year, the State may reserve not more than 5 percent 
for administrative expenses. 
‘‘(3) TEMPORARY
INELIGIBILITY
FOR
SUBSE-
QUENT PAYMENTS.— 
‘‘(A) IN
GENERAL.—The Secretary shall 
determine a State to be temporarily ineligible to 
receive a grant payment under this subsection 
for a fiscal year if— 
‘‘(i) the State fails to submit an an-
nual report under subsection (f) for the 
preceding fiscal year; or 
‘‘(ii) the Secretary determines, based 
on information in such annual report, that 
the State is not effectively— 
‘‘(I) meeting the outcomes de-
scribed in the application of such 
State under subsection (c)(2)(C), and 
does not have a plan to improve the 
outcomes; 
‘‘(II) monitoring and evaluating 
the activities under subsections (d) 
and (e); or 
‘‘(III) using funds as required 
under subsections (d) and (e). 
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‘‘(B) REINSTATEMENT.—If the Secretary 
determines that a State is ineligible under sub-
paragraph (A), the Secretary may enter into an 
agreement with the State setting forth the 
terms and conditions under which the State 
may regain eligibility to receive payments under 
this subsection. 
‘‘(c) APPLICATIONS.— 
‘‘(1) IN
GENERAL.—For each fiscal year for 
which a State desires an allotment under subsection 
(b), the State shall submit an application to the Sec-
retary— 
‘‘(A) at such time and in such manner as 
the Secretary may require; and 
‘‘(B) containing the information described 
in paragraph (2). 
‘‘(2) INFORMATION REQUIRED.—An application 
submitted under paragraph (1) shall include the fol-
lowing: 
‘‘(A) A plan for how the State will carry 
out the activities under subsections (d) and (e). 
‘‘(B) A description of the State’s capacity 
to carry out such activities. 
‘‘(C) A description of intended outcomes 
for such activities. 
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‘‘(D) A plan for how the State will monitor 
and evaluate such activities, including how the 
State will use data to continually update and 
improve such activities. 
‘‘(E) A description of how students will be 
identified and recruited for participation in the 
statewide transition initiative under subsection 
(d). 
‘‘(F) An estimate of the number and char-
acteristics of the populations targeted for par-
ticipation in the statewide transition initiative 
under subsection (d), with attention to the di-
verse needs of homeless youth and foster youth 
in the State. 
‘‘(G) A description of how the State will 
coordinate services provided under the grant 
with services provided to foster youth and 
homeless youth under the McKinney-Vento 
Homeless Assistance Act (42 U.S.C. 11301 et 
seq.), the Elementary and Secondary Education 
Act of 1965, and the Runaway and Homeless 
Youth Act (34 U.S.C. 11201 et seq.), and other 
services provided to foster youth and homeless 
youth by the State. 
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‘‘(H) An assurance that the State will 
comply with subtitle B of title VII of the 
McKinney-Vento Homeless Assistance Act (42 
U.S.C. 11431 et seq.). 
‘‘(I) An assurance that the State will part-
ner with State educational agencies, local edu-
cational agencies, institutions of higher edu-
cation, State and local child welfare authorities, 
and other relevant organizations that serve fos-
ter youth or homeless youth. 
‘‘(J) An assurance that the State will sub-
mit the annual report required under subsection 
(f). 
‘‘(K) A budgetary analysis of the use of 
funds awarded under this section. 
‘‘(L) Such other information as the Sec-
retary may require. 
‘‘(d) STATEWIDE TRANSITION INITIATIVE.— 
‘‘(1) USE
OF
FUNDS.—Subject to subsection 
(b)(2), and in consultation and coordination with the 
entities described in paragraph (2), a State receiving 
a grant award under this section shall use not less 
than 25 percent of the funds to— 
‘‘(A) provide intensive outreach and sup-
port to foster youth and homeless youth to— 
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‘‘(i) improve the understanding and 
preparation of foster youth and homeless 
youth for enrollment in institutions of 
higher education; 
‘‘(ii) increase the number of applica-
tions to institutions of higher education 
submitted by foster youth and homeless 
youth; and 
‘‘(iii) increase the number of enroll-
ments of foster youth and homeless youth 
at institutions of higher education; 
‘‘(B) provide education to foster youth and 
homeless youth with respect to— 
‘‘(i) the benefits and opportunities of 
postsecondary education; 
‘‘(ii) planning for postsecondary edu-
cation; 
‘‘(iii) financial aid opportunities for 
enrollment at an institution of higher edu-
cation; 
‘‘(iv) the Federal and State services 
and benefits available to foster youth and 
homeless youth while enrolled at an insti-
tution of higher education, including health 
and mental health services; 
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‘‘(v) career exploration; and 
‘‘(vi) financial literacy training, in-
cluding security from identity theft; 
‘‘(C) assist foster youth and homeless 
youth with submitting applications for— 
‘‘(i) enrollment at an institution of 
higher education; 
‘‘(ii) financial aid for such enrollment; 
and 
‘‘(iii) scholarships available for such 
students, including under a State edu-
cational and training voucher program re-
ferred to in section 477(i) of the Social Se-
curity Act (42 U.S.C. 677(i)); and 
‘‘(D) provide free programming, which may 
include free transportation to and from such 
programming, for foster youth and homeless 
youth to prepare such individuals socially and 
academically for the rigors of postsecondary 
education during the summer before such indi-
viduals first attend an institution of higher edu-
cation. 
‘‘(2) REQUIRED CONSULTATION AND COORDI-
NATION.—In carrying out the activities described in 
paragraph (1), a State shall consult and coordinate 
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with State educational agencies, local educational 
agencies, institutions of higher education, State and 
local child welfare authorities, and other relevant or-
ganizations that serve foster youth or homeless 
youth. 
‘‘(e) SUBGRANTS TO CREATE INSTITUTIONS OF EX-
CELLENCE.— 
‘‘(1) IN
GENERAL.—Subject to subsection 
(b)(2), a State receiving a grant under this section 
shall, acting through the administering State agen-
cy, use not less than 70 percent of the funds to 
award, on a competitive basis, subgrants to eligible 
institutions to enable such institutions to become in-
stitutions of excellence by improving access, reten-
tion, and completion rates at eligible institutions for 
foster and homeless youth as described in paragraph 
(3). 
‘‘(2) APPLICATION.— 
‘‘(A) IN GENERAL.—An eligible institution 
desiring a subgrant under this subsection shall 
submit an application to the State in which 
such eligible institution is located, at such time, 
in such manner, and containing such informa-
tion as the State may require. 
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‘‘(B) 
TECHNICAL
ASSISTANCE.—Each 
State receiving an allotment under this section 
shall provide outreach and technical assistance 
to eligible institutions with respect to applica-
tions for subgrants under this subsection. 
‘‘(3) ACTIVITIES.—An eligible institution that 
receives a subgrant under this subsection shall use 
the subgrant funds to carry out the following activi-
ties with respect to homeless youth and foster youth: 
‘‘(A) Provide flexibility and assistance in 
completing the application process to enroll at 
such institution. 
‘‘(B) Coordinate programs with relevant 
on- and off-campus stakeholders to increase the 
enrollment of such youth at the institution and 
align services at the institution for such youth. 
‘‘(C) Adjust the cost of attendance for 
such youth at such eligible institution to include 
the cost of housing during periods of non-enroll-
ment. 
‘‘(D) Provide institutional aid to such stu-
dents to meet the cost of attendance that is not 
covered by other Federal or State educational 
grants. 
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‘‘(E) Provide outreach to such students to 
ensure that such youth are aware of housing re-
sources available during periods of non-enroll-
ment. 
‘‘(F) Subsidize any fees for such students 
associated with orientation and offer free trans-
portation to the orientation or move-in week at 
the eligible institution. 
‘‘(G) Hire and provide training for at least 
one full-time staff member at the eligible insti-
tution to serve as a point of contact to provide 
case management services and monthly face-to- 
face meetings with students who are foster 
youth or homeless youth. Such individual shall 
have an advanced degree and at least two years 
of relevant experience. 
‘‘(H) Establish or enhance campus support 
programs to provide such students with a wide- 
range of on-campus services, including— 
‘‘(i) assistance with financial aid; 
‘‘(ii) career advice; and 
‘‘(iii) leadership development. 
‘‘(I) Ensure the availability of robust 
health services (physical and mental) that meet 
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the specific needs of foster youth and homeless 
youth. 
‘‘(J) Establish or expand early alert sys-
tems to identify and support such students who 
may be struggling academically. 
‘‘(K) For each such student with reason-
able, unanticipated expenses that would not be 
covered by the institutional aid provided under 
subparagraph (D) and that would be necessary 
for the student to persist in higher education 
during an academic year, provide the student 
with access to an emergency grant to help cover 
such expenses. 
‘‘(L) Collect, review, and monitor data for 
program improvement. 
‘‘(4) RELIANCE
ON
INSTITUTIONAL
AID
OR 
EMERGENCY
GRANTS.—Any institutional aid or 
emergency grant funds provided to a student under 
subparagraph (D) or (K) of paragraph (3) by an eli-
gible institution during the period of the institution’s 
subgrant under this subsection shall continue to be 
provided during the student’s continuous enrollment 
at the institution, without regard to whether the 
subgrant period ends during such enrollment. 
‘‘(5) DEFINITIONS.—In this subsection: 
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‘‘(A) ADMINISTERING
STATE
AGENCY.— 
The term ‘administering State agency’ means a 
State agency— 
‘‘(i) designated by the Governor or ex-
ecutive of the State to administer the sub-
grants under this subsection; and 
‘‘(ii) that, with respect to such State, 
has jurisdiction over— 
‘‘(I) foster youth; 
‘‘(II) homeless youth; 
‘‘(III) elementary and secondary 
education; or 
‘‘(IV) higher education. 
‘‘(B) ELIGIBLE
INSTITUTION.—The term 
‘eligible institution’ means an institution of 
higher education that— 
‘‘(i) is in partnership with— 
‘‘(I) the State child welfare agen-
cy that is responsible for the adminis-
tration of the State plan under part B 
or E of title IV of the Social Security 
Act (42 U.S.C. 621 et seq.; 670 et 
seq.); and 
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‘‘(II) an organization that serves 
homeless youth (such as a youth shel-
ter or outreach program); and 
‘‘(ii) may partner with any other pro-
vider, agency, official, or entity that serves 
foster youth and homeless youth, or former 
foster youth and homeless youth. 
‘‘(f) STATE REPORTS.—For each year in which a 
State receives an allotment under subsection (b), the State 
shall prepare and submit a report to the Secretary that 
includes— 
‘‘(1) each activity or service that was carried 
out under this section; 
‘‘(2) the cost of providing each such activity or 
service; 
‘‘(3) the number of students who received each 
activity or service, disaggregated by demographics; 
‘‘(4) using qualitative and quantitative analysis, 
how the State— 
‘‘(A) improved access to higher education 
for foster youth and homeless youth; and 
‘‘(B) measured youth satisfaction with ac-
tivities carried out under this part; 
‘‘(5) an analysis of the implementation and 
progress of the statewide transition initiative under 
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subsection (d), including challenges and changes 
made to the initiative throughout the preceding year; 
‘‘(6) if, based on the analysis under paragraph 
(5), the State determines that the program is not on 
track to meet the intended outcomes described in the 
application of the State under subsection (c)(2)(C), 
a description of how the State plans to meet such 
intended outcomes; and 
‘‘(7) information on the eligible institutions re-
ceiving subgrants, including how such institutions 
used subgrant funds to carry out the activities de-
scribed in subsection (e)(3). 
‘‘(g) DEPARTMENT ACTIVITIES.— 
‘‘(1) EVALUATIONS.—Beginning on the date on 
which funds are first allotted under subsection (b), 
and annually thereafter, the Secretary shall evaluate 
recipients of allotments and subgrants under this 
section. The results of such evaluations shall be 
made publicly available on the website of the De-
partment. 
‘‘(2) REPORT TO CONGRESS.—Not later than 1 
year after the date on which funds are first allotted 
under subsection (b), and annually thereafter, the 
Secretary shall submit a report to Congress that in-
cludes— 
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‘‘(A) the amount of each allotment under 
subsection (b); 
‘‘(B) the amount of each subgrant under 
subsection (e); and 
‘‘(C) with respect to the year for which 
such report is made, the results of the evalua-
tions under paragraph (1). 
‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There 
is authorized to be appropriated to carry out this section 
$150,000,000 for fiscal year 2024 and each of the 5 suc-
ceeding fiscal years.’’. 
Æ 
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