[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 2638 Considered and Passed Senate (CPS)]







105th CONGRESS
  2d Session
                                S. 2638

         To provide support for certain institutes and schools.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

             October 15 (legislative day, October 2), 1998

 Mr. Frist (for himself, Mr. DeWine, Mr. Kennedy, Mr. Smith of Oregon, 
 Mr. Thompson, and Mr. Wyden) introduced the following bill; which was 
        read twice, considered, read the third time, and passed

_______________________________________________________________________

                                 A BILL


 
         To provide support for certain institutes and schools.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

 TITLE I--OREGON INSTITUTE OF PUBLIC SERVICE AND CONSTITUTIONAL STUDIES

SEC. 101. DEFINITIONS.

    In this title:
            (1) Endowment fund.--The term ``endowment fund'' means a 
        fund established by Portland State University for the purpose 
        of generating income for the support of the Institute.
            (2) Institute.--The term ``Institute'' means the Oregon 
        Institute of Public Service and Constitutional Studies 
        established under this title.
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Education.

SEC. 102. OREGON INSTITUTE OF PUBLIC SERVICE AND CONSTITUTIONAL 
              STUDIES.

    From the funds appropriated under section 106, the Secretary is 
authorized to award a grant to Portland State University at Portland, 
Oregon, for the establishment of an endowment fund to support the 
Oregon Institute of Public Service and Constitutional Studies at the 
Mark O. Hatfield School of Government at Portland State University.

SEC. 103. DUTIES.

    In order to receive a grant under this title the Portland State 
University shall establish the Institute. The Institute shall have the 
following duties:
            (1) To generate resources, improve teaching, enhance 
        curriculum development, and further the knowledge and 
        understanding of students of all ages about public service, the 
        United States Government, and the Constitution of the United 
        States of America.
            (2) To increase the awareness of the importance of public 
        service, to foster among the youth of the United States greater 
        recognition of the role of public service in the development of 
        the United States, and to promote public service as a career 
        choice.
            (3) To establish a Mark O. Hatfield Fellows program for 
        students of government, public policy, public health, 
        education, or law who have demonstrated a commitment to public 
        service through volunteer activities, research projects, or 
        employment.
            (4) To create library and research facilities for the 
        collection and compilation of research materials for use in 
        carrying out programs of the Institute.
            (5) To support the professional development of elected 
        officials at all levels of government.

SEC. 104. ADMINISTRATION.

    (a) Leadership Council.--
            (1) In general.--In order to receive a grant under this 
        title Portland State University shall ensure that the Institute 
        operates under the direction of a Leadership Council (in this 
        title referred to as the ``Leadership Council'') that--
                    ``(A) consists of 15 individuals appointed by the 
                President of Portland State University; and
                    ``(B) is established in accordance with this 
                section.
            (2) Appointments.--Of the individuals appointed under 
        paragraph (1)(A)--
                    (A) Portland State University, Willamette 
                University, the Constitution Project, George Fox 
                University, Warner Pacific University, and Oregon 
                Health Sciences University shall each have a 
                representative;
                    (B) at least 1 shall represent Mark O. Hatfield, 
                his family, or a designee thereof;
                    (C) at least 1 shall have expertise in elementary 
                and secondary school social sciences or governmental 
                studies;
                    (D) at least 2 shall be representative of business 
                or government and reside outside of Oregon;
                    (E) at least 1 shall be an elected official; and
                    (F) at least 3 shall be leaders in the private 
                sector.
            (3) Ex-officio member.--The Director of the Mark O. 
        Hatfield School of Government at Portland State University 
        shall serve as an ex-officio member of the Leadership Council.
    (b) Chairperson.--
            (1) In general.--The President of Portland State University 
        shall designate 1 of the individuals first appointed to the 
        Leadership Council under subsection (a) as the Chairperson of 
        the Leadership Council. The individual so designated shall 
        serve as Chairperson for 1 year.
            (2) Requirement.--Upon the expiration of the term of the 
        Chairperson of the individual designated as Chairperson under 
        paragraph (1), or the term of the Chairperson elected under 
        this paragraph, the members of the Leadership Council shall 
        elect a Chairperson of the Leadership Council from among the 
        members of the Leadership Council.

SEC. 105. ENDOWMENT FUND.

    (a) Management.--The endowment fund shall be managed in accordance 
with the standard endowment policies established by the Oregon 
University System.
    (b) Use of Interest and Investment Income.--Interest and other 
investment income earned (on or after the date of enactment of this 
subsection) from the endowment fund may be used to carry out the duties 
of the Institute under section 103.
    (c) Distribution of Interest and Investment Income.--Funds realized 
from interest and other investment income earned (on or after the date 
of enactment of this subsection) shall be spent by Portland State 
University in collaboration with Willamette University, George Fox 
University, the Constitution Project, Warner Pacific University, Oregon 
Health Sciences University, and other appropriate educational 
institutions or community-based organizations. In expending such funds, 
the Leadership Council shall encourage programs to establish 
partnerships, to leverage private funds, and to match expenditures from 
the endowment fund.

SEC. 106. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this title 
$3,000,000 for fiscal year 1999, and each subsequent fiscal year 
thereafter.

              TITLE II--PAUL SIMON PUBLIC POLICY INSTITUTE

SEC. 201. DEFINITIONS.

    In this title:
            (1) Endowment fund.--The term ``endowment fund'' means a 
        fund established by the University for the purpose of 
        generating income for the support of the Institute.
            (2) Endowment fund corpus.--The term ``endowment fund 
        corpus'' means an amount equal to the grant or grants awarded 
        under this title plus an amount equal to the matching funds 
        required under section 202(d).
            (3) Endowment fund income.--The term ``endowment fund 
        income'' means an amount equal to the total value of the 
        endowment fund minus the endowment fund corpus.
            (4) Institute.--The term ``Institute'' means the Paul Simon 
        Public Policy Institute described in section 202.
            (5) Secretary.--The term ``Secretary'' means the Secretary 
        of Education.
            (6) University.--The term ``University'' means Southern 
        Illinois University at Carbondale, Illinois.

SEC. 202. PROGRAM AUTHORIZED.

    (a) Grants.--From the funds appropriated under section 206, the 
Secretary is authorized to award a grant to Southern Illinois 
University for the establishment of an endowment fund to support the 
Paul Simon Public Policy Institute. The Secretary may enter into 
agreements with the University and include in any agreement made 
pursuant to this title such provisions as are determined necessary by 
the Secretary to carry out this title.
    (b) Duties.--In order to receive a grant under this title, the 
University shall establish the Institute. The Institute, in addition to 
recognizing more than 40 years of public service to Illinois, to the 
Nation, and to the world, shall engage in research, analysis, debate, 
and policy recommendations affecting world hunger, mass media, foreign 
policy, education, and employment.
    (c) Deposit Into Endowment Fund.--The University shall deposit the 
proceeds of any grant received under this section into the endowment 
fund.
    (d) Matching Funds Requirement.--The University may receive a grant 
under this section only if the University has deposited in the 
endowment fund established under this title an amount equal to one-
third of such grant and has provided adequate assurances to the 
Secretary that the University will administer the endowment fund in 
accordance with the requirements of this title. The source of the funds 
for the University match shall be derived from State, private 
foundation, corporate, or individual gifts or bequests, but may not 
include Federal funds or funds derived from any other federally 
supported fund.
    (e) Duration; Corpus Rule.--The period of any grant awarded under 
this section shall not exceed 20 years, and during such period the 
University shall not withdraw or expend any of the endowment fund 
corpus. Upon expiration of the grant period, the University may use the 
endowment fund corpus, plus any endowment fund income for any 
educational purpose of the University.

SEC. 203. INVESTMENTS.

    (a) In General.--The University shall invest the endowment fund 
corpus and endowment fund income in those low-risk instruments and 
securities in which a regulated insurance company may invest under the 
laws of the State of Illinois, such as federally insured bank savings 
accounts or comparable interest bearing accounts, certificates of 
deposit, money market funds, or obligations of the United States.
    (b) Judgment and Care.--The University, in investing the endowment 
fund corpus and endowment fund income, shall exercise the judgment and 
care, under circumstances then prevailing, which a person of prudence, 
discretion, and intelligence would exercise in the management of the 
person's own business affairs.

SEC. 204. WITHDRAWALS AND EXPENDITURES.

    (a) In General.--The University may withdraw and expend the 
endowment fund income to defray any expenses necessary to the operation 
of the Institute, including expenses of operations and maintenance, 
administration, academic and support personnel, construction and 
renovation, community and student services programs, technical 
assistance, and research. No endowment fund income or endowment fund 
corpus may be used for any type of support of the executive officers of 
the University or for any commercial enterprise or endeavor. Except as 
provided in subsection (b), the University shall not, in the aggregate, 
withdraw or expend more than 50 percent of the total aggregate 
endowment fund income earned prior to the time of withdrawal or 
expenditure.
    (b) Special Rule.--The Secretary is authorized to permit the 
University to withdraw or expend more than 50 percent of the total 
aggregate endowment fund income whenever the University demonstrates 
such withdrawal or expenditure is necessary because of--
            (1) a financial emergency, such as a pending insolvency or 
        temporary liquidity problem;
            (2) a life-threatening situation occasioned by a natural 
        disaster or arson; or
            (3) another unusual occurrence or exigent circumstance.
    (c) Repayment.--
            (1) Income.--If the University withdraws or expends more 
        than the endowment fund income authorized by this section, the 
        University shall repay the Secretary an amount equal to one-
        third of the amount improperly expended (representing the 
        Federal share thereof).
            (2) Corpus.--Except as provided in section 202(e)--
                    (A) the University shall not withdraw or expend any 
                endowment fund corpus; and
                    (B) if the University withdraws or expends any 
                endowment fund corpus, the University shall repay the 
                Secretary an amount equal to one-third of the amount 
                withdrawn or expended (representing the Federal share 
                thereof) plus any endowment fund income earned thereon.

SEC. 205. ENFORCEMENT.

    (a) In General.--After notice and an opportunity for a hearing, the 
Secretary is authorized to terminate a grant and recover any grant 
funds awarded under this section if the University--
            (1) withdraws or expends any endowment fund corpus, or any 
        endowment fund income in excess of the amount authorized by 
        section 204, except as provided in section 202(e);
            (2) fails to invest the endowment fund corpus or endowment 
        fund income in accordance with the investment requirements 
        described in section 203; or
            (3) fails to account properly to the Secretary, or the 
        General Accounting Office if properly designated by the 
        Secretary to conduct an audit of funds made available under 
        this title, pursuant to such rules and regulations as may be 
        proscribed by the Comptroller General of the United States, 
        concerning investments and expenditures of the endowment fund 
        corpus or endowment fund income.
    (b) Termination.--If the Secretary terminates a grant under 
subsection (a), the University shall return to the Treasury of the 
United States an amount equal to the sum of the original grant or 
grants under this title, plus any endowment fund income earned thereon. 
The Secretary may direct the University to take such other appropriate 
measures to remedy any violation of this title and to protect the 
financial interest of the United States.

SEC. 206. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this title 
$3,000,000 for fiscal year 1999, and each subsequent fiscal year 
thereafter. Funds appropriated under this section shall remain 
available until expended.

              TITLE III--HOWARD BAKER SCHOOL OF GOVERNMENT

SEC. 301. DEFINITIONS.

    In this title:
            (1) Board.--The term ``Board'' means the Board of Advisors 
        established under section 304.
            (2) Endowment fund.--The term ``endowment fund'' means a 
        fund established by the University of Tennessee in Knoxville, 
        Tennessee, for the purpose of generating income for the support 
        of the School.
            (3) School.--The term ``School'' means the Howard Baker 
        School of Government established under this title.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of Education.
            (5) University.--The term ``University'' means the 
        University of Tennessee in Knoxville, Tennessee.

SEC. 302. HOWARD BAKER SCHOOL OF GOVERNMENT.

    From the funds authorized to be appropriated under section 306, the 
Secretary is authorized to award a grant to the University for the 
establishment of an endowment fund to support the Howard Baker School 
of Government at the University of Tennessee in Knoxville, Tennessee.

SEC. 303. DUTIES.

    In order to receive a grant under this title, the University shall 
establish the School. The School shall have the following duties:
            (1) To establish a professorship to improve teaching and 
        research related to, enhance the curriculum of, and further the 
        knowledge and understanding of, the study of democratic 
        institutions, including aspects of regional planning, public 
        administration, and public policy.
            (2) To establish a lecture series to increase the knowledge 
        and awareness of the major public issues of the day in order to 
        enhance informed citizen participation in public affairs.
            (3) To establish a fellowship program for students of 
        government, planning, public administration, or public policy 
        who have demonstrated a commitment and an interest in pursuing 
        a career in public affairs.
            (4) To provide appropriate library materials and 
        appropriate research and instructional equipment for use in 
        carrying out academic and public service programs, and to 
        enhance the existing United States Presidential and public 
        official manuscript collections.
            (5) To support the professional development of elected 
        officials at all levels of government.

SEC. 304. ADMINISTRATION.

    (a) Board of Advisors.--
            (1) In general.--The School shall operate with the advice 
        and guidance of a Board of Advisors consisting of 13 
        individuals appointed by the Vice Chancellor for Academic 
        Affairs of the University.
            (2) Appointments.--Of the individuals appointed under 
        paragraph (1)--
                    (A) 5 shall represent the University;
                    (B) 2 shall represent Howard Baker, his family, or 
                a designee thereof;
                    (C) 5 shall be representative of business or 
                government; and
                    (D) 1 shall be the Governor of Tennessee, or the 
                Governor's designee.
            (3) Ex officio members.--The Vice Chancellor for Academic 
        Affairs and the Dean of the College of Arts and Sciences at the 
        University shall serve as an ex officio member of the Board.
    (b) Chairperson.--
            (1) In general.--The Chancellor, with the concurrence of 
        the Vice Chancellor for Academic Affairs, of the University 
        shall designate 1 of the individuals first appointed to the 
        Board under subsection (a) as the Chairperson of the Board. The 
        individual so designated shall serve as Chairperson for 1 year.
            (2) Requirements.--Upon the expiration of the term of the 
        Chairperson of the individual designated as Chairperson under 
        paragraph (1) or the term of the Chairperson elected under this 
        paragraph, the members of the Board shall elect a Chairperson 
        of the Board from among the members of the Board.

SEC. 305. ENDOWMENT FUND.

    (a) Management.--The endowment fund shall be managed in accordance 
with the standard endowment policies established by the University of 
Tennessee System.
    (b) Use of Interest and Investment Income.--Interest and other 
investment income earned (on or after the date of enactment of this 
subsection) from the endowment fund may be used to carry out the duties 
of the School under section 303.
    (c) Distribution of Interest and Investment Income.--Funds realized 
from interest and other investment income earned (on or after the date 
of enactment of this subsection) shall be available for expenditure by 
the University for purposes consistent with section 303, as recommended 
by the Board. The Board shall encourage programs to establish 
partnerships, to leverage private funds, and to match expenditures from 
the endowment fund.

SEC. 306. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this title 
$10,000,000 for fiscal year 2000, and each subsequent fiscal year 
thereafter.

  TITLE IV--JOHN GLENN INSTITUTE FOR PUBLIC SERVICE AND PUBLIC POLICY

SEC. 401. DEFINITIONS.

    In this title:
            (1) Endowment fund.--The term ``endowment fund'' means a 
        fund established by the University for the purpose of 
        generating income for the support of the Institute.
            (2) Endowment fund corpus.--The term ``endowment fund 
        corpus'' means an amount equal to the grant or grants awarded 
        under this title plus an amount equal to the matching funds 
        required under section 402(d).
            (3) Endowment fund income.--The term ``endowment fund 
        income'' means an amount equal to the total value of the 
        endowment fund minus the endowment fund corpus.
            (4) Institute.--The term ``Institute'' means the John Glenn 
        Institute for Public Service and Public Policy described in 
        section 402.
            (5) Secretary.--The term ``Secretary'' means the Secretary 
        of Education.
            (6) University.--The term ``University'' means the Ohio 
        State University at Columbus, Ohio.

SEC. 402. PROGRAM AUTHORIZED.

    (a) Grants.--From the funds appropriated under section 406, the 
Secretary is authorized to award a grant to the Ohio State University 
for the establishment of an endowment fund to support the John Glenn 
Institute for Public Service and Public Policy. The Secretary may enter 
into agreements with the University and include in any agreement made 
pursuant to this title such provisions as are determined necessary by 
the Secretary to carry out this title.
    (b) Purposes.--The Institute shall have the following purposes:
            (1) To sponsor classes, internships, community service 
        activities, and research projects to stimulate student 
        participation in public service, in order to foster America's 
        next generation of leaders.
            (2) To conduct scholarly research in conjunction with 
        public officials on significant issues facing society and to 
        share the results of such research with decisionmakers and 
        legislators as the decisionmakers and legislators address such 
        issues.
            (3) To offer opportunities to attend seminars on such 
        topics as budgeting and finance, ethics, personnel management, 
        policy evaluations, and regulatory issues that are designed to 
        assist public officials in learning more about the political 
        process and to expand the organizational skills and policy-
        making abilities of such officials.
            (4) To educate the general public by sponsoring national 
        conferences, seminars, publications, and forums on important 
        public issues.
            (5) To provide access to Senator John Glenn's extensive 
        collection of papers, policy decisions, and memorabilia, 
        enabling scholars at all levels to study the Senator's work.
    (c) Deposit Into Endowment Fund.--The University shall deposit the 
proceeds of any grant received under this section into the endowment 
fund.
    (d) Matching Funds Requirement.--The University may receive a grant 
under this section only if the University has deposited in the 
endowment fund established under this title an amount equal to one-
third of such grant and has provided adequate assurances to the 
Secretary that the University will administer the endowment fund in 
accordance with the requirements of this title. The source of the funds 
for the University match shall be derived from State, private 
foundation, corporate, or individual gifts or bequests, but may not 
include Federal funds or funds derived from any other federally 
supported fund.
    (e) Duration; Corpus Rule.--The period of any grant awarded under 
this section shall not exceed 20 years, and during such period the 
University shall not withdraw or expend any of the endowment fund 
corpus. Upon expiration of the grant period, the University may use the 
endowment fund corpus, plus any endowment fund income for any 
educational purpose of the University.

SEC. 403. INVESTMENTS.

    (a) In General.--The University shall invest the endowment fund 
corpus and endowment fund income in accordance with the University's 
investment policy approved by the Ohio State University Board of 
Trustees.
    (b) Judgment and Care.--The University, in investing the endowment 
fund corpus and endowment fund income, shall exercise the judgment and 
care, under circumstances then prevailing, which a person of prudence, 
discretion, and intelligence would exercise in the management of the 
person's own business affairs.

SEC. 404. WITHDRAWALS AND EXPENDITURES.

    (a) In General.--The University may withdraw and expend the 
endowment fund income to defray any expenses necessary to the operation 
of the Institute, including expenses of operations and maintenance, 
administration, academic and support personnel, construction and 
renovation, community and student services programs, technical 
assistance, and research. No endowment fund income or endowment fund 
corpus may be used for any type of support of the executive officers of 
the University or for any commercial enterprise or endeavor. Except as 
provided in subsection (b), the University shall not, in the aggregate, 
withdraw or expend more than 50 percent of the total aggregate 
endowment fund income earned prior to the time of withdrawal or 
expenditure.
    (b) Special Rule.--The Secretary is authorized to permit the 
University to withdraw or expend more than 50 percent of the total 
aggregate endowment fund income whenever the University demonstrates 
such withdrawal or expenditure is necessary because of--
            (1) a financial emergency, such as a pending insolvency or 
        temporary liquidity problem;
            (2) a life-threatening situation occasioned by a natural 
        disaster or arson; or
            (3) another unusual occurrence or exigent circumstance.
    (c) Repayment.--
            (1) Income.--If the University withdraws or expends more 
        than the endowment fund income authorized by this section, the 
        University shall repay the Secretary an amount equal to one-
third of the amount improperly expended (representing the Federal share 
thereof).
            (2) Corpus.--Except as provided in section 402(e)--
                    (A) the University shall not withdraw or expend any 
                endowment fund corpus; and
                    (B) if the University withdraws or expends any 
                endowment fund corpus, the University shall repay the 
                Secretary an amount equal to one-third of the amount 
                withdrawn or expended (representing the Federal share 
                thereof) plus any endowment fund income earned thereon.

SEC. 405. ENFORCEMENT.

    (a) In General.--After notice and an opportunity for a hearing, the 
Secretary is authorized to terminate a grant and recover any grant 
funds awarded under this section if the University--
            (1) withdraws or expends any endowment fund corpus, or any 
        endowment fund income in excess of the amount authorized by 
        section 404, except as provided in section 402(e);
            (2) fails to invest the endowment fund corpus or endowment 
        fund income in accordance with the investment requirements 
        described in section 403; or
            (3) fails to account properly to the Secretary, or the 
        General Accounting Office if properly designated by the 
        Secretary to conduct an audit of funds made available under 
        this title, pursuant to such rules and regulations as may be 
        prescribed by the Comptroller General of the United States, 
        concerning investments and expenditures of the endowment fund 
        corpus or endowment fund income.
    (b) Termination.--If the Secretary terminates a grant under 
subsection (a), the University shall return to the Treasury of the 
United States an amount equal to the sum of the original grant or 
grants under this title, plus any endowment fund income earned thereon. 
The Secretary may direct the University to take such other appropriate 
measures to remedy any violation of this title and to protect the 
financial interest of the United States.

SEC. 406. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this title 
$6,000,000 for fiscal year 2000, and each subsequent fiscal year 
thereafter. Funds appropriated under this section shall remain 
available until expended.
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