(2) in the case of an institution of higher edu-
cation that has accepted for enrollment any affected 
students, the Secretary may waive that matching re-
quirement after considering the institution’s student 
population and existing resources, using consistent 
and objective criteria. 
(b) WAIVER OF REALLOCATION RULES.—
(1) AUTHORITY
TO
REALLOCATE.—Notwith-
standing sections 413D(d), 442(d), and 462(I) of 
the Act (20 U.S.C. 1070b–3(d); 42 U.S.C. 2752(d); 
20 U.S.C. 1087bb(I)), the Secretary shall—
(A) reallocate any funds returned under 
any of those sections that were allocated to in-
stitutions of higher education for award year 
2004–2005 to an institution of higher education 
that is eligible under paragraph (2) of this sub-
section; and 
(B) waive the allocation reduction for 
award year 2006–2007 for an institution re-
turning more than 10 percent of its allocation 
under any of those sections. 
(2) ELIGIBLE
INSTITUTIONS
FOR
REALLOCA-
TION.—An institution of higher education may re-
ceive a reallocation of excess allocations under this 
subsection if the institution—
(A) participates in the program for which 
excess allocations are being reallocated; and 
(B)(I) is located in an area affected by a 
Gulf hurricane disaster; or 
(ii) has accepted for enrollment any af-
fected students in academic year 2005–2006. 
(3) BASIS OF REALLOCATION.—The Secretary 
shall determine the manner in which excess alloca-
tions shall be reallocated to institutions under para-
graph (1), and shall give additional consideration to 
the needs of institutions located in an area affected 
by a Gulf hurricane disaster. 
(4) ADDITIONAL
WAIVER
AUTHORITY.—Not-
withstanding any other provision of law, in order to 
carry out this subsection, the Secretary may waive 
or modify any statutory or regulatory provision re-
lating to the reallocation of excess allocations under 
subpart 3 of part A, part C, or part E of title IV 
of the Act in order to ensure that assistance is re-
ceived by affected institutions for affected students. 
(c) AVAILABILITY OF FUNDS DATE EXTENSION.—
Notwithstanding any other provision of law—
(1) any funds available to the Secretary under 
sections 413A, 441, and 461 of the Act (20 U.S.C. 
1070b; 42 U.S.C. 2751; 20 U.S.C. 1087aa) for
which the period of availability would otherwise ex-
pire on September 30, 2005, shall be available for 
obligation by the Secretary until September 30, 
2006 for the purposes of the programs authorized 
pursuant to subpart 3 of part A, part C, and part 
E of title IV of the Act, respectively; and 
(2) the Secretary may recall any funds allocated 
to an institution of higher education for award year 
2004–2005 under section 413D, 442, or 462 of the 
Act that, if not returned to the Secretary as excess 
allocations pursuant to any of those sections, would 
otherwise lapse on September 30, 2005, and reallo-
cate those funds in accordance with subsection 
(b)(1). 
SEC. 3. EMERGENCY DESIGNATION. 
Section 2 of this Act is designated as an emergency 
requirement pursuant to section 402 of H. Con. Res. 95 
(109th Congress). 
SEC. 4. TERMINATION OF AUTHORITY. 
The provisions of this Act shall cease to be effective 
one year after the date of the enactment of this Act. 
SEC. 5. DEFINITIONS. 
In this Act: 
(1) SECRETARY.—The term ‘‘Secretary’’ means 
the Secretary of Education.