I 
108TH CONGRESS 
2D SESSION 
H. R. 3968
To provide access and assistance to increase college attendance and completion 
by part-time students. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 12, 2004
Mr. HOLT (for himself, Mr. GEORGE MILLER of California, Mr. KILDEE, Ms. 
WOOLSEY, Mr. HINOJOSA, Mr. PAYNE, Mr. FROST, Mr. BOUCHER, Mr. 
THOMPSON of Mississippi, Ms. MILLENDER-MCDONALD, Mr. DELAHUNT, 
Mr. MCNULTY, Ms. CARSON of Indiana, Mr. MCDERMOTT, and Mr. 
BROWN of Ohio) introduced the following bill; which was referred to the 
Committee on Education and the Workforce 
A BILL 
To provide access and assistance to increase college 
attendance and completion by part-time students.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; REFERENCES. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Part-time Student Assistance Act’’. 
(b) REFERENCES.—Except as otherwise expressly 
provided, whenever in this Act an amendment or repeal 
is expressed in terms of an amendment to, or repeal of,
a section or other provision, the reference shall be consid-
ered to be made to a section or other provision of the 
Higher Education Act of 1965 (20 U.S.C. 1001 et seq.). 
SEC. 2. SUPPORT FOR WORKING STUDENTS: INCREASES IN 
INCOME PROTECTION ALLOWANCES. 
(a) DEPENDENT STUDENTS.—Section 475(g)(2) (20 
U.S.C. 1087oo(g)(2)) is amended by striking subpara-
graph (D) and inserting the following: 
‘‘(D) an income protection allowance of 
$9,000;’’. 
(b) INDEPENDENT STUDENTS WITHOUT DEPEND-
ENTS OTHER THAN A SPOUSE.—Section 476(b)(1)(A) 
(20 U.S.C. 1087pp(b)(1)(A)) is amended by striking 
clause (iv) and inserting the following: 
‘‘(iv) an income protection allowance 
of $12,000;’’. 
(c) INDEPENDENT STUDENTS WITH DEPENDENTS 
OTHER THAN A SPOUSE.—Section 477(b) (20 U.S.C. 
1087qq(b)) is amended—
(1) in paragraph (1)—
(A) by striking subparagraph (D) and in-
serting the following: 
‘‘(D) an income protection allowance of 
$12,000;’’; and
(B) in subparagraph (E), by striking 
‘‘paragraph (5)’’ and inserting ‘‘paragraph 
(4)’’; 
(2) by striking paragraph (4); and 
(3) by redesignating paragraph (5) as para-
graph (4). 
(d) CONFORMING AMENDMENTS.—Section 478 (20 
U.S.C. 1087rr) is amended—
(1) by striking subsection (b) and inserting the 
following: 
‘‘(b) INCOME PROTECTION ALLOWANCE.—For each 
academic year after academic year 1993–1994, the Sec-
retary shall publish in the Federal Register a revised table 
of income protection allowances for the purpose of section 
475(c)(4). Such revised table shall be developed by in-
creasing each of the dollar amounts contained in the table 
in such section by a percentage equal to the estimated per-
centage increase in the Consumer Price Index (as deter-
mined by the Secretary) between December 1992 and the 
December next preceding the beginning of such academic 
year, and rounding the result to the nearest $10.’’; and 
(2) in subsection (h)—
(A) in the first sentence, by striking 
‘‘477(b)(5)’’ and inserting ‘‘477(b)(4)’’; and 
(B) in the second sentence—
(i) by striking ‘‘477(b)(5)(A)’’ and in-
serting ‘‘477(b)(4)(A)’’; and 
(ii) by striking ‘‘477(b)(5)(B)’’ and 
inserting ‘‘477(b)(4)(B)’’. 
SEC. 3. EXEMPTING EARNED INCOME CREDITS FROM THE 
CALCULATION OF INCOME. 
Section 480(a)(2) (20 U.S.C. 1087vv(a)(2)) is 
amended by inserting ‘‘or section 32’’ after ‘‘section 25A’’. 
SEC. 4. CHILD CARE MEANS PARENTS IN SCHOOL. 
(a) MINIMUM GRANT.—Section 419N(b)(2)(B) (20 
U.S.C. 1070e(b)(2)(B)) is amended by striking ‘‘$10,000’’ 
and inserting ‘‘$30,000’’. 
(b) ELIGIBLE INSTITUTIONS.—Section 419N(b)(4) is 
amended 
by 
striking 
‘‘$350,000’’ 
and 
inserting 
‘‘$250,000’’. 
(c) INCOME ELIGIBILITY.—Section 419N(b)(7) is 
amended by striking ‘‘who is eligible to receive’’ and in-
serting ‘‘whose income qualifies for eligibility for’’. 
(d) PUBLICITY.—Section 419N(b) is further amend-
ed by adding at the end the following new paragraph: 
‘‘(8) PUBLICITY.—The Secretary shall publicize 
the availability of grants under this section in appro-
priate periodicals in addition to publication in the 
Federal Register, and shall inform appropriate edu-
cational organizations of such availability.’’.
(e) AUTHORIZATION OF APPROPRIATIONS.—Section 
419N(g) is amended by striking ‘‘$45,000,000 for fiscal 
year 1999’’ and inserting ‘‘$75,000,000 for fiscal year 
2005’’. 
SEC. 5. YEAR-ROUND PELL GRANTS. 
Section 401 (20 U.S.C. 1070a) is amended by adding 
at the end the following new subsection: 
‘‘(k) YEAR-ROUND PELL GRANTS.—
‘‘(1) PILOT PROGRAM ESTABLISHED.—The Sec-
retary shall establish in accordance with this sub-
section a year-round Pell grant pilot program. Any 
institution of higher education that desires to par-
ticipate in the program under this subsection shall 
submit an application the Secretary at such time 
and containing or accompanied by such information 
and assurances as the Secretary may require. The 
Secretary may select not more than 200 institutions 
of higher education for participation in the program. 
The Secretary shall give preference in such selection 
to those associate’s and bachelor’s degree-granting 
institutions that, as determined under paragraph 
(3), have the highest completion and graduation 
rates, respectively. 
‘‘(2) PROGRAM
ELEMENTS.—With respect to 
students enrolled in institutions participating in the
program under this subsection, the Secretary is au-
thorized—
‘‘(A) to award such students two Pell 
grants in one calendar year to permit such stu-
dents to accelerating progress towards their de-
gree or certificate objectives by enrolling in aca-
demic programs for 12 rather than 9 months of 
the year at participating institutions; and 
‘‘(B) to award such two Pell grants to 
such students in a total amount up to 133 per-
cent of the maximum Pell under subsection 
(b)(2)(A) that is applicable for the academic 
year. 
‘‘(3) LIMITATION.—The Secretary shall limit 
the awarding of additional Pell grants under this 
subsection in a single calendar year to students who 
attend associate’s and bachelor’s degree-granting in-
stitutions with the following characteristics: 
‘‘(A) In the case of an associate’s degree-
granting institution, the completion rate for the 
institution of higher education reported by the 
Integrated Postsecondary Education Data Sys-
tem for the preceding 3 academic years has im-
proved by a total of at least 10 percent.
‘‘(B) In the case of a bachelor’s degree-
granting institution—
‘‘(i) the graduation rate for the insti-
tution of higher education reported by the 
Integrated Postsecondary Education Data 
System for the preceding 5 academic years 
is at least 50 percent; and 
‘‘(ii) the average time of enrollment 
required to complete a degree at the insti-
tution among students who enter as fresh-
man and earn bachelor’s degrees is 14 or 
fewer quarters, or 9 or fewer semesters or 
the equivalent. 
‘‘(4) TERMINATION; EVALUATION.—The author-
ity of the Secretary under this subsection shall cease 
to be effective on October 1, 2009. Not later than 
October 1, 2008, the Secretary shall conduct an 
evaluation of the program under this subsection and 
submit to the Congress a report on the results of 
such evaluation.’’. 
SEC. 6. ADDITIONAL FIPSE PROGRAM. 
(a) PURPOSE.—It is the purpose of this section—
(1) to allow a demonstration program that is 
strictly monitored by the Department of Education
to test creative measure for improving the avail-
ability of higher education for part-time students; 
(2) to provide for increased access for part-time 
students; and 
(3) to help determine the most effective assist-
ance for part-time students. 
(b) NEW PROGRAM AUTHORIZED.—Section 741(a) 
(20 U.S.C. 1138(a)) is amended—
(1) by striking ‘‘and’’ at the end of paragraph 
(7); 
(2) by striking the period at the end of para-
graph (8); and 
(3) by adding at the end the following new 
paragraph: 
‘‘(9) creating a program to create a holistic ap-
proach to addressing the needs of part-time students 
at not more than 150 associates and bachelors de-
gree-granting institutions that would include grants, 
leveraging funds from non-Federal sources, com-
prehensive child care, and better tailored remedial 
course programs.’’. 
(c) NOTIFICATION AND REPORTS.—Section 743 (20 
U.S.C. 1138b) is amended by adding at the end the fol-
lowing new subsections:
‘‘(c) PROCEDURES AND AUTHORIZATION FOR PART-
TIME STUDENT PROGRAM.—
‘‘(1) APPLICATION.—An eligible entity that de-
sires to receive a grant under subsection (b)(9) shall 
submit an application to the Secretary in such man-
ner and form, containing such information and as-
surances, as the Secretary may reasonably require. 
‘‘(2) SELECTION PROCEDURES.—The Secretary 
shall by regulation develop a formal procedure for 
the submissions of applications for grants under 
subsection (b)(9) and shall publish in the Federal 
Register an announcement of that procedure and the 
availability of funds under such part. 
‘‘(3) EVALUATION.—The Secretary shall evalu-
ate the program authorized under subsection (b)(9) 
on an annual basis. Such evaluations specifically 
shall review —
‘‘(A) the extent to which the institution 
has met the goals set forth in its application to 
the Secretary; 
‘‘(B) the number of students participating 
in the programs offered, including the progress 
of such students toward recognized certificates 
or degrees; and