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[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 1513 Introduced in Senate (IS)]

110th CONGRESS
  1st Session
                                S. 1513

 To amend the Higher Education Act of 1965 to authorize grant programs 
to enhance the access of low-income African-American students to higher 
                               education.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                              May 24, 2007

   Mr. Obama introduced the following bill; which was read twice and 
  referred to the Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL

 
 To amend the Higher Education Act of 1965 to authorize grant programs 
to enhance the access of low-income African-American students to higher 
                               education.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Predominantly Black Institution Act 
of 2007''.

SEC. 2. PREDOMINANTLY BLACK INSTITUTIONS.

    (a) Amendment.--Part A of title III of the Higher Education Act of 
1965 (20 U.S.C. 1057 et seq.) is amended by inserting after section 317 
the following:

``SEC. 318. PREDOMINANTLY BLACK INSTITUTIONS.

    ``(a) Findings and Purpose.--
            ``(1) Findings.--Congress finds that--
                    ``(A) although African-Americans have made 
                significant progress in closing the gap between 
                African-American and White enrollment in higher 
                education--
                            ``(i) African-Americans continue to trail 
                        Whites in the percentage of the college-age 
                        cohort who enroll and graduate from college;
                            ``(ii) among recent secondary school 
                        graduates, the college participation rate of 
                        Whites was 46 percent from 2000 through 2002, 
                        while such rate for African-Americans was only 
                        39 percent; and
                            ``(iii) the gap between White and African-
                        American bachelor's degree attainment rates 
                        also remains high, continuing to exceed 10 
                        percent;
                    ``(B) a growing number of African-American students 
                are participating in higher education and are enrolled 
                at an increasing number of urban and rural 
                Predominantly Black Institutions that have included in 
                their mission the provision of academic training and 
                education for both traditional and nontraditional 
                minority students;
                    ``(C) the overwhelming majority of students 
                attending Predominantly Black Institutions come from 
                low- and middle-income families and qualify for 
                participation in the Federal student assistance 
                programs or other need-based Federal programs as 
                indicated by recent data from the National 
                Postsecondary Student Aid Study which demonstrates that 
                47 percent of African-American undergraduates are 
                Federal Pell Grant recipients, compared to 21 percent 
                of non-Hispanic Whites;
                    ``(D) many of the students who enroll in 
                Predominantly Black Institutions are also first 
                generation college students who often lack the 
                appropriate academic preparation for success in college 
                and whose parents lack the requisite knowledge and 
                information regarding financing a college education;
                    ``(E) there is a particular national need to aid 
                institutions of higher education that have become 
                Predominantly Black Institutions by virtue of the fact 
                that the Predominantly Black Institutions have expanded 
                opportunities for African-American and other minority 
                students;
                    ``(F) Predominantly Black Institutions fulfill a 
                unique mission within American higher education, far 
                beyond that which was initially envisioned;
                    ``(G) Predominantly Black Institutions serve the 
                cultural and social advancement of low-income, African-
                American and other minority students and are a 
                significant access point for these students to higher 
                education and the opportunities offered by American 
                society;
                    ``(H) the concentration of the students described 
                in subparagraph (G) in a limited number of 2-year and 
                4-year Predominantly Black Institutions and the desire 
                of these students to secure a degree to prepare these 
                students for a successful career places special burdens 
                on those institutions who attract, retain, and graduate 
                these students; and
                    ``(I) financial assistance to establish or 
                strengthen the academic resources, physical plants, 
                financial management, and endowments of the 
                Predominantly Black Institutions are appropriate 
                methods to enhance the educational quality of the 
                Predominantly Black Institutions, to facilitate 
                decreased long-term reliance on governmental financial 
                support, and to encourage reliance on endowments and 
                private sources.
            ``(2) 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 African-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) Institution of higher education.--The term 
        `institution of higher education' has the meaning given the 
        term in section 101(a).
            ``(7) Low-income individual.--The term `low-income 
        individual' has the meaning given such term in section 402A(g).
            ``(8) 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.
            ``(9) Predominantly black institution.--The term 
        `Predominantly Black Institution' means an institution of 
        higher education--
                    ``(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.
            ``(10) 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 subsection 
        (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 African-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 
                African-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) Establishing or increasing an endowment fund 
                in accordance with paragraph (3).
                    ``(F) 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 African-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 section 399(a)(1)(D) 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) Applicability of Part F.--Part F, other than section 399, 
shall not apply to this section.''.
    (b) Authorization of Appropriations.--Section 399(a)(1) of the 
Higher Education Act of 1965 (20 U.S.C. 1068h(a)(1)) is amended by 
adding at the end the following new subparagraph:
            ``(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.''.
                                 <all>
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