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[Senate Report 110-231]
[From the U.S. Government Publishing Office]

 
   110th Congress 1st 
         Session                 SENATE                 Report
                                                       110-231
_______________________________________________________________________

                      HIGHER EDUCATION AMENDMENTS 

                                OF 2007

                               ----------                              

                              R E P O R T

                                 of the

                    COMMITTEE ON HEALTH, EDUCATION,
                          LABOR, AND PENSIONS

                              to accompany

                                S. 1642

               November 15, 2007.--Ordered to be printed

                  HIGHER EDUCATION AMENDMENTS OF 2007

                            C O N T E N T S

                              ----------                              
                                                                   Page
  I. Purpose and summary of legislation...............................1
 II. Background and need for legislation..............................8
III. Legislative history and committee action.........................9
 IV. Explanation of bill and committee views.........................11
  V. Cost estimate...................................................53
 VI. Application of law to the legislative branch....................58
VII. Regulatory impact statement.....................................58
VIII.Section-by-section analysis.....................................58

 IX. Changes in existing law........................................113
110th Congress                                                   Report
                                 SENATE
 1st Session                                                    110-231

======================================================================

                  HIGHER EDUCATION AMENDMENTS OF 2007

                                _______
                                

               November 15, 2007.--Ordered to be printed

                                _______
                                

   Mr. Kennedy, from the Committee on Health, Education, Labor, and 
                   Pensions, submitted the following

                              R E P O R T

                         [To accompany S. 1642]

    The Committee on Health, Education, Labor, and Pensions, to 
which was referred the bill (S. 1642) to extend the 
authorization of programs under the Higher Education Act of 
1965, and for other purposes, having considered the same, 
reports favorably thereon with an amendment in the nature of a 
substitute and recommends that the bill (as amended) do pass.

                 I. Purpose and Summary of Legislation

    The purpose of S. 1642, the Higher Education Amendments of 
2007, is to reauthorize and improve the Federal student 
financial aid programs and other higher education programs 
established under the Higher Education Act of 1965. The bill 
also reauthorizes and amends the Education of the Deaf Act of 
1986, the United States Institute of Peace Act, the Tribally 
Controlled College or University Assistance Act of 1978, and 
the Navajo Community College Act.
    S. 1642 is the product of an extensive bipartisan effort 
that included over 100 hours of bipartisan meetings and input 
from the major stakeholders in higher education.
    This legislation amends the Higher Education Act of 1965, 
the Higher Education Amendments Act of 1998, and the Higher 
Education Amendments of 1992 by making the changes identified 
below.

                      Title I--General Provisions

    This title makes several conforming changes to the Higher 
Education Act of 1965, authorizes programs and updates terms 
and provisions. Both the general definition of an institution 
of higher education and the definition of an institution for 
purposes of title IV aid are expanded to include those that 
admit students who are beyond compulsory school age or who are 
dually or concurrently enrolled in the institution and a 
secondary school. A Sense of the Senate regarding student free 
speech is included. This title also replaces the National 
Advisory Committee on Institutional Quality and Integrity with 
an Accreditation and Institutional Quality and Integrity 
Advisory Committee in the Department of Education to assess the 
process of accreditation and the institutional eligibility and 
certification of institutions of higher education under title 
IV. Additional reporting requirements are required under the 
Drug Abuse Prevention Grant program. The information the 
Secretary makes available to the public on an annual basis 
regarding financial aid, college costs, and academic programs 
is expanded but a Federal database of personally identifiable 
information on students is prohibited from being developed. The 
functions of the Performance-Based Organization (PBO) in the 
Department of Education are amended. Additional reporting 
requirements are added for covered institutions that enter into 
educational loan arrangements.

                 Title II--Teacher Quality Enhancement

    The legislation replaces Teacher Quality Enhancement Grants 
for States and Partnerships with Teacher Quality Partnership 
Grants to improve student achievement and the quality of the 
Nation's teaching force by holding higher education 
institutions accountable for preparing teachers and promoting 
strategies to recruit and prepare qualified individuals. Under 
this Title, the Secretary is authorized to award competitive 
Teacher Quality Partnership Grants to eligible partnerships to 
carry out a teacher preparation program for bachelor's degree 
students, a teaching residency program, or both. Teacher 
preparation programs shall include educational reforms, pre-
service clinical experience and interaction, induction programs 
that provide new teachers with mentoring and support for at 
least their first 2 years of teaching, support and preparation 
for early childhood educators, if applicable, and effective 
mechanisms to recruit qualified individuals to become highly 
qualified teachers. Teaching residency programs shall consist 
of prospective teachers working alongside mentor teachers, 
earning a master's degree and State teacher certification or 
licensure, and fulfilling eligibility requirements to be 
considered a highly qualified teacher under the Elementary and 
Secondary Education Act. Partnership grants are provided under 
a 1:1 formula and a priority is given to broad-based 
partnerships that include business and community organizations 
and to partnerships that will ensure an equitable distribution 
of grants among urban and rural areas. All institutions that 
conduct teacher preparation programs and enroll students 
receiving title IV assistance must report data on their 
programs to the State in which the institution is located and 
the general public. States that receive funds under this act 
must provide State report cards on the quality of teacher 
preparation programs in their State.

                      Title III--Institutional Aid

    This title reauthorizes programs to support Historically 
Black Colleges and Universities, Alaska Native and Native 
Hawaiian-Serving Institutions, Tribal Colleges and 
Universities, and professional or graduate programs for 
minority students. S. 1642 expands allowable uses of grant 
funds for minority-serving institutions to include acquiring 
property adjacent to the institution, education or counseling 
services designed to improve financial literacy of students or 
their parents, and developing or improving distance learning or 
internet facilities and capabilities. It is established that 
the Secretary may reserve 30 percent of a fiscal year's 
appropriated funds to award at least $1 million for maintenance 
and renovation at institutions under this title, with a 
priority given to a tribally controlled college or university 
that has not received an award under section 316 in the past. 
Remaining appropriated funds would be used to award grants to 
institutions on a formula basis, with a priority to 
institutions with a high population of Indian students. Seven 
new minority-serving institutions that have established 
qualified graduate programs since the Higher Education 
Amendments of 1998 have been added to the list of eligible 
professional and graduate programs. A new program for Native 
American-serving, nontribal institutions is established to 
improve and expand their capacity to serve Native American 
students.

                      Title IV--Student Assistance

Part A--Grants to students in attendance at institutions of higher 
        education

Pell grants

    The legislation establishes the maximum authorized Pell 
award at $5,400 for academic year 2008-09 and increases the 
authorization to $6,300 over the next 4 years. The minimum Pell 
grant award is changed from $400 to 10 percent of the maximum 
authorized for a given year. The ``tuition sensitivity'' 
provision, which can negatively affect award amounts for 
students attending low-cost institutions such as community 
colleges, has been eliminated. The legislation requires the 
Secretary to allow students who are enrolled at least on a 
half-time basis in a 2- or 4-year program of instruction and 
for more than 1 academic year to receive up to two Pell grants 
in 1 award year. After many years of having no time limitation 
on the receipt of Pell grant funds, the committee establishes a 
time limit of 18 semesters or an equivalent period of time.

TRIO programs

    The Federal TRIO programs, including Talent Search, Upward 
Bound, Student Support Services, Postbaccalaureate Achievement, 
and Educational Opportunity Centers programs, which provide 
assistance for first generation and low-income students, have 
been reauthorized and strengthened. The legislation adds 
meaningful accountability that will ensure programs maintain 
high quality services to students. S. 1642 also expands the 
list of required and permissible services for TRIO programs, in 
part, to include improving student or parent financial and 
economic literacy and programs for students with disabilities 
and those who are homeless or in foster care.

GEAR UP

    The GEAR UP program provides assistance for States or 
partnerships to help low-income students in 7th grade through 
high school prepare for college. This legislation maintains the 
requirement that States provide scholarships for students. 
Activities are expanded beyond early intervention programs to 
include those designed to improve high school and postsecondary 
graduation rates.

Leveraging Education Assistance Partnership (LEAP)

    The LEAP program is reauthorized, but the Special LEAP 
program is replaced by the Grants for Access and Persistence 
program, which is designed to improve the ability of the 
Federal Government to leverage funds for student need-based 
grant aid through State and private funds.

Migrant and seasonal programs

    The migrant and seasonal program is reauthorized and 
services provided by the college assistance migrant program are 
expanded to include internships, transportation, and child 
care. Changes to the program mirror language in the Senate 
Workforce Investment Act reauthorization bill, in that families 
of migrant workers are made eligible for services.

Robert C. Byrd Honors Scholarship Program

    The Robert C. Byrd Honors Scholarship Program is 
reauthorized without change.

Part B--Federal Family Education Loan Program

    S. 1642 sunsets the school as lender program as of June 30, 
2012. Consumer information requirements with respect to lending 
generally, and consolidation lending specifically, are 
increased. S. 1642 prohibits guaranty agencies from offering 
inducements to institutions of higher education or their 
employees or any lender for the purpose of securing benefits, 
including applicants for loans, and prohibits unsolicited 
mailings of student loan application forms and fraudulent or 
misleading advertising of loan availability, terms, or 
conditions. Lenders are required to provide borrower repayment 
information to all major credit bureaus. Financial literacy is 
added to allowable default reduction activities. The definition 
of disabled borrowers whose loans can be discharged is 
expanded.

Part C--Federal Work-Study Program

    The Secretary may waive the community service requirement 
for institutions under this part if they can certify that at 
least 15 percent of their student enrollment participates in 
community service, tutoring or literacy activities. No more 
than 10 percent, or $75,000, of an institution's work-study 
allotment may be used to establish or expand programs that 
locate and develop jobs for its students. This legislation also 
emphasizes the importance of service in work-colleges by 
changing references in the statute to ``work colleges'' to 
``comprehensive work-learning programs'' and ``comprehensive 
work-learning-service programs.''

Part D--Federal Perkins loans

    The Perkins loan program, through which institutions are 
permitted to operate revolving loan funds, is reauthorized. 
Four new categories of individuals eligible for loan 
cancellation are added, and one is expanded under this part: 
full-time staff members in a pre-Kindergarten or child care 
program that is licensed or regulated by the State (in addition 
to Head Start), full-time faculty members at Tribal Colleges 
and Universities, librarians who are employed in schools with a 
high population of low-income students, and speech and language 
pathologists working with students with disabilities in such 
schools will be eligible for Perkins loan forgiveness. The 
maximum amount of Perkins Loan forgiveness for members of the 
Armed Forces is expanded from 50 percent to 100 percent.

Part E--Need analysis

    S. 1642 excludes the value of on-base military housing or 
the value of basic allowance for housing in the financial aid 
needs analysis calculation, but clarifies that such students' 
expenses reasonably incurred for board (not for room) may be 
considered for the purpose of determining financial aid.

Part F--General provisions relating to student assistance

    The Advisory Committee for Student Financial Assistance is 
reauthorized. In addition to its other assignments and 
activities, the Advisory Committee is required to carry out a 
review and analysis of title IV regulations and conduct a study 
of innovative pathways to baccalaureate degree attainment.
    The Secretary is required to simplify the financial aid 
process, develop a simplified paper ``EZ FAFSA,'' and conduct 
early financial aid awareness activities. S. 1642 allows 
students to apply for and receive an estimate of Federal 
financial aid earlier than the year prior to enrollment. An 
early application and award demonstration program is 
established that will serve to determine the feasibility of 
implementing a comprehensive early financial aid application 
and notification system for all dependent students and to 
measure the benefits and costs of such a system.
    S. 1642 also allows students with intellectual disabilities 
to be eligible for Federal student financial assistance even if 
they are enrolled in non-degree higher education programs.
    Institutions must provide additional information on their 
student body diversity, disaggregated graduation rates, student 
financial assistance and the procedures for applying for such 
assistance, the cost of attending the institution, general 
information about the academic and non-academic aspects of the 
school programs, policies and sanctions regarding copyright 
infringement, campus policies regarding immediate emergency 
procedures, student loan information for borrowers during 
entrance and exit counseling, and transfer-of-credit policies. 
Institutions must also publish an annual fire safety report on 
on-campus student housing. In addition, institutions must 
provide a list of institutions with which they have established 
articulation agreements for the transfer of credits.
    The Secretary is required to provide institutions 
participating in Federal student aid programs with a calendar 
of reporting and disclosure requirements indicating both when 
certain information is due and the required recipients. As a 
condition of participation, proprietary institutions of higher 
education must derive at least 10 percent of their revenues 
from sources other than title IV programs. In addition, S. 1642 
establishes guidelines for the Secretary to administer the 
National Student Loan Data System (NSLDS) in an effort to 
ensure the security and efficient operation of the NSLDS.
    S. 1642 requires that institutions establish, enforce and 
follow a code of conduct regarding student loans that prohibits 
institutions and its employees from receiving anything of value 
from any lender in exchange for an advantage in securing 
student loans. A number of requirements are placed on 
institutions of higher education that choose to maintain a 
preferred lender list recommending certain lenders to students.

Part G--Program integrity

    The criteria that accrediting agencies must consider when 
evaluating institutions of higher education is expanded. 
Accrediting agencies are required to have expanded due process 
procedures in place to resolve disputes over adverse action. 
The bill updates accreditation processes with respect to online 
or distance education in recognition of current trends. The 
bill ensures that institutional missions are considered during 
the accreditation process. Accrediting agencies are also 
required to confirm as part of their accreditation process that 
an institution publicly discloses its transfer of credit 
policies. The Secretary is required to provide information to 
schools undergoing a program review and give those institutions 
an opportunity to review and respond to that information before 
a final determination is made.
    Lenders of title IV guaranteed loans are required to 
provide all borrowers with clear, conspicuous, timely 
information on the history of their loan payments and total 
charges, repayment options, and default information.
    S. 1642 establishes that the Comptroller General shall 
evaluate a pilot program for the auction of Federal PLUS loans, 
once such a pilot is established.

                    Title V--Developing Institutions

    The bill expands the allowable uses of grants to support 
Hispanic-Serving Institutions, similar to the existing program 
for Historically Black Colleges and Universities, and creates a 
new grant program for eligible Hispanic-serving institutions 
that offer graduate programs.

                   Title VI--International Education

    The international education programs are reauthorized and 
strengthened to address the need for American expertise and 
knowledge about a greater diversity of less commonly taught 
languages and nations of the world. An interagency group to 
determine the priorities for international education programs 
is established.

       Title VII--Graduate and Postsecondary Improvement Programs

    Graduate education programs under this title are 
reauthorized. Areas of professional workforce shortages are 
included as areas of national need in determining priority for 
grants. The disability demonstration program is reauthorized, 
and a new grant program is established to encourage the 
formation of special programs for institutions of higher 
education to serve students with intellectual disabilities. 
Eligibility for the Thurgood Marshall Legal Opportunity Program 
is expanded.
    The Fund for the Improvement of Postsecondary Education is 
reauthorized and new authorizations are established for: a 
scholarship program for family members of veterans and members 
of the military; support for consortia of institutions to offer 
courses focused on poverty and human capability; support for a 
program that improves secondary school graduation, college 
attendance; and college completion rates among at-risk 
students; the creation of a center for best practices for 
single parent students in higher education; and assistance to 
institutions in understanding Federal education regulations.

                       Title VIII--Miscellaneous

    Grant programs are established to: States to award 
scholarships of up to $1,000 to students who have completed a 
rigorous math or science secondary school curriculum; contract 
with an independent organization to complete an assessment of 
the factors associated with cost of tuition; help institutions 
of higher education and local Workforce Investment Boards 
develop new curriculum and services related to high skill, high 
growth occupations; support registered nursing programs; 
establish or strengthen postsecondary academic programs or 
centers that promote the teaching of traditional American 
history; support the Teach for America program; assist highly 
qualified minorities and women to acquire the highest degree 
available in underrepresented academic areas; contract with a 
not-for-profit organization to make available year-to-year 
college enrollment rate trends by secondary schools; establish 
a new grant program supporting Predominantly Black 
Institutions; establish State Early Childhood Education 
Professional Development and Career System Task Forces; expand 
programs for the development of science, technology, 
engineering or mathematics professionals from elementary 
schools through college, with a focus on Alaska Native and 
Native Hawaiian students; establish a pilot program to increase 
student persistence at community colleges; and create a new 
grant program for institutions of higher education to develop 
and improve their campus safety and emergency response systems.

                   Title IX--Amendments to Other Laws

                       EDUCATION OF THE DEAF ACT

    The Federal grant program for Gallaudet University and 
other institutions serving deaf students at the secondary and 
postsecondary levels is reauthorized.

                  UNITED STATES INSTITUTE OF PEACE ACT

    The legislation reauthorizes the U.S. Institute of Peace 
and provides for the Institute's authorization to be 
automatically extended for 1 year, if necessary, similar to 
other Federal education programs. In addition, the legislation 
clarifies that the term of members begins on the date of their 
confirmation and swearing-in.

TRIBALLY CONTROLLED COLLEGE OR UNIVERSITY ASSISTANCE ACT AND THE NAVAJO 
                         COMMUNITY COLLEGE ACT

    Two programs that provide funding for tribally controlled 
institutions of higher education are reauthorized.

                II. Background and Need for Legislation

    The current authorization of the Higher Education Act 
expires at the end of March 2008. The Federal Government must 
renew its commitment to ensuring access to higher education 
through the reauthorization of this vital legislation. When 
Congress first passed the Higher Education Act more than 40 
years ago, it was guided by the principle that no qualified 
student should be denied the opportunity to attend college 
because of cost. In 1965, and again in 1972 when the Pell Grant 
was established, Congress recognized that access to a college 
education is a vital gateway to helping citizens achieve the 
American dream.
    Today, Americans are facing rapid changes in the global 
economy. Wages have declined, the cost of living has risen, and 
fewer jobs that pay good wages are available to our citizens. 
Today, 60 percent of new jobs require some post-secondary 
education, compared to just 15 percent of new jobs half a 
century ago. In the face of these challenges, a college 
education is more important than ever. However, college has 
never been more difficult to afford. The cost of college has 
more than tripled over the last 20 years. Today, average 
tuition, fees and room and board at our public colleges is more 
than $13,500, and it totals more than $32,000 at private 
colleges. Each year, more than 400,000 talented, qualified 
students do not attend a 4-year college because they cannot 
afford it. At the same time, the buying power of the Pell 
Grant--the lifeline to college for low-income students--has 
shrunk dramatically. Twenty years ago, the maximum Pell Grant 
covered 55 percent of costs at a public 4-year college. Today, 
it covers about 32 percent of those costs.
    As a result, students are sinking deeper and deeper into 
student loan debt. In 1993, fewer than half of all students 
took out loans to finance their education. Today, more than 
two-thirds of students borrow for college. Currently, the 
typical student leaves college with more than $19,000 in 
student loan debt. This mountain of debt is distorting 
countless Americans' basic life choices. It is causing them to 
delay getting married, buying a home, and starting a family. It 
is also discouraging many young people from entering 
occupations such as teaching, social work and law enforcement--
the low-paying but vital jobs that bring large rewards for our 
society.
    S. 1642 addresses important concerns related to the 
practices of some lenders and college officials with respect to 
the Federal student loan programs. As investigations by the 
Chairman of the HELP Committee and the New York Attorney 
General have found, some lenders have offered gifts to college 
and university employees in order to secure their students' 
loan business, and others have been involved in similar 
unethical practices. S. 1642 restricts these practices and 
protects students by ensuring that when a college recommends a 
lender, the college's recommendation is based on the best 
interest of students.
    The Higher Education Amendments of 2007 also simplifies the 
overly-complex Federal financial aid application process for 
students and families, holds colleges accountable for college 
costs, improves training programs for K-12 teachers, 
strengthens many key higher education programs, such as TRIO, 
and creates a new student safety grant program to help colleges 
and universities improve their campus safety and emergency 
response systems.

             III. Legislative History and Committee Action

    There have been nine extensions of the Higher Education Act 
Amendments of 1998 since it expired in September 2003. In the 
109th Congress, the committee unanimously passed S. 1614, the 
Higher Education Act Amendments of 2005, the first bill that 
reauthorized and made major changes to programs in the Higher 
Education Act since 1998. Congress has also acted through the 
Higher Education Reconciliation Act (P.L. 109-171) and the 
College Cost Reduction and Access Act (P.L. 110-84) to make 
additional changes to the Higher Education Act.
    During the 109th and 110th Congresses, the committee held 
six hearings and one roundtable discussion before the 
introduction of the Higher Education Amendments of 2007.

   HIGHER EDUCATION ACCREDITATION: HOW CAN THE SYSTEM BETTER ENSURE 
             QUALITY AND ACCOUNTABILITY (FEBRUARY 26, 2004)

    Four witnesses appeared before the committee: Steven Crow, 
the Executive Director of the Higher Learning Commission of the 
North Central Association of Colleges and Schools, Jeffrey 
Wallin, President of the American Academy for Liberal 
Education, Jerry Martin, Chairman of the American Council of 
Trustees and Alumni, and Robert Potts, President of the 
University of North Alabama.

 HIGHER EDUCATION AND THE WORKFORCE: ISSUES FOR REAUTHORIZATION OF THE 
                  HIGHER EDUCATION ACT (MARCH 4, 2004)

    Charles Bohlen, President of Laramie County Community 
College, James Votruba, President of the University of Northern 
Kentucky, Beth Buehlmann, Vice President and Executive Director 
of the Center For Workforce Preparation, U.S. Chamber of 
Commerce, Diana G. Oblinger, Executive Director of Higher 
Education, Microsoft Corporation, and Ellen O'Brien Saunders, 
Executive Director, Washington State Workforce Training and 
Education Coordinating Board testified before the committee.

 A YEAR-'ROUND COLLEGE CALENDAR: ADVANTAGES AND IMPEDIMENTS (MARCH 9, 
                                 2004)

    The Subcommittee on Children and Families of the Committee 
on Health, Education, Labor, and Pensions heard testimony from 
Stephen Trachtenberg, President of The George Washington 
University, India McKinney, a student at Vanderbilt University, 
Michael Lomax, President of Dillard University, who spoke on 
behalf of the United Negro College Fund, Virginia Hazen, 
Director of Financial Aid at Dartmouth College, and Margaret 
Heisel, Associate to the Vice President and Executive Director, 
Admissions and Outreach, University of California Office of the 
President.

           LIFELONG EDUCATION OPPORTUNITIES (APRIL 14, 2005)

    Two sets of witnesses provided testimony at the hearing. 
The first panel consisted of the Secretary of Education, 
Margaret Spellings, and the Secretary of Labor, Elaine L. Chao. 
The second panel included the Governor of Kansas, Kathleen 
Sebelius, the Governor of Kentucky, Ernie Fletcher, the 
Director of the Washington Office of the Greystone Group, 
former Congressman Steve Gunderson, the Executive Director of 
the Business-Higher Education Forum, Brian Fitzgerald, and the 
Vice President of the Colleges of Worcester Consortium. Pamela 
Boisvert.

 PROVIDING QUALITY POSTSECONDARY EDUCATION: ACCESS AND ACCOUNTABILITY 
                            (APRIL 28, 2005)

    Five witnesses appeared before the committee: Kati Haycock, 
Director of The Education Trust, Trinity Thorpe a student at 
Pepperdine University, Brian Bosworth, President of 
FutureWorks, Robert Shireman, Director of The Institute for 
College Access and Success and Phillip Van Horn, President of 
the Wyoming Student Loan Corporation.

ROUNDTABLE--HIGHER EDUCATION AND CORPORATE LEADERS: WORKING TOGETHER TO 
            STRENGTHEN THE AMERICAN WORKFORCE (MAY 19, 2005)

    The committee heard testimony from Louis Caldera, President 
of the University of New Mexico, Robert Craves, a founder of 
Costco Wholesale Corporation and currently CEO and President of 
the Washington Education Foundation, Edward Hoff, Vice 
President-Learning, IBM, Edison Jackson, President, Medgar 
Evers College, the City University of New York, Patricia 
McGuire, President of Trinity College in Washington, DC, James 
Mullen, President and CEO of Biogen IDEC, Laura Palmer-Noone, 
President of the University of Phoenix, Walter Nolte, President 
of Casper College, Charles Reed, Chancellor of the California 
State University and Patrick Sweeney, President and CEO of Odin 
Technologies. Rev. Michael Sheeran, President of Regis 
University had planned to testify but was unable to. He was 
invited to submit a statement for the record.

 HIGHER EDUCATION, HIGHER COST AND HIGHER DEBT: PAYING FOR COLLEGE IN 
                     THE FUTURE (FEBRUARY 16, 2007)

    Four witnesses appeared before the committee: Suze Orman, 
Host, ``The Suze Orman Show,'' CNBC, Tamara Draut, author of 
Strapped: Why America's 20- and 30-Somethings Can't Get Ahead 
and Director of the Economic Opportunity Program, The Demos 
Institute, Dr. Jon Oberg, Former researcher, U.S. Department of 
Education, and Dr. Sandy Baum, Senior Policy Analyst, The 
College Board and Professor of Economics, Skidmore College.

                      RECOMMENDATIONS AND COMMENTS

    In addition, the committee considered the written 
recommendations and comments from over 100 organizations and 
institutions involved in the field of higher education.
    On June 18, 2007, Senator Kennedy introduced the Higher 
Education Amendments of 2007, S. 1642. The bill was cosponsored 
by Senator Enzi.

A. Committee Mark-up

    On June 20, 2007, the committee met to consider S. 1642. 
The committee took action on four amendments, including the 
unanimous adoption of a manager's amendment offered by Senator 
Kennedy that made technical changes. Three additional 
amendments were offered and adopted. The bill was approved by a 
rollcall vote of 20 yeas to 0 nays and ordered to be reported 
with amendments in the nature of a substitute.

B. Rollcall vote

    The bill as amended was reported favorably by a vote of 20 
yeas to 0 nays.
    Yeas: Kennedy, Dodd, Harkin, Mikulski, Bingaman, Murray, 
Reed, Clinton, Obama, Sanders, Brown, Enzi, Gregg, Alexander, 
Burr, Isakson, Murkowski, Hatch, Roberts, Allard.
    Not Voting: Coburn.

C. Amendments offered

    In addition to the manager's amendment to make technical 
changes offered by Senator Kennedy, three amendments were 
offered and adopted without objection:
    1. Senator Burr offered an amendment to prohibit an 
individual that has been convicted of murder, or of a criminal 
offense against a minor or a sexually violent offense against a 
minor from being eligible for a grant designed to help 
imprisoned youths transition from incarceration into the 
community.
    2. Senator Burr also offered an amendment to provide 
stipends for mentors under teacher quality partnership grants 
which may include bonus, differential, incentive, merit, or 
performance pay.
    3. Senator Brown offered an amendment that would strike the 
special rule regarding permissible priority for Federal TRIO 
programs.

              IV. Explanation of Bill and Committee Views

                      Title I--General Provisions

    In amending title I of the Higher Education Act of 1965, 
the committee intends to update the law to reflect the dramatic 
changes in the field of higher education over the past 10 
years. With a growing proportion of students attending 
concurrent or dual enrollment programs, or through distance 
education programs, the committee amends the definitions of 
higher education to incorporate these larger trends. The 
committee also changes certain provisions to reduce the 
potential for fraud and abuse within the Federal higher 
education programs.

                     DUAL AND CONCURRENT ENROLLMENT

    The committee recognizes the significant growth in dual and 
concurrent enrollment programs, which enable some secondary 
students to earn postsecondary credit in a program of study at 
an institution of higher education. According to data from the 
National Center for Education Statistics, in school year 2002-
2003, 71 percent of high schools offered dual credit courses. 
In response to this trend, the committee clarifies that 
students in dual or concurrent enrollment programs may be 
admitted as regular students in institutions participating in 
programs authorized under the Higher Education Act of 1965.

                        FOREIGN MEDICAL SCHOOLS

    In general, medical schools qualify to participate in the 
Federal Family Education Loan program if at least 60 percent of 
their student body is non-American and at least 60 percent of 
their students or graduates taking the examinations 
administered by the Educational Commission for Foreign Medical 
Graduates received a passing score. However, current law 
contains an exemption to this dual requirement for foreign 
medical schools that have a clinical training program that was 
approved by a State as of January 1, 1992. This condition is 
modified to specify that an institution that has or had a 
clinical training program that was approved by a State as of 
January 1, 1992, and has continuously operated an approved 
clinical training program in at least one State, qualifies for 
the exemption. This was done to enable an institution that has 
continually operated a State-approved clinical training program 
in at least one State to continue to meet the exemption in the 
event that the clinical training program that was approved by a 
State as of January 1, 1992 ceases to operate, or in the event 
that that institution opts to change the clinical training 
program affiliated with the institution.

  PERFORMANCE-BASED ORGANIZATION (PBO) FOR FEDERAL STUDENT FINANCIAL 
                               ASSISTANCE

    The committee applauds the efforts since the last 
reauthorization to implement the PBO. Schools and individuals 
have benefited from improved efficiency in originating, 
servicing and processing grant and loan aid. The ombudsman has 
provided needed guidance to students struggling to navigate the 
complex system. There is strong support for continuation of 
these efforts to make further progress in the delivery of 
student financial aid.

                        COST OF HIGHER EDUCATION

    The committee feels strongly that the rising cost of higher 
education is undermining the Federal commitment to making 
college accessible and affordable. Although Federal 
expenditures for higher education are at an all time high, the 
purchasing power of Federal programs has been losing ground as 
colleges and universities continue to increase tuition and fees 
at rates much higher than the rate of inflation.
    The College Board, which produces a highly respected annual 
survey of college costs, reported in its 2007 report that the 
average tuition and fees for a public, 4-year institution of 
higher education had increased by 5.9 percent from the previous 
year. Even after adjusting for inflation, tuition and fees have 
increased by more than 44 percent in the 10 years preceding the 
2007-08 academic year.
    The rapid increase in college costs has negatively impacted 
the ability of students to afford a college education, for 
students and parents to save sufficiently to prepare for the 
costs of college, and has required an increasing number of 
students to borrow high-interest loans from non-Federal 
programs, adding significant debt burden to students and their 
parents.
    Diverse explanations have been offered, but the 
consequences of these rapid increases have not been any less 
dramatic. In 1997, the maximum Pell grant award was $2,700. 
Since then, the maximum grant has increased to $4,310, yet many 
students still find themselves borrowing additional funds to 
meet the cost of attendance. While 92 percent of undergraduate 
students enrolled in public institutions pay tuition and fees 
of less than $15,000, only 16 percent of undergraduate students 
enrolled in private colleges (both proprietary and independent 
schools) pay tuition and fees of less than $15,000. Despite 
historic increases in Federal student assistance programs, cost 
is surpassing the ability of students to pay for their 
education, even while receiving the maximum Federal assistance 
available to them.
    As a result, many parents and students who have saved for 
college find themselves borrowing additional funds to meet the 
costs of college. The Advisory Committee on Student Financial 
Assistance suggests that cost accounts for up to 48 percent of 
college-ready high school seniors not enrolling in a 4-year 
institution of higher education, and for 22 percent of college-
ready seniors not enrolling in any postsecondary education at 
all.
    To address this challenge, the committee includes several 
separate provisions intended to provide students and their 
parents with better information about the cost of college. The 
committee expects this information to help provide students and 
their parents with a realistic set of expectations about the 
cost of postsecondary education, as well as introduce some 
incentives for institutions to control the cost of attendance. 
The public availability of this information is expected to 
support institutions and States that are committed to 
maintaining access to affordable higher education.
    The committee has taken several steps to ensure students 
and parents have access to information about the cost of 
college. The committee, requires the Bureau of Labor Statistics 
to create a higher education price index that tracks the 
affordability of higher education, and requires the Secretary 
of Education to publish annual ``Higher Education Price 
Increase Watch Lists'' that report all institutions of higher 
education whose tuition and fees outpace their applicable 
higher education price index in a given year. The Secretary is 
also required to publish annual reports comparing State 
appropriations to public institutions of higher education to 
the increase in tuition and fees at such institutions, and is 
required to create several ``net price calculators'' to help 
students and families determine the price of an institution of 
higher education after Federal aid is accounted for. The 
committee believes this additional information will help 
parents and students make well-informed decisions about 
postsecondary attendance, so the greatest number of students 
can attend and succeed in postsecondary education.
    The committee recognizes that the development and 
implementation of the higher education price index will require 
appropriate time and resources. The committee expects the 
Commissioner of the Bureau Labor Statistics to have completed 
the initial development of the index within 1 year, it 
anticipates that the full-scale development and publication of 
the index may take 2 to 3 years. The committee intends to work 
with the Committee on Appropriations to secure the necessary 
funding for this effort.
    While the committee recognizes that many private sector 
firms have produced high-quality informational products with 
respect to the cost of college, the committee believes the 
Department of Education can also provide added value in making 
better use of the information collected and made available 
through the college opportunities online (COOL) website. The 
committee requires the Secretary of Education to develop, for 
each institution of higher education, a model document known as 
the ``University and College Accountability Network,'' which 
will report key data related to an institution's cost, academic 
programs, student outcomes, and availability of student aid, 
among other factors. The committee expects the added emphasis 
on the Department's Web site as a means for families and 
students to obtain information about postsecondary education 
will result in an effort to make such resources more user-
friendly.

              Title II--Teacher Quality Partnership Grants

    With the passage of the No Child Left Behind Act, Congress 
took an important step to ensure that all of the Nation's 
children are taught by highly qualified teachers. The committee 
believes that improving teacher quality is an important and 
effective means by which student achievement is increased. By 
eliminating the existing State grant program in title II and 
focusing on the partnership grant program, the committee bill 
will strengthen programs that prepare prospective and new 
teachers with strong teaching skills and research capabilities. 
This preparation ensures that our Nation's educators receive 
the training and support they need to strengthen elementary and 
secondary school and early childhood programs. The committee 
expects activities under title II of this act will complement 
the larger teacher preparation efforts in Title II of the No 
Child Left Behind Act, as well as other relevant State efforts.

          HIGH NEED ACADEMIC SUBJECT AREAS AND HIGH NEED AREAS

    Throughout title II, the committee references high-need 
academic subject areas (such as reading, mathematics, science, 
and foreign languages) and high-need areas (such as special 
education, language instruction educational programs for 
limited English proficient students, and early childhood 
education). Studies indicate that a shortage of highly 
qualified teachers exists nationally in the specific subject 
areas and instructional areas indicated above. Nevertheless, it 
is not the committee's intent for teacher training, and 
professional development supported under this title to be 
limited to these subjects and instructional areas alone, since 
shortages in particular subject and instructional areas may 
vary from State to State, from district to district, or from 
school to school.

                        EARLY CHILDHOOD EDUCATOR

    The committee recognizes that quality early childhood 
education programs are staffed by educators who are highly 
competent in all the essential domains of early childhood 
development including cognitive, social, emotional, and 
physical development. Given the great variation in the 
governance, funding, and standards of early childhood education 
programs including Head Start, Early Head Start, State pre-
kindergarten programs, and local education agency pre-
kindergarten, the committee provided a definition of a highly 
competent early childhood educator. However, it is the 
committee's intent that early childhood educators meet the 
standards and qualifications of the program in which they are 
teaching and that all early childhood education programs ensure 
that young children receive a comprehensive early childhood 
education that prepares them to succeed in early elementary 
education and beyond.

                    EARLY LITERACY AND PRE-NUMERACY

    The committee believes quality early childhood education 
programs should be comprehensive programs that address 
children's social, emotional, and physical development, as well 
as their cognitive development. In particular, research has 
shown the critical importance of quality early childhood 
instruction that addresses language, early literacy, and pre-
numeracy skills for school readiness and later academic 
achievement. Effective early reading and pre-numeracy programs 
delivered by highly competent early childhood educators are 
vital for later reading and mathematics proficiencies. Early 
childhood educators must be equipped with an understanding of 
how oral language, pre-reading, early literacy and pre-numeracy 
skills develop. These educators need professional development 
throughout their careers in order to strengthen their knowledge 
and skills for promoting children's cognitive abilities 
including language, pre-reading, and pre-numeracy.

                           ELIGIBLE PARTNERS

    The committee bill focuses on teaching skills and learning 
strategies by including as eligible partners in the partnership 
grants academic departments such as psychology, human 
development, or other departments with comparable expertise in 
the disciplines of teaching, learning, and child and adolescent 
development. Other academic departments are also eligible to 
participate. Additional entities added as eligible partners 
include early childhood education programs; and educational 
service agencies; and consortia of local educational agencies.
    It is the intent of the committee that community colleges 
and tribal colleges be eligible to participate in the Teacher 
Quality Partnership grants. These institutions provide a 
critical entry point for many teachers and every effort should 
be made to strengthen the programmatic ties to 4-year 
institutions of higher education.

                               INDUCTION

    The committee intends the induction programs described in 
the bill to be formalized and comprehensive programs designed 
to provide support through not less than the first 2 years of 
teaching to beginning teachers in order to improve teaching 
skills and promote retention in the teaching field. Research 
consistently shows that induction programs reduce the number of 
teachers who leave their schools or the profession. Induction 
includes high quality mentoring by experienced and qualified 
mentors, structured collaboration time with teachers in the 
same department, grade, or field, structured meeting time with 
administrators, application of empirically based practice and 
scientifically valid research on instructional practice, 
assistance with understanding and using student achievement 
data, professional development activities, and regular 
evaluation of the new teacher. Induction programs may also 
provide reduced teaching loads, the support of a teaching aide, 
orientation seminars, and regular evaluation of the teacher 
inductee, the mentors, and the overall program.

                           TEACHER MENTORING

    The committee recognizes the importance of teacher 
mentoring, for both new and prospective teachers. Teacher 
mentors must be well trained, and mentoring programs must match 
mentors by field, grade or subject. The committee believes that 
every effort should be made to ensure that rural teachers can 
fully participate in mentoring activities, including providing 
these opportunities through online or electronic technology.

                       TEACHER RESIDENCY PROGRAM

    Teacher turnover regularly drains schools of their most 
important resource: qualified educators. It is critical for the 
committee to address persistent teacher attrition and to 
improve teacher retention in this bill. The committee supports 
the development of educators so they have not only the 
credentials but also the skills and training to be truly 
effective in the classroom.
    This legislation allows partnerships to provide support for 
new teachers through comprehensive induction programs that 
include residency programs. Residency programs are school-based 
preparation programs that enable residents to teach alongside a 
mentor teacher for an entire academic year while earning a 
master's degree, teacher certificate or license, and becoming 
highly qualified. This can provide essential instructional 
leadership and classroom support for teachers during induction 
and beyond.

                            TEACHING SKILLS

    Current law provides an allowable use of funds for the 
partnership grants to prepare teachers with the knowledge and 
skills to work with and involve parents in their children's 
education, as well as to provide instruction to diverse student 
populations, including students with disabilities and with 
limited English proficiency. The committee, however, believes 
that all teachers should be prepared to work with and involve 
parents, as well as provide instruction to diverse student 
populations, and that such preparation is paramount to 
effective teaching for all teachers. Accordingly, the committee 
has defined the term ``teaching skills'' to include the ability 
to communicate and work with parents, as well as the ability to 
increase student achievement, focus on identifying and 
tailoring academic instruction to students' specific learning 
needs, (particularly students with disabilities, students who 
are limited English proficient, gifted and talented students, 
and students with low literacy levels), use strategies based on 
empirically based practice and scientifically valid research, 
and manage a classroom effectively. Under this legislation, 
eligible partnerships must use title II funds to promote 
effective teaching skills.

             TEACHING STUDENTS WITH SPECIFIC LEARNING NEEDS

    The committee has made several improvements in title II to 
further the success of students with specific learning needs, 
including students with disabilities, students who are limited 
English proficient, students who are gifted and talented, 
students with low literacy and, as applicable, children in 
early childhood education programs, by focusing on the 
instruction the students receive in the classroom and on the 
instruction that teachers receive in their preparation program. 
The bill also encourages the preparation of teachers so they 
possess skills and an understanding of effective instructional 
strategies across all applicable content areas that enable them 
to differentiate instruction for all students, but specifically 
students with special needs.

                   TEACHER RECRUITMENT AND RETENTION

    Teacher attrition undermines teacher quality and drives 
teacher shortages. According to the National Commission on 
Teaching and America's Future, one-third of beginning teachers 
leave the profession within 3 years, and nearly one-half leave 
within 5 years. In high-poverty schools, turnover rates are 
even worse--approximately one-third higher than the rate for 
all teachers. Research also shows that teachers who leave are 
likely to have greater skills than teachers with comparable 
time in the profession who stay.
    The committee encourages and supports the training and 
development of our Nation's teachers, who are the most 
important in-school influence on student learning. Partnership 
grantees must develop and implement effective mechanisms to 
recruit qualified individuals to become highly qualified 
teachers through the partnership's programs. The grantees must 
also develop and improve a sustained pre-service clinical 
education program, designed to improve teaching skills and 
provide year-long opportunities for teachers to receive the 
support, mentoring, instruction, and other training needed to 
strengthen their capability.

                      NUMBER OF PARTNERSHIP AWARDS

    As explained in section 203, an eligible partnership is 
limited to one partnership grant during a 5-year period. The 
committee does not intend, however, to preclude an individual 
partner in a funded partnership grant from entering into 
another eligible partnership consisting of new members during 
that same 5-year period. For example, a State university might 
partner with a group of local education agencies in one part of 
the State for one partnership grant and with another, different 
group of local education agencies in another part of the State 
for another partnership grant.

                         PROGRAM EFFECTIVENESS

    The committee believes it is critical for States to 
evaluate the effectiveness of their teacher preparation 
programs, particularly the impact of such programs on students' 
academic achievement. Accordingly, the bill requires an annual 
report to the State and the general public from each 
institution of higher education that has a traditional teacher 
preparation program or alternative routes to certification or 
licensure program and that enrolls students who receive Federal 
student aid. The report must include the pass rates and scaled 
scores of students enrolled in the traditional teacher 
preparation program or alternative routes to State 
certification or licensure program, comparisons of the 
program's pass rates and scaled scores with the State averages, 
and other program information such as number of enrolled 
students, disaggregated by race and gender.
    In addition, each State must submit to the Secretary a 
similar report on the quality of teacher preparation programs 
in the State, both for the traditional teacher preparation 
programs and for alternative routes to State certification or 
licensure programs. The report must include a description of 
the reliability and validity of the teacher certification and 
licensure assessments and how they are aligned with State 
academic content standards, percentage of students passing the 
assessments, percentage of students completing requisite 
coursework, percentage of students participating in alternative 
routes, admission criteria for the programs, the number of 
teachers prepared by these programs by academic major, area of 
licensure and subject area, activities to address shortage 
areas, and other information.
    It is the clear intent of the committee that the Secretary 
not use any of this information to create a national list or 
ranking of States, institutions or schools. The Secretary must 
provide Congress with a report on the grantees under this 
section, as well as a report comparing States' and 
institutions' efforts to improve the quality of the current and 
future teaching force.
    The bill also requires States to provide technical 
assistance to low-performing programs of teacher preparation. 
Levels of performance shall be solely determined by the States 
and may include criteria based on information collected to 
measure program performance and identify those at risk.

                      Title III--Institutional Aid

    Institutions that serve students who historically have been 
denied access to postsecondary education because of race or 
national origin play an important role in higher education. 
They help preserve cultural traditions, prepare students for 
jobs and careers, and offer affordable, high quality college 
education to thousands of students. These institutions also 
provide crucial support services and add hope to communities 
that have high rates of poverty and unemployment. Recognizing 
the purpose and importance of these colleges and universities, 
it is the intent of the committee to reauthorize and strengthen 
programs supporting institutional aid for institutions with 
substantial percentages of high-need students, Tribal Colleges 
and Universities, Alaska Native and Native Hawaiian-Serving 
Institutions, Native American-Serving Institutions, and 
Historically Black Colleges and Universities.

     AMERICAN INDIAN TRIBALLY CONTROLLED COLLEGES AND UNIVERSITIES

    There are 34 federally-supported Tribal Colleges and 
Universities (TCUs) in the United States. They educate over 
30,000 students by offering associate's, bachelor's, and 
master's degrees as well as over 200 vocational certificate 
programs. Despite their significance, however, TCUs 
historically have possessed limited financial resources. This 
hinders their capacity to maintain and update facilities and 
instructional resources. In today's world, students' ability to 
receive a quality higher education depends on the availability 
of technology and resources available to students at their 
institution. The committee recognizes that TCUs do not have 
sufficient financial ability to provide these opportunities 
without Federal assistance.
    To strengthen TCUs' capacity to offer quality educational 
opportunities to their students, the committee made changes to 
the way funding is distributed under this section. The 
committee gives the Secretary the authority to reserve up to 30 
percent of awardable funds to address construction needs. If 
reserved, grants of not less than $1 million will be awarded to 
institutions for maintenance and renovation. The remaining 
money shall be awarded so that 60 percent will be distributed 
to eligible TCUs by formula using the Indian student count and 
40 percent will be distributed in equal shares to those same 
institutions. The committee eliminates the wait-out period for 
these schools and establishes a minimum award of $500,000.

            NATIVE AMERICAN-SERVING, NONTRIBAL INSTITUTIONS

    The term ``Native American'' can be broad and encompassing. 
For the purposes of this legislation, the committee intends the 
term to mean a person having origins in any of the original 
peoples of North America and who maintains cultural 
identification through tribal affiliation or community 
recognition. This term may include Alaskan Natives and Native 
Hawaiians.
    Native Americans are attending college at greater rates 
than ever and many of these students are attending nontribal 
institutions of higher education. In 2002, 42 public and 
private institutions of higher education served Native American 
student populations of 10 percent or greater. However, despite 
the increasing number of Native American students eligible for 
college enrollment, only 11 percent of the population graduates 
with a bachelor's degree or higher. Moreover, Native American 
students are disproportionately enrolled in 2-year colleges, 
and are much less likely to finish college than their non-
Native American peers. Native American student educational 
attainment continues to lag far behind that of the total 
student population. Many Native American students come from 
families with low incomes, have parents with low levels of 
education, and are less likely to have completed a pre-college 
curriculum in high school.
    With increasing enrollment, nontribal institutions of 
higher education that serve large populations of Native 
American students require resources to improve and expand their 
capacity to serve the unique and diverse needs of their Native 
American student population. To assist nontribal institutions 
of higher education better serve Native American students, the 
committee has established a competitive grant program for those 
institutions serving a Native American student population of 10 
percent or greater. Grants will support curriculum development 
and academic instruction, faculty development, and student 
services such as academic tutoring and counseling. The 
committee recognizes that the grant program will improve the 
capacity of Native American-serving, nontribal institutions of 
higher education to provide quality educational opportunities 
for Native American students to narrow the educational 
attainment gap and to better prepare students to meet the 
demands of a competitive workforce.

              HISTORICALLY BLACK COLLEGES AND UNIVERSITIES

    The committee believes there is great value in supporting 
programs for Historically Black Colleges and Universities 
(HBCUs). Although the Nation's HBCUs represent less than 5 
percent of all the Nation's colleges and universities, they 
award almost 30 percent of all baccalaureate degrees received 
by African-Americans. Further, in some areas of science, math, 
and engineering, HBCUs account for more than half of all such 
degrees awarded to African-Americans. HBCUs also greatly 
contribute to the overall percentage of graduate and 
professional degrees earned by African-Americans. Nine of the 
top 10 colleges that graduate the most African-Americans who go 
on to earn Ph.D.s are HBCUs. Xavier University's graduate 
programs alone produce a quarter of the Nation's African-
American pharmacists and send the largest number of African-
American students on to medical schools. The list of 
historically black graduate and professional institutions with 
qualified programs eligible to receive grants was expanded to 
include: Alabama State University, Coppin State University, 
Prairie View A&M University, Fayetteville State University, 
Delaware State University, Langston University, and West 
Virginia State University.

                      Title IV--Student Assistance

                              PELL GRANTS

    The committee recognizes that Pell grants are the 
foundation for all need-based aid. In the 2003-04 award year, 
the $12.7 billion investment in the Pell grant program funded 
5.1 million students with average grants of $2,466. By making 
necessary changes to the program, it is the committee's intent 
to increase the utility of Pell grants in ensuring that more 
low-income students are successful in post-secondary education.
    The committee heard testimony from both traditional 
students and students who are working adults who stated that 
they would like to attend school year-round so they can 
complete their education earlier. However, these students have 
been unable to accelerate their programs due to financial need, 
since current law allows them to receive only one scheduled 
Pell grant award during an award year. Although the Secretary 
is authorized to permit a student to receive two Pell grants 
during 1 award year on a case-by-case basis, the authority has 
not been exercised. The committee's intent is to ensure that 
students enrolled at least half-time in a 2-year or 4-year 
program leading to an associate's or bachelor's degree are able 
to receive up to two Pell grants in a single award year to 
enable them to accelerate completion of their educational 
programs.
    The committee also limits eligibility for Pell grants for 
18 semesters or an equivalent period of time if semesters are 
not used. The committee believes students should be able to 
complete an undergraduate degree in 18 semesters.

               ACADEMIC COMPETITIVENESS AND SMART GRANTS

    The committee is aware of concerns that have surfaced 
during the first-year implementation of the Academic 
Competitiveness Grant program, and has made several changes 
that will increase eligibility for the program and ensure that 
it is administered equitably among various groups of students. 
The limitation of eligibility for the grants to United States 
citizens is inconsistent with the eligibility requirements for 
other types of Federal student assistance and has been 
eliminated. In order to benefit working students and others who 
cannot attend college full-time, the committee extends 
eligibility for the grants to students who are enrolled in 
college on at least a half-time basis. In addition, the 
committee clarifies that students who are enrolled in 1- or 2-
year certificate programs are eligible for Academic 
Competitiveness Grants. In light of the fact that many degree 
programs in science, technology and mathematics require 5 years 
of study rather than 4, the committee allows students in such 
programs who otherwise meet the requirements to receive SMART 
grants in their fifth year of college.

                             TRIO PROGRAMS

    The committee respects the work of the TRIO programs and 
recognizes their critical contribution to the success of low-
income, first generation students as they apply, attend and 
earn degrees from undergraduate and graduate institutions. To 
ensure that information about the effectiveness of these 
programs is publicly available, the committee requires each 
program to submit information on its outcomes to the Department 
of Education, and requires the Secretary to prepare and submit 
that information to the Congress, grantees and the public on an 
annual basis. In evaluating programs, the Secretary is required 
to identify practices that further the achievement of the 
outcome criteria in the law in order to promote promising 
practices in the field.
    The committee recognizes the value of high quality programs 
and expects that in evaluating applications, the Secretary will 
award prior experience points only to those applicants that 
have administered programs that demonstrate the highest 
quality.
    Controversy has arisen in recent competitions about 
applications that have been received from different campuses of 
the same institution of higher education, or multiple 
applications from one institution of higher education to serve 
distinct populations. It is the intent of the committee that a 
college or university with more than one campus be eligible to 
submit multiple applications and be considered for funding as 
long as its applications are meritorious. It is also the intent 
of the committee that an institution of higher education be 
permitted to submit more than one grant to meet the needs of 
particular populations within a program. Grantees may find that 
they need dedicated programs to serve students with 
disabilities or students with language needs; grantees should 
be given the opportunity to complete separate applications, 
each of which should be considered on its merits.
    The committee has included as permissible services under 
the TRIO programs activities specially designed for homeless 
children and youth and for students who are in foster care or 
aging out of the foster care system. These provisions are 
intended to increase the availability of services that meet the 
unique needs of homeless students and students in foster care.
    For the first time, the committee has directed that some 
activities become mandatory in the college access programs. For 
Upward Bound and Talent Search, each grantee will be required 
to provide tutoring, advisement in high school course selection 
and in post-secondary course selection where possible, 
assistance in preparing for admissions tests and applications, 
assistance in identifying financial aid opportunities 
(including resources for locating public and private 
scholarships), and services to improve financial literacy.
    The committee understands that Talent Search programs often 
cannot offer direct tutoring to all participants. However, if a 
program does not provide tutoring, it should connect 
participating students with appropriate tutoring available 
directly in their high school or through community based 
organizations to ensure that Talent Search participants are 
making satisfactory progress in all academic subjects as they 
prepare to apply to college.
    In the Student Support Services program, the committee 
changed ``personal counseling'' in current law to ``consistent, 
individualized, personal, career and academic counseling 
provided by assigned counselors'' under permissible activities, 
to encourage Student Support Services programs to link students 
with at least one adult with whom a student can establish a 
long-term relationship.
    While having the same person manage cases in the 
Educational Opportunity Centers (EOCs) would be beneficial, the 
committee understands that both the numbers of those served and 
the types of services provided often do not allow for that 
consistency. The committee encourages EOCs to do all that they 
can to facilitate relationships that provide the maximum 
support to their clients.
    The committee notes with concern the Secretary's 
establishment of an absolute priority for the Upward Bound 
program grant competition in 2006-07. Some Members of the 
committee believe that in establishing the absolute priority, 
the Secretary contravened the provisions established by 
Congress regarding the program design and operation of the 
Upward Bound program. Other members of the committee agree with 
the intent of some of these provisions. In light of these 
views, the committee believes it is important to address the 
components of the absolute priority.
    The committee agrees that priority should be given to 
Upward Bound projects that select not less than 30 percent of 
all first-time participants from students at high risk for 
academic failure. It now authorizes such priority 
legislatively. However, the committee does not believe that the 
Secretary should limit participation in an Upward Bound project 
only to students who enter such programs or projects in the 9th 
grade. While the committee notes the benefits of ensuring that 
students participate in an Upward Bound project for as long as 
possible, the committee notes that many Upward Bound projects 
currently serve, and have the capacity to serve, students who 
enter Upward Bound in the 10th, 11th, and 12th grades. The 
committee believes that these students should not be prevented 
from receiving Upward Bound services.

GAINING EARLY AWARENESS AND READINESS FOR UNDERGRADUATE PROGRAMS (GEAR 
                                  UP)

    Since its creation in 1998, the GEAR UP program has proved 
to be an impressive partner in improving access to 
postsecondary education for the neediest students. However, the 
committee has heard concerns that GEAR UP is difficult to 
administer. Therefore, the committee has changed some 
provisions to make the program more flexible for institutions 
and helpful to students, thereby enabling the program to 
further enhance students' access to postsecondary education.
    The committee is concerned about the growing number of 
students requiring remedial courses in postsecondary education. 
One way to address this concern is to ensure that more students 
take rigorous and challenging coursework at the secondary 
school level. Accordingly, the legislation requires States and 
partnerships to encourage more students to enroll in a rigorous 
and challenging curriculum. It is the hope of the committee 
that appropriate academic support provided in pre-collegiate 
programs, along with improved professional development 
opportunities, will minimize students' need for remedial 
education and encourage timely progression toward college 
degrees.
    The committee also includes, as optional activities for 
States, the use of GEAR UP funds in developing new secondary 
school models and personalized dropout recovery programs to 
improve secondary school completion and college success for 
grades 11-14. New secondary school models are coherent, whole-
school designs that provide participating students with early 
exposure to college level courses and environments. Such models 
permit students to earn an associate's degree along with a high 
school diploma (or within the next year) or transferable 
credits toward a recognized postsecondary credential (such as 
an industry certificate or apprenticeship). Also critical are 
programs to help high school drop-outs gain access to college. 
These funds could also be used to develop personalized dropout 
recovery programs at community colleges that allow students to 
complete a regular high school diploma and begin college level 
work toward a recognized postsecondary degree. These State-
level models will demonstrate ways to improve secondary school 
completion and postsecondary success for grades 11-14 that can 
be replicated in other States and districts.
    The committee recognizes that homelessness puts students at 
high risk of academic failure and dropping out of school. 
Therefore, the bill gives priority status to homeless and 
foster students for the GEAR UP program. Furthermore, the 
committee intends that GEAR UP programs coordinate activities 
with school district liaisons designated under subtitle VII-B 
of the McKinney-Vento Homeless Assistance Act. McKinney-Vento 
school district liaisons are well-positioned to assist the GEAR 
UP program with the identification, outreach, and recruitment 
of homeless students, and can help GEAR UP programs maximize 
available resources for these students.
    Finally, the committee includes as permissible services 
under the GEAR UP program activities specially designed for 
homeless children and youth and for students who are in foster 
care or aging out of the foster care system. These provisions 
are intended to increase the availability of services that meet 
the unique needs of homeless students and students in foster 
care.
    The committee makes it permissible for grantees to continue 
providing services to students who have completed secondary 
school and begun postsecondary education. The committee takes 
this step to enable GEAR UP programs to make it possible for 
students to receive ongoing, consistent support from the 
program that will enable them to succeed in college.
    The scholarship is a key component of the program, not only 
because of the financial assistance it provides, but also 
because it serves as an incentive for the participating student 
to complete an academic program. The committee believes it is 
critical to the success of students served by the GEAR UP 
program, particularly State programs, that the scholarship 
funds be available to them upon completion of a secondary 
degree or its equivalent. To this end, the committee retains 
the requirement that State grantees dedicate a significant 
portion of grant funds for use in scholarship programs, which 
will be held in a separate trust for each cohort of students 
served by the State, or in the case of scholarships offered by 
partnership grantees, by the partnership.
    It is the consensus of the committee that it is appropriate 
that students attending previous partnership schools may be 
served in future grants as long as the application demonstrates 
continued need for funding new activities. Therefore, 
subsequent applications from current grantees should be 
considered.

      LEVERAGING EDUCATIONAL ASSISTANCE PARTNERSHIP (LEAP) PROGRAM

    The committee believes that the changes made to LEAP--
including providing students with information about their 
grants and implementing the Grants for Access and Persistence 
program--will strengthen LEAP by leveraging the financial 
assistance provided under this program in a way that is more 
effective for students, States, and the Federal Government. 
These improvements to LEAP will broaden participation to 
include all stakeholders working to increase the number of 
financially needy students who can access and succeed in 
college.
    The committee replaces the Special Leveraging Educational 
Assistance Partnership authorized under the LEAP program with 
Grants for Access and Persistence (GAP). By so doing, the 
committee seeks to reinvigorate LEAP, the only program in which 
the Federal and State governments work together to extend 
higher education opportunities to financially needy students. 
Under the GAP program, for LEAP funds above $30 million, States 
will be rewarded, through higher levels of matching funds, for 
creating cohesive partnerships with colleges, foundations, 
businesses, and early intervention and mentoring programs. 
Access and persistence partnerships have three main purposes: 
to provide low-income students with adequate grant aid to 
ensure access to 4-year colleges and eliminate unmet need; to 
provide early notification to low-income students of their 
eligibility for financial aid; and to increase participation of 
low-income students in early information, intervention, 
mentoring, and outreach programs. Research on college access 
programs with such components has shown that participating 
students are more financially and academically prepared, and 
thus more likely to enroll in college and persist to degree 
completion.
    The committee strongly encourages States to develop strong 
and broad partnerships that contain philanthropies and 
businesses, in addition to colleges and early intervention and 
mentoring programs. The committee also specifically gives 
States flexibility in undertaking the new responsibilities 
authorized under the GAP program, including the ability to 
tailor the partnerships in ways that meet each State's 
individual needs. The committee encourages the Secretary and 
States to coordinate the early notification components of the 
GAP program with other existing or new early financial aid 
information efforts in order to avoid duplication of services 
or information.
    The committee encourages the Secretary to provide States 
with sufficient flexibility to implement the GAP program 
efficiently and to ensure that program regulations, such as 
those regarding the portability of grants, align with existing 
LEAP program regulations. In light of the changes to LEAP with 
the addition of the GAP program, the committee also encourages 
the Secretary to provide transition time to States to assure 
the success of this new initiative.

  THE HIGH SCHOOL EQUIVALENCY PROGRAM AND COLLEGE ASSISTANCE MIGRANT 
                                PROGRAM

    The committee recognizes that migrant students are among 
the most disadvantaged youth in this Nation. Current estimates 
place the dropout rate for migrant youth at between 50 and 60 
percent. The High School Equivalency Program (HEP) and College 
Assistance Migrant Program (CAMP) have been successful in 
helping migrant students become productive members of society.
    HEP provides intensive GED instruction and support services 
to migrant students who have not completed high school. HEP 
provides personal, academic and vocational counseling, health 
services, stipends, and housing for residential programs. CAMP 
grantees provide intensive support services to help migrant 
students make the transition into college. CAMP offers academic 
support, personal and career counseling, stipends, 
scholarships, health services, and other supports necessary to 
ensure that migrant students are successful in college.
    The committee expands and improves the current programs so 
that children of migrant and seasonal farmworkers can share in 
the American dream and become more productive members of 
society.
    The Higher Education Amendments of 2007 Act expands 
eligibility for CAMP to include ``immediate family members,'' 
including spouses and siblings who would benefit the large 
migrant community. The bill also expands the definition of 
allowable activities and support services to include programs 
that ensure that migrant students succeed in earning their GED 
and completing college, such as transportation, child care and 
follow up services for CAMP students. The bill also contains 
other important provisions including allowing for technical 
assistance support and an increase in the amount of minimum 
grants to ensure that programs receive sufficient funding to be 
effective.

               CHILD CARE ACCESS MEANS PARENTS IN SCHOOL

    Changes to the Child Care Access Means Parents in School 
(CCAMPIS) program reflect the committee's belief in the vital 
importance of promoting and expanding campus-based child care 
for low-income students to assist them in attending and 
completing postsecondary education. To help promote greater 
expansion of campus-based child care, the committee increased 
the minimum grant award from $10,000 to $30,000, to take effect 
when the amount appropriated for the program equals or exceeds 
$20,000,000. The committee believes that raising the minimum 
grant will increase the pool of institutions applying for and 
receiving grants, which will help to expand campus-based child 
care programs. Aligned with the committee's belief in the 
importance of increasing the number of institutions offering 
campus-based child care to low-income students, inclusion of a 
funding trigger for increasing the minimum grant award reflects 
the committee's aim of not wanting a reduction in the current 
number of grantees participating in the program. The committee 
also expands the definition of a low-income student to include 
individuals who are enrolled in a graduate or professional 
course or who are in the United States for a temporary period 
of time.
    Continued support for this program demonstrates the 
committee's recognition of the benefits of campus-based 
childcare to parents enrolled in postsecondary education. These 
benefits include convenience of location, affordability, and 
high quality care. Despite the importance of campus-based child 
care, at current levels it is often not accessible to students, 
especially those who are low-income. The committee believes 
that support for campus-based child care services serves the 
central goal of Federal higher education policy of improving 
access to postsecondary education.

          ADDITIONAL INFORMATION ON DEFERMENT AND FORBEARANCE

    The committee heard testimony from witnesses about the need 
for more and better information on how to handle student loans 
in the repayment period. Borrowers need to understand the terms 
and conditions of their loans so they can act responsibly. One 
witness noted that many of the most serious problems former 
students face are generated by compounding interest that causes 
the payment obligations of borrowers under financial duress to 
increase dramatically. Therefore, the committee has expanded 
the information lenders must provide to all borrowers who are 
granted forbearance and to borrowers of unsubsidized loans who 
are granted a deferment to enable the borrowers to understand 
the impact of capitalization of interest on the loan principal 
and the total amount of interest to be paid during the life of 
the loan. The committee understands that the length of a 
deferment or forbearance is subject to change with a change in 
the borrower's circumstances. Therefore, lenders may provide 
borrowers with an estimate of interest that will be 
capitalized, and an estimate of total interest to be paid, 
using sample calculations.

         RESTRICTIONS ON INDUCEMENTS AND PREFERRED LENDER LISTS

    The committee believes strongly that lenders, guaranty 
agencies and institutions of higher education must act with 
honesty and integrity at all times to ensure that the financial 
aid programs under title IV serve the best interests of 
students. For this reason, the Higher Education Act has long 
restricted lenders and guaranty agencies from offering 
inducements to institutions of higher education. The act also 
requires institutions of higher education to enter program 
participation agreements that prevent institutions from 
accepting inducements or engaging in other activities that 
would compromise the integrity of the Federal student aid 
programs.
    However, as an investigation by the HELP committee Chairman 
has documented, some lenders, guaranty agencies, and colleges 
participating in the title IV student loan programs have 
engaged in practices that violate the anti-inducement 
provisions of the Higher Education Act or otherwise contravene 
their intent. The committee believes strongly that abuses 
should be curtailed, and made an extensive bipartisan effort to 
strengthen the anti-inducement and program participation 
agreement provisions of the Higher Education Act in this bill.
    To that end, Section 421 of the bill amends Section 428A of 
the Higher Education Act to specify that guaranty agencies 
participating in the FFEL program may not offer stock or other 
securities, prizes, travel, entertainment expenses, or tuition 
repayment to an institution of higher education or a lender, 
and may not perform or pay another party to perform any 
function under part B, D, or G of title IV that an institution 
of higher education is required to perform. Section 435 of the 
bill applies similar restrictions to FFEL lenders under Section 
425 of the Higher Education Act, and further specifies that 
lenders may not offer technology equipment at below-market 
value, additional financial aid funds to an institution of 
higher education or its employees. This section also prohibits 
FFEL lenders from entering into consulting arrangements with or 
otherwise compensating a college employee who has 
responsibilities with respect to student loans and financial 
aid, except that a lender may reimburse such employee for 
reasonable expenses incurred in serving on a lender's advisory 
board. The committee also intends to prohibit unsolicited 
mailings of student loan applications by guaranty agencies and 
lenders, by any means of delivery.
    Section 481 of the bill extends similar prohibitions 
against an institution of higher education accepting such 
inducements. It requires institutions to establish, follow, and 
enforce a code of conduct that, at a minimum, specifies that 
institutions and their employees are prohibited from: receiving 
anything from a lender in exchange for any advantage to the 
lender with respect to student loans; accepting any gift or 
trip of more than nominal value, except for reasonable expenses 
and domestic travel for professional development that will 
improve the efficiency and effectiveness of the title IV 
programs; or entering into a consulting contract with a lender 
or any other contract to provide services to a lender, in the 
case of an employee of the financial aid office or any other 
employee who has responsibility over student loans.
    The committee emphasizes that these new restrictions are 
not meant to prohibit an institution of higher education from 
receiving a philanthropic contribution from a lender, such as 
support for an endowed professorship, as long as such 
contribution is not made in exchange for an advantage sought by 
the lender to make educational loans to students enrolled at 
the institution. The committee also does not intend for these 
restrictions to prohibit lenders, guaranty agencies, and 
institutions of higher education from participating in or 
supporting outside events designed to assist students in 
applying to college or completing the Federal financial aid 
process, such as College Goal Sunday.
    Finally, the committee has included new requirements 
related to the ``preferred lender lists'' that many colleges 
use to recommend lenders to students and parents seeking FFEL 
loans. The committee understands that preferred lender lists 
can be a useful tool in helping students and families compare 
the terms and benefits that various lenders offer and decide 
which lender to obtain their student loans from. However, the 
committee is also aware of numerous instances in which 
colleges' preferred lender lists have contained only one or two 
lenders, and other instances in which the lists have been 
presented in such a way as to suggest that the student must 
borrow from a particular lender in order to secure a FFEL loan 
through the school. To address these concerns, the bill 
requires that preferred lender lists for FFEL loans include at 
least three non-affiliated lenders; disclose why the 
institution has identified the lender as preferred, especially 
with respect to the terms and conditions of the lender's loans; 
and a prominent statement that students and parents do not have 
to obtain FFEL loans through lenders on the preferred lender 
list.

                   INFORMATION ON CONSOLIDATION LOANS

    To address concerns heard from borrowers and schools that 
some borrowers who consolidated their loans did not understand 
that by doing so, they were forgoing benefits, the committee 
expanded the information that lenders must provide to borrowers 
who apply to consolidate their loans. Key among the new 
provisions are the requirements that the information about the 
possible impact of loan consolidation must include the length 
of repayment of the consolidation loan, the total interest to 
be paid on the loan, whether consolidation would result in a 
loss of loan benefits under the FFEL or Direct Loan program 
and, in the case of a borrower who plans to include a Perkins 
Loan, the fact that the borrower will lose all interest-free 
periods and cancellations for which the borrower would have 
qualified under the Perkins program; Borrowers must also be 
advised that they may change repayment plans and that they may 
pre-pay their consolidation loan or pay on a shorter schedule.

                        LOAN BENEFIT DISCLOSURES

    It is the opinion of the committee that borrowers and 
potential borrowers should be provided full disclosure on 
benefits and repayment options. This should include, but not be 
limited to, information on reductions in interest rates by 
repaying a title IV loan by automatic payroll or checking 
account deduction or by completing a program of on-time 
repayment. Information should include any limitations on such 
plans, explicit information on the reasons a borrower may lose 
eligibility, and a description of the number or percentage of 
borrowers who successfully participate in such benefit 
programs.

Definition of eligible lender

    The committee recognizes that a State agency lender may be 
charged by the State legislature with providing effective and 
efficient services to that State's students. While the 
committee expects that all lenders and university financial aid 
personnel will adhere to a rigorous code of ethics, the 
committee does not intend that this legislation will preclude 
one State agency from working efficiently and effectively with 
another State agency to provide student services, including in 
the delivery of State education loan and grant programs funded 
and administered by the State. Nothing in this section is 
intended by the committee to prohibit a State agency that is a 
student loan lender from entering into a cooperative effort 
with another State agency, a State postsecondary institution, a 
secondary school, an early intervention and outreach program, 
or other similar entity to provide a comprehensive system of 
early financial aid information or other information designed 
to increase the number of students who enroll and persist in 
postsecondary education. Specifically, this section is not 
intended to prevent a State agency lender from entering into 
cooperative agreements with the State university system or 
other State agency or non-profit entity to fulfill the 
allowable activities of the College Access Partnership Grant 
Program provided for under P.L. 110-84, the College Cost 
Reduction and Access Act.

                           FEDERAL WORK-STUDY

    The committee recognizes the commitment of many colleges to 
integrate community service into their curriculum and into 
their institutional mission. In this reauthorization, the 
committee maintains the 7 percent mandatory spending of Work-
Study funds on community service related jobs, but now gives 
institutions the option of meeting the community service 
requirement by providing a Statement that says that 15 percent 
of their entire student body is involved in community service. 
In addition, the committee recognizes the effort involved in 
connecting students with jobs and has increased the job 
location and development dollar amount from $50,000 to $75,000 
on each campus.

Work colleges

    The bill includes language that encourages new models of 
student organized volunteer service projects. The committee 
believes that providing students the opportunity to participate 
in volunteer service projects associated with institutions of 
higher education is an excellent way to develop leadership and 
civic engagement.

                          PERKINS LOAN PROGRAM

    The committee extends the authority of the Perkins Loan 
Program and the benefit extended through these loans to needy 
students and encourages institutions to continue to participate 
in this program.
    The committee includes language that adds staff members 
working full time in a pre-K or child care program licensed or 
regulated by the State to the list of individuals eligible for 
Perkins loan cancellation. Inclusion of these individuals for 
loan forgiveness is meant to create an incentive for entry and 
retention of highly-trained staff into State licensed or 
regulated pre-K or child care programs. Today, more than 11 
million children receive care outside of the home before 
kindergarten. For millions of children, child care is their 
early learning setting in addition to their homes. Given that 
current Federal initiatives require State child care plans to 
develop a professional development system for child care 
providers, the committee believes it is important to fulfill 
this goal by helping to provide such early educators with the 
assistance they need to get a degree and to remain in the 
field.
    The committee also recognized the needs of Tribally 
Controlled Colleges in recruiting faculty and added those 
faculty members to the population who are eligible for loan 
cancellation.
    Finally, the committee chose to add speech and language 
therapists and librarians, with a master's degree, who work in 
a title I eligible elementary or secondary school or, in the 
case of librarians, in a public library in a geographic area 
that contains one or more eligible schools, to the population 
of those eligible for Perkins Loan cancellation.

                             NEED ANALYSIS

Verification

    While the bill would significantly simplify the financial 
aid application process for students, the verification process 
remains burdensome for students and institutions. The committee 
therefore strongly encourages the Secretary to take steps 
necessary to simplify the verification process and increase the 
use of technology in verification.

       GENERAL PROVISIONS RELATING TO STUDENT ASSISTANCE PROGRAMS

    In an effort to ensure that the financial aid system 
overseen by the Department of Education operates as smoothly as 
possible, the committee clarifies that the compliance calendar 
should provide all users with due dates for all reports and 
disclosures to be submitted, clearly defining the recipients 
and required method of transmittal and any other relevant 
information.

FAFSA

    The committee believes that the application process for 
Federal student assistance is unduly burdensome for many 
students and families, and that steps should be taken to 
dramatically simplify the Free Application for Federal Student 
Aid, the form students and families complete to apply for 
Federal aid. The committee bill creates a new, highly 
simplified paper form, the EZ FAFSA, for low-income students 
who are eligible for the automatic zero Expected Family 
Contribution (EFC). The committee bill also phases out the full 
paper FAFSA and requires the Secretary to use savings from 
doing so to increase access for low-income students to 
electronic forms on the Department of Education's Web site for 
the FAFSA, currently known as FAFSA on the Web. It is the 
intent of the committee that the Secretary will field- and 
pilot-test the EZ FAFSA prior to full implementation, and that 
the paper EZ FAFSA will be appropriately phased in as the full 
paper FAFSA is phased out. In addition, the committee expects 
the Secretary to maintain an easily downloadable and printable 
version of the full paper FAFSA, to the extent feasible, that 
would allow students who may not have adequate access to the 
Internet to download, print, and submit such forms for full 
processing. To otherwise help students eligible for the auto-
zero gain access to the simplified forms, the committee 
authorizes a free telefile system for students without Internet 
access that the committee encourages the Secretary to quickly 
test and implement, if feasible.
    The committee bill also creates highly simplified 
electronic application forms to enable all students to answer 
the minimum number of questions necessary, including only those 
required by their State of residence. In addition, the 
committee strongly encourages more States to accept the two 
simplified need analysis formulas, the automatic zero EFC 
(auto-zero) and the Simplified Needs Test (SNT), and to 
annually communicate with the Secretary regarding their data 
requirements and use of simplified formulas. It is also the 
intent of the committee to request a study by the Government 
Accountability Office regarding the benefits and costs to 
States of increasing their acceptance of the auto-zero and SNT. 
In addition, the committee intends to further simplify 
eligibility for the auto-zero and SNT by aligning eligibility 
for these formulas with current or past participation in 
Federal means-tested benefit programs. The committee bill also 
allows students to apply for financial aid earlier and to 
complete the FAFSA at any time in order to receive early, 
nonbinding estimates of their EFC. Finally, the committee bill 
protects students by strengthening provisions regarding the 
prohibition of charges for FAFSA completion.
    Beyond simplifying the FAFSA itself, the committee also 
believes that other approaches to simplify the Federal student 
aid determination process should be tested for possible 
adoption in future reauthorizations. To that end, the committee 
has authorized an early application and award demonstration 
program, which will allow students to receive a Federal aid 
determination in their junior year of high school, and a study 
to develop alternative approaches for calculating the expected 
family contribution that use substantially less income and 
asset data, including an approach that would allow the 
Department of Education to pre-populate the FAFSA using 
individuals' tax form data, provided by the Internal Revenue 
Service.

Early awareness of financial aid eligibility

    The committee bill creates a comprehensive system to 
provide students and families as early as middle school, as 
well as adult learners, with better information regarding 
financial aid and early estimates of their aid eligibility. It 
is the intent of the committee for students and parents to 
receive adequate estimates of their eligibility for aid from 
multiple sources, including State and institutional aid, as 
early as possible to encourage students and families to prepare 
and plan for college. In addition, the committee encourages the 
Secretary to conduct a feasibility study to determine the 
practicability of allowing dependent students to apply for 
financial aid in their junior year using prior year income 
data.

Expanded entrance and exit counseling

    The committee is concerned that borrowers either do not 
receive sufficient information about their student loans, or do 
not receive appropriate information on provisions of their 
loans at the right time, to enable them to make informed 
decisions. Some borrowers do not know that they can change 
their repayment plans or can request deferment or forbearance 
of repayment if they meet certain conditions. Other borrowers 
have requested loan deferment or forbearance but have not 
understood the impact of capitalization of interest on the 
amount they will owe. In other cases, borrowers who have 
consolidated their loans have given up benefits on their 
underlying loans, including loan deferments and cancellations, 
without understanding the consequences. To address these 
concerns, the committee has expanded entrance and exit 
counseling requirements for lenders and institutions of higher 
education so borrowers receive comprehensive information on 
their loans both when they receive them and when the borrowers 
leave school.

Institutional information

    In addition to the information on college costs, the 
committee also believes it is important for students and their 
parents to have access to information regarding the transfer of 
credit, employment and graduate education outcomes. The 
committee includes these provisions in the list of information 
that must be made readily available to prospective and enrolled 
students. However, the committee recognizes the efforts of many 
institutions of higher education to provide data on these 
outcomes already, and encourages the Secretary to consider 
these efforts when implementing this section, in order to 
ensure these requirements do not become an onerous requirement 
for institutions.
    The committee notes that the Executive committee of the 
State Higher Education Executive Officers (SHEEO) has directed 
its staff to explore means of promoting the further development 
and voluntary coordination of student record systems among the 
States. The SHEEO Executive committee action was based on the 
recognition that, in varying degrees of comprehensiveness, 39 
States already implement student unit record systems that 
enable States to inform public policies by examining 
information on college attendance patterns, completion rates, 
actual costs, and the availability of financial assistance for 
all students.
    The SHEEO Executive committee action reflected the 
following purposes and principles: SHEEO should examine 
existing State data systems and encourage the coordination and 
consistent development of such systems to improve the accuracy 
and validity of policy information and facilitate the 
development of information-sharing systems to monitor 
postsecondary participation, costs, and student success. Such 
systems ideally should include information on: (1) Student 
characteristics (demographic data); (2) Student enrollment; (3) 
Costs and financial assistance; and (4) Degree or certificate 
completion.
    The committee encourages those 11 States that do not 
currently have an effective State data system to develop such a 
system. However, the committee includes in this reauthorization 
bill a provision that would prohibit the Department of 
Education from establishing a national unit record data system.
    All State data systems should continue to maintain fail-
safe safeguards to protect the privacy of individuals. All data 
analysis should be used exclusively for policy research on 
groups of students, with no disclosure or reporting of data on 
individuals or small groups that might involve violating the 
privacy of individuals. The committee supports research and 
discussion to foster improved policy data systems, involving 
and informing all sectors of higher education, policymakers, 
and others seeking to improve educational attainment in the 
United States.
    Institutions are now required to report disaggregated 
information on the student body by gender, major racial or 
ethnic groups and Pell-eligibility status. In reporting 
graduation rates, institutions are allowed to take into 
consideration service in the armed forces, religious missions, 
or Government foreign service when calculating time to degree.
    The committee includes language regarding the transfer of 
credit based on the findings of a GAO study, issued in October 
of 2005, that indicates many institutions do not have a formal 
transfer of credit policy, and that many institutions do not 
accept credits from institutions accredited by certain 
accrediting bodies or associations. Institutions are required 
to have a clearly stated public disclosure of their transfer of 
credit policies, including a statement of whether the 
institution denies transfer of credit solely on the basis of 
the accrediting agency or association that accredited the 
institution from which the student is transferring. This 
provision is intended to make sure that students have the best 
information possible when considering transferring from one 
institution to another. The committee does not expect this 
provision to impinge on the ability of institutions to develop 
articulation agreements with other institutions within the 
State or outside of the State, nor does the committee expect 
this provision to limit the ability of institutions to develop 
transfer of credit policies that take into account other 
factors, such as the quality, rigor, or relevance of the 
transferring students' previous coursework.

National Student Loan Data System

    The committee establishes principles for administering the 
National Student Loan Data System (NSLDS) and adds requirements 
to address the committee's concern that the Secretary does not 
have guidelines either for restricting access to NSLDS or 
restoring access to NSLDS after it has been restricted. The 
committee intends for the Secretary to manage NSLDS in 
compliance with the intent and requirements of the Federal 
Information Security Management Act. Also, the committee 
intends that the Secretary take steps to ensure that borrowers 
are informed of the need for their data to be included in NSLDS 
and of the measures taken by the Secretary to protect their 
information, and that borrowers understand who will be able to 
access their information The Secretary is required to provide 
an annual report to Congress that includes a description of the 
effectiveness of existing privacy safeguards in protecting 
student and parent information in NSLDS and information on the 
success of any new protocols in more effectively preventing 
abuse of the data system and the ability of the Secretary to 
monitor how the system is being used.

Experimental sites

    The committee retains experimental sites and suggests that 
in addition to the list of suggested areas of experimentation, 
new or existing sites may want to look at the use of modular or 
compressed coursework as a way to expedite degree completion.

Advisory Committee on Student Financial Assistance

    The Advisory Committee is charged with conducting a review 
and analysis of title IV regulations. It is the intent of the 
committee that the review and analysis of regulations will not 
take the place of the Advisory Committee's other ongoing 
charges from Congress, including those related to access and 
persistence for low- and middle-income students. The committee 
intends for the Advisory Committee to conduct the regulatory 
review and analysis while also fulfilling its existing 
responsibilities and its additional new charge to conduct a 
study on innovative pathways to degree attainment, including 
pathways for adults and out-of-school youth. It is also the 
intent of the committee for the Secretary to provide the 
Advisory Committee with the necessary resources to be able to 
conduct the review and analysis of regulations while fulfilling 
its other responsibilities to Congress.

                             ACCREDITATION

    Accrediting agencies or associations recognized by the 
Department of Education are invested with a public trust and 
perform an important public function. Congress expects that 
those receiving Department recognition will perform those 
functions with the same diligence and competence as would be 
provided by any public body and that their procedures will be 
conducted with the same level of transparency, due process, and 
accountability that would apply to the Department if it 
performed this function itself.
    The new language requiring accrediting agencies or 
associations to apply and enforce their standards in a manner 
that respects the missions of institutions of higher education, 
including religious missions, reflects these goals. It is not 
intended to allow an institution to deny a person participation 
in, the benefits of, or to subject a person to discrimination 
under any program or activity receiving Federal financial 
assistance under existing laws, including those with respect to 
race, color, religion, sex, national origin, age, or 
disability; or because the person has not complied with a 
standard of the institution that requires the person to 
discriminate on the basis of race, color, religion, sex, 
national origin, age, or disability.

Due process

    The committee is concerned that institutions of higher 
education do not currently receive appropriate minimum due 
process protections when undergoing accreditation evaluations. 
Accordingly, the committee has added a new section which 
provides that, prior to any final action, an adversely affected 
institution may submit a written response to be included in the 
record of such decision and, further, that this institution may 
seek an appeal before a panel comprised only of members that 
did not participate in the underlying adverse decision and do 
not otherwise possess any conflict of interest.
    With respect to the awarding of accreditation or 
reaccreditation of an institution, the word ``finding'' is 
included in the committee bill. The word finding means a 
substantive conclusion related to the agency's standards or the 
Secretary's criteria that is reached in connection with a 
decision.

                     TIMELY INFORMATION ABOUT LOANS

    The committee has specified that lenders must include 
certain, borrower-specific information when billing a borrower. 
However, this requirement should not be construed to require a 
lender to mail the required information required to the 
borrower. Some lenders provide online accounts, which they 
update regularly with borrower-specific information, and which 
borrowers access to schedule payments, check account status, 
and generally manage their student loan accounts. Lenders may 
use this type of notification platform or any other electronic 
format to provide the information required by this section

                     AUCTION EVALUATION AND REPORT

    The committee intends for the Government Accountability 
Office (GAO) to conduct a study of the pilot program 
established for the auction of Federal PLUS Loans under P.L. 
110-84, the College Cost Reduction and Access Act. GAO's 
evaluation should cover at least five topic areas. First, GAO 
should determine the extent of any savings to the Federal 
Government that are generated through the pilot program, 
compared to the cost the Federal Government would have incurred 
in operating the program in the absence of a pilot program. 
This should include a description of any administrative costs 
to the Department in coordinating the auctions, and an analysis 
of how the costs of administering the auction compare to the 
savings, if any, realized by the auction.
    Second, GAO should determine the number of lenders 
participating in the pilot program, and the extent to which the 
program generated competition among lenders. GAO should include 
in its review a description of how many unaffiliated financial 
institutions submitted bids for the right to originate FFEL 
Parent PLUS loans nationwide; a description of how many 
unaffiliated financial institutions originated FFEL Parent PLUS 
loans; an analysis of the national average special allowance 
payment (SAP) on new FFEL Parent PLUS loans determined by the 
auction; and an analysis of the range in SAP levels across the 
country.
    Third, GAO should determine the impact of the transition 
to, and operation of, the auction on the ability of lenders and 
institutions of higher education to disburse loans made through 
the pilot program smoothly and efficiently; the ability of 
parents to obtain loans made through the pilot program in a 
timely and efficient manner; and the ability of borrowers to 
consolidate their loans. The GAO should also include in its 
review an analysis of the ability of the Department to 
effectively plan, implement and administer the auction; any 
additional regulatory burdens that may have emerged in the 
process of implementing and conducting the auctions; and the 
ability of the Department to guard against collusion in the 
bidding process.
    Fourth, GAO should review the differential impact, if any, 
of the auction among the States, including between rural and 
non-rural States. GAO should include in its review a 
description of what States are served at each SAP level; which 
lenders are submitting bids for which States; whether similar 
lenders are bidding on States with similar characteristics 
(such as numbers of students or the rural vs. urban setting of 
the campuses); which States are being served by a lender of 
last resort; and which lenders are bidding on multiple States.
    Fifth, GAO should assess the feasibility of using the 
mechanism piloted under this section to operate other Federal 
higher education loan programs. This assessment should include 
a description of the types of lenders who are the winning 
bidders; a description of the total volume of new FFEL Parent 
PLUS loans under the pilot, relative to volume of pre-auction 
years; a description of the total volume of new DL Parent PLUS 
loans under the pilot, relative to volume of pre-auction years; 
and an analysis of whether there have been changes in the 
number or type of concerns, questions or complaints received by 
the Federal Student Aid Ombudsman concerning FFEL Parent PLUS 
loans. Also, GAO should include an analysis of whether there 
have been changes in the quality of customer service being 
provided to FFEL Parent PLUS borrowers; an analysis of whether 
borrowers in some States are being offered benefits that are 
not being offered to borrowers in other States; a description 
of to what extent borrowers are taking out more than one FFEL 
Parent PLUS loan, and doing so with multiple lenders; and an 
analysis of whether borrowers or institutions of higher 
education have experienced any shortfalls in FFEL lender 
capacity, relative to pre-auction years.
    GAO should report preliminary findings to the Chairman and 
Ranking Member of the committee no later than September 1, 
2010; provide an interim report on September 1, 2012; and issue 
a final report on September 1, 2014.

                    Title V--Developing Institutions

    According to Census Bureau data, the Hispanic population in 
the United States grew by 25.7 million between 1970 and 2000. 
The most recent data indicate that the Hispanic population 
represents approximately 14 percent of the U.S. population, 
making it the Nation's largest minority group. Further, while 
the overall labor force is projected to slow down over the next 
decades as an increasing number of workers reach retirement 
age, the Hispanic labor force is expected to continue growing 
at a fast pace. It will expand by nearly 10 million workers 
between now and 2020. Estimates project that by the year 2050, 
one in four Americans will be of Hispanic origin. The committee 
recognizes that the Nation's economic and social success rests, 
in large part, on the level of skills and knowledge attained by 
our Hispanic population. Hispanic-serving institutions play a 
critical role in the attainment of such skills and knowledge.
    Hispanic Americans face challenges in enrolling in and 
graduating from institutions of higher education. Hispanic-
serving institutions provide a significant proportion of 
postsecondary opportunities for Hispanic students despite 
having limited resources and capacity. The purpose of this 
title is to expand educational opportunities for Hispanic 
students by enhancing academic offerings and resources of 
colleges and universities that educate the majority of these 
students.
    Hispanic-serving institutions (HSIs) have a record of 
increasing the number of Hispanic students enrolling in and 
graduating from college. Although HSIs account for only 5 
percent of all institutions of higher education in the United 
States, HSIs enroll over half (51 percent) of all Hispanics 
pursuing higher education degrees in the 50 States, the 
District of Columbia, and Puerto Rico. Despite this progress, 
Hispanics still lag behind their non-Hispanic peers in 
postsecondary school enrollment. In 2000, only 21.7 percent of 
all Hispanics ages 18 through 24 were enrolled in postsecondary 
degree-granting institutions in the United States. Moreover, 
Hispanic students are disproportionately enrolled in 2-year 
colleges, and are much less likely to finish college than their 
non-Hispanic peers. According to the Department of Education, 
in 2000, Hispanics earned only 6 percent of all bachelor's 
degrees awarded, 4 percent of all master's degrees, and only 3 
percent of all doctorates.
    Therefore, the capacity of institutions of higher education 
to serve the increasing number of Hispanic students must be 
expanded and improved. Building on previous success, this bill 
strengthens HSIs by establishing a competitive grant program to 
expand post-baccalaureate degree opportunities at HSIs. Current 
law provides support only for 2-year and 4-year institutions; 
this bill establishes support for graduate programs at HSIs. 
Grants will support graduate fellowships and support services 
for graduate students, as well as supporting facilities 
improvement, faculty development, technology and distance 
education, and collaborative arrangements with other 
institutions.
    It is the committee's intent to increase educational 
opportunities for all students, and particularly Hispanic 
students, and accordingly, to eliminate barriers that limit 
access. The bill facilitates the transition of Hispanic 
students from 2-year colleges to 4-year colleges, including 
courses designed to retain students through program completion. 
As noted earlier, Hispanics are disproportionately enrolled in 
2-year colleges as compared to their non-Hispanic peers. To 
encourage and support these students' continued education, this 
bill adds, as an authorized activity, programs that assist a 
student's transfer from a 2-year institution to a 4-year 
institution.
    With these provisions, the committee provides institutions 
of higher education with the resources and flexibility they 
need to build capacity and serve the increasing Hispanic 
student population.

               Title VI--International Education Programs

    For more than four decades, title VI international 
education programs have served the Nation in developing and 
maintaining today's national higher education infrastructure 
for the study of more than 220 foreign languages, foreign 
cultures, and international business. As witnessed in recent 
years, foreign language and cultural knowledge needs have 
significantly increased throughout the Federal Government due 
to a wider range of security threats, the emergence of new 
nation states, and the globalization of the United States 
economy. Likewise, American business and education increasingly 
need internationally experienced employees to compete in the 
global economy, to manage a culturally diverse workforce, and 
to impart international skills and understanding to our 
citizens. In a time of heightened security needs, when our 
economy demands that we enter new markets, and when the world 
requires us to engage in diplomacy in more thoughtful and 
considered ways, it is vital that we have at our disposal a 
multilingual, multicultural, internationally experienced 
workforce and citizenry. To help meet these challenges, the 
committee updated and strengthened several title VI programs.

             DIVERSITY OF VIEWS AND RESOLUTION OF DISPUTES

    The committee is concerned about reports of bias in some 
title VI funded activities and programs. The committee believes 
that students' interests are best served when they are exposed 
to a variety of perspectives on topics under consideration, 
particularly those that are controversial. Accordingly, under 
some grant programs, the committee now requires grant 
applicants to describe in their applications how activities 
will reflect diverse perspectives and how each grantee will 
address potential disputes concerning the extent to which 
diverse perspectives are reflected. While it is the committee's 
intent that such disputes be resolved at the campus level, if 
such complaints are not resolved under the process outlined in 
a grantee's application and such complaint is then filed with 
the Department, the Secretary shall review the request and take 
into account the outcomes of such proceedings when determining 
the renewal of grants.

               INTERNATIONAL AND FOREIGN LANGUAGE STUDIES

Consultation

    The committee recognizes that programs and grants under 
this title focus on a variety of world regions, foreign 
languages, and international subjects. To ensure that grants 
are appropriately focusing on areas of national need, the 
Secretary is directed to consult with and receive 
recommendations from the Secretary or designees of a wide range 
of Federal agencies, such as the National Security Council, the 
Department of Homeland Security, the Department of Defense, the 
Department of State, the Federal Bureau of Investigation, the 
Department of Labor, the Department of Commerce and the 
Director of National Intelligence, on what these areas of 
national need should be. These entities are also required to 
inform the Secretary of how they utilize the expertise and 
resources provided by grantees under this title. The Secretary 
must take such recommendations and information into account 
when requesting applications for funding, and make available to 
applicants a list of areas identified as areas of national 
need. The committee believes such consultation and information 
sharing is particularly important in light of the war on 
terror, the growing range of security threats, increasing 
global economic competition, the recently documented shortages 
of individuals proficient in critical foreign languages across 
public and private sectors and the need for greater mutual 
understanding between the U.S. and other nations and cultures.

Survey

    To better gauge the impact of programs funded under this 
title in meeting national needs for expertise in foreign 
languages and world regions in various sectors, the committee 
directs the Secretary to assist relevant grantees in developing 
a survey to administer as appropriate to students who have 
participated in Title VI programs to determine post-graduation 
placement. The committee wishes to determine the number of 
students pursuing public service, including government service, 
health careers, careers in international organizations, 
businesses or nonprofits, and careers in research, as well as 
advanced education or other activities. The committee is 
particularly interested in determining the extent to which 
students utilize the knowledge and skills gained through 
participation in title VI programs in ways that contribute to 
meeting national needs.

Graduate and Undergraduate Language and Area Centers and Programs

    The committee has made several improvements to strengthen 
the Graduate and Undergraduate Language and Area Centers and 
Programs. Authority is added clarifying that the National 
Language and Area Resource Centers may use title VI funds for 
the purpose of hiring instructors of less commonly taught 
languages. This change addresses the increased demand for 
courses offering rare languages related to national security 
interests and for which faculty may not be readily available. 
Revisions to current law also permit additional grants to the 
National Language and Area Resource Centers to strengthen 
outreach to State and local school districts. The committee has 
restored eligibility of undergraduate students to receive 
Foreign Language and Areas Studies (FLAS) fellowships. 
Permitting undergraduate students to receive these fellowships 
serves the national interest by supporting early language and 
world area study to help individuals achieve high levels of 
proficiency in the less commonly taught languages. The 
committee intends that undergraduate students be allowed to use 
FLAS fellowships in the United States and abroad for 
intermediate or advanced study of the less commonly taught 
languages and of foreign cultures. The committee recognizes 
that foreign immersion experiences are critical for achieving 
high levels of proficiency in the less commonly taught 
languages, which are important to the Nation's national 
security interests.

Undergraduate International Studies and Foreign Language Programs

    The committee modified the Undergraduate International 
Studies and Foreign Language Programs to increase the cap on 
funding for this section to 20 percent. Institutional grants 
for enhancing the international dimension of undergraduate 
education are critical to increasing the number of Americans in 
the pipeline to foreign language fluency and international 
knowledge. Given current shortages of such personnel throughout 
government, education and the professions, the committee 
believes increased funding should be permitted to respond to 
rising demand. The committee urges the Department of Education 
to encourage the development of programs that stress the 
teaching of foreign languages for practical and professional 
use, including programs that promote foreign language education 
across the curriculum. Additionally, the committee revised 
current law to allow up to 10 percent of a project's funds to 
be used for sending undergraduate students on educational 
programs abroad that are closely linked to the project's goals 
and have the purpose of enhancing foreign language proficiency 
and deepening cultural knowledge.

Research and studies

    The committee recognizes that international and foreign 
language education represents an evolving field in the United 
States, one with increasing importance for the national 
interest. The Research and Studies program plays an important 
role in enhancing international and foreign language education. 
The committee urges the Secretary to engage in data collection 
and analysis of international education and foreign language 
needs and outputs on an ongoing and systematic basis, and to 
regularly make the results publicly available. The committee 
also encourages the Secretary to consider projects that assess 
the impact of student learning abroad, develop proficiency 
assessments for the less commonly taught languages where not in 
existence, assess the relationship between gains in foreign 
language proficiency and cultural learning, and assess the use 
of technology for language acquisition and proficiency.

Technological Innovation and Cooperation for Foreign Information Access

    The committee updated and strengthened the Technological 
Innovation and Cooperation for Foreign Information Access 
program. The committee added nonprofit educational 
organizations as eligible grant recipients in consortia with 
institutions of higher education and/or public or private non-
profit libraries. The committee also clarified that funds may 
be used for the acquisition of printed materials from abroad 
for the purposes of this section. Currently authorized 
activities, such as applying new technologies to indexing, 
cataloging, preserving, disseminating, and providing access to 
foreign materials, require that the materials be available. The 
committee added new authorized activities for establishing 
linkages with institutions abroad that facilitate access to 
foreign information and provide the Department of Education 
flexibility to establish new activities deemed useful for 
carrying out the purposes of the section.

             BUSINESS AND INTERNATIONAL EDUCATION PROGRAMS

    No alterations were made to the Business and International 
Education Programs. The main purpose of the business and 
international education grants has been to support programs of 
local and State scope.

Institute for International Public Policy

    The changes to the Institute for International Public 
Policy (IIPP) grant program reflect the committee's belief in 
the continued importance of increasing the number of African-
Americans and other underrepresented minorities in the 
international service.

Minority Foreign Service Professional Development Program

    The committee included language that permits the Secretary 
of Education to waive or reduce the non-Federal matching share 
requirement of the eligible recipient. This will permit the 
successful grantee to implement all of the objectives set forth 
in part C with both federally appropriated funds and private 
in-kind and cash contributions in a post-9/11 world.

Institutional development

    The committee added language to clarify that the academic 
programs intended to receive support through the grants awarded 
by the Institute are international affairs, international 
business, and foreign language study programs. In an era of 
globalization where public policy is often driven by private 
sector considerations, it is important that IIPP's program of 
training and capacity building encompass the fullest range of 
issues and subject matter.

Advanced degree in international relations

    The committee wishes to allow eligible students to earn a 
doctoral degree, where appropriate, instead of the master's 
degree mandated by current law. The current program limitation 
to offering master's degrees may not be appropriate for some 
students in certain fields of study. The addition of the 
doctoral degree will not only increase the number of minority 
Ph.D. experts, especially in areas relating to national 
security, it will increase the depth and breadth of national 
security and international affairs expertise from which the 
Nation can benefit.

Financial assistance

    To support the goal of increasing the representation of 
African-Americans and other underrepresented minorities in 
international service, the committee included provisions 
relating to financial support for students. Under the new 
provisions, students will be eligible to receive summer 
stipends to help defray costs for participation in the summer 
institute funded under this part. The committee also authorized 
a Ralph Bunche scholarship to help finance the education of 
students enrolled in programs funded under this part. The 
scholarship honors the life and career of Ambassador Ralph 
Bunche, who became the first person of color to receive the 
Nobel Peace Prize in 1950. The committee finds it fitting that 
a scholarship to foster greater participation in international 
service by African-American and other underrepresented students 
of color should be named after Mr. Bunche.

                           GENERAL PROVISIONS

    The committee added new sections to the General Provisions 
to allow the Department of Education discretionary funding (up 
to 1 percent of title VI appropriations) for evaluation, 
national outreach, and information dissemination. The committee 
urges the Department to increase outreach to the higher 
education community about the funding opportunities available 
under title VI, as well as to find new ways to provide greater 
national accessibility to and awareness of the expertise and 
knowledge that these programs produce.

       Title VII--Graduate and Postsecondary Improvement Programs

                      GRADUATE EDUCATION PROGRAMS

    Graduate and professional education programs in the United 
States are respected and emulated worldwide. They attract and 
educate the best and brightest domestic and international 
students. Our unique system of combining graduate education 
with teaching and research strengthens the American education 
system, while producing highly educated individuals who will 
become the next generation's leaders in education, government, 
medicine, and industries vital to our Nation's competitiveness, 
economy, security, and well-being.
    Unlike graduate education programs in other Federal 
agencies, the Department of Education's programs provide 
support for the entire range of academic disciplines, including 
the sciences, arts, social sciences, and the humanities. The 
Department currently administers two graduate programs: 
Graduate Assistance in Areas of National Need (GAANN) and Jacob 
K. Javits Fellowships. GAANN provides traineeships to students 
of superior academic ability in academic departments at 
universities that offer a course of study that leads to a 
doctoral degree in an area of national need designated by the 
Secretary of Education. The Javits program competitively awards 
portable fellowships to top graduate students pursuing a 
doctoral or the highest degree possible in the arts, humanities 
or social sciences.
    The committee endorses the goals and success of the GAANN 
and Javits programs and seeks to further strengthen their 
achievement and purpose. It is the intent of the committee to 
make additional changes to Javits to ensure the diversity of 
its Fellowship Board in terms of institution type, range of 
disciplines, minority status and geographic location. The 
committee also seeks to establish parity between the GAANN and 
Javits award amounts and the National Science Foundation's 
Graduate Research Fellowship Program.
    In determining current and future areas of national need, 
the committee directs the Secretary to consult with various 
Federal and nonprofit agencies and organizations. The committee 
instructs the Secretary to also give serious consideration to 
employment projections by the U.S. Bureau of Labor Statistics 
in assessing current and future professional workforce needs, 
and to designate fields experiencing significant shortages, 
such as registered nursing and elementary and secondary 
education, as areas of national need. In addition, the 
committee directs the Secretary to establish a priority for 
grants in those areas of national need where there are 
significant professional workforce shortages.

          FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION

    There are a variety of issues and problems impacting 
postsecondary education. The Fund for the Improvement of 
Postsecondary Education (FIPSE) was created to identify new 
ideas and practices to address these concerns. The FIPSE 
program awards grants designed to support innovative reform 
projects to resolve relevant issues and problems impacting 
postsecondary education. Since its inception in 1973, FIPSE has 
provided grants to some of the boldest innovators in education. 
The committee supports the mission and purpose of FIPSE and 
expands several of its provisions, including the areas of 
national need under special projects.
    The committee anticipates that one of the new activities 
provided through special project grants will improve secondary 
school graduation and college attendance and completion rates 
for disadvantaged students. While there are many secondary 
school reform models that could meet this eligibility 
requirement, the committee would like to make note of one 
particular model program called Project GRAD. Project GRAD is a 
comprehensive, cost-effective program with a record of 
improving the academic achievement and college access of 
students from low-income backgrounds. Project GRAD's integrated 
approach to teaching and learning includes working with an 
entire feeder system in a school district, the local non-profit 
Project GRAD organization, community involvement and 
collaboration, and existing assets. Project GRAD delivers a 
comprehensive set of research-based programs in reading, 
mathematics, classroom management, social services/parent 
involvement, and college preparation. In addition, Project GRAD 
provides a 4-year college scholarship to all students who 
qualify. It is this unique structural approach that contributes 
to higher academic standards and offers the dream of graduation 
and college to all the students within a feeder system, or even 
an entire district.
    Members of the committee are also aware of the special 
project grant awarded to the Shepherd Program at Washington and 
Lee University and support its efforts to coordinate and expand 
its activities, through the Shepherd Consortium of colleges and 
universities, to provide an integrated curricular and co-
curricular interdisciplinary study focusing on poverty and 
human capability for university and law students with 
internships in non-profit agencies in disadvantaged 
communities. The Consortium will include, among others, 
Georgetown University, Vanderbilt University, Berea College, 
Morehouse College, Spelman College, Middlebury College, Morgan 
State University, the University of Arkansas at Little Rock, 
and the University of Richmond. The Secretary is authorized to 
make grants under FIPSE for the Shepherd Consortium. Members of 
the committee envisioned, in the development of this provision, 
the Shepherd Consortium's combined approach of core academic 
curricula with service learning internships, as a means to 
assist those in disadvantaged communities.
    Similarly, Members are aware of the Single Parent Program 
at Endicott College, which has worked for many years to improve 
higher education access and completion rates for single 
parents. The committee believes Endicott is singularly well-
suited to organize and implement the center for best practices 
to support single parent college students authorized under 
FIPSE.
    The committee recognizes the significant impact that 
Federal regulations across the government have on the smooth 
operation of institutions of higher education. In order to help 
institutions of higher education be better informed and 
understand their legal obligations and the scope and potential 
impact of Federal regulations on the institutions, the 
committee includes an authorization for a competitive grant or 
contract to an institution of higher education to maintain a 
comprehensive Web site that describes and explains the impact 
of Federal regulations, and notices of proposed rulemaking, on 
institutions of higher education.

 DEMONSTRATION PROJECTS TO ENSURE STUDENTS WITH DISABILITIES RECEIVE A 
                        QUALITY HIGHER EDUCATION

    Students with disabilities struggle to access and persist 
through higher education. Students with disabilities are 10 
percent less likely to enroll in some form of postsecondary 
education compared to students without disabilities. They are 
much less likely to be qualified to enroll in postsecondary 
education than their counterparts without disabilities. 
Similarly, those students who enroll in postsecondary education 
are less likely than their counterparts without disabilities to 
stay enrolled in or earn a postsecondary degree or credential. 
Despite these shortcomings, those who do graduate go on to be 
quite successful in the workforce.
    The committee recognizes the unique challenges students 
with disabilities face when trying to access higher education 
and their overall significance to our Nation's workforce. It is 
for this reason that the committee encourages institutions of 
higher education to decrease barriers to higher education for 
students with disabilities. The bill amends the authorized 
activities under part D by adding several provisions in which 
institutions of higher education may engage to accomplish this 
goal. The bill requires that the academic and programmatic 
needs of students with disabilities must be met as part of the 
development of innovative, effective, and efficient teaching 
strategies. The committee recognizes that the retention and 
completion rates of postsecondary programs for students with 
disabilities is quite poor, and added this provision in an 
attempt to improve such rates. The committee added language to 
address the insufficient postsecondary education and employment 
outcomes for students with disabilities by including the 
development of teaching strategies to ensure the successful 
transition of students with disabilities from secondary to 
postsecondary education, and aligned them with the new 
transition requirements in the Individuals with Disabilities 
Education Act and the Workforce Investment Act.
    The committee also added a new data collection requirement. 
This provision, collecting data on employment outcomes of 
students with disabilities after the receipt of postsecondary 
education, was added to gain information on the employment 
outcomes of such education for students with disabilities. The 
committee intends that such research, information, and data 
will be made broadly accessible through means such as web-based 
clearinghouses, portals or other means of cataloging and making 
available collected information. The committee recognizes that 
the use and accessibility of technology can be a barrier to 
students with disabilities accessing distance learning courses.
    The Disability Career Pathways activity was included to 
recognize the importance of developing the next generation of 
professionals to work with individuals with disabilities. It 
provides training for postsecondary staff to enable them to 
educate young people about disability related fields of study. 
As a result, it is expected that more individuals will pursue 
careers in these fields. The committee intends that activities 
authorized under this section will focus on making 
postsecondary education more accessible to students with 
disabilities through curriculum development. The Secretary of 
Education is required to review and disseminate a report of the 
demonstration project activities funded under this section to 
provide guidance and recommendations to all institutions of 
higher education on how successful projects can be replicated.
    Students with intellectual disabilities face even greater 
challenges entering postsecondary education programs than 
students with other disabilities. At the same time, the number 
of students with intellectual disabilities who are seeking to 
enter such programs is rising, and there is a need to expand 
the number of college- and university-based programs that are 
equipped to serve this special population of students. The 
committee notes that presently, only around 100 postsecondary 
education institutions offer programs that are geared toward 
students with intellectual disabilities. While a number of 
institutions have expressed an interest in developing such 
programs, these institutions require appropriate financial and 
technical support to do so. To that end, the committee has 
authorized the Secretary to award grants to institutions of 
higher education to create and expand high-quality, 
comprehensive transition and postsecondary programs for 
students with intellectual disabilities. The committee also 
authorizes the establishment of a coordinating center that will 
help institutions of higher education improve existing programs 
for students with intellectual disabilities, facilitate the 
development of new programs, and ensure that all such programs 
are high-quality. It is the committee's hope that these 
measures will result in a marked increase in the number of 
students with intellectual disabilities entering higher 
education, as well as an increase in these students' successful 
transition into the workforce.

                       Title VIII--Miscellaneous

                MATHEMATICS AND SCIENCE SCHOLARS PROGRAM

    This initiative is designed to encourage more high school 
students to take a rigorous secondary curriculum in math and 
science. The committee believes that this effort is necessary 
to encourage more students to become interested in these areas 
to continue to allow the United States to remain competitive 
internationally. The fields of math and science are critical to 
the economic growth and national security of the United States. 
Our economy today is more reliant on workers with greater 
quantitative skills, scientific knowledge and technological 
expertise. Unfortunately, the supply of these qualified workers 
here in the United States is not keeping up with business 
demand, forcing American industries to rely on foreign talent 
to fill the gaps.
    According the National Center for Education Statistics, 
U.S. 4th graders score well in math and science against 
international competition, but they fall near the bottom by 
12th grade in these subject areas. This may be due in part to 
the small number of high school students taking advanced math 
or science courses. A report from the Task Force on Mathematics 
and Science Achievement suggests that most U.S. high school 
students take no advanced science courses, with only one-
quarter enrolling in physics and one-half in chemistry. In 
addition, while most countries introduce algebra and geometry 
in the middle grades, only one in four U.S. students take 
algebra before high school. Further, approximately 90 percent 
of U.S. high school students stop taking math before getting to 
calculus.
    With limited Federal resources, it is imperative that we 
make wise investments and target funding to those areas that 
are critical to our Nation's future. The committee believes the 
new Math and Science Scholars Program is one such wise 
investment. It is a competitive grant program to award merit-
based scholarships to eligible students who complete a rigorous 
high school curriculum in mathematics and science. Students are 
eligible to receive a scholarship of up to $1,000 per year for 
up to 2 years of undergraduate study. Eligible students must be 
in their first or second year to receive a scholarship.
    The committee also believes that State involvement in this 
new program is critical to its success. States will be required 
to match at least 50 percent of the Federal funds to 
participate. The committee believes that States should also be 
given flexibility in tailoring the scholarship program to State 
standards or needs. Participating States, not the Federal 
Government, will determine what constitutes a rigorous high 
school curriculum in math and science. States may also set a 
priority in awarding these grants to eligible students, but 
such a priority is not required. Such priority could be to 
respond to specific needs in areas of the State or to address 
attracting students from groups underrepresented in the math 
and science fields. These provisions are designed to require 
participating States to make the commitment to a strong math 
and science curriculum at the secondary level and ultimately 
attract more students to pursue these fields.

                   POSTSECONDARY EDUCATION ASSESSMENT

    There has been ongoing debate about the spiraling cost of 
college and the appropriate Federal role in addressing it. The 
purpose of this study is to give the public and the Congress an 
independent assessment of the financial factors associated with 
postsecondary tuition costs. The assessment will examine the 
key elements linked with the cost of tuition and identify and 
evaluate effective measures that may be utilized to control 
future postsecondary education costs. To carry out this study, 
the committee directs the Secretary to enter into a contract 
with an independent, bipartisan organization that has specific 
expertise in public administration and financial management, 
such as the National Academy of Public Administration. The 
results of this study will inform future discussion on college 
tuition and help future congresses examine this complicated 
issue with greater clarity.

      JOB SKILL TRAINING IN HIGH-GROWTH OCCUPATIONS OR INDUSTRIES

    The needs of today's workforce have created an increased 
demand on colleges to respond quickly to the education and 
specific skills training needs of businesses. These competitive 
grants will allow institutions of higher education that offer a 
1- or 2-year program leading to a degree or certificate to work 
with local workforce boards to create innovative programs to 
respond to high-growth industries. Colleges could develop 
curricula or customize programs to match workers with the 
skills in demand in particular industries.

    ADDITIONAL CAPACITY FOR R.N. STUDENTS OR GRADUATE-LEVEL NURSING 
                                STUDENTS

    The United States is currently experiencing a health care 
crisis. There is a great shortage of Registered Nurses (R.N.s) 
in U.S. hospitals, yet nursing schools turn away 150,000 well-
qualified applicants each year due to high education costs and 
a shortage of R.N. trainers. The committee believes that the 
solution is to educate and train more nurses. This new program 
will increase capacity for R.N. students through grants to 
colleges and universities to increase enrollment. Nursing 
programs will receive $3,000 per additional student to defray 
the increased costs required to admit and train that student. 
The committee expects that within 4 years, these grants will 
aid the graduation of over 10,000 additional nurses each year 
and increase the pool of teachers for R.N. education programs. 
The grants will address the serious nursing shortage in the 
U.S. by increasing the pipeline of nursing education programs.

                      AMERICAN HISTORY FOR FREEDOM

    The American History for Freedom program will make 
competitive grants available to institutions of higher 
education for the purpose of establishing or strengthening 
programming in Traditional American History, Western 
Civilization, or Free Institutions. The program will help 
ensure that more postsecondary students have the opportunity to 
participate in courses of study and activities focused on these 
critical subjects, and that prospective teachers have access to 
a solid foundation of content knowledge.
    The committee believes that it is important to preserve and 
defend our common heritage of freedom and civilization, and to 
ensure that future generations of Americans understand the 
importance of traditional American history and the principles 
upon which this Nation was founded and on which it continues to 
rely. In a time when our values and ideals are questioned, is 
also important to develop an understanding of the nature of 
free institutions, of the events and principles that brought 
them into existence, and of how they have been defended in the 
past.

                           TEACH FOR AMERICA

    The committee establishes and authorizes grants for Teach 
for America, a national program that recruits recent successful 
college graduates to teach for up to 2 years in underserved 
communities in the United States. These funds will be used to 
recruit, select, train and support these graduates so they can 
be placed through an agreement in schools in districts with 
which there are agreements. In addition, these funds will 
support a study to assess the quality of the Teach for America 
participants.

                    PATSY T. MINK FELLOWSHIP PROGRAM

    The committee bill includes authorization for a Federal 
fellowship program linked to service in the higher education 
professoriate. The Patsy T. Mink Fellowship program honors 
Congresswoman Patsy Mink of Hawaii, who served in the House of 
Representatives for more than 27 years. She was a faithful and 
dedicated member of the House Education and Labor Committee and 
the Committee on Education and the Workforce during her service 
in the House. In addition to her role as a driving force and 
the author of Title IX of the Education Amendments of 1972, 
which 
created equity in scholastics and in athletics for women and 
girls, including at colleges and universities, Mrs. Mink worked 
hard to expand educational opportunities at all levels for low-
income, minority, educationally-disadvantaged, first-
generation, and disabled students.
    The committee believes that it is fitting that a program 
designed to enhance the presence of minorities and women in the 
higher education professoriate should bear Mrs. Mink's name. A 
recent Woodrow Wilson National Fellowship Foundation report, 
Diversity and the PhD: A Review of Efforts to Broaden Race and 
Ethnicity in U.S. Doctoral Education, documents the under-
representation of minorities receiving doctorates. The Mink 
Fellowship program will not only contribute to student 
persistence in obtaining the doctorate, but also will encourage 
students to continue in the professoriate beyond the service 
requirement mandated by law.

           IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS

    The committee recommends that the Department collect, in 
full compliance with FERPA, college enrollment by secondary 
institution and graduation year from postsecondary institutions 
via the Integrated Postsecondary Education System (IPEDS), and 
diploma recipients by secondary institution and graduation year 
from States via the Common Core of Data (CCD), both of which 
are existing data-collection systems within the National Center 
for Education Statistics.
    The committee intends for these data to be used purely as a 
tool for secondary institution leaders to measure the success 
of their initiatives and innovations aimed at increasing 
college enrollment. Data provided under this provision are not 
intended to be used by Federal, State, or local governments to 
hold schools, their administrators, teachers or staff, 
accountable or suffer any repercussions as a result of the 
data. The committee specifically opted to make trend data 
rather than absolute numbers available to allow for examination 
of progress over time rather than comparisons between schools.
    The committee recommends that the Department contract with 
College Summit, Inc. to calculate and make publicly available 
year-to-year college enrollment rate trends by secondary 
institution 
because College Summit is the preeminent national non-profit 
organization concentrating on increasing college enrollment 
rates in low-income communities, working both multi-state and 
schoolwide.

                    PREDOMINANTLY BLACK INSTITUTIONS

    Many higher education institutions have been ineligible for 
Federal grants to enhance college access for low-income and 
minority students because they are not Historically Black 
Colleges and Universities (HBCU) established prior to 1965. The 
committee finds that at least 75 more institutions, serving 
265,000 students, would be eligible for these monies if this 
issue were addressed. As such, the bill extends the college 
access grants to Predominantly Black Institutions (PBIs). The 
allocation formula will be similar to the Title III, Part B 
HBCU institutions. Awards will be based on the percentage of 
Pell Grant recipients, students graduating within a specified 
period of time, and students progressing to degree programs at 
the next academic level. The PBI grant program will increase 
college access for the growing number of urban and rural 
minority students whose family and financial situations limit 
their college attendance.

  EARLY CHILDHOOD EDUCATION PROFESSIONAL DEVELOPMENT AND CAREER TASK 
                                 FORCE

    To ensure that our students are prepared to meet the 
challenges of our world economy, we must improve the quality of 
education at all levels. This begins with early education. The 
committee recognizes that investing in early education will 
have compounding benefits for students in subsequent years of 
schooling. To do this we must address the serious teacher 
training and retention problem in early education.
    This bill authorizes the Secretary to award State grants to 
improve the quality of the early education workforce by 
creating a statewide early childhood education professional 
development and career task force. State task forces will 
conduct a review of the opportunities for and barriers to 
higher education degree programs and develop a comprehensive 
statewide professional development and career system for 
individuals working in childhood education programs. The 
committee believes that these task forces will be integral to 
improving early childhood educator training, compensation, and 
retention.

 IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS EDUCATION 
       WITH A FOCUS ON ALASKA NATIVE AND NATIVE HAWAIIAN STUDENTS

    The committee notes the lack of Alaska Native and Native 
Hawaiian professionals in the fields of science, technology, 
engineering, and mathematics and the under representation of 
Alaska Native and Native Hawaiian students in programs designed 
to increase competitiveness in Science, Technology, 
Engineering, and Mathematics (STEM) fields. The committee has, 
therefore, included an authorization for an initiative to 
provide academic and other supports to assist students, from 
early grades through college graduation, to be prepared to 
enter STEM professions. The committee intends that this new 
initiative will further develop or expand existing programs 
which are specifically designed to develop Alaska Native and 
Native Hawaiian professionals in the STEM fields.

      PILOT PROGRAM TO INCREASE PERSISTENCE IN COMMUNITY COLLEGES

    Unfortunately, many high school graduates with young 
families live below 200 percent of the poverty line and 
struggle to afford, attend, and graduate from college. Nearly 
half of the students who begin their postsecondary education at 
a community college do not obtain a degree and are not enrolled 
in any institution of higher education 6 years later. Many 
community college students have poor academic preparation, have 
difficulty paying for college and feel unsupported on campus. 
At least one study has shown that changes in institutional 
practices can lead to better student outcomes. This pilot 
program, modeled after recent studies at some community 
colleges, will provide scholarship funds ($1,000 a semester, up 
to two semesters) and dedicated counseling services to eligible 
students at community colleges. Participating institutions will 
conduct random assignment evaluations and the Secretary will 
make best practices lessons learned information available to 
the public. The committee expects that the incentive-based 
scholarship program and supplemental counseling services will 
boost persistence rates for this disadvantaged population.

             STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT

    Recent events such as the tragedy at Virginia Tech and 
Hurricane Katrina highlight the important role that colleges 
and universities have in protecting students from safety and 
security risks. The committee believes that it is the 
responsibility of the Federal Government to provide colleges 
and universities with the help and support they need to try to 
prevent such tragedies where possible, and to protect their 
students in the event a tragedy does occur. The new program 
helps colleges improve campus safety by conducting security 
assessments and training security personnel, developing 
emergency communications and response systems, coordinating 
with local emergency response efforts, and ensuring students 
have access to adequate mental health services, including 
crisis response services.

                   Title IX--Amendments to Other Laws

                   EDUCATION OF THE DEAF ACT OF 1986

Coordination with the No Child Left Behind Act and accountability for 
        student outcomes

    The committee strengthens the accountability of Gallaudet's 
elementary and secondary schools by aligning such requirements 
with the accountability requirements in the No Child Left 
Behind Act of 2001 (P.L. 107-110). Specifically, this provision 
requires Gallaudet to select the academic content, achievement, 
and assessment standards of a State approved by the Secretary 
of Education as its own, and implement such standards as its 
own by the 2008-2009 school year and determine whether such 
programs are making adequate yearly progress. The committee 
believes that allowing Gallaudet to choose the approved 
standards from a State will relieve the University of the 
expensive and time-consuming task of having to develop its own 
standards and assessments for one small school. This would 
provide a basis of comparison for the achievement of students 
in the Gallaudet program that would otherwise be lacking. 
Additionally, this requirement would make the State's 
definition of ``adequate yearly progress'' applicable to the 
University's K-12 education program. Again, the committee 
believes that this would ensure that the educational 
accountability provisions applicable to that program reflect 
the No Child Left Behind Act's principle that children with 
disabilities should be held to the same academic expectations 
as all other children.

Naming the Rochester Institute of Technology in the act

    Because of the longstanding relationship between the 
Rochester Institute of Technology (RIT) and the National 
Technical Institute for the Deaf (NTID), the committee names 
RIT as the entity the Secretary enters into or continues an 
agreement with for the establishment and operation of NTID. 
Furthermore, the committee permits the Secretary to enter into 
an agreement with another institution of higher education if 
the Secretary or RIT terminates the agreement. However, it is 
the intent of the committee that the Secretary will not 
terminate the agreement with RIT without just cause.

Cultural experience grants

    The committee has authorized funding for grants to 
nonprofit organizations in order to enrich the cultural 
experiences for deaf and hard of hearing children and adults 
through exposure and access to professional theatre. The 
committee believes that nationally recognized programs such as 
Deaf West Theatre and the National Theater of the Deaf have a 
long history of providing such programming to these audiences, 
and would be appropriate recipients for these grant funds.

Audit reporting

    The committee amends current law to ensure that the 
Department of Education receives an independent financial and 
compliance audit of the National Technical Institute for the 
Deaf (NTID). In order for the audit to be meaningful and useful 
to the Department, it is necessary to have the audit follow the 
cycle of the Federal fiscal year. The bill ensures the audit 
period and the fiscal year are the same.

Outcome reporting

    The committee believes that modifying Gallaudet's reporting 
requirements on the disposition of secondary school and 
university graduates from ``upon graduation/completion'' to 
``approximately one year after graduation'' will provide a 
clearer picture of outcomes for students. Additionally, 
changing the timeline of the reporting requirements will make 
the reporting language for the audit the same for Gallaudet and 
NTID.

Surcharges for international students

    The committee acknowledges that Gallaudet University and 
NTID are the only liberal arts universities in the world 
designed exclusively for deaf and hard of hearing students, and 
that the 100 percent surcharge for such students is a barrier 
to attendance for international students. Although Gallaudet 
and NTID have the capacity to serve additional international 
students, the committee also recognizes its commitment to 
students from the United States who are deaf, and assuring that 
United States tax dollars are spent on providing educational 
opportunities for United States citizens first. Therefore, the 
committee authorizes Gallaudet and NTID to create a fee system 
in which students from non-developing countries must pay the 
100 percent surcharge. However, if such a student can 
demonstrate need, he or she may have the surcharge reduced by 
up to 50 percent. Furthermore, a student from a developing 
country must pay a 50 percent surcharge. If such a student can 
demonstrate need, he or she may have the surcharge reduced by 
50 percent, but must pay a minimum surcharge of 25 percent. 
Because of the initial costs associated with developing a 
distance learning course, international students living outside 
of the United States would not have to pay a surcharge nor 
count toward the enrollment cap for international students.

                    UNITED STATES INSTITUTE OF PEACE

Board of directors

    The committee clarifies that the term of a board member 
begins when the member is confirmed by the Senate and sworn in, 
not when the board member's nomination is made public. 
Confusion over the interpretation of this provision had led to 
vacancies on the Institute's board, and also unnecessarily 
shortened the term of service of some board members. The 
committee expects this clarification to resolve any outstanding 
concerns over board appointments, and that it be applied 
retroactively to board members sworn-in in 2007.

Application of GEPA

    The committee clarifies that certain provisions under the 
General Education Provisions Act (GEPA) apply to the United 
States Institute of Peace, allowing the Institute to continue 
to receive appropriations for 1 fiscal year after the 
expiration of the authorization, pursuant to the authority 
provided under the GEPA for Federal education programs.

                            INDIAN EDUCATION

Tribally Controlled Colleges and Universities Act

    In response to the concerns of many tribes, the committee 
makes several changes to improve the consistency among the many 
different Federal programs providing assistance to tribally 
controlled colleges and universities. The committee recognizes 
the challenges created for these institutions by having several 
different Federal programs provide assistance, each with a 
slightly different set of definitions. The Committee expects 
these amendments to improve the coordination between Federal 
programs and help tribally controlled institutions spend more 
time serving students, and less time navigating complex Federal 
requirements.

Dine College

    The committee recognizes the longstanding relationship 
between the Federal Government and the Navajo Nation. 
Legislation enacted in 1971 established a dedicated 
discretionary grant stream for the Navajo Community College, 
which has been renamed Dine College. In reauthorizing this 
program, the committee finds that the Treaty of 1868 between 
the United States of America and the Navajo Tribe of Indians 
provides for the education of the citizens of the Navajo 
Nation.
    In 1968, the Navajo Nation created and chartered the Navajo 
Community College by Resolution CN-95-68 as a wholly owned 
educational entity of the Navajo Nation. In 1971, Congress 
enacted the Navajo Community College Act (Public Law 92-189; 25 
U.S.C. 640a et seq.). In 1997, the Navajo Nation officially 
changed the name of the Navajo Community College to Dine 
College by Resolution CAP-35-97.
    The purpose of Dine College is to provide educational 
opportunities to the Navajo people and others in areas 
important to the economic and social development of the Navajo 
Nation. The mission of Dine College is to apply the principles 
of Sa'ah Naaghai Bik'eh Hozhoon (Dine Philosophy) to advance 
quality student learning through training of the mind and 
heart--(1) through Nitsahakees (Thinking), Nahata (Planning), 
Iina (Living), and Sihasin (Assurance); (2) in study of the 
Dine language, history, philosophy, and culture; (3) in 
preparation for further studies and employment in a 
multicultural and technological world; and (4) in fostering 
social responsibility, community service, and scholarly 
research that contribute to the social, economic, and cultural 
well-being of the Navajo Nation.
    The United States has a trust and treaty responsibility to 
the Navajo Nation to provide for the educational opportunities 
for Navajo people. Significant portions of the College's 
infrastructure are dilapidated and pose a serious health and 
safety risk to students, employees and the public.
    For these reasons, the committee amends the Navajo 
Community College Act, and renames it after the college, now 
known as Dine College. The committee also updates references to 
the Navajo Indian Tribe and instead replaces it with the 
appropriate term ``Navajo Nation.''
    The committee also updates a study of the facilities needs 
of the college that was last commissioned in 1979, and 
authorizes a separate set of uses of funds related to the 
construction of buildings, water and sewer facilities, roads, 
information technology and telecommunications infrastructure, 
classrooms and external structures.
    The committee also clarifies that funds made available 
through this act may be used for improving and expanding the 
college, including by providing--for the Navajo people and 
others in the community--higher education programs; vocational 
and technical education; activities relating to the 
preservation and protection of the Navajo language, philosophy, 
and culture; employment and training opportunities; economic 
development and community outreach; and a safe learning, 
working, and living environment.

                            V. Cost Estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                 Washington, DC, November 14, 2007.
Hon. Edward M. Kennedy,
Chairman, Committee on Health, Education, Labor, and Pensions,
U.S. Senate, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget office has 
prepared the enclosed cost estimate for S. 1642, the Higher 
Education Amendments of 2007.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact for this 
estimate is Jessica Sherry.
            Sincerely,
                                           Peter R. Orszag,
                                                          Director.
    Enclosure

S. 1642--Higher Education Amendments of 2007

    Summary: S. 1642 would reauthorize and amend most 
postsecondary education programs under the Higher Education Act 
of 1965 through 2013. Under the General Education Provisions 
Act, those authorizations would automatically be extended 
through 2014. The bill also would create several new programs 
and amend several other acts, including the Education of the 
Deaf Act of 1986 and the United States Institute of Peace Act. 
The bill would authorize the appropriation of such sums as may 
be necessary to carry out those programs.
    CBO estimates that enacting S. 1642 would increase direct 
spending by $75 million in 2008 and would have a negligible 
effect on such spending over the 2008-12 and 2008-17 periods. 
Assuming the appropriation of the necessary funds, CBO 
estimates that implementing S. 1642 would increase 
discretionary outlays by $1.9 billion in 2008 and $53.2 billion 
over the 2008-12 period.
    S. 1642 contains an intergovernmental mandate as defined in 
the Unfunded Mandates Reform Act (UMRA) because it would 
preempt certain State contract laws as they apply to Perkins 
educational loans. CBO estimates that the costs, if any, to 
State governments to comply with the preemption would be 
minimal and would not exceed the annual threshold established 
in UMRA ($66 million in 2007, adjusted annually for inflation). 
The bill contains no private-sector mandates, as defined in 
UMRA.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 1642 is shown in Table 1. The costs of 
this legislation fall within budget function 500 (education, 
training, employment, and social services).

                                 TABLE 1.--ESTIMATED BUDGETARY IMPACT OF S. 1642
----------------------------------------------------------------------------------------------------------------
                                                               By fiscal year, in millions of dollars--
                                                    ------------------------------------------------------------
                                                       2008      2009      2010      2011      2012    2008-2012
----------------------------------------------------------------------------------------------------------------
                                         CHANGES IN DIRECT SPENDING \1\

Estimated Budget Authority.........................         *         *         *         *         *          *
Estimated Outlays..................................        75         *       -50       -25         *          *

                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Title I:
    Estimated Authorization Level..................         4         3         3         3         3         16
    Estimated Outlays..............................         1         2         2         3         3         11
Title II:
    Estimated Authorization Level..................        87        90        96       103       113        490
    Estimated Outlays..............................         4        64        82        94       101        346
Title III:
    Estimated Authorization Level..................       463       480       505       539       585      2,573
    Estimated Outlays..............................        23       339       435       498       530      1,826
Title IV:
    Estimated Authorization Level..................     8,462    10,062    11,798    13,687    14,386     58,396
    Estimated Outlays..............................     1,509     8,351    10,330    12,192    13,812     46,195
Title V:
    Estimated Authorization Level..................       112       116       123       133       146        631
    Estimated Outlays..............................         6        82       106       122       130        445
Title VI:
    Estimated Authorization Level..................       126       131       138       149       164        708
    Estimated Outlays..............................         6        92       118       136       146        500
Title VII:
    Estimated Authorization Level..................       154       160       169       183       201        866
    Estimated Outlays..............................         8       113       145       167       179        611
Title VIII:
    Estimated Authorization Level..................       347       355       376       406       445      1,930
    Estimated Outlays..............................        17       254       323       371       398      1,363
Title IX:
    Estimated Authorization Level..................       362       375       404       428       460      2,029
    Estimated Outlays..............................       282       350       385       414       442      1,873
    Total:
        Estimated Authorization Level..............    10,117    11,773    13,614    15,631    16,503     67,638
        Estimated Outlays..........................     1,857     9,646    11,925    13,998    15,742    53,169
----------------------------------------------------------------------------------------------------------------
\1\ In addition, S. 1642 would affect direct spending by less than $500,000 over the 2008-2017 period.
Note:-- * =between $500,000 and $500,000; components may not sum to totals because of rounding.

    Basis of estimate: For this estimate, CBO assumes that S. 
1642 will be enacted by the end of calendar year 2007 and that 
sufficient funds will be appropriated for each program. For 
current programs that would be reauthorized in their current 
form, CBO assumes continued funding at their 2007 levels and 
adjusts for inflation in future years.

Direct spending

    The bill would make several changes to eligibility rules 
for the Academic Competitiveness and SMART Grant programs, and 
to the calculations of the needs analysis and rules for student 
and institutional eligibility for the federal student loan 
programs. For both the Academic Competitiveness Grant and SMART 
Grant Programs, the bill would adjust how a student's academic 
year is determined and expand eligibility to part-time 
students. Currently, only full-time students are eligible for 
grants. Appropriations for those programs are capped at 
specified amounts and the Secretary has the authority to reduce 
award levels to stay within the appropriation. CBO estimates 
these changes would increase outlays by $75 million in fiscal 
year 2008 and would reduce outlays by the same amount in future 
years. There would be no net impact on Federal spending over 
the 2008-17 period. All other changes to direct spending 
programs would have a negligible effect on outlays.
    The changes to eligibility also would affect discretionary 
spending in the Pell Grant program but those changes would 
affect discretionary spending. (If appropriations for the 
Department of Education for fiscal year 2008 are enacted prior 
to the enactment of S. 1642, any changes to the Pell Grant 
program for 2008 would result in direct spending in 2008.)

Spending subject to appropriation

    The bill would reauthorize and amend many of the 
discretionary programs previously authorized by the Higher 
Education Act of 1965 and would create a number of new 
discretionary programs. For most of those programs, the bill 
would authorize the appropriation of such sums as may be 
necessary for each year through 2013. However, authorizations 
would automatically be extended through 2014 based on rules set 
forth in the General Education Provisions Act. S. 1642 also 
would introduce several new programs and amend several other 
acts, including the Education of the Deaf Act of 1986 and the 
United States Institute of Peace Act. In total, CBO estimates 
that implementing this legislation would increase outlays by 
$1.9 billion in 2008 and $53.2 billion over the 2008-12 period, 
assuming appropriation of the necessary amounts.
    Title I: General Provisions. Title I would create several 
programs designed to provide grants to institutions for the 
development of information systems. CBO estimates that 
providing those grants would increase outlays by $1 million in 
2008 and $11 million over the 2008-12 period, assuming the 
availability of appropriated funds.
    Title II: Teacher Quality Enhancement. Title II would 
reauthorize and amend a program that provides grants to 
eligible partnerships of State and local educational agencies, 
schools, businesses, and nonprofit education organizations for 
teacher recruitment and professional development. CBO estimates 
that reauthorizing title II would increase outlays by $4 
million in 2008 and $346 million over the 2008-12 period, 
assuming appropriation of the necessary amounts.
    Title III: Institutional Aid. The bill would reauthorize 
and amend institutional aid programs and would create several 
new programs that would offer further institutional aid. Title 
III programs are designed to give financial assistance to 
institutions of higher education that serve a high percentage 
of minority students with low income and to help those 
institutions develop and improve the quality of education they 
offer students. Implementing title III would increase outlays 
by $23 million in 2008 and $1.8 billion over the 2008-12 
period, assuming appropriation of the necessary amounts.
    Title IV: Student Assistance. S. 1642 would reauthorize and 
revise the current student assistance programs, including Pell 
Grants, and also would create new student assistance programs 
to provide financial assistance to specific populations of 
students pursuing higher education. The estimated costs for 
Pell Grants are based on current law including recent changes 
under Public Law 110-84, which was enacted on September 27, 
2007. CBO estimates that reauthorizing title IV would increase 
outlays by $1.5 billion in 2008 and $46.2 billion over the 
2008-12 period, assuming appropriation of the necessary 
amounts.
    Title V: Developing Institutions. Title V would reauthorize 
the Developing Institutions program, which provides grants to 
institutions that serve Hispanic students to help those 
institutions expand and improve educational opportunities for 
Hispanic Americans. CBO estimates that reauthorizing title V 
would increase outlays by $6 million in 2008 and $445 million 
over the 2008-12 period, assuming appropriation of the 
necessary amounts.
    Title VI: International Education Programs. Title VI would 
reauthorize and revise the international education programs. 
Those programs provide for the development of programs, 
centers, fellowships, and research projects that allow more 
citizens to gain knowledge about other world regions and 
expertise in foreign languages and international affairs. CBO 
estimates that reauthorizing those programs would increase 
outlays by $6 million in 2008 and $500 million over the 2008-12 
period, assuming appropriation of the necessary amounts.
    Title VII: Graduate and Postsecondary Improvement Programs. 
Title VII would reauthorize and amend programs that would 
establish national graduate fellowships that are designed to 
attract students to complete advanced degrees in areas of 
national need. CBO estimates that reauthorizing this title 
would increase outlays by $8 million in 2008 and $611 million 
over the 2008-12 period, assuming appropriation of the 
necessary amounts.
    Title VIII: Miscellaneous. S. 1642 would add title VIII to 
the Higher Education Act of 1965. New programs under that title 
would provide financial assistance to institutions of higher 
education to develop their capacity to serve specific 
populations of students, organizations working to expand their 
educational programs, and students pursuing certain areas of 
study. CBO estimates that implementing. title VIII would 
increase outlays by $17 million in 2008 and $1.4 billion over 
the 2008-12 period, assuming appropriation of the necessary 
amounts.
    Title IX: Amendments to Other Laws. Title IX would make 
amendments to laws other than the Higher Education Act of 1965. 
The amendments would affect the Education of the Deaf Act of 
1986, the United States Institute of Peace Act, the Higher 
Education Act of 1998, and the Indian Postsecondary Education 
programs run by the Bureau of Indian Affairs. CBO estimates 
that implement Title IX would increase outlays by $282 million 
in 2008 and $1.9 billion over the 2008-12 period, assuming 
appropriation of the necessary amounts.
    Intergovernmental and private-sector impact: S. 1642 
contains an intergovernmental mandate as defined in UMRA 
because it would preempt certain State contract laws as they 
apply to Perkins educational loans. Some States allow loan 
repayment agreements and other contracts to be broken if the 
borrower was a minor when the contract was signed. This defense 
has been used by some borrowers of education loans. If this 
bill is enacted, those State laws would no longer apply to 
contracts for Perkins loans. CBO estimates that the costs, if 
any, to State governments to comply with that preemption would 
be minimal and would not exceed the annual threshold 
established in UMRA ($66 million in 2007, adjusted annually for 
inflation). The provision would benefit public and private 
colleges and universities that are trying to collect repayments 
on loans that would otherwise be disputed under State law.
    In general, State, local, and tribal governments would 
benefit from the continuation and expansion of existing 
programs and the creation of new programs that provide Federal 
assistance for higher education programs. The bill contains no 
private-sector mandates, as defined in UMRA.
    Comparison with S. 1642 as passed by the Senate: S. 1642 as 
passed by the Senate on July 24, 2007, includes several 
amendments made to the version of bill as reported on July 10, 
2007. The amendments would make changes to programs under title 
I and title IV and add new programs under title VIII and title 
IX. Assuming appropriation of the estimated amounts, CBO 
estimates that S. 1642 as passed by the Senate would increased 
discretionary outlays by an additional $16 million in 2008 and 
by $1.3 billion over the 2008-12 period, as shown in Table 2. 
The amendments in the version passed by the Senate would have a 
negligible effect on direct spending and would not affect 
revenues.

                       TABLE 2.--CHANGES IN SPENDING UNDER S. 1642 AS PASSED BY THE SENATE
----------------------------------------------------------------------------------------------------------------
                                                               By fiscal year, in millions of dollars--
                                                    ------------------------------------------------------------
                                                       2008      2009      2010      2011      2012    2008-2012
----------------------------------------------------------------------------------------------------------------
                                CHANCES IN SPENDING SUBJECT TO APPROPRIATION \1\

Title I:
    Authorization Level............................         *         *         0         0         0          1
    Estimated Outlays..............................         *         *         0         0         0          1
Title IV:
    Authorization Level............................        57        59        63        68        74        321
    Estimated Outlays..............................         3        42        54        62        66        227
Title VIII:
    Authorization Level............................       234       238       247       262       282      1,262
    Estimated Outlays..............................        12       171       216       245       258        901
Title IX:
    Authorization Level............................        35        36        39        42        46        197
    Estimated Outlays..............................         2        26        33        38        41        139
    Total:
        Authorization Level........................       326       333       348       371       402      1,781
        Estimated Outlays..........................        16       238       303       345       365     1,268
----------------------------------------------------------------------------------------------------------------
 \1\ Changes are relative to S. 1642 as ordered reported on July 10, 2007.
Note.-- * = between -$500,000 and $500,000; components may not sum to totals because of rounding.

    Estimate prepared by: Federal Costs: Discretionary Costs--
Jessica Sherry, Mandatory Costs--Justin Humphrey, Impact on 
State, Local, and Tribal Governments: Melissa Merrell; Impact 
on the Private Sector: Nabeel Alsalam.
    Estimate approved by: Keith Fontenot, Deputy Assistant 
Director for Health and Human Resources, Budget Analysis 
Division.

          VI. Application of the Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1, the Congressional 
Accountability Act (CAA), requires a description of the 
application of this bill to the legislative branch. S. 1614 
does not amend any act that applies to the legislative branch.

                    VII. Regulatory Impact Statement

    The committee has determined that the bill may result in 
some additional paperwork, time, and costs to the Department of 
Education, which would be entrusted with implementation and 
enforcement of the act. It is difficult to estimate the volume 
of additional paperwork necessity by the bill, but the 
committee does not believe it will be significant. Pursuant to 
the requirements of paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the committee has determined that 
the bill will not have a significant regulatory impact.

                   VIII. Section-by-Section Analysis

                      Title I--General Provisions

Section 101. Additional definitions

    Section 101 defines or redefines a series of terms. The 
term ``authorizing Committees'' means the Committee on Health, 
Education, Labor, and Pensions of the Senate and the Education 
and Labor Committee of the House of Representatives. References 
to the ``Chairman'' or ``Chairmen'' now read ``Chairpersons of 
the authorizing committees.''
    The term ``critical foreign language'' is defined as each 
of the languages contained in the list of critical languages 
compiled by the Secretary in the August 2, 1985 Federal 
Register, except that with respect to a specific title, the 
Secretary may set priorities according to the purpose of such 
title and the national security, economic competitive, and 
educational needs of the United States.
    The term ``distance education'' is defined as a course or 
program that uses one or more kinds of technology to deliver 
instruction to students that are separated from the instructor, 
or to support interaction between the students and the 
instructor. Appropriate kinds of technology include the 
internet, one-way and two-way transmissions through open 
broadcasts, closed circuit, cable, broadband, fiber optics, or 
wireless communication devices, as well as video cassettes, 
DVDs, and CD-ROMs, as long as the video cassettes, DVDs, and 
CD-ROMS are used in conjunction with one of the previously-
mentioned technologies.

Section 102. General definition of institution of higher education

    Section 102 expands the definition of an institution of 
higher education to include institutions that award degrees 
that are acceptable for admission to graduate or professional 
degree programs, subject to the review and approval of the 
Secretary of Education. It also expands the definition of an 
institution of higher education to include a public or 
nonprofit private educational institution that admits as 
regular students those who are dually or concurrently enrolled 
in the institution and a secondary school.

Section 103. Definition of institution of higher education for purposes 
        of title IV programs

    Section 103 expands the definitions of ``proprietary 
institution'' and ``postsecondary vocational institutions'' to 
allow them to enroll persons who are dually or concurrently 
enrolled in the institution and a secondary school. This 
section also states that a graduate medical school located 
outside the United States that is considered an institution of 
higher education for purposes of title IV because it has or had 
a clinical training program that was approved by a State as of 
January 1, 1992, must have continuously operated such a program 
in at least one state that is approved by such state.

Section 104. Protection of student speech and association rights

    Section 104 includes a Sense of Congress with regards to 
the following: diversity of institutions is a key strength of 
higher education; individual colleges and universities have 
different missions and each should design its academic program 
in accordance with its educational goals; colleges should 
facilitate free and open exchange of ideas; students should not 
be intimidated, harassed, discouraged from speaking out, or 
discriminated against; and students should be treated equally 
and fairly.
    This section clarifies that this new language should not be 
construed to modify or infringe upon any constitutionally 
protected religious liberty, freedom, expression, or 
association; nor should it be construed to discourage the 
imposition of an official sanction on a student that has 
willfully disrupted a lecture, class, speech, presentation, or 
performance scheduled or made under the auspices of the 
institution, provided that the imposition of the sanction is 
objective and fair.

Section 105. Accreditation and institutional quality and integrity 
        advisory committee

    Section 105 replaces the National Advisory Committee on 
Institutional Quality and Integrity with an Accreditation and 
Institutional Quality and Integrity Advisory Committee in the 
Department of Education to assess the process of accreditation 
and the institutional eligibility and certification of 
institutions of higher education under title IV. The committee 
shall advise the Secretary regarding the establishment and 
enforcement of the standards of accrediting agencies, 
recognition of a specific accrediting agency, the eligibility 
and certification process for institutions of higher education 
under title IV, recommendations to improve the process, and 
various other issues. The 15 members of the committee shall 
represent all sectors and types of institutions, and shall be 
appointed on the basis of the individuals' experience, 
technical qualifications, professional standing, integrity and 
impartiality. Five of the members shall be selected by the 
Secretary of Education; five shall be selected by the Speaker 
of the House of Representatives, upon recommendation by the 
majority and minority leaders of the House; and five shall be 
selected by the president pro tempore of the Senate, upon the 
recommendation of the majority and minority leaders of the 
Senate. The committee shall meet at least twice per year.

Section 106. Drug and alcohol abuse prevention

    Section 106 establishes that in addition to current 
requirements that institutions of higher education must meet in 
order to be eligible for Federal funds or participation in 
title IV programs such institutions must also, as part of their 
biennial review of their program, determine the number of drug 
and alcohol-related incidents and fatalities that occur on the 
institution's property and are reported to the institution, and 
determine the number and type of sanctions that are imposed on 
students and employees as a result of drug- and alcohol-related 
incidents and fatalities that occur on the institution's 
property or as a part of any of the institution's activities.

Section 107. Prior rights and obligations

    Section 107 extends the authorization of appropriations 
under Section 121 of the Higher Education Act of 1965 for 
fiscal year 2008 and succeeding fiscal years.

Section 108. Transparency in college tuition for consumers

    Section 108 expands the information that the Secretary will 
make available to the public on an annual basis regarding 
college costs and academic programs. This section directs that 
the Bureau of Labor Statistics, in consultation with the 
Commissioner of Education Statistics and representatives of 
institutions of higher education, develop higher education 
price indices that accurately reflect annual changes in 
tuition/fees for undergraduate students attending various types 
of institutions. Indices shall be created for each type of 
institution described below, as well as for institutions as a 
whole.
    The categories to be used for the indices are: all 
institutions of higher education; 4-year public degree-granting 
institutions; 2-year public degree-granting institutions; 4-
year private degree-granting institutions; 2-year private 
degree-granting institutions; and less than 2-year 
institutions.
    The Secretary shall annually report in both national lists 
and in separate lists for each State, a ranking of institutions 
of higher education according to the institutions' change in 
tuition and fees over the preceding 2 years, broken down by 
type of institution. The following categories of institutions 
are to be used for the report: 4-year public; 4-year private, 
non-profit; 4-year private, for-profit; 2-year public; 2-year 
private, nonprofit; 2-year private, for-profit; less than 2-
year public; less than 2-year private, nonprofit; and less than 
2-year private, for-profit. The Secretary shall compile 
separate lists for each category of institution: one based on 
the percentage change in tuition and fees over the preceding 2 
years, and one based on the dollar change in tuition and fees 
over the preceding 2 years.
    The Secretary shall also create, on an annual basis, Higher 
Education Price Increase Watch Lists, which shall include a 
ranking of each institution of higher education whose tuition 
and fees outpace the applicable price index for the type of 
institution as developed under this section. The Secretary 
shall compile such lists on a national basis and for each 
State. The lists will be compiled into a public document that 
will be widely disseminated in paper form and through the 
Department's website.
    The Secretary shall also produce higher education 
appropriations charts for each State, which will show a 
comparison of the percentage change in State appropriations per 
enrolled student in a public institution of higher education, 
as compared to the percentage change in tuition and fees for 
each public institution of higher education in the State for 
each of the previous 5 years. The Secretary shall also report 
on the total amount of need- and merit-based aid provided by 
the State to students enrolled in public institutions of higher 
education in the state.
    The Secretary shall work with institutions to develop 
several model net price calculators to help students, families 
and consumers determine the net price of an institution of 
higher education, which institutions shall use, or create their 
own. Universities that receive Federal funding shall include in 
their application materials the most recent information about 
net price of the institution calculated for each quartile of 
students, based on the income of the student's parents or, in 
the case of independent students, on the income of the 
students.
    The Secretary shall contract with an independent 
organization with demonstrated experience in creating consumer-
friendly websites to improve the Department of Education's 
College Opportunities On-Line website.
    The Secretary shall develop a model document, to be known 
as the ``University and College Accountability Network'' 
(UCAN), to annually report basic information about each 
institution that chooses to participate, to be posted on the 
college information website and made available to institutions 
of higher education, students, families, and other consumers. 
The document shall include the following information about the 
institution in a consumer-friendly manner: specified 
demographic and enrollment information on students enrolled at 
the institution; specified information on the degrees awarded 
by the institution; specified information about the faculty of 
the institution; specified information about the cost of 
attending the institution, the financial aid received by and 
available to the students at the institution; and other 
specified information that would be helpful to prospective 
students and students at the institution.

Section 109. Databases of student information prohibited

    Section 109 clarifies that nothing in the Act authorizes 
the development, implementation, or maintenance of a Federal 
database of personally identifiable information on individuals 
receiving assistance under this act or attending institutions 
receiving assistance under this act, such as a student unit 
record system, an education bar code system, or any other 
system that tracks individual students over time.
    This does not prohibit States or consortiums of States from 
developing, implementing or maintaining State-developed 
databases that track individuals over time, including student 
unit record data systems.

Section 110. Clear and easy-to-find information on student financial 
        aid

    This section ensures that the Department of Education 
homepage contains a prominently displayed link to current 
student financial aid information. It requires the Secretary to 
improve the usefulness and accessibility of college financial 
planning and student financial aid information available on the 
website, and to conduct a major media campaign to publicize the 
availability of this information.

Section 111. Performance-based organization for the delivery of federal 
        student financial assistance

    Section 111 establishes that the functions of the 
Performance-Based Organization (PBO) in the Department of 
Education are now referred to as ``administrative and 
oversight'' functions, and not ``operational.'' The Secretary 
will assist the Chief Operating Officer in identifying goals 
for administration of the systems used to administer the 
student aid programs and for updating such systems to current 
technology.
    The PBO will be responsible for the administration of 
Federal student financial assistance programs, including the 
collection, processing and transmission of data to students, 
institutions, lenders, State agencies, and other authorized 
parties, and the design and technical specifications for 
software development and procurement for systems supporting the 
students financial assistance programs of title IV. The PBO 
will also be responsible for ensuring the integrity of the 
student assistance programs authorized under title IV.
    The PBO will be responsible for developing an annual budget 
for its activities and functions. The Chief Operating Officer 
will now consult with students, in addition to other 
stakeholders including but not limited to borrowers, 
institutions, lenders, guaranty agencies, and secondary 
markets. The Chief Operating Officer is no longer limited to 
appointing 25 technical and professional employees to 
administer the functions of the PBO.
    Finally, the Chief Operating Officer will provide an annual 
briefing to the members of the authorizing committees on the 
steps the PBO has taken and is taking to ensure that lenders 
are providing required information on capitalization of 
interest with respect to student loans that are in forbearance 
and unsubsidized Stafford loans that are in deferment and on 
the benefits a Perkins borrower loses when a Perkins loan is 
included in a consolidation loan.

Section 112. Procurement flexibility

    Section 112 directs that the PBO, through the Chief 
Operating Officer, utilize procurement systems that streamline 
operations, improve internal controls, and enhance management. 
The PBO shall also assess the efficiency of such systems and 
the systems' ability to meet PBO requirements.
    This section also renames contracts awarded on a ``sole-
source basis'' as contracts awarded on a ``single-source 
basis.'' Such contracts are defined as those awarded to a 
source after soliciting an offer or offers from, and 
negotiating with, only that single source (although such source 
is not the only source in the marketplace capable of meeting 
the need), because such source is the most advantageous source 
for purposes of the award.

Section 113. Institution and lender reporting and disclosure 
        requirements

    Section 113 adds a new part on institution and lender 
reporting and disclosure requirements relating to educational 
loans to Title I of the Higher Education Act of 1965.
    This section defines ``covered institution'' as any 
educational institution that offers a postsecondary educational 
degree, certificate, or program of study, and receives any 
Federal funding or assistance; the term shall include any 
employee or agent of such an institution, or any affiliated 
organization or entity. The term ``educational loan'' is 
defined to include loans made, insured, or guaranteed under 
Title IV of the Higher Education Act of 1965. An ``educational 
loan arrangement'' shall include an arrangement or agreement 
between a lender and a covered institution under which a lender 
provides or issues educational loans to the institution's 
students, and which relates to the institution recommending, 
promoting, endorsing, or using educational loans of the lender, 
and involves the payment of any fee or provision of other 
material benefit by the lender to the institution or its 
students. The term ``lender'' includes any lender of a loan 
made, insured, or guaranteed under part B of title IV that is a 
financial institution under section 509 of the Gramm-Leach-
Bliley Act; the Secretary, in the case of a Direct Loan; and 
any individual, group, or entity acting on behalf of a lender 
in connection with an educational loan. The term ``officer'' 
includes a director or trustee of an institution.
    This section requires that a covered institution that 
enters into an educational loan arrangement disclose the name 
of the lender in all documentation related to loans provided 
under such arrangement.
    This section also requires that a lender must provide a 
student with a specific set of disclosures, in writing, before 
the lender may provide a student with an educational loan. Such 
disclosures shall include clear statements of the interest 
rates of the educational loan being offered; sample educational 
loan costs, disaggregated by type, and for each type of loan 
being offered, the types of repayment plans that are available; 
and further information about terms and conditions of each 
loan, lender practices in cases of default, and possible 
benefits of each loan and the percentage of borrowers who 
received such benefits in the preceding academic year, among 
other information, as well as any additional information the 
Secretary may require in regulations.
    Lenders are also required to report to the Secretary on an 
annual basis any reasonable expenses paid to specified 
employees of an institution under Sections 435 or 487 of the 
Higher Education Act of 1965, as amended by this Act (such as 
expenses paid for advisory board participation or professional 
development sponsored by lenders), including the amount of each 
instance in which the lender provided such reimbursement, the 
name of the recipient, the activity for which the reimbursement 
was made, and the dates of such activity. The Secretary shall 
annually report such information to Congress.
    Finally, this section requires the Secretary to prepare a 
report on the adequacy of the information provided to students 
and their parents about educational loans. In preparing such 
report, the Secretary shall consult with students, 
representatives of covered institutions, lenders, loan 
servicers, and guaranty agencies. Such report shall include a 
consumer-friendly model format to be used by lenders and 
covered institutions that provides information on the 
applicable interest rates and other terms and conditions of the 
educational loans provided by a lender to students attending 
the institution or their parents, disaggregated by each type of 
educational loans provided to such students or parents by the 
lender. Lenders shall be required to provide annually the 
information included in such model report to the Secretary and 
the covered institution for each type of educational loan 
provided by the lender. Institutions shall submit to the 
Secretary an annual report that includes, for each lender that 
has an educational loan arrangement with the covered 
institution and that has submitted to the institution the 
information required under subsection, the information included 
on the model format for each type of educational loan provided 
by the lender, and a detailed explanation of why the covered 
institution believes the terms and conditions of each type of 
educational loan provided pursuant to the agreement are 
beneficial for students attending the covered institution, or 
the parents of such students. The institution shall ensure such 
report is made available to the public and provided to students 
attending or planning to attend the covered institution, and 
the parents of such students, in time for the student or parent 
to take such information into account before applying for or 
selecting a loan. The Secretary shall encourage lenders and 
covered institutions to use the model format in preparing these 
reports.

                 Title II--Teacher Quality Enhancement

Part A--Teacher quality partnership grants

    The purpose of title II is to improve student achievement 
and the quality of the Nation's teaching force by holding 
higher education institutions accountable for preparing 
teachers and promoting strategies to recruit and prepare 
qualified individuals.

Section 201. Teacher quality partnership grants

    Section 201 limits the teacher quality grants in Part A of 
Title II of the Higher Education Act of 1965 to teacher quality 
partnership grants, eliminating state grants, and changes the 
terms of the grants as follows.
    This section defines the term ``induction program'' as a 
formalized program for new teachers during at least the 
teachers' first 2 years of teaching that is designed to provide 
support for, improve the professional performance of, and 
increase retention of beginning teachers. Such programs shall 
promote effective teaching skills and shall include high-
quality teacher mentoring, periodic and structured time for 
collaboration with teachers in the same department or field, 
the application of empirically based practice and 
scientifically valid research on instructional practices, 
development of skills in instructional and behavioral 
interventions derived from empirically based practice and, 
where applicable, scientifically valid research, assistance 
with the understanding of data, particularly student 
achievement data and the data's applicability in classroom 
instruction, and regular evaluations of the new teacher.
    The term ``teaching residency program'' means a school-
based teacher preparation program in which a prospective 
teacher teaches alongside a mentor teacher for 1 academic year; 
receives concurrent instruction from the partner institution; 
acquires effective teaching skills; and earns a master's 
degree, attains full State teacher certification or licensure, 
and becomes highly qualified.
    This section defines ``principles of scientific research'' 
as research that applies rigorous, systematic and objective 
methodology to obtain reliable and valid knowledge relevant to 
education activities and programs; presents findings supported 
by the methods used; and includes other methods or elements as 
appropriate for the research being conducted. This section also 
defines ``scientifically valid research'' as applied, basic and 
field-initiated research in which the rationale, design and 
interpretation are soundly developed in accordance with 
accepted principles of scientific research.

Section 202. Partnership grants

    Section 202 authorizes the Secretary to award competitive 
grants to eligible partnerships. Each application must contain 
a needs assessment of all the partners and a description of the 
extent to which the teacher preparation program prepares new 
teachers, including how to understand and use research and data 
in the classroom, and how the partnership would coordinate with 
other programs. Applications must also include a resource 
assessment of the resources available to the eligible 
partnership and an evaluation plan. In addition, applications 
must describe how the partnership would: align the teacher 
preparation program with academic achievement, early learning, 
and content standards; connect faculty at partner institutions 
with teachers and their classrooms in the high-need local 
educational agency included in the partnership to provide 
professional development opportunities; design, implement or 
enhance a yearlong rigorous and enriching pre-service clinical 
program; and collect, analyze, and disseminate data on teacher 
retention.
    Eligible partnerships that receive grants under this part 
shall use grant funds to carry out a program for the pre-
baccalaureate preparation of teachers, a teaching residency 
program, or both.
    Programs for the pre-baccalaureate preparation of teachers 
shall be held accountable for promoting strong teaching skills, 
as well as preparing current or prospective teachers to be 
highly qualified, to understand evidence-based research on 
teaching and learning and its applicability to the classroom, 
and to use technology effectively. Required reforms shall 
include changing teacher preparation curriculum to improve, 
evaluate and assess how new and prospective teachers develop 
teaching skills; using evidence-based knowledge about teaching 
and learning to improve the preparation of teachers; ensuring 
new teachers receive training in both teaching and content 
areas; and developing and implementing an induction program, 
among other requirements. Such programs shall also include 
clinical experience and interaction, through the development 
and improvement of sustained and high-quality preservice 
clinical education programs, to further develop the teaching 
skills of all prospective educators. Such programs shall also 
create induction programs for new teachers. Such programs must 
also provide support and training for participating 
individuals, such as release time, course workload credit, and 
a stipend for mentors, which may include bonus, differential or 
merit or performance-based pay.
    Teaching residency programs shall be based on models of 
successful teaching residencies, and shall include: the 
integration of pedagogy, classroom practice, and teacher 
mentoring; engagement of participants in rigorous coursework to 
obtain a master's degree while undertaking a guided teaching 
apprenticeship; experience and learning opportunities alongside 
an experienced mentor teacher, including the establishment of 
clear criteria for the selection of mentor teachers based on 
measures of teacher effectiveness and subject area knowledge; 
grouping of teacher candidates in cohorts to facilitate 
professional collaboration among residents; development of 
admissions goals and priorities aligned with the hiring 
objectives of the local education agency; support for 
residents, once they are teachers, through an induction 
program; and continued provision of professional development 
and networking opportunities to support residents through at 
least their first 2 years of teaching. Teaching residency 
programs shall provide 1-year living stipend or salary to 
teaching residents during the 1-year residency. As a condition 
of receiving such a stipend, a teacher resident shall agree to 
teach in a high-need school served by the high-need local 
educational agency involved in the partnership for 3 or more 
years after completing the residency.

Section 203. Administrative provisions

    Section 203 provides that grants available under this 
section shall be for 5-year periods, and that a partnership is 
eligible to receive only one grant during a 5-year period. 
However, individual members within a partnership are eligible 
to receive another grant during this period by participating in 
other partnerships with different members.
    Applications shall be submitted to a peer review panel for 
evaluation, and the Secretary shall select grant recipients on 
the basis of the peer review process. Priority shall be given 
to applications from broad-based partnerships that include 
business and community organizations and to partnerships that 
will ensure an equitable distribution of grants among urban and 
rural areas. Each partnership receiving a grant under this 
section is required to provide an amount equal to 100 percent 
of the amount of the grant in cash or in kind from non-Federal 
sources. The Secretary may waive the matching requirement for 
any partnership for any year if it would impose a serious 
hardship.

Section 204. Accountability and evaluation

    Section 204 requires that partnership evaluation plans 
include objectives and measures for increasing student 
achievement, teacher retention, improvements in pass rates on 
State certification and licensure, and the percentage of highly 
qualified teachers hired by the high-need local educational 
agencies, including the percentage of highly qualified teachers 
working within the various targeted demographics.

Section 205. Accountability for programs that prepare teachers

    Section 205 requires that all institutions of higher 
education that conduct a traditional teacher preparation 
program or alternative route to State certification and 
licensure, and that enroll students receiving Federal 
assistance under this Act, shall report the progress made 
towards specific measures for both their traditional teacher 
preparation programs and alternative routes.
    States must annually submit a report card on the quality of 
teacher preparation to the Secretary of Education. The 
Secretary may not create a national list or ranking of States 
or schools based on these reports. The Secretary must provide 
Congress with a report card, which must be widely published, on 
teacher qualifications and preparation in the United States. 
The Secretary must also submit a report to Congress that 
contains a comparison of States' and eligible partnerships' 
efforts to improve the quality of the teaching force.

Section 206. State functions

    Section 206 requires that States receiving funds under this 
section must have in place a procedure to identify and assist 
low-performing teacher preparation programs. If a State 
terminates financial support for a teacher preparation program 
due to low performance, the program must provide transitional 
support for students enrolled at the institution at the time of 
the termination.

Section 207. General provisions

    Section 207 requires the Secretary to ensure that States 
and institutions of higher education use fair and equitable 
methods in reporting and that the reporting methods do not 
allow for identification of individuals.

Section 208. Authorization of appropriations

    Section 208 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

                      Title III--Institutional Aid

Section 301. Program purpose

    Section 301 states that special consideration for awarding 
grants under this section shall be given to grant applications 
that include support services for the education of special 
populations. Allowable uses of grant funds are expanded to 
include using grant aid for education or counseling services 
designed to improve the financial literacy of students or their 
parents.

Section 302. Definitions; eligibility

    Section 302 makes a technical change to existing law.

Section 303. American Indian tribally controlled colleges and 
        universities

    Section 303 amends the definition of a ``Tribal College or 
University'' to include institutions identified in the Tribally 
Controlled College or University Assistance Act of 1978, the 
Navajo Community College Assistance Act of 1978, or cited in 
Section 532 of the Equity in Educational Land Grant Status Act 
of 1994.
    Allowable uses of grant funds are also expanded. 
Institutions may now use grant aid to acquire real property 
adjacent to the institution, for education or counseling 
services designed to improve financial literacy of students or 
their parents, or to develop or improve distance learning or 
internet facilities and capabilities.
    The Secretary of Education may reserve 30 percent of a 
fiscal year's appropriated funds to award at least $1 million 
for maintenance and renovation at eligible institutions. 
Preference is given to a tribally controlled college or 
university that has never received an award under section 316.
    The Secretary of Education would use the remaining 
appropriated funds to award grants on a formula basis, with no 
such grant in an amount less than $500,000. Sixty percent of 
these funds would be awarded proportionally, based on the 
number of Indian students enrolled at these colleges and 
universities. The remaining 40 percent would be distributed 
equally among all eligible schools.
    Colleges or universities that are eligible for and receive 
funds under section 316 would not be eligible to receive any 
additional funding, concurrently, under part A or B of title 
III. Eligible institutions would not be subject to the wait-out 
period with respect to new funding under section 316.

Section 304. Alaska native and native Hawaiian-serving institutions

    Section 304 states that institutions may use grant aid for 
education or counseling services designed to improve financial 
literacy of students or their parents.

Section 305. Native American-serving, nontribal institutions

    Section 305 authorizes a new grant program specifically for 
Native American-serving, nontribal colleges or universities. 
The Secretary of Education must provide grants of at least 
$200,000 for schools to improve their capacity to serve Native 
Americans. Grants may be used to fund the following types of 
activities: purchasing scientific or laboratory equipment, 
books, and other educational material; renovating classrooms, 
libraries, or other instructional facilities; and supporting 
faculty and curriculum development, tutoring and other student 
support services.
    In order to be eligible for a grant, the institution may 
not be a tribal college or university and at least 10 percent 
of the undergraduate enrollment must be composed of Native 
American students. Additionally, institutions that are eligible 
for or receive funds under section 318 would not be eligible to 
receive any additional funding, concurrently, under part A or 
part B of title III. This section waives the requirement in 
section 313(d), allowing eligible institutions to apply for new 
funding once the grant expires.

Section 306. Part B definitions

    Section 306 adds the Commissioner for Education Statistics 
to the entities determining the ``professional and academic 
areas in which Blacks are underrepresented.''

Section 307. Grants to institutions

    Section 307 expands the allowable uses of funds under this 
section, stating that institutions may be able to use grant aid 
for education or counseling services designed to improve 
financial literacy of students or their parents.

Section 308. Allotments to institutions

    Section 308 establishes that in order to receive an 
allotment of funds, eligible historically black colleges and 
universities must provide institutional data on the number of 
enrolled Pell grant recipients and graduates from the past 
academic year as well as the number of graduates in the past 5 
years who enrolled in a graduate or professional school.

Section 309. Professional or graduate institutions

    Section 309 establishes that institutions may use grant aid 
for education or counseling services designed to improve 
financial literacy of students or their parents or for various 
academic student support services. Funds may also be used to 
acquire and develop property adjacent to colleges and 
universities.
    The following seven universities are added to the list of 
qualified graduate programs: Alabama State University, Coppin 
State University, Prairie View A&M University, Fayetteville 
State University, Delaware State University, Langston 
University, and West Virginia State University.
    The following two programs of instruction are added to the 
list of qualified graduate programs of instruction: law and 
psychometrics.
    In determining awards, the Secretary shall consider the 
amount of non-Federal funds that come from the institution's 
own resources as well as private donors, State allocations and 
the amount of institutional funds designated for Federal 
matching dollars. In addition, the Secretary would determine 
funding based on the percentage that the number of the 
institution's Black American and minority students who receive 
their first graduate or professional degree represents of the 
total number of Black American and minority students in the 
United States who earn their first graduate or professional 
degree.

Section 310. Authority of the Secretary

    Section 310 requires the Secretary to submit to the 
authorizing committees within 1 year a report on the progress 
of the Department in implementing the Government Accountability 
Office's recommendations for improving the Historically Black 
College and Universities Capital Financing Program.

Section 311. Authorization of appropriations

    Section 311 authorizes such sums as may be necessary for 
all programs under Title III of the Higher Education Act of 
1965 for fiscal year 2008 and the 5 succeeding fiscal years.

Section 312. Technical corrections

    Section 312 makes technical and conforming changes 
throughout title III.

                      Title IV--Student Assistance

  Part A--Grants to Students in Attendance at Institutions of Higher 
                               Education

    The purpose of part A is to increase participation of 
eligible students in higher education with grants for student 
financial assistance, State assistance and programs, special 
programs and projects, and institutions of higher education.

Section 401. Federal Pell grants

    Section 401 raises the authorized level for a maximum 
Federal Pell grant for eligible students to $5,400 for academic 
year 2008-09; $5,700 for academic year 2009-10; $6,000 for 
academic year 2010-11; and $6,300 for academic year 2011-12. 
This section revises the minimum grant award from $400 to 10 
percent of the maximum authorized award for an award year. 
Students eligible for an award less than 10 percent of the 
maximum award but more than 5 percent of the maximum award 
would receive an award equal to 10 percent of the maximum 
award.
    The Secretary of Education shall allow eligible students 
seeking to enroll in additional academic sessions (e.g., year-
round coursework or summer semester in addition to fall and 
winter semesters) to receive up to two Pell grants in a single 
award year. Students would need to be enrolled at least on a 
half-time basis in a 2- or 4-year program of instruction and 
for more than 1 academic year in order to be eligible to 
receive a second Pell grant. The total monetary amount of the 
two awards combined may exceed the maximum grant level 
specified in the Appropriations Act for that given award year. 
The period of time during which a student may receive Pell 
grants may not exceed 18 semesters or an equivalent period of 
time as determined by the Secretary.

Section 402. Academic competitiveness grants

    Section 402 makes a series of changes to the eligibility 
requirements for Academic Competitiveness Grants (ACG) and 
National Science and Mathematics Access to Retain Talent 
(SMART) grants. It expands eligibility for such grants to 
students who are in school on at least a half-time basis. It 
clarifies that eligible students enrolled in certificate 
programs of at least one year at 2- and 4-year degree granting 
institutions are eligible for ACGs. It also expands eligibility 
for National Science and Mathematics Access to Retain Talent 
(SMART) grants to third and fourth year students who are 
enrolled at institutions that do not offer degrees in the 
subjects required to be eligible for a SMART grant (physical, 
life, or computer sciences, math, technology, engineering, or 
critical foreign language), but who have taken the required 
number of classes to gain such a degree at an institution that 
does grant degrees in eligible subject areas; and to fifth year 
students in programs that require 5 years to complete 
undergraduate degrees in the physical, life, or computer 
sciences, mathematics, technology, or engineering. It 
eliminates the citizenship requirement for grants under this 
section, thus enabling Pell-eligible non-citizens to receive 
ACG and SMART grants. Finally, it makes a series of changes to 
the process by which such grants are awarded.

Section 403. Federal TRIO programs

    Section 403 establishes that awarded grants or contracts 
may be provided for a 5-year period, but grants identified 
specifically for staff training and development may only be for 
a 2-year period. The duration of a grant for evaluation and 
assessment of a program is to be determined by the Secretary of 
Education. All awards for an individual grant would be at least 
$200,000, except for staff training and development programs. 
For these particular programs awards would be at least 
$170,000.
    The Secretary must establish outcome criteria for measuring 
the quality and effectiveness of the Talent Search, Upward 
Bound, Student Support Services, Postbaccalaureate Achievement, 
and Educational Opportunity Centers programs. The Secretary is 
required to measure the program's delivery of services and 
secondary school enrollment and completion, postsecondary 
enrollment, academic performance, and completion outcomes for 
students served by the grant programs. Outcome criteria must be 
disaggregated by low-income, first generation, and individuals 
with disabilities within each school or institution served by 
the grant program. Programs would be assessed on how they meet 
or exceed their various objectives, measured against an 
eligible entity's stated target outcomes established in their 
program application.
            Talent Search
    Talent Search programs must provide the following 
activities: academic tutoring; assistance in selecting 
secondary courses and applying for college; information on and 
assistance in completing financial aid forms; guidance to high 
school drop outs; and services designed to improve student or 
parent financial and economic literacy. The section also 
expands the permissible services component to include programs 
for students with disabilities and those who are homeless or in 
foster care.
            Upward Bound
    The amendments alter and strengthen the required services 
component for Upward Bound programs. Upward Bound programs must 
provide the following activities: academic tutoring; assistance 
in selecting secondary courses and applying for college; 
information on and assistance in completing financial aid 
forms; guidance to high school drop outs; and services designed 
to improve student or parent financial and economic literacy. 
In addition to those with limited English proficiency, the 
permissible services component is expanded to include programs 
for students with disabilities and those who are homeless or in 
foster care. Priority is given to Upward Bound projects that 
select at least 30 percent of all first time participants from 
students who have a high risk of academic failure. The language 
also states that the Secretary may not deny participation in 
Upward Bound to a student who enters the program for the first 
time after the ninth grade.
            Student Support Services
    The purpose of Student Support Services is expanded to 
include improving students' financial and economic literacy, 
such as personal income and financial planning. In addition to 
creating a supportive institutional climate for low-income and 
first generation college students as well as individuals with 
disabilities, this program may also support students with 
limited English proficiency and those who are homeless or in 
foster care.
    Student Support Services programs must provide the 
following activities: academic tutoring; assistance in 
selecting postsecondary courses, transferring from a 2-year to 
a 4-year program, or enrolling in graduate programs; 
information on and assistance in completing financial aid 
forms; and services designed to improve student or parent 
financial and economic literacy. The permissible services may 
include securing temporary housing during school breaks for 
students who are homeless or in foster care.
            Postbaccalaureate Achievement Program Authority
    Activities under this program may include education or 
counseling services, mentoring programs, and exposure to 
cultural events and academic programs.
            Educational Opportunity Centers
    The purpose of Educational Opportunity Centers is expanded 
to include improving student or parent financial and economic 
literacy, such as personal income and financial planning. Funds 
could be used for education or counseling designed to improve 
students' financial and economic literacy as well as personal, 
career, and academic counseling. In addition to those with 
limited English proficiency, funds may be used to assist 
students with disabilities and those who are homeless or in 
foster care.
            Reports, evaluations, and grants for project improvement 
                    and dissemination
    The title of section 402H would change from ``Evaluations 
and Grants for Project Improvement and Dissemination 
Partnership Projects'' to ``Reports, Evaluations, and Grants 
for Project Improvement and Dissemination.'' The Secretary of 
Education must submit a report annually, and not later than 2 
years after the participating entities submit their report to 
the Secretary, documenting the outcome data on the program's 
delivery of services, participating students' secondary and 
postsecondary school enrollment and completion, and academic 
performance. Reported data will be aggregated by individual 
project performance, include when appropriate descriptive, 
longitudinal, and multi-cohort data, and comparable data on the 
national population of low-income, first generation students 
and students with disabilities. Reports will provide national 
performance data with the primary purpose of identifying and 
highlighting best practices for increasing college access and 
persistence through implementation of the programs. This 
section also specifies that the Secretary may not require an 
eligible entity that applies for assistance under this chapter 
to recruit students to serve as a control group in an 
evaluation.

Section 404. Gaining early awareness and readiness for undergraduate 
        programs (GEAR UP)

    Section 404 eliminates the current law priority for 
eligible entities that had previously carried out programs 
under chapter 2 prior to the Higher Education Amendments of 
1998.
    This section requires the Secretary of Education to 
consider the geographic distribution of awards and the 
distribution of awards between urban and rural applicants.
    Section 404 also removes the current law limitation on the 
amount of funds used specifically for early intervention. The 
section shifts requirements that activities not displace other 
employees and that grantees have adequate coordinating staff 
into the list of information that must be provided as part of 
the grantee's application. Entities must ensure that grants 
awarded would be used to supplement and not supplant Federal, 
State and other local funds used for similar activities and 
programming.
    The title of section 404C is changed from ``Eligible Entity 
Plans'' to ``Applications.'' The contents of an application for 
a grant must include: description of how the entity meets the 
scholarship requirements; demonstration of adequate staffing 
for coordinating activities; assurance that activities would 
not displace employees or eliminate positions at schools; 
description of how the entity defines the targeted cohort and 
serves the cohort through grade 12; description of program 
coordination with existing Federal, State, and local projects; 
and required activities.
    The title of section 404D is changed from ``Early 
Intervention'' to ``Activities.'' Grantees are required to 
carry out the following activities: provide information on 
financial aid to the cohorts; encourage student enrollment in 
challenging secondary coursework; support activities designed 
to lead to students graduating from high school and enrolling 
in institutions of higher education; and provide scholarships. 
Grantees may also use funds for tutoring, mentors, outreach, 
secondary and postsecondary support services, development or 
implementation of rigorous secondary curricula, dual 
enrollment, college visits, extended school day programs, or 
scholarships. States would be given the option to promote 
additional activities, such as technical assistance to middle 
or secondary schools, professional development opportunities, 
strategies to increase postsecondary enrollment and graduation 
rates, alignment of secondary and postsecondary curricula and 
standards, alternatives to the traditional secondary school 
that provide a stronger link between high school and 
postsecondary options, drop out recovery programs, and 
dissemination of best practices.
    States receiving grant funds under this chapter must use at 
least 25 percent and no more than 50 percent of funds for early 
intervention activities described in section 404D. Remaining 
funds would be used for scholarships for eligible students. 
Grantees could use more than 50 percent of their funds for 
these activities if they have other means of providing 
financial assistance.
    Entities must notify students when they enter the programs 
of the eligibility requirements to receive a scholarship. Each 
grantee must create or organize a trust for each cohort of 
students. The trust must provide each student in the cohort 
with, at a minimum, an amount equal to the minimum Pell grant 
award described in section 401. Funds in a trust would become 
available to a student once he or she graduated from high 
school or the equivalent and enrolled in a 2- or 4-year 
institution. Students could use funds for qualifying 
educational expenses, including tuition, fees, books, supplies, 
equipment, and designated special needs.
    Trust funds not used within 6 years of the student's 
expected date of completion from secondary school could be 
redistributed to other eligible students. Excess or unused 
funds by an entity would be returned to the Secretary of 
Education. The Secretary would then redistribute the funds to 
other grantee entities.
    Section 404F of the existing law, 21st Century Scholarship 
Certificates, is repealed. Sections 404G and 404H are 
redesignated as sections 404F and 404G.
    Section 403 authorizes such sums as may be necessary for 
fiscal year 2008 and 5 succeeding fiscal years.

Section 405. Academic achievement incentive scholarships

    Section 405 repeals this program.

Section 406. Federal supplemental educational opportunity grants

    Section 406 increases the allowance of books and supplies 
used to compute the average cost of attendance from $450 to 
$600.

Section 407. Leveraging educational assistance partnership program

    Applications for Leveraging Educational Assistance 
Partnership Programs. The monetary amount allocated by States 
for an individual student grant increased from a maximum of 
$5,000 per academic year to either a maximum of $12,500 per 
academic year or the student's cost of attendance, whichever is 
less. States must notify eligible students that aid is from 
Leveraging Educational Assistance Partnership grants and funded 
by the Federal Government, the States, and other contributing 
partners.
    The title for section 415E, ``Special Leveraging 
Educational Assistance Partnership Program'' would be changed 
to ``Grants for Access and Persistence.'' The purpose of this 
section is expanded to increase college access and persistence 
by making State allotments to: expand and enhance partnerships 
with institutions of higher education and private organizations 
in order to provide additional need-based grants to eligible 
low-income students; provide early notification of eligibility 
for financial aid; and encourage participation in early 
information, intervention, and other outreach programs.
    States desiring an allotment must submit an application to 
the Secretary of Education. The application must describe the 
State's plan for using the funds and the organizational 
structure to administer the various activities and assure that 
the State provides the non-Federal share and that early 
information, intervention, and other outreach programs exist. 
An application must also explain the State's methods for 
identifying and awarding grants to eligible students. State 
agencies must apply for an allotment in partnership with the 
following organizations or entities: at least one private and 
one public college or university located in the State, if 
applicable; early information, intervention, and other outreach 
State programs; and at least one State philanthropic 
organization or private corporation.
    The Secretary makes an allotment to States to pay the 
Federal share of the cost of carrying out the various 
authorized activities. The amount of the Federal share is 
determined by the percentage of full-time students enrolled in 
the State's partnership colleges and universities in comparison 
to the total number of students attending institutions of 
higher education in the State. The Federal share is 50 percent 
if enrollment in the State's partnership schools represents 
less than a majority of all students attending colleges and 
universities. The Federal share is 57 percent if enrollment in 
the State's partnership schools represents a majority of all 
students attending colleges and universities.
    Each State receiving an allotment must use funds toward the 
overall partnership to award grants for eligible low-income 
students. If the State's partnership is with institutions 
serving less than a majority of students in the State, the 
monetary amount of an individual student grant would be at 
least equal to the average undergraduate tuition and mandatory 
fees at 4-year public institutions. If the State's partnership 
is with institutions serving a majority of students in the 
State, the monetary amount of an individual student grant would 
be no more than equal to the average cost of attendance at 4-
year public institutions.
    States must annually notify low-income students in grades 7 
through 12 of their potential eligibility for financial 
assistance. To be eligible to receive a grant, students must 
meet at least two of the following criteria: have an expected 
family contribution of zero; qualify for a free or reduced 
lunch; qualify for the State's maximum undergraduate award; or 
participate in early information, intervention, or other 
outreach programs. Students would receive a grant for each year 
of their undergraduate education, as long as they remained 
financially eligible and meet the State's degree completion 
time limits.
    The State agency receiving an allotment must annually 
report to the Secretary on the partnership's progress in 
meeting identified goals and objectives. Within 3 years of the 
enactment of the Higher Education Amendments of 2007 and 
annually thereafter, the Secretary must submit a report to 
Congress describing activities and the impact of the 
partnerships.

Section 408. Special programs for students whose families are engaged 
        immigrant and seasonal farmwork

    Section 408 expands the services provided by the college 
assistance migrant program to include internships, 
transportation, and child care. Program follow-up services with 
students, after they complete their first year of college, may 
include encouraging students to transfer from 2-year to 4-year 
institutions of higher education. This section also expands 
eligibility for the recruitment services authorized under this 
program to children who have immediate family members who have 
spent at least 75 days over the past 24 months in migrant and 
seasonal farmwork; current law only covers children who 
themselves or whose parents have spent such time in migrant and 
seasonal farmwork.
    This section also requires the Commissioner of Education 
Statistics to annually collect data about persons receiving 
services under this part, including rates of secondary school 
graduation, entrance into postsecondary education, and 
completion of postsecondary education. At least every 2 years, 
the Commissioner shall prepare and submit a report containing 
this data, which shall be made available to the public.
    This program is reauthorized for such sums as may be 
necessary in fiscal year 2008 and the 5 succeeding fiscal 
years. The Secretary of Education shall allocate an amount no 
greater than $180,000 for each project under the high school 
equivalency program or the college assistance migrant program. 
No more than .5 percent of funds made available for the 
projects may be used for outreach activities, technical 
assistance, and professional development programs.

Section 409. Robert C. Byrd honors scholarship program

    Section 409 reauthorizes this program for such sums as may 
be necessary in fiscal year 2008 and the 5 succeeding fiscal 
years.

Section 410. Child care access means parents in school

    Section 410 sets the minimum grant level at $10,000 and 
$30,000 when the amount appropriated for activities under this 
section is equal to or greater than $20 million.
    The definition of a ``low-income student'' is expanded to 
include a person who would be eligible to receive a Pell grant 
except that the student is enrolled in a graduate or 
professional course or is in the United States for a temporary 
period of time.

Section 411. Learning anytime anywhere partnerships

    Section 411 repeals this entire chapter, including sections 
420D, 420E, 420F, 420G, 420H, 420I, and 420J.

Part B--Federal Family Education Loan Program

Section 421. Federal payments to reduce student interest costs

    Section 421 describes the process by which a lender shall 
determine a borrower's eligibility for deferment of student 
loan interest. It adds to the requirements already in current 
law that the lender must confirm a borrower's enrollment status 
through the National Student Loan Data System, if such 
confirmation is requested by the institution of higher 
education.
    This section also places restrictions on the actions a 
guaranty agency may take under law. It prohibits guaranty 
agencies from offering, directly or indirectly, premiums, 
payments, stock or other securities, prizes, travel, 
entertainment expenses, tuition repayment, or other inducements 
to institutions of higher education or their employees to 
secure applicants for loans or to any lender or lender's agent, 
employee, or independent contractor, for the purpose of 
securing the designation of the guaranty agency as the insurer 
of loans. It also prohibits guaranty agencies from conducting 
unsolicited mailings of educational loan application forms to 
students or the parents of such students who have not 
previously received loans guaranteed by the specific guaranty 
agency; from performing for an institution or paying another to 
perform for an institution any function that the institution is 
required to perform under part B, D, or G of the Higher 
Education Act of 1965; and from conducting fraudulent or 
misleading advertising concerning loan availability, terms, or 
conditions.

Section 422. Federal consolidation loans

    Section 422 requires lenders of consolidation loans to make 
a series of disclosures to borrowers who apply for 
consolidation loans. Lenders shall provide borrowers with 
information about the possible impact of consolidation, 
including the total interest and fees to be paid on the 
consolidation loan, and the length of repayment for the loan; 
whether consolidation would result in a loss of loan benefits; 
the ability of the borrower to prepay the consolidation loan, 
pay such loan on a shorter schedule, and to change repayment 
plans; that borrower benefit programs may vary among different 
lenders; the consequences of default on the consolidation loan; 
that by applying for a consolidation loan, the borrower is not 
obligated to agree to take the consolidation loan; and in the 
case of a borrower that plans to include a Federal Perkins Loan 
in the consolidation loan, that once the borrower adds the 
borrower's Federal Perkins Loan to a consolidation loan, the 
borrower will lose all interest-free periods that would have 
been available for such loan, and will no longer be eligible 
for cancellation of part or all of a Federal Perkins loan under 
section 465(a).

Section 423. Default reduction program

    Section 423 requires guaranty agencies offering programs 
that allow borrowers with defaulted loans to renew eligibility 
on their loans after borrowers make six consecutive monthly 
payments to make available financial and economic educational 
materials before, during, or after rehabilitation of the loans.

Section 424. Reports to consumer reporting agencies and institutions of 
        higher education

    Section 424 changes the term ``credit bureaus'' in the 
section title to ``consumer reporting agencies.'' This section 
also requires the Secretary of Education, guaranty agencies, 
eligible lenders, and holders to include information about the 
type of loan made, the repayment status of the loan, and any 
other information mandated by Federal law when providing 
information to consumer reporting agencies concerning student 
borrowers. The information must be provided to all nationwide 
consumer reporting agencies.

Section 425. Common forms and formats

    Section 425 establishes that institutions may use master 
promissory notes for loans under this part and part D, unless 
otherwise noted.

Section 426. Student loan information by eligible lenders

    Section 426 establishes that lenders, guaranty agencies, 
secondary markets, consumer reporting agencies, or loan 
servicers that are subject to Subtitle A of Title V of the 
Gramm-Leach-Bliley Act shall only use, release, sell, transfer, 
or give student information in accordance with the provisions 
of that subtitle. Each eligible lender, holder, or servicer 
must provide the borrower with information on loan benefit 
repayment options, including comprehensive information on 
reducing interest rates.

Section 427. Consumer education information

    Section 427 requires guaranty agencies working with 
institutions of higher education to develop or use existing 
educational programs and materials to provide training for 
students in budgeting and financial management.

Section 428. Definition of eligible lender

    Section 428 places a number of restrictions on the 
activities a lender may undertake to qualify as an eligible 
lender. It prohibits eligible lenders from offering, directly 
or indirectly, points, premiums, payments (including payments 
for referrals and for processing or finder fees), prizes, stock 
or other securities, travel, entertainment expenses, tuition 
repayment, the provision of information technology equipment at 
below-market value, additional financial aid funds, or other 
inducements to any institution of higher education or its 
employees in order to secure applicants for loans under this 
part; from conducting unsolicited mailings of student loan 
application forms to students or their parents, unless such 
students have previously received loans from such lender; from 
entering into any type of consulting arrangement, or other 
contract to provide services to a lender, with an employee of 
an institution with responsibilities with respect to student 
loans or financial aid; from compensating such an employee who 
is serving on an advisory board, commission, or group 
established by a lender or group of lenders for providing such 
service, except for reasonable expenses incurred in providing 
such service; or from performing for an institution of higher 
education or paying another to perform for an institution any 
function that the institution of higher education is required 
to carry out under part B, D, or G of the Higher Education Act 
of 1965.
    This section also sunsets the authority provided under the 
Higher Education Act for a school to serve as an eligible 
lender, and for an eligible lender to serve as a trustee for an 
institution of higher education or an organization affiliated 
with an institution of higher education, as of June 30, 2012. 
Such an existing institutional lender shall not issue any new 
loans in such capacity under part B after June 30, 2012. Prior 
to June 30, 2012, such an institutional lender shall carry out 
the institution's responsibilities with respect to such loans; 
except that beginning on June 30, 2011, such an institutional 
lender may sell or otherwise dispose of such loans so long as 
all profits from such divestiture are directed to need-based 
aid.

Section 429. Discharge and cancellation rights in cases of disability

    Section 429 expands the group of disabled borrowers for 
whom the Secretary will discharge their liability and repay 
their loans, to include a borrower who is unable to engage in 
substantial gainful activity due to a medically determinable 
physical or mental impairment that can be expected to result in 
death, has lasted for 5 years continuously, or can be expected 
to last for at least 5 years continuously. This change shall 
apply to borrowers of loans under part B, part D, and part E. 
This section also allows the Secretary to develop safeguards to 
prevent fraud and abuse in the discharge of liability under 
this subsection.

Section 430. Special allowances

    Section 430 authorizes the Secretary to collect a loan fee 
on all consolidation loans of 1 percent of the principal.

Part C--Federal Work-Study Programs

    The purpose of part C is to promote part-time employment of 
undergraduate and graduate students who need earnings to pursue 
their courses of study. Additionally, the goal of part C is to 
encourage students receiving Federal financial aid to 
participate in community service activities.

Section 441. Authorization of appropriations

    Section 441 authorizes such sums as may be necessary for 
fiscal year 2008 and each of the 5 succeeding fiscal years.

Section 442. Allowance for books and supplies

    Section 442 establishes that an institution's eligibility 
for funding under this part is equal to the sum of the self-
help need of all the school's undergraduate and graduate 
students. The self-help of a student is calculated using a 
variety of factors, including an allowance for books and 
supplies. This allowance is increased from $450 to $600.

Section 443. Grants for federal work-study programs

    Section 443 permits the Secretary to waive the community 
service requirement under this part if an institution certifies 
that at least 15 percent of its full-time student enrollment 
participates in community service or tutoring or literacy 
activities.

Section 444. Job location and development programs

    Section 444 states that institutions may use no more than 
10 percent, or $75,000, whichever is less, of their work-study 
allotments to establish or expand programs that locate and 
develop jobs including community service jobs for currently 
enrolled students.

Section 445. Work colleges

    Section 445 emphasizes the importance of service in work-
colleges. It amends the work-colleges section throughout to 
change comprehensive work-learning programs to comprehensive 
work-learning-service programs. Comprehensive work-learning-
service programs are defined as student work-learning-service 
programs that, among other requirements, are an integral and 
stated part of the institution's educational philosophy and 
program; require participation of all resident students for 
enrollment and graduation; include learning objectives, 
evaluation, and a record of work performance as part of the 
student's college record; and includes consequences for non-
performance or failure in the work-learning-service program 
similar to the consequences for failure in the regular academic 
program.
    This section also adds to authorized activities under this 
section the support of existing and new model student volunteer 
community service projects associated with local institutions 
of higher education. It also limits the definition of work-
colleges to 4-year, degree-granting institutions. Such schools 
must require all resident students, including at least 1/2 of 
resident students who are enrolled on a full-time basis, to 
participate in a comprehensive work-learning-service program 
for not less than 5 hours each week, or not less than 80 hours 
during each period of enrollment except summer school.

Part D--Federal Perkins Loans

Section 451. Program authority

    This section authorizes such sums as may be necessary for 
fiscal year 2008 through 2012.

Section 451. Cancellation of loans for certain public service

    Section 451 adds to the list of those service occupations 
eligible for Perkins loan cancellation: (1) full-time staff 
members in a pre-kindergarten or child care program that is 
licensed or regulated by the State (in addition to Head Start), 
(2) full-time faculty members at Tribal Colleges and 
Universities, (3) librarians with a master's degree in library 
science who are employed in an elementary or secondary school 
that is eligible for assistance under title I of ESEA or in a 
public school library that serves a geographic area that 
contains one or more title I eligible schools, and (4) speech 
language therapists with a master's degree working exclusively 
with schools that are eligible for assistance under title I of 
the Elementary and Secondary Education Assistance Act.
    This section also expands Perkins loan forgiveness for 
members of the Armed Forces from 50 percent to 100 percent, 
consistent with others types of loan cancellation in the 
section.

Part E--Need analysis

Section 461. Cost of attendance

    Section 461 adds a provision to the list of costs that may 
be included in calculating a student's room and board allowance 
for the purpose of determining financial aid. For students who 
live in housing located on a military base or for which a basic 
allowance for housing is provided under section 403(b) of Title 
37, United States Code, such student's room and board allowance 
shall be calculated based on the expenses reasonably incurred 
by such students for board, but not for room.

Section 462. Definitions

    Section 462 amends the definition of untaxed income for the 
purpose of determining the expected family contribution to 
exclude the value of on-base military housing or the value of 
basic allowance for housing determined under section 403(b) of 
title 37, received by a student or his or her parents.

Part F--General provisions relating to student assistance

Section 471. Definitions

    Section 471 makes a technical change to the definition of 
an academic year, specifying that to be eligible for a waiver 
of the 30-week requirement an institution may measure program 
length in credit hours or clock hours.

Section 472. Compliance calendar

    Section 472 directs the Secretary to provide institutions 
of higher education a list of all reports and disclosures 
required under this act at the beginning of each award year. 
This information shall include the date each report is due, the 
required recipients, the method of transmission, references to 
the statutory authority, a description of the contents of the 
report and any other information that the Secretary may 
require.

Section 473. Forms and regulations

    Section 473 establishes common financial aid forms and 
processing that are developed in cooperation with 
representatives of agencies and organizations involved in 
student financial assistance. These forms shall be produced, 
distributed and processed free of charge and made available to 
applicants in both paper and electronic formats and referred to 
as the ``Free Application for Federal Student Aid'' or 
``FAFSA''. The Secretary shall also develop, field test, and 
implement a simplified paper application form, to be known as 
the ``EZ FAFSA'' to be used by families who have a zero 
expected family contribution. The Secretary shall include on 
the EZ FAFSA any data that is required by States, provided the 
State permits its applicants to use the EZ FAFSA for State 
assistance, and publish annually in the Federal Register a 
request for States to inform the Secretary of questions they 
need on the FAFSA to gather information relevant to State 
programs. All information on the FAFSA shall be available to 
institutions of higher education, guaranty agencies, and 
States. The Secretary shall make all efforts to encourage all 
applicants to use the simplified electronic application that 
uses smart logic to tailor the questions to individual 
applicants. The Secretary shall use any realized savings from 
the phasing out of the paper form to improve access to the 
electronic form and make an annual report on progress in 
accessing and moving to the electronic form. The Secretary 
shall permit an electronic form to be submitted without a 
signature if a signature is subsequently submitted or if the 
applicant uses a personal identification number (PIN) provided 
by the Secretary. No later than 180 days after enactment of the 
Higher Education Amendments of 2007, the Secretary shall 
implement a real-time data match between the Social Security 
Administration and the Department to minimize the time required 
for an applicant to obtain a PIN. The Secretary shall also 
develop a streamlined reapplication form and process, including 
both paper and electronic versions for an applicant who applies 
for financial assistance in succeeding academic years. In the 
reapplication process, families determined to have a zero 
family contribution shall not be required to provide any 
financial data.
    The Secretary shall permit an applicant to complete a FAFSA 
form in the years prior to postsecondary enrollment to obtain 
from the Secretary a non-binding estimate of the applicant's 
expected family contribution.
    This section also authorizes an early application and award 
demonstration program, which shall serve to determine the 
feasibility of implementing a comprehensive early financial aid 
application and notification system for all dependent students 
and to measure the benefits and costs of such a system. This 
demonstration program shall enable dependent students who wish 
to participate to complete an application under this subsection 
during the academic year that is 2 years prior to the year such 
students plan to enroll in an institution of higher education, 
and based on this application, to obtain, at least 1 year prior 
to the year of the students' planned enrollment, information on 
eligibility for Federal Pell Grants, Federal student loans 
under title IV, and State and institutional financial aid for 
such students' first year of enrollment in an institution of 
higher education. The Secretary of Education shall conduct a 
rigorous evaluation of this demonstration program to measure 
the program's benefits and adverse effects. Such an evaluation 
shall include, among other factors, an identification of 
whether receiving financial aid awards or estimates 1 year 
prior to the year in which the student plans to enroll in an 
institution of higher education has a positive impact on the 
higher educational aspirations of the student; the extent to 
which using a student's income information from the year that 
is 2 years prior to the student's planned enrollment date had 
an impact on the ability of States and institutions to make 
financial aid awards and commitments; determine what 
operational changes or changes to Federal law that would be 
necessary to implement the program on a larger, permanent 
basis; and identify the benefits and adverse effects of 
providing early awards or estimates on program costs, program 
operations, program integrity, award amounts, distribution, and 
delivery of aid.
    This section requires the Comptroller General and the 
Secretary of Education, in consultation with a study group made 
up of the Secretary of the Treasury, the Director of the Office 
of Management and Budget, the Director of the Congressional 
Budget Office, and such other individuals as the Comptroller 
General and Secretary of Education may designate, to design and 
conduct a study to identify and evaluate the means of 
simplifying the process of applying for Federal financial aid 
under this title. The study shall focus on developing 
alternative approaches for calculating the expected family 
contribution that use substantially less income and asset data 
than the methodology currently used for determining the 
expected family contribution. The study must consider, among 
other information: how the expected family contribution of a 
student could be calculated using substantially less income and 
asset information than the approach currently used, which 
alternative approaches for calculating the expected family 
contribution shall, to the extent practicable, rely mainly on 
information available on the 1040, 1040A, and 1040EZ for 
students and parents who file tax returns, and shall include 
formulas for adjusting income or asset information to produce 
similar results to the existing approach with less data; how 
the Internal Revenue Service can provide income and other data 
needed to compute an expected family contribution for taxpayers 
and dependents of taxpayers to the Secretary; whether the data 
provided by the Internal Revenue Service could be used to 
prepopulate the electronic version of the FAFSA with student 
and parent taxpayer data, or generate an expected family 
contribution without additional action on the part of the 
student and taxpayer; the extent to which States and 
institutions would accept the data provided by the Internal 
Revenue Service data to prepopulate an electronic FAFSA in 
determining the distribution of State and institutional 
financial aid funds; additional steps that could be taken to 
simplify the financial aid process for students and parents who 
are not required to file a tax return for the previous year; 
and information on the State need for the full array of income, 
asset, and other information currently collected on the FAFSA. 
If the Secretary of Education, in a joint determination with 
the Secretary of the Treasury, determines that the use of 
Internal Revenue Service data to prepopulate the electronic 
version of the FAFSA will not significantly negatively impact 
students, institutions of higher education, States, or the 
Federal Government on a series of specified criteria, the 
Secretary may use such Internal Revenue Service data to 
prepopulate the electronic version of the FAFSA. The Secretary 
of Education and the Comptroller General shall prepare a report 
on the results of this study not later than 18 months after the 
enactment of this Act.

Section 474. Student eligibility

    Section 474 specifies that in order to be eligible to 
receive aid under this title, a student must be a citizen or 
permanent resident enrolled in an eligible program, be making 
satisfactory progress in that program, not owe a refund or be 
in default of a previous loan and have filed a FAFSA for aid 
determination. An institution may determine that a student who 
has satisfactorily completed 6 credit hours (or the equivalent) 
applicable to a degree or certificate has the ability to 
benefit from the education or training offered by the 
institution.
    Section 474 also specifies that students enrolled in 
programs that lead to a recognized certificate, or associate, 
baccalaureate, or graduate degrees, that are offered 
principally through distance education shall not be considered 
to be enrolled in correspondence courses.
    Section 474 also expands the eligibility requirements for 
student financial assistance under title IV so students with 
intellectual disabilities shall be eligible for such 
assistance, even if they are enrolled in non-degree programs. 
To qualify for grants or work assistance under subparts 1 and 3 
of part A and part C of title IV, such student shall be an 
individual with an intellectual disability whose significant 
cognitive impairment substantially impacts the individual's 
intellectual and cognitive functioning, who is eligible for 
assistance under the Individuals with Disabilities Education 
Act and has completed secondary school, among other 
requirements. Such individuals must be enrolled or accepted for 
enrollment in a comprehensive transition and postsecondary 
education program that is designed for students with an 
intellectual disability who are seeking to continue academic, 
vocational, and independent living instruction at the 
institution in order to prepare for gainful employment and 
independent living; includes an advising and curriculum 
structure; requires students to participate on at least a half-
time basis; or includes regular enrollment in courses offered 
by the institution, auditing or participating in courses 
offered by the institution for which the student does not 
receive regular academic credit, enrollment in non-credit, non-
degree courses or participation in internships. Such individual 
must also be maintaining satisfactory progress in the program 
as determined by the institution.

Section 475. Statute of limitations and State court judgments

    Section 475 ensures that obligations to repay loans and 
grant overpayments are enforced. In collecting any obligation 
on Perkins loans, an institution of higher education shall not 
be denied payment due to a claim of infancy by the borrower. 
The section clarifies that payments are not due in the case of 
a student who is deceased, and that payments may not be 
required of a deceased student's estate.

Section 476. Institutional refunds

    Section 476 establishes that if a recipient of aid under 
this title withdraws from an institution during a payment 
period or a period of enrollment due to illness, accident, 
grievous personal loss or other circumstances beyond the 
student's control, and does not notify the institution, the 
institution may determine the appropriate withdrawal date and 
may determine that the student does not need to repay title IV 
funds.

Section 477. Institutional and financial assistance for students

    Section 477 adds to the information that institutions must 
disseminate to prospective and enrolled students an 
institution's policies and sanctions regarding copyright 
infringement. Such policies must inform students that 
unauthorized distribution of copyrighted material on the 
institution's information technology systems may subject 
students to civil and criminal penalties.
    This section requires institutions to provide information 
on student body diversity, including the percentage of 
enrolled, full-time students who are male, female, from a low-
income background, and a self-identified member of a major 
racial or ethnic group.
    This section also requires that the completion and 
graduation rate data that is already required to be reported 
under current law, also be disaggregated by gender, major 
racial and ethnic subgroup, by recipients of a Federal Pell 
grant, by recipients of a loan made under part B or part D 
(other than an unsubsidized Stafford loan) who did not receive 
a Pell grant, and by recipients of neither a Federal Pell grant 
nor a loan made under this part or part D (other than an 
unsubsidized Stafford loan).
    This section also requires that eligible institutions 
disseminate specific information to prospective and enrolled 
students. Each institution must disclose information on student 
financial assistance and the procedures for applying for such 
assistance, the cost of attending the institution and general 
information about the academic and non-academic aspects of the 
school programs. For the purposes of information on graduation 
rates, the institution may exclude information on students who 
leave school to serve in the Armed Forces, on official church 
missions, or with a recognized foreign aid service of the 
Federal Government or, if the students in that category exceed 
20 percent of an institution's enrollment, include such 
students, but exclude the time period the students were not 
enrolled due to their service.
    This section added an entrance counseling requirement for 
first-time Stafford and Grad PLUS borrowers to ensure that they 
receive comprehensive information on the terms and conditions 
of their loan and the responsibilities a borrower has with 
respect to his or her loan. Institutions are encouraged to use 
interactive programs that test the borrower's understanding of 
the provisions. The information provided needs to include the 
institution's definition of half-time enrollment, and the 
consequences of not maintaining half-time enrollment; an 
explanation of the importance of contacting the appropriate 
institutional offices if the borrower withdraws before 
completing his or her program of study; and the name of an 
individual the borrower may contact if the borrower has any 
question about rights and responsibilities.
    Institutions must also provide an exit interview to 
borrowers of title IV loans which shall include information on 
loan repayment plans available, including a discussion of the 
different features of each plan and sample information showing 
the difference in interest paid and total payments under each 
plan; the average anticipated monthly repayments under the 
standard repayment plan and any other repayment plans for which 
the borrower is eligible, if the borrower so requests; debt and 
management strategies; an explanation that the borrower has the 
ability to prepay each such loan, pay the loan on a shorter 
schedule, and change repayment plans; the situations in which 
the student may obtain full or partial forgiveness or 
cancellation of principal or interest; the terms and conditions 
under which the student may defer repayment of principal or 
interest or be granted forbearance; the consequences of default 
on such loans; information on the effects of using a 
consolidation loan to discharge the borrower's loans; and a 
notice to borrowers about the availability of the National 
Student Loan Data System and how the system can be used by a 
borrower to obtain information on the status of the borrower's 
loans. Such exit interviews shall also include a clear and 
conspicuous notice describing the general effects of using a 
consolidation loan to discharge the borrower's student loans, 
including the effects of consolidation on total interest to be 
paid, fees to be paid, and length of repayment; the effects of 
consolidation on a borrower's underlying loan benefits, 
including loan forgiveness, cancellation, and deferment; the 
ability for the borrower to prepay the loan, pay on a shorter 
schedule, and to change repayment plans, and that borrower 
benefit programs may vary among different loan holders; a 
general description of the types of tax benefits which may be 
available to the borrower; and the consequences of default.
    This section also requires institutions of higher education 
to publish and distribute on an annual basis on campus policies 
regarding immediate emergency procedures. Such policies shall 
include procedures to notify the campus community in a 
reasonable and timely manner in the event of a significant 
emergency or dangerous situation, procedures to publicize 
emergency response and evacuation procedures on an annual basis 
in a manner designed to reach students and staff; and 
procedures to test emergency response and evacuation procedures 
on an annual basis.
    Each institution participating in title IV must also 
publicly disclose the institution's current transfer of credit 
policy that includes a statement that the institution shall 
disclose whether the institution denies transfer of credit 
based on the accreditation of the sending institution and a 
list of institutions with which the institution has established 
articulation agreements.
    Finally, this section requires institutions of higher 
education annually to publish a fire safety report on on-campus 
student housing, and to submit such information to the 
Secretary on an annual basis. Such report shall include 
information with respect to campus fire and safety practices, 
including statistics concerning the number and cause of fires 
in each on-campus student housing facility, as well as the 
injuries related to such fires that result in medical 
treatment, the number of deaths related to a fire, and the 
value of property damage caused by a fire; a description of 
each on-campus student housing facility fire safety system; the 
number of regular mandatory supervised fire drills; policies or 
rules on procedures for evacuation, fire safety education and 
training programs, among other policies; and plans for future 
improvements in fire safety. The Secretary shall make these 
statistics available to the public. The Secretary shall also, 
in coordination with nationally recognized fire organizations 
and representatives of institutions of higher education, 
associations of institutions of higher education, and other 
relevant organizations, identify exemplary fire safety 
policies, procedures, programs, and practices, and make 
information concerning those policies, procedures, programs and 
practices that have been effective available to the public. 
This section also requires each institution of higher education 
to maintain a log regarding all fires in on-campus student 
housing facilities, and make annual reports to the campus 
community on such fires.

Section 478. National student loan data system

    Section 478 establishes guidelines for the Secretary to 
administer the National Student Loan Data System (NSLDS) in an 
effort to maintain confidence in the NSLDS. This section 
requires the Secretary to ensure that the primary purpose of 
access to the data system by guaranty agencies, eligible 
lenders, and eligible institutions of higher education is for 
legitimate program operations. The Secretary shall prohibit 
nongovernmental researchers from accessing personally 
identifiable information. The Secretary shall also create a 
disclosure form for students and potential students that is 
distributed when such students complete the common financial 
reporting form and as a part of the exit counseling process 
under title IV. The disclosure form shall inform students about 
the NSLDS and its appropriate uses. The Secretary shall require 
guaranty agencies, lenders, and institutions of higher 
education that enter into an agreement with a borrower 
regarding a loan under title IV to inform the borrower that 
such loan will be submitted to the data system and will be 
accessible to certain entities. The Secretary is required to 
establish protocols for limiting and restoring access to the 
database in the event that the Secretary deems it necessary to 
restrict access to the NSLDS. Finally, the Secretary is 
required to regularly review the data system to ensure it is up 
to date and is not being exploited by inappropriate parties; 
and to develop standardized protocols for limiting access to 
the data system.
    This section also requires the Secretary to report annually 
to Congress on the implementation of this section, including 
the effectiveness of the privacy safeguards in protecting 
student and parent information in the data system; the success 
of new safeguards; the Secretary's ability to monitor the use 
of the system; and any protocols developed during the year. It 
also requires the Secretary to conduct a study regarding 
available mechanisms for providing students and parents with 
the ability to opt in or opt out of allowing eligible lenders 
to access their records in the National Student Loan Data 
System, and appropriate protocols for limiting access to the 
data system.

Section 479. Early awareness of financial aid eligibility

    Section 479 requires the Secretary to work with 
institutions of higher education and other agencies involved in 
college access to implement a system to provide students and 
families with early information about financial aid, and early 
estimates of students' eligibility for financial aid. The 
Secretary shall make a special effort to inform students who 
receive or are eligible to receive means-tested benefits that 
they are potentially eligible for a maximum Pell grant. The 
section specifies information on the availability of financial 
aid to be provided to students when they are middle or high 
school students and to adult learners. The Secretary, in 
coordination with States, institutions of higher education, and 
other agencies, shall provide the means for individuals to 
obtain nonbinding estimates of grant and loan aid the 
individuals may receive. These estimates should be as accurate 
as possible. In addition, not later than 2 years after the 
enactment of the Higher Education Amendments of 2007, the 
Secretary shall coordinate with relevant entities to implement 
a public awareness campaign on the availability of financial 
aid under this title.

Section 480. Program participation agreements

    Section 480 adds several clauses to the program 
participation agreement that institutions must sign to 
participate in the student aid programs under this title. One 
new provision requires that institutions establish, enforce and 
follow a code of conduct regarding student loans. The code of 
conduct shall include a revenue sharing prohibition, that 
prohibits institutions from receiving anything of value from 
any lender in exchange for an advantage sought by the lender to 
make educational loans to a student associated with the 
institution. It also prohibits any employee who is employed by 
the financial aid office at an institution or who has other 
responsibilities with respect to educational loans, from taking 
from a lender a gift or trip worth more than nominal value, 
except for reasonable expenses associated with professional 
development; from entering into a consulting arrangement or 
other contract to provide services to a lender; and from 
receiving anything of value in exchange for serving on the 
advisory board, commission or group established by a lender or 
group of lenders, except for reasonable expenses incurred in 
serving on such board. The institution shall not refuse to 
certify, or delay certification of a loan based on the 
borrower's selection of a particular lender. Through a 
designated individual, the institution shall annually attest 
that the institution agrees to, and is in compliance with, the 
requirements of the code of conduct.
    Section 480 also places a number of requirements on 
institutions of higher education that choose to maintain a 
preferred lender list to recommend specific lenders for loans 
made under part B of the Higher Education Act of 1965 to 
students. In establishing a preferred lender list, the 
institution must clearly and fully disclose why the institution 
has included each lender as a preferred lender, especially with 
respect to terms and conditions favorable to the borrower and 
that students attending the institution (and the parents of 
such students) do not have to borrow from a lender on the 
preferred lender list. The institution must also establish a 
process to ensure that lenders are placed upon the preferred 
lender list on the basis of the benefits provided to borrowers, 
including highly competitive interest rates, terms, or 
conditions for loans made under part B high-quality customer 
service for such loans, and additional benefits. Institutions 
must ensure that a preferred lender list includes at least 
three unaffiliated lenders.
    Section 480 specifies that proprietary institutions of 
higher education must have not less than 10 percent of their 
revenues from sources other than funds provided under this 
title. In the calculation of the 10 percent, an institution may 
include funds from sources other than those received under this 
title, matching funds, student payments from eligible college 
savings plans established under section 529 of the IRS Code of 
1986, funds paid by the student or on behalf of the student by 
a third party, institutional aid and funds generated by the 
institution from institutional activities that are necessary 
for the education and training of the institution's students. 
Failure to meet this requirement for 1 year may result in the 
institution being placed on provisional certification, and the 
Secretary may increase monitoring and reporting requirements. 
Failure to meet the requirements for 2 consecutive years shall 
mean that the institution is ineligible to participate in 
programs under this title until the Secretary is satisfied that 
it is in compliance with this section. The Secretary shall make 
available information regarding which institutions have failed 
to meet this requirement.
    This section specifies that if an institution is subject to 
an emergency action or its title IV participation is limited, 
suspended or terminated, the Secretary shall require the 
institution to prepare a teach-out plan for submission to the 
institution's accrediting agency. The term ``teach-out'' plan 
shall mean a written plan that provides for the equitable 
treatment of students if an institution of higher education 
ceases to operate before all students have completed their 
program of study.

Section 481. Regulatory relief and improvement

    Section 481 maintains the quality assurance programs and 
the experimental sites. The Secretary has the authority to 
establish additional experimental sites in addition to 
maintaining the existing sites if they wish to continue 
participation. This section requires the Secretary to review 
and submit a biennial report to the authorizing committees on 
the experience of institutions participating as experimental 
sites.

Section 482. Transfer of allotments

    Section 482 allows institutions to transfer up to 25 
percent of funds between its Federal Supplemental Educational 
Opportunity Grant and Federal Work-Study accounts.

Section 483. Purpose of administrative payment

    Section 483 clarifies the sums paid under this part are to 
be used for administering the programs described.

Section 484. Advisory Committee on Student Financial Assistance

    Section 484 adds to the purposes of the Advisory Committee 
by requiring it to provide knowledge and understanding of early 
intervention programs and to make recommendations that will 
result in early awareness for low- and moderate-income families 
of their eligibility for assistance under this title. It also 
authorizes the Advisory Committee to make recommendations that 
will expand partnerships among Federal and State Governments, 
institutions of higher education and the private sector.
    This section charges the Advisory Committee with reviewing 
regulations under title IV of the Higher Education Act and 
making recommendations to the Secretary to minimize regulatory 
burdens for institutions of higher education. In the review of 
regulations, the Advisory Committee shall convene not less than 
two review panels of representatives of the relevant groups to 
determine the necessity of the regulations, and recommend to 
the Secretary the elimination of regulations that are 
duplicative, unnecessary, inconsistent with other Federal 
requirements or overly burdensome. The Advisory Committee shall 
submit recommendations to the authorizing committees and the 
Secretary not later than 2 years after the completion of 
negotiated rulemaking.
    This section also charges the Advisory Committee with 
conducting a study of innovative pathways to baccalaureate 
degree attainment, such as dual enrollment, Pell grant program 
changes, simplification, compressed or modular scheduling, 
articulation agreements and programs that allow 2-year 
institutions to offer BA degrees.

Section 485. Regional meetings

    Section 485 adds State student grant agencies groups whose 
input the Secretary shall seek in meetings and rulemaking under 
this section.

Section 486. Year 2000 Requirements at the Department

    Section 486 repeals the language describing required 
preparations to ensure the year 2000 did not interrupt the 
Department's processes and services.

Part G--Program integrity

Section 491. Recognition of accrediting agency or association

    Section 491 expands the criteria required for an 
accrediting agency to be determined reliable by the Secretary 
for those agencies or associations seeking to evaluate 
institutions or programs offering distance education, and 
changes the factors that an accrediting agency must consider in 
accrediting institutions of higher education offering distance 
education. This section also expands the criteria agencies must 
consider when evaluating institutions of higher education, 
requiring such agencies to consider student retention rates, 
course completion rates, program completion and graduation 
rates, and as appropriate, State licensing examinations, job 
placement rates, enrollment in graduate and professional 
programs, and other student performance information selected by 
the institution, particularly that information used by the 
institution to evaluate or strengthen its programs.
    The agency or association must also demonstrate to the 
Secretary that it will apply review procedures throughout the 
accrediting process that comply with due process procedures, 
including an opportunity for written response prior to final 
action being taken, and the opportunity to appeal any adverse 
action taken. The appeals board must not include current 
members of the agency or association's underlying 
decisionmaking body that made the adverse decision and it must 
be subject to a conflict of interest policy. The agency must 
make available to the public and the State licensing or 
authorizing agency, and must submit to the Secretary, a summary 
of agency or association actions, including the accreditation 
or reaccreditation of an institution, including any final 
denial, withdrawal, suspension or termination of accreditation, 
or placement on probation of an institution, and any findings 
made in connection with those actions, together with the 
official comments of the affected institution.
    This section also requires accrediting agencies to ensure 
that their onsite evaluation includes a review of the federally 
required information the institution or program provides to its 
current and prospective students, and they are monitoring the 
growth of programs at institutions experiencing significant 
growth. Agencies must also require institutions of higher 
education to submit a teach-out plan for approval to the agency 
when any of the following occur: the Department notifies the 
accrediting agency of an action against the institution 
pursuant to section 487(d); the accrediting agency acts to 
withdraw, terminate, or suspend the accreditation of an 
institution; or the institution notifies the accrediting agency 
that the institution intends to cease operations.
    This section also requires that an agency or association 
must confirm as part of its accreditation process that an 
institution publicly discloses its transfer of credit policies, 
and whether the institution denies transfer of credit based 
solely on the accreditation of the sending institution.
    Nothing in this section shall be construed to permit the 
Secretary to establish criteria that specify, define or 
prescribe the standards that accrediting agencies or 
associations shall use to assess an institution's success with 
respect to student achievement.

Section 492. Administrative capacity standard

    Section 492 adds a subsection on the Treatment of Teach-
Outs at Additional Locations. A location of a closed 
institution of higher education will be eligible as an 
additional location of an eligible institution of higher 
education for the purpose of a teach-out, if such teach-out has 
been approved by the institution's accrediting agency.
    An institution of higher education that conducts a teach-
out through the establishment of an additional location at a 
closed institution will be permitted to make that a permanent 
additional location without being required to assume the 
liabilities of the closed institution or be in existence for 2 
years before establishing eligibility.

Section 493. Program review and data

    Section 493 requires the Secretary to provide an 
institution with an adequate opportunity to review and respond 
to any program review report, and any relevant materials 
related to the report, before a final program review report is 
issued.
    The Secretary will review and consider an institution's 
response in any final program review determination. The 
Secretary, at all times, will maintain and preserve the 
confidentiality of any program review report or determination 
until the requirements of paragraphs (6) and (7) are met, and 
until a final program review determination is issued, other 
than to the extent required to comply with paragraph (5), 
except that the Secretary will promptly disclose any and all 
program review reports to the institution of higher education 
under review.

Section 494. Timely information about loans

    Section 494 requires lenders of loans made, insured or 
guaranteed under Title IV of the Higher Education Act of 1965 
to provide all borrowers with a bill each payment installment 
time period, that shall provide such borrower with clear and 
conspicuous notice of the borrower's principal borrowed, 
current balance, interest rate on each loan, the amount the 
borrower has already paid in interest, the total additional 
interest payments the borrower is expected to pay over the life 
of the loan, the total amount the borrower has paid for the 
loan, including the amount the borrower has paid in interest, 
the amount the borrower has paid in fees, and the amount the 
borrower has paid against the balance, in a brief, borrower-
friendly manner, a description of each fee the borrower has 
been charged for the current payment period, the date by which 
the borrower needs to make a payment in order to avoid 
additional fees, the amount of such payment that will be 
applied to the interest, the balance, and any fees on the loan; 
and the lender's address and toll-free phone number for payment 
and billing error purposes.
    Lenders must also provide borrowers with clear and 
conspicuous notice, at least 1 month prior to a loan entering 
repayment, of information regarding the borrower's options, 
including repayment plans, deferments, forbearances, and 
discharge options to which the borrower may be entitled; the 
conditions under which a borrower may be charged any fee, and 
the amount of such fee; the conditions under which a loan may 
default, and the consequences of default; resources, including 
nonprofit organizations, advocates, and counselors (including 
the Office of the Ombudsman at the Department), where borrowers 
can receive advice and assistance, if such resources exist.
    If a borrower enters default, a lender must provide the 
borrower at least twice with a clear and conspicuous notice of 
not less than the following information: The options available 
to the borrower to be removed from default; the relevant fees 
and conditions associated with each option.

Section 495. Auction evaluation and report

    Section 495 specifies that if Congress establishes a pilot 
program for the auction of Federal PLUS loans, the Comptroller 
General shall evaluate such a pilot program. The evaluation 
shall determine the extent of the savings to the Federal 
Government that are generated through the pilot program, 
compared to the cost the Federal Government would have incurred 
in operating the parent loan program under Section 428B of the 
Higher Education Act of 1965 in the absence of a pilot program; 
the number of lenders that participated in the pilot program, 
and the extent to which the pilot program generated competition 
among lenders to participate in the auctions under the pilot 
program; the effect of the transition to and operation of the 
pilot program on the ability of lenders participating in the 
pilot to originate loans made through the pilot smoothly and 
efficiently, the ability of institutions of higher education 
participating in the pilot program to disburse loans made 
through the program smoothly and efficiently, and the ability 
of parents to obtain loans made through the pilot program in a 
timely and efficient manner; the differential impact, if any, 
of the auction among the States, including between rural and 
non-rural States; and the feasibility of using the mechanism 
piloted to operate the other programs under Part B of Title IV 
of the Higher Education Act. The Comptroller General shall 
submit a preliminary report to the authorizing committees not 
later than September 1, 2010, with the information included in 
the evaluation; shall submit an interim report not later than 
September 1, 2012 regarding such findings; and shall submit a 
final report not later than September 1, 2014, regarding such 
findings.

                    Title V--Developing Institutions

Section 501. Authorized activities

    Section 501 establishes that institutions may use grant aid 
for education or counseling services designed to improve 
financial literacy of students or their parents. Funds may be 
used to develop articulation agreements and facilitate the 
transfer of students from 2-year to 4-year institutions. 
Institutions may also utilize grant aid for customized remedial 
education and English language instruction courses designed to 
retain students and prepare students to enroll in core courses 
and successfully complete degree and major requirements.

Section 502. Postbaccalaureate opportunities for Hispanic Americans

    Section 502 creates a new program that authorizes the 
Secretary of Education to award grants to eligible Hispanic-
serving institutions that offer postbaccalaureate certificates 
or degree-granting programs.
    Grant awards may be used to fund the following types of 
activities: purchasing scientific or laboratory equipment, 
books, and other educational material; constructing, 
maintaining or renovating classrooms, libraries, or other 
instructional facilities; supporting faculty and curriculum 
development, outreach, academic support services, mentoring and 
financial assistance; and collaborating with other colleges and 
universities to expand postbaccalaureate certificate 
opportunities or degree granting programs.
    An application for a grant must explain how funds would be 
used to improve postbaccalaureate education opportunities for 
Hispanic and low-income students and would lead to students 
gaining greater financial independence. The Secretary of 
Education shall award grants to Hispanic-serving institutions 
for up to 5 years and colleges and universities are only to 
receive one award per fiscal year.

Section 503. Applications

    Section 503 makes a technical change.

Section 504. Cooperative arrangements

    Section 504 makes a technical change.

Section 505. Authorization of appropriations

    Section 505 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

               Title VI--International Education Programs

Section 601. Findings

    Section 601 revises the findings section to reflect changes 
in the world's geopolitical and economic landscapes that have 
created a need for American expertise and knowledge about a 
greater diversity of less commonly taught languages and nations 
of the world. This title supports centers, programs, and 
fellowships in American institutions of higher education, 
including programs partnering with overseas institutions, to 
increase the numbers of trained personnel and research in 
foreign language, area studies and other international studies. 
The Secretary shall consult with appropriate Federal agencies 
to determine national priorities in these areas and shall 
assist programs funded under this title to develop surveys of 
participants to determine placement after graduation.

Section 602. Graduate and undergraduate language and area centers and 
        programs

    Section 602 authorizes the Secretary to make grants to 
institutions of higher education to support comprehensive 
foreign language or area study centers, including a network of 
undergraduate programs. Grants may support teaching and 
research materials, curriculum planning and development, 
linkages with foreign institutions, instructors of less 
commonly taught languages, and activities to improve 
instruction. Fellowships support students at advanced study 
levels, including doctoral and post-doctoral candidates. 
Requires each applicant to explain how the activities funded by 
the grant will reflect diverse perspectives and a wide range of 
views.

Section 603. Undergraduate international studies and foreign language 
        programs

    Section 603 authorizes the Secretary to make grants under 
this section to establish, strengthen and operate national 
language resource and training centers at the undergraduate 
level. The funds from these grants may provide for the 
development of new teaching materials, the conducting or 
dissemination of research, the training of teachers or the 
expansion of experiences for students in foreign countries. In 
the application, in addition to program quality information, 
the applicant must include how the grantee will inform students 
about federally funded scholarship programs in related areas, 
and how the grantee will encourage service in areas of national 
need. Only 20 percent of funds may support undergraduate study, 
and only 10 percent of total awarded funds may be used for 
study abroad.

Section 604. Research; studies

    Section 604 establishes that the Secretary may, directly or 
through grants or contracts, conduct research and studies that 
contribute to achieving the purposes of this part including 
comparative studies; research on instructional strategies; 
studies to assess the need for area studies and language 
instruction; evaluations of the extent to which programs funded 
under this title reflect diverse perspectives and generate 
debate on world regions and international affairs; and 
systematic collection, analysis and dissemination of data that 
contribute to the purposes of this title.

Section 605. Technological innovation and cooperation for foreign 
        information access

    Section 605 authorizes the Secretary to make grants to 
institutions of higher education, public or non-profit private 
libraries or consortia of such institutions or libraries to 
develop innovative ways to use electronic technologies to 
collect, organize, preserve, and widely disseminate information 
from foreign sources. Grants may be awarded to an institution 
of higher education, a public or non-profit private library, or 
a consortium of an institution of higher education plus another 
institution of higher education, or a library, or a non-profit 
educational organization.

Section 606. Selection of certain grant recipients

    Section 606 provides that in considering grant applications 
under this title, the Secretary shall evaluate each application 
based on established criteria. The Secretary shall also 
consider the applicant's record of sending students into areas 
of national need.

Section 607. American overseas research centers

    Section 607 authorizes the Secretary to make grants to and 
enter into contracts with any American overseas research center 
that is a consortium of institutions of higher education. Each 
center desiring a grant shall submit the required information. 
Grant funds may support faculty salaries, faculty and student 
travel, teaching and research material, conferences, and 
publications.

Section 608. Authorization of appropriations for international and 
        foreign language studies

    Section 608 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Section 609. Centers for international business education

    Section 609 authorizes the Secretary to award grants to 
institutions of higher education to operate international 
centers for business education that will be national resources 
for improved business techniques. Such grants will require 
assurance that diverse perspectives will be made available to 
students in programs under this section.

Section 610. Education and training programs

    Section 610 authorizes the Secretary to award grants to 
institutions of higher education to promote linkages between 
such institutions and the American business community engaged 
in international business. Such grants will provide diverse 
perspectives and a wide range of views on world regions and 
international affairs, when applicable.

Section 611. Authorization and appropriations for business and 
        international education programs

    Section 611 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Section 612. Minority foreign service professional development program

    Section 612 authorizes the Secretary to award grants to 
Historically Black Colleges or Universities that serve a 
substantial number of minority students, or an institution of 
higher education with programs in training Foreign Service 
professionals to establish an Institute for International 
Public Policy to increase the participation of underrepresented 
minorities in international service fields. Such programs shall 
reflect diverse perspectives and a wide range of views on world 
regions and international affairs, when applicable. The 
applicant must provide a 50 percent match of Federal funds, but 
the Secretary has the right to waive the match requirement if 
the Secretary determines a waiver is appropriate.

Section 613. Institutional development

    Section 613 specifies that the Institute shall award grants 
to minority-serving institutions to strengthen international 
business and foreign language study programs, in addition to 
international affairs, international business, and foreign 
language study programs. This shall include the teaching of 
foreign languages.

Section 614. Study abroad program

    Section 614 specifies that the Institute shall conduct a 
junior-year abroad program.

Section 615. Advanced degree in international relations

    Section 615 specifies that the Institute shall provide a 
program of study that leads to master's degrees and, in 
exceptional circumstances, doctoral degrees.

Section 616. Internships

    Section 616 establishes that the Institute shall work with 
eligible institutions of higher education to establish relevant 
internships for students in the international studies field.

Section 617. Financial assistance

    Section 617 allows the Institute to provide financial 
assistance to needy students in the form of summer stipends of 
up to $3,000 or Ralph Bunche scholarships of up to $5,000 per 
academic year. Summer stipends shall be used for participation 
in a summer institute program, and can be applied to travel, 
living, and educational expenses. Ralph Bunche scholarships 
shall be used for full-time students to pay costs related to 
attendance at the institution of higher education at which the 
student is enrolled.

Section 618. Report

    Section 618 requires the Institute to submit a report 
biennially on the activities conducted under this title to the 
Secretary of Education and the Secretary of State.

Section 619. Gifts and donations

    Section 619 specifies that the biennial report shall 
include all gifts and donations received by the Institute.

Section 620. Authorization of appropriations for the institute for 
        international public policy

    Section 620 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Section 621. Definitions

    Section 621 amends the definition of a ``Tribal College or 
University'' to include institutions identified in the Tribally 
Controlled College or University Assistance Act of 1978.
    Renames ``comprehensive language and area center'' as 
``comprehensive foreign language and area or international 
studies center'' and ``undergraduate language and area center'' 
as ``undergraduate foreign language and area or international 
studies center.''

Section 622. Assessment and enforcement

    Section 622 authorizes the Secretary to assess and ensure 
compliance with all the conditions and terms of grants provided 
under this title. If a complaint regarding activities under 
this title is not resolved under the process outlined in the 
relevant grantee's application, such complaint shall be filed 
with the Secretary, who shall take the review of such 
complaints into account when determining the renewal of grants.
    The Secretary may use no more than 1 percent of the funds 
available under this title for program evaluation, national 
outreach, and information dissemination activities relating to 
the programs authorized under this title.
    The Secretary shall, in consultation with the Secretaries 
of State and Defense, and the heads of other relevant Federal 
agencies, submit a biennial report to be made available to the 
authorizing committees and the public identifying areas of 
national need in foreign language, area, and international 
studies, and a plan to address those needs.

       Title VII--Graduate and Postsecondary Improvement Programs

Part A--Graduate education programs

Section 701. Purpose

    Section 701 identifies mathematics, science, engineering 
and other areas critical to the United States' national and 
homeland security needs as areas of focus for national graduate 
fellowship programs that are designed to sustain and enhance 
the capacity for graduate education.

Section 702. Allocation of Jacob K. Javits fellowships

    Section 702 adds two considerations to the qualifications 
of Board members appointed by the Secretary. The Secretary will 
appoint members to represent the various geographic regions of 
the United States and include representatives from minority-
serving institutions, as defined in section 365.

Section 703. Stipends

    Section 703 clarifies that stipends provided under this 
section are to be of an amount equal to those provided through 
the National Science Foundation's ``Graduate Research 
Fellowship Program.''

Section 704. Authorization of appropriations for the Jacob K. Javits 
        fellowship program

    Section 704 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Section 705. Institutional eligibility under the graduate assistance in 
        areas of national need program

    Section 705 specifies that in designating areas of national 
need, the Secretary is required to consult with appropriate 
Federal and nonprofit agencies and organizations, including the 
National Science Foundation, the Department of Defense, the 
Department of Homeland Security, the National Academy of 
Sciences, and the Bureau of Labor Statistics. The Secretary 
must also take into consideration an assessment of current and 
future professional workforce needs of the United States, when 
making these designations.

Section 706. Awards to graduate students

    Section 706 requires that for individuals who receive their 
first stipend in academic year 2008-2009, the amount shall be 
set at an amount equal to that provided by the ``Graduate 
Research Fellowship Program'' administered by the National 
Science Foundation.

Section 707. Additional assistance for cost of education

    Section 707 updates the years used in determining payments 
amounts from 1999-2000 to 2008-09, and from 1998-99 to 2007-08.

Section 708. Authorization of appropriations for the graduate 
        assistance in areas of national need program

    Section 708 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Section 709. Legal educational opportunity program

    Section 709 expands those eligible for the Thurgood 
Marshall Legal Opportunity Program to include secondary school 
students as well as college students, and expands uses 
accordingly throughout. Expands eligible uses to include 
admission to law practice and preparation of eligible students 
for completion of a baccalaureate degree. Authorizes the 
Secretary to use grant funds for Thurgood Marshall Fellowships 
for eligible law school students who participate in summer 
institutes for Thurgood Marshall Fellows or who have completed 
comparable summer institute programs certified by the Council 
on Legal Opportunity. Adds national and State bar associations 
as eligible subgrant recipients.

Section 710. Fund for the improvement of postsecondary education

    Section 710 expands the provision regarding the 
institutions and programs based on the technology of 
communication to include the establishment and continuation of 
institutions, programs, consortia, collaborations, and other 
joint efforts based on the technology of communications, 
including efforts that use distance education and technological 
advancements to educate and train postsecondary students, 
including health professionals serving medically underserved 
populations.
    This section adds a new provision to include reforms in 
remedial education, including English language instruction and 
remedial courses customized to student goals to help students 
progress into core courses and complete programs.
    A provision is added for the creation of consortia that 
join institutions of higher education to design and offer 
curricular and co-curricular interdisciplinary programs of 
undergraduate and graduate study to focus on poverty and human 
capability. Such programs shall include a service learning 
component and educational activities that stress the effects of 
poverty and how poverty can be alleviated through different 
career paths.
    This section also creates a new grant to provide support 
and assist programs that are implementing integrated education 
reform services to improve secondary school graduation, college 
attendance, and college completion rates among at-risk 
students, and to promote the establishment of new programs to 
implement such integrated education reform services. The 
Secretary is authorized to award a grant to Project GRAD, a 
non-profit educational organization that has as its purpose the 
improvement of secondary school, college attendance, and 
college completion rates for at-risk students, in order to 
implement and sustain the reforms at current Project GRAD sites 
and expand the program to new sites. Project GRAD shall enter 
into agreements with subcontractor nonprofit organizations that 
shall provide matching funds, and shall implement the Project 
GRAD programs, evaluate and improve the Project GRAD programs, 
carry out activities to increase public awareness of integrated 
education reform services to improve secondary school 
graduation, college attendance, and college completion rates, 
and carry out other activities directly related to increasing 
secondary school graduation, college attendance, and college 
completion rates.
    This section also adds a provision to authorize the 
Secretary to award a grant or contract to an institution of 
higher education to establish and maintain a Center for best 
practices to support single parent students. The grant or 
contract shall be awarded to an institution of higher education 
with demonstrated expertise in relevant programs. The center 
shall assist institutions implementing innovative programs that 
support single parents pursuing higher education, develop an 
evaluation protocol for such programs, provide technical 
assistance for institutions implementing such programs, and 
develop and disseminate best practices regarding such programs.
    This section also adds a provision to help institutions of 
higher caution understand the regulatory impact of the Federal 
Government on them. The Secretary is authorized to award a 
grant or contract to an institution of higher education with 
demonstrated relevant expertise, to monitor Federal regulations 
for their impact on higher education, provide a succinct 
description of each regulation or proposed regulation that is 
relevant to higher education, and maintain an easy-to-use 
website providing information on such Federal regulations that 
is searchable and regularly updated.
    Finally, this section requires the Secretary to contract 
with an experienced nonprofit organization to implement a 
scholarship program for family members of veterans or members 
of the military. A dependent student is eligible if their 
parent is on active duty or performing certain duty in the 
National Guard during a war, military operation or national 
emergency, or if their parent was a veteran who died or became 
disabled while on duty since September 11, 2001. An independent 
student is eligible if their spouse is on active duty or 
performing certain duty in the National Guard during a war, 
military operation or national emergency, or if their spouse 
was a veteran who died or became disabled while on duty since 
September 11, 2001. The scholarships will be awarded based on 
need, with priority given to students eligible for Pell Grants. 
The maximum scholarship amount will be the lesser amount of 
either $5,000 or the difference between the student's cost of 
attendance and any non-loan based aid the student receives. One 
hundred percent of amounts appropriated for this scholarship 
program shall be used for the scholarships awarded.

Section 711. Special projects

    Section 711 expands areas of national need to include 
improvements in academic instruction and student learning, 
including efforts designed to assess the learning gains made by 
postsecondary students; as well as the development, evaluation, 
and dissemination of model programs including model core 
curricula that provide students with a broad and integrated 
knowledge base, including broad survey courses in English 
literature, American and world history, American political 
institutions, economics, philosophy, college-level mathematics 
and natural sciences, and sufficient study of a foreign 
language to lead to reading and writing competency in that 
language.

Section 712. Authorization of appropriations for the fund for the 
        improvement of postsecondary education

    Section 712 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Section 713. Repeal of the Urban Community Service Program

    Section 713 repeals the Urban Community Service Program.

Section 714. Grants for students with disabilities

    Section 714 specifies that the teaching methods and 
strategies designed to teach students with disabilities 
authorized under these grants in current law must now meet the 
academic and programmatic needs of students with disabilities 
in order to improve retention and completion of postsecondary 
education.
    The allowable activities under these grants are expanded to 
include the development of innovative and effective teaching 
methods and strategies to ensure the successful transition of 
students with disabilities from secondary schools to 
postsecondary education. Allowable activities are also expanded 
to include synthesizing research and information related to the 
provision of postsecondary educational services to students 
with disabilities, the use of data on the postsecondary 
education of and impact on subsequent employment of students 
with disabilities. Such research, information and data will be 
made publicly available and accessible.
    Finally, the authorized activities under these grants are 
expanded to include activities to make postsecondary education 
more accessible to students with disabilities through: (1) 
innovative and effective teaching methods and strategies to 
provide faculty and administrators with the ability to provide 
accessible distance education programs or classes that would 
enhance access to higher education for students with 
disabilities, including the use of accessible curriculum and 
electronic communication for instruction and advisement; (2) 
training and support to secondary and postsecondary staff to 
encourage interest in and understanding of educational 
opportunities in, teaching skills, and offer work-based 
opportunities in disability-related fields, including students 
with disabilities. This training and support may include 
developing means to offer students credit-bearing, college-
level coursework and career and educational counseling; and (3) 
curriculum development.
    The Secretary will prepare and disseminate a report 
reviewing the demonstration projects and providing guidance and 
recommendations on how successful projects can be replicated.
    A new subpart 2 is created and titled ``Transition Programs 
for Students With Disabilities Into Higher Education; 
Coordinating Center.'' This new subpart will aim to support 
model demonstration programs that promote the successful 
transition of students with intellectual disabilities into 
higher education.
    Under this subpart, the Secretary is authorized to award 5-
year grants on a competitive basis to institutions of higher 
education or consortia of such institutions to create or expand 
high-quality, inclusive model comprehensive transition and 
postsecondary programs for students with disabilities. Such 
programs shall be a degree, certificate, or non-degree program 
offered by an institution of higher education that is designed 
for students with intellectual disabilities who seek to 
continue academic, vocational, or independent living 
instruction at the institution in order to prepare for gainful 
employment, includes an advising curriculum structure, and 
requires the enrollment of the student in the equivalent of not 
less than half-time course of study as determined by the 
institution. Preference shall be given to institutions of 
higher education or consortia of institutions in a State that 
does not already have a comprehensive transition and 
postsecondary program for students with intellectual 
disabilities, or agree to incorporate one or more specified 
elements into the program carried out under the grant.
    The Secretary shall prepare and disseminate a report 
reviewing the activities of the model comprehensive transition 
and postsecondary programs for students with intellectual 
disabilities authorized under this subpart and provide guidance 
and recommendations on how successful programs can be 
replicated.
    The Secretary shall enter into a 5-year cooperative 
agreement with an eligible entity, for the purpose of 
establishing a coordinating center for technical assistance, 
evaluation, and development of accreditation standards for 
institutions of higher education that offer inclusive model 
comprehensive transition and post-secondary programs for 
students with intellectual disabilities.

Section 715. Applications for demonstration projects to ensure students 
        with disabilities receive a quality higher education

    Section 715 specifies that each application will now 
include a description of how the applicant plans to address the 
activities allowed under this part. Each application will now 
include a description of the extent to which the institution 
will work to replicate the research and best practices of 
institutions of higher education with demonstrated success in 
serving students with disabilities.

Section 716. Authorization of appropriations for demonstration projects 
        to ensure students with disabilities receive a quality higher 
        education

    Section 716 authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Section 717. Research grants

    Section 717 authorizes the Secretary to award competitive 
grants to eligible entities to develop or improve valid and 
reliable measures of student achievement for institutions of 
higher education to use in measuring and evaluating learning in 
higher education. Eligible entities include institutions of 
higher education, a State agency responsible for higher 
education, a recognized higher education accrediting agency or 
organization of higher education accreditation agencies, an 
eligible applicant described in Section 174(c) of the Education 
Sciences Reform Act of 2002 (such as a research organization or 
individual with demonstrated ability to carry out the necessary 
activities), and a consortium of any combination of these 
entities. Each eligible entity may use the grant funds to 
improve the quality, validity and reliability of existing 
assessments used by institutions of higher education; to 
develop measures of student achievement using multiple measures 
from multiple sources; to measure improvement in student 
achievement over time; to evaluate student achievement; to 
develop models of effective practices; and for a pilot or 
demonstration project of measures of student achievement. An 
eligible entity that receives a grant under this section must 
match 50 percent of the amount received from the Federal grant 
with non-Federal sources in cash or in kind for each fiscal 
year. Funds under this section must supplement, not supplant, 
other Federal or State funds. The Secretary is required to 
report to Congress on the implementation of the grant program 
annually.

                       Title VIII--Miscellaneous

    The purpose of this title is to provide new programs to 
offer opportunities for increased success in higher education. 
Each new part under section 801 is added to the end of the 
Higher Education Act of 1965.

Part A--Mathematics and science scholars program

    This part authorizes the Secretary to award grants to 
States on a competitive basis to enable a State to award 
scholarships of up to $1,000 to students within that State who 
have completed a rigorous secondary school curriculum in 
mathematics or science. States are required to meet a 50 
percent match of the Federal funds.
    The students are eligible for the scholarships for their 
first 2 years of college, and governors may set a priority for 
awarding these scholarships to attract students who are 
underrepresented in mathematics, engineering and science 
fields, students in high-need school districts, or students who 
attend school districts that do not meet or exceed State 
mathematics and science standards or districts in regions in 
the State that have particular need.

Part B--Postsecondary education assessment

    This part authorizes the Secretary to enter into a contract 
with an independent, bipartisan organization with specific 
expertise in public administration to complete an assessment of 
the cost factors associated with cost of tuition at 
institutions of higher education. The contract will begin not 
later than 90 days after the date of enactment of this act. The 
study shall consider the key elements that drive cost, identify 
and evaluate measures being used to control costs, identify 
other measures that should be utilized in the future and 
identify systemic approaches to monitor future postsecondary 
education cost trends and cost-control mechanisms.

Part C--Job skill training in high-growth occupations or industries

    This part authorizes the Secretary to award competitive 
grants for up to 5 years to partnerships of institutions of 
higher education and a local Workforce Investment Board to 
provide relevant job training in high growth industries or 
occupations, including entrepreneurial efforts. The Secretary 
shall award grants to eligible partnerships to expand or create 
academic programs or programs to train individuals for high-
growth occupations, to purchase equipment or create or expand 
distance programs that would facilitate those programs, and to 
conduct outreach to students and businesses to promote 
involvement in such programs. Priority will be given to 
institutions serving nontraditional students.

Part D--Additional capacity for R.N. students or graduate-level nursing 
        students

    This part authorizes the Secretary to award grants to 
institutions of higher education that offer an R.N. nursing 
program at the baccalaureate or associate degree level to 
expand the faculty and facilities of such program to 
accommodate additional R.N. nursing students; or to 
institutions of higher education that offer post-graduate level 
degrees for either advanced practice nurses, or for prospective 
teachers in nursing programs, or both, to expand the faculty 
and facilities of such programs to accommodate additional post-
graduate students. Grants shall be awarded for each academic 
year in the amount of $3,000 multiplied by the number of 
matriculated nursing students at such institution for the 
academic year that is greater than the average at that 
institution for the previous 4 years.

Part E--American history for freedom

    This part authorizes the Secretary to award 3-year 
competitive grants to eligible institutions of higher education 
to establish or strengthen postsecondary academic programs or 
centers that promote the teaching of traditional American 
history, free institutions and the history and achievements of 
Western civilization. Funds may be used to design and implement 
programs of study, courses, lecture series, seminars and 
symposia; develop, publish and disseminate instructional 
materials; conduct research; conduct teacher preparation 
initiatives; and support fellowships. Grantees must increase 
access to quality programming that expands knowledge of 
American History and involve personnel with strong expertise in 
traditional American history.

Part F--Teach for America

    This part authorizes the Secretary to award a non-
competitive grant to Teach for America to conduct outreach 
activities to undergraduate and graduate students to attract 
them to participate in the Teach for America program. The 
program attracts college graduates to teach for up to 2 years 
in underserved schools. Grant funds will be used for 
recruitment, pre-service training and professional development 
during their first 2 years of teaching under this program. 
Teach for America shall submit an annual report and the 
Secretary shall conduct a study of the program outcomes.

Part G--Patsy T. Mink Fellowship Program

    The Secretary shall award grants to eligible institutions 
of higher education to enable such institutions to make 
fellowship awards to assist highly qualified minorities and 
women to acquire the highest degree available in academic areas 
where such individuals are underrepresented in the 
professoriate. The Secretary shall consider the representation 
of women and minority faculty members, the current and 
projected need for faculty and the need to prepare professors 
in areas of national need such as mathematics and science. In 
awarding grants, each institution shall award no less than 15 
fellowships. Fellows shall sign an agreement to enter a 
contract to teach at an institution of higher education not 
later than 3 years after receiving the doctoral degree or 
highest possible degree available. Individuals who do not enter 
the professoriate shall repay the fellowship.

Part H--Improving college enrollment by secondary schools

    The Secretary shall contract with a not-for-profit 
organization to make available year-to-year higher education 
enrollment rate trends by secondary schools. The grant 
recipient shall have demonstrated expertise in increasing 
schoolwide higher education enrollment rates in low-income 
communities, and in college transition data management.
    The Secretary shall also contract with such nonprofit 
organization to identify not less than 50 urban local 
educational agencies and 5 States with significant rural 
populations, each of which serves a significant number of low-
income students, to carry out comprehensive needs assessments 
of the factors known to contribute to improved higher education 
enrollment rates, including factors such as evaluation of the 
local educational agency's and State's leadership strategies, 
the secondary school curriculum and class offerings of the 
local educational agency and State, the professional 
development used by the local educational agency and State to 
assist teachers, higher education counselors, and 
administrators in supporting the transition of secondary 
students into higher education, secondary school student 
attendance, the data systems used by the local educational 
agencies and the State to measure college enrollment rates and 
the incentives in place to motivate faculty and students to 
improve school-wide outcomes, and strategies to mobilize 
student leaders and build college bound culture.
    The nonprofit shall also provide comprehensive services to 
improve school-wide higher education enrollments of each of at 
least 10 local educational agencies and States that 
participated in the comprehensive needs assessment and have 
demonstrated a willingness and commitment to improving the 
higher education enrollment rates of the local educational 
agency or State.

Part I--Predominantly Black Institutions

    This part authorizes the Secretary to award grants under a 
new grant program to Predominantly Black Institutions. Grant 
funds shall be used to plan, develop, undertake and implement 
programs to enhance the institution's capacity to serve more 
low- and middle-income Black American students, to expand 
higher education opportunities for title IV eligible students 
by encouraging college preparation and student persistence in 
secondary school and postsecondary education, and to strengthen 
the ability of the Predominantly Black Institution to serve 
such students. Grant funds may be used for academic instruction 
in disciplines in which Black Americans are unrepresented, to 
establish or enhance a program of teacher education designed to 
qualify students to teach in a public elementary school or 
secondary school in the State, or to establish community 
outreach programs that will encourage elementary school and 
secondary school students to develop the academic skills and 
interest to pursue postsecondary education, among other uses. 
Up to 20 percent of each grant may also be used to establish or 
increase an endowment fund, in which case the institution must 
raise an equal amount from non-federal sources.
    Priority for such grants shall be given to Predominantly 
Black Institutions with large numbers of needy or Black 
students. Grants shall not be less than $250,000.

Part J--Early Childhood Education Professional Development and Career 
        Task Force

    This part authorizes a new competitive grant program for 
States. Grant funds shall be used to be used to establish State 
Early Childhood Education Professional Development and Career 
System Task Forces and to support the activities of such task 
force.
    Such State Task Forces may be new entities or may be 
existing entities designated by the Governor for this purpose. 
They shall include at least five members representing 
specifically designated stakeholders, and shall carry out 
activities including conducting periodic needs assessments of 
the demographics of individuals working in early childhood 
education programs in the State and a review of opportunities 
for and barriers to high quality professional development and 
training in early childhood development and learning. The State 
Task Force shall develop a plan for a comprehensive state-wide 
career system, including methods of outreach to early childhood 
education program staff; developing a unified data collection 
and dissemination system for early childhood training, 
professional development, and higher education programs; 
providing resources for the costs of enrolling in and 
completing postsecondary education programs; developing 
mentoring and coaching programs to support new teachers in and 
directors of early childhood education programs; supporting 
professional development activities and a career lattice; 
supporting articulation agreements between 2- and 4-year 
institutions and other mechanisms to earn academic credit; 
providing career development advising with respect to the field 
of early childhood education; and providing a system of quality 
assurance with respect to the early childhood education 
professional development and career system, including standards 
or qualifications for individuals and entities who offer 
training and professional development in early childhood 
education.
    The State Task Force shall hold public hearings and provide 
an opportunity for public comment on the contents of the State 
plan. The State Task Force shall meet periodically to review 
implementation of the plan and propose changes as needed.

Part K--Improving science, technology, engineering, and mathematics 
        education with a focus on Alaska Native and Native Hawaiian 
        students

    Authorizes a grant to an eligible partnership to develop or 
expand programs for the development of science, technology, 
engineering or mathematics professionals from elementary 
schools through college, including existing programs for Alaska 
Native and Native Hawaiian students. Eligible partnerships 
shall be partnerships of one or more colleges or schools of 
engineering, one or more colleges or schools of science, 
engineering, or mathematics, one or more institutions of higher 
education that offer 2-year degrees, or one or more private 
entities that conduct career awareness activities showcasing 
local technology professionals, develop internships, 
apprenticeships and mentoring programs in partnership with 
relevant industries, and assist with the placement of interns 
and apprentices.
    Grant funds shall be used to develop or implement cultural, 
social, or educational transition programs to assist students 
to transition into college life and academics in order to 
increase such students' retention rates in the fields of 
science, technology, engineering, or mathematics, with a focus 
on Alaska Native or Native Hawaiian students; development or 
implementation of academic support or supplemental educational 
programs to increase the graduation rates of students in the 
fields of science, technology, engineering, or mathematics, 
with a focus on Alaska Native or Native Hawaiian students; 
development or implementation of internship programs, carried 
out in coordination with educational institutions and private 
entities, to prepare students for careers in the fields of 
science, technology, engineering, or mathematics, with a focus 
on Alaska Native or Native Hawaiian students; or other 
activities consistent with the purposes of this section.
    Priority for grants shall be given to an eligible 
partnership that provides 1 or more programs in which 30 
percent or more of the program participants are Alaska Native 
or Native Hawaiian.
    This part authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Part L--Pilot program to increase persistence in community colleges

    This part authorizes the Secretary to award 5-year grants 
to community colleges, on a competitive basis, to enable them 
to provide additional monetary and non-monetary support to 
eligible students to help such students maintain enrollment and 
complete degree or certificate programs. Eligible students must 
be between the ages of 19 and 33, enrolled at least half time, 
have family incomes below 200 percent of the poverty line, and 
be the parent of at least one dependent child.
    Institutions shall use grant funds to provide scholarships 
and dedicated counseling services, and may use such funds to 
conduct outreach to make students aware of the scholarships and 
counseling services available through the program and to 
encourage participation in the program; to provide nominal 
gifts to applicants who complete the application process, as an 
incentive and as compensation for the student's time; and to 
evaluate the success of the program. Scholarships funded under 
this section shall be in the amount of $1,000 a semester or 
$2,000 a year, disbursed at intervals over the course of the 
semester, and shall only be awarded to students who maintain at 
least half-time enrollment and a 2.0 or C grade point average.
    Each institution receiving a grant under this section shall 
conduct an annual evaluation of the impact of the grant and 
shall provide the evaluation to the Secretary, who shall 
disseminate to the public best practices and lessons learned 
with respect to the evaluations. The evaluations shall be 
conducted using a random assignment research design.
    This part authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

Part M--Student safety and campus emergency management

    This part authorizes a new grant program for institutions 
of higher education to develop and improve their campus safety 
and emergency response systems. Grants shall be awarded by the 
Secretary of Education, in consultation with the Attorney 
General and the Secretary of Homeland Security. Grant funds may 
be used to develop and implement emergency communications 
systems, for security assessments, for training of security 
personnel, and to coordinate mental health crisis response and 
intervention services for students enrolled in the institution 
of higher education affected by a campus or community 
emergency. These communications procedures may incorporate the 
use of radio announcements, television alerts, audible alert 
signals, public address announcements, and other means of 
communication, so that each institution participating shall be 
able to communicate with students, employees, and others on the 
campus of the institution, within a reasonable and timely 
manner in the event of a significant emergency or dangerous 
situation.
    This part authorizes such sums as may be necessary for 
fiscal year 2008 and the 5 succeeding fiscal years.

                   Title IX--Amendments to Other Laws

Part A--Education of the Deaf Act

Section 901. Laurent Clerc National Deaf Education Center

    Section 901 names the Laurent Clerc National Deaf Education 
Center, as the entity to provide quality education for deaf 
individuals through its Clerc Center, and technical assistance, 
outreach and training programs for parents and teachers of 
children who are deaf. By no later than the beginning of the 
2009-10 academic year, the elementary and secondary programs at 
the Center shall adopt and implement standards and assessments 
pursuant to Section 1111(b) of the Elementary and Secondary 
Education Act, subject to approval by the Secretary. The 
University shall determine whether the Clerc programs are 
making adequate yearly progress and publicly report the 
findings, as required by the Elementary and Secondary Education 
Act.

Section 902. Agreement with Gallaudet University

    Section 902 updates the reference to the Davis-Bacon Act in 
this language.

Section 903. Agreement for the National Technical Institute for the 
        Deaf

    Section 903 names the Rochester Institute of Technology as 
the partner institution for the establishment and operation, 
including construction and equipment, of a National Technical 
Institute for the Deaf. Specifies that if the Secretary or 
Rochester Institute terminates the agreement the Secretary 
shall consider other proposals to establish and operate a 
National Technical Institution for the Deaf.

Section 904. Cultural experiences grants

    Section 904 amends title I of the Education of the Deaf Act 
of 1986 (20 U.S.C. 4301 et seq.) by adding at the end a new 
section 121 creating Cultural Experiences Grants. The section 
authorizes the Secretary to award competitive grants or 
contracts with eligible entitles to enrich the lives of deaf 
and hard-of-hearing children and adults; increase public 
understanding of deafness and the artistic and intellectual 
achievements of deaf and hard-of-hearing persons; and promote 
the integration of hearing, deaf, and hard-of-hearing persons 
through shared cultural, educational, and social experiences. 
Funds are authorized ``as may be necessary'' to carry out this 
section for fiscal year 2008 and each of the succeeding fiscal 
years.

Section 905. Audit

    Section 905 limits the requirements of annual independent 
financial and compliance audit of the relevant institution of 
higher education to cover only the activities of the National 
Technical Institute for the Deaf, and clarified that such audit 
shall be conducted on a fiscal year cycle.

Section 906. Reports

    Section 906 excludes preparatory programs from those 
programs about which the University must report enrollment, 
graduation, and post-graduation employment information. Changes 
the date of the University's requirement to report the 
differences in disposition of individuals from minority 
backgrounds with those students from non-minority backgrounds 
from the date of graduation or completion of their studies to 1 
year after graduation or completion. Limits the requirements of 
the report as compared to current law.

Section 907. Monitoring, evaluation, and reporting

    Section 907 removes reference to the Department of 
Education Organization Act when stating that the Secretary 
should submit an annual report to Congress on the University's 
monitoring and evaluation activities of and legislative 
recommendations regarding the University's programs, activities 
and administrative operations. Changes period of authorization 
of appropriations under this section to fiscal years 2008 
through 2013.

Section 908. Liaison for educational programs

    This section also requires the Secretary to designate a 
liaison between the Department of Education and Gallaudet 
University, the National Technical Institute for the Deaf, and 
other postsecondary educational programs for individuals who 
are deaf under the Individuals with Disabilities Education Act, 
the Rehabilitation Act of 1973, and other Federal or non-
Federal agencies, institutions, or organizations involved with 
the education or rehabilitation of individuals who are deaf or 
hard of hearing.

Section 909. Federal endowment programs for Gallaudet University and 
        the National Technical Institute for the Deaf

    Section 909 extends the authorization of appropriations for 
fiscal years 2008 through 2013.

Section 910. Oversight and effect of agreements

    Section 910 updates correct names of committees where 
relevant.

Section 911. International students

    Section 911 establishes that preparatory students no longer 
count toward the University's and NTID's respective enrollment 
caps of international students; nor do international students 
residing abroad and participating in distance learning courses 
through NTID or the University. This section also states that 
U.S. citizens who apply for distance learning courses shall not 
be denied participation because of the participation of 
international students, and such distance education 
international students will not be charged a tuition surcharge. 
Postsecondary international students from a non-developing 
country enrolled at the University or NTID shall continue to 
pay a 100-percent tuition surcharge. The section reduces the 
surcharge paid by postsecondary international students from a 
developing country enrolled at the University or NTID from 100 
percent to 50 percent. It also requires the University and NTID 
to develop a sliding scale model for tuition surcharge 
reduction for international students, from both developing and 
non-developing countries, that can demonstrate financial need. 
The section also defines ``developing country'' for the 
purposes of this section.

Section 912. Research priorities

    Section 912 updates correct names of committees where 
relevant.

Section 913. Authorization of Appropriations

    Section 913 extends the authorization of appropriations for 
fiscal year 2008 through 2013.

Part B--United States Institute of Peace Act

Section 921. United States Institute of Peace Act

    Section 921 clarifies that the term of a member of the 
Board shall not commence until the member is confirmed by the 
Senate and sworn in as a member of the Board. It also extends 
the authorization of appropriations for the United States 
Institute of Peace for fiscal years 2008-13.

Part C--The Higher Education Amendments of 1998

Section 931. Repeals

    Section 931 repeals the following sections of Title VII of 
the Higher Education Amendments of 1998: part A (Studies), part 
C (Community Scholarship Mobilization), part F (Improving U.S. 
Understanding of Science, Engineering and Technology in East 
Asia), part J (Web Based Education Commission), section 861 
(Education Welfare Study) and section 863 (Sense of Congress 
Regarding Good Character).

Section 932. Grants to States for workplace and community-transition 
        training for incarcerated youth offenders

    Section 932 amends the Higher Education Amendments of 1998. 
It establishes a grant program to provide grants to State 
correctional agencies to assist and encourage youth offenders 
to acquire functional literacy, life and job skills, through 
postsecondary education and employment counseling and other 
related services. A youth offender shall be eligible for 
participation in a program funded by this grant if he/she is 35 
or younger, and is eligible to be released within 5 years. A 
youth offender who has been convicted of murder, or of a 
criminal offense against a minor or a sexually violent offense, 
as the terms are defined in the Jacob Wetterling Crimes Against 
Children and Sexually Violent Offender Registration Act, is not 
eligible for a grant under this section. An application for a 
grant under this section must identify the scope of the 
problem, list the educational institution(s), agencies and 
businesses that will provide services, describe specific 
performance objectives, and evaluation measures, among other 
information. State correctional agencies receiving such grants 
shall annually report to the Secretary regarding the results of 
such evaluations, as well as other objectives or requirements 
required by the Secretary; and must provide to each State for 
each student eligible not more than $3,000 annually for 
tuition, books and essential materials; and $300 annually for 
related services. Grant funds made available under this section 
shall be allocated among the State via a formula based on the 
number of eligible youthful offenders in each State.

Section 933. Underground railroad educational and cultural program

    Section 933 extends the authorization of appropriations for 
fiscal years 2008 through 2013 for the Underground Railroad 
Educational and Cultural Program.

Section 934. Olympic scholarships under the higher education amendments 
        of 1992

    Section 934 extends the authorization of appropriations for 
fiscal years 2008 through 2013 for Olympic scholarships under 
the Higher Education Amendments of 1998.

Part D--Indian Education

              SUBPART 1--TRIBAL COLLEGES AND UNIVERSITIES

Section 941. Reauthorization of the Tribally Controlled College or 
        University Assistance Act of 1978

    Section 941 defines ``National Indian Organization'' to 
mean an organization that is nationally based, represents a 
substantial Indian constituency and has expertise in the fields 
of tribally controlled colleges and university and Indian 
higher education. ``Indian Student'' means a student who is a 
member of an Indian tribe or a biological child of a member of 
an Indian tribe, living or deceased.
    In a continuing education program, eligible credits shall 
be determined as one credit for every 10 contact hours in a 
quarter system, or 15 contact hours in the case of an 
institution with a semester system. These hours must be 
completed in an organized continuing education experience with 
responsible sponsorship, capable direction and qualified 
instruction, as described by the International Association for 
Continuing Education and Training. No more than 10 percent of 
the Indian student count of a tribally controlled college or 
university shall receive such credits. The section also strikes 
the prohibition on credit hours earned by an Indian student not 
making satisfactory progress toward a degree or certificate 
being taken into account.
    To be eligible for grant assistance under this Act, a 
tribally controlled college or university must be accredited by 
a nationally recognized accrediting agency or association, or 
must be making reasonable progress toward accreditation 
according to such an agency or association.
    The Secretary shall require that contracts for technical 
assistance be awarded to an organization designated by the 
tribally controlled college or university to be assisted.
    The Secretary shall grant to each tribally controlled 
college or university with an approved application an amount 
equal to the product of multiplying the Indian student count at 
such college or university during the academic year preceding 
the academic year and $8,000, with the latter adjusted annually 
for inflation.
    For technical assistance contracts under this section, 
authorizes $3.2 million for fiscal year 2008 and 5 succeeding 
years. Authorize such sums as shall be necessary for fiscal 
year 2008 and the succeeding 5 years for grants to tribally 
controlled colleges or universities and the renovation program 
and construction of new facilities under this title.
    Changes authorized funding level of grants for the 
establishment and support of tribal economic development and 
education institutes from $2,000,000 per fiscal year to such 
sums as may be necessary. Authorizes such funding for fiscal 
year 2008 and the succeeding 5 years.
    Section 941(j) adds at the end of the Tribally Controlled 
College or University Assistance Act of 1978 (25 U.S.C. 1801, 
et seq.) by adding at the end a new subtitle V on Tribally 
Controlled Postsecondary Career and Technical Institutions.
    The term ``tribally controlled postsecondary career and 
technical institution'' aligns with the definition of the term 
in the Carl D. Perkins Career and Technical Education Act.
    Subject to the availability of appropriations, for fiscal 
year 2008 and each fiscal year thereafter, the Secretary shall 
provide funding to the United Tribes Technical College and the 
Navajo Technical College to operate postsecondary career and 
technical programs for Indian students, so long as the 
Secretary determines that those institutions meet the 
definition of a ``tribally controlled postsecondary career and 
technical institution'' defined herein.
    States that this funding shall be provided in a lump sum 
payment for each applicable fiscal year. States that, for 
fiscal year 2009 and each fiscal year thereafter, the Secretary 
shall distribute an amount equal to the greater of either the 
appropriated amount for fiscal year 2006 or the appropriated 
amount for fiscal year 2008.
    If, for any fiscal year, the authorized amount exceeds the 
higher of the amount of fiscal year 2006 or fiscal year 2008, 
the Secretary shall distribute a portion of the excess amount 
to each institution according to each school's proportion of 
the aggregate Indian student count of the two institutions the 
prior academic year.
    States that funds made available under this title shall be 
subject to the Indian Self-Determination and Education 
Assistance Act. A selected institution may elect to receive 
funds in accordance with an agreement between the institution 
and the Secretary if the agreement exists on the date of 
enactment of the Higher Education Amendments of 2007. 
Eligibility for, or receipt of, assistance under this title 
shall not preclude the eligibility of the institution to 
receive Federal financial assistance under any program of the 
Higher Education Act, any program under the Carl D. Perkins 
Career and Technical Education Act of 2006, or any other 
program that provides a benefit for institutions of higher 
education, community colleges or postsecondary educational 
institutions.
    There are authorized to be appropriated for this new 
subsection such sums as may be necessary for fiscal year 2008 
and 5 succeeding fiscal years. This is the final portion of the 
new Subsection V of the Tribally Controlled College or 
University Assistance Act of 1978 (25 U.S.C. 1801, et seq.).
    Subject to the availability of appropriations, the 
Secretary shall make grants to provide support for the 
education and training of Indian students to institutions that 
are not receiving Federal assistance as of the date on which 
the grant is provided under Title I of the Tribally Controlled 
College or University Assistance Act of 1978 or the Navajo 
Community College Act.
    The short title of the Tribally Controlled College or 
University Assistance Act of 1978 (25 U.S.C. 1801 note; Public 
Law 95-471) is changed to the ``Tribally Controlled Colleges 
and Universities Assistance Act of 1978,'' and clarifies that 
any reference in law to the previous short title shall be 
considered a reference to the amended Act.

                   SUBPART 2--NAVAJO HIGHER EDUCATION

Section 945. Short title

    Section 945 states that this subpart is entitled the 
``Navajo Nation Higher Education Act of 2006.''

Section 946. Reauthorization of Navajo Community College Act

    Section 946 amends the purpose of the act so the purpose to 
assist the Navajo Nation in providing education to tribe 
members through a community college established by the tribe, 
known as Dine College.
    This section also amends the Navajo Community College Act 
to require the Secretary to study the academic facilities needs 
of Dine College and report to Congress no later than October 
31, 2010. Funds to carry out this section may be drawn from 
general administrative appropriations to the Secretary.
    This section also authorizes such sums as may be necessary 
for fiscal year 2008 and the succeeding 5 fiscal years for 
construction activities, including construction of buildings, 
water and sewer facilities, roads, information technology and 
telecommunications infrastructure, classrooms, and external 
structures. Such sums as are necessary shall also be 
appropriated to pay the cost of maintenance of the college, 
major capital improvements, mandatory payments, supplemental 
student services, and to improve and expand the college by 
providing higher education programs, career and technical 
education, activities relating to the preservation and 
protection of the Navajo language, philosophy and culture, 
employment and training opportunities, economic development and 
community outreach, and a safe learning, working and living 
environment.

                      IX. Changes in Existing Law

    In compliance with rule XXVI paragraph 12 of the Standing 
Rules of the Senate, the following provides a print of the 
statute or the part or section thereof to be amended or 
replaced (existing law proposed to be omitted is enclosed in 
black brackets, new matter is printed in italic, existing law 
in which no change is proposed is shown in roman):

HIGHER EDUCATION ACT OF 1965

           *       *       *       *       *       *       *

                    TITLE I--GENERAL PROVISIONS \1\

                          PART A--DEFINITIONS

SEC. 101. [20 U.S.C. 1001] GENERAL DEFINITION OF INSTITUTION OF HIGHER 
                    EDUCATION.

    (a) Institution of Higher Education.--* * *
          (1) * * *

           *       *       *       *       *       *       *

          (3) provides an educational program for which the 
        institution awards a bachelor's degree or provides not 
        less than a 2-year program that is acceptable for full 
        credit toward such a degree, or awards a degree that is 
        acceptable for admission to a graduate or professional 
        degree program, subject to the review and approval by 
        the Secretary;

           *       *       *       *       *       *       *

    (b) Additional Institutions Included.--* * *
          (1) * * *
          [(2) a public or nonprofit private educational 
        institution in any State that, in lieu of the 
        requirement in subsection (a)(1), admits as regular 
        students persons who are beyond the age of compulsory 
        school attendance in the State in which the institution 
        is located.]
          (2) a public or nonprofit private educational 
        institution in any State that, in lieu of the 
        requirement in subsection (a)(1), admits as regular 
        students persons--
                  (A) who are beyond the age of compulsory 
                school attendance in the State in which the 
                institution is located; or
                  (B) who will be dually or concurrently 
                enrolled in the institution and a secondary 
                school.

           *       *       *       *       *       *       *

SEC. 102. [20 U.S.C. 1002] DEFINITION OF INSTITUTION OF HIGHER 
                    EDUCATION FOR PURPOSES OF TITLE IV PROGRAMS.

    (a) Definition of Institution of Higher Education for 
Purposes of Title IV Programs.--

           *       *       *       *       *       *       *

          (1) * * *
          (2) Institutions Outside the United States.--
                  (A) In general.--* * *
                          (i) * * *
                                  (I)(aa) * * *

           *       *       *       *       *       *       *

                                  [(II) the institution has a 
                                clinical training program that 
                                was approved by a State as of 
                                January 1, 1992; or]
                                  (II) the institution has or 
                                had a clinical training program 
                                that was approved by a State as 
                                of January 1, 1992, and has 
                                continuously operated a 
                                clinical training program in 
                                not less than 1 State that is 
                                approved by such State;

           *       *       *       *       *       *       *

    (b) Proprietary Institution of Higher Education.--
          (1) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) is accredited by a nationally recognized 
                accrediting agency or association recognized by 
                the Secretary pursuant to part H of title IV; 
                and
                  (E) has been in existence for at least 2 
                years[; and].
                  [(F) has at least 10 percent of the school's 
                revenues from sources that are not derived from 
                funds provided under title IV, as determined in 
                accordance with regulations prescribed by the 
                Secretary.
          [(2) Additional institutions.--The term ``proprietary 
        institution of higher education'' also includes a 
        proprietary educational institution in any State that, 
        in lieu of the requirement in paragraph (1) of section 
        101(a), admits as regular students persons who are 
        beyond the age of compulsory school attendance in the 
        State in which the institution is located.]
          (2) Additional institutions.--The term ``proprietary 
        institution of higher education'' also includes a 
        proprietary educational institution in any State that, 
        in lieu of the requirement in section 101(a)(1), admits 
        as regular students persons--
                  (A) who are beyond the age of compulsory 
                school attendance in the State in which the 
                institution is located; or
                  (B) who will be dually or concurrently 
                enrolled in the institution and a secondary 
                school.

           *       *       *       *       *       *       *

    (c) Postsecondary Vocational Institution.--
          (1) * * *

           *       *       *       *       *       *       *

          [(2) Additional institutions.--The term 
        ``postsecondary vocational institution'' also includes 
        an educational institution in any State that, in lieu 
        of the requirement in paragraph (1) of section 101(a), 
        admits as regular students persons who are beyond the 
        age of compulsory school attendance in the State in 
        which the institution is located.]
          (2) Additional institutions.--The term 
        ``postsecondary vocational institution'' also includes 
        an educational institution in any State that, in lieu 
        of the requirement in section 101(a)(1), admits as 
        regular students persons--
                  (A) who are beyond the age of compulsory 
                school attendance in the State in which the 
                institution is located; or
                  (B) who will be dually or concurrently 
                enrolled in the institution and a secondary 
                school.

           *       *       *       *       *       *       *

SEC. 103. [20 U.S.C. 1003] ADDITIONAL DEFINITIONS.

    In this Act:
          (1) Authorizing committees.--The term ``authorizing 
        committees'' means the Committee on Health, Education, 
        Labor, and Pensions of the Senate and the Committee on 
        Education and Labor of the House of Representatives.
          [(1)](2) Combination of institutions of higher 
        education.--* * * 
          (3) Critical foreign language.--The term ``critical 
        foreign language'' means each of the languages 
        contained in the list of critical languages designated 
        by the Secretary in the Federal Register on August 2, 
        1985 (50 Fed. Reg. 149, 31412; promulgated under the 
        authority of section 212(d) of the Education for 
        Economic Security Act (repealed by section 2303 of the 
        Augustus F. Hawkins-Robert Stafford Elementary and 
        Secondary School Improvement Amendments of 1988)), 
        except that in the implementation of this definition 
        with respect to a specific title, the Secretary may set 
        priorities according to the purposes of such title and 
        the national security, economic competitiveness, and 
        educational needs of the United States.
          [(2)](4) Department.--* * *
          [(3)](5) Disability.--* * *
          (6) Distance education.--
                  (A) In general.--Except as otherwise 
                provided, the term ``distance education'' means 
                education that uses 1 or more of the 
                technologies described in subparagraph (B)--
                          (i) to deliver instruction to 
                        students who are separated from the 
                        instructor; and
                          (ii) to support regular and 
                        substantive interaction between the 
                        students and the instructor, 
                        synchronously or asynchronously.
                  (B) Inclusions.--For the purposes of 
                subparagraph (A), the technologies used may 
                include--
                          (i) the Internet;
                          (ii) one-way and two-way 
                        transmissions through open broadcast, 
                        closed circuit, cable, microwave, 
                        broadband lines, fiber optics, 
                        satellite, or wireless communications 
                        devices;
                          (iii) audio conferencing; or
                          (iv) video cassette, DVDs, and CD-
                        ROMs, if the cassette, DVDs, and CD-
                        ROMs are used in a course in 
                        conjunction, with the technologies 
                        listed in clauses (i) through (iii).
          [(4)](7) Elementary school.--* * *
          [(5)](8) Gifted and talented.--* * *
          [(6)](9) Local educational agency.--* * *
          [(7)](10) New borrower.--* * *
          [(8)](11) Nonprofit.--* * *
          (12) Poverty line.--The term ``poverty line'' means 
        the poverty line (as defined in section 673(2) of the 
        Community Services Block Grant Act (42 U.S.C. 9902(2))) 
        applicable to a family of the size involved.
          [(9)](13) School or department of divinity.--* * *

           *       *       *       *       *       *       *

          [(10)](14) Secondary school.--* * *
          [(11)](15) Secretary.--* * *
          [(12)](16) Service-learning.--* * *
          [(13)](17) Special education teacher.--* * *
          [(14)](18) State educational agency.--* * *
          [(15)](19) State higher education agency.--* * *
          [(16)](20) State; freely associated states.--* * *

           *       *       *       *       *       *       *

SEC. 112. [20 U.S.C. 1011A] PROTECTION OF STUDENT SPEECH AND 
                    ASSOCIATION RIGHTS.

    (a) Protection of Rights.--(1) It is the sense of Congress 
that no student attending an institution of higher education on 
a full- or part-time basis should, on the basis of 
participation in protected speech or protected association, be 
excluded from participation in, be denied the benefits of, or 
be subjected to discrimination or official sanction under any 
education program, activity, or division of the institution 
directly or indirectly receiving financial assistance under 
this Act, whether or not such program, activity, or division is 
sponsored or officially sanctioned by the institution.
    (2) It is the sense of Congress that--
                  (A) the diversity of institutions and 
                educational missions is one of the key 
                strengths of American higher education;
                  (B) individual colleges and universities have 
                different missions and each institution should 
                design its academic program in accordance with 
                its educational goals;
                  (C) a college should facilitate the free and 
                open exchange of ideas;
                  (D) students should not be intimidated, 
                harassed, discouraged from speaking out, or 
                discriminated against;
                  (E) students should be treated equally and 
                fairly; and
                  (F) nothing in this paragraph shall be 
                construed to modify, change, or infringe upon 
                any constitutionally protected religious 
                liberty, freedom, expression, or association.
    (b) Construction.--Nothing in this section shall be 
construed--
          (1) to discourage the imposition of an official 
        sanction on a student that has willfully participated 
        in the disruption or attempted disruption of a lecture, 
        class, speech, presentation, or performance made or 
        scheduled to be made under the auspices of the 
        institution of higher education, or provided that the 
        imposition of such sanction is done objectively and 
        fairly: or

           *       *       *       *       *       *       *

[SEC. 114. [20 U.S.C. 1011C] NATIONAL ADVISORY COMMITTEE ON 
                    INSTITUTIONAL QUALITY AND INTEGRITY.

    [(a) Establishment.--There is established in the Department 
a National Advisory Committee on Institutional Quality and 
Integrity (hereafter in this section referred to as the 
``Committee''), which shall be composed of 15 members appointed 
by the Secretary from among individuals who are representatives 
of, or knowledgeable concerning, education and training beyond 
secondary education, including representatives of all sectors 
and types of institutions of higher education (as defined in 
section 102), to assess the process of eligibility and 
certification of such institutions under title IV and the 
provision of financial aid under title IV.
    [(b) Terms of Members.--Terms of office of each member of 
the Committee shall be 3 years, except that any member 
appointed to fill a vacancy occurring prior to the expiration 
of the term for which the member's predecessor was appointed 
shall be appointed for the remainder of such term.
    [(c) Public Notice.--The Secretary shall--
          [(1) annually publish in the Federal Register a list 
        containing the name of each member of the Committee and 
        the date of the expiration of the term of office of the 
        member; and
          [(2) publicly solicit nominations for each vacant 
        position or expiring term of office on the Committee.
    [(d) Functions.--The Committee shall--
          [(1) advise the Secretary with respect to 
        establishment and enforcement of the standards of 
        accrediting agencies or associations under subpart 2 of 
        part H of title IV;
          [(2) advise the Secretary with respect to the 
        recognition of a specific accrediting agency or 
        association;
          [(3) advise the Secretary with respect to the 
        preparation and publication of the list of nationally 
        recognized accrediting agencies and associations;
          [(4) develop and recommend to the Secretary standards 
        and criteria for specific categories of vocational 
        training institutions and institutions of higher 
        education for which there are no recognized accrediting 
        agencies, associations or State agencies, in order to 
        establish the eligibility of such institutions on an 
        interim basis for participation in federally funded 
        programs;
          [(5) advise the Secretary with respect to the 
        eligibility and certification process for institutions 
        of higher education under title IV, together with 
        recommendations for improvements in such process;
          [(6) advise the Secretary with respect to the 
        relationship between--
                  [(A) accreditation of institutions of higher 
                education and the certification and eligibility 
                of such institutions; and
                  [(B) State licensing responsibilities with 
                respect to such institutions; and
          [(7) carry out such other advisory functions relating 
        to accreditation and institutional eligibility as the 
        Secretary may prescribe.
    [(e) Meeting Procedures.--The Committee shall meet not less 
than twice each year at the call of the Chairperson. The date 
of, and agenda for, each meeting of the Committee shall be 
submitted in advance to the Secretary for approval. A 
representative of the Secretary shall be present at all 
meetings of the Committee.
    [(f) Report.--Not later than November 30 of each year, the 
Committee shall make an annual report through the Secretary to 
Congress. The annual report shall contain--
          [(1) a list of the members of the Committee and their 
        addresses;
          [(2) a list of the functions of the Committee;
          [(3) a list of dates and places of each meeting 
        during the preceding fiscal year; and
          [(4) a summary of the activities, findings and 
        recommendations made by the Committee during the 
        preceding fiscal year.
    [(g) Termination.--The Committee shall cease to exist on 
September 30, 2004.]

SEC. 114. ACCREDITATION AND INSTITUTIONAL QUALITY AND INTEGRITY 
                    COMMITTEE.

    (a) Establishment.--There is established in the Department 
an Accreditation and Institutional Quality and Integrity 
Advisory Committee (in this section referred to as the 
``Committee'') to assess the process of accreditation and the 
institutional eligibility and certification of such 
institutions under title IV.
    (b) Membership.--
          (1) In general.--The Committee shall have 15 members, 
        of which--
                  (A) 5 members shall be appointed by the 
                Secretary;
                  (B) 5 members shall be appointed by the 
                Speaker of the House of Representatives upon 
                the recommendation of the majority leader and 
                minority leader of the House of 
                Representatives; and
                  (C) 5 members shall be appointed by the 
                President pro tempore of the Senate upon the 
                recommendation of the majority leader and 
                minority leader of the Senate.
          (2) Qualifications.--Individuals shall be appointed 
        as members of the Committee on--
                  (A) the basis of the individuals' experience, 
                integrity, impartiality, and good judgment;
                  (B) from among individuals who are 
                representatives of, or knowledgeable 
                concerning, education and training beyond 
                secondary education, representatives of all 
                sectors and types of institutions of higher 
                education (as defined in section 102); and
                  (C) on the basis of the individuals' 
                technical qualifications, professional 
                standing, and demonstrated knowledge in the 
                fields of accreditation and administration in 
                higher education.
          (3) Terms of members.--The term of office of each 
        member of the Committee shall be for 6 years, except 
        that any member appointed to fill a vacancy occurring 
        prior to the expiration of the term for which the 
        member's predecessor was appointed shall be appointed 
        for the remainder of such term.
          (4) Vacancy.--A vacancy on the Committee shall be 
        filled in the same manner as the original appointment 
        was made not later than 90 days after the vacancy 
        occurred. If a vacancy occurs in a position to be 
        filled by the Secretary, the Secretary shall publish a 
        Federal Register notice soliciting nominations for the 
        position not later than 30 days after being notified of 
        the vacancy.
          (5) Initial terms.--The terms of office for the 
        initial members of the Committee shall be--
                  (A) 2 years for members appointed under 
                paragraph (1)(A);
                  (B) 4 years for members appointed under 
                paragraph (1)(B); and
                  (C) 6 years for members appointed under 
                paragraph (1)(C).
          (6) Chairperson.--The members of the Committee shall 
        select a chairperson from among the members.
    (c) Functions.--The Committee shall--
          (1) advise the Secretary with respect to 
        establishment and enforcement of the standards of 
        accrediting agencies or associations under subpart 2 of 
        part H of title IV;
          (2) advise the Secretary with respect to the 
        recognition of a specific accrediting agency or 
        association;
          (3) advise the Secretary with respect to the 
        preparation and publication of the list of nationally 
        recognized accrediting agencies and associations;
          (4) advise the Secretary with respect to the 
        eligibility and certification process for institutions 
        of higher education under title IV, together with 
        recommendations for improvements in such process;
          (5) advise the Secretary with respect to the 
        relationship between--
                  (A) accreditation of institutions of higher 
                education and the certification and eligibility 
                of such institutions; and
                  (B) State licensing responsibilities with 
                respect to such institutions; and
          (6) carry out such other advisory functions relating 
        to accreditation and institutional eligibility as the 
        Secretary may prescribe in regulation.
    (d) Meeting Procedures.--
          (1) Schedule.--
                  (A) Biannual meetings.--The Committee shall 
                meet not less often than twice each year, at 
                the call of the Chairperson.
                  (B) Publication of date.--The Committee shall 
                submit the date and location of each meeting in 
                advance to the Secretary, and the Secretary 
                shall publish such information in the Federal 
                Register not later than 30 days before the 
                meeting.
          (2) Agenda.--
                  (A) Establishment.--The agenda for a meeting 
                of the Committee shall be established by the 
                Chairperson and shall be submitted to the 
                members of the Committee upon notification of 
                the meeting.
                  (B) Opportunity for public comment.--The 
                agenda shall include, at a minimum, opportunity 
                for public comment during the Committee's 
                deliberations.
          (3) Secretary's designee.--
                  (A) Attendance at meeting.--The Chairperson 
                shall invite the Secretary's designee to attend 
                all meetings of the Committee.
                  (B) Role of designee.--The Secretary's 
                designee may be present at a Committee meeting 
                to facilitate the exchange and free flow of 
                information between the Secretary and the 
                Committee. The designee shall have no authority 
                over the agenda of the meeting, the items on 
                that agenda, or on the resolution of any agenda 
                item.
          (4) Federal advisory committee act.--The provisions 
        of the Federal Advisory Committee Act (5 U.S.C. App.) 
        shall apply to the Committee, except that section 14 of 
        such Act shall not apply.
    (e) Report and Notice.--
          (1) Notice.--The Secretary shall annually publish in 
        the Federal Register--
                  (A) a list containing, for each member of the 
                Committee--
                          (i) the member's name;
                          (ii) the date of the expiration of 
                        the member's term of office; and
                          (iii) the individual described in 
                        subsection (b)(1) who appointed the 
                        member; and
                  (B) a solicitation of nominations for each 
                expiring term of office on the Committee of a 
                member appointed by the Secretary.
          (2) Report.--Not later than September 30 of each 
        year, the Committee shall make an annual report to the 
        Secretary, the authorizing committees, and the public. 
        The annual report shall contain--
                  (A) a detailed summary of the agenda and 
                activities of, and the findings and 
                recommendations made by, the Committee during 
                the preceding fiscal year;
                  (B) a list of the date and location of each 
                meeting during the preceding fiscal year;
                  (C) a list of the members of the Committee 
                and appropriate contact information; and
                  (D) a list of the functions of the Committee, 
                including any additional functions established 
                by the Secretary through regulation.
    (f) Termination.--The Committee shall terminate on 
September 30, 2012.

           *       *       *       *       *       *       *

SEC. 120. [20 U.S.C. 1011I] DRUG AND ALCOHOL ABUSE PREVENTION.

    (a) Restriction on Eligibility.-- * * *
          (1) the annual distribution to each student and 
        employee of--
                  (A) * * *

           *       *       *       *       *       *       *

          (2) a biennial review by the institution of the 
        institution's program to--
                  (A) determine the program's effectiveness and 
                implement changes to the program if the changes 
                are needed; [and]
                  (B) determine the number of drug and alcohol-
                related incidents and fatalities that--
                          (i) occur on the institution's 
                        property or as part of any of the 
                        institution's activities; and
                          (ii) are reported to the institution;
                  (C) determine the number and type of 
                sanctions described in paragraph (1)(E) that 
                are imposed by the institution as a result of 
                drug and alcohol-related incidents and 
                fatalities on the institution's property or as 
                part of any of the institution's activities; 
                and
                  [(B)](D) ensure that the sanctions required 
                by paragraph (1)(E) are consistently enforced.

           *       *       *       *       *       *       *

SEC. 121. [20 U.S.C. 1011J] PRIOR RIGHTS AND OBLIGATIONS.

    (a) Authorization of Appropriations.--
          (1) Pre-1987 parts c and d of title vii.--There are 
        authorized to be appropriated such sums as may be 
        necessary for fiscal year [1999 and for each of the 4 
        succeeding fiscal years] 2008 and for each succeeding 
        fiscal year to pay obligations incurred prior to 1987 
        under parts C and of title VII, as such parts were in 
        effect before the effective date of the Higher 
        Education Amendments of 1992.
          (2) Post-1992 and pre-1998 part c of title vii.--
        There are authorized to be appropriated such sums as 
        may be necessary for fiscal year [1999 and for each of 
        the 4 succeeding fiscal years] 2008 and for each 
        succeeding fiscal year to pay obligations incurred 
        prior to the date of enactment of the Higher Education 
        Amendments of 1998 under part C of title VII, as such 
        part was in effect during the period--

           *       *       *       *       *       *       *

                    PART C--COST OF HIGHER EDUCATION

SEC. 131. [20 U.S.C. 1015] IMPROVEMENTS IN MARKET INFORMATION AND 
                    PUBLIC ACCOUNTABILITY IN HIGHER EDUCATION.

    (a) Improved Data Collection.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Information to institutions.--The Commissioner of 
        Education Statistics shall--
                  (A) * * *

           *       *       *       *       *       *       *

                  (B) not later than 90 days after the date of 
                enactment of the Higher Education Amendments of 
                1998, report the definitions to each 
                institution of higher education and within a 
                reasonable period of time thereafter inform the 
                [Committee on Labor and Human Resources of the 
                Senate and the Committee on Education and the 
                Workforce of the House of Representatives] 
                authorizing committees of those definitions; 
                and

           *       *       *       *       *       *       *

SEC. 132. TRANSPARENCY IN COLLEGE TUITION FOR CONSUMERS.

    (a) Net Price.--In this section, the term ``net price'' 
means the average yearly tuition and fees paid by a full-time 
undergraduate student at an institution of higher education, 
after discounts and grants from the institution, Federal 
Government, or a State have been applied to the full price of 
tuition and fees at the institution.
    (b) Higher Education Price Index.--
          (1) In general.--Not later than 1 year after the date 
        of enactment of the Higher Education Amendments of 
        2007, the Commission of the Bureau of Labor Statistics, 
        in consultation with the Commissioner of Education 
        Statistics and representatives of institutions of 
        higher education, shall develop higher education price 
        indices that accurately reflect the annual change in 
        tuition and fees for undergraduate students in the 
        categories of institutions listed in paragraph (2). 
        Such indices shall be updated annually.
          (2) Development.--The higher education price index 
        under paragraph (1) shall be developed for each of the 
        following categories:
                  (A) 4-year public degree-granting 
                institutions of higher education.
                  (B) 4-year private degree-granting 
                institutions of higher education.
                  (C) 2-year public degree-granting 
                institutions of higher education.
                  (D) 2-year private degree-granting 
                institutions of higher education.
                  (E) Less than 2-year institutions of higher 
                education.
                  (F) All types of institutions described in 
                subparagraphs (A) through (E).
          (3) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection such suns as may be necessary.
    (c) Reporting.--
          (1) In general.--The Secretary shall annually report, 
        in a national list and in a list for each State, a 
        ranking of institutions of higher education according 
        to such institutions' change in tuition and fees over 
        the preceding 2 years. The purpose of such lists is to 
        provide consumers with general information on pricing 
        trends among institutions of higher education 
        nationally and in each State.
          (2) Compilation.--
                  (A) In general.--The lists described in 
                paragraph (1) shall be compiled according to 
                the following categories:
                          (i) 4-year public institutions of 
                        higher education.
                          (ii) 4-year private, nonprofit 
                        institutions of higher education.
                          (iii) 4-year private, for-profit 
                        institutions of higher education.
                          (iv) 2-year public institutions of 
                        higher education.
                          (v) 2-year private, nonprofit 
                        institutions of higher education.
                          (vi) 2-year private, for-profit 
                        institutions of higher education.
                          (vii) Less than 2-year public 
                        institutions of higher education.
                          (viii) Less than 2-year private, 
                        nonprofit institutions of higher 
                        education.
                          (ix) Less than 2-year private, for-
                        profit institutions of higher 
                        education.
                  (B) Percentage and dollar change.--The lists 
                described in paragraph (1) shall include 2 
                lists for each of the categories under 
                subparagraph (A) as follows:
                          (i) 1 list in which data is compiled 
                        by percentage change in tuition and 
                        fees over the preceding 2 years.
                          (ii) 1 list in which data is compiled 
                        by dollar change in tuition and fees 
                        over the preceding 2 years.
          (3) Higher education price increase watch lists.--
        Upon completion of the development of the higher 
        education price indices described in paragraph (1), the 
        Secretary shall annually report, in a national list, 
        and in a list for each State, a ranking of each 
        institution of higher education whose tuition and fees 
        outpace such institution's applicable higher education 
        price index described in subsection (b). Such lists 
        shall--
                  (A) be known as the ``Higher Education Price 
                Increase Watch List'';
                  (B) report the full price of tuition and fees 
                at the institution and the net price;
                  (C) where applicable, report the average 
                price of room and board for students living on 
                campus at the institution, except that such 
                price shall not be used in determining whether 
                an institution's cost outpaces such 
                institution's applicable higher education price 
                index; and
                  (D) be compiled by the Secretary in a public 
                document to be widely published and 
                disseminated in paper form and through the 
                website of the Department.
          (4) State higher education appropriations chart.--The 
        Secretary shall annually report, in charts for each 
        State--
                  (A) a comparison of the percentage change in 
                State appropriations per enrolled student in a 
                public institution of higher education in the 
                State to the percentage change in tuition and 
                fees for each public institution of higher 
                education in the State for each of the previous 
                5 years; and
                  (B) the total amount of need-based and merit-
                based aid provided by the State to students 
                enrolled in a public institution of higher 
                education in the State.
          (5) Sharing of information.--The Secretary shall, 
        share the information under paragraphs (1) through (4) 
        with the public, including with private sector college 
        guidebook publishers.
    (d) Net Price Calculator.--
          (1) Development.--Not later than 1 year after the 
        date of enactment of the Higher Education Amendments of 
        2007, the Secretary shall, in consultation with 
        institutions of higher education, develop and make 
        several model net price calculators to help students, 
        families, and consumers determine the net price of an 
        institution of higher education, which institutions of 
        higher education may, at their discretion, elect to use 
        pursuant to paragraph (3).
          (2) Categories.--The model net price calculators 
        described in paragraph (1) shall be developed for each 
        of the following categories:
                  (A) 4-year public institutions of higher 
                education.
                  (B) 4-year private, nonprofit institutions of 
                higher education.
                  (C) 4-year private, for-profit institutions 
                of higher education.
                  (D) 2-year public institutions of higher 
                education.
                  (E) 2-year private, nonprofit institutions of 
                higher education.
                  (F) 2-year private, for-profit institutions 
                of higher education.
                  (G) Less than 2-year public institutions of 
                higher education.
                  (H) Less than 2-year private, nonprofit 
                institutions of higher education.
                  (I) Less than 2-year private, for-profit 
                institutions of higher education.
          (3) Use of net price calculator by institutions.--Not 
        later than 3 years after the date of enactment of the 
        Higher Education Amendments of 2007, each institution 
        of higher education that receives Federal funds under 
        this Act shall adopt and use a net price calculator to 
        help students, families, and other consumers determine 
        the net price of such institution of higher education. 
        Such calculator may be--
                  (A) based on a model calculator developed by 
                the Department; or
                  (B) developed by the institution of higher 
                education.
          (4) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection such sums as may be necessary.
    (e) Net Price Reporting in Application Information.--An 
institution of higher education that receives Federal funds 
under this Act shall include, in the materials accompanying an 
application for admission to the institution, the most recent 
information regarding the net price of the institution, 
calculated for each quartile of students based on the income of 
either the students' parents or, in the case of independent 
students (as such term is described in section 480), of the 
students, for each of the 2 academic years preceding the 
academic year for which the application is produced.
    (f) Enhanced College Information Website.--
          (1) In general.--
                  (A) In general.--Not later than 90 days after 
                the date of enactment of the Higher Education 
                Amendments of 2007, the Secretary shall 
                contract with an independent organization with 
                demonstrated experience in the development of 
                consumer-friendly websites to develop 
                improvements to the website known as the 
                College Opportunities On-Line (COOL) so that it 
                better meets the needs of students, families, 
                and consumers for accurate and appropriate 
                information on institutions of higher 
                education.
                  (B) Implementations.--Not later than 1 year 
                after the date of enactment of the Higher 
                Education Amendments of 2007, the Secretary 
                shall implement the improvements developed by 
                the independent organization described under 
                subparagraph (A) to the college information 
                website.
          (2) University and college accountability network.--
        Not later than 1 year after the date of enactment of 
        the Higher Education Amendments of 2007, the Secretary 
        shall develop a model document for annually reporting 
        basic information about an institution of higher 
        education that chooses to participate, to be posted on 
        the college information website and made available to 
        institutions of higher education, students, families, 
        and other consumers. Such document shall be known as 
        the ``University and College Accountability Network'' 
        (U-CAN), and shall include, the following information 
        about the institution of higher education for the most 
        recent academic year for which the institution has 
        available data, presented in a consumer-friendly 
        manner:
                  (A) A statement of the institution's mission 
                and specialties.
                  (B) The total number of undergraduate 
                students who applied, were admitted, and 
                enrolled at the institution.
                  (C) Where applicable, reading, writing, 
                mathematics, and combined scores on the SAT or 
                ACT for the middle 50 percent range of the 
                institution's freshman class.
                  (D) Enrollment of full-time, part-time, and 
                transfer students at the institution, at the 
                undergraduate and (where applicable) graduate 
                levels.
                  (E) Percentage of male and female 
                undergraduate students enrolled at the 
                institution.
                  (F) Percentage of enrolled undergraduate 
                students from the State in which the 
                institution is located, from other States, and 
                from other countries.
                  (G) Percentage of enrolled undergraduate 
                students at the institution by race and ethnic 
                background.
                  (H) Retention rates for full-time and part-
                time first-time first-year undergraduate 
                students enrolled at the institution.
                  (I) Average time to degree or certificate 
                completion for first-time, first-year 
                undergraduate students enrolled at the 
                institution.
                  (J) Percentage of enrolled undergraduate 
                students who graduate within 2 years (in the 
                case of 2-year institutions), and 4, 5 and 6 
                years (in the case of 2- and 4-year 
                institutions).
                  (K) Number of students who obtained a 
                certificate or an associate's, bachelor's, 
                master's, or doctoral degree at the 
                institution.
                  (L) The undergraduate major areas of study 
                with the highest number of degrees awarded.
                  (M) The student-faculty ratio, and number of 
                full-time, part-time, and adjunct faculty at 
                the institution.
                  (N) Percentage of faculty at the institution 
                with the highest degree in their field.
                  (O) The percentage change in total price in 
                tuition and fees and the net price for an 
                undergraduate at the institution in each of the 
                preceding 5 academic years.
                  (P) The total average yearly cost of tuition 
                and fees, room and board, and books and other 
                related costs for an undergraduate student 
                enrolled at the institution, for--
                          (i) full-time undergraduate students 
                        living on campus;
                          (ii) full-time undergraduate students 
                        living off-campus; and
                          (iii) in the case of students 
                        attending a public institution of 
                        higher education, such costs for in-
                        State and out-of-State students living 
                        on and off-campus.
                  (Q) The average yearly grant amount 
                (including Federal, State, and institutional 
                aid) for a student enrolled at the institution.
                  (R) The average yearly amount of Federal 
                student loans, and other loans provided through 
                the institution, to undergraduate students 
                enrolled at the institution.
                  (S) The total yearly grant aid available to 
                undergraduate students enrolled at the 
                institution, from the Federal Government, a 
                State, the institution, and other sources.
                  (T) The percentage of undergraduate students 
                enrolled at the institution receiving Federal, 
                State, and institutional grants, student loans, 
                and any other type of student financial 
                assistance provided publicly or through the 
                institution, such as Federal work-study funds.
                  (U) The average net price for all 
                undergraduate students enrolled at the 
                institution.
                  (V) The percentage of first-year 
                undergraduate students enrolled at the 
                institution who live on campus and off campus.
                  (W) Information on the policies of the 
                institution related to transfer of credit from 
                other institutions.
                  (X) Information on campus safety required to 
                be collected under section 485(f).
                  (Y) Links to the appropriate sections of the 
                institution's website that provide information 
                on student activities offered by the 
                institution, such as intercollegiate sports, 
                student organizations, study abroad 
                opportunities, intramural and club sports, 
                specialized housing options, community service 
                opportunities, cultural and arts opportunities 
                on campus, religious and spiritual lift on 
                campus, and lectures and outside learning 
                opportunities.
                  (Z) Links to the appropriate sections of the 
                institution's website that provide information 
                on services offered by the institution to 
                students during and after college, such as 
                internship opportunities, career and placement 
                services, and preparation for further 
                education.
          (3) Consultation.--The Secretary shall ensure that 
        current and prospective college students, family 
        members of such students, and institutions of higher 
        education are consulted in carrying out paragraphs (1) 
        and (2).
          (4) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection such sums as may be necessary.
    (g) GAO Report.--The Comptroller General of the United 
States shall--
          (1) conduct a study on the time and cost burdens to 
        institutions of higher education associated with 
        completing the Integrated Postsecondary Education Data 
        System (IPEDS), which study shall--
                  (A) report on the time and cost burden of 
                completing the IPEDS survey for 4-year, 2-year, 
                and less than 2-year institutions of higher 
                education; and
                  (B) present recommendations for reducing such 
                burden;
          (2) not later than 1 year after the date of enactment 
        of the Higher Education Amendments of 2007, submit to 
        Congress a preliminary report regarding the findings of 
        the study described in paragraph (1); and
          (3) not later than 2 years after the date of 
        enactment of the Higher Education Amendments of 2007, 
        submit to Congress a final report regarding such 
        findings.

           *       *       *       *       *       *       *

SEC. 133. DATABASE OF STUDENT INFORMATION PROHIBITED.

    (a) Prohibition.--Except as described in (b), nothing in 
this Act shall be construed to authorize the development, 
implementation, or maintenance of a Federal database of 
personally identifiable information on individuals receiving 
assistance under this Act, attending institutions receiving 
assistance under this Act, or otherwise involved in any studies 
or other collections of data under this Act, including a 
student unit record system, an education bar code system, or 
any other system that tracks individual students over time.
    (b) Exception.--The provisions of subsection (a) shall not 
affect the loan obligation enforcement activities described in 
section 485B.
    (c) State Databases.--Nothing in this Act shall prohibit a 
State or a consortium of States from developing, implementing, 
or maintaining State-developed databases that track individuals 
over time, including student unit record systems that contain 
information related to enrollment, attendance, graduation and 
retention rates, student financial assistance, and graduate 
employment outcomes.

           *       *       *       *       *       *       *

SEC. 134. CLEAR AND EASY-TO-FIND INFORMATION ON STUDENT FINANCIAL AID.

    (a) Prominent Display.--The Secretary shall ensure that a 
link to current student financial aid information is displayed 
prominently on the home page of the Department website.
    (b) Enhanced Student Financial Aid Information.--
          (1) In general.--Not later than 180 days after the 
        date of enactment of the Higher Education Amendments of 
        2007, the Secretary shall contract with an independent 
        organization with demonstrated expertise in the 
        development of consumer-friendly websites to develop 
        improvements to the usefulness and accessibility of the 
        information provided by the Department on college 
        financial planning and student financial aid.
          (2) Implementation.--Not later than 1 year after the 
        date of enactment of the Higher Education Amendments of 
        2007, the Secretary shall implement the improvements 
        developed by the independent organization described 
        under paragraph (1) to the college financial planning 
        and student financial aid website of the Department.
          (3) Dissemination.--The Secretary shall make the 
        availability of the information on the website widely 
        known through a major media campaign and other forms of 
        communication.

           *       *       *       *       *       *       *

  PART D--ADMINISTRATIVE PROVISIONS FOR DELIVERY OF STUDENT FINANCIAL 
                               ASSISTANCE

SEC. 141. [20 U.S.C. 1018] PERFORMANCE-BASED ORGANIZATION FOR THE 
                    DELIVERY OF FEDERAL STUDENT FINANCIAL ASSISTANCE.

    (a) Establishment and Purpose.--
          (1) Establishment.--There is established in the 
        Department a Performance-Based Organization (hereafter 
        referred to as the ``PBO'') which shall be a discrete 
        management unit responsible for managing the 
        [operational]administrative and oversight functions 
        supporting the programs authorized under title IV of 
        this Act, as specified in subsection (b).
          (2) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) to provide greater flexibility in the 
                management [of the operational functions]and 
                administration of the Federal student financial 
                assistance programs;

           *       *       *       *       *       *       *

    (b) General Authority.--
          (1) * * *
                  (A) request the advice of, and work in 
                cooperation with, the Chief Operating Officer 
                in developing regulations, policies, 
                administrative guidance, or procedures 
                affecting [the information systems administered 
                by the PBO, and other functions performed by 
                the PBO]the Federal student financial 
                assistance programs authorized under title IV;

           *       *       *       *       *       *       *

                  [(C) assist the Chief Operating Officer in 
                identifying goals for the administration and 
                modernization of the delivery system for 
                student financial assistance under title IV.]
                  (C) assist the Chief Operating Officer in 
                identifying goals for--
                          (i) the administration of the systems 
                        used to administer the Federal student 
                        financial assistance programs 
                        authorized under title IV; and
                          (ii) the updating of such systems to 
                        current technology.
          (2) PBO functions.--Subject to paragraph (1), the PBO 
        shall be responsible for [administration of the 
        information and financial systems that support]the 
        administration of Federal student financial assistance 
        programs authorized under this title, excluding the 
        development of policy relating to such programs but 
        including the following:
                  (A) The administrative, accounting, and 
                financial management functions [of the delivery 
                system for Federal student assistance],for the 
                Federal student assistance programs authorized 
                under title IV, including--
                          [(i) the collection, processing and 
                        transmission of applicant data to 
                        students, institutions and authorized 
                        third parties, as provided for in 
                        section 483;
                          [(ii) design and technical 
                        specifications for software development 
                        and systems supporting the delivery of 
                        student financial assistance under 
                        title IV;]
                          (i) the collection, processing, and 
                        transmission of data to students, 
                        institutions, lenders, State agencies, 
                        and other authorized parties;
                          (ii) the design and technical 
                        specifications for software development 
                        and procurement for systems supporting 
                        the student financial assistance 
                        programs authorized under title IV;
                          (iii) all software and hardware 
                        acquisitions and all information 
                        technology contracts related to the 
                        [delivery]administration and management 
                        of student financial assistance under 
                        title IV;
                          (iv) all aspects of contracting for 
                        the information and financial systems 
                        supporting the student financial 
                        assistance programs under this title; 
                        [and]
                          (v) providing all customer service, 
                        training, and user support related to 
                        [systems that support those 
                        programs.]the administration of the 
                        Federal student assistance programs 
                        authorized under title IV; and
                          (vi) ensuring the integrity of the 
                        student assistance programs authorized 
                        under title IV.
                  (B) Annual development of a budget for the 
                [operations and services]activities and 
                functions of the PBO, in consultation with the 
                Secretary, and for consideration and inclusion 
                in the Department's annual budget submission.

           *       *       *       *       *       *       *

    (c) [Performance Plan and Report]Performance Plan, Report, 
and Briefing.--
          (1) Performance Plan.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

                  (C) Areas.--* * *
                          (i) * * *

           *       *       *       *       *       *       *

                          (iii) Improvement and integration of 
                        support systems.--Improving and 
                        integrating the [information and 
                        delivery] systems that support those 
                        programs.
                          (iv) Delivery and information 
                        system.--[Developing an]Developing 
                        open, common, and integrated [delivery 
                        and information system]systems for 
                        programs authorized under this title.
                          (v) * * *
          (2) Annual report.--* * *
                  (A) An independent financial audit of the 
                expenditures of both the PBO and the programs 
                administered by the PBO.
                  (B) Financial and performance requirements 
                applicable to the PBO under the Chief Financial 
                [Officer]Officers Act of 1990 and the 
                Government Performance and Results Act of 1993.

           *       *       *       *       *       *       *

          (3) Consultation with stakeholders.--The Chief 
        Operating Officer, in preparing the report described in 
        paragraph (2), shall establish appropriate means to 
        consult with students, borrowers, institutions, 
        lenders, guaranty agencies, secondary markets, and 
        others involved in the delivery system of student aid 
        under this title--

           *       *       *       *       *       *       *

          (4) Briefing on enforcement of student loan 
        provisions.--The Chief Operating Officer shall provide 
        an annual briefing to the members of the authorizing 
        committees on the steps the PBO has taken and is taking 
        to ensure that lenders are providing the information 
        required under clauses (iii) and (iv) of section 
        428(c)(3)(C) and sections 428(b)(1)(Z) and 
        428C(b)(1)(F).
    (d) Chief Operating Officer.--
          (1) Appointment.--The management of the PBO shall be 
        vested in a Chief Operating Officer who shall be 
        appointed by the Secretary to a term of not less than 3 
        and not more than 5 years, and compensated without 
        regard to chapters 33, 51, and 53 of title 5, United 
        States Code. [The Secretary shall appoint the Chief 
        Operating Officer within 6 months after the date of 
        enactment of the Higher Education Amendments of 1998.] 
        The appointment shall be made on the basis of 
        demonstrated management ability and expertise in 
        information technology, including experience with 
        financial systems, and without regard to political 
        affiliation or activity.

           *       *       *       *       *       *       *

          (4) Performance agreement.--
                  (A) In general.--* * *
                  (B) Transmittal.--The final agreement, and 
                any revision to the final agreement, shall be 
                transmitted to the [Committee on Education and 
                the Workforce of the House of Representatives 
                and the Committee on Labor and Human Resources 
                of the Senate]authorizing committees, and made 
                publicly available.
          (5) Compensation.--
                  (A) In general.--* * *
                  (B) Bonus.--In addition, the Chief Operating 
                Officer may receive a bonus in an amount that 
                does not exceed 50 percent of such annual rate 
                of basic pay, based upon the Secretary's 
                evaluation of the Chief Operating Officer's 
                performance in relation to the goals set forth 
                in the performance agreement described in 
                [paragraph (2)]paragraph (4).
                  (C) Payment.--Payment of a bonus under [this] 
                subparagraph (B) may be made to the Chief 
                Operating Officer only to the extent that such 
                payment does not cause the Chief Operating 
                Officer's total aggregate compensation in a 
                calendar year to equal or exceed the amount of 
                the President's salary under section 102 of 
                title 3, United States Code.

           *       *       *       *       *       *       *

    (f) Student Loan Ombudsman.--
          (1) * * *
          (2) Public information.--The Chief Operating Officer 
        shall disseminate information about the availability 
        and functions of the Ombudsman [to borrowers]to 
        students, borrowers, and potential borrowers, as well 
        as institutions of higher education, lenders, guaranty 
        agencies, loan servicers, and other participants in 
        those student loan programs.
          (3) Functions of ombudsman.--The ombudsman shall--
                  (A) in accordance with regulations of the 
                Secretary, receive, review, and attempt to 
                resolve informally complaints from borrowers of 
                loans described in paragraph (1), including, as 
                appropriate, attempts to resolve such 
                complaints within the Department of Education 
                and with institutions of higher education, 
                lenders, guaranty agencies, loan servicers, and 
                other participants in the loan programs 
                described in paragraph [(1)(A)](1); and

           *       *       *       *       *       *       *

    (g) Personnel Flexibility.--
          (1) * * *
          (2) * * *
          (3) Excepted service.--The Chief Operating Officer 
        may appoint, without regard to the provisions of title 
        5, United States Code, governing appointments in the 
        competitive service, [not more than 25] technical and 
        professional employees to administer the functions of 
        the PBO. These employees may be paid without regard to 
        the provisions of chapter 51 and subchapter III of 
        chapter 53 of such title relating to classification and 
        General Schedule pay rates.
    (h) Establishment of a Fair and Equitable System for 
Measuring Staff Performance.--The PBO shall establish an annual 
performance management system, subject to compliance with title 
5, United States Code and consistent with applicable provisions 
of law and regulations, which strengthens the [organizational 
effectiveness]effectiveness of the PBO by providing for 
establishing goals or objectives for individual, group, or 
organizational performance (or any combination thereof), 
consistent with the performance plan of the PBO and it 
performance planning procedures, including those established 
under the Government Performance and Results Act of 1993, and 
communicating such goals or objectives to employees.
    [(i) Report.--The Secretary and the Chief Operating 
Officer, not later than 180 days after the date of enactment of 
the Higher Education Amendments of 1998, shall report to 
Congress on the proposed budget and sources of funding for the 
operation of the PBO.]
    [(j)](i) Authorization of Appropriations.--The Secretary 
shall allocate from funds made available under section 458 such 
funds as are appropriate to the functions assumed by the PBO. 
In addition, there are authorized to be appropriated such sums 
as may be necessary to carry out the purposes of this part[, 
including transition costs].

           *       *       *       *       *       *       *

SEC. 142. [20 U.S.C. 1018A] PROCUREMENT FLEXIBILITY.

    (a) Procurement authority.--* * *
    (b) In General.--* * *
          (1) enter into contracts [for information systems 
        supporting the programs authorized under title IV] to 
        carry out the functions set forth in section 141(b)(2); 
        [and]
          (2) obtain the services of experts and consultants 
        without regard to section 3109 of title 5, United 
        States Code and set pay in accordance with such 
        section[.]; and
          (3) through the Chief Operating Officer--
                  (A) to the maximum extent practicable, 
                utilize procurement systems that streamline 
                operations, improve internal controls, and 
                enhance management; and
                  (B) assess the efficiency of such systems and 
                assess such systems' ability to meet PBO 
                requirements.
    (c) Service Contracts.--
          (1) * * *
          [(2) Fee for service arrangements.--The Chief 
        Operating Officer shall, when appropriate and 
        consistent with the purposes of the PBO, acquire 
        services related to the title IV delivery system from 
        any entity that has the capability and capacity to meet 
        the requirements for the system. The Chief Operating 
        Officer is authorized to pay fees that are equivalent 
        to those paid by other entities to an organization that 
        provides an information system or service that meets 
        the requirements of the PBO, as determined by the Chief 
        Operating Officer.]
          (2) Fee for service arrangements.--The Chief 
        Operating Officer shall, when appropriate and 
        consistent with the purposes of the PBO, acquire 
        services related to the functions set forth in section 
        141(b)(2) from any entity that has the capability and 
        capacity to meet the requirements set by the PBO. The 
        Chief Operating Officer is authorized to pay fees that 
        are equivalent to those paid by other entities to an 
        organization that provides services that meet the 
        requirements of the PBO, as determined by the Chief 
        Operating Officer.
    (d) Two-Phase Source-Selection Procedures.--
          (1) In general.--* * *
          (2) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (B) Information submitted by offerors.--Each 
                offeror for the procurement shall submit basic 
                information, such as information on the 
                offeror's qualifications, the proposed 
                conceptual approach, costs likely to be 
                associated with the proposed conceptual 
                approach, and past performance of the 
                offeror[on Federal Government contracts], 
                together with any additional information that 
                is requested by the contracting officer.

           *       *       *       *       *       *       *

    (g) Modular Contracting.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (4) Procedures.-- * * *
                  (A) [Sole source.--]Single-source basis._
                Award of the contract on a [sole-
                source].single-source basis to a contractor who 
                was awarded a contract for a module previously 
                procured for the system under competitive 
                procedures or procedures authorized under 
                subparagraph (B).

           *       *       *       *       *       *       *

          (7) Simplified source-selection procedures.--The PBO 
        may award a contract under any other simplified 
        procedures prescribed by the PBO for the selection of 
        sources for the procurement of modules for a system, 
        after the first module, that are not to be procured 
        under a contract awarded on a [sole-source]single-
        source basis.
    (h) Use of Simplified Procedures for Small Business Set-
Asides for Services Other Than Commercial Items.--
          (1) * * *

           *       *       *       *       *       *       *

          (2) Inapplicability to certain procurements.--* * *
                  (A) an award of a contract on a [sole-
                source]single-source basis; or

           *       *       *       *       *       *       *

    (l) Definitions.--In this section:
          (1) * * *

           *       *       *       *       *       *       *

          [(3) Sole-source basis.--The term ``sole-source 
        basis'', with respect to an award of a contract, means 
        that the contract is awarded to a source after 
        soliciting an offer or offers from, and negotiating 
        with, only that source.]
          (3) Single-source basis.--The term ``single-source 
        basis'', with respect to an award of a contract, means 
        that the contract is awarded to a source after 
        soliciting an offer or offers from, and negotiating 
        with, only such source (although such source is not the 
        only source in the marketplace capable of meeting the 
        need) because such source is the most advantageous 
        source for purposes of the award.

           *       *       *       *       *       *       *

  PART E--LENDER AND INSTITUTION REQUIREMENTS RELATING TO EDUCATIONAL 
                                 LOANS

SEC. 151. DEFINITIONS.

    In this part:
          (1) Cost of attendance.--The term ``cost of 
        attendance'' has the meaning given the term in section 
        472.
          (2) Covered institution.--The term ``covered 
        institution''--
                  (A) means any educational institution that 
                offers a postsecondary educational degree, 
                certificate, or program of study (including any 
                institution of higher education, as such term 
                is defined in section 102) and receives any 
                Federal funding or assistance; and
                  (B) includes any employee or agent of the 
                educational institution or any organization or 
                entity affiliated with, or directly or 
                indirectly controlled by, such institution.
          (3) Educational loan.--The term ``educational loan'' 
        means any loan made, insured, or guaranteed under title 
        IV.
          (4) Educational loan arrangement.--The term 
        ``educational loan arrangement'' means an arrangement 
        or agreement between a lender and a covered 
        institution--
                  (A) under which arrangement or agreement a 
                lender provides or otherwise issues educational 
                loans to the students attending the covered 
                institution or the parents of such students; 
                and
                  (B) which arrangement or agreement--
                          (i) relates to the covered 
                        institution recommending, promoting, 
                        endorsing, or using educational loans 
                        of the lender; and
                          (ii) involves the payment of any fee 
                        or provision of other material benefit 
                        by the lender to the institution or to 
                        groups of students who attend the 
                        institution.
          (5) Lender.--The term ``lender''--
                  (A) means--
                          (i) any lender--
                                  (I) of a loan made, insured, 
                                or guaranteed under part B of 
                                title IV; and
                                  (II) that is a financial 
                                institution, as such term is 
                                defined in section 509 of the 
                                Gramm-Leach-Bliley Act (15 
                                U.S.C. 6809); and
                          (ii) in the case of any loan issued 
                        or provided to a student under part D 
                        of title IV, the Secretary; and
                  (B) includes any individual, group, or entity 
                acting on behalf of the lender in connection 
                with an educational loan.
          (6) Officer.--The term ``officer'' includes a 
        director or trustee of an institution.

SEC. 152. REQUIREMENTS FOR LENDERS AND INSTITUTIONS PARTICIPATING IN 
                    EDUCATIONAL LOAN ARRANGEMENTS.

    (a) Use of Lender Name.--A covered institution that enters 
into an educational loan arrangement shall disclose the name of 
the lender in documentation related to the loan.
    (b) Disclosures.--
          (1) Disclosures by lenders.--Before a lender issues 
        or otherwise provides an educational loan to a student, 
        the lender shall provide the student, in writing, with 
        the disclosures described in paragraph (2).
          (2) Disclosures.--The disclosures required by this 
        paragraph shall include a clear and prominent 
        statement--
                  (A) of the interest rates of the educational 
                loan being offered;
                  (B) showing sample educational loan costs, 
                disaggregated by type;
                  (C) that describes, with respect to each type 
                of educational loan being offered--
                          (i) the types of repayment plans that 
                        are available;
                          (ii) whether; and under what 
                        conditions, early repayment may be made 
                        without penalty;
                          (iii) when and how often interest on 
                        the loan will be capitalized;
                          (iv) the terms and conditions of 
                        deferments or forbearance;
                          (v) all available repayment benefits, 
                        the percentage of all borrowers who 
                        qualify for such benefits, and the 
                        percentage of borrowers who received 
                        such benefits in the preceding academic 
                        year, for each type of loan being 
                        offered;
                          (vi) the collection practices in the 
                        case of default; and
                          (vii) all fees that the borrower may 
                        be charged, including late payment 
                        penalties and associated fees; and
                  (D) of such other information as the 
                Secretary may require in regulations.
    (c) Disclosures to the Secretary by Lender.--
          (1) In general.--Each lender shall, on an annual 
        basis, report to the Secretary any reasonable expenses 
        paid or given under section 435(d)(5)(D), 
        487(a)(21)(A)(ii), or 487(a)(21)(A)(iv) to any employee 
        who is employed in the financial aid office of a 
        covered institution, or who otherwise has 
        responsibilities with respect to educational loans or 
        other financial aid of the institution. Such reports 
        shall include--
                  (A) the amount of each specific instance in 
                which the lender provided such reimbursement;
                  (B) the name of the financial aid official or 
                other employee to whom the reimbursement was 
                made;
                  (C) the dates of the activity for which the 
                reimbursement was made; and
                  (D) a brief description of the activity for 
                which the reimbursement was made.
          (2) Report to congress.--The Secretary shall compile 
        the information in paragraph (1) in a report and 
        transmit such report to the authorizing committees 
        annually.

SEC. 153. INTEREST RATE REPORT FOR INSTITUTIONS AND LENDERS 
                    PARTICIPATING IN EDUCATIONAL LOAN ARRANGEMENTS.

    (a) Secretary Duties.--
          (1) Report and model format.--Not later than 180 days 
        after the date of enactment of the Higher Education 
        Amendments of 2007, the Secretary shall--
                  (A) prepare a report on the adequacy of the 
                information provided to students and the 
                parents of such students about educational 
                loans, after consulting with students, 
                representatives of covered institutions 
                (including financial aid administrators, 
                registrars, and business officers), lenders, 
                loan servicers, and guaranty agencies;
                  (B) include in the report a model format, 
                based on the report's findings, to be used by 
                lenders and covered institutions in carrying 
                out subsections (b) and (c)--
                          (i) that provides information on the 
                        applicable interest rates and other 
                        terms and conditions of the educational 
                        loans provided by a lender to students 
                        attending the institution, or the 
                        parents of such students, disaggregated 
                        by each type of educational loans 
                        provided to such students or parents by 
                        the lender, including--
                                  (I) the interest rate and 
                                terms and conditions of the 
                                loans offered by the lender for 
                                the upcoming academic year;
                                  (II) with respect to such 
                                loans, any benefits that are 
                                contingent on the repayment 
                                behavior of the borrower;
                                  (III) the average amount 
                                borrowed from the lender by 
                                students enrolled in the 
                                institution who obtain loans of 
                                such type from the lender for 
                                the preceding academic year;
                                  (IV) the average interest 
                                rate on such loans provided to 
                                such students for the preceding 
                                academic year; and
                                  (V) the amount that the 
                                borrower may repay in interest, 
                                based on the standard repayment 
                                period of a loan, on the 
                                average amount borrowed from 
                                the lender by students enrolled 
                                in the institution who obtain 
                                loans of such type from the 
                                lender for the preceding 
                                academic year; and
                          (ii) which format shall be easily 
                        usable by lenders, institutions, 
                        guaranty agencies, loan servicers, 
                        parents, and students; and
                  (C)(i) submit the report and model format to 
                the authorizing committees; and
                  (ii) make the report and model format 
                available to covered institutions, lenders, and 
                the public.
          (2) Use of form.--The Secretary shall take such steps 
        as necessary to make the model format available to 
        covered institutions and to encourage--
                  (A) lenders subject to subsection (b) to use 
                the model format in providing the information 
                required under subsection (b); and
                  (B) covered institutions to use such format 
                in preparing the information report under 
                subsection (c).
    (b) Lender Duties.--Each lender that has an educational 
loan arrangement with a covered institution shall annually, by 
a date determined by the Secretary, provide to the covered 
institution and to the Secretary the information included on 
the model format for each type of educational loan provided by 
the lender to students attending the covered institution, or 
the parents of such students, for the preceding academic year.
    (c) Covered Institution Duties.--Each covered institution 
shall--
          (1) prepare and submit to the Secretary an annual 
        report, by a date determined by the Secretary, that 
        includes, for each lender that has an educational loan 
        arrangement with the covered institution and that has 
        submitted to the institution the information required 
        under subsection (b)--
                  (A) the information included on the model 
                format for each type of educational loan 
                provided by the lender to students attending 
                the covered institution, or the parents of such 
                students; and
                  (B) a detailed explanation of why the covered 
                institution believes the terms and conditions 
                of each type of educational loan provided 
                pursuant to the agreement are beneficial for 
                students attending the covered institution, or 
                the parents of such students; and
          (2) ensure that the report required under paragraph 
        (1) is made available to the public and provided to 
        students attending or planning to attend the covered 
        institution, and the parents of such students, in time 
        for the student or parent to take such information into 
        account before applying for or selecting an educational 
        loan.

           *       *       *       *       *       *       *

                 TITLE II--TEACHER QUALITY ENHANCEMENT

[PART A--TEACHER QUALITY ENHANCEMENT GRANTS FOR STATES AND PARTNERSHIPS

[SEC. 201. [20 U.S.C. 1021] PURPOSES; DEFINITIONS.

    [(a) Purposes.--The purposes of this part are to--
          [(1) improve student achievement;
          [(2) improve the quality of the current and future 
        teaching force by improving the preparation of 
        prospective teachers and enhancing professional 
        development activities;
          [(3) hold institutions of higher education 
        accountable for preparing teachers who have the 
        necessary teaching skills and are highly competent in 
        the academic content areas in which the teachers plan 
        to teach, such as mathematics, science, English, 
        foreign languages, history, economics, art, civics, 
        Government, and geography, including training in the 
        effective uses of technology in the classroom; and
          [(4) recruit highly qualified individuals, including 
        individuals from other occupations, into the teaching 
        force.
    [(b) Definitions.--In this part:
          [(1) Arts and sciences.--The term ``arts and 
        sciences'' means--
                  [(A) when referring to an organizational unit 
                of an institution of higher education, any 
                academic unit that offers 1 or more academic 
                majors in disciplines or content areas 
                corresponding to the academic subject matter 
                areas in which teachers provide instruction; 
                and
                  [(B) when referring to a specific academic 
                subject matter area, the disciplines or content 
                areas in which academic majors are offered by 
                the arts and science organizational unit.
          [(2) High need local educational agency.--The term 
        ``high need local educational agency'' means a local 
        educational agency that serves an elementary school or 
        secondary school located in area in an which there is--
                  [(A) a high percentage of individuals from 
                families with incomes below the poverty line;
                  [(B) a high percentage of secondary school 
                teachers not teaching in the content area in 
                which the teachers were trained to teach; or
                  [(C) a high teacher turnover rate.
          [(3) Poverty line.--The term ``poverty line'' means 
        the poverty line (as defined by the Office of 
        Management and Budget, and revised annually in 
        accordance with section 673(2) of the Community 
        Services Block Grant Act (42 U.S.C. 9902(2))) 
        applicable to a family of the size involved.

[SEC. 202. [20 U.S.C. 1022] STATE GRANTS.

    [(a) In General.--From amounts made available under section 
210(1) for a fiscal year, the Secretary is authorized to award 
grants under this section, on a competitive basis, to eligible 
States to enable the eligible States to carry out the 
activities described in subsection (d).
    [(b) Eligible State.--
          [(1) Definition.--In this part, the term ``eligible 
        State'' means--
                  [(A) the Governor of a State; or
                  [(B) in the case of a State for which the 
                constitution or law of such State designates 
                another individual, entity, or agency in the 
                State to be responsible for teacher 
                certification and preparation activity, such 
                individual, entity, or agency.
          [(2) Consultation.--The Governor and the individual, 
        entity, or agency designated under paragraph (1) shall 
        consult with the Governor, State board of education, 
        State educational agency, or State agency for higher 
        education, as appropriate, with respect to the 
        activities assisted under this section.
          [(3) Construction.--Nothing in this subsection shall 
        be construed to negate or supersede the legal authority 
        under State law of any State agency, State entity, or 
        State public official over programs that are under the 
        jurisdiction of the agency, entity, or official.
    [(c) Application.--To be eligible to receive a grant under 
this section, an eligible State shall, at the time of the 
initial grant application, submit an application to the 
Secretary that--
          [(l) meets the requirement of this section;
          [(2) includes a description of how the eligible State 
        intends to use funds provided under this section; and
          [(3) contains such other information and assurances 
        as the Secretary may require.
    [(d) Uses of Funds.--An eligible State that receives a 
grant under this section shall use the grant funds to reform 
teacher preparation requirements, and to ensure that current 
and future teachers possess the necessary teaching skills and 
academic content knowledge in the subject areas in which the 
teachers are assigned to teach, by carrying out 1 or more of 
the following activities:
          [(1) Reforms.--Implementing reforms that hold 
        institutions of higher education with teacher 
        preparation programs accountable for preparing teachers 
        who are highly competent in the academic content areas 
        in which the teachers plan to teach, and possess strong 
        teaching skills, which may include the use of rigorous 
        subject matter competency tests and the requirement 
        that a teacher have an academic major in the subject 
        area, or related discipline, in which the teacher plans 
        to teach.
          [(2) Certification or licensure requirements.--
        Reforming teacher certification or licensure 
        requirements to ensure that teachers have the necessary 
        teaching skills and academic content knowledge in the 
        subject areas in which teachers are assigned to teach.
          [(3) Alternatives to traditional preparation for 
        teaching.--Providing prospective teachers with 
        alternatives to traditional preparation for teaching 
        through programs at colleges of arts and sciences or at 
        nonprofit educational organizations.
          [(4) Alternative routes to state certification.--
        Carrying out programs that--
                  [(A) include support during the initial 
                teaching experience; and
                  [(B) establish, expand, or improve 
                alternative routes to State certification of 
                teachers for highly qualified individuals, 
                including mid-career professionals from other 
                occupations, paraprofessionals, former military 
                personnel and recent college graduates with 
                records of academic distinction.
          [(5) Recruitment; pay; removal.--Developing and 
        implementing effective mechanisms to ensure that local 
        educational agencies and schools are able to 
        effectively recruit highly qualified teachers, to 
        financially reward those teachers and principals whose 
        students have made significant progress toward high 
        academic performance, such as through performance-based 
        compensation systems and access to ongoing professional 
        development opportunities for teachers and 
        administrators, and to expeditiously remove incompetent 
        or unqualified teachers consistent with procedures to 
        ensure due process for the teachers.
          [(6) Social promotion.--Development and 
        implementation of efforts to address the problem of 
        social promotion and to prepare teachers to effectively 
        address the issues raised by ending the practice of 
        social promotion.
          [(7) Recruitment.--Activities described in section 
        204(d).

[SEC. 203. [20 U.S.C. 1023] PARTNERSHIP GRANTS.

    [(a) Grants.--From amounts made available under section 
210(2) for a fiscal year, the Secretary is authorized to award 
grants under this section, on a competitive basis, to eligible 
partnerships to enable the eligible partnerships to carry out 
the activities described in subsections (d) and (e).
    [(b) Definitions.--
          [(1) Eligible partnerships.--In this part, the term 
        ``eligible partnerships'' means an entity that--
                  [(A) shall include--
                          [(i) a partner institution;
                          [(ii) a school of arts and sciences; 
                        and
                          [(iii) a high need local educational 
                        agency; and
                  [(B) may include a Governor, State 
                educational agency, the State board of 
                education, the State agency for higher 
                education, an institution of higher education 
                not described in subparagraph (A), a public 
                charter school, a public or private elementary 
                school or secondary school, a public or private 
                nonprofit educational organization, a business, 
                a teacher organization, or a prekindergarten 
                program.
          [(2) Partner institution.--In this section, the term 
        ``partner institution'' means a private independent or 
        State-supported public institution of higher education, 
        the teacher training program of which demonstrates 
        that--
                  [(A) graduates from the teacher training 
                program exhibit strong performance on State-
                determined qualifying assessments for new 
                teachers through--
                          [(i) demonstrating that 80 percent or 
                        more of the graduates of the program 
                        who intend to enter the field of 
                        teaching have passed all of the 
                        applicable State qualification 
                        assessments for new teachers, which 
                        shall include an assessment of each 
                        prospective teacher's subject matter 
                        knowledge in the content area or areas 
                        in which the teacher intends to teach; 
                        or
                          [(ii) being ranked among the highest-
                        performing teacher preparation programs 
                        in the State as determined by the 
                        State--
                                  [(I) using criteria 
                                consistent with the 
                                requirements for the State 
                                report card under section 
                                207(b); and
                                  [(II) using the State report 
                                card on teacher preparation 
                                required under section 207(b), 
                                after the first publication of 
                                such report card and for every 
                                year thereafter; or
                  [(B) the teacher training program requires 
                all the students of the program to participate 
                in intensive clinical experience, to meet high 
                academic standards, and--
                          [(i) in the case of secondary school 
                        candidates, to successfully complete an 
                        academic major in the subject area in 
                        which the candidate intends to teach or 
                        to demonstrate competence through a 
                        high level of performance in relevant 
                        content areas; and
                          [(ii) in the case of elementary 
                        school candidates, to successfully 
                        complete an academic major in the arts 
                        and sciences or to demonstrate 
                        competence through a high level of 
                        performance in core academic subject 
                        areas.
    [(c) Application.--Each eligible partnership desiring a 
grant under this section shall submit an application to the 
Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may require. Each such application 
shall--
          [(1) contain a needs assessment of all the partners 
        with respect to teaching and learning and a description 
        of how the partnership will coordinate with other 
        teacher training or professional development programs, 
        and how the activities of the partnership will be 
        consistent with State, local, and other education 
        reform activities that promote student achievement;
          [(2) contain a resource assessment that describes the 
        resources available to the partnership, the intended 
        use of the grant funds, including a description of how 
        the grant funds will be fairly distributed in 
        accordance with subsection (f), and the commitment of 
        the resources of the partnership to the activities 
        assisted under this part, including financial support, 
        faculty participation, time commitments, and 
        continuation of the activities when the grant ends; and
          [(3) contain a description of--
                  [(A) how the partnership will meet the 
                purposes of this part;
                  [(B) how the partnership will carry out the 
                activities required under subsection (d) and 
                any permissible activities under subsection 
                (e); and
                  [(C) the partnership's evaluation plan 
                pursuant to section 206(b).
    [(d) Required Uses of Funds.--An eligible partnership that 
receives a grant under this section shall use the grant funds 
to carry out the following activities:
          [(1) Reforms.--Implementing reforms within teacher 
        preparation programs to hold the programs accountable 
        for preparing teachers who are highly competent in the 
        academic content areas in which the teachers plan to 
        teach, and for promoting strong teaching skills, 
        including working with a school of arts and sciences 
        and integrating reliable research-based teaching 
        methods into the curriculum, which curriculum shall 
        include programs designed to successfully integrate 
        technology into teaching and learning.
          [(2) Clinical experience and interaction.--Providing 
        sustained and high quality preservice clinical 
        experience including the mentoring of prospective 
        teachers by veteran teachers, and substantially 
        increasing interaction between faculty at institutions 
        of higher education and new and experienced teachers, 
        principals, and other administrators at elementary 
        schools or secondary schools, and providing support, 
        including preparation time, for such interaction.
          [(3) Professional development.--Creating 
        opportunities for enhanced and ongoing professional 
        development that improves the academic content 
        knowledge of teachers in the subject areas in which the 
        teachers are certified to teach or in which the 
        teachers are working toward certification to teach, and 
        that promotes strong teaching skills.
    [(e) Allowable Uses of Funds.--An eligible partnership that 
receives a grant under this section may use such funds to carry 
out the following activities:
          [(1) Teacher preparation and parent involvement.--
        Preparing teachers to work with diverse student 
        populations, including individuals with disabilities 
        and limited English proficient individuals, and 
        involving parents in the teacher preparation program 
        reform process.
          [(2) Dissemination and coordination.--Broadly 
        disseminating information on effective practices used 
        by the partnership, and coordinating with the 
        activities of the Governor, State board of education, 
        State higher education agency, and State educational 
        agency, as appropriate.
          [(3) Managerial and leadership skills.--Developing 
        and implementing proven mechanisms to provide 
        principals and superintendents with effective 
        managerial and leadership skills that result in 
        increased student achievement.
          [(4) Teacher recruitment.--Activities described in 
        section 204(d).
    [(f) Special Rule.--No individual member of an eligible 
partnership shall retain more than 50 percent of the funds made 
available to the partnership under this section.
    [(g) Construction.--Nothing in this section shall be 
construed to prohibit an eligible partnership from using grant 
funds to coordinate with the activities of more than one 
Governor, State board of education, State educational agency, 
local educational agency, or State agency for higher education.

[SEC. 204. [20 U.S.C. 1024] TEACHER RECRUITMENT GRANTS.

    [(a) Program Authorized.--From amounts made available under 
section 210(3) for a fiscal year, the Secretary is authorized 
to award grants, on a competitive basis, to eligible applicants 
to enable the eligible applicants to carry out activities 
described in subsection (d).
    [(b) Eligible Applicant Defined.--In this part, the term 
``eligible applicant'' means--
          [(1) an eligible State described in section 202(b); 
        or
          [(2) an eligible partnership described in section 
        203(b).
    [(c) Application.--Any eligible applicant desiring to 
receive a grant under this section shall submit an application 
to the Secretary at such time, in such form, and containing 
such information as the Secretary may require, including--
          [(1) a description of the assessment that the 
        eligible applicant, and the other entities with whom 
        the eligible applicant will carry out the grant 
        activities, have undertaken to determine the most 
        critical needs of the participating high-need local 
        educational agencies;
          [(2) a description of the activities the eligible 
        applicant will carry out with the grant; and
          [(3) a description of the eligible applicant's plan 
        for continuing the activities carried out with the 
        grant, once Federal funding ceases.
    [(d) Uses of Funds.--Each eligible applicant receiving a 
grant under this section shall use the grant funds--
          [(1)(A) to award scholarships to help students pay 
        the costs of tuition, room, board, and other expenses 
        of completing a teacher preparation program;
          [(B) to provide support services, if needed to enable 
        scholarship recipients to complete postsecondary 
        education programs; and
          [(C) for followup services provided to former 
        scholarship recipients during the recipients' first 3 
        years of teaching; or
          [(2) to develop and implement effective mechanisms to 
        ensure that high need local educational agencies and 
        schools are able to effectively recruit highly 
        qualified teachers.
    [(e) Service Requirements.--The Secretary shall establish 
such requirements as the Secretary finds necessary to ensure 
that recipients of scholarships under this section who complete 
teacher education programs subsequently teach in a high-need 
local educational agency, for a period of time equivalent to 
the period for which the recipients receive scholarship 
assistance, or repay the amount of the scholarship. The 
Secretary shall use any such repayments to carry out additional 
activities under this section.

[SEC. 205. [20 U.S.C. 1025] ADMINISTRATIVE PROVISIONS.

    [(a) Duration; One-Time Awards; Payments.--
          [(1) Duration.--
                  [(A) Eligible states and eligible 
                applicants.--Grants awarded to eligible States 
                and eligible applicants under this part shall 
                be awarded for a period not to exceed 3 years.
                  [(B) Eligible partnerships.--Grants awarded 
                to eligible partnerships under this part shall 
                be awarded for a period of 5 years.
          [(2) One-time award.--An eligible State and an 
        eligible partnership may receive a grant under each of 
        sections 202, 203 and 204 only once.
          [(3) Payments.--The Secretary shall make annual 
        payments of grant funds awarded under this part.
    [(b) Peer Review.--
          [(1) Panel.--The Secretary shall provide the 
        applications submitted under this part to a peer review 
        panel for evaluation. With respect to each application, 
        the peer review panel shall initially recommend the 
        application for funding or for disapproval.
          [(2) Priority.--In recommending applications to the 
        Secretary for funding under this part, the panel 
        shall--
                  [(A) with respect to grants under section 
                202, give priority to eligible States serving 
                States that--
                          [(i) have initiatives to reform State 
                        teacher certification requirements that 
                        are designed to ensure that current and 
                        future teachers possess the necessary 
                        teaching skills and academic content 
                        knowledge in the subject areas in which 
                        the teachers are certified or licensed 
                        to teach;
                          [(ii) include innovative reforms to 
                        hold institutions of higher education 
                        with teacher preparation programs 
                        accountable for preparing teachers who 
                        are highly competent in the academic 
                        content area in which the teachers plan 
                        to teach and have strong teaching 
                        skills; or
                          [(iii) involve the development of 
                        innovative efforts aimed at reducing 
                        the shortage of highly qualified 
                        teachers in high poverty urban and 
                        rural areas;
                  [(B) with respect to grants under section 
                203--
                          [(i) give priority to applications 
                        from eligible partnerships that involve 
                        businesses; and
                          [(ii) take into consideration--
                                  [(I) providing an equitable 
                                geographic distribution of the 
                                grants throughout the United 
                                States; and
                                  [(II) the potential of the 
                                proposed activities for 
                                creating improvement and 
                                positive change.
          [(3) Secretarial selection.--The Secretary shall 
        determine, based on the peer review process, which 
        application shall receive funding and the amounts of 
        the grants. In determining grant amounts, the Secretary 
        shall take into account the total amount of funds 
        available for all grants under this part and the types 
        of activities proposed to be carried out.
    [(c) Matching Requirements.--
          [(1) State grants.--Each eligible State receiving a 
        grant under section 202 or 204 shall provide, from non-
        Federal sources, an amount equal to 50 percent of the 
        amount of the grant (in cash or in kind) to carry out 
        the activities supported by the grant.
          [(2) Partnership grants.--Each eligible partnership 
        receiving a grant under section 203 or 204 shall 
        provide, from non-Federal sources (in cash or in kind), 
        an amount equal to 25 percent of the grant for the 
        first year of the grant, 35 percent of the grant for 
        the second year of the grant, and 50 percent of the 
        grant for each succeeding year of the grant.
    [(d) Limitation on Administrative Expenses.--An eligible 
State or eligible partnership that receives a grant under this 
part may not use more than 2 percent of the grant funds for 
purposes of administering the grant.
    [(e) Teacher Qualifications Provided to Parents Upon 
Request.--Any local educational agency or school that benefits 
from the activities assisted under this part shall make 
available, upon request and in an understandable and uniform 
format, to any parent of a student attending any school served 
by the local educational agency, information regarding the 
qualification of the student's classroom teacher with regard to 
the subject matter in which the teacher provides instruction. 
The local educational agency shall inform parents that the 
parents are entitled to receive the information upon request.

[SEC 206. [20 U.S.C. 1026] ACCOUNTABILITY AND EVALUATION.

    [(a) State Grant Accountability Report.--An eligible State 
that receives a grant under section 202 shall submit an annual 
accountability report to the Secretary, the Committee on Labor 
and Human Resources of the Senate, and the Committee on 
Education and the Workforce of the House of Representatives. 
Such report shall include a description of the degree to which 
the eligible State, in using funds provided under such section, 
has made substantial progress in meeting the following goals:
          [(1) Student achievement.--Increasing student 
        achievement for all students as defined by the eligible 
        State.
          [(2) Raising standards.--Raising the State academic 
        standards required to enter the teaching profession, 
        including, where appropriate, through the use of 
        incentives to incorporate the requirement of an 
        academic major in the subject, or related discipline, 
        in which the teacher plans to teach.
          [(3) Initial certification or licensure.--Increasing 
        success in the pass rate for initial State teacher 
        certification or licensure, or increasing the numbers 
        of highly qualified individuals being certified or 
        licensed as teachers through alternative programs.
          [(4) Core academic subjects.--
                  [(A) Secondary school classes.--Increasing 
                the percentage of secondary school classes 
                taught in core academic subject areas by 
                teachers--
                          [(i) with academic majors in those 
                        areas or in a related field;
                          [(ii) who can demonstrate a high 
                        level of competence through rigorous 
                        academic subject area tests; or
                          [(iii) who can demonstrate competence 
                        through a high level of performance in 
                        relevant content areas.
                  [(B) Elementary school classes.--Increasing 
                the percentage of elementary school classes 
                taught by teachers--
                          [(i) with academic majors in the arts 
                        and sciences; or
                          [(ii) who can demonstrate competence 
                        through a high level of performance in 
                        core academic subjects.
          [(5) Decreasing teacher shortages.--Decreasing short-
        ages of qualified teachers in poor urban and rural 
        areas.
          [(6) Increasing opportunities for professional 
        development.--Increasing opportunities for enhanced and 
        ongoing professional development that improves the 
        academic content knowledge of teachers in the subject 
        areas in which the teachers are certified or licensed 
        to teach or in which the teachers are working toward 
        certification or licensure to teach, and that promotes 
        strong teaching skills.
          [(7) Technology integration.--Increasing the number 
        of teachers prepared to integrate technology in the 
        classroom.
    [(b) Eligible Partnership Evaluation.--Each eligible 
partnership receiving a grant under section 203 shall establish 
and include in the application submitted under section 203(c), 
an evaluation plan that includes strong performance objectives. 
The plan shall include objectives and measures for--
          [(1) increased student achievement for all students 
        as measured by the partnership;
          [(2) increased teacher retention in the first 3 years 
        of a teacher's career;
          [(3) increased success in the pass rate for initial 
        State certification or licensure of teachers; and
          [(4) increased percentage of secondary school classes 
        taught in core academic subject areas by teachers--
                  [(A) with academic majors in the areas or in 
                a related field; and
                  [(B) who can demonstrate a high level of 
                competence through rigorous academic subject 
                area tests or who can demonstrate competence 
                through a high level of performance in relevant 
                content areas;
          [(5) increasing the percentage of elementary school 
        classes taught by teachers with academic majors in the 
        arts and sciences or who demonstrate competence through 
        a high level of performance in core academic subject 
        areas; and
          [(6) increasing the number of teachers trained in 
        technology.
    [(c) Evocation of Grant.--
          [(1) Report.--Each eligible State or eligible 
        partnership receiving a grant under this part shall 
        report annually on the progress of the eligible State 
        or eligible partnership toward meeting the purposes of 
        this part and the goals, objectives, and measures 
        described in subsections (a) and (b).
          [(2) Revocation.--
                  [(A) Eligible states and eligible 
                applicants.--If the Secretary determines that 
                an eligible State or eligible applicant is not 
                making substantial progress in meeting the 
                purposes, goals, objectives, and measures, as 
                appropriate, by the end of the second year of a 
                grant under this part, then the grant payment 
                shall not be made for the third ye of the 
                grant.
                  [(B) Eligible partnerships.--If the Secretary 
                determines that an eligible partnership is not 
                making substantial progress in meeting the 
                purposes, goals, objectives, and measures, as 
                appropriate, by the end of the third year of a 
                grant under this part, then the grant payments 
                shall not be made for any succeeding year of 
                the grant.
    [(d) Evaluation and Dissemination.--The Secretary shall 
evaluate the activities funded under this part and report the 
Secretary's findings regarding the activities to the Committee 
on Labor and Human Resources of the Senate and the Committee on 
Education and the Workforce of the House of Representatives. 
The Secretary shall broadly disseminate successful practices 
developed by eligible States and eligible partnerships under 
this part, and shall broadly disseminate information regarding 
such practices that were found to be ineffective.

[SEC. 207. [20 U.S.C. 1027] ACCOUNTABILITY FOR PROGRAMS THAT PREPARE 
                    TEACHERS.

    [(a) Development of Definitions and Reporting Methods.--
Within 9 months of the date of enactment of the Higher 
Education Amendments of 1998, the Commissioner of the National 
Center for Education Statistics, in consultation with States 
and institutions of higher education, shall develop key 
definitions for terms, and uniform reporting methods (including 
the key definitions for the consistent reporting of pass 
rates), related to the performance of elementary school and 
secondary school teacher preparation programs.
    [(b) State Report Card on the Quality of Teacher 
Preparation.--Each State that receives funds under this Act 
shall provide to the Secretary, within 2 years of the date of 
enactment of the Higher Education Amendments of 1998, and 
annually thereafter, in a uniform and comprehensible manner 
that conforms with the definitions and methods established in 
subsection (a), a State report card on the quality of teacher 
preparation in the State, which shall include at least the 
following:
          [(1) A description of the teacher certification and 
        licensure assessments, and any other certification and 
        licensure requirements, used by the State.
          [(2) The standards and criteria that prospective 
        teachers must meet in order to attain initial teacher 
        certification or licensure and to be certified or 
        licensed to teach particular subjects or in particular 
        grades within the State.
          [(3) A description of the extent to which the 
        assessments an requirements described in paragraph (1) 
        are aligned with the state's standards and assessments 
        for students.
          [(4) The percentage of teaching candidates who passed 
        each of the assessments used by the State for teacher 
        certification and licensure, and the passing score on 
        each assessment that determines whether a candidate has 
        passed that assessment.
          [(5) The percentage of teaching candidates who passed 
        each of the assessments used by the State for teacher 
        certification and licensure, disaggregated and ranked, 
        by the teacher preparation program in that State from 
        which the teacher candidate received the candidate's 
        most recent degree, which shall be made available 
        widely and publicly.
          [(6) Information on the extent to which teachers in 
        the State are given waivers of State certification or 
        licensure requirements, including the proportion of 
        such teachers distributed across high- and low-poverty 
        school districts and across subject areas.
          [(7) A description of each State's alternative routes 
        to teacher certification, if any, and the percentage of 
        teachers certified through alternative certification 
        routes who pass State teacher certification or 
        licensure assessments.
          [(8) For each State, a description of proposed 
        criteria for assessing the performance of teacher 
        preparation programs within institutions of higher 
        education in the State, including indicators of teacher 
        candidate knowledge and skills.
          [(9) Information on the extent to which teachers or 
        prospective teachers in each State are required to take 
        examinations or other assessments of their subject 
        matter knowledge in the area or areas in which the 
        teachers provide instruction, the standards established 
        for passing any such assessments, and the extent to 
        which teachers or prospective teachers are required to 
        receive a passing score on such assessments in order to 
        teach in specific subject areas or grade levels.
    [(c) Initial Report.--
          [(1) In general.--Each State that receives funds 
        under this Act, not later than 6 months of the date of 
        enactment of the Higher Education Amendments of 1998 
        and in a uniform and comprehensible manner, shall 
        submit to the Secretary the information described in 
        paragraphs (1), (5), and (6) of subsection (b). Such 
        information shall be compiled by the Secretary and 
        submitted to the Committee on Labor and Human Resources 
        of the Senate and the Committee on Education and the 
        Workforce of the House of Representatives not later 
        than 9 months after the date of enactment of the Higher 
        Education Amendments of 1998.
          [(2) Construction.--Nothing in this subsection shall 
        be construed to require a State to gather information 
        that is not in the possession of the State or the 
        teacher preparation programs in the State, or readily 
        available to the State or teacher preparation programs.
    [(d) Report of the Secretary on the Quality of Teacher 
Preparation.--
          [(1) Report card.--The Secretary shall provide to 
        Congress, and publish and make widely available, a 
        report card on teacher qualifications and preparation 
        in the United States, including all the information 
        reported in paragraphs (1) through (9) of subsection 
        (b). Such report shall identify States for which 
        eligible States and eligible partnerships received a 
        grant under this part. Such report shall be so 
        provided, published and made available not later than 2 
        years 6 months after the date of enactment of the 
        Higher Education Amendments of 1998 and annually 
        thereafter.
          [(2) Report to congress.--The Secretary shall report 
        to Congress--
                  [(A) a comparison of States' efforts to 
                improve teaching quality; and
                  [(B) regarding the national mean and median 
                scores on any standardized test that is used in 
                more than 1 State for teacher certification or 
                licensure.
          [(3) Special rule.--In the case of teacher 
        preparation programs with fewer than 10 graduates 
        taking any single initial teacher certification or 
        licensure assessment during an academic year, the 
        Secretary shall collect and publish information with 
        respect to an average pass rate on State certification 
        or licensure assessments taken over a 3-year period.
    [(e) Coordination.--The Secretary, to the extent 
practicable, shall coordinate the information collected and 
published under this part among States for individuals who took 
State teacher certification or licensure assessments in a State 
other than the State in which the individual received the 
individual's most recent degree.
    [(f) Institutional Report Cards on the Quality of Teacher 
Preparation.--
          [(1) Report card.--Each institution of higher 
        education that conducts a teacher preparation program 
        that enrolls students receiving Federal assistance 
        under this Act, not later than 18 months after the date 
        of enactment of the Higher Education Amendments of 1998 
        and annually thereafter, shall report to the State and 
        the general public, in a uniform and comprehensible 
        manner that conforms with the definitions and methods 
        established under subsection (a), the following 
        information:
                  [(A) Pass rate.--(i) For the most recent year 
                for which the information is available, the 
                pass rate of the institution's graduates on the 
                teacher certification or licensure assessments 
                of the State in which the institution is 
                located, but only for those students who took 
                those assessments within 3 years of completing 
                the program.
                  [(ii) A comparison of the program's pass rate 
                with the average pass rate for programs in the 
                State.
                  [(iii) In the case of teacher preparation 
                programs with fewer than 10 graduates taking 
                any single initial teacher certification or 
                licensure assessment during an academic year, 
                the institution shall collect and publish 
                information with respect to an average pass 
                rate on State certification or licensure 
                assessments taken over a 3-year period.
                  [(B) Program information.--The number of 
                students in the program, the average number of 
                hours of supervised practice teaching required 
                for those in the program, and the faculty-
                student ratio in supervised practice teaching.
                  [(C) Statement.--In States that approve or 
                accredit teacher education programs, a 
                statement of whether the institution's program 
                is so approved or accredited.
                  [(D) Designation as low-performing.--Whether 
                the program has been designated as low-
                performing by the State under section 208(a).
          [(2) Requirement.--The information described in 
        paragraph (1) shall be reported through publications 
        such as school catalogs and promotional materials sent 
        to potential applicants, secondary school guidance 
        counselors, and prospective employers of the 
        institution's program graduates.
          [(3) Fines.--In addition to the actions authorized in 
        section 487(c), the Secretary may impose a fine not to 
        exceed $25,000 on an institution of higher education 
        for failure to provide the information described in 
        this subsection in a timely or accurate manner.

[SEC. 208. [20 U.S.C. 1028] STATE FUNCTIONS.

    [(a) State Assessment.--In order to receive funds under 
this Act, a State, not later than 2 years after the date of 
enactment of the Higher Education Amendments of 1998, shall 
have in place a procedure to identify, and assist, through the 
provision of technical assistance, low-performing programs of 
teacher preparation within institutions of higher education. 
Such State shall provide the Secretary an annual list of such 
low-performing institutions that includes an identification of 
those institutions at-risk of being placed on such list. Such 
levels of performance shall be determined solely by the State 
and may include criteria based upon information collected 
pursuant to this part. Such assessment shall be described in 
the report under section 207(b).
    [(b) Termination of Eligibility.--Any institution of higher 
education that offers a program of teacher preparation in which 
the State has withdrawn the State's approval or terminated the 
State's financial support due to the low performance of the 
institution's teacher preparation program based upon the State 
assessment described in subsection (a)--
          [(1) shall be ineligible for any funding for 
        professional development activities awarded by the 
        Department of Education; and
          [(2) shall not be permitted to accept or enroll any 
        student that receives aid under title IV of this Act in 
        the institution's teacher preparation program.
    [(c) Negotiated Rulemaking.--If the Secretary develops any 
regulations implementing subsection (b)(2), the Secretary shall 
submit such proposed regulations to a negotiated rulemaking 
process, which shall include representatives of States, 
institutions of higher education, and educational and student 
organizations.

[SEC 209. [20 U.S.C. 1029] GENERAL PROVISIONS.

    [(a) Methods.--In complying with sections 207 and 208, the 
Secretary shall ensure that States and institutions of higher 
education use fair and equitable methods in reporting and that 
the reporting methods protect the privacy of individuals.
    [(b) Special Rule.--For each State in which there are no 
State certification or licensure assessments, or for States 
that do not set minimum performance levels on those 
assessments--
          [(1) the Secretary shall, to the extent practicable, 
        collect data comparable to the data required under this 
        part from States, local educational agencies, 
        institutions of higher education, or other entities 
        that administer such assessments to teachers or 
        prospective teachers; and
          [(2) notwithstanding any other provision of this 
        part, the Secretary shall use such data to carry out 
        requirements of this part related to assessments or 
        pass rates.
    [(c) Limitations.--
          [(1) Federal control prohibited.--Nothing in this 
        part shall be construed to permit, allow, encourage, or 
        authorize any Federal control over any aspect of any 
        private, religious, or home school, whether or not a 
        home school is treated as a private school or home 
        school under State law. This section shall not be 
        construed to prohibit private, religious, or home 
        schools from participation in programs or services 
        under this part.
          [(2) No change in state control encouraged or 
        required.--Nothing in this part shall be construed to 
        encourage or require any change in a State's treatment 
        of any private, religious, or home school, whether or 
        not a home school is treated as a private school or 
        home school under State law.
          [(3) National system of teacher certification 
        prohibited.--Nothing in this part shall be construed to 
        permit, allow, encourage, or authorize the Secretary to 
        establish or support any national system of teacher 
        certification.

[SEC. 210. [20 U.S.C. 1030] AUTHORIZATION OF APPROPRIATIONS.

    [There are authorized to be appropriated to carry out this 
part $300,000,000 for fiscal year 1999 and such sums as may be 
necessary for each of the 4 succeeding fiscal years, of which--
          [(1) 45 percent shall be available for each fiscal 
        year to award grants under section 202;
          [(2) 45 percent shall be available for each fiscal 
        year to award grants under section 203; and
          [(3) 10 percent shall be available for each fiscal 
        year to award grants under section 204.]

               PART A--TEACHER QUALITY PARTNERSHIP GRANTS

SEC. 201. PURPOSES; DEFINITIONS.

    (a) Purposes.--The purposes of this part are to--
          (1) improve student achievement;
          (2) improve the quality of the current and future 
        teaching force by improving the preparation of 
        prospective teachers and enhancing professional 
        development activities;
          (3) hold institutions of higher education accountable 
        for preparing highly qualified teachers; and
          (4) recruit qualified individuals, including 
        minorities and individuals from other occupations, into 
        the teaching force.
    (b) Definitions.--In this part:
          (1) Arts and sciences.--The term ``arts and 
        sciences'' means--
                  (A) when referring to an organizational unit 
                of an institution of higher education, any 
                academic unit that offers 1 or more academic 
                majors in disciplines or content areas 
                corresponding to the academic subject matter 
                areas in which teachers provide instruction; 
                and
                  (B) when referring to a specific academic 
                subject area, the disciplines or content areas 
                in which academic majors are offered by the 
                arts and sciences organizational unit.
          (2) Children from low-income families.--The term 
        ``children from low-income families'' means children as 
        described in section 1124(e)(1)(A) of the Elementary 
        and Secondary Education Act of 1965.
          (3) Core academic subjects.--The term ``core academic 
        subjects'' has the meaning given the term in section 
        9101 of the Elementary and Secondary Education Act of 
        1965.
          (4) Early childhood education program.--The term 
        ``early childhood education program'' means--
                  (A) a Head Start program or an. Early Head 
                Start program carried out under the Head Start 
                Act (42 U.S.C. 9831 et seq.);
                  (B) a State licensed or regulated child care 
                program or school; or
                  (C) a State prekindergarten program that 
                serves children from birth through kindergarten 
                and that addresses the children's cognitive 
                (including language, early literacy, and 
                prenumeracy), social, emotional, and physical 
                development.
          (5) Early childhood educator.--The term ``early 
        childhood educator'' means an individual with primary 
        responsibility for the education of children in an 
        early childhood education program.
          (6) Educational service agency.--The term 
        ``educational service agency'' has the meaning given 
        the term in section 9101 of the Elementary and 
        Secondary Education Act of 1965.
          (7) Eligible partnership.--The term ``eligible 
        partnership'' means an entity that--
                  (A) shall include--
                          (i) a high-need local educational 
                        agency;
                          (ii) a high-need school or a 
                        consortium of high-need schools served 
                        by the high-need local educational 
                        agency or, as applicable, a high-need 
                        early childhood education program;
                          (iii) a partner institution;
                          (iv) a school, department, or program 
                        of education within such partner 
                        institution; and
                          (v) a school or department of arts 
                        and sciences within such partner 
                        institution; and
                  (B) may include any of the following:
                          (i) The Governor of the State.
                          (ii) The State educational agency.
                          (iii) The State board of education.
                          (iv) The State agency for higher 
                        education.
                          (v) A business.
                          (vi) A public or private nonprofit 
                        educational organization.
                          (vii) An educational service agency.
                          (viii) A teacher organization.
                          (ix) A high-performing local 
                        educational agency, or a consortium of 
                        such local educational agencies, that 
                        can serve as a resource to the 
                        partnership.
                          (x) A charter school (as defined in 
                        section 5210 of the Elementary and 
                        Secondary Education Act of 1965).
                          (xi) A school or department within 
                        the partner institution that focuses on 
                        psychology and human development.
                          (xii) A school or department within 
                        the partner institution with comparable 
                        expertise in the disciplines of 
                        teaching, learning, and child and 
                        adolescent development.
          (8) Essential components of reading instruction.--The 
        term ``essential components of reading instruction'' 
        has the meaning given such term in section 1208 of the 
        Elementary and Secondary Education Act of 1965.
          (9) Exemplary teacher.--The term ``exemplary 
        teacher'' has the meaning given such term in section 
        9101 of the Elementary and Secondary Education Act of 
        1965.
          (10) High-need early childhood education program.--
        The term ``high-need early childhood education 
        program'' means an early childhood education program 
        that is among the highest 25 percent of early childhood 
        programs in the geographic area served by the local 
        educational agency in the partnership, in terms of the 
        percentage of students from families with incomes below 
        the poverty line.
          (11) High-need local educational agency.--The term 
        ``high-need local educational agency'' means a local 
        educational agency--
                  (A)(i) for which not less than 20 percent of 
                the children served by the agency are children 
                from low-income families;
                  (ii) that serves not fewer than 10,000 
                children from low-income families; or
                  (iii) with a total of less than 600 students 
                in average daily attendance at the schools that 
                are served by the agency and all of whose 
                schools are designated with a school locale 
                code of 6, 7, or 8, as determined by the 
                Secretary; and
                  (B)(i) for which there is a high percentage 
                of teachers not teaching in the academic 
                subject areas or grade levels in which the 
                teachers were trained to teach; or
                  (ii) for which there is a high teacher 
                turnover rate or a high percentage of teachers 
                with emergency, provisional, or temporary 
                certification or licensure.
          (12) High-need school.--The term ``high-need school'' 
        means a public elementary school or public secondary 
        school that--
                  (A) is among the highest 25 percent of 
                schools served by the local educational agency 
                that serves the school, in terms of the 
                percentage of students from families with 
                incomes below the poverty line; or
                  (B) is designated with a school locale code 
                of 6, 7, or 8, as determined by the Secretary.
          (13) Highly competent.--The term ``highly 
        competent'', when used with respect to an early 
        childhood educator, means an educator--
                  (A) with specialized education and training 
                in development and education of young children 
                from birth until entry into kindergarten;
                  (B) with--
                          (i) a baccalaureate degree in an 
                        academic major in the arts and 
                        sciences; or
                          (ii) an associate's degree in a 
                        related educational area; and
                  (C) who has demonstrated a high level of 
                knowledge and use of content and pedagogy in 
                the relevant areas associated with quality 
                early childhood education.
          (14) Highly qualified.--The term ``highly qualified'' 
        has the meaning given such term in section 9101 of the 
        Elementary and Secondary Education Act of 1965 and, 
        with respect to special education teachers, in section 
        602 of the Individuals with Disabilities Education Act.
          (15) Induction program.--The term ``induction 
        program'' means a formalized program for new teachers 
        during not less than the teachers' first 2 years of 
        teaching that is designed to provide support for, and 
        improve the professional performance and advance the 
        retention in the teaching field of, beginning teachers. 
        Such program shall promote effective teaching skills 
        and shall include the following components:
                  (A) High-quality teacher mentoring.
                  (B) Periodic, structured time for 
                collaboration with teachers in the same 
                department or field, as well as time for 
                information-sharing among teachers, principals, 
                administrators, and participating faculty in 
                the partner institution.
                  (C) The application of empirically based 
                practice and scientifically valid research on 
                instructional practices.
                  (D) Opportunities for new teachers to draw 
                directly upon the expertise of teacher mentors, 
                faculty, and researchers to support the 
                integration of empirically based practice and 
                scientifically valid research with practice.
                  (E) The development of skills in 
                instructional and behavioral interventions 
                derived from empirically based practice and, 
                where applicable, scientifically valid 
                research.
                  (F) Faculty who--
                          (i) model the integration of research 
                        and practice in the classroom; and
                          (ii) assist new teachers with the 
                        effective use and integration of 
                        technology in the classroom.
                  (G) Interdisciplinary collaboration among 
                exemplary teachers, faculty, researchers, and 
                other staff who prepare new teachers on the 
                learning process and the assessment of 
                learning.
                  (H) Assistance with the understanding of 
                data, particularly student achievement data, 
                and the data's applicability in classroom 
                instruction.
                  (I) Regular evaluation of the new teacher.
          (16) Limited english proficient.--The term ``limited 
        English proficient'' has the meaning given such, term 
        in section 9101 of the Elementary and Secondary 
        Education Act of 1965.
          (17) Partner institution.--The term ``partner 
        institution'', means an institution of higher 
        education, which may include a 2-year institution of 
        higher education offering a dual program with, a 4-year 
        institution of higher education, participating in an 
        eligible partnership that has a teacher preparation 
        program--
                  (A) whose graduates exhibit strong 
                performance on State-determined qualifying 
                assess meats for new teachers through--
                          (i) demonstrating that 80 percent or 
                        more of the graduates of the program 
                        who intend to enter the field of 
                        teaching have passed all of the 
                        applicable State qualification 
                        assessments for new teachers, which 
                        shall include an assessment of each 
                        prospective teacher's subject matter 
                        knowledge in the content area in which 
                        the teacher intends to teach; or
                          (ii) being ranked among the highest-
                        performing teacher preparation programs 
                        in the State as determined by the 
                        State--
                                  (I) using criteria consistent 
                                with the requirements for the 
                                State report card under section 
                                205(b); and
                                  (II) using the State report 
                                card on teacher preparation 
                                required under section 205(b), 
                                after the first publication of 
                                such report card and for every 
                                year thereafter; or
                  (B) that requires--
                          (i) each student in the program to 
                        meet high academic standards and 
                        participate in intensive clinical 
                        experience;
                          (ii) each student in the program 
                        preparing to become a teacher to become 
                        highly qualified; and
                          (iii) each student in the program 
                        preparing to become an early childhood 
                        educator to meet degree requirements, 
                        as established by the State, and become 
                        highly competent.
          (18) Principles of scientific research.--The term 
        ``principles of scientific research'' means research 
        that--
                  (A) applies rigorous, systematic, and 
                objective methodology to obtain reliable and 
                valid knowledge relevant to education 
                activities and programs;
                  (B) presents findings and makes claims that 
                are appropriate to and supported by the methods 
                that have been employed; and
                  (C) includes, appropriate to the research 
                being conducted--
                          (i) use of systematic, empirical 
                        methods that draw on observation or 
                        experiment;
                          (ii) use of data analyses that are 
                        adequate to support the general 
                        findings;
                          (iii) reliance on measurements or 
                        observational methods that provide 
                        reliable and generalizable findings;
                          (iv) claims of causal relationships 
                        only in research designs that 
                        substantially eliminate plausible 
                        competing explanations for the obtained 
                        results, which may include but shall 
                        not be limited to random-assignment 
                        experiments;
                          (v) presentation of studies and 
                        methods in sufficient detail and 
                        clarity to allow for replication or, at 
                        a minimum, to offer the opportunity to 
                        build systematically on the findings of 
                        the research;
                          (vi) acceptance by a peer-reviewed 
                        journal or critique by a panel of 
                        independent experts through a 
                        comparably rigorous, objective, and 
                        scientific review; and
                          (vii) use of research designs and 
                        methods appropriate to the research 
                        question posed.
          (19) Professional development.--The term 
        ``professional development'' has the meaning given the 
        term in section 9101 of the Elementary and Secondary 
        Education Act of 1965.
          (20) Scientifically valid research.--The term 
        ``scientifically valid research'' includes applied 
        research, basic research, and field-initiated research 
        in which the rationale, design, and interpretation are 
        soundly developed in accordance with accepted 
        principles of scientific research.
          (21)Teacher mentoring.--The term ``teacher 
        mentoring'' means the mentoring of new or prospective 
        teachers through a new or established program that--
                  (A) includes clear criteria for the selection 
                of teacher mentors who will provide role model 
                relationships for mentees, which criteria shall 
                be developed by the eligible partnership and 
                based on measures of teacher effectiveness;
                  (B) provides high-quality training for such 
                mentors, including instructional strategies for 
                literacy instruction;
                  (C) provides regular and ongoing 
                opportunities for mentors and mentees to 
                observe each others teaching methods in 
                classroom settings during the day in a high-
                need school in the high-need local educational 
                agency in the eligible partnership;
                  (D) provides mentoring to each mentee by a 
                colleague who teaches in the same field, grade, 
                or subject as the mentee;
                  (E) promotes empirically based practice of, 
                and scientifically valid research on, where 
                applicable--
                          (i) teaching and learning;
                          (ii) assessment of student learning;
                          (iii) the development of teaching 
                        skills through the use of instructional 
                        and behavioral interventions; and
                          (iv) the improvement of the mentees' 
                        capacity to measurably advance student 
                        learning; and
                  (F) includes--
                          (i) common planning time or regularly 
                        scheduled collaboration for the mentor 
                        and mentee; and
                          (ii) joint professional development 
                        opportunities.
          (22) Teaching skills.--The term ``teaching skills'' 
        means skills that enable a teacher to--
                  (A) increase student learning, achievement, 
                and the ability to apply knowledge;
                  (B) effectively convey and explain academic 
                subject matter;
                  (C) employ strategies grounded in the 
                disciplines of teaching and learning that--
                          (i) are based on empirically based 
                        practice and scientifically valid 
                        research, where applicable, on teaching 
                        and learning;
                          (ii) are specific to academic subject 
                        matter; and
                          (iii) focus on the identification of 
                        students' specific learning needs, 
                        particularly students with 
                        disabilities, students who are limited 
                        English proficient, students who are 
                        gifted and talented, and students with 
                        low literacy levels, and the tailoring 
                        of academic instruction to such needs;
                  (D) conduct an ongoing assessment of student 
                learning;
                  (E) effectively manage a classroom;
                  (F) communicate and work with parents and 
                guardians, and involve parents and guardians in 
                their children's education; and
                  (G) use age-appropriate strategies and 
                practices for children, including in early 
                childhood education programs.
          (23) Teaching residency program.--The term ``teaching 
        residency program'' means a school-based teacher 
        preparation program in which a prospective teacher--
                  (A) for 1 academic year, teaches alongside a 
                mentor teacher, who is the teacher of record;
                  (B) receives concurrent instruction during 
                the year described in subparagraph (A) from the 
                partner institution, which courses may be 
                taught by local educational agency personnel or 
                residency program faculty, in the teaching of 
                the content area in which the teacher will 
                become certified or licensed;
                  (C) acquires effective teaching skills; and
                  (D) prior to completion of the program, earns 
                a master's degree, attains, full State teacher 
                certification or licensure, and becomes highly 
                qualified.

SEC. 202. PARTNERSHIP GRANTS.

    (a) Program authorized.-- From amounts made available under 
section 208, the Secretary is authorized to award grants, on a 
competitive basis, to eligible partnerships, to enable the 
eligible partnerships to carry out the activities described in 
subsection (c).
    (b) Application.--Each eligible partnership desiring a 
grant under this section shall submit an application to the 
Secretary at such time, in such manner; and accompanied by such 
information as the Secretary may require. Each such application 
shall contain--
          (1) a needs assessment of all the partners in the 
        eligible partnership with respect to the preparation, 
        ongoing training, professional development, and 
        retention, of general and special education teachers, 
        principals, and, as applicable, early childhood 
        educators;
          (2) a description of the extent to which the program 
        prepares prospective and new teachers with strong 
        teaching skills;
          (3) a description of the extent to which the program 
        will prepare prospective and new teachers to understand 
        research and data and the applicability of research and 
        data in the classroom;
          (4) a description of how the partnership will 
        coordinate strategies and activities assisted under the 
        grant with, other teacher preparation or professional 
        development programs, including those funded under the 
        Elementary and Secondary Education Act of 1965 and the 
        Individuals with Disabilities Education Act, and 
        through the National Science Foundation, and how the 
        activities of the partnership will be consistent with 
        State, local, and other education reform activities 
        that promote student achievement;
          (5) a resource assessment that describes the 
        resources available to the partnership, including--
                  (A) the integration of funds from other 
                related sources;
                  (B) the intended use of the grant funds;
                  (C) the commitment of the resources of the 
                partnership to the activities assisted under 
                this section, including financial support, 
                faculty participation, and time commitments, 
                and to the continuation of the activities when 
                the grant ends;
          (6) a description of----
                  (A) how the partnership will meet the 
                purposes of this part;
                  (B) how the partnership will carry out the 
                activities required under subsection (d) or (e) 
                based on the needs identified in paragraph (1), 
                with the goal of improving student achievement;
                  (C) the partnership's evaluation plan under 
                section 204(a);
                  (D) how the partnership will align the 
                teacher preparation program with the--
                          (i) early learning standards for 
                        early childhood education programs, as 
                        applicable, of the State in which the 
                        partnership is located; and
                          (ii) the student academic achievement 
                        standards and academic content 
                        standards under section 1111(b)(2) of 
                        the Elementary and Secondary Education 
                        Act of 1965, established by the State 
                        in which the partnership is located;
                  (E) how faculty at the partner institution 
                will work with, during the term of the grant, 
                highly qualified teachers in the classrooms of 
                schools served by the high-need local 
                educational agency in the partnership to 
                provide high-quality professional development 
                activities;
                  (F) how the partnership will design, 
                implement, or enhance a year-long, rigorous, 
                and enriching teaching preservice clinical 
                program component;
                  (G) the in-service professional development 
                strategies and activities to be supported; and
                  (H) how the partnership will collect, 
                analyze, and use data on the retention of all 
                teachers and early childhood educators in 
                schools and early childhood programs located in 
                the geographic area served by the partnership 
                to evaluate the effectiveness of the 
                partnership's teacher and educator support 
                system; and
          (7) with respect to the induction program required as 
        part of the activities carried out under this section--
                  (A) a demonstration that the schools and 
                departments within the institution of higher 
                education that are part of the induction 
                program have relevant and essential roles in 
                the effective preparation of teachers, 
                including content expertise and expertise in 
                teaching;
                  (B) a demonstration of the partnership's 
                capability and commitment to the use of 
                empirically based practice and scientifically 
                valid research on teaching and learning, and 
                the accessibility to and involvement of 
                faculty;
                  (C) a description of how the teacher 
                preparation program will design and implement 
                an induction program to support all new 
                teachers through not less than the first 2 
                years of teaching in the further development of 
                the new teachers' teaching skills, including 
                the use of mentors who are trained and 
                compensated by such program for the mentors' 
                work with new teachers; and
                  (D) a description of how faculty involved in 
                the induction program will be able to 
                substantially participate in an early childhood 
                education program or an elementary or secondary 
                school classroom setting, as applicable, 
                including release time and receiving workload 
                credit for such participation.
    (c) Required Use of Grant Funds.--An eligible partnership 
that receives a grant under this part shall use grant funds to 
carry out a program for the pre-baccalaureate preparation of 
teachers under subsection (d), a teaching residency program 
under subsection (e), or both such programs.
    (d) Partnership Grants for Pre-Baccalaureate Preparation of 
Teachers.--An eligible partnership that receives a grant to 
carry out an effective program for the pre-baccalaureate 
preparation of teachers shall carry out a program that includes 
all of the following:
          (1) Reforms.--
                  (A) In general.--Implementing reforms, 
                described in subparagraph (B), within each 
                teacher preparation program and, as applicable, 
                each preparation program for early childhood 
                education programs, of the eligible partnership 
                that is assisted under this section, to hold 
                each program accountable for--
                          (i) preparing--
                                  (I) current or prospective 
                                teachers to be highly qualified 
                                (including teachers in rural 
                                school districts who may teach 
                                multiple subjects, special 
                                educators, and teachers of 
                                students who are limited 
                                English proficient who may 
                                teach multiple subjects);
                                  (II) such teachers and, as 
                                applicable, early childhood 
                                educators, to understand 
                                empirically based practice and 
                                scientifically valid research 
                                on teaching and learning and 
                                its applicability, and to use 
                                technology effectively, 
                                including the use of 
                                instructional techniques to 
                                improve student achievement; 
                                and
                                  (III) as applicable, early 
                                childhood educators to be 
                                highly competent; and
                          (ii) promoting strong teaching skills 
                        and, as applicable, techniques for 
                        early childhood educators to improve 
                        children's cognitive, social, 
                        emotional, and physical development.
                  (B) Required reforms.--The reforms described 
                in subparagraph (A) shall include--
                          (i) implementing teacher preparation 
                        program curriculum changes that 
                        improve, evaluate, and assess how well 
                        all prospective and new teachers 
                        develop teaching skills;
                          (ii) using empirically based practice 
                        and scientifically valid research, 
                        where applicable, about the disciplines 
                        of teaching and learning so that all 
                        prospective teachers and, as 
                        applicable, early childhood educators--
                                  (I) can understand and 
                                implement research-based 
                                teaching practices in 
                                classroom-based instruction;
                                  (II) have knowledge of 
                                student learning methods;
                                  (III) possess skills to 
                                analyze student academic 
                                achievement data and other 
                                measures of student learning 
                                and use such data and measures 
                                to improve instruction in the 
                                classroom;
                                  (IV) possess teaching skills 
                                and an understanding of 
                                effective instructional 
                                strategies across all 
                                applicable content areas that 
                                enable the teachers and early 
                                childhood educators to--
                                          (aa) meet the 
                                        specific learning needs 
                                        of all students, 
                                        including students with 
                                        disabilities, students 
                                        who are limited English 
                                        proficient, students 
                                        who are gifted and 
                                        talented, students with 
                                        low literacy levels 
                                        and, as applicable, 
                                        children in early 
                                        childhood education 
                                        programs; and
                                          (bb) differentiate 
                                        instruction for such 
                                        students; and
                                  (V) can successfully employ 
                                effective strategies for 
                                reading instruction using the 
                                essential components of reading 
                                instruction;
                          (iii) ensuring collaboration with 
                        departments, programs, or units of a 
                        partner institution outside of the 
                        teacher preparation program in all 
                        academic content areas to ensure that 
                        new teachers receive training in both 
                        teaching and relevant content areas in 
                        order to become highly qualified;
                          (iv) developing and implementing an 
                        induction program; and
                          (v) developing admissions goals and 
                        priorities with the hiring objectives 
                        of the high-need local educational 
                        agency in the eligible partnership.
          (2) Clinical experience and interaction.--Developing 
        and improving a sustained and high-quality pre-service 
        clinical education program to further develop the 
        teaching skills of all prospective teachers and, as 
        applicable, early childhood educators, involved in the 
        program. Such program, shall do the following:
                  (A) Incorporate year-long opportunities for 
                enrichment activity or a combination of 
                activities, including--
                          (i) clinical learning in classrooms 
                        in high-need schools served by the 
                        high-need local educational agency in 
                        the eligible partnership and identified 
                        by the eligible partnership; and
                          (ii) closely supervised interaction 
                        between faculty and new and experienced 
                        teachers, principals, and other 
                        administrators at early childhood 
                        education programs (as applicable), 
                        elementary schools, or secondary 
                        schools, and providing support for 
                        such, interaction.
                  (B) Integrate pedagogy and classroom practice 
                and promote effective teaching skills in 
                academic content areas.
                  (C) Provide high-quality teacher mentoring.
                  (D)(i) Be offered over the course of a 
                programs of teacher preparation;
                  (ii) be tightly aligned with, course work; 
                (and may be developed as a 5th year of a 
                teacher preparation program); and
                  (iii) where feasible, allow prospective 
                teachers to learn to teach in the same school 
                district in which the teachers will work, 
                learning the instructional initiatives and 
                curriculum of that district.
                  (E) Provide support and training for those 
                individuals participating in an activity for 
                prospective teachers described in this 
                paragraph or paragraph (1) or (2), and for 
                those who serve as mentors for such teachers, 
                based on each individual's experience. Such 
                support may include--
                          (i) with respect to a prospective 
                        teacher or a mentor, release time for 
                        such individual's participation;
                          (ii) with respect to a faculty 
                        member, receiving course workload 
                        credit and compensation for time 
                        teaching in the eligible partnership's 
                        activities; and
                          (iii) with respect to a mentor, a 
                        stipend, which may include bonus, 
                        differential, incentive, or merit or 
                        performance-based pay.
          (3) Induction programs for new teachers.--Creating an 
        induction program for new teachers, or, in the case of 
        an early childhood education program, providing 
        mentoring or coaching for new early childhood 
        educators.
          (4) Support and training for participants in early 
        childhood education programs.--In the case of an 
        eligible partnership focusing on early childhood 
        educator preparation, implementing initiatives that 
        increase compensation for early childhood educators who 
        attain associate or baccalaureate degrees in early 
        childhood education.
          (5) Teacher recruitment.--Developing and implementing 
        effective mechanisms to ensure that the eligible 
        partnership is able to recruit qualified individuals to 
        become highly qualified teachers through the activities 
        of the eligible partnership.
    (e) Partnership Grants for the Establishment of Teaching 
Residency Programs.--
          (1) In general.--An eligible partnership receiving a 
        grant to carry out an effective teaching residency 
        program shall carry out a program that includes all of 
        the following activities:
                  (A) Supporting a teaching residency program 
                described in paragraph (2) for high-need 
                subjects and areas, as determined by the needs 
                of the high-need local educational agency in 
                the partnership.
                  (B) Modifying staffing procedures to provide 
                greater flexibility for local educational 
                agency and school leaders to establish 
                effective school-level staffing in order to 
                facilitate placement of graduates of the 
                teaching residency program in cohorts that 
                facilitate professional collaboration, both 
                among graduates of the teaching residency 
                program and between such graduates and mentor 
                teachers in the receiving school.
                  (C) Ensuring that teaching residents that 
                participated in the teaching residency program 
                receive--
                          (i) effective preservice preparation 
                        as described in paragraph (2);
                          (ii) teacher mentoring;
                          (iii) induction through the induction 
                        program as the teaching residents enter 
                        the classroom as new teachers; and
                          (iv) the preparation described in 
                        subparagraphs (A), (B), and (C) of 
                        subsection (d) (2).
          (2) Teaching residency programs.--
                  (A) Establishment and design.--A teaching 
                residency program under this paragraph shall be 
                a program based upon models of successful 
                teaching residencies that serves as a mechanism 
                to prepare teachers for success in the high-
                need schools in the eligible partnership, and 
                shall be designed to include the following 
                characteristics of successful programs:
                          (i) The integration of pedagogy, 
                        classroom practice, and teacher 
                        mentoring.
                          (ii) Engagement of teaching residents 
                        in rigorous graduate-level coursework 
                        to earn a master's degree while 
                        undertaking a guided teaching 
                        apprenticeship.
                          (iii) Experience and learning 
                        opportunities alongside a trained and 
                        experienced mentor teacher--
                                  (I) whose teaching shall 
                                complement the residency 
                                program so that classroom 
                                clinical practice is tightly 
                                aligned with coursework;
                                  (II) who shall have extra 
                                responsibilities as a teacher 
                                leader of the teaching 
                                residency program, as a mentor 
                                for residents, and as a teacher 
                                coach during the induction 
                                program for novice teachers, 
                                and for establishing, within 
                                the program, a learning 
                                community in which all 
                                individuals are expected to 
                                continually improve their 
                                capacity to advance student 
                                learning; and
                                  (III) who may have full 
                                relief from teaching duties as 
                                a result of such additional 
                                responsibilities.
                          (iv) The establishment of clear 
                        criteria for the selection of mentor 
                        teachers based on measures of teacher 
                        effectiveness and the appropriate 
                        subject area knowledge. Evaluation of 
                        teacher effectiveness shall be based on 
                        observations of such domains of 
                        teaching as the following:
                                  (I) Planning and preparation, 
                                including demonstrated 
                                knowledge of content, pedagogy, 
                                and assessment, including the 
                                use of formative assessments to 
                                improve student learning.
                                  (II) Appropriate instruction 
                                that engages students with 
                                different learning styles.
                                  (III) Collaboration with 
                                colleagues to improve 
                                instruction.
                                  (IV) Analysis of gains in 
                                student learning, based on 
                                multiple measures, that, when 
                                feasible, may include valid and 
                                reliable objective measures of 
                                the influence of teachers on 
                                the rate of student academic 
                                progress.
                                  (V) In the case of mentor 
                                candidates who will be 
                                mentoring current or future 
                                literacy and mathematics 
                                coaches or instructors, 
                                appropriate skills in the 
                                essential components of reading 
                                instruction, teacher training 
                                in literacy instructional 
                                strategies across core subject 
                                areas, and teacher training in 
                                mathematics instructional 
                                strategies, as appropriate.
                          (v) Grouping of teaching residents in 
                        cohorts to facilitate professional 
                        collaboration among such residents.
                          (vi) The development of admissions 
                        goals and priorities aligned with the 
                        hiring objectives of the local 
                        educational agency partnering with the 
                        program, as well as the instructional 
                        initiatives and curriculum of the 
                        agency, in exchange for a commitment by 
                        the agency to hire graduates from the 
                        teaching residency program.
                          (vii) Support for residents, once the 
                        teaching residents are hired as 
                        teachers of record, through an 
                        induction program, professional 
                        development, and networking 
                        opportunities to support the residents 
                        through not less than the residents' 
                        first 2 years of teaching.
                  (B) Selection of individuals as teacher 
                residents.--
                          (i) Eligible individual.--In order to 
                        be eligible to be a teacher resident in 
                        a teaching residency program under this 
                        paragraph, an individual shall--
                                  (I) be a recent graduate of a 
                                4-year institution of higher 
                                education or a mid-career 
                                professional from outside the 
                                field of education possessing 
                                strong content knowledge or a 
                                record of professional 
                                accomplishment; and
                                  (II) submit an application to 
                                the teaching residency program.
                          (ii) Selection criteria.--An eligible 
                        partnership carrying out a teaching 
                        residency program under this 
                        subparagraph shall establish criteria 
                        for the selection of eligible 
                        individuals to participate in the 
                        teaching residency program, based on 
                        the following characteristics:
                                  (I) Strong content knowledge 
                                or record of accomplishment in 
                                the field or subject area to be 
                                taught.
                                  (II) Strong verbal and 
                                written communication skills, 
                                which may be demonstrated by 
                                performance on appropriate 
                                tests.
                                  (III) Other attributes linked 
                                to effective teaching, which 
                                may be determined by interviews 
                                or performance assessments, as 
                                specified by the eligible 
                                partnership.
                  (C) Stipend and service requirement.--
                          (i) Stipend.--A teaching residency 
                        program under this paragraph shall 
                        provide a 1-year living stipend or 
                        salary to teaching residents during the 
                        1-year teaching residency program.
                          (ii) Service requirement.--As a 
                        condition of receiving a stipend under 
                        this subparagraph, a teaching resident 
                        shall agree to teach in a high-need 
                        school served by the high-need local 
                        educational agency in the eligible 
                        partnership for a period of 3 or more 
                        years after completing the 1-year 
                        teaching residency program.
                          (iii) Repayment.--If a teaching 
                        resident who received a stipend under 
                        this subparagraph does not complete the 
                        service requirement described in clause 
                        (ii), such individual shall repay to 
                        the high-need local educational agency 
                        a pro rata portion of the stipend 
                        amount for the amount of teaching time 
                        that the individual did not complete.
    (f) Consultation.--
          (1) In general.--Members of an eligible partnership 
        that receives a grant under this section shall engage 
        in regular consultation throughout the development and 
        implementation of programs and activities under this 
        section.
          (2) Regular communication.--To ensure timely and 
        meaningful consultation, regular communication shall 
        occur among all members of the eligible partnership, 
        including the high-need local educational agency. Such 
        communication shall continue throughout the 
        implementation of the grant and the assessment of 
        programs and activities under this section.
          (3) Written consent.--The Secretary may approve 
        changes in grant activities of a grant under this 
        section only if a written consent signed by all members 
        of the eligible partnership is submitted to the 
        Secretary.
          (g) Construction.--Nothing in this section shall be 
        construed to prohibit an eligible partnership from 
        using grant funds to coordinate with the activities of 
        eligible partnerships in other States or on a regional 
        basis through Governors, State boards of education, 
        State educational agencies, State agencies responsible 
        for early childhood education, local educational 
        agencies, or State agencies for higher education.
          (h) Supplement, Not Supplant.--Funds made available 
        under this section shall be used to supplement, and not 
        supplant, other Federal, State, and local funds that 
        would otherwise be expended to carry out activities 
        under this section.

SEC. 203. ADMINISTRATIVE PROVISIONS.

    (a) Duration; Number of Awards; Payments.--
          (1) Duration.--A grant awarded under this part shall 
        be awarded for a period of 5 years.
          (2) Number of awards.--An eligible partnership may 
        not receive more than 1 grant during a 5-year period. 
        Nothing in this title shall be construed to prohibit an 
        individual member, that can demonstrate need, of an 
        eligible partnership that receives a grant under this 
        title from entering into another eligible partnership 
        consisting of new members and receiving a grant with 
        such other eligible partnership before the 5-year 
        period described in the preceding sentence applicable 
        to the eligible partnership with which the individual 
        member has first partnered has expired.
          (3) Payments.--The Secretary shall make annual 
        payments of grant funds awarded under this part.
    (b) Peer Review.--
          (1) Panel.--The Secretary shall provide the 
        applications submitted under this part to a peer review 
        panel for evaluation. With respect to each application, 
        the peer review panel shall initially recommend the 
        application for funding or for disapproval.
          (2) Priority.--In recommending applications to the 
        Secretary for funding under this part, the panel shall 
        give priority--
                  (A) to applications from broad-based eligible 
                partnerships that involve businesses and 
                community organizations; and
                  (B) to eligible partnerships so that the 
                awards promote an equitable geographic 
                distribution of grants among rural and urban 
                areas.
          (3) Secretarial selection.--The Secretary shall 
        determine, based on the peer review process, which 
        applications shall receive funding and the amounts of 
        the grants. In determining the grant amount, the 
        Secretary shall take into account the total amount of 
        funds available for all grants under this part and the 
        types of activities proposed to be carried out by the 
        eligible partnership.
    (c) Matching Requirements.--
          (1) In general.--Each eligible partnership receiving 
        a grant under this part shall provide, from non-Federal 
        sources, an amount equal to 100 percent of the amount 
        of the grant, which may be provided in cash or in-kind, 
        to carry out the activities supported by the grant.
          (2) Waiver.--The Secretary may waive all or part of 
        the matching requirement described in paragraph (1) for 
        any fiscal year for an eligible partnership, if the 
        Secretary determines that applying the matching 
        requirement to the eligible partnership would result in 
        serious hardship or an inability to carry out the 
        authorized activities described in this part.
    (d) Limitation on Administrative Expenses.--An eligible 
partnership that receives a grant under this part may use not 
more than 2 percent of the grant funds for purposes of 
administering the grant.

SEC. 204. ACCOUNTABILITY AND EVALUATION.

    (a) Eligible Partnership Evaluation.--Each eligible 
partnership submitting an application for a grant under this 
part shall establish and include in such application, an 
evaluation plan that includes strong performance objectives. 
The plan shall include objectives and measures for increasing--
          (1) student achievement for all students as measured 
        by the eligible partnership;
          (2) teacher retention in the first 3 years of a 
        teacher's career;
          (3) improvement in the pass rates and scaled scores 
        for initial State certification or licensure of 
        teachers; and
          (4)(A) the percentage of highly qualified teachers 
        hired by the high-need local educational agency 
        participating in the eligible partnership;
          (B) the percentage of such teachers who are members 
        of under represented groups;
          (C) the percentage of such, teachers who teach high-
        need academic subject areas (such as reading, 
        mathematics, science, and foreign language, including 
        less commonly taught languages and critical foreign 
        languages);
          (D) the percentage of such teachers who teach in 
        high-need areas (including special education, language 
        instruction educational programs for limited English 
        proficient students, and early childhood education);
          (E) the percentage of such teachers in high-need 
        schools, disaggregated by the elementary, middle, and 
        high school levels; and
          (F) as applicable, the percentage of early childhood 
        education program classes in the geographic area served 
        by the eligible partnership taught by early childhood 
        educators who are highly competent.
    (b) Information.--An eligible partnership receiving a grant 
under this part shall ensure that teachers, principals, school 
superintendents, and faculty and leadership at institutions of 
higher education located in the geographic areas served by the 
eligible partnership under this part are provided information 
about the activities carried out with funds under this part, 
including through electronic means.
    (c) Revocation of Grant.--If the Secretary determines that 
an eligible partnership receiving a grant under this part is 
not making substantial progress in meeting the purposes, goals, 
objectives, and measures, as appropriate, of the grant by the 
end of the third year of a grant under this part, then the 
Secretary shall require such eligible partnership to submit a 
revised application that identifies the steps the partnership 
will take to make substantial progress to meet the purposes, 
goals, objectives, and measures, as appropriate, of this part.
    (d) Evaluation and Dissemination.--The Secretary shall 
evaluate the activities funded under this part and report the 
Secretary's findings regarding the activities to the 
authorizing committees. The Secretary shall broadly 
disseminate--
          (1) successful practices developed by eligible 
        partnerships under this part; and
          (2) information regarding such practices that were 
        found to be ineffective.

SEC. 205. ACCOUNTABILITY FOR PROGRAMS THAT PREPARE TEACHERS.

    (a) Institutional and Program Report Cards on the Quality 
of Teacher Preparation.--
          (1) Report card.--Each institution of higher 
        education that conducts a traditional teacher 
        preparation program or alternative routes to State 
        certification or licensure program and that enrolls 
        students receiving Federal assistance under this Act 
        shall report annually to the State and the general 
        public, in a uniform and comprehensible manner that 
        conforms with the definitions and methods established 
        by the Secretary, both for traditional teacher 
        preparation programs and alternative routes to State 
        certification or licensure programs, the following 
        information:
                  (A) Pass rates and scaled scores.--For the 
                most recent year for which the information is 
                available for those students who took the 
                assessments and are enrolled in the traditional 
                teacher preparation program or alternative 
                routes to State certification or licensure 
                program, and for those who have taken the 
                assessments and have completed the traditional 
                teacher preparation program or alternative 
                routes to State certification or licensure 
                program during the 2-year period preceding such 
                year, for each of the assessments used for 
                teacher certification or licensure by the State 
                in which the program is located--
                          (i) the percentage of students who 
                        have completed 100 percent of the 
                        nonclinical coursework and taken the 
                        assessment who pass such assessment;
                          (ii) the percentage of all such 
                        students who passed each such 
                        assessment;
                          (iii) the percentage of students 
                        taking an assessment who completed the 
                        teacher preparation program after 
                        enrolling in the program, which shall 
                        be made available widely and publicly 
                        by the State;
                          (iv) the average scaled score for all 
                        students who took each such assessment;
                          (v) a comparison of the program's 
                        pass rates with the average pass rates 
                        for programs in the State; and
                          (vi) a comparison of the program's 
                        average scaled scores with, the average 
                        scaled scores for programs in the 
                        State.
                  (B) Program information.--The criteria for 
                admission into the program, the number of 
                students in the program (disaggregated by race 
                and gender), the average number of hours of 
                supervised clinical experience required for 
                those in the program, the number of full-time 
                equivalent faculty and students in the 
                supervised clinical experience, and the total 
                number of students who have been certified or 
                licensed as teachers, disaggregated by subject 
                and area of certification or licensure.
                  (C) Statement.--In States that require 
                approval or accreditation of teacher 
                preparation programs, a statement of whether 
                the institution's program is so approved or 
                accredited, and by whom.
                  (D) Designation as low-performing.--Whether 
                the program has been designated as low-
                performing by the State under section 207(a).
                  (E) Use of technology.--A description of the 
                activities that prepare teachers to effectively 
                integrate technology into curricula and 
                instruction and effectively use technology to 
                collect, manage, and analyze data in order to 
                improve teaching, learning, and decisionmaking 
                for the purpose of increasing student academic 
                achievement.
          (2) Report.--Each eligible partnership receiving a 
        grant under section 202 shall report annually on the 
        progress of the eligible partnership toward meeting the 
        purposes of this part and the objectives and measures 
        described in section 204(a).
          (3) Fines.--The Secretary may impose a fine not to 
        exceed $25,000 on an institution of higher education 
        for failure to provide the information described in 
        this subsection in a timely or accurate manner.
          (4) Special rule.--In the case of an institution of 
        higher education that conducts a traditional teacher 
        preparation program or alternative routes to State 
        certification or licensure program and has fewer than 
        10 scores reported on any single initial teacher 
        certification or licensure assessment during an 
        academic year, the institution shall collect and 
        publish information, as required under paragraph 
        (1)(A), with respect to an average pass rate and scaled 
        score on each State certification or licensure 
        assessment taken over a 3-year period.
    (b) State Report Card on the Quality of Teacher 
Preparation.--
          (1) In general.--Each State that receives funds under 
        this Act shall provide to the Secretary, annually, in a 
        uniform and comprehensible manner that conforms with 
        the definitions and methods established by the 
        Secretary, a State report card on the quality of 
        teacher preparation in the State, both for traditional 
        teacher preparation programs and for alternative routes 
        to State certification or licensure programs, which 
        shall include not less than the following:
                  (A) A description of reliability and validity 
                of the teacher certification and licensure 
                assessments, and any other certification and 
                licensure requirements, used by the State.
                  (B) The standards and criteria that 
                prospective teachers must meet in order to 
                attain initial teacher certification or 
                licensure and to be certified or licensed to 
                teach particular academic subject areas or in 
                particular grades within the State.
                  (C) A description of how the assessments and 
                requirements described in subparagraph (A) are 
                aligned with the State's challenging academic 
                content standards required under section 
                1111(b)(1) of the Elementary and Secondary 
                Education Act of 1965 and State early learning 
                standards for early childhood education 
                programs.
                  (D) For each of the assessments used by the 
                State for teacher certification or licensure--
                          (i) for each institution of higher 
                        education located in the State and each 
                        entity located in the State that offers 
                        an alternative route for teacher 
                        certification or licensure, the 
                        percentage of students at such 
                        institution or entity who have 
                        completed 100 percent of the 
                        nonclinical coursework and taken the 
                        assessment who pass such assessment;
                          (ii) the percentage of all such 
                        students at all such institutions 
                        taking the assessment who pass such 
                        assessment; and
                          (iii) the percentage of students 
                        taking an assessment who completed the 
                        teacher preparation program after 
                        enrolling in the program, which shall 
                        be made available widely and publicly 
                        by the State.
                  (E) A description of alternative routes to 
                State certification or licensure in the State 
                (including any such routes operated by entities 
                that are not institutions of higher education), 
                if any, including, for each of the assessments 
                used by the State for teacher certification or 
                licensure
                          (i) the percentage of individuals 
                        participating in such routes, or who 
                        have completed such routes during the 
                        2-year period preceding the date of the 
                        determination, who passed each such 
                        assessment; and
                          (ii) the average scaled score of 
                        indi21 victuals participating in such 
                        routes, or who have completed such 
                        routes during the period preceding the 
                        date of the determination, who took 
                        each such assessment.
                  (F) A description of the State's criteria for 
                assessing the performance of teacher 
                preparation programs within institutions of 
                higher education in the State. Such criteria 
                shall include indicators of the academic 
                content knowledge and teaching skills of 
                students enrolled in such programs.
                  (G) For each teacher preparation program in 
                the State, the criteria for admission into the 
                program, the number of students in the program, 
                disaggregated by race and gender (except that 
                such disaggregation shall not be required in a 
                case in which the number of students in a 
                category is insufficient to yield statistically 
                reliable information or the results would 
                reveal personally identifiable information 
                about an individual student), the average 
                number of hours of supervised clinical 
                experience required for those in the program, 
                and the number of full-time equivalent faculty, 
                adjunct faculty, and students in supervised 
                clinical experience.
                  (H) For the State as a whole, and for each 
                teacher preparation program in the State, the 
                number of teachers prepared, in the aggregate 
                and reported separately by--
                          (i) area of certification or 
                        licensure;
                          (ii) academic major, and
                          (iii) subject area for which the 
                        teacher has been prepared to teach.
                  (I) Using the data generated under 
                subparagraphs (G) and (H), a description of the 
                extent to which teacher preparation programs 
                are helping to address shortages of highly 
                qualified teachers, by area of certification or 
                licensure, subject, and specialty, in the 
                State's public schools.
                  (J) A description of the activities that 
                prepare teachers to effectively integrate 
                technology into curricula and instruction and 
                effectively use technology to collect, manage, 
                and analyze data in order to improve teaching, 
                learning, and decisionmaking for the purpose of 
                increasing student academic achievement.
          (2) Prohibition against creating a national list.--
        The Secretary shall not create a national list or 
        ranking of States, institutions, or schools using the 
        scaled scores provided under this subsection.
    (c) Report of the Secretary on the Quality of Teacher 
Preparation.--
          (1) Report card.--The Secretary shall provide to 
        Congress, and publish and make widely available, a 
        report card on teacher qualifications and preparation 
        in the United States, including all the information 
        reported in subparagraphs (A) through (J) of subsection 
        (b)(1). Such report shall identify States for which 
        eligible partnerships received a grant under this part. 
        Such report shall be so provided, published, and made 
        available annually.
          (2) Report to congress.--The Secretary shall prepare 
        and submit a report to Congress that contains the 
        following:
                  (A) A comparison of States' efforts to 
                improve the quality of the current and future 
                teaching force.
                  (B) A comparison of eligible partnerships' 
                efforts to improve the quality of the current 
                and future teaching force.
                  (C) The national mean and median scaled 
                scores and pass rate on any standardized test 
                that is used in more than 1 State for teacher 
                certification or licensure.
          (3) Special rule.--In the case of a teacher 
        preparation program with fewer than 10 scores reported 
        on any single initial teacher certification or 
        licensure assessment during an academic year, the 
        Secretary shall collect and publish information, and 
        make publicly available, with respect to an average 
        pass rate and scaled score on each State certification 
        or licensure assessment taken over a 3-year period.
    (d) Coordination.--The Secretary, to the extent 
practicable, shall coordinate the information collected and 
published under this part among States for individuals who took 
State teacher certification or licensure assessments in a State 
other than the State in which the individual received the 
individual's most recent degree.

SEC. 206. STATE FUNCTIONS.

    (a) State assessment.--In order to receive funds under this 
Act, a State shall have in place a procedure to identify and 
assist, through the provision of technical assistance, low-
performing programs of teacher preparation. Such State shall 
provide the Secretary an annual list of such low-performing 
teacher preparation programs that includes an identification of 
those programs at risk of being placed on such list. Such 
levels of performance shall be determined solely by the State 
and may include criteria based on information collected 
pursuant to this part. Such assess meat shall be described in 
the report under section 205(b).
    (b) Termination of Eligibility.--Any program of teacher 
preparation from which the State has withdrawn the State's 
approval, or terminated the State's financial support, due to 
the low performance of the program based upon the State 
assessment described in subsection (a)--
          (1) shall be ineligible for any funding for 
        professional development activities awarded by the 
        Department;
          (2) shall not be permitted to accept or enroll any 
        student that receives aid under title IV in the 
        institution's teacher preparation program; and
          (3) shall provide transitional support, including 
        remedial services if necessary, for students enrolled 
        at the institution at the time of termination of 
        financial support or withdrawal of approval.
    (c) Negotiated Rulemaking.--If the Secretary develops any 
regulations implementing subsection (b)(2), the Secretary shall 
submit such proposed regulations to a negotiated rulemaking 
process, which shall include representatives of States, 
institutions of higher education, and educational and student 
organizations.
    (d) Application of the Requirements.--The requirements of 
this section shall apply to both traditional teacher 
preparation programs and alternative routes to State 
certification and licensure programs.

SEC. 207. GENERAL PROVISIONS.

    (a) Methods.--In complying with sections 205 and 206, the 
Secretary shall ensure that States and institutions of higher 
education use fair and equitable methods in reporting and that 
the reporting methods do not allow identification of 
individuals.
    (b) Special Rule.--For each State that does not use content 
assessments as a means of ensuring that all teachers teaching 
in core academic subjects within the State are highly 
qualified, as required under section 1119 of the Elementary and 
Secondary Education Act of 1965 and in accordance with the 
State plan submitted or revised under section 1111 of such Act, 
and that each person employed as a special education teacher in 
the State who teaches elementary school, middle school, or 
secondary school is highly qualified by the deadline, as 
required under section 612(a)(14)(C) of the Individuals with 
Disabilities Education Act,--
          (1) the Secretary shall, to the extent practicable, 
        collect data comparable to the data required under 
        teachers; and this part from States, local educational 
        agencies, institutions of higher education, or other 
        entities that administer such assessments to teachers 
        or prospective teachers; and
          (2) notwithstanding any other provision of this part, 
        the Secretary shall use such data to carry out 
        requirements of this part related to assessments, pass 
        rates, and scaled scores.
    (c) Release of Information to Teacher Preparation 
Programs.--
          (1) In general.--For the purpose of improving teacher 
        preparation programs, a State educational agency that 
        receives funds under this Act, or that participates as 
        a member of a partnership, consortium, or other entity 
        that receives such funds, shall provide to a teacher 
        preparation program, upon the request of the teacher 
        preparation program, any and all pertinent education-
        related information that--
                  (A) may enable the teacher preparation 
                program to evaluate the effectiveness of the 
                program's graduates or the program itself; and
                  (B) is possessed, controlled, or accessible 
                by the State educational agency.
          (2) Content of information.--The information 
        described in paragraph (1)--
                  (A) shall include an identification of 
                specific individuals who graduated from the 
                teacher preparation program to enable the 
                teacher preparation program to evaluate the 
                information provided to the program from the 
                State educational agency with the program's own 
                data about, the specific courses taken by, and 
                field experiences of, the individual graduates; 
                and
                  (B) may include--
                          (i) kindergarten through grade 12 
                        academic achievement and demographic 
                        data, without revealing personally 
                        identifiable information about an 
                        individual student, for students who 
                        have been taught by graduates of the 
                        teacher preparation program; and
                          (ii) teacher effectiveness 
                        evaluations for teachers who graduated 
                        from the teacher preparation program.

SEC. 208. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to carry out this 
part such sums as may be necessary for fiscal year 2008 and 
each of the 5 succeeding fiscal years.

           *       *       *       *       *       *       *

                       PART C--GENERAL PROVISIONS

SEC. 231. LIMITATIONS.

    (a) Federal Control Prohibited.--Nothing in this title 
shall be construed to permit, allow, encourage, or authorize 
any Federal control over any aspect of any private, religious, 
or home school, whether or not a home school is treated as a 
private school or home school under State law. This section 
shall not be construed to prohibit private, religious, or home 
schools from participation in programs or services under this 
title.
    (b) No Change in State Control Encouraged or Required.--
Nothing in this title shall be construed to encourage or 
require any change in a State's treatment of any private, 
religious, or home school, whether or not a home school is 
treated as a private school or home school under State law.
    (C) National System of Teacher Certification or Licensure 
Prohibited.--Nothing in this title shall be construed to 
permit, allow, encourage, or authorize the Secretary to 
establish or support any national system of teacher 
certification or licensure.

           *       *       *       *       *       *       *

                      TITLE III--INSTITUTIONAL AID

SEC. 301. [20 U.S.C. 1051] FINDINGS AND PURPOSES.

    (a) Findings.--The Congress finds that--
          (1) * * *

           *       *       *       *       *       *       *

                   PART A--STRENGTHENING INSTITUTIONS

SEC. 311. [20 U.S.C. 1057] PROGRAM PURPOSE.

    (a) General Authorization.--* * *
    (b) Grants Awarded; Special Consideration.--(1) From the 
sums available for this part under section 399(a)(1), the 
Secretary may award grants to a eligible institution with an 
application approved under section [351]391 in order to assist 
such an institution to plan, develop, or implement activities 
that promise to strengthen institution.
          (2) * * *

           *       *       *       *       *       *       *

          (3) Special consideration shall be given to 
        applications which propose, pursuant to the 
        institution's plan, to engage in--
                  (A) faculty development;

           *       *       *       *       *       *       *

                  (F) student services, including services that 
                will assist in the education of special 
                populations.
    (c) Authorized Activities.--Grants awarded under this 
section shall be used for 1 or more of the following 
activities;
          (1) * * *

           *       *       *       *       *       *       *

          (5) * * *
          (6) Tutoring, counseling, and student service 
        programs designed to improve academic success, 
        including innovative, customized, remedial education 
        and English language instruction courses designed to 
        help retain students and move the students rapidly into 
        core courses and through program completion.
          (7) Education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents. 
          [(7)](8) Funds management, administrative management, 
        and acquisition of equipment for use in strengthening 
        funds management.
          [(8)](9) Joint use of facilities, such as 
        laboratories and libraries.
          [(9)](10) Establishing or improving a development 
        office to strengthen or improve contributions from 
        alumni and the private secter.
          [(10)](11) Establishing or improving an endowment 
        fund.
          [(11)](12) Creating or improving facilities for 
        Internet or other [distance learning academic 
        instruction capabilities]distance education 
        technologies including purchase or rental of 
        telecommunications technology equipment or services.
          [(12)](13) Other activities proposed in the 
        application submitted pursuant to [subsection 
        (c)]subsection (b) and section 391 that--
                  (A) contribute to carrying out the purposes 
                of the program assisted under this part; and
                  (B) approved by the Secretary as part of the 
                review and acceptance of such application.

           *       *       *       *       *       *       *

SEC. 312. [20 U.S.C. 1058] DEFINITIONS; ELIGIBILITY.

    (a) Educational and General Expenditures.--* * *
    (b) Eligible Institution.--For the purpose of this part, 
the term ``eligible institution'' means--
          (1) an institution of higher education--
                  (A) which has an enrollment of needy students 
                as required by [subsection (c) of this 
                section]subsection (d);

           *       *       *       *       *       *       *

    (c) * * *
    (d) Enrollment of Needy Students.--* * *
          (1) * * *
          (2) a substantial Grants in the second percentage 
        students the fiscal year for which determination is 
        being made, in comparison with the percentage of 
        students receiving Pell Grants at all such institutions 
        in the second fiscal year preceding the fiscal year for 
        which the determination is made, unless the requirement 
        of this [subdivision]paragraph is waived under section 
        392(a).

           *       *       *       *       *       *       *

SEC. 316. [20 U.S.C. 1059C] AMERICAN INDIAN TRIBALLY CONTROLLED 
                    COLLEGES AND UNIVERSITIES.

    (a) Program Authorized.--* * *
    (b) Definitions.--In this section:
          (1) Indian.--* * *

           *       *       *       *       *       *       *

          [(3) Tribal college or university.--The term ``Tribal 
        College or University'' has the meaning give the term 
        ``tribally controlled college or university'' in 
        section 2 of the Tribally Controlled College or 
        University Assistance Act of 1978, and includes an 
        institution listed in the Equity in Educational Land 
        Grant Status Act of 1994.]
          (3) Tribal college or university.--The term ``Tribal 
        College or University'' means an institution that--
                  (A) qualifies for funding under the Tribally 
                Controlled College or University Assistance Act 
                978 (25 U.S.C. 1801 et seq.) or the Navajo 
                Community College Assistance Act of 1978 (25 
                U.S.C. 640a note); or
                  (B) is cited in section 532 of the Equity in 
                Educational Land-Grant Status Act of 1994 (7 
                U.S.C. 301 note).
          (4) * * *
    (c) Authorized Activities.--
          (1) In general.--* * *
          (2) Examples of authorized activities.--The 
        activities described in paragraph (1) may include--
                  (A) * * *
                  (B) construction, maintenance, renovation, 
                and improvement in classrooms, libraries, 
                laboratories, and other instructional 
                facilities, including purchase or rental of 
                telecommunications technology equipment or 
                services and the acquisition of real property 
                adjacent to the campus of the institution;

           *       *       *       *       *       *       *

                  (F) * * *
                  (G) education or counseling services designed 
                to improve the financial literacy and economic 
                literacy of students or the students' parents;
                  [(G)](H) funds management, administrative 
                management, and acquisition of equipment for 
                use in strengthening funds management;
                  [(H)](I) joint use of facilities, such as 
                laboratories and libraries;
                  [(I)](J) establishing or improving a 
                development office to strengthen or improve 
                contributions from alumni and the private 
                sector;
                  [(J)](K) establishing or enhancing a program 
                of teacher education designed to qualify 
                students to teach in elementary schools or 
                secondary schools, with a particular emphasis 
                on teaching Indian children and youth, that 
                shall include, as part of such program, 
                preparation for teacher certification;
                  [(K)](L) establishing community outreach 
                programs that encourage Indian elementary 
                school and secondary school students to develop 
                the academic skills and the interest to pursue 
                postsecondary education; [and]
                  (M) developing or improving facilities for 
                Internet use or other distance education 
                technologies, and
                  [(L)](N) other activities proposed in the 
                application submitted pursuant to subsection 
                (d) that--
                          (i) contribute to carrying out the 
                        activities described in [subparagraphs 
                        (A) through (K)] subparagraphs (A) 
                        through (M); and
                          (ii) are approved by the Secretary as 
                        part of the review and acceptance of 
                        such application.

           *       *       *       *       *       *       *

    [(d) Application Process.--
          [(1) Institutional eligibility.--To be eligible to 
        receive assistance under this section, a Tribal College 
        or University shall be an eligible institution under 
        section 312(b).
          [(2) Application.--Any Tribal College or University 
        desiring to receive assistance under this section shall 
        submit an application to the Secretary at such time, 
        and in such manner, as the Secretary may by regulation 
        reasonably require. The Secretary shall, to the extent 
        possible, prescribe a simplified and streamlined format 
        for such applications that takes into account the 
        limited number of institutions that are eligible for 
        assistance under this section. Each such application 
        shall include--
                  [(A) a 5-year plan for improving the 
                assistance provided by the Tribal College or 
                University to Indian students, increasing the 
                rates at which Indian secondary school students 
                enroll in higher education, and increasing 
                overall postsecondary retention rates for 
                Indian students; and
                  [(B) such enrollment data and other 
                information and assurances as the Secretary may 
                require to demonstrate compliance with 
                paragraph (1).
          [(3) Special rules.--
                  [(A) Eligibility.--No Tribal College or 
                University that receives funds under this 
                section shall concurrently receive funds under 
                other provisions of this part or part B.
                  [(B) Exemption.--Section 313(d) shall not 
                apply to institutions that are eligible to 
                receive funds under this section.
                  [(C) Distribution.--In awarding grants under 
                this section, the Secretary shall, to the 
                extent possible and consistent with the 
                competitive process under which such grants are 
                awarded ensure maximum and equitable 
                distribution among all eligible institutions.]
    (d) Application, Plan, and Allocation.--
          (1) Institutional eligibility.--To be eligible to 
        receive assistance under this section, a Tribal College 
        or University shall be an eligible institution under 
        section 312(b).
          (2) Application.--
                  (A) In general.--A Tribal College or 
                University desiring to receive assistance under 
                this section shall submit an application to the 
                Secretary at such time, and in such manner, as 
                the Secretary may reasonably require.
                  (B) Streamlined process.--The Secretary shall 
                establish application requirements in such a 
                manner as to simplify and streamline the 
                process for applying for grants.
          (3) Allocations to institutions.--
                  (A) Construction grants.--
                          (i) In general.--Of the amount 
                        appropriated to carry out this section 
                        for any fiscal year, the Secretary may 
                        reserve 30 percent for the purpose of 
                        awarding 1-year grants of not less than 
                        $1,000,000 to address construction, 
                        maintenance, and renovation needs at 
                        eligible institutions.
                          (ii) Preference.--In providing grants 
                        under clause (i), the Secretary shall 
                        give preference to eligible 
                        institutions that have not yet received 
                        an award under this section.
                  (B) Allotment of remaining funds.--
                          (i) In general.--Except as provided 
                        in clause (ii), the Secretary shall 
                        distribute the remaining funds 
                        appropriated for any fiscal year to 
                        each eligible institution as follows:
                                  (I) 60 percent of the 
                                remaining appropriated funds 
                                shall be distributed among the 
                                eligible Tribal Colleges and 
                                Universities on a pro rata 
                                basis, based on the respective 
                                Indian student counts (as 
                                defined in section 2(a) of the 
                                Tribally Controlled College or 
                                University Assistance Act of 
                                1978 (25 U.S.C. 1801(a)) of the 
                                Tribal Colleges and 
                                Universities; and
                                  (II) the remaining 40 percent 
                                shall be distributed in equal 
                                shares to the eligible Tribal 
                                Colleges and Universities.
                          (ii) Minimum grant.--The amount 
                        distributed to a Tribal College or 
                        University under clause (i) shall not 
                        be less than $500,000.
          (4) Special rules.--
                  (A) Concurrent funding.--For the purposes of 
                this part, no Tribal College or University that 
                is eligible for and receives funds under this 
                section shall concurrently receive funds under 
                other provisions of this part or part B.
                  (B) Exemption.--Section 313(d) shall not 
                apply to institutions that are eligible to 
                receive funds under this section.

           *       *       *       *       *       *       *

SEC. 317. [20 U.S.C. 1059D] ALASKA NATIVE AND NATIVE HAWAIIAN-SERVING 
                    INSTITUTIONS.

    (a) Program Authorized.--* * *

           *       *       *       *       *       *       *

    (c) Authorized Activities.--
          (1) Types of activities authorized.--* * *
          (2) Examples of authorized activities.--Such programs 
        may include--
                  (A) * * *

           *       *       *       *       *       *       *

                  (G) joint use of facilities such as 
                laboratories and libraries; [and]
                  (H) academic tutoring and counseling programs 
                and student support services[.]; and
                  (I) education or counseling services designed 
                to improve the financial literacy and economic 
                literacy of students or the students' parents.

           *       *       *       *       *       *       *

SEC. 318. NATIVE AMERICAN-SERVING, NONTRIBAL INSTITUTIONS.

    (a) Program Authorized.--The Secretary shall provide grants 
and related assistance to Native American-serving, nontribal 
institutions to enable such institutions to improve and expand 
their capacity to serve Native Americans.
    (b) Definitions.--In this section:
          (1) Native american.--The term ``Native American'' 
        means an individual who is of a tribe, people, or 
        culture that is indigenous to the United States.
          (2) Native american-serving, nontribal institution.--
        The term ``Native American-serving, nontribal 
        institution'' means an institution of higher education 
        that, at the time of application--
                  (A) has an enrollment of undergraduate 
                students that is not less than 10 percent 
                Native American students; and
                  (B) is not a Tribal College or University (as 
                defined in section 316).
    (c) Authorized Activities.--
          (1) Types of activities authorized.--Grants awarded 
        under this section shall be used by Native American-
        serving, nontribal institutions to assist such 
        institutions to plan, develop, undertake, and carry out 
        activities to improve and expand such institutions' 
        capacity to serve Native Americans.
          (2) Examples of authorized activities.--Such programs 
        may include--
                  (A) the purchase, rental, or lease of 
                scientific or laboratory equipment for 
                educational purposes, including instructional 
                and research purposes;
                  (B) renovation and improvement in classroom, 
                library, laboratory, and other instructional 
                facilities;
                  (C) support of faculty exchanges, and faculty 
                development and faculty fellowships to assist 
                faculty in attaining advanced degrees in the 
                faculty's field of instruction;
                  (D) curriculum development and academic 
                instruction;
                  (E) the purchase of library books, 
                periodicals, microfilm, and other educational 
                materials;
                  (F) funds and administrative management, and 
                acquisition of equipment, for use in 
                strengthening funds management;
                  (G) the joint use of facilities such as 
                laboratories and libraries; and
                  (H) academic tutoring and counseling programs 
                and student support services.
    (d) Application Process.--
          (1) Institutional eligibility.--A Native American-
        serving, nontribal institution desiring to receive 
        assistance under this section shall submit to the 
        Secretary such enrollment data as may be necessary to 
        demonstrate that the institution is a Native American-
        serving, nontribal institution, along with such other 
        information and data as the Secretary may by regulation 
        require.
          (2) Applications.
                  (A) Permission to submit applications.--Any 
                institution that is determined by the Secretary 
                to be a Native American-serving, nontribal 
                institution may submit an application for 
                assistance under this section to the Secretary.
                  (B) Simplified and streamlined format.--The 
                Secretary shall, to the extent possible, 
                prescribe a simplified and streamlined format 
                for applications under this section that takes 
                into account the limited number of institutions 
                that are eligible for assistance under this 
                section.
                  (C) Content.--An application submitted under 
                subparagraph (A) shall include--
                          (i) a 5-year plan for improving the 
                        assistance provided by the Native 
                        American-serving, nontribal institution 
                        to Native Americans; and
                          (ii) such other information and 
                        assurances as the Secretary may 
                        require.
          (3) Special rules.--
                  (A) Eligibility.--No Native American-serving, 
                nontribal institution that receives funds under 
                this section shall concurrently receive funds 
                under other provisions of this part or part B.
                  (B) Exemption.--Section 313(d) shall not 
                apply to institutions that are eligible to 
                receive funds under this section.
                  (C) Distribution.--In awarding grants under 
                this section, the Secretary shall, to the 
                extent possible and consistent with the 
                competitive process under which such grants are 
                awarded, ensure maximum and equitable 
                distribution among all eligible institutions.

           *       *       *       *       *       *       *

   PART B--STRENGTHENING HISTORICALLY BLACK COLLEGES AND UNIVERSITIES

SEC. 321. [20 U.S.C. 1060] FINDINGS AND PURPOSES.

    The Congress finds that--
          (1) * * *

SEC. 322. [20 U.S.C. 1061] DEFINITIONS.

    For the purpose of this part:
          (1) * * *

           *       *       *       *       *       *       *

          (4) The term ``professional and academic areas in 
        which Blacks are underrepresented'' shall be determined 
        by the Secretary in consultation with the Commissioner 
        for Education Statistics and the Commissioner of the 
        Bureau of Labor Statistics, on the basis of the most 
        recent available satisfactory data, as professional and 
        academic areas in which the percentage of Black 
        Americans who have been educated, trained, and employed 
        is less than the percentage of Blacks in the general 
        population.

           *       *       *       *       *       *       *

SEC. 323. [20 U.S.C. 1062] GRANTS TO INSTITUTIONS.

    (a) General Authorization: Uses of Funds.--From amounts 
available under section [360(a)(2)]399(a)(2) in any fiscal year 
the Secretary shall make grants (under section 324) to 
institutions which have applications approved by the Secretary 
(under section 325) for any of the following uses:
          (1) * * *

           *       *       *       *       *       *       *

          (6) * * *
          (7) Education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents.
          [7](8) Funds and administrative management, and 
        acquisition of equipment for use in strengthening funds 
        management.
          [8](9) Joint use of facilities, such as laboratories 
        and libraries.
          [9](10) Establishing or improving a development 
        office to strengthen or improve contributions from 
        alumni and the private sector.
          [10](11) Establishing or enhancing a program of 
        teacher education designed to qualify students to teach 
        in a public elementary or secondary school in the State 
        that shall include, as part of such program, 
        preparation for teacher certification.
          [11](12) Establishing community outreach programs 
        which will encourage elementary and secondary students 
        to develop the academic skills and the interest to 
        pursue postsecondary education.
          [12](13)  Other activities proposed in the 
        application submitted pursuant to section 325 that--

           *       *       *       *       *       *       *

SEC. 324. [20 U.S.C. 1063] ALLOTMENTS TO INSTITUTIONS.

    (a) Allotment; Pell Grant Basis.--* * *

           *       *       *       *       *       *       *

    (g) * * *
    (h) Special Rule on Eligibility.--Notwithstanding any other 
provision of this section, a part B institution shall not 
receive an allotment under this section unless the part B 
institution provides, on an annual basis, data indicating that 
the part B institution--
          (1) enrolled Federal Pell Grant recipients in the 
        preceding academic year;
          (2) in the preceding academic year, has graduated 
        students from a program of academic study that is 
        licensed or accredited by a nationally recognized 
        accrediting agency or association recognized by the 
        Secretary pursuant to part H of title IV where 
        appropriate; and
          (3) where appropriate, has graduated students who, 
        within the past 5 years, enrolled in graduate or 
        professional school.

           *       *       *       *       *       *       *

SEC. 326. [20 U.S.C. 1063B] PROFESSIONAL OR GRADUATE INSTITUTIONS.

    (a) General Authorization.--* * *

           *       *       *       *       *       *       *

    (b) * * *
    (c) Uses of Funds.--A grant under this section may be 
used--
          (1) * * *
          (2) construction, maintenance, renovation, and 
        improvement in classroom, library, laboratory, and 
        other instructional facilities, including purchase or 
        rental of telecommunications technology equipment or 
        services, and for the acquisition and development of 
        real property that is adjacent to the campus for such 
        construction, maintenance, renovation, or improvement;

           *       *       *       *       *       *       *

          (4) * * *
          (5) tutoring, counseling, and student service 
        programs designed to improve academic success;
          (6) education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents;
          [5](7) [Establish or improve]establishing or 
        improving a development office to strengthen and 
        increase contributions from alumni and the private 
        sector;
          [6](8) [assist]assisting in the establishment or 
        maintenance of an institutional endowment to facilitate 
        financial independence pursuant to section 331; [and]
          [7](9) funds and administrative management, and the 
        acquisition of equipment, including software, for use 
        in strengthening funds management and management 
        information system[.]; and
          (10) other activities proposed in the application 
        submitted under subsection (d) that--
                  (A) contribute to carrying out the purposes 
                of this part; and
                  (B) are approved by the Secretary as part of 
                the review and acceptance of such application.

           *       *       *       *       *       *       *

    (e) Eligibility.--
          (1) In general.--Independent professional or graduate 
        institutions and programs eligible for grants under 
        subsection (a) are the following:
                  (A) Morehouse School of Medicine;

           *       *       *       *       *       *       *

                  (Q) Norfolk State University qualified 
                graduate programs; [and]
                  (R) Tennessee State University qualified 
                graduate program[.];
                  (S) Alabama State University qualified 
                graduate program;
                  (T) Coppin State University qualified 
                graduate program;
                  (U) Prairie View A & M University qualified 
                graduate program;
                  (V) Fayetteville State University qualified 
                graduate program;
                  (W) Delaware State University qualified 
                graduate program;
                  (X) Langston University qualified graduate 
                program; and
                  (Y) West Virginia State University qualified 
                graduate program.
          (2) Qualified graduate program.--(A) For the purposes 
        of this section, the term ``qualified graduate 
        program'' means a graduate or professional program that 
        provides a program of instruction in law or in the 
        physical or natural sciences, engineering, 
        [mathematics, or]mathematics, psychometrics, or other 
        scientific discipline in which African Americans are 
        underrepresented and has students enrolled in such 
        program at the time of application for a grant under 
        this section.
                  (B) * * *
          (3) Special Rule.--Institutions that were awarded 
        grants under this section prior to October 1, 
        [1998]2007, shall continue to receive such grants, 
        subject to the availability of appropriated funds, 
        regardless of the eligibility of the institutions 
        described in subparagraphs [(Q) and (R) ](S), (T), (U), 
        (V), (W), (X), and (Y) of paragraph (1).

           *       *       *       *       *       *       *

    (f) Funding Rule.--Subject to subsection (g), of the amount 
appropriated to carry out this section for any fiscal year--
          (1) the first $26,600,000 (or any lesser amount 
        appropriated) shall be available only for the purposes 
        of making grants to institutions or programs described 
        in subparagraphs (A) through [(P)](R) of 
        subsection(e)(1);
          (2) any amount in excess of $26,600,000, but not in 
        excess of $28,600,000, shall be available for the 
        purpose of making grants to institutions or programs 
        described in subparagraphs [(Q) and (R)](S), (T), (U), 
        (V), (W), (X), and (Y) of subsection (e)(1); and
          (3) any amount in excess of $28,600,000, shall be 
        made available to each of the institutions or programs 
        identified in subparagraphs (A) through [(R)](Y) 
        pursuant to a formula developed by the Secretary that 
        uses the following elements:
                  [(A) The ability of the institution to match 
                Federal funds with non-Federal funds.
                  [(B) The number of students enrolled in the 
                programs for which the eligible institution 
                received funding under this section in the 
                previous year.]
                  (A) The amount of non-Federal funds for the 
                fiscal year for which the determination is made 
                that the institution or program listed in 
                subsection (e)--
                          (i) allocates from institutional 
                        resources;
                          (ii) secures from non-Federal 
                        sources, including amounts appropriated 
                        by the State and amounts from the 
                        private sector; and
                          (iii) will utilize to match Federal 
                        funds awarded for the fiscal year for 
                        which the determination is made under 
                        this section to the institution or 
                        program.
                  (B) The number of students enrolled in the 
                qualified graduate programs of the eligible 
                institution or program, for which the 
                institution or program received and allocated 
                funding under this section in the preceding 
                year.
                  (C) The average cost of education per 
                student, for all full-time graduate or 
                professional students [(or the equivalent) 
                enrolled in the eligible professional or 
                graduate school, or for doctoral students 
                enrolled in the qualified graduate 
                programs.]enrolled in the qualified programs or 
                institutions listed in paragraph (1).
                  (D) The number of [students]Black American 
                students or minority students in the previous 
                year who received their first professional or 
                doctoral degree from the programs for which the 
                eligible [institution]institution or program 
                received funding under this section in the 
                previous year.
                  [(E) The contribution, on a percent basis, of 
                the programs for which the institution is 
                eligible to receive funds under this section to 
                the total number of African Americans receiving 
                graduate or professional degrees in the 
                professions or disciplines related to the 
                programs for the previous year.]
                  (E) The percentage that the total number of 
                Black American students and minority students 
                who receive their first professional, master's, 
                or doctoral degrees from the institution or 
                program in the academic year preceding the 
                academic year for which the determination is 
                made, represents of the total number of Black 
                American students and minority students in the 
                United States who receive their first 
                professional, master's, or doctoral degrees in 
                the professions or disciplines related to the 
                course of study at such institution or program, 
                respectively, in the preceding academic year.
    (g) Hold Harmless Rule.--Notwithstanding paragraphs (2) and 
(3) of subsection (f), no institution or qualified program 
identified in subsection (e)(1) that received a grant for 
fiscal year 1998 and that is eligible to receive a grant in a 
subsequent fiscal year shall receive a grant amount in any such 
subsequent fiscal year that is less than the grant amount 
received for fiscal year [1998]2007, unless the amount 
appropriated is not sufficient to provide such grant amounts to 
all such institutions and programs, or the institution cannot 
provide sufficient matching funds to meet the requirements of 
this section.

SEC. 342. [20 U.S.C. 1066A] DEFINITIONS.

    For the purposes of this part:
          (1) * * *

           *       *       *       *       *       *       *

          (5) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) instructional equipment technology 
                research instrumentation, and any capital 
                equipment[,,], or fixture related to facilities 
                described in subparagraph (A);

           *       *       *       *       *       *       *

SEC. 343. [20 U.S.C. 1066B] FEDERAL INSURANCE FOR BONDS.

    (a) General Rule.--* * *

           *       *       *       *       *       *       *

    (e) Sale of Qualified Bonds.--Notwithstanding any other 
provision of law, a qualified bond guaranteed under this part 
may be sold to any party that offers terms that the Secretary 
determines are in the best interest of the eligible 
institution.

SEC. 345. [20 U.S.C. 1066D] AUTHORITY OF THE SECRETARY.

    In the performance of, and with respect to, the functions 
vested in the Secretary by this part, the Secretary--
          (1) * * *

           *       *       *       *       *       *       *

          (6) may include in any contract such other covenants, 
        conditions, or provisions necessary to ensure that the 
        purposes of this part will be achieved; [and]
          (7) may, directly or by grant or contract, provide 
        technical assistance to eligible institutions to 
        prepare the institutions to qualify, apply for, and 
        maintain a capital improvement loan, including a loan 
        under this part[.]; and
          (8) not later than 90 days after the date of 
        enactment of the Higher Education Amendments of 2007, 
        shall submit to the authorizing committees a report on 
        the progress of the Department in implementing the 
        recommendations made by the Government Accountability 
        Office in October 2006 for improving the Historically 
        Black College and Universities Capital Financing 
        Program.

           *       *       *       *       *       *       *

SEC. 365. [20 U.S.C. 1067K] DEFINITIONS.

    For the purpose of this part--
          (1) * * *

           *       *       *       *       *       *       *

          (9) The term ``special projects'' means--
                  (A) a special project grant to a minority 
                institution which [support]supports activities 
                that--
                          (1) * * *

           *       *       *       *       *       *       *

                       PART F--GENERAL PROVISIONS

SEC. 391. [20 U.S.C. 1068] APPLICATIONS FOR ASSISTANCE.

    (a) Applications.--
          (1) * * *

           *       *       *       *       *       *       *

    (b) Contents.--An institution, in its application for a 
grant, shall--
          (1) * * *

           *       *       *       *       *       *       *

          (7) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (E) a detailed description of any activity 
                which involves the expenditure of more than 
                $25,000 as identified in the budget referred to 
                in [subparagraph (E)]subparagraph (D), and
          (8) include such other information as the Secretary 
        may prescribe.

           *       *       *       *       *       *       *

SEC. 392. [20 U.S.C. 1068A] WAIVER AUTHORITY AND REPORTING REQUIREMENT.

    (a) Waiver Requirements; Need-Based Assistance Students.--* 
* *

           *       *       *       *       *       *       *

    (b) Waiver Determinations; Expenditures.--
          (1) * * *
          (2) The Secretary shall submit to the Congress every 
        other year a report concerning the institutions which, 
        although not satisfying the criterion contained in 
        section 312(b)(1)(B), have been determined to be 
        [eligible institutions under part A 
        institutions]eligible institutions under part A which 
        enroll significant numbers of Black American, Hispanic, 
        Native American, Asian American, or Native Hawaiian 
        students under part A, as the case may be. Such report 
        shall--
                  (A) * * *

           *       *       *       *       *       *       *

SEC. 396. [20 U.S.C. 1068E] LIMITATIONS.

    The funds appropriated under section [360]399 may not be 
used--
          (1) * * *

           *       *       *       *       *       *       *

SEC. 399. [20 U.S.C. 1068H] AUTHORIZATIONS OF APPROPRIATIONS.

    [(a) Authorizations.--
          [(1) Part a.--
                  [(A) There are authorized to be appropriated 
                to carry out part A, $135,000,000 (other than 
                section 316) for fiscal year 1999, and such 
                sums as may be necessary for each of the 4 
                succeeding fiscal years.
                  [(B) There are authorized to be appropriated 
                to carry out section 316, $10,000,000 for 
                fiscal year 1999 and such sums as may be 
                necessary for each of the 4 succeeding fiscal 
                years.
                  [(C) There are authorized to be appropriated 
                to carry out section 317, $5,000,000 for fiscal 
                year 1999 and such sums as may be necessary for 
                each of the 4 succeeding fiscal years.
          [(2) Part b.--
                  [(A) There are authorized to be appropriated 
                to carry out part B (other than section 326), 
                $135,000,000 for fiscal year 1999, and such 
                sums as may be necessary for each of the 4 
                succeeding fiscal years.
                  [(B) There are authorized to be appropriated 
                to carry out section 326, $35,000,000 for 
                fiscal year 1999, and such sums as may be 
                necessary for each of the 4 succeeding fiscal 
                years.
          [(3) Part c.--There are authorized to be appropriated 
        to carry out part C, $10,000,000 for fiscal year 1999, 
        and such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          [(4) Part d.--
                  [(A) There are authorized to be appropriated 
                to carry out part D (other than section 345(7), 
                but including section 347), $110,000 for fiscal 
                year 1999, and such sums as may be necessary 
                for each of the 4 succeeding fiscal years.
                  [(B) There are authorized to be appropriated 
                to carry out section 345(7), such sums as may 
                be necessary for fiscal year 1999 and each of 
                the 4 succeeding fiscal years.
          [(5) Part e.--There are authorized to be appropriated 
        to carry out part E, $10,000,000 for fiscal year 1999, 
        and such sums as may be necessary for each of the 4 
        succeeding fiscal years.]
    (a) Authorizations.--
                  (1) Part a.--
                  (A) There are authorized to be appropriated 
                to carry out part A (other than sections 316, 
                317, and 318) such sums as may be necessary for 
                fiscal year 2008 and each of the 5 succeeding 
                fiscal years.
                  (B) There are authorized to be appropriated 
                to carry out section 316 such sums as may be 
                necessary for fiscal year 2008 and each of the 
                5 succeeding fiscal years.
                  (C) There are authorized to be appropriated 
                to carry out section 317 such sums as may be 
                necessary for fiscal year 2008 and each of the 
                5 succeeding fiscal years.
                  (D) There are authorized to be appropriated 
                to carry out section 318 such sums as may be 
                necessary for fiscal year 2008 and each of the 
                5 succeeding fiscal years.
          (2) Part b.--
                  (A) There are authorized to be appropriated 
                to carry out part B (other than section 326) 
                such sums as may be necessary for fiscal year 
                2008 and each of the 5 succeeding fiscal years.
                  (B) There are authorized to be appropriated 
                to carry out section 326 such sums as may be 
                necessary for fiscal year 2008 and each of the 
                5 succeeding fiscal years.
          (3) Part c.--There are authorized to be appropriated 
        to carry out part C such sums as may be necessary for 
        fiscal year 2008 and each of the 5 succeeding fiscal 
        years.
          (4) Part d.--
                  (A) There are authorized to be appropriated 
                to carry out part D (other than section 345(7), 
                but including section 347) such sums as may be 
                necessary for fiscal year 2008 and each of the 
                5 succeeding fiscal years.
                  (B) There are authorized to be appropriated 
                to carry out section 345(7) such sums as may be 
                necessary for fiscal year 2008 and each of the 
                5 succeeding fiscal years.
          (5) Part e.--There are authorized to be appropriated 
        to carry out part E such sums as may be necessary for 
        fiscal year 2008 and each of the 5 succeeding fiscal 
        years.
    (b) Use of Multiple Year Awards.--* * *
    (c) Minimum Grant Amount.--The minimum amount of a grant 
under this title shall be $200,000.

           *       *       *       *       *       *       *

                      TITLE IV--STUDENT ASSISTANCE

  PART A--GRANTS TO STUDENTS IN ATTENDANCE AT INSTITUTIONS OF HIGHER 
                               EDUCATION

SEC. 400. [20 U.S.C. 1070] STATEMENT OF PURPOSE; PROGRAM AUTHORIZATION.

    (a) Purpose.--* * *

           *       *       *       *       *       *       *

                     Subpart 1--Federal Pell Grants

SEC. 401. [20 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]2013, 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 timely manner[,,], 
        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) * * *
          (3) Grants made under [this subpart]this section 
        shall be known as ``Federal Pell Grants''.
    (b) Purpose and Amount of Grants.--
          (1) * * *
          [(2)(A) The amount of the Federal Pell Grant for a 
        student eligible under this part shall be--
                  [(i) $4,500 for academic year 1999-2000;
                  [(ii) $4,800 for academic year 2000-2001;
                  [(iii) $5,100 for academic year 2001-2002;
                  [(iv) $5,400 for academic year 2002-2003; and
                  [(v) $5,800 for academic year 2003-2004,
        [less an amount equal to the amount determined to be 
        the expected family contribution with respect to that 
        student for that year.]
          (2)(A) The amount of the Federal Pell Grant for a 
        student eligible under this part shall be--
                  (i) $5,400 for academic year 2008-2009;
                  (ii) $5,700 for academic year 2009-2010;
                  (iii) $6,000 for academic year 2010-2011; and
                  (iv) $6,300 for academic year 2011-2012, less 
                an amount equal to the amount determined to be 
                the expected family contribution with respect 
                to that student for that year.
          (B) * * *
          [(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.
          [(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.]
    (c) Period of Eligibility for Grants.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) The period of time during which a student may 
        receive Federal Pell Grants shall not exceed 18 
        semesters, or an equivalent period of time as 
        determined by the Secretary pursuant to regulations, 
        which period shall--
                  (A) be determined without regard to whether 
                the student is enrolled on a full-time basis 
                during any portion of the period of time; and
                  (B) include any period of time for which the 
                student received a Federal Pell Grant prior to 
                July 1, 2008.

           *       *       *       *       *       *       *

    (f) Calculation of Eligibility.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Each contractor processing applications for 
        awards under this subpart shall for each academic year 
        after academic year 1986-1987 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]to the Committee on Appropriations of 
        the Senate, the Committee on Appropriations of the 
        House of Representatives, and the authorizing 
        committees.

           *       *       *       *       *       *       *

SEC. 401A. ACADEMIC COMPETITIVENESS GRANTS.

    [(a) Academic Competitiveness Grant Program.--
          [(1) Academic competitiveness grants authorized.--The 
        Secretary shall award grants, in the amounts specified 
        in subsection (d)(1), to eligible students to assist 
        the eligible students in paying their college education 
        expenses.
          [(2) Academic competitiveness council.--
                  [(A) Establishment.--There is established an 
                Academic Competitiveness Council (referred to 
                in this paragraph as the ``Council''). From the 
                funds made available under subsection (e) for 
                fiscal year 2006, $50,000 shall be available to 
                the Council to carry out the duties described 
                in subparagraph (B). The Council shall be 
                chaired by the Secretary of Education, and the 
                membership of the Council shall consist of 
                officials from Federal agencies with 
                responsibilities for managing existing Federal 
                programs that promote mathematics and science 
                (or designees of such officials with 
                significant decision-making authority).
                  [(B) Duties.--The Council shall--
                          [(i) identify all Federal programs 
                        with a mathematics or science focus;
                          [(ii) identify the target populations 
                        being served by such programs;
                          [(iii) determine the effectiveness of 
                        such programs;
                          [(iv) identify areas of overlap or 
                        duplication in such programs; and
                          [(v) recommend ways to efficiently 
                        integrate and coordinate such programs.
                  [(C) Report.--Not later than one year after 
                the date of enactment of the Higher Education 
                Reconciliation Act of 2005, the Council shall 
                transmit a report to each committee of Congress 
                with jurisdiction over a Federal program 
                identified under subparagraph (B)(i), detailing 
                the findings and recommendations under 
                subparagraph (B), including recommendations for 
                legislative or administrative action.]
    (a) Academic Competitiveness Grant Program Authorized.--The 
Secretary shall award grants, in the amounts specified in 
subsection (d)(1), to eligible students to assist the eligible 
students in paying their college education expenses.
    (b) Designation.--A grant under this section--
          (1) for the first or second [academic] year of a 
        program of undergraduate education shall be known as an 
        ``Academic Competitiveness Grant''; and
          (2) for the [third or fourth academic]third, fourth, 
        or fifth year of a program of undergraduate education 
        shall be known as a ``National Science and Mathematics 
        Access to Retain Talent Grant'' or a ``National SMART 
        Grant''.
    (c) Definition of Eligible Student.--In this section the 
term ``eligible student'' means a [full-time student who, for 
the academic year for which the determination of eligibility is 
made]student who--
          [(1) is a citizen of the United States;]
          (1) is eligible for a Federal Pell Grant for the 
        award year in which the determination of eligibility is 
        made for a grant under this section;
          [(2) is eligible for a Federal Pell Grant; and]
          (2) is enrolled or accepted for enrollment in an 
        institution of higher education on not less than a 
        half-time basis; and
          (3) in the case of a student enrolled or accepted for 
        enrollment in--
                  [(A) the first academic year of a program of 
                undergraduate education at a two- or four-year 
                degree-granting institution of higher 
                education--
                          [(i) has successfully completed, 
                        after January 1, 2006, a rigorous 
                        secondary school program of study 
                        established by a State or local 
                        educational agency and recognized as 
                        such by the Secretary; and
                          [(ii) has not been previously 
                        enrolled in a program of undergraduate 
                        education;]
                  (A) the first year of a program of 
                undergraduate education at a 2- or 4-year 
                degree-granting institution of higher education 
                (including a program of not less than 1 year 
                for which the institution awards a 
                certificate), has successfully completed, after 
                January 1, 2006, a rigorous secondary school 
                program of study established by a State or 
                local educational agency and recognized as such 
                by the Secretary; 
                  (B) the second [academic year of a program of 
                undergraduate education at a two- or four-year 
                degree-granting institution of higher 
                education]year of a program of undergraduate 
                education at a 2- or 4-year degree-granting 
                institution of higher education (including a 
                program of not less than 2 years for which the 
                institution awards a certificate)--
                          (i) * * *
                          (ii) has obtained a cumulative grade 
                        point average of at least 3.0 (or the 
                        equivalent as determined under 
                        regulations prescribed by the 
                        Secretary) at the end of the first 
                        [academic] year of such program of 
                        undergraduate education; [or]
                  (C) the third or fourth [academic] year of a 
                program of undergraduate education at a 
                [four]4-year degree-granting institution of 
                higher education--
                          (i) * * *
                                  (I) * * *
                                  [(II) a foreign language that 
                                the Secretary, in consultation 
                                with the Director of National 
                                Intelligence, determines is 
                                critical to the national 
                                security of the United States; 
                                and]
                                  (II) a critical foreign 
                                language; and
                          (ii) has obtained a cumulative grade 
                        point average of at least 3.0 (or the 
                        equivalent as determined under 
                        regulations prescribed by the 
                        Secretary) in the coursework required 
                        for the major described in clause 
                        (i)[.];
                  (D) the third or fourth year of a program of 
                undergraduate education at an institution of 
                higher education (as defined in section 101(a)) 
                that demonstrates, to the satisfaction of the 
                Secretary, that the institution--
                          (i) offers a single liberal arts 
                        curriculum leading to a baccalaureate 
                        degree, under which students are not 
                        permitted by the institution to declare 
                        a major in a particular subject area, 
                        but do study, in such years, a subject 
                        described in subparagraph (C)(i) that 
                        is at least equal to the requirements 
                        for an academic major at an institution 
                        of higher education that offers a 
                        baccalaureate degree in such subject, 
                        as certified by the appropriate 
                        official of the demonstrating 
                        institution; and
                          (ii) offered such curriculum prior to 
                        February 8, 2006; or
                  (E) the fifth year of a program of 
                undergraduate education that requires 5 full 
                years of coursework for which a baccalaureate 
                degree is awarded by a degree-granting 
                institution of higher education, as certified 
                by the appropriate official of such 
                institution--
                          (i) is pursuing a major in--
                                  (I) the physical, life, or 
                                computer sciences, mathematics, 
                                technology, or engineering (as 
                                determined by the Secretary 
                                pursuant to regulations); or
                                  (II) a critical foreign 
                                language; and
                          (ii) has obtained a cumulative grade 
                        point average of at least 3.0 (or the 
                        equivalent, as determined under 
                        regulations prescribed by the 
                        Secretary) in the coursework required 
                        for the major described in clause (i)
    (d) Grant Award.--
          (1) Amounts.--
                  (A) [The]In general.--The Secretary shall 
                award a grant under this section in the amount 
                of--
                          (i) * * *
                          (ii) $1,300 for an eligible student 
                        under subsection (c)(3)(B); [or]
                          (iii) $4,000 for an eligible student 
                        under [subsection 
                        (c)(3)(C).]subparagraph (C) or (D) of 
                        subsection (c)(3), for each of the 2 
                        years described in such subparagraphs; 
                        or
                          (iv) $4,000 for an eligible student 
                        under subsection (c)(3)(E).
                  (B) [Notwithstanding]Limitation; ratable 
                reduction._Notwithstanding subparagraph (A)--
                          (i) in any case in which a student 
                        attends an institution of higher 
                        education on less than a full-time 
                        basis, the amount of the grant that 
                        such student may receive shall be 
                        reduced in the same manner as a Federal 
                        Pell Grant is reduced under section 
                        401(b)(2)(B);
                           [(i)](ii) the amount of such grant, 
                        in combination with the Federal Pell 
                        Grant assistance and other student 
                        financial assistance available to such 
                        student, shall not exceed the student's 
                        cost of attendance;
                           [(ii)](iii) if the amount made 
                        available under subsection (e) for any 
                        fiscal year is less than the amount 
                        required to be provided grants to all 
                        eligible students in the amounts 
                        determined under subparagraph (A) and 
                        clause (i) of this subparagraph, then 
                        the amount of the grant to each 
                        eligible student shall be ratably 
                        reduced; and
                           [(iii)](iv) if additional amounts 
                        are appropriated for any such fiscal 
                        year, such reduced amounts shall be 
                        increased on the same basis as they 
                        were reduced.
          [(2) Limitations.--The Secretary shall not award a 
        grant under this section--
                  [(A) to any student for an academic year of a 
                program of undergraduate education described in 
                subparagraph (A), (B), or (C) of subsection 
                (c)(3) for which the student received credit 
                before the date of enactment of the Higher 
                Education Reconciliation Act of 2005; or
                  [(B) to any student for more than--
                          [(i) one academic year under 
                        subsection (c)(3)(A);
                          [(ii) one academic year under 
                        subsection (c)(3)(B); or
                          [(iii) two academic years under 
                        subsection (c)(3)(C).]
          (2) Limitations.--
                  (A) No grants for previous credit.--The 
                Secretary may not award a grant under this 
                section to any student for any year of a 
                program of undergraduate education for which 
                the student received credit before the date of 
                enactment of the Higher Education 
                Reconciliation Act of 2005.
                  (B) Number of grants.--
                          (i) First year.--In the case of a 
                        student described in subsection 
                        (c)(3)(A), the Secretary may not award 
                        more than 1 grant to such student for 
                        such first year of study.
                          (ii) Second year.--In the case of a 
                        student described in subsection 
                        (c)(3)(B), the Secretary may not award 
                        more than 1 grant to such student for 
                        such second year of study.
                          (iii) Third and fourth years.--In the 
                        case of a student described in 
                        subparagraph (C) or (D) of subsection 
                        (c)(3), the Secretary may not award 
                        more than 1 grant to such student for 
                        each of the third and fourth years of 
                        study.
                          (iv) Fifth year.--In the case of a 
                        student described in subsection 
                        (c)(3)(E), the Secretary may not award 
                        more than 1 grant to such student for 
                        such fifth year of study.
                  (3) Calculation of grant payments.--An 
                institution of higher education shall make 
                payments of a grant awarded under this section 
                in the same manner, using the same payment 
                periods, as such institution makes payments for 
                Federal Pell Grants under section 401.
    (e) Funding.--
          (1) * * *

           *       *       *       *       *       *       *

          [(2) Use of excess funds.--If, at the end of a fiscal 
        year, the funds available for awarding grants under 
        this section exceed the amount necessary to make such 
        grants in the amounts authorized by subsection (d), 
        then all of the excess funds shall remain available for 
        awarding grants under this section during the 
        subsequent fiscal year.]
          (2) Availability of funds.--Funds made available 
        under paragraph (1) for a fiscal year shall remain 
        available for the succeeding fiscal year.
    (f) Recognition of Programs of Study.--The Secretary shall 
recognize [at least one]not less than 1 rigorous secondary 
school program of study in each State under [subsection 
(c)(3)(A) and (B)]subparagraphs (A) and (B) of subsection 
(c)(3) for the purpose of determining student eligibility under 
such subsection.
    (g) Sunset Provision.--The authority to make grants under 
this section shall expire at the end of [academic]award year 
2010-2011.

           *       *       *       *       *       *       *

    Subpart 2--Federal Early Outreach and Student Services Programs

                    CHAPTER 1--FEDERAL TRIO PROGRAMS

SEC. 402A. [20 U.S.C. 1070A-11] PROGRAM AUTHORITY; AUTHORIZATION OF 
                    APPROPRIATIONS.

    (a) Grants and Contracts Authorized.--* * *
    (b) Recipients, Duration, and Size.--
          (1) * * *
          (2) Duration.--Grants or contracts made under this 
        chapter shall be awarded for a period of [4]5 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)](A) grants made under section 402G shall 
                be awarded for a period of 2 years; and
                  [(C)](B) 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.]
          (3) Minimum grants.--Unless the institution or agency 
        requests a smaller amount, an individual grant 
        authorized under this chapter shall be awarded in an 
        amount that is not less than $200,000, except that an 
        individual grant authorized under section 402G shall be 
        awarded in an amount that is not less than $170,000.
    (c) Procedures for Awarding Grants and Contracts.--
          (1) * * *
          (2) Prior experience.--In making grants under this 
        chapter, the Secretary shall consider each applicant's 
        prior experience of [service delivery]high quality 
        service delivery, as determined under subsection (f), 
        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) * * *
                  (B) The Secretary [is not required to]shall 
                not 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.

           *       *       *       *       *       *       *

          (5) Number of applications for grants and 
        contracts.--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]different campuses.

           *       *       *       *       *       *       *

    (e) Documentation of Status as a Low-Income Individual.--
          (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)](h)(4) shall be made by providing the Secretary 
        with--
                  (A) * * *

           *       *       *       *       *       *       *

          (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)](h)(4) shall be 
        made by providing the Secretary with--

           *       *       *       *       *       *       *

    (f) Outcome Criteria.--
          (1) Use for prior experience determination.--The 
        Secretary shall use the outcome criteria described in 
        paragraphs (2) and (3) to evaluate the programs 
        provided by a recipient of a grant under this chapter, 
        and the Secretary shall determine an eligible entity's 
        prior experience of high quality service delivery, as 
        required under subsection (c)(2), based on the outcome 
        criteria.
          (2) Disaggregation of relevant data.--The outcome 
        criteria under this subsection shall be disaggregated 
        by low-income students, first generation college 
        students, and individuals with disabilities, in the 
        schools and institutions of higher education served by 
        the program to be evaluated.
          (3) Contents of outcome criteria.--The outcome 
        criteria under this subsection shall measure, annually 
        and for longer periods, the quality and effectiveness 
        of programs authorized under this chapter and shall 
        include the following:
                  (A) For programs authorized under section 
                402B, the extent to which the eligible entity 
                met or exceeded the entity's objectives 
                established in the entity's application for 
                such program regarding--
                          (i) the delivery of service to a 
                        total number of students served by the 
                        program;
                          (ii) the continued secondary school 
                        enrollment of such students;
                          (iii) the graduation of such students 
                        from secondary school;
                          (iv) the enrollment of such students 
                        in an institution of higher education; 
                        and
                          (v) to the extent practicable, the 
                        postsecondary education completion of 
                        such students.
                  (B) For programs authorized under section 
                402C, the extent to which the eligible entity 
                met or exceeded the entity's objectives for 
                such program regarding--
                          (i) the delivery of service to a 
                        total number of students served by the 
                        program, as agreed upon by the entity 
                        and the Secretary for the period;
                          (ii) such students' school 
                        performance, as measured by the grade 
                        point average, or its equivalent;
                          (iii) such students' academic 
                        performance, as measured by 
                        standardized tests, including tests 
                        required by the students' State;
                          (iv) the retention in, and graduation 
                        from, secondary school of such 
                        students; and
                          (v) the enrollment of such students 
                        in an institution of higher education.
                  (C) For programs authorized under section 
                402D--
                          (i) the extent to which the eligible 
                        entity met or exceeded the entity's 
                        objectives regarding the retention in 
                        postsecondary education of the students 
                        served by the program;
                          (ii)(I) in the case of an entity that 
                        is an institution of higher education 
                        offering a baccalaureate degree, the 
                        extent to which the entity met or 
                        exceeded the entity's objectives 
                        regarding such students' completion of 
                        the degree programs in which such 
                        students were enrolled; or
                          (II) in the case of an entity that is 
                        an institution of higher education that 
                        does not offer a baccalaureate degree, 
                        the extent to which the entity met or 
                        exceeded the entity's objectives 
                        regarding--
                                  (aa) the completion of a 
                                degree or certificate by such 
                                students; and
                                  (bb) the transfer of such 
                                students to institutions of 
                                higher education that offer 
                                baccalaureate degrees;
                          (iii) the extent to which the entity 
                        met or exceeded the entity's objectives 
                        regarding the delivery of service to a 
                        total number of students, as agreed 
                        upon by the entity and the Secretary 
                        for the period; and
                          (iv) the extent to which the entity 
                        met or exceeded the entity's objectives 
                        regarding such students remaining in 
                        good academic standing.
                  (D) For programs authorized under section 
                402E, the extent to which the entity met or 
                exceeded the entity's objectives for such 
                program regarding--
                          (i) the delivery of service to a 
                        total number of students, as agreed 
                        upon by the entity and the Secretary 
                        for the period;
                          (ii) the provision of appropriate 
                        scholarly and research activities for 
                        the students served by the program;
                          (iii) the acceptance and enrollment 
                        of such students in graduate programs; 
                        and
                          (iv) the continued enrollment of such 
                        students in graduate study and the 
                        attainment of doctoral degrees by 
                        former program participants.
                  (E) For programs authorized under section 
                402F, the extent to which the entity met or 
                exceeded the entity's objectives for such 
                program regarding--
                          (i) the enrollment of students 
                        without a secondary school diploma or 
                        its recognized equivalent, who were 
                        served by the program, in programs 
                        leading to such diploma or equivalent;
                          (ii) the enrollment of secondary 
                        school graduates who were served by the 
                        program in programs of postsecondary 
                        education;
                          (iii) the delivery of service to a 
                        total number of students, as agreed 
                        upon by the entity and the Secretary 
                        for the period; and
                          (iv) the provision of assistance to 
                        students served by the program in 
                        completing financial aid applications 
                        and college admission applications.
                  (4) Measurement of progress.--In order to 
                determine the extent to which an outcome 
                criterion described in paragraphs (2) or (3) is 
                met or exceeded, an eligible entity receiving 
                assistance under this chapter shall compare the 
                eligible entity's target for the criterion, as 
                established in the eligible entity's 
                application, with the results for the 
                criterion, measured as of the last day of the 
                applicable time period for the determination.
    [(f)](g) 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.]such sums as may be necessary for 
fiscal year 2008 and each of the 5 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 1994, on the use 
of these funds.]
    [(g)](h) Definitions.--For the purpose of this chapter:
          (1) Different campus.--The term ``different campus'' 
        means a site of an institution of higher education 
        that--
                  (A) is geographically apart from the main 
                campus of the institution;
                  (B) is permanent in nature; and
                  (C) offers courses in educational programs 
                leading to a degree, certificate, or other 
                recognized educational credential.
          (9) Different population.--The term ``different 
        population'' means a group of individuals, with respect 
        to whom an eligible entity desires to serve through an 
        application for a grant under this chapter, that--
                  (A) is separate and distinct from any other 
                population that the entity has applied for a 
                grant under this chapter to serve; or
                  (B) while sharing some of the same needs as 
                another population that the eligible entity has 
                applied for a grant under this chapter to 
                serve, has distinct needs for specialized 
                services.
        [(1)](3) First generation college student.--The term 
        ``first generation college student'' means--
                  (A) * * *

           *       *       *       *       *       *       *

        [(2)](4) Low-income individual.--* * *
        [(3)](5) Veteran eligibility.--* * *
                  (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[.]; 
                or
                  (C) was a member of a reserve component of 
                the Armed Forces called to active duty for a 
                period of more than 180 days.
    [(4)](6) Waiver.--The Secretary may waive the service 
requirements in [subparagraph (A) or (B) of paragraph 
(3)]subparagraph (A), (B), or (C) of paragraph (5) 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. [20 U.S.C. 1070A-12] TALENT SEARCH.

    (a) Program Authority.--* * *
          (1) [to identify qualified youths with potential for 
        education at the postsecondary level and to encourage 
        such youths]to encourage eligible youths to complete to 
        secondary school to undertake a program of secondary 
        education;
          (2) to publicize the availability of and facilitate 
        the application for, 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]to enter or reenter, and complete 
        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;
          [(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 serviced;
          [(9) mentoring programs involving elementary or 
        secondary school teachers or counselors, faculty 
        members at institutions of higher education, students, 
        or any combination of such person; and
          [(10) programs and activities as described in 
        paragraphs (1) through (9) which are specially designed 
        for students of limited English proficiency.]
    (b) Required Services.--Any project assisted under this 
section shall provide--
          (1) academic tutoring, or connections to high quality 
        academic tutoring services, to enable students to 
        complete secondary or postsecondary courses, which may 
        include instruction in reading, writing, study skills, 
        mathematics, science, and other subjects;
          (2) advice and assistance in secondary course 
        selection and, if applicable, initial postsecondary 
        course selection;
          (3) assistance in preparing for college entrance 
        examinations and completing college admission 
        applications;
          (4)(A) information on both the full range of Federal 
        student financial aid programs (including Federal Pell 
        Grant awards and loan forgiveness) and resources for 
        locating public and private scholarships; and
          (B) assistance in completing financial aid 
        applications, including the Free Application for 
        Federal Student Aid described in section 483(a);
          (5) guidance on and assistance in--
                  (A) secondary school reentry;
                  (B) alternative education programs for 
                secondary school dropouts that lead to the 
                receipt of a regular secondary school diploma;
                  (C) entry into general educational 
                development (GED) programs; or
                  (D) postsecondary education; and
          (6) education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents, including financial 
        planning for postsecondary education.
    (c) Permissible Services.--Any project assisted under this 
section may provide services such as--
          (1) personal and career counseling or activities;
          (2) information and activities designed to acquaint 
        youths with the range of career options available to 
        youths;
          (3) exposure to the campuses of institutions of 
        higher education, as well as cultural events, academic 
        programs, and other sites or activities not usually 
        available to disadvantaged youth;
          (4) workshops and counseling for families of students 
        served;
          (5) 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
          (6) programs and activities as described in 
        subsection (b) or paragraphs (1) through (5) of this 
        subsection that are specially designed for students who 
        are limited English proficient, students with 
        disabilities, students who are homeless children and 
        youths (as such term is defined in section 725 of the 
        McKinney-Vento Homeless Assistance Act (42 U.S.C. 
        11434a)), or students who are in foster care or are 
        aging out of the foster care system.
    [(c)](d) Requirements for Approval of Applications.--In 
approving applications for [talent search projects under this 
chapter]projects under this section for any fiscal year the 
Secretary shall --

           *       *       *       *       *       *       *

SEC. 402C. [20 U.S.C. 1070A-13] UPWARD BOUND.

    (a) Program Authority.--* * *
    [(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;
          [(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.]
    (b) Required Services.--Any project assisted under this 
section shall provide--
          (1) academic tutoring to enable students to complete 
        secondary or postsecondary courses, which may include 
        instruction in reading, writing, study skills, 
        mathematics, science, and other subjects;
          (2) advice and assistance in secondary and 
        postsecondary course selection;
          (3) assistance in preparing for college entrance 
        examinations and completing college admission 
        applications;
          (4)(A) information on both the full range of Federal 
        student financial aid programs (including Federal Pell 
        Grant awards and loan forgiveness) and resources for 
        locating public and private scholarships; and
          (B) assistance in completing financial aid 
        applications, including the Free Application for 
        Federal Student Aid described in section 483(a);
          (5) guidance on and assistance in--
                  (A) secondary school reentry;
                  (B) alternative education programs for 
                secondary school dropouts that lead to the 
                receipt of a regular secondary school diploma;
                  (C) entry into general educational 
                development (GED) programs; or
                  (D) postsecondary education; and
          (6) education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents, including financial 
        planning for postsecondary education.
    (c) [Required Services] Additional Required Services for 
Multiple-Year Grant Recipients.--Any [upward bound project 
assisted under this chapter] project assisted under this 
section 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) Permissible Services.--Any project assisted under this 
section may provide such services as--
          (1) exposure to cultural events, academic programs, 
        and other activities not usually available to 
        disadvantaged youth;
          (2) information, activities and instruction designed 
        to acquaint youths participating in the project with 
        the range of career options available to the youths;
          (3) on-campus residential programs;
          (4) mentoring programs involving elementary school or 
        secondary school teachers or counselors, faculty 
        members at institutions of higher education, students, 
        or any combination of such persons;
          (5) work-study positions where youth participating in 
        the project are exposed to careers requiring a 
        postsecondary degree;
          (6) special services to enable veterans to make the 
        transition to postsecondary education; and
          (7) programs and activities as described in 
        subsection (b), subsection (c), or paragraphs (1) 
        through (6) of this subsection that are specially 
        designed for students who are limited English 
        proficient, students with disabilities, students who 
        are homeless children and youths (as such term is 
        defined in section 725 of the McKinney-Vento Homeless 
        Assistance Act (42 U.S.C. 11434a)), or students who are 
        in foster care or are aging out of the foster care 
        system.
    (e) Priority.--In providing assistance under this section 
the Secretary--
          (1) shall give priority to projects assisted under 
        this section that select not less than 30 percent of 
        all first-time participants in the projects from 
        students who have a high academic risk for failure; and
          (2) shall not deny participation in a project 
        assisted under this section to a student because the 
        student will enter the project after the 9th grade.
    [(d)](f) Requirements for Approval of Applications.--In 
approving applications for [upward bound projects under this 
chapter]projects under this section for any fiscal year, the 
Secretary shall--
          (1) * * *

           *       *       *       *       *       *       *

    [(e)](g) 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]during the summer school recess, for a period 
not to exceed 3 months, except that youth participating in a 
work-study position under section [(b)(10)](d)(5) may be paid a 
stipend of $300 per month [during June, July, and August], 
during the summer school recess, for a period not to exceed 3 
months. 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.

           *       *       *       *       *       *       *

SEC. 402D. [20 U.S.C. 1070A-14] STUDENT SUPPORT SERVICES.

    (a) Program Authority.--* * *
          (1) * * *
          (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.]
          (3) to foster an institutional climate supportive of 
        the success of low-income and first generation college 
        students, students with disabilities, students who are 
        limited English proficient, students who are homeless 
        children and youths (as such term is defined in section 
        725 of the McKinney-Vento Homeless Assistance Act (42 
        U.S.C. 11434a)), and students who are in foster care or 
        are aging out of the foster care system.
          (4) to improve the financial literacy and economic 
        literacy of students, including--
                  (A) basic personal income, household money 
                management, and financial planning skills; and 
                  (B) basic economic decisionmaking skills. 
          [(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.]
    (b) Required Services.--A project assisted under this 
section shall provide--
          (1) academic tutoring to enable students to complete 
        postsecondary courses, which may include instruction in 
        reading, writing, study skills, mathematics, science, 
        and other subjects;
          (2) advice and assistance in postsecondary course 
        selection;
          (3)(A) information on both the full range of Federal 
        student financial aid programs (including Federal Pell 
        Grant awards and loan forgiveness) and resources for 
        locating public and private scholarships; and
          (B) assistance in completing financial aid 
        applications, including the Free Application for 
        Federal Student Aid described in section 483(a);
          (4) education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students, including financial planning for 
        postsecondary education;
          (5) activities designed to assist students 
        participating in the project in securing college 
        admission and financial assistance for enrollment in 
        graduate and professional programs; and
          (6) activities designed to assist students enrolled 
        in 2-year institutions of higher education in securing 
        admission and financial assistance for enrollment in a 
        4-year program of postsecondary education.
    (c) Permissible Services.--A project assisted under this 
section may provide services such as--
          (1) consistent, individualized personal, career, and 
        academic counseling, provided by assigned counselors;
          (2) information, activities, and instruction designed 
        to acquaint youths participating in the project with 
        the range of career options available to the students;
          (3) exposure to cultural events and academic programs 
        not usually available to disadvantaged students;
          (4) activities designed to acquaint students 
        participating in the project with the range of career 
        options available to the students;
          (5) mentoring programs involving faculty or upper 
        class students, or a combination thereof;
          (6) securing temporary housing during breaks in the 
        academic year for students who are homeless children 
        and youths (as such term is defined in section 725 of 
        the McKinney-Vento Homeless Assistance Act (42 U.S.C. 
        11434a)) or were formerly homeless children and youths 
        and students who are in foster care or are aging out of 
        the foster care system; and
          (7) programs and activities as described in 
        subsection (b) or paragraphs (1) through (5) of this 
        subsection that are specially designed for students who 
        are limited English proficient, students with 
        disabilities, students who are homeless children and 
        youths (as such term is defined in section 725 of the 
        McKinney-Vento Homeless Assistance Act (42 U.S.C. 
        11434a)) or were formerly homeless children and youths, 
        or students who are in foster care or are aging out of 
        the foster care system.
    [(c)](d) Special Rule.--
          (1) Use for student aid.--A recipient of a grant that 
        undertakes any of the permissible services identified 
        in [subsection (b)]subsection (c) 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 
        maximum 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) * * *

           *       *       *       *       *       *       *

    [(d)](e) Requirements for Approval of Applications.--In 
approving applications for [student support services projects 
under this chapter]projects under this section for any fiscal 
year, the Secretary shall--
          (1) * * *

           *       *       *       *       *       *       *

SEC. 402E. [20 U.S.C. 1070A-15] POSTBACCALAUREATE ACHIEVEMENT PROGRAM 
                    AUTHORITY.

    (a) Program Authority.--* * *
    (b) Required Services.--[A postbaccalaureate achievement 
project assisted under this section may provide services such 
as--]A project assisted under this section shall provide--

           *       *       *       *       *       *       *

          (5) academic counseling; and
          (6) activities designed to assist students 
        participating in the project in securing admission to 
        and financial assistance for enrollment in graduate 
        program[;].
          [(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) Permissible Services.--A project assisted under this 
section may provide services such as--
          (1) education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students, including financial planning for 
        postsecondary education;
          (2) mentoring programs involving faculty members at 
        institutions of higher education, students, or any 
        combination of such persons; and
          (3) exposure to cultural events and academic programs 
        not usually available to disadvantaged students.
    [(c)](d) Requirements.--In approving applications for 
[postbaccalaureate achievement] projects assisted under this 
section for any fiscal year, the Secretary shall require--

           *       *       *       *       *       *       *

    [(d)](e) Award Considerations.--* * *

           *       *       *       *       *       *       *

    [(e)](f) Maximum Stipends.--Students participating in 
research under a [postbaccalaureate achievement project]project 
under this section may receive an award that--
          (1) * * *

           *       *       *       *       *       *       *

    [(f)](g) Funding.--From amounts appropriated pursuant to 
the authority of section [402A(f)]402(A)(g), 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 
1997]2007 through 2012.

           *       *       *       *       *       *       *

SEC. 402F. [20 U.S.C. 1070A-16] EDUCATIONAL OPPORTUNITY CENTERS.

    (a) Program Authority; Services Provided.--* * *
          (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[.]; and
          (3) to improve the financial literacy and economic 
        literacy of students, including--
                  (A) basic personal income, household money 
                management, and financial planning skills; and
                  (B) basic economic decisionmaking skills.
    (b) Permissible Services.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students;
          [(5)](6) 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) individualized 
        personal, career, and academic counseling;
          [(7)](8) tutorial services;
          [(8)](9) career workshops and counseling;
          [(9)](10) 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.)]
          (11) programs and activities as described in 
        paragraphs (1) through (10) that are specially designed 
        for students who are limited English proficient, 
        students with disabilities, or students who are 
        homeless children and youths (as such term is defined 
        in section 725 of the McKinney-Vento Homeless 
        Assistance Act (42 U.S.C. 11434a)), or programs and 
        activities for students who are in foster care or are 
        aging out of the foster care system.

           *       *       *       *       *       *       *

SEC. 402G. [20 U.S.C. 1070A-171] STAFF DEVELOPMENT ACTIVITIES.

    (a) Secretary's Authority.--* * *
    (b) * * *
          (1) * * *

           *       *       *       *       *       *       *

          (3) The design and operation of model programs for 
        projects funded under this chapter, including 
        strategies for recruiting and serving students who are 
        homeless children and youths (as such, term is defined 
        in section 725 of the McKinney-Vento Homeless 
        Assistance Act (42 U.S.C. 11434a)) and students who are 
        in foster care or are aging out of the foster care 
        system.

           *       *       *       *       *       *       *

SEC. 402H. [20 U.S.C. 1070A-181] [EVALUATIONS AND GRANTS FOR PROJECT 
                    IMPROVEMENT AND DISSEMINATION PARTNERSHIP 
                    PROJECTS.]REPORTS, EVALUATIONS, AND GRANTS FOR 
                    PROJECT IMPROVEMENT AND DISSEMINATION.

    (a) Reports to the Authorizing Committees.--The Secretary 
shall submit annually, to the authorizing committees, a report 
that documents the performance of all programs funded under 
this chapter. The report shall--
          (1) be submitted not later than 24 months after the 
        eligible entities receiving funds under this chapter 
        are required to report their performance to the 
        Secretary;
          (2) focus on the programs' performance on the 
        relevant outcome criteria determined under section 
        402A(f)(4);
          (3) aggregate individual project performance data on 
        the outcome criteria in order to provide national 
        performance data for each program;
          (4) include, when appropriate, descriptive data, 
        multi-year data, and multi-cohort data; and
          (5) include comparable data on the performance 
        nationally of low-income students, first-generation 
        students, and students with disabilities.
    [(a)](b) Evaluations.--
          (1) In general.--* * *
          [(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.]
          (2) Practices.--
                  (A) In general.--The evaluations described in 
                paragraph (1) shall identify institutional, 
                community, and program or project practices 
                that are particularly effective in--
                          (i) enhancing the access of low-
                        income individuals and first-generation 
                        college students to postsecondary 
                        education;
                          (ii) the preparation of the 
                        individuals and students for 
                        postsecondary education; and
                          (iii) fostering the success of the 
                        individuals and students in 
                        postsecondary education.
                  (B) Primary purpose.--Any evaluation 
                conducted under this chapter shall have as its 
                primary purpose the identification of 
                particular practices that further the 
                achievement of the outcome criteria determined 
                under section 402A(f)(4).
                  (C) Dissemination and use of evaluation 
                findings.--The Secretary shall disseminate to 
                eligible entities and make available to the 
                public the practices identified under 
                subparagraph (B). The practices may be used by 
                eligible entities that receive assistance under 
                this chapter after the dissemination.
          (3) Recruitment.--The Secretary shall not require an 
        eligible entity desiring to receive assistance under 
        this chapter to recruit students to serve as a control 
        group for purposes of evaluating any program or project 
        assisted under this chapter.
    [(b)](c) Grants.--* * *

           *       *       *       *       *       *       *

    [(c)](d) Results.--

           *       *       *       *       *       *       *

  CHAPTER 2--GAINING EARLY AWARENESS AND READINESS FOR UNDERGRADUATE 
                                PROGRAMS

SEC. 404A. [20 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 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.]
    (a) Program Authorized.--The Secretary is authorized, in 
accordance with the requirements of this chapter, to establish 
a program that encourages eligible entities to provide support 
to eligible low-income students to assist the students in 
obtaining a secondary school diploma (or its recognized 
equivalent) and to prepare for and succeed in postsecondary 
education, by providing--
          (1) financial assistance, academic support, 
        additional counseling, mentoring, outreach, and 
        supportive services to middle school and secondary 
        school students to reduce--
                  (A) the risk of such students dropping out of 
                school; or
                  (B) the need for remedial education for such 
                students at the postsecondary level; and
          (2) 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] 404G 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.--* * *
                  [(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;]
                  (A) give priority to eligible entities that 
                have a prior, demonstrated commitment to early 
                intervention leading to college access through 
                collaboration and replication of successful 
                strategies;

           *       *       *       *       *       *       *

    (c) Definition of Eligible Entity.-- * * *
          (1) * * *
          [(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, community-based organizations, 
                philanthropic organizations, State agencies, 
                institutions or agencies sponsoring programs 
                authorized under subpart 4, or other public or 
                private agencies or organizations.]
          (2) a partnership--
                  (A) consisting of--
                          (i) 1 or more local educational 
                        agencies; and
                          (ii) 1 or more degree granting 
                        institutions of higher education; and
                  (B) which may include not less than 2 other 
                community organizations or entities, such as 
                businesses, professional organizations, State 
                agencies, institutions or agencies sponsoring 
                programs authorized under subpart 4, or other 
                public or private agencies or organizations.

           *       *       *       *       *       *       *

SEC. 404B. [20 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.
          [(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.]
    (a) Funding Rules.--
          (1) Distribution.--In awarding grants from the amount 
        appropriated under section 404G for a fiscal year, the 
        Secretary shall take into consideration
                  (A) the geographic distribution of such 
                awards; and
                  (B) the distribution of such awards between 
                urban and rural applicants.
          (2) Special rule.--The Secretary shall annually 
        reevaluate the distribution of funds described in 
        paragraph (1) based on number, quality, and promise of 
        the applications.
    [(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)](b) Coordination.--* * *

           *       *       *       *       *       *       *

    [(d)](c) 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)](d) Cohort Approach.--
    [(1) In general.--* * *

           *       *       *       *       *       *       *

    (e) Supplement, Not Supplant.--Grant funds awarded under 
this chapter shall be used to supplement, and not supplant, 
other Federal, State, and local funds that would otherwise be 
expended to carry out activities assisted under this chapter.

           *       *       *       *       *       *       *

SEC. 404C. [20 U.S.C. 1070A-23] [ELIGIBLE ENTITY PLANS]APPLICATIONS

    (a) [Plan]Application Required for Eligibility.--
          (1) In general--In order or an eligible entity to 
        qualify for a grant under this chapter, the eligible 
        entity shall submit to the Secretary [a plan] an 
        application for carrying out the program under this 
        chapter. [Such plan shall provide for the conduct of a 
        scholarship component if required or undertaken 
        pursuant to section 404E and an early intervention 
        component required pursuant to section 404D.]
          [(2) Contents.--Each plan submitted pursuant to 
        paragraph (1) shall be in such form, contain or be 
        accompanied by such information or assurances, and be 
        submitted at such time as the Secretary may require by 
        regulation. Each such plan shall--
                  [(A) describe the activities for which 
                assistance under this chapter is sought; and
                  [(B) provide such additional assurances as 
                the Secretary determines necessary to ensure 
                compliance with the requirements of this 
                chapter.]
          (2) Contents.--Each application submitted pursuant to 
        paragraph (1) shall be in such form, contain or be 
        accompanied by such information or assurances, and be 
        submitted at such time as the Secretary may require. 
        Each such application shall, at a minimum--
                  (A) describe the activities for which 
                assistance under this chapter is sought, 
                including how the eligible entity will carry 
                out the required activities described in 
                section 404D(a);
                  (B) describe how the eligible agency will 
                meet the requirements of section 404E;
                  (C) provide assurances that adequate 
                administrative and support staff will be 
                responsible for coordinating the activities 
                described in section 404D;
                  (D) ensure that 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;
                  (E) describe, in the case of an eligible 
                entity described in section 401A(c)(2), how the 
                eligible entity will define the cohorts of the 
                students served by the eligible entity pursuant 
                to section 404B(d), and how the eligible entity 
                will serve the cohorts through grade 12, 
                including--
                          (i) how vacancies in the program 
                        under this chapter will be filled; and
                          (ii) how the eligible entity will 
                        serve students attending different 
                        secondary schools;
                  (F) describe how the eligible entity will co-
                ordinate programs with other existing Federal, 
                State, or local programs to avoid duplication 
                and maximize the number of students served;
                  (G) provide such additional assurances as the 
                Secretary determines necessary to ensure 
                compliance with the requirements of this 
                chapter; and
                  (H) provide information about the activities 
                that will be carried out by the eligible entity 
                to support systemic changes from which future 
                cohorts of students will benefit.
    (b) Matching Requirement.--
          (1) In general.--The Secretary shall not approve [a 
        plan]an application submitted under subsection (a) 
        unless [such plan]such application--

           *       *       *       *       *       *       *

    (c) Methods for Complying with Matching Requirement.--
          (1) the amount of the financial assistance paid to 
        students from State, local, institutional, or private 
        funds under this chapter[;]including--
                  (A) the amount contributed to a student 
                scholarship fund established under section 
                404E; and
                  (B) the amount of the costs of administering 
                the scholarship program under section 404E;

           *       *       *       *       *       *       *

SEC. 404D. [20 U.S.C. 1070A-24] EARLY INTERVENTION.

    [(a) Services.--
          [(1) In general.--In order to receive a grant under 
        this chapter, an eligible entity shall demonstrate to 
        the satisfaction of the Secretary, in the plan 
        submitted under section 404C, that the eligible entity 
        will provide comprehensive mentoring, counseling, 
        outreach, and supportive services to students 
        participating in programs under this chapter. Such 
        counseling shall include--
                  [(A) financial aid counseling and information 
                regarding the opportunities for financial 
                assistance under this title; and
                  [(B) activities or information regarding--
                          [(i) fostering and improving parent 
                        involvement in promoting the advantages 
                        of a college education, academic 
                        admission requirements, and the need to 
                        take college preparation courses;
                          [(ii) college admissions and 
                        achievement tests; and
                          [(iii) college application 
                        procedures.
          [(2) Methods.--The eligible entity shall demonstrate 
        in such plan, pursuant to regulations of the Secretary, 
        the methods by which the eligible entity will target 
        services on priority students described in subsection 
        (c), if applicable.
    [(b) Uses of Funds.--
          [(1) In general.--The Secretary shall, by regulation, 
        establish criteria for determining whether 
        comprehensive mentoring, counseling, outreach, and 
        supportive services programs may be used to meet the 
        requirements of subsection (a).
          [(2) Permissible activities.--Examples of activities 
        that meet the requirements of subsection (a) include 
        the following:
                  [(A) Providing eligible students in preschool 
                through grade 12 with a continuing system of 
                mentoring and advising that--
                          [(i) is coordinated with the Federal 
                        and State community service 
                        initiatives; and
                          [(ii) may include such support 
                        services as after school and summer 
                        tutoring, assistance in obtaining 
                        summer jobs, career mentoring, and 
                        academic counseling.
                  [(B) Requiring each student to enter into an 
                agreement under which the student agrees to 
                achieve certain academic milestones, such as 
                completing a prescribed set of courses and 
                maintaining satisfactory progress described in 
                section 484(c), in exchange for receiving 
                tuition assistance for a period of time to be 
                established by each eligible entity.
                  [(C) Activities designed to ensure secondary 
                school completion and college enrollment of at-
                risk children, such as identification of at-
                risk children, after school and summer 
                tutoring, assistance in obtaining summer jobs, 
                academic counseling, volunteer and parent 
                involvement, providing former or current 
                scholarship recipients as mentor or peer 
                counselors, skills assessment, providing access 
                to rigorous core courses that reflect 
                challenging academic standards, personal 
                counseling, family counseling and home visits, 
                staff development, and programs and activities 
                described in this subparagraph that are 
                specially designed for students of limited 
                English proficiency.
                  [(D) Summer programs for individuals who are 
                in their sophomore or junior years of secondary 
                school or are planning to attend an institution 
                of higher education in the succeeding academic 
                year that--
                          [(i) are carried out at an 
                        institution of higher education that 
                        has programs of academic year 
                        supportive services for disadvantaged 
                        students through projects authorized 
                        under section 402D or through 
                        comparable projects funded by the State 
                        or other sources;
                          [(ii) provide for the participation 
                        of the individuals who are eligible for 
                        assistance under section 402D or who 
                        are eligible for comparable programs 
                        funded by the State;
                          [(iii)(I) provide summer instruction 
                        in remedial, developmental or 
                        supportive courses;
                          [(II) provide such summer services as 
                        counseling, tutoring, or orientation; 
                        and
                          [(III) provide financial assistance 
                        to the individuals to cover the 
                        individuals' summer costs for books, 
                        supplies, living costs, and personal 
                        expenses; and
                          [(iv) provide the individuals with 
                        financial assistance during each 
                        academic year the individuals are 
                        enrolled at the participating 
                        institution after the summer program.
                  [(E) Requiring eligible students to meet 
                other standards or requirements as the State 
                determines necessary to meet the purposes of 
                this section.
    [(c) Priority Students.--For eligible entities not using a 
cohort approach, the eligible entity shall treat as priority 
students any student in preschool through grade 12 who is 
eligible--
          [(1) to be counted under section 1124(c) of the 
        Elementary and Secondary Education Act of 1965;
          [(2) for free or reduced price meals under the 
        Richard B. Russell National School Lunch Act; or
          [(3) for assistance pursuant to part A of title IV of 
        the Social Security Act.
    [(d) Allowable Providers.--In the case of eligible entities 
described in section 404A(c)(1), the activities required by 
this section may be provided by service providers such as 
community-based organizations, schools, institutions of higher 
education, public and private agencies, nonprofit and 
philanthropic organizations, businesses, institutions and 
agencies sponsoring programs authorized under subpart 4, and 
other organizations the State deems appropriate.]

SEC. 404D. ACTIVITIES.

    (a) Required Activities.--Each eligible entity receiving a 
grant under this chapter shall carry out the following:
          (1) Provide information regarding financial aid for 
        postsecondary education to participating students in 
        the cohort described in subsection 404B(d)(1)(A).
          (2) Encourage student enrollment in rigorous and 
        challenging curricula and coursework, in order to 
        reduce the need for remedial coursework at the 
        postsecondary level.
          (3) Support activities designed to improve the number 
        of participating students who--
                  (A) obtain a secondary school diploma; and
                  (B) complete applications for and enroll in a 
                program of postsecondary education.
          (4) In the case of an eligible entity described in 
        section 404A(c)(1), provide for the scholarships 
        described in section 404E.
    (b) Optional Activities for States and Partnerships.--An 
eligible entity that receives a grant under this chapter may 
use grant funds to carry out 1 or more of the following 
activities:
          (1) Providing tutoring and supporting mentors, 
        including adults or former participants of a program 
        under this chapter, for eligible students.
          (2) Conducting outreach activities to recruit 
        priority students described in subsection (d) to 
        participate in program activities.
          (3) Providing supportive services to eligible 
        students.
          (4) Supporting the development or implementation of 
        rigorous academic curricula, which may include college 
        preparatory, Advanced Placement, or International 
        Baccalaureate programs, and providing participating 
        students access to rigorous core courses that reflect 
        challenging State academic standards.
          (5) Supporting dual or concurrent enrollment programs 
        between the secondary school and institution of higher 
        education partners of an eligible entity described in 
        section 404A(c)(2), and other activities that support 
        participating students in--
                  (A) meeting challenging academic standards;
                  (B) successfully applying for postsecondary 
                education;
                  (C) successfully applying for student 
                financial aid; and
                  (D) developing graduation and career plans.
          (6) Providing support for scholarships described in 
        section 404E.
          (7) Introducing eligible students to institutions of 
        higher education, through trips and school-based 
        sessions.
          (8) Providing an intensive extended school day, 
        school year, or summer program that offers--
                  (A) additional academic classes; or
                  (B) assistance with college admission 
                applications.
          (9) Providing other activities designed to ensure 
        secondary school completion and postsecondary education 
        enrollment of at-risk children, such as--
                  (A) the identification of at-risk children;
                  (B) after-school and summer tutoring;
                  (C) assistance to at-risk children in 
                obtaining summer jobs;
                  (D) academic counseling;
                  (E) volunteer and parent involvement;
                  (F) encouraging former or current 
                participants of a program under this chapter to 
                serve as peer counselors;
                  (G) skills assessments;
                  (H) personal counseling;
                  (I) family counseling and home visits;
                  (J) staff development; and
                  (K) programs and activities described in this 
                subsection that are specially designed for 3 
                students who are limited English proficient.
          (10) Enabling eligible students to enroll in Advanced 
        Placement or International Baccalaureate courses, or 
        college entrance examination preparation courses.
          (11) Providing services to eligible students in the 
        participating cohort described in section 
        404B(d)(1)(A), through the first year of attendance at 
        an institution of higher education.
    (c) Additional Optional Activities for States.--In addition 
to the required activities described in subsection (a) and the 
optional activities described in subsection (b), an eligible 
entity described in section 404A(c)(1) receiving funds under 
this chapter may use grant funds to carry out 1 or more of the 
following activities:
          (1) Providing technical assistance to--
                  (A) middle schools or secondary schools that 
                are located within the State; or
                  (B) partnerships described in section 
                404A(c)(2) that are located within the State.
          (2) Providing professional development opportunities 
        to individuals working with eligible cohorts of 
        students described in section 404B(d)(1)(A).
          (3) Providing strategies and activities that align 
        efforts in the State to prepare eligible students for 
        attending and succeeding in postsecondary education, 
        which may include the development of graduation and 
        career plans.
          (4) Disseminating information on the use of 
        scientifically based research and best practices to 
        improve services for eligible students.
          (5)(A) Disseminating information on effective 
        coursework and support services that assist students in 
        obtaining the goals described in subparagraph (B)(ii).
          (B) Identifying and disseminating information on best 
        practices with respect to--
                  (i) increasing parental involvement; and
                  (ii) preparing students, including students 
                with disabilities and students who are limited 
                English proficient, to succeed academically in, 
                and prepare financially for, postsecondary 
                education.
          (6) Working to align State academic standards and 
        curricula with the expectations of postsecondary 
        institutions and employers.
          (7) Developing alternatives to traditional secondary 
        school that give students a head start on attaining a 
        recognized postsecondary credential (including an 
        industry certificate, an apprenticeship, or an 
        associate's or a bachelor's degree), including school 
        designs that give students early exposure to college-
        level courses and experiences and allow students to 
        earn transferable college credits or an associate's 
        degree at the same time as a secondary school diploma.
          (8) Creating community college programs for drop-outs 
        that are personalized drop-out recovery programs that 
        allow drop-outs to complete a regular secondary school 
        diploma and begin college-level work.
    (d) Priority Students.--For eligible entities not using a 
cohort approach, the eligible entity shall treat as priority 
students any student in middle or secondary school who is 
eligible--
          (1) to be counted under section 1124(c) of the 
        Elementary and Secondary Education Act of 1965;
          (2) for free or reduced price meals under the Richard 
        B. Russell National School Lunch Act;
          (3) for assistance under a State program funded under 
        part A or E of title IV of the Social Security Act (42 
        U.S.C. 601 et seq., 670 et seq.); or
          (4) for assistance under subtitle B of title VII of 
        the McKinney-Vento Homeless Assistance Act (42 U.S.C. 
        11431 et seq.).
    (e) Allowable Providers.--In the case of eligible entities 
described in section 404A(c)(1), the activities required by 
this section may be provided by service providers such as 
community-based organizations, schools, institutions of higher 
education, public and private agencies, nonprofit and 
philanthropic organizations, businesses, institutions and 
agencies sponsoring programs authorized under subpart 4, and 
other organizations the State determines appropriate.'

           *       *       *       *       *       *       *

SEC. 404E. [20 U.S.C. 1070A-25] SCHOLARSHIP COMPONENT.

    (a) In General.--
          (1) * * *

           *       *       *       *       *       *       *

    (b) Limitation.--
          (1) In general.--Subject to paragraph (2), each 
        eligible entity described in section 404A(c)(I) that 
        receives a grant under this chapter shall use not less 
        than 25 percent and not more than 50 percent of the 
        grant funds for activities described in section 404D 
        (except for the activity described in subsection (a)(4) 
        of such section), with, the remainder of such funds to 
        be used for a scholarship program under this section, 
        in accordance with such subsection.
          (2) Exception.--Notwithstanding paragraph (1), the 
        Secretary may allow an eligible entity to use more than 
        50 percent of grant funds received under this chapter 
        for such activities, if the eligible entity 
        demonstrates that the eligible entity has another means 
        of providing the students with the financial assistance 
        described in this section and describes such means in 
        the application submitted under section 404C.
    (c) Notification of Eligibility.--Each eligible entity 
providing scholarships under this section shall provide 
information on the eligibility requirements for the 
scholarships to all participating students upon the students' 
entry into the programs assisted under this chapter.
    [(b)](d) Grant Amounts.--The maximum amount of a 
scholarship that eligible student shall be eligible to receive 
under this section shall be established by the eligible entity. 
The minimum amount of the scholarship for each fiscal year 
shall not be less than [the lesser of--
          [(1) 75 percent of the average cost of attendance for 
        an in State student, in a 4-year program of 
        instruction, at public institutions of higher education 
        in such State, as determined in accordance with 
        regulations prescribed by the Secretary; or
          [(2) the maximum Federal Pell Grant funded under 
        section 401 for such fiscal year the minimum Federal 
        Pell Grant award under section 401 for such award 
        year.] the minimum Federal Pell Grant award under 
        section 401 for such award year.
    (e) Portability of Assistance.--
          (1) In general.--Each eligible entity described in 
        section 404A(c)(1) that receives a grant under this 
        chapter shall create or organize a trust for each 
        cohort described in section 404B(d)(1)(A) for which the 
        grant is sought in the application submitted by the 
        entity, which trust shall be an amount that is not less 
        than the minimum scholarship amount described in 
        subsection (d), multiplied by the number of students 
        participating in the cohort.
          (2) Requirement for portability.--Funds contributed 
        to the trust for a cohort shall be available to a 
        student in the cohort when the student has--
                  (A) completed a secondary school diploma, its 
                recognized equivalent, or other recognized 
                alternative standard for individuals with 
                disabilities; and
                  (B) enrolled in an institution of higher 
                education.
          (3) Qualified educational expenses.--Funds available 
        to an eligible student from a trust may be used for--
                  (A) tuition, fees, books, supplies, and 
                equipment required for the enrollment or 
                attendance of the eligible student at an 
                institution of higher education; and
                  (B) in the case of an eligible student with 
                special needs, expenses for special needs 
                services which are incurred in connection with 
                such, enrollment or attendance.
          (4) Return of funds.--
                  (A) Redistribution.--
                          (i) In general.--Trust funds that are 
                        not used by an eligible student within 
                        6 years of the student's scheduled 
                        completion of secondary school may be 
                        redistributed by the eligible entity to 
                        other eligible students.
                          (ii) Return of excess to the 
                        secretary.--If requirements of 
                        paragraph (1) and, if applicable, 
                        redistributing excess funds in 
                        accordance with clause (i), an eligible 
                        entity has funds remaining, the 
                        eligible entity shall return excess 
                        funds to the Secretary for distribution 
                        to other grantees under this chapter.
                  (B) Nonparticipating entity.--Notwithstanding 
                subparagraph (A), in the case of an eligible 
                entity described in section 404A(c)(1)(A) that 
                does not receive assistance under this subpart 
                for 6 fiscal years, the eligible entity shall 
                return any trust funds not awarded or obligated 
                to eligible students to the Secretary for 
                distribution to other grantees under this 
                chapter.
    [(c)](f) Relation to Other Assistance.--* * *
    [(d)](g) Eligible Students.--
          (1) * * *
          (2) receives a secondary school diploma or its 
        recognized equivalent on or after January 1, [1993] 
        2001;
          (3) * * *
          (4) who participated in the [early intervention 
        component required under]activities required under 
        [section 404D].
    [(e) Priority.--The Secretary shall ensure that each 
eligible entity places a priority on awarding scholarships to 
students who will receive a Federal Pell Grant for the academic 
year for which the scholarship is awarded under this section.
    [(f) Special Rule.--An eligible entity may consider 
students who have successfully participated in programs funded 
under chapter 1 to have met the requirements of subsection 
(d)(4).]

[SEC. 404F. [20 U.S.C. 1070A-26] 21ST CENTURY SCHOLAR CERTIFICATES.

    [(a) Authority.--The Secretary, using funds appropriated 
under section 404H that do not exceed $200,000 for a fiscal 
year--
          [(1) shall ensure that certificates, to be known as 
        21st Century Scholar Certificates, are provided to all 
        students participating in programs under this chapter; 
        and
          [(2) may, as practicable, ensure that such 
        certificates are provided to all students in grades 6 
        through 12 who attend schools at which at least 50 
        percent of the students enrolled are eligible for a 
        free or reduced price lunch under the Richard Russell 
        National School Lunch Act.
    [(b) Information Required.--A 21st Century Scholar 
Certificate shall be personalized for each student and indicate 
the amount of FederalFInancial aid for college which a student 
may be eligible to receive.]

SEC. [404G]. 404F [20 U.S.C. 1070A-27] EVALUATION AND REPORT.

    (a) Evaluation.--* * *

           *       *       *       *       *       *       *

    (c) Federal Evaluation.--In order to evaluate and improve 
the impact of the activities assisted under this chapter, the 
Secretary shall, from not more than 0.75 percent of the funds 
appropriated under section [404H]404G for a fiscal year, award 
one or more grants, contracts, or cooperative agreements to or 
with public and private institutions and organizations, to 
enable the institutions and organizations to evaluate the 
effectiveness of the program and, as appropriate, disseminate 
the results of the evaluation.

SEC. [404H]. 404G [20 U.S.C. 1070A-28] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriate to carry out this 
chapter [$200,000,000 for fiscal year 1999, and such sums as 
may be necessary for each of the 4 succeeding fiscal 
years.]such sums as may be necessary for fiscal year 2008 and 
each of the 5 succeeding fiscal years.

           *       *       *       *       *       *       *

SEC. 413A. [20 U.S.C. 10706] PURPOSE; APPROPRIATIONS AUTHORIZED.

    (a) * * *
    (b) Authorization of Appropriations.--
          (1) For the purpose of enabling the Secretary to make 
        payments to institutions of higher education which have 
        made agreements with the Secretary in accordance with 
        section 413C(a), for use by such institutions for 
        payments to undergraduate students of supplemental 
        grants awarded to them under this subpart, there are 
        authorized to be appropriate [$675,000,000 for fiscal 
        year 1999 and such sums as may be necessary for the 4 
        succeeding fiscal years.]such sums as may be necessary 
        for fiscal year 2008 and each of the 5 succeeding 
        fiscal years.

           *       *       *       *       *       *       *

SEC. 413D. [20 U.S.C. 1070B-3] ALLOCATION OF FUNDS.

    (a) Allocation Based on Previous Allocation.--
          (1) From the amount appropriated pursuant to section 
        413A(b) for each fiscal year, the Secretary shall first 
        allocate to each eligible institution an amount equal 
        to 100 percent of the amount [such institution received 
        under subsections (a) and (b) of this section for 
        fiscal year 1999 (as such subsections were in effect 
        with respect to allocations for such fiscal year).] 
        such institution received under subsections (a) and (b) 
        of this section for fiscal year 1999 (as such 
        subsections were in effect with respect to allocations 
        for such fiscal year).
          (2) * * *

           *       *       *       *       *       *       *

          [(4)(A) Notwithstanding any other provision of this 
        section Secretary may allocate an amount equal to not 
        more than 10 percent of the amount by which the amount 
        appropriated in any fiscal year to carry out this part 
        exceeds $700,000,000 among eligible institutions 
        described in subparagraph (B).
          [(B) In order to receive an allocation pursuant to 
        subparagraph (A) an institution shall be an eligible 
        institution from which 50 percent or more of the Pell 
        Grant recipients attending such eligible institution 
        graduate from or transfer to a 4-year institution of 
        higher education.]

           *       *       *       *       *       *       *

    (c) Determination of Institution's Need.--
          (1) The amount of an institution's need is equal to--
                  (A) * * *

           *       *       *       *       *       *       *

          (3)(A) * * *

           *       *       *       *       *       *       *

          (D) The allowance for books and supplies described in 
        subparagraph (A)(iii) is equal to [$450]$600.

           *       *       *       *       *       *       *

SEC. 415A. [20 U.S.C. 1070C] PURPOSE; APPROPRIATIONS AUTHORIZED.

    (a) Purpose of Subpart.--* * *
          (1) * * *

           *       *       *       *       *       *       *

    (b) Authorization of Appropriations; Availability.--
          [(1) In general.--There are authorized to be 
        appropriated $105,000,000 for fiscal year 1999, and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.]
          (1) In General. There are authorized to be 
        appropriated to carry out this subpart such sums as may 
        be necessary for fiscal year 2008 and each of the 5 
        succeeding fiscal years.
          (2) * * *

           *       *       *       *       *       *       *

SEC. 415C. [20 U.S.C. 1070C-2] APPLICATIONS FOR LEVERAGING EDUCATIONAL 
                    ASSISTANCE PARTNERSHIP PROGRAMS,

    (a) Submission and Contents of Applications.-- * * *
    (b) Payment of Federal Share of Grants Made by Qualified 
Program.-- * * *
          (1) * * *
          (2) provides that such grants will be in amounts [not 
        in excess of $5,000 per academic year]not to exceed the 
        lesser of $12,500 or the student's cost of attendance 
        per academic year (A) for attendance on a full-time 
        basis at an institution for higher education, and (B) 
        for campus-based community service work learning study 
        jobs;

           *       *       *       *       *       *       *

          [(10) for any academic year beginning after June 30, 
        1987, provides the non-Federal share of the amount of 
        student grants or work-study jobs under this subpart 
        through a direct appropriation of State funds for the 
        program under this subpart.]
          (10) provides notification to eligible students that 
        such grants are--
                  (A) Leveraging Educational Assistance 
                Partnership grants; and
                  (B) funded by the Federal Government, the 
                State, and other contributing partners.

           *       *       *       *       *       *       *

[SEC. 415E. [20 U.S.C. 1070C-3A] SPECIAL LEVERAGING EDUCATIONAL 
                    ASSISTANCE PARTNERSHIP PROGRAM.

    [(a) In General.--From amounts reserved under section 
415A(b)(2) for each fiscal year, the Secretary shall--
          [(1) make allotments among States in the same manner 
        as the Secretary makes allotments among States under 
        section 415B; and
          [(2) award grants to States, from allotments under 
        paragraph (1), to enable the States to pay the Federal 
        share of the cost of the authorized activities 
        described in subsection (c).
    [(b) Applicability Rule.--The provisions of this subpart 
which are not inconsistent with this section shall apply to the 
program authorized by this section.
    [(c) Authorized Activities.--Each State receiving a grant 
under this section may use the grant funds for--
          [(1) making awards that--
                  [(A) supplement grants received under section 
                415C(b)(2) by eligible students who demonstrate 
                financial need; or
                  [(B) provide grants under section 415C(b)(2) 
                to additional eligible students who demonstrate 
                financial need;
          [(2) providing scholarships for eligible students--
                  [(A) who demonstrate financial need; and
                  [(B) who--
                          [(i) desire to enter a program of 
                        study leading to a career in--
                                  [((I) information technology;
                                  [(II) mathematics, computer 
                                science, or engineering;
                                  [(III) teaching; or
                                  [(IV) another field 
                                determined by the State to be 
                                critical to the State's 
                                workforce needs; or
                          [(ii) demonstrate merit or academic 
                        achievement; and
          [(3) making awards that--
                  [(A) supplement community service work-study 
                awards received under section 415C(b)(2) by 
                eligible students who demonstrate financial 
                need; or
                  [(B) provide community service work-study 
                awards under section 415C(b)(2) to additional 
                eligible students who demonstrate financial 
                need.
    [(d) Maintenance of Effort Requirement.--Each State 
receiving a grant under this section for a fiscal year shall 
provide the Secretary an assurance that the aggregate amount 
expended per student or aggregate expenditures by the State, 
from funds derived from non-Federal sources, for the authorized 
activities described in subsection (c) for the preceding fiscal 
year were not less than the amount expended per student or the 
aggregate expenditures by the State for the activities for the 
activities for the second preceding fiscal year.
    [(e) Federal Share.--The Federal share of the cost of the 
authorized activities described in subsection (c) for any 
fiscal year shall be not more than 33 \1/3\ percent.
    [(f) Special Rule.--Notwithstanding subsection (d), for 
purposes of determining a State's share of the cost of the 
authorized activities described in subsection (c), the State 
shall consider only those expenditures from non-Federal sources 
that exceed its total expenditures for need-based grants, 
scholarships, and work-study assistance for fiscal year 1999 
(including any such assistance provided under this subpart).
    [(g) Use of Funds for Administrative Costs Prohibited.--A 
State receiving a grant under this section shall not use any of 
the grant funds to pay administrative costs associated with any 
of the authorized activities described in subsection (c).]

SEC. 415E. GRANTS FOR ACCESS AND PERSISTENCE.

    (a) Purpose.--It is the purpose of this section to expand 
college access and increase college persistence by making 
allotments to States to enable the States to--
          (1) expand and enhance partnerships with institutions 
        of higher education, early information and 
        intervention, mentoring, or outreach programs, private 
        corporations, philanthropic organizations, and other 
        interested parties in order to--
                  (A) carry out activities under this section; 
                and
                  (B) provide coordination and cohesion among 
                Federal, State, and local governmental and 
                private efforts that provide financial 
                assistance to help low-income students attend 
                an institution of higher education;
          (2) provide need-based grants for access and 
        persistence to eligible low-income students;
          (3) provide early notification to low-income students 
        of the students' eligibility for financial aid; and
          (4) encourage increased participation in early 
        information and intervention, mentoring, or outreach 
        programs.
    (b) Allotments to States.--
          (1) In general.--
                  (A) Authorization.--From sums reserved under 
                section 415A(b)(2) for each fiscal year, the 
                Secretary shall make an allotment to each State 
                that submits an application for an allotment in 
                accordance with subsection (c) to enable the 
                State to pay the Federal share, as described in 
                paragraph (2), of the cost of carrying out the 
                activities under subsection (d).
                  (B) Determination of allotment.--In making 
                allotments under subparagraph (A), the 
                Secretary shall consider the following:
                          (i) Continuation of award.--If a 
                        State continues to meet the 
                        specifications established in such 
                        State's application under subsection 
                        (c), the Secretary shall make an 
                        allotment to such State that is not 
                        less than the allotment made to such 
                        State for the previous fiscal year.
                          (ii) Priority.--The Secretary shall 
                        give priority in making allotments to 
                        States that meet the requirements 
                        described in paragraph (2)(A)(ii).
          (2) Federal share.--
                  (A) In general.--The Federal share under this 
                section shall be determined in accordance with 
                the following:
                          (i) If a State applies for an 
                        allotment under this section in 
                        partnership with--
                                  (I) any number of degree 
                                granting institutions of higher 
                                education in the State whose 
                                combined full-time enrollment 
                                represents less than a majority 
                                of all students attending 
                                institutions of higher 
                                education in the State; and
                                  (II)(aa) philanthropic 
                                organizations that are located 
                                in, or that provide funding in, 
                                the State; or
                                  (bb) private corporations 
                                that are located in, or that do 
                                business in, the State,
                        then the Federal share of the cost of 
                        carrying out the activities under 
                        subsection (d) shall be equal to 50 
                        percent.
                          (ii) If a State applies for an 
                        allotment under this section in 
                        partnership with--
                                  (I) any number of degree 
                                granting institutions of higher 
                                education in the State whose 
                                combined full-time enrollment 
                                represents a majority of all 
                                students attending institutions 
                                of higher education in the 
                                State; and
                                  (II)(aa) philanthropic 
                                organizations that are located 
                                in, or that provide funding in, 
                                the State; or
                                  (bb) private corporations 
                                that are located in, or that do 
                                business in, the State,
                        then the Federal share of the cost of 
                        carrying out the activities under 
                        subsection (d) shall be equal to 57 
                        percent.
                  (B) Non-federal share.--
                          (i) In general.--The non-Federal 
                        share under this section may be 
                        provided in cash or in kind, fully 
                        evaluated and in accordance with this 
                        subparagraph.
                          (ii) In kind contribution.--For the 
                        purpose of calculating the non-Federal 
                        share under this section, an in kind 
                        contribution is a non-cash award that 
                        has monetary value, such as provision 
                        of room and board and transportation 
                        passes, and that helps a student meet 
                        the cost of attendance.
                          (iii) Effect on need analysis.--For 
                        the purpose of calculating a student's 
                        need in accordance with part F of this 
                        title, an in-kind contribution 
                        described in clause (ii) shall not be 
                        considered an asset or income.
    (c) Application for Allotment.--
          (1) In general.--
                  (A) Submission.--A State that desires to 
                receive an allotment under this section on 
                behalf of a partnership described in paragraph 
                (3) shall submit an application to the 
                Secretary at such time, in such manner, and 
                containing such information as the Secretary 
                may require.
                  (B) Content.--An application submitted under 
                subparagraph (A) shall include the following:
                          (i) A description of the State's plan 
                        for using the allotted funds.
                          (ii) Assurances that the State will 
                        provide the non-Federal share from 
                        State, institutional, philanthropic, or 
                        private funds, of not less than the 
                        required share of the cost of carrying 
                        out the activities under subsection 
                        (d), as determined under subsection 
                        (b), in accordance with the following:
                                  (I) The State shall specify 
                                the methods by which non-
                                Federal share funds will be 
                                paid, and include provisions 
                                designed to ensure that funds 
                                provided under this section 
                                will be used to supplement, and 
                                not supplant, Federal and non-
                                Federal funds available for 
                                carrying out the activities 
                                under this title.
                                  (II) A State that uses non-
                                Federal funds to create or 
                                expand existing sic 
                                partnerships with nonprofit 
                                organizations or community-
                                based organizations in which 
                                such organizations watch State 
                                funds for student scholarships, 
                                may apply such matching funds 
                                from such organizations toward 
                                filling the State's non-Federal 
                                share obligation under this 
                                clause.
                          (iii) Assurances that early 
                        information and intervention, 
                        mentoring, or outreach programs exist 
                        within the State or that there is a 
                        plan to make such programs widely 
                        available.
                          (iv) A description of the 
                        organizational structure that the State 
                        has in place to administer the 
                        activities under subsection (d), 
                        including a description of the system 
                        the State will use to track the 
                        participation of students who receive 
                        grants under this section to degree 
                        completion.
                          (v) Assurances that the State has a 
                        method in place, such as acceptance of 
                        the automatic zero expected family 
                        contribution determination described in 
                        section 479, to identify eligible low-
                        income students and award State grant 
                        aid to such students.
                          (vi) Assurances that the State will 
                        provide notification to eligible low-
                        income students that grants under this 
                        section are--
                                  (I) Leveraging Educational 
                                Assistance Partnership Grants; 
                                and
                                  (II) funded by the Federal 
                                Government, the State, and 
                                other contributing partners.
          (2) State agency.--The State agency that submits an 
        application for a State under section 415C(a) shall be 
        the same State agency that submits an application under 
        paragraph (1) for such State.
          (3) Partnership.--In applying for an allotment under 
        this section, the State agency shall apply for the 
        allotment in partnership with--
                  (A) not less than 1 public and 1 private 
                degree granting institution of higher education 
                that are located in the State, if applicable;
                  (B) new or existing early information and 
                intervention, mentoring, or outreach programs 
                located in the State; and
                  (C) not less than 1--
                          (i) philanthropic organization 
                        located in, or that provides funding 
                        in, the State; or
                          (ii) private corporation located in, 
                        or that does business in, the State.
          (4) Roles of partners.--
                  (A) State agency.--A State agency that is in 
                a partnership receiving an allotment under this 
                section--
                          (i) shall--
                                  (I) serve as the primary 
                                administrative unit for the 
                                partnership;
                                  (II) provide or coordinate 
                                non-Federal share funds, and 
                                coordinate activities among 
                                partners;
                                  (III) encourage each 
                                institution of higher education 
                                in the State to participate in 
                                the partnership;
                                  (IV) make determinations and 
                                early notifications of 
                                assistance as described under 
                                subsection (d)(2); and
                                  (V) annually report to the 
                                Secretary on the partnership's 
                                progress in meeting the purpose 
                                of this section; and
                          (ii) may provide early information 
                        and intervention, mentoring, or 
                        outreach, programs.
                  (B) Degree granting institutions of higher 
                education.--A degree granting institution of 
                higher education that is in a partnership 
                receiving an allotment under this section--
                          (i) shall--
                                  (I) recruit and admit 
                                participating qualified 
                                students and provide such 
                                additional institutional grant 
                                aid to participating students 
                                as agreed to with the State 
                                agency;
                                  (II) provide support services 
                                to students who receive grants 
                                for access and persistence 
                                under this section and are 
                                enrolled at such institution; 
                                and
                                  (III) assist the State in the 
                                identification of eligible 
                                students and the dissemination 
                                of early notifications of 
                                assistance as agreed to with 
                                the State agency; and
                          (ii) may provide funding for early 
                        information and intervention, 
                        mentoring, or outreach programs or 
                        provide such services directly.
                  (C) Programs.--An early information and 
                intervention, mentoring, or outreach program 
                that is in a partnership receiving an allotment 
                under this section shall provide direct 
                services, support, and information to 
                participating students.
                  (D) Philanthropic organization or private 
                corporation.--A philanthropic organization or 
                private corporation that is in a partnership 
                receiving an allotment under this section shall 
                provide funds for grants for access and 
                persistence for participating students, or 
                provide funds or support for early information 
                and intervention, mentoring, or outreach 
                programs.
    (d) Authorized Activities.--
          (1) In general.--
                  (A) Establishment of partnership.--Each State 
                receiving an allotment under this section shall 
                use the funds to establish a partnership to 
                award grants for access and persistence to 
                eligible low-income students in order to 
                increase the amount of financial assistance 
                such tudents receive under this subpart for 
                undergraduate education expenses.
                  (B) Amount of grants.--
                          (i) Partnerships with institutions 
                        serving less than a majority of 
                        students in the state.--
                                  (I) In general.--In the case 
                                where a State receiving an 
                                allotment under this section is 
                                in a partnership described in 
                                subsection (b)(2)(A)(i), the 
                                amount of a grant for access 
                                and persistence awarded to a 
                                student by such State shall be 
                                not less than the amount that 
                                is equal to the average 
                                undergraduate tuition and 
                                mandatory fees at 4-year public 
                                institutions of higher 
                                education in the State where 
                                the student resides (less any 
                                amounts of other Federal or 
                                State sponsored grants, work 
                                study, and scholarships 
                                received by the student), and 
                                such grant for access and 
                                persistence shall be used 
                                toward the cost of attendance 
                                at an institution of higher 
                                education located in the State.
                                  (II) Cost of attendance.--A 
                                State that has a program, apart 
                                from the partnership under this 
                                section, of providing eligible 
                                low-income students with grants 
                                that are equal to the average 
                                undergraduate tuition and 
                                mandatorty fees at 4-year 
                                public institutions of higher 
                                education in the State, may 
                                increase the amount of grants 
                                for access and persistence 
                                awarded to students by such 
                                State up to an amount that is 
                                equal to the average cost of 
                                attendance at 4-year public 
                                institutions of higher 
                                education in the State (less 
                                any amounts of other Federal or 
                                State sponsored grants, work 
                                study, and scholarships 
                                received by the student).
                          (ii) Partnerships with institutions 
                        serving the majority of students in the 
                        state.--In the case where a State 
                        receiving an allotment under this 
                        section is in a partnership described 
                        in subsection (b)(2)(A)(ii), the amount 
                        of a grant for access and persistence 
                        awarded to a student by such State 
                        shall be not more than an amount that 
                        is equal to the average cost of 
                        attendance at 4-year public 
                        institutions of higher education in the 
                        State where the student resides (less 
                        any amounts of other Federal or State 
                        sponsored grants, work study, and 
                        scholarships received by the student), 
                        and such grant for access and 
                        persistence shall be used by the 
                        student to attend an institution of 
                        higher education located in the State.
                  (C) Special rules.--
                          (i) Partnership institutions.--A 
                        State receiving an allotment under this 
                        section may restrict the use of grants 
                        for access and persistence under this 
                        section by awarding the grants only to 
                        students attending institutions of 
                        higher education that are participating 
                        in the partnership.
                          (ii) Out-of-state institutions.--If a 
                        State provides grants through another 
                        program under this subpart to students 
                        attending institutions of higher 
                        education located in another State, 
                        such agreement may also apply to grants 
                        awarded under this section.
          (2) Early notification.--
                  (A) In general.--Each State receiving an 
                allotment under this section shall annually 
                notify low-income students, such as students 
                who are eligible to receive a free lunch under 
                the school lunch program established under the 
                Richard B. Russell National School Lunch Act, 
                in grade 7 through grade 12 in the State, of 
                the students' potential eligibility for student 
                financial assistance, including a grant for 
                access and persistence, to attend an 
                institution of higher education.
                  (B) Content of notice.--The notification 
                under subparagraph (A)--
                          (i) shall include--
                                  (I) information about early 
                                information and intervention, 
                                mentoring, or outreach programs 
                                available to the student;
                                  (II) information that a 
                                student's eligibility for a 
                                grant for access and 
                                persistence is enhanced through 
                                participation in an early 
                                information and intervention, 
                                mentoring, or outreach program;
                                  (III) an explanation that 
                                student and family eligibility 
                                for, and participation in, 
                                other Federal means-tested 
                                programs may indicate 
                                eligibility for a grant for 
                                access and persistence and 
                                other student aid programs;
                                  (IV) a nonbinding estimate of 
                                the total amount of financial 
                                aid that a low-income student 
                                with a similar income level may 
                                expect to receive, including an 
                                estimate of the amount of a 
                                grant for access and 
                                persistence and an estimate of 
                                the amount of grants, loans, 
                                and all other available types 
                                of aid from the major Federal 
                                and State financial aid 
                                programs;
                                  (V) an explanation that in 
                                order to be eligible for a 
                                grant for access and 
                                persistence, at a minimum, a 
                                student shall--
                                          (aa) meet the 
                                        requirement under 
                                        paragraph (3);
                                          (bb) graduate from 
                                        secondary school; and
                                          (cc) enroll at an 
                                        institution of higher 
                                        education that is a 
                                        partner in the 
                                        partnership or 
                                        qualifies under 
                                        subsection 
                                        (d)(1)(C)(ii);
                                  (VI) information on any 
                                additional requirements (such 
                                as a student pledge detailing 
                                student responsibilities) that 
                                the State may impose for 
                                receipt of a grant for access 
                                and persistence under this 
                                section; and
                                  (VII) instructions on how to 
                                apply for a grant for access 
                                and persistence and an 
                                explanation that a student is 
                                required to file a Free 
                                Application for Federal Student 
                                Aid authorized under section 
                                483(a) to be eligible for such 
                                grant and assistance from other 
                                Federal and State financial aid 
                                programs; and
                          (ii) may include a disclaimer that 
                        grant awards for access and persistence 
                        are contingent upon--
                                  (I) a determination of the 
                                student's financial eligibility 
                                at the time of the student's 
                                enrollment at an institution of 
                                higher education that is a 
                                partner in the partnership or 
                                qualifies under subsection 
                                (d)(1)(C)(ii);
                                  (II) annual Federal and State 
                                appropriations; and
                                  (III) other aid received by 
                                the student at the time of the 
                                student's enrollment at such 
                                institution of higher 
                                education.
          (3) Eligibility.--In determining which students are 
        eligible to receive grants for access and persistence, 
        the State shall ensure that each such student meets not 
        less than 1 of the following:
                  (A) Meets not less than 2 of the following 
                criteria, with priority given to students 
                meeting all of the following criteria:
                          (i) Has an expected family 
                        contribution equal to zero (as 
                        described in section 479) or a 
                        comparable alternative based upon the 
                        State's approved criteria in section 
                        415C(b)(4).
                          (ii) Has qualified for a free lunch, 
                        or at the State's discretion a reduced 
                        price lunch, under the school lunch 
                        program established under the Richard 
                        B. Russell National School Lunch Act.
                          (iii) Qualifies for the State's 
                        maximum undergraduate award, as 
                        authorized under section 415C(b).
                          (iv) Is participating in, or has 
                        participated in, a Federal, State, 
                        institutional, or community early 
                        information and intervention, 
                        mentoring, or outreach program, as 
                        recognized by the State agency 
                        administering activities under this 
                        section.
                  (B) Is receiving, or has received, a grant 
                for access and persistence under this section, 
                in accordance with paragraph (5).
          (4) Grant award.--Once a student, including those 
        students who have received early notification under 
        paragraph (2) from the State, applies for admission to 
        an institution that is a partner in the partnership, 
        files a Free Application for Federal Student Aid and 
        any related existing State form, and is determined 
        eligible by the State under paragraph (3), the State 
        shall--
                  (A) issue the student a preliminary award 
                certificate for a grant for access and 
                persistence with tentative award amounts; and
                  (B) inform the student that payment of the 
                grant for access and persistence award amounts 
                is subject to certification of enrollment and 
                award eligibility by the institution of higher 
                education.
          (5) Duration of award.--An eligible student that 
        receives a grant for access and persistence under this 
        section shall receive such grant award for each year of 
        such student's undergraduate education in which the 
        student remains eligible for assistance under this 
        title, including pursuant to section 484(c), and 
        remains financially eligible as determined by the 
        State, except that the State may impose reasonable time 
        limits to degree completion.
    (e) Use of Funds for Administrative Costs Prohibited.--A 
State that receives an allotment under this section shall not 
use any of the allotted funds to pay administrative costs 
associated with any of the authorized activities described in 
subsection (d).
    (f) Statutory and Regulatory Relief for Institutions of 
Higher Education.--The Secretary may grant, upon the request of 
an institution of higher education that is in a partnership 
described in subsection (b)(2)(A)(ii) and that receives an 
allotment under this section, a waiver for such institution 
from statutory or regulatory requirements that inhibit the 
ability of the institution to successfully and efficiently 
participate in the activities of the partnership.
    (g) Applicability Rule.--The provisions of this subpart 
which are not inconsistent with this section shall apply to the 
program authorized by this section.
    (h) Maintenance of Effort Requirement.--Each State 
receiving an allotment under this section for a fiscal year 
shall provide the Secretary with an assurance that the 
aggregate amount expended per student or the aggregate 
expenditures by the State, from funds derived from non-Federal 
sources, for the authorized activities described in subsection 
(d) for the preceding fiscal year were not less than the amount 
expended per student or the aggregate expenditure by the State 
for the activities for the second preceding fiscal year.
    (i) Special Rule.--Notwithstanding subsection (h), for 
purposes of determining a State's share of the cost of the 
authorized activities described in subsection (d), the State 
shall consider only those expenditures from non-Federal sources 
that exceed the State's total expenditures for need-based 
grants, scholarships, and work-study assistance for fiscal year 
1999 (including any such assistance provided under this 
subpart).
    (j) Continuation and Transition.--For the 2-year period 
that begins on the date of enactment of the Higher Education 
Amendments of 2007, the Secretary shall continue to award 
grants under section 415E of the Higher Education Act of 1965 
as such section existed on the day before the date of enactment 
of such Act to States that choose to apply for grants under 
such predecessor section.
    (k) Reports.--Not later than 3 years after the date of 
enactment of the Higher Education Amendments of 2007 and 
annually thereafter, the Secretary shall submit a report 
describing the activities and the impact of the partnerships 
under this section to the authorizing committees.

           *       *       *       *       *       *       *

Subpart 5--Special Programs for Students Whose Families are Engaged in 
                     Migrant and Seasonal Farmwork

SEC. 418A. [20 U.S.C. 1070D-2] MAINTENANCE AND EXPANSION OF EXISTING 
                    PROGRAMS.

    (a) Program Authority.--* * *
    (b) Services Provided by High School Equivalency Program.--
* * *
          (1) recruitment services to reach persons--
                  (A)(i) * * *

           *       *       *       *       *       *       *

                  (B)(i) who themselves, or whose 
                [parents]immediate family have spent a minimum 
                of 75 days during the past-24 months in migrant 
                and seasonal farmwork; or

           *       *       *       *       *       *       *

          (3) supportive services which include the following:
                  (A) * * *
                  (B) placement services designed to place 
                students in a university, college, or junior 
                college program (including preparation for 
                college entrance examinations), or in military 
                service or career positions; and

           *       *       *       *       *       *       *

          (5) [weekly] stipends for high school equivalency 
        program participants;
          (6) * * *
          (7) exposure to cultural events, academic programs, 
        and other educational and cultural activities usually 
        not available to migrant youth; [and]
          (8) other essential supportive services (such as 
        transportation and child care), as needed to ensure the 
        success of eligible students[.]; and
          (9) other activities to improve persistence and 
        retention in postsecondary education.
    (c) Services Provided by College Assistance Migrant 
Program--
          (1) * * *
                  (A) outreach and recruitment services to 
                reach persons who themselves or whose 
                [parents]immediate family have spent a minimum 
                of 75 days during the past 24 months in migrant 
                and seasonal farmwork or who have participated 
                or are eligible to participate, in programs 
                under part C of title I of the Elementary and 
                Secondary Education Act of 1965 (or such part's 
                predecessor authority) or section 402 of the 
                Job Training Partnership Act or section 167 of 
                the Workforce Investment Act of 1998, and who 
                meet the minimum qualifications for attendance 
                at a college or university;
                  (B) supportive and instructional services to 
                improve placement, persistence, and retention 
                in postsecondary education, which include:
                          (i) personal, academic, [and 
                        career]career, and economic education 
                        or personal finance counseling as an 
                        ongoing part of the program;

           *       *       *       *       *       *       *

                  (E) exposure to cultural events, academic 
                programs, and other activities not usually 
                available to migrant youth; [and]
                  (F) internships; and
                  [F](G) other [support services] essential 
                supportive services (such as transportation and 
                child care) as necessary to ensure the success 
                of eligible students.
          (2) * * *
                  (A) monitoring and reporting the academic 
                progress of students who participated in the 
                project during such student's first year of 
                college and during such student's subsequent 
                years in college; [and]
                  (B) referring such students to on- or off-
                campus providers of counseling services, 
                academic assistance, or financial aid[.], and 
                coordinating such services, assistance, and aid 
                with other non-program services, assistance, 
                and aid, including services, assistance, and 
                aid provided by community-based organizations, 
                which may include mentoring and guidance; and
                  (C) for students attending 2-year 
                institutions of higher education, encouraging 
                the students to transfer to 4-year institutions 
                of higher education, where appropriate, and 
                monitoring the rate of transfer of such 
                students.

           *       *       *       *       *       *       *

    (e) Five-Year Grant Period; Consideration of Prior 
Experience.--Except under extraordinary circumstances, the 
Secretary shall award grants for a 5-year period. For the 
purpose of making grants under this subpart, the Secretary 
shall consider the prior experience of service delivery under 
the particular project for which funds are sought by each 
applicant. Such prior experience shall be awarded the same 
level of consideration given this factor for applicants for 
programs in accordance with [section 402A(c)(1)]section 
402A(c)(2).
    (f) Minimum Allocations.--The Secretary shall not allocate 
an amount less than--
          (1) [$150,000]$180,000 for each project under the 
        high school equivalency program, and
          (2) [$150,000]$180,000 for each project under the 
        college assistance migrant program.
    (g) Reservation of Funds.--From the amounts made available 
under subsection (i), the Secretary may reserve not more than a 
total of \1/2\ of 1 percent for outreach activities, technical 
assistance, and professional development programs relating to 
the programs under subsection (a).
    [(g)](h) Data Collection.--The National Center for 
Education Statistics shall collect postsecondary education data 
on migrant students.]
    (h) Data Collection.--The Commissioner for Education 
Statistics shall--
          (1) annually collect data on persons receiving 
        services authorized under this subpart regarding such 
        persons' rates of secondary school graduation, entrance 
        into postsecondary education, and completion of 
        postsecondary education;
          (2) not less often than once every 2 years, prepare 
        and submit a report based on the most recently 
        available data under paragraph (1) to the authorizing 
        committees; and
          (3) make such report available to the public.
    [(h)](i) Authorization of Appropriations.--(1) There are 
authorized to be appropriated for the high school equivalency 
program [$15,000,000 for fiscal year 1999 and such sums as may 
be necessary for each of the 4 succeeding fiscal years.]such 
sums as may be necessary for fiscal year 2008 and each of the 5 
succeeding fiscal years.
    (2) There are authorized to be appropriated for the college 
assistance migrant program [$5,000,000 for fiscal year 1999 and 
such sums as may be necessary for each of the 4 succeeding 
fiscal years.]such sums as may be necessary for fiscal year 
2008 and each of the 5 succeeding fiscal years.

           *       *       *       *       *       *       *

SEC. 419F. [20 U.S.C. 1070D-36] ELIGIBILITY OF SCHOLARS.

    (a) High School Graduation or Equivalent and Admission to 
Institution Required.--Each student awarded a scholarship under 
this subpart shall be a graduate of a public or private 
secondary school (or a home school, whether treated as a home 
school or a private school under State law) or have the 
equivalent of a certificate of graduation as recognized by the 
State in which the student resides and must have been admitted 
for enrollment at an institution of higher education.

SEC. 419K. [20 U.S.C. 1070D-41] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated for this subpart 
[$45,000,000 for fiscal year 1999 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.]such sums 
as may be necessary for fiscal year 2008 and each of the 5 
succeeding fiscal years.

           *       *       *       *       *       *       *

          Subpart 7--Child Care Access Means Parents in School

SEC. 419N. [20 U.S.C. 1070E] CHILD CARE ACCESS MEANS PARENTS IN SCHOOL.

    (a) Purpose.--* * *
    (b) Program Authorized.--* * *
          (1) Authority.--* * *
          (2) Amount of grants.--* * *
                  (A) In general.--* * *
                  (B) Minimum.--[A grant]
                          (i) In general.--Except as provided 
                        in clause (ii), a grant under this 
                        section shall be awarded in an amount 
                        that is not less than $10,000.
                          (ii) Increase trigger.--For any 
                        fiscal year for which the amount 
                        appropriated under the authority of 
                        subsection (g) is equal to or greater 
                        than $20,000,000, a grant under this 
                        section shall be awarded in an amount 
                        that is not less than $30,000.

           *       *       *       *       *       *       *

        [(7) Definition of low-income student.--For the purpose 
        of this section, the term ``low-income student'' means 
        a student who is eligible to receive a Federal Pell 
        Grant for the fiscal year for which the determination 
        is made.]
          (7) Definition of low-income student.--For the 
        purpose of this section, the term ``low-income 
        student'' means a student who--
                  (A) is eligible to receive a Federal Pell 
                Grant for the award year for which the 
                determination is made; or
                  (B) would otherwise be eligible to receive a 
                Federal Pell Grant for the award year for which 
                the determination is made, except that the 
                student fails to meet the requirements of--
                          (i) section 401(c)(1) because the 
                        student is enrolled in a graduate or 
                        first professional course of study; or
                          (ii) section 484(a)(5) because the 
                        student is in the United States for a 
                        temporary purpose.

           *       *       *       *       *       *       *

    (g) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section [$45,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.]such sums as may be necessary 
for fiscal year 2008 and each of the 5 succeeding fiscal years.

           *       *       *       *       *       *       *

SEC. 428. [20 U.S.C. 1078] FEDERAL PAYMENTS TO REDUCE STUDENT INTEREST 
                    COSTS.

    (a) Federal Interest Subsidies.--* * *

           *       *       *       *       *       *       *

    (b) Insurance Program Agreements To Qualify Loans for 
Interest Subsidies.--
          (1) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (X) provides information to the Secretary in 
                accordance with section 428(c)(9) and maintains 
                reserve funds determined by the Secretary to be 
                sufficient in relation to such agency's 
                guarantee obligations; [and]
                  (Y) provides that--
                          [(i) the lender shall determine the 
                        eligibility of a borrower for a 
                        deferment described in subparagraph 
                        (M)(i) based on receipt of--
                                  [(I) a request for deferment 
                                from the borrower and 
                                documentation of the borrower's 
                                eligibility for the deferment;
                                  [(II) a newly completed loan 
                                application that documents the 
                                borrower's eligibility for a 
                                deferment; or
                                  [(III) student status 
                                information received by the 
                                lender that the borrower is 
                                enrolled on at least a half-
                                time basis; and]
                          (i) the lender shall determine the 
                        eligibility of a borrower for a 
                        deferment described in subparagraph 
                        (M)(i) based on--
                                  (I) receipt of a request for 
                                deferment from the borrower and 
                                documentation of the borrower's 
                                eligibility for the deferment;
                                  (II) receipt of a newly 
                                completed loan application that 
                                documents the borrower's 
                                eligibility for a deferment;
                                  (III) receipt of student 
                                status information received by 
                                the lender that the borrower is 
                                enrolled on at least a half-
                                time basis; or
                                  (IV) the lender's 
                                confirmation of the borrower's 
                                half-time enrollment status 
                                through use of the National 
                                Student Loan Data System, if 
                                the confirmation is requested 
                                by the institution of higher 
                                education.
                          (ii) the lender will notify the 
                        borrower of the granting of any 
                        deferment under clause (i)(II) or (III) 
                        of this subparagraph and of the option 
                        to continue paying on the loan[.]; and
                  (Z) provides that the lender shall, at the 
                time the lender grants a deferment to a 
                borrower who received a loan under section 428H 
                and is eligible for a deferment under section 
                428(b)(1)(M), provide information to the 
                borrower to enable the borrower to understand 
                the impact of capitalization of interest on the 
                borrower's loan principal and total amount of 
                interest to be paid during the life of the 
                loan.
          (2) Contents of insurance program agreement.--Such an 
        agreement shall--
                  (A) * * *

           *       *       *       *       *       *       *

                  (F) * * *
                          (i) * * *

           *       *       *       *       *       *       *

                                  (I) * * *

           *       *       *       *       *       *       *

                                  (III) the name and address of 
                                the party to whom subsequent 
                                payments or communications must 
                                be sent; [and]
                                  (IV) the telephone numbers of 
                                both the transferor and the 
                                transferee; [and]
                                  (V) the effective date of the 
                                transfer;
                                  (VI) the date the current 
                                servicer will stop accepting 
                                payments; and
                                  (VII) the date at which the 
                                new servicer will begin 
                                accepting payments.

           *       *       *       *       *       *       *

          [(3) Restrictions on inducements, mailings, and 
        advertising.--A guaranty agency shall not--
                  [(A) offer, directly or indirectly, premiums, 
                payments, or other inducements to any 
                educational institution or its employees in 
                order to secure applicants for loans under this 
                part;
                  [(B) offer, directly or indirectly, any 
                premium, incentive payment, or other inducement 
                to any lender, or any agent, employee, or 
                independent contractor of any lender or 
                guaranty agency, in order to administer or 
                market loans made under this part (other than a 
                loan made under section 428H or a loan made as 
                part of a guaranty agency's lender-of-last-
                resort program) for the purpose of securing the 
                designation of that guaranty agency as the 
                insurer of such loans;
                  [(C) conduct unsolicited mailings of student 
                loan application forms to students enrolled in 
                secondary school or a postsecondary 
                institution, or to parents of such students, 
                except that applications may be mailed to 
                borrowers who have previously received loans 
                guaranteed under this part by the guaranty 
                agency; or
                  [(D) conduct fraudulent or misleading 
                advertising concerning loan availability.
        [It shall not be a violation of this paragraph for a 
        guaranty agency to provide assistance to institutions 
        of higher education comparable to the kinds of 
        assistance provided to institutions of higher education 
        by the Department of Education.]
          (3) Restrictions on inducements, payments, mailings, 
        and advertising.--A guaranty agency shall not--
                  (A) offer, directly or indirectly, premiums, 
                payments, or other inducements to--stock or 
                other securities, prizes, travel, entertainment 
                expenses, tuition repayment,
                          (i) any institution of higher 
                        education or the employees of an 
                        institution of higher education in 
                        order to secure applicants for loans 
                        made under this part; or
                          (ii) any lender, or any agent, 
                        employee, or independent contractor of 
                        any lender or guaranty agency, in order 
                        to administer or market loans made 
                        under this part (other than a loan made 
                        under section 428H or a loan made as 
                        part of the guaranty agency's lender-
                        of-last-resort program pursuant to 
                        section 439(q)) for the purpose of 
                        securing the designation of the 
                        guaranty agency as the insurer of such 
                        loans;
                  (B) conduct unsolicited mailings, by postal 
                or electronic means, of educational loan 
                application forms to students enrolled in 
                secondary school or postsecondary educational 
                institutions, or to the parents of such 
                students, except that applications may be 
                mailed, by postal or electronic means, to 
                students or borrowers who have previously 
                received loans guaranteed under this part by 
                the guaranty agency;
                  (C) perform, for an institution of higher 
                education participating in a program under this 
                title, any function that the institution is 
                required to perform under part B, D, or G;
                  (D) pay, on behalf of the institution of 
                higher education, another person to perform any 
                function that the institution of higher 
                education is required to perform under part B, 
                D, or G; or
                  (E) conduct fraudulent or misleading 
                advertising concerning loan availability, 
                terms, or conditions.
        It shall not be a violation of this paragraph for a 
        guaranty agency to provide technical assistance to 
        institutions of higher education comparable to the 
        technical assistance provided to institutions of higher 
        education by the Department.

           *       *       *       *       *       *       *

    (c) Guaranty Agreements for Reimbursing Losses.--
          (1) * * *

           *       *       *       *       *       *       *

          (2) Contents of guaranty agreements.--The guaranty 
        agreement--
                  (a) * * *

           *       *       *       *       *       *       *

                  (H) set forth assurances that--
                          (i) upon the request of an eligible 
                        institution, the guaranty agency shall, 
                        subject to clauses (ii) and (iii), 
                        furnish to the institution information 
                        with respect to students (including the 
                        names and addresses of such students) 
                        who received loans made, insured, or 
                        guaranteed under this part for 
                        attendance at the eligible institution 
                        and for whom [preclaims]default 
                        aversion assistance activities have 
                        been requested under subsection (l);
                          (ii) the guaranty agency shall not 
                        require the payment from the 
                        institution of any fee for such 
                        information; and

           *       *       *       *       *       *       *

          (3) Forbearance.--A guaranty agreement under this 
        subsection--
                  (A) shall contain provisions providing that--
                          (i) * * *

           *       *       *       *       *       *       *

                  (D) shall contain provisions that specify 
                that--
                          (i) forbearance for a period not to 
                        exceed 60 days may be granted if the 
                        lender reasonably determines that such 
                        a suspension of collection activity is 
                        warranted following a borrower's 
                        request for deferment, forbearance, a 
                        change in repayment plan, or a request 
                        to consolidate loans, in order to 
                        collect or process appropriate 
                        supporting documentation related to the 
                        request, [and]
                          (ii) during such period interest 
                        shall accrue but not be capitalized[.];
                          (iii) the lender shall, at the time 
                        of granting a borrower forbearance, 
                        provide information to the borrower to 
                        enable the borrower to understand the 
                        impact of capitalization of interest on 
                        the borrower's loan principal and total 
                        amount of interest to be paid during 
                        the life of the loan; and
                          (iv) the lender shall contact the 
                        borrower not less often than once every 
                        180 days during the period of 
                        forbearance to inform the borrower of--
                                  (I) the amount of unpaid 
                                principal and the amount of 
                                interest that has accrued since 
                                the last statement of such 
                                amounts provided to the 
                                borrower by the lender;
                                  (II) the fact that interest 
                                will accrue on the loan for the 
                                period of forbearance;
                                  (III) the amount of interest 
                                that will be capitalized, and 
                                the date on which 
                                capitalization will occur;
                                  (IV) the ability of the 
                                borrower to pay the interest 
                                that has accrued before the 
                                interest is capitalized; and
                                  (V) the borrower's option to 
                                discontinue the forbearance at 
                                any time.

           *       *       *       *       *       *       *

          (9) Guaranty agency reserve level.--
          (A) * * *

           *       *       *       *       *       *       *

                  (K) The Secretary, within 3 months after the 
                end of each fiscal year, shall submit to the 
                [House Committee on Education and the Workforce 
                and the Senate Committee on Labor and Human 
                Resources]authorizing committees a report 
                specifying the Secretary's assessment of the 
                fiscal soundness of the guaranty agency system.

           *       *       *       *       *       *       *

    (g) Action on Insurance Program and Guaranty Agreements.--
If a nonprofit private institution or organization--
          (1) * * *
          (2) as provided in the application, undertakes to 
        meet the requirements of section 422(c)(6)(B) (i), 
        (ii), and (iii),
the Secretary shall consider and act upon such application 
within 180 days, and shall forthwith notify the [Committee on 
Labor and Human Resources of the Senate and the Committee on 
Education and the Workforce of the House of 
Representatives]authorizing committees of his actions.

           *       *       *       *       *       *       *

    (n) Blanket Certificate of Loan Guaranty.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (4) Report required.--The Secretary shall, at the 
        conclusion of the pilot program under paragraph (3), 
        provide a report to the [Committee on Education and the 
        Workforce of the House of Representatives and the 
        Committee on Labor and Human Resources of the 
        Senate]authorizing committees on the impact of the 
        blanket certificates of guaranty on program efficiency 
        and integrity.

           *       *       *       *       *       *       *

SEC. 428A. [20 U.S.C. 1078-1] VOLUNTARY FLEXIBLE AGREEMENTS WITH 
                    GUARANTY AGENCIES.

    (a) Voluntary Agreements.--

           *       *       *       *       *       *       *

    (c) Public Notice.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (2) Agreement notice.--The Secretary shall notify the 
        [Chairperson and the Ranking Minority Member of the 
        Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives]members of the authorizing 
        committees not later than 30 days prior to concluding 
        an agreement under this section. The notice shall 
        contain--

           *       *       *       *       *       *       *

         (3) Waiver notice.--The Secretary shall notify the 
        [Chairperson and the Ranking Minority Member of the 
        Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives]members of the authorizing 
        committees not later than 30 days prior to the granting 
        of a waiver pursuant to subsection (a)(2) to a guaranty 
        agency that is not a party to a voluntary flexible 
        agreement.

           *       *       *       *       *       *       *

          (5) Modification notice.--The Secretary shall notify 
        the [Chairperson and the Ranking Minority Members of 
        the Committee on Labor and Human Resources of the 
        Senate and the Committee on Education and the Workforce 
        of the House of Representatives]members of the 
        authorizing committees 30 days prior to any 
        modifications to an agreement under this section.

           *       *       *       *       *       *       *

SEC. 428C. [20 U.S.C. 1078-3] FEDERAL CONSOLIDATION LOANS.

    (a) Agreements With Eligible Lenders.--

           *       *       *       *       *       *       *

    (b) Contents of Agreements, Certificates of Insurance, and 
Loan Notes.--
          (1) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                 (E) that the lender shall offer an income-
                sensitive repayment schedule, established by 
                the lender in accordance with the regulations 
                promulgated by the Secretary, to the borrower 
                of any consolidation loan made by the lender on 
                or after July 1, 1994; [and]
                  (F) that the lender will disclose, in a clear 
                and conspicuous manner, to borrowers who 
                consolidate loans made under part E of this 
                title--
                          (i) that once the borrower adds the 
                        borrower's Federal Perkins Loan to a 
                        Federal Consolidation Loan, the 
                        borrower will lose all interest-free 
                        periods that would have been available, 
                        such as those periods when no interest 
                        accrues on the Federal Perkins Loan 
                        while the borrower is enrolled in 
                        school at least half-time, during the 
                        grace period, and during periods when 
                        the borrower's student loan repayments 
                        are deferred:
                          (ii) that the borrower will no longer 
                        be eligible for loan cancellation of 
                        Federal Perkins Loans under any 
                        provision of section 465; and
                          (iii) the occupations described in 
                        section 465(a)(2), individually and in 
                        detail, for which the borrower will 
                        lose eligibility for Federal Perkins 
                        Loan cancellation; and
                  (G) that the lender shall, upon application 
                for a consolidation loan, provide the borrower 
                with information about the possible impact of 
                loan consolidation, including--
                          (i) the total interest to be paid and 
                        fees to be paid on the consolidation 
                        loan, and the length of repayment for 
                        the loan;
                          (ii) whether consolidation would 
                        result in a loss of loan benefits under 
                        this part or part D, including loan 
                        forgiveness, cancellation, and 
                        deferment;
                          (iii) in the case of a borrower that 
                        plans to include a Federal Perkins Loan 
                        under part E in the consolidation loan, 
                        that once the borrower adds the 
                        borrower's Federal Perkins Loan to a 
                        consolidation loan--
                                  (I) the borrower will lose 
                                all interest-free periods that 
                                would have been available for 
                                such loan under part E, such as 
                                the periods during which no 
                                interest accrues on the Federal 
                                Perkins Loan while the borrower 
                                is enrolled in school at least 
                                half-time, the grace period, 
                                and the periods during which 
                                the borrower's student loan 
                                repayments are deferred under 
                                section 464(c)(2); and
                                  (II) the borrower will no 
                                longer be eligible for 
                                cancellation of part or all of 
                                a Federal Perkins Loan under 
                                section 465(a);
                          (iv) the ability of the borrower to 
                        prepay the consolidation loan, pay such 
                        loan on a shorter schedule, and to 
                        change repayment plans;
                          (v) that borrower benefit programs 
                        for a consolidation loan may vary among 
                        different lenders;
                          (vi) the consequences of default on 
                        the consolidation loan; and
                          (vii) that by applying for a 
                        consolidation loan, the borrower is not 
                        obligated to agree to take the 
                        consolidation loan; and
                  [(F)] (H) such other terms and conditions as 
                the Secretary or the guaranty agency may 
                specifically require of the lender to carry out 
                this section.

           *       *       *       *       *       *       *

SEC. 428F. [20 U.S.C. 1078-6] DEFAULT REDUCTION PROGRAM.

    (a) Other Repayment Incentives.--

           *       *       *       *       *       *       *

    (b) * * *
    (c) Financial and Economic Literacy.--Where appropriate as 
determined by the institution of higher education in which a 
borrower is enrolled, each program described in subsection (b) 
shall include making available financial and economic education 
materials for the borrower, including making the materials 
available before, during, or after rehabilitation of a loan.

           *       *       *       *       *       *       *

SEC. 430A. [20 U.S.C. 1080A] REPORTS TO [CREDIT BUREAUS]CONSUMER 
                    REPORTING AGENCIES AND INSTITUTIONS OF HIGHER 
                    EDUCATION.

    (a) Agreements To Exchange Information.--For the purpose of 
promoting responsible repayment of loans covered by Federal 
loan insurance pursuant to this part or covered by a guaranty 
agreement pursuant to section 428, the Secretary, each guaranty 
agency, eligible lender, and subsequent holder shall enter into 
agreements [with credit bureau organizations]with each consumer 
reporting agency that compiles and maintains files on consumers 
on a nationwide basis (as defined in section 603(p) of the Fair 
Credit Reporting Act (15 U.S.C. 1681a(p)) to exchange 
information concerning student borrowers, in accordance with 
the requirements of this section. For the purpose of assisting 
such organizations in complying with the Fair Credit Reporting 
Act, such agreements may provide for timely response by the 
Secretary (concerning loans covered by Federal loan insurance), 
by a guaranty agency, eligible lender, or subsequent holder 
(concerning loans covered by a guaranty agreement), or to 
requests from such organizations for responses to objections 
raised by borrowers. Subject to the requirements of subsection 
(c), such agreements shall require the Secretary, the guaranty 
agency, eligible lender, or subsequent holder, as appropriate, 
to disclose to such organizations, with respect to any loan 
under this part that has not been repaid by the horrower--
          (1) the type of loan made, insured, or guaranteed 
        under this title;
          [(1)](2) the total amount of loans made to any 
        borrower under this part and the remaining balance of 
        the loans;
          (3) information concerning the repayment status of 
        the loan, which information shall be included in the 
        file of the borrower, except that nothing in this 
        subsection shall be construed to affect any otherwise 
        applicable provision of the Fair Credit Reporting Act 
        (15 U.S.C. 1681 et seq.).
          [(2)](4) information concerning the date of any 
        default on the loan and the collection of the loan, 
        including information concerning the repayment status 
        of any defaulted loan on which the Secretary has made a 
        payment pursuant to section 430(a) or the guaranty 
        agency has made a payment to the previous holder of the 
        loan; [and]
          [(3)](5) the date of cancellation of the note upon 
        completion of repayment by the borrower of the loan or 
        payment by the Secretary pursuant to section 437[.]; 
        and
          (6) any other information required to be reported by 
        Federal law.

           *       *       *       *       *       *       *

SEC. 432. [20 U.S.C. 1082] LEGAL POWERS AND RESPONSIBILITIES.

    (a) * * *

           *       *       *       *       *       *       *

    (f) Audit of Financial Transactions.--
          (1) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) a representative sample of eligible 
                lenders under this part, upon the request of 
                [the Committee on Education and the Workforce 
                of the House of Representatives or the 
                Committee on Labor and Human Resources of the 
                Senate]either of the authorizing committees, 
                with respect to the payment of the special 
                allowance under section 438 in order to 
                evaluate the program authorized by this part.

           *       *       *       *       *       *       *

    (m) Common Forms and Formats.--
          (1) Common guaranteed student loan application form 
        and promissory note.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) Master promissory note.--
                          (i) In general.--The Secretary shall 
                        develop and require the use of master 
                        promissory note forms for loans made 
                        under this part and part D. Such forms 
                        shall be available for periods of 
                        enrollment beginning not later than 
                        July 1, 2000. Each form shall allow 
                        eligible borrowers to receive, in 
                        addition to initial loans, additional 
                        loans for the same or subsequent 
                        periods of enrollment through a student 
                        confirmation process approved by the 
                        Secretary. Such forms shall be used for 
                        loans made under this part or part D as 
                        directed by the Secretary. Unless 
                        otherwise notified by the Secretary, 
                        each institution of higher education 
                        that participate in the program under 
                        this part or part D may use a master 
                        promissory note for loans under this 
                        part and part D.

           *       *       *       *       *       *       *

    (n) Default Reduction Management.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Plan for use required.--* * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) if the performance standard or goal is 
                impractical or infeasible, why that is the case 
                and what action is recommended, including 
                whether the goal should be changed or the 
                program altered or eliminated.
This report shall be submitted to the Appropriations Committees 
of the House of Representatives and the Senate and to the 
[Committee on Education and the Workforce of the House of 
Representatives and the Committee on Labor and Human Resources 
of the Senate]authoring committees.

           *       *       *       *       *       *       *

SEC. 433. [20 1083] STUDENT LOAN INFORMATION BY ELIGIBLE LENDERS.

    (a) Required Disclosure Before Disbursement.--* * *

           *       *       *       *       *       *       *

    (e) * * *
    (f) Borrower Information and Privacy.--Each entity 
participating in a program under this part that is subject to 
subtitle A of title V of the Gramm-Leach-Bliley Act (15 U.S.C. 
6801 et seq.) shall only use, release, disclose, sell, 
transfer, or give student information, including the name, 
address, social security number, or amount borrowed by a 
borrower or a borrower's parent, in accordance with the 
provisions of such subtitle.
    (g) Loan Benefit Disclosures.--
          (1) In general.--Each eligible lender, holder, or 
        servicer of a loan made, insured, or guaranteed under 
        this part shall provide the borrower with information 
        on the loan benefit repayment options the lender, 
        holder, or servicer offer, including information on 
        reductions in interest rates--
                  (A) by repaying the loan by automatic payroll 
                or checking account deduction;
                  (B) by completing a program of on-time 
                repayment; and
                  (C) under any other interest rate reduction 
                program.
          (2) Information.--Such borrower information shall 
        include
                  (A) any limitations on such options;
                  (B) explicit information on the reasons a 
                borrower may lose eligibility for such an 
                option;
                  (C) examples of the impact the interest rate 
                reductions will have on a borrower's time for 
                repayment and amount of repayment;
                  (D) upon the request of the borrower, the 
                effect the reductions in interest rates will 
                have with respect to the borrower's payoff 
                amount and time for repayment; and
                  (E) information on borrower recertification 
                requirements.

           *       *       *       *       *       *       *

SEC. 433A. CONSUMER EDUCATION INFORMATION.

    Each guaranty agency participating in a program under this 
part, working with, the institutions of higher education served 
by such guaranty agency (or in the case of an institution of 
higher education that provides loans exclusively through part 
D, the institution working with a guaranty agency or with the 
Secretary), shall develop and make available a high-quality 
educational program and materials to provide training for 
students in budgeting and financial management, including debt 
management and other aspects of financial literacy, such as the 
cost of using very high interest loans to pay for postsecondary 
education, particularly as budgeting and financial management 
relates to student loan programs authorized by this title. 
Nothing in this section shall be construed to prohibit a 
guaranty agency from using an existing program or existing 
materials to meet the requirement of this section. The 
activities described in this section shall be considered 
default reduction activities for the purposes of section 422.

           *       *       *       *       *       *       *

SEC. 435. [20 U.S.C. 1085] DEFINITIONS FOR STUDENT LOAN INSURANCE 
                    PROGRAM.

    As used in this part:
    (a) Eligible Institution.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

    (d) Eligible Lender.--
          (1) In general.--Except as provided in paragraphs (2) 
        through (6), the term ``eligible lender'' means--
                  (A) * * *

           *       *       *       *       *       *       *

          (5) * * *
                  [(A) offered, directly or indirectly, points, 
                premiums, payments, or other inducements, to 
                any educational institution or individual in 
                order to secure applicants for loans under this 
                part;
                  [(B) conducted unsolicited mailings to 
                students of student loan application forms, 
                except to students who have previously received 
                loans under this part from such lender;]
                  (A) offered, directly or indirectly, points, 
                premiums, payments (including payments for 
                referrals and for processing or finder fees), 
                prizes, stock or other securities, travel, 
                entertainment expenses, tuition repayment, the 
                provision of information technology equipment 
                at below-market value, additional financial aid 
                funds, or other inducements to any institution 
                of higher education or any employee of an 
                institution of higher education in order to 
                secure applicants for loans under this part;
                  (B) conducted unsolicited mailings, by postal 
                or electronic means, of student loan 
                application forms to students enrolled in 
                secondary school or postsecondary institutions, 
                or to parents of such students, except that 
                applications may be mailed, by postal or 
                electronic means, to students or borrowers who 
                have previously received loans under this part 
                from such lender;
                  (C) entered into any type of consulting 
                arrangement, or other contract to provide 
                services to a lender, with an employee who is 
                employed in the financial aid office of an 
                institution of higher education, or who 
                otherwise has responsibilities with respect to 
                student loans or other financial aid of the 
                institution;
                  (D) compensated an employee who is employed 
                in the financial aid office of an institution 
                of higher education, or who otherwise has 
                responsibilities with respect to educational 
                loans or other financial aid of the 
                institution, and who is serving on an advisory 
                board, commission, or group established by a 
                lender or group of lenders for providing such 
                service, except that the eligible lender may 
                reimburse such employee for reasonable expenses 
                incurred in providing such service;
                  (E) performed for an institution of higher 
                education any function that the institution of 
                higher education is required to carry out under 
                part B, D, or G;
                  (F) paid, on behalf of an institution of 
                higher education, another person to perform, 
                any function that the institution of higher 
                education is required to perform, under part B, 
                D, or G;
                  (G) provided payments or other benefits to a 
                student at an institution of higher education 
                to act as the lender's representative to secure 
                applications under this title from individual 
                prospective borrowers, unless such, student--
                          (i) is also employed by the lender 
                        for other purposes; and
                          (ii) made all appropriate disclosures 
                        regarding such employment;
                  [(C)](H) offered, directly or indirectly, 
                loans under this part as an inducement to a 
                prospective borrower to purchase a policy of 
                insurance or other product; or
                  [(D)](I) engaged in fraudulent or misleading 
                advertising. It shall not be a violation of 
                this paragraph for a lender to provide 
                assistance to institutions of higher education 
                comparable to the kinds of assistance provided 
                to institutions of higher education by the 
                Department of Education.

           *       *       *       *       *       *       *

          (8) Sunset of authority for school as lender 
        program.--
                  (A) Sunset.--The authority provided under 
                subsection (d)(1)(E) for an institution to 
                serve as an eligible lender, and under 
                paragraph (7) for an eligible lender to serve 
                as a trustee for an institution of higher 
                education or an organization affiliated with an 
                institution of higher education, shall expire 
                on June 30, 2012.
                  (B) Application to existing institutional 
                lenders.--An institution that was an eligible 
                lender under this subsection, or an eligible 
                lender that served as a trustee for an 
                institution of higher education or an 
                organization affiliated with an institution of 
                higher education under paragraph (7), before 
                June 30, 2012, shall--
                          (i) not issue any new loans in such a 
                        capacity under part B after June 30, 
                        2012; and
                          (ii) continue to carry out the 
                        institution's responsibilities for any 
                        loans issued by the institution under 
                        part B on or before June 30, 2012, 
                        except that, beginning on June 30, 
                        2011, the eligible institution or 
                        trustee may, notwithstanding any other 
                        provision of this Act, sell or 
                        otherwise dispose of such loans if all 
                        profits from the divestiture are used 
                        for need-based grant programs at the 
                        institution.
                  (C) Audit requirement.--All institutions 
                serving as an eligible lender under subsection 
                (d)(1)(E) and all eligible lenders serving as a 
                trustee for an institution of higher education 
                or an organization affiliated with an 
                institution of higher education shall annually 
                complete and submit to the Secretary a 
                compliance audit to determine whether--
                          (i) the institution or lender is 
                        using all proceeds from special 
                        allowance payments and interest 
                        payments from borrowers, interest 
                        subsidies received from the Department, 
                        and any proceeds from the sale or other 
                        disposition of loans, for need-based 
                        aid programs, in accordance with 
                        section 435(d)(2)(A)(viii);
                          (ii) the institution or lender is 
                        using no more than a reasonable portion 
                        of the proceeds described in section 
                        435(d)(2)(A)(viii) for direct 
                        administrative expenses; and
                          (iii) the institution or lender is 
                        ensuring that the proceeds described in 
                        section 435(d)(2)(A)(viii) are being 
                        used to supplement, and not to 
                        supplant, non-Federal funds that would 
                        otherwise be used for needbased grant 
                        programs.

           *       *       *       *       *       *       *

SEC. 437. [20 U.S.C. 1087] REPAYMENT BY THE SECRETARY OF LOANS OF 
                    BANKRUPT, DECEASED, OR DISABLED BORROWERS; 
                    TREATMENT OF BORROWERS ATTENDING SCHOOLS THAT FAIL 
                    TO PROVIDE A REFUND, ATTENDING CLOSED SCHOOLS, OR 
                    FALSELY CERTIFIED AS ELIGIBLE TO BORROW.

    (a) Repayment in Full for Death and Disability.--If a 
student borrower who has received a loan described in 
subparagraph (A) or (B) of section 428(a)(1) dies or becomes 
permanently and totally disabled (as determined in accordance 
with regulations of the Secretary), or if a student borrower 
who has received such a loan is unable to engage in any 
substantial gainful activity by reason of any medically 
determinable physical or mental impairment that can be expected 
to result in death, has lasted for a continuous period of not 
less than 60 months, or can be expected to last for a 
continuous period of not less than 60 months then the Secretary 
shall discharge the borrower's liability on the loan by 
repaying the amount owed on the loan. The Secretary may develop 
such safeguards as the Secretary determines necessary to 
prevent fraud and abuse in the discharge of liability under 
this subsection. Notwithstanding any other provision of this 
subsection, the Secretary may promulgate regulations to resume 
collection on loans discharged under this subsection in any 
case in which--
           (1) a borrower received a discharge of liability 
        under this subsection and after the discharge the 
        borrower--
                  (A) receives a loan made, insured or 
                guaranteed under this title; or
                  (B) has earned income in excess of the 
                poverty line; or
          (2) the Secretary determines necessary.

           *       *       *       *       *       *       *

    (c) Discharge.--
          (1) In general.--If a borrower who received, on or 
        after January 1, 1986, a loan made, insured, or 
        guaranteed under this part and the student borrower, or 
        the student on whose behalf a parent borrowed, is 
        unable to complete the program in which such student is 
        enrolled due to the closure of the institution or if 
        such student's eligibility to borrow under this part 
        was falsely certified by the eligible institution or 
        was falsely certified as a result of a crime of 
        identity theft, or if the institution failed to make a 
        refund of loan proceeds which the institution owed to 
        such student's lender, then the Secretary shall 
        discharge the borrower's liability on the loan 
        (including interest and collection fees) by repaying 
        the amount owed on the loan and shall subsequently 
        pursue any claim available to such borrower against the 
        institution and its affiliates and principals or settle 
        the loan obligation pursuant to the financial 
        responsibility authority under subpart 3 of part H. In 
        the case of a discharge based upon a failure to refund, 
        the amount of the discharge shall not exceed that 
        portion of the loan which should have been refunded. 
        The Secretary shall report to the [Committee on 
        Education and the Workforce of the House of 
        Representatives and the Committee on Labor and Human 
        Resources of the Senate]authorizing committees annually 
        as to the dollar amount of loan discharges attributable 
        to failures to make refunds.

           *       *       *       *       *       *       *

SEC. 439. [20 U.S.C. 1087-2] STUDENT LOAN MARKETING ASSOCIATION.

    (a) Purpose.--* * *

           *       *       *       *       *       *       *

    (d) Authority of Association.--
          (1) In general.--The Association is authorized, 
        subject to the provisions of this section--
                  (A) * * *

           *       *       *       *       *       *       *

                  (E) * * *
                          (i) * * *

           *       *       *       *       *       *       *

                          (iii) not later than 30 days prior to 
                        the initial implementation of a program 
                        undertaken pursuant to this 
                        subparagraph (E), the Association shall 
                        [advise the Chairman and the Ranking 
                        Member on the Committee on Labor and 
                        Human Resources of the Senate and the 
                        Chairman and the Ranking Member of the 
                        Committee on Education and Labor of the 
                        House of Representatives]advise the 
                        members of the authorizing committees 
                        in writing of its plans to offer such 
                        program and provide information 
                        relating to the general terms and 
                        conditions of such program.

           *       *       *       *       *       *       *

    (r) Safety and Soundness of Association.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Monitoring of safety and soundness.--The 
        Secretary of the Treasury shall conduct such studies as 
        may be necessary to monitor the financial safety and 
        soundness of the Association. In the event that the 
        Secretary of the Treasury determines that the financial 
        safety and soundness of the Association is at risk, the 
        Secretary of the Treasury shall [inform the Chairman 
        and ranking minority member of the Committee on Labor 
        and Human Resources of the Senate, the Chairman and 
        ranking minority member of the Committee on Education 
        and Labor of the House of Representatives]inform the 
        members of the authorizing committees and the Secretary 
        of Education of such determination and identify any 
        corrective actions that should be taken to ensures the 
        safety and soundness of the Association.
          (4) * * *
          (5) Capital restoration plan.--
                  (A) Submission, approval, and 
                implementation.--* * *
                  (B) Disapproval.--If the Secretary of the 
                Treasury does not approve a capital restoration 
                plan as provided in subparagraph (A), then not 
                later than the earlier of the date the 
                Secretary of the Treasury disapproves of such 
                plan by written notice to the Association or 
                the expiration of the 30-day consideration 
                period referred to in subparagraph (A) (as such 
                period may have been extended by mutual 
                agreement), the Secretary of the Treasury shall 
                submit the Association's capital restoration 
                plan, in the form most recently proposed to the 
                Secretary of the Treasury by the Association, 
                together with a report on the Secretary of the 
                Treasury's reasons for disapproval of such plan 
                and an alternative capital restoration [plan, 
                to the Chairman and ranking minority member of 
                he Senate Committee on Labor and Human 
                Resources and to the Chairman and ranking 
                minority member of the House Committee on 
                Education and Labor]plan, to the members of the 
                authorizing committees. A copy of such 
                submission simultaneously shall be sent to the 
                Association and the Secretary of Education by 
                the Secretary of the Treasury.

           *       *       *       *       *       *       *

          (6) Substantial capital ratio reduction.--
                  (A) * * *
                  (B) Disapproval.--If the Secretary of the 
                Treasury disapproves a capital restoration plan 
                or modified plan submitted pursuant to 
                subparagraph (A), then, not later than the 
                earlier of the date the Secretary of the 
                Treasury disapproves of such plan or modified 
                plan (by written notice to the Association) or 
                the expiration of the 30-day consideration 
                period described in subparagraph (A) (as such 
                period may have been extended by mutual 
                agreement), the Secretary of the Treasury shall 
                prepare and submit an alternative capital 
                restoration plan, together with a report on his 
                reasons for disapproval of the Association's 
                plan or modified [plan, to the Chairman and 
                ranking minority member of the Committee on 
                Labor and Human Resources of the Senate and to 
                the Chairman and ranking minority member of the 
                Committee on Education and Labor of the House 
                of Representatives]plan, to the members of the 
                authorizing committees. A copy of such 
                submission simultaneously shall be sent to the 
                Association and the Secretary of Education by 
                the Secretary of the Treasury. The Association, 
                within 5 days after receipt from the Secretary 
                of the Treasury of such submission, shall 
                submit to the [Chairmen and ranking minority 
                members of such Committees]members of the 
                authorizing committees and the Secretary of the 
                Treasury, a written response to such 
                submission, setting out fully the nature and 
                extent
          (7) * * *

           *       *       *       *       *       *       *

          (8) Critical capital standard.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) Immediately upon a determination under 
                subparagraph (A) or (B) to implement a capital 
                restoration plan, the Secretary of the Treasury 
                shall submit the capital restoration plan to be 
                [implemented to the Chairman and ranking 
                minority member of the Committee on Labor and 
                Human Resources of the Senate, the Chairman and 
                ranking minority member of the Committee on 
                Education and Labor of the House of 
                Representatives, and]implemented to the members 
                of the authorizing committees, and to the 
                Secretary of Education.
          (9) * * *

           *       *       *       *       *       *       *

          (10) Review by secretary of education.--The Secretary 
        of Education shall review the Secretary of the 
        Treasury's submission required pursuant to paragraph 
        (5)(B), (6)(B), or (8) and shall submit a report within 
        30 [days to the Chairman and ranking minority member of 
        the Senate Committee on Labor and Human Resources and 
        to the Chairman and ranking minority member of the 
        House Committee on Education and Labor]days to the 
        members of the authorizing committees--

           *       *       *       *       *       *       *

    (s) Charter Sunset.--
          (1) Application of provisions.--* * *
          (2) Sunset plan.--
                  (A) Plan submission by the association.--Not 
                later than July 1, 2007, the Association shall 
                submit to the Secretary of the [Treasury and to 
                the Chairman and Ranking Member of the 
                Committee on Labor and Human Resources of the 
                Senate and the Chairman and Ranking Member of 
                the Committee on Economic and Educational 
                Opportunities of the House of 
                Representatives]Treasury and to the members of 
                the authorizing committees, a detailed plan for 
                the orderly winding up, by July 1, 2013, of 
                business activities conducted pursuant to the 
                charter set forth in this section. Such plan 
                shall--

           *       *       *       *       *       *       *

                  (B) Amendment of the plan by the 
                association.--The Association shall from time 
                to time amend such plan to reflect changed 
                circumstances, and submit such amendments to 
                the Secretary of the [Treasury and to the 
                Chairman and Ranking Minority Member of the 
                Committee on Labor and Human Resources of the 
                Senate and Chairman and Ranking Minority Member 
                of the Committee on Economic and Educational 
                Opportunities of the House of 
                Representatives]Treasury and to the members of 
                the authorizing committees. In no case may any 
                amendment extend the date for full 
                implementation of the plan beyond the 
                dissolution date provided in paragraph (3).

           *       *       *       *       *       *       *

                  PART C--FEDERAL WORK-STUDY PROGRAMS

SEC. 441. [42 U.S.C. 2751] PURPOSE; APPROPRIATIONS AUTHORIZED.

    (a) Purpose.-- * * *
    (b) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this part, [$1,000,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.]such sums as may be necessary 
for fiscal year 2008 and each of the 5 succeeding fiscal years.

           *       *       *       *       *       *       *

SEC. 442. [42 U.S.C. 2752] ALLOCATION OF FUNDS.

    (a) Allocation Based on Previous Allocation.--
          (1) * * *

           *       *       *       *       *       *       *

    (c) Determination of Institution's Need.--
          (1) * * *

           *       *       *       *       *       *       *

          (4)(A) * * *

           *       *       *       *       *       *       *

          (D) The allowance for books and supplies described in 
        subparagraph (A)(iii) is equal to [$450]$600.

           *       *       *       *       *       *       *

SEC. 443. [42 U.S.C. 2753] GRANTS FOR FEDERAL WORK-STUDY PROGRAMS.

    (a) Agreements Required.--* * *
    (b) Contents of Agreements.--An agreement entered into 
pursuant to this section shall--
          (1) * * *

           *       *       *       *       *       *       *

          (2) * * *
                  [(A) for fiscal year 1999, an institution 
                shall use at least 5 percent of the total 
                amount of funds granted to such institution 
                under this section in any fiscal year to 
                compensate students employed in community 
                service (including a reasonable amount of time 
                spent in travel or training directly related to 
                such community service), except that the 
                Secretary may waive this subparagraph if the 
                Secretary determines that enforcing it would 
                cause of funds granted to such institution 
                under this section for ( for students at an 
                institution;]
                  [(B)](A) for fiscal year 2000 and succeeding 
                fiscal years, an institution shall use at least 
                7 percent of the total amount of funds granted 
                to such institution under this section for such 
                fiscal year to compensate students employed in 
                community service, and shall ensure that not 
                less than 1 tutoring or family literacy project 
                (as described in subsection (d)) is included in 
                meeting the requirement of this subparagraph, 
                except that the Secretary may waive [this 
                subparagraph if the Secretary determines that 
                enforcing this subparagraph would cause 
                hardship for students at the institution;]this 
                subparagraph if--and
                          (i) the Secretary determines that 
                        enforcing this subparagraph would cause 
                        hardship for students at the 
                        institution; or
                          (ii) the institution certifies to the 
                        Secretary that 15 percent or more of 
                        its total full-time enrollment 
                        participates in community service 
                        activities described in section 441(c) 
                        or tutoring and literacy activities 
                        described in subsection (d) of this 
                        section;
                  [(C)](B) an institution may use a portion of 
                the sums granted to it to meet administrative 
                expenses in accordance with section 489 of this 
                Act, may use a portion of the sums granted to 
                it to meet the cost of a job location and 
                development program in accordance with section 
                446 of this part, and may transfer funds in 
                accordance with the provisions of section 488 
                of this Act;

           *       *       *       *       *       *       *

SEC. 446. [42 U.S.C. 2756] JOB LOCATION AND DEVELOPMENT PROGRAMS.

    (a) Agreements Required.--
          (1) The Secretary is authorized to enter into 
        agreements with eligible institutions under which such 
        institution may use not more than 10 percent or 
        [$50,000]$75,000 of its allotment under section 442, 
        whichever is less, to establish or expand a program 
        under which such institution, separately or in 
        combination with other eligible institutions, locates 
        and develops jobs, in eluding community service jobs, 
        for currently enrolled students.

           *       *       *       *       *       *       *

SEC. 448. [42 U.S.C. 2756B] WORK COLLEGES.

    (a) Purpose.--The purpose of this section is to recognize, 
encourage, and promote the use of comprehensive [work-
learning]work-learning-service programs as a valuable 
educational approach when it is an integral part of the 
institutions's educational program and a part of a financial 
plan which decreases reliance on grants and loans.
    (b) Source and Use Funds.--
          (1) Source of funds.--In addition the sums 
        appropriated [under subsection (f)]for this section 
        under section 441(b), funds allocated to the 
        institution under part C and part E this title may be 
        transferred for use under this section to provide 
        flexibility in strengthening the self-help-through-work 
        element in financial aid packaging.
          (2) Activities authorized.--From the sums 
        appropriated [pursuant to subsection (f) for this 
        section under section 441(b), and from the funds 
        available under paragraph (1), eligible institutions 
        may, following approval of an application under 
        subsection (c) by the Secretary--
                  (A) support the education costs of qualified 
                students through self-help payments or credits 
                provided under the [work-learning 
                program]comprehensive work-learning-service 
                program of the institution within the limits of 
                part F of this title;

           *       *       *       *       *       *       *

                  (C) support existing and new model student 
                volunteer community service projects associated 
                with local institutions of higher education, 
                such as operating drop-in resource centers that 
                are staffed by students and that link people in 
                need with the resources and opportunities 
                necessary to become self-sufficient; and
                  [(C)](D) carry out activities described in 
                section 443 or 446;
                  [(D)](E)be used for the administration 
                development and assessment of comprehensive 
                [work-learning]work-learning-service programs, 
                including--
                          (i) community-based [work-
                        learning]work-learning-service 
                        alternative that expand opportunities 
                        for community service and career-
                        related work; and
                          (ii) alternatives that develop sound 
                        citizenship, encourage student 
                        persistence, and make optimum use of 
                        assistance under this part in education 
                        and student development;
                  [(E)](F)coordinate and carry out joint 
                projects and activities to promoter [work 
                service learning]work-learning-service and
                  [(F)](G)carry out a comprehensive, 
                longitudinal study of student academic progress 
                and academic and career outcomes, relative to 
                student self-sufficiency in financing their 
                higher education, repayment of student loans, 
                continued and career community service, kind 
                and quality of service performed, and career 
                choice and community service selected after 
                graduation.
    (c) Application.--Each eligible institution may submit an 
application for funds authorized [by subsection subsection (f) 
to use funds under subsection (b)(1)]for this section under 
section 441(b) or to use funds under subsection (b)(1), at such 
time and in such manner as the Secretary, by regulation, may 
reasonably require.

           *       *       *       *       *       *       *

    (e) * * *
          (1) the term ``work-college'' means an eligible 
        institution that--
                  (A) has been a public or private nonprofit 4-
                year, degree-granting institution with a 
                commitment to community service;
                  (B) has operated a comprehensive [work-
                learning]work-learning-service program for at 
                least 2 years;
                  [(C) requires all resident students who 
                reside on campus to participate in a 
                comprehensive work-learning program and the 
                provision of services as an integral part of 
                the institution's educational progrm and as 
                part of the institution's educational 
                philosophy; and]
                  (C) requires all resident students, including 
                at least \1/2\ of all resident students, who 
                are enrolled on a full-time basis, to 
                participate in a comprehensive work-learning-
                service program for not less than 5 hours each 
                week, or not less than 80 hours during each 
                period of enrollment except summer school, 
                unless the student is engaged in a study abroad 
                or externship program that is organized or 
                approved by the institution; and
                  (D) provides students participating in the 
                comprehensive [work-learning]work-learning-
                service program with the opportunity to 
                contribute to their education and to the 
                welfare of the community as a whole; and
          [(2) the term ``comprehensive student work-learning 
        program'' means a student work/service program that is 
        an integral and stated part of the institution's 
        educational philosophy and program; requires 
        participation of all resident students for enrollment, 
        participation, and graduation; includes learning 
        objectives, evaluation and a record of work performance 
        as part of the student's college record; provides 
        programmatic leadership by college personnel at levels 
        comparable to traditional academic programs; recognizes 
        the educational role of work-learning supervisors; and 
        includes consequences for nonperformance or failure in 
        the work-learning program similar to the consequences 
        for failure in the regular academic program.]
          (2) the term ``comprehensive work-learning-service 
        program'' means a student work-learning-service program 
        that--
                  (A) is an integral and stated part of the 
                institution's educational philosophy and 
                program;
                  (B) requires participation of all resident 
                students for enrollment and graduation;
                  (C) includes learing objectives, evaluation, 
                and a record of work performance as part of the 
                student's college record;
                  (D) provides programmatic leadership by 
                college personnel at levels comparable to 
                traditional academic programs;
                  (E) recognizes the educational role of work-
                learning-service supervisors; and
                  (F) includes consequences for nonperformance 
                or failure in the work-learning-service program 
                similar to the consequences for failure in the 
                regular academic program.
    [(f) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $5,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.]

           *       *       *       *       *       *       *

SEC. 455. [20 U.S.C. 1087E] TERMS AND CONDITIONS OF LOANS.

    (a) In General.--* * *

           *       *       *       *       *       *       *

    (b) Interest Rate.--
          (1) * * *

           *       *       *       *       *       *       *

          (8) Repayment incentives.--
                  (A) In general.--* * *
                  (B) Accountability.--Prior to publishing 
                regulations proposing repayment incentives, the 
                Secretary shall ensure the cost neutrality of 
                such reductions. The Secretary shall not 
                prescribe such regulations in final form unless 
                an official report from the Director of the 
                Office of Management and Budget to the 
                Secretary and a comparable report from the 
                Director of the Congressional Budget Office to 
                the Congress each certify that any such 
                reductions will be completely cost neutral. 
                Such reports shall be transmitted to the 
                [Committee on Labor and Human Resources of the 
                Senate and the Committee on Education and the 
                Workforce of the House of 
                Representatives]authorizing committees not less 
                than 60 days prior to the publication of 
                regulations proposing such reductions.

           *       *       *       *       *       *       *

    (g) Federal Direct Consolidation Loans.--A borrower of a 
loan made under this part may consolidate such loan with the 
loans described in section 428C(a)(4). To be eligible for a 
consolidation loan under this part, a borrower shall meet the 
eligibility criteria set forth in section 428C(a)(3). The 
Secretary, upon application for such a loan, shall comply with 
the requirements applicable to a lender under section 
[428C(b)(1)(F)]428C(b)(1)(H).

           *       *       *       *       *       *       *

                     PART E--FEDERAL PERKINS LOANS

SEC. 461. [20 U.S.C. 1087AA] APPROPRIATIONS AUTHORIZED.

    (a) Program Authority.--* * *
    (b) Authorization of Appropriations.--
          (1) For the purpose of enabling the Secretary to make 
        contributions to student loan funds established under 
        this part, there are authorized to be appropriated 
        [$250,000,000 for fiscal year 1999 and such sums as may 
        be necessary for each of the 4 succeeding fiscal 
        years.]such sums as may be necessary for each of the 
        fiscal years 2008 through 2012.

           *       *       *       *       *       *       *

SEC. 464. [20 U.S.C. 1087DD] TERMS OF LOANS.

    (a) Terms and Conditions.--
          (1) * * *

           *       *       *       *       *       *       *

    (c) Contents of Loan Agreement.--
          (1) Any agreement between an institution and a 
        student for a loan from a student loan fund assisted 
        under this part--
                  (A) * * *

           *       *       *       *       *       *       *

                  (F) shall provide that the liability to repay 
                the loan shall be canceled upon the death of 
                the borrower, [or if he]if the borrower becomes 
                permanently and totally disabled as determined 
                in accordance with regulations of the Secretary 
                or if the borrower is unable to engage in any 
                substantial gainful activity by reason of any 
                medically determinable physical or mental 
                impairment that can be expected to result in 
                death, has lasted for a continuous period of 
                not less than 60 months, or can be expected to 
                last for a continuous period of not less than 
                60 months;

           *       *       *       *       *       *       *

          (7) * * *
          (8) The Secretary may develop such additional 
        safeguards as the Secretary determines necessary to 
        prevent fraud and abuse in the cancellation of 
        liability under paragraph (1)(F). Notwithstanding 
        paragraph (1)(F), the Secretary may promulgate 
        regulations to resume collection on loans cancelled 
        under paragraph (1)(F) in any case in which--
                  (A) a borrower received a cancellation of 
                liability under paragraph (1)(F) and after the 
                cancellation the borrower--
                          (i) receives a loan made, insured or 
                        guaranteed under this title; or
                          (ii) has earned income in excess of 
                        the poverty line; or
                  (B) the Secretary determines necessary.

           *       *       *       *       *       *       *

SEC. 465. [20 U.S.C. 1087EE] CANCELLATION OF LOANS FOR CERTAIN PUBLIC 
                    SERVICE.

    (a) Cancellation of Percentage of Debt Based on Years of 
Qualifying Service.--
          (1) * * *
          (2) Loans shall be canceled under paragraph (1) for 
        service--
                  * * *

           *       *       *       *       *       *       *

                  (B) as a full-time staff member in a 
                preschool program carried on under the [Head 
                Start Act which]Head Start Act, or in a 
                prekindergarten or child care program, that is 
                licensed or regulated by the State, that is 
                operated for a period which is comparable to a 
                full school year in the locality if the salary 
                of such staff member is not more than the 
                salary of a comparable employee of the local 
                educational agency;

           *       *       *       *       *       *       *

                  (H) as a full-time nurse or medical 
                technician providing health care services; [or]
                  (I) as a full-time employee of a public or 
                private nonprofit child or family service 
                agency who is providing, or supervising the 
                provision of, services to high-risk children 
                who are from low-income communities and the 
                families of such children[.];
                  (J) as a full-time faculty member at a Tribal 
                College or University, as that term is defined 
                in section 316;
                  (K) as a librarian, if the librarian has a 
                master's degree in library science and is 
                employed in--
                          (i) an elementary school or secondary 
                        school that is eligible for assistance 
                        under title I of the Elementary and 
                        Secondary Education Act of 1965; or
                          (ii) a public library that serves a 
                        geographic area that contains 1 or more 
                        schools eligible for assistance under 
                        title I of the Elementary and Secondary 
                        Education Act of 1965; or
                  (L) as a full-time speech language therapist, 
                if the therapist has a master's degree and is 
                working exclusively with schools that are 
                eligible for assistance under title I of the 
                Elementary and Secondary Education Act of 1965.
                For the purpose of this paragraph, the term 
                ``children with disabilities'' has the meaning 
                set forth in section 602 of the Individuals 
                with Disabilities Education Act.
          (3)(A) * * *
                  (i) in the case of service described in 
                subparagraph (A), (C) (D) (F), (G), (H), [or 
                (I)](I), (J), (K), or (L) of paragraph (2), at 
                the rate of 15 percent for the first or second 
                year of such service, 20 percent for the third 
                or fourth year of such service, and 30 percent 
                for the fifth year of such services:
                  (ii) in the case of service described in 
                subparagraph (B) of paragraph (2), at the rate 
                of 15 percent for each year of such service; or
                  [(iii) in the case of service described in 
                subparagraph (D) of paragraph (2), not to 
                exceed a total of 50 percent of such loan at 
                the rate of 12\1/2\ percent for each year of 
                qualifying service; or,]
                  [(iv)](iii) in the case of service described 
                in subparagraph (E) of paragraph (2) at the 
                rate of 15 percent for the first or second year 
                of such service and 20 percent for the third or 
                fourth year of such service.

           *       *       *       *       *       *       *

SEC. 472. [20 U.S.C. 108711] COST OF ATTENDANCE.

    For the purpose of this title, the term ``cost of 
attendance'' means--
          (1) * * *

           *       *       *       *       *       *       *

          (3) * * *
                  (A) * * *
                  (B) for students without dependents residing 
                in institutionally owned or operated housing, 
                shall be a standard allowance determined by the 
                institution based on the amount normally 
                assessed most of its residents for room and 
                board; [and]
                  (C) for students who live in housing located 
                on a military base or for which a basic 
                allowance is provided under section 403(b) of 
                title 37, United States Code, shall be an 
                allowance based on the expenses reasonably 
                incurred by such students for board but not for 
                room; and
                  [(C)](D) for all other students shall be an 
                allowance based on the expenses reasonably 
                incurred by such students for room and board;

           *       *       *       *       *       *       *

SEC. 480. [20 U.S.C. 1087VV] DEFINITIONS.

    As used in this part:
    (a) Total Income.--
          (1) * * *

           *       *       *       *       *       *       *

    (b) Untaxed Income and Benefits.--The term ``untaxed income 
and benefits'' means--
          (1) child support received;

           *       *       *       *       *       *       *

          (6) housing, food, and other allowances (excluding 
        rent subsidies for low-income housing) for military, 
        clergy, and others (including cash payments and cash 
        value of benefits, except that the value of on-base 
        military housing or the value of basic allowance for 
        housing determined under section 403(b) of title 37, 
        United States Code, received by the parents, in the 
        case of a dependent student, or the student or 
        student's spouse, in the case of an independent 
        student, shall be excluded;

           *       *       *       *       *       *       *

   PART G--GENERAL PROVISIONS RELATING TO STUDENT ASSISTANCE PROGRAMS

SEC. 481. DEFINITIONS.

    (a) Academic and Award Year.--
          (1) * * *
          (2) * * *

           *       *       *       *       *       *       *

                  (B) The Secretary may reduce such minimum of 
                30 weeks to not less than 26 weeks for good 
                cause, as determined by the Secretary on a 
                case-by-case basis, in the case of an 
                institution of higher education that provides a 
                2-year or 4-year program of instruction for 
                which the institution awards an associate or 
                baccalaureate degree and that measures program 
                length in credit hours or clock hours.

           *       *       *       *       *       *       *

SEC. 482. [20 U.S.C. 1089] MASTER CALENDAR.

    (a) Secretary Required To Comply With Schedule.--* * *

           *       *       *       *       *       *       *

    (d) Notice to Congress.--The Secretary shall notify the 
[Committee on Labor and Human Resources of the Senate and the 
Committee on Education and Labor of the House of 
Representatives]authorizing committees when a deadline included 
in the calendar described in subsection (a) is not met. Nothing 
in this section shall be interpreted to penalize institutions 
or deny them the specified times allotted to enable them to 
return information to the Secretary based on the failure of the 
Secretary to adhere to the dates specified in this section.
    (e) Compliance Calendar.--Prior to the beginning of each 
award year, the Secretary shall provide to institutions of 
higher education a list of all the reports and disclosures 
required under this Act. The list shall include--
          (1) the date each report or disclosure is required to 
        be completed and to be submitted, made available, or 
        disseminated;
          (2) the required recipients of each report or 
        disclosure;
          (3) any required method for transmittal or 
        dissemination of each report or disclosure;
          (4) a description of the content of each report or 
        disclosure sufficient to allow the institution to 
        identify the appropriate individuals to be assigned the 
        responsibility for such report or disclosure;
          (5) references to the statutory authority, applicable 
        regulations, and current guidance issued by the 
        Secretary regarding each report or disclosure; and
          (6) any other information which is pertinent to the 
        content or distribution of the report or disclosure.

           *       *       *       *       *       *       *

SEC. 483. [20 U.S.C. 1090] FORMS AND REGULATIONS.

    [(a) Common Financial Aid Form Development and 
Processing.--
          [(1) Single form required.--The Secretary, in 
        cooperation with representatives of agencies and 
        organizations involved in student financial assistance, 
        shall produce, distribute, and process free of charge a 
        common financial reporting form to be used to determine 
        the need and eligibility of a student for financial 
        assistance under parts A through E of this title (other 
        than under subpart 4 of part A). The Secretary shall 
        include on the form developed under this subsection 
        such data items as the Secretary determines are 
        appropriate for inclusion. Such items shall be selected 
        in consultation with States to assist in the awarding 
        of State financial assistance. In no case shall the 
        number of such data items be less than the number 
        included on the form on the date of enactment of the 
        Higher Education Amendments of 1998. Such form shall 
        satisfy the requirements of section 401(d) of this 
        title.
          [(2) Charges to students and parents for use of form 
        prohibited.--The common financial reporting form 
        prescribed by the Secretary under paragraph (1) shall 
        be produced, distributed, and processed by the 
        Secretary and no parent or student shall be charged a 
        fee for the collection, processing, or delivery of 
        financial aid through the use of such form. The need 
        and eligibility of a student for financial assistance 
        under parts A through E of this title (other than under 
        subpart 4 of part A) may only be determined by using 
        the form developed by the Secretary pursuant to 
        paragraph (1) of this subsection. No student may 
        receive assistance under parts A through E of this 
        title (other than under subpart 4 of part A), except by 
        use of the form developed by the Secretary pursuant to 
        this section. No data collected on a form for which a 
        fee is charged shall be used to complete the form 
        prescribed under paragraph (1).
          [(3) Distribution of data.--Institutions of higher 
        education, guaranty agencies, and States shall receive, 
        without charge, the data collected by the Secretary 
        using the form developed pursuant to this section for 
        the purposes of processing loan applications and 
        determining need and eligibility for institutional and 
        State financial aid awards. Entities designated by 
        institutions of higher education, guaranty agencies, or 
        States to receive such data shall be subject to all the 
        requirements of this section, unless such requirements 
        are waived by the Secretary.
          [(4) Contracts for collection and processing.--
                  (A) The Secretary shall, to the extent 
                practicable, enter into not less than 5 
                contracts with States, institutions of higher 
                education, or private organizations for the 
                purposes of the timely collection and 
                processing of the form developed pursuant to 
                paragraph (1) and the timely delivery of the 
                data submitted on such form. The Secretary 
                shall use such contracts to assist States and 
                institutions of higher education with the 
                collection of additional data required to award 
                State or institutional financial assistance, 
                except that the Secretary shall not include 
                these additional data items on the common 
                financial reporting form developed pursuant to 
                this section. The Secretary shall include in 
                each such contract a requirement that--
                          [(i) any charges by the contractor to 
                        the student or parent or additional 
                        data items required by a State or 
                        institution for any purpose (regardless 
                        of the method of collection) shall be 
                        reasonable and shall not exceed the 
                        marginal cost of collecting, 
                        processing, and delivering such 
                        additional data, taking into account 
                        any payment received by the contractor 
                        to produce, distribute, and process the 
                        common financial reporting form 
                        prescribed by the Secretary pursuant to 
                        paragraph (1); and
                          [(ii) the contractor will require any 
                        person or entity to whom the contractor 
                        provides such additional data to agree 
                        not to collect from any student or 
                        parent any charge that would not be 
                        permitted under this subparagraph for 
                        any such additional data.
                  [(B) To the extent practicable, the Secretary 
                shall ensure that at least one contractor, or a 
                portion of one contract, under this paragraph 
                will serve graduate and professional students.
                  [(C) As part of the procurement process for 
                the 1993-1994 award year, and for all 
                procurements thereafter pertaining to the 
                contracts under this paragraph, the Secretary 
                shall require all entities competing for such 
                contracts to comply with all requirements of 
                this subsection and to--
                          [(i) use the common financial 
                        reporting form as prescribed in 
                        paragraph (1), which shall be clearly 
                        identified as the ``Free Application 
                        for Federal Student Aid''; and
                          [(ii) use a common, simplified 
                        reapplication form as the Secretary 
                        shall prescribe pursuant to subsection 
                        (b), in each award year.
                  [(D) The Secretary shall reimburse all 
                approved contractors at a reasonable 
                predetermined rate for processing such 
                applications, for issuing eligibility reports, 
                and for carrying out other services or 
                requirements that may be prescribed by the 
                Secretary.
                  [(E) All approved contractors shall be 
                required to adhere to all editing, processing, 
                and reporting requirements established by the 
                Secretary to ensure consistency.
                  [(F) No approved contractor shall enter into 
                exclusive arrangements with guarantors, 
                lenders, secondary markets, or institutions of 
                higher education for the purpose of reselling 
                or sharing of data collected for the multiple 
                data entry process. All data collected under a 
                contract issued by the Secretary pursuant to 
                this paragraph for the multiple data entry 
                process is the exclusive property of the 
                Secretary and may not be transfer to a third 
                party by an approved contractor without the 
                Secretary's express written approval.
          [(5) Electronic forms.--
                  [(A) The Secretary, in cooperation with 
                representatives of agencies and organizations 
                involved in student financial assistance, 
                including private computer software providers, 
                shall develop an electronic version of the form 
                described in paragraph (1). As permitted by the 
                Secretary, such an electronic version shall not 
                require a signature to be collected at the time 
                such version is submitted, if a signature is 
                subsequently submitted by the applicant. The 
                Secretary shall prescribe such version not 
                later than 120 days after the date of enactment 
                of the Higher Education Amendments of 1998.
                  [(B) Nothing in this section shall be 
                construed to prohibit the use of the form 
                developed by the Secretary pursuant to 
                subparagraph (A) by an eligible institution, 
                eligible lender, guaranty agency, State grant 
                agency, private computer software providers, a 
                consortium thereof, or such other entities as 
                the Secretary may designate.
                  [(C) No fee shall be charged to students in 
                connection with the use of the electronic 
                version of the form, or of any other electronic 
                forms used in conjunction with such form in 
                applying for Federal or State student financial 
                assistance.
                  [(D) The Secretary shall ensure that data 
                collection complies with section 552a of title 
                5, United States Code, and that any entity 
                using the electronic version of the form 
                developed by the Secretary pursuant to 
                subparagraph (A) shall maintain reasonable and 
                appropriate administrative, technical, and 
                physical safeguards to ensure the integrity and 
                confidentiality of the information, and to 
                protect against security threats, or 
                unauthorized uses or disclosures of the 
                information provided on the electronic version 
                of the form. Data collected by such version of 
                the form shall be used only for the 
                application, award, and administration of aid 
                awarded under this title, State aid, or aid 
                awarded by eligible institutions or such 
                entities as the Secretary may designate. No 
                data collected by such version of the form 
                shall be used for making final aid awards under 
                this title until such data have been processed 
                by the Secretary or a contractor or designee of 
                the Secretary.
          [(6) Third party servicers and private software 
        providers.--To the extent practicable and in a timely 
        manner, the Secretary shall provide, to private 
        organizations and consortia that develop software used 
        by eligible institutions for the administration of 
        funds under this title, all the necessary 
        specifications that the organizations and consortia 
        must meet for the software the organizations and 
        consortia develop, produce, and distribute (including 
        any diskette, modem, or network communications) which 
        are so used. The specifications shall contain record 
        layouts for required data. The Secretary shall develop 
        in advance of each processing cycle an annual schedule 
        for providing such specifications. The Secretary, to 
        the extent practicable, shall use means of providing 
        such specifications, including conferences and other 
        meetings, outreach, and technical support mechanisms 
        (such as training and printed reference materials). The 
        Secretary shall, from time to time, solicit from such 
        organizations and consortia means of improving the 
        support provided by the Secretary.
          [(7) Parent's social security number and birth 
        date.--The Secretary is authorized to include on the 
        form developed under this subsection space for the 
        social security number and birth date of parents of 
        dependent students seeking financial assistance under 
        this title.
    [(b) Streamlined Reapplication Process.--
          [(1) The Secretary shall develop a streamlined 
        reapplication form and process, including electronic 
        reapplication process, consistent with the requirements 
        of subsection (a), for those recipients who apply for 
        financial aid funds under this title in the next 
        succeeding academic year subsequent to the initial year 
        in which such recipients apply.
          [(2) The Secretary shall develop appropriate 
        mechanisms to support reapplication.
          [(3) The Secretary shall determine, in cooperation 
        with States, institutions of higher education, agencies 
        and organizations involved in student financial 
        assistance, the data elements that can be updated from 
        the previous academic year's application.
          [(4) Nothing in this title shall be interpreted as 
        limiting the authority of the Secretary to reduce the 
        number of data elements required of reapplicants.
          [(5) Individuals determined to have a zero family 
        contribution pursuant to section 479 shall not be 
        required to provide any financial data, except that 
        which is necessary to determine eligibility under that 
        section.]
    (a) Common Financial Aid Form Development and Processing.--
          (1) In general.--
                  (A) Common forms.--The Secretary, in 
                cooperation with representatives of agencies 
                and organizations involved in student financial 
                assistance, shall produce, distribute, and 
                process free of charge common financial 
                reporting forms as described in this subsection 
                to be used to determine the need and 
                eligibility of a student for financial 
                assistance under parts A through E of this 
                title (other than under subpart 4 of part A). 
                The forms shall be made available to applicants 
                in both paper and electronic formats.
                  (B) FAFSA.--The common financial reporting 
                forms described in this subsection (excluding 
                the form described in paragraph, (2)(B)), shall 
                be referred to collectively as the ``Free 
                Application for Federal Student Aid'', or 
                ``FAFSA''.
          (2) Paper format.--
                  (A) In general.--The Secretary shall 
                encourage applicants to file the electronic 
                versions of the forms described in paragraph 
                (3), but shall develop, make available, and 
                process--
                          (i) a paper version of EZ FAFSA, a 
                        described in subparagraph (B); and
                          (ii) a paper version of the other 
                        forms described in this subsection, in 
                        accordance with subparagraph (C), for 
                        any applicant who does not meet the 
                        requirements of or does not wish to use 
                        the process described in subparagraph 
                        (B).
                  (B) EZ fafsa.--
                          (i) In general.--The Secretary shall 
                        develop and use, after appropriate 
                        field testing, a simplified paper 
                        application form for applicants meeting 
                        the requirements of section 479(c), 
                        which form shall be referred to as the 
                        ``EZ FAFSA''.
                          (ii) Required federal data 
                        elements.--The Secretary shall include 
                        on the EZ FAFSA only the data elements 
                        required to determine student 
                        eligibility and whether the applicant 
                        meets the requirements of section 
                        479(c).
                          (iii) Required state data elements.--
                        The Secretary shall include on the EZ 
                        FAFSA such data items as may be 
                        necessary to award State financial 
                        assistance, as provided under paragraph 
                        (5), except the Secretary shall not 
                        include a State's data if that State 
                        does not permit its applicants for 
                        State assistance to use the EZ FAFSA.
                          (iv) Free availability and data 
                        distribution.--The provisions of 
                        paragraphs (6) and (10) shall apply to 
                        the EZ FAFSA.
                  (C) Phase-out of full paper fafsa.--
                          (i) Phase-out of printing of full 
                        paper fafsa.--At such time as the 
                        Secretary determines that it is not 
                        cost-effective to print the full paper 
                        version of FAFSA, the Secretary shall--
                                  (I) phase out the printing of 
                                the full paper version of 
                                FAFSA;
                                  (II) maintain on the Internet 
                                easily accessible, downloadable 
                                formats of the full paper 
                                version of FAFSA; and
                                  (III) provide a printed copy 
                                of the full paper version of 
                                FAFSA upon request.
                          (ii) Use of savings.--The Secretary 
                        shall utilize any savings realized by 
                        phasing out the printing of the full 
                        paper version of FAFSA and moving 
                        applicants to the electronic versions 
                        of FAFSA, to improve access to the 
                        electronic versions for applicants 
                        meeting the requirements of section 
                        479(c).
          (3) Electronic versions.--
                  (A) In general.--The Secretary shall produce, 
                make available through a broadly available 
                website, and process electronic versions of the 
                FAFSA and the EZ FAFSA.
                  (B) Minimum questions.--The Secretary shall 
                use all available technology to ensure that a 
                student using an electronic version of the 
                FAFSA under this paragraph answers only the 
                minimum number of questions necessary.
                  (C) Reduced requirements.--The Secretary 
                shall enable applicants who meet the 
                requirements of subsection (b) or (c) of 
                section 479 to provide information on the 
                electronic version of the FAFSA only for the 
                data elements required to determine student 
                eligibility and whether the applicant meets the 
                requirements of subsection (b) or (c) of 
                section 479.
                (D) State data.--The Secretary shall include on 
                the electronic version of the FAFSA the 
                questions needed to determine whether the 
                applicant is eligible for State financial 
                assistance, as provided under paragraph (5), 
                except that the Secretary shall not--
                          (i) require applicants to complete 
                        data required by any State other than 
                        the applicant's State of residence; and
                          (ii) include a State's data if such 
                        State does not permit its applicants 
                        for State assistance to use the 
                        electronic version of the FAFSA 
                        described in this paragraph.
                  (E) Free availability and data 
                distribution.--The provisions of paragraphs (6) 
                and (10) shall apply to the electronic version 
                of the FAFSA.
                  (F) Use of forms.--Nothing in this subsection 
                shall be construed to prohibit the use of the 
                electronic versions of the forms developed by 
                the Secretary pursuant to this paragraph by an 
                eligible institution, eligible lender, a 
                guaranty agency, a State grant agency, a 
                private computer software provider, a 
                consortium of such entitles, or such other 
                entity as the Secretary may designate. Data 
                collected by the electronic versions of such 
                forms shall be used only for the application, 
                award, and administration of aid awarded under 
                this title, State aid, or aid awarded by 
                eligible institutions or such entities as the 
                Secretary may designate. No data collected by 
                such electronic versions of the forms shall be 
                used for making final aid awards under this 
                title until such data have been processed by 
                the Secretary or a contractor or designee of 
                the Secretary, except as may be permitted under 
                this title.
                  (G) Privacy.--The Secretary shall ensure that 
                data collection under this paragraph complies 
                with section 552a of title 5, United States 
                Code, and that any entity using an electronic 
                version of a form developed by the Secretary 
                under this paragraph shall maintain reasonable 
                and appropriate administrative, technical, and 
                physical safeguards to ensure the integrity and 
                confidentiality of the information, and to 
                protect against security threats, or 
                unauthorized uses or disclosures of the 
                information provided on the electronic version 
                of the form.
                  (H) Signature.--Notwithstanding any other 
                provisions of this Act, the Secretary may 
                permit an electronic version of a form 
                developed under this paragraph to be submitted 
                without a signature, if a signature is 
                sequently submitted by the applicant or if the 
                applicant uses a personal identification number 
                provided by the Secretary under subparagraph 
                (I).
                  (I) Personal identification numbers 
                authorized.--The Secretary is authorized to 
                assign to an applicant a personal 
                identification number--
                          (i) to enable the applicant to use 
                        such number as a signature for purposes 
                        of completing an electronic version of 
                        a form developed under this paragraph; 
                        and
                          (ii) for any purpose determined by 
                        the Secretary to enable the Secretary 
                        to carry out this title.
                  (I) Personal identification number 
                improvement.--Not later than 180 days after the 
                date of enactment of the Higher Education 
                Amendments of 2007, the Secretary shall 
                implement a real-time data match between the 
                Social Security Administration and the 
                Department to minimize the time required for an 
                applicant to obtain a personal identification 
                number when applying for aid under this title 
                through an electronic version of a form 
                developed under this paragraph.
          (4) Streamlined reapplication process.--
                  (A) In general.--The Secretary shall develop 
                streamlined paper and electronic reapplication 
                forms and processes for an applicant who 
                applies for financial assistance under this 
                title in the next succeeding academic year 
                subsequent to an academic year for which such 
                applicant applied for financial assistance 
                under this title.
                  (B) Updating of data elements.--The Secretary 
                shall determine, in cooperation with States, 
                institutions of higher education, agencies, and 
                organizations involved in student financial 
                assistance, the data elements that may be 
                transferred from the previous academic year's 
                application and those data elements that shall 
                be updated.
                  (C) Reduced data authorized.--Nothing in this 
                title shall be construed as limiting the 
                authority of the Secretary to reduce the number 
                of data elements required of reapplicants.
                  (D) Zero family contribution.--Applicants 
                determined to have a zero family contribution 
                pursuant to section 479(c) shall not be 
                required to provide any financial data in a 
                reapplication form, except data that are 
                necessary to determine eligibility under such 
                section.
          (5) State requirements.--
                  (A) In general.--Except as provided in 
                paragraphs (2)(B)(iii) (3)(D), and (4)(B), the 
                Secretary shall include on the forms developed 
                under this subsection, such State-specific data 
                items as the Secretary determines are necessary 
                to meet State requirements for need-based State 
                aid. Such items shall be selected in 
                consultation with State agencies in order to 
                assist in the awarding of State financial 
                assistance in accordance with the terms of this 
                subsection. The number of such data items shall 
                not be less than the number included on the 
                common financial reporting form for the 2005-
                2006 award year unless a State notifies the 
                Secretary that the State no longer requires 
                those data items for the distribution of State 
                need-based aid.
                  (B) Annual review.--The Secretary shall 
                conduct an annual review to determine--
                          (i) which data items each State 
                        requires to award need-based State aid; 
                        and
                          (ii) if the State will permit an 
                        applicant to file a form described in 
                        paragraph (2)(B) or (3)(C).
                  (C) Use of simplified application forms 
                encouraged.--The Secretary shall encourage 
                States to take such steps as are necessary to 
                encourage the use of simplified forms under 
                this subsection, including those forms 
                described in paragraphs (2)(B) and (3)(C), for 
                applicants who meet the requirements of 
                subsection (b) or (c) of section 479.
                  (D) Consequences if state does not accept 
                simplified forms.--If a State does not permit 
                an applicant to file a form described in 
                paragraph (2)(B) or (3)(C) for purposes of 
                determining eligibility for State need-based 
                financial aid, the Secretary may determine that 
                State-specific questions for such State will 
                not be included on a form described in 
                paragraph (2)(B) or (3)(B). If the Secretary 
                makes such determination, the Secretary shall 
                advise the State of the Secretary's 
                determination.
                  (E) Lack of state response to request for 
                information.--If a State does not respond to 
                the Secretary's request for information under 
                subparagraph (B), the Secretary shall--
                          (i) permit residents of that State to 
                        complete simplified forms under 
                        paragraphs (2)(B) and (3)(B); and
                          (ii) not require any resident of such 
                        State to complete any data items 
                        previously required by that State under 
                        this section.
                  (F) Restriction.--The Secretary shall not 
                require applicants to complete any financial or 
                non-financial data items that are not 
                required--
                          (i) by the applicant's State; or
                          (ii) by the Secretary.
          (6) Charges to students and parents for use of forms 
        prohibited.--The need and eligibility of a student for 
        financial assistance under parts A through E (other 
        than under subpart 4 of part A) may be determined only 
        by using a form developed by the Secretary under this 
        subsection. Such forms shall be produced, distributed, 
        and processed by the Secretary, and no parent or 
        student shall be charged a fee by the Secretary, a 
        contractor, a third-party servicer or private software 
        provider, or any other public or private entity for the 
        collection, processing, or delivery of financial aid 
        through the use of such forms. No data collected on a 
        paper or electronic version of a form developed under 
        this subsection, or other document that was created to 
        replace, or used to complete, such a form, and for 
        which a fee was paid, shall be used.
          (7) Restrictions on use of pin.--No person, 
        commercial entity or other entity, shall request, 
        obtain, or utilize an applicant's personal 
        identification number assigned under paragraph (3)(I) 
        for purposes of submitting a form developed under this 
        subsection on an applicant's behalf.
          (8) Application processing cycle.--The Secretary 
        shall enable students to submit forms developed under 
        this subsection and initiate the processing of such 
        forms under this subsection, as early as practicable 
        prior to January 1 of the student's planned year of 
        enrollment.
          (9) Early estimates of expected family 
        contributions.--The Secretary shall permit an applicant 
        to complete a form described in this subsection in the 
        years prior to enrollment in order to obtain from the 
        Secretary a nonbinding estimate of the applicant's 
        expected family contribution, computed in accordance 
        with part F. Such applicant shall be permitted to 
        update information submitted on a form described in 
        this subsection using the process required under 
        paragraph (4).
          (10) Distribution of data.--Institutions of higher 
        education, guaranty agencies, and States shall receive, 
        without charge, the data collected by the Secretary 
        using a form developed under this subsection for the 
        purposes of processing loan applications and 
        determining need and eligibility for institutional and 
        State financial aid awards. Entities designated by 
        institutions of higher education, guaranty agencies, or 
        States to receive such data shall be subject to all the 
        requirements of this section, unless such requirements 
        are waived by the Secretary.
          (11) Third party servicers and private software 
        providers.--To the extent practicable and in a timely 
        manner, the Secretary shall provide, to private 
        organizations and consortia that develop software used 
        by institutions of higher education for the 
        administration of funds under this title, all the 
        necessary specifications that the organizations and 
        consortia must meet for the software the organizations 
        and consortia develop, produce, and distribute 
        (including any diskette, modem, or network 
        communications) which are so used. The specifications 
        shall contain record layouts for required data. The 
        Secretary shall develop in advance of each processing 
        cycle an annual schedule for providing such 
        specifications. The Secretary, to the extent 
        practicable, shall use multiple means of providing such 
        specifications, including conferences and other 
        meetings, outreach, and technical support mechanisms 
        (such as training and printed reference materials). The 
        Secretary shall, from time to time, solicit from such, 
        organizations and consortia means of improving the 
        support provided by the Secretary.
        (12) Parent's social security number and birth date.--
        The Secretary is authorized to include space on the 
        forms developed under this subsection, for the social 
        security number and birth date of parents of dependent 
        students seeking financial assistance under this title.
    [(c)] (b) Information to Committees of Congress.--Copies of 
all rules, regulations, guidelines, instructions, and 
application forms published or promulgated pursuant to this 
title shall be provided to [Committee on Labor and Human 
Resources of the Senate and the Committee on Education and the 
Workforce of the House of Representatives] authorizing 
committees that least 45 days prior to their effective date.
    [(d)] (c) Toll-Free Information.--The Secretary shall 
contract for, or establish, and publicize a toll-free telephone 
service to provide timely and accurate information to the 
general public. The information provided shall include specific 
instructions on completing the application form for assistance 
under this title. Such service shall also include a service 
accessible by telecommunications devices for the deaf (TDD's) 
and shall, in addition to the services provided for in the 
previous sentence refer such students to the national 
clearinghouse on postsecondary educaion [that is authorized 
under section 685(d)(2)(C) of the Individuals with Disabilities 
Education Act.] or other appropriate provider of technical 
assistance and information on postsecondary educational 
services that is authorized under section 663(a) of the 
Individuals with Disabilities Education Act. Not later than 2 
years after the date of enactment of the Higher Education 
Amendments of 2007, the Secretary shall test and implement, to 
the extent practicable, a toll-free telephone based system to 
permit applicants who meet the requirements of 479(c) to submit 
an application over such system.
    [(e) Preparer.--Any financial aid application required to 
be made under this title shall include the name, signature, 
address or employer's address, social security number or 
employer identification number, and organizational affiliation 
of the preparer of such financial aid application.]
    (d) Assistance in Preparation of Financial Aid 
Application.--
          (1) Preparation authorized.--Notwithstanding any 
        provision of this Act, an applicant may use a preparer 
        for consultative or preparation services for the 
        completion of a form developed under subsection (a) if 
        the preparer satisfies the requirements of this 
        subsection.
          (2) Preparer identification required.--If an 
        applicant uses a preparer for consultative or 
        preparation services for the completion of a form 
        developed under subsection (a), the preparer shall 
        include the name, signature, address or employers 
        address, social security number or employer 
        identification number; and organizational affiliation 
        of the preparer on the applicant's form.
          (3) Additional requirements.--A preparer that 
        provides consultative or preparation services pursuant 
        to this subsection shall--
                  (A) clearly inform each individual upon 
                initial contact, including contact through the 
                Internet or by telephone, that the FAFSA and EZ 
                FAFSA may be completed for free via paper or 
                electronic versions of the forms that are 
                provided by the Secretary;
                  (B) include in any advertising clear and 
                conspicuous information that the FAFSA and EZ 
                FAFSA may be completed for free via paper or 
                electronic versions of the forms that are 
                provided by the Secretary;
                  (C) if advertising or providing any 
                information on a website, or if providing 
                services through, a website, include on the 
                website a link to the website described in 
                subsection (a)(3) that provides the electronic 
                versions of the forms developed under 
                subsection (a);
                  (D) refrain from producing or disseminating 
                any form other than the forms developed by the 
                Secretary under subsection (a); and
                  (E) not charge any fee to any individual 
                seeking services who meets the requirements of 
                subsection (b) or (c) of section 479.
                  (4) Special rule.--Nothing in this Act shall 
                be construed to limit preparers of the 
                financial reporting forms required to be made 
                under this title that meet the requirements of 
                this subsection from collecting source 
                information from a student or parent, including 
                Internal Revenue Service tax forms, in 
                providing consultative and preparation services 
                in completing the forms.
    (e) Early Application and Award Demonstration Program.--
          (1) Purpose.--The purpose of the demonstration 
        program implemented under this subsection is to 
        determine the feasibility of implementing a 
        comprehensive early application and notification system 
        for all dependent students and to measure the benefits 
        and costs of such a system.
          (2) Program authorized.--Not later than 2 years after 
        the date of enactment of the Higher Education 
        Amendments of 2007, the Secretary shall implement an 
        early application demonstration program enabling 
        dependent students who wish to participate in the 
        program--
                  (A) to complete an application under this 
                subsection during the academic year that is 2 
                years prior to the year such students plan to 
                enroll in an institution of higher education; 
                and
                  (B) based on the application described in 
                subparagraph (A), to obtain, not later than 1 
                year prior to the year of the students' planned 
                enrollment, information on eligibility for 
                Federal Pell Grants, Federal student loans 
                under this title, and State and institutional 
                financial aid for the student's first year of 
                enrollment in an the institution of higher 
                education.
          (3) Early application and award.--For all dependent 
        students selected for participation in the 
        demonstration program who submit a completed FAFSA, or, 
        as appropriate, an EZ FAFSA, 2 years prior to the year 
        such students plan to enroll in an institution of 
        higher education, the Secretary shall, not later than 1 
        year prior to the year of such planned enrollment--
                  (A) provide each student who meets the 
                requirements under section 479(c) with a 
                determination of such student's--
                          (i) expected family contribution for 
                        the first year of the student's 
                        enrollment in an institution of higher 
                        education; and
                          (ii) Federal Pell Grant award for the 
                        first such year, based on the maximum 
                        Federal Pell Grant award at the time of 
                        application;
                  (B) provide each student who does not meet 
                the requirements under section 479(c) with an 
                estimate of such student's--
                          (i) expected family contribution for 
                        the first year of the student's planned 
                        enrollment; and
                          (ii) Federal Pell Grant award for the 
                        first such year, based on the maximum 
                        Federal Pell Grant award at the time of 
                        application; and
                  (C) remind the students of the need to update 
                the students' information during the calendar 
                year of enrollment using the expedited 
                reapplication process provided for in 
                subsection (a)(4).
          (4) Participants.--The Secretary shall include, as 
        participants in the demonstration program
                  (A) States selected through the application 
                process described in paragraph (5);
                  (B) institutions of higher education within 
                the selected States that are interested in 
                participating in the demonstration program, and 
                that can make estimates or commitments of 
                institutional student financial aid, as 
                appropriate, to students the year before the 
                students' planned enrollment date; and
                  (C) secondary schools within the selected 
                States that are interested in participating in 
                the demonstration program, and can commit 
                resources to--
                          (i) advertising the availability of 
                        the program;
                          (ii) identifying students who might 
                        be interested in participating in the 
                        program;
                          (iii) encouraging such students to 
                        apply; and
                          (iv) participating in the evaluation 
                        of the program.
          (5) Applications.--States that are interested in 
        participating in the demonstration program shall submit 
        an application, to the Secretary at such time, in such 
        form, and containing such information as the Secretary 
        shall require. The application shall include--
                  (A) information on the amount of the State's 
                need-based student financial assistance 
                available, and the eligibility criteria for 
                receiving such assistance;
                  (B) a commitment to make, not later than the 
                year before the dependent students 
                participating in the demonstration program plan 
                to enroll in an institution of higher 
                education--
                          (i) determinations of State financial 
                        aid awards to dependent students 
                        participating in the program who meet 
                        the requirements of section 479(c); and
                          (ii) estimates of State financial aid 
                        awards to other dependent students 
                        participating in the program;
                  (C) a plan for recruiting institutions of 
                higher education and secondary schools with 
                different demographic characteristics to 
                participate in the program;
                  (D) a plan for selecting institutions of 
                higher education and secondary schools to 
                participate in the program that--
                          (i) demonstrate a commitment to 
                        encouraging students to submit a FAFSA, 
                        or, as appropriate, an EZ FAFSA, 2 
                        years before the students' planned date 
                        of enrollment in an institution of 
                        higher education;
                          (ii) serve different populations of 
                        students;
                          (iii) in the case of institutions of 
                        higher education--
                                  (I) to the extent possible, 
                                are of varying types and 
                                control; and
                                  (II) commit to making, not 
                                later than the year prior to 
                                the year that dependent 
                                students participating in the 
                                demonstration program plan to 
                                enroll in the institution--
                                          (aa) institutional 
                                        awards to participating 
                                        dependent students who 
                                        meet the requirements 
                                        of section 479(c);
                                          (bb) estimates of 
                                        institutional awards to 
                                        other participating 
                                        dependent students; and
                                          (cc) expected or 
                                        tentative awards of 
                                        grants or other 
                                        financial aid available 
                                        under this title 
                                        (including supplemental 
                                        grants under subpart 3 
                                        of part A), for all 
                                        participating dependent 
                                        students, along with 
                                        information on State 
                                        awards, as provided to 
                                        the institution by the 
                                        State;
                  (E) a commitment to participate in the 
                evaluation conducted by the Secretary; and
                  (F) such other information as the Secretary 
                may require.
          (6) Special provisions.--
                  (A) Discretion of student financial aid 
                administrators.--A financial aid administrator 
                at an institution of higher education 
                participating in a demonstration program under 
                this subsection may use the discretion provided 
                under section 479A as necessary in awarding 
                financial aid to students participating in the 
                demonstration program.
                  (B) Waivers.--The Secretary is authorized to 
                waive, for an institution participating in the 
                demonstration program, any requirements under 
                the title, or regulations prescribed under this 
                title, that would make the demonstration 
                program unworkable, except that the Secretary 
                shall not waive any provisions with respect to 
                the maximum award amounts for grants and loans 
                under this title.
          (7) Outreach.--The Secretary shall make appropriate 
        efforts in order to notify States, institutions of 
        higher education, and secondary schools of the 
        demonstration program.
          (8) Evaluation.--The Secretary shall conduct a 
        rigorous evaluation of the demonstration program to 
        measure the program's benefits and adverse effects, as 
        the benefits and effects relate to the purpose of the 
        program described in paragraph (1). In conducting the 
        evaluation, the Secretary shall--
                  (A) identify whether receiving financial aid 
                awards or estimates, as applicable, 1 year 
                prior to the year in which the student plans to 
                enroll in an institution of higher education, 
                has a positive impact on the higher education 
                aspirations and plans of such student;
                  (B) measure the extent to which using a 
                student's income information from the year that 
                is 2 years prior to the student's planned 
                enrollment date had an impact on the ability of 
                States and institutions to make financial aid 
                awards and commitments;
                  (C) determine what operational changes would 
                be required to implement the program on a 
                larger scale;
                  (D) identify any changes to Federal law that 
                would be necessary to implement the program on 
                a permanent basis; and
                  (E) identify the benefits and adverse effects 
                of providing early awards or estimates on 
                program costs, program operations, program 
                integrity, award amounts, distribution, and 
                delivery of aid.
          (9) Consultation.--The Secretary shall consult, as 
        appropriate, with the Advisory Committee on Student 
        Financial Assistance established under section 491 on 
        the design, implementation, and evaluation of the 
        demonstration program.
    (f) Use of IRS Data and Reduced Income and Asset 
Information To Determine Eligibility for Student Financial 
Aid.--
          (1) Formation of study group.--Not later than 180 
        days after the date of enactment of the Higher 
        Education Amendments of 2007, the Comptroller General 
        of the United States and the Secretary of Education 
        shall convene a study group whose members shall include 
        the Secretary of the Treasury, the Director of the 
        Office of Management and Budget, the Director of the 
        Congressional Budget Office, and such other individuals 
        as the Comptroller General and Secretary of Education 
        may designate.
          (2) Study required.--The Comptroller General and the 
        Secretary, in consultation with the study group 
        convened under paragraph (1), shall design and conduct 
        a study to identify and evaluate the means of 
        simplifying the process of applying for Federal 
        financial aid available under this title. The study 
        shall focus on developing alternative approaches for 
        calculating the expected family contribution that use 
        substantially less income and asset data than the 
        methodology currently used, as of the time of the 
        study, for determining the expected family 
        contribution.
          (3) Objectives of study.--The objectives of the study 
        required under paragraph (2) are--
                  (A) to shorten the FAFSA and make it easier 
                and less time-consuming to complete, thereby 
                increasing higher education access for low-
                income students;
                  (B) to examine the feasibility, and evaluate 
                the costs and benefits, of using income data 
                from the Internal Revenue Service to pre-
                populate the electronic version of the FAFSA;
                  (C) to determine ways in which to provide 
                reliable information on the amount of Federal 
                grant aid and financial assistance a student 
                can expect to receive, assuming constant 
                income, 2 to 3 years before the student's 
                enrollment; and
                  (D) to simplify the process for determining 
                eligibility for student financial aid without 
                causing significant redistribution of Federal 
                grants and subsidized loans under this title.
          (4) Requires subjects of study.--The study required 
        under paragraph (2) shall consider--
                  (A) how the expected family contribution of a 
                student could be calculated using substantially 
                less income and asset information than the 
                approach currently used, as of the time of the 
                study, to calculate the expected family 
                contribution without causing significant 
                redistribution of Federal grants and subsidized 
                loans under this title, State aid, or 
                institutional aid, or change in the composition 
                of the group of recipients of such aid, which 
                alternative approaches for calculating the 
                expected family contribution shall, to the 
                extent practicable--
                          (i) rely mainly, in the case of 
                        students and parents who file income 
                        tax returns, on information available 
                        on the 1040, 1040EZ, and 1040A; and
                          (ii) include formulas for adjusting 
                        income or asset information to produce 
                        similar results to the existing 
                        approach with less data;
                  (B) how the Internal Revenue Service can 
                provide income and other data needed to compute 
                an expected family contribution for taxpayers 
                and dependents of taxpayers to the Secretary of 
                Education, and when in the application cycle 
                the data can be made available;
                  (C) whether data provided by the Internal 
                Revenue could be used to--
                          (i) prepopulate the electronic 
                        version of the FAFSA with student and 
                        parent taxpayer data; or
                          (ii) generate an expected family 
                        contribution without additional action 
                        on the part of the student and 
                        taxpayer;
                  (D) the extent to which the use of income 
                data from 2 years prior to a student's planned 
                enrollment date would change the family 
                contribution computed in accordance with part 
                F, and potential adjustments to the need 
                analysis formula that would minimize the 
                change;
                  (E) the extent to which States and 
                institutions would accept the data provided by 
                the Internal Revenue Service to prepopulate the 
                electronic version of the FAFSA in determining 
                the distribution of State and institutional 
                student financial aid funds;
                  (F) the changes to the electronic version of 
                the FAFSA and verification processes that would 
                be needed or could be made if Internal Revenue 
                Service data were used to prepopulate such 
                electronic version;
                  (G) the data elements currently collected, as 
                of the time of the study, on the FAFSA that are 
                needed to determine eligibility for student 
                aid, or to administer Federal student financial 
                aid programs, but are not needed to compute an 
                expected family contribution, such as whether 
                information regarding the student's citizenship 
                or permanent residency status, registration for 
                selective service, or driver's license number 
                could be reduced without adverse effects;
                  (H) additional steps that can be taken to 
                simplify the financial aid application process 
                for students who (or, in the case of dependent 
                students, whose parents) are not required to 
                file an income tax return for the prior taxable 
                year;
                  (I) information on the State need for and 
                usage of the full array of income, asset, and 
                other information currently collected, as of 
                the time of the study, on the FAFSA, including 
                analyses of--
                          (i) what data are currently used by 
                        States to determine eligibility for 
                        State student financial aid, and 
                        whether the data are used for merit or 
                        need-based aid;
                          (ii) the extent to which the full 
                        array of income and asset information 
                        currently collected on the FAFSA play 
                        an important role in the awarding of 
                        need-based State financial aid, and 
                        whether the State could use income and 
                        asset information that was more limited 
                        to support determinations of 
                        eligibility for such State aid 
                        programs;
                          (iii) whether data are required by 
                        State law, State regulations, or policy 
                        directives;
                          (iv) what State official has the 
                        authority to advise the Department on 
                        what the State requires to calculate 
                        need-based State student financial aid;
                          (v) the extent to which any State-
                        specific information requirements could 
                        be met by completion of a State 
                        application linked to the electronic 
                        version of the FAFSA; and
                          (vi) whether the State can use, as of 
                        the time of the study, or could use, a 
                        student's expected family contribution 
                        based on data from 2 years prior to the 
                        student's planned enrollment date and a 
                        calculation with reduced data elements 
                        and, if not, what additional 
                        information would be needed or what 
                        changes would be required; and
                  (J) information on institutional needs, 
                including the extent to which institutions of 
                higher education are already using supplemental 
                forms to collect additional data from students 
                and their families to determine eligibility for 
                institutional funds.
          (5) Use of data from the internal revenue service to 
        prepopulate fafsa forms.--After the study required 
        under this subsection has been completed, the Secretary 
        may use Internal Revenue Service data to prepopulate 
        the electronic version of the FAFSA if the Secretary, 
        in a joint decision with the Secretary of Treasury, 
        determines that such use will not significantly 
        negatively impact students, institutions of higher 
        education, States, or the Federal Government based on 
        each of the following criteria:
                  (A) Program costs.
                  (B) Redistributive effects on students.
                  (C) Accuracy of aid determinations.
                  (D) Reduction of burden to the FAFSA filers.
                  (E) Whether all States and institutions that 
                currently accept the Federal aid formula accept 
                the use of data from 2 years prior to the date 
                of a student's planned enrollment in an 
                institution of higher education to award 
                Federal, State, and institutional aid, and as a 
                result will not require students to complete 
                any additional forms to receive this aid.
          (6) Consultation.--The Secretary shall consult with 
        the Advisory Committee on Student Financial Assistance 
        established under section 491 as appropriate in 
        carrying out this subsection.
          (7) Report.--Not later than 18 months after the date 
        of enactment of the Higher Education Amendments of 
        2007, the Comptroller General and the Secretary shall 
        prepare and submit a report on the results of the study 
        required under this subsection to the authorizing 
        committees.

           *       *       *       *       *       *       *

SEC. 484. [20 U.S.C. 1091] STUDENT ELIGIBILITY.

    (a) In General.-- * * *

           *       *       *       *       *       *       *

    (d) Students Who Are Not High School Graduates.-- * * *

           *       *       *       *       *       *       *

          (3) * * *
          (4) The student shall be determined by the 
        institution of higher education as having the ability 
        to benefit from the education or training offered by 
        the institution of higher education, upon satisfactory 
        completion of 6 credit hours or the equivalent 
        coursework that are applicable toward a degree or 
        certificate offered by the institution of higher 
        education.

           *       *       *       *       *       *       *

    (k) Special Rule for Correspondence Courses.-- * * *
    [(l) Courses Offered Through Telecommunications.--
          [(1) Relation to correspondence courses.--
                  [(A) In general.--A student enrolled in a 
                course of instruction at an institution of 
                higher education that is offered in whole or in 
                part through telecommunications and leads to a 
                recognized certificate, or a recognized 
                associate, baccalaureate, or graduate degree, 
                conferred by such institution, shall not be 
                considered to be enrolled in correspondence 
                courses.
                  [(B) Exception.--Subparagraph (A) shall not 
                apply to an institution or school described in 
                section 3(3)(C) of the Carl D. Perkins 
                Vocational and Technical Education Act of 1998.
          [(2) Restriction or reductions of financial aid.--A 
        student's eligibility to receive grants, loans, or work 
        assistance under this title shall be reduced if a 
        financial aid officer determines under the 
        discretionary authority provided in section 479A that 
        telecommunications instruction results in a 
        substantially reduced cost of attendance to such 
        student.
          [(3) Special rule.--For award years prior to the date 
        of enactment of this subsection, the Secretary shall 
        not take any compliance, disallowance, penalty, or 
        other action against a student or an eligible 
        institution when such action arises out of such 
        institution's prior award of student assistance under 
        this title if the institution demonstrates to the 
        satisfaction of the Secretary that its course of 
        instruction would have been in conformance with the 
        requirements of this subsection.
          [(4) Definition.--For the purposes of this 
        subsection, the term ``telecommunications'' means the 
        use of television, audio, or computer transmission, 
        including open broadcast, closed circuit, cable, 
        microwave, or satellite, audio conferencing, computer 
        conferencing, or video cassettes or discs, except that 
        such term does not include a course that is delivered 
        using video cassette or disc recordings at such 
        institution and that is not delivered in person to 
        other students of that institution.]
    (l) Courses Offered Through Distance Education.--
          (1) Relation to correspondence courses.--
                  (A) In general.--A student enrolled in a 
                course of instruction at an institution of 
                higher education that is offered principally 
                through distance education and leads to a 
                recognized certificate, or associate, 
                baccalaureate, or graduate degree, conferred by 
                such institution, shall not be considered to be 
                enrolled in correspondence courses.
                  (B) Exception.--An institution of higher 
                education referred to in subparagraph (A) shall 
                not include an institution or school described 
                in section 3(3)(C) of the Carl D. Perkins 
                Career and Technical Education Act of 2006.
          (2) Restriction or reductions of financial aid.-- A 
        student's eligibility to receive grants, loans, or work 
        assistance under this title shall be reduced if a 
        financial aid officer determines under the 
        discretionary authority provided in section 479a that 
        distance education results in a substantially reduced 
        cost of attendance to such student.
          (3) Special rule.--For award years prior to July 1, 
        2008, the Secretary shall not take any compliance, 
        disallowance, penalty, or other action against a 
        student or an eligible institution when such action 
        arises out of such institution's prior award of student 
        assistance under this title if the institution 
        demonstrates to the satisfaction of the Secretary that 
        its course of instruction would have been in 
        conformance with the requirements of this subsection.

           *       *       *       *       *       *       *

    (r) Suspension of Eligibility for Drug-Related Offenses.--
          (1) In general.--* * *
    (s) Students With Intellectual Disabilities--
Notwithstanding subsection (a), in order to receive any grant 
or work assistance under subparts 1 and 3 of part A and part C 
of this title, a student with, an intellectual disability 
shall--
          (1) be an individual with an intellectual disability 
        whose mental retardation or other significant cognitive 
        impairment substantially impacts the individual's 
        intellectual and cognitive functioning;
          (2)(A) be a student eligible for assistance under the 
        Individuals with Disabilities Education Act who--
                  (i) has completed secondary school with a 
                diploma or certificate; or
                  (ii) has completed secondary school; or
          (B) be an individual who is no longer eligible for 
        assistance under the Individuals with Disabilities 
        Education Act because the individual has exceeded the 
        maximum age for which the State provides a free 
        appropriate public education;
          (3) be enrolled or accepted for enrollment in a 
        comprehensive transition and postsecondary education 
        program that--
                  (A) is designed for students with an 
                intellectual disability who are seeking to 
                continue academic, vocational, and independent 
                living instruction at the institution in order 
                to prepare for gainful employment and 
                independent living;
                  (B) includes an advising and curriculum 
                structure;
                  (C) requires students to participate on at 
                least a half-time basis, as determined by the 
                institution; or
                  (D) includes--
                          (i) regular enrollment in courses 
                        offered by the institution;
                          (ii) auditing or participating in 
                        courses offered by the institution for 
                        which the student does not receive 
                        regular academic credit;
                          (iii) enrollment in noncredit, 
                        nondegree courses;
                          (iv) participation in internships; or
                          (v) a combination of 2 or more of the 
                        activities described in clauses (i) 
                        through (iv);
          (4) be maintaining satisfactory progress in the 
        program as determined by the institution, in accordance 
        with standards established by the institution; and
          (5) meet the recquirements of paragraphs (3), (4), 
        (5), and (6) of subsection (a).

           *       *       *       *       *       *       *

SEC. 484A. [20 U.S.C. 1091A] STATUTE OF LIMITATIONS, AND STATE COURT 
                    JUDGMENTS.

    (a) In General.--(1) * * *

           *       *       *       *       *       *       *

    (b) Assessment of Costs and Other Charges.--Notwithstanding 
any provision of State law to the contrary--
          (1) a borrower who has defaulted on a loan made under 
        this title shall be required to pay, in addition to 
        other charges specified in this title, reasonable 
        collection costs; [and]
          (2) in collecting any obligation arising from a loan 
        made under part B of this title, a guaranty agency or 
        the Secretary shall not be subject to a defense raised 
        by any borrower based on a claim of infancy[.] ; and
          (3) in collecting any obligation arising from a loan 
        made under part E of this title, an institution of 
        higher education that has an agreement with the 
        Secretary pursuant to section 463(a) shall not be 
        subject to a defense raised by any borrower based on a 
        claim of infancy.
    (c) State Court Judgments.--* * *
    (d) Special Rule.--This section shall not apply in the case 
of a student who is deceased or to a deceased student's estate 
or the estate of such student's family. If a student is 
deceased, then the student's estate or the estate of the 
student's family shall not be required to repay any financial 
assistance under this title, including interest paid on the 
student's behalf, collection costs, or other charges specified 
in this title.

           *       *       *       *       *       *       *

SEC. 484B. [20 U.S.C. 1091B] INSTITUTIONAL REFUNDS.

    (a) Return of Title IV Funds.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

    (c) Withdrawal Date.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (2) Special rule.--Notwithstanding paragraph (1), if 
        the institution determines that a student did not begin 
        the withdrawal process, or otherwise notify the 
        institution of the intent to withdraw, due to illness, 
        accident, grievous personal loss, or other such 
        circumstances beyond the student's control, the 
        institution [may determine the appropriate withdrawal 
        date.] may determine--
                  (A) the appropriate withdrawal date; and
                  (B) that the requirements of subsection 
                (b)(2) do not apply to the student.

           *       *       *       *       *       *       *

SEC. 485. [20 U.S.C. 1092] INSTITUTIONAL AND FINANCIAL ASSISTANCE 
                    INFORMATION FOR STUDENTS.

    (a) Information Dissemination Activities.--
          (1) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  [(M) the terms and conditions under which 
                students receiving guaranteed student loans 
                under part B of this title or direct student 
                loans under part E of this title, or both, 
                may--
                          [(i) obtain deferral of the repayment 
                        of the principal and interest for 
                        service under the Peace Corps Act (as 
                        established by the Peace Corps Act (22 
                        U.S.C. 2501) et seq.)) or under the 
                        Domestic Volunteer Service Act of 1973 
                        (42 U.S.C. 4951 et seq.), or for 
                        comparable full-time service as a 
                        volunteer for a tax-exempt organization 
                        of demonstrated effectiveness in the 
                        field of community service, and
                          [(ii) obtain partial cancellation of 
                        the student loan for service under the 
                        Peace Corps Act (as established by the 
                        Peace Corps Act (22 U.S.C. 2501 et 
                        seq.)) under the Domestic Volunteer 
                        Service Act of 1973 (42 U.S.C. 4951 et 
                        seq.) or, for comparable full-time 
                        service as a volunteer for a tax-exempt 
                        organization of demonstrated 
                        effectiveness in the field of community 
                        service;]
                  (M) the terms and conditions of the loans 
                that students receive under parts B, D, and E;
                  (N) that enrollment in a program of study 
                abroad approved for credit by the home 
                institution may be considered enrollment in the 
                home institution for purposes of applying for 
                Federal student financial assistance; [and]
                  (O) the campus crime report prepared by the 
                institution pursuant to subsection (f), 
                including all required reporting categories[.];
                  (P) institutional policies and sanctions 
                related to copyright infringement that inform 
                students that unauthorized distribution of 
                copyrighted material on the institution's 
                information technology systems, including 
                engaging in unauthorized peer-to-peer file 
                sharing, may subject the students to civil and 
                criminal, penalties;
                  (Q) student body diversity at the 
                institution, including information on the 
                percentage of enrolled, full-time students who 
                are--
                          (i) male;
                          (ii) female;
                          (iii) from a low-income background; 
                        and
                          (iv) a self-identified member of a 
                        major racial or ethnic group;
                  (R) the placement in employment of, and types 
                of employment obtained by, graduates of the 
                institution's degree or certificate programs, 
                gathered from such sources as alumni surveys, 
                student satisfaction surveys, the National 
                Survey of Student Engagement, the Community 
                College Survey of Student Engagement, State 
                data systems, or other relevant sources;
                  (S) the types of graduate and professional 
                education in which graduates of the 
                institution's 4-year degree programs enrolled, 
                gathered from such sources as alumni surveys, 
                student satisfaction surveys, the National 
                Survey of Student Engagement, State data 
                systems, or other relevant sources; and
                  (T) the fire safety report prepared by the 
                institution pursuant to subsection (i).
          (2) * * *

           *       *       *       *       *       *       *

          [(4) For purposes of this section, institutions may 
        exclude from the information disclosed in accordance 
        with subparagraph (L) of paragraph (1) the completion 
        or graduation rates of students who leave school to 
        serve in the armed services, on official church 
        missions, or with a recognized foreign aid service of 
        the Federal Government.]
          (4) For purposes of this section, institutions may--
                  (A) exclude from the information disclosed in 
                accordance with subparagraph (L) of paragraph 
                (1) the completion or graduation rates of 
                students who leave school to serve in the Armed 
                Forces, on official church missions, or with a 
                recognized foreign aid service of the Federal 
                Government; or
                  (B) in cases where the students described in 
                subparagraph (A) represent 20 percent or more 
                of the certificate- or degree-seeking, full-
                time, undergraduate students at the 
                institution, the institution may recalculate 
                the completion or graduation rates of such 
                students by excluding from the calculation 
                described in paragraph (3) the time period such 
                students were not enrolled due to their service 
                in the Armed Forces, on official church 
                missions, or with a recognized foreign aid 
                service of the Federal Government.

           *       *       *       *       *       *       *

          (6) * * *
          (7) The information disclosed under subparagraph (L) 
        of paragraph (1), or reported under subsection (e), 
        shall include information disaggregated by gender, by 
        each major racial and ethnic subgroup, by recipients of 
        a Federal Pell Grant, by recipients of a loan made 
        under this part or part D (other than a loan made under 
        section 428H or a Federal Direct Unsubsidized Stafford 
        Loan) who did not receive a Federal Pell Grant, and by 
        recipients of neither a Federal Pell Grant nor a loan 
        made under this part or part D (other than a loan made 
        under section 428H or a Federal Direct Unsubsidized 
        Stafford Loan), if the number of students in such 
        subgroup or with such status is sufficient to yield 
        statistically reliable information and reporting would 
        not reveal personally identifiable information about an 
        individual student. If such number is not sufficient 
        for such purposes, then the institution shall note that 
        the institution enrolled too few of such students to so 
        disclose or report with confidence and confidentiality.
    (b) Entrance Counseling For Borrowers.--
          (1) Disclosure required prior to disbursement.--
                  (A) In general.--Each eligible institution 
                shall, at or prior to the time of a 
                disbursement to a first-time student borrower 
                of a loan made, insured, or guaranteed under 
                part B or D, ensure that the borrower receives 
                comprehensive information on the terms and 
                conditions of the loan and the responsibilities 
                the borrower has with respect to such loan. 
                Such information shall be provided in simple 
                and understandable terms and may be provided--
                          (i) during an entrance counseling 
                        session conducted in person;
                          (ii) on a separate written form 
                        provided to the borrower that the 
                        borrower signs and returns to the 
                        institution; or
                          (iii) online, with the borrower 
                        acknowledging receipt and understanding 
                        of the information.
                  (B) Use of interactive programs.--The 
                Secretary shall encourage institutions to carry 
                out the requirements of subparagraph (A) 
                through the use of interactive programs that 
                test the borrowers' understanding of the terms 
                and conditions of the borrowers' loans under 
                part B or D, using comprehensible language and 
                displays with clear formatting.
          (2) Information to be provided.--The information 
        provided to the borrower under paragraph (1)(A) shall 
        include--
                  (A) an explanation of the use of the Master 
                Promissory Note;
                  (B) in the case of a loan made under section 
                428B or 428H, a Federal Direct PLUS Loan, or a 
                Federal Direct Unsubsidized Stafford Loan--
                          (i) the ability of the borrower to 
                        pay the interest while the borrower is 
                        in school; and
                          (ii) how often interest is 
                        capitalized;
                  (C) the definition of half-time enrollment at 
                the institution, during regular terms and 
                summer school, if applicable, and the 
                consequences of not maintaining half-time 
                enrollment;
                  (D) an explanation of the importance of 
                contacting the appropriate institutional 
                offices if the borrower withdraws prior to 
                completing the borrower's program of study so 
                that the institution can provide exit 
                counseling, including information regarding the 
                borrower's repayment options and loan 
                consolidation;
                  (E) the obligation of the borrower to repay 
                the full amount of the loan even if the 
                borrower does not complete the program in which 
                the borrower is enrolled;
                  (F) information on the National Student Loan 
                Data System and how the borrower can access the 
                borrower's records; and
                  (G) the name of an individual the borrower 
                may contact if the borrower has any questions 
                about the borrower's rights and 
                responsibilities or the terms and conditions of 
                the loan.
    [(b)] (c) Exit Counseling for Borrowers.--(1) [(A) Each 
eligible institution shall, through financial aid officers or 
otherwise, make available counseling to borrowers of loans 
which are made, insured, or guaranteed under part B (other than 
loans made pursuant to section 428B) of this title or made 
under part D or E of this title prior to the completion of the 
course of study for which the borrower enrolled at the 
institution or at the time of departure from such institution. 
The counseling required by this subsection shall include--
          [(i) the average anticipated monthly repayments, a 
        review of the repayment options available, and such 
        debt and management strategies as the institution 
        determines are designed to facilitate the repayment of 
        such indebtedness; and
          [(ii) the terms and conditions under which the 
        student may obtain partial cancellation or defer 
        repayment of the principal and interest pursuant to 
        sections 428(b), 464(c)(2), and 465.
    (A) Each eligible institution shall, through financial aid 
offices or otherwise, provide counseling to borrowers of loans 
that are made, insured, or guaranteed under part B (other than 
loans made pursuant to section 428C or loans made to parents 
pursuant to section 428B), or made under part D (other than 
Federal Direct Consolidation Loans or Federal Direct PLUS Loans 
made to parents) or E, prior to the completion of the course of 
study for which the borrower enrolled at the institution or at 
the time of departure from such institution. The counseling 
required by this subsection shall include--
          (i) information on the repayment plans available, 
        including a discussion of the different features of 
        each plan and sample information showing the difference 
        in interest paid and total payments under each plan;
          (ii) the average anticipated monthly repayments under 
        the standard repayment plan and, at the borrower's 
        request, the other repayment plans for which the 
        borrower is eligible;
          (iii) such debt and management strategies as the 
        institution determines are designed to facilitate the 
        repayment of such indebtedness;
          (iv) an explanation that the borrower has the ability 
        to prepay each such loan, pay the loan on a shorter 
        schedule, and change repayment plans;
          (v) the terms and conditions under which the student 
        may obtain full or partial forgiveness or cancellation 
        of principal or interest under sections 428J, 460, and 
        465 (to the extent that such sections are applicable to 
        the student's loans);
          (vi) the terms and conditions under which the student 
        may defer repayment of principal or interest or be 
        granted forbearance under subsections (b)(1)(M) and (o) 
        of section 428, 428H(e)(7), subsections (f) and (l) of 
        section 455, and section 464(c)(2), and the potential 
        impact of such deferment or forbearance;
          (vii) the consequences of default on such loans;
          (viii) information on the effects of using a 
        consolidation loan to discharge the borrower's loans 
        under parts B, D, and E, including, at a minimum--
                  (I) the effects of consolidation on total 
                interest to be paid, fees to be paid, and 
                length of repayment;
                  (II) the effects of consolidation on a 
                borrower's underlying loan benefits, including 
                all grace periods, loan forgiveness, 
                cancellation, and deferment opportunities;
                  (III) the ability of the borrower to prepay 
                the loan or change repayment plans; and
                  (IV) that borrower benefit programs may vary 
                among different loan holders; and
          (ix) a notice to borrowers about the availability of 
        the National Student Loan Data System and how the 
        system can be used by a borrower to obtain information 
        on the status of the borrower's loans.
          (2)(A) * * *

           *       *       *       *       *       *       *

          (3) Each eligible institution shall, during the exit 
        interview required by this subsection, provide to a 
        borrower of a loan made under part B, D, or E a clear 
        and conspicuous notice describing the general effects 
        of using a consolidation loan to discharge the 
        borrower's student loans, including--
          (A) the effects of consolidation on total interest to 
        be paid, fees to be paid, and length of repayment;
          (B) the effects of consolidation on a borrower's 
        underlying loan benefits, including loan forgiveness, 
        cancellation, and deferment;
          (C) the ability for the borrower to prepay the loan, 
        pay on a shorter schedule, and to change repayment 
        plans, and that borrower benefit programs may vary 
        among different loan holders;
          (D) a general description of the types of tax 
        benefits which may be available to borrowers of student 
        loans; and
          (E) the consequences of default.
    [(c)](d) Financial Assistance Information Personnel.--* * *
    [(d)](e) Departmental Publication of Descriptions of 
Assistance Programs.--* * *
          (1) * * *
          (2) The Secretary, to the extent the information is 
        available, shall compile information describing State 
        grant assistance, as well as State and other prepaid 
        tuition programs and savings programs and disseminate 
        such information to States, eligible institutions, 
        students, and parents in departmental publications and 
        other means, including through the Internet.

           *       *       *       *       *       *       *

    [(e)](f) Disclosures Required With Respect to Athletically 
Related Student Aid.--
          (1) *  *  *

           *       *       *       *       *       *       *

          [(3) For purposes of this subsection, institutions 
        may exclude from the reporting requirements under 
        paragraphs (1) and (2) the completion or graduation 
        rates of students and student athletes who leave school 
        to serve in the armed services, on official church 
        missions, or with a recognized foreign aid service of 
        the Federal Government.]
          (3) For purposes of this subsection, institutions 
        may--
                  (A) exclude from the reporting requirements 
                under paragraphs (1) and (2) the completion or 
                graduation rates of students and student 
                athletes who leave school to serve in the Armed 
                Forces, on official church missions, or with. a 
                recognized foreign aid service of the Federal 
                Government; or
                  (B) in cases where the students described in 
                subparagraph (A) represent 20 percent or more 
                of the certificate- or degree-seeking, 
                fulltime, undergraduate students at the 
                institution, the institution may calculate the 
                completion or graduation rates of such students 
                by excluding from the calculations described in 
                paragraph (1) the time period such students 
                were not enrolled due to their service in the 
                Armed Forces, on official church missions, or 
                with a recognized foreign aid service of the 
                Federal Government.

           *       *       *       *       *       *       *

    [(f)](g) Disclosure of Campus Security Policy and Campus 
Crime Statistics.--
          (1) Each eligible institution participating in any 
        program under this title, other than a foreign 
        institution of higher education, shall on August 1, 
        1991, begin to collect the following information with 
        respect to campus crime statistics and campus security 
        policies of that institution, and beginning September 
        1, 1992 and each year thereafter, prepare, publish, and 
        distribute, through appropriate publications or 
        mailings, to all current students and employees, and to 
        any applicant for enrollment or employment upon 
        request, an annual security report containing at least 
        the following information with respect to the campus 
        security policies and campus crime statistics of that 
        institution:
          (A) * * *

           *       *       *       *       *       *       *

          (I) * * *
          (J) A statement of current campus policies regarding 
        immediate emergency response and evacuation procedures, 
        including the use of electronic and cellular 
        communication (if appropriate), which policies shall 
        include procedures--
                  (i) to notify the campus community in a 
                reasonable and timely manner in the event of a 
                significant emergency or dangerous situation, 
                involving an immediate threat to the health or 
                safety of students or staff, occurring on the 
                campus;
                  (ii) to publicize emergency response and 
                evacuation procedures on an annual basis in a 
                manner designed to reach students and staff; 
                and
                  (iii) to test emergency response and 
                evacuation procedures on an annual basis.

           *       *       *       *       *       *       *

          (5) On an annual basis, each institution 
        participating in any program under this title shall 
        submit to the Secretary a copy of the statistics 
        required to be made available under paragraph (1)(F). 
        The Secretary shall--
                  (A) review such statistics and report to the 
                [Committee on Education and the Workforce of 
                the House of Representatives and the Committee 
                on Labor and Human Resources of the Senate] 
                authorizing committees on campus crime 
                statistics by September 1, 2000;

           *       *       *       *       *       *       *

          (14)(A) Nothing in this subsection may be construed 
        to--
          (i) * * *

           *       *       *       *       *       *       *

          (15) Compliance report.--The Secretary shall annually 
        report to the authorizing committees regarding 
        compliance with this subsection by institutions of 
        higher education, including an up-to-date report on the 
        Secretary's monitoring of such compliance.
          (16) Best practices.--The Secretary may seek the 
        advice and counsel of the Attorney General concerning 
        the development, and dissemination to institutions of 
        higher education, of best practices information about 
        campus safety and emergencies.
          [(15)] (17) This subsection may be cited as the 
        ``Jeanne Clery Disclosure of Campus Security Policy and 
        Campus Crime Statistics Act''.
    [(g)] (h) Data Required.--
          (1) In general.--

           *       *       *       *       *       *       *

          (4) Submission; report; information availability.--
        (A) * * *
          (B) The Secretary shall prepare a report regarding 
        the information received under subparagraph (A) and 
        submit such report to the [Committee on Education and 
        the Workforce of the House of Representatives and the 
        Committee on Labor and Human Resources of the Senate] 
        authorizing committees by April 1, 2000. The report 
        shall--

           *       *       *       *       *       *       *

    (i) Transfer Of Credit Policies.--
          (1) Disclosure.--Each institution of higher education 
        participating in any program under this title shall 
        publicly disclose in a readable and comprehensible 
        manner the institution's transfer of credit policies 
        which shall include a statement of the institution's 
        current transfer of credit policies that includes, at a 
        minimum--
                  (A) a statement of whether the institution 
                denies a transfer of credit solely on the basis 
                of the agency or association that accredited 
                such other institution of higher education; and
                  (B) a list of institutions of higher 
                education with which the institution has 
                established an articulation agreement.
          (2) Rule of construction.--Nothing in this subsection 
        shall be construed to--
                  (A) authorize the Secretary or the 
                Accreditation and Institutional Quality and 
                Integrity Advisory Committee to require 
                particular policies, procedures, or practices 
                by institutions of higher education with 
                respect to transfer of credit;
                  (B) authorize an officer or employee of the 
                Department to exercise any direction, 
                supervision, or control over the curriculum, 
                program of instruction, administration, or 
                personnel of any institution of higher 
                education, or over any accrediting agency or 
                association;
                  (C) limit the application of the General 
                Education Provisions Act; or
                  (D) create any legally enforceable right on 
                the part of a student to require an institution 
                of higher education to accept a transfer of 
                credit from another institution.
    (j) Disclosure of Fire Safety Standards and Measures.--
          (1) Annual fire safety reports on student housing 
        required.--Each eligible institution participating in 
        any program under this title shall, on an annual basis, 
        publish a fire safety report, which shall contain 
        information with respect to the campus fire safety 
        practices and standards of that institution, 
        including--
                  (A) statistics concerning the following in 
                each on-campus student housing facility during 
                the most recent calendar years for which data 
                are available:
                          (i) the number of fires and the cause 
                        of each fire;
                          (ii) the number of injuries related 
                        to a fire that result in treatment at a 
                        medical facility;
                          (iii) the number of deaths related to 
                        a fire; and
                          (iv) the value of property damage 
                        caused by a fire;
                  (B) a description of each on-campus student 
                housing facility fire safety system, including 
                the fire sprinkler system;
                  (C) the number of regular mandatory 
                supervised fire drills;
                  (D) policies or rules on portable electrical 
                appliances, smoking, and open flames (such as 
                candles), procedures for evacuation, and 
                policies regarding fire safety education and 
                training programs provided to students, 
                faculty, and staff; and
                  (E) plans for future improvements in fire 
                safety, if determined necessary by such 
                institution.
          (2) Report to the secretary.--Each eligible 
        institution participating in any program under this 
        title shall, on an annual basis submit to the Secretary 
        a copy of the statistics required to be made available 
        under subparagraph (A).
          (3) Current information to campus community.--Each 
        institution participating in any program under this 
        title shall--
                  (A) make, keep, and maintain a log, recording 
                all fires in on-campus student housing 
                facilities, including the nature, date, time, 
                and general location of each fire; and
                  (B) make annual reports to the campus 
                community on such fires.
          (4) Responsibilities of the secretary.--The Secretary 
        shall--
                  (A) make such statistics submitted to the 
                Secretary available to the public; and
                  (B) in coordination with nationally 
                recognized fire organizations and 
                representatives of institutions of higher 
                education, representatives of associations of 
                institutions of higher education, and other 
                organizations that represent and house a 
                significant number of students--
                          (i) identify exemplary fire safety 
                        policies, procedures, programs, and 
                        practices;
                          (ii) disseminate information to the 
                        Administrator of the United States Fire 
                        Administration;
                          (iii) make available to the public 
                        information concerning those policies, 
                        procedures, programs, and practices 
                        that have proven effective in the 
                        reduction of fires; and
                          (iv) develop a protocol for 
                        institutions to review the status of 
                        their fire safety systems.
          (5) Rules of construction.--Nothing in this 
        subsection shall be construed to--
                  (A) authorize the Secretary to require 
                particular policies, procedures, programs, or 
                practices by institutions of higher education 
                with respect to fire safety, other than with 
                respect to the collection, reporting, and 
                dissemination of information required by this 
                subsection;
                  (B) affect the Family Educational Rights and 
                Privacy Act of 1974 or the regulations issued 
                under section 264 of the Health Insurance 
                Portability and Accountability Act of 1996 (42 
                U.S.C. 1320d-2 note).
                  (C) create a cause of action against any 
                institution of higher education or any employee 
                of such an institution for any civil liability; 
                and
                  (D) establish any standard of care.
          (6) Compliance report.--The Secretary shall annually 
        report to the authorizing committees regarding 
        compliance with this subsection by institutions of 
        higher education, including an up-to-date report on the 
        Secretary's monitoring of such, compliance.
          (7) Evidence.-- Notwithstanding any other provision 
        of law, evidence regarding compliance or noncompliance 
        with this subsection shall not be admissible as 
        evidence in any proceeding of any court, agency, board, 
        or other entity, except with respect to an action to 
        enforce this subsection.

           *       *       *       *       *       *       *

SEC. 485B. [20 U.S.C. 1092B] NATIONAL STUDENT LOAN DATA SYSTEM.

    (a) Development of the System.--* * *
          (1) * * *

           *       *       *       *       *       *       *

          (5) the exact amount of loans partially or totally 
        canceled or in deferment for service under the Peace 
        Corps Act (22 U.S.C. 2501 et seq.)), for service under 
        the Domestic Volunteer Service Act of 1973 (42 U.S.C. 
        4951 et seq.), and for comparable full-time service as 
        a volunteer for a tax-exempt organization of 
        demonstrated [effectiveness.] effectiveness;
          [(5)] (6) the eligible institution in which the 
        student was enrolled or accepted for enrollment at the 
        time the loan was made, and any additional institutions 
        attended by the borrower;
          [(6)] (7) * * *
          [(7)] (8) * * *
          [(8)] (9) * * *
          [(9)] (10) * * *
          [(10)] (11) * * *
    (b) * * *

           *       *       *       *       *       *       *

    (c) Verification.--* * *
    (d) Princples for Administering the Data System.--In 
managing the National Student Loan Data System, the Secretary 
shall take actions necessary to maintain confidence in the data 
system, including, at a minimum--
          (1) ensuring that the primary purpose of access to 
        the data system by guaranty agencies, eligible lenders, 
        and eligible institutions of higher education is for 
        legitimate program operations, such, as the need to 
        verify the eligibility of a student, potential student, 
        or parent for loans under part B, D, or E;
          (2) prohibiting nongovernmental researchers and 
        policy analysts from accessing personally identifiable 
        information;
          (3) creating a disclosure form for students and 
        potential students that is distributed when such, 
        students complete the common financial reporting form 
        under section 483, and as a part of the exit counseling 
        process under section 485(b), that
                  (A) informs the students that any title IV 
                grant or loan the students receive will be 
                included in the National Student Loan Data 
                System, and instructs the students on how to 
                access that information;
                  (B) describes the categories of individuals 
                or entities that may access the data relating 
                to such grant or loan through the data system, 
                and for what purposes access is allowed;
                  (C) defines and explains the categories of 
                information included in the data system;
                  (D) provides a summary of the provisions of 
                the Family Educational Rights and Privacy Act 
                of 1974 and other applicable Federal privacy 
                statutes, and a statement of the students' 
                rights and responsibilities with respect to 
                such, statutes;
                  (E) explains the measures taken by the 
                Department to safeguard the students' data; and
                  (F) includes other information as determined 
                appropriate by the Secretary;
          (4) requiring guaranty agencies, eligible lenders, 
        and eligible institutions of higher education that 
        enter into an agreement with a potential student, 
        student, or parent of such student regarding a loan 
        under part B, D, or E, to inform the student or parent 
        that such loan shall be--
                  (A) submitted to the data system; and
                  (B) accessible to guaranty agencies, eligible 
                lenders, and eligible institutions of higher 
                education determined by the Secretary to be 
                authorized users of the data system;
          (5) regularly reviewing the data system to--
                  (A) delete inactive users from the data 
                system;
                  (B) ensure that the data in the data system 
                are not being used for marketing purposes; and
                  (C) monitor the use of the data system by 
                guaranty agencies and eligible lenders to 
                determine whether an agency or lender is 
                accessing the records of students in which the 
                agency or lender has no existing financial 
                interest; and
          (6) developing standardized protocols for limiting 
        access to the data system that include--
                  (A) collecting data on the usage of the data 
                system to monitor whether access has been or is 
                being used contrary to the purposes of the data 
                system;
                  (B) defining the steps necessary for 
                determining whether, and how, to deny or 
                restrict access to the data system; and
                  (C) determining the steps necessary to reopen 
                access to the data system following a denial or 
                restriction of access.
    [(d) Report to Congress.--The Secretary shall prepare and 
submit to the appropriate committees of the Congress, in each 
fiscal year, a report describing the results obtained by the 
establishment and operation of the student loan data system 
authorized by this section.]
    (e) Reports to Congress.--
          (1) Annual report.--Not later than September 30 of 
        each fiscal year, the Secretary shall prepare and 
        submit to the appropriate committees of Congress a 
        report describing--
                  (A) the results obtained by the establishment 
                and operation of the National Student Loan Data 
                System authorized by this section;
                  (B) the effectiveness of existing privacy 
                safeguards in protecting student and parent 
                information in the data system;
                  (C) the success of any new authorization 
                protocols in more effectively preventing abuse 
                of the data system;
                  (D) the ability of the Secretary to monitor 
                how the system is being used, relative to the 
                intended purposes of the data system; and
                  (E) any protocols developed under subsection 
                (d)(6) during the preceding fiscal year.
          (2) Study.--
                  (A) In general.--The Secretary shall conduct 
                a study regarding--
                          (i) available mechanisms for 
                        providing students and parents with the 
                        ability to opt in or opt out of 
                        allowing eligible lenders to access 
                        their records in the National Student 
                        Loan Data System; and
                          (ii) appropriate protocols for 
                        limiting access to the data system, 
                        based on the risk assessment required 
                        under subchapter III of chapter 35 of 
                        title 44, United States Code.
                  (B) Submission of study.--Not later than 3 
                years after the date of enactment of the Higher 
                Education Amendments of 2007, the Secretary 
                shall prepare and submit a report on the 
                findings of the study to the appropriate 
                committees of Congress.
    [(e)](f) Standardization of Data Reporting.--
          (1) In general.-- * * *

           *       *       *       *       *       *       *

     [(f)] (g) Common Identifiers.-- * * *

           *       *       *       *       *       *       *

     [(g)] (h) Integration of Databases.-- * * *

           *       *       *       *       *       *       *

SEC. 485D. [20 U.S.C. 1092E] COLLEGE ACCESS INITIATIVE.

    (a) State-by-State Information.-- * * *

           *       *       *       *       *       *       *

SEC. 485E. EARLY AWARENESS OF FINANCIAL AID ELIGIBILITY.

    (a) In general.--The Secretary shall implement, in 
cooperation with States, institutions of higher education, 
secondary schools, middle schools, early intervention and 
outreach programs under this title, other agencies and 
organizations involved in student financial assistance and 
college access, public libraries, community centers, employers, 
and businesses, a comprehensive system of early financial aid 
information in order to provide students and families with 
early information about financial aid and early estimates of 
such students' eligibility for financial aid from multiple 
sources. Such system shall include the activities described in 
subsections (b) and (c).
    (b) Communication of Availability of Aid and Aid 
Eligibility.--
          (1) Students who receive benefits.--The Secretary 
        shall--
                  (A) make special efforts to notify students, 
                who receive or are eligible to receive benefits 
                under a Federal means-tested benefit program 
                (including the food stamp program under the 
                Food Stamp Act of 1977 (7 U.S.C. 2011 et seq.)) 
                or another such benefit program as determined 
                by the Secretary, of such students' potential 
                eligibility for a maximum Federal Pell Grant 
                under subpart 1 of part A; and
                  (B) disseminate such informational materials 
                as the Secretary determines necessary.
          (2) Middle school students.--The Secretary, in 
        cooperation with States, institutions of higher 
        education, other organizations involved in college 
        access and student financial aid, middle schools, and 
        programs under this title that serve middle school 
        students, shall make special efforts to notify students 
        and their parents of the availability of financial aid 
        under this title and, in accordance with subsection 
        (c), shall provide nonbinding estimates of grant and 
        loan aid that an individual may be eligible for under 
        this title upon completion of an application form under 
        section 483(a). The Secretary shall ensure that such 
        information is as accurate as possible and that such 
        information is as accurate as possible and that such 
        information is provided in an age-appropriate format 
        using dissemination mechanisms suitable for students in 
        middle school.
          (3) Secondary school students.--The Secretary, in 
        cooperation with States, institutions of higher 
        education, other organizations involved in college 
        access and student financial aid, secondary schools, 
        and programs under this title that serve secondary 
        school students, shall make special efforts to notify 
        students in secondary school and their parents, as 
        early as possible but not later than such students' 
        junior year of secondary school, of the availability of 
        financial aid under this title and, in accordance with 
        subsection (c), shall provide nonbinding estimates of 
        the amounts of grant and loan aid that an individual 
        may be eligible for under this title upon completion of 
        an application form under section 483(a). The Secretary 
        shall ensure that such information is as accurate as 
        possible and that such information is provided in an 
        age-appropriate format using dissemination mechanisms 
        suitable for students in secondary school.
          (4) Adult learners.--The Secretary, in cooperation 
        with States, institutions of higher education, other 
        organizations involved in college access and student 
        financial aid, employers, workforce investment boards 
        and public libraries, shall make special efforts to 
        provide individuals who would qualify as independent 
        students, as defined in section 480(d), with 
        information regarding the availability of financial aid 
        under this title and, in accordance with subsection 
        (c), with nonbinding estimates of the amounts of grant 
        and loan aid that an individual may be eligible for 
        under this title upon completion of an application form 
        under section 483(a). The Secretary shall ensure that 
        such information--
                  (A) is as accurate as possible;
                  (B) includes specific information regarding 
                the availability of financial aid for students 
                qualified as independent students, as defined 
                in section 480(d); and
                  (C) uses dissemination mechanisms suitable 
                for adult learners.
          (5) Public awareness campaign.--Not later than 2 
        years after the date of enactment of the Higher 
        Education Amendments of 2007, the Secretary, in 
        coordination with States, institutions of higher 
        education, early intervention and outreach programs 
        under this title, other agencies and organizations 
        involved in student financial aid, local educational 
        agencies, public libraries, community centers, 
        businesses, employers, employment services, workforce 
        investment boards, and movie theaters, shall implement 
        a public awareness campaign in order to increase 
        national awareness regarding the availability of 
        financial aid under this title. The public awareness 
        campaign shall disseminate accurate information 
        regarding the availability of financial aid under this 
        title and shall be implemented, to the extent 
        practicable, using a variety of media, including print, 
        television, radio and the Internet. The Secretary shall 
        design and implement the public awareness campaign 
        based upon relevant independent research and the 
        information and dissemination strategies found most 
        effective in implementing paragraphs (1) through (4).
    (c) Availability of Nonbinding Estimates of Federal 
Financial Aid Eligibility.--
          (1) In general.--The Secretary, in cooperation with 
        States, institutions of higher education, and other 
        agencies and organizations involved in student 
        financial aid, shall provide, via a printed form and 
        the Internet or other electronic means, the capability 
        for individuals to determine easily, by entering 
        relevant data, nonbinding estimates of amounts of grant 
        and loan aid an individual may be eligible for under 
        this title upon completion and processing of an 
        application and enrollment in an institution of higher 
        education.
          (2) Data elements.--The Secretary, in cooperation 
        with States, institutions of higher education, and 
        other agencies and organizations involved in student 
        financial aid, shall determine the data elements that 
        are necessary to create a simplified form that 
        individuals can use to obtain easily nonbinding 
        estimates of the amounts of grant and loan aid an 
        individual may be eligible for under this title.
          (3) Qualification to use simplified application.--The 
        capability provided under this paragraph shall include 
        the capability to determine whether the individual is 
        eligible to submit a simplified application form under 
        paragraph (2)(B) or (3)(B) of section 483(a).

           *       *       *       *       *       *       *

SEC. 486. [20 U.S.C. 1093] DISTANCE EDUCATION DEMONSTRATION PROGRAMS.

    (a) Purpose.--* * *

           *       *       *       *       *       *       *

    (e) Notification.--The Secretary shall make available to 
the public and to the [Committee on Labor and Human Resources 
of the Senate and the Committee on Education and the Workforce 
of the House of Representatives] authorizing committees a list 
of institutions, systems or consortia selected to participate 
in the demonstration program authorized by this section. Such 
notice shall include a listing of the specific statutory and 
regulatory requirements being waived for each institution, 
system or sonsortium and a description of the distance 
education courses to be offered.
    (f) Evaluations and reports.--
          (1) Evaluation.--* * *

           *       *       *       *       *       *       *

          (3) Reports.--
                  (A) In general.--Within 18 months of the 
                initiation of demonstration program, the 
                Secretary shall report to the [Committee on 
                Labor and Human Resources of the Senate and the 
                Committee on Education and the Workforce of the 
                House of Representatives] authorizing 
                committees with respect to--

           *       *       *       *       *       *       *

                  (B) Additional Reports.--The Secretary shall 
                provide additional reports on the [Committee on 
                Labor and Human Resources of the Senate and the 
                Committee on Education and the Workforce of the 
                House of Representatives] authorizing 
                committees on an annual basis regarding--

           *       *       *       *       *       *       *

SEC. 487. [20 U.S.C. 1094] PROGRAM PARTICIPATION AGREEMENTS.

    (a) Required for Programs of Assistance; Contents.--* * *
          (1) * * *

           *       *       *       *       *       *       *

          (20)   * * *
          (21) Code of conduct.--
                  (A) In general.--The institution will 
                establish, follow, and enforce a code of 
                conduct regarding student loans that includes 
                not less than the following:
                          (i) Revenue sharing prohibition.--The 
                        institution is prohibited from 
                        receiving anything of value from any 
                        lender in exchange for any advantage 
                        sought by the lender to make 
                        educational loans to a student 
                        enrolled, or who is expected to be 
                        enrolled, at the institution, except 
                        that an institution shall not be 
                        prohibited from receiving a 
                        philanthropic contribution from a 
                        lender if the contribution is not made 
                        in exchange for any such advantage.
                          (ii) Gift and trip prohibition.--Any 
                        employee who is employed in the 
                        financial aid office of the 
                        institution, or who otherwise has 
                        responsibilities with respect to 
                        educational loans or other financial 
                        aid of the institution, is prohibited 
                        from taking from any lender any gift or 
                        trip worth more than nominal value, 
                        except for reasonable expenses for 
                        professional development that will 
                        improve the efficiency and 
                        effectiveness of programs under this 
                        title and for domestic travel to such 
                        professional development.
                          (iii) Contracting arrangements.--Any 
                        employee who is employed in the 
                        financial aid office of the 
                        institution, or who otherwise has 
                        responsibilities with respect to 
                        educational loans or other financial 
                        aid of the institution, shall be 
                        prohibited from entering into any type 
                        of consulting arrangement or other 
                        contract to provide services to a 
                        lender.
                          (iv) Advisory Board Compensation.--
                        Any employee who is employed in the 
                        financial aid office of the 
                        institution, or who otherwise has 
                        responsibilities with respect to 
                        educational loans or other student 
                        financial aid of the institution, and 
                        who serves on an advisory board, 
                        commission, or group established by a 
                        lender or group of lenders shall be 
                        prohibited from receiving anything of 
                        value from the lender or group of 
                        lenders, except that the employee may 
                        be reimbursed for reasonable expenses 
                        incurred in serving on such advisory 
                        board, commission or group.
                          (v) Interaction with borrowers.--The 
                        institution will not--
                                  (I) for any first-time 
                                borrower, assign, through award 
                                packaging or other methods, the 
                                borrower's loan to a particular 
                                lender; and
                                  (II) refuse to certify, or, 
                                delay certification of; any 
                                loan in accordance with 
                                paragraph (6) based on the 
                                borrower's selection of a 
                                particular lender or guaranty 
                                agency.
                  (B) Designation.--The institution will 
                designate an individual who shall be 
                responsible for signing an annual attestation 
                on behalf of the institution that the 
                institution agrees to, and is in compliance 
                with, the requirements of the code of conduct 
                described in this paragraph. Such individual 
                shall be the chief executive officer; chief 
                operating officer; chief financial officer, or 
                comparable official, of the institution, and 
                shall annually submit the signed attestation to 
                the Secretary.
                  (C) Availability.--The institution will make 
                the code of conduct widely available to the 
                institution's faculty members, students, and 
                parents through a variety of means, including 
                the institution's website.
          [(21)](22)* * *
          [(22)](23)* * *
          [(23)](24)(A)* * *

           *       *       *       *       *       *       *

          (C) * * *
          (D) In the case of a proprietary institution of 
        higher education as defined in section 102(b), the 
        institution shall be considered in compliance with the 
        requirements of subparagraph (A) for any student to 
        whom the institution electronically transmits a message 
        containing a voter registration form acceptable for use 
        in the State in which the institution is located, or an 
        Internet address where such a form can be downloaded, 
        if such information is in an electronic message devoted 
        solely to voter registration. 
          (25) In the case of a proprietary institution of 
        higher education as defined in section 102(b), the 
        institution will, as calculated in accordance with 
        subsection (h)(1), have not less than 10 percent of its 
        revenues from sources other than funds provided under 
        this title, or will be subject to the sanctions 
        described in subsection (h)(2).
          (26) Preferred lender lists.
          (A) In general.--In the case of an institution 
        (including an employee or agent of an institution) that 
        maintains a preferred lender list, in print or any 
        other medium, through which the institution recommends 
        one or more specific lenders for loans made under part 
        B to the students attending the institution (or the 
        parents of such students), the institution will--
                          (i) clearly and fully disclose on the 
                        preferred lender list--
                                  (I) why the institution has 
                                included each lender as a 
                                preferred lender, especially 
                                with respect to terms and 
                                conditions favorable to the 
                                borrower; and 
                                  (II) that the students 
                                attending the institution (or 
                                the parents of such, students) 
                                do not have to borrow from a 
                                lender on the preferred lender 
                                list; 
                          (ii) ensure, through the use of the 
                        list provided by the Secretary under 
                        subparagraph (C), that--
                                  (I) there are not less than 3 
                                lenders named on the preferred 
                                lending list that are not 
                                affiliates of each other; and 
                                  (II) the preferred lender 
                                list--
                                          (aa) specifically 
                                        indicates, for each 
                                        lender on the list, 
                                        whether the lender is 
                                        or is not an affiliate 
                                        of each other lender on 
                                        the list; and 
                                          (bb) if the lender is 
                                        an affiliate of another 
                                        lender on the list, 
                                        describes the specifics 
                                        of such affiliation; 
                                        and 
                          (iii) establish a process to ensure 
                        that lenders are placed upon the 
                        preferred lender list on the basis of 
                        the benefits provided to borrowers, 
                        including--
                                  (I) highly competitive 
                                interest rates, teens, or 
                                conditions for loans made under 
                                part B; 
                                  (II) high-quality customer 
                                service for such loans; or 
                                  (III) additional benefits 
                                beyond the standard terms and 
                                conditions for such loans. 
                  (B) Definition of affiliate; control.--
                          (i) Definition of affiliate.--For the 
                        purposes of subparagraph (A)(ii) the 
                        term ``affiliate'' means a person that 
                        controls, is controlled by, or is under 
                        common control with, another person. 
                          (ii) Control.--For purposes of 
                        subparagraph (A)(ii), a person has 
                        control over another person if--
                                  (I) the person directly or 
                                indirectly, or acting through 1 
                                or more others, owns, controls, 
                                or has the power to vote 5 
                                percent or more of any class of 
                                voting securities of such other 
                                person;
                                  (II) the person controls, in 
                                any manner, the election of a 
                                majority of the directors or 
                                trustees of such other person; 
                                or
                                  (III) the Secretary 
                                determines (after notice and 
                                opportunity for a hearing) that 
                                the person directly or 
                                indirectly exercises a 
                                controlling interest over the 
                                management or policies of such 
                                other person.
                  (C) List of lender affiliates.--The 
                Secretary, in consultation with the director of 
                the Federal Deposit Insurance corporation, 
                shall maintain and update a list of lender 
                affiliates of all eligible lenders, and shall 
                provide such list to the eligible institutions 
                for use in carrying out subparagraph (A).

           *       *       *       *       *       *       *

    (c) Audits; Financial Responsibility; Enforcement of 
Standards.--(1) Notwithstanding any other provisions of this 
title, the Secretary shall prescribe such regulations as may be 
necessary to provide for--
          (A)(i) except as provided in clauses (ii) and (iii), 
        a financial audit of an eligible institution with 
        regard to the financial condition of the institution in 
        its entirety, and a compliance audit of such 
        institution with regard to any funds obtained by it 
        under this title or obtained from a student or a parent 
        who has a loan insured or guaranteed by the Secretary 
        under this title, on at least an annual basis and 
        covering the period since the most recent audit, 
        conducted by a qualified, independent organization or 
        person in accordance with standards established by the 
        Comptroller General for the audit of governmental 
        organizations, programs, and functions, and as 
        prescribed in regulations of the Secretary, the results 
        of which shall be submitted to the Secretary and shall 
        be available to cognizant guaranty agencies, eligible 
        lenders, State agencies, and the appropriate State 
        agency notifying the Secretary under subpart 1 of part 
        H, except that the Secretary may modify the 
        requirements of this clause with regard to an 
        institution outside the United States;

           *       *       *       *       *       *       *

    (d) Institutional Requirements for Teach-Outs.--
          (1) In general.--In the event the Secretary initiates 
        the limitation, suspension, or termination of the 
        participation of an institution of higher education in 
        any program under this title under the authority of 
        subsection (c)(1)(F) or initiates an emergency action 
        under the authority of subsection (c)(1)(G) and its 
        prescribed regulations, the Secretary shall require 
        that institution to prepare a teach-out plan for 
        submission to the institution's accrediting agency or 
        association in compliance with section 496(c)(4), the 
        Secretary's regulations on teach-out plans, and the 
        standards of the institution's accrediting agency or 
        association.
          (2) Teach-out plan defined.--In this subsection, the 
        term ``teach-out plan'' means a written plan that 
        provides for the equitable treatment of students if an 
        institution of higher education ceases to operate 
        before all students have completed their program of 
        study, and may include, if required by the 
        institution's accrediting agency or association, an 
        agreement between institutions for such a teach-out 
        plan.
    (e) Violation of Code of Conduct Regarding student Loans.--
          (1) In general.--Upon a finding by the Secretary, 
        after reasonable notice and an opportunity for a 
        hearing, that an institution of higher education that 
        has entered into a program participation agreement with 
        the Secretary under subsection (a) willfully 
        contravened the institution's attestation of compliance 
        with the provisions of subsection (a)(21), the 
        Secretary may impose a penalty described in paragraph 
        (2).
          (2) Penalties.--A violation of paragraph (1) shall 
        result in the limitation, suspension, or termination of 
        the eligibility of the institution for the loan 
        programs under this title.
    [(d)](f) Definition of Eligible Institution.--
    [(e)](g) Construction.--* * *
    (h) Implementation of Nontitle IV Revenue Requirement.
          (1) Calculation. In carrying out subsection (a)(27), 
        a proprietary institution of higher education (as 
        defined in section 102(b)) shall use the cash basis of 
        accounting and count the following funds as from 
        sources of funds other than funds provided under this 
        title:
                  (A) Funds used by students from sources other 
                than funds received under this title to pay 
                tuition, fees, and other institutional charges 
                to the institution, provided the institution 
                can reasonably demonstrate that such funds were 
                used for such purposes.
                  (B) Funds used by the institution to satisfy 
                matching fund requirements for programs under 
                this title.
                  (C) Funds used by a student from savings 
                plans for educational expenses established by 
                or on behalf of the student and which qualify 
                for special tax treatment under the Internal 
                Revenue Code of 1986.
                  (D) Funds paid by a student, or on behalf of 
                a student by a party other than the 
                institution, to the institution for an 
                education or training program that is not 
                eligible for funds under this title, provided 
                that the program is approved or licensed by the 
                appropriate State agency or an accrediting 
                agency recognized by the Secretary.
                  (E) Funds generated by the institution from 
                institutional activities that are necessary for 
                the education and training of the institution's 
                students, if such activities are--
                          (i) conducted on campus or at a 
                        facility under the control of the 
                        institution;
                          (ii) performed under the supervision 
                        of a member of the institution's 
                        faculty; and
                          (iii) required to be performed by all 
                        students in a specific educational 
                        program at the institution.
                  (F) Institutional aid, as follows:
                          (i) In the case of loans made by the 
                        institution, only the amount of loan 
                        repayments received by the institution 
                        during the fiscal year for which the 
                        determination is made.
                          (ii) In the case of scholarships 
                        provided by the institution, only those 
                        scholarship funds provided by the 
                        institution that are--
                                  (I) in the form of monetary 
                                aid based upon the academic 
                                achievements or financial need 
                                of students; and
                                  (II) disbursed during the 
                                fiscal year for which the 
                                determination is made from an 
                                established restricted account 
                                and only to the extent that the 
                                funds in that account represent 
                                designated funds from an 
                                outside source or income earned 
                                on those funds.
                          (iii) In the case of tuition 
                        discounts, only those tuition discounts 
                        based upon the academic achievement or 
                        financial need of students.
          (2) Sanctions.--
                  (A) Failure to meet requirement for 1 year.--
                In addition to such other means of enforcing 
                the requirements of this title as may be 
                available to the Secretary, if an institution 
                fails to meet the requirements of subsection 
                (a)(27) in any year, the Secretary may impose 1 
                or both of the following sanctions on the 
                institution:
                          (i) Place the institution on 
                        provisional certification in accordance 
                        with section 498(h) until the 
                        institution demonstrates, to the 
                        satisfaction of the Secretary, that it 
                        is in compliance with subsection 
                        (a)(27).
                          (ii) Require such other increased 
                        monitoring and reporting requirements 
                        as the Secretary determines necessary 
                        until the institution demonstrates, to 
                        the satisfaction of the Secretary, that 
                        it is in compliance with subsection 
                        (a)(27).
                  (B) Failure to meet requirement for 2 
                years.--An institution that fails to meet the 
                requirements of subsection (a)(27) for 2 
                consecutive years shall be ineligible to 
                participate in the programs authorized under 
                this title until the institution demonstrates, 
                to the satisfaction of the Secretary, that it 
                is in compliance with subsection (a)(27).
          (3) Public availability of information.--The 
        Secretary shall make publicly available, through the 
        means described in subsection (b) of section 131, any 
        institution that fails to meet the requirements of 
        subsection (a)(27) in any year as an institution that 
        is failing to meet the minimum non-Federal source of 
        revenue requirements of such subsection (a)(27).

           *       *       *       *       *       *       *

SEC. 487A. [20 U.S.C. 1094A] REGULATORY RELIEF AND IMPROVEMENT.

    (a) Quality Assurance Program.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (5) Review and evaluation.--The Secretary shall 
        review and evaluate the Quality Assurance Program 
        conducted by each participating institution and, on the 
        basis of that evaluation, make recommendations 
        regarding amendments to this Act that will streamline 
        the administration and enhance the integrity of Federal 
        student assistance programs. Such recommendations shall 
        be submitted to the [Committee on Labor and Human 
        Resources of the Senate and the Committee on Education 
        and the Workforce of the House of 
        Representatives]authorizing committees.
    (b) Regulatory Improvement and Streamlining Experiments.--
          (1) In general.--The Secretary may Continue any 
        experimental sites in existence on the date of 
        enactment of the Higher Education Amendments of 
        [1998]2007. Any activities approved by the Secretary 
        prior to such date that are inconsistent with this 
        section shall be discontinued not later than June 30, 
        [1999]2008.
          [(2) Report.--The Secretary shall review and evaluate 
        the experience of institutions participating as 
        experimental sites during the period of 1993 through 
        1998 under this section (as such section was in effect 
        on the day before the date of enactment of the Higher 
        Education Amendments of 1998), and shall submit a 
        report based on this review and evaluation to the 
        Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives not later than 6 months after 
        the enactment of the Higher Education Amendments of 
        1998. Such report shall include--]
          (2) Report.--The Secretary shall review and evaluate 
        the experience of institutions participating as 
        experimental sites and shall, on a biennial basis, 
        submit a report based on the review and evaluation to 
        the authorizing committees. Such report shall include--
                  (A) * * *

           *       *       *       *       *       *       *

          (3) Selection.--
                  (A) In general.--[Upon the submission of the 
                report required by paragraph (2), the] The 
                Secretary is authorized to periodically select 
                a limited number of additional institutions for 
                voluntary participation as experimental sites 
                to provide recommendations to the Secretary on 
                the impact and effectiveness of proposed 
                regulations or new management initiatives.
                  (B) Consultation.--Prior to approving any 
                additional experimental sites, the Secretary 
                shall consult with the Committee on Labor and 
                Human Resources of the Senate and the Committee 
                on Education and the Workforce of the House of 
                Representatives and shall provide to such 
                Committees--
                          [(i) a list of institutions proposed 
                        for participation in the experiment and 
                        the specific statutory or regulatory 
                        waivers proposed to be granted to each 
                        institution;
                          [(ii) a statement of the objectives 
                        to be achieved through the experiment; 
                        and
                          [(iii) an identification of the 
                        period of time over which the 
                        experiment is to be conducted.]
                  [(C)](B) Waivers.--The Secretary is 
                authorized to waive, for any institution 
                participating as an experimental site under 
                subparagraph (A), any requirements in this 
                title, including requirements related to the 
                award process and disbursement of student 
                financial aid (such as innovative delivery 
                systems for modular or compressed courses, or 
                other innovative systems), verification of 
                student financial aid application data, 
                entrance and exit interviews, or other 
                management procedures or processes as 
                determined in the negotiated rulemaking process 
                under section 492, or regulations prescribed 
                under this title, that will bias the results of 
                the experiment, except that the Secretary shall 
                not waive any provisions with respect award 
                rules (other than an award rule related to an 
                experiment in modular or compressed schedules) 
                grant and loan maximum award amounts, and need 
                analysis requirements unless the waiver of such 
                provisions is authorized by another provision 
                under this title.

           *       *       *       *       *       *       *

SEC. 488. [20 U.S.C. 1095] TRANSFER OF ALLOTMENTS.

    In order to offer an arrangement of types of aid including 
institutional and State aid which best fits the needs of each 
individual student, an institution may (1) transfer a total of 
25 percent of the institution's allotment under section 462 to 
the institution's allotment under section 413D or 442 (or 
both); [and] (2) transfer 25 percent of the institution's 
allotment under section 442 to the institution's allotment 
under section [413D.] 413D; and (3) transfer 25 percent of the 
institution's allotment under section 413D to the institution's 
allotment under section 442. Funds transferred to an 
institution's allotment under another section may be used as a 
part of and for the same purposes as funds allotted under that 
section. The Secretary shall have no control over such 
transfer, except as specifically authorized, except for the 
collection and dissemination of information.

           *       *       *       *       *       *       *

SEC. 489. [20 U.S.C. 1096] ADMINISTRATIVE EXPENSES.

    (a) Amount of Payments.--* * *
    (b) Purpose of Payments.--
          (1) The sums paid to institutions under this part are 
        for the sole purpose of [offsetting the administrative 
        costs of] administering the programs described in 
        subsection (a).
          (2) * * *

           *       *       *       *       *       *       *

SEC. 491. [20 U.S.C. 1098] ADVISORY COMMITTEE ON STUDENT FINANCIAL 
                    ASSISTANCE.

    (a) Establishment and Purpose.--
          (1) * * *
          (2) * * *
                  (A) * * *
                  (B) to provide technical expertise with 
                regard to systems of needs analysis and 
                application forms; [and]
                  (C) to make recommendations that will result 
                in the maintenance of access to postsecondary 
                education for low- and middle-income 
                students[.] ;
                  (D) to provide knowledge and understanding of 
                early intervention programs, and to make 
                recommendations that will result in early 
                awareness by low- and moderate-income students 
                and families--
                          (i) of their eligibility for 
                        assistance under this title; and 
                          (ii) to the extent practicable, of 
                        their eligibility for other forms of 
                        State and institutional need-based 
                        student assistance; and
                  (E) to make recommendations that will expand 
                and improve partnerships among the Federal 
                Government, States, institutions of higher 
                education, and private entities to increase the 
                awareness and the total amount of need-based 
                student assistance available to low- and 
                moderate-income students.
    (b) * * *
    (c) Membership.--
          (1) The Advisory Committee shall have 11 members of 
        which--
                  (A) * * *

           *       *       *       *       *       *       *

          (2) * * *
          (3) The appointment of a member under subparagraph 
        (A) or (B) of paragraph (1) shall be effective upon 
        confirmation of the member by the Senate and 
        publication of such appointment in the Congressional 
        Record.
    (d) Functions of the Committee.--The Advisory Committee 
shall--
          (1) * * *

           *       *       *       *       *       *       *

          (6) recommend to the Congress and to the Secretary 
        such studies, surveys, and analyses of student 
        financial assistance programs, policies, and practices, 
        including the special needs of low-income, 
        disadvantaged, and nontraditional students, and the 
        means by which the needs may be me[, but nothing in 
        this section shall authorize the committee to perform 
        such studies, surveys, or analyses];

           *       *       *       *       *       *       *

    (j) Special Analyses and Activities.--The Advisory 
Committee shall--
          (1) monitor and evaluate the modernization and 
        simplification of student financial aid systems and 
        delivery processes, [including the implementation of a 
        performance-based organization within the Department,] 
        and report to Congress regarding such modernization and 
        simplification on not less than an annual basis, 
        including recommendations for improvement;

           *       *       *       *       *       *       *

          [(4) assess the implications of distance education on 
        student eligibility and other requirements for 
        financial assistance under this title, and make 
        recommendations that will enhance access to 
        postsecondary education through distance education 
        while maintaining access, through on-campus instruction 
        at eligible institutions, and program integrity; and
          [(5) make recommendations to the Secretary regarding 
        redundant or outdated provisions of and regulations 
        under this Act, consistent with the Secretary's 
        requirements under section 498B.]
          (4) conduct a review and analysis of regulations in 
        accordance with subsection (l); and
          (5) conduct a study in accordance with subsection 
        (m).
    (k) Term of the Committee.--Notwithstanding the sunset and 
charter provisions of the Federal Advisory Committee Act (5 
U.S.C. App. I) or any other statute or regulation, the Advisory 
Committee shall be authorized until October 1, [2004] 2013.
    (l) Review and Analysis of Regulations.--
          (1) Recommendations.--The Advisory Committee shall 
        make recommendations to the Secretary and Congress for 
        consideration of future legislative action regarding 
        redundant or outdated regulations under this title, 
        consistent with the Secretary's requirements under 
        section 498B.
          (2) Review and analysis of regulations.--The Advisory 
        Committee shall conduct a review and analysis of the 
        regulations issued under this title that are in effect 
        at the time of the review and that apply to the 
        operations or activities of participants in the 
        programs assisted under this title. The review and 
        analysis may include a determination of whether the 
        regulation is duplicative, is no longer necessary, is 
        inconsistent with other Federal requirements, or is 
        overly burdensome. In conducting the review, the 
        Advisory Committee shall pay specific attention to 
        evaluating ways in which regulations under this title 
        affecting institutions of higher education (other than 
        institutions described in section 102(a)(1)(C)), that 
        have received in each of the 2 most recent award years 
        prior to the date of enactment of the Higher Education 
        Amendments of 2007 less $200,000 in funds through this 
        title, may be improved, streamlined, or eliminated.
          (3) Consultation.--
                  (A) In general.--In carrying out the review 
                and analysis under paragraph (2), the Advisory 
                Committee shall consult with the Secretary, 
                relevant representatives of institutions of 
                higher education, and individuals who have 
                expertise and experience with the regulations 
                issued under this title, in accordance with 
                subparagraph (B).
                  (B) Review panels.--The Advisory Committee 
                shall convene not less than 2 review panels of 
                representatives of the groups involved in 
                student financial assistance programs under 
                this title who have experience and expertise in 
                the regulations issued under this title to 
                review the regulations under this title, and to 
                provide recommendations to the Advisory 
                Committee with respect to the review and 
                analysis under paragraph (2). The panels shall 
                be made up of experts in areas such as the 
                operations of the financial assistance 
                programs, the institutional eligibility 
                requirements for the financial assistance 
                programs, regulations not directly related to 
                the operations or the institutional eligibility 
                requirements of the financial assistance 
                programs, and regulations for dissemination of 
                information to students about the financial 
                assist programs.
          (4) Reports to congress.--The Advisory Committee 
        shall submit, not later than 2 years after the 
        completion of the negotiated rulemaking process 
        required under section 492 resulting from the 
        amendments to this Act made by the Higher Education 
        Amendments of 2007, a report to the authorizing 
        committees and the Secretary detailing the expert 
        panels' findings and recommendations with respect to 
        the review and analysis under paragraph (2).
          (5) Additional support.--The Secretary and the 
        Inspector General of the Department shall provide such 
        assistance and resources to the Advisory Committee as 
        the Secretary and Inspector General determine are 
        necessary to conduct the review required by this 
        subsection.
    (m) Study of Innovative Pathways to Baccalaureate Degree 
Attainment.--
          (1) Study required.--The Advisory Committee shall 
        conduct a study of the feasibility of increasing 
        baccalaureate degree attainment rates by reducing the 
        costs and financial barriers to attaining a 
        baccalaureate degree through innovative programs.
          (2) Scope of study.--The Advisory Committee shall 
        examine new and existing programs that promote 
        baccalaureate degree attainment through innovative 
        ways, such as dual or concurrent enrollment programs, 
        changes made to the Federal Pell Grant program, 
        simplification of the needs analysis process, 
        compressed or modular scheduling, articulation 
        agreements, and programs that allow 2-year institutions 
        of higher education to offer baccalaureate degrees.
          (3) Required aspects of the study.--In performing the 
        study described in this subsection, the Advisory 
        Committee shall examine the following aspects of such 
        innovative programs:
                  (A) The impact of such programs on 
                baccalaureate attainment rates.
                  (B) The degree to which a student's total 
                cost of attaining a baccalaureate degree can be 
                reduced by such programs.
                  (C) The ways in which low- and moderate-
                income students can be specifically targeted by 
                such programs.
                  (D) The ways in which nontraditional students 
                can be specifically targeted by such programs.
                  (E) The cost-effectiveness for the Federal 
                Government, States, and institutions of higher 
                education to implement such programs.
          (4) Consultation.--
                  (A) In general.--In performing the study 
                described in this subsection the Advisory 
                Committee shall consult with a broad range of 
                interested parties in higher education, 
                including parents, students, appropriate 
                representatives of secondary schools and 
                institutions of higher education, appropriate 
                State administrators, administrators of dual or 
                concurrent enrollment programs, and appropriate 
                Department officials.
                  (B) Congressional consultation.--The Advisory 
                Committee shall consult on a regular basis with 
                the authorizing committees in carrying out the 
                study required by this section.
          (5) Reports to congress.--
                  (A) Interim report.--The Advisory Committee 
                shall prepare and submit to the authorizing 
                committees and the Secretary an interim report, 
                not later than 1 year after the date of 
                enactment of the Higher Education Amendments of 
                2007, describing the progress that has been 
                made in conducting the study required by this 
                subsection and any preliminary findings on the 
                topics identified under paragraph (2).
                  (B) Final report.--The Advisory Committee 
                shall, not later than 3 years after the date of 
                enactment of the Higher Education Amendments of 
                2007, prepare and submit to the authorizing 
                committees and the Secretary a final report on 
                the study, including recommendations for 
                legislative, regulatory, and administrative 
                changes based on findings related to the topics 
                identified under paragraph (2).

SEC. 492. [20 U.S.C. 1098A] REGIONAL MEETINGS AND NEGOTIATED 
                    RULEMAKING.

    (a) MEETINGS.--
          (1) In general.--The Secretary shall obtain public 
        involvement in the development of proposed regulations 
        for this title. The Secretary shall obtain the advice 
        of and recommendations from individuals and 
        representatives of the groups involved in student 
        financial assistance programs under this title, such as 
        students, legal assistance organizations that represent 
        students, institutions of higher education, State 
        student grant agencies, guaranty agencies, lenders, 
        secondary markets, loan servicers, guaranty agency 
        servicers, and collection agencies.

           *       *       *       *       *       *       *

SEC. [493B]493A. [20 U.S.C. 1098D] PROCEDURES FOR CANCELLATIONS AND 
                    DEFERMENTS FOR ELIGIBLE DISABLED VETERANS.

           *       *       *       *       *       *       *

SEC. 496. [20 U.S.C. 1099B] RECOGNITION OF ACCREDITING AGENCY OR 
                    ASSOCIATION.

    (a) Criteria Required.-- * * *
          (1) * * *

           *       *       *       *       *       *       *

          [(4) such agency or association consistently applies 
        and enforces standards that ensure that the courses or 
        programs of instruction, training, or study offered by 
        the institution of higher education, including distance 
        education courses or programs, are of sufficient 
        quality to achieve, for the duration of the 
        accreditation period, the stated objective for which 
        the courses or the programs are offered;]
          (4)(A) such agency or association consistently 
        applies and enforces standards that respect the stated 
        mission of the institution of higher education, 
        including religious missions, and that ensure that the 
        courses or programs of instruction, training, or study 
        offered by the institution of higher education, 
        including distance education courses or programs, are 
        of sufficient quality to achieve, for the duration of 
        the accreditation period, the stated objective for 
        which the courses or the programs are offered; and
                  (B) if such agency or association has or 
                seeks to include within its scope of 
                recognition the evaluation of the quality of 
                institutions or programs offering distance 
                education, such agency or association shall, in 
                addition to meeting the other requirements of 
                this subpart, demonstrate to the Secretary 
                that--
                          (i) the agency or association's 
                        standards effectively address the 
                        quality of an institution's distance 
                        education in the areas identified in 
                        section 496(a)(5), except that the 
                        agency or association shall not be 
                        required to have separate standards, 
                        procedures or policies for the 
                        evaluation of distance education 
                        institutions or programs in order to 
                        meet the requirements of this 
                        subparagraph; and
                          (ii) the agency or association 
                        requires an institution that offers 
                        distance education to have processes 
                        through which the institution 
                        establishes that the student who 
                        registers in a distance education 
                        course or program is the same student 
                        who participates in and completes the 
                        program and receives the academic 
                        credit;
          (5) the standards for accreditation of the agency or 
        association assess the institution's--
                  [(A) success with respect to student 
                achievement in relation to the institution's 
                mission, including, as appropriate, 
                consideration of course completion, State 
                licensing examinations, and job placement 
                rates;]
                  (A) success with respect to student 
                achievement in relation to the institution's 
                mission, which may include different standards 
                for different institutions or programs, through 
                the determination of expected levels of student 
                achievement that are established by the 
                institution, and which use, as appropriate, 
                empirical evidence and external indicators with 
                respect to criteria regarding--
                          (i) student retention rates;
                          (ii) course completion rates;
                          (iii) program completion and 
                        graduation rates;
                          (iv) for prebaccalaureate career and 
                        technical education programs, degree 
                        programs leading to initial 
                        professional licensure or 
                        certification, and other programs as 
                        appropriate--
                                  (I) results on State 
                                licensing examinations; and
                                  (II) job placement rates;
                          (v) as appropriate, enrollment in 
                        graduate or professional programs; and
                          (vi) as appropriate, other student 
                        performance information selected by the 
                        institution, particularly information--
                                  (I) used by the institution 
                                to evaluate or strengthen the 
                                institution's programs; and
                                  (II) that reflects the 
                                institution's individual 
                                mission and the institution's 
                                distinctive goals for students;

           *       *       *       *       *       *       *

          [(6) such agency or association shall apply 
        procedures throughout the accrediting process, 
        including evaluation and withdrawal proceedings, that 
        comply with due process, including--
                  [(A) adequate specification of requirements 
                and deficiencies at the institution of higher 
                education or program being examined;
                  [(B) notice of an opportunity for a hearing 
                by any such institution;
                  [(C) the right to appeal any adverse action 
                against any such institution; and
                  [(D) the right to representation by counsel 
                for any such institution;]
          (6) such an agency or association shall establish and 
        apply review procedures throughout the accrediting 
        process, including evaluation and withdrawal 
        proceedings which comply with due process procedures 
        that provide for--
                  (A) adequate specification of requirements 
                and deficiencies at the institution of higher 
                education or program examined;
                  (B) an opportunity for a written response by 
                any such institution to be included, prior to 
                final action, in the evaluation and withdrawal 
                proceedings;
                  (C) upon the written request of an 
                institution, an opportunity for the institution 
                to appeal any adverse action, including denial, 
                withdrawal, suspension, or termination of 
                accreditation, or placement on probation of an 
                institution, at a hearing prior to such action 
                becoming final, before an appeals panel that--
                          (i) shall not include current members 
                        of the agency or association's 
                        underlying decision-making body that 
                        made the adverse decision; and
                          (ii) is subject to a conflict of 
                        interest policy; and
                  (D) the right to representation by counsel 
                for such an institution during an appeal of the 
                adverse action;

           *       *       *       *       *       *       *

          [(8) such agency or association shall make available 
        to the public, upon request, and to the Secretary, and 
        the State licensing or authorizing agency a summary of 
        any review resulting in a final accrediting decision 
        involving denial, termination, or suspension of 
        accreditation, together with the comments of the 
        affected institution.]
          (8) such agency or association shall make available 
        to the public and the State licensing or authorizinq 
        agency, and submit to the Secretary, a summary of 
        agency or association actions, including--
                  (A) the award of accreditation or 
                reaccreditation of an institution;
                  (B) final denial, withdrawal, suspension, or 
                termination of accreditation, or placement on 
                probation of an institution, and any findings 
                made in connection with the action taken, 
                together with the official comments of the 
                affected institution; and
                  (C) any other adverse action, taken with 
                respect to an institution.

           *       *       *       *       *       *       *

    (c) Operating Procedures Required.-- * * *
          (1) performs, at regularly established intervals, on-
        site inspections and reviews of institutions of higher 
        education (which may include unannounced site visits) 
        with particular focus on educational quality and 
        program effectiveness, and ensures that accreditation 
        team members are well-trained and knowledgeable with 
        respect to their responsibilities, including those 
        regarding distance education;
          (2) ensures that the agency or association's on-site 
        evaluation for accreditation or reaccreditation 
        includes review of the Federally required information 
        the institution or program provides its current and 
        prospective students;
          (3) monitors the growth of programs at institutions 
        that are experiencing significant enrollment growth;
          (4) requires an institution to submit a teach-out 
        plan for approval to the accrediting agency upon the 
        occurrence of any of the following events:
                  (A) The Department notifies the accrediting 
                agency of an action against the institution 
                pursuant to section 487(d).
                  (B) The accrediting agency acts to withdraw, 
                terminate, or suspend the accreditation of an 
                institution.
                  (C) The institution notifies the accrediting 
                agency that the institution intends to cease 
                operations.
          [(2)](5) * * *
          [(3)](6) * * *
          [(4)](7) * * *
          [(5)](8) maintains and makes publicly available 
        written materials regarding standards and procedures 
        for accreditation, appeal procedures, and the 
        accreditation status of each institution subject to its 
        jurisdiction; [and]
          [(6)](9) discloses publicly whenever an institution 
        of higher education subject to its jurisdiction is 
        being considered for accreditation or 
        reaccreditation[.]; and
          (10) confirms, as a part of the agency or 
        association's review for accreditation or 
        reaccreditation, that the institution has transfer of 
        credit policies--
                  (A) that are publicly disclosed; and
                  (B) that include a statement of whether the 
                institution denies a transfer of credit based 
                solely on the accreditation of the sending 
                institution.

           *       *       *       *       *       *       *

    (g) Limitation on Scope of Criteria.--Nothing in this Act 
shall be construed to permit the Secretary to establish 
criteria for accrediting agencies or associations that are not 
required by this section. Nothing in this Act shall be 
construed to prohibit or limit any accrediting agency or 
association from adopting additional standards not provided for 
in this section. Nothing in this section shall be construed to 
permit the Secretary to establish any criteria that specifies, 
defines, or prescribes the standards that accrediting agencies 
or associations shall use to assess any institution's success 
with respect to student achievement.

           *       *       *       *       *       *       *

SEC. 498. [20 U.S.C. 1099C] ELIGIBILITY AND CERTIFICATION PROCEDURES.

    (a) General Requirement.--* * *

           *       *       *       *       *       *       *

    (d) Administrative Capacity Standard.--The Secretary is 
authorized--
          (1) * * *
                  (A) * * *
                  (B) maintenance of records; and

           *       *       *       *       *       *       *

    (j) Treatment of Branches.--
          (1) * * *

           *       *       *       *       *       *       *

    (k) Treatment of Teach-Outs at Additional Locations.--
          (1) In general.--A location of a closed institution 
        of higher education shall be eligible as an additional 
        location of an eligible institution of higher 
        education, as defined pursuant to regulations of the 
        Secretary, for the purposes of a teach-out, if such 
        teach-out has been approved by the institution's 
        accrediting agency.
          (2) Special rule.--An institution of higher education 
        that conducts a teach-out through the establishment of 
        an additional location described in paragraph (1) shall 
        be permitted to establish a permanent additional 
        location at a closed institution and shall not be 
        required--
                  (A) to meet the requirements of sections 
                102(b)(1)(E) and 102(c)(1)(C) for such 
                additional location; or
                  (B) to assume the liabilities of the closed 
                institution.

           *       *       *       *       *       *       *

SEC. 498A. [20 U.S.C. 1099C-1] PROGRAM REVIEW AND DATA.

    (a) General Authority.--* * *

           *       *       *       *       *       *       *

     (b) Special Administrative Rules.--* * *
          (1) * * *

           *       *       *       *       *       *       *

          (4) base any civil penalty assessed against an 
        institution of higher education resulting from a 
        program review or audit on the gravity of the 
        violation, failure, or misrepresentation; [and]
          (5) inform the appropriate State and accrediting 
        agency or association whenever the Secretary takes 
        action against an institution of higher education under 
        this section, section 498, or section 432[.];
          (6) provide to an institution of higher education an 
        adequate opportunity to review and respond to any 
        program review report and relevant materials related to 
        the report before any final program review report is 
        issued;
          (7) review and take into consideration an institution 
        of higher education's response in any final program 
        review report or audit determination, and include in 
        the report or determination--
                  (A) a written statement addressing the 
                institution of higher education's response;
                  (B) a written statement of the basis for such 
                report or determination; and
                  (C) a copy of the institution's response; and
          (8) maintain and preserve at all times the 
        confidentiality of any program review report until the 
        requirements of paragraphs (6) and (7) are met, and 
        until a final program review is issued, other than to 
        the extent required to comply with paragraph (5), 
        except that the Secretary shall promptly disclose any 
        and all program review reports to the institution of 
        higher education under review.

           *       *       *       *       *       *       *

SEC. 498B. [20 U.S.C. 1099C-2] REVIEW OF REGULATIONS.

    (a) Review Required.--* * *

           *       *       *       *       *       *       *

    (d) Reports to Congress.--
          (1) In general.--The Secretary shall submit not later 
        than 1 year after the date of the enactment of the 
        Higher Education Amendments of 1998, a report to the 
        [Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives]authorizing committees 
        detailing the Secretary's findings and recommendations 
        based on the reviews conducted under subsections (a) 
        and (b), including a timetable for implementation of 
        any recommended changes in regulations and a 
        description of any recommendations for legislative 
        changes.
          (2) Additional reports.--Not later than January 1, 
        2003, the Secretary shall submit a report to the 
        [Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives]authorizing committees 
        detailing the Secretary's findings and recommendations 
        based on the review conducted under subsection (a), 
        including a timetable for implementation of any 
        recommended changes in regulations and a description of 
        any recommendations for legislative changes.

           *       *       *       *       *       *       *

SEC. 499A. ACCESS TO TIMELY INFORMATION ABOUT LOANS.

    (a) Regular Bill Providing Pertinent Information About a 
Loan.--A lender of a loan made, insured, or guaranteed under 
this title shall provide the borrower of such loan a bill each 
month or, in the case of a loan payable less frequently than 
monthly, a bill that corresponds to each payment installment 
time period, including a clear and conspicuous notice of--
          (1) the borrower's principal borrowed;
          (2) the borrower's current balance;
          (3) the interest rate on such loan;
          (4) the amount the borrower has paid in interest;
          (5) the amount of additional interest payments the 
        borrower is expected to pay over the life of the loan;
          (6) the total amount the borrower has paid for the 
        loan, including the amount the borrower has paid in 
        interest, the amount the borrower has paid in fees, and 
        the amount the borrower has paid against the balance, 
        in a brief, borrower-friendly manner;
          (7) a description of each fee the borrower has been 
        charged for the current payment period;
          (8) the date by which the borrower needs to make a 
        payment in order to avoid additional fees;
          (9) the amount of such payment that will be applied 
        to the interest, the balance, and any fees on the loan; 
        and
          (10) the lender's address and toll-free phone number 
        for payment and billing error purposes.
    (b) Information Provided Before Commencement of 
Repayment.--A lender of a loan made, insured, or guaranteed 
under this title shall provide to the borrower of such loan, at 
least one month before the loan enters repayment, a clear and 
conspicuous notice of not less than the following information:
          (1) The borrower's options, including repayment 
        plans, deferments, forbearances, and discharge options 
        to which the borrower may be entitled.
          (2) The conditions under which a borrower may be 
        charged any fee, and the amount of such fee.
          (3) The conditions under which a loan may default, 
        and the consequences of default.
          (4) Resources, including nonprofit organizations, 
        advocates, and counselors (including the Office of the 
        Ombudsman at the Department), where borrowers can 
        receive advice and assistance, if such resources exist.
    (c) Information Provided During Delinquency.--In addition 
to any other information required under law, a lender of a loan 
made, insured, or guaranteed under this title shall provide a 
borrower in delinquency with a clear and conspicuous notice of 
the date on which the loan will default if no payment is made, 
the minimum payment that must be made to avoid default, 
discharge options to which the borrower may be entitled, 
resources, including nonprofit organizations, advocates, and 
counselors (including the Office of the Ombudsman at the 
Department), where borrowers can receive advice and assistance, 
if such resources exist.
    (d) Information Provided During Default.--A lender of a 
loan made, insured, or guaranteed under this title shall 
provide a borrower in default, on not less than 2 separate 
occasions, with a clear and conspicuous notice of not less than 
the following information:
          (1) The options available to the borrower to be 
        removed from default.
          (2) The relevant fees and conditions associated with 
        each option.

           *       *       *       *       *       *       *

                    TITLE V--DEVELOPING INSTITUTIONS

                 PART A--HISPANIC-SERVING INSTITUTIONS

SEC. 501. [20 U.S.C. 1101] FINDINGS; PURPOSE; AND PROGRAM AUTHORITY.

    (a) Findings.--* * *

           *       *       *       *       *       *       *

SEC. 503. [20 U.S.C. 1101B] AUTHORIZED ACTIVITIES.

    (a) Types of Activities Authorized.--* * *
    (b) Authorized Activities.--* * *
           * * *

           *       *       *       *       *       *       *

          (5) Tutoring, counseling, and student service 
        programs designed to improve academic success, 
        including innovative, customized remedial education and 
        English language instruction courses designed to help 
        retain students and move the students rapidly into core 
        courses and through program completion.
          (6) Education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents.
          (7) Articulation agreements and student support 
        programs designed to facilitate the transfer from 2-
        year to 4-year institutions.
          [(6)](8) * * *
          [(7)](9) * * *
          [(8)](10) * * *
          [(9)](11) * * *
          [(10)](12) Creating or improving facilities for 
        Internet or other [distance learning academic 
        instruction capabilities]distance education 
        technologies, including purchase or rental of 
        telecommunications technology equipment or services.
          [(11)](13) * * *
          [(12)](14) * * *
          [(13)](15) * * *
          [(14)](16) * * *

           *       *       *       *       *       *       *

SEC. 505. [20 U.S.C. 1101D] SPECIAL RULE.

           *       *       *       *       *       *       *

    PART B--PROMOTING POSTBACCALAUREATE OPPORTUNITIES FOR HISPANIC 
                               AMERICANS

SEC. 511. PROGRAM AUTHORITY AND ELIGIBILITY.

    (a) Program Authorized.--Subject to the availability of 
funds appropriated to carry out this part, the Secretary shall 
award grants, on a competitive basis, to eligible institutions 
to enable the eligible institutions to carry out the authorized 
activities described in section 512.
    (b) Eligibility.--For the purposes of this part, an 
``eligible institution'' means an institution of higher 
education that--
          (1) is a Hispanic-serving institution (as defined in 
        section 502); and
          (2) offers a postbaccalaureate certificate or degree 
        granting program.

SEC. 512. AUTHORIZED ACTIVITIES.

    Grants awarded under this part shall be used for 1 or more 
of the following activities:
          (1) Purchase, rental, or lease of scientific or 
        laboratory equipment for educational purposes, 
        including instructional and research purposes.
          (2) Construction, maintenance, renovation, and 
        improvement in classroom, library, laboratory, and 
        other instructional facilities, including purchase or 
        rental of telecommunications technology equipment or 
        services.
          (3) Purchase of library books, periodicals, technical 
        and other scientific journals, microfilm, microfiche, 
        and other educational materials, including 
        telecommunications program materials.
          (4) Support for needy postbaccalaureate students, 
        including outreach, academic support services, 
        mentoring, scholarships, fellowships, and other 
        financial assistance, to permit the enrollment of such 
        students in postbaccalaureate certificate and degree 
        granting programs.
          (5) Support of faculty exchanges, faculty 
        development, faculty research, curriculum development, 
        and academic instruction.
          (6) Creating or improving facilities for Internet or 
        other distance education technologies, including 
        purchase or rental of telecommunications technology 
        equipment or services.
          (7) Collaboration with other institutions of higher 
        education to expand postbaccalaureate certificate and 
        degree offerings.
          (8) Other activities proposed in the application 
        submitted pursuant to section 513 that are approved by 
        the Secretary as part of the review and acceptance of 
        such application.

SEC. 513. APPLICATION AND DURATION.

    (a) Application.--Any eligible institution may apply for a 
grant under this part by submitting an application to the 
Secretary at such time and in such manner as the Secretary may 
require. Such application shall demonstrate how the grant funds 
will be used to improve post-baccalaureate education 
opportunities for Hispanic and low-income students and will 
lead to such students' greater financial independence.
    (b) Duration.--Grants under this part shall be awarded for 
a period not to exceed 5 years.
    (c) Limitation.--The Secretary may not award more than 1 
grant under this part in any fiscal year to any Hispanic-
serving institution.

           *       *       *       *       *       *       *

                   [PART B]PART C--GENERAL PROVISIONS

SEC. [511]521. [20 U.S.C. 1103] ELIGIBILITY; APPLICATIONS.

    (a) Institutional eligibility.--* * *
    (b) Applications.--
          (1) Applications Required.--* * *
                  (A) the application meets the requirements of 
                [subsection (b)]subsection (c); and

           *       *       *       *       *       *       *

SEC. [512]522. [20 U.S.C. 1103A] WAIVER AUTHORITY AND REPORTING 
                    REQUIREMENT.

           *       *       *       *       *       *       *

SEC. [513]523. [20 U.S.C. 1103B] APPLICATION REVIEW PROCESS.

           *       *       *       *       *       *       *

SEC. [514]524. [20 U.S.C. 1103C] COOPERATIVE ARRANGEMENTS.

    (a) General Authority.--The Secretary may make grants to 
encourage cooperative arrangements with funds available to 
carry out this title, between Hispanic-serving institutions 
eligible for assistance under this title, and between such 
institutions and institutions not receiving assistance under 
this title, for the activities described in [section 
503]sections 503 and 512 so that the resources of the 
cooperating institutions might be combined and shared in order 
to achieve the purposes of this title, to avoid costly 
duplicative efforts, and to enhance the development of 
Hispanic-serving institutions.

           *       *       *       *       *       *       *

SEC. [515]525. [20 U.S.C. 1103D] ASSISTANCE TO INSTITUTIONS UNDER OTHER 
                    PROGRAMS.

           *       *       *       *       *       *       *

SEC. [516]526. [20 U.S.C. 1103E] LIMITATIONS.

           *       *       *       *       *       *       *

SEC. [517]527. [20 U.S.C. 1103F] PENALTIES.

           *       *       *       *       *       *       *

SEC. [518]528. [20 U.S.C. 1103G] AUTHORIZATIONS OF APPROPRIATIONS.

    [(a) Authorizations.--](a) Authorizations._
          (1) Part A._There are authorized to be appropriated 
        to carry out part A of this title [$62,500,000 for 
        fiscal year 1999 and such sums as may be necessary for 
        each of the 4 succeeding fiscal years.]such sums as may 
        be necessary for fiscal year 2008 and each of the 5 
        succeeding fiscal years.
          (2) Part b--There are authorized to be appropriated 
        to carry out part B of this title such sums as may be 
        necessary for fiscal year 2008 and each of the 5 
        succeeding fiscal years.

           *       *       *       *       *       *       *

               TITLE VI--INTERNATIONAL EDUCATION PROGRAMS

           PART A--INTERNATIONAL AND FOREIGN LANGUAGE STUDIES

SEC. 601. [20 U.S.C. 1121] FINDINGS [AND PURPOSES]; PURPOSES; 
                    CONSULTATION; SURVEY.

    (a) Findings.--Congress finds as follows:
          (1) * * *

           *       *       *       *       *       *       *

          (3) Dramatic [post-Cold War] changes in the world's 
        geopolitical and economic landscapes are creating needs 
        for American expertise and knowledge about a greater 
        diversity of less commonly taught foreign languages and 
        nations of the world.

           *       *       *       *       *       *       *

    (b) Purposes.--The purposes of this part are--
          (1)(A) * * *

           *       *       *       *       *       *       *

          (D) to promote access to research and training 
        overseas, including through linkages with overseas 
        institutions; and

           *       *       *       *       *       *       *

    (c) Consultation.--The Secretary shall, prior to requesting 
applications for funding under this title during each grant 
cycle, consult with and receive recommendations regarding 
national need for expertise in foreign languages and world 
regions from the head officials of a wide range of Federal 
agencies. Such agencies shall provide information to the 
Secretary regarding how the agencies utilize expertise and 
resources provided by grantees under this title. The Secretary 
shall take into account such recommendations and information 
when requesting applications for funding under this title, and 
shall make available to applicants a list of areas identified 
as areas of national need.
    (d) Survey.--The Secretary shall assist grantees in 
developing a survey to administer to students who have 
participated in programs under this title to determine 
postgraduation placement. All grantees, where applicable, shall 
administer such survey not less often than annually and report 
such data to the Secretary.

           *       *       *       *       *       *       *

SEC. 602. [20 U.S.C. 1122] GRADUATE AND UNDERGRADUATE LANGUAGE AND AREA 
                    CENTERS AND PROGRAMS.

    (a) National Language and Area Centers and Programs 
Authorized.--
          (1) Centers and programs.--
                  (A) In general.--* * *

           *       *       *       *       *       *       *

          (2) Authorized activities.--* * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (G) summer institutes in the United States or 
                abroad designed to provide language and area 
                training in the center's field or topic; [and]
                  (H) support for faculty, staff, and student 
                travel in foreign areas, regions, or countries, 
                and for the development and support of 
                educational programs abroad for students[.]; 
                and
                  (I) support for instructors of the less 
                commonly taught languages.

           *       *       *       *       *       *       *

          (4) Outreach grants and summer institutes.--* * *
                  (A) * * *
                  (B) * * *
                  (C) Programs of linkage or outreach between 
                or among--
                          (i) foreign language, area studies, 
                        or other international fields; and
                          (ii) State educational agencies or 
                        local educational agencies.
                  [(C)](D) Programs of linkage or outreach with 
                departments or agencies of Federal and State 
                governments, including Federal or State 
                scholarship programs for students in related 
                areas.
                  [(D)](E) * * *
                  [(E)](F) Summer institutes in foreign area, 
                foreign language, and other international 
                fields designed to carry out the programs of 
                linkage and outreach described in subparagraphs 
                (A), (B), (C), [and (D)](D), and (E).
    (b) [Graduate] Fellowships for Foreign Language and Area or 
International Studies.--
          (1) In general.--* * *
          [(2) Eligible students.--Students receiving stipends 
        described in paragraph (1) shall be individuals who are 
        engaged in an instructional program with stated 
        performance goals for functional foreign language use 
        or in a program developing such performance goals, in 
        combination with area studies, international studies, 
        or the international aspects of a professional studies 
        program, including predissertation level studies, 
        preparation for dissertation research, dissertation 
        research abroad, and dissertation writing.]
          (2) Eligible students.--A student receiving a stipend 
        described in paragraph (1) shall be engaged--
                  (A) in an instructional program with stated 
                performance goals, for functional foreign 
                language use or in a program developing such 
                performance goals, in combination with area 
                studies, international studies, or the 
                international aspects of a professional studies 
                program; and
                   (B)(i) in the case of an undergraduate 
                student, in the intermediate or advanced study 
                of a less commonly taught language; or
                  (ii) in the case of a graduate student, in 
                graduate study in connection with a program 
                described in subparagraph (A), including--
                          (I) predissertation level study;
                          (II) preparation for dissertation 
                        research;
                          (III) dissertation research abroad; 
                        or
                          (IV) dissertation writing.

           *       *       *       *       *       *       *

    [(d) Allowances.--Stipends awarded to graduate level 
recipients may include allowances for dependents and for travel 
for research and study in the United States and abroad.]
    (d) Allowances.--
          (1) Graduate level recipients.--A stipend awarded to 
        a graduate level recipient may include allowances for 
        dependents and for travel for research and study in the 
        United States and abroad.
          (2) Undergraduate level recipients.--A stipend 
        awarded to an undergraduate level recipient may include 
        an allowance for educational programs in the United 
        States or educational programs abroad that--
                  (A) are closely linked to the overall goals 
                of the recipient's course of study; and
                  (B) have the purpose of promoting foreign 
                language fluency and knowledge of foreign 
                cultures.
    (e) Application.--Each institution or combination of 
institutions desiring a grant under this section shall submit 
an application to the Secretary at such time, in such manner, 
and accompanied by such information and assurances as the 
Secretary may require. Each application shall include an 
explanation of how the activities funded by the grant will 
reflect diverse perspectives and a wide range of views and 
generate debate on world regions and international affairs. 
Each application shall also describe how the applicant will 
address disputes regarding whether activities funded under the 
application reflect diverse perspectives and a wide range of 
views. Each application shall also include a description of how 
the applicant will encourage government service in areas of 
national need, as identified by the Secretary, as well as in 
needs in the education, business, and nonprofit sectors.

           *       *       *       *       *       *       *

SEC. 604. [20 U.S.C. 1124] UNDERGRADUATE INTERNATIONAL STUDIES AND 
                    FOREIGN LANGUAGE PROGRAMS.

    (a) Incentives for the Creation of New Programs and the 
Strengthening of Existing Programs in Undergraduate 
International Studies and Foreign Language Programs.--
          (1) Authority.--* * *
          (2) Use of funds.--* * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (H) * * *
                  (I) providing subgrants to undergraduate 
                students for educational programs abroad that--
                          (i) are closely linked to the overall 
                        goals of the program for which the 
                        grant is awarded; and
                          (ii) have the purpose of promoting 
                        foreign language fluency and knowledge 
                        of foreign cultures;
                  [(I)](J) * * *
                  [(J)](K) * * *
                  [(K)](L) * * *
                  [(L)](M) * * *

           *       *       *       *       *       *       *

                  [(M)](N) * * *

           *       *       *       *       *       *       *

          (7) Application.--* * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) an assurance that students at the 
                applicant institutions, as appropriate, will 
                have equal access to, and derive benefits from, 
                the program assisted under this subsection; 
                [and]
                  (D) an assurance that each institution, 
                combination or partnership will use the Federal 
                assistance provided under this subsection to 
                supplement and not supplant non-Federal funds 
                the institution expends for programs to improve 
                undergraduate instruction in international 
                studies and foreign language[.];
                  (E) a description of how the applicant will 
                provide information to students regarding 
                federally funded scholarship programs in 
                related areas;
                  (F) an explanation of how the activities 
                funded by the grant will reflect diverse 
                perspectives and a wide range of views and 
                generate debate on world regions and 
                international affairs, where applicable;
                  (G) a description of how the applicant will 
                address disputes regarding whether the 
                activities funded under the application reflect 
                diverse perspectives and a wide range of views; 
                and
                  (H) a description of how the applicant will 
                encourage service in areas of national need as 
                identified by the Secretary.

           *       *       *       *       *       *       *

    (c) [Funding Support.--The Secretary]Funding Support.--
          (1) The secretary._The Secretary may use not more 
        than [10] 20 percent of the total amount appropriated 
        for this part for carrying out the purposes of this 
        section.
          (2) Grantees.--Of the total amount of grant funds 
        awarded to a grantee under this section, the grantee 
        may use not more than 10 percent of such funds for the 
        activity described in subsection (a)(2)(I).

           *       *       *       *       *       *       *

SEC. 605. [20 U.S.C. 1125] RESEARCH; STUDIES; ANNUAL REPORT.

    (a) Authorized Activities.--* * *
          (1) * * *

           *       *       *       *       *       *       *

          (8) studies and evaluations of effective practices in 
        the dissemination of international information, 
        materials, research, teaching strategies, and testing 
        techniques throughout the education community, 
        including elementary and secondary schools; [and]
          (9) the application of performance tests and 
        standards across all areas of foreign language 
        instruction and classroom use[.];
          (10) evaluation of the extent to which programs 
        assisted under this title reflect diverse perspectives 
        and a wide range of views and generate debate on world 
        regions and international affairs;
          (11) the systematic collection, analysis, and 
        dissemination of data that contribute to achieving the 
        purposes of this part; and
          (12) support for programs or activities to make data 
        collected, analyzed, or disseminated under this section 
        publicly available and easy to understand.

           *       *       *       *       *       *       *

SEC. 606. [20 U.S.C. 1126] TECHNOLOGICAL INNOVATION AND COOPERATION FOR 
                    FOREIGN INFORMATION ACCESS.

    (a) [Authority.--The Secretary] Authority._
          (1) In general.--The Secretary is authorized to make 
        grants to institutions of higher education, public or 
        nonprofit private libraries, or consortia of such 
        institutions or libraries, to develop innovative 
        techniques or programs using [new electronic 
        technologies]electronic technologies to collect, 
        organize, preserve, and widely disseminate information 
        from foreign sources on world regions and countries 
        other than the United States that address our Nation's 
        teaching and research needs in international education 
        and foreign languages.
          (2) Partnerships with not-for-profit educational 
        organizations.--The Secretary may award grants under 
        this section to carry out the activities authorized 
        under this section to the following:
                  (A) An institution of higher education.
                  (B) A public or nonprofit private library.
                  (C) A consortium of an institution of higher 
                education and 1 or more of the following:
                          (i) Another institution of higher 
                        education.
                          (ii) A library.
                          (iii) A not-for-profit educational 
                        organization.
    (b) Authorized Activities.--Grants under this section may 
be used--
           [to facilitate access to]to acquire, facilitate 
        access to, or preserve foreign information resources in 
        print or electronic forms;
          (2) to develop new means of or standards for 
        immediate, full-text document delivery for information 
        and scholarship from abroad;

           *       *       *       *       *       *       *

          (6) to assist teachers of less commonly taught 
        languages in acquiring, via electronic and other means, 
        materials suitable for classroom use; [and]
          (7) to promote collaborative technology based 
        projects in foreign languages, area studies, and 
        international studies among grant recipients under this 
        title[.];
          (8) to establish linkages to facilitate carrying out 
        the activities described in this subsection between--
                  (A) the institutions of higher education, 
                libraries, and consortia receiving grants under 
                this section; and
                  (B) institutions of higher education, not-
                for-profit educational organizations, and 
                libraries overseas; and
          (9) to carry out other activities that the Secretary 
        determines are consistent with the purpose of the 
        grants or contracts awarded under this section.
    (c) Application.--Each [institution or 
consortium]institution of higher education, library, or 
consortium desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
accompanied by such information and assurances as the Secretary 
may reasonably require.

           *       *       *       *       *       *       *

SEC. 607. [20 U.S.C. 1127] SELECTION OF CERTAIN GRANT RECIPIENTS.

    (a) Competitive Grants.--The Secretary shall award grants 
under section 602 competitively on the basis of criteria that 
separately, but not less rigorously, [evaluates the 
applications for comprehensive and undergraduate language and 
area centers and programs.]evaluates--
          (1) the applications for comprehensive foreign 
        language and area or international studies centers and 
        programs; and
          (2) the applications for undergraduate foreign 
        language and area or international studies centers and 
        programs.
    (b) Selection Criteria.--The Secretary shall set criteria 
for grants awarded under section 602 by which a determination 
of excellence shall be made to meet the differing objectives of 
graduate and undergraduate institutions. The Secretary shall 
also consider an applicant's record of placing students into 
service in areas of national need and an applicant's stated 
efforts to increase the number of such students that go into 
such service.

           *       *       *       *       *       *       *

SEC. 609. [20 U.S.C. 1128A] AMERICAN OVERSEAS RESEARCH CENTERS.

    (a) Centers Authorized.--* * *

           *       *       *       *       *       *       *

    (e) Application.--Each center desiring a grant under this 
section shall submit an application to the Secretary at such 
time, in such manner, and accompanied by such information and 
assurances as the Secretary may require.

           *       *       *       *       *       *       *

SEC. 610. [20 U.S.C. 1128B] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to carry out this 
part [$80,000,000 for fiscal year 1999, and such sums as may be 
necessary for each of the 4 succeeding fiscal years.]such sums 
as may be necessary for fiscal year 2008 and each of the 5 
succeeding fiscal years.

           *       *       *       *       *       *       *

         PART B--BUSINESS AND INTERNATIONAL EDUCATION PROGRAMS 

SEC. 611. [20 U.S.C. 1130] FINDINGS AND PURPOSES.

    (a) Findings.--* * *

           *       *       *       *       *       *       *

SEC. 612. [20 U.S.C. 1130-1] CENTERS FOR INTERNATIONAL BUSINESS 
                    EDUCATION.

    (a) Program Authorized.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

    (f) Grant Conditions.--* * *
          (1) * * *

           *       *       *       *       *       *       *

          (3) assurance that the education and training 
        programs of the center will be open to students 
        concentrating in each of these respective areas, as 
        appropriate, and that diverse perspectives will be made 
        available to students in programs under this section; 
        and

SEC. 613. [20 U.S.C. 1130A] EDUCATION AND TRAINING PROGRAMS.

    (a) Program Authorized.--* * *

           *       *       *       *       *       *       *

    (c) Applications.--No grant may be made and no contract may 
be entered into under this section unless an institution of 
higher education submits an application to the Secretary at 
such time and in such manner as the Secretary may reasonably 
require. Each such application shall be accompanied by a copy 
of the agreement entered into by the institution of higher 
education with a business enterprise, trade organization or 
association engaged in international economic activity, or a 
combination or consortium of such enterprises, organizations or 
associations, for the purpose of establishing, developing, 
improving or expanding activities eligible for assistance under 
subsection (b) of this section. Each such application shall 
contain assurances that the institution of higher education 
will use the assistance provided under this section to 
supplement and not to supplant activities conducted by 
institutions of higher education described in subsection (b). 
Each such application shall include an assurance that, where 
applicable, the activities funded by the grant will reflect 
diverse perspectives and a wide range of views on world regions 
and international affairs.

           *       *       *       *       *       *       *

SEC. 614. [20 U.S.C. 1130B] AUTHORIZATION OF APPROPRIATIONS.

    (a) Centers for International Business Education.--There 
are authorized to be appropriated [$11,000,000 for the fiscal 
year 1999 and such sums as may be necessary for each of the 4 
succeeding fiscal years]such sums as may be necessary for 
fiscal year 2008 and each of the 5 succeeding fiscal years to 
carry out the provisions of section 612.
    (b) Education and Training Programs.--There are authorized 
to be appropriated [$7,000,000 for fiscal year 1999, and such 
sums as may be necessary for the 4 succeeding fiscal 
years,]such sums as may be necessary for fiscal year 2008 and 
each of the 5 succeeding fiscal years to carry out the 
provisions of section 613.

           *       *       *       *       *       *       *

           PART C--INSTITUTE FOR INTERNATIONAL PUBLIC POLICY

SEC. 621. [20 U.S.C. 1131] MINORITY FOREIGN SERVICE PROFESSIONAL 
                    DEVELOPMENT PROGRAM.

    (a) Establishment.--* * *

           *       *       *       *       *       *       *

    (c) Application.--Each eligible recipient desiring a grant 
under this section shall submit an application at such time, in 
such manner, and accompanied by such information as the 
Secretary may reasonably require. Each application shall 
include a description of how the activities funded by the grant 
will reflect diverse perspectives and a wide range of views on 
world regions and international affairs, where applicable.

           *       *       *       *       *       *       *

    (e) [Match Required.--The eligible]Matching Funds._
          (1) In general.--Subject to paragraph (2), the 
        eligible recipient of a grant under this section shall 
        contribute to the conduct of the program supported by 
        the grant an amount from non-Federal sources equal to 
        at least one-half the amount of the grant, which 
        contribution may be in cash or in kind.
          (2) Waiver.--The Secretary may waive the requirement 
        of paragraph (1) for an eligible recipient if the 
        Secretary determines such waiver is appropriate.

           *       *       *       *       *       *       *

SEC. 622. [20 U.S.C. 1131-1] INSTITUTIONAL DEVELOPMENT.

    (a) In General.--The Institute shall award grants, from 
amounts available to the Institute for each fiscal year, to 
historially Black colleges and universities, Hispanic-serving 
institutions, [Tribally Controlled Colleges or Universities], 
tribally controlled colleges or universities and minority 
institutions, to enable such colleges, universities, and 
institutions to strengthen [international affairs 
programs.]international affairs, international business, and 
foreign language study programs, including the teaching of 
foreign languages, at such colleges, universities, and 
institutions, respectively, which may include collaboration 
with institutions of higher education that receive funding 
under this title.

           *       *       *       *       *       *       *

    (c) Definitions.--In this section--
          [(1) the term ``historically Black college and 
        university'' has the meaning given the term in section 
        322;]
          [(2)](1) the term ``Hispanic-serving institution'' 
        has the meaning given the term in section 502; and
          [(3) the term ``Tribally Controlled College or 
        University'' has the meaning given the term in section 
        2 of the Tribally Controlled College or University 
        Assistance Act of 1978 (25 U.S.C. 1801); and]
          [(4)](2)the term ``minority institution'' has the 
        meaning given the term in section 365.

           *       *       *       *       *       *       *

SEC. 623. [20 U.S.C. 1131A] STUDY ABROAD PROGRAM.

    (a) Program Authority.--The Institute shall conduct, by 
grant or contract, a junior year abroad program. The junior 
year abroad program shall be open to eligible students at 
institutions of higher education, including historically Black 
colleges and universities [as defined in section 322 of this 
Act], [tribally controlled Indian community colleges as defined 
in the Tribally Controlled Community College Assistance Act of 
1978], tribally controlled colleges or universities and other 
institutions of higher education with significant minority 
student populations. Eligible student expenses shall be shared 
by the Institute and the institution at which the student is in 
attendance. Each student may spend not more than 9 months 
abroad in a program of academic study, as well as social, 
familial and political interactions designed to foster an 
understanding of and familiarity with the language, culture, 
economics and governance of the host country.

           *       *       *       *       *       *       *

SEC. 624. [20 U.S.C. 1131B] [MASTERS] ADVANCED DEGREE IN INTERNATIONAL 
                    RELATIONS.

    The Institute shall provide, in cooperation with the other 
members participating in the eligible recipient consortium, a 
program of study leading to a masters degree, and in 
exceptional circumstances, a doctoral degree,  in international 
relations. The [masters degree]advanced degree program designed 
by the consortia shall be reviewed and approved by the 
Secretary. The Institute may grant fellowships in an amount not 
to exceed the level of support comparable to that provided by 
the National Science Foundation graduate fellowships, except 
such amount shall be adjusted as necessary so as not to exceed 
the fellow's demonstrated level of need according to 
measurement of need approved by the Secretary. A fellowship 
recipient shall agree to undertake full-time study and to enter 
the international service (including work with private 
international voluntary organizations) or foreign service of 
the [United States] United States.

           *       *       *       *       *       *       *

SEC. 625. [20 U.S.C. 1131C] INTERNSHIPS.

    (a) In General.--The Institute shall enter into agreements 
with historically Black colleges and universities [as defined 
in section 322 of this Act], [tribally controlled Indian 
community colleges as defined in the Tribally Controlled 
Community College Assistance Act of 1978], tribally controlled 
colleges or universities, other institutions of higher 
education with significant numbers of minority students, and 
institutions of higher education with programs in training 
foreign service professionals, to provide academic year 
internships during the junior and senior year and summer 
internships following the sophomore and junior academic years, 
by work placements with [an international] international 
voluntary or government organizations or agencies, including 
the Agency for International Development, [the United States 
Information Agency] the Department of State, the International 
Monetary Fund, the National Security Council, the Organization 
of American States, the Export-Import Bank, the Overseas 
Private Investment Corporation, the Department of State, Office 
of the United States Trade Representative, the World Bank, and 
the United Nations.

           *       *       *       *       *       *       *

    (c) Interagency Committee on Minority Careers in 
Inernational Affairs.--
          (1) Establishment.--* * *
                  (A) * * *
                  (E) the Director General of the Foreign 
                Service of the Department of State, or the 
                Director General's designee; and
                  (F) the General Counsel of the Agency for 
                International Development, or the General 
                Counsel's designee[; and].
                  [(G) the Associate Director for Educational 
                and Cultural Affairs of the United States 
                Information Agency, or the Associate Director's 
                designee.]

           *       *       *       *       *       *       *

SEC. 626. FINANCIAL ASSISTANCE.

    (a) Authority.--The Institute may provide financial 
assistance, in the form of summer stipends described in 
subsection (b) and Ralph Bunche scholarship assistance 
described in subsection (c), to needy students to facilitate 
the participation of the students in the Institute's programs 
under this part.
    (b) Summer Stipends.--
          (1) Requirements.--A student receiving a summer 
        stipend under this section shall use such stipend to 
        defray the student's cost of participation in a summer 
        institute program funded under this part, including the 
        costs of travel, living, and educational expenses 
        necessary for the student's participation in such 
        program.
          (2) Amount.--A summer stipend awarded to a student 
        under this section shall not exceed $3,000 per summer.
    (c) Ralph Bunche Scholarship.--
          (1) Requirements.--A student receiving a Ralph Bunche 
        scholarship under this section--
                  (A) shall be a full-time student at an 
                institution of higher education who is accepted 
                into a program funded under this part; and
                  (B) shall use such scholarship to pay costs 
                related to the cost of attendance, as defined 
                in section 472, at the institution of higher 
                education in which the student is enrolled.
          (2) Amount and duration.--A Ralph Bunche scholarship 
        awarded to a student under this section shall not 
        exceed $5,000 per academic year.

SEC. [626].627 [20 U.S.C. 1131D] REPORT.

    The Institute shall [annually]biennially prepare a report 
on the activities of the Institute and shall submit such report 
to the Secretary of Education and the Secretary of State.

SEC. [627].628 [20 U.S.C. 1131E] GIFTS AND DONATIONS.

    The Institute is authorized to receive money and other 
property donated, bequeathed, or devised to the Institute with 
or without a condition of restriction, for the purpose of 
providing financial support for the fellowships or underwriting 
the cost of the Junior Year Abroad Program. All funds or 
property given, devised, or bequeathed shall be retained in a 
separate account, and an accounting of those funds and property 
shall be included in the [annual report described in section 
626]biennial report described in section 627.

SEC. [628].629 [20 U.S.C. 1131F] AUTHORIZATION.

    There is authorized to be appropriated [$10,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years to carry out this part.]such sums 
as may be necessary for fiscal year 2008 and each of the 5 
succeeding fiscal years.

                       PART D--GENERAL PROVISIONS

SEC. 631. [20 U.S.C. 1132] DEFINITIONS.

    (a) Definitions.--As used in this title--
          (1) * * *
          [(5)](2) the term ``[comprehensive language and area 
        center]comprehensive foreign language and area or 
        international studies center'' means an administrative 
        unit of a university that contributes significantly to 
        the national interest in advanced research and 
        scholarship, employs a critical mass of scholars in 
        diverse disciplines related to a geographic 
        concentration, offers intensive language training in 
        languages of its area specialization, maintains 
        important library collections related to the area, and 
        makes training available in language and area studies 
        to a graduate, postgraduate, and undergraduate 
        clientele; and
                  [(9)](3) the term ``educational programs 
                abroad'' means programs of study, internships, 
                or service learning outside the United States 
                which are part of a foreign language or other 
                international curriculum at the undergraduate 
                or graduate education levels[.];
          [(3)](4) the term ``export education'' means 
        educating, teaching and training to provide general 
        knowledge and specific skills pertinent to the selling 
        of goods and services to other countries, including 
        knowledge of market conditions, financial arrangements, 
        laws and procedures;
          (5) the term ``historically Black college and 
        university'' has the meaning given the term ``part B 
        institution'' in section 322;
          [(8)](6) the term ``institution of higher education'' 
        means, in addition to institutions which meet the 
        definition of section 101 of this Act, institutions 
        which meet the requirements of section 101 of this Act 
        except that (1) they are not located in the United 
        States, and (2) they apply for assistance under this 
        title in consortia with institutions which meet the 
        definition of section 101 of this Act; [and]
          [(2)](7) the term ``international business'' means 
        profit-oriented business relationships conducted across 
        national boundaries and includes activities such as the 
        buying and selling of goods, investments in industries, 
        the licensing of processes, patents and trademarks, and 
        the supply of services;
          [(4)](8) the term ``internationalization of 
        curricula'' means the incorporation of international or 
        comparative perspectives in existing courses of study 
        or the addition of new components to the curricula to 
        provide an international context for American business 
        education;
          (9) the term ``tribally controlled college or 
        university'' has the meaning given the term in section 
        2 of the Tribally Controlled College or University 
        Assistance Act of 1978 (25 U.S.C. 1801); and
          [(6)](10) the term ``[undergraduate language and area 
        center]undergraduate foreign language and area or 
        international studies center'' means an administrative 
        unit of an institution of higher education, including 
        but not limited to 4-year colleges, that contributes 
        significantly to the national interest through the 
        education and training of students who matriculate into 
        advanced language and area studies programs, 
        professional school programs, or incorporates 
        substantial international and foreign language content 
        into baccalaureate degree programs, engages in 
        research, curriculum development and community outreach 
        activities designed to broaden international and 
        foreign language knowledge, employs faculty with strong 
        language, area, and international studies credentials, 
        maintains library holdings, including basic reference 
        works, journals, and works in translation, and makes 
        training available predominantly to undergraduate 
        students;
          [(7) the term ``critical languages'' means each of 
        the languages contained in the list of critical 
        languages designated by the Secretary pursuant to 
        section 212(d) of the Education for Economic Security 
        Act (50 Fed. Reg. 149, 31413), except that, in the 
        implementation of this definition, the Secretary may 
        set priorities according to the purposes of this 
        title;]

           *       *       *       *       *       *       *

SEC. 632. ASSESSMENT; ENFORCEMENT; RULE OF CONSTRUCTION.

    (a) In General.--The Secretary is authorized to assess and 
ensure compliance with all the conditions and terms of grants 
provided under this title. If a complaint regarding activities 
funded under this title is not resolved under the process 
outlined in the relevant grantee's application, such complaint 
shall be filed with the Department and reviewed by the 
Secretary. The Secretary shall take the review of such 
complaints into account when determining the renewal of grants.
    (b) Rule of Construction.--Nothing in this title shall be 
construed to authorize the Secretary to mandate, direct, or 
control an institution of higher education's specific 
instructional content, curriculum, or program of instruction.

SEC. 633. EVALUATION, OUTREACH, AND INFORMATION.

    The Secretary may use not more than 1 percent of the funds 
made available under this title to carry out program 
evaluation, national outreach, and information dissemination 
activities relating to the programs authorized under this 
title.

SEC. 634. BIENNIAL REPORT.

    The Secretary shall, in consultation and collaboration with 
the Secretary of State, the Secretary of Defense, and the heads 
of other relevant Federal agencies, submit a biennial report 
that identifies areas of national need in foreign language, 
area, and international studies as such studies relate to 
government, education, business, and nonprofit needs, and a 
plan to address those needs. The report shall be provided to 
the authorizing committees and made available to the public.

           *       *       *       *       *       *       *

       TITLE VII--GRADUATE AND POSTSECONDARY IMPROVEMENT PROGRAMS

SEC. 700. [20 U.S.C. 1133] PURPOSE.

    It is the purpose of this title--
          (1) * * *
                  (A) * * *
                  (B) that are designed to--
                          (i) sustain and enhance the capacity 
                        for graduate education in areas of 
                        national need, including those areas 
                        critical to United States national and 
                        homeland security needs such as 
                        mathematics, science, and engineering; 
                        and

           *       *       *       *       *       *       *

                  PART A--GRADUATE EDUCATION PROGRAMS

             Subpart 1--Jacob K. Javits Fellowship Program

SEC. 701. [20 U.S.C. 1134] AWARD OF JACOB K. JAVITS FELLOWSHIPS.

    (a) Authority and Timing of Awards.-- * * *

           *       *       *       *       *       *       *

SEC. 702. [20 U.S.C. 1134A] ALLOCATION OF FELLOWSHIPS.

    (a) Fellowship Board.--
          [(1) Appointment.--The Secretary shall appoint a 
        Jacob K. Javits Fellows Program Fellowship Board 
        (hereinafter in this subpart referred to as the 
        ``Board'') consisting of 9 individuals representative 
        of both public and private institutions of higher 
        education who are especially qualified to serve on the 
        Board. In making appointments, the Secretary shall give 
        due consideration to the appointment of individuals who 
        are highly respected in the academic community. The 
        Secretary shall assure that individuals appointed to 
        the Board are broadly representative of a range of 
        disciplines in graduate education in arts, humanities 
        and social sciences.]
          (1) Appointment.--
                  (A) In general.--The Secretary shall appoint 
                a Jacob K. Javits Fellows Program Fellowship 
                Board (referred to in this subpart as the 
                `Board') consisting of 9 individuals 
                representative of both public and private 
                institutions of higher education who are 
                especially qualified to serve on the Board.
                  (B) Qualifications.--In making appointments 
                under subparagraph (A), the Secretary shall--
                          (i) give due consideration to the 
                        appointment of individuals who are 
                        highly respected in the academic 
                        community;
                          (ii) assure that individuals 
                        appointed to the Board are broadly 
                        representative of a range of 
                        disciplines in graduate education in 
                        arts, humanities, and social sciences;
                          (iii) appoint members to represent 
                        the various geographic regions of the 
                        United States; and
                          ``(iv) include representatives from 
                        minority institutions, as defined in 
                        section 365.

           *       *       *       *       *       *       *

SEC. 703. [20 U.S.C. 1134B] STIPENDS.

    (a) Award by Secretary.--The Secretary shall pay to 
individuals awarded fellowships under this subpart such 
stipends as the Secretary may establish, reflecting the purpose 
of this program to encourage highly talented students to 
undertake graduate study as described in this subpart. In the 
case of an individual who receives such individual's first 
stipend under this subpart in academic year 1999-2000 or any 
succeeding academic year, such stipend shall be set at a level 
of support equal to that provided by the National Science 
Foundation [graduate fellowships], Graduate Research Fellowship 
Program except such amount shall be adjusted as necessary so as 
not to exceed the fellow's demonstrated level of need 
determined in accordance with part F of title IV.

           *       *       *       *       *       *       *

SEC. 705. [20 U.S.C. 1134D] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated [$30,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years to carry out this subpart.] such 
sums as may be necessary for fiscal year 2008 and each of the 5 
succeeding fiscal years to carry out this subpart.

           *       *       *       *       *       *       *

SEC. 712. [20 U.S.C. II35A] INSTITUTIONAL ELIGIBILITY.

    (a) Eligibility Criteria.--* * *
    [(b) Designation of Areas of National Need.--After 
consultation with appropriate Federal and nonprofit agencies 
and organizations, the Secretary shall designate areas of 
national need. In making such designations, the Secretary shall 
take into account the extent to which the interest in the area 
is compelling, the extent to which other Federal programs 
support postbaccalaureate study in the area concerned, and an 
assessment of how the program could achieve the most 
significant impact with available resources.]
    (b) Designation of Areas of National Need.--After 
consultation with appropriate Federal and nonprofit agencies 
and organizations, including the National Science Foundation, 
the Department of Defense, the Department of Homeland Security, 
the National Academy of Sciences, and the Bureau of Labor 
Statistics, the Secretary shall designate areas of national 
need. In making such designations, the Secretary shall take 
into consideration--
          (1) the extent to which the interest in the area is 
        compelling;
          (2) the extent to which other Federal programs 
        support post baccalaureate study in the area concerned;
          (3) an assessment of how the program may achieve the 
        most significant impact with available resources; and
          (4) an assessment of current and future professional 
        workforce needs of the United States.

           *       *       *       *       *       *       *

SEC. 714. [20 U.S.C. 1135C] AWARDS TO GRADUATE STUDENTS.

    (a) Commitments to Graduate Students.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

    (b) Amount of Stipends.--The Secretary shall make payments 
to institutions of higher education for the purpose of paying 
stipends to individuals who are awarded fellowships under this 
subpart. The stipends the Secretary establishes shall reflect 
the purpose of the program under this subpart to encourage 
highly talented students to undertake graduate study as 
described in this subpart. In the case of an individual who 
receives such individual's first stipend under this subpart in 
academic year [1999-2000] 2008-2009 for any succeeding academic 
year, such stipend shall be set at a level of support equal to 
that provided by the National Science Foundation [graduate 
fellowships], Graduate Research Fellowship Program except such 
amount shall be adjusted as necessary so as not to exceed the 
fellow's demonstrated level of need as determined under part F 
of title IV.
    (c) Treatment of Institutional Payments.--An institution of 
higher education that makes institutional payments for tuition 
and fees on behalf of individuals supported by fellowships 
under this subpart in amounts that exceed the institutional 
payments made by the Secretary pursuant to section [716(a)] 
715(a) may count such excess toward the amounts the institution 
is required to provide pursuant to section [714(b)(2)] 
713(b)(2)

           *       *       *       *       *       *       *

SEC. 715. [20 U.S.C. 1135D] ADDITIONAL ASSISTANCE FOR COST OF 
                    EDUCATION.

    (a) Institutional Payments.--
          (1) In general.--The Secretary shall (in addition to 
        stipends paid to individuals under this subpart) pay to 
        the institution of higher education, for each 
        individual awarded a fellowship under this subpart at 
        such institution, an institutional allowance. Except as 
        provided in paragraph (2), such allowance shall be, for 
        [1999-2000] 2008-2009 and succeeding academic years, 
        the same amount as the institutional payment made for 
        [1998-1999] 2007-2008 adjusted annually thereafter in 
        accordance with inflation as determined by the 
        Department of Labor's Consumer Price Index for the 
        previous calendar year.

           *       *       *       *       *       *       *

SEC. 716. [20 U.S.C. 1135E] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated [$35,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years to carry out this subpart.] such 
sums as may be necessary for fiscal year 2008 and each of the 5 
succeeding fiscal years to carry out this subpart.

           *       *       *       *       *       *       *

  Subpart 3--Thurgood Marshall Legal Educational Opportunity Program 

SEC. 721. [20 U.S.C. 1136] LEGAL EDUCATIONAL OPPORTUNITY PROGRAM.

    (a) Program Authority.--The Secretary shall carry out a 
program to be known as the ``Thurgood Marshall Legal 
Educational Opportunity Program'' designed to provide low-
income, minority, or disadvantaged secondary school and college 
students with the information, preparation, and financial 
assistance to gain access to and complete law school study and 
admission to law practice.
    (b) Eligibility.--A college student is eligible for 
assistance under this section if the secondary school student 
or student is--

           *       *       *       *       *       *       *

          (c) Contract or Grant Authorized.--
          (1) to identify secondary school and college students 
        who are from low-income families, are, minorities, or 
        are from disadvantaged backgrounds described in 
        subsection (b)(3);
          [(2) to prepare such students for study at accredited 
        low schools;]
          (2) to prepare such students for successful 
        completion of a baccalaureate degree and for study at 
        accredited law schools, and to assist them with the 
        development of analytical skills, writing skills, and 
        study methods to enhance the students' success and 
        promote the students' admission to and completion of 
        law school;

           *       *       *       *       *       *       *

          (4) to provide support services to such students who 
        are first-year law students to improve retention and 
        success in law school studies; [and]
          [(5) to motivate and prepare such students with 
        respect to law school studies and practice in low-
        income communities.]
          (5) to motivate and prepare such students--
                  (A) with respect to law school studies and 
                practice in low-income communities; and
                  (B) and to provide legal services to low-
                income individuals and families; and
          (6) to award Thurgood Marshall Fellowships to 
        eligible law school students--
                  (A) who participated in summer institutes 
                under subsection (d)(6) and who are enrolled in 
                an accredited law school; or
                  (B) who have successfully completed summer 
                institute programs comparable to the summer 
                institutes under subsection (d) that are 
                certified by the Council on Legal Education 
                Opportunity.
    (d) Services Provided.--In carrying out the purposes 
described in subsection (c), the contract or grant shall 
provide for the delivery of services through pre-college 
programs, undergraduate prelaw information resource centers, 
summer institutes, midyear seminars, and other educational 
activities, conducted under this section. Such services may 
include--
          (1) information and counseling regarding--
                  (A) * * *
                  (B) course work offered and required for law 
                school graduation;

           *       *       *       *       *       *       *

                  [(D) undergraduate preparatory courses and 
                curriculum selection;]
                  (D) pre-college and undergraduate preparatory 
                courses in analytical and writing skills, study 
                methods, and curriculum selection;
          (2) summer academic programs for secondary school 
        students who have expressed interest in a career in the 
        law;
          [(2)] (3) * * *
          [(3)] (4) * * *
          [(4)] (5) * * *
          [(5)] (6) * * *
          [(6)] (7) midyear seminars and other educational 
        activities that are designed to reinforce reading, 
        writing, and studying skills of Thurgood Marshall 
        Fellows and Associates
    (e) Duration of the Provision of Services.--The services 
described in subsection (d) may be provided--
          (1) prior to the period of law school study, 
        including before and during undergraduate study;

           *       *       *       *       *       *       *

    (f) Subcontracts and Subgrants.--For the purposes of 
planning, developing, or delivering one or more of the services 
described in subsection (d), the Council on Legal Education 
Opportunity shall enter into subcontracts with, and make 
subgrants to, institutions of higher education, law schools, 
public and private agencies and organizations, national and 
State bar associations, and combinations of such institutions, 
schools, agencies, [and organizaion.] organizations, and 
associations.
    [(g) Stipends.--The Secretary shall annually establish the 
maximum stipend to be paid (including allowances for 
participant travel and for the travel of the dependents of the 
participant) to Thurgood Marshall Fellows for the period of 
participation in summer institutes and midyear seminars. A 
Fellow may be eligible for such a stipend only if the Thurgood 
Marshall Fellow maintains satisfactory academic progress toward 
the Juris Doctor or Bachelor of Laws degree, as determined by 
the respective institutions.]
    (g) Fellowships and Stipends.--The Secretary shall annually 
establish the maximum fellowship to be awarded, and stipend to 
be paid (including allowances for participant travel and for 
the travel of the dependents of the participant), to Thurgood 
Marshall Fellows or Associates for the period of participation 
in summer institutes, midyear seminars, and bar preparation 
seminars. A Fellow or Associate may be eligible for such a 
fellowship or stipend only if the Thurgood Marshall Fellow or 
Associate maintains satisfactory academic progress toward the 
Juris Doctor or Bachelor of Laws degree, as determined by the 
respective institutions (except with respect to a law school 
graduate enrolled in a bar preparation course).
    (h) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section [$5,000,000 for 
fiscal year 1999 and each of the 4 succeeding fiscal years.] 
such sums as may be necessary for fiscal year 2008 and for each 
of the 5 succeeding fiscal years.

           *       *       *       *       *       *       *

      PART B--FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION

SEC. 741. [20 U.S.C. 1138] FUND FOR THE IMPROVEMENT OF POSTSECONDARY 
                    EDUCATION.

    (a) Authority.--* * *

           *       *       *       *       *       *       *

          [(3) the establishment of institutions and programs 
        based on the technology of communications;]
          (3) the establishment and continuation of 
        institutions, programs, consortia, collaborations, and 
        other joint efforts based on the technology of 
        communications, including those efforts that utilize 
        distance education and technological advancements to 
        educate and train postsecondary students (including 
        health professionals serving medically underserved 
        populations);

           *       *       *       *       *       *       *

          (7) the introduction of reforms in graduate 
        education, in the structure of academic professions, 
        and in the recruitment and retention of faculties;[and]
          (8) the creation of new institutions and programs for 
        examining and awarding credentials to individuals, and 
        the introduction of reforms in current institutional 
        practices related thereto[.];
          (9) the introduction of reforms in remedial 
        education, including English language instruction, to 
        customize remedial courses to student goals and help 
        students progress rapidly from remedial courses into 
        core courses and through program completion; and
          (10) the creation of consortia that join diverse 
        institutions of higher education to design and offer 
        curricular and co-curricular interdisciplinary programs 
        at the undergraduate and graduate levels, sustained for 
        not less than a 5 year period, that--
                  (A) focus on poverty and human capability; 
                and
                  (B) include--
                          (i) a service-learning component; and
                          (ii) the delivery of educational 
                        services through informational resource 
                        centers, summer institutes, midyear 
                        seminars, and other educational 
                        activities that stress the effects of 
                        poverty and how poverty can be 
                        alleviated through different career 
                        paths.
    (b) * * *
    (c) Project GRAD.--
          (1) Purposes.--The purposes of this subsection are--
                  (A) to provide support and assistance to 
                programs implementing integrated education 
                reform services in order to improve secondary 
                school graduation, college attendance, and 
                college completion rates for at-risk students; 
                and
                  (B) to promote the establishment of new 
                programs to implement such integrated education 
                reform services.
          (2) Definitions.--In this subsection:
                  (A) At-risk.--The term ``at-risk'' has the 
                same meaning given such term in section 1432 of 
                the Elementary and Secondary Education Act of 
                1965.
                  (B) Feeder pattern.--The term ``feeder 
                pattern'' means a secondary school and the 
                elementary schools and middle schools that 
                channel students into that secondary school.
          (3) Grant authorized.--The Secretary is authorized to 
        award a grant to Project GRAD USA (referred to in this 
        subsection as the ``grantee''), a non-profit 
        educational organization that has as its primary 
        purpose the improvement of secondary school graduation, 
        college attendance, and college completion rates for 
        at-risk students, to implement and sustain the 
        integrated education reform program at existing Project 
        GRAD sites, and to promote the expansion of the Project 
        GRAD program to new sites.
          (4) Requirements of grant agreement.--The Secretary 
        shall enter into an agreement with the grantee that 
        requires that the grantee shall--
                  (A) enter into subcontracts with nonprofit 
                educational organizations that serve a 
                substantial number or percentage of at-risk 
                students (referred to in this subsection as 
                ``subcontractors''), under which the 
                subcontractors agree to implement the Project 
                GRAD program and provide matching funds for 
                such programs; and
                  (B) directly carry out--
                          (i) activities to implement and 
                        sustain the literacy, mathematics, 
                        classroom management, social service, 
                        and college access components of the 
                        Project GRAD program;
                          (ii) activities for the purpose of 
                        implementing new Project GRAD program 
                        sites;
                          (iii) activities to support, 
                        evaluate, and consistently improve the 
                        Project GRAD program;
                          (iv) activities for the purpose of 
                        promoting greater public awareness of 
                        integrated education reform services to 
                        improve secondary school graduation, 
                        college attendance, and college 
                        completion rates for at-risk students; 
                        and
                          (v) other activities directly related 
                        to improving secondary school 
                        graduation, college attendance, and 
                        college completion rates for at-risk 
                        students.
          (5) Grantee contribution and matching requirement.--
                  (A) In general.--The grantee shall provide 
                funds to each subcontractor based on the number 
                of students served by the subcontractor in the 
                Project GRAD program, adjusted to take into 
                consideration--
                          (i) the resources available in the 
                        area where the subcontractor will 
                        implement the Project GRAD program; and
                          (ii) the need for the Project GRAD 
                        program in such area to improve student 
                        outcomes, including reading and 
                        mathematics achievement and, where 
                        applicable, secondary school 
                        graduation, college attendance, and 
                        college completion rates.
                  (B) Matching requirement.--Each subcontractor 
                shall provide funds for the Project GRAD 
                program in an amount that is equal to or 
                greater than the amount received by the 
                subcontractor from the grantee. Such matching 
                funds may be provided in cash or in-kind, 
                fairly evaluated.
          (6) Evaluation.--The Secretary shall select an 
        independent entity to evaluate, every 3 years, the 
        performance of students who participate in a Project 
        GRAD program under this subsection.
    (d) Center for Best Practices to Support Single Parent 
Students.--
          (1) Program authorized.--The Secretary is authorized 
        to award 1 grant or contract to an institution of 
        higher education to enable such institution to 
        establish and maintain a center to study and develop 
        best practices for institutions of higher education to 
        support single parents who are also students attending 
        such institutions.
          (2) Institution requirements.--The Secretary shall 
        award the grant or contract under this subsection to a 
        4-year institution of higher education that has 
        demonstrated expertise in the development of programs 
        to assist single parents who are students at 
        institutions of higher education, as shown by the 
        institution's development of a variety of targeted 
        services to such students, including on-campus housing, 
        child care, counseling, advising, internship 
        opportunities, financial aid, and financial aid 
        counseling and assistance.
          (3) Center activities.--The center funded under this 
        section shall--
                  (A) assist institutions implementing 
                innovative programs that support single parents 
                pursuing higher education;
                  (B) study and develop an evaluation protocol 
                for such programs that includes quantitative 
                and qualitative methodologies;
                  (C) provide appropriate technical assistance 
                regarding the replication, evaluation, and 
                continuous improvement of such programs; and
                  (D) develop and disseminate best practices 
                for such programs.
    (e) Understanding the Federal Regulatory Impact on Higher 
Education.--
          (1) Purpose.--The purpose of this subsection is to 
        help institutions of higher education understand the 
        regulatory impact of the Federal Government on such 
        institutions, in order to raise awareness of 
        institutional legal obligations and provide information 
        to improve compliance with, and to reduce the 
        duplication and inefficiency of, Federal regulations.
          (2) Program authorized.--The Secretary is authorized 
        to award 1 grant or contract to an institution of 
        higher education to enable the institution to carry out 
        the activities described in the agreement under 
        paragraph (4).
          (3) Institution requirements.--The Secretary shall 
        award the grant or contract under this subsection to an 
        institution of higher education that has demonstrated 
        expertise in--
                  (A) reviewing Federal higher education 
                regulations;
                  (B) maintaining a clearinghouse of compliance 
                training materials; and
                  (C) explaining the impact of such regulations 
                to institutions of higher education through a 
                comprehensive and freely accessible website.
          (4) Requirements of agreement.--As a condition of 
        receiving a grant or contract under this subsection, 
        the institution of higher education shall enter into an 
        agreement with the Secretary that shall require the 
        institution to--
                  (A) monitor Federal regulations, including 
                notices of proposed rulemaking, for their 
                impact or potential impact on higher education;
                  (B) provide a succinct description of each 
                regulation or proposed regulation that is 
                relevant to higher education; and
                  (C) maintain a website providing information 
                on Federal regulations that is easy to use, 
                searchable, and updated regularly.
    (f) Scholarship Program for Family Members of Veterans or 
Members of the Military.--
          (1) Authorization.--The Secretary shall contract with 
        a nonprofit organization with demonstrated experience 
        in carrying out the activities described in this 
        subsection to carry out a program to provide 
        postsecondary education scholarships for eligible 
        students.
          (2) Eligible students.--In this subsection, the term 
        ``eligible student'' means an individual who is--
                  (A)(i) a dependent student who is a child 
                of--
                          (I) an individual who is--
                                  (aa) serving on active duty 
                                during a war or other military 
                                operation or national emergency 
                                (as defined in section 481); or
                                  (bb) performing qualifying 
                                National Guard duty during a 
                                war or other military operation 
                                or national emergency (as 
                                defined in section 481); or
                          (II) a veteran who died while serving 
                        or performing, as described in 
                        subclause (I), since September 11, 
                        2001, or has been disabled while 
                        serving or performing, as described in 
                        subclause (I), as a result of such 
                        event; or
                  (ii) an independent student who is a spouse 
                of--
                          (I) an individual who is--
                                  (aa) serving on active duty 
                                during a war or other military 
                                operation or national emergency 
                                (as defined in section 481); or
                                  (bb) performing qualifying 
                                National Guard duty during a 
                                war or other military operation 
                                or national emergency (as 
                                defined in section 481); or
                          (II) a veteran who died while serving 
                        or performing, as described in 
                        subclause (I), since September 11, 
                        2001, or has been disabled while 
                        serving or performing, as described in 
                        subclause (I), as a result of such 
                        event; and
                  (B) enrolled as a full-time or part-time 
                student at an institution of higher education 
                (as defined in section 102).
          (3) Awarding of scholarships.--Scholarships awarded 
        under this subsection shall be awarded based on need 
        with priority given to eligible students who are 
        eligible to receive Federal Pell Grants under subpart 1 
        of part A of title IV.
          (4) Maximum scholarship among.--The maximum 
        scholarship amount awarded to an eligible student under 
        this subsection for an academic year shall be the 
        lesser of--
                  (A) the difference between the eligible 
                student's cost of attendance (as defined in 
                section 472) and any non-loan based aid such 
                student receives; or
                  (B) $5,000.
          (5) Amounts for scholarships.--100 percent of amounts 
        appropriated to carry out this subsection shall be used 
        for scholarships awarded under this subsection.

           *       *       *       *       *       *       *

SEC. 744. [20 U.S.C. 1138C] SPECIAL PROJECTS.

    (a) Grant Authority.--* * *

           *       *       *       *       *       *       *

    [(c) Areas of National Need.--Areas of national need shall 
initially include, but shall not be limited to, the following:
          [(1) Institutional restructuring to improve learning 
        and promote productivity, efficiency, quality 
        improvement, and cost and price control.
          [(2) Articulation between 2- and 4-year institutions 
        of higher education, including developing innovative 
        methods for ensuring the successful transfer of 
        students from 2- to 4-year institutions of higher 
        education.
          [(3) Evaluation and dissemination of model programs.
          [(4) International cooperation and student exchange 
        among postsecondary education institutions.]
    (c) Areas of National Need.--Areas of national need shall 
include, at a minimum, the following:
          (1) Institutional restructuring to improve learning 
        and promote productivity, efficiency, quality 
        improvement, and cost and price control.
          (2)Improvements in academic instruction and student 
        learning, including efforts designed to assess the 
        learning gains made by postsecondary students.
          (3) Articulation between 2- and 4-year institutions 
        of higher education, including developing innovative 
        methods for ensuring the successful transfer of 
        students from 2- to 4-year institutions of higher 
        education.
          (4) Development, evaluation and dissemination of 
        model programs, including model core curricula that--
                  (A) provide students with a broad and 
                integrated knowledge base;
                  (B) include, at a minimum, broad survey 
                courses in English literature, American and 
                world history, American political institutions, 
                economics, philosophy, college-level 
                mathematics, and the natural sciences; and
                  (C) include sufficient study of a foreign 
                language to lead to reading and writing 
                competency in the foreign language.
          (5) International cooperation and student exchanges 
        among postsecondary educational institutions.

           *       *       *       *       *       *       *

SEC. 745. [20 U.S.C. 1138D] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to carry out this 
part [$30,000,000 for fiscal year 1999 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.]such sums 
as may be necessary for fiscal year 2008 and each, of the 5 
succeeding fiscal years.

           *       *       *       *       *       *       *

 PART D--[DEMONSTRATION] PROJECTS TO ENSURE STUDENTS WITH DISABILITIES 
                   RECEIVE A QUALITY HIGHER EDUCATION

        Subpart 1--Quality Higher Education

SEC. 761. [20 U.S.C. 1140] PURPOSES.

    It is the purpose of this [part]subpart to support model 
demonstration projects to provide technical assistance or 
professional development for faculty and administrators in 
institutions of higher education in order to provide students 
with disabilities a quality postsecondary education.

SEC. 762. [20 U.S.C. 1140A] GRANTS AUTHORIZED.

    (a) Competitive Grants Authorized.--* * *
    (b) Duration; Activities.--
          (1) Duration.--Grants under this [part]subpart shall 
        be awarded for a period of 3 years.
          (2) Authorized Activities.--Grants under this [part] 
        subpart shall be used to carry out one or more of the 
        following activities:
                  (A) Teaching methods and strategies.--The 
                development of innovative, effective, and 
                efficient teaching methods and strategies to 
                provide faculty and administrators with the 
                skills and supports necessary [to teach 
                students with disabilities]to teach and meet 
                the academic and programmatic needs of students 
                with disabilities in order to improve retention 
                and completion of postsecondary education.  
                Such methods and strategies may include 
                inservice training, professional development, 
                customized and general technical assistance, 
                workshops, summer institutes, distance 
                learning, and training in the use of assistive 
                and educational technology.
                  (B) Effective transition practices.--The 
                development of innovative and effective 
                teaching methods and strategies to ensure the 
                successful transition of students with 
                disabilities from secondary school to 
                postsecondary education.
                  [(B)](C) Synthesizing research and 
                information.--Synthesizing research and other 
                information related to the provision of 
                postsecondary educational services to students 
                with disabilities[.],including data on the 
                postsecondary education of and impact on 
                subsequent employment of students with 
                disabilities. Such research, information, and 
                data shall be made publicly available and 
                accessible. 
                  (D) Distance learning.--The development of 
                innovative and effective teaching methods and 
                strategies to provide faculty and 
                administrators with the ability to provide 
                accessible distance education programs or 
                classes that would enhance access of students 
                with disabilities to higher education, 
                including the use of accessible curriculum and 
                electronic communication for instruction and 
                advisement.
                  (E) Disability career pathways.--
                          (i) In general.--Training and 
                        providing support to secondary and 
                        postsecondary staff with respect to 
                        disability-related fields to--
                                  (I) encourage interest and 
                                participation in such fields, 
                                among students with 
                                disabilities and other 
                                students;
                                  (II) enhance awareness and 
                                understanding of such fields 
                                among such students;
                                  (III) provide educational 
                                opportunities in such fields 
                                among such students;
                                  (IV) teach practical skills 
                                related to such fields among 
                                such students; and
                                  (V) offer work-based 
                                opportunities in such fields 
                                among such students.
                          (ii) Development.--The training and 
                        support described in clause (i) may 
                        include developing means to offer 
                        students credit-bearing, college-level 
                        coursework, and career and educational 
                        counseling.
                  [(C)](F) Professional development and 
                training sessions.--* * *
                  (G) Accessibility of education.--Making 
                postsecondary education more accessible to 
                students with disabilities through curriculum 
                development.
          (3) Mandatory evaluation and dissemination.--Grants 
        under this [part]subpart shall be used for evaluation, 
        and dissemination to other institutions of higher 
        education, of the information obtained through the 
        activities described in [subparagraphs (A) through 
        (C)]subparagraphs (A) through (G).
    (c) Considerations in Making Awards.--* * *

           *       *       *       *       *       *       *

    (d) Report.--Not later than 3 years after the date of 
enactment of the Higher Education Amendments of 2007, the 
Secretary shall prepare and disseminate a report reviewing the 
activities of the demonstration projects authorized under this 
subpart and providing guidance and recommendations on how 
successful projects can be replicated.

           *       *       *       *       *       *       *

SEC. 763. [20 U.S.C. 1140B] APPLICATIONS.

    Each institution of higher education desiring to receive a 
grant, contract, or cooperative agreement under this 
[part]subpart shall submit an application to the Secretary at 
such time, in such manner, and accompanied by such information 
as the Secretary may require. Each application shall include--
          [(1) a description of how such institution plans to 
        address each of the activities required under this 
        part;]
          (1) a description of how such institution plans to 
        address the activities allowed under this subpart;
          (2) a description of how the institution consulted 
        with a broad range of people within the institution to 
        develop activities for which assistance is sought; 
        [and]
          (3) a description of how the institution will 
        coordinate and collaborate with the office that 
        provides services to students with disabilities within 
        the institution[.]; and
          (4) a description of the extent to which the 
        institution will work to replicate the research based 
        and best practices of institutions of higher education 
        with demonstrated success in serving students with 
        disabilities. 

           *       *       *       *       *       *       *

SEC. 764. [20 U.S.C. 1140C] RULE OF CONSTRUCTION.

    Nothing in this [part]subpart shall be construed to impose 
any additional duty, obligation, or responsibility on an 
institution of higher education or on the institution's 
faculty, administrators, or staff than are required by section 
504 of the Rehabilitation Act of 1973 and the Americans with 
Disabilities Act of 1990.

           *       *       *       *       *       *       *

SEC. 765. [20 U.S.C. 1140D] AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated for this 
[part]subpart [$10,000,000 for fiscal year 1999 and such sums 
as may be necessary for each of the 4 succeeding fiscal 
years.]such sums as maybe necessary for fiscal year 2008 and 
each of the 5 succeeding fiscal years.

           *       *       *       *       *       *       *

     Subpart 2--Transition Programs for Students With Intellectual 
        Disabilities Into Higher Education; Coordinating Center

SEC. 771. PURPOSE.

    It is the purpose of this subpart to support model 
demonstration programs that promote the successful transition 
of students with intellectual disabilities into higher 
education.

SEC. 772. DEFINITIONS.

    In this subpart:
          (1) Comprehensive transition and postsecondary 
        program for students with intellectual disabilities.--
        The term ``comprehensive transition and postsecondary 
        program for students with intellectual disabilities'' 
        means a degree, certificate, or nondegree program 
        offered by an institution of higher education that--
                  (A) is designed for students with 
                intellectual disabilities who seek to continue 
                academic, vocational, or independent living 
                instruction at the institution in order to 
                prepare for gainful employment;
                  (B) includes an advising and curriculum 
                structure; and
                  (C) requires the enrollment of the student 
                (through enrollment in credit-bearing courses, 
                auditing or participating in courses, 
                participating in internships, or enrollment in 
                noncredit, nondegree courses) in the equivalent 
                of not less than a half-time course of study, 
                as determined by the institution.
          (2) Student with an intellectual disability.--The 
        term, ``student with an intellectual disability'' means 
        a student whose mental retardation or other significant 
        cognitive impairment substantially impacts the 
        student's intellectual and cognitive functioning.

SEC. 773. MODEL COMPREHENSIVE TRANSITION AND POSTSECONDARY PROGRAMS FOR 
                    STUDENTS WITH INTELLECTUAL DISABILITIES.

    (a) Grants Authorized.--
          (1) In general.--The Secretary shall annually award 
        grants, on a competitive basis, to institutions of 
        higher education (or consortia of institutions of 
        higher education), to create or expand high-quality, 
        inclusive model comprehensive transition and 
        postsecondary programs for students with intellectual 
        disabilities.
          (2) Number and duration of grants.--The Secretary 
        shall award not less than 10 grants per year under this 
        section, and each grant awarded under this subsection 
        shall be for a period of 5 years.
    (b) Application.--An institution of higher education (or a 
consortium) desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require.
    (c) Preference.--In awarding grants under this section, the 
Secretary shall give preference to institutions of higher 
education (or consortia) that--
          (1) will carry out a model program under the grant in 
        a State that does not already have a comprehensive 
        transition and postsecondary program for students with 
        intellectual disabilities; or
          (2) in the application submitted under subsection 
        (b), agree to incorporate 1 or more of the following 
        elements into the model programs carried out under the 
        grant:
                  (A) The formation of a partnership with any 
                relevant agency serving students with 
                intellectual disabilities, such as a vocational 
                rehabilitation agency.
                  (B) In the case of an institution of higher 
                education that provides institutionally-owned 
                or operated housing for students attending the 
                institution, the integration of students with 
                intellectual disabilities into such housing.
                  (C) The involvement of students attending the 
                institution of higher education who are 
                studying special education, general education, 
                vocational rehabilitation, assistive 
                technology, or related fields in the model 
                program carried out under the grant.
    (d) Use of Funds.--An institution of higher education (or 
consortium) receiving a grant under this section shall use the 
grant funds to establish a model comprehensive transition and 
postsecondary program for students with intellectual 
disabilities that--
          (1) serves students with intellectual disabilities, 
        including students with intellectual disabilities who 
        are no longer eligible for special education and 
        related services under the Individuals with 
        Disabilities Education Act;
          (2) provides individual supports and services for the 
        academic and social inclusion of students with 
        intellectual disabilities in academic courses, 
        extracurricular activities, and other aspects of the 
        institution of higher education's regular postsecondary 
        program;
          (3) with respect to the students with intellectual 
        disabilities participating in the model program, 
        provides a focus on--
                  (A) academic enrichment;
                  (B) socialization;
                  (C) independent living, including self-
                advocacy skills; and
                  (D) integrated work experiences and career 
                skills that lead to gainful employment;
          (4) integrates person-centered planning in the 
        development of the course of study for each student 
        with an intellectual disability participating in the 
        model program;
          (5) participates with the coordinating center 
        established under section 774 in the evaluation of the 
        model program;
          (6) partners with 1 or more local educational 
        agencies to support students with intellectual 
        disabilities participating in the model program who are 
        still eligible for special education and related 
        services under such Act, including regarding the 
        utilization of funds available under part B of the 
        Individuals with Disabilities Education Act for such 
        students;
          (7) plans for the sustainability of the model program 
        after the end of the grant period; and
          (8) creates and offers a meaningful credential for 
        students with intellectual disabilities upon the 
        completion of the model program.
    (e) Matching Requirement.--An institution of higher 
education that receives a grant under this section shall 
provide toward the cost of the model comprehensive transition 
and postsecondary program for students with intellectual 
disabilities carried out under the grant, matching funds, which 
may be provided in cash or in-kind, in an amount not less than 
25 percent of the amount of such grant funds.
    (f) Report.--Not later than 3 years after the date of 
enactment of the Higher Education Amendments of 2007, the 
Secretary shall prepare and disseminate a report reviewing the 
activities of the model comprehensive transition and 
postsecondary programs for students with intellectual 
disabilities authorized under this subpart and providing 
guidance and recommendations on how successful programs can be 
replicated.
    (g) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary.

SEC. 774. COORDINATING CENTER FOR TECHNICAL ASSISTANCE, EVALUATION, AND 
                    DEVELOPMENT OF ACCREDITATION STANDARDS.

    (a) In General.--
          (1) Award.--The Secretary shall, on a competitive 
        basis, enter into a cooperative agreement with an 
        eligible entity, for the purpose of establishing a 
        coordinating center for technical assistance, 
        evaluation, and development of accreditation standards 
        for institutions of higher education that offer 
        inclusive model comprehensive transition and 
        postsecondary programs for students with intellectual 
        disabilities.
          (2) Duration.--The cooperative agreement under this 
        section shall be for a period of 5 years.
    (b) Requirements of Cooperative Agreement.--The eligible 
entity entering into a cooperative agreement under this section 
shall establish and maintain a center that shall--
          (1) serve as the technical assistance entity for all 
        model comprehensive transition and postsecondary 
        programs for students with intellectual disabilities 
        assisted under section 773;
          (2) provide technical assistance regarding the 
        development, evaluation, and continuous improvement of 
        such programs;
          (3) develop an evaluation protocol for such programs 
        that includes qualitative and quantitative methodology 
        measuring student outcomes and program strengths in the 
        areas of academic enrichment, socialization, 
        independent living, and competitive or supported 
        employment;
          (4) assist recipients of grants under section 773 in 
        efforts to award a meaningful credential to students 
        with intellectual disabilities upon the completion of 
        such programs, which credential takes into 
        consideration unique State factors;
          (5) develop model criteria, standards, and procedures 
        to be used in accrediting such programs that--
                  (A) include, in the development of the model 
                criteria, standards, and procedures for such 
                programs, the participation of--
                          (i) an expert in higher education;
                          (ii) an expert in special education;
                          (iii) a disability organization that 
                        represents students with intellectual 
                        disabilities; and
                          (iv) a State, regional, or national 
                        accrediting agency or association 
                        recognized by the Secretary under 
                        subpart 2 of part H of title IV; and
                  (B) define the necessary components of such 
                programs, such as--
                          (i) academic, vocational, social, and 
                        independent living skills;
                          (ii) evaluation of student progress;
                          (iii) program administration and 
                        evaluation;
                          (iv) student eligibility; and
                          (v) issues regarding the equivalency 
                        of a student's participation in such 
                        programs to semester, trimester, 
                        quarter, credit, or clock hours at an 
                        institution of higher education, as the 
                        case may be;
          (6) analyze possible funding streams for such 
        programs and provide recommendations regarding the 
        funding streams;
          (7) develop model memoranda of agreement between 
        institutions of higher education and agencies providing 
        funding for such programs;
          (8) develop mechanisms for regular communication 
        between the recipients of grants under section 773 
        regarding such programs; and
          (9) host a meeting of all recipients of grants under 
        section 773 not less often than once a year.
    (c) Definition of Eligible Entity.--In this section, the 
term `eligible entity' means an entity, or a partnership of 
entities, that has demonstrated expertise in the fields of 
higher education, students with intellectual disabilities, the 
development of comprehensive transition and postsecondary 
programs for students with intellectual disabilities, and 
evaluation.
    (d) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary.

           *       *       *       *       *       *       *

                        PART E--RESEARCH GRANTS

SEC. 781. RESEARCH GRANTS.

    (a) Grants Authorized.--The Secretary is authorized to 
award grants, on a competitive basis, to eligible entities to 
enable the eligible entities to develop or improve valid and 
reliable measures of student achievement for use by 
institutions of higher education to measure and evaluate 
learning in higher education.
    (b) Definitions.--In this section:
          (1) Eligible entity.--The term ``eligible entity'' 
        means--
                  (A) an institution of higher education;
                  (B) a State agency responsible for higher 
                education;
                  (C) a recognized higher education accrediting 
                agency or an organization of higher education 
                accreditors;
                  (D) an eligible applicant described in 
                section 174(c) of the Education Sciences Reform 
                Act of 2002; and
                  (E) a consortium of any combination of 
                entities described in subparagraphs (A) through 
                (D).
    (c) Application.--
          (1) In general.--Each eligible entity that desires a 
        grant under this part shall submit an application to 
        the Secretary at such time, in such manner, and 
        accompanied by such information as the Secretary may 
        require.
          (2) Contents.--Each application submitted under 
        subsection (a) shall include a description of how the 
        eligible entity--
                  (A) will work with relevant experts, 
                including psychometricians, research experts, 
                institutions, associations, and other qualified 
                individuals as determined appropriate by the 
                eligible entity;
                  (B) will reach a broad and diverse range of 
                audiences;
                  (C) has participated in work in improving 
                postsecondary education;
                  (D) has participated in work in developing or 
                improving assessments to measure student 
                achievement;
                  (E) includes faculty, to the extent 
                practicable, in the development of any 
                assessments or measures of student achievement; 
                and
                  (F) will focus on program specific measures 
                of student achievement generally applicable to 
                an entire--
                          (i) institution of higher education; 
                        or
                          (ii) State system of higher 
                        education.
    (d) Award Basis.--In awarding grants under this section, 
the Secretary shall take into consideration--
          (1) the quality of an application for a grant under 
        this section;
          (2) the distribution of the grants to different--
                  (A) geographic regions;
                  (B) types of institutions of higher 
                education; and
                  (C) higher education accreditors.
    (e) Use of Funds.--Each eligible entity receiving a grant 
under this section may use the grant funds--
          (1) to enable the eligible entity to improve the 
        quality, validity, and reliability of existing 
        assessments used by institutions of higher education;
          (2) to develop measures of student achievement using 
        multiple measures of student achievement from multiple 
        sources;
          (3) to measure improvement in student achievement 
        over time;
          (4) to evaluate student achievement;
          (5) to develop models of effective practices; and
          (6) for a pilot or demonstration project of measures 
        of student achievement.
    (f) Matching Requirement.--An eligible entity described in 
subparagraph (A), (B), or (C) of subsection (b)(1) that 
receives a grant under this section shall provide for each 
fiscal year, from non-Federal sources, an amount (which may be 
provided in cash or in kind), to carry out the activities 
supported by the grant, equal to 50 percent of the amount 
received for the fiscal year under the grant.
    (g) Supplement, Not Supplant.--Grant funds provided under 
this section shall be used to supplement, not supplant, other 
Federal or State funds.
    (h) Report.--
          (1) Report.--The Secretary shall provide an annual 
        report to congress on the implementation of the grant 
        program assisted under this section.
          (2) Content.--The report shall include--
                  (A) information regarding the development or 
                improvement of scientifically valid and 
                reliable measures of student achievement;
                  (B) a description of the assessments or other 
                measures developed by eligible entities;
                  (C) the results of any pilot or demonstration 
                projects assisted under this section; and
                  (D) such other information as the Secretary 
                may require.

                       TITLE VIII--MISCELLANEOUS

            PART A--MATHEMATICS AND SCIENCE SCHOLARS PROGRAM

SEC. 811. MATHEMATICS AND SCIENCE SCHOLARS PROGRAM.

    (a) Program Authorized.--The Secretary is authorized to 
award grants to States, on a competitive basis, to enable the 
States to award eligible students, who complete a rigorous 
secondary school curriculum in mathematics and science, 
scholarships for undergraduate study.
    (b) Eligible Students.--A student is eligible for a 
scholarship under this section if the student is a full-time 
undergraduate student in the student's first and second year of 
study who has completed a rigorous secondary school curriculum 
in mathematics and science.
    (c) Rigorous Curriculum.--Each participating State shall 
determine the requirements for a rigorous secondary school 
curriculum in mathematics and science described in subsection 
(b).
    (d) Priority for Scholarships.--The Governor of a State may 
set a priority for awarding scholarships under this section for 
particular eligible students, such as students attending 
schools in high-need areas, students who are from groups 
underrepresented in the fields of mathematics, science, and 
engineering, students served by local educational agencies that 
do not meet or exceed State standards in mathematics and 
science, or students with regional or geographic needs as 
determined appropriate by the Governor.
    (e) Amount and Duration of Scholarship.--The Secretary 
shall award a grant under this section--
          (1) in an amount that does not exceed $1,000; and
          (2) for not more than 2 years of undergraduate study.
    (f) Matching Requirement.--In order to receive a grant 
under this section, a State shall provide matching funds for 
the scholarships awarded under this section in an amount equal 
to 50 percent of the Federal funds received.
    (g) Authorization.--There are authorized to be appropriated 
to carry out this section such sums as may be necessary for 
fiscal year 2008 and each of the 5 succeeding fiscal years.

               PART B--POSTSECONDARY EDUCATION ASSESSMENT

SEC. 816. POSTSECONDARY EDUCATION ASSESSMENT.

    (a) Contract for Assessment.--The Secretary shall enter 
into a contract, with an independent, bipartisan organization 
with specific expertise in public administration and financial 
management, to carry out an independent assessment of the cost 
factors associated with the cost of tuition at institutions of 
higher education.
    (b) Timeframe.--The Secretary shall enter into the contract 
described in subsection (a) not later than 90 days after the 
date of enactment of the Higher Education Amendments of 2007.
    (c) Matters Assessed.--The assessment described in 
subsection (a) shall--
          (1) examine the key elements driving the cost factors 
        associated with the cost of tuition at institutions of 
        higher education during the 2001-2002 academic year and 
        succeeding academic years;
          (2) identify and evaluate measures being used to 
        control postsecondary education costs;
          (3) identify and evaluate effective measures that may 
        be utilized to control postsecondary education costs in 
        the future; and
          (4) identify systemic approaches to monitor future 
        postsecondary education cost trends and postsecondary 
        education cost control mechanisms.

  PART C--JOB SKILL TRAINING IN HIGH-GROWTH OCCUPATIONS OR INDUSTRIES

SEC. 821. JOB SKILL TRAINING IN HIGH-GROWTH OCCUPATIONS OR INDUSTRIES.

    (a) Grants Authorized.--The Secretary is authorized to 
award grants, on a competitive basis, to eligible partnerships 
to enable the eligible partnerships to provide relevant job 
skill training in high-growth industries or occupations.
    (b) Definitions.--In this section:
          (1) Eligible partnership.--The term ``eligible 
        partnership'' means a partnership--
                  (A) between an institution of higher 
                education and a local hoard (as such term is 
                defined in section 101 of the Workforce 
                Investment Act of 1998); or
                  (B) if an institution of higher education is 
                located within a State that does not operate 
                local boards, between the institution of higher 
                education and a State board (as such term is 
                defined in section 101 of the Workforce 
                Investment Act of 1998).
          (2) Nontraditional student.--The term 
        ``nontraditional student'' means a student who--
                  (A) is independent, as defined in section 
                480(d);
                  (B) attends an institution of higher 
                education--
                          (i) on less than a full-time basis;
                          (ii) via evening, weekend, modular, 
                        or compressed courses; or
                          (iii) via distance education methods; 
                        or
                  (C) has delayed enrollment at an institution 
                of higher education.
          (3) Institution of higher education.--The term 
        ``institution of higher education'' means an 
        institution of higher education, as defined in section 
        101(b), that offers a 1- or 2-year program of study 
        leading to a degree or certificate.
    (c) Application.--
          (1) In general.--Each eligible partnership that 
        desires a grant under this section shall submit an 
        application to the Secretary at such time, in such 
        manner, and accompanied by such additional information 
        as the Secretary may require.
          (2) Contents.--Each application submitted under 
        paragraph (1) shall include a description of--
                  (A) how the eligible partnership, through the 
                institution of higher education, will provide 
                relevant job skill training for students to 
                enter high-growth occupations or industries;
                  (B) local high-growth occupations or 
                industries; and
                  (C) the need for qualified workers to meet 
                the local demand of high-growth occupations or 
                industries.
    (d) Award Basis.--In awarding grants under this section, 
the Secretary shall--
          (1) ensure an equitable distribution of grant funds 
        under this section among urban and rural areas of the 
        United States; and
          (2) take into consideration the capability of the 
        institution of higher education--
                  (A) to offer relevant, high quality 
                instruction and job skill training for students 
                entering a high-growth occupation or industry;
                  (B) to involve the local business community 
                and to place graduates in the community in 
                employment in high-growth occupations or 
                industries;
                  (C) to provide secondary students with dual-
                enrollment or concurrent enrollment options;
                  (D) to serve nontraditional or low-income 
                students, or adult or displaced workers; and
                  (E) to serve students from rural or remote 
                communities.
    (e) Use of Funds.--Grant funds provided under this section 
may be used--
          (1) to expand or create academic programs or programs 
        of training that provide relevant job skill training 
        for high-growth occupations or industries;
          (2) to purchase equipment which will facilitate the 
        development of academic programs or programs of 
        training that provide training for high-growth 
        occupations or industries;
          (3) to support outreach efforts that enable students 
        to attend institutions of higher education with 
        academic programs or programs of training focused on 
        high-growth occupations or industries;
          (4) to expand or create programs for distance, 
        evening, weekend, modular, or compressed learning 
        opportunities that provide relevant job skill training 
        in high-growth occupations or industries;
          (5) to build partnerships with local businesses in 
        high-growth occupations or industries;
          (6) to support curriculum development related to 
        entrepreneurial training; and
          (7) for other uses that the Secretary determines to 
        be consistent with the intent of this section.
    (f) Requirements.--
          (1) Fiscal agent.--For the purpose of this section, 
        the institution of higher education in an eligible 
        partnership shall serve as the fiscal agent and grant 
        recipient for the eligible partnership.
          (2) Duration.--The Secretary shall award grants under 
        this section for periods that may not exceed 5 years.
          (3) Supplement, not supplant.--Funds made available 
        under this section shall be used to supplement and not 
        supplant other Federal, State, and local funds 
        available to the eligible partnership for carrying out 
        the activities described in subsection (e).
    (g) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this part such sums as may be 
necessary for fiscal year 2008 and each of the 5 succeeding 
fiscal years.

PART D--ADDITIONAL CAPACITY FOR R.N. STUDENTS OR GRADUATE-LEVEL NURSING 
                                STUDENTS

SEC. 826. ADDITIONAL CAPACITY FOR R.N. STUDENTS OR GRADUATE-LEVEL 
                    NURSING STUDENTS.

    (a) Authorization.--The Secretary shall award grants to 
institutions of higher education that offer--
          (1) a R.N. nursing program at the baccalaureate or 
        associate degree level to enable such program to expand 
        the faculty and facilities of such program to 
        accommodate additional R.N. nursing program students; 
        or
          (2) a graduate-level nursing program to accommodate 
        advanced practice degrees for R.N.s or to accommodate 
        students enrolled in a graduate-level nursing program 
        to provide teachers of nursing students.
    (b) Determination of Number of Students and Application.--
Each institution of higher education that offers a program 
described in subsection (a) that desires to receive a grant 
under this section shall--
          (1) determine for the 4 academic years preceding the 
        academic year for which the determination is made the 
        average number of matriculated nursing program students 
        at such institution for such academic years; and
          (2) submit an application to the Secretary at such 
        time, in such manner, and accompanied by such 
        information as the Secretary may require, including the 
        average number determined under paragraph (1).
    (c) Grant Amount; Award Basis.--
          (1) Grant amount.--For each academic year after 
        academic year 2006-2007, the Secretary shall provide to 
        each institution of higher education awarded a grant 
        under this section an amount that is equal to $3,000 
        multiplied by the number of matriculated nursing 
        program students at such institution for such academic 
        year that is more than the average number determined 
        with respect to such institution under subsection 
        (b)(1). Such amount shall be used for the purposes 
        described in subsection (a).
          (2) Distribution of grants among different degree 
        programs.--
                  (A) In general.--Subject to subparagraph (B), 
                from the funds available to award grants under 
                this section for each fiscal year, the 
                Secretary shall--
                          (i) use 20 percent of such funds to 
                        award grants under this section to 
                        institutions of higher education for 
                        the purpose of accommodating advanced 
                        practice degrees or students in 
                        graduate-level nursing programs;
                          (ii) use 40 percent of such funds to 
                        award grants under this section to 
                        institutions of higher education for 
                        the purpose of expanding R.N. nursing 
                        programs at the baccalaureate degree 
                        level; and
                          (iii) use 40 percent of such funds to 
                        award grants under this section to 
                        institutions of higher education for 
                        the purpose of expanding R.N. nursing 
                        programs at the associate degree level.
                  (B) Distribution of excess funds.--If, for a 
                fiscal year, funds described in clause (i), 
                (ii), or (iii) of subparagraph (A) remain after 
                the Secretary awards grants under this section 
                to all applicants for the particular category 
                of nursing programs described in such clause, 
                the Secretary shall use equal amounts of the 
                remaining funds to award grants under this 
                section to applicants for the remaining 
                categories of nursing programs.
                  (C) Equitable distribution.--In awarding 
                grants under this section, the Secretary shall, 
                to the extent practicable, ensure--
                          (i) an equitable geographic 
                        distribution of the grants among the 
                        States; and
                          (ii) an equitable distribution of the 
                        grants among different types of 
                        institutions of higher education.
    (d) Prohibition.--
          (1) In general.--Funds provided under this section 
        may not be used for the construction of new facilities.
          (2) Rule of construction.--Nothing in paragraph (1) 
        shall be construed to prohibit funds provided under 
        this section from being used for the repair or 
        renovation of facilities.
    (e) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary.

                  PART E--AMERICAN HISTORY FOR FREEDOM

SEC. 831. AMERICAN HISTORY FOR FREEDOM.

    (a) Grants Authorized.--The Secretary is authorized to 
award 3-year grants, on a competitive basis, to eligible 
institutions to establish or strengthen postsecondary academic 
programs or centers that promote and impart knowledge of--
          (1) traditional American history;
          (2) the history and nature of, and threats to, free 
        institutions; or
          (3) the history and achievements of Western 
        civilization.
    (b) Definitions.--In this section:
          (1) Eligible institution.--The tern ``eligible 
        institution'' means an institution of higher education 
        as defined in section 101.
          (2) Free institution.--The term ``free institution'' 
        means an institution that emerged out of Western 
        civilization, such as democracy, constitutional 
        government, individual rights, market economics, 
        religious freedom and religious tolerance, and freedom 
        of thought and inquiry.
          (3) Traditional american history.--The term 
        ``traditional American history'' means--
                  (A) the significant constitutional, 
                political, intellectual, economic, and foreign 
                policy trends and issues that have shaped the 
                course of American history; and
                  (B) the key episodes, turning points, and 
                leading figures involved in the constitutional, 
                political, intellectual, diplomatic, and 
                economic history of the United States.
    (c) Application.--
          (1) In general.--Each eligible institution that 
        desires a grant under this part shall submit an 
        application to the Secretary at such, time, in such 
        manner, and accompanied by such additional information 
        as the Secretary may require.
          (2) Contents.--Each application submitted under 
        subsection (a) shall include a description of--
                  (A) how funds made available under this part 
                will be used for the activities set forth, 
                under subsection (e), including how such 
                activities will increase knowledge with respect 
                to traditional American history, free 
                institutions, or Western civilization;
                  (B) how the eligible institution will ensure 
                that information about the activities funded 
                under this part is widely disseminated pursuant 
                to subsection (e)(1)(B);
                  (C) any activities to be undertaken pursuant 
                to subsection (e)(2)(A), including 
                identification of entities intended to 
                participate;
                  (D) how funds made available under this part 
                shall be used to supplement and not supplant 
                non-Federal funds available for the activities 
                described in subsection (e); and
                  (E) such fiscal controls and accounting 
                procedures as may be necessary to ensure proper 
                disbursement of and accounting for funding made 
                available to the eligible institution under 
                this part.
    (d) Award Basis.--In awarding grants under this part, the 
Secretary shall take into consideration the capability of the 
eligible institution to--
          (1) increase access to quality programming that 
        expands knowledge of traditional American history, free 
        institutions, or Western civilization;
          (2) involve personnel with strong expertise in 
        traditional American history, free institutions, or 
        Western civilization; and
          (3) sustain the activities funded under this part 
        after the grant has expired.
    (e) Use of Funds.--
          (1) Required use of funds.--Funds provided under this 
        part shall be used to--
                  (A) establish or strengthen academic programs 
                or centers focused on traditional American 
                history, free institutions, or Western 
                civilization, which may include--
                          (i) design and implementation of 
                        programs of study, courses, lecture 
                        series, seminars, and symposia;
                          (ii) development, publication, and 
                        dissemination of instructional 
                        materials;
                          (iii) research;
                          (iv) support for faculty teaching in 
                        undergraduate and, if applicable, 
                        graduate programs;
                          (v) support for graduate and 
                        postgraduate fellowships, if 
                        applicable; or
                          (vi) teacher preparation initiatives 
                        that stress content mastery regarding 
                        traditional American history, free 
                        institutions, or Western civilization; 
                        and
                  (B) conduct outreach activities to ensure 
                that information about the activities funded 
                under this part is widely disseminated--
                          (i) to undergraduate students 
                        (including students enrolled in teacher 
                        education programs, if applicable);
                          (ii) to graduate students (including 
                        students enrolled in teacher education 
                        programs), if applicable;
                          (iii) to faculty;
                          (iv) to local educational agencies; 
                        and
                          (v) within the local community.
          (2) Allowable uses of funds.--Funds provided under 
        this part may be used to support--
                  (A) collaboration with entities such, as--
                          (i) local educational agencies, for 
                        the purpose of providing elementary, 
                        middle and secondary school teachers an 
                        opportunity to enhance their knowledge 
                        of traditional American history, free 
                        institutions, or Western civilization; 
                        and
                          (ii) nonprofit organizations whose 
                        mission is consistent with the purpose 
                        of this part, such as academic 
                        organizations, museums, and libraries, 
                        for assistance in carrying out 
                        activities described under subsection 
                        (a); and
                  (B) other activities that meet the purposes 
                of this part.
    (f) Authorization of Appropriations.--For the purpose of 
carrying out this part, there are authorized to be appropriated 
such sums as may be necessary for fiscal year 2008 and each of 
the 5 succeeding fiscal years.

                       PART F--TEACH FOR AMERICA

SEC. 836. TEACH FOR AMERICA.

    (a) Definitions.--
          (1) In general.--The terms ``highly qualified'', 
        ``local educational agency'', and ``Secretary'' have 
        the meanigs given the terms in section 9101 of the 
        Elementary and Secondary Education Act of 1965 (20 
        U.S.C. 7801).
          (2) Grantee.--The term ``grantee'' means Teach For 
        America, Inc.
          (3) High need.--The term ``high need'', when used 
        with respect to a local educational agency, means a 
        local educational agency experiencing a shortage of 
        highly qualified teachers.
    (b) Grants Authorized.--The Secretary is authorized to 
award a grant to Teach For America, Inc., the national teacher 
corps of outstanding recent college graduates who commit to 
teach for 2 years in underserved communities in the United 
States, to implement and expand its program of recruiting, 
selecting, training, and supporting new teachers.
    (c) Requirements.--In carrying out the grant program under 
subsection (b), the Secretary shall enter into an agreement 
with the grantee under which the grantee agrees to use the 
grant funds provided under this section--
          (1) to provide highly qualified teachers to high need 
        local educational agencies in urban and rural 
        communities;
          (2) to pay the cost of recruiting, selecting, 
        training, and supporting new teachers; and
          (3) to serve a substantial number and percentage of 
        underserved students.
    (d) Authorized Activities.--
          (1) In general.--Grant funds provided under this 
        section shall be used by the grantee to carry out each 
        of the following activities:
                  (A) Recruiting and selecting teachers through 
                a highly selective national process.
                  (B) Providing preservice training to the 
                teachers through a rigorous summer institute 
                that includes hands-on teaching experience and 
                significant exposure to education coursework 
                and theory.
                  (C) Placing the teachers in schools and 
                positions designated by partner local 
                educational agencies as high need placements 
                serving underserved students.
                  (D) Providing ongoing professional 
                development activities for the teachers' first 
                2 years in the classroom, including regular 
                classroom observations and feedback, and 
                ongoing training and support.
          (2) Limitation.--The grantee shall use all grant 
        funds received under this section to support activities 
        related directly to the recruitment, selection, 
        training, and support of teachers as described in 
        subsection (a).
    (e) Reports and Evaluations.--
          (1) Annual report.--The grantee shall provide to the 
        Secretary an annual report that includes--
                  (A) data on the number and quality of the 
                teachers provided to local educational agencies 
                through a grant under this section;
                  (B) an externally conducted analysis of the 
                satisfaction of local educational agencies and 
                principals with the teachers so provided; and
                  (C) comprehensive data on the background of 
                the teachers chosen, the training the teachers 
                received, the placement sites of the teachers, 
                the professional development of the teachers, 
                and the retention of the teachers.
          (2) Study.--
                  (A) In general.--From funds appropriated 
                under subsection (f), the Secretary shall 
                provide for a study that examines the 
                achievement levels of the students taught by 
                the teachers assisted under this section.
                  (B) Achievement gains compared.--The study 
                shall compare, within the same schools, the 
                achievement gains made by students taught by 
                teachers who are assisted under this section 
                with the achievement gains made by students 
                taught by teachers who are not assisted under 
                this section.
          (3) Requirements.--The Secretary shall provide for 
        such a study not less than once every 3 years, and each 
        such study shall include multiple placement sites and 
        multiple schools within placement sites.
          (4) Peer review standards.--Each such study shall 
        meet the peer review standards of the education 
        research community.
    (f) Authorization of Appropriations.--
          (1) In general.--There are authorized to be 
        appropriated to carry out this section such sums as may 
        be necessary for fiscal year 2008 and each of the 5 
        succeeding fiscal years.
          (2) Limitation.--The grantee shall not use more than 
        25 percent of Federal funds from any source for 
        administrative costs.

                PART G--PATSY T. MINK FELLOWSHIP PROGRAM

SEC. 841. PATSY T. MINK FELLOWSHIP PROGRAM.

    (A) Purpose.--
          (1) In general.--It is the purpose of this section to 
        provide, through eligible institutions, a program of 
        fellowship awards to assist highly qualified minorities 
        and women to acquire the doctoral degree, or highest 
        possible degree available, in academic areas in which 
        such individuals are underrepresented for the purpose 
        of enabling such individuals to enter the higher 
        education professoriate.
          (2) Designation.--Each recipient of a fellowship 
        award from an eligible institution receiving a grant 
        under this section shall be known as a ``Patsy T. Mink 
        Graduate Fellow''.
    (b) Definitions.--In this section, the term ``eligible 
institution'' means an institution of higher education, or a 
consortium of such institutions, that offers a program of 
postbaccalaureate study leading to a graduate degree.
    (c) Program Authorized.--
          (1) Grants by secretary.--
                  (A) In general.--The Secretary shall award 
                grants to eligible institutions to enable such 
                institutions to make fellowship awards to 
                individuals in accordance with the provisions 
                of this section.
                  (B) Priority consideration.--In awarding 
                grants under this section, the Secretary shall 
                consider the eligible institution's prior 
                experience in producing doctoral degree, or 
                highest possible degree available, holders who 
                are minorities and women, and shall give 
                priority consideration in making grants under 
                this section to those eligible institutions 
                with a demonstrated record of producing 
                minorities and women who have earned such 
                degrees.
          (2) Applications.--
                  (A) In general.--An eligible institution that 
                desires a grant under this section shall submit 
                an application to the Secretary at such time, 
                in such manner, and containing such information 
                as the Secretary may require.
                  (B) Applications made on behalf.--
                          (i) In general.--The following 
                        entities may submit an application on 
                        behalf of an eligible institution:
                                  (I) A graduate school or 
                                department of such institution.
                                  (II) A graduate school or 
                                department of such institution 
                                in collaboration with an 
                                undergraduate college or 
                                university of such institution.
                                  (III) An organizational unit 
                                within such institution that 
                                offers a program of 
                                postbaccalaureate study leading 
                                to a graduate degree, including 
                                an interdisciplinary or an 
                                interdepartmental program.
                                  (IV) A nonprofit organization 
                                with a demonstrated record of 
                                helping minorities and women 
                                earn postbaccalaureate degrees.
                          (ii) Nonprofit organizations.--
                        Nothing in this paragraph shall be 
                        construed to permit the Secretary to 
                        award a grant under this section to an 
                        entity other than an eligible 
                        institution.
          (3) Selection of applications.--In awarding grants 
        under subsection (a), the Secretary shall--
                  (A) take into account--
                          (i) the number and distribution of 
                        minority and female faculty nationally;
                          (ii) the current and projected need 
                        for highly trained individuals in all 
                        areas of the higher education 
                        professoriate; and
                          (iii) the present and projected need 
                        for highly trained individuals in 
                        academic career fields in which 
                        minorities and women are 
                        underrepresented in the higher 
                        education professoriate; and
                  (B) consider the need to prepare a large 
                number of minorities and women generally in 
                academic career fields of high national 
                priority, especially in areas in which such 
                individuals are traditionally underrepresented 
                in college and university faculty.
          (4) Distribution and amounts of grants.--
                  (A) Equitable distribution.--In awarding 
                grants under this section, the Secretary shall, 
                to the maximum extent feasible, ensure an 
                equitable geographic distribution of awards and 
                an equitable distribution among public and 
                independent eligible institutions that apply 
                for grants under this section and that 
                demonstrate an ability to achieve the purpose 
                of this section.
                  (B) Special rule.--To the maximum extent 
                practicable, the Secretary shall use not less 
                than 30 percent of the amount appropriated 
                pursuant to subsection (f) to award grants to 
                eligible institutions that--
                          (i) are eligible for assistance under 
                        title III or title V; or
                          (ii) have formed a consortium that 
                        includes both non-minority serving 
                        institutions and minority serving 
                        institutions.
                  (C) Allocation.--In awarding grants under 
                this section, the Secretary shall allocate 
                appropriate funds to those eligible 
                institutions whose applications indicate an 
                ability to significantly increase the numbers 
                of minorities and women entering the higher 
                education professoriate and that commit 
                institutional resources to the attainment of 
                the purpose of this section.
                  (D) Number of fellowship awards.--An eligible 
                institution that receives a grant under this 
                section shall make not less than 15 fellowship 
                awards.
                  (E) Reallotment.--If the Secretary determines 
                that an eligible institution awarded a grant 
                under this section is unable to use all of the 
                grant funds awarded to the institution, the 
                Secretary shall reallot, on such date during 
                each fiscal year as the Secretary may fix, the 
                unused funds to other eligible institutions 
                that demonstrate that such institutions can use 
                any reallocated grant funds to make fellowship 
                awards to individuals under this section.
          (5) Institutional allowance.--
                  (A) In general.--
                          (i) Number of allowances.--In 
                        awarding grants under this section, the 
                        Secretary shall pay to each eligible 
                        institution awarded a grant, for each 
                        individual awarded a fellowship by such 
                        institution under this section, an 
                        institutional allowance.
                          (ii) Amount.--Except as provided in 
                        paragraph (3), an institutional 
                        allowance shall be in an amount equal 
                        to, for academic year 2007-2008 and 
                        succeeding academic years, the amount 
                        of institutional allowance made to an 
                        institution of higher education under 
                        section 715 for such academic year.
                  (B) Use of funds.--Institutional allowances 
                may be expended in the discretion of the 
                eligible institution and may be used to 
                provide, except as prohibited under paragraph 
                (4), academic support and career transition 
                services for individuals awarded fellowships by 
                such institution.
                  (C) Reduction.--The institutional allowance 
                paid under paragraph (1) shall be reduced by 
                the amount the eligible institution charges and 
                collects from a fellowship recipient for 
                tuition and other expenses as part of the 
                recipient's instructional program.
                  (D) Use for overhead prohibited.--Funds made 
                available under this section may not be used 
                for general operational overhead of the 
                academic department or institution receiving 
                funds under this section.
    (d) Fellowship Recipients.--
          (1) Authorization.--An eligible institution that 
        receives a grant under this section shall use the grant 
        funds to make fellowship awards to minorities and women 
        who are enrolled at such institution in a doctoral 
        degree, or highest possible degree available, program 
        and--
                  (A) intend to pursue a career in instruction 
                at--
                          (i) an institution of higher 
                        education (as the term is defined in 
                        section 101);
                          (ii) an institution of higher 
                        education (as the term is defined in 
                        section 102(a)(1));
                          (iii) an institution of higher 
                        education outside the United States (as 
                        the term is described in section 
                        102(a)(2)); or
                          (iv) a proprietary institution of 
                        higher education (as the term is 
                        defined in section 102(b)); and
                  (B) sign an agreement with the Secretary 
                agreeing--
                          (i) to begin employment at an 
                        institution described in paragraph (1) 
                        not later than 3 years after receiving 
                        the doctoral degree or highest possible 
                        degree available, which 3-year period 
                        may be extended by the Secretary for 
                        extraordinary circumstances; and
                          (ii) to be employed by such 
                        institution for 1 year for each year of 
                        fellowship assistance received under 
                        this section.
          (2) Failure to comply.--If an individual who receives 
        a fellowship award under this section fails to comply 
        with the agreement signed pursuant to subsection 
        (a)(2), then the Secretary shall do 1 or both of the 
        following:
                  (A) Require the individual to repay all or 
                the applicable portion of the total fellowship 
                amount awarded to the individual by converting 
                the balance due to a loan at the interest rate 
                applicable to loans made under part B of title 
                IV.
                  (B) Impose a fine or penalty in an amount to 
                be determined by the Secretary.
          (3) Waiver and modification.--
                  (A) Regulations.--The Secretary shall 
                promulgate regulations setting forth criteria 
                to be considered in granting a waiver for the 
                service requirement under subsection (a)(2).
                  (B) Content.--The criteria under paragraph 
                (1) shall include whether compliance with the 
                service requirement by the fellowship recipient 
                would be--
                          (i) inequitable and represent an 
                        extraordinary hardship; or
                          (ii) deemed impossible because the 
                        individual is permanently and totally 
                        disabled at the time of the waiver 
                        request.
          (4) Amount of fellowship awards.--Fellowship awards 
        under this section shall consist of a stipend in an 
        amount equal to the level of support provided to the 
        National Science Foundation graduate fellows, except 
        that such stipend shall be adjusted as necessary so as 
        not to exceed the fellow's tuition and fees or 
        demonstrated need (as determined by the institution of 
        higher education where the graduate student is 
        enrolled), whichever is greater.
          (5) Academic progress required.--An individual 
        student shall not be eligible to receive a fellowship 
        award--
                  (A) except during periods in which such 
                student is enrolled, and such student is 
                maintaining satisfactory academic progress in, 
                and devoting essentially full time to, study or 
                research in the pursuit of the degree for which 
                the fellowship support was awarded; and
                  (B) if the student is engaged in gainful 
                employment, other than part-time employment in 
                teaching, research, or similar activity 
                determined by the eligible institution to be 
                consistent with and supportive of the student's 
                progress toward the appropriate degree.
    (e) Rule of Construction.--Nothing in this section shall be 
construed to require an eligible institution that receives a 
grant under this section--
          (1) to grant a preference or to differentially treat 
        any applicant for a faculty position as a result of the 
        institution's participation in the program under this 
        section; or
          (2) to hire a Patsy T. Mink Fellow who completes this 
        program and seeks employment at such institution.
    (f) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section such sums as may 
be necessary for fiscal year 2008 for each of the 5 succeeding 
fiscal years.

      ``PART H--IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS

SEC. 846. IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS.

    (a) In General.--The Secretary shall contract with 1 
nonprofit organization described in subsection (b) to enable 
the nonprofit organization--
          (1) to make publicly available the year-to-year 
        higher education enrollment rate trends of secondary 
        school students, disaggregated by secondary school, in 
        full compliance with the Family Education Rights and 
        Privacy Act of 1974;
          (2) to identify not less than 50 urban local 
        educational agencies and 5 States with significant 
        rural populations, each serving a significant 
        population of low-income students, and to carry out a 
        comprehensive needs assessment in the agencies and 
        States of the factors known to contribute to improved 
        higher education enrollment rates, which factors shall 
        include--
                  (A) an evaluation of the local educational 
                agency's and State's leadership strategies;
                  (B) the secondary school curriculum and class 
                offerings of the local educational agency and 
                State;
                  (C) the professional development used by the 
                local educational agency and the State to 
                assist teachers, higher education counselors, 
                and administrators in supporting the transition 
                of secondary students into higher education;
                  (D) secondary school student attendance and 
                other factors demonstrated to be associated 
                with enrollment into higher education;
                  (E) the data systems used by the local 
                educational agency and the State to measure 
                college enrollment rates and the incentives in 
                place to motivate the efforts of faculty and 
                students to improve student and school-wide 
                outcomes; and
                  (F) strategies to mobilize student leaders to 
                build a college-bound culture; and
          (3) to provide comprehensive services to improve the 
        school-wide higher education enrollment rates of each 
        of not less than 10 local educational agencies and 
        States, with the federally funded portion of each 
        project declining by not less than 20 percent each year 
        beginning in the second year of the comprehensive 
        services, that--
                  (A) participated in the needs assessment 
                described in paragraph (2); and
                  (B) demonstrated a willingness and commitment 
                to improving the higher education enrollment 
                rates of the local educational agency or State, 
                respectively.
    (b) Grant Recipient Criteria.--The recipient of the grant 
awarded under subsection (a) shall be a nonprofit organization 
with demonstrated expertise--
          (1) in increasing school-wide higher education 
        enrollment rates in low-income communities nationwide 
        by providing curriculum, training, and technical 
        assistance to secondary school staff and student peer 
        influencers; and
          (2) in a college transition data management system.
    (c) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as are 
necessary for fiscal year 2008 and each of the 5 succeeding 
fiscal years.

                 PART I--PREDOMINANTLY BLACK INSTITUTIONS

SEC. 850. PREDOMINANTLY BLACK INSTITUTIONS.

    (a) Purpose.--It is the purpose of this section to assist 
Predominantly Black Institutions in expanding educational 
opportunity through a program of Federal assistance.
    (b) Definitions.--In this section:
          (1) Educational and general expenditures.--The term 
        ``educational and general expenditures'' has the 
        meaning given the term in section 312.
          (2) Eligible institution.--The term ``eligible 
        institution'' means an institution of higher education 
        that--
                  (A) has an enrollment of needy undergraduate 
                students;
                  (B) has an average educational and general 
                expenditure which is low, per full-time 
                equivalent undergraduate student in comparison 
                with the average educational and general 
                expenditure per full-time equivalent 
                undergraduate student of institutions that 
                offer similar instruction, except that the 
                Secretary may apply the waiver requirements 
                described in section 392(b) to this 
                subparagraph in the same manner as the 
                Secretary applies the waiver requirements to 
                section 312(b)(1)(B);
                  (C) has an enrollment of undergraduate 
                students that is not less than 40 percent Black 
                American students;
                  (D) is legally authorized to provide, and 
                provides within the State, an educational 
                program for which the institution of higher 
                education awards a baccalaureate degree, or in 
                the case of a junior or community college, an 
                associate's degree; and
                  (E) is accredited by a nationally recognized 
                accrediting agency or association determined by 
                the Secretary to be a reliable authority as to 
                the quality of training offered, or is, 
                according to such an agency or association, 
                making reasonable progress toward 
                accreditation.
          (3) Endowment fund.--The term ``endowment fund'' has 
        the meaning given the term in section 312.
          (4) Enrollment of needy students.--The term 
        ``enrollment of needy students'' means the enrollment 
        at an eligible institution with respect to which not 
        less than 50 percent of the undergraduate students 
        enrolled in an academic program leading to a degree--
                  (A) in the second fiscal year preceding the 
                fiscal year for which the determination is 
                made, were Federal Pell Grant recipients for 
                such year;
                  (B) come from families that receive benefits 
                under a means-tested Federal benefit program;
                  (C) attended a public or nonprofit private 
                secondary school--
                          (i) that is in the school district of 
                        a local educational agency that was 
                        eligible for assistance under part A of 
                        title I of the Elementary and Secondary 
                        Education Act of 1965 for any year 
                        during which the student attended such 
                        secondary school; and
                          (ii) which for the purpose of this 
                        paragraph and for that year was 
                        determined by the Secretary (pursuant 
                        to regulations and after consultation 
                        with the State educational agency of 
                        the State in which the school is 
                        located) to be a school in which the 
                        enrollment of children counted under 
                        section 1113(a)(5) of such Act exceeds 
                        30 percent of the total enrollment of 
                        such school; or
                  (D) are first-generation college students and 
                a majority of such first-generation college 
                students are low-income individuals.
          (5) First generation college student.--The term 
        ``first generation college student'' has the meaning 
        given the term in section 402A(g).
          (6) Low-income individual.--The term ``low-income 
        individual'' has the meaning given such term in section 
        402A(g).
          (7) Means-tested federal benefit program.--The term 
        ``means-tested Federal benefit program'' means a 
        program of the Federal Government, other than a program 
        under title IV, in which eligibility for the program's 
        benefits, or the amount of such benefits, are 
        determined on the basis of income or resources of the 
        individual or family seeking the benefit.
          (8) Predominantly black institution.--The 
        ``Predominantly Black Institution'' means an 
        institution of higher education, as defined in section 
        101(a)--
                  (A) that is an eligible institution with not 
                less than 1,000 undergraduate students;
                  (B) at which not less than 50 percent of the 
                undergraduate students enrolled at the eligible 
                institution are low-income individuals or first 
                generation college students; and
                  (C) at which not less than 50 percent of the 
                undergraduate students are enrolled in an 
                educational program leading to a bachelor's or 
                associate's degree that the eligible 
                institution is licensed to award by the State 
                in which the eligible institution is located.
          (9) State.--The term ``State'' means each of the 50 
        States and the District of Columbia.
    (c) Grant Authority.--
          (1) In general.--The Secretary is authorized to award 
        grants, from allotments under subsection (e), to 
        Predominantly Black Institutions to enable the 
        Predominantly Black Institutions to carry out the 
        authorized activities described in subsection (d).
          (2) Priority.--In awarding grants under this section 
        the Secretary shall give priority to Predominantly 
        Black Institutions with large numbers or percentages of 
        students described in subsections (b)(2)(A) or 
        (b)(2)(C). The level of priority given to Predominantly 
        Black Institutions with large numbers or percentages of 
        students described in subsections (b)(2)(A) shall be 
        twice the level of priority given to Predominantly 
        Black Institutions with large numbers or percentages of 
        students described in subsection (b)(2)(C).
    (d) Authorized Activities.--
          (1) Required activities.--Grant funds provided under 
        this section shall be used--
                  (A) to assist the Predominantly Black 
                Institution to plan, develop, undertake, and 
                implement programs to enhance the institution's 
                capacity to serve more low- and middle-income 
                Black American students;
                  (B) to expand higher education opportunities 
                for students eligible to participate in 
                programs under title IV by encouraging college 
                preparation and student persistence in 
                secondary school and postsecondary education; 
                and
                  (C) to strengthen the financial ability of 
                the Predominantly Black Institution to serve 
                the academic needs of the students described in 
                subparagraphs (A) and (B).
          (2) Additional activities.--Grant funds provided 
        under this section shall be used for 1 or more of the 
        following activities:
                  (A) The activities described in paragraphs 
                (1) through (11) of section 311(c).
                  (B) Academic instruction in disciplines in 
                which Black Americans are underrepresented.
                  (C) Establishing or enhancing a program of 
                teacher education designed to qualify students 
                to teach in a public elementary school or 
                secondary school in the State that shall 
                include, as part of such program, preparation 
                for teacher certification or licensure.
                  (D) Establishing community outreach programs 
                that will encourage elementary school and 
                secondary school students to develop the 
                academic skills and the interest to pursue 
                postsecondary education.
                  (E) Other activities proposed in the 
                application submitted pursuant to subsection 
                (f) that--
                          (i) contribute to carrying out the 
                        purpose of this section; and
                          (ii) are approved by the Secretary as 
                        part of the review and approval of an 
                        application submitted under subsection 
                        (f).
          (3) Endowment fund.--
                  (A) In general.--A Predominantly Black 
                Institution may use not more than 20 percent of 
                the grant funds provided under this section to 
                establish or increase an endowment fund at the 
                institution.
                  (B) Matching requirement.--In order to be 
                eligible to use grant funds in accordance with 
                subparagraph (A), a Predominantly Black 
                Institution shall provide matching funds from 
                non-Federal sources, in an amount equal to or 
                greater than the Federal funds used in 
                accordance with subparagraph (A), for the 
                establishment or increase of the endowment 
                fund.
                  (C) Comparability.--The provisions of part C 
                of title III, regarding the establishment or 
                increase of an endowment fund that the 
                Secretary determines are not inconsistent with, 
                this subsection, shall apply to funds used 
                under subparagraph (A).
          (4) Limitation.--Not more than 50 percent of the 
        grant funds provided to a Predominantly Black 
        Institution under this section may be available for the 
        purpose of constructing or maintaining a classroom, 
        library, laboratory, or other instructional facility.
    (e) Allotments to Predominantly Black Institutions.--
          (1) Federal pell grant basis.--From the amounts 
        appropriated to carry out this section for any fiscal 
        year, the Secretary shall allot to each Predominantly 
        Black Institution having an application approved under 
        subsection (f) a sum that bears the same ratio to one-
        half of that amount as the number of Federal Pell Grant 
        recipients in attendance at such institution at the end 
        of the academic year preceding the beginning of that 
        fiscal year, bears to the total number of Federal Pell 
        Grant recipients at all such institutions at the end of 
        such academic year.
          (2) Graduates basis.--From, the amounts appropriated 
        to carry out this section for any fiscal year, the 
        Secretary shall allot to each Predominantly Black 
        Institution having an application approved under 
        subsection (f) a sum that bears the same ratio to one-
        fourth of that amount as the number of graduates for 
        such academic year at such institution, bears to the 
        total number of graduates for such academic year at all 
        such institutions.
          (3) Graduates seeking a higher degree basis.--From 
        the amounts appropriated to carry out this section for 
        any fiscal year, the Secretary shall allot to each 
        Predominantly Black Institution having an application 
        approved under subsection (f) a sum that bears the same 
        ratio to one-fourth of that amount as the percentage of 
        graduates from such institution who are admitted to and 
        in attendance at, not later than 2 years after 
        graduation with an associate's degree or a 
        baccalaureate degree, a baccalaureate degree-granting 
        institution or a graduate or professional school in a 
        degree program in disciplines in which Black American 
        students are underrepresented, bears to the percentage 
        of such graduates for all such institutions.
          (4) Minimum allotment.--
                  (A) In general.--Notwithstanding paragraphs 
                (1), (2), and (3), the amount allotted to each 
                Predominantly Black Institution under this 
                section shall not be less than $250,000.
                  (B) Insufficient amount.--If the amount 
                appropriated pursuant to subsection (i) for a 
                fiscal year is not sufficient to pay the 
                minimum allotment provided under subparagraph 
                (A) for the fiscal year, then the amount of 
                such minimum allotment shall be ratably 
                reduced. If additional sums become available 
                for such fiscal year, such reduced allotment 
                shall be increased on the same basis as the 
                allotment was reduced until the amount allotted 
                equals the minimum allotment required under 
                subparagraph (A).
          (5) Reallotment.--The amount of a Predominantly Black 
        Institution's allotment under paragraph (1), (2), (3), 
        or (4) for any fiscal year that the Secretary 
        determines will not be required for such institution 
        for the period such allotment is available, shall be 
        available for reallotment to other Predominantly Black 
        Institutions in proportion to the original allotment to 
        such other institutions under this section for such 
        fiscal year. The Secretary shall reallot such amounts 
        from time to time, on such date and during such period 
        as the Secretary determines appropriate.
    (f) Applications.--Each Predominantly Black Institution 
desiring a grant under this section shall submit an application 
to the Secretary at such time, in such manner, and containing 
or accompanied by such information as the Secretary may 
reasonably require.
    (g) Prohibition.--No Predominantly Black Institution that 
applies for and receives a grant under this section may apply 
for or receive funds under any other program under part A or 
part B of title III.
    (h) Duration and Carryover.--Any grant funds paid to a 
Predominantly Black Institution under this section that are not 
expended or used for the purposes for which the funds were paid 
within 10 years following the date on which the grant was 
awarded, shall be repaid to the Treasury.
    (i) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary for fiscal year 2008 and each of 5 succeeding 
fiscal years.

 PART J--EARLY CHILDHOOD EDUCATION PROFESSIONAL DEVELOPMENT AND CAREER 
                               TASK FORCE

SEC. 851. SHORT TITLE.

    This part may be cited as the ``Early Childhood Education 
Professional Development and Career Task Force Act''.

SEC. 852. PURPOSE.

    It is the purpose of this part--
          (1) to improve the quality of the early childhood 
        education workforce by creating a statewide early 
        childhood education professional development and career 
        task force for early childhood education program staff, 
        directors, and administrators; and
          (2) to create--
                  (A) a coherent system of core competencies, 
                pathways to qualifications, credentials, 
                degrees, quality assurances, access, and 
                outreach, for early childhood education program 
                staff, directors, and administrators, that is 
                linked to compensation commensurate with 
                experience and qualifications;
                  (B) articulation agreements that enable early 
                childhood education professionals to transition 
                easily among degrees; and
                  (C) compensation initiatives for individuals 
                working in an early childhood education program 
                that reflect the individuals' credentials, 
                degrees, and experience.

 SEC. 853. DEFINITION OF EARLY CHILDHOOD EDUCATION PROGRAM.

    In this part, the term ``early childhood education 
program'' means--
          (1) a family child care program, center-based child 
        care program, State prekindergarten program, or school-
        based program, that--
                  (A) provides early childhood education;
                  (B) uses developmentally appropriate 
                practices;
                  (C) is licensed or regulated by the State; 
                and
                  (D) serves children from birth through age 5;
          (2) a Head Start Program carried out under the Head 
        Start Act; or
          (3) an Early Head Start Program carried out under 
        section 645A of the Head Start Act.

SEC. 854. GRANTS AUTHORIZED.

    (a) In General.--The Secretary is authorized to award 
grants to States in accordance with the provisions of this part 
to enable such States--
          (1) to establish a State Task Force described in 
        section 855; and
          (2) to support activities of the State Task Force 
        described in section 856.
    (b) Competitive Basis.--Grants under this part shall be 
awarded on a competitive basis.
    (c) Equitable Geographic Distribution.--In awarding grants 
under this part, the Secretary shall take into consideration 
providing an equitable geographic distribution of such grants.
    (d) Duration.--Grants under this part shall be awarded for 
a period of 5 years.

SEC. 855. STATE TASK FORCE ESTABLISHMENT.

    (a) State Task Force Established.--The Governor of a State 
receiving a grant under this part shall establish, or designate 
an existing entity to serve as, the State Early Childhood 
Education Professional Development and Career Task Force 
(hereafter in this part referred to as the ``State Task 
Force''.
    (b) Membership.--The State Task Force shall include a 
representative of a State agency, an institution of higher 
education (including an associate or a baccalaureate degree 
granting institution of higher education), an early childhood 
education program, a nonprofit early childhood organization, a 
statewide early childhood workforce scholarship or supplemental 
initiative, and any other entity or individual the Governor 
determines appropriate.

SEC. 856. STATE TASK FORCE ACTIVITIES.

    (a) Activities.--The State Task Force shall--
          (1) coordinate and communicate regularly with the 
        State Advisory Council on Early Care and Education 
        (hereafter in this part referred to as ``State Advisory 
        Council'') or a similar State entity charged with 
        creating a comprehensive system of early care and 
        education in the State, for the purposes of--
                  (A) integrating recommendations for early 
                childhood professional development and career 
                activities into the plans of the State Advisory 
                Council; and
                  (B) assisting in the implementation of 
                professional development and career activities 
                that are consistent with the plans described in 
                subparagraph (A);
          (2) conduct a review of opportunities for and 
        barriers to high quality professional development, 
        training, and higher education degree programs, in 
        early childhood development and learning, including a 
        periodic statewide survey concerning the demographics 
        of individuals working in early childhood education 
        programs in the State, which survey shall include 
        information disaggregated by--
                  (A) race, gender, and ethnicity;
                  (B) compensation levels;
                  (C) type of early childhood education program 
                setting;
                  (D) specialized knowledge of child 
                development;
                  (E) years of experience in an early childhood 
                education program; and
                  (F) attainment of--
                          (i) academic credit for coursework;
                          (ii) an academic degree;
                          (iii) a credential;
                          (iv) licensure; or
                          (v) certification in early childhood 
                        education; and
          (3) develop a plan for a comprehensive statewide 
        professional development and career system for 
        individuals working in early childhood education 
        programs or for early childhood education providers, 
        which plan shall include--
                  (A) methods of providing outreach to early 
                childhood education program staff, directors, 
                and administrators, including methods for how 
                outreach is provided to non-English speaking 
                providers, in order to enable the providers to 
                be aware of opportunities and resources under 
                the statewide plan;
                  (B) developing a unified data collection and 
                dissemination system for early childhood 
                education training, professional development, 
                and higher education programs;
                  (C) increasing the participation of early 
                childhood educators in high quality training 
                and professional development by assisting in 
                paying the costs of enrollment in and 
                completion of such training and professional 
                development courses;
                  (D) increasing the participation of early 
                childhood educators in postsecondary education 
                programs leading to degrees in early childhood 
                education by providing assistance to pay the 
                costs of enrollment in and completion of such 
                postsecondary education programs, which 
                assistance--
                          (i) shall only be provided to an 
                        individual who--
                                  (I) enters into an agreement 
                                under which the individual 
                                agrees to work, for a 
                                reasonable number of years 
                                after receiving such a degree, 
                                in an early childhood education 
                                program that is located in a 
                                low-income area; and
                                  (II) has a family income 
                                equal to or less than the 
                                annually adjusted national 
                                median family income as 
                                determined by the Bureau of the 
                                Census; and
                          (ii) shall be provided in an amount 
                        that does not exceed $17,500;
                  (E) supporting professional development 
                activities and a career lattice for a variety 
                of early childhood professional roles with 
                varying professional qualifications and 
                responsibilities for early childhood education 
                personnel, including strategies to enhance the 
                compensation of such personnel;
                  (F) supporting articulation agreements 
                between 2- and 4-year public and private 
                institutions of higher education and mechanisms 
                to transform other training, professional 
                development, and experience into academic 
                credit;
                  (G) developing mentoring and coaching 
                programs to support new educators in and 
                directors of early childhood education 
                programs;
                  (H) providing career development advising 
                with respect to the field of early childhood 
                education, including informing an individual 
                regarding--
                          (i) entry into and continuing 
                        education requirements for professional 
                        roles in the field;
                          (ii) available financial assistance; 
                        and
                          (iii) professional development and 
                        career advancement in the field;
                  (I) enhancing the quality of faculty and 
                coursework in postsecondary programs that lead 
                to an associate, baccalaureate, or graduate 
                degree in early childhood education;
                  (J) consideration of the availability of 
                online graduate level professional development 
                offered by institutions of higher education 
                with experience and demonstrated expertise in 
                establishing programs in child development, in 
                order to improve the skills and expertise of 
                individuals working in early childhood 
                education programs; and
                  (K) developing or enhancing a system of 
                quality assurance with respect to the early 
                childhood education professional development 
                and career system, including standards or 
                qualifications for individuals and entities who 
                offer training and professional development in 
                early childhood education.
    (b) Public Hearings.--The State Task Force shall hold 
public hearings and provide an opportunity for public comment 
on the activities described in the statewide plan described in 
subsection (a)(3).
    (c) Periodic Review.--The State Task Force shall meet 
periodically to review implementation of the statewide plan and 
to recommend any changes to the statewide plan the State Task 
Force determines necessary.

SEC. 857. STATE APPLICATION AND REPORT.

    (a) In General.--Each State desiring a grant under this 
part shall submit an application to the Secretary at such time, 
in such manner, and accompanied by such information as the 
Secretary may reasonably require. Each such application shall 
include a description of--
          (1) the membership of the State Task Force;
          (2) the activities for which the grant assistance 
        will be used;
          (3) other Federal, State, local, and private 
        resources that will be available to support the 
        activities of the State Task Force described in section 
        856;
          (4) the availability within the State of training, 
        early childhood educator preparation, professional 
        development, compensation initiatives, and career 
        systems, related to early childhood education; and
          (5) the resources available within the State for such 
        training, educator preparation, professional 
        development, compensation initiatives, and career 
        systems.
    (b) Report to the Secretary.--Not later than 2 years after 
receiving a grant under this part, a State shall submit a 
report to the Secretary that shall describe--
          (1) other Federal, State, local, and private 
        resources that will be used in combination with a grant 
        under this section to develop or expand the State's 
        early childhood education professional development and 
        career activities;
          (2) the ways in which the State Advisory Council (or 
        similar State entity) will coordinate the various State 
        and local activities that support the early childhood 
        education professional development and career system; 
        and
          (3) the ways in which the State Task Force will use 
        funds provided under this part and carry out the 
        activities described in section 856.

SEC. 858. EVALUATIONS.

    (a) State Evaluation.--Each, State receiving a grant under 
this part shall--
          (1) evaluate the activities that are assisted under 
        this part in order to determine--
                  (A) the effectiveness of the activities in 
                achieving State goals;
                  (B) the impact of a career lattice for 
                individuals working in early childhood 
                education programs;
                  (C) the impact of the activities on licensing 
                or regulating requirements for individuals in 
                the field of early childhood development;
                  (D) the impact of the activities, and the 
                impact of the statewide plan described in 
                section 856(a)(3), on the quality of education, 
                professional development, and training related 
                to early childhood education programs that are 
                offered in the State;
                  (E) the change in compensation and retention 
                of individuals working in early childhood 
                education programs within the State resulting 
                from the activities; and
                  (F) the impact of the activities on the 
                demographic characteristics of individuals 
                working in early childhood education programs; 
                and
          (2) submit a report at the end of the grant period to 
        the Secretary regarding the evaluation described in 
        paragraph (1).
    (b) Secretary's Evaluation.--Not later than September 30, 
2013, the Secretary, in consultation with the Secretary of 
Health and Human Services, shall prepare and submit to the 
authorizing committees an evaluation of the State reports 
submitted under subsection (a)(2).

SEC. 859. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated to carry out this 
part such sums as may be necessary for fiscal year 2008 and 
each of the 5 succeeding fiscal years.

  PART K--IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 
  EDUCATION WITH A FOCUS ON ALASKA NATIVE AND NATIVE HAWAIIAN STUDENTS

SEC. 861. IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 
                    EDUCATION WITH A FOCUS ON ALASKA NATIVE AND NATIVE 
                    HAWAIIAN STUDENTS.

    (a) Purpose.--The purpose of this section is--
          (1) to develop or expand programs for the development 
        of professionals in the fields of science, technology, 
        engineering, and mathematics; and
          (2) to focus resources on meeting the educational and 
        cultural needs of Alaska Natives and Native Hawaiians.
    (b) Definitions.--In this section:
          (1) Alaska native.--The term ``Alaska Native'' has 
        the meaning given the term ``Native'' in section 3(b) 
        of the Alaska Natives Claims Settlement Act (43 U.S.C. 
        1602(b)).
          (2) Institution of higher education.--The term 
        ``institution of higher education'' has the meaning 
        given the term in section 101(a).
          (3) Eligible partnership.--The term ``eligible 
        partnership'' means a partnership that includes--
                  (A) 1 or more colleges or schools of 
                engineering;
                  (B) 1 or more colleges of science, 
                engineering, or mathematics;
                  (C) 1 or more institutions of higher 
                education that offer 2-year degrees; and
                  (D) 1 or more private entities that--
                          (i) conduct career awareness 
                        activities showcasing local technology 
                        professionals;
                          (ii) encourage students to pursue 
                        education in science, technology, 
                        engineering, and mathematics from 
                        elementary school through college, and 
                        careers in those fields, with the 
                        assistance of local technology 
                        professionals;
                          (iii) develop internships, 
                        apprenticeships, and mentoring programs 
                        in partnership with relevant 
                        industries; and
                          (iv) assist with placement of interns 
                        and apprentices.
          (4) Native hawaiian.--The term ``Native Hawaiian'' 
        has the meaning given the term in section 7207 of the 
        Elementary and Secondary Education Act of 1965.
    (c) Grant Authorized.--The Secretary is authorized to award 
a grant to an eligible partnership to enable the eligible 
partnership to expand programs for the development of science, 
technology, engineering, or mathematics professionals, from 
elementary school through college, including existing programs 
for Alaska Native and Native Hawaiian students.
    (d) Uses of Funds.--Grant funds under this section shall be 
used for 1 or more of the following:
          (1) Development or implementation of cultural, 
        social, or educational transition programs to assist 
        students to transition into college life and academics 
        in order to increase such students' retention rates in 
        the fields of science, technology, engineering, or 
        mathematics, with a focus on Alaska Native or Native 
        Hawaiian students.
          (2) Development or implementation of academic support 
        or supplemental educational programs to increase the 
        graduation rates of students in the fields of science, 
        technology, engineering, or mathematics, with a focus 
        on Alaska Native and Native Hawaiian students.
          (3) Development or implementation of internship 
        programs, carried out in coordination with educational 
        institutions and private entities, to prepare students 
        for careers in the fields of science, technology, 
        engineering, or mathematics, with a focus on programs 
        that serve Alaska Native or Native Hawaiian students.
          (4) Such other activities that are consistent with 
        the purposes of this section.
    (e) Application.--Each eligible partnership that desires a 
grant under this section shall submit an application to the 
Secretary at such time, in such manner, and containing such 
information as the Secretary may require.
    (f) Priority.--In awarding grants under this section, the 
Secretary shall give priority to an eligible partnership that 
provides 1 or more programs in which 30 percent or more of the 
program participants are Alaska Native or Native Hawaiian.
    (g) Period of Grant.--A grant under this section shall be 
awarded for a period of 5 years.
    (h) Evaluation and Report.--Each eligible partnership that 
receives a grant under this section shall conduct an evaluation 
to determine the effectiveness of the programs funded under the 
grant and shall provide a report regarding the evaluation to 
the Secretary not later than 6 months after the end of the 
grant period.
    (i) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary for fiscal year 2008 and each of the 5 succeeding 
fiscal years.

  PART L--PILOT PROGRAM TO INCREASE PERSISTENCE IN COMMUNITY COLLEGES

SEC. 865. PILOT PROGRAM TO INCREASE PERSISTENCE IN COMMUNITY COLLEGES.

    (a) Definitions.--In this section:
          (1) Institution of higher education.--Except as 
        otherwise provided in this section, the term 
        ``institution of higher education'' means an 
        institution of higher education, as defined in section 
        101, that provides a 1- or 2-year program of study 
        leading to a degree or certificate.
          (2) Eligible student.--The term ``eligible student'' 
        means a student who--
                  (A) meets the requirements of section 484(a);
                  (B) is enrolled at least half time;
                  (C) is not younger than age 19 and not older 
                than age 33;
                  (D) is the parent of at least 1 dependent 
                child, which dependent child is age 18 or 
                younger;
                  (E) has a family income below 200 percent of 
                the poverty line;
                  (F) has a secondary school diploma or its 
                recognized equivalent, and earned a passing 
                score on a college entrance examination; and
                  (G) does not have a degree or occupational 
                certificate from an institution of higher 
                education, as defined in section 101 or 102(a).
    (b) Program Authorized.--The Secretary is authorized to 
award grants, on a competitive basis, to institutions of higher 
education to enable the institutions of higher education to 
provide additional monetary and nonmonetary support to eligible 
students to enable the eligible students to maintain enrollment 
and complete degree or certificate programs.
    (c) Uses of Funds.--
          (1) Required uses.--Each institution of higher 
        education receiving a grant under this section shall 
        use the grant funds--
                  (A) to provide scholarships in accordance 
                with subsection (d); and
                  (B) to provide counseling services in 
                accordance with subsection (e).
          (2) Allowable uses of funds.--Grant funds provided 
        under this section may be used--
                  (A) to conduct outreach to make students 
                aware of the scholarships and counseling 
                services available under this section and to 
                encourage the students to participate in the 
                program assisted under this section;
                  (B) to provide gifts of $20 or less, such as 
                a store gift card, to applicants who complete 
                the process of applying for assistance under 
                this section, as an incentive and as 
                compensation for the student's time; and
                  (C) to evaluate the success of the program.
    (d) Scholarship Requirements.--
          (1) In general.--Each scholarship awarded under this 
        section shall--
                  (A) be awarded for 1 academic year;
                  (B) be awarded in the amount of $1,000 for 
                each of 2 semesters (prorated for quarters), or 
                $2,000 for an academic year;
                  (C) require the student to maintain during 
                the scholarship period at least half-time 
                enrollment and a 2.0 or C grade point average; 
                and
                  (D) be paid in increments of--
                          (i) $250 upon enrollment (prorated 
                        for quarters);
                          (ii) $250 upon passing midterm 
                        examinations (prorated for quarters); 
                        and
                          (iii) $500 upon passing courses 
                        (prorated for quarters).
          (2) Number.--An institution may award an eligible 
        student not more than 2 scholarships under this 
        section.
    (e) Counseling Services.--
          (1) In general.--Each institution of higher education 
        receiving a grant under this section shall use the 
        grant funds to provide students at the institution with 
        a counseling staff dedicated to students participating 
        in the program under this section. Each such counselor 
        shall--
                  (A) have a caseload of less than 125 
                students;
                  (B) use a proactive, team-oriented approach 
                to counseling;
                  (C) hold a minimum of 2 meetings with 
                students each semester; and
                  (D) provide referrals to and follow-up with 
                other student services staff, including 
                financial and career services.
          (2) Counseling services availability.--The counseling 
        services provided under this section shall be available 
        to participating students during the daytime and 
        evening hours.
    (f) Application.--An institution of higher education that 
desires to receive a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require, 
including--
          (1) the number of students to be served under this 
        section;
          (2) a description of the scholarships and counseling 
        services that will be provided under this section; and
          (3) a description of how the program under this 
        section will be evaluated.
    (g) Period of Grant.--The Secretary may award a grant under 
this section for a period of 5 years.
    (h) Evaluation.--
          (1) In general.--Each institution of higher education 
        receiving a grant under this section shall conduct an 
        annual evaluation of the impact of the grant and shall 
        provide the evaluation to the Secretary. The Secretary 
        shall disseminate to the public the findings, 
        information on best practices, and lessons learned, 
        with respect to the evaluations.
          (2) Random assignment research design.--The 
        evaluation shall be conducted using a random assignment 
        research design with the following requirements:
                  (A) When students are recruited for the 
                program, all students will be told about the 
                program and the evaluation.
                  (B) Baseline data will be collected from all 
                applicants for assistance under this section.
                  (C) Students will be assigned randomly to 2 
                groups, which will consist of--
                          (i) a program group that will receive 
                        the scholarship and the additional 
                        counseling services; and
                          (ii) a control group that will 
                        receive whatever regular financial aid 
                        and counseling services are available 
                        to all students at the institution of 
                        higher education.
          (3) Previous cohorts.--In conducting the evaluation 
        for the second and third years of the program, each 
        institution of higher education shall include 
        information on previous cohorts of students as well as 
        students in the current program year.
                  (i) Authorization of Appropriations.--There 
                are authorized to be appropriated to carry out 
                this section such sums as may be necessary for 
                fiscal year 2008 and each of the 5 succeeding 
                fiscal years.

         PART M--STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT

SEC. 871. STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT.

    (a) Grants Authorized.--
          (1) In general.--The Secretary is authorized to award 
        grants, on a competitive basis, to institutions of 
        higher education or consortia of institutions of higher 
        education to enable institutions of higher education or 
        consortia to pay the Federal share of the cost of 
        carrying out the authorized activities described in 
        subsection (c).
          (2) Consultation with the attorney general and the 
        secretary of homeland security.--Where appropriate, the 
        Secretary shall award grants under this section in 
        consultation with, the Attorney General of the United 
        States and the Secretary of Homeland Security.
          (3) Duration.--The Secretary shall award each, grant 
        under this section for a period of 2 years.
          (4) Limitation on institutions and consortia.--An 
        institution of higher education or consortium shall be 
        eligible for only 1 grant under this section.
    (b) Federal Share, Non-Federal Share.--
          (1) In general.--The Federal share shall be 50 
        percent.
          (2) Non-federal share.--The institution of higher 
        education or consortium shall provide the non-Federal 
        share, which may be provided from other Federal, State, 
        and local resources dedicated to emergency preparedness 
        and response.
    (c) Authorized Activities.--Each institution of higher 
education or consortium receiving a grant under this section 
may use the grant funds to carry out 1 or more of the 
following:
          (1) Developing and implementing a state-of-the-art 
        emergency communications system for each campus of an 
        institution of higher education or consortium, in order 
        to contact students via cellular, text message, or 
        other state-of-the-art communications methods when a 
        significant emergency or dangerous situation occurs. An 
        institution or consortium using grant funds to carry 
        out this paragraph shall also, in coordination with the 
        appropriate State and local emergency management 
        authorities--
                  (A) develop procedures that students, 
                employees, and others on a campus of an 
                institution of higher education or consortium 
                will be directed to follow in the event of a 
                significant emergency or dangerous situation; 
                and
                  (B) develop procedures the institution of 
                higher education or consortium shall follow to 
                inform, within a reasonable and timely manner, 
                students, employees, and others on a campus in 
                the event of a significant emergency or 
                dangerous situation, which procedures shall 
                include the emergency communications system 
                described in this paragraph.
          (2) Supporting measures to improve safety at the 
        institution of higher education or consortium, such 
        as--
                  (A) security assessments;
                  (B) security training of personnel and 
                students at the institution of higher education 
                or consortium;
                  (C) where appropriate, coordination of campus 
                preparedness and response efforts with local 
                law enforcement, local emergency management 
                authorities, and other agencies, to improve 
                coordinated responses in emergencies among such 
                entities; and
                  (D) establishing a hotline that allows a 
                student or staff member at an institution or 
                consortium to report another student or staff 
                member at the institution or consortium who the 
                reporting student or staff member believes may 
                be a danger to the reported student or staff 
                member or to others.
          (3) Coordinating with appropriate local entities the 
        provision of, mental health services for students 
        enrolled in the institution of higher education or 
        consortium, including mental health crisis response and 
        intervention services, to individuals affected by a 
        campus or community emergency.
    (d) Application.--Each institution of higher education or 
consortium desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require.
    (e) Technical Assistance.--The Secretary shall coordinate 
technical assistance provided by State and local emergency 
management agencies, the Department of Homeland Security, and 
other agencies as appropriate, to institutions of higher 
education or consortia that request assistance in developing 
and implementing the activities assisted under this section.
    (f) Rule of Construction.--Nothing in this section shall be 
construed--
          (1) to provide a private right of action to any 
        person to enforce any provision of this section;
          (2) to create a cause of action against any 
        institution of higher education or any employee of the 
        institution for any civil liability; or
          (3) to affect the Family Educational Rights and 
        Privacy Act of 1974 or the regulations issued under 
        section 264 of the Health Insurance Portability and 
        Accountability Act of 1996 (42 U.S.C. 1320d-2 note).
    (g) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary for fiscal year 2008 and each of the 5 succeeding 
fiscal years.

SEC. 872. MODEL EMERGENCY RESPONSE POLICIES, PROCEDURES, AND PRACTICES.

    The Secretary of Education, the Attorney General of the 
United States, and the Secretary of Homeland Security shall 
jointly have the authority--
          (1) to advise institutions of higher education on 
        model emergency response policies, procedures, and 
        practices; and
          (2) to disseminate information concerning those 
        policies, procedures, and practices.

           *       *       *       *       *       *       *

EDUCATION OF THE DEAF ACT OF 1986

           *       *       *       *       *       *       *

  TITLE I--GALLAUDET UNIVERSITY; NATIONAL TECHNICAL INSTITUTE FOR THE 
                          DEAF; OTHER PROGRAMS

                      PART A--GALLAUDET UNIVERSITY

SEC. 101. [20 U.S.C. 4301] CONTINUATION OF GALLAUDET COLLEGE AS 
                    GALLAUDET UNIVERSITY.

    (a) Gallaudet University.--* * *

           *       *       *       *       *       *       *

SEC. 104. [ELEMENTARY AND SECONDARY EDUCATION PROGRAMS]. LAURENT CLERC 
                    NATIONAL DEAF EDUCATION CENTER

    (a) General Authority.--(1)(A) The Board of Trustees of 
Gallaudet University is authorized, in accordance with the 
agreement under section 105, to maintain and operate the 
Laurent Clerc National Deaf Education Center (referred to in 
this section as the ``Clerc Center'' to carry out exemplary 
elementary and secondary education programs, projects, and 
activities for the primary purpose of developing, evaluating, 
and disseminating innovative curricula, instructional 
techniques and strategies, and materials that can be used in 
various educational environments serving individuals who are 
deaf or hard of hearing throughout the Nation.

           *       *       *       *       *       *       *

    (b) Administrative Requirements.--
          (1) The [elementary and secondary education programs] 
        Clerc Center shall--
                  (A) * * *

           *       *       *       *       *       *       *

          (2) To the extent possible, the [elementary and 
        secondary education programs] Clerc Center shall 
        provide the services required under paragraph (1)(B) in 
        an equitable manner, based on the national distribution 
        of students who are deaf or hard of hearing in 
        educational environments as determined by the Secretary 
        for purposes of section 618(a)(1) \1\ of the 
        Individuals with Disabilities Education Act. Such 
        educational environments shall include--
                (A) * * *

           *       *       *       *       *       *       *

          (4) * * *

           *       *       *       *       *       *       *

          (5) The University, for purposes of the elementary 
        and secondary education programs carried out at the 
        Clerc Center, shall--
                  (A)(i) select challenging academic content 
                standards, challenging student academic 
                achievement standards, and academic assessments 
                of a State, adopted and implemented, as 
                appropriate, pursuant to paragraphs (1) and (3) 
                of section 1111(b) of the Elementary and 
                Secondary Education Act of 1965 (20 U.S.C. 
                6311(b)(1) and (3)) and approved by the 
                Secretary; and
                  (ii) implement such standards and assessments 
                for such programs by not later than the 
                beginning of the 2009-2010 academic year;
                  (B) annually determine whether such programs 
                at the Clerc Center are making adequate yearly 
                progress, as determined according to the 
                definition of adequate yearly progress defined 
                (pursuant to section 1111(b)(2)(C) of such Act 
                (20 U.S.C. 6311(b)(2)(C))) by the State that 
                has adopted and implemented the standards and 
                assessments selected under subparagraph (A)(i); 
                and
                  (C) publicly report the results of the 
                academic assessments implemented under 
                subparagraph (A) and whether the programs at 
                the Clerc Center are making adequate yearly 
                progress, as determined under subparagraph (B).

           *       *       *       *       *       *       *

SEC. 105. AGREEMENT WITH GALLAUDET UNIVERSITY.

    (a) General Authority.--* * *

           *       *       *       *       *       *       *

    (b) Provisions of Agreement.--The agreement shall--
          (1) * * *

           *       *       *       *       *       *       *

          (4) provide that any laborer or mechanic employed by 
        any contractor or subcontractor in the performance of 
        work on any construction aided by Federal funds 
        appropriated for the benefit of the Kendall 
        Demonstration Elementary School or the Model Secondary 
        School for the Deaf will be paid wages at rates not 
        less than those prevailing on similar construction in 
        the locality as determined by the Secretary of Labor in 
        accordance with [the Act of March 3, 1931 (40 U.S.C. 
        276a-276a-5) commonly referred to as the Davis-Bacon 
        Act]subchapter IV of chapter 31 of title 40, United 
        States Code, commonly referred to as the Davis-Bacon 
        Act; except that the Secretary of Labor shall have, 
        with respect to the labor standards specified in this 
        paragraph, the authority and functions set forth in 
        Reorganization Plan Numbered 14 of 1950 (5 U.S.C. App.) 
        and [section 2 of the Act of June 13, 1934 (40 U.S.C. 
        276c)]section 3145 of title 40, United States Code; and

           PART B--NATIONAL TECHNICAL INSTITUTE FOR THE DEAF

SEC. 111. [20 U.S.C. 4331] AUTHORITY.

           *       *       *       *       *       *       *

SEC. 112. [20 U.S.C. 4332] AGREEMENT FOR THE NATIONAL TECHNICAL 
                    INSTITUTE FOR THE DEAF.

    (a) General Authority.--
          (1) The Secretary is authorized to establish or 
        continue an agreement with [an institution of higher 
        education]the Rochester Institute of Technology, 
        Rochester, New York for the establishment and 
        operation, including construction and equipment, [of 
        a]of the National Technical Institute for the Deaf. 
        [The Secretary, in considering proposals from 
        institutions of higher education to enter into an 
        agreement under this part, shall give preference to 
        institutions which are located in metropolitan 
        industrial areas.]
          (2) Notwithstanding the requirement under paragraph 
        (1), if the Secretary or the Rochester Institute of 
        Technology terminates the agreement under paragraph 
        (1), the Secretary shall consider proposals from other 
        institutions of higher education and enter into an 
        agreement with 1 of such institutions for the 
        establishment and operation of a National Technical 
        Institution for the Deaf.
          [(2)](3) * * *

           *       *       *       *       *       *       *

    (b) Provisions of Agreement.--The agreement shall--
          (1) * * *

           *       *       *       *       *       *       *

          (3) provide that the Board of Trustees or other 
        governing body of the institution will prepare and 
        submit to the Secretary, not later than June 1 
        following the fiscal year for which the report is 
        submitted, an annual report containing an accounting of 
        all indirect costs paid to the institution of higher 
        education under the agreement with the Secretary, which 
        accounting the Secretary shall transmit to the 
        [Committee on Education and Labor of the House of 
        Representatives and to the Committee on Labor and Human 
        Resources of the Senate]Committee on Health, Education, 
        Labor, and Pensions of the Senate, with such comments 
        and recommendations as the Secretary may deem 
        appropriate;

           *       *       *       *       *       *       *

          (5) provide that any laborer or mechanic employed by 
        any contractor or subcontractor in the performance of 
        work on any construction aided by Federal funds 
        appropriated for the benefit of NTID will be paid wages 
        at rates not less than those prevailing on similar 
        construction in the locality as determined by the 
        Secretary of Labor in accordance with [the Act of March 
        3, 1931 (40 U.S.C. 276a-276a-5) commonly referred to as 
        the Davis-Bacon Act]subchapter IV of chapter 31 of 
        title 40, United States Code, commonly referred to as 
        the Davis-Bacon Act; except that the Secretary of Labor 
        shall have, with respect to the labor standards 
        specified in this paragraph, the authority and 
        functions set forth in Reorganization Plan Numbered 14 
        of 1950 (5 U.S.C. App.) and [section 2 of the Act of 
        June 13, 1934 (40 U.S.C. 276c)]section 3145 of title 
        40, United States Code; and

           *       *       *       *       *       *       *

    (c) * * *

           *       *       *       *       *       *       *

                         PART C--OTHER PROGRAMS

SEC. 121. CULTURAL EXPERIENCES GRANTS.

    (a) In General.--The Secretary shall, on a competitive 
basis, make grants to, and enter into contracts and cooperative 
agreements with, eligible entities to support the activities 
described in subsection (b).
    (b) Activities.--In carrying out this section, the 
Secretary shall support activities providing cultural 
experiences, through appropriate nonprofit organizations with a 
demonstrated proficiency in providing such activities, that--
          (1) enrich the lives of deaf and hard-of-hearing 
        children and adults;
          (2) increase public awareness and understanding of 
        deafness and of the artistic and intellectual 
        achievements of deaf and hard-of-hearing persons; or
          (3) promote the integration of hearing, deaf, and 
        hard-of-hearing persons through shared cultural, 
        educational, and social experiences.
    (c) Applications.--An eligible entity that desires to 
receive a grant, or enter into a contract or cooperative 
agreement, under this section shall submit an application to 
the Secretary at such time, in such manner, and containing such 
information as the Secretary may require.
    (d) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary for fiscal year 2007 and each of the 5 succeeding 
fiscal years.

           *       *       *       *       *       *       *

                      TITLE II--GENERAL PROVISIONS

SEC. 201. [20 U.S.C. 4351] DEFINITIONS.

           *       *       *       *       *       *       *

SEC. 203. [20 U.S.C. 43531] AUDIT.

    (a) General Accounting Office Authority.--* * *

           *       *       *       *       *       *       *

    (b) Independent Financial and Compliance Audit.--
          (1) In general.--* * *
          (2) Compliance.--As used in paragraph (1), compliance 
        means compliance with [sections 102(b), 105(b)(4), 
        112(b)(5), and 203(c), paragraphs (2) and (3) of 
        section 207(b), subsections (b)(2), (b)(3), and (c) 
        through (f), of section 207, and subsections (b) and 
        (c) of section 210.]sections 102(b), 105(b)(4), 
        112(b)(5), 203(c), 207(b)(2), subsections (c) through 
        (f) of section 207, and subsections (b) and (c) of 
        section 209.
          (3) Submission of Audits.--A copy of each audit 
        described in paragraph (1) shall be provided to the 
        Secretary and the Committee on Education and Labor of 
        the House of Representatives and the Committee on 
        Health, Education, Labor, and Pensions of the Senate 
        within 15 days of acceptance of the audit by the 
        University or the institution authorized to establish 
        and operate the NTID under section 112(a), as the case 
        may be, but not later than January 10 of each year.
    (c) Limitations Regarding Expenditure of Funds.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

          (2) Policies.--
                (A) Not later than 180 days after the date of 
                the enactment of the Education of the Deaf Act 
                Amendments of 1992, the University and NTID 
                shall develop policies, to be applied 
                uniformly, for the allowability of expenditures 
                for each institution. These policies should 
                reflect the unique nature of these 
                institutions. The principles established by the 
                Office of Management and Budget for costs of 
                educational institutions may be used as 
                guidance in developing these policies. General 
                principles relating to allowability and 
                reasonableness of all costs associated with the 
                operations of the institutions shall be 
                addressed. These policies shall be submitted to 
                the Secretary for review and comments, and to 
                the Committee on Education and Labor of the 
                House of Representatives and the [Committee on 
                Labor and Human Resources of the 
                Senate]Committee on Health, Education, Labor, 
                and Pensions of the Senate.

           *       *       *       *       *       *       *

SEC. 204. [20 U.S.C. 43541] REPORTS.

    The Board of Trustees of Gallaudet University and the Board 
of Trustees or other governing body of the institution of 
higher education with which the Secretary has an agreement 
under section 112 shall prepare and submit an annual report to 
the Secretary, and to the Committee on Education and Labor of 
the House of Representatives and the [Committee on Labor and 
Human Resources of the Senate]Committee on Health, Education, 
Labor, and Pensions of the Senate, not later than 100 days 
after the end of each fiscal year, which shall include the 
following:
          (1) The number of students during the preceding 
        academic year who enrolled and whether these were 
        first-time enrollments, who graduated, who found 
        employment, or who left without completing a program of 
        study, reported under each of the programs of the 
        university (elementary, secondary, 
        [preparatory,]undergraduate, and graduate) and of NTID.
          (2) * * *
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) The disposition of these students [upon 
                graduation/completion]on the date that is 1 
                year after the date of graduation or completion 
                of programs at NTID and at the University and 
                its element and secondary schools in comparison 
                to students from non-minority backgrounds.

           *       *       *       *       *       *       *

          (3)(A) A summary of the annual audited financial 
        statements and auditor's report of the University, as 
        required under statements 203, and (B) a summary of the 
        annual audited financial statements and auditor's 
        report [of the institution of higher education with 
        which the Secretary has an agreement under section 112, 
        including specific schedules and analyses for all NTID 
        funds, as required under section 203, and such 
        supplementary schedules presenting financial 
        information for NTID for the end of the Federal fiscal 
        year as determined by the Secretary.]of NTID programs 
        and activities.

           *       *       *       *       *       *       *

SEC. 205. [20 U.S.C. 4355] MONITORING, EVALUATION, AND REPORTING.

    (a) Activities.--* * *
    (b) Report.--[The Secretary, as part of the annual report 
required under section 426 of the Department of Education 
Organization Act, shall include a description of]The Secretary 
shall annually transmit information to Congress on the 
monitoring and evaluation activities pursuant to subsection 
(a), together with such recommendations, including 
recommendations for legislation, as the Secretary may consider 
necessary.
    (c) Authorization of Appropriations.--There are authorized 
to be appropriated such sums as may be necessary for each of 
the [fiscal years 1998 through 2003]fiscal years 2008 through 
2013 to carry out the monitoring and evaluation activities 
authorized under this section.

           *       *       *       *       *       *       *

SEC. 206. [20 U.S.C. 4356] LIAISON FOR EDUCATIONAL PROGRAMS.

    (a) Designation of Liaison.--[Not later than 30 days after 
the date of enactment of this Act, the]The Secretary shall 
designate an individual in the Office of Special Education and 
Rehabilitative Services of the Department of Education from 
among individuals who have experience in the education of 
individuals who are deaf to serve as liaison between the 
Department and Gallaudet University, the National Technical 
Institute for the Deaf, and other postsecondary educational 
programs for individuals who are deaf under the Individuals 
with Disabilities Education Act, the Rehabilitation Act of 
1973, and other Federal or non-Federal agencies, institutions, 
or organizations involved with the education or rehabilitation 
of individuals who are deaf or hard of hearing.

           *       *       *       *       *       *       *

SEC. 207. [20 U.S.C. 4357] FEDERAL ENDOWMENT PROGRAMS FOR GALLAUDET 
                    UNIVERSITY AND THE NATIONAL TECHNICAL INSTITUTE FOR 
                    THE DEAF.

    (a) Establishment of Programs.--* * *

           *       *       *       *       *       *       *

    (h) Authorization of Appropriations.--
          (1) In the case of the University, there are 
        authorized to be appropriated for the purposes of this 
        section such sums as may be necessary for each of the 
        [fiscal years 1998 through 2003]fiscal years 2008 
        through 2013..
          (2) In the case of NTID, there are authorized to be 
        appropriated for the purposes of this section such sums 
        as may be necessary for each of the [fiscal years 1998 
        through 2003]fiscal years 2008 through 2013.

           *       *       *       *       *       *       *

SEC. 208. [20 U.S.C. 4359] OVERSIGHT AND EFFECT OF AGREEMENTS.

    (a) Oversight Activities.--Nothing in this Act shall be 
construed to diminish the oversight activities of the 
[Committee on Labor and Human Resources of the Senate and the 
Committee on Education and the Workforce of the House of 
Representatives] Committee on Education and Labor of the House 
of Representatives and the Committee on Health, Education, 
Labor, and Pensions of the Senate with respect to any agreement 
entered into between the Secretary of Education and Gallaudet 
University, and the institution of higher education with which 
the Secretary has an agreement under part B of title I.

           *       *       *       *       *       *       *

SEC. 209. [20 U.S.C. 4359A] INTERNATIONAL STUDENTS.

    (a) Enrollment.--[Effective with]
          (1) In general._Except as provided in paragraph (2), 
        effective with new admissions for academic year 1993-
        1994 and each succeeding academic year, the University 
        (including [preparatory, undergraduate,]undergraduate 
        and graduate students) and NTID shall limit the 
        enrollment of international students to approximately 
        15 percent of the total postsecondary student 
        population enrolled respectively at the University or 
        NTID, except that in any school year no United States 
        citizen who is qualified to be admitted to the 
        University or NTID and applies for admission to the 
        University or NTID shall be denied admission because of 
        the admission of an international student.
          (2) Distance learning.--International students who 
        participate in distance learning courses that are at 
        NTID or the University and who are residing outside of 
        the United States shall--
                  (A) not be counted as international students 
                for purposes of the cap on international 
                students under paragraph (1), except that in 
                any school year no United States citizen who 
                applies to participate in distance learning 
                courses that are at the University or NTID 
                shall be denied participation in such courses 
                because of the participation of an 
                international student in such courses; and
                  (B) not be charged a tuition surcharge, as 
                described in subsection (b).
    [(b) Tuition Surcharge.--Effective with new admissions, the 
tuition for postsecondary international students enrolled in 
the University (including preparatory, undergraduate, and 
graduate students) or NTID shall include a surcharge of 100 
percent for the academic year 1999-2000 and any succeeding 
academic year.
    [(c) Reduction of Surcharge.--Beginning with the academic 
year 1993-1994, the University or NTID may reduce the surcharge 
under subsection (b) to 50 percent if--
          [(1) a student described under subsection (b) is from 
        a developing country;
          [(2) such student is unable to pay the tuition 
        surcharge under subsection (b); and
          [(3) such student has made a good faith effort to 
        secure aid rough such student's government or other 
        sources.
    [(d) Definition.--For purposes of subsection (c), the term 
``developing country'' means a country that has a 1990 per 
capita income not in excess of $4,000 in 1990 United States 
dollars.]
    (b) Tuition Surcharge.--Except as provided in subsections 
(a)(2)(B) and (c), the tuition for postsecondary international 
students enrolled in the University (including undergraduate 
and graduate students) or NTID shall include, for academic year 
2008-2009 and any succeeding academic year, a surcharge of--
          (1) 100 percent for a postsecondary international 
        student from, a non-developing country; and
          (2) 50 percent for a postsecondary international 
        student from a non-developing country.
    (c) Reduction of Surcharge.--
          (1) In general.--Beginning with the academic year 
        2008-2009, the University or NTID may reduce the 
        surcharge--
                  (A) under subsection (b)(1) from. 100 percent 
                to not less than 50 percent if--
                          (i) a student described under 
                        subsection (b)(1) demonstrates need; 
                        and
                          (ii) such student has made a good 
                        faith effort to secure aid through such 
                        student's government or other sources; 
                        and
                  (B) under subsection (b)(2) from 50 percent 
                to not less than 25 percent if--
                          (i) a student described under 
                        subsection (b)(2) demonstrates need; 
                        and
                          (ii) such student has made a good 
                        faith effort to secure aid through such 
                        student's government or other sources.
          (2) Development of sliding scale.--The University and 
        NTID shall develop a sliding scale model that--
                  (A) will be used to determine the amount of a 
                tuition surcharge reduction pursuant to 
                paragraph (1); and
                  (B) shall be approved by the Secretary.
    (d) Definition.--In this section, the term ``developing 
country'' means a country with a per-capita income of not more 
than $4,825, measured in 1999 United States dollars, as 
adjusted by the Secretary to reflect inflation since 1999.

           *       *       *       *       *       *       *

SEC. 210. [20 U.S.C. 4359B] RESEARCH PRIORITIES.

    (a) Research Priorities.--* * *

           *       *       *       *       *       *       *

    (b) Research Reports.--The University and NTID shall each 
prepare and submit an annual research report, to the Secretary, 
the [Committee on Education and the Workforce of the House of 
Representatives, and the Committee on Labor and Human Resources 
of the Senate]Committee on Education and Labor of the House of 
Representatives, and the Committee on Health, Education, Labor, 
and Pensions of the Senate, not later than January 10 of each 
year, that shall include--

SEC. 212. [20 U.S.C. 4360A] AUTHORIZATION OF APPROPRIATIONS.

    (a) Gallaudet University.--There are authorized to be 
appropriated such sums as may be necessary for each of the 
[fiscal years 1998 through 2003]fiscal years 2008 through 2013 
to carry out the provisions of title I and this title, relating 
to--

           *       *       *       *       *       *       *

    (b) National Technical Institute for the Deaf.--There are 
authorized to be appropriated such sums as may be necessary for 
each of the [fiscal years 1998 through 2003]fiscal years 2008 
through 2013 to carry out the provisions of title I and this 
title relating to the National Technical Institute for the 
Deaf.

           *       *       *       *       *       *       *

                  UNITED STATED INSTITUTE OF PEACE ACT

TITLE 22, UNITED STATES CODE

           *       *       *       *       *       *       *

Sec. 4604. Powers and duties

    (a) District of Columbia Nonprofit-Corporative Powers.--

           *       *       *       *       *       *       *

    (b) Description of Specific Activities.--The Institute, 
acting through the Board, may--
          (1) * * *

           *       *       *       *       *       *       *

          (3) establish a Jeannette Rankin Research Program on 
        Peace to conduct research and make studies, 
        particularly of an interdisciplinary or of a 
        multidisciplinary nature, into the causes of war and 
        other international conflicts and the elements of peace 
        among the nations and peoples of the world, including 
        peace theories, methods, techniques, programs, and 
        systems, and into the experiences of the United States 
        and other nations in resolving conflicts with justice 
        and dignity and without violence as they pertain to the 
        advancement of international peace and conflict 
        resolution, placing particular emphasis on realistic 
        approaches to past successes and failures in the quest 
        for peace and arms control and utilizing to the maximum 
        extent possible United States Government documents and 
        classified materials from the Department of State, the 
        Department of Defense, [the Arms Control and 
        Disarmament Agency,]and the intelligence community;

           *       *       *       *       *       *       *

Sec. 4605. Board of Directors

    (a) Vested Powers.--

           *       *       *       *       *       *       *

    (d) Qualifications.--
          (1) Each individual appointed to the Board under 
        subsection [(b)(5)](b)(4) of this section shall have 
        appropriate practical or academic experience in peace 
        and conflict resolution efforts of the United States.
          (2) Officers and employees of the United States 
        Government may not be appointed to the Board under 
        subsection [(b)(5)](b)(4) of this section.
    (e) Term of Office: Commencement and Termination, Interim 
and Remainder Service, Limitation.--
          (1) Members of the Board appointed section shall be 
        appointed under subsection [(b)(5)](b)(4) of this 
        section shall be appointed to four year terms, except 
        that--
                  (A) * * *

           *       *       *       *       *       *       *

          (2) The terms of the members of the Board initially 
        appointed under subsection [(b)(5)](b)(4) of this 
        section shall begin on January 20, 1985, and subsequent 
        terms shall begin upon the expiration of the preceding 
        term, regardless of when a member is appointed to fill 
        that term.
          (3) The President may not nominate an individual for 
        appointment to the Board under subsection 
        [(b)(5)](b)(4) of this section prior to January 20, 
        1985, but shall submit the names of eleven nominees for 
        initial Board membership under subsection 
        [(b)(5)](b)(4) of this section not later than ninety 
        days after that date. If the Senate rejects such a 
        nomination or if such a nomination is withdrawn, the 
        President shall submit the name of a new nominee within 
        fifteen days.
          (4) An individual appointed as a member of the Board 
        under subsection [(b)(5)](b)(4) of this section may not 
        be appointed to more than two terms on the Board.
          (5) The term of a member of the Board shall not 
        commence until the member is confirmed by the Senate 
        and sworn in as a member of the Board.
    (f) Removal From Office.--A member of the Board appointed 
under subsection [(b)(5)](b)(4) of the section may be removed 
by the President--
          (1) * * *

           *       *       *       *       *       *       *

    (h) Meetings; Chairman; Vice Chairman; Quorum; Notice in 
Federal Register; Closure.--Meetings of the Board shall be 
conducted as follows:
          (1) The President shall stipulate by name the nominee 
        who shall be the first Chairman of the Board. The first 
        Chairman shall serve for a term of three years. 
        Thereafter, the Board shall elect a Chairman every 
        three years from among the directors appointed by the 
        President under subsection [(b)(5)](b)(4) of this 
        section and may elect a Vice Chairman if so provided by 
        the Institute's bylaws.

           *       *       *       *       *       *       *

    (i) Compensation.--A director appointed by the President 
under subsection [(b)(5)](b)(4) of this section shall be 
entitled to receive the daily equivalent of the annual rate of 
basic pay in effect for grade GS-18 of the General Schedule 
under section 5332 of Title 5 for each day during which the 
director is engaged in the performance of duties as a member of 
the Board.

           *       *       *       *       *       *       *

Sec. 4609. Funding

    (a) Authorization of Appropriations.--
          (I) In general.--For the purpose of carrying out this 
        chapter, there are authorized [to be appropriated 
        $15,000,000 for fiscal year 1999 and such sums as may 
        be necessary for each of the 4 succeeding fiscal 
        years.]to be appropriated such sums as may be necessary 
        for fiscal years 2008 through 2013.

           *       *       *       *       *       *       *

    (d) Extension.--Any authorization of appropriations made 
for the purposes of carrying out this title shall be extended 
in the same manner as applicable programs are extended under 
section 422 of the General Education Provisions Act.

           *       *       *       *       *       *       *

HIGHER EDUCATION AMENDMENTS OF 1998

           *       *       *       *       *       *       *

    PART D--GRANTS TO STATES FOR WORKPLACE AND COMMUNITY TRANSITION 
               TRAINING FOR INCARCERATED YOUTH OFFENDERS

SEC. 821. [20 U.S.C. 1151] GRANTS TO STATES FOR WORKPLACE AND COMMUNITY 
                    TRANSITION TRAINING FOR INCARCERATED YOUTH 
                    OFFENDERS.

    [(a) Findings.--Congress makes the following findings:
          [(1) Over 150,000 youth offenders age 21 and younger 
        are incarcerated in the Nation's jails, juvenile 
        facilities, and prisons.
          [(2) Most youth offenders who are incarcerated have 
        been sentenced as first-time adult felons.
          [(3) Approximately 75 percent of youth offenders are 
        high school dropouts who lack basic literacy and life 
        skills, have little or no job experience, and lack 
        marketable skills.
          [(4) The average incarcerated youth has attended 
        school only through grade 10.
          [(5) Most of these youths can be diverted from a life 
        of crime into productive citizenship with available 
        educational, vocational, work skills, and related 
        service programs.
          [(6) If not involved with educational programs while 
        incarcerated, almost all of these youths will return to 
        a life of crime upon release.
          [(7) The average length of sentence for a youth 
        offender is about 3 years. Time spent in prison 
        provides a unique opportunity for education and 
        training.
          [(8) Even with quality education and training 
        provided during incarceration, a period of intense 
        supervision, support, and counseling is needed upon 
        release to ensure effective reintegration of youth 
        offenders into society.
          [(9) Research consistently shows that the vast 
        majority of incarcerated youths will not return to the 
        public schools to complete their education.
          [(10) There is a need for alternative educational 
        opportunities during incarceration and after release.
    [(b) Definition.--For purposes of this part, the term 
``youth offender'' means a male or female offender under the 
age of 25, who is incarcerated in a State prison, including a 
prerelease facility.
    [(c) Grant Program.--The Secretary of Education (in this 
section referred to as the ``Secretary'') shall establish a 
program in accordance with this section to provide grants to 
the State correctional education agencies in the States, from 
allocations for the States under subsection (i), to assist and 
encourage incarcerated youths to acquire functional literacy, 
life, and job skills, through the pursuit of a postsecondary 
education certificate, or an associate of arts or bachelor's 
degree while in prison, and employment counseling and other 
related services which start during incarceration and continue 
through prerelease and while on parole.
    [(d) Application.--To be eligible for a grant under this 
section, a State correctional education agency shall submit to 
the Secretary a proposal for a youth offender program that--
          [(1) identifies the scope of the problem, including 
        the number of incarcerated youths in need of 
        postsecondary education and vocational training;
          [(2) lists the accredited public or private 
        educational institution or institutions that will 
        provide postsecondary educational services;
          [(3) lists the cooperating agencies, public and 
        private, or businesses that will provide related 
        services, such as counseling in the areas of career 
        development, substance abuse, health, and parenting 
        skills;
          [(4) describes the evaluation methods and performance 
        measures that the State correctional education agency 
        will employ, which methods and measures--
                  [(A) shall be appropriate to meet the goals 
                and objectives of the proposal; and
                  [(B) shall include measures of--
                          [(i) program completion;
                          [(ii) student academic and vocational 
                        skill attainment;
                          [(iii) success in job placement and 
                        retention; and
                          [(iv) recidivism;
          [(5) describes how the proposed programs are to be 
        integrated with existing State correctional education 
        programs (such as adult education, graduate education 
        degree programs, and vocational training) and State 
        industry programs;
          [(6) addresses the educational needs of youth 
        offenders who are in alternative programs (such as boot 
        camps); and
          [(7) describes how students will be selected so that 
        only youth offenders eligible under subsection (f) will 
        be enrolled in postsecondary programs.
    [(e) Program Requirements.--Each State correctional 
education agency receiving a grant under this section shall--
          [(1) integrate activities carried out under the grant 
        with the objectives and activities of the school-to-
        work programs of such State, including--
                  [(A) work experience or apprenticeship 
                programs;
                  [(B) transitional worksite job training for 
                vocational education students that is related 
                to the occupational goals of such students and 
                closely linked to classroom and laboratory 
                instruction;
                  [(C) placement services in occupations that 
                the students are preparing to enter;
                  [(D) employment-based learning programs; and
                  [(E) programs that address State and local 
                labor shortages;
          [(2) annually report to the Secretary and the 
        Attorney General on the results of the evaluations 
        conducted using the methods and performance measures 
        contained in the proposal; and
          [(3) provide to each State for each student eligible 
        under subsection (f) not more than $1,500 annually for 
        tuition, books, and essential materials, and not more 
        than $300 annually for related services such as career 
        development, substance abuse counseling, parenting 
        skills training, and health education, for each 
        eligible incarcerated youth.
    [(f) Student Eligibility.--A youth offender shall be 
eligible for participation in a program receiving a grant under 
this section if the youth offender--
          [(1) is eligible to be released within 5 years 
        (including a youth offender who is eligible for parole 
        within such time); and
          [(2) is 25 years of age or younger.
    [(g) Length of Participation.--A State correctional 
education agency receiving a grant under this section shall 
provide educational and related services to each participating 
youth offender for a period not to exceed 5 years, 1 year of 
which may be devoted to study in a graduate education degree 
program or to remedial education services for students who have 
obtained a secondary school diploma or its recognized 
equivalent. Educational and related services shall start during 
the period of incarceration in prison or prerelease and may 
continue during the period of parole.
    [(h) Education Delivery Systems.--State correctional 
education agencies and cooperating institutions shall, to the 
extent practicable, use high-tech applications in developing 
programs to meet the requirements and goals of this section.
    [(i) Allocation of Funds.--From the funds appropriated 
pursuant to subsection (j) for each fiscal year, the Secretary 
shall allot to each State an amount that bears the same 
relationship to such funds as the total number of students 
eligible under subsection (f) in such State bears to the total 
number of such students in all States.
    [(j) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $17,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.]

SEC. 821. GRANTS TO STATES FOR IMPROVED WORKPLACE AND COMMUNITY 
                    TRANSITION TRAINING FOR INCARCERATED YOUTH 
                    OFFENDERS.

    (a) Definition.--In this section, the term ``youth 
offender'' means a male or female offender under the age of 35, 
who is incarcerated in a State prison, including a prerelease 
facility.
    (b) Grant Program.--The Secretary of Education (in this 
section referred to as the ``Secretary''--
          (1) shall establish a program in accordance with this 
        section to provide grants to the State correctional 
        education agencies in the States, from allocations for 
        the States under subsection (h), to assist and 
        encourage youth offenders to acquire functional 
        literacy, life, and job skills, through--
                  (A) the pursuit of a postsecondary education 
                certificate, or an associate or bachelor's 
                degree while in prison; and
                  (B) employment counseling and other related 
                services which start during incarceration and 
                end not later than 1 year after release from 
                confinement; and
          (2) may establish such performance objectives and 
        reporting requirements for State correctional education 
        agencies receiving grants under this section as the 
        Secretary determines are necessary to assess the 
        effectiveness of the program under this section.
    (c) Application.--To be eligible for a grant under this 
section, a State correctional education agency shall submit to 
the Secretary a proposal for a youth offender program that--
          (1) identifies the scope of the problem, including 
        the number of youth offenders in need of postsecondary 
        education and vocational training;
          (2) lists the accredited public or private 
        educational institution or institutions that will 
        provide postsecondary educational services;
          (3) lists the cooperating agencies, public and 
        private, or businesses that will provide related 
        services, such as counseling in the areas of career 
        development, substance abuse, health, and parenting 
        skills;
          (4) describes specific performance objectives and 
        evaluation methods (in addition to, and consistent 
        with, any objectives established by the Secretary under 
        subsection (b)(2)) that the State correctional 
        education agency will use in carrying out its proposal, 
        including--
                  (A) specific and quantified student outcome 
                measures that are referenced to outcomes for 
                non-program participants with similar 
                demographic characteristics; and
                  (B) measures, consistent with the data 
                elements and definitions described in 
                subsection (d)(1)(A), of--
                          (i) program completion, including an 
                        explicit definition of what constitutes 
                        a program completion within the 
                        proposal;
                          (ii) knowledge and skill attainment, 
                        including specification of instruments 
                        that will measure knowledge and skill 
                        attainment;
                          (iii) attainment of employment both 
                        prior to and subsequent to release;
                          (iv) success in employment indicated 
                        by job retention and advancement; and
                          (v) recidivism, including such 
                        subindicators as time before subsequent 
                        offense and severity of offense;
          (5) describes how the proposed programs are to be 
        integrated with existing State correctional education 
        programs (such as adult education, graduate education 
        degree programs, and vocational training) and State 
        industry programs;
          (6) describes how the proposed programs will have 
        considered or will utilize technology to deliver the 
        services under this section; and
          (7) describes how students will be selected so that 
        only youth offenders eligible under subsection (e) will 
        be enrolled in postsecondary programs.
    (d) Program Requirements.--Each State correctional 
education agency receiving a grant under this section shall--
          (1) annually report to the Secretary regarding--
                  (A) the results of the evaluations conducted 
                using data elements and definitions provided by 
                the Secretary for the use of State correctional 
                education programs;
                  (B) any objectives or requirements 
                established by the Secretary pursuant to 
                subsection (b)(2); and
                  (C) the additional performance objectives and 
                evaluation methods contained in the proposal 
                described in subsection (c)(4) as necessary to 
                document the attainment of project performance 
                objectives; and
          (2) provide to each State for each student eligible 
        under subsection (e) not more than--
                  (A) $3,000 annually for tuition, books, and 
                essential materials; and
                  (B) $300 annually for related services such 
                as career development, substance abuse 
                counseling, parenting skills training, and 
                health education.
    (e) Student Eligibility.--A youth offender shall be 
eligible for participation in a program receiving a grant under 
this section if the youth offender--
          (1) is eligible to be released within 5 years 
        (including a youth offender who is eligible for parole 
        within such time);
          (2) is 35 years of age or younger; and
          (3) has not been convicted of --
                  (A) a ``criminal offense against a victim who 
                is a minor'' or a ``sexually violent offense'', 
                as such terms are defined in the Jacob 
                Wetterling Crimes Against Children and Sexually 
                Violent Offender Registration Act (42 U.S.C. 
                14071 et seq.); or
                  (B) murder, as described in section 1111 of 
                title 18, United States Code.
    (f) Length of Participation.--A State correctional 
education agency receiving a grant under this section shall 
provide educational and related services to each participating 
youth offender for a period not to exceed 5 years, 1 year of 
which may be devoted to study in a graduate education degree 
program or to remedial education services for students who have 
obtained a secondary school diploma or its recognized 
equivalent. Educational and related services shall start during 
the period of incarceration in prison or prerelease, and the 
related services may continue for not more than 1 year after 
release from confinement.
    (g) Education Delivery Systems.--State correctional 
education agencies and cooperating institutions shall, to the 
extent practicable, use high-tech applications in developing 
programs to meet the requirements and goals of this section.
    (h) Allocation of Funds.--From the funds appropriated 
pursuant to subsection (i) for each fiscal year, the Secretary 
shall allot to each State an amount that bears the same 
relationship to such funds as the total number of students 
eligible under subsection (e) in such State bears to the total 
number of such students in all States.
    (i) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section such sums as may 
be necessary for fiscal years 2008 through 2013.

                      PART H--UNDERGROUND RAILROAD

SEC. 841. [20 U.S.C. 1153] UNDERGROUND RAILROAD EDUCATIONAL AND 
                    CULTURAL PROGRAM.

    (a) Program Established.--* * *

           *       *       *       *       *       *       *

    (c) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out [this section $6,000,000 for 
fiscal year 1999, $6,000,000 for fiscal year 2000, $6,000,000 
for fiscal year 2001, $3,000,000 for fiscal year 2002, and 
$3,000,000 for fiscal year 2003.]this section such sums as may 
be necessary for fiscal years 2008 through 2013.

           *       *       *       *       *       *       *

HIGHER EDUCATION AMENDMENTS OF 1992

           *       *       *       *       *       *       *

        TITLE XV--RELATED PROGRAMS AND AMENDMENTS TO OTHER LAWS

                      PART E--OLYMPIC SCHOLARSHIPS

SEC. 1543 [20 U.S.C. 1070 NOTE] OLYMPIC SCHOLARSHIPS.

    (a) Scholarships Authorized.--
          (1) In general.--* * *

           *       *       *       *       *       *       *

    (d) Authorization of Appropriations.--There are authorized 
[to be appropriated $5,000,000 for fiscal year 1999 and such 
sums as may be necessary for each of the 4 succeeding fiscal 
years to carry out this section.]to be appropriated such sums 
as may be necessary for fiscal years 2008 through 2013.

           *       *       *       *       *       *       *

    TRIBALLY CONTROLLED COLLEGE OR UNIVERSITY ASSISTANCE ACT OF 1978

                             (P.L. 95-471)

    [Be it enacted by the Senate and House of Representatives 
of the United States of America in Congress assembled, [25 
U.S.C. 1801 note] That this Act may be cited as the ``Tribally 
Controlled College or University Assistance Act of 1978''.]

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Tribally Controlled Colleges 
and Universities Assistance Act of 1978''.

           *       *       *       *       *       *       *

                              DEFINITIONS

    Sec. 2. [25 U.S.C. 1801](a) For purposes of this Act, the 
term--
          (1) * * *

           *       *       *       *       *       *       *

          
          (6) ``national Indian organization'' means an 
        organization which the Secretary finds is nationally 
        based, represents a substantial Indian constituency, 
        and has expertise [in the field of Indian education]in 
        the fields of tribally controlled colleges and 
        universities and Indian higher education;
          (7) ``Indian student'' means a student who is--
                  (A) a member of an Indian tribe; or
                  (B) a biological child of a member of an 
                Indian tribe, living or deceased;
          [(7)](8) * * *
          [(8)](9) * * *

           *       *       *       *       *       *       *

    (b) The following conditions shall apply for the purpose of 
determining the Indian student count pursuant to [paragraph (7) 
of subsection (a)]subsection (a)(8);

           *       *       *       *       *       *       *

          [(5) Credits earned in a continuing education program 
        shall be converted to a credit-hour basis in accordance 
        with the tribally controlled college or university's 
        system for providing credit for participation in such 
        program.]
          (5) Determination of credits.--Eligible credits 
        earned in a continuing education program--
                  (A) shall be determined as 1 credit for every 
                10 contact hours in the case of an institution 
                on a quarter system, or 15 contact hours in the 
                case of an institution on a semester system, of 
                participation in an organized continuing 
                education experience under responsible 
                sponsorship, capable direction, and qualified 
                instruction, as described in the criteria 
                established by the International Association 
                for Continuing Education and Training; and
                  (B) shall be limited to 10 percent of the 
                Indian student count of a tribally controlled 
                college or university.
        [(6) No credit hours earned by an Indian student who is 
        not making satisfactory progress toward a degree or 
        certificate, shall be taken into account.]

           *       *       *       *       *       *       *

                       ELIGIBLE GRANT RECIPIENTS

    Sec. 103. [25 U.S.C. 1804] * * *
          (1) * * *
          (2) demonstrates adherence to stated goals, a 
        philosophy, or a plan of operation which is directed to 
        meet the needs of Indians; and
          (3) if in operation for more than one year, has 
        students a majority of whom are Indians[.] ;and
          (4)(A) is accredited by a nationally recognized 
        accrediting agency or association determined by the 
        Secretary of Education to be a reliable authority with 
        regard to the quality of training offered; or
          (B) according to such an agency or association, is 
        making reasonable progress toward accreditation.

           *       *       *       *       *       *       *

                    [TECHNICAL ASSISTANCE CONTRACTS

    [Sec. 105. [25 U.S.C. 1805] The Secretary shall]

SEC. 105. TECHNICAL ASSISTANCE CONTRACTS.

    (a) Technical Assistance.--
          (1) In general._The Secretary shall provide, upon 
        request from a tribally controlled college or 
        university which is receiving funds under section 108, 
        technical assistance either directly or through 
        contract. [In the awarding of contracts for technical 
        assistance, preference shall be given]
          (2) Designated organization._The Secretary shall 
        require that a contract for technical assistance under 
        paragraph (1) shall be awarded to an organization 
        designated by the tribally controlled college or 
        university to be assisted. [No authority]
    (b) Effect of Section._No authority to enter into contracts 
provided by this section shall be effective except to the 
extent authorized in advance by appropriations Acts.

           *       *       *       *       *       *       *

                            AMOUNT OF GRANTS

    Sec. 108. [25 U.S.C. 1808 (a) Except as provided in section 
111,](a) Requirement._
    (1) In general._Except as provided in paragraph (2) and 
section 111, the Secretary shall, subject to appropriations, 
grant for each academic year to each tribally controlled 
college or university having an application approved by [him] 
the Secretary an amount equal to the [product of]product 
obtained by multiplying--
                  [(1)](A) the Indian student count at such 
                college or university during the academic year 
                preceding the academic year for which such 
                funds are being made available, as determined 
                by the Secretary in accordance with [section 
                2(a)(7)]section 2(a)(8); and
                  [(2)](B) [$6,000,]$8,000, as adjusted 
                annually for inflation.
[except that no grant shall exceed the total cost of the 
education program provided by such college or university.]
          (2) Exception.--The amount of a grant under paragraph 
        (1) shall not exceed an amount equal to the total cost 
        of the education program provided by the applicable 
        tribally controlled college or university.

           *       *       *       *       *       *       *

                      APPROPRIATION AUTHORIZATION

    Sec. 110. [25 U.S.C. 1810] (a)(1) There is authorized to be 
appropriated, for the purpose of carrying out section 105, 
$3,200,000 for fiscal year [1999] 2008 and such sums as may be 
necessary for each of the [4 succeeding]5 succeeding fiscal 
years.
          (2) There is authorized to be appropriated for the 
        purpose of carrying out section 107, [$40,000,000]such 
        sums as may be necessary for fiscal year [1999]2008 and 
        such sums as may be necessary for each of the [4 
        succeeding]5 succeeding fiscal years.
          (3) There is authorized to be appropriated for the 
        purpose of carrying out sections 112(b) and 113, 
        [$10,000,000] such sums as may be necessary for fiscal 
        year [1999]2008 and such sums as may be necessary for 
        each of the [4 succeeding]5 succeeding fiscal years.
          (4) Funds appropriated pursuant to the authorizations 
        under this section for the fiscal year [1999]2008 and 
        for each of the [succeeding 4]5 succeeding fiscal years 
        shall be transferred by the Secretary of the Treasury 
        through the most expeditious method available, with 
        each of the tribally controlled colleges or 
        universities being designated as its own certifying 
        agency.

           *       *       *       *       *       *       *

                    AUTHORIZATION OF APPROPRIATIONS

    Sec. 306. [25 U.S.C. 1836] (a) There are authorized to be 
appropriated to carry out the provisions of this title, 
$10,000,000 for fiscal year [1999]2008 and such sums as may be 
necessary for each of the [4 succeeding]5 succeeding fiscal 
years.

           *       *       *       *       *       *       *

SEC. 403. [25 U.S.C. 1852] AUTHORIZATION OF APPROPRIATIONS.

           *       *       *       *       *       *       *

  Subtitle V--Tribally Controlled Postsecondary Career and Technical 
                              Institutions

SEC. 501. DEFINITION OF TRIBALLY CONTROLLED POSTSECONDARY CAREER AND 
                    TECHNICAL INSTITUTION.

    In this title, the term ``tribally controlled postsecondary 
career and technical institution'' has the meaning given the 
term in section 3 of the Carl D. Perkins Career and Technical 
Education Act of 2006 (20 U.S.C. 2302).

``SEC. 502. TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                    INSTITUTIONS PROGRAM.

    (a) In General.--Subject to the availability of 
appropriations, for fiscal year 2008 and each fiscal year 
thereafter, the Secretary shall--
          (1) subject to subsection (b), select 2 tribally 
        controlled postsecondary career and technical 
        institutions to receive assistance under this title; 
        and
          (2) provide funding to the selected tribally 
        controlled postsecondary career and technical 
        institutions to pay the costs (including institutional 
        support costs) of operating postsecondary career and 
        technical education programs for Indian students at the 
        tribally controlled postsecondary career and technical 
        institutions.
    (b) Selection of Certain Institutions.--
          (1) Requirement.--For each fiscal year during which 
        the Secretary determines that a tribally controlled 
        postsecondary career and technical institution 
        described in paragraph (2) meets the definition 
        referred to in section 501, the Secretary shall select 
        that tribally controlled postsecondary career and 
        technical institution under subsection (a)(1) to 
        receive funding under this section.
          (2) Institutions.--The 2 tribally controlled 
        postsecondary career and technical institutions 
        referred to in paragraph (1) are--
                  (A) the United Tribes Technical College, and
                  (B) the Navajo Technical College.
    (c) Method of Payment.--For each applicable fiscal year, 
the Secretary shall provide funding under this section to each 
tribally controlled postsecondary career and technical 
institution selected for the fiscal year under subsection 
(a)(1) in a lump sum payment for the fiscal year.
    (d) Distribution.--
          (1) In general.--For fiscal year 2009 each fiscal 
        year thereafter, of amounts made available pursuant to 
        section 504, The Secretary shall distribute to each 
        tribally controlled postsecondary career technical 
        institution selected for the fiscal year under 
        subsection (a)(1) an amount equal to the greater of--
                  (A) the total amount appropriated for the 
                tribally controlled postsecondary career and 
                technical institution for fiscal year 2006; or
                  (B) the total amount appropriated for the 
                tribally controlled postsecondary career and 
                technical institution for fiscal year 2008.
          (2) Excess amounts.--If, for any fiscal year, the 
        amount made available pursuant to section 504 exceeds 
        the sum of the amounts required to be distributed under 
        paragraph (1) to the tribally controlled postsecondary 
        career and technical institutions selected for the 
        fiscal year under subsection (a)(1), the Secretary 
        shall distribute to each tribally controlled 
        postsecondary career and technical institution selected 
        for that fiscal year a portion of the excess amount, to 
        be determined by--
                  (A) dividing the excess amount by the 
                aggregate Indian student count (as defined in 
                section 117(h) of the Carl D. Perkins Career 
                and Technical Education Act of 2006 (20 U.S.C. 
                2327(h)) of such institutions for the prior 
                academic year; and
                  (B) multiplying the quotient described in 
                subparagraph (A) by the Indian student count of 
                each such institution for the prior academic 
                year.

SEC. 503. APPLICABILITY OF OTHER LAWS.

    (a) In General.--Paragraphs (4) and (7) of subsection (a), 
and subsection (b), of section 2, sections 105, 108, 111, 112 
and 113, and titles II, III, and IV shall not apply to this 
title.
    (b) Indian Self-Determination and Education Assistance.--
Funds made available pursuant to this title shall be subject to 
the Indian Self-Determination and Education Assistance Act (25 
U.S.C. 450 et seq.).
    (c) Election to Receive.--A tribally controlled 
postsecondary career and technical institution selected for a 
fiscal year under section 502(b) may elect to receive funds 
pursuant to section 502 in accordance with an agreement between 
the tribally controlled postsecondary career and technical 
institution and the Secretary under the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450 et 
seq.) if the agreement is in existence on the date of enactment 
of the Higher Education Amendments of 2007.
    (d) Other Assistance.--Eligibility for, or receipt of 
assistance under this title shall not preclude the eligibility 
of a tribally controlled postsecondary career and technical 
institutions to receive Federal financial assistance under--
          (1) any program under the Higher Education Act of 
        1965 (20 U.S.C. 1001 et seq.);
          (2) any program under the Carl, D. Perkins Career and 
        Technical Education Act of 2006; or
          (3) any other applicable program under which a 
        benefit is provided for--
                  (A) institutions of higher education;
                  (B) community colleges; or
                  (C) postsecondary educational institutions.

SEC. 504. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as are 
necessary for fiscal year 2008 and each, fiscal year thereafter 
to carry out this title.

           *       *       *       *       *       *       *

                TRIBAL ECONOMIC DEVELOPMENT AND TECHNOLOGY 
                RELATED EDUCATION ASSISTANCE ACT OF 1990

TITLE 25, UNITED STATES CODE

           *       *       *       *       *       *       *

Sec. 1852. Authorization of appropriations

    There are authorized to be appropriated for grants under 
this subchapter, [$2,000,000 for fiscal year 1999]such sums as 
may be necessary for fiscal year 2008 and such sums as may be 
necessary for each of the [4 succeeding]5 succeeding fiscal 
years.

           *       *       *       *       *       *       *

CARL D. PERKINS CAREER AND TECHNICAL EDUCATION ACT OF 2006

           *       *       *       *       *       *       *

SEC. 117. [20 U.S.C. 2327] TRIBALLY CONTROLLED POSTSECONDARY CAREER AND 
                    TECHNICAL INSTITUTIONS.

    [(a) Grants Authorized.--The Secretary shall, subject to 
the availability of appropriations, make grants pursuant to 
this section to tribally controlled postsecondary career and 
technical institutions that are not receiving Federal support 
under the Tribally Controlled College or University Assistance 
Act of 1978 (25 U.S.C. 1801 et seq.) or the Navajo Community 
College Act (25 U.S.C. 640a et seq.) to provide basic support 
for the education and training of Indian students.]
    (a) Grant Program.--Subject to the availability of 
appropriations, the Secretary shall make grants under this 
section, to provide basic support for the education and 
training of Indian students, to tribally controlled 
postsecondary career and technical institutions that are not 
receiving Federal assistance as of the date on which, the grant 
is provided under--
          (1) title I of the Tribally Controlled College or 
        University Assistance Act of 1978 (25 U.S.C. 1802 et 
        seq.); or
          (2) the Navajo Community College Act (25 U.S.C. 640a 
        et seq.).

           *       *       *       *       *       *       *

    [(d) Applications.--Any tribally controlled postsecondary 
career and technical institution that is not receiving Federal 
support under the Tribally Controlled College or University 
Assistance Act of 1978 (25 U.S.C. 1801 et seq.) or the Navajo 
Community College Act (25 U.S.C. 640a et seq.) that desires to 
receive a grant under this section shall submit an application 
to the Secretary in such manner and form as the Secretary may 
require.]
    (d) Applications.--To be eligible to receive a grant under 
this section, a tribally controlled postsecondary career and 
technical institution that is not receiving Federal assistance 
under title I of the Tribally Controlled College or University 
Assistance Act (25 U.S.C. 1802 et seg.) or the Navajo Community 
College Act (25 U.S.C. 610a et seg.) shall submit to the 
Secretary an application at such time, in such manner, and 
containing such information as the Secretary may require.

           *       *       *       *       *       *       *

NAVAJO COMMUNITY COLLEGE ACT

           *       *       *       *       *       *       *

                                PURPOSE

    Sec. 2. [25 U.S.C. 640a] It is the purpose of this Act to 
assist the [Navajo Tribe of Indians]Navajo Nation in providing 
education to the members of the tribe and other qualified 
applicants through a community college, established by that 
tribe, known as [the Navajo Community College] Dine College.

           *       *       *       *       *       *       *

                                 GRANTS

    Sec. 3. [25 U.S.C. 640b] The Secretary of the Interior is 
authorized to make grants to the [Navajo Tribe of 
Indians]Navajo Nation to assist the tribe in the construction, 
maintenance, and operation of [the Navajo Community College] 
Dine College. Such college shall be designed and operated by 
the [Navajo Tribe]Navajo Nation to insure that the [Navajo 
Indians]Navajo people and other qualified applicants have 
educational opportunities which are suited to their unique 
needs and interests.

           *       *       *       *       *       *       *

                       STUDY OF FACILITIES NEEDS

    Sec. 4. [25 U.S.C. 640c] (a) The Secretary shall conduct a 
detailed survey and study of the academic facilities needs of 
[the Navajo Community College]Dine College, and shall report to 
the Congress not later than [August 1, 1979]October 31, 2010, 
the results of such survey and study. Such report shall include 
any recommendations or views submitted by the governing body of 
such College and by the governing body of the [Navajo Tribe] 
Navajo Nation, and shall include detailed recommendations by 
the Secretary as to the number, type, and cost of academic 
facilities which are required, ranking each such required 
facility by relative need.
    (b) Funds to carry out the purposes of this section may be 
drawn from general administrative appropriations to the 
Secretary made after [the date of enactment of the Tribally 
Controlled Community College Assistance Act of 1978]October 1, 
2007.
    (c) No later than March 1991, an inventory prepared by [the 
Navajo Community College]Dine College identifying repairs, 
alterations, and renovations to facilities required to meet 
health and safety standards shall be submitted to the Secretary 
and appropriate committees of Congress. Within 60 days 
following and the receipt of such inventory, the Secretary 
shall review the inventory, evaluating the needs identified, 
and transmit the written comments of the Department of the 
Interior to the appropriate committees of Congress, together 
with the Department's evaluation prepared by the health and 
safety division of the Bureau of Indian Affairs.

           *       *       *       *       *       *       *

                    AUTHORIZATION OF APPROPRIATIONS

    Sec. 5. [25 U.S.C. 640c-1] (a)(1) For the purpose of making 
construction grants under this Act, there are authorized to be 
appropriated [$2,000,000 for fiscal year 1999 and such sums as 
may be necessary for each of the 4 succeeding fiscal 
years.]such sums as are necessary for fiscal years 2008 
through, 2013.
    (2) * * *
    (3) Sums described in paragraph (2) shall be used to 
provide grants for construction activities, including the 
construction of buildings, water and sewer facilities, roads, 
information technology and telecommunications infrastructure, 
classrooms, and external structures (such as walkways).
    (b)(1) There are authorized to be appropriated for grants 
to [the Navajo Community College]Dine College [, for each 
fiscal year, an amount necessary to pay expenses incurred for--
]such sums as are necessary for fiscal years 2008 through 2013 
to pay the cost of--
          (A) the maintenance and operation of the 
        [college]College, including--
                  (i) basic, special, developmental, 
                vocational, technical, and special handicapped 
                education costs[,];
                  (ii) annual capital expenditures, including 
                equipment needs, minor capital improvements and 
                remodeling projects, physical plant maintenance 
                and operation costs, and exceptions and 
                supplemental need account[, and]; and
                  (iii) summer and special interest 
                programs[,];
          (B) major capital improvements, including internal 
        capital outlay funds and capital improvement 
        projects[,];
          (C) mandatory payments, including payments due on 
        bonds, loans, notes, or lease purchases[, and];
          (D) supplemental student services, including student 
        housing, food service, and the provision of access to 
        books and services[.]; and
          (E) improving and expanding the College, including by 
        providing, for the Navajo people and others in the 
        community of the College--
                  (i) higher education programs;
                  (ii) career and technical education;
                  (iii) activities relating to the preservation 
                and protection of the Navajo language, 
                philosophy, and culture;
                  (iv) employment and training opportunities;
                  (v) economic development and community 
                outreach; and
                  (vi) a safe learning, working, and living 
                environment.

           *       *       *       *       *       *       *

    (c) The Secretary of the Interior is authorized and 
directed to establish by rule procedures to insure that all 
funds appropriated under this Act are properly identified for 
grants to [the Navajo Community College]Dine College and that 
such funds are not commingled with appropriations historically 
expended by the Bureau of Indian Affairs for programs and 
projects normally provided on the Navajo Reservation for Navajo 
beneficiaries.

           *       *       *       *       *       *       *

                          EFFECT ON OTHER LAWS

    Sec. 6. [25 U.S.C. 640c-2] (a) Except as specifically 
provided by law, eligibility for assistance under this Act 
shall not, by itself preclude the eligibility of [the Navajo 
Community College]Dine College to receive Federal financial 
assistance under any program authorized under the Higher 
Education Act of 1965 or any other applicable program for the 
benefit of institutions of higher education, community 
colleges, or postsecondary educational institutions.
    (b) Notwithstanding any other provision of law, funds 
provided under this Act to [the Navajo Community College]Dine 
College may be treated as non-Federal, private funds of the 
College for purposes of any provision of Federal law which 
requires that non-Federal or private funds of the 
[college]College be used in a project or for a specific 
purpose.

           *       *       *       *       *       *       *

                           PAYMENTS; INTEREST

    Sec. 7. [25 U.S.C. 640c-31](a) * * *
    (b)(1)(A) Notwithstanding any provision of law other than 
subparagraph (B), any interest or investment income that 
accrues on any funds provided under this Act after such funds 
are paid to [the Navajo Community College]Dine College and 
before such funds are expended for the purpose for which such 
funds were provided under this Act shall be the property of 
[the Navajo Community College]Dine College and shall not be 
taken into account by any officer or employee of the Federal 
Government in determining whether to provide assistance, or the 
amount of assistance, to [the Navajo Community College]Dine 
College under any provision of Federal law.
    (B) All interest or investment income described in 
subparagraph (A) shall be expended by [the Navajo Community 
College]Dine College by no later than the close of the fiscal 
year succeeding the fiscal year in which such interest or 
investment income accrues.
    (2) Funds provided under this Act may only be invested by 
[the Navajo Community College]Dine College in obligations of 
the United States or in obligations or securities that are 
guaranteed or insured by the United States.

           *       *       *       *       *       *       *

                                  
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