[Congressional Record Volume 144, Number 147 (Thursday, October 15, 1998)]
[Senate]
[Pages S12633-S12636]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          PROVIDING SUPPORT FOR CERTAIN INSTITUTES AND SCHOOLS

  Mr. CRAIG. Mr. President, I ask unanimous consent that the Senate 
proceed to the consideration of S. 2638, introduced earlier today by 
Senator Frist.
  The PRESIDING OFFICER. Without objection, it is so ordered. The clerk 
will report.
  The legislative clerk read as follows:

       A bill (S. 2638) to provide support for certain institutes 
     and schools.

  The Senate proceeded to consider the bill.
  Mr. CRAIG. Mr. President, I ask unanimous consent that the bill be 
read a third time and passed; that the motion to reconsider be laid 
upon the table; and that any statements relating to the bill be printed 
in the Record.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The bill (S. 2638) was considered read the third time and passed, as 
follows:

                                S. 2638

       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.

[[Page S12634]]

     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

[[Page S12635]]

     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

[[Page S12636]]

     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.

                          ____________________