Laws & Guidance HIGHER EDUCATION
1998 Amendments to Higher Education Act of 1965
P.L. 105-244

TITLE III--INSTITUTIONAL AID
SEC. 303. STRENGTHENING INSTITUTIONS

(a) GRANTS- Section 311 (20 U.S.C. 1057) is amended by adding at the end the following:

`(c) AUTHORIZED ACTIVITIES- Grants awarded under this section shall be used for 1 or more of the following activities:

`(1) Purchase, rental, or lease of scientific or laboratory equipment for educational purposes, including instructional and research purposes.

`(2) Construction, maintenance, renovation, and improvement in classrooms, libraries, laboratories, and other instructional facilities, including the integration of computer technology into institutional facilities to create smart buildings.

`(3) Support of faculty exchanges, faculty development, and faculty fellowships to assist in attaining advanced degrees in the field of instruction of the faculty.

`(4) Development and improvement of academic programs.

`(5) Purchase of library books, periodicals, and other educational materials, including telecommunications program material.

`(6) Tutoring, counseling, and student service programs designed to improve academic success.

`(7) Funds management, administrative management, and acquisition of equipment for use in strengthening funds management.

`(8) Joint use of facilities, such as laboratories and libraries.

`(9) Establishing or improving a development office to strengthen or improve contributions from alumni and the private sector.

`(10) Establishing or improving an endowment fund.

`(11) Creating or improving facilities for Internet or other distance learning academic instruction capabilities, including purchase or rental of telecommunications technology equipment or services.

`(12) Other activities proposed in the application submitted pursuant to subsection (c) that--

`(A) contribute to carrying out the purposes of the program assisted under this part; and

`(B) are approved by the Secretary as part of the review and acceptance of such application.

`(d) ENDOWMENT FUND-

`(1) IN GENERAL- An eligible institution may use not more than 20 percent of the grant funds provided under this part to establish or increase an endowment fund at such institution.

`(2) MATCHING REQUIREMENT- In order to be eligible to use grant funds in accordance with paragraph (1), the eligible institution shall provide matching funds from non-Federal sources, in an amount equal to or greater than the Federal funds used in accordance with paragraph (1), for the establishment or increase of the endowment fund.

`(3) COMPARABILITY- The provisions of part C, 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 paragraph (1).'.

(b) ENDOWMENT FUND DEFINITION- Section 312 (as amended by section 301(c)(2)) (20 U.S.C. 1058) is amended--

(1) by redesignating subsections (c) through (f) as subsections (d) through (g), respectively; and

(2) by inserting after subsection (b) the following:

`(c) ENDOWMENT FUND- For the purpose of this part, the term `endowment fund' means a fund that--

`(1) is established by State law, by an institution of higher education, or by a foundation that is exempt from Federal income taxation;

`(2) is maintained for the purpose of generating income for the support of the institution; and

`(3) does not include real estate.'.

(c) DURATION OF GRANT- Section 313 (20 U.S.C. 1059) is amended--

(1) in subsection (b), by inserting `subsection (c) and a grant under' before `section 394(a)(1)'; and

(2) by adding at the end the following:

`(d) WAIT-OUT-PERIOD- Each eligible institution that received a grant under this part for a 5-year period shall not be eligible to receive an additional grant under this part until 2 years after the date on which the 5-year grant period terminates.'.

(d) APPLICATIONS- Title III is amended by striking section 314 (20 U.S.C. 1059a) and inserting the following:

`SEC. 314. APPLICATIONS.

`Each eligible institution desiring to receive assistance under this part shall submit an application in accordance with the requirements of section 391.'.

(e) AMERICAN INDIAN TRIBALLY CONTROLLED COLLEGES AND UNIVERSITIES- Section 316 (20 U.S.C. 1059c) is amended to read as follows:

`SEC. 316. AMERICAN INDIAN TRIBALLY CONTROLLED COLLEGES AND UNIVERSITIES.

`(a) PROGRAM AUTHORIZED- The Secretary shall provide grants and related assistance to Indian Tribal Colleges and Universities to enable such institutions to improve and expand their capacity to serve Indian students.

`(b) DEFINITIONS- In this section:

`(1) INDIAN- The term `Indian' has the meaning given the term in section 2 of the Tribally Controlled College or University Assistance Act of 1978.

`(2) INDIAN TRIBE- The term `Indian tribe' has the meaning given the term in section 2 of the Tribally Controlled College or University Assistance Act of 1978.

`(3) TRIBAL COLLEGE OR UNIVERSITY- The term `Tribal College or University' has the meaning give the term `tribally controlled college or university' in section 2 of the Tribally Controlled College or University Assistance Act of 1978, and includes an institution listed in the Equity in Educational Land Grant Status Act of 1994.

`(4) INSTITUTION OF HIGHER EDUCATION- The term `institution of higher education' means an institution of higher education as defined in section 101(a), except that paragraph (2) of such section shall not apply.

`(c) AUTHORIZED ACTIVITIES-

`(1) IN GENERAL- Grants awarded under this section shall be used by Tribal Colleges or Universities to assist such institutions to plan, develop, undertake, and carry out activities to improve and expand such institutions' capacity to serve Indian students.

`(2) EXAMPLES OF AUTHORIZED ACTIVITIES- The activities described in paragraph (1) may include--

`(A) purchase, rental, or lease of scientific or laboratory equipment for educational purposes, including instructional and research purposes;

`(B) construction, maintenance, renovation, and improvement in classrooms, libraries, laboratories, and other instructional facilities, including purchase or rental of telecommunications technology equipment or services;

`(C) support of faculty exchanges, faculty development, and faculty fellowships to assist in attaining advanced degrees in the faculty's field of instruction;

`(D) academic instruction in disciplines in which Indians are underrepresented;

`(E) purchase of library books, periodicals, and other educational materials, including telecommunications program material;

`(F) tutoring, counseling, and student service programs designed to improve academic success;

`(G) funds management, administrative management, and acquisition of equipment for use in strengthening funds management;

`(H) joint use of facilities, such as laboratories and libraries;

`(I) establishing or improving a development office to strengthen or improve contributions from alumni and the private sector;

`(J) establishing or enhancing a program of teacher education designed to qualify students to teach in elementary schools or secondary schools, with a particular emphasis on teaching Indian children and youth, that shall include, as part of such program, preparation for teacher certification;

`(K) establishing community outreach programs that encourage Indian elementary school and secondary school students to develop the academic skills and the interest to pursue postsecondary education; and

`(L) other activities proposed in the application submitted pursuant to subsection (d) that--

`(i) contribute to carrying out the activities described in subparagraphs (A) through (K); and

`(ii) are approved by the Secretary as part of the review and acceptance of such application.

`(3) ENDOWMENT FUND-

`(A) IN GENERAL- A Tribal College or University 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), the Tribal College or University shall provide matching funds, in an amount equal to 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 regarding the establishment or increase of an endowment fund, that the Secretary determines are not inconsistent with this paragraph, shall apply to funds used under subparagraph (A).

`(d) APPLICATION PROCESS-

`(1) INSTITUTIONAL ELIGIBILITY- To be eligible to receive assistance under this section, a Tribal College or University shall be an eligible institution under section 312(b).

`(2) APPLICATION- Any Tribal College or University desiring to receive assistance under this section shall submit an application to the Secretary at such time, and in such manner, as the Secretary may by regulation reasonably require. Each such application shall include--

`(A) a 5-year plan for improving the assistance provided by the Tribal College or University to Indian students, increasing the rates at which Indian secondary school students enroll in higher education, and increasing overall postsecondary retention rates for Indian students; and

`(B) such enrollment data and other information and assurances as the Secretary may require to demonstrate compliance with paragraph (1).

`(3) SPECIAL RULE- For the purposes of this part, no Tribal College or University that is eligible for and receives funds under this section may concurrently receive other funds under this part or part B.'.

(f) ALASKA NATIVE AND NATIVE HAWAIIAN-SERVING INSTITUTIONS- Part A of title III (20 U.S.C. 1057 et seq.) is amended by adding at the end the following:

`SEC. 317. ALASKA NATIVE AND NATIVE HAWAIIAN-SERVING INSTITUTIONS.

`(a) PROGRAM AUTHORIZED- The Secretary shall provide grants and related assistance to Alaska Native-serving institutions and Native Hawaiian-serving institutions to enable such institutions to improve and expand their capacity to serve Alaska Natives and Native Hawaiians.

`(b) DEFINITIONS- For the purpose of this section--

`(1) the term `Alaska Native' has the meaning given the term in section 9308 of the Elementary and Secondary Education Act of 1965;

`(2) the term `Alaska Native-serving institution' means an institution of higher education that--

`(A) is an eligible institution under section 312(b); and

`(B) at the time of application, has an enrollment of undergraduate students that is at least 20 percent Alaska Native students;

`(3) the term `Native Hawaiian' has the meaning given the term in section 9212 of the Elementary and Secondary Education Act of 1965; and

`(4) the term `Native Hawaiian-serving institution' means an institution of higher education which--

`(A) is an eligible institution under section 312(b); and

`(B) at the time of application, has an enrollment of undergraduate students that is at least 10 percent Native Hawaiian students.

`(c) AUTHORIZED ACTIVITIES-

`(1) TYPES OF ACTIVITIES AUTHORIZED- Grants awarded under this section shall be used by Alaska Native-serving institutions and Native Hawaiian-serving institutions to assist such institutions to plan, develop, undertake, and carry out activities to improve and expand such institutions' capacity to serve Alaska Natives or Native Hawaiians.

`(2) EXAMPLES OF AUTHORIZED ACTIVITIES- Such programs may include--

`(A) purchase, rental, or lease of scientific or laboratory equipment for educational purposes, including instructional and research purposes;

`(B) renovation and improvement in classroom, library, laboratory, and other instructional facilities;

`(C) support of faculty exchanges, and faculty development and faculty fellowships to assist in attaining advanced degrees in the faculty's field of instruction;

`(D) curriculum development and academic instruction;

`(E) purchase of library books, periodicals, microfilm, and other educational materials;

`(F) funds and administrative management, and acquisition of equipment for use in strengthening funds management;

`(G) joint use of facilities such as laboratories and libraries; and

`(H) academic tutoring and counseling programs and student support services.

`(d) APPLICATION PROCESS-

`(1) INSTITUTIONAL ELIGIBILITY- Each Alaska Native-serving institution and Native Hawaiian-serving institution desiring to receive assistance under this section shall submit to the Secretary such enrollment data as may be necessary to demonstrate that the institution is an Alaska Native-serving institution or a Native Hawaiian-serving institution as defined in subsection (b), along with such other information and data as the Secretary may by regulation require.

`(2) APPLICATIONS- Any institution which is determined by the Secretary to be an Alaska Native-serving institution or a Native Hawaiian-serving institution may submit an application for assistance under this section to the Secretary. Such application shall include--

`(A) a 5-year plan for improving the assistance provided by the Alaska Native-serving institution or the Native Hawaiian-serving institution to Alaska Native or Native Hawaiian students; and

`(B) such other information and assurance as the Secretary may require.

`(e) SPECIAL RULE- For the purposes of this section, no Alaska Native-serving institution or Native Hawaiian-serving institution which is eligible for and receives funds under this section may concurrently receive other funds under this part or part B.'.


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[Sec. 302. Findings.] [Table of Contents] [Sec. 304. Strengthening HBCU's.]
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Last Modified: 09/23/2003