To provide assistance to revitalize institutions of higher education affected by the Gulf hurricane disasters.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Gulf Coast College Revitalization 
Act''.

SEC. 2. FINDINGS; SENSE OF CONGRESS.

    (a) Findings.--The Congress finds the following:
            (1) Approximately 30 institutions of higher education in 
        the Gulf Coast region, serving approximately 100,000 students, 
        directly sustained damage from Hurricane Katrina.
            (2) The approximately 30 institutions of higher education 
        in the Gulf Coast region impacted by Hurricane Katrina employed 
        approximately 30,000 faculty, administrators, and staff.
            (3) Revitalizing institutions of higher education in the 
        Gulf Coast region will be a vital element in attracting middle 
        and upper income families back to the Gulf Coast region, and in 
        ensuring sustained economic recovery to the region's lower 
        income families.
            (4) Revitalizing the Gulf Coast economy will depend on 
        providing a highly skilled workforce.
            (5) The return of qualified academic professionals and 
        administrators is a vital element in the revitalization of 
        affected institutions of higher education in the Gulf Coast 
        region.
            (6) Students from throughout the Nation who attend 
        institutions of higher education in the Gulf Coast region, and 
        their families, contribute significantly to the local economy.
            (7) Many of the scientific, health, technology, and 
        cultural industries of the Gulf Coast region are dependant on 
        local institutions of higher education.
            (8) Hundreds of other institutions of higher education 
        throughout America and their students are accommodating victims 
        of the Gulf hurricane disasters.
    (b) Sense of Congress.--It is the sense of Congress that the 
assistance provided under this Act to revitalize affected institutions 
of higher education in the Gulf Coast region is a first step toward 
revitalizing and restoring the economic, social, and cultural 
prosperity of the entire Gulf Coast region.

SEC. 3. INSTITUTIONAL GRANTS FOR RECRUITMENT AND RETENTION.

    (a) Purpose.--The purpose of this section is to support affected 
institutions of higher education in their efforts to revitalize their 
communities following the Gulf hurricane disasters.
    (b) Program Authorized.--
            (1) Authority.--The Secretary shall award grants to 
        institutions of higher education adversely affected by a Gulf 
        hurricane disaster to assist the affected institutions in 
        recruiting and retaining students and retaining faculty. The 
        Secretary shall award grants under this Act as soon as 
        possible, but no later than 6 months after the date of the 
        enactment of this Act.
            (2) Duration; limitation.--Each grant awarded to an 
        affected institution under this section shall be awarded for a 
        period of 5 years, and may not be renewed. An affected 
        institution may not receive more than one grant under this 
        section.
            (3) Use of funds.--
                    (A) Aid to students.--Not less than 50 percent of 
                the funds made available by a grant under this section 
                shall be used by an affected institution to provide 
                need-based aid to students attending the affected 
                institution for academic year 2005-2006, and each of 
                the 4 succeeding academic years, for purposes of 
                attracting new and returning students to enroll in such 
                affected institution. Such need-based aid may include--
                            (i) assisting enrolled students with 
                        tuition, fees, and textbook expenses;
                            (ii) employing enrolled students to assist 
                        in rebuilding facilities of the affected 
                        institution;
                            (iii) providing room and board assistance 
                        for enrolled students living on campus;
                            (iv) attracting and retaining first-
                        generation students, minority students, and 
                        other at-risk or underserved populations;
                            (v) creating innovative work and study 
                        incentives for enrolled students; and
                            (vi) any other aid deemed necessary by the 
                        institution and approved by the Secretary.
                    (B) Incentives for faculty.--Not more than 50 
                percent of the funds made available by a grant under 
                this section shall be used by an affected institution 
                to provide incentives for faculty employed by an 
                affected institution to remain in the Gulf Coast region 
                at such affected institution or, if such affected 
                institution is unable to continue to employ such 
                faculty, at another affected institution. Such 
                incentives may include--
                            (i) employing returning faculty to assist 
                        in rebuilding facilities of the affected 
                        institution;
                            (ii) developing and providing temporary 
                        housing for returning faculty and their 
                        dependents who have been displaced from their 
                        homes;
                            (iii) continuing salaries and health 
                        benefits for returning faculty for up to one 
                        year;
                            (iv) providing tuition assistance for 
                        returning faculty and their dependents;
                            (v) creating innovative work and research 
                        incentives for returning faculty; and
                            (vi) any other incentives deemed necessary 
                        by the institution and approved by the 
                        Secretary.
                    (C) Institutional promotion.--Not more than 5 
                percent of the funds made available by a grant under 
                this section shall be used by an affected institution 
                to promote the institution at job and college fairs, 
                and through the media.
            (4) Prevailing wages.--Wages paid, for purposes of 
        rebuilding an affected institution's facilities under paragraph 
        (3)(A)(ii) or paragraph (3)(B)(i), to students or faculty in 
        whole or in part with grant funds received under this section 
        for employment as laborers, mechanics, or service employees 
        shall be paid at rates not less than those prevailing in the 
        locality as determined by the Secretary of Labor in accordance 
        with sections 3141, 3142, and 3145 of title 40, United States 
        Code or section 351 of title 41, United States Code, as the 
        case may be. Notwithstanding any other provision of law, the 
        requirements of this paragraph shall not be waived or 
        suspended.
    (c) Applications.--An institution of higher education desiring a 
grant under this section shall submit an application to the Secretary 
within 90 days of the date of enactment of this Act, in such manner, 
and accompanied by such information as the Secretary may require. Each 
application shall--
            (1) demonstrate that the institution is an affected 
        institution as defined in section 6;
            (2) specify the amount of grant funds requested;
            (3) demonstrate the need of the institution for such grant 
        by including in the application--
                    (A) evidence that, as a result of a Gulf hurricane 
                disaster, the institution suffered a direct and 
                significant economic impact and a decline in student 
                enrollment, hindering the institution's ability to 
                continue full operation;
                    (B) evidence that, as a result of a Gulf hurricane 
                disaster, the institution lost resources necessary to 
                retain faculty, hindering the institution's ability to 
                continue full operation;
                    (C) an assessment of damage to the infrastructure 
                of the institution as a result of a Gulf hurricane 
                disaster;
                    (D) information regarding additional needs created 
                by a Gulf hurricane disaster; and
                    (E) other relevant data; and
            (4) contain a description of the institution's plan to 
        carry out the purposes of this section.
    (d) Priority.--The Secretary shall give priority in awarding grants 
under this section to affected institutions most in need, as determined 
by the Secretary.
    (e) Reporting Requirements; Reviews.--
            (1) Reports.--Each affected institution receiving a grant 
        under this section shall report to the Secretary no later than 
        September 30 of each year of the 5-year period for which the 
        grant is awarded.
            (2) Contents.--The report shall include--
                    (A) data on the populations served under this 
                section;
                    (B) a description of the use of the grant funds 
                received under this section, including a description of 
                programs developed with such funds;
                    (C) a financial statement accounting for the use of 
                the grant funds; and
                    (D) data on the impact of the grant on enrollment 
                and retention at the institution, including data on the 
                numbers and percentages of new and returning students, 
                and the number and percentage of faculty that have been 
                retained.
            (3) Reviews.--The Secretary shall conduct periodic reviews 
        to ensure that grant funds are being properly managed, and that 
        the programs using such funds are achieving their intended 
        outcomes.
    (f) Availability of Funds.--There shall be available to the 
Secretary to carry out this section, from funds not otherwise 
appropriated, $3,000,000,000 for fiscal year 2006, which shall remain 
available through fiscal year 2010.

SEC. 4. LOAN FORGIVENESS.

    (a) Statement of Purpose.--The purpose of this section is to 
encourage students to continue attending, and to earn degrees from, 
affected institutions of higher education.
    (b) Program Authorized.--The Secretary shall carry out a program, 
through the holder of the loan, of assuming the obligation to repay a 
qualified loan amount for a loan made under part B of title IV of the 
Higher Education Act of 1965 (20 U.S.C. 1040), and of canceling the 
obligation to repay a qualified loan amount for a loan made under part 
D or E of such title IV, in accordance with subsection (c), for any 
borrower, who--
            (1) returns to or enrolls in an affected institution of 
        higher education in academic year 2005-2006, 2006-2007, or 
        2007-2008;
            (2) obtains an associate's degree or a bachelor's degree 
        from such institution; and
            (3) is not in default on a loan for which the borrower 
        seeks forgiveness.
    (c) Qualified Loan Amount.--
            (1) Associate's degree.--Upon completion of an associate's 
        degree from an affected institution, the Secretary shall 
        repay--
                    (A) in the case of a full-time student, $2,500 for 
                each academic year of enrollment at such affected 
                institution; or
                    (B) in the case of a student enrolled less than 
                full-time, $2,500 for the equivalent of one academic 
                year of enrollment as a full-time student at such 
                affected institution, as determined by the Secretary;
        not to exceed $5,000.
            (2) Bachelor's degree.--Upon completion of a bachelor's 
        degree from an affected institution, the Secretary shall 
        repay--
                    (A) in the case of a full-time student, $2,500 for 
                each academic year of enrollment at such affected 
                institution; or
                    (B) in the case of a student enrolled less than 
                full-time, $2,500 for the equivalent of one academic 
                year of enrollment as a full-time student at such 
                affected institution, as determined by the Secretary;
        not to exceed $10,000.
            (3) Limitation.--The Secretary shall repay not more than 
        the total outstanding federal loan obligation of the student, 
        or $10,000, whichever is less.
            (4) Prevention of abuse.--The Secretary is authorized to 
        issue such regulations as may be necessary to prevent borrowers 
        from receiving repayment under this section for an excessive 
        period of enrollment in comparison to the enrollment period 
        which the Secretary determines is appropriate to obtain an 
        associate's or a bachelor's degree.
            (5) Academic year of enrollment.--For the purpose of 
        calculating loan repayment under this section, the term 
        ``academic year of enrollment'' means the academic year in 
        which an affected institution reopens, or any subsequent 
        academic year.
    (d) Priority.--The Secretary shall give priority in awarding grants 
under this section to students most in need, as determined by the 
Secretary.
    (e) Construction.--Nothing in this section shall be construed to 
authorize any refunding of any repayment of a loan.
    (f) Availability of Funds.--There shall be available to the 
Secretary to carry out this section, from funds not otherwise 
appropriated, $1,600,000,000 for fiscal year 2006, which shall remain 
available through fiscal year 2013.

SEC. 5. REGULATIONS.

    The Secretary is authorized to issue such regulations as may be 
necessary to carry out the provisions of this Act.

SEC. 6. EMERGENCY DESIGNATIONS.

    Sections 3 and 4 of this Act are designated as emergency 
requirements pursuant to section 402 of H. Con. Res. 95 (109th 
Congress).

SEC. 7. DEFINITIONS.

     For the purposes of this Act:
            (1) Affected institution.--The term ``affected 
        institution'' means an institution of higher education (as 
        defined in section 102 of the Higher Education Act of 1965 (20 
        U.S.C. 1002))--
                    (A) located in an area affected by a Gulf hurricane 
                disaster; and
                    (B) that was forced to close, relocate, or 
                significantly curtail its activities as a result of 
                damage directly sustained by a Gulf hurricane disaster.
            (2) Faculty.--The term ``faculty'' means academic 
        professionals, administrators, and staff employed by an 
        affected institution--
                    (A) in the case of an institution located in an 
                area affected by Hurricane Katrina, as of August 29, 
                2005; or
                    (B) in the case of an institution located in an 
                area affected by Hurricane Rita, as of September 24, 
                2005.
            (3) Gulf hurricane disaster.--The term ``Gulf hurricane 
        disaster'' means a major disaster that the President declared 
        to exist, in accordance with section 401 of the Robert T. 
        Stafford Disaster Relief and Emergency Assistance Act (42 
        U.S.C. 5170), and that was caused by Hurricane Katrina or 
        Hurricane Rita.
            (4) Area affected by a gulf hurricane disaster.--The term 
        ``area affected by a Gulf hurricane disaster'' means a county 
        or parish, in an affected State, that has been designated by 
        the Federal Emergency Management Agency for disaster assistance 
        for individuals and households as a result of Hurricane Katrina 
        or Hurricane Rita.
            (5) Affected state.--The term ``affected State'' means the 
        State of Alabama, Louisiana, Mississippi, or Texas.

Summary: Gulf Coast College Revitalization Act - Expresses the sense of Congress that the assistance provided under this Act to revitalize institutions of higher education (IHE) affected by Hurricane Katrina or Hurricane Rita is a first step toward revitalizing and restoring the economic, social, and cultural prosperity of the entire Gulf Coast region.

Directs the Secretary (of Education) to award grants to IHEs adversely affected by a Gulf hurricane disaster to assist the affected institutions in recruiting and retaining students and retaining faculty.

Directs the Secretary to assume or cancel repayment obligations for qualified loan amounts under specified student loan programs under the Higher Education Act of 1965 for certain borrowers who return to or enroll in such affected IHEs in academic years 20052006, 20062007, or 20072008, and obtain associates or bachelors degrees from such IHEs.

Designates such provisions for institutional grants and student loan forgiveness under this Act as emergency requirements pursuant to specified budget provisions of H. Con. Res. 95 of the 109th Congress.