this chapter, if the Secretary has determined that such program has involved the fraudulent use of funds under this chapter. (4) PEER REVIEW PROCESS. (A) The Secretary shall ensure that, to the extent practicable, members of groups underrepresented in higher education, including African Americans, Hispanics, Native Americans, Alaska Natives, Asian Americans, and Native American Pacific Islanders (including Native Hawaiians), are represented as readers of applications sub-

8 Sec. 402A HIGHER EDUCATION ACT OF mitted under this chapter. The Secretary shall also ensure that persons from urban and rural backgrounds are represented as readers. (B) The Secretary shall ensure that each application submitted under this chapter is read by at least three readers who are not employees of the Federal Government (other than as readers of applications). (5) NUMBER OF APPLICATIONS FOR GRANTS AND CON- TRACTS. The Secretary shall not limit the number of applications submitted by an entity under any program authorized under this chapter if the additional applications describe programs serving different populations or campuses. (6) COORDINATION WITH OTHER PROGRAMS FOR DISADVAN- TAGED STUDENTS. The Secretary shall encourage coordination of programs assisted under this chapter with other programs for disadvantaged students operated by the sponsoring institution or agency, regardless of the funding source of such programs. The Secretary shall not limit an entity s eligibility to receive funds under this chapter because such entity sponsors a program similar to the program to be assisted under this chapter, regardless of the funding source of such program. The Secretary shall permit the Director of a program receiving funds under this chapter to administer one or more additional programs for disadvantaged students operated by the sponsoring institution or agency, regardless of the funding sources of such programs. (7) APPLICATION STATUS. The Secretary shall inform each entity operating programs under this chapter regarding the status of their application for continued funding at least 8 months prior to the expiration of the grant or contract. The Secretary, in the case of an entity that is continuing to operate a successful program under this chapter, shall ensure that the start-up date for a new grant or contract for such program immediately follows the termination of the preceding grant or contract so that no interruption of funding occurs for such successful reapplicants. The Secretary shall inform each entity requesting assistance under this chapter for a new program regarding the status of their application at least 8 months prior to the proposed startup date of such program. (d) OUTREACH. (1) IN GENERAL. The Secretary shall conduct outreach activities to ensure that entities eligible for assistance under this chapter submit applications proposing programs that serve geographic areas and eligible populations which have been underserved by the programs assisted under this chapter. (2) NOTICE. In carrying out the provisions of paragraph (1), the Secretary shall notify the entities described in subsection (b) of the availability of assistance under this subsection not less than 120 days prior to the deadline for submission of applications under this chapter and shall consult national, State, and regional organizations about candidates for notification. (3) TECHNICAL ASSISTANCE. The Secretary shall provide technical training to applicants for projects and programs

9 9 HIGHER EDUCATION ACT OF 1965 Sec. 402A authorized under this chapter. The Secretary shall give priority to serving programs and projects that serve geographic areas and eligible populations which have been underserved by the programs assisted under this chapter. Technical training activities shall include the provision of information on authorizing legislation, goals and objectives of the program, required activities, eligibility requirements, the application process and application deadlines, and assistance in the development of program proposals and the completion of program applications. Such training shall be furnished at conferences, seminars, and workshops to be conducted at not less than 10 sites throughout the United States to ensure that all areas of the United States with large concentrations of eligible participants are served. (4) SPECIAL RULE. The Secretary may contract with eligible entities to conduct the outreach activities described in this subsection. (e) DOCUMENTATION OF STATUS AS A LOW-INCOME INDI- VIDUAL. (1) Except in the case of an independent student, as defined in section 480(d), documentation of an individual s status pursuant to subsection (g)(2) shall be made by providing the Secretary with (A) a signed statement from the individual s parent or legal guardian; (B) verification from another governmental source; (C) a signed financial aid application; or (D) a signed United States or Puerto Rico income tax return. (2) In the case of an independent student, as defined in section 480(d), documentation of an individual s status pursuant to subsection (g)(2) shall be made by providing the Secretary with (A) a signed statement from the individual; (B) verification from another governmental source; (C) a signed financial aid application; or (D) a signed United States or Puerto Rico income tax return. (f) AUTHORIZATION OF APPROPRIATIONS. For the purpose of making grants and contracts under this chapter, there are authorized to be appropriated $700,000,000 for fiscal year 1999, and such sums as may be necessary for each of the 4 succeeding fiscal years. Of the amount appropriated under this chapter, the Secretary may use no more than 1 2 of 1 percent of such amount to obtain additional qualified readers and additional staff to review applications, to increase the level of oversight monitoring, to support impact studies, program assessments and reviews, and to provide technical assistance to potential applicants and current grantees. In expending these funds, the Secretary shall give priority to the additional administrative requirements provided in the Higher Education Amendments of 1992, to outreach activities, and to obtaining additional readers. The Secretary shall report to Congress by October 1, 1994, on the use of these funds. (g) DEFINITIONS. For the purpose of this chapter: (1) FIRST GENERATION COLLEGE STUDENT. The term first generation college student means

10 Sec. 402B HIGHER EDUCATION ACT OF (A) an individual both of whose parents did not complete a baccalaureate degree; or (B) in the case of any individual who regularly resided with and received support from only one parent, an individual whose only such parent did not complete a baccalaureate degree. (2) LOW-INCOME INDIVIDUAL. The term low-income individual means an individual from a family whose taxable income for the preceding year did not exceed 150 percent of an amount equal to the poverty level determined by using criteria of poverty established by the Bureau of the Census. (3) VETERAN ELIGIBILITY. No veteran shall be deemed ineligible to participate in any program under this chapter by reason of such individual s age who (A) served on active duty for a period of more than 180 days, any part of which occurred after January 31, 1955, and was discharged or released therefrom under conditions other than dishonorable; or (B) served on active duty after January 31, 1955, and was discharged or released therefrom because of a service connected disability. (4) WAIVER. The Secretary may waive the service requirements in subparagraph (A) or (B) of paragraph (3) if the Secretary determines the application of the service requirements to a veteran will defeat the purpose of a program under this chapter. SEC. 402B. ø20 U.S.C. 1070a 12 TALENT SEARCH. (a) PROGRAM AUTHORITY. The Secretary shall carry out a program to be known as talent search which shall be designed (1) to identify qualified youths with potential for education at the postsecondary level and to encourage such youths to complete secondary school and to undertake a program of postsecondary education; (2) to publicize the availability of student financial assistance available to persons who pursue a program of postsecondary education; and (3) to encourage persons who have not completed programs of education at the secondary or postsecondary level, but who have the ability to complete such programs, to reenter such programs. (b) PERMISSIBLE SERVICES. Any talent search project assisted under this chapter may provide services such as (1) academic advice and assistance in secondary school and college course selection; (2) assistance in completing college admission and financial aid applications; (3) assistance in preparing for college entrance examinations; (4) guidance on and assistance in secondary school reentry, entry to general educational development (GED) programs, other alternative education programs for secondary school dropouts, or postsecondary education;

11 11 HIGHER EDUCATION ACT OF 1965 Sec. 402C (5) personal and career counseling, or activities designed to acquaint individuals from disadvantaged backgrounds with careers in which the individuals are particularly underrepresented; (6) tutorial services; (7) exposure to college campuses as well as cultural events, academic programs and other sites or activities not usually available to disadvantaged youth; (8) workshops and counseling for families of students served; (9) mentoring programs involving elementary or secondary school teachers or counselors, faculty members at institutions of higher education, students, or any combination of such persons; and (10) programs and activities as described in paragraphs (1) through (9) which are specially designed for students of limited English proficiency. (c) REQUIREMENTS FOR APPROVAL OF APPLICATIONS. In approving applications for talent search projects under this chapter for any fiscal year the Secretary shall (1) require an assurance that not less than two-thirds of the individuals participating in the project proposed to be carried out under any application be low-income individuals who are first generation college students; (2) require that such participants be persons who either have completed 5 years of elementary education or are at least 11 years of age but not more than 27 years of age, unless the imposition of any such limitation with respect to any person would defeat the purposes of this section or the purposes of section 402F; (3) require an assurance that individuals participating in the project proposed in the application do not have access to services from another project funded under this section or under section 402F; and (4) require an assurance that the project will be located in a setting accessible to the persons proposed to be served by the project. SEC. 402C. ø20 U.S.C. 1070a 13 UPWARD BOUND. (a) PROGRAM AUTHORITY. The Secretary shall carry out a program to be known as upward bound which shall be designed to generate skills and motivation necessary for success in education beyond secondary school. (b) PERMISSIBLE SERVICES. Any upward bound project assisted under this chapter may provide services such as (1) instruction in reading, writing, study skills, mathematics, and other subjects necessary for success beyond secondary school; (2) counseling and workshops; (3) academic advice and assistance in secondary school course selection; (4) tutorial services; (5) exposure to cultural events, academic programs, and other activities not usually available to disadvantaged youth;

12 Sec. 402C HIGHER EDUCATION ACT OF (6) activities designed to acquaint youths participating in the project with the range of career options available to them; (7) instruction designed to prepare youths participating in the project for careers in which persons from disadvantaged backgrounds are particularly underrepresented; (8) on-campus residential programs; (9) mentoring programs involving elementary or secondary school teachers or counselors, faculty members at institutions of higher education, students, or any combination of such persons; (10) work-study positions where youth participating in the project are exposed to careers requiring a postsecondary degree; (11) special services to enable veterans to make the transition to postsecondary education; and (12) programs and activities as described in paragraphs (1) through (11) which are specially designed for students of limited English proficiency. (c) REQUIRED SERVICES. Any upward bound project assisted under this chapter which has received funding for two or more years shall include, as part of the core curriculum in the next and succeeding years, instruction in mathematics through precalculus, laboratory science, foreign language, composition, and literature. (d) REQUIREMENTS FOR APPROVAL OF APPLICATIONS. In approving applications for upward bound projects under this chapter for any fiscal year, the Secretary shall (1) require an assurance that not less than two-thirds of the youths participating in the project proposed to be carried out under any application be low-income individuals who are first generation college students; (2) require an assurance that the remaining youths participating in the project proposed to be carried out under any application be either low-income individuals or first generation college students; (3) require that there be a determination by the institution, with respect to each participant in such project that the participant has a need for academic support in order to pursue successfully a program of education beyond secondary school; and (4) require that such participants be persons who have completed 8 years of elementary education and are at least 13 years of age but not more than 19 years of age, unless the imposition of any such limitation would defeat the purposes of this section. (e) MAXIMUM STIPENDS. Youths participating in a project proposed to be carried out under any application may be paid stipends not in excess of $60 per month during June, July, and August, except that youth participating in a work-study position under subsection (b)(10) may be paid a stipend of $300 per month during June, July, and August. Youths participating in a project proposed to be carried out under any application may be paid stipends not in excess of $40 per month during the remaining period of the year.

13 13 HIGHER EDUCATION ACT OF 1965 Sec. 402D SEC. 402D. ø20 U.S.C. 1070a 14 STUDENT SUPPORT SERVICES. (a) PROGRAM AUTHORITY. The Secretary shall carry out a program to be known as student support services which shall be designed (1) to increase college retention and graduation rates for eligible students; (2) to increase the transfer rates of eligible students from 2-year to 4-year institutions; and (3) to foster an institutional climate supportive of the success of low-income and first generation college students and individuals with disabilities. (b) PERMISSIBLE SERVICES. A student support services project assisted under this chapter may provide services such as (1) instruction in reading, writing, study skills, mathematics, and other subjects necessary for success beyond secondary school; (2) personal counseling; (3) academic advice and assistance in course selection; (4) tutorial services and counseling and peer counseling; (5) exposure to cultural events and academic programs not usually available to disadvantaged students; (6) activities designed to acquaint students participating in the project with the range of career options available to them; (7) activities designed to assist students participating in the project in securing admission and financial assistance for enrollment in graduate and professional programs; (8) activities designed to assist students currently enrolled in 2-year institutions in securing admission and financial assistance for enrollment in a four-year program of postsecondary education; (9) mentoring programs involving faculty or upper class students, or a combination thereof; and (10) programs and activities as described in paragraphs (1) through (9) which are specially designed for students of limited English proficiency. (c) SPECIAL RULE. (1) USE FOR STUDENT AID. A recipient of a grant that undertakes any of the permissible services identified in subsection (b) may, in addition, use such funds to provide grant aid to students. A grant provided under this paragraph shall not exceed the maximum appropriated Pell Grant or, be less than the minimum appropriated Pell Grant, for the current academic year. In making grants to students under this subsection, an institution shall ensure that adequate consultation takes place between the student support service program office and the institution s financial aid office. (2) ELIGIBLE STUDENTS. For purposes of receiving grant aid under this subsection, eligible students shall be current participants in the student support services program offered by the institution and be (A) students who are in their first 2 years of postsecondary education and who are receiving Federal Pell Grants under subpart 1; or

14 Sec. 402D HIGHER EDUCATION ACT OF (B) students who have completed their first 2 years of postsecondary education and who are receiving Federal Pell Grants under subpart 1 if the institution demonstrates to the satisfaction of the Secretary that (i) these students are at high risk of dropping out; and (ii) it will first meet the needs of all its eligible first- and second-year students for services under this paragraph. (3) DETERMINATION OF NEED. A grant provided to a student under paragraph (1) shall not be considered in determining that student s need for grant or work assistance under this title, except that in no case shall the total amount of student financial assistance awarded to a student under this title exceed that student s cost of attendance, as defined in section 472. (4) MATCHING REQUIRED. A recipient of a grant who uses such funds for the purpose described in paragraph (1) shall match the funds used for such purpose, in cash, from non-federal funds, in an amount that is not less than 33 percent of the total amount of funds used for that purpose. This paragraph shall not apply to any grant recipient that is an institution of higher education eligible to receive funds under part A or B of title III or title V. (5) RESERVATION. In no event may a recipient use more than 20 percent of the funds received under this section for grant aid. (6) SUPPLEMENT, NOT SUPPLANT. Funds received by a grant recipient that are used under this subsection shall be used to supplement, and not supplant, non-federal funds expended for student support services programs. (d) REQUIREMENTS FOR APPROVAL OF APPLICATIONS. In approving applications for student support services projects under this chapter for any fiscal year, the Secretary shall (1) require an assurance that not less than two-thirds of the persons participating in the project proposed to be carried out under any application (A) be individuals with disabilities; or (B) be low-income individuals who are first generation college students; (2) require an assurance that the remaining students participating in the project proposed to be carried out under any application be low-income individuals, first generation college students, or individuals with disabilities; (3) require an assurance that not less than one-third of the individuals with disabilities participating in the project be lowincome individuals; (4) require that there be a determination by the institution, with respect to each participant in such project, that the participant has a need for academic support in order to pursue successfully a program of education beyond secondary school; (5) require that such participants be enrolled or accepted for enrollment at the institution which is the recipient of the grant or contract; and

15 15 HIGHER EDUCATION ACT OF 1965 Sec. 402E (6) consider, in addition to such other criteria as the Secretary may prescribe, the institution s effort, and where applicable past history, in (A) providing sufficient financial assistance to meet the full financial need of each student in the project; and (B) maintaining the loan burden of each such student at a manageable level. SEC. 402E. ø20 U.S.C. 1070a 15 POSTBACCALAUREATE ACHIEVEMENT PROGRAM AUTHORITY. (a) PROGRAM AUTHORITY. The Secretary shall carry out a program to be known as the Ronald E. McNair Postbaccalaureate Achievement Program that shall be designed to provide disadvantaged college students with effective preparation for doctoral study. (b) SERVICES. A postbaccalaureate achievement project assisted under this section may provide services such as (1) opportunities for research or other scholarly activities at the institution or at graduate centers designed to provide students with effective preparation for doctoral study; (2) summer internships; (3) seminars and other educational activities designed to prepare students for doctoral study; (4) tutoring; (5) academic counseling; (6) activities designed to assist students participating in the project in securing admission to and financial assistance for enrollment in graduate programs; (7) mentoring programs involving faculty members at institutions of higher education, students, or any combination of such persons; and (8) exposure to cultural events and academic programs not usually available to disadvantaged students. (c) REQUIREMENTS. In approving applications for postbaccalaureate achievement projects assisted under this section for any fiscal year, the Secretary shall require (1) an assurance that not less than two-thirds of the individuals participating in the project proposed to be carried out under any application be low-income individuals who are first generation college students; (2) an assurance that the remaining persons participating in the project proposed to be carried out be from a group that is underrepresented in graduate education; (3) an assurance that participants be enrolled in a degree program at an eligible institution having an agreement with the Secretary in accordance with the provisions of section 487; and (4) an assurance that participants in summer research internships have completed their sophomore year in postsecondary education. (d) AWARD CONSIDERATIONS. In addition to such other selection criteria as may be prescribed by regulations, the Secretary shall consider in making awards to institutions under this section (1) the quality of research and other scholarly activities in which students will be involved;

16 Sec. 402F HIGHER EDUCATION ACT OF (2) the level of faculty involvement in the project and the description of the research in which students will be involved; and (3) the institution s plan for identifying and recruiting participants including students enrolled in projects authorized under this section. (e) MAXIMUM STIPENDS. Students participating in research under a postbaccalaureate achievement project may receive an award that (1) shall include a stipend not to exceed $2,800 per annum; and (2) may include, in addition, the costs of summer tuition, summer room and board, and transportation to summer programs. (f) FUNDING. From amounts appropriated pursuant to the authority of section 402A(f), the Secretary shall, to the extent practicable, allocate funds for projects authorized by this section in an amount which is not less than $11,000,000 for each of the fiscal years 1993 through SEC. 402F. ø20 U.S.C. 1070a 16 EDUCATIONAL OPPORTUNITY CENTERS. (a) PROGRAM AUTHORITY; SERVICES PROVIDED. The Secretary shall carry out a program to be known as educational opportunity centers which shall be designed (1) to provide information with respect to financial and academic assistance available for individuals desiring to pursue a program of postsecondary education; and (2) to provide assistance to such persons in applying for admission to institutions at which a program of postsecondary education is offered, including preparing necessary applications for use by admissions and financial aid officers. (b) PERMISSIBLE SERVICES. An educational opportunity center assisted under this section may provide services such as (1) public information campaigns designed to inform the community regarding opportunities for postsecondary education and training; (2) academic advice and assistance in course selection; (3) assistance in completing college admission and financial aid applications; (4) assistance in preparing for college entrance examinations; (5) guidance on secondary school reentry or entry to a general educational development (GED) program or other alternative education programs for secondary school dropouts; (6) personal counseling; (7) tutorial services; (8) career workshops and counseling; (9) mentoring programs involving elementary or secondary school teachers, faculty members at institutions of higher education, students, or any combination of such persons; and (10) programs and activities as described in paragraphs (1) through (9) which are specially designed for students of limited English proficiency.

17 17 HIGHER EDUCATION ACT OF 1965 Sec. 402G (c) REQUIREMENTS FOR APPROVAL OF APPLICATIONS. In approving applications for educational opportunity centers under this section for any fiscal year the Secretary shall (1) require an assurance that not less than two-thirds of the persons participating in the project proposed to be carried out under any application be low-income individuals who are first generation college students; (2) require that such participants be persons who are at least nineteen years of age, unless the imposition of such limitation with respect to any person would defeat the purposes of this section or the purposes of section 402B; and (3) require an assurance that individuals participating in the project proposed in the application do not have access to services from another project funded under this section or under section 402B. SEC. 402G. ø20 U.S.C. 1070a 17 STAFF DEVELOPMENT ACTIVITIES. (a) SECRETARY S AUTHORITY. For the purpose of improving the operation of the programs and projects authorized by this chapter, the Secretary is authorized to make grants to institutions of higher education and other public and private nonprofit institutions and organizations to provide training for staff and leadership personnel employed in, participating in, or preparing for employment in, such programs and projects. (b) CONTENTS OF TRAINING PROGRAMS. Such training shall include conferences, internships, seminars, workshops, and the publication of manuals designed to improve the operation of such programs and projects and shall be carried out in the various regions of the Nation in order to ensure that the training opportunities are appropriate to meet the needs in the local areas being served by such programs and projects. Such training shall be offered annually for new directors of projects funded under this chapter as well as annually on the following topics and other topics chosen by the Secretary: (1) Legislative and regulatory requirements for the operation of programs funded under this chapter. (2) Assisting students in receiving adequate financial aid from programs assisted under this title and other programs. (3) The design and operation of model programs for projects funded under this chapter. (4) The use of appropriate educational technology in the operation of projects assisted under this chapter. (c) CONSULTATION. Grants for the purposes of this section shall be made only after consultation with regional and State professional associations of persons having special knowledge with respect to the needs and problems of such programs and projects. SEC. 402H. ø20 U.S.C. 1070a 18 EVALUATIONS AND GRANTS FOR PROJECT IMPROVEMENT AND DISSEMINATION PARTNER- SHIP PROJECTS. (a) EVALUATIONS. (1) IN GENERAL. For the purpose of improving the effectiveness of the programs and projects assisted under this chapter, the Secretary may make grants to or enter into contracts with institutions of higher education and other public and pri-

18 Sec. 402H HIGHER EDUCATION ACT OF vate institutions and organizations to evaluate the effectiveness of the programs and projects assisted under this chapter. (2) PRACTICES. The evaluations described in paragraph (1) shall identify institutional, community, and program or project practices that are particularly effective in enhancing the access of low-income individuals and first-generation college students to postsecondary education, the preparation of the individuals and students for postsecondary education, and the success of the individuals and students in postsecondary education. Such evaluations shall also investigate the effectiveness of alternative and innovative methods within Federal TRIO programs of increasing access to, and retention of, students in postsecondary education. (b) GRANTS. The Secretary may award grants to institutions of higher education or other private and public institutions and organizations, that are carrying out a program or project assisted under this chapter prior to the date of enactment of the Higher Education Amendments of 1998, to enable the institutions and organizations to expand and leverage the success of such programs or projects by working in partnership with other institutions, community-based organizations, or combinations of such institutions and organizations, that are not receiving assistance under this chapter and are serving low-income students and first generation college students, in order to (1) disseminate and replicate best practices of programs or projects assisted under this chapter; and (2) provide technical assistance regarding programs and projects assisted under this chapter. (c) RESULTS. In order to improve overall program or project effectiveness, the results of evaluations and grants described in this section shall be disseminated by the Secretary to similar programs or projects assisted under this subpart, as well as other individuals concerned with postsecondary access for and retention of low-income individuals and first-generation college students. CHAPTER 2 GAINING EARLY AWARENESS AND READINESS FOR UNDERGRADUATE PROGRAMS SEC. 404A. ø20 U.S.C. 1070a 21 EARLY INTERVENTION AND COLLEGE AWARENESS PROGRAM AUTHORIZED. (a) PROGRAM AUTHORIZED. The Secretary is authorized, in accordance with the requirements of this chapter, to establish a program that (1) encourages eligible entities to provide or maintain a guarantee to eligible low-income students who obtain a secondary school diploma (or its recognized equivalent), of the financial assistance necessary to permit the students to attend an institution of higher education; and (2) supports eligible entities in providing (A) additional counseling, mentoring, academic support, outreach, and supportive services to elementary

19 19 HIGHER EDUCATION ACT OF 1965 Sec. 404B school, middle school, and secondary school students who are at risk of dropping out of school; and (B) information to students and their parents about the advantages of obtaining a postsecondary education and the college financing options for the students and their parents. (b) AWARDS. (1) IN GENERAL. From funds appropriated under section 404H for each fiscal year, the Secretary shall make awards to eligible entities described in paragraphs (1) and (2) of subsection (c) to enable the entities to carry out the program authorized under subsection (a). (2) PRIORITY. In making awards to eligible entities described in paragraph (c)(1), the Secretary shall (A) give priority to eligible entities that (i) on the day before the date of enactment of the Higher Education Amendments of 1998, carried out successful educational opportunity programs under this chapter (as this chapter was in effect on such day); and (ii) have a prior, demonstrated commitment to early intervention leading to college access through collaboration and replication of successful strategies; (B) ensure that students served under this chapter on the day before the date of enactment of the Higher Education Amendments of 1998 continue to receive assistance through the completion of secondary school. (c) DEFINITION OF ELIGIBLE ENTITY. For the purposes of this chapter, the term eligible entity means (1) a State; or (2) a partnership consisting of (A) one or more local educational agencies acting on behalf of (i) one or more elementary schools or secondary schools; and (ii) the secondary schools that students from the schools described in clause (i) would normally attend; (B) one or more degree granting institutions of higher education; and (C) at least two community organizations or entities, such as businesses, professional associations, communitybased organizations, philanthropic organizations, State agencies, institutions or agencies sponsoring programs authorized under subpart 4, or other public or private agencies or organizations. SEC. 404B. ø20 U.S.C. 1070a 22 REQUIREMENTS. (a) FUNDING RULES. (1) CONTINUATION AWARDS. From the amount appropriated under section 404H for a fiscal year, the Secretary shall continue to award grants to States under this chapter (as this chapter was in effect on the day before the date of enactment of the Higher Education Amendments of 1998) in accordance with the terms and conditions of such grants.

20 Sec. 404B HIGHER EDUCATION ACT OF (2) DISTRIBUTION. From the amount appropriated under section 404H that remains after making continuation awards under paragraph (1) for a fiscal year, the Secretary shall (A) make available (i) not less than 33 percent of the amount to eligible entities described in section 404A(c)(1); and (ii) not less than 33 percent of the amount to eligible entities described in section 404A(c)(2); and (B) award the remainder of the amount to eligible entities described in paragraph (1) or (2) of section 404A(c). (3) SPECIAL RULE. The Secretary shall annually reevaluate the distribution of funds described in paragraph (2)(B) based on number, quality, and promise of the applications and adjust the distribution accordingly. (b) LIMITATION. Each eligible entity described in section 404A(c)(1), and each eligible entity described in section 404A(c)(2) that conducts a scholarship component under section 404E, shall use not less than 25 percent and not more than 50 percent of grant funds received under this chapter for the early intervention component of an eligible entity s program under this chapter, except that the Secretary may waive the 50 percent limitation if the eligible entity demonstrates that the eligible entity has another means of providing the students with financial assistance that is described in the plan submitted under section 404C. (c) COORDINATION. Each eligible entity shall ensure that the activities assisted under this chapter are, to the extent practicable, coordinated with, and complement and enhance (1) services under this chapter provided by other eligible entities serving the same school district or State; and (2) related services under other Federal or non-federal programs. (d) DESIGNATION OF FISCAL AGENT. An eligible entity described in section 404A(c)(2) shall designate an institution of higher education or a local educational agency as the fiscal agent for the eligible entity. (e) COORDINATORS. An eligible entity described in section 404A(c)(2) shall have a full-time program coordinator or a parttime program coordinator, whose primary responsibility is a project under section 404C. (f ) DISPLACEMENT. An eligible entity described in 404A(c)(2) shall ensure that the activities assisted under this chapter will not displace an employee or eliminate a position at a school assisted under this chapter, including a partial displacement such as a reduction in hours, wages or employment benefits. (g) COHORT APPROACH. (1) IN GENERAL. The Secretary shall require that eligible entities described in section 404A(c)(2) (A) provide services under this chapter to at least one grade level of students, beginning not later than 7th grade, in a participating school that has a 7th grade and in which at least 50 percent of the students enrolled are eligible for free or reduced-price lunch under the Richard B. Russell National School Lunch Act (or, if an eligible entity deter-