[House Report 110-500]
[From the U.S. Government Publishing Office]



110th Congress                                            Rept. 110-500
                        HOUSE OF REPRESENTATIVES
 1st Session                                                     Part 1
_______________________________________________________________________

                                     

 
           COLLEGE OPPORTUNITY AND AFFORDABILITY ACT OF 2007

                               ----------                              

                              R E P O R T

                                 of the

                    COMMITTEE ON EDUCATION AND LABOR

                             together with

                            ADDITIONAL VIEWS

                              To accompany

                               H.R. 4137






               December 19, 2007.--Ordered to be printed
           COLLEGE OPPORTUNITY AND AFFORDABILITY ACT OF 2007


110th Congress                                            Rept. 110-500
                        HOUSE OF REPRESENTATIVES
 1st Session                                                     Part 1

======================================================================




           COLLEGE OPPORTUNITY AND AFFORDABILITY ACT OF 2007

                                _______
                                

               December 19, 2007.--Ordered to be printed

                                _______
                                

 Mr. George Miller of California, from the Committee on Education and 
                     Labor, submitted the following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                        [To accompany H.R. 4137]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Education and Labor, to whom was referred 
the bill (H.R. 4137) to amend and extend the Higher Education 
Act of 1965, and for other purposes, having considered the 
same, report favorably thereon with an amendment and recommend 
that the bill as amended do pass.
  The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

  (a) Short Title.--This Act may be cited as the ``College Opportunity 
and Affordability Act of 2007''.
  (b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. References; Effective date.

                      TITLE I--TITLE I AMENDMENTS

Sec. 101. Definitions of institution of higher education.
Sec. 102. Additional definitions.
Sec. 103. Treatment of territories and territorial student assistance.
Sec. 104. National Advisory Committee on Institutional Quality and 
Integrity.
        ``Sec. 114. National Advisory Committee on Institutional 
                        Quality and Integrity.
Sec. 105. Drug and alcohol abuse prevention.
Sec. 106. Prior rights and obligations.
Sec. 107. Improved information concerning the Federal student financial 
aid website.
Sec. 108. State commitment to affordable college education.
        ``Sec. 132. State commitment to affordable college education.
Sec. 109. Transparency in college tuition for consumers.
        ``Sec. 133. Transparency in college tuition for consumers.
Sec. 110. Textbook information.
        ``Sec. 134. Textbook information.
Sec. 111. Database of student information prohibited.
        ``Sec. 135. Database of student information prohibited.
Sec. 112. Institution and lender reporting and disclosure requirements.

 ``Part E--Lender and Institution Requirements Relating to Educational 
                                 Loans

        ``Sec. 151. Definitions.
        ``Sec. 152. Requirements for lenders and institutions 
                        participating in preferred lender arrangements.
        ``Sec. 153. Interest rate report for institutions and lenders 
                        participating in preferred lender arrangements.
        ``Sec. 154. Private educational loan disclosure requirements 
                        for covered institutions.
        ``Sec. 155. Integrity provisions.
        ``Sec. 156. Compliance and enforcement.
        ``Sec. 157. Student loan counseling.
Sec. 113. Feasibility study for national electronic student loan 
marketplace.

                      TITLE II--TITLE II REVISION

Sec. 201. Revision of title II.

                ``TITLE II--TEACHER QUALITY ENHANCEMENT

        ``Sec. 200. Definitions.
        ``Sec. 200A. Rule of Construction.

              ``Part A--Teacher Quality Partnership Grants

        ``Sec. 201. Purposes; Definitions.
        ``Sec. 202. Partnership grants.
        ``Sec. 203. Administrative provisions.
        ``Sec. 204. Accountability and evaluation.
        ``Sec. 205. Accountability for programs that prepare teachers.
        ``Sec. 206. Teacher development.
        ``Sec. 207. State functions.
        ``Sec. 208. General provisions.
        ``Sec. 209. Authorization of appropriations.

         ``Part B--Preparing Teachers for Digital Age Learners

        ``Sec. 221. Program authorized.
        ``Sec. 222. Uses of Funds.
        ``Sec. 223. Application requirements.
        ``Sec. 224. Evaluation.
        ``Sec. 225. Authorization of appropriations.

                 ``Part C--Enhancing Teacher Education

        ``Sec. 240. Authorization of appropriations.

``subpart 1--recruiting teachers with math, science, or language majors

        ``Sec. 241. Program authorized.

``subpart 2--community colleges as partners in teacher education grants

        ``Sec. 251. Grants to community colleges.
        ``Sec. 252. Definitions.

    ``subpart 3--honorable augustus f. hawkins centers of excellence

        ``Sec. 261. Definitions.
        ``Sec. 262. Augustus F. Hawkins Centers of excellence.

                     ``subpart 4--teach for america

        ``Sec. 271. Teach for America.

  ``subpart 5--early childhood education professional development and 
                           career task force

        ``Sec. 281. Purpose.
        ``Sec. 282. Definition of early childhood education program.
        ``Sec. 283. Grants authorized.
        ``Sec. 284. State task force establishment.
        ``Sec. 285. State task force activities.
        ``Sec. 286. State application and report.
        ``Sec. 287. Evaluations.
Sec. 202. National Academy of Sciences study of best practices in 
teacher preparation.

                    TITLE III--TITLE III AMENDMENTS

Sec. 301. Program purpose.
Sec. 302. Title III grants for American Indian Tribally Controlled 
Colleges and Universities.
Sec. 303. Predominantly Black Institutions.
        ``Sec. 318. Predominantly Black Institutions.
Sec. 304. Assistance to Asian American and Native American Pacific 
Islander-serving institutions.
        ``Sec. 319. Asian American and Native American Pacific 
                        Islander-serving institutions.
Sec. 305. Native American-serving, nontribal institutions.
        ``Sec. 320. Native American-serving, nontribal institutions.
Sec. 306. Strengthening Historically Black Colleges and Universities.
Sec. 307. Endowment Challenge Grants.
Sec. 308. Limitations on Federal insurance for bonds issued by the 
designated bonding authority.
Sec. 309. Programs in STEM fields.

                  ``subpart 2--programs in stem fields

        ``Sec. 355. YES Partnerships grant program.
        ``Sec. 356. Promotion of entry into STEM fields.
        ``Sec. 357. Evaluation and Accountability Plan.
Sec. 310. Technical assistance.
Sec. 311. Waiver authority.
Sec. 312. Authorization of appropriations.
Sec. 313. Technical corrections.

                     TITLE IV--TITLE IV AMENDMENTS

                       Part A--PART A AMENDMENTS

Sec. 401. Federal Pell Grants.
Sec. 402. Federal TRIO Programs.
Sec. 403. GEARUP Amendments.
Sec. 404. Academic Achievement Incentive Scholarships.
Sec. 405. Federal Supplemental Educational Opportunity Grants.
Sec. 406. Grants for access and persistence.
        ``Sec. 415E. Grants for access and persistence.
Sec. 407. Special programs for students whose families are engaged in 
migrant and seasonal farmwork.
Sec. 408. Robert C. Byrd Honors Scholarship Program.

      ``subpart 6--robert c. byrd american competitiveness program

        ``Sec. 419A. Robert C. Byrd mathematics and science honors 
                        scholarship program.
        ``Sec. 419B. Mathematics and science incentive program.
        ``Sec. 419C. Foreign Language Partnerships.
        ``Sec. 419D. Authorization of appropriations.
Sec. 409. Child care access means parents in school.
Sec. 410. Learning Anytime Anywhere Partnerships.
Sec. 411. TEACH Grants.
        ``Sec. 420P. Program evaluation.

                 Part B--Federal Family Education Loans

Sec. 421. Limitations on Amounts of Loans Covered by Federal Insurance.
Sec. 422. Federal Interest Subsidies.
Sec. 423. Student loan information.
Sec. 424. Consolidation loan disclosure.
Sec. 425. Loan forgiveness for service in areas of national need.
        ``Sec. 428K. Loan forgiveness for service in areas of national 
                        need.
Sec. 426. Loan repayment for civil legal assistance attorneys.
        ``Sec. 428L. Loan repayment for civil legal assistance 
                        attorneys.
Sec. 427. Settlement of claims.
Sec. 428. Delinquency prevention, default aversion, and consumer 
education information programs.
        ``Sec. 433A. Delinquency prevention, default aversion, and 
                        consumer education information programs.
Sec. 429. Definition of eligible lender.
Sec. 430. Cohort default rates.
Sec. 431. Disability determinations.

                       Part C--College Work/Study

Sec. 441. Reauthorization.
Sec. 442. Additional funds for off-campus community service.
Sec. 443. Work Colleges.

                  Part D--Federal Direct Student Loans

Sec. 451. Reauthorization.
Sec. 452. Public service job definition.
Sec. 453. Identity fraud protection.
Sec. 454. Direct loan program audit and reporting requirements.

                         Part E--Perkins Loans

Sec. 461. Extension of authority.
Sec. 462. Allowance for books and supplies.
Sec. 463. Agreements with institutions.
Sec. 464. Perkins loan terms and conditions.
Sec. 465. Cancellation for public service.

                         Part F--Need Analysis

Sec. 471. Cost of attendance.
Sec. 472. Discretion to make adjustments for nursing home expenses.
Sec. 473. Definitions.

                       Part G--General Provisions

Sec. 481. Compliance calendar.
Sec. 482. Improvements to paper and electronic forms and processes.
Sec. 483. Increasing access to technology.
Sec. 484. Sense of the Congress; Report.
Sec. 485. Student eligibility.
Sec. 486. Assessment of costs and other charges.
Sec. 487. Readmission requirements for servicemembers.
Sec. 488. Institutional and financial assistance information for 
students.
Sec. 489. Articulation agreements.
        ``Sec. 486A. Articulation agreements.
Sec. 490. Program participation agreements.
Sec. 491. Regulatory relief and improvement.
Sec. 492. Advisory Committee on Student Financial Assistance.
Sec. 493. Negotiated rulemaking.
Sec. 494. Technical amendment.
Sec. 495. Campus-based digital theft prevention.
        ``Sec. 494. Campus-based digital theft prevention.

                       Part H--Program Integrity

Sec. 496. Recognition of accrediting agency or association.
Sec. 497. Accreditation Ombudsman.
        ``Sec. 497. Accreditation Ombudsman.
Sec. 498. Program review and data.
Sec. 499. Competitive loan auction pilot program evaluation.

                      TITLE V--TITLE V AMENDMENTS

Sec. 501. Postbaccalaureate opportunities for Hispanic Americans.

   ``Part B--Promoting Postbaccalaureate Opportunities for Hispanic 
                               Americans

        ``Sec. 511. Purposes.
        ``Sec. 512. Program authority and eligibility.
        ``Sec. 513. Authorized activities.
        ``Sec. 514. Application and duration.

                     TITLE VI--TITLE VI AMENDMENTS

Sec. 601. International and foreign language studies.
Sec. 602. Business and international education programs.
Sec. 603. Institute for International Public Policy.
        ``Sec. 621. Program for foreign service professionals.
Sec. 604. Preparing for early foreign language instruction.

       ``Part D--PREPARING FOR EARLY FOREIGN LANGUAGE INSTRUCTION

        ``Sec. 631. Preparing for early foreign language instruction.
Sec. 605. Evaluation, outreach, and dissemination.
        ``Sec. 642. Evaluation, outreach, and dissemination.
Sec. 606. Student safety.
        ``Sec. 643. Student safety.
Sec. 607. Science and technology advanced foreign language education 
grant program.
        ``Sec. 644. Science and technology advanced foreign language 
                        education grant program.
Sec. 608. Reporting by Institutions.
        ``Sec. 645. Reporting by Institutions.
Sec. 609. Federal foreign language education marketing campaign.

                    TITLE VII--TITLE VII AMENDMENTS

Sec. 701. Javits fellowship program.
Sec. 702. Graduate assistance in areas of national need.
Sec. 703. Thurgood Marshall legal educational opportunity program.
Sec. 704. Patsy T. Mink Fellowship program.

             ``subpart 4--patsy t. mink fellowship program

        ``Sec. 722. Patsy T. Mink Fellowships.
Sec. 705. Fund for the improvement of postsecondary education.
Sec. 706. Urban-serving research universities.

             ``Part C--Urban-Serving Research Universities

        ``Sec. 751. Purpose; program authorized.
        ``Sec. 752. Application for urban-serving research university 
                        grants.
        ``Sec. 753. Allowable activities.
        ``Sec. 754. Definitions.
        ``Sec. 755. Authorization of appropriations.
Sec. 707. Programs to ensure students with disabilities receive a 
quality higher education.

                 ``subpart 1--quality higher education

   ``subpart 2--national technical assistance center; commission on 
 accessible materials; programs to support improved access to materials

        ``Sec. 766. National Center.
        ``Sec. 766A. Establishment of advisory commission on accessible 
                        instructional materials in postsecondary 
                        education for students with disabilities.
        ``Sec. 766B. Model demonstration programs to support improved 
                        access to postsecondary instructional materials 
                        for students with print disabilities.
        ``Sec. 766C. Authorization of appropriations.

    ``subpart 3--transition programs for students with intellectual 
        disabilities into higher education; coordinating center

        ``Sec. 767. Purpose.
        ``Sec. 768. Definitions.
        ``Sec. 769. Model comprehensive transition and postsecondary 
                        programs for students with intellectual 
                        disabilities.
        ``Sec. 770. Coordinating center for technical assistance, 
                        evaluation, and development of accreditation 
                        standards.
        ``Sec. 770A. Authorization of appropriations.
Sec. 708. Subgrants to nonprofit organizations.
Sec. 709. Nursing education.

                      ``Part F--Nursing Education

        ``Sec. 776. Additional capacity for R.N. students or graduate-
                        level nursing students.
        ``Sec. 777. Nurse Faculty Pilot Project.
Sec. 710. National study on higher education access and success for 
students with disabilities.

                    TITLE VIII--ADDITIONAL PROGRAMS

Sec. 801. Additional programs.

                   ``TITLE VIII--ADDITIONAL PROGRAMS

        ``Sec. 800. Authorization of appropriations.

                         ``Part A--Low Tuition

        ``Sec. 801. Incentives and rewards for low tuition.

                    ``Part B--Cooperative Education

        ``Sec. 811. Statement of purpose; definition.
        ``Sec. 812. Reservations.
        ``Sec. 813. Grants for cooperative education.
        ``Sec. 814. Demonstration and innovation projects; training and 
                        resource centers; and research.

                  ``Part C--College Partnership Grants

        ``Sec. 821. College Partnership Grants Authorized.

                    ``Part D--Student Success Grants

        ``Sec. 826. Student success grants.

                       ``Part E--Jobs to Careers

        ``Sec. 831. Grants to create bridges from jobs to careers.

                         ``Part F--Project GRAD

        ``Sec. 836. Project GRAD.

      ``Part G--Improving College Enrollment by Secondary Schools

        ``Sec. 841. Improving college enrollment by secondary schools.

                   ``Part H--Diploma Mill Prevention

        ``Sec. 851. Purpose; Definitions.
        ``Sec. 852. Recognized accrediting agencies and institutions.
        ``Sec. 853. Accrediting agencies.
        ``Sec. 854. Task Force.
        ``Sec. 855. Sense of the Congress regarding use by States of 
                        the Federal Plan as guidelines.
        ``Sec. 856. Unfair and deceptive acts and practices regarding 
                        diplomas and professional certifications.

        ``Part I--Student Safety and Campus Emergency Management

        ``Sec. 861. Student safety and campus emergency management.
        ``Sec. 862. Model emergency response policies, procedures, and 
                        practices.
        ``Sec. 863. Preparation for future disasters plan by the 
                        Secretary.
        ``Sec. 864. Education disaster and emergency relief loan 
                        program.
        ``Sec. 865. Guidance on mental health disclosures for student 
                        safety.

 ``Part J--Rural Development Grants for Rural Colleges and Universities

        ``Sec. 871. Purpose.
        ``Sec. 872. Definitions.
        ``Sec. 873. Ensuring college access for rural high school 
                        graduates.
        ``Sec. 874. Economic development partnerships.
        ``Sec. 875. Quality of life in rural areas.
        ``Sec. 876. Allocation of appropriations.

 ``Part K--Improving Science, Technology, Engineering, and Mathematics 
  Education With a Focus on Alaska Native and Native Hawaiian Students

        ``Sec. 880. Improving science, technology, engineering, and 
                        mathematics education with a focus on Alaska 
                        Native and Native Hawaiian students.

   ``Part L--National Database on Financial Assistance For Study of 
           Science, Technology, Engineering, and Mathematics

        ``Sec. 881. National Database on Financial Assistance For Study 
                        of Science, Technology, Engineering, and 
                        Mathematics.

                ``Part M--Training for Realtime Writers

        ``Sec. 882. Program to promote training and job placement of 
                        realtime writers.

      ``Part N--Centers of Excellence for Veteran Student Success

        ``Sec. 883. Model Programs for Centers of Excellence for 
                        Veteran Student Success.

              ``Part O--University Sustainability Programs

              ``subpart 1--sustainability planning grants

        ``Sec. 884. Grants authorized.

                 ``subpart 2--summit on sustainability

        ``Sec. 885. Summit on sustainability.

               ``Part P--Modeling and Simulation Programs

        ``Sec. 886. Modeling and Simulation.

               ``Part Q--Business Workforce Partnerships

        ``Sec. 887. Grants to create business workforce partnerships.
Sec. 802. Sense of the Congress; report.
Sec. 803. Independent evaluation of distance education programs.
Sec. 804. Encouraging colleges and universities to ``go green''.
Sec. 805. Study of costs of environmental, health, and safety 
standards.
Sec. 806. Study of minority male academic achievement.
Sec. 807. Study on bias in standardized tests.
Sec. 808. Feasibility study on student loans.
Sec. 809. Endowment report.
Sec. 810. Study of Correctional Postsecondary Education.
Sec. 811. National Undergraduate Fellows Program.
Sec. 812. National Center for Learning Science and Technology Trust 
Fund.
Sec. 813. GAO Study of education related indebtedness of medical school 
graduates.

                   TITLE IX--AMENDMENTS TO OTHER LAWS

               Part A--Education of the Deaf Act of 1986

Sec. 901. Laurent Clerc National Deaf Education Center.
Sec. 902. Agreement with Gallaudet University.
Sec. 903. Agreement for the National Technical Institute for the Deaf.
Sec. 904. Audit.
Sec. 905. Reports.
Sec. 906. Monitoring, evaluation, and reporting.
Sec. 907. Liaison for educational programs.
Sec. 908. Federal endowment programs for Gallaudet University and the 
National Technical Institute for the Deaf.
Sec. 909. Oversight and effect of agreements.
Sec. 910. International students.
Sec. 911. Research priorities.
Sec. 912. National study on the education of the deaf.
Sec. 913. Authorization of appropriations.

                        Part B--INDIAN EDUCATION

              subpart 1--tribal colleges and universities

Sec. 921. Reauthorization of the Tribally Controlled College or 
University Assistance Act of 1978.
        ``Sec. 105. Technical assistance contracts.

   ``TITLE V--TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                              INSTITUTIONS

        ``Sec. 501. Definition of tribally controlled postsecondary 
                        career and technical institution.
        ``Sec. 502. Tribally controlled postsecondary career and 
                        technical institutions program.
        ``Sec. 503. Applicability of other laws.
        ``Sec. 504. Authorization of appropriations.
        ``Sec. 1. Short title.

                   subpart 2--navajo higher education

Sec. 931. Reauthorization of Navajo Community College Act.

     Part C--Higher Education Amendments of 1998; Higher Education 
                           Amendments of 1992

Sec. 941. Grants for training for incarcerated individuals.

       ``Part D--Grants for Training for Incarcerated Individuals

        ``Sec. 821. Grants for improved workplace and community 
                        transition training for incarcerated 
                        individuals.
Sec. 942. Underground railroad.
Sec. 943. Repeals of Expired and Executed Provisions.
Sec. 944. Olympic Scholarships.
Sec. 945. Establishment of Assistant Secretary for International and 
Foreign Language Education.
        ``Sec. 207A. Office of international and foreign language 
                        education.

                  Part D--Justice Department Programs

Sec. 951. Loan repayment for prosecutors and defenders.

     ``Part JJ--Loan Repayment for Prosecutors and Public Defenders

        ``Sec. 3111. Grant authorization.
Sec. 952. National center for campus public safety.
Sec. 953. Private loan forgiveness.

       Part E--Stevenson-Wydler Technology Innovation Act of 1980

Sec. 961. Establishment of Program.
Sec. 962. Authorization of appropriations.

       TITLE X--PRIVATE STUDENT LOAN TRANSPARENCY AND IMPROVEMENT

Sec. 1001. Short title.
Sec. 1002. Definitions.
Sec. 1003. Regulations.
Sec. 1004. Effective dates.

Subtitle A--Preventing Unfair and Deceptive Private Educational Lending 
            Practices and Eliminating Conflicts of Interest

Sec. 1011. Amendment to the Truth in Lending Act.
        `` 140. Preventing unfair and deceptive private educational 
                        lending practices and eliminating conflicts of 
                        interest.
Sec. 1012. Civil liability.

     Subtitle B--Improved Disclosures for Private Educational Loans

Sec. 1021. Private educational loan disclosures and limitations.
Sec. 1022. Application of Truth in Lending Act to all private 
educational loans.

                     Subtitle C--Financial Literacy

Sec. 1031. Coordinated education efforts.

       Subtitle D--Study and Report on Nonindividual Information

Sec. 1041. Study and report on nonindividual information.

         Subtitle E--Incentives For Low-Cost Educational Loans

Sec. 1051. CRA credit for low-cost educational loans.

SEC. 2. REFERENCES; EFFECTIVE DATE.

  (a) References.--Except as otherwise expressly provided therein, 
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 considered to be made to a section or other provision of the 
Higher Education Act of 1965 (20 U.S.C. 1001 et seq.).
  (b) Effective Date.--Except as otherwise provided in this Act or the 
amendments made by this Act, the amendments made by this Act shall be 
effective on the date of enactment of this Act.

                      TITLE I--TITLE I AMENDMENTS

SEC. 101. DEFINITIONS OF INSTITUTION OF HIGHER EDUCATION.

  (a) Degree Programs.--Section 101 (20 U.S.C. 1001) is amended--
          (1) in subsection (a)(3), by inserting ``, or awards a degree 
        that is acceptable for admission to a graduate or professional 
        degree program, subject to review and approval by the 
        Secretary'' after ``such a degree''; and
          (2) by striking subsection (b)(2) and inserting the 
        following:
          ``(2) a public or nonprofit private educational institution 
        in any State that, in lieu of the requirement in subsection 
        (a)(1), admits as regular students persons--
                  ``(A) who are beyond the age of compulsory school 
                attendance in the State in which the institution is 
                located; or
                  ``(B) who will be dually or concurrently enrolled in 
                the institution and a secondary school.''.
  (b) International Medical Schools.--Section 102(a)(2)(A) (20 U.S.C. 
1002(a)(2)(A)) is amended--
          (1) in the first sentence, by inserting ``nursing school,'' 
        after ``graduate medical school,'';
          (2) in clause (i)--
                  (A) by striking ``or'' at the end of subclause (I); 
                and
                  (B) by striking subclause (II) and inserting the 
                following new subclauses:
                                  ``(II) the institution has or had a 
                                clinical training program that was 
                                approved by a State as of January 1, 
                                1992, and continues to operate a 
                                clinical training program in at least 
                                one State, which is approved by that 
                                State; or
                                  ``(III) the institution--
                                          ``(aa) has a clinical 
                                        training program that was 
                                        approved by a State before 
                                        January 1, 2008;
                                          ``(bb) certifies only 
                                        unsubsidized Stafford or PLUS 
                                        loans under part B of title IV 
                                        to graduate and professional 
                                        students attending the 
                                        institution; and
                                          ``(cc) agrees to reimburse 
                                        the Secretary for the cost of 
                                        any loan defaults for students 
                                        included in the institution's 
                                        cohort default rate during the 
                                        previous fiscal year; or''; and
          (3) by striking the period at the end of clause (ii) and 
        inserting ``; or''; and
          (4) by adding at the end the following new clause:
                          ``(iii) in the case of a nursing school 
                        located outside of the United States, the 
                        institution--
                                  ``(I) has agreements with hospitals 
                                and eligible nursing schools located in 
                                the United States that include 
                                provisions for students to complete 
                                their clinical training at such 
                                hospitals and eligible nursing schools;
                                  ``(II) certifies only unsubsidized 
                                Stafford and PLUS loans under part B of 
                                title IV for students attending the 
                                institution; and
                                  ``(III) agrees to reimburse the 
                                Secretary for the cost of any loan 
                                defaults to the extent that the 
                                institution's cohort default rate 
                                exceeds 5 percent.''.
  (c) Conforming Amendment Concerning 90/10 Enforcement.--Section 
102(b)(1) (20 U.S.C. 1002(b)(1)) is amended--
          (1) by adding ``and'' after the semicolon in subparagraph 
        (D);
          (2) by striking ``; and'' and inserting a period in 
        subparagraph (E); and
          (3) by striking subparagraph (F).
  (d) Additional Institutions.--Section 102 (20 U.S.C. 1002) is further 
amended--
          (1) by striking subsection (b)(2) and inserting the 
        following:
          ``(2) Additional institutions.--The term `proprietary 
        institution of higher education' also includes a proprietary 
        educational institution in any State that, in lieu of the 
        requirement in section 101(a)(1), admits as regular students 
        individuals--
                  ``(A) who are beyond the age of compulsory school 
                attendance in the State in which the institution is 
                located; or
                  ``(B) who will be dually or concurrently enrolled in 
                the institution and a secondary school.''; and
          (2) by striking subsection (c)(2) and inserting the 
        following:
          ``(2) Additional institutions.--The term `postsecondary 
        vocational institution' also includes an educational 
        institution in any State that, in lieu of the requirement in 
        section 101(a)(1), admits as regular students individuals--
                  ``(A) who are beyond the age of compulsory school 
                attendance in the State in which the institution is 
                located; or
                  ``(B) who will be dually or concurrently enrolled in 
                the institution and a secondary school.''.

SEC. 102. ADDITIONAL DEFINITIONS.

  (a) Amendment.--Section 103 (20 U.S.C. 1003) is amended--
          (1) by adding at the end the following new paragraphs:
          ``(17) Authorizing committees.--The term `authorizing 
        committees' means the Committee on Health, Education, Labor, 
        and Pensions of the Senate and the Committee on Education and 
        Labor of the House of Representatives.
          ``(18) Critical foreign language.--Except as otherwise 
        provided, the term `critical foreign language' means each of 
        the languages contained in the list of critical languages 
        designated by the Secretary in the Federal Register on August 
        2, 1985 (50 Fed. Reg. 149, 31412; promulgated under the 
        authority of section 212(d) of the Education for Economic 
        Security Act (repealed by section 2303 of the Augustus F. 
        Hawkins-Robert T. Stafford Elementary and Secondary School 
        Improvement Amendments of 1988)), except that in the 
        implementation of this definition with respect to a specific 
        title, the Secretary may set priorities according to the 
        purposes of such title and the national security, economic 
        competitiveness, and educational needs of the United States.
          ``(19) Distance education.--
                  ``(A) In general.--Except as otherwise provided, the 
                term `distance education' means education that uses 1 
                or more of the technologies described in subparagraph 
                (B)--
                          ``(i) to deliver instruction to students who 
                        are separated from the instructor; and
                          ``(ii) to support regular and substantive 
                        interaction between the students and the 
                        instructor, synchronously or asynchronously.
                  ``(B) Inclusions.--For the purposes of subparagraph 
                (A), the technologies used may include--
                          ``(i) the Internet;
                          ``(ii) one-way and two-way transmissions 
                        through open broadcast, closed circuit, cable, 
                        microwave, broadband lines, fiber optics, 
                        satellite, or wireless communications devices;
                          ``(iii) audio conferencing; or
                          ``(iv) video cassette, DVDs, and CD-ROMs, if 
                        the cassette, DVDs, and CD-ROMs are used in a 
                        course in conjunction with the technologies 
                        listed in clauses (i) through (iii).
          ``(20) High-need school.--Except with respect to title II, 
        the term `high-need school' means a public or nonprofit private 
        elementary or secondary school which is in a local educational 
        agency which is eligible for assistance pursuant to title I of 
        the Elementary and Secondary Education Act of 1965 in the 
        applicable fiscal year, and which for the purpose of this 
        paragraph and for that year was determined by the Secretary 
        (pursuant to regulations and after consultation with the State 
        educational agency of the State in which the school is located) 
        to be a school in which the enrollment of children counted 
        under section 1113(a)(5) of the Elementary and Secondary 
        Education Act of 1965 exceeds 30 percent of the total 
        enrollment of that school.
          ``(21) Limited english proficient.--The term `limited English 
        proficient' has the meaning given such term in section 9101 of 
        the Elementary and Secondary Education Act of 1965.
          ``(22) Universal design.--The term `universal design' means a 
        concept or philosophy for designing and delivering products and 
        services that are usable by people with the widest possible 
        range of functional capabilities, which include products and 
        services that are directly accessible (without requiring 
        assistive technologies) and products and services that are 
        interoperable with assistive technologies.
          ``(23) Universal design for learning.--The term `universal 
        design for learning' means a research-based framework for 
        designing curriculum (including goals, methods, materials, and 
        assessments) that--
                  ``(A) provides curricular flexibility in the ways 
                information is presented, in the ways students respond 
                or demonstrate knowledge, and in the ways students are 
                engaged; and
                  ``(B) reduces barriers in instruction and assessment, 
                provides appropriate supports and challenges, and 
                maintains high achievement standards for all students, 
                including students with disabilities.''; and
          (2) by reordering paragraphs (1) through (16) and the 
        paragraphs added by paragraph (1) of this subsection in 
        alphabetical order based on the headings of such paragraphs, 
        and renumbering such paragraphs as so reordered.
  (b) Conforming Amendments.--The Act (20 U.S.C. 1001 et seq.) is 
amended--
          (1) in section 131(a)(3)(B) (20 U.S.C. 1015(a)(3)(B)), by 
        striking ``Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the House 
        of Representatives'' and inserting ``authorizing committees'';
          (2) in section 141(d)(4)(B) (20 U.S.C. 1018(d)(4)(B)), by 
        striking ``Committee on Education and the Workforce of the 
        House of Representatives and the Committee on Labor and Human 
        Resources of the Senate'' and inserting ``authorizing 
        committees'';
          (3) in section 401(f)(3) (20 U.S.C. 1070a(f)(3)), by striking 
        ``to the Committee on Appropriations'' and all that follows 
        through ``House of Representatives'' and inserting ``to the 
        Committee on Appropriations of the Senate, the Committee on 
        Appropriations of the House of Representatives, and the 
        authorizing committees'';
          (4) in section 428 (20 U.S.C. 1078)--
                  (A) in subsection (c)(9)(K), by striking ``House 
                Committee on Education and the Workforce and the Senate 
                Committee on Labor and Human Resources'' and inserting 
                ``authorizing committees'';
                  (B) in the matter following paragraph (2) of 
                subsection (g), by striking ``Committee on Labor and 
                Human Resources of the Senate and the Committee on 
                Education and the Workforce of the House of 
                Representatives'' and inserting ``authorizing 
                committees''; and
                  (C) in subsection (n)(4), by striking ``Committee on 
                Education and the Workforce of the House of 
                Representatives and the Committee on Labor and Human 
                Resources of the Senate'' and inserting ``authorizing 
                committees'';
          (5) in section 428A(c) (20 U.S.C. 1078-1(c))--
                  (A) in the matter preceding subparagraph (A) of 
                paragraph (2), by striking ``Chairperson'' and all that 
                follows through ``House of Representatives'' and 
                inserting ``members of the authorizing committees'';
                  (B) in paragraph (3), by striking ``Chairperson'' and 
                all that follows through ``House of Representatives'' 
                and inserting ``members of the authorizing 
                committees''; and
                  (C) in paragraph (5), by striking ``Chairperson'' and 
                all that follows through ``House of Representatives'' 
                and inserting ``members of the authorizing 
                committees'';
          (6) in section 432 (20 U.S.C. 1082)--
                  (A) in subsection (f)(1)(C), by striking ``the 
                Committee on Education and the Workforce of the House 
                of Representatives or the Committee on Labor and Human 
                Resources of the Senate'' and inserting ``either of the 
                authorizing committees''; and
                  (B) in the matter following subparagraph (D) of 
                subsection (n)(3), by striking ``Committee on Education 
                and the Workforce of the House of Representatives and 
                the Committee on Labor and Human Resources of the 
                Senate'' and inserting ``authorizing committees'';
          (7) in section 437(c)(1) (20 U.S.C. 1087(c)(1)), by striking 
        ``Committee on Education and the Workforce of the House of 
        Representatives and the Committee on Labor and Human Resources 
        of the Senate'' and inserting ``authorizing committees'';
          (8) in section 439 (20 U.S.C. 1087-2)--
                  (A) in subsection (d)(1)(E)(iii), by striking 
                ``advise the Chairman'' and all that follows through 
                ``House of Representatives'' and inserting ``advise the 
                members of the authorizing committees'';
                  (B) in subsection (r)--
                          (i) in paragraph (3), by striking ``inform 
                        the Chairman'' and all that follows through 
                        ``House of Representatives,'' and inserting 
                        ``inform the members of the authorizing 
                        committees'';
                          (ii) in paragraph (5)(B), by striking ``plan, 
                        to the Chairman'' and all that follows through 
                        ``Education and Labor'' and inserting ``plan, 
                        to the members of the authorizing committees'';
                          (iii) in paragraph (6)(B)--
                                  (I) by striking ``plan, to the 
                                Chairman'' and all that follows through 
                                ``House of Representatives'' and 
                                inserting ``plan, to the members of the 
                                authorizing committees''; and
                                  (II) by striking ``Chairmen and 
                                ranking minority members of such 
                                Committees'' and inserting ``members of 
                                the authorizing committees'';
                          (iv) in paragraph (8)(C), by striking 
                        ``implemented to the Chairman'' and all that 
                        follows through ``House of Representatives, 
                        and'' and inserting ``implemented to the 
                        members of the authorizing committees, and 
                        to''; and
                          (v) in the matter preceding subparagraph (A) 
                        of paragraph (10), by striking ``days to the 
                        Chairman'' and all that follows through 
                        ``Education and Labor'' and inserting ``days to 
                        the members of the authorizing committees''; 
                        and
                  (C) in subsection (s)(2)--
                          (i) in the matter preceding clause (i) of 
                        subparagraph (A), by striking ``Treasury and to 
                        the Chairman'' and all that follows through 
                        ``House of Representatives'' and inserting 
                        ``Treasury and to the members of the 
                        authorizing committees''; and
                          (ii) in subparagraph (B), by striking 
                        ``Treasury and to the Chairman'' and all that 
                        follows through ``House of Representatives'' 
                        and inserting ``Treasury and to the members of 
                        the authorizing committees'';
          (9) in section 455(b)(8)(B) (20 U.S.C. 1087e(b)(8)(B)), by 
        striking ``Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the House 
        of Representatives'' and inserting ``authorizing committees'';
          (10) in section 482(d) (20 U.S.C. 1089(d)), by striking 
        ``Committee on Labor and Human Resources of the Senate and the 
        Committee on Education and Labor of the House of 
        Representatives'' and inserting ``authorizing committees'';
          (11) in section 483(c) (20 U.S.C. 1090(c)), by striking 
        ``Committee on Labor and Human Resources of the Senate and the 
        Committee on Education and the Workforce of the House of 
        Representatives'' and inserting ``authorizing committees'';
          (12) in section 485 (20 U.S.C. 1092)--
                  (A) in subsection (f)(5)(A), by striking ``Committee 
                on Education and the Workforce of the House of 
                Representatives and the Committee on Labor and Human 
                Resources of the Senate'' and inserting ``authorizing 
                committees''; and
                  (B) in subsection (g)(4)(B), by striking ``Committee 
                on Education and the Workforce of the House of 
                Representatives and the Committee on Labor and Human 
                Resources of the Senate'' and inserting ``authorizing 
                committees'';
          (13) in section 486 (20 U.S.C. 1093)--
                  (A) in subsection (e), by striking ``Committee on 
                Labor and Human Resources of the Senate and the 
                Committee on Education and the Workforce of the House 
                of Representatives'' and inserting ``authorizing 
                committees''; and
                  (B) in subsection (f)(3)--
                          (i) in the matter preceding clause (i) of 
                        subparagraph (A), by striking ``Committee on 
                        Labor and Human Resources of the Senate and the 
                        Committee on Education and the Workforce of the 
                        House of Representatives'' and inserting 
                        ``authorizing committees''; and
                          (ii) in the matter preceding clause (i) of 
                        subparagraph (B), by striking ``Committee on 
                        Labor and Human Resources of the Senate and the 
                        Committee on Education and the Workforce of the 
                        House of Representatives'' and inserting 
                        ``authorizing committees'';
          (14) in section 487A(a)(5) (20 U.S.C. 1094a(a)(5)), by 
        striking ``Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the House 
        of Representatives'' and inserting ``authorizing committees''; 
        and
          (15) in section 498B(d) (20 U.S.C. 1099c-2(d))--
                  (A) in paragraph (1), by striking ``Committee on 
                Labor and Human Resources of the Senate and the 
                Committee on Education and the Workforce of the House 
                of Representatives'' and inserting ``authorizing 
                committees''; and
                  (B) in paragraph (2), by striking ``Committee on 
                Labor and Human Resources of the Senate and the 
                Committee on Education and the Workforce of the House 
                of Representatives'' and inserting ``authorizing 
                committees''.

SEC. 103. TREATMENT OF TERRITORIES AND TERRITORIAL STUDENT ASSISTANCE.

  Section 113 (20 U.S.C. 1011b) is amended--
          (1) by striking ``TREATMENT OF TERRITORIES AND TERRITORIAL 
        STUDENT ASSISTANCE'' in the heading of such section and 
        inserting ``TERRITORIAL WAIVER AUTHORITY''; and
          (2) by striking ``(a) Waiver Authority.--''; and
          (3) by striking subsection (b).

SEC. 104. NATIONAL ADVISORY COMMITTEE ON INSTITUTIONAL QUALITY AND 
                    INTEGRITY.

  (a) Amendment.--Section 114 (20 U.S.C. 1011c) is amended to read as 
follows:

``SEC. 114. NATIONAL ADVISORY COMMITTEE ON INSTITUTIONAL QUALITY AND 
                    INTEGRITY.

  ``(a) Establishment.--There is established in the Department a 
National Advisory Committee on Institutional Quality and Integrity (in 
this section referred to as the `Committee') to assess the process of 
accreditation and the institutional eligibility and certification of 
such institutions under title IV.
  ``(b) Membership.--
          ``(1) In general.--The Committee shall have 18 members, of 
        which--
                  ``(A) 6 members shall be appointed by the Secretary;
                  ``(B) 6 members shall be appointed by the Speaker of 
                the House of Representatives, 3 members on the 
                recommendation of the majority leader of the House of 
                Representatives, and 3 members on the recommendation of 
                the minority leader of the House of Representatives; 
                and
                  ``(C) 6 members shall be appointed by the President 
                pro tempore of the Senate, 3 members on the 
                recommendation of the majority leader of the Senate, 
                and 3 members on the recommendation of the minority 
                leader of the Senate.
          ``(2) Qualifications.--Individuals shall be appointed as 
        members of the Committee--
                  ``(A) on the basis of the individuals' experience, 
                integrity, impartiality, and good judgment;
                  ``(B) from among individuals who are representatives 
                of, or knowledgeable concerning, education and training 
                beyond secondary education, representing all sectors 
                and types of institutions of higher education (as 
                defined in section 102); and
                  ``(C) on the basis of the individuals' technical 
                qualifications, professional standing, and demonstrated 
                knowledge in the fields of accreditation and 
                administration in higher education.
          ``(3) Terms of members.--Except as provided in paragraph (5), 
        the term of office of each member of the Committee shall be for 
        6 years, except that any member appointed to fill a vacancy 
        occurring prior to the expiration of the term for which the 
        member's predecessor was appointed shall be appointed for the 
        remainder of such term.
          ``(4) Vacancy.--A vacancy on the Committee shall be filled in 
        the same manner as the original appointment was made not later 
        than 90 days after the vacancy occurs. If a vacancy occurs in a 
        position to be filled by the Secretary, the Secretary shall 
        publish a Federal Register notice soliciting nominations for 
        the position not later than 30 days after being notified of the 
        vacancy.
          ``(5) Initial terms.--The terms of office for the initial 
        members of the Committee shall be--
                  ``(A) 3 years for members appointed under paragraph 
                (1)(A);
                  ``(B) 4 years for members appointed under paragraph 
                (1)(B); and
                  ``(C) 6 years for members appointed under paragraph 
                (1)(C).
          ``(6) Chairperson.--The members of the Committee shall select 
        a chairperson from among the members.
  ``(c) Functions.--The Committee shall--
          ``(1) advise the Secretary with respect to establishment and 
        enforcement of the standards of accrediting agencies or 
        associations under subpart 2 of part H of title IV;
          ``(2) advise the Secretary with respect to the recognition of 
        a specific accrediting agency or association;
          ``(3) advise the Secretary with respect to the preparation 
        and publication of the list of nationally recognized 
        accrediting agencies and associations;
          ``(4) advise the Secretary with respect to the eligibility 
        and certification process for institutions of higher education 
        under title IV, together with recommendations for improvements 
        in such process;
          ``(5) advise the Secretary with respect to the relationship 
        between--
                  ``(A) accreditation of institutions of higher 
                education and the certification and eligibility of such 
                institutions; and
                  ``(B) State licensing responsibilities with respect 
                to such institutions;
          ``(6) take into consideration the complaints, and the 
        resolution of such complaints, received by the ombudsman 
        described in section 497 when advising the Secretary with 
        respect to the recognition of a specific accrediting agency or 
        association; and
          ``(7) carry out such other advisory functions relating to 
        accreditation and institutional eligibility as the Secretary 
        may prescribe by regulation.
  ``(d) Meeting Procedures.--
          ``(1) Schedule.--
                  ``(A) Biannual meetings.--The Committee shall meet 
                not less often than twice each year, at the call of the 
                Chairperson.
                  ``(B) Publication of date.--The Committee shall 
                submit the date and location of each meeting in advance 
                to the Secretary, and the Secretary shall publish such 
                information in the Federal Register not later than 30 
                days before the meeting.
          ``(2) Agenda.--
                  ``(A) Establishment.--The agenda for a meeting of the 
                Committee shall be established by the Chairperson and 
                shall be submitted to the members of the Committee upon 
                notification of the meeting.
                  ``(B) Opportunity for public comment.--The agenda 
                shall include, at a minimum, opportunity for public 
                comment during the Committee's deliberations.
          ``(3) Federal advisory committee act.--The provisions of the 
        Federal Advisory Committee Act (5 U.S.C. App.) shall apply to 
        the Committee, except that section 14 of such Act shall not 
        apply.
  ``(e) Limitation.--The Committee shall not recommend denial of an 
application related to the recognition of an accrediting agency or 
association for any reason other than a reason set forth in section 
496.
  ``(f) Report and Notice.--
          ``(1) Notice.--The Secretary shall annually publish in the 
        Federal Register--
                  ``(A) a list containing, for each member of the 
                Committee--
                          ``(i) the member's name;
                          ``(ii) the date of the expiration of the 
                        member's term of office; and
                          ``(iii) the individual described in 
                        subsection (b)(1) who appointed the member; and
                  ``(B) a solicitation of nominations for each expiring 
                term of office on the Committee of a member appointed 
                by the Secretary.
          ``(2) Report.--Not later than September 30 of each year, the 
        Committee shall make an annual report to the Secretary, the 
        authorizing committees, and the public. The annual report shall 
        contain--
                  ``(A) a detailed summary of the agenda and activities 
                of, and the findings and recommendations made by, the 
                Committee during the preceding fiscal year;
                  ``(B) a list of the date and location of each meeting 
                during the preceding fiscal year;
                  ``(C) a list of the members of the Committee and 
                appropriate contact information; and
                  ``(D) a list of the functions of the Committee, 
                including any additional functions established by the 
                Secretary through regulation.
  ``(g) Termination.--The Committee shall terminate on September 30, 
2012.''.
  (b) Effective Date.--The amendment made by subsection (a) shall be 
effective January 1, 2009.

SEC. 105. DRUG AND ALCOHOL ABUSE PREVENTION.

  Section 120 (20 U.S.C. 1011i) is amended--
          (1) in subsection (a)(2)--
                  (A) in subparagraph (A), by striking ``and'' after 
                the semicolon;
                  (B) by redesignating subparagraph (B) as subparagraph 
                (D); and
                  (C) by inserting after subparagraph (A) (as amended 
                by subparagraph (A) of this paragraph) the following:
                  ``(B) determine the number of drug and alcohol-
                related incidents and fatalities that--
                          ``(i) occur on the institution's property or 
                        as part of any of the institution's activities; 
                        and
                          ``(ii) are reported to the institution;
                  ``(C) determine the number and type of sanctions 
                described in paragraph (1)(E) that are imposed by the 
                institution as a result of drug and alcohol-related 
                incidents and fatalities on the institution's property 
                or as part of any of the institution's activities; 
                and'';
          (2) in subsection (e)(5), by striking ``1999'' and inserting 
        ``2009''; and
          (3) by striking subsection (f).

SEC. 106. PRIOR RIGHTS AND OBLIGATIONS.

  Section 121(a) (20 U.S.C. 1011j(a)) is amended--
          (1) in paragraph (1), by striking ``1999 and for each of the 
        4 succeeding fiscal years'' and inserting ``2009 and for each 
        succeeding fiscal year''; and
          (2) in paragraph (2), by striking ``1999 and for each of the 
        4 succeeding fiscal years'' and inserting ``2009 and for each 
        succeeding fiscal year''.

SEC. 107. IMPROVED INFORMATION CONCERNING THE FEDERAL STUDENT FINANCIAL 
                    AID WEBSITE.

  Section 131 (20 U.S.C. 1015) is amended by striking subsection (d) 
and inserting the following:
  ``(d) Promotion of the Department of Education Federal Student 
Financial Aid Website.--The Secretary--
          ``(1) shall display a link to the Federal student financial 
        aid website of the Department of Education in a prominent place 
        on the homepage of the Department of Education website; and
          ``(2) may use administrative funds available for the 
        Department's operations and expenses for the purpose of 
        advertising and promoting the availability of the Federal 
        student financial aid website.
  ``(e) Promotion of Availability of Information Concerning Student 
Financial Aid Programs of Other Departments and Agencies.--
          ``(1) Availability of information.--The Secretary shall 
        ensure that the eligibility requirements, application 
        procedures, financial terms and conditions, and other relevant 
        information for each non-departmental student financial 
        assistance program are easily accessible through the Federal 
        student financial aid website and are incorporated into the 
        search matrix on such website in a manner that permits students 
        and parents to readily identify the programs that are 
        appropriate to their needs and eligibility.
          ``(2) Agency response.--Each Federal department and agency 
        shall promptly respond to surveys or other requests for the 
        information required by paragraph (1), and shall identify for 
        the Secretary any non-departmental student financial assistance 
        program operated, sponsored, or supported by such Federal 
        department or agency.
          ``(3) Definition.--For purposes of this subsection, the term 
        `non-departmental student financial assistance program' means 
        any grant, loan, scholarship, fellowship, or other form of 
        financial aid for students pursuing a postsecondary education 
        that is--
                  ``(A) distributed directly to the student or to the 
                student's account at on institution of higher 
                education; and
                  ``(B) operated, sponsored, or supported by a Federal 
                department or agency other than the Department of 
                Education.''.

SEC. 108. STATE COMMITMENT TO AFFORDABLE COLLEGE EDUCATION.

  Part C of title I (20 U.S.C. 1015) is amended by adding at the end 
the following new section:

``SEC. 132. STATE COMMITMENT TO AFFORDABLE COLLEGE EDUCATION.

  ``(a) Maintenance of Effort Required.--A State shall provide for 
public institutions of higher education in such State for any academic 
year beginning on or after July 1, 2008, an amount which is--
          ``(1) equal to or greater than the average amount provided by 
        such State to such institutions of higher education during the 
        5 most recent preceding academic years for which satisfactory 
        data are available; or
          ``(2) equal to or greater than the amount provided by such 
        State to such institutions of higher education during the 
        preceding academic year.
  ``(b) Waiver.--The Secretary shall waive the requirements of 
subsection (a), if the Secretary determines that such a waiver would be 
equitable due to exceptional or uncontrollable circumstances, such as a 
natural disaster or a precipitous decline in the financial resources of 
a State or State educational agency, as appropriate.
  ``(c) Violation of Maintenance of Effort.--Notwithstanding any other 
provision of law, the Secretary shall withhold from any State that 
violates subsection (a) and does not receive a waiver pursuant to 
subsection (b) any amount that would otherwise be available to the 
State under section 415E until such State has made significant efforts 
to correct such violation.
  ``(d) Research Into Cost Containment Methods.--The Secretary is 
authorized--
          ``(1) to identify methods of cost containment currently 
        utilized by institutions of higher education and systems of 
        such institutions, and research into other possible methods of 
        cost containment;
          ``(2) to disseminate--
                  ``(A) the information obtained by such research to 
                such institutions and systems; and
                  ``(B) other information concerning research that has 
                identified successful methods of cost containment;
          ``(3) to publicly recognize institutions of higher education 
        that are doing an effective job at cost containment; and
          ``(4) to work together with such institutions and systems to 
        implement these methods.''.

SEC. 109. TRANSPARENCY IN COLLEGE TUITION FOR CONSUMERS.

  Part C of title I (20 U.S.C. 1015) is further amended by adding after 
section 132 (as added by section 108 of this Act) the following new 
section:

``SEC. 133. TRANSPARENCY IN COLLEGE TUITION FOR CONSUMERS.

  ``(a) Net Price.--In this section, the term `net price' means the 
average yearly tuition and fees paid by a full-time undergraduate 
student at an institution of higher education, after discounts and 
grants from the institution, the Federal Government, or a State have 
been applied to the full price of tuition and fees at the institution.
  ``(b) Higher Education Price Index.--
          ``(1) In general.--Not later than 1 year after the date of 
        enactment of the College Opportunity and Affordability Act of 
        2007, the Bureau of Labor Statistics, in consultation with the 
        Commissioner of Education Statistics and representatives of 
        institutions of higher education, shall develop higher 
        education price indices that accurately reflect the annual 
        change in tuition and fees for undergraduate students in the 
        categories of institutions listed in paragraph (2). Such 
        indices shall be updated annually. Prior to the completion of 
        the higher education price index, the Secretary is authorized 
        to use an alternative, comparable index.
          ``(2) Development.--The higher education price indices under 
        paragraph (1) shall be developed for each of the following 
        categories:
                  ``(A) 4-year public institutions of higher education.
                  ``(B) 4-year private, nonprofit institutions of 
                higher education.
                  ``(C) 4-year private, for-profit institutions of 
                higher education.
                  ``(D) 2-year public institutions of higher education.
                  ``(E) 2-year private, nonprofit institutions of 
                higher education.
                  ``(F) 2-year private, for-profit institutions of 
                higher education.
                  ``(G) Less than 2-year public institutions of higher 
                education.
                  ``(H) Less than 2-year private, nonprofit 
                institutions of higher education.
                  ``(I) Less than 2-year private, for-profit 
                institutions of higher education.
                  ``(J) All types of institutions described in 
                subparagraphs (A) through (I).
  ``(c) Reporting.--
          ``(1) In general.--The Secretary shall make publicly 
        available on an annual basis, in a sortable electronic format 
        on the College Navigator website, a national list ranking 
        institutions of higher education according to the percentage 
        change and dollar change in such institutions' tuition and fees 
        over the preceding 3 years. Such list shall be capable of being 
        sorted by State, by category as determined under paragraph (2), 
        by percentage change, and by dollar change. The purpose of such 
        list is to provide consumers with general information on 
        pricing trends among institutions of higher education 
        nationally and in each State.
          ``(2) Categories.--The categories to be used for the list 
        described in paragraph (1) are the categories listed in 
        subparagraphs (A) through (I) of subsection (b)(2).
          ``(3) Higher education price increase watch lists.--Effective 
        July 1, 2008, the Secretary shall annually update and make 
        publicly available on the College Navigator website, the 
        national list developed under paragraph (1), and the list for 
        each State, ranking each institution of higher education whose 
        tuition and fees outpace such institution's applicable higher 
        education price index described in subsection (b). Such lists 
        shall--
                  ``(A) be known as the Higher Education Price Increase 
                Watch Lists;
                  ``(B) report the full price of tuition and fees at 
                the institution and the net price;
                  ``(C) include data cells for common expenditures for 
                institutions to utilize;
                  ``(D) where applicable, report the average price of 
                room and board for students living on campus at the 
                institution, except that such price shall not be used 
                in determining whether an institution's cost outpaces 
                such institution's applicable higher education price 
                index; and
                  ``(E) be compiled by the Secretary in a public 
                document to be widely published and disseminated.
          ``(4) Quality efficiency task forces.--
                  ``(A) Required.--Each institution subject to 
                paragraph (3) shall establish a quality-efficiency task 
                force to review the operations of such institution.
                  ``(B) Functions.--Such task force shall analyze 
                institutional operating costs in comparison with such 
                costs at other institutions within the same category of 
                institutions. Such analysis shall identify areas where, 
                in comparison with other institutions in such class, 
                the institution operates more expensively to produce a 
                similar result. Any identified areas shall then be 
                targeted for in-depth analysis for cost reduction 
                opportunities.
                  ``(C) Report.--The results of the analysis by a 
                quality-efficiency task force under this paragraph 
                shall be made available to the public on the College 
                Navigator website.
          ``(5) Exemptions.--Notwithstanding paragraph (3), an 
        institution shall not be placed on the higher education watch 
        list if, for any 3-year interval for the computed price under 
        paragraph (1)--
                  ``(A) with respect to the category of institutions 
                described in paragraph (2) to which the institution 
                belongs, the computed price of the institution is in 
                the lowest quartile of institutions within such class, 
                as determined by the Secretary, during the last year of 
                such 3-year interval; or
                  ``(B) the institution has a percentage change in its 
                full price computed under paragraph (3) that exceeds 
                the higher education price index, or exceeds the 
                applicable higher education price index over the same 
                time period, but the dollar amount of the full price 
                increase is less than $500, or the full price increase 
                is an average of the higher education price index plus 
                $500 per year.
          ``(6) State higher education appropriations chart.--The 
        Secretary shall annually report on the Department's website, in 
        charts for each State--
                  ``(A) a comparison of the percentage change in State 
                appropriations per enrolled student in a public 
                institution of higher education in the State to the 
                percentage change in tuition and fees for each public 
                institution of higher education in the State for each 
                of the previous 5 years; and
                  ``(B) the total amount of need-based and merit-based 
                aid provided by the State to students enrolled in an 
                institution of higher education in the State.
  ``(d) Net Price Calculator.--
          ``(1) Development.--Not later than 1 year after the date of 
        enactment of the College Opportunity and Affordability Act of 
        2007, the Secretary shall, in consultation with institutions of 
        higher education, develop and make several model net price 
        calculators to help students, families, and consumers determine 
        the net price of an institution of higher education, which 
        institutions of higher education may, at their discretion, 
        elect to use pursuant to paragraph (3).
          ``(2) Categories.--The model net price calculators described 
        in paragraph (1) shall be developed for each of the categories 
        listed in subparagraphs (A) through (I) of subsection (b)(2).
          ``(3) Use of net price calculator by institutions.--Not later 
        than 3 years after the date of enactment of the College 
        Opportunity and Affordability Act of 2007, each institution of 
        higher education that receives Federal funds under this Act 
        shall adopt and use a net price calculator to help students, 
        families, and other consumers determine the net price of such 
        institution of higher education. Such calculator may be--
                  ``(A) based on a model calculator developed by the 
                Department; or
                  ``(B) developed by the institution of higher 
                education.
  ``(e) Net Price Reporting in Application Information.--An institution 
of higher education that receives Federal funds under this Act shall 
include, in the materials accompanying an application for admission to 
the institution, the most recent information regarding the net price of 
the institution, calculated for each quartile of students based on the 
income of either the students' parents or, in the case of independent 
students (as such term is described in section 480), of the students, 
for each of the 2 academic years preceding the academic year for which 
the application is produced.
  ``(f) Enhanced College Navigator.--
          ``(1) University and college accountability network.--Not 
        later than 1 year after the date of enactment of the College 
        Opportunity and Affordability Act of 2007, the Secretary shall 
        develop a model format for annually publicly displaying basic 
        information about an institution of higher education that 
        chooses to participate, to be posted on the College Navigator 
        and made available to institutions of higher education, 
        students, families, and other consumers. Such document shall be 
        known as the University and College Accountability Network (U-
        CAN), and shall include, the following information about the 
        institution of higher education for the most recent academic 
        year for which the institution has available data, presented in 
        a consumer-friendly manner:
                  ``(A) A statement of the institution's mission and 
                specialties.
                  ``(B) The total number of undergraduate students who 
                applied, were admitted, and enrolled at the 
                institution.
                  ``(C) Where applicable, reading, writing, 
                mathematics, and combined scores on the SAT or ACT for 
                the middle 50 percent range of the institution's 
                freshman class.
                  ``(D) Enrollment of full-time, part-time, and 
                transfer students at the institution, at the 
                undergraduate and (where applicable) graduate levels.
                  ``(E) Percentage of male and female undergraduate 
                students enrolled at the institution.
                  ``(F) Percentage of enrolled undergraduate students 
                from the State in which the institution is located, 
                from other States, and from other countries.
                  ``(G) Percentage of enrolled undergraduate students 
                at the institution by race and ethnic background.
                  ``(H) Retention rates for full-time and part-time 
                first-time, first-year undergraduate students enrolled 
                at the institution.
                  ``(I) Average time to degree or certificate 
                completion for first-time, first-year undergraduate 
                students enrolled at the institution.
                  ``(J) Percentage of enrolled undergraduate students 
                who graduate within 2 years (in the case of 2-year 
                institutions), and 4, 5, and 6 years (in the case of 2-
                year and 4-year institutions).
                  ``(K) Number of students who obtained a certificate 
                or an associate's, bachelor's, master's, or doctoral 
                degree at the institution.
                  ``(L) Undergraduate major areas of study with the 
                highest number of degrees awarded.
                  ``(M) The student-faculty ratio, and number of full-
                time, part-time, and adjunct faculty, and graduate 
                teaching and research assistants with instructional 
                responsibilities, at the institution.
                  ``(N) Percentage of faculty at the institution with 
                the highest degree in their field.
                  ``(O) Percentage change in total price in tuition and 
                fees and the net price for an undergraduate at the 
                institution in each of the preceding 3 academic years.
                  ``(P) Total average yearly cost of tuition and fees, 
                room and board, and books and other related costs for 
                an undergraduate student enrolled at the institution, 
                for--
                          ``(i) full-time undergraduate students living 
                        on campus;
                          ``(ii) full-time undergraduate students 
                        living off campus; and
                          ``(iii) in the case of students attending a 
                        public institution of higher education, such 
                        costs for in-State and out-of-State students 
                        living on and off campus.
                  ``(Q) Average yearly grant amount (including Federal, 
                State, and institutional aid) for a student enrolled at 
                the institution.
                  ``(R) Average yearly amount of Federal student loans, 
                and other loans provided through the institution, to 
                undergraduate students enrolled at the institution.
                  ``(S) Total yearly grant aid available to 
                undergraduate students enrolled at the institution, 
                from the Federal Government, a State, the institution, 
                and other sources.
                  ``(T) Percentage of undergraduate students enrolled 
                at the institution receiving Federal, State, and 
                institutional grants, student loans, and any other type 
                of student financial assistance provided publicly or 
                through the institution, such as Federal work-study 
                funds.
                  ``(U) Number of students receiving Federal Pell 
                Grants at the institution.
                  ``(V) Average net price for all undergraduate 
                students enrolled at the institution.
                  ``(W) Percentage of first-year undergraduate students 
                enrolled at the institution who live on campus and off 
                campus.
                  ``(X) Information on the policies of the institution 
                related to transfer of credit from other institutions.
                  ``(Y) Information on campus safety required to be 
                collected under section 485(f).
                  ``(Z) Links to the appropriate sections of the 
                institution's website that provide information on 
                student activities offered by the institution, such as 
                intercollegiate sports, student organizations, study 
                abroad opportunities, intramural and club sports, 
                specialized housing options, community service 
                opportunities, cultural and arts opportunities on 
                campus, religious and spiritual life on campus, and 
                lectures and outside learning opportunities.
                  ``(AA) Links to the appropriate sections of the 
                institution's website that provide information on 
                services offered by the institution to students during 
                and after college, such as internship opportunities, 
                career and placement services, and preparation for 
                further education.
          ``(2) Consultation.--The Secretary shall ensure that current 
        and prospective college students, family members of such 
        students, and institutions of higher education are consulted in 
        carrying out paragraph (1).
  ``(g) Student Aid Recipient Survey.--
          ``(1) Survey required.--The Secretary shall conduct a survey 
        of student aid recipients under title IV on a regular cycle and 
        State-by-State basis, but not less than once every 4 years--
                  ``(A) to identify the population of students 
                receiving Federal student aid;
                  ``(B) to describe the income distribution and other 
                socioeconomic characteristics of federally aided 
                students;
                  ``(C) to describe the combinations of aid from State, 
                Federal, and private sources received by students from 
                all income groups;
                  ``(D) to describe the debt burden of educational loan 
                recipients and their capacity to repay their education 
                debts, and the impact of such debt burden on career 
                choices;
                  ``(E) to describe the role played by the price of 
                postsecondary education in the determination by 
                students of what institution to attend; and
                  ``(F) to describe how the increased costs of 
                textbooks and other instructional materials affects the 
                costs of postsecondary education to students.
          ``(2) Survey design.--The survey shall be representative of 
        full-time and part-time, undergraduate, graduate, professional, 
        and current and former students in all types of institutions, 
        and designed and administered in consultation with the Congress 
        and the postsecondary education community.
          ``(3) Dissemination.--The Commissioner of Education 
        Statistics shall disseminate the information resulting from the 
        survey in both printed and electronic form.
  ``(h) Regulations.--The Secretary is authorized to issue such 
regulations as may be necessary to carry out the provisions of this 
section.''.

SEC. 110. TEXTBOOK INFORMATION.

  Part C of title I (20 U.S.C. 1015) is further amended by adding after 
section 133 (as added by section 109 of this Act) the following new 
section:

``SEC. 134. TEXTBOOK INFORMATION.

  ``(a) Purpose and Intent.--The purpose of this section is to ensure 
that every student in higher education is offered better and more 
timely access to affordable course materials by educating and informing 
faculty, students, administrators, institutions of higher education, 
bookstores, distributors, and publishers on all aspects of the 
selection, purchase, sale, and use of course materials. It is the 
intent of this section--
          ``(1) to have all involved parties work together to identify 
        ways to decrease the cost of college textbooks and supplemental 
        materials for students while protecting the academic freedom of 
        faculty members to select high quality course materials for 
        students; and
          ``(2) to encourage--
                  ``(A) college textbook publishers and distributors to 
                work with faculty to promote understanding of the cost 
                to students of purchasing faculty selected textbooks, 
                including the disclosure of prices and bundling 
                practices;
                  ``(B) college bookstores to work with faculty to 
                review timelines and processes for ordering and 
                stocking course materials, and to disclose costs to 
                faculty and students in a timely manner;
                  ``(C) institutions of higher education to implement 
                numerous options to address college textbook 
                affordability;
                  ``(D) institutions of higher education to work with 
                student organizations to help students understand the 
                factors driving textbook costs and available methods 
                and resources to mitigate the effects of those costs; 
                and
                  ``(E) innovation in the development and use of course 
                materials (including course materials utilizing the 
                principles of universal design) and technologies that 
                can help students receive the full value of their 
                educational investment.
  ``(b) Definitions.--In this section:
          ``(1) Bundle.--The term `bundle' means one or more college 
        textbooks or other supplemental learning materials that may be 
        packaged together to be sold as course materials for one price.
          ``(2) College textbook.--The term `college textbook' means a 
        textbook or a set of textbooks, used for, or in conjunction 
        with, a course in postsecondary education at an institution of 
        higher education.
          ``(3) Course schedule.--The term `course schedule' means a 
        listing of the courses or classes offered by an institution of 
        higher education for an academic period, as defined by the 
        institution.
          ``(4) Custom textbook.--The term `custom textbook'--
                  ``(A) means a college textbook that is compiled at 
                the direction of a faculty member or other person or 
                adopting entity in charge of selecting course materials 
                at an institution of higher education; and
                  ``(B) may include, alone or in combination, items 
                such as selections from original instructor materials, 
                previously copyrighted publisher materials, copyrighted 
                third-party works, and elements unique to a specific 
                institution, such as commemorative editions.
          ``(5) Institution of higher education.--The term `institution 
        of higher education' has the meaning given the term in section 
        102.
          ``(6) Integrated textbook.--The term `integrated textbook' 
        means a college textbook that is combined with materials 
        developed by a third party and that, by third-party contractual 
        agreement, may not be offered by publishers separately from the 
        college textbook with which the materials are combined.
          ``(7) Publisher.--The term `publisher' means a publisher of 
        college textbooks or supplemental materials involved in or 
        affecting interstate commerce.
          ``(8) Substantial content.--The term `substantial content' 
        means parts of a college textbook, such as new chapters, 
        additional eras of time, new themes, or new subject matter.
          ``(9) Supplemental material.--The term `supplemental 
        material' means educational material developed to accompany a 
        college textbook, which--
                  ``(A) may include printed materials, computer disks, 
                website access, and electronically distributed 
                materials; and
                  ``(B) is not bound by third-party contractual 
                agreements to be sold in an integrated textbook.
  ``(c) Publisher Requirements.--
          ``(1) College textbook pricing information.--When a publisher 
        provides a faculty member or other person or adopting entity in 
        charge of selecting course materials at an institution of 
        higher education with information regarding a college textbook 
        or supplemental material, the publisher shall include, with any 
        such information and in writing, the following:
                  ``(A) The price at which the publisher would make the 
                college textbook or supplemental material available to 
                the bookstore on the campus of, or otherwise associated 
                with, such institution of higher education.
                  ``(B) The copyright dates of all previous editions of 
                such college textbook, if any.
                  ``(C) The substantial content revisions made between 
                the current edition of the college textbook or 
                supplemental material and the previous edition, if any.
                  ``(D) Whether the college textbook or supplemental 
                material is available in any other format, including 
                paperback and unbound, and the price at which the 
                publisher would make the college textbook or 
                supplemental material in the other format available to 
                the bookstore on the campus of, or otherwise associated 
                with, such institution of higher education.
          ``(2) Unbundling of college textbooks from supplemental 
        materials.--A publisher that sells a college textbook and any 
        supplemental material accompanying such college textbook as a 
        single bundle shall also make available the college textbook 
        and each supplemental material as separate and unbundled items, 
        each separately priced.
          ``(3) Custom textbooks.--To the maximum extent practicable, 
        publishers shall provide the information required under this 
        subsection with respect to the development and provision of 
        custom textbooks.
  ``(d) Provision of ISBN College Textbook Information in Course 
Schedules.--
          ``(1) Internet course schedules.--Each institution of higher 
        education, to the maximum extent practicable, shall--
                  ``(A) disclose the International Standard Book Number 
                and retail price information of required and 
                recommended textbooks, related materials, and supplies 
                for each course listed in the institution's course 
                schedule used for pre-registration and registration 
                purposes;
                  ``(B) if the International Standard Book Number is 
                not available for the items listed in subparagraph (A), 
                use the author, title, publisher, and copyright date; 
                and
                  ``(C) if the institution determines that the 
                disclosure of the information described in the 
                preceding subparagraphs for a course is not practicable 
                for a textbook, related material, or supply, then it 
                should so indicate by placing the designation `To Be 
                Determined' in lieu of the information required under 
                such subparagraphs.
          ``(2) Written course schedules.--In the case of an 
        institution of higher education that does not publish the 
        institution's course schedule for the subsequent academic 
        period on the Internet, the institution of higher education 
        shall include the information required under paragraph (1) in 
        any printed version of the institution's course schedule as it 
        is available at the time of the course schedule's printing.
  ``(e) Availability of Information for College Bookstores.--An 
institution of higher education shall make available, as soon as is 
practicable, upon the request of any college bookstore, the most 
accurate information available regarding--
          ``(1) the institution's course schedule for the subsequent 
        academic period; and
          ``(2) for each course or class offered by the institution for 
        the subsequent academic period--
                  ``(A) the information required by subsection (d)(1) 
                for each college textbook or supplemental material 
                required or recommended for such course or class;
                  ``(B) the number of students enrolled in such course 
                or class; and
                  ``(C) the maximum student enrollment for such course 
                or class.
  ``(f) Rule of Construction.--Nothing in this section shall be 
construed to supercede the institutional autonomy or academic freedom 
of instructors involved in the selection of college textbooks and 
classroom materials.
  ``(g) Effective Date.--This section shall be effective on and after 
July 1, 2008.''.

SEC. 111. DATABASE OF STUDENT INFORMATION PROHIBITED.

  Part C of title I (20 U.S.C. 1015) is further amended by adding after 
section 134 (as added by section 110 of this Act) the following new 
section:

``SEC. 135. DATABASE OF STUDENT INFORMATION PROHIBITED.

  ``(a) Prohibition.--Except as described in subsection (b), nothing in 
this Act shall be construed to authorize the Secretary to develop, 
implement, or maintain a Federal database of personally identifiable 
information on individuals receiving assistance under this Act, 
attending institutions receiving assistance under this Act, or 
otherwise involved in any studies or other collections of data under 
this Act, including a student unit record system, an education bar code 
system, or any other system that tracks individual students over time.
  ``(b) Exception.--The provisions of subsection (a) shall not apply to 
a system (or a successor system) that is necessary for the operation of 
programs authorized by title II, IV, or VII, or data required to be 
collected by the Secretary under this Act (including section 133(g)), 
that were in use by the Secretary, directly or through a contractor, as 
of the day before the date of enactment of the College Opportunity and 
Affordability Act of 2007.
  ``(c) State Databases.--Nothing in this Act shall prohibit a State or 
a consortium of States from developing, implementing, or maintaining 
State-developed databases that track individuals over time, including 
student unit record systems that contain information related to 
enrollment, attendance, graduation and retention rates, student 
financial assistance, and graduate employment outcomes.''.

SEC. 112. INSTITUTION AND LENDER REPORTING AND DISCLOSURE REQUIREMENTS.

  Title I (20 U.S.C. 1001 et seq.) is amended by adding at the end the 
following:

 ``PART E--LENDER AND INSTITUTION REQUIREMENTS RELATING TO EDUCATIONAL 
                                 LOANS

``SEC. 151. DEFINITIONS.

  ``In this part:
          ``(1) Covered institution.--The term `covered institution'--
                  ``(A) means any educational institution that--
                          ``(i) offers a postsecondary educational 
                        degree, certificate, or program of study 
                        (including any institution of higher education, 
                        as such term is defined in section 102); and
                          ``(ii) receives any Federal funding or 
                        assistance; and
                  ``(B) includes an authorized agent of the educational 
                institution (including an alumni association, booster 
                club, or other organization directly or indirectly 
                authorized by such institution) or an employee of such 
                institution.
          ``(2) Educational loan.--The term `educational loan' (except 
        when used as part of the term `private educational loan') 
        means--
                  ``(A) any loan made, insured, or guaranteed under 
                title IV; or
                  ``(B) a private educational loan (as defined in 
                paragraph (6)).
          ``(3) Preferred lender arrangement.--The term `preferred 
        lender arrangement'--
                  ``(A) means an arrangement or agreement between a 
                lender and a covered institution--
                          ``(i) under which arrangement or agreement a 
                        lender provides or otherwise issues educational 
                        loans to the students attending the covered 
                        institution or the parents of such students; 
                        and
                          ``(ii) which arrangement or agreement relates 
                        to the covered institution recommending, 
                        promoting, or endorsing the educational loan 
                        product of the lender; and
                  ``(B) does not include--
                          ``(i) arrangements or agreements with respect 
                        to loans under parts D or E of title IV; or
                          ``(ii) arrangements or agreements with 
                        respect to loans under section 499(b).
          ``(4) Lender.--
                  ``(A) In general.--The term `lender'--
                          ``(i) means a creditor, except that such term 
                        shall not include an issuer of credit secured 
                        by a dwelling or under an open end credit plan; 
                        and
                          ``(ii) includes an agent of a lender.
                  ``(B) Incorporation of tila definitions.--The terms 
                `creditor', `dwelling', and `open end credit plan' have 
                the meanings given such terms in section 103 of the 
                Truth in Lending Act (15 U.S.C. 1602).
          ``(5) Officer.--The term `officer' includes a director or 
        trustee of a covered institution, if such individual is treated 
        as an employee of the covered institution.
          ``(6) Private educational loan.--The term `private 
        educational loan' means a private loan provided by a lender 
        that--
                  ``(A) is not made, insured, or guaranteed under title 
                IV; and
                  ``(B) is issued by a lender expressly for 
                postsecondary educational expenses to a student, or the 
                parent of the student, regardless of whether the loan 
                involves enrollment certification by the educational 
                institution that the student attends.
          ``(7) Postsecondary educational expenses.--The term 
        `postsecondary educational expenses' means any of the expenses 
        that are included as part of a student's cost of attendance, as 
        defined under section 472.

``SEC. 152. REQUIREMENTS FOR LENDERS AND INSTITUTIONS PARTICIPATING IN 
                    PREFERRED LENDER ARRANGEMENTS.

  ``(a) Certification by Lenders.--In addition to any other disclosure 
required under Federal law, each lender under part B of title IV that 
participates in one or more preferred lender arrangements shall 
annually certify its compliance with the requirements of this Act. Such 
compliance of such preferred lender arrangement shall be reported on 
and attested to annually by the auditor of such lender in the audit 
conducted pursuant to section 428(b)(1)(U)(iii).
  ``(b) Use of Institution Name.--
          ``(1) In general.--A covered institution that has entered 
        into a preferred lender arrangement with a lender regarding 
        private educational loans shall not agree to the lender's use 
        of the name, emblem, mascot, or logo of the institution, or 
        other words, pictures, or symbols readily identified with the 
        institution, in the marketing of private educational loans to 
        the students attending the institution in any way that implies 
        that the institution endorses the private educational loans 
        offered by the lender.
          ``(2) Applicability.--Paragraph (1) shall apply to any 
        preferred lender arrangement, or extension of such arrangement, 
        entered into or renewed after the date of enactment of the 
        College Opportunity and Affordability Act of 2007.

``SEC. 153. INTEREST RATE REPORT FOR INSTITUTIONS AND LENDERS 
                    PARTICIPATING IN PREFERRED LENDER ARRANGEMENTS.

  ``(a) Duties of the Secretary.--
          ``(1) Report and model format.--Not later than 180 days after 
        the date of enactment of the College Opportunity and 
        Affordability Act of 2007, the Secretary shall--
                  ``(A) prepare a report on the adequacy of the 
                information provided to students and the parents of 
                such students about educational loans, after consulting 
                with students, representatives of covered institutions 
                (including financial aid administrators, registrars, 
                and business officers), lenders, loan servicers, and 
                guaranty agencies;
                  ``(B) develop and prescribe by regulation a model 
                disclosure form to be used by lenders and covered 
                institutions in carrying out subsections (b) and (c) 
                that--
                          ``(i) will be easy for students and parents 
                        to read and understand;
                          ``(ii) will be easily usable by lenders, 
                        institutions, guaranty agencies, and loan 
                        servicers;
                          ``(iii) will provide students and parents 
                        with the relevant, meaningful, and standard 
                        information about the terms and conditions for 
                        both Federal and private educational loans;
                          ``(iv) is based on the report's findings and 
                        developed in consultation with--
                                  ``(I) students;
                                  ``(II) representatives of covered 
                                institutions, including financial aid 
                                administrators, registrars, business 
                                officers, and student affairs 
                                officials;
                                  ``(III) lenders;
                                  ``(IV) loan servicers;
                                  ``(V) guaranty agencies; and
                                  ``(VI) with respect to the 
                                requirements of clause (vi) concerning 
                                private educational loans, the Board of 
                                Governors of the Federal Reserve 
                                System;
                          ``(v) provides information on the applicable 
                        interest rates and other terms and conditions 
                        of the educational loans provided by a lender 
                        to students attending the institution, or the 
                        parents of such students, disaggregated by each 
                        type of educational loan (including opportunity 
                        pools as defined in section 155(f)) provided to 
                        such students or parents by the lender, 
                        including--
                                  ``(I) the rate of interest, or the 
                                potential range of rates of interest, 
                                applicable to the loan, and whether 
                                such rates are fixed or variable;
                                  ``(II) limitations, if any, on 
                                interest rate adjustments, both in 
                                terms of frequency and amount, or lack 
                                thereof;
                                  ``(III) co-borrower requirements, 
                                including changes in interest rates;
                                  ``(IV) any fees associated with the 
                                loan;
                                  ``(V) the repayment terms available 
                                on the loan;
                                  ``(VI) the opportunity for deferment 
                                or forbearance in repayment of the 
                                loan, including whether the loan 
                                payments can be deferred if the student 
                                is in school;
                                  ``(VII) any additional terms and 
                                conditions applied to the loan, 
                                including any benefits that are 
                                contingent on the repayment behavior of 
                                the borrower;
                                  ``(VIII) the annual percentage rate 
                                for such loans, determined in the 
                                manner required under section 107 of 
                                the Truth in Lending Act (15 U.S.C. 
                                1606);
                                  ``(IX) an example of the total cost 
                                of the educational loan over the life 
                                of the loan which shall be calculated--
                                          ``(aa) using a principal 
                                        amount and the maximum rate of 
                                        interest actually offered by 
                                        the lender; and
                                          ``(bb) both with and without 
                                        capitalization of interest, if 
                                        that is an option for 
                                        postponing interest payments;
                                  ``(X) the consequences for the 
                                borrower of defaulting on a loan, 
                                including any limitations on the 
                                discharge of an educational loan in 
                                bankruptcy;
                                  ``(XI) contact information for the 
                                lender; and
                                  ``(XII) any philanthropic 
                                contributions made by the lender to the 
                                covered institution, including the 
                                purpose of the contribution and any 
                                conditions related to its use; and
                          ``(vi) provides, in addition, with respect to 
                        private educational loans, the following 
                        information with respect to loans made by each 
                        lender recommended by the covered institution:
                                  ``(I) the method of determining the 
                                interest rate of the loan;
                                  ``(II) potential finance charges, 
                                late fees, penalties, and adjustments 
                                to principal, based on defaults or late 
                                payments of the borrower; and
                                  ``(III) such other information as the 
                                Secretary may require; and
                  ``(C)(i) submit the report and model disclosure form 
                to the authorizing committees; and
                  ``(ii) make the report and model disclosure form 
                available to covered institutions, lenders, and the 
                public.
          ``(2) Model form update.--Not later than 1 year after the 
        submission of the report and model disclosure form described in 
        paragraph (1)(B), the Secretary shall--
                  ``(A) assess the adequacy of the model disclosure 
                form;
                  ``(B) after consulting with students, representatives 
                of covered institutions (including financial aid 
                administrators, registrars, business officers, and 
                student affairs officials), lenders, loan servicers, 
                guaranty agencies, and the Board of Governors of the 
                Federal Reserve System--
                          ``(i) prepare a list of any improvements to 
                        the model disclosure form that have been 
                        identified as beneficial to borrowers; and
                          ``(ii) update the model disclosure form after 
                        taking such improvements into consideration; 
                        and
                  ``(C)(i) submit the list of improvements and updated 
                model disclosure form to the authorizing committees; 
                and
                  ``(ii) make the updated model disclosure form 
                available to covered institutions, lenders, and the 
                public.
          ``(3) Use of form.--The Secretary shall take such steps as 
        necessary to make the model disclosure form, and the updated 
        model disclosure form, available to covered institutions and to 
        encourage--
                  ``(A) lenders subject to subsection (b) to use the 
                model disclosure form or updated model disclosure form 
                (if available) in providing the information required 
                under subsection (b); and
                  ``(B) covered institutions to use such format in 
                preparing the information reported under subsection 
                (c).
          ``(4) Procedures.--Sections 482(c) and 492 of this Act shall 
        not apply to the model disclosure form prescribed under 
        paragraph (1)(B), but shall apply to the updating of such form 
        under paragraph (2).
  ``(b) Lender Duties.--Each lender that has a preferred lender 
arrangement with a covered institution shall, by August 1 of each year, 
provide to the covered institution and to the Secretary the information 
included on the model disclosure form or an updated model disclosure 
form (if available) for each type of educational loan (including 
opportunity pools as defined in section 155(f)) to be offered by the 
lender to students attending the covered institution, or the parents of 
such students, for the forthcoming academic year.
  ``(c) Covered Institution Reports.--Each covered institution shall--
          ``(1) prepare and submit to the Secretary an annual report, 
        by a date determined by the Secretary, that includes, for each 
        lender that has a preferred lender arrangement with the covered 
        institution and that has submitted to the institution the 
        information required under subsection (b)--
                  ``(A) the information included on the model 
                disclosure form or updated model disclosure form (if 
                available) for each type of educational loan provided 
                by the lender to students attending the covered 
                institution, or the parents of such students; and
                  ``(B) a detailed explanation of why the covered 
                institution believes the terms and conditions of each 
                type of educational loan provided pursuant to the 
                agreement are beneficial for students attending the 
                covered institution, or the parents of such students; 
                and
          ``(2) ensure that the report required under paragraph (1) is 
        made available to the public and provided to students attending 
        or planning to attend the covered institution, and the parents 
        of such students, in time for the student or parent to take 
        such information into account before applying for or selecting 
        an educational loan.
  ``(d) Disclosures by Covered Institutions.--A covered institution 
shall disclose, on its website and in the informational materials 
described in subsection (e)--
          ``(1) a statement that--
                  ``(A) indicates that students are not limited to or 
                required to use the lenders the institution recommends; 
                and
                  ``(B) the institution is required to process the 
                documents required to obtain a Federal educational loan 
                from any eligible lender the student selects;
          ``(2) at a minimum, all of the information provided by the 
        model disclosure form prescribed under subsection (a)(1)(B), or 
        updated model disclosure form (if available), with respect to 
        any lender recommended by the institution for Federal 
        educational loans and, as applicable, private educational loans 
        (including opportunity pools as defined in section 155(f));
          ``(3) the maximum amount of Federal grant and loan aid 
        available to students in an easy-to-understand format; and
          ``(4) the institution's cost of attendance (as determined 
        under section 472).
  ``(e) Informational Materials.--The informational materials described 
in this subsection are publications, mailings, or electronic messages 
or media distributed to prospective or current students and parents of 
students that describe or discuss the financial aid opportunities 
available to students at an institution of higher education.

``SEC. 154. PRIVATE EDUCATIONAL LOAN DISCLOSURE REQUIREMENTS FOR 
                    COVERED INSTITUTIONS.

  ``A covered institution that provides information to any student, or 
the parent of such student, regarding a private educational loan from a 
lender shall, prior to or concurrent with such information--
          ``(1) inform the student or parent of--
                  ``(A) the student or parent's eligibility for 
                assistance and loans under title IV; and
                  ``(B) the terms and conditions of such private 
                educational loan that may be less favorable than the 
                terms and conditions of educational loans for which the 
                student or parent is eligible, including interest 
                rates, repayment options, and loan forgiveness; and
          ``(2) ensure that information regarding such private 
        educational loan is presented in such a manner as to be 
        distinct from information regarding loans that are made, 
        insured, or guaranteed under title IV.

``SEC. 155. INTEGRITY PROVISIONS.

  ``(a) Institution Code of Conduct Required.--
          ``(1) Code of conduct.--Each institution of higher education 
        that participates in the Federal student loan programs under 
        title IV or has students that obtain private educational loans 
        shall--
                  ``(A) develop a code of conduct in accordance with 
                paragraph (2) with which its officers, employees, and 
                agents shall comply with respect to educational loans;
                  ``(B) publish the code of conduct prominently on its 
                website; and
                  ``(C) administer and enforce such code in accordance 
                with the requirements of this subsection.
          ``(2) Contents of code.--The code required by this section 
        shall--
                  ``(A) prohibit a conflict of interest with the 
                responsibilities of such officer, employee, or agent 
                with respect to educational loans; and
                  ``(B) at a minimum, include provisions in compliance 
                with the provisions of the following subsections of 
                this section.
          ``(3) Training and compliance.--An institution of higher 
        education shall administer and enforce a code of conduct 
        required by this section by, at a minimum, requiring all of its 
        officers, employees, and agents with responsibilities with 
        respect to educational loans to obtain training annually in 
        compliance with the code.
  ``(b) Gift Ban.--
          ``(1) Prohibition.--No officer, employee, or agent of a 
        covered institution who is employed in the financial aid office 
        of the institution, or who otherwise has responsibilities with 
        respect to educational loans, shall solicit or accept any gift 
        from a lender, guarantor, or servicer of educational loans.
          ``(2) Inspector general report.--The Inspector General of the 
        Department of Education shall investigate any reported 
        violation of this subsection and shall annually submit a report 
        to the authorizing committees identifying all substantiated 
        violations of the gift ban under paragraph (1), including the 
        lenders and covered institutions involved in each such 
        violation, for the preceding year.
          ``(3) Definition of gift.--
                  ``(A) In general.--In this subsection, the term 
                `gift' means any gratuity, favor, discount, 
                entertainment, hospitality, loan, or other item having 
                a monetary value of more than a de minimus amount. The 
                term includes a gift of services, transportation, 
                lodging, or meals, whether provided in kind, by 
                purchase of a ticket, payment in advance, or 
                reimbursement after the expense has been incurred.
                  ``(B) Exceptions.--The term `gift' shall not include 
                any of the following:
                          ``(i) Standard informational material related 
                        to a loan or financial literacy, such as a 
                        brochure.
                          ``(ii) Food, refreshments, training, or 
                        informational material furnished to an officer, 
                        employee, or agent of an institution as an 
                        integral part of a training session that is 
                        designed to improve the service of a lender, 
                        guarantor, or servicer of educational loans to 
                        the covered institution, if such training 
                        contributes to the professional development of 
                        the officer, employee, or agent of the 
                        institution.
                          ``(iii) Favorable terms, conditions, and 
                        borrower benefits on an educational loan 
                        provided to a student employed by the covered 
                        institution if such terms, conditions, or 
                        benefits are comparable to those provided to 
                        all students of the institution.
                          ``(iv) Exit counseling services provided to 
                        borrowers to meet a covered institution's 
                        responsibilities for exit counseling as 
                        required by section 485(b) provided that--
                                  ``(I) a covered institution's staff 
                                are in control of the counseling 
                                (whether in person or via electronic 
                                capabilities); and
                                  ``(II) such counseling does not 
                                promote the products or services of any 
                                lender.
                          ``(v) Philanthropic contributions to a 
                        covered institution from a lender, guarantor, 
                        or servicer of educational loans that are 
                        unrelated to educational loans, provided, as 
                        applicable, that such contributions are 
                        disclosed pursuant to section 153(a)(1) and 
                        section 153(a)(2).
                  ``(C) Rule for gifts to family members.--For purposes 
                of this section, a gift to a family member of an 
                officer, employee, or agent of a covered institution, 
                or a gift to any other individual based on that 
                individual's relationship with the officer, employee, 
                or agent, shall be considered a gift to the officer, 
                employee, or agent if--
                          ``(i) the gift is given with the knowledge 
                        and acquiescence of the officer, employee, or 
                        agent; and
                          ``(ii) the officer, employee, or agent has 
                        reason to believe the gift was given because of 
                        the official position of the officer, employee, 
                        or agent.
  ``(c) Contracting Arrangements Prohibited.--
          ``(1) Prohibition.--An officer, employee, or agent who is 
        employed in the financial aid office of a covered institution, 
        or who otherwise has responsibilities with respect to 
        educational loans, shall not accept from any lender or 
        affiliate of any lender (as the term affiliate is defined in 
        section 487(a)) any fee, payment, or other financial benefit 
        (including the opportunity to purchase stock) as compensation 
        for any type of consulting arrangement or other contract to 
        provide services to a lender or on behalf of a lender.
          ``(2) Exceptions.--Nothing in this subsection shall be 
        construed as prohibiting--
                  ``(A) an officer, employee, or agent of a covered 
                institution who is not employed in the institution's 
                financial aid office, or who does not otherwise have 
                responsibilities with respect to educational loans, 
                from paid or unpaid service on a board of directors of 
                a lender, guarantor, or servicer of educational loans;
                  ``(B) an officer, employee, or agent of a covered 
                institution who is not employed in the financial aid 
                office but who has responsibility with respect to 
                educational loans as a result of a position held at the 
                covered institution, from paid or unpaid service on a 
                board of directors of a lender, guarantor, or servicer 
                of educational loans, provided that the covered 
                institution has a written conflict of interest policy 
                that clearly sets forth that such an officer, employee, 
                or agent must be recused from participating in any 
                decision of the board with respect to any transaction 
                regarding educational loans; or
                  ``(C) an officer, employee, or agent of a lender, 
                guarantor, or servicer of educational loans from 
                serving on a board of directors or serving as a trustee 
                of a covered institution, provided that the covered 
                institution has a written conflict of interest policy 
                that clearly sets forth the procedures to be followed 
                in instances where such a board member's or trustee's 
                personal or business interests with respect to 
                educational loans may be advanced by an action of the 
                board of directors or trustees, including a provision 
                that such a board member or trustee may not participate 
                in any decision to approve any transaction where such 
                conflicting interests may be advanced.
  ``(d) Ban on Revenue Sharing Arrangements.--
          ``(1) Prohibition.--A covered institution shall not enter 
        into any revenue sharing arrangement with any lender.
          ``(2) Definition.--For purposes of this subsection, a revenue 
        sharing arrangement is an arrangement between a covered 
        institution and a lender under which--
                  ``(A) a lender provides or issues educational loans 
                to students attending the institution or to parents of 
                such students; and
                  ``(B)(i) the institution recommends the lender or the 
                loan products of the lender; and
                  ``(ii) in exchange, the lender pays a fee or provides 
                other material benefits, including revenue or profit 
                sharing, to the institution or officers, employees, or 
                agents of the institution.
  ``(e) Ban on Staffing Assistance.--
          ``(1) Prohibition.--A covered institution shall not request 
        or accept from any lender any assistance with call center 
        staffing or financial aid office staffing.
          ``(2) Certain assistance permitted.--Nothing in paragraph (1) 
        shall be construed to prohibit a covered institution from 
        requesting or accepting assistance from a lender related to--
                  ``(A) professional development training for financial 
                aid administrators;
                  ``(B) providing educational counseling materials, 
                financial literacy materials, or debt management 
                materials to borrowers, provided that such materials 
                disclose to borrowers the identification of any lender 
                that assisted in preparing or providing such materials; 
                or
                  ``(C) staffing services on a short-term, non-
                recurring basis to assist the institution with 
                financial aid-related functions during emergencies, 
                including State-declared or federally declared natural 
                disasters, federally declared national disasters, and 
                other localized disasters and emergencies identified by 
                the Secretary.
  ``(f) Prohibition on Offers of Funds for Private Loans.--
          ``(1) Prohibition.--A covered institution shall not request 
        or accept from any lender any offer of funds, including any 
        opportunity pool, to be used for private educational loans to 
        students in exchange for the covered institution providing 
        concessions or promises to the lender with respect to such 
        institution providing the lender with a specified number of 
        loans, a specified loan volume, or a preferred lender 
        arrangement for any loan made, insured, or guaranteed under 
        title IV, and a lender shall not make any such offer.
          ``(2) Definition.--In this subsection, the term `opportunity 
        pool' means an educational loan made by a private lender to a 
        student attending the covered institution or the parent of such 
        a student that is in any manner guaranteed by a covered 
        institution, or that involves a payment, directly or 
        indirectly, by such an institution of points, premiums, 
        payments, additional interest, or other financial support to 
        such lender for the purpose of such lender extending credit to 
        either the students or the parents of students of the 
        institution.
  ``(g) Ban on Participation on Advisory Councils.--An officer, 
employee, or agent who is employed in the financial aid office of a 
covered institution, or who otherwise has responsibilities with respect 
to educational loans, shall not serve on or otherwise participate with 
advisory councils of lenders or affiliates of lenders. Nothing in this 
subsection shall prohibit lenders from seeking advice from covered 
institutions or groups of covered institutions (including through 
telephonic or electronic means, or a meeting) in order to improve 
products and services for borrowers, provided there are no gifts or 
compensation (including for transportation, lodging, or related 
expenses) provided by lenders in connection with seeking this advice 
from such institutions. Nothing in this subsection shall prohibit an 
officer, employee, or agent of a covered institution from serving on 
the board of directors of a lender if required by State law.

``SEC. 156. COMPLIANCE AND ENFORCEMENT.

  ``(a) Condition of Any Federal Assistance.--Notwithstanding any other 
provision of law, a covered institution or lender shall comply with 
this part as a condition of receiving Federal funds or assistance 
provided after the date of enactment of the College Opportunity and 
Affordability Act of 2007.
  ``(b) Penalties.--Notwithstanding any other provision of law, if the 
Secretary determines, after providing notice and an opportunity for a 
hearing for a covered institution or lender, that the covered 
institution or lender has violated subsection (a)--
          ``(1) in the case of a covered institution, or a lender that 
        does not participate in a loan program under title IV, the 
        Secretary may impose a civil penalty in an amount of not more 
        than $25,000; and
          ``(2) in the case of a lender that does participate in a 
        program under title IV, the Secretary may limit, terminate, or 
        suspend the lender's participation in such program.
  ``(c) Considerations.--In taking any action against a covered 
institution or lender under subsection (b), the Secretary shall take 
into consideration the nature and severity of the violation of 
subsection (a).

``SEC. 157. STUDENT LOAN COUNSELING.

  ``(a) Borrower Contact.--
          ``(1) FFEL loans.--Each holder of a loan under part B of 
        title IV shall contact the borrower each year after five years 
        has passed from the date that a borrower first selected either 
        a graduated, extended, income sensitive, or income contingent 
        repayment plan to ascertain if the borrower is able to select a 
        repayment plan with a shorter repayment period that would 
        reduce the total interest paid on the borrower's loan or loans 
        under this part.
          ``(2) Direct loans.--The Secretary shall contact the borrower 
        of each loan under part D or E of title IV each year after five 
        years has passed from the date that a borrower first selected 
        either an extended, graduated, income contingent, or 
        alternative repayment plan to ascertain if the borrower is able 
        to select a repayment plan for a shorter repayment period that 
        would reduce the total interest paid on the borrower's loan 
        under this part.
  ``(b) Required Disclosure Before Disbursement.--
          ``(1) Disclosures before repayment.--Each lender of a loan 
        under part B of title IV, and the Secretary with respect to 
        each loan under part D or E of such title, shall provide to the 
        borrower before repayment begins an explanation of principal to 
        be borrowed, current balance, interest already paid, and 
        interest due over the life of the loan, options by which 
        borrowers may avoid or be removed from default, relevant fees 
        associated with these options, and repayment options available 
        to the borrower entering repayment, including income contingent 
        repayment and income-based repayment.
          ``(2) Disclosures during repayment.--Each lender of a loan 
        under part B of title IV, and the Secretary with respect to 
        each loan under part D or E of such title, shall provide to the 
        borrower during repayment an explanation of principal borrowed, 
        current balance, interest already paid and interest due over 
        the life of the loan, options by which borrowers may avoid or 
        be removed from default, relevant fees associated with these 
        options, and repayment options available to the borrower 
        entering repayment, including income contingent repayment and 
        income-based repayment. Each such lender and the Secretary 
        shall also notify any borrower who tells the lender or the 
        Secretary that the borrower is having difficulty making 
        payments of the repayment options available, including 
        forbearance. Each such lender and the Secretary shall make an 
        explanation of repayment options available to the borrower, 
        including income contingent repayment and forbearance, before 
        the loan is disbursed, before repayment, and during repayment 
        if the borrower notifies the lender or the Secretary that the 
        borrower is having difficulty making payments.
  ``(c) Institutional Counseling.--
          ``(1) In general.--Each institution of higher education 
        shall, through financial aid officers or otherwise, make 
        available counseling to borrowers of loans which are made, 
        insured, or guaranteed under part B (other than loans made 
        pursuant to section 428B) of this title or made under part D or 
        E of this title prior to their signing the first promissory 
        note. The counseling shall include--
                  ``(A) average indebtedness of borrowers at that 
                school, to be supplied by the Secretary;
                  ``(B) sample monthly repayment amounts based on a 
                range of student levels of indebtedness and on the 
                average indebtedness of Stafford loan borrowers at the 
                same school or in the same program of study at the same 
                school;
                  ``(C) data to be supplied by the Secretary on 
                starting salaries for graduates of institutions by type 
                and control of institution, and field of study;
                  ``(D) repayment options available to the borrower 
                when entering repayment, including income contingent 
                repayment and income-based repayment;
                  ``(E) detail to be supplied by the Secretary on how 
                interest accrues and is capitalized during periods when 
                it is not being paid by either the borrower or the 
                Secretary; and
                  ``(F) the likely consequences of default, including 
                adverse credit reports, Federal offset, and litigation.
          ``(2) Use of electronic means.--If initial counseling is 
        conducted through interactive electronic means, the institution 
        of higher education shall take reasonable steps to ensure that 
        each student borrower receives the counseling materials, and 
        participates in and completes the initial counseling.
  ``(d) Department of Education Information Disclosure and Technical 
Assistance.--
          ``(1) Obligation.--The Secretary shall display on the 
        Department of Education website and provide to colleges and 
        universities the following information to be used for 
        counseling and consumer information for prospective borrowers:
                  ``(A) Regional data on starting salaries in all major 
                fields.
                  ``(B) The increase in debt that results from 
                forbearance on all loans and from capitalization of 
                interest on unsubsidized loans.
                  ``(C) The various repayment options available in the 
                Federal student loan programs, including the 
                availability of the income contingent repayment (ICR) 
                program and the income-based repayment programs (IBR).
                  ``(D) The Federal Government's powers to collect 
                student loans, even when student borrowers are in 
                bankruptcy.
          ``(2) Publicity.--The Secretary shall make the location of 
        the information under paragraph (1) widely known among the 
        public, institutions, and lenders, and promote the use of such 
        information by prospective students, enrolled students, and 
        borrowers after entering repayment.''.

SEC. 113. FEASIBILITY STUDY FOR NATIONAL ELECTRONIC STUDENT LOAN 
                    MARKETPLACE.

  (a) Study Required.--The Secretary of Education shall conduct a study 
of the feasibility of developing a National Electronic Student Loan 
Marketplace that would provide for one or more of the following:
          (1) A registry of real-time information on Federal student 
        loans (including loans under parts B and D of title IV of the 
        Higher Education Act of 1965) and private educational loans (as 
        defined in section 151 such Act of 1965 (as amended by this 
        Act)) for both undergraduate and graduate students, and parents 
        of students, for use by prospective borrowers or any person 
        desiring information regarding available interest rates, fees, 
        and other terms from lenders.
          (2) Means by which lenders that participate in such 
        marketplace would be bound to honor advertised rates or 
        benefits.
          (3) A mechanism whereby borrowers and student financial aid 
        officials could publicly post or otherwise make available for 
        users accessing the system their comments, opinions, or ratings 
        concerning their experience as to the quality of lenders' loan 
        products and loan servicing and other measurements or 
        indicators of customer satisfaction.
          (4) A mechanism whereby prospective borrowers could be 
        matched with lenders that offer highly competitive products and 
        loan servicing quality, including any procedures and safeguards 
        necessary to minimize potentially adverse effects of multiple 
        inquiries into participating borrowers' credit histories 
        recorded by credit reporting agencies.
          (5) Options concerning the establishment and ongoing 
        maintenance of such a system, including whether such a system 
        should be operated by one or more nonprofit or for-profit 
        entities, how these entities should structure or organize such 
        a system in order to provide the highest assurance of 
        independence from, and the absence of any conflicting interest 
        with, lenders participating in such a system, and methods to 
        finance such a system at no or minimal cost to consumers and 
        the Government.
          (6) Other features that the Secretary determines could help 
        prospective borrowers make informed decisions in selecting 
        lenders from whom to obtain Federal and private educational 
        loans.
  (b) Consultation.--In conducting the study required by this section, 
the Secretary of Education shall consult with--
          (1) the Federal Trade Commission;
          (2) representatives of student loan borrowers;
          (3) representatives from institutions of higher education, 
        including financial aid administrators, registrars, business 
        officers, and student affairs officials;
          (4) Federal and private education loan lenders, loan 
        servicers, and guaranty agencies; and
          (5) any other appropriate agency that is a member of the 
        Financial Literacy and Education Commission established under 
        the Financial Literacy and Education Improvement Act (20 U.S.C. 
        9701 et seq.).
  (c) Report.--Not later than 6 months after completion of the model 
interest rate report format required under section 153(a)(1) of the 
Higher Education Act of 1965 (as amended by this Act), the Secretary of 
Education shall submit a report to the authorizing committees (as 
defined in section 103 of such Act) concerning the findings of the 
feasibility study together with an assessment of the advantages and 
disadvantages for consumers, institutions of higher education, lenders, 
and the Government of establishing such a system.

                      TITLE II--TITLE II REVISION

SEC. 201. REVISION OF TITLE II.

  Title II (20 U.S.C. 1021 et seq.) is amended to read as follows:

                ``TITLE II--TEACHER QUALITY ENHANCEMENT

``SEC. 200. DEFINITIONS.

  ``For purposes of this title:
          ``(1) Arts and sciences.--The term `arts and sciences' 
        means--
                  ``(A) when referring to an organizational unit of an 
                institution of higher education, any academic unit that 
                offers 1 or more academic majors in disciplines or 
                content areas corresponding to the academic subject 
                matter areas in which teachers provide instruction; and
                  ``(B) when referring to a specific academic subject 
                area, the disciplines or content areas in which 
                academic majors are offered by the arts and sciences 
                organizational unit.
          ``(2) Children from low-income families.--The term `children 
        from low-income families' means children as described in 
        section 1124(c)(1)(A) of the Elementary and Secondary Education 
        Act of 1965.
          ``(3) Core academic subjects.--The term `core academic 
        subjects' has the meaning given the term in section 9101 of the 
        Elementary and Secondary Education Act of 1965.
          ``(4) Early childhood education program.--The term `early 
        childhood education program' means--
                  ``(A) a Head Start program or an Early Head Start 
                program carried out under the Head Start Act (42 U.S.C. 
                9831 et seq.);
                  ``(B) a State licensed or regulated child care 
                program or school; or
                  ``(C) a State prekindergarten program that serves 
                children from birth through kindergarten and that 
                addresses the children's cognitive (including language, 
                early literacy, and pre-numeracy), social, emotional, 
                and physical development.
          ``(5) Early childhood educator.--The term `early childhood 
        educator' means an individual with primary responsibility for 
        the education of children in an early childhood education 
        program.
          ``(6) Educational service agency.--The term `educational 
        service agency' has the meaning given the term in section 9101 
        of the Elementary and Secondary Education Act of 1965.
          ``(7) Essential components of reading instruction.--The term 
        `essential components of reading instruction' has the meaning 
        given such term in section 1208 of the Elementary and Secondary 
        Education Act of 1965.
          ``(8) Exemplary teacher.--The term `exemplary teacher' has 
        the meaning given such term in section 9101 of the Elementary 
        and Secondary Education Act of 1965.
          ``(9) High-need early childhood education program.--The term 
        `high-need early childhood education program' means an early 
        childhood education program serving children from low-income 
        families that is located within the geographic area served by a 
        high-need local educational agency.
          ``(10) High-need local educational agency.--The term `high-
        need local educational agency' means a local educational 
        agency--
                  ``(A)(i) for which not less than 20 percent of the 
                children served by the agency are children from low-
                income families;
                  ``(ii) that serves not fewer than 10,000 children 
                from low-income families; or
                  ``(iii) with a total of less than 600 students in 
                average daily attendance at the schools that are served 
                by the agency, and all of the schools that are served 
                by the agency are designated with a school locale code 
                of Rural: Fringe, Rural: Distant, or Rural: Remote, as 
                determined by the Secretary; and
                  ``(B)(i) for which there is a high percentage of 
                teachers not teaching in the academic subject areas or 
                grade levels in which the teachers were trained to 
                teach; or
                  ``(ii) for which there is a high teacher turnover 
                rate or a high percentage of teachers with emergency, 
                provisional, or temporary certification or licensure.
          ``(11) High-need school.--Notwithstanding section 103, the 
        term `high-need school' means a public elementary school or 
        public secondary school that--
                  ``(A) is among the highest 25 percent of schools 
                served by the local educational agency that serves the 
                school, in terms of the percentage of students from 
                families with incomes below the poverty line; or
                  ``(B) is designated with a school locale code of 
                Rural: Fringe, Rural: Distant, or Rural: Remote, as 
                determined by the Secretary.
          ``(12) Highly competent.--The term `highly competent', when 
        used with respect to an early childhood educator, means an 
        educator--
                  ``(A) with specialized education and training in 
                development and education of young children from birth 
                until entry into kindergarten;
                  ``(B) with--
                          ``(i) a baccalaureate degree in an academic 
                        major in the arts and sciences; or
                          ``(ii) an associate's degree in a related 
                        educational area; and
                  ``(C) who has demonstrated a high level of knowledge 
                and use of content and pedagogy in the relevant areas 
                associated with quality early childhood education.
          ``(13) Highly qualified.--The term `highly qualified' has the 
        meaning given such term in section 9101 of the Elementary and 
        Secondary Education Act of 1965 and, with respect to special 
        education teachers, in section 602 of the Individuals with 
        Disabilities Education Act.
          ``(14) Literacy coach.--The term `literacy coach' means an 
        individual--
                  ``(A) who--
                          ``(i) has teaching experience and a master's 
                        degree with a concentration in reading and 
                        writing education; and
                          ``(ii) has demonstrated proficiency (as 
                        determined by the principal of the individual's 
                        school) in teaching reading and writing in a 
                        content area such as math, science, or social 
                        studies;
                  ``(B) whose primary role with teachers and school 
                personnel is--
                          ``(i) to provide high-quality professional 
                        development opportunities for teachers and 
                        school personnel related to literacy;
                          ``(ii) with respect to the areas of reading 
                        and writing, to collaborate with 
                        paraprofessionals, teachers, principals, and 
                        other administrators, and the community served 
                        by the school; and
                          ``(iii) to work cooperatively and 
                        collaboratively with other professionals in 
                        planning programs to meet the needs of diverse 
                        population learners, including children with 
                        disabilities and limited English proficient 
                        individuals; and
                  ``(C) who may provide students with--
                          ``(i) reading or writing diagnosis and 
                        instruction; and
                          ``(ii) reading and writing assessment, 
                        including assessment in cooperation with other 
                        professionals (such as special education 
                        teachers, speech and language teachers, and 
                        school psychologists).
          ``(15) Poverty line.--The term `poverty line' means the 
        poverty line (as defined in section 673(2) of the Community 
        Services Block Grant Act (42 U.S.C. 9902(2))) applicable to a 
        family of the size involved.
          ``(16) Professional development.--The term `professional 
        development' has the meaning given the term in section 9101 of 
        the Elementary and Secondary Education Act of 1965.
          ``(17) Scientifically valid research.--The term 
        `scientifically valid research' includes applied research, 
        basic research, and field-initiated research in which the 
        rationale, design, and interpretation are soundly developed in 
        accordance with accepted principles of scientific research.
          ``(18) Teaching skills.--The term `teaching skills' means 
        skills that enable a teacher to--
                  ``(A) increase student learning, achievement, and the 
                ability to apply knowledge;
                  ``(B) effectively convey and explain academic subject 
                matter;
                  ``(C) employ strategies grounded in the disciplines 
                of teaching and learning that--
                          ``(i) are based on empirically based practice 
                        and scientifically valid research, where 
                        applicable, related to teaching and learning;
                          ``(ii) are specific to academic subject 
                        matter; and
                          ``(iii) focus on the identification of 
                        students' specific learning needs, particularly 
                        students with disabilities, students who are 
                        limited English proficient, students who are 
                        gifted and talented, and students with low 
                        literacy levels, and the tailoring of academic 
                        instruction to such needs;
                  ``(D) conduct an ongoing assessment of student 
                learning, which may include the use of formative 
                assessments, performance-based assessments, project-
                based assessments, or portfolio assessments, that 
                measure higher-order thinking skills, including 
                application, analysis, synthesis, and evaluation;
                  ``(E) effectively manage a classroom, including the 
                ability to implement positive behavioral intervention 
                support strategies;
                  ``(F) communicate and work with parents and 
                guardians, and involve parents and guardians in their 
                children's education; and
                  ``(G) use, in the case of an early childhood 
                educator, age-appropriate and developmentally 
                appropriate strategies and practices for children in 
                early education programs.

``SEC. 200A. RULE OF CONSTRUCTION.

  ``Nothing in this title shall be construed to alter or otherwise 
affect the rights, remedies, and procedures afforded to the employees 
of local educational agencies under Federal, State, or local laws 
(including applicable regulations or court orders) or under the terms 
of collective bargaining agreements, memoranda of understanding, or 
other agreements between such employees and their employers, including 
the right of employees of local educational agencies to engage in 
collective bargaining with their employers.

              ``PART A--TEACHER QUALITY PARTNERSHIP GRANTS

``SEC. 201. PURPOSES; DEFINITIONS.

  ``(a) Purposes.--The purposes of this part are to--
          ``(1) improve student achievement;
          ``(2) improve the quality of the current and future teaching 
        force by improving the preparation of prospective teachers and 
        enhancing professional development activities;
          ``(3) hold teacher preparation programs at institutions of 
        higher education accountable for preparing highly qualified 
        teachers; and
          ``(4) recruit highly qualified individuals, including 
        minorities and individuals from other occupations, into the 
        teaching force.
  ``(b) Definitions.--In this part:
          ``(1) Eligible partnership.--The term `eligible partnership' 
        means an entity that--
                  ``(A) shall include--
                          ``(i) a high-need local educational agency;
                          ``(ii) a high-need school or a consortium of 
                        high-need schools served by the high-need local 
                        educational agency or, as applicable, a high-
                        need early childhood education program;
                          ``(iii) a partner institution;
                          ``(iv) a school, department, or program of 
                        education within such partner institution or a 
                        teacher professional development program within 
                        such partner institution; and
                          ``(v) a school or department of arts and 
                        sciences within such partner institution; and
                  ``(B) may include any of the following:
                          ``(i) The Governor of the State.
                          ``(ii) The State educational agency.
                          ``(iii) The State board of education.
                          ``(iv) The State agency for higher education.
                          ``(v) A business.
                          ``(vi) A public or private nonprofit 
                        educational organization.
                          ``(vii) An educational service agency.
                          ``(viii) A teacher organization.
                          ``(ix) A high-performing local educational 
                        agency, or a consortium of such local 
                        educational agencies, that can serve as a 
                        resource to the partnership.
                          ``(x) A charter school (as defined in section 
                        5210 of the Elementary and Secondary Education 
                        Act of 1965).
                          ``(xi) A school or department within the 
                        partner institution that focuses on psychology 
                        and human development.
                          ``(xii) A school or department within the 
                        partner institution with comparable expertise 
                        in the disciplines of teaching, learning, and 
                        child and adolescent development.
                          ``(xiii) An entity operating a program that 
                        provides alternative routes to State 
                        certification of teachers.
          ``(2) Induction program.--The term `induction program' means 
        a formalized program for new teachers during not less than the 
        teachers' first 2 years of teaching that is designed to provide 
        support for, and improve the professional performance and 
        advance the retention in the teaching field of, beginning 
        teachers. Such program shall promote effective teaching skills 
        and shall include the following components:
                  ``(A) High-quality teacher mentoring.
                  ``(B) Periodic, structured time for collaboration 
                with mentor teachers in the same department or field, 
                as well as time for information-sharing among teachers, 
                principals, administrators, and participating faculty 
                in the partner institution.
                  ``(C) The application of empirically based practice 
                and scientifically valid research on instructional 
                practices.
                  ``(D) Opportunities for new teachers to draw directly 
                upon the expertise of teacher mentors, faculty, and 
                researchers to support the integration of empirically 
                based practice and scientifically valid research with 
                practice.
                  ``(E) The development of skills in instructional and 
                behavioral interventions derived from empirically based 
                practice and, where applicable, scientifically valid 
                research.
                  ``(F) Faculty who--
                          ``(i) model the integration of research and 
                        practice in the classroom; and
                          ``(ii) assist new teachers with the effective 
                        use and integration of technology in the 
                        classroom.
                  ``(G) Interdisciplinary collaboration among exemplary 
                teachers, faculty, researchers, and other staff who 
                prepare new teachers with respect to the learning 
                process and the assessment of learning.
                  ``(H) Assistance with the understanding of data, 
                particularly student achievement data, and the data's 
                applicability in classroom instruction.
                  ``(I) Structured and formal observation of new 
                teachers, and feedback for such teachers, at least 4 
                times each school year by multiple evaluators, 
                including master teachers and the principal, using 
                valid and reliable benchmarks of teaching skills and 
                standards developed with input from teachers.
          ``(3) Partner institution.--The term `partner institution' 
        means an institution of higher education, which may include a 
        2-year institution of higher education offering a dual program 
        with a 4-year institution of higher education, participating in 
        an eligible partnership that has a teacher preparation 
        program--
                  ``(A) whose graduates exhibit strong performance on 
                State-determined qualifying assessments for new 
                teachers through--
                          ``(i) demonstrating that 80 percent or more 
                        of the graduates of the program who intend to 
                        enter the field of teaching have passed all of 
                        the applicable State qualification assessments 
                        for new teachers, which shall include an 
                        assessment of each prospective teacher's 
                        subject matter knowledge in the content area in 
                        which the teacher intends to teach; or
                          ``(ii) being ranked among the highest-
                        performing teacher preparation programs in the 
                        State as determined by the State--
                                  ``(I) using criteria consistent with 
                                the requirements for the State report 
                                card under section 205(b); and
                                  ``(II) using the State report card on 
                                teacher preparation required under 
                                section 205(b), after the first 
                                publication of such report card and for 
                                every year thereafter; or
                  ``(B) that requires--
                          ``(i) each student in the program to meet and 
                        demonstrate high academic standards (including 
                        prior to entering and being accepted into a 
                        program) and participate in intensive clinical 
                        experience;
                          ``(ii) each student in the program preparing 
                        to become a teacher to become highly qualified; 
                        and
                          ``(iii) each student in the program preparing 
                        to become an early childhood educator to meet 
                        degree requirements, as established by the 
                        State, and become highly competent.
          ``(4) Teacher mentoring.--The term `teacher mentoring' means 
        the mentoring of new or prospective teachers through a new or 
        established program that--
                  ``(A) includes clear criteria for the selection of 
                teacher mentors who will provide role model 
                relationships for mentees, which criteria shall be 
                developed by the eligible partnership and based on 
                measures of teacher effectiveness;
                  ``(B) provides high-quality training for such 
                mentors, including instructional strategies for 
                literacy instruction and classroom management;
                  ``(C) provides regular and ongoing opportunities for 
                mentors and mentees to observe each other's teaching 
                methods in classroom settings during the day in a high-
                need school in the high-need local educational agency 
                in the eligible partnership;
                  ``(D) provides paid release time for mentors;
                  ``(E) provides mentoring to each mentee by a 
                colleague who teaches in the same field, grade, or 
                subject as the mentee;
                  ``(F) promotes empirically based practice of, and 
                scientifically valid research on, where applicable--
                          ``(i) teaching and learning;
                          ``(ii) assessment of student learning;
                          ``(iii) the development of teaching skills 
                        through the use of instructional and behavioral 
                        interventions; and
                          ``(iv) the improvement of the mentees' 
                        capacity to measurably advance student 
                        learning; and
                  ``(G) includes--
                          ``(i) common planning time or regularly 
                        scheduled collaboration for the mentor and 
                        mentee; and
                          ``(ii) joint professional development 
                        opportunities.
          ``(5) Teaching residency program.--The term `teaching 
        residency program' means a school-based teacher preparation 
        program in which a prospective teacher--
                  ``(A) for 1 academic year, teaches alongside a mentor 
                teacher, who is the teacher of record;
                  ``(B) receives concurrent instruction during the year 
                described in subparagraph (A) from the partner 
                institution, which may include courses taught by local 
                educational agency personnel or residency program 
                faculty, in the teaching of the content area in which 
                the teacher will become certified or licensed;
                  ``(C) acquires effective teaching skills; and
                  ``(D) prior to completion of the program, earns a 
                master's degree, attains full State teacher 
                certification or licensure, and becomes highly 
                qualified.

``SEC. 202. PARTNERSHIP GRANTS.

  ``(a) Program Authorized.--From amounts made available under section 
209, the Secretary is authorized to award grants, on a competitive 
basis, to eligible partnerships, to enable the eligible partnerships to 
carry out the activities described in subsection (c).
  ``(b) Application.--Each eligible partnership desiring a grant under 
this section shall submit an application to the Secretary at such time, 
in such manner, and accompanied by such information as the Secretary 
may require. Each such application shall contain--
          ``(1) a needs assessment of all the partners in the eligible 
        partnership with respect to the preparation, ongoing training, 
        professional development, and retention, of general and special 
        education teachers, principals, and, as applicable, early 
        childhood educators;
          ``(2) a description of the extent to which the program 
        prepares prospective and new teachers with strong teaching 
        skills;
          ``(3) a description of how the program will prepare 
        prospective and new teachers to use research and data to modify 
        and improve instruction in the classroom;
          ``(4) a description of how the partnership will coordinate 
        strategies and activities assisted under the grant with other 
        teacher preparation or professional development programs, 
        including those funded under the Elementary and Secondary 
        Education Act of 1965 and the Individuals with Disabilities 
        Education Act, and through the National Science Foundation, and 
        how the activities of the partnership will be consistent with 
        State, local, and other education reform activities that 
        promote student achievement;
          ``(5) a resource assessment that describes the resources 
        available to the partnership, including--
                  ``(A) the integration of funds from other sources;
                  ``(B) the intended use of the grant funds;
                  ``(C) the commitment of the resources of the 
                partnership, including financial support, faculty 
                participation, and time commitments, to the activities 
                assisted under this section and to the continuation of 
                the activities when the grant ends;
          ``(6) a description of--
                  ``(A) how the partnership will meet the purposes of 
                this part;
                  ``(B) how the partnership will carry out the 
                activities required under subsection (d) or (e) based 
                on the needs identified in paragraph (1), with the goal 
                of improving student achievement;
                  ``(C) the partnership's evaluation plan under section 
                204(a);
                  ``(D) how the partnership will align the teacher 
                preparation program with the--
                          ``(i) State early learning standards for 
                        early childhood education programs, as 
                        appropriate, and with the relevant domains of 
                        early childhood development; and
                          ``(ii) student academic achievement standards 
                        and academic content standards under section 
                        1111(b)(2) of the Elementary and Secondary 
                        Education Act of 1965, established by the State 
                        in which the partnership is located;
                  ``(E) how the partnership will prepare general 
                education teachers to teach students with disabilities, 
                including training related to participation as a member 
                of individualized education program teams, as defined 
                in section 614(d)(1)(B) of the Individuals with 
                Disabilities Education Act;
                  ``(F) how the partnership will prepare general 
                education and special education teachers to teach 
                students with limited English proficiency;
                  ``(G) how faculty at the partner institution will 
                work, during the term of the grant, with highly 
                qualified teachers in the classrooms of schools served 
                by the high-need local educational agency in the 
                partnership to provide high-quality professional 
                development activities;
                  ``(H) how the partnership will design, implement, or 
                enhance a year-long, rigorous, and enriching teaching 
                pre-service clinical program component;
                  ``(I) how the partnership will support in-service 
                professional development strategies and activities; and
                  ``(J) how the partnership will collect, analyze, and 
                use data on the retention of all teachers and early 
                childhood educators in schools and early childhood 
                programs located in the geographic area served by the 
                partnership to evaluate the effectiveness of the 
                partnership's teacher and educator support system; and
          ``(7) with respect to the induction program required as part 
        of the activities carried out under this section--
                  ``(A) a description of how the teacher preparation 
                program will design and implement an induction program 
                to support all new teachers through not less than the 
                first 2 years of teaching in the further development of 
                the new teachers' teaching skills, including the use of 
                mentors who are trained and compensated by such program 
                for the mentors' work with new teachers;
                  ``(B) a demonstration that the schools and 
                departments within the institution of higher education 
                that are part of the induction program have relevant 
                and essential roles in the effective preparation of 
                teachers, including content expertise and expertise in 
                teaching;
                  ``(C) a demonstration of the partnership's capability 
                and commitment to the use of empirically based practice 
                and scientifically valid research related to teaching 
                and learning, and the accessibility to and involvement 
                of faculty;
                  ``(D) a description of how faculty involved in the 
                induction program will be able to substantially 
                participate in an early childhood education program or 
                an elementary or secondary school classroom setting, as 
                applicable, including release time and receiving 
                workload credit for such participation.
  ``(c) Required Use of Grant Funds.--An eligible partnership that 
receives a grant under this section shall use grant funds to carry out 
a program for the pre-baccalaureate preparation of teachers under 
subsection (d), a teaching residency program under subsection (e), a 
leadership development program under subsection (f), or a combination 
of two or more such programs.
  ``(d) Partnership Grants for Pre-Baccalaureate Preparation of 
Teachers.--An eligible partnership that receives a grant to carry out 
an effective program for the pre-baccalaureate preparation of teachers 
shall carry out a program that includes all of the following:
          ``(1) Reforms.--
                  ``(A) In general.--Implementing reforms, described in 
                subparagraph (B), within each teacher preparation 
                program and, as applicable, each preparation program 
                for early childhood education programs, of the eligible 
                partnership that is assisted under this section, to 
                hold each program accountable for--
                          ``(i) preparing--
                                  ``(I) current or prospective teachers 
                                to be highly qualified (including 
                                teachers in rural school districts who 
                                may teach multiple subjects, special 
                                educators, teachers of students who are 
                                limited English proficient who may 
                                teach multiple subjects, and teachers 
                                who are qualified to teach Advanced 
                                Placement or International 
                                Baccalaureate courses);
                                  ``(II) such teachers and, as 
                                applicable, early childhood educators, 
                                to understand empirically based 
                                practice and scientifically valid 
                                research related to teaching and 
                                learning and its applicability, and to 
                                use technology effectively, including 
                                the use of instructional techniques and 
                                positive behavioral support strategies 
                                to improve student achievement; and
                                  ``(III) as applicable, early 
                                childhood educators to be highly 
                                competent; and
                          ``(ii) promoting strong teaching skills and, 
                        as applicable, techniques for early childhood 
                        educators to improve children's cognitive, 
                        social, emotional, and physical development.
                  ``(B) Required reforms.--The reforms described in 
                subparagraph (A) shall include--
                          ``(i) implementing teacher preparation 
                        program curriculum changes that improve, 
                        evaluate, and assess how well all prospective 
                        and new teachers develop teaching skills;
                          ``(ii) using empirically based practice and 
                        scientifically valid research, where 
                        applicable, about the disciplines of teaching 
                        and learning so that all prospective teachers 
                        and, as applicable, early childhood educators--
                                  ``(I) can understand and implement 
                                research-based teaching practices in 
                                classroom-based instruction;
                                  ``(II) have knowledge of student 
                                learning methods;
                                  ``(III) possess skills to analyze 
                                student academic achievement data and 
                                other measures of student learning, and 
                                use such data and measures to improve 
                                instruction in the classroom;
                                  ``(IV) possess teaching skills and an 
                                understanding of effective 
                                instructional strategies across all 
                                applicable content areas that enable 
                                general and special education teachers 
                                and early childhood educators to--
                                          ``(aa) meet the specific 
                                        learning needs of all students, 
                                        including students with 
                                        disabilities, students who are 
                                        limited English proficient, 
                                        students who are gifted and 
                                        talented, students with low 
                                        literacy levels and, as 
                                        applicable, children in early 
                                        childhood education programs; 
                                        and
                                          ``(bb) differentiate 
                                        instruction for such students;
                                  ``(V) can effectively participate in 
                                the individualized education program 
                                process, as defined in section 
                                614(d)(1)(B) of the Individuals with 
                                Disabilities Education Act; and
                                  ``(VI) can successfully employ 
                                effective strategies for reading 
                                instruction using the essential 
                                components of reading instruction;
                          ``(iii) ensuring collaboration with 
                        departments, programs, or units of a partner 
                        institution outside of the teacher preparation 
                        program in all academic content areas to ensure 
                        that new teachers receive training in both 
                        teaching and relevant content areas in order to 
                        become highly qualified, which may include 
                        training in multiple subjects to teach multiple 
                        grade levels as may be needed for individuals 
                        preparing to teach in rural communities;
                          ``(iv) developing and implementing an 
                        induction program;
                          ``(v) developing admissions goals and 
                        priorities aligned with the hiring objectives 
                        of the high-need local educational agency in 
                        the eligible partnership; and
                          ``(vi) implementing program curriculum 
                        changes to prepare teachers to teach Advanced 
                        Placement or International Baccalaureate 
                        courses.
          ``(2) Clinical experience and interaction.--Developing and 
        improving a sustained and high-quality pre-service clinical 
        education program to further develop the teaching skills of all 
        prospective teachers and, as applicable, early childhood 
        educators, involved in the program. Such program shall do the 
        following:
                  ``(A) Incorporate year-long opportunities for 
                enrichment activity or a combination of activities, 
                including--
                          ``(i) clinical learning in classrooms in 
                        high-need schools served by the high-need local 
                        educational agency in the eligible partnership 
                        and identified by the eligible partnership; and
                          ``(ii) closely supervised interaction between 
                        faculty and new and experienced teachers, 
                        principals, and other administrators at early 
                        childhood education programs (as applicable), 
                        elementary schools, or secondary schools, and 
                        providing support for such interaction.
                  ``(B) Integrate pedagogy and classroom practice and 
                promote effective teaching skills in academic content 
                areas, which may include preparation for meeting the 
                unique needs of teaching in rural communities.
                  ``(C) Provide high-quality teacher mentoring.
                  ``(D)(i) Be offered over the course of a program of 
                teacher preparation;
                  ``(ii) be tightly aligned with course work (and may 
                be developed as a 5th year of a teacher preparation 
                program); and
                  ``(iii) where feasible, allow prospective teachers to 
                learn to teach in the same school district in which the 
                teachers will work, learning the instructional 
                initiatives and curriculum of that district.
                  ``(E) Provide support and training for those 
                individuals participating in an activity for 
                prospective teachers described in this paragraph or 
                paragraph (1) or (3), and for those who serve as 
                mentors for such teachers, based on each individual's 
                experience. Such support may include--
                          ``(i) with respect to a prospective teacher 
                        or a mentor, release time for such individual's 
                        participation;
                          ``(ii) with respect to a faculty member, 
                        receiving course workload credit and 
                        compensation for time teaching in the eligible 
                        partnership's activities; and
                          ``(iii) with respect to a mentor, a stipend, 
                        which may include bonus, differential, 
                        incentive, or merit or performance-based pay.
          ``(3) Induction programs for new teachers.--Creating an 
        induction program for new teachers, or, in the case of an early 
        childhood education program, providing mentoring or coaching 
        for new early childhood educators.
          ``(4) Support and training for participants in early 
        childhood education programs.--In the case of an eligible 
        partnership focusing on early childhood educator preparation, 
        implementing initiatives that increase compensation for early 
        childhood educators who attain associate or baccalaureate 
        degrees in early childhood education.
          ``(5) Teacher recruitment.--Developing and implementing 
        effective mechanisms (which may include alternative routes to 
        State certification of teachers) to ensure that the eligible 
        partnership is able to recruit qualified individuals to become 
        highly qualified teachers through the activities of the 
        eligible partnership, which may include an emphasis on 
        recruiting into the teaching profession--
                  ``(A) underrepresented populations;
                  ``(B) individuals to teach in rural communities and 
                teacher shortage areas, including mathematics, science, 
                special education, and instruction of limited English 
                proficient students; and
                  ``(C) mid-career professionals from other 
                occupations, former military personnel, and recent 
                college graduates with proven records of academic 
                distinction.
          ``(6) Literacy training.--Developing and implementing a 
        program to strengthen content knowledge and teaching skills of 
        elementary and secondary school literacy coaches that--
                  ``(A) provides teacher training in reading 
                instruction for literacy coaches who--
                          ``(i) train classroom teachers to implement 
                        literacy programs; or
                          ``(ii) tutor students with intense 
                        individualized reading, writing, and subject 
                        matter instruction during or beyond the school 
                        day;
                  ``(B) develops or redesigns rigorous evidenced-based 
                reading curricula that are aligned with challenging 
                State academic content standards, as required under 
                section 1111(b)(1) of the Elementary and Secondary 
                Education Act of 1965, and with postsecondary standards 
                for reading and writing;
                  ``(C) provides opportunities for teachers to plan and 
                assess instruction with other teachers, school leaders, 
                and faculty at institutions of higher education;
                  ``(D) provides training and professional development 
                for principals to prepare them to understand the 
                teaching of reading, guide instruction, and foster 
                school improvement; and
                  ``(E) establishes an evaluation and accountability 
                plan for activities conducted under this paragraph to 
                measure the impact of such activities.
  ``(e) Partnership Grants for the Establishment of Teaching Residency 
Programs.--
          ``(1) In general.--An eligible partnership receiving a grant 
        to carry out an effective teaching residency program shall 
        carry out a program that includes all of the following 
        activities:
                  ``(A) Supporting a teaching residency program 
                described in paragraph (2) for high-need subjects and 
                areas, as determined by the needs of the high-need 
                local educational agency in the partnership.
                  ``(B) Modifying staffing procedures to provide 
                greater flexibility for local educational agency and 
                school leaders to establish effective school-level 
                staffing in order to facilitate placement of graduates 
                of the teaching residency program in cohorts that 
                facilitate professional collaboration, both among 
                graduates of the teaching residency program and between 
                such graduates and mentor teachers in the receiving 
                school.
                  ``(C) Ensuring that teaching residents that 
                participated in the teaching residency program 
                receive--
                          ``(i) effective pre-service preparation as 
                        described in paragraph (2);
                          ``(ii) teacher mentoring;
                          ``(iii) induction through the induction 
                        program as the teaching residents enter the 
                        classroom as new teachers; and
                          ``(iv) the preparation described in 
                        subparagraphs (A), (B), and (C) of subsection 
                        (d)(2).
          ``(2) Teaching residency programs.--
                  ``(A) Establishment and design.--A teaching residency 
                program under this subsection shall be a program based 
                upon models of successful teaching residencies that 
                serves as a mechanism to prepare teachers for success 
                in the high-need schools in the eligible partnership, 
                and shall be designed to include the following 
                characteristics of successful programs:
                          ``(i) The integration of pedagogy, classroom 
                        practice, and teacher mentoring.
                          ``(ii) Engagement of teaching residents in 
                        rigorous graduate-level course work to earn a 
                        master's degree while undertaking a guided 
                        teaching apprenticeship.
                          ``(iii) Experience and learning opportunities 
                        alongside a trained and experienced mentor 
                        teacher--
                                  ``(I) whose teaching shall complement 
                                the residency program so that classroom 
                                clinical practice is tightly aligned 
                                with course work;
                                  ``(II) who shall have extra 
                                responsibilities as a teacher leader of 
                                the teaching residency program, as a 
                                mentor for residents, and as a teacher 
                                coach during the induction program for 
                                novice teachers, and for establishing, 
                                within the program, a learning 
                                community in which all individuals are 
                                expected to continually improve their 
                                capacity to advance student learning; 
                                and
                                  ``(III) who may have full relief from 
                                teaching duties as a result of such 
                                additional responsibilities.
                          ``(iv) The establishment of clear criteria 
                        for the selection of mentor teachers based on 
                        measures of teacher effectiveness and the 
                        appropriate subject area knowledge. Evaluation 
                        of teacher effectiveness shall be based on 
                        observations of such domains of teaching as the 
                        following:
                                  ``(I) Planning and preparation, 
                                including demonstrated knowledge of 
                                content, pedagogy, and assessment, 
                                including the use of formative 
                                assessments to improve student 
                                learning.
                                  ``(II) Appropriate instruction that 
                                engages students with different 
                                learning styles, including students 
                                with disabilities.
                                  ``(III) Collaboration with colleagues 
                                to improve instruction.
                                  ``(IV) Analysis of gains in student 
                                learning, based on multiple measures, 
                                that, when feasible, may include valid 
                                and reliable objective measures of the 
                                influence of teachers on the rate of 
                                student academic progress.
                                  ``(V) In the case of mentor 
                                candidates who will be mentoring 
                                current or future literacy and 
                                mathematics coaches or instructors, 
                                appropriate skills in the essential 
                                components of reading instruction, 
                                teacher training in literacy 
                                instructional strategies across core 
                                subject areas, and teacher training in 
                                mathematics instructional strategies, 
                                as appropriate.
                          ``(v) Grouping of teaching residents in 
                        cohorts to facilitate professional 
                        collaboration among such residents.
                          ``(vi) The development of admissions goals 
                        and priorities aligned with the hiring 
                        objectives of the local educational agency 
                        partnering with the program, as well as the 
                        instructional initiatives and curriculum of the 
                        agency, in exchange for a commitment by the 
                        agency to hire graduates from the teaching 
                        residency program.
                          ``(vii) Support for residents, once the 
                        teaching residents are hired as teachers of 
                        record, through an induction program, 
                        professional development, and networking 
                        opportunities to support the residents through 
                        not less than the residents' first 2 years of 
                        teaching.
                          ``(viii) Admission goals and priorities which 
                        may include consideration of applicants who 
                        reflect the communities in which they will 
                        teach as well as consideration of individuals 
                        from underrepresented populations in the 
                        teaching profession.
                  ``(B) Selection of individuals as teacher 
                residents.--
                          ``(i) Eligible individual.--In order to be 
                        eligible to be a teacher resident in a teaching 
                        residency program under this subsection, an 
                        individual shall--
                                  ``(I) be a recent graduate of a 4-
                                year institution of higher education or 
                                a mid-career professional from outside 
                                the field of education possessing 
                                strong content knowledge or a record of 
                                professional accomplishment; and
                                  ``(II) submit an application to the 
                                teaching residency program.
                          ``(ii) Selection criteria.--An eligible 
                        partnership carrying out a teaching residency 
                        program under this subsection shall establish 
                        criteria for the selection of eligible 
                        individuals to participate in the teaching 
                        residency program based on the following 
                        characteristics:
                                  ``(I) Strong content knowledge or 
                                record of accomplishment in the field 
                                or subject area to be taught.
                                  ``(II) Strong verbal and written 
                                communication skills, which may be 
                                demonstrated by performance on 
                                appropriate tests.
                                  ``(III) Other attributes linked to 
                                effective teaching, which may be 
                                determined by interviews or performance 
                                assessments, as specified by the 
                                eligible partnership.
                  ``(C) Stipend and service requirement.--
                          ``(i) Stipend.--A teaching residency program 
                        under this paragraph shall provide a 1-year 
                        living stipend or salary to teaching residents 
                        during the 1-year teaching residency program.
                          ``(ii) Service requirement.--As a condition 
                        of receiving a stipend under this subparagraph, 
                        a teaching resident shall agree to teach in a 
                        high-need school served by the high-need local 
                        educational agency in the eligible partnership 
                        for a period of 3 or more years after 
                        completing the 1-year teaching residency 
                        program.
                          ``(iii) Repayment.--If a teaching resident 
                        who received a stipend under this subparagraph 
                        does not complete the service requirement 
                        described in clause (ii), such individual shall 
                        repay to the high-need local educational agency 
                        a pro rata portion of the stipend amount for 
                        the amount of teaching time that the individual 
                        did not complete.
  ``(f) Partnership Grants for the Development of Leadership 
Programs.--
          ``(1) In general.--An eligible partnership receiving a grant 
        to carry out an effective leadership program shall carry out a 
        program that includes all of the following activities:
                  ``(A) Preparing students currently enrolled or 
                preparing to enroll in education administration 
                programs in preparation for careers as superintendents, 
                principals, or other school administrators (including 
                students preparing to work in rural school districts 
                who may perform multiple duties in addition to the role 
                of administrator).
                  ``(B) Promoting strong administrative skills and, as 
                applicable, techniques for education administrators to 
                improve the school environment and effectively manage 
                schools.
                  ``(C) Ensuring that students who participate in the 
                leadership program receive--
                          ``(i) effective pre-service preparation as 
                        described in subparagraph (D); and
                          ``(ii) mentoring by educational 
                        administrators.
                  ``(D) Developing and improving a sustained and high-
                quality pre-service clinical education program to 
                further develop the leadership skills of all 
                prospective educational administrators involved in the 
                program. Such program shall do the following:
                          ``(i) Incorporate year-long opportunities for 
                        enrichment activity or a combination of 
                        activities, including--
                                  ``(I) clinical learning in high-need 
                                schools served by the high-need local 
                                educational agency in the eligible 
                                partnership and identified by the 
                                eligible partnership; and
                                  ``(II) closely supervised interaction 
                                between faculty and new and experienced 
                                teachers, principals, and other 
                                administrators in high-need schools 
                                served by the high-need local 
                                educational agency in the eligible 
                                partnership and identified by the 
                                eligible partnership.
                          ``(ii) Integrate pedagogy and practice and 
                        promote effective administrative skills for 
                        meeting the unique needs of rural and 
                        geographically isolated communities.
                          ``(iii) Educational administrator mentoring.
                  ``(E) Creating an induction program for new 
                administrators.
                  ``(F) Developing and implementing effective 
                mechanisms to ensure that the eligible partnership is 
                able to recruit qualified individuals to become 
                educational administrators through the activities of 
                the eligible partnership, which may include an emphasis 
                on recruiting into the education administration 
                profession--
                          ``(i) underrepresented populations;
                          ``(ii) individuals to serve as 
                        superintendents, principals, or other school 
                        administrators in rural and geographically 
                        isolated communities and shortage areas 
                        designated by the Secretary; or
                          ``(iii) mid-career professionals from other 
                        occupations, former military personnel, and 
                        recent college graduates with proven records of 
                        academic distinction.
          ``(2) Selection of individuals for the leadership program.--
        In order to be eligible for the leadership program under this 
        subsection, an individual shall--
                  ``(A) be enrolled in or preparing to enroll in an 
                institution of higher education, or a recent graduate 
                of an institution of higher education, or a mid-career 
                professional from outside the field of education 
                possessing strong content knowledge or a record of 
                professional accomplishment;
                  ``(B) be current teachers who would like to become 
                principals or principals who would like to be 
                superintendents; and
                  ``(C) submit an application to the leadership 
                program.
  ``(g) Consultation.--
          ``(1) In general.--Members of an eligible partnership that 
        receives a grant under this section shall engage in regular 
        consultation throughout the development and implementation of 
        programs and activities under this section.
          ``(2) Regular communication.--To ensure timely and meaningful 
        consultation, regular communication shall occur among all 
        members of the eligible partnership, including the high-need 
        local educational agency. Such communication shall continue 
        throughout the implementation of the grant and the assessment 
        of programs and activities under this section.
          ``(3) Written consent.--The Secretary may approve changes in 
        grant activities of a grant under this section only if a 
        written consent signed by all members of the eligible 
        partnership is submitted to the Secretary.
  ``(h) Construction.--Nothing in this section shall be construed to 
prohibit an eligible partnership from using grant funds to coordinate 
with the activities of eligible partnerships in other States or on a 
regional basis through Governors, State boards of education, State 
educational agencies, State agencies responsible for early childhood 
education, local educational agencies, or State agencies for higher 
education.
  ``(i) Supplement, Not Supplant.--Funds made available to carry out 
this section shall be used to supplement, and not supplant, other 
Federal, State, and local funds that would otherwise be expended to 
carry out activities under this section.

``SEC. 203. ADMINISTRATIVE PROVISIONS.

  ``(a) Duration; Number of Awards; Payments.--
          ``(1) Duration.--A grant awarded under this part shall be 
        awarded for a period of 5 years.
          ``(2) Number of awards.--An eligible partnership may not 
        receive more than 1 grant during a 5-year period. Nothing in 
        this title shall be construed to prohibit an individual member, 
        that can demonstrate need, of an eligible partnership that 
        receives a grant under this title from entering into another 
        eligible partnership consisting of new members and receiving a 
        grant with such other eligible partnership before the 5-year 
        period described in the preceding sentence applicable to the 
        eligible partnership with which the individual member has first 
        partnered has expired.
          ``(3) Payments.--The Secretary shall make annual payments of 
        grant funds awarded under this part.
  ``(b) Peer Review.--
          ``(1) Panel.--The Secretary shall provide the applications 
        submitted under this part to a peer review panel for 
        evaluation. With respect to each application, the peer review 
        panel shall initially recommend the application for funding or 
        for disapproval.
          ``(2) Priority.--In recommending applications to the 
        Secretary for funding under this part, the panel shall give 
        priority--
                  ``(A) to partnerships that include an institution of 
                higher education whose teacher preparation program has 
                a rigorous selection process to ensure the highest 
                quality of students entering such programs; and
                  ``(B)(i) to applications from broad-based eligible 
                partnerships that involve businesses and community 
                organizations; or
                  ``(ii) to eligible partnerships so that the awards 
                promote an equitable geographic distribution of grants 
                among rural and urban areas.
          ``(3) Secretarial selection.--The Secretary shall determine, 
        based on the peer review process, which applications shall 
        receive funding and the amounts of the grants. In determining 
        the grant amount, the Secretary shall take into account the 
        total amount of funds available for all grants under this part 
        and the types of activities proposed to be carried out by the 
        eligible partnership.
  ``(c) Matching Requirements.--
          ``(1) In general.--Each eligible partnership receiving a 
        grant under this part shall provide, from non-Federal sources, 
        an amount equal to 100 percent of the amount of the grant, 
        which may be provided in cash or in-kind, to carry out the 
        activities supported by the grant.
          ``(2) Waiver.--The Secretary may waive all or part of the 
        matching requirement described in paragraph (1) for any fiscal 
        year for an eligible partnership, if the Secretary determines 
        that applying the matching requirement to the eligible 
        partnership would result in serious hardship or an inability to 
        carry out the authorized activities described in this part.
  ``(d) Limitation on Administrative Expenses.--An eligible partnership 
that receives a grant under this part may use not more than 2 percent 
of the grant funds for purposes of administering the grant.

``SEC. 204. ACCOUNTABILITY AND EVALUATION.

  ``(a) Eligible Partnership Evaluation.--Each eligible partnership 
submitting an application for a grant under this part shall establish 
and include in such application an evaluation plan that includes strong 
performance objectives. The plan shall include objectives and measures 
for increasing--
          ``(1) student achievement for all students as measured by the 
        eligible partnership;
          ``(2) teacher retention in the first 3 years of a teacher's 
        career;
          ``(3) improvement in the pass rates and scaled scores for 
        initial State certification or licensure of teachers; and
          ``(4)(A) the percentage of highly qualified teachers hired by 
        the high-need local educational agency participating in the 
        eligible partnership;
          ``(B) the percentage of such teachers who are members of 
        underrepresented groups;
          ``(C) the percentage of such teachers who teach high-need 
        academic subject areas (such as reading, mathematics, science, 
        and foreign languages, including less commonly taught languages 
        and critical foreign languages);
          ``(D) the percentage of such teachers who teach in high-need 
        areas (including special education, language instruction 
        educational programs for limited English proficient students, 
        and early childhood education);
          ``(E) the percentage of such teachers in high-need schools, 
        disaggregated by the elementary, middle, and high school 
        levels;
          ``(F) as applicable, the percentage of early childhood 
        education program classes in the geographic area served by the 
        eligible partnership taught by early childhood educators who 
        are highly competent; and
          ``(G) as applicable, the number of teachers trained 
        effectively to integrate technology into curricula and 
        instruction and who use technology to collect, manage, and 
        analyze data to improve teaching, learning, and decision making 
        for the purpose of improving student academic achievement.
  ``(b) Information.--An eligible partnership receiving a grant under 
this part shall ensure that teachers, principals, school 
superintendents, and faculty and leadership at institutions of higher 
education located in the geographic areas served by the eligible 
partnership are provided information about the activities carried out 
with funds under this part, including through electronic means.
  ``(c) Revocation of Grant.--If the Secretary determines that an 
eligible partnership receiving a grant under this part is not making 
substantial progress in meeting the purposes, goals, objectives, and 
measures, as appropriate, of the grant by the end of the third year of 
a grant under this part, then the Secretary shall require such eligible 
partnership to submit a revised application that identifies the steps 
the partnership will take to make substantial progress to meet the 
purposes, goals, objectives, and measures, as appropriate, of this 
part.
  ``(d) Evaluation and Dissemination.--The Secretary shall evaluate the 
activities funded under this part and report the findings regarding the 
evaluation of such activities to the authorizing committees. The 
Secretary shall broadly disseminate--
          ``(1) successful practices developed by eligible partnerships 
        under this part; and
          ``(2) information regarding such practices that were found to 
        be ineffective.

``SEC. 205. ACCOUNTABILITY FOR PROGRAMS THAT PREPARE TEACHERS.

  ``(a) Institutional and Program Report Cards on the Quality of 
Teacher Preparation.--
          ``(1) Report card.--Each institution of higher education that 
        conducts a traditional teacher preparation program or 
        alternative routes to State certification or licensure program 
        and that enrolls students receiving Federal assistance under 
        this Act shall report annually to the State and the general 
        public, in a uniform and comprehensible manner that conforms 
        with the definitions and methods established by the Secretary, 
        both for traditional teacher preparation programs and 
        alternative routes to State certification or licensure 
        programs, the following information:
                  ``(A) Pass rates and scaled scores.--For the most 
                recent year for which the information is available for 
                those students who took the assessments and are 
                enrolled in the traditional teacher preparation program 
                or alternative routes to State certification or 
                licensure program, and for those who have taken the 
                assessments and have completed the traditional teacher 
                preparation program or alternative routes to State 
                certification or licensure program during the 2-year 
                period preceding such year, for each of the assessments 
                used for teacher certification or licensure by the 
                State in which the program is located--
                          ``(i) the percentage of students who have 
                        completed 100 percent of the nonclinical course 
                        work and taken the assessment who pass such 
                        assessment;
                          ``(ii) the percentage of all such students 
                        who passed each such assessment;
                          ``(iii) the percentage of students taking an 
                        assessment who enrolled in and completed the 
                        teacher preparation program;
                          ``(iv) the average scaled score for all 
                        students who took each such assessment;
                          ``(v) a comparison of the program's pass 
                        rates with the average pass rates for programs 
                        in the State; and
                          ``(vi) a comparison of the program's average 
                        scaled scores with the average scaled scores 
                        for programs in the State.
                  ``(B) Program information.--The criteria for 
                admission into the program, the number of students in 
                the program (disaggregated by race, ethnicity, and 
                gender), the average number of hours of supervised 
                clinical experience required for those in the program, 
                the number of full-time equivalent faculty and students 
                in the supervised clinical experience, and the total 
                number of students who have been certified or licensed 
                as teachers, disaggregated by subject and area of 
                certification or licensure.
                  ``(C) Statement.--In States that require approval or 
                accreditation of teacher preparation programs, a 
                statement of whether the institution's program is so 
                approved or accredited, and by whom.
                  ``(D) Designation as low-performing.--Whether the 
                program has been designated as low-performing by the 
                State under section 208(a).
                  ``(E) Use of technology.--A description of the 
                activities that prepare teachers to effectively 
                integrate technology into curricula and instruction and 
                effectively use technology to collect, manage, and 
                analyze data in order to improve teaching, learning, 
                and decision making for the purpose of increasing 
                student academic achievement.
                  ``(F) Teacher training.--A description of the 
                activities that prepare general and special education 
                teachers to effectively teach students with 
                disabilities, including training related to 
                participation as a member of individualized education 
                program teams, as defined in section 614(d)(1)(B) of 
                the Individuals with Disabilities Education Act, and to 
                effectively teach students with limited English 
                proficiency.
          ``(2) Report.--Each eligible partnership receiving a grant 
        under section 202 shall report annually on the progress of the 
        eligible partnership toward meeting the purposes of this part 
        and the objectives and measures described in section 204(a).
          ``(3) Fines.--The Secretary may impose a fine not to exceed 
        $25,000 on an institution of higher education for failure to 
        provide the information described in this subsection in a 
        timely or accurate manner.
          ``(4) Special rule.--In the case of an institution of higher 
        education that conducts a traditional teacher preparation 
        program or alternative routes to State certification or 
        licensure program and has fewer than 10 scores reported on any 
        single initial teacher certification or licensure assessment 
        during an academic year, the institution shall collect and 
        publish information, as required under paragraph (1)(A), with 
        respect to an average pass rate and scaled score on each State 
        certification or licensure assessment taken over a 3-year 
        period.
  ``(b) State Report Card on the Quality of Teacher Preparation.--
          ``(1) In general.--Each State that receives funds under this 
        Act shall provide to the Secretary, annually, in a uniform and 
        comprehensible manner that conforms with the definitions and 
        methods established by the Secretary, a State report card on 
        the quality of teacher preparation in the State, both for 
        traditional teacher preparation programs and for alternative 
        routes to State certification or licensure programs, which 
        shall include not less than the following:
                  ``(A) A description of the reliability and validity 
                of the teacher certification and licensure assessments, 
                and any other certification and licensure requirements, 
                used by the State.
                  ``(B) The standards and criteria that prospective 
                teachers must meet to attain initial teacher 
                certification or licensure and to be certified or 
                licensed to teach particular academic subject areas or 
                in particular grades within the State.
                  ``(C) A description of how the assessments and 
                requirements described in subparagraph (A) are aligned 
                with the State's challenging academic content standards 
                required under section 1111(b)(1) of the Elementary and 
                Secondary Education Act of 1965 and State early 
                learning standards for early childhood education 
                programs.
                  ``(D) For each of the assessments used by the State 
                for teacher certification or licensure--
                          ``(i) for each institution of higher 
                        education located in the State and each entity 
                        located in the State that offers an alternative 
                        route for teacher certification or licensure, 
                        the percentage of students at such institution 
                        or entity who have completed 100 percent of the 
                        nonclinical course work and taken the 
                        assessment who pass such assessment;
                          ``(ii) the percentage of all such students at 
                        all such institutions taking the assessment who 
                        pass such assessment; and
                          ``(iii) the percentage of students taking an 
                        assessment who enrolled in and completed the 
                        teacher preparation program.
                  ``(E) A description of alternative routes to teacher 
                certification or licensure in the State (including any 
                such routes operated by entities that are not 
                institutions of higher education), if any, including, 
                for each of the assessments used by the State for 
                teacher certification or licensure--
                          ``(i) the percentage of individuals 
                        participating in such routes, or who have 
                        completed such routes during the 2-year period 
                        preceding the date of the determination, who 
                        passed each such assessment; and
                          ``(ii) the average scaled score of 
                        individuals participating in such routes, or 
                        who have completed such routes during the 
                        period preceding the date of the determination, 
                        who took each such assessment.
                  ``(F) A description of the State's criteria for 
                assessing the performance of teacher preparation 
                programs within institutions of higher education in the 
                State. Such criteria shall include indicators of the 
                academic content knowledge and teaching skills of 
                students enrolled in such programs.
                  ``(G) For each teacher preparation program in the 
                State, the criteria for admission into the program, the 
                number of students in the program, disaggregated by 
                race, ethnicity, and gender (except that such 
                disaggregation shall not be required in a case in which 
                the number of students in a category is insufficient to 
                yield statistically reliable information or the results 
                would reveal personally identifiable information about 
                an individual student), the average number of hours of 
                supervised clinical experience required for those in 
                the program, and the number of full-time equivalent 
                faculty, adjunct faculty, and students in supervised 
                clinical experience.
                  ``(H) For the State as a whole, and for each teacher 
                preparation program in the State, the number of 
                teachers prepared, in the aggregate and reported 
                separately by--
                          ``(i) area of certification or licensure;
                          ``(ii) academic major; and
                          ``(iii) subject area for which the teacher 
                        has been prepared to teach.
                  ``(I) Using the data generated under subparagraphs 
                (G) and (H), a description of the extent to which 
                teacher preparation programs are helping to address 
                shortages of highly qualified teachers, by area of 
                certification or licensure, subject, and specialty, in 
                the State's public schools.
                  ``(J) A description of the activities that prepare 
                general and special education teachers to effectively 
                teach students with disabilities, including training 
                related to participation as a member of individualized 
                education program teams, as defined in section 
                614(d)(1)(B) of the Individuals with Disabilities 
                Education Act.
                  ``(K) A description of the activities that prepare 
                teachers to effectively integrate technology into 
                curricula and instruction and effectively use 
                technology to collect, manage, and analyze data to 
                improve teaching, learning, and decision making for the 
                purpose of increasing student academic achievement.
                  ``(L) A description of the activities that prepare 
                general education and special education teachers to 
                effectively teach students with limited English 
                proficiency.
          ``(2) Prohibition against creating a national list.--The 
        Secretary shall not create a national list or ranking of 
        States, institutions, or schools using the scaled scores 
        provided under this subsection.
  ``(c) Data Quality.--The Secretary shall prescribe regulations 
requiring practices and procedures to ensure the reliability, validity, 
integrity, and accuracy of the data submitted pursuant to this section.
  ``(d) Report of the Secretary on the Quality of Teacher 
Preparation.--
          ``(1) Report card.--The Secretary shall provide to Congress, 
        and publish and make widely available, a report card on teacher 
        qualifications and preparation in the United States, including 
        all the information reported in subparagraphs (A) through (L) 
        of subsection (b)(1). Such report shall identify States for 
        which eligible partnerships received a grant under this part. 
        Such report shall be so provided, published, and made available 
        annually.
          ``(2) Report to congress.--The Secretary shall prepare and 
        submit a report to Congress that contains the following:
                  ``(A) A comparison of States' efforts to improve the 
                quality of the current and future teaching force.
                  ``(B) A comparison of eligible partnerships' efforts 
                to improve the quality of the current and future 
                teaching force.
                  ``(C) The national mean and median scaled scores and 
                pass rate on any standardized test that is used in more 
                than 1 State for teacher certification or licensure.
          ``(3) Special rule.--In the case of a teacher preparation 
        program with fewer than 10 scores reported on any single 
        initial teacher certification or licensure assessment during an 
        academic year, the Secretary shall collect and publish 
        information, and make publicly available, with respect to an 
        average pass rate and scaled score on each State certification 
        or licensure assessment taken over a 3-year period.
  ``(e) Coordination.--The Secretary, to the extent practicable, shall 
coordinate the information collected and published under this part 
among States for individuals who took State teacher certification or 
licensure assessments in a State other than the State in which the 
individual received the individual's most recent degree.

``SEC. 206. TEACHER DEVELOPMENT.

  ``(a) Annual Goals.--As a condition of receiving assistance under 
title IV, each institution of higher education that conducts a 
traditional teacher preparation program (including programs that offer 
any ongoing professional development programs) or alternative routes to 
State certification or licensure program, and that enrolls students 
receiving Federal assistance under this Act, shall set annual 
quantifiable goals for--
          ``(1) increasing the number of prospective teachers trained 
        in teacher shortage areas designated by the Secretary, 
        including mathematics, science, special education, and 
        instruction of limited English proficient students; and
          ``(2) more closely linking the training provided by the 
        institution with the needs of schools and the instructional 
        decisions new teachers face in the classroom.
  ``(b) Assurance.--As a condition of receiving assistance under title 
IV, each institution described in subsection (a) shall provide an 
assurance to the Secretary that--
          ``(1) training provided to prospective teachers responds to 
        the identified needs of the local educational agencies or 
        States where the institution's graduates are likely to teach, 
        based on past hiring and recruitment trends;
          ``(2) prospective special education teachers receive course 
        work in core academic subjects and receive training in 
        providing instruction in core academic subjects;
          ``(3) general education teachers receive training in 
        providing instruction to diverse populations, including 
        children with disabilities, limited English proficient 
        students, and children from low-income families; and
          ``(4) prospective teachers receive training on how to 
        effectively teach in urban and rural schools.
  ``(c) Public Reporting.--As part of the annual report card required 
under section 205(a)(1), an institution of higher education described 
in subsection (a) shall publicly report whether the goals established 
under such subsection have been met.

``SEC. 207. STATE FUNCTIONS.

  ``(a) State Assessment.--In order to receive funds under this Act, a 
State shall have in place a procedure to conduct an assessment to 
identify and assist, through the provision of technical assistance, 
low-performing programs of teacher preparation. Such State shall 
provide the Secretary an annual list of such low-performing teacher 
preparation programs that includes an identification of those programs 
at risk of being placed on such list. Such assessment shall be 
described in the report under section 205(b). Levels of performance 
shall be determined solely by the State and may include criteria based 
on information collected pursuant to this part including progress in 
meeting the goals of--
          ``(1) increasing the percentage of highly qualified teachers 
        in the State, including increasing professional development 
        opportunities;
          ``(2) improving student achievement for all students; and
          ``(3) raising the standards for entry into the teaching 
        profession.
  ``(b) Termination of Eligibility.--Any program of teacher preparation 
from which the State has withdrawn the State's approval, or terminated 
the State's financial support, due to the low performance of the 
program based upon the State assessment described in subsection (a)--
          ``(1) shall be ineligible for any funding for professional 
        development activities awarded by the Department;
          ``(2) shall not be permitted to accept or enroll any student 
        that receives aid under title IV in the institution's teacher 
        preparation program; and
          ``(3) shall provide transitional support, including remedial 
        services if necessary, for students enrolled at the institution 
        at the time of termination of financial support or withdrawal 
        of approval.
  ``(c) Negotiated Rulemaking.--If the Secretary develops any 
regulations implementing subsection (b)(2), the Secretary shall submit 
such proposed regulations to a negotiated rulemaking process, which 
shall include representatives of States, institutions of higher 
education, and educational and student organizations.
  ``(d) Application of the Requirements.--The requirements of this 
section shall apply to both traditional teacher preparation programs 
and alternative routes to State certification and licensure programs.

``SEC. 208. GENERAL PROVISIONS.

  ``(a) Methods.--In complying with sections 205 and 207, the Secretary 
shall ensure that States and institutions of higher education use fair 
and equitable methods in reporting and that the reporting methods do 
not allow identification of individuals.
  ``(b) Special Rule.--For each State that does not use content 
assessments as a means of ensuring that all teachers teaching in core 
academic subjects within the State are highly qualified, as required 
under section 1119 of the Elementary and Secondary Education Act of 
1965 and in accordance with the State plan submitted or revised under 
section 1111 of such Act, or that each person employed as a special 
education teacher in the State who teaches elementary school, middle 
school, or secondary school is highly qualified by the deadline, as 
required under section 612(a)(14)(C) of the Individuals with 
Disabilities Education Act,--
          ``(1) the Secretary shall, to the extent practicable, collect 
        data comparable to the data required under this part from 
        States, local educational agencies, institutions of higher 
        education, or other entities that administer such assessments 
        to teachers or prospective teachers; and
          ``(2) notwithstanding any other provision of this part, the 
        Secretary shall use such data to carry out requirements of this 
        part related to assessments, pass rates, and scaled scores.
  ``(c) Release of Information to Teacher Preparation Programs.--
          ``(1) In general.--For the purpose of improving teacher 
        preparation programs, a State educational agency that receives 
        funds under this Act, or that participates as a member of a 
        partnership, consortium, or other entity that receives such 
        funds, shall provide to a teacher preparation program, upon the 
        request of the teacher preparation program, any and all 
        pertinent education-related information that--
                  ``(A) may enable the teacher preparation program to 
                evaluate the effectiveness of the program's graduates 
                or the program itself; and
                  ``(B) is possessed, controlled, or accessible by the 
                State educational agency.
          ``(2) Content of information.--The information described in 
        paragraph (1)--
                  ``(A) shall include an identification of specific 
                individuals who graduated from the teacher preparation 
                program to enable the teacher preparation program to 
                evaluate the information provided to the program from 
                the State educational agency with the program's own 
                data about the specific courses taken by, and field 
                experiences of, the individual graduates; and
                  ``(B) may include--
                          ``(i) kindergarten through grade 12 academic 
                        achievement and demographic data, without 
                        revealing personally identifiable information 
                        about an individual student, for students who 
                        have been taught by graduates of the teacher 
                        preparation program; and
                          ``(ii) teacher effectiveness evaluations for 
                        teachers who graduated from the teacher 
                        preparation program.
  ``(d) Limitations.--
          ``(1) Federal control prohibited.--Nothing in this part shall 
        be construed to permit, allow, encourage, or authorize any 
        Federal control over any aspect of any private, religious, or 
        home school (whether or not a home school is treated as a 
        private school or home school under State law). This section 
        shall not be construed to prohibit private, religious, or home 
        schools from participation in programs or services under this 
        part.
          ``(2) No change in state control encouraged or required.--
        Nothing in this part shall be construed to encourage or require 
        any change in a State's treatment of any private, religious, or 
        home school (whether or not a home school is treated as a 
        private school or home school under State law).
          ``(3) National system of teacher certification prohibited.--
        Nothing in this part shall be construed to permit, allow, 
        encourage, or authorize the Secretary to establish or support 
        any national system of teacher certification.

``SEC. 209. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated to carry out this part 
$300,000,000 for fiscal year 2009 and such sums as may be necessary for 
each of the 2 succeeding fiscal years.

         ``PART B--PREPARING TEACHERS FOR DIGITAL AGE LEARNERS

``SEC. 221. PROGRAM AUTHORIZED.

  ``(a) Program Authority.--The Secretary is authorized to award grants 
to, or enter into contracts or cooperative agreements with, eligible 
consortia to pay the Federal share of the costs of projects to--
          ``(1) graduate teacher candidates who are prepared to use 
        modern information, communication, and learning tools to--
                  ``(A) improve student learning, assessment, and 
                learning management; and
                  ``(B) help students develop skills to enter the 
                workforce;
          ``(2) strengthen and develop partnerships among the 
        stakeholders in teacher preparation to transform teacher 
        education and ensure technology rich learning environments 
        throughout a teacher candidate's pre-service education, 
        including clinical experiences; and
          ``(3) assess the effectiveness of departments, schools, and 
        colleges of education at institutions of higher education in 
        preparing teacher candidates for successful implementation of 
        technology-rich teaching-learning environments that enable 
        kindergarten through grade 12 students to develop skills to 
        enter the workforce.
  ``(b) Amount and Duration.--A grant, contract, or cooperative 
agreement under this part--
          ``(1) shall be for not more than $2,000,000;
          ``(2) shall be for a 3-year period; and
          ``(3) may be renewed for one additional year.
  ``(c) Non-Federal Share Requirement.--The Federal share of the cost 
of any project funded under this part shall not exceed 75 percent. The 
non-Federal share of the cost of such project may be provided in cash 
or in kind, fairly evaluated, including services.
  ``(d) Definition of Eligible Consortium.--In this part, the term 
`eligible consortium' means a consortium of members that includes the 
following:
          ``(1) At least one institution of higher education that 
        awards baccalaureate degrees and prepares teachers for initial 
        entry into teaching.
          ``(2) At least one State educational agency or local 
        educational agency.
          ``(3) A department, school, or college of education at an 
        institution of higher education.
          ``(4) A department, school, or college of arts and sciences 
        at an institution of higher education.
          ``(5) At least one entity with the capacity to contribute to 
        the technology-related reform of teacher preparation programs, 
        which may be a professional association, foundation, museum, 
        library, for-profit business, public or private nonprofit 
        organization, community-based organization, or other entity.

``SEC. 222. USES OF FUNDS.

  ``(a) In General.--An eligible consortium that receives a grant or 
enters into a contract or cooperative agreement under this part shall 
use funds made available under this part to carry out a project that--
          ``(1) develops long-term partnerships among members of the 
        consortium that are focused on effective teaching with modern 
        digital tools and content that substantially connect pre-
        service preparation of teacher candidates with high-needs 
        schools; or
          ``(2) transforms the way departments, schools, and colleges 
        of education teach classroom technology integration, including 
        the principles of universal design, to teacher candidates.
  ``(b) Uses of Funds for Partnership Grants.--In carrying out a 
project under subsection (a)(1), an eligible consortium shall--
          ``(1) provide teacher candidates, early in their preparation, 
        with field experiences in educational settings with technology;
          ``(2) build the skills of teacher candidates to support 
        technology-rich instruction, assessment and learning management 
        in content areas, technology literacy, an understanding of the 
        principles of universal design, and the development of other 
        skills for entering the workforce;
          ``(3) provide professional technology development for 
        teachers, administrators, and content specialists who 
        participate in field placement;
          ``(4) provide professional development of technology 
        pedagogical skills for faculty of departments, schools, and 
        colleges of education and arts and sciences;
          ``(5) implement strategies for the mentoring of teacher 
        candidates with respect to technology implementation by members 
        of the consortium;
          ``(6) evaluate teacher candidates during the first years of 
        teaching to fully assess outcomes of the project;
          ``(7) build collaborative learning communities for technology 
        integration within the consortium to sustain meaningful 
        applications of technology in the classroom during teacher 
        preparation and early career practice; and
          ``(8) evaluate the effectiveness of the project.
  ``(c) Uses of Funds for Transformation Grants.--In carrying out a 
project under subsection (a)(2), an eligible consortium shall--
          ``(1) redesign curriculum to require collaboration between 
        the department, school, or college of education faculty and the 
        department, school, or college of arts and sciences faculty who 
        teach content or methods courses for training teacher 
        candidates;
          ``(2) collaborate between the department, school, or college 
        of education faculty and the department, school, or college of 
        arts and science faculty and academic content specialists at 
        the local educational agency to educate pre-service teachers 
        who can integrate technology and pedagogical skills in content 
        areas;
          ``(3) collaborate between the department, school, or college 
        of education faculty and the department, school, or college of 
        arts and sciences faculty who teach courses to pre-service 
        teachers to--
                  ``(A) develop and implement a plan for pre-service 
                teachers and continuing educators that demonstrates 
                effective instructional strategies and application of 
                such strategies in the use of digital tools to 
                transform the teaching and learning process; and
                  ``(B) better reach underrepresented pre-service 
                teacher populations with programs that connect such 
                pre-service teacher populations with applications of 
                technology;
          ``(4) collaborate among faculty and students to create and 
        disseminate case studies of technology applications in 
        classroom settings with a goal of improving student achievement 
        in high-need schools;
          ``(5) provide additional technology resources for pre-service 
        teachers to plan and implement technology applications in 
        classroom settings that provide evidence of student learning; 
        and
          ``(6) bring together expertise from departments, schools, or 
        colleges of education, arts and science faculty, and academic 
        content specialists at the local educational agency to share 
        and disseminate technology applications in the classroom 
        through teacher preparation and into early career practice.

``SEC. 223. APPLICATION REQUIREMENTS.

  ``To be eligible to receive a grant or enter into a contract or 
cooperative agreement under this part, an eligible consortium shall 
submit an application to the Secretary at such time, in such manner, 
and containing such information as the Secretary may require. Such 
application shall include the following:
          ``(1) A description of the project to be carried out with the 
        grant, including how the project will--
                  ``(A) develop a long-term partnership focused on 
                effective teaching with modern digital tools and 
                content that substantially connects pre-service 
                preparation of teacher candidates with high-need 
                schools; or
                  ``(B) transform the way departments, schools, and 
                colleges of education teach classroom technology 
                integration, including the principles of universal 
                design, to teacher candidates.
          ``(2) A demonstration of--
                  ``(A) the commitment, including the financial 
                commitment, of each of the members of the consortium 
                for the proposed project; and
                  ``(B) the support of the leadership of each 
                organization that is a member of the consortium for the 
                proposed project.
          ``(3) A description of how each member of the consortium will 
        participate in the project.
          ``(4) A description of how the State or local educational 
        agency will incorporate the project into the agency's 
        technology plan, if such a plan already exists.
          ``(5) A description of how the project will be continued 
        after Federal funds are no longer available under this part for 
        the project.
          ``(6) A plan for the evaluation of the project, which shall 
        include benchmarks to monitor progress toward specific project 
        objectives.

``SEC. 224. EVALUATION.

  ``Not less than 10 percent of the funds awarded to an eligible 
consortium to carry out a project under this part shall be used to 
evaluate the effectiveness of such project.

``SEC. 225. AUTHORIZATION OF APPROPRIATIONS.

  ``There is authorized to be appropriated $100,000,000 to carry out 
this part for fiscal year 2009 and such sums as may be necessary for 
each of the 2 succeeding fiscal years.

                 ``PART C--ENHANCING TEACHER EDUCATION

``SEC. 240. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated to carry out this part such 
sums as may be necessary for fiscal year 2009 and each of the 4 
succeeding fiscal years.

``Subpart 1--Recruiting Teachers With Math, Science, or Language Majors

``SEC. 241. PROGRAM AUTHORIZED.

  ``(a) Grants Authorized.--From the amounts appropriated under section 
240, the Secretary shall make competitive grants to institutions of 
higher education to improve the availability, recruitment, and 
retention of teachers from among students majoring in mathematics, 
science, foreign languages, special education, or teaching the English 
language to students who are limited English proficient, or to a 
combination of students majoring in such subjects. In making such 
grants, the Secretary shall give priority to institutions of higher 
education with programs that--
          ``(1) focus on preparing and retaining teachers in subjects 
        in which there is a shortage of highly qualified teachers and 
        that prepare students to teach in high-need schools; and
          ``(2) include plans to seek matching funds from other 
        governmental and non-governmental sources.
  ``(b) Application.--Any institution of higher education desiring to 
receive a grant under this subpart shall submit to the Secretary an 
application at such time, in such form, and containing such information 
and assurances as the Secretary may require, including--
          ``(1) the number of students who graduated from the 
        institution in the preceding year with the qualifications 
        necessary to be teachers with expertise in mathematics, 
        science, a foreign language, special education, or teaching 
        limited English proficient individuals; and
          ``(2) a goal and timeline for increasing the number of such 
        teachers who graduate from the institution.
  ``(c) Use of Funds.--Grant funds made available under this subpart--
          ``(1) shall be used to create and provide new recruitment 
        incentives to encourage students who are planning to pursue 
        other careers to pursue careers in teaching, with an emphasis 
        on recruiting students who are majoring in high-need subjects 
        such as mathematics, science, foreign languages, and special 
        education, and areas relevant to teaching the English language 
        to students who are limited English proficient;
          ``(2) may be used to upgrade curriculum to provide all 
        students studying to become teachers with high-quality 
        instructional strategies for teaching reading and teaching the 
        English language to students who are limited English 
        proficient, and for adopting, modifying, and differentiating 
        instruction to teach students with disabilities;
          ``(3) may be used to integrate department, school, or college 
        of education faculty with other arts and science faculty in 
        mathematics, science, foreign languages, special education, and 
        teaching the English language to students who are limited 
        English proficient through steps such as--
                  ``(A) dual appointments for faculty between 
                departments, schools, or colleges of education and 
                departments, schools, or colleges of arts and science; 
                and
                  ``(B) integrating course work with clinical 
                experience;
          ``(4) may be used to develop strategic plans between 
        departments, schools, or colleges of education and local school 
        districts to better prepare teachers for high-need schools, 
        including the creation of professional development partnerships 
        for training new teachers in state-of-the-art teaching 
        practices; and
          ``(5) may be used to develop or enhance programs aimed at 
        retaining teachers in high-need subjects such as mathematics, 
        science, foreign languages, special education, and teaching the 
        English language to students who are limited English 
        proficient, and may include providing scholarship assistance to 
        current teachers to upgrade their skills.

``Subpart 2--Community Colleges as Partners in Teacher Education Grants

``SEC. 251. GRANTS TO COMMUNITY COLLEGES.

  ``(a) Program Authorized.--The Secretary is authorized to award 
grants, on a competitive basis, to eligible entities to assist such 
entities with--
          ``(1) establishing or enhancing teacher education programs at 
        community colleges that--
                  ``(A) include content and pedagogical training; and
                  ``(B) are aligned with 4-year college and university 
                teacher education programs to ensure a seemless 
                transition for students from community colleges to 4-
                year institutions;
          ``(2) establishing or enhancing post baccalaureate 
        certification programs offered at community colleges;
          ``(3) developing and delivering a rigorous program of study 
        for students interested in a career in teaching; and
          ``(4) developing and delivering professional development for 
        teachers to ensure their continued education and professional 
        growth.
  ``(b) Authorized Uses of Funds.--Grant funds provided under this 
subpart shall be used to carry out the activities described in 
subsection (a), and may be used to--
          ``(1) develop curriculum for teacher education programs and 
        post baccalaureate certification programs at community 
        colleges;
          ``(2) establish or enhance clinical experiences for students 
        in such teacher education programs and post baccalaureate 
        certification programs;
          ``(3) establish or enhance professional development programs 
        at community colleges that are available for teachers;
          ``(4) develop new associate degree programs focused on 
        teacher preparation;
          ``(5) increase the alignment between community college 
        teacher education programs and 4-year college and university 
        teacher education programs, including articulation agreements, 
        common course numbering, and joint admission programs;
          ``(6) recruit teacher candidates with the goal of 
        diversifying the teacher workforce;
          ``(7) prepare teachers for high-demand subject areas 
        including science, mathematics, technology, special education, 
        critical foreign languages, or the education of limited English 
        proficient individuals;
          ``(8) prepare teachers to teach in high-need schools;
          ``(9) increase coordination between teacher education 
        programs and departments, schools, or colleges of arts and 
        sciences;
          ``(10) encourage teacher education and post baccalaureate 
        programs at times and in formats designed to make these 
        programs more accessible to certain student populations, 
        including mid-career professionals transitioning to teaching; 
        and
          ``(11) carry out other activities that aim to ensure that 
        well-qualified individuals enter into the teaching profession.
  ``(c) Eligible Entity.--For purposes of this subpart, the term 
`eligible entity' means an individual community college (or district of 
community colleges), a consortia of community colleges, or a statewide 
community college system that, for the purposes of carrying out 
activities under this subpart, has entered into a partnership with--
          ``(1) a four-year institution of higher education with a 
        teacher education program, or a consortia of such institutions; 
        and
          ``(2) at least one of the following:
                  ``(A) The State agency that oversees teacher 
                preparation or higher education in the State.
                  ``(B) One or more local educational agencies.
                  ``(C) The State educational agency.
                  ``(D) A professional organization representing 
                teachers.
  ``(d) Application.--Each eligible entity desiring a grant under this 
subpart shall submit an application to the Secretary at such time, in 
such manner, and containing such information as the Secretary may 
require. Such application shall include--
          ``(1) an overview of the goals the eligible entity and its 
        partners plan to pursue upon receipt of a grant under this 
        subpart;
          ``(2) an identification of the institutions, agencies, or 
        organizations that have entered into a partnership with the 
        eligible entity to meet the requirements of subsection (c);
          ``(3) a description of how the eligible entity and its 
        partners will work to ensure a seemless transition for students 
        from community college to 4-year institutions;
          ``(4) an assurance by the eligible entity that students will 
        be provided with intensive support services, which may include 
        mentoring, academic and career support, and support for 
        students who are transitioning, or have transitioned, from the 
        community college to the 4-year institution; and
          ``(5) a description of the rigorous 2-year program of study 
        to be provided by the eligible entity, and a description of how 
        such program establishes a foundation for students to enter 
        into a qualified teacher preparation program at a 4-year 
        institution.
  ``(e) Priority.--In awarding grants under this subpart, the Secretary 
shall give priority to applications the goals of which are to--
          ``(1) increase the diversification of the teacher workforce 
        by enrolling and retaining students from minority racial and 
        ethnic backgrounds and others underrepresented in the local 
        education workforce;
          ``(2) prepare teachers for high-demand subject areas 
        including science, mathematics, technology, special education, 
        critical foreign languages, or the education of limited English 
        proficient individuals; or
          ``(3) prepare teachers to enter into high-need schools.

``SEC. 252. DEFINITIONS.

  ``In this subpart:
          ``(1) Community college.--The term `community college' has 
        the same meaning given the term `junior or community college' 
        in section 313.
          ``(2) Four-year institution.--The term `4-year institution' 
        means an institution of higher education (as defined in section 
        101(a)) that provides a 4-year program of instruction for which 
        the institution awards a bachelor's degree.
          ``(3) Qualified teacher preparation program.--The term 
        `qualified teacher preparation program' means an undergraduate 
        program for students at an institution of higher education 
        that--
                  ``(A) encourages collaboration between faculty in 
                education and faculty in the relevant subject areas 
                including, sciences mathematics, and foreign languages 
                to pursue content coordination for courses taken 
                frequently by students preparing to be teachers;
                  ``(B) offers support services, including mentoring, 
                exposure to and field experience in the classroom prior 
                to graduation, or other practices, for students while 
                they are in the program, and after graduation while 
                working as teachers; and
                  ``(C) focuses on increasing the number of teachers 
                for high-demand subject areas.

    ``Subpart 3--Honorable Augustus F. Hawkins Centers of Excellence

``SEC. 261. DEFINITIONS.

  ``In this subpart:
          ``(1) Eligible institution.--The term `eligible institution' 
        means--
                  ``(A) an institution of higher education that has a 
                teacher preparation program that is a qualified teacher 
                preparation program under section 252, and that is--
                          ``(i) a part B institution (as defined in 
                        section 322);
                          ``(ii) a Hispanic-serving institution (as 
                        defined in section 502);
                          ``(iii) a Tribal College or University (as 
                        defined in section 316);
                          ``(iv) an Alaska Native-serving institution 
                        (as defined in section 317(b));
                          ``(v) a Native Hawaiian-serving institution 
                        (as defined in section 317(b));
                          ``(vi) a Predominantly Black Institution (as 
                        defined in section 318(b));
                          ``(vii) an Asian American and Pacific 
                        Islander-serving institution (as defined in 
                        section 319(b)); or
                          ``(viii) a Native American-serving non-tribal 
                        institution (as defined in section 320(b));
                  ``(B) a consortium of institutions described in 
                subparagraph (A); or
                  ``(C) an institution described in subparagraph (A), 
                or a consortium described in subparagraph (B), in 
                partnership with any other institution of higher 
                education, but only if the center of excellence 
                established under section 262 is located at an 
                institution described in subparagraph (A).
          ``(2) Scientifically based reading research.--The term 
        `scientifically based reading research' has the meaning given 
        such term in section 1208 of the Elementary and Secondary 
        Education Act of 1965 (20 U.S.C. 6368).

``SEC. 262. AUGUSTUS F. HAWKINS CENTERS OF EXCELLENCE.

  ``(a) Program Authorized.--From the amounts appropriated to carry out 
this part, the Secretary is authorized to award competitive grants to 
eligible institutions to establish centers of excellence.
  ``(b) Use of Funds.--Grants provided by the Secretary under this 
subpart shall be used to ensure that current and future teachers are 
highly qualified, by carrying out one or more of the following 
activities:
          ``(1) Implementing reforms within teacher preparation 
        programs to ensure that such programs are preparing teachers 
        who are highly qualified, are able to understand scientifically 
        valid research, and are able to use advanced technology 
        effectively in the classroom, including use for instructional 
        techniques to improve student academic achievement, by--
                  ``(A) retraining or recruiting faculty; and
                  ``(B) designing (or redesigning) teacher preparation 
                programs that--
                          ``(i) prepare teachers to close student 
                        achievement gaps, and are based on rigorous 
                        academic content, scientifically valid research 
                        (including scientifically based reading 
                        research), and challenging State student 
                        academic content standards; and
                          ``(ii) promote strong teaching skills, as 
                        defined in section 200(b).
          ``(2) Providing sustained and high-quality pre-service 
        clinical experience, including the mentoring of prospective 
        teachers by exemplary teachers, substantially increasing 
        interaction between faculty at institutions of higher education 
        and new and experienced teachers, principals, and other 
        administrators at elementary schools or secondary schools, and 
        providing support, including preparation time, for such 
        interaction.
          ``(3) Developing and implementing initiatives to promote 
        retention of highly qualified teachers and principals, 
        including minority teachers and principals, including programs 
        that provide--
                  ``(A) teacher or principal mentoring from exemplary 
                teachers or principals; or
                  ``(B) induction and support for teachers and 
                principals during their first 3 years of employment as 
                teachers or principals, respectively.
          ``(4) Awarding scholarships based on financial need to help 
        students pay the costs of tuition, room, board, and other 
        expenses of completing a teacher preparation program.
          ``(5) Disseminating information on effective practices for 
        teacher preparation and successful teacher certification and 
        licensure assessment preparation strategies.
          ``(6) Activities authorized under section 202.
  ``(c) Application.--Any eligible institution desiring a grant under 
this subpart shall submit an application to the Secretary at such a 
time, in such a manner, and accompanied by such information as the 
Secretary may require.
  ``(d) Minimum Grant Amount.--The minimum amount of each grant under 
this subpart shall be $500,000.
  ``(e) Limitation on Administrative Expenses.--An eligible institution 
that receives a grant under this subpart may not use more than 2 
percent of the grant funds for purposes of administering the grant.
  ``(f) Regulations.--The Secretary shall prescribe such regulations as 
may be necessary to carry out this subpart.

                     ``Subpart 4--Teach for America

``SEC. 271. TEACH FOR AMERICA.

  ``(a) Definitions.--
          ``(1) Grantee.--The term `grantee' means Teach For America, 
        Inc.
          ``(2) High need.--Notwithstanding section 200(b), the term 
        `high need', when used with respect to a local educational 
        agency, means a local educational agency experiencing a 
        shortage of highly qualified teachers.
  ``(b) Grants Authorized.--The Secretary is authorized to award a 
grant to Teach For America, Inc., the national teacher corps of 
outstanding recent college graduates who commit to teach for 2 years in 
underserved communities in the United States, to implement and expand 
its program of recruiting, selecting, training, and supporting new 
teachers.
  ``(c) Requirements.--In carrying out the grant program under 
subsection (b), the Secretary shall enter into an agreement with the 
grantee under which the grantee agrees to use the grant funds provided 
under this subpart to--
          ``(1) provide highly qualified teachers to high need local 
        educational agencies in urban and rural communities;
          ``(2) pay the costs of recruiting, selecting, training, and 
        supporting new teachers; and
          ``(3) serve a substantial number and percentage of 
        underserved students.
  ``(d) Authorized Activities.--
          ``(1) In general.--Grant funds provided under this subpart 
        shall be used by the grantee to carry out each of the following 
        activities:
                  ``(A) Recruiting and selecting teachers through a 
                highly selective national process.
                  ``(B) Providing pre-service training to such teachers 
                through a rigorous summer institute that includes 
                hands-on teaching experience and significant exposure 
                to education course work and theory.
                  ``(C) Placing such teachers in schools and positions 
                designated by high need local educational agencies as 
                high need placements serving underserved students.
                  ``(D) Providing ongoing professional development 
                activities for such teachers' first 2 years in the 
                classroom, including regular classroom observations and 
                feedback, and ongoing training and support.
          ``(2) Limitation.--The grantee shall use all grant funds 
        received under this subpart to support activities related 
        directly to the recruitment, selection, training, and support 
        of teachers as described in paragraph (1).
  ``(e) Reports and Evaluations.--
          ``(1) Annual report.--The grantee shall provide to the 
        Secretary an annual report that includes--
                  ``(A) data on the number and quality of the teachers 
                provided to local educational agencies through a grant 
                under this subpart;
                  ``(B) an externally conducted analysis of the 
                satisfaction of local educational agencies and 
                principals with the teachers so provided; and
                  ``(C) comprehensive data on the background of the 
                teachers chosen, the training such teachers received, 
                the placement sites of such teachers, the professional 
                development of such teachers, and the retention of such 
                teachers.
          ``(2) Study.--
                  ``(A) In general.--From funds appropriated under 
                section 240, the Secretary shall provide for a study 
                that examines the achievement levels of the students 
                taught by the teachers assisted under this subpart.
                  ``(B) Achievement gains compared.--The study shall 
                compare, within the same schools, the achievement gains 
                made by students taught by teachers who are assisted 
                under this subpart with the achievement gains made by 
                students taught by teachers who are not assisted under 
                this subpart.
          ``(3) Requirements.--The Secretary shall provide for such a 
        study not less than once every 3 years, and each such study 
        shall include multiple placement sites and multiple schools 
        within placement sites.
          ``(4) Peer review standards.--Each such study shall meet the 
        peer review standards of the education research community.

  ``Subpart 5--Early Childhood Education Professional Development and 
                           Career Task Force

``SEC. 281. PURPOSE.

  ``It is the purpose of this subpart--
          ``(1) to improve the quality of the early childhood education 
        workforce by creating a statewide early childhood education 
        professional development and career task force for early 
        childhood education program staff, directors, and 
        administrators; and
          ``(2) to create--
                  ``(A) a coherent system of core competencies, 
                pathways to qualifications, credentials, degrees, 
                quality assurances, access, and outreach, for early 
                childhood education program staff, directors, and 
                administrators, that is linked to compensation 
                commensurate with experience and qualifications;
                  ``(B) articulation agreements that enable early 
                childhood education professionals to transition easily 
                among degrees; and
                  ``(C) compensation initiatives for individuals 
                working in an early childhood education program that 
                reflect the individuals' credentials, degrees, and 
                experience.

``SEC. 282. DEFINITION OF EARLY CHILDHOOD EDUCATION PROGRAM.

  ``In this subpart, the term `early childhood education program' 
means--
          ``(1) a family child care program, center-based child care 
        program, State prekindergarten program, or school-based 
        program, that--
                  ``(A) provides early childhood education;
                  ``(B) uses developmentally appropriate practices;
                  ``(C) is licensed or regulated by the State; and
                  ``(D) serves children from birth through age 5;
          ``(2) a Head Start Program carried out under the Head Start 
        Act;
          ``(3) an Early Head Start Program carried out under section 
        645A of the Head Start Act; or
          ``(4) a program authorized under section 619 or part C of the 
        Individuals with Disabilities Education Act.

``SEC. 283. GRANTS AUTHORIZED.

  ``(a) In General.--The Secretary is authorized to award grants to 
States in accordance with the provisions of this subpart to enable such 
States--
          ``(1) to establish a State Task Force described in section 
        284; and
          ``(2) to support activities of the State Task Force described 
        in section 285.
  ``(b) Competitive Basis.--Grants under this subpart shall be awarded 
on a competitive basis.
  ``(c) Equitable Geographic Distribution.--In awarding grants under 
this subpart, the Secretary shall take into consideration providing an 
equitable geographic distribution of such grants.
  ``(d) Duration.--Grants under this subpart shall be awarded for a 
period of 3 years.

``SEC. 284. STATE TASK FORCE ESTABLISHMENT.

  ``(a) State Task Force Established.--The Governor of a State 
receiving a grant under this subpart shall establish, or designate an 
existing entity to serve as, the State Early Childhood Education 
Professional Development and Career Task Force (hereafter in this 
subpart referred to as the `State Task Force').
  ``(b) Membership.--The State Task Force shall include a 
representative of a State educational agency, an institution of higher 
education (including an associate or a baccalaureate degree granting 
institution of higher education), an early childhood education program, 
a nonprofit early childhood organization, a statewide early childhood 
workforce scholarship or supplemental initiative, and any other entity 
or individual the Governor determines appropriate.

``SEC. 285. STATE TASK FORCE ACTIVITIES.

  ``(a) Activities.--The State Task Force shall--
          ``(1) coordinate and communicate regularly with existing 
        State Advisory Councils on Early Care and Education or a 
        similar State entity charged with creating a comprehensive 
        system of early care and education in the State (hereafter in 
        this subpart referred to as `State Advisory Councils') for the 
        purposes of--
                  ``(A) integrating recommendations for early childhood 
                professional development and career activities into the 
                plans of the State Advisory Council; and
                  ``(B) assisting in the implementation of professional 
                development and career activities that are consistent 
                with the plans described in subparagraph (A);
          ``(2) conduct a review of opportunities for and barriers to 
        high quality professional development, training, and higher 
        education degree programs in early childhood development and 
        learning, including a periodic statewide survey concerning the 
        demographics of individuals working in early childhood 
        education programs in the State, which survey shall include 
        information disaggregated by--
                  ``(A) race, gender, and ethnicity;
                  ``(B) compensation levels;
                  ``(C) type of early childhood education program 
                setting;
                  ``(D) specialized knowledge of child development;
                  ``(E) years of experience in an early childhood 
                education program;
                  ``(F) attainment of--
                          ``(i) academic credit for course work;
                          ``(ii) an academic degree;
                          ``(iii) a credential;
                          ``(iv) licensure; or
                          ``(v) certification in early childhood 
                        education; and
                  ``(G) specialized knowledge in the education of 
                children with limited English proficiency; and
          ``(3) develop a plan for a comprehensive statewide 
        professional development and career system for individuals 
        working in early childhood education programs or for early 
        childhood education providers, which plan shall include--
                  ``(A) methods of providing outreach to early 
                childhood education program staff, directors, and 
                administrators to enable such individuals and providers 
                to be aware of opportunities and resources under the 
                statewide plan, which may include outreach to 
                underrepresented populations in the profession;
                  ``(B) developing a unified data collection and 
                dissemination system for early childhood education 
                training, professional development, and higher 
                education programs;
                  ``(C) increasing the participation of early childhood 
                educators in high quality training and professional 
                development by assisting in paying the costs of 
                enrollment in and completion of such training and 
                professional development courses;
                  ``(D) increasing the participation of early childhood 
                educators in postsecondary education programs leading 
                to degrees in early childhood education by providing 
                assistance to pay the costs of enrollment in and 
                completion of such postsecondary education programs, 
                which assistance--
                          ``(i) shall only be provided to an individual 
                        who--
                                  ``(I) enters into an agreement under 
                                which the individual agrees to work, 
                                for a reasonable number of years after 
                                receiving such a degree, in an early 
                                childhood education program that is 
                                located in a low-income area; and
                                  ``(II) has a family income equal to 
                                or less than the annually adjusted 
                                national median family income as 
                                determined by the Bureau of the Census; 
                                and
                          ``(ii) shall be provided in an amount that 
                        does not exceed $17,500;
                  ``(E) supporting professional development activities 
                and a career lattice for a variety of early childhood 
                professional roles with varying professional 
                qualifications and responsibilities for early childhood 
                education personnel, including strategies to enhance 
                the compensation of such personnel;
                  ``(F) supporting articulation agreements between 2- 
                and 4-year public and private institutions of higher 
                education and mechanisms to transform other training, 
                professional development, and experience into academic 
                credit;
                  ``(G) developing mentoring and coaching programs to 
                support new educators in and directors of early 
                childhood education programs;
                  ``(H) providing career development advising with 
                respect to the field of early childhood education, 
                including informing an individual regarding--
                          ``(i) entry into and continuing education 
                        requirements for professional roles in the 
                        field;
                          ``(ii) available financial assistance; and
                          ``(iii) professional development and career 
                        advancement in the field;
                  ``(I) enhancing the quality of faculty and course 
                work in postsecondary programs that lead to an 
                associate, baccalaureate, or graduate degree in early 
                childhood education;
                  ``(J) consideration of the availability of on-line 
                graduate level professional development offered by 
                institutions of higher education with experience and 
                demonstrated expertise in establishing programs in 
                child development, in order to improve the skills and 
                expertise of individuals working in early childhood 
                education programs; and
                  ``(K) developing or enhancing a system of quality 
                assurance with respect to the early childhood education 
                professional development and career system, including 
                standards or qualifications for individuals and 
                entities who offer training and professional 
                development in early childhood education.
  ``(b) Public Hearings.--The State Task Force shall hold public 
hearings and provide an opportunity for public comment on the 
activities described in the statewide plan described in subsection 
(a)(3).
  ``(c) Periodic Review.--The State Task Force shall meet periodically 
to review implementation of the statewide plan and to recommend any 
changes to the statewide plan the State Task Force determines 
necessary.

``SEC. 286. STATE APPLICATION AND REPORT.

  ``(a) In General.--Each State desiring a grant under this subpart 
shall submit an application to the Secretary at such time, in such 
manner, and accompanied by such information as the Secretary may 
reasonably require. Each such application shall include a description 
of--
          ``(1) the membership of the State Task Force;
          ``(2) the activities for which the grant assistance will be 
        used;
          ``(3) other Federal, State, local, and private resources that 
        will be available to support the activities of the State Task 
        Force described in section 285;
          ``(4) the availability within the State of training, educator 
        preparation, professional development, compensation 
        initiatives, and career systems, related to early childhood 
        education; and
          ``(5) the resources available within the State for such 
        training, educator preparation, professional development, 
        compensation initiatives, and career systems.
  ``(b) Report to the Secretary.--Not later than 2 years after 
receiving a grant under this subpart, a State shall submit a report to 
the Secretary that shall describe--
          ``(1) other Federal, State, local, and private resources that 
        will be used in combination with a grant under this subpart to 
        develop or expand the State's early childhood education 
        professional development and career activities;
          ``(2) the ways in which the State Advisory Council will 
        coordinate the various State and local activities that support 
        the early childhood education professional development and 
        career system; and
          ``(3) the ways in which the State Task Force will use funds 
        provided under this subpart to carry out the activities 
        described in section 285.

``SEC. 287. EVALUATIONS.

  ``(a) State Evaluation.--Each State receiving a grant under this 
subpart shall--
          ``(1) evaluate the activities that are assisted under this 
        subpart in order to determine--
                  ``(A) the effectiveness of the activities in 
                achieving State goals;
                  ``(B) the impact of a career lattice for individuals 
                working in early childhood education programs;
                  ``(C) the impact of the activities on licensing or 
                regulating requirements for individuals in the field of 
                early childhood development;
                  ``(D) the impact of the activities, and the impact of 
                the statewide plan described in section 286(a)(3), on 
                the quality of education, professional development, and 
                training related to early childhood education programs 
                that are offered in the State;
                  ``(E) the change in compensation and retention of 
                individuals working in early childhood education 
                programs within the State resulting from the 
                activities; and
                  ``(F) the impact of the activities on the demographic 
                characteristics of individuals working in early 
                childhood education programs; and
          ``(2) submit a report at the end of the grant period to the 
        Secretary regarding the evaluation described in paragraph (1).
  ``(b) Secretary's Evaluation.--Not later than September 30, 2013, the 
Secretary, in consultation with the Secretary of Health and Human 
Services, shall prepare and submit to the authorizing committees an 
evaluation of the State reports submitted under subsection (a)(2).''.

SEC. 202. NATIONAL ACADEMY OF SCIENCES STUDY OF BEST PRACTICES IN 
                    TEACHER PREPARATION.

  (a) In General.--The Secretary shall enter into a contract with the 
National Academy of Sciences to conduct a 2-year study to develop 
suggested best practices in teacher preparation for departments, 
schools, and colleges of education. Such best practices shall include 
recommendations to improve teaching skills, including skills related to 
working with diverse populations.
  (b) Best Research; Suggested Training.--The suggested best practices 
developed under subsection (a) shall reflect the best research into how 
students learn and on the content-specific methods shown to be 
effective with students, including examining how children learn. The 
suggested best practices shall include suggested training for general 
and special education teachers in working with diverse populations, 
utilizing the principles of universal design for learning, assessments 
in the classroom, and classroom management.
  (c) Collaboration.--
          (1) In general.--In conducting the study under subsection 
        (a), the National Academy of Sciences shall collaborate with 
        interested parties in developing the suggested best practices.
          (2) Interested parties.--In this subsection, the term 
        ``interested parties'' means--
                  (A) college presidents;
                  (B) deans of arts and sciences and teacher education 
                programs;
                  (C) teacher preparation faculty;
                  (D) chief State school officers;
                  (E) school superintendents;
                  (F) teacher organizations;
                  (G) outstanding teachers and principals;
                  (H) teacher preparation accrediting organizations;
                  (I) individuals or organizations with expertise in 
                working with diverse populations, including students 
                with disabilities and limited English proficient 
                students; and
                  (J) other organizations with expertise in teacher 
                recruitment and training.
  (d) Prohibition.--Nothing in this section shall be construed to 
authorize the National Academy of Sciences to recommend, or any other 
Federal Government entity or contractor to mandate, direct, control, or 
suggest, a specific curriculum for teacher education programs.

                    TITLE III--TITLE III AMENDMENTS

SEC. 301. PROGRAM PURPOSE.

  Section 311 (20 U.S.C. 1057) is amended--
          (1) in subsection (b)--
                  (A) in paragraph (1), by striking ``351'' and 
                inserting ``391''; and
                  (B) in paragraph (3)(F), by inserting ``, including 
                services that will assist in the education of special 
                populations'' before the period; and
          (2) in subsection (c)--
                  (A) in paragraph (6), by inserting ``, including 
                innovative, customized, instruction courses designed to 
                help retain students and move the students rapidly into 
                core courses and through program completion'' before 
                the period;
                  (B) by redesignating paragraphs (7) through (12) as 
                paragraphs (8) through (13), respectively;
                  (C) by inserting after paragraph (6) the following:
          ``(7) Education or counseling services designed to improve 
        the financial literacy and economic literacy of students or the 
        students' parents.'';
                  (D) in paragraph (12) (as redesignated by 
                subparagraph (B)), by striking ``distance learning 
                academic instruction capabilities'' and inserting 
                ``distance education technologies''; and
                  (E) in the matter preceding subparagraph (A) of 
                paragraph (13) (as redesignated by subparagraph (B)), 
                by striking ``subsection (c)'' and inserting 
                ``subsection (b) and section 391''.

SEC. 302. TITLE III GRANTS FOR AMERICAN INDIAN TRIBALLY CONTROLLED 
                    COLLEGES AND UNIVERSITIES.

  (a) Eligible Institutions.--Section 316(b)(3) (20 U.S.C. 1059c(b)(3)) 
is amended to read as follows:
          ``(3) Tribal college or university.--The term `Tribal College 
        or University' means an institution that--
                  ``(A) qualifies for funding under the Tribally 
                Controlled College or University Assistance Act of 1978 
                (25 U.S.C. 1801 et seq.) or the Navajo Community 
                College Assistance Act (25 U.S.C. 640a note); or
                  ``(B) is cited in section 532 of the Equity in 
                Educational Land Grant Status Act of 1994 (7 U.S.C. 301 
                note).''.
  (b) Distance Learning.--Section 316(c)(2) is amended--
          (1) by amending subparagraph (B) to read as follows:
                  ``(B) construction, maintenance, renovation, and 
                improvement in classrooms, libraries, laboratories, and 
                other instructional facilities, including purchase or 
                rental of telecommunications technology equipment or 
                services, and the acquisition of real property adjacent 
                to the campus of the institution on which to construct 
                such facilities;'';
          (2) in subparagraph (C), by inserting before the semicolon at 
        the end the following: ``, or advanced degrees in tribal 
        governance or tribal public policy'';
          (3) in subparagraph (D), by inserting before the semicolon at 
        the end the following: ``, and in tribal governance or tribal 
        public policy'';
          (4) by striking ``and'' at the end of subparagraph (K);
          (5) by redesignating subparagraph (L) as subparagraph (M); 
        and
          (6) by inserting after subparagraph (K) the following new 
        subparagraph:
                  ``(L) developing or improving facilities for Internet 
                use or other distance learning academic instruction 
                capabilities; and''.
  (c) Application and Allotment.--Section 316(d) is amended to read as 
follows:
  ``(d) Application and Allotment.--
          ``(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 reasonably require.
          ``(3) Minimum grant.--Notwithstanding section 399(c), the 
        amount allotted to each institution under this section shall 
        not be less than $500,000.
          ``(4) Special rules.--
                  ``(A) Concurrent funding.--For the purposes of this 
                part, no Tribal College or University that is eligible 
                for and receives funds under this section shall 
                concurrently receive funds under other provisions of 
                this part or part B.
                  ``(B) Exemption.--Section 313(d) shall not apply to 
                institutions that are eligible to receive funds under 
                this section.''.
  (d) Allotment of Remaining Funds.--Section 316 is further amended by 
adding at the end the following new subsection:
  ``(e) Allotment of Remaining Funds.--The Secretary shall distribute 
any funds appropriated to carry out this section for any fiscal year 
that remain available after the Secretary has awarded grants under 
subsection (e), to each eligible institution as follows:
          ``(1) 60 percent of the remaining appropriated funds shall be 
        distributed among the eligible Tribal Colleges and Universities 
        on a pro rata basis, based on the respective Indian student 
        counts (as defined in section 2(a) of the Tribally Controlled 
        College or University Assistance Act of 1978 (25 U.S.C. 
        1801(a)) of the Tribal Colleges and Universities; and
          ``(2) the remaining 40 percent shall be distributed in equal 
        shares to the eligible Tribal Colleges and Universities.''.

SEC. 303. PREDOMINANTLY BLACK INSTITUTIONS.

  Part A of title III is amended by inserting after section 317 (20 
U.S.C. 1059d) the following new section:

``SEC. 318. PREDOMINANTLY BLACK INSTITUTIONS.

  ``(a) Purpose.--It is the purpose of this section to assist 
Predominantly Black Institutions in expanding educational opportunity 
through a program of Federal assistance.
  ``(b) Definitions.--For purposes of this section:
          ``(1) Predominantly black institution.--The term 
        `Predominantly Black Institution' means an institution of 
        higher education--
                  ``(A) that is an eligible institution (as defined in 
                paragraph (5)(A) of this subsection) with a minimum of 
                1,000 undergraduate students;
                  ``(B) at which at least 50 percent of the 
                undergraduate students enrolled at the institution are 
                low-income individuals or first-generation college 
                students (as that term is defined in section 402A(g)); 
                and
                  ``(C) at which at least 50 percent of the 
                undergraduate students are enrolled in an educational 
                program leading to a bachelor's or associate's degree 
                that the institution is licensed to award by the State 
                in which it is located.
          ``(2) Low-income individual.--The term `low-income 
        individual' has the meaning given such term in section 402A(g).
          ``(3) Means-tested federal benefit program.--The term `means-
        tested Federal benefit program' means a program of the Federal 
        Government, other than a program under title IV, in which 
        eligibility for the programs' benefits, or the amount of such 
        benefits, or both, are determined on the basis of income or 
        resources of the individual or family seeking the benefit.
          ``(4) State.--The term `State' means each of the 50 States 
        and the District of Columbia.
          ``(5) Other definitions.--For purposes of this section, the 
        terms defined by section 312 have the meanings provided by that 
        section, except as follows:
                  ``(A) Eligible institution.--
                          ``(i) The term `eligible institution' means 
                        an institution of higher education that--
                                  ``(I) has an enrollment of needy 
                                undergraduate students as required and 
                                defined by subparagraph (B);
                                  ``(II) except as provided in section 
                                392(b), the average educational and 
                                general expenditure of which are low, 
                                per full-time equivalent undergraduate 
                                student in comparison with the average 
                                educational and general expenditure per 
                                full-time equivalent undergraduate 
                                student of institutions that offer 
                                similar instruction;
                                  ``(III) has an enrollment of 
                                undergraduate students that is at least 
                                40 percent Black American students;
                                  ``(IV) is legally authorized to 
                                provide, and provides within the State, 
                                an educational program for which the 
                                institution awards a bachelors degree, 
                                or in the case of a junior or community 
                                college, an associate's degree;
                                  ``(V) is accredited by a nationally 
                                recognized accrediting agency or 
                                association determined by the Secretary 
                                to be a reliable authority as to the 
                                quality of training offered, or is, 
                                according to such an agency or 
                                association, making reasonable progress 
                                toward accreditation; and
                                  ``(VI) is not receiving assistance 
                                under part B of this title.
                          ``(ii) In awarding grants under this section 
                        the Secretary shall give priority to 
                        Predominantly Black Institutions with large 
                        numbers or percentages of students described in 
                        clause (i)(II) or clause (i)(III). The level of 
                        priority given to Predominantly Black 
                        Institutions with large numbers or percentages 
                        of students described in paragraph (1)(B) shall 
                        be twice the level of priority given to 
                        Predominantly Black Institutions with large 
                        numbers or percentages of students described in 
                        paragraph (1)(C).
                  ``(B) Enrollment of needy students.--The term 
                `enrollment of needy students' means the enrollment at 
                an eligible institution with respect to which at least 
                50 percent of the undergraduate students enrolled in an 
                academic program leading to a degree--
                          ``(i) in the second fiscal year preceding the 
                        fiscal year for which the determination is 
                        made, were Pell Grant recipients in such year;
                          ``(ii) come from families that receive 
                        benefits under a means-tested Federal benefits 
                        program (as defined in paragraph (3));
                          ``(iii) attended a secondary school that was 
                        a high-need school during any year of such 
                        attendance; or
                          ``(iv) are `first-generation college 
                        students' as that term is defined in section 
                        402A(g), and a majority of such first-
                        generation college students are low-income 
                        individuals.
  ``(c) Authorized Activities.--
          ``(1) Types of activities authorized.--Grants awarded 
        pursuant to subsection (d) shall be used by Predominantly Black 
        Institutions--
                  ``(A) to assist the institution to plan, develop, 
                undertake, and implement programs to enhance the 
                institution's capacity to serve more low- and middle-
                income Black American students;
                  ``(B) to expand higher education opportunities for 
                title IV eligible students by encouraging college 
                preparation and student persistence in secondary and 
                postsecondary education; and
                  ``(C) to strengthen the institution's financial 
                ability to serve the academic needs of the students 
                described in subparagraphs (A) and (B).
          ``(2) Authorized activities.--Grants made to an institution 
        under subsection (d) shall be used for one or more of the 
        following activities:
                  ``(A) The activities described in section 311(c)(1) 
                through (11).
                  ``(B) Academic instruction in disciplines in which 
                Black Americans are underrepresented.
                  ``(C) Establishing or enhancing a program of teacher 
                education designed to qualify students to teach in a 
                public elementary or secondary school in the State that 
                shall include, as part of such program, preparation for 
                teacher certification.
                  ``(D) Establishing community outreach programs which 
                will encourage elementary and secondary students to 
                develop the academic skills and the interest to pursue 
                postsecondary education.
                  ``(E) Other activities proposed in the application 
                submitted pursuant to subsection (e) that--
                          ``(i) contribute to carrying out the purposes 
                        of this section; and
                          ``(ii) are approved by the Secretary as part 
                        of the review and acceptance of such 
                        application.
          ``(3) Endowment fund.--
                  ``(A) In general.--A Predominantly Black Institution 
                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 Predominantly Black Institution shall provide 
                matching funds from non-Federal sources, in an amount 
                equal to or greater than 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 subsection, shall apply to funds 
                used under subparagraph (A).
          ``(4) Limitation.--Not more than 50 percent of the allotment 
        of any Predominantly Black Institution may be available for the 
        purpose of constructing or maintaining a classroom, library, 
        laboratory, or other instructional facility.
  ``(d) Allotments to Predominantly Black Institutions.--
          ``(1) Allotment: pell grant basis.--From the amount 
        appropriated to carry out this section for any fiscal year, the 
        Secretary shall allot to each Predominantly Black Institution 
        having an application approved under subsection (e) a sum which 
        bears the same ratio to one-half that amount as the number of 
        Pell Grant recipients in attendance at such institution at the 
        end of the academic year preceding the beginning of that fiscal 
        year bears to the total number of Pell Grant recipients at all 
        institutions eligible under this section.
          ``(2) Allotment: graduates basis.--From the amount 
        appropriated to carry out this section for any fiscal year, the 
        Secretary shall allot to each Predominantly Black Institution 
        having an application approved under subsection (e) a sum which 
        bears the same ratio to one-fourth that amount as the number of 
        graduates for such year at such institution bears to the total 
        number of graduates for such year at all intuitions eligible 
        under this section.
          ``(3) Allotment: graduates seeking a higher degree basis.--
        From the amount appropriated to carry out this section for any 
        fiscal year, the Secretary shall allot to each Predominantly 
        Black Institution having an application approved under 
        subsection (e) a sum which bears the same ratio to one-fourth 
        of that amount as the percentage of graduates per institution 
        who, within 2 years of graduation with an associates degree or 
        a baccalaureate degree, are admitted to and in attendance at, 
        either a baccalaureate degree-granting institution or a 
        graduate or professional school in a degree program in 
        disciplines in which Black American students are 
        underrepresented, bears to the percentage of such graduates per 
        institution for all eligible institutions.
          ``(4) Minimum allotment.--(A) Notwithstanding paragraphs (1), 
        (2), and (3) of this subsection and section 399(c), the amount 
        allotted to each Predominantly Black Institution under this 
        section shall not be less than $250,000.
          ``(B) If the amount appropriated pursuant to section 399 for 
        any fiscal year is not sufficient to pay the minimum allotment, 
        the amount of such minimum allotment shall be ratably reduced. 
        If additional sums become available for such fiscal year, such 
        reduced allocation shall be increased on the same basis as it 
        was reduced until the amount allotted equals the minimum 
        allotment required by subparagraph (A).
          ``(5) Reallotment.--The amount of a Predominantly Black 
        Institution's allotment under paragraph (1), (2), (3), or (4) 
        for any fiscal year, which the Secretary determines will not be 
        required for such institution for the period such allotment is 
        available, shall be available for reallotment to other 
        Predominantly Black Institutions in proportion to the original 
        allotment to such other institutions under this section for 
        such fiscal year. The Secretary shall reallot such amounts from 
        time to time, on such date and during such period as the 
        Secretary deems appropriate.
  ``(e) Applications.--No Predominantly Black Institution shall be 
entitled to its allotment of Federal funds for any grant under 
subsection (d) for any period unless the institution submits an 
application to the Secretary at such time, in such manner, and 
containing or accompanied by such information as the Secretary may 
reasonably require.
  ``(f) Application Review Process.--Section 393 shall not apply to 
applications under this section.
  ``(g) Prohibition.--No Predominantly Black Institution that applies 
for and receives a grant under this section may apply for or receive 
funds under any other program under this part or part B of this title.
  ``(h) Duration and Carryover.--Any funds paid to a Predominantly 
Black Institution under this section and not expended or used for the 
purposes for which the funds were paid within 10 years following the 
date of the grant awarded to such institution under this section shall 
be repaid to the Treasury of the United States.''.

SEC. 304. ASSISTANCE TO ASIAN AMERICAN AND NATIVE AMERICAN PACIFIC 
                    ISLANDER-SERVING INSTITUTIONS.

  Part A of title III is amended by inserting after section 318 (as 
added by section 303 of this Act) the following new section:

``SEC. 319. ASIAN AMERICAN AND NATIVE AMERICAN PACIFIC ISLANDER-SERVING 
                    INSTITUTIONS.

  ``(a) Program Authorized.--The Secretary shall provide grants and 
related assistance to Asian American and Native American Pacific 
Islander-serving institutions to enable such institutions to improve 
and expand their capacity to serve Asian Americans and Native American 
Pacific Islanders.
  ``(b) Definitions.--For the purpose of this section--
          ``(1) the term `Asian American' has the meaning given the 
        term Asian in the Office of Management and Budget's Standards 
        for Maintaining, Collecting, and Presenting Federal Data on 
        Race and Ethnicity as published on October 30, 1997 (62 Fed. 
        Reg. 58789);
          ``(2) the term `Native American Pacific Islander' means any 
        descendant of the aboriginal people of any island in the 
        Pacific Ocean that is a territory or possession of the United 
        States;
          ``(3) the term `Asian American and Native American Pacific 
        Islander-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 10 percent 
                Asian American and Native American Pacific Islander 
                students; and
          ``(4) the term `low-income individual' means an individual 
        from a family whose taxable income for the preceding year did 
        not exceed 150 percent of an amount equal to the poverty level 
        determined by using criteria of poverty established by the 
        Bureau of the Census.
  ``(c) Authorized Activities.--
          ``(1) Types of activities authorized.--Grants awarded under 
        this section shall be used by Asian American and Native 
        American Pacific Islander-serving institutions to assist such 
        institutions to plan, develop, undertake, and carry out 
        activities to improve and expand such institutions' capacity to 
        serve Asian Americans and Native American Pacific Islanders.
          ``(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;
                  ``(H) academic tutoring and counseling programs and 
                student support services;
                  ``(I) establishing community outreach programs that 
                will encourage elementary school and secondary school 
                students to develop the academic skills and the 
                interest to pursue postsecondary education;
                  ``(J) establishing or improving an endowment fund;
                  ``(K) academic instruction in disciplines in which 
                Asian Americans and Native American Pacific Islanders 
                are under-represented;
                  ``(L) conducting research and data collection for 
                Asian American and Native American Pacific Islander 
                populations and sub-populations; and
                  ``(M) establishing partnerships with community based 
                organizations serving Asian Americans and Native 
                American Pacific Islanders.
  ``(d) Application Process.--
          ``(1) Institutional eligibility.--Each Asian American and 
        Native American Pacific Islander-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 Asian American and 
        Native American Pacific Islander-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 Asian American and Native American 
        Pacific Islander-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 Asian American and Native American 
                Pacific Islander-serving institution to Asian American 
                and Native American Pacific Islander students; and
                  ``(B) such other information and assurance as the 
                Secretary may require.
          ``(3) Special rules.--
                  ``(A) Eligibility.--No Asian American and Native 
                American Pacific Islander-serving institution that 
                receives funds under this section shall concurrently 
                receive funds under other provisions of this part or 
                part B.
                  ``(B) Exemption.--Section 313(d) shall not apply to 
                institutions that are eligible to receive funds under 
                this section.
                  ``(C) Distribution.--In awarding grants under this 
                section, the Secretary shall--
                          ``(i) to the extent possible and consistent 
                        with the competitive process under which such 
                        grants are awarded, ensure maximum and 
                        equitable distribution among all eligible 
                        institutions; and
                          ``(ii) give priority consideration to 
                        institutions that serve a significant 
                        percentage of Asian American and Native 
                        American Pacific Islander students who are low-
                        income individuals.''.

SEC. 305. NATIVE AMERICAN-SERVING, NONTRIBAL INSTITUTIONS.

  (a) Grant Program Authorized.--Part A of title III (20 U.S.C. 1057 et 
seq.) is amended by adding after section 319 (as added by section 304 
of this Act) the following new section:

``SEC. 320. NATIVE AMERICAN-SERVING, NONTRIBAL INSTITUTIONS.

  ``(a) Program Authorized.--The Secretary shall provide grants and 
related assistance to Native American-serving, nontribal institutions 
to enable such institutions to improve and expand their capacity to 
serve Native Americans.
  ``(b) Definitions.--In this section:
          ``(1) Native american.--The term `Native American' means an 
        individual who is of a tribe, people, or culture that is 
        indigenous to the United States.
          ``(2) Native american-serving, nontribal institution.--The 
        term `Native American-serving, nontribal institution' means an 
        institution of higher education that, at the time of 
        application--
                  ``(A) has an enrollment of undergraduate students 
                that is not less than 10 percent Native American 
                students; and
                  ``(B) is not a Tribal College or University (as 
                defined in section 316).
  ``(c) Authorized Activities.--
          ``(1) Types of activities authorized.--Grants awarded under 
        this section shall be used by Native American-serving, 
        nontribal institutions to assist such institutions to plan, 
        develop, undertake, and carry out activities to improve and 
        expand such institutions' capacity to serve Native Americans.
          ``(2) Examples of authorized activities.--Such programs may 
        include--
                  ``(A) the 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 faculty 
                in attaining advanced degrees in the faculty's field of 
                instruction;
                  ``(D) curriculum development and academic 
                instruction;
                  ``(E) the 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) the 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.--A Native American-serving, 
        nontribal 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 a 
        Native American-serving, nontribal institution, along with such 
        other information and data as the Secretary may by regulation 
        require.
          ``(2) Applications.--
                  ``(A) Permission to submit applications.--Any 
                institution that is determined by the Secretary to be a 
                Native American-serving, nontribal institution may 
                submit an application for assistance under this section 
                to the Secretary.
                  ``(B) Simplified and streamlined format.--The 
                Secretary shall, to the extent possible, prescribe a 
                simplified and streamlined format for applications 
                under this section that takes into account the limited 
                number of institutions that are eligible for assistance 
                under this section.
                  ``(C) Content.--An application submitted under 
                subparagraph (A) shall include--
                          ``(i) a 5-year plan for improving the 
                        assistance provided by the Native American-
                        serving, nontribal institution to Native 
                        Americans; and
                          ``(ii) such other information and assurances 
                        as the Secretary may require.
          ``(3) Special rules.--
                  ``(A) Eligibility.--No Native American-serving, 
                nontribal institution that receives funds under this 
                section shall concurrently receive funds under other 
                provisions of this part or part B.
                  ``(B) Exemption.--Section 313(d) shall not apply to 
                institutions that are eligible to receive funds under 
                this section.
                  ``(C) Distribution.--In awarding grants under this 
                section, the Secretary shall, to the extent possible 
                and consistent with the competitive process under which 
                such grants are awarded, ensure maximum and equitable 
                distribution among all eligible institutions.''.

SEC. 306. STRENGTHENING HISTORICALLY BLACK COLLEGES AND UNIVERSITIES.

  (a) Definitions.--Section 322(4) (20 U.S.C. 1061(4)) is amended by 
inserting after ``the Secretary'' the following: ``, in consultation 
with the Commissioner of the National Center for Education 
Statistics,''.
  (b) Authorized Activities.--Section 323(a) (20 U.S.C. 1062(a)) is 
amended--
          (1) by redesignating paragraph (12) as paragraph (15); and
          (2) by inserting after paragraph (11) the following new 
        paragraphs:
          ``(12) Acquisition of real property in connection with the 
        construction, renovation, or addition to or improvement of 
        campus facilities.
          ``(13) Education or financial information designed to improve 
        the financial literacy and economic literacy of students or the 
        students' parents, especially with regard to student 
        indebtedness and student assistance programs under the title 
        IV.
          ``(14) Technical assistance or services necessary for the 
        implementation of projects or activities that are described in 
        the grant application and that are approved, in advance, by the 
        Secretary, except that not more than two percent of the grant 
        amount may be used for this purpose.''.
  (c) Allotments.--
          (1) Minimum allotment.--Subsection (d) of section 324 (20 
        U.S.C. 1063(d)) is amended to read as follows:
  ``(d) Minimum Allotment.--(1) If an otherwise eligible part B 
institution did not enroll any Pell Grant recipients, or did not 
graduate any students in the previous academic year, or where 
appropriate, send any such graduates on to graduate or first-
professional degree study, the institution shall not receive a grant 
under this part.
  ``(2) If the data provided by an eligible institution, pursuant to 
this section, is insufficient to justify an award in excess of 
$500,000, the otherwise eligible institution shall receive an allotment 
of $500,000, except that the Secretary shall not make an award of 
$500,000 if the amount determined based upon the formulas using 
subsection (b), (c), and (d) would be less than $250,000. If the amount 
determined by the formula would be less than $250,000, the Secretary 
shall award the minimum allotment of $250,000.''.
          (2) Condition for allotments.--Section 324 (20 U.S.C. 1063) 
        is further amended by adding at the end the following new 
        subsection:
  ``(h) Conditions for Allotments.--No institution shall receive an 
allotment under this section unless the institution provides data, 
required by the Secretary consistent with the formula in subsections 
(a) through (c), including the number of Pell Grant recipients enrolled 
in the previous award year; the number of students who earned an 
associate or baccalaureate degree in the previous academic year; and, 
when appropriate, the percentage of graduates who, within the past five 
years, enrolled in a graduate or first-professional degree program. No 
institution shall receive an allotment, including the minimum allotment 
under subsection (d), unless the institution provides the data required 
of that institution by the Secretary.''.
  (d) Professional or Graduate Institutions.--
          (1) Duration of grant.--Section 326(b) (20 U.S.C. 1063b(b)) 
        is amended by adding at the end the following new sentence: 
        ``Any funds awarded for such five-year grant period that are 
        obligated during such five-year period may be expended during 
        the 10-year period beginning on the first day of such five-year 
        period.''.
          (2) Authorized activities.--Section 326(c) (20 U.S.C. 
        1063b(c)) is amended--
                  (A) by striking ``and'' at the end of paragraph (6);
                  (B) by striking the period at the end of paragraph 
                (7) and inserting a semicolon; and
                  (C) by adding at the end the following new 
                paragraphs:
          ``(8) acquisition of real property in connection with the 
        construction, renovation, or addition to or improvement of 
        campus facilities;
          ``(9) education or financial information designed to improve 
        the financial literacy and economic literacy of students or the 
        students' parents, especially with regard to student 
        indebtedness and student assistance programs under the title 
        IV; and
          ``(10) technical assistance or services necessary for the 
        implementation of projects or activities that are described in 
        the grant application and that are approved, in advance, by the 
        Secretary, except that not more than two percent of the grant 
        amount may be used for this purpose.''.
          (3) Eligibility.--Section 326(e)(1) (20 U.S.C. 1063b(e)(1)) 
        is amended--
                  (A) by striking ``and'' at the end of subparagraph 
                (Q);
                  (B) by striking the period at the end of subparagraph 
                (R) and inserting a semicolon; and
                  (C) by adding at the end the following new 
                subparagraphs:
                  ``(S) Alabama State University qualified graduate 
                programs;
                  ``(T) Bowie State University qualified graduate 
                programs;
                  ``(U) Delaware State University qualified graduate 
                programs;
                  ``(V) Langston University qualified graduate 
                programs;
                  ``(W) Prairie View A&M University qualified graduate 
                programs; and
                  ``(X) University of the District of Columbia David A. 
                Clarke School of Law.''.
          (4) Conforming amendment.--Section 326(e)(3) (20 U.S.C. 
        1063b(e)(3)) is amended--
                  (A) by striking ``1998'' and inserting ``2008''; and
                  (B) by striking ``(Q) and (R)'' and inserting ``(S) 
                through (X)''.
          (5) Preservation of funding.--Section 326(f) (20 U.S.C. 
        1063b(f)) is amended--
                  (A) in paragraph (1)--
                          (i) by striking ``$26,600,000'' and inserting 
                        ``$54,500,000''; and
                          (ii) by striking ``(P)'' and inserting 
                        ``(R)'';
                  (B) in paragraph (2)--
                          (i) by striking ``$26,600,000, but not in 
                        excess of $28,600,000'' and inserting 
                        ``$54,500,000, but not in excess of 
                        $60,500,000''; and
                          (ii) by striking ``subparagraphs (Q) and 
                        (R)'' and inserting ``subparagraphs (S) through 
                        (X)''; and
                  (C) in paragraph (3)--
                          (i) by striking ``$28,600,000'' and inserting 
                        ``$60,500,000''; and
                          (ii) by striking ``(R)'' and inserting 
                        ``(X)''.
  (e) Unexpended Funds.--Section 327(b) (20 U.S.C. 1063c(b)) is amended 
to read as follows:
  ``(b) Use of Unexpended Funds.--Any funds paid to an institution and 
not expended or used for the purposes for which the funds were paid 
during the five-year period following the date of the initial grant 
award, may be carried over and expended during the succeeding five-year 
period, if such funds were obligated for a purpose for which the funds 
were paid during the five-year period following the date of the initial 
grant award.''.

SEC. 307. ENDOWMENT CHALLENGE GRANTS.

  (a) Amounts.--Section 331(b) (20 U.S.C. 1065(b)) is amended--
          (1) in paragraph (2)(B)(i), by striking ``$500,000'' and 
        inserting ``$1,000,000''; and
          (2) in paragraph (5), by striking ``$50,000'' and inserting 
        ``$100,000''.
  (b) Technical Assistance.--Section 331 (20 U.S.C. 1065) is further 
amended by adding at the end the following new subsection:
  ``(l) Technical Assistance.--The Secretary, directly or by grant or 
contract, may provide technical assistance to eligible institutions to 
prepare the institutions to qualify, apply for, and maintain a grant, 
under this section.''.

SEC. 308. LIMITATIONS ON FEDERAL INSURANCE FOR BONDS ISSUED BY THE 
                    DESIGNATED BONDING AUTHORITY.

   Section 344(a) (20 U.S.C. 1066c(a)) is amended--
          (1) by striking ``$375,000,000'' and inserting 
        ``$1,100,000,000'';
          (2) by striking ``$250,000,000'' and inserting 
        ``$733,333,333''; and
          (3) by striking ``$125,000,000'' and inserting 
        ``$366,666,666''.

SEC. 309. PROGRAMS IN STEM FIELDS.

  (a) YES Partnerships; Entry Into STEM Fields.--Part E of title III 
(20 U.S.C.1067 et seq.) is amended--
          (1) by redesignating subpart 2 as subpart 3; and
          (2) by inserting after subpart 1 the following new subpart:

                  ``Subpart 2--Programs in STEM Fields

``SEC. 355. YES PARTNERSHIPS GRANT PROGRAM.

  ``(a) Grant Program Authorized.--Subject to the availability of 
appropriations to carry out this subpart, the Secretary shall make 
grants to eligible partnerships (as described in subsection (f)) to 
support underrepresented minority youth engagement in science, 
technology, engineering, and mathematics through outreach and hands-on, 
experiential-based learning projects that encourage underrepresented 
minority students in kindergarten through grade 12 to pursue careers in 
science, technology, engineering, and mathematics.
  ``(b) Minimum Grant Amount.--A grant awarded to a partnership under 
this subpart shall be for an amount that is not less than $500,000.
  ``(c) Duration.--A grant awarded under this subpart shall be for a 
period of 5 years.
  ``(d) Non-Federal Matching Share Required.--A partnership receiving a 
grant under this subpart shall provide, from non-Federal sources, in 
cash or in kind, an amount equal to 50 percent of the costs of the 
project supported by such grant.
  ``(e) Distribution of Grants.--In awarding grants under this subpart, 
the Secretary shall ensure that, to the maximum extent practicable, the 
projects funded under this subpart are located in diverse geographic 
regions of the United States.
  ``(f) Eligible Partnerships.--Notwithstanding the general eligibility 
provision in section 361, eligibility to receive grants under this 
subpart is limited to partnerships described in paragraph (5) of such 
section.

``SEC. 356. PROMOTION OF ENTRY INTO STEM FIELDS.

  ``(a) Authority To Contract, Subject to Appropriations.--The 
Secretary of Education is authorized to enter into a contract with a 
firm with a demonstrated record of success in advertising to implement 
a campaign to expand the population of qualified individuals in 
science, technology, engineering, and math (STEM) fields by encouraging 
young Americans to enter the those fields.
  ``(b) Design of Campaign.--Such a campaign shall be designed to 
enhance the image of education and professions in the STEM fields and 
promote participation in the STEM fields and shall include--
          ``(1) monitoring trends in youth attitudes toward pursuing 
        education and professions in the STEM fields and their 
        propensity toward entering the STEM fields;
          ``(2) determining what factors contribute to encouraging and 
        discouraging Americans from pursuing study in STEM fields and 
        entering the STEM fields professionally;
          ``(3) determining what specific factors limit the 
        participation of groups currently underrepresented in STEM 
        fields, including Latinos, African-Americans, and women; and
          ``(4) drawing from the market research performed under this 
        section and implementing an advertising campaign to encourage 
        young Americans to take up studies in STEM fields, beginning at 
        an early age.
  ``(c) Required Components.--Such a campaign shall include components 
that focus tailored messages on appropriate age groups, starting with 
elementary school students. Such a campaign shall link participation in 
the STEM fields to the concept of service to one's country, so that 
young people will be encouraged to enter the STEM fields in order 
fulfill the obligation to be of service to their country.
  ``(d) Priority.--Such a campaign shall hold as a high priority making 
specific appeals to Latinos, African-Americans, and women, who are 
currently under-represented in the STEM fields, in order to increase 
their numbers in the STEM fields, and shall tailor recruitment efforts 
to each specific group.
  ``(e) Use of Variety of Media.--Such a campaign shall make use of a 
variety of media, with an emphasis on television advertising, to reach 
its intended audience.
  ``(f) Teaching.--Such a campaign shall include a narrowly focused 
effort to attract current professionals in the STEM fields, through 
advertising in mediums likely to reach that specific group, into 
teaching in a STEM field in elementary and secondary school.

``SEC. 357. EVALUATION AND ACCOUNTABILITY PLAN.

  ``The Secretary shall develop an evaluation and accountability plan 
for projects funded under this subpart to objectively measure the 
impact of such projects, including a measure of whether 
underrepresented minority student enrollment in courses related to 
science, technology, engineering, and mathematics increases at the 
secondary and postsecondary levels.''.
  (b) Eligibility for Grants.--Section 361 (20 U.S.C. 1067g) is 
amended--
          (1) by striking ``or'' at the end of paragraph (3);
          (2) in paragraph (4)--
                  (A) by inserting ``to include public institutions of 
                higher education'' after ``organizations,'';
                  (B) by striking ``or'' at the end of subparagraph 
                (D);
                  (C) by striking the period at the end of subparagraph 
                (E) and inserting ``; or'';
                  (D) by adding at the end the following new 
                subparagraph:
                  ``(F) institutions of higher education which have 
                State-approved centers for research in science, 
                technology, engineering, and mathematics; or'';
          (3) by adding at the end the following new paragraph:
          ``(5) only with respect to grants under subpart 2, 
        partnerships of organizations, the membership of which shall 
        include--
                  ``(A) at least one institution of higher education 
                eligible for assistance under this title or title V;
                  ``(B) at least one high need local educational agency 
                (as defined in section 200); and
                  ``(C) at least two community organizations or 
                entities, such as businesses, professional 
                associations, community-based organizations, 
                philanthropic organizations, or State agencies.''.

SEC. 310. TECHNICAL ASSISTANCE.

  Section 391 (20 U.S.C. 1068) is amended by adding at the end the 
following new subsection:
  ``(e) Technical Assistance.--The Secretary, directly or by grant or 
contract, may provide technical assistance to eligible institutions to 
prepare the institutions to qualify, apply for, and maintain a grant, 
under this title.''.

SEC. 311. WAIVER AUTHORITY.

  (a) Section 392 (20 U.S.C. 1068a) is amended by adding at the end the 
following new subsection:
  ``(c) Waiver Authority With Respect to Institutions Located in an 
Area Affected by a Gulf Hurricane Disaster.--
          ``(1) Waiver authority.--Notwithstanding any other provision 
        of the law unless enacted with specific reference to this 
        section, for any affected institution that was receiving 
        assistance under this title at the time of a Gulf hurricane 
        disaster, the Secretary shall, for each of the fiscal years 
        2009 through 2013--
                  ``(A) waive--
                          ``(i) the eligibility data requirements set 
                        forth in section 391(d);
                          ``(ii) the wait-out period set forth in 
                        section 313(d);
                          ``(iii) the allotment requirements under 
                        section 324; and
                          ``(iv) the use of the funding formula 
                        developed pursuant to section 326(f)(3); and
                  ``(B) waive or modify any statutory or regulatory 
                provision to ensure that affected institutions that 
                were receiving assistance under this title at the time 
                of a Gulf hurricane disaster are not adversely impacted 
                by any formula calculation for fiscal year 2009 or for 
                any of the 4 succeeding fiscal years;
                  ``(C) make available to each affected institution an 
                amount that is not less than the amount made available 
                to such institution under this title for fiscal year 
                2006.
          ``(2) Definitions.--In this subsection:
                  ``(A) Affected institution.--The term `affected 
                institution' means an institution of higher education 
                that--
                          ``(i) is--
                                  ``(I) a part A institution, as such 
                                term is defined in section 312(b);
                                  ``(II) an American Indian Tribal 
                                College or University, as such term is 
                                defined in section 316(b);
                                  ``(III) an Alaskan Native-serving 
                                institution or Native Hawaiian-serving 
                                institution, as such terms are defined 
                                in section 317(b); or
                                  ``(IV) a part B institution, as such 
                                term is defined in section 322(2), or 
                                as identified in section 326(e) of such 
                                Act of 1965 (20 U.S.C. 1063(b));
                          ``(ii) is located in an area affected by a 
                        Gulf hurricane disaster; and
                          ``(iii) is able to demonstrate that, as a 
                        result of the impact of a Gulf hurricane 
                        disaster, the institution--
                                  ``(I) incurred physical damage;
                                  ``(II) has pursued collateral source 
                                compensation from insurance, the 
                                Federal Emergency Management Agency, 
                                and the Small Business Administration, 
                                as appropriate; and
                                  ``(III) was not able to fully reopen 
                                in existing facilities or to fully 
                                reopen to the pre-hurricane enrollment 
                                levels during the 30-day period 
                                beginning on August 29, 2005.
                  ``(B) Area affected by a gulf hurricane disaster; 
                gulf hurricane disaster.--The terms `area affected by a 
                Gulf hurricane disaster' and `Gulf hurricane disaster' 
                have the meanings given such terms in section 209 of 
                the Higher Education Hurricane Relief Act of 2005 
                (Public Law 109-148, 119 Stat. 2809).''.

SEC. 312. AUTHORIZATION OF APPROPRIATIONS.

  (a) Authorizations.--Section 399(a) (20 U.S.C. 1068h(a)) is amended 
to read as follows:
  ``(a) Authorizations.--
          ``(1) Part a.--(A) There are authorized to be appropriated to 
        carry out part A, $150,000,000 (other than sections 316 through 
        320) for fiscal year 2009, and such sums as may be necessary 
        for each of the 4 succeeding fiscal years.
          ``(B) There are authorized to be appropriated to carry out 
        section 316, $30,000,000 for fiscal year 2009 and such sums as 
        may be necessary for each of the 4 succeeding fiscal years.
          ``(C) There are authorized to be appropriated to carry out 
        section 317, $15,000,000 for fiscal year 2009 and such sums as 
        may be necessary for each of the 4 succeeding fiscal years.
          ``(D) There are authorized to be appropriated to carry out 
        section 318, $75,000,000 for fiscal year 2009 and such sums as 
        may be necessary for each of the 4 succeeding fiscal years.
          ``(E) There are authorized to be appropriated to carry out 
        section 319, $30,000,000 for fiscal year 2009 and such sums as 
        may be necessary for each of the 4 succeeding fiscal years.
          ``(F) There are authorized to be appropriated to carry out 
        section 320, $25,000,000 for fiscal year 2009 and such sums as 
        may be necessary for each of the 4 succeeding fiscal years.
          ``(2) Part b.--(A) There are authorized to be appropriated to 
        carry out part B (other than section 326), $300,000,000 for 
        fiscal year 2009, and such sums as may be necessary for each of 
        the 4 succeeding fiscal years.
          ``(B) There are authorized to be appropriated to carry out 
        section 326, $100,000,000 for fiscal year 2009, and such sums 
        as may be necessary for each of the 4 succeeding fiscal years.
          ``(3) Part c.--There are authorized to be appropriated to 
        carry out part C, $20,000,000 for fiscal year 2009, and such 
        sums as may be necessary for each of the 4 succeeding fiscal 
        years.
          ``(4) Part d.--(A) There are authorized to be appropriated to 
        carry out part D (other than section 345(7), but including 
        section 347), $150,000 for fiscal year 2009, and such sums as 
        may be necessary for each of the 4 succeeding fiscal years.
          ``(B) There are authorized to be appropriated to carry out 
        section 345(7), such sums as may be necessary for fiscal year 
        2009 and each of the 4 succeeding fiscal years.
          ``(5) Part e.--(A) There are authorized to be appropriated to 
        carry out subpart 1 of part E, $12,000,000 for fiscal year 2009 
        and such sums as may be necessary for each of the 4 succeeding 
        fiscal years.
          ``(B) There are authorized to be appropriated to carry out 
        subpart 2 of part E, $10,000,000 for fiscal year 2009 and such 
        sums as may be necessary for each of the 4 succeeding fiscal 
        years.''.
  (b) Minimum Grant Amount.--Section 399 (20 U.S.C. 1068h) is amended 
by adding at the end the following:
  ``(c) Minimum Grant Amount.--The minimum amount of a grant under this 
title shall be $200,000.''.

SEC. 313. TECHNICAL CORRECTIONS.

  (a) Amendments.--Title III (20 U.S.C. 1051 et seq.) is further 
amended--
          (1) in section 342(5)(C) (20 U.S.C. 1066a(5)(C)), by striking 
        ``,,'' and inserting ``,'';
          (2) in section 343(e) (20 U.S.C. 1066b(e)), by inserting 
        ``Sale of Qualified Bonds.--'' before ``Notwithstanding'';
          (3) in the matter preceding clause (i) of section 365(9)(A) 
        (20 U.S.C. 1067k(9)(A)), by striking ``support'' and inserting 
        ``supports'';
          (4) in section 391(b)(7)(E) (20 U.S.C. 1068(b)(7)(E)), by 
        striking ``subparagraph (E)'' and inserting ``subparagraph 
        (D)'';
          (5) in the matter preceding subparagraph (A) of section 
        392(b)(2) (20 U.S.C. 1068a(b)(2)), by striking ``eligible 
        institutions under part A institutions'' and inserting 
        ``eligible institutions under part A''; and
          (6) in the matter preceding paragraph (1) of section 396 (20 
        U.S.C. 1068e), by striking ``360'' and inserting ``399''.
  (b) Redesignation and Relocation.--The Higher Education Act of 1965 
is further amended--
          (1) by redesignating part J of title IV (as added by section 
        802 of the College Cost Reduction and Access Act) as part G of 
        title III, and moving such part from the end of title IV to the 
        end of title III; and
          (2) by redesignating section 499A (as added by such section) 
        as section 399A.

                     TITLE IV--TITLE IV AMENDMENTS

                       PART A--PART A AMENDMENTS

SEC. 401. FEDERAL PELL GRANTS.

  (a) Authorized Maximums.--Section 401(b)(2)(A) (20 U.S.C. 
1070a(b)(2)(A)) is amended to read as follows:
  ``(2)(A) The amount of the Federal Pell Grant for a student eligible 
under this part shall be $9,000 for each of the academic years 2009-
2010 through 2013-2014, less an amount equal to the amount determined 
to be the expected family contribution with respect to that student for 
that year.''.
  (b) Multiple Grants.--
          (1) Amendment.--Paragraph (5) of section 401(b) is amended to 
        read as follows:
          ``(5) Year-round pell grants.--The Secretary shall, for 
        students enrolled in a baccalaureate degree, associate's 
        degree, or certificate program of study at an eligible 
        institution, award such students not more than two Pell grants 
        during an award year to permit such students to accelerate 
        progress toward their degree or certificate objectives by 
        enrolling in courses for more than 2 semesters, or 3 quarters, 
        or the equivalent, in a given academic year.''.
          (2) Effective date.--The amendment made by paragraph (1) 
        shall be effective July 1, 2009.
  (c) Ineligibility Based on Involuntary Civil Commitment for Sexual 
Offenses.--Paragraph (7) of section 401(b) (as redesignated by section 
101(a) of the College Cost Reduction and Access Act) is amended by 
inserting before the period the following: ``or who is subject to an 
involuntary civil commitment upon completion of a period of 
incarceration for a forcible or nonforcible sexual offense (as 
determined in accordance with the Federal Bureau of Investigation's 
Uniform Crime Reporting Program)''.
  (d) Technical Amendment to CCRAA.--Section 401(b)(9)(F) is amended by 
striking ``remain available'' and all that follows and inserting 
``remain available for the fiscal year succeeding the fiscal year for 
which such amounts are made available.''.
  (e) Maximum Duration of Eligibility.--Section 401(c) is amended by 
adding at the end the following new paragraph:
  ``(5) The period during which a student may receive Federal Pell 
Grants shall not exceed the equivalent of 18 semesters or 27 quarters 
in duration, as determined by the Secretary by regulation. Such 
regulations shall provide, with respect to a student who received a 
Federal Pell Grant for a semester or quarter but was enrolled at a 
fraction of full-time, that only that same fraction of such semester or 
quarter shall count towards such duration limits. The provisions of 
this paragraph shall apply only to a student who receives a Federal 
Pell Grant for the first time on or after July 1, 2008.''.
  (f) Academic Competitiveness Grants.--Section 401A (as amended by 
section 8003 of Public Law 109-171)--
          (1) in subsection (b), by striking ``academic'' each place it 
        appears;
          (2) in subsection (c)--
                  (A) in the matter preceding paragraph (1)--
                          (i) by striking ``academic'' and inserting 
                        ``award''; and
                          (ii) by striking ``full-time''; and
                  (B) by amending paragraph (1) to read as follows:
          ``(1) is an eligible student under section 484, including 
        being enrolled or accepted for enrollment in a degree, 
        certificate, or other eligible program leading to a recognized 
        educational credential at an institution of higher 
        education;''; and
                  (C) in paragraph (3)--
                          (i) by striking ``academic'' each place it 
                        appears;
                          (ii) by striking ``established by a State or 
                        local educational agency and recognized as such 
                        by the Secretary'' each place it appears in 
                        subparagraphs (A)(i) and (B)(i) and inserting 
                        ``that prepares students for college and work 
                        beyond the basic graduation requirements and 
                        that is recognized as such by the designated 
                        State official, or with respect to any private 
                        school or home school, the designated school 
                        official for such school, consistent with State 
                        law'';
                          (iii) in subparagraph (A)(ii), by inserting 
                        ``, except as part of a secondary school 
                        program of study'' before the semicolon;
                          (iv) in subparagraph (C)--
                                  (I) by striking clause (i)(II) and 
                                inserting the following:
                                  ``(II) a critical foreign language; 
                                and''; and
                                  (II) in clause (ii), by striking the 
                                period at the end and inserting ``; 
                                and''; and
                          (v) by adding at the end the following:
                  ``(D) the third or fourth year of a program of 
                undergraduate education at an institution of higher 
                education (as defined in section 101(a)) that 
                demonstrates, to the satisfaction of the Secretary, 
                that the institution--
                          ``(i) offers a single liberal arts curriculum 
                        leading to a baccalaureate degree, under which 
                        students are not permitted by the institution 
                        to declare a major in a particular subject 
                        area, and those students--
                                  ``(I) study, in such years, a subject 
                                described in subparagraph (C)(i) that 
                                is at least equal to the requirements 
                                for an academic major at an institution 
                                of higher education that offers a 
                                baccalaureate degree in such subject, 
                                as certified by an appropriate official 
                                from the institution; or
                                  ``(II) has obtained a cumulative 
                                grade point average of at least 3.0 (or 
                                the equivalent as determined under 
                                regulations prescribed by the 
                                Secretary) in the relevant coursework; 
                                and
                          ``(ii) offered such curriculum prior to 
                        February 8, 2006.'';
          (3) in subsection (d)--
                  (A) in paragraph (1)(A)--
                          (i) in clause (i), by inserting ``for one 
                        academic year during the student's first year 
                        of enrollment'' after ``$750'';
                          (ii) in clause (ii), by inserting ``for one 
                        academic year during the student's second year 
                        of enrollment'' after ``$1,300''; and
                          (iii) in clause (iii)--
                                  (I) by inserting ``for one academic 
                                year'' after ``$4,000''; and
                                  (II) by striking ``subsection 
                                (c)(3)(C).'' and inserting 
                                ``subparagraph (C) or (D) of subsection 
                                (c)(3), for each of the 2 years 
                                described in such subparagraphs; or'';
                  (B) in paragraph (2)--
                          (i) in subparagraph (A)--
                                  (I) by striking ``an academic'' and 
                                inserting ``a''; and
                                  (II) by striking ``(B), or (C)'' and 
                                inserting ``(B), (C), or (D)''; and
                          (ii) in subparagraph (B)--
                                  (I) by striking ``or'' at the end of 
                                clause (ii); and
                                  (II) by striking clause (iii) and 
                                inserting the following:
                          ``(iii) two academic years under subsection 
                        (c)(3)(C); or
                          ``(iv) two academic years under subsection 
                        (c)(3)(D).''; and
                  (C) by adding at the end the following new paragraph:
          ``(3) Adjustment for less than full-time enrollment.--A grant 
        awarded under this section to an eligible student who attends 
        an eligible institution on a less than full-time (but at least 
        half-time or more) basis shall be reduced in the same 
        proportion as would a Federal Pell Grant pursuant to section 
        401(b)(2)(B).''; and
          (4) in subsection (g), by striking ``academic'' and inserting 
        ``award''.

SEC. 402. FEDERAL TRIO PROGRAMS.

  (a) Program Authority; Authorization of Appropriations.--Section 402A 
(20 U.S.C. 1070a-11) is amended--
          (1) in subsection (b)--
                  (A) in paragraph (1)--
                          (i) by inserting ``community-based 
                        organizations with experience in serving 
                        disadvantaged youth'' after ``private agencies 
                        and organizations''; and
                          (ii) by striking ``in exceptional 
                        circumstances,'';
                  (B) in paragraph (2)--
                          (i) in the matter preceding subparagraph (A), 
                        by striking ``4'' and inserting ``5'';
                          (ii) by striking subparagraph (A); and
                          (iii) by redesignating subparagraphs (B) and 
                        (C) as subparagraphs (A) and (B), respectively; 
                        and
                  (C) by striking paragraph (3) and inserting the 
                following:
          ``(3) Minimum grants.--Unless the institution or agency 
        requests a smaller amount, an individual grant authorized under 
        this chapter shall be awarded in an amount that is not less 
        than $200,000, except that an individual grant authorized under 
        section 402G shall be awarded in an amount that is not less 
        than $170,000.'';
          (2) in subsection (c)--
                  (A) in paragraph (2), by striking ``service 
                delivery'' and inserting ``high quality service 
                delivery, as determined under subsection (f),'';
                  (B) in paragraph (3)(B), by striking ``is not 
                required to'' and inserting ``shall not'';
                  (C) in paragraph (5), by striking ``campuses'' and 
                inserting ``different campuses''; and
                  (D) in paragraph (6), by adding at the end the 
                following new sentence: ``The Secretary shall require 
                each applicant for funds under the programs authorized 
                by this chapter to identify services to foster care 
                youth as a permissible service in those programs, and 
                to ensure that such youth receive supportive services, 
                including mentoring, tutoring, and other services 
                provided by those programs.'';
          (3) in subsection (e)--
                  (A) by striking ``(g)(2)'' each place it appears and 
                inserting ``(h)(4)''; and
                  (B) by adding at the end the following new paragraph:
  ``(3) Notwithstanding this subsection and subsection (i)(4), 
individuals who are homeless or unaccompanied youth as defined in 
section 725 of the McKinney-Vento Homeless Assistance Act shall be 
eligible to participate in programs under sections 402B, 402C, 402D, 
and 402F of this chapter.'';
          (4) by redesignating subsections (f) and (g) as subsections 
        (g) and (h), respectively;
          (5) by inserting after subsection (e) the following:
  ``(f) Outcome Criteria.--
          ``(1) Use for prior experience determination.--The Secretary 
        shall use the outcome criteria described in paragraphs (2) and 
        (3) to evaluate the programs provided by a recipient of a grant 
        under this chapter, and the Secretary shall determine an 
        eligible entity's prior experience of high quality service 
        delivery, as required under subsection (c)(2), based on the 
        outcome criteria.
          ``(2) Disaggregation of relevant data.--The outcome criteria 
        under this subsection shall be disaggregated by low-income 
        students, first generation college students, and individuals 
        with disabilities, in the schools and institutions of higher 
        education served by the program to be evaluated.
          ``(3) Contents of outcome criteria.--The outcome criteria 
        under this subsection shall measure, annually and for longer 
        periods, the quality and effectiveness of programs authorized 
        under this chapter and shall include the following:
                  ``(A) For programs authorized under section 402B, the 
                extent to which the eligible entity met or exceeded the 
                entity's objectives established in the entity's 
                application for such program regarding--
                          ``(i) the delivery of service to a total 
                        number of students served by the program;
                          ``(ii) the continued secondary school 
                        enrollment of such students;
                          ``(iii) the graduation of such students from 
                        secondary school;
                          ``(iv) the completion by such students of a 
                        rigorous secondary school program of study that 
                        will make them eligible for programs such as 
                        the Academic Competitiveness Grants; and
                          ``(v) the enrollment of such students in an 
                        institution of higher education.
                  ``(B) For programs authorized under section 402C, the 
                extent to which the eligible entity met or exceeded the 
                entity's objectives for such program regarding--
                          ``(i) the delivery of service to a total 
                        number of students served by the program, as 
                        agreed upon by the entity and the Secretary for 
                        the period;
                          ``(ii) such students' school performance, as 
                        measured by the grade point average, or its 
                        equivalent;
                          ``(iii) such students' academic performance, 
                        as measured by standardized tests, including 
                        tests required by the students' State;
                          ``(iv) the retention in, and graduation from, 
                        secondary school of such students;
                          ``(v) the completion by such students of a 
                        rigorous secondary school program of study that 
                        will make them eligible for programs such as 
                        the Academic Competitiveness Grants; and
                          ``(vi) the enrollment of such students in an 
                        institution of higher education.
                  ``(C) For programs authorized under section 402D--
                          ``(i) the extent to which the eligible entity 
                        met or exceeded the entity's objectives 
                        regarding the retention in postsecondary 
                        education of the students served by the 
                        program;
                          ``(ii)(I) in the case of an entity that is an 
                        institution of higher education offering a 
                        baccalaureate degree, the extent to which the 
                        percentage of students served by the program 
                        who completed degree programs met or exceeded 
                        the entity's objectives; or
                          ``(II) in the case of an entity that is an 
                        institution of higher education that does not 
                        offer a baccalaureate degree, the extent to 
                        which the students served by the entity met or 
                        exceeded s objectives regarding--
                                  ``(aa) the completion of a degree or 
                                certificate; and
                                  ``(bb) the transfer to institutions 
                                of higher education that offer 
                                baccalaureate degrees;
                          ``(iii) the extent to which the entity met or 
                        exceeded the entity's objectives regarding the 
                        delivery of service to a total number of 
                        students, as agreed upon by the entity and the 
                        Secretary for the period; and
                          ``(iv) the extent to which the entity met or 
                        exceeded the entity's objectives regarding such 
                        students remaining in good academic standing.
                  ``(D) For programs authorized under section 402E, the 
                extent to which the entity met or exceeded the entity's 
                objectives for such program regarding--
                          ``(i) the delivery of service to a total 
                        number of students, as agreed upon by the 
                        entity and the Secretary for the period;
                          ``(ii) the provision of appropriate scholarly 
                        and research activities for the students served 
                        by the program;
                          ``(iii) the acceptance and enrollment of such 
                        students in graduate programs; and
                          ``(iv) the continued enrollment of such 
                        students in graduate study and the attainment 
                        of doctoral degrees by former program 
                        participants.
                  ``(E) For programs authorized under section 402F, the 
                extent to which the entity met or exceeded the entity's 
                objectives for such program regarding--
                          ``(i) the enrollment of students without a 
                        secondary school diploma or its recognized 
                        equivalent, who were served by the program, in 
                        programs leading to such diploma or equivalent;
                          ``(ii) the enrollment of secondary school 
                        graduates who were served by the program in 
                        programs of postsecondary education;
                          ``(iii) the delivery of service to a total 
                        number of students, as agreed upon by the 
                        entity and the Secretary for the period; and
                          ``(iv) the provision of assistance to 
                        students served by the program in completing 
                        financial aid applications and college 
                        admission applications.
          ``(4) Measurement of progress.--In order to determine the 
        extent to which an outcome criterion described in paragraph (2) 
        or (3) is met or exceeded, the Secretary shall compare the 
        agreed upon target for the criterion, as established in the 
        eligible entity's application approved for funding by the 
        Secretary, with the results for the criterion, measured as of 
        the last day of the applicable time period for the 
        determination for each outcome criteria.
          ``(5) Appeals.--Upon determination by the Secretary not to 
        accept an application, or upon determination by the Secretary 
        through the peer review process as specified in (c)(4) not to 
        fund an application, for any program under this chapter, the 
        Secretary shall allow such applicant to appeal to an 
        administrative law judge that the Secretary improperly rejected 
        or improperly scored the evaluation criteria points. The 
        Secretary shall notify each entity requesting assistance under 
        this chapter regarding the status of their application at least 
        90 days prior to the startup date of such program.'';
          (6) in subsection (g) (as redesignated by paragraph (4))--
                  (A) in the first sentence, by striking ``$700,000,000 
                for fiscal year 1999'' and all that follows through the 
                period and inserting ``$950,000,000 for fiscal year 
                2009 and such sums for each of the 4 succeeding fiscal 
                years.''; and
                  (B) by striking the fourth sentence; and
          (7) in subsection (h) (as redesignated by paragraph (4))--
                  (A) by redesignating paragraphs (1) through (4) as 
                paragraphs (3) through (6), respectively;
                  (B) by inserting before paragraph (3) (as 
                redesignated by subparagraph (A)) the following:
          ``(1) Different campus.--The term `different campus' means a 
        site of an institution of higher education that--
                  ``(A) is geographically apart from the main campus of 
                the institution;
                  ``(B) is permanent in nature; and
                  ``(C) offers courses in educational programs leading 
                to a degree, certificate, or other recognized 
                educational credential.
          ``(2) Different population.--The term `different population' 
        means a group of individuals that an eligible entity desires to 
        serve through an application for a grant under this chapter, 
        and that--
                  ``(A) is separate and distinct from any other 
                population that the entity has applied for a grant 
                under this chapter to serve; or
                  ``(B) while sharing some of the same needs as another 
                population that the eligible entity has applied for a 
                grant under this chapter to serve, has distinct needs 
                for specialized services.'';
                  (C) in paragraph (5) (as redesignated by subparagraph 
                (A))--
                          (i) in subparagraph (A)--
                                  (I) by striking ``, any part of which 
                                occurred after January 31, 1955,''; and
                                  (II) by striking ``or'' after the 
                                semicolon;
                          (ii) in subparagraph (B)--
                                  (I) by striking ``after January 31, 
                                1955,''; and
                                  (II) by striking the period at the 
                                end and inserting a semicolon; and
                          (iii) by adding at the end the following:
                  ``(C) was a member of a reserve component of the 
                Armed forces called to active duty for a period of more 
                than 180 days; or
                  ``(D) was a member of a reserve component of the 
                Armed Forces who served on active duty in support of a 
                contingency operation (as that term is defined in 
                section 101(a)(13) of title 10, United States Code) on 
                or after September 11, 2001.''; and
                  (D) in paragraph (6), by striking ``subparagraph (A) 
                or (B) of paragraph (3)'' and inserting ``subparagraph 
                (A), (B), or (C) of paragraph (5)''.
  (b) Upward Bound.--Section 402C (20 U.S.C. 1070a-13) is amended--
          (1) in subsection (b)(11), by inserting ``, including 
        mathematics and science preparation,'' after ``special 
        services''; and
          (2) by adding at the end the following:
  ``(f) Absolute Priority Prohibited in Upward Bound Program.--Except 
as otherwise expressly provided by amendment to this section, the 
Secretary shall not implement or enforce, and shall rescind, the 
absolute priority for Upward Bound Program participant selection and 
evaluation published by the Department of Education in the Federal 
Register on September 22, 2006 (71 Fed. Reg. 55447 et seq.).''.
  (c) Amendment to Postbaccalaureate Achievement Program.--Section 
402E(c)(2) (20 U.S.C. 1070a-15(c)(2)) is amended by inserting ``, 
including Native Hawaiians, as defined section 317(b)(3), and Pacific 
Islanders'' after ``graduate education''.
  (d) Reports, Evaluations, and Grants for Project Improvement and 
Dissemination.--Section 402H (20 U.S.C. 1070a-18) is amended--
          (1) by striking the section heading and inserting ``REPORTS, 
        EVALUATIONS, AND GRANTS FOR PROJECT IMPROVEMENT AND 
        DISSEMINATION.'';
          (2) by redesignating subsections (a) through (c) as 
        subsections (b) through (d), respectively;
          (3) by inserting before subsection (b) (as redesignated by 
        paragraph (2)) the following:
  ``(a) Reports to the Authorizing Committees.--The Secretary shall 
submit annually to the authorizing committees a report that documents 
the performance of all programs funded under this chapter. The report 
shall--
          ``(1) be submitted not later than 24 months after the 
        eligible entities receiving funds under this chapter are 
        required to report their performance to the Secretary;
          ``(2) focus on the programs' performance on the relevant 
        outcome criteria determined under section 402A(f)(4);
          ``(3) aggregate individual project performance data on the 
        outcome criteria in order to provide national performance data 
        for each program;
          ``(4) include, when appropriate, descriptive data, multi-year 
        data, and multi-cohort data; and
          ``(5) include comparable data on the performance nationally 
        of low-income students, first-generation students, and students 
        with disabilities.''; and
          (4) in subsection (b) (as redesignated by paragraph (2)), by 
        striking paragraph (2) and inserting the following:
          ``(2) Practices.--
                  ``(A) In general.--The evaluations described in 
                paragraph (1) shall identify institutional, community, 
                and program or project practices that are particularly 
                effective in--
                          ``(i) enhancing the access of low-income 
                        individuals and first-generation college 
                        students to postsecondary education;
                          ``(ii) the preparation of the individuals and 
                        students for postsecondary education; and
                          ``(iii) fostering the success of the 
                        individuals and students in postsecondary 
                        education.
                  ``(B) Primary purpose.--Any evaluation conducted 
                under this chapter shall have as its primary purpose 
                the identification of particular practices that further 
                the achievement of the outcome criteria determined 
                under section 402A(f)(4).
                  ``(C) Dissemination and use of evaluation findings.--
                The Secretary shall disseminate to eligible entities 
                and make available to the public the practices 
                identified under subparagraph (B). Such practices may 
                be used by eligible entities that receive assistance 
                under this chapter after the dissemination.
          ``(3) Recruitment.--The Secretary shall not require an 
        eligible entity desiring to receive assistance under this 
        chapter to recruit students to serve as a control group for 
        purposes of evaluating any program or project assisted under 
        this chapter.
          ``(4) Consideration.--When designing an evaluation under this 
        subsection, the Secretary shall consider--
                  ``(A) the burden placed upon the program participants 
                or the eligible entity; and
                  ``(B) approval by the institution's institutional 
                review board.''.

SEC. 403. GEARUP AMENDMENTS.

  (a) Eligible Students.--Section 404A(a) (20 U.S.C. 1070a-21(a)) is 
amended--
          (1) in paragraph (1), by inserting ``, including students 
        with disabilities,'' after ``low-income students''; and
          (2) in paragraph (2)(A), by inserting ``, including students 
        with disabilities,'' after ``secondary school students''.
  (b) Award Period; Priority.--Section 404A(b) (20 U.S.C. 1070a-21(b)) 
is amended by striking paragraph (2) and inserting the following:
          ``(2) Award period.--The Secretary may award a grant under 
        this chapter to an eligible entity described in paragraphs (1) 
        and (2) of subsection (c) for 7 years.
          ``(3) Priority.--In making awards to eligible entities 
        described in subsection (c)(1), the Secretary shall--
                  ``(A) give priority to eligible entities that--
                          ``(i) on the day before the date of enactment 
                        of the College Opportunity and Affordability 
                        Act of 2007, carried out successful educational 
                        opportunity programs under this chapter (as 
                        this chapter was in effect on such day); and
                          ``(ii) have a prior, demonstrated commitment 
                        to early intervention leading to college access 
                        through collaboration and replication of 
                        successful strategies; and
                  ``(B) ensure that students served under this chapter 
                on the day before the date of enactment of the College 
                Opportunity and Affordability Act of 2007 continue to 
                receive assistance through the completion of secondary 
                school.''.
  (c) Requirements: Continuity of Services.--
          (1) Cohort approach.--Section 404B(g)(1) (20 U.S.C. 1070a-
        22(g)(1)) is amended--
                  (A) by striking ``and'' at the end of subparagraph 
                (A);
                  (B) in subparagraph (B)--
                          (i) by inserting ``and provide the option of 
                        continued services through the student's first 
                        year of attendance at an institution of higher 
                        education'' after ``grade level''; and
                          (ii) by striking the period at the end and 
                        inserting ``; and''; and
                  (C) by adding at the end the following new 
                subparagraph:
                  ``(C) provide services under this chapter to students 
                who have received services under a previous GEAR UP 
                grant award but have not yet completed the 12th 
                grade.''.
          (2) Early intervention.--Section 404D (20 U.S.C. 1070a-24) is 
        amended--
                  (A) in subsection (a)(1)(B)--
                          (i) by striking ``and'' at the end of clause 
                        (ii);
                          (ii) by striking the period at the end of 
                        clause (iii) and inserting ``; and''; and
                          (iii) by adding at the end the following new 
                        clause:
                          ``(iv) the transition to college or 
                        postsecondary education through continuity of 
                        services to support students in and through the 
                        first year of attendance at an institution of 
                        higher education.'';
                  (B) in subsection (b)(2)(A)--
                          (i) by inserting ``and students in the first 
                        year of attendance at an institution of higher 
                        education'' after ``grade 12'';
                          (ii) by striking ``and'' at the end of clause 
                        (i);
                          (iii) by striking the period at the end of 
                        clause (ii) and inserting ``; and''; and
                          (iv) by adding at the end the following new 
                        clause:
                          ``(iii) may include special programs or 
                        tutoring in science, technology, engineering, 
                        or mathematics.''; and
                  (C) in subsection (c)--
                          (i) in the matter preceding paragraph (1), by 
                        striking ``grade 12 who is eligible'' and 
                        inserting ``grade 12, and may consider a 
                        student in the first year of attendance at an 
                        institution, who is'';
                          (ii) in paragraph (1), by inserting 
                        ``eligible'' before ``to be counted'';
                          (iii) in paragraph (2), by inserting 
                        ``eligible'' before ``for free'', and by 
                        striking ``or'';
                          (iv) in paragraph (3), by inserting 
                        ``eligible'' before ``for assistance'', and by 
                        striking the period and inserting a semicolon; 
                        and
                          (v) by adding at the end the following new 
                        paragraphs:
          ``(4) in foster care; or
          ``(5) a homeless or unaccompanied youth as defined in section 
        725 of the McKinney-Vento Homeless Assistance Act.''.
  (d) Flexibility in Meeting Matching Requirements.--Section 404C (20 
U.S.C. 1070a-23) is amended--
          (1) in subsection (b)--
                  (A) in paragraph (1)(A), by inserting ``and accrued 
                over the full duration of the grant award period'' 
                after ``in cash or in kind'';
                  (B) in paragraph (2), by adding at the end the 
                following new sentence: ``Eligible entities may request 
                a reduced match percentage at the time of application 
                or by petition subsequent to a grant award, provided 
                that an eligible entity can demonstrate a change in 
                circumstances that was unknown at the time of 
                application.''; and
                  (C) by adding at the end the following new paragraph:
          ``(3) Additional special rule.--To encourage eligible 
        entities described in 404A(c) to provide students under this 
        chapter with financial assistance for postsecondary education, 
        each dollar of non-Federal funds obligated under subsection 
        (c)(1) and (c)(2) shall, for purposes of paragraph (1)(A) of 
        this subsection, be treated as 2 dollars.''; and
          (2) in subsection (c)--
                  (A) in paragraph (1), by striking ``paid to students 
                from State, local, institutional, or private funds 
                under this chapter'' and inserting ``obligated to 
                students from State, local, institutional, or private 
                funds under this chapter, including pre-existing , non-
                Federal financial assistance programs'';
                  (B) by striking ``and'' at the end of paragraph (2);
                  (C) by striking the period at the end of paragraph 
                (3) and inserting ``; and''; and
                  (D) by adding at the end the following new paragraph:
          ``(4) other resources recognized by the Secretary, including 
        equipment and supplies, cash contribution from non-Federal 
        sources, transportation expenses, in-kind or discounted program 
        services, indirect costs, and facility usage.''.
  (e) Early Intervention.--Section 404D (20 U.S.C. 1070a-24) is 
amended--
          (1) in subsection (b)(2)(A)(ii), by striking ``and academic 
        counseling'' and inserting ``, academic counseling, and 
        financial literacy and economic literacy education or 
        counseling'';
          (2) in subsection (b)(2), by adding at the end the following 
        new subparagraphs:
                  ``(F) Fostering and improving parent and family 
                involvement in elementary and secondary education by 
                promoting the advantages of a college education, and 
                emphasizing academic admission requirements and the 
                need to take college preparation courses, through 
                parent engagement and leadership activities.
                  ``(G) Engaging entities described in section 
                404A(c)(2)(C) in a collaborative manner to provide 
                matching resources and participate in other activities 
                authorized under this section.
                  ``(H) Disseminating information that promotes the 
                importance of higher education, explains college 
                preparation and admission requirements, and raises 
                awareness of the resources and services provided by the 
                eligible entities described in section 404A(c) to 
                eligible students, their families, and communities.''; 
                and
          (3) by adding at the end of subsection (b) the following new 
        paragraph:
          ``(3) Additional permissible activities for states.--In 
        meeting the requirements of subsection (a), an eligible entity 
        described in section 404A(c) (1) receiving funds under this 
        chapter may, in addition to the activities authorized by 
        paragraph (2) of this subsection, use funds to provide 
        technical assistance to--
                  ``(A) middle schools or secondary schools that are 
                located within the State; or
                  ``(B) partnerships described in section 404A(c)(2) 
                that are located within the State.''.
  (f) Scholarship Component.--Section 404E (20 U.S.C. 1070a-25) is 
amended--
          (1) in subsection (a)(1), by inserting ``to supplement aid 
        for which they are regularly eligible'' after ``shall establish 
        or maintain a financial assistance program that awards 
        scholarships to students'';
          (2) in subsection (a)(2), by inserting ``to supplement aid 
        for which they are regularly eligible'' after ``An eligible 
        entity described in section 404A(c)(2) may award scholarships 
        to eligible students''; and
          (3) in subsection (b)(2), by striking ``the maximum Federal 
        Pell Grant'' and inserting ``the minimum Federal Pell Grant''.
  (g) Authorization of Appropriations.--Section 404H (20 U.S.C. 1070a-
31) is amended by striking ``$200,000,000 for fiscal year 1999 and such 
sums as may be necessary for each of the 4 succeeding fiscal years'' 
and inserting ``$400,000,000 for fiscal year 2009 and such sums as may 
be necessary for each of the 4 succeeding fiscal years''.

SEC. 404. ACADEMIC ACHIEVEMENT INCENTIVE SCHOLARSHIPS.

  Chapter 3 of subpart 1 of part A of title IV (20 U.S.C. 1070a-31 et 
seq.) is repealed.

SEC. 405. FEDERAL SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANTS.

  (a) Authorization of Appropriations.--Section 413A(b)(1) (20 U.S.C. 
1070b(b)(1)) is amended by striking ``$675,000,000 for fiscal year 
1999'' and inserting ``$875,000,000 for fiscal year 2009''.
  (b) Allowance for Books and Supplies.--Section 413D(c)(3)(D) (20 
U.S.C. 1070b-3(c)(3)(D)) is amended by striking ``$450'' and inserting 
``$600''.

SEC. 406. GRANTS FOR ACCESS AND PERSISTENCE.

  (a) Authorization of Appropriations.--Section 415A(b) (20 U.S.C. 
1070c(b)) is amended by striking paragraphs (1) and (2) and inserting 
the following:
          ``(1) In general.--There are authorized to be appropriated to 
        carry out this subpart $200,000,000 for fiscal year 2009 and 
        such sums as may be necessary for each of the 4 succeeding 
        fiscal years.
          ``(2) Reservation.--For any fiscal year for which the amount 
        appropriated under paragraph (1) exceeds $30,000,000, the 
        excess amount shall be available to carry out section 415E.''.
  (b) Applications for Leveraging Educational Assistance Partnership 
Programs.--Section 415C(b) (20 U.S.C. 1070c-2(b)) is amended--
          (1) in paragraph (2), by striking ``$5,000'' and inserting 
        ``$12,500'';
          (2) in paragraph (9), by striking ``and'' after the 
        semicolon;
          (3) in paragraph (10), by striking the period at the end and 
        inserting ``; and''; and
          (4) by adding at the end the following:
          ``(11) provides notification to eligible students that such 
        grants are--
                  ``(A) Leveraging Educational Assistance Partnership 
                Grants; and
                  ``(B) funded by the Federal Government and the 
                State.''.
  (c) Grants for Access and Persistence.--Section 415E (20 U.S.C. 
1070c-3a) is amended to read as follows:

``SEC. 415E. GRANTS FOR ACCESS AND PERSISTENCE.

  ``(a) Purpose.--It is the purpose of this section to expand college 
access and increase college persistence by making allotments to States 
to enable the States to--
          ``(1) expand and enhance partnerships with institutions of 
        higher education, early information and intervention, 
        mentoring, or outreach programs, private corporations, 
        philanthropic organizations, and other interested parties to 
        carry out activities under this section and to provide 
        coordination and cohesion among Federal, State, and local 
        governmental and private efforts that provide financial 
        assistance to help low-income students attend college;
          ``(2) provide need-based access and persistence grants to 
        eligible low-income students;
          ``(3) provide early notification to low-income students of 
        their eligibility for financial aid; and
          ``(4) encourage increased participation in early information 
        and intervention, mentoring, or outreach programs.
  ``(b) Allotments to States.--
          ``(1) In general.--
                  ``(A) Authorization.--From sums reserved under 
                section 415A(b)(2) for each fiscal year, the Secretary 
                shall make an allotment to each State that submits an 
                application for an allotment in accordance with 
                subsection (c) to enable the State to pay the Federal 
                share of the cost of carrying out the activities under 
                subsection (d).
                  ``(B) Determination of allotment.--In making 
                allotments under subparagraph (A), the Secretary shall 
                consider the following:
                          ``(i) Continuation of award.--If a State 
                        continues to meet the specifications 
                        established in its application under subsection 
                        (c), the Secretary shall make an allotment to 
                        such State that is not less than the allotment 
                        made to such State for the previous fiscal 
                        year.
                          ``(ii) Priority.--The Secretary shall give 
                        priority in making allotments to States that 
                        meet the requirements under paragraph 
                        (2)(B)(ii).
          ``(2) Federal share.--
                  ``(A) In general.--The Federal share of the cost of 
                carrying out the activities under subsection (d) for 
                any fiscal year shall not exceed 66.66 percent.
                  ``(B) Different percentages.--The Federal share under 
                this section shall be determined in accordance with the 
                following:
                          ``(i) The Federal share of the cost of 
                        carrying out the activities under subsection 
                        (d) shall be equal to 57 percent if a State 
                        applies for an allotment under this section in 
                        partnership with any number of degree-granting 
                        institutions of higher education in the State 
                        whose combined full-time enrollment represents 
                        less than a majority of all students attending 
                        institutions of higher education in the State, 
                        and--
                                  ``(I) philanthropic organizations 
                                that are located in, or that provide 
                                funding in, the State; or
                                  ``(II) private corporations that are 
                                located in, or that do business in, the 
                                State.
                          ``(ii) The Federal share of the cost of 
                        carrying out the activities under subsection 
                        (d) shall be equal to 66.66 percent if a State 
                        applies for an allotment under this section in 
                        partnership with any number of degree-granting 
                        institutions of higher education in the State 
                        whose combined full-time enrollment represents 
                        a majority of all students attending 
                        institutions of higher education in the State, 
                        and--
                                  ``(I) philanthropic organizations 
                                that are located in, or that provide 
                                funding in, the State; or
                                  ``(II) private corporations that are 
                                located in, or that do business in, the 
                                State.
                  ``(C) Non-federal share.--
                          ``(i) In general.--The non-Federal share 
                        under this section may be provided in cash or 
                        in kind, fairly evaluated.
                          ``(ii) In kind contribution.--For the purpose 
                        of calculating the non-Federal share under this 
                        subparagraph, an in kind contribution is a non-
                        cash contribution that--
                                  ``(I) has monetary value, such as the 
                                provision of--
                                          ``(aa) room and board; or
                                          ``(bb) transportation passes; 
                                        and
                                  ``(II) helps a student meet the cost 
                                of attendance at an institution of 
                                higher education.
                          ``(iii) Effect on needs analysis.--For the 
                        purpose of calculating a student's need in 
                        accordance with part F, an in kind contribution 
                        described in clause (ii) shall not be 
                        considered an asset or income of the student or 
                        the student's parent.
  ``(c) Application for Allotment.--
          ``(1) In general.--
                  ``(A) Submission.--A State that desires to receive an 
                allotment under this section shall submit an 
                application to the Secretary at such time, in such 
                manner, and containing such information as the 
                Secretary may require.
                  ``(B) Content.--An application submitted under 
                subparagraph (A) shall include the following:
                          ``(i) A description of the State's plan for 
                        using the allotted funds.
                          ``(ii) Assurances that the State will provide 
                        matching funds, in cash or in kind, from State, 
                        institutional, philanthropic, or private funds, 
                        of not less than 33.33 percent of the cost of 
                        carrying out the activities under subsection 
                        (d). The State shall specify the methods by 
                        which matching funds will be paid and include 
                        provisions designed to ensure that funds 
                        provided under this section will be used to 
                        supplement, and not supplant, Federal and non-
                        Federal funds available for carrying out the 
                        activities under this title. A State that uses 
                        non-Federal funds to create or expand existing 
                        partnerships with nonprofit organizations or 
                        community-based organizations in which such 
                        organizations match State funds for student 
                        scholarships, may apply such matching funds 
                        from such organizations toward fulfilling the 
                        State's matching obligation under this clause.
                          ``(iii) Assurances that early information and 
                        intervention, mentoring, or outreach programs 
                        exist within the State or that there is a plan 
                        to make such programs widely available.
                          ``(iv) A description of the organizational 
                        structure that the State has in place to 
                        administer the activities under subsection (d).
                          ``(v) A description of the steps the State 
                        will take to ensure students who receive grants 
                        under this section persist to degree 
                        completion.
                          ``(vi) Assurances that the State has a method 
                        in place, such as acceptance of the automatic 
                        zero expected family contribution determination 
                        described in section 479(c), to identify 
                        eligible low-income students and award State 
                        grant aid to such students.
                          ``(vii) Assurances that the State will 
                        provide notification to eligible low-income 
                        students that grants under this section are--
                                  ``(I) Leveraging Educational 
                                Assistance Partnership Grants; and
                                  ``(II) funded by the Federal 
                                Government and the State.
          ``(2) State agency.--The State agency that submits an 
        application for a State under section 415C(a) shall be the same 
        State agency that submits an application under paragraph (1) 
        for such State.
          ``(3) Partnership.--In applying for an allotment under this 
        section, the State agency shall apply for the allotment in 
        partnership with--
                  ``(A) not less than one public and one private 
                degree-granting institution of higher education that 
                are located in the State;
                  ``(B) new or existing early information and 
                intervention, mentoring, or outreach programs located 
                in the State; and
                  ``(C) not less than one--
                          ``(i) philanthropic organization located in, 
                        or that provides funding in, the State; or
                          ``(ii) private corporation located in, or 
                        that does business in, the State.
          ``(4) Roles of partners.--
                  ``(A) State agency.--A State agency that is in a 
                partnership receiving an allotment under this section--
                          ``(i) shall--
                                  ``(I) serve as the primary 
                                administrative unit for the 
                                partnership;
                                  ``(II) provide or coordinate matching 
                                funds, and coordinate activities among 
                                partners;
                                  ``(III) encourage each institution of 
                                higher education in the State to 
                                participate in the partnership;
                                  ``(IV) make determinations and early 
                                notifications of assistance as 
                                described under subsection (d)(2); and
                                  ``(V) annually report to the 
                                Secretary on the partnership's progress 
                                in meeting the purpose of this section; 
                                and
                          ``(ii) may provide early information and 
                        intervention, mentoring, or outreach programs.
                  ``(B) Degree-granting institutions of higher 
                education.--A degree-granting institution of higher 
                education (as defined in section 102) that is in a 
                partnership receiving an allotment under this section--
                          ``(i) shall--
                                  ``(I) recruit and admit participating 
                                qualified students and provide such 
                                additional institutional grant aid to 
                                participating students as agreed to 
                                with the State agency;
                                  ``(II) provide support services to 
                                students who receive an access and 
                                persistence grant under this section 
                                and are enrolled at such institution; 
                                and
                                  ``(III) assist the State in the 
                                identification of eligible students and 
                                the dissemination of early 
                                notifications of assistance as agreed 
                                to with the State agency; and
                          ``(ii) may provide funding for early 
                        information and intervention, mentoring, or 
                        outreach programs or provide such services 
                        directly.
                  ``(C) Programs.--An early information and 
                intervention, mentoring, or outreach program that is in 
                a partnership receiving an allotment under this section 
                shall provide direct services, support, and information 
                to participating students.
                  ``(D) Philanthropic organization or private 
                corporation.--A philanthropic organization or private 
                corporation that is in a partnership receiving an 
                allotment under this section shall provide funds for 
                access and persistence grants for participating 
                students, or provide funds or support for early 
                information and intervention, mentoring, or outreach 
                programs.
  ``(d) Authorized Activities.--
          ``(1) In general.--
                  ``(A) Establishment of partnership.--Each State 
                receiving an allotment under this section shall use the 
                funds to establish a partnership to award access and 
                persistence grants to eligible low-income students in 
                order to increase the amount of financial assistance 
                such students receive under this subpart for 
                undergraduate education expenses.
                  ``(B) Amount.--
                          ``(i) Partnerships with institutions serving 
                        less than a majority of students in the 
                        state.--
                                  ``(I) In general.--In the case where 
                                a State receiving an allotment under 
                                this section is in a partnership 
                                described in subsection (b)(2)(B)(i), 
                                the amount of an access and persistence 
                                grant awarded by such State shall be 
                                not less than the amount that is equal 
                                to the average undergraduate tuition 
                                and mandatory fees at 4-year public 
                                institutions of higher education in the 
                                State where the student resides (less 
                                any other Federal or State sponsored 
                                grant amount, college work study 
                                amount, and scholarship amount received 
                                by the student) and such amount shall 
                                be used toward the cost of attendance 
                                at an institution of higher education, 
                                located in the State, that is a partner 
                                in the partnership.
                                  ``(II) Cost of attendance.--A State 
                                that has a program, apart from the 
                                partnership under this section, of 
                                providing eligible low-income students 
                                with grants that are equal to the 
                                average undergraduate tuition and 
                                mandatory fees at 4-year public 
                                institutions of higher education in the 
                                State, may increase the amount of 
                                access and persistence grants awarded 
                                by such State up to an amount that is 
                                equal to the average cost of attendance 
                                at 4-year public institutions of higher 
                                education in the State (less any other 
                                Federal or State sponsored grant 
                                amount, college work study amount, and 
                                scholarship amount received by the 
                                student).
                          ``(ii) Partnership with institutions serving 
                        the majority of students in the state.--In the 
                        case where a State receiving an allotment under 
                        this section is in a partnership described in 
                        subsection (b)(2)(B)(ii), the amount of an 
                        access and persistence grant awarded by such 
                        State shall be not less than the average cost 
                        of attendance at 4-year public institutions of 
                        higher education in the State where the student 
                        resides (less any other Federal or State 
                        sponsored grant amount, college work study 
                        amount, and scholarship amount received by the 
                        student) and such amount shall be used by the 
                        student to attend an institution of higher 
                        education, located in the State, that is a 
                        partner in the partnership.
          ``(2) Early notification.--
                  ``(A) In general.--Each State receiving an allotment 
                under this section shall annually notify low-income 
                students (such as students who are eligible to receive 
                a free lunch under the school lunch program established 
                under the Richard B. Russell National School Lunch Act 
                (42 U.S.C. 1751 et seq.)) in grade 7 through grade 12 
                in the State, and their families, of their potential 
                eligibility for student financial assistance, including 
                an access and persistence grant, to attend an 
                institution of higher education.
                  ``(B) Content of notice.--The notification under 
                subparagraph (A)--
                          ``(i) shall include--
                                  ``(I) information about early 
                                information and intervention, 
                                mentoring, or outreach programs 
                                available to the student;
                                  ``(II) information that a student's 
                                candidacy for an access and persistence 
                                grant is enhanced through participation 
                                in an early information and 
                                intervention, mentoring, or outreach 
                                program;
                                  ``(III) an explanation that student 
                                and family eligibility and 
                                participation in other Federal means-
                                tested programs may indicate 
                                eligibility for an access and 
                                persistence grant and other student aid 
                                programs;
                                  ``(IV) a nonbinding estimation of the 
                                total amount of financial aid a low-
                                income student with a similar income 
                                level may expect to receive, including 
                                an estimation of the amount of an 
                                access and persistence grant and an 
                                estimation of the amount of grants, 
                                loans, and all other available types of 
                                aid from the major Federal and State 
                                financial aid programs;
                                  ``(V) an explanation that in order to 
                                be eligible for an access and 
                                persistence grant, at a minimum, a 
                                student shall meet the requirement 
                                under paragraph (3), graduate from 
                                secondary school, and enroll at an 
                                institution of higher education that is 
                                a partner in the partnership;
                                  ``(VI) information on any additional 
                                requirements (such as a student pledge 
                                detailing student responsibilities) 
                                that the State may impose for receipt 
                                of an access and persistence grant 
                                under this section; and
                                  ``(VII) instructions on how to apply 
                                for an access and persistence grant and 
                                an explanation that a student is 
                                required to file a Free Application for 
                                Federal Student Aid authorized under 
                                section 483(a) to be eligible for such 
                                grant and assistance from other Federal 
                                and State financial aid programs; and
                          ``(ii) may include a disclaimer that access 
                        and persistence grant awards are contingent 
                        upon--
                                  ``(I) a determination of the 
                                student's financial eligibility at the 
                                time of the student's enrollment at an 
                                institution of higher education that is 
                                a partner in the partnership;
                                  ``(II) annual Federal and State 
                                appropriations; and
                                  ``(III) other aid received by the 
                                student at the time of the student's 
                                enrollment at an institution of higher 
                                education that is a partner in the 
                                partnership.
          ``(3) Eligibility.--In determining which students are 
        eligible to receive access and persistence grants, the State 
        shall ensure that each such student complies with the following 
        subparagraph (A) or (B):
                  ``(A) Meets not less than 2 of the following 
                criteria, with priority given to students meeting all 
                of the following criteria:
                          ``(i) Has an expected family contribution 
                        equal to zero (as described in section 479) or 
                        a comparable alternative based upon the State's 
                        approved criteria in section 415C(b)(4).
                          ``(ii) Has qualified for a free lunch, or at 
                        the State's discretion a reduced price lunch, 
                        under the school lunch program established 
                        under the Richard B. Russell National School 
                        Lunch Act.
                          ``(iii) Qualifies for the State's maximum 
                        undergraduate award, as authorized under 
                        section 415C(b).
                          ``(iv) Is participating in, or has 
                        participated in, a Federal, State, 
                        institutional, or community early information 
                        and intervention, mentoring, or outreach 
                        program, as recognized by the State agency 
                        administering activities under this section.
                  ``(B) Is receiving, or has received, an access and 
                persistence grant under this section, in accordance 
                with paragraph (5).
          ``(4) Grant award.--Once a student, including a student who 
        has received early notification under paragraph (2) from the 
        State, applies for admission to an institution that is a 
        partner in the partnership, files a Free Application for 
        Federal Student Aid and any related State form, and is 
        determined to be eligible by the State under paragraph (3), the 
        State shall--
                  ``(A) issue the student a preliminary access and 
                persistence grant award certificate with tentative 
                award amounts; and
                  ``(B) inform the student that payment of the access 
                and persistence grant award amounts is subject to 
                certification of enrollment and award eligibility by 
                the institution of higher education.
          ``(5) Duration of award.--An eligible student that receives 
        an access and persistence grant under this section shall 
        receive such grant award for each year of such student's 
        undergraduate education in which the student remains eligible 
        for assistance under this title, including pursuant to section 
        484(c), and remains financially eligible as determined by the 
        State, except that the State may impose reasonable time limits 
        to baccalaureate degree completion.
  ``(e) Administrative Cost Allowance.--A State that receives an 
allotment under this section may reserve not more than 3.5 percent of 
the funds made available annually through the allotment for State 
administrative functions required to carry out this section.
  ``(f) Statutory and Regulatory Relief for Institutions of Higher 
Education.--The Secretary may grant, upon the request of an institution 
of higher education that is in a partnership described in subsection 
(b)(2)(B)(ii) and that receives an allotment under this section, a 
waiver for such institution from statutory or regulatory requirements 
that inhibit the ability of the institution to successfully and 
efficiently participate in the activities of the partnership.
  ``(g) Applicability Rule.--The provisions of this subpart which are 
not inconsistent with this section shall apply to the program 
authorized by this section.
  ``(h) Maintenance of Effort Requirement.--Each State receiving an 
allotment under this section for a fiscal year shall provide the 
Secretary an assurance that the aggregate amount expended per student 
or the aggregate expenditures by the State, from funds derived from 
non-Federal sources, for the authorized activities described in 
subsection (d) for the preceding fiscal year were not less than the 
amount expended per student or the aggregate expenditure by the State 
for such activities for the second preceding fiscal year.
  ``(i) Special Rule.--Notwithstanding subsection (h), for purposes of 
determining a State's share of the cost of the authorized activities 
described in subsection (d), the State shall consider only those 
expenditures from non-Federal sources that exceed its total 
expenditures for need-based grants, scholarships, and work-study 
assistance for fiscal year 1999 (including any such assistance provided 
under this subpart).
  ``(j) Reports.--Not later than 3 years after the date of enactment of 
the College Opportunity and Affordability Act of 2007, and annually 
thereafter, the Secretary shall submit a report describing the 
activities and the impact of the partnerships under this section to the 
authorizing committees.''.
  (d) Continuation and Transition.--During the 2-year period commencing 
on the date of enactment of this Act, the Secretary shall continue to 
award grants under section 415E of the Higher Education Act of 1965 (20 
U.S.C. 1070c-3a), as such section existed on the day before the date of 
enactment of this Act, to States that choose to apply for grants under 
such predecessor section.
  (e) Implementation and Evaluation.--Section 491(j) (20 U.S.C. 
1098(j)) is amended--
          (1) in paragraph (4), by striking ``and'' after the 
        semicolon;
          (2) by redesignating paragraph (5) as paragraph (6); and
          (3) by inserting after paragraph (4) the following:
          ``(5) not later than 6 months after the date of enactment of 
        the College Opportunity and Affordability Act of 2007, advise 
        the Secretary on means to implement the activities under 
        section 415E, and the Advisory Committee shall continue to 
        monitor, evaluate, and make recommendations on the progress of 
        partnerships that receive allotments under such section; and''.

SEC. 407. SPECIAL PROGRAMS FOR STUDENTS WHOSE FAMILIES ARE ENGAGED IN 
                    MIGRANT AND SEASONAL FARMWORK.

  Section 418A (20 U.S.C. 1070d-2) is amended--
          (1) in subsection (b)--
                  (A) in paragraph (1)(B)(i), by striking ``parents'' 
                and inserting ``immediate family'';
                  (B) in paragraph (3)(B), by inserting ``(including 
                preparation for college entrance examinations)'' after 
                ``college program'';
                  (C) in paragraph (5), by striking ``weekly'';
                  (D) in paragraph (7), by striking ``and'' after the 
                semicolon;
                  (E) in paragraph (8)--
                          (i) by inserting ``(such as transportation 
                        and child care)'' after ``services''; and
                          (ii) by striking the period at the end and 
                        inserting ``; and''; and
                  (F) by adding at the end the following:
          ``(9) other activities to improve persistence and retention 
        in postsecondary education.'';
          (2) in subsection (c)--
                  (A) in paragraph (1)--
                          (i) in subparagraph (A), by striking 
                        ``parents'' and inserting ``immediate family''; 
                        and
                          (ii) in subparagraph (B)--
                                  (I) in the matter preceding clause 
                                (i), by inserting ``to improve 
                                placement, persistence, and retention 
                                in postsecondary education,'' after 
                                ``services''; and
                                  (II) in clause (i), by striking ``and 
                                career'' and inserting ``career, and 
                                economic education or personal 
                                finance'';
                          (iii) in subparagraph (E), by striking 
                        ``and'' after the semicolon;
                          (iv) by redesignating subparagraph (F) as 
                        subparagraph (G);
                          (v) by inserting after subparagraph (E) the 
                        following:
          ``(F) internships; and''; and
                          (vi) in subparagraph (G) (as redesignated by 
                        clause (iv)), by striking ``support services'' 
                        and inserting ``essential supportive services 
                        (such as transportation and child care)''; and
                  (B) in paragraph (2)--
                          (i) in subparagraph (A), by striking ``and'' 
                        after the semicolon;
                          (ii) in subparagraph (B), by striking the 
                        period at the end and inserting ``, and 
                        coordinating such services, assistance, and aid 
                        with other non-program services, assistance, 
                        and aid, including services, assistance, and 
                        aid provided by community-based organizations, 
                        which may include mentoring and guidance; 
                        and''; and
                          (iii) by adding at the end the following:
          ``(C) for students attending 2-year institutions of higher 
        education, encouraging the students to transfer to 4-year 
        institutions of higher education, where appropriate, and 
        monitoring the rate of transfer of such students.'';
          (3) in subsection (e), by striking ``section 402A(c)(1)'' and 
        inserting ``section 402A(c)(2)'';
          (4) in subsection (f)--
                  (A) in paragraph (1), by striking ``$150,000'' and 
                inserting ``$180,000''; and
                  (B) in paragraph (2), by striking ``$150,000'' and 
                inserting ``$180,000'';
          (5) by redesignating subsections (g) and (h) as subsections 
        (h) and (i), respectively;
          (6) by inserting after subsection (f) the following:
  ``(g) Reservation of Funds.--From the amounts made available under 
subsection (i), the Secretary may reserve not more than a total of \1/
2\ of 1 percent for outreach activities, technical assistance, and 
professional development programs relating to the programs under 
subsection (a).'';
          (7) by striking subsection (h) (as redesignated by paragraph 
        (5)) and inserting the following:
  ``(h) Data Collection.--The Commissioner for Education Statistics 
shall--
          ``(1) annually collect data on persons receiving services 
        authorized under this subpart regarding such persons rates of 
        secondary school graduation, entrance into postsecondary 
        education, and completion of postsecondary education;
          ``(2) not less often than once every 2 years, prepare and 
        submit to the authorizing committees a report based on the most 
        recently available data under paragraph (1) to the authorizing 
        committees; and
          ``(3) make such report available to the public.''; and
          (8) in subsection (i) (as redesignated by paragraph (5))--
                  (A) in paragraph (1), by striking ``$15,000,000 for 
                fiscal year 1999'' and all that follows through the 
                period and inserting ``such sums as may be necessary 
                for fiscal year 2009 and each of the 4 succeeding 
                fiscal years.''; and
                  (B) in paragraph (2), by striking ``$5,000,000 for 
                fiscal year 1999'' and all that follows through the 
                period and inserting ``such sums for fiscal year 2009 
                and each of the 4 succeeding fiscal years.''.

SEC. 408. ROBERT C. BYRD HONORS SCHOLARSHIP PROGRAM.

  Subpart 6 of part A of title IV is amended to read as follows:

      ``Subpart 6--Robert C. Byrd American Competitiveness Program

``SEC. 419A. ROBERT C. BYRD MATHEMATICS AND SCIENCE HONORS SCHOLARSHIP 
                    PROGRAM.

  ``(a) Purpose.--The purpose of this section is to award scholarships 
to students who are enrolled in studies leading to baccalaureate and 
advanced degrees in physical, life, or computer sciences, mathematics, 
or engineering.
  ``(b) Definitions.--As used in this section--
          ``(1) the term `computer science' means the branch of 
        knowledge or study of computers, including such fields of 
        knowledge or study as computer hardware, computer software, 
        computer engineering, information systems, and robotics;
          ``(2) the term `eligible student' means a student who--
                  ``(A) is a citizen of the United States;
                  ``(B) is selected by the managing agent to receive a 
                scholarship;
                  ``(C) is enrolled full-time in an institution of 
                higher education, other than a United States service 
                academy; and
                  ``(D) has shown a commitment to and is pursuing a 
                major in studies leading to a baccalaureate, masters, 
                or doctoral degree (or a combination thereof) in 
                physical, life, or computer sciences, mathematics, or 
                engineering;
          ``(3) the term `engineering' means the science by which the 
        properties of matter and the sources of energy in nature are 
        made useful to humanity in structures, machines, and products, 
        as in the construction of engines, bridges, buildings, mines, 
        and chemical plants, including such fields of knowledge or 
        study as aeronautical engineering, chemical engineering, civil 
        engineering, electrical engineering, industrial engineering, 
        materials engineering, manufacturing engineering, and 
        mechanical engineering;
          ``(4) the term `life sciences' means the branch of knowledge 
        or study of living things, including such fields of knowledge 
        or study as biology, biochemistry, biophysics, microbiology, 
        genetics, physiology, botany, zoology, ecology, and behavioral 
        biology, except that the term does not encompass social 
        psychology or the health professions;
          ``(5) the term `managing agent' means an entity to which an 
        award is made under subsection (c) to manage a program of 
        Mathematics and Science Honors Scholarships;
          ``(6) the term `mathematics' means the branch of knowledge or 
        study of numbers and the systematic treatment of magnitude, 
        relationships between figures and forms, and relations between 
        quantities expressed symbolically, including such fields of 
        knowledge or study as statistics, applied mathematics, and 
        operations research; and
          ``(7) the term `physical sciences' means the branch of 
        knowledge or study of the material universe, including such 
        fields of knowledge or study as astronomy, atmospheric 
        sciences, chemistry, earth sciences, ocean sciences, physics, 
        and planetary sciences.
  ``(c) Award.--
          ``(1)(A) From funds appropriated under section 419F to carry 
        out this section, the Secretary is authorized, through a grant 
        or cooperative agreement, to make an award to a private, non-
        profit organization, other than an institution of higher 
        education or system of institutions of higher education, to 
        manage, through a public and private partnership, a program of 
        Mathematics and Science Honors Scholarships under this section.
          ``(B) The award under subparagraph (A) shall be for a five-
        year period.
          ``(2)(A) One hundred percent of the funds awarded under 
        paragraph (1)(A) for any fiscal year shall be obligated and 
        expended solely on scholarships to eligible students.
          ``(B) No Federal funds shall be used to provide more than 50 
        percent of the cost of any scholarship to an eligible student.
          ``(C) The maximum scholarship award shall be the difference 
        between an eligible student's cost of attendance minus any non-
        loan based aid such student receives.
          ``(3)(A) The Secretary may establish--
                  ``(i) eligibility criteria for applicants for 
                managing agent, including criteria regarding financial 
                and administrative capability; and
                  ``(ii) operational standards for the managing agent, 
                including management and performance requirements, such 
                as audit, recordkeeping, record retention, and 
                reporting procedures and requirements.
          ``(B) The Secretary, as necessary, may review and revise any 
        criteria, standards, and rules established under this paragraph 
        and, through the agreement with the managing agent, see that 
        any revisions are implemented.
          ``(4) If the managing agent fails to meet the requirements of 
        this section the Secretary may terminate the award to the 
        managing agent.
          ``(5) The Secretary shall conduct outreach efforts to help 
        raise awareness of the Mathematics and Science Honors 
        Scholarships.
  ``(d) Duties of the Managing Agent.--The managing agent shall--
          ``(1) develop criteria to award Mathematics and Science 
        Honors Scholarships based on established measurements available 
        to secondary students who wish to pursue degrees in physical, 
        life, or computer sciences, mathematics, or engineering;
          ``(2) establish a Mathematics and Science Honors Scholarship 
        Fund in a separate, named account that clearly discloses the 
        amount of Federal and non-Federal funds deposited in the 
        account and used for scholarships under this section;
          ``(3) solicit funds for scholarships and for the 
        administration of the program from non-Federal sources;
          ``(4) solicit applicants for scholarships;
          ``(5) from the amounts in the Fund, award scholarships to 
        eligible students and transfer such funds to the institutions 
        of higher education that they attend;
          ``(6) annually submit to the Secretary a financial audit and 
        a report on the progress of the program, and such other 
        documents as the Secretary may require to determine the 
        effective management of the program; and
          ``(7) shall not develop a criteria that discriminates against 
        a student based on the type of program in which the student 
        completed his or her secondary education.
  ``(e) Applications.--
          ``(1) Any eligible entity that desires to be the managing 
        agent under this section shall submit an application to the 
        Secretary, in such form and containing such information, as the 
        Secretary may require.
          ``(2) Each application shall include a description of--
                  ``(A) how the applicant meets or will meet 
                requirements established under subsections (c)(3)(A) 
                and (d);
                  ``(B) how the applicant will solicit funds for 
                scholarships and for the administration of the program 
                from non-Federal sources;
                  ``(C) how the applicant will provide nationwide 
                outreach to inform students about the program and to 
                encourage students to pursue degrees in physical, life, 
                or computer sciences, mathematics, or engineering;
                  ``(D) how the applicant will solicit applications for 
                scholarships, including how the applicant will balance 
                efforts in urban and rural areas;
                  ``(E) the selection criteria based on established 
                measurements available to secondary students the 
                applicant will use to award scholarships and to renew 
                those awards;
                  ``(F) how the applicant will inform the institution 
                of higher education chosen by the recipient of the name 
                and scholarship amount of the recipient;
                  ``(G) what procedures and assurances the applicant 
                and the institution of higher education that the 
                recipient attends will use to verify student 
                eligibility, attendance, degree progress, and academic 
                performance and to deliver and account for payments to 
                such institution;
                  ``(H) the management (including audit and accounting) 
                procedures the applicant will use for the program;
                  ``(I) the human, financial, and other resources that 
                the applicant will need and use to manage the program;
                  ``(J) how the applicant will evaluate the program and 
                report to the Secretary annually; and
                  ``(K) a description of how the entity will coordinate 
                with, complement, and build on similar public and 
                private mathematics and science programs.
  ``(f) Scholarship Recipients.--
          ``(1) A student receiving a scholarship under this section 
        shall be known as a Byrd Mathematics and Science Honors 
        Scholar.
          ``(2) Any student desiring to receive a scholarship under 
        this section shall submit an application to the managing agent 
        in such form, and containing such information, as the managing 
        agent may require.
          ``(3) Any student that receives a scholarship under this 
        section shall enter into an agreement with the managing agent 
        to complete 5 consecutive years of service to begin no later 
        than 12 months following completion of the final degree in a 
        position related to the field in which the student obtained the 
        degree.
          ``(4) If any student that receives a scholarship under this 
        section fails to earn at least a baccalaureate degree in 
        physical, life, or computer sciences, mathematics, or 
        engineering as defined under this section, the student shall 
        repay to the managing agent the amount of any financial 
        assistance paid to such student.
          ``(5) If any student that receives a scholarship under this 
        section fails to meet the requirements of paragraph (3), the 
        student shall repay to the managing agent the amount of any 
        financial assistance paid to such student.
          ``(6)(A) Scholarships shall be awarded for only one academic 
        year of study at a time.
          ``(B)(i) A scholarship shall be renewable on an annual basis 
        for the established length of the academic program if the 
        student awarded the scholarship remains eligible.
          ``(ii) The managing agent may condition renewal of a 
        scholarship on measures of academic progress and achievement, 
        with the approval of the Secretary.
          ``(C)(i) If a student fails to either remain eligible or meet 
        established measures of academic progress and achievement, the 
        managing agent shall instruct the student's institution of 
        higher education to suspend payment of the student's 
        scholarship.
          ``(ii) A suspension of payment shall remain in effect until 
        the student is able to demonstrate to the satisfaction of the 
        managing agent that he or she is again eligible and meets the 
        established measures of academic progress and achievement.
          ``(iii) A student's eligibility for a scholarship shall be 
        terminated if a suspension period exceeds 12 months.
          ``(D)(i)(I) A student awarded a scholarship may, in a manner 
        and under the terms established by, and with the approval of, 
        the managing agent, postpone or interrupt his or her enrollment 
        at an institution of higher education for up to 12 months.
          ``(II) Such a postponement or interruption shall not be 
        considered a suspension for purposes of subparagraph (C).
          ``(ii) Neither a student nor the student's institution of 
        higher education shall receive the student's scholarship 
        payments during the period of postponement or interruption, but 
        such payments shall resume upon enrollment or reenrollment.
          ``(iii) In exceptional circumstances, such as serious injury 
        or illness or the necessity to care for family members, the 
        student's postponement or interruption may, upon notification 
        and approval of the managing agent, be extended beyond the 12 
        month period described in clause (i)(I).
  ``(g) Responsibilities of Institution of Higher Education.--
          ``(1) The managing agent shall require any institution of 
        higher education that enrolls a student who receives a 
        scholarship under this section to annually provide an 
        assurance, prior to making any payment, that the student--
                  ``(A) is eligible in accordance with subsection 
                (b)(2); and
                  ``(B) has provided the institution with a written 
                commitment to attend, or is attending, classes and is 
                satisfactorily meeting the institution's academic 
                criteria for enrollment in its program of study.
          ``(2)(A) The managing agent shall provide the institution of 
        higher education with payments from the Fund for selected 
        recipients in at least two installments.
          ``(B) If a recipient declines a scholarship, does not attend 
        courses, transfers to another institution of higher education, 
        or becomes ineligible for a scholarship, an institution of 
        higher education shall return prorated amounts of any 
        scholarship payment to that recipient to the managing agent, 
        who shall deposit it in to the Fund.

``SEC. 419B. MATHEMATICS AND SCIENCE INCENTIVE PROGRAM.

  ``(a) Program.--
          ``(1) In general.--The Secretary is authorized to carry out a 
        program of assuming the obligation to pay, pursuant to the 
        provisions of this section, the interest on a loan made, 
        insured, or guaranteed under part B or D of this title.
          ``(2) Eligibility.--The Secretary may assume interest 
        payments under paragraph (1) only for a borrower who--
                  ``(A) has submitted an application in compliance with 
                subsection (d);
                  ``(B) obtained one or more loans described in 
                paragraph (1) as an undergraduate student;
                  ``(C) is a new borrower (within the meaning of 
                section 103(7) of this Act) on or after the date of 
                enactment of the College Opportunity and Affordability 
                Act of 2007;
                  ``(D) is a highly qualified teacher (as defined in 
                section 9101 of the Elementary and Secondary Education 
                Act of 1965) of science, technology, engineering or 
                mathematics at an elementary or secondary school in a 
                high need local educational agency, or is a 
                mathematics, science, or engineering professional; and
                  ``(E) enters into an agreement with the Secretary to 
                complete 5 consecutive years of service in a position 
                described in subparagraph (D), starting on the date of 
                the agreement.
          ``(3) Prior interest limitations.--The Secretary shall not 
        make any payments for interest that--
                  ``(A) accrues prior to the beginning of the repayment 
                period on a loan in the case of a loan made under 
                section 428H or a Federal Direct Unsubsidized Stafford 
                Loan; or
                  ``(B) has accrued prior to the signing of an 
                agreement under paragraph (2)(E).
          ``(4) Initial selection.--In selecting participants for the 
        program under this section, the Secretary--
                  ``(A) shall choose among eligible applicants on the 
                basis of--
                          ``(i) the national security, homeland 
                        security, and economic security needs of the 
                        United States, as determined by the Secretary, 
                        in consultation with other Federal agencies, 
                        including the Departments of Labor, Defense, 
                        Homeland Security, Commerce, and Energy, the 
                        Central Intelligence Agency, and the National 
                        Science Foundation; and
                          ``(ii) the academic record or job performance 
                        of the applicant; and
                  ``(B) may choose among eligible applicants on the 
                basis of--
                          ``(i) the likelihood of the applicant to 
                        complete the 5-year service obligation;
                          ``(ii) the likelihood of the applicant to 
                        remain in science, mathematics, or engineering 
                        after the completion of the service 
                        requirement; or
                          ``(iii) other relevant criteria determined by 
                        the Secretary.
          ``(5) Availability subject to appropriations.--Loan interest 
        payments under this section shall be subject to the 
        availability of appropriations. If the amount appropriated for 
        any fiscal year is not sufficient to provide interest payments 
        on behalf of all qualified applicants, the Secretary shall give 
        priority to those individuals on whose behalf interest payments 
        were made during the preceding fiscal year.
          ``(6) Regulations.--The Secretary is authorized to prescribe 
        such regulations as may be necessary to carry out the 
        provisions of this section.
  ``(b) Duration and Amount of Interest Payments.--The period during 
which the Secretary shall pay interest on behalf of a student borrower 
who is selected under subsection (a) is the period that begins on the 
effective date of the agreement under subsection (a)(2)(E), continues 
after successful completion of the service obligation, and ends on the 
earlier of--
          ``(1) the completion of the repayment period of the loan;
          ``(2) payment by the Secretary of a total of $5,000 on behalf 
        of the borrower;
          ``(3) if the borrower ceases to fulfill the service 
        obligation under such agreement prior to the end of the 5-year 
        period, as soon as the borrower is determined to have ceased to 
        fulfill such obligation in accordance with regulations of the 
        Secretary; or
          ``(4) 6 months after the end of any calendar year in which 
        the borrower's gross income equals or exceeds 4 times the 
        national per capita disposable personal income (current 
        dollars) for such calendar year, as determined on the basis of 
        the National Income and Product Accounts Tables of the Bureau 
        of Economic Analysis of the Department of Commerce, as 
        determined in accordance with regulations prescribed by the 
        Secretary.
  ``(c) Repayment to Eligible Lenders.--Subject to the regulations 
prescribed by the Secretary by regulation under subsection (a)(6), the 
Secretary shall pay to each eligible lender or holder for each payment 
period the amount of the interest that accrues on a loan of a student 
borrower who is selected under subsection (a).
  ``(d) Application for Repayment.--
          ``(1) In general.--Each eligible individual desiring loan 
        interest payment under this section shall submit a complete and 
        accurate application to the Secretary at such time, in such 
        manner, and containing such information as the Secretary may 
        require.
          ``(2) Failure to complete service agreement.--Such 
        application shall contain an agreement by the individual that, 
        if the individual fails to complete the 5 consecutive years of 
        service required by subsection (a)(2)(E), the individual agrees 
        to repay the Secretary the amount of any interest paid by the 
        Secretary on behalf of the individual.
  ``(e) Treatment of Consolidation Loans.--A consolidation loan made 
under section 428C of this Act, or a Federal Direct Consolidation Loan 
made under part D of title IV of this Act, may be a qualified loan for 
the purpose of this section only to the extent that such loan amount 
was used by a borrower who otherwise meets the requirements of this 
section to repay--
          ``(1) a loan made under section 428 or 428H of this Act; or
          ``(2) a Federal Direct Stafford Loan, or a Federal Direct 
        Unsubsidized Stafford Loan, made under part D of title IV of 
        this Act.
  ``(f) Prevention of Double Benefits.--No borrower may, for the same 
service, receive a benefit under both this section and--
          ``(1) any loan forgiveness program under title IV of this 
        Act; or
          ``(2) subtitle D of title I of the National and Community 
        Service Act of 1990 (42 U.S.C. 12601 et seq.).
  ``(g) Definitions.--As used in this section--
          ``(1) the term `high need local educational agency' has the 
        same meaning given such term in section 200; and
          ``(2) the term `mathematics, science, or engineering 
        professional' means a person who--
                  ``(A) holds a baccalaureate, masters, or doctoral 
                degree (or a combination thereof) in science, 
                mathematics, or engineering; and
                  ``(B) works in a field the Secretary determines is 
                closely related to that degree, which shall include 
                working as a professor at a two- or four-year 
                institution of higher education.

``SEC. 419C. FOREIGN LANGUAGE PARTNERSHIPS.

  ``(a) Purpose.--The purpose of this section is to increase the number 
of highly qualified teachers in, and the number of United States' 
students who achieve the highest level of proficiency in, foreign 
languages critical to the security and competitiveness of the Nation.
  ``(b) Program Authorized.--The Secretary is authorized to award 
grants to institutions of higher education, in partnership with one or 
more local educational agencies, to establish teacher preparation 
programs in critical foreign languages, and activities that will enable 
successful students to advance from elementary school through college 
to achieve proficiency in those languages.
  ``(c) Applications.--
          ``(1) Application required.--Any institution of higher 
        education that desires to receive a grant under this section 
        shall submit an application to the Secretary at such time, in 
        such manner, and containing such information as the Secretary 
        may require.
          ``(2) Contents.--Each Application shall--
                  ``(A) identify each local educational agency partner 
                and describe each such partner's responsibilities 
                (including how they will be involved in planning and 
                implementing the program, what resources they will 
                provide, and how they will ensure continuity of student 
                progress from elementary school to the postsecondary 
                level); and
                  ``(B) describe how the applicant will support and 
                continue the program after the grant has expired, 
                including how it will seek support from other sources, 
                such as State and local government, foundations, and 
                the private sector.
  ``(d) Uses of Funds.--Funds awarded under this section shall be used 
to develop and implement programs consistent with the purpose of this 
section by carrying out one or more of the following activities:
          ``(1) To recruit highly qualified teachers in critical 
        foreign languages and professional development activities for 
        such teachers at the elementary through high school level.
          ``(2) To provide innovative opportunities for students that 
        will allow for critical language learning, such as immersion 
        environments, intensive study opportunities, internships, and 
        distance learning.
  ``(e) Matching Requirement.--Each grantee under this section shall 
provide, from non-Federal sources, an amount equal to 100 percent of 
the amount of the grant (in cash or in kind) to carry out the 
activities supported by the grant.
  ``(f) Evaluation.--The Secretary shall evaluate the activities funded 
under this section and report the results of the evaluation to the 
appropriate Committees of Congress.

``SEC. 419D. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated to carry out this subpart 
$50,000,000 for fiscal year 2009 and such sums as may be necessary for 
each of the 4 succeeding fiscal years.''.

SEC. 409. CHILD CARE ACCESS 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 inserting ``whose income qualifies 
for eligibility for''.
  (d) Publicity.--Section 419N(b) is further amended by adding at the 
end the following new paragraph:
          ``(8) Publicity.--The Secretary shall publicize the 
        availability of grants under this section in appropriate 
        periodicals in addition to publication in the Federal Register, 
        and shall inform appropriate educational organizations of such 
        availability.''.
  (e) Authorization of Appropriations.--Section 419N(g) (20 U.S.C. 
1070e(g)) is amended by striking ``$45,000,000 for fiscal year 1999'' 
and all that follows through the period and inserting ``such sums as 
may be necessary for fiscal year 2009 and each of the 4 succeeding 
fiscal years.''.

SEC. 410. LEARNING ANYTIME ANYWHERE PARTNERSHIPS.

  Subpart 8 of part A of title IV (20 U.S.C. 1070f et seq.) is 
repealed.

SEC. 411. TEACH GRANTS.

  Subpart 9 of part A of title IV is amended--
          (1) in section 420L(1)(B), by striking ``sound'' and 
        inserting ``responsible'';
          (2) in section 420M--
                  (A) by striking ``academic year'' each place it 
                appears in subsections (a)(1) and (c)(1) and inserting 
                ``year''; and
                  (B) in subsection (c)(2)--
                          (i) by striking ``other student assistance'' 
                        and inserting ``other assistance the student 
                        may receive''; and
                          (ii) by striking the second sentence; and
          (3) by adding at the end the following new section:

``SEC. 420P. PROGRAM EVALUATION.

  ``The Secretary shall evaluate the effectiveness of TEACH grants with 
respect to the schools and students served by recipients of such 
grants. Such evaluation shall take into consideration information 
related to--
          ``(1) the number of TEACH grant recipients;
          ``(2) the gender, race, ethnicity, and age of such 
        recipients;
          ``(3) the degrees obtained by such recipients;
          ``(4) the location, including the school, local educational 
        agency, and State, where the recipients completed the service 
        agreed to under section 420N(b) and the subject taught;
          ``(5) the duration of such service, including information 
        related to whether recipients serve for more than the 4 years 
        required under such section; and
          ``(6) any other data necessary to conduct such evaluation.''.

                 PART B--FEDERAL FAMILY EDUCATION LOANS

SEC. 421. LIMITATIONS ON AMOUNTS OF LOANS COVERED BY FEDERAL INSURANCE.

  Section 424(a) (20 U.S.C. 1074(a)) is amended--
          (1) by striking ``2012'' and inserting ``2013''; and
          (2) by striking ``2016'' and inserting ``2017''.

SEC. 422. FEDERAL INTEREST SUBSIDIES.

  Section 428(a)(5) (20 U.S.C. 1078(a)(5)) is amended--
          (1) by striking ``2012'' and inserting ``2013''; and
          (2) by striking ``2016'' and inserting ``2017''.

SEC. 423. STUDENT LOAN INFORMATION.

  Section 428(k) (20 U.S.C. 1078(k)) is amended by adding at the end 
the following new paragraph:
          ``(4) Student loan information.--
                  ``(A) Notwithstanding any other provision of law or 
                regulation, if requested by an institution of higher 
                education or a third party servicer (as defined in 
                section 481(c)) working on behalf of such institution 
                to prevent student loan defaults for borrowers who 
                currently attend or previously attended such 
                institution, a lender, secondary market, holder, or 
                guaranty agency shall provide, free of charge and in a 
                timely and effective manner, any student loan 
                information pertaining to loans made under this title 
                to such borrowers maintained by that entity, provided 
                that the information requested is for a borrower who 
                currently attends or previously attended such 
                institution.
                  ``(B) An institution and any third party servicer 
                obtaining access to information under subparagraph (A) 
                shall safeguard that information in order to prevent 
                potential abuses of that information, including 
                identity theft.
                  ``(C) Any third party servicer that obtains 
                information under this paragraph--
                          ``(i) shall only use the information in a 
                        manner directly related to the default 
                        prevention work the servicer is performing on 
                        behalf of the institution of higher education;
                          ``(ii) shall not sell the information to 
                        other entities;
                          ``(iii) shall not share the information with, 
                        or transfer the information to, entities other 
                        than the borrower or the institution of higher 
                        education referenced in subparagraph (A); and
                          ``(iv) shall be subject to any regulations 
                        established by the Secretary pursuant to 
                        section 432 concerning the misuse of such 
                        information, including any penalties for such 
                        misuse.''.

SEC. 424. CONSOLIDATION LOAN DISCLOSURE.

  Section 428C(b)(1) (20 U.S.C. 1078-3(b)(1)) is amended--
          (1) by redesignating subparagraphs (E) and (F) as 
        subparagraphs (F) and (G), respectively; and
          (2) by inserting after subparagraph (D) the following new 
        subparagraph:
                  ``(E) that the lender will disclose, in a clear and 
                conspicuous manner, to borrowers who seek to 
                consolidate loans made under part E of this title--
                          ``(i) that once the borrower adds a Federal 
                        Perkins Loan to a Federal Consolidation Loan, 
                        the borrower will lose all interest-free 
                        periods that would have been available, such as 
                        those when no interest accrues on the Federal 
                        Perkins Loan while the borrower is enrolled in 
                        school at least half-time, during the grace 
                        period, and during periods when the borrower's 
                        student loan repayments are deferred;
                          ``(ii) that the borrower will no longer be 
                        eligible for loan cancellation of Federal 
                        Perkins Loans under any provision of section 
                        465; and
                          ``(iii) in detail the occupations listed in 
                        section 465 for which the borrower will lose 
                        eligibility for Federal Perkins Loan 
                        cancellation;''.

SEC. 425. LOAN FORGIVENESS FOR SERVICE IN AREAS OF NATIONAL NEED.

  Section 428K (20 U.S.C. 1078-11) is amended to read as follows:

``SEC. 428K. LOAN FORGIVENESS FOR SERVICE IN AREAS OF NATIONAL NEED.

  ``(a) Program Authorized.--
          ``(1) Loan forgiveness authorized.--The Secretary shall 
        forgive, in accordance with this section, the student loan 
        obligation of a borrower in the amount specified in subsection 
        (c) who--
                  ``(A) is employed full-time in an area of national 
                need described in subsection (b); and
                  ``(B) is not in default on a loan for which the 
                borrower seeks forgiveness.
          ``(2) Method of loan forgiveness.--To provide loan 
        forgiveness under paragraph (1), the Secretary is authorized to 
        carry out a program--
                  ``(A) through the holder of the loan, to assume the 
                obligation to repay a qualified loan amount for a loan 
                made, insured, or guaranteed under this part (other 
                than an excepted PLUS loan (as such term is defined in 
                section 493C(a))); and
                  ``(B) to cancel a qualified loan amount for a loan 
                made under part D of this title (other than such an 
                excepted PLUS loan).
          ``(3) Regulations.--The Secretary is authorized to issue such 
        regulations as may be necessary to carry out the provisions of 
        this section.
  ``(b) Areas of National Need.--For purposes of this section, an 
individual shall be treated as employed in an area of national need if 
the individual is employed full-time as any of the following:
          ``(1) Early childhood educators.--An individual who is 
        employed as an early childhood educator in an eligible 
        preschool program or eligible early childhood education program 
        in a low-income community, and who is involved directly in the 
        care, development, and education of infants, toddlers, or young 
        children age 5 and under.
          ``(2) Nurses.--An individual who is employed--
                  ``(A) as a nurse in a clinical setting; or
                  ``(B) as a member of the nursing faculty at an 
                accredited school of nursing (as those terms are 
                defined in section 801 of the Public Health Service Act 
                (42 U.S.C. 296)).
          ``(3) Foreign language specialists.--An individual who has 
        obtained a baccalaureate or advanced degree in a critical 
        foreign language and is employed--
                  ``(A) in an elementary or secondary school as a 
                teacher of a critical foreign language;
                  ``(B) in an agency of the United States Government in 
                a position that regularly requires the use of such 
                critical foreign language; or
                  ``(C) in an institution of higher education as a 
                faculty member or instructor teaching a critical 
                foreign language.
          ``(4) Librarians.--An individual who is employed as a 
        librarian in--
                  ``(A) a public library that serves a geographic area 
                within which the public schools have a combined average 
                of 30 percent or more of their total student 
                enrollments composed of children counted under section 
                1113(a)(5) of the Elementary and Secondary Education 
                Act of 1965; or
                  ``(B) a high-need school.
          ``(5) Highly qualified teachers: serving students who are 
        limited english proficient, low-income communities, and 
        underrepresented populations.--An individual who--
                  ``(A) is highly qualified as such term is defined in 
                section 9101 of the Elementary and Secondary Education 
                Act of 1965; and
                  ``(B)(i) is employed as a teacher educating students 
                who are limited English proficient;
                  ``(ii) is employed as a teacher in a high-need 
                school; or
                  ``(iii) is an individual from an underrepresented 
                population in the teaching profession, as determined by 
                the Secretary.
          ``(6) Child welfare workers.--An individual who--
                  ``(A) has obtained a degree in social work or a 
                related field with a focus on serving children and 
                families; and
                  ``(B) is employed in public or private child welfare 
                services.
          ``(7) Speech-language pathologists.--An individual who is a 
        speech-language pathologist, who is employed in an eligible 
        preschool program or an elementary or secondary school, and who 
        has, at a minimum, a graduate degree in speech-language 
        pathology, or communication sciences and disorders.
          ``(8) National service.--An individual who is engaged as a 
        participant in a project under the National and Community 
        Service Act of 1990 (as such terms are defined in section 101 
        of such Act (42 U.S.C. 12511)).
          ``(9) School counselors.--An individual who is employed as a 
        school counselor (as such term is defined in section 5421(e)(3) 
        of Elementary and Secondary Education Act of 1965 (20 U.S.C. 
        7245(e)(3))) in a high-need school.
          ``(10) Public sector employees.--An individual who is 
        employed in public safety (including as a first responder, 
        firefighter, police officer, or other law enforcement or public 
        safety officer), emergency management (including as an 
        emergency medical technician), public health (including full-
        time professionals engaged in health care practitioner 
        occupations and health care support occupations, as such terms 
        are defined by the Bureau of Labor Statistics), or public 
        interest legal services (including prosecution or public 
        defense or legal advocacy in low-income communities at a 
        nonprofit organization).
          ``(11) Nutrition professionals.--An individual who--
                  ``(A) is a licensed, certified, or registered 
                dietician who has completed a degree in a relevant 
                field; and
                  ``(B) has obtained employment in an agency of the 
                special supplemental nutrition program for women, 
                infants, and children under section 17 of the Child 
                Nutrition Act of 1966 (42 U.S.C. 1786).
          ``(12) Medical specialists.--An individual who--
                  ``(A) has received his or her degree from an 
                accredited medical school (as accredited by the Liaison 
                Committee on Medical Education or as defined by this 
                title IV); and
                  ``(B)(i) has been accepted to, or currently 
                participates in, a graduate medical education training 
                program or fellowship (or both) to provide health care 
                services (as recognized by the Accreditation Council 
                for Graduate Medical Education); or
                  ``(ii) has been accepted to, or currently 
                participates in, a graduate medical education program 
                or fellowship (or both) to provide health care services 
                that--
                          ``(I) requires more than 5 years of total 
                        graduate medical training; and
                          ``(II) has fewer United States medical school 
                        graduate applicants than the total number of 
                        training and fellowship positions available in 
                        the programs specified in subclause (I) of this 
                        clause.
          ``(13) Mental health professionals.--Individuals who have at 
        least a master's degree in social work, psychology, or 
        psychiatry and who are providing mental health services to 
        children, adolescents, or veterans.
  ``(c) Qualified Loan Amount.--At the end of each school, academic, or 
calendar year of full-time employment on or after the date of enactment 
of the College Opportunity and Affordability Act of 2007 in an area of 
national need described in subsection (b), not to exceed 5 years, the 
Secretary shall forgive not more than $2,000 of the student loan 
obligation of a borrower that is outstanding after the completion of 
each such school, academic, or calendar year of employment, as 
appropriate, not to exceed $10,000 in the aggregate for any borrower.
  ``(d) Priority.--The Secretary shall grant loan forgiveness under 
this section on a first-come, first-served basis, and subject to the 
availability of appropriations.
  ``(e) Construction.--Nothing in this section shall be construed to 
authorize the refunding of any repayment of a loan.
  ``(f) Segal Americorps Education Award and National Service Award 
Recipients.--A student borrower who qualifies for the maximum education 
award under subtitle D of title I of the National and Community Service 
Act of 1990 (42 U.S.C. 12601 et seq.) shall receive under this section 
the amount, if any, by which the maximum benefit available under this 
section exceeds the maximum education award available under such 
subtitle.
  ``(g) Ineligibility for Double Benefits.--No borrower may receive a 
reduction of loan obligations under both this section and section 428J 
or 460.
  ``(h) Definitions.--In this section:
          ``(1) Early childhood educator.--The term `early childhood 
        educator' means an early childhood educator who works directly 
        with children in an eligible preschool program or eligible 
        early childhood education program who has completed a 
        baccalaureate or advanced degree in early childhood 
        development, early childhood education, or in a field related 
        to early childhood education.
          ``(2) Eligible preschool program.--The term `eligible 
        preschool program' means a program that provides for the care, 
        development, and education of infants, toddlers, or young 
        children age 5 and under, meets any applicable State or local 
        government licensing, certification, approval, and registration 
        requirements, and is operated by--
                  ``(A) a public or private school that is supported, 
                sponsored, supervised, or administered by a local 
                educational agency;
                  ``(B) a Head Start agency serving as a grantee 
                designated under the Head Start Act (42 U.S.C. 9831 et 
                seq.);
                  ``(C) a nonprofit or community based organization; or
                  ``(D) a child care program, including a home.
          ``(3) Eligible early childhood education program.--The term 
        `eligible early childhood education program' means--
                  ``(A) a family child care program, center-based child 
                care program, State prekindergarten program, school 
                program, or other out-of-home early childhood 
                development care program, that--
                          ``(i) is licensed or regulated by the State; 
                        and
                          ``(ii) serves 2 or more unrelated children 
                        who are not old enough to attend kindergarten;
                  ``(B) a Head Start Program carried out under the Head 
                Start Act (42 U.S.C. 9831 et seq.); or
                  ``(C) an Early Head Start Program carried out under 
                section 645A of the Head Start Act (42 U.S.C. 9840a).
          ``(4) Low-income community.--The term `low-income community' 
        means a school attendance area (as defined in section 
        1113(a)(2)(A) of the Elementary and Secondary Education Act of 
        1965)--
                  ``(A) in which 70 percent of households earn less 
                than 85 percent of the State median household income; 
                or
                  ``(B) that includes a high-need school.
          ``(5) Nurse.--The term `nurse' means a nurse who meets all of 
        the following:
                  ``(A) The nurse graduated from--
                          ``(i) an accredited school of nursing (as 
                        those terms are defined in section 801 of the 
                        Public Health Service Act (42 U.S.C. 296));
                          ``(ii) a nursing center; or
                          ``(iii) an academic health center that 
                        provides nurse training.
                  ``(B) The nurse holds a valid and unrestricted 
                license to practice nursing in the State in which the 
                nurse practices in a clinical setting.
                  ``(C) The nurse holds one or more of the following:
                          ``(i) A graduate degree in nursing, or an 
                        equivalent degree.
                          ``(ii) A nursing degree from a collegiate 
                        school of nursing (as defined in section 801 of 
                        the Public Health Service Act (42 U.S.C. 296)).
                          ``(iii) A nursing degree from an associate 
                        degree school of nursing (as defined in section 
                        801 of the Public Health Service Act (42 U.S.C. 
                        296)).
                          ``(iv) A nursing degree from a diploma school 
                        of nursing (as defined in section 801 of the 
                        Public Health Service Act (42 U.S.C. 296)).
          ``(6) Speech-language pathologist.--The term `speech-language 
        pathologist' means a speech-language pathologist who--
                  ``(A) has received, at a minimum, a graduate degree 
                in speech-language pathology or communication sciences 
                and disorders from an institution of higher education 
                accredited by an agency or association recognized by 
                the Secretary pursuant to section 496(a) of this Act; 
                and
                  ``(B) provides speech-language pathology services 
                under section 1861(ll)(1) of the Social Security Act 
                (42 U.S.C. 1395x(ll)(1)), or meets or exceeds the 
                qualifications for a qualified speech-language 
                pathologist under subsection (ll)(3) of such section 
                (42 U.S.C. 1395x(ll)(3)).
  ``(i) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section such sums as may be necessary 
for fiscal year 2009 and each of the 4 succeeding fiscal years to 
provide loan forgiveness in accordance with this section.''.

SEC. 426. LOAN REPAYMENT FOR CIVIL LEGAL ASSISTANCE ATTORNEYS.

  Part B of title IV (20 U.S.C. 1071 et seq.) is amended by inserting 
after section 428K the following new section:

``SEC. 428L. LOAN REPAYMENT FOR CIVIL LEGAL ASSISTANCE ATTORNEYS.

  ``(a) Purpose.--The purpose of this section is to encourage qualified 
individuals to enter and continue employment as civil legal assistance 
attorneys.
  ``(b) Definitions.--In this section:
          ``(1) Civil legal assistance attorney.--The term `civil legal 
        assistance attorney' means an attorney who--
                  ``(A) is a full-time employee of a nonprofit 
                organization that provides legal assistance with 
                respect to civil matters to low-income individuals 
                without a fee;
                  ``(B) as such employee, provides civil legal 
                assistance as described in subparagraph (A) on a full-
                time basis; and
                  ``(C) is continually licensed to practice law.
          ``(2) Student loan.--The term `student loan' means--
                  ``(A) subject to subparagraph (B), a loan made, 
                insured, or guaranteed under part B, D, or E of this 
                title; and
                  ``(B) a loan made under section 428C or 455(g), to 
                the extent that such loan was used to repay--
                          ``(i) a Federal Direct Stafford Loan, a 
                        Federal Direct Unsubsidized Stafford Loan, or a 
                        Federal Direct PLUS Loan;
                          ``(ii) a loan made under section 428, 428B, 
                        or 428H; or
                          ``(iii) a loan made under part E.
  ``(c) Program Authorized.--The Secretary shall carry out a program of 
assuming the obligation to repay a student loan, by direct payments on 
behalf of a borrower to the holder or the Secretary in the case of a 
loan under part D or E of such loan, in accordance with subsection (d), 
for any borrower who--
          ``(1) is employed as a civil legal assistance attorney; and
          ``(2) is not in default on a loan for which the borrower 
        seeks repayment.
  ``(d) Terms of Agreement.--
          ``(1) In general.--To be eligible to receive repayment 
        benefits under subsection (c), a borrower shall enter into a 
        written agreement with the Secretary that specifies that--
                  ``(A) the borrower will remain employed as a civil 
                legal assistance attorney for a required period of 
                service of not less than 3 years, unless involuntarily 
                separated from that employment;
                  ``(B) if the borrower is involuntarily separated from 
                employment on account of misconduct, or voluntarily 
                separates from employment, before the end of the period 
                specified in the agreement, the borrower will repay the 
                Secretary the amount of any benefits received by such 
                employee under this agreement;
                  ``(C) if the borrower is required to repay an amount 
                to the Secretary under subparagraph (B) and fails to 
                repay such amount, a sum equal to that amount shall be 
                recoverable by the Federal Government from the employee 
                by such methods as are provided by law for the recovery 
                of amounts owed to the Federal Government;
                  ``(D) the Secretary may waive, in whole or in part, a 
                right of recovery under this subsection if it is shown 
                that recovery would be against equity and good 
                conscience or against the public interest; and
                  ``(E) the Secretary shall make student loan payments 
                under this section for the period of the agreement, 
                subject to the availability of appropriations.
          ``(2) Repayments.--
                  ``(A) In general.--Any amount repaid by, or recovered 
                from, an individual under this subsection shall be 
                credited to the appropriation account from which the 
                amount involved was originally paid.
                  ``(B) Merger.--Any amount credited under subparagraph 
                (A) shall be merged with other sums in such account and 
                shall be available for the same purposes and period, 
                and subject to the same limitations, if any, as the 
                sums with which the amount was merged.
          ``(3) Limitations.--
                  ``(A) Student loan payment amount.--Student loan 
                repayments made by the Secretary under this section 
                shall be made subject to such terms, limitations, or 
                conditions as may be mutually agreed upon by the 
                borrower and the Secretary in an agreement under 
                paragraph (1), except that the amount paid by the 
                Secretary under this section shall not exceed--
                          ``(i) $6,000 for any borrower in any calendar 
                        year; or
                          ``(ii) an aggregate total of $40,000 in the 
                        case of any borrower.
                  ``(B) Beginning of payments.--Nothing in this section 
                shall authorize the Secretary to pay any amount to 
                reimburse a borrower for any repayments made by such 
                borrower prior to the date on which the Secretary 
                entered into an agreement with the borrower under this 
                subsection.
  ``(e) Additional Agreements.--
          ``(1) In general.--On completion of the required period of 
        service under an agreement under subsection (d), the borrower 
        and the Secretary may, subject to paragraph (2), enter into an 
        additional agreement in accordance with subsection (d).
          ``(2) Term.--An agreement entered into under paragraph (1) 
        may specify that, notwithstanding subsection (d)(1)(A), the 
        required period of service during which the borrower will 
        remain employed as a civil legal assistance attorney may be 
        less than 3 years.
  ``(f) Award Basis; Priority.--
          ``(1) Award basis.--Subject to paragraph (2), the Secretary 
        shall provide repayment benefits under this section on a first-
        come, first-served basis, and subject to the availability of 
        appropriations.
          ``(2) Priority.--The Secretary shall give priority in 
        providing repayment benefits under this section in any fiscal 
        year to a borrower who--
                  ``(A) has practiced law for 5 years or less and, for 
                at least 90 percent of the time in such practice, has 
                served as a civil legal assistance attorney;
                  ``(B) received repayment benefits under this section 
                during the preceding fiscal year; and
                  ``(C) has completed less than 3 years of the first 
                required period of service specified for the borrower 
                in an agreement entered into under subsection (d).
  ``(g) Regulations.--The Secretary is authorized to issue such 
regulations as may be necessary to carry out the provisions of this 
section.
  ``(h) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $10,000,000 for fiscal year 2009 
and such sums as may be necessary for each of the 4 succeeding fiscal 
years.''.

SEC. 427. SETTLEMENT OF CLAIMS.

  Section 432(b) (20 U.S.C. 1082(b)) is amended by adding at the end 
the following: ``The Secretary may not enter into any settlement of any 
claim under this Act that exceeds $1,000,000 unless the Secretary has 
asked the Attorney General to review the settlement agreement and issue 
an opinion to the Secretary and the authorizing committees related to 
such proposed settlement.''.

SEC. 428. DELINQUENCY PREVENTION, DEFAULT AVERSION, AND CONSUMER 
                    EDUCATION INFORMATION PROGRAMS.

  Part B of title IV is further amended by inserting after section 433 
(20 U.S.C. 1083) the following new section:

``SEC. 433A. DELINQUENCY PREVENTION, DEFAULT AVERSION, AND CONSUMER 
                    EDUCATION INFORMATION PROGRAMS.

  ``(a) Guaranty Agency Duty.--Each guaranty agency, with respect to 
loans insured by the agency, shall develop specific programs designed 
to prevent delinquencies and avert defaults.
  ``(b) Training for Students and Families.--Each guaranty agency, 
after consulting with institutions of higher education (including 
institutions of higher education participating in the William Ford 
Direct Loan Program), shall develop and make available high quality 
educational programs and materials to provide training for students and 
families in budgeting and financial management, including debt 
management and other aspects of financial literacy, such as the cost of 
using high interest loans to pay for postsecondary education. Such 
programs and materials shall address budgeting and financial management 
relating to student loans, and shall be made available to students and 
families, in a form and language that is understandable, before, 
during, and after the students' enrollment.
  ``(c) Rule of Construction.--Nothing in this section shall be 
construed to prohibit a guaranty agency from using existing activities, 
programs, and materials in meeting the requirements of this section.''.

SEC. 429. DEFINITION OF ELIGIBLE LENDER.

  Section 435(d)(1)(A)(ii) (20 U.S.C. 1085(d)(1)(A)(ii)) is amended--
          (1) by striking ``part, or (III)'' and inserting ``part, 
        (III)''; and
          (2) by inserting before the semicolon at the end the 
        following: ``, or (IV) it is a National or State chartered bank 
        with assets of less than $1,000,000,000''.

SEC. 430. COHORT DEFAULT RATES.

  Section 435(m) (20 U.S.C. 1085(m)) is amended--
          (1) in the first sentence of paragraph (1)(A), by striking 
        ``end of the following fiscal year'' and inserting ``beginning 
        of the third fiscal year following the fiscal year in which the 
        students entered repayment'';
          (2) in paragraph (1)(C), by striking ``end of the fiscal year 
        immediately following the year in which they entered 
        repayment'' and inserting ``beginning of the third fiscal year 
        following the year in which they entered repayment'';
          (3) in paragraph (2)(C), by striking ``end of such following 
        fiscal year is not considered as in default for the purposes of 
        this subsection'' and inserting ``beginning of the third fiscal 
        year following the year in which the loan entered repayment is 
        not considered as in default for purposes of this subsection''; 
        and
          (4) in paragraph (4)--
                  (A) by amending the header to read as follows: 
                ``Collection and reporting of cohort default rates and 
                life of cohort default rates.--''; and
                  (B) by amending subparagraph (A) to read as follows:
          ``(A) The Secretary shall collect data from all insurers 
        under this part and shall publish not less often than once 
        every fiscal year a report showing cohort default data and life 
        of cohort default data for each category of institution, 
        including (i) 4-year public institutions, (ii) 4-year private 
        nonprofit institutions, (iii) 2-year public institutions, (iv) 
        2-year private institutions, (v) 4-year proprietary 
        institutions, (vi) 2-year proprietary institutions, and (vii) 
        less than 2-year proprietary institutions. For purposes of this 
        subparagraph, the life of cohort default rate means, for any 
        fiscal year in which 1 or more current and former students at 
        an institution enter repayment on loans under section 428, 
        428A, or 428H, received for attendance at the institution, the 
        percentage of those current and former students who enter 
        repayment on such loans (or on the portion of a loan made under 
        section 428C that is used to repay any such loans) received for 
        attendance at the institution in that fiscal year who default 
        before the end of each succeeding fiscal year.''.

SEC. 431. DISABILITY DETERMINATIONS.

  Section 437(a) (20 U.S.C. 1087(a)) is amended by adding at the end 
the following new sentence: ``A borrower who receives a permanent total 
disability rating from the Secretary of Veterans Affairs, and who 
provides documentation of such rating to the Secretary of Education, 
shall be considered permanently and totally disabled for the purpose of 
discharging such borrower's loans under this subsection, and such 
borrower shall not be required to present additional documentation for 
purposes of this subsection.''.

                       PART C--COLLEGE WORK/STUDY

SEC. 441. REAUTHORIZATION.

  (a) Extension of Authority.--Section 441 (42 U.S.C. 2751) is 
amended--
          (1) in subsection (b), by striking ``$1,000,000,000 for 
        fiscal year 1999'' and inserting ``$1,500,000,000 for fiscal 
        year 2009''; and
          (2) in subsection (c)--
                  (A) by striking ``and'' at the end of paragraph (3);
                  (B) by striking the period at the end of paragraph 
                (4) and inserting ``; and''; and
                  (C) by adding at the end the following new paragraph:
          ``(5) responding to the needs of the community, which may 
        include activities in preparation for and during emergencies 
        and natural disasters.''.
  (b) Allowance for Books and Supplies.--Section 442(c)(4)(D) (42 
U.S.C. 2752(d)(4)(D)) is amended by striking ``$450'' and inserting 
``$600''.

SEC. 442. ADDITIONAL FUNDS FOR OFF-CAMPUS COMMUNITY SERVICE.

  Section 447 (42 U.S.C. 2756a) is amended--
          (1) by striking ``Each institution participating'' and 
        inserting ``(a) Community Service-Learning.--Each institution 
        participating''; and
          (2) by adding at the end the following new subsection:
  ``(b) Off-Campus Community Service.--
          ``(1) Grants authorized.--In addition to funds made available 
        under section 443(b)(2)(B), the Secretary is authorized to 
        award grants to institutions participating under this part to 
        supplement off-campus community service employment.
          ``(2) Use of funds.--In any year in which section 
        443(b)(2)(B) applies, an institution shall ensure that funds 
        granted to such institution under this subsection are used in 
        accordance with such section 443 to recruit and compensate 
        students (including compensation for time spent in training and 
        for travel directly related to such community service).
          ``(3) Priority.--In awarding grants under this subsection, 
        the Secretary shall give priority to applications that support 
        postsecondary students assisting with early childhood education 
        activities and activities in preparation for and during 
        emergencies and natural disasters.
          ``(4) Authorization of appropriations.--There are authorized 
        to be appropriated to carry out this subsection such sums as 
        may be necessary for fiscal year 2009 and each of the 4 
        succeeding fiscal years.''.

SEC. 443. WORK COLLEGES.

  (a) Work-Learning-Service.--Section 448 (42 U.S.C. 2756b) is amended 
by striking ``work-learning'' each place it appears and inserting 
``work-learning-service''.
  (b) Definition.--Section 448(e) is amended to read as follows:
  ``(e) Definitions.--For the purpose of this section--
          ``(1) the term `work college' means an eligible institution 
        that--
                  ``(A) has been a public or private nonprofit, four-
                year, degree granting institution with a commitment to 
                community service;
                  ``(B) has operated a comprehensive work-learning-
                service program for at least 2 years;
                  ``(C) requires all resident students, including at 
                least one-half of all students who are enrolled on a 
                full-time basis, to participate in a comprehensive 
                work-learning-service program for at least 5 hours each 
                week, or at least 80 hours during each period of 
                enrollment, except summer school, unless the student is 
                engaged in an institutionally organized or approved 
                study abroad or externship program; and
                  ``(D) provides students participating in the 
                comprehensive work-learning-service program with the 
                opportunity to contribute to their education and to the 
                welfare of the community as a whole; and
          ``(2) the term `comprehensive student work-learning-service 
        program' means a student work-learning-service program that--
                  ``(A) is an integral and stated part of the 
                institution's educational philosophy and program;
                  ``(B) requires participation of all resident students 
                for enrollment and graduation;
                  ``(C) includes learning objectives, evaluation, and a 
                record of work performance as part of the student's 
                college record;
                  ``(D) provides programmatic leadership by college 
                personnel at levels comparable to traditional academic 
                programs;
                  ``(E) recognizes the educational role of work-
                learning-service supervisors; and
                  ``(F) includes consequences for nonperformance or 
                failure in the work-learning-service program similar to 
                the consequences for failure in the regular academic 
                program.''.
  (c) Authorization.--Section 448(f) is amended--
          (1) by striking ``$5,000,000'' and inserting ``such sums as 
        may be necessary''; and
          (2) by striking ``1999'' and inserting ``2009''.

                  PART D--FEDERAL DIRECT STUDENT LOANS

SEC. 451. REAUTHORIZATION.

  Section 458(a) (20 U.S.C. 1087h(a)) is amended--
          (1) in paragraph (2)--
                  (A) in the heading of such paragraph, by striking 
                ``2011'' and inserting ``2013''; and
                  (B) by striking ``2011'' and inserting ``2013''; and
          (2) in paragraph (3), by striking ``2011'' and inserting 
        ``2013''.

SEC. 452. PUBLIC SERVICE JOB DEFINITION.

  Section 455(m)(3)(B) (20 U.S.C. 1087e(m)(3)(B)) is amended to read as 
follows:
                  ``(B) Public service job.--The term `public service 
                job' means--
                          ``(i) a full-time job in emergency 
                        management, government (excluding time served 
                        as a member of Congress), military service, 
                        public safety, law enforcement, public health 
                        (including nurses, nurse practitioners, nurses 
                        in a clinical setting, and full-time 
                        professionals engaged in health care 
                        practitioner occupations and health care 
                        support occupations, as such terms are defined 
                        by the Bureau of Labor Statistics), public 
                        education, social work in a public child or 
                        family service agency, public interest law 
                        services (including prosecution or public 
                        defense or legal advocacy on behalf of low-
                        income communities at a nonprofit 
                        organization), early childhood education 
                        (including licensed or regulated childcare, 
                        Head Start, and State funded prekindergarten), 
                        public service for individuals with 
                        disabilities, public service for the elderly, 
                        public library sciences, school-based library 
                        sciences and other school-based services, or at 
                        an organization that is described in section 
                        501(c)(3) of the Internal Revenue Code of 1986 
                        and exempt from taxation under section 501(a) 
                        of such Code; or
                          ``(ii) teaching as a full-time faculty member 
                        at a Tribal College or University as defined in 
                        section 316(b) and other faculty teaching in 
                        high-needs subject areas or areas of shortage 
                        (including nurse faculty, foreign language 
                        faculty and part-time faculty at community 
                        colleges), as determined by the Secretary.''.

SEC. 453. IDENTITY FRAUD PROTECTION.

  Section 455 (20 U.S.C. 1087e) is further amended by adding at the end 
the following new subsection:
  ``(n) Identity Fraud Protection.--The Secretary of Education shall 
take such steps as may be necessary to ensure that monthly Direct Loan 
statements and other publications of the Department of Education do not 
contain more than 4 digits of the Social Security number of any 
individual.''.

SEC. 454. DIRECT LOAN PROGRAM AUDIT AND REPORTING REQUIREMENTS.

  (a) Audit of Direct Loan Servicing Portfolio and Direct Loan 
Servicing Contracts.--Section 458 (20 U.S.C. 1087h) is amended by 
adding at the end the following:
  ``(d) Audit of Direct Loan Servicing Portfolio and Direct Loan 
Servicing Contracts.--The Secretary shall have a financial and 
compliance audit of all loans owned by the Department of Education and 
made under the William D. Ford Federal Direct Loan Program and all 
contracts for the origination, servicing, collection, and related 
activities of such loans, conducted annually by a qualified independent 
organization from a list of qualified organizations promulgated by the 
Secretary in accordance with standards established by the Comptroller 
General. The standards shall measure the servicer's compliance with the 
due diligence standards and shall include a defined statistical 
sampling technique designed to measure the performance rating of the 
servicer for the purpose of this section. The Secretary shall submit 
the audit to Congress within 60 days of its completion and shall at the 
same time make the results of the audit publicly available.''.
  (b) Quarterly Reporting of Administrative Expenses.--Section 458 (20 
U.S.C. 1087h) is further amended by adding at the end the following:
  ``(e) Budget Justification and Quarterly Reports.--In addition to the 
requirements of subsection (c), and as a prerequisite to expending 
funds under this section, the Secretary shall--
          ``(1) make publicly available immediately upon providing to 
        Congress, its annual budget justification referenced in the 
        last sentence of subsection (c), including the detailed 
        descriptions of activities and the costs for each such 
        activity; and
          ``(2) make publicly available within 30 days of the close of 
        each calendar quarter, an interim report with at least the same 
        level of detail as the annual report referred to above, showing 
        the detailed descriptions of activities and the costs for each 
        such activity, for the quarter, which shall include--
                  ``(A) amendments to any contracts entered into by the 
                Department for the purposes of servicing, origination, 
                consolidating, or otherwise providing administrative 
                support for the Direct Loan program;
                  ``(B) a complete listing of all milestones for 
                upgrades and improvements in any of the contracts 
                referenced in section 458(d)(1) and the progress 
                towards meeting such milestones;
                  ``(C) un-reconciled balances in held loans by year of 
                origination;
                  ``(D) status and number of defaulted loans by length 
                of default in 30-day increments;
                  ``(E) status and number of delinquent loans by length 
                of delinquency in 30-day increments;
                  ``(F) information technology purchases made under 
                this section; and
                  ``(G) costs and terms of all contracts with external 
                consultants and employees of institutions of higher 
                education.''.
  (c) Annual Reporting of Impact of Direct Loan Program Treasury 
Borrowing on National Debt.--Section 458 (20 U.S.C. 1087(h)) is further 
amended by adding at the end the following subsection:
  ``(f) National Debt Report Card.--The Secretary shall make an annual 
report to Congress, included with the budget justification for the 
Department, of the aggregate dollar amount of increase in the national 
debt as a result of loans made under part D of this title. This 
reporting shall be made by calculating the net of the total outstanding 
amount lent by the Department and the United States Treasury, less the 
balance in principal of performing and non-defaulted loans outstanding 
in the Department's portfolio.''.

                         PART E--PERKINS LOANS

SEC. 461. EXTENSION OF AUTHORITY.

  Section 461(b) (20 U.S.C. 1087aa(b)) is amended--
          (1) in paragraph (1), by striking ``$250,000,000 for fiscal 
        year 1999'' and inserting ``$350,000,000 for fiscal year 
        2009''; and
          (2) in paragraph (2), by striking ``2003'' each place it 
        appears and inserting ``2014''.

SEC. 462. ALLOWANCE FOR BOOKS AND SUPPLIES.

  Section 462(c)(4)(D) (20 U.S.C. 1087bb(c)(4)(D)) is amended by 
striking ``$450'' and inserting ``$600''.

SEC. 463. AGREEMENTS WITH INSTITUTIONS.

  (a) Transfers for Collection.--Section 463(a)(4)(B) (20 U.S.C. 
1087cc(a)(4)(B)) is amended to read as follows:
                  ``(B) if the institution is not one described in 
                subparagraph (A), the Secretary may allow such 
                institution to refer such note or agreement to the 
                Secretary, without recompense, except that any sums 
                collected on such a loan (less an amount not to exceed 
                30 percent of any such sums collected to cover the 
                Secretary's collection costs) shall be repaid to such 
                institution no later than 180 days after collection by 
                the Secretary and treated as an additional capital 
                contribution under section 462;''.
  (b) Revise Authority To Prescribe Additional Fiscal Controls.--
Section 463(a)(9) (20 U.S.C. 1087cc(a)(9)) is amended by inserting ``, 
except that nothing in this paragraph shall be construed to permit the 
Secretary to require the assignment of loans to the Secretary other 
than as is provided for in paragraphs (4) and (5)'' before the period.

SEC. 464. PERKINS LOAN TERMS AND CONDITIONS.

  (a) Loan Limits.--Section 464(a) (20 U.S.C. 1087dd(a)) is amended--
          (1) in paragraph (2)(A)--
                  (A) by striking ``$4,000'' in clause (i) and 
                inserting ``$5,500''; and
                  (B) by striking ``$6,000'' in clause (ii) and 
                inserting ``$8,000''; and
          (2) in paragraph (2)(B)--
                  (A) by striking ``$40,000'' in clause (i) and 
                inserting ``$60,000'';
                  (B) by striking ``$20,000'' in clause (ii) and 
                inserting ``$27,500''; and
                  (C) by striking ``$8,000'' in clause (iii) and 
                inserting ``$11,000''.
  (b) Forbearance.--Section 464 (20 U.S.C. 1087dd) is further amended--
          (1) in subsection (e)--
                  (A) in the matter preceding paragraph (1), by 
                striking ``, upon written request,'' and inserting ``, 
                as documented in accordance with paragraph (2),'';
                  (B) by redesignating paragraphs (1) through (3) as 
                subparagraphs (A) through (C), respectively;
                  (C) by inserting ``(1)'' after ``Forbearance.--''; 
                and
                  (D) by adding at the end the following:
  ``(2) For the purpose of paragraph (1), the terms of forbearance 
agreed to by the parties shall be documented by--
          ``(A) confirming the agreement of the borrower by notice to 
        the borrower from the institution of higher education; and
          ``(B) recording the terms in the borrower's file.'';
          (2) in subsection (h)(1)(A), by striking ``12 ontime'' and 
        inserting ``9 on-time''; and
          (3) in subsection (j)(2), by striking ``(e)(3)'' and 
        inserting ``(e)(1)(C)''.

SEC. 465. CANCELLATION FOR PUBLIC SERVICE.

  Section 465(a) (20 U.S.C. 1087ee(a)) is amended--
          (1) in paragraph (2)--
                  (A) by amending subparagraph (A) to read as follows:
          ``(A) as a full-time teacher for service in an academic year 
        in a high-need school;'';
                  (B) in subparagraph (B), by striking ``Head Start Act 
                which'' and inserting ``Head Start Act, or in a 
                prekindergarten or child care program that is licensed 
                or regulated by the State, that'';
                  (C) in subparagraph (H), by striking ``or'' after the 
                semicolon;
                  (D) in subparagraph (I), by striking the period and 
                inserting a semicolon; and
                  (E) by inserting before the matter following 
                subparagraph (I) the following:
          ``(J) as a full-time fire fighter for service to a local, 
        State, or Federal fire department or fire district;
          ``(K) as a full-time faculty member at a Tribal College or 
        University, as that term is defined in section 316;
          ``(L) as a librarian, if the librarian has a master's degree 
        in library science and is employed in--
                  ``(i) an elementary school or secondary school that 
                is eligible for assistance under title I of the 
                Elementary and Secondary Education Act of 1965; or
                  ``(ii) a public library that serves a geographic area 
                that contains 1 or more schools eligible for assistance 
                under title I of the Elementary and Secondary Education 
                Act of 1965; or
          ``(M) as a full-time speech language therapist, if the 
        therapist has a master's degree and is working exclusively with 
        schools that are eligible for assistance under title I of the 
        Elementary and Secondary Education Act of 1965.''; and
          (2) in paragraph (3)(A)--
                  (A) in clause (i)--
                          (i) by inserting ``(D),'' after ``(C),''; and
                          (ii) by striking ``or (I)'' and inserting 
                        ``(I), (J), (K), (L), or (M)'';
                  (B) in clause (ii), by inserting ``or'' after the 
                semicolon;
                  (C) by striking clause (iii); and
                  (D) by redesignating clause (iv) as clause (iii).

                         PART F--NEED ANALYSIS

SEC. 471. COST OF ATTENDANCE.

  (a) Amendments.--Section 472(3) (20 U.S.C. 1087kk(3)) is amended--
          (1) in subparagraph (B), by striking ``and'' after the 
        semicolon;
          (2) by redesignating subparagraph (C) as subparagraph (D); 
        and
          (3) by inserting after subparagraph (B), as amended by 
        paragraph (1), the following:
                  ``(C) for students who live in housing located on a 
                military base or for which a basic allowance is 
                provided under section 403(b) of title 37, United 
                States Code, shall be an allowance based on the 
                expenses reasonably incurred by such students for board 
                but not for room; and''.
  (b) Effective Date.--The amendments made by subsection (a) shall take 
effect on July 1, 2009.

SEC. 472. DISCRETION TO MAKE ADJUSTMENTS FOR NURSING HOME EXPENSES.

  Section 479A(a) (20 U.S.C. 1087tt) is amended by striking ``medical 
or dental expenses'' and inserting ``medical, dental, or nursing home 
expenses''.

SEC. 473. DEFINITIONS.

  (a) Total Income.--Section 480(a) (20 U.S.C. 1087vv(a)) is amended by 
adding at the end the following new paragraph:
  ``(3) Notwithstanding paragraph (1), with respect to dislocated 
workers (as defined in section 101 of the Workforce Investment Act of 
1998 (29 U.S.C. 2801)), the term `total income' is equal to estimated 
adjusted gross income plus estimated untaxed income and benefits for 
the current tax year minus estimated excludable income (as defined in 
subsection (e)) in for the current tax year.''.
  (b) Untaxed Income and Benefits.--Section 480(b)(6) (20 U.S.C. 
1087vv(b)(6)) is amended by inserting ``, except that the value of on-
base military housing or the value of basic allowance for housing 
determined under section 403(b) of title 37, United States Code, 
received by the parents, in the case of a dependent student, or the 
student or student's spouse, in the case of an independent student, 
shall be excluded'' before the semicolon.
  (c) Treatment of Veterans' Education Benefits in Estimated Financial 
Assistance Calculation.--Section 480(j) (20 U.S.C. 1087vv(j)) is 
amended by adding at the end the following new paragraph:
  ``(4) Notwithstanding paragraph (1), for the first year a student 
receives veterans' education benefits under chapter 30 of title 38, 
United States Code, the amount of such veterans' education benefits 
that is treated as estimated financial assistance not received under 
this title for the purposes of section 471(3) shall be calculated by 
subtracting the amount that the student's basic pay was reduced under 
section 3011(b) or 3012(c) of such title in order to be eligible to 
receive such benefits from the amount of such veterans' education 
benefits.''.
  (d) Effective Date.--The amendments made by this section are 
effective on July 1, 2009.

                       PART G--GENERAL PROVISIONS

SEC. 481. COMPLIANCE CALENDAR.

  Section 482 (20 U.S.C. 1089) is amended by adding at the end the 
following:
  ``(e) Compliance Calendar.--Prior to the beginning of each award 
year, the Secretary shall provide to institutions of higher education a 
list of all the reports and disclosures required under this Act. The 
list shall include--
          ``(1) the date each report or disclosure is required to be 
        completed and to be submitted, made available, or disseminated;
          ``(2) the required recipients of each report or disclosure;
          ``(3) any required method for transmittal or dissemination of 
        each report or disclosure;
          ``(4) a description of the content of each report or 
        disclosure sufficient to allow the institution to identify the 
        appropriate individuals to be assigned the responsibility for 
        such report or disclosure;
          ``(5) references to the statutory authority, applicable 
        regulations, and current guidance issued by the Secretary 
        regarding each report or disclosure; and
          ``(6) any other information which is pertinent to the content 
        or distribution of the report or disclosure.''.

SEC. 482. IMPROVEMENTS TO PAPER AND ELECTRONIC FORMS AND PROCESSES.

  (a) Common Financial Aid Form Development and Processing.--Section 
483 (20 U.S.C. 1090) is amended--
          (1) in subsection (a)--
                  (A) by striking paragraphs (1), (2), and (5);
                  (B) by redesignating paragraphs (3), (4), (6), and 
                (7), as paragraphs (9), (10), (11), and (12), 
                respectively;
                  (C) by inserting before paragraph (9), as 
                redesignated by subparagraph (B), the following:
          ``(1) In general.--The Secretary, in cooperation with 
        representatives of agencies and organizations involved in 
        student financial assistance, shall produce, distribute, and 
        process free of charge common financial reporting forms as 
        described in this subsection to be used for application and 
        reapplication to determine the need and eligibility of a 
        student for financial assistance under parts A through E (other 
        than subpart 4 of part A). These forms shall be made available 
        to applicants in both paper and electronic formats and shall be 
        referred to as the `Free Application for Federal Student Aid' 
        or the `FAFSA' . The Secretary shall work to make the FAFSA 
        consumer-friendly and to make questions on the FAFSA easy for 
        students and parents to read and understand, and shall ensure 
        that the FAFSA is available in formats accessible to 
        individuals with disabilities.
          ``(2) Early estimates.--The Secretary shall--
                  ``(A) permit applicants to enter data in such forms 
                as described in this subsection in the years prior to 
                enrollment in order to obtain a non-binding estimate of 
                the applicant's family contribution (as defined in 
                section 473);
                  ``(B) permit applicants to update information 
                submitted on forms described in this subsection, 
                without needing to re-enter previously submitted 
                information;
                  ``(C) develop a means to inform applicants, in the 
                years prior to enrollment, of student aid options for 
                individuals in similar financial situations; and
                  ``(D) develop a means to provide a clear and 
                conspicuous notice that the applicant's expected family 
                contribution is subject to change and may not reflect 
                the final expected family contribution used to 
                determine Federal student financial aid award amounts.
          ``(3) Paper format.--
                  ``(A) In general.--The Secretary shall produce, 
                distribute, and process common forms in paper format to 
                meet the requirements of paragraph (1). The Secretary 
                shall develop a common paper form for applicants who do 
                not meet the requirements of subparagraph (B).
                  ``(B) EZ fafsa.--
                          ``(i) In general.--The Secretary shall 
                        develop and use a simplified paper application 
                        form, to be known as the EZ FAFSA, to be used 
                        for applicants meeting the requirements of 
                        subsections (b) and (c) of section 479.
                          ``(ii) Reduced data requirements.--The EZ 
                        FAFSA shall permit an applicant to submit for 
                        financial assistance purposes, only the data 
                        elements required to make a determination of 
                        whether the applicant meets the requirements 
                        under subsections (b) and (c) of section 479.
                          ``(iii) State data.--The Secretary shall 
                        include on the EZ FAFSA such data items as may 
                        be necessary to award State financial 
                        assistance, as provided under paragraph (6), 
                        except that the Secretary shall not include a 
                        State's data if that State does not permit its 
                        applicants to use the EZ FAFSA for State 
                        assistance.
                          ``(iv) Free availability and processing.--The 
                        provisions of paragraph (7) shall apply to the 
                        EZ FAFSA, and the data collected by means of 
                        the EZ FAFSA shall be available to institutions 
                        of higher education, guaranty agencies, and 
                        States in accordance with paragraph (9).
                          ``(v) Testing.--The Secretary shall conduct 
                        appropriate field testing on the EZ FAFSA.
                  ``(C) Promoting the use of electronic fafsa.--
                          ``(i) In general.--The Secretary shall make 
                        all efforts to encourage all applicants to 
                        utilize the electronic forms described in 
                        paragraph (4).
                          ``(ii) Maintenance of the fafsa in a 
                        printable electronic file.--The Secretary shall 
                        maintain a version of the paper forms described 
                        in subparagraphs (A) and (B) in a printable 
                        electronic file that is easily portable. The 
                        printable electronic file will be made easily 
                        accessible and downloadable to students on the 
                        same website used to provide students with the 
                        electronic application forms described in 
                        paragraph (4) of this subsection. The Secretary 
                        shall enable students to submit a form created 
                        under this subparagraph that may be downloaded 
                        and printed from an electronic file format in 
                        order to meet the filing requirements of this 
                        section and in order to receive aid from 
                        programs under this title.
                          ``(iii) Reporting requirement.--The Secretary 
                        shall report annually to Congress on the impact 
                        of the digital divide on students completing 
                        applications for title IV aid described under 
                        this paragraph and paragraph (4). The Secretary 
                        will also report on the steps taken to 
                        eliminate the digital divide and reduce 
                        production of the paper form described in 
                        subparagraph (A) of this paragraph. The 
                        Secretary's report will specifically address 
                        the impact of the digital divide on the 
                        following student populations: independent 
                        students, traditionally underrepresented 
                        students, and dependent students.
          ``(4) Electronic format.--
                  ``(A) In general.--The Secretary shall produce, 
                distribute, and process common forms in electronic 
                format to meet the requirements of paragraph (1). The 
                Secretary shall develop common electronic forms for 
                applicants who do not meet the requirements of 
                subparagraph (C) of this paragraph.
                  ``(B) State data.--The Secretary shall include on the 
                common electronic forms space for information that 
                needs to be entered for the applicant to be eligible 
                for State financial assistance, as provided under 
                paragraph (6), except the Secretary shall not require 
                applicants to enter data required by any State other 
                than the applicant's State of residence.
                  ``(C) Simplified applications: fafsa on the web.--
                          ``(i) In general.--The Secretary shall 
                        develop and use a simplified electronic 
                        application form to be used by applicants 
                        meeting the requirements under subsections (b) 
                        and (c) of section 479.
                          ``(ii) Reduced data requirements.--The 
                        simplified electronic application forms shall 
                        permit an applicant to submit for financial 
                        assistance purposes, only the data elements 
                        required to make a determination of whether the 
                        applicant meets the requirements under 
                        subsection (b) or (c) of section 479.
                          ``(iii) State data.--The Secretary shall 
                        include on the simplified electronic 
                        application forms such data items as may be 
                        necessary to award State financial assistance, 
                        as provided under paragraph (6), except that 
                        the Secretary shall not require applicants to 
                        enter data required by any State other than the 
                        applicant's State of residence.
                          ``(iv) Availability and processing.--The data 
                        collected by means of the simplified electronic 
                        application forms shall be available to 
                        institutions of higher education, guaranty 
                        agencies, and States in accordance with 
                        paragraph (9).
                          ``(v) Testing.--The Secretary shall conduct 
                        appropriate field testing on the forms 
                        developed under this subparagraph.
                  ``(D) Use of forms.--Nothing in this subsection shall 
                be construed to prohibit the use of the forms developed 
                by the Secretary pursuant to this paragraph by an 
                eligible institution, eligible lender, guaranty agency, 
                State grant agency, private computer software provider, 
                a consortium thereof, or such other entities as the 
                Secretary may designate.
                  ``(E) Privacy.--The Secretary shall ensure that data 
                collection under this paragraph complies with section 
                552a of title 5, United States Code, and that any 
                entity using the electronic version of the forms 
                developed by the Secretary pursuant to this paragraph 
                shall maintain reasonable and appropriate 
                administrative, technical, and physical safeguards to 
                ensure the integrity and confidentiality of the 
                information, and to protect against security threats, 
                or unauthorized uses or disclosures of the information 
                provided on the electronic version of the forms. Data 
                collected by such electronic version of the forms shall 
                be used only for the application, award, and 
                administration of aid awarded under this title, State 
                aid awarded under section 415C, or aid awarded by 
                eligible institutions or such entities as the Secretary 
                may designate. No data collected by such electronic 
                version of the forms shall be used for making final aid 
                awards under this title until such data have been 
                processed by the Secretary or a contractor or designee 
                of the Secretary, except as may be permitted under this 
                title.
                  ``(F) Signature.--Notwithstanding any other provision 
                of this Act, the Secretary may permit an electronic 
                form under this paragraph to be submitted without a 
                signature, if a signature is subsequently submitted by 
                the applicant or if the applicant uses a personal 
                identification number provided by the Secretary under 
                subparagraph (G) of this paragraph.
                  ``(G) Personal identification numbers authorized.--
                The Secretary may assign to applicants personal 
                identification numbers--
                          ``(i) to enable the applicants to use such 
                        numbers in lieu of a signature for purposes of 
                        completing a form under this paragraph;
                          ``(ii) to enable the applicants to use such 
                        numbers in lieu of a signature for purposes of 
                        completing forms required by States under 
                        section 415C; and
                          ``(iii) for any purpose determined by the 
                        Secretary to enable the Secretary to carry out 
                        this title.
                  ``(H) Personal identification number improvement.--
                The Secretary shall implement a real-time data match 
                between the Social Security Administration and the 
                Department to minimize the time required for an 
                applicant to obtain a personal identification number 
                when applying for aid under this title through an 
                electronic version of a form developed under this 
                paragraph.
          ``(5) Streamlining.--
                  ``(A) Streamlined reapplication process.--
                          ``(i) In general.--The Secretary shall 
                        develop streamlined reapplication forms and 
                        processes, including both paper and electronic 
                        reapplication processes, consistent with the 
                        requirements of this subsection, for an 
                        applicant who applies for financial assistance 
                        under this title in the next succeeding 
                        academic year subsequent to the year in which 
                        such applicant first applied for financial 
                        assistance under this title.
                          ``(ii) Mechanisms for reapplication.--The 
                        Secretary shall develop appropriate mechanisms 
                        to support reapplication.
                          ``(iii) Identification of updated data.--The 
                        Secretary shall determine, in cooperation with 
                        States, institutions of higher education, 
                        agencies, and organizations involved in student 
                        financial assistance, the data elements that 
                        can be updated from the previous academic 
                        year's application.
                          ``(iv) Reduced data authorized.--Nothing in 
                        this title shall be construed as limiting the 
                        authority of the Secretary to reduce the number 
                        of data elements required of reapplicants.
                          ``(v) Zero family contribution.--Applicants 
                        determined to have a zero family contribution 
                        pursuant to section 479(c) shall not be 
                        required to provide any financial data in a 
                        reapplication form, except that which is 
                        necessary to determine eligibility under such 
                        section.
                  ``(B) Reduction of data elements.--
                          ``(i) Reduction encouraged.--Of the number of 
                        data elements on the FAFSA on the date of 
                        enactment of the College Opportunity and 
                        Affordability Act of 2007 (including questions 
                        on the FAFSA for the purposes described in 
                        paragraph (6)), the Secretary, in cooperation 
                        with representatives of agencies and 
                        organizations involved in student financial 
                        assistance, shall continue to reduce the number 
                        of such data elements required to be entered by 
                        all applicants, with the goal of reducing such 
                        number by 50 percent. Reductions of data 
                        elements under paragraph (3)(B), (4)(C), or 
                        (5)(A)(iv) shall not be counted towards such 
                        reduction unless those data elements are 
                        reduced for all applicants.
                          ``(ii) Report.--The Secretary shall submit a 
                        report on the process of this reduction to each 
                        the authorizing committees within 2 years after 
                        such date of enactment.
          ``(6) State requirements.--
                  ``(A) In general.--The Secretary shall include on the 
                forms developed under this subsection, such State-
                specific nonfinancial data items as the Secretary 
                determines are necessary to meet State requirements for 
                need-based State aid under section 415C, except as 
                provided in paragraphs (3)(B)(iii) and (4)(C)(iii) of 
                this subsection. Such items shall be selected in 
                consultation with State agencies that submit 
                applications under section 415C in order to assist in 
                the awarding of State financial assistance in 
                accordance with the terms of this subsection, except as 
                provided in paragraphs (3)(B)(iii) and (4)(C)(iii) of 
                this subsection. The number of such data items shall 
                not be less than the number included on the form for 
                the 2008-2009 academic year, unless a State notifies 
                the Secretary that the State no longer requires those 
                data items for the distribution of State need-based 
                aid.
                  ``(B) Annual review.--The Secretary shall conduct an 
                annual review process to determine which forms and 
                nonfinancial data items the States require to award 
                need-based State aid and other application requirements 
                that the States may impose.
                  ``(C) State use of simplified forms.--The Secretary 
                shall encourage States to take such steps as necessary 
                to encourage the use of simplified application forms, 
                including those described in paragraphs (3)(B) and 
                (4)(C), to meet the requirements under subsection (b) 
                or (c) of section 479.
                  ``(D) Federal register notice.--The Secretary shall 
                publish on an annual basis a notice in the Federal 
                Register requiring State agencies to inform the 
                Secretary--
                          ``(i) if the State agency is unable to permit 
                        applicants to utilize the simplified 
                        application forms described in paragraphs 
                        (3)(B) and (4)(C); and
                          ``(ii) of the State-specific nonfinancial 
                        data that the State agency requires for 
                        delivery of State need-based financial aid.
                  ``(E) State notification to the secretary.--
                          ``(i) In general.--Each State agency that 
                        submits an application under section 415C shall 
                        notify the Secretary--
                                  ``(I) whether the State permits an 
                                applicant to file a form described in 
                                paragraph (3)(B) or (4)(A) of this 
                                subsection for purposes of determining 
                                eligibility for State need-based grant 
                                aid; and
                                  ``(II) the State-specific 
                                nonfinancial data that the State agency 
                                requires for delivery of State need-
                                based financial aid.
                          ``(ii) Acceptance of forms.--In the event 
                        that a State does not permit an applicant to 
                        file a form described in paragraph (3)(B) or 
                        (4)(A) of this subsection for purposes of 
                        determining eligibility for State need-based 
                        grant aid--
                                  ``(I) the State shall notify the 
                                Secretary if the State is not permitted 
                                to do so because of either State law or 
                                because of agency policy; and
                                  ``(II) the notification under 
                                subclause (I) shall include an estimate 
                                of the program cost to permit 
                                applicants to complete simplified 
                                application forms under paragraphs 
                                (3)(B) and (4)(A) of this subsection.
                          ``(iii) Lack of notification by the state.--
                        If a State does not notify the Secretary 
                        pursuant to clause (i), the Secretary shall--
                                  ``(I) permit residents of that State 
                                to complete simplified application 
                                forms under paragraphs (3)(B) and 
                                (4)(A) of this subsection; and
                                  ``(II) not require any resident of 
                                that State to complete any nonfinancial 
                                data previously required by that State 
                                under this section.
          ``(7) Charges to students and parents for use of forms 
        prohibited.--
                  ``(A) Fees prohibited.--The FAFSA, in whatever form 
                (including the EZ FAFSA, paper, electronic, simplified, 
                or reapplication), shall be produced, distributed, and 
                processed by the Secretary and no parent or student 
                shall be charged a fee for the collection, processing, 
                or delivery of financial aid through the use of the 
                FAFSA. The need and eligibility of a student for 
                financial assistance under parts A through E of this 
                title (other than under subpart 4 of part A) may only 
                be determined by using the FAFSA developed by the 
                Secretary pursuant to this subsection. No student may 
                receive assistance under parts A through E of this 
                title (other than under subpart 4 of part A), except by 
                use of the FAFSA developed by the Secretary pursuant to 
                this subsection. No data collected on a form for which 
                a fee is charged shall be used to complete the FAFSA.
                  ``(B) Notice.--Any entity that provides to students 
                and parents, or charges students or parents for, any 
                value-added services with respect to or in connection 
                with the FAFSA, such as completion of the FAFSA, 
                submission of the FAFSA, or tracking of the FAFSA for a 
                student, shall provide to students and parents clear 
                and conspicuous notice that--
                          ``(i) the FAFSA is a free Federal student aid 
                        application;
                          ``(ii) the FAFSA can be completed without 
                        professional assistance; and
                          ``(iii) includes the current Internet address 
                        for the FAFSA on the Department's web site.
          ``(8) Application processing cycle.--The Secretary shall 
        enable students to submit a form created under this subsection 
        in order to meet the filing requirements of this section and in 
        order to receive aid from programs under this title and shall 
        initiate the processing of applications under this subsection 
        as early as practicable prior to October 15 of the year prior 
        to the student's planned year of enrollment.'';
          (2) by adding at the end of subsection (a) the following 
        paragraph:
          ``(13) Early application and award demonstration program.--
                  ``(A) Program required.--The Secretary shall, no 
                later than two years after the date of the enactment of 
                the College Opportunity and Affordability Act of 2007, 
                implement an early application demonstration program 
                enabling dependent students to--
                          ``(i) complete applications under this 
                        subsection in such students' junior year of 
                        secondary school, or in the academic year that 
                        is 2 years prior to such students' intended 
                        year of enrollment at an institution of higher 
                        education;
                          ``(ii) receive an estimate of such students' 
                        financial aid awards;
                          ``(iii) update, in the year prior to such 
                        students' planned year of enrollment, the 
                        information contained in an application 
                        submitted under clause (i), using the process 
                        described in paragraph (5) to determine such 
                        students' final financial aid awards; and
                          ``(iv) receive final financial aid awards 
                        based on updated information described in 
                        clause (iii).
                  ``(B) Purpose and objectives.--The purpose of the 
                demonstration program under this paragraph shall be to 
                measure the benefits, in terms of student aspirations 
                and plans to attend college, and the adverse effects, 
                in terms of program costs, integrity, distribution, and 
                delivery of aid under this title, of implementing an 
                early application system for all dependent students 
                that allows dependent students to apply for financial 
                aid using information from the year prior to the year 
                prior to enrollment. Additional objectives associated 
                with implementation of the demonstration program are 
                the following:
                          ``(i) Measure the feasibility of enabling 
                        dependent students to apply for Federal, State, 
                        and institutional financial aid in their junior 
                        year of high school, using information from the 
                        year prior to the year prior to enrollment, by 
                        completing any of the application forms under 
                        this subsection.
                          ``(ii) Identify whether receiving final 
                        financial aid awards no later than the fall of 
                        the senior year provides students with 
                        additional time to compete for the limited 
                        resources available for State and institutional 
                        financial aid and positively impacts the 
                        college aspirations and plans of these 
                        students.
                          ``(iii) Measure the impact of using income 
                        information from the years prior to enrollment 
                        on--
                                  ``(I) eligibility for financial aid 
                                under this title and for other State 
                                and institutional aid; and
                                  ``(II) the cost of financial aid 
                                programs under this title.
                          ``(iv) Effectively evaluate the benefits and 
                        adverse effects of the demonstration program on 
                        program costs, integrity, distribution, and 
                        delivery of aid.
                  ``(C) Participants.--The Secretary shall select 
                States and institutions within those States to 
                participate in the demonstration program under this 
                paragraph that are participating in the programs under 
                this title and that are willing to make final financial 
                aid awards to students based on their application 
                information from the year prior to the year prior to 
                enrollment. The Secretary shall also select as 
                participants in the demonstration program secondary 
                schools and dependent students that are located in the 
                participating States.
                  ``(D) Application process.--The Secretary shall 
                insure that the following provisions are included in 
                the demonstration program:
                          ``(i) Participating States and institutions 
                        shall--
                                  ``(I) encourage participating 
                                students to apply for estimates of 
                                financial aid awards as provided under 
                                this title in such students' junior 
                                year of secondary school, or in the 
                                academic year that is 2 years prior to 
                                such students' intended year of 
                                enrollment at an institution of higher 
                                education, using the most recent 
                                information available; and
                                  ``(II) make final financial aid 
                                awards to participating students based 
                                on the updated information contained on 
                                a form submitted using the process 
                                described in paragraph (5).
                          ``(ii) Financial aid administrators at 
                        participating institutions shall be allowed to 
                        use their discretion in awarding financial aid 
                        to participating students, as outlined under 
                        section 479A and section 480(d)(7).
                  ``(E) Evaluation.--The Secretary shall conduct a 
                rigorous evaluation of this demonstration program in 
                order to measure its benefits and adverse effects as 
                indicated under subparagraph (A).
                  ``(F) Outreach.--The Secretary shall make appropriate 
                efforts in order to notify States of the demonstration 
                program under this paragraph. Upon determination of 
                participating States, the Secretary shall continue to 
                make efforts to notify institutions and dependent 
                students within participating States of the opportunity 
                to participate in the demonstration program and of the 
                participation requirements.
                  ``(G) Consultation.--The Secretary shall consult with 
                the Advisory Committee on Student Financial Assistance, 
                established under section 491, on the design and 
                implementation of the demonstration program and on the 
                evaluation described in subparagraph (E).'';
          (3) by striking subsection (b); and
          (4) by redesignating subsections (c), (d), and (e) as 
        subsections (b), (c), and (d), respectively.
  (b) Master Calendar.--Section 482(a)(1) (20 U.S.C. 1089(a)(1)) is 
amended by striking subparagraphs (B) and (C) and inserting the 
following:
                  ``(B) by March 1: proposed modifications, updates, 
                and notices pursuant to sections 478 and 483(a)(6) 
                published in the Federal Register;
                  ``(C) by June 1: final modifications, updates, and 
                notices pursuant to sections 478 and 483(a)(6) 
                published in the Federal Register;''.
  (c) Model Institution Financial Aid Offer Form.--
          (1) Report and model format.--Not later than 1 year after the 
        date of enactment of the College Opportunity and Affordability 
        Act of 2007, the Secretary shall--
                  (A) prepare a report on the adequacy of the financial 
                aid offer forms provided by institutions of higher 
                education to students and the parents of such students, 
                after consulting with--
                          (i) students;
                          (ii) parents of students;
                          (iii) representatives of institutions of 
                        higher education (including financial aid 
                        administrators, registrars, and business 
                        officers); and
                          (iv) consumer groups that receive no 
                        commercial or institution of higher education 
                        support;
                  (B) include in the report a model format for 
                financial aid offer forms that--
                          (i) is based on the report's findings; and
                          (ii) includes the information described in 
                        paragraph (2); and
                  (C)(i) submit the report and model format to the 
                authorizing committees (as defined in section 103 of 
                the Higher Education Act of 1965 (20 U.S.C. 1003); and
                  (ii) make the report and model format available to 
                institutions of higher education, lenders, and the 
                public.
          (2) Model format contents.--The model financial aid offer 
        format developed under paragraph (1) shall present, in a 
        consumer-friendly manner, the following information:
                  (A) The student's cost of attendance for the year for 
                which the institution of higher education is issuing 
                the financial aid offer form, including the actual or 
                estimated costs included in the cost of attendance for 
                such year for each of the following:
                          (i) Tuition and fees.
                          (ii) Room and board costs.
                          (iii) Books and supplies.
                          (iv) Transportation.
                  (B) The amount of financial aid that the student does 
                not have to repay, such as scholarships and grants, 
                offered to the student for such year.
                  (C) The conditions under which the financial aid 
                described in subparagraph (B) is renewable each year.
                  (D) The amount of work-study assistance offered to 
                the student for such year, and the conditions under 
                which the student has to fulfill the work-study 
                assistance.
                  (E) The types and amounts of loans under part B, D, 
                or E of title IV for which the student is eligible for 
                such year, and the interest rate, loan term, monthly 
                repayment amount, and total repayment amount of each 
                such loan.
                  (F) The types and amounts of loans under 428B or 
                Federal Direct PLUS loans under section 455 for which a 
                parent of the student is eligible for such year, and 
                the interest rate, loan term, monthly repayment amount, 
                and total repayment amount of each such loan.
                  (G) The net amount that the student or the student's 
                parent will have to pay to attend the institution for 
                such year, which amount shall be the difference 
                between--
                          (i) the cost of attendance for the student 
                        for such year; less
                          (ii) the amount of financial aid offered by 
                        the covered institution in the financial aid 
                        offer form.
                  (H) Where a student or the student's parent can seek 
                additional information regarding the financial aid 
                offered.
                  (I) Any other information the Secretary determines 
                necessary so that students and parents can make 
                informed student loan borrowing decisions.

SEC. 483. INCREASING ACCESS TO TECHNOLOGY.

  Section 483 (20 U.S.C. 1087ss) is further amended by adding at the 
end the following:
  ``(e) Addressing the Digital Divide.--The Secretary shall utilize 
savings accrued by moving more applicants to the electronic forms 
described in subsection (a)(4) to improve access to the electronic 
forms described in subsection (a)(4) for applicants meeting the 
requirements of section 479(b) or (c).''.

SEC. 484. SENSE OF THE CONGRESS; REPORT.

  (a) Sense of Congress.--It is the sense of the Congress that--
          (1) in order to simplify the Free Application for Federal 
        Student Aid (FAFSA), which serves as an entry point for the 
        scholarships, grants, loans, and work-study assistance that 
        make it possible for millions of students to attend college, 
        the Secretary of Education and the Secretary of the Treasury 
        should work together to develop a process by which the 
        Department of Education will, with the aid applicant's 
        permission, draw income information directly from the Internal 
        Revenue Service for the purpose of completing the EZ FAFSA, the 
        FAFSA, and FAFSA renewal applications and providing early 
        estimates of aid eligibility; and
          (2) this process would--
                  (A) ease the burden of reporting income-related 
                information for applicants;
                  (B) increase the efficiency, accuracy, and security 
                of the FAFSA filing process;
                  (C) significantly reduce the need for further 
                verification by the Department of Education, 
                institutions, and applicants; and
                  (D) protect the security, privacy, and safety of all 
                data used in the FAFSA filing process.
  (b) Report.--The Secretary of Education shall, within one year after 
the date of enactment of this Act--
          (1) provide the Congress with information on the progress in 
        devising the simplified process described in subsection (a); 
        and
          (2) inform the Congress of any necessary statutory changes 
        for the purpose of increasing the efficiency and effectiveness 
        of the FAFSA application process.

SEC. 485. STUDENT ELIGIBILITY.

  (a) Amendments.--Section 484 (20 U.S.C. 1091) is amended--
          (1) in subsection (a)--
                  (A) in paragraph (4)(B), by striking ``the Republic 
                of the Marshall Islands, the Federated States of 
                Micronesia, or''; and
                  (B) in paragraph (5), by striking ``a citizen of any 
                one of the Freely Associated States'' and inserting 
                ``or, to the extent described in subsection (j), a 
                citizen of the Republic of Palau'';
          (2) by amending subsection (j) to read as follows:
  ``(j) Assistance Under Subpart 1 of Part A for Students From Palau.--
Notwithstanding any other provision of law, a student shall be eligible 
until September 30, 2009, for assistance under subpart 1 of part A if 
the student is otherwise qualified and--
          ``(1) is a citizen of the Republic of Palau and attends an 
        institution of higher education in a State or a public or 
        nonprofit private institution of higher education in the Freely 
        Associated States; or
          ``(2) meets the requirements of subsection (a)(5) and attends 
        a public or nonprofit private institution of higher education 
        in any one of the Freely Associated States.'';
          (3) by striking subsection (l) and inserting the following:
  ``(l) Courses Offered Through Distance Education.--
          ``(1) Relation to correspondence courses.--
                  ``(A) In general.--A student enrolled in a course of 
                instruction at an institution of higher education that 
                is offered principally through distance education and 
                leads to a recognized certificate, or associate, 
                baccalaureate, or graduate degree, conferred by such 
                institution, shall not be considered to be enrolled in 
                correspondence courses.
                  ``(B) Exception.--An institution of higher education 
                referred to in subparagraph (A) shall not include an 
                institution or school described in section 3(3)(C) of 
                the Carl D. Perkins Career and Technical Education Act 
                of 2006.
          ``(2) Restriction or reductions of financial aid.--A 
        student's eligibility to receive grants, loans, or work 
        assistance under this title shall be reduced if a financial aid 
        officer determines under the discretionary authority provided 
        in section 479A that distance education results in a 
        substantially reduced cost of attendance to such student.
          ``(3) Special rule.--For award years prior to July 1, 2008, 
        the Secretary shall not take any compliance, disallowance, 
        penalty, or other action against a student or an eligible 
        institution when such action arises out of such institution's 
        prior award of student assistance under this title if the 
        institution demonstrates to the satisfaction of the Secretary 
        that its course of instruction would have been in conformance 
        with the requirements of this subsection.'';
          (4) in subsection (r)(2)--
                  (A) in subparagraph (A), by striking ``or'' at the 
                end of clause (ii);
                  (B) by redesignating subparagraph (B) as subparagraph 
                (C); and
                  (C) by inserting after subparagraph (A) the following 
                new subparagraph:
                  ``(B) the student successfully passes two unannounced 
                drug tests conducted by a drug rehabilitation program 
                that complies with such criteria as the Secretary shall 
                prescribe in regulations for purposes of subparagraph 
                (A)(i); or''; and
          (5) by adding at the end the following:
  ``(s) Students With Intellectual Disabilities.--
          ``(1) In general.--Notwithstanding subsections (a), (c), and 
        (d), in order to receive any grant or work assistance under 
        section 401 and subpart 3 of part A and part C of this title, a 
        student with an intellectual disability shall--
                  ``(A) be an individual with an intellectual 
                disability whose mental retardation or other 
                significant cognitive impairment substantially impacts 
                the individual's intellectual and cognitive 
                functioning;
                  ``(B)(i) be a student eligible for assistance under 
                the Individuals with Disabilities Education Act who has 
                completed secondary school; or
                  ``(ii) be an individual who was, but is no longer, 
                eligible for assistance under the Individuals with 
                Disabilities Education Act because the individual has 
                exceeded the maximum age for which the State provides a 
                free appropriate public education;
                  ``(C) be enrolled or accepted for enrollment in a 
                comprehensive transition and postsecondary education 
                program that--
                          ``(i) is designed to support students with an 
                        intellectual disability who are seeking to 
                        continue academic, vocational, and independent 
                        living instruction at the institution in order 
                        to prepare for gainful employment and 
                        independent living;
                          ``(ii) includes an advising and curriculum 
                        structure; and
                          ``(iii) requires students to participate on 
                        at least a half-time basis, as determined by 
                        the institution, including--
                                  ``(I) regular enrollment in courses 
                                offered by the institution;
                                  ``(II) auditing or participating in 
                                courses offered by the institution for 
                                which the student does not receive 
                                regular academic credit;
                                  ``(III) enrollment in noncredit, 
                                nondegree courses;
                                  ``(IV) participation in internships; 
                                or
                                  ``(V) a combination of 2 or more of 
                                the activities described in clauses (i) 
                                through (iv);
                  ``(D) be maintaining satisfactory progress in the 
                program as determined by the institution, in accordance 
                with standards established by the institution; and
                  ``(E) meet the requirements of paragraphs (3), (4), 
                (5), and (6) of subsection (a).
          ``(2) Regulations.--Notwithstanding rules applicable to grant 
        or work assistance awards made under section 401 of part A, 
        subpart 3 of part A, and part C of this title, including with 
        respect to eligible programs, instructional time, credit 
        status, and enrollment status as described in section 481, the 
        Secretary shall promulgate regulations allowing programs 
        enrolling students with intellectual disabilities otherwise 
        determined to be eligible under this subsection to receive such 
        awards.
  ``(t) Data Analysis on Access to Federal Student Aid For Certain 
Populations.--
          ``(1) Development of the system.--Within one year of 
        enactment of the College Opportunity and Affordability Act of 
        2007, the Secretary shall, in consultation with the Central 
        Processing System, analyze data from the FAFSA containing 
        information regarding the number, characteristics, and 
        circumstances of students denied Federal student aid based on a 
        drug conviction while receiving Federal aid.
          ``(2) Results from analysis.--The results from the analysis 
        of such information shall be made available on a continuous 
        basis via the Department of Education website and the Digest of 
        Education and Statistics.
          ``(3) Data updating.--The data analyzed under this subsection 
        shall be updated at the beginning of each award year and at 
        least one additional time during such award year.
          ``(4) Report to congress.--The Secretary shall prepare and 
        submit to the authorizing committees of the Congress, in each 
        fiscal year, a report describing the results obtained by the 
        establishment and operation of the data system authorized by 
        this subsection.''.
  (b) Effective Date.--The amendments made by this section shall take 
affect on July 1, 2009.

SEC. 486. ASSESSMENT OF COSTS AND OTHER CHARGES.

  Section 484A(b) (20 U.S.C. 1091a(b)) is amended--
          (1) by striking ``and'' at the end of paragraph (1);
          (2) by striking the period at the end of paragraph (2) and 
        inserting ``; and''; and
          (3) by adding at the end the following new paragraph:
          ``(3) in collecting any obligation arising from a loan made 
        under part E of this title, an institution of higher education 
        that has an agreement with the Secretary pursuant to section 
        463(a) shall not be subject to a defense raised by any borrower 
        based on a claim of infancy.''.

SEC. 487. READMISSION REQUIREMENTS FOR SERVICEMEMBERS.

  Section 484B(a)(2) (20 U.S.C. 1091b(a)(2)) is amended by adding at 
the end the following new subparagraph:
                  ``(C) Readmission requirements for servicemembers.--
                Any institution of higher education that requires any 
                student--
                          ``(i) who is a member of the Armed Forces of 
                        the United States, or a member of such Armed 
                        Forces in a retired status, including members 
                        of the National Guard or other reserve 
                        component,
                          ``(ii) who is on active duty, or is called or 
                        ordered to active duty (as defined in section 
                        481(d)), and
                          ``(iii) whose attendance at such institution 
                        is interrupted by such active duty,
                to apply for readmission to such institution of higher 
                education after the conclusion of such active duty 
                shall submit to the Secretary a statement justifying 
                such requirement.''.

SEC. 488. INSTITUTIONAL AND FINANCIAL ASSISTANCE INFORMATION FOR 
                    STUDENTS.

  (a) Disclosure of Policies and Sanctions Related to Copyright 
Infringement.--Section 485(a)(1) (20 U.S.C. 1092(a)(1)) is amended--
          (1) by striking ``and'' at the end of subparagraph (N);
          (2) by striking the period at the end of subparagraph (O) and 
        inserting ``; and'' ; and
          (3) by adding at the end the following new subparagraph:
                  ``(P) institutional policies and sanctions related to 
                copyright infringement, including--
                          ``(i) an annual disclosure that explicitly 
                        informs students that unauthorized distribution 
                        of copyrighted material, including unauthorized 
                        peer-to-peer file sharing, may subject the 
                        students to civil and criminal liabilities;
                          ``(ii) a summary of the penalties for 
                        violation of Federal copyright laws;
                          ``(iii) a description of the institution's 
                        policies with respect to unauthorized peer-to-
                        peer file sharing, including disciplinary 
                        actions that are taken against students who 
                        engage in unauthorized distribution of 
                        copyrighted materials using the institution's 
                        information technology system; and
                          ``(iv) a description of actions that the 
                        institution takes to prevent and detect 
                        unauthorized distribution of copyrighted 
                        material on the institution's information 
                        technology system.''.
  (b) Criminal Offenses Reported.--Section 485(f)(1) (20 U.S.C. 
1092(f)(1)) is amended--
          (1) in the matter preceding subparagraph (A), by inserting 
        ``, other than a foreign institution of higher education,'' 
        after ``under this title''; and
          (2) in subparagraph (F)--
                  (A) by striking clause (i) and inserting the 
                following:
                          ``(i) of the following criminal offenses 
                        reported to campus security authorities or 
                        local police agencies:
                                  ``(I) murder;
                                  ``(II) sex offenses, forcible or 
                                nonforcible;
                                  ``(III) robbery;
                                  ``(IV) aggravated assault;
                                  ``(V) intimidation;
                                  ``(VI) burglary;
                                  ``(VII) larceny-theft;
                                  ``(VIII) motor vehicle theft;
                                  ``(IX) destruction, damage, or 
                                vandalism of property;
                                  ``(X) simple assault;
                                  ``(XI) manslaughter;
                                  ``(XII) arson; and
                                  ``(XIII) arrests or persons referred 
                                for campus disciplinary action for 
                                liquor law violations, drug-related 
                                violations, and weapons possession; 
                                and''; and
                  (B) in clause (ii), by striking ``of the crimes 
                described in subclauses (I) through (VIII)'' and 
                inserting ``for degree-granting institutions only, of 
                the crimes described in subclauses (I) through (XII)''; 
                and
          (3) by adding at the end the following new subparagraph:
                  ``(J) A statement of current campus policies 
                regarding immediate emergency response and evacuation 
                procedures, including the use of electronic and 
                cellular communication (if appropriate), which shall 
                include procedures--
                          ``(i) to notify the campus community in not 
                        more than 30 minutes in the event of a 
                        significant emergency or dangerous situation, 
                        involving an immediate threat to the health or 
                        safety of students or staff, occurring on the 
                        campus, in or on noncampus buildings or 
                        property, and on public property;
                          ``(ii) to publicize emergency response and 
                        evacuation procedures on an annual basis in a 
                        manner designed to reach students and staff; 
                        and
                          ``(iii) to test emergency response and 
                        evacuation procedures on an annual basis.''.
  (c) Additional Amendment.--Section 485(f) is further amended--
          (1) by redesignating paragraph (15) as paragraph (18); and
          (2) by inserting after paragraph (14) the following:
          ``(15) Compliance report.--The Secretary shall annually 
        report to the authorizing committees regarding compliance with 
        this subsection by institutions of higher education, including 
        an up-to-date report on the Secretary's monitoring of such 
        compliance.
          ``(16) Best practices.--The Secretary may seek the advice and 
        counsel of the Attorney General concerning the development, and 
        dissemination to institutions of higher education, of best 
        practices information about campus safety and emergencies.
          ``(17) Retaliation prohibited.--No participating institution 
        or officer, employee, or agent of the institution shall 
        intimidate, threaten, coerce, or otherwise discriminate against 
        any individual for the purpose of interfering with the 
        implementation of any provision of this subsection, or any 
        rights or privileges accorded under this subsection, or because 
        the individual has complained, testified, assisted, or 
        otherwise participated in any aspect of an investigation, 
        proceeding, or hearing.''.
  (d) Additional Requirements.--Section 485 (20 U.S.C. 1092) is amended 
by adding at the end the following new subsections:
  ``(h) Transfer of Credit Policies.--
          ``(1) Disclosure.--Each institution of higher education 
        participating in any program under this title shall publicly 
        disclose in a readable and comprehensible manner the transfer 
        of credit policies established by the institution which shall 
        include a statement of the institution's current transfer of 
        credit policies that includes, at a minimum--
                  ``(A) any established criteria the institution uses 
                regarding the transfer of credit earned at another 
                institution of higher education; and
                  ``(B) a list of institutions of higher education with 
                which the institution has established an articulation 
                agreement.
          ``(2) Rule of construction.--Nothing in this subsection shall 
        be construed to--
                  ``(A) authorize the Secretary or the National 
                Advisory Committee on Institutional Quality and 
                Integrity to require particular policies, procedures, 
                or practices by institutions of higher education with 
                respect to transfer of credit;
                  ``(B) authorize an officer or employee of the 
                Department to exercise any direction, supervision, or 
                control over the curriculum, program of instruction, 
                administration, or personnel of any institution of 
                higher education, or over any accrediting agency or 
                association;
                  ``(C) limit the application of the General Education 
                Provisions Act; or
                  ``(D) create any legally enforceable right on the 
                part of a student to require an institution of higher 
                education to accept a transfer of credit from another 
                institution.
  ``(i) Disclosure of Fire Safety Standards and Measures.--
          ``(1) Annual fire safety reports on student housing 
        required.--Each eligible institution participating in any 
        program under this title that maintains on-campus student 
        housing facilities shall, on an annual basis, publish a fire 
        safety report, which shall contain information with respect to 
        the campus fire safety practices and standards of that 
        institution, including--
                  ``(A) statistics concerning the following in each on-
                campus student housing facility during the most recent 
                calendar years for which data are available:
                          ``(i) the number of fires and the cause of 
                        each fire;
                          ``(ii) the number of injuries related to a 
                        fire that result in treatment at a medical 
                        facility;
                          ``(iii) the number of deaths related to a 
                        fire; and
                          ``(iv) the value of property damage caused by 
                        a fire;
                  ``(B) a description of each on-campus student housing 
                facility fire safety system, including the fire 
                sprinkler system;
                  ``(C) the number of regular mandatory supervised fire 
                drills;
                  ``(D) policies or rules on portable electrical 
                appliances, smoking, and open flames (such as candles), 
                procedures for evacuation, and policies regarding fire 
                safety education and training programs provided to 
                students, faculty, and staff; and
                  ``(E) plans for future improvements in fire safety, 
                if determined necessary by such institution.
          ``(2) Report to the secretary.--Each eligible institution 
        participating in any program under this title shall, on an 
        annual basis submit to the Secretary a copy of the statistics 
        required to be made available under subparagraph (A).
          ``(3) Current information to campus community.--Each 
        institution participating in any program under this title 
        shall--
                  ``(A) make, keep, and maintain a log, recording all 
                fires in on-campus student housing facilities, 
                including the nature, date, time, and general location 
                of each fire; and
                  ``(B) make annual reports to the campus community on 
                such fires.
          ``(4) Responsibilities of the secretary.--The Secretary 
        shall--
                  ``(A) make such statistics submitted to the Secretary 
                available to the public; and
                  ``(B) in coordination with nationally recognized fire 
                organizations and representatives of institutions of 
                higher education, representatives of associations of 
                institutions of higher education, and other 
                organizations that represent and house a significant 
                number of students--
                          ``(i) identify exemplary fire safety 
                        policies, procedures, programs, and practices;
                          ``(ii) disseminate information to the 
                        Administrator of the United States Fire 
                        Administration;
                          ``(iii) make available to the public 
                        information concerning those policies, 
                        procedures, programs, and practices that have 
                        proven effective in the reduction of fires; and
                          ``(iv) develop a protocol for institutions to 
                        review the status of their fire safety systems.
          ``(5) Rules of construction.--Nothing in this subsection 
        shall be construed to--
                  ``(A) authorize the Secretary to require particular 
                policies, procedures, programs, or practices by 
                institutions of higher education with respect to fire 
                safety, other than with respect to the collection, 
                reporting, and dissemination of information required by 
                this subsection;
                  ``(B) affect the Family Educational Rights and 
                Privacy Act of 1974 or the regulations issued under 
                section 264 of the Health Insurance Portability and 
                Accountability Act of 1996 (42 U.S.C. 1320d-2 note);
                  ``(C) create a cause of action against any 
                institution of higher education or any employee of such 
                an institution for any civil liability; or
                  ``(D) establish any standard of care.
          ``(6) Compliance report.--The Secretary shall annually report 
        to the authorizing committees regarding compliance with this 
        subsection by institutions of higher education, including an 
        up-to-date report on the Secretary's monitoring of such 
        compliance.
          ``(7) Evidence.--Notwithstanding any other provision of law, 
        evidence regarding compliance or noncompliance with this 
        subsection shall not be admissible as evidence in any 
        proceeding of any court, agency, board, or other entity, except 
        with respect to an action to enforce this subsection.
          ``(8) Retaliation prohibited.--No participating institution 
        or officer, employee, or agent of the institution shall 
        intimidate, threaten, coerce, or otherwise discriminate against 
        any individual for the purpose of interfering with the 
        implementation of any provision of this subsection, or any 
        rights or privileges accorded under this subsection, or because 
        the individual has complained, testified, assisted, or 
        otherwise participated in any aspect of an investigation, 
        proceeding, or hearing.
  ``(j) Missing Person Procedures.--
          ``(1) Form and protocols.--Each institution of higher 
        education participating in any program under this title shall--
                  ``(A) include on its form for registration or 
                enrollment of students an item in which the student can 
                elect to identify an individual to be notified and 
                police to be notified by the university within 24 hours 
                of when a student is reported missing to the 
                university, and
                  ``(B) establish protocols for missing students that--
                          ``(i) require any missing person report 
                        relating to any student be referred to the 
                        institution's police or campus security 
                        department; and
                          ``(ii) if, on investigation of the report, 
                        such department determines that the missing 
                        person has been missing for more than 24 hours, 
                        require--
                                  ``(I) such department to refer to the 
                                item on the registration document 
                                required under subparagraph (A) and 
                                contact the individual named by the 
                                student in such item; and
                                  ``(II) if the student is under 18 
                                years of age, the institution of higher 
                                education to automatically contact the 
                                parents of such student.
          ``(2) Waiver.--The item required by paragraph (1)(A) shall 
        explicitly and prominently state that by identifying an 
        individual to contact in the case of disappearance, the student 
        waives any right to sue based on Federal or State privacy law 
        in the event that a missing persons notification is made to the 
        individual named by such student in such item.
          ``(3) Additional remedies permitted.--Nothing in this 
        subsection shall be construed to prevent or discourage an 
        institution of higher education from taking additional measures 
        with respect to missing students beyond those required by this 
        subsection.
  ``(k) Notice to Students Concerning Penalties for Drug Violations.--
Each institution of higher education shall provide to each student, 
upon enrollment, a separate, clear, and conspicuous written notice that 
advises the student of the penalties under section 484(r).''.

SEC. 489. ARTICULATION AGREEMENTS.

  Part G of title IV is amended by inserting after section 486 (20 
U.S.C. 1093) the following new section:

``SEC. 486A. ARTICULATION AGREEMENTS.

  ``(a) Program To Encourage Articulation Agreements.--
          ``(1) Program requirements.--The Secretary shall carry out a 
        program for States, in cooperation with public institutions of 
        higher education, to develop, enhance, and implement 
        comprehensive articulation agreements among such institutions 
        in a State, and (to the extent practicable) across State lines, 
        by 2010. Such articulation agreements shall be made widely and 
        publicly available on the websites of States and institutions, 
        and on the application materials of such institutions. In 
        developing, enhancing, and implementing articulation 
        agreements, States and public institutions of higher education 
        may employ strategies, where applicable, including--
                  ``(A) common course numbering;
                  ``(B) a general education core curriculum;
                  ``(C) developing or expanding articulation agreements 
                that include both public and private institutions of 
                higher education; and
                  ``(D) other strategies identified by the Secretary.
          ``(2) Technical assistance provided.--The Secretary shall 
        provide technical assistance to States and institutions of 
        higher education for the purposes of developing and 
        implementing articulation agreements in accordance with this 
        subsection.
          ``(3) Rule of construction.--Nothing in this subsection shall 
        be construed to limit the academic freedom or choices of 
        institutions of higher education.
  ``(b) Study Required.--The Secretary shall conduct a study to review 
the articulation agreements at State-based college and university 
systems, including junior or community colleges, as well as those at 
other institutions of higher education, including private non-profit 
and for-profit institutions. Such study shall consider--
          ``(1) the extent to which States and institutions have 
        developed and implemented articulation agreements;
          ``(2) with respect to the articulation agreements developed--
                  ``(A) the number and types of institutions 
                participating the programs offered;
                  ``(B) the cost-savings to the participating 
                institutions and to the students;
                  ``(C) what strategies are being employed, including 
                common course numbering and general education core 
                curriculum;
                  ``(D) the effective use of technologies to contain 
                costs, maintain quality of instruction, and inform 
                students; and
                  ``(E) a description of the students to whom the 
                articulation agreements are offered and, to the extent 
                practicable, a description of the students who take 
                advantage of the articulation agreements;
          ``(3) best practices and innovative strategies employed to 
        implement effective articulation agreements; and
          ``(4) barriers to the implementation of articulation 
        agreements, including technological and informational barriers.
  ``(c) Report.--The Secretary shall submit to the authorizing 
committees an interim report on the study required by this section not 
later than 2 years after the date of enactment of the College 
Opportunity and Affordability Act of 2007 and a final report on such 
study not later than January 1, 2013.
  ``(d) Definition.--In this section, the term `articulation agreement' 
means an agreement between institutions of higher education that 
specifies the acceptability of courses in transfer toward meeting 
specific degree requirements.''.

SEC. 490. PROGRAM PARTICIPATION AGREEMENTS.

  (a) Additional Requirements.--Section 487(a) (20 U.S.C. 1094(a)) is 
amended--
          (1) by adding at the end of paragraph (23) the following new 
        subparagraph:
          ``(D) The institution shall be considered in compliance with 
        the requirements of subparagraph (A) for each student to whom 
        the institution electronically transmits a message containing a 
        voter registration form acceptable for use in the State in 
        which the institution is located, or an Internet address where 
        such a form can be downloaded, provided such information is in 
        an electronic message devoted exclusively to voter 
        registration.''; and
          (2) by adding at the end the following new paragraphs:
          ``(24)(A) A covered institution that has entered into a 
        preferred lender arrangement will compile, maintain, and make 
        available for students attending the institution (or the 
        parents of such students) a list, in print or any other medium, 
        of the specific lenders for educational loans that the 
        institution recommends, promotes, or endorses in accordance 
        with such preferred lender arrangement. In compiling, 
        maintaining, and making available such list, the institution 
        will--
                  ``(i) clearly and fully disclose on such list--
                          ``(I) no less than the information required 
                        to be disclosed in the model disclosure form, 
                        or updated model disclosure form, required 
                        under section 153;
                          ``(II) why the institution has entered into a 
                        preferred lender arrangement with each listed 
                        lender, particularly with respect to terms and 
                        conditions favorable to the borrower; and
                          ``(III) that the students attending the 
                        institution (or the parents of such students) 
                        do not have to borrow from a listed lender;
                  ``(ii) ensure, through the use of the list provided 
                by the Secretary under subparagraph (B), that--
                          ``(I) there are not less than 3 lenders of 
                        loans made under part B that are not affiliates 
                        of each other included on such list and, if the 
                        institution recommends, promotes, or endorses 
                        private educational loans, there are not less 
                        than 2 lenders of private educational loans 
                        that are not affiliates of each other included 
                        on such list;
                          ``(II) the list under this subparagraph--
                                  ``(aa) specifically indicates, for 
                                each listed lender, whether the lender 
                                is or is not an affiliate of each other 
                                lender on the list; and
                                  ``(bb) if a lender is an affiliate of 
                                another lender on the list, describes 
                                the details of such affiliation;
                  ``(iii) prominently disclose the method and criteria 
                used by the institution in selecting lenders with which 
                to enter into preferred lender arrangements to ensure 
                that such lenders are selected on the basis of the 
                benefits provided to borrowers, including--
                          ``(I) highly competitive interest rates, 
                        terms, or conditions of Federal and private 
                        educational loans;
                          ``(II) high-quality servicing for such loans; 
                        or
                          ``(III) additional benefits beyond the 
                        standard terms and conditions for such loans;
                  ``(iv) exercise a duty of care and a duty of loyalty 
                to compile the list under this subparagraph without 
                prejudice and for the sole benefit of the students 
                attending the institution (or the parents of such 
                students);
                  ``(v) not deny or otherwise impede the borrower's 
                choice of a lender or cause unnecessary delays in loan 
                certification under this title for those borrowers who 
                choose a lender that has not been recommended, 
                promoted, or endorsed by the institution; and
                  ``(vi) comply with such other requirements as the 
                Secretary may prescribe by regulation.
          ``(B) The Secretary shall maintain and update a list of 
        lender affiliates of all eligible lenders, and shall provide 
        such list to the institutions for use in carrying out 
        subparagraph (A).
          ``(C) For the purposes of subparagraph (A)--
                  ``(i) the term `affiliate' means a person that 
                controls, is controlled by, or is under common control 
                with another person;
                  ``(ii) a person controls, is controlled by, or is 
                under common control with another person if--
                          ``(I) the person directly or indirectly, or 
                        acting through 1 or more others, owns, 
                        controls, or has the power to vote 5 percent or 
                        more of any class of voting securities of such 
                        other person;
                          ``(II) the person controls, in any manner, 
                        the election of a majority of the directors or 
                        trustees of such other person; or
                          ``(III) the Secretary determines (after 
                        notice and opportunity for a hearing) that the 
                        person directly or indirectly exercises a 
                        controlling interest over the management or 
                        policies of such other person;
                  ``(iii) the term `preferred lender arrangement' has 
                the meaning provided in section 151;
                  ``(iv) the term `educational loans' has the meaning 
                provided in section 151, except that such term does not 
                include loans under section 499(b) or under parts D or 
                E of this title.
          ``(25) The institution will submit to the Secretary annually, 
        in such form as the Secretary may prescribe, data on--
                  ``(A) the number and percentage of students taking 
                classes in whole or in part on-line or through distance 
                education;
                  ``(B) of such students, the number and percentage of 
                those taking their classes exclusively on-line or 
                through distance education; and
                  ``(C) the number and percentage of courses offered by 
                the institution that are offered on-line or through 
                distance education.''.
  (b) Reports on Disciplinary Proceedings.--
          (1) Amendment.--Section 487(a) (20 U.S.C. 1094(a)) is further 
        amended by adding after paragraph (25), as added by subsection 
        (a) of this section, the following new paragraph:
          ``(26) The institution will, upon request, disclose to the 
        alleged victim of any crime of violence (as that term is 
        defined in section 16 of title 18), or a nonforcible sex 
        offense, the final results of any disciplinary proceeding 
        conducted by such institution against a student who is the 
        alleged perpetrator of such crime or offense with respect to 
        such crime or offense. If the alleged victim of such crime or 
        offense is deceased, the next of kin of such victim shall be 
        treated as the alleged victim for purposes of this 
        paragraph.''.
          (2) Effective date.--The amendment made by paragraph (1) 
        shall apply with respect to any disciplinary proceeding 
        conducted by such institution on or after one year after the 
        date of enactment of this Act.
  (c) Enforcing the 90/10 Rule.--
          (1) Amendment.--Section 487(a) (20 U.S.C. 1094(a)) is further 
        amended by adding at the end the following new paragraph:
          ``(27) A proprietary institution of higher education (as 
        defined in section 102(b)) will, as calculated in accordance 
        with subsection (f)(1) of this section, have not less than 10 
        percent of its revenues from sources other than funds provided 
        under this title, or will be subject to the sanctions described 
        in subsection (f)(2) of this section.''.
          (2) Implementation.--Section 487 is further amended by adding 
        at the end the following new subsection:
  ``(f) Implementation of Non-Title IV Revenue Requirement.--
          ``(1) Calculation.--In carrying out subsection (a)(27), a 
        proprietary institution of higher education shall--
                  ``(A) use the cash basis of accounting;
                  ``(B) consider as revenue only those funds generated 
                by the institution from--
                          ``(i) tuition, fees, and other institutional 
                        charges for students enrolled in programs 
                        eligible for assistance under this title;
                          ``(ii) activities conducted by the 
                        institution, to the extent not included in 
                        tuition, fees, and other institutional charges, 
                        that are necessary for the education or 
                        training of its students who are enrolled in 
                        programs eligible for assistance under this 
                        title, if such activities are--
                                  ``(I) conducted on campus or at a 
                                facility under the control of the 
                                institution;
                                  ``(II) performed under the 
                                supervision of a member of the 
                                institution's faculty; and
                                  ``(III) required to be performed by 
                                all students in a specific educational 
                                program at the institution; and
                          ``(iii) funds paid by a student, or on behalf 
                        of a student by a party other than the 
                        institution, for an education or training 
                        program that is not eligible for funds under 
                        this title, provided that the program is 
                        approved or licensed by the appropriate State 
                        agency and is accredited by an accrediting 
                        agency recognized by the Secretary;
                  ``(C) presume that any title IV program funds 
                disbursed or delivered to or on behalf of a student 
                will be used to pay the student's tuition, fees, or 
                other institutional charges, regardless of whether the 
                institution credits those funds to the student's 
                account or pays those funds directly to the student, 
                except to the extent that the student's tuition, fees, 
                or other institutional charges are satisfied by--
                          ``(i) grant funds provided by non-Federal 
                        public agencies or private sources independent 
                        of the institution;
                          ``(ii) funds provided under a contractual 
                        arrangement with Federal, State, or local 
                        government agencies for the purpose of 
                        providing job training to low-income 
                        individuals who are in need of that training; 
                        or
                          ``(iii) funds used by a student from savings 
                        plans for educational expenses established by 
                        or on behalf of the student and which qualify 
                        for special tax treatment under the Internal 
                        Revenue Code of 1986, provided that the 
                        institution can reasonable demonstrate such 
                        funds were used to pay the student's tuition, 
                        fees, or other institutional charges;
                  ``(D) include institutional aid as revenue to the 
                school only as follows:
                          ``(i) in the case of institutional loans, 
                        only the amount of loan repayments received 
                        during the fiscal year; and
                          ``(ii) in the case of institutional 
                        scholarships, only those provided by the 
                        institution in the form of monetary aid or 
                        tuition discounts based upon the academic 
                        achievements or financial need of students, 
                        disbursed during the fiscal year from an 
                        established restricted account, and only to the 
                        extent that funds in that account represent 
                        designated funds from an outside source or from 
                        income earned on those funds;
                  ``(E) exclude from revenues--
                          ``(i) the amount of funds it received under 
                        the Federal Work-Study program, unless the 
                        institution used those funds to pay a student's 
                        institutional charges;
                          ``(ii) the amount of funds it received under 
                        the Leveraging Education Assistance Partnership 
                        program;
                          ``(iii) the amount of institutional funds it 
                        used to match title IV program funds;
                          ``(iv) the amount of title IV program funds 
                        that must be refunded or returned; or
                          ``(v) the amount charged for books, supplies, 
                        and equipment unless the institution includes 
                        that amount as tuition, fees, or other 
                        institutional charges.
          ``(2) Sanctions.--
                  ``(A) An institution that fails to meet the 
                requirements of subsection (a)(27) for 2 consecutive 
                fiscal years shall become ineligible to participate in 
                the programs authorized by this title. To regain 
                eligibility to participate in the programs authorized 
                by this title, an institution that loses its 
                eligibility as a sanction under this subparagraph must 
                demonstrate compliance with all eligibility 
                requirements for at least the 3 fiscal years following 
                the fiscal year the institution became ineligible.
                  ``(B) In addition to such other means of enforcing 
                the requirements of this title as may be available to 
                the Secretary, if an institution fails to meet the 
                requirements of subsection (a)(27) in any fiscal year, 
                the Secretary shall impose sanctions on the 
                institution, which shall include--
                          ``(i) placing the institution on provisional 
                        certification in accordance with section 498(h) 
                        until the institution demonstrates, to the 
                        satisfaction of the Secretary, that it is in 
                        compliance with subsection (a)(27);
                          ``(ii) requiring the institution to provide 
                        to the Secretary satisfactory evidence of its 
                        financial responsibility in accordance with 
                        section 498(c)(3); and
                          ``(iii) requiring such other increased 
                        monitoring and reporting requirements as the 
                        Secretary determines necessary until the 
                        institution demonstrates, to the satisfaction 
                        of the Secretary, that it is in compliance with 
                        subsection (a)(27).
          ``(3) Publication on college navigator website.--The 
        Secretary shall publicly disclose the identity of any 
        institution that fails to meet the requirements of subsection 
        (a)(27) on the College Navigator website.
          ``(4) Report to congress.--The Secretary shall annually 
        submit to the authorizing committees a report that contains, 
        for each institution subject to the requirement of subsection 
        (a)(27), the result of the calculation of revenue performed by 
        each such institution pursuant to such subsection and paragraph 
        (1) of this subsection.''.
  (d) Computer Disposal.--Section 487(a) is further amended by adding 
at the end the following new paragraph:
          ``(28)(A) The institution of higher education will establish 
        a policy on the disposal or disposition (including selling, 
        donating, returning upon lease end, or destroying by 
        recycling), of all technology assets which may have personal 
        and sensitive data of students. Such policy may include a 
        forensic scrub that ensures total destruction of data on the 
        technology assets and include a designated for disposal or 
        disposition, transfer ownership and liability from that 
        institution to State and federally approved recyclers or de-
        manufacturers of such equipment.
          ``(B) For purposes of this paragraph, the term `technology 
        assets' means a computer central processing unit, monitor, 
        printer, router, server, peripheral devices (such as switches, 
        hubs, and systems), firewalls, telephones, or other simple 
        network devices or single piece of information technology 
        equipment.''.
  (e) Audits; Financial Responsibility; Enforcement of Standards.--
Section 487(c)(1)(A) (20 U.S.C. 1094(c)(1)(A)) is amended--
          (1) in clause (i)--
                  (A) by striking ``clauses (ii) and (iii)'' and 
                inserting ``clauses (ii), (iii), and (iv)''; and
                  (B) by inserting before the semicolon at the end the 
                following: ``, except that the Secretary may modify the 
                requirements of this clause with respect to 
                institutions of higher education that are foreign 
                institutions, and may waive such requirements with 
                respect to a foreign institution whose students receive 
                less than $500,000 in loans under this title during the 
                award year preceding the audit period'';
          (2) in clause (ii), by striking ``or'' after the semicolon;
          (3) in clause (iii), by inserting ``or'' after the semicolon; 
        and
          (4) by inserting after clause (iii) the following new clause:
                  ``(iv) with respect to an eligible institution that 
                is audited under clause (i), and for which it is 
                determined through such audit that the percentage of 
                students enrolled at the institution who were accepted 
                for enrollment and made eligible for student financial 
                assistance under this title by way of section 484(d)(2) 
                exceeds 5 percent of the total enrollment of the 
                institution for such academic year, an additional 
                review to confirm that the institution is in compliance 
                with the regulations prescribed by the Secretary under 
                section 484(d);''.

SEC. 491. REGULATORY RELIEF AND IMPROVEMENT.

  Section 487A(b) (20 U.S.C. 1094a(b)) is amended--
          (1) by amending paragraph (1) to read as follows:
          ``(1) In general.--The Secretary shall continue the voluntary 
        participation of any experimental sites in existence as of July 
        1, 2007, unless the Secretary determines that such site's 
        participation has not been successful in carrying out the 
        purposes of this section. Any activities approved by the 
        Secretary prior to such date that have not been successful in 
        carrying out the purposes of this section shall be discontinued 
        not later than June 30, 2009.'';
          (2) by striking the matter preceding paragraph (2)(A) and 
        inserting the following:
          ``(2) Report.--The Secretary shall review and evaluate the 
        experience of institutions participating as experimental sites 
        and shall, on a biennial basis, submit a report based on the 
        review and evaluation to the authorizing committees. Such 
        report shall include--''; and
          (3) in paragraph (3)--
                  (A) in subparagraph (A)--
                          (i) by striking ``Upon the submission of the 
                        report required by paragraph (2), the'' and 
                        inserting ``The''; and
                          (ii) by inserting ``periodically'' after 
                        ``authorized to'';
                  (B) by striking subparagraph (B);
                  (C) by redesignating subparagraph (C) as subparagraph 
                (B); and
                  (D) in subparagraph (B) (as redesignated by 
                subparagraph (C))--
                          (i) by inserting ``, including requirements 
                        related to the award process and disbursement 
                        of student financial aid (such as innovative 
                        delivery systems for modular or compressed 
                        courses, or other innovative systems), 
                        verification of student financial aid 
                        application data, entrance and exit interviews, 
                        or other management procedures or processes as 
                        determined in the negotiated rulemaking process 
                        under section 492'' after ``requirements in 
                        this title'';
                          (ii) by inserting ``(other than an award rule 
                        related to an experiment in modular or 
                        compressed schedules)'' after ``award rules''; 
                        and
                          (iii) by inserting ``unless the waiver of 
                        such provisions is authorized by another 
                        provision under this title'' before the period 
                        at the end.

SEC. 492. ADVISORY COMMITTEE ON STUDENT FINANCIAL ASSISTANCE.

  Section 491 (20 U.S.C. 1098) is amended--
          (1) in subsection (a)(2)--
                  (A) in subparagraph (B), by striking ``and'' after 
                the semicolon;
                  (B) in subparagraph (C), by striking the period at 
                the end and inserting a semicolon; and
                  (C) by adding at the end the following:
                  ``(D) to provide knowledge and understanding of early 
                intervention programs and make recommendations that 
                will result in early awareness by low- and moderate-
                income students and families of their eligibility for 
                assistance under this title, and, to the extent 
                practicable, their eligibility for other forms of State 
                and institutional need-based student assistance; and
                  ``(E) to make recommendations that will expand and 
                improve partnerships among the Federal Government, 
                States, institutions, and private entities to increase 
                the awareness and total amount of need-based student 
                assistance available to low- and moderate-income 
                students.'';
          (2) in subsection (d)--
                  (A) in paragraph (6), by striking ``, but nothing in 
                this section shall authorize the committee to perform 
                such studies, surveys, or analyses'';
                  (B) in paragraph (8), by striking ``and'' after the 
                semicolon;
                  (C) by redesignating paragraph (9) as paragraph (10); 
                and
                  (D) by inserting after paragraph (8) the following:
          ``(9) monitor the adequacy of total need-based aid available 
        to low- and moderate-income students from all sources, assess 
        the implications for access and persistence, and report those 
        implications annually to Congress and the Secretary; and'';
          (3) in subsection (j)(1)--
                  (A) by inserting ``and simplification'' after 
                ``delivery processes''; and
                  (B) by striking ``, including the implementation of a 
                performance-based organization within the Department, 
                and report to Congress regarding such modernization on 
                not less than an annual basis''; and
          (4) in subsection (k), by striking ``2004'' and inserting 
        ``2011''.

SEC. 493. NEGOTIATED RULEMAKING.

  Section 492(b)(1) (20 U.S.C. 1098a(b)(1)) is amended by striking 
``from individuals nominated by groups described in subsection (a)(1)'' 
and inserting ``from individuals who are nominated by groups described 
in subsection (a)(1) and who have recognized legitimacy as designated 
representatives of major stakeholders, sectors, and constituencies in 
the higher education community''.

SEC. 494. TECHNICAL AMENDMENT.

  Section 493C(b)(1) (20 U.S.C. 1098e(b)(1)) is amended by striking 
``or is already in default''.

SEC. 495. CAMPUS-BASED DIGITAL THEFT PREVENTION.

  Part G of title IV (20 U.S.C. 1088 et seq.) is further amended by 
adding at the end the following new section:

``SEC. 494. CAMPUS-BASED DIGITAL THEFT PREVENTION.

  ``(a) In General.--Each eligible institution participating in any 
program under this title shall to the extent practicable--
          ``(1) make publicly available to their students and 
        employees, the policies and procedures related to the illegal 
        downloading and distribution of copyrighted materials required 
        to be disclosed under section 485(a)(1)(P); and
          ``(2) develop a plan for offering alternatives to illegal 
        downloading or peer-to-peer distribution of intellectual 
        property as well as a plan to explore technology-based 
        deterrents to prevent such illegal activity.
  ``(b) Grants.--
          ``(1) Program authority.--The Secretary may make grants to 
        institutions of higher education, or consortia of such 
        institutions, and enter into contracts with such institutions, 
        consortia, and other organizations, to develop, implement, 
        operate, improve, and disseminate programs of prevention, 
        education, and cost-effective technological solutions, to 
        reduce and eliminate the illegal downloading and distribution 
        of intellectual property. Such grants or contracts may also be 
        used for the support of a higher education centers that will 
        provide training, technical assistance, evaluation, 
        dissemination, and associated services and assistance to the 
        higher education community as determined by the Secretary and 
        institutions of higher education.
          ``(2) Awards.--Grants and contracts shall be awarded under 
        paragraph (1) on a competitive basis.
          ``(3) Applications.--An institution of higher education or a 
        consortium of such institutions that desires to receive a grant 
        or contract under paragraph (1) shall submit an application to 
        the Secretary at such time, in such manner, and containing or 
        accompanied by such information as the Secretary may reasonably 
        require by regulation.
          ``(4) Authorization of appropriations.--There are authorized 
        to be appropriated to carry out this subsection such sums as 
        may be necessary for fiscal year 2009 and for each of the 4 
        succeeding fiscal years.''.

                       PART H--PROGRAM INTEGRITY

SEC. 496. RECOGNITION OF ACCREDITING AGENCY OR ASSOCIATION.

  (a) Amendments.--Section 496 (20 U.S.C. 1099b) is amended--
          (1) in subsection (a)--
                  (A) in paragraph (4)--
                          (i) by striking ``(4) such agency'' and 
                        insert ``(4)(A) such agency'';
                          (ii) by inserting ``and'' after the semicolon 
                        at the end; and
                          (iii) by adding at the end the following new 
                        subparagraph:
          ``(B) if such agency or association has or seeks to include 
        within its scope of recognition the evaluation of the quality 
        of institutions or programs offering distance education, such 
        agency or association shall, in addition to meeting the other 
        requirements of this subpart, demonstrate to the Secretary 
        that--
                  ``(i) the agency or association's standards 
                effectively address the quality of an institution's 
                distance education in the areas identified in paragraph 
                (5), except that the agency or association shall not be 
                required to have separate standards, procedures or 
                policies for the evaluation of distance education 
                institutions or programs in order to meet the 
                requirements of this subparagraph; and
                  ``(ii) the agency or association requires an 
                institution that offers distance education to have 
                processes through which the institution establishes 
                that the student who registers in a distance education 
                course or program is the same student who participates 
                in and completes the program and receives the academic 
                credit;'';
                  (B) by striking paragraph (6) and inserting the 
                following:
          ``(6) such agency or association shall establish and apply 
        review procedures throughout the accrediting process, including 
        evaluation and withdrawal proceedings which comply with due 
        process procedures that provide for--
                  ``(A) adequate specification of requirements, 
                including clear and consistent standards for an 
                institution to be accredited, and deficiencies at the 
                institution of higher education or program examined;
                  ``(B) an opportunity for a written response by any 
                such institution to be included, prior to final action, 
                in the evaluation and withdrawal proceedings;
                  ``(C) upon the written request of an institution, an 
                opportunity for the institution to appeal any adverse 
                action, including denial, withdrawal, suspension, or 
                termination of accreditation, at a hearing prior to 
                such action becoming final, before an appeals panel 
                that--
                          ``(i) shall not include current members of 
                        the agency or association's underlying 
                        decision-making body that made the adverse 
                        decision; and
                          ``(ii) is subject to a conflict of interest 
                        policy; and
                  ``(D) the right to representation by counsel for such 
                an institution during an appeal of the adverse 
                action;''; and
                  (C) by striking paragraph (8) and inserting the 
                following:
          ``(8) such agency or association shall make available to the 
        public and the State licensing or authorizing agency, and 
        submit to the Secretary, a summary of agency or association 
        actions, including--
                  ``(A) the award of accreditation or reaccreditation 
                of an institution;
                  ``(B) final denial, withdrawal, suspension, or 
                termination of accreditation, and any findings made in 
                connection with the action taken, together with the 
                official comments of the affected institution; and
                  ``(C) any other adverse action taken with respect to 
                an institution;
          ``(9) such agency or association confirms, as a part of the 
        agency or association's review for accreditation or 
        reaccreditation, that the institution has transfer of credit 
        policies--
                  ``(A) that are publicly disclosed; and
                  ``(B) that include a statement of the criteria 
                established by the institution regarding the transfer 
                of credit earned at another institution of higher 
                education;
          ``(10) such agency or association reviews and takes into 
        consideration the institution's response in any review or 
        determination, and includes in any determination a written 
        statement addressing the institution's response and stating the 
        basis for such determination, and a copy of the institution's 
        response; and
          ``(11) such agency or association shall not make a 
        determination or take adverse action based upon an unpublished 
        or undocumented policy, practice, or precedent.'';
          (2) in subsection (c)--
                  (A) in paragraph (1), by inserting ``, including 
                those regarding distance education'' after ``their 
                responsibilities'';
                  (B) by redesignating paragraphs (2) through (6) as 
                paragraphs (4) through (8); and
                  (C) by inserting after paragraph (1) (as amended by 
                subparagraph (A)) the following:
          ``(2) monitors the growth of programs at institutions that 
        are experiencing significant enrollment growth;
          ``(3) requires an institution to submit a teach-out plan for 
        approval to the accrediting agency upon the occurrence of any 
        of the following events:
                  ``(A) the Department notifies the accrediting agency 
                of an action against the institution pursuant to 
                section 487(d);
                  ``(B) the accrediting agency acts to withdraw, 
                terminate, or suspend the accreditation of an 
                institution; and
                  ``(C) the institution notifies the accrediting agency 
                that the institution intends to cease operations;'';
          (3) in subsection (g), by adding at the end the following: 
        ``Nothing in this section shall be construed to permit the 
        Secretary to establish any criteria that specifies, defines, or 
        prescribes the standards that accrediting agencies or 
        associations shall use to assess any institution's success with 
        respect to student achievement.''; and
          (4) in subsection (o), by adding at the end the following: 
        ``Notwithstanding any other provision of law, the Secretary 
        shall not promulgate any regulation with respect to subsection 
        (a)(5).''.
  (b) Additional Amendment.--Section 496(a)(4)(A) as amended by 
subsection (a) is further amended by inserting after ``consistently 
applies and enforces standards'' the following: ``that respect the 
stated mission of the institution of higher education, including 
religious missions, and''.

SEC. 497. ACCREDITATION OMBUDSMAN.

  Subpart 2 of part H of title IV is amended by inserting after section 
496 (20 U.S.C. 1099b) the following new section:

``SEC. 497. ACCREDITATION OMBUDSMAN.

  ``(a) Appointment.--The Assistant Secretary for Postsecondary 
Education, in consultation with the Secretary, shall appoint an 
Accreditation Ombudsman to provide timely assistance to institutions of 
higher education, accrediting agencies and associations, and other 
participants in the accreditation process who may have grievances 
related to the functions described in subsection (c).
  ``(b) Public Information.--The Assistant Secretary for Postsecondary 
Education shall disseminate information about the availability and 
functions of the Ombudsman to institutions of higher education, 
accrediting agencies and associations, and other participants in the 
accreditation process.
  ``(c) Functions of Ombudsman.--The Ombudsman appointed under this 
section shall--
          ``(1) in accordance with regulations of the Secretary, 
        receive, review, and attempt to resolve complaints from 
        institutions of higher education, accrediting agencies and 
        associations, and other participants in the accreditation 
        process described in subsection (a), including, as appropriate, 
        attempts to resolve such complaints within the Department of 
        Education and with institutions of higher education, 
        accreditation agencies and associations, and other participants 
        in title IV programs; and
          ``(2) compile and analyze data on institutions of higher 
        education and accrediting agency and association complaints and 
        make appropriate recommendations.
  ``(d) Report.--Each year, the Ombudsman shall submit a report to the 
Assistant Secretary for Postsecondary Education, for inclusion in the 
annual report under section 114, that describes the activities, and 
evaluates the effectiveness of the Ombudsman during the preceding 
year.''.

SEC. 498. PROGRAM REVIEW AND DATA.

  Section 498A(b) (20 U.S.C. 1099c-1(b)) is amended--
          (1) by striking ``and'' at the end of paragraph (4);
          (2) by striking the period at the end of paragraph (5) and 
        inserting a semicolon; and
          (3) by adding at the end the following new paragraphs:
          ``(6) provide the institution adequate opportunity to review 
        and respond to any program review report or audit finding 
        before any final program review or audit determination is 
        reached, including access to any and all workpapers, notes, 
        documentation, records, or other information relating to the 
        program review report or audit finding;
          ``(7) review and take into consideration the institution's 
        response in any final program review or audit determination, 
        and include in the final determination a written statement 
        addressing the institution's response and stating the basis for 
        such final determination, and a copy of the institution's 
        response; and
          ``(8) maintain and preserve at all times the confidentiality 
        of any program review report until the requirements of 
        paragraphs (6) and (7) are met, and until a final program 
        review determination has been issued.''.

SEC. 499. COMPETITIVE LOAN AUCTION PILOT PROGRAM EVALUATION.

  Section 499 (as added by section 701 of the College Cost Reduction 
and Access Act of 2007) is amended by adding at the end the following 
new subsections:
  ``(c) Required Initial Evaluation.--The Secretary and Secretary of 
the Treasury shall jointly conduct an evaluation, in consultation with 
the Office of Management and Budget, the Congressional Budget Office, 
and the Comptroller General, of the pilot program carried out by the 
Secretary under this section. The evaluation shall determine--
          ``(1) the extent of the savings to the Federal Government 
        that are generated through the pilot program, compared to the 
        cost the Federal Government would have incurred in operating 
        the PLUS loan program under section 428B in the absence of the 
        pilot program;
          ``(2) the number of lenders that participated in the pilot 
        program, and the extent to which the pilot program generated 
        competition among lenders to participate in the auctions under 
        the pilot program;
          ``(3) the number and volume of loans made under the pilot in 
        each State;
          ``(4) the effect of the transition to and operation of the 
        pilot program on the ability of--
                  ``(A) lenders participating in the pilot program to 
                originate loans made through the pilot program smoothly 
                and efficiently;
                  ``(B) institutions of higher education participating 
                in the pilot program to disburse loans made through the 
                pilot program smoothly and efficiently; and
                  ``(C) parents to obtain loans made through the pilot 
                program in a timely and efficient manner;
          ``(5) the differential impact, if any, of the auction among 
        the States, including between rural and non-rural States;
          ``(6) the feasibility of using the mechanism piloted to 
        operate the other loan programs under part B of this title; and
          ``(7) the feasibility of using other market mechanisms to 
        operate the loan programs under part B of this title, including 
        the sale of securities backed by federally owned student loan 
        assets originated by banks acting as agents of the Federal 
        Government.
  ``(d) Reports.--The Secretary and the Secretary of the Treasury shall 
submit to the authorizing committees--
          ``(1) not later than September 1, 2010, a preliminary report 
        regarding the findings of the evaluation described in 
        subsection (c);
          ``(2) not later than September 1, 2012, an interim report 
        regarding such findings; and
          ``(3) not later than September 1, 2013, a final report 
        regarding such findings.''.

                      TITLE V--TITLE V AMENDMENTS

SEC. 501. POSTBACCALAUREATE OPPORTUNITIES FOR HISPANIC AMERICANS.

  (a) Establishment of Program.--Title V is amended--
          (1) by redesignating part B as part C;
          (2) by redesignating sections 511 through 518 as sections 521 
        through 528, respectively; and
          (3) by inserting after section 505 (20 U.S.C. 1101d) the 
        following new part:

   ``PART B--PROMOTING POSTBACCALAUREATE OPPORTUNITIES FOR HISPANIC 
                               AMERICANS

``SEC. 511. PURPOSES.

  ``The purposes of this part are--
          ``(1) to expand postbaccalaureate educational opportunities 
        for, and improve the academic attainment of, Hispanic students; 
        and
          ``(2) to expand the postbaccalaureate academic offerings and 
        enhance the program quality in the institutions that are 
        educating the majority of Hispanic college students and helping 
        large numbers of Hispanic and low-income students complete 
        postsecondary degrees.

``SEC. 512. PROGRAM AUTHORITY AND ELIGIBILITY.

  ``(a) Program Authorized.--Subject to the availability of funds 
appropriated to carry out this part, the Secretary shall award 
competitive grants to Hispanic-serving institutions determined by the 
Secretary to be making substantive contributions to graduate 
educational opportunities for Hispanic students.
  ``(b) Eligibility.--For the purposes of this part, an `eligible 
institution' means an institution of higher education that--
          ``(1) is an eligible institution under section 502(a)(2); and
          ``(2) offers a postbaccalaureate certificate or degree 
        granting program.

``SEC. 513. AUTHORIZED ACTIVITIES.

  ``Grants awarded under this part shall be used for one 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 
        of classrooms, libraries, laboratories, and other instructional 
        facilities, including purchase or rental of telecommunications 
        technology equipment or services.
          ``(3) Purchase of library books, periodicals, technical and 
        other scientific journals, microfilm, microfiche, and other 
        educational materials, including telecommunications program 
        materials.
          ``(4) Support for needy postbaccalaureate students including 
        outreach, academic support services, mentoring, scholarships, 
        fellowships, and other financial assistance to permit the 
        enrollment of such students in postbaccalaureate certificate 
        and degree granting programs.
          ``(5) Support of faculty exchanges, faculty development, 
        faculty research, curriculum development, and academic 
        instruction.
          ``(6) Creating or improving facilities for Internet or other 
        distance learning academic instruction capabilities, including 
        purchase or rental of telecommunications technology equipment 
        or services.
          ``(7) Collaboration with other institutions of higher 
        education to expand postbaccalaureate certificate and degree 
        offerings.
          ``(8) Other activities proposed in the application submitted 
        pursuant to section 514 that--
                  ``(A) contribute to carrying out the purposes of this 
                part; and
                  ``(B) are approved by the Secretary as part of the 
                review and acceptance of such application.

``SEC. 514. APPLICATION AND DURATION.

  ``(a) Application.--Any eligible institution may apply for a grant 
under this part by submitting an application to the Secretary at such 
time and in such manner as determined by the Secretary. Such 
application shall demonstrate how the grant funds will be used to 
improve postbaccalaureate education opportunities in programs and 
professions in which Hispanic Americans are underrepresented.
  ``(b) Duration.--Grants under this part shall be awarded for a period 
not to exceed 5 years.
  ``(c) Limitation.--The Secretary shall not award more than one grant 
under this part in any fiscal year to any Hispanic-serving 
institution.''.
  (b) Cooperative Arrangements.--Section 524(a) (as redesignated by 
subsection (a)(2)) (20 U.S.C. 1103c(a)) is amended by inserting ``and 
section 513'' after ``section 503''.
  (c) Authorization of Appropriations.--Subsection (a) of section 528 
(as redesignated by subsection (a)(2) of this section) (20 U.S.C. 
1103g) is amended to read as follows:
  ``(a) Authorizations.--
          ``(1) Part a.--There are authorized to be appropriated to 
        carry out part A and part C of this title $175,000,000 for 
        fiscal year 2009 and such sums as may be necessary for each of 
        the 4 succeeding fiscal years.
          ``(2) Part b.--There are authorized to be appropriated to 
        carry out part B of this title $125,000,000 for fiscal year 
        2009 and such sums as may be necessary for each of the 4 
        succeeding fiscal years.''.
  (d) Minimum Grant Amount.--Section 528 (as redesignated by subsection 
(a)(2) of this section) (20 U.S.C. 1103g) is amended by adding at the 
end the following:
  ``(c) Minimum Grant Amount.--The minimum amount of a grant under this 
title shall be $200,000.''.
  (e) Part A Authorized Uses of Funds.--Section 503(b) (20 U.S.C. 
1101b(b)) is amended--
          (1) by redesignating paragraph (14) as paragraph (15); and
          (2) by inserting after paragraph (13) the following new 
        paragraph:
          ``(14) Providing education or financial information designed 
        to improve the financial literacy and economic literacy of 
        students or the students' parents, especially with regard to 
        student indebtedness and student assistance programs under the 
        title IV.''.

                     TITLE VI--TITLE VI AMENDMENTS

SEC. 601. INTERNATIONAL AND FOREIGN LANGUAGE STUDIES.

  (a) Findings and Purposes.--Section 601 (20 U.S.C. 1121) is amended--
          (1) in subsection (a)(3), by striking ``post-Cold War'';
          (2) in subsection (b)(1), by striking ``; and'' at the end of 
        subparagraph (D) and inserting ``, including through linkages 
        overseas with institutions of higher education and relevant 
        organizations that contribute to the educational programs 
        assisted under this part; and''; and
          (3) in subsection (b)(3) by inserting ``, and international 
        business and trade competitiveness'' before the period.
  (b) Graduate and Undergraduate Language and Area Centers and 
Programs.--Section 602(a) (20 U.S.C. 1122(a)) is amended--
          (1) in paragraph (1), by striking subparagraph (A) and 
        inserting the following:
                  ``(A) In general.--The Secretary is authorized to 
                make grants to institutions of higher education or 
                consortia of such institutions for the purpose of 
                establishing, strengthening, and operating--
                          ``(i) comprehensive foreign language and area 
                        or international studies centers and programs; 
                        and
                          ``(ii) a diverse network of undergraduate 
                        foreign language and area or international 
                        studies centers and programs.'';
          (2) in paragraph (2)--
                  (A) by striking ``and'' at the end of subparagraph 
                (G);
                  (B) by striking the period at the end of subparagraph 
                (H) and inserting a semicolon; and
                  (C) by inserting after subparagraph (H) the following 
                new subparagraphs:
                  ``(I) supporting instructors of the less commonly 
                taught languages; and
                  ``(J) projects that support in students an 
                understanding of science and technology in coordination 
                with foreign language proficiency.''; and
          (3) in paragraph (4)--
                  (A) by amending subparagraph (B) to read as follows:
                  ``(B) Partnerships or programs of linkage and 
                outreach with 2-year and 4-year colleges and 
                universities, including colleges of education and 
                teacher professional development programs.'';
                  (B) in subparagraph (C), by striking ``Programs of 
                linkage or outreach'' and inserting ``Partnerships or 
                programs of linkage and outreach'';
                  (C) in subparagraph (E)--
                          (i) by striking ``foreign area'' and 
                        inserting ``area studies'';
                          (ii) by striking ``of linkage and outreach''; 
                        and
                          (iii) by striking ``(C), and (D)'' and 
                        inserting ``(D), and (E)'';
                  (D) by redesignating subparagraphs (C), (D), and (E) 
                as subparagraphs (D), (E), and (F), respectively; and
                  (E) by inserting after subparagraph (B) the following 
                new subparagraph:
                  ``(C) Partnerships with local educational agencies 
                and public and private elementary and secondary 
                education schools that are designed to increase student 
                academic achievement in foreign language and knowledge 
                of world regions, and to facilitate the wide 
                dissemination of materials related to area studies.''.
  (c) Fellowships for Foreign Language and Area or International 
Studies.--Section 602(b) (20 U.S.C. 1122(b)) is amended--
          (1) by inserting ``and Undergraduate'' after ``Graduate'' in 
        the subsection heading; and
          (2) by striking paragraph (2) and inserting the following:
          ``(2) Eligible students.--A student receiving a stipend 
        described in paragraph (1) shall be engaged in an instructional 
        program with stated performance goals for functional foreign 
        language use or in a program developing such performance goals, 
        in combination with area studies, international studies, or the 
        international aspects of a professional studies program, 
        including predissertation level studies, preparation for 
        dissertation research, dissertation research abroad, and 
        dissertation writing, and--
                  ``(A) in the case of graduate fellowships, activities 
                in connection with a program described in this 
                paragraph may include predissertation level studies, 
                preparation for dissertation research, dissertation 
                research abroad, and dissertation writing; or
                  ``(B) in the case of undergraduate fellowships, 
                students may be allowed to use their fellowships abroad 
                for intermediate or advanced study of a less commonly 
                taught language.''.
  (d) Language Resource Centers.--Section 603(c) (20 U.S.C. 1123(c)) is 
amended by inserting ``reflect the purposes of this part and'' after 
``shall''.
  (e) Undergraduate International Studies and Foreign Language 
Programs.--Section 604 (20 U.S.C. 1124) is amended--
          (1) in subsection (a)(1), by striking ``combinations'' each 
        place it appears and inserting ``consortia'';
          (2) in subsection (a)(2)--
                  (A) in subparagraph (B)(ii), by striking ``teacher 
                training'' and inserting ``teacher professional 
                development'';
                  (B) by redesignating subparagraphs (I) through (M) as 
                subparagraphs (J) through (N), respectively;
                  (C) by inserting after subparagraph (H) the following 
                new subparagraph:
                  ``(I) the provision of grants for educational 
                programs abroad that are closely linked to the 
                program's overall goals and have the purpose of 
                promoting foreign language fluency and knowledge of 
                world regions, except that not more than 10 percent of 
                a grant recipient's funds may be used for this 
                purpose;''; and
                  (D) in subparagraph (M)(ii) (as redesignated by 
                subparagraph (B) of this paragraph), by striking 
                ``elementary and secondary education institutions'' and 
                inserting ``local educational agencies and public and 
                private elementary and secondary education schools'';
          (3) in subsection (a)(4)(B), by inserting ``that demonstrates 
        a need for a waiver or reduction'' before the period at the 
        end;
          (4) in subsection (a)(6), by inserting ``reflect the purposes 
        of this part and'' after ``shall'';
          (5) in subsection (a)(8), by striking ``may'' and inserting 
        ``shall''; and
          (6) by striking subsection (c).
  (f) Research; Studies; Annual Report.--Section 605(a) (20 U.S.C. 
1125(a)) is amended by inserting before the period at the end of the 
first sentence the following: ``, including the systematic collection, 
analysis, and dissemination of data''.
  (g) Technological Innovation and Cooperation for Foreign Information 
Access.--Section 606 (20 U.S.C. 1126) is amended--
          (1) in subsection (a)--
                  (A) by striking ``or consortia of such institutions 
                or libraries'' and inserting ``or partnerships between 
                such institutions or libraries and nonprofit 
                educational organizations including museums'';
                  (B) by striking ``new''; and
                  (C) by inserting ``from foreign sources'' after 
                ``disseminate information'';
          (2) in subsection (b)--
                  (A) by inserting ``acquire and'' before ``facilitate 
                access'' in paragraph (1);
                  (B) by striking ``new means of'' in paragraph (3) and 
                inserting ``new means and standards for'';
                  (C) by striking ``and'' at the end of paragraph (6);
                  (D) by striking the period at the end of paragraph 
                (7) and inserting a semicolon; and
                  (E) by inserting after paragraph (7) the following 
                new paragraphs:
          ``(8) to establish linkages between grant recipients under 
        subsection (a) with libraries, museums, organizations, or 
        institutions of higher education located overseas to facilitate 
        carrying out the purposes of this section; and
          ``(9) to carry out other activities deemed by the Secretary 
        to be consistent with the purposes of this section.''; and
          (3) by adding at the end the following new subsection:
  ``(e) Special Rule.--The Secretary may waive or reduce the required 
non-Federal share for institutions that--
          ``(1) are eligible to receive assistance under part A or B of 
        title III or under title V; and
          ``(2) have submitted a grant application under this section 
        that demonstrates a need for a waiver or reduction.''.
  (h) Selection of Grant Recipients.--Section 607(b) (20 U.S.C. 
1127(b)) is amended--
          (1) by striking ``objectives'' and inserting ``missions''; 
        and
          (2) by adding at the end the following new sentence: ``In 
        keeping with the purposes of this part, the Secretary shall 
        take into account the degree to which activities of centers, 
        programs, and fellowships at institutions of higher education 
        address national needs, generate and disseminate information, 
        and foster debate on international issues.''.
  (i) Equitable Distribution.--Section 608(a) (20 U.S.C. 1128(a)) is 
amended by adding at the end the following new sentence: ``Grants made 
under section 602 shall also reflect the purposes of this part.''.
  (j) Authorization of Appropriations.--Section 610 (20 U.S.C. 1128b) 
is amended by striking ``1999'' and inserting ``2009''.
  (k) Conforming Amendments.--
          (1) Sections 603(a), 604(a)(5), and 612 (20 U.S.C. 1123(a), 
        1124(a)(5), 1130-1) are each amended by striking 
        ``combinations'' each place it appears and inserting 
        ``consortia''.
          (2) Section 612 (20 U.S.C. 1130-1) is further amended by 
        striking ``combination'' each place it appears and inserting 
        ``consortium''.

SEC. 602. BUSINESS AND INTERNATIONAL EDUCATION PROGRAMS.

  (a) Centers for International Business Education.--Section 612 (20 
U.S.C. 1130-1) is further amended--
          (1) in subsection (a)(1)(C), by inserting ``manufacturing 
        software systems, technology management,'' after ``commerce,'';
          (2) in subsection (c)(2)(E), by inserting ``(including those 
        that are eligible to receive assistance under part A or B of 
        title III or under title V)'' after ``other institutions of 
        higher education'';
          (3) in subsection (c)(2)--
                  (A) by striking ``and'' at the end of subparagraph 
                (E); and
                  (B) by inserting the following new subparagraph after 
                subparagraph (E) (and redesignating the succeeding 
                subparagraph):
                  ``(F) programs encouraging the advancement and 
                understanding of cultural, technological management, 
                and manufacturing software systems practices between 
                institutions of higher education in the United States 
                and countries with existing partnerships with other 
                countries, including those in Asian countries focused 
                on this industry; and''; and
          (4) in subsection (e), by adding at the end the following new 
        paragraph:
          ``(5) Special rule.--The Secretary may waive or reduce the 
        required non-Federal share for institutions that--
                  ``(A) are eligible to receive assistance under part A 
                or B of title III or under title V; and
                  ``(B) have submitted a grant application under this 
                section that demonstrates a need for a waiver or 
                reduction, as determined by the Secretary.''.
  (b) Education and Training Programs.--Section 613 (20 U.S.C. 1130a) 
is amended by adding at the end the following new subsection:
  ``(e) Special Rule.--The Secretary may waive or reduce the required 
non-Federal share for institutions that--
          ``(1) are eligible to receive assistance under part A or B of 
        title III or under title V; and
          ``(2) have submitted a grant application under this section 
        that demonstrates a need for a waiver or reduction, as 
        determined by the Secretary.''.
  (c) Authorization of Appropriations.--Section 614 (20 U.S.C. 1130b) 
is amended by striking ``1999'' each place it appears and inserting 
``2009''.

SEC. 603. INSTITUTE FOR INTERNATIONAL PUBLIC POLICY.

  (a) Foreign Service Professional Development.--Section 621 (20 U.S.C. 
1131) is amended--
          (1) by striking the heading of such section and inserting the 
        following:

``SEC. 621. PROGRAM FOR FOREIGN SERVICE PROFESSIONALS.'';

          (2) by striking the second sentence of subsection (a) and 
        inserting the following: ``The Institute shall conduct a 
        program to enhance the international competitiveness of the 
        United States by increasing the participation of 
        underrepresented populations in the international service, 
        including private international voluntary organizations, the 
        international commercial service, and the foreign service of 
        the United States.''; and
          (3) in subsection (b)(1), by striking subparagraphs (A) and 
        (B) and inserting the following:
                  ``(A) A Tribally Controlled College or University or 
                Alaska Native or Native Hawaiian-serving institution 
                eligible for assistance under title III, an institution 
                eligible for assistance under part B of title III, or a 
                Hispanic-serving institution eligible for assistance 
                under title V.
                  ``(B) An institution of higher education which serves 
                substantial numbers of underrepresented minority 
                students.''.
  (b) Institutional Development.--Section 622(a) (20 U.S.C. 1131-1(a)) 
is amended by inserting before the period at the end the following: 
``and promote collaboration with colleges and universities that receive 
funds under this title''.
  (c) Study Abroad Program.--Section 623(a) (20 U.S.C. 1131a(a)) is 
amended by inserting after ``1978,'' the following: ``Alaska Native-
serving, Native Hawaiian-serving, and Hispanic-serving institutions,''.
  (d) Advanced Degree in International Relations.--Section 624 (20 
U.S.C. 1131b) is amended--
          (1) by striking ``MASTERS'' in the heading of such section 
        and inserting ``ADVANCED'';
          (2) by striking ``a masters degree in international 
        relations'' and inserting ``an advanced degree in international 
        relations, international affairs, international economics, or 
        other academic areas related to the Institute fellow's career 
        objectives''; and
          (3) by striking ``The masters degree program designed by the 
        consortia'' and inserting ``The advanced degree study program 
        shall be designed by the consortia, consistent with the 
        fellow's career objectives, and''.
  (e) Internships.--Section 625 (20 U.S.C. 1131c) is amended--
          (1) in subsection (a), by inserting after ``1978,'' the 
        following: ``Alaska Native-serving, Native Hawaiian-serving, 
        and Hispanic-serving institutions,'';
          (2) in subsection (b)--
                  (A) by inserting ``and'' after the semicolon at the 
                end of paragraph (2);
                  (B) by striking ``; and'' at the end of paragraph (3) 
                and inserting a period; and
                  (C) by striking paragraph (4); and
          (3) by amending subsection (c) to read as follows:
  ``(c) Ralph J. Bunche Fellows.--In order to assure the recognition 
and commitment of individuals from underrepresented student populations 
who demonstrate special interest in international affairs and language 
study, eligible students who participate in the internship programs 
authorized under subsections (a) and (b) shall be known as the Ralph J. 
Bunche Fellows.''.
  (f) Report.--Section 626 (20 U.S.C. 1131d) is amended by striking 
``annually prepare a report'' and inserting ``prepare a report 
biennially''.
  (g) Authorization of Appropriations.--Section 628 (20 U.S.C. 1131f) 
is amended by striking ``1999'' and inserting ``2009''.

SEC. 604. PREPARING FOR EARLY FOREIGN LANGUAGE INSTRUCTION.

  Title VI (20 U.S.C. 1121 et seq.) is amended--
          (1) by redesignating part D as part E;
          (2) by redesignating section 631 (20 U.S.C. 1132) as section 
        641; and
          (3) by inserting after section 628 the following new part:

       ``PART D--PREPARING FOR EARLY FOREIGN LANGUAGE INSTRUCTION

``SEC. 631. PREPARING FOR EARLY FOREIGN LANGUAGE INSTRUCTION.

  ``(a) Definitions.--In this section:
          ``(1) Eligible partnership.--The term `eligible partnership' 
        means a partnership that--
                  ``(A) shall include--
                          ``(i) a foreign language department of an 
                        institution of higher education; and
                          ``(ii) a local educational agency; and
                  ``(B) may include--
                          ``(i) another foreign language or teacher 
                        education department of an institution of 
                        higher education;
                          ``(ii) another local educational agency, or 
                        an elementary or secondary school;
                          ``(iii) a business;
                          ``(iv) a nonprofit organization of 
                        demonstrated effectiveness, including a museum;
                          ``(v) heritage or community centers for 
                        language study;
                          ``(vi) language resource centers; or
                          ``(vii) the State foreign language 
                        coordinator or State educational agency.
          ``(2) High-need local educational agency.--The term `high-
        need local educational agency' has the meaning given the term 
        in section 2102 of the Elementary and Secondary Education Act 
        of 1965 (20 U.S.C. 6602).
          ``(3) Articulated.--The term `articulated' means that each 
        grade level of the foreign language program is designed to 
        sequentially expand on the student achievement of the previous 
        level with a goal toward achieving an established level of 
        language proficiency.
  ``(b) Purpose.--The purpose of this section is to improve the 
performance of students in the study of foreign languages by 
encouraging States, institutions of higher education, elementary 
schools, and secondary schools to participate in programs that--
          ``(1) upgrade the status and stature of foreign language 
        teaching by encouraging institutions of higher education to 
        assume greater responsibility for improving foreign language 
        teacher education through the establishment of a comprehensive, 
        integrated system of recruiting and advising such teachers;
          ``(2) focus on education of foreign language teachers as a 
        career-long process that should continuously stimulate 
        teachers' intellectual growth and upgrade teachers' knowledge 
        and skills;
          ``(3) bring foreign language teachers in elementary schools 
        and secondary schools together with linguists or higher 
        education foreign language professionals to increase the 
        subject matter knowledge and improve the teaching skills of 
        teachers through the use of more sophisticated resources that 
        institutions of higher education are better able to provide 
        than such schools; and
          ``(4) develop more rigorous foreign language curricula that 
        contain--
                  ``(A) professionally accepted standards for 
                elementary and secondary education instruction;
                  ``(B) standards expected for postsecondary study in 
                foreign language; and
                  ``(C) articulated foreign language programs from 
                kindergarten through grade 12 that demonstrate 
                increased competence and proficiency over time and 
                grade.
  ``(c) Grants to Partnerships.--
          ``(1) In general.--The Secretary may award grants, on a 
        competitive basis, to eligible partnerships to enable the 
        eligible partnerships to pay the Federal share of the costs of 
        carrying out the authorized activities described in this 
        section.
          ``(2) Duration.--The Secretary shall award grants under this 
        section for a period of 5 years.
          ``(3) Federal share.--The Federal share of the costs of the 
        activities assisted under this section shall be--
                  ``(A) 75 percent of the costs for the first year that 
                an eligible partnership receives a grant payment under 
                this section;
                  ``(B) 65 percent of such costs for the second such 
                year; and
                  ``(C) 50 percent of such costs for each of the third, 
                fourth, and fifth such years.
          ``(4) Non-federal share.--The non-Federal share of the costs 
        of carrying out the authorized activities described in this 
        section may be provided in cash or in kind, fairly evaluated.
          ``(5) Priority.--In awarding grants under this section, the 
        Secretary shall give priority to eligible partnerships--
                  ``(A) that include high-need local educational 
                agencies; or
                  ``(B) that emphasize the teaching of commonly taught 
                and critical foreign languages in an articulated 
                program that demonstrates increased competency and 
                proficiency over grade and time.
  ``(d) Applications.--
          ``(1) In general.--Each eligible partnership desiring a grant 
        under this section shall submit an application to the Secretary 
        at such time, in such manner, and accompanied by such 
        information as the Secretary may require.
          ``(2) Contents.--An application under paragraph (1) shall 
        include--
                  ``(A) an assessment of the teacher quality and 
                professional development needs of all the schools and 
                agencies participating in the eligible partnership with 
                respect to the teaching and learning of foreign 
                languages;
                  ``(B) a description of how the activities to be 
                carried out by the eligible partnership will be based 
                on a review of relevant research, and an explanation of 
                why the activities are expected to improve student 
                performance and to strengthen the quality of foreign 
                language instruction; and
                  ``(C) a description of--
                          ``(i) how the eligible partnership will carry 
                        out the authorized activities described in 
                        subsection (e); and
                          ``(ii) the eligible partnership's evaluation 
                        and accountability plan as described in 
                        subsection (f).
  ``(e) Authorized Activities.--An eligible partnership shall use the 
grant funds provided under this section for 1 or more of the following 
activities related to elementary schools or secondary schools:
          ``(1) Creating opportunities for enhanced and ongoing 
        professional development that improves the subject matter 
        knowledge of foreign language teachers.
          ``(2) Recruiting university students with foreign language 
        majors for teaching.
          ``(3) Promoting strong teaching skills for foreign language 
        teachers and teacher educators.
          ``(4) Establishing foreign language summer workshops or 
        institutes (including follow-up) for teachers.
          ``(5) Establishing distance learning programs for foreign 
        language teachers.
          ``(6) Designing programs to prepare a teacher at a school to 
        provide professional development to other teachers at the 
        school and to assist novice teachers at such school, including 
        (if applicable) a mechanism to integrate experiences from a 
        summer workshop or institute.
          ``(7) Developing instruction materials.
  ``(f) Evaluation and Accountability Plan.--Each eligible partnership 
receiving a grant under this section shall develop an evaluation and 
accountability plan for activities assisted under this section that 
includes strong performance objectives. The plan shall include 
objectives and measures for--
          ``(1) increased participation by students in advanced courses 
        in foreign language;
          ``(2) increased percentages of secondary school classes in 
        foreign language taught by teachers with academic majors in 
        foreign language; and
          ``(3) increased numbers of foreign language teachers who 
        participate in content-based professional development 
        activities.
  ``(g) Report.--Each eligible partnership receiving a grant under this 
section shall annually report to the Secretary regarding the eligible 
partnership's progress in meeting the performance objectives described 
in subsection (f).
  ``(h) Termination.--If the Secretary determines that an eligible 
partnership is not making substantial progress in meeting the 
performance objectives described in subsection (f) by the end of the 
third year of a grant under this section, the grant payments shall not 
be made for the fourth and fifth years of the grant.
  ``(i) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section, such sums as may be necessary 
for fiscal year 2009 and for each of the 4 succeeding fiscal years.''.

SEC. 605. EVALUATION, OUTREACH, AND DISSEMINATION.

  Part E of title VI, as redesignated by section 604 of this Act, is 
amended by inserting after section 641 (20 U.S.C. 1132 (as so 
redesignated)) the following new section:

``SEC. 642. EVALUATION, OUTREACH, AND DISSEMINATION.

  ``The Secretary may use not more than one percent of the funds made 
available for this title for program evaluation, national outreach, and 
information dissemination activities.''.

SEC. 606. STUDENT SAFETY.

  Part E of title VI, as redesignated by section 604 of this Act, is 
further amended by inserting after section 642 (as added by section 605 
of this Act) the following new section:

``SEC. 643. STUDENT SAFETY.

  ``Applicants seeking funds under this title to support student travel 
and study abroad shall submit as part of their grant application a 
description of safety policies and procedures for students 
participating in the program while abroad.''.

SEC. 607. SCIENCE AND TECHNOLOGY ADVANCED FOREIGN LANGUAGE EDUCATION 
                    GRANT PROGRAM.

  Part E of title VI, as redesignated by section 604 of this Act, is 
further amended by inserting after section 643 (as added by section 606 
of this Act) the following new section:

``SEC. 644. SCIENCE AND TECHNOLOGY ADVANCED FOREIGN LANGUAGE EDUCATION 
                    GRANT PROGRAM.

  ``(a) Purpose.--It is the purpose of this section to support programs 
in colleges and universities that--
          ``(1) encourage students to develop--
                  ``(A) an understanding of science and technology; and
                  ``(B) foreign language proficiency; and
          ``(2) foster future international scientific collaboration.
  ``(b) Development.--The Secretary shall develop a program for the 
awarding of grants to institutions of higher education that develop 
innovative programs for the teaching of foreign languages.
  ``(c) Regulations and Requirements.--The Secretary shall promulgate 
regulations for the awarding of grants under subsection (b). Such 
regulations shall require institutions of higher education to use grant 
funds for, among other things--
          ``(1) the development of an on-campus cultural awareness 
        program by which students attend classes taught in a foreign 
        language and study the science and technology developments and 
        practices in a non-English speaking country;
          ``(2) immersion programs where students take science or 
        technology related course work in a non-English speaking 
        country; and
          ``(3) other programs, such as summer workshops, that 
        emphasize the intense study of a foreign language and science 
        technology.
  ``(d) Grant Distribution.--In distributing grants to institutions of 
higher education under this section, the Secretary shall give priority 
to--
          ``(1) institutions that have programs focusing on curricula 
        that combine the study of foreign languages and the study of 
        science and technology and produce graduates who have both 
        skills; and
          ``(2) institutions teaching critical foreign languages.
  ``(e) Science.--In this section, the term `science' means any of the 
natural and physical sciences including chemistry, biology, physics, 
and computer science. Such term does not include any of the social 
sciences.
  ``(f) Appropriations Authorized.--There are authorized to be 
appropriated to carry out this section, such sums as may be necessary 
for fiscal year 2009 and for each subsequent fiscal year.''.

SEC. 608. REPORTING BY INSTITUTIONS.

  Part E of title VI (20 U.S.C. 1122), as redesignated by section 604 
of this Act, is further amended by inserting after section 644 (as 
added by section 607 of this Act) the following new section:

``SEC. 645. REPORTING BY INSTITUTIONS.

  ``(a) Applicability.--The data requirement in subsection (b) shall 
apply to an institution of higher education that receives funds for a 
center or program under this title if--
          ``(1) the amount of cash, or the fair market value, or both, 
        of the contributions received from a foreign government or 
        private sector corporation, foundation, or any other entity or 
        individual (excluding domestic government entities) during any 
        fiscal year exceeds $1,000,000 in the aggregate; and
          ``(2) the aggregate contribution is intended for use directly 
        or indirectly by a center or program receiving funds under this 
        title.
  ``(b) Data Required.--The Secretary shall require of each institution 
to which this paragraph applies under subsection (a), as part of the 
Integrated Postsecondary Education Data System (IPEDS) annual data 
collection, that such institution report the following data:
          ``(1) The names and addresses of any foreign government or 
        private sector corporation, foundation, or any other entity or 
        individual that contributed such amount of cash or such fair 
        market value of other property as described in subsection 
        (a)(1).
          ``(2) The amount of such cash or the fair market value of 
        such property.
  ``(c) Exemption From Reporting.--The Secretary may, at the request of 
the donor, exempt domestic donors who make anonymous donations from the 
institutional reporting requirement of subsection (b)(1) to preserve 
the anonymity of their contribution. The data of institutions shall 
identify such donors as `anonymous'. This exemption does not apply to 
non-domestic donations.
  ``(d) Deadline.--Any report under subsection (b) shall be made no 
later than such date as the Secretary shall require.
  ``(e) Consequences of Failure To Report.--In the case of any 
institution from which a report is requested under subsection (b), if 
the Secretary does not receive a report in accordance with the deadline 
established under subsection (d), the Secretary shall--
          ``(1) make a determination that the institution of higher 
        education has failed to make the report required by this 
        paragraph;
          ``(2) transmit a notice of the determination to Congress; and
          ``(3) publish in the Federal Register a notice of the 
        determination and the effect of the determination on the 
        eligibility of the institution of higher education for 
        contracts and grants under this title.''.

SEC. 609. FEDERAL FOREIGN LANGUAGE EDUCATION MARKETING CAMPAIGN.

  The Secretary of Education shall establish a foreign language 
education marketing campaign to encourage students at secondary schools 
and institutions of higher education to study foreign languages, 
particularly languages that are less commonly taught and critical to 
the national security of the United States.

                    TITLE VII--TITLE VII AMENDMENTS

SEC. 701. JAVITS FELLOWSHIP PROGRAM.

  (a) Authority and Timing of Awards.--Section 701(a) (20 U.S.C. 
1132a(a)) is amended by inserting after the second sentence the 
following: ``For purposes of the exception in the preceding sentence, a 
master's degree in fine arts shall be considered a terminal degree.''.
  (b) Interruptions of Study.--Section 701(c) (20 U.S.C. 1134(c)) is 
amended by adding at the end the following new sentence: ``In the case 
of other exceptional circumstances, such as active duty military 
service or personal or family member illness, the institution of higher 
education may also permit the fellowship recipient to interrupt periods 
of study for the duration of the tour of duty (in the case of military 
service) or not more than 12 months (in any other case), but without 
payment of the stipend.''.
  (c) Allocation of Fellowships.--Section 702(a)(1) (20 U.S.C. 
1134a(a)(1)) is amended--
          (1) in the first sentence, by inserting ``from diverse 
        geographic regions'' after ``higher education''; and
          (2) by adding at the end the following new sentence: ``The 
        Secretary shall also assure that at least one representative 
        appointed to the Board represents an institution that is 
        eligible for a grant under title III or V of this Act.''.
  (d) Stipends.--Section 703 (20 U.S.C. 1134b) is amended--
          (1) in subsection (a)--
                  (A) by striking ``1999-2000'' and inserting ``2009-
                2010''; and
                  (B) by striking ``Foundation graduate fellowships'' 
                and inserting ``Foundation Graduate Research Fellowship 
                Program on February 1 of such academic year''; and
          (2) in subsection (b), by amending paragraph (1)(A) to read 
        as follows:
          ``(1) In general.--(A) The Secretary shall (in addition to 
        stipends paid to individuals under this subpart) pay to the 
        institution of higher education, for each individual awarded a 
        fellowship under this subpart at such institution, an 
        institutional allowance. Except as provided in subparagraph 
        (B), such allowance shall be, for academic year 2009-2010 and 
        succeeding academic years, the same amount as the institutional 
        payment made for academic year 2008-2009, adjusted for academic 
        year 2009-2010 and annually thereafter in accordance with 
        inflation as determined by the Department of Labor's Consumer 
        Price Index for All Urban Consumers for the previous calendar 
        year.''.
  (e) Authorization of Appropriations.--Section 705 (20 U.S.C. 1134d) 
is amended by striking ``1999'' and inserting ``2009''.

SEC. 702. GRADUATE ASSISTANCE IN AREAS OF NATIONAL NEED.

  (a) Designation of Areas of National Need; Priority.--Section 712 (20 
U.S.C. 1135a) is amended--
          (1) by amending subsection (b) to read as follows:
  ``(b) Designation of Areas of National Need.--After consultation with 
appropriate Federal and nonprofit agencies and organizations, including 
the National Science Foundation, the Department of Defense, the 
Department of Homeland Security, the National Academy of Sciences, and 
the Bureau of Labor Statistics, the Secretary shall designate areas of 
national need. In making such designations, the Secretary shall take 
into consideration--
          ``(1) the extent to which the interest in the area is 
        compelling;
          ``(2) the extent to which other Federal programs support 
        postbaccalaureate study in the area concerned;
          ``(3) an assessment of how the program may achieve the most 
        significant impact with available resources;
          ``(4) an assessment of current and future professional 
        workforce needs of the United States; and
          ``(5) the priority described in subsection (c).''; and
          (2) by adding at the end the following new subsection:
  ``(c) Priority.--The Secretary shall establish a priority for grants 
in order to prepare individuals for the professorate who will train 
highly qualified elementary and secondary mathematics and science 
teachers, special education teachers, and teachers who provide 
instruction for limited English proficient individuals. Such grants 
shall offer program assistance and graduate fellowships for--
          ``(1) post baccalaureate study related to teacher preparation 
        and pedagogy in mathematics and science for students who have 
        completed a master's degree or are pursuing a doctorate of 
        philosophy in mathematics or science;
          ``(2) post baccalaureate study related to teacher preparation 
        and pedagogy in special education and English language 
        acquisition and academic proficiency for limited English 
        proficient individuals; and
          ``(3) support of dissertation research in the fields of 
        mathematics, science, special education, or second language 
        pedagogy and second language acquisition.''.
  (b) Collaboration Required for Certain Applications.--Section 713(b) 
(20 U.S.C. 1135b) is amended--
          (1) by striking ``and'' at the end of paragraph (9);
          (2) by redesignating paragraph (10) as paragraph (11); and
          (3) by inserting after paragraph (9) the following new 
        paragraph:
          ``(10) in the case of an application from a department, 
        program, or unit in education or teacher preparation, provide 
        assurances that such department, program, or unit will 
        collaborate with departments, programs, or units in all content 
        areas to ensure a successful combination of training in both 
        teaching and such content; and''.
  (c) Stipends.--Section 714(b) (20 U.S.C. 1135c(b)) is amended--
          (1) by striking ``1999-2000'' and inserting ``2009-2010''; 
        and
          (2) by striking ``Foundation graduate fellowships'' and 
        inserting ``Foundation Graduate Research Fellowship Program on 
        February 1 of such academic year''.
  (d) Additional Assistance.--Section 715(a)(1) (20 U.S.C. 1135d(a)(1)) 
is amended--
          (1) by striking ``1999-2000'' and inserting ``2009-2010'';
          (2) by striking ``1998-1999'' and inserting ``2008-2009''; 
        and
          (3) by inserting ``for All Urban Consumers'' after ``Price 
        Index''.
  (e) Authorization of Appropriations.--Section 716 (20 U.S.C. 1135e) 
is amended by striking ``1999'' and inserting ``2009''.
  (f) Technical Amendments.--Section 714(c) (20 U.S.C. 1135c(c)) is 
amended--
          (1) by striking ``section 716(a)'' and inserting ``section 
        715(a)''; and
          (2) by striking ``section 714(b)(2)'' and inserting ``section 
        713(b)(2)''.

SEC. 703. THURGOOD MARSHALL LEGAL EDUCATIONAL OPPORTUNITY PROGRAM.

  (a) Program Authority.--Section 721(a) (20 U.S.C. 1136(a)) is 
amended--
          (1) by inserting ``middle and high school'' after 
        ``disadvantaged''; and
          (2) by striking the period at the end of the sentence and 
        inserting ``and admission to law practice.''.
  (b) Eligibility.--Section 721(b) (20 U.S.C. 1136(b)) is amended by 
inserting ``middle and high school or'' before ``college student''.
  (c) Contract and Grant Purposes.--Section 721(c) (20 U.S.C. 1136(c)) 
is amended--
          (1) by inserting ``middle and high school students'' after 
        ``identify'' in paragraph (1);
          (2) by amending paragraph (2) to read as follows:
          ``(2) to prepare such students for study at accredited law 
        schools and assist them with the development of analytical 
        skills and study methods to enhance their success and promote 
        completion of law school;'';
          (3) by striking ``and'' at the end of paragraph (4);
          (4) by striking the period at the end of paragraph (5) and 
        inserting ``; and''; and
          (5) by adding at the end the following new paragraph:
          ``(6) to award Thurgood Marshall Fellowships to eligible law 
        school students--
                  ``(A) who participated in summer institutes 
                authorized by subsection (d) and who are enrolled in an 
                accredited law school; or
                  ``(B) who are eligible law school students who have 
                successfully completed a comparable summer institute 
                program certified by the Council on Legal Educational 
                Opportunity.''.
  (d) Services Provided.--Section 721(d)(1)(D) (20 U.S.C. 
1136(d)(1)(D)) is amended by inserting ``in analytical skills and study 
methods'' after ``courses''.
  (e) Authorization of Appropriations.--Section 721(h) (20 U.S.C. 
1136(h)) is amended by striking ``1999'' and inserting ``2009''.
  (f) General Provisions.--Subsection (e) of section 731 (20 U.S.C. 
1137(e)) is repealed.

SEC. 704. PATSY T. MINK FELLOWSHIP PROGRAM.

  Part A of title VII (20 U.S.C. 1134) is further amended--
          (1) by redesignating subpart 4 as subpart 5;
          (2) in the heading of section 731, by striking ``SUBPARTS 1, 
        2, AND 3'' and inserting ``SUBPARTS 1 THROUGH 4'';
          (3) in subsections (a) and (b) of section 731, by striking 
        ``subparts 1, 2, and 3'' each place it appears and inserting 
        ``subparts 1 through 4''; and
          (4) in subsection (d) of such section, by striking ``subpart 
        1, 2, or 3'' and inserting ``subpart 1, 2, 3, or 4''; and
          (5) by inserting after subpart 3 the following new subpart:

             ``Subpart 4--Patsy T. Mink Fellowship Program

``SEC. 722. PATSY T. MINK FELLOWSHIPS.

  ``(a) Purpose; Designation.--
          ``(1) Purpose.--It is the purpose of this subpart to provide 
        a program of fellowship awards to assist highly qualified 
        minorities and women to acquire the terminal master's degree or 
        the doctorate degree in academic areas in which such 
        individuals are underrepresented for the purpose of entering 
        the higher education professoriate.
          ``(2) Eligible institutions.--For purposes of this subpart, 
        the term `eligible institution' means an institution of higher 
        education, or a consortium of such institutions, that offers a 
        program of post baccalaureate study leading to a graduate 
        degree.
          ``(3) Designation.--Each recipient of a fellowship award from 
        an institution receiving a grant under this subpart shall be 
        known as a Patsy T. Mink Graduate Fellow.
  ``(b) Program Authorized.--
          ``(1) Grants by secretary.--
                  ``(A) In general.--From funds made available under 
                subsection (e), the Secretary shall make grants to 
                eligible institutions of higher education to enable 
                such institutions to make fellowship awards to 
                qualified students in accordance with the provisions of 
                this subpart.
                  ``(B) Priority consideration.--In making grant awards 
                under this subpart, the Secretary shall consider the 
                applicant institution's prior experience in producing 
                doctorates and terminal master's degree holders who are 
                minorities and females, and shall give priority 
                consideration in making grants under this subpart to 
                those institutions with a demonstrated record of 
                producing minorities and women who have earned such 
                degrees.
          ``(2) Distribution and amounts of grants.--
                  ``(A) Equitable distribution.--In making such grants 
                the Secretary shall, to the maximum extent feasible, 
                ensure an equitable geographic distribution of awards 
                and an equitable distribution among eligible public and 
                private institutions of higher education that apply for 
                grants under this subpart and that demonstrate the 
                ability to achieve the purpose of this subpart.
                  ``(B) Special rule.--To the maximum extent practical, 
                the Secretary shall award at least 50 percent of the 
                amount appropriated under this subpart to institutions 
                of higher education eligible for assistance under 
                titles III and V, or to consortia composed of otherwise 
                eligible institutions of higher education and such 
                minority-serving institutions.
                  ``(C) Allocation.--In making such grants the 
                Secretary shall, consistent with subparagraphs (A) and 
                (B), allocate appropriated funds to those institutions 
                whose applications indicate the ability to 
                significantly increase the numbers of minorities and 
                women entering the higher education professoriate and 
                that commit institutional resources to the attainment 
                of the purpose of this subpart. No grant made under 
                this subpart shall support fewer than fifteen degree 
                candidates consistent with subsection (d)(2).
                  ``(D) Reallotment.--Whenever the Secretary determines 
                that an institution of higher education is unable to 
                utilize all of the amounts made available to it under 
                this subpart, the Secretary shall, on such dates during 
                the fiscal year as the Secretary may determine, 
                reallocate such unused amounts to institutions which 
                demonstrate that they can use any reallocated grant 
                funds to make fellowship awards to qualified 
                individuals under this subpart.
  ``(c)  Applications.--
          ``(1) Applications required.--Any eligible institution of 
        higher education offering a program of post baccalaureate study 
        leading to a graduate degree that meets the purpose of this 
        subpart may apply for a grant. Each such institution, or 
        consortium of eligible institutions (including those 
        institutions specified in subsection (b)(2)(B)) may make an 
        application to the Secretary at such time, in such manner, and 
        containing or accompanied by such information as the Secretary 
        may reasonably require.
          ``(2) Selection of applications.--In selecting applications 
        for the making grants to institutions of higher education, the 
        Secretary shall--
                  ``(A) take into account the number and distribution 
                of minority and female faculty nationally, as well as 
                the current and projected need for highly trained 
                individuals--
                          ``(i) in all areas of the higher education 
                        professoriate; and
                          ``(ii) in academic career fields in which 
                        minorities and women are underrepresented in 
                        the higher education professoriate; and
                  ``(B) consider the need to prepare a larger number of 
                minorities and women generally in academic career 
                fields of high national priority, especially in areas 
                in which such individuals are traditionally 
                underrepresented in college and university faculties.
  ``(d) Fellowship Terms and Conditions.--
          ``(1) Selection of fellows.--
                  ``(A) Eligible applicants.--The Secretary shall 
                assure that, in awarding fellowships from funds made 
                available under this subpart, grantee institutions make 
                fellowship awards to individuals who plan to pursue a 
                career in instruction at any institution of higher 
                education that is eligible to participate in title IV 
                programs.
                  ``(B) Academic progress.--Notwithstanding 
                subparagraph (A), no otherwise eligible student 
                selected for support shall receive a fellowship award--
                          ``(i) during periods in which such student is 
                        enrolled, unless such student is maintaining 
                        satisfactory academic progress in, and devoting 
                        full-time to, study or research in the pursuit 
                        of the degree for which the fellowship support 
                        was awarded; or
                          ``(ii) if the student is engaged in gainful 
                        employment, other than part-time employment 
                        related to teaching, research, or a similar 
                        activity determined by the institution to be 
                        consistent with and supportive of the student's 
                        progress toward the appropriate degree.
          ``(2) Service requirement.--
                  ``(A) Teaching required.--Each Patsy T. Mink Graduate 
                Fellow who earns the doctoral or terminal master's 
                degree with assistance provided under this subpart 
                shall teach at an eligible institution for one year for 
                each year of fellowship assistance received under this 
                subpart.
                  ``(B) Institutional obligation.--Each institution 
                which receives an award from the Secretary under this 
                subpart shall provide an assurance that it has inquired 
                of and determined the fellowship recipient's decision 
                to, within 3 years of receiving the doctorate or 
                terminal master's degree, begin employment at an 
                eligible institution of higher education as required by 
                this subpart.
                  ``(C) Agreement required.--Prior to receiving the 
                initial fellowship award, and upon the annual renewal 
                of the fellowship award, a fellow shall sign an 
                agreement with the Secretary memorializing this 
                commitment to enter the professoriate.
                  ``(D) Consequences of failure.--If a fellowship 
                recipient fails to honor the service requirement of 
                this subsection, the Secretary shall--
                          ``(i) require the individual to repay all or 
                        the applicable portion of the total fellowship 
                        amount awarded to the individual by converting 
                        the balance due to a loan at the interest rate 
                        applicable to loans made under part B of title 
                        IV; or
                          ``(ii) require the individual to pay an 
                        amount determined by the Secretary to be 
                        appropriate, except as provided in subparagraph 
                        (E).
                  ``(E) Modified service requirement.--The Secretary 
                may waive or modify the service requirement of this 
                paragraph based on regulations, promulgated pursuant to 
                and consistent with criteria which determine the 
                circumstances under which compliance with the service 
                obligation by the fellowship recipient would be 
                inequitable and represent a substantial hardship. The 
                Secretary may waive the service requirement if--
                          ``(i) compliance by the fellowship recipient 
                        would be deemed impossible because the 
                        individual is permanently and totally disabled 
                        at the time of the waiver request; or
                          ``(ii) compliance by the fellowship recipient 
                        is based on documentation presented to the 
                        Secretary of substantial economic or personal 
                        hardship, as determined in accordance with 
                        regulations prescribed by the Secretary.
          ``(3) Amount of fellowship awards.--
                  ``(A) In general.--From the grants made pursuant to 
                this subpart, eligible institutions shall award 
                stipends to individuals who are awarded fellowships 
                under this subpart. Such stipends shall reflect the 
                purpose of the program authorized by this subpart to 
                encourage highly qualified minorities and women to 
                pursue graduate study for the purpose of entering the 
                higher education professoriate.
                  ``(B) Awards based on need.--Stipends shall be in an 
                amount equal to the level of support provided by the 
                National Science Foundation graduate fellowships, 
                except that such stipend shall be adjusted as necessary 
                so as not to exceed the fellow's demonstrated need as 
                determined by the institution of higher education where 
                the graduate student is enrolled.
          ``(4) Institutional payments.--
                  ``(A) In general.--The Secretary shall, in addition 
                to the amounts made available to institutions for 
                stipends to individuals under this subpart, pay to 
                grantee institutions of higher education, for each 
                individual awarded a fellowship under this subpart at 
                such institution, an institutional allowance. Except as 
                provided for in subparagraph (C), such allowance shall 
                be, for academic year 2009-2010 and succeeding academic 
                years, the same as the institutional payment made for 
                that year under the Graduate Assistance in Areas of 
                National Need program in subpart 2 of part A, and shall 
                be adjusted annually thereafter in accordance with 
                inflation as determined by the Department of Labor's 
                Consumer Price Index for All Urban Consumers for the 
                previous calendar year.
                  ``(B) Use of funds.--Institutional payments may be 
                expended at the discretion of the institution, except 
                that such funds shall be used to provide academic 
                support and career transition services for 
                participating fellows.
                  ``(C) Reduction.--The institutional allowance paid 
                under subparagraph (A) shall be reduced by the amount 
                the institution charges and collects from a fellowship 
                recipient for tuition and other expenses as part of the 
                institution's instructional program.
                  ``(D) Use for overhead prohibited.--Funds made 
                available pursuant to this subpart may not be used for 
                general operational overhead of the academic department 
                or institution receiving such funds.
  ``(e) Authorization of Appropriations.--There are authorized to 
appropriated to carry out this subpart such sums as may be necessary 
for fiscal year 2009 and for each of the 4 succeeding fiscal years.''.

SEC. 705. FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION.

  (a) Contract and Grant Purposes.--Section 741(a) (20 U.S.C. 1138(a)) 
is amended--
          (1) by amending paragraph (1) to read as follows:
          ``(1) the encouragement of the reform and improvement of, and 
        innovation in, postsecondary education and the provision of 
        educational opportunity for all, especially for the non-
        traditional student populations;'';
          (2) in paragraph (2), by inserting before the semicolon at 
        the end the following: ``for postsecondary students, especially 
        institutions, programs, and joint efforts that provide academic 
        credit for programs'';
          (3) by amending paragraph (3) to read as follows:
          ``(3) the establishment of institutions and programs based on 
        the technology of communications, including delivery by 
        distance education;'';
          (4) by amending paragraph (6) to read as follows:
          ``(6) the introduction of institutional reforms designed to 
        expand individual opportunities for entering and reentering 
        postsecondary institutions and pursuing programs of 
        postsecondary study tailored to individual needs;'';
          (5) by striking ``and'' at the end of paragraph (7);
          (6) by striking the period at the end of paragraph (8) and 
        inserting a semicolon; and
          (7) by adding at the end the following new paragraphs:
          ``(9) the assessment, in partnership with a public or private 
        nonprofit institution or agency, of the performance of teacher 
        preparation programs within institutions of higher education in 
        a State, using an assessment which provides comparisons across 
        such institutions within the State based upon indicators 
        including teacher candidate knowledge in subject areas in which 
        such candidate has been prepared to teach;
          ``(10) the support of efforts to establish pilot programs and 
        initiatives to help college campuses reduce illegal downloading 
        of copyrighted content, in order to improve the security and 
        integrity of campus computer networks and save bandwidth costs;
          ``(11) the support of increased fire safety in student 
        housing--
                  ``(A) by establishing a demonstration incentive 
                program for qualified student housing in institutions 
                of higher education;
                  ``(B) by making grants for the purpose of installing 
                fire alarm detection, prevention, and protection 
                technologies in student housing, dormitories, and other 
                buildings controlled by such entities; and
                  ``(C) by requiring, as a condition of such grants--
                          ``(i) that such technologies be installed 
                        professionally to technical standards of the 
                        National Fire Protection Association; and
                          ``(ii) that the recipient shall provide non-
                        Federal matching funds in an amount equal to 
                        the amount of the grant;
          ``(12) the assessment, in partnership with a consortium of 
        higher education organizations, of the feasibility and 
        potential design of an inter-institution monitoring 
        organization on gender and racial equality in campus faculty 
        and administration;
          ``(13) the provision of support and assistance to 
        partnerships between institutions of higher education and 
        secondary schools with at least 10 percent of their enrollment 
        assessed as late-entering limited English proficient students 
        to establish programs that result in increased secondary school 
        graduation rates of limited English proficient students and 
        that increase the number of eligible late-entering limited 
        English proficient students who pursue postsecondary education 
        opportunities;
          ``(14) the provision of support and assistance for 
        demonstration projects to provide comprehensive support 
        services to ensure that homeless students, or students who were 
        in foster care until the age of 18, enroll and succeed in 
        postsecondary education, including providing housing to such 
        students during periods when housing at the institution of 
        higher education is closed or generally unavailable to other 
        students;
          ``(15) the support of efforts to work with organizations that 
        are exempt from taxation under section 501(c)(3) of the 
        Internal Revenue Code of 1986 and institutions of higher 
        education that seek to promote cultural diversity in the 
        entertainment media industry including through the training of 
        students in production, marketing, and distribution of 
        culturally relevant content; and
          ``(16) the creation of consortia that join diverse 
        institutions of higher education to design and offer curricular 
        and co-curricular interdisciplinary programs at the 
        undergraduate and graduate levels, sustained for not less than 
        a 5 year period, that--
                  ``(A) focus on poverty and human capability; and
                  ``(B) include--
                          ``(i) a service-learning component; and
                          ``(ii) the delivery of educational services 
                        through informational resource centers, summer 
                        institutes, mid-year seminars, and other 
                        educational activities that stress the effects 
                        of poverty and how poverty can be alleviated 
                        through different career paths.''.
  (b) Scholarship Program for Family Members of Veterans or Members of 
the Military; Center for Best Practices To Support Single Parent 
Students.--Section 741 (20 U.S.C. 1138) is further amended by adding at 
the end the following new subsections:
  ``(c) Scholarship Program for Family Members of Veterans or Members 
of the Military.--
          ``(1) Authorization.--The Secretary shall contract with a 
        nonprofit organization with demonstrated experience in carrying 
        out the activities described in this subsection to carry out a 
        program to provide postsecondary education scholarships for 
        eligible students.
          ``(2) Eligible students.--In this subsection, the term 
        `eligible student' means an individual who is--
                  ``(A)(i) a dependent student who is a child of--
                          ``(I) an individual who is--
                                  ``(aa) serving on active duty during 
                                a war or other military operation or 
                                national emergency (as defined in 
                                section 481); or
                                  ``(bb) performing qualifying National 
                                Guard duty during a war or other 
                                military operation or national 
                                emergency (as defined in section 481); 
                                or
                          ``(II) a veteran who died while serving or 
                        performing, as described in subclause (I), 
                        since September 11, 2001, or has been disabled 
                        while serving or performing, as described in 
                        subclause (I), as a result of such event; or
                  ``(ii) an independent student who--
                          ``(I) is a spouse of an individual who is--
                                  ``(aa) serving on active duty during 
                                a war or other military operation or 
                                national emergency (as defined in 
                                section 481); or
                                  ``(bb) performing qualifying National 
                                Guard duty during a war or other 
                                military operation or national 
                                emergency (as defined in section 481); 
                                or
                          ``(II) was (at the time of the death of the 
                        veteran) a spouse of a veteran who died while 
                        serving or performing, as described in 
                        subclause (I), since September 11, 2001, or has 
                        been disabled while serving or performing, as 
                        described in subclause (I), as a result of such 
                        event; and
                  ``(B) enrolled as a full-time or part-time student at 
                an institution of higher education (as defined in 
                section 102).
          ``(3) Awarding of scholarships.--Scholarships awarded under 
        this subsection shall be awarded based on need with priority 
        given to eligible students who are eligible to receive Federal 
        Pell Grants under subpart 1 of part A of title IV.
          ``(4) Maximum scholarship amount.--The maximum scholarship 
        amount awarded to an eligible student under this subsection for 
        an academic year shall be the lesser of--
                  ``(A) the difference between the eligible student's 
                cost of attendance (as defined in section 472) and any 
                non-loan based aid such student receives; or
                  ``(B) $5,000.
          ``(5) Amounts for scholarships.--All of the amounts 
        appropriated to carry out this subsection for a fiscal year 
        shall be used for scholarships awarded under this subsection, 
        except that a nonprofit organization receiving a contract under 
        this subsection may use not more than 1 percent of such amounts 
        for the administrative costs of the contract.
  ``(d) Center for Best Practices To Support Single Parent Students.--
          ``(1) Program authorized.--The Secretary is authorized to 
        award 1 grant or contract to an institution of higher education 
        to enable such institution to establish and maintain a center 
        to study and develop best practices for institutions of higher 
        education to support single parents who are also students 
        attending such institutions.
          ``(2) Institution requirements.--The Secretary shall award 
        the grant or contract under this subsection to a 4-year 
        institution of higher education that has demonstrated expertise 
        in the development of programs to assist single parents who are 
        students at institutions of higher education, as shown by the 
        institution's development of a variety of targeted services to 
        such students, including on-campus housing, child care, 
        counseling, advising, internship opportunities, financial aid, 
        and financial aid counseling and assistance.
          ``(3) Center activities.--The center funded under this 
        section shall--
                  ``(A) assist institutions implementing innovative 
                programs that support single parents pursuing higher 
                education;
                  ``(B) study and develop an evaluation protocol for 
                such programs that includes quantitative and 
                qualitative methodologies;
                  ``(C) provide appropriate technical assistance 
                regarding the replication, evaluation, and continuous 
                improvement of such programs; and
                  ``(D) develop and disseminate best practices for such 
                programs.''.
  (c) Prohibition.--Section 741 is further amended by adding after 
subsection (d) (as added by subsection (b) of this section) the 
following new subsection:
  ``(e) Prohibition.--No funds made available under this part may be 
used to provide financial assistance to students who do not meet the 
requirements of section 484(a)(5).''.
  (d) Technical Amendments.--Part B of title VII (20 U.S.C. 1038 et 
seq.) is further amended--
          (1) in section 742 (20 U.S.C. 1138a)--
                  (A) in subsection (b)--
                          (i) by striking ``(1) In general.--''; and
                          (ii) by striking paragraph (2);
                  (B) in subsection (c), by striking ``and the 
                Director'' each place it appears; and
                  (C) in subsection (d), by striking ``Director'' and 
                inserting ``Secretary'';
          (2) in section 743 (20 U.S.C. 1138b)--
                  (A) by striking ``(a) Technical Employees.--''; and
                  (B) by striking subsection (b); and
          (3) in section 744(a) (20 U.S.C. 1138c(a)), by striking 
        ``Director'' each place it appears and inserting ``Secretary''.
  (e) Areas of National Need.--Section 744(c) (20 U.S.C. 1138c(c)) is 
amended by adding at the end the following:
          ``(5) Establishment of academic programs including graduate 
        and undergraduate courses, seminars and lectures, support of 
        research, and development of teaching materials for the purpose 
        of supporting faculty and academic programs that teach 
        traditional American history (including significant 
        constitutional, political, intellectual, economic, diplomatic, 
        and foreign policy trends, issues, and documents; the history, 
        nature, and development of democratic institutions of which 
        American democracy is a part; and significant events and 
        individuals in the history of the United States).''.
  (f) Authorization of Appropriations.--Section 745 (20 U.S.C. 1138d) 
is amended by striking ``$30,000,000 for fiscal year 1999'' and 
inserting ``$40,000,000 for fiscal year 2009''.

SEC. 706. URBAN-SERVING RESEARCH UNIVERSITIES.

  Part C of title VII (20 U.S.C. 1139 et seq.) is amended to read as 
follows:

             ``PART C--URBAN-SERVING RESEARCH UNIVERSITIES

``SEC. 751. PURPOSE; PROGRAM AUTHORIZED.

  ``(a) Purpose.--It is the purpose of this part to provide incentives 
to urban-serving research universities to enable such universities to 
expand research knowledge and to develop and implement initiatives in 
partnership with community-based organizations and other public or 
nonprofit private entities to strengthen city economies, foster 
innovation and opportunity, and solve urban challenges.
  ``(b) Program Authorized.--The Secretary is authorized to award 
grants to urban-serving research universities to enable such 
universities to carry out the activities described in section 753 in 
accordance with the provisions of this part.

``SEC. 752. APPLICATION FOR URBAN-SERVING RESEARCH UNIVERSITY GRANTS.

  ``(a) Application.--An urban-serving research university seeking 
assistance under this part shall submit to the Secretary an application 
at such time, in such manner, and containing such information as the 
Secretary may reasonably require.
  ``(b) Priority in Selection of Applications.--The Secretary shall 
give priority to applications that propose to conduct joint projects 
supported by Federal, State, and local programs other than the program 
under this Act. In addition, the Secretary shall give priority to 
urban-serving research universities with a demonstrated record of 
effective engagement in serving the communities in which such 
universities are located.

``SEC. 753. ALLOWABLE ACTIVITIES.

  ``An urban-serving research university shall use funds awarded under 
this part to further develop and apply research findings to the 
development, implementation, and ongoing evaluation of--
          ``(1) systemic initiatives with elementary and secondary 
        schools and other educational organizations designed to--
                  ``(A) improve teacher quality and retention; or
                  ``(B) develop strategies to improve postsecondary and 
                workplace readiness, particularly in fields related to 
                science, technology, engineering, and mathematics;
          ``(2) innovative economic revitalization efforts in 
        conjunction with community-based organizations and other public 
        or nonprofit private entities; or
          ``(3) public health outreach, education, and intervention 
        activities designed to reduce health disparities in urban 
        areas, in partnership with community-based organizations and 
        other public or nonprofit private entities.

``SEC. 754. DEFINITIONS.

  ``As used in this part:
          ``(1) Urban area.--The term `urban area' means a city with a 
        population of not less than 200,000 within a metropolitan 
        statistical area.
          ``(2) Urban-serving research university.--The term `urban-
        serving research university' means a public institution of 
        higher education that--
                  ``(A) meets the requirements of section 101;
                  ``(B) is located in an urban area;
                  ``(C) has the capacity to conduct applicable 
                research, as demonstrated by awarding more than 10 
                doctoral degrees per academic year;
                  ``(D) draws a substantial portion of its students 
                from the urban area in which such institution is 
                located; and
                  ``(E) has demonstrated and sustained a sense of 
                responsibility to such urban area and the people of 
                such area.

``SEC. 755. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated to carry out this part 
$50,000,000 for fiscal year 2009 and such sums as may be necessary for 
each of the 4 succeeding fiscal years.''.

SEC. 707. PROGRAMS TO ENSURE STUDENTS WITH DISABILITIES RECEIVE A 
                    QUALITY HIGHER EDUCATION.

  (a) Serving All Students With Disabilities.--Section 762(a) (20 
U.S.C. 1140a(a)) is amended by striking ``students with learning 
disabilities'' and inserting ``students with disabilities''.
  (b) Authorized Activities.--
          (1) Amendment.--Section 762(b)(2) is amended--
                  (A) in subparagraph (A)--
                          (i) by inserting ``, including methods and 
                        strategies consistent with the principles of 
                        universal design for learning'' after 
                        ``strategies''; and
                          (ii) by inserting ``in order to improve 
                        retention and completion'' after 
                        ``disabilities'';
                  (B) by redesignating subparagraphs (B) and (C) as 
                subparagraphs (C) and (F), respectively;
                  (C) by inserting after subparagraph (A) the following 
                new subparagraph:
                  ``(B) Effective transition practices.--The 
                development of innovative, effective, and efficient 
                teaching methods and strategies to ensure the smooth 
                transition of students with disabilities from high 
                school to postsecondary education.''; and
                  (D) by inserting after subparagraph (C) (as 
                redesignated by subparagraph (B) of this paragraph) the 
                following new subparagraphs:
                  ``(D) Distance learning.--The development of 
                innovative, effective, and efficient teaching methods 
                and strategies to provide faculty and administrators 
                with the ability to provide accessible distance 
                education programs or classes that would enhance access 
                of students with disabilities to higher education, 
                including the use of accessible electronic 
                communication for instruction and advisement.
                  ``(E) Accessibility of education.--Making 
                postsecondary education more accessible to students 
                with disabilities through the use of accessible 
                instructional materials and curriculum development, 
                consistent with the principles of universal design for 
                learning.''.
          (2) Report.--Section 762 is further amended by adding at the 
        end the following new subsection:
  ``(d) Report.--Not later than 3 years after the date of enactment of 
the College Opportunity and Affordability Act of 2007, the Secretary 
shall prepare and disseminate a report reviewing the activities of the 
demonstration projects authorized under this subpart and providing 
guidance and recommendations on how successful projects can be 
replicated.''.
          (3) Conforming amendment.--Section 762(b)(3) is amended by 
        striking ``subparagraphs (A) through (C)'' and inserting 
        ``subparagraphs (A) through (F)''.
  (c) Applications.--Section 763 (20 U.S.C. 1140b) is amended--
          (1) by amending paragraph (1) to read as follows:
          ``(1) a description of how such institution plans to address 
        the activities allowed under this subpart;'';
          (2) in paragraph (2)--
                  (A) by striking ``institution to develop'' and 
                inserting ``institution, including students with 
                disabilities, to develop''; and
                  (B) by striking ``and'' at the end;
          (3) by striking the period at the end of paragraph (3) and 
        inserting ``; and''; and
          (4) by adding at the end the following new paragraph:
          ``(4) a description of the extent to which an institution 
        will work to replicate the best practices of institutions of 
        higher education with demonstrated success in serving students 
        with disabilities.''.
  (d) Authorization of Appropriations for Demonstration Projects To 
Ensure Students With Disabilities Receive a Quality Higher Education.--
Section 765 (20 U.S.C. 1140d) is amended by striking ``1999'' and 
inserting ``2009''.
  (e) National Technical Assistance Center; Commission on Accessible 
Materials; Programs To Support Improved Access to Materials; Transition 
Programs for Students With Intellectual Disabilities; Coordinating 
Center.--Part D of title VII (20 U.S.C. 1140 et seq.) is further 
amended--
          (1) in the part heading, by striking ``DEMONSTRATION 
        PROJECTS'' and inserting ``PROGRAMS'';
          (2) by inserting after the part heading the following:

                ``Subpart 1--Quality Higher Education''

        ; and
          (3) by adding at the end the following:

   ``Subpart 2--National Technical Assistance Center; Commission on 
 Accessible Materials; Programs To Support Improved Access to Materials

``SEC. 766. NATIONAL CENTER.

  ``(a) Purpose.--It is the purpose of this subpart to support the 
development of a national center to provide information and technical 
assistance for students with disabilities to improve the postsecondary 
recruitment, retention, and completion success rates of such students.
  ``(b) Establishment and Support.--The Secretary shall, by grant, 
contract, or cooperative agreement with an eligible entity or 
partnership of two or more eligible entities, provide for the 
establishment and support of a National Center for Information and 
Technical Support for Postsecondary Students with Disabilities 
(hereinafter in this subpart referred to as the `Center') which shall 
carry out the duties set forth in subsection (d).
  ``(c) Eligible Entity.--In this subpart, the term `eligible entity' 
means an institution of higher education or a private nonprofit 
organization with demonstrated expertise in--
          ``(1) supporting postsecondary students with disabilities;
          ``(2) technical knowledge necessary for the accessible 
        dissemination of information; and
          ``(3) working with a diverse range of types of institutions 
        of higher education, including community colleges.
  ``(d) Duties.--The duties of the Center shall include the following:
          ``(1) Assistance to students and families.--The Center shall 
        provide information and technical assistance to students with 
        disabilities, their families, and disability support service 
        personnel related to practices supporting students across a 
        broad spectrum of disabilities, including--
                  ``(A) information to assist prospective students with 
                disabilities in planning their postsecondary academic 
                career while they are in middle and secondary school;
                  ``(B) research-based supports, services, and 
                accommodations which are available in postsecondary 
                settings, including services provided by other agencies 
                such as vocational rehabilitation;
                  ``(C) information on student mentoring and networking 
                opportunities; and
                  ``(D) successful recruitment and transition programs 
                in existence in postsecondary institutions.
          ``(2) Assistance to institutions of higher education.--The 
        Center shall provide information and technical assistance to 
        faculty, staff, and administrators of institutions of higher 
        education to improve the services provided to, the 
        accommodations for, the retention rates of, and the completion 
        rates of, students with disabilities in higher education 
        settings, which may include--
                  ``(A) collection and dissemination of promising 
                practices and materials for accommodation and support 
                of students with disabilities;
                  ``(B) development and provision of training modules 
                for higher education faculty on exemplary practices for 
                accommodating and supporting students with disabilities 
                across a range of academic fields; or
                  ``(C) development of Internet-based tutorials for 
                faculty, including graduate teaching assistants and new 
                faculty, on promising practices related to support and 
                retention of students with disabilities in 
                postsecondary education.
          ``(3)  Information collection and dissemination.--The Center 
        shall be responsible for building and maintaining a database of 
        disability support services information with respect to 
        institutions of higher education, which shall be available to 
        the general public through a website built to the highest 
        technical standards of accessibility currently practicable for 
        the broad spectrum of individuals with disabilities. Such 
        database and website shall include information on--
                  ``(A) disability documentation requirements;
                  ``(B) support services available;
                  ``(C) links to financial aid;
                  ``(D) accommodations policies;
                  ``(E) accessible instructional materials;
                  ``(F) other topics relevant to students with 
                disabilities and prospective students with 
                disabilities; and
                  ``(G) the information in the report described in 
                paragraph (5).
          ``(4) Professional standards for disability support 
        personnel.--The Center shall consolidate and disseminate 
        information with respect to professional standards in existence 
        for disability support services personnel and offices in 
        institutions of higher education and shall convene a panel of 
        experts to create and disseminate professional standards for 
        such personnel and offices.
          ``(5) Review and report.--The Center shall annually prepare 
        and disseminate a report analyzing the current condition of 
        postsecondary success for students with disabilities. Such 
        report shall include--
                  ``(A) a review of the activities of the programs 
                authorized under ths part;
                  ``(B) enrollment and graduation rates of students 
                with disabilities in institutions of higher education;
                  ``(C) guidance on how successful postsecondary 
                supports and services for students with disabilities 
                could be widely implemented at institutions of higher 
                education;
                  ``(D) guidance on how to reduce barriers to full 
                participation for students with disabilities in higher 
                education; and
                  ``(E) a description of activities necessary to 
                facilitate a substantial improvement in the 
                postsecondary success of such students.
  ``(e) Staffing of the Center.--The Center shall employ disability 
support personnel with proven expertise in providing training and 
technical assistance to practitioners. Such personnel shall provide 
technical assistance to individual colleges and universities seeking to 
provide appropriate supports and services to students with disabilities 
to improve enrollment, retention, and completion rates of such 
students.

``SEC. 766A. ESTABLISHMENT OF ADVISORY COMMISSION ON ACCESSIBLE 
                    INSTRUCTIONAL MATERIALS IN POSTSECONDARY EDUCATION 
                    FOR STUDENTS WITH DISABILITIES.

  ``(a) Establishment.--
          ``(1) In general.--The Secretary shall establish a commission 
        to be known as the Advisory Commission on Accessible 
        Instructional Materials in Postsecondary Education for Students 
        with Disabilities, in this subpart referred to as the 
        `Commission'.
          ``(2) Membership.--
                  ``(A) The Commission shall include one representative 
                of each of the following:
                          ``(i) Department of Education Office of 
                        Postsecondary Education.
                          ``(ii) Department of Education Office of 
                        Special Education and Rehabilitative Services.
                          ``(iii) Department of Education Office for 
                        Civil Rights.
                          ``(iv) Library of Congress National Digital 
                        Information and Infrastructure Preservation 
                        Program Copyright Working Group.
                          ``(v) Association on Higher Education and 
                        Disability.
                          ``(vi) Association of American Publishers.
                          ``(vii) Association of American University 
                        Presses.
                          ``(viii) National Association of College 
                        Stores.
                          ``(ix) National Council on Disability.
                  ``(B) The Commission shall be composed of at least 
                one but not more than two representatives, as appointed 
                by the Secretary, of each of the following:
                          ``(i) Staff from institutions of higher 
                        education with demonstrated experience teaching 
                        or supporting students with print disabilities, 
                        representing each of the following:
                                  ``(I) Large public institution of 
                                higher education.
                                  ``(II) Small public institution of 
                                higher education.
                                  ``(III) Large private institution of 
                                higher education.
                                  ``(IV) Small private institution of 
                                higher education.
                                  ``(V) Large community college.
                                  ``(VI) Small community college.
                          ``(ii) Producers of materials in specialized 
                        formats, including each of the following:
                                  ``(I) Braille.
                                  ``(II) Audio or synthesized speech.
                                  ``(III) Digital media.
                          ``(iii) Developers of accessibility and 
                        publishing software and supporting 
                        technologies.
                          ``(iv) National organizations serving 
                        individuals with visual impairments that have 
                        demonstrated experience in technology 
                        evaluation research, academic publishing, 
                        production of material in accessible formats, 
                        and educational methodologies for such for 
                        individuals.
                          ``(v) Postsecondary students with visual 
                        impairment.
                          ``(vi) Postsecondary students with dyslexia 
                        or other learning disabilities related to 
                        reading.
                          ``(vii) Attorneys with expertise in copyright 
                        law.
                  ``(C) The Commission shall include at least two, but 
                not more than three, representatives as appointed by 
                the Secretary, of national membership organizations 
                representing individuals with print disabilities, 
                including each of the following:
                          ``(i) Individuals with visual impairments.
                          ``(ii) Individuals with learning disabilities 
                        related to reading.
                  ``(D) The appointments of the members of the 
                Commission shall be made not later than 45 days after 
                the date of enactment of the College Opportunity and 
                Affordability Act of 2007.
          ``(3) Period of appointment; vacancies.--Members shall be 
        appointed for the life of the Commission. Any vacancy in the 
        Commission shall not affect its powers, but shall be filled in 
        the same manner as the original appointment.
          ``(4) Initial meeting.--Not later than 30 days after the date 
        on which all members of the Commission have been appointed, the 
        Commission shall hold the Commission's first meeting.
          ``(5) Meetings.--The Commission shall meet at the call of the 
        Chairperson. Meetings shall be publicly announced in advance 
        and open to the public.
          ``(6) Quorum.--A majority of the members of the Commission 
        shall constitute a quorum, but a lesser number of members may 
        hold hearings.
          ``(7) Chairperson and vice chairperson.--The Commission shall 
        select a chairperson and vice chairperson from among the 
        members of the Commission.
  ``(b) Duties of the Commission.--
          ``(1) Study.--
                  ``(A) In general.--The Commission shall conduct a 
                thorough study to assess the barriers, systemic issues, 
                and technical solutions available which may affect or 
                improve the timely delivery and quality of accessible 
                instructional materials for postsecondary students, 
                faculty, and staff with print disabilities, and make 
                recommendations related to the development of a 
                comprehensive approach that will ensure that 
                postsecondary students with print disabilities can 
                access instructional materials in specialized formats 
                in a timeframe comparable to the availability of 
                standard instructional materials for students without 
                disabilities.
                  ``(B) Existing information.--To the extent 
                practicable, in carrying out the study under this 
                paragraph, the Commission shall identify and use 
                existing research, recommendations, and information 
                from--
                          ``(i) the Model Demonstration Programs to 
                        Support Improved Access to Postsecondary 
                        Instructional Materials for Students with Print 
                        Disabilities, as described in section 766B;
                          ``(ii) the Advisory Council and the Technical 
                        Assistance and Development Centers of the 
                        National Instructional Materials Access Center;
                          ``(iii) the Library of Congress National 
                        Digital Information and Infrastructure 
                        Preservation Program Copyright Working Group;
                          ``(iv) the Association of Higher Education 
                        and Disabilities E-Text Solutions Working 
                        Group;
                          ``(v) the Recording for the Blind and 
                        Dyslexic's Technology Advisory Committee;
                          ``(vi) the Association of American Publishers 
                        Higher Education Division's Critical Issues 
                        Task Force; and
                          ``(vii) other existing research related to 
                        the creation and distribution of accessible 
                        instructional materials for students with print 
                        disabilities.
                  ``(C) Recommendations.--The Commission shall develop 
                recommendations to be used to inform Federal regulation 
                and legislation, to identify best practices for systems 
                of creating, collecting, maintaining, processing, and 
                disseminating materials in specialized formats to 
                eligible students, faculty, and staff while providing 
                adequate copyright protections. In developing such 
                recommendations, the Commission shall consider--
                          ``(i) how to ensure that students with print 
                        disabilities may obtain instructional materials 
                        in accessible formats within a timeframe 
                        comparable to the availability of materials for 
                        students without disabilities;
                          ``(ii) the feasibility and technical 
                        parameters of establishing national 
                        standardized electronic file formats such as, 
                        but not limited to, the National Instructional 
                        Materials Accessibility Standard as defined in 
                        section 674(e)(3)(B) of the Individuals with 
                        Disabilities Education Act, to be provided by 
                        publishers of instructional materials to 
                        producers of specialized formats, institutions 
                        of higher education, and eligible students;
                          ``(iii) the feasibility of the establishment 
                        of a national clearinghouse, repository, or 
                        file-sharing network for electronic files in 
                        specialized formats and files used in producing 
                        instructional materials in specialized formats, 
                        and a list of possible entities qualified to 
                        administer such a clearinghouse, repository, or 
                        network;
                          ``(iv) the feasibility of including such a 
                        national clearinghouse, repository, or file-
                        sharing network in the duties of the Center 
                        described in section 766;
                          ``(v) market-based solutions involving 
                        collaborations between publishers of 
                        instructional materials, producers of 
                        specialized formats, and institutions of higher 
                        education, including--
                                  ``(I) barriers and opportunities to 
                                market entry;
                                  ``(II) unique concerns affecting 
                                university presses, small publishers, 
                                and solutions incorporating such works 
                                into a shared system; and
                                  ``(III) solutions utilizing universal 
                                design;
                          ``(vi) solutions for low-incidence, high-cost 
                        requests for materials in specialized formats; 
                        and
                          ``(vii) definitions of instructional 
                        materials, authorized entities, and eligible 
                        students.
          ``(2) Report.--Not later than 24 months after the first 
        meeting, the Commission shall submit a report to the Secretary 
        and to Congress that shall contain a detailed statement of the 
        findings and conclusions of the Commission resulting from the 
        study under subsection (a), together with the Commission's 
        recommendations for such legislation and administrative actions 
        as the Commission considers to be appropriate to implement the 
        development of a comprehensive approach that will ensure that 
        postsecondary students with print disabilities can access 
        instructional materials in specialized formats in a timeframe 
        comparable to the availability of standard instructional 
        materials for students without disabilities.
          ``(3) Facilitation of exchange of information.--In carrying 
        out the study under subsection (a), the Commission shall, to 
        the extent practicable, facilitate the exchange of information 
        concerning the issues that are the subject of the study among--
                  ``(A) officials of the Federal Government;
                  ``(B) educators from Federal, State, and local 
                institutions of higher education and secondary schools;
                  ``(C) publishers of instructional materials;
                  ``(D) producers of materials in specialized formats;
                  ``(E) representatives from the community of 
                individuals with print disabilities; and
                  ``(F) participants in the Model Demonstration 
                Programs to Support Improved Access to Postsecondary 
                Instructional Materials for Students with Print 
                Disabilities, as described in section 766B.
  ``(c) Commission Personnel Matters.--
          ``(1) Compensation of members.--Each member of the Commission 
        who is not an officer or employee of the Federal Government 
        shall serve without compensation. All members of the Commission 
        who are officers or employees of the United States shall serve 
        without compensation in addition to that received for their 
        services as officers or employees of the United States.
          ``(2) Travel expenses.--The members of the Commission shall 
        be allowed travel expenses, including per diem in lieu of 
        subsistence, at rates authorized for employees of agencies 
        under subchapter I of chapter 57 of title 5, United States 
        Code, while away from their homes or regular places of business 
        in the performance of services for the Commission.
          ``(3) Staff.--
                  ``(A) In general.--The Chairperson of the Commission 
                may, without regard to the civil service laws and 
                regulations, appoint and terminate an executive 
                director and such other additional personnel as may be 
                necessary to enable the Commission to perform the 
                Commission's duties. The employment of an executive 
                director shall be subject to confirmation by the 
                Commission.
                  ``(B) Compensation.--The Chairperson of the 
                Commission may fix the compensation of the executive 
                director and other personnel without regard to the 
                provisions of chapter 51 and subchapter III of chapter 
                53 of title 5, United States Code, relating to 
                classification of positions and General Schedule pay 
                rates, except that the rate of pay for the executive 
                director and other personnel may not exceed the rate 
                payable for level V of the Executive Schedule under 
                section 5316 of such title.
          ``(4) Detail of government employees.--Any Federal Government 
        employee may be detailed to the Commission without 
        reimbursement, and such detail shall be without interruption or 
        loss of civil service status or privilege.
          ``(5) Procurement of temporary and intermittent services.--
        The Chairperson of the Commission may procure temporary and 
        intermittent services under section 3109(b) of title 5, United 
        States Code, at rates for individuals that do not exceed the 
        daily equivalent of the annual rate of basic pay prescribed for 
        level V of the Executive Schedule under section 5316 of such 
        title.
  ``(d) Termination of the Commission.--The Commission shall terminate 
on the date that is 90 days after the date on which the Commission 
submits the Commission's report under subsection (b)(2).

``SEC. 766B. MODEL DEMONSTRATION PROGRAMS TO SUPPORT IMPROVED ACCESS TO 
                    POSTSECONDARY INSTRUCTIONAL MATERIALS FOR STUDENTS 
                    WITH PRINT DISABILITIES.

  ``(a) Purpose.--It is the purpose of this section to support model 
demonstration programs to encourage the development of systems to 
improve the timely delivery and quality of postsecondary instructional 
materials in specialized formats to students with print disabilities, 
including systems to improve efficiency and reduce duplicative efforts 
across multiple institutions of higher education.
  ``(b) In General.--The Secretary shall, on a competitive basis, award 
grants to, and enter into cooperative agreements with, a minimum of one 
partnership of two or more eligible entities to support the activities 
described in subsections (d) and (e).
  ``(c) Partnership of Eligible Entities.--In this section, a 
partnership of two or more eligible entities--
          ``(1) shall include--
                  ``(A) an institution of higher education with 
                demonstrated expertise in meeting the needs of students 
                with print disabilities, including retention and 
                completion of such students; and
                  ``(B) a public or private entity with demonstrated 
                expertise in working with the creation of accessible 
                instructional materials in specialized formats for 
                postsecondary students with print disabilities, and the 
                technical development expertise necessary for the 
                efficient dissemination of such materials, including 
                procedures to protect against copyright infringement 
                with respect to the creation, use, and distribution of 
                print course materials in specialized formats; and
          ``(2) may include one or more publishers of instructional 
        materials.
  ``(d) Required Activities.--The Secretary shall support the 
development and implementation of the following:
          ``(1) Processes and systems to help identify, and verify 
        eligibility of, postsecondary students with print disabilities 
        in need of instructional materials in specialized formats.
          ``(2) Procedures and systems to facilitate and simplify 
        request methods for accessible instructional materials in 
        specialized formats from eligible students, which may include a 
        single point-of-entry system.
          ``(3) Procedures and systems to coordinate between 
        institutions of higher education, publishers of instructional 
        materials, and entities that produce materials in specialized 
        formats, to efficiently facilitate requests for such materials, 
        the responses to such requests, and the delivery of such 
        materials.
          ``(4) Delivery systems that will ensure the timely provision 
        of instructional materials in specialized formats to eligible 
        students, which may include electronic file distribution.
          ``(5) Systems to encourage reduction of duplicative 
        conversions of the same instructional materials for multiple 
        eligible students at multiple institutions of higher education 
        when such conversions may be shared.
          ``(6) Procedures to protect against copyright infringement 
        with respect to the creation, use, and distribution of 
        instructional materials while maintaining accessibility for 
        students with print disabilities, which may include digital 
        technologies such as watermarking, fingerprinting, and other 
        emerging strategies.
          ``(7) Awareness, outreach, and training activities for 
        faculty, staff, and students related to the acquisition and 
        dissemination of instructional materials in specialized formats 
        and instructional materials utilizing universal design.
          ``(8) Evaluation of the effectiveness of the programs under 
        this section.
          ``(9) Guidance on how successful procedures and systems 
        described in paragraphs (1) through (7) could be disseminated 
        and implemented on a national basis.
  ``(e) Authorized Activities.--The Secretary may support the 
development and implementation of the following:
          ``(1) Approaches limited to instructional materials used in 
        smaller categories of postsecondary courses, such as 
        introductory, first-, and second-year courses.
          ``(2) Market-based approaches for making instructional 
        materials in specialized formats directly available to eligible 
        students at prices comparable to standard instructional 
        materials.
          ``(3) Approaches supporting a unified search across multiple 
        databases or lists of available materials.
  ``(f) Application.--A partnership of eligible entities that wishes to 
apply for a grant under this section shall submit an application for 
such grant at such time, in such manner and in such format as the 
Secretary may prescribe. The application shall include information on 
how the partnership will implement activities under subsection (d) and, 
as applicable, subsection (e).
  ``(g) Priority.--In awarding grants under this section, the Secretary 
shall give priority consideration to any applications that include 
development and implementation of the procedures and systems described 
in subsection (e)(2) or (e)(3).
  ``(h) Report to Congress.--The Secretary shall submit annually to the 
authorizing committees a report that includes--
          ``(1) the number of grants and the amount of funds 
        distributed under this section;
          ``(2) a summary of the purposes for which the grants were 
        provided and an evaluation of the progress made under such 
        grants;
          ``(3) a summary of the activities implemented under 
        subsection (d) and, as applicable, subsection (e), including 
        data on the number of students served and the number of 
        instructional material requests executed and delivered in 
        specialized formats; and
          ``(4) an evaluation of the effectiveness of programs funded 
        under this section.
  ``(i) Model Expansion.--After 3 years, the Secretary shall review the 
results of the evaluations of participating partnerships, as well as 
the Commission report described in section 766A. If the Secretary finds 
that models used under this section are effective in improving the 
timely delivery and quality of materials in specialized formats and 
provide adequate protections against copyright infringement, the 
Secretary may expand the demonstration program to additional grantees 
reflecting regional and programmatic partnerships.
  ``(j) Model Expansion Special Rule.--The Commission's recommendations 
shall be submitted to the Secretary and a public comment period shall 
be issued prior to any expansion under subsection (i). No later than 90 
days after close of public comment period, the Secretary shall issue 
guidance to new and existing grantees, taking into consideration the 
final Commission recommendations and public comments.
  ``(k) Rule of Construction.--Nothing in this subpart shall be 
construed to limit or preempt any State law requiring the production or 
distribution of postsecondary instructional materials in accessible 
formats to students with disabilities.

``SEC. 766C. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated to carry out this subpart 
such sums as may be necessary for fiscal year 2009 and each of the 4 
succeeding fiscal years.

    ``Subpart 3--Transition Programs for Students With Intellectual 
        Disabilities Into Higher Education; Coordinating Center

``SEC. 767. PURPOSE.

  ``The purpose of this subpart is to support model demonstration 
programs that promote the successful transition of students with 
intellectual disabilities into higher education.

``SEC. 768. DEFINITIONS.

  ``In this subpart:
          ``(1) Comprehensive transition and postsecondary program for 
        students with intellectual disabilities.--The term 
        `comprehensive transition and postsecondary program for 
        students with intellectual disabilities' means a degree, 
        certificate, or nondegree program that is--
                  ``(A) offered by an institution of higher education; 
                and
                  ``(B) is described in section 484(s)(3).
          ``(2) Student with an intellectual disability.--The term 
        `student with an intellectual disability' means a student who 
        meets the criteria described in paragraphs (1) through (4) of 
        section 484(s).

``SEC. 769. MODEL COMPREHENSIVE TRANSITION AND POSTSECONDARY PROGRAMS 
                    FOR STUDENTS WITH INTELLECTUAL DISABILITIES.

  ``(a) Grants Authorized.--
          ``(1) In general.--The Secretary shall annually award grants, 
        on a competitive basis, to institutions of higher education (or 
        consortia of institutions of higher education), to create or 
        expand high-quality, inclusive model comprehensive transition 
        and postsecondary programs for students with intellectual 
        disabilities.
          ``(2) Duration of grants.--A grant under this section shall 
        be awarded for a period of 5 years.
  ``(b) Application.--An institution of higher education (or a 
consortium) desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require.
  ``(c) Preference.--In awarding grants under this section, the 
Secretary shall give preference to institutions of higher education (or 
consortia) that--
          ``(1) will carry out a model program under the grant in a 
        State that does not already have a comprehensive transition and 
        postsecondary program for students with intellectual 
        disabilities; or
          ``(2) in the application submitted under subsection (b), 
        agree to incorporate 1 or more of the following elements into 
        the model programs carried out under the grant:
                  ``(A) The formation of a partnership with any 
                relevant agency serving students with intellectual 
                disabilities, such as a vocational rehabilitation 
                agency.
                  ``(B) In the case of an institution of higher 
                education that provides institutionally owned or 
                operated housing for students attending the 
                institution, the integration of students with 
                intellectual disabilities into such housing.
                  ``(C) The involvement of students attending the 
                institution of higher education who are studying 
                special education, general education, vocational 
                rehabilitation, assistive technology, or related fields 
                in the model program carried out under the grant.
  ``(d) Use of Funds.--An institution of higher education (or 
consortium) receiving a grant under this section shall use the grant 
funds to establish a model comprehensive transition and postsecondary 
program for students with intellectual disabilities that--
          ``(1) serves students with intellectual disabilities;
          ``(2) provides individual supports and services for the 
        academic and social inclusion of students with intellectual 
        disabilities in academic courses, extracurricular activities, 
        and other aspects of the institution of higher education's 
        regular postsecondary program;
          ``(3) with respect to the students with intellectual 
        disabilities participating in the model program, provides a 
        focus on--
                  ``(A) academic enrichment;
                  ``(B) socialization;
                  ``(C) independent living, including self-advocacy 
                skills; and
                  ``(D) integrated work experiences and career skills 
                that lead to gainful employment;
          ``(4) integrates person-centered planning in the development 
        of the course of study for each student with an intellectual 
        disability participating in the model program;
          ``(5) participates with the coordinating center established 
        under section 770 in the evaluation of the model program;
          ``(6) partners with 1 or more local educational agencies to 
        support the participation of students with intellectual 
        disabilities in the model program who are still eligible for 
        special education and related services under the Individuals 
        with Disabilities Education Act, including regarding the 
        utilization of funds available under part B of such Act for 
        such students;
          ``(7) plans for the sustainability of the model program after 
        the end of the grant period; and
          ``(8) creates and offers a meaningful credential for students 
        with intellectual disabilities upon the completion of the model 
        program.
  ``(e) Matching Requirement.--An institution of higher education that 
receives a grant under this section shall provide matching funds toward 
the cost of the model comprehensive transition and postsecondary 
program for students with intellectual disabilities carried out under 
the grant, which may be provided in cash or in kind, in an amount not 
less than 25 percent of the amount of such grant funds.
  ``(f) Report.--Not later than 3 years after the date of enactment of 
the College Opportunity and Affordability Act of 2007, the Secretary 
shall prepare and disseminate a report to the authorizing committees 
and to the public that reviews the activities of the model 
comprehensive transition and postsecondary programs for students with 
intellectual disabilities authorized under this subpart and provides 
guidance and recommendations on how successful programs can be 
replicated.

``SEC. 770. COORDINATING CENTER FOR TECHNICAL ASSISTANCE, EVALUATION, 
                    AND DEVELOPMENT OF ACCREDITATION STANDARDS.

  ``(a) In General.--
          ``(1) Award.--The Secretary shall, on a competitive basis, 
        enter into a cooperative agreement with an eligible entity, for 
        the purpose of establishing a coordinating center for technical 
        assistance, evaluation, and development of accreditation 
        standards for institutions of higher education that offer 
        inclusive model comprehensive transition and postsecondary 
        programs for students with intellectual disabilities.
          ``(2) Duration.--The cooperative agreement under this section 
        shall be for a period of 5 years.
  ``(b) Requirements of Cooperative Agreement.--The eligible entity 
entering into a cooperative agreement under this section shall 
establish and maintain a center that shall--
          ``(1) serve as the technical assistance entity for all model 
        comprehensive transition and postsecondary programs for 
        students with intellectual disabilities assisted under section 
        769;
          ``(2) provide technical assistance regarding the development, 
        evaluation, and continuous improvement of such programs;
          ``(3) develop an evaluation protocol for such programs that 
        includes qualitative and quantitative methodology measuring 
        student outcomes and program strengths in the areas of academic 
        enrichment, socialization, independent living, and competitive 
        or supported employment;
          ``(4) assist recipients of grants under section 769 in 
        efforts to award a meaningful credential to students with 
        intellectual disabilities upon the completion of such programs, 
        which credential takes into consideration unique State factors;
          ``(5) develop model criteria, standards, and procedures to be 
        used in accrediting such programs that--
                  ``(A) include, in the development of the model 
                criteria, standards, and procedures for such programs, 
                the participation of--
                          ``(i) an expert in higher education;
                          ``(ii) an expert in special education;
                          ``(iii) a disability organization that 
                        represents students with intellectual 
                        disabilities; and
                          ``(iv) a national, State, or regional 
                        accrediting agency or association recognized by 
                        the Secretary under subpart 2 of part H of 
                        title IV; and
                  ``(B) define the necessary components of such 
                programs, such as--
                          ``(i) academic, vocational, social, and 
                        independent living skills;
                          ``(ii) evaluation of student progress;
                          ``(iii) program administration and 
                        evaluation;
                          ``(iv) student eligibility; and
                          ``(v) issues regarding the equivalency of a 
                        student's participation in such programs to 
                        semester, trimester, quarter, credit, or clock 
                        hours at an institution of higher education, as 
                        the case may be;
          ``(6) analyze possible funding streams for such programs and 
        provide recommendations regarding funding streams;
          ``(7) develop model memoranda of agreement between 
        institutions of higher education and agencies providing funding 
        for such programs;
          ``(8) develop mechanisms for regular communication between 
        the recipients of grants under section 769 regarding such 
        programs; and
          ``(9) host a meeting of all recipients of grants under 
        section 769 not less often than once each year.
  ``(c) Definition of Eligible Entity.--In this section, the term 
`eligible entity' means an entity, or a partnership of entities, that 
has demonstrated expertise in the fields of higher education, students 
with intellectual disabilities, the development of comprehensive 
transition and postsecondary programs for students with intellectual 
disabilities, evaluation, and technical assistance.

``SEC. 770A. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated such sums as may be 
necessary to carry out this subpart for fiscal year 2009 and each of 
the 4 succeeding fiscal years.''.
  (f) Conforming Amendments.--Part D of title VII (20 U.S.C. 1140 et 
seq.) is further amended--
          (1) in section 761, by striking ``part'' and inserting 
        ``subpart'';
          (2) in section 762 (as amended by subsection (a)), by 
        striking ``part'' each place the term appears and inserting 
        ``subpart'';
          (3) in section 763, in the matter preceding paragraph (1), by 
        striking ``part'' and inserting ``subpart'';
          (4) in section 764, by striking ``part'' and inserting 
        ``subpart''; and
          (5) in section 765, by striking ``part'' and inserting 
        ``subpart''.

SEC. 708. SUBGRANTS TO NONPROFIT ORGANIZATIONS.

  Section 771(e) (20 U.S.C. 1141(e)), as added by section 802 of the 
College Cost Reduction and Access Act of 2007, is amended by inserting 
after ``of this Act)'' the following: ``, or those who have agreements 
with the Secretary under section 435(d)(5)(J)''.

SEC. 709. NURSING EDUCATION.

  Title VII (20 U.S.C. 1133 et seq.) is further amended by adding at 
the end the following new part:

                      ``PART F--NURSING EDUCATION

``SEC. 776. ADDITIONAL CAPACITY FOR R.N. STUDENTS OR GRADUATE-LEVEL 
                    NURSING STUDENTS.

  ``(a) Authorization.--The Secretary shall award grants to 
institutions of higher education that offer--
          ``(1) a R.N. nursing program at the baccalaureate or 
        associate degree level to enable such program to expand the 
        faculty and facilities of such program to accommodate 
        additional R.N. nursing program students; or
          ``(2) a graduate-level nursing program to accommodate 
        advanced practice degrees for Registered Nurses or to 
        accommodate students enrolled in a graduate-level nursing 
        program to provide teachers of nursing students.
  ``(b) Determination of Number of Students and Application.--Each 
institution of higher education that offers a program described in 
subsection (a) that desires to receive a grant under this section 
shall--
          ``(1) determine for the 4 academic years preceding the 
        academic year for which the determination is made the average 
        number of matriculated nursing program students at such 
        institution for such academic years; and
          ``(2) submit an application to the Secretary at such time, in 
        such manner, and accompanied by such information as the 
        Secretary may require, including the average number determined 
        under paragraph (1).
  ``(c) Grant Amount; Award Basis.--
          ``(1) Grant amount.--For each academic year after academic 
        year 2008-2009, the Secretary is authorized to provide to each 
        institution of higher education awarded a grant under this 
        section an amount that is equal to $3,000 multiplied by the 
        number of matriculated nursing program students at such 
        institution for such academic year that is more than the 
        average number determined with respect to such institution 
        under subsection (b)(1). Such amount shall be used for the 
        purposes described in subsection (a).
          ``(2) Distribution of grants among different degree 
        programs.--
                  ``(A) In general.--Subject to subparagraph (B), from 
                the funds available to award grants under this section 
                for each fiscal year, the Secretary shall--
                          ``(i) use 20 percent of such funds to award 
                        grants under this section to institutions of 
                        higher education for the purpose of 
                        accommodating advanced practice degrees or 
                        students in graduate-level nursing programs;
                          ``(ii) use 40 percent of such funds to award 
                        grants under this section to institutions of 
                        higher education for the purpose of expanding 
                        R.N. nursing programs at the baccalaureate 
                        degree level; and
                          ``(iii) use 40 percent of such funds to award 
                        grants under this section to institutions of 
                        higher education for the purpose of expanding 
                        R.N. nursing programs at the associate degree 
                        level.
                  ``(B) Distribution of excess funds.--If, for a fiscal 
                year, funds described in clause (i), (ii), or (iii) of 
                subparagraph (A) remain available after the Secretary 
                awards grants under this section to all applicants for 
                the particular category of nursing programs described 
                in such clause, the Secretary shall use equal amounts 
                of the remaining funds to award grants under this 
                section to applicants for the remaining categories of 
                nursing programs.
                  ``(C) Equitable distribution.--In awarding grants 
                under this section, the Secretary shall, to the extent 
                practicable, ensure--
                          ``(i) an equitable geographic distribution of 
                        the grants among the States; and
                          ``(ii) an equitable distribution of the 
                        grants among different types of institutions of 
                        higher education.
  ``(d) Prohibition.--
          ``(1) Use of funds.--Funds provided under this section may 
        not be used for the construction of new facilities.
          ``(2) Rule of construction.--Nothing in paragraph (1) shall 
        be construed to prohibit funds provided under this section from 
        being used for the repair or renovation of facilities.

``SEC. 777. NURSE FACULTY PILOT PROJECT.

  ``(a) Purposes.--The purposes of this section are to create a pilot 
program--
          ``(1) to provide scholarships to qualified nurses in pursuit 
        of an advanced degree with the goal of becoming faculty members 
        in an accredited nursing program; and
          ``(2) to provide grants to partnerships between accredited 
        schools of nursing and hospitals or health facilities to fund 
        release time for qualified nurse employees, so that those 
        employees can earn a salary while obtaining an advanced degree 
        in nursing with the goal of becoming nurse faculty.
  ``(b) Assistance Authorized.--
          ``(1) Competitive grants authorized.--The Secretary may, on a 
        competitive basis, award grants to, and enter into contracts 
        and cooperative agreements with, partnerships composed of an 
        accredited school of nursing at an institution of higher 
        education and a hospital or health facility to establish not 
        more than 5 pilot projects to enable such hospital or health 
        facility to retain its staff of experienced nurses while 
        providing a mechanism to have such nurses become, through an 
        accelerated nursing education program, faculty members of an 
        accredited school of nursing.
          ``(2) Duration; evaluation and dissemination.--
                  ``(A) Duration.--Grants under this section shall be 
                awarded for a period of 3 to 5 years.
                  ``(B) Mandatory evaluation and dissemination.--Grants 
                under this section shall be primarily used for 
                evaluation, and dissemination to other institutions of 
                higher education, of the information obtained through 
                the activities described in subsection (a)(2).
          ``(3) Considerations in making awards.--In awarding grants 
        and entering into contracts and cooperative agreements under 
        this section, the Secretary shall consider the following:
                  ``(A) Geographic distribution.--Providing an 
                equitable geographic distribution of such grants.
                  ``(B) Rural and urban areas.--Distributing such 
                grants to urban and rural areas.
                  ``(C) Range and type of institution.--Ensuring that 
                the activities to be assisted are developed for a range 
                of types and sizes of institutions of higher education.
                  ``(D) Prior experience or exceptional programs.--The 
                extent to which institutions of higher education have 
                demonstrated prior experience in providing advanced 
                nursing education programs to prepare nurses interested 
                in pursuing a faculty role.
          ``(4) Uses of funds.--Funds made available by grant, 
        contract, or cooperative agreement under this section may be 
        used--
                  ``(A) to develop a new national demonstration 
                initiative to align nursing education with the emerging 
                challenges of healthcare delivery; and
                  ``(B) for any one or more of the following 
                innovations in educational programs:
                          ``(i) To develop a clinical simulation 
                        laboratory in a hospital, health facility, or 
                        accredited school of nursing.
                          ``(ii) To purchase distance learning 
                        technologies.
                          ``(iii) To fund release time for qualified 
                        nurses enrolled in the graduate nursing 
                        program.
                          ``(iv) To provide for faculty salaries.
                          ``(v) To collect and analyze data on 
                        educational outcomes.
  ``(c) Applications.--Each partnership desiring to receive a grant, 
contract, or cooperative agreement under this section shall submit an 
application to the Secretary at such time, in such manner, and 
accompanied by such information as the Secretary may require. Each 
application shall include assurances that--
          ``(1) the individuals enrolled in the program will be 
        qualified nurses in pursuit of a master's or doctoral degree in 
        nursing and have a contractual obligation with the hospital or 
        health facility that is in partnership with the institution of 
        higher education;
          ``(2) the hospital or health facility of employment will be 
        the clinical site for the accredited school of nursing program;
          ``(3) individuals enrolled in the program will maintain their 
        employment on a part-time basis with the hospital or health 
        facility that allowed them to participate in the program, and 
        will receive an income from the hospital or health facility, as 
        a part-time employee, and release times or flexible schedules 
        to accommodate their class schedule; and
          ``(4) upon completion of the program, such individuals will 
        be required to teach for 2 years in an accredited school of 
        nursing for each year of support the individual received under 
        this program.
  ``(d) Definition.--For purposes of this section, the term `health 
facility' means an Indian Health Service center, a Native Hawaiian 
health center, a hospital, a federally qualified health center, a rural 
health clinic, a nursing home, a home health agency, a hospice program, 
a public health clinic, a State or local department of public health, a 
skilled nursing facility, or an ambulatory surgical center.
  ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section not more than $10,000,000 for 
fiscal year 2009 and such sums as may be necessary for each of the 4 
succeeding fiscal years.''.

SEC. 710. NATIONAL STUDY ON HIGHER EDUCATION ACCESS AND SUCCESS FOR 
                    STUDENTS WITH DISABILITIES.

  (a) Study.--The Comptroller General shall conduct a study of the 
barriers to, and opportunities for, the full participation of students 
with disabilities in institutions of higher education. The study shall 
address--
          (1) the extent to which, and manner in which, students with 
        disabilities are--
                  (A) prepared to participate in postsecondary 
                education upon enrollment;
                  (B) applying to different types of institutions of 
                higher education;
                  (C) accepted into different types of institutions of 
                higher education;
                  (D) enrolling in and attending different types of 
                institutions of higher education;
                  (E) utilizing financial aid programs; and
                  (F) completing programs of study at different types 
                of institutions of higher education;
          (2) factors that influence the accessibility of higher 
        education for a broad spectrum of students with different 
        disabilities, including--
                  (A) physical access;
                  (B) communication and outreach in accessible formats, 
                including websites, admissions information, financial 
                aid information, and other general information;
                  (C) availability of accessible instructional 
                materials in a timely manner;
                  (D) financial factors; and
                  (E) eligibility for, and ability to access, adequate 
                support services;
          (3) the effectiveness and capacity of disability support 
        services in helping to recruit, retain, and support students 
        with disabilities to complete their programs of study, and the 
        role of disability support services relative to other 
        departments in institutions of higher education, including--
                  (A) the number of staff working in disability support 
                services offices;
                  (B) the budgets of disability support services 
                offices; and
                  (C) the placement of the disability support services 
                offices within the administrative structure of the 
                institutions of higher education;
          (4) the extent to which institutions of higher education 
        provide assistance to students with disabilities to coordinate 
        with, and receive services from, other support programs that 
        may be available to such students, including services provided 
        by local educational agencies, vocational rehabilitation 
        agencies, Social Security, Medicaid, and other Federal, State, 
        and local programs; and
          (5) in institutions of higher education that have been 
        effective in recruiting and graduating students with 
        disabilities, the factors that may contribute to such 
        effectiveness, including--
                  (A) faculty and staff preparation related to working 
                with students with disabilities;
                  (B) program characteristics;
                  (C) accommodations and supports available; and
                  (D) any other relevant factors.
  (b) Report.--The Comptroller General shall submit a report regarding 
the results of the study under subsection (a) to the authorizing 
committees (as defined in section 103 of the Higher Education Act of 
1965 (20 U.S.C. 1003)) no later than 24 months after the date of the 
enactment of this Act.

                    TITLE VIII--ADDITIONAL PROGRAMS

SEC. 801. ADDITIONAL PROGRAMS.

  The Higher Education Act of 1965 is further amended by adding at the 
end the following new title:

                   ``TITLE VIII--ADDITIONAL PROGRAMS

``SEC. 800. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated to carry out this title 
such sums as may be necessary for fiscal year 2009 and each of the 4 
succeeding fiscal years.

                         ``PART A--LOW TUITION

``SEC. 801. INCENTIVES AND REWARDS FOR LOW TUITION.

  ``(a) Rewards for Low Tuition.--
          ``(1) Competitive grants.--From funds made available under 
        section 800, the Secretary shall award grants on a competitive 
        basis to institutions of higher education that, for academic 
        year 2008-2009 or any succeeding academic year, have an annual 
        net tuition increase (expressed as a percentage) for the most 
        recent academic year for which satisfactory data is available 
        that is equal to or less than the percentage change in the 
        higher education price index for such academic year.
          ``(2) Use of funds.--Funds awarded to an institution of 
        higher education under paragraph (1) shall be distributed by 
        the institution in the form of need-based grant aid to students 
        who are eligible for Federal Pell Grants, except that no 
        student shall receive an amount under this section that would 
        cause the amount of total financial aid received by such 
        student to exceed the cost of attendance of the institution.
  ``(b) Rewards for Guaranteed Tuition.--
          ``(1) Bonus.--For each institution of higher education that 
        the Secretary determines complies with the requirements of 
        paragraph (2) or (3) of this subsection, the Secretary shall 
        provide to such institution a bonus amount. Such institution 
        shall award the bonus amount in the form of need-based aid 
        first to students who are eligible for Federal Pell Grants who 
        were in attendance at the institution during the award year 
        that such institution satisfied the eligibility criteria for 
        maintaining low tuition and fees, then to students who are 
        eligible for Federal Pell Grants who were not in attendance at 
        the institution during such award year.
          ``(2) 4-year institutions.--An institution of higher 
        education that provides a program of instruction for which it 
        awards a bachelor's degree complies with the requirements of 
        this paragraph if such institution guarantees that for any 
        academic year (or the equivalent) beginning on or after July 1, 
        2008, and for each of the 4 succeeding continuous academic 
        years, the net tuition charged to an undergraduate student will 
        not exceed--
                  ``(A) the amount that the student was charged for an 
                academic year at the time he or she first enrolled in 
                the institution of higher education, plus
                  ``(B) the product of the percentage increase in the 
                higher education price index for the prior academic 
                year, or the most recent prior academic year for which 
                data is available, multiplied by the amount determined 
                under subparagraph (A).
          ``(3) Less-than 4-year institutions.--An institution of 
        higher education that does not provide a program of instruction 
        for which it awards a bachelor's degree complies with the 
        requirements of this paragraph if such institution guarantees 
        that for any academic year (or the equivalent) beginning on or 
        after July 1, 2008, and for each of the 1.5 succeeding 
        continuous academic years, the net tuition charged to an 
        undergraduate student will not exceed--
                  ``(A) the amount that the student was charged for an 
                academic year at the time he or she first enrolled in 
                the institution of higher education, plus
                  ``(B) the product of the percentage increase in the 
                higher education price index for the prior academic 
                year, or the most recent prior academic year for which 
                data is available, multiplied by the amount determined 
                under subparagraph (A).
  ``(c) Maintaining Affordable Tuition.--
          ``(1) Institution reports.--If an institution of higher 
        education has an increase in annual net tuition (expressed as a 
        percentage), for the most recent academic year for which 
        satisfactory data is available, that is greater than the 
        percentage increase in the higher education price index for 
        such academic year, the institution or a representative 
        association is required to submit to the Secretary the 
        following information, within 6 months of such determination:
                  ``(A) A report on the factors contributing to the 
                increase in the institution's costs and the increase in 
                net tuition and fees charged to students, including 
                identification of the major areas in the institution's 
                budget with the greatest cost increases.
                  ``(B) The institution's 3 most recent Form 990s 
                submitted to the Internal Revenue Service, as required 
                under section 6033 of the Internal Revenue Code of 
                1986.
                  ``(C) A description of the major areas of 
                expenditures in the institution's budget with the 
                greatest increase for such academic year.
                  ``(D) A description of actions being taken by the 
                institution to reduce net tuition.
          ``(2) Report to congress.--The Secretary shall compile the 
        information submitted under this subsection and shall provide 
        to the authorizing committees an annual report relating to such 
        information.
  ``(d) Definitions.--In this section:
          ``(1) Net tuition.--The term `net tuition' means the average 
        tuition and fees charged to a full-time undergraduate student 
        by an institution of higher education for an academic year, 
        minus the average grant amount received by such a student for 
        such academic year.
          ``(2) Higher education price index.--The term `higher 
        education price index' means the higher education price index 
        developed pursuant to section 133(b).

                    ``PART B--COOPERATIVE EDUCATION

``SEC. 811. STATEMENT OF PURPOSE; DEFINITION.

  ``(a) Purpose.--It is the purpose of this part to award grants to 
institutions of higher education or combinations of such institutions 
to encourage such institutions to develop and make available to as many 
of their students as possible work experience that will aid such 
students in future careers and will enable such students to support 
themselves financially while in school.
  ``(b) Definition.--In this part the term `cooperative education' 
means the provision of alternating or parallel periods of academic 
study and public or private employment to give students work 
experiences related to their academic or occupational objectives and an 
opportunity to earn the funds necessary for continuing and completing 
their education.

``SEC. 812. RESERVATIONS.

  ``(a) Reservations.--Of the amount appropriated to carry out this 
part under section 800 in each fiscal year--
          ``(1) not less than 50 percent shall be available for 
        awarding grants to institutions of higher education and 
        combinations of such institutions described in section 
        813(a)(1)(A) for cooperative education under section 813;
          ``(2) not less than 25 percent shall be available for 
        awarding grants to institutions of higher education described 
        in section 813(a)(1)(B) for cooperative education under section 
        813;
          ``(3) not to exceed 11 percent shall be available for 
        demonstration projects under paragraph (1) of section 814(a);
          ``(4) not to exceed 11 percent shall be available for 
        training and resource centers under paragraph (2) of section 
        814(a); and
          ``(5) not to exceed 3 percent shall be available for research 
        under paragraph (3) of section 814(a).
  ``(b) Availability of Appropriations.--Appropriations under this part 
shall not be available for the payment of compensation of students for 
employment by employers under arrangements pursuant to this part.

``SEC. 813. GRANTS FOR COOPERATIVE EDUCATION.

  ``(a) Grants Authorized.--
          ``(1) In general.--The Secretary is authorized, from the 
        amount available to carry out this part under section 800 in 
        each fiscal year and in accordance with the provisions of this 
        part--
                  ``(A) to award grants to institutions of higher 
                education or combinations of such institutions that 
                have not received a grant under this paragraph in the 
                10-year period preceding the date for which a grant 
                under this section is requested to pay the Federal 
                share of the cost of planning, establishing, expanding, 
                or carrying out programs of cooperative education by 
                such institutions or combinations of institutions; and
                  ``(B) to award grants to institutions of higher 
                education that are operating an existing cooperative 
                education program as determined by the Secretary to pay 
                the cost of planning, establishing, expanding, or 
                carrying out programs of cooperative education by such 
                institutions.
          ``(2) Program requirement.--Cooperative education programs 
        assisted under this section shall provide alternating or 
        parallel periods of academic study and of public or private 
        employment, giving students work experience related to their 
        academic or occupational objectives and the opportunity to earn 
        the funds necessary for continuing and completing their 
        education.
          ``(3) Amount of grants.--
                  ``(A) The amount of each grant awarded pursuant to 
                paragraph (1)(A) to any institution of higher education 
                or combination of such institutions in any fiscal year 
                shall not exceed $500,000.
                  ``(B)(i) Except as provided in clauses (ii) and 
                (iii), the Secretary shall award grants in each fiscal 
                year to each institution of higher education described 
                in paragraph (1)(B) that has an application approved 
                under subsection (b) in an amount which bears the same 
                ratio to the amount reserved pursuant to section 
                812(a)(2) for such fiscal year as the number of 
                unduplicated students placed in cooperative education 
                jobs during the preceding fiscal year by such 
                institution of higher education (other than cooperative 
                education jobs under section 814 and as determined by 
                the Secretary) bears to the total number of all such 
                students placed in such jobs during the preceding 
                fiscal year by all such institutions.
                  ``(ii) No institution of higher education shall 
                receive a grant pursuant to paragraph (1)(B) in any 
                fiscal year in an amount which exceeds 25 percent of 
                such institution's cooperative education program's 
                personnel and operating budget for the preceding fiscal 
                year.
                  ``(iii) The minimum annual grant amount which an 
                institution of higher education is eligible to receive 
                under paragraph (1)(B) is $1,000 and the maximum annual 
                grant amount is $75,000.
          ``(4) Limitation.--The Secretary shall not award grants 
        pursuant to paragraphs (1)(A) and (B) to the same institution 
        of higher education or combination of such institution in any 
        one fiscal year.
          ``(5) Uses.--Grants under paragraph (1)(B) shall be used 
        exclusively--
                  ``(A) to expand the quality of and participation in a 
                cooperative education program;
                  ``(B) for outreach in new curricular areas; and
                  ``(C) for outreach to potential participants 
                including underrepresented and nontraditional 
                populations.
  ``(b) Applications.--Each institution of higher education or 
combination of such institutions desiring to receive a grant under this 
section shall submit an application to the Secretary at such time and 
in such manner as the Secretary shall prescribe. Each such application 
shall--
          ``(1) set forth the program or activities for which a grant 
        is authorized under this section;
          ``(2) specify each portion of such program or activities 
        which will be performed by a nonprofit organization or 
        institution other than the applicant, and the compensation to 
        be paid for such performance;
          ``(3) provide that the applicant will expend during the 
        fiscal year for which the grant is awarded for the purpose of 
        such program or activities not less than the amount expended 
        for such purpose during the previous fiscal year;
          ``(4) describe the plans which the applicant will carry out 
        to assure, and contain a formal statement of the institution's 
        commitment which assures, that the applicant will continue the 
        cooperative education program beyond the 5-year period of 
        Federal assistance described in subsection (c)(1) at a level 
        which is not less than the total amount expended for such 
        program during the first year such program was assisted under 
        this section;
          ``(5) provide that, in the case of an institution of higher 
        education that provides a 2-year program which is acceptable 
        for full credit toward a bachelor's degree, the cooperative 
        education program will be available to students who are 
        certificate or associate degree candidates and who carry at 
        least one-half of the normal full-time academic workload;
          ``(6) provide that the applicant will--
                  ``(A) make such reports as may be necessary to ensure 
                that the applicant is complying with the provisions of 
                this section, including reports for the second and each 
                succeeding fiscal year for which the applicant receives 
                a grant with respect to the impact of the cooperative 
                education program in the previous fiscal year, 
                including--
                          ``(i) the number of unduplicated student 
                        applicants in the cooperative education 
                        program;
                          ``(ii) the number of unduplicated students 
                        placed in cooperative education jobs;
                          ``(iii) the number of employers who have 
                        hired cooperative education students;
                          ``(iv) the income for students derived from 
                        working in cooperative education jobs; and
                          ``(v) the increase or decrease in the number 
                        of unduplicated students placed in cooperative 
                        education jobs in each fiscal year compared to 
                        the previous fiscal year; and
                  ``(B) keep such records as may be necessary to ensure 
                that the applicant is complying with the provisions of 
                this part, including the notation of cooperative 
                education employment on the student's transcript;
          ``(7) describe the extent to which programs in the academic 
        disciplines for which the application is made have had a 
        favorable reception by public and private sector employers;
          ``(8) describe the extent to which the institution is 
        committed to extending cooperative education on an institution-
        wide basis for all students who can benefit;
          ``(9) describe the plans that the applicant will carry out to 
        evaluate the applicant's cooperative education program at the 
        end of the grant period;
          ``(10) provide for such fiscal control and fund accounting 
        procedures as may be necessary to assure proper disbursement 
        of, and accounting for, Federal funds paid to the applicant 
        under this part;
          ``(11) demonstrate a commitment to serving all underserved 
        populations at the institution; and
          ``(12) include such other information as may be necessary to 
        carry out the provisions of this part.
  ``(c) Duration of Grants; Federal Share.--
          ``(1) Duration of grants.--No individual institution of 
        higher education may receive, individually or as a participant 
        in a combination of such institutions--
                  ``(A) a grant pursuant to subsection (a)(1)(A) for 
                more than 5 fiscal years; or
                  ``(B) a grant pursuant to subsection (a)(1)(B) for 
                more than 5 fiscal years.
          ``(2) Federal share.--The Federal share of a grant under 
        subsection (a)(1)(A) may not exceed--
                  ``(A) 85 percent of the cost of carrying out the 
                program or activities described in the application in 
                the first year the applicant receives a grant under 
                this section;
                  ``(B) 70 percent of such cost in the second such 
                year;
                  ``(C) 55 percent of such cost in the third such year;
                  ``(D) 40 percent of such cost in the fourth such 
                year; and
                  ``(E) 25 percent of such cost in the fifth such year.
          ``(3) Special rule.--Any provision of law to the contrary 
        notwithstanding, the Secretary shall not waive the provisions 
        of this subsection.
  ``(d) Maintenance of Effort.--If the Secretary determines that a 
recipient of funds under this section has failed to maintain the fiscal 
effort described in subsection (b)(3), then the Secretary may elect not 
to make grant payments under this section to such recipient.
  ``(e) Factors for Special Consideration of Applications.--
          ``(1) In general.--In approving applications under this 
        section, the Secretary shall give special consideration to 
        applications from institutions of higher education or 
        combinations of such institutions for programs which show the 
        greatest promise of success because of--
                  ``(A) the extent to which programs in the academic 
                discipline with respect to which the application is 
                made have had a favorable reception by public and 
                private sector employers;
                  ``(B) the strength of the commitment of the 
                institution of higher education or combination of such 
                institutions to cooperative education as demonstrated 
                by the plans and formalized institutional commitment 
                statement which such institution or combination has 
                made to continue the program after the termination of 
                Federal financial assistance;
                  ``(C) the extent to which the institution or 
                combination of institutions is committed to extending 
                cooperative education for all students who can benefit; 
                and
                  ``(D) such other factors as are consistent with the 
                purposes of this section.
          ``(2) Additional special consideration.--The Secretary shall 
        also give special consideration to applications from 
        institutions of higher education or combinations of such 
        institutions which demonstrate a commitment to serving all 
        underserved populations attending such institutions.

``SEC. 814. DEMONSTRATION AND INNOVATION PROJECTS; TRAINING AND 
                    RESOURCE CENTERS; AND RESEARCH.

  ``(a) Authorization.--The Secretary is authorized, in accordance with 
the provisions of this section, to make grants and enter into 
contracts--
          ``(1) from the amounts available in each fiscal year under 
        section 812(a)(3), for the conduct of demonstration projects 
        designed to demonstrate or determine the feasibility or value 
        of innovative methods of cooperative education;
          ``(2) from the amounts available in each fiscal year under 
        section 812(a)(4), for the conduct of training and resource 
        centers designed to--
                  ``(A) train personnel in the field of cooperative 
                education;
                  ``(B) improve materials used in cooperative education 
                programs if such improvement is conducted in 
                conjunction with other activities described in this 
                paragraph;
                  ``(C) furnish technical assistance to institutions of 
                higher education to increase the potential of the 
                institution to continue to conduct a cooperative 
                education program without Federal assistance;
                  ``(D) encourage model cooperative education programs 
                which furnish education and training in occupations in 
                which there is a national need;
                  ``(E) support partnerships under which an institution 
                carrying out a comprehensive cooperative education 
                program joins with one or more institutions of higher 
                education in order to (i) assist the institution that 
                is not the institution carrying out the cooperative 
                education program to develop and expand an existing 
                program of cooperative education, or (ii) establish and 
                improve or expand comprehensive cooperative education 
                programs; and
                  ``(F) encourage model cooperative education programs 
                in the fields of science and mathematics for women and 
                minorities who are underrepresented in such fields; and
          ``(3) from the amounts available in each fiscal year under 
        section 812(a)(5), for the conduct of research relating to 
        cooperative education.
  ``(b) Administrative Provision.--
          ``(1) In general.--To carry out this section, the Secretary 
        may--
                  ``(A) make grants to or contracts with institutions 
                of higher education, or combinations of such 
                institutions; and
                  ``(B) make grants to or contracts with other public 
                or private nonprofit agencies or organizations, 
                whenever such grants or contracts will make an 
                especially significant contribution to attaining the 
                objectives of this section.
          ``(2) Limitation.--
                  ``(A) The Secretary may not use more than 3 percent 
                of the amount appropriated to carry out this section in 
                each fiscal year to enter into contracts described in 
                paragraph (1)(A).
                  ``(B) The Secretary may use not more than 3 percent 
                of the amount appropriated to carry out this section in 
                each fiscal year to enter into contracts described in 
                paragraph (1)(B).
  ``(c) Supplement Not Supplant.--A recipient of a grant or contract 
under this section may use the funds provided only so as to supplement 
and, to the extent possible, increase the level of funds that would, in 
the absence of such funds, be made available from non-Federal sources 
to carry out the activities supported by such grant or contract, and in 
no case to supplant such funds from non-Federal sources.

                  ``PART C--COLLEGE PARTNERSHIP GRANTS

``SEC. 821. COLLEGE PARTNERSHIP GRANTS AUTHORIZED.

  ``(a) Grants Authorized.--From the amount appropriated to carry out 
this part under section 800, the Secretary shall award grants to 
eligible partnerships for the purposes of developing and implementing 
articulation agreements.
  ``(b) Eligible Partnerships.--For purposes of this part, an eligible 
partnership shall include at least two institutions of higher 
education, or a system of institutions of higher education, and may 
include either or both of the following:
          ``(1) A consortia of institutions of higher education.
          ``(2) A State higher education agency.
  ``(c) Priority.--The Secretary shall give priority to eligible 
partnerships that--
          ``(1) are located in a State that is in compliance with 
        section 486A; or
          ``(2) include--
                  ``(A) 1 or more junior or community colleges (as 
                defined by section 312(f) of this Act) that award 
                associate's degrees; and
                  ``(B) 1 or more institutions of higher education that 
                offer a baccalaureate or post baccalaureate degree not 
                awarded by the institutions described in subparagraph 
                (A) with which it is partnered.
  ``(d) Mandatory Use of Funds.--Grants awarded under this part shall 
be used for--
          ``(1) the development of policies and programs to expand 
        opportunities for students to earn bachelor's degrees, by 
        facilitating the transfer of academic credits between 
        institutions and expanding articulation and guaranteed transfer 
        agreements between institutions of higher education, including 
        through common course numbering and general education core 
        curriculum;
          ``(2) academic program enhancements; and
          ``(3) programs to identify and remove barriers that inhibit 
        student transfers, including technological and informational 
        programs.
  ``(e) Optional Use of Funds.--Grants awarded under this part may be 
used for--
          ``(1) support services to students participating in the 
        program, such as tutoring, mentoring, and academic and personal 
        counseling; and
          ``(2) any service that facilitates the transition of students 
        between the partner institutions.
  ``(f) Prohibition.--No funds provided under this section shall be 
used to financially compensate an institution for the purposes of 
entering into an articulation agreement or for accepting students 
transferring into such institution.
  ``(g) Applications.--Any eligible partnership that desires to obtain 
a grant under this section shall submit to the Secretary an application 
at such time, in such manner, and containing such information or 
assurances as the Secretary may require.
  ``(h) Regulations.--The Secretary shall prescribe such regulations as 
may be necessary to carry out this section.
  ``(i) Definition.--For purposes of this section, the term 
`articulation agreement' means an agreement between institutions of 
higher education that specifies the acceptability of courses in 
transfer toward meeting specific degree requirements.

                    ``PART D--STUDENT SUCCESS GRANTS

``SEC. 826. STUDENT SUCCESS GRANTS.

  ``(a) Authorization of Pilot Program.--From the amount appropriated 
to carry out this part under section 800, the Secretary is authorized 
to award grants on a competitive basis to eligible institutions for the 
purposes of helping low-income students succeed in persisting in and 
completing postsecondary education and training programs.
  ``(b) Definitions.--
          ``(1) Eligible institution.--In this section, the term 
        `eligible institution' means an institution of higher education 
        in which, during the three-year period preceding the year in 
        which the institution is applying for a grant under this 
        section, an average of not less than 50 percent of the 
        institution's entering first-year students are enrolled in 
        developmental courses to bring reading, writing, or mathematics 
        skills up to college-level.
          ``(2) Eligible student.--In this section, the term `eligible 
        student' means a student who--
                  ``(A) is eligible to receive assistance under section 
                401;
                  ``(B) is a first-year student at the time of entering 
                the pilot program; and
                  ``(C) is selected by an eligible institution to 
                participate in the pilot program.
  ``(c) Application.--An eligible institution seeking a grant under 
this section shall submit an application to the Secretary at such time, 
in such manner, and containing such information as the Secretary may 
require.
  ``(d) Student Success Grant Amount.--For an award year, each 
institution selected to participate in this pilot program shall receive 
an amount equal to $1,500 multiplied by the number of students the 
institution selects to participate in the pilot program in such year. 
An institution shall not select more than 200 students to participate 
in the pilot program under this section during such year.
  ``(e) Priority for Replication of Evidence-Based Policies and 
Practices.--The Secretary shall give priority to applications submitted 
by eligible institutions that propose to replicate policies and 
practices that have proven effective in increasing persistence and 
completion by low-income students or students in need of developmental 
education.
  ``(f) Peer Review.--The Secretary shall convene a peer review process 
to review applications for grants under this section and to make 
recommendations to the Secretary regarding the selection of grantees. 
Members of the peer review committee shall include researchers and 
practitioners who are recognized experts on services and policies to 
increase low income student success in postsecondary education and 
training. No member of the committee shall be in a position to benefit 
financially from the grants to eligible institutions under subsection 
(d).
  ``(g) Mandatory Uses.--An eligible institution that receives a grant 
under this section shall use the grant funds to assign a Student 
Success Coach to every first-year student participating in the pilot 
program to provide intensive career and academic advising, ongoing 
personal help in navigating college services such as financial aid and 
registration, and assistance in connecting to community resources that 
can help students overcome family and personal challenges to success. 
Student Success Coaches--
          ``(1) shall work with not more than 50 new students during 
        any academic period;
          ``(2) may be employees of academic departments, student 
        services offices, community-based organizations, or other 
        entities as deemed appropriate by the institution; and
          ``(3) shall meet with each eligible student selected for the 
        pilot program before registration for courses.
  ``(h) Permissible Uses.--An eligible institution that receives a 
grant under this section may use the grant funds to provide services 
and program innovations for students participating in the pilot, 
including the following:
          ``(1) College and career success courses, with tuition and 
        fees for the course covered by the Student Success Grant. These 
        courses may cover college success topics, including how to take 
        notes, how to study, how to take tests, and how to budget time, 
        and may also include a substantial career exploration 
        component. Institutions may use such courses to help students 
        develop a College and Career Success Plan so that by the end of 
        the first semester the students have a clear sense of their 
        career goals and what classes to take to achieve such goals.
          ``(2) Work-study jobs with private employers in the students' 
        fields of study.
          ``(3) Learning communities that ensure that students 
        participating in the pilot are clustered together for at least 
        two courses beginning in the first semester after enrolling and 
        have other opportunities to create and maintain bonds that 
        allow them to provide academic and social support to each 
        other.
          ``(4) Curricular redesign, which may include such innovations 
        as `blended' or accelerated remediation classes that help 
        Student Success Grant recipients to attain college-level 
        reading, writing, math skills (or a combination thereof) more 
        rapidly than traditional remediation formats allow, and 
        intensive skills refresher classes, offered prior to each 
        semester, to help students who have tested into remedial 
        coursework to reach entry level assessment scores for the 
        postsecondary programs they wish to enter.
          ``(5) Instructional support, such as learning labs, 
        supplemental instruction, and tutoring.
          ``(6) Assistance with support services, such as child care 
        and transportation.
  ``(i) Grant Period; Additional Technical Assistance.--
          ``(1) Grant period.--Grants made under this section shall be 
        for a period of not less than 60 months.
          ``(2) Additional technical assistance.--After 36 months, the 
        Secretary shall review the performance of the Student Success 
        Grant pilot program students at each institution, and if no 
        significant improvements have been made by Student Success 
        Grant pilot program students in persistence and completion at 
        an institution, then the Secretary shall provide additional 
        technical assistance to help the institution improve outcomes.
  ``(j) Required Non-Federal Share.--
          ``(1) In general.--Each institution participating in the 
        pilot program under this section shall provide a non-Federal 
        match of 25 percent of the amount of grant to carry out the 
        activities of the pilot program. The non-Federal share under 
        this section may be provided in cash or in kind.
          ``(2) Effect on need analysis.--For the purpose of 
        calculating a student's need in accordance with part F of this 
        title, services or benefits under this section shall not be 
        considered to be an asset or income of the student or the 
        students parents.
  ``(k) Technical Assistance.--The Secretary shall enter into contracts 
with private entities to provide such technical assistance to grantees 
under this section as the Secretary determines appropriate.
  ``(l) Evaluation.--
          ``(1) Outcome evaluations.--The Secretary shall conduct an 
        evaluation of program outcomes under the pilot program, and 
        shall disseminate to the public the findings from the 
        evaluation and information on best practices. The Secretary is 
        encouraged to partner with other providers of funds, such as 
        private foundations, to allow for use of an experimental or 
        quasi-experimental evaluation in at least one of the pilot 
        program sites.
          ``(2) Institutional participation.--As a condition of 
        receiving grants under this section, participating institutions 
        shall work with the evaluator to track persistence and 
        completion outcomes for students in the pilot program, 
        specifically the proportion of these students who take and 
        complete developmental education courses, the proportion who 
        take and complete college-level coursework, and the proportion 
        who complete certificates and degrees. This data shall be 
        broken down by race, ethnicity, and age and the evaluator shall 
        assist institutions in analyzing this data to compare Student 
        Success Grant pilot program participants to comparable 
        nonparticipants, using statistical techniques to control for 
        differences in the groups.
          ``(3) Annual reports.--Participating institutions under this 
        section shall report on the data specified in paragraph (2) 
        annually and the Secretary shall make this data publicly 
        available.

                       ``PART E--JOBS TO CAREERS

``SEC. 831. GRANTS TO CREATE BRIDGES FROM JOBS TO CAREERS.

  ``(a) Authorization of Program.--From amounts appropriated to carry 
out this part under section 800, the Secretary shall award grants, on a 
competitive basis, to institutions of higher education for the purposes 
of improving developmental education, including English language 
instruction, by customizing developmental education to student career 
goals, and helping students move rapidly from developmental coursework 
into for-credit occupational program courses and through program 
completion. The grants under this section shall focus in particular on 
creating bridges to for-credit occupational certificate programs that 
are articulated to degree programs.
  ``(b) Application.--An eligible institution seeking a grant under 
this section shall submit an application to the Secretary at such time, 
in such manner, and containing such information as the Secretary may 
require.
  ``(c) Priorities.--The Secretary shall give priority to applications 
that--
          ``(1) are from institutions of higher education in which not 
        less than 50 percent of the institution's entering first-year 
        students who are subject to mandatory assessment, are assessed 
        as needing developmental courses to bring reading, writing, or 
        mathematics skills up to college-level; and
          ``(2) propose to replicate practices that have proven 
        effective with adults or propose to collaborate with adult 
        education providers.
  ``(d) Peer Review.--The Secretary shall convene a peer review process 
to review applications for grants under this section and to make 
recommendations to the Secretary regarding the selection of grantees.
  ``(e) Mandatory Activity.--An eligible institution that receives a 
grant under this section shall use the grant funds to create workforce 
bridge programs that customize developmental education curricula, 
including English language instruction, to the content of the for-
credit occupational certificate or degree programs, or clusters of such 
programs, in which developmental education students seek to enroll. 
Such bridge programs may include those that integrate the curricula and 
the instruction of both developmental and college-level coursework or 
that dually enroll students in remediation and college-level 
coursework.
  ``(f) Permissible Activities.--An eligible institution that receives 
a grant under this section, in addition to creating workforce bridge 
programs, may use the grant funds to carry out the following:
          ``(1) Design and implement innovative ways to improve 
        retention in and completion of developmental education courses, 
        including enrolling students in cohorts, accelerating course 
        content, integrating remediation and college-level curricula 
        and instruction, dually enrolling students in developmental and 
        college-level courses, tutoring, providing counseling and other 
        supportive services, and giving small, material incentives for 
        attendance and performance.
          ``(2) In consultation with faculty in the appropriate 
        departments, redesignating class schedules to meet the needs of 
        working adults, such as by creating evening, weekend, modular, 
        compressed, distance-learning formats, or other alternative 
        schedules.
          ``(3) Improving the quality of teaching in remedial courses 
        through professional development, reclassification of such 
        teaching positions, or other means the eligible institution 
        determines appropriate.
          ``(4) Any other activities the eligible institution and the 
        Secretary determine will promote retention of, and completion 
        by, students attending institutions of higher education.
          ``(5) Fully advise students on the range of options and 
        programs available, which may include: diploma; certification; 
        2-year degree; associate's degree; transfer degree to upper 
        division; and career options.
  ``(g) Grant Period.--Grants made under this section shall be for a 
period of not less than 36 months and not more than 60 months.
  ``(h) Technical Assistance.--The Secretary shall provide technical 
assistance to grantees under this section throughout the grant period.
  ``(i) Evaluation.--The Secretary shall conduct an evaluation of 
program impacts under the demonstration program, and shall disseminate 
to the public the findings from the evaluation and information on best 
practices. The Secretary is encouraged to partner with other providers 
of funds, such as private foundations, to allow for use of a random 
assignment evaluation in at least one of the demonstration sites.
  ``(j) Definition of Institution.--In this section, the term 
`institution of higher education' means an institution of higher 
education as defined in section 101(a).

                         ``PART F--PROJECT GRAD

``SEC. 836. PROJECT GRAD.

  ``(a) Purposes.--The purposes of this part are--
          ``(1) to provide support and assistance to programs 
        implementing integrated education reform services in order to 
        improve secondary school graduation and college attendance and 
        completion rates for disadvantaged students; and
          ``(2) to promote the establishment of new programs to 
        implement such integrated education reform services.
  ``(b) Grant Authorized.--From the amount appropriated to carry out 
this part under section 800, the Secretary is authorized to award a 
grant to Project GRAD USA (referred to in this part as the `grantee'), 
a nonprofit educational organization that has as its primary purpose 
the improvement of secondary school graduation and college attendance 
and completion rates for disadvantaged students, to implement and 
sustain the integrated education reform services described in 
subsection (d)(3) at existing Project GRAD program sites and to promote 
the expansion of such programs to new sites.
  ``(c) Requirements of Grant Agreement.--The Secretary shall enter 
into an agreement with the grantee that requires that the grantee 
shall--
          ``(1) enter into subcontracts with nonprofit educational 
        organizations that serve a substantial number or percentage of 
        low-income students (referred to in this part as 
        `subcontractors'), under which the subcontractors agree to 
        implement the programs described in subsection (d) and provide 
        matching funds for such programs;
          ``(2) directly carry out--
                  ``(A) activities to implement and sustain the 
                literacy, mathematics, classroom management, social 
                service, and college access programs further described 
                in subsection (d)(3);
                  ``(B) activities to build the organizational and 
                management capacity of the subcontractors to 
                effectively implement and sustain the programs;
                  ``(C) activities for the purpose of improving and 
                expanding the programs, including but not limited to 
                activities to further articulate a program for one or 
                more grade levels and across grade levels, to tailor a 
                program for a particular target audience, and provide 
                tighter integration across programs;
                  ``(D) activities for the purpose of implementing new 
                Project GRAD program sites;
                  ``(E) activities for the purpose of promoting greater 
                public awareness of integrated education reform 
                services to improve secondary school graduation and 
                college attendance rates for disadvantaged students; 
                and
                  ``(F) other activities directly related to improving 
                secondary school graduation and college attendance and 
                completion rates for disadvantaged students; and
          ``(3) use grant funds available under this part to pay--
                  ``(A) the amount determined under subsection (f)(1); 
                and
                  ``(B) costs associated with carrying out the 
                activities and providing the services, as provided in 
                paragraph (2) of this subsection.
  ``(d) Supported Programs.--
          ``(1) Designation.--The subcontractor programs referred to in 
        subsection (c)(1) shall be known as Project GRAD programs.
          ``(2) Feeder patterns.--Each subcontractor shall implement a 
        Project GRAD program and shall, with the agreement of the 
        grantee--
                  ``(A) identify or establish not less than one `feeder 
                pattern' of public schools, where `feeder pattern' is 
                defined as a high school and the elementary schools and 
                middle schools that channel students into that high 
                school; and
                  ``(B) provide the integrated educational reform 
                services described in paragraph (3) at the identified 
                feeder pattern or feeder patterns.
          ``(3) Integrated education reform services.--The services 
        provided through a Project GRAD program may include--
                  ``(A) research-based programs in reading, 
                mathematics, and classroom management;
                  ``(B) campus-based social services programs, 
                including a systematic approach to increase family and 
                community involvement in the schools served by the 
                Project GRAD program;
                  ``(C) a college access program that includes--
                          ``(i) providing college scholarships for 
                        students who meet established criteria;
                          ``(ii) proven approaches for increasing 
                        student and family college awareness; and
                          ``(iii) assistance for such students in 
                        applying for higher education financial aid; 
                        and
                  ``(D) such other services identified by the grantee 
                as necessary to increase secondary school graduation 
                and college attendance and completion rates.
  ``(e) Use of Funds.--Of the funds made available to carry out this 
part under section 800, not more than 8 percent of such funds, or 
$4,000,000, whichever is less, shall be used by the grantee to pay for 
administration of the grant, with the remainder of funds to be used for 
the purposes described in subsections (c)(1) and (2).
  ``(f) Grantee Contribution and Matching Requirement.--
          ``(1) In general.--The grantee shall provide to each 
        subcontractor an average of $200 for each pupil served by the 
        subcontractor in the Project GRAD program, adjusted to take 
        into consideration--
                  ``(A) the resources available in the area where the 
                subcontractor will implement the Project GRAD program; 
                and
                  ``(B) the need for Project GRAD programs in such area 
                to improve student outcomes.
          ``(2) Matching requirement.--Each subcontractor shall provide 
        funds for the Project GRAD program in an amount that is equal 
        to the amount received by the subcontractor from the grantee. 
        Such matching funds may be provided in cash or in kind, fairly 
        evaluated.
          ``(3) Waiver authority.--The grantee may waive, in whole or 
        in part, the requirement of paragraph (2) for a subcontractor, 
        if the subcontractor--
                  ``(A) demonstrates that it would not otherwise be 
                able to participate in the program; and
                  ``(B) enters into an agreement with the grantee with 
                respect to the amount to which the waiver will apply.
          ``(4) Decrease in grantee share.--Based on the funds or 
        resources available to a subcontractor, the grantee may elect 
        to provide the subcontractor with an amount that is less than 
        the amount determined under paragraph (1).
  ``(g) Evaluation.--
          ``(1) Evaluation by the secretary.--The Secretary shall 
        select an independent entity to evaluate, every 3 years, the 
        performance of students who participate in a Project GRAD 
        program under this part. The evaluation shall--
                  ``(A) be conducted using a rigorous research design 
                for determining the effectiveness of the Project GRAD 
                programs funded under this part; and
                  ``(B) compare reading and mathematics achievement 
                and, where applicable, the secondary school graduation, 
                college attendance, and college completion rates of 
                students who participate in a Project GRAD program 
                funded under this part with those indicators for 
                students of similar backgrounds who do not participate 
                in such program.
          ``(2) Evaluation by grantee and subcontractors.--
                  ``(A) In general.--The grantee shall require each 
                subcontractor to prepare an in-depth report of the 
                results and the use of funds of each Project GRAD 
                program funded under this part that includes--
                          ``(i) data on the reading and mathematics 
                        achievement of students involved in the Project 
                        GRAD program;
                          ``(ii) statistics on secondary school 
                        graduation, college attendance, and college 
                        completion rates; and
                          ``(iii) such financial reporting as required 
                        by the Secretary to review the effectiveness 
                        and efficiency of the program.
                  ``(B) Form of report.--The report shall be in a form 
                and include such content as shall be determined by the 
                grantee, in consultation with the Secretary or the 
                entity selected by the Secretary to evaluate the 
                Project GRAD programs in accordance with paragraph (1).
          ``(3) Availability of evaluations.--Copies of any evaluation 
        or report prepared under this subsection shall be made 
        available to--
                  ``(A) the Secretary; and
                  ``(B) the chairperson and ranking member of the 
                authorizing committees.
  ``(h) Definitions.--In this part the term `low-income student' means 
a student who is determined by a local educational agency to be from a 
low-income family using the measures described in section 1113(a)(5) of 
the Elementary and Secondary Education Act of 1965 (20 U.S.C. 
6313(a)(5)).

      ``PART G--IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS

``SEC. 841. IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS.

  ``(a) In General.--From the amount appropriated to carry out this 
part under section 800, the Secretary shall contract with one nonprofit 
organization described in subsection (b) to enable the nonprofit 
organization--
          ``(1) to make publicly available the year-to-year higher 
        education enrollment rate trends of secondary school students, 
        disaggregated by secondary school, in compliance with the 
        Family Education Rights and Privacy Act of 1974;
          ``(2) to identify not less than 50 urban local educational 
        agencies and 5 States with significant rural populations, each 
        serving a significant population of low-income students, and to 
        carry out a comprehensive needs assessment in the agencies and 
        States of the factors known to contribute to improved higher 
        education enrollment rates, which factors shall include--
                  ``(A) an evaluation of the local educational agency's 
                and State's leadership strategies;
                  ``(B) the secondary school curriculum and class 
                offerings of the local educational agency and State;
                  ``(C) the professional development used by the local 
                educational agency and the State to assist teachers, 
                higher education counselors, and administrators in 
                supporting the transition of secondary students into 
                higher education;
                  ``(D) secondary school student attendance and other 
                factors demonstrated to be associated with enrollment 
                into higher education;
                  ``(E) the data systems used by the local educational 
                agency and the State to measure college enrollment 
                rates and the incentives in place to motivate the 
                efforts of faculty and students to improve student and 
                school-wide outcomes; and
                  ``(F) strategies to mobilize student leaders to build 
                a college-bound culture; and
          ``(3) to provide comprehensive services to improve the 
        school-wide higher education enrollment rates of each of not 
        less than 10 local educational agencies and States, with the 
        federally funded portion of each project declining by not less 
        than 20 percent each year beginning in the second year of the 
        comprehensive services, that--
                  ``(A) participated in the needs assessment described 
                in paragraph (2); and
                  ``(B) demonstrated a willingness and commitment to 
                improving the higher education enrollment rates of the 
                local educational agency or State, respectively.
  ``(b) Grant Recipient Criteria.--The recipient of the grant awarded 
under subsection (a) shall be a nonprofit organization with 
demonstrated expertise--
          ``(1) in increasing school-wide higher education enrollment 
        rates in low-income communities nationwide by providing 
        curriculum, training, and technical assistance to secondary 
        school staff and student peer influencers; and
          ``(2) in a college transition data management system.

                   ``PART H--DIPLOMA MILL PREVENTION

``SEC. 851. PURPOSE; DEFINITIONS.

  ``(a) Purpose.--The purpose of this part is to protect institutions 
of higher education, businesses and other employers, professional 
licensing boards, patients and clients of degree holders, taxpayers, 
and other individuals from any person claiming to possess a legitimate 
academic degree that in fact was issued by a fraudulent or nonexistent 
school, by a non-educational entity posing as a school, or by any 
entity in violation of Federal or State law.
  ``(b) Definitions.--In this part:
          ``(1) Degree-granting institution.--The term `degree-granting 
        institution' means any entity that offers or confers an 
        academic, professional, or occupational degree, diploma, or 
        certificate, if such degree, diploma, or certificate may be 
        used to represent to the general public that the individual 
        possessing such degree, diploma, or certificate has completed a 
        program of education or training beyond secondary education.
          ``(2) Diploma mill.--The term `diploma mill' means any entity 
        that--
                  ``(A) lacks valid accreditation by an agency 
                recognized by a Federal agency or a State government or 
                other organization or association that recognizes 
                accrediting agencies as a valid accrediting agency of 
                institutions of higher education; and
                  ``(B) offers degrees, diplomas, or certifications, 
                for a fee, that may be used to represent to the general 
                public that the individual possessing such a degree, 
                diploma, or certification has completed a program of 
                education or training beyond secondary education, but 
                little or no education or course work is required to 
                obtain such a degree, diploma, or certification.
          ``(3) Institution of higher education.--The term `institution 
        of higher education' has the meaning given such term in section 
        102.

``SEC. 852. RECOGNIZED ACCREDITING AGENCIES AND INSTITUTIONS.

  ``(a) Lists Maintained by the Department of Education.--Not later 
than 30 days after the date of the enactment of this part, the 
Secretary of Education shall make available (in a regularly updated, 
electronic format) to the Secretary of Homeland Security and the heads 
of other appropriate Federal agencies, a list of--
          ``(1) accrediting agencies and associations, recognized by 
        the Secretary of Education under section 496, or, at the 
        discretion of the Secretary, other organizations involved in 
        accreditation;
          ``(2) eligible institutions, as defined under section 435(a); 
        and
          ``(3) to the extent practicable, foreign degree-granting 
        institutions that--
                  ``(A) have degree-granting authority, as granted by 
                the appropriate agency or ministry of jurisdiction in 
                the home country of such institution;
                  ``(B) issue degrees that are accepted for 
                professional licensure, public employment, and 
                admission into graduate programs of degree-granting 
                institutions in the home country (as determined by the 
                Secretary of State);
                  ``(C) are determined by the Secretary of Education to 
                be academically equivalent to an eligible institution, 
                as defined in section 435(a); and
                  ``(D) are located in a home country that is capable 
                of performing an effective academic evaluation of the 
                degree-granting institutions to which it issues degree-
                granting authority, as determined by the Secretary of 
                State, in consultation with the Secretary of Education,
for the purposes of assisting the Secretary of Homeland Security and 
the heads of such Federal agencies to determine, for immigration and 
Federal employment and hiring purposes, the legitimacy of degree-
granting institutions and degrees issued by such institutions.
  ``(b) Revisions to Lists.--The Secretary of Education shall modify 
and maintain the lists described in subsection (a) as necessary to 
ensure that the lists and the information contained in the lists are 
accurate and up-to-date, based on the most recent information available 
to the Secretary.
  ``(c) Notice of Recognition.--To be eligible to receive funds under 
title IV, each eligible institution described in subsection (a)(2) 
shall, not later than 60 days after the date of the enactment of this 
part, prominently display on the institution's Internet website a 
notice indicating that the institution is recognized by the Secretary 
of Education as a legitimate institution for immigration and Federal 
employment and hiring purposes. If the Secretary of Education 
determines that an institution no longer qualifies as a legitimate 
degree-granting institutions described in subsection (a)(2), and 
removes the institution from the list maintained under such subsection, 
the institution shall, not later than 15 days after the removal of the 
institution from such list, delete the notice required by this 
subsection from the institution's Internet website.

``SEC. 853. ACCREDITING AGENCIES.

  ``No accrediting agency or association may be considered to be a 
reliable authority as to the quality of education or training offered 
by a degree-granting institution for any purpose related to 
immigration, Federal employment and hiring practices, or for any other 
Federal purposes, unless the agency or association is on the list of 
accrediting agencies and associations recognized by the Secretary of 
Education and provided to the Secretary of Homeland Security under 
section 852. The Secretary may consult with other organizations, such 
as the Council for Higher Education Accreditation, for such purposes.

``SEC. 854. TASK FORCE.

  ``(a) Task Force Established.--The Secretary of Education shall 
establish within the Department of Education the Diploma Mill Task 
Force (referred to in this part as the `Task Force').
  ``(b) Membership.--
          ``(1) Number and appointment.--The Task Force shall, if 
        practicable, be composed of 19 members, as follows:
                  ``(A) The Assistant Secretary of Education for 
                Postsecondary Education.
                  ``(B) A representative of the Department of Education 
                with experience related to the determination of the 
                legitimacy and quality of degrees from foreign 
                institutions of higher education, selected by the 
                Secretary of Education.
                  ``(C) A representative of the Department of Justice, 
                selected by the Attorney General.
                  ``(D) A representative of the Federal Trade 
                Commission, selected by the Chairman of such agency.
                  ``(E) A representative of the Secret Service, 
                selected by the Director of the Secret Service.
                  ``(F) A representative of the Department of State, 
                selected by the Secretary of State.
                  ``(G) A representative of the Department of Homeland 
                Security, selected by the Secretary of Homeland 
                Security.
                  ``(H) A representative of the Office of Personnel 
                Management, selected by the Director of such Office.
                  ``(I) A representative of a national accreditation 
                association.
                  ``(J) A representative of a national organization 
                representing collegiate registrars and admissions 
                officers.
                  ``(K) Two representatives of State degree approval 
                agencies, selected by agreement of at least 3 of the 
                Speaker of the House of Representatives, the Senate 
                Majority Leader, the House Minority Leader, and the 
                Senate Minority Leader.
                  ``(L) Two representatives from regionally accredited 
                institutions of higher education, selected by agreement 
                of at least 3 of the Speaker of the House of 
                Representatives, the Senate Majority Leader, the House 
                Minority Leader, and the Senate Minority Leader.
                  ``(M) One representative from a nationally accredited 
                institution of higher education, selected by agreement 
                of at least 3 of the Speaker of the House of 
                Representatives, the Senate Majority Leader, the House 
                Minority Leader, and the Senate Minority Leader.
                  ``(N) Four individuals from the general population 
                with experience in higher education, the detection of 
                fraudulent degrees and degree-granting institutions, or 
                law enforcement related to credential fraud, selected 
                as follows:
                          ``(i) One individual selected by the Speaker 
                        of the House of Representatives.
                          ``(ii) One individual selected by the 
                        Minority Leader of the House of 
                        Representatives.
                          ``(iii) One individual selected by the 
                        Majority Leader of the Senate.
                          ``(iv) One individual selected by the 
                        Minority Leader of the Senate.
          ``(2) Criteria for membership.--All members of the Task Force 
        shall be persons who are especially qualified to serve on the 
        Task Force by virtue of their education, training, or 
        experience, particularly in the fields of higher education, 
        accreditation of institutions of higher education, foreign 
        higher education standards, State regulation of institutions of 
        higher education, immigration, Federal employment requirements 
        and hiring practices, or fraud prevention, detection, or 
        enforcement.
          ``(3) Terms.--Each member shall be appointed for the life of 
        the Task Force.
          ``(4) Vacancies.--A vacancy in the Task Force shall be filled 
        in the manner in which the original appointment was made.
          ``(5) Chair.--At the first meeting of the Task Force, the 
        members of the Task Force shall elect a member of the Task 
        Force to serve as Chair.
  ``(c) Duties.--
          ``(1) Guidelines.--The Task Force shall develop guidelines, 
        to be used for the development of Federal legislation, to 
        identify degree-granting institutions as legitimate or 
        fraudulent degree-granting institutions for Federal purposes. 
        In developing such guidelines, the Task Force shall consider--
                  ``(A) characteristics of degree-granting institutions 
                that help determine the legitimacy of the institution, 
                such as whether an entity--
                          ``(i) offers or confers degrees, diplomas, or 
                        certificates--
                                  ``(I) for little or no meaningful 
                                academic work;
                                  ``(II) without requiring an 
                                appropriate level of academic 
                                achievement for the attainment of such 
                                degrees, diplomas, or certificates; or
                                  ``(III) without imposing academic or 
                                other requirements for admittance into 
                                the institutions or programs offering 
                                such degrees, diplomas, or 
                                certificates;
                          ``(ii) has fiscal and administrative 
                        structures and capacity appropriate to the 
                        specified scale of educational operations;
                          ``(iii) has resources to support claims as a 
                        degree-granting institution, including 
                        curricula, qualified faculty, facilities, 
                        equipment, and supplies, student support 
                        services, objectives of the degrees or 
                        credentials offered, admissions practices, 
                        academic calendars and catalogs, and a grading 
                        system; and
                          ``(iv) has degree-granting authority issued 
                        by the States in which degrees, or instruction 
                        leading to degrees, are offered, and is 
                        recognized by such States as an approved 
                        institution of higher education;
                  ``(B) the feasibility of defining the term 
                `fraudulent degree-granting institution' (commonly 
                referred to as `diploma mills'), and if feasible, shall 
                define such term to propose for use in Federal laws and 
                regulations;
                  ``(C) issues related to--
                          ``(i) the detection of new and existing 
                        fraudulent degree-granting institutions;
                          ``(ii) recognition and prevention of the 
                        practices used by such fraudulent degree-
                        granting institutions to avoid detection;
                          ``(iii) the enforcement of laws and 
                        regulations prohibiting such fraudulent degree-
                        granting institutions and practices and the use 
                        of fraudulent degrees; and
                          ``(iv) the prosecution of such fraudulent 
                        degree-granting institutions and practices and 
                        the use of fraudulent degrees;
                  ``(D) difficulties in identifying fraudulent degree-
                granting institutions located in foreign countries, or 
                that claim recognition or degree-granting authority 
                from foreign countries;
                  ``(E) means to alert and educate the public about 
                fraudulent degree-granting institutions and the use of 
                fraudulent degrees;
                  ``(F) laws, regulations, and other means used by 
                States to address fraudulent degree-granting 
                institutions and the use of fraudulent degrees;
                  ``(G) the potential need for coordination and 
                cooperation among various Federal agencies to 
                investigate and prosecute suspected fraudulent degree-
                granting institutions, and the detailed recommendations 
                of the Task Force regarding such coordination and 
                cooperation;
                  ``(H) the study and the report to the Task Force 
                required under this section; and
                  ``(I) the purposes for which various agencies of the 
                United States need to identify fraudulent degree-
                granting institutions, and identify, prohibit, and 
                prevent the use of degrees issued by such fraudulent 
                institutions, and the ability of such agencies to 
                implement any guidelines considered by the Task Force.
          ``(2) Development of federal plan.--The Task Force shall 
        develop a strategic diploma integrity protection plan (referred 
        to in this section as the `Plan') to address the sale and use 
        of fraudulent degrees for Federal purposes. The Plan shall 
        include the following:
                  ``(A) Recommendations to Congress regarding the 
                implementation by Federal agencies of the guidelines 
                developed under paragraph (1).
                  ``(B) Recommendations to the Federal Trade Commission 
                regarding the application of the guidelines developed 
                under paragraph (1) to any rulemaking under section 856 
                and to the enforcement of the rules promulgated under 
                such section.
          ``(3) Submission of report to congress.--Not later than one 
        year after the date of the enactment of this part, the Task 
        Force shall submit to the appropriate congressional committees 
        a report, including--
                  ``(A) the guidelines developed under paragraph (1);
                  ``(B) the Plan developed under paragraph (2); and
                  ``(C) a legislative proposal for consideration by 
                Congress.

``SEC. 855. SENSE OF THE CONGRESS REGARDING USE BY STATES OF THE 
                    FEDERAL PLAN AS GUIDELINES.

  ``It is the sense of the Congress that--
          ``(1) each State should implement a strategic diploma 
        integrity plan similar to any strategic diploma integrity plan 
        developed under section 854, to the extent practicable and as 
        soon as practicable after the date of the adoption of such a 
        plan under such section; and
          ``(2) States may adopt more stringent standards than those 
        standards contained in the Federal strategic diploma integrity 
        plan and used by agencies of the United States to identify 
        fraudulent degree-granting institutions operating within such 
        State, except that State law does not preempt Federal law as 
        applied to the employment and hiring practices of Federal 
        employees working in such State.

``SEC. 856. UNFAIR AND DECEPTIVE ACTS AND PRACTICES REGARDING DIPLOMAS 
                    AND PROFESSIONAL CERTIFICATIONS.

  ``Not later than 180 days after the date of enactment of this part, 
the Secretary shall request in writing that the Federal Trade 
Commission shall develop a plan to address diploma mills based on 
section 18 of Federal Trade Commission Act (15 U.S.C. 57a).

        ``PART I--STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT

``SEC. 861. STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT.

  ``(a) Grants Authorized.--
          ``(1) In general.--From the amount appropriated to carry out 
        this part under section 800, the Secretary is authorized to 
        award grants, on a competitive basis, to institutions of higher 
        education or consortia of institutions of higher education to 
        enable institutions of higher education or consortia to pay the 
        Federal share of the cost of carrying out the authorized 
        activities described in subsection (c).
          ``(2) Consultation with the attorney general and the 
        secretary of homeland security.--Where appropriate, the 
        Secretary shall award grants under this section in consultation 
        with the Attorney General of the United States and the 
        Secretary of Homeland Security.
          ``(3) Duration.--The Secretary shall award each grant under 
        this section for a period of 2 years.
          ``(4) Limitation on institutions and consortia.--An 
        institution of higher education or consortium shall be eligible 
        for only 1 grant under this section.
  ``(b) Federal Share; Non-Federal Share.--
          ``(1) In general.--The Federal share of the activities 
        described in subsection (c) shall be 50 percent.
          ``(2) Non-federal share.--The institution of higher education 
        or consortium shall provide the non-Federal share, which may be 
        provided from other Federal, State, and local resources 
        dedicated to emergency preparedness and response.
  ``(c) Authorized Activities.--Each institution of higher education or 
consortium receiving a grant under this section may use the grant funds 
to carry out 1 or more of the following:
          ``(1) Developing and implementing a state-of-the-art 
        emergency communications system for each campus of an 
        institution of higher education or consortium, in order to 
        contact students via cellular, text message, or other state-of-
        the-art communications methods when a significant emergency or 
        dangerous situation occurs. An institution or consortium using 
        grant funds to carry out this paragraph shall also, in 
        coordination with the appropriate State and local emergency 
        management authorities--
                  ``(A) develop procedures that students, employees, 
                and others on a campus of an institution of higher 
                education or consortium will be directed to follow in 
                the event of a significant emergency or dangerous 
                situation; and
                  ``(B) develop procedures the institution of higher 
                education or consortium shall follow to inform, within 
                a reasonable and timely manner, students, employees, 
                and others on a campus in the event of a significant 
                emergency or dangerous situation, which procedures 
                shall include the emergency communications system 
                described in this paragraph.
          ``(2) Supporting measures to improve safety at the 
        institution of higher education or consortium, such as--
                  ``(A) security assessments;
                  ``(B) security training of personnel and students at 
                the institution of higher education or consortium;
                  ``(C) where appropriate, coordination of campus 
                preparedness and response efforts with local law 
                enforcement, local emergency management authorities, 
                and other agencies, to improve coordinated responses in 
                emergencies among such entities; and
                  ``(D) establishing a hotline that allows a student or 
                staff member at an institution or consortium to report 
                another student or staff member at the institution or 
                consortium who the reporting student or staff member 
                believes may be a danger to the reported student or 
                staff member or to others.
          ``(3) Coordinating with appropriate local entities the 
        provision of mental health services for students and staff of 
        the institution of higher education or consortium, including 
        mental health crisis response and intervention services for 
        students and staff affected by a campus or community emergency.
  ``(d) Application.--Each institution of higher education or 
consortium desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require.
  ``(e) Technical Assistance.--The Secretary shall coordinate technical 
assistance provided by State and local emergency management agencies, 
the Department of Homeland Security, and other agencies as appropriate, 
to institutions of higher education or consortia that request 
assistance in developing and implementing the activities assisted under 
this section.
  ``(f) Rule of Construction.--Nothing in this section shall be 
construed--
          ``(1) to provide a private right of action to any person to 
        enforce any provision of this section;
          ``(2) to create a cause of action against any institution of 
        higher education or any employee of the institution for any 
        civil liability; or
          ``(3) to affect the Family Educational Rights and Privacy Act 
        of 1974 or the regulations issued under section 264 of the 
        Health Insurance Portability and Accountability Act of 1996 (42 
        U.S.C. 1320d-2 note).

``SEC. 862. MODEL EMERGENCY RESPONSE POLICIES, PROCEDURES, AND 
                    PRACTICES.

  ``The Secretary of Education, in consultation with the Attorney 
General of the United States and the Secretary of Homeland Security, 
shall--
          ``(1) advise institutions of higher education on model 
        emergency response policies, procedures, and practices; and
          ``(2) disseminate information concerning those policies, 
        procedures, and practices.

``SEC. 863. PREPARATION FOR FUTURE DISASTERS PLAN BY THE SECRETARY.

  ``(a) Planning.--The Secretary shall develop and maintain a disaster 
relief plan, in consultation with the appropriate agencies, to ensure a 
procedure is in place to address the needs of institutions of higher 
education in the event of a disaster with respect to which the 
President has declared a major disaster or emergency. The plan shall 
take into consideration the immediate safety and well-being of 
students, faculty, and staff. Additionally, such plan shall outline 
steps that can be taken to ensure institutions of higher education have 
a timely recovery.
  ``(b) Submission to Congress.--The Secretary shall submit to the 
authorizing committees the plan required by subsection (a) and any 
revisions of such plan.

``SEC. 864. EDUCATION DISASTER AND EMERGENCY RELIEF LOAN PROGRAM.

  ``(a) Program Authorized.--The Secretary is authorized to establish 
an Education Disaster and Emergency Relief Loan Program for 
institutions of higher education for direct or indirect losses incurred 
as a result of a federally declared major disaster or emergency.
  ``(b) Use of Assistance.--The Secretary may, subject to the 
availability of appropriations, provide any assistance under the 
Education Disaster and Emergency Relief Loan program to institutions of 
higher education pursuant to this section only after the declaration of 
a major disaster or emergency by the President. Loan funds provided 
under this section may be used for--
          ``(1) direct and indirect construction, replacement, and 
        renovation costs associated with or resulting from or preparing 
        for a major disaster or emergency;
          ``(2) faculty salaries and incentives for retaining faculty; 
        or
          ``(3) reimbursement for lost tuition and other revenues.
  ``(c) Application Requirements.--To be considered for a loan under 
this section, an institution of higher education shall--
          ``(1) submit a financial statement and other appropriate 
        data, documentation, or evidence requested by the Secretary 
        that indicates that the institution incurred losses resulting 
        from the impact of a major disaster or emergency and the 
        monetary amount of such losses; and
          ``(2) demonstrate that the institution attempted to minimize 
        the cost of any losses by pursuing collateral source 
        compensation from the Federal Emergency Management Agency and 
        insurance coverage prior to seeking a loan under this section, 
        except that an institution of higher education shall not be 
        required to receive collateral source compensation from the 
        Federal Emergency Management Agency and insurance prior to 
        being eligible for a loan under this section.
  ``(d) Audit.--The Secretary may audit a financial statement submitted 
under subsection (c) and an institution of higher education shall 
provide any information that the Secretary determines necessary to 
conduct such an audit.
  ``(e) Reduction in Loan Amounts.--To determine the amount of a loan 
to make available to an institution of higher education under this 
section, the Secretary shall calculate the monetary amount of losses 
incurred by such institution as a result of a federally declared major 
disaster or emergency, and shall reduce such amount by the amount of 
collateral source compensation the institution has already received 
from insurance, the Federal Emergency Management Agency, and the Small 
Business Administration.
  ``(f) Establishment of Loan Program.--In order to disburse loans 
under this section, the Secretary shall prescribe regulations that--
          ``(1) establish the loan program, taking into consideration 
        the structure of existing capital financing loan programs under 
        this Act; and
          ``(2) that set forth--
                  ``(A) terms for the loan program under this section;
                  ``(B) procedures for an application for a loan under 
                this section; and
                  ``(C) minimum requirements for the loan program and 
                for receiving a loan under this section, including the 
                following:
                          ``(i) Online forms to be used in submitting 
                        request for a loan under this section.
                          ``(ii) Information to be included in such 
                        forms.
                          ``(iii) Procedures to assist in filing and 
                        pursing a loan under this section.
  ``(g) Definitions.--In this section:
          ``(1) Institution affected by a gulf hurricane disaster.--The 
        term `institution affected by a Gulf hurricane disaster' means 
        an institution of higher education that--
                  ``(A) is located in an area affected by a Gulf 
                hurricane disaster; and
                  ``(B) is able to demonstrate that the institution--
                          ``(i) incurred physical damage resulting from 
                        the impact of a Gulf hurricane disaster;
                          ``(ii) was not able to fully reopen in 
                        existing facilities or to fully reopen to the 
                        pre-hurricane levels for 30 days or more on or 
                        after August 29, 2005.
          ``(2) Area affected by a gulf hurricane disaster; gulf 
        hurricane disaster.--The terms `area affected by a Gulf 
        hurricane disaster' and `Gulf hurricane disaster' have the 
        meanings given such terms in section 209 of the Higher 
        Education Hurricane Relief Act of 2005 (Public Law 109-148, 119 
        Stat. 2809).
          ``(3) Emergency.--The term `emergency' has the meaning given 
        such term in section 102(1) of the Robert T. Stafford Disaster 
        Relief and Emergency Assistance Act.
          ``(4) Institutions of higher education.--The term 
        `institution of higher education' has the meaning given such 
        term in section 101.
          ``(5) Major disaster.--The term `major disaster' has the 
        meaning given the term in section 102(2) of the Robert T. 
        Stafford Disaster Relief and Emergency Assistance Act.
  ``(h) Effective Date.--This section shall take effect on the date of 
the enactment of the College Opportunity and Affordability Act of 2007, 
and assistance provided to institutions of higher education pursuant to 
this section shall be available only with respect to federally declared 
major disasters or emergencies that occur after the date of the 
enactment of the College Opportunity and Affordability Act of 2007, 
except in the case of an institution affected by a Gulf hurricane 
disaster.

``SEC. 865. GUIDANCE ON MENTAL HEALTH DISCLOSURES FOR STUDENT SAFETY.

  ``Not later than 90 days after the date of enactment of the College 
Opportunity and Affordability Act of 2007, the Secretary shall provide 
guidance that clarifies the role of institutions of higher education 
with respect to the disclosure of education records, including to a 
parent or legal guardian of a dependent student, in the event that such 
student demonstrates that the student poses a significant risk of harm 
to himself or herself or to others, including a significant risk of 
suicide, homicide, or assault. Such guidance shall further clarify that 
an institution of higher education that, in good faith, discloses 
education records or other information in accordance with the 
requirements of this Act and the Family Educational Rights and Privacy 
Act of 1974 shall not be liable to any person for that disclosure.

 ``PART J--RURAL DEVELOPMENT GRANTS FOR RURAL COLLEGES AND UNIVERSITIES

``SEC. 871. PURPOSE.

  ``The purposes of this part are--
          ``(1) to increase--
                  ``(A) enrollment and graduation rates from 2-year and 
                4-year colleges, and articulation from 2-year degree 
                programs into 4-year degree programs, of graduates of 
                rural high schools; and
                  ``(B) degree completion for nontraditional students 
                from rural areas; and
          ``(2) to promote economic growth and development in rural 
        America through partnership grants to consortia of rural 
        colleges and universities and other entities, such as local 
        education agencies, employers, education service agencies, and 
        nonprofit organizations.

``SEC. 872. DEFINITIONS.

  ``For the purposes of this part:
          ``(1) Rural institution of higher education.--The term `rural 
        institution of higher education' means an institution of higher 
        education that primarily serves rural areas.
          ``(2) Rural area.--The term `rural area' means an area in 
        which there is located a rural local educational agency.
          ``(3) Rural local education agency.--The term `rural local 
        education agency' means a local educational agency (as such 
        term is defined in section 9101 of the Elementary and Secondary 
        Education Act of 1965) all of the schools of which meet a 
        metro-centric locale code of 41, 42, or 43 as determined by the 
        National Center for Education Statistics (NCES), in conjunction 
        with the Bureau of the Census, using the NCES system for 
        classifying local educational agencies.
          ``(4) Nontraditional student.--The term `nontraditional 
        student' means an individual who--
                  ``(A) delays enrollment in an institution of higher 
                education by 3 or more years after completing high 
                school;
                  ``(B) attends an institution of higher education 
                part-time or less than part-time; or
                  ``(C) attends an institution of higher education 
                and--
                          ``(i) works full-time;
                          ``(ii) is an independent student;
                          ``(iii) has one or more dependents other than 
                        a spouse;
                          ``(iv) is a single parent; or
                          ``(v) does not have a high school diploma.
          ``(5) Regional employer.--The term `regional employer' means 
        employers qualifying as businesses or other entities employing 
        individuals within a rural area.

``SEC. 873. ENSURING COLLEGE ACCESS FOR RURAL HIGH SCHOOL GRADUATES.

  ``(a) Grants Authorized.--From the amounts appropriated to carry out 
this part under section 800, the Secretary of Education is authorized 
to make grants in accordance with this section to partnerships formed 
between one or more rural institution of higher education and any of 
the following entities:
          ``(1) One or more rural local educational agencies.
          ``(2) One or more rural education service agencies.
          ``(3) One or more regional employers.
          ``(4) One or more nonprofit organizations with expertise in 
        rural education.
  ``(b) Eligible Partnerships; Applications.--To be eligible for a 
grant under this section, a partnership that meets the requirements of 
subsection (a) shall submit to the Secretary an application in such 
form and containing such information as the Secretary shall prescribe. 
In determining which applications to approve for a grant under this 
section, the Secretary shall consider--
          ``(1) the percentage of graduates, attendees, or former 
        attendees of high schools from rural local educational agencies 
        enrolled or otherwise affiliated with the entity;
          ``(2) in the case of employers, the percentage of employees 
        that are graduates of high schools in rural local educational 
        agencies.
  ``(c) Use of Grant Amounts.--Funds made available by a grant under 
this section to a partnership that meets the requirements of subsection 
(b) shall be used--
          ``(1) to improve enrollment rates for graduates and former 
        attendees of rural high schools at rural institutions of higher 
        education, including--
                  ``(A) programs to provide information about college 
                costs and financial aid options, assistance with 
                college enrollment applications, and assistance with 
                financial aid applications;
                  ``(B) programs or initiatives that provide such 
                graduates or former attendees of rural high schools 
                access and exposure to campuses, classes, programs, and 
                facilities of rural institutions of higher education, 
                including covering the cost of transportation to and 
                from institutions of higher education;
                  ``(C) the formation of groups or other initiatives 
                that create support groups of such students expressing 
                interest in attending rural institutions of higher 
                education;
                  ``(D) extracurricular activities, such as 
                internships, community service, and other activities 
                for such individuals in advance of attending 
                institutions of higher education; and
                  ``(E) other initiatives that assist such individuals 
                in applying and developing interest in attending rural 
                institutions of higher education; and
          ``(2) to encourage participation of nontraditional students 
        in degree programs at rural institutions of higher education, 
        including--
                  ``(A) programs to provide information about college 
                costs and financial aid options, assistance with 
                college enrollment applications, and assistance with 
                financial aid applications for institutions of higher 
                education;
                  ``(B) outreach to nontraditional students through 
                community initiatives; and
                  ``(C) formation of support groups for nontraditional 
                students enrolling in 2-year degree programs and 
                articulating from 2-year degree programs to 4-year 
                degree programs.

``SEC. 874. ECONOMIC DEVELOPMENT PARTNERSHIPS.

  ``(a) Grants Authorized.--From the amounts appropriated to carry out 
this part under section 800, the Secretary of Education is authorized 
to make grants in accordance with this section to partnerships formed 
between one or more rural institutions of higher education and one or 
more regional employers.
  ``(b) Eligible Partnerships; Applications.--To be eligible for a 
grant under this section, a partnership that meets the requirements of 
subsection (a) shall submit to the Secretary an application in such 
form and containing such information as the Secretary shall prescribe. 
In determining which applications to approve for a grant under this 
section, the Secretary shall consider--
          ``(1) the potential of the employer to employ graduates of 
        rural institutions of higher education after graduation;
          ``(2) the potential of the employer engaged in the 
        partnership to spur economic development in the region; and
          ``(3) the relevance of the employer to the regional economy.
  ``(c) Use of Grant Amounts.--Funds made available by a grant under 
this section to a partnership that meets the requirements of subsection 
(a) shall be used--
          ``(1) to provide additional career training to attendees of 
        rural institutions of higher education in fields relevant to 
        the regional economy; and
          ``(2) to encourage regional businesses to employ graduates of 
        rural institutions of higher education.

``SEC. 875. QUALITY OF LIFE IN RURAL AREAS.

  ``(a) Grants Authorized.--From the amounts appropriated to carry out 
this part under section 800, the Secretary of Education is authorized 
to make grants in accordance with this section to rural institutions of 
higher education.
  ``(b) Use of Grant Amounts.--Funds made available by a grant under 
this section to a partnership that meets the requirements of subsection 
(a) shall be used to create or strengthen academic programs to prepare 
graduates to enter into high-need occupations in the regional and local 
economies.

``SEC. 876. ALLOCATION OF APPROPRIATIONS.

  ``(a) Grant Considerations.--In making grant allocations under this 
part to qualifying institutions and partnerships, the Secretary shall 
consider--
          ``(1) the percentage of graduates of rural high schools 
        attending rural institutions of higher education in proximity 
        to the entity receiving the grant;
          ``(2) employment needs of regional employers in proximity to 
        entities receiving the grant; and
          ``(3) the health of the regional economy of the region 
        surrounding the entity receiving the grant.
  ``(b) Maximum and Minimum Grants.--No grant awarded by the Secretary 
under this part shall be less than $200,000 or more than $500,000.
  ``(c) Grant Duration.--A grant awarded under this part shall be 
awarded for one 3-year period.

 ``PART K--IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 
  EDUCATION WITH A FOCUS ON ALASKA NATIVE AND NATIVE HAWAIIAN STUDENTS

``SEC. 880. IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 
                    EDUCATION WITH A FOCUS ON ALASKA NATIVE AND NATIVE 
                    HAWAIIAN STUDENTS.

  ``(a) Purpose.--The purpose of this section is--
          ``(1) to develop or expand programs for the development of 
        professionals in the fields of science, technology, 
        engineering, and mathematics; and
          ``(2) to focus resources on meeting the educational and 
        cultural needs of Alaska Natives and Native Hawaiians.
  ``(b) Definitions.--In this section:
          ``(1) Alaska native.--The term `Alaska Native' has the 
        meaning given the term `Native' in section 3(b) of the Alaska 
        Natives Claims Settlement Act (43 U.S.C. 1602(b)).
          ``(2) Eligible partnership.--The term `eligible partnership' 
        means a partnership that includes--
                  ``(A) 1 or more colleges or schools of engineering;
                  ``(B) 1 or more colleges of science or mathematics;
                  ``(C) 1 or more institutions of higher education that 
                offer 2-year degrees; and
                  ``(D) 1 or more private entities that--
                          ``(i) conduct career awareness activities 
                        showcasing local technology professionals;
                          ``(ii) encourage students to pursue education 
                        in science, technology, engineering, and 
                        mathematics from elementary school through 
                        college, and careers in those fields, with the 
                        assistance of local technology professionals;
                          ``(iii) develop internships, apprenticeships, 
                        and mentoring programs in partnership with 
                        relevant industries; and
                          ``(iv) assist with placement of interns and 
                        apprentices.
          ``(3) Native hawaiian.--The term `Native Hawaiian' has the 
        meaning given the term in section 7207 of the Elementary and 
        Secondary Education Act of 1965.
  ``(c) Grant Authorized.--From the amounts appropriated to carry out 
this part under section 800, the Secretary is authorized to award a 
grant to an eligible partnership to enable the eligible partnership to 
expand programs for the development of science, technology, 
engineering, or mathematics professionals, from elementary school 
through college, including existing programs for Alaska Native and 
Native Hawaiian students.
  ``(d) Uses of Funds.--Grant funds under this section shall be used 
for 1 or more of the following:
          ``(1) Development or implementation of cultural, social, or 
        educational transition programs to assist students to 
        transition into college life and academics in order to increase 
        such students' retention rates in the fields of science, 
        technology, engineering, or mathematics, with a focus on Alaska 
        Native or Native Hawaiian students.
          ``(2) Development or implementation of academic support or 
        supplemental educational programs to increase the graduation 
        rates of students in the fields of science, technology, 
        engineering, or mathematics, with a focus on Alaska Native and 
        Native Hawaiian students.
          ``(3) Development or implementation of internship programs, 
        carried out in coordination with educational institutions and 
        private entities, to prepare students for careers in the fields 
        of science, technology, engineering, or mathematics, with a 
        focus on programs that serve Alaska Native or Native Hawaiian 
        students.
          ``(4) Such other activities as are consistent with the 
        purposes of this section.
  ``(e) Application.--Each eligible partnership that desires a grant 
under this section shall submit an application to the Secretary at such 
time, in such manner, and containing such information as the Secretary 
may require.
  ``(f) Priority.--In awarding grants under this section, the Secretary 
shall give priority to an eligible partnership that provides 1 or more 
programs in which 30 percent or more of the program participants are 
Alaska Native or Native Hawaiian.
  ``(g) Period of Grant.--A grant under this section shall be awarded 
for a period of 5 years.
  ``(h) Evaluation and Report.--Each eligible partnership that receives 
a grant under this section shall conduct an evaluation to determine the 
effectiveness of the programs funded under the grant and shall provide 
a report regarding the evaluation to the Secretary not later than 6 
months after the end of the grant period.

   ``PART L--NATIONAL DATABASE ON FINANCIAL ASSISTANCE FOR STUDY OF 
           SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS

``SEC. 881. NATIONAL DATABASE ON FINANCIAL ASSISTANCE FOR STUDY OF 
                    SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS.

  ``(a) Establishment and Maintenance of Database.--
          ``(1) Database.--The Secretary of Education shall establish 
        and maintain, on the public website of the Department of 
        Education, a database consisting of information on 
        scholarships, fellowships, and other programs of financial 
        assistance available from public and private sources for the 
        study of science, technology, engineering, or mathematics at 
        the postsecondary and post baccalaureate levels.
          ``(2) Presentation of information.--The information 
        maintained on the database established under this section shall 
        be displayed on the website in the following manner:
                  ``(A) Separate information shall be provided for each 
                of the fields of study referred to in paragraph (1) and 
                for postsecondary and post baccalaureate programs of 
                financial assistance.
                  ``(B) The database shall provide specific information 
                on any programs of financial assistance which are 
                targeted to individuals of a particular gender, 
                ethnicity, or other demographic group.
                  ``(C) If the sponsor of any program of financial 
                assistance included on the database maintains a public 
                website, the database shall provide hyperlinks to the 
                website.
                  ``(D) In addition to providing the hyperlink to the 
                website of a sponsor of a program of financial 
                assistance as required under subparagraph (C), the 
                database shall provide general information that an 
                interested person may use to contact the sponsor, 
                including the sponsor's electronic mail address.
                  ``(E) The database shall have a search capability 
                which permits an individual to search for information 
                on the basis of each category of the information 
                provided and on the basis of combinations of categories 
                of the information provided, including whether the 
                scholarship is need- or merit-based and by relevant 
                academic majors.
                  ``(F) The database shall include a recommendation 
                that students and families should carefully review all 
                of the application requirements prior to applying for 
                aid, and a disclaimer that the scholarships presented 
                in the database are not provided or endorsed by the 
                Department of Education or the Federal Government.
  ``(b) Dissemination of Information on Database.--The Secretary shall 
take such actions as may be necessary on an ongoing basis, including 
sending notices to secondary schools and institutions of higher 
education, to disseminate information on the database established and 
maintained under this part and to encourage its use by interested 
parties.
  ``(c) Use of Vendor To Obtain Information.--In carrying out this 
part, the Secretary of Education shall enter into a contract with a 
private entity under which the entity shall furnish and regularly 
update all of the information required to be maintained on the database 
established under this section.
  ``(d) Encouraging the Provision of Information.--In carrying out this 
part, the Secretary of Education and the contracted entity shall 
consult with public and private sources of scholarships and make easily 
available a process for such entities to provide regular and updated 
information.

                ``PART M--TRAINING FOR REALTIME WRITERS

``SEC. 882. PROGRAM TO PROMOTE TRAINING AND JOB PLACEMENT OF REALTIME 
                    WRITERS.

  ``(a) Authorization of Grant Program.--
          ``(1) In general.--From the amounts appropriated to carry out 
        this part under section 800, the Secretary of Commerce shall 
        make competitive grants to eligible entities under subsection 
        (b) to promote training and placement of individuals, including 
        individuals who have completed a court reporting training 
        program, as realtime writers in order to meet the requirements 
        for closed captioning of video programming set forth in section 
        713 of the Communications Act of 1934 (47 U.S.C. 613) and the 
        rules prescribed thereunder.
          ``(2) Eligible entities.--For purposes of this part, an 
        eligible entity is a court reporting program that--
                  ``(A) can document and demonstrate to the Secretary 
                of Commerce that it meets minimum standards of 
                educational and financial accountability, with a 
                curriculum capable of training realtime writers 
                qualified to provide captioning services;
                  ``(B) is accredited by an accrediting agency 
                recognized by the Department of Education; and
                  ``(C) is participating in student aid programs under 
                title IV.
          ``(3) Priority in grants.--In determining whether to make 
        grants under this section, the Secretary of Commerce shall give 
        a priority to eligible entities that, as determined by the 
        Secretary--
                  ``(A) possess the most substantial capability to 
                increase their capacity to train realtime writers;
                  ``(B) demonstrate the most promising collaboration 
                with local educational institutions, businesses, labor 
                organizations, or other community groups having the 
                potential to train or provide job placement assistance 
                to realtime writers; or
                  ``(C) propose the most promising and innovative 
                approaches for initiating or expanding training or job 
                placement assistance efforts with respect to realtime 
                writers.
          ``(4) Duration of grant.--A grant under this section shall be 
        for a period of 2 years.
          ``(5) Maximum amount of grant.--The amount of a grant 
        provided under subsection (a) to an entity eligible may not 
        exceed $1,500,000 for the 2-year period of the grant under 
        paragraph (4).
  ``(b) Application.--
          ``(1) In general.--To receive a grant under subsection (a), 
        an eligible entity shall submit an application to the Secretary 
        of Commerce at such time and in such manner as the secretary 
        may require. The application shall contain the information set 
        forth under paragraph (2).
          ``(2) Information.--Information in the application of an 
        eligible entity under subsection (a) for a grant under 
        subsection (a) shall include the following:
                  ``(A) A description of the training and assistance to 
                be funded using the grant amount, including how such 
                training and assistance will increase the number of 
                realtime writers.
                  ``(B) A description of performance measures to be 
                utilized to evaluate the progress of individuals 
                receiving such training and assistance in matters 
                relating to enrollment, completion of training, and job 
                placement and retention.
                  ``(C) A description of the manner in which the 
                eligible entity will ensure that recipients of 
                scholarships, if any, funded by the grant will be 
                employed and retained as realtime writers.
                  ``(D) A description of the manner in which the 
                eligible entity intends to continue providing the 
                training and assistance to be funded by the grant after 
                the end of the grant period, including any partnerships 
                or arrangements established for that purpose.
                  ``(E) A description of how the eligible entity will 
                work with local workforce investment boards to ensure 
                that training and assistance to be funded with the 
                grant will further local workforce goals, including the 
                creation of educational opportunities for individuals 
                who are from economically disadvantaged backgrounds or 
                are displaced workers.
                  ``(F) Additional information, if any, of the 
                eligibility of the eligible entity for priority in the 
                making of grants under subsection (a)(3).
                  ``(G) Such other information as the Secretary may 
                require.
  ``(c) Use of Funds.--
          ``(1) In general.--An eligible entity receiving a grant under 
        subsection (a) shall use the grant amount for purposes relating 
        to the recruitment, training and assistance, and job placement 
        of individuals, including individuals who have completed a 
        court reporting training program, as realtime writers, 
        including--
                  ``(A) recruitment;
                  ``(B) subject to paragraph (2), the provision of 
                scholarships;
                  ``(C) distance learning;
                  ``(D) further developing and implementing both 
                English and Spanish curriculum to more effectively 
                train realtime writing skills, and education in the 
                knowledge necessary for the delivery of high-quality 
                closed captioning services;
                  ``(E) mentoring students to ensure successful 
                completion of the realtime training and provide 
                assistance in job placement;
                  ``(F) encouraging individuals with disabilities to 
                pursue a career in realtime writing; and
                  ``(G) the employment and payment of personnel for all 
                such purposes.
          ``(2) Scholarships.--
                  ``(A) Amount.--The amount of a scholarship under 
                paragraph (1)(B) shall be based on the amount of need 
                of the recipient of the scholarship for financial 
                assistance, as determined in accordance with part F of 
                title IV.
                  ``(B) Agreement.--Each recipient of a scholarship 
                under paragraph (1)(B) shall enter into an agreement 
                with the school in which the recipient is enrolled to 
                provide realtime writing services for the purposes 
                described in subsection (a)(1) for a period of time 
                appropriate (as determined by the Secretary of Commerce 
                or the Secretary's designee) for the amount of the 
                scholarship received.
                  ``(C) Coursework and employment.--The Secretary of 
                Commerce or the Secretary's designee shall establish 
                requirements for coursework and employment for 
                recipients of scholarships under paragraph (1)(B), 
                including requirements for repayment of scholarship 
                amounts in the event of failure to meet such 
                requirements for coursework and employment. 
                Requirements for repayment of scholarship amounts shall 
                take into account the effect of economic conditions on 
                the capacity of scholarship recipients to find work as 
                realtime writers.
          ``(3) Administrative costs.--The recipient of a grant under 
        this section may not use more than 5 percent of the grant 
        amount to pay administrative costs associated with activities 
        funded by the grant. The Secretary of Commerce shall use not 
        more than 5 percent of the amount available for grants under 
        this part in any fiscal year for administrative costs of the 
        program.
          ``(4) Supplement not supplant.--Grants amounts under this 
        part shall supplement and not supplant other Federal or non-
        Federal funds of the grant recipient for purposes of promoting 
        the training and placement of individuals as realtime writers.
  ``(d) Reports.--
          ``(1) Annual reports.--Each eligible entity receiving a grant 
        under subsection (a) shall submit to the Secretary of Commerce, 
        at the end of each year of the grant period, a report on the 
        activities of such entity with respect to the use of grant 
        amounts during such year.
          ``(2) Report information.--
                  ``(A) In general.--Each report of an entity for a 
                year under paragraph (1) shall include a description of 
                the use of grant amounts by the entity during such 
                year, including an assessment by the entity of the 
                effectiveness of activities carried out using such 
                funds in increasing the number of realtime writers. The 
                assessment shall utilize the performance measures 
                submitted by the entity in the application for the 
                grant under subsection (b)(2).
                  ``(B) Final report.--The final report of an entity on 
                a grant under paragraph (1) shall include a description 
                of the best practices identified by the entity as a 
                result of the grant for increasing the number of 
                individuals who are trained, employed, and retained in 
                employment as realtime writers.
          ``(3) Annual review.--The Inspector General of the Department 
        of Commerce shall conduct an annual review of the management, 
        efficiency, and effectiveness of the grants made under this 
        part.

      ``PART N--CENTERS OF EXCELLENCE FOR VETERAN STUDENT SUCCESS

``SEC. 883. MODEL PROGRAMS FOR CENTERS OF EXCELLENCE FOR VETERAN 
                    STUDENT SUCCESS.

  ``(a) Purpose.--It is the purpose of this section to encourage model 
programs to support veteran student success in postsecondary education 
by coordinating services to address the academic, financial, physical, 
and social needs of veteran students.
  ``(b) Grants Authorized.--
          ``(1) In general.--Subject to the availability of 
        appropriations under section 800, the Secretary shall award 
        grants to institutions of higher education to develop model 
        programs to support veteran student success in postsecondary 
        education.
          ``(2) Grant period.--A grant awarded under this section shall 
        be awarded for a period of 3 years.
  ``(c) Use of Grants.--
          ``(1) Required activities.--An institution of higher 
        education receiving a grant under this section shall use such 
        grant to carry out a model program that includes--
                  ``(A) establishing of a Center of Excellence for 
                Veteran Student Success on the campus of the 
                institution to provide a single point of contact to 
                coordinate comprehensive support services for veteran 
                students;
                  ``(B) establishing a veteran students support team, 
                including representatives from the offices of the 
                institution responsible for admissions, registration, 
                financial aid, veterans benefits, academic advising, 
                student health, personal or mental health counseling, 
                career advising, disabilities services, and any other 
                office of the institution that provides support to 
                veteran students on campus;
                  ``(C) providing a full-time or part-time coordinator 
                whose primary responsibility is to coordinate the model 
                program carried out under this section;
                  ``(D) monitoring the rates of veteran student 
                enrollment, persistence, and completion; and
                  ``(E) developing a plan to sustain the Center of 
                Excellence for Veteran Student Success after the grant 
                period.
          ``(2) Other authorized activities.--An institution of higher 
        education receiving a grant under this section may use such 
        grant to carry out any of the following activities with respect 
        to veteran students:
                  ``(A) Outreach and recruitment of such students.
                  ``(B) Supportive instructional services for such 
                students, which may include--
                          ``(i) personal, academic, and career 
                        counseling, as an on-going part of the program;
                          ``(ii) tutoring and academic skill-building 
                        instruction assistance, as needed; and
                          ``(iii) assistance with special admissions 
                        and transfer of credit from previous 
                        postsecondary education or experience.
                  ``(C) Assistance in obtaining student financial aid.
                  ``(D) Housing support for students living in 
                institutional facilities and commuting students.
                  ``(E) Cultural events, academic programs, orientation 
                programs, and other activities designed to ease the 
                transition to campus life for such students.
                  ``(F) Support for veteran student organizations and 
                veteran student support groups on campus.
                  ``(G) Coordination of academic advising and 
                admissions counseling with military bases and national 
                guard units in the area.
                  ``(H) Other support services the institution 
                determines to be necessary to ensure the success of 
                such students in achieving their educational and career 
                goals.
  ``(d) Application; Selection.--
          ``(1) Application.--To be considered for a grant under this 
        section, an institution of higher education shall submit to the 
        Secretary an application at such time, in such manner, and 
        accompanied by such information as the Secretary may require.
          ``(2) Selection considerations.--In awarding grants under 
        this section, the Secretary shall consider--
                  ``(A) the number of veteran students enrolled at an 
                institution of higher education; and
                  ``(B) the need for model programs to address the 
                needs of veteran students at a wide range of 
                institutions of higher education, including the need to 
                provide--
                          ``(i) an equitable distribution of such 
                        grants to institutions of higher education of 
                        various types and sizes;
                          ``(ii) an equitable geographic distribution 
                        of such grants; and
                          ``(iii) an equitable distribution of such 
                        grants among rural and urban areas.
  ``(e) Evaluation and Accountability Plan.--The Secretary shall 
develop an evaluation and accountability plan for model programs funded 
under this section to objectively measure the impact of such programs, 
including a measure of whether postsecondary education enrollment, 
persistence, and completion for veterans increases as a result of such 
programs.

              ``PART O--UNIVERSITY SUSTAINABILITY PROGRAMS

              ``Subpart 1--Sustainability Planning Grants

``SEC. 884. GRANTS AUTHORIZED.

  ``(a) Program Authorized.--
          ``(1) In general.--From the amounts appropriated to carry out 
        this part under section 800, the Secretary shall make grants to 
        eligible entities to establish sustainability programs to 
        design and implement sustainability practices, including in the 
        areas of energy management, green building, waste management, 
        purchasing, transportation, and toxics management, and other 
        aspects of sustainability that integrate campus operations with 
        multidisciplinary academic programs and are applicable to the 
        private and government sectors.
          ``(2) Period of grant.--The provision of payments under a 
        grant under paragraph (1) may extend over a period of not more 
        than 4 fiscal years.
          ``(3) Definition of eligible entities.--For purposes of this 
        part, the term `eligible entity' means--
                  ``(A) an institution of higher education that grants 
                2 or 4-year undergraduate degrees, or masters and 
                doctoral degrees, or both; or
                  ``(B) a non-profit consortia, association, alliance, 
                or collaboration operating in partnership with one or 
                more institutions of higher education that received 
                funds for the implementation of work associated with 
                sustainability programs under this part.
  ``(b) Applications.--
          ``(1) In general.--To receive a grant under subsection 
        (a)(1), an eligible entity shall submit an application to the 
        Secretary at such time, in such form, and containing such 
        information as the Secretary may reasonably require.
          ``(2) Assurances.--Such application shall include assurances 
        that the eligible entity--
                  ``(A) has developed or shall develop a plan, 
                including an evaluation component, for the program 
                component established pursuant to subsection (c);
                  ``(B) shall use Federal funds received from a grant 
                under subsection (a) to supplement, not supplant, non-
                Federal funds that would otherwise be available for 
                projects funded under such section;
                  ``(C) shall provide, with respect to any fiscal year 
                in which such entity receives funds from a grant under 
                subsection (a)(1), non-Federal funds or an in-kind 
                contribution in an amount equal to 20 percent of funds 
                from such grant, for the purpose of carrying out the 
                program component established in subsection (c); and
                  ``(D) shall collaborate with business, government, 
                and the nonprofit sectors in the development and 
                implementation of its sustainability plan.
  ``(c) Use of Funds.--
          ``(1) Individual institutions.--Grants made under subsection 
        (a) may be used by an eligible entity that is an individual 
        institution of higher education for the following purposes:
                  ``(A) To develop and implement administrative and 
                operations practices at institutions of higher 
                education that test, model, and analyze principles of 
                sustainability.
                  ``(B) To establish multidisciplinary education, 
                research, and outreach programs at institutions of 
                higher education that address the environmental, 
                social, and economic dimensions of sustainability.
                  ``(C) To support research and teaching initiatives 
                that focus on multidisciplinary and integrated 
                environmental, economic, and social elements.
                  ``(D) To establish initiatives in the areas of energy 
                management, green building, waste management, 
                purchasing, toxics management, transportation, and 
                other aspects of sustainability.
                  ``(E) To support student, faculty, and staff work at 
                institutions of higher education to implement, 
                research, and evaluate sustainable practices.
                  ``(F) To establish sustainability literacy as a 
                requirement for undergraduate and graduate degree 
                programs.
                  ``(G) To integrate sustainability curriculum in all 
                programs of instruction, particularly in business, 
                architecture, technology, manufacturing, engineering, 
                and science programs.
          ``(2) Partnerships.--Grants made under subsection (a) may be 
        used by an eligible entity that is a non-profit consortia, 
        association, alliance, or collaboration operating as a 
        partnership with one or more institutions of higher education 
        for the following purposes:
                  ``(A) To conduct faculty, staff and administrator 
                training on the subjects of sustainability and 
                institutional change.
                  ``(B) To compile, evaluate, and disseminate best 
                practices, case studies, guidelines and standards.
                  ``(C) To conduct efforts to engage external 
                stakeholders such as business, alumni, and accrediting 
                agencies in the process of building support for 
                research, education, and technology development for 
                sustainability.
                  ``(D) To conduct professional development programs 
                for faculty in all disciplines to enable faculty to 
                incorporate sustainability content in their courses.
                  ``(E) To enable an appropriate non-profit consortia, 
                association, alliance, or collaboration operating in 
                partnership with an institution of higher education to 
                create the analytical tools necessary for institutions 
                of higher education to assess and measure their 
                individual progress toward fully sustainable campus 
                operations and fully integrating sustainability into 
                the curriculum.
                  ``(F) To develop educational benchmarks for 
                institutions of higher education to determine the 
                necessary rigor and effectiveness of academic 
                sustainability programs.
  ``(d) Reports.--An eligible entity that receives a grant under 
subsection (a) shall submit to the Secretary, for each fiscal year in 
which the entity receives amounts from such grant, a report that 
describes the work conducted pursuant to subsection (c), research 
findings and publications, administrative savings experienced, and an 
evaluation of the program.
  ``(e) Allocation Requirement.--The Secretary may not make grants 
under subsection (a) to any eligible entity in a total amount that is 
less than $250,000 or more than $2,000,000.

                 ``Subpart 2--Summit on Sustainability

``SEC. 885. SUMMIT ON SUSTAINABILITY.

  ``Not later than September 30, 2008, the Secretary of Education shall 
convene a summit of higher education experts working in the area of 
sustainable operations and programs, representatives from agencies of 
the Federal Government, and business and industry leaders to focus on 
efforts of national distinction that--
          ``(1) encourage faculty, staff, and students at institutions 
        of higher education to establish administrative and academic 
        sustainability programs on campus;
          ``(2) enhance research by faculty and students at 
        institutions of higher education in sustainability practices 
        and innovations that assist and improve sustainability;
          ``(3) encourage institutions of higher education to work with 
        community partners from the business, government, and nonprofit 
        sectors to design and implement sustainability programs for 
        application in the community and workplace;
          ``(4) identify opportunities for partnerships involving 
        institutions of higher education and the Federal Government to 
        expand sustainable operations and academic programs focused on 
        environmental and economic sustainability; and
          ``(5) charge the summit participants or steering committee to 
        submit a set of recommendations for addressing sustainability 
        through institutions of higher education.

               ``PART P--MODELING AND SIMULATION PROGRAMS

``SEC. 886. MODELING AND SIMULATION.

  ``(a) Purpose; Definition.--
          ``(1) Purpose.--The purpose of this section is to promote the 
        study of modeling and simulation at institutions of higher 
        education, through the collaboration with new and existing 
        programs, and specifically to promote the use of technology in 
        such study through the creation of accurate models that can 
        simulate processes or recreate real life, by--
                  ``(A) establishing a task force at the Department of 
                Education to raise awareness of and define the study of 
                modeling and simulation;
                  ``(B) providing grants to institutions of higher 
                education to develop new modeling and simulation degree 
                programs; and
                  ``(C) providing grants for institutions of higher 
                education to enhance existing modeling and simulation 
                degree programs.
          ``(2) Definition.--In this section, the term `modeling and 
        simulation' means a field of study related to the application 
        of computer science and mathematics to develop a level of 
        understanding of the interaction of the parts of a system and 
        of a system as a whole.
  ``(b) Establishment of Task Force.--
          ``(1) In general.--Subject to the availability of 
        appropriations, the Secretary shall establish a taskforce 
        within the Department of Education to study modeling and 
        simulation and to support the development of the modeling and 
        simulation field. The activities of such taskforce shall 
        include--
                  ``(A) helping to define the study of modeling and 
                simulation (including the content of modeling and 
                simulation classes and programs);
                  ``(B) identifying best practices for such study;
                  ``(C) identifying core knowledge and skills that 
                individuals who participate in modeling and simulation 
                programs should acquire; and
                  ``(D) providing recommendations to the Secretary with 
                respect to--
                          ``(i) the information described in 
                        subparagraphs (A) through (C); and
                          ``(ii) a system by which grants under this 
                        section will be distributed.
          ``(2) Taskforce membership.--The membership of the taskforce 
        under this subsection shall be composed of representatives 
        from--
                  ``(A) institutions of higher education with 
                established modeling and simulation degree programs;
                  ``(B) the National Science Foundation;
                  ``(C) Federal Government agencies that use modeling 
                and simulation extensively, including the Department of 
                Defense, the National Institute of Health, the 
                Department of Homeland Security, the Department of 
                Health and Human Services, the Department of Energy, 
                and the Department of Transportation;
                  ``(D) private industries with a primary focus on 
                modeling and simulation; and
                  ``(E) national modeling and simulation organizations.
  ``(c) Enhancing Modeling and Simulation at Institutions of Higher 
Education.--
          ``(1) Enhancement grants authorized.--
                  ``(A) In general.--The Secretary is authorized to 
                award grants, on a competitive basis, to eligible 
                institutions to enhance modeling and simulation degree 
                programs at such eligible institutions.
                  ``(B) Duration of grant.--A grant awarded under this 
                subsection shall be awarded for a 3-year period, and 
                such grant period may be extended for not more than 2 
                years if the Secretary determines that an eligible 
                institution has demonstrated success in enhancing the 
                modeling and simulation degree program at such eligible 
                institution.
                  ``(C) Minimum grant amount.--Subject to the 
                availability of appropriations, a grant awarded to an 
                eligible institution under this subsection shall not be 
                less than $750,000.
                  ``(D) Non-federal share.--Each eligible institution 
                receiving a grant under this subsection shall provide, 
                from non-Federal sources, in cash or in kind, an amount 
                equal to 25 percent of the amount of the grant to carry 
                out the activities supported by the grant. The 
                Secretary may waive the non-Federal share requirement 
                under this subparagraph for an eligible institution if 
                the Secretary determines a waiver to be appropriate 
                based on the financial ability of the institution.
          ``(2) Eligible institutions.--For the purposes of this 
        subsection, an eligible institution is an institution of higher 
        education that--
                  ``(A) has an established modeling and simulation 
                degree program, including a major, minor, or career-
                track program; or
                  ``(B) has an established modeling and simulation 
                certificate or concentration program.
          ``(3) Application.--To be considered for a grant under this 
        subsection, an eligible institution shall submit to the 
        Secretary an application at such time, in such manner, and 
        containing such information as the Secretary may require. Such 
        application shall include--
                  ``(A) a letter from the president or provost of the 
                eligible institution that demonstrates the 
                institution's commitment to the enhancement of the 
                modeling and simulation program at the institution of 
                higher education;
                  ``(B) an identification of designated faculty 
                responsible for the enhancement of the institution's 
                modeling and simulation program; and
                  ``(C) a detailed plan for how the grant funds will be 
                used to enhance the modeling and simulation program of 
                the institution.
          ``(4) Uses of funds.--A grant awarded under this subsection 
        shall be used by an eligible institution to carry out the plan 
        developed in accordance with paragraph (3)(C) to enhance 
        modeling and simulation programs at the institution, which may 
        include--
                  ``(A) in the case of an institution that is eligible 
                under paragraph (2)(B), activities to assist in the 
                establishment of a major, minor, or career-track 
                modeling and simulation program at the eligible 
                institution;
                  ``(B) expanding the multi-disciplinary nature of the 
                institution's modeling and simulation programs;
                  ``(C) recruiting students into the field of modeling 
                and simulation through the provision of fellowships or 
                assistantships;
                  ``(D) creating new courses to compliment existing 
                courses and reflect emerging developments in the 
                modeling and simulation field;
                  ``(E) conducting research to support new 
                methodologies and techniques in modeling and 
                simulation; and
                  ``(F) purchasing equipment necessary for modeling and 
                simulation programs.
  ``(d) Establishing Modeling and Simulation Programs.--
          ``(1) Establishment grants authorized.--
                  ``(A) In general.--The Secretary is authorized to 
                award grants to institutions of higher education to 
                establish a modeling and simulation program, including 
                a major, minor, career-track, certificate, or 
                concentration program.
                  ``(B) Duration of grant.--A grant awarded under this 
                subsection shall be awarded for a 3-year period, and 
                such grant period may be extended for not more than 2 
                years if the Secretary determines that an eligible 
                institution has demonstrated success in establishing a 
                modeling and simulation degree program at such eligible 
                institution.
                  ``(C) Minimum grant amount.--Subject to the 
                availability of appropriations, a grant awarded to an 
                eligible institution under this subsection shall not be 
                less than $750,000.
                  ``(D) Non-federal share.--Each eligible institution 
                receiving a grant under this subsection shall provide, 
                from non-Federal sources, in cash or in kind, an amount 
                equal to 25 percent of the amount of the grant to carry 
                out the activities supported by the grant. The 
                Secretary may waive the non-Federal share requirement 
                under this subparagraph for an eligible institution if 
                the Secretary determines a waiver to be appropriate 
                based on the financial ability of the institution.
          ``(2) Application.--To apply for a grant under this 
        subsection, an eligible institution shall submit to the 
        Secretary an application at such time, in such manner, and 
        containing such information as the Secretary may require. Such 
        application shall include--
                  ``(A) a letter from the president or provost of the 
                eligible institution that demonstrates the 
                institution's commitment to the establishment of a 
                modeling and simulation program at the institution of 
                higher education;
                  ``(B) a detailed plan for how the grant funds will be 
                used to establish a modeling and simulation program at 
                the institution; and
                  ``(C) a description of how the modeling and 
                simulation program established under this subsection 
                will complement existing programs and fit in to the 
                institution's current program and course offerings.
          ``(3) Uses of funds.--A grant awarded under this subsection 
        may be used by an eligible institution to--
                  ``(A) establish, or work toward the establishment of, 
                a modeling and simulation program, including a major, 
                minor, career-track, certificate, or concentration 
                program at the eligible institution;
                  ``(B) provide adequate staffing to ensure the 
                successful establishment of the modeling and simulation 
                program, which may include the assignment of full-time 
                dedicated or supportive faculty; and
                  ``(C) purchasing equipment necessary for a modeling 
                and simulation program.
  ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $40,000,000 for fiscal year 2009 
and such sums as may be necessary for each of the 4 succeeding fiscal 
years. Of the amounts authorized to be appropriated for each fiscal 
year--
          ``(1) $1,000,000 is authorized to carry out the activities of 
        the task force established pursuant to subsection (b); and
          ``(2) of the amount remaining after the allocation for 
        paragraph (1)--
                  ``(A) 50 percent is authorized to carry out the grant 
                program under subsection (c); and
                  ``(B) 50 percent is authorized to carry out the grant 
                program under subsection (d).

               ``PART Q--BUSINESS WORKFORCE PARTNERSHIPS

``SEC. 887. GRANTS TO CREATE BUSINESS WORKFORCE PARTNERSHIPS.

  ``(a) Purpose and Authorization.--
          ``(1) Purpose.--The purpose of this section is to provide 
        grants to institutions of higher education partnering with 
        employers to strengthen ties between college degree credit 
        offerings and business and industry workforce needs, and expand 
        opportunities for worksite learning.
          ``(2) Authorization of program.--The Secretary shall award 
        grants, on a competitive basis, to eligible partnerships for 
        the purposes of creating business and industry workforce 
        partnerships.
  ``(b) Definition of Business and Industry Workforce Partnership.--
          ``(1) In general.--For purposes of this section, the term 
        `business and industry workforce partnership' means a 
        partnership between an institution of higher education and--
                  ``(A) an employer or group of employers, or a local 
                board (as such term is defined in section 101 of the 
                Workforce Investment Act of 1998), or both; and
                  ``(B) labor organizations, where applicable, that 
                represent workers locally in the businesses or 
                industries that are the focus of the partnership, 
                including as a result of such organization's 
                representation of employees at a worksite at which the 
                partnership proposes to conduct activities under this 
                section.
          ``(2) Exception.--In the case of a State that does not 
        operate local boards, paragraph (1)(A) shall be applied by 
        substituting `State board' for `local board'.
  ``(c) Application.--A business and industry workforce partnership 
seeking a grant under this section shall submit an application to the 
Secretary at such time, in such manner, and containing such information 
as the Secretary may require.
  ``(d) Priority for Applications Focused on Serving Nontraditional 
Students.--The Secretary shall give priority to applications focused on 
serving nontraditional students who are independent, as defined in 
section 480(d), do not already have a bachelor's degree, and who have 
one or more of the following characteristics:
          ``(1) Are the first generation in their family to attend 
        college.
          ``(2) Have delayed enrollment in college.
          ``(3) Have dependents.
  ``(e) Peer Review.--The Secretary shall convene a peer review 
process, which shall include individuals knowledgeable about workforce 
education for working adults, to review applications for grants under 
this section, and make recommendations to the Secretary on the 
selection of grant recipients.
  ``(f) Mandatory Activities.--A partnership that receives a grant 
under this section shall use the grant funds to carry out all of the 
following activities:
          ``(1) Identify high demand occupations in the regional labor 
        market which offer or can lead to high wages, in coordination 
        with the State employment security agency funded under the 
        Wagner-Peyser Act.
          ``(2) Develop linked career and educational pathways for 
        those occupations and related ones, including, where 
        appropriate, pathways involving registered apprenticeships.
          ``(3) Consult with employers offering jobs in occupations 
        identified under paragraph (1) to determine workforce 
        development needs.
          ``(4) Consult with labor organizations representing workers 
        locally in the occupations identified in paragraph (1), where 
        applicable.
          ``(5) Identify existing college degree credit offerings or 
        create new degree credit offerings that prepare students to 
        meet business and industry workforce needs, including offerings 
        connected to registered apprenticeship programs.
  ``(g) Permissible Activities.--A partnership that receives a grant 
under this section may use the grant funds to carry out one or more of 
the following activities:
          ``(1) In consultation with faculty in the appropriate 
        departments, adapt college offerings identified and created 
        under subsection (f)(5) to the schedules and needs of working 
        students, such as by creating evening, weekend, modular, 
        compressed, or distance learning formats, enrolling students in 
        learning communities, or other relevant innovations.
          ``(2) Create bridge programs that prepare students with lower 
        skills or limited English proficiency to enter the college 
        offerings identified or created under subsection (f)(5).
          ``(3) Expand worksite learning opportunities.
          ``(4) Other activities that the institution and the Secretary 
        deem appropriate to carry out the purposes of this program.
  ``(h) Grant Period.--Grants made under this section shall be for a 
period of at least 36 months and not more than 60 months.
  ``(i) Technical Assistance.--The Secretary shall provide technical 
assistance to grantees under this section throughout the grant period.
  ``(j) Evaluation.--The Secretary shall conduct an evaluation of the 
effectiveness of the program under this section and disseminate the 
findings of such evaluation, as well as information on promising 
practices developed under this section.
  ``(k) Report to Congress.--Not less than 36 months after the first 
grant is awarded under this section, the Secretary, jointly with the 
Secretary of Labor, shall report to Congress on:
          ``(1) Changes to the Higher Education Act and related Acts, 
        such as the Perkins Vocational and Technical Education Act and 
        the Workforce Investment Act (both Title I and Title II), that 
        would help create and sustain business and industry workforce 
        partnerships at colleges.
          ``(2) Other changes to the Higher Education Act and related 
        Acts, such as the Perkins Vocational and Technical Education 
        Act and the Workforce Investment Act, that would more generally 
        strengthen the links between business and industry workforce 
        needs, workforce development programs, and other college degree 
        credit offerings.''.

SEC. 802. SENSE OF THE CONGRESS; REPORT.

  (a) Sense of Congress.--It is the sense of the Congress that--
          (1) in order to provide the borrowers of Federal student 
        loans with the option of converting their loans to income 
        contingent repayment by providing direct loans for the 
        discharge of such loans (in this section referred to as 
        ``direct IDEA loans''), the Secretary of Education and the 
        Secretary of the Treasury will work together to develop a 
        process by which the borrower will make payments on such loan 
        using the income tax withholding system and will make 
        appropriate adjustments to his or her withholding or estimated 
        tax payments for such purposes;
          (2) the Secretaries should determine--
                  (A) whether such a repayment option would be 
                beneficial to borrowers and taxpayers; and
                  (B) how such program would be implemented by the 
                Departments of Education and Treasury; and
          (3) this process would--
                  (A) streamline the repayment process and provide 
                greater flexibility for borrowers electing to use the 
                direct IDEA loan;
                  (B) significantly reduce the number of loan defaults 
                by borrowers; and
                  (C) significantly reduce the redundancy in reporting 
                information pertaining to income contingent repayment 
                to the Department of Education, institutions, and 
                applicants.
  (b) Report.--The Secretaries of Education and the Treasury shall, 
within one year after the date of enactment of this Act--
          (1) provide the Congress with information on the progress in 
        devising the direct IDEA loan with income contingent repayment 
        using the income tax withholding system;
          (2) inform the Congress of any necessary statutory changes 
        for the purpose of establishing a direct IDEA loan with income 
        contingent repayment using the income tax withholding system; 
        and
          (3) consider international programs demonstrating 
        implementation of income contingent repayment collected through 
        revenue services, such as programs in England, Australia, and 
        New Zealand.

SEC. 803. INDEPENDENT EVALUATION OF DISTANCE EDUCATION PROGRAMS.

  (a) Independent Evaluation.--The Secretary of Education shall enter 
into an agreement with the National Academy of Sciences to conduct a 
scientifically correct and statistically valid evaluation of the 
quality of distance education programs, as compared to campus-based 
education programs, at institutions of higher education. Such 
evaluation shall include--
          (1) identification of the elements by which the quality of 
        distance education, as compared to campus-based education, can 
        be assessed, including elements such as subject matter, 
        interactivity, and student outcomes;
          (2) identification of distance and campus-based education 
        program success, with respect to student achievement, in 
        relation to the mission of the institution of higher education; 
        and
          (3) identification of the types of students (including 
        classification of types of students based on student age) who 
        most benefit from distance education programs, the types of 
        students who most benefit from campus-based education programs, 
        and the types of students who do not benefit from distance 
        education programs, by assessing elements including access to 
        higher education, job placement rates, undergraduate graduation 
        rates, and graduate and professional degree attainment rates.
  (b) Scope.--The National Academy of Sciences shall select for 
participation in the evaluation under subsection (a) a diverse group of 
institutions of higher education with respect to size, mission, and 
geographic distribution.
  (c) Interim and Final Reports.--The agreement under subsection (a) 
shall require that the National Academy of Sciences submit to the 
authorizing committees (as such term is defined in section 103 of the 
Higher Education Act of 1965 (20 U.S.C. 1003)--
          (1) an interim report regarding the evaluation under 
        subsection (a) not later than December 31, 2008; and
          (2) a final report regarding such evaluation not later than 
        December 31, 2010.

SEC. 804. ENCOURAGING COLLEGES AND UNIVERSITIES TO ``GO GREEN''.

  (a) Findings.--The Committee on Education and Labor of the House of 
Representatives makes the following findings:
          (1) A commitment to and academic programs for environmental 
        and economic sustainability are essential for our Nation's 
        future prosperity.
          (2) The more than 4,200 higher education institutions in the 
        United States have the capacity to innovatively leverage 
        spending and change consumption patterns by incorporating 
        concepts of sustainability into their academic programs and by 
        modeling sustainable economic and environmental practices for 
        their communities.
          (3) Many colleges and universities have interdisciplinary 
        programs or centers focusing on equipping students with the 
        academic content knowledge needed to understand concepts of 
        sustainability and ``going green''.
          (4) Many colleges and universities have programs related to 
        the research of sustainability and sustainable systems.
          (5) Academic programs related to sustainability vary in rigor 
        because no national education content standards for academic 
        sustainability programs currently exist.
          (6) Colleges and universities may partner with businesses to 
        encourage students and faculty to translate academic learning 
        and research into practical solutions that promote 
        sustainability.
          (7) Colleges and universities that make an effort to reduce 
        energy consumption and promote environmental sustainability not 
        only reduce their own emissions, but also motivate the leaders 
        of the next generation to action and create technical skills 
        and resources to develop innovative solutions.
          (8) Many colleges and universities have undertaken detailed, 
        campus-wide assessments of their progress toward ``going 
        green'' and sustainability or have measured their progress in 
        specific sectors, such as operations, or specific parameters, 
        such as recycling, energy, and water consumption.
          (9) No system that evaluates and compares college and 
        university campuses in terms of overall sustainability-related 
        academic programs and practices currently exists.
  (b) Sense of the Committee on Education and Labor.--It is the sense 
of the Committee on Education and Labor that in order to encourage 
increased public awareness of the need to ``go green'' by using 
sustainable economic and environmental practices and rigorous 
sustainability academic programs on college and university campuses, 
the following should be encouraged:
          (1) The development of educational standards by institutions 
        of higher education to determine the necessary rigor and 
        effectiveness of academic sustainability programs.
          (2) Public awareness of the need for ``going green'' by using 
        sustainable economic and environmental practices.
          (3) Non-governmental efforts to improve economic and 
        environmental sustainability efforts on college and university 
        campuses, including holding national summits to share best 
        practices.
          (4) Collaborative partnerships between Federal agencies, 
        businesses, universities and communities to broaden 
        sustainability practices.

SEC. 805. STUDY OF COSTS OF ENVIRONMENTAL, HEALTH, AND SAFETY 
                    STANDARDS.

  (a) Study.--The Secretary of Education shall commission the National 
Research Council to conduct a national study to determine the viability 
of developing and implementing standards in environmental, health, and 
safety areas to provide for differential regulation of industrial 
laboratories and facilities, on the one hand, and research and teaching 
laboratories on the other. The National Research Council shall make 
specific recommendations for statutory and regulatory changes that are 
needed to develop such a differential approach.
  (b) Report.--The Secretary of Education shall submit the list of 
those regulations that impose the greatest compliance costs on 
institutions of higher education and make recommendations for statutory 
changes to ease the compliance burden to the authorizing committees (as 
such term is defined in section 103 of the Higher Education Act of 1965 
(20 U.S.C. 1003).

SEC. 806. STUDY OF MINORITY MALE ACADEMIC ACHIEVEMENT.

  (a) Study Required.--The Secretary of Education shall--
          (1) commission and ensure the conduct of a national study of 
        underrepresented minority males, particularly African American 
        and Hispanic American males, completing high school, and 
        entering and graduating from colleges and universities in 
        accordance with the following:
                  (A) the data comprising the study shall focus 
                primarily on African American and Hispanic American 
                males and will utilize existing data sources;
                  (B) the study shall focus on high school completion 
                and preparation for college, success on the SAT and 
                ACT, and minority male access to college, including the 
                financing of college, and college persistence and 
                graduation; and
                  (C) the implementation of the study shall be in four 
                stages based on the recommendations of the Commissioner 
                of Education Statistics; and
          (2) make specific recommendations to the Congress and State 
        superintendents of education on new approaches to increase--
                  (A) the number of minority males successfully 
                preparing themselves for college study;
                  (B) the number of minority males graduating from high 
                school and entering college; and
                  (C) the number of minority males graduating from 
                college and entering careers in which they are 
                underrepresented.
  (b) Submission of the Report.--Not later than 4 years after the date 
of enactment of this section, the Secretary shall submit a report on 
the study required by subsection (a)(1), together with the 
recommendations required by subsection (a)(2), to the authorizing 
committees (as such term is defined in section 103 of the Higher 
Education Act of 1965 (20 U.S.C. 1003)).

SEC. 807. STUDY ON BIAS IN STANDARDIZED TESTS.

  (a) Study.--The Comptroller General shall conduct a study to identify 
any race, ethnicity, and gender biases present in the design of 
standardized tests that are used for admission to institutions of 
higher education.
  (b) Data Available to the Public.--Any data collected and used for 
the study under subsection (a) shall be made publicly available, except 
that such data shall not be made available in any manner that reveals 
personally identifiable information relating to any individual.
  (c) Report.--Not later than one year after date of the enactment of 
this Act, the Comptroller General shall issue an interim report to the 
authorizing committees (as defined in section 103 of the Higher 
Education Act of 1965 (20 U.S.C. 1003)) related to the progress of the 
study under subsection (a).

SEC. 808. FEASIBILITY STUDY ON STUDENT LOANS.

  (a) Study Required.--The Congressional Budget Office shall conduct a 
study on the feasibility of allowing borrowers in repayment of student 
loans made under the Higher Education Act of 1965 the option of 
selecting or renegotiating a fixed or variable interest rate on their 
loans and the repayment period of such loans. The study shall evaluate 
various scenarios and options and take into consideration the costs to 
the government, lenders and borrowers of allowing such an option as 
well as the impact on service quality.
  (b) Report.--The Congressional Budget Office shall submit a report on 
the study required by this section to the authorizing committees (as 
defined in section 103 of the Higher Education Act of 1965 (20 U.S.C. 
1003)) not later than one year after the date of the enactment of this 
Act.

SEC. 809. ENDOWMENT REPORT.

  (a) Analysis of Endowments.--The Secretary of Education shall conduct 
a study on the amounts, uses, and public purposes of the endowments of 
institutions of higher education. The study shall include information 
(disaggregated by types of institution) describing--
          (1) the average and range of--
                  (A) the outstanding balance of such endowments;
                  (B) the growth of such endowments over the last 10 
                years; and
                  (C) the percentage of spending on an annual basis 
                and, to the extent practicable, the uses of such 
                endowments by the institutions; and
          (2) the extent to which the funds in such endowments are 
        restricted, and the restrictions placed upon such funds.
  (b) Submission of Report.--The Secretary shall submit the report 
required by subsection (a) to the authorizing committees (as such term 
is defined in section 103 of the Higher Education Act of 1965 (20 
U.S.C. 1003)) not later than one year after the date of enactment of 
this Act.

SEC. 810. STUDY OF CORRECTIONAL POSTSECONDARY EDUCATION.

  (a) Study Required.--The Secretary of Education shall--
          (1) conduct a longitudinal study to assess the effects of 
        correctional postsecondary education that--
                  (A) employs rigorous empirical methods that control 
                for self-selection bias;
                  (B) measures a range of outcomes, including those 
                related to employment and earnings, recidivism, engaged 
                citizenship, impact on families of the incarcerated, 
                and impact on the culture of the correctional 
                institution;
                  (C) examines different delivery systems of 
                postsecondary education, such as on-site and distance 
                learning; and
                  (D) includes a projected cost-benefit analysis of the 
                Federal investment in terms of reduction of future 
                offending, reduction of future prison costs 
                (construction and operational), increased tax payments 
                by formerly incarcerated individuals, a reduction of 
                welfare and other social service costs for successful 
                formerly incarcerated individuals, and increased costs 
                from the employment of formerly incarcerated 
                individuals; and
          (2) make specific recommendations to the Congress and the 
        relevant State agencies responsible for correctional education, 
        such as the State superintendents of education and State 
        secretaries of corrections, on best approaches to increase 
        correctional education and its effectiveness.
  (b) Submission of Reports.--Not later than 3 years after the date of 
enactment of this Act, the Secretary shall submit an interim report on 
the progress of the study required by subsection (a)(1) to the 
authorizing committees (as defined in section 103 of the Higher 
Education Act of 1965 (20 U.S.C. 1003)). Not later than 7 years after 
the date of enactment of this Act, the Secretary shall submit a final 
report, together with the recommendations required by subsection 
(a)(3), to the authorizing committees.

SEC. 811. NATIONAL UNDERGRADUATE FELLOWS PROGRAM.

  (a) Program Authorized.--The Secretary is authorized to provide 
grants, on a competitive basis, to institutions of higher education (as 
defined in section 102) to support a National Undergraduate Fellows 
program.
  (b) Purpose of Grants.--Grants under this section shall be provided 
to enable administrators (including student affairs administrators)--
          (1) to improve postsecondary degree completion rates of 
        current underrepresented students through mentoring, a 
        leadership institute, an internship, and funding to attend 
        regional and national higher education administration 
        conferences;
          (2) to increase the retention and success rates of not only 
        current students, but future generations of underrepresented 
        college students, by encouraging them to pursue a career in 
        higher education or student affairs; and
          (3) to increase the quality and number of underrepresented 
        higher education and student affairs administrators able to 
        provide much needed student support services to students.
  (c) Uses of Funds.--Grantees under this section may use the funds to 
provide--
          (1) staffing support for the program, which may include a 
        higher education administrator as a mentor;
          (2) summer internship opportunities focusing on higher 
        education administration, at an institution other than their 
        own;
          (3) a summer leadership institute participation opportunity 
        for self reflection, leadership skill building, graduate school 
        preparation, and career development; and
          (4) as needed, support to attend regional and national higher 
        education conferences for additional leadership and 
        professional development.
  (d) On-Going Support for the Fellows Program.--From the funds 
appropriated in section 800 of the Higher Education Act of 1965, the 
Secretary shall award a grant, on a competitive basis, to a national 
organization to enable such organization to support the establishment 
and ongoing work of the program under this section.

SEC. 812. NATIONAL CENTER FOR LEARNING SCIENCE AND TECHNOLOGY TRUST 
                    FUND.

  (a) Establishment.--There is established a nonprofit corporation to 
be known as the National Center for Learning Science and Technology 
(referred to in this Act as the ``Center'') which shall not be an 
agency or establishment of the United States Government. The Center 
shall be subject to the provisions of this section, and, to the extent 
consistent with this section, to the District of Columbia Nonprofit 
Corporation Act (D.C. Code, section 29-501 et seq.).
  (b) Funding.--
          (1) In general.--There is established in the Treasury a 
        separate fund to be known as the National Center for Learning 
        Science and Technology Trust Fund (referred to in this Act as 
        the ``Trust Fund''). The Trust Fund shall contain such amounts 
        as are credited to the Trust Fund under paragraph (2) and other 
        funds obtained under paragraph (3).
          (2) Authorization of appropriations.--There are authorized to 
        be appropriated to the Trust Fund such sums as may be necessary 
        for the fiscal years 2008 and each of the 4 succeeding fiscal 
        years.
          (3) Additional funds.--The Trust Fund is authorized--
                  (A) to accept funds from any Federal agency or 
                entity;
                  (B) to accept, hold, administer, invest, and spend 
                any gift, devise, or bequest of real or personal 
                property made to the Center; and
                  (C) to enter into contracts with individuals, public 
                or private organizations, professional societies, and 
                government agencies for the purpose of carrying out the 
                functions of the Center.
  (c) Board of Directors; Functions, and Duties.--
          (1) In general.--A board of directors of the Center (referred 
        to in this Act as the ``Board'') shall be established to 
        oversee the administration of the Center. Such Board shall 
        consist of 9 members to be appointed by the Secretary of 
        Education, who--
                  (A) reflect representation from the public and 
                private sectors; and
                  (B) shall provide, as nearly as practicable, a broad 
                representation of various regions of the United States, 
                various professions and occupations, and various kinds 
                of talent and experience appropriate to the functions 
                and responsibilities of the Center.
          (2) Organization and operation.--The board shall incorporate 
        and operate the center in accordance with the laws governing 
        tax exempt organizations in the District of Columbia.
  (d) Trust Fund Uses.--
          (1) Uses of funds.--To achieve the objectives of this Act, 
        the Director of the Center, after consultation with the Board, 
        may use Trust funds--
                  (A) to support basic and applied research development 
                and demonstrations of innovative learning and 
                assessment systems as well as the components and tools 
                needed to create them;
                  (B) to support the testing and evaluation of these 
                systems; and
                  (C) to encourage the widespread adoption and use of 
                effective approaches to learning.
          (2) Contracts and grants.--
                  (A) In general.--In order to carry out the activities 
                described in paragraph (1), the Director of the Center, 
                with the agreement of a majority of the members of the 
                Board, may award contracts and grants to colleges and 
                universities, museums, libraries, public broadcasting 
                entities and similar nonprofit organizations and public 
                institutions (with or without private partners).
                  (B) Public domain.--
                          (i) In general.--The research and development 
                        properties and materials associated with a 
                        project in which a majority of the funding used 
                        to carry out the project is from a grant or 
                        contract under this Act shall be freely and 
                        nonexclusively available to the general public 
                        in a timely manner.
                          (ii) Exemption.--The Director of the Center 
                        may exempt specific projects from the 
                        requirement of clause (i) if the Director of 
                        the Center and a majority of the members of the 
                        Board determine that the general public will 
                        benefit significantly due to the project not 
                        being freely and nonexclusively available to 
                        the general public in a timely manner.
                  (C) Peer review.--To the extent practicable, 
                proposals for grants or contracts shall be evaluated on 
                the basis of comparative merit by panels of experts who 
                represent diverse interests and perspectives, and who 
                are appointed by the Director of the Center from 
                recommendations from the fields served and from the 
                Board of Directors.
  (e) Accountability and Reporting.--
          (1) Report.--
                  (A) In general.--Not later than April 30 of each 
                year, the Director of the Center shall prepare a report 
                for the preceding fiscal year that contains the 
                information described in subparagraph (B).
                  (B) Contents.--A report under subparagraph (A) shall 
                include--
                          (i) a comprehensive and detailed report of 
                        the Center's operations, activities, financial 
                        condition, and accomplishments, and such 
                        recommendations as the Director of the Center 
                        determines appropriate;
                          (ii) a comprehensive and detailed inventory 
                        of funds distributed from the Trust Fund during 
                        the fiscal year for which the report is being 
                        prepared; and
                          (iii) an independent audit of the Trust 
                        Fund's finances and operations, and of the 
                        implementation of the goals established by the 
                        Board.
                  (C) Statement of the board.--Each report under 
                subparagraph (A) shall include a statement from the 
                Board containing--
                          (i) a clear description of the plans and 
                        priorities of the Board for the subsequent 5-
                        year period for expenditures from the Trust 
                        Fund; and
                          (ii) an estimate of the funds that will be 
                        available for such expenditures from the Trust 
                        Fund.
                  (D) Submission to the president and congress.--A 
                report under this subsection shall be submitted to the 
                President and the authorizing committees (as such term 
                is defined in section 103 of the Higher Education Act 
                of 1965 (20 U.S.C. 1003)).
          (2) Testimony.--The Director and principal officers of the 
        Center shall testify before the appropriate committees of 
        Congress, upon request of such committees, with respect to--
                  (A) a report prepared under paragraph (1)(A); and
                  (B) any other matter that such committees may 
                determine appropriate.
  (f) Use of Funds Subject to Appropriations.--The authority to award 
grants, enter into contracts, or otherwise to expend funds under this 
section is subject to the availability of amounts deposited into the 
Trust Fund under subsection (b)(3)(A) or (B), or amounts otherwise 
appropriated for such purposes by an Act of Congress.

SEC. 813. GAO STUDY OF EDUCATION RELATED INDEBTEDNESS OF MEDICAL SCHOOL 
                    GRADUATES.

  (a) Study Required.--The Comptroller General shall conduct a study to 
evaluate the higher education related indebtedness of medical school 
graduates in the United States at the time of graduation.
  (b) Deadline.--Not later than 1 year after the date of enactment of 
this Act, the Comptroller General shall submit a report on the study 
required by subsection (a) to the authorizing Committees (as such term 
is defined in section 103 of the Higher Education Act of 1965), and 
shall make the report widely available to the public. Additional 
reports may be periodically prepared and released as necessary.

                   TITLE IX--AMENDMENTS TO OTHER LAWS

               PART A--EDUCATION OF THE DEAF ACT OF 1986

SEC. 901. LAURENT CLERC NATIONAL DEAF EDUCATION CENTER.

  Section 104 of the Education of the Deaf Act of 1986 (20 U.S.C. 4304) 
is amended--
          (1) by striking the section heading and inserting ``LAURENT 
        CLERC NATIONAL DEAF EDUCATION CENTER'';
          (2) in subsection (a)(1)(A), by inserting ``the Laurent Clerc 
        National Deaf Education Center (referred to in this section as 
        the `Clerc Center') to carry out'' after ``maintain and 
        operate''; and
          (3) in subsection (b)--
                  (A) in the matter preceding subparagraph (A) of 
                paragraph (1), by striking ``elementary and secondary 
                education programs'' and inserting ``Clerc Center'';
                  (B) in paragraph (2), by striking ``elementary and 
                secondary education programs'' and inserting ``Clerc 
                Center'';
                  (C) in paragraph (4)(C)--
                          (i) in clause (i), by striking ``(6)'' and 
                        inserting ``(8)''; and
                          (ii) in clause (vi), by striking ``(m)'' and 
                        inserting ``(o)''; and
                  (D) by adding at the end the following:
  ``(5) The University, for purposes of the elementary and secondary 
education programs carried out at the Clerc Center, shall--
          ``(A)(i)(I) select challenging academic content standards, 
        challenging student academic achievement standards, and 
        academic assessments of a State, adopted and implemented, as 
        appropriate, pursuant to paragraphs (1) and (3) of section 
        1111(b) of the Elementary and Secondary Education Act of 1965 
        (20 U.S.C. 6311(b)(1) and (3)) and approved by the Secretary; 
        or
          ``(II) develop such standards and assessments subject to the 
        approval of the Secretary; and
          ``(ii) implement such standards and assessments for such 
        programs by not later than the beginning of the 2009-2010 
        academic year;
          ``(B) annually determine whether such programs at the Clerc 
        Center are making adequate yearly progress, as determined 
        according to the definition of adequate yearly progress defined 
        (pursuant to section 1111(b)(2)(C) of such Act (20 U.S.C. 
        6311(b)(2)(C))) by--
                  ``(i) the State that has adopted and implemented the 
                standards and assessments selected under subparagraph 
                (A)(i)(I); or
                  ``(ii) the University, if the University develops 
                standards and assessments in accordance with 
                subparagraph (A)(i)(II); and
          ``(C) publicly report the results of the academic assessments 
        implemented under subparagraph (A), except where such reporting 
        would not yield statistically reliable information or would 
        reveal personally identifiable information about an individual 
        student, and whether the programs at the Clerc Center are 
        making adequate yearly progress, as determined under 
        subparagraph (B).''.

SEC. 902. AGREEMENT WITH GALLAUDET UNIVERSITY.

  Section 105(b)(4) of the Education of the Deaf Act of 1986 (20 U.S.C. 
4305(b)(4)) is amended--
          (1) by striking ``the Act of March 3, 1931 (40 U.S.C. 276a-
        276a-5) commonly referred to as the Davis-Bacon Act'' and 
        inserting ``subchapter IV of chapter 31 of title 40, United 
        States Code, commonly referred to as the Davis-Bacon Act''; and
          (2) by striking ``section 2 of the Act of June 13, 1934 (40 
        U.S.C. 276c)'' and inserting ``section 3145 of title 40, United 
        States Code''.

SEC. 903. AGREEMENT FOR THE NATIONAL TECHNICAL INSTITUTE FOR THE DEAF.

  Section 112 of the Education of the Deaf Act of 1986 (20 U.S.C. 4332) 
is amended--
          (1) in subsection (a)--
                  (A) in paragraph (1)--
                          (i) in the first sentence--
                                  (I) by striking ``an institution of 
                                higher education'' and inserting ``the 
                                Rochester Institute of Technology, 
                                Rochester, New York''; and
                                  (II) by striking ``of a'' and 
                                inserting ``of the''; and
                          (ii) by striking the second sentence;
                  (B) by redesignating paragraph (2) as paragraph (3); 
                and
                  (C) by inserting after paragraph (1) the following:
  ``(2) If, pursuant to the agreement established under paragraph (1), 
either the Secretary or the Rochester Institute of Technology 
terminates the agreement, the Secretary shall consider proposals from 
other institutions of higher education and enter into an agreement with 
one of those institutions for the establishment and operation of a 
National Technical Institute for the Deaf.''; and
          (2) in subsection (b)--
                  (A) in paragraph (3), by striking ``Committee on 
                Labor and Human Resources of the Senate'' and inserting 
                ``Committee on Health, Education, Labor, and Pensions 
                of the Senate''; and
                  (B) in paragraph (5)--
                          (i) by striking ``the Act of March 3, 1931 
                        (40 U.S.C. 276a--276a-5) commonly referred to 
                        as the Davis-Bacon Act'' and inserting 
                        ``subchapter IV of chapter 31 of title 40, 
                        United States Code, commonly referred to as the 
                        Davis-Bacon Act''; and
                          (ii) by striking ``section 2 of the Act of 
                        June 13, 1934 (40 U.S.C. 276c)'' and inserting 
                        ``section 3145 of title 40, United States 
                        Code''.

SEC. 904. AUDIT.

  Section 203 of the Education of the Deaf Act of 1986 (20 U.S.C. 4353) 
is amended--
          (1) in subsection (b)--
                  (A) in paragraph (2), by striking ``sections'' and 
                all that follows through the period and inserting 
                ``sections 102(b), 105(b)(4), 112(b)(5), 203(c), 
                207(b)(2), subsections (c) through (f) of section 207, 
                and subsections (b) and (c) of section 209.''; and
                  (B) in paragraph (3), by inserting ``and the 
                Committee on Education and Labor of the House of 
                Representatives and the Committee on Health, Education, 
                Labor, and Pensions of the Senate'' after 
                ``Secretary''; and
          (2) in subsection (c)(2)(A), by striking ``Committee on Labor 
        and Human Resources of the Senate'' and inserting ``Committee 
        on Health, Education, Labor, and Pensions of the Senate''.

SEC. 905. REPORTS.

  Section 204 of the Education of the Deaf Act of 1986 (20 U.S.C. 4354) 
is amended--
          (1) in the matter preceding paragraph (1), by striking 
        ``Committee on Labor and Human Resources of the Senate'' and 
        inserting ``Committee on Health, Education, Labor, and Pensions 
        of the Senate'';
          (2) in paragraph (1), by striking ``preparatory,'';
          (3) in paragraph (2)(C), by striking ``upon graduation/
        completion'' and inserting ``on the date that is 1 year after 
        the date of graduation or completion''; and
          (4) in paragraph (3)(B), by striking ``of the institution of 
        higher education'' and all that follows through the period and 
        inserting ``of NTID programs and activities.''.

SEC. 906. MONITORING, EVALUATION, AND REPORTING.

  Section 205 of the Education of the Deaf Act of 1986 (20 U.S.C. 4355) 
is amended--
          (1) in the first sentence of subsection (a), by striking 
        ``preparatory,'';
          (2) in subsection (b), by striking ``The Secretary, as part 
        of the annual report required under section 426 of the 
        Department of Education Organization Act, shall include a 
        description of'' and inserting ``The Secretary shall annually 
        transmit information to Congress on''; and
          (3) in subsection (c), by striking ``fiscal years 1998 
        through 2003'' and inserting ``fiscal years 2008 through 
        2013''.

SEC. 907. LIAISON FOR EDUCATIONAL PROGRAMS.

  Section 206(a) of the Education of the Deaf Act of 1986 (20 U.S.C. 
4356(a)) is amended by striking ``Not later than 30 days after the date 
of enactment of this Act, the'' and inserting ``The''.

SEC. 908. FEDERAL ENDOWMENT PROGRAMS FOR GALLAUDET UNIVERSITY AND THE 
                    NATIONAL TECHNICAL INSTITUTE FOR THE DEAF.

  Section 207(h) of the Education of the Deaf Act of 1986 (20 U.S.C. 
4357(h)) is amended by striking ``fiscal years 1998 through 2003'' each 
place it appears and inserting ``fiscal years 2008 through 2013''.

SEC. 909. OVERSIGHT AND EFFECT OF AGREEMENTS.

  Section 208(a) of the Education of the Deaf Act of 1986 (20 U.S.C. 
4359(a)) is amended by striking ``Committee on Labor and Human 
Resources of the Senate and the Committee on Education and the 
Workforce of the House of Representatives'' and inserting ``Committee 
on Education and Labor of the House of Representatives and the 
Committee on Health, Education, Labor, and Pensions of the Senate''.

SEC. 910. INTERNATIONAL STUDENTS.

  Section 209 of the Education of the Deaf Act of 1986 (20 U.S.C. 
4359a) is amended--
          (1) in subsection (a)--
                  (A) by striking ``preparatory, undergraduate,'' and 
                inserting ``undergraduate'';
                  (B) by striking ``Effective with'' and inserting the 
                following:
          ``(1) In general.--Except as provided in paragraph (2), 
        effective with''; and
                  (C) by adding at the end the following:
          ``(2) Distance learning.--International students who 
        participate in distance learning courses that are at NTID or 
        the University and who are residing outside of the United 
        States shall--
                  ``(A) not be counted as international students for 
                purposes of the cap on international students under 
                paragraph (1), except that in any school year no United 
                States citizen who applies to participate in distance 
                learning courses that are at the University or NTID 
                shall be denied participation in such courses because 
                of the participation of an international student in 
                such courses; and
                  ``(B) not be charged a tuition surcharge, as 
                described in subsection (b).''; and
          (2) by striking subsections (b), (c), and (d), and inserting 
        the following:
  ``(b) Tuition Surcharge.--Except as provided in subsections (a)(2)(B) 
and (c), the tuition for postsecondary international students enrolled 
in the University (including undergraduate and graduate students) or 
NTID shall include, for academic year 2008-2009 and any succeeding 
academic year, a surcharge of--
          ``(1) 100 percent for a postsecondary international student 
        from a non-developing country; and
          ``(2) 50 percent for a postsecondary international student 
        from a developing country.
  ``(c) Reduction of Surcharge.--
          ``(1) In general.--Beginning with the academic year 2008-
        2009, the University or NTID may reduce the surcharge--
                  ``(A) under subsection (b)(1) from 100 percent to not 
                less than 50 percent if--
                          ``(i) a student described under subsection 
                        (b)(1) demonstrates need; and
                          ``(ii) such student has made a good-faith 
                        effort to secure aid through such student's 
                        government or other sources; and
                  ``(B) under subsection (b)(2) from 50 percent to not 
                less than 25 percent if--
                          ``(i) a student described under subsection 
                        (b)(2) demonstrates need; and
                          ``(ii) such student has made a good faith 
                        effort to secure aid through such student's 
                        government or other sources.
          ``(2) Development of sliding scale.--The University and NTID 
        shall develop a sliding scale model that--
                  ``(A) will be used to determine the amount of a 
                tuition surcharge reduction pursuant to paragraph (1); 
                and
                  ``(B) shall be approved by the Secretary.
  ``(d) Definition.--In this section, the term `developing country' 
means a country with a per-capita income of not more than $4,825, 
measured in 1999 United States dollars, as adjusted by the Secretary to 
reflect inflation since 1999.''.

SEC. 911. RESEARCH PRIORITIES.

  Section 210(b) of the Education of the Deaf Act of 1986 (20 U.S.C. 
4359b(b)) is amended by striking ``Committee on Education and the 
Workforce of the House of Representatives, and the Committee on Labor 
and Human Resources of the Senate'' and inserting ``Committee on 
Education and Labor of the House of Representatives, and the Committee 
on Health, Education, Labor, and Pensions of the Senate''.

SEC. 912. NATIONAL STUDY ON THE EDUCATION OF THE DEAF.

  (a) Conduct of Study.--Subsection (a)(1) of section 211 of the 
Education of the Deaf Act of 1986 (20 U.S.C. 4360) is amended by 
inserting after ``The Secretary shall'' the following: ``establish a 
commission on the education of the deaf (in this section referred to as 
the `commission') to''.
  (b) Public Input and Consultation.--Subsection (b) of such section is 
amended by striking ``Secretary'' each place it appears and inserting 
``commission''.
  (c) Report.--Subsection (c) of such section is amended--
          (1) in the matter preceding paragraph (1), by striking 
        ``Secretary'' and all that follows through ``1998'' and 
        inserting ``commission shall report to the Secretary and 
        Congress not later than 18 months after the date of the 
        enactment of the College Opportunity and Affordability Act of 
        2007''; and
          (2) in paragraph (1)--
                  (A) by striking ``recommendations,'' and inserting 
                ``recommendations relating to educated-related factors 
                that contribute to successful postsecondary education 
                experiences and employment for individuals who are 
                deaf,''; and
                  (B) by striking ``Secretary'' and inserting 
                ``commission''.
  (d) Authorization of Appropriations.--Subsection (d) of such section 
is amended by striking ``$1,000,000 for each of the fiscal years 1999 
and 2000'' and inserting ``such sums as may be necessary for each of 
the fiscal years 2008 and 2009''.

SEC. 913. AUTHORIZATION OF APPROPRIATIONS.

  Section 212 of the Education of the Deaf Act of 1986 (20 U.S.C. 
4360a) is amended--
          (1) in subsection (a), in the matter preceding paragraph (1), 
        by striking ``fiscal years 1998 through 2003'' and inserting 
        ``fiscal years 2008 through 2013''; and
          (2) in subsection (b), by striking ``fiscal years 1998 
        through 2003'' and inserting ``fiscal years 2008 through 
        2013''.

                        PART B--INDIAN EDUCATION

              Subpart 1--Tribal Colleges and Universities

SEC. 921. REAUTHORIZATION OF THE TRIBALLY CONTROLLED COLLEGE OR 
                    UNIVERSITY ASSISTANCE ACT OF 1978.

  (a) Clarification of the Definition of National Indian 
Organization.--Section 2(a)(6) of the Tribally Controlled College or 
University Assistance Act of 1978 (25 U.S.C. 1801(a)(6)) is amended by 
striking ``in the field of Indian education'' and inserting ``in the 
fields of tribally controlled colleges and universities and Indian 
higher education''.
  (b) Indian Student Count.--Section 2(a) of the Tribally Controlled 
College or University Assistance Act of 1978 (25 U.S.C. 1801(a)) is 
amended--
          (1) by redesignating paragraphs (7) and (8) as paragraphs (8) 
        and (9), respectively; and
          (2) by inserting after paragraph (6) the following:
          ``(7) `Indian student' means a student who is--
                  ``(A) a member of an Indian tribe; or
                  ``(B) a biological child of a member of an Indian 
                tribe, living or deceased;''.
  (c) Continuing Education.--Section 2(b) of the Tribally Controlled 
College or University Assistance Act of 1978 (25 U.S.C. 1801(b)) is 
amended--
          (1) in the matter preceding paragraph (1), by striking 
        ``paragraph (7) of subsection (a)'' and inserting ``subsection 
        (a)(8)'';
          (2) by striking paragraph (5) and inserting the following:
          ``(5) Determination of credits.--Eligible credits earned in a 
        continuing education program--
                  ``(A) shall be determined as 1 credit for every 10 
                contact hours in the case of an institution on a 
                quarter system, or 15 contact hours in the case of an 
                institution on a semester system, of participation in 
                an organized continuing education experience under 
                responsible sponsorship, capable direction, and 
                qualified instruction, as described in the criteria 
                established by the International Association for 
                Continuing Education and Training; and
                  ``(B) shall be limited to 10 percent of the Indian 
                student count of a tribally controlled college or 
                university.''; and
          (3) by striking paragraph (6).
  (d) Accreditation Requirement.--Section 103 of the Tribally 
Controlled College or University Assistance Act of 1978 (25 U.S.C. 
1804) is amended--
          (1) in paragraph (2), by striking ``and'' at the end;
          (2) in paragraph (3), by striking the period at the end and 
        inserting ``; and''; and
          (3) by inserting after paragraph (3), the following:
          ``(4)(A) is accredited by a nationally recognized accrediting 
        agency or association determined by the Secretary of Education 
        to be a reliable authority with regard to the quality of 
        training offered; or
          ``(B) according to such an agency or association, is making 
        reasonable progress toward accreditation.''.
  (e) Technical Assistance Contracts.--Section 105 of the Tribally 
Controlled College or University Assistance Act of 1978 (25 U.S.C. 
1805) is amended--
          (1) by striking the section designation and heading and all 
        that follows through ``The Secretary shall'' and inserting the 
        following:

``SEC. 105. TECHNICAL ASSISTANCE CONTRACTS.

  ``(a) Technical Assistance.--
          ``(1) In general.--The Secretary shall'';
          (2) in the second sentence, by striking ``In the awarding of 
        contracts for technical assistance, preference shall be given'' 
        and inserting the following:
          ``(2) Designated organization.--The Secretary shall require 
        that a contract for technical assistance under paragraph (1) 
        shall be awarded''; and
          (3) in the third sentence, by striking ``No authority'' and 
        inserting the following:
  ``(b) Effect of Section.--No authority''.
  (f) Amount of Grants.--Section 108(a) of the Tribally Controlled 
College or University Assistance Act of 1978 (25 U.S.C. 1808(a)) is 
amended--
          (1) by redesignating paragraphs (1) and (2) as subparagraphs 
        (A) and (B), respectively, and indenting the subparagraphs 
        appropriately;
          (2) by striking ``(a) Except as provided in section 111,'' 
        and inserting the following:
  ``(a) Requirement.--
          ``(1) In general.--Except as provided in paragraph (2) and 
        section 111,'';
          (3) in paragraph (1) (as redesignated by paragraphs (1) and 
        (2))--
                  (A) in the matter preceding subparagraph (A) (as 
                redesignated by paragraph (1))--
                          (i) by striking ``him'' and inserting ``the 
                        Secretary''; and
                          (ii) by striking ``product of'' and inserting 
                        ``product obtained by multiplying'';
                  (B) in subparagraph (A) (as redesignated by paragraph 
                (1)), by striking ``section 2(a)(7)'' and inserting 
                ``section 2(a)(8)''; and
                  (C) in subparagraph (B) (as redesignated by paragraph 
                (1)), by striking ``$6,000,'' and inserting ``$8,000, 
                as adjusted annually for inflation.''; and
          (4) by striking ``except that no grant shall exceed the total 
        cost of the education program provided by such college or 
        university.'' and inserting the following:
          ``(2) Exception.--The amount of a grant under paragraph (1) 
        shall not exceed an amount equal to the total cost of the 
        education program provided by the applicable tribally 
        controlled college or university.''.
  (g) General Provisions Reauthorization.--Section 110(a) of the 
Tribally Controlled College or University Assistance Act of 1978 (25 
U.S.C. 1810(a)) is amended--
          (1) in paragraphs (1), (2), (3), and (4), by striking 
        ``1999'' and inserting ``2008'';
          (2) in paragraphs (1), (2), and (3), by striking ``4 
        succeeding'' and inserting ``5 succeeding'';
          (3) in paragraph (2), by striking ``$40,000,000'' and 
        inserting ``such sums as may be necessary'';
          (4) in paragraph (3), by striking ``$10,000,000'' and 
        inserting ``such sums as may be necessary''; and
          (5) in paragraph (4), by striking ``succeeding 4'' and 
        inserting ``5 succeeding''.
  (h) Endowment Program Reauthorization.--Section 306(a) of the 
Tribally Controlled College or University Assistance Act of 1978 (25 
U.S.C. 1836(a)) is amended--
          (1) by striking ``1999'' and inserting ``2008''; and
          (2) by striking ``4 succeeding'' and inserting ``5 
        succeeding''.
  (i) Tribal Economic Development Reauthorization.--Section 403 of the 
Tribal Economic Development and Technology Related Education Assistance 
Act of 1990 (25 U.S.C. 1852) is amended--
          (1) by striking ``$2,000,000 for fiscal year 1999'' and 
        inserting ``such sums as may be necessary for fiscal year 
        2008''; and
          (2) by striking ``4 succeeding'' and inserting ``5 
        succeeding''.
  (j) Tribally Controlled Postsecondary Career and Technical 
Institutions.--
          (1) In general.--The Tribally Controlled College or 
        University Assistance Act of 1978 (25 U.S.C. 1801 et seq.) is 
        amended by adding at the end the following:

   ``TITLE V--TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                              INSTITUTIONS

``SEC. 501. DEFINITION OF TRIBALLY CONTROLLED POSTSECONDARY CAREER AND 
                    TECHNICAL INSTITUTION.

  ``In this title, the term `tribally controlled postsecondary career 
and technical institution' has the meaning given the term in section 3 
of the Carl D. Perkins Career and Technical Education Act of 2006 (20 
U.S.C. 2302).

``SEC. 502. TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                    INSTITUTIONS PROGRAM.

  ``(a) In General.--Subject to the availability of appropriations, for 
fiscal year 2008 and each fiscal year thereafter, the Secretary shall--
          ``(1) subject to subsection (b), select 2 tribally controlled 
        postsecondary career and technical institutions to receive 
        assistance under this title; and
          ``(2) provide funding to the selected tribally controlled 
        postsecondary career and technical institutions to pay the 
        costs (including institutional support costs) of operating 
        postsecondary career and technical education programs for 
        Indian students at the tribally controlled postsecondary career 
        and technical institutions.
  ``(b) Selection of Certain Institutions.--
          ``(1) Requirement.--For each fiscal year during which the 
        Secretary determines that a tribally controlled postsecondary 
        career and technical institution described in paragraph (2) 
        meets the definition referred to in section 501, the Secretary 
        shall select that tribally controlled postsecondary career and 
        technical institution under subsection (a)(1) to receive 
        funding under this section.
          ``(2) Institutions.--The 2 tribally controlled postsecondary 
        career and technical institutions referred to in paragraph (1) 
        are--
                  ``(A) the United Tribes Technical College; and
                  ``(B) the Navajo Technical College.
  ``(c) Method of Payment.--For each applicable fiscal year, the 
Secretary shall provide funding under this section to each tribally 
controlled postsecondary career and technical institution selected for 
the fiscal year under subsection (a)(1) in a lump sum payment for the 
fiscal year.
  ``(d) Distribution.--
          ``(1) In general.--For fiscal year 2009 and each fiscal year 
        thereafter, of amounts made available pursuant to section 504, 
        the Secretary shall distribute to each tribally controlled 
        postsecondary career and technical institution selected for the 
        fiscal year under subsection (a)(1) an amount equal to the 
        greater of--
                  ``(A) the total amount appropriated for the tribally 
                controlled postsecondary career and technical 
                institution for fiscal year 2006; or
                  ``(B) the total amount appropriated for the tribally 
                controlled postsecondary career and technical 
                institution for fiscal year 2008.
          ``(2) Excess amounts.--If, for any fiscal year, the amount 
        made available pursuant to section 504 exceeds the sum of the 
        amounts required to be distributed under paragraph (1) to the 
        tribally controlled postsecondary career and technical 
        institutions selected for the fiscal year under subsection 
        (a)(1), the Secretary shall distribute to each tribally 
        controlled postsecondary career and technical institution 
        selected for that fiscal year a portion of the excess amount, 
        to be determined by--
                  ``(A) dividing the excess amount by the aggregate 
                Indian student count (as defined in section 117(h) of 
                the Carl D. Perkins Career and Technical Education Act 
                of 2006 (20 U.S.C. 2327(h))) of such institutions for 
                the prior academic year; and
                  ``(B) multiplying the quotient described in 
                subparagraph (A) by the Indian student count of each 
                such institution for the prior academic year.

``SEC. 503. APPLICABILITY OF OTHER LAWS.

  ``(a) In General.--Paragraphs (4) and (7) of subsection (a), and 
subsection (b), of section 2, sections 105, 108, 111, 112 and 113, and 
titles II, III, and IV shall not apply to this title.
  ``(b) Indian Self-Determination and Education Assistance.--Funds made 
available pursuant to this title shall be subject to the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450 et seq.).
  ``(c) Election To Receive.--A tribally controlled postsecondary 
career and technical institution selected for a fiscal year under 
section 502(b) may elect to receive funds pursuant to section 502 in 
accordance with an agreement between the tribally controlled 
postsecondary career and technical institution and the Secretary under 
the Indian Self-Determination and Education Assistance Act (25 U.S.C. 
450 et seq.) if the agreement is in existence on the date of enactment 
of the College Opportunity and Affordability Act of 2007.
  ``(d) Other Assistance.--Eligibility for, or receipt of, assistance 
under this title shall not preclude the eligibility of a tribally 
controlled postsecondary career and technical institutions to receive 
Federal financial assistance under--
          ``(1) any program under the Higher Education Act of 1965 (20 
        U.S.C. 1001 et seq.);
          ``(2) any program under the Carl D. Perkins Career and 
        Technical Education Act of 2006; or
          ``(3) any other applicable program under which a benefit is 
        provided for--
                  ``(A) institutions of higher education;
                  ``(B) community colleges; or
                  ``(C) postsecondary educational institutions.

``SEC. 504. AUTHORIZATION OF APPROPRIATIONS.

  ``There are authorized to be appropriated such sums as are necessary 
for fiscal year 2008 and each fiscal year thereafter to carry out this 
title.''.
          (2) Conforming amendments.--Section 117 of the Carl D. 
        Perkins Career and Technical Education Act of 2006 (20 U.S.C. 
        2327) is amended--
                  (A) by striking subsection (a) and inserting the 
                following:
  ``(a) Grant Program.--Subject to the availability of appropriations, 
the Secretary shall make grants under this section, to provide basic 
support for the education and training of Indian students, to tribally 
controlled postsecondary career and technical institutions that are not 
receiving Federal assistance as of the date on which the grant is 
provided under--
          ``(1) title I of the Tribally Controlled College or 
        University Assistance Act of 1978 (25 U.S.C. 1802 et seq.); or
          ``(2) the Navajo Community College Act (25 U.S.C. 640a et 
        seq.).''; and
                  (B) by striking subsection (d) and inserting the 
                following:
  ``(d) Applications.--To be eligible to receive a grant under this 
section, a tribally controlled postsecondary career and technical 
institution that is not receiving Federal assistance under title I of 
the Tribally Controlled College or University Assistance Act (25 U.S.C. 
1802 et seq.) or the Navajo Community College Act (25 U.S.C. 640a et 
seq.) shall submit to the Secretary an application at such time, in 
such manner, and containing such information as the Secretary may 
require.''.
  (k) Short Title.--
          (1) In general.--The first section of the Tribally Controlled 
        College or University Assistance Act of 1978 (25 U.S.C. 1801 
        note; Public Law 95-471) is amended to read as follows:

``SECTION 1. SHORT TITLE.

  ``This Act may be cited as the `Tribally Controlled Colleges and 
Universities Assistance Act of 1978'.''.
          (2) References.--Any reference in law (including regulations) 
        to the Tribally Controlled College or University Assistance Act 
        of 1978 shall be considered to be a reference to the ``Tribally 
        Controlled Colleges and Universities Assistance Act of 1978''.

                   Subpart 2--Navajo Higher Education

SEC. 931. REAUTHORIZATION OF NAVAJO COMMUNITY COLLEGE ACT.

  (a) Purpose.--Section 2 of the Navajo Community College Act (25 
U.S.C. 640a) is amended--
          (1) by striking ``Navajo Tribe of Indians'' and inserting 
        ``Navajo Nation''; and
          (2) by striking ``the Navajo Community College'' and 
        inserting ``Dine College''.
  (b) Grants.--Section 3 of the Navajo Community College Act (25 U.S.C. 
640b) is amended--
          (1) in the first sentence--
                  (A) by inserting ``the'' before ``Interior'';
                  (B) by striking ``Navajo Tribe of Indians'' and 
                inserting ``Navajo Nation''; and
                  (C) by striking ``the Navajo Community College'' and 
                inserting ``Dine College''; and
          (2) in the second sentence--
                  (A) by striking ``Navajo Tribe'' and inserting 
                ``Navajo Nation''; and
                  (B) by striking ``Navajo Indians'' and inserting 
                ``Navajo people''.
  (c) Study of Facilities Needs.--Section 4 of the Navajo Community 
College Act (25 U.S.C. 640c) is amended--
          (1) in subsection (a)--
                  (A) in the first sentence--
                          (i) by striking ``the Navajo Community 
                        College'' and inserting ``Dine College''; and
                          (ii) by striking ``August 1, 1979'' and 
                        inserting ``October 31, 2010''; and
                  (B) in the second sentence, by striking ``Navajo 
                Tribe'' and inserting ``Navajo Nation'';
          (2) in subsection (b), by striking ``the date of enactment of 
        the Tribally Controlled Community College Assistance Act of 
        1978'' and inserting ``October 1, 2007''; and
          (3) in subsection (c), in the first sentence, by striking 
        ``the Navajo Community College'' and inserting ``Dine 
        College''.
  (d) Authorization of Appropriations.--Section 5 of the Navajo 
Community College Act (25 U.S.C. 640c-1) is amended--
          (1) in subsection (a)--
                  (A) in paragraph (1), by striking ``$2,000,000'' and 
                all that follows through the end of the paragraph and 
                inserting ``such sums as are necessary for fiscal years 
                2008 through 2013.''; and
                  (B) by adding at the end the following:
  ``(3) Sums described in paragraph (2) shall be used to provide grants 
for construction activities, including the construction of buildings, 
water and sewer facilities, roads, information technology and 
telecommunications infrastructure, classrooms, and external structures 
(such as walkways).'';
          (2) in subsection (b)(1)--
                  (A) in the matter preceding subparagraph (A)--
                          (i) by striking ``the Navajo Community 
                        College'' and inserting ``Dine College''; and
                          (ii) by striking ``, for each fiscal year'' 
                        and all that follows through ``for--'' and 
                        inserting ``such sums as are necessary for 
                        fiscal years 2008 through 2013 to pay the cost 
                        of--'';
                  (B) in subparagraph (A)--
                          (i) by striking ``college'' and inserting 
                        ``College'';
                          (ii) in clauses (i) and (iii), by striking 
                        the commas at the end of the clauses and 
                        inserting semicolons; and
                          (iii) in clause (ii), by striking ``, and'' 
                        at the end and inserting ``; and'';
                  (C) in subparagraph (B), by striking the comma at the 
                end and inserting a semicolon;
                  (D) in subparagraph (C), by striking ``, and'' at the 
                end and inserting a semicolon;
                  (E) in subparagraph (D), by striking the period at 
                the end and inserting ``; and''; and
                  (F) by adding at the end the following:
                  ``(E) improving and expanding the College, including 
                by providing, for the Navajo people and others in the 
                community of the College--
                          ``(i) higher education programs;
                          ``(ii) career and technical education;
                          ``(iii) activities relating to the 
                        preservation and protection of the Navajo 
                        language, philosophy, and culture;
                          ``(iv) employment and training opportunities;
                          ``(v) economic development and community 
                        outreach; and
                          ``(vi) a safe learning, working, and living 
                        environment.''; and
          (3) in subsection (c), by striking ``the Navajo Community 
        College'' and inserting ``Dine College''.
  (e) Effect on Other Laws.--Section 6 of the Navajo Community College 
Act (25 U.S.C. 640c-2) is amended--
          (1) by striking ``the Navajo Community College'' each place 
        it appears and inserting ``Dine College''; and
          (2) in subsection (b), by striking ``college'' and inserting 
        ``College''.
  (f) Payments; Interest.--Section 7 of the Navajo Community College 
Act (25 U.S.C. 640c-3) is amended by striking ``the Navajo Community 
College'' each place it appears and inserting ``Dine College''.

     PART C--HIGHER EDUCATION AMENDMENTS OF 1998; HIGHER EDUCATION 
                           AMENDMENTS OF 1992

SEC. 941. GRANTS FOR TRAINING FOR INCARCERATED INDIVIDUALS.

  Part D of title VIII of the Higher Education Amendments of 1998 (20 
U.S.C. 1151) is amended to read as follows:

       ``PART D--GRANTS FOR TRAINING FOR INCARCERATED INDIVIDUALS

``SEC. 821. GRANTS FOR IMPROVED WORKPLACE AND COMMUNITY TRANSITION 
                    TRAINING FOR INCARCERATED INDIVIDUALS.

  ``(a) Definition.--In this section:
          ``(1) Incarcerated individual.--The term `incarcerated 
        individual' means a male or female offender who is incarcerated 
        in a State or Federal prison, including a prerelease facility.
          ``(2) Secretary.--The term `Secretary' means the Secretary of 
        Education.
  ``(b) Grant Program.--The Secretary--
          ``(1) shall establish a program in accordance with this 
        section to provide grants to the State correctional education 
        agencies in the States, and to the Federal Bureau of Prisons, 
        to assist and encourage incarcerated individuals to acquire 
        educational and job skills, through--
                  ``(A) coursework to prepare students to take college-
                level courses, such as remedial math and English for 
                postsecondary preparation;
                  ``(B) the pursuit of a postsecondary education 
                certificate, or an associate or bachelor's degree, 
                provided by a regionally or nationally accredited body 
                while in prison; and
                  ``(C) employment counseling and other related 
                services which start during incarceration and end not 
                later than 1 year after release from confinement; and
          ``(2) may establish such performance objectives and reporting 
        requirements for State correctional education agencies and the 
        Federal Bureau of Prisons receiving grants under this section 
        as the Secretary determines are necessary to assess the 
        effectiveness of the program under this section.
  ``(c) Application.--To be eligible for a grant under this section, a 
State correctional education agency or the Federal Bureau of Prisons 
shall submit to the Secretary a proposal for an incarcerated individual 
program that--
          ``(1) identifies the scope of the problem, including the 
        number of incarcerated individuals in need of postsecondary 
        education and vocational training;
          ``(2) lists the accredited public or private educational 
        institution or institutions with campuses established outside 
        the prison facility that will provide postsecondary preparatory 
        or postsecondary educational services;
          ``(3) lists the cooperating agencies, public and private, or 
        businesses that will provide related services, such as 
        counseling in the areas of career development, substance abuse, 
        health, and parenting skills;
          ``(4) describes specific performance objectives and 
        evaluation methods (in addition to, and consistent with, any 
        objectives established by the Secretary under subsection 
        (b)(2)) that the State correctional education agency or the 
        Federal Bureau of Prisons will use in carrying out its 
        proposal, including--
                  ``(A) specific and quantified student outcome 
                measures that are referenced to outcomes for non-
                program participants with similar demographic 
                characteristics; and
                  ``(B) measures, consistent with the data elements and 
                definitions described in subsection (d)(1)(A), of--
                          ``(i) program completion, including an 
                        explicit definition of what constitutes a 
                        program completion within the proposal;
                          ``(ii) knowledge and skill attainment, 
                        including specification of instruments that 
                        will measure knowledge and skill attainment;
                          ``(iii) attainment of employment both prior 
                        to and subsequent to release;
                          ``(iv) success in employment indicated by job 
                        retention and advancement; and
                          ``(v) recidivism, including such 
                        subindicators as time before subsequent offense 
                        and severity of offense;
          ``(5) describes how the proposed programs are to be 
        integrated with existing State and Federal correctional 
        education programs (such as adult education, graduate education 
        degree programs, and vocational training) and State and Federal 
        prison industry programs; and
          ``(6) describes how the proposed programs will have 
        considered or will utilize technology to deliver the services 
        under this section.
  ``(d) Program Requirements.--Each State correctional education agency 
and Federal Bureau of Prisons entity receiving a grant under this 
section shall--
          ``(1) annually report to the Secretary regarding--
                  ``(A) the results of the evaluations conducted using 
                data elements and definitions provided by the Secretary 
                for the use of State correctional education programs 
                and the Federal Bureau of Prisons;
                  ``(B) any objectives or requirements established by 
                the Secretary pursuant to subsection (b)(2);
                  ``(C) the additional performance objectives and 
                evaluation methods contained in the proposal described 
                in subsection (c)(4) as necessary to document the 
                attainment of project performance objectives; and
                  ``(D) how the funds provided under this section are 
                being allocated among postsecondary preparatory 
                education, postsecondary academic, and vocational 
                education programs; and
          ``(2) provide to each State and the Federal Bureau of Prisons 
        for each student eligible under subsection (e) not more than--
                  ``(A) $3,000 annually for tuition, books, and 
                essential materials; and
                  ``(B) $300 annually for related services such as 
                career development, substance abuse counseling, 
                parenting skills training, and health education.
  ``(e) Education Delivery Systems.--State correctional education 
agencies, the Federal Bureau of Prisons, and cooperating institutions 
shall, to the extent practicable, use high-tech applications in 
developing programs to meet the requirements and goals of this section.
  ``(f) Length of Participation.--Services carried out with a grant 
under this section shall be available to incarcerated individuals as 
follows:
          ``(1) Educational services shall start during the period of 
        incarceration or prerelease and shall end upon release.
          ``(2) Related services shall start during the period of 
        incarceration or prerelease and may continue for not more than 
        one year after release.
  ``(g) Federal Bureau of Prisons Grant Eligibility.--Notwithstanding 
any other provision of law, the Federal Bureau of Prisons shall be 
eligible to apply for and receive a grant under this section, provided 
that the Federal Bureau of Prisons meets the application and program 
requirements under this section.
  ``(h) Allocation of Funds.--
          ``(1) States.--From the funds appropriated pursuant to 
        subsection (i) for each fiscal year, the Secretary shall allot 
        to each State an amount that bears the same ratio to such funds 
        as the total number of incarcerated individuals in such State 
        bears to the total number of such incarcerated individuals in 
        all States.
          ``(2) Federal bureau of prisons facilities.--From the funds 
        appropriated pursuant to subsection (h) for each fiscal year, 
        the Secretary shall allot to each Federal Bureau of Prisons 
        facility an amount that bears the same ratio to such funds as 
        the total number of inmates in such facility bears to the total 
        number of inmates in all Bureau of Prisons facilities.
  ``(i) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section such sums as may be necessary 
for fiscal year 2009 and each of the 4 succeeding fiscal years.''.

SEC. 942. UNDERGROUND RAILROAD.

  Section 841(c) of the Higher Education Amendments of 1998 (20 U.S.C. 
1153(c)) is amended by striking ``this section'' and all that follows 
through the period at the end and inserting ``this section $3,000,000 
for fiscal years 2009 and the 4 succeeding fiscal years.''.

SEC. 943. REPEALS OF EXPIRED AND EXECUTED PROVISIONS.

  The following provisions of the Higher Education Amendments of 1998 
are repealed:
          (1) Study of market mechanisms in federal student loan 
        programs.--Section 801 (20 U.S.C. 1018 note).
          (2) Study of feasibility of alternate financial instruments 
        for determining lender yields.--Section 802.
          (3) Student related debt study.--Section 803 (20 U.S.C. 1015 
        note).
          (4) Community scholarship mobilization.--Part C of title VIII 
        (20 U.S.C. 1070 note).
          (5) Improving united states understanding of science, 
        engineering, and technology in east asia.--Part F of title VIII 
        (42 U.S.C. 1862 note).
          (6) Web-based education commission.--Part J of title VIII.

SEC. 944. OLYMPIC SCHOLARSHIPS.

  Section 1543(d) of the Higher Education Amendments of 1992 (20 U.S.C. 
1070 note) is amended by striking ``1999'' and inserting ``2009''.

SEC. 945. ESTABLISHMENT OF ASSISTANT SECRETARY FOR INTERNATIONAL AND 
                    FOREIGN LANGUAGE EDUCATION.

  (a) In General.--Section 202 of the Department of Education 
Organization Act (20 U.S.C. 3412) is amended in subsection (b)(1)--
          (1) in subparagraph (E) by striking ``and'' at the end;
          (2) by redesignating subparagraph (F) as subparagraph (G); 
        and
          (3) by inserting after subparagraph (E) the following:
          ``(F) an Assistant Secretary for International and Foreign 
        Language Education; and''.
  (b) Functions.--Such section is further amended by adding at the end 
the following:
  ``(j) The Assistant Secretary for International and Foreign Language 
Education--
          ``(1) shall be an individual with extensive background and 
        experience in international and foreign language education; and
          ``(2) notwithstanding any other provision of law, shall 
        report directly to the Secretary.''.
  (c) Conforming Amendment.--Such section is further amended in 
subsection (e)--
          (1) in paragraph (4), by adding ``and'' at the end;
          (2) in paragraph (5), by striking ``; and'' at the end and 
        inserting a period; and
          (3) by striking paragraph (6).
  (d) Office of International and Foreign Language Education.--Title II 
of the Department of Education Organization Act is amended by inserting 
after section 207 (20 U.S.C. 3417) the following:
        ``office of international and foreign language education
  ``Sec. 207A.  There shall be in the Department an Office of 
International and Foreign Language Education, to be administered by the 
Assistant Secretary for International and Foreign Language Education 
appointed under section 202(b). In addition to performing such 
functions affecting international and foreign language education as the 
Secretary may prescribe, the Assistant Secretary shall--
          ``(1) have responsibility for encouraging and promoting the 
        study of foreign languages and the study of cultures of other 
        countries at the elementary, secondary, and postsecondary 
        levels in the United States;
          ``(2) carry out the administration of all Department programs 
        on international and foreign language education and research;
          ``(3) coordinate with related international and foreign 
        language education programs of other Federal departments and 
        agencies; and
          ``(4) administer and coordinate the Department of Education's 
        activities in international affairs.''.

                  PART D--JUSTICE DEPARTMENT PROGRAMS

SEC. 951. LOAN REPAYMENT FOR PROSECUTORS AND DEFENDERS.

  Title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42 
U.S.C. 3711 et seq.) is amended by adding at the end the following:

     ``PART JJ--LOAN REPAYMENT FOR PROSECUTORS AND PUBLIC DEFENDERS

``SEC. 3111. GRANT AUTHORIZATION.

  ``(a) Purpose.--The purpose of this section is to encourage qualified 
individuals to enter and continue employment as prosecutors and public 
defenders.
  ``(b) Definitions.--In this section:
          ``(1) Prosecutor.--The term `prosecutor' means a full-time 
        employee of a State or local agency who--
                  ``(A) is continually licensed to practice law; and
                  ``(B) prosecutes criminal or juvenile delinquency 
                cases (or both) at the State or local level, including 
                an employee who supervises, educates, or trains other 
                persons prosecuting such cases.
          ``(2) Public defender.--The term `public defender' means an 
        attorney who--
                  ``(A) is continually licensed to practice law; and
                  ``(B) is--
                          ``(i) a full-time employee of a State or 
                        local agency who provides legal representation 
                        to indigent persons in criminal or juvenile 
                        delinquency cases (or both), including an 
                        attorney who supervises, educates, or trains 
                        other persons providing such representation;
                          ``(ii) a full-time employee of a nonprofit 
                        organization operating under a contract with a 
                        State or unit of local government, who devotes 
                        substantially all of such full-time employment 
                        to providing legal representation to indigent 
                        persons in criminal or juvenile delinquency 
                        cases (or both), including an attorney who 
                        supervises, educates, or trains other persons 
                        providing such representation; or
                          ``(iii) employed as a full-time Federal 
                        defender attorney in a defender organization 
                        established pursuant to subsection (g) of 
                        section 3006A of title 18, United States Code, 
                        that provides legal representation to indigent 
                        persons in criminal or juvenile delinquency 
                        cases (or both).
          ``(3) Student loan.--The term `student loan' means--
                  ``(A) a loan made, insured, or guaranteed under part 
                B of title IV of the Higher Education Act of 1965 (20 
                U.S.C. 1071 et seq.);
                  ``(B) a loan made under part D or E of title IV of 
                the Higher Education Act of 1965 (20 U.S.C. 1087a et 
                seq. and 1087aa et seq.); and
                  ``(C) a loan made under section 428C or 455(g) of the 
                Higher Education Act of 1965 (20 U.S.C. 1078-3 and 
                1087e(g)) to the extent that such loan was used to 
                repay a Federal Direct Stafford Loan, a Federal Direct 
                Unsubsidized Stafford Loan, or a loan made under 
                section 428 or 428H of such Act.
  ``(c) Program Authorized.--The Attorney General shall, subject to the 
availability of appropriations, establish a program by which the 
Department of Justice shall assume the obligation to repay a student 
loan, by direct payments on behalf of a borrower to the holder of such 
loan, in accordance with subsection (d), for any borrower who--
          ``(1) is employed as a prosecutor or public defender; and
          ``(2) is not in default on a loan for which the borrower 
        seeks forgiveness.
  ``(d) Terms of Loan Repayment.--
          ``(1) Borrower agreement.--To be eligible to receive 
        repayment benefits under subsection (c), a borrower shall enter 
        into a written agreement with the Attorney General that 
        specifies that--
                  ``(A) the borrower will remain employed as a 
                prosecutor or public defender for a required period of 
                service of not less than 3 years, unless involuntarily 
                separated from that employment;
                  ``(B) if the borrower is involuntarily separated from 
                employment on account of misconduct, or voluntarily 
                separates from employment, before the end of the period 
                specified in the agreement, the borrower will repay the 
                Attorney General the amount of any benefits received by 
                such employee under this section; and
                  ``(C) if the borrower is required to repay an amount 
                to the Attorney General under subparagraph (B) and 
                fails to repay such amount, a sum equal to that amount 
                shall be recoverable by the Federal Government from the 
                employee (or such employee's estate, if applicable) by 
                such methods as are provided by law for the recovery of 
                amounts owed to the Federal Government.
          ``(2) Repayment by borrower.--
                  ``(A) In general.--Any amount repaid by, or recovered 
                from, an individual or the estate of an individual 
                under this subsection shall be credited to the 
                appropriation account from which the amount involved 
                was originally paid.
                  ``(B) Merger.--Any amount credited under subparagraph 
                (A) shall be merged with other sums in such account and 
                shall be available for the same purposes and period, 
                and subject to the same limitations, if any, as the 
                sums with which the amount was merged.
                  ``(C) Waiver.--The Attorney General may waive, in 
                whole or in part, a right of recovery under this 
                subsection if it is shown that recovery would be 
                against equity and good conscience or against the 
                public interest.
          ``(3) Limitations.--
                  ``(A) Student loan payment amount.--Student loan 
                repayments made by the Attorney General under this 
                section shall be made subject to the availability of 
                appropriations, and subject to such terms, limitations, 
                or conditions as may be mutually agreed upon by the 
                borrower and the Attorney General in an agreement under 
                paragraph (1), except that the amount paid by the 
                Attorney General under this section shall not exceed--
                          ``(i) $10,000 for any borrower in any 
                        calendar year; or
                          ``(ii) an aggregate total of $60,000 in the 
                        case of any borrower.
                  ``(B) Beginning of payments.--Nothing in this section 
                shall authorize the Attorney General to pay any amount 
                to reimburse a borrower for any repayments made by such 
                borrower prior to the date on which the Attorney 
                General entered into an agreement with the borrower 
                under this subsection.
  ``(e) Additional Agreements.--
          ``(1) In general.--On completion of the required period of 
        service under an agreement under subsection (d), the borrower 
        and the Attorney General may, subject to paragraph (2), enter 
        into an additional agreement in accordance with subsection (d).
          ``(2) Term.--An agreement entered into under paragraph (1) 
        may require the borrower to remain employed as a prosecutor or 
        public defender for less than 3 years.
  ``(f) Award Basis; Priority.--
          ``(1) Award basis.--The Attorney General shall provide 
        repayment benefits under this section--
                  ``(A) subject to the availability of appropriations; 
                and
                  ``(B) in accordance with paragraph (2), except that 
                the Attorney General shall determine a fair allocation 
                of repayment benefits among prosecutors and defenders, 
                and among employing entities nationwide.
          ``(2) Priority.--In providing repayment benefits under this 
        section in any fiscal year, the Attorney General shall give 
        priority to borrowers--
                  ``(A) who, when compared to other eligible borrowers, 
                have the least ability to repay their student loans 
                (considering whether the borrower is the beneficiary of 
                any other student loan repayment program), as 
                determined by the Attorney General; or
                  ``(B) who--
                          ``(i) received repayment benefits under this 
                        section during the preceding fiscal year; and
                          ``(ii) have completed less than 3 years of 
                        the first required period of service specified 
                        for the borrower in an agreement entered into 
                        under subsection (d).
  ``(g) Regulations.--The Attorney General is authorized to issue such 
regulations as may be necessary to carry out the provisions of this 
section.
  ``(h) Report by Inspector General.--Not later than 3 years after the 
date of the enactment of this section, the Inspector General of the 
Department of Justice shall submit to Congress a report on--
          ``(1) the cost of the program authorized under this section; 
        and
          ``(2) the impact of such program on the hiring and retention 
        of prosecutors and public defenders.
  ``(i) GAO Study.--Not later than one year after the date of the 
enactment of this section, the Comptroller General shall conduct a 
study of, and report to Congress on, the impact that law school 
accreditation requirements and other factors have on the costs of law 
school and student access to law school, including the impact of such 
requirements on racial and ethnic minorities.
  ``(j) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $25,000,000 for each of the 
fiscal years 2008 through 2013.''.

SEC. 952. NATIONAL CENTER FOR CAMPUS PUBLIC SAFETY.

  (a) In General.--The Attorney General of the United States is 
authorized to make grants, through the Office of Community Oriented 
Policing Services, to establish and operate a National Center for 
Campus Public Safety (referred to in this section as the ``Center''). 
The Center shall--
          (1) provide quality education and training for campus public 
        safety agencies and the agencies' collaborative partners, 
        including campus mental health agencies;
          (2) foster quality research to strengthen the safety and 
        security of the institutions of higher education in the United 
        States;
          (3) serve as a clearinghouse for the identification and 
        dissemination of information, policies, procedures, and best 
        practices relevant to campus public safety, including the 
        prevention of violence against persons and property and 
        emergency response and evacuation procedures;
          (4) develop protocols, in conjunction with the Attorney 
        General, the Secretary of Homeland Security, the Secretary of 
        Education, State, local, and tribal governments and law 
        enforcement agencies, private and nonprofit organizations and 
        associations, and other stakeholders, to prevent, protect 
        against, respond to, and recover from, natural and man-made 
        emergencies or dangerous situations involving an immediate 
        threat to the health or safety of the campus community;
          (5) promote the development and dissemination of effective 
        behavioral threat assessment and management models to prevent 
        campus violence;
          (6) coordinate campus safety information and resources 
        available from the Department of Justice, the Department of 
        Homeland Security, the Department of Education, State, local, 
        and tribal governments and law enforcement agencies, and 
        private and nonprofit organizations and associations;
          (7) increase cooperation, collaboration, and consistency in 
        prevention, response, and problem-solving methods among law 
        enforcement, mental health, and other agencies and 
        jurisdictions serving institutions of higher education in the 
        United States;
          (8) develop standardized formats and models for mutual aid 
        agreements and memoranda of understanding between campus 
        security agencies and other public safety organizations and 
        mental health agencies; and
          (9) report annually to Congress and the Attorney General on 
        activities performed by the Center during the previous 12 
        months.
  (b) Coordination With Available Resources.--In establishing the 
Center, the Attorney General shall--
          (1) consult with the Secretary of Homeland Security, the 
        Secretary of Education, and the Attorneys General of each 
        State; and
          (2) coordinate the establishment and operation of the Center 
        with campus public safety resources that may already be 
        available within the Department of Homeland Security and the 
        Department of Education.
  (c) Definition of Institution of Higher Education.--In this section, 
the term ``institution of higher education'' has the meaning given the 
term in section 101 of the Higher Education Act of 1965 (20 U.S.C. 
1001).
  (d) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $2,750,000 for each of the 
fiscal years 2008 and 2009 and such sums as may be necessary 
thereafter.

SEC. 953. PRIVATE LOAN FORGIVENESS.

  Section 209 of title 18, United States Code, is amended by adding at 
the end the following new subsection:
  ``(i) This section does not prohibit--
          ``(1) a public or private institution of higher education 
        from providing an officer or employee of the executive branch 
        of the United States Government, of any independent agency of 
        the United States, or of the District of Columbia who is a 
        current or former student of such institution, financial 
        assistance for the purpose of repaying a student loan or 
        providing forbearance of student loan repayment: Provided, that 
        such repaying or providing forbearance--
                  ``(A) is not provided exclusively to officers and 
                employees of the executive branch of the United States 
                Government, of any independent agency of the United 
                States, and of the District of Columbia; and
                  ``(B) is provided to any such officer or employee--
                          ``(i) in accordance with a written, published 
                        policy of the institution relating to repaying 
                        or providing forbearance, respectively, for 
                        students who perform public service; and
                          ``(ii) under the same terms and conditions as 
                        are available under such policy to other 
                        students of the institution who are performing 
                        public service and who qualify for such 
                        repayment or forbearance; and
          ``(2) an officer or employee of the executive branch of the 
        United States Government, of any independent agency of the 
        United States, or of the District of Columbia from receiving 
        repayment or forbearance permitted under paragraph (1).''.

       PART E--STEVENSON-WYDLER TECHNOLOGY INNOVATION ACT OF 1980

SEC. 961. ESTABLISHMENT OF PROGRAM.

  Section 5 of the Stevenson-Wydler Technology Innovation Act of 1980 
(15 U.S.C. 3704) is amended by inserting the following after subsection 
(b):
  ``(c) Minority Serving Institution Digital and Wireless Technology 
Opportunity Program.--
          ``(1) In general.--The Secretary shall establish a Minority 
        Serving Institution Digital and Wireless Technology Opportunity 
        Program to assist eligible institutions in acquiring, and 
        augmenting their use of, digital and wireless networking 
        technologies to improve the quality and delivery of educational 
        services at eligible institutions.
          ``(2) Authorized activities.--An eligible institution may use 
        a grant, cooperative agreement, or contract awarded under this 
        subsection--
                  ``(A) to acquire equipment, instrumentation, 
                networking capability, hardware and software, digital 
                network technology, wireless technology, and 
                infrastructure to further the objective of the Program 
                described in paragraph (1);
                  ``(B) to develop and provide training, education, and 
                professional development programs, including faculty 
                development, to increase the use of, and usefulness of, 
                digital and wireless networking technology;
                  ``(C) to provide teacher education, including the 
                provision of preservice teacher training and in-service 
                professional development at eligible institutions, 
                library and media specialist training, and preschool 
                and teacher aid certification to individuals who seek 
                to acquire or enhance technology skills in order to use 
                digital and wireless networking technology in the 
                classroom or instructional process, including 
                instruction in science, mathematics, engineering, and 
                technology subjects;
                  ``(D) to obtain capacity-building technical 
                assistance, including through remote technical support, 
                technical assistance workshops, and distance learning 
                services; and
                  ``(E) to foster the use of digital and wireless 
                networking technology to improve research and 
                education, including scientific, mathematics, 
                engineering, and technology instruction.
          ``(3) Application and review procedures.--
                  ``(A) In general.--To be eligible to receive a grant, 
                cooperative agreement, or contract under this 
                subsection, an eligible institution shall submit an 
                application to the Secretary at such time, in such 
                manner, and containing such information as the 
                Secretary may require. Such application, at a minimum, 
                shall include a description of how the funds will be 
                used, including a description of any digital and 
                wireless networking technology to be acquired, and a 
                description of how the institution will ensure that 
                digital and wireless networking will be made accessible 
                to, and employed by, students, faculty, and 
                administrators. The Secretary, consistent with 
                subparagraph (C) and in consultation with the advisory 
                council established under subparagraph (B), shall 
                establish procedures to review such applications. The 
                Secretary shall publish the application requirements 
                and review criteria in the Federal Register, along with 
                a statement describing the availability of funds.
                  ``(B) Advisory council.--The Secretary shall 
                establish an advisory council to advise the Secretary 
                on the best approaches to encourage maximum 
                participation by eligible institutions in the program 
                established under paragraph (1), and on the procedures 
                to review proposals submitted to the program. In 
                selecting the members of the advisory council, the 
                Secretary shall consult with representatives of 
                appropriate organizations, including representatives of 
                eligible institutions, to ensure that the membership of 
                the advisory council includes representatives of 
                minority businesses and eligible institution 
                communities. The Secretary shall also consult with 
                experts in digital and wireless networking technology 
                to ensure that such expertise is represented on the 
                advisory council.
                  ``(C) Review panels.--Each application submitted 
                under this subsection by an eligible institution shall 
                be reviewed by a panel of individuals selected by the 
                Secretary to judge the quality and merit of the 
                proposal, including the extent to which the eligible 
                institution can effectively and successfully utilize 
                the proposed grant, cooperative agreement, or contract 
                to carry out the program described in paragraph (1). 
                The Secretary shall ensure that the review panels 
                include representatives of minority serving 
                institutions and others who are knowledgeable about 
                eligible institutions and technology issues. The 
                Secretary shall ensure that no individual assigned 
                under this subsection to review any application has a 
                conflict of interest with regard to that application. 
                The Secretary shall take into consideration the 
                recommendations of the review panel in determining 
                whether to award a grant, cooperative agreement, or 
                contract to an eligible institution.
                  ``(D) Information dissemination.--The Secretary shall 
                convene an annual meeting of eligible institutions 
                receiving grants, cooperative agreements, or contracts 
                under this subsection to foster collaboration and 
                capacity-building activities among eligible 
                institutions.
                  ``(E) Matching requirement.--The Secretary may not 
                award a grant, cooperative agreement, or contract to an 
                eligible institution under this subsection unless such 
                institution agrees that, with respect to the costs 
                incurred by the institution in carrying out the program 
                for which the grant, cooperative agreement, or contract 
                was awarded, such institution shall make available, 
                directly, or through donations from public or private 
                entities, non-Federal contributions in an amount equal 
                to one-quarter of the grant, cooperative agreement, or 
                contract awarded by the Secretary, or $500,000, 
                whichever is the lesser amount. The Secretary shall 
                waive the matching requirement for any institution or 
                consortium with no endowment, or an endowment that has 
                a current dollar value lower than $50,000,000.
                  ``(F) Awards.--
                          ``(i) Limitation.--An eligible institution 
                        that receives a grant, cooperative agreement, 
                        or contract under this subsection that exceeds 
                        $2,500,000 shall not be eligible to receive 
                        another grant, cooperative agreement, or 
                        contract.
                          ``(ii) Consortia.--Grants, cooperative 
                        agreements, and contracts may only be awarded 
                        to eligible institutions. Eligible institutions 
                        may seek funding under this subsection for 
                        consortia which may include other eligible 
                        institutions, a State or a State education 
                        agency, local education agencies, institutions 
                        of higher education, community-based 
                        organizations, national nonprofit 
                        organizations, or businesses, including 
                        minority businesses.
                          ``(iii) Planning grants.--The Secretary may 
                        provide funds to develop strategic plans to 
                        implement such grants, cooperative agreements, 
                        or contracts.
                          ``(iv) Institutional diversity.--In awarding 
                        grants, cooperative agreements, and contracts 
                        to eligible institutions, the Secretary shall 
                        ensure, to the extent practicable, that awards 
                        are made to all types of institutions eligible 
                        for assistance under this subsection.
                          ``(v) Need.--In awarding funds under this 
                        subsection, the Secretary shall give priority 
                        to the institution with the greatest 
                        demonstrated need for assistance.
                  ``(G) Annual report and evaluation.--
                          ``(i) Annual report required from 
                        recipients.--Each institution that receives a 
                        grant, cooperative agreement, or contract 
                        awarded under this subsection shall provide an 
                        annual report to the Secretary on its use of 
                        the grant, cooperative agreement, or contract.
                          ``(ii) Independent assessment.--Not later 
                        than 6 months after the date of enactment of 
                        this subsection, the Secretary shall enter into 
                        a contract with the National Academy of Public 
                        Administration to conduct periodic assessments 
                        of the program. The Assessments shall be 
                        conducted once every 3 years during the 10-year 
                        period following the enactment of this 
                        subsection. The assessments shall include an 
                        evaluation of the effectiveness of the program 
                        in improving the education and training of 
                        students, faculty and staff at eligible 
                        institutions that have been awarded grants, 
                        cooperative agreements, or contracts under the 
                        program; an evaluation of the effectiveness of 
                        the program in improving access to, and 
                        familiarity with, digital and wireless 
                        networking technology for students, faculty, 
                        and staff at all eligible institutions; an 
                        evaluation of the procedures established under 
                        paragraph (3)(A); and recommendations for 
                        improving the program, including 
                        recommendations concerning the continuing need 
                        for Federal support. In carrying out its 
                        assessments, the National Academy of Public 
                        Administration shall review the reports 
                        submitted to the Secretary under clause (i).
                          ``(iii) Report to congress.--Upon completion 
                        of each independent assessment carried out 
                        under clause (ii), the Secretary shall transmit 
                        the assessment to Congress along with a summary 
                        of the Secretary's plans, if any, to implement 
                        the recommendations of the National Academy of 
                        Public Administration.
                  ``(H) Definitions.--In this subsection:
                          ``(i) Digital and wireless networking 
                        technology.--The term `digital and wireless 
                        networking technology' means computer and 
                        communications equipment and software that 
                        facilitates the transmission of information in 
                        a digital format.
                          ``(ii) Eligible institution.--The term 
                        `eligible institution' means an institution 
                        that is--
                                  ``(I) a historically Black college or 
                                university that is a part B 
                                institution, as defined in section 
                                322(2) of the Higher Education Act of 
                                1965 (20 U.S.C. 1061(2)), an 
                                institution described in section 
                                326(e)(1)(A), (B), or (C) of that Act 
                                (20 U.S.C. 1063b(e)(1)(A), (B), or 
                                (C)), or a consortium of institutions 
                                described in this subparagraph;
                                  ``(II) a Hispanic-serving 
                                institution, as defined in section 
                                502(a)(5) of the Higher Education Act 
                                of 1965 (20 U.S.C. 1101a(a)(5));
                                  ``(III) a tribally controlled college 
                                or university, as defined in section 
                                316(b)(3) of the Higher Education Act 
                                of 1965 (20 U.S.C. 1059c(b)(3));
                                  ``(IV) an Alaska Native-serving 
                                institution under section 317(b) of the 
                                Higher Education Act of 1965 (20 U.S.C. 
                                1059d(b));
                                  ``(V) a Native Hawaiian-serving 
                                institution under section 317(b) of the 
                                Higher Education Act of 1965 (20 U.S.C. 
                                1059d(b)); or
                                  ``(VI) an institution of higher 
                                education (as defined in section 365 of 
                                the Higher Education Act of 1965 (20 
                                U.S.C. 1067k)) with an enrollment of 
                                needy students (as defined in section 
                                312(d) of the Higher Education Act of 
                                1965 (20 U.S.C. 1058(d))).
                          ``(iii) Institution of higher education.--The 
                        term `institution of higher education' has the 
                        meaning given the term in section 101 of the 
                        Higher Education Act of 1965 (20 U.S.C. 1001).
                          ``(iv) Local educational agency.--The term 
                        `local educational agency' has the meaning 
                        given the term in section 9101 of the 
                        Elementary and Secondary Education Act of 1965 
                        (20 U.S.C. 7801).
                          ``(v) Minority business.--The term `minority 
                        business' includes HUBZone small business 
                        concerns (as defined in section 3(p) of the 
                        Small Business Act (15 U.S.C. 632(p))).
                          ``(vi) Minority individual.--The term 
                        `minority individual' means an American Indian, 
                        Alaskan Native, Black (not of Hispanic origin), 
                        Hispanic (including persons of Mexican, Puerto 
                        Rican, Cuban and Central or South American 
                        origin), or Pacific Islander individual.
                          ``(vii) State.--The term `State' has the 
                        meaning given the term in section 9101 of the 
                        Elementary and Secondary Education Act of 1965 
                        (20 U.S.C. 7801).
                          ``(viii) State educational agency.--The term 
                        `State educational agency' has the meaning 
                        given the term in section 9101 of the 
                        Elementary and Secondary Education Act of 1965 
                        (20 U.S.C. 7801).''.

SEC. 962. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to the Secretary of Commerce 
to carry out section 5(c) of the Stevenson-Wydler Technology Innovation 
Act of 1980--
          (1) $250,000,000 for fiscal year 2008; and
          (2) such sums as may be necessary for each of the fiscal 
        years 2009 through 2012.

       TITLE X--PRIVATE STUDENT LOAN TRANSPARENCY AND IMPROVEMENT

SEC. 1001. SHORT TITLE.

  This title may be cited as the ``Private Student Loan Transparency 
and Improvement Act of 2007''.

SEC. 1002. DEFINITIONS.

  As used in this title--
          (1) the term ``Board'' means the Board of Governors of the 
        Federal Reserve System;
          (2) the term ``covered educational institution''--
                  (A) means any educational institution that offers a 
                postsecondary educational degree, certificate, or 
                program of study (including any institution of higher 
                education); and
                  (B) includes an agent or employee of the educational 
                institution;
          (3) the terms ``Federal banking agencies'' and ``appropriate 
        Federal banking agency'' have the same meanings as in section 3 
        of the Federal Deposit Insurance Act (12 U.S.C. 1813);
          (4) the term ``institution of higher education'' has the same 
        meaning as in section 102 of the Higher Education Act of 1965 
        (20 U.S.C. 1002);
          (5) the term ``postsecondary educational expenses'' means any 
        of the expenses that are included as part of the cost of 
        attendance of a student, as defined under section 472 of the 
        Higher Education Act of 1965 (20 U.S.C. 1087ll);
          (6) the term ``private educational lender'' means any 
        creditor (as defined in section 103 of the Truth in Lending 
        Act) which solicits, makes, or extends private educational 
        loans; and
          (7) the term ``private educational loan''--
                  (A) means a loan provided by a private educational 
                lender that--
                          (i) is not made, insured, or guaranteed under 
                        part B of title IV of the Higher Education Act 
                        of 1965 (20 U.S.C. 1070 et seq.); and
                          (ii) is issued by a private educational 
                        lender expressly for postsecondary educational 
                        expenses to a student, or the parent of the 
                        student, regardless of whether the loan 
                        involves enrollment certification by the 
                        educational institution that the student 
                        attends, or whether the loan is provided 
                        through the educational institution that the 
                        subject student attends or directly to the 
                        borrower from the lender; and
                  (B) does not include an extension of credit under an 
                open end consumer credit plan, a residential mortgage 
                transaction (as those terms are defined in section 103 
                of the Truth in Lending Act), or any other loan that is 
                secured by real property or a dwelling.

SEC. 1003. REGULATIONS.

  The Board shall issue final regulations to implement this title and 
the amendments made by this title not later than 180 days after the 
date of enactment of this title.

SEC. 1004. EFFECTIVE DATES.

  This title and the amendments made by this title shall become 
effective 180 days after the date on which regulations to carry out 
this title and the amendments made by this title are issued in final 
form.

Subtitle A--Preventing Unfair and Deceptive Private Educational Lending 
            Practices and Eliminating Conflicts of Interest

SEC. 1011. AMENDMENT TO THE TRUTH IN LENDING ACT.

  (a) In General.--Chapter 2 of the Truth in Lending Act (15 U.S.C. 
1631 et seq.) is amended by adding at the end the following new 
section:

``Sec. 140. Preventing unfair and deceptive private educational lending 
                    practices and eliminating conflicts of interest

  ``(a) Definitions.--For purposes of this section, the following 
definitions shall apply:
          ``(1) Covered educational institution.--The term `covered 
        educational institution'--
                  ``(A) means any educational institution that offers a 
                postsecondary educational degree, certificate, or 
                program of study (including any institution of higher 
                education); and
                  ``(B) includes an agent or employee of the 
                educational institution.
          ``(2) Gift.--The term `gift'--
                  ``(A) means any gratuity, favor, discount, 
                entertainment, hospitality, loan, or other item having 
                a monetary value of more than a de minimis amount, 
                including a gift of services, transportation, lodging, 
                or meals, whether provided in kind, by purchase of a 
                ticket, payment in advance, or reimbursement after the 
                expense has been incurred;
                  ``(B) does not include--
                          ``(i) standard informational material related 
                        to a loan or financial literacy (such as a 
                        brochure);
                          ``(ii) food, refreshments, training, or 
                        informational material furnished to an employee 
                        or agent of a covered educational institution, 
                        as an integral part of a training session that 
                        is designed to improve the service of the 
                        private educational lender to the covered 
                        educational institution, if such training 
                        contributes to the professional development of 
                        the employee or agent of the covered 
                        educational institution; or
                          ``(iii) favorable terms, conditions, and 
                        borrower benefits on an educational loan 
                        provided to a student employed by the covered 
                        educational institution if such terms, 
                        conditions, or benefits are comparable to those 
                        provided to all students of the institution; 
                        and
                  ``(C) includes a gift to a family member of an 
                officer, employee, or agent of a covered institution, 
                or a gift to any other individual based on that 
                individual's relationship with the officer, employee, 
                or agent, if--
                          ``(i) the gift is given with the knowledge 
                        and acquiescence of the officer, employee, or 
                        agent; and
                          ``(ii) the officer, employee, or agent has 
                        reason to believe the gift was given because of 
                        the official position of the officer, employee, 
                        or agent.
          ``(3) Institution of higher education.--The term `institution 
        of higher education' has the same meaning as in section 102 of 
        the Higher Education Act of 1965 (20 U.S.C. 1002).
          ``(4) Postsecondary educational expense.--The term 
        `postsecondary educational expenses' means any of the expenses 
        that are included as part of the cost of attendance of a 
        student, as defined under section 472 of the Higher Education 
        Act of 1965 (20 U.S.C. 1087ll).
          ``(5) Private educational lender.--The term `private 
        educational lender' means a creditor which solicits, makes, or 
        extends private educational loans.
          ``(6) Private educational loan.--The term `private 
        educational loan'--
                  ``(A) means a loan provided by a private educational 
                lender that--
                          ``(i) is not made, insured, or guaranteed 
                        under part B of title IV of the Higher 
                        Education Act of 1965 (20 U.S.C. 1070 et seq.); 
                        and
                          ``(ii) is issued by a private educational 
                        lender expressly for postsecondary educational 
                        expenses to a student, or the parent of the 
                        student, regardless of whether the loan 
                        involves enrollment certification by the 
                        educational institution that the student 
                        attends, or whether the loan is provided 
                        through the educational institution that the 
                        subject student attends or directly to the 
                        borrower from the lender; and
                  ``(B) does not include an extension of credit under 
                an open end consumer credit plan, a residential 
                mortgage transaction, or any other loan that is secured 
                by real property or a dwelling.
          ``(7) Revenue sharing.--the term `revenue sharing' means an 
        arrangement between a covered educational institution and a 
        private educational lender under which--
                  ``(A) a private educational lender provides or issues 
                private educational loans to students attending the 
                covered educational institution or to the parents of 
                such students;
                  ``(B) the covered educational institution recommends 
                to students or others the private educational lender or 
                the private educational loans of the private 
                educational lender; and
                  ``(C) the private educational lender pays a fee or 
                provides other material benefits, including profit or 
                revenue sharing, to the covered educational institution 
                or to the officers, employees, or agents of the covered 
                educational institution in connection with the private 
                educational loans provided to students attending the 
                covered educational institution or a borrower acting on 
                behalf of a student.
  ``(b) Prohibition on Certain Gifts and Arrangements.--A private 
educational lender, including any officer or employee thereof, may not, 
directly or indirectly--
          ``(1) offer or provide any gift to a covered educational 
        institution or a covered educational institution employee, nor 
        may such covered educational institution, officer, or employee 
        receive any such gift, in exchange for any advantage or 
        consideration provided to such private educational lender 
        related to its private educational loan activities; or
          ``(2) engage in revenue sharing with a covered educational 
        institution.
  ``(c) Prohibition on Co-Branding.--A private educational lender may 
not use the name, emblem, mascot, or logo of the covered educational 
institution, or other words, pictures, or symbols readily identified 
with the covered educational institution, in the marketing of private 
educational loans in any way that implies that the covered educational 
institution endorses the private educational loans offered by the 
lender.
  ``(d) Ban on Participation on Advisory Councils.--
          ``(1) In general.--An officer, employee, or agent who is 
        employed in the financial aid office of a covered institution, 
        or who otherwise has responsibilities with respect to private 
        educational loans, shall not serve on or otherwise participate 
        with advisory councils of private educational lenders or 
        affiliates of such lenders.
          ``(2) Rules of construction.--No provision of this subsection 
        shall be construed as--
                  ``(A) prohibiting private educational lenders from 
                seeking advice from covered institutions or groups of 
                covered institutions (including through telephonic or 
                electronic means, or a meeting) in order to improve 
                products and services for borrowers, to the extent that 
                no gifts or compensation (including for transportation, 
                lodging, or related expenses) are provided by private 
                educational lenders in connection with seeking this 
                advice from such institutions; or
                  ``(B) prohibiting an employee, officer, or agent of a 
                covered institution from serving on the board of 
                directors of a private educational lender, if required 
                by State law.
  ``(e) Prohibition on Prepayment or Repayment Fees or Penalty.--It 
shall be unlawful for any private educational lender to impose a fee or 
penalty on a borrower, directly or indirectly, for early repayment or 
prepayment, of any private educational loan.''.
  (b) Clerical Amendment.--The table of sections for chapter 2 of the 
Truth in Lending Act is amended by inserting after the item relating to 
section 139 the following new item:

``140. Preventing unfair and deceptive private educational lending 
practices and eliminating conflicts of interest.''.

SEC. 1012. CIVIL LIABILITY.

  Section 130 of the Truth in Lending Act (15 U.S.C. 1640) is amended--
          (1) in subsection (a)--
                  (A) in paragraph (3), by inserting ``or section 
                128(e)(8)'' after ``section 125''; and
                  (B) in the fourth sentence of the undesignated matter 
                at the end--
                          (i) by striking ``125 or'' and inserting 
                        ``125,''; and
                          (ii) by inserting ``or of section 128(e),'' 
                        before ``or for failing''; and
          (2) in subsection (e), by inserting before the first period, 
        the following: ``or, in the case of a violation involving a 
        private educational loan, 1 year from the date on which the 
        first regular payment of principal is due under the loan''.

     Subtitle B--Improved Disclosures for Private Educational Loans

SEC. 1021. PRIVATE EDUCATIONAL LOAN DISCLOSURES AND LIMITATIONS.

  Section 128 of the Truth in Lending Act (15 U.S.C. 1638) is amended 
by adding at the end the following new subsection:
  ``(e) Terms and Disclosure With Respect to Private Educational 
Loans.--
          ``(1) Disclosures required in private educational loan 
        applications and solicitations.--In any application for a 
        private educational loan, or a solicitation for a private 
        educational loan without requiring an application, the creditor 
        shall disclose to the borrower, clearly and conspicuously--
                  ``(A) the potential range of rates of interest 
                applicable to the private educational loan;
                  ``(B) whether the rate of interest applicable to the 
                private educational loan is fixed or variable;
                  ``(C) limitations on interest rate adjustments, both 
                in terms of frequency and amount, or the lack thereof;
                  ``(D) requirements for a co-borrower, including any 
                changes in the applicable interest rates without a co-
                borrower;
                  ``(E) potential finance charges, late fees, 
                penalties, and adjustments to principal, based on 
                defaults or late payments of the borrower;
                  ``(F) fees or range of fees applicable to the private 
                educational loan;
                  ``(G) the term of the private educational loan;
                  ``(H) whether interest will accrue while the student 
                to whom the private educational loan relates is 
                enrolled at an institution of higher education;
                  ``(I) payment deferral options, including whether the 
                deferment would apply to interest or principal, or 
                both;
                  ``(J) general eligibility criteria for the private 
                educational loan;
                  ``(K) an example of the total cost of the private 
                educational loan over the life of the loan--
                          ``(i) which shall be calculated using the 
                        principal amount and the maximum rate of 
                        interest actually offered by the creditor; and
                          ``(ii) calculated both with and without 
                        capitalization of interest, if that is an 
                        option for postponing interest payments;
                  ``(L) a statement that an institution of higher 
                education may have school-specific educational loan 
                benefits and terms not detailed on the disclosure form;
                  ``(M) that the borrower may qualify for Federal 
                financial assistance through a program under title IV 
                of the Higher Education Act of 1965, in lieu of, or in 
                addition to, a loan from a non-Federal source;
                  ``(N) the interest rates available with respect to 
                such Federal financial assistance through a program 
                under title IV of the Higher Education Act of 1965;
                  ``(O) that the consumer may obtain additional 
                information concerning such Federal financial 
                assistance from their institution of higher education 
                or at the website of the Department of Education;
                  ``(P) that, as provided in paragraph (6)--
                          ``(i) the borrower shall have up to 30 
                        calendar days following the date on which the 
                        application for the private educational loan is 
                        approved and the borrower receives the 
                        disclosure documents required under this 
                        subsection for the loan to accept the terms of 
                        the private educational loan and consummate the 
                        transaction; and
                          ``(ii) except for changes based on 
                        adjustments to the index used for a loan, the 
                        rates and terms of the loan may not be changed 
                        by the creditor during that 30-day period; and
                  ``(Q) such other information as the Board shall 
                prescribe, by rule, as necessary or appropriate for 
                consumers to make informed borrowing decisions.
          ``(2) Written acknowledgment of receipt.--In each case in 
        which a disclosure is provided pursuant to paragraph (1) and an 
        application initiated, a creditor shall obtain a written 
        acknowledgment from the consumer that the consumer has read and 
        understood the disclosure.
          ``(3) Disclosures at the time of private educational loan 
        approval.--Subject to the rules of the Board, contemporaneously 
        with the approval of a private educational loan application, 
        and before the loan transaction is consummated, the creditor 
        shall disclose to the borrower, clearly and conspicuously--
                  ``(A) the applicable rate of interest in effect on 
                the date of approval;
                  ``(B) whether the rate of interest applicable to the 
                private educational loan is fixed or variable;
                  ``(C) limitations on interest rate adjustments, both 
                in terms of frequency and amount, or the lack thereof;
                  ``(D) the initial approved principal amount;
                  ``(E) applicable finance charges, late fees, 
                penalties, and adjustments to principal, based upon 
                borrower defaults or late payments;
                  ``(F) the maximum term under the private educational 
                loan program;
                  ``(G) an estimate of the total amount for repayment, 
                at both the interest rate in effect on the date of 
                approval and at the maximum possible rate of interest 
                actually offered by the creditor, to the extent that 
                such maximum rate may be determined, or if not, a good 
                faith estimate thereof;
                  ``(H) any principal and interest payments required 
                while the student to whom the private educational loan 
                relates is enrolled at an institution of higher 
                education and interest which will accrue during such 
                enrollment;
                  ``(I) payment deferral options, including whether the 
                deferment would apply to interest or principal, or 
                both;
                  ``(J) whether monthly payments are graduated;
                  ``(K) that, as provided in paragraph (7)--
                          ``(i) the borrower shall have up to 30 
                        calendar days following the date on which the 
                        application for the private educational loan is 
                        approved and the borrower receives the 
                        disclosure documents required under this 
                        subsection for the loan to accept the terms of 
                        the private educational loan and consummate the 
                        transaction; and
                          ``(ii) except for changes based on 
                        adjustments to the index used for a loan, the 
                        rates and terms of the loan may not be changed 
                        by the creditor during that 30-day period;
                  ``(L) that the borrower may qualify for Federal 
                financial assistance through a program under title IV 
                of the Higher Education Act of 1965, in lieu of, or in 
                addition to, a loan from a non-Federal source;
                  ``(M) the interest rates available with respect to 
                such Federal financial assistance through a program 
                under title IV of the Higher Education Act of 1965;
                  ``(N) the maximum monthly payment, calculated using 
                the maximum rate of interest actually offered by the 
                creditor, to the extent that such maximum rate may be 
                determined, or if not, a good faith estimate thereof; 
                and
                  ``(O) such other information as the Board shall 
                prescribe, by rule, as necessary or appropriate for 
                consumers to make informed borrowing decisions.
          ``(4) Provision of information.--Before a creditor may issue 
        any funds with respect to an extension of credit described in 
        paragraph (1) for an amount equal to more than $1,000, the 
        creditor shall notify the relevant institution of higher 
        education, in writing, of the proposed extension of credit and 
        the amount thereof.
          ``(5) Disclosures at the time of private educational loan 
        consummation.--Subject to the regulations prescribed by the 
        Board, contemporaneously with the consummation of a private 
        educational loan, the creditor shall make each of the 
        disclosures described in subparagraphs (A) through (J) and (L) 
        through (O) of paragraph (3) to the borrower.
          ``(6) Format of disclosures.--Disclosures required under 
        paragraphs (1), (3), and (5) shall appear in a clearly legible, 
        uniform format, subject to section 122(c).
          ``(7) Effective period of approved rate of interest and loan 
        terms.--
                  ``(A) In general.--With respect to a private 
                educational loan, the borrower shall have the right to 
                accept the terms of the loan and consummate the 
                transaction at any time within 30 calendar days 
                following the date on which the application for the 
                private educational loan is approved and the borrower 
                receives the disclosure documents required under this 
                subsection for the loan, and the rates and terms of the 
                loan may not be changed by the creditor during that 
                period, subject to the rules of the Board.
                  ``(B) Prohibition on changes.--Except for changes 
                based on adjustments to the index used for a loan, the 
                rates and terms of the loan may not be changed by the 
                creditor prior to the earlier of--
                          ``(i) the date of acceptance of the terms of 
                        the loan and consummation of the transaction by 
                        the borrower, as described in subparagraph (A); 
                        or
                          ``(ii) the expiration of the 30-day period 
                        referred to in subparagraph (A).
                  ``(C) Prohibition on disbursement.--No funds may be 
                disbursed with respect to a private educational loan 
                until acceptance of the loan by the borrower under 
                subparagraph (A) and the expiration of the 3-day period 
                under paragraph (7).
          ``(8) Right to cancel.--With respect to a private educational 
        loan, the borrower may cancel the loan, without penalty to the 
        borrower, at any time within 3 business days of the date on 
        which the loan is consummated, subject to the rules of the 
        Board. No funds may be transferred to the borrower during that 
        3-day period.
          ``(9) Definitions.--For purposes of this subsection, the 
        following definitions shall apply:
                  ``(A) Institution of higher education.--The term 
                `institution of higher education' has the same meaning 
                as in section 102 of the Higher Education Act of 1965 
                (20 U.S.C. 1002).
                  ``(B) Private educational lender.--The term `private 
                educational lender' means any creditor engaged in the 
                business of soliciting, making, or extending private 
                educational loans.
                  ``(C) Private educational loan.--The term `private 
                educational loan'--
                          ``(i) means a loan provided by a private 
                        educational lender that--
                                  ``(I) is not made, insured, or 
                                guaranteed under part B of title IV of 
                                the Higher Education Act of 1965 (20 
                                U.S.C. 1070 et seq.); and
                                  ``(II) is issued by a private 
                                educational lender expressly for 
                                postsecondary educational expenses to a 
                                student, or the parent of the student, 
                                regardless of whether the loan involves 
                                enrollment certification by the 
                                educational institution that the 
                                student attends, or whether the loan is 
                                provided through the educational 
                                institution that the subject student 
                                attends or directly to the borrower 
                                from the lender; and
                          ``(ii) does not include an extension of 
                        credit under an open end consumer credit plan, 
                        a reverse mortgage transaction, a residential 
                        mortgage transaction, or any other loan that is 
                        secured by real property or a dwelling.''.

SEC. 1022. APPLICATION OF TRUTH IN LENDING ACT TO ALL PRIVATE 
                    EDUCATIONAL LOANS.

  Section 104(3) of the Truth in Lending Act (15 U.S.C. 1603(3)) is 
amended by inserting ``and other than private educational loans (as 
that term is defined in section 140(a))'' after ``consumer''.

                     Subtitle C--Financial Literacy

SEC. 1031. COORDINATED EDUCATION EFFORTS.

  (a) In General.--The Secretary of the Treasury (in this section 
referred to as the ``Secretary''), in coordination with the Secretary 
of Education, the Secretary of Agriculture (with respect to land grant 
covered educational institutions), and any other appropriate agency 
that is a member of the Financial Literacy and Education Commission 
established under the Financial Literacy and Education Improvement Act 
(20 U.S.C. 9701 et seq.), shall seek to enhance financial literacy 
among students at institutions of higher education through--
          (1) the development of initiatives, programs, and curricula 
        that improve student awareness of the short- and long-term 
        costs associated with educational loans and other debt assumed 
        while in college, their repayment obligations, and their rights 
        as borrowers; and
          (2) assisting such students in navigating the financial aid 
        process.
  (b) Duties.--For purposes of this section, the Secretary, working in 
conjunction with the Secretary of Education, the Secretary of 
Agriculture, and the Financial Literacy and Education Commission, 
shall--
          (1) identify programs that promote or enhance financial 
        literacy for college students, with specific emphasis on 
        programs that impart the knowledge and ability for students to 
        best navigate the financial aid process, including those that 
        involve partnerships between nonprofit organizations, colleges 
        and universities, State and local governments, and student 
        organizations;
          (2) evaluate the effectiveness of such programs in terms of 
        measured results, including positive behavioral change among 
        college students;
          (3) promote the programs identified as being the most 
        effective; and
          (4) encourage institutions of higher education to implement 
        financial education programs for their students, including 
        those that have the highest evaluations.
  (c) Report.--
          (1) In general.--Not later than 2 years after the date of 
        enactment of this title, the Financial Literacy and Education 
        Commission shall submit a report to Congress on the state of 
        financial education among students at institutions of higher 
        education.
          (2) Content.--The report required by this subsection shall 
        include a description of progress made in enhancing financial 
        education with respect to student understanding of financial 
        aid, including the programs and evaluations required by this 
        section.
          (3) Appearance before congress.--The Secretary shall, upon 
        request, provide testimony before the Committee on Banking, 
        Housing, and Urban Affairs of the Senate concerning the report 
        required by this subsection.

       Subtitle D--Study and Report on Nonindividual Information

SEC. 1041. STUDY AND REPORT ON NONINDIVIDUAL INFORMATION.

  (a) Study.--The Comptroller General of the United States (in this 
section referred to as the ``Comptroller'') conduct a study--
          (1) on the impact on and benefits to borrowers of the 
        inclusion of nonindividual factors, including cohort default 
        rate, accreditation, and graduation rate at institutions of 
        higher education, used in the underwriting criteria to 
        determine the pricing of private educational loans;
          (2) to examine whether and to what extent the inclusion of 
        such nonindividual factors--
                  (A) increases access to private educational loans for 
                borrowers who lack credit history or results in less 
                favorable rates for such borrowers; and
                  (B) impacts the types of private educational loan 
                products and rates available at certain institutions of 
                higher education, including a comparison of such 
                impact--
                          (i) on private and public institutions; and
                          (ii) on historically Black colleges and 
                        universities (defined for purposes of this 
                        section as a ``part B institution'', within the 
                        meaning of section 322 of the Higher Education 
                        Act of 1965 (20 U.S.C. 1061)) and other 
                        colleges and universities; and
          (3) to assess the extent to which the use of such 
        nonindividual factors in underwriting may have a disparate 
        impact on the pricing of private educational loans, based on 
        gender, race, income level, and institution of higher 
        education.
  (b) Report.--Not later than 1 year after the date of enactment of 
this title, the Comptroller shall submit a report to Congress on the 
results of the study required by this section.

         Subtitle E--Incentives For Low-Cost Educational Loans

SEC. 1051. CRA CREDIT FOR LOW-COST EDUCATIONAL LOANS.

  Section 804 of the Community Reinvestment Act of 1977 (12 U.S.C. 
2903) is amended by adding at the end the following new subsection:
  ``(d) Low-Cost Educational Loans.--In assessing and taking into 
account, under subsection (a), the record of a financial institution, 
the appropriate Federal financial supervisory agency shall consider, as 
a factor, low-cost educational loans provided by the financial 
institution to low-income borrowers.''.

                               I. Purpose

    H.R. 4137, the College Opportunity and Affordability Act of 
2007, reauthorizes the Higher Education Act of 1965 to make 
college more affordable and accessible. The bill includes 
reforms to encourage colleges to rein in price increases and 
provide consumers with helpful information, restore integrity 
and accountability to the student loan programs, simplify the 
federal student aid application process, make textbook costs 
more manageable, strengthen our workforce and competitiveness, 
expand college access and support for low-income and minority 
students, increase college aid and support for veterans and 
military families, ensure equal college opportunities for 
students with disabilities, and boost campus safety and 
disaster readiness plans.

                          II. Committee Action

    The Committee on Education and Labor and the Subcommittees 
on Higher Education, Lifelong Learning, and Competitiveness 
held a total of thirty-five hearings in Washington, D.C. and 
across the country, as well as a series of site visits to many 
institutions of higher education in preparation for and as part 
of the reauthorization of the Higher Education Act.

                             107TH CONGRESS

Hearings--First session

    In April 2001, the Committee on Education and the 
Workforce, Subcommittee on Select Education, held a field 
hearing in Oklahoma City, Oklahoma, on ``Responding to the 
Needs of Historically Black Colleges and Universities in the 
21st Century,'' to examine the unique role of Historically 
Black Colleges and Universities (HBCUs) and their role in the 
higher education system. In July 2001, the Committee on 
Education and the Workforce, Subcommittee on Select Education, 
held another field hearing on ``Responding to the Needs of 
Historically Black Colleges and Universities in the 21st 
Century.'' The hearing was held in Wilberforce, Ohio and 
continued the examination of the unique role of HBCUs and their 
role in the higher education system.
    In June 2001, the Committee on Education and the Workforce, 
Subcommittee on 21st Century Competitiveness, held a hearing in 
Washington, D.C., on ``H.R. 1992, the Internet Equity and 
Education Act of 2001,'' to hear testimony on the provisions in 
H.R. 1992 introduced by Representative Johnny Isakson (R-GA) on 
May 24, 2001. In October 2001, the Committee on Education and 
the Workforce, Subcommittees on 21st Century Competitiveness 
and Select Education, jointly held a hearing in Washington, 
D.C., on ``Tracking International Students in Higher 
Education--Policy Options and Implications for Students.'' The 
purpose of the hearing was to examine issues related to 
international students and their attendance at U.S. 
institutions of higher education.

Second session

    In February 2002, the Committee on Education and the 
Workforce, Subcommittees on 21st Century Competitiveness and 
Select Education, held a joint hearing in Washington, D.C., on 
``Responding to the Needs of Historically Black Colleges and 
Universities in the 21st Century.'' The hearing examined the 
unique role of and issues confronted by HBCUs. In July 2002, 
the Committee on Education and the Workforce held a hearing in 
Washington, D.C., on ``Access to Higher Education for Low-
Income Students: A Review of the Advisory Committee on Student 
Financial Assistance Report.'' The purpose of the hearing was 
to consider access to postsecondary education, specifically for 
low-income students, by examining two reports released by the 
Advisory Committee on Student Financial Assistance, entitled 
``Empty Promises--The Myth of College Access in America'' (July 
2002) and ``Access Denied'' (February 2001).
    In September 2002, the Committee on Education and the 
Workforce, Subcommittees on 21st Century Competitiveness and 
Select Education held a joint hearing in Washington, D.C., on 
``Responding to the Needs of Historically Black Colleges and 
Universities in the 21st Century.'' The purpose of the hearing 
was to continue to explore the unique role HBCUs play in 
providing postsecondary education to students. Also in 
September 2002, the Committee on Education and the Workforce, 
Subcommittees on 21st Century Competitiveness and Select 
Education held a joint hearing in Washington, D.C., on 
``Homeland Security: Tracking International Students in Higher 
Education--Progress & Issues Since 9-11.'' The purpose of the 
hearing was to learn about the implementation of the Student 
Exchange and Visitor Information System (SEVIS); outstanding 
issues in rendering SEVIS fully operational; and the 
interaction between institutions of higher education, the 
Immigration and Naturalization Service (INS) and the United 
States Department of State.
    In October 2002, the Committee on Education and the 
Workforce, Subcommittee on 21st Century Competitiveness held a 
hearing in Washington, D.C., on ``Assuring Quality and 
Accountability in Postsecondary Education: Assessing the Role 
of Accreditation.'' The purpose of the hearing was to learn 
more about the accreditation process, the nature of the 
interaction between regional and national accreditors, and the 
specific roles and responsibilities of accrediting agencies. 
Also in October 2002, the Committee on Education and the 
Workforce held a hearing in Washington, D.C., on ``The Rising 
Price of a Quality Postsecondary Education: Fact or Fiction?'' 
to examine the effects of the increasing costs of a 
postsecondary education on students and families. Finally, the 
Committee on Education and the Workforce, Subcommittee on 21st 
Century Competitiveness held a hearing in October 2002 in 
Washington, D.C., on ``Training Tomorrow's Teachers: Ensuring a 
Quality Postsecondary Education.'' The purpose of the hearing 
was to examine the effectiveness of the competitive grant 
programs authorized under title II of the Higher Education Act 
and also to examine the accountability provisions for teacher 
preparation programs under the Act.

Legislative action--First session

    On May 24, 2001, Representatives Johnny Isakson (R-GA), 
John Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), Mike 
Castle (R-DE), and Bob Goodlatte (R-VA) introduced H.R. 1992, 
the Internet Equity and Education Act of 2001, to amend the 
Higher Education Act and repeal the 50 percent rule for 
telecommunications and make additional reforms regarding 
distance education. In June 2001, the Subcommittee on 21st 
Century Competitiveness considered H.R. 1992 in legislative 
session and reported it favorably, as amended, to the Committee 
on Education and the Workforce by voice vote. In August 2001, 
the Committee on Education and the Workforce considered H.R. 
1992 in legislative session and reported it favorably, as 
amended, to the House of Representatives by a vote of 31-10. 
The bill passed the House by a vote of 354-70, but was not 
considered in the Senate.

Legislative action--Second session

    In July 2002, Representatives Lindsey Graham (R-SC), John 
Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), Todd Platts 
(R-PA), James Greenwood (R-PA), Johnny Isakson (R-GA), Charlie 
Norwood (R-GA), John Cooksey (R-LA), Sam Graves (R-MO), Van 
Hilleary (R-TN), Todd Tiahrt (R-KS), Richard Burr (R-NC), 
Ileana Ros-Lehtinen (R-FL) introduced H.R. 5091, the Canceling 
Loans to Allow School Systems to Attract Classroom Teachers Act 
(CLASS ACT), which amended the Higher Education Act to provide 
discretionary loan forgiveness of up to $17,500 for math, 
science and special education teachers. In September 2002, the 
Committee on Education and the Workforce considered H.R. 5091 
in legislative session and reported the bill favorably, as 
amended to the House of Representatives by voice vote. In 
October 2002, the bill was considered and passed under 
suspension of the Rules in the House. No action was taken in 
the Senate.

                             108TH CONGRESS

Hearings--First session

    In May 2003, the Committee on Education and the Workforce 
held a hearing in Washington, D.C., on ``The State of American 
Higher Education: What Are Parents, Students and Taxpayers 
Getting for Their Money?'' The purpose of the hearing was to 
learn whether institutions of higher education have taken any 
steps to help produce results and assist with lifelong career 
pursuits. The Committee on Education and the Workforce, 
Subcommittee on 21st Century Competitiveness, also held a 
hearing in Washington, D.C., on ``America's Teacher Colleges: 
Are They Making the Grade?'' in May 2003 to discuss whether 
teacher colleges and other teacher preparation programs are 
producing a competent cadre of teachers.
    In June 2003, the Committee on Education and the Workforce, 
Subcommittee on Select Education, held a hearing in Washington, 
D.C., on ``International Programs in Higher Education and 
Questions about Bias.'' The purpose of the hearing was to learn 
how programs authorized under title VI of the Higher Education 
Act can provide innovative ways to help bridge the 
international knowledge gap and also to further explore 
international education programs.
    In July 2003, the Committee on Education and the Workforce, 
Subcommittee on 21st Century Competitiveness, held a hearing in 
Washington, D.C., on ``Affordability in Higher Education: We 
Know There's a Problem; What's the Solution?'' The purpose of 
the hearing was to examine the effects of ever-rising college 
tuition and debate some of the possible solutions to this 
problem. Also in July 2003, the Committee on Education and the 
Workforce, Subcommittee on 21st Century Competitiveness, held a 
hearing in Washington, D.C., on ``Expanding Access to College 
in America: How the Higher Education Act Can Put College Within 
Reach.'' The purpose of this hearing was to examine national, 
state and local college access programs; to hear 
recommendations for improvements in these programs; and to 
learn what provisions in the law may currently prohibit some 
postsecondary institutions from accessing resources that would 
enable them to work more closely with various student 
populations. The Subcommittee on 21st Century Competitiveness, 
also held a hearing in Washington, D.C., on ``Consolidation 
Loans: What's Best for Past Borrowers, Future Students & U.S. 
Taxpayers?'' to learn how the consolidation loan program 
satisfies the mission of the Higher Education Act by increasing 
access and affordability to students pursuing postsecondary 
education, and to learn more about whether the program is fair 
for all borrowers.
    In September 2003, the Committee on Education and the 
Workforce, Subcommittee on Select Education, held a hearing in 
Washington, D.C., on ``Beyond Baccalaureate: Graduate Programs 
in the Higher Education Act.'' The purpose of the hearing was 
to learn about the various graduate programs authorized under 
title VII of the Higher Education Act and to hear suggestions 
for the reauthorization of these programs. The Committee on 
Education and the Workforce, Subcommittee on 21st Century 
Competitiveness, held a hearing in Washington, D.C., on ``H.R. 
3039, the Expanding Opportunities in Higher Education Act of 
2003'' to hear testimony regarding the provisions in H.R. 3039, 
introduced by Representative Tom Cole (R-OK) on September 9, 
2003. Also in September 2003, the Committee on Education and 
the Workforce, Subcommittee on 21st Century Competitiveness, 
held a hearing in Washington, D.C., on ``The College Cost 
Crisis Report: Are Institutions Accountable Enough to Students 
and Parents?'' to examine the findings in the report, to 
discuss the broad issue of affordability in higher education, 
and to hear possible solutions on how best to address the 
problem of increasing college costs.
    In October 2003, the Committee on Education and the 
Workforce, Subcommittee on Select Education, held a field 
hearing in Edinburg, Texas, on ``Expanding Opportunities in 
Higher Education: Honoring the Contributions of America's 
Hispanic Serving Institutions.'' The purpose of the field 
hearing was to learn about expanding educational opportunities 
for students at Hispanic Serving Institutions (HSIs).

Second session

    In March 2004, the Committee on Education and the Workforce 
held a hearing in Washington, D.C., on ``Fiscal Responsibility 
and Federal Consolidation Loans: Examining Cost Implications 
for Taxpayers, Students, and Borrowers.'' The purpose of the 
hearing was to examine the consolidation loan program and how 
student lending issues fit within the broader goal of expanding 
access to low- and middle-income students pursing a 
postsecondary education.
    In May 2004, the Committee on Education and the Workforce 
held a hearing in Washington, D.C., on ``H.R. 4283, the College 
Access and Opportunity Act of 2004.'' The purpose of this 
hearing was to examine the provisions in H.R. 4283. In June 
2004, the Committee on Education and the Workforce held a 
hearing in Washington, D.C., on ``H.R. 4283, the College Access 
& Opportunity Act: Are Students at Proprietary Institutions 
Treated Equitably Under Current Law?'' The purpose of the 
hearing was to examine issues facing students attending 
eligible proprietary institutions of higher education.
    In June 2004, the Committee on Education and the Workforce, 
Subcommittee on 21st Century Competitiveness, held a hearing in 
Washington, D.C., on ``H.R. 4283, the College Access & 
Opportunity Act: Does Accreditation Provide Students and 
Parents Accountability and Quality?'' The purpose of the 
hearing was to examine issues related to accountability in 
higher education and to analyze those sections in the bill that 
deal with the accreditation process for institutions and the 
recognition of accreditors by the United States Department of 
Education.
    In July 2004, the Committee on Education and the Workforce 
held a full Committee hearing in Washington, D.C., on H.R. 
4283, entitled ``H.R. 4283, the College Access and Opportunity 
Act: Increasing the Focus on Graduation Rates and Student 
Outcomes.'' The purpose of this hearing was to examine issues 
regarding college graduation rates and the findings of a report 
issued by The Education Trust entitled, ``A Matter of Degrees: 
Improving Graduation Rates in Four-Year Colleges and 
Universities. Also in July, the Committee on Education and the 
Workforce, Subcommittee on 21st Century Competitiveness, held a 
hearing in Washington, D.C., entitled, ``Are College Textbooks 
Priced Fairly?'' to examine the issue of the high cost of 
textbooks on college campuses and the effect on a student's 
overall cost of higher education.
    In September 2004, the Committee on Education and the 
Workforce, Subcommittee on 21st Century Competitiveness, held a 
hearing in Washington, D.C., entitled, ``Are Current Safeguards 
Protecting Taxpayers Against Diploma Mills?'' The purpose of 
this hearing was to examine issues related to diploma mills and 
their impact on the credibility of the higher education system.

Legislative action--First session

    On January 29, 2003, Representatives Joe Wilson (R-SC), 
John Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), Johnny 
Isakson (R-GA), Todd Platts (R-PA), James Greenwood (R-PA), 
Patrick Tiberi (R-OH), Tom Cole (R-OK), Mark Souder (R-IN), 
Richard Baker (R-LA), Sam Graves (R-MO) and Heather Wilson (R-
NM) introduced H.R. 438, the Teacher Recruitment and Retention 
Act of 2003, which amended the Higher Education Act to provide 
up to $17,500 in loan forgiveness for math, science and special 
education teachers. In June 2003, the Subcommittee on 21st 
Century Competitiveness considered H.R. 438 in legislative 
session and reported it favorably, as amended, to the Committee 
on Education and the Workforce by voice vote. The bill passed 
the House by a vote of 417-7, but was not considered in the 
Senate.
    On May 22, 2003, Representatives Phil Gingrey (R-GA), John 
Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), and Joe 
Wilson (R-SC) introduced H.R. 2211, the Ready to Teach Act of 
2003, to reauthorize teacher preparation provisions under title 
II of the Higher Education Act through fiscal year 2008. In 
June 2003, the Subcommittee on 21st Century Competitiveness 
considered H.R. 2211 in legislative session and reported it 
favorably, as amended, to the Committee on Education and the 
Workforce by voice vote. On June 10, 2003, the Committee on 
Education and the Workforce considered H.R. 2211 in legislative 
session and reported it favorably, as amended, to the House of 
Representatives by voice vote. The bill passed the House by a 
vote of 404-17, but was not considered in the Senate.
    On September 11, 2003, Representatives Pete Hoekstra (R-
MI), John Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), 
James Greenwood (R-PA), Joe Wilson (R-SC), and Tom Cole (R-OK) 
introduced H.R. 3077, the International Studies in Higher 
Education Act of 2003, to reauthorize international education 
programs under title VI of the Higher Education Act through 
fiscal year 2009. The Subcommittee on Select Education 
considered H.R. 3077 in legislative session and reported it 
favorably, as amended, to the Committee on Education and the 
Workforce by voice vote. In September 2003, the Committee on 
Education and the Workforce considered H.R. 3077 in legislative 
session and reported it favorably, as amended, to the House of 
Representatives by voice vote. In October, the bill was 
considered and passed under suspension of the Rules in the 
House. No action was taken in the Senate.
    On September 11, 2003, Representatives Pete Hoekstra (R-
MI), John Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), 
Johnny Isakson (R-GA), Patrick Tiberi (R-OH), Joe Wilson (R-
SC), and Tom Cole (R-OK) introduced H.R. 3076, the Graduate 
Opportunities in Higher Education Act of 2003, to reauthorize 
graduate education programs under title VII of the Higher 
Education Act through fiscal year 2009. The Subcommittee on 
Select Education considered H.R. 3076 in legislative session 
and reported it favorably as amended to the Committee on 
Education and the Workforce by voice vote. The Committee on 
Education and the Workforce considered H.R. 3076 in legislative 
session and reported it favorably as amended to the House of 
Representatives by voice vote. In October, the bill was 
considered and passed under suspension of the Rules in the 
House. No action was taken in the Senate.

                             109TH CONGRESS

Hearings--First session

    In March 2005, the Committee on Education and the Workforce 
held a hearing in Washington, D.C., entitled, ``Enforcement of 
Federal Anti-Fraud Laws in For-Profit Education.'' The purpose 
of the hearing was to examine the effectiveness and enforcement 
of federal laws that exist to prevent fraud and abuse in for-
profit education.
    The Subcommittees on Select Education and 21st Century 
Competitiveness held a hearing in Washington, D.C., in March 
2005, entitled, ``Tracking International Students in Higher 
Education: A Progress Report.'' The purpose of the hearing was 
to learn about what had been accomplished in regard to the 
conditions under which individuals enter the country with the 
use of a student visa since the Subcommittees held joint 
hearings in October 2001, and September 2002.
    In April 2005, the Committee on Education and the Workforce 
held a hearing in Washington, D.C., entitled, ``College Access: 
Is Government Part of the Solution, or Part of the Problem?'' 
This hearing served as a forum to discuss the effects of ever-
rising college tuition costs and to debate some of the possible 
solutions to this problem. The Subcommittee on Select Education 
also held a field hearing in April 2005 in Columbus, Ohio, 
entitled, ``International Education and Foreign Language 
Studies in Higher Education.'' The hearing was held to discuss 
international education and the respective programs under title 
VI of the Higher Education Act. Specifically, the Subcommittee 
sought to gather additional information about how institutions 
of higher education are working with local K-12 schools to 
promote international education opportunities.
    In May 2005, the Committee on Education and the Workforce, 
Subcommittee on Select Education, held a field hearing 
entitled, ``Expanding Opportunities for Graduate Study at 
Hispanic Serving Institution.'' The hearing was to discuss the 
need for graduate education programs under title V of the 
Higher Education Act. Also in May 2005, the Subcommittee on 
Select Education, held a hearing entitled, ``College Credit 
Mobility: Can Transfer of Credit Policies be Improved?'' to 
discuss college credit mobility policies at the institutional 
level, as well as to examine best practices at the state level 
on transfer of credits policies.
    The Committee on Education and the Workforce, Subcommittee 
on 21st Century Competitiveness, held a hearing in May 2005 in 
Washington D.C., entitled, ``Challenges to American 
Competitiveness in Math and Science.'' The purpose of the 
hearing was to explore how elementary and high schools are 
being creative with their math and science curricula to make 
these courses appealing to students. The hearing also examined 
what is being done at institutions of higher education to 
retain and graduate students who start their academic careers 
in math, science or engineering disciplines.

Legislative action--First session

    On February 8, 2005, Representatives John Boehner (R-OH) 
and Howard P. ``Buck'' McKeon (R-CA) introduced H.R. 609, the 
College Access and Opportunity Act, to reauthorize the Higher 
Education Act (HEA) through fiscal year 2011. The Subcommittee 
on 21st Century Competitiveness considered H.R. 609 in 
legislative session on Wednesday, July 13 and Thursday, July 
14, 2005 and reported it favorably, as amended to the Committee 
on Education and the Workforce by a vote of 18-15. The 
Committee on Education and the Workforce considered H.R. 609 in 
legislative session on Wednesday, July 20, Thursday, July 21 
and Friday, July 22, 2005 and reported it favorably, as 
amended, to the House of Representatives, by a vote of 27-20, 1 
present. H.R. 609 was passed by the House on March 30, 2006, by 
a vote of 221-199 (H. Rept. 109-231). S. 1614 was reported by 
the Senate, Health, Education, Labor and Pensions Committee on 
November 17, 2005, without a report. A report (S. Rept. 109-
218) was subsequently filed on February 28, 2006. The bill was 
not considered on the Senate Floor during the 109th Congress.
    On February 2, 2005, Representatives Patrick Tiberi (R-OH), 
John Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), Joe 
Wilson (R-SC), Peter Hoekstra (R-MI), and Ruben Hinojosa (D-TX) 
introduced H.R. 509, the International Studies in Higher 
Education Act of 2005, to reauthorize international education 
programs under title VI of the Higher Education Act through 
fiscal year 2011. In June 2005, the Subcommittee on Select 
Education considered H.R. 509 in legislative session and 
reported it favorably, as amended, to the Committee on 
Education and the Workforce by voice vote.
    On February 2, 2005, Representatives Patrick Tiberi (R-OH), 
John Boehner (R-OH), Howard P. ``Buck'' McKeon (R-CA), Vernon 
Ehlers (R-MI), Joe Wilson (R-SC), Peter Hoekstra (R-MI), and 
Ruben Hinojosa (D-TX) introduced H.R. 510, the Graduate 
Opportunities in Higher Education Act of 2005, to reauthorize 
graduate education programs under title VII of the Higher 
Education Act through fiscal year 2011. In June 2005, the 
Subcommittee on Select Education considered H.R. 510 in 
legislative session and reported it favorably, as amended, to 
the Committee on Education and the Workforce by voice vote.

                             110TH CONGRESS

    As a result of the national Congressional elections in 
November 2006, the House of Representatives has transitioned 
from a body led by a Republican Majority to a body led by a 
Democratic Majority. One of the consequences of the realignment 
was the restructuring of the Committee. The former Committee on 
Education and the Workforce and the Subcommittee on 21st 
Century Competitiveness have been renamed as the Committee on 
Education and Labor and the Subcommittee on Higher Education, 
Lifelong Learning and Competitiveness, respectively.

Hearings--First session

    On Thursday, March 8, 2007, the Committee on Education and 
Labor, Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness, held a hearing in Washington, D.C., on ``The 
State of Higher Education: How Students Access and Finance a 
College Education''. This was the first in a series of hearings 
leading to the reauthorization of the Higher Education Act of 
1965 as amended. The purpose of the hearing was to hear 
testimony on whether students graduate with the skills they 
need to be successful in the workplace; whether all students 
are college ready and have an opportunity to attend some form 
of post secondary education; and, whether the cost of tuition 
is pricing students and families out of higher education. 
Testifying before the Subcommittee were Mr. James Merisotis, 
President, Institute for Higher Education Policy, Washington, 
D.C.; Dr. David Breneman, Dean and Professor, Curry School of 
Education, Charlottesville, VA.; Mr. Ross Wiener, Vice 
President for Program and Policy, Education Trust, Washington, 
D.C.; and Mr. Dan Soifer, Executive Vice President, Lexington 
Institute, Arlington, VA.
    On Thursday, March 22, 2007, the Committee on Education and 
Labor, Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness, held a hearing in Washington, D.C., on ``The 
Higher Education Act: Approaches to College Preparation''. The 
purpose of the hearing was to hear testimony on how college 
preparation programs complement student aid by providing 
services and incentives for eligible students to increase their 
secondary and postsecondary attainment. Testifying before the 
Subcommittee were Dr. Maria Martinez, Director, Center for 
Academic Programs, University of Connecticut, Storrs-Mansfield, 
Connecticut; Mr. Dane Linn, Director, Education Division, 
Center for Best Practices, National Governors Association, 
Washington, D.C.; Dr. Martha Cantu, Director, GEAR UP Program, 
University of Texas, Pan American, Edinburg, Texas; Mr. J.B. 
Schramm, Founder and CEO, College Summit, Washington, D.C.
    On Wednesday, April 25, 2007, the Committee on Education 
and Labor held a hearing in Washington, D.C., on ``Examining 
Unethical Practices in the Student Loan Industry. The purpose 
of the hearing was to hear testimony from New York Attorney 
General Andrew M. Cuomo regarding his investigation into the 
relationships between schools and student loan lenders in light 
of allegations of unethical practices and conflicts of 
interests in the student loan industry. Testifying before the 
Committee was the Honorable Andrew M. Cuomo, New York State 
Attorney General.
    On Tuesday, May 1, 2007, the Committee on Education and 
Labor, Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness, held a hearing in Washington, D.C., on 
``Paying for a College Education: Barriers and Solutions for 
Students and Their Families''. The purpose of the hearing was 
to hear testimony on the financial and programmatic factors 
students and their families need to consider as they develop 
plans for enrolling and persevering towards degree completion. 
Testifying before the Subcommittee were Dr. Dallas Martin, 
President of the National Association of Student Financial Aid 
Administrators, Washington, D.C.; Dr. Claude Pressnell, Member 
of the Federal Advisory Committee on Student Financial 
Assistance, Washington, D.C.; Mr. Luke Swarthout, U.S. Public 
Interest Research Group, Washington, D.C.; Mr. James A. Boyle, 
President, College Parents of America, Arlington, Virginia.
    On Thursday, May 10, 2007, the Committee on Education and 
Labor held a hearing in Washington, D.C., on ``Accountability 
for the Department of Education's Oversight of Student Loans 
and the Reading First Program''. The purpose of the hearing was 
to hear testimony on the oversight and management by the 
Department of Education of the federal student loan and Reading 
First programs and any regulatory or legislative actions that 
may be necessary to address issues of concern. Testifying 
before the Committee was the Honorable Margaret Spellings, 
Secretary of the United States Department of Education.
    On Tuesday, May 15, 2007, the Committee on Education and 
Labor held a hearing in Washington, D.C., on ``Best Practices 
for Making College Campuses Safe''. The purpose of the hearing 
was to hear testimony on campus safety, including current 
provisions of the Higher Education Act, emerging technologies, 
and preventative measures that may ensure student and staff 
safety on campus. Testifying before the Committee were Steven 
Healy, Director, Department of Public Safety, Princeton 
University, Princeton, New Jersey; Dr. Louanne Kennedy, former 
Provost, California State University of Northridge, Northridge, 
California; Dr. Dewey Cornell, Director of the Virginia Youth 
Violence Project, University of Virginia, Charlottesville, 
Virginia; Dr. Jan Walbert, Vice President for Student Affairs, 
Arcadia University, Glenside, Pennsylvania.
    On Thursday, May 17, 2007, the Committee on Education and 
Labor, Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness, held a hearing in Washington, D.C., on 
``Preparing Teachers for the Classroom: The Role of the Higher 
Education Act and No Child Left Behind''. The purpose of the 
hearing was to hear testimony on how title II of the Higher 
Education Act and title II of the No Child Left Behind Act 
interact to provide high quality teachers for our national 
public school system. Testifying before the Subcommittee were 
Mr. George Scott, Director, Education, Workforce and Income 
Security Issues, General Accountability Office, Washington, 
D.C.; Dr. Sharon Robinson, President, American Association of 
Colleges for Teacher Education, Washington, D.C.; Dr. Janice 
Wiley, Deputy Director for Instruction, Region I Education 
Service Center, Edinburg, Texas; Dr. Daniel Fallon, Project 
Director, Carnegie Corporation, New York City; Dr. Emily 
Feistritzer, President, National Center for Alternative 
Certification, Washington, D.C.
    On Monday, June 4, 2007, the Committee on Education and 
Labor, Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness held a field hearing in Austin, Texas on 
``Higher Education Act: Institutional Support for Colleges and 
Universities under Title III and Title IV''. The purpose of the 
hearing was to hear testimony on how the federal programs 
support Historically Black Colleges and Universities and other 
Minority-Serving Institutions under both titles. Testifying 
before the Subcommittee were Dr. Stephen B. Kinslow, President, 
Austin Community College District, Austin, Texas; Mr. George 
Scott, Director, Education, Workforce and Income Security, 
Washington, D.C.; Dr. Larry L. Earvin, President, Huston-
Tillotson University, Austin, Texas; Ms. Olivia Vanegas-
Funcheon, President, Tohono O'odham Community College, Sells, 
Arizona.
    On Tuesday, June 19, 2007, the Committee on Education and 
Labor, Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness, held a hearing in Washington, D.C., on 
``Building on the Success of 35 Years of Title IX''. The 
purpose of the hearing was to hear testimony on how title IX of 
the Educational Amendments of 1972 has helped girls and women 
attain success and freedom from discrimination in academic, 
athletic and workforce opportunities. Testifying before the 
Subcommittee were Ms. Marcia D. Greenberger, Co-President of 
the National Women's Law Center, Washington, D.C.; Lisa M. 
Maatz, Director of Public Policy and Government Relations, 
American Association of University Women, Washington, D.C.; Mr. 
Jack Mowatt, Commissioner of Maryland-DC Amateur Softball 
Association, Gambrills, Maryland; Ms. Margaret Edith Layne, 
Program Director, AdvanceVT, Virginia Tech University, 
Blacksburg, Virginia; Mr. Eric Pearson, President, College 
Sports Council, Washington, D.C.; and Dr. Rita Simon, 
Professor, American University, Washington, D.C.
    On Friday, June 29, 2007, the Committee on Education and 
Labor, Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness held a joint hearing with the Foreign Affairs, 
Subcommittee on International Organizations, Human Rights and 
Oversight in Washington D.C. on ``International Students and 
Visiting Scholars: Trends, Barriers, and Implications for 
American Universities and U.S. Foreign Policy''. The purpose of 
the hearing was to hear testimony on how government officials, 
colleges and universities and other entities can encourage 
greater numbers of scholars from abroad to participate in 
programs in the United States. Testifying before the 
Subcommittees were The Honorable Thomas A. Farrell, Deputy 
Assistant Secretary for Academic Programs, Bureau of 
Educational and Cultural Affairs, United States Department of 
State; The Honorable James Manning, Acting Assistant Secretary 
for Postsecondary Education, Department of Education; Mr. 
George Scott, Director, Education, Workforce, and Income 
Security Team, Government Accountability Office; Ms. Adina 
Fisher, Founding Director, African New Era Organization, 
American University, Washington, D.C.; Ms. Katherine S. 
Bellows, Executive Director, Office of International Programs, 
George Washington University, Washington, D.C.; Dr. Phillip O. 
Grier, Executive Director, Davis United World College Program, 
Middlebury College, Middlebury, Vermont; Ms. Marlene Johnson, 
Executive Director and CEO, NAFSA: Association of International 
Educators, Washington, D.C.; Dr. Jerry M. Melillo, Director, 
The Ecosystems Center, Marine Biology Laboratory, Providence, 
Rhode Island; and Ms. Jessica Vaughan, Senior Policy Analyst, 
Center for Immigration Studies, Washington, D.C.
    On Friday, September 21, 2007, the Committee on Education 
and Labor, Subcommittee on Higher Education, Lifelong Learning 
and Competitiveness, held a field hearing on the campus of 
California State Polytechnic University in Pomona, California. 
The hearing was on ``Examining Competitiveness Through Science, 
Technology, Engineering and Math''. The purpose of the hearing 
was to hear testimony on important federal, state and local 
efforts to maintain and improve economic competitiveness by 
supporting a capable and scientific workforce and education 
system. Testifying before the Subcommittee were Dr. Charles 
Reed, Chancellor of the California State University System, 
Long Beach, California; Dr. Warren Baker, President, California 
Polytechnic State University, San Luis Obispo, California; Dr. 
Frederick Tarantino, Executive Director, Universities Space 
Research Association, Columbia, Maryland; Dr. Marshall 
Drummond, Chancellor, Los Angeles Community College District, 
Los Angeles, California; Dr. Todd Ullah, Director of Secondary 
Science Programs, Los Angeles Unified School District, Los 
Angeles, California; and Dr. Susan Hackwood, Executive 
Director, California Council on Science and Technology, 
Riverside, California.
    On Thursday, November 1, 2007, the Committee on Education 
and Labor held a hearing in Washington, D.C., on ``Barriers to 
Equal Educational Opportunities: Addressing the Rising Costs of 
a College Education''. The purpose of the hearing was to hear 
testimony on the causes and potential remedies of rising 
college costs. Testifying before the full Committee were Dr. 
John E. Bassett, President, Clark University, Worcester, 
Massachusetts; Jane V. Wellman, Executive Director, Delta 
Project on Postsecondary Costs, Productivity, and 
Accountability, Washington, D.C.; Dr. F. King Alexander, 
President, California State University Long Beach, Long Beach, 
California.

Legislative action

    The Committee on Education and Labor considered H.R. 4137 
in legislative session on Wednesday, November 14 and Thursday, 
November 15, 2007 and reported it favorably, as amended, to the 
House of Representatives, by a vote of 45-0. The Committee 
considered and adopted the following amendments to H.R. 4137:
     Representative Miller (D-CA) offered an amendment 
to make changes to the legislation. Specifically, the amendment 
allows international nursing schools to be eligible for 
participation in title IV programs if they have a clinical 
program in the United States, only certify Unsubsidized and 
Graduate PLUS loans, and refund the government for defaults 
over 5 percent. Also, within the National Advisory Committee on 
Institutional Quality and Integrity, the amendment restores 
provision under current law for accreditation of distance 
education programs, eliminates the provisions on the 
Secretary's designee to the committee and allows, in order to 
account for transition time, the revised advisory board to 
start on January 1, 2009. With regard to overall college costs, 
the amendment amends the state maintenance of effort to be 
benchmarked on either the average appropriations over the last 
five years or the last year's appropriation. The amendment 
adjusts textbook provisions by making the provisions effective 
on July 1, 2008. In the Sunshine section of the bill, the 
amendment further clarifies that college and university 
presidents are not prohibited from serving on the board of 
trustees for banks and other relevant institutions. The 
amendment eliminates the provision of loan information 
requiring private loan lenders to ensure that the institution 
has notified students of their remaining options under the 
Federal Family Education Loan Program (FFELP) because it is 
duplicative with the provisions included in title X of the 
bill. The amendment allows lenders to provide institutions with 
staffing and other assistance during times of national 
emergency, such as during and in the aftermath of Hurricane 
Katrina. Concerning teacher education, the amendment clarifies 
that programs focused on alternative routes to state 
certification are eligible partners; ensures that partnership 
grantees identify how they will prepare teachers to teach 
students with Limited English Proficiency; ensures that 
participants in the teacher residency program consider 
individuals from underrepresented populations in the teaching 
profession in admissions; creates a new partnership authority 
to attract minority candidates to seek careers in teaching; and 
adds a rule of construction to ensure that this does not hinder 
collective bargaining. The amendment increases the 
authorization for Historically Black Colleges and Universities 
Capital Financing Program to accommodate new applicants. The 
amendment directs the Gaining Early Awareness and Readiness for 
Undergraduate Program (GEAR UP) grantees to give priority to 
foster and homeless youth, in addition to the current law 
priority categories. The amendment clarifies that third-party 
servicers may only receive student loan information about 
students attending or who have attended institutions by which 
they are or were employed, and ensures that the servicers may 
not share or transfer the information to other parties. The 
amendment incorporates S. 1167, to provide loan repayment for 
civil legal assistance attorneys. The amendment directs 
guaranty agencies to develop and make available education 
programs and materials for students and families regarding 
financial management, including debt management and other 
aspects of financial literacy. The amendment adds campus safety 
provisions to ensure that campuses have policies regarding 
immediate responses to emergency situations. The amendment 
requires institutions to have a protocol for notifying an 
individual identified by the student as an emergency contact if 
the student is reported missing for more than 24 hours. The 
amendment requires institutions to have a protocol for safely 
disposing of computers in a manner that protects the privacy of 
the data. The amendment clarifies that the 90/10 provisions in 
the program participation agreement only apply to for-profit 
institutions and allows revenue from additional sources of 
funds from accredited, but not title-IV eligible, programs to 
count as part of the 10 percent of non-title IV revenue. The 
amendment removes the provision that accreditors need to 
certify that institutions of higher education comply with all 
reporting and notification requirements. The amendment 
increases the number of consumer representatives on the 
Advisory Commission on Accessible Instructional Materials and 
clarifies responsibilities of the Commission. The amendment 
authorizes a study on the effect of postsecondary education on 
offenders. The amendment authorizes a National Undergraduate 
Fellows Program to provide fellowships to undergraduate 
students to improve the degree completion rates of students 
currently underrepresented in those rates. The amendment was 
adopted by voice vote.
      Representative Walberg (R-MI) offered an 
amendment to ensure that accrediting bodies respect the mission 
of the institution during institutional reviews. The amendment 
was adopted by voice vote.
      Representative Petri (R-WI) offered an amendment 
to require the Secretary of Education to consult the U.S. 
Attorney General before entering into a settlement agreement. 
The amendment was adopted by unanimous consent.
      Representatives Altmire (D-PA) and Woolsey (D-CA) 
offered an amendment to provide grants to colleges to create 
business workforce partnerships. The amendment was adopted by a 
vote of 24-16.
      Representatives Timothy Bishop (D-NY), McCarthy 
(D-NY), and Clarke (D-NY) offered an amendment to expand the 
exemption for the higher education watch list to schools whose 
full price increase is an average of the higher education price 
index plus $500 per year. The amendment was adopted by 
unanimous consent.
      Representative Keller (R-FL) offered an amendment 
to prohibit individuals who are subject to an involuntary civil 
commitment upon completion of a period of incarceration for a 
sexual offense from being eligible for a Pell Grant. The 
amendment was adopted by voice vote.
      Representatives Hare (D-IL) and Loebsack (D-IA) 
offered an amendment to create partnerships grants for the 
development of leadership programs under title II. The 
amendment was adopted by voice vote.
      Representatives Grijalva (D-AZ) and Bishop (D-NY) 
offered an en bloc amendment to modify the way the cohort 
default rate is calculated. An amendment was also included to 
require student loan counseling. The amendment was adopted by 
voice vote.
      Representative Foxx (D-NC) offered an amendment 
to prohibit the Department of Education from developing or 
maintaining a federal database of student information. The 
amendment was adopted by voice vote.
      Representatives Danny Davis (D-IL), Souder (R-
IN), Scott (D-VA), Clarke (D-NY) and Payne (D-NJ) offered an 
amendment to create a discretionary grant program to assist and 
encourage incarcerated individuals in state and federal prisons 
to acquire educational and job skills. The amendment was 
adopted by voice vote.
      Representative Holt (D-NJ) offered an amendment 
to create, within the Department of Education, an Assistant 
Secretary of International and Foreign Language Education and 
an Office of International and Foreign Language Education. The 
amendment was adopted by voice vote.
      Representatives Price (R-GA) and Boustany (R-LA) 
offered an amendment to commission a Government Accountability 
Office (GAO) study of education related indebtedness of medical 
school graduates. The amendment was adopted by unanimous 
consent.
      Representative Andrews (D-NJ) offered an 
amendment to revise the reporting requirements for institutions 
of higher education that are also title VI grantees, with 
respect to the donations the institutions receive. The 
amendment was adopted by voice vote.
      Representative Andrews (D-NJ) offered an 
amendment to strike language in section 496 with respect to 
setting standards for institutions of higher education. The 
amendment was adopted by unanimous consent.
      Representative Price (R-GA) offered an amendment 
to direct the Secretary of Education to contract with an 
independent organization to conduct a financial and compliance 
audit of Direct Loan portfolio and Direct Loan servicing 
contracts. The amendment was adopted by unanimous consent.
      Representative Andrews (D-NJ) offered an 
amendment to require institutions of higher education that 
require veterans to apply for readmission to submit to the 
Secretary a statement justifying such requirement. The 
amendment was adopted by unanimous consent.
      Representative David Davis (R-TN) offered an 
amendment to limit a student's Pell Grant eligibility to the 
equivalent of eighteen semesters or twenty-seven quarters, as 
determined by the Secretary. The amendment was adopted by 
unanimous consent.
      Representative Kuhl (R-NY) offered an amendment 
to recognize the Rochester Institute of Technology as the 
institution responsible for operating the National Technical 
Institute for the Deaf under the Education of the Deaf Act. The 
amendment was adopted by unanimous consent.
      Representative Walberg (R-MI) offered two 
amendments en bloc to provide for additional transparency 
between accrediting agencies and institutions during the 
accreditation review process and ensure that accrediting 
agencies are using clear, consistent and known standards in 
reviewing institutions. The en bloc amendment was adopted by 
unanimous consent.
      Representative Souder (R-IN) offered two 
amendments en bloc to ensure that students are informed about 
the penalties associated with a drug conviction while the 
student is receiving federal aid and to permit students to 
regain their eligibility by passing two random drug tests. The 
en bloc amendment was adopted by unanimous consent.
      Representative Scott (D-VA) offered an amendment 
to create an appeal process for TRIO programs. The amendment 
was adopted by a vote of 29-15.
      Representative Rob Bishop (R-UT) offered an 
amendment to prohibit a federal government entity or contractor 
from mandating, directing, controlling, or suggesting a 
specific curriculum for teacher education programs. The 
amendment was adopted by unanimous consent.
      Representative Scott (D-VA) offered an amendment 
to rename Centers of Excellence as the Honorable Augustus F. 
Hawkins Centers of Educational Excellence. The amendment was 
adopted by unanimous consent.
      Representative Hoekstra (R-MI) offered an 
amendment to make adjustments to the membership of the National 
Advisory Committee on Institutional Quality and Integrity and 
ensure that NACIQI will not deny recognition based on standards 
that are not outlined in section 496. The amendment was adopted 
by unanimous consent.
      Representative Wu (D-OR) offered an amendment to 
require the Department of Education to ensure that all 
Department publications contain no more than four digits of an 
individual's Social Security Number. The amendment was adopted 
by unanimous consent.
      Representative Yarmuth (D-KY) offered an 
amendment to establish a non-profit National Center for 
Learning and Science and Technology to focus on research and 
development in education. The amendment was adopted by voice 
vote.

                        III. Summary of the Bill


                      TITLE I: GENERAL PROVISIONS

Dually enrolled students

    H.R. 4137 amends the definition of an institution of higher 
education to permit institutions to admit students who are 
dually or concurrently enrolled in the institution and a 
secondary school.

Foreign medical schools

    The bill allows foreign medical schools to be eligible for 
federal aid if they have a clinical training program approved 
prior to January 1, 2008, certify only unsubsidized Stafford or 
PLUS loans, and agree to reimburse the Secretary for the cost 
of any defaulted loan in the institution's cohort default rate 
during the previous fiscal year. It also allows foreign nursing 
schools to be eligible for federal aid if they have agreements 
with hospitals and nursing programs located within the United 
States, have students complete their training in the United 
States, certify only unsubsidized Stafford and PLUS loans, and 
agree to reimburse the Secretary for the cost of any student 
loan defaults if the institution's cohort default rate exceeds 
5 percent.

National Advisory Committee on Institutional Quality and Integrity 
        (NACIQI)

    The NACIQI advises the Secretary of Education on matters 
related to accreditation and the eligibility and certification 
process for institutions of higher education. Under current 
law, the Secretary appoints members of NACIQI for three-year 
terms of office. H.R. 4137 increases the committee membership 
to eighteen members, with six members appointed by the 
Secretary, six members appointed by the House of 
Representatives (three appointed by the majority leader and 
three by the minority leader), and six members appointed by the 
Senate (three appointed by the majority leader and three by the 
minority leader).

College costs

    H.R. 4137 includes:
    A state maintenance of effort to make college more 
affordable: The bill ensures that states maintain their own 
level of college financing--to ensure that they fulfill their 
end of the bargain to make a quality college education 
affordable to all students. Under this section, states risk 
losing funds under the newly created ``Grants for Access and 
Persistence'' (GAP grants) if they fail to meet the state 
maintenance of effort. For those states that have specific 
fiscal challenges, the bill includes a waiver that may be 
awarded at the discretion of the Secretary.
    Also included in the bill is a requirement for a report on 
the state appropriations, including a comparison of the 
percentage change in state appropriations per enrolled student 
in public institutions of higher education to the percentage 
change in tuition and fees for each public institutions of 
higher education for each of the five previous years.
    Consumer Friendly Information and Transparency: The bill 
includes a provision for the creation of a national list and 
reporting system by institutions of higher education. 
Specifically, the bill requires the Secretary to publish 
annually a list that allows individuals to sort information by 
state or type of institution. The list will also include 
rankings for institutions based on their changes in tuition and 
fees over the preceding three years. Institutions whose 
increase in tuition and fees exceeds that of its applicable 
higher education price index will be placed on the ``Higher 
Education Price Increase Watch List.'' For institutions placed 
on the Watch List, the bill requires schools to create a 
Quality Efficiency Task Force which will examine the 
institution's operating costs as compared to other similarly 
situated institutions and make recommendations on how the 
institution can create more efficiencies to help hold down 
costs.
    University and College Accountability Network (U-CAN): H.R. 
4137 includes a provision for the creation of a model document, 
the University and College Accountability Network (U-CAN). This 
model document may be used by institutions to annually report 
basic institutional information.
    Higher Education Price Index: The bill requires the Bureau 
of Labor Statistics (BLS) to develop higher education price 
indices (HEPI) that accurately reflect the annual change in 
tuition and fees for undergraduate students enrolled in 
specific types of institutions (e.g., four-year public degree-
granting).

Textbook costs

    The bill directs college textbook publishers to provide 
pricing information to faculty and other personnel when they 
are making purchasing decisions and to provide combined or 
``bundled'' materials separately. H.R. 4137 also directs 
institutions and college bookstores to provide textbook 
information to students early (in course catalogs and online) 
so that they are aware of the textbook costs associated with 
each course when they are making course selections each 
semester.

Student loan Sunshine--Private student loans

    H.R. 4137 incorporates the bi-partisan Sunshine Act (H.R. 
890) into the bill. It incorporates changes to address concerns 
that the original bill may have unintentionally prohibited 
College Presidents from serving on a Bank's board of directors 
(and vice-versa), despite the absence of a conflict of 
interest. Further, rather than imposing an out-right ban on all 
opportunity pools, the bill retains the ban on lenders offering 
opportunity pools as a quid pro quo for placement on a 
preferred lender list or for a specified loan volume. The bill 
subjects any other opportunity pool arrangements to enhanced 
reporting and disclosure requirements and requires that schools 
provide students with the choice of multiple lenders, ending 
past practices that resulted in students being directed to a 
single lender.

Feasibility study on a national electronic student loan marketplace

    H.R. 4137 includes a requirement for a study on the 
feasibility of developing a marketplace for students and 
families to explore the best options with respect to federal 
and private student loans.

                 TITLE II: TEACHER QUALITY ENHANCEMENT

Partnership grants

    The bill revises the current structure of the teacher 
education provisions by consolidating the three main programs 
(state, recruitment, and partnership grants) into one 
partnership program. The partnership grants permit funds for 
new initiatives including the establishment of induction 
programs, a residency model, and mentoring for new teachers. 
The partnership grants also include greater accountability to 
ensure both that states develop standards for their teacher 
education programs, and that these standards and information on 
the particular programs are reported to the Department of 
Education.

Preparing teachers for digital age learners

    H.R. 4137 retains the goal of PT3 but revises the section 
to focus not only on ensuring that teacher candidates can 
integrate technology in the classroom, but also may assess the 
use of this technology.

Recruitment

    The bill creates a new initiative aimed at recruiting and 
retaining individuals to enter and remain in teaching, 
particularly in the high demand fields such as science, 
technology, math, foreign languages, and special education.

Community colleges and teacher education

    Because community colleges frequently serve as a pipeline 
to higher education for underrepresented populations, a new 
initiative in H.R. 4137 encourages partnerships between two-
year and four-year teacher preparation programs. The focus is 
on ensuring transition is from the two-year to the four-year 
teacher education program and on exposing teacher education 
students to the classroom environment early on.

Teach For America

    H.R. 4137 includes the authorization of Teach For America 
to encourage the recruitment and training of talented 
undergraduate students to enter into the teaching profession.

Honorable Augustus F. Hawkins Centers of Excellence

    H.R. 4137 establishes new Centers of Excellence to provide 
grants to HBCUs and other Minority Serving Institutions (MBIs) 
to improve teacher quality and preparation.

Early childhood education task force and career ladder

    The bill includes newly created state-based task forces on 
early childhood education with the goal of creating 
comprehensive state systems. In addition to creating statewide 
systems, the program encourages a focus on ensuring a well 
educated and compensated workforce.

National Academy of Science--Study on best practices in teacher 
        education

    H.R. 4137 calls for a study by the National Academy of 
Sciences to develop best practices in teacher education.

                      TITLE III: INSTITUTIONAL AID

Predominantly Black Institutions, Asian-Pacific Islander Serving 
        Institutions

    The bill establishes new designations within title III:
     Predominantly Black Institutions (PBIs) as 
institutions that have an enrollment of financially needy 
undergraduate students; an enrollment of undergraduate students 
at least 40 percent of whom are African American; and, that has 
at least 1,000 undergraduate students of whom not less than 50 
percent enrolled at the institution are low-income or first 
generation and registered in a BA or AA program leading to a 
degree.
     Asian and Pacific Islander Serving Institutions as 
institutions that have an enrollment of undergraduate students 
that is at least 10 percent Asian American and Pacific Islander 
and that have a significant enrollment of financially needy 
students.

Native Americans

    The bill makes modest changes to current law with respect 
to Tribally Controlled Colleges. Additionally, it creates a 
designation for Native American Non-Tribal institutions which 
are institutions that (1) have an enrollment of undergraduate 
students that is not less than 10 percent Native American 
students and (2) are not already designated as a Tribal College 
or University under section 316 of the Higher Education Act.

Historically Black Colleges and Universities (HBCUs)

    In addition to several technical changes, H.R. 4137 amends 
Part B to allow HBCUs to acquire property, provide financial 
literacy, and seek technical assistance. Additionally, the bill 
adds six graduate programs, namely Alabama State, Bowie State, 
Delaware State, Langston University, Prairie View A&M, and the 
University of the District of Columbia School of Law. Finally, 
this section provides waiver to allow schools affected by the 
Gulf Coast hurricanes to be held harmless at the enrollment 
levels prior to the hurricanes.

Minority Science and Engineering Improvement (MSEI) Program

    H.R. 4137 adds a new initiative to the current MSEI program 
to support the participation of underrepresented minority youth 
in science, technology, engineering, and mathematics through 
outreach and hands-on experiential-based learning projects. The 
bill also includes a marketing campaign aimed at encouraging 
minorities to enter the fields of science, technology, 
engineering, and mathematics.

                      TITLE IV: STUDENT ASSISTANCE

Pell grants

    The bill increases the authorized maximum Pell grant award 
from $5,800 under current law to $9,000. The bill also allows 
the Pell grant to be used year round, for certificate programs, 
and by part-time students. The bill limits student eligibility 
for the Pell grant to eighteen semesters or twenty-seven 
quarters (or its equivalent if the student attends part time).

AC/SMART grants

    The bill includes changes to allow legal permanent 
residents in certificate programs and those attending part-time 
to receive AC/SMART grants. The bill also amends the definition 
of the academic year. The bill amends the SMART Grant program 
to clarify that a student pursuing eligible courses of study at 
an institution where students do not declare majors is eligible 
for the program.

TRIO

    The bill includes outcome measures and evaluation criteria 
for the TRIO programs. It also retains a provision to prohibit 
the Department of Education from implementing the absolute 
priority and evaluation in the Upward Bound program that was 
adopted in the Committee on Education and Labor during the 
budget reconciliation 19 process (H.Rpt. 110-210). H.R. 4137 
allows non-funded applicants to appeal funding decisions to an 
administrative law judge.

Campus based aid

    The bill provides for cancellation of Perkins loans for 
firefighters and librarians. H.R. 4137 also clarifies the 
definition of an early childhood educator. Additionally, the 
bill includes provisions to help sustain the Perkins loan 
program. It also reauthorizes the Supplemental Education 
Opportunity Grants (SEOG) and the Work Study program.

Byrd Scholarship Program

    The bill reconstructs the Byrd Scholarship Program to focus 
on persuading students to earn degrees in the fields of math 
and science. The program is authorized to develop a Math & 
Science Honors Scholarship Fund and a Math and Science 
Incentive Program. The Math and Science Honors Scholarship Fund 
provides funds to a nonprofit entity to develop the Fund, which 
may provide scholarships to students who commit to complete 
five consecutive years of service in a math or science field 
after graduation. The Math and Science Incentive Program 
provides for the forgiveness of up to $5,000 of the interest 
that accumulates on a student's loan if the student agrees to 
work for five consecutive years in a math or science field.

Loan forgiveness

    The bill includes a new $10,000 loan forgiveness program 
for individuals serving in high-needs areas. These qualified 
individuals are eligible for up to $2,000 in loan forgiveness 
each year for five years. Eligible professions are: early 
childhood educators, nurses, foreign language specialists, 
librarians, teachers, speech-language pathologists, national 
service participants, school counselors, public sector 
employees, nutrition professionals, medical specialists, and 
mental health professionals.
    Additionally, the bill includes further clarification of 
the public service definition in the ten year loan forgiveness 
program established by the College Cost Reduction and Access 
Act (P.L. 110-84) to specifically add nurses, allied health 
professionals, and early childhood educators.

EZ-FAFSA

    The bill simplifies the Free Application for Federal 
Student Aid (FAFSA) and ensures that students and families 
begin to receive aid information earlier in the college 
application process. Specifically, the bill:
     Encourages the Secretary to reduce the number of 
questions required to be answered by the applicant by 50 
percent in the next five years.
     Creates a two-page FAFSA-EZ form for students and 
families who qualify for the ``auto-zero'' family contribution.
     Streamlines the reapplication process so that 
applicants must only provide updated data in subsequent years, 
rather than re-filing a new FAFSA.
     Directs the Secretary to implement a system that 
allows students and families, in the years before they apply 
for aid, to enter and update information and receive estimates 
of their Expected Family Contribution (EFC), as well as an 
estimated amount of aid.
     Includes a Sense of the Congress that the 
Department of Education and the Internal Revenue Service work 
together to use information the government already has with 
respect to students and families.

Students with intellectual disabilities

    The reauthorization includes eligibility for Pell grants, 
work-study programs, and SEOG for students with intellectual 
disabilities who demonstrate financial need, even if they are 
enrolled in non-degree higher education programs.

Peer-to-Peer file sharing on campus

    The bill requires institutions to report their policies 
with respect to copyright infringement and illegal peer-to-peer 
file sharing/downloading and any procedures to address the 
infractions. Additionally the bill includes a grant program for 
consortia of institutions to explore innovative ways to curtail 
and prevent illegal downloading.

Articulation agreements and transfer of credit

    The bill encourages states to develop and implement 
comprehensive articulation agreements among institutions of 
higher education over the next two years, and directs the 
Secretary to provide technical assistance.
    The bill also requires institutions to fully disclose the 
transfer of credit policies for current and prospective 
students.

The ``90/10 Rule''

    The bill strikes from the statutory definition of an 
institution of higher education the provision that a for-profit 
school must derive no more than 90 percent of its revenue from 
federal title IV student aid programs. Instead, the bill makes 
this provision a requirement of a school's title IV program 
participation agreement with the Secretary. In addition, the 
bill clarifies and provides additional flexibility with respect 
to the types of revenue that count toward the 10 percent of 
revenues that must come from non-title IV sources. In 
particular, the bill provides that schools may count funds from 
529 college savings plans, and activities conducted by the 
school (to the extent they are not included in schools' 
tuition, fees, and charges) that are necessary for the 
education or training of students enrolled in educational 
programs, as well as institutional aid and scholarships (to the 
extent such aid comes from established restricted accounts and 
the funds in such accounts represent designated funds from an 
outside source or from income earned on 21 those funds). In 
addition, the bill removes the automatic termination of a 
school's title IV program eligibility after a single violation 
of the 90/10 rule.
    The bill also includes additional safeguards, transparency, 
reporting and increased sanctions for violating the rule. The 
Secretary will have the authority to require increased 
monitoring and reporting requirements. Further, if a school 
violates the rule two consecutive years, the school will lose 
eligibility to participate in federal student aid programs for 
a minimum of three years. H.R. 4137 also provides for public 
disclosure of schools that violate the rule in any given year. 
Moreover, the bill requires that the Secretary annually report 
to the appropriate Congressional committees for each school the 
calculation of the school's revenue from federal student aid 
programs.

Accreditation

    H.R. 4137 requires an accrediting agency that already has 
or seeks to include the evaluation of distance education 
programs within its scope of recognition to demonstrate to the 
Secretary that its standards effectively address the quality of 
distance education programs in the same areas in which it 
evaluates classroom-based programs.
    To ensure that accreditors, institutions of higher 
education and other organizations have a means to express their 
concerns about accreditation issues, the bill includes the 
creation of an ombudsman.
    The bill also provides that information about 
investigations of institutions of higher education will not be 
made public until the final ruling. This process is consistent 
with the process followed by the Securities and Exchange 
Commission in its investigations.

Auction

    The bill includes a study of the loan auction included as 
part of the College Cost Reduction and Access Act (P.L. 110-
84). The bill requires the to assess other types of potential 
auction mechanisms for other federal student loans in addition 
to Parent Plus loans.

                    TITLE V: DEVELOPING INSTITUTIONS

Hispanic Serving Institutions (HSI)

    The bill includes a new program to boost graduate 
opportunities for Hispanics. Under the new graduate HSI 
program, the Secretary is authorized to award grants to 
institutions that offer graduate degrees to enable the 
institutions to purchase, rent or lease equipment; construct, 
maintain or renovate classrooms, labs and libraries; purchase 
books, journals, etc; provide graduate students with 
fellowships, scholarships and academic support; or support 
faculty exchanges, etc.

               TITLE VI: INTERNATIONAL EDUCATION PROGRAMS

Graduate and undergraduate language and area centers and programs

    The bill promotes linkages between two and four year 
colleges as well as partnerships between local education 
agencies and individual schools.

Promoting foreign service

    H.R. 4137 aims to increase the participation of 
underrepresented populations in the international service arena 
by encouraging collaboration with HBCUs and other MBIs.

Early foreign language instruction

    The bill establishes grants for foreign language 
partnerships between local school districts and foreign 
language departments at institutions of higher education.

Foreign languages and technology

    H.R. 4137 includes grants to institutions of higher 
education to develop programs for the teaching of foreign 
languages.

Federal marketing campaign

    The bill includes a marketing campaign to encourage high 
school students to study foreign languages.

Reporting

    The bill includes a reporting requirement by title VI 
recipients of any funds provided by foreign governments or 
entities, in excess of $1 million, intended for indirect or 
direct use by a title VI center or program.

       TITLE VII: GRADUATE AND POSTSECONDARY IMPROVEMENT PROGRAMS

Jacob K. Javits fellowships

    These fellowships are awarded to students of superior 
ability selected on the basis of demonstrated achievement, 
financial need, and exceptional promise for graduate study in 
the arts, humanities, and social sciences. The fellowships are 
awarded to students who are eligible to receive any grant, 
loan, or work assistance, and who intend to pursue a doctoral 
degree. H.R. 4137 includes clarifications with respect to 
stipends and allowances.

Graduate assistance in areas of national need

    Currently, these fellowships are awarded to academic 
departments and programs at institutions of higher education 
that provide courses of study leading to a graduate 23 degree 
in order to enable such institutions to provide assistance to 
graduate students who are studying in areas of national need. 
H.R. 4137 includes a priority for grants aimed at preparing 
professors to train teachers in the fields of science, 
technology, math, special education, and to train teachers with 
limited English proficiency.

Thurgood Marshall Legal Education Opportunity Program

    This program provides stipends, preparation, and 
information to low-income, minority, or disadvantaged college 
students to gain access to and complete law school study.

Patsy Mink Fellowship

    The newly established Patsy Mink Fellowship program 
provides awards to assist highly qualified minorities to 
acquire terminal masters degrees or doctorate degrees in 
academic areas where minorities are underrepresented.

Fund for the Improvement of Postsecondary Education (FIPSE)

    The Secretary is authorized to make grants to, or enter 
into contracts with, institutions of higher education, 
combinations of such institutions, and other public and private 
nonprofit institutions and agencies, to enable grantees to 
improve postsecondary education opportunities. The bill 
includes several new initiatives in FIPSE, as follows:
          a scholarship program for family members of 
        veterans or members of the military;
          a demonstration program for homeless youth 
        and those in foster care;
          programs aimed at ensuring the success of 
        non-traditional students in postsecondary education;
          support for increased fire safety on 
        campuses;
          the establishment of a center for best 
        practices to support single parent students; and,
          support for faculty and academic programs 
        associated with American History.

Urban Serving Institutions

    H.R. 4137 replaces the Urban Community Service program with 
the Urban Serving Institutions program. The program will 
provide incentives to urban-serving institutions to expand 
research, and develop and implement initiatives in partnership 
with community-based organizations. The collaboration will work 
to solve urban challenges while strengthening city economies.

Students with disabilities

    The bill includes several initiatives aimed at assisting 
students with disabilities to succeed in postsecondary 
education, including:
           Additional activities authorized under the 
        Programs to Ensure Students with Disabilities Receive a 
        Quality Higher Education, including the development of 
        effective transition practices, improved distance 
        learning strategies, and improvements in the overall 
        accessibility of higher education;
           Establishment of a National Center for 
        Information and Technical Support which will improve 
        the dissemination of best practices related to working 
        with postsecondary students with disabilities, provide 
        information to assist students and their families, and 
        improve the recruitment, retention and completion rates 
        for students with disabilities;
           Support for model demonstration programs to 
        help students with intellectual disabilities to succeed 
        in postsecondary education, and a coordinating center 
        to assist these programs.
           Model demonstration programs to improve 
        timely access and quality of instructional materials in 
        specialized formats for students with print 
        disabilities, and a commission to study the feasibility 
        of national technical standards and methods to improve 
        the efficient distribution of these materials;
           A GAO study of the barriers and 
        opportunities for the full participation of students 
        with disabilities in higher education, including an 
        examination of disability support services offices and 
        the success rates of colleges and universities to 
        recruit, retain, and graduate students with 
        disabilities.

Nursing education

    H.R. 4137 includes two initiatives aimed at addressing the 
growing nursing shortage through programs to:
           expand the capacity of current programs to 
        ensure a growing number of individuals are able to 
        enter programs and become nurses; and
           increase the number of qualified nurse 
        faculty.

                    TITLE VIII: ADDITIONAL PROGRAMS

    The bill creates a new title VIII that consists of new 
programs that recognize the growing challenges that 
institutions, students and families face in higher education.

Encouraging colleges to keep costs down through innovative methods

    The bill authorizes programs to encourage institutions of 
higher education to keep tuition costs down and use innovative 
approaches to do so. These programs include: rewarding 
institutions for low tuition, cooperative education grants, 
articulation agreement programs, and encouraging institutions 
to use environmentally-friendly sustainability approaches.

Ensuring that students enter, remain, and graduate from college

    The bill authorizes programs that encourage students, 
particularly those from traditionally underrepresented groups 
at institutions in higher education, not only to enter into, 
but to graduate from college. These programs include: grants at 
community colleges to ensure that students needing remedial 
coursework continue through college; programs that align non-
traditional students' academic and career goals; programs for 
high-need students to make the transition into college; 
programs to partner institutions and businesses in order to 
prepare students for employment and career ladders; and 
programs to support students and institutions of higher 
education in rural areas.

Addressing high need areas 

    The bill authorizes programs to address the unique needs in 
critical areas. These programs include: the development of 
programs in science, technology, mathematics and science for 
Alaska Natives and Native Hawaiians; the creation of a national 
database of scholarships for STEM fields; support programs for 
realtime writers and modeling and simulation; and a program to 
ease the transition of veterans returning from combat zones 
into higher education.

Combating ``Diploma Mills''

    The bill includes requirements and increased information to 
ensure the legitimacy of institutions of higher education. This 
bill defines what constitutes a degree-granting institution; 
requires the Department of Education to maintain a list of 
degree-granting institutions for federal employment and student 
visa purposes; and establishes a task force to review issues 
and possible solutions associated with diploma mills.

Campus safety

     Grants to Institutions: The bill creates a grant 
program to assist institutions of higher education develop and 
implement state-of-the-art emergency systems and procedures to 
ensure the safety of all students, faculty and employees, and 
to improve safety overall on campus.
     Model Policies and Procedures and Future 
Disasters: The bill also ensures assistance to institutions of 
higher education in the development of policies, procedures, 
and practices to be used in the case of an emergency. The bill 
requires the Secretary to develop and maintain a disaster plan 
in preparation for emergencies.
     Disaster Relief Loan Program: To ensure that 
institutions have a steady flow of cash to re-open as soon as 
possible, the bill establishes a loan program to be made 
available to institutions of higher education in the event of a 
disaster.

                   TITLE IX: AMENDMENTS TO OTHER LAWS

    The bill makes changes to the Education for the Deaf Act, 
the Tribally Controlled College or University Assistance Act, 
the higher education amendments of 1998 and 1992, Justice 
Department programs, and the Stevenson-Wydler Technology 
Innovation Act of 1980.

Education for the Deaf Act

    The bill amends the Education for the Deaf Act to include 
requirements that the elementary and secondary schools operated 
by Gallaudet University adopt academic achievement standards, 
assessments and adequate yearly progress measures consistent 
with the No Child Left Behind Act. Tuition surcharges for 
international students at Gallaudet and National Technical 
Institute for the Deaf are also adjusted to allow for a sliding 
scale based upon student need and for reductions in costs for 
students from developing countries.

Tribally Controlled College or University Assistance Act

    The bill adds a new title to the Tribally Controlled 
Colleges Act to allow for the designation of tribal colleges 
focused on technical and vocational education. This title 
replaces a program at the Department of Interior which is 
eliminated by H.R. 4137.

Higher Education Amendments of 1998 and 1992

    The bill modifies the grants to states for workplace and 
community transition training for incarcerated youth offenders 
to allow programs to serve all offenders, regardless of age and 
time in incarceration.
    The bill reauthorizes programs including, the Underground 
Railroad and Olympic scholarships.

Office of International and Foreign Language Education

    H.R. 4137 creates an Office of International and Foreign 
Language Education at the Department of Education to be 
operated by an Assistant Secretary for International and 
Foreign Language Education.

Justice Department Programs

    The bill includes the Department of Justice public 
defenders forgiveness program. Additionally, the bill allows 
individuals who are employed by a government agency to receive 
loan forgiveness from an institution of higher education for 
their public service.
    The bill also creates a National Center for Campus Safety 
at the Department of Justice working in collaboration with the 
COPS program.

Stevenson-Wydler Technology Innovation Act of 1980

    The bill includes the establishment of the Minority Serving 
Institution Digital and Wireless Technology program, within the 
Department of Commerce, which provides funds to MSIs to 
integrate technology into campus activities and ensure that 
students have access to technology.

       TITLE X: PRIVATE STUDENT LOAN TRANSPARENCY AND IMPROVEMENT

    Title X's private student loan provisions require lenders 
to follow certain terms and procedures when soliciting or 
making private loans for postsecondary education expenses. It 
directs the Board of Governors of the Federal Reserve and other 
financial regulatory agencies to issue regulations implementing 
the new standards. It also requires the Department of the 
Treasury to undertake efforts to enhance financial literacy 
among students and the GAO to prepare a report on issues 
related to private educational lending. Title X also increases 
the disclosure requirements for lenders of private educational 
loans.

Gift ban

    The bill prohibits postsecondary education institutions, 
their officers, and their employees from receiving any gift 
from a private lender in exchange for any advantage to the 
lender in its loan activities.

Ban on revenue sharing

    The bill prohibits lenders from sharing the profits from 
their loan activities with higher education institutions in 
exchange for some advantage to the lender in its loan 
activities, including offering or providing gifts to 
postsecondary educational institutions or their employees.

Bans co-branding

    The bill prohibits lenders from co-branding their loans 
with the institution's name, emblem, mascot, or logo in any way 
that implies a school's endorsement.

Ban on participation on advisory councils

    The bill prohibits school financial aid officials from 
serving on any advisory council of private educational lenders.

Bans prepayment fees and penalties

    The bill prohibits private loan lenders from charging 
borrowers fees for paying off their loans early.

Provides for effective period of approved interest rate and loan terms

    The bill requires lenders to give applicants up to thirty 
days following the approval of a loan to accept it with no 
changes in terms except an index to determine the interest 
rate.

Right to cancel

    The bill requires lenders to grant borrowers up to three 
days to change their minds after entering into a loan agreement 
with a lender.

Provision of information

    The bill requires lenders to notify a borrower's school of 
a proposed loan of $1,000 or more.

Financial literacy enhancement

    The bill requires the Department of the Treasury to 
identify and evaluate programs at institutions of higher 
education that enhance the financial literacy of college 
students, and subsequently to encourage the implementation of 
such programs that the department finds to be most effective.

GAO study

    The bill requires the GAO to prepare a report on the impact 
of non-individual factors, such as cohort default rate and 
graduation rates, on the pricing of private education loans 
among institutions of higher education. The report will also 
examine the extent to which those factors affect the 
availability of private loans to certain borrowers or certain 
schools.

Loan disclosure requirements

    The bill requires lenders to make additional disclosures to 
borrowers at three stages of the loan application process: (1) 
advertisement or solicitation of loans, (2) approval of loan 
applications, and (3) consummation of loans.

Written acknowledgment of receipt of disclosure

    The bill requires private loan lenders to obtain a written 
acknowledgment from a borrower that the borrower has read and 
understood required disclosures.

                          IV. Committee Views

    At several critical moments in history, the United States 
Congress has acted to establish and reaffirm access to an 
affordable college education as a national priority. In 1944, 
Congress passed the GI Bill (the Servicemen's Readjustment Act) 
to provide educational benefits for veterans returning from 
World War II, opening the doors of higher education to an 
entire generation. Responding to threats to the nation's 
technological superiority, the Congress passed the National 
Defense Education Act in 1958, ensuring that highly trained 
individuals would be available to help America compete with the 
Soviet Union by providing loans to college students and 
supporting efforts to improve science, mathematics, and foreign 
language and area studies instruction.
    Several years later, in the belief that no one should be 
denied an equal opportunity to pursue higher education because 
of an inability to pay, the Congress passed the Higher 
Education Act of 1965 (HEA). The HEA established a broad-based 
federal student aid and loan system and created programs to 
enhance access for low-income students. Building on these 
earlier efforts, the Congress later created the Pell Grant 
program to provide grants for lower-income students to help 
increase access to higher education. Congress furthered these 
principles by enacting the College Cost Reduction and Access 
Act in 2007 (P.L. 110-84), which provided a landmark $20 
billion dollar investment in the educational aspirations of the 
nation's students and their families.
    The Committee strongly believes that postsecondary 
education is a critical component of the formula to ensure a 
prosperous future for our nation's students. Postsecondary 
education can help individuals build a better life for 
themselves and ensure they are prepared to be active 
participants in the global economy of the 21st century. 
Research has shown that college graduates will earn an average 
of $1 million more over their lifetime than those without a 
college degree.\1\ Additionally, higher education attainment 
levels correspond to lower levels of unemployment, lower levels 
of poverty, greater levels of openness to the opinions of 
others, and higher levels of civic engagement--factors that 
benefit the entire nation.\2\ Unfortunately, too many of our 
nation's students still face barriers when pursuing higher 
education, including: skyrocketing college costs, a complex 
federal student aid process, lack of awareness about aid 
options, and an evolving student loan industry that demands 
increasingly high levels of consumer sophistication.
---------------------------------------------------------------------------
    \1\``The Student Debt Dilemma: Debt Aversion as a Barrier to 
College Access,'' The Project on Student Debt, The Institute for 
College Access and Success, Inc., Sept. 2005, at 3-4.
    \2\``Education Pays: The Benefits of Higher Education for 
Individuals and Society,'' The College Board, 070342217 (Washington, 
D.C.: 2007).
---------------------------------------------------------------------------
    Despite these barriers, a growing population and increased 
occupational demands have resulted in record high enrollments 
in postsecondary institutions around the country. These 
enrollment increases and fundamental shifts in the demographics 
of the nation make all the more necessary an increased 
commitment from the federal government, states, and 
institutions to provide additional consumer protections for 
student loan borrowers and enhanced measures of accountability. 
To address these and other overarching concerns, H.R. 4137 
includes provisions on colleges' affordability and consumer 
protections (including information on financial literacy), and 
provisions to support students attending MSIs, to increase 
access to higher education (including for veterans and students 
with disabilities), to ensure a highly qualified teacher in 
every classroom, and to ensure safety on campus.

Making college more affordable

    In a 1998 survey by the National Association of College and 
University Business Officers, only 11 percent of respondents 
agreed with the statement that a four-year college education is 
affordable for most Americans.\3\ Since that survey, college 
tuition and fees have only increased. Because of these 
increased costs, as well as an aversion to accumulating debt, 
40 percent of today's qualified high school graduates will 
never enter postsecondary education.\4\ The Committee strongly 
believes that college can and should be more affordable and 
accessible to all students, and that this goal can be 
accomplished, in part, by increasing aid, helping to make 
college expenditures more efficient thereby eliminating the 
need for high tuition and fee increases, and reining in the 
cost of textbooks.
---------------------------------------------------------------------------
    \3\``Explaining College Costs: NACUBO's Methodology for Identifying 
the Costs of Delivering Undergraduate Education,'' National Association 
of College and University Business Officers (2002) at 12.
    \4\Advisory Committee on Student Financial Assistance, ``Mortgaging 
Our Future; How Financial Barriers to College Undercut America's Global 
Competitiveness,'' September 2006.
---------------------------------------------------------------------------

Ensuring integrity and accountability to Student Loan Programs

    H.R. 4137 creates consumer protections for students to 
ensure they can make smart and informed choices about 
borrowing, and to further ensure that borrowing will be 
beneficial to both themselves and their families. The Committee 
believes that creating transparency and accountability in 
college pricing and loans, maintaining low college costs, and 
increasing financial literacy will help students begin and 
complete a college education.

Increasing aid to Minority-Serving Institutions

    The Committee believes that assistance for Minority Serving 
Institutions is essential to create a productive and supportive 
environment for minority students. Nearly one-third of all 
African American, American Indian, Alaska Native, Native 
Hawaiian, and Hispanic students enrolled in institutions of 
higher education in the United States attend Historically Black 
Colleges and Universities, Hispanic-Serving Institutions, 
Tribal Colleges and Universities, and Alaska and Hawaiian 
Native institutions. These programs and institutions provide 
unique opportunities to students who, in many cases, have been 
denied equal educational experiences in primary and secondary 
school.

Helping more students access higher education

    The Committee recognizes a longstanding and growing need 
for increased access to higher education, and believes 
financial literacy education for college students and their 
parents can help ensure such access. Financial literacy 
education and student aid awareness are key components of 
student and institutional support programs, including TRIO, 
GEAR UP, and others.
    Barriers to entry into higher education, including a 
lengthy and opaque application process, inadequate academic 
preparation, and limited information on financing options are 
often significant, preventing qualified students from pursuing 
postsecondary studies. To alleviate such barriers, H.R. 4137 
greatly simplifies the FAFSA form and strengthens key student 
support programs.

Supporting veterans and military families

    Starting with the enactment of the GI bill in 1944, 
Congress has a long history of helping those who serve in the 
armed forces obtain a college or university degree. The 
Committee strongly believes that the federal government should 
support those who serve in uniform and defend our country in 
recognition of their service. This bill includes several 
provisions that will support veterans and their families make 
the transition to higher education and continue through 
graduation.

Helping recruit and train quality teachers

    Placing well-trained, qualified, and dedicated teachers in 
schools is an important part of improving elementary and 
secondary education and ensuring students are academically 
prepared for postsecondary education. However, accomplishing 
this goal would be nearly impossible without institutions of 
higher education producing a qualified supply of these much-
needed teachers. For this reason, the Committee believes that 
colleges and universities that train teachers should be held to 
high standards, and that these institutions should continue or 
expand programs that prepare teachers to better employ new 
technologies, work with students with disabilities, and mentor 
students in high-need fields of study.

Ensuring the health and safety of students

    Over the last several years, tragedies have struck our 
nation's campuses, some with grave consequences, compelling 
Congress to recognize the need and importance of ensuring that 
students are both safe and secure while pursing their studies. 
Accordingly, the legislation contains provisions concerning 
both routine crime reporting and preparedness for disasters and 
other security threats.

Promoting study in nationally important fields

    The Committee recognizes the growing importance of certain 
fields such as science, technology, education, mathematics, and 
foreign languages. Not only are these subjects important for 
the participation of students in a global, technology-based 
economy, but they are also vital to the defense and success of 
the nation. Students must be encouraged to undertake study in 
these fields, and teachers must be prepared to instruct and 
mentor students in these fields.

                      TITLE I--TITLE I AMENDMENTS

    Through title I of H.R. 4137, the Committee intends to 
address the changing needs of higher education since the last 
reauthorization of the Higher Education Act in 1998. These 
changes include revisions to various definitions, including the 
definition of an institution of higher education. Further, the 
Committee calls for the higher education community to engage in 
efforts to rein in dramatic tuition increases. Finally, the 
Committee builds upon the bi-partisan effort to enhance 
consumer protections for students and families started in H.R. 
890, the Student Loan Sunshine Act.

Addressing the changing needs in higher education

    The Committee recognizes, as part of the changing landscape 
in higher education, the necessity for diversity in the types 
of programs offered to assist individuals in their pursuit of 
postsecondary education. To this end, the Committee 
specifically recognizes the need for dual and concurrent 
enrollment programs that enable some secondary school students 
to earn postsecondary credit in programs of study at an 
institution of higher education. According to the National 
Center for Education Statistics (NCES), in school year 2002-
2003, 71 percent of high schools offered dual credit courses. 
In response to this trend, the Committee clarifies that 
students in dual or concurrent enrollment programs may be 
admitted as regular students to institutions participating in 
programs authorized under the Higher Education Act of 1965.
    The bill clarifies that degrees from rabbinical schools 
will continue to be recognized as equivalent to baccalaureate 
degrees. Additionally, the Committee recognizes the growing 
need for access to educational programs that do not lead to a 
specific occupation, such as liberal arts programs, as a way to 
ensure that students develop the critical skills necessary to 
understand the rigors of reasoning and to develop a basic 
knowledge of inquiry. Given that these other programs can serve 
as a building block to higher learning, particularly for 
programs such as teacher preparation, the Committee believes 
that efforts to expand access to liberal arts education 
programs, including those at accredited for-profit 
universities, should be continued.

Foreign medical and nursing schools

    The Committee recognizes the need to clarify the law with 
respect to foreign medical schools and to expand the number of 
foreign medical schools that may participate in the student 
loan programs to address the critical shortage of nursing and 
medical professionals.
    Under current law, foreign medical schools must meet one of 
two requirements to participate in the student loan program. 
First, at least 60 percent of those students enrolled in, and 
at least 60 percent of the graduates of, the institution may 
not be American citizens or legal permanent residents. In 
addition, at least 60 percent of the students or graduates of 
the institution taking the examinations administered by the 
Educational Commission for Foreign Medical Degrees must receive 
a passing score. Second, an institution must have a clinical 
training program that was approved by a state as of January 1, 
1992. H.R. 4137 clarifies the second requirement to ensure that 
an institution remains eligible to participate in the student 
loan program so long as the institution has continuously 
operated a state-approved clinical training program in at least 
one state. This clarification enables such an institution that 
to maintain its eligibility in the event that the approved 
clinical training program ceases to operate or in the event 
that 33 that institution opts to change the clinical training 
program affiliated with the institution. This provision of H.R. 
4137 ensures that students are not forced to interrupt their 
studies and training while the institution waits for re-
approval.
    The limited enrollment availability at U.S. medical schools 
and in nursing programs prompted the Committee to recognize 
more foreign medical schools and to allow for the creation of a 
new foreign nursing program. The expansion of current law will 
allow access to only unsubsidized Stafford or PLUS loans, and 
an institution must agree to reimburse the Secretary for the 
cost of any defaulted loan in the institution's cohort default 
rate during the previous fiscal year. The Committee supports 
exploring options to increase the number of health 
professionals in the United States, but directs the Secretary 
to monitor the expansion of the program closely to guard 
against misuse of the loan programs.

College costs

    With the passage of the College Cost Reduction and Access 
Act, P.L. 110-84, Congress made a deliberate and necessary 
federal investment in the future of our nation's students and 
families, investing nearly $20 billion in federal aid. The 
Committee is concerned that despite this significant federal 
investment, little to no effective action has been undertaken 
by institutions or the states to address the crisis of 
escalating college costs.
    A poll conducted by the Public Policy Institute of 
California reveals a fear among California residents who 
believe their children will not be accepted to a university or 
will be unable to afford it even if they are invited to enroll. 
This sentiment is reflected in other national surveys on the 
topic of the perception of college affordability. This fear 
expressed by the public is rooted in reality. According to the 
College Board's most recent data on college costs, the average 
tuition and fees, even after adjusting for inflation, has 
increased by more than 44 percent in the ten years preceding 
the 2007-2008 academic year. Because of these increased costs, 
as well as an aversion to accumulating debt, a full 40 percent 
of today's qualified high school graduates will never enter 
postsecondary education.\5\ Costs are also driving students to 
work more to pay for their education. In testimony before the 
Committee on May 1, 2007, U.S. PIRG cited their report ``At 
What Cost?'' which found that 74 percent of full-time students 
graduating in 2000, worked while attending school. Of these 
students, nearly half worked more than twenty-five hours a 
week. Increased hours of work schedules have been shown to 
negatively impact a student's grades and overall educational 
experience and his or her educational attainment beyond the 
traditional four years of education.
---------------------------------------------------------------------------
    \5\Advisory Committee on Student Financial Assistance, ``Mortgaging 
Our Future; How Financial Barriers to College Undercut America's Global 
Competitiveness,'' September 2006.
---------------------------------------------------------------------------
    The Committee strongly believes that colleges and states 
can and should do more to address the rising cost of college. 
To that end, H.R. 4137 provides for disclosure and transparency 
by institutions of higher education, and establishes a 
benchmark for states to encourage them to be true partners in 
the postsecondary education of students.
            Transparency in college costs
    The Committee believes that students and parents must be 
able to access information and make comparisons between schools 
in order to make informed choices about which school to attend. 
To address this need, the bill requires the Bureau of Labor 
Statistics to develop a higher education price index (HEPI) for 
each type of institution that accurately reflects annual 
changes in tuition and fees for undergraduate students. The 
Secretary of Education will publish an annual list that allows 
individuals to sort information by state or type of 
institution. The list will rank institutions based on their 
changes in tuition and fees over the previous three years. 
Those institutions, whose increase in tuition and fees exceeds 
the increase in the HEPI, will be placed on the ``Higher 
Education Watch List.'' When a school is placed on this list, 
the bill requires it to create a ``Quality Efficiency Task 
Force'' to examine the institution's operating costs and make 
recommendations for increasing efficiency. The Committee 
adopted an amendment by Representatives Timothy Bishop (D-NY), 
Carolyn McCarthy (D-NY), and Yvette Clarke (D-NY) that modifies 
the exceptions to the HEPI requirements. In accepting this 
amendment, the Committee recognizes the potentially ambiguous 
data resulting from the indices for low-cost public 
institutions and intends to continue working to address this 
concern when H.R. 4137 is considered on the floor of the House.
    The concern about the cost of college spans all types of 
institutions. The Committee intends that the efforts mandated 
under this section of the bill address all sectors and types of 
higher education institutions. The bill also provides for the 
creation of a model document, the University and College 
Accountability Network, to be used by institutions for annual 
reports of basic information useful for consumers. 
Accountability is among the core principles identified by the 
Committee to help guide higher education reform, and the 
Committee believes accountability will be achieved by placing 
more information about colleges and universities into the hands 
of students.
            State maintenance of effort
    The past decade has seen a decline in states' financing of 
higher education relative to other state commitments and, as 
confirmed in testimony before the Committee on November 1, 2007 
by the President of the California State University of Long 
Beach, F. King Alexander, there is a connection between state 
support for higher education and college costs:

          It is quite obvious that as State appropriations 
        slide downward, student tuition and fees must rise. . . 
        . Over the last decade studies have highlighted the 
        instability of State appropriations and the effects of 
        State policy on public institutional tuition changes. . 
        . . [T]he most influential reason for increases in 
        public college and university costs is the drastic 
        fluctuations of State appropriations . . .

    The Committee is concerned about the continued fluctuations 
of state support for higher education. In recognizing that 
state support is vital to the future success of U.S. higher 
education, H.R. 4137 requires states to maintain their current 
levels of college financing or risk losing federal funds under 
the newly created Grants for Access and Persistence program. 
Dr. Alexander described the notion of a ``maintenance of 
effort'' in his testimony as a ``necessary part of the federal/
state partnership'' to ensure that states continue their 
current level of support. ``Maintenance of effort'' has 
historical roots in the Elementary and Secondary Education Act 
which, under title I of that Act, requires states to maintain a 
level of support in order to receive federal funds.
    To account for the realities of the current economies of 
some states, the bill includes an exemption from this 
maintenance of effort for states experiencing severe economic 
constraints.

National Advisory Committee on Institutional Quality and Integrity 
        (NACIQI)

    The National Advisory Committee on Institutional Quality 
and Integrity (NACIQI) has served to advise the Secretary on 
matters related to the recognition of accreditors. H.R. 4137 
offers an alternative path to achieve this advisory function by 
reconstituting NACIQI with individuals appointed by members of 
Congress in addition to those appointed by the Secretary. The 
Committee adopted an amendment by Representative Peter Hoekstra 
(R-MI) that modifies the Congressional appointments to ensure 
that members of the majority and minority parties would each 
appoint six individuals. In accepting this amendment, the 
Committee demonstrates its belief that by equally distributing 
the appointment of the Congressionally-nominated members among 
the majority and minority parties to NACIQI, the process may be 
depoliticized and the committee may truly function in an 
advisory capacity to the Secretary. Understanding the need for 
a period of transition, the Committee approved a provision to 
allow the reconstituted NACIQI to begin in 2009.

Textbook information

    While tuition, fees, and room and board are typically the 
primary costs of attending college for most students, the 
Committee believes that the cost of textbooks can also play a 
significant role. This legislation requires publishers to 
provide pricing information to faculty and other college and 
university personnel when they are making purchasing decisions 
and to provide combined or ``bundled'' materials separately. 
Once faculty make their curriculum and textbook decisions, the 
bill directs institutions and college bookstores to provide 
textbook cost information to students before they choose their 
classes so that they may consider and budget for such expenses.
    According to a 2005 Government Accountability Office (GAO) 
report, college textbook costs have risen at twice the rate of 
inflation. The report found that textbook costs can increase a 
student's overall college costs from 8 percent at private 
institutions to over 72 percent at some public institutions and 
community colleges. In addition, the Advisory Committee on 
Student Financial Assistance, in a report requested by 
Congress, found that current grant and scholarship programs, 
which can barely meet the challenge of rising tuition costs, 
are insufficient to mitigate college textbook costs. The GAO's 
2005 report also found that publishers have begun developing 
and distributing alternatives to college textbooks in order to 
provide less expensive materials, but they have had to 
incorporate the development costs into the price of domestic 
textbook sales. Furthermore, the GAO reported that demand for 
textbook alternatives has been insufficient to offset 
publishers' development costs and reduce the overall costs of 
college textbooks. Finally, the GAO report found that 
publishers have engaged in agreements with overseas 
distributors to restrict American students from purchasing 
lower-cost textbooks from overseas, regardless of the 
similarity between domestic and overseas editions.
    The Committee believes that H.R. 4137 will ease the burden 
of rising textbook prices by ensuring that faculty, students, 
and bookstores all have sufficient and relevant information to 
make informed choices before purchasing textbooks.

Unit record system prohibition

    The Committee believes that students pursuing higher 
education have an expectation of basic privacy protections, and 
that these protections should not be compromised as a result of 
attending an institution of higher education. For that reason, 
the Committee accepted an amendment by Representative Virginia 
Foxx (R-NC) that prohibits the Secretary of Education from 
collecting personally identifiable student-level data for a 
federal database. The prohibition does not alter the 
Department's current surveys or data collection efforts to meet 
the requirements of the Higher Education Act. Further, this 
prohibition does not adjust any efforts to develop databases at 
the individual state level.
    The Committee understands that the longitudinal sample 
surveys carried out by the National Center for Education 
Statistics, such as the Baccalaureate and Beyond Study, the 
Beginning Post-Secondary Study, and the National Postsecondary 
Student Aid Survey, involve the voluntary participation of 
samples of students rather than the collection of extensive, 
personally identifiable data on all students, and are not 
subject to the prohibition. Additionally, efforts under the No 
Child Left Behind Act that encourage the development of data 
systems at the state level should not be affected by this 
prohibition.

Enhancing consumer protections

    Student loans serve as one of the primary means of access 
to higher education for students and families. Ensuring that 
our nation's federal student loan program is working as 
intended--to help students and parents pay for college--is 
critical to protecting the integrity of the program and to 
providing students greater access and opportunities to pursue 
their educational aspirations. Beginning in early 2007, the 
Committee launched several oversight activities and 
investigations, in response to heightened concerns about 
questionable relationships among schools, student loan lenders 
and government officials.
    In March 2007, the Committee began examining the 
relationships among schools and several of the largest student 
loan lenders in the industry. Additionally, in April 2007, the 
Committee began investigating potential financial conflicts of 
interest among lenders, United States Department of Education 
employees and some school student financial aid officers. As a 
result of its oversight and investigations, the Committee 
uncovered a number of unethical practices and disturbing 
findings, including:
           Lenders staffing schools' financial aid 
        offices, procuring printed materials for schools, 
        catering school and financial aid office functions, and 
        providing other benefits, including access to private 
        loan funds to schools, in exchange for preferential 
        treatment with regard to student loans, such as 
        placement on the school's list of preferred or 
        recommended lenders provided to students;
           Lenders spending large sums of money to 
        entertain school officials;
           Schools engaging in revenue or profit 
        sharing with lenders recommended to students;
           School and government officials holding 
        financial interests in lender companies recommended to 
        students; and
           School officials receiving consulting 
        contracts and payments from lenders that were 
        recommended to students.
    Also, in April 2007, the Committee heard additional 
evidence of unethical practices in the student loan industry 
during a Committee investigative hearing. New York Attorney 
General Andrew M. Cuomo appeared before the Committee to 
discuss his office's student loan investigation and testified 
that his office had likewise uncovered questionable practices 
and relationships among schools and student loan lenders. He 
further testified that the Department of Education's lax 
oversight over the student loan programs has allowed corrupt 
practices and conflicts of interest to develop within the 
system.
    In July 2007, the GAO issued a report in response to a 
request from this Committee that further documented the 
Department of Education's failure to safeguard the nation's 
federal student loan programs. The report recommends that the 
Department immediately increase its oversight of lenders and 
schools and fully enforce current law, which prohibits lenders 
from using inducements to gain an advantage with respect to 
federal student loans from a college or university.\6\ The 
report also found that the Department did not have a sufficient 
oversight program in place to identify and address questionable 
lender behavior. In addition, despite repeated requests from 
lenders for the Department to provide direction on inducements, 
the Department had not updated its inducement guidelines in 
nearly twenty years and, in some cases, did not respond to 
lenders' inquiries at all. The report also determined that the 
Department had a poor system for dealing with complaints of 
improper lender behavior. For example, out of twenty-six 
documented complaints received by the Department between 2001 
and 2006, only two complaints prompted action by the 
Department, and fourteen complaints were left unresolved. 
Furthermore, the report found that the Department attempted to 
use its sanctioning authority against lenders accused of 
improper inducements only twice over the past twenty years.
---------------------------------------------------------------------------
    \6\Government Accountability Office, Federal Family Education Loan 
Program: Increased Department of Education Oversight of Lender and 
School Activities Needed to Help Ensure Program Compliance, GAO-07-750 
(Washington, D.C.: July 31, 2007).
---------------------------------------------------------------------------
    In 2003, the Department's Inspector General urged the 
Department to issue guidance to lenders and schools on its 
regulations regarding inducements and gifts.\7\ Similar to the 
GAO report, the Inspector General noted that the Department's 
guidance to lenders was outdated. Since the Department had last 
issued any guidance concerning these matters, the student loan 
industry had undergone significant changes with increasing 
demands for benefits or services by schools and escalating 
competition among lenders. The Inspector General further noted 
that, in the absence of guidance from the Department, the 
industry itself had tried but failed to reach consensus on a 
set of guidelines concerning what constituted appropriate 
lender behavior.
---------------------------------------------------------------------------
    \7\U.S. Department of Education Inspector General, Review of Lender 
Inducements, ED/OIG I13C0003 (Washington, D.C.: August 1, 2003).
---------------------------------------------------------------------------
    The Committee believes that the unethical and questionable 
practices identified by the Committee and others--regardless of 
how widespread or commonly accepted--must come to an end. The 
nation's financial aid system exists for a single purpose: to 
serve students and their families. Students and parents deserve 
to know that they are getting the best deal possible on their 
college loans and that all arrangements made between schools 
and lenders are in the best interests of helping borrowers. The 
Committee recognizes that not every institution, financial aid 
officer or lender was engaged in these questionable practices 
and that many work to ensure students have access to a variety 
of financing options to achieve their dream of a college 
education.
    This bill, the College Opportunity and Affordability Act of 
2007, will help to restore students' trust in the nation's 
financial aid system by addressing the questionable practices 
and problems identified by the Committee. The bill 
incorporates, with additional refinements, the Student Loan 
Sunshine Act (H.R. 890), which overwhelmingly passed the House 
earlier this year with tremendous bipartisan support, by a vote 
of 414-3. In particular, H.R. 4137 will, among other important 
reforms:
           Require schools to adopt strict codes of 
        conduct that prohibit conflicts of interest;
           Ban gifts and financial compensation, 
        participation on advisory councils, and revenue-sharing 
        agreements between lenders and schools;
           Require that lists of preferred or recommend 
        lenders be compiled based solely on students' best 
        interests;
           Ensure that students are not impeded from 
        their choice of lender; and
           Establish measures to provide students 
        clear, concise, and consistent information that will 
        allow students to compare lenders' products when taking 
        out and repaying loans.
    The Committee recognizes the valuable role that schools' 
financial aid officers have in counseling students and their 
families about their options for paying college costs and that, 
in light of today's skyrocketing costs of attending college, 
their role has never been more important. The Committee also 
recognizes that many student financial aid officers are 
dedicated professionals who care deeply and are passionate 
about assisting students to enroll in and complete college. The 
Committee believes that the reforms included in the bill will 
restore and foster the public's trust in the role of these 
officials in response to the recent controversies that have 
shaken the nation's student financial aid system. Further, the 
changes in the bill will better enable student financial aid 
officials to continue their critical work providing students 
and their parents with professional, objective, and sound 
financial aid advice.
    The Committee notes that the provisions in the bill banning 
gifts and payments are not intended to prohibit charitable or 
philanthropic contributions to schools by lenders, guarantors, 
or loan servicers. But, such contributions must not be in 
absolutely any way in exchange for any advantage sought by a 
lender, guarantor or loan servicer with respect to student 
loans. The bill also requires that such contributions be 
disclosed to potential student loan borrowers. Additionally, 
the Committee does not intend for restrictions included in the 
bill to prohibit lenders, guarantors, loan servicers, or 
schools from participating in or supporting outside events 
designed to assist students in applying to college or 
completing the federal financial aid process, such as College 
Goal Sunday, a national initiative sponsored by the Lumina 
Foundation and the National Association of Student Financial 
Aid Administrators.
    The Committee notes that while the College Opportunity and 
Affordability Act of 2007 prohibits school officials' 
participation on lender advisory boards, as well as bars 
certain contracting arrangements between school employees and 
student loan lenders, the legislation contains provisions that 
permit certain relationships to continue. It is the intent of 
the Committee that college and university presidents are 
allowed to continue serving on lenders', guarantors', and loan 
servicers' boards of directors and that bank presidents and 
other officials may continue their service as trustees of 
educational institutions, provided that, among other things, 
appropriate conflict of interest policies and procedures are in 
place to prevent conflicting interests from being advanced.
    The Committee continues to be concerned about conflicts of 
interest among lenders and schools, especially with respect to 
instances of quid pro quo arrangements. These arrangements 
include the practice of lenders conditioning the offer of a 
pool of private loan funds, such as recourse loans or 
opportunity pools, on a school agreeing to give the lender an 
advantage, including the delivery to the lender a specified 
number of loans, a specified loan volume, or a preferred lender 
arrangement for federal student loans. The bill prohibits such 
quid pro quo deal making.
    The Committee intends that the provisions of the bill will 
allow lenders to offer schools recourse loans/opportunity 
pools, as long as such arrangements do not violate the quid pro 
quo restrictions. Additionally, the Committee intends the 
provisions of the bill to operate in a manner that classifies 
any arrangement between a lender and a school for such funds as 
a preferred lender arrangement under the provisions of the Act. 
Consequently, the institution and lender would be subject to 
the reporting, disclosure and other requirements for preferred 
lender arrangements. Furthermore, as a result of related 
provisions included under title IV of this bill that require 
schools that enter into preferred lender arrangements to do so 
with multiple private loan lenders, and multiple federal 
student loan lenders, as applicable, it is the Committee's 
intent that a borrower at any particular school would never be 
in the position of having a choice of only one preferred lender 
for private student loans or a choice of only one preferred 
lender for federal student loans. It is the Committee's 
expectation that the presence of multiple lenders will provide 
some measure of meaningful borrower choice and will provide at 
least a minimum level of assurance of the absence of a quid pro 
quo arrangement between a lender and a school.
    The Committee intends to continue its oversight and 
investigative activities to meet its responsibility to 
students, families and taxpayers to ensure that the nation's 
student aid system is designed and administered in a responsive 
and efficient manner. Ensuring that students and families have 
access to and can continue fulfilling their dreams of achieving 
a college education is simply too important and too critical to 
do otherwise. Moreover, ensuring that higher numbers of 
Americans receive additional education and training beyond high 
school is imperative for the nation to effectively compete in 
the new global economy. The Committee will monitor and assess 
the implementation of the new initiatives and requirements 
included in the College Opportunity and Affordability Act to 
ensure that the intended objectives are met and that any needed 
improvements are identified.

                      TITLE II--TITLE II REVISION

    The passage of the landmark No Child Left Behind Act in 
2002 highlighted the notion that every child should be taught 
by a highly qualified teacher. As noted by the GAO in their 
testimony before the Committee on May 17, 2007, ``teachers are 
the single largest resource in our nation's elementary and 
secondary education system. Approximately three million 
teachers are responsible for educating over 48 million students 
. . .'' In addition, analysis by the University of Tennessee 
Value-Added Research and Assessment Center indicates that the 
single most important school based factor to raising student 
achievement is the quality of a student's teacher.
    The Committee believes that in order for teachers to excel 
in their crucial role as educators, more must be done to 
address their needs by providing them with necessary supports 
and effective training programs. By eliminating the existing 
state grant program in title II and focusing on the partnership 
grant program, the bill strengthens programs that prepare 
prospective and new teachers with strong teaching skills and 
research capabilities. Comprehensive preparatory programs such 
as induction and residency will help ensure that our teachers 
receive quality instruction and develop the necessary skills to 
succeed in the classroom and educate students at every level. 
The Committee expects that activities required under title II 
of this bill will complement the larger teacher preparation 
efforts required by title II of the No Child Left Behind Act.

Induction programs for new teachers

    According to the National Center for Education Statistics, 
33 percent of teachers leave the profession after their first 
three years and 46 percent leave within their first five 
years--the point at which teachers tend to peak in their 
abilities. Further, the Alliance for Excellent Education 
reports that the United States spends an estimated $5 billion 
annually due to the loss of approximately 400,000 teachers. The 
Committee believes, and research consistently supports, that 
comprehensive induction programs that provide support through 
not less than the first two years of a new teacher's career 
will significantly reduce the number of teachers who leave 
their schools and the profession. Moreover, research from the 
New Teacher Center shows that beginning teachers who received 
structure mentoring more closely resemble and can achieve 
student learning gains equal to those of veteran teachers. As a 
result, title II of H.R. 4137 authorizes the creation of 
induction programs as a required use of partnership grant 
funds. Comprehensive Induction programs like those authorized 
by H.R. 4137 include high quality mentoring by experienced and 
qualified individuals, structured collaboration time with 
teachers in the same department, grade, or field, structured 
meeting time with administrators, application of empirically 
based practice and scientifically valid research on 
instructional practice, assistance with understanding and using 
student achievement data, professional development activities, 
and regular evaluations of new teachers. Induction programs may 
also provide for reduced teaching loads, the support of a 
teaching aide, and the evaluation of the mentors and of the 
overall program.

Teacher residency programs

    Teacher turnover drains schools of already limited 
resources. For high-need schools with attrition rates 50 
percent higher than schools with more resources, the challenges 
are significant. The Committee believes we must address this 
problem and focus new efforts on recruiting a new generation of 
teachers to fill openings in high-need schools and hard-to-
staff subjects. Innovative residency programs underway in 
Chicago, Boston and Denver require service commitments in high-
need schools and boast retention rates that range from 90 to 
100 percent. The Committee further believes that preparatory 
programs must provide teachers with not only the credentials, 
but also the skills and training to be truly effective in the 
classroom. Residency programs (like those authorized by the 
partnership grants in H.R. 4137) couple extensive classroom 
experience with relevant masters-level coursework. Participants 
in these programs become highly qualified by teaching alongside 
a mentor teacher for an entire academic year while earning a 
masters degree, teacher certificate, or license. These teachers 
receive substantial preparation and instruction before they 
ever independently manage a classroom. Research shows that 
residency programs develop educators with stronger teaching 
skills and those who remain in the teaching profession for 
longer periods of time.

Accountability

    It is the intent of the Committee that teacher preparation 
programs, both traditional and those providing alternative 
routes to state certification, should strive to increase the 
quality of individuals graduating from their programs with the 
goal of exploring ways to assess the impact of such programs on 
students' academic achievement. Additionally, the Committee 
believes that states should play a role in helping to evaluate 
the effectiveness of programs. To that end, H.R. 4137 imposes 
an annual report requirement on institutions of higher 
education, both traditional and those providing alternative 
routes to state certification programs, to provide information 
to the state and the public. Additionally, each state must 
submit to the Secretary, a similar report on the quality of 
teacher preparation programs in the state for both traditional 
programs and those providing alternative routes to state 
certification. The Committee intends to use these reports to 
continue assessing the progress of these programs to ensure 
that they are meeting their obligation to make teachers well-
prepared to teach when they enter the classroom.

Digital age learners

    The Committee believes that in today's climate of economic 
global competitiveness it is incumbent upon our nation to 
produce teachers who have the skills and expertise to prepare 
students who will succeed in a technologically-advanced 
environment. To support this goal, the Committee replaced Part 
B of current law with ``Preparing Teachers for Digital Age 
Learners.'' Many teacher candidates are already avid users of 
technology in their personal lives. However, being facile and 
dexterous with technology for personal use does not necessarily 
translate to an expertise in integrating technology into 
classroom learning for raising student learning outcomes, or 
developing skills for the 21st century, such as higher order 
thinking, learning and problem solving skills, and creativity 
and innovation. Yet, there are programs such as the 
Technological Pedagogical Content Knowledge for Teaching and 
Teacher Educators that can instruct teachers in both the design 
and implementation of meaningful classroom applications of 
technology with the goal of improving student learning 
outcomes. Unfortunately, the need is great. The National Center 
for Education Statistics reports that a majority of teaching 
institutions have significant barriers to providing teacher 
candidates with field experiences where they can learn or 
practice technology-related skills. With the inclusion of 
``Preparing Teachers for Digital Age Learners'', H.R. 4137 
authorizes competitive grants to transform the way departments 
and schools teach technology integration and to develop 
partnerships linking technologically-capable teachers with 
high-need schools.

Recruiting teachers with math, science, or language majors

    The Committee believes that too many students, especially 
those in high-poverty schools, are taught by teachers who lack 
a major in the subject they teach. Research by the National 
Commission on Teaching and America's Future shows a positive 
relationship between teacher preparation and knowledge of their 
subject and student achievement. Yet, according to the 
Education Trust, 70 percent of math classes in high-poverty 
middle schools are taught by teachers without a major or minor 
in math, and 57 percent of all science classes are taught by 
teachers without a major or minor in science. More than 12 
million students in grades 7-12 are taught by teachers who do 
not have a degree in the subject they are teaching. The 
Committee seeks to focus new recruitment efforts in high-need 
subjects, and H.R. 4137 authorizes a competitive grant program 
to improve the recruitment of teachers among students majoring 
in math, science, foreign languages, special education or 
English language instruction by offering financial incentives.

Teach For America

    The Committee recognizes Teach For America's innovative and 
successful approach to teacher recruitment and the lasting 
impact Teach For America corps members have had in the movement 
to eliminate education inequity in schools and school 
districts. Since its creation in 1990, Teach For America has 
placed more than 17,000 outstanding college graduates of all 
academic majors in under-resourced schools around the country, 
reaching more than 2 million students. After teaching for two 
years as corps members, more than 63 percent of Teach For 
America alumni remain in education as teachers, principals, 
school founders, and policy advisors, becoming lifelong leaders 
for expanding educational opportunity. Others remain in public 
service careers in other fields. By authorizing a partnership 
between Teach For America and the federal government, the 
Committee believes it will give Teach For America additional 
tools to help dramatically expand its reach to more than 8,000 
corps members teaching nearly 680,000 students every day in 
thirty-three urban and rural communities.

Early childhood education professional development and career task 
        force

    The Committee recognizes the importance of quality 
preparation and professional development for early childhood 
educators across the sectors of early childhood education 
programs. H.R. 4137 establishes competitive grants to support 
the preparation and mentoring of early childhood educators and 
to improve the compensation of early childhood educators as 
they earn postsecondary degrees. The Committee acknowledges 
research that shows that the quality of early childhood 
education programs and children's readiness for school is 
closely tied to the quality of knowledge and skills of 
educators in those programs. Yet the preparation, ongoing 
professional development, and other supports to the early 
childhood workforce are fragmented in delivery and resources. 
Under Good Start Grow Smart, states are required to plan a 
professional development system as part of their Child Care and 
Development Block Grant State plan. However, there have been no 
resources and limited direction to states to help them perform 
this critical work. In addition, the issue of woefully 
inadequate compensation (typically less than $20,000 per year) 
for the early childhood workforce must be addressed by states 
in order to promote recruitment and retention of high quality 
early childhood educators in child care, Head Start and other 
early childhood education program settings. To rectify these 
problems, H.R. 4137 offers grants to establish or enhance 
existing state-based task forces on early childhood education 
to develop plans for comprehensive state-wide career systems.

Partnership grants for leadership development programs

    The Mid-continent Research for Education and Leadership has 
discovered a positive correlation between administrator tenure 
and student achievement. Yet the Committee acknowledges a lack 
of assistance to states and school districts that are 
struggling with the increasing pressure to fill vacancies in 
school administration. Nowhere is this challenge greater than 
in geographically isolated and high-poverty school districts. 
While there has been a great deal of attention on teacher 
preparation and efforts to attract new teachers to the 
profession, there has been considerably less focus on 
addressing the education leadership deficit. The Committee 
accepted an amendment by Representatives Phil Hare (D-IL) and 
Dave Loebsack (D-IA) to create the Partnership Grants for 
Leadership Development. This program will train education 
administration students to serve as superintendents, principals 
or other school administrators. Students enrolled or preparing 
to enroll in education administration programs, including 
current teachers or principals who want to advance their 
careers, will have access to training and mentoring specific to 
their needs, including intensive induction programs and 
recruitment incentives.

The role of community colleges in teacher preparation

    Increasingly, community colleges are offering specific 
teacher education programs and degrees. The most recent 
information shows that 351 community colleges offered 686 
degree programs in education (not including early childhood 
education and teaching assistant programs), the vast majority 
of which were two-year associate degrees. Many of these degrees 
are fully articulated with teacher education programs at four-
year universities and provide their students with clinical 
experiences. Similarly, because of their geographic ubiquity, 
affordable tuition, and close partnerships with local school 
systems, community colleges are key factors in teacher 
professional development and alternative routes to 
certification. The Committee believes a greater community 
college role in teacher preparation and development is 
especially important to increasing the number of teachers from 
underrepresented populations and in high-need areas.
    Recognizing the ever-growing role that community colleges 
play in the preparation of teachers, the Committee includes the 
authorization of a new program, the Community Colleges as 
Partners in Teacher Education Grants. This program recognizes 
the essential role that community colleges play in the 
undergraduate preparation, post-baccalaureate certification and 
in-service professional development of teachers. While a 
precise number is not available, state estimates and national 
studies suggest that half or more of all teachers nationwide 
attend a community college. In Florida, for example, 52 percent 
of the graduates from university-based teacher education 
programs are community college transfers. Data show that 60 
percent of the teachers graduating from the University of 
Illinois system started at a community college. These 
statistics are in line with the fact that nearly half of the 
nation's baccalaureate degree recipients completed at least 
some of their course work at a community college.

The Honorable Augustus F. Hawkins Centers of Excellence

    The demand for more ethnically and culturally diverse 
highly qualified teachers is critical, especially given the 
significant growth in the numbers of minority K-12 students 
across the country. According to the National Center for 
Education Statistics, ``from 1993 to 2003, minorities increased 
as a percentage of total public school enrollment from 34 
percent to 41 percent.''
    Accordingly, H.R. 4137 authorizes grants for the creation 
of Centers of Excellence at high quality HBCUs and Minority 
Serving Institutions. The Committee believes that the Centers 
of Excellence will provide HBCUs and MSIs that have a 
demonstrated record of preparing highly qualified teachers with 
a leadership role in recruiting and preparing highly qualified 
teachers, and also increase opportunities for Americans of all 
educational, ethnic, economic, and geographic backgrounds to 
become highly qualified teachers.
    In general, the purposes of these Centers are to increase 
teacher recruitment at Minority Serving Institutions and make 
institutional improvements to teacher preparation programs at 
such institutions. Opportunities that increase the numbers of 
minority teachers and enhance their training, will support 
broader strategies to enhance instructional opportunities for, 
and can help to eliminate the achievement gaps of, minority 
students.
    The Committee is further concerned with other 
underrepresented populations in the teaching profession, 
including minority males. A report by NCES in 2003 found that 
only 2.9 percent of full-time instructional faculty and staff 
at degree-granting institutions are African American males. 
Although some academic fields (such as engineering and fine 
arts) enjoy rates close to 5 percent, the percentages of 
African American men in various departments remain fairly 
consistent at around 3 percent. It is the Committee's intent 
that the Centers of Excellence and the teacher residency 
component of the partnership grants, aim to address this 
disparity in order to increase the number of minority males in 
teaching positions in our public schools.
    Augustus F. ``Gus'' Hawkins was the first African American 
elected to the House of Representatives from the State of 
California and a founding member of the Congressional Black 
Caucus. As a ground-breaking leader, Representative Hawkins 
chaired numerous committees, including the Committee on 
Education and Labor, and authored more than 300 pieces of state 
and federal legislation. His comprehensive record of 
achievement includes extensive education legislation and the 
establishment of the Equal Employment Opportunity Commission to 
combat employment discrimination, which continues to exist 
today. The Committee finds it fitting to name these newly 
created Centers of Excellence after Augustus F. Hawkins as a 
tribute to his record of excellence and as an inspiration to 
continue working towards equality.

                      TITLE III--INSTITUTIONAL AID

    The National Center for Education Statistics reports that 
since 1984 minority undergraduate student enrollment has surged 
by 146 percent compared to a growth of 15 percent for the non-
minority population. The number of institutions designated 
specifically to support minority undergraduates has also grown 
from 414 in 1984 to 1,254 in 2004. These institutions represent 
less than one-third of all degree granting title IV 
institutions, while enrolling more than half of all minority 
students in postsecondary education. These institutions also 
enroll a much higher percentage of low-income and first-
generation college students than non-minority-serving 
institutions.
    By reauthorizing title III, the Committee recognizes the 
pivotal role these institutions play in ensuring access to 
postsecondary education and in increasing the number of college 
graduates so that the nation can maintain and improve its 
global competitiveness. H.R. 4137 includes many provisions, 
including some provisions outside of title III, designed to 
strengthen these institutions and expand their participation in 
all of the higher education programs.

American Indian Tribally Controlled Colleges and Universities

    The purpose of section 316 or H.R. 4137 is to provide 
grants and related assistance to Tribally Controlled Colleges 
and Universities (TCCUs) to enable such institutions to improve 
and expand their capacity to serve Native American students. 
Such grants have served the thirty-four federally supported 
TCCUs in the United States, which educate over 30,000 students, 
by offering associates, bachelors, and masters degrees, as well 
as over 200 vocational certificate programs. In many instances, 
TCCUs offer hope for communities struggling with acute economic 
and health problems. Such challenges were shared by Olivia 
Venegas-Funcheon, President of Tohono O'odham Community College 
(TOCC) in Arizona, in her testimony before the Subcommittee on 
Higher Education, Lifelong Learning and Competitiveness on June 
4, 2007. The funds provided to TOCC purchased a state-of-the-
art science laboratory for research opportunities and programs. 
The funds also helped establish a study center to provide 
tutoring and mentoring for students enrolled in developmental 
coursework. Of particular significance are the additional 
resources the grant has helped bring to TOCC, including funds 
from the Department of Defense. These funds leveraged from 
other sources are important for TCCUs given the historical 
challenges of Native Americans. The Committee recognizes that 
TCCUs do not have sufficient financial resources to provide 
these educational opportunities without federal assistance.
    The Committee makes changes to the structure of the program 
to better support TCCUs in their missions. Specifically, the 
Committee permits the Secretary to use unexpended appropriated 
funds to award grants of no less than $500,000 on a formula 
basis. Sixty percent of these funds are to be awarded 
proportionally, based on the number of Native American students 
enrolled at these colleges and universities. The remaining 40 
percent would be distributed equally among all eligible 
schools.
    Colleges or universities that are eligible for and receive 
funds under section 316 are not eligible to receive any 
additional funding concurrently, under parts A or B of title 
III. Eligible institutions would not be subject to the wait-out 
period with respect to new funding under section 316.

Additional support for minority populations

    Recognizing the need to further expand the support for 
minority students, the Committee created additional 
designations within title III for Native American-Serving, 
Nontribal Institutions, Predominantly Black Institutions 
(PBIs), and Asian American and Native American Pacific 
Islander-serving institutions.
            Native American-serving, nontribal institutions
    While TCCUs have played a significant role in supporting 
Native American communities, the Committee recognizes that 
Native Americans are attending college at greater rates than 
ever before and many Native American students are attending 
nontribal institutions of higher education. In 2002, forty-two 
public and private institutions of higher education served 
Native American student populations of 10 percent or greater. 
However, despite the increasing number of Native American 
students eligible for college enrollment, only 11 percent of 
the population graduates with a bachelor's degree or higher. 
Moreover, Native American students are disproportionately 
enrolled in two-year colleges, and are much less likely to 
finish college than their non-Native American peers. Native 
American student educational attainment continues to lag far 
behind that of the total student population. Many Native 
American students come from families with low incomes, have 
parents with low levels of education, and are less likely to 
have completed a pre-college curriculum in high school. With 
increasing enrollment, nontribal institutions of higher 
education that serve large populations of Native American 
students require resources to improve and expand their capacity 
to serve the unique and diverse needs of their Native American 
student population.
    To assist nontribal institutions of higher education to 
better serve Native American students, the Committee has 
established a competitive grant program for those institutions 
serving a Native American student population of 10 percent or 
greater. Grants will support curriculum development and 
academic instruction, faculty development, and student services 
such as academic tutoring and counseling. The Committee 
recognizes that the grant program will improve the capacity of 
Native American-serving, nontribal institutions of higher 
education to provide quality educational opportunities for 
Native American students to narrow the educational attainment 
gap and to better prepare students to meet the demands of a 
competitive workforce.
            Predominantly Black Institutions
    Many higher education institutions have been ineligible for 
federal grants to enhance college access for low-income and 
minority students because they are not Historically Black 
Colleges and Universities (HBCU) established prior to 1965. The 
Committee finds that at least 75 additional institutions, 
currently not receiving funding under part B that serve more 
than 200,000 students, would be eligible for these monies under 
this authorization. As such, the bill extends the college 
access grants to Predominantly Black Institutions (PBIs).
    PBIs are different than HBCUs in mission, history and, in 
some instances, resource challenges. Similar to HBCUs, they are 
meeting vital higher education needs for traditionally 
underrepresented students, a disproportionate number of whom 
are African American. The allocation formula will be similar to 
the formula for the title III, part B HBCU institutions. Awards 
will be based on the percentage of Pell Grant recipients, 
students graduating within a specified period of time, and 
students progressing to degree programs at the next academic 
level. The PBI grant program will increase college access for 
the growing number of urban and rural minority students whose 
family and financial situations limit their college attendance.
            Asian American and Native American Pacific Islander-serving 
                    institutions
    The population of Asian American and Native American 
Pacific Islanders (AAPI) is an exceptionally diverse 
population. Characteristics of the AAPI population vary 
according to ethnicity, immigration patterns, historical 
experiences, and social group issues. The diversity of the 
population is reflected in the federal government's categories 
for Asian Americans and Pacific Islanders. There are 17 ethnic 
groups considered to be Asian and four ethnic groups considered 
to be Pacific Islander. Neither definition reflects AAPIs who 
may identify as ``more than one race''.
    The distinct cultural, linguistic, socioeconomic, and 
historical experiences that affect educational attainment of 
different AAPI sub-populations are often overlooked because 
programs and policies are based on aggregated data and the 
assumption that AAPIs are a monolithic group.
    While Asian Americans and Pacific Islanders overall have 
the highest college graduation rates of any group (44 percent 
in 2000), certain subgroups have much lower rates of degree 
attainment. Only 13.8 percent of Vietnamese Americans, 5.8 
percent of Laotian Americans, 6.1 percent of Cambodian 
Americans, and less than 5.1 percent of Hmong Americans had 
college degrees. Only 13.8 percent of Pacific Islanders had 
degrees. To address this challenge, the Committee includes the 
creation of a new program within title III to designate 
institutions that serve this population. Such a program will 
provide the assistance to institutions to expand their capacity 
to identify and assist underserved AAPI students.

Historically Black Colleges and Universities

    Part B of title III was first enacted by Congress as part 
of the Higher Education Act Amendments of 1986 as the 
Historically Black College and University Act. The intent of 
the legislation then and now is to eliminate the disparity of 
educational opportunities for minorities in the United States.
    The Committee believes that in the nation's struggle to 
offer the ideal of an equal education for all Americans, 
Historically Black Colleges and Universities (HBCUs) have 
played a critical role to enrich and inspire postsecondary 
education for African-Americans, low-income, and educationally 
disadvantaged Americans. For many generations from slavery to 
segregation, HBCUs were the only institutions in which 
minorities could receive a postsecondary education.
    Their significance is only underscored by the fact that 
they represent only 3 percent of all colleges and universities, 
yet they enroll 16 percent of all African Americans in four-
year degree granting institutions. Additionally, 24 percent of 
all PhDs earned each year by African Americans are conferred by 
twenty-four HBCUs; eighteen of the top twenty-three producers 
of African American students who go on to receive science 
related PhDs are HBCUs; four of the top ten producers of 
successful African American medical school applicants are 
HBCUs; eight of the top ten producers of African American 
engineers are HBCUs.\8\
---------------------------------------------------------------------------
    \8\Subcommittee on Higher Education, Lifelong Learning and 
Competitiveness, Hearing: ``Higher Education Act: Institutional Support 
for Colleges and Universities Under Title III and Title V,'' June 4, 
2007.
---------------------------------------------------------------------------
    To ensure the continued success of these institutions and 
the students they serve, the Committee has made changes to 
title III that include establishing minimum grant allotments 
and modifications to uses of funds to support activities such 
as financial literacy. And to further enhance the graduate 
programs within HBCUs, the following six universities are added 
to the list of qualified graduate programs: Alabama State 
University, Bowie State University, Prairie View A&M 
University, Delaware State University, Langston University, and 
the law school at the University of the District of Columbia.
            Endowments at HBCUs
    The Journal of Blacks in Higher Education reported in 1997 
that the combined endowments of all 41 colleges represented by 
the United Negro College Fund Historically Black Colleges and 
Universities were about one fourteenth the size of the largest 
endowment held by a single institution nationally ($8.8 
billion). In a more recent report conducted by the Southern 
Education Foundation, Howard University had a $308 million 
endowment while the largest endowment held by a single 
institution nationally had increased to $18 billion. Endowments 
play a critical role ensuring the stability and sustainability 
of institutions like HBCUs.
    In order to address this growing challenge faced by HBCUs, 
the Committee increased the authorization levels for the 
Endowment Challenge Grant program, which have not been 
increased since 1980.
            Supporting Capital Needs at HBCUs
    Many of our nation's HBCUs are housed in historical 
buildings that are in significant need of renovation, updating, 
and repair. Congress established the HBCU Capital Financing 
program to provide HBCUs with resources for repairs and 
renovations. The limit on the amount of bonds that may be 
outstanding was reached in the effort to assist institutions 
impacted by the Gulf Coast hurricanes. In order to allow the 
Secretary to continue issuing bonds for the program, the 
Committee includes language to increase the amount of 
outstanding bonds that may be issued.

Support for institutions impacted by Gulf Coast hurricanes

    H.R. 4137 includes a provision to provide the Secretary of 
Education with waiver authority to hold Gulf Coast hurricane-
affected institutions of higher education harmless from the 
enrollment-driven title III formula for the FY 2008-FY 2012 
cycle. Gulf Coast hurricane affected institutions of higher 
education currently face a challenge maintaining their title 
III funding level due to enrollment decreases that are a direct 
result of the hurricanes that devastated communities in 2005.
    The Committee believes that these provisions are necessary 
in order for these institutions of higher education to continue 
expanding their capacity to serve low-income students by 
providing funds to improve and strengthen the academic quality, 
institutional management, and fiscal stability of eligible 
institutions.

Minority Science and Engineering Improvement Program

    There is broad consensus that to remain globally 
competitive, the United States must produce more graduates in 
the fields of science, technology, engineering, and mathematics 
(STEM). The Committee recognizes that in order to accomplish 
this goal, it will be necessary to dramatically increase the 
number of under-represented minorities pursuing these fields. 
According to the U.S. Census, 39 percent of the population 
under the age of 18 is a racial or ethnic minority. That 
percentage is expected to pass 50 percent by the year 2050. 
Yet, in 2000, only 4.4 percent of the science and engineering 
jobs were held by African Americans and only 3.4 percent by 
Hispanics.
    Early outreach, awareness and engagement are essential to 
encouraging youth to pursue STEM fields. H.R. 4137 establishes 
Youth Engagement in STEM Partnerships to address this need by 
leveraging the community ties of title III and title V 
institutions to establish outreach and experiential-based 
learning projects that encourage students to pursue careers in 
the STEM fields.
    One example of where this approach has been successful is 
the Hispanic Engineering Science and Technology (HESTEC) 
Initiative that has been established by the University of Texas 
Pan American, a Hispanic-serving institution in Edinburg, 
Texas. Over the last six years, HESTEC has provided over 25,000 
pre-college students and 5,000 teachers hands-on, experiential 
learning opportunities in the STEM fields. Over the same 
period, the University of Texas--Pan American has seen its 
engineering enrollment grow from 720 to 940, with 88 percent of 
the engineering majors being Hispanic. The YES Partnership 
Grants Program will enable other institutions to launch similar 
outreach and engagement initiatives.

Mandatory funds from the College Cost Reduction and Access Act

    The College Cost Reduction and Access Act included 
mandatory funds for HBCUs and MBIs. Through a technical change 
in this bill, the Committee intends to clarify that the funds 
be disbursed through the rules that govern title III, 
specifically that institutions defined under 101 are the only 
institutions that shall have access to these mandatory funds. 
The Committee directs the Secretary to work to disburse these 
funds as soon as possible.

                     TITLE IV--TITLE IV AMENDMENTS

Part A--Part A Amendments

            Pell Grants
    The Committee believes that the Pell Grant program is the 
cornerstone of all federal need-based federal student aid. In 
the 2006-2007 academic year, more than five million students 
benefited from the Pell Grant. The language in H.R. 4137, to 
significantly increase the authorized maximum award from $5,800 
to $9,000, begins to restore the purchasing power of the Pell 
Grant program. Continued commitment to the Pell Grant program 
is critical in addressing access to and affordability of higher 
education.
    The actual maximum Pell Grant award increased by $260 in 
the 2007-2008 award year, and will increase by at least an 
additional $490--to a maximum award of $4,800--in the 2008-2009 
award year. It is the hope of the Committee that the 
Appropriations Committee will build on the progress made by our 
Committee earlier this year and continue to increase the 
maximum award in coming years.
            Year-round Pell Grants
    In order to help financially needy students who are working 
to graduate quickly, the bill allows for year-round Pell 
Grants. Currently, students may only receive Pell Grants based 
on the traditional two semester academic year. This limits 
options for students studying year-round or on a non-
traditional schedule.
    The provision of year-round Pell Grants will reduce costs 
to students and move them through their programs more quickly, 
thereby allowing institutions to increase enrollments and 
accelerate course completion and graduation for students. 
Additionally, year-round Pell Grants reduce the amount of debt 
that a student would otherwise accumulate, by eliminating the 
need to finance their education with loans.
    The Committee believes that in the coming decades, many 
states will experience significant increases in postsecondary 
education enrollments. Offering year-round Pell Grants will 
allow institutions of higher education to make better use of 
current facilities by encouraging students to attend college on 
a year-round basis. Students who choose to take classes all 
year could complete a two-year associates or a four-year 
bachelor's degree in less time than usual. In addition, 
students may use the new summer Pell Grant eligibility to take 
courses that are overbooked in the regular academic year due to 
rising enrollments, concentrate on certain courses that require 
intensive study, or prepare for difficult or preliminary 
coursework (particularly incoming freshman and transfer 
students).
            Pell Grant eligibility
    Current law prohibits an individual who is incarcerated in 
a state or federal penal institution from receiving federal 
student loans and Pell Grants. However, in some states 
individuals convicted of serious sex offenses may be confined 
in mental health facilities. Under current law individuals so 
confined are eligible for Pell Grants. In 2004, over 50 
individuals convicted of serious sex offenses confined in one 
mental health facility in Florida had received over $200,000 in 
Pell Grants. Representative Ric Keller (R-FL) offered an 
amendment to modify the eligibility requirements for Pell 
Grants by ensuring that offenders who remain in custody through 
involuntary civil commitment' not be eligible for the awards. 
The Committee believes that this amendment is not intended to 
thwart the rehabilitation or education of such offenders, but 
it does address a very specific and particularly dangerous 
group of offenders and does not permit federal funds to be 
expended to these individuals through Pell Grant awards.
            Pell Grant limitation
    Representative David Davis (R-TN) offered an amendment to 
limit the length of time a student may receive a Pell Grant to 
eighteen semesters or twenty-seven quarters. Until 1992, a 
student's eligibility was limited to six years. This amendment 
ensures that this reauthorization will refocus grant aid to 
students who are actively pursuing a degree, while at the same 
time, recognizing the growth in part-time attendance. The 
Committee believes this will encourage students to make 
consistent progress toward a degree while protecting the 
federal fiscal interest in higher education. By basing the 
limit on semesters or quarters rather than years, this 
amendment reflects the growing number of part-time and non-
traditional students who pursue a degree over an extended 
number of years.
    Data from the Department of Education shows that less than 
1 percent of students received eight Pell Grants over an eleven 
year span. This data demonstrates that the vast majority of 
students will easily meet this requirement.
            Academic competitiveness and SMART grants
    The Committee is aware that the first year implementation 
of this program generated significant concerns. Therefore, the 
bill includes provisions to ensure that going forward the 
program will better meet students' needs. The Committee 
specifically acknowledges the different determinations of 
academic year by institutions, and accordingly makes changes to 
ensure that grants under this section are awarded at the same 
time as other financial student assistance. Further, the 
Committee strongly believes that all students eligible for 
federal student aid, not only United States citizens, should be 
eligible to receive this aid. Therefore, this legislation 
ensures that the eligibility requirements are consistent with 
those for all federal student aid programs. In light of current 
enrollment trends, H.R. 4137 extends the eligibility for this 
aid to students who attend at least half-time or more, and to 
those pursuing a certificate in an eligible field of study.
            TRIO
    The TRIO programs have served many low-income students as 
they access, persist and graduate from secondary and 
postsecondary institutions, by providing student support 
services, college preparation, tutoring and other activities.
    The bill provides important technical changes to clarify 
the definitions of the terms different campuses and different 
populations. The Department of Education's current regulations 
narrowly define additional campuses. Its definition thwarts an 
institutions ability to apply for grants to serve diverse 
groups of disadvantaged students at various campuses. The 
Committee intends for institutions with multiple campuses to be 
able to serve multiple populations.
    In response to recent controversies about the competitive 
grant process, the bill outlines outcome measures and 
evaluations procedures to ensure that programs are of high 
quality. Further, the Committee adopted an amendment offered by 
Representative Robert Scott (D-VA) that creates an appeals 
process that allows applicants and current grantees to appeal 
adverse grant decisions before an administrative law judge.
    The Committee is concerned with the establishment of an 
absolute priority for the 2007 Upward Bound grant cycle that 
required all grantees to have 30 percent of all first-time 
participants be high-risk academically, further the priority 
required grantees to only select first-time participants to be 
in the 9th or 10th grade (unless they were previously served at 
another grant site), and, finally, required the grantee to be 
willing to participate in an evaluation. Some members of the 
Committee expressed these concerns in an August 2006 letter to 
the Secretary. The Committee is further concerned with the 
manner by which these priorities were communicated to Congress 
and the community, and the impact this priority will have on 
grantees and ultimately the students the programs serve.
            TRIO for veterans of the Armed Forces
    The bill also resolves two issues important to veterans who 
are being served by the Upward Bound TRIO program. First, the 
bill authorizes the use of Upward Bound funding for Math and 
Science programs for veterans. In taking this action, the 
Committee recognizes that from 1991 through 2004, the 
Department of Education successfully funded Veterans Upward 
Bound Math Science programs at both Humboldt State University 
and Montana State University. In 2004, the Department of 
Education unilaterally decided to discontinue these grants 
after thirteen years despite the fact that one of the grantees 
has successfully won the competition to operate its Veterans 
Upward Bound Math Science program and was completing the first 
year in a multi-year grant. The Committee action specifically 
provides the legislative authority to fund such programs, and 
the Committee expects the Secretary to reinstate these programs 
for the duration of the grant cycle. The Committee further 
expects the Secretary to honor the terms under which the grants 
were originally awarded including funding level, number of 
students to be served, recruitment criteria, provision of room 
and board, and the ability to offer veterans the opportunity to 
earn math and science credit.
    In return, the Committee expects the grantees to comply 
with all applicable accountability measures and new program 
outcomes that are part of the legislation. Further, the 
Committee intends for the programs to continue on a competitive 
basis for the duration of the authorization period. In taking 
this action, the Committee believes such efforts will ensure 
that these important outreach initiatives will continue to be 
offered to veterans across the country, as they return from 
service, to better prepare them to pursue a postsecondary 
education and gain the skills they need to be successful in 
today's economy while complying with new accountability 
standards and program outcome measures.
    Second, the bill ensures that grantees are able to provide 
services for reservists that served on active duty, including 
those who served in support of a contingency operation in the 
reserve component for any period of time after September 11, 
2001, and for reservists who were called to active duty for any 
reason so long as their period of service was more than 180 
days. Since 2001, more than 40 percent of the troops sent 
overseas have been members of the reserve component of the 
Armed Forces. Under current law, upon returning home, these men 
and women are not given the same benefits as individuals that 
served active duty in the Upward Bound program. The changes put 
forward here will ensure that these individuals are eligible to 
receive the same services under Upward Bound as other veterans.
            GEAR UP
    As a new program established in the 1998 amendment to the 
Higher Education Act, GEAR UP has proven to be an effective 
model in preparing low-income students for college. Recent data 
from the United States Department of Education shows that 84 
percent of the first class of GEAR UP students graduated from 
high school in 2005. This remarkable graduation rate is well 
above those of other low-income students (52.1 percent) and all 
students nationally (73.9 percent).
    In H.R. 4137, the Committee intends to strengthen the GEAR 
UP program by enabling grantees to serve students through the 
transition to college and by building incentives for 
partnerships to offer scholarships as a component of their GEAR 
UP grant. Additionally, the Committee adopted amendments to 
enhance the services provided to students and families by 
focusing on areas such as financial literacy, parental 
involvement, and dissemination of college information.
            Leveraging Educational Assistance Partnership/Grants for 
                    Access and Persistence
    The Committee believes that the changes made to the 
Leveraging Educational Assistance Partnership (LEAP)--including 
providing students with information about their grants and 
implementing the Grants for Access and Persistence program--
will strengthen the program by leveraging the financial 
assistance provided under this program in a way that is more 
effective for students, states, and the federal government. 
These improvements to LEAP will broaden participation to 
include all stakeholders working to increase the number of 
financially needy students who can access and succeed in 
college.
    H.R. 4137 replaces the Special Leveraging Educational 
Assistance Partnership with Grants for Access and Persistence 
(GAP). By doing so, the Committee seeks to ensure the continued 
success of LEAP, the only program in which the federal and 
state governments work together to extend higher education 
opportunities to financially needy students. Under the GAP 
program, awarded to states that receive LEAP funds above $30 
million, states will be rewarded for creating cohesive 
partnerships with colleges, foundations, businesses, and early 
intervention and mentoring programs. Access and persistence 
partnerships have three main purposes: to provide low-income 
students with adequate grant aid to ensure access to four-year 
colleges and eliminate unmet need; to provide early 
notification to low-income students of their eligibility for 
financial aid; and to increase participation of low-income 
students in early information, intervention, mentoring, and 
outreach programs. Research on college access programs with 
such components has shown that participating students are more 
financially and academically prepared, and thus more likely to 
enroll in college and persist to degree completion.
    The Committee strongly encourages states to develop strong 
and broad partnerships that include philanthropic and business 
organizations, colleges and early intervention and mentoring 
programs. The Committee encourages the Secretary and states to 
coordinate the early notification components of the GAP program 
with other existing or new early financial aid awareness 
efforts in order to avoid duplication of services or 
information. Further, the Committee encourages the Secretary 
and states to work together to coordinate the GAP program with 
the Challenge Grant program to ensure continuity of services.
            High School Equivalency Program (HEP) and the College 
                    Assistant Migrant Program (CAMP)
    Farm-worker migrant and seasonal students are among the 
most disadvantaged youth in this nation and have one of the 
highest drop-out rates. They encounter tremendous obstacles in 
completing high school and transitioning and completing 
postsecondary education. For over three decades, the High 
School Equivalency Program (HEP)--College Assistant Migrant 
Program (CAMP) programs have been successful in helping farm-
worker migrant and seasonal students to overcome barriers and 
provide them with opportunities to succeed in both secondary 
and postsecondary education by providing support services to 
help students make the transition to college.
    The College Opportunity and Affordability Act of 2007, 
builds upon the success of the existing HEP-CAMP program by 
making improvements to the current program to allow additional 
activities that helps with the transition and improve the 
persistence and retention of farm-worker migrants students in 
postsecondary education. Activities include child care, 
transportation and follow up services. The legislation would 
also mandate data collection regarding farm-worker migrant and 
seasonal students' high school graduation rates, entrance and 
completion of postsecondary education to better understand the 
obstacles these students face in successfully completing 
postsecondary education. These improvements to the HEP CAMP 
programs would help to close the access and completion gaps for 
farm-worker migrant and seasonal worker students and their 
families and help make college education a more affordable, 
achievable dream.
            Robert C. Byrd American Competitiveness Program
    Over the past several years the Committee has heard from 
multiple witnesses that our nation's competitiveness depends on 
the quality of our science, technology, engineering and 
mathematics related workforce. Careers in these disciplines 
support the United States in maintaining its leadership in 
innovation and in ensuring that we can solve challenging 
problems such as designing new technologies, protecting our 
nation, and maintaining a strong economy. Therefore, the 
Committee is discouraged that America's high school students 
are struggling to keep up with their industrialized-world peers 
in the fields of mathematics and science and believes that 
Congress must do more to encourage our young people to pursue 
careers in these fields, providing not only for their 
prosperity but that of the entire nation.
    Accordingly, H.R. 4137 includes a comprehensive proposal to 
help strengthen American competitiveness by increasing 
opportunities for students to study mathematics, science, and 
related fields. H.R. 4137 builds on the framework of existing 
federal higher education investments to better reflect the 
national priority of increasing the number of American students 
studying advanced science and mathematics. H.R. 4137 updates 
the Robert C. Byrd Honors Scholarship program to meet this 
priority.
    The College Opportunity and Affordability Act of 2007 
includes three distinct approaches to increase mathematics, 
science and foreign language opportunities for students. First, 
the bill authorizes mathematics and science honors scholarships 
to encourage students to pursue a baccalaureate, masters, or 
doctoral degree in physical, life, or computer sciences, 
mathematics, and engineering. This idea, generated from 
testimony provided by Mr. Norm Augustine during the hearing 
that took place in the 109th Congress, ``Challenges to American 
Competitiveness in Math and Science,'' is intended to provide 
an incentive for more students to persist in studies in the 
math and science disciplines. Mr. Augustine's testimony pointed 
out that in the mathematics field, current trends indicate that 
of 3,500 ninth graders interested in math, only 300 of those 
students will qualify as freshmen to pursue a degree in 
mathematics. Of the 300 students, only 10 will receive a 
bachelors degree and only one will finish at the Ph.D. level.
    Second, H.R. 4137 authorizes the Secretary to pay up to 
$5,000 in student loan interest for individuals who have 
obtained degrees in science or mathematics and serve as 
teachers or other professionals in related fields. The loan 
forgiveness also provides an incentive for students to enter 
into the math and science fields. In addition, this incentive 
attempts to maintain people in the math and science fields by 
requiring that anyone receiving this forgiveness must work in a 
math or science related field for at least five years.
    Finally, the College Opportunity and Affordability Act of 
2007 authorizes the Secretary to award grants to partnerships 
composed of institutions of higher education and local 
educational agencies to increase the number of highly qualified 
teachers in critical foreign languages and increase the number 
of students who achieve the highest level of proficiency in 
these languages.
    These provisions build on the provisions included in the 
America COMPETES Act, P. L. 110-69, and will help ensure that 
the country's young people are armed with the skills needed to 
bolster America's competitiveness throughout the world.

Part B--Federal Family Education Loans

            Loan forgiveness in areas of national need
    Our nation's workforce, while strong and vibrant, suffers 
shortages in key sectors. Acknowledging this need, the 
Committee expands the loan forgiveness program to offer up to 
$10,000 ($2,000 per year for five years) of loan forgiveness to 
individuals in professions considered to be areas of national 
need as designated by the Secretary. This program includes loan 
forgiveness for: early childhood educators, nurses, foreign 
language specialists, librarians, highly qualified teachers 
serving students who are limited English proficient in low-
income communities and teachers who are individuals from 
underrepresented populations, school counselors, public sector 
employees, nutrition professionals, national service program 
participants, medical specialists, mental health professionals, 
and speech language pathologists. The Committee believes 
authorizing loan forgiveness for these areas with demonstrated 
national need will provide a step in the right direction as the 
nation works to alleviate shortages in key fields.
    Of significant concern to the Committee is the critical 
shortage of nurses. Dating back to 2000, there was a 6 percent 
shortage of nurses and other health care professionals. The 
need for nurses is projected to increase to by almost 30 
percent in the next fifteen to twenty years. There is also a 
shortage of professionals available to teach students to become 
nurses, exacerbating the shortages today and those we will see 
into the future. Over the next ten years, more than 2 million 
nurse faculty will leave the field for other careers.
    Similar shortages are predicted in allied health 
professions. According to the U.S. Bureau of Labor Statistics, 
the health care industry is predicted to add nearly 3.5 million 
new jobs between 2002 and 2012, an increase of 30 percent. A 
large majority of these new jobs will be in allied health 
professions. At the same time that demand for allied health 
professionals is expected to grow, there are a variety of 
challenges relating to the training and retention of these 
professionals.
    The Committee is additionally concerned with the shortage 
of well-trained and qualified early childhood educators. The 
evidence of a shortage of early childhood educators and the 
importance of having qualified people serve in these positions 
is clear. The Economic Policy Institute, the Keystone Research 
Center and the Foundation for Child Development recently 
published a report titled, ``Losing Ground in Early Childhood 
Education: Declining Workforce Qualifications in an Expanding 
Industry, 1979-2004, '' in which it was demonstrated that the 
share of early childhood staff with college degrees has dropped 
significantly over the past twenty years, from 43 percent to 30 
percent. In addition, the report pointed out that the most 
educated cohort of early childhood teachers are retiring in the 
next fifteen years and there are not enough students in the 
pipeline to fill those positions. Moreover, the demand for 
early childhood programs is growing. Today, approximately 70 
percent of families with children include two working parents 
or one unmarried working parent. Nearly 12 million children 
under give years of age are in some type of regular child care 
arrangement, including 55 percent of infants under one year of 
age and 67 percent of three and four year olds. Access to high 
quality programs staffed by qualified early childhood educators 
is essential for all children to receive the support and care 
they need during the years in which their brains are growing 
the fastest. Increasing the supply of well-trained early 
childhood educators is an essential component to helping more 
children arrive at kindergarten ready to succeed and to closing 
the achievement gap.
            Loan forgiveness for civil legal assistance attorneys
    A study released in 2005 found that only 50 percent of the 
people eligible for legal services (meaning they had household 
income for a family of four of $25,800 or less) were able to 
get legal help from a legal aid program.\9\ Estimates are that 
closer to 80 percent of low income Americans actually have 
unmet civil legal needs. Unfortunately, there is only one legal 
aid attorney available per 6,861 low-income Americans, compared 
to one attorney for every 525 middle-income Americans. One key 
reason for this disparity is the inability of legal aid 
programs to recruit and retain attorneys.
---------------------------------------------------------------------------
    \9\2005 Justice Gap Report. See report at the following link: 
http://www.lsc.gov/JusticeGap.pdf
---------------------------------------------------------------------------
    As law school tuition has skyrocketed, legal aid salaries 
have not increased in any significant way. Between 1992 and 
2002, public law school tuition increased 134 percent and 
private law school tuition increased 76 percent. A recent 
survey found that with median law school debt at $70,000 with 
an additional $16,000 in undergraduate debt, over 65 percent of 
new law school graduates were prevented from even considering a 
public service career.
    The average starting salary for a legal aid attorney is 
$36,000 a year. Yet among those attorneys who do commit to a 
legal assistance program, 90 percent graduated with debt. The 
debt averaged $77,000 translating into payments of $12,000 a 
year.\10\ Given these financial realities, many law graduates 
who take positions with legal aid leave after only two or three 
years of service.
---------------------------------------------------------------------------
    \10\ABA Lifting the Burden: Law Student Debt as a Barrier to Public 
Service Report at page 40. See report at the following link: 
www.abanet.org/legalservices/downloads/lrap/lrapfinalreport.pdf
---------------------------------------------------------------------------
    To address this growing challenge, the Committee includes 
language to build on existing loan repayment and retention 
programs for federal prosecutors and twenty-nine other 
government agencies, including the Department of Justice and 
the Congress, by providing partial loan repayment assistance to 
full time civil legal assistance lawyers. The Committee 
strongly supports this aid to this group of attorneys in 
exchange for commitments of service. It is the belief of the 
Committee that such a program will help ease the challenges of 
recruiting and retaining qualified and talented attorneys 
working as legal aid attorneys.
            Delinquency prevention, default aversion, and consumer 
                    information
    As found in titles I and X of H.R. 4137, in response to the 
Committee's oversight and investigative findings, the Committee 
provided for improved consumer disclosures and school and 
lender reporting on terms and conditions of federal student 
loans. The Committee recognizes that guaranty agencies can play 
an important role in assisting students and families take full 
advantage of the clear, concise and consistent information that 
will be available to help inform students and parents as they 
undertake critical educational financing decisions. As more and 
more students turn to loans to finance their education, the 
Committee believes that additional and enhanced budgeting and 
financial management, including debt management and other 
aspects of financial literacy, such as the cost of using high 
interest loans, and the consequences of defaulting on loans, 
can help students and families avoid costly mistakes that can 
have an indelible and devastating impact on their lives.

Cohort default rates

    Over the years, a number of provisions have been enacted 
under the Higher Education Act to protect the integrity of the 
federal student aid programs. One effective mechanism was to 
restrict federal loan eligibility for students at schools with 
very high cohort loan default rates. These rates have served as 
a relatively reliable indicator of the quality of programs and 
resulting success of the students in the job market. Under 
current law, loss of eligibility occurs if an institution has a 
cohort default rate of 25 percent or more for three consecutive 
years. Although the overall cohort default rate has fallen to 
4.6 percent in 2005, from an overall high of 22 percent in 
1992, the snapshot taken for purposes of the cohort default 
rate should be expanded to coincide with the change in the 
definition of default from 180 days to 270 days, in order to 
ensure a more realistic calculation.
    Unfortunately, current cohort default rates may not provide 
an accurate picture of the number of students who are 
defaulting. According to a 2003 report by the Department of 
Education's Inspector General, some schools use various 
strategies to keep defaults from being counted.\11\ These 
strategies include working to keep borrowers from defaulting 
during the maximum two-year period, the time in which cohort 
default rates are calculated. Such actions may mask actual 
default rates which tend to increase over time.
---------------------------------------------------------------------------
    \11\Audit to Determine if Cohort Default Rates Provide Sufficient 
Information on Defaults in the Title IV Loan Programs (Washington, DC: 
Department of Education Office of Inspector General, December 2003).
---------------------------------------------------------------------------
    The Committee adopted an amendment offered by 
Representatives Raul Grijalva (D-AZ) and Tim Bishop (D-NY) to 
address this potential inconsistency and to provide Congress 
with realistic information on defaults. This language lengthens 
the period in which the cohort default rate is collected in 
order to capture the defaults that occur just beyond the 
current window and will make it more difficult for institutions 
to avoid defaults from being counted. The language extends the 
cohort default rate by one year.
    The Committee believes that it is also important to 
continue to follow loan defaults over the life of the loan by 
calculating and publishing updates to the initial cohort 
default rates annually, by institutional sector. The Committee 
recommends that such follow-up apply to all sectors in order to 
provide a clearer picture of default rate trends.

Part C--College Work-Study

    Work-study has played a growing and necessary role in the 
financing of a student's education. During a hearing held by 
the Committee on May 1, 2007, Luke Swarthout of U.S. PIRG cited 
a report of the organization that 74 percent of full-time 
students graduating in 2000 worked while attending school. The 
Committee believes that work-study is a valuable program for 
students in the financing of their education and to that end 
H.R. 4137 reauthorizes the program.
    Additionally, the Committee supports the continued use of 
funds for community service through an expansion of the program 
that allows funds under the program to be used for activities 
that respond to the needs of a community during natural 
disasters. As a further extension of these efforts, the 
Committee includes language to allow for institutions of higher 
education to supplement off-campus community service 
employment.
    To ensure that institutions are properly informed about the 
need to encourage community service through the work-study 
program, the Committee requests the Department of Education and 
the Corporation for National and Community Service to provide 
all necessary information and technical assistance to 
participating institutions in order to help them expand the use 
of work-study funds for community service, and to strengthen 
the connection between federal work-study jobs and the 
educational or career goals of participating students.
            Work colleges
    The Committee continues to support work colleges as 
institutions that have proven an effective means of providing 
students the opportunity to work and learn. The bill includes 
language that encourages new models of student-organized 
volunteer service projects provide students with the 
opportunity to participate in volunteer service projects 
associated with institutions of higher education is an 
excellent way to develop leadership and civic engagement.

Part D--Federal Direct Student Loans

            Loan forgiveness
    The College Cost Reduction and Access Act (P.L. 110-84) 
created a loan forgiveness program to encourage individuals to 
pursue public service. Specifically, the legislation revised 
the Direct Loan Income Contingent Repayment program to allow 
individuals who choose public service the option to have their 
loans forgiven after ten years if payments are made during that 
time period. The Committee makes changes to this program to 
clarify the categories of jobs that qualify for public service.
            Direct loans
    The Committee reauthorizes the Direct Loan program. 
Further, the Committee adopted an amendment by Representative 
Tom Price (R-GA) to authorize the Secretary to conduct an audit 
of the program. The Committee believes such an audit is 
consistent with the process the Secretary should use for the 
oversight of all federal student aid programs and notes that 
this provision does not give the Secretary authority to 
diminish the valuable role that the Direct Loan program plays 
in the financing of higher education and as serving as an 
alternative to the Federal Family Education Loan program.

Part E--Perkins loans

    The purpose of the Perkins loan program is to lend low-cost 
funds to borrowers with demonstrated financial need. Perkins 
loans make a significant difference for low-income borrowers 
who do not otherwise receive enough funds to pay for college. 
The Committee believes that, given this purpose and the need 
the Perkins loan program will be an essential of higher 
education financing for the foreseeable future.
    Throughout the history of the Perkins Loan program, $7.9 
billion in federal contributions has been leveraged to award 
over $24 billion in loans to financially needy students through 
almost 22 million aid awards, making it one of the most 
effective public-private partnerships in the federal 
government. Perkins loans offer financially needy students a 
long-term, fixed 5 percent interest rate loan. Without Perkins 
loans, the over 700,000 borrowers would be forced to borrow 
from high-cost alternative sources, such as private education 
loans.
    H.R. 4137 reauthorizes the Perkins loan program and 
increases the annual maximum loan limits from $4,000 to $5,500 
for undergraduates and from $6,000 to $8,000 for graduate or 
professional students. Additionally, the aggregate loan limits 
are increased from $20,000 to $27,500 for undergraduates and 
from $40,000 to $60,000 for graduate and professional students. 
H.R. 4137 emphasizes that collections of assigned loans should 
be returned to the revolving fund of the campus that assigned 
the loan, after deducting the Department's collection costs. 
The bill harmonizes certain requirements under the Perkins loan 
program with those of the FFEL and DL programs. In particular, 
Perkins borrowers would no longer be required to request 
forbearance in writing. In addition, in order to rehabilitate a 
defaulted loan, borrowers would be required to make nine 
consecutive monthly payments. H.R. 4137 also provides improved 
disclosure in the consolidation process regarding loss of 
Perkins benefits and allows for expanded cancellation 
opportunities for full-time firefighters, full-time faculty at 
tribal colleges, librarians, and speech-language pathologists.
    The Committee notes that the Secretary lacks the authority 
to require assignment of defaulted Perkins loans and it is the 
intent of the Committee that any funds collected from defaulted 
Perkins loans, including loans that have been assigned to the 
Department of Education for additional collection activities, 
be returned to the program's revolving fund and available for 
new loans to future students.

Part F--Need analysis

    The Committee believes that the needs analysis system 
should be as comprehensive as possible to recognize the 
differing situations of students and to ensure that students 
receive an appropriate amount of federal student aid. This 
legislation builds on the existing system by ensuring that 
veterans receiving education benefits are not financially 
harmed; clarifies the treatment of military housing benefits; 
allows nursing home expenses to be considered when financial 
aid officers are making exceptions for unique circumstances; 
and allows `total income' for dislocated workers to be based on 
estimated income.
    Additionally, the Committee recommends further exploration 
of the challenges faced by students who live in high-cost areas 
of the country. Under the current calculation of expected 
family contribution (EFC), students living in areas with a high 
cost of living face a significant disadvantage using the 
federal need analysis formula set in title IV. The current 
formula protects a standard allowance for all families to use 
for housing and other living expenses, and presumes that all 
families have similarly proportionate amounts left over from 
their income to use for their children's college costs. As a 
result, families who live in certain areas of the country and 
who must allocate a larger percentage of their income to their 
housing costs than estimated in the need analysis have less 
money available for college than the formula indicates. The 
Committee is particularly concerned that this circumstance 
significantly affects low-income students' eligibility for Pell 
Grants, the amount of their Pell Grants, and decreases or 
eliminates eligibility for students for federal student loans.

Part G--General provisions

            FAFSA
    For many families, applying for federal student aid can be 
an overwhelming task. The Committee believes that, particularly 
for students who are the first in their families to go to 
college, ensuring the provision of useful and early information 
and making the application process simpler means that fewer 
students see the application as a barrier to college. This bill 
simplifies the existing Free Application for Federal Student 
Aid (FAFSA) by encouraging the Secretary to reduce the number 
of questions required to be entered by the applicant by 50 
percent over the next five years. For reapplications in 
subsequent years, the bill also streamlines the FAFSA process.
    To address the needs of first-generation college students 
and ensure that lack of family financial literacy does not 
stand in the way of attaining a college education, the bill 
creates a two-page FAFSA-EZ form for low-income students and 
families who qualify for the ``automatic zero'' expected 
contribution or the simplified needs test. Additionally, the 
Committee believes that information about available aid is an 
important factor in making an informed decision about college 
attendance. Therefore, H.R. 4137 directs the Secretary to 
implement a system that allows students and families to enter 
information and receive estimates of their Expected Family 
Contribution and total amount of aid in the years prior to 
enrollment in higher education.
    H.R. 4137 includes a Sense of the Congress for the 
Department of Education and the Internal Revenue Services (IRS) 
to work together by sharing information germane to student aid 
applications. According to a report issued by the Institute for 
College Access and Success, by pre-populating the FAFSA form 
with information held by the IRS, approximately two-thirds of 
the income related questions could be eliminated from the FAFSA 
form while enhancing the integrity of the application process. 
Such a proposal could increase access by making the form less 
daunting and greatly reducing the time and calculations now 
required of families. Further, because the information would 
come directly from IRS, there would be fewer errors and 
miscalculations, resulting in more accurate aid awards and 
reducing the paperwork burden for institutions by eliminating 
the need for verifying income information.
            Student eligibility
    Under current law, students lose their eligibility for 
student aid if they were convicted for the sale or possession 
of drugs while receiving federal aid. The provision does not 
affect students who may have been arrested prior to the start 
of their first year of college, nor does it affect students who 
may have an arrest during a semester or summer off from classes 
if they were not receiving federal student aid during that 
period. In addition, the Committee adopted two amendments 
offered by Rep. Mark Souder (R-IN). The first amendment 
requires institutions to inform students upon enrollment with a 
separate, clear and conspicuous written notice that advises 
students about the penalties for a drug conviction. The second 
amendment provided one additional manner in which a student can 
regain eligibility for student aid by giving students the 
option of passing two unannounced drug tests without 
participating in drug rehabilitation program. The Committee 
believes the Department of Education should take sufficient 
measures to ensure the integrity and privacy of these drug 
tests. Such drug testing should utilize only highly-reliable 
methods conducted by a qualified drug rehabilitation program.
    The Committee believes that the Department of Education and 
institutions of higher education should take all necessary 
steps to ensure that students understand the implications and 
provisions of section 484(r). As currently worded, the ``drug 
penalty'' question on the FAFSA form serves as a potential 
barrier to entry, because many students fail to complete their 
financial aid application due to a lack of complete 
understanding about the prohibition. Data from the Department 
of Education show that in the 2007-2008 award year, at least 
15,700 students initially filled the form out in such a way 
that they would have been ineligible for financial aid for at 
least part of the academic year. Upon further review and 
revision of these applications, approximately 5,400 students 
were deemed ineligible for aid--34 percent of those originally 
deemed ineligible for aid.
    Therefore, the Committee believes that the Department of 
Education should immediately re-word the question on the FAFSA 
form in order to more accurately reflect the provision. The re-
worded question should include: a threshold question about 
whether the student has ever received student aid--if they have 
not, they cannot be disqualified because of a conviction; a 
clarification that a conviction for alcohol does not disqualify 
a student for federal aid; information incorporated from the 
FAFSA worksheet that helps to clarify the limitations on aid 
and notes that an applicant may be eligible for federal aid 
depending on the date of the conviction; and a request for 
students to submit the worksheet on convictions so that the 
Department can gather more accurate data or review these 
worksheets for any errors. Further, the eligibility/drug 
conviction worksheet should be changed to include information 
on how students can regain eligibility after being convicted of 
a drug offense.
            Data analysis on access to federal student aid for certain 
                    populations
    As Congress continues to examine the issue of drug-related 
student eligibility, it is critical to have full information 
about the impact of the provision. The Committee intends that 
the information collected, analyzed, and made available to the 
public under this section will provide an understanding of the 
demographic background of the students excluded from federal 
aid by the drug prohibition as well as the nature of the 
offenses underlying the exclusion. The information at a minimum 
shall include, but is not limited to, the total number of 
students affected and the numbers disaggregated by the 
following categories: family income, dependency status, age, 
zip code, gender, marital status, family size, highest level of 
education of mother, highest level of education of father; 
parental marital status, state of legal residence, grade level 
in school, degree or certificates sought, status as ward of the 
court, status of dependent children, veteran status, active 
military status, receipt of benefits from any of the federal 
benefit programs listed on the FAFSA, and WIC, whether denial 
was based on drug possession or sale, number of convictions for 
selling, number of convictions for possession, year of last 
conviction for selling, year of last conviction for possession, 
whether the student had attended an acceptable rehabilitation 
program, whether the student had completed two unannounced drug 
tests, and, if possible, whether the person was previously 
denied federal financial aid due to a drug conviction.
            Financial aid for students with intellectual disabilities
    The Committee acknowledges the unique challenges students 
with intellectual disabilities face in meeting the enrollment 
and coursework requirements for federal financial aid. The 
Committee authorizes eligibility for Pell grants, work-study 
programs, and Supplemental Educational Opportunity Grants for 
students with intellectual disabilities who meet the financial 
need criteria, even if they are enrolled in non-degree 
programs.
            Disability determination
    H.R. 4137 makes a subtle but powerful change to the 
parameters around total and permanent disability discharge 
provisions. The Higher Education Act has long provided for the 
discharge of a student's loan in the case of death and total 
and permanent disability. In 2000, the regulations surrounding 
the total and permanent disability discharge changed 
dramatically. New and additional burdens to students already 
facing very difficult life and health situations were added in 
an effort to stem perceived fraud and abuse. While the 
Committee agrees with enforcing standards to ensure that only 
those who are truly qualified receive such benefits, the 
accompanying requirements must also be reasonable. H.R. 4137 
provides that, if the Veterans Administration determines an 
individual is totally and permanently disabled, the Secretary 
of Education shall accept that determination for the purposes 
of title IV. The Committee believes that a balance can be 
achieved between providing for this discharge without 
unnecessary administrative burden on recipients and preventing 
fraud and abuse. The Committee believes that once an individual 
has met the burden of proof relating to disability for the 
purposes of the discharge of a student loan under rules 
established under another federal agency, there should be no 
need for an additional federal agency to revisit that 
determination.
            Veterans
    Veterans and active duty service members returning from war 
need additional support to be successful in post-secondary 
education. Many veterans face financial, academic, and social 
barriers to successfully completing postsecondary education. 
Coordinating veterans' health and education benefits with 
student financial aid is often challenging, resulting in some 
veterans forgoing benefits they have earned as a result of 
fulfilling their duty. Campuses are struggling to support 
veterans returning from Iraq and Afghanistan, many of whom are 
suffering mental and physical health challenges from their 
service in a war zone.
    The Committee has included several provisions in H.R. 4137 
to address the growing needs of veterans on campus. In the need 
analysis calculation for federal student assistance, H.R. 4137 
ensures fair treatment of veterans by clarifying the treatment 
of military housing and by crediting veterans' contributions to 
their Montgomery GI bill benefits.
            Information for students; campus safety
    The Committee is particularly concerned with the safety of 
students and personnel on our nation's campuses, not only in 
emergency situations but also on a daily basis. It is the 
intention of the Committee that the amendments made to this 
section will help protect students and personnel on campuses.
    Section 488(b) ``Criminal Offenses Reported,'' requires 
``degree granting institutions'' to add four crime categories 
to their regular Campus Crime Statistics reporting. The 
Committee believes that this change will facilitate uniformity 
in campus crime reporting to both the Department of Education 
and the FBI's Uniform Crime Reporting (UCR) Program, the 
voluntary national crime data collection program based on the 
submissions of more than 17,000 city, county, state, tribal, 
and federal law enforcement agencies. Each of the offense types 
required under this section is already an integral part of the 
FBI UCR crime data reporting program.
    To increase awareness of hate crimes on college campuses, 
the 1998 amendments to the Higher Education Act required all 
colleges and universities to collect and report hate crime 
statistics to the Office of Postsecondary Education (OPE) of 
the Department of Education. The Department of Education 
utilized the definition of hate crime developed by the FBI, but 
the criminal offenses required to be reported did not match the 
existing FBI crime categories. The current HEA crime category 
omissions have resulted in critical gaps in OPE data, as well 
as discrepancies and substantial inconsistencies between FBI 
and OPE hate crime statistics. The Committee believes that this 
provision will provide parents and students a more accurate 
sense of campus safety, by making the crime categories required 
to be reported to the Department of Education parallel those 
collected by the FBI's UCR Program and published in its annual 
publications, Crime in the United States and Hate Crime 
Statistics.
    Further, the Committee acknowledges the importance of 
informing the victim, or the next of kin in case of the 
victim's death, in specific instances of student misconduct at 
institutions of higher education. However, it also recognizes 
the need to maintain the protection and privacy of student 
educational records, as required under federal privacy laws. 
Therefore the Committee included in H.R. 4137 a requirement for 
institutions of higher education to disclose the final results 
of any disciplinary proceeding to an alleged victim of any 
crime of violence or non-forcible sex offense. This will ensure 
the institution carefully examines the complaint and if any 
action is taken that the victim, or victim's family, knows what 
action the institution took in regard to the crime and is 
informed while protecting student privacy. This provision will 
help institutions of higher education and victims work together 
toward greater safety on campus.
            Articulation agreements
    It is the intention of the Committee that states work in 
partnership with public institutions to develop comprehensive 
articulation agreements among such institutions by 2010. Such 
articulation agreements will help students transfer credits 
between institution and ensure a quicker and less expensive 
path to graduation. In particular, states are encouraged to 
develop agreements between community colleges and four-year 
institutions. The provisions included in H.R. 4137 are not 
intended to supersede the academic freedom of any institution, 
nor is it intended to require institutions to accept credits 
from another institution.
    The Committee notes that states have begun to implement 
such agreements, and have employed best practices including 
common course numbering and general education core curriculum. 
While the Committee recognizes that all states have already 
taken some measures to employ articulation agreements among 
institutions, it is the intention that this language will 
encourage states to develop comprehensive agreements that 
employ best practices and ensure that students receive credit 
for courses taken.
    Accordingly, the Committee wishes to acknowledge the 
National Articulation and Transfer Network (NATN), which has 
been working to develop a nationally coordinated articulation 
and transfer network to increase the percentage of credits 
accepted in transfer and fully counted toward the degree or 
certificate completion requirements of undergraduate students. 
NATN is supported and sponsored by hundreds of institutions of 
higher education across the United States with Minority Serving 
Institutions being at the forefront of its current efforts. The 
Committee believes that NATN can become a national center of 
information for students and institutions to facilitate the 
enrollment, transfer, and full-credit articulation of students. 
The Committee encourages the institutions to work closely with 
NATN and its partner institutions and organizations to find 
ways to ease the transfer burden for postsecondary students.
            The ``90/10 Rule''
    The 90/10 rule was put into effect by the 1998 Higher 
Education Act Amendments (P.L. 105-244), replacing its 
predecessor, the 85/15 rule, which was authorized by the 1992 
Higher Education Act Amendments (P.L. 102-235).
    During the 1998 reauthorization process, Congress reduced 
the percentage of revenue that proprietary institutions had to 
obtain from non-title IV sources to a minimum of 10 percent. 
The Department of Education modified the definition of revenue 
and calculation of eligibility through regulations following 
the 1998 reauthorization.
    Recognizing that institutions should continue to 
demonstrate that they maintain non-federal funds, the Committee 
adopted a provision that retains the 90/10 rule but moves the 
requirement from an ``eligibility criterion'' in section 102 to 
a ``program participation'' criterion under the program 
participation agreement (PPA) currently in law.
    In addition to the move to the PPA, the language includes 
strict rules as to what may count in an institution's 10 
percent. As outlined in H.R. 4137, the following sources of 
funds currently count toward meeting the 10 percent 
requirement: funds paid out of pocket by students, or on behalf 
of students, to cover tuition and fees; school activities, such 
as a restaurant, required for students' education and training; 
non-federal grant aid received by students; federal and non-
federal job training funds used to pay a student's tuition and 
fees; section 529 pre-paid tuition and college savings plans 
used by a student to pay tuition and fees; private loans made 
to students by the school that are in repayment; and 
institutional scholarships from an outside source.
    The move to PPA removes the automatic termination of a 
school's eligibility for federal student aid after a single 
violation of the rule. To ensure proper oversight of this move, 
the Committee includes additional safeguards to balance the 
increased flexibility afforded to schools. These include 
increased sanctions for violating the rule two years in a row 
(schools will be banned from title IV program participation for 
three years in such cases) and increased monitoring and 
reporting requirements after violating the rule for one year. 
In addition to these safeguards, the Committee believes that 
there should be public disclosure of any school that violates 
the rule in any given year. Moreover, the bill requires that 
the Secretary annually report to the authorizing committees the 
result of the 90-10 calculation for each school, thereby 
allowing the Committee to monitor compliance and assess any 
unintended consequences.
    The Committee believes this is a carefully balanced 
approach toward easing the burden of the rule on schools while 
providing additional safeguards to protect students and the 
federal fiscal interest. The Committee urges the Secretary to 
use the information collected on the 90/10 calculation as an 
opportunity to assist the Congress in monitoring proprietary 
schools to ensure that the fraud and abuse of the federal 
student aid program that originally motivated the rule does not 
reoccur.
            Transfer of credit
    An increasing percentage of the student population will 
change institutions at least once prior to graduation according 
to a 2005 National Center for Education Statistics (NCES) study 
of bachelor's degree recipients in 1999-2000. With over half of 
the student population seeking information on transfer 
policies, the Committee believes it is vital that institutions 
provide students with clear, useful information explaining 
their policies related to college credit mobility.
    Accordingly, H.R. 4137 requires institutions to develop an 
understandable transfer of credit policy. The policy must 
include, at a minimum, any established criteria that an 
institution uses regarding the transfer of credit earned at 
another institution. The Committee believes that students need 
to be given specific information about not only what coursework 
may transfer, but also how the credits may be applied to the 
student's graduation requirements. Therefore, the Committee 
strongly encourages institutions to include within the transfer 
of credit policy any limit on the total number of credits that 
are able to transfer to that institution and any limit on the 
number of credits that will transfer to a particular major.
    In addition, H.R. 4137 requires institutions to include a 
list of the institutions with which they have established 
articulation agreements within the transfer of credit policy. 
According to the Congressional Research Service, every state in 
the union has some form of arrangement relating to articulation 
agreements among institutions of higher education. Thirty-six 
of the states actually passed legislation enacting their 
agreements. The Committee applauds the efforts of the states in 
working to develop these agreements. At the same time, the 
Committee encourages states and institutions of all types to 
work together and across state lines to provide flexibility to 
students that wish to transfer institutions.
            Advisory Committee on Student Financial Assistance
    The Advisory Committee on Student Financial Assistance 
(ACSFA) was established in 1986 with the goal of providing 
extensive knowledge and understanding of federal, state, and 
institutional programs of postsecondary student assistance; 
providing technical expertise with regard to systems of need 
analysis and application forms; and making recommendations that 
will result in the maintenance of access to postsecondary 
education for low- and middle income students. The Committee 
appreciates the services provided by ACSFA over the past 20 
years, however the services provided by ACSFA have become 
duplicative of those services provided by other entities 
including the Congressional Research Service (CRS), the 
Government Accountability Office (GAO), and other private non-
profit entities.
    The Committee believes that the Advisory Committee on 
Student Financial Assistance should not begin any new work, and 
aim to complete ongoing projects prior to the expiration of its 
authorization in 2011. The Committee further believes that the 
annual appropriation should be reduced to only the amount 
necessary to complete ongoing work and use such savings for the 
oversight and implementation of the new consumer protection 
requirements for lenders and institutions in title I of the 
Higher Education Act of 1965 (as amended by H.R. 4137).
            Preventing theft of intellectual property on college 
                    campuses
    College students often use their campus internet networks 
to download and share music, movies, and television programs. 
When they do it without the permission of the owner of the 
content, it is theft. This illegal file-sharing has exploded in 
recent years, and too much of it occurs on college campuses.
    Film, television, and music production companies invest 
their money and talent in creating entertainment products to 
generate revenues. Intellectual property theft has caused 
significant revenue losses within these industries--hurting 
jobs and workers' benefits.
    The challenge of addressing this issue was discussed at a 
Subcommittee on 21st Century Competitiveness hearing in the 
109th Congress on September 26, 2006. The hearing highlighted 
not only the problem on campuses but also the best practices 
that some institutions are utilizing. Cheryl Elzy, Dean of 
University Libraries and a federal copyright agent at Illinois 
State University, shared with the Committee that her school not 
only is seeking to slow piracy through technology--but changing 
behavior as well:

          Illegal downloading of music, videos, movies, and 
        games is a symptom. It is not the problem, nor is 
        technology the answer. The problem is changing 
        behavior, almost changing a culture. To that end, 
        Illinois State can have a significant impact on peer-
        to-peer behaviors in another, more important way. Our 
        teacher education graduates number in the top five in 
        the nation. Almost 1,000 new teachers walk out our 
        doors each year, and each teacher will influence the 
        lives of at least 20-30 children each year. If our 
        graduates can learn good Digital Citizen behaviors 
        while on campus, they will imprint that ethical and 
        legal perspective on perhaps 20,000 children annually.

    To assist institutions like Illinois State University in 
their efforts, the Committee includes language to provide 
grants to offer alternatives to illegal downloading and for 
those that want to explore innovative ways of stopping illegal 
downloading. Additionally, the Committee includes language that 
requires colleges and universities to: inform their students 
about the law and about campus policies on copyright 
infringement and illegal downloading; report their campus 
policies and their procedures for addressing violations; and to 
the extent practicable, develop a plan to deter illegal 
downloading and offer alternatives to it.
    The Committee notes that a number of misperceptions are 
being discussed in public forums regarding these provisions. Of 
significant importance to note is that no financial aid shall 
be taken away from colleges and students who engage in illegal 
file sharing. Additionally, the Committee wishes to clarify 
that the bill does not mandate the use of any particular 
alternative plan by colleges. Colleges and universities are 
simply required to report their campus policies on intellectual 
property theft, including their penalties, and to develop plans 
for addressing illegal file-sharing. Additionally, the 
Committee does not intend that such plans be submitted to the 
Secretary but does expect institutions to develop such plans, 
which may include plans already in existence or adopted by 
institutions. Further, the Committee expects the Secretary to 
closely monitor the implementation of this requirement.

Part H--Program integrity

            Accreditation
    The new language requiring accrediting agencies or 
associations to apply and enforce their standards in a manner 
that respects the missions of institutions of higher education, 
including religious missions, reflects Congress' belief that 
accredited institutions should be allowed to choose their own 
missions rather than having them imposed or regulated by 
accrediting bodies. In response to concerns raised by 
Representatives Robert C. Scott (D-VA) and Ruben Hinojosa (D-
TX) about whether the amendment would harm the ability of 
accreditors to enforce nondiscrimination provisions, the author 
of the amendment, Representative Timothy Walberg (R-MI), 
explained that the provision would not affect nondiscrimination 
provisions and instead would require accreditors to respect the 
missions of schools, including when the missions are religious.
    It is the intent of the Committee that this amendment does 
not change or alter current accreditation requirements, and the 
exemptions included in those requirements (such as those 
allowed by the American Bar Association and the American 
Psychological Association), for the enforcement of 
nondiscrimination provisions. The Committee also notes that 
this provision does not alter title VII of the Civil Rights Act 
of 1964, title IX of the Education Amendments of 1972 or other 
federal antidiscrimination statutes, which remain applicable to 
institutions of higher education to the same extent as before. 
The Department of Education shall not promulgate any 
regulations that provide any new exceptions to current 
nondiscrimination provisions.
    It is also the intent of the Committee that this amendment 
does not change or alter current accreditation requirements, 
and the exemptions included in those requirements, for training 
professionals in the practice of medicine and other health care 
professions.
    Additionally, the Committee accepted an amendment by 
Representative Robert Andrews (D-NJ) to strike language in the 
base bill and return to current law with respect to student 
learning outcomes, rather than allowing institutions of higher 
education to set the standards for student learning outcomes, 
as well as allowing institutions to measure themselves on the 
progress they have made in meeting those standards. The 
Committee intends to review this issue, taking into 
consideration the base bill, current law and other proposals 
for floor consideration of H.R. 4137.
            Auction Evaluation
    The College Cost Reduction and Access Act (PL 110-84) 
included a new loan auction pilot program for Parent PLUS 
loans. The Committee is interested in closely monitoring the 
loan auction program to ensure that it is effectively serving 
families and students in their pursuit of financing their 
higher education. To that end, the Committee includes language 
to require the Secretary of Education and the Secretary of the 
Treasury to jointly evaluate the loan auction program in 
consultation with the Office of Management and Budget, the 
Congressional Budget Office, and the Comptroller General.
    Of significant interest to the Committee is the extent of 
the savings generated through the pilot program compared to the 
cost the federal government would have incurred in operating 
the parent loan program under section 428B of the Higher 
Education Act of 1965 in the absence of the pilot program; the 
number of lenders that participate in the pilot program over 
time, and the extent to which the pilot program generates 
competition among lenders; the number and volume of loans made 
under the pilot in each state; the effect of the transition to 
and operation of the pilot program on the ability of lenders 
participating in the pilot program to originate loans 
efficiently; the ability of institutions of higher education 
participating in the pilot program to disburse loans 
efficiently through the program; the ability of parents to 
obtain loans made through the pilot program in a timely and 
efficient manner; the differential impact, if any, of the 
auction among the states, including between rural and non-rural 
states; the feasibility of using the mechanism piloted to 
operate the other programs under Part B of title IV of the 
Higher Education Act; and the feasibility of using other market 
mechanisms to operate the loan programs under part B of title 
IV of the Higher Education Act, including the sale of 
securities backed by federally-owned student loan assets 
originated by banks acting as agents of the federal government.
    In the interest of ensuring the program is operating to the 
benefit of students and families, the Committee requires the 
Secretary of Education and the Secretary of the Treasury to 
submit to the Committee a preliminary report by September 1, 
2010, an interim report by September 1, 2012, and a final 
report by September 1, 2013. It is the Committee's intent to 
closely monitor the auction and use opportunities in the future 
to hold oversight hearings, if necessary, to ensure proper 
implementation and availability of options to the consumer.

                    TITLE V--DEVELOPING INSTITUTIONS

    Hispanic-Serving Institutions (HSIs) play an important role 
in American higher education, particularly in their capacity to 
provide college access to underrepresented populations, and 
populations of students with limited financial means. The 
National Center for Education Statistics recently reported that 
despite representing only 9 percent of all institutions of 
higher education, Hispanic-Serving Institutions enrolled over 
50 percent of all Hispanic students in postsecondary education 
and 27 percent of all minority students enrolled in 
postsecondary education. HSIs receive federal funding under 
title V of the Higher Education Act to offer and increase the 
number of educational opportunities available to Hispanic and 
low-income students.
    The Committee believes that increasing the number of 
Hispanic students in graduate education is imperative to 
business, industry, medicine and education. During the May 2, 
2005 field hearing held by the Subcommittee on 21st Century 
Competitiveness entitled, ``Expanding Opportunities for 
Graduate Study at Hispanic Serving Institutions,'' Dr. Blandina 
Cardenas, President of the University of Texas--Pan American 
argued that:

          The students with master's degrees will be required 
        to lead a diverse workforce and create new products and 
        product delivery systems for a diverse national market 
        and for competitiveness in the global market. Hispanics 
        with doctoral degrees must be available in sufficient 
        numbers to serve the teaching and research needs of our 
        colleges and universities and research organizations in 
        the private and public sector. I believe that Hispanics 
        with post-baccalaureate preparation will bring 
        significant added value to the creative and problem-
        solving enterprise--not in spite of the less privileged 
        backgrounds, but because of it.

    Hispanics still lag well behind other groups in college-
going rates, retention and graduation rates and participation 
in graduate education. In 2003, data from the Department of 
Education show that 34 percent of non-Hispanic, white students 
over the age of 25 had completed four or more years of college, 
compared with 17.3 percent for non-Hispanic, African American 
students and 11.4 percent for Hispanic students.
    In 2005, Hispanic students received 5 percent of all 
masters degrees awarded in the U.S., compared to 66 percent for 
white students and 9 percent for African American students. In 
2004, the percentage of Hispanic students receiving doctoral 
degrees was three percent, compared to 58 percent for white 
students and 6 percent for African American students. The 
Committee believes these data illustrate the necessity of 
expanding graduate opportunities for Hispanic students and 
providing resources to the institutions that serve the majority 
of Hispanic students desiring a graduate degree.

                   TITLE VI--INTERNATIONAL EDUCATION

    In order to continue the nation's established leadership 
role in international affairs and the global economy, the need 
for students to become knowledgeable about international 
issues, other cultures, and foreign languages has become 
increasingly important. International education programs at the 
postsecondary level play a critical role in building and 
maintaining the nation's ability to supply expertise in foreign 
language, area and other international studies, including 
international business. America's interests and national 
security are inextricably tied to our knowledge and 
understanding of the rest of the world.
    Programs authorized under title VI of the Higher Education 
Act reflect the priority placed by the federal government on 
diplomacy, national security, and trade competitiveness by 
allowing for the study of international issues and cultures, as 
well as foreign languages at the postsecondary education level. 
Title VI builds an infrastructure to improve and maintain the 
nation's education capabilities in this regard, from outreach 
to K-12 through education at all postsecondary levels and 
advanced research, with emphasis on the less commonly-taught 
languages and areas of the world. Centers, programs and 
fellowships authorized under title VI serve the nation's 
national security interests in at least three ways: they 
produce new cadres of experts trained in foreign languages; 
they educate citizens about other cultures, international 
issues and foreign languages; and they provide a cumulative 
body of knowledge and research about such areas of study that 
provide expertise for government agencies, as well as for 
education, business and the non-profit sectors.
    Programs under title VI were established over forty years 
ago to address these objectives and have been reformed and 
reauthorized to better reflect the current international 
climate. The bill updates the findings and purposes of the 
programs under title VI to reflect the updated needs of our 
country, including increased Department of Education 
coordination with other federal agencies.

Coordination with elementary and secondary schools

    The knowledge of our nation's K-12 students about geography 
and international affairs has been documented to be below par 
compared to students in other industrialized countries. The 
Committee believes it is in the best interest of our nation to 
use the early years of a student's education as an opportunity 
to instill an interest in foreign languages and world affairs.
    Understanding the critical role of teacher preparation 
programs in this regard, H.R. 4137 includes language to ensure 
that colleges of education and teacher professional development 
programs can be included as partners in outreach grants and 
summer institute programs under title VI. By authorizing the 
Secretary to make grants to outreach and summer institute 
programs that involve partnerships with local educational 
agencies and public and private elementary and secondary 
schools, the Committee intends to enhance student academic 
achievement in foreign languages and knowledge of world 
regions.
    Additionally, by authorizing title VI centers and programs 
to widely disseminate materials for courses and materials for 
elementary and secondary schools, the Committee intends to 
promote and enhance international knowledge at all stages and 
levels of education.

Foreign language studies

    According to the National Research Council, a pervasive 
lack of knowledge by individuals in this country about foreign 
cultures and languages threatens the security of the United 
States, as well as its ability to compete in the global 
marketplace and produce an informed citizenry. The latest title 
VI-funded Modern Language Association survey of postsecondary 
foreign language enrollments indicates that although foreign 
language enrollments have increased significantly this decade, 
particularly in the less commonly taught languages, overall 
relative student enrollment is still below the 1965 level. At 
the K-12 level, data from the Department of Education indicate 
that only 44 percent of American high school students are 
enrolled in foreign language classes, and only 31 percent of 
American elementary schools even offer foreign languages. The 
National Research Council concluded that early language 
learning in elementary and secondary school is key to 
establishing a pipeline of students who can eventually reach a 
sufficient level of proficiency in foreign language and culture 
to meet national needs.
    H.R. 4137 therefore reinstates the eligibility of Foreign 
Language and Area Studies fellowships for undergraduates to 
encourage a concentration on foreign language and area studies 
earlier in students' postsecondary experiences. In addition, 
the title VI undergraduate international and foreign language 
studies program is amended to allow up to 10 percent of a grant 
to be used for undergraduate study abroad to promote foreign 
language fluency and knowledge of world regions. The Committee 
urges the Secretary to encourage the development of programs 
that stress the teaching of foreign languages for practical and 
professional use, including programs that promote foreign 
language education across the undergraduate curriculum. 
Further, the Committee includes language to require the 
Secretary to develop a marketing campaign aimed at encouraging 
the study of foreign languages.
    Additionally, the Committee recognizes that students, who 
study abroad for the enhancement of foreign language knowledge 
and proficiency, as well as the study of world regions, may 
travel to areas or regions in conflict or unrest. The Committee 
encourages institutions of higher education to take into 
consideration safety policies and procedures for students 
participating in any study abroad program funded under title 
VI.

International business education

    The Committee believes that international business 
education programs reauthorized by H.R. 4137 under title VI of 
the Higher Education Act play a unique and important role in 
our overall international education efforts. These programs 
have proven to be an integral part of many postsecondary 
institutions' efforts to develop international education 
initiatives. There are currently 31 Centers for International 
Business Education & Research (CIBERs), authorized under title 
VI that aim to expand the sphere of teaching, research, and 
outreach undertaken on their campuses and in their communities 
in the area of international business development. Each of the 
CIBER centers has at its core the goal of increasing 
international competitiveness, business language acumen, global 
trade expertise, and area studies competency. Programs are 
intended for undergraduate, graduate and Ph.D. students within 
colleges of business as well as elsewhere on campus; to faculty 
from throughout the university and to other institutions of 
higher education; and to executives and professionals within 
business communities. The Committee additionally includes 
language to encourage cooperation in the areas of software 
development with Asian countries, including Taiwan.

Science and technology advanced foreign language education grant 
        program

    One of the serious challenges facing our nation today is 
the absence of individuals who are fluent in a foreign language 
and have a background in science and technology. There are few 
Americans who can understand technical documents--including 
research studies or scientific papers--that are written in 
foreign languages. The Committee believes that, if our country 
is to stay competitive with the emerging economies in Asia, 
Central and South America, and Africa, this must change. To 
meet this goal, the Committee includes language to support 
programs with curricula that combine studying science and 
technology in a foreign language. This language specifically 
provides for grants to institutions to create immersion 
programs where students take science or technology-related 
course work taught completely in foreign languages.
    The Committee believes that in order to stay current with 
innovations in science, mathematics, and technology, more 
professionals in these fields will also have to be proficient 
in a foreign language. It is only with the knowledge of 
technical terms in foreign language classes--words and phrases 
not taught in the average high school or college language 
class--that America can stay technologically and economically 
competitive.

Reporting requirements of Title VI grantees

    The Committee includes language in the bill to require 
institutions of higher education that are title VI recipients 
to report gifts received by the institution that are intended 
for use directly or indirectly by a title VI center or program. 
Institutions of higher education with title VI grants also 
receive donations from the private sector, both of which 
contribute to the programs' ability to function. Publicly-
reported data on sources of private contributions that are 
combined with public dollars will create a more open process 
and enable taxpayers to better monitor government spending 
without creating any new bureaucracy.

                    TITLE VII--TITLE VII AMENDMENTS

    It is becoming more critical to obtain an advanced 
education in order to remain a technologically advanced economy 
and retain our international competitiveness in critical 
fields, including science, technology, engineering, and 
mathematics. Furthermore, our nation is facing shortages in key 
areas, including nursing.

Graduate Assistance in Areas of National Need (GAANN)

    Graduate programs, while important for their role in higher 
education, also play an essential, yet often overlooked role in 
K-12 education. For example, graduate programs provide the 
education and training necessary for individuals to become 
faculty at institutions of higher education who, in turn, train 
the elementary and secondary teachers of tomorrow. In order to 
ensure the nation's children receive the best education 
possible, the Committee includes language to ensure that the 
faculties in our teacher colleges are prepared to meet this 
challenge.
    To achieve improved training of teachers, H.R. 4137 
requires that the Secretary establish a competitive priority 
for grants under the GAANN program in order to prepare 
individuals for the professoriate who are committed to training 
highly qualified elementary and secondary school teachers of 
mathematics and science. The Committee encourages the Secretary 
to provide priority to departments that engage in such 
activities, and encourages the Secretary to include departments 
of mathematics and sciences, as well as departments of 
engineering, as departments that may provide such activities.
    Further, H.R. 4137 requires the Secretary to establish a 
competitive priority for grants under the GAANN program in 
order to prepare individuals for the professoriate who are 
committed to training highly-qualified elementary and secondary 
school teachers who can effectively teach students with 
disabilities or students with limited English proficiency. The 
critical shortage of special education faculty in higher 
education is a major factor in the shortage of K-12 special 
education teachers. In the last two decades the number of 
special education doctorates has decreased by 30 percent. In 
2006, only 205 people received doctorates in special education. 
Every year, 30 percent of faculty vacancies go unfilled. The 
special education faculty shortage also curtails the capacity 
of higher education to prepare general education teachers who 
are skilled in working with special education students. This 
priority will help to increase the capacity of higher education 
to prepare highly-qualified general and special education 
teachers, as well as teachers prepared to teach students with 
limited English proficiency.
    Language included in the bill offers GAANN awards to 
students who are studying in areas that have current and future 
professional workforce needs. The Committee expects that 
nursing and nurse faculty will be included in this category. 
Results from the most recent National Sample Survey of 
Registered Nurses conducted by the Health Resources and 
Services Administration show that only 13 percent of RNs hold a 
master's or doctoral degree. According to American Association 
of Colleges of Nursing, graduation rates from research-focused 
doctoral nursing programs increased by only 1.4 percent, or six 
graduates, between the 2005-2006 and 2006-2007 academic years.

Patsy T. Mink Fellowship Program

    Patsy T. Mink Fellowships will help address the shortage of 
minority and women collegiate faculty. Currently, minorities 
make up less than 20 percent of all collegiate faculty. 
Further, although women make up 39 percent of full-time 
collegiate faculty, they tend to be concentrated in less-senior 
instructional positions and at two-year institutions, as 
opposed to research universities. This program will authorize 
fellowships for doctoral and terminal master's degree study for 
students interested in obtaining a doctorate, or other terminal 
degree, with a specified service requirement to teach at 
degree-granting institutions of higher education after 
graduation. Appropriately named in honor of former 
Congresswoman Patsy Mink (D-HI), a primary force behind the 
passage of title IX, the fellowships would be targeted at 
minorities and women to help diversify the higher education 
professoriate.

Fund for the Improvement of Postsecondary Education (FIPSE)

    Recognizing the growing needs of postsecondary education, 
H.R. 4137 makes a number of changes to the Fund for the 
Improvement of Postsecondary Education (FIPSE). It is the 
intention of the Committee that the projects and programs 
funded under this section not only aid the funded institution 
of higher education, but that these programs will serve as 
models and best practices in order to improve the access and 
affordability for students at all institutions of higher 
education.
    The Committee recognizes the great service of our nation's 
veterans and their families. For that reason, in H.R. 4137, new 
authority is provided to help provide a scholarship program for 
veteran students and their families. The Committee particularly 
recognizes the work of Thanks USA, a non-profit organization 
already providing this service.
    In response to the numerous institutions of higher 
education that are establishing programs to collaborate with 
private and civic organizations to resolve pressing and severe 
community problems, FIPSE includes a new ``national need'' 
designation that permits grantees to use funds to support the 
development of coordinated curriculum and internship 
opportunities for students in disadvantaged communities. The 
Committee understands that some universities, such as the 
Shepherd Program at Washington and Lee University, are working 
to coordinate and expand programs to study poverty and its 
impact on communities. The Committee encourages the Department 
to identify other such programs for the purposes of awarding 
funds in order to assist disadvantaged communities in meeting 
this important national need.
    In 2000, Congress unanimously passed a concurrent 
resolution (S. Con. Res. 129) stating, in part, that ``the 
historical illiteracy of America's college and university 
graduates is a serious problem--reflecting a failure to impart 
to students a basic understanding of the history, ideals, 
documents and institutions that have formed the nation.'' In 
response to this concern, H.R. 4137 includes an important 
amendment to the FIPSE program. Specifically, language was 
added identifying the expansion of academic programs focused on 
traditional American history as an area of ``national need.'' 
It is the intent of the Committee that this authority be used 
for reinvigorating majors and graduate programs in these 
fields, thus creating a new pipeline for producing the scholars 
and teachers needed to staff these fields at the graduate and 
undergraduate levels and in teacher training programs.
    During this reauthorization, the Committee feels strongly 
that the importance of graduate education overall should not be 
overlooked. Dr. Earl Lewis, Dean of the Rackham Graduate 
School, Vice Provost for Academic Affairs for Graduate Studies, 
and Professor of History at the University of Michigan 
expressed his support for graduate education programs before 
the Subcommittee on Select Education in 2003:

          Graduate education prepares the scientists and 
        engineers needed by industry, government, and 
        universities to conduct the nation's research and 
        development. Graduate programs also educate the 
        scholars in the humanities, social sciences, and the 
        arts who preserve and enlarge our understanding of the 
        history and scope of human thought and the human 
        condition, and transmit that knowledge to succeeding 
        generations. Moreover, graduate programs at our 
        nation's universities generate new knowledge and act as 
        incubators of innovative ideas that drive new 
        technologies and create new ways to address societal, 
        health, security, and economic needs and challenges.

    As Congress continues its work on the reauthorization of 
the Higher Education Act, it must continue to build on the 
demonstrated success of these valuable graduate programs. These 
programs, and the amendments made within H.R. 4137, will 
prepare the next generation of scientists, scholars and 
teachers and ensure the support and effectiveness of these 
programs.

Urban-serving research institutions

    Our nation's cities play an important role in America's 
national prosperity, driving innovation and economic growth by 
employing many highly-skilled workers and containing clusters 
of related firms and industries. However, urban areas face many 
challenges unique to cities. Urban secondary schools experience 
a higher drop-out rate than the national average and urban 
elementary and secondary students typically score below state 
and national averages on academic performance exams. Urban 
schools often encounter teacher shortages in high need subject 
areas such as mathematics and science. Particular neighborhoods 
are stricken with poverty and struggle to attract businesses 
and services. A greater percentage of their citizens are 
uninsured or underinsured.
    As anchors for our nation's cities, urban research 
universities are uniquely positioned with a broad range of 
skills and resources--intellectual, human, technological, and 
social to engage in these urban challenges. Serving as an 
essential part of the education pipeline by enrolling large 
numbers of students from local school districts and 
specifically training them to be educators in urban areas, 
urban research universities are economic drivers, as they serve 
as prominent employers, real estate developers, and business 
innovators in their cities. The community engagement by urban 
research universities not only provides a valuable service to 
the cities, but also enables these institutions to improve 
their own core knowledge and expertise that leads to further 
theories, discoveries, and advances for our nation.
    H.R. 4137 updates the Urban Community Service program to 
authorize competitive grants for urban research universities to 
expand their capacity to develop initiatives geared toward 
improving the communities in which they are located. This 
updated program will help to address the unique challenges of 
our nation's urban communities by: enhancing teacher quality 
and college and workforce readiness (especially in the fields 
of science, technology, engineering, and mathematics); 
revitalizing the economies of local neighborhoods; and reducing 
the incidences of urban chronic diseases and health 
disparities. The Committee believes that supporting urban 
institutions of higher education in research and programmatic 
initiatives will help to address these challenges, bolster our 
nation's economic competitiveness, and make our cities better 
places to live.

Expanding access for students with disabilities

    The Committee believes that it is important to examine 
postsecondary educational opportunities for students with 
disabilities and encourage improved enrollment, retention and 
completion rates for these students. Data reveal that there are 
low numbers of students with disabilities succeeding in 
college; only 12 percent of individuals with disabilities have 
graduated from college (as compared to 27 percent of non-
disabled individuals). The number of individuals with 
disabilities in the workforce is also of great concern to the 
Committee; according to the 2005 Annual Disability Status 
Report, the employment rate of working-age people with 
disabilities was 37.9 percent compared to 77.6 percent for 
working-age people without disabilities. To address the need 
for improved education and employment outcomes for individuals 
with disabilities, the bill establishes a National Center for 
Information and Technological Support for postsecondary 
students with disabilities. The Center will support the 
dissemination of best practices, provide information to 
students and families on higher education opportunities for 
students with disabilities, and review and report on the 
current condition of postsecondary success for these students.
    Additionally, the Committee also provides for a study by 
the GAO on barriers and opportunities in higher education for 
students with disabilities to inform future efforts to address 
the unique challenges students with disabilities in higher 
education face.
    The Committee also expands the allowable activities of the 
Projects to Ensure Students with Disabilities Receive a Quality 
Higher Education, including development and dissemination of 
strategies for successful transition to the post-secondary 
education environment from high school; development of 
accessible distance learning efforts; and improvements in 
curriculum development including an emphasis on universal 
design for learning, and accessible instructional materials. 
H.R. 4137 requires the Secretary of Education to review and 
disseminate a report of the program activities funded under 
this section to provide guidance and recommendations to all 
institutions of higher education on how successful programs can 
be replicated.

Students with intellectual disabilities

    The Committee recognizes that students with intellectual 
disabilities often face tremendous barriers to participation in 
higher education, including difficulties in enrolling in 
postsecondary programs prepared to meet their unique support 
needs. Despite these challenges, the number of students with 
intellectual disabilities who are seeking to enroll in 
postsecondary programs is increasing, and there is a need to 
expand the number of college- and university-based programs 
prepared to teach and support this population of students. 
Currently, only about 100 programs are available for students 
with significant cognitive disabilities across the country. A 
number of institutions have expressed an interest in developing 
such initiatives, but require appropriate financial and 
technical support to do so.
    Accordingly, the Committee has authorized the Secretary to 
award grants to institutions of higher education to create and 
expand high-quality, comprehensive transition and postsecondary 
programs for students with intellectual disabilities. It is the 
intent of the Committee that such programs provide individual 
supports and services for the academic and social inclusion of 
students in all aspects of campus life, and focus on academic 
enrichment, socialization, independent living skills, and 
integrated work experiences and career skills that lead to 
gainful employment. The Committee also authorizes the 
establishment of a coordinating center that will help 
institutions of higher education improve existing programs for 
students with intellectual disabilities, facilitate the 
development of new programs, and ensure that all such programs 
are high-quality.
    The Committee believes these measures will result in 
increasing numbers of students with intellectual disabilities 
succeeding in higher education, as well as an increase in the 
number of students with intellectual disabilities participating 
in the workforce.

Accessibility of instructional materials

    The Committee recognizes that a key component of equal 
access to higher education for students with disabilities is 
timely access to instructional materials in accessible formats. 
The Committee also acknowledges that within the higher 
education system, the needs of students, institutions, 
publishers, and providers of materials in specialized formats 
are different than those in the elementary and secondary 
education system. In order to improve the delivery and the 
quality of postsecondary materials to students, the Committee 
directs the Secretary of Education to establish an advisory 
commission to study the barriers, systemic issues and technical 
solutions available to improve the efficiency, delivery, and 
quality of such materials. The Advisory Commission on 
Accessible Instructional Materials in Postsecondary Education 
for Students with Disabilities will consist of a broad cross-
section of stakeholders, including strong consumer 
representation, will review existing systems as well as 
emerging technologies, and will report their findings and 
recommendations to the Secretary and Congress not later than 
twenty-four months after their first meeting.
    The Committee acknowledges that in the absence of a 
coordinated national system to facilitate the provision of 
accessible instructional materials to postsecondary students 
with disabilities, some institutions of higher education and 
consortia of institutions have considered or implemented local, 
state and regional approaches. To encourage the further 
development of such systems, the Committee authorizes grants 
for model demonstration programs to be awarded to partnerships 
that include colleges and/or universities and entities with 
demonstrated experience in the creation of accessible 
instructional materials, which may include publishers. These 
programs will support the development and implementation of 
activities throughout the process, including the identification 
of students in need of specialized materials, systems for 
requesting materials, acquiring materials in a timely manner, 
procedures to protect against copyright infringement, and 
outreach and training for students, faculty and staff. Should 
the model programs prove effective in improving such systems, 
the Committee authorizes the Secretary to expand the model 
program.
    It is the Committee's hope that the advisory commission and 
the model demonstration projects will lead to comprehensive 
improvements in the timely delivery of quality accessible 
instructional materials for students with disabilities.

Nursing education

    The Committee recognizes that our nation continues to face 
a nursing shortage unprecedented in its depth and duration. 
Unfortunately, this crisis is expected to worsen in the coming 
years, as the Health Resources and Services Administration 
(HRSA) projects that the nation's nursing shortage will grow to 
more than one million nurses by the year 2020.
    Constraints in our nation's nursing education system are 
inhibiting the ability to increase the number of practicing 
nurses to the levels needed to end the shortage. According to 
the American Association of Colleges of Nursing's 2006-2007 
annual survey, schools of nursing turned away 42,866 qualified 
applications to baccalaureate and graduate programs due to an 
insufficient number of faculty, admission seats, clinical 
sites, classroom space, clinical preceptors, and budget 
constraints.
    The Committee believes that the nursing program included in 
the bill will dramatically help our nursing education system 
prepare the next generation of nurses by supporting the faculty 
who prepare and teach them.
    As a companion to this program, the Committee also includes 
capitation grants which have historical legislative roots in 
Congress. From 1971 to 1978, Congress provided Capitation 
Grants to schools of nursing in support of nursing education. 
The March 2002 HRSA Tenth Report to Congress on Health 
Personnel in the United States recommended Capitation Grants 
funding as a strategy to expand the nursing workforce pipeline. 
The Committee believes that Capitation Grants are a feasible 
solution based on historical success to help address the 
national nursing and nurse faculty shortage.
    The Committee also includes language for demonstration 
grants to develop partnerships between health care institutions 
and accredited schools of nursing, allowing them to retain 
their cadre of qualified nurses while providing a mechanism for 
these individuals to become faculty through graduate nursing 
programs. Without additional nurse faculty to teach new nurses, 
the nursing shortage will continue and further jeopardize the 
safety and quality of health care provided to our nation.
    The provisions in title VII are supported by other titles, 
including language in title IV, providing loan forgiveness for 
nurses that agree to work full-time in a clinical setting or as 
a faculty member of an accredited nursing school. Budget 
constraints, an aging faculty, and increasing job competition 
have contributed to a significant shortage of nursing faculty. 
Loan forgiveness will provide needed relief and an additional 
incentive to enter into and remain in the profession.

                    TITLE VIII--ADDITIONAL PROGRAMS

Incentives and rewards for low tuition

    Obtaining a college degree is the cornerstone of the 
American dream. However, the unfortunate reality is that paying 
for a college education has been and continues to be an 
exceedingly difficult proposition in this country. In the past 
year alone, tuition has increased an average of 6.6 percent at 
four-year public institutions, 6.3 percent at four-year private 
institutions, and 4.2 percent at two-year public institutions. 
These increases have a real impact and result in lost 
opportunities for students all over this country.
    Every year, according to the Advisory Committee on Student 
Financial Assistance, some 200,000 students do not go to 
college in America solely because they are unable to pay for 
it. Meanwhile, nearly two-thirds of students who enroll in 
four-year colleges borrow to pay for it. The typical student 
now graduates with $17,500 in total federal student loan debt--
a figure amounting to nearly 45 percent more debt than just 
eleven years ago.
    This debt appears to be having a profound effect on the 
lives and choices of borrowers. For instance, one report by 
U.S. PIRG noted that student loan debt caused 14 percent of 
young graduates to delay marriage; 30 percent to hold off on 
buying a car; 21 percent to postpone having children; and 38 
percent to delay buying a home. High debt payments may also 
force graduates to change professions or only seek jobs in a 
certain salary range.
    The Committee believes that the funds authorized in this 
part will encourage institutions of higher education to contain 
growing costs by rewarding low tuitions, encouraging the use of 
innovative cost strategies, and rewarding institutions where it 
matters most, by providing increased need-based aid to 
students.

Cooperative education

    The purpose of cooperative education is to give college 
students work experience related to their academic objectives 
while helping them earn money to pay for college. Until 1995, 
cooperative education served as title VIII of the Higher 
Education Act. During this time, it provided $20 million 
dollars to over 1,000 schools to help establish cooperative 
education programs. These programs helped over 250,000 students 
gain both work experience and money for college.
    With the typical student borrower now graduating with 
$17,500 in debt and many more working long hours in order to 
pay for college, the Committee believes that cooperative 
education provides an alternative for students who want to earn 
extra money and parlay their education into successful 
employment.

Student Success Grants

    Student Success Grants will address the investment in 
college access to success by providing students with resources 
to adjust to college, develop plans for success, and graduate 
on time. Grants will go to colleges and universities where 50 
percent or more of the student population tests into remedial 
education. Eligible institutions will receive a $1,500 grant 
for every Pell recipient to establish a network of intensive 
support services that will ensure students stay in school and 
complete coursework. Activities may include intensive 
counseling by Student Success Coordinators, college and career 
success courses, blended or accelerated remediation classes, 
work-study jobs with private employers, instructional support, 
or learning communities that cluster students for the first two 
courses of college. The Committee intends Student Success 
Grants to empower institutions of higher education to identify 
the most effective policies and practices for helping at-risk 
students earn postsecondary degrees. Further, the Committee 
intends for the grants awarded to focus on the students who 
need assistance the most and will provide policymakers with 
research to strike an effective balance between access and 
success.

Jobs to careers

    In order to increase the number of individuals completing 
occupational credentials individuals who will help ensure our 
workforce remains competitive and be able to earn family-
supporting wages--our colleges must increase the number of 
students who transition successfully from developmental to for-
credit occupational courses. According to the National Center 
for Educational Statistics, about 28 percent of all 
undergraduates, and 42 percent of those at two-year public 
colleges, participate in remedial coursework to improve their 
reading, writing, and math skills. As high as these numbers 
are, they are just ``snapshots'' of developmental education 
enrollments at a single point in time. Longitudinal research 
reveals that they underestimate the true extent of remediation 
needs. Research that tracked a cohort of first-time community 
college students through their twenties found that ultimately 
over 61 percent enrolled in at least one remedial course.\12\ 
Lengthy participation in remediation poses a number of 
problems. Just 30 percent of first-time undergraduates 
enrolling in remedial reading courses completed a certificate 
or degree within eight years of leaving high school, compared 
with 69 percent of those not needing any remediation.\13\ For 
working adults who need to complete coursework quickly because 
of competing family and work demands, developmental education 
can take too long and seem disconnected from their career 
goals.
---------------------------------------------------------------------------
    \12\Adelman, C. Principal Indicators of Student Academic Histories 
in Postsecondary Education, 1972-2000. U.S. Department of Education, 
Institute of Education Sciences. 2004.
    \13\U.S. Department of Education. ``The Condition of Education, 
2004.'' Indicator 18. http://nces.ed.gov/programs/coe/2004/section3/
indicator18.asp
---------------------------------------------------------------------------
    The Committee intends these grants to help students persist 
and earn credentials. Specifically, H.R. 4137 provides 
authorization for grants to institutions serving especially 
high numbers of students needing developmental education for 
purposes of creating bridge programs that customize 
developmental education curricula, including English language 
instruction where applicable, to the content of the certificate 
or degree programs or clusters of programs in which 
developmental education students seek to enroll. In addition, 
the grants will provide funding to colleges interested in 
implementing best practice innovations in developmental 
education, such as implementing cohorts and learning 
communities and developing accelerated developmental 
coursework.

Project GRAD

    The Committee recognizes the importance of programs like 
Project GRAD, a national nonprofit education reform model that 
currently serves 121,000 economically disadvantaged youth in 
211 schools across the nation. Project GRAD uses a feeder 
pattern, providing students a consistent set of academic 
programming from Pre-K through grade 12 so high schools are 
receiving well trained elementary and middle school students. 
H.R. 4137 authorizes the Secretary to award grants for such 
activities.
    Project GRAD has a proven track record nationwide in 
increasing high school graduation and college attendance rates 
for low-income students. Project GRAD schools outperform 
comparison schools on nationally-normed achievement tests, and 
Project GRAD students are significantly more college ready than 
their peers. In the longest-served group of schools, Project 
GRAD students are completing college at a rate 70 percent above 
the national average for students from similar low-income 
backgrounds. Project GRAD has made college scholarships 
available to over 6,000 students and has an additional 15,700 
high school students in the scholarship pipeline, making it one 
of the country's largest college access organizations for low-
income students.

Diploma mills

    Diploma mills have proliferated in recent decades due to 
inconsistent law enforcement and technological advances. 
Diploma mills take many different forms, but often share common 
characteristics, including the lack of accreditation or false 
claims of accreditation; no previous academic records required 
for admission; charging tuition based on the number of degrees 
purchased rather than the number of credit hours or courses 
taken; lack of a physical permanent address in the United 
States; and names that are very similar to legitimate 
accredited institutions of higher education. It is estimated 
that several hundred diploma mills are operating at any given 
time, with revenues estimated to total more than $500 million 
each year.
    In 2004, a GAO investigation revealed weaknesses in the 
Department of Education's administration of the student loan 
programs for higher education, including the possibility that a 
diploma mill could participate in the Federal Family Education 
Loan Program (FFELP) under title IV of the Higher Education Act 
of 1965.
    In addition, the 2004 GAO investigation examined the 
credentials of a sampling of federal employees, and revealed 
that, of the federal employees selected for the examination, 
463 federal employees held degrees from diploma mills and other 
unaccredited universities, including twelve employees for the 
Department of Homeland Security, 13 for the Department of 
Justice, and twenty-nine for the United States Postal Service. 
The investigation also found that federal agencies have paid 
more than $150,000 in tuition payments to diploma mills and 
other unaccredited universities on behalf of federal employees.
    The Committee recognizes that the vast majority of 
regulation of education in the United States is, in general, a 
state responsibility, and the development and regulation of 
academic standards in higher education is the responsibility of 
institutions of higher education. Through H.R. 4137, the 
Committee recommends the adoption of uniform standards to 
determine, for federal purposes, the legitimacy of degrees, 
diplomas, certificates, and degree-granting institutions.

Student safety and campus emergency management

    The Committee recognizes the need for parents and students 
to feel as safe as possible when attending institutions of 
higher education. Recent events such as the campus shootings at 
Virginia Tech and Hurricanes Katrina and Rita highlight the 
critical role colleges and universities have in protecting 
students from safety and security risks. The Committee believes 
the federal government has an interest in providing support and 
guidance to schools in efforts to keep students safe and 
prevent future tragedies. Time is of the essence during an 
emergency, as Virginia Tech tragically pointed out, and the 
bill improves current law by adding an emergency notification 
system for the college community with specific requirements. 
The Committee believes it is the federal government's role, in 
partnership with states, local communities, and institutions of 
higher education, to support prevention of future tragedies. To 
that end, H.R. 4137 authorizes a new grant program for 
institutions of higher education to develop and improve their 
campus safety and emergency response systems. Grant funds may 
be used to develop and implement emergency communications 
systems, for security assessments, for training of security 
personnel, and to coordinate mental health crisis response and 
intervention services for students enrolled in the institution 
of higher education affected by a campus or community 
emergency. The bill also requires institutions of higher 
education annually to publish a fire safety report on on-campus 
student housing, and to submit such information to the 
Secretary on an annual basis.
            Education Disaster and Emergency Relief Loan Program
    In 2005, Hurricanes Katrina and Rita had a devastating 
effect on the universities and colleges located in the Gulf 
region, displacing 83,821 students and causing, for the first 
time in history, the closure of the eleven colleges and 
universities in New Orleans for a full semester and ten more in 
other parts of Louisiana, Mississippi, Texas and Florida for an 
extended period of time. Damages and property losses to New 
Orleans area institutions alone exceeded $1 billion and nearly 
$2 billion in total damages to colleges and universities across 
the Gulf Coast region.
    Understanding their essential role in the sustainability of 
their surrounding communities, the affected schools in the Gulf 
Coast acted quickly to rebuild their campuses in order to 
maintain their educational purpose. Many schools found 
challenges in rebuilding due to insurance company policies that 
did not give schools upfront financial assistance for repairs. 
Some of the schools with few accessible funds were forced to 
make a few repairs, and then wait for reimbursement before 
additional repairs could be made. In addition to wasting 
significant time, these schools also suffered because they were 
unable to save money by contracting for the total renovations, 
and instead had to pay more for sequential smaller jobs. Other 
schools obtained loans from private lenders, with high interest 
rates, in order to make the repairs.
    It is the intent of the Committee that the loan program 
created under H.R. 4137 should provide low interest loans to 
schools that have suffered a loss as a result of a federally 
declared major disaster or emergency, so that they can pay for 
repairs efficiently. Further, the Secretary should make loans 
at the lowest interest rates possible, and funds from this 
program should also be used to assist institutions affected by 
the Gulf Coast hurricanes in 2005.
    The intent of this Education Disaster Loan program is not 
to replace FEMA assistance or insurance recovery efforts; 
rather it is to provide a bridge loan for institutions of 
higher education immediately following a disaster. This loan 
will assist greatly in economic recovery, faculty and staff 
assistance as well as construction recovery that is not 
duplicated by FEMA or insurance coverage.
    The Committee hopes that should institutions of higher 
education have to endure disaster recovery efforts, such as the 
Gulf Coast institutions, that this loan program will be in 
place and will shorten the recovery time not only for the 
higher education institution(s), but for that of the whole 
community. It is assumed that funds for such loans would best 
be appropriated from Emergency Supplemental funds following a 
federal disaster declaration.

Rural development grants for rural colleges and universities

    Approximately half a million students graduate from high 
school in rural America each year and nearly 30 percent of all 
public four-year colleges and universities are located in rural 
areas. However, college enrollment rates for both eighteen to 
twenty-four year olds and twenty-five to twenty-nine year olds 
were generally lower in rural areas than in all other locales 
in 2004. (NCES, 2007) It is the intent of the Committee that 
this program will help target rural secondary students and make 
them aware of their postsecondary options in both community 
colleges and four-year institutions. This is often a challenge 
due to the geographic isolation of rural high schools and their 
proximity to institutions of higher education. By encouraging 
rural students to attend postsecondary institutions and 
community college students to consider entering a four-year 
institution, these grants will promote economic growth and 
development in rural America.
    It is the further intention of the Committee that the 
grants awarded under this part encourage the development of 
training programs for professions in shortage in rural areas, 
and create employment pipelines to those occupations through 
partnerships with these same colleges.

Training for realtime writers

    The Realtime Writers Act establishes competitive grants for 
the recruitment and training of students to help deal with the 
shortage of providers for closed captioning access for the over 
30 million deaf and hard-of-hearing Americans that rely on this 
technology to get their information. The inclusion of this 
provision in H.R. 4137 complements previous efforts undertaken 
by Congress in the Telecommunications Act of 1996 and the 
Americans with Disabilities Act of 1990, which mandated full 
captioning to provide access for the hearing impaired 
community. By 2006, all television programming was expected to 
be captioned; but that has not occurred. This program helps to 
build the workforce necessary to provide captioners for decades 
to come and helps Congress keep its promise to the deaf and 
hard-of-hearing community.

Centers of Excellence for Veteran Student Success

    H.R. 4137 strengthens support for military veteran students 
by establishing Centers of Excellence for Veteran Student 
Success to establish model programs to support veteran students 
on campus by coordinating services to address the academic, 
financial, physical and social needs of veteran students so 
that they successfully enroll persist and complete 
postsecondary education programs.

Modeling and Simulation Programs

    The Committee believes that the Modeling and Simulation 
Grant Program is critical to ensuring that the United States 
remains competitive in the rapidly expanding field of study 
related to the application of computer science and mathematics 
to develop a level of understanding of the interaction of the 
parts of a system and of a system as a whole. For example, 
modeling and simulation technology can assess a city's 
evacuation plan or traffic congestion through advanced computer 
models and simulations. Many government agencies use modeling 
and simulation technology, including the United States 
Department of Defense and the United States Department of 
Homeland Security, which uses the technology to train the 
military and emergency responders for operational scenarios. 
Currently, a limited number of institutions of higher education 
have modeling and simulation programs, including undergraduate 
and graduate degree programs. This competitive grant program 
will provide a critical source of funding for colleges and 
universities that want to expand and improve their Modeling and 
Simulation programs and provide seed money for colleges and 
universities that do not have an established program.

Business workforce partnerships

    The Committee adopted an amendment offered by 
Representatives Jason Altmire (D-PA) and Lynn Woolsey (D-CA) to 
create Business and Workforce Partnerships. Earnings and 
employment are strongly linked to educational attainment. 
Between 2001 and 2004, twenty-four of the thirty fastest-
growing occupations were predicted to be filled by people with 
postsecondary education or training (either a vocational 
certificate or a degree). Yet 42 percent of our current 
workforce--adults between the ages of twenty-five and forty-
five--only have a high school diploma or GED.\14\
---------------------------------------------------------------------------
    \14\D.E. Hecker, ``Occupational Employment Projections to 2014,'' 
Monthly Labor Review, 128 No. 11 (2005).
---------------------------------------------------------------------------
    Employers in particular sectors and regions already face 
skill shortages, a fact that has profound implications for our 
country's ability to increase economic productivity and for 
workers' ability to earn enough to support their families. 
Colleges often lack the funds to start up new, credit-bearing 
programs that can respond to business workforce needs because 
state funding and federal financial aid typically only flow 
after students are enrolled in programs. College workforce 
offerings are often created instead on the noncredit training 
side of the college--but this limits access to these programs 
since they are not eligible for financial aid and limits the 
ability of workers to earn credits that ultimately will lead to 
a degree. In addition, the workforce, education, and social 
service systems that prepare individuals for the labor market 
are often disconnected from one another and from the labor 
market. Therefore, H.R. 4137 establishes a federal Business 
Workforce Partnerships initiative that funds partnerships of 
colleges and employers to link credit-bearing college programs 
to business workforce needs, adapt college offerings to 
workers' schedules, map and develop career and educational 
pathways, expand worksite learning opportunities, and assist 
students with job placements. The goals of this initiative are 
to identify high-demand jobs in local labor markets, create 
pathways for advancement for non-traditional students to these 
occupations, and increase the supply of high-skilled workers in 
the targeted industries.
    It is the intent of the Committee that the Business 
Workforce Partnership Grants created in this bill can be used 
to serve unemployed, employed and incumbent workers. The 
Committee further intends that all partners involved in the 
partnership will remain full partners and remain involved 
throughout the grant period in the grant activities.

GAO study on standardized tests and race, ethnicity and gender bias

    William Kidder of Testing for the Public and Jay Rosner, 
Executive Director of the Princeton Review Foundation, 
conducted a study in 2003 that used SAT item-level data to 
determine the existence of racial bias in the SAT. This study 
found that the test included a predictable racial bias; white 
students outperformed African American students on every test 
item included in the October 1998 SAT. Furthermore, Kidder and 
Rosner identified that the testing service deemed pre-tested 
questions on which African American students outperformed their 
white peers as ``psychometrically flawed,'' and did not include 
them for future tests on that basis. The GAO study on 
standardized tests and race, ethnicity and gender bias should 
consider whether any standardized admission tests are 
inherently discriminatory by race and/or gender.

Study on endowments

    Endowments play a role in financing the operations of 
institutions of higher education. Annual investment income from 
endowments provides funds for student financial aid, 
professorships, research, and other academic activities. In 
order to better understand how endowments contribute to the 
operating budgets of institutions of higher education, the 
Committee directs the Secretary of Education to conduct a study 
describing the amounts, uses, and public purposes of college 
and university endowments. The study should include information 
on the average and range of the outstanding balance of such 
endowments; the growth of endowments over the last ten years 
after factoring inflation; and the percentage of endowment 
spending on an annual basis. The study, to the extent 
practicable, should describe the uses of endowments by 
institutions and the extent to which endowment funds are 
legally restricted in accordance with gift contributions 
imposed by charitable donors and the types of restrictions 
placed upon such funds.

                   TITLE IX--AMENDMENTS TO OTHER LAWS

Education of the Deaf Act

    The Committee reauthorizes the programs of the Education 
for the Deaf Act with amendments.
    The Committee recognizes Rochester Institute of Technology 
(RIT) as the named entity, which continues the agreement with 
the Secretary for the establishment and operation of the 
National Technical Institute for the Deaf (NTID), acknowledging 
the longstanding relationship between RIT and NTID. The 
Committee permits the Secretary to enter into an agreement with 
another institution of higher education for the NTID if the 
Secretary or RIT terminates the agreement with just cause. 
However, it is not the intent of the Committee to prohibit the 
Secretary from considering the establishment of additional 
technical institutions of higher education for deaf and hard of 
hearing students in the future, provided that any such 
expansion would not reduce the resources available to RIT for 
NTID. Further, the Committee recognizes the need to explore the 
issue of geographical diversity in the consideration of future 
institutions that may potentially be added.
    The Committee believes children with disabilities should be 
held to the same high academic expectations as all other 
children, including the elementary and secondary deaf students 
attending the K-12 schools operated by Gallaudet University. As 
such, the Committee requires that the University's K-12 
programs adopt achievement standards and yearly progress 
measures consistent with the accountability requirements in the 
No Child Left Behind Act of 2001 (P.L. 107-110).
    The Committee believes that modifying Gallaudet's reporting 
requirements on the disposition of secondary school and 
university graduates from ``upon graduation/completion'' to 
``approximately one year after graduation'' will provide a 
clearer picture of outcomes for students. Additionally, 
changing the timeline of the reporting requirements will make 
the reporting language for the audit the same for Gallaudet and 
NTID.
    The Committee acknowledges the unique opportunities for 
deaf and hard of hearing students provided by Gallaudet 
University and NTID, and the importance of these institutions 
for such students from around the world. Currently, the 100 
percent surcharge for international students is a barrier to 
attendance for many students. By adjusting the tuition 
surcharges for international students to allow for a reduction 
in costs and a sliding scale for students from developing 
countries and for individual students with demonstrated need, 
the Committee hopes to allow Gallaudet and NTID to utilize the 
available capacity to serve additional international deaf and 
hard of hearing students.

Indian education

            Tribally Controlled Colleges and Universities Act
    In response to the concerns of many tribes, the Committee 
makes several changes to improve the consistency among 
different federal programs providing assistance to tribally 
controlled colleges and universities. The Committee recognizes 
the challenges of having different federal programs provide 
assistance, each with a slightly different set of definitions. 
The Committee expects these amendments to improve the 
coordination between federal programs and help tribally 
controlled institutions spend more time serving students, and 
less time navigating complex federal requirements.
            Dine College
    The Committee recognizes the longstanding relationship 
between the federal Government and the Navajo Nation. 
Legislation enacted in 1971 established a dedicated 
discretionary grant stream for the Navajo Community College, 
which has been renamed Dine College. In reauthorizing this 
program, the Committee finds that the Treaty of 1868 between 
the United States of America and the Navajo Tribe of Indians 
provides for the education of the citizens of the Navajo 
Nation.
    In 1968, the Navajo Nation created and chartered the Navajo 
Community College by Resolution CN-95-68 as a wholly owned 
educational entity of the Navajo Nation. In 1971, Congress 
enacted the Navajo Community College Act. In 1997, the Navajo 
Nation officially changed the name of the Navajo Community 
College to Dine College by Resolution CAP-35-97.
    The purpose of Dine College is to provide educational 
opportunities to the Navajo people and others in areas 
important to the economic and social development of the Navajo 
Nation. The mission of Dine College is to apply the principles 
of Sa'ah Naagha I Bik'eh Hozhoon (Dine Philosophy) to advance 
quality student learning through training of the mind and 
heart--(1) through Nitsahakees (Thinking), Nahata (Planning), 
Iina (Living), and Sihasin (Assurance); (2) in study of the 
Dine language, history, philosophy, and culture; (3) in 
preparation for further studies and employment in a 
multicultural and technological world; and (4) in fostering 
social responsibility, community service, and scholarly 
research that contribute to the social, economic, and cultural 
well-being of the Navajo Nation.
    The United States has a trust and treaty responsibility to 
the Navajo Nation to provide for the educational opportunities 
for Navajo people. Significant portions of the College's 
infrastructure are dilapidated and pose a serious health and 
safety risk to students, employees and the public.
    For these reasons, the Committee amends the Navajo 
Community College Act, and renames it after the college, now 
known as Dine College. The Committee also updates references to 
the Navajo Indian Tribe and instead replaces it with the 
appropriate term ``Navajo Nation.'' The Committee also updates 
a study of the facilities needs of the college that was last 
commissioned in 1979, and authorizes a separate set of uses of 
funds related to the construction of buildings, water and sewer 
facilities, roads, information technology and 
telecommunications infrastructure, classrooms and external 
structures.
    The Committee also clarifies that funds made available 
through the Act may be used for improving and expanding the 
college, including by providing for the Navajo people and 
others in the community higher education programs; vocational 
and technical education; activities relating to the 
preservation and protection of the Navajo language, philosophy, 
and culture; employment and training opportunities; economic 
development and community outreach; and a safe learning, 
working, and living environment.

Grants for training of incarcerated individuals

    The Committee adopted an amendment offered by 
Representatives Danny Davis (D-IL), Mark Souder (R-IN), Robert 
Scott (D-VA), Yvette Clake (D-NY), and Donald Payne (D-NJ) to 
amend the youth training grants included in current law and 
extend the program for incarcerated individuals of all ages. 
Although states provide remedial education to help prisoners 
acquire their high school diploma or GED, postsecondary 
correctional education is very limited. Research has identified 
lack of funding as a primary barrier to such programs.\15\
---------------------------------------------------------------------------
    \15\Erisman, Wendy, Contardo, Jeanne Bayer (November 2005). 
Learning to Reduce Recidivism: A 50- state analysis of postsecondary 
correctional education policy. Washington, DC: The Institute for Higher 
Education Policy.
---------------------------------------------------------------------------
    After Congress barred prisoners from receiving Pell grants 
in 1994, provision of postsecondary correctional education 
dropped greatly. Currently, only approximately 5 percent of the 
total prison population is enrolled in postsecondary education. 
Although forty-five of the fifty states offer some level of 
postsecondary correctional education, 15 states\16\ enroll 89 
percent of all prisoners participating in such programs.\17\ 
Given that current federal postsecondary correctional grants 
target youth, there is a great need for such programs for 
adults. Creating higher education opportunities for older 
students would help prisoners who earn a GED while 
incarcerated, or who must take remedial college-prep courses to 
complete a postsecondary program. Further, because older 
prisoners tend to be more mature, focused, and intent on 
improving their situation after release, correctional education 
experts assert that they would benefit from such efforts.
---------------------------------------------------------------------------
    \16\The 15 states are: TX, NC, WA, IL, CA, CO, IN, OH, WI, AL, MN, 
LA, AZ, and NJ.
    \17\Ibid.
---------------------------------------------------------------------------
    Multiple empirical studies demonstrate that postsecondary 
correctional education improves the atmosphere in prisons, 
increases successful reentry, increases employment after 
release, and decreases criminal behavior. For example, studies 
show that such education helps improve communication among 
staff and inmates, develop positive peer role models, and 
reduce disciplinary infractions.\18\ Further, a recent three-
state study of Maryland, Ohio and Minnesota found that former 
prisoners who had participated in college courses were 29 
percent less likely to return to prison after three years.\19\ 
Moreover, research suggests that benefits extend to prisoners' 
families, with children of women in a college program becoming 
more motivated to go to college.\20\
---------------------------------------------------------------------------
    \18\Fine, Michelle, et al. 2001. Changing Minds: The Impact of 
College in a Maximum Security Prison. New York: The Graduate Center of 
the City University of New York and Bedford Hills Correctional 
Facility, Taylor, Jon M. 1992. Post-Secondary Correctional Education: 
An Evaluation of Effectiveness and Efficiency. Journal of Correctional 
Education, 43(3): 132-41, and Taylor, Jon M. (1994). Should Prisoners 
Have Access to Collegiate Education? A Policy Issue, Educational 
Policy, 8(3): 315-38.
    \19\Steurer, Steven J., Smith, Linda, and Tracy, Alice. 2001. 
Education Reduces Crime: Three-State Recidivism Study. Lanham, MD: 
Correctional Education Association.
    \20\Fine, Michelle, et al. 2001. Changing Minds: The Impact of 
College in a Maximum Security Prison. New York: The Graduate Center of 
the City University of New York and Bedford Hills Correctional 
Facility.
---------------------------------------------------------------------------
    The Committee believes that expanding the program is a 
significant step toward increasing accessibility and providing 
more individuals with the tools necessary to obtain a 
postsecondary education.

Establishment of Assistant Secretary and Office for International and 
        Foreign Language Instruction

    The Committee adopted an amendment introduced by 
Representative Rush Holt (D-NJ) to establish an Assistant 
Secretary and Office for International and Foreign Language 
Instruction. The Committee endorses the recommendation of the 
National Academies of Sciences that the Department of Education 
should consolidate administration of its international 
education and foreign language programs under an executive-
level person reporting to the Secretary who will provide more 
strategic direction and coordination with other federal 
agencies and the nation's education community. The Committee 
specifically recommends amending the Department of Education 
Organization Act to create an Office of and Assistant Secretary 
for International and Foreign Language Education reporting 
directly to the Secretary who will be appointed by the 
President and approved by the Senate. The appointee should be 
an individual with extensive background and experience in 
international and foreign language education, and would have 
authority for the administration and coordination of all 
Department programs on international and foreign language 
education, interagency coordination on international and 
foreign language education, and Department of Education 
international affairs.

Loan repayment for prosecutors and public defenders

    The Committee believes that this language would 
significantly benefit the criminal justice system by providing 
loan relief to prosecutors and public defenders. Both 
professions have recently suffered problems recruiting and 
retaining attorneys, in large part due to the high loan debt 
held by law school graduates. According to the American Bar 
Association, the average cumulative educational debt for law 
school graduates in the class of 2005 was $78,763 for those 
graduating from private law schools and $51,056 for those 
graduating from public law schools. Further, a 2002 survey by 
Equal Justice Works showed that 66 percent of respondents 
stated that law school debt prevented them from even 
considering a public interest or government job. H.R. 4137 
takes immediate action to alleviate that debt with the goal of 
recruiting and retaining more attorneys for these important 
professions.

Stevenson-Wydler Technology Innovation Act of 1980

    Minority Serving Institutions (MSIs) play a unique role in 
the education of our diverse American workforce. Many of these 
institutions are located in poor, rural and isolated areas. 
MSIs have special expertise in serving their communities, which 
include large numbers of low-income or first-generation college 
students. Unlike other, larger institutions of higher 
education, however, MSIs typically have small or nonexistent 
endowments and few wealthy alumni. As a result, the ability to 
finance the acquisition and maintenance of the technology that 
will prepare these students for the workforce is especially 
challenging for many MSIs.
    To address the significant challenges faced by MSIs, the 
Committee includes language to amend the Stevenson-Wydler 
Technology Innovation Act of 1980 to authorize the use of funds 
to assist eligible institutions in acquiring, and augmenting 
their use of, digital and wireless networking technologies to 
improve the quality and delivery of educational services at 
eligible institutions. The Committee intends for this program 
to address the systemic challenges within minority communities 
by providing a means for partnership between MSIs and K-12 
schools. Further, it is the intent of the Committee that the 
economic support and development provided by this legislation 
will help to recognize that MSIs are the ideal vehicle to 
address the disparities in access to quality higher education 
opportunities impacting minority students. The Committee 
believes that the program should intentionally be housed at the 
Department of Commerce to ensure that the appropriate 
technology standards and resources are used to assist these 
institutions in need.

       TITLE X--PRIVATE STUDENT LOAN TRANSPARENCY AND IMPROVEMENT

    During the course of its oversight and investigations work 
with respect to federal student loans, the Committee began a 
preliminary examination of the private student loan market, 
which has experienced exponential growth over recent years in 
large part due to rapid increases in the costs of attending 
college that outpaced the federal investment in student 
financial assistance. Though private student loans may serve an 
important role in helping students and families finance the 
high costs of education, the Committee learned of troubling 
conflicts of interest and questionable practices similar to 
those found with federal student loans and other concerns 
distinct to private student loans.
    Compared to federal student loans, little information is 
available about the size of the private student loan market, 
characteristics of private loan borrowers, and the terms and 
conditions of loans that borrowers obtain. According to the 
College Board, however, student borrowing from private sources 
has skyrocketed and now equals an estimated 24 percent of total 
educational loan volume, nearly $20 billion annually.\21\ 
According to the Institute of Higher Education Policy (IHEP), 
83 percent of private loan borrowers are undergraduate 
students, 9 percent are graduate students, 7 percent are 
professional students, and 1 percent are post-baccalaureate 
students not in a degree program.\22\ Professional students 
tend to borrower more on average, nearly $11,000 a year, 
compared with undergraduates, who borrow about $6,000, and 
graduate students, who borrow more than $8,000, according to 
IHEP. However, both the number of borrowers and amounts 
borrowed are likely to increase as the private loan market 
expands and if college costs continue to climb unabated.
---------------------------------------------------------------------------
    \21\The College Board, Trends in Student Aid, 070342219 
(Washington, D.C.: 2007).
    \22\Institute for Higher Education Policy, The Future of Private 
Loans: Who is Borrowing, and Why?, (Washington, D.C.: December 2006).
---------------------------------------------------------------------------
    Further, the Committee and the New York Attorney General 
found practices that raise concerns about conflicts of 
interest, including payment of travel and entertainment costs 
for school financial aid officers, schools and lenders entering 
into revenue or ``profit-sharing'' arrangements, and a failure 
by institutions to disclose the reasons why lenders were 
recommended by schools to their students. In addition, the New 
York Attorney General is investigating potentially troubling 
concerns about the criteria lenders are using in underwriting 
private student loans.
    The Committee has also identified concerns with deceptive 
marketing practices in the private student loan industry which 
are consistent with findings in IHEP's December 2006 report. 
This report noted the rapid growth of private student loans 
which is coupled with concerns about the marketing of such 
loans to students who may not fully understand the consequences 
of using private loans to finance their college education. IHEP 
reported that a student advocacy group had filed a complaint 
with the Federal Trade Commission for promoting what it 
considered ``false and deceptive claims,'' and ``discouraging 
families from applying for valuable financial aid options,'' 
while ``encouraging students and parents to take out high-
interest private loans of up to $50,000 per year.''
    IHEP also reported on important differences between private 
and federal student loans, raising additional issues of concern 
to the Committee. For example, because private loans exist 
outside of the federal student loan system, mandates on federal 
student loans do not apply to private loans, including certain 
disclosure and borrower counseling requirements. Further, the 
process by which enrollment at an institution is verified 
varies significantly among private student loan lenders. While 
some lenders require school officials to certify borrowers' 
enrollment and educational costs, other lenders do not. The 
Committee is concerned that some students are receiving offers 
for and obtaining private loans prior to completing the FAFSA 
or prior to receiving a financial aid package offer from the 
institutions they want to attend.
    Additionally, while some lenders market private student 
loans primarily through a school's financial aid office, a 
growing number of lenders are offering direct-to-consumer 
private loans. While direct-to-consumer loans may provide 
consumers additional flexibility in selecting a lender and 
allow borrowers to avoid having to automatically rely on 
schools' recommendations, IHEP noted that the lack of 
consistent and widespread information about private loans--and 
unequal financial literacy among potential borrowers--is of 
serious concern. Students who borrow private loans directly 
from lenders without the help of a school official may not be 
aware of the differences between federal and private loans, or 
may not fully understand the protections and benefits provided 
with federal loans, including in-school interest subsidies, 
caps on interest rates, and opportunities for loan deferments, 
forbearance, and forgiveness.
    Further, Consumers Union released a report in July 2007 
that determined, among other things, whether students and 
parents could identify the most affordable loan choices 93 and 
understand the resources necessary to repay them.\23\ Consumers 
Union conducted qualitative market research, using focus groups 
with over 130 students and parents in five major metropolitan 
areas: Atlanta, Boston, Chicago, Los Angeles, and New York. 
Focus group participants included recent graduates, current 
undergraduates, and parents of undergraduates.
---------------------------------------------------------------------------
    \23\Consumers Union, Helping Families Finance College: Improved 
Student Loan Disclosures and Counseling, (Yonkers, NY.: July 2007).
---------------------------------------------------------------------------
    Consumers Union reported a number of findings, including 
that nearly 50 percent of undergraduate private student loan 
borrowers fail to exhaust their low-cost federal student loan 
options. In addition, the research showed that current students 
and many parents:
            did not understand the significant 
        differences between federal and private student loans;
            thought the interest rates charged for 
        federal and private student loans were the same (a 
        particularly troubling finding, given that the 
        Committee in its own oversight work has identified some 
        private loans with exceptionally high origination 
        fees--10 percent--and interest rates--approaching 20 
        percent);
            expressed confusion over the concept of 
        interest capitalization;
            believed that it was not worthwhile to 
        complete the FAFSA to qualify for an unsubsidized 
        federal Stafford loan (this was especially expressed by 
        those who did not qualify for subsidized Stafford or 
        Perkins loans);
            expressed concern over whether they had 
        obtained the best student loan deal and several current 
        and former students indicated that they had borrowed 
        too much because they did not understand the costs they 
        would have to repay;
            were bombarded (from junior year of high 
        school through at least college graduation) with loan 
        solicitations from private student loan lenders both in 
        the mail and via email, some of which used various 
        aggressive marketing ``come-ons;''
            overwhelmed by the ``hunt'' for information 
        and money to pay for college.
    In light of the (1) exponential growth of the private 
student loan market, (2) questionable practices by some lenders 
and conflicts of interest identified by the Committee and 
others, (3) lack of transparency and substantive disclosures 
concerning the term and conditions of private loans, (4) 
challenges faced by students and families in identifying and 
determining optimal college financing strategies, and (5) 
consequences for students of incurring increasing and excessive 
debt burdens, the Committee believes Congress must act. Working 
closely with the Committee on Financial Services, the Committee 
on Education and Labor includes several significant provisions 
in H.R. 4137 to address many of the concerns identified. 
Importantly, the provisions are intended to complement the 
consumer protection provisions included in titles I and IV of 
the bill addressing federal student loans.
    The Committee believes that students and families deserve 
full and fair information about all borrowing options when 
making important decisions about how to finance a college 
education. Title X of the College Opportunity and Affordability 
Act ensures that students are fully informed about the terms 
and conditions of private loans, and are better protected from 
dangerous levels of private student loan debt. Among the other 
things, the Act:
            Requires lenders to make additional 
        disclosures to borrowers at three stages of the loan 
        application process: (1) with advertising or 
        solicitation of loans, (2) with approval of loan 
        applications, and (3) with consummation of loans, and 
        requires written notification from borrowers that they 
        have received these disclosures;
            Prohibits any gifts or financial 
        arrangements made between private lenders and schools 
        in exchange for loan volume, and prohibits co-branding 
        of loans;
            Requires lenders offering private loans to 
        first inform students of their federal student loan 
        borrowing options;
            Requires lenders to notify a borrower's 
        school of a proposed loan of $1,000 or more;
            Provides loan applicants a 30-day loan 
        acceptance period after a lender has approved the loan, 
        and grants borrowers up to three days to change their 
        minds after they accept the loan;
            Bans fees and penalties for early 
        prepayment of loans;
            Promotes college student financial literacy 
        by requiring the Department of the Treasury to help 
        colleges implement effective financial literacy 
        education programs;
            Requires the GAO to further study private 
        loans, and how private loan pricing, and default and 
        graduation rates affect the availability of private 
        loans to certain borrowers at certain schools; and,
            Provides incentives under the Community 
        Reinvestment Act requirements for lenders to provide 
        low-cost private student loans to low-income borrowers.
    The Committee believes the initial steps provided for in 
the legislation will make important advances toward ensuring 
that students and families have enhanced information that will 
allow them to better understand the consequences of relying on 
private student loans in financing their education. 
Additionally, by ensuring the schools are made aware that 
students are considering taking out a private loan, 
professional student aid administrators will be afforded an 
opportunity to provide counseling to students and help 
ascertain whether students have exhausted their federal and 
other financial aid options before turning to private student 
loans. Moreover, given that under current law schools must take 
into consideration a borrower's private student loans in 
packaging student financial assistance, the Committee believes 
that student aid administrators can help students avoid 
unintentionally jeopardizing the amount of federal aid for 
which students would otherwise qualify.
    The Committee intends to continue its oversight and 
investigations of the private student loan market, given its 
rapid expansion and its significant impact, both negative and 
positive, for students and families and the dearth of 
information available to policymakers. Already, in response to 
news reports of excessive executive compensation and 
extravagant expenditures, the GAO has undertaken, at the 
Committee's request, an investigation of whether tax-exempt 
organizations making student loans are abusing their tax-exempt 
status and are involved in deceptive marketing. In addition, at 
the request of the Committee, and subsequently supported by the 
Secretary of Education, the Federal Trade Commission has 
undertaken an investigation of student loan marketing practices 
by lenders in the student loan market. In undertaking its work, 
the Committee will continue its close collaboration with the 
Committee on Financial Services and consider future hearings 
and legislation as needed.

                     V. Section-by-Section Analysis


Sec. 1. Short title; table of contents

    Designates the short title as the ``College Opportunity and 
Affordability Act of 2007. '' Contains the Table of Contents.

Sec. 2. Reference; Effective date

    Establishes the effective date as the date of enactment; 
provides that, unless otherwise noted, any amendment to repeal 
or amend a section or provision amends or repeals a section or 
provision of the Higher Education Act of 1965.

                      TITLE I--TITLE I AMENDMENTS

Sec. 101. Definitions of institution of higher education

    Amends section 101 to include among listed students an 
institution may enroll to meet the definition students who are 
in a program that is acceptable for admission to a graduate 
program, upon approval by the Secretary of Education, and those 
students who are dually enrolled at the institution and a 
secondary school. Amends section 102 to allow foreign medical 
schools to be eligible for federal aid if they have a clinical 
training program approved prior to January 1, 2008, certify 
only unsubsidized Stafford or PLUS loans, and agree to 
reimburse the Secretary for the cost of any defaulted loan in 
the institution's cohort default rate during the previous 
fiscal year. Allows foreign nursing schools to be eligible for 
federal aid if they have agreements with hospitals and nursing 
programs located within the United States, have students 
complete their training in the United States, certify only 
unsubsidized Stafford and PLUS loans, and agree to reimburse 
the Secretary for the cost of any student loan defaults if the 
institution's cohort default rate exceeds 5 percent. Makes 
conforming amendments regarding the ``90/10 Rule.'' Further 
amends section 102 to include among listed students an 
institution may enroll to meet the definition, students who are 
dually enrolled at the institution and a secondary school.

Sec. 102. Additional definitions

    Amends section 103 to include additional definitions of 
terms for use in the Act, including: authorizing committees, 
critical foreign language, distance education, high-need 
school, limited English proficient, universal design, and 
universal design for learning. Makes conforming amendments 
throughout the Act.

Sec. 103. Treatment of territories and territorial student assistance

    Amends section 113 to strike subsection (b), which became 
ineffective on September 30, 2004.

Sec. 104. National Advisory Committee on Institutional Quality and 
        Integrity

    Amends section 114 to establish a National Advisory 
Committee on Institutional Quality and Integrity in the 
Department of Education to advise the Secretary on 
accreditation matters. Provides that the committee will be 
comprised of eighteen members, of which six will be appointed 
by the Secretary, six will be appointed by the Speaker of the 
House of Representatives (three members based on the 
recommendation of the majority leader of the House of 
Representatives and three members based on the recommendation 
of the minority leader of the House of Representatives), and 
six will be appointed by the President pro tempore of the 
Senate (three members based on the recommendation of the 
majority leader of the Senate and three members based on 
recommendation of the minority leader of the Senate). 
Establishes qualification requirements and terms of office for 
committee members, provides for the selection of a committee 
chairperson and specifies the functions of the committee. Sets 
forth committee meeting procedures, limitations on committee 
functions, and reporting requirements.

Sec. 105. Drug and alcohol abuse prevention

    Amends section 120 to include reporting on the number of 
drug and alcohol-related incidents that occur on the property 
of an institution of higher education and that are reported to 
the institution, and extends the Alcohol and Drug Abuse 
prevention grants, and repeals the National Recognition Awards.

Sec. 106. Prior rights and obligations

    Amends section 121(a) to permanently extend the 
authorization to continue coverage of prior rights and 
obligations for servicing of outstanding bonds from old title 
VII bonds.

Sec. 107. Improved information concerning the Federal student financial 
        aid Web site

    Amends section 131 to add new subsections to promote the 
Department of Education Federal Student Aid Web site by 
ensuring prominent links to the site on the Department of 
Education's homepage, and creating a database of federal 
student assistance programs, including those located at federal 
agencies and departments other than the Department of 
Education.

Sec. 108. State commitment to affordable college education

    Inserts a new section 132 requiring a fiscal maintenance of 
effort on the part of a state for public institutions of higher 
education located in the state. Provides that the Secretary of 
Education may waive the requirement in specified circumstances. 
Makes states that fail to meet the requirement ineligible for 
funding under certain newly established program funds. 
Authorizes the Secretary to identify and disseminate 
institutional cost containment strategies and publicly 
recognize institutions of higher education that are doing an 
effective job at cost containment.

Sec. 109. Transparency in college tuition for consumers

    Inserts a new section 133 to define net price and provide 
for the development by the Bureau of Labor Statistics of higher 
education price indices that reflect the annual change in 
tuition and fees for undergraduate students by institution type 
and control. Requires the Secretary to publicly report on an 
annual basis a national list ranking institutions of higher 
education according to the percentage change and dollar change 
in such institutions' tuition and fees over the preceding three 
years. Creates higher education price increase watch lists to 
be published by the Secretary annually to list those 
institutions whose increase in tuition and fees outpace the 
applicable higher education price index; requires the Secretary 
to report the full price of tuition and fees, price of room and 
board, and common expenditures for such institutions. Requires 
institutions so listed to establish quality-efficiency task 
forces to review, analyze and publicly report on the 
institution's operating costs. Provides that in specified 
circumstances institutions would be exempt from being listed on 
the higher education price increase watch list. Requires the 
Secretary to annually report on the Department's web site the 
most recent five-year trends in each state's appropriations per 
enrolled student in public institutions of higher education in 
the state and tuition and fees for each such institution as 
well as the total amount of need-based and merit-based aid 
provided by the state to students enrolled in an institution of 
higher education in the state.
    Provides for the creation by the Secretary of several model 
net price calculators to help students, families, and consumers 
determine the net price of an institution of higher education 
for various categories of such institutions. Requires 
institutions of higher education to adopt and use a net price 
calculator, as either developed by the Secretary or the 
institution, to help students, families and other consumers 
determine the net price of such institution and requires 
disclosure of the institution's net price in the institution's 
admissions application materials. Further requires the 
Secretary to develop a model document, to be known as the 
``University and College Accountability Network'' (U-CAN), to 
annually report basic information about each institution that 
chooses to participate, to be posted on the college information 
web site and made available to institutions of higher 
education, students, families, and other consumers. Requires 
the document to include the following information about the 
institution in a consumer-friendly manner: specified 
demographic and enrollment information on students enrolled at 
the institution; specified information on the degrees awarded 
by the institution; specified information about the faculty of 
the institution; specified information about the cost of 
attending the institution, the financial aid received by and 
available to the students at the institution; and other 
specified information that would be helpful to prospective 
students and students enrolled at the institution.

Sec. 110. Textbook information

    Amends part C of title I by adding a new section 134 to 
ensure that students are offered better and more timely access 
to affordable course materials. Defines necessary terms.
    Further requires that publishers provide faculty or other 
adopting entities with information on the price at which the 
publisher makes the material available to the college bookstore 
on the campus of (or otherwise associated with) the 
institution, the copyright dates of all previous editions of 
the textbook, a description of any substantial content 
revisions between the current and preceding version of the 
textbook or supplemental material, and whether the textbook or 
supplemental material is available in any other formats 
(including paperback and unbound) and the price at which the 
alternative materials are available. Requires that such 
information be provided in writing, which may include 
electronic communication, such as e-mail or access to a public 
web site. Requires publishers to offer all bundled materials 
(as such term is defined) as separate and unbundled items that 
are separately priced. Requires publishers to provide the 
information required under this section to the maximum extent 
practicable for custom textbooks.
    Requires that, to the maximum extent practicable, 
institutions of higher education shall disclose in the Internet 
course schedules the International Standard Book Number (ISBN) 
and retail price information for required and recommended 
textbooks, related materials, and supplies for each course 
listed in the institution's course schedule. In the case that 
the ISBN number is not available for an item, requires the 
institution to disclose the author, title, publisher, and 
copyright date of the item. If the institution determines that 
the disclosure of the information is not practicable for an 
individual item or for a course, requires the institution to 
place ``to be determined'' in absence of the information until 
such time as the information is available. Requires 
institutions that do not provide subsequent course information 
on the Internet to provide the information required in printed 
course catalogs, as such information is available at the time 
of printing.
    Further requires that institutions of higher education 
provide, as soon as is practicable, upon the request of any 
college bookstore the institution's course schedule for the 
subsequent academic period, and for each course or class the 
information required to be provided on the institution's 
Internet course schedule, the number of students enrolled, and 
the maximum student enrollment.
    Nothing in this section is intended to supersede 
institutional autonomy or the academic freedom of instructors 
in selecting college textbooks and materials for use in higher 
education.
    This section is effective on July 1, 2008.

Sec. 111. Database of student information prohibited

    Inserts a new section 135 that provides that nothing in the 
Act should be construed to authorize the Secretary, to develop, 
implement, or maintain a federal database of personally 
identifiable information on individuals receiving assistance 
under this act, attending institutions receiving assistance 
under this act, or otherwise involved in any studies or other 
collections of data under this Act, including a student unit 
record system, an education bar code system, or any other 
system that tracks individual students over time. Adds a new 
section that clarifies that this prohibition does not apply to 
a system that is necessary for the operation of programs 
authorized by title II, IV, or VII or data required to be 
collected by the Secretary that were in use by the Secretary as 
of the day before the date of enactment of the College 
Opportunity and Affordability Act of 2007. Further clarifies 
that the prohibition does not extend to a state or a consortium 
of states, which may develop, implement, or maintain state-
developed databases that track individuals over time, including 
student unit record systems that contain information related to 
enrollment, attendance, graduation and retention rates, student 
financial assistance, and graduate employment outcomes.

Sec. 112. Institution and lender reporting and disclosure requirements

    Amends title I of the Higher Education Act of 1965 to 
create a new part E (Institution and lender reporting and 
disclosure requirements). Section 151 defines ``covered 
institution'' as any educational institution that offers a 
postsecondary educational degree, certificate, or program of 
study, and receives any federal funding or assistance; the term 
includes authorized agents and employees of the institution. 
The term ``educational loan'' is defined to include loans made, 
insured, or guaranteed under title IV of the Higher Education 
Act of 1965 or a private educational loan, which is defined as 
a loan not made, insured or guaranteed under title IV and 
issued by a lender to a student or parent expressly for 
postsecondary educational expenses. Defines a ``preferred 
lender arrangement'' as an arrangement or agreement between a 
lender and a covered institution under which a lender provides 
a loan to a student or parent of student attending an 
institution and the institution recommends, promotes, or 
endorses the lender's loan product; excludes from the 
definition loans made under section 499(b) as well as loans 
under Parts D and E of title IV of the Higher Education Act. 
Defines ``lender'' as a creditor, as defined in section 103 of 
the Truth in Lending Act, and includes an agent of the lender. 
Defines ``officer'' as including a director or trustee of an 
institution and the term ``postsecondary educational expenses'' 
as those expenses included as part of a student's cost of 
attendance, as defined under section 472.
    Section 152 requires each lender entering into a preferred 
lender arrangement with a covered institution to certify 
annually to the Secretary of Education its compliance with the 
requirements of this act. Also prohibits institutions from 
agreeing to a lender's use of the name, emblem, mascot, or logo 
of the institution in the marketing of private educational 
loans in any way that implies that the institution endorses the 
private educational loans offered by a lender.
    Section 153 directs the Secretary of Education to report to 
the authorizing Congressional committees on the adequacy of 
educational loan information provided to borrowers and requires 
the report to include a model disclosure form developed and 
prescribed by the Secretary for lender use in providing annual 
loan information to the Secretary and covered institutions with 
which they have a preferred lender arrangement. Also requires 
such lenders to disclose, in addition to specified loan 
information, interest rates and other terms and conditions of 
educational loans, and any philanthropic contributions made to 
such institutions. Requires institutions to provide the 
Secretary, prospective borrowers, and the public with the 
disclosure form information as well as a detailed explanation 
of why such loans are beneficial to borrowers in time for the 
student or parent to take such information into account before 
applying for or selecting a loan. In addition, requires covered 
institutions to disclose on their web sites and in their 
informational materials: (1) that they cannot limit students to 
recommended lenders and must process the loan documents of any 
eligible lender; (2) the information provided on the model 
disclosure form with regard to recommended lenders; (3) the 
maximum federal grant and loan aid available; and (4) the cost 
of attendance.
    Requires, under section 154, covered institutions that 
provide prospective borrowers with private educational loan 
information inform students and parents of (1) their title IV 
assistance eligibility; and (2) compare and distinguish private 
loans from title IV loans.
    Section 155 requires institutions of higher education 
(IHEs) to develop, publicize, and enforce codes of conduct for 
their officers, employees, and agents that prohibit conflicts 
of interest with respect to educational loans. Also prohibits 
an institution's officers, employees and agents that have 
financial aid duties from accepting gifts from lenders, 
guarantors, or servicers of educational loans and directs the 
Inspector General of the Department of Education to investigate 
and report annually to Congress on gift ban violations. In 
addition, prohibits institutional officers, employees or agents 
who are employed in the financial aid office of an institution 
from accepting any fee, payment, or other financial benefit as 
compensation for any type of consulting arrangement or other 
contract to provide services to a lender or on behalf of a 
lender, and from participating on any advisory councils of 
lenders or affiliates of lenders. Also provides that in certain 
circumstances an institutional officer, employee or agent is 
allowed to serve on a board of directors of a lender, 
guarantor, or servicer of educational loans, and that an 
officer, employee or agent of a lender, guarantor or servicer 
of educational loans is allowed to serve on an institution's 
board of trustees. Bars institutions from: (1) entering into 
revenue sharing agreements; (2) requesting or accepting lender 
assistance with call center or financial aid office staffing, 
except in limited circumstances; (3) requesting or accepting 
any lender's offer of funds for private educational student 
loans in exchange for concessions or promises to the lender 
with respect to an institution providing the lender a specified 
number of loans, a specified loan volume, or a preferred lender 
arrangement for any loans made, insured, or guaranteed under 
title IV. Also prohibits lenders from making any such offer.
    Section 156 conditions the receipt of federal funds and 
assistance by schools and lenders on their compliance with part 
E. Establishes penalties for noncompliant schools and lenders, 
including: (1) a ban on lenders from participating in title IV 
programs; and (2) a $25,000 civil penalty for institutions and 
as well as for lenders that do not participate in title IV 
programs.
    Also included in the new part E is section 157 which 
provides for enhanced student loan counseling for borrowers. 
Requires lenders to contact borrowers five years into their 
loan repayment to ascertain, for those borrowers who selected 
other than a standard repayment plan, whether a borrower is 
able to select an alternative repayment plan with a shorter 
repayment period that would reduce the total interest paid on 
the borrower's loan. Additionally, prior to a borrower 
beginning loan repayment, requires lenders to provide a 
borrower an explanation of principal borrowed, current balance, 
interest already paid, interest due over the life of the loan, 
and options by which borrowers may avoid or be removed from 
default, as well as repayment options. Requires lenders to 
provide similar information during loan repayment periods, and 
to provide information concerning options, including 
forbearance, available to borrowers experiencing difficulty 
repaying their loans. Requires institutions of higher education 
to provide enhanced counseling for borrowers including 
providing them information concerning the average indebtedness 
of borrowers at the institution, sample monthly repayment 
amounts based on a range of indebtedness levels, starting 
salaries for graduates of institutions by type and control of 
institution and field of study, repayment options available to 
borrowers, and the likely consequences of borrower default. 
Requires the Secretary to provide information to institutions 
to enable them to provide borrowers with the enhanced 
counseling.

Sec. 113. Feasibility study for national electronic student loan 
        marketplace

    Directs the Secretary, in consultation with the Federal 
Trade Commission (FTC), representatives of student loan 
borrowers, representatives of institutions of higher education, 
and other relevant stakeholders, to conduct a study on the 
feasibility of developing a National Electronic Student Loan 
Marketplace that would provide for a registry of realtime 
information on federal and private student loans. Requires the 
Secretary to report findings to the authorizing Congressional 
committees not later than six months prior to the completion of 
the model interest rate format required under section 
153(a)(1).

                      TITLE II--TITLE II REVISION

Sec. 201. Revision of title II

    Section 201 amends title II with revisions to Part A, Part 
B, and the addition of a new Part C.

                  TITLE II TEACHER QUALITY ENHANCEMENT

Definitions and Rule of Construction

    Includes definitions to be used for all of title II, but 
primarily for Part A Teacher Quality Partnership Grants, and in 
addition to other terms, specifically includes the following 
definitions:
     Induction program is a formalized program for new 
teachers during at least the teachers' first two years of 
teaching that is designed to provide support for, improve the 
professional performance of, and increase retention of 
beginning teachers. Such programs shall promote effective 
teaching skills and shall include high-quality teacher 
mentoring, periodic and structured time for collaboration with 
teachers in the same department or field, the application of 
empirically based practice and scientifically valid research on 
instructional practices, development of skills in instructional 
and behavioral interventions derived from empirically based 
practice and, where applicable, scientifically valid research, 
assistance with the understanding of data, particularly student 
achievement data and the data's applicability in classroom 
instruction, and regular evaluations of the new teacher.
     A Teaching residency program means a school-based 
teacher preparation program in which a prospective teacher 
teaches alongside a mentor teacher for one academic year; 
receives concurrent instruction from the partner institution; 
acquires effective teaching skills; and earns a master's 
degree, attains full state teacher certification or licensure, 
and becomes highly qualified.
     Scientifically valid research is applied, basic 
and field-initiated research in which the rationale, design and 
interpretation are soundly developed in accordance with 
accepted principles of scientific research.
     Early childhood education program is defined as a 
program funded under Head Start, a state licensed or regulated 
child care program or state prekindergarten program serving 
children from birth through kindergarten. Additionally, this 
section defines early childhood educator as an individual with 
primary responsibility for the education of children in these 
defined programs.
    This section also includes a rule of construction to ensure 
that nothing in title II may supersede the terms of collective 
bargaining contracts.

               PART A--TEACHER QUALITY PARTNERSHIP GRANTS

Purposes; Definitions

    Under Part A teacher quality partnership grants amend 
current law by eliminating state grants. With respect to the 
terms specific to the partnership grants, amends terms in 
current law as follows:
     Eligible partnerships is amended to include not 
only a high need local education agency but a consortium of 
such LEAs or early childhood education programs. Additionally, 
departments or programs that are specific to teacher 
professional development, are included as well. Further, the 
term includes teacher organizations, charter schools, and 
operating programs that provide of alternative routes to state 
certification of teachers.
     Partner institutions is amended to include two-
year institutions of higher education offering a dual program 
with a four-year institution as well as changes to ensure that 
the teacher education programs require a higher standard of 
achievement.

Partnership grants

    Authorizes the Secretary to award competitive grants to 
eligible partnerships. Requires that each application contain a 
needs assessment of all the partners and a description of the 
extent to which the teacher preparation program prepares new 
teachers, including how to understand and use research and data 
in the classroom, and how the partnership would coordinate with 
other programs. Requires that applications also include a 
resource assessment of the resources available to the eligible 
partnership and an evaluation plan. In addition, requires 
applications to describe how the partnership would: align the 
teacher preparation program with academic achievement, early 
learning, and content standards; connect faculty at partner 
institutions with teachers and their classrooms in the high-
need local educational agency included in the partnership to 
provide professional development opportunities; ensure the 
preparation of general education teachers and special education 
teachers to teach students with limited English proficiency; 
in-service professional development strategies and activities 
to be supported; design, implement or enhance a yearlong 
rigorous and enriching pre-service clinical program; collect, 
analyze, and disseminate data on teacher retention.
    Provides that eligible partnerships that receive grants 
under this part shall use grant funds to carry out a program 
for the pre-baccalaureate preparation of teachers, a teaching 
residency program, a leadership development program or all of 
these programs. Programs for the pre-baccalaureate preparation 
of teachers shall be held accountable for promoting strong 
teaching skills, as well as preparing current or prospective 
teachers to be highly qualified, to understand evidence-based 
research on teaching and learning and its applicability to the 
classroom, and to use technology effectively. Required reforms 
shall include changing teacher preparation curriculum to 
improve, evaluate and assess how new and prospective teachers 
develop teaching skills; using evidence-based knowledge about 
teaching and learning to improve the preparation of teachers; 
ensuring new teachers receive training in both teaching and 
content areas; and developing and implementing an induction 
program, literacy training, as well as other requirements. Such 
programs shall also include clinical experience and 
interaction, through the development and improvement of 
sustained and high-quality pre-service clinical education 
programs, to further develop the teaching skills of all 
prospective educators. Requires such programs must create 
induction programs for new teachers. Such programs must also 
provide support and training for participating individuals, 
such as release time, course workload credit, and a stipend for 
mentors.
    Teaching residency programs shall be based on models of 
successful teaching residencies, and shall include: the 
integration of pedagogy, classroom practice, and teacher 
mentoring; engagement of participants in rigorous coursework to 
obtain a master's degree while undertaking a guided teaching 
apprenticeship; experience and learning opportunities alongside 
an experienced mentor teacher, including the establishment of 
clear criteria for the selection of mentor teachers based on 
measures of teacher effectiveness and subject area knowledge; 
grouping of teacher candidates in cohorts to facilitate 
professional collaboration among residents; development of 
admissions goals and priorities aligned with the hiring 
objectives of the local education agency; support for 
residents, once they are teachers, through an induction 
program; and continued provision of professional development 
and networking opportunities to support residents through at 
least their first two years of teaching. Teaching residency 
programs shall provide 1-year living stipend or salary to 
teaching residents during the one year residency. As a 
condition of receiving such a stipend, a teacher resident shall 
agree to teach in a high-need school served by the high-need 
local educational agency involved in the partnership for three 
or more years after completing the residency.
    Leadership programs shall prepare students to participate 
in programs to prepare them for careers as superintendents, 
principals, or other school administrators. The program also 
ensures participants shall receive effective pre-service 
preparation and mentoring which may include year-long 
opportunities for enrichment and clinical learning settings. 
The program also includes an induction program for new 
administrators and ensures the recruitment of individuals, from 
underrepresented populations, mid-career professionals and 
those from rural communities, to participate in the program.

Administrative provisions

    Provides that grants available under this section shall be 
for five year periods, and that a partnership is eligible to 
receive only one grant during a five year period. However, 
individual members within a partnership are eligible to receive 
another grant during this period by participating in other 
partnerships with different members. Applications shall be 
submitted to a peer review panel for evaluation, and the 
Secretary shall select grant recipients on the basis of the 
peer review process. Priority shall be given to applications 
that include teacher preparation programs with a rigorous 
selection process and to applicants from broad-based 
partnerships that include business and community organizations 
or to partnerships that will ensure an equitable distribution 
of grants among urban and rural areas. Each partnership 
receiving a grant under this section is required to provide an 
amount equal to 100 percent of the amount of the grant in cash 
or in kind from non-federal sources. The Secretary may waive 
the matching requirement if the matching requirements would 
impose a serious hardship.

Accountability and evaluation

    Requires that partnership evaluation plans include 
objectives and measures for increasing student achievement, 
teacher retention, improvements in pass rates on state 
certification and licensure, and the percentage of highly 
qualified teachers hired by the high-need local educational 
agencies, including the percentage of highly qualified teachers 
working within the various targeted demographics including 
high-need areas (including special education, language 
instruction, educational programs for limited English 
proficient students, and early childhood education).

Accountability for programs that prepare teachers

    Requires that all institutions of higher education that 
conduct a traditional teacher preparation program or 
alternative route to state certification or licensure program, 
and that enroll students receiving federal assistance under 
this Act, report the progress made toward specific measures for 
both their traditional teacher preparation programs and 
alternative route to state certification or licensure programs.
    Requires states to annually submit a report card on the 
quality of teacher preparation to the Secretary of Education. 
The Secretary may not create a national list or ranking of 
states or schools based on these reports. The Secretary must 
provide Congress with a report card, which must be made widely 
available, on teacher qualifications and preparation in the 
United States. The Secretary must also submit a report to 
Congress that contains a comparison of states' and eligible 
partnerships' efforts to improve the quality of the teaching 
force.

Teacher development

    Requires institutions that receive title IV aid and conduct 
traditional teacher preparation programs, including programs 
that offer ongoing professional development programs or 
alternative routes to state certification or licensure 
programs, to set annual quantifiable goals for increasing the 
number of prospective teachers trained in teacher shortage 
areas, and more closely link the training provided by the 
institution with the needs of schools. A report shall be made 
public on whether institutions have met these goals.

State functions

    Requires states receiving funds under this section have in 
place a procedure to identify and assist low-performing teacher 
preparation programs. If a state terminates financial support 
for a teacher preparation program due to low performance, the 
program must provide transitional support for students enrolled 
at the institution at the time of the termination.

General provisions

    Requires the Secretary to ensure that states and 
institutions of higher education use fair and equitable methods 
in reporting and that the reporting methods not allow for 
identification of individuals. Provides that information 
requested by the teacher preparation programs be provided to 
the program to enable the program to evaluate its 
effectiveness.

Authorization of appropriations

    This section provides $500 million for fiscal year 2009 and 
such sums for each of the two succeeding fiscal years.

          PART B--PREPARING TEACHERS FOR DIGITAL AGE LEARNERS

    This part replaces Part B under current title II.

Program authorized

    Authorizes the Secretary to award grants to eligible 
consortia for the purpose of prioritizing the use of technology 
to improve student learning. Grants for the program are for 
three years, renewed for one additional year, and for not more 
than $2 million.
    The federal share shall not exceed 75 percent. An eligible 
consortium is defined as at least one institution of higher 
education that prepares teachers, at least one state 
educational agency, or local educational agency, a department 
of education, a college of arts and sciences, and an entity 
with the capacity to contribute to the technology-related 
reform of teacher preparation programs.

Uses of funds

    Under this section, grants that receive funding fall into 
one of two categories: partnership grants or transformation 
grants. For partnership grants, funds shall be used to provide 
teacher candidates with field experiences in educational 
settings with technology; build the skills of teacher 
candidates; provide professional technology development 
including pedagogical skills; implement strategies for the 
mentoring of teacher candidates; evaluate teacher candidates; 
build collaborative learning communities; and evaluate the 
effectiveness of the project. For transformation grants, funds 
shall be used to redesign curriculum; to foster collaboration 
between the department, school, or college of education to 
integrate technology into the teacher preparation programs as 
well as transform the teaching and learning process; foster 
collaboration among faculty to create case studies of 
technology applications; and other specific uses.

Application requirements

    This section provides that eligible consortium shall submit 
an application to the Secretary that clearly addresses a 
description of the project to include some specifics; a 
demonstration of commitment and support for the project; how 
consortium members will participate; collaboration with the 
state and local educational agency; and other requirements.

Evaluation

    This section specifies that not less than 10 percent of the 
funds awarded shall be used to evaluate the effectiveness of 
the project.

Authorization of appropriations

    This section provides $100 million for fiscal year 2009 and 
such sums for each of the two succeeding fiscal years.

                  PART C--ENHANCING TEACHER EDUCATION

    This part creates a new Part C to title II.

Authorization of appropriations

    This section authorizes such sums as may be necessary for 
fiscal year 2009 and each of the four succeeding fiscal years 
to carry out the programs in this part.

 SUBPART 1--RECRUITING TEACHERS WITH MATH, SCIENCE, OR LANGUAGE MAJORS

Program authorized

    This section authorizes the Secretary to provide 
competitive grants to institutions of higher education to 
improve the availability, recruitment, and retention of 
teachers from among students majoring in math, science, foreign 
languages, special education, or to those teaching English to 
students who are limited English proficient. Grantees shall use 
funds to create and provide new recruitment incentives to 
encourage individuals to go into teaching, particularly those 
in the high-need subject areas. Additionally, funds may be used 
to upgrade curriculum related to instructional strategies for 
teaching reading, the English language, and differentiating 
instruction to teach students with disabilities. Funds may be 
used to integrate faculty from the school of education, and 
other pursuits to ensure the recruitment of highly qualified 
individuals in high-need subject areas.

 SUBPART 2--COMMUNITY COLLEGES AS PARTNERS IN TEACHER EDUCATION GRANTS

Grants to community colleges

    This section authorizes the Secretary to provide 
competitive grants to eligible entities to establish or enhance 
teacher education programs at community colleges. Funds from 
the grants shall be used to develop curriculum for teacher 
education programs and post-baccalaureate certification 
programs at community colleges; clinical experiences; develop 
new associate degree programs focused on teacher preparation; 
increase the alignment between community college teacher 
education programs and four-year college and university teacher 
education programs; recruiting individuals to participate in 
the program to ensure diversity; preparing teachers for high-
demand subject areas and to teach in high-need schools; and 
other uses. An eligible entity is a community college or 
consortia of community colleges or statewide community college 
system that has entered into a partnership with a four-year 
institution of higher education with a teacher preparation 
program, and at least one of the following: the state agency 
that oversees teacher preparation; one or more local 
educational agencies; a professional organization representing 
teachers. Priority shall be given to applications that aim to 
increase the diversification of the teacher workforce, prepare 
teachers for high-demand subject areas or to teach in high-need 
schools.

Definitions

    This section defines community colleges; four-year 
institutions; and a qualified teacher preparation program.

     SUBPART 3--HONORABLE AUGUSTUS F. HAWKINS CENTERS OF EXCELLENCE

Definitions

    This section defines the terms: eligible institution; and 
scientifically based reading research.

Honorable Augustus F. Hawkins Centers of Excellence

    This section authorizes the Centers of Excellence 
competitive grant program. Requires grantees to ensure that 
current and future teachers are highly qualified. Requires 
grantees to use funds to implement reforms within teacher 
preparation programs to ensure that such programs are preparing 
teachers who are highly qualified, are able to understand 
scientifically based research, and are able to use advanced 
technology effectively in the classroom to improve student 
academic achievement; provide new teachers sustained and high-
quality pre-service clinical experience, mentoring from 
exemplary teachers, and increased interaction between faculty 
at institutions of higher education and new and experienced 
school personnel; develop initiatives to promote retention of 
highly qualified teachers and principals, including minority 
teachers and principals; award need-based scholarships to help 
students pay the cost of tuition, room, board, and other 
expenses; disseminate information on effective practices for 
teacher preparation and successful teacher certification and 
licensure assessment preparation strategies; and activities 
authorized under sections 202.
    Outlines the requirements for submitting an application. 
Sets the minimum grant under this part at $500,000. Limits to 2 
percent the amount of a grant that can be used for 
administrative expenses. Requires the Secretary to prescribe 
regulations as necessary.

                      SUBPART 4--TEACH FOR AMERICA

    This subpart authorizes the Secretary to award a non-
competitive grant to Teach for America to conduct outreach 
activities to undergraduate and graduate students to attract 
them to participate in the Teach for America program. The 
program attracts college graduates to teach for up to two years 
in underserved schools. Grant funds will be used for 
recruitment, pre-service training and professional development 
during an individual's first two years of teaching under this 
program. Teach for America shall submit an annual report and 
the Secretary shall conduct a study of program outcomes.

   SUBPART 5--EARLY CHILDHOOD EDUCATION PROFESSIONAL DEVELOPMENT AND 
                           CAREER TASK FORCE

Purpose

    This section establishes the purpose of this subpart.

Definition of early childhood education program

    This section defines an early childhood education program.

Grants authorized

    This section authorizes a new competitive grant program for 
states. Grant funds shall be used to establish State Early 
Childhood Education Professional Development and Career System 
Task Forces and to support the activities of such task forces.

State task force establishment and State task force activities

    Under these sections, such State Task Forces may be new 
entities or may be existing entities designated by the Governor 
for this purpose. They shall include at least five members 
representing specifically designated stakeholders, and shall 
carry out activities including the conducting of periodic needs 
assessments of the demographics of individuals working in early 
childhood education programs in the state and a review of 
opportunities for and barriers to high quality professional 
development and training in early childhood development and 
learning. The State Task Force shall develop a plan for a 
comprehensive statewide career system. The plan shall include 
methods of outreach to early childhood education program staff; 
developing a unified data collection and dissemination system 
for early childhood training, professional development, and 
higher education programs; providing resources for the costs of 
enrolling in and completing post-secondary education programs; 
developing mentoring and coaching programs to support new 
teachers in and directors of early childhood education 
programs; supporting professional development activities and a 
career lattice; supporting articulation agreements between two- 
and four-year institutions and other mechanisms to earn 
academic credit; providing career development advising with 
respect to the field of early childhood education; and 
providing a system of quality assurance with respect to the 
early childhood education professional development and career 
system, including standards or qualifications for individuals 
and entities who offer training and professional development in 
early childhood education. The State Task Force shall hold 
public hearings and provide an opportunity for public comment 
on the contents of the state plan. The State Task Force shall 
meet periodically to review implementation of the plan and 
propose changes as needed.

State application and report

    This section outlines the requirements for the application 
and requires each state receiving a grant to submit a report to 
the Secretary no later than two years after receiving the 
grant.

Evaluations

    This section requires that each state receiving a grant 
under this subpart must evaluate their activities.

Sec. 202. National Academy of Sciences study of best practices in 
        teacher preparation

    This section calls for the National Academy of Science to 
study the best practices in teacher preparation.

                    TITLE III--TITLE III AMENDMENTS

Sec. 301. Program purpose

    Section 301 states that special consideration for awarding 
grants under this section shall be given to grant applications 
that include support services for the education of special 
populations. Allowable uses of grant funds are expanded to 
include using grant aid for education or counseling services 
designed to improve the financial literacy of students or their 
parents.

Sec. 302. Title III grants for American Indian Tribally Controlled 
        Colleges and Universities

    Section 302 amends the definition of a ``Tribal College or 
University'' to include institutions identified in the Tribally 
Controlled College or University Assistance Act of 1978, the 
Navajo Community College Assistance Act of 1978, or cited in 
section 532 of the Equity in Educational Land Grant Status Act 
of 1994.
    Allowable uses of grant funds are also expanded. 
Institutions may now use grant aid to acquire real property 
adjacent to the institution, for education or counseling 
services designed to improve financial literacy of students or 
their parents, or to develop or improve distance learning or 
Internet facilities and capabilities.
    The Secretary of Education would use the remaining 
appropriated funds to award grants on a formula basis, with no 
such grant in an amount less than $500,000. Sixty percent of 
these funds would be awarded proportionally, based on the 
number of Indian students enrolled at these colleges and 
universities. The remaining 40 percent would be distributed 
equally among all eligible schools.
    Colleges or universities that are eligible for and receive 
funds under section 316 would not be eligible to receive any 
additional funding, concurrently, under part A or B of title 
III. Eligible institutions would not be subject to the wait-out 
period with respect to new funding under section 316.

Sec. 303. Predominantly Black Institutions

    This section authorizes the Secretary to award grants under 
a new grant program to Predominantly Black Institutions. Grant 
funds shall be used to plan, develop, undertake and implement 
programs to enhance the institution's capacity to serve more 
low- and middle-income Black American students, to expand 
higher education opportunities for title IV eligible students 
by encouraging college preparation and student persistence in 
secondary school and postsecondary education, and to strengthen 
the ability of the Predominantly Black Institution to serve 
such students. Grant funds may be used for academic instruction 
in disciplines in which Black Americans are underrepresented, 
to establish or enhance a program of teacher education designed 
to qualify students to teach in a public elementary school or 
secondary school in the state, or to establish community 
outreach programs that will encourage elementary school and 
secondary school students to develop the academic skills and 
interest to pursue postsecondary education, among other uses. 
Up to 20 percent of each grant may also be used to establish or 
increase an endowment fund, in which case the institution must 
raise an equal amount from non-federal sources.
    Priority for such grants shall be given to Predominantly 
Black Institutions with high numbers of financially needy or 
Black students. Grants shall not be less than $250,000.

Sec. 304. Assistance to Asian American and Pacific Islander-serving 
        institutions

    This section authorizes the Secretary to award grants under 
a new grant program to Asian American and Native American 
Pacific Islander-serving institutions. Grant funds shall be 
used to plan, develop, undertake and implement programs to 
enhance the institution's capacity to serve more low- and 
middle-income Asian American and Pacific Islander students, to 
expand higher education opportunities for title IV eligible 
students by encouraging college preparation and student 
persistence in secondary school and postsecondary education, 
and to strengthen the ability of the institution to serve such 
students. Grant funds may be used for academic instruction in 
disciplines in which Asian Americans and Native American 
Pacific Islanders are underrepresented, to support faculty 
exchanges and faculty development, or to establish community 
outreach programs that will encourage elementary school and 
secondary school students to develop the academic skills and 
interest to pursue postsecondary education, among other uses. 
Priority for such grants shall be given to Asian American and 
Native American Pacific Islander-serving institutions with high 
numbers of financially needy students.

Sec. 305. Native American-serving, nontribal institutions

    Section 305 authorizes a new grant program specifically for 
Native American-serving, nontribal colleges and universities. 
The Secretary of Education must provide grants of at least 
$200,000 for schools to improve their capacity to serve Native 
Americans. Grants may be used to fund the following types of 
activities: purchasing scientific or laboratory equipment, 
books, and other educational material; renovating classrooms, 
libraries, or other instructional facilities; and supporting 
faculty and curriculum development, tutoring and other student 
support services.
    Provides, in order to be eligible for a grant, the 
institution may not be a tribal college or university and at 
least 10 percent of the undergraduate enrollment must be 
comprised of Native American students. Additionally, 
institutions that are eligible for or receive funds under 
section 318 would not be eligible to receive any additional 
funding, concurrently, under part A or part B of title III. 
This section waives the requirement in section 313(d), allowing 
eligible institutions to apply for new funding once the grant 
expires.

Sec. 306. Strengthening Historically Black Colleges and Universities

    Section 306 includes technical changes including the use of 
grant aid for education or counseling services designed to 
improve financial literacy of students and their parents or for 
various academic student support services. Funds may also be 
used to acquire and develop property adjacent to colleges and 
universities.
    The section also makes specific changes to the minimum 
allotment for grants under Part B. Additionally this section 
makes changes to the duration of grants for professional 
graduate institutions as well as includes new institutions 
named as designees under the Professional or Graduate 
Institutions program.
    The following six universities are added to the list of 
qualified graduate programs: Alabama State University, Bowie 
State University, Prairie View A&M University, Delaware State 
University, Langston University, and the University of the 
District of Columbia.

Sec. 307. Endowment Challenge Grants

    Section 307 amends current law to increase the amount of 
grant aid institutions may receive under this section. 
Additionally, the language allows the Secretary to provide 
technical assistance to institutions desiring a grant under 
this section.

Sec. 308. Limitations on Federal insurance for bonds issued by the 
        designated bonding authority

    Section 308 increases the aggregate principal amount of 
bonds that may be outstanding at any given time.

                   SUBPART 2--PROGRAMS IN STEM FIELDS

    This subpart creates a new partnership grant program under 
Part E of title III.

Sec. 355. YES Partnerships grant program

    Under section 355, the Secretary is authorized to make 
grants to eligible partnerships to support underrepresented 
minority youth engagement in science, technology, engineering, 
and mathematics through outreach and hands-on, experiential-
based learning projects that encourage underrepresented 
minority students to pursue careers in science, technology, 
engineering and mathematics.

Sec. 356. Promotion of entry into STEM fields

    Section 356 includes language to allow the Secretary to 
enter into a contract with a firm to implement a campaign aimed 
at expanding the population of qualified individuals in 
science, technology, engineering, and math fields by 
encouraging young Americans to enter such fields.

Sec. 357. Evaluation and Accountability Plan

    Section 357 requires the Secretary to develop an evaluation 
and accountability plan for projects funded under this subpart.

Sec. 310. Technical assistance

    Section 310 allows the Secretary to provide technical 
assistance to institutions desiring a grant under this title.

Sec. 311. Waiver authority

    Section 311 adds a new subsection to provide waiver 
authority to the Secretary for institutions affected by the 
Hurricanes in the Gulf coast region.

Sec. 312. Authorization of appropriations

    Section 312 authorizes funding for the programs under title 
III and establishes minimum grant amounts.

Sec. 313. Technical corrections

    Section 313 makes technical and conforming changes 
throughout title III.

                     TITLE IV--TITLE IV AMENDMENTS

                       PART A--PART A AMENDMENTS

Sec. 401. Federal Pell Grants

    Amends section 401(b) to increase the authorized annual 
maximum Pell Grant award to $9,000 through academic year 2013-
2014. Further amends section 401(b) by authorizing the 
Secretary of Education to provide up to two grants in a single 
award year for students seeking to enroll in additional 
academic sessions (e.g., summer sessions or year-round 
enrollment). Further amends the section to prohibit persons 
subject to an involuntary civil commitment after incarceration 
for a forcible or non-forcible sexual offense from receiving a 
Pell Grant. Makes a technical amendment to the mandatory funds 
provided under P.L. 110-84 to ensure that the funds are 
available for the same award period as are discretionary funds.
    Amends section 401(c) to limit the period during which a 
student may receive a Pell Grant to the equivalent of eighteen 
semesters or twenty-seven quarters in duration (as determined 
by the Secretary). For students enrolled less than full-time, 
only the fraction of time enrolled shall count toward such 
duration limits. This limitation only applies to students who 
first receive a Pell Grant on or after July 1, 2008.
    Amends section 401A to make a number of changes to the 
eligibility requirements for Academic Competitiveness Grants 
(ACG) and National Science and Mathematics Access to Retain 
Talent (SMART) grants. The amendments expand eligibility for 
such grants to students who are in school on at least a half-
time basis, clarify that eligible students enrolled in 
certificate programs of at least one year at two and four-year 
degree granting institutions are eligible for ACGs, and expand 
eligibility for National SMART grants to third and fourth year 
students who are enrolled at institutions that do not offer 
degrees in the subjects required to be eligible for a SMART 
grant (physical, life, or computer sciences, math, technology, 
engineering, or critical foreign language), but who have taken 
the required number of classes to gain such a degree at an 
institution that does grant degrees in eligible subject areas. 
Further, the section is amended to eliminate the citizenship 
requirement for grants under this section, thus enabling Pell-
eligible noncitizens to receive ACG and SMART grants. Finally, 
it amends the process by which such grants are awarded.

Sec. 402. Federal TRIO Programs

    Amends section 402A to clarify that community-based 
organizations with experience in serving disadvantaged youth 
are eligible to apply for and receive grants under this 
chapter. Further amends the section to establish that, except 
for staff training and development programs, awarded grants or 
contracts may be provided for a five-year period, and that the 
minimum amount awarded for a grant under this chapter shall be 
$200,000, except for staff training and development programs. 
For staff training and development programs, the grants may be 
provided for a two-year period, and the minimum grant awarded 
shall be $170,000. Further amends the section to make 
definitional changes and ensure that applicants for awards 
under this chapter identify services to foster care youth. 
Further clarifies that individuals who are homeless or 
unaccompanied youth (as defined in section 725 of the McKinney-
Vento Homeless Assistance Act) are eligible to participate in 
the programs under this chapter.
    Directs the Secretary to establish and use outcome criteria 
to measure the quality and effectiveness of the TRIO programs. 
Requires the criteria be disaggregated by low-income students, 
first generation college students, and individuals with 
disabilities. Requires outcome criteria to measure, where 
applicable, the delivery of service to a total number of 
students; the students' secondary school enrollment, 
graduation, and completion of a rigorous secondary school 
program of study; and the students' enrollment, retention, 
performance, and completion in an institution of higher 
education. The Secretary shall compare the results of the 
identified criteria to the targets that were agreed upon with 
the eligible entity, as established in the entity's application 
approved for funding. Further amends the section to allow 
applicants who were not funded for a program under this chapter 
to appeal the decision of the Secretary to an administrative 
law judge.
    Further amends section 402A to clarify that a ``different 
campus'' is a site of an institution that is geographically 
apart from the main campus of the institution, is permanent in 
nature, and offers courses leading to a degree, certificate, or 
other credential. Further, the term ``different population'' is 
defined as a group of individuals that is separate and distinct 
for any other population that the entity has applied for a 
grant to serve or that has distinct needs for specialized 
services. Also amends the section to define eligible veterans 
as those veterans who served on active duty for a period of 
more than 180 days, including members of a reserve component of 
the Armed Services who were called to active duty for a period 
of more than 180 days, or was a member of a reserve component 
who served on active duty in support of a contingency operation 
on or after September 11, 2001.
    Amends section 402C to clarify that mathematics and science 
preparation are eligible services to provide to veterans to 
make the transition to postsecondary education. Further amends 
the section to restrict the Secretary's use of funds for the 
purposes of evaluating and selecting participants of the Upward 
Bound program.
    Amends section 402E to include Native Hawaiians and Pacific 
Islanders as eligible participants for assistance in securing 
admission to and financial assistance for enrollment in 
graduate programs under the Postbaccalaureate Achievement 
Program.
    Amends section 402H to revise the title to read ``Reports, 
Evaluations, and Grants for Project Improvement and 
Dissemination.'' Directs the Secretary of Education to submit a 
report annually, and not later than two years after the 
participating entities submit their report to the Secretary, 
documenting the outcome data on the program's delivery of 
services, participating students' secondary and postsecondary 
school enrollment and completion, and academic performance. 
Reported data will be aggregated by individual project 
performance, include when appropriate descriptive, 
longitudinal, and multi-cohort data, and comparable data on the 
national population of low-income, first generation students 
and students with disabilities. Reports will provide national 
performance data with the primary purpose of identifying and 
highlighting best practices for increasing college access and 
persistence through implementation of the programs and 
improvement of program practices based on the outcome criteria 
outlined in section 402A. This section also specifies that the 
Secretary may not require an eligible entity that applies for 
assistance under this chapter to recruit students to serve as a 
control group in an evaluation and that the Secretary shall 
take into consideration the burden placed upon the program 
participants and eligible entity and the approval by the 
institution's institutional review board when designing an 
evaluation.

Sec. 403. GEAR UP Amendments

    Section 403 amends section 404(a) to specify that students 
with disabilities are included (1) among eligible low-income 
students for whom the Secretary is authorized to establish 
programs to encourage eligible entities to provide or maintain 
a guarantee of the financial assistance necessary to permit 
such students to attend an institution of higher education and 
(2) among students for whom the Secretary is authorized to 
support eligible entities in providing additional counseling, 
mentoring, academic support, outreach, and supportive services 
to students who are at risk of dropping out of school.
    In addition, the section amends section 404A(b) to 
eliminate the current law priority for eligible entities that 
had previously carried out programs under chapter 2 prior to 
the Higher Education Amendments of 1998. This section requires 
the Secretary of Education to give priority to eligible 
entities that carried out successful educational opportunity 
programs under this chapter (as this chapter was in effect on 
the day before the date of enactment of the College Opportunity 
and Affordability Act of 2007) and that have a prior 
demonstrated commitment to early intervention leading to 
college access through collaboration and replication of 
successful strategies; and ensures that students served under 
this chapter on the day before the date of enactment of the 
College Opportunity and Affordability act of 2007 continue to 
receive assistance through the completion of secondary school.
    The section also provides that the Secretary may award a 
grant under this chapter to an eligible entity for seven years.
    The section also amends section 404B(g) to require that 
certain eligible entities provide the option of continued 
services to program participants beyond the 12th grade and 
through a student's first year of attendance at an institution 
of higher education, and provide services to students who have 
received services under a previous GEAR UP grant award but have 
not yet completed the 12th grade. The section also requires 
eligible entities receiving grants under the chapter to provide 
comprehensive counseling, activities and information to 
participating students regarding the transition to college or 
postsecondary education through continuity of services to 
support students in and through the first year of attendance at 
an institution of higher education. Further, the section 
expands the authorized uses of funds to include providing 
eligible students with a continuing system of mentoring and 
advising through their first year of attendance at an 
institution of higher education as well as special programs or 
tutoring in science, technology, engineering, or mathematics. 
The section also provides that certain eligible entities may 
consider as priority students those in their first year of 
attendance, students in foster care, or homeless youth. 
Additionally the section provides eligibility entities with 
additional flexibility in meeting required matching fund 
requirements by allowing entities to count as matching funds 
those accrued over the full duration of the grant award period, 
provides that, in limited cases, an entity may request a 
reduced match percentage, and provides incentives for entities 
to provide students with financial assistance. In addition, 
with respect to methods for complying with matching 
requirements, the section provides that eligible entity may 
count toward the matching requirement financial assistance 
obligated to students from state, local, institutional, or 
private funds under the chapter and also clarifies other 
resources that may be counted toward matching requirements.
    The section also expands authorized uses of funds for 
purposes of early intervention by allowing eligible entities to 
provide financial literacy and economic literacy education or 
counseling to students, fostering and improving parent and 
family involvement in elementary and secondary education, 
engaging other entities in a collaborative manner to provide 
matching resources and participate in other authorized 
activities, disseminating information that promotes the 
importance of higher education, explains college preparation 
and admission requirements, and by providing technical 
assistance to middle schools, secondary schools or eligible 
partnerships.
    The section also amends section 404E to provide that 
scholarships provided for under the program are to supplement 
aid for which students are regularly eligible and provides that 
the minimum amount of a scholarship that an eligible student 
may receive under this section shall not be less than the 
lesser of (1) the minimum federal Pell Grant funded under 
section 401 for the applicable fiscal year or (2) 75 percent of 
the average cost of attendance for an in-state student in a 
four-year program of instruction at public institutions of 
higher education in such state, as determined in accordance 
with regulations prescribed by the Secretary. Also, the section 
authorizes $400,000,000 for fiscal year 2009 and such sums as 
may be necessary for each of the 4 succeeding fiscal years.

Sec. 404. Academic Achievement Incentive Scholarships

    Repeals chapter 3 of subpart 1 of part A of title IV.

Sec. 405. Federal Supplemental Educational Opportunity Grants

    Amends section 413A to authorize the program at 
$875,000,000 for fiscal year 2009 and such sums as are 
necessary for the next four fiscal years. Amends section 413D 
to increase the allowance of books and supplies used to compute 
the average cost of attendance from $450 to $600.

Sec. 406. Grants for access and persistence

    Amends section 415A to extend the authorization of the 
Leveraging Educational Assistance Partnership Program.
    Amends section 415C to change the maximum amount allocated 
by states for an individual student grant from a maximum of 
$5,000 per academic year to the lesser of $12,500 per academic 
year or the student's cost of attendance. Require states to 
notify eligible students that aid is from Leveraging 
Educational Assistance Partnership grants and funded by the 
federal government and the state.
    Rewrites section 415E. The title for section 415E, 
``Special Leveraging Educational Assistance Partnership 
Program'' is revised to read ``Grants for Access and 
Persistence.'' The purpose of this section is to increase 
college access and persistence by making states allotments to: 
expand and enhance partnerships with institutions of higher 
education and private organizations in order to provide 
additional need-based grants to eligible low-income students; 
provide early notification of eligibility for financial aid; 
and encourage participation in early information, intervention, 
and other outreach programs.
    States desiring an allotment must submit an application to 
the Secretary of Education. The application must describe the 
state's plan for using the funds and the organizational 
structure in place to administer the various activities and 
assure that the state provides the matching funds and that 
early information, intervention, and other outreach programs 
exist or will exist. State agencies must apply for an allotment 
in partnership with the following organizations or entities: at 
least one private and one public college or university located 
in the state, if applicable; early information, intervention, 
and other outreach programs located in the state; and at least 
one philanthropic organization or private corporation.
    The amount of the federal share is determined by the 
percentage of full-time students enrolled in the state's 
partnership colleges and universities in comparison to the 
total number of students attending institutions of higher 
education in the state. The federal share is 57 percent if 
enrollment in the state's partnership schools represents less 
than a majority of all students attending colleges and 
universities. The federal share is 66.66 percent if enrollment 
in the state's partnership schools represents a majority of all 
students attending colleges and universities in the state.
    Each state receiving an allotment must use funds toward the 
overall partnership to award grants for eligible low-income 
students. States must annually notify low-income students in 
grades seven through twelve of their potential eligibility for 
financial assistance. To be eligible to receive a grant, 
students must meet at least two of the following criteria: have 
an expected family contribution of zero; qualify for a free or 
reduced price lunch; qualify for the state's maximum 
undergraduate award; or participate in early information, 
intervention, or other outreach programs. Students would 
receive a grant for each year of their undergraduate education, 
as long as they remained financially eligible and meet the 
state's degree completion time limits.

Section 407. Special programs for students whose families are engaged 
        in migrant and seasonal farmwork

    Section 407 amends section 418A to expand the services 
provided by the college assistance migrant program to include 
internships, transportation, and child care. Program follow-up 
services with students, after they complete their first year of 
college, may include encouraging students to transfer from two-
year to four-year institutions of higher education. This 
section also expands eligibility for the recruitment services 
authorized under this program to children who have immediate 
family members who have spent at least 75 days over the past 24 
months in migrant and seasonal farmwork; current law only 
covers children who themselves or whose parents have spent such 
time in migrant and seasonal farmwork. This section also 
requires the Commissioner of Education Statistics to annually 
collect data about persons receiving services under this part, 
including rates of secondary school graduation, entrance into 
postsecondary education, and completion of postsecondary 
education. At least every 2 years, the Commissioner shall 
prepare and submit a report containing this data, which shall 
be made available to the public. The high school equivalency 
program and the college assistance migrant program are each 
reauthorized for such sums as may be necessary in fiscal year 
2009 and each of the four succeeding fiscal years. The 
Secretary of Education shall allocate an amount no greater than 
$180,000 for each project under the high school equivalency 
program or the college assistance migrant program. No more than 
0.5 percent of funds made available for the projects may be 
used for outreach activities, technical assistance, and 
professional development programs.

Sec. 408. Robert C. Byrd Honors Scholarship Program

    Amends subpart 6 of part A by rewriting the subpart. 
Section 419A authorizes the Robert C. Byrd Mathematics and 
Science Honors Scholarship Program. States the purposes of the 
section and defines the terms ``Computer Science,'' ``Eligible 
Student,'' ``Engineering,'' ``Life Sciences,'' ``Managing 
Agent,'' ``Mathematics,'' and ``Physical Sciences.''
    Authorizes the Secretary to make a five-year award to a 
private, non-profit organization to manage a program of 
Mathematics and Science Honors Scholarships under this section. 
Outlines requirements for the federal contribution to the 
scholarships and the maximum scholarship award. Permits the 
Secretary to establish eligibility criteria and operational 
standards for the managing agent, and review and revise those 
criteria as necessary. Permits the Secretary to terminate the 
agreement if the managing agent fails to meet the requirements 
and requires the Secretary to conduct outreach efforts to raise 
awareness of the scholarships. Outlines (1) the duties of the 
managing agent; (2) the requirements for submitting an 
application; (3) several responsibilities of students for 
receiving and maintaining a scholarship; (4) the 
responsibilities of institutions of higher education.
    Section 419B authorizes the Mathematics and Science 
Incentive Program. Authorizes the Secretary to carry out a 
program of assuming the obligation to pay, pursuant to the 
provisions of this section, the interest on a loan made, 
insured, or guaranteed under parts B and D of title IV. 
Outlines the eligibility criteria for the program. Outlines 
limitations on the obligations the Secretary is permitted to 
assume. Outlines the responsibilities of the Secretary in 
selecting program participants. Subjects the payment of 
interest under this section to the availability of 
appropriations. Outlines the period during which the Secretary 
is required to pay interest on behalf of the borrower. Requires 
the Secretary to pay to each eligible lender or holder for each 
payment period the amount of interest that accrues on a loan. 
Outlines the application procedures for eligible borrowers. 
Defines criteria for including a consolidation loan in this 
program. Prohibits the receipt of benefits under this program 
and several others. Defines the terms ``High Need Local 
Educational Agency'' and ``Mathematics, Science, or Engineering 
Professional.''
    Section 419D authorizes $50,000,000 for this subpart for 
fiscal year 2009 and such sums as may be necessary for each of 
the four succeeding years.

Sec. 409. Child care access means parents in school

    Amends section 419N to set the minimum grant level at 
$30,000. Further amends the section to decrease the minimum 
total amount of federal Pell Grant funds awarded to students 
attending an institution in order for an institution to be 
eligible for the program to $250,000 from $350,000. Further 
amends the section to clarify that students who have income 
that qualifies them for eligibility for the Pell Grant are 
eligible to receive assistance under this section, and to 
direct the Secretary to publicize the availability of grants 
under this section, including in appropriate periodicals and to 
appropriate educational organizations. Also, amends the section 
to extend the authorization to 2013.

Sec. 410. Learning Anytime Anywhere Partnerships

    Repeals subpart 8 of part A of title IV.

Sec. 411. TEACH Grants

    Amends subpart 9 of part A of title IV to make technical 
and conforming changes. Inserts a new section 420P to direct 
the Secretary to evaluate the effectiveness of the TEACH grant 
program. Through this evaluation, the Secretary shall, at a 
minimum, take into consideration: the number of TEACH grant 
recipients; the gender, race, ethnicity, and age of such 
recipients; the degrees obtained by such recipients; the 
location (including the school, local educational agency, and 
state) of where the recipients completed the service 
requirement and the subjects taught by such recipient; and the 
duration of service by grant recipients.

                 PART B--FEDERAL FAMILY EDUCATION LOANS

Sec. 421. Limitations on amounts of loans covered by federal insurance

    Amends section 424(a) to extend federal insurance on 
student loans to 2013. Further amends section 424(a) to extend 
federal insurance on student loans for students who have other 
loans under this part and are continuing their education 
through 2017.

Sec. 422. Federal interest subsidies

    Amends section 428(a) to continue the authorization for the 
guaranteed loan program. Further amends section 428(a) to 
extend the authorization on student loans for students who have 
other loans under this part and are continuing their education 
through 2017.

Sec. 423. Student loan information

    Amends section 428(k) by adding a new paragraph that 
requires a lender, secondary market, holder, or guaranty agency 
to provide upon request, free of charge and in a timely and 
effective manner, any student loan information pertaining to 
loans made under title IV to an institution of higher 
education, or a third party servicer working on behalf of such 
an institution to prevent student loan defaults, provided that 
the requested information concerns borrowers who currently 
attend or previously attended the institution. Provides that an 
institution or third party servicer obtaining access to student 
loan information shall safeguard that information in order to 
prevent potential abuses of the information, including identify 
theft. Further provides that any third party servicer shall (1) 
only use the information in a manner directly related to the 
default prevention work the servicer is performing on behalf of 
an institution, (2) not sell the information to other entities, 
(3) not share the information with, or transfer the information 
to, entities other than the borrower or the institution of 
higher education on whose behalf the third party servicer is 
working, and, (4) be subject to any regulations established by 
the Secretary pursuant to section 432 concerning the misuse of 
such information, including any penalties for misuse.

Sec. 424. Consolidation loan disclosure

    Section 424 requires lenders to disclose in a clear and 
conspicuous manner to borrowers who seek to consolidate Federal 
Perkins loans made under part E of title IV that once a 
borrower adds the borrower's Federal Perkins loan to a 
consolidation loan, the borrower will lose all interest-free 
periods that would have been available for such loan and will 
no longer be eligible for cancellation of part or all of a 
Federal Perkins loan under section 465. The section also 
requires lenders to disclose in detail the occupations listed 
in section 465 for which the borrower will lose eligibility for 
Federal Perkins loan cancellation.

Sec. 425. Loan forgiveness for service in areas of national need

    Rewrites section 428K to amend the Loan Forgiveness for 
Child Care Providers program. Renames the program the Loan 
Forgiveness for Service in Areas of National Need program. 
Outlines the purposes of the section. Authorizes the Secretary 
to assume the obligation to repay a qualified loan amount for a 
loan made, insured, or guaranteed under this part or part D 
(excluding an excepted PLUS loan, as such term is defined in 
section 493C(a)) by a borrower who has been employed full-time 
for a school, academic, or calendar year in an area of national 
need, and is not in default on a loan for which the borrower 
seeks forgiveness. Borrowers may receive up to $2,000 annually 
and $10,000 total in forgiveness under this section. 
Forgiveness is awarded on a first-come, first-served basis 
subject to the availability of appropriations.
    Identifies the areas of national need as: Early childhood 
educators; nurses; foreign language specialists; librarians, 
highly qualified teachers serving students who are limited 
English proficient, in low-income communities, or who is an 
individual from an underrepresented population in the teaching 
profession (including minority male teachers); child welfare 
workers; speech-language pathologists; national service 
participants; school counselors; public sector employees 
(individuals employed in public safety--including as a first 
responder, firefighter; police officer or other law enforcement 
or public safety officer; emergency management--including as an 
emergency medical technician; public health--including health 
care practitioners and individuals employed in health care 
support occupations (as such terms are defined by the Bureau of 
Labor Statistics); and those employed in public interest legal 
services--including prosecutors, public defenders, or legal 
advocates in low-income communities at a nonprofit 
organization); nutrition professionals; medical specialists; 
and mental health professionals.
    Prohibits a borrower from receiving a benefit for the same 
service under both this section and subtitle D of title I of 
the National and Community Service Act of 1990. Prohibits a 
borrower from receiving a reduction of loan obligations under 
both this section and sections 428J or 460. Defines the terms 
Early Childhood Educator, Eligible Preschool Program, Eligible 
Early Childhood Education Program, Low-Income Community, Nurse, 
and Speech-Language Pathologist. Authorizes such sums as may be 
necessary for fiscal years 2009-2013.

Sec. 426. Loan repayment for civil legal assistance attorneys

    Amends Part B of title IV by adding a new section 428L that 
provides for loan repayment benefits to encourage qualified 
individuals to enter and continue employment as civil legal 
assistance attorneys. Defines the term ``civil legal assistance 
attorney'' to mean an attorney who is a full-time employee of a 
nonprofit organization that provides legal assistance with 
respect to civil matters to low-income individuals without a 
fee, and as an employee provides civil legal assistance on a 
full-time basis, and is continually licensed to practice law. 
Defines the term ``student loan'' as a loan made, insured, or 
guaranteed under part B, D, or E of title IV, as well as a loan 
made under section 428C or 455(g), to the extent that such loan 
was used to repay a (1) Federal Direct Stafford Loan, Federal 
Direct Unsubsidized Stafford Loan, or Federal Direct PLUS loan, 
(2) a loan 122 made under section 428, 428B, or 428H, or (3) a 
loan made under part E. The section authorizes the Secretary to 
assume the obligation to repay a student loan for any borrower 
who is employed as a civil legal assistance attorney and is not 
in default on a loan for which the borrower seeks repayment. 
Provides that a borrower seeking such repayment will enter into 
a written agreement with the Secretary that specifies a 
borrower will remain employed as a civil legal assistance 
attorney for a period of service of not less than three years 
and that the repayment amount paid by the Secretary on behalf 
of a borrower shall not exceed $6,000 for any borrower in any 
calendar year or an aggregate total of $40,000 in the case of 
any borrower. Stipulates that the Secretary will provide, 
subject to appropriations, repayment benefits on a first-come, 
first-served basis with priority given to a borrower who (1) 
has practiced law for five years or less and, for at least 90 
percent of the time in such practice, has served as a civil 
legal assistance attorney, (2) received repayment benefits 
under this section during the preceding fiscal year, and (3) 
has completed less than three years of the first required 
period of service specified for the borrower in an agreement 
entered into with the Secretary. The section further authorizes 
to be appropriated $10,000,000 for fiscal year 2009 and such 
sums as may be necessary for each of the four succeeding fiscal 
years.

Sec. 427. Settlement of claims

    Amends section 432(c) to require the Secretary to ask for 
the Attorney General to review the terms of any proposed 
settlement exceeding $1,000,000 prior to agreeing to any such 
settlement.

Sec. 428. Delinquency prevention, default aversion, and consumer 
        education information programs

    Section 428 amends Part B of title IV by inserting a new 
section 433A ``Delinquency Prevention, Default Aversion, and 
Consumer Education Information Programs.'' Under the section, 
guaranty agencies are required to develop specific programs 
designed to prevent delinquencies and avert defaults with 
respect to loans insured by the agency. In particular, guaranty 
agencies shall develop and make available high quality 
educational programs and materials to provide training for 
students and families in budgeting and financial management, 
including debt management and other aspects of financial 
literacy, such as the cost of using high interest loans to pay 
for postsecondary education. Such programs and materials are 
required to address budgeting and financial management relating 
to student loans, and be made available to students and 
families in a form and language that is understandable, before, 
during, and after the students' enrollment. The section also 
provides that nothing in the section shall be construed to 
prohibit a guaranty agency from using existing activities, 
programs, and materials in meeting the requirements of the 
section.

Sec. 429. Definition of eligible lender

    Amends section 435(d)(1)(A)(ii) to include as an eligible 
lender a National or State charted bank with assets of less 
than $1,000,000,000 and which has as its primary consumer 
credit function the making or holding of loans made to students 
under Part B of title IV.

Sec. 430. Cohort default rates

    Amends section 435(m) to lengthen the period of time used 
in calculating cohort default rates by an additional year and 
provides that any loan which has been rehabilitated before the 
end of the time period used in calculating cohort default rates 
shall not be considered as in default for purposes of this 
subsection. The section further requires the Secretary to 
collect and report cohort default rates and life of cohort 
default rates for each category of institution, including four-
year public institutions, four-year private institutions, two-
year public institutions, two-year private institutions, four-
year proprietary institutions, two-year proprietary 
institutions, and less than two-year proprietary institutions. 
Further, the section defines life of cohort default rate, for 
any fiscal year in which one or more current and former 
students at an institution enter repayment on loans received 
for attendance at the institution, the percentage of those 
current and former students who enter repayment on such loans 
(or on the portion of a consolidation loan that is used to 
repay any such loan) received for attendance at the institution 
in that fiscal year who default before the end of each 
succeeding fiscal year.

Sec. 431. Disability determinations

    Amends section 437(a) by adding that for purposes of 
repayment by the Secretary of loans of disabled borrowers, a 
borrower who receives a permanent total disability rating from 
the Secretary of Veterans Affairs, and who provides 
documentation of such rating to the Secretary of Education, 
shall be considered permanently and totally disabled for the 
purpose of discharging such borrower's loans under this 
subsection, and such borrower shall not be required to present 
additional documentation for purpose of this subsection.

                       PART C--COLLEGE WORK/STUDY

Sec. 441. Reauthorization

    Section 441 increases the authorization level for the 
College Work Study program and extends the authorization of the 
program. This section also allows funds under work study to be 
used for activities that respond to the needs of a community 
during natural disasters.

Sec. 442. Additional funds for off-campus community service

    Section 442 provides authority to the Secretary to award 
grants to institutions of higher education to supplement off-
campus community service employment. Under this section, 
priority is given to applications that support activities 
related to early childhood education and in preparation for and 
during emergencies and natural disasters.

Sec. 443. Work Colleges

    Section 443 emphasizes the importance of service in work-
colleges. It amends the work-colleges section throughout to 
change comprehensive work-learning programs to comprehensive 
work-learning-service programs. Comprehensive work-learning-
service programs are defined as student work-learning-service 
programs that, among other requirements, are an integral and 
stated part of the institution's educational philosophy and 
program; require participation of all resident students for 
enrollment and graduation; include learning objectives, 
evaluation, and a record of work performance as part of the 
student's college record; and includes consequences for non-
performance or failure in the work-learning-service program 
similar to the consequences for failure in the regular academic 
program.
    This section also adds to authorized activities under this 
section the support of existing and new model student volunteer 
community service projects associated with local institutions 
of higher education. It also limits the definition of work-
colleges to four-year, degree-granting institutions. Such 
schools must require all resident students, including at least 
one half of resident students who are enrolled on a full-time 
basis, to participate in a comprehensive work-learning-service 
program for not less than five hours each week, or not less 
than eighty hours during each period of enrollment except 
summer school.

                  PART D--FEDERAL DIRECT STUDENT LOANS

Sec. 451. Reauthorization

    Section 451 amends section 458(a) to extend the 
authorization of the program to 2013.

Sec. 452. Public service job definition

    Section 452 amends 455(m) by further clarifying the jobs to 
be considered under the definition of public service.

Sec. 453. Identity fraud protection

    Section 453 amends section 455 by adding a new subsection 
that requires the Secretary to ensure that monthly direct loan 
statements, do not contain the four digits of the social 
security number of an individual.

Sec. 454. Direct loan program audit and reporting requirements

    Section 454 requires the Secretary to perform an audit of 
the William D. Ford Direct Loan Program.

                         PART E--PERKINS LOANS

Sec. 461. Extension of authority

    Section 461 authorizes $350 million for fiscal year 2009 
and the succeeding four fiscal years.

Sec. 462. Allowance for books and supplies

    Section 462 increases the allowance for books and supplies 
from $450 to $600.

Sec. 463. Agreements with institutions

    Section 463 amends provisions concerning the collection of 
Perkins loans to include an option for the collection by the 
Secretary. This section also includes a limitation on the 
Secretary to require the assignment of loans to the Secretary.

Sec. 464. Perkins loan terms and conditions

    Section 464 increases the loan amount a student may receive 
under Perkins. Additionally, this section amends the provisions 
with respect to forbearance of a Perkins loan.

Sec. 465. Cancellation for public service

    Section 465 adds to the list of those service occupations 
eligible for Perkins loan cancellation the following: (1) full-
time staff members in a pre-kindergarten or child care program 
that is licensed or regulated by the state (in addition to Head 
Start), (2) a full-time firefighter, (3) full-time faculty 
members at Tribal Colleges and Universities, (4) librarians 
with a master's degree in library science who are employed in 
an elementary or secondary school that is eligible for 
assistance under title I of Elementary and Secondary Education 
Act or in a public school library that serves a geographic area 
that contains one or more title I eligible schools, and (5) 
full-time speech language therapists with a master's degree 
working exclusively with schools that are eligible for 
assistance under title I of the Elementary and Secondary 
Education Assistance Act.
    This section also makes a technical change with regard to 
service for full-time teachers.

                         PART F--NEED ANALYSIS

Sec. 471. Cost of attendance

    Amends section 472 to state that the room and board 
allowance for students who live in housing located on a 
military base or for which basic allowance is provided for 
under section 403(b) of title 37 of United States Code shall 
only be based on the expenses incurred by such students for 
board, and shall not include the expenses incurred by such 
students for room.

Sec. 472. Discretion to make adjustments for nursing home expenses

    Amends section 479A to include nursing home expenses as one 
of the items taken into consideration by financial aid 
administrators as a special circumstance when making 
adjustments, on a case-by-case basis, to the financial aid 
award for individual students.

Sec. 473. Definitions

    Amends section 480 to define total income for dislocated 
workers as the estimated adjusted gross income plus estimated 
untaxed income minus the estimated excludable income for the 
current tax year. Further amends section 480(b) to exclude from 
the definition of untaxed income the value of on-base military 
housing or the basic allowance for housing determined under 
section 403(b) of title 37 of the United States Code received 
by the parent in the case of a dependent student or by the 
student or student's spouse in the case of an independent 
student. Amends section 480(j) to state that for the purposes 
of determining the estimated financial assistance received from 
non-title IV sources, for the first year that a student 
receives veterans' education benefits under chapter 30 of title 
38, such benefits shall be calculated by subtracting from the 
total veterans' benefit received the amount that such student's 
basic pay was reduced in order to receive such veterans' 
benefits. This section will be effective on July 1, 2009.

                       PART G--GENERAL PROVISIONS

Sec. 481. Compliance calendar

    Amends section 482 by adding a new subsection to direct the 
Secretary to provide institutions of higher education a list of 
all reports and disclosures required under this Act prior to 
the beginning of each award year. Such a list shall include: 
the date each report is due, the required recipients, the 
method of transmission, a description of the contents of the 
report, references to the statutory authority, regulations, and 
current guidance, and any other information as the Secretary 
may require.

Sec. 482. Improvements to paper and electronic forms and processes

    Amends section 483 to establish common financial aid forms 
and processing that are developed in cooperation with 
representatives of agencies and organizations involved in 
student financial assistance. These forms shall be produced, 
distributed and processed free of charge and made available to 
applicants in both paper and electronic formats and referred to 
as the ``Free Application for Federal Student Aid'' or 
``FAFSA''. The Secretary shall permit an applicant to complete 
a FAFSA form in the years prior to postsecondary enrollment to 
obtain from the Secretary a non-binding estimate of the 
applicant's expected family contribution. The Secretary shall 
also develop, field test, and implement a simplified paper 
application form, to be known as the ``EZ FAFSA '' to be used 
by families who have a zero expected family contribution or who 
are eligible for the simplified needs test. The Secretary shall 
include on the EZ FAFSA any data that is required by states, 
provided the state permits its applicants to use the EZ FAFSA 
for state assistance, and publish annually in the Federal 
Register a request for states to inform the Secretary of 
questions they need on the FAFSA to gather information relevant 
to state programs. All information on the FAFSA shall be 
available to institutions of higher education, guaranty 
agencies, and states.
    The Secretary is encouraged to significantly reduce the 
number of data elements required to be entered by all 
applicants, with the goal of reducing such number by 50 
percent. Further, the Secretary shall permit an electronic form 
to be submitted without a signature if a signature is 
subsequently submitted or if the applicant uses a personal 
identification number (PIN) provided by the Secretary. The 
Secretary shall implement a realtime data match between the 
Social Security Administration and the Department to minimize 
the time required for an applicant to obtain a PIN. The 
Secretary shall also develop a streamlined reapplication form 
and process, including both paper and electronic versions for 
an applicant who applies for financial assistance in succeeding 
academic years. In the reapplication process, families 
determined to have a zero family contribution shall not be 
required to provide any financial data.
    Further amends the section to authorize an early 
application and award demonstration program, in order to 
determine the feasibility of implementing a comprehensive early 
financial aid application and notification system for all 
dependent students and to measure the benefits and costs of 
such a system. This demonstration program shall enable 
dependent students who wish to participate to complete an 
application under this subsection during the academic year that 
is two years prior to the year such students plan to enroll in 
an institution of higher education, and based on this 
application, to obtain an estimate of the students' financial 
aid award and update and receive final financial aid award 
information in the year prior to such students' planned year of 
enrollment. The Secretary of Education shall conduct a rigorous 
evaluation of this demonstration program to measure the 
program's benefits and adverse effects. Such an evaluation 
shall include, among other factors, an identification of the 
feasibility of enabling dependent students to apply for 
federal, state, and institutional financial aid in their junior 
year of high school by completing the forms identified in this 
section; whether receiving financial aid awards or estimates 
one year prior to the year in which the student plans to enroll 
in an institution of higher education has a positive impact on 
the higher educational aspirations of the student; the extent 
to which using a student's income information from years prior 
to the student's planned enrollment date had an impact on the 
ability of states and institutions to make financial aid awards 
and commitments; and identify the benefits and adverse effects 
of providing early awards or estimates on program costs, 
program operations, program integrity, award amounts, 
distribution, and delivery of aid.
    Amends section 482(a) to include the publication of state 
requirements in the master calendar. Requires the Secretary to, 
not later than one year after the date of enactment, develop a 
model institution financial aid offer form that presents in a 
consumer-friendly manner the student's cost of attendance, the 
amount of financial aid that the student does not have to repay 
(for example, scholarships and grants) and the terms under 
which such aid is renewable, the amount of work-study 
assistance the student is eligible to receive, the amount and 
terms of student loans that the student and their parents are 
eligible for, the difference between the cost of attendance at 
the institution of higher education and the financial aid 
offered, and where a student or a student's parent may seek 
additional information regarding financial assistance. The 
Secretary shall develop this form in consultation with 
representatives of key constituencies, including students, 
parents, financial aid administrators, and consumer groups.

Sec. 483. Increasing access to technology

    Amends section 483 to direct the Secretary to use any 
savings from moving more applicants from submitting paper forms 
to electronic forms to increase access to such electronic forms 
for students who meet the eligibility of the ``auto-zero'' or 
``simplified needs test'' requirements (section 479(b) or (c)).

Sec. 484. Sense of the Congress; Report

    States that it is the sense of the Congress that the 
Secretary of Education and the Secretary of the Treasury should 
work together to develop a process by which the Department of 
Education will, with the aid applicant's permission, draw 
income information directly from the Internal Revenue Service 
for the purpose of completing the FAFSA form (including the EZ 
FAFSA and FAFSA renewal applications) in order to simplify the 
FAFSA, ease the burden of application on students and families, 
increase the efficiency and accuracy of financial aid 
applications, reduce the need for further verification of aid 
applications, and protect the security, privacy and safety of 
all data. Further, directs the Secretary of Education to report 
to Congress within one year of the date of enactment of the 
College Opportunity and Access Act the progress of devising the 
process described in the sense of the Congress and inform the 
Congress of any necessary statutory changes to increase the 
efficiency and effectiveness of the FAFSA.

Sec. 485. Student eligibility

    Amends section 484(a) and section 484(j) to ensure that 
students attending institutions of higher education who are 
citizens of the Republic of Palau are eligible to receive 
financial assistance under this Act.
    Amends section 484(l) to specify that students enrolled in 
programs that lead to a recognized certificate, or associate, 
baccalaureate, or graduate degrees, that are offered 
principally through distance education shall not be considered 
to be enrolled in correspondence courses.
    Amends section 484(r) to allow students convicted of a drug 
offense to be eligible to receive federal financial aid if the 
student successfully passes two unannounced drug tests 
conducted by an approved drug rehabilitation program. Further 
amends section 484(r) to ensure that institutions of higher 
education provide a separate, clear, and conspicuous written 
notice to students upon enrollment that advises them of the 
penalties under this subsection.
    Inserts section 484(s) to allow students with intellectual 
disabilities to be eligible to receive financial assistance 
under this Act, even if they are enrolled in non-degree 
programs. To qualify for grants or work assistance under 
section 401, subpart 3 of part A, or part C of this title, such 
student shall be an individual with an intellectual disability 
whose significant cognitive impairment substantially impacts 
the individual's intellectual and cognitive functioning. The 
student must be enrolled or accepted for enrollment in a 
comprehensive transition and postsecondary education program 
that is designed for such students to continue academic, 
vocational, and independent living instruction at the 
institution in order to prepare for gainful employment and 
independent living, among other requirements.
    Inserts section 484(t) `Data analysis on access to federal 
student aid for certain populations,' to require the Secretary 
to analyze, and report to Congress, data from the FAFSA with 
respect to information on the number, characteristics, and 
circumstances of students denied federal student aid based on 
drug convictions while receiving federal student aid.

Sec. 486. Assessment of costs and other charges

    Amends section 484A(b) to determine that institutions of 
higher education shall not be subject to a claim of infancy 
defense raised by a borrower for the purposes of the Perkins 
loan program.

Sec. 487. Readmission requirements for servicemembers

    Amends section 484B(a)(2) by adding a new subparagraph that 
requires institutions of higher education to submit to the 
Secretary a statement justifying any policy that the 
institution may have that requires a student who is a member of 
the Armed Forces, including members of the National Guard or 
other reserve component, who is on active duty, or is called or 
ordered to active duty and whose attendance at as such 
institution is interrupted by such active duty to apply for 
readmission to such institution after the conclusion of such 
active duty.

Sec. 488. Institutional and financial assistance information for 
        students

    Amends section 485(a)(1) by inserting a new subparagraph to 
require institutions of higher education to disclose 
institutional policies and sanctions regarding copyright 
infringement, including a disclosure that informs students that 
unauthorized distribution of copyrighted material may subject 
students to civil and criminal liabilities, includes a summary 
of the penalties for violating federal copyright laws, a 
description of the institution's policies with respect to 
unauthorized peer-to-peer file sharing, and a description of 
the actions that the institution takes to prevent and detect 
unauthorized distribution of copyrighted material.
    Amends section 485(f) to state that only institutions of 
higher education in the United States need to report on crime 
statistics. Further amends the specific criminal offenses to be 
reported in order to make institutional reporting to the 
Department of Education consistent with reporting required by 
the Federal Bureau of Investigations. The section is further 
amended to direct the Secretary to annually report to the 
authorizing Congressional committees, institutional compliance 
with this subsection and provides that the Secretary may seek 
the advice and counsel of the Attorney General in developing 
and disseminating best practices information about campus 
safety and emergencies. Specifically prohibits retaliation 
against any individual by an institution of higher education or 
officer, employee, or agent of the institution for the purposes 
of interfering with the implementation of any provision under 
this subsection because the individual testified or otherwise 
participated in an investigation, proceeding or hearing.
    Inserts a new subsection to 485 that requires each 
institution of higher education that participates in programs 
under title IV to publicly disclose the institution's transfer 
of credit policy that includes any criteria the institution 
uses regarding the transfer of credit earned at another 
institution of higher education and a list of institutions with 
which the institution has established an articulation 
agreement. Provides that nothing in this subsection is intended 
to authorize the Secretary of Education or the National 
Advisory Committee on Institutional Quality and Integrity to 
require particular policies or practices by institutions of 
higher education, authorize an officer or employee of the 
Department of Education to exercise direction or control over 
an institution's curriculum, program of instruction, or 
administration or over any accrediting body, limit the 
application of the General Education Provisions Act, nor create 
a legally enforceable right for a student to require an 
institution of higher education to accept a transfer of credit 
from another institution.
    Further amends section 485 to insert a new subsection that 
requires institutions of higher education to publish annually a 
fire safety report on on-campus student housing with respect to 
campus fire and safety practices, including statistics 
concerning the number and cause of fires in each on-campus 
student housing facility, as well as the injuries related to 
such fires that result in medical treatment, the number of 
deaths related to a fire, and the value of property damage 
caused by a fire; a description of each on-campus student 
housing facility fire safety system; the number of regular 
mandatory supervised fire drills; policies or rules on 
procedures for evacuation, fire safety education and training 
programs, among other policies; and plans for future 
improvements in fire safety. The Secretary shall make these 
statistics available to the public. The Secretary shall also, 
in coordination with nationally recognized fire organizations 
and representatives of institutions of higher education, 
associations of institutions of higher education, and other 
relevant organizations, identify exemplary fire safety 
policies, procedures, programs, and practices, and make 
information concerning those policies, procedures, programs and 
practices that have been effective available to the public. 
Each institution of higher education to maintain a log 
regarding all fires in on-campus student housing facilities, 
and make annual reports to the campus community on such fires.
    Inserts a new subsection that requires institutions of 
higher education to include on the form required for 
registration or enrollment an item in which the student can 
identify an individual they wish the institution to contact if 
the student is reported missing. Further, institutions are 
required to establish protocols for missing students that any 
missing person report related to a student be referred to the 
institution's police or campus security department and that if 
the student has been missing for more than twenty-four hours, 
the institution shall contact the individual identified by the 
student or the parent of the student if the student is under 
eighteen years of age.

Sec. 489. Articulation agreements

    Inserts a new section 486A to direct the Secretary to carry 
out a program for states, in cooperation with public 
institutions of higher education, to develop, enhance, and 
implement comprehensive articulation agreements at institutions 
within a state and, to the extent practicable, across state 
lines by 2010. Such articulation agreements should be made 
widely and publicly available on websites and application 
materials. States and institutions may employ effective 
strategies when developing such articulation agreements, 
including common course numbering, adoption of a general 
education core curriculum, and developing and enhancing 
articulation agreements that include both public and private 
institutions of higher education. The Secretary is directed to 
provide technical assistance to states and institutions in 
carrying out this section. This section is to encourage and 
strengthen articulation agreements between institutions, 
particularly between institutions contained in a state system, 
and nothing in this section is intended to limit the academic 
freedom of any institution of higher education.
    The section further requires that the Secretary conduct a 
study to review the articulation agreements at state-based 
college and university systems (including junior and community 
colleges), as well as those at other institutions of higher 
education. The Secretary shall consider the extent to which 
states and institutions have implemented such agreements, the 
best practices and innovative strategies employed to implement 
such agreements, and the barriers to implementation. Further, 
the study shall identify the number and type of institutions 
participating in articulation agreements, the cost savings to 
the institutions and to the students, what particular 
strategies are being employed, the effective use of 
technologies to contain cost, maintain quality of instruction, 
and inform students, and, to the extent practicable, a 
description of the students to whom the articulation agreements 
are offered and who take advantage of the agreements. The 
Secretary shall submit the study's interim findings not later 
than two years after the date of enactment of the College 
Opportunity and Affordability Act of 2007, and final findings 
not later than January 1, 2013.
    The section defines the term ``articulation agreement'' as 
an agreement between two or more institutions of higher 
education that specifies the acceptability of courses in 
transfer toward meeting specific degree requirements.

Sec. 490. Program participation agreements

    Amends section 487(a) by inserting a new subparagraph (D) 
in paragraph (23) to clarify that an institution is permitted 
to provide voter registration material electronically via the 
form itself or with information and a link to the forms 
accepted in the institution's state.
    Adds an additional subparagraph (24) that requires 
institutions that have entered into preferred lender 
arrangements to compile, maintain, and make available for 
students attending the institution and the parents of such 
students a list of the lenders for educational loans that 
institutions recommend, promote, or endorse in accordance with 
its preferred lender arrangement. Requires the institution to 
clearly and fully disclose on such list (1) the information 
required under section 153, (2) why the institution has entered 
into a preferred lender arrangement with each listed lender 
and, (3) that students attending the institution, or the 
parents of such students, do not have to borrow from a listed 
lender. The subparagraph also requires that such lists contain 
no fewer than three unaffiliated lenders of loans made under 
part B and not less than two unaffiliated lenders of private 
educational loans. Further, institutions must disclose the 
method and criteria used in selecting lenders and ensure that 
such lenders are selected on the basis of the benefits provided 
to borrows and exercise a duty of care and a duty of loyalty to 
the students attending the institution in compiling the list 
and not deny or otherwise impede borrowers' choice of a lender 
or cause unnecessary delays in loan certification for those 
borrowers who choose a lender that has not been recommended, 
promoted, or endorsed by the institution. The subparagraph also 
provides that the Secretary shall maintain and update a list of 
lender affiliates for institutions' use.
    Further amends the section by adding a subparagraph (25) 
that requires institutions of higher education to annually 
report to the Secretary data on the number and percentage of 
students taking classes through distance education, both in 
whole and in part, the number and percentage of courses that 
are offered by the institution that are offered through 
distance education. Inserts a subparagraph (26) to require 
institutions, within one year of the date of enactment of this 
Act, to disclose to an alleged victim of any crime of violence 
or non-forcible sex offense, the final results of any 
disciplinary proceeding. If the victim is deceased, that 
information is required to be disclosed to the victim's next of 
kin.
    Amends section 487 by inserting a new subparagraph (27) 
requiring that a proprietary institution of higher education 
have not less than 10 percent of its revenues from sources 
other than funds provided under title IV. Further provides for 
a new subsection (f) to implement the non-title IV revenue 
requirement. Outlines how the 10 percent established in section 
487(a)(27) must be calculated. States that an institution that 
fails to meet the requirement in section 487(a)(24) for two 
consecutive years will become ineligible to participate in the 
title IV programs for at least the three fiscal years following 
the fiscal year the institution becomes ineligible. Also 
outlines sanctions the Secretary shall impose on an institution 
that fails to meet the requirement in any given year. Requires 
the Secretary to identify on the College Navigator website any 
institution that fails to meet the requirements of section 
487(a)(27) in any year. Also requires the Secretary to annually 
provide to the authorizing committees a report that contains, 
for each institution subject to the requirement of subsection 
(a)(27), the result of the calculation of revenue performed by 
each such institution pursuant to subsection (a)(27).
    Inserts a new subparagraph (28) to require institutions to 
establish a policy, which may include a forensic scrub, on the 
disposal or disposition of all technology assets which may have 
personal data of such institution's students.
    Amends section 487(c) to permit the Secretary to modify the 
audit requirements for foreign schools, and to waive the 
requirements for foreign institutions with loan volumes under 
$500,000. Further amends the section to provide that any 
institution that undergoes an audit under clause (i) and more 
than 5 percent of such institution's students receive financial 
assistance under section 484(d) must also undergo an additional 
review to ensure compliance with regulations prescribed by the 
Secretary under 484(d).

Sec. 491. Regulatory relief and improvement

    Amends section 487A(b) to maintain the quality assurance 
programs and the experimental sites. The Secretary has the 
authority to establish additional experimental sites in 
addition to maintaining the existing sites if the institution 
wishes to continue participation. This section requires the 
Secretary to review and submit a biennial report to the 
authorizing Congressional committees on the experience of 
institutions participating as experimental sites.

Sec. 492. Advisory Committee on Student Financial Assistance

    Amends section 491 to include in the purpose of the 
Advisory Committee on Student Financial Assistance to provide 
knowledge and understanding of early intervention programs and 
early awareness of eligibility for financial assistance, and to 
make recommendations that will expand and improve partnerships 
among the federal government, states, institutions, and other 
entities to increase awareness of need-based student 
assistance. Further amends the section include a new function 
of the committee to monitor the adequacy of total need-based 
aid available to low- and moderate-income students. Extends the 
authorization for the Committee until 2011.

Sec. 493. Negotiated rulemaking

    Amends section 492 to state that individuals who are 
eligible to participate in negotiated rulemaking must also have 
recognized legitimacy as designated representatives of major 
stakeholders, sectors, and constituencies in the higher 
education community.

Sec. 494. Technical amendment

    Amends section 493C(b)(1) to clarify that borrowers 
currently in default are not eligible to elect the Income Based 
Repayment plan.

Sec. 495. Campus-based digital theft prevention

    Section 494 authorizes the Secretary to make grants to 
institutions of higher education or consortia, and other 
organizations, to develop, implement, operate, improve and 
disseminate programs aimed at reducing and eliminating illegal 
downloading and distribution of intellectual property.
    This section also establishes an application process and 
authorizes the program at such sums as may be necessary for 
fiscal year 2009 and each of the four succeeding fiscal years.

                       PART H--PROGRAM INTEGRITY

Sec. 496. Recognition of accrediting agency or association

    Section 496 expands the criteria required for an 
accrediting agency to be determined reliable by the Secretary 
for those agencies or associations seeking to evaluate 
institutions or programs offering distance education, and 
changes the factors that an accrediting agency must consider in 
accrediting institutions of higher education offering distance 
education.
    Under this section the agency or association must also 
demonstrate to the Secretary that it will apply review 
procedures throughout the accrediting process that comply with 
due process procedures. The agency must make available to the 
public and the state licensing or authorizing agency, and must 
submit to the Secretary, a summary of agency or association 
actions, including the accreditation or re-accreditation of an 
institution, including any final denial, withdrawal, suspension 
or termination of accreditation, or placement on probation of 
an institution, and any findings made in connection with those 
actions, together with the official comments of the affected 
institution.
    Under this section agencies must also require institutions 
of higher education to submit a teach-out plan for approval to 
the agency when any of the following occur: the Department 
notifies the accrediting agency of an action against the 
institution pursuant to section 487(d); the accrediting agency 
acts to withdraw, terminate, or suspend the accreditation of an 
institution; or the institution notifies the accrediting agency 
that the institution intends to cease operations.
    This section also requires that an agency or association 
must confirm as part of its accreditation process that an 
institution publicly discloses its transfer of credit policies, 
and whether the institution denies transfer of credit based 
solely on the accreditation of the sending institution.
    Nothing in this section shall be construed to permit the 
Secretary to establish criteria that specify, define or 
prescribe the standards that accrediting agencies or 
associations shall use to assess an institution's success with 
respect to student achievement.

Sec. 497. Accreditation Ombudsman

    Section 497 creates an ombudsman for accreditation whose 
function is to provide timely assistance to institutions of 
higher education, accrediting agencies and associations, and 
other participants in the accreditation process with grievances 
related to the accreditation process.

Sec. 498. Program review and data

    Section 498 requires the Secretary to provide an 
institution with an adequate opportunity to review and respond 
to any program review report, and any relevant materials 
related to the report, before a final program review report is 
issued.
    The Secretary will review and consider an institution's 
response in any final program review determination. The 
Secretary, at all times, will maintain and preserve the 
confidentiality of any program review report or determination 
until the requirements of paragraphs (6) and (7) are met, and 
until a final program review determination is issued, other 
than to the extent required to comply with paragraph (5), 
except that the Secretary will promptly disclose any and all 
program review reports to the institution of higher education 
under review.

Sec. 499. Competitive loan auction pilot program evaluation

    Section 499 requires the Secretary and Secretary of the 
Treasury to jointly conduct an evaluation, in consultation with 
the Office of Management and Budget, the Congressional Budget 
Office, and the Comptroller General, of the pilot program 
carried out by the Secretary under this section. Specifies that 
the evaluation shall determine the extent of the savings to the 
federal government that are generated through the pilot 
program, compared to the cost the federal government would have 
incurred in operating the parent loan program under section 
428B of the Higher Education Act of 1965 in the absence of the 
pilot program; the number of lenders that participated in the 
pilot program, and the extent to which the pilot program 
generated competition among lenders to participate in the 
auctions under the pilot program; the number and volume of 
loans made under the pilot in each state; the effect of the 
transition to and operation of the pilot program on the ability 
of lenders participating in the pilot to originate loans made 
through the pilot smoothly and efficiently, the ability of 
institutions of higher education participating in the pilot 
program to disburse loans made through the program smoothly and 
efficiently, and the ability of parents to obtain loans made 
through the pilot program in a timely and efficient manner; the 
differential impact, if any, of the auction among the states, 
including between rural and non-rural states; and the 
feasibility of using the mechanism piloted to operate the other 
programs under part B of title IV of the Higher Education Act; 
and, the feasibility of using other market mechanisms to 
operate the loan programs under part B of title IV of the 
Higher Education Act, including the sale of securities backed 
by federally-owned student loan assets originated by banks 
acting as agents of the federal government. The Secretary and 
the Secretary of the Treasury are required to submit to the 
authorizing committees a preliminary report by September 1, 
2010, an interim report by September 1, 2012, and a final 
report by September 1, 2013.

                      TITLE V--TITLE V AMENDMENTS

Sec. 501. Postbaccalaureate opportunities for Hispanic Americans

    Amends title V by inserting a new part B, which authorizes 
the ``Promoting Postbaccalaureate Opportunities for Hispanic 
Americans'' program. Section 511 outlines the purposes of the 
program. Section 512 authorizes the Secretary to award 
competitive grants to Hispanic-serving institutions determined 
by the Secretary to be making substantive contributions to 
graduate educational opportunities for Hispanic students. 
Defines the term ``Eligible Institution.'' Section 513 lists 
the activities grantees are authorized to undertake. Section 
514 outlines how applications are to be submitted, establishes 
a duration of five years for grants awarded, and limits to one 
the number of grants any single institution can receive under 
this part in one fiscal year.

                     TITLE VI--TITLE VI AMENDMENTS

Sec. 601. International and foreign language studies

    Amends section 601 with regard to the findings and purposes 
of this Act.
    Amends section 602(a) by authorizing the Secretary to award 
grants to support instructors of the less commonly taught 
languages; authorizing the dissemination of materials developed 
by centers and programs to local educational agencies, public 
and private elementary and secondary schools, and institutions 
of higher education; authorizing projects that support in 
students an understanding of science and technology in 
coordination with foreign language proficiency; and encouraging 
partnerships between two- and four-year institutions of higher 
education, colleges of education, and federal and state 
departments and agencies.
    Amends section 602(b) by inserting ``Undergraduate'' in the 
subsection heading for this program. Additional amendments to 
include among eligible students those engaged in an 
instructional program with stated performance goals.
    Amends section 603(c) regarding Language Resource Centers.
    Amends section 604 by authorizing additional uses of funds 
for sending undergraduate students on educational programs 
abroad to enhance their foreign language proficiency and 
cultural knowledge; requiring grantees to submit program 
evaluations; and removing the 10 percent funding cap for this 
section.
    Amends section 605(a) by modifying authorized activities to 
encourage the Department of Education to engage in data 
collection, analysis, and dissemination of international 
education and foreign language needs and outputs.
    Amends section 606 by permitting museums to apply for 
grants under this section; by authorizing funds to be used for 
the acquisition of printed material from abroad for the 
purposes of this section, the development of standards for 
electronic access, the means for access of international data, 
the establishment of linkages with institutions abroad that 
facilitate access to foreign information, and to provide the 
Department of Education with the flexibility to establish new 
activities that are useful for carrying out the purposes of 
this section, with the idea that future technological changes 
may enhance the activities which could be conducted under this 
section; and allows the Secretary of Education to waive or 
reduce the non-federal share for institutions that are eligible 
to receive assistance under part A or B of title III or under 
title V and have demonstrated a need for a waiver in the grant 
application.
    Amends section 607(b) by requiring the Secretary to take 
into account the degree to which grant applicants address 
national interests and generate and disseminate information 
from diverse perspectives with regard to international issues.
    Amends section 608(a) with regard to equitable 
distribution.
    Amends section 610 with regard to the authorization of 
appropriations, to authorize such sums as may be necessary for 
fiscal year 2009 and the four succeeding fiscal years.

Sec. 602. Business and international education programs

    Section 602 amends section 612, the Centers for 
International Business Education to authorize the Secretary to 
award grants to institutions of higher education to operate 
international centers for business education that will work 
with foreign countries to encourage the advancement and 
understanding of technological management and manufacturing 
software systems. This section additionally allows the 
Secretary to waive or reduce the required non-federal share for 
institutions of higher education. Finally, this section 
authorizes the program at such sums as may be necessary for 
fiscal year 2009 and each of the four succeeding fiscal years.

Sec. 603. Institute for International Public Policy

    Section 603 amends section 621 by clarifying that the 
Institute for International Public Policy shall include all 
underrepresented minorities in its program in order to enhance 
participation in international service; by modifying the 
heading of section 621 to read ``Program for Foreign Service 
Professionals''; and, by clarifying that eligible recipients 
include all MBIs and institutions that serve substantial 
numbers of underrepresented students.
    Amends section 622 by encouraging collaboration among 
colleges and universities receiving funds under this title.
    Amends section 623(a) to include Alaska Native-serving, 
Native Hawaiian-serving, and Hispanic-serving institutions in 
the study abroad program.
    Amends section 624 by modifying the heading of section 624 
to read ``Advanced Degree in International Relations;'' and by 
authorizing the Institute for International Public Policy's 
consortia of institutions to provide advanced degree programs 
in a variety of academic areas.
    Amends section 625 to include Alaska Native-serving, Native 
Hawaiian-serving, and Hispanic-serving institutions in the 
internships program; by repealing the Interagency Committee on 
Minority Careers in International Affairs; and by stating that 
students who participate in Internship programs under 
subsections (a) and (b) will be called ``Ralph J. Bunche 
Fellows.''
    Amends section 626 by requiring the Secretary to submit a 
biennial report.
    Amends section 628 with regard to the authorization of 
appropriations for this part.

Sec. 604. Preparing for early foreign language instruction

    Section 604 creates a new program through section 631. 
Section 631 includes definitions related to this new program as 
well as specifies the purpose of this new program which is to 
improve the performance of students in the study of foreign 
languages through partnerships with states and institutions of 
higher education and elementary and secondary schools. This 
section specifies the duration of the grant as well as the 
federal and non-federal share that is required of grantees. 
This section also establishes a priority to eligible 
partnerships that include high-need local educational agencies 
or those that emphasize the teaching of commonly taught and 
critical foreign languages. Additionally, this section outlines 
an application process and the authorized activities required 
under this program. Finally, this section mandates that each 
grantee develop an evaluation and accountability plan as well 
as submit an annual report. This program is authorized at such 
sums for fiscal year 2009 and such sums as may be necessary for 
each of the four succeeding fiscal years.

Sec. 605. Evaluation, outreach, and dissemination

    Section 605 creates a new section 642 of title VI to 
authorize the Secretary to use not more than 1 percent of the 
funds made available for this title for program evaluation, 
national outreach, and information dissemination activities.

Sec. 606. Student safety

    Section 606 creates a new section 643 of title VI to 
specify that applicants seeking funds under this title to 
support student travel abroad shall submit a description of 
safety policies and procedures for students participating in 
the program.

Sec. 607. Science and technology advanced foreign language education 
        grant program

    Section 607 creates a new program in section 644.
    The section specifies the purpose of the program to 
encourage students to develop an understanding of science and 
technology, and foreign language proficiency, as well as foster 
future international scientific collaboration.
    This section allows the Secretary to promulgate regulations 
for the awarding of grants and specifies the grant 
distribution. This program is authorized at such sums for 
fiscal year 2009 and such sums as may be necessary for each 
subsequent fiscal year.

Sec. 608. Reporting by institutions

    Section 608 creates a new section 645 to require reporting 
of gifts received by institutions of higher education under 
this title. This section also includes exemptions from 
reporting as well as consequences for failure to report.

Sec. 609. Federal foreign language education marketing campaign

    Section 609 requires the Secretary to establish a marketing 
campaign aimed at encouraging students to study foreign 
languages.

                    TITLE VII--TITLE VII AMENDMENTS

Sec. 701. Javits fellowship program

    Amends section 701(a) by adding language after the second 
sentence clarifying that a master's degree in fine arts shall 
be considered a terminal degree for the purposes of this 
program. Amends section 701(c) by allowing institutions of 
higher education to grant fellowship recipients an interruption 
of study due to active duty military service or a personal or 
family member illness.
    Amends section 702(a)(1) with regard to the allocation of 
fellowships within the Jacob K. Javits program and by requiring 
the Secretary to ensure that one member of the fellowship board 
will be from a minority-serving institution.
    Amends section 703 with regard to stipends and by providing 
for institutional allowances.
    Amends section 705 with regard to the authorization of 
appropriations.

Sec. 702. Graduate assistance in areas of national need

    Amends section 712 pertaining to the designation of areas 
of national need and instructs the Secretary to take into 
consideration the extent to which interest in the area is 
compelling and other federal programs support study in the 
area, an assessment of how the program may achieve the most 
significant impact and current and future workforce needs, and 
the priority in subsection (c). Further amends section 712 by 
inserting subsection (c), which requires the Secretary to 
establish a priority for grants to prepare faculty to train 
highly qualified elementary and secondary school teachers of 
math, science and special education, and teachers who will 
provide instruction for limited English proficient individuals.
    Amends section 713(b) to require grantees that are 
departments, programs, or units involved in teacher preparation 
to provide assurances that the grantee collaborates with other 
departments within the institution to ensure a successful 
combination of training in both teaching and content.
    Amends section 714 with regard to stipends and to make 
technical amendments.
    Amends section 715(a)(1) to specify that the Consumer Price 
Index to be used is the Consumer Price Index for All Urban 
Consumers.
    Amends section 716 with regard to the authorization of 
appropriations.

Sec. 703. Thurgood Marshall legal educational opportunity program

    Amends section 721 to expand those eligible for the 
Thurgood Marshall legal educational opportunity program to 
include middle and high school students as well as college 
students and expands uses to include admission to law practice. 
Further amends the section to allow funds to be used to assist 
students in developing analytical skills and study methods to 
enhance success in and promote completion of law school. 
Additionally authorizes the Secretary to use grant funds for 
Thurgood Marshall Fellowships for eligible law school students 
who participate in summer institutes for Thurgood Marshall 
Fellows or comparable summer institutes certified by the 
Council on Legal Educational Opportunity.
    Amends section 731 by repealing subsection (e).

Sec. 704. Patsy T. Mink Fellowship program

    Amends part A of title VII to add a new subpart. This 
subpart authorizes the Secretary to award grants to eligible 
institutions of higher education to enable such institutions to 
make fellowship awards to assist highly qualified minorities 
and women to acquire the highest degree available in academic 
areas where such individuals are underrepresented in the 
professoriate. The Secretary shall consider the representation 
of women and minority faculty members, the current and 
projected need for faculty and the need to prepare professors 
in areas of national need such as mathematics and science. In 
awarding grants, each institution shall award no less than 
fifteen fellowships. Fellows shall sign an agreement to enter a 
contract to teach at an institution of higher education not 
later than three years after receiving the doctoral degree or 
highest possible degree available. Individuals who do not enter 
the professoriate shall repay the fellowship.

Sec. 705. Fund for the improvement of postsecondary education

    Amends section 741 to authorize the Secretary to consider 
applications for grants that recognize the needs of non-
traditional student populations; programs that offer academic 
credit; focus on technology to deliver distance education; 
introduce reforms that encourage students to enter and reenter 
postsecondary institutions and pursue postsecondary study tied 
to individual needs; assess, in partnership with a public or 
private nonprofit institution or agency, the performance of 
teacher preparation programs within institutions of higher 
education in a state; efforts to establish pilot programs and 
initiatives to help college campuses to reduce illegal 
downloading of copyrighted content; programs to increase fire 
safety in student housing; assess, in partnership with a 
consortium of higher education organizations, the feasibility 
and potential design of an inter-institution monitoring 
organization on gender and racial equality in campus faculty 
and administration; assist partnerships between institutions of 
higher education and secondary schools to establish programs 
that result in increased secondary school graduation and 
postsecondary school enrollment of late-entering limited 
English proficient students; demonstration projects to provide 
comprehensive support services to ensure that homeless students 
and students who were in foster care until the age of eighteen 
enroll and succeed in postsecondary education; efforts to work 
with section 501(c)(3) organizations and institutions of higher 
education that seek to promote cultural diversity in the 
entertainment industry; and the creation of consortia that join 
diverse institutions of higher education to design and offer 
programs that focus on poverty and human capability.
    Further amends section 741 to insert a new subsection (c) 
to authorize the Secretary to contract with a nonprofit 
organization to provide postsecondary education scholarships 
for students with a parent, for dependent students, or a 
spouse, for independent students, serving on active or National 
Guard duty during a war or other military operation or national 
emergency or a veteran who died as a result of service since 
September 11, 2001. The maximum scholarship is the difference 
between the student's cost of attendance and non-loan based aid 
or $5,000, whichever is less.
    Further amends section 741 to insert a new subsection (d) 
to authorize the Secretary to award a grant or contract to an 
institution of higher education to establish and maintain a 
center to study and develop best practices for institutions of 
higher education to support single parents who are also 
students attending such institutions.
    Further amends section 741 by prohibiting funds made 
available under this part from being used to provide financial 
assistance to students who do not meet the requirements of 
section 484(a)(5).
    Amends section 742, 743, and 744 to make technical 
amendments.
    Amends section 744(c) to expand the area of national need 
to include academic programs that teach traditional American 
history.
    Amends section 745 with regard to the authorization of 
appropriations.

Sec. 706. Urban-serving research institutions

    Amends part C by rewriting the part. Renames the part 
``Urban-Serving Research Intuitions.'' Authorizes the Secretary 
to award grants to urban-serving research institutions to 
enable such institutions to expand research knowledge and to 
develop and implement initiatives in partnership with 
community-based organizations and other public or non-profit 
private entities to strengthen city economies, foster 
innovation and opportunity, and solve urban challenges. The 
Secretary shall give priority to applicants that propose to 
conduct joint programs supported by other local, state, and 
federal programs and to institutions that have a demonstrated 
record of effective engagement in serving their community.
    Grants awarded under this part are to be used to develop, 
implement, and evaluate systemic initiatives with elementary 
and secondary schools, innovative economic revitalization 
efforts, or public health outreach, education, and intervention 
activities.

Sec. 707. Programs to ensure students with disabilities receive a 
        quality higher education

    Section 707 amends Part D of title VII with new Subpart 2 
and Subpart 3.

                  SUBPART 1--QUALITY HIGHER EDUCATION

    Amends section 762 by specifying that the teaching methods 
and strategies designed to teach students with disabilities 
authorized under these grants must now meet the academic and 
programmatic needs of students with disabilities in order to 
improve retention and completion of postsecondary education, 
and must include methods and strategies consistent with the 
principles of universal design for learning.
    Authorizes activities of the grants awarded under this 
subpart are expanded to include the development of innovative 
and effective teaching methods and strategies to ensure the 
successful transition of students with disabilities from high 
school to postsecondary education; innovative and effective 
teaching methods and strategies to provide faculty and 
administrators with the ability to provide accessible distance 
education programs or classes that would enhance access to 
higher education for students with disabilities, including the 
use of accessible curriculum and electronic communication for 
instruction and advisement; and improved accessibility through 
the use of accessible instructional materials and curriculum 
development consistent with the principles of universal design 
for learning.
    The Secretary will prepare and disseminate a report 
reviewing the programs under this subpart, and provide guidance 
and recommendations on how successful projects can be 
replicated.
    Amends section 763 to include a description of activities 
allowed under this part in the application, and to require that 
applicants for grants provide a description of the extent to 
which the applicant will work to replicate best practices.
    Amends section 765 with regard to the authorization of 
appropriations.

    SUBPART 2--NATIONAL TECHNICAL ASSISTANCE CENTER; COMMISSION ON 
 ACCESSIBLE MATERIALS; PROGRAMS TO SUPPORT IMPROVED ACCESS TO MATERIALS

National center

    Subpart 2 creates a new section 766, which authorizes the 
Secretary to make grants or enter into contracts to establish 
and operate a national center to provide information and 
technical assistance for students with disabilities, and 
specifies the purpose of this new center, which is to improve 
the postsecondary recruitment, retention, and completion 
success rates of such students. This section specifies the 
qualifications of eligible entities who may apply to establish 
and support the national center, and outlines the duties of 
such a center, which include assistance to students and 
families, assistance to institutions of higher education, 
information collection and dissemination, dissemination of 
information on professional standards for disability support 
personnel, and annual reporting. Finally, this section mandates 
that the center employ disability support personnel with proven 
expertise in providing training and technical assistance to 
practitioners.

Establishment of advisory commission on accessible instructional 
        materials in postsecondary education for students with 
        disabilities

    Subpart 2 creates a new advisory commission in section 
766A. Section 766A establishes an advisory commission on 
accessible instructional materials in postsecondary education 
for students with disabilities, and defines the membership of 
the commission, the period of appointment, meeting 
requirements, and requires the commission to select a 
chairperson and vice chairperson from among the members. The 
section defines the duties of the commission, which include 
conducting a thorough study to assess the barriers, systemic 
issues, and technical solutions available to improve the 
delivery and quality of accessible instructional materials, and 
reporting the findings and recommendations from the study to 
the Secretary and Congress within twenty-four months of the 
first meeting of the commission. The section outlines personnel 
matters related to the commission, including compensation, 
travel expenses, staff, and procurement of services. Finally, 
the section requires the termination of the commission 90 days 
after the submission of their report to the Secretary and 
Congress.

Model demonstration programs to support improved access to post-
        secondary instructional materials for students with print 
        disabilities

    Subpart 2 creates new model demonstration programs through 
section 766B. Section 766B specifies the purpose of the new 
programs, which is to encourage the development of systems to 
improve the timely delivery and quality of postsecondary 
instructional materials in specialized formats to students with 
print disabilities. This section defines the type of 
partnerships of eligible entities that may be awarded grants. 
The section requires the grantees to develop and implement 
processes and systems to: identify eligible students, 
facilitate requests for materials, coordinate between 
institutions of higher education, publishers, and producers of 
specialized formats, deliver materials in a timely manner, 
reduce duplication, protect against copyright infringement; 
outreach and training activities; evaluation of activities; and 
guidance for replication of successful efforts. The section 
requires the Secretary to report to Congress regarding the 
grant activities, provides authorization to the Secretary to 
expand the model demonstration program after three years, and 
requires the Secretary to consider the recommendations of the 
advisory commission on accessible instructional materials in 
postsecondary education for students with disabilities, when 
they become available, in issuing guidance to grantees.
    Section 766C provides the authorization of appropriations 
for all programs under this subpart.

     SUBPART 3--TRANSITION PROGRAMS FOR STUDENTS WITH INTELLECTUAL 
        DISABILITIES INTO HIGHER EDUCATION; COORDINATING CENTER

Model comprehensive transition and postsecondary programs for students 
        with intellectual disabilities

    Subpart 3 creates model demonstration programs that promote 
the successful transition of students with intellectual 
disabilities into higher education. Section 767 describes the 
purpose of the programs. Section 768 provides definitions for 
this subpart.
    Section 769 authorizes the Secretary to award five year 
grants on a competitive basis to institutions of higher 
education or consortia of such institutions to create or expand 
high-quality, inclusive model comprehensive transition and 
postsecondary programs for students with disabilities. Such 
programs shall be a degree, certificate, or non-degree program 
offered by an institution of higher education that is designed 
for students with intellectual disabilities who seek to 
continue academic, vocational, or independent living 
instruction at the institution in order to prepare for gainful 
employment, includes an advising curriculum structure, and 
requires the enrollment of the student in the equivalent of not 
less than half-time course of study as determined by the 
institution. Preference shall be given to institutions of 
higher education or consortia of institutions in a state that 
does not already have a comprehensive transition and 
postsecondary program for students with intellectual 
disabilities, or agree to incorporate one or more specified 
elements into the program carried out under the grant. The 
Secretary shall prepare and disseminate a report reviewing the 
activities of the model comprehensive transition and 
postsecondary programs for students with intellectual 
disabilities authorized under this subpart and provide guidance 
and recommendations on how successful programs can be 
replicated.

Coordinating center for technical assistance, evaluation, and 
        development of accreditation standards

    Section 770 directs the Secretary to enter into a five-year 
cooperative agreement with an eligible entity, for the purpose 
of establishing a coordinating center for technical assistance, 
evaluation, and development of accreditation standards for 
institutions of higher education that offer inclusive model 
comprehensive transition and postsecondary programs for 
students with intellectual disabilities, and provides the 
requirements of the cooperative agreement.
    Section 770A provides the authorization of appropriations 
for all programs under this subpart.

Sec. 708. Subgrants to nonprofit organizations

    Amends section 771(e) to allow guaranty agencies to be an 
eligible partner in the College Access Challenge Grant program.

Sec. 709. Nursing education

    Amends title VII to create a new part F. This part 
authorizes the Secretary to award grants to institutions of 
higher education that offer an R.N. nursing program at the 
baccalaureate or associate degree level to expand the faculty 
and facilities of such program to accommodate additional R.N. 
nursing students; or to institutions of higher education that 
offer post-graduate level degrees for either advanced practice 
nurses, or for prospective teachers in nursing programs, or 
both, to expand the faculty and facilities of such programs to 
accommodate additional post-graduate students. Grants shall be 
awarded for each academic year in the amount of $3,000 
multiplied by the number of matriculated nursing students at 
such institution for the academic year that is greater than the 
average at that institution for the previous four years.
    This part also authorizes the Secretary to award grants to 
and enter into contracts and cooperative agreements with 
partnerships composed of an accredited school of nursing at an 
institution of higher education and hospital or health 
facility. The purposes of the grants, contracts, and agreements 
are to provide scholarships to qualified nurses in pursuit of 
an advanced degree with the goal of becoming a faculty member 
in an accredited nursing program and to fund release time for 
qualified nurse employees, so that those employees can earn a 
salary while obtaining an advanced degree in nursing with the 
goal of becoming nurse faculty. Funds made available by such 
grants, contracts, or agreements may be used to develop a new 
national demonstration initiative to align nursing education 
with emerging industry trends, develop a clinical simulation 
laboratory, purchase distance learning technologies, fund 
release time, provide for faculty salaries, and collect and 
analyze data on educational outcomes.

Sec. 710. National study on higher education access and success for 
        students with disabilities

    Section 710 directs the Comptroller General to conduct a 
study of the barriers to, and opportunities for, the full 
participation of students with disabilities in higher 
education. The study shall address issues related to students 
with disabilities including enrollment and completion rates, 
factors that influence the accessibility of higher education, 
effectiveness and capacity of disability support services, 
coordination with other support programs, and factors 
contributing to effective recruitment and graduation.

                    TITLE VIII--ADDITIONAL PROGRAMS

Sec. 801. Additional programs

    The purpose of this title is to provide new programs to 
offer opportunities for increased access to and success in 
higher education. Each new part under section 801 is added to 
the end of the Higher Education Act of 1965.
    Section 800 provides the authorization of appropriations 
for all programs under this title.

                          PART A--LOW TUITION

    This part authorizes the Secretary to award grants on a 
competitive basis to institutions of higher education that keep 
their tuition increases at or below the percentage change in 
the higher education price index. This part also specifies the 
use of funds for institutions receiving a grant under this 
part. This part also allows the Secretary to award bonus 
amounts in the form of need-based grant aid to institutions 
that guarantee their tuition and maintain low tuition and fees. 
Additionally this part requires all institutions of higher 
education that have an increase in annual net tuition to report 
to the Secretary the factors contributing to the increase in 
the institution's costs and the increase in the net tuition and 
fees charged to students, including identification of the major 
areas of the institution's budget with the greatest cost 
increases; the institution's three most recent 990s submitted 
to the Internal Revenue Service; a description of the major 
areas of expenditures in the institution's budget with the 
greatest increase for such academic year; and the actions being 
taken by the institution to reduce net tuition. This part 
requires that this information be compiled for Congress to 
review.

                     PART B--COOPERATIVE EDUCATION

    This part authorizes the Secretary to make grants to 
institutions of higher education or combination of institutions 
for cooperative education programs. Of the funds appropriated 
for this part not less than 50 percent shall be used for 
institutions of higher education that have not received a grant 
in the last ten years; not less than 25 percent shall be 
available for grants operating existing cooperative education 
programs; not more than 11 percent for demonstration grants to 
determine the feasibility or value of innovative methods of 
cooperative education and not more than 11 percent to conduct 
the training and resource centers to train personnel in the 
field of cooperative education and improve materials used in 
cooperative education; and furnish technical assistance to 
institutions of higher education to increase the potential of 
the institution to continue to conduct a cooperative education 
program. This part also includes program requirements that 
include providing alternating or parallel periods of academic 
study and public or private employment. Additionally, this part 
includes grant amounts, limitations on the grants, and uses of 
funds which include expanding the quality of and participation 
in cooperative education programs; outreach in new curricular 
areas; and, for outreach to potential participants including 
underrepresented and nontraditional populations. This part also 
outlines the application requirements, which include requiring 
institutions to specify the activities that will be performed 
and a description of the plans to carry out the cooperative 
education program past the five years of the grant. 
Additionally, this part specifies the duration of the grants 
and federal share required under this program, and specifies 
factors for special consideration of applications which include 
programs that show the greatest promise of success because of 
the extent to which programs in the academic discipline had a 
favorable reception by public and private sector employers; the 
strength of the commitment of institutions of higher education; 
and other factors including institutions with a demonstrated 
commitment to serving all underserved populations.
    This part also authorizes the Secretary to make grants to 
conduct demonstration projects on innovative methods in 
cooperative education and training related to the needs of 
cooperative education programs. This part specifies that a 
recipient of a grant may use funds provided only to supplement 
and to the extent possible, increase the level of funds that 
would, in the absence of such funds, be made available from 
non-federal sources to carry out the activities supported by 
such grant.

                   PART C--COLLEGE PARTNERSHIP GRANTS

    This part authorizes the Secretary to make grants to 
partnerships for the purposes of developing and implementing 
articulation agreements between institutions. Partnerships must 
include at least two institutions of higher education and may 
also include a consortia of institutions or a state higher 
education agency. A priority is given to partnerships that are 
located in a state that is in compliance with section 486A, and 
to partnerships that include at least one junior or community 
college and one institution that offers a baccalaureate or 
post-baccalaureate degree that is not offered by the partner 
junior or community college. Partnerships must use grant funds 
to develop and implement policies and programs to enhance 
articulation agreements, academic program enhancements, and 
programs to remove barriers to student transfers.

                     PART D--STUDENT SUCCESS GRANTS

    This part authorizes the Secretary to award grants to 
institutions of higher education for the purposes of increasing 
the success of low-income students in persisting in and 
completing postsecondary education and training programs. 
Eligible institutions are defined as institutions of higher 
education in which, during the three-year period preceding the 
year in which the institution is applying for a grant, an 
average of not less than 50 percent of the institution's 
entering first-year students are enrolled in developmental 
courses. Participating institutions shall provide a non-federal 
match of 25 percent.
    Funds shall be used to assign a Student Success Coach to 
participating first-year students to provide intensive career 
and academic counseling, ongoing personal help in navigating 
college services, and assistance in connecting to community 
resources. Funds may also be used to provide services and 
programs for participating students, including: college and 
career success courses, work-study jobs with private employers, 
learning communities, curricular redesign, instructional 
support, and assistance with support services.
    This part also directs the Secretary to conduct an 
evaluation of program outcomes and participating institutions 
shall work with an evaluator to track persistence and 
completion outcomes for participating students.

                        PART E--JOBS TO CAREERS

    This part authorizes the Secretary to award grants to 
institutions of higher education for the purposes of improving 
developmental education, by customizing developmental education 
to student career goals, and to help students move from 
developmental coursework into for-credit occupational program 
courses. The Secretary shall give priority to applications that 
are from institutions of higher education in which a majority 
of the institution's entering students are assessed as needing 
developmental coursework or propose to replicate proven 
effective practices or partner with adult education providers.
    Funds shall be used to create workforce bridge programs 
that serve the outlined purposes of this program. Programs may 
integrate the curricula and the instruction of both 
developmental and college-level coursework. This part also 
outlines permissible uses of funds, including re-designating 
class schedules to meet the needs of working adults.

                          PART F--PROJECT GRAD

    This part authorizes the Secretary to award a grant to 
Project GRAD USA to provide support and assistance to programs 
implementing integrated education reform services in order to 
improve the secondary school graduation and college attendance 
and completion of disadvantaged students. The grantee shall use 
the awarded funds to implement, improve, and expand programs of 
integrated education reform services.
    This part outlines the terms of subcontracting and matching 
requirements for the grantee. Further, the Secretary shall 
evaluate the performance of participating students under this 
part every three years.

       PART G--IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS

    This part directs the Secretary to contract with a not-for-
profit organization to make available year-to-year higher 
education enrollment rate trends of secondary school students. 
The grant recipient shall have demonstrated expertise in 
increasing school-wide higher education enrollment rates in 
low-income communities, and in college transition data 
management.
    The Secretary shall also contract with such nonprofit 
organization to identify not less than fifty urban local 
educational agencies and five states with significant rural 
populations, each of which serves a significant number of low-
income students, to carry out comprehensive needs assessments 
of the factors known to contribute to improved higher education 
enrollment rates, including factors such as evaluation of the 
local educational agency's and state's leadership strategies, 
the secondary school curriculum and class offerings of the 
local educational agency and state, the professional 
development used by the local educational agency and state to 
assist teachers, higher education counselors, and 
administrators in supporting the transition of secondary 
students into higher education, secondary school student 
attendance, the data systems used by the local educational 
agencies and the state to measure college enrollment rates 148 
and the incentives in place to motivate faculty and students to 
improve school-wide outcomes, and strategies to mobilize 
student leaders to build a college-bound culture.
    The nonprofit shall also provide comprehensive services to 
improve school-wide higher education enrollment rates of each 
of at least ten local educational agencies and states that 
participated in comprehensive needs assessment and have 
demonstrated a willingness and commitment to improving the 
higher education enrollment rates of the local educational 
agency or state.

                    PART H--DIPLOMA MILL PREVENTION

    The purpose of this part is to protect institutions of 
higher education, businesses, and others from any person 
claiming to possess a legitimate academic degree that in fact 
was issued by a fraudulent or non-existent school, by a non-
educational entity posing as a school, or by any entity in 
violation of federal or state law. This part accomplishes this 
purpose by authorizing the Secretary of Education to make 
available to the Secretary of Homeland Security and the heads 
of the appropriate federal agencies, a list of accrediting 
agencies; institutions accredited by agencies recognized by the 
Secretary; and foreign degree granting institutions recognized 
in the home country of the institution for the purposes of 
allowing the Secretary of Homeland Security and the heads of 
such federal agencies to determine, for immigration and federal 
employment and hiring purposes, the legitimacy of degree 
granting institutions and degrees issued by such institutions. 
This part also authorizes the Secretary to establish within the 
Department of Education a Diploma Mill Task Force. 
Representatives on the task force include the heads of 
agencies, and individuals appointed by Members of Congress. 
This part further outlines the duties of the task force which 
includes the development of a federal plan to address diploma 
mills and a report to Congress with recommendations for 
guidelines and legislation for Congress to consider. This part 
also includes a Sense of Congress regarding the use by states 
of the federal plan to be developed by the task force. Finally, 
this part requires the Secretary to request in writing that the 
Federal Trade Commission develop a plan to address diploma 
mills.

         PART I--STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT

    This part authorizes a new grant program for institutions 
of higher education to develop and improve their campus safety 
and emergency response systems. Grants shall be awarded by the 
Secretary of Education, in consultation with the Attorney 
General and the Secretary of Homeland Security. Grant funds may 
be used to develop and implement emergency communications 
systems, for security assessments, for training of security 
personnel, and to coordinate mental health crisis response and 
intervention services for students enrolled in the institution 
of higher education affected by a campus or community 
emergency. These communications procedures may incorporate the 
use of radio announcements, television alerts, audible alert 
signals, public address announcements, and other means of 
communication, so that each institution participating shall be 
able to communicate with students, employees, and others on the 
campus of the institution, within a reasonable and timely 
manner in the event of a significant emergency or dangerous 
situation.
    This part further requires the Secretary, in consultation 
with the Attorney General, to develop model emergency 
procedures and to disseminate information regarding these model 
procedures.
    This part also requires the Secretary to develop and 
maintain a disaster relief plan, in consultation with 
appropriate agencies, to ensure a procedure is in place to 
address the needs of institutions of higher education in the 
event of a federally declared disaster or emergency.
    This part authorizes the Secretary to establish an 
Education Disaster and Emergency Relief Loan Program for 
institutions of higher education for direct or indirect losses 
incurred as a result of a federally declared major disaster or 
emergency. This part specifies that funds provided under this 
loan program may be used for direct and indirect construction, 
replacement, and renovation costs associated with or resulting 
from or preparing for a major disaster; faculty salaries and 
incentives to retain faculty; reimbursement for lost tuition 
and other revenues. The program requires applicants to submit 
financial statements and demonstrate an attempt to secure funds 
through other federal grant programs. This part allows the 
Secretary to prescribe regulations to establish the loan 
program including setting the terms. Additionally, this part 
specifies the institutions that may qualify for assistance 
under such program.
    This part also requires the Secretary to provide guidance 
that clarifies the role of institutions of higher education 
with respect to disclosures of education records, including to 
a parent or legal guardian of a dependent student, in the event 
that such student demonstrates that the student possess a 
significant risk of harm to himself or herself or to others. 
This part requires the guidance to clarify that an institution 
of higher education that in good faith complies with the 
requirements of this Act and the Family Educational Rights and 
Privacy Act of 1974 shall not be held liable for that 
disclosure.

  PART J--RURAL DEVELOPMENT GRANTS FOR RURAL COLLEGES AND UNIVERSITIES

    This part authorizes the Secretary to award grants for the 
purposes of increasing enrollment and graduation rates of two 
and four-year institutions of higher education of graduates of 
rural high schools, degree completion for non-traditional 
students from rural areas, and promoting economic growth and 
development in rural America through partnership grants with 
rural colleges and universities.
    Section 873 authorizes grants to partnerships between rural 
institutions of higher education and rural local educational 
agencies, rural education service agencies, rural employers, or 
nonprofit organizations with expertise in rural education. 
Funds awarded to partnerships under this section shall be used 
to improve enrollment rates for graduates and former attendees 
of rural high schools at rural institutions of higher education 
and to encourage participation of nontraditional students at 
rural institutions of higher education.
    Section 874 authorizes grants to eligible partnerships. 
Funds awarded under this section shall be used to provide 
additional career training to attendees of rural institutions 
of higher education in fields relevant to the regional economy 
and to encourage regional business to employ graduates of such 
institutions.
    Section 875 authorizes grants to rural institutions of 
higher education to create or strengthen academic programs to 
prepare graduates to enter high-need occupations in the 
regional and local economies.
    Section 876 provides considerations for the Secretary 
regarding the allocations to qualifying institutions and 
partnerships, establishes minimum and maximum grant award 
amounts, and specifies that grants shall be awarded for one 
three-year period.

  PART K--IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 
  EDUCATION WITH A FOCUS ON ALASKA NATIVE AND NATIVE HAWAIIAN STUDENTS

    This part authorizes a grant to an eligible partnership to 
develop or expand programs for the development of science, 
technology, engineering or mathematics professionals from 
elementary schools through college, including existing programs 
for Alaska Native and Native Hawaiian students. Eligible 
partnerships shall be partnerships of one or more colleges or 
schools of engineering, one or more colleges or schools of 
science or mathematics, one or more institutions of higher 
education that offer two-year degrees, or one or more private 
entities that conduct career awareness activities showcasing 
local technology professionals, develop internships, 
apprenticeships and mentoring programs in partnership with 
relevant industries, and assist with the placement of interns 
and apprentices.
    Grant funds shall be used to develop or implement cultural, 
social, or educational transition programs to assist students 
to transition into college life and academics in order to 
increase such students' retention rates in the fields of 
science, technology, engineering, or mathematics, with a focus 
on Alaska Native or Native Hawaiian students; development or 
implementation of academic support or supplemental educational 
programs to increase the graduation rates of students in the 
fields of science, technology, engineering, or mathematics, 
with a focus on Alaska Native or Native Hawaiian students; 
development or implementation of internship programs, carried 
out in coordination with educational institutions and private 
entities, to prepare students for careers in the fields of 
science, technology, engineering, or mathematics, with a focus 
on Alaska Native or Native Hawaiian students; or other 
activities consistent with the purposes of this section.
    Priority for grants shall be given to an eligible 
partnership that provides one or more programs in which 30 
percent or more of the program participants are Alaska Native 
or Native Hawaiian.

PART L--NATIONAL DATABASE ON FINANCIAL ASSISTANCE FOR STUDY OF SCIENCE, 
                TECHNOLOGY, ENGINEERING, AND MATHEMATICS

    This part directs the Secretary to establish and maintain a 
database of information on scholarships, fellowships, and other 
programs of financial assistance available from public and 
private sources for the study of science, technology, 
engineering, or mathematics in postsecondary education. This 
part further outlines requirements for specific data elements 
to be included in the database.

                 PART M--TRAINING FOR REALTIME WRITERS

    This part authorizes the Secretary of Commerce to award 
grants to eligible court reporting programs to promote the 
training and placement of individuals as realtime writers in 
order to meet the requirements for closed captioning of video 
programming. The part further outlines that the Secretary shall 
give priority to applicants based upon criteria and describes 
the application requirements.
    Funds shall be used for purposes relating to the 
recruitment, training and assistance, and job placement of 
individuals, including individuals who have completed a court 
reporting training program, as realtime writers. Activities may 
include: recruitment, scholarships, distance learning, 
development and implementation of curriculum to more 
effectively train realtime writing skills, mentoring, and 
encouragement of individuals with disabilities to pursue a 
career in realtime writing, and employment and payment of 
personnel for the purposes of carrying out such activities.
    This part further outlines reporting requirements of 
grantees and directs the Inspector General of the Department of 
Commerce to conduct a review of the management, efficiency, and 
effectiveness of the grants made under this part.

        PART N--CENTERS OF EXCELLENCE IN VETERAN STUDENT SUCCESS

    This part authorizes the Secretary to award grants to 
institutions of higher education to develop model programs to 
support veteran student success in postsecondary education. 
This part also outlines the required activities under this 
program and the additional activities permitted which include 
establishing a Center of Excellence for Veterans on campus; 
establishing support teams; providing a staff for coordination. 
Additionally, this part includes an application process which 
includes taking into consideration the number of veterans 
enrolled at the institution and the need for the program. This 
part also requires the Secretary to develop an evaluation and 
accountability plan for model programs funded under this part.

               PART O--UNIVERSITY SUSTAINABILITY PROGRAMS

    This part establishes university sustainability programs. 
Under subpart 1, the Secretary is authorized to make grants to 
establish sustainability programs to design and implement 
sustainability practices. This subpart specifies the period of 
the grant, the amount of the grant, the application process, 
uses of funds which includes allowing institutions of higher 
education to develop and implement administrative and 
operations practices; establishing multi-disciplinary 
education, research and outreach programs; establishing 
initiative in the areas of energy management and supporting 
student faculty and staff work at institutions to implement, 
research and evaluate sustainable practices. This part also 
requires a report from all grantees.
    Under subpart 2, the Secretary is authorized to convene a 
summit of higher education experts working in the area of 
sustainable operations and programs. This summit shall 
encourage faculty, staff and students at institutions of higher 
education to establish administrative and academic 
sustainability programs; enhance research by faculty and 
students in sustainability practices; encourage institutions to 
work with community partners; identify opportunities for 
partnerships with the federal government; and charge the summit 
participants to submit a set of recommendations for addressing 
sustainability through institutions of higher education.

                PART P--MODELING AND SIMULATION PROGRAMS

    This part authorizes the Secretary to establish a task 
force on modeling and simulation; provide grants to 
institutions of higher education to develop new modeling and 
simulation programs; and create grants for institutions of 
higher education to enhance existing modeling and simulation 
degree programs. With respect to the task force, this part 
outlines the activities of the task force which include helping 
to define the study of modeling and simulation; identifying 
best practices for such study; and providing recommendations 
related to the grants established under this program. This part 
specifies the duration and minimum grant amounts, non-federal 
share, the application process and uses of funds which include 
allowing institutions to establish, or work towards the 
establishment of, a modeling and simulation program; provide 
adequate staffing; and the purchasing of equipment. This part 
is authorized at $40 million for fiscal year 2009 and such sums 
as may be necessary for each of the succeeding four fiscal 
years. Additionally, $1 million is authorized to carry out the 
activities of the task force and the remaining funds shall be 
allocated 50 percent for new programs and 50 percent for 
programs with an established modeling and simulation program.

                PART Q--BUSINESS WORKFORCE PARTNERSHIPS

    This part authorizes the Secretary to award grants to 
business and industry workforce partnerships to strengthen ties 
between college degree credit offerings and business and 
industry workforce needs, and expand opportunities for worksite 
learning. Partnerships must include an institutions of higher 
education, an employer or a group of employers or a local 
board, and, where applicable, labor organizations.
    This part identifies mandatory and permissible uses of 
grant funds in order to fulfill the purposes of the part. 
Further, the part directs the Secretary of Education, jointly 
with the Secretary of Labor, to report to Congress on statutory 
changes that would strengthen the links between business and 
industry partners and institutions of higher education, 
including creating and sustaining partnerships at institutions.

Sec. 802. Sense of the Congress; report

    Section 802 declares the Sense of the Congress that the 
Secretary of Education and Treasury work together to develop a 
process for borrowers to make loan repayments via the tax 
withholding system to pay for loans using income tax 
withholdings. The Secretaries shall report to Congress no later 
than one year after the date of enactment on the progress and 
inform Congress of any statutory barriers to implementation.

Sec. 803. Independent evaluation of distance education programs

    Section 803 calls for a study by the National Academy of 
Sciences to evaluate the quality of distance education programs 
as compared to campus-based education programs at institutions.

Sec. 804. Encouraging colleges and universities to ``go green''

    Section 804 declares the Sense of the Committee on 
Education and Labor that there should be increased awareness of 
the need to use sustainable economic and environmental 
practices on colleges and universities.

Sec. 805. Study of costs of environmental, health, and safety standards

    Section 805 directs the Secretary to commission the 
National Research Council to conduct a study to determine the 
viability of developing and implementing standards in 
environmental, health, and safety areas to provide for 
differential regulation of industrial laboratories and 
facilities and research and teaching laboratories.

Sec. 806. Study of minority male academic achievement

    Section 806 directs the Secretary to conduct a study of 
underrepresented minority males, particularly African American 
and Hispanic males, completing high school and entering into 
and completing postsecondary education. Such study shall 
examine the high school completion and preparation for college, 
success on the SAT and ACT, and minority male access to higher 
education.

Sec. 807. Study on bias in standardized tests

    Section 807 directs the Comptroller General to conduct a 
study to identify any race, ethnicity, and gender biases 
present in the design of standardized tests that are used for 
admission to institutions of higher education.

Sec. 808. Feasibility study on student loans

    Section 808 directs the Congressional Budget Office to 
conduct a study on the feasibility of allowing borrowers in 
repayment of student loans the option of selecting or 
renegotiating a fixed or variable interest rate on their loans. 
The study shall evaluate various scenarios and take into 
consideration the cost to the government, lenders, and 
borrowers as well as any impact on service quality.

Sec. 809. Endowment report

    Section 809 directs the Secretary to conduct a study on the 
amounts, uses, and public purposes of the endowments of 
institutions of higher education. Such study shall examine the 
average and range of the outstanding balances of such 
endowments, the growth of endowments over the past ten years, 
the percentage of spending on an annual basis, and the extent 
to which such funds are restricted.

Sec. 810. Study of Correctional Postsecondary Education

    Section 810 directs the Secretary to conduct a longitudinal 
study to assess the effects of correctional postsecondary 
education. Such study shall employ rigorous empirical methods, 
measure a range of outcomes, examine different delivery systems 
of postsecondary education, and include a projected cost-
benefit analysis of the federal investment.

Sec. 811. National Undergraduate Fellows Program

    Section 811 authorizes a National Undergraduate Fellows 
Program to provide fellowships in order to improve 
postsecondary degree completion by underrepresented 
undergraduate students.

Sec. 812. National Center for Learning Science and Technology Trust 
        Fund

    Section 812 establishes a National Center for Learning 
Science and Technology Trust Fund as an independent Center to 
use funds to support basic and applied research develop and 
demonstrations of innovative learning and assessment tools, 
support the testing and evaluation of such tools, and to 
encourage the adoption and use of effective approaches to 
learning.

Sec. 813. GAO study of education related indebtedness of medical school 
        graduates

    Section 813 directs the Comptroller General to conduct a 
study of the higher education related indebtedness of medical 
school graduates in the United States at the time of 
graduation.

                   TITLE IX--AMENDMENTS TO OTHER LAWS

                   PART A--EDUCATION OF THE DEAF ACT

Sec. 901. Laurent Clerc National Deaf Education Center

    Section 901 names the Laurent Clerc National Deaf Education 
Center, as the entity to provide quality education for deaf 
individuals through its Clerc Center, and technical assistance, 
outreach and training programs for parents and teachers of 
children who are deaf. By no later than the beginning of the 
2009-10 academic year, the elementary and secondary programs at 
the Center shall adopt and implement standards and assessments 
pursuant to Section 1111(b) of the Elementary and Secondary 
Education Act, subject to approval by the Secretary. The 
University shall determine whether the Clerc programs are 
making adequate yearly progress and publicly report the 
findings, as required by the Elementary and Secondary Education 
Act.

Sec. 902. Agreement with Gallaudet University

    Section 902 updates the reference to the Davis-Bacon Act.

Sec. 903. Agreement for the National Technical Institute for the Deaf

    Section 903 names the Rochester Institute of Technology as 
the partner institution for the establishment and operation of 
a National Technical Institute for the Deaf, and specifies that 
if the Secretary or Rochester Institute terminates the 
agreement the Secretary shall consider other proposals to 
establish and operate a National Technical Institution for the 
Deaf.

Sec. 904. Audit

    Section 904 limits the requirements of annual independent 
financial and compliance audit of the relevant institution of 
higher education to cover only the activities of the National 
Technical Institute for the Deaf, and clarified that such audit 
shall be conducted on a fiscal year cycle.

Sec. 905. Reports

    Section 905 excludes preparatory programs from those 
programs about which the University must report enrollment, 
graduation, and post-graduation employment information. Changes 
the date of the University's requirement to report the 
differences in disposition of individuals from minority 
backgrounds with those students from non-minority backgrounds 
from the date of graduation or completion of their studies to 
one year after graduation or completion. Limits the 
requirements of the report as compared to current law.

Sec. 906. Monitoring, evaluation, and reporting

    Section 906 removes reference to the Department of 
Education Organization Act when stating that the Secretary 
should submit an annual report to Congress on the University's 
monitoring and evaluation activities of and legislative 
recommendations regarding the University's programs, activities 
and administrative operations. Changes period of authorization 
of appropriations under this section to fiscal years 2008 
through 2013.

Sec. 907. Liaison for educational programs

    Section 907 also requires the Secretary to designate a 
liaison between the Department of Education and Gallaudet 
University, the National Technical Institute for the Deaf, and 
other postsecondary educational programs for individuals who 
are deaf as defined under the Individuals with Disabilities 
Education Act, the Rehabilitation Act of 1973, and other 
federal or non-federal agencies, institutions, or organizations 
involved with the education or rehabilitation of individuals 
who are deaf or hard of hearing.

Sec. 908. Federal endowment programs for Gallaudet University and the 
        National Technical Institute for the Deaf

    Section 908 extends the authorization of appropriations for 
fiscal years 2008 through 2013.

Sec. 909. Oversight and effect of agreements

    Section 909 updates correct names of committees where 
relevant.

Sec. 910. International students

    Section 910 establishes that preparatory students no longer 
count toward the University's and NTID's respective enrollment 
caps of international students; nor do international students 
residing abroad and participating in distance learning courses 
through NTID or the University. This section also states that 
U.S. citizens who apply for distance learning courses shall not 
be denied participation because of the participation of 
international students, and such distance education 
international students will not be charged a tuition surcharge. 
Postsecondary international students from a non-developing 
country enrolled at the University or NTID shall continue to 
pay a 100-percent tuition surcharge. The section reduces the 
surcharge paid by postsecondary international students from a 
developing country enrolled at the University or NTID from 100 
percent to 50 percent. It also requires the University and NTID 
to develop a sliding scale model for tuition surcharge 
reduction for international students, from both developing and 
non-developing countries, that can demonstrate financial need. 
The section also defines ``developing country'' for the 
purposes of this section.

Sec. 911. Research priorities

    Section 911 updates correct names of committees where 
relevant.

Sec. 912. National study on the education of the deaf.

    Section 912 requires the Secretary to establish a 
commission on the education of the deaf, and updates the 
current study language to give the commission responsibility to 
conduct a study to identify education-related barriers to 
successful postsecondary education experiences and employment 
for individuals who are deaf, and those education-related 
factors that contribute to successful postsecondary education 
experiences and employment for individuals who are deaf. 
Updates study report dates. Amends Section 912 with regard to 
the authorization of appropriations under this section.

Sec. 913. Authorization of Appropriations

    Section 913 extends the authorization of appropriations for 
fiscal year 2008 through 2013.

                        PART B--INDIAN EDUCATION

              SUBPART 1--TRIBAL COLLEGES AND UNIVERSITIES

Sec. 921. Reauthorization of the Tribally Controlled College or 
        University Assistance Act of 1978

    This section defines ``National Indian Organization'' to 
mean an organization that is nationally based, represents a 
substantial Indian constituency and has expertise in the fields 
of tribally controlled colleges and university and Indian 
higher education. ``Indian Student'' means a student who is a 
member of an Indian tribe or a biological child of a member of 
an Indian tribe, living or deceased.
    In a continuing education program, eligible credits shall 
be determined as one credit for every ten contact hours in a 
quarter system, or fifteen contact hours in the case of an 
institution with a semester system. These hours must be 
completed in an organized continuing education experience under 
responsible sponsorship, capable direction and qualified 
instruction, as described by the International Association for 
Continuing Education and Training. No more than 10 percent of 
the Indian student count of a tribally controlled college or 
university shall receive such credits. The section also strikes 
the prohibition on credit hours earned by an Indian student not 
making satisfactory progress toward a degree or certificate 
being taken into account.
    To be eligible for grant assistance under this Act, a 
tribally controlled college or university must be accredited by 
a nationally recognized accrediting agency or association, or 
must be making reasonable progress toward accreditation 
according to such an agency or association.
    The Secretary shall require that contracts for technical 
assistance be awarded to an organization designated by the 
tribally controlled college or university to be assisted. The 
Secretary shall grant to each tribally controlled college or 
university with an approved application an amount equal to the 
product of multiplying the Indian student count at such college 
or university during the academic year preceding the academic 
year and $8,000, with the latter adjusted annually for 
inflation. For technical assistance contracts under this 
section, authorizes $3.2 million for fiscal year 2008 and five 
succeeding years. Authorize such sums as shall be necessary for 
fiscal year 2008 and the succeeding five years for grants to 
tribally controlled colleges or universities and the renovation 
program and construction of new facilities under this title. 
Changes authorized funding level of grants for the 
establishment and support of tribal economic development and 
education institutes from $2,000,000 per fiscal year to such 
sums as may be necessary. Authorizes such funding for fiscal 
year 2008 and the succeeding five years.
    Section 921(j) adds at the end of the Tribally Controlled 
College or University Assistance Act of 1978 (25 U.S.C. 1801, 
et seq.) by adding at the end a new subtitle V on Tribally 
Controlled Postsecondary Career and Technical Institutions. The 
term ``tribally controlled postsecondary career and technical 
institution'' aligns with the definition of the term in the 
Carl D. Perkins Career and Technical Education Act. Subject to 
the availability of appropriations, for fiscal year 2008 and 
each fiscal year thereafter, the Secretary shall provide 
funding to the United Tribes Technical College and the Navajo 
Technical College to operate postsecondary career and technical 
programs for Indian students, so long as the Secretary 
determines that those institutions meet the definition of a 
``tribally controlled postsecondary career and technical 
institution'' defined herein. Provides that this funding shall 
be provided in a lump sum payment for each applicable fiscal 
year. Provides that, for fiscal year 2009 and each fiscal year 
thereafter, the Secretary shall distribute an amount equal to 
the greater of either the appropriated amount for fiscal year 
2006 or the appropriated amount for fiscal year 2008. If, for 
any fiscal year, the authorized amount exceeds the higher of 
the amount of fiscal year 2006 or fiscal year 2008, the 
Secretary shall distribute a portion of the excess amount to 
each institution according to each school's proportion of the 
aggregate Indian student count of the two institutions the 
prior academic year. Requires that funds made available under 
this title be subject to the Indian Self-Determination and 
Education Assistance Act. A selected institution may elect to 
receive funds in accordance with an agreement between the 
institution and the Secretary if the agreement exists on the 
date of enactment of the College Opportunity and Affordability 
Act of 2007. Eligibility for, or receipt of, assistance under 
this title shall not preclude the eligibility of the 
institution to receive federal financial assistance under any 
program of the Higher Education Act, any program under the Carl 
D. Perkins Career and Technical Education Act of 2006, or any 
other program that provides a benefit for institutions of 
higher education, community colleges or postsecondary 
educational institutions. Authorizes to be appropriated for 
this new subsection such sums as may be necessary for fiscal 
year 2008 and five succeeding fiscal years. This is the final 
portion of the new Subsection V of the Tribally Controlled 
College or University Assistance Act of 1978 (25 U.S.C. 1801, 
et seq.). Subject to the availability of appropriations, 
requires the Secretary to make grants to provide support for 
the education and training of Indian students to institutions 
that are not receiving federal assistance as of the date on 
which the grant is provided under title I of the Tribally 
Controlled College or University Assistance Act of 1978 or the 
Navajo Community College Act. The short title of the Tribally 
Controlled College or University Assistance Act of 1978 (25 
U.S.C. 1801 note; P.L. 95-471) is changed to the ``Tribally 
Controlled Colleges and Universities Assistance Act of 1978, '' 
and clarifies that any reference in law to the previous short 
title shall be considered a reference to the amended Act.

                   SUBPART 2--NAVAJO HIGHER EDUCATION

Sec. 931. Reauthorization of Navajo Community College Act

    Section 931 amends the purpose of the act so that the 
purpose is to assist the Navajo Nation in providing education 
to tribe members through a community college established by the 
tribe, known as Dine College.
    This section also amends the Navajo Community College Act 
to require the Secretary to study the academic facilities needs 
of Dine College and report to Congress no later than October 
31, 2010. Funds to carry out this section may be drawn from 
general administrative appropriations to the Secretary.
    This section also authorizes such sums as may be necessary 
for fiscal year 2008 and the succeeding five fiscal years for 
construction activities, including construction of buildings, 
water and sewer facilities, roads, information technology and 
telecommunications infrastructure, classrooms, and external 
structures. Such sums as are necessary shall also be 
appropriated to pay the cost of maintenance of the college, 
major capital improvements, mandatory payments, supplemental 
student services, and to improve and expand the college by 
providing higher education programs, career and technical 
education, activities relating to the preservation and 
protection of the Navajo language, philosophy and culture, 
employment and training opportunities, economic development and 
community outreach, and a safe learning, working and living 
environment.

     PART C--HIGHER EDUCATION AMENDMENTS OF 1998; HIGHER EDUCATION 
                           AMENDMENTS OF 1992

Sec. 941. Grants for training for incarcerated individuals

    Amends part D of title VIII of the Higher Education 
Amendments of 1998 to rewrite the part. Renames the part 
``Grants for Training for Incarcerated Individuals.'' 
Authorizes the Secretary to provide grants to the state 
correctional education agencies in the states and to the 
Federal Bureau of Prisons to assist and encourage incarcerated 
individuals to acquire educational and job skills through 
remedial coursework, the pursuit of a postsecondary education 
certificate or degree, and employment counseling. States and 
the Federal Bureau of Prisons shall award eligible students not 
more than $3,000 annually for tuition, books, and essential 
materials and $300 annually for related services. Educational 
services provided under this part shall be available during a 
student's period of incarceration and related services shall be 
available during a student's period of incarceration and up to 
one year after the student's release.

Sec. 942. Underground railroad

    Amends section 841 of the Higher Education Amendments of 
1998 to authorize the program at $3 million for fiscal year 
2009 and such sums as may be necessary through 2013.

Sec. 943. Repeals of expired and executed provisions

    Repeals expired provisions of the Higher Education 
Amendments of 1998. Specifically repeals section 801, section 
802, section 803, part C of title VIII, part F of title VIII, 
and part J of title VIII.

Sec. 944. Olympic scholarships

    Amends section 1543 of the Higher Education Amendments of 
1992 to extend the authorization of the program.

Sec. 945. Establishment of Assistant Secretary for International and 
        Foreign Language Education

    Amends section 202 of the Department of Education 
Organization Act to establish an Assistant Secretary for 
International and Foreign Language Education, who shall have 
extensive background and experience in international and 
foreign language instruction and will report directly to the 
Secretary. Further amends title II of the act to establish an 
Office of International and Foreign Language Education, which 
shall have responsibility for encouraging and promoting the 
study of foreign languages and the study of cultures at the 
elementary, secondary, and postsecondary levels; administer 
programs on international and foreign language education and 
research, coordinate with related programs of other federal 
departments and agencies, and administer the Department's 
activities in international affairs.

                  PART D--JUSTICE DEPARTMENT PROGRAMS

Sec. 951. Loan repayment for prosecutors and defenders

    Amends title I of the Omnibus Crime Control and Safe 
Streets Act of 1968 to add a new part JJ, titled ``Loan 
Repayment for Prosecutors and Public Defenders.'' Authorizes 
the Attorney General, subject to the availability of 
appropriations, to assume the obligation to repay a student 
loan on behalf of a borrower who is employed as a prosecutor or 
public defender and is not in default on such loan. For an 
individual borrower, the Attorney General may assume up to 
$10,000 annually and $60,000 in the aggregate.
    In order to be eligible for repayment benefits, the 
borrower must enter into a written agreement that specifies 
that: the borrower will remain employed as a prosecutor or 
public defender for a period of service not less than three 
years, if the borrower is separated from employment voluntarily 
or involuntarily the borrower will repay the amount of any 
benefits received under this section, and the amount shall be 
recoverable from the employee if the borrower fails to repay 
the specified amount. This part further specifies the terms 
under which the repayment of funds may be collected and 
treated.
    The Attorney General must give priority to borrowers who 
have the least ability to repay their student loans or who have 
previously received benefits under this section and have 
completed less than three years of the first required period of 
service.
    This part directs the Inspector General of the Department 
of Justice to submit a report on the cost and impact of the 
program. Further, the part directs the Comptroller General to 
conduct a study of the impact that law school accreditation 
requirements and other factors have on the costs of law school 
and student access to law school, including the impact of such 
requirements on racial and ethnic minorities.

Sec. 952. National Center for Campus Public Safety

    Section 952 authorizes the Attorney General to make grants 
through the Office of Community Oriented Policing Services, to 
establish and operate a National Center for Campus Public 
Safety. The Center shall provide quality education and training 
for campus public safety officers; foster quality research to 
strengthen the safety and security of the institutions of 
higher education in the United States; serve as a clearinghouse 
for the identification and dissemination of information, 
policies, procedures, and best practices relevant to campus 
public safety; develop protocols, in conjunction with the 
Attorney General, the Secretary of Homeland Security, the 
Secretary of Education, and state, local and tribal governments 
and law enforcement agencies and others to prevent and protect 
against emergencies or dangerous situations; promote the 
development and dissemination of effective behavioral threat 
assessment; coordinate campus safety information and resources 
available; increase cooperation and collaboration to serve 
institutions of higher education; develop model formats for 
mutual agreements; and report annually to Congress and the 
Attorney General on activities performed by the Center during 
the previous twelve months.
    This section authorizes $2.75 million for each of the 
fiscal years 2008 and 2009 and such sums as may be necessary 
thereafter.

Sec. 953. Private loan forgiveness

    Section 953 amends section 209 of title 18 of the United 
States code by adding language that does not prohibit a public 
or private institution of higher education from providing an 
officer or employee of the executive branch or any independent 
agency of the United States, financial assistance for the 
purpose of repaying a student loan or providing a forbearance 
of student loan repayment. This is permitted provided that 
forbearance meets additional requirements.

       PART E--STEVENSON-WYDLER TECHNOLOGY INNOVATION ACT OF 1980

Sec. 961. Establishment of program

    Section 961 amends the Stevenson-Wydler Technology 
Innovation Act of 1980 by establishing a Minority Serving 
Institution Digital and Wireless Technology Opportunity program 
at the Department of Commerce. The purpose of the program is to 
assist eligible institutions to improve the quality and 
delivery of educational services at eligible institutions. This 
section authorizes activities under the program and establishes 
an application and review process. This section also specifies 
matching requirements and award amounts for grantees. This 
section also requires grantees to submit a report to the 
Secretary, requires an independent assessment of the program, 
as well as requires a report to Congress. Finally, this section 
specifies terms including an eligible institution and 
institution of higher education, in addition to other terms.

Sec. 962. Authorization of appropriations

    Section 962 authorizes $250 million for fiscal year 2008 
and such sums as may be necessary for fiscal years 2009-2012.

       TITLE X--PRIVATE STUDENT LOAN TRANSPARENCY AND IMPROVEMENT

Sec. 1001. Short title

    States that title X may be cited as the ``Private Student 
Loan Transparency and Improvement Act of 2007.''

Sec. 1002. Definitions

    Section 1002 defines the term ``Board'' as meaning the 
Board of Governors of the Federal Reserve System, the term 
``covered institution'' as any educational institution that 
offers a postsecondary educational degree, certificate, or 
program of study and includes an agent or employee of the 
educational institution, the terms ``Federal Banking agencies'' 
and ``appropriate Federal banking agency'' as the same meaning 
provided in section 3 of the Federal Depository Insurance Act, 
the term ``institution of higher education'' having the same 
meaning as in section 102 of the Higher Education Act of 1965, 
the term ``postsecondary educational expenses'' as any of the 
expenses that are included as part of the cost of attendance of 
a student, as defined under section 472 of the Higher Education 
Act of 1965; the term ``private educational lender'' as any 
creditor, as that term is defined in section 103 of the Truth 
in Lending Act, and ``private educational loan'' as a loan 
provided by a private educational lender that is not made, 
insured, or guaranteed under part B of title IV of the Higher 
Education Act of 1965 and is issued by a private educational 
lender expressly for postsecondary educational expenses to a 
student or parent of a student, but does not include an 
extension of credit under an open end consumer credit plan, a 
residential mortgage transaction, or any other loan that is 
secured by real property or a dwelling.

Sec. 1003. Regulations

    Section 1003 provides that the Board shall issue final 
regulations to implement title X and the amendments made by 
title X not later than 180 days after the date of enactment of 
the title.

Sec. 1004. Effective dates

    This section states that title X and the amendments made by 
title X shall become effective 180 days after the date on which 
regulations to carry out the title and the amendments made by 
the title are issued in final form.

SUBTITLE A--PREVENTING UNFAIR AND DECEPTIVE PRIVATE EDUCATIONAL LENDING 
            PRACTICES AND ELIMINATING CONFLICTS OF INTEREST

Sec. 1011. Amendment to the Truth in Lending Act

    Section 1011 amends Chapter 2 of the Truth in Lending Act 
by inserting a new section 140 titled ``Preventing unfair and 
deceptive private educational lending practices and eliminating 
conflicts of interest.'' The new section defines ``covered 
educational institution,'' ``institution of higher education,'' 
``postsecondary educational expenses,'' ``private educational 
lender,'' and ``private educational loan'' consistent with the 
definitions of the terms in section 1002. The section further 
defines the term ``gift'' as any gratuity, favor, discount, 
entertainment, hospitality, loan, or other item having a 
monetary value of more than a de minimus amount, including a 
gift of services, transportation, lodging, or meals, whether 
provided in kind, by purchase of a ticket, payment in advance, 
or reimbursement after the expense has been incurred. The 
section states that the term gift does not include standard 
informational material related to a loan or financial literacy; 
food, refreshments, training, or informational material 
furnished to an employee or agent of an institution, as an 
integral part of a training session that is designed to improve 
the service of the private educational lender to the 
institution, if such training contributes to the professional 
development of the employee or agent of the educational 
institution; or favorable terms, conditions, and borrower 
benefits on an educational loan provided to a student employed 
by the institution, as long as such terms, conditions, or 
benefits are comparable to those provided to all students of 
the institution. In addition, the section defines ``revenue 
sharing'' as an arrangement between a covered educational 
institution and a private educational lender under which a 
lender provides educational loans to students at an 
institution, or to the parents of the students, the institution 
recommends to students the lender or loans of a lender, and the 
lender pays a fee or provides other material benefits, 
including profit or revenue sharing, to the institution or to 
the officers, employees, or agents of the institution in 
connection with loan. The section also prohibits revenue-
sharing and loan co-branding arrangements between lenders and 
institutions; prohibits lenders from offering gifts to 
institutions or employees of institutions; bars officers, 
employees, or agents of an institution who are employed in the 
financial aid office of an institution, or who otherwise have 
responsibilities with respect to private education loans, from 
serving on or otherwise participating with advisory councils of 
private education lenders of affiliates of such lenders; and, 
prohibits lenders from charging prepayment penalties on private 
educational loans.

Sec. 1012. Civil liability

    Section 1012 amends section 130 of the Truth in Lending 
Act, thereby providing for the civil liability of private 
educational lenders for failure to comply with specified 
consumer protections and provides that an action under section 
130 of the Truth in Lending Act, in the case of a violation 
with respect to a private educational loan may be brought in 
any United States district court, or in any other court of 
competent jurisdiction, within one year from the date on which 
the first regular payment of principal is due for a private 
educational loan.

     SUBTITLE B--IMPROVED DISCLOSURES FOR PRIVATE EDUCATIONAL LOANS

Sec. 1021. Private educational loan disclosures and limitations

    Section 1021 amends the Truth in Lending Act by inserting a 
new section 128 requiring lenders to provide clear and concise 
disclosures regarding interest rates, fees, terms and 
conditions of their private educational loans to student and 
parent borrowers in all solicitation, approval and loan 
consummation material. Lenders are also required to disclose to 
borrowers their potential eligibility for federal financial 
assistance through a program under title IV of the Higher 
Education Act of 1965, in lieu of, or in addition to, a loan 
from a non-federal source and the interest rates available with 
respect to such federal financial assistance through a program 
under title IV of the Higher Education Act of 1965. The section 
also requires lenders to obtain a written acknowledgment from a 
consumer that the consumer has read and understood the 
disclosures required to be provided by lenders of private 
educational loans. In addition, this section requires that 
before a lender may issue any funds with respect to a private 
educational loan for an amount equal to more than $1,000, the 
lender shall notify the relevant institution of higher 
education, in writing, of the proposed extension of credit and 
the amount thereof. The section also requires lenders to 
provide borrowers who have been approved for a loan with a 
thirty-day window to accept the terms of the loan and 
consummate the transaction and that the rates and terms of the 
loan may not be changed by the lender during such period. The 
section further provides borrowers with a right to cancel a 
loan, without penalty, at any time within three business days 
of the date on which a loan is consummated and prohibits a 
lender from disbursing any funds with respect to a private 
educational loan prior to the expiration of this three-day 
period. In addition, the section defines the term ``institution 
of higher education'' as having the same meaning as in section 
102 of the Higher Education Act of 1965, the term ``private 
educational lender'' as any creditor engaged in the business of 
soliciting, making, or extending private educational loans, and 
the term ``private educational loan'' as a loan provided by a 
private education lender that is not made, insured, or 
guaranteed under part B of title IV of the Higher Education Act 
of 1965 and is issued by a private educational lender expressly 
for postsecondary educational expenses to a student or the 
parent of the student and does not include an extension of 
credit under an open end consumer credit plan, a reverse 
mortgage transaction, a residential mortgage transaction, or 
any other loan that is secured by real property or a dwelling.

Sec. 1022. Application of Truth in Lending Act to all private 
        educational loans

    Section 1022 amends section 104(3) of the Truth in Lending 
Act by providing that private educational loans are not among 
credit transactions exempted from requirements of the Truth in 
Lending Act.

                     SUBTITLE C--FINANCIAL LITERACY

Sec. 1031. Coordinated education efforts

    This section requires the Secretary of the Treasury, in 
coordination with the Secretary of Education, the Secretary of 
Agriculture, and any other appropriate agency that is a member 
of the Financial Literacy and Education Commission established 
under the Financial Literacy and Education Improvement Act to 
seek to enhance the financial literacy among students at 
institutions of higher education via the development of 
initiatives, programs, and curricula that improve student 
awareness of the short- and long-term costs associated with 
educational loans and other debt assumed while in college, 
borrowers' repayment obligations, and rights, and by assisting 
students in navigating the financial aid process. In addition, 
the section requires the Secretary of Treasury to identify and 
evaluate programs at institutions of higher education that 
enhance the financial literacy of college students, and 
subsequently encourage the implementation of such programs that 
the department finds to be most effective. The section further 
requires the Financial Literacy and Education Commission to 
submit a report to Congress on the state of financial education 
among students at institutions of higher education, including a 
description of progress made in enhancing financial education 
with respect to student understanding of financial aid, and the 
program and evaluations required under this section.

       SUBTITLE D--STUDY AND REPORT ON NONINDIVIDUAL INFORMATION

Sec. 1041. Study and report on nonindividual information

    This section requires the Comptroller General of the United 
States to prepare a report on the impact of nonindividual 
factors, such as cohort default rate and graduation rates, on 
the pricing of private educational loans among institutions of 
higher education. The section also requires the report to 
include an examination of the extent to which such factors 
affect the availability of private loans to certain borrowers 
or certain schools. Further, the section requires the 
Comptroller General to submit the report to Congress not later 
than one year after the date of enactment of this title.

         SUBTITLE E--INCENTIVES FOR LOW-COST EDUCATIONAL LOANS

Sec. 1051. CRA credit for low-cost educational loans

    This section amends section 804 of the Community 
Reinvestment Act of 1977 by adding a new subsection (d) that 
requires the appropriate federal financial supervisory agency 
to consider, as a factor, low-cost educational loans provided 
by a financial institution to low-income borrowers in assessing 
and taking into account the record of a financial institution 
in meeting the credit needs of its local communities.

                     VI. Explanation of Amendments

    The Amendment in the Nature of a Substitute, as amended, is 
explained in the body of this report.

            VII. Applicaton of Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1, the Congressional 
Accountability Act, requires a description of the application 
of this bill to the legislative branch. H.R. 4137 reauthorizes 
the Higher Education Act. The bill does not prevent legislative 
branch employees' coverage under this legislation.

                    VIII. Unfunded Mandate Statement

    Section 423 of the Congressional Budget and Impoundment 
Control Act (as amended by section 101(a)(2) of the Unfunded 
Mandates Reform Act, P.L. 104-4) requires a statement of 
whether the provisions of the reported bill include unfunded 
mandates. H.R. 4137 contains no intergovernmental or private-
sector mandates as defined by the Unfunded Mandates Reform Act 
(UMRA).

                         IX. Earmark Statement

    H.R. 4137 does not contain any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clauses 9(d), 9(e), or 9(f) of rule XXI of the House of 
Representatives.


    XI. Statement of Oversight Findings and Recommendations of the 
                               Committee

    In compliance with clause 3(c)(1) of rule XIII and clause 
2(b)(1) of rule X of the Rules of the House of Representatives, 
the Committee's oversight findings and recommendations are 
reflected in the body of this report.

            XII. New Budget Authority and CBO Cost Estimate

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the Rules of the House of Representatives and section 
308(a) of the Congressional Budget Act of 1974 and with respect 
to requirements of clause 3(c)(3) of rule XIII of the Rules of 
the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee has received 
the following estimate for H.R. 4137 from the Director of the 
Congressional Budget Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                 Washington, DC, December 18, 2007.
Hon. George Miller,
Chairman, Committee on Education and Labor,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 4137, the Higher 
Education Amendments of 2007.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Jessica 
Sherry.
            Sincerely,
                                         Robert A. Sunshine
                                   (For Peter R. Orszag, Director).
    Enclosure.

H.R. 4137--Higher Education Amendments of 2007

    Summary: H.R. 4137 would reauthorize and amend most 
postsecondary education programs under the Higher Education Act 
of 1965 through 2013. Under the General Education Provisions 
Act, those authorizations would automatically be extended 
through 2014. The bill also would create several new student 
and institutional aid programs and amend several other acts.
    CBO estimates that enacting the bill would increase direct 
spending by $75 million in 2008 and decrease direct spending by 
$27 million over the 2008-2017 period. For discretionary 
programs, CBO estimates that implementing H.R. 4137 would cost 
$97.4 billion over the 2008-2012 period, assuming appropriation 
of the necessary amounts.
    H.R. 4137 contains several intergovernmental and private-
sector mandates as defined in the Unfunded Mandates Reform Act 
(UMRA). CBO estimates that the aggregate costs to state, local, 
and tribal governments and private entities to comply with 
those mandates would not exceed the thresholds established in 
UMRA ($66 million in 2007 and $131 million in 2007, 
respectively, adjusted annually for inflation).
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 4137 is shown in Table 1. The costs of 
this legislation fall within budget function 500 (education, 
training, employment, and social services).

                                TABLE 1.--ESTIMATED BUDGETARY IMPACT OF H.R. 4137
----------------------------------------------------------------------------------------------------------------
                                                            By fiscal year, in millions of dollars--
                                               -----------------------------------------------------------------
                                                   2008       2009       2010       2011       2012    2008-2012
----------------------------------------------------------------------------------------------------------------
                                          CHANGES IN DIRECT SPENDING\1\
Estimated Budget Authority....................         -3         -3         -3         -3         -3        -15
Estimated Outlays.............................         75         -3        -53        -28         -3        -12

                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Estimated Authorization Level.................        504     29,597     30,469     31,342     31,858    123,767
Estimated Outlays.............................          5      7,165     28,278     30,381     31,609    97,435
----------------------------------------------------------------------------------------------------------------
Note: Components may not sum to totals because of rounding.
\1\In addition, H.R. 4137 would reduce direct spending by $3 million per year over the 2013-2017 period and by a
  total of $27 million over the 2008-2017 period. H.R. 4137 also would affect revenues by a negligible amount in
  every year and over the 2008-2017 period.

    Basis of estimate: For the purposes of this estimate, CBO 
assumes that H.R. 4137 will be enacted in fiscal year 2008 and 
that sufficient funds will be appropriated for each program. 
For current programs that would remain unchanged, CBO assumes 
continued funding at their 2007 levels adjusted for inflation. 
The estimate does not address the changes to the student loan 
programs and to the Pell Grant Program included in the College 
Cost Reduction and Access Act (CCRAA, Public Law 110-84), which 
was signed into law on September 27, 2007.

Direct spending and revenues

    CBO estimates that enacting H.R. 4137 would increase direct 
spending by $75 million in 2008 and decrease it by $27 million 
over the 2008-2017 period. Most of those effects stem from 
changes affecting eligibility for federal student loan programs 
and the Academic Competitiveness and SMART Grant programs.
    Federal Student Loan Programs. H.R. 4137 would make several 
changes to the calculations of needs analysis and the rules 
governing the eligibility of students and institutions for the 
federal student loan programs. Under current law, the ``cohort 
default rate'' is defined as the percentage of a school's 
borrowers who enter repayment during one fiscal year and then 
default prior to the end of the next fiscal year. H.R. 4137 
would change the definition of the cohort default rate by also 
counting defaults for an additional fiscal year, which would 
raise cohort default rates for many institutions. Because 
schools with a cohort default rate over a specified level are 
ineligible to participate in Title IV student aid programs, CBO 
projects that the change to the definition of the cohort 
default rate would reduce the number of schools eligible to 
participate in the student loan programs. Accordingly, CBO 
estimates this reduction in loan volume would reduce direct 
spending by $12 million over the 2008-2012 period and by $27 
million over the 2008-2017 period.
    Academic Competitiveness and SMART Grant Programs. For both 
the Academic Competitiveness Grant and SMART Grant Programs, 
the bill would adjust how a student's academic year is 
determined and expand eligibility to part-time students. 
Currently, only full-time students are eligible for grants. 
Appropriations for those programs are capped at specified 
amounts and the Secretary of Education has the authority to 
reduce award levels to stay within the appropriation. CBO 
estimates those changes would increase outlays by $75 million 
in fiscal year 2008 and would reduce outlays by the same amount 
in future years.
    Private Student Loan Transparency and Improvement. Title X 
would require the Board of Governors of the Federal Reserve and 
other financial regulatory agencies to issue regulations and 
supervise compliance with the new lending standards and 
procedures in the bill. Based on information from the Federal 
Reserve and other agencies, those regulatory activities would 
have no significant effect on their workload or budgets. The 
budgetary effects on the Federal Reserve are recorded as 
changes in revenues (governmental receipts). Costs incurred by 
the other financial regulatory agencies affect direct spending, 
but most of those expenses are offset by fees or income from 
insurance premiums. Thus, CBO estimates that enacting this bill 
would reduce revenues by less than $500,000 in every year and 
over the 2008-2017 period, and would have a negligible net 
effect on direct spending.
    The National Center for Learning Science and Technology 
Trust Fund. The bill also would create the National Center for 
Learning Science and Technology to support basic and applied 
research. While federal funding for the program would be 
subject to appropriations (see the discussion below under the 
heading ``Spending Subject to Appropriation''), the bill would 
establish a trust fund that could accept gifts from nonfederal 
sources and spend any proceeds. CBO estimates that this trust 
fund would have a negligible affect on revenues and direct 
spending.

Spending subject to appropriation

    The bill would reauthorize and amend many of the 
discretionary programs previously authorized by the Higher 
Education Act of 1965 and would authorize a number of new 
discretionary programs. In total, CBO estimates that 
implementing this legislation would increase discretionary 
outlays by $97.4 billion over the 2008-2012 period, assuming 
the appropriation of the necessary amounts, as shown in Table 
2.
    Title I. The title would reauthorize funding for a grant 
program designed to prevent alcohol and drug abuse and would 
require the Department of Education to perform several studies 
and prepare reports. CBO estimates that funding those 
activities would increase outlays by $16 million over the 2008-
2012 period.
    Title II. CBO estimates that reauthorizing funding for 
programs in title II would result in outlays of $1.8 billion 
over the 2008-2012 period, assuming appropriation of the 
necessary amounts.
    Title II would authorize the appropriation of $400 million 
for fiscal year 2009 and such sums as may be necessary for 2010 
and 2011 for two programs that provide grants to aid in the 
recruitment and professional development of teachers. CBO 
estimates that discretionary costs for those programs would 
increase by $1.1 billion over the 2008-2012 period, assuming 
annual adjustments for inflation.
    In addition, title II would authorize the appropriation of 
such sums as may be necessary for 2009 and each of the next 
four years to carry out a new program under which grants would 
be provided to enhance teacher education. Based on data for 
similar comparative grant awards, CBO estimates that about 600 
eligible entities would receive grants under this program in 
2009. Accordingly, CBO estimates that implementing the 
Enhancing Teacher Education program would increase 
discretionary costs by $760 million over the 2008-2012 period.
    Title III. This title would reauthorize and amend programs 
that provide aid to institutions and would create several new 
programs for the same purpose. Those programs are designed to 
give financial assistance to institutions of higher education 
that serve a high percentage of minority and low-income 
students and to help those institutions develop and improve the 
quality of education they offer such students. H.R. 4137 would 
authorize the appropriation of $767 million in 2009 and such 
sums as may be necessary for 2010 through 2013 for those 
programs. Based on historical spending patterns and adjusting 
for inflation, CBO estimates that implementing title III would 
result in increased outlays of $2.1 billion over the 2008-2012 
period, assuming the appropriation of the estimated amounts.

                     TABLE 2.--CHANGES IN SPENDING SUBJECT TO APPROPRIATION UNDER H.R. 4137
----------------------------------------------------------------------------------------------------------------
                                                            By fiscal year, in millions of dollars--
                                               -----------------------------------------------------------------
                                                   2008       2009       2010       2011       2012    2008-2012
----------------------------------------------------------------------------------------------------------------
Title I:
    Estimated Authorization Level.............          0          7          5          5          5         23
    Estimated Outlays.........................          0          0          5          5          5         16
Title II:
    Estimated Authorization Level.............          0        681        688        701        291      2,362
    Estimated Outlays.........................          0         34        498        626        676      1,834
Title III:
    Estimated Authorization Level.............          0        767        781        795        810      3,153
    Estimated Outlays.........................          0         38        561        709        791      2,099
Title IV:
    Estimated Authorization Level.............        -76     26,464     27,288     28,104     28,982    110,763
    Estimated Outlays.........................        -17      6,791     25,872     27,451     28,416     88,513
Title V:
    Estimated Authorization Level.............          0        300        305        311        317      1,233
    Estimated Outlays.........................          0         15        219        277        309        821
Title VI:
    Estimated Authorization Level.............          0        120        122        124        127        493
    Estimated Outlays.........................          0          6         88        111        124        328
Title VII:
    Estimated Authorization Level.............          0        355        361        368        375      1,459
    Estimated Outlays.........................          0         18        259        328        366        971
Title VIII:
    Estimated Authorization Level.............          2        263        266        271        276      1,079
    Estimated Outlays.........................          0         15        192        242        270        719
Title IX:
    Estimated Authorization Level.............        576        639        650        662        675      3,186
    Estimated Outlays.........................         21        246        584        632        651      2,134
Title X:
    Estimated Authorization Level.............          2          0          0          0          0          0
    Estimated Outlays.........................          1          1          0          0          0          0
    Total:
        Estimated Authorization Level.........        504     29,597     30,469     31,342     31,858    123,767
        Estimated Outlays.....................          5      7,165     28,278     30,381     31,609    97,435
----------------------------------------------------------------------------------------------------------------
Note: Components may not sum to totals because of rounding.

    Title IV. CBO estimates that implementing title IV would 
increase discretionary costs by $88.5 billion over the 2008-
2012 period for student assistance programs.
    Pell Grant Program. Title IV would make changes to the Pell 
Grant Program, which provides grants to low-income 
undergraduate students. The CCRAA extended the underlying 
authorization for Pell grants through fiscal year 2017 but did 
not establish a maximum award level for any year. (The maximum 
award level of $4,310 was set most recently in the 
appropriation for 2007.) H.R. 4137 would raise the maximum 
award level from $4,310 to $9,000 for academic years 2009-2010 
through 2013-2014. CBO estimates those changes would increase 
discretionary costs for Pell grants by $67.7 billion over the 
2009-2012 period.
    The title also would allow students who are enrolled year-
round at two-year or four-year institutions to receive more 
than one Pell grant for that year and would prohibit grants to 
individuals that meet specific criteria. As discussed above 
under the heading ``Direct Spending,'' the bill would alter the 
needs analysis for students and definitions and rules relating 
to institutional eligibility for financial aid. CBO estimates 
that those changes would increase discretionary costs in the 
Pell Grant Program by approximately $200 million over the 2008-
2012 period.
    Perkins Loan Program. The title would require the 
department to cancel an increased number of loans for students 
who meet specific criteria defined in the bill and who had 
received Perkins loans while enrolled in a institution of 
higher education. The bill also would authorize the Secretary 
to make increased contributions to student loan revolving funds 
held by colleges and universities for fiscal year 2009 and for 
each of the next five years, which would increase the amount of 
funds that could be loaned out. When those loans are cancelled, 
current law requires the department to reimburse the schools 
that make those loans for the cost of the loan cancellation. 
(These costs are treated as discretionary costs in the budget.) 
CBO estimates that this provision would increase discretionary 
costs by $735 million over the 2009-2012 period.
    Loan Forgiveness. Title IV would create a new program to 
forgive loans to borrowers that work in a variety of public-
sector jobs. For each year of full-time employment in those 
jobs, a borrower could have up to $2,000 forgiven, up to a 
lifetime maximum of $10,000. The bill would authorize the 
appropriation of such sums as may be necessary for each of 
fiscal years 2009 through 2013 for such loan forgiveness. CBO 
estimates that this provision would increase discretionary 
costs by $7.8 billion over the 2008-2012 period.
    Other Programs. Title IV would authorize the appropriation 
of about $4 billion for fiscal year 2009 and such sums as may 
be necessary for fiscal years 2010 through 2013 for many 
student assistance programs. This title would further authorize 
the appropriation of such sums as may be necessary for 2009 
through 2013 for all other student assistance programs under 
title IV. Based on historical spending patterns, CBO estimates 
that implementing those programs would increase discretionary 
costs by $12.8 billion over the 2009-2012 period.
    Title V. The bill would authorize the appropriation of $300 
million in 2009 and such sums as may be necessary for each of 
the next four years to operate programs that provide grants to 
institutions to help expand and improve educational 
opportunities for Hispanic Americans. Assuming appropriation of 
the estimated amounts, CBO estimates that implementing those 
programs would cost $821 million over the 2008-2012 period if 
adjusted annually for inflation.
    Title VI. The bill would authorize the appropriation of 
$108 million in 2009 and such sums as may be necessary for each 
of the next four years to operate existing programs related to 
international education and foreign language studies. 
Additionally, the bill would authorize the appropriation of 
such sums as may be necessary in 2009 and for each of the next 
four years to implement new programs detailed in the title. 
Based on similar programs and current spending patterns, CBO 
estimates that implementing title VI would cost $328 million 
over the 2008-2012 period, assuming the appropriation of the 
estimated amounts.
    Title VII. In total, CBO estimates that providing 
assistance under title VII would cost $971 million over the 
2008-2012 period, assuming appropriation of the estimated 
amounts.
    Title VII would authorize the appropriation of $180 million 
in 2009 and such sums as may be necessary for each of the next 
four years to support a variety of graduate and postsecondary 
improvement programs. CBO estimates that implementing those 
programs would increase discretionary costs by $312 million 
over the 2009-2012 period.
    Additionally, H.R. 4137 would establish the Patsy T. Mink 
Fellowship Program and would authorize the annual appropriation 
of such sums as may be necessary for 2009 through 2013. Under 
this program, institutions that receive grants would have to 
make at least 15 fellowship awards consisting of a stipend 
equal to the level of support provided to the graduate fellows 
at the National Science Foundation (NSF). Based on the number 
of institutions that grant advanced degrees in the United 
States and information from the NSF, CBO estimates that 
implementing this program would increase discretionary costs by 
$358 million over the 2008-2012 period.
    Title VIII. H.R. 4137 would add title VIII to the Higher 
Education Act of 1965 and would authorize the department to 
establish several new programs to support institutions of 
higher education. Overall, CBO estimates that it would cost 
$719 million over the 2008-2012 period to carry out title VIII, 
assuming appropriation of the estimated amounts. Major 
provisions of the title would:
     Authorize grants to improve remedial education. 
Based on data from the National Center for Education Statistics 
concerning the level of participation in remedial education 
opportunities at institutions of higher education, CBO 
estimates implementing this would increase discretionary costs 
by $140 million over the 2008-2012 period.
     Authorize the appropriation of $40 million for 
2009 and such sums as may be necessary for each of the next 
four years to give grants to institutions to establish degrees 
that focus on computer modeling and simulation. Based on 
historical spending patterns, CBO estimates that implementing 
that program would increase discretionary costs by $109 million 
over the 2008-2012 period.
     Create a competitive grant program designed to 
expand opportunities for worksite learning at institutions of 
higher education. Based on information from industry groups, 
CBO estimates that about 100 partnerships might receive an 
average grant of $300,000 in 2009. CBO estimates that providing 
grants to these partnerships would increase discretionary costs 
by $82 million over the 2008-2012 period.
     Create a competitive grant program to help 
institutions develop emergency communications systems. Based on 
information from the Department of Education about similar 
programs, CBO estimates that operating this grant program would 
increase discretionary costs by $68 million over the 2008-2012 
period.
    Title IX. CBO estimates that implementing title IX would 
result in outlays of about $2.1 billion over the 2008-2012 
period, assuming the appropriation of the estimated amounts.
    Specifically the bill would:
     Create a program to assist eligible institutions 
in acquiring digital and wireless networking technologies. The 
bill would authorize the appropriation of $250 million in 2008 
and such sums as may be necessary to run the program in each 
year 2009 through 2012. CBO estimates that implementing this 
program would increase discretionary costs by $946 million over 
the 2008-2012 period, assuming annual adjustments for 
inflation.
     Amend laws related to providing postsecondary 
education to Native Americans. The bill would allow biological 
children of enrolled tribe members to be officially counted as 
Native Americans, raise the authorized grant level per 
individual from $6,000 to $8,000 in 2008, and would adjust 
those levels for inflation. Accounting for those and other 
changes, CBO estimates that implementing those amendments would 
increase discretionary costs by $434 million over the 2008-2012 
period.
     Reauthorize support for Gallaudet University and 
the Laurent Clerc National Deaf Education Center. Based on the 
amount provided to Gallaudet University in 2007 ($107 million) 
and assuming annual adjustments for inflation, CBO estimates 
that providing this support would increase discretionary costs 
by $341 million over the 2008-2012 period.
     Reauthorize programs run by the National Technical 
Institute for the Deaf. Based on the amount provided to the 
institute in 2007 ($57 million) and assuming annual adjustments 
for inflation, CBO estimates that this provision would increase 
discretionary costs by $178 million over the 2008-2012 period.
     Expand a program under which grants are provided 
to states for the training of incarcerated individuals. The 
bill would authorize the appropriation of such sums as may be 
necessary for fiscal years 2008 through 2013 for this program. 
Based on data from the Bureau of Justice Statistics, CBO 
estimates that the change in the age limitation for this 
program would increase the number of people eligible for 
services under this program by about 80 percent. CBO estimates 
that implementing this program would increase discretionary 
costs by $120 million over the 2008-2012 period.
     Create a new program that would allow the 
Department of Justice to forgive student loans for individuals 
employed as prosecutors and public defenders. The bill would 
authorize the appropriation of $25 million for each of the 
fiscal years 2008 through 2013 for such loan forgiveness. Based 
on historical spending patterns, CBO estimates that this loan 
repayment program would cost $83 million over the 2008-2012 
period, assuming the appropriation of the authorized amounts.
    Title X. This title would direct the Treasury Department 
and the Government Accountability Office to prepare reports on 
issues related to private-sector financing of post-secondary 
education. Based on information from the affected agencies, CBO 
estimates that preparing these reports would cost approximately 
$2 million over the 2008-2009 period, assuming the availability 
of appropriated funds.
    Intergovernmental and private-sector impact: H.R. 4137 
contains several intergovernmental and private-sector mandates 
as defined in UMRA. CBO estimates that the aggregate costs to 
state, local, and tribal governments and private entities to 
comply with those mandates would not exceed the thresholds 
established in UMRA ($66 million in 2007 and $131 million in 
2007, respectively, adjusted annually for inflation).
    CBO estimates that several of the mandates would impose 
modest costs on public and private entities. Specifically, the 
bill would:
     Require institutions of higher education that 
increase tuition by more than the average across all 
institutions to create a quality-efficiency task force to 
review the operations of the institution and to report on the 
factors that lead to the increase. Although as many as 1,500 
institutions may be required to produce such reports, CBO 
expects the cost to produce such reports to be modest.
     Require institutions of higher education to 
provide textbook information as part of their class schedules. 
Most schools currently post those schedules online and have 
mechanisms for collecting course information from professors. 
This mandate would require small modifications to those 
systems.
     Prohibit public and private colleges and 
universities from receiving gifts from private lenders in 
exchange for any advantage or consideration provided to those 
lenders. Those schools also would be prohibited from engaging 
in revenue-sharing agreements and co-branding with private 
lenders. CBO estimates the direct cost to comply with that 
mandate would be small because the prohibited practices are 
rare.
     Increase disclosure requirements for public and 
private lenders who make educational loans not backed by the 
federal government. The bill would require lenders to give 
applicants a certain period of time to accept a loan after 
approval and to change their minds after accepting. The direct 
cost of initially complying with these mandates would include 
the cost to a small number of lenders of developing and 
reviewing new disclosure information for advertising and 
modifying existing disclosure forms. According to industry 
sources, the major ongoing cost would be the cost of fielding 
questions about the new and somewhat different disclosure 
forms.
     Require publishers of college textbooks, including 
public university presses, to provide certain information to 
those individuals that make decisions on which texts are used 
in classes. This information is readily available to publishers 
and CBO estimates the cost of disseminating it would be modest.
     Require those publishers to make supplemental 
materials normally sold with textbooks available for purchase 
separately. According to industry sources, the components of 
textbooks packaged with other materials are generally available 
for separate purchase. Furthermore, the added packaging and 
administrative costs would be modest.
    The bill contains several additional intergovernmental and 
private-sector mandates. CBO expects, however, that these 
requirements would not impose significant costs on public or 
private entities. Specifically, the bill would:
     Require institutions of higher education that have 
students who obtain private educational loans to develop and 
publish a code of conduct that prohibits a conflict of interest 
with respect to educational loans.
     Require institutions that have lost recognition by 
the Secretary of Education as a legitimate institution for 
immigration and federal employment hiring purposes to remove an 
indication on its web site that it has that recognition.
     Require institutions to submit a report to the 
Secretary if they require servicemembers who had to withdraw 
from school because they were called to active duty to reapply 
for admission before returning to classes.
     Preempt certain state contract laws as they apply 
to Perkins educational loans. Some states allow loan repayment 
agreements and other contracts to be broken if the borrower was 
a minor when the contract was signed. If this bill is enacted, 
those state laws would no longer apply to contracts for Perkins 
loans. The provision would benefit public and private colleges 
and universities that are seeking repayment on loans that could 
otherwise be disputed under state law.
    The bill also would authorize funding for student aid and 
higher education programs and increase requirements for public 
colleges and universities that participate in voluntary federal 
programs. Any costs to those institutions or to state, local, 
or tribal governments would result from complying with 
conditions of federal assistance.
    Comparison to previous estimates: On November 14, 2007, CBO 
transmitted a cost estimate for S. 1642, the Higher Education 
Amendments of 2007, as ordered reported by the Senate Committee 
on Health, Education, Labor, and Pensions on July 10, 2007. 
Differences between that estimate and this estimate reflect 
differences in the legislation.
    Specifically, CBO estimated that implementing S. 1642 would 
increase discretionary costs by $53.2 billion over the 2008-
2012 period, and that implementing H.R. 4137 would increase 
discretionary outlays by $97.4 billion over the same period. 
Most of the difference is due to changes in the Pell Grant 
program and a new loan forgiveness program under title IV.
    On October 4, 2007, CBO transmitted a cost estimate for the 
Private Student Loan Transparency and Improvement Act as 
ordered reported by the Senate Committee on Banking, Housing, 
and Urban Affairs on August 1, 2007. Both versions of the 
legislation are similar and the estimated costs are identical.
    Estimate prepared by: Federal Costs: Discretionary Costs--
Jessica Sherry; Mandatory Costs--Justin Humphrey; Revenues--
Barbara Edwards. Impact on State, Local, and Tribal 
Governments: Melissa Merrell. Impact on the Private Sector: 
Nabeel Alsalam.
    Estimate approved by: Keith Fontenot, Deputy Assistant 
Director for Health and Human Resources, Budget Analysis 
Division.

      XIII. Statement of General Performance Goals and Objectives

    In accordance with clause 3(c) of rule XIII of the Rules of 
the House of Representatives, the goal of H.R. 4137 is to make 
college more affordable and accessible. The Committee expects 
the Department of Education and other relevant departments to 
comply with H.R. 4137 and implement the changes to the law in 
accordance with these stated goals.

                XIV. Constitutional Authority Statement

    Under clause 3(d)(1) of rule XIII of the Rules of the House 
of Representatives, the Committee must include a statement 
citing the specific powers granted to Congress in the 
Constitution to enact the law proposed by H.R. 4137. The 
Committee believes that the amendments made by this bill are 
within Congress' authority under Article I, section 8, clause 
18 of the U.S. Constitution.

                         XV. Committee Estimate

    Clause 3(d)(2) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison of the 
costs that would be incurred in carrying out H.R. 4137. 
However, clause 3(d)(3)(B) of that rule provides that this 
requirement does not apply when the Committee has included in 
its report a timely submitted cost estimate of the bill 
prepared by the Director of the Congressional Budget Office 
under section 402 of the Congressional Budget Act.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

HIGHER EDUCATION ACT OF 1965

           *       *       *       *       *       *       *



                      TITLE I--GENERAL PROVISIONS

                          PART A--DEFINITIONS

SEC. 101. GENERAL DEFINITION OF INSTITUTION OF HIGHER EDUCATION.

  (a) Institution of Higher Education.--For purposes of this 
Act, other than title IV, the term ``institution of higher 
education'' means an educational institution in any State 
that--
          (1) * * *

           *       *       *       *       *       *       *

          (3) provides an educational program for which the 
        institution awards a bachelor's degree or provides not 
        less than a 2-year program that is acceptable for full 
        credit toward such a degree, or awards a degree that is 
        acceptable for admission to a graduate or professional 
        degree program, subject to review and approval by the 
        Secretary;

           *       *       *       *       *       *       *

  (b) Additional Institutions Included.--For purposes of this 
Act, other than title IV, the term ``institution of higher 
education'' also includes--
          (1) * * *
          [(2) a public or nonprofit private educational 
        institution in any State that, in lieu of the 
        requirement in subsection (a)(1), admits as regular 
        students persons who are beyond the age of compulsory 
        school attendance in the State in which the institution 
        is located.]
          (2) a public or nonprofit private educational 
        institution in any State that, in lieu of the 
        requirement in subsection (a)(1), admits as regular 
        students persons--
                  (A) who are beyond the age of compulsory 
                school attendance in the State in which the 
                institution is located; or
                  (B) who will be dually or concurrently 
                enrolled in the institution and a secondary 
                school.

           *       *       *       *       *       *       *


SEC. 102. DEFINITION OF INSTITUTION OF HIGHER EDUCATION FOR PURPOSES OF 
                    TITLE IV PROGRAMS.

  (a) Definition of Institution of Higher Education for 
Purposes of Title IV Programs.--
          (1) * * *
          (2) Institutions outside the united states.--
                  (A) In general.--For the purpose of 
                qualifying as an institution under paragraph 
                (1)(C), the Secretary shall establish criteria 
                by regulation for the approval of institutions 
                outside the United States and for the 
                determination that such institutions are 
                comparable to an institution of higher 
                education as defined in section 101 (except 
                that a graduate medical school, nursing school, 
                or a veterinary school, located outside the 
                United States shall not be required to meet the 
                requirements of section 101(a)(4)). Such 
                criteria shall include a requirement that a 
                student attending such school outside the 
                United States is ineligible for loans made, 
                insured, or guaranteed under part B of title IV 
                unless--
                          (i) in the case of a graduate medical 
                        school located outside the United 
                        States--
                                  (I)(aa) * * *

           *       *       *       *       *       *       *

                                  (bb) at least 60 percent of 
                                the individuals who were 
                                students or graduates of the 
                                graduate medical school outside 
                                the United States or Canada 
                                (both nationals of the United 
                                States and others) taking the 
                                examinations administered by 
                                the Educational Commission for 
                                Foreign Medical Graduates 
                                received a passing score in the 
                                year preceding the year for 
                                which a student is seeking a 
                                loan under part B of title IV; 
                                [or]
                                  [(II) the institution has a 
                                clinical training program that 
                                was approved by a State as of 
                                January 1, 1992; or]
                                  (II) the institution has or 
                                had a clinical training program 
                                that was approved by a State as 
                                of January 1, 1992, and 
                                continues to operate a clinical 
                                training program in at least 
                                one State, which is approved by 
                                that State; or
                                  (III) the institution--
                                          (aa) has a clinical 
                                        training program that 
                                        was approved by a State 
                                        before January 1, 2008;
                                          (bb) certifies only 
                                        unsubsidized Stafford 
                                        or PLUS loans under 
                                        part B of title IV to 
                                        graduate and 
                                        professional students 
                                        attending the 
                                        institution; and
                                          (cc) agrees to 
                                        reimburse the Secretary 
                                        for the cost of any 
                                        loan defaults for 
                                        students included in 
                                        the institution's 
                                        cohort default rate 
                                        during the previous 
                                        fiscal year; or
                          (ii) in the case of a veterinary 
                        school located outside the United 
                        States that does not meet the 
                        requirements of section 101(a)(4), the 
                        institution's students complete their 
                        clinical training at an approved 
                        veterinary school located in the United 
                        States[.]; or
                          (iii) in the case of a nursing school 
                        located outside of the United States, 
                        the institution--
                                  (I) has agreements with 
                                hospitals and eligible nursing 
                                schools located in the United 
                                States that include provisions 
                                for students to complete their 
                                clinical training at such 
                                hospitals and eligible nursing 
                                schools;
                                  (II) certifies only 
                                unsubsidized Stafford and PLUS 
                                loans under part B of title IV 
                                for students attending the 
                                institution; and
                                  (III) agrees to reimburse the 
                                Secretary for the cost of any 
                                loan defaults to the extent 
                                that the institution's cohort 
                                default rate exceeds 5 percent.

           *       *       *       *       *       *       *

  (b) Proprietary Institution of Higher Education.--
          (1) Principal criteria.--For the purpose of this 
        section, the term ``proprietary institution of higher 
        education'' means a school that--
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) is accredited by a nationally recognized 
                accrediting agency or association recognized by 
                the Secretary pursuant to part H of title IV; 
                and
                  (E) has been in existence for at least 2 
                years[; and].
                  [(F) has at least 10 percent of the school's 
                revenues from sources that are not derived from 
                funds provided under title IV, as determined in 
                accordance with regulations prescribed by the 
                Secretary.]
          [(2) Additional institutions.--The term ``proprietary 
        institution of higher education'' also includes a 
        proprietary educational institution in any State that, 
        in lieu of the requirement in paragraph (1) of section 
        101(a), admits as regular students persons who are 
        beyond the age of compulsory school attendance in the 
        State in which the institution is located.]
          (2) Additional institutions.--The term ``proprietary 
        institution of higher education'' also includes a 
        proprietary educational institution in any State that, 
        in lieu of the requirement in section 101(a)(1), admits 
        as regular students individuals--
                  (A) who are beyond the age of compulsory 
                school attendance in the State in which the 
                institution is located; or
                  (B) who will be dually or concurrently 
                enrolled in the institution and a secondary 
                school.
  (c) Postsecondary Vocational Institution.--
          (1) * * *
          [(2) Additional institutions.--The term 
        ``postsecondary vocational institution'' also includes 
        an educational institution in any State that, in lieu 
        of the requirement in paragraph (1) of section 101(a), 
        admits as regular students persons who are beyond the 
        age of compulsory school attendance in the State in 
        which the institution is located.]
          (2) Additional institutions.--The term 
        ``postsecondary vocational institution'' also includes 
        an educational institution in any State that, in lieu 
        of the requirement in section 101(a)(1), admits as 
        regular students individuals--
                  (A) who are beyond the age of compulsory 
                school attendance in the State in which the 
                institution is located; or
                  (B) who will be dually or concurrently 
                enrolled in the institution and a secondary 
                school.

SEC. 103. ADDITIONAL DEFINITIONS.

   In this Act:
          (1) Authorizing committees.--The term ``authorizing 
        committees'' means the Committee on Health, Education, 
        Labor, and Pensions of the Senate and the Committee on 
        Education and Labor of the House of Representatives.
          [(1)] (2) Combination of institutions of higher 
        education.--The term ``combination of institutions of 
        higher education'' means a group of institutions of 
        higher education that have entered into a cooperative 
        arrangement for the purpose of carrying out a common 
        objective, or a public or private nonprofit agency, 
        organization, or institution designated or created by a 
        group of institutions of higher education for the 
        purpose of carrying out a common objective on the 
        group's behalf.
          (3) Critical foreign language.--Except as otherwise 
        provided, the term ``critical foreign language'' means 
        each of the languages contained in the list of critical 
        languages designated by the Secretary in the Federal 
        Register on August 2, 1985 (50 Fed. Reg. 149, 31412; 
        promulgated under the authority of section 212(d) of 
        the Education for Economic Security Act (repealed by 
        section 2303 of the Augustus F. Hawkins-Robert T. 
        Stafford Elementary and Secondary School Improvement 
        Amendments of 1988)), except that in the implementation 
        of this definition with respect to a specific title, 
        the Secretary may set priorities according to the 
        purposes of such title and the national security, 
        economic competitiveness, and educational needs of the 
        United States.
          [(2)] (4) Department.--The term ``Department'' means 
        the Department of Education.
          [(3)] (5) Disability.--The term ``disability'' has 
        the same meaning given that term under section 3(2) of 
        the Americans With Disabilities Act of 1990.
          (6) Distance education.--
                  (A) In general.--Except as otherwise 
                provided, the term ``distance education'' means 
                education that uses 1 or more of the 
                technologies described in subparagraph (B)--
                          (i) to deliver instruction to 
                        students who are separated from the 
                        instructor; and
                          (ii) to support regular and 
                        substantive interaction between the 
                        students and the instructor, 
                        synchronously or asynchronously.
                  (B) Inclusions.--For the purposes of 
                subparagraph (A), the technologies used may 
                include--
                          (i) the Internet;
                          (ii) one-way and two-way 
                        transmissions through open broadcast, 
                        closed circuit, cable, microwave, 
                        broadband lines, fiber optics, 
                        satellite, or wireless communications 
                        devices;
                          (iii) audio conferencing; or
                          (iv) video cassette, DVDs, and CD-
                        ROMs, if the cassette, DVDs, and CD-
                        ROMs are used in a course in 
                        conjunction with the technologies 
                        listed in clauses (i) through (iii).
          [(4)] (7) Elementary school.--The term ``elementary 
        school'' has the same meaning given that term under 
        section 9101 of the Elementary and Secondary Education 
        Act of 1965.
          [(5)] (8) Gifted and talented.--The term ``gifted and 
        talented'' has the same meaning given that term under 
        section 9101 of the Elementary and Secondary Education 
        Act of 1965.
          (9) High-need school.--Except with respect to title 
        II, the term ``high-need school'' means a public or 
        nonprofit private elementary or secondary school which 
        is in a local educational agency which is eligible for 
        assistance pursuant to title I of the Elementary and 
        Secondary Education Act of 1965 in the applicable 
        fiscal year, and which for the purpose of this 
        paragraph and for that year was determined by the 
        Secretary (pursuant to regulations and after 
        consultation with the State educational agency of the 
        State in which the school is located) to be a school in 
        which the enrollment of children counted under section 
        1113(a)(5) of the Elementary and Secondary Education 
        Act of 1965 exceeds 30 percent of the total enrollment 
        of that school.
          (10) Limited english proficient.--The term ``limited 
        English proficient'' has the meaning given such term in 
        section 9101 of the Elementary and Secondary Education 
        Act of 1965.
          [(6)] (11) Local educational agency.--The term 
        ``local educational agency'' has the same meaning given 
        that term under section 9101 of the Elementary and 
        Secondary Education Act of 1965.
          [(7)] (12) New borrower.--The term ``new borrower'' 
        when used with respect to any date means an individual 
        who on that date has no outstanding balance of 
        principal or interest owing on any loan made, insured, 
        or guaranteed under title IV.
          [(8)] (13) Nonprofit.--The term ``nonprofit'' as 
        applied to a school, agency, organization, or 
        institution means a school, agency, organization, or 
        institution owned and operated by one or more nonprofit 
        corporations or associations, no part of the net 
        earnings of which inures, or may lawfully inure, to the 
        benefit of any private shareholder or individual.
          [(9)] (14) School or department of divinity.--The 
        term ``school or department of divinity'' means an 
        institution, or a department or a branch of an 
        institution, the program of instruction of which is 
        designed for the education of students--
                  (A) * * *

           *       *       *       *       *       *       *

          [(10)] (15) Secondary school.--The term ``secondary 
        school'' has the same meaning given that term under 
        section 9101 of the Elementary and Secondary Education 
        Act of 1965.
          [(11)] (16) Secretary.--The term ``Secretary'' means 
        the Secretary of Education.
          [(12)] (17) Service-learning.--The term ``service-
        learning'' has the same meaning given that term under 
        section 101(23) of the National and Community Service 
        Act of 1990.
          [(13)] (18) Special education teacher.--The term 
        ``special education teacher'' means teachers who teach 
        children with disabilities as defined in section 602 of 
        the Individuals with Disabilities Education Act.
          [(14)] (19) State educational agency.--The term 
        ``State educational agency'' has the same meaning given 
        that term under section 9101 of the Elementary and 
        Secondary Education Act of 1965.
          [(15)] (20) State higher education agency.--The term 
        ``State higher education agency'' means the officer or 
        agency primarily responsible for the State supervision 
        of higher education.
          [(16)] (21) State; freely associated states.--
                  (A) * * *

           *       *       *       *       *       *       *

          (22) Universal design.--The term ``universal design'' 
        means a concept or philosophy for designing and 
        delivering products and services that are usable by 
        people with the widest possible range of functional 
        capabilities, which include products and services that 
        are directly accessible (without requiring assistive 
        technologies) and products and services that are 
        interoperable with assistive technologies.
          (23) Universal design for learning.--The term 
        ``universal design for learning'' means a research-
        based framework for designing curriculum (including 
        goals, methods, materials, and assessments) that--
                  (A) provides curricular flexibility in the 
                ways information is presented, in the ways 
                students respond or demonstrate knowledge, and 
                in the ways students are engaged; and
                  (B) reduces barriers in instruction and 
                assessment, provides appropriate supports and 
                challenges, and maintains high achievement 
                standards for all students, including students 
                with disabilities.

PART B--ADDITIONAL GENERAL PROVISIONS

           *       *       *       *       *       *       *


SEC. 113. [TREATMENT OF TERRITORIES AND TERRITORIAL STUDENT ASSISTANCE] 
                    TERRITORIAL WAIVER AUTHORITY.

  [(a) Waiver Authority.--]The Secretary is required to waive 
the eligibility criteria of any postsecondary education program 
administered by the Department where such criteria do not take 
into account the unique circumstances in Guam, the United 
States Virgin Islands, American Samoa, the Commonwealth of the 
Northern Mariana Islands, and the Freely Associated States.
  [(b) Eligibility.--Notwithstanding any other provision of 
law, an institution of higher education that is located in any 
of the Freely Associated States, rather than in another State, 
shall be eligible, if otherwise qualified, for assistance under 
chapter 1 of subpart 2 of part A of title IV. This subsection 
shall cease to be effective on September 30, 2004.]

[SEC. 114. NATIONAL ADVISORY COMMITTEE ON INSTITUTIONAL QUALITY AND 
                    INTEGRITY.

  [(a) Establishment.--There is established in the Department a 
National Advisory Committee on Institutional Quality and 
Integrity (hereafter in this section referred to as the 
``Committee''), which shall be composed of 15 members appointed 
by the Secretary from among individuals who are representatives 
of, or knowledgeable concerning, education and training beyond 
secondary education, including representatives of all sectors 
and types of institutions of higher education (as defined in 
section 102), to assess the process of eligibility and 
certification of such institutions under title IV and the 
provision of financial aid under title IV.
  [(b) Terms of Members.--Terms of office of each member of the 
Committee shall be 3 years, except that any member appointed to 
fill a vacancy occurring prior to the expiration of the term 
for which the member's predecessor was appointed shall be 
appointed for the remainder of such term.
  [(c) Public Notice.--The Secretary shall--
          [(1) annually publish in the Federal Register a list 
        containing the name of each member of the Committee and 
        the date of the expiration of the term of office of the 
        member; and
          [(2) publicly solicit nominations for each vacant 
        position or expiring term of office on the Committee.
  [(d) Functions.--The Committee shall--
          [(1) advise the Secretary with respect to 
        establishment and enforcement of the standards of 
        accrediting agencies or associations under subpart 2 of 
        part H of title IV;
          [(2) advise the Secretary with respect to the 
        recognition of a specific accrediting agency or 
        association;
          [(3) advise the Secretary with respect to the 
        preparation and publication of the list of nationally 
        recognized accrediting agencies and associations;
          [(4) develop and recommend to the Secretary standards 
        and criteria for specific categories of vocational 
        training institutions and institutions of higher 
        education for which there are no recognized accrediting 
        agencies, associations, or State agencies, in order to 
        establish the eligibility of such institutions on an 
        interim basis for participation in federally funded 
        programs;
          [(5) advise the Secretary with respect to the 
        eligibility and certification process for institutions 
        of higher education under title IV, together with 
        recommendations for improvements in such process;
          [(6) advise the Secretary with respect to the 
        relationship between--
                  [(A) accreditation of institutions of higher 
                education and the certification and eligibility 
                of such institutions; and
                  [(B) State licensing responsibilities with 
                respect to such institutions; and
          [(7) carry out such other advisory functions relating 
        to accreditation and institutional eligibility as the 
        Secretary may prescribe.
  [(e) Meeting Procedures.--The Committee shall meet not less 
than twice each year at the call of the Chairperson. The date 
of, and agenda for, each meeting of the Committee shall be 
submitted in advance to the Secretary for approval. A 
representative of the Secretary shall be present at all 
meetings of the Committee.
  [(f) Report.--Not later than November 30 of each year, the 
Committee shall make an annual report through the Secretary to 
Congress. The annual report shall contain--
          [(1) a list of the members of the Committee and their 
        addresses;
          [(2) a list of the functions of the Committee;
          [(3) a list of dates and places of each meeting 
        during the preceding fiscal year; and
          [(4) a summary of the activities, findings and 
        recommendations made by the Committee during the 
        preceding fiscal year.
  [(g) Termination.--The Committee shall cease to exist on 
September 30, 2004.]

SEC. 114. NATIONAL ADVISORY COMMITTEE ON INSTITUTIONAL QUALITY AND 
                    INTEGRITY.

  (a) Establishment.--There is established in the Department a 
National Advisory Committee on Institutional Quality and 
Integrity (in this section referred to as the ``Committee'') to 
assess the process of accreditation and the institutional 
eligibility and certification of such institutions under title 
IV.
  (b) Membership.--
          (1) In general.--The Committee shall have 18 members, 
        of which--
                  (A) 6 members shall be appointed by the 
                Secretary;
                  (B) 6 members shall be appointed by the 
                Speaker of the House of Representatives, 3 
                members on the recommendation of the majority 
                leader of the House of Representatives, and 3 
                members on the recommendation of the minority 
                leader of the House of Representatives; and
                  (C) 6 members shall be appointed by the 
                President pro tempore of the Senate, 3 members 
                on the recommendation of the majority leader of 
                the Senate, and 3 members on the recommendation 
                of the minority leader of the Senate.
          (2) Qualifications.--Individuals shall be appointed 
        as members of the Committee--
                  (A) on the basis of the individuals' 
                experience, integrity, impartiality, and good 
                judgment;
                  (B) from among individuals who are 
                representatives of, or knowledgeable 
                concerning, education and training beyond 
                secondary education, representing all sectors 
                and types of institutions of higher education 
                (as defined in section 102); and
                  (C) on the basis of the individuals' 
                technical qualifications, professional 
                standing, and demonstrated knowledge in the 
                fields of accreditation and administration in 
                higher education.
          (3) Terms of members.--Except as provided in 
        paragraph (5), the term of office of each member of the 
        Committee shall be for 6 years, except that any member 
        appointed to fill a vacancy occurring prior to the 
        expiration of the term for which the member's 
        predecessor was appointed shall be appointed for the 
        remainder of such term.
          (4) Vacancy.--A vacancy on the Committee shall be 
        filled in the same manner as the original appointment 
        was made not later than 90 days after the vacancy 
        occurs. If a vacancy occurs in a position to be filled 
        by the Secretary, the Secretary shall publish a Federal 
        Register notice soliciting nominations for the position 
        not later than 30 days after being notified of the 
        vacancy.
          (5) Initial terms.--The terms of office for the 
        initial members of the Committee shall be--
                  (A) 3 years for members appointed under 
                paragraph (1)(A);
                  (B) 4 years for members appointed under 
                paragraph (1)(B); and
                  (C) 6 years for members appointed under 
                paragraph (1)(C).
          (6) Chairperson.--The members of the Committee shall 
        select a chairperson from among the members.
  (c) Functions.--The Committee shall--
          (1) advise the Secretary with respect to 
        establishment and enforcement of the standards of 
        accrediting agencies or associations under subpart 2 of 
        part H of title IV;
          (2) advise the Secretary with respect to the 
        recognition of a specific accrediting agency or 
        association;
          (3) advise the Secretary with respect to the 
        preparation and publication of the list of nationally 
        recognized accrediting agencies and associations;
          (4) advise the Secretary with respect to the 
        eligibility and certification process for institutions 
        of higher education under title IV, together with 
        recommendations for improvements in such process;
          (5) advise the Secretary with respect to the 
        relationship between--
                  (A) accreditation of institutions of higher 
                education and the certification and eligibility 
                of such institutions; and
                  (B) State licensing responsibilities with 
                respect to such institutions;
          (6) take into consideration the complaints, and the 
        resolution of such complaints, received by the 
        ombudsman described in section 497 when advising the 
        Secretary with respect to the recognition of a specific 
        accrediting agency or association; and
          (7) carry out such other advisory functions relating 
        to accreditation and institutional eligibility as the 
        Secretary may prescribe by regulation.
  (d) Meeting Procedures.--
          (1) Schedule.--
                  (A) Biannual meetings.--The Committee shall 
                meet not less often than twice each year, at 
                the call of the Chairperson.
                  (B) Publication of date.--The Committee shall 
                submit the date and location of each meeting in 
                advance to the Secretary, and the Secretary 
                shall publish such information in the Federal 
                Register not later than 30 days before the 
                meeting.
          (2) Agenda.--
                  (A) Establishment.--The agenda for a meeting 
                of the Committee shall be established by the 
                Chairperson and shall be submitted to the 
                members of the Committee upon notification of 
                the meeting.
                  (B) Opportunity for public comment.--The 
                agenda shall include, at a minimum, opportunity 
                for public comment during the Committee's 
                deliberations.
          (3) Federal advisory committee act.--The provisions 
        of the Federal Advisory Committee Act (5 U.S.C. App.) 
        shall apply to the Committee, except that section 14 of 
        such Act shall not apply.
  (e) Limitation.--The Committee shall not recommend denial of 
an application related to the recognition of an accrediting 
agency or association for any reason other than a reason set 
forth in section 496.
  (f) Report and Notice.--
          (1) Notice.--The Secretary shall annually publish in 
        the Federal Register--
                  (A) a list containing, for each member of the 
                Committee--
                          (i) the member's name;
                          (ii) the date of the expiration of 
                        the member's term of office; and
                          (iii) the individual described in 
                        subsection (b)(1) who appointed the 
                        member; and
                  (B) a solicitation of nominations for each 
                expiring term of office on the Committee of a 
                member appointed by the Secretary.
          (2) Report.--Not later than September 30 of each 
        year, the Committee shall make an annual report to the 
        Secretary, the authorizing committees, and the public. 
        The annual report shall contain--
                  (A) a detailed summary of the agenda and 
                activities of, and the findings and 
                recommendations made by, the Committee during 
                the preceding fiscal year;
                  (B) a list of the date and location of each 
                meeting during the preceding fiscal year;
                  (C) a list of the members of the Committee 
                and appropriate contact information; and
                  (D) a list of the functions of the Committee, 
                including any additional functions established 
                by the Secretary through regulation.
  (g) Termination.--The Committee shall terminate on September 
30, 2012.

           *       *       *       *       *       *       *


SEC. 120. DRUG AND ALCOHOL ABUSE PREVENTION.

  (a) Restriction on Eligibility.--Notwithstanding any other 
provision of law, no institution of higher education shall be 
eligible to receive funds or any other form of financial 
assistance under any Federal program, including participation 
in any federally funded or guaranteed student loan program, 
unless the institution certifies to the Secretary that the 
institution has adopted and has implemented a program to 
prevent the use of illicit drugs and the abuse of alcohol by 
students and employees that, at a minimum, includes--
          (1) * * *
          (2) a biennial review by the institution of the 
        institution's program to--
                  (A) determine the program's effectiveness and 
                implement changes to the program if the changes 
                are needed; [and]
                  (B) determine the number of drug and alcohol-
                related incidents and fatalities that--
                          (i) occur on the institution's 
                        property or as part of any of the 
                        institution's activities; and
                          (ii) are reported to the institution;
                  (C) determine the number and type of 
                sanctions described in paragraph (1)(E) that 
                are imposed by the institution as a result of 
                drug and alcohol-related incidents and 
                fatalities on the institution's property or as 
                part of any of the institution's activities; 
                and
                  [(B)] (D) ensure that the sanctions required 
                by paragraph (1)(E) are consistently enforced.

           *       *       *       *       *       *       *

  (e) Alcohol and Drug Abuse Prevention Grants.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection $5,000,000 for fiscal year [1999] 2009 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
  [(f) National Recognition Awards.--
          [(1) Purpose.--It is the purpose of this subsection 
        to provide models of innovative and effective alcohol 
        and drug abuse prevention programs in higher education 
        and to focus national attention on exemplary alcohol 
        and drug abuse prevention efforts.
          [(2) Awards.--
                  [(A) In general.--The Secretary shall make 5 
                National Recognition Awards for outstanding 
                alcohol prevention programs and 5 National 
                Recognition Awards for outstanding drug abuse 
                prevention programs, on an annual basis, to 
                institutions of higher education that--
                          [(i) have developed and implemented 
                        innovative and effective alcohol 
                        prevention programs or drug abuse 
                        prevention programs; and
                          [(ii) with respect to an application 
                        for an alcohol prevention program 
                        award, demonstrate in the application 
                        submitted under paragraph (3) that the 
                        institution has undertaken efforts 
                        designed to change the culture of 
                        college drinking consistent with the 
                        review criteria described in paragraph 
                        (3)(C)(iii).
                  [(B) Ceremony.--The awards shall be made at a 
                ceremony in Washington, D.C.
                  [(C) Document.--The Secretary shall publish a 
                document describing the alcohol and drug abuse 
                prevention programs of institutions of higher 
                education that receive the awards under this 
                subsection and disseminate the document 
                nationally to all public and private secondary 
                school guidance counselors for use by secondary 
                school juniors and seniors preparing to enter 
                an institution of higher education. The 
                document shall be disseminated not later than 
                January 1 of each academic year.
                  [(D) Amount and use.--Each institution of 
                higher education selected to receive an award 
                under this subsection shall receive an award in 
                the amount of $50,000. Such award shall be used 
                for the maintenance and improvement of the 
                institution's outstanding prevention program 
                for the academic year following the academic 
                year for which the award is made.
          [(3) Application.--
                  [(A) In general.--Each institution of higher 
                education desiring an award under this 
                subsection shall submit an application to the 
                Secretary at such time, in such manner, and 
                accompanied by such information as the 
                Secretary may require. Each such application 
                shall contain--
                          [(i) a clear description of the goals 
                        and objectives of the prevention 
                        program of the institution;
                          [(ii) a description of program 
                        activities that focus on alcohol or 
                        drug policy issues, policy development, 
                        modification, or refinement, policy 
                        dissemination and implementation, and 
                        policy enforcement;
                          [(iii) a description of activities 
                        that encourage student and employee 
                        participation and involvement in 
                        activity development and 
                        implementation;
                          [(iv) the objective criteria used to 
                        determine the effectiveness of the 
                        methods used in such programs and the 
                        means used to evaluate and improve the 
                        programs' efforts;
                          [(v) a description of special 
                        initiatives used to reduce high-risk 
                        behavior or increase low-risk behavior; 
                        and
                          [(vi) a description of coordination 
                        and networking efforts that exist in 
                        the community in which the institution 
                        is located for purposes of such 
                        programs.
                  [(B) Application review.--The Secretary shall 
                appoint a committee to review applications 
                submitted under this paragraph. The committee 
                may include representatives of Federal 
                departments or agencies the programs of which 
                include alcohol abuse prevention and education 
                efforts and drug abuse prevention and education 
                efforts, directors or heads (or their 
                representatives) of professional associations 
                that focus on alcohol and drug abuse prevention 
                efforts, and non-Federal scientists who have 
                backgrounds in social science evaluation and 
                research methodology and in education. 
                Decisions of the committee shall be made 
                directly to the Secretary without review by any 
                other entity in the Department.
                  [(C) Review criteria.--The committee 
                described in subparagraph (B) shall develop 
                specific review criteria for reviewing and 
                evaluating applications submitted under this 
                paragraph. The review criteria shall include--
                          [(i) measures of the effectiveness of 
                        the program of the institution, that 
                        includes changes in the campus alcohol 
                        or other drug environment or the 
                        climate and changes in alcohol or other 
                        drug use before and after the 
                        initiation of the program;
                          [(ii) measures of program 
                        institutionalization, including--
                                  [(I) an assessment of needs 
                                of the institution;
                                  [(II) the institution's 
                                alcohol and drug policies, 
                                staff and faculty development 
                                activities, drug prevention 
                                criteria, student, faculty, and 
                                campus community involvement; 
                                and
                                  [(III) whether the program 
                                will be continued after the 
                                cessation of Federal funding; 
                                and
                          [(iii) with respect to an application 
                        for an alcohol prevention program 
                        award, criteria for determining whether 
                        the institution has policies in effect 
                        that--
                                  [(I) prohibit alcoholic 
                                beverage sponsorship of 
                                athletic events, and prohibit 
                                alcoholic beverage advertising 
                                inside athletic facilities;
                                  [(II) prohibit alcoholic 
                                beverage marketing on campus, 
                                which may include efforts to 
                                ban alcohol advertising in 
                                institutional publications or 
                                efforts to prohibit alcohol-
                                related advertisements at 
                                campus events;
                                  [(III) establish or expand 
                                upon alcohol-free living 
                                arrangements for all college 
                                students;
                                  [(IV) establish partnerships 
                                with community members and 
                                organizations to further 
                                alcohol prevention efforts on 
                                campus and the areas 
                                surrounding campus; and
                                  [(V) establish innovative 
                                communications programs 
                                involving students and faculty 
                                in an effort to educate 
                                students about alcohol-related 
                                risks.
          [(4) Eligibility.--In order to be eligible to receive 
        a National Recognition Award an institution of higher 
        education shall--
                  [(A) offer an associate or baccalaureate 
                degree;
                  [(B) have established an alcohol abuse 
                prevention and education program or a drug 
                abuse prevention and education program;
                  [(C) nominate itself or be nominated by 
                others, such as professional associations or 
                student organizations, to receive the award; 
                and
                  [(D) not have received an award under this 
                subsection during the 5 academic years 
                preceding the academic year for which the 
                determination is made.
          [(5) Authorization of appropriations.--
                  [(A) In general.--There is authorized to be 
                appropriated to carry out this subsection 
                $750,000 for fiscal year 1999.
                  [(B) Availability.--Funds appropriated under 
                subparagraph (A) shall remain available until 
                expended.]

SEC. 121. PRIOR RIGHTS AND OBLIGATIONS.

  (a) Authorization of Appropriations.--
          (1) Pre-1987 parts c and d of title vii.--There are 
        authorized to be appropriated such sums as may be 
        necessary for fiscal year [1999 and for each of the 4 
        succeeding fiscal years] 2009 and for each succeeding 
        fiscal year to pay obligations incurred prior to 1987 
        under parts C and D of title VII, as such parts were in 
        effect before the effective date of the Higher 
        Education Amendments of 1992.
          (2) Post-1992 and pre-1998 part c of title vii.--
        There are authorized to be appropriated such sums as 
        may be necessary for fiscal year [1999 and for each of 
        the 4 succeeding fiscal years] 2009 and for each 
        succeeding fiscal year to pay obligations incurred 
        prior to the date of enactment of the Higher Education 
        Amendments of 1998 under part C of title VII, as such 
        part was in effect during the period--
                  (A) * * *

           *       *       *       *       *       *       *


                    PART C--COST OF HIGHER EDUCATION

SEC. 131. IMPROVEMENTS IN MARKET INFORMATION AND PUBLIC ACCOUNTABILITY 
                    IN HIGHER EDUCATION.

  (a) Improved Data Collection.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Information to institutions.--The Commissioner of 
        Education Statistics shall--
                  (A) * * *
                  (B) not later than 90 days after the date of 
                enactment of the Higher Education Amendments of 
                1998, report the definitions to each 
                institution of higher education and within a 
                reasonable period of time thereafter inform the 
                [Committee on Labor and Human Resources of the 
                Senate and the Committee on Education and the 
                Workforce of the House of Representatives] 
                authorizing committees of those definitions; 
                and

           *       *       *       *       *       *       *

  [(d) Student Aid Recipient Survey.--(1) The Secretary shall 
survey student aid recipients on a regular cycle, but not less 
than once every 3 years--
          [(A) to identify the population of students receiving 
        Federal student aid;
          [(B) to determine the income distribution and other 
        socioeconomic characteristics of federally aided 
        students;
          [(C) to describe the combinations of aid from State, 
        Federal, and private sources received by students from 
        all income groups;
          [(D) to describe the debt burden of loan recipients 
        and their capacity to repay their education debts; and
          [(E) to disseminate such information in both 
        published and machine readable form.
  [(2) The survey shall be representative of full-time and 
part-time, undergraduate, graduate, and professional and 
current and former students in all types of institutions, and 
should be designed and administered in consultation with the 
Congress and the postsecondary education community.]
  (d) Promotion of the Department of Education Federal Student 
Financial Aid Website.--The Secretary--
          (1) shall display a link to the Federal student 
        financial aid website of the Department of Education in 
        a prominent place on the homepage of the Department of 
        Education website; and
          (2) may use administrative funds available for the 
        Department's operations and expenses for the purpose of 
        advertising and promoting the availability of the 
        Federal student financial aid website.
  (e) Promotion of Availability of Information Concerning 
Student Financial Aid Programs of Other Departments and 
Agencies.--
          (1) Availability of information.--The Secretary shall 
        ensure that the eligibility requirements, application 
        procedures, financial terms and conditions, and other 
        relevant information for each non-departmental student 
        financial assistance program are easily accessible 
        through the Federal student financial aid website and 
        are incorporated into the search matrix on such website 
        in a manner that permits students and parents to 
        readily identify the programs that are appropriate to 
        their needs and eligibility.
          (2) Agency response.--Each Federal department and 
        agency shall promptly respond to surveys or other 
        requests for the information required by paragraph (1), 
        and shall identify for the Secretary any non-
        departmental student financial assistance program 
        operated, sponsored, or supported by such Federal 
        department or agency.
          (3) Definition.--For purposes of this subsection, the 
        term ``non-departmental student financial assistance 
        program'' means any grant, loan, scholarship, 
        fellowship, or other form of financial aid for students 
        pursuing a postsecondary education that is--
                  (A) distributed directly to the student or to 
                the student's account at on institution of 
                higher education; and
                  (B) operated, sponsored, or supported by a 
                Federal department or agency other than the 
                Department of Education.

SEC. 132. STATE COMMITMENT TO AFFORDABLE COLLEGE EDUCATION.

  (a) Maintenance of Effort Required.--A State shall provide 
for public institutions of higher education in such State for 
any academic year beginning on or after July 1, 2008, an amount 
which is--
          (1) equal to or greater than the average amount 
        provided by such State to such institutions of higher 
        education during the 5 most recent preceding academic 
        years for which satisfactory data are available; or
          (2) equal to or greater than the amount provided by 
        such State to such institutions of higher education 
        during the preceding academic year.
  (b) Waiver.--The Secretary shall waive the requirements of 
subsection (a), if the Secretary determines that such a waiver 
would be equitable due to exceptional or uncontrollable 
circumstances, such as a natural disaster or a precipitous 
decline in the financial resources of a State or State 
educational agency, as appropriate.
  (c) Violation of Maintenance of Effort.--Notwithstanding any 
other provision of law, the Secretary shall withhold from any 
State that violates subsection (a) and does not receive a 
waiver pursuant to subsection (b) any amount that would 
otherwise be available to the State under section 415E until 
such State has made significant efforts to correct such 
violation.
  (d) Research Into Cost Containment Methods.--The Secretary is 
authorized--
          (1) to identify methods of cost containment currently 
        utilized by institutions of higher education and 
        systems of such institutions, and research into other 
        possible methods of cost containment;
          (2) to disseminate--
                  (A) the information obtained by such research 
                to such institutions and systems; and
                  (B) other information concerning research 
                that has identified successful methods of cost 
                containment;
          (3) to publicly recognize institutions of higher 
        education that are doing an effective job at cost 
        containment; and
          (4) to work together with such institutions and 
        systems to implement these methods.

SEC. 133. TRANSPARENCY IN COLLEGE TUITION FOR CONSUMERS.

  (a) Net Price.--In this section, the term ``net price'' means 
the average yearly tuition and fees paid by a full-time 
undergraduate student at an institution of higher education, 
after discounts and grants from the institution, the Federal 
Government, or a State have been applied to the full price of 
tuition and fees at the institution.
  (b) Higher Education Price Index.--
          (1) In general.--Not later than 1 year after the date 
        of enactment of the College Opportunity and 
        Affordability Act of 2007, the Bureau of Labor 
        Statistics, in consultation with the Commissioner of 
        Education Statistics and representatives of 
        institutions of higher education, shall develop higher 
        education price indices that accurately reflect the 
        annual change in tuition and fees for undergraduate 
        students in the categories of institutions listed in 
        paragraph (2). Such indices shall be updated annually. 
        Prior to the completion of the higher education price 
        index, the Secretary is authorized to use an 
        alternative, comparable index.
          (2) Development.--The higher education price indices 
        under paragraph (1) shall be developed for each of the 
        following categories:
                  (A) 4-year public institutions of higher 
                education.
                  (B) 4-year private, nonprofit institutions of 
                higher education.
                  (C) 4-year private, for-profit institutions 
                of higher education.
                  (D) 2-year public institutions of higher 
                education.
                  (E) 2-year private, nonprofit institutions of 
                higher education.
                  (F) 2-year private, for-profit institutions 
                of higher education.
                  (G) Less than 2-year public institutions of 
                higher education.
                  (H) Less than 2-year private, nonprofit 
                institutions of higher education.
                  (I) Less than 2-year private, for-profit 
                institutions of higher education.
                  (J) All types of institutions described in 
                subparagraphs (A) through (I).
  (c) Reporting.--
          (1) In general.--The Secretary shall make publicly 
        available on an annual basis, in a sortable electronic 
        format on the College Navigator website, a national 
        list ranking institutions of higher education according 
        to the percentage change and dollar change in such 
        institutions' tuition and fees over the preceding 3 
        years. Such list shall be capable of being sorted by 
        State, by category as determined under paragraph (2), 
        by percentage change, and by dollar change. The purpose 
        of such list is to provide consumers with general 
        information on pricing trends among institutions of 
        higher education nationally and in each State.
          (2) Categories.--The categories to be used for the 
        list described in paragraph (1) are the categories 
        listed in subparagraphs (A) through (I) of subsection 
        (b)(2).
          (3) Higher education price increase watch lists.--
        Effective July 1, 2008, the Secretary shall annually 
        update and make publicly available on the College 
        Navigator website, the national list developed under 
        paragraph (1), and the list for each State, ranking 
        each institution of higher education whose tuition and 
        fees outpace such institution's applicable higher 
        education price index described in subsection (b). Such 
        lists shall--
                  (A) be known as the Higher Education Price 
                Increase Watch Lists;
                  (B) report the full price of tuition and fees 
                at the institution and the net price;
                  (C) include data cells for common 
                expenditures for institutions to utilize;
                  (D) where applicable, report the average 
                price of room and board for students living on 
                campus at the institution, except that such 
                price shall not be used in determining whether 
                an institution's cost outpaces such 
                institution's applicable higher education price 
                index; and
                  (E) be compiled by the Secretary in a public 
                document to be widely published and 
                disseminated.
          (4) Quality efficiency task forces.--
                  (A) Required.--Each institution subject to 
                paragraph (3) shall establish a quality-
                efficiency task force to review the operations 
                of such institution.
                  (B) Functions.--Such task force shall analyze 
                institutional operating costs in comparison 
                with such costs at other institutions within 
                the same category of institutions. Such 
                analysis shall identify areas where, in 
                comparison with other institutions in such 
                class, the institution operates more 
                expensively to produce a similar result. Any 
                identified areas shall then be targeted for in-
                depth analysis for cost reduction 
                opportunities.
                  (C) Report.--The results of the analysis by a 
                quality-efficiency task force under this 
                paragraph shall be made available to the public 
                on the College Navigator website.
          (5) Exemptions.--Notwithstanding paragraph (3), an 
        institution shall not be placed on the higher education 
        watch list if, for any 3-year interval for the computed 
        price under paragraph (1)--
                  (A) with respect to the category of 
                institutions described in paragraph (2) to 
                which the institution belongs, the computed 
                price of the institution is in the lowest 
                quartile of institutions within such class, as 
                determined by the Secretary, during the last 
                year of such 3-year interval; or
                  (B) the institution has a percentage change 
                in its full price computed under paragraph (3) 
                that exceeds the higher education price index, 
                or exceeds the applicable higher education 
                price index over the same time period, but the 
                dollar amount of the full price increase is 
                less than $500, or the full price increase is 
                an average of the higher education price index 
                plus $500 per year.
          (6) State higher education appropriations chart.--The 
        Secretary shall annually report on the Department's 
        website, in charts for each State--
                  (A) a comparison of the percentage change in 
                State appropriations per enrolled student in a 
                public institution of higher education in the 
                State to the percentage change in tuition and 
                fees for each public institution of higher 
                education in the State for each of the previous 
                5 years; and
                  (B) the total amount of need-based and merit-
                based aid provided by the State to students 
                enrolled in an institution of higher education 
                in the State.
  (d) Net Price Calculator.--
          (1) Development.--Not later than 1 year after the 
        date of enactment of the College Opportunity and 
        Affordability Act of 2007, the Secretary shall, in 
        consultation with institutions of higher education, 
        develop and make several model net price calculators to 
        help students, families, and consumers determine the 
        net price of an institution of higher education, which 
        institutions of higher education may, at their 
        discretion, elect to use pursuant to paragraph (3).
          (2) Categories.--The model net price calculators 
        described in paragraph (1) shall be developed for each 
        of the categories listed in subparagraphs (A) through 
        (I) of subsection (b)(2).
          (3) Use of net price calculator by institutions.--Not 
        later than 3 years after the date of enactment of the 
        College Opportunity and Affordability Act of 2007, each 
        institution of higher education that receives Federal 
        funds under this Act shall adopt and use a net price 
        calculator to help students, families, and other 
        consumers determine the net price of such institution 
        of higher education. Such calculator may be--
                  (A) based on a model calculator developed by 
                the Department; or
                  (B) developed by the institution of higher 
                education.
  (e) Net Price Reporting in Application Information.--An 
institution of higher education that receives Federal funds 
under this Act shall include, in the materials accompanying an 
application for admission to the institution, the most recent 
information regarding the net price of the institution, 
calculated for each quartile of students based on the income of 
either the students' parents or, in the case of independent 
students (as such term is described in section 480), of the 
students, for each of the 2 academic years preceding the 
academic year for which the application is produced.
  (f) Enhanced College Navigator.--
          (1) University and college accountability network.--
        Not later than 1 year after the date of enactment of 
        the College Opportunity and Affordability Act of 2007, 
        the Secretary shall develop a model format for annually 
        publicly displaying basic information about an 
        institution of higher education that chooses to 
        participate, to be posted on the College Navigator and 
        made available to institutions of higher education, 
        students, families, and other consumers. Such document 
        shall be known as the University and College 
        Accountability Network (U-CAN), and shall include, the 
        following information about the institution of higher 
        education for the most recent academic year for which 
        the institution has available data, presented in a 
        consumer-friendly manner:
                  (A) A statement of the institution's mission 
                and specialties.
                  (B) The total number of undergraduate 
                students who applied, were admitted, and 
                enrolled at the institution.
                  (C) Where applicable, reading, writing, 
                mathematics, and combined scores on the SAT or 
                ACT for the middle 50 percent range of the 
                institution's freshman class.
                  (D) Enrollment of full-time, part-time, and 
                transfer students at the institution, at the 
                undergraduate and (where applicable) graduate 
                levels.
                  (E) Percentage of male and female 
                undergraduate students enrolled at the 
                institution.
                  (F) Percentage of enrolled undergraduate 
                students from the State in which the 
                institution is located, from other States, and 
                from other countries.
                  (G) Percentage of enrolled undergraduate 
                students at the institution by race and ethnic 
                background.
                  (H) Retention rates for full-time and part-
                time first-time, first-year undergraduate 
                students enrolled at the institution.
                  (I) Average time to degree or certificate 
                completion for first-time, first-year 
                undergraduate students enrolled at the 
                institution.
                  (J) Percentage of enrolled undergraduate 
                students who graduate within 2 years (in the 
                case of 2-year institutions), and 4, 5, and 6 
                years (in the case of 2-year and 4-year 
                institutions).
                  (K) Number of students who obtained a 
                certificate or an associate's, bachelor's, 
                master's, or doctoral degree at the 
                institution.
                  (L) Undergraduate major areas of study with 
                the highest number of degrees awarded.
                  (M) The student-faculty ratio, and number of 
                full-time, part-time, and adjunct faculty, and 
                graduate teaching and research assistants with 
                instructional responsibilities, at the 
                institution.
                  (N) Percentage of faculty at the institution 
                with the highest degree in their field.
                  (O) Percentage change in total price in 
                tuition and fees and the net price for an 
                undergraduate at the institution in each of the 
                preceding 3 academic years.
                  (P) Total average yearly cost of tuition and 
                fees, room and board, and books and other 
                related costs for an undergraduate student 
                enrolled at the institution, for--
                          (i) full-time undergraduate students 
                        living on campus;
                          (ii) full-time undergraduate students 
                        living off campus; and
                          (iii) in the case of students 
                        attending a public institution of 
                        higher education, such costs for in-
                        State and out-of-State students living 
                        on and off campus.
                  (Q) Average yearly grant amount (including 
                Federal, State, and institutional aid) for a 
                student enrolled at the institution.
                  (R) Average yearly amount of Federal student 
                loans, and other loans provided through the 
                institution, to undergraduate students enrolled 
                at the institution.
                  (S) Total yearly grant aid available to 
                undergraduate students enrolled at the 
                institution, from the Federal Government, a 
                State, the institution, and other sources.
                  (T) Percentage of undergraduate students 
                enrolled at the institution receiving Federal, 
                State, and institutional grants, student loans, 
                and any other type of student financial 
                assistance provided publicly or through the 
                institution, such as Federal work-study funds.
                  (U) Number of students receiving Federal Pell 
                Grants at the institution.
                  (V) Average net price for all undergraduate 
                students enrolled at the institution.
                  (W) Percentage of first-year undergraduate 
                students enrolled at the institution who live 
                on campus and off campus.
                  (X) Information on the policies of the 
                institution related to transfer of credit from 
                other institutions.
                  (Y) Information on campus safety required to 
                be collected under section 485(f).
                  (Z) Links to the appropriate sections of the 
                institution's website that provide information 
                on student activities offered by the 
                institution, such as intercollegiate sports, 
                student organizations, study abroad 
                opportunities, intramural and club sports, 
                specialized housing options, community service 
                opportunities, cultural and arts opportunities 
                on campus, religious and spiritual life on 
                campus, and lectures and outside learning 
                opportunities.
                  (AA) Links to the appropriate sections of the 
                institution's website that provide information 
                on services offered by the institution to 
                students during and after college, such as 
                internship opportunities, career and placement 
                services, and preparation for further 
                education.
          (2) Consultation.--The Secretary shall ensure that 
        current and prospective college students, family 
        members of such students, and institutions of higher 
        education are consulted in carrying out paragraph (1).
  (g) Student Aid Recipient Survey.--
          (1) Survey required.--The Secretary shall conduct a 
        survey of student aid recipients under title IV on a 
        regular cycle and State-by-State basis, but not less 
        than once every 4 years--
                  (A) to identify the population of students 
                receiving Federal student aid;
                  (B) to describe the income distribution and 
                other socioeconomic characteristics of 
                federally aided students;
                  (C) to describe the combinations of aid from 
                State, Federal, and private sources received by 
                students from all income groups;
                  (D) to describe the debt burden of 
                educational loan recipients and their capacity 
                to repay their education debts, and the impact 
                of such debt burden on career choices;
                  (E) to describe the role played by the price 
                of postsecondary education in the determination 
                by students of what institution to attend; and
                  (F) to describe how the increased costs of 
                textbooks and other instructional materials 
                affects the costs of postsecondary education to 
                students.
          (2) Survey design.--The survey shall be 
        representative of full-time and part-time, 
        undergraduate, graduate, professional, and current and 
        former students in all types of institutions, and 
        designed and administered in consultation with the 
        Congress and the postsecondary education community.
          (3) Dissemination.--The Commissioner of Education 
        Statistics shall disseminate the information resulting 
        from the survey in both printed and electronic form.
  (h) Regulations.--The Secretary is authorized to issue such 
regulations as may be necessary to carry out the provisions of 
this section.

SEC. 134. TEXTBOOK INFORMATION.

  (a) Purpose and Intent.--The purpose of this section is to 
ensure that every student in higher education is offered better 
and more timely access to affordable course materials by 
educating and informing faculty, students, administrators, 
institutions of higher education, bookstores, distributors, and 
publishers on all aspects of the selection, purchase, sale, and 
use of course materials. It is the intent of this section--
          (1) to have all involved parties work together to 
        identify ways to decrease the cost of college textbooks 
        and supplemental materials for students while 
        protecting the academic freedom of faculty members to 
        select high quality course materials for students; and
          (2) to encourage--
                  (A) college textbook publishers and 
                distributors to work with faculty to promote 
                understanding of the cost to students of 
                purchasing faculty selected textbooks, 
                including the disclosure of prices and bundling 
                practices;
                  (B) college bookstores to work with faculty 
                to review timelines and processes for ordering 
                and stocking course materials, and to disclose 
                costs to faculty and students in a timely 
                manner;
                  (C) institutions of higher education to 
                implement numerous options to address college 
                textbook affordability;
                  (D) institutions of higher education to work 
                with student organizations to help students 
                understand the factors driving textbook costs 
                and available methods and resources to mitigate 
                the effects of those costs; and
                  (E) innovation in the development and use of 
                course materials (including course materials 
                utilizing the principles of universal design) 
                and technologies that can help students receive 
                the full value of their educational investment.
  (b) Definitions.--In this section:
          (1) Bundle.--The term ``bundle'' means one or more 
        college textbooks or other supplemental learning 
        materials that may be packaged together to be sold as 
        course materials for one price.
          (2) College textbook.--The term ``college textbook'' 
        means a textbook or a set of textbooks, used for, or in 
        conjunction with, a course in postsecondary education 
        at an institution of higher education.
          (3) Course schedule.--The term ``course schedule'' 
        means a listing of the courses or classes offered by an 
        institution of higher education for an academic period, 
        as defined by the institution.
          (4) Custom textbook.--The term ``custom textbook''--
                  (A) means a college textbook that is compiled 
                at the direction of a faculty member or other 
                person or adopting entity in charge of 
                selecting course materials at an institution of 
                higher education; and
                  (B) may include, alone or in combination, 
                items such as selections from original 
                instructor materials, previously copyrighted 
                publisher materials, copyrighted third-party 
                works, and elements unique to a specific 
                institution, such as commemorative editions.
          (5) Institution of higher education.--The term 
        ``institution of higher education'' has the meaning 
        given the term in section 102.
          (6) Integrated textbook.--The term ``integrated 
        textbook'' means a college textbook that is combined 
        with materials developed by a third party and that, by 
        third-party contractual agreement, may not be offered 
        by publishers separately from the college textbook with 
        which the materials are combined.
          (7) Publisher.--The term ``publisher'' means a 
        publisher of college textbooks or supplemental 
        materials involved in or affecting interstate commerce.
          (8) Substantial content.--The term ``substantial 
        content'' means parts of a college textbook, such as 
        new chapters, additional eras of time, new themes, or 
        new subject matter.
          (9) Supplemental material.--The term ``supplemental 
        material'' means educational material developed to 
        accompany a college textbook, which--
                  (A) may include printed materials, computer 
                disks, website access, and electronically 
                distributed materials; and
                  (B) is not bound by third-party contractual 
                agreements to be sold in an integrated 
                textbook.
  (c) Publisher Requirements.--
          (1) College textbook pricing information.--When a 
        publisher provides a faculty member or other person or 
        adopting entity in charge of selecting course materials 
        at an institution of higher education with information 
        regarding a college textbook or supplemental material, 
        the publisher shall include, with any such information 
        and in writing, the following:
                  (A) The price at which the publisher would 
                make the college textbook or supplemental 
                material available to the bookstore on the 
                campus of, or otherwise associated with, such 
                institution of higher education.
                  (B) The copyright dates of all previous 
                editions of such college textbook, if any.
                  (C) The substantial content revisions made 
                between the current edition of the college 
                textbook or supplemental material and the 
                previous edition, if any.
                  (D) Whether the college textbook or 
                supplemental material is available in any other 
                format, including paperback and unbound, and 
                the price at which the publisher would make the 
                college textbook or supplemental material in 
                the other format available to the bookstore on 
                the campus of, or otherwise associated with, 
                such institution of higher education.
          (2) Unbundling of college textbooks from supplemental 
        materials.--A publisher that sells a college textbook 
        and any supplemental material accompanying such college 
        textbook as a single bundle shall also make available 
        the college textbook and each supplemental material as 
        separate and unbundled items, each separately priced.
          (3) Custom textbooks.--To the maximum extent 
        practicable, publishers shall provide the information 
        required under this subsection with respect to the 
        development and provision of custom textbooks.
  (d) Provision of ISBN College Textbook Information in Course 
Schedules.--
          (1) Internet course schedules.--Each institution of 
        higher education, to the maximum extent practicable, 
        shall--
                  (A) disclose the International Standard Book 
                Number and retail price information of required 
                and recommended textbooks, related materials, 
                and supplies for each course listed in the 
                institution's course schedule used for pre-
                registration and registration purposes;
                  (B) if the International Standard Book Number 
                is not available for the items listed in 
                subparagraph (A), use the author, title, 
                publisher, and copyright date; and
                  (C) if the institution determines that the 
                disclosure of the information described in the 
                preceding subparagraphs for a course is not 
                practicable for a textbook, related material, 
                or supply, then it should so indicate by 
                placing the designation ``To Be Determined'' in 
                lieu of the information required under such 
                subparagraphs.
          (2) Written course schedules.--In the case of an 
        institution of higher education that does not publish 
        the institution's course schedule for the subsequent 
        academic period on the Internet, the institution of 
        higher education shall include the information required 
        under paragraph (1) in any printed version of the 
        institution's course schedule as it is available at the 
        time of the course schedule's printing.
  (e) Availability of Information for College Bookstores.--An 
institution of higher education shall make available, as soon 
as is practicable, upon the request of any college bookstore, 
the most accurate information available regarding--
          (1) the institution's course schedule for the 
        subsequent academic period; and
          (2) for each course or class offered by the 
        institution for the subsequent academic period--
                  (A) the information required by subsection 
                (d)(1) for each college textbook or 
                supplemental material required or recommended 
                for such course or class;
                  (B) the number of students enrolled in such 
                course or class; and
                  (C) the maximum student enrollment for such 
                course or class.
  (f) Rule of Construction.--Nothing in this section shall be 
construed to supercede the institutional autonomy or academic 
freedom of instructors involved in the selection of college 
textbooks and classroom materials.
  (g) Effective Date.--This section shall be effective on and 
after July 1, 2008.

SEC. 135. DATABASE OF STUDENT INFORMATION PROHIBITED.

  (a) Prohibition.--Except as described in subsection (b), 
nothing in this Act shall be construed to authorize the 
Secretary to develop, implement, or maintain a Federal database 
of personally identifiable information on individuals receiving 
assistance under this Act, attending institutions receiving 
assistance under this Act, or otherwise involved in any studies 
or other collections of data under this Act, including a 
student unit record system, an education bar code system, or 
any other system that tracks individual students over time.
  (b) Exception.--The provisions of subsection (a) shall not 
apply to a system (or a successor system) that is necessary for 
the operation of programs authorized by title II, IV, or VII, 
or data required to be collected by the Secretary under this 
Act (including section 133(g)), that were in use by the 
Secretary, directly or through a contractor, as of the day 
before the date of enactment of the College Opportunity and 
Affordability Act of 2007.
  (c) State Databases.--Nothing in this Act shall prohibit a 
State or a consortium of States from developing, implementing, 
or maintaining State-developed databases that track individuals 
over time, including student unit record systems that contain 
information related to enrollment, attendance, graduation and 
retention rates, student financial assistance, and graduate 
employment outcomes.

  PART D--ADMINISTRATIVE PROVISIONS FOR DELIVERY OF STUDENT FINANCIAL 
                               ASSISTANCE

SEC. 141. PERFORMANCE-BASED ORGANIZATION FOR THE DELIVERY OF FEDERAL 
                    STUDENT FINANCIAL ASSISTANCE.

  (a) * * *

           *       *       *       *       *       *       *

  (d) Chief Operating Officer.--
          (1) * * *

           *       *       *       *       *       *       *

          (4) Performance agreement.--
                  (A) * * *
                  (B) Transmittal.--The final agreement, and 
                any revision to the final agreement, shall be 
                transmitted to the [Committee on Education and 
                the Workforce of the House of Representatives 
                and the Committee on Labor and Human Resources 
                of the Senate] authorizing committees, and made 
                publicly available.

           *       *       *       *       *       *       *


  PART E--LENDER AND INSTITUTION REQUIREMENTS RELATING TO EDUCATIONAL 
                                 LOANS

SEC. 151. DEFINITIONS.

  In this part:
          (1) Covered institution.--The term ``covered 
        institution''--
                  (A) means any educational institution that--
                          (i) offers a postsecondary 
                        educational degree, certificate, or 
                        program of study (including any 
                        institution of higher education, as 
                        such term is defined in section 102); 
                        and
                          (ii) receives any Federal funding or 
                        assistance; and
                  (B) includes an authorized agent of the 
                educational institution (including an alumni 
                association, booster club, or other 
                organization directly or indirectly authorized 
                by such institution) or an employee of such 
                institution.
          (2) Educational loan.--The term ``educational loan'' 
        (except when used as part of the term ``private 
        educational loan'') means--
                  (A) any loan made, insured, or guaranteed 
                under title IV; or
                  (B) a private educational loan (as defined in 
                paragraph (6)).
          (3) Preferred lender arrangement.--The term 
        ``preferred lender arrangement''--
                  (A) means an arrangement or agreement between 
                a lender and a covered institution--
                          (i) under which arrangement or 
                        agreement a lender provides or 
                        otherwise issues educational loans to 
                        the students attending the covered 
                        institution or the parents of such 
                        students; and
                          (ii) which arrangement or agreement 
                        relates to the covered institution 
                        recommending, promoting, or endorsing 
                        the educational loan product of the 
                        lender; and
                  (B) does not include--
                          (i) arrangements or agreements with 
                        respect to loans under parts D or E of 
                        title IV; or
                          (ii) arrangements or agreements with 
                        respect to loans under section 499(b).
          (4) Lender.--
                  (A) In general.--The term ``lender''--
                          (i) means a creditor, except that 
                        such term shall not include an issuer 
                        of credit secured by a dwelling or 
                        under an open end credit plan; and
                          (ii) includes an agent of a lender.
                  (B) Incorporation of tila definitions.--The 
                terms ``creditor'', ``dwelling'', and ``open 
                end credit plan'' have the meanings given such 
                terms in section 103 of the Truth in Lending 
                Act (15 U.S.C. 1602).
          (5) Officer.--The term ``officer'' includes a 
        director or trustee of a covered institution, if such 
        individual is treated as an employee of the covered 
        institution.
          (6) Private educational loan.--The term ``private 
        educational loan'' means a private loan provided by a 
        lender that--
                  (A) is not made, insured, or guaranteed under 
                title IV; and
                  (B) is issued by a lender expressly for 
                postsecondary educational expenses to a 
                student, or the parent of the student, 
                regardless of whether the loan involves 
                enrollment certification by the educational 
                institution that the student attends.
          (7) Postsecondary educational expenses.--The term 
        ``postsecondary educational expenses'' means any of the 
        expenses that are included as part of a student's cost 
        of attendance, as defined under section 472.

SEC. 152. REQUIREMENTS FOR LENDERS AND INSTITUTIONS PARTICIPATING IN 
                    PREFERRED LENDER ARRANGEMENTS.

  (a) Certification by Lenders.--In addition to any other 
disclosure required under Federal law, each lender under part B 
of title IV that participates in one or more preferred lender 
arrangements shall annually certify its compliance with the 
requirements of this Act. Such compliance of such preferred 
lender arrangement shall be reported on and attested to 
annually by the auditor of such lender in the audit conducted 
pursuant to section 428(b)(1)(U)(iii).
  (b) Use of Institution Name.--
          (1) In general.--A covered institution that has 
        entered into a preferred lender arrangement with a 
        lender regarding private educational loans shall not 
        agree to the lender's use of the name, emblem, mascot, 
        or logo of the institution, or other words, pictures, 
        or symbols readily identified with the institution, in 
        the marketing of private educational loans to the 
        students attending the institution in any way that 
        implies that the institution endorses the private 
        educational loans offered by the lender.
          (2) Applicability.--Paragraph (1) shall apply to any 
        preferred lender arrangement, or extension of such 
        arrangement, entered into or renewed after the date of 
        enactment of the College Opportunity and Affordability 
        Act of 2007.

SEC. 153. INTEREST RATE REPORT FOR INSTITUTIONS AND LENDERS 
                    PARTICIPATING IN PREFERRED LENDER ARRANGEMENTS.

  (a) Duties of the Secretary.--
          (1) Report and model format.--Not later than 180 days 
        after the date of enactment of the College Opportunity 
        and Affordability Act of 2007, the Secretary shall--
                  (A) prepare a report on the adequacy of the 
                information provided to students and the 
                parents of such students about educational 
                loans, after consulting with students, 
                representatives of covered institutions 
                (including financial aid administrators, 
                registrars, and business officers), lenders, 
                loan servicers, and guaranty agencies;
                  (B) develop and prescribe by regulation a 
                model disclosure form to be used by lenders and 
                covered institutions in carrying out 
                subsections (b) and (c) that--
                          (i) will be easy for students and 
                        parents to read and understand;
                          (ii) will be easily usable by 
                        lenders, institutions, guaranty 
                        agencies, and loan servicers;
                          (iii) will provide students and 
                        parents with the relevant, meaningful, 
                        and standard information about the 
                        terms and conditions for both Federal 
                        and private educational loans;
                          (iv) is based on the report's 
                        findings and developed in consultation 
                        with--
                                  (I) students;
                                  (II) representatives of 
                                covered institutions, including 
                                financial aid administrators, 
                                registrars, business officers, 
                                and student affairs officials;
                                  (III) lenders;
                                  (IV) loan servicers;
                                  (V) guaranty agencies; and
                                  (VI) with respect to the 
                                requirements of clause (vi) 
                                concerning private educational 
                                loans, the Board of Governors 
                                of the Federal Reserve System;
                          (v) provides information on the 
                        applicable interest rates and other 
                        terms and conditions of the educational 
                        loans provided by a lender to students 
                        attending the institution, or the 
                        parents of such students, disaggregated 
                        by each type of educational loan 
                        (including opportunity pools as defined 
                        in section 155(f)) provided to such 
                        students or parents by the lender, 
                        including--
                                  (I) the rate of interest, or 
                                the potential range of rates of 
                                interest, applicable to the 
                                loan, and whether such rates 
                                are fixed or variable;
                                  (II) limitations, if any, on 
                                interest rate adjustments, both 
                                in terms of frequency and 
                                amount, or lack thereof;
                                  (III) co-borrower 
                                requirements, including changes 
                                in interest rates;
                                  (IV) any fees associated with 
                                the loan;
                                  (V) the repayment terms 
                                available on the loan;
                                  (VI) the opportunity for 
                                deferment or forbearance in 
                                repayment of the loan, 
                                including whether the loan 
                                payments can be deferred if the 
                                student is in school;
                                  (VII) any additional terms 
                                and conditions applied to the 
                                loan, including any benefits 
                                that are contingent on the 
                                repayment behavior of the 
                                borrower;
                                  (VIII) the annual percentage 
                                rate for such loans, determined 
                                in the manner required under 
                                section 107 of the Truth in 
                                Lending Act (15 U.S.C. 1606);
                                  (IX) an example of the total 
                                cost of the educational loan 
                                over the life of the loan which 
                                shall be calculated--
                                          (aa) using a 
                                        principal amount and 
                                        the maximum rate of 
                                        interest actually 
                                        offered by the lender; 
                                        and
                                          (bb) both with and 
                                        without capitalization 
                                        of interest, if that is 
                                        an option for 
                                        postponing interest 
                                        payments;
                                  (X) the consequences for the 
                                borrower of defaulting on a 
                                loan, including any limitations 
                                on the discharge of an 
                                educational loan in bankruptcy;
                                  (XI) contact information for 
                                the lender; and
                                  (XII) any philanthropic 
                                contributions made by the 
                                lender to the covered 
                                institution, including the 
                                purpose of the contribution and 
                                any conditions related to its 
                                use; and
                          (vi) provides, in addition, with 
                        respect to private educational loans, 
                        the following information with respect 
                        to loans made by each lender 
                        recommended by the covered institution:
                                  (I) the method of determining 
                                the interest rate of the loan;
                                  (II) potential finance 
                                charges, late fees, penalties, 
                                and adjustments to principal, 
                                based on defaults or late 
                                payments of the borrower; and
                                  (III) such other information 
                                as the Secretary may require; 
                                and
                  (C)(i) submit the report and model disclosure 
                form to the authorizing committees; and
                  (ii) make the report and model disclosure 
                form available to covered institutions, 
                lenders, and the public.
          (2) Model form update.--Not later than 1 year after 
        the submission of the report and model disclosure form 
        described in paragraph (1)(B), the Secretary shall--
                  (A) assess the adequacy of the model 
                disclosure form;
                  (B) after consulting with students, 
                representatives of covered institutions 
                (including financial aid administrators, 
                registrars, business officers, and student 
                affairs officials), lenders, loan servicers, 
                guaranty agencies, and the Board of Governors 
                of the Federal Reserve System--
                          (i) prepare a list of any 
                        improvements to the model disclosure 
                        form that have been identified as 
                        beneficial to borrowers; and
                          (ii) update the model disclosure form 
                        after taking such improvements into 
                        consideration; and
                  (C)(i) submit the list of improvements and 
                updated model disclosure form to the 
                authorizing committees; and
                  (ii) make the updated model disclosure form 
                available to covered institutions, lenders, and 
                the public.
          (3) Use of form.--The Secretary shall take such steps 
        as necessary to make the model disclosure form, and the 
        updated model disclosure form, available to covered 
        institutions and to encourage--
                  (A) lenders subject to subsection (b) to use 
                the model disclosure form or updated model 
                disclosure form (if available) in providing the 
                information required under subsection (b); and
                  (B) covered institutions to use such format 
                in preparing the information reported under 
                subsection (c).
          (4) Procedures.--Sections 482(c) and 492 of this Act 
        shall not apply to the model disclosure form prescribed 
        under paragraph (1)(B), but shall apply to the updating 
        of such form under paragraph (2).
  (b) Lender Duties.--Each lender that has a preferred lender 
arrangement with a covered institution shall, by August 1 of 
each year, provide to the covered institution and to the 
Secretary the information included on the model disclosure form 
or an updated model disclosure form (if available) for each 
type of educational loan (including opportunity pools as 
defined in section 155(f)) to be offered by the lender to 
students attending the covered institution, or the parents of 
such students, for the forthcoming academic year.
  (c) Covered Institution Reports.--Each covered institution 
shall--
          (1) prepare and submit to the Secretary an annual 
        report, by a date determined by the Secretary, that 
        includes, for each lender that has a preferred lender 
        arrangement with the covered institution and that has 
        submitted to the institution the information required 
        under subsection (b)--
                  (A) the information included on the model 
                disclosure form or updated model disclosure 
                form (if available) for each type of 
                educational loan provided by the lender to 
                students attending the covered institution, or 
                the parents of such students; and
                  (B) a detailed explanation of why the covered 
                institution believes the terms and conditions 
                of each type of educational loan provided 
                pursuant to the agreement are beneficial for 
                students attending the covered institution, or 
                the parents of such students; and
          (2) ensure that the report required under paragraph 
        (1) is made available to the public and provided to 
        students attending or planning to attend the covered 
        institution, and the parents of such students, in time 
        for the student or parent to take such information into 
        account before applying for or selecting an educational 
        loan.
  (d) Disclosures by Covered Institutions.--A covered 
institution shall disclose, on its website and in the 
informational materials described in subsection (e)--
          (1) a statement that--
                  (A) indicates that students are not limited 
                to or required to use the lenders the 
                institution recommends; and
                  (B) the institution is required to process 
                the documents required to obtain a Federal 
                educational loan from any eligible lender the 
                student selects;
          (2) at a minimum, all of the information provided by 
        the model disclosure form prescribed under subsection 
        (a)(1)(B), or updated model disclosure form (if 
        available), with respect to any lender recommended by 
        the institution for Federal educational loans and, as 
        applicable, private educational loans (including 
        opportunity pools as defined in section 155(f));
          (3) the maximum amount of Federal grant and loan aid 
        available to students in an easy-to-understand format; 
        and
          (4) the institution's cost of attendance (as 
        determined under section 472).
  (e) Informational Materials.--The informational materials 
described in this subsection are publications, mailings, or 
electronic messages or media distributed to prospective or 
current students and parents of students that describe or 
discuss the financial aid opportunities available to students 
at an institution of higher education.

SEC. 154. PRIVATE EDUCATIONAL LOAN DISCLOSURE REQUIREMENTS FOR COVERED 
                    INSTITUTIONS.

  A covered institution that provides information to any 
student, or the parent of such student, regarding a private 
educational loan from a lender shall, prior to or concurrent 
with such information--
          (1) inform the student or parent of--
                  (A) the student or parent's eligibility for 
                assistance and loans under title IV; and
                  (B) the terms and conditions of such private 
                educational loan that may be less favorable 
                than the terms and conditions of educational 
                loans for which the student or parent is 
                eligible, including interest rates, repayment 
                options, and loan forgiveness; and
          (2) ensure that information regarding such private 
        educational loan is presented in such a manner as to be 
        distinct from information regarding loans that are 
        made, insured, or guaranteed under title IV.

SEC. 155. INTEGRITY PROVISIONS.

  (a) Institution Code of Conduct Required.--
          (1) Code of conduct.--Each institution of higher 
        education that participates in the Federal student loan 
        programs under title IV or has students that obtain 
        private educational loans shall--
                  (A) develop a code of conduct in accordance 
                with paragraph (2) with which its officers, 
                employees, and agents shall comply with respect 
                to educational loans;
                  (B) publish the code of conduct prominently 
                on its website; and
                  (C) administer and enforce such code in 
                accordance with the requirements of this 
                subsection.
          (2) Contents of code.--The code required by this 
        section shall--
                  (A) prohibit a conflict of interest with the 
                responsibilities of such officer, employee, or 
                agent with respect to educational loans; and
                  (B) at a minimum, include provisions in 
                compliance with the provisions of the following 
                subsections of this section.
          (3) Training and compliance.--An institution of 
        higher education shall administer and enforce a code of 
        conduct required by this section by, at a minimum, 
        requiring all of its officers, employees, and agents 
        with responsibilities with respect to educational loans 
        to obtain training annually in compliance with the 
        code.
  (b) Gift Ban.--
          (1) Prohibition.--No officer, employee, or agent of a 
        covered institution who is employed in the financial 
        aid office of the institution, or who otherwise has 
        responsibilities with respect to educational loans, 
        shall solicit or accept any gift from a lender, 
        guarantor, or servicer of educational loans.
          (2) Inspector general report.--The Inspector General 
        of the Department of Education shall investigate any 
        reported violation of this subsection and shall 
        annually submit a report to the authorizing committees 
        identifying all substantiated violations of the gift 
        ban under paragraph (1), including the lenders and 
        covered institutions involved in each such violation, 
        for the preceding year.
          (3) Definition of gift.--
                  (A) In general.--In this subsection, the term 
                ``gift'' means any gratuity, favor, discount, 
                entertainment, hospitality, loan, or other item 
                having a monetary value of more than a de 
                minimus amount. The term includes a gift of 
                services, transportation, lodging, or meals, 
                whether provided in kind, by purchase of a 
                ticket, payment in advance, or reimbursement 
                after the expense has been incurred.
                  (B) Exceptions.--The term ``gift'' shall not 
                include any of the following:
                          (i) Standard informational material 
                        related to a loan or financial 
                        literacy, such as a brochure.
                          (ii) Food, refreshments, training, or 
                        informational material furnished to an 
                        officer, employee, or agent of an 
                        institution as an integral part of a 
                        training session that is designed to 
                        improve the service of a lender, 
                        guarantor, or servicer of educational 
                        loans to the covered institution, if 
                        such training contributes to the 
                        professional development of the 
                        officer, employee, or agent of the 
                        institution.
                          (iii) Favorable terms, conditions, 
                        and borrower benefits on an educational 
                        loan provided to a student employed by 
                        the covered institution if such terms, 
                        conditions, or benefits are comparable 
                        to those provided to all students of 
                        the institution.
                          (iv) Exit counseling services 
                        provided to borrowers to meet a covered 
                        institution's responsibilities for exit 
                        counseling as required by section 
                        485(b) provided that--
                                  (I) a covered institution's 
                                staff are in control of the 
                                counseling (whether in person 
                                or via electronic 
                                capabilities); and
                                  (II) such counseling does not 
                                promote the products or 
                                services of any lender.
                          (v) Philanthropic contributions to a 
                        covered institution from a lender, 
                        guarantor, or servicer of educational 
                        loans that are unrelated to educational 
                        loans, provided, as applicable, that 
                        such contributions are disclosed 
                        pursuant to section 153(a)(1) and 
                        section 153(a)(2).
                  (C) Rule for gifts to family members.--For 
                purposes of this section, a gift to a family 
                member of an officer, employee, or agent of a 
                covered institution, or a gift to any other 
                individual based on that individual's 
                relationship with the officer, employee, or 
                agent, shall be considered a gift to the 
                officer, employee, or agent if--
                          (i) the gift is given with the 
                        knowledge and acquiescence of the 
                        officer, employee, or agent; and
                          (ii) the officer, employee, or agent 
                        has reason to believe the gift was 
                        given because of the official position 
                        of the officer, employee, or agent.
  (c) Contracting Arrangements Prohibited.--
          (1) Prohibition.--An officer, employee, or agent who 
        is employed in the financial aid office of a covered 
        institution, or who otherwise has responsibilities with 
        respect to educational loans, shall not accept from any 
        lender or affiliate of any lender (as the term 
        affiliate is defined in section 487(a)) any fee, 
        payment, or other financial benefit (including the 
        opportunity to purchase stock) as compensation for any 
        type of consulting arrangement or other contract to 
        provide services to a lender or on behalf of a lender.
          (2) Exceptions.--Nothing in this subsection shall be 
        construed as prohibiting--
                  (A) an officer, employee, or agent of a 
                covered institution who is not employed in the 
                institution's financial aid office, or who does 
                not otherwise have responsibilities with 
                respect to educational loans, from paid or 
                unpaid service on a board of directors of a 
                lender, guarantor, or servicer of educational 
                loans;
                  (B) an officer, employee, or agent of a 
                covered institution who is not employed in the 
                financial aid office but who has responsibility 
                with respect to educational loans as a result 
                of a position held at the covered institution, 
                from paid or unpaid service on a board of 
                directors of a lender, guarantor, or servicer 
                of educational loans, provided that the covered 
                institution has a written conflict of interest 
                policy that clearly sets forth that such an 
                officer, employee, or agent must be recused 
                from participating in any decision of the board 
                with respect to any transaction regarding 
                educational loans; or
                  (C) an officer, employee, or agent of a 
                lender, guarantor, or servicer of educational 
                loans from serving on a board of directors or 
                serving as a trustee of a covered institution, 
                provided that the covered institution has a 
                written conflict of interest policy that 
                clearly sets forth the procedures to be 
                followed in instances where such a board 
                member's or trustee's personal or business 
                interests with respect to educational loans may 
                be advanced by an action of the board of 
                directors or trustees, including a provision 
                that such a board member or trustee may not 
                participate in any decision to approve any 
                transaction where such conflicting interests 
                may be advanced.
  (d) Ban on Revenue Sharing Arrangements.--
          (1) Prohibition.--A covered institution shall not 
        enter into any revenue sharing arrangement with any 
        lender.
          (2) Definition.--For purposes of this subsection, a 
        revenue sharing arrangement is an arrangement between a 
        covered institution and a lender under which--
                  (A) a lender provides or issues educational 
                loans to students attending the institution or 
                to parents of such students; and
                  (B)(i) the institution recommends the lender 
                or the loan products of the lender; and
                  (ii) in exchange, the lender pays a fee or 
                provides other material benefits, including 
                revenue or profit sharing, to the institution 
                or officers, employees, or agents of the 
                institution.
  (e) Ban on Staffing Assistance.--
          (1) Prohibition.--A covered institution shall not 
        request or accept from any lender any assistance with 
        call center staffing or financial aid office staffing.
          (2) Certain assistance permitted.--Nothing in 
        paragraph (1) shall be construed to prohibit a covered 
        institution from requesting or accepting assistance 
        from a lender related to--
                  (A) professional development training for 
                financial aid administrators;
                  (B) providing educational counseling 
                materials, financial literacy materials, or 
                debt management materials to borrowers, 
                provided that such materials disclose to 
                borrowers the identification of any lender that 
                assisted in preparing or providing such 
                materials; or
                  (C) staffing services on a short-term, non-
                recurring basis to assist the institution with 
                financial aid-related functions during 
                emergencies, including State-declared or 
                federally declared natural disasters, federally 
                declared national disasters, and other 
                localized disasters and emergencies identified 
                by the Secretary.
  (f) Prohibition on Offers of Funds for Private Loans.--
          (1) Prohibition.--A covered institution shall not 
        request or accept from any lender any offer of funds, 
        including any opportunity pool, to be used for private 
        educational loans to students in exchange for the 
        covered institution providing concessions or promises 
        to the lender with respect to such institution 
        providing the lender with a specified number of loans, 
        a specified loan volume, or a preferred lender 
        arrangement for any loan made, insured, or guaranteed 
        under title IV, and a lender shall not make any such 
        offer.
          (2) Definition.--In this subsection, the term 
        ``opportunity pool'' means an educational loan made by 
        a private lender to a student attending the covered 
        institution or the parent of such a student that is in 
        any manner guaranteed by a covered institution, or that 
        involves a payment, directly or indirectly, by such an 
        institution of points, premiums, payments, additional 
        interest, or other financial support to such lender for 
        the purpose of such lender extending credit to either 
        the students or the parents of students of the 
        institution.
  (g) Ban on Participation on Advisory Councils.--An officer, 
employee, or agent who is employed in the financial aid office 
of a covered institution, or who otherwise has responsibilities 
with respect to educational loans, shall not serve on or 
otherwise participate with advisory councils of lenders or 
affiliates of lenders. Nothing in this subsection shall 
prohibit lenders from seeking advice from covered institutions 
or groups of covered institutions (including through telephonic 
or electronic means, or a meeting) in order to improve products 
and services for borrowers, provided there are no gifts or 
compensation (including for transportation, lodging, or related 
expenses) provided by lenders in connection with seeking this 
advice from such institutions. Nothing in this subsection shall 
prohibit an officer, employee, or agent of a covered 
institution from serving on the board of directors of a lender 
if required by State law.

SEC. 156. COMPLIANCE AND ENFORCEMENT.

  (a) Condition of Any Federal Assistance.--Notwithstanding any 
other provision of law, a covered institution or lender shall 
comply with this part as a condition of receiving Federal funds 
or assistance provided after the date of enactment of the 
College Opportunity and Affordability Act of 2007.
  (b) Penalties.--Notwithstanding any other provision of law, 
if the Secretary determines, after providing notice and an 
opportunity for a hearing for a covered institution or lender, 
that the covered institution or lender has violated subsection 
(a)--
          (1) in the case of a covered institution, or a lender 
        that does not participate in a loan program under title 
        IV, the Secretary may impose a civil penalty in an 
        amount of not more than $25,000; and
          (2) in the case of a lender that does participate in 
        a program under title IV, the Secretary may limit, 
        terminate, or suspend the lender's participation in 
        such program.
  (c) Considerations.--In taking any action against a covered 
institution or lender under subsection (b), the Secretary shall 
take into consideration the nature and severity of the 
violation of subsection (a).

SEC. 157. STUDENT LOAN COUNSELING.

  (a) Borrower Contact.--
          (1) FFEL Loans.--Each holder of a loan under part B 
        of title IV shall contact the borrower each year after 
        five years has passed from the date that a borrower 
        first selected either a graduated, extended, income 
        sensitive, or income contingent repayment plan to 
        ascertain if the borrower is able to select a repayment 
        plan with a shorter repayment period that would reduce 
        the total interest paid on the borrower's loan or loans 
        under this part.
          (2) Direct loans.--The Secretary shall contact the 
        borrower of each loan under part D or E of title IV 
        each year after five years has passed from the date 
        that a borrower first selected either an extended, 
        graduated, income contingent, or alternative repayment 
        plan to ascertain if the borrower is able to select a 
        repayment plan for a shorter repayment period that 
        would reduce the total interest paid on the borrower's 
        loan under this part.
  (b) Required Disclosure Before Disbursement.--
          (1) Disclosures before repayment.--Each lender of a 
        loan under part B of title IV, and the Secretary with 
        respect to each loan under part D or E of such title, 
        shall provide to the borrower before repayment begins 
        an explanation of principal to be borrowed, current 
        balance, interest already paid, and interest due over 
        the life of the loan, options by which borrowers may 
        avoid or be removed from default, relevant fees 
        associated with these options, and repayment options 
        available to the borrower entering repayment, including 
        income contingent repayment and income-based repayment.
          (2) Disclosures during repayment.--Each lender of a 
        loan under part B of title IV, and the Secretary with 
        respect to each loan under part D or E of such title, 
        shall provide to the borrower during repayment an 
        explanation of principal borrowed, current balance, 
        interest already paid and interest due over the life of 
        the loan, options by which borrowers may avoid or be 
        removed from default, relevant fees associated with 
        these options, and repayment options available to the 
        borrower entering repayment, including income 
        contingent repayment and income-based repayment. Each 
        such lender and the Secretary shall also notify any 
        borrower who tells the lender or the Secretary that the 
        borrower is having difficulty making payments of the 
        repayment options available, including forbearance. 
        Each such lender and the Secretary shall make an 
        explanation of repayment options available to the 
        borrower, including income contingent repayment and 
        forbearance, before the loan is disbursed, before 
        repayment, and during repayment if the borrower 
        notifies the lender or the Secretary that the borrower 
        is having difficulty making payments.
  (c) Institutional Counseling.--
          (1) In general.--Each institution of higher education 
        shall, through financial aid officers or otherwise, 
        make available counseling to borrowers of loans which 
        are made, insured, or guaranteed under part B (other 
        than loans made pursuant to section 428B) of this title 
        or made under part D or E of this title prior to their 
        signing the first promissory note. The counseling shall 
        include--
                  (A) average indebtedness of borrowers at that 
                school, to be supplied by the Secretary;
                  (B) sample monthly repayment amounts based on 
                a range of student levels of indebtedness and 
                on the average indebtedness of Stafford loan 
                borrowers at the same school or in the same 
                program of study at the same school;
                  (C) data to be supplied by the Secretary on 
                starting salaries for graduates of institutions 
                by type and control of institution, and field 
                of study;
                  (D) repayment options available to the 
                borrower when entering repayment, including 
                income contingent repayment and income-based 
                repayment;
                  (E) detail to be supplied by the Secretary on 
                how interest accrues and is capitalized during 
                periods when it is not being paid by either the 
                borrower or the Secretary; and
                  (F) the likely consequences of default, 
                including adverse credit reports, Federal 
                offset, and litigation.
          (2) Use of electronic means.--If initial counseling 
        is conducted through interactive electronic means, the 
        institution of higher education shall take reasonable 
        steps to ensure that each student borrower receives the 
        counseling materials, and participates in and completes 
        the initial counseling.
  (d) Department of Education Information Disclosure and 
Technical Assistance.--
          (1) Obligation.--The Secretary shall display on the 
        Department of Education website and provide to colleges 
        and universities the following information to be used 
        for counseling and consumer information for prospective 
        borrowers:
                  (A) Regional data on starting salaries in all 
                major fields.
                  (B) The increase in debt that results from 
                forbearance on all loans and from 
                capitalization of interest on unsubsidized 
                loans.
                  (C) The various repayment options available 
                in the Federal student loan programs, including 
                the availability of the income contingent 
                repayment (ICR) program and the income-based 
                repayment programs (IBR).
                  (D) The Federal Government's powers to 
                collect student loans, even when student 
                borrowers are in bankruptcy.
          (2) Publicity.--The Secretary shall make the location 
        of the information under paragraph (1) widely known 
        among the public, institutions, and lenders, and 
        promote the use of such information by prospective 
        students, enrolled students, and borrowers after 
        entering repayment.

                 [TITLE II--TEACHER QUALITY ENHANCEMENT

[PART A--TEACHER QUALITY ENHANCEMENT GRANTS FOR STATES AND PARTNERSHIPS

[SEC. 201. PURPOSES; DEFINITIONS.

  [(a) Purposes.--The purposes of this part are to--
          [(1) improve student achievement;
          [(2) improve the quality of the current and future 
        teaching force by improving the preparation of 
        prospective teachers and enhancing professional 
        development activities;
          [(3) hold institutions of higher education 
        accountable for preparing teachers who have the 
        necessary teaching skills and are highly competent in 
        the academic content areas in which the teachers plan 
        to teach, such as mathematics, science, English, 
        foreign languages, history, economics, art, civics, 
        Government, and geography, including training in the 
        effective uses of technology in the classroom; and
          [(4) recruit highly qualified individuals, including 
        individuals from other occupations, into the teaching 
        force.
  [(b) Definitions.--In this part:
          [(1) Arts and sciences.--The term ``arts and 
        sciences'' means--
                  [(A) when referring to an organizational unit 
                of an institution of higher education, any 
                academic unit that offers 1 or more academic 
                majors in disciplines or content areas 
                corresponding to the academic subject matter 
                areas in which teachers provide instruction; 
                and
                  [(B) when referring to a specific academic 
                subject matter area, the disciplines or content 
                areas in which academic majors are offered by 
                the arts and science organizational unit.
          [(2) High need local educational agency.--The term 
        ``high need local educational agency'' means a local 
        educational agency that serves an elementary school or 
        secondary school located in an area in which there is--
                  [(A) a high percentage of individuals from 
                families with incomes below the poverty line;
                  [(B) a high percentage of secondary school 
                teachers not teaching in the content area in 
                which the teachers were trained to teach; or
                  [(C) a high teacher turnover rate.
          [(3) Poverty line.--The term ``poverty line'' means 
        the poverty line (as defined by the Office of 
        Management and Budget, and revised annually in 
        accordance with section 673(2) of the Community 
        Services Block Grant Act (42 U.S.C. 9902(2))) 
        applicable to a family of the size involved.

[SEC. 202. STATE GRANTS.

  [(a) In General.--From amounts made available under section 
210(1) for a fiscal year, the Secretary is authorized to award 
grants under this section, on a competitive basis, to eligible 
States to enable the eligible States to carry out the 
activities described in subsection (d).
  [(b) Eligible State.--
          [(1) Definition.--In this part, the term ``eligible 
        State'' means--
                  [(A) the Governor of a State; or
                  [(B) in the case of a State for which the 
                constitution or law of such State designates 
                another individual, entity, or agency in the 
                State to be responsible for teacher 
                certification and preparation activity, such 
                individual, entity, or agency.
          [(2) Consultation.--The Governor and the individual, 
        entity, or agency designated under paragraph (1) shall 
        consult with the Governor, State board of education, 
        State educational agency, or State agency for higher 
        education, as appropriate, with respect to the 
        activities assisted under this section.
          [(3) Construction.--Nothing in this subsection shall 
        be construed to negate or supersede the legal authority 
        under State law of any State agency, State entity, or 
        State public official over programs that are under the 
        jurisdiction of the agency, entity, or official.
  [(c) Application.--To be eligible to receive a grant under 
this section, an eligible State shall, at the time of the 
initial grant application, submit an application to the 
Secretary that--
          [(1) meets the requirement of this section;
          [(2) includes a description of how the eligible State 
        intends to use funds provided under this section; and
          [(3) contains such other information and assurances 
        as the Secretary may require.
  [(d) Uses of Funds.--An eligible State that receives a grant 
under this section shall use the grant funds to reform teacher 
preparation requirements, and to ensure that current and future 
teachers possess the necessary teaching skills and academic 
content knowledge in the subject areas in which the teachers 
are assigned to teach, by carrying out 1 or more of the 
following activities:
          [(1) Reforms.--Implementing reforms that hold 
        institutions of higher education with teacher 
        preparation programs accountable for preparing teachers 
        who are highly competent in the academic content areas 
        in which the teachers plan to teach, and possess strong 
        teaching skills, which may include the use of rigorous 
        subject matter competency tests and the requirement 
        that a teacher have an academic major in the subject 
        area, or related discipline, in which the teacher plans 
        to teach.
          [(2) Certification or licensure requirements.--
        Reforming teacher certification or licensure 
        requirements to ensure that teachers have the necessary 
        teaching skills and academic content knowledge in the 
        subject areas in which teachers are assigned to teach.
          [(3) Alternatives to traditional preparation for 
        teaching.--Providing prospective teachers with 
        alternatives to traditional preparation for teaching 
        through programs at colleges of arts and sciences or at 
        nonprofit educational organizations.
          [(4) Alternative routes to state certification.--
        Carrying out programs that--
                  [(A) include support during the initial 
                teaching experience; and
                  [(B) establish, expand, or improve 
                alternative routes to State certification of 
                teachers for highly qualified individuals, 
                including mid-career professionals from other 
                occupations, paraprofessionals, former military 
                personnel and recent college graduates with 
                records of academic distinction.
          [(5) Recruitment; pay; removal.--Developing and 
        implementing effective mechanisms to ensure that local 
        educational agencies and schools are able to 
        effectively recruit highly qualified teachers, to 
        financially reward those teachers and principals whose 
        students have made significant progress toward high 
        academic performance, such as through performance-based 
        compensation systems and access to ongoing professional 
        development opportunities for teachers and 
        administrators, and to expeditiously remove incompetent 
        or unqualified teachers consistent with procedures to 
        ensure due process for the teachers.
          [(6) Social promotion.--Development and 
        implementation of efforts to address the problem of 
        social promotion and to prepare teachers to effectively 
        address the issues raised by ending the practice of 
        social promotion.
          [(7) Recruitment.--Activities described in section 
        204(d).

[SEC. 203. PARTNERSHIP GRANTS.

  [(a) Grants.--From amounts made available under section 
210(2) for a fiscal year, the Secretary is authorized to award 
grants under this section, on a competitive basis, to eligible 
partnerships to enable the eligible partnerships to carry out 
the activities described in subsections (d) and (e).
  [(b) Definitions.--
          [(1) Eligible partnerships.--In this part, the term 
        ``eligible partnerships'' means an entity that--
                  [(A) shall include--
                          [(i) a partner institution;
                          [(ii) a school of arts and sciences; 
                        and
                          [(iii) a high need local educational 
                        agency; and
                  [(B) may include a Governor, State 
                educational agency, the State board of 
                education, the State agency for higher 
                education, an institution of higher education 
                not described in subparagraph (A), a public 
                charter school, a public or private elementary 
                school or secondary school, a public or private 
                nonprofit educational organization, a business, 
                a teacher organization, or a prekindergarten 
                program.
          [(2) Partner institution.--In this section, the term 
        ``partner institution'' means a private independent or 
        State-supported public institution of higher education, 
        the teacher training program of which demonstrates 
        that--
                  [(A) graduates from the teacher training 
                program exhibit strong performance on State-
                determined qualifying assessments for new 
                teachers through--
                          [(i) demonstrating that 80 percent or 
                        more of the graduates of the program 
                        who intend to enter the field of 
                        teaching have passed all of the 
                        applicable State qualification 
                        assessments for new teachers, which 
                        shall include an assessment of each 
                        prospective teacher's subject matter 
                        knowledge in the content area or areas 
                        in which the teacher intends to teach; 
                        or
                          [(ii) being ranked among the highest-
                        performing teacher preparation programs 
                        in the State as determined by the 
                        State--
                                  [(I) using criteria 
                                consistent with the 
                                requirements for the State 
                                report card under section 
                                207(b); and
                                  [(II) using the State report 
                                card on teacher preparation 
                                required under section 207(b), 
                                after the first publication of 
                                such report card and for every 
                                year thereafter; or
                  [(B) the teacher training program requires 
                all the students of the program to participate 
                in intensive clinical experience, to meet high 
                academic standards, and--
                          [(i) in the case of secondary school 
                        candidates, to successfully complete an 
                        academic major in the subject area in 
                        which the candidate intends to teach or 
                        to demonstrate competence through a 
                        high level of performance in relevant 
                        content areas; and
                          [(ii) in the case of elementary 
                        school candidates, to successfully 
                        complete an academic major in the arts 
                        and sciences or to demonstrate 
                        competence through a high level of 
                        performance in core academic subject 
                        areas.
  [(c) Application.--Each eligible partnership desiring a grant 
under this section shall submit an application to the Secretary 
at such time, in such manner, and accompanied by such 
information as the Secretary may require. Each such application 
shall--
          [(1) contain a needs assessment of all the partners 
        with respect to teaching and learning and a description 
        of how the partnership will coordinate with other 
        teacher training or professional development programs, 
        and how the activities of the partnership will be 
        consistent with State, local, and other education 
        reform activities that promote student achievement;
          [(2) contain a resource assessment that describes the 
        resources available to the partnership, the intended 
        use of the grant funds, including a description of how 
        the grant funds will be fairly distributed in 
        accordance with subsection (f ), and the commitment of 
        the resources of the partnership to the activities 
        assisted under this part, including financial support, 
        faculty participation, time commitments, and 
        continuation of the activities when the grant ends; and
          [(3) contain a description of--
                  [(A) how the partnership will meet the 
                purposes of this part;
                  [(B) how the partnership will carry out the 
                activities required under subsection (d) and 
                any permissible activities under subsection 
                (e); and
                  [(C) the partnership's evaluation plan 
                pursuant to section 206(b).
  [(d) Required Uses of Funds.--An eligible partnership that 
receives a grant under this section shall use the grant funds 
to carry out the following activities:
          [(1) Reforms.--Implementing reforms within teacher 
        preparation programs to hold the programs accountable 
        for preparing teachers who are highly competent in the 
        academic content areas in which the teachers plan to 
        teach, and for promoting strong teaching skills, 
        including working with a school of arts and sciences 
        and integrating reliable research-based teaching 
        methods into the curriculum, which curriculum shall 
        include programs designed to successfully integrate 
        technology into teaching and learning.
          [(2) Clinical experience and interaction.--Providing 
        sustained and high quality preservice clinical 
        experience including the mentoring of prospective 
        teachers by veteran teachers, and substantially 
        increasing interaction between faculty at institutions 
        of higher education and new and experienced teachers, 
        principals, and other administrators at elementary 
        schools or secondary schools, and providing support, 
        including preparation time, for such interaction.
          [(3) Professional development.--Creating 
        opportunities for enhanced and ongoing professional 
        development that improves the academic content 
        knowledge of teachers in the subject areas in which the 
        teachers are certified to teach or in which the 
        teachers are working toward certification to teach, and 
        that promotes strong teaching skills.
  [(e) Allowable Uses of Funds.--An eligible partnership that 
receives a grant under this section may use such funds to carry 
out the following activities:
          [(1) Teacher preparation and parent involvement.--
        Preparing teachers to work with diverse student 
        populations, including individuals with disabilities 
        and limited English proficient individuals, and 
        involving parents in the teacher preparation program 
        reform process.
          [(2) Dissemination and coordination.--Broadly 
        disseminating information on effective practices used 
        by the partnership, and coordinating with the 
        activities of the Governor, State board of education, 
        State higher education agency, and State educational 
        agency, as appropriate.
          [(3) Managerial and leadership skills.--Developing 
        and implementing proven mechanisms to provide 
        principals and superintendents with effective 
        managerial and leadership skills that result in 
        increased student achievement.
          [(4) Teacher recruitment.--Activities described in 
        section 204(d).
  [(f) Special Rule.--No individual member of an eligible 
partnership shall retain more than 50 percent of the funds made 
available to the partnership under this section.
  [(g) Construction.--Nothing in this section shall be 
construed to prohibit an eligible partnership from using grant 
funds to coordinate with the activities of more than one 
Governor, State board of education, State educational agency, 
local educational agency, or State agency for higher education.

[SEC. 204. TEACHER RECRUITMENT GRANTS.

  [(a) Program Authorized.--From amounts made available under 
section 210(3) for a fiscal year, the Secretary is authorized 
to award grants, on a competitive basis, to eligible applicants 
to enable the eligible applicants to carry out activities 
described in subsection (d).
  [(b) Eligible Applicant Defined.--In this part, the term 
``eligible applicant'' means--
          [(1) an eligible State described in section 202(b); 
        or
          [(2) an eligible partnership described in section 
        203(b).
  [(c) Application.--Any eligible applicant desiring to receive 
a grant under this section shall submit an application to the 
Secretary at such time, in such form, and containing such 
information as the Secretary may require, including--
          [(1) a description of the assessment that the 
        eligible applicant, and the other entities with whom 
        the eligible applicant will carry out the grant 
        activities, have undertaken to determine the most 
        critical needs of the participating high-need local 
        educational agencies;
          [(2) a description of the activities the eligible 
        applicant will carry out with the grant; and
          [(3) a description of the eligible applicant's plan 
        for continuing the activities carried out with the 
        grant, once Federal funding ceases.
  [(d) Uses of Funds.--Each eligible applicant receiving a 
grant under this section shall use the grant funds--
          [(1)(A) to award scholarships to help students pay 
        the costs of tuition, room, board, and other expenses 
        of completing a teacher preparation program;
          [(B) to provide support services, if needed to enable 
        scholarship recipients to complete postsecondary 
        education programs; and
          [(C) for followup services provided to former 
        scholarship recipients during the recipients first 3 
        years of teaching; or
          [(2) to develop and implement effective mechanisms to 
        ensure that high need local educational agencies and 
        schools are able to effectively recruit highly 
        qualified teachers.
  [(e) Service Requirements.--The Secretary shall establish 
such requirements as the Secretary finds necessary to ensure 
that recipients of scholarships under this section who complete 
teacher education programs subsequently teach in a high-need 
local educational agency, for a period of time equivalent to 
the period for which the recipients receive scholarship 
assistance, or repay the amount of the scholarship. The 
Secretary shall use any such repayments to carry out additional 
activities under this section.

[SEC. 205. ADMINISTRATIVE PROVISIONS.

  [(a) Duration; One-Time Awards; Payments.--
          [(1) Duration.--
                  [(A) Eligible states and eligible 
                applicants.--Grants awarded to eligible States 
                and eligible applicants under this part shall 
                be awarded for a period not to exceed 3 years.
                  [(B) Eligible partnerships.--Grants awarded 
                to eligible partnerships under this part shall 
                be awarded for a period of 5 years.
          [(2) One-time award.--An eligible State and an 
        eligible partnership may receive a grant under each of 
        sections 202, 203, and 204 only once.
          [(3) Payments.--The Secretary shall make annual 
        payments of grant funds awarded under this part.
  [(b) Peer Review.--
          [(1) Panel.--The Secretary shall provide the 
        applications submitted under this part to a peer review 
        panel for evaluation. With respect to each application, 
        the peer review panel shall initially recommend the 
        application for funding or for disapproval.
          [(2) Priority.--In recommending applications to the 
        Secretary for funding under this part, the panel 
        shall--
                  [(A) with respect to grants under section 
                202, give priority to eligible States serving 
                States that--
                          [(i) have initiatives to reform State 
                        teacher certification requirements that 
                        are designed to ensure that current and 
                        future teachers possess the necessary 
                        teaching skills and academic content 
                        knowledge in the subject areas in which 
                        the teachers are certified or licensed 
                        to teach;
                          [(ii) include innovative reforms to 
                        hold institutions of higher education 
                        with teacher preparation programs 
                        accountable for preparing teachers who 
                        are highly competent in the academic 
                        content area in which the teachers plan 
                        to teach and have strong teaching 
                        skills; or
                          [(iii) involve the development of 
                        innovative efforts aimed at reducing 
                        the shortage of highly qualified 
                        teachers in high poverty urban and 
                        rural areas;
                  [(B) with respect to grants under section 
                203--
                          [(i) give priority to applications 
                        from eligible partnerships that involve 
                        businesses; and
                          [(ii) take into consideration--
                                  [(I) providing an equitable 
                                geographic distribution of the 
                                grants throughout the United 
                                States; and
                                  [(II) the potential of the 
                                proposed activities for 
                                creating improvement and 
                                positive change.
          [(3) Secretarial selection.--The Secretary shall 
        determine, based on the peer review process, which 
        application shall receive funding and the amounts of 
        the grants. In determining grant amounts, the Secretary 
        shall take into account the total amount of funds 
        available for all grants under this part and the types 
        of activities proposed to be carried out.
  [(c) Matching Requirements.--
          [(1) State grants.--Each eligible State receiving a 
        grant under section 202 or 204 shall provide, from non-
        Federal sources, an amount equal to 50 percent of the 
        amount of the grant (in cash or in kind) to carry out 
        the activities supported by the grant.
          [(2) Partnership grants.--Each eligible partnership 
        receiving a grant under section 203 or 204 shall 
        provide, from non-Federal sources (in cash or in kind), 
        an amount equal to 25 percent of the grant for the 
        first year of the grant, 35 percent of the grant for 
        the second year of the grant, and 50 percent of the 
        grant for each succeeding year of the grant.
  [(d) Limitation on Administrative Expenses.--An eligible 
State or eligible partnership that receives a grant under this 
part may not use more than 2 percent of the grant funds for 
purposes of administering the grant.
  [(e) Teacher Qualifications Provided to Parents Upon 
Request.--Any local educational agency or school that benefits 
from the activities assisted under this part shall make 
available, upon request and in an understandable and uniform 
format, to any parent of a student attending any school served 
by the local educational agency, information regarding the 
qualification of the student's classroom teacher with regard to 
the subject matter in which the teacher provides instruction. 
The local educational agency shall inform parents that the 
parents are entitled to receive the information upon request.

[SEC. 206. ACCOUNTABILITY AND EVALUATION.

  [(a) State Grant Accountability Report.--An eligible State 
that receives a grant under section 202 shall submit an annual 
accountability report to the Secretary, the Committee on Labor 
and Human Resources of the Senate, and the Committee on 
Education and the Workforce of the House of Representatives. 
Such report shall include a description of the degree to which 
the eligible State, in using funds provided under such section, 
has made substantial progress in meeting the following goals:
          [(1) Student achievement.--Increasing student 
        achievement for all students as defined by the eligible 
        State.
          [(2) Raising standards.--Raising the State academic 
        standards required to enter the teaching profession, 
        including, where appropriate, through the use of 
        incentives to incorporate the requirement of an 
        academic major in the subject, or related discipline, 
        in which the teacher plans to teach.
          [(3) Initial certification or licensure.--Increasing 
        success in the pass rate for initial State teacher 
        certification or licensure, or increasing the numbers 
        of highly qualified individuals being certified or 
        licensed as teachers through alternative programs.
          [(4) Core academic subjects.--
                  [(A) Secondary school classes.--Increasing 
                the percentage of secondary school classes 
                taught in core academic subject areas by 
                teachers--
                          [(i) with academic majors in those 
                        areas or in a related field;
                          [(ii) who can demonstrate a high 
                        level of competence through rigorous 
                        academic subject area tests; or
                          [(iii) who can demonstrate competence 
                        through a high level of performance in 
                        relevant content areas.
                  [(B) Elementary school classes.--Increasing 
                the percentage of elementary school classes 
                taught by teachers--
                          [(i) with academic majors in the arts 
                        and sciences; or
                          [(ii) who can demonstrate competence 
                        through a high level of performance in 
                        core academic subjects.
          [(5) Decreasing teacher shortages.--Decreasing 
        shortages of qualified teachers in poor urban and rural 
        areas.
          [(6) Increasing opportunities for professional 
        development.--Increasing opportunities for enhanced and 
        ongoing professional development that improves the 
        academic content knowledge of teachers in the subject 
        areas in which the teachers are certified or licensed 
        to teach or in which the teachers are working toward 
        certification or licensure to teach, and that promotes 
        strong teaching skills.
          [(7) Technology integration.--Increasing the number 
        of teachers prepared to integrate technology in the 
        classroom.
  [(b) Eligible Partnership Evaluation.--Each eligible 
partnership receiving a grant under section 203 shall establish 
and include in the application submitted under section 203(c), 
an evaluation plan that includes strong performance objectives. 
The plan shall include objectives and measures for--
          [(1) increased student achievement for all students 
        as measured by the partnership;
          [(2) increased teacher retention in the first 3 years 
        of a teacher's career;
          [(3) increased success in the pass rate for initial 
        State certification or licensure of teachers; and
          [(4) increased percentage of secondary school classes 
        taught in core academic subject areas by teachers--
                  [(A) with academic majors in the areas or in 
                a related field; and
                  [(B) who can demonstrate a high level of 
                competence through rigorous academic subject 
                area tests or who can demonstrate competence 
                through a high level of performance in relevant 
                content areas;
          [(5) increasing the percentage of elementary school 
        classes taught by teachers with academic majors in the 
        arts and sciences or who demonstrate competence through 
        a high level of performance in core academic subject 
        areas; and
          [(6) increasing the number of teachers trained in 
        technology.
  [(c) Revocation of Grant.--
          [(1) Report.--Each eligible State or eligible 
        partnership receiving a grant under this part shall 
        report annually on the progress of the eligible State 
        or eligible partnership toward meeting the purposes of 
        this part and the goals, objectives, and measures 
        described in subsections (a) and (b).
          [(2) Revocation.--
                  [(A) Eligible states and eligible 
                applicants.--If the Secretary determines that 
                an eligible State or eligible applicant is not 
                making substantial progress in meeting the 
                purposes, goals, objectives, and measures, as 
                appropriate, by the end of the second year of a 
                grant under this part, then the grant payment 
                shall not be made for the third year of the 
                grant.
                  [(B) Eligible partnerships.--If the Secretary 
                determines that an eligible partnership is not 
                making substantial progress in meeting the 
                purposes, goals, objectives, and measures, as 
                appropriate, by the end of the third year of a 
                grant under this part, then the grant payments 
                shall not be made for any succeeding year of 
                the grant.
  [(d) Evaluation and Dissemination.--The Secretary shall 
evaluate the activities funded under this part and report the 
Secretary's findings regarding the activities to the Committee 
on Labor and Human Resources of the Senate and the Committee on 
Education and the Workforce of the House of Representatives. 
The Secretary shall broadly disseminate successful practices 
developed by eligible States and eligible partnerships under 
this part, and shall broadly disseminate information regarding 
such practices that were found to be ineffective.

[SEC. 207. ACCOUNTABILITY FOR PROGRAMS THAT PREPARE TEACHERS.

  [(a) Development of Definitions and Reporting Methods.--
Within 9 months of the date of enactment of the Higher 
Education Amendments of 1998, the Commissioner of the National 
Center for Education Statistics, in consultation with States 
and institutions of higher education, shall develop key 
definitions for terms, and uniform reporting methods (including 
the key definitions for the consistent reporting of pass 
rates), related to the performance of elementary school and 
secondary school teacher preparation programs.
  [(b) State Report Card on the Quality of Teacher 
Preparation.--Each State that receives funds under this Act 
shall provide to the Secretary, within 2 years of the date of 
enactment of the Higher Education Amendments of 1998, and 
annually thereafter, in a uniform and comprehensible manner 
that conforms with the definitions and methods established in 
subsection (a), a State report card on the quality of teacher 
preparation in the State, which shall include at least the 
following:
          [(1) A description of the teacher certification and 
        licensure assessments, and any other certification and 
        licensure requirements, used by the State.
          [(2) The standards and criteria that prospective 
        teachers must meet in order to attain initial teacher 
        certification or licensure and to be certified or 
        licensed to teach particular subjects or in particular 
        grades within the State.
          [(3) A description of the extent to which the 
        assessments and requirements described in paragraph (1) 
        are aligned with the State's standards and assessments 
        for students.
          [(4) The percentage of teaching candidates who passed 
        each of the assessments used by the State for teacher 
        certification and licensure, and the passing score on 
        each assessment that determines whether a candidate has 
        passed that assessment.
          [(5) The percentage of teaching candidates who passed 
        each of the assessments used by the State for teacher 
        certification and licensure, disaggregated and ranked, 
        by the teacher preparation program in that State from 
        which the teacher candidate received the candidate's 
        most recent degree, which shall be made available 
        widely and publicly.
          [(6) Information on the extent to which teachers in 
        the State are given waivers of State certification or 
        licensure requirements, including the proportion of 
        such teachers distributed across high- and low-poverty 
        school districts and across subject areas.
          [(7) A description of each State's alternative routes 
        to teacher certification, if any, and the percentage of 
        teachers certified through alternative certification 
        routes who pass State teacher certification or 
        licensure assessments.
          [(8) For each State, a description of proposed 
        criteria for assessing the performance of teacher 
        preparation programs within institutions of higher 
        education in the State, including indicators of teacher 
        candidate knowledge and skills.
          [(9) Information on the extent to which teachers or 
        prospective teachers in each State are required to take 
        examinations or other assessments of their subject 
        matter knowledge in the area or areas in which the 
        teachers provide instruction, the standards established 
        for passing any such assessments, and the extent to 
        which teachers or prospective teachers are required to 
        receive a passing score on such assessments in order to 
        teach in specific subject areas or grade levels.
  [(c) Initial Report.--
          [(1) In general.--Each State that receives funds 
        under this Act, not later than 6 months of the date of 
        enactment of the Higher Education Amendments of 1998 
        and in a uniform and comprehensible manner, shall 
        submit to the Secretary the information described in 
        paragraphs (1), (5), and (6) of subsection (b). Such 
        information shall be compiled by the Secretary and 
        submitted to the Committee on Labor and Human Resources 
        of the Senate and the Committee on Education and the 
        Workforce of the House of Representatives not later 
        than 9 months after the date of enactment of the Higher 
        Education Amendments of 1998.
          [(2) Construction.--Nothing in this subsection shall 
        be construed to require a State to gather information 
        that is not in the possession of the State or the 
        teacher preparation programs in the State, or readily 
        available to the State or teacher preparation programs.
  [(d) Report of the Secretary on the Quality of Teacher 
Preparation.--
          [(1) Report card.--The Secretary shall provide to 
        Congress, and publish and make widely available, a 
        report card on teacher qualifications and preparation 
        in the United States, including all the information 
        reported in paragraphs (1) through (9) of subsection 
        (b). Such report shall identify States for which 
        eligible States and eligible partnerships received a 
        grant under this part. Such report shall be so 
        provided, published and made available not later than 2 
        years 6 months after the date of enactment of the 
        Higher Education Amendments of 1998 and annually 
        thereafter.
          [(2) Report to congress.--The Secretary shall report 
        to Congress--
                  [(A) a comparison of States' efforts to 
                improve teaching quality; and
                  [(B) regarding the national mean and median 
                scores on any standardized test that is used in 
                more than 1 State for teacher certification or 
                licensure.
          [(3) Special rule.--In the case of teacher 
        preparation programs with fewer than 10 graduates 
        taking any single initial teacher certification or 
        licensure assessment during an academic year, the 
        Secretary shall collect and publish information with 
        respect to an average pass rate on State certification 
        or licensure assessments taken over a 3-year period.
  [(e) Coordination.--The Secretary, to the extent practicable, 
shall coordinate the information collected and published under 
this part among States for individuals who took State teacher 
certification or licensure assessments in a State other than 
the State in which the individual received the individual's 
most recent degree.
  [(f) Institutional Report Cards on the Quality of Teacher 
Preparation.--
          [(1) Report card.--Each institution of higher 
        education that conducts a teacher preparation program 
        that enrolls students receiving Federal assistance 
        under this Act, not later than 18 months after the date 
        of enactment of the Higher Education Amendments of 1998 
        and annually thereafter, shall report to the State and 
        the general public, in a uniform and comprehensible 
        manner that conforms with the definitions and methods 
        established under subsection (a), the following 
        information:
                  [(A) Pass rate.--(i) For the most recent year 
                for which the information is available, the 
                pass rate of the institution's graduates on the 
                teacher certification or licensure assessments 
                of the State in which the institution is 
                located, but only for those students who took 
                those assessments within 3 years of completing 
                the program.
                  [(ii) A comparison of the program's pass rate 
                with the average pass rate for programs in the 
                State.
                  [(iii) In the case of teacher preparation 
                programs with fewer than 10 graduates taking 
                any single initial teacher certification or 
                licensure assessment during an academic year, 
                the institution shall collect and publish 
                information with respect to an average pass 
                rate on State certification or licensure 
                assessments taken over a 3-year period.
                  [(B) Program information.--The number of 
                students in the program, the average number of 
                hours of supervised practice teaching required 
                for those in the program, and the faculty-
                student ratio in supervised practice teaching.
                  [(C) Statement.--In States that approve or 
                accredit teacher education programs, a 
                statement of whether the institution's program 
                is so approved or accredited.
                  [(D) Designation as low-performing.--Whether 
                the program has been designated as low-
                performing by the State under section 208(a).
          [(2) Requirement.--The information described in 
        paragraph (1) shall be reported through publications 
        such as school catalogs and promotional materials sent 
        to potential applicants, secondary school guidance 
        counselors, and prospective employers of the 
        institution's program graduates.
          [(3) Fines.--In addition to the actions authorized in 
        section 487(c), the Secretary may impose a fine not to 
        exceed $25,000 on an institution of higher education 
        for failure to provide the information described in 
        this subsection in a timely or accurate manner.

[SEC. 208. STATE FUNCTIONS.

  [(a) State Assessment.--In order to receive funds under this 
Act, a State, not later than 2 years after the date of 
enactment of the Higher Education Amendments of 1998, shall 
have in place a procedure to identify, and assist, through the 
provision of technical assistance, low-performing programs of 
teacher preparation within institutions of higher education. 
Such State shall provide the Secretary an annual list of such 
low-performing institutions that includes an identification of 
those institutions at-risk of being placed on such list. Such 
levels of performance shall be determined solely by the State 
and may include criteria based upon information collected 
pursuant to this part. Such assessment shall be described in 
the report under section 207(b).
  [(b) Termination of Eligibility.--Any institution of higher 
education that offers a program of teacher preparation in which 
the State has withdrawn the State's approval or terminated the 
State's financial support due to the low performance of the 
institution's teacher preparation program based upon the State 
assessment described in subsection (a)--
          [(1) shall be ineligible for any funding for 
        professional development activities awarded by the 
        Department of Education; and
          [(2) shall not be permitted to accept or enroll any 
        student that receives aid under title IV of this Act in 
        the institution's teacher preparation program.
  [(c) Negotiated Rulemaking.--If the Secretary develops any 
regulations implementing subsection (b)(2), the Secretary shall 
submit such proposed regulations to a negotiated rulemaking 
process, which shall include representatives of States, 
institutions of higher education, and educational and student 
organizations.

[SEC. 209. GENERAL PROVISIONS.

  [(a) Methods.--In complying with sections 207 and 208, the 
Secretary shall ensure that States and institutions of higher 
education use fair and equitable methods in reporting and that 
the reporting methods protect the privacy of individuals.
  [(b) Special Rule.--For each State in which there are no 
State certification or licensure assessments, or for States 
that do not set minimum performance levels on those 
assessments--
          [(1) the Secretary shall, to the extent practicable, 
        collect data comparable to the data required under this 
        part from States, local educational agencies, 
        institutions of higher education, or other entities 
        that administer such assessments to teachers or 
        prospective teachers; and
          [(2) notwithstanding any other provision of this 
        part, the Secretary shall use such data to carry out 
        requirements of this part related to assessments or 
        pass rates.
  [(c) Limitations.--
          [(1) Federal control prohibited.--Nothing in this 
        part shall be construed to permit, allow, encourage, or 
        authorize any Federal control over any aspect of any 
        private, religious, or home school, whether or not a 
        home school is treated as a private school or home 
        school under State law. This section shall not be 
        construed to prohibit private, religious, or home 
        schools from participation in programs or services 
        under this part.
          [(2) No change in state control encouraged or 
        required.--Nothing in this part shall be construed to 
        encourage or require any change in a State's treatment 
        of any private, religious, or home school, whether or 
        not a home school is treated as a private school or 
        home school under State law.
          [(3) National system of teacher certification 
        prohibited.--Nothing in this part shall be construed to 
        permit, allow, encourage, or authorize the Secretary to 
        establish or support any national system of teacher 
        certification.

[SEC. 210. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated to carry out this 
part $300,000,000 for fiscal year 1999 and such sums as may be 
necessary for each of the 4 succeeding fiscal years, of which--
          [(1) 45 percent shall be available for each fiscal 
        year to award grants under section 202;
          [(2) 45 percent shall be available for each fiscal 
        year to award grants under section 203; and
          [(3) 10 percent shall be available for each fiscal 
        year to award grants under section 204.

        [PART B--PREPARING TOMORROW'S TEACHERS TO USE TECHNOLOGY

[SEC. 221. PURPOSE AND PROGRAM AUTHORITY.

  [(a) Purpose.--It is the purpose of this part to assist 
consortia of public and private entities--
          [(1) to carry out programs that prepare prospective 
        teachers to use advanced technology to prepare all 
        students to meet challenging State and local academic 
        content and student academic achievement standards; and
          [(2) to improve the ability of institutions of higher 
        education to carry out such programs.
  [(b) Program Authority.--
          [(1) In general.--The Secretary is authorized to 
        award grants to eligible applicants, or enter into 
        contracts or cooperative agreements with eligible 
        applicants, on a competitive basis in order to pay for 
        the Federal share of the cost of projects to develop or 
        redesign teacher preparation programs to enable 
        prospective teachers to use advanced technology 
        effectively in their classrooms.
          [(2) Period of awards.--The Secretary may award 
        grants, or enter into contracts or cooperative 
        agreements, under this part for periods that are not 
        more than 5 years in duration.

[SEC. 222. ELIGIBILITY.

  [(a) Eligible Applicants.--In order to receive a grant or 
enter into a contract or cooperative agreement under this part, 
an applicant shall be a consortium that includes the following:
          [(1) At least one institution of higher education 
        that awards baccalaureate degrees and prepares teachers 
        for their initial entry into teaching.
          [(2) At least one State educational agency or local 
        educational agency.
          [(3) One or more of the following entities:
                  [(A) An institution of higher education 
                (other than the institution described in 
                paragraph (1)).
                  [(B) A school or department of education at 
                an institution of higher education.
                  [(C) A school or college of arts and sciences 
                (as defined in section 201(b)) at an 
                institution of higher education.
                  [(D) A professional association, foundation, 
                museum, library, for-profit business, public or 
                private nonprofit organization, community-based 
                organization, or other entity, with the 
                capacity to contribute to the technology-
                related reform of teacher preparation programs.
  [(b) Application Requirements.--In order to receive a grant 
or enter into a contract or cooperative agreement under this 
part, an eligible applicant shall submit an application to the 
Secretary at such time, in such manner, and containing such 
information as the Secretary may require. Such application 
shall include the following:
          [(1) A description of the proposed project, including 
        how the project would--
                  [(A) ensure that individuals participating in 
                the project would be prepared to use advanced 
                technology to prepare all students, including 
                groups of students who are underrepresented in 
                technology-related fields and groups of 
                students who are economically disadvantaged, to 
                meet challenging State and local academic 
                content and student academic achievement 
                standards; and
                  [(B) improve the ability of at least one 
                participating institution of higher education 
                described in section 222(a)(1) to ensure such 
                preparation.
          [(2) A demonstration of--
                  [(A) the commitment, including the financial 
                commitment, of each of the members of the 
                consortium for the proposed project; and
                  [(B) the active support of the leadership of 
                each organization that is a member of the 
                consortium for the proposed project.
          [(3) A description of how each member of the 
        consortium will participate in project activities.
          [(4) A description of how the proposed project will 
        be continued after Federal funds are no longer awarded 
        under this part for the project.
          [(5) A plan for the evaluation of the project, which 
        shall include benchmarks to monitor progress toward 
        specific project objectives.
  [(c) Matching Requirements.--
          [(1) In general.--The Federal share of the cost of 
        any project funded under this part shall not exceed 50 
        percent. Except as provided in paragraph (2), the non-
        Federal share of the cost of such project may be 
        provided in cash or in kind, fairly evaluated, 
        including services.
          [(2) Acquisition of equipment.--Not more than 10 
        percent of the funds awarded for a project under this 
        part may be used to acquire equipment, networking 
        capabilities, or infrastructure, and the non-Federal 
        share of the cost of any such acquisition shall be 
        provided in cash.

[SEC. 223. USE OF FUNDS.

  [(a) Required Uses.--A consortium that receives a grant or 
enters into a contract or cooperative agreement under this part 
shall use funds made available under this part for--
          [(1) a project creating one or more programs that 
        prepare prospective teachers to use advanced technology 
        to prepare all students, including groups of students 
        who are underrepresented in technology-related fields 
        and groups of students who are economically 
        disadvantaged, to meet challenging State and local 
        academic content and student academic achievement 
        standards; and
          [(2) evaluating the effectiveness of the project.
  [(b) Permissible Uses.--The consortium may use funds made 
available under this part for a project, described in the 
application submitted by the consortium under this part, that 
carries out the purpose of this part, such as the following:
          [(1) Developing and implementing high-quality teacher 
        preparation programs that enable educators--
                  [(A) to learn the full range of resources 
                that can be accessed through the use of 
                technology;
                  [(B) to integrate a variety of technologies 
                into curricula and instruction in order to 
                expand students' knowledge;
                  [(C) to evaluate educational technologies and 
                their potential for use in instruction;
                  [(D) to help students develop their technical 
                skills; and
                  [(E) to use technology to collect, manage, 
                and analyze data to improve teaching and 
                decisionmaking.
          [(2) Developing alternative teacher development paths 
        that provide elementary schools and secondary schools 
        with well-prepared, technology-proficient educators.
          [(3) Developing achievement-based standards and 
        assessments aligned with the standards to measure the 
        capacity of prospective teachers to use technology 
        effectively in their classrooms.
          [(4) Providing technical assistance to entities 
        carrying out other teacher preparation programs.
          [(5) Developing and disseminating resources and 
        information in order to assist institutions of higher 
        education to prepare teachers to use technology 
        effectively in their classrooms.
          [(6) Subject to section 222(c)(2), acquiring 
        technology equipment, networking capabilities, 
        infrastructure, software, and digital curricula to 
        carry out the project.

[SEC. 224. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated to carry out this 
part such sums as may be necessary for each of fiscal years 
2002 and 2003.]

                 TITLE II--TEACHER QUALITY ENHANCEMENT

SEC. 200. DEFINITIONS.

  For purposes of this title:
          (1) Arts and sciences.--The term ``arts and 
        sciences'' means--
                  (A) when referring to an organizational unit 
                of an institution of higher education, any 
                academic unit that offers 1 or more academic 
                majors in disciplines or content areas 
                corresponding to the academic subject matter 
                areas in which teachers provide instruction; 
                and
                  (B) when referring to a specific academic 
                subject area, the disciplines or content areas 
                in which academic majors are offered by the 
                arts and sciences organizational unit.
          (2) Children from low-income families.--The term 
        ``children from low-income families'' means children as 
        described in section 1124(c)(1)(A) of the Elementary 
        and Secondary Education Act of 1965.
          (3) Core academic subjects.--The term ``core academic 
        subjects'' has the meaning given the term in section 
        9101 of the Elementary and Secondary Education Act of 
        1965.
          (4) Early childhood education program.--The term 
        ``early childhood education program'' means--
                  (A) a Head Start program or an Early Head 
                Start program carried out under the Head Start 
                Act (42 U.S.C. 9831 et seq.);
                  (B) a State licensed or regulated child care 
                program or school; or
                  (C) a State prekindergarten program that 
                serves children from birth through kindergarten 
                and that addresses the children's cognitive 
                (including language, early literacy, and pre-
                numeracy), social, emotional, and physical 
                development.
          (5) Early childhood educator.--The term ``early 
        childhood educator'' means an individual with primary 
        responsibility for the education of children in an 
        early childhood education program.
          (6) Educational service agency.--The term 
        ``educational service agency'' has the meaning given 
        the term in section 9101 of the Elementary and 
        Secondary Education Act of 1965.
          (7) Essential components of reading instruction.--The 
        term ``essential components of reading instruction'' 
        has the meaning given such term in section 1208 of the 
        Elementary and Secondary Education Act of 1965.
          (8) Exemplary teacher.--The term ``exemplary 
        teacher'' has the meaning given such term in section 
        9101 of the Elementary and Secondary Education Act of 
        1965.
          (9) High-need early childhood education program.--The 
        term ``high-need early childhood education program'' 
        means an early childhood education program serving 
        children from low-income families that is located 
        within the geographic area served by a high-need local 
        educational agency.
          (10) High-need local educational agency.--The term 
        ``high-need local educational agency'' means a local 
        educational agency--
                  (A)(i) for which not less than 20 percent of 
                the children served by the agency are children 
                from low-income families;
                  (ii) that serves not fewer than 10,000 
                children from low-income families; or
                  (iii) with a total of less than 600 students 
                in average daily attendance at the schools that 
                are served by the agency, and all of the 
                schools that are served by the agency are 
                designated with a school locale code of Rural: 
                Fringe, Rural: Distant, or Rural: Remote, as 
                determined by the Secretary; and
                  (B)(i) for which there is a high percentage 
                of teachers not teaching in the academic 
                subject areas or grade levels in which the 
                teachers were trained to teach; or
                  (ii) for which there is a high teacher 
                turnover rate or a high percentage of teachers 
                with emergency, provisional, or temporary 
                certification or licensure.
          (11) High-need school.--Notwithstanding section 103, 
        the term ``high-need school'' means a public elementary 
        school or public secondary school that--
                  (A) is among the highest 25 percent of 
                schools served by the local educational agency 
                that serves the school, in terms of the 
                percentage of students from families with 
                incomes below the poverty line; or
                  (B) is designated with a school locale code 
                of Rural: Fringe, Rural: Distant, or Rural: 
                Remote, as determined by the Secretary.
          (12) Highly competent.--The term ``highly 
        competent'', when used with respect to an early 
        childhood educator, means an educator--
                  (A) with specialized education and training 
                in development and education of young children 
                from birth until entry into kindergarten;
                  (B) with--
                          (i) a baccalaureate degree in an 
                        academic major in the arts and 
                        sciences; or
                          (ii) an associate's degree in a 
                        related educational area; and
                  (C) who has demonstrated a high level of 
                knowledge and use of content and pedagogy in 
                the relevant areas associated with quality 
                early childhood education.
          (13) Highly qualified.--The term ``highly qualified'' 
        has the meaning given such term in section 9101 of the 
        Elementary and Secondary Education Act of 1965 and, 
        with respect to special education teachers, in section 
        602 of the Individuals with Disabilities Education Act.
          (14) Literacy coach.--The term ``literacy coach'' 
        means an individual--
                  (A) who--
                          (i) has teaching experience and a 
                        master's degree with a concentration in 
                        reading and writing education; and
                          (ii) has demonstrated proficiency (as 
                        determined by the principal of the 
                        individual's school) in teaching 
                        reading and writing in a content area 
                        such as math, science, or social 
                        studies;
                  (B) whose primary role with teachers and 
                school personnel is--
                          (i) to provide high-quality 
                        professional development opportunities 
                        for teachers and school personnel 
                        related to literacy;
                          (ii) with respect to the areas of 
                        reading and writing, to collaborate 
                        with paraprofessionals, teachers, 
                        principals, and other administrators, 
                        and the community served by the school; 
                        and
                          (iii) to work cooperatively and 
                        collaboratively with other 
                        professionals in planning programs to 
                        meet the needs of diverse population 
                        learners, including children with 
                        disabilities and limited English 
                        proficient individuals; and
                  (C) who may provide students with--
                          (i) reading or writing diagnosis and 
                        instruction; and
                          (ii) reading and writing assessment, 
                        including assessment in cooperation 
                        with other professionals (such as 
                        special education teachers, speech and 
                        language teachers, and school 
                        psychologists).
          (15) Poverty line.--The term ``poverty line'' means 
        the poverty line (as defined in section 673(2) of the 
        Community Services Block Grant Act (42 U.S.C. 9902(2))) 
        applicable to a family of the size involved.
          (16) Professional development.--The term 
        ``professional development'' has the meaning given the 
        term in section 9101 of the Elementary and Secondary 
        Education Act of 1965.
          (17) Scientifically valid research.--The term 
        ``scientifically valid research'' includes applied 
        research, basic research, and field-initiated research 
        in which the rationale, design, and interpretation are 
        soundly developed in accordance with accepted 
        principles of scientific research.
          (18) Teaching skills.--The term ``teaching skills'' 
        means skills that enable a teacher to--
                  (A) increase student learning, achievement, 
                and the ability to apply knowledge;
                  (B) effectively convey and explain academic 
                subject matter;
                  (C) employ strategies grounded in the 
                disciplines of teaching and learning that--
                          (i) are based on empirically based 
                        practice and scientifically valid 
                        research, where applicable, related to 
                        teaching and learning;
                          (ii) are specific to academic subject 
                        matter; and
                          (iii) focus on the identification of 
                        students' specific learning needs, 
                        particularly students with 
                        disabilities, students who are limited 
                        English proficient, students who are 
                        gifted and talented, and students with 
                        low literacy levels, and the tailoring 
                        of academic instruction to such needs;
                  (D) conduct an ongoing assessment of student 
                learning, which may include the use of 
                formative assessments, performance-based 
                assessments, project-based assessments, or 
                portfolio assessments, that measure higher-
                order thinking skills, including application, 
                analysis, synthesis, and evaluation;
                  (E) effectively manage a classroom, including 
                the ability to implement positive behavioral 
                intervention support strategies;
                  (F) communicate and work with parents and 
                guardians, and involve parents and guardians in 
                their children's education; and
                  (G) use, in the case of an early childhood 
                educator, age-appropriate and developmentally 
                appropriate strategies and practices for 
                children in early education programs.

SEC. 200A. RULE OF CONSTRUCTION.

  Nothing in this title shall be construed to alter or 
otherwise affect the rights, remedies, and procedures afforded 
to the employees of local educational agencies under Federal, 
State, or local laws (including applicable regulations or court 
orders) or under the terms of collective bargaining agreements, 
memoranda of understanding, or other agreements between such 
employees and their employers, including the right of employees 
of local educational agencies to engage in collective 
bargaining with their employers.

               PART A--TEACHER QUALITY PARTNERSHIP GRANTS

SEC. 201. PURPOSES; DEFINITIONS.

  (a) Purposes.--The purposes of this part are to--
          (1) improve student achievement;
          (2) improve the quality of the current and future 
        teaching force by improving the preparation of 
        prospective teachers and enhancing professional 
        development activities;
          (3) hold teacher preparation programs at institutions 
        of higher education accountable for preparing highly 
        qualified teachers; and
          (4) recruit highly qualified individuals, including 
        minorities and individuals from other occupations, into 
        the teaching force.
  (b) Definitions.--In this part:
          (1) Eligible partnership.--The term ``eligible 
        partnership'' means an entity that--
                  (A) shall include--
                          (i) a high-need local educational 
                        agency;
                          (ii) a high-need school or a 
                        consortium of high-need schools served 
                        by the high-need local educational 
                        agency or, as applicable, a high-need 
                        early childhood education program;
                          (iii) a partner institution;
                          (iv) a school, department, or program 
                        of education within such partner 
                        institution or a teacher professional 
                        development program within such partner 
                        institution; and
                          (v) a school or department of arts 
                        and sciences within such partner 
                        institution; and
                  (B) may include any of the following:
                          (i) The Governor of the State.
                          (ii) The State educational agency.
                          (iii) The State board of education.
                          (iv) The State agency for higher 
                        education.
                          (v) A business.
                          (vi) A public or private nonprofit 
                        educational organization.
                          (vii) An educational service agency.
                          (viii) A teacher organization.
                          (ix) A high-performing local 
                        educational agency, or a consortium of 
                        such local educational agencies, that 
                        can serve as a resource to the 
                        partnership.
                          (x) A charter school (as defined in 
                        section 5210 of the Elementary and 
                        Secondary Education Act of 1965).
                          (xi) A school or department within 
                        the partner institution that focuses on 
                        psychology and human development.
                          (xii) A school or department within 
                        the partner institution with comparable 
                        expertise in the disciplines of 
                        teaching, learning, and child and 
                        adolescent development.
                          (xiii) An entity operating a program 
                        that provides alternative routes to 
                        State certification of teachers.
          (2) Induction program.--The term ``induction 
        program'' means a formalized program for new teachers 
        during not less than the teachers' first 2 years of 
        teaching that is designed to provide support for, and 
        improve the professional performance and advance the 
        retention in the teaching field of, beginning teachers. 
        Such program shall promote effective teaching skills 
        and shall include the following components:
                  (A) High-quality teacher mentoring.
                  (B) Periodic, structured time for 
                collaboration with mentor teachers in the same 
                department or field, as well as time for 
                information-sharing among teachers, principals, 
                administrators, and participating faculty in 
                the partner institution.
                  (C) The application of empirically based 
                practice and scientifically valid research on 
                instructional practices.
                  (D) Opportunities for new teachers to draw 
                directly upon the expertise of teacher mentors, 
                faculty, and researchers to support the 
                integration of empirically based practice and 
                scientifically valid research with practice.
                  (E) The development of skills in 
                instructional and behavioral interventions 
                derived from empirically based practice and, 
                where applicable, scientifically valid 
                research.
                  (F) Faculty who--
                          (i) model the integration of research 
                        and practice in the classroom; and
                          (ii) assist new teachers with the 
                        effective use and integration of 
                        technology in the classroom.
                  (G) Interdisciplinary collaboration among 
                exemplary teachers, faculty, researchers, and 
                other staff who prepare new teachers with 
                respect to the learning process and the 
                assessment of learning.
                  (H) Assistance with the understanding of 
                data, particularly student achievement data, 
                and the data's applicability in classroom 
                instruction.
                  (I) Structured and formal observation of new 
                teachers, and feedback for such teachers, at 
                least 4 times each school year by multiple 
                evaluators, including master teachers and the 
                principal, using valid and reliable benchmarks 
                of teaching skills and standards developed with 
                input from teachers.
          (3) Partner institution.--The term ``partner 
        institution'' means an institution of higher education, 
        which may include a 2-year institution of higher 
        education offering a dual program with a 4-year 
        institution of higher education, participating in an 
        eligible partnership that has a teacher preparation 
        program--
                  (A) whose graduates exhibit strong 
                performance on State-determined qualifying 
                assessments for new teachers through--
                          (i) demonstrating that 80 percent or 
                        more of the graduates of the program 
                        who intend to enter the field of 
                        teaching have passed all of the 
                        applicable State qualification 
                        assessments for new teachers, which 
                        shall include an assessment of each 
                        prospective teacher's subject matter 
                        knowledge in the content area in which 
                        the teacher intends to teach; or
                          (ii) being ranked among the highest-
                        performing teacher preparation programs 
                        in the State as determined by the 
                        State--
                                  (I) using criteria consistent 
                                with the requirements for the 
                                State report card under section 
                                205(b); and
                                  (II) using the State report 
                                card on teacher preparation 
                                required under section 205(b), 
                                after the first publication of 
                                such report card and for every 
                                year thereafter; or
                  (B) that requires--
                          (i) each student in the program to 
                        meet and demonstrate high academic 
                        standards (including prior to entering 
                        and being accepted into a program) and 
                        participate in intensive clinical 
                        experience;
                          (ii) each student in the program 
                        preparing to become a teacher to become 
                        highly qualified; and
                          (iii) each student in the program 
                        preparing to become an early childhood 
                        educator to meet degree requirements, 
                        as established by the State, and become 
                        highly competent.
          (4) Teacher mentoring.--The term ``teacher 
        mentoring'' means the mentoring of new or prospective 
        teachers through a new or established program that--
                  (A) includes clear criteria for the selection 
                of teacher mentors who will provide role model 
                relationships for mentees, which criteria shall 
                be developed by the eligible partnership and 
                based on measures of teacher effectiveness;
                  (B) provides high-quality training for such 
                mentors, including instructional strategies for 
                literacy instruction and classroom management;
                  (C) provides regular and ongoing 
                opportunities for mentors and mentees to 
                observe each other's teaching methods in 
                classroom settings during the day in a high-
                need school in the high-need local educational 
                agency in the eligible partnership;
                  (D) provides paid release time for mentors;
                  (E) provides mentoring to each mentee by a 
                colleague who teaches in the same field, grade, 
                or subject as the mentee;
                  (F) promotes empirically based practice of, 
                and scientifically valid research on, where 
                applicable--
                          (i) teaching and learning;
                          (ii) assessment of student learning;
                          (iii) the development of teaching 
                        skills through the use of instructional 
                        and behavioral interventions; and
                          (iv) the improvement of the mentees' 
                        capacity to measurably advance student 
                        learning; and
                  (G) includes--
                          (i) common planning time or regularly 
                        scheduled collaboration for the mentor 
                        and mentee; and
                          (ii) joint professional development 
                        opportunities.
          (5) Teaching residency program.--The term ``teaching 
        residency program'' means a school-based teacher 
        preparation program in which a prospective teacher--
                  (A) for 1 academic year, teaches alongside a 
                mentor teacher, who is the teacher of record;
                  (B) receives concurrent instruction during 
                the year described in subparagraph (A) from the 
                partner institution, which may include courses 
                taught by local educational agency personnel or 
                residency program faculty, in the teaching of 
                the content area in which the teacher will 
                become certified or licensed;
                  (C) acquires effective teaching skills; and
                  (D) prior to completion of the program, earns 
                a master's degree, attains full State teacher 
                certification or licensure, and becomes highly 
                qualified.

SEC. 202. PARTNERSHIP GRANTS.

  (a) Program Authorized.--From amounts made available under 
section 209, the Secretary is authorized to award grants, on a 
competitive basis, to eligible partnerships, to enable the 
eligible partnerships to carry out the activities described in 
subsection (c).
  (b) Application.--Each eligible partnership desiring a grant 
under this section shall submit an application to the Secretary 
at such time, in such manner, and accompanied by such 
information as the Secretary may require. Each such application 
shall contain--
          (1) a needs assessment of all the partners in the 
        eligible partnership with respect to the preparation, 
        ongoing training, professional development, and 
        retention, of general and special education teachers, 
        principals, and, as applicable, early childhood 
        educators;
          (2) a description of the extent to which the program 
        prepares prospective and new teachers with strong 
        teaching skills;
          (3) a description of how the program will prepare 
        prospective and new teachers to use research and data 
        to modify and improve instruction in the classroom;
          (4) a description of how the partnership will 
        coordinate strategies and activities assisted under the 
        grant with other teacher preparation or professional 
        development programs, including those funded under the 
        Elementary and Secondary Education Act of 1965 and the 
        Individuals with Disabilities Education Act, and 
        through the National Science Foundation, and how the 
        activities of the partnership will be consistent with 
        State, local, and other education reform activities 
        that promote student achievement;
          (5) a resource assessment that describes the 
        resources available to the partnership, including--
                  (A) the integration of funds from other 
                sources;
                  (B) the intended use of the grant funds;
                  (C) the commitment of the resources of the 
                partnership, including financial support, 
                faculty participation, and time commitments, to 
                the activities assisted under this section and 
                to the continuation of the activities when the 
                grant ends;
          (6) a description of--
                  (A) how the partnership will meet the 
                purposes of this part;
                  (B) how the partnership will carry out the 
                activities required under subsection (d) or (e) 
                based on the needs identified in paragraph (1), 
                with the goal of improving student achievement;
                  (C) the partnership's evaluation plan under 
                section 204(a);
                  (D) how the partnership will align the 
                teacher preparation program with the--
                          (i) State early learning standards 
                        for early childhood education programs, 
                        as appropriate, and with the relevant 
                        domains of early childhood development; 
                        and
                          (ii) student academic achievement 
                        standards and academic content 
                        standards under section 1111(b)(2) of 
                        the Elementary and Secondary Education 
                        Act of 1965, established by the State 
                        in which the partnership is located;
                  (E) how the partnership will prepare general 
                education teachers to teach students with 
                disabilities, including training related to 
                participation as a member of individualized 
                education program teams, as defined in section 
                614(d)(1)(B) of the Individuals with 
                Disabilities Education Act;
                  (F) how the partnership will prepare general 
                education and special education teachers to 
                teach students with limited English 
                proficiency;
                  (G) how faculty at the partner institution 
                will work, during the term of the grant, with 
                highly qualified teachers in the classrooms of 
                schools served by the high-need local 
                educational agency in the partnership to 
                provide high-quality professional development 
                activities;
                  (H) how the partnership will design, 
                implement, or enhance a year-long, rigorous, 
                and enriching teaching pre-service clinical 
                program component;
                  (I) how the partnership will support in-
                service professional development strategies and 
                activities; and
                  (J) how the partnership will collect, 
                analyze, and use data on the retention of all 
                teachers and early childhood educators in 
                schools and early childhood programs located in 
                the geographic area served by the partnership 
                to evaluate the effectiveness of the 
                partnership's teacher and educator support 
                system; and
          (7) with respect to the induction program required as 
        part of the activities carried out under this section--
                  (A) a description of how the teacher 
                preparation program will design and implement 
                an induction program to support all new 
                teachers through not less than the first 2 
                years of teaching in the further development of 
                the new teachers' teaching skills, including 
                the use of mentors who are trained and 
                compensated by such program for the mentors' 
                work with new teachers;
                  (B) a demonstration that the schools and 
                departments within the institution of higher 
                education that are part of the induction 
                program have relevant and essential roles in 
                the effective preparation of teachers, 
                including content expertise and expertise in 
                teaching;
                  (C) a demonstration of the partnership's 
                capability and commitment to the use of 
                empirically based practice and scientifically 
                valid research related to teaching and 
                learning, and the accessibility to and 
                involvement of faculty; and
                  (D) a description of how faculty involved in 
                the induction program will be able to 
                substantially participate in an early childhood 
                education program or an elementary or secondary 
                school classroom setting, as applicable, 
                including release time and receiving workload 
                credit for such participation.
  (c) Required Use of Grant Funds.--An eligible partnership 
that receives a grant under this section shall use grant funds 
to carry out a program for the pre-baccalaureate preparation of 
teachers under subsection (d), a teaching residency program 
under subsection (e), a leadership development program under 
subsection (f), or a combination of two or more such programs.
  (d) Partnership Grants for Pre-Baccalaureate Preparation of 
Teachers.--An eligible partnership that receives a grant to 
carry out an effective program for the pre-baccalaureate 
preparation of teachers shall carry out a program that includes 
all of the following:
          (1) Reforms.--
                  (A) In general.--Implementing reforms, 
                described in subparagraph (B), within each 
                teacher preparation program and, as applicable, 
                each preparation program for early childhood 
                education programs, of the eligible partnership 
                that is assisted under this section, to hold 
                each program accountable for--
                          (i) preparing--
                                  (I) current or prospective 
                                teachers to be highly qualified 
                                (including teachers in rural 
                                school districts who may teach 
                                multiple subjects, special 
                                educators, teachers of students 
                                who are limited English 
                                proficient who may teach 
                                multiple subjects, and teachers 
                                who are qualified to teach 
                                Advanced Placement or 
                                International Baccalaureate 
                                courses);
                                  (II) such teachers and, as 
                                applicable, early childhood 
                                educators, to understand 
                                empirically based practice and 
                                scientifically valid research 
                                related to teaching and 
                                learning and its applicability, 
                                and to use technology 
                                effectively, including the use 
                                of instructional techniques and 
                                positive behavioral support 
                                strategies to improve student 
                                achievement; and
                                  (III) as applicable, early 
                                childhood educators to be 
                                highly competent; and
                          (ii) promoting strong teaching skills 
                        and, as applicable, techniques for 
                        early childhood educators to improve 
                        children's cognitive, social, 
                        emotional, and physical development.
                  (B) Required reforms.--The reforms described 
                in subparagraph (A) shall include--
                          (i) implementing teacher preparation 
                        program curriculum changes that 
                        improve, evaluate, and assess how well 
                        all prospective and new teachers 
                        develop teaching skills;
                          (ii) using empirically based practice 
                        and scientifically valid research, 
                        where applicable, about the disciplines 
                        of teaching and learning so that all 
                        prospective teachers and, as 
                        applicable, early childhood educators--
                                  (I) can understand and 
                                implement research-based 
                                teaching practices in 
                                classroom-based instruction;
                                  (II) have knowledge of 
                                student learning methods;
                                  (III) possess skills to 
                                analyze student academic 
                                achievement data and other 
                                measures of student learning, 
                                and use such data and measures 
                                to improve instruction in the 
                                classroom;
                                  (IV) possess teaching skills 
                                and an understanding of 
                                effective instructional 
                                strategies across all 
                                applicable content areas that 
                                enable general and special 
                                education teachers and early 
                                childhood educators to--
                                          (aa) meet the 
                                        specific learning needs 
                                        of all students, 
                                        including students with 
                                        disabilities, students 
                                        who are limited English 
                                        proficient, students 
                                        who are gifted and 
                                        talented, students with 
                                        low literacy levels 
                                        and, as applicable, 
                                        children in early 
                                        childhood education 
                                        programs; and
                                          (bb) differentiate 
                                        instruction for such 
                                        students;
                                  (V) can effectively 
                                participate in the 
                                individualized education 
                                program process, as defined in 
                                section 614(d)(1)(B) of the 
                                Individuals with Disabilities 
                                Education Act; and
                                  (VI) can successfully employ 
                                effective strategies for 
                                reading instruction using the 
                                essential components of reading 
                                instruction;
                          (iii) ensuring collaboration with 
                        departments, programs, or units of a 
                        partner institution outside of the 
                        teacher preparation program in all 
                        academic content areas to ensure that 
                        new teachers receive training in both 
                        teaching and relevant content areas in 
                        order to become highly qualified, which 
                        may include training in multiple 
                        subjects to teach multiple grade levels 
                        as may be needed for individuals 
                        preparing to teach in rural 
                        communities;
                          (iv) developing and implementing an 
                        induction program;
                          (v) developing admissions goals and 
                        priorities aligned with the hiring 
                        objectives of the high-need local 
                        educational agency in the eligible 
                        partnership; and
                          (vi) implementing program curriculum 
                        changes to prepare teachers to teach 
                        Advanced Placement or International 
                        Baccalaureate courses.
          (2) Clinical experience and interaction.--Developing 
        and improving a sustained and high-quality pre-service 
        clinical education program to further develop the 
        teaching skills of all prospective teachers and, as 
        applicable, early childhood educators, involved in the 
        program. Such program shall do the following:
                  (A) Incorporate year-long opportunities for 
                enrichment activity or a combination of 
                activities, including--
                          (i) clinical learning in classrooms 
                        in high-need schools served by the 
                        high-need local educational agency in 
                        the eligible partnership and identified 
                        by the eligible partnership; and
                          (ii) closely supervised interaction 
                        between faculty and new and experienced 
                        teachers, principals, and other 
                        administrators at early childhood 
                        education programs (as applicable), 
                        elementary schools, or secondary 
                        schools, and providing support for such 
                        interaction.
                  (B) Integrate pedagogy and classroom practice 
                and promote effective teaching skills in 
                academic content areas, which may include 
                preparation for meeting the unique needs of 
                teaching in rural communities.
                  (C) Provide high-quality teacher mentoring.
                  (D)(i) Be offered over the course of a 
                program of teacher preparation;
                  (ii) be tightly aligned with course work (and 
                may be developed as a 5th year of a teacher 
                preparation program); and
                  (iii) where feasible, allow prospective 
                teachers to learn to teach in the same school 
                district in which the teachers will work, 
                learning the instructional initiatives and 
                curriculum of that district.
                  (E) Provide support and training for those 
                individuals participating in an activity for 
                prospective teachers described in this 
                paragraph or paragraph (1) or (3), and for 
                those who serve as mentors for such teachers, 
                based on each individual's experience. Such 
                support may include--
                          (i) with respect to a prospective 
                        teacher or a mentor, release time for 
                        such individual's participation;
                          (ii) with respect to a faculty 
                        member, receiving course workload 
                        credit and compensation for time 
                        teaching in the eligible partnership's 
                        activities; and
                          (iii) with respect to a mentor, a 
                        stipend, which may include bonus, 
                        differential, incentive, or merit or 
                        performance-based pay.
          (3) Induction programs for new teachers.--Creating an 
        induction program for new teachers, or, in the case of 
        an early childhood education program, providing 
        mentoring or coaching for new early childhood 
        educators.
          (4) Support and training for participants in early 
        childhood education programs.--In the case of an 
        eligible partnership focusing on early childhood 
        educator preparation, implementing initiatives that 
        increase compensation for early childhood educators who 
        attain associate or baccalaureate degrees in early 
        childhood education.
          (5) Teacher recruitment.--Developing and implementing 
        effective mechanisms (which may include alternative 
        routes to State certification of teachers) to ensure 
        that the eligible partnership is able to recruit 
        qualified individuals to become highly qualified 
        teachers through the activities of the eligible 
        partnership, which may include an emphasis on 
        recruiting into the teaching profession--
                  (A) underrepresented populations;
                  (B) individuals to teach in rural communities 
                and teacher shortage areas, including 
                mathematics, science, special education, and 
                instruction of limited English proficient 
                students; and
                  (C) mid-career professionals from other 
                occupations, former military personnel, and 
                recent college graduates with proven records of 
                academic distinction.
          (6) Literacy training.--Developing and implementing a 
        program to strengthen content knowledge and teaching 
        skills of elementary and secondary school literacy 
        coaches that--
                  (A) provides teacher training in reading 
                instruction for literacy coaches who--
                          (i) train classroom teachers to 
                        implement literacy programs; or
                          (ii) tutor students with intense 
                        individualized reading, writing, and 
                        subject matter instruction during or 
                        beyond the school day;
                  (B) develops or redesigns rigorous evidenced-
                based reading curricula that are aligned with 
                challenging State academic content standards, 
                as required under section 1111(b)(1) of the 
                Elementary and Secondary Education Act of 1965, 
                and with postsecondary standards for reading 
                and writing;
                  (C) provides opportunities for teachers to 
                plan and assess instruction with other 
                teachers, school leaders, and faculty at 
                institutions of higher education;
                  (D) provides training and professional 
                development for principals to prepare them to 
                understand the teaching of reading, guide 
                instruction, and foster school improvement; and
                  (E) establishes an evaluation and 
                accountability plan for activities conducted 
                under this paragraph to measure the impact of 
                such activities.
  (e) Partnership Grants for the Establishment of Teaching 
Residency Programs.--
          (1) In general.--An eligible partnership receiving a 
        grant to carry out an effective teaching residency 
        program shall carry out a program that includes all of 
        the following activities:
                  (A) Supporting a teaching residency program 
                described in paragraph (2) for high-need 
                subjects and areas, as determined by the needs 
                of the high-need local educational agency in 
                the partnership.
                  (B) Modifying staffing procedures to provide 
                greater flexibility for local educational 
                agency and school leaders to establish 
                effective school-level staffing in order to 
                facilitate placement of graduates of the 
                teaching residency program in cohorts that 
                facilitate professional collaboration, both 
                among graduates of the teaching residency 
                program and between such graduates and mentor 
                teachers in the receiving school.
                  (C) Ensuring that teaching residents that 
                participated in the teaching residency program 
                receive--
                          (i) effective pre-service preparation 
                        as described in paragraph (2);
                          (ii) teacher mentoring;
                          (iii) induction through the induction 
                        program as the teaching residents enter 
                        the classroom as new teachers; and
                          (iv) the preparation described in 
                        subparagraphs (A), (B), and (C) of 
                        subsection (d)(2).
          (2) Teaching residency programs.--
                  (A) Establishment and design.--A teaching 
                residency program under this subsection shall 
                be a program based upon models of successful 
                teaching residencies that serves as a mechanism 
                to prepare teachers for success in the high-
                need schools in the eligible partnership, and 
                shall be designed to include the following 
                characteristics of successful programs:
                          (i) The integration of pedagogy, 
                        classroom practice, and teacher 
                        mentoring.
                          (ii) Engagement of teaching residents 
                        in rigorous graduate-level course work 
                        to earn a master's degree while 
                        undertaking a guided teaching 
                        apprenticeship.
                          (iii) Experience and learning 
                        opportunities alongside a trained and 
                        experienced mentor teacher--
                                  (I) whose teaching shall 
                                complement the residency 
                                program so that classroom 
                                clinical practice is tightly 
                                aligned with course work;
                                  (II) who shall have extra 
                                responsibilities as a teacher 
                                leader of the teaching 
                                residency program, as a mentor 
                                for residents, and as a teacher 
                                coach during the induction 
                                program for novice teachers, 
                                and for establishing, within 
                                the program, a learning 
                                community in which all 
                                individuals are expected to 
                                continually improve their 
                                capacity to advance student 
                                learning; and
                                  (III) who may have full 
                                relief from teaching duties as 
                                a result of such additional 
                                responsibilities.
                          (iv) The establishment of clear 
                        criteria for the selection of mentor 
                        teachers based on measures of teacher 
                        effectiveness and the appropriate 
                        subject area knowledge. Evaluation of 
                        teacher effectiveness shall be based on 
                        observations of such domains of 
                        teaching as the following:
                                  (I) Planning and preparation, 
                                including demonstrated 
                                knowledge of content, pedagogy, 
                                and assessment, including the 
                                use of formative assessments to 
                                improve student learning.
                                  (II) Appropriate instruction 
                                that engages students with 
                                different learning styles, 
                                including students with 
                                disabilities.
                                  (III) Collaboration with 
                                colleagues to improve 
                                instruction.
                                  (IV) Analysis of gains in 
                                student learning, based on 
                                multiple measures, that, when 
                                feasible, may include valid and 
                                reliable objective measures of 
                                the influence of teachers on 
                                the rate of student academic 
                                progress.
                                  (V) In the case of mentor 
                                candidates who will be 
                                mentoring current or future 
                                literacy and mathematics 
                                coaches or instructors, 
                                appropriate skills in the 
                                essential components of reading 
                                instruction, teacher training 
                                in literacy instructional 
                                strategies across core subject 
                                areas, and teacher training in 
                                mathematics instructional 
                                strategies, as appropriate.
                          (v) Grouping of teaching residents in 
                        cohorts to facilitate professional 
                        collaboration among such residents.
                          (vi) The development of admissions 
                        goals and priorities aligned with the 
                        hiring objectives of the local 
                        educational agency partnering with the 
                        program, as well as the instructional 
                        initiatives and curriculum of the 
                        agency, in exchange for a commitment by 
                        the agency to hire graduates from the 
                        teaching residency program.
                          (vii) Support for residents, once the 
                        teaching residents are hired as 
                        teachers of record, through an 
                        induction program, professional 
                        development, and networking 
                        opportunities to support the residents 
                        through not less than the residents' 
                        first 2 years of teaching.
                          (viii) Admission goals and priorities 
                        which may include consideration of 
                        applicants who reflect the communities 
                        in which they will teach as well as 
                        consideration of individuals from 
                        underrepresented populations in the 
                        teaching profession.
                  (B) Selection of individuals as teacher 
                residents.--
                          (i) Eligible individual.--In order to 
                        be eligible to be a teacher resident in 
                        a teaching residency program under this 
                        subsection, an individual shall--
                                  (I) be a recent graduate of a 
                                4-year institution of higher 
                                education or a mid-career 
                                professional from outside the 
                                field of education possessing 
                                strong content knowledge or a 
                                record of professional 
                                accomplishment; and
                                  (II) submit an application to 
                                the teaching residency program.
                          (ii) Selection criteria.--An eligible 
                        partnership carrying out a teaching 
                        residency program under this subsection 
                        shall establish criteria for the 
                        selection of eligible individuals to 
                        participate in the teaching residency 
                        program based on the following 
                        characteristics:
                                  (I) Strong content knowledge 
                                or record of accomplishment in 
                                the field or subject area to be 
                                taught.
                                  (II) Strong verbal and 
                                written communication skills, 
                                which may be demonstrated by 
                                performance on appropriate 
                                tests.
                                  (III) Other attributes linked 
                                to effective teaching, which 
                                may be determined by interviews 
                                or performance assessments, as 
                                specified by the eligible 
                                partnership.
                  (C) Stipend and service requirement.--
                          (i) Stipend.--A teaching residency 
                        program under this paragraph shall 
                        provide a 1-year living stipend or 
                        salary to teaching residents during the 
                        1-year teaching residency program.
                          (ii) Service requirement.--As a 
                        condition of receiving a stipend under 
                        this subparagraph, a teaching resident 
                        shall agree to teach in a high-need 
                        school served by the high-need local 
                        educational agency in the eligible 
                        partnership for a period of 3 or more 
                        years after completing the 1-year 
                        teaching residency program.
                          (iii) Repayment.--If a teaching 
                        resident who received a stipend under 
                        this subparagraph does not complete the 
                        service requirement described in clause 
                        (ii), such individual shall repay to 
                        the high-need local educational agency 
                        a pro rata portion of the stipend 
                        amount for the amount of teaching time 
                        that the individual did not complete.
  (f) Partnership Grants for the Development of Leadership 
Programs.--
          (1) In general.--An eligible partnership receiving a 
        grant to carry out an effective leadership program 
        shall carry out a program that includes all of the 
        following activities:
                  (A) Preparing students currently enrolled or 
                preparing to enroll in education administration 
                programs in preparation for careers as 
                superintendents, principals, or other school 
                administrators (including students preparing to 
                work in rural school districts who may perform 
                multiple duties in addition to the role of 
                administrator).
                  (B) Promoting strong administrative skills 
                and, as applicable, techniques for education 
                administrators to improve the school 
                environment and effectively manage schools.
                  (C) Ensuring that students who participate in 
                the leadership program receive--
                          (i) effective pre-service preparation 
                        as described in subparagraph (D); and
                          (ii) mentoring by educational 
                        administrators.
                  (D) Developing and improving a sustained and 
                high-quality pre-service clinical education 
                program to further develop the leadership 
                skills of all prospective educational 
                administrators involved in the program. Such 
                program shall do the following:
                          (i) Incorporate year-long 
                        opportunities for enrichment activity 
                        or a combination of activities, 
                        including--
                                  (I) clinical learning in 
                                high-need schools served by the 
                                high-need local educational 
                                agency in the eligible 
                                partnership and identified by 
                                the eligible partnership; and
                                  (II) closely supervised 
                                interaction between faculty and 
                                new and experienced teachers, 
                                principals, and other 
                                administrators in high-need 
                                schools served by the high-need 
                                local educational agency in the 
                                eligible partnership and 
                                identified by the eligible 
                                partnership.
                          (ii) Integrate pedagogy and practice 
                        and promote effective administrative 
                        skills for meeting the unique needs of 
                        rural and geographically isolated 
                        communities.
                          (iii) Educational administrator 
                        mentoring.
                  (E) Creating an induction program for new 
                administrators.
                  (F) Developing and implementing effective 
                mechanisms to ensure that the eligible 
                partnership is able to recruit qualified 
                individuals to become educational 
                administrators through the activities of the 
                eligible partnership, which may include an 
                emphasis on recruiting into the education 
                administration profession--
                          (i) underrepresented populations;
                          (ii) individuals to serve as 
                        superintendents, principals, or other 
                        school administrators in rural and 
                        geographically isolated communities and 
                        shortage areas designated by the 
                        Secretary; or
                          (iii) mid-career professionals from 
                        other occupations, former military 
                        personnel, and recent college graduates 
                        with proven records of academic 
                        distinction.
          (2) Selection of individuals for the leadership 
        program.--In order to be eligible for the leadership 
        program under this subsection, an individual shall--
                  (A) be enrolled in or preparing to enroll in 
                an institution of higher education, or a recent 
                graduate of an institution of higher education, 
                or a mid-career professional from outside the 
                field of education possessing strong content 
                knowledge or a record of professional 
                accomplishment;
                  (B) be current teachers who would like to 
                become principals or principals who would like 
                to be superintendents; and
                  (C) submit an application to the leadership 
                program.
  (g) Consultation.--
          (1) In general.--Members of an eligible partnership 
        that receives a grant under this section shall engage 
        in regular consultation throughout the development and 
        implementation of programs and activities under this 
        section.
          (2) Regular communication.--To ensure timely and 
        meaningful consultation, regular communication shall 
        occur among all members of the eligible partnership, 
        including the high-need local educational agency. Such 
        communication shall continue throughout the 
        implementation of the grant and the assessment of 
        programs and activities under this section.
          (3) Written consent.--The Secretary may approve 
        changes in grant activities of a grant under this 
        section only if a written consent signed by all members 
        of the eligible partnership is submitted to the 
        Secretary.
  (h) Construction.--Nothing in this section shall be construed 
to prohibit an eligible partnership from using grant funds to 
coordinate with the activities of eligible partnerships in 
other States or on a regional basis through Governors, State 
boards of education, State educational agencies, State agencies 
responsible for early childhood education, local educational 
agencies, or State agencies for higher education.
  (i) Supplement, Not Supplant.--Funds made available to carry 
out this section shall be used to supplement, and not supplant, 
other Federal, State, and local funds that would otherwise be 
expended to carry out activities under this section.

SEC. 203. ADMINISTRATIVE PROVISIONS.

  (a) Duration; Number of Awards; Payments.--
          (1) Duration.--A grant awarded under this part shall 
        be awarded for a period of 5 years.
          (2) Number of awards.--An eligible partnership may 
        not receive more than 1 grant during a 5-year period. 
        Nothing in this title shall be construed to prohibit an 
        individual member, that can demonstrate need, of an 
        eligible partnership that receives a grant under this 
        title from entering into another eligible partnership 
        consisting of new members and receiving a grant with 
        such other eligible partnership before the 5-year 
        period described in the preceding sentence applicable 
        to the eligible partnership with which the individual 
        member has first partnered has expired.
          (3) Payments.--The Secretary shall make annual 
        payments of grant funds awarded under this part.
  (b) Peer Review.--
          (1) Panel.--The Secretary shall provide the 
        applications submitted under this part to a peer review 
        panel for evaluation. With respect to each application, 
        the peer review panel shall initially recommend the 
        application for funding or for disapproval.
          (2) Priority.--In recommending applications to the 
        Secretary for funding under this part, the panel shall 
        give priority--
                  (A) to partnerships that include an 
                institution of higher education whose teacher 
                preparation program has a rigorous selection 
                process to ensure the highest quality of 
                students entering such programs; and
                  (B)(i) to applications from broad-based 
                eligible partnerships that involve businesses 
                and community organizations; or
                  (ii) to eligible partnerships so that the 
                awards promote an equitable geographic 
                distribution of grants among rural and urban 
                areas.
          (3) Secretarial selection.--The Secretary shall 
        determine, based on the peer review process, which 
        applications shall receive funding and the amounts of 
        the grants. In determining the grant amount, the 
        Secretary shall take into account the total amount of 
        funds available for all grants under this part and the 
        types of activities proposed to be carried out by the 
        eligible partnership.
  (c) Matching Requirements.--
          (1) In general.--Each eligible partnership receiving 
        a grant under this part shall provide, from non-Federal 
        sources, an amount equal to 100 percent of the amount 
        of the grant, which may be provided in cash or in-kind, 
        to carry out the activities supported by the grant.
          (2) Waiver.--The Secretary may waive all or part of 
        the matching requirement described in paragraph (1) for 
        any fiscal year for an eligible partnership, if the 
        Secretary determines that applying the matching 
        requirement to the eligible partnership would result in 
        serious hardship or an inability to carry out the 
        authorized activities described in this part.
  (d) Limitation on Administrative Expenses.--An eligible 
partnership that receives a grant under this part may use not 
more than 2 percent of the grant funds for purposes of 
administering the grant.

SEC. 204. ACCOUNTABILITY AND EVALUATION.

  (a) Eligible Partnership Evaluation.--Each eligible 
partnership submitting an application for a grant under this 
part shall establish and include in such application an 
evaluation plan that includes strong performance objectives. 
The plan shall include objectives and measures for increasing--
          (1) student achievement for all students as measured 
        by the eligible partnership;
          (2) teacher retention in the first 3 years of a 
        teacher's career;
          (3) improvement in the pass rates and scaled scores 
        for initial State certification or licensure of 
        teachers; and
          (4)(A) the percentage of highly qualified teachers 
        hired by the high-need local educational agency 
        participating in the eligible partnership;
          (B) the percentage of such teachers who are members 
        of underrepresented groups;
          (C) the percentage of such teachers who teach high-
        need academic subject areas (such as reading, 
        mathematics, science, and foreign languages, including 
        less commonly taught languages and critical foreign 
        languages);
          (D) the percentage of such teachers who teach in 
        high-need areas (including special education, language 
        instruction educational programs for limited English 
        proficient students, and early childhood education);
          (E) the percentage of such teachers in high-need 
        schools, disaggregated by the elementary, middle, and 
        high school levels;
          (F) as applicable, the percentage of early childhood 
        education program classes in the geographic area served 
        by the eligible partnership taught by early childhood 
        educators who are highly competent; and
          (G) as applicable, the number of teachers trained 
        effectively to integrate technology into curricula and 
        instruction and who use technology to collect, manage, 
        and analyze data to improve teaching, learning, and 
        decision making for the purpose of improving student 
        academic achievement.
  (b) Information.--An eligible partnership receiving a grant 
under this part shall ensure that teachers, principals, school 
superintendents, and faculty and leadership at institutions of 
higher education located in the geographic areas served by the 
eligible partnership are provided information about the 
activities carried out with funds under this part, including 
through electronic means.
  (c) Revocation of Grant.--If the Secretary determines that an 
eligible partnership receiving a grant under this part is not 
making substantial progress in meeting the purposes, goals, 
objectives, and measures, as appropriate, of the grant by the 
end of the third year of a grant under this part, then the 
Secretary shall require such eligible partnership to submit a 
revised application that identifies the steps the partnership 
will take to make substantial progress to meet the purposes, 
goals, objectives, and measures, as appropriate, of this part.
  (d) Evaluation and Dissemination.--The Secretary shall 
evaluate the activities funded under this part and report the 
findings regarding the evaluation of such activities to the 
authorizing committees. The Secretary shall broadly 
disseminate--
          (1) successful practices developed by eligible 
        partnerships under this part; and
          (2) information regarding such practices that were 
        found to be ineffective.

SEC. 205. ACCOUNTABILITY FOR PROGRAMS THAT PREPARE TEACHERS.

  (a) Institutional and Program Report Cards on the Quality of 
Teacher Preparation.--
          (1) Report card.--Each institution of higher 
        education that conducts a traditional teacher 
        preparation program or alternative routes to State 
        certification or licensure program and that enrolls 
        students receiving Federal assistance under this Act 
        shall report annually to the State and the general 
        public, in a uniform and comprehensible manner that 
        conforms with the definitions and methods established 
        by the Secretary, both for traditional teacher 
        preparation programs and alternative routes to State 
        certification or licensure programs, the following 
        information:
                  (A) Pass rates and scaled scores.--For the 
                most recent year for which the information is 
                available for those students who took the 
                assessments and are enrolled in the traditional 
                teacher preparation program or alternative 
                routes to State certification or licensure 
                program, and for those who have taken the 
                assessments and have completed the traditional 
                teacher preparation program or alternative 
                routes to State certification or licensure 
                program during the 2-year period preceding such 
                year, for each of the assessments used for 
                teacher certification or licensure by the State 
                in which the program is located--
                          (i) the percentage of students who 
                        have completed 100 percent of the 
                        nonclinical course work and taken the 
                        assessment who pass such assessment;
                          (ii) the percentage of all such 
                        students who passed each such 
                        assessment;
                          (iii) the percentage of students 
                        taking an assessment who enrolled in 
                        and completed the teacher preparation 
                        program;
                          (iv) the average scaled score for all 
                        students who took each such assessment;
                          (v) a comparison of the program's 
                        pass rates with the average pass rates 
                        for programs in the State; and
                          (vi) a comparison of the program's 
                        average scaled scores with the average 
                        scaled scores for programs in the 
                        State.
                  (B) Program information.--The criteria for 
                admission into the program, the number of 
                students in the program (disaggregated by race, 
                ethnicity, and gender), the average number of 
                hours of supervised clinical experience 
                required for those in the program, the number 
                of full-time equivalent faculty and students in 
                the supervised clinical experience, and the 
                total number of students who have been 
                certified or licensed as teachers, 
                disaggregated by subject and area of 
                certification or licensure.
                  (C) Statement.--In States that require 
                approval or accreditation of teacher 
                preparation programs, a statement of whether 
                the institution's program is so approved or 
                accredited, and by whom.
                  (D) Designation as low-performing.--Whether 
                the program has been designated as low-
                performing by the State under section 208(a).
                  (E) Use of technology.--A description of the 
                activities that prepare teachers to effectively 
                integrate technology into curricula and 
                instruction and effectively use technology to 
                collect, manage, and analyze data in order to 
                improve teaching, learning, and decision making 
                for the purpose of increasing student academic 
                achievement.
                  (F) Teacher training.--A description of the 
                activities that prepare general and special 
                education teachers to effectively teach 
                students with disabilities, including training 
                related to participation as a member of 
                individualized education program teams, as 
                defined in section 614(d)(1)(B) of the 
                Individuals with Disabilities Education Act, 
                and to effectively teach students with limited 
                English proficiency.
          (2) Report.--Each eligible partnership receiving a 
        grant under section 202 shall report annually on the 
        progress of the eligible partnership toward meeting the 
        purposes of this part and the objectives and measures 
        described in section 204(a).
          (3) Fines.--The Secretary may impose a fine not to 
        exceed $25,000 on an institution of higher education 
        for failure to provide the information described in 
        this subsection in a timely or accurate manner.
          (4) Special rule.--In the case of an institution of 
        higher education that conducts a traditional teacher 
        preparation program or alternative routes to State 
        certification or licensure program and has fewer than 
        10 scores reported on any single initial teacher 
        certification or licensure assessment during an 
        academic year, the institution shall collect and 
        publish information, as required under paragraph 
        (1)(A), with respect to an average pass rate and scaled 
        score on each State certification or licensure 
        assessment taken over a 3-year period.
  (b) State Report Card on the Quality of Teacher 
Preparation.--
          (1) In general.--Each State that receives funds under 
        this Act shall provide to the Secretary, annually, in a 
        uniform and comprehensible manner that conforms with 
        the definitions and methods established by the 
        Secretary, a State report card on the quality of 
        teacher preparation in the State, both for traditional 
        teacher preparation programs and for alternative routes 
        to State certification or licensure programs, which 
        shall include not less than the following:
                  (A) A description of the reliability and 
                validity of the teacher certification and 
                licensure assessments, and any other 
                certification and licensure requirements, used 
                by the State.
                  (B) The standards and criteria that 
                prospective teachers must meet to attain 
                initial teacher certification or licensure and 
                to be certified or licensed to teach particular 
                academic subject areas or in particular grades 
                within the State.
                  (C) A description of how the assessments and 
                requirements described in subparagraph (A) are 
                aligned with the State's challenging academic 
                content standards required under section 
                1111(b)(1) of the Elementary and Secondary 
                Education Act of 1965 and State early learning 
                standards for early childhood education 
                programs.
                  (D) For each of the assessments used by the 
                State for teacher certification or licensure--
                          (i) for each institution of higher 
                        education located in the State and each 
                        entity located in the State that offers 
                        an alternative route for teacher 
                        certification or licensure, the 
                        percentage of students at such 
                        institution or entity who have 
                        completed 100 percent of the 
                        nonclinical course work and taken the 
                        assessment who pass such assessment;
                          (ii) the percentage of all such 
                        students at all such institutions 
                        taking the assessment who pass such 
                        assessment; and
                          (iii) the percentage of students 
                        taking an assessment who enrolled in 
                        and completed the teacher preparation 
                        program.
                  (E) A description of alternative routes to 
                teacher certification or licensure in the State 
                (including any such routes operated by entities 
                that are not institutions of higher education), 
                if any, including, for each of the assessments 
                used by the State for teacher certification or 
                licensure--
                          (i) the percentage of individuals 
                        participating in such routes, or who 
                        have completed such routes during the 
                        2-year period preceding the date of the 
                        determination, who passed each such 
                        assessment; and
                          (ii) the average scaled score of 
                        individuals participating in such 
                        routes, or who have completed such 
                        routes during the period preceding the 
                        date of the determination, who took 
                        each such assessment.
                  (F) A description of the State's criteria for 
                assessing the performance of teacher 
                preparation programs within institutions of 
                higher education in the State. Such criteria 
                shall include indicators of the academic 
                content knowledge and teaching skills of 
                students enrolled in such programs.
                  (G) For each teacher preparation program in 
                the State, the criteria for admission into the 
                program, the number of students in the program, 
                disaggregated by race, ethnicity, and gender 
                (except that such disaggregation shall not be 
                required in a case in which the number of 
                students in a category is insufficient to yield 
                statistically reliable information or the 
                results would reveal personally identifiable 
                information about an individual student), the 
                average number of hours of supervised clinical 
                experience required for those in the program, 
                and the number of full-time equivalent faculty, 
                adjunct faculty, and students in supervised 
                clinical experience.
                  (H) For the State as a whole, and for each 
                teacher preparation program in the State, the 
                number of teachers prepared, in the aggregate 
                and reported separately by--
                          (i) area of certification or 
                        licensure;
                          (ii) academic major; and
                          (iii) subject area for which the 
                        teacher has been prepared to teach.
                  (I) Using the data generated under 
                subparagraphs (G) and (H), a description of the 
                extent to which teacher preparation programs 
                are helping to address shortages of highly 
                qualified teachers, by area of certification or 
                licensure, subject, and specialty, in the 
                State's public schools.
                  (J) A description of the activities that 
                prepare general and special education teachers 
                to effectively teach students with 
                disabilities, including training related to 
                participation as a member of individualized 
                education program teams, as defined in section 
                614(d)(1)(B) of the Individuals with 
                Disabilities Education Act.
                  (K) A description of the activities that 
                prepare teachers to effectively integrate 
                technology into curricula and instruction and 
                effectively use technology to collect, manage, 
                and analyze data to improve teaching, learning, 
                and decision making for the purpose of 
                increasing student academic achievement.
                  (L) A description of the activities that 
                prepare general education and special education 
                teachers to effectively teach students with 
                limited English proficiency.
          (2) Prohibition against creating a national list.--
        The Secretary shall not create a national list or 
        ranking of States, institutions, or schools using the 
        scaled scores provided under this subsection.
  (c) Data Quality.--The Secretary shall prescribe regulations 
requiring practices and procedures to ensure the reliability, 
validity, integrity, and accuracy of the data submitted 
pursuant to this section.
  (d) Report of the Secretary on the Quality of Teacher 
Preparation.--
          (1) Report card.--The Secretary shall provide to 
        Congress, and publish and make widely available, a 
        report card on teacher qualifications and preparation 
        in the United States, including all the information 
        reported in subparagraphs (A) through (L) of subsection 
        (b)(1). Such report shall identify States for which 
        eligible partnerships received a grant under this part. 
        Such report shall be so provided, published, and made 
        available annually.
          (2) Report to congress.--The Secretary shall prepare 
        and submit a report to Congress that contains the 
        following:
                  (A) A comparison of States' efforts to 
                improve the quality of the current and future 
                teaching force.
                  (B) A comparison of eligible partnerships' 
                efforts to improve the quality of the current 
                and future teaching force.
                  (C) The national mean and median scaled 
                scores and pass rate on any standardized test 
                that is used in more than 1 State for teacher 
                certification or licensure.
          (3) Special rule.--In the case of a teacher 
        preparation program with fewer than 10 scores reported 
        on any single initial teacher certification or 
        licensure assessment during an academic year, the 
        Secretary shall collect and publish information, and 
        make publicly available, with respect to an average 
        pass rate and scaled score on each State certification 
        or licensure assessment taken over a 3-year period.
  (e) Coordination.--The Secretary, to the extent practicable, 
shall coordinate the information collected and published under 
this part among States for individuals who took State teacher 
certification or licensure assessments in a State other than 
the State in which the individual received the individual's 
most recent degree.

SEC. 206. TEACHER DEVELOPMENT.

  (a) Annual Goals.--As a condition of receiving assistance 
under title IV, each institution of higher education that 
conducts a traditional teacher preparation program (including 
programs that offer any ongoing professional development 
programs) or alternative routes to State certification or 
licensure program, and that enrolls students receiving Federal 
assistance under this Act, shall set annual quantifiable goals 
for--
          (1) increasing the number of prospective teachers 
        trained in teacher shortage areas designated by the 
        Secretary, including mathematics, science, special 
        education, and instruction of limited English 
        proficient students; and
          (2) more closely linking the training provided by the 
        institution with the needs of schools and the 
        instructional decisions new teachers face in the 
        classroom.
  (b) Assurance.--As a condition of receiving assistance under 
title IV, each institution described in subsection (a) shall 
provide an assurance to the Secretary that--
          (1) training provided to prospective teachers 
        responds to the identified needs of the local 
        educational agencies or States where the institution's 
        graduates are likely to teach, based on past hiring and 
        recruitment trends;
          (2) prospective special education teachers receive 
        course work in core academic subjects and receive 
        training in providing instruction in core academic 
        subjects;
          (3) general education teachers receive training in 
        providing instruction to diverse populations, including 
        children with disabilities, limited English proficient 
        students, and children from low-income families; and
          (4) prospective teachers receive training on how to 
        effectively teach in urban and rural schools.
  (c) Public Reporting.--As part of the annual report card 
required under section 205(a)(1), an institution of higher 
education described in subsection (a) shall publicly report 
whether the goals established under such subsection have been 
met.

SEC. 207. STATE FUNCTIONS.

  (a) State Assessment.--In order to receive funds under this 
Act, a State shall have in place a procedure to conduct an 
assessment to identify and assist, through the provision of 
technical assistance, low-performing programs of teacher 
preparation. Such State shall provide the Secretary an annual 
list of such low-performing teacher preparation programs that 
includes an identification of those programs at risk of being 
placed on such list. Such assessment shall be described in the 
report under section 205(b). Levels of performance shall be 
determined solely by the State and may include criteria based 
on information collected pursuant to this part including 
progress in meeting the goals of--
          (1) increasing the percentage of highly qualified 
        teachers in the State, including increasing 
        professional development opportunities;
          (2) improving student achievement for all students; 
        and
          (3) raising the standards for entry into the teaching 
        profession.
  (b) Termination of Eligibility.--Any program of teacher 
preparation from which the State has withdrawn the State's 
approval, or terminated the State's financial support, due to 
the low performance of the program based upon the State 
assessment described in subsection (a)--
          (1) shall be ineligible for any funding for 
        professional development activities awarded by the 
        Department;
          (2) shall not be permitted to accept or enroll any 
        student that receives aid under title IV in the 
        institution's teacher preparation program; and
          (3) shall provide transitional support, including 
        remedial services if necessary, for students enrolled 
        at the institution at the time of termination of 
        financial support or withdrawal of approval.
  (c) Negotiated Rulemaking.--If the Secretary develops any 
regulations implementing subsection (b)(2), the Secretary shall 
submit such proposed regulations to a negotiated rulemaking 
process, which shall include representatives of States, 
institutions of higher education, and educational and student 
organizations.
  (d) Application of the Requirements.--The requirements of 
this section shall apply to both traditional teacher 
preparation programs and alternative routes to State 
certification and licensure programs.

SEC. 208. GENERAL PROVISIONS.

  (a) Methods.--In complying with sections 205 and 207, the 
Secretary shall ensure that States and institutions of higher 
education use fair and equitable methods in reporting and that 
the reporting methods do not allow identification of 
individuals.
  (b) Special Rule.--For each State that does not use content 
assessments as a means of ensuring that all teachers teaching 
in core academic subjects within the State are highly 
qualified, as required under section 1119 of the Elementary and 
Secondary Education Act of 1965 and in accordance with the 
State plan submitted or revised under section 1111 of such Act, 
or that each person employed as a special education teacher in 
the State who teaches elementary school, middle school, or 
secondary school is highly qualified by the deadline, as 
required under section 612(a)(14)(C) of the Individuals with 
Disabilities Education Act,--
          (1) the Secretary shall, to the extent practicable, 
        collect data comparable to the data required under this 
        part from States, local educational agencies, 
        institutions of higher education, or other entities 
        that administer such assessments to teachers or 
        prospective teachers; and
          (2) notwithstanding any other provision of this part, 
        the Secretary shall use such data to carry out 
        requirements of this part related to assessments, pass 
        rates, and scaled scores.
  (c) Release of Information to Teacher Preparation Programs.--
          (1) In general.--For the purpose of improving teacher 
        preparation programs, a State educational agency that 
        receives funds under this Act, or that participates as 
        a member of a partnership, consortium, or other entity 
        that receives such funds, shall provide to a teacher 
        preparation program, upon the request of the teacher 
        preparation program, any and all pertinent education-
        related information that--
                  (A) may enable the teacher preparation 
                program to evaluate the effectiveness of the 
                program's graduates or the program itself; and
                  (B) is possessed, controlled, or accessible 
                by the State educational agency.
          (2) Content of information.--The information 
        described in paragraph (1)--
                  (A) shall include an identification of 
                specific individuals who graduated from the 
                teacher preparation program to enable the 
                teacher preparation program to evaluate the 
                information provided to the program from the 
                State educational agency with the program's own 
                data about the specific courses taken by, and 
                field experiences of, the individual graduates; 
                and
                  (B) may include--
                          (i) kindergarten through grade 12 
                        academic achievement and demographic 
                        data, without revealing personally 
                        identifiable information about an 
                        individual student, for students who 
                        have been taught by graduates of the 
                        teacher preparation program; and
                          (ii) teacher effectiveness 
                        evaluations for teachers who graduated 
                        from the teacher preparation program.
  (d) Limitations.--
          (1) Federal control prohibited.--Nothing in this part 
        shall be construed to permit, allow, encourage, or 
        authorize any Federal control over any aspect of any 
        private, religious, or home school (whether or not a 
        home school is treated as a private school or home 
        school under State law). This section shall not be 
        construed to prohibit private, religious, or home 
        schools from participation in programs or services 
        under this part.
          (2) No change in state control encouraged or 
        required.--Nothing in this part shall be construed to 
        encourage or require any change in a State's treatment 
        of any private, religious, or home school (whether or 
        not a home school is treated as a private school or 
        home school under State law).
          (3) National system of teacher certification 
        prohibited.--Nothing in this part shall be construed to 
        permit, allow, encourage, or authorize the Secretary to 
        establish or support any national system of teacher 
        certification.

SEC. 209. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part $300,000,000 for fiscal year 2009 and such sums as may be 
necessary for each of the 2 succeeding fiscal years.

          PART B--PREPARING TEACHERS FOR DIGITAL AGE LEARNERS

SEC. 221. PROGRAM AUTHORIZED.

  (a) Program Authority.--The Secretary is authorized to award 
grants to, or enter into contracts or cooperative agreements 
with, eligible consortia to pay the Federal share of the costs 
of projects to--
          (1) graduate teacher candidates who are prepared to 
        use modern information, communication, and learning 
        tools to--
                  (A) improve student learning, assessment, and 
                learning management; and
                  (B) help students develop skills to enter the 
                workforce;
          (2) strengthen and develop partnerships among the 
        stakeholders in teacher preparation to transform 
        teacher education and ensure technology rich learning 
        environments throughout a teacher candidate's pre-
        service education, including clinical experiences; and
          (3) assess the effectiveness of departments, schools, 
        and colleges of education at institutions of higher 
        education in preparing teacher candidates for 
        successful implementation of technology-rich teaching-
        learning environments that enable kindergarten through 
        grade 12 students to develop skills to enter the 
        workforce.
  (b) Amount and Duration.--A grant, contract, or cooperative 
agreement under this part--
          (1) shall be for not more than $2,000,000;
          (2) shall be for a 3-year period; and
          (3) may be renewed for one additional year.
  (c) Non-Federal Share Requirement.--The Federal share of the 
cost of any project funded under this part shall not exceed 75 
percent. The non-Federal share of the cost of such project may 
be provided in cash or in kind, fairly evaluated, including 
services.
  (d) Definition of Eligible Consortium.--In this part, the 
term ``eligible consortium'' means a consortium of members that 
includes the following:
          (1) At least one institution of higher education that 
        awards baccalaureate degrees and prepares teachers for 
        initial entry into teaching.
          (2) At least one State educational agency or local 
        educational agency.
          (3) A department, school, or college of education at 
        an institution of higher education.
          (4) A department, school, or college of arts and 
        sciences at an institution of higher education.
          (5) At least one entity with the capacity to 
        contribute to the technology-related reform of teacher 
        preparation programs, which may be a professional 
        association, foundation, museum, library, for-profit 
        business, public or private nonprofit organization, 
        community-based organization, or other entity.

SEC. 222. USES OF FUNDS.

  (a) In General.--An eligible consortium that receives a grant 
or enters into a contract or cooperative agreement under this 
part shall use funds made available under this part to carry 
out a project that--
          (1) develops long-term partnerships among members of 
        the consortium that are focused on effective teaching 
        with modern digital tools and content that 
        substantially connect pre-service preparation of 
        teacher candidates with high-needs schools; or
          (2) transforms the way departments, schools, and 
        colleges of education teach classroom technology 
        integration, including the principles of universal 
        design, to teacher candidates.
  (b) Uses of Funds for Partnership Grants.--In carrying out a 
project under subsection (a)(1), an eligible consortium shall--
          (1) provide teacher candidates, early in their 
        preparation, with field experiences in educational 
        settings with technology;
          (2) build the skills of teacher candidates to support 
        technology-rich instruction, assessment and learning 
        management in content areas, technology literacy, an 
        understanding of the principles of universal design, 
        and the development of other skills for entering the 
        workforce;
          (3) provide professional technology development for 
        teachers, administrators, and content specialists who 
        participate in field placement;
          (4) provide professional development of technology 
        pedagogical skills for faculty of departments, schools, 
        and colleges of education and arts and sciences;
          (5) implement strategies for the mentoring of teacher 
        candidates with respect to technology implementation by 
        members of the consortium;
          (6) evaluate teacher candidates during the first 
        years of teaching to fully assess outcomes of the 
        project;
          (7) build collaborative learning communities for 
        technology integration within the consortium to sustain 
        meaningful applications of technology in the classroom 
        during teacher preparation and early career practice; 
        and
          (8) evaluate the effectiveness of the project.
  (c) Uses of Funds for Transformation Grants.--In carrying out 
a project under subsection (a)(2), an eligible consortium 
shall--
          (1) redesign curriculum to require collaboration 
        between the department, school, or college of education 
        faculty and the department, school, or college of arts 
        and sciences faculty who teach content or methods 
        courses for training teacher candidates;
          (2) collaborate between the department, school, or 
        college of education faculty and the department, 
        school, or college of arts and science faculty and 
        academic content specialists at the local educational 
        agency to educate pre-service teachers who can 
        integrate technology and pedagogical skills in content 
        areas;
          (3) collaborate between the department, school, or 
        college of education faculty and the department, 
        school, or college of arts and sciences faculty who 
        teach courses to pre-service teachers to--
                  (A) develop and implement a plan for pre-
                service teachers and continuing educators that 
                demonstrates effective instructional strategies 
                and application of such strategies in the use 
                of digital tools to transform the teaching and 
                learning process; and
                  (B) better reach underrepresented pre-service 
                teacher populations with programs that connect 
                such pre-service teacher populations with 
                applications of technology;
          (4) collaborate among faculty and students to create 
        and disseminate case studies of technology applications 
        in classroom settings with a goal of improving student 
        achievement in high-need schools;
          (5) provide additional technology resources for pre-
        service teachers to plan and implement technology 
        applications in classroom settings that provide 
        evidence of student learning; and
          (6) bring together expertise from departments, 
        schools, or colleges of education, arts and science 
        faculty, and academic content specialists at the local 
        educational agency to share and disseminate technology 
        applications in the classroom through teacher 
        preparation and into early career practice.

SEC. 223. APPLICATION REQUIREMENTS.

  To be eligible to receive a grant or enter into a contract or 
cooperative agreement under this part, an eligible consortium 
shall submit an application to the Secretary at such time, in 
such manner, and containing such information as the Secretary 
may require. Such application shall include the following:
          (1) A description of the project to be carried out 
        with the grant, including how the project will--
                  (A) develop a long-term partnership focused 
                on effective teaching with modern digital tools 
                and content that substantially connects pre-
                service preparation of teacher candidates with 
                high-need schools; or
                  (B) transform the way departments, schools, 
                and colleges of education teach classroom 
                technology integration, including the 
                principles of universal design, to teacher 
                candidates.
          (2) A demonstration of--
                  (A) the commitment, including the financial 
                commitment, of each of the members of the 
                consortium for the proposed project; and
                  (B) the support of the leadership of each 
                organization that is a member of the consortium 
                for the proposed project.
          (3) A description of how each member of the 
        consortium will participate in the project.
          (4) A description of how the State or local 
        educational agency will incorporate the project into 
        the agency's technology plan, if such a plan already 
        exists.
          (5) A description of how the project will be 
        continued after Federal funds are no longer available 
        under this part for the project.
          (6) A plan for the evaluation of the project, which 
        shall include benchmarks to monitor progress toward 
        specific project objectives.

SEC. 224. EVALUATION.

  Not less than 10 percent of the funds awarded to an eligible 
consortium to carry out a project under this part shall be used 
to evaluate the effectiveness of such project.

SEC. 225. AUTHORIZATION OF APPROPRIATIONS.

  There is authorized to be appropriated $100,000,000 to carry 
out this part for fiscal year 2009 and such sums as may be 
necessary for each of the 2 succeeding fiscal years.

                  PART C--ENHANCING TEACHER EDUCATION

SEC. 240. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part such sums as may be necessary for fiscal year 2009 and 
each of the 4 succeeding fiscal years.

 Subpart 1--Recruiting Teachers with Math, Science, or Language Majors

SEC. 241. PROGRAM AUTHORIZED.

  (a) Grants Authorized.--From the amounts appropriated under 
section 240, the Secretary shall make competitive grants to 
institutions of higher education to improve the availability, 
recruitment, and retention of teachers from among students 
majoring in mathematics, science, foreign languages, special 
education, or teaching the English language to students who are 
limited English proficient, or to a combination of students 
majoring in such subjects. In making such grants, the Secretary 
shall give priority to institutions of higher education with 
programs that--
          (1) focus on preparing and retaining teachers in 
        subjects in which there is a shortage of highly 
        qualified teachers and that prepare students to teach 
        in high-need schools; and
          (2) include plans to seek matching funds from other 
        governmental and non-governmental sources.
  (b) Application.--Any institution of higher education 
desiring to receive a grant under this subpart shall submit to 
the Secretary an application at such time, in such form, and 
containing such information and assurances as the Secretary may 
require, including--
          (1) the number of students who graduated from the 
        institution in the preceding year with the 
        qualifications necessary to be teachers with expertise 
        in mathematics, science, a foreign language, special 
        education, or teaching limited English proficient 
        individuals; and
          (2) a goal and timeline for increasing the number of 
        such teachers who graduate from the institution.
  (c) Use of Funds.--Grant funds made available under this 
subpart--
          (1) shall be used to create and provide new 
        recruitment incentives to encourage students who are 
        planning to pursue other careers to pursue careers in 
        teaching, with an emphasis on recruiting students who 
        are majoring in high-need subjects such as mathematics, 
        science, foreign languages, and special education, and 
        areas relevant to teaching the English language to 
        students who are limited English proficient;
          (2) may be used to upgrade curriculum to provide all 
        students studying to become teachers with high-quality 
        instructional strategies for teaching reading and 
        teaching the English language to students who are 
        limited English proficient, and for adopting, 
        modifying, and differentiating instruction to teach 
        students with disabilities;
          (3) may be used to integrate department, school, or 
        college of education faculty with other arts and 
        science faculty in mathematics, science, foreign 
        languages, special education, and teaching the English 
        language to students who are limited English proficient 
        through steps such as--
                  (A) dual appointments for faculty between 
                departments, schools, or colleges of education 
                and departments, schools, or colleges of arts 
                and science; and
                  (B) integrating course work with clinical 
                experience;
          (4) may be used to develop strategic plans between 
        departments, schools, or colleges of education and 
        local school districts to better prepare teachers for 
        high-need schools, including the creation of 
        professional development partnerships for training new 
        teachers in state-of-the-art teaching practices; and
          (5) may be used to develop or enhance programs aimed 
        at retaining teachers in high-need subjects such as 
        mathematics, science, foreign languages, special 
        education, and teaching the English language to 
        students who are limited English proficient, and may 
        include providing scholarship assistance to current 
        teachers to upgrade their skills.

 Subpart 2--Community Colleges as Partners in Teacher Education Grants

SEC. 251. GRANTS TO COMMUNITY COLLEGES.

  (a) Program Authorized.--The Secretary is authorized to award 
grants, on a competitive basis, to eligible entities to assist 
such entities with--
          (1) establishing or enhancing teacher education 
        programs at community colleges that--
                  (A) include content and pedagogical training; 
                and
                  (B) are aligned with 4-year college and 
                university teacher education programs to ensure 
                a seemless transition for students from 
                community colleges to 4-year institutions;
          (2) establishing or enhancing post baccalaureate 
        certification programs offered at community colleges;
          (3) developing and delivering a rigorous program of 
        study for students interested in a career in teaching; 
        and
          (4) developing and delivering professional 
        development for teachers to ensure their continued 
        education and professional growth.
  (b) Authorized Uses of Funds.--Grant funds provided under 
this subpart shall be used to carry out the activities 
described in subsection (a), and may be used to--
          (1) develop curriculum for teacher education programs 
        and post baccalaureate certification programs at 
        community colleges;
          (2) establish or enhance clinical experiences for 
        students in such teacher education programs and post 
        baccalaureate certification programs;
          (3) establish or enhance professional development 
        programs at community colleges that are available for 
        teachers;
          (4) develop new associate degree programs focused on 
        teacher preparation;
          (5) increase the alignment between community college 
        teacher education programs and 4-year college and 
        university teacher education programs, including 
        articulation agreements, common course numbering, and 
        joint admission programs;
          (6) recruit teacher candidates with the goal of 
        diversifying the teacher workforce;
          (7) prepare teachers for high-demand subject areas 
        including science, mathematics, technology, special 
        education, critical foreign languages, or the education 
        of limited English proficient individuals;
          (8) prepare teachers to teach in high-need schools;
          (9) increase coordination between teacher education 
        programs and departments, schools, or colleges of arts 
        and sciences;
          (10) encourage teacher education and post 
        baccalaureate programs at times and in formats designed 
        to make these programs more accessible to certain 
        student populations, including mid-career professionals 
        transitioning to teaching; and
          (11) carry out other activities that aim to ensure 
        that well-qualified individuals enter into the teaching 
        profession.
  (c) Eligible Entity.--For purposes of this subpart, the term 
``eligible entity'' means an individual community college (or 
district of community colleges), a consortia of community 
colleges, or a statewide community college system that, for the 
purposes of carrying out activities under this subpart, has 
entered into a partnership with--
          (1) a four-year institution of higher education with 
        a teacher education program, or a consortia of such 
        institutions; and
          (2) at least one of the following:
                  (A) The State agency that oversees teacher 
                preparation or higher education in the State.
                  (B) One or more local educational agencies.
                  (C) The State educational agency.
                  (D) A professional organization representing 
                teachers.
  (d) Application.--Each eligible entity desiring a grant under 
this subpart shall submit an application to the Secretary at 
such time, in such manner, and containing such information as 
the Secretary may require. Such application shall include--
          (1) an overview of the goals the eligible entity and 
        its partners plan to pursue upon receipt of a grant 
        under this subpart;
          (2) an identification of the institutions, agencies, 
        or organizations that have entered into a partnership 
        with the eligible entity to meet the requirements of 
        subsection (c);
          (3) a description of how the eligible entity and its 
        partners will work to ensure a seemless transition for 
        students from community college to 4-year institutions;
          (4) an assurance by the eligible entity that students 
        will be provided with intensive support services, which 
        may include mentoring, academic and career support, and 
        support for students who are transitioning, or have 
        transitioned, from the community college to the 4-year 
        institution; and
          (5) a description of the rigorous 2-year program of 
        study to be provided by the eligible entity, and a 
        description of how such program establishes a 
        foundation for students to enter into a qualified 
        teacher preparation program at a 4-year institution.
  (e) Priority.--In awarding grants under this subpart, the 
Secretary shall give priority to applications the goals of 
which are to--
          (1) increase the diversification of the teacher 
        workforce by enrolling and retaining students from 
        minority racial and ethnic backgrounds and others 
        underrepresented in the local education workforce;
          (2) prepare teachers for high-demand subject areas 
        including science, mathematics, technology, special 
        education, critical foreign languages, or the education 
        of limited English proficient individuals; or
          (3) prepare teachers to enter into high-need schools.

SEC. 252. DEFINITIONS.

  In this subpart:
          (1) Community college.--The term ``community 
        college'' has the same meaning given the term ``junior 
        or community college'' in section 313.
          (2) Four-year institution.--The term ``4-year 
        institution'' means an institution of higher education 
        (as defined in section 101(a)) that provides a 4-year 
        program of instruction for which the institution awards 
        a bachelor's degree.
          (3) Qualified teacher preparation program.--The term 
        ``qualified teacher preparation program'' means an 
        undergraduate program for students at an institution of 
        higher education that--
                  (A) encourages collaboration between faculty 
                in education and faculty in the relevant 
                subject areas including, sciences mathematics, 
                and foreign languages to pursue content 
                coordination for courses taken frequently by 
                students preparing to be teachers;
                  (B) offers support services, including 
                mentoring, exposure to and field experience in 
                the classroom prior to graduation, or other 
                practices, for students while they are in the 
                program, and after graduation while working as 
                teachers; and
                  (C) focuses on increasing the number of 
                teachers for high-demand subject areas.

     Subpart 3--Honorable Augustus F. Hawkins Centers of Excellence

SEC. 261. DEFINITIONS.

  In this subpart:
          (1) Eligible institution.--The term ``eligible 
        institution'' means--
                  (A) an institution of higher education that 
                has a teacher preparation program that is a 
                qualified teacher preparation program under 
                section 252, and that is--
                          (i) a part B institution (as defined 
                        in section 322);
                          (ii) a Hispanic-serving institution 
                        (as defined in section 502);
                          (iii) a Tribal College or University 
                        (as defined in section 316);
                          (iv) an Alaska Native-serving 
                        institution (as defined in section 
                        317(b));
                          (v) a Native Hawaiian-serving 
                        institution (as defined in section 
                        317(b));
                          (vi) a Predominantly Black 
                        Institution (as defined in section 
                        318(b));
                          (vii) an Asian American and Pacific 
                        Islander-serving institution (as 
                        defined in section 319(b)); or
                          (viii) a Native American-serving non-
                        tribal institution (as defined in 
                        section 320(b));
                  (B) a consortium of institutions described in 
                subparagraph (A); or
                  (C) an institution described in subparagraph 
                (A), or a consortium described in subparagraph 
                (B), in partnership with any other institution 
                of higher education, but only if the center of 
                excellence established under section 262 is 
                located at an institution described in 
                subparagraph (A).
          (2) Scientifically based reading research.--The term 
        ``scientifically based reading research'' has the 
        meaning given such term in section 1208 of the 
        Elementary and Secondary Education Act of 1965 (20 
        U.S.C. 6368).

SEC. 262. AUGUSTUS F. HAWKINS CENTERS OF EXCELLENCE.

  (a) Program Authorized.--From the amounts appropriated to 
carry out this part, the Secretary is authorized to award 
competitive grants to eligible institutions to establish 
centers of excellence.
  (b) Use of Funds.--Grants provided by the Secretary under 
this subpart shall be used to ensure that current and future 
teachers are highly qualified, by carrying out one or more of 
the following activities:
          (1) Implementing reforms within teacher preparation 
        programs to ensure that such programs are preparing 
        teachers who are highly qualified, are able to 
        understand scientifically valid research, and are able 
        to use advanced technology effectively in the 
        classroom, including use for instructional techniques 
        to improve student academic achievement, by--
                  (A) retraining or recruiting faculty; and
                  (B) designing (or redesigning) teacher 
                preparation programs that--
                          (i) prepare teachers to close student 
                        achievement gaps, and are based on 
                        rigorous academic content, 
                        scientifically valid research 
                        (including scientifically based reading 
                        research), and challenging State 
                        student academic content standards; and
                          (ii) promote strong teaching skills, 
                        as defined in section 200(b).
          (2) Providing sustained and high-quality pre-service 
        clinical experience, including the mentoring of 
        prospective teachers by exemplary teachers, 
        substantially increasing interaction between faculty at 
        institutions of higher education and new and 
        experienced teachers, principals, and other 
        administrators at elementary schools or secondary 
        schools, and providing support, including preparation 
        time, for such interaction.
          (3) Developing and implementing initiatives to 
        promote retention of highly qualified teachers and 
        principals, including minority teachers and principals, 
        including programs that provide--
                  (A) teacher or principal mentoring from 
                exemplary teachers or principals; or
                  (B) induction and support for teachers and 
                principals during their first 3 years of 
                employment as teachers or principals, 
                respectively.
          (4) Awarding scholarships based on financial need to 
        help students pay the costs of tuition, room, board, 
        and other expenses of completing a teacher preparation 
        program.
          (5) Disseminating information on effective practices 
        for teacher preparation and successful teacher 
        certification and licensure assessment preparation 
        strategies.
          (6) Activities authorized under section 202.
  (c) Application.--Any eligible institution desiring a grant 
under this subpart shall submit an application to the Secretary 
at such a time, in such a manner, and accompanied by such 
information as the Secretary may require.
  (d) Minimum Grant Amount.--The minimum amount of each grant 
under this subpart shall be $500,000.
  (e) Limitation on Administrative Expenses.--An eligible 
institution that receives a grant under this subpart may not 
use more than 2 percent of the grant funds for purposes of 
administering the grant.
  (f) Regulations.--The Secretary shall prescribe such 
regulations as may be necessary to carry out this subpart.

                      Subpart 4--Teach for America

SEC. 271. TEACH FOR AMERICA.

  (a) Definitions.--
          (1) Grantee.--The term ``grantee'' means Teach For 
        America, Inc.
          (2) High need.--Notwithstanding section 200(b), the 
        term ``high need'', when used with respect to a local 
        educational agency, means a local educational agency 
        experiencing a shortage of highly qualified teachers.
  (b) Grants Authorized.--The Secretary is authorized to award 
a grant to Teach For America, Inc., the national teacher corps 
of outstanding recent college graduates who commit to teach for 
2 years in underserved communities in the United States, to 
implement and expand its program of recruiting, selecting, 
training, and supporting new teachers.
  (c) Requirements.--In carrying out the grant program under 
subsection (b), the Secretary shall enter into an agreement 
with the grantee under which the grantee agrees to use the 
grant funds provided under this subpart to--
          (1) provide highly qualified teachers to high need 
        local educational agencies in urban and rural 
        communities;
          (2) pay the costs of recruiting, selecting, training, 
        and supporting new teachers; and
          (3) serve a substantial number and percentage of 
        underserved students.
  (d) Authorized Activities.--
          (1) In general.--Grant funds provided under this 
        subpart shall be used by the grantee to carry out each 
        of the following activities:
                  (A) Recruiting and selecting teachers through 
                a highly selective national process.
                  (B) Providing pre-service training to such 
                teachers through a rigorous summer institute 
                that includes hands-on teaching experience and 
                significant exposure to education course work 
                and theory.
                  (C) Placing such teachers in schools and 
                positions designated by high need local 
                educational agencies as high need placements 
                serving underserved students.
                  (D) Providing ongoing professional 
                development activities for such teachers' first 
                2 years in the classroom, including regular 
                classroom observations and feedback, and 
                ongoing training and support.
          (2) Limitation.--The grantee shall use all grant 
        funds received under this subpart to support activities 
        related directly to the recruitment, selection, 
        training, and support of teachers as described in 
        paragraph (1).
  (e) Reports and Evaluations.--
          (1) Annual report.--The grantee shall provide to the 
        Secretary an annual report that includes--
                  (A) data on the number and quality of the 
                teachers provided to local educational agencies 
                through a grant under this subpart;
                  (B) an externally conducted analysis of the 
                satisfaction of local educational agencies and 
                principals with the teachers so provided; and
                  (C) comprehensive data on the background of 
                the teachers chosen, the training such teachers 
                received, the placement sites of such teachers, 
                the professional development of such teachers, 
                and the retention of such teachers.
          (2) Study.--
                  (A) In general.--From funds appropriated 
                under section 240, the Secretary shall provide 
                for a study that examines the achievement 
                levels of the students taught by the teachers 
                assisted under this subpart.
                  (B) Achievement gains compared.--The study 
                shall compare, within the same schools, the 
                achievement gains made by students taught by 
                teachers who are assisted under this subpart 
                with the achievement gains made by students 
                taught by teachers who are not assisted under 
                this subpart.
          (3) Requirements.--The Secretary shall provide for 
        such a study not less than once every 3 years, and each 
        such study shall include multiple placement sites and 
        multiple schools within placement sites.
          (4) Peer review standards.--Each such study shall 
        meet the peer review standards of the education 
        research community.

   Subpart 5--Early Childhood Education Professional Development and 
                           Career Task Force

SEC. 281. PURPOSE.

  It is the purpose of this subpart--
          (1) to improve the quality of the early childhood 
        education workforce by creating a statewide early 
        childhood education professional development and career 
        task force for early childhood education program staff, 
        directors, and administrators; and
          (2) to create--
                  (A) a coherent system of core competencies, 
                pathways to qualifications, credentials, 
                degrees, quality assurances, access, and 
                outreach, for early childhood education program 
                staff, directors, and administrators, that is 
                linked to compensation commensurate with 
                experience and qualifications;
                  (B) articulation agreements that enable early 
                childhood education professionals to transition 
                easily among degrees; and
                  (C) compensation initiatives for individuals 
                working in an early childhood education program 
                that reflect the individuals' credentials, 
                degrees, and experience.

SEC. 282. DEFINITION OF EARLY CHILDHOOD EDUCATION PROGRAM.

  In this subpart, the term ``early childhood education 
program'' means--
          (1) a family child care program, center-based child 
        care program, State prekindergarten program, or school-
        based program, that--
                  (A) provides early childhood education;
                  (B) uses developmentally appropriate 
                practices;
                  (C) is licensed or regulated by the State; 
                and
                  (D) serves children from birth through age 5;
          (2) a Head Start Program carried out under the Head 
        Start Act;
          (3) an Early Head Start Program carried out under 
        section 645A of the Head Start Act; or
          (4) a program authorized under section 619 or part C 
        of the Individuals with Disabilities Education Act.

SEC. 283. GRANTS AUTHORIZED.

  (a) In General.--The Secretary is authorized to award grants 
to States in accordance with the provisions of this subpart to 
enable such States--
          (1) to establish a State Task Force described in 
        section 284; and
          (2) to support activities of the State Task Force 
        described in section 285.
  (b) Competitive Basis.--Grants under this subpart shall be 
awarded on a competitive basis.
  (c) Equitable Geographic Distribution.--In awarding grants 
under this subpart, the Secretary shall take into consideration 
providing an equitable geographic distribution of such grants.
  (d) Duration.--Grants under this subpart shall be awarded for 
a period of 3 years.

SEC. 284. STATE TASK FORCE ESTABLISHMENT.

  (a) State Task Force Established.--The Governor of a State 
receiving a grant under this subpart shall establish, or 
designate an existing entity to serve as, the State Early 
Childhood Education Professional Development and Career Task 
Force (hereafter in this subpart referred to as the ``State 
Task Force'').
  (b) Membership.--The State Task Force shall include a 
representative of a State educational agency, an institution of 
higher education (including an associate or a baccalaureate 
degree granting institution of higher education), an early 
childhood education program, a nonprofit early childhood 
organization, a statewide early childhood workforce scholarship 
or supplemental initiative, and any other entity or individual 
the Governor determines appropriate.

SEC. 285. STATE TASK FORCE ACTIVITIES.

  (a) Activities.--The State Task Force shall--
          (1) coordinate and communicate regularly with 
        existing State Advisory Councils on Early Care and 
        Education or a similar State entity charged with 
        creating a comprehensive system of early care and 
        education in the State (hereafter in this subpart 
        referred to as ``State Advisory Councils'') for the 
        purposes of--
                  (A) integrating recommendations for early 
                childhood professional development and career 
                activities into the plans of the State Advisory 
                Council; and
                  (B) assisting in the implementation of 
                professional development and career activities 
                that are consistent with the plans described in 
                subparagraph (A);
          (2) conduct a review of opportunities for and 
        barriers to high quality professional development, 
        training, and higher education degree programs in early 
        childhood development and learning, including a 
        periodic statewide survey concerning the demographics 
        of individuals working in early childhood education 
        programs in the State, which survey shall include 
        information disaggregated by--
                  (A) race, gender, and ethnicity;
                  (B) compensation levels;
                  (C) type of early childhood education program 
                setting;
                  (D) specialized knowledge of child 
                development;
                  (E) years of experience in an early childhood 
                education program;
                  (F) attainment of--
                          (i) academic credit for course work;
                          (ii) an academic degree;
                          (iii) a credential;
                          (iv) licensure; or
                          (v) certification in early childhood 
                        education; and
                  (G) specialized knowledge in the education of 
                children with limited English proficiency; and
          (3) develop a plan for a comprehensive statewide 
        professional development and career system for 
        individuals working in early childhood education 
        programs or for early childhood education providers, 
        which plan shall include--
                  (A) methods of providing outreach to early 
                childhood education program staff, directors, 
                and administrators to enable such individuals 
                and providers to be aware of opportunities and 
                resources under the statewide plan, which may 
                include outreach to underrepresented 
                populations in the profession;
                  (B) developing a unified data collection and 
                dissemination system for early childhood 
                education training, professional development, 
                and higher education programs;
                  (C) increasing the participation of early 
                childhood educators in high quality training 
                and professional development by assisting in 
                paying the costs of enrollment in and 
                completion of such training and professional 
                development courses;
                  (D) increasing the participation of early 
                childhood educators in postsecondary education 
                programs leading to degrees in early childhood 
                education by providing assistance to pay the 
                costs of enrollment in and completion of such 
                postsecondary education programs, which 
                assistance--
                          (i) shall only be provided to an 
                        individual who--
                                  (I) enters into an agreement 
                                under which the individual 
                                agrees to work, for a 
                                reasonable number of years 
                                after receiving such a degree, 
                                in an early childhood education 
                                program that is located in a 
                                low-income area; and
                                  (II) has a family income 
                                equal to or less than the 
                                annually adjusted national 
                                median family income as 
                                determined by the Bureau of the 
                                Census; and
                          (ii) shall be provided in an amount 
                        that does not exceed $17,500;
                  (E) supporting professional development 
                activities and a career lattice for a variety 
                of early childhood professional roles with 
                varying professional qualifications and 
                responsibilities for early childhood education 
                personnel, including strategies to enhance the 
                compensation of such personnel;
                  (F) supporting articulation agreements 
                between 2- and 4-year public and private 
                institutions of higher education and mechanisms 
                to transform other training, professional 
                development, and experience into academic 
                credit;
                  (G) developing mentoring and coaching 
                programs to support new educators in and 
                directors of early childhood education 
                programs;
                  (H) providing career development advising 
                with respect to the field of early childhood 
                education, including informing an individual 
                regarding--
                          (i) entry into and continuing 
                        education requirements for professional 
                        roles in the field;
                          (ii) available financial assistance; 
                        and
                          (iii) professional development and 
                        career advancement in the field;
                  (I) enhancing the quality of faculty and 
                course work in postsecondary programs that lead 
                to an associate, baccalaureate, or graduate 
                degree in early childhood education;
                  (J) consideration of the availability of on-
                line graduate level professional development 
                offered by institutions of higher education 
                with experience and demonstrated expertise in 
                establishing programs in child development, in 
                order to improve the skills and expertise of 
                individuals working in early childhood 
                education programs; and
                  (K) developing or enhancing a system of 
                quality assurance with respect to the early 
                childhood education professional development 
                and career system, including standards or 
                qualifications for individuals and entities who 
                offer training and professional development in 
                early childhood education.
  (b) Public Hearings.--The State Task Force shall hold public 
hearings and provide an opportunity for public comment on the 
activities described in the statewide plan described in 
subsection (a)(3).
  (c) Periodic Review.--The State Task Force shall meet 
periodically to review implementation of the statewide plan and 
to recommend any changes to the statewide plan the State Task 
Force determines necessary.

SEC. 286. STATE APPLICATION AND REPORT.

  (a) In General.--Each State desiring a grant under this 
subpart shall submit an application to the Secretary at such 
time, in such manner, and accompanied by such information as 
the Secretary may reasonably require. Each such application 
shall include a description of--
          (1) the membership of the State Task Force;
          (2) the activities for which the grant assistance 
        will be used;
          (3) other Federal, State, local, and private 
        resources that will be available to support the 
        activities of the State Task Force described in section 
        285;
          (4) the availability within the State of training, 
        educator preparation, professional development, 
        compensation initiatives, and career systems, related 
        to early childhood education; and
          (5) the resources available within the State for such 
        training, educator preparation, professional 
        development, compensation initiatives, and career 
        systems.
  (b) Report to the Secretary.--Not later than 2 years after 
receiving a grant under this subpart, a State shall submit a 
report to the Secretary that shall describe--
          (1) other Federal, State, local, and private 
        resources that will be used in combination with a grant 
        under this subpart to develop or expand the State's 
        early childhood education professional development and 
        career activities;
          (2) the ways in which the State Advisory Council will 
        coordinate the various State and local activities that 
        support the early childhood education professional 
        development and career system; and
          (3) the ways in which the State Task Force will use 
        funds provided under this subpart to carry out the 
        activities described in section 285.

SEC. 287. EVALUATIONS.

  (a) State Evaluation.--Each State receiving a grant under 
this subpart shall--
          (1) evaluate the activities that are assisted under 
        this subpart in order to determine--
                  (A) the effectiveness of the activities in 
                achieving State goals;
                  (B) the impact of a career lattice for 
                individuals working in early childhood 
                education programs;
                  (C) the impact of the activities on licensing 
                or regulating requirements for individuals in 
                the field of early childhood development;
                  (D) the impact of the activities, and the 
                impact of the statewide plan described in 
                section 286(a)(3), on the quality of education, 
                professional development, and training related 
                to early childhood education programs that are 
                offered in the State;
                  (E) the change in compensation and retention 
                of individuals working in early childhood 
                education programs within the State resulting 
                from the activities; and
                  (F) the impact of the activities on the 
                demographic characteristics of individuals 
                working in early childhood education programs; 
                and
          (2) submit a report at the end of the grant period to 
        the Secretary regarding the evaluation described in 
        paragraph (1).
  (b) Secretary's Evaluation.--Not later than September 30, 
2013, the Secretary, in consultation with the Secretary of 
Health and Human Services, shall prepare and submit to the 
authorizing committees an evaluation of the State reports 
submitted under subsection (a)(2).

TITLE III--INSTITUTIONAL AID

           *       *       *       *       *       *       *


                   Part A--Strengthening Institutions

SEC. 311. PROGRAM PURPOSE.

  (a) * * *
  (b) Grants Awarded; Special Consideration.--(1) From the sums 
available for this part under section 399(a)(1), the Secretary 
may award grants to any eligible institution with an 
application approved under section [351] 391 in order to assist 
such an institution to plan, develop, or implement activities 
that promise to strengthen the institution.

           *       *       *       *       *       *       *

  (3) Special consideration shall be given to applications 
which propose, pursuant to the institution's plan, to engage 
in--
          (A) * * *

           *       *       *       *       *       *       *

          (F) student services, including services that will 
        assist in the education of special populations.
  (c) Authorized Activities.--Grants awarded under this section 
shall be used for 1 or more of the following activities:
          (1) * * *

           *       *       *       *       *       *       *

          (6) Tutoring, counseling, and student service 
        programs designed to improve academic success, 
        including innovative, customized, instruction courses 
        designed to help retain students and move the students 
        rapidly into core courses and through program 
        completion.
          (7) Education or counseling services designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents.
          [(7)] (8) Funds management, administrative 
        management, and acquisition of equipment for use in 
        strengthening funds management.
          [(8)] (9) Joint use of facilities, such as 
        laboratories and libraries.
          [(9)] (10) Establishing or improving a development 
        office to strengthen or improve contributions from 
        alumni and the private sector.
          [(10)] (11) Establishing or improving an endowment 
        fund.
          [(11)] (12) Creating or improving facilities for 
        Internet or other [distance learning academic 
        instruction capabilities] distance education 
        technologies, including purchase or rental of 
        telecommunications technology equipment or services.
          [(12)] (13) Other activities proposed in the 
        application submitted pursuant to [subsection (c)] 
        subsection (b) and section 391 that--
                  (A) * * *

           *       *       *       *       *       *       *


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

  (a) * * *
  (b) Definitions.--In this section:
          (1) * * *

           *       *       *       *       *       *       *

          [(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.]
          (3) Tribal college or university.--The term ``Tribal 
        College or University'' means an institution that--
                  (A) qualifies for funding under the Tribally 
                Controlled College or University Assistance Act 
                of 1978 (25 U.S.C. 1801 et seq.) or the Navajo 
                Community College Assistance Act (25 U.S.C. 
                640a note); or
                  (B) is cited in section 532 of the Equity in 
                Educational Land Grant Status Act of 1994 (7 
                U.S.C. 301 note).

           *       *       *       *       *       *       *

  (c) Authorized Activities.--
          (1) * * *
          (2) Examples of authorized activities.--The 
        activities described in paragraph (1) may include--
                  (A) * * *
                  [(B) construction, maintenance, renovation, 
                and improvement in classrooms, libraries, 
                laboratories, and other instructional 
                facilities, including purchase or rental of 
                telecommunications technology equipment or 
                services;]
                  (B) construction, maintenance, renovation, 
                and improvement in classrooms, libraries, 
                laboratories, and other instructional 
                facilities, including purchase or rental of 
                telecommunications technology equipment or 
                services, and the acquisition of real property 
                adjacent to the campus of the institution on 
                which to construct such facilities;
                  (C) support of faculty exchanges, faculty 
                development, and faculty fellowships to assist 
                in attaining advanced degrees in the faculty's 
                field of instruction, or advanced degrees in 
                tribal governance or tribal public policy;
                  (D) academic instruction in disciplines in 
                which Indians are underrepresented, and in 
                tribal governance or tribal public policy;

           *       *       *       *       *       *       *

                  (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) developing or improving facilities for 
                Internet use or other distance learning 
                academic instruction capabilities; and
                  [(L)] (M) other activities proposed in the 
                application submitted pursuant to subsection 
                (d) that--
                          (i) * * *

           *       *       *       *       *       *       *

  [(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. The Secretary shall, to the extent 
        possible, prescribe a simplified and streamlined format 
        for such applications that takes into account the 
        limited number of institutions that are eligible for 
        assistance under this section. 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 rules.--
                  [(A) Eligibility.--No Tribal College or 
                University that receives funds under this 
                section shall concurrently receive funds under 
                other provisions of this part or part B.
                  [(B) Exemption.--Section 313(d) shall not 
                apply to institutions that are eligible to 
                receive funds under this section.
                  [(C) Distribution.--In awarding grants under 
                this section, the Secretary shall, to the 
                extent possible and consistent with the 
                competitive process under which such grants are 
                awarded, ensure maximum and equitable 
                distribution among all eligible institutions.]
  (d) Application and Allotment.--
          (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 reasonably 
        require.
          (3) Minimum grant.--Notwithstanding section 399(c), 
        the amount allotted to each institution under this 
        section shall not be less than $500,000.
          (4) Special rules.--
                  (A) Concurrent funding.--For the purposes of 
                this part, no Tribal College or University that 
                is eligible for and receives funds under this 
                section shall concurrently receive funds under 
                other provisions of this part or part B.
                  (B) Exemption.--Section 313(d) shall not 
                apply to institutions that are eligible to 
                receive funds under this section.
  (e) Allotment of Remaining Funds.--The Secretary shall 
distribute any funds appropriated to carry out this section for 
any fiscal year that remain available after the Secretary has 
awarded grants under subsection (e), to each eligible 
institution as follows:
          (1) 60 percent of the remaining appropriated funds 
        shall be distributed among the eligible Tribal Colleges 
        and Universities on a pro rata basis, based on the 
        respective Indian student counts (as defined in section 
        2(a) of the Tribally Controlled College or University 
        Assistance Act of 1978 (25 U.S.C. 1801(a)) of the 
        Tribal Colleges and Universities; and
          (2) the remaining 40 percent shall be distributed in 
        equal shares to the eligible Tribal Colleges and 
        Universities.

           *       *       *       *       *       *       *


SEC. 318. PREDOMINANTLY BLACK INSTITUTIONS.

  (a) Purpose.--It is the purpose of this section to assist 
Predominantly Black Institutions in expanding educational 
opportunity through a program of Federal assistance.
  (b) Definitions.--For purposes of this section:
          (1) Predominantly black institution.--The term 
        ``Predominantly Black Institution'' means an 
        institution of higher education--
                  (A) that is an eligible institution (as 
                defined in paragraph (5)(A) of this subsection) 
                with a minimum of 1,000 undergraduate students;
                  (B) at which at least 50 percent of the 
                undergraduate students enrolled at the 
                institution are low-income individuals or 
                first-generation college students (as that term 
                is defined in section 402A(g)); and
                  (C) at which at least 50 percent of the 
                undergraduate students are enrolled in an 
                educational program leading to a bachelor's or 
                associate's degree that the institution is 
                licensed to award by the State in which it is 
                located.
          (2) Low-income individual.--The term ``low-income 
        individual'' has the meaning given such term in section 
        402A(g).
          (3) Means-tested federal benefit program.--The term 
        ``means-tested Federal benefit program'' means a 
        program of the Federal Government, other than a program 
        under title IV, in which eligibility for the programs' 
        benefits, or the amount of such benefits, or both, are 
        determined on the basis of income or resources of the 
        individual or family seeking the benefit.
          (4) State.--The term ``State'' means each of the 50 
        States and the District of Columbia.
          (5) Other definitions.--For purposes of this section, 
        the terms defined by section 312 have the meanings 
        provided by that section, except as follows:
                  (A) Eligible institution.--
                          (i) The term ``eligible institution'' 
                        means an institution of higher 
                        education that--
                                  (I) has an enrollment of 
                                needy undergraduate students as 
                                required and defined by 
                                subparagraph (B);
                                  (II) except as provided in 
                                section 392(b), the average 
                                educational and general 
                                expenditure of which are low, 
                                per full-time equivalent 
                                undergraduate student in 
                                comparison with the average 
                                educational and general 
                                expenditure per full-time 
                                equivalent undergraduate 
                                student of institutions that 
                                offer similar instruction;
                                  (III) has an enrollment of 
                                undergraduate students that is 
                                at least 40 percent Black 
                                American students;
                                  (IV) is legally authorized to 
                                provide, and provides within 
                                the State, an educational 
                                program for which the 
                                institution awards a bachelors 
                                degree, or in the case of a 
                                junior or community college, an 
                                associate's degree;
                                  (V) is accredited by a 
                                nationally recognized 
                                accrediting agency or 
                                association determined by the 
                                Secretary to be a reliable 
                                authority as to the quality of 
                                training offered, or is, 
                                according to such an agency or 
                                association, making reasonable 
                                progress toward accreditation; 
                                and
                                  (VI) is not receiving 
                                assistance under part B of this 
                                title.
                          (ii) In awarding grants under this 
                        section the Secretary shall give 
                        priority to Predominantly Black 
                        Institutions with large numbers or 
                        percentages of students described in 
                        clause (i)(II) or clause (i)(III). The 
                        level of priority given to 
                        Predominantly Black Institutions with 
                        large numbers or percentages of 
                        students described in paragraph (1)(B) 
                        shall be twice the level of priority 
                        given to Predominantly Black 
                        Institutions with large numbers or 
                        percentages of students described in 
                        paragraph (1)(C).
                  (B) Enrollment of needy students.--The term 
                ``enrollment of needy students'' means the 
                enrollment at an eligible institution with 
                respect to which at least 50 percent of the 
                undergraduate students enrolled in an academic 
                program leading to a degree--
                          (i) in the second fiscal year 
                        preceding the fiscal year for which the 
                        determination is made, were Pell Grant 
                        recipients in such year;
                          (ii) come from families that receive 
                        benefits under a means-tested Federal 
                        benefits program (as defined in 
                        paragraph (3));
                          (iii) attended a secondary school 
                        that was a high-need school during any 
                        year of such attendance; or
                          (iv) are ``first-generation college 
                        students'' as that term is defined in 
                        section 402A(g), and a majority of such 
                        first-generation college students are 
                        low-income individuals.
  (c) Authorized Activities.--
          (1) Types of activities authorized.--Grants awarded 
        pursuant to subsection (d) shall be used by 
        Predominantly Black Institutions--
                  (A) to assist the institution to plan, 
                develop, undertake, and implement programs to 
                enhance the institution's capacity to serve 
                more low- and middle-income Black American 
                students;
                  (B) to expand higher education opportunities 
                for title IV eligible students by encouraging 
                college preparation and student persistence in 
                secondary and postsecondary education; and
                  (C) to strengthen the institution's financial 
                ability to serve the academic needs of the 
                students described in subparagraphs (A) and 
                (B).
          (2) Authorized activities.--Grants made to an 
        institution under subsection (d) shall be used for one 
        or more of the following activities:
                  (A) The activities described in section 
                311(c)(1) through (11).
                  (B) Academic instruction in disciplines in 
                which Black Americans are underrepresented.
                  (C) Establishing or enhancing a program of 
                teacher education designed to qualify students 
                to teach in a public elementary or secondary 
                school in the State that shall include, as part 
                of such program, preparation for teacher 
                certification.
                  (D) Establishing community outreach programs 
                which will encourage elementary and secondary 
                students to develop the academic skills and the 
                interest to pursue postsecondary education.
                  (E) Other activities proposed in the 
                application submitted pursuant to subsection 
                (e) that--
                          (i) contribute to carrying out the 
                        purposes of this section; and
                          (ii) are approved by the Secretary as 
                        part of the review and acceptance of 
                        such application.
          (3) Endowment fund.--
                  (A) In general.--A Predominantly Black 
                Institution 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 Predominantly Black 
                Institution shall provide matching funds from 
                non-Federal sources, in an amount equal to or 
                greater than 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 subsection, 
                shall apply to funds used under subparagraph 
                (A).
          (4) Limitation.--Not more than 50 percent of the 
        allotment of any Predominantly Black Institution may be 
        available for the purpose of constructing or 
        maintaining a classroom, library, laboratory, or other 
        instructional facility.
  (d) Allotments to Predominantly Black Institutions.--
          (1) Allotment: pell grant basis.--From the amount 
        appropriated to carry out this section for any fiscal 
        year, the Secretary shall allot to each Predominantly 
        Black Institution having an application approved under 
        subsection (e) a sum which bears the same ratio to one-
        half that amount as the number of Pell Grant recipients 
        in attendance at such institution at the end of the 
        academic year preceding the beginning of that fiscal 
        year bears to the total number of Pell Grant recipients 
        at all institutions eligible under this section.
          (2) Allotment: graduates basis.--From the amount 
        appropriated to carry out this section for any fiscal 
        year, the Secretary shall allot to each Predominantly 
        Black Institution having an application approved under 
        subsection (e) a sum which bears the same ratio to one-
        fourth that amount as the number of graduates for such 
        year at such institution bears to the total number of 
        graduates for such year at all intuitions eligible 
        under this section.
          (3) Allotment: graduates seeking a higher degree 
        basis.--From the amount appropriated to carry out this 
        section for any fiscal year, the Secretary shall allot 
        to each Predominantly Black Institution having an 
        application approved under subsection (e) a sum which 
        bears the same ratio to one-fourth of that amount as 
        the percentage of graduates per institution who, within 
        2 years of graduation with an associates degree or a 
        baccalaureate degree, are admitted to and in attendance 
        at, either a baccalaureate degree-granting institution 
        or a graduate or professional school in a degree 
        program in disciplines in which Black American students 
        are underrepresented, bears to the percentage of such 
        graduates per institution for all eligible 
        institutions.
          (4) Minimum allotment.--(A) Notwithstanding 
        paragraphs (1), (2), and (3) of this subsection and 
        section 399(c), the amount allotted to each 
        Predominantly Black Institution under this section 
        shall not be less than $250,000.
          (B) If the amount appropriated pursuant to section 
        399 for any fiscal year is not sufficient to pay the 
        minimum allotment, the amount of such minimum allotment 
        shall be ratably reduced. If additional sums become 
        available for such fiscal year, such reduced allocation 
        shall be increased on the same basis as it was reduced 
        until the amount allotted equals the minimum allotment 
        required by subparagraph (A).
          (5) Reallotment.--The amount of a Predominantly Black 
        Institution's allotment under paragraph (1), (2), (3), 
        or (4) for any fiscal year, which the Secretary 
        determines will not be required for such institution 
        for the period such allotment is available, shall be 
        available for reallotment to other Predominantly Black 
        Institutions in proportion to the original allotment to 
        such other institutions under this section for such 
        fiscal year. The Secretary shall reallot such amounts 
        from time to time, on such date and during such period 
        as the Secretary deems appropriate.
  (e) Applications.--No Predominantly Black Institution shall 
be entitled to its allotment of Federal funds for any grant 
under subsection (d) for any period unless the institution 
submits an application to the Secretary at such time, in such 
manner, and containing or accompanied by such information as 
the Secretary may reasonably require.
  (f) Application Review Process.--Section 393 shall not apply 
to applications under this section.
  (g) Prohibition.--No Predominantly Black Institution that 
applies for and receives a grant under this section may apply 
for or receive funds under any other program under this part or 
part B of this title.
  (h) Duration and Carryover.--Any funds paid to a 
Predominantly Black Institution under this section and not 
expended or used for the purposes for which the funds were paid 
within 10 years following the date of the grant awarded to such 
institution under this section shall be repaid to the Treasury 
of the United States.

SEC. 319. ASIAN AMERICAN AND NATIVE AMERICAN PACIFIC ISLANDER-SERVING 
                    INSTITUTIONS.

  (a) Program Authorized.--The Secretary shall provide grants 
and related assistance to Asian American and Native American 
Pacific Islander-serving institutions to enable such 
institutions to improve and expand their capacity to serve 
Asian Americans and Native American Pacific Islanders.
  (b) Definitions.--For the purpose of this section--
          (1) the term ``Asian American'' has the meaning given 
        the term Asian in the Office of Management and Budget's 
        Standards for Maintaining, Collecting, and Presenting 
        Federal Data on Race and Ethnicity as published on 
        October 30, 1997 (62 Fed. Reg. 58789);
          (2) the term ``Native American Pacific Islander'' 
        means any descendant of the aboriginal people of any 
        island in the Pacific Ocean that is a territory or 
        possession of the United States;
          (3) the term ``Asian American and Native American 
        Pacific Islander-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 10 percent Asian American and Native 
                American Pacific Islander students; and
          (4) the term ``low-income individual'' means an 
        individual from a family whose taxable income for the 
        preceding year did not exceed 150 percent of an amount 
        equal to the poverty level determined by using criteria 
        of poverty established by the Bureau of the Census.
  (c) Authorized Activities.--
          (1) Types of activities authorized.--Grants awarded 
        under this section shall be used by Asian American and 
        Native American Pacific Islander-serving institutions 
        to assist such institutions to plan, develop, 
        undertake, and carry out activities to improve and 
        expand such institutions' capacity to serve Asian 
        Americans and Native American Pacific Islanders.
          (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;
                  (H) academic tutoring and counseling programs 
                and student support services;
                  (I) establishing community outreach programs 
                that will encourage elementary school and 
                secondary school students to develop the 
                academic skills and the interest to pursue 
                postsecondary education;
                  (J) establishing or improving an endowment 
                fund;
                  (K) academic instruction in disciplines in 
                which Asian Americans and Native American 
                Pacific Islanders are under-represented;
                  (L) conducting research and data collection 
                for Asian American and Native American Pacific 
                Islander populations and sub-populations; and
                  (M) establishing partnerships with community 
                based organizations serving Asian Americans and 
                Native American Pacific Islanders.
  (d) Application Process.--
          (1) Institutional eligibility.--Each Asian American 
        and Native American Pacific Islander-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 Asian American and Native American 
        Pacific Islander-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 Asian American and 
        Native American Pacific Islander-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 Asian American and 
                Native American Pacific Islander-serving 
                institution to Asian American and Native 
                American Pacific Islander students; and
                  (B) such other information and assurance as 
                the Secretary may require.
          (3) Special rules.--
                  (A) Eligibility.--No Asian American and 
                Native American Pacific Islander-serving 
                institution that receives funds under this 
                section shall concurrently receive funds under 
                other provisions of this part or part B.
                  (B) Exemption.--Section 313(d) shall not 
                apply to institutions that are eligible to 
                receive funds under this section.
                  (C) Distribution.--In awarding grants under 
                this section, the Secretary shall--
                          (i) to the extent possible and 
                        consistent with the competitive process 
                        under which such grants are awarded, 
                        ensure maximum and equitable 
                        distribution among all eligible 
                        institutions; and
                          (ii) give priority consideration to 
                        institutions that serve a significant 
                        percentage of Asian American and Native 
                        American Pacific Islander students who 
                        are low-income individuals.

SEC. 320. NATIVE AMERICAN-SERVING, NONTRIBAL INSTITUTIONS.

  (a) Program Authorized.--The Secretary shall provide grants 
and related assistance to Native American-serving, nontribal 
institutions to enable such institutions to improve and expand 
their capacity to serve Native Americans.
  (b) Definitions.--In this section:
          (1) Native american.--The term ``Native American'' 
        means an individual who is of a tribe, people, or 
        culture that is indigenous to the United States.
          (2) Native american-serving, nontribal institution.--
        The term ``Native American-serving, nontribal 
        institution'' means an institution of higher education 
        that, at the time of application--
                  (A) has an enrollment of undergraduate 
                students that is not less than 10 percent 
                Native American students; and
                  (B) is not a Tribal College or University (as 
                defined in section 316).
  (c) Authorized Activities.--
          (1) Types of activities authorized.--Grants awarded 
        under this section shall be used by Native American-
        serving, nontribal institutions to assist such 
        institutions to plan, develop, undertake, and carry out 
        activities to improve and expand such institutions' 
        capacity to serve Native Americans.
          (2) Examples of authorized activities.--Such programs 
        may include--
                  (A) the 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 
                faculty in attaining advanced degrees in the 
                faculty's field of instruction;
                  (D) curriculum development and academic 
                instruction;
                  (E) the 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) the 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.--A Native American-
        serving, nontribal 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 a Native American-
        serving, nontribal institution, along with such other 
        information and data as the Secretary may by regulation 
        require.
          (2) Applications.--
                  (A) Permission to submit applications.--Any 
                institution that is determined by the Secretary 
                to be a Native American-serving, nontribal 
                institution may submit an application for 
                assistance under this section to the Secretary.
                  (B) Simplified and streamlined format.--The 
                Secretary shall, to the extent possible, 
                prescribe a simplified and streamlined format 
                for applications under this section that takes 
                into account the limited number of institutions 
                that are eligible for assistance under this 
                section.
                  (C) Content.--An application submitted under 
                subparagraph (A) shall include--
                          (i) a 5-year plan for improving the 
                        assistance provided by the Native 
                        American-serving, nontribal institution 
                        to Native Americans; and
                          (ii) such other information and 
                        assurances as the Secretary may 
                        require.
          (3) Special rules.--
                  (A) Eligibility.--No Native American-serving, 
                nontribal institution that receives funds under 
                this section shall concurrently receive funds 
                under other provisions of this part or part B.
                  (B) Exemption.--Section 313(d) shall not 
                apply to institutions that are eligible to 
                receive funds under this section.
                  (C) Distribution.--In awarding grants under 
                this section, the Secretary shall, to the 
                extent possible and consistent with the 
                competitive process under which such grants are 
                awarded, ensure maximum and equitable 
                distribution among all eligible institutions.

Part B--Strengthening Historically Black Colleges and Universities

           *       *       *       *       *       *       *


SEC. 322. DEFINITIONS.

  For the purpose of this part:
          (1) * * *

           *       *       *       *       *       *       *

          (4) The term ``professional and academic areas in 
        which Blacks are underrepresented'' shall be determined 
        by the Secretary, in consultation with the Commissioner 
        of the National Center for Education Statistics, and 
        the Commissioner of the Bureau of Labor Statistics, on 
        the basis of the most recent available satisfactory 
        data, as professional and academic areas in which the 
        percentage of Black Americans who have been educated, 
        trained, and employed is less than the percentage of 
        Blacks in the general population.

           *       *       *       *       *       *       *


SEC. 323. GRANTS TO INSTITUTIONS.

  (a) General Authorization; Uses of Funds.--From amounts 
available under section 360(a)(2) in any fiscal year the 
Secretary shall make grants (under section 324) to institutions 
which have applications approved by the Secretary (under 
section 325) for any of the following uses:
          (1) * * *

           *       *       *       *       *       *       *

          (12) Acquisition of real property in connection with 
        the construction, renovation, or addition to or 
        improvement of campus facilities.
          (13) Education or financial information designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents, especially with 
        regard to student indebtedness and student assistance 
        programs under the title IV.
          (14) Technical assistance or services necessary for 
        the implementation of projects or activities that are 
        described in the grant application and that are 
        approved, in advance, by the Secretary, except that not 
        more than two percent of the grant amount may be used 
        for this purpose.
          [(12)] (15) Other activities proposed in the 
        application submitted pursuant to section 325 that--
                  (A) * * *

           *       *       *       *       *       *       *


SEC. 324. ALLOTMENTS TO INSTITUTIONS.

  (a) * * *

           *       *       *       *       *       *       *

  [(d) Minimum Allotment.--(1) Notwithstanding subsections (a), 
(b), and (c), the amount allotted to each part B institution 
under this section shall not be less than $500,000.
  [(2) If the amount appropriated pursuant to section 
360(a)(2)(A) for any fiscal year is not sufficient to pay the 
minimum allotment required by paragraph (1) of this subsection 
to all part B institutions, the amount of such minimum 
allotments shall be ratably reduced. If additional sums become 
available for such fiscal year, such reduced allocation shall 
be increased on the same basis as they were reduced (until the 
amount allotted equals the minimum allotment required by 
paragraph (1)).]
  (d) Minimum Allotment.--(1) If an otherwise eligible part B 
institution did not enroll any Pell Grant recipients, or did 
not graduate any students in the previous academic year, or 
where appropriate, send any such graduates on to graduate or 
first-professional degree study, the institution shall not 
receive a grant under this part.
  (2) If the data provided by an eligible institution, pursuant 
to this section, is insufficient to justify an award in excess 
of $500,000, the otherwise eligible institution shall receive 
an allotment of $500,000, except that the Secretary shall not 
make an award of $500,000 if the amount determined based upon 
the formulas using subsection (b), (c), and (d) would be less 
than $250,000. If the amount determined by the formula would be 
less than $250,000, the Secretary shall award the minimum 
allotment of $250,000.

           *       *       *       *       *       *       *

  (h) Conditions for Allotments.--No institution shall receive 
an allotment under this section unless the institution provides 
data, required by the Secretary consistent with the formula in 
subsections (a) through (c), including the number of Pell Grant 
recipients enrolled in the previous award year; the number of 
students who earned an associate or baccalaureate degree in the 
previous academic year; and, when appropriate, the percentage 
of graduates who, within the past five years, enrolled in a 
graduate or first-professional degree program. No institution 
shall receive an allotment, including the minimum allotment 
under subsection (d), unless the institution provides the data 
required of that institution by the Secretary.

           *       *       *       *       *       *       *


SEC. 326. PROFESSIONAL OR GRADUATE INSTITUTIONS.

  (a) * * *
  (b) Duration.--Grants shall be made for a period not to 
exceed 5 years. Any funds awarded for such five-year grant 
period that are obligated during such five-year period may be 
expended during the 10-year period beginning on the first day 
of such five-year period.
  (c) Uses of Funds.--A grant under this section may be used 
for--
          (1) * * *

           *       *       *       *       *       *       *

          (6) assist in the establishment or maintenance of an 
        institutional endowment to facilitate financial 
        independence pursuant to section 331; [and]
          (7) funds and administrative management, and the 
        acquisition of equipment, including software, for use 
        in strengthening funds management and management 
        information systems[.];
          (8) acquisition of real property in connection with 
        the construction, renovation, or addition to or 
        improvement of campus facilities;
          (9) education or financial information designed to 
        improve the financial literacy and economic literacy of 
        students or the students' parents, especially with 
        regard to student indebtedness and student assistance 
        programs under the title IV; and
          (10) technical assistance or services necessary for 
        the implementation of projects or activities that are 
        described in the grant application and that are 
        approved, in advance, by the Secretary, except that not 
        more than two percent of the grant amount may be used 
        for this purpose.

           *       *       *       *       *       *       *

  (e) Eligibility.--
          (1) In general.--Independent professional or graduate 
        institutions and programs eligible for grants under 
        subsection (a) are the following
                  (A) * * *

           *       *       *       *       *       *       *

                  (Q) Norfolk State University qualified 
                graduate programs; [and]
                  (R) Tennessee State University qualified 
                graduate programs[.];
                  (S) Alabama State University qualified 
                graduate programs;
                  (T) Bowie State University qualified graduate 
                programs;
                  (U) Delaware State University qualified 
                graduate programs;
                  (V) Langston University qualified graduate 
                programs;
                  (W) Prairie View A&M University qualified 
                graduate programs; and
                  (X) University of the District of Columbia 
                David A. Clarke School of Law.

           *       *       *       *       *       *       *

          (3) Special rule.--Institutions that were awarded 
        grants under this section prior to October 1, [1998] 
        2008, shall continue to receive such grants, subject to 
        the availability of appropriated funds, regardless of 
        the eligibility of the institutions described in 
        subparagraphs [(Q) and (R)] (S) through (X) of 
        paragraph (1).

           *       *       *       *       *       *       *

  (f) Funding Rule.--Subject to subsection (g), of the amount 
appropriated to carry out this section for any fiscal year--
          (1) the first [$26,600,000] $54,500,000 (or any 
        lesser amount appropriated) shall be available only for 
        the purposes of making grants to institutions or 
        programs described in subparagraphs (A) through [(P)] 
        (R) of subsection (e)(1);
          (2) any amount in excess of [$26,600,000, but not in 
        excess of $28,600,000] $54,500,000, but not in excess 
        of $60,500,000, shall be available for the purpose of 
        making grants to institutions or programs described in 
        [subparagraphs (Q) and (R)] subparagraphs (S) through 
        (X) of subsection (e)(1); and
          (3) any amount in excess of [$28,600,000] 
        $60,500,000, shall be made available to each of the 
        institutions or programs identified in subparagraphs 
        (A) through [(R)] (X) pursuant to a formula developed 
        by the Secretary that uses the following elements:
                  (A) * * *

           *       *       *       *       *       *       *


SEC. 327. REPORTING AND AUDIT REQUIREMENTS.

  (a) * * *
  [(b) Repayment of Unexpended Funds.--Any funds paid to an 
institution and not expended or used for the purposes for which 
the funds were paid within 10 years following the date of the 
initial grant awarded to an institution under part B of this 
title shall be repaid to the Treasury of the United States.]
  (b) Use of Unexpended Funds.--Any funds paid to an 
institution and not expended or used for the purposes for which 
the funds were paid during the five-year period following the 
date of the initial grant award, may be carried over and 
expended during the succeeding five-year period, if such funds 
were obligated for a purpose for which the funds were paid 
during the five-year period following the date of the initial 
grant award.

   Part C--Endowment Challenge Grants for Institutions Eligible for 
                   Assistance Under Part A or Part B

SEC. 331. ENDOWMENT CHALLENGE GRANTS.

  (a) * * *
  (b) Grants Authorized.--(1) * * *
  (2)(A) * * *
  (B) The Secretary may make a grant under this part to an 
eligible institution in any fiscal year if the institution--
          (i) applies for a grant in an amount not exceeding 
        [$500,000] $1,000,000; and

           *       *       *       *       *       *       *

  (5) An endowment challenge grant awarded under this section 
to an eligible institution shall be in an amount which is not 
less than [$50,000] $100,000 in any fiscal year.

           *       *       *       *       *       *       *

  (l) Technical Assistance.--The Secretary, directly or by 
grant or contract, may provide technical assistance to eligible 
institutions to prepare the institutions to qualify, apply for, 
and maintain a grant, under this section.

PART D--HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING

           *       *       *       *       *       *       *


SEC. 342. DEFINITIONS.

  For the purposes of this part:
          (1) * * *

           *       *       *       *       *       *       *

          (5) The term ``capital project'' means, subject to 
        section 344(b) the repair, renovation, or, in 
        exceptional circumstances, the construction or 
        acquisition, of--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) instructional equipment technology[,,], 
                research instrumentation, and any capital 
                equipment or fixture related to facilities 
                described in subparagraph (A);

           *       *       *       *       *       *       *


SEC. 343. FEDERAL INSURANCE FOR BONDS.

  (a) * * *

           *       *       *       *       *       *       *

  (e) Sale of Qualified Bonds.--Notwithstanding any other 
provision of law, a qualified bond guaranteed under this part 
may be sold to any party that offers terms that the Secretary 
determines are in the best interest of the eligible 
institution.

SEC. 344. LIMITATIONS ON FEDERAL INSURANCE FOR BONDS ISSUED BY THE 
                    DESIGNATED BONDING AUTHORITY.

  (a) Limit on Amount.--At no time shall the aggregate 
principal amount of outstanding bonds insured under this part 
together with any accrued unpaid interest thereon exceed 
[$375,000,000] $1,100,000,000, of which--
          (1) not more than [$250,000,000] $733,333,333 shall 
        be used for loans to eligible institutions that are 
        private historically Black colleges and universities; 
        and
          (2) not more than [$125,000,000] $366,666,666 shall 
        be used for loans to eligible institutions which are 
        historically Black public colleges and universities.
For purposes of paragraphs (1) and (2), Lincoln University of 
Pennsylvania is an historically Black public institution. No 
institution of higher education that has received assistance 
under section 8 of the Act of March 2, 1867 (20 U.S.C. 123) 
shall be eligible to receive assistance under this part.

           *       *       *       *       *       *       *


PART E--MINORITY SCIENCE AND ENGINEERING IMPROVEMENT PROGRAM

           *       *       *       *       *       *       *


                   Subpart 2--Programs in STEM fields

SEC. 355. YES PARTNERSHIPS GRANT PROGRAM.

  (a) Grant Program Authorized.--Subject to the availability of 
appropriations to carry out this subpart, the Secretary shall 
make grants to eligible partnerships (as described in 
subsection (f)) to support underrepresented minority youth 
engagement in science, technology, engineering, and mathematics 
through outreach and hands-on, experiential-based learning 
projects that encourage underrepresented minority students in 
kindergarten through grade 12 to pursue careers in science, 
technology, engineering, and mathematics.
  (b) Minimum Grant Amount.--A grant awarded to a partnership 
under this subpart shall be for an amount that is not less than 
$500,000.
  (c) Duration.--A grant awarded under this subpart shall be 
for a period of 5 years.
  (d) Non-Federal Matching Share Required.--A partnership 
receiving a grant under this subpart shall provide, from non-
Federal sources, in cash or in kind, an amount equal to 50 
percent of the costs of the project supported by such grant.
  (e) Distribution of Grants.--In awarding grants under this 
subpart, the Secretary shall ensure that, to the maximum extent 
practicable, the projects funded under this subpart are located 
in diverse geographic regions of the United States.
  (f) Eligible Partnerships.--Notwithstanding the general 
eligibility provision in section 361, eligibility to receive 
grants under this subpart is limited to partnerships described 
in paragraph (5) of such section.

SEC. 356. PROMOTION OF ENTRY INTO STEM FIELDS.

  (a) Authority To Contract, Subject to Appropriations.--The 
Secretary of Education is authorized to enter into a contract 
with a firm with a demonstrated record of success in 
advertising to implement a campaign to expand the population of 
qualified individuals in science, technology, engineering, and 
math (STEM) fields by encouraging young Americans to enter the 
those fields.
  (b) Design of Campaign.--Such a campaign shall be designed to 
enhance the image of education and professions in the STEM 
fields and promote participation in the STEM fields and shall 
include--
          (1) monitoring trends in youth attitudes toward 
        pursuing education and professions in the STEM fields 
        and their propensity toward entering the STEM fields;
          (2) determining what factors contribute to 
        encouraging and discouraging Americans from pursuing 
        study in STEM fields and entering the STEM fields 
        professionally;
          (3) determining what specific factors limit the 
        participation of groups currently underrepresented in 
        STEM fields, including Latinos, African-Americans, and 
        women; and
          (4) drawing from the market research performed under 
        this section and implementing an advertising campaign 
        to encourage young Americans to take up studies in STEM 
        fields, beginning at an early age.
  (c) Required Components.--Such a campaign shall include 
components that focus tailored messages on appropriate age 
groups, starting with elementary school students. Such a 
campaign shall link participation in the STEM fields to the 
concept of service to one's country, so that young people will 
be encouraged to enter the STEM fields in order fulfill the 
obligation to be of service to their country.
  (d) Priority.--Such a campaign shall hold as a high priority 
making specific appeals to Latinos, African-Americans, and 
women, who are currently under-represented in the STEM fields, 
in order to increase their numbers in the STEM fields, and 
shall tailor recruitment efforts to each specific group.
  (e) Use of Variety of Media.--Such a campaign shall make use 
of a variety of media, with an emphasis on television 
advertising, to reach its intended audience.
  (f) Teaching.--Such a campaign shall include a narrowly 
focused effort to attract current professionals in the STEM 
fields, through advertising in mediums likely to reach that 
specific group, into teaching in a STEM field in elementary and 
secondary school.

SEC. 357. EVALUATION AND ACCOUNTABILITY PLAN.

  The Secretary shall develop an evaluation and accountability 
plan for projects funded under this subpart to objectively 
measure the impact of such projects, including a measure of 
whether underrepresented minority student enrollment in courses 
related to science, technology, engineering, and mathematics 
increases at the secondary and postsecondary levels.

          Subpart [2] 3--Administrative and General Provisions

SEC. 361. ELIGIBILITY FOR GRANTS.

  Eligibility to receive grants under this part is limited to--
          (1) * * *

           *       *       *       *       *       *       *

          (3) nonprofit science-oriented organizations, 
        professional scientific societies, and institutions of 
        higher education that award baccalaureate degrees, 
        that--
                  (A) * * *

           *       *       *       *       *       *       *

                  (B) provide in-service training for project 
                directors, scientists, and engineers from 
                minority institutions; [or]
          (4) consortia of organizations, to include public 
        institutions of higher education that provide needed 
        services to one or more minority institutions, the 
        membership of which may include--
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) private organizations that have science 
                or engineering facilities; [or]
                  (E) quasi-governmental entities that have a 
                significant scientific or engineering 
                mission[.]; or
                  (F) institutions of higher education which 
                have State-approved centers for research in 
                science, technology, engineering, and 
                mathematics; or
          (5) only with respect to grants under subpart 2, 
        partnerships of organizations, the membership of which 
        shall include--
                  (A) at least one institution of higher 
                education eligible for assistance under this 
                title or title V;
                  (B) at least one high need local educational 
                agency (as defined in section 200); and
                  (C) at least two community organizations or 
                entities, such as businesses, professional 
                associations, community-based organizations, 
                philanthropic organizations, or State agencies.

           *       *       *       *       *       *       *


SEC. 365. DEFINITIONS.

   For the purpose of this part--
          (1) * * *

           *       *       *       *       *       *       *

          (9) The term ``special projects'' means--
                  (A) a special project grant to a minority 
                institution which [support] supports activities 
                that--
                          (i) * * *

           *       *       *       *       *       *       *


                       Part F--General Provisions

SEC. 391. APPLICATIONS FOR ASSISTANCE.

  (a) * * *
  (b) Contents.--An institution, in its application for a 
grant, shall--
          (1) * * *

           *       *       *       *       *       *       *

          (7) describe in a comprehensive manner any proposed 
        project for which funds are sought under the 
        application and include--
                  (A) * * *

           *       *       *       *       *       *       *

                  (E) a detailed description of any activity 
                which involves the expenditure of more than 
                $25,000, as identified in the budget referred 
                to in [subparagraph (E)] subparagraph (D); and

           *       *       *       *       *       *       *

  (e) Technical Assistance.--The Secretary, directly or by 
grant or contract, may provide technical assistance to eligible 
institutions to prepare the institutions to qualify, apply for, 
and maintain a grant, under this title.

           *       *       *       *       *       *       *


SEC. 392. WAIVER AUTHORITY AND REPORTING REQUIREMENT.

  (a) * * *

           *       *       *       *       *       *       *

  (b) Waiver Determinations; Expenditures.--(1) * * *

           *       *       *       *       *       *       *

  (2) The Secretary shall submit to the Congress every other 
year a report concerning the institutions which, although not 
satisfying the criterion contained in section 312(b)(1)(B), 
have been determined to be [eligible institutions under part A 
institutions] eligible institutions under part A which enroll 
significant numbers of Black American, Hispanic, Native 
American, Asian American, or Native Hawaiian students under 
part A, as the case may be. Such report shall--
          (A) * * *

           *       *       *       *       *       *       *

  (c) Waiver Authority with Respect to Institutions Located in 
an Area Affected by a Gulf Hurricane Disaster.--
          (1) Waiver authority.--Notwithstanding any other 
        provision of the law unless enacted with specific 
        reference to this section, for any affected institution 
        that was receiving assistance under this title at the 
        time of a Gulf hurricane disaster, the Secretary shall, 
        for each of the fiscal years 2009 through 2013--
                  (A) waive--
                          (i) the eligibility data requirements 
                        set forth in section 391(d);
                          (ii) the wait-out period set forth in 
                        section 313(d);
                          (iii) the allotment requirements 
                        under section 324; and
                          (iv) the use of the funding formula 
                        developed pursuant to section 
                        326(f)(3); and
                  (B) waive or modify any statutory or 
                regulatory provision to ensure that affected 
                institutions that were receiving assistance 
                under this title at the time of a Gulf 
                hurricane disaster are not adversely impacted 
                by any formula calculation for fiscal year 2009 
                or for any of the 4 succeeding fiscal years;
                  (C) make available to each affected 
                institution an amount that is not less than the 
                amount made available to such institution under 
                this title for fiscal year 2006.
          (2) Definitions.--In this subsection:
                  (A) Affected institution.--The term 
                ``affected institution'' means an institution 
                of higher education that--
                          (i) is--
                                  (I) a part A institution, as 
                                such term is defined in section 
                                312(b);
                                  (II) an American Indian 
                                Tribal College or University, 
                                as such term is defined in 
                                section 316(b);
                                  (III) an Alaskan Native-
                                serving institution or Native 
                                Hawaiian-serving institution, 
                                as such terms are defined in 
                                section 317(b); or
                                  (IV) a part B institution, as 
                                such term is defined in section 
                                322(2), or as identified in 
                                section 326(e) of such Act of 
                                1965 (20 U.S.C. 1063(b));
                          (ii) is located in an area affected 
                        by a Gulf hurricane disaster; and
                          (iii) is able to demonstrate that, as 
                        a result of the impact of a Gulf 
                        hurricane disaster, the institution--
                                  (I) incurred physical damage;
                                  (II) has pursued collateral 
                                source compensation from 
                                insurance, the Federal 
                                Emergency Management Agency, 
                                and the Small Business 
                                Administration, as appropriate; 
                                and
                                  (III) was not able to fully 
                                reopen in existing facilities 
                                or to fully reopen to the pre-
                                hurricane enrollment levels 
                                during the 30-day period 
                                beginning on August 29, 2005.
                  (B) Area affected by a gulf hurricane 
                disaster; gulf hurricane disaster.--The terms 
                ``area affected by a Gulf hurricane disaster'' 
                and ``Gulf hurricane disaster'' have the 
                meanings given such terms in section 209 of the 
                Higher Education Hurricane Relief Act of 2005 
                (Public Law 109-148, 119 Stat. 2809).

           *       *       *       *       *       *       *


SEC. 396. LIMITATIONS.

  The funds appropriated under section [360] 399 may not be 
used--
          (1) * * *

           *       *       *       *       *       *       *


SEC. 399. AUTHORIZATIONS OF APPROPRIATIONS.

  [(a) Authorizations.--
          [(1) Part a.--(A) There are authorized to be 
        appropriated to carry out part A, $135,000,000 (other 
        than section 316) for fiscal year 1999, and such sums 
        as may be necessary for each of the 4 succeeding fiscal 
        years.
          [(B) There are authorized to be appropriated to carry 
        out section 316, $10,000,000 for fiscal year 1999 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          [(C) There are authorized to be appropriated to carry 
        out section 317, $5,000,000 for fiscal year 1999 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          [(2) Part b.--(A) There are authorized to be 
        appropriated to carry out part B (other than section 
        326), $135,000,000 for fiscal year 1999, and such sums 
        as may be necessary for each of the 4 succeeding fiscal 
        years.
          [(B) There are authorized to be appropriated to carry 
        out section 326, $35,000,000 for fiscal year 1999, and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          [(3) Part c.--There are authorized to be appropriated 
        to carry out part C, $10,000,000 for fiscal year 1999, 
        and such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          [(4) Part d.--(A) There are authorized to be 
        appropriated to carry out part D (other than section 
        345(7), but including section 347), $110,000 for fiscal 
        year 1999, and such sums as may be necessary for each 
        of the 4 succeeding fiscal years.
          [(B) There are authorized to be appropriated to carry 
        out section 345(7), such sums as may be necessary for 
        fiscal year 1999 and each of the 4 succeeding fiscal 
        years.
          [(5) Part e.--There are authorized to be appropriated 
        to carry out part E, $10,000,000 for fiscal year 1999, 
        and such sums as may be necessary for each of the 4 
        succeeding fiscal years.]
  (a) Authorizations.--
          (1) Part a.--(A) There are authorized to be 
        appropriated to carry out part A, $150,000,000 (other 
        than sections 316 through 320) for fiscal year 2009, 
        and such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (B) There are authorized to be appropriated to carry 
        out section 316, $30,000,000 for fiscal year 2009 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (C) There are authorized to be appropriated to carry 
        out section 317, $15,000,000 for fiscal year 2009 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (D) There are authorized to be appropriated to carry 
        out section 318, $75,000,000 for fiscal year 2009 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (E) There are authorized to be appropriated to carry 
        out section 319, $30,000,000 for fiscal year 2009 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (F) There are authorized to be appropriated to carry 
        out section 320, $25,000,000 for fiscal year 2009 and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (2) Part b.--(A) There are authorized to be 
        appropriated to carry out part B (other than section 
        326), $300,000,000 for fiscal year 2009, and such sums 
        as may be necessary for each of the 4 succeeding fiscal 
        years.
          (B) There are authorized to be appropriated to carry 
        out section 326, $100,000,000 for fiscal year 2009, and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (3) Part c.--There are authorized to be appropriated 
        to carry out part C, $20,000,000 for fiscal year 2009, 
        and such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          (4) Part d.--(A) There are authorized to be 
        appropriated to carry out part D (other than section 
        345(7), but including section 347), $150,000 for fiscal 
        year 2009, and such sums as may be necessary for each 
        of the 4 succeeding fiscal years.
          (B) There are authorized to be appropriated to carry 
        out section 345(7), such sums as may be necessary for 
        fiscal year 2009 and each of the 4 succeeding fiscal 
        years.
          (5) Part e.--(A) There are authorized to be 
        appropriated to carry out subpart 1 of part E, 
        $12,000,000 for fiscal year 2009 and such sums as may 
        be necessary for each of the 4 succeeding fiscal years.
          (B) There are authorized to be appropriated to carry 
        out subpart 2 of part E, $10,000,000 for fiscal year 
        2009 and such sums as may be necessary for each of the 
        4 succeeding fiscal years.

           *       *       *       *       *       *       *

  (c) Minimum Grant Amount.--The minimum amount of a grant 
under this title shall be $200,000.

           *       *       *       *       *       *       *


PART [J] G--STRENGTHENING HISTORICALLY BLACK COLLEGES AND UNIVERSITIES 
                AND OTHER MINORITY-SERVING INSTITUTIONS

SEC. [499A] 399A. INVESTMENT IN HISTORICALLY BLACK COLLEGES AND 
                    UNIVERSITIES AND OTHER MINORITY-SERVING 
                    INSTITUTIONS.

  (a) * * *

           *       *       *       *       *       *       *


                      TITLE IV--STUDENT ASSISTANCE

  Part A--Grants to Students in Attendance at Institutions of Higher 
Education

           *       *       *       *       *       *       *


                     Subpart 1--Federal Pell Grants

SEC. 401. FEDERAL PELL GRANTS: AMOUNT AND DETERMINATIONS; APPLICATIONS.

  (a) * * *
  (b) Purpose and Amount of Grants.--(1) * * *
  [(2)(A) The amount of the Federal Pell Grant for a student 
eligible under this part shall be--
  [(i) $4,500 for academic year 1999-2000;
  [(ii) $4,800 for academic year 2000-2001;
  [(iii) $5,100 for academic year 2001-2002;
  [(iv) $5,400 for academic year 2002-2003; and
  [(v) $5,800 for academic year 2003-2004,
        less an amount equal to the amount determined to be the 
        expected family contribution with respect to that 
        student for that year.]
  (2)(A) The amount of the Federal Pell Grant for a student 
eligible under this part shall be $9,000 for each of the 
academic years 2009-2010 through 2013-2014, less an amount 
equal to the amount determined to be the expected family 
contribution with respect to that student for that year.

           *       *       *       *       *       *       *

  [(5)(A) The Secretary may allow, on a case-by-case basis, a 
student to receive 2 Pell grants during a single award year, 
if--
  [(i) the student is enrolled full-time in an associate or 
baccalaureate degree program of study that is 2 years or longer 
at an eligible institution that is computed in credit hours; 
and
  [(ii) the student completes course work toward completion of 
an associate or baccalaureate degree that exceeds the 
requirements for a full academic year as defined by the 
institution.
  [(B) The Secretary shall promulgate regulations implementing 
this paragraph.]
  (5) Year-round pell grants.--The Secretary shall, for 
students enrolled in a baccalaureate degree, associate's 
degree, or certificate program of study at an eligible 
institution, award such students not more than two Pell grants 
during an award year to permit such students to accelerate 
progress toward their degree or certificate objectives by 
enrolling in courses for more than 2 semesters, or 3 quarters, 
or the equivalent, in a given academic year.

           *       *       *       *       *       *       *

  (7) No Federal Pell Grant shall be awarded under this subpart 
to any individual who is incarcerated in any Federal or State 
penal institution or who is subject to an involuntary civil 
commitment upon completion of a period of incarceration for a 
forcible or nonforcible sexual offense (as determined in 
accordance with the Federal Bureau of Investigation's Uniform 
Crime Reporting Program).

           *       *       *       *       *       *       *

  (9) Additional funds.--
          (A) * * *

           *       *       *       *       *       *       *

          (F) Use of fiscal year funds for award years.--The 
        amounts made available by subparagraph (A) for any 
        fiscal year shall be available and [remain available 
        for use under subparagraph (B) for the award year that 
        begins in such fiscal year.] remain available for the 
        fiscal year succeeding the fiscal year for which such 
        amounts are made available.
  (c) Period of Eligibility for Grants.--(1) * * *

           *       *       *       *       *       *       *

  (5) The period during which a student may receive Federal 
Pell Grants shall not exceed the equivalent of 18 semesters or 
27 quarters in duration, as determined by the Secretary by 
regulation. Such regulations shall provide, with respect to a 
student who received a Federal Pell Grant for a semester or 
quarter but was enrolled at a fraction of full-time, that only 
that same fraction of such semester or quarter shall count 
towards such duration limits. The provisions of this paragraph 
shall apply only to a student who receives a Federal Pell Grant 
for the first time on or after July 1, 2008.

           *       *       *       *       *       *       *

  (f) Calculation of Eligibility.--(1) * * *

           *       *       *       *       *       *       *

  (3) Each contractor processing applications for awards under 
this subpart shall for each academic year after academic year 
1986-1987 prepare and submit a report to the Secretary on the 
correctness of the computations of amount of the expected 
family contribution, and on the accuracy of the questions on 
the application form under this subpart for the previous 
academic year for which the contractor is responsible. The 
Secretary shall transmit the report, together with the comments 
and recommendations of the Secretary, [to the Committee on 
Appropriations and the Committee on Labor and Human Resources 
of the Senate and the Committee on Appropriations and the 
Committee on Education and the Workforce of the House of 
Representatives] to the Committee on Appropriations of the 
Senate, the Committee on Appropriations of the House of 
Representatives, and the authorizing committees.

           *       *       *       *       *       *       *


SEC. 401A. ACADEMIC COMPETITIVENESS GRANTS.

  (a) * * *
  (b) Designation.--A grant under this section--
          (1) for the first or second [academic] year of a 
        program of undergraduate education shall be known as an 
        ``Academic Competitiveness Grant''; and
          (2) for the third or fourth [academic] year of a 
        program of undergraduate education shall be known as a 
        ``National Science and Mathematics Access to Retain 
        Talent Grant'' or a ``National SMART Grant''.
  (c) Definition of Eligible Student.--In this section the term 
``eligible student'' means a [full-time] student who, for the 
[academic] award year for which the determination of 
eligibility is made--
          [(1) is a citizen of the United States;]
          (1) is an eligible student under section 484, 
        including being enrolled or accepted for enrollment in 
        a degree, certificate, or other eligible program 
        leading to a recognized educational credential at an 
        institution of higher education;

           *       *       *       *       *       *       *

          (3) in the case of a student enrolled or accepted for 
        enrollment in--
                  (A) the first [academic] year of a program of 
                undergraduate education at a two- or four-year 
                degree-granting institution of higher 
                education--
                          (i) has successfully completed, after 
                        January 1, 2006, a rigorous secondary 
                        school program of study [established by 
                        a State or local educational agency and 
                        recognized as such by the Secretary] 
                        that prepares students for college and 
                        work beyond the basic graduation 
                        requirements and that is recognized as 
                        such by the designated State official, 
                        or with respect to any private school 
                        or home school, the designated school 
                        official for such school, consistent 
                        with State law; and
                          (ii) has not been previously enrolled 
                        in a program of undergraduate 
                        education, except as part of a 
                        secondary school program of study;
                  (B) the second [academic] year of a program 
                of undergraduate education at a two- or four-
                year degree-granting institution of higher 
                education--
                          (i) has successfully completed, after 
                        January 1, 2005, a rigorous secondary 
                        school program of study [established by 
                        a State or local educational agency and 
                        recognized as such by the Secretary]  
                        that prepares students for college and 
                        work beyond the basic graduation 
                        requirements and that is recognized as 
                        such by the designated State official, 
                        or with respect to any private school 
                        or home school, the designated school 
                        official for such school, consistent 
                        with State law; and
                          (ii) has obtained a cumulative grade 
                        point average of at least 3.0 (or the 
                        equivalent as determined under 
                        regulations prescribed by the 
                        Secretary) at the end of the first 
                        [academic] year of such program of 
                        undergraduate education; or
                  (C) the third or fourth [academic] year of a 
                program of undergraduate education at a four-
                year degree-granting institution of higher 
                education--
                          (i) is pursuing a major in--
                                  (I) * * *
                                  [(II) a foreign language that 
                                the Secretary, in consultation 
                                with the Director of National 
                                Intelligence, determines is 
                                critical to the national 
                                security of the United States; 
                                and]
                                  (II) a critical foreign 
                                language; and
                          (ii) has obtained a cumulative grade 
                        point average of at least 3.0 (or the 
                        equivalent as determined under 
                        regulations prescribed by the 
                        Secretary) in the coursework required 
                        for the major described in clause 
                        (i)[.]; and
                  (D) the third or fourth year of a program of 
                undergraduate education at an institution of 
                higher education (as defined in section 101(a)) 
                that demonstrates, to the satisfaction of the 
                Secretary, that the institution--
                          (i) offers a single liberal arts 
                        curriculum leading to a baccalaureate 
                        degree, under which students are not 
                        permitted by the institution to declare 
                        a major in a particular subject area, 
                        and those students--
                                  (I) study, in such years, a 
                                subject described in 
                                subparagraph (C)(i) that is at 
                                least equal to the requirements 
                                for an academic major at an 
                                institution of higher education 
                                that offers a baccalaureate 
                                degree in such subject, as 
                                certified by an appropriate 
                                official from the institution; 
                                or
                                  (II) has obtained a 
                                cumulative grade point average 
                                of at least 3.0 (or the 
                                equivalent as determined under 
                                regulations prescribed by the 
                                Secretary) in the relevant 
                                coursework; and
                          (ii) offered such curriculum prior to 
                        February 8, 2006.
  (d) Grant Award.--
          (1) Amounts.--
                  (A) The Secretary shall award a grant under 
                this section in the amount of--
                          (i) $750 for one academic year during 
                        the student's first year of enrollment 
                        for an eligible student under 
                        subsection (c)(3)(A);
                          (ii) $1,300 for one academic year 
                        during the student's second year of 
                        enrollment for an eligible student 
                        under subsection (c)(3)(B); or
                          (iii) $4,000 for one academic year 
                        for an eligible student under 
                        [subsection (c)(3)(C).] subparagraph 
                        (C) or (D) of subsection (c)(3), for 
                        each of the 2 years described in such 
                        subparagraphs; or

           *       *       *       *       *       *       *

          (2) Limitations.--The Secretary shall not award a 
        grant under this section--
                  (A) to any student for [an academic] a year 
                of a program of undergraduate education 
                described in subparagraph (A), [(B), or (C)] 
                (B), (C), or (D) of subsection (c)(3) for which 
                the student received credit before the date of 
                enactment of the Higher Education 
                Reconciliation Act of 2005; or
                  (B) to any student for more than--
                          (i) * * *
                          (ii) one academic year under 
                        subsection (c)(3)(B); [or]
                          [(iii) two academic years under 
                        subsection (c)(3)(C).]
                          (iii) two academic years under 
                        subsection (c)(3)(C); or
                          (iv) two academic years under 
                        subsection (c)(3)(D).
          (3) Adjustment for less than full-time enrollment.--A 
        grant awarded under this section to an eligible student 
        who attends an eligible institution on a less than 
        full-time (but at least half-time or more) basis shall 
        be reduced in the same proportion as would a Federal 
        Pell Grant pursuant to section 401(b)(2)(B).

           *       *       *       *       *       *       *

  (g) Sunset Provision.--The authority to make grants under 
this section shall expire at the end of [academic] award year 
2010-2011.

                    CHAPTER 1--FEDERAL TRIO PROGRAMS


SEC. 402A. PROGRAM AUTHORITY; AUTHORIZATION OF APPROPRIATIONS.

  (a) * * *
  (b) Recipients, Duration, and Size.--
          (1) Recipients.--For the purposes described in 
        subsection (a), the Secretary is authorized, without 
        regard to section 3709 of the Revised Statutes (41 
        U.S.C. 5), to make grants to, and contracts with, 
        institutions of higher education, public and private 
        agencies and organizations community-based 
        organizations with experience in serving disadvantaged 
        youth, combinations of such institutions, agencies and 
        organizations, and [in exceptional circumstances,] 
        secondary schools, for planning, developing, or 
        carrying out one or more of the services assisted under 
        this chapter.
          (2) Duration.--Grants or contracts made under this 
        chapter shall be awarded for a period of [4] 5 years, 
        except that--
                  [(A) the Secretary shall award such grants or 
                contracts for 5 years to applicants whose peer 
                review scores were in the highest 10 percent of 
                scores of all applicants receiving grants or 
                contracts in each program competition for the 
                same award year;]
                  [(B)] (A) grants made under section 402G 
                shall be awarded for a period of 2 years; and
                  [(C)] (B) grants under section 402H shall be 
                awarded for a period determined by the 
                Secretary.
          [(3) Minimum grants.--Unless the institution or 
        agency requests a smaller amount, individual grants 
        under this chapter shall be no less than--
                  [(A) $170,000 for programs authorized by 
                sections 402D and 402G;
                  [(B) $180,000 for programs authorized by 
                sections 402B and 402F; and
                  [(C) $190,000 for programs authorized by 
                sections 402C and 402E.]
          (3) Minimum grants.--Unless the institution or agency 
        requests a smaller amount, an individual grant 
        authorized under this chapter shall be awarded in an 
        amount that is not less than $200,000, except that an 
        individual grant authorized under section 402G shall be 
        awarded in an amount that is not less than $170,000.
  (c) Procedures for Awarding Grants and Contracts.--
          (1) * * *
          (2) Prior experience.--In making grants under this 
        chapter, the Secretary shall consider each applicant's 
        prior experience of [service delivery] high quality 
        service delivery, as determined under subsection (f), 
        under the particular program for which funds are 
        sought. The level of consideration given the factor of 
        prior experience shall not vary from the level of 
        consideration given such factor during fiscal years 
        1994 through 1997, except that grants made under 
        section 402H shall not be given prior experience 
        consideration.
          (3) Order of awards; program fraud.--(A) * * *
          (B) The Secretary [is not required to] shall not 
        provide assistance to a program otherwise eligible for 
        assistance under this chapter, if the Secretary has 
        determined that such program has involved the 
        fraudulent use of funds under this chapter.

           *       *       *       *       *       *       *

          (5) Number of applications for grants and 
        contracts.--The Secretary shall not limit the number of 
        applications submitted by an entity under any program 
        authorized under this chapter if the additional 
        applications describe programs serving different 
        populations or [campuses] different campuses.
          (6) Coordination with other programs for 
        disadvantaged students.--The Secretary shall encourage 
        coordination of programs assisted under this chapter 
        with other programs for disadvantaged students operated 
        by the sponsoring institution or agency, regardless of 
        the funding source of such programs. The Secretary 
        shall not limit an entity's eligibility to receive 
        funds under this chapter because such entity sponsors a 
        program similar to the program to be assisted under 
        this chapter, regardless of the funding source of such 
        program. The Secretary shall permit the Director of a 
        program receiving funds under this chapter to 
        administer one or more additional programs for 
        disadvantaged students operated by the sponsoring 
        institution or agency, regardless of the funding 
        sources of such programs. The Secretary shall require 
        each applicant for funds under the programs authorized 
        by this chapter to identify services to foster care 
        youth as a permissible service in those programs, and 
        to ensure that such youth receive supportive services, 
        including mentoring, tutoring, and other services 
        provided by those programs.

           *       *       *       *       *       *       *

  (e) Documentation of Status as a Low-Income Individual.--(1) 
Except in the case of an independent student, as defined in 
section 480(d), documentation of an individual's status 
pursuant to subsection [(g)(2)] (h)(4) shall be made by 
providing the Secretary with--
  (A) * * *

           *       *       *       *       *       *       *

  (2) In the case of an independent student, as defined in 
section 480(d), documentation of an individual's status 
pursuant to subsection [(g)(2)] (h)(4) shall be made by 
providing the Secretary with--
          (A) * * *

           *       *       *       *       *       *       *

  (3) Notwithstanding this subsection and subsection (i)(4), 
individuals who are homeless or unaccompanied youth as defined 
in section 725 of the McKinney-Vento Homeless Assistance Act 
shall be eligible to participate in programs under sections 
402B, 402C, 402D, and 402F of this chapter.
  (f) Outcome Criteria.--
          (1) Use for prior experience determination.--The 
        Secretary shall use the outcome criteria described in 
        paragraphs (2) and (3) to evaluate the programs 
        provided by a recipient of a grant under this chapter, 
        and the Secretary shall determine an eligible entity's 
        prior experience of high quality service delivery, as 
        required under subsection (c)(2), based on the outcome 
        criteria.
          (2) Disaggregation of relevant data.--The outcome 
        criteria under this subsection shall be disaggregated 
        by low-income students, first generation college 
        students, and individuals with disabilities, in the 
        schools and institutions of higher education served by 
        the program to be evaluated.
          (3) Contents of outcome criteria.--The outcome 
        criteria under this subsection shall measure, annually 
        and for longer periods, the quality and effectiveness 
        of programs authorized under this chapter and shall 
        include the following:
                  (A) For programs authorized under section 
                402B, the extent to which the eligible entity 
                met or exceeded the entity's objectives 
                established in the entity's application for 
                such program regarding--
                          (i) the delivery of service to a 
                        total number of students served by the 
                        program;
                          (ii) the continued secondary school 
                        enrollment of such students;
                          (iii) the graduation of such students 
                        from secondary school;
                          (iv) the completion by such students 
                        of a rigorous secondary school program 
                        of study that will make them eligible 
                        for programs such as the Academic 
                        Competitiveness Grants; and
                          (v) the enrollment of such students 
                        in an institution of higher education.
                  (B) For programs authorized under section 
                402C, the extent to which the eligible entity 
                met or exceeded the entity's objectives for 
                such program regarding--
                          (i) the delivery of service to a 
                        total number of students served by the 
                        program, as agreed upon by the entity 
                        and the Secretary for the period;
                          (ii) such students' school 
                        performance, as measured by the grade 
                        point average, or its equivalent;
                          (iii) such students' academic 
                        performance, as measured by 
                        standardized tests, including tests 
                        required by the students' State;
                          (iv) the retention in, and graduation 
                        from, secondary school of such 
                        students;
                          (v) the completion by such students 
                        of a rigorous secondary school program 
                        of study that will make them eligible 
                        for programs such as the Academic 
                        Competitiveness Grants; and
                          (vi) the enrollment of such students 
                        in an institution of higher education.
                  (C) For programs authorized under section 
                402D--
                          (i) the extent to which the eligible 
                        entity met or exceeded the entity's 
                        objectives regarding the retention in 
                        postsecondary education of the students 
                        served by the program;
                          (ii)(I) in the case of an entity that 
                        is an institution of higher education 
                        offering a baccalaureate degree, the 
                        extent to which the percentage of 
                        students served by the program who 
                        completed degree programs met or 
                        exceeded the entity's objectives; or
                          (II) in the case of an entity that is 
                        an institution of higher education that 
                        does not offer a baccalaureate degree, 
                        the extent to which the students served 
                        by the entity met or exceeded s 
                        objectives regarding--
                                  (aa) the completion of a 
                                degree or certificate; and
                                  (bb) the transfer to 
                                institutions of higher 
                                education that offer 
                                baccalaureate degrees;
                          (iii) the extent to which the entity 
                        met or exceeded the entity's objectives 
                        regarding the delivery of service to a 
                        total number of students, as agreed 
                        upon by the entity and the Secretary 
                        for the period; and
                          (iv) the extent to which the entity 
                        met or exceeded the entity's objectives 
                        regarding such students remaining in 
                        good academic standing.
                  (D) For programs authorized under section 
                402E, the extent to which the entity met or 
                exceeded the entity's objectives for such 
                program regarding--
                          (i) the delivery of service to a 
                        total number of students, as agreed 
                        upon by the entity and the Secretary 
                        for the period;
                          (ii) the provision of appropriate 
                        scholarly and research activities for 
                        the students served by the program;
                          (iii) the acceptance and enrollment 
                        of such students in graduate programs; 
                        and
                          (iv) the continued enrollment of such 
                        students in graduate study and the 
                        attainment of doctoral degrees by 
                        former program participants.
                  (E) For programs authorized under section 
                402F, the extent to which the entity met or 
                exceeded the entity's objectives for such 
                program regarding--
                          (i) the enrollment of students 
                        without a secondary school diploma or 
                        its recognized equivalent, who were 
                        served by the program, in programs 
                        leading to such diploma or equivalent;
                          (ii) the enrollment of secondary 
                        school graduates who were served by the 
                        program in programs of postsecondary 
                        education;
                          (iii) the delivery of service to a 
                        total number of students, as agreed 
                        upon by the entity and the Secretary 
                        for the period; and
                          (iv) the provision of assistance to 
                        students served by the program in 
                        completing financial aid applications 
                        and college admission applications.
          (4) Measurement of progress.--In order to determine 
        the extent to which an outcome criterion described in 
        paragraph (2) or (3) is met or exceeded, the Secretary 
        shall compare the agreed upon target for the criterion, 
        as established in the eligible entity's application 
        approved for funding by the Secretary, with the results 
        for the criterion, measured as of the last day of the 
        applicable time period for the determination for each 
        outcome criteria.
          (5) Appeals.--Upon determination by the Secretary not 
        to accept an application, or upon determination by the 
        Secretary through the peer review process as specified 
        in (c)(4) not to fund an application, for any program 
        under this chapter, the Secretary shall allow such 
        applicant to appeal to an administrative law judge that 
        the Secretary improperly rejected or improperly scored 
        the evaluation criteria points. The Secretary shall 
        notify each entity requesting assistance under this 
        chapter regarding the status of their application at 
        least 90 days prior to the startup date of such 
        program.
  [(f)] (g) Authorization of Appropriations.--For the purpose 
of making grants and contracts under this chapter, there are 
authorized to be appropriated [$700,000,000 for fiscal year 
1999, and such sums as may be necessary for each of the 4 
succeeding fiscal years.] $950,000,000 for fiscal year 2009 and 
such sums for each of the 4 succeeding fiscal years. Of the 
amount appropriated under this chapter, the Secretary may use 
no more than \1/2\ of 1 percent of such amount to obtain 
additional qualified readers and additional staff to review 
applications, to increase the level of oversight monitoring, to 
support impact studies, program assessments and reviews, and to 
provide technical assistance to potential applicants and 
current grantees. In expending these funds, the Secretary shall 
give priority to the additional administrative requirements 
provided in the Higher Education Amendments of 1992, to 
outreach activities, and to obtaining additional readers. [The 
Secretary shall report to Congress by October 1, 1994, on the 
use of these funds.]
  [(g)] (h) Definitions.--For the purpose of this chapter:
          (1) Different campus.--The term ``different campus'' 
        means a site of an institution of higher education 
        that--
                  (A) is geographically apart from the main 
                campus of the institution;
                  (B) is permanent in nature; and
                  (C) offers courses in educational programs 
                leading to a degree, certificate, or other 
                recognized educational credential.
          (2) Different population.--The term ``different 
        population'' means a group of individuals that an 
        eligible entity desires to serve through an application 
        for a grant under this chapter, and that--
                  (A) is separate and distinct from any other 
                population that the entity has applied for a 
                grant under this chapter to serve; or
                  (B) while sharing some of the same needs as 
                another population that the eligible entity has 
                applied for a grant under this chapter to 
                serve, has distinct needs for specialized 
                services.
          [(1)] (3) First generation college student.--The term 
        ``first generation college student'' means--
                  (A) * * *

           *       *       *       *       *       *       *

          [(2)] (4) Low-income individual.--The term ``low-
        income individual'' means an individual from a family 
        whose taxable income for the preceding year did not 
        exceed 150 percent of an amount equal to the poverty 
        level determined by using criteria of poverty 
        established by the Bureau of the Census.
          [(3)] (5) Veteran eligibility.--No veteran shall be 
        deemed ineligible to participate in any program under 
        this chapter by reason of such individual's age who--
                  (A) served on active duty for a period of 
                more than 180 days[, any part of which occurred 
                after January 31, 1955,] and was discharged or 
                released therefrom under conditions other than 
                dishonorable; [or]
                  (B) served on active duty [after January 31, 
                1955,] and was discharged or released therefrom 
                because of a service connected disability[.];
                  (C) was a member of a reserve component of 
                the Armed forces called to active duty for a 
                period of more than 180 days; or
                  (D) was a member of a reserve component of 
                the Armed Forces who served on active duty in 
                support of a contingency operation (as that 
                term is defined in section 101(a)(13) of title 
                10, United States Code) on or after September 
                11, 2001.
          [(4)] (6) Waiver.--The Secretary may waive the 
        service requirements in [subparagraph (A) or (B) of 
        paragraph (3)] subparagraph (A), (B), or (C) of 
        paragraph (5) if the Secretary determines the 
        application of the service requirements to a veteran 
        will defeat the purpose of a program under this 
        chapter.

           *       *       *       *       *       *       *


SEC. 402C. UPWARD BOUND.

  (a) * * *
  (b) Permissible Services.--Any upward bound project assisted 
under this chapter may provide services such as--
          (1) * * *

           *       *       *       *       *       *       *

          (11) special services, including mathematics and 
        science preparation, to enable veterans to make the 
        transition to postsecondary education; and

           *       *       *       *       *       *       *

  (f) Absolute Priority Prohibited in Upward Bound Program.--
Except as otherwise expressly provided by amendment to this 
section, the Secretary shall not implement or enforce, and 
shall rescind, the absolute priority for Upward Bound Program 
participant selection and evaluation published by the 
Department of Education in the Federal Register on September 
22, 2006 (71 Fed. Reg. 55447 et seq.).

           *       *       *       *       *       *       *


SEC. 402E. POSTBACCALAUREATE ACHIEVEMENT PROGRAM AUTHORITY.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Requirements.--In approving applications for 
postbaccalaureate achievement projects assisted under this 
section for any fiscal year, the Secretary shall require--
          (1) * * *
          (2) an assurance that the remaining persons 
        participating in the project proposed to be carried out 
        be from a group that is underrepresented in graduate 
        education, including Native Hawaiians, as defined 
        section 317(b)(3), and Pacific Islanders;

           *       *       *       *       *       *       *


SEC. 402H. [EVALUATIONS AND GRANTS FOR PROJECT IMPROVEMENT AND 
                    DISSEMINATION PARTNERSHIP PROJECTS.] REPORTS, 
                    EVALUATIONS, AND GRANTS FOR PROJECT IMPROVEMENT AND 
                    DISSEMINATION.

  (a) Reports to the Authorizing Committees.--The Secretary 
shall submit annually to the authorizing committees a report 
that documents the performance of all programs funded under 
this chapter. The report shall--
          (1) be submitted not later than 24 months after the 
        eligible entities receiving funds under this chapter 
        are required to report their performance to the 
        Secretary;
          (2) focus on the programs' performance on the 
        relevant outcome criteria determined under section 
        402A(f)(4);
          (3) aggregate individual project performance data on 
        the outcome criteria in order to provide national 
        performance data for each program;
          (4) include, when appropriate, descriptive data, 
        multi-year data, and multi-cohort data; and
          (5) include comparable data on the performance 
        nationally of low-income students, first-generation 
        students, and students with disabilities.
  [(a)] (b) Evaluations.--
          (1) * * *
          [(2) Practices.--The evaluations described in 
        paragraph (1) shall identify institutional, community, 
        and program or project practices that are particularly 
        effective in enhancing the access of low-income 
        individuals and first-generation college students to 
        postsecondary education, the preparation of the 
        individuals and students for postsecondary education, 
        and the success of the individuals and students in 
        postsecondary education. Such evaluations shall also 
        investigate the effectiveness of alternative and 
        innovative methods within Federal TRIO programs of 
        increasing access to, and retention of, students in 
        postsecondary education.]
          (2) Practices.--
                  (A) In general.--The evaluations described in 
                paragraph (1) shall identify institutional, 
                community, and program or project practices 
                that are particularly effective in--
                          (i) enhancing the access of low-
                        income individuals and first-generation 
                        college students to postsecondary 
                        education;
                          (ii) the preparation of the 
                        individuals and students for 
                        postsecondary education; and
                          (iii) fostering the success of the 
                        individuals and students in 
                        postsecondary education.
                  (B) Primary purpose.--Any evaluation 
                conducted under this chapter shall have as its 
                primary purpose the identification of 
                particular practices that further the 
                achievement of the outcome criteria determined 
                under section 402A(f)(4).
                  (C) Dissemination and use of evaluation 
                findings.--The Secretary shall disseminate to 
                eligible entities and make available to the 
                public the practices identified under 
                subparagraph (B). Such practices may be used by 
                eligible entities that receive assistance under 
                this chapter after the dissemination.
          (3) Recruitment.--The Secretary shall not require an 
        eligible entity desiring to receive assistance under 
        this chapter to recruit students to serve as a control 
        group for purposes of evaluating any program or project 
        assisted under this chapter.
          (4) Consideration.--When designing an evaluation 
        under this subsection, the Secretary shall consider--
                  (A) the burden placed upon the program 
                participants or the eligible entity; and
                  (B) approval by the institution's 
                institutional review board.
  [(b)] (c) Grants.--The Secretary may award grants to 
institutions of higher education or other private and public 
institutions and organizations, that are carrying out a program 
or project assisted under this chapter prior to the date of 
enactment of the Higher Education Amendments of 1998, to enable 
the institutions and organizations to expand and leverage the 
success of such programs or projects by working in partnership 
with other institutions, community-based organizations, or 
combinations of such institutions and organizations, that are 
not receiving assistance under this chapter and are serving 
low-income students and first generation college students, in 
order to--
          (1) * * *

           *       *       *       *       *       *       *

  [(c)] (d) Results.--In order to improve overall program or 
project effectiveness, the results of evaluations and grants 
described in this section shall be disseminated by the 
Secretary to similar programs or projects assisted under this 
subpart, as well as other individuals concerned with 
postsecondary access for and retention of low-income 
individuals and first-generation college students.

           *       *       *       *       *       *       *


  CHAPTER 2--GAINING EARLY AWARENESS AND READINESS FOR UNDERGRADUATE 
                                PROGRAMS

SEC. 404A. EARLY INTERVENTION AND COLLEGE AWARENESS PROGRAM AUTHORIZED.

  (a) Program Authorized.--The Secretary is authorized, in 
accordance with the requirements of this chapter, to establish 
a program that--
          (1) encourages eligible entities to provide or 
        maintain a guarantee to eligible low-income students, 
        including students with disabilities, who obtain a 
        secondary school diploma (or its recognized 
        equivalent), of the financial assistance necessary to 
        permit the students to attend an institution of higher 
        education; and
          (2) supports eligible entities in providing--
                  (A) additional counseling, mentoring, 
                academic support, outreach, and supportive 
                services to elementary school, middle school, 
                and secondary school students, including 
                students with disabilities, who are at risk of 
                dropping out of school; and

           *       *       *       *       *       *       *

  (b) Awards.--
          (1) * * *
          [(2) Priority.--In making awards to eligible entities 
        described in paragraph (c)(1), the Secretary shall--
                  [(A) give priority to eligible entities 
                that--
                          [(i) on the day before the date of 
                        enactment of the Higher Education 
                        Amendments of 1998, carried out 
                        successful educational opportunity 
                        programs under this chapter (as this 
                        chapter was in effect on such day); and
                          [(ii) have a prior, demonstrated 
                        commitment to early intervention 
                        leading to college access through 
                        collaboration and replication of 
                        successful strategies;
                  [(B) ensure that students served under this 
                chapter on the day before the date of enactment 
                of the Higher Education Amendments of 1998 
                continue to receive assistance through the 
                completion of secondary school.]
          (2) Award period.--The Secretary may award a grant 
        under this chapter to an eligible entity described in 
        paragraphs (1) and (2) of subsection (c) for 7 years.
          (3) Priority.--In making awards to eligible entities 
        described in subsection (c)(1), the Secretary shall--
                  (A) give priority to eligible entities that--
                          (i) on the day before the date of 
                        enactment of the College Opportunity 
                        and Affordability Act of 2007, carried 
                        out successful educational opportunity 
                        programs under this chapter (as this 
                        chapter was in effect on such day); and
                          (ii) have a prior, demonstrated 
                        commitment to early intervention 
                        leading to college access through 
                        collaboration and replication of 
                        successful strategies; and
                  (B) ensure that students served under this 
                chapter on the day before the date of enactment 
                of the College Opportunity and Affordability 
                Act of 2007 continue to receive assistance 
                through the completion of secondary school.

           *       *       *       *       *       *       *


SEC. 404B. REQUIREMENTS.

  (a) * * *

           *       *       *       *       *       *       *

  (g) Cohort Approach.--
          (1) In general.--The Secretary shall require that 
        eligible entities described in section 404A(c)(2)--
                  (A) provide services under this chapter to at 
                least one grade level of students, beginning 
                not later than 7th grade, in a participating 
                school that has a 7th grade and in which at 
                least 50 percent of the students enrolled are 
                eligible for free or reduced-price lunch under 
                the Richard B. Russell National School Lunch 
                Act (or, if an eligible entity determines that 
                it would promote the effectiveness of a 
                program, an entire grade level of students, 
                beginning not later than the 7th grade, who 
                reside in public housing as defined in section 
                3(b)(1) of the United States Housing Act of 
                1937); [and]
                  (B) ensure that the services are provided 
                through the 12th grade to students in the 
                participating grade level[.] and provide the 
                option of continued services through the 
                student's first year of attendance at an 
                institution of higher education; and
                  (C) provide services under this chapter to 
                students who have received services under a 
                previous GEAR UP grant award but have not yet 
                completed the 12th grade.

           *       *       *       *       *       *       *


SEC. 404C. ELIGIBLE ENTITY PLANS.

  (a) * * *
  (b) Matching Requirement.--
          (1) In general.--The Secretary shall not approve a 
        plan submitted under subsection (a) unless such plan--
                  (A) provides that the eligible entity will 
                provide, from State, local, institutional, or 
                private funds, not less than 50 percent of the 
                cost of the program, which matching funds may 
                be provided in cash or in kind and accrued over 
                the full duration of the grant award period;

           *       *       *       *       *       *       *

          (2) Special rule.--Notwithstanding the matching 
        requirement described in paragraph (1)(A), the 
        Secretary may by regulation modify the percentage 
        requirement described in paragraph (1)(A) for eligible 
        entities described in section 404A(c)(2). Eligible 
        entities may request a reduced match percentage at the 
        time of application or by petition subsequent to a 
        grant award, provided that an eligible entity can 
        demonstrate a change in circumstances that was unknown 
        at the time of application.
          (3) Additional special rule.--To encourage eligible 
        entities described in 404A(c) to provide students under 
        this chapter with financial assistance for 
        postsecondary education, each dollar of non-Federal 
        funds obligated under subsection (c)(1) and (c)(2) 
        shall, for purposes of paragraph (1)(A) of this 
        subsection, be treated as 2 dollars.
  (c) Methods for Complying With Matching Requirement.--An 
eligible entity may count toward the matching requirement 
described in subsection (b)(1)(A)--
          (1) the amount of the financial assistance [paid to 
        students from State, local, institutional, or private 
        funds under this chapter] obligated to students from 
        State, local, institutional, or private funds under 
        this chapter, including pre-existing, non-Federal 
        financial assistance programs;
          (2) the amount of tuition, fees, room or board waived 
        or reduced for recipients of financial assistance under 
        this chapter; [and]
          (3) the amount expended on documented, targeted, 
        long-term mentoring and counseling provided by 
        volunteers or paid staff of nonschool organizations, 
        including businesses, religious organizations, 
        community groups, postsecondary educational 
        institutions, nonprofit and philanthropic 
        organizations, and other organizations[.]; and
          (4) other resources recognized by the Secretary, 
        including equipment and supplies, cash contribution 
        from non-Federal sources, transportation expenses, in-
        kind or discounted program services, indirect costs, 
        and facility usage.

           *       *       *       *       *       *       *


SEC. 404D. EARLY INTERVENTION.

  (a) Services.--
          (1) In general.--In order to receive a grant under 
        this chapter, an eligible entity shall demonstrate to 
        the satisfaction of the Secretary, in the plan 
        submitted under section 404C, that the eligible entity 
        will provide comprehensive mentoring, counseling, 
        outreach, and supportive services to students 
        participating in programs under this chapter. Such 
        counseling shall include--
                  (A) * * *
                  (B) activities or information regarding--
                          (i) * * *
                          (ii) college admissions and 
                        achievement tests; [and]
                          (iii) college application 
                        procedures[.]; and
                          (iv) the transition to college or 
                        postsecondary education through 
                        continuity of services to support 
                        students in and through the first year 
                        of attendance at an institution of 
                        higher education.

           *       *       *       *       *       *       *

  (b) Uses of Funds.--
          (1) * * *
          (2) Permissible activities.--Examples of activities 
        that meet the requirements of subsection (a) include 
        the following:
                  (A) Providing eligible students in preschool 
                through grade 12 and students in the first year 
                of attendance at an institution of higher 
                education with a continuing system of mentoring 
                and advising that--
                          (i) is coordinated with the Federal 
                        and State community service 
                        initiatives; [and]
                          (ii) may include such support 
                        services as after school and summer 
                        tutoring, assistance in obtaining 
                        summer jobs, career mentoring, [and 
                        academic counseling.], academic 
                        counseling, and financial literacy and 
                        economic literacy education or 
                        counseling; and
                          (iii) may include special programs or 
                        tutoring in science, technology, 
                        engineering, or mathematics.

           *       *       *       *       *       *       *

                  (F) Fostering and improving parent and family 
                involvement in elementary and secondary 
                education by promoting the advantages of a 
                college education, and emphasizing academic 
                admission requirements and the need to take 
                college preparation courses, through parent 
                engagement and leadership activities.
                  (G) Engaging entities described in section 
                404A(c)(2)(C) in a collaborative manner to 
                provide matching resources and participate in 
                other activities authorized under this section.
                  (H) Disseminating information that promotes 
                the importance of higher education, explains 
                college preparation and admission requirements, 
                and raises awareness of the resources and 
                services provided by the eligible entities 
                described in section 404A(c) to eligible 
                students, their families, and communities.
          (3) Additional permissible activities for states.--In 
        meeting the requirements of subsection (a), an eligible 
        entity described in section 404A(c) (1) receiving funds 
        under this chapter may, in addition to the activities 
        authorized by paragraph (2) of this subsection, use 
        funds to provide technical assistance to--
                  (A) middle schools or secondary schools that 
                are located within the State; or
                  (B) partnerships described in section 
                404A(c)(2) that are located within the State.
  (c) Priority Students.--For eligible entities not using a 
cohort approach, the eligible entity shall treat as priority 
students any student in preschool through [grade 12 who is 
eligible] grade 12, and may consider a student in the first 
year of attendance at an institution, who is--
          (1) eligible to be counted under section 1124(c) of 
        the Elementary and Secondary Education Act of 1965;
          (2) eligible for free or reduced price meals under 
        the Richard B. Russell National School Lunch Act; [or]
          (3) eligible for assistance pursuant to part A of 
        title IV of the Social Security Act[.];
          (4) in foster care; or
          (5) a homeless or unaccompanied youth as defined in 
        section 725 of the McKinney-Vento Homeless Assistance 
        Act.

           *       *       *       *       *       *       *


SEC. 404E. SCHOLARSHIP COMPONENT.

  (a) In General.--
          (1) States.--In order to receive a grant under this 
        chapter, an eligible entity described in section 
        404A(c)(1) shall establish or maintain a financial 
        assistance program that awards scholarships to students 
        to supplement aid for which they are regularly eligible 
        in accordance with the requirements of this section. 
        The Secretary shall encourage the eligible entity to 
        ensure that a scholarship provided pursuant to this 
        section is available to an eligible student for use at 
        any institution of higher education.
          (2) Partnerships.--An eligible entity described in 
        section 404A(c)(2) may award scholarships to eligible 
        students to supplement aid for which they are regularly 
        eligible in accordance with the requirements of this 
        section.
  (b) Grant Amounts.--The maximum amount of a scholarship that 
an eligible student shall be eligible to receive under this 
section shall be established by the eligible entity. The 
minimum amount of the scholarship for each fiscal year shall 
not be less than the lesser of--
          (1) * * *
          (2) [the maximum Federal Pell Grant] the minimum 
        Federal Pell Grant funded under section 401 for such 
        fiscal year.

           *       *       *       *       *       *       *


SEC. 404H. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
chapter [$200,000,000 for fiscal year 1999 and such sums as may 
be necessary for each of the 4 succeeding fiscal years] 
$400,000,000 for fiscal year 2009 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.

           *       *       *       *       *       *       *


        [CHAPTER 3--ACADEMIC ACHIEVEMENT INCENTIVE SCHOLARSHIPS

[SEC. 406A. SCHOLARSHIPS AUTHORIZED.

  [The Secretary is authorized to award scholarships to 
students who graduate from secondary school after May 1, 2000, 
to enable the students to pay the cost of attendance at an 
institution of higher education during the students first 2 
academic years of undergraduate education, if the students--
          [(1) are eligible to receive Federal Pell Grants for 
        the year in which the scholarships are awarded; and
          [(2) demonstrate academic achievement by graduating 
        in the top 10 percent of their secondary school 
        graduating class.

[SEC. 406B. SCHOLARSHIP PROGRAM REQUIREMENTS.

  [(a) Amount of Award.--
          [(1) In general.--Except as provided in paragraph 
        (2), the amount of a scholarship awarded under this 
        chapter for any academic year shall be equal to 100 
        percent of the amount of the Federal Pell Grant for 
        which the recipient is eligible for the academic year.
          [(2) Adjustment for insufficient appropriations.--If, 
        after the Secretary determines the total number of 
        eligible applicants for an academic year in accordance 
        with section 406C, funds available to carry out this 
        chapter for the academic year are insufficient to fully 
        fund all awards under this chapter for the academic 
        year, the amount of the scholarship paid to each 
        student under this chapter shall be reduced 
        proportionately.
  [(b) Assistance Not To Exceed Cost of Attendance.--A 
scholarship awarded under this chapter to any student, in 
combination with the Federal Pell Grant assistance and other 
student financial assistance available to such student, may not 
exceed the student's cost of attendance.

[SEC. 406C. ELIGIBILITY OF SCHOLARS.

  [(a) Procedures Established by Regulation.--The Secretary 
shall establish by regulation procedures for the determination 
of eligibility of students for the scholarships awarded under 
this chapter. Such procedures shall include measures to prevent 
any secondary school from certifying more than 10 percent of 
the school's students for eligibility under this section.
  [(b) Coordination.--In prescribing procedures under 
subsection (a), the Secretary shall ensure that the 
determination of eligibility and the amount of the scholarship 
is determined in a timely and accurate manner consistent with 
the requirements of section 482 and the submission of the 
financial aid form required by section 483. For such purposes, 
the Secretary may provide that, for the first academic year of 
a student's 2 academic years of eligibility under this chapter, 
class rank may be determined prior to graduation from secondary 
school, at such time and in such manner as the Secretary may 
specify in regulations prescribed under this chapter.

[SEC. 406D. STUDENT REQUIREMENTS.

  [(a) In General.--Each eligible student desiring a 
scholarship under this chapter shall submit an application to 
the Secretary at such time, in such manner, and containing such 
information as the Secretary may reasonably require.
  [(b) Continuing Eligibility.--In order for a student to 
continue to be eligible to receive a scholarship under this 
chapter for the second year of undergraduate education, the 
eligible student shall maintain eligibility to receive a 
Federal Pell Grant for that year, including fulfilling the 
requirements for satisfactory progress described in section 
484(c).

[SEC. 407E. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated to carry out this 
chapter $200,000,000 for fiscal year 1999 and such sums as may 
be necessary for each of the 4 succeeding fiscal years.]

     Subpart 3--Federal Supplemental Educational Opportunity Grants

SEC. 413A. PURPOSE; APPROPRIATIONS AUTHORIZED.

  (a) * * *
  (b) Authorization of Appropriations.--(1) For the purpose of 
enabling the Secretary to make payments to institutions of 
higher education which have made agreements with the Secretary 
in accordance with section 413C(a), for use by such 
institutions for payments to undergraduate students of 
supplemental grants awarded to them under this subpart, there 
are authorized to be appropriated [$675,000,000 for fiscal year 
1999] $875,000,000 for fiscal year 2009 and such sums as may be 
necessary for the 4 succeeding fiscal years.

           *       *       *       *       *       *       *


SEC. 413D. ALLOCATION OF FUNDS.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Determination of Institution's Need.--(1) * * *

           *       *       *       *       *       *       *

  (3)(A) * * *

           *       *       *       *       *       *       *

  (D) The allowance for books and supplies described in 
subparagraph (A)(iii) is equal to [$450] $600.

           *       *       *       *       *       *       *


    Subpart 4--Leveraging Educational Assistance Partnership Program

SEC. 415A. PURPOSE; APPROPRIATIONS AUTHORIZED.

  (a) * * *
  (b) Authorization of Appropriations; Availability.--
          [(1) In general.--There are authorized to be 
        appropriated $105,000,000 for fiscal year 1999, and 
        such sums as may be necessary for each of the 4 
        succeeding fiscal years.
          [(2) Reservation.--For any fiscal year for which the 
        amount appropriated under paragraph (1) exceeds 
        $30,000,000, the excess shall be available to carry out 
        section 415E.]
          (1) In general.--There are authorized to be 
        appropriated to carry out this subpart $200,000,000 for 
        fiscal year 2009 and such sums as may be necessary for 
        each of the 4 succeeding fiscal years.
          (2) Reservation.--For any fiscal year for which the 
        amount appropriated under paragraph (1) exceeds 
        $30,000,000, the excess amount shall be available to 
        carry out section 415E.

           *       *       *       *       *       *       *


SEC. 415C. APPLICATIONS FOR LEVERAGING EDUCATIONAL ASSISTANCE 
                    PARTNERSHIP PROGRAMS.

  (a) * * *
  (b) Payment of Federal Share of Grants Made by Qualified 
Program.--From a State's allotment under this subpart for any 
fiscal year the Secretary is authorized to make payments to 
such State for paying up to 50 percent of the amount of student 
grants pursuant to a State program which--
          (1) * * *
          (2) provides that such grants will be in amounts not 
        in excess of [$5,000] $12,500 per academic year (A) for 
        attendance on a full-time basis at an institution of 
        higher education, and (B) for campus-based community 
        service work learning study jobs;

           *       *       *       *       *       *       *

          (9) provides (A) for such fiscal control and fund 
        accounting procedures as may be necessary to assure 
        proper disbursement of and accounting for Federal funds 
        paid to the State agency under this subpart, and (B) 
        for the making of such reports, in such form and 
        containing such information, as may be reasonably 
        necessary to enable the Secretary to perform his 
        functions under this subpart; [and]
          (10) for any academic year beginning after June 30, 
        1987, provides the non-Federal share of the amount of 
        student grants or work-study jobs under this subpart 
        through a direct appropriation of State funds for the 
        program under this subpart[.]; and
          (11) provides notification to eligible students that 
        such grants are--
                  (A) Leveraging Educational Assistance 
                Partnership Grants; and
                  (B) funded by the Federal Government and the 
                State.

           *       *       *       *       *       *       *


[SEC. 415E. SPECIAL LEVERAGING EDUCATIONAL ASSISTANCE PARTNERSHIP 
                    PROGRAM.

  [(a) In General.--From amounts reserved under section 
415A(b)(2) for each fiscal year, the Secretary shall--
          [(1) make allotments among States in the same manner 
        as the Secretary makes allotments among States under 
        section 415B; and
          [(2) award grants to States, from allotments under 
        paragraph (1), to enable the States to pay the Federal 
        share of the cost of the authorized activities 
        described in subsection (c).
  [(b) Applicability Rule.--The provisions of this subpart 
which are not inconsistent with this section shall apply to the 
program authorized by this section.
  [(c) Authorized Activities.--Each State receiving a grant 
under this section may use the grant funds for--
          [(1) making awards that--
                  [(A) supplement grants received under section 
                415C(b)(2) by eligible students who demonstrate 
                financial need; or
                  [(B) provide grants under section 415C(b)(2) 
                to additional eligible students who demonstrate 
                financial need;
          [(2) providing scholarships for eligible students--
                  [(A) who demonstrate financial need; and
                  [(B) who--
                          [(i) desire to enter a program of 
                        study leading to a career in--
                                  [(I) information technology;
                                  [(II) mathematics, computer 
                                science, or engineering;
                                  [(III) teaching; or
                                  [(IV) another field 
                                determined by the State to be 
                                critical to the State's 
                                workforce needs; or
                          [(ii) demonstrate merit or academic 
                        achievement; and
          [(3) making awards that--
                  [(A) supplement community service work-study 
                awards received under section 415C(b)(2) by 
                eligible students who demonstrate financial 
                need; or
                  [(B) provide community service work-study 
                awards under section 415C(b)(2) to additional 
                eligible students who demonstrate financial 
                need.
  [(d) Maintenance of Effort Requirement.--Each State receiving 
a grant under this section for a fiscal year shall provide the 
Secretary an assurance that the aggregate amount expended per 
student or the aggregate expenditures by the State, from funds 
derived from non-Federal sources, for the authorized activities 
described in subsection (c) for the preceding fiscal year were 
not less than the amount expended per student or the aggregate 
expenditures by the State for the activities for the second 
preceding fiscal year.
  [(e) Federal Share.--The Federal share of the cost of the 
authorized activities described in subsection (c) for any 
fiscal year shall be not more than 33\1/3\ percent.
  [(f) Special Rule.--Notwithstanding subsection (d), for 
purposes of determining a State's share of the cost of the 
authorized activities described in subsection (c), the State 
shall consider only those expenditures from non-Federal sources 
that exceed its total expenditures for need-based grants, 
scholarships, and work-study assistance for fiscal year 1999 
(including any such assistance provided under this subpart).
  [(g) Use of Funds for Administrative Costs Prohibited.--A 
State receiving a grant under this section shall not use any of 
the grant funds to pay administrative costs associated with any 
of the authorized activities described in subsection (c).]

SEC. 415E. GRANTS FOR ACCESS AND PERSISTENCE.

  (a) Purpose.--It is the purpose of this section to expand 
college access and increase college persistence by making 
allotments to States to enable the States to--
          (1) expand and enhance partnerships with institutions 
        of higher education, early information and 
        intervention, mentoring, or outreach programs, private 
        corporations, philanthropic organizations, and other 
        interested parties to carry out activities under this 
        section and to provide coordination and cohesion among 
        Federal, State, and local governmental and private 
        efforts that provide financial assistance to help low-
        income students attend college;
          (2) provide need-based access and persistence grants 
        to eligible low-income students;
          (3) provide early notification to low-income students 
        of their eligibility for financial aid; and
          (4) encourage increased participation in early 
        information and intervention, mentoring, or outreach 
        programs.
  (b) Allotments to States.--
          (1) In general.--
                  (A) Authorization.--From sums reserved under 
                section 415A(b)(2) for each fiscal year, the 
                Secretary shall make an allotment to each State 
                that submits an application for an allotment in 
                accordance with subsection (c) to enable the 
                State to pay the Federal share of the cost of 
                carrying out the activities under subsection 
                (d).
                  (B) Determination of allotment.--In making 
                allotments under subparagraph (A), the 
                Secretary shall consider the following:
                          (i) Continuation of award.--If a 
                        State continues to meet the 
                        specifications established in its 
                        application under subsection (c), the 
                        Secretary shall make an allotment to 
                        such State that is not less than the 
                        allotment made to such State for the 
                        previous fiscal year.
                          (ii) Priority.--The Secretary shall 
                        give priority in making allotments to 
                        States that meet the requirements under 
                        paragraph (2)(B)(ii).
          (2) Federal share.--
                  (A) In general.--The Federal share of the 
                cost of carrying out the activities under 
                subsection (d) for any fiscal year shall not 
                exceed 66.66 percent.
                  (B) Different percentages.--The Federal share 
                under this section shall be determined in 
                accordance with the following:
                          (i) The Federal share of the cost of 
                        carrying out the activities under 
                        subsection (d) shall be equal to 57 
                        percent if a State applies for an 
                        allotment under this section in 
                        partnership with any number of degree-
                        granting institutions of higher 
                        education in the State whose combined 
                        full-time enrollment represents less 
                        than a majority of all students 
                        attending institutions of higher 
                        education in the State, and--
                                  (I) philanthropic 
                                organizations that are located 
                                in, or that provide funding in, 
                                the State; or
                                  (II) private corporations 
                                that are located in, or that do 
                                business in, the State.
                          (ii) The Federal share of the cost of 
                        carrying out the activities under 
                        subsection (d) shall be equal to 66.66 
                        percent if a State applies for an 
                        allotment under this section in 
                        partnership with any number of degree-
                        granting institutions of higher 
                        education in the State whose combined 
                        full-time enrollment represents a 
                        majority of all students attending 
                        institutions of higher education in the 
                        State, and--
                                  (I) philanthropic 
                                organizations that are located 
                                in, or that provide funding in, 
                                the State; or
                                  (II) private corporations 
                                that are located in, or that do 
                                business in, the State.
                  (C) Non-federal share.--
                          (i) In general.--The non-Federal 
                        share under this section may be 
                        provided in cash or in kind, fairly 
                        evaluated.
                          (ii) In kind contribution.--For the 
                        purpose of calculating the non-Federal 
                        share under this subparagraph, an in 
                        kind contribution is a non-cash 
                        contribution that--
                                  (I) has monetary value, such 
                                as the provision of--
                                          (aa) room and board; 
                                        or
                                          (bb) transportation 
                                        passes; and
                                  (II) helps a student meet the 
                                cost of attendance at an 
                                institution of higher 
                                education.
                          (iii) Effect on needs analysis.--For 
                        the purpose of calculating a student's 
                        need in accordance with part F, an in 
                        kind contribution described in clause 
                        (ii) shall not be considered an asset 
                        or income of the student or the 
                        student's parent.
  (c) Application for Allotment.--
          (1) In general.--
                  (A) Submission.--A State that desires to 
                receive an allotment under this section shall 
                submit an application to the Secretary at such 
                time, in such manner, and containing such 
                information as the Secretary may require.
                  (B) Content.--An application submitted under 
                subparagraph (A) shall include the following:
                          (i) A description of the State's plan 
                        for using the allotted funds.
                          (ii) Assurances that the State will 
                        provide matching funds, in cash or in 
                        kind, from State, institutional, 
                        philanthropic, or private funds, of not 
                        less than 33.33 percent of the cost of 
                        carrying out the activities under 
                        subsection (d). The State shall specify 
                        the methods by which matching funds 
                        will be paid and include provisions 
                        designed to ensure that funds provided 
                        under this section will be used to 
                        supplement, and not supplant, Federal 
                        and non-Federal funds available for 
                        carrying out the activities under this 
                        title. A State that uses non-Federal 
                        funds to create or expand existing 
                        partnerships with nonprofit 
                        organizations or community-based 
                        organizations in which such 
                        organizations match State funds for 
                        student scholarships, may apply such 
                        matching funds from such organizations 
                        toward fulfilling the State's matching 
                        obligation under this clause.
                          (iii) Assurances that early 
                        information and intervention, 
                        mentoring, or outreach programs exist 
                        within the State or that there is a 
                        plan to make such programs widely 
                        available.
                          (iv) A description of the 
                        organizational structure that the State 
                        has in place to administer the 
                        activities under subsection (d).
                          (v) A description of the steps the 
                        State will take to ensure students who 
                        receive grants under this section 
                        persist to degree completion.
                          (vi) Assurances that the State has a 
                        method in place, such as acceptance of 
                        the automatic zero expected family 
                        contribution determination described in 
                        section 479(c), to identify eligible 
                        low-income students and award State 
                        grant aid to such students.
                          (vii) Assurances that the State will 
                        provide notification to eligible low-
                        income students that grants under this 
                        section are--
                                  (I) Leveraging Educational 
                                Assistance Partnership Grants; 
                                and
                                  (II) funded by the Federal 
                                Government and the State.
          (2) State agency.--The State agency that submits an 
        application for a State under section 415C(a) shall be 
        the same State agency that submits an application under 
        paragraph (1) for such State.
          (3) Partnership.--In applying for an allotment under 
        this section, the State agency shall apply for the 
        allotment in partnership with--
                  (A) not less than one public and one private 
                degree-granting institution of higher education 
                that are located in the State;
                  (B) new or existing early information and 
                intervention, mentoring, or outreach programs 
                located in the State; and
                  (C) not less than one--
                          (i) philanthropic organization 
                        located in, or that provides funding 
                        in, the State; or
                          (ii) private corporation located in, 
                        or that does business in, the State.
          (4) Roles of partners.--
                  (A) State agency.--A State agency that is in 
                a partnership receiving an allotment under this 
                section--
                          (i) shall--
                                  (I) serve as the primary 
                                administrative unit for the 
                                partnership;
                                  (II) provide or coordinate 
                                matching funds, and coordinate 
                                activities among partners;
                                  (III) encourage each 
                                institution of higher education 
                                in the State to participate in 
                                the partnership;
                                  (IV) make determinations and 
                                early notifications of 
                                assistance as described under 
                                subsection (d)(2); and
                                  (V) annually report to the 
                                Secretary on the partnership's 
                                progress in meeting the purpose 
                                of this section; and
                          (ii) may provide early information 
                        and intervention, mentoring, or 
                        outreach programs.
                  (B) Degree-granting institutions of higher 
                education.--A degree-granting institution of 
                higher education (as defined in section 102) 
                that is in a partnership receiving an allotment 
                under this section--
                          (i) shall--
                                  (I) recruit and admit 
                                participating qualified 
                                students and provide such 
                                additional institutional grant 
                                aid to participating students 
                                as agreed to with the State 
                                agency;
                                  (II) provide support services 
                                to students who receive an 
                                access and persistence grant 
                                under this section and are 
                                enrolled at such institution; 
                                and
                                  (III) assist the State in the 
                                identification of eligible 
                                students and the dissemination 
                                of early notifications of 
                                assistance as agreed to with 
                                the State agency; and
                          (ii) may provide funding for early 
                        information and intervention, 
                        mentoring, or outreach programs or 
                        provide such services directly.
                  (C) Programs.--An early information and 
                intervention, mentoring, or outreach program 
                that is in a partnership receiving an allotment 
                under this section shall provide direct 
                services, support, and information to 
                participating students.
                  (D) Philanthropic organization or private 
                corporation.--A philanthropic organization or 
                private corporation that is in a partnership 
                receiving an allotment under this section shall 
                provide funds for access and persistence grants 
                for participating students, or provide funds or 
                support for early information and intervention, 
                mentoring, or outreach programs.
  (d) Authorized Activities.--
          (1) In general.--
                  (A) Establishment of partnership.--Each State 
                receiving an allotment under this section shall 
                use the funds to establish a partnership to 
                award access and persistence grants to eligible 
                low-income students in order to increase the 
                amount of financial assistance such students 
                receive under this subpart for undergraduate 
                education expenses.
                  (B) Amount.--
                          (i) Partnerships with institutions 
                        serving less than a majority of 
                        students in the state.--
                                  (I) In general.--In the case 
                                where a State receiving an 
                                allotment under this section is 
                                in a partnership described in 
                                subsection (b)(2)(B)(i), the 
                                amount of an access and 
                                persistence grant awarded by 
                                such State shall be not less 
                                than the amount that is equal 
                                to the average undergraduate 
                                tuition and mandatory fees at 
                                4-year public institutions of 
                                higher education in the State 
                                where the student resides (less 
                                any other Federal or State 
                                sponsored grant amount, college 
                                work study amount, and 
                                scholarship amount received by 
                                the student) and such amount 
                                shall be used toward the cost 
                                of attendance at an institution 
                                of higher education, located in 
                                the State, that is a partner in 
                                the partnership.
                                  (II) Cost of attendance.--A 
                                State that has a program, apart 
                                from the partnership under this 
                                section, of providing eligible 
                                low-income students with grants 
                                that are equal to the average 
                                undergraduate tuition and 
                                mandatory fees at 4-year public 
                                institutions of higher 
                                education in the State, may 
                                increase the amount of access 
                                and persistence grants awarded 
                                by such State up to an amount 
                                that is equal to the average 
                                cost of attendance at 4-year 
                                public institutions of higher 
                                education in the State (less 
                                any other Federal or State 
                                sponsored grant amount, college 
                                work study amount, and 
                                scholarship amount received by 
                                the student).
                          (ii) Partnership with institutions 
                        serving the majority of students in the 
                        state.--In the case where a State 
                        receiving an allotment under this 
                        section is in a partnership described 
                        in subsection (b)(2)(B)(ii), the amount 
                        of an access and persistence grant 
                        awarded by such State shall be not less 
                        than the average cost of attendance at 
                        4-year public institutions of higher 
                        education in the State where the 
                        student resides (less any other Federal 
                        or State sponsored grant amount, 
                        college work study amount, and 
                        scholarship amount received by the 
                        student) and such amount shall be used 
                        by the student to attend an institution 
                        of higher education, located in the 
                        State, that is a partner in the 
                        partnership.
          (2) Early notification.--
                  (A) In general.--Each State receiving an 
                allotment under this section shall annually 
                notify low-income students (such as students 
                who are eligible to receive a free lunch under 
                the school lunch program established under the 
                Richard B. Russell National School Lunch Act 
                (42 U.S.C. 1751 et seq.)) in grade 7 through 
                grade 12 in the State, and their families, of 
                their potential eligibility for student 
                financial assistance, including an access and 
                persistence grant, to attend an institution of 
                higher education.
                  (B) Content of notice.--The notification 
                under subparagraph (A)--
                          (i) shall include--
                                  (I) information about early 
                                information and intervention, 
                                mentoring, or outreach programs 
                                available to the student;
                                  (II) information that a 
                                student's candidacy for an 
                                access and persistence grant is 
                                enhanced through participation 
                                in an early information and 
                                intervention, mentoring, or 
                                outreach program;
                                  (III) an explanation that 
                                student and family eligibility 
                                and participation in other 
                                Federal means-tested programs 
                                may indicate eligibility for an 
                                access and persistence grant 
                                and other student aid programs;
                                  (IV) a nonbinding estimation 
                                of the total amount of 
                                financial aid a low-income 
                                student with a similar income 
                                level may expect to receive, 
                                including an estimation of the 
                                amount of an access and 
                                persistence grant and an 
                                estimation of the amount of 
                                grants, loans, and all other 
                                available types of aid from the 
                                major Federal and State 
                                financial aid programs;
                                  (V) an explanation that in 
                                order to be eligible for an 
                                access and persistence grant, 
                                at a minimum, a student shall 
                                meet the requirement under 
                                paragraph (3), graduate from 
                                secondary school, and enroll at 
                                an institution of higher 
                                education that is a partner in 
                                the partnership;
                                  (VI) information on any 
                                additional requirements (such 
                                as a student pledge detailing 
                                student responsibilities) that 
                                the State may impose for 
                                receipt of an access and 
                                persistence grant under this 
                                section; and
                                  (VII) instructions on how to 
                                apply for an access and 
                                persistence grant and an 
                                explanation that a student is 
                                required to file a Free 
                                Application for Federal Student 
                                Aid authorized under section 
                                483(a) to be eligible for such 
                                grant and assistance from other 
                                Federal and State financial aid 
                                programs; and
                          (ii) may include a disclaimer that 
                        access and persistence grant awards are 
                        contingent upon--
                                  (I) a determination of the 
                                student's financial eligibility 
                                at the time of the student's 
                                enrollment at an institution of 
                                higher education that is a 
                                partner in the partnership;
                                  (II) annual Federal and State 
                                appropriations; and
                                  (III) other aid received by 
                                the student at the time of the 
                                student's enrollment at an 
                                institution of higher education 
                                that is a partner in the 
                                partnership.
          (3) Eligibility.--In determining which students are 
        eligible to receive access and persistence grants, the 
        State shall ensure that each such student complies with 
        the following subparagraph (A) or (B):
                  (A) Meets not less than 2 of the following 
                criteria, with priority given to students 
                meeting all of the following criteria:
                          (i) Has an expected family 
                        contribution equal to zero (as 
                        described in section 479) or a 
                        comparable alternative based upon the 
                        State's approved criteria in section 
                        415C(b)(4).
                          (ii) Has qualified for a free lunch, 
                        or at the State's discretion a reduced 
                        price lunch, under the school lunch 
                        program established under the Richard 
                        B. Russell National School Lunch Act.
                          (iii) Qualifies for the State's 
                        maximum undergraduate award, as 
                        authorized under section 415C(b).
                          (iv) Is participating in, or has 
                        participated in, a Federal, State, 
                        institutional, or community early 
                        information and intervention, 
                        mentoring, or outreach program, as 
                        recognized by the State agency 
                        administering activities under this 
                        section.
                  (B) Is receiving, or has received, an access 
                and persistence grant under this section, in 
                accordance with paragraph (5).
          (4) Grant award.--Once a student, including a student 
        who has received early notification under paragraph (2) 
        from the State, applies for admission to an institution 
        that is a partner in the partnership, files a Free 
        Application for Federal Student Aid and any related 
        State form, and is determined to be eligible by the 
        State under paragraph (3), the State shall--
                  (A) issue the student a preliminary access 
                and persistence grant award certificate with 
                tentative award amounts; and
                  (B) inform the student that payment of the 
                access and persistence grant award amounts is 
                subject to certification of enrollment and 
                award eligibility by the institution of higher 
                education.
          (5) Duration of award.--An eligible student that 
        receives an access and persistence grant under this 
        section shall receive such grant award for each year of 
        such student's undergraduate education in which the 
        student remains eligible for assistance under this 
        title, including pursuant to section 484(c), and 
        remains financially eligible as determined by the 
        State, except that the State may impose reasonable time 
        limits to baccalaureate degree completion.
  (e) Administrative Cost Allowance.--A State that receives an 
allotment under this section may reserve not more than 3.5 
percent of the funds made available annually through the 
allotment for State administrative functions required to carry 
out this section.
  (f) Statutory and Regulatory Relief for Institutions of 
Higher Education.--The Secretary may grant, upon the request of 
an institution of higher education that is in a partnership 
described in subsection (b)(2)(B)(ii) and that receives an 
allotment under this section, a waiver for such institution 
from statutory or regulatory requirements that inhibit the 
ability of the institution to successfully and efficiently 
participate in the activities of the partnership.
  (g) Applicability Rule.--The provisions of this subpart which 
are not inconsistent with this section shall apply to the 
program authorized by this section.
  (h) Maintenance of Effort Requirement.--Each State receiving 
an allotment under this section for a fiscal year shall provide 
the Secretary an assurance that the aggregate amount expended 
per student or the aggregate expenditures by the State, from 
funds derived from non-Federal sources, for the authorized 
activities described in subsection (d) for the preceding fiscal 
year were not less than the amount expended per student or the 
aggregate expenditure by the State for such activities for the 
second preceding fiscal year.
  (i) Special Rule.--Notwithstanding subsection (h), for 
purposes of determining a State's share of the cost of the 
authorized activities described in subsection (d), the State 
shall consider only those expenditures from non-Federal sources 
that exceed its total expenditures for need-based grants, 
scholarships, and work-study assistance for fiscal year 1999 
(including any such assistance provided under this subpart).
  (j) Reports.--Not later than 3 years after the date of 
enactment of the College Opportunity and Affordability Act of 
2007, and annually thereafter, the Secretary shall submit a 
report describing the activities and the impact of the 
partnerships under this section to the authorizing committees.

           *       *       *       *       *       *       *


Subpart 5--Special Programs for Students Whose Families Are Engaged in 
                     Migrant and Seasonal Farmwork

SEC. 418A. MAINTENANCE AND EXPANSION OF EXISTING PROGRAMS.

  (a) * * *
  (b) Services Provided by High School Equivalency Program.--
The services authorized by this subpart for the high school 
equivalency program include--
          (1) recruitment services to reach persons--
                  (A) * * *
                  (B)(i) who themselves, or whose [parents] 
                immediate family, have spent a minimum of 75 
                days during the past 24 months in migrant and 
                seasonal farmwork; or

           *       *       *       *       *       *       *

          (3) supportive services which include the following:
                  (A) * * *
                  (B) placement services designed to place 
                students in a university, college, or junior 
                college program (including preparation for 
                college entrance examinations), or in military 
                service or career positions; and

           *       *       *       *       *       *       *

          (5) [weekly] stipends for high school equivalency 
        program participants;

           *       *       *       *       *       *       *

          (7) exposure to cultural events, academic programs, 
        and other educational and cultural activities usually 
        not available to migrant youth; [and]
          (8) other essential supportive services (such as 
        transportation and child care), as needed to ensure the 
        success of eligible students[.]; and
          (9) other activities to improve persistence and 
        retention in postsecondary education.
  (c) Services Provided by College Assistance Migrant 
Program.--(1) Services authorized by this subpart for the 
college assistance migrant program include--
          (A) outreach and recruitment services to reach 
        persons who themselves or whose [parents] immediate 
        family have spent a minimum of 75 days during the past 
        24 months in migrant and seasonal farmwork or who have 
        participated or are eligible to participate, in 
        programs under part C of title I of the Elementary and 
        Secondary Education Act of 1965 (or such part's 
        predecessor authority) or section 402 of the Job 
        Training Partnership Act or section 167 of the 
        Workforce Investment Act of 1998, and who meet the 
        minimum qualifications for attendance at a college or 
        university;
          (B) supportive and instructional services to improve 
        placement, persistence, and retention in postsecondary 
        education, which include:
                  (i) personal, academic, [and career] career, 
                and economic education or personal finance 
                counseling as an ongoing part of the program;

           *       *       *       *       *       *       *

          (E) exposure to cultural events, academic programs, 
        and other activities not usually available to migrant 
        youth; [and]
          (F) internships; and
          [(F)] (G) other [support services] essential 
        supportive services (such as transportation and child 
        care) as necessary to ensure the success of eligible 
        students.
  (2) A recipient of a grant to operate a college assistance 
migrant program under this subpart shall provide followup 
services for migrant students after such students have 
completed their first year of college, and shall not use more 
than 10 percent of such grant for such followup services. Such 
followup services may include--
          (A) monitoring and reporting the academic progress of 
        students who participated in the project during such 
        student's first year of college and during such 
        student's subsequent years in college; [and]
          (B) referring such students to on- or off-campus 
        providers of counseling services, academic assistance, 
        or financial aid[.], and coordinating such services, 
        assistance, and aid with other non-program services, 
        assistance, and aid, including services, assistance, 
        and aid provided by community-based organizations, 
        which may include mentoring and guidance; and
          (C) for students attending 2-year institutions of 
        higher education, encouraging the students to transfer 
        to 4-year institutions of higher education, where 
        appropriate, and monitoring the rate of transfer of 
        such students.

           *       *       *       *       *       *       *

  (e) Five-Year Grant Period; Consideration of Prior 
Experience.--Except under extraordinary circumstances, the 
Secretary shall award grants for a 5-year period. For the 
purpose of making grants under this subpart, the Secretary 
shall consider the prior experience of service delivery under 
the particular project for which funds are sought by each 
applicant. Such prior experience shall be awarded the same 
level of consideration given this factor for applicants for 
programs in accordance with [section 402A(c)(1)] section 
402A(c)(2).
  (f) Minimum Allocations.--The Secretary shall not allocate an 
amount less than--
          (1) [$150,000] $180,000 for each project under the 
        high school equivalency program, and
          (2) [$150,000] $180,000 for each project under the 
        college assistance migrant program.
  (g) Reservation of Funds.--From the amounts made available 
under subsection (i), the Secretary may reserve not more than a 
total of one-half of 1 percent for outreach activities, 
technical assistance, and professional development programs 
relating to the programs under subsection (a).
  (h) Data Collection.--The Commissioner for Education 
Statistics shall--
          (1) annually collect data on persons receiving 
        services authorized under this subpart regarding such 
        persons rates of secondary school graduation, entrance 
        into postsecondary education, and completion of 
        postsecondary education;
          (2) not less often than once every 2 years, prepare 
        and submit to the authorizing committees a report based 
        on the most recently available data under paragraph (1) 
        to the authorizing committees; and
          (3) make such report available to the public.
  [(g) Data Collection.--The National Center for Education 
Statistics shall collect postsecondary education data on 
migrant students.]
  [(h)] (i) Authorization of Appropriations.--(1) There are 
authorized to be appropriated for the high school equivalency 
program [$15,000,000 for fiscal year 1999 and such sums as may 
be necessary for each of the 4 succeeding fiscal years.] such 
sums as may be necessary for fiscal year 2009 and each of the 4 
succeeding fiscal years.
  (2) There are authorized to be appropriated for the college 
assistance migrant program [$5,000,000 for fiscal year 1999 and 
such sums as may be necessary for each of the 4 succeeding 
fiscal years.] such sums for fiscal year 2009 and each of the 4 
succeeding fiscal years.

           *       *       *       *       *       *       *


         [Subpart 6--Robert C. Byrd Honors Scholarship Program

[SEC. 419A. STATEMENT OF PURPOSE.

  [It is the purpose of this subpart to establish a Robert C. 
Byrd Honors Scholarship Program to promote student excellence 
and achievement and to recognize exceptionally able students 
who show promise of continued excellence.

[SEC. 419C. SCHOLARSHIPS AUTHORIZED.

  [(a) Program Authority.--The Secretary is authorized, in 
accordance with the provisions of this subpart, to make grants 
to States to enable the States to award scholarships to 
individuals who have demonstrated outstanding academic 
achievement and who show promise of continued academic 
achievement.
  [(b) Period of Award.--Scholarships under this section shall 
be awarded for a period of not less than 1 or more than 4 years 
during the first 4 years of study at any institution of higher 
education eligible to participate in any programs assisted 
under this title. The State educational agency administering 
the program in a State shall have discretion to determine the 
period of the award (within the limits specified in the 
preceding sentence), except that--
          [(1) if the amount appropriated for this subpart for 
        any fiscal year exceeds the amount appropriated for 
        this subpart for fiscal year 1993, the Secretary shall 
        identify to each State educational agency the number of 
        scholarships available to that State under section 
        419D(b) that are attributable to such excess;
          [(2) the State educational agency shall award not 
        less than that number of scholarships for a period of 4 
        years.
  [(c) Use at Any Institution Permitted.--A student awarded a 
scholarship under this subpart may attend any institution of 
higher education.
  [(d) Byrd Scholars.--Individuals awarded scholarships under 
this subpart shall be known as ``Byrd Scholars''.

[SEC. 419D. ALLOCATION AMONG STATES.

  [(a) Allocation Formula.--From the sums appropriated pursuant 
to the authority of section 419K for any fiscal year, the 
Secretary shall allocate to each State that has an agreement 
under section 419E an amount equal to $1,500 multiplied by the 
number of scholarships determined by the Secretary to be 
available to such State in accordance with subsection (b).
  [(b) Number of Scholarships Available.--The number of 
scholarships to be made available in a State for any fiscal 
year shall bear the same ratio to the number of scholarships 
made available to all States as the State's population ages 5 
through 17 bears to the population ages 5 through 17 in all the 
States, except that not less than 10 scholarships shall be made 
available to any State.
  [(c) Use of Census Data.--For the purpose of this section, 
the population ages 5 through 17 in a State and in all the 
States shall be determined by the most recently available data, 
satisfactory to the Secretary, from the Bureau of the Census.
  [(d) Consolidation by Insular Areas Prohibited.--
Notwithstanding section 501 of Public Law 95-1134 (48 U.S.C. 
1469a), funds allocated under this part to an Insular Area 
described in that section shall be deemed to be direct payments 
to classes of individuals, and the Insular Area may not 
consolidate such funds with other funds received by the Insular 
Area from any department or agency of the United States 
Government.
  [(e) FAS Eligibility.--
          [(1) Fiscal years 2000 through 2004.--Notwithstanding 
        any other provision of this subpart, in the case of 
        students from the Freely Associated States who may be 
        selected to receive a scholarship under this subpart 
        for the first time for any of the fiscal years 2000 
        through 2004--
                  [(A) there shall be 10 scholarships in the 
                aggregate awarded to such students for each of 
                the fiscal years 2000 through 2004; and
                  [(B) the Pacific Regional Educational 
                Laboratory shall administer the program under 
                this subpart in the case of scholarships for 
                students in the Freely Associated States.
          [(2) Termination of eligibility.--A student from the 
        Freely Associated States shall not be eligible to 
        receive a scholarship under this subpart after 
        September 30, 2004.

[SEC. 419E. AGREEMENTS.

  [The Secretary shall enter into an agreement with each State 
desiring to participate in the scholarship program authorized 
by this subpart. Each such agreement shall include provisions 
designed to assure that--
          [(1) the State educational agency will administer the 
        scholarship program authorized by this subpart in the 
        State;
          [(2) the State educational agency will comply with 
        the eligibility and selection provisions of this 
        subpart;
          [(3) the State educational agency will conduct 
        outreach activities to publicize the availability of 
        scholarships under this subpart to all eligible 
        students in the State, with particular emphasis on 
        activities designed to assure that students from low-
        income and moderate-income families have access to the 
        information on the opportunity for full participation 
        in the scholarship program authorized by this subpart; 
        and
          [(4) the State educational agency will pay to each 
        individual in the State who is awarded a scholarship 
        under this subpart $1,500.

[SEC. 419F. ELIGIBILITY OF SCHOLARS.

  [(a) High School Graduation or Equivalent and Admission to 
Institution Required.--Each student awarded a scholarship under 
this subpart shall be a graduate of a public or private 
secondary school or have the equivalent of a certificate of 
graduation as recognized by the State in which the student 
resides and must have been admitted for enrollment at an 
institution of higher education.
  [(b) Selection Based on Promise of Academic Achievement.--
Each student awarded a scholarship under this subpart must 
demonstrate outstanding academic achievement and show promise 
of continued academic achievement.

[SEC. 419G. SELECTION OF SCHOLARS.

  [(a) Establishment of Criteria.--The State educational agency 
is authorized to establish the criteria for the selection of 
scholars under this subpart.
  [(b) Adoption of Procedures.--The State educational agency 
shall adopt selection procedures designed to ensure an 
equitable geographic distribution of awards within the State 
(and in the case of the Federated States of Micronesia, the 
Republic of the Marshall Islands, the Virgin Islands, American 
Samoa, the Commonwealth of the Northern Mariana Islands, Guam, 
or Palau (until such time as the Compact of Free Association is 
ratified), not to exceed 10 individuals will be selected from 
such entities).
  [(c) Consultation Requirement.--In carrying out its 
responsibilities under subsections (a) and (b), the State 
educational agency shall consult with school administrators, 
school boards, teachers, counselors, and parents.
  [(d) Timing of Selection.--The selection process shall be 
completed, and the awards made, prior to the end of each 
secondary school academic year.

[SEC. 419H. STIPENDS AND SCHOLARSHIP CONDITIONS.

  [(a) Amount of Award.--Each student awarded a scholarship 
under this subpart shall receive a stipend of $1,500 for the 
academic year of study for which the scholarship is awarded, 
except that in no case shall the total amount of financial aid 
awarded to such student exceed such student's total cost-of-
attendance.
  [(b) Use of Award.--The State educational agency shall 
establish procedures to assure that a scholar awarded a 
scholarship under this subpart pursues a course of study at an 
institution of higher education.

[SEC. 419J. CONSTRUCTION OF NEEDS PROVISIONS.

  [Except as provided in section 471, nothing in this subpart, 
or any other Act, shall be construed to permit the receipt of a 
scholarship under this subpart to be counted for any needs test 
in connection with the awarding of any grant or the making of 
any loan under this Act or any other provision of Federal law 
relating to educational assistance.

[SEC. 419K. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated for this subpart 
$45,000,000 for fiscal year 1999 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.]

       Subpart 6--Robert C. Byrd American Competitiveness Program

SEC. 419A. ROBERT C. BYRD MATHEMATICS AND SCIENCE HONORS SCHOLARSHIP 
                    PROGRAM.

  (a) Purpose.--The purpose of this section is to award 
scholarships to students who are enrolled in studies leading to 
baccalaureate and advanced degrees in physical, life, or 
computer sciences, mathematics, or engineering.
  (b) Definitions.--As used in this section--
          (1) the term ``computer science'' means the branch of 
        knowledge or study of computers, including such fields 
        of knowledge or study as computer hardware, computer 
        software, computer engineering, information systems, 
        and robotics;
          (2) the term ``eligible student'' means a student 
        who--
                  (A) is a citizen of the United States;
                  (B) is selected by the managing agent to 
                receive a scholarship;
                  (C) is enrolled full-time in an institution 
                of higher education, other than a United States 
                service academy; and
                  (D) has shown a commitment to and is pursuing 
                a major in studies leading to a baccalaureate, 
                masters, or doctoral degree (or a combination 
                thereof) in physical, life, or computer 
                sciences, mathematics, or engineering;
          (3) the term ``engineering'' means the science by 
        which the properties of matter and the sources of 
        energy in nature are made useful to humanity in 
        structures, machines, and products, as in the 
        construction of engines, bridges, buildings, mines, and 
        chemical plants, including such fields of knowledge or 
        study as aeronautical engineering, chemical 
        engineering, civil engineering, electrical engineering, 
        industrial engineering, materials engineering, 
        manufacturing engineering, and mechanical engineering;
          (4) the term ``life sciences'' means the branch of 
        knowledge or study of living things, including such 
        fields of knowledge or study as biology, biochemistry, 
        biophysics, microbiology, genetics, physiology, botany, 
        zoology, ecology, and behavioral biology, except that 
        the term does not encompass social psychology or the 
        health professions;
          (5) the term ``managing agent'' means an entity to 
        which an award is made under subsection (c) to manage a 
        program of Mathematics and Science Honors Scholarships;
          (6) the term ``mathematics'' means the branch of 
        knowledge or study of numbers and the systematic 
        treatment of magnitude, relationships between figures 
        and forms, and relations between quantities expressed 
        symbolically, including such fields of knowledge or 
        study as statistics, applied mathematics, and 
        operations research; and
          (7) the term ``physical sciences'' means the branch 
        of knowledge or study of the material universe, 
        including such fields of knowledge or study as 
        astronomy, atmospheric sciences, chemistry, earth 
        sciences, ocean sciences, physics, and planetary 
        sciences.
  (c) Award.--
          (1)(A) From funds appropriated under section 419F to 
        carry out this section, the Secretary is authorized, 
        through a grant or cooperative agreement, to make an 
        award to a private, non-profit organization, other than 
        an institution of higher education or system of 
        institutions of higher education, to manage, through a 
        public and private partnership, a program of 
        Mathematics and Science Honors Scholarships under this 
        section.
          (B) The award under subparagraph (A) shall be for a 
        five-year period.
          (2)(A) One hundred percent of the funds awarded under 
        paragraph (1)(A) for any fiscal year shall be obligated 
        and expended solely on scholarships to eligible 
        students.
          (B) No Federal funds shall be used to provide more 
        than 50 percent of the cost of any scholarship to an 
        eligible student.
          (C) The maximum scholarship award shall be the 
        difference between an eligible student's cost of 
        attendance minus any non-loan based aid such student 
        receives.
          (3)(A) The Secretary may establish--
                  (i) eligibility criteria for applicants for 
                managing agent, including criteria regarding 
                financial and administrative capability; and
                  (ii) operational standards for the managing 
                agent, including management and performance 
                requirements, such as audit, recordkeeping, 
                record retention, and reporting procedures and 
                requirements.
          (B) The Secretary, as necessary, may review and 
        revise any criteria, standards, and rules established 
        under this paragraph and, through the agreement with 
        the managing agent, see that any revisions are 
        implemented.
          (4) If the managing agent fails to meet the 
        requirements of this section the Secretary may 
        terminate the award to the managing agent.
          (5) The Secretary shall conduct outreach efforts to 
        help raise awareness of the Mathematics and Science 
        Honors Scholarships.
  (d) Duties of the Managing Agent.--The managing agent shall--
          (1) develop criteria to award Mathematics and Science 
        Honors Scholarships based on established measurements 
        available to secondary students who wish to pursue 
        degrees in physical, life, or computer sciences, 
        mathematics, or engineering;
          (2) establish a Mathematics and Science Honors 
        Scholarship Fund in a separate, named account that 
        clearly discloses the amount of Federal and non-Federal 
        funds deposited in the account and used for 
        scholarships under this section;
          (3) solicit funds for scholarships and for the 
        administration of the program from non-Federal sources;
          (4) solicit applicants for scholarships;
          (5) from the amounts in the Fund, award scholarships 
        to eligible students and transfer such funds to the 
        institutions of higher education that they attend;
          (6) annually submit to the Secretary a financial 
        audit and a report on the progress of the program, and 
        such other documents as the Secretary may require to 
        determine the effective management of the program; and
          (7) shall not develop a criteria that discriminates 
        against a student based on the type of program in which 
        the student completed his or her secondary education.
  (e) Applications.--
          (1) Any eligible entity that desires to be the 
        managing agent under this section shall submit an 
        application to the Secretary, in such form and 
        containing such information, as the Secretary may 
        require.
          (2) Each application shall include a description of--
                  (A) how the applicant meets or will meet 
                requirements established under subsections 
                (c)(3)(A) and (d);
                  (B) how the applicant will solicit funds for 
                scholarships and for the administration of the 
                program from non-Federal sources;
                  (C) how the applicant will provide nationwide 
                outreach to inform students about the program 
                and to encourage students to pursue degrees in 
                physical, life, or computer sciences, 
                mathematics, or engineering;
                  (D) how the applicant will solicit 
                applications for scholarships, including how 
                the applicant will balance efforts in urban and 
                rural areas;
                  (E) the selection criteria based on 
                established measurements available to secondary 
                students the applicant will use to award 
                scholarships and to renew those awards;
                  (F) how the applicant will inform the 
                institution of higher education chosen by the 
                recipient of the name and scholarship amount of 
                the recipient;
                  (G) what procedures and assurances the 
                applicant and the institution of higher 
                education that the recipient attends will use 
                to verify student eligibility, attendance, 
                degree progress, and academic performance and 
                to deliver and account for payments to such 
                institution;
                  (H) the management (including audit and 
                accounting) procedures the applicant will use 
                for the program;
                  (I) the human, financial, and other resources 
                that the applicant will need and use to manage 
                the program;
                  (J) how the applicant will evaluate the 
                program and report to the Secretary annually; 
                and
                  (K) a description of how the entity will 
                coordinate with, complement, and build on 
                similar public and private mathematics and 
                science programs.
  (f) Scholarship Recipients.--
          (1) A student receiving a scholarship under this 
        section shall be known as a Byrd Mathematics and 
        Science Honors Scholar.
          (2) Any student desiring to receive a scholarship 
        under this section shall submit an application to the 
        managing agent in such form, and containing such 
        information, as the managing agent may require.
          (3) Any student that receives a scholarship under 
        this section shall enter into an agreement with the 
        managing agent to complete 5 consecutive years of 
        service to begin no later than 12 months following 
        completion of the final degree in a position related to 
        the field in which the student obtained the degree.
          (4) If any student that receives a scholarship under 
        this section fails to earn at least a baccalaureate 
        degree in physical, life, or computer sciences, 
        mathematics, or engineering as defined under this 
        section, the student shall repay to the managing agent 
        the amount of any financial assistance paid to such 
        student.
          (5) If any student that receives a scholarship under 
        this section fails to meet the requirements of 
        paragraph (3), the student shall repay to the managing 
        agent the amount of any financial assistance paid to 
        such student.
          (6)(A) Scholarships shall be awarded for only one 
        academic year of study at a time.
          (B)(i) A scholarship shall be renewable on an annual 
        basis for the established length of the academic 
        program if the student awarded the scholarship remains 
        eligible.
          (ii) The managing agent may condition renewal of a 
        scholarship on measures of academic progress and 
        achievement, with the approval of the Secretary.
          (C)(i) If a student fails to either remain eligible 
        or meet established measures of academic progress and 
        achievement, the managing agent shall instruct the 
        student's institution of higher education to suspend 
        payment of the student's scholarship.
          (ii) A suspension of payment shall remain in effect 
        until the student is able to demonstrate to the 
        satisfaction of the managing agent that he or she is 
        again eligible and meets the established measures of 
        academic progress and achievement.
          (iii) A student's eligibility for a scholarship shall 
        be terminated if a suspension period exceeds 12 months.
          (D)(i)(I) A student awarded a scholarship may, in a 
        manner and under the terms established by, and with the 
        approval of, the managing agent, postpone or interrupt 
        his or her enrollment at an institution of higher 
        education for up to 12 months.
          (II) Such a postponement or interruption shall not be 
        considered a suspension for purposes of subparagraph 
        (C).
          (ii) Neither a student nor the student's institution 
        of higher education shall receive the student's 
        scholarship payments during the period of postponement 
        or interruption, but such payments shall resume upon 
        enrollment or reenrollment.
          (iii) In exceptional circumstances, such as serious 
        injury or illness or the necessity to care for family 
        members, the student's postponement or interruption 
        may, upon notification and approval of the managing 
        agent, be extended beyond the 12 month period described 
        in clause (i)(I).
  (g) Responsibilities of Institution of Higher Education.--
          (1) The managing agent shall require any institution 
        of higher education that enrolls a student who receives 
        a scholarship under this section to annually provide an 
        assurance, prior to making any payment, that the 
        student--
                  (A) is eligible in accordance with subsection 
                (b)(2); and
                  (B) has provided the institution with a 
                written commitment to attend, or is attending, 
                classes and is satisfactorily meeting the 
                institution's academic criteria for enrollment 
                in its program of study.
          (2)(A) The managing agent shall provide the 
        institution of higher education with payments from the 
        Fund for selected recipients in at least two 
        installments.
          (B) If a recipient declines a scholarship, does not 
        attend courses, transfers to another institution of 
        higher education, or becomes ineligible for a 
        scholarship, an institution of higher education shall 
        return prorated amounts of any scholarship payment to 
        that recipient to the managing agent, who shall deposit 
        it in to the Fund.

SEC. 419B. MATHEMATICS AND SCIENCE INCENTIVE PROGRAM.

  (a) Program.--
          (1) In general.--The Secretary is authorized to carry 
        out a program of assuming the obligation to pay, 
        pursuant to the provisions of this section, the 
        interest on a loan made, insured, or guaranteed under 
        part B or D of this title.
          (2) Eligibility.--The Secretary may assume interest 
        payments under paragraph (1) only for a borrower who--
                  (A) has submitted an application in 
                compliance with subsection (d);
                  (B) obtained one or more loans described in 
                paragraph (1) as an undergraduate student;
                  (C) is a new borrower (within the meaning of 
                section 103(7) of this Act) on or after the 
                date of enactment of the College Opportunity 
                and Affordability Act of 2007;
                  (D) is a highly qualified teacher (as defined 
                in section 9101 of the Elementary and Secondary 
                Education Act of 1965) of science, technology, 
                engineering or mathematics at an elementary or 
                secondary school in a high need local 
                educational agency, or is a mathematics, 
                science, or engineering professional; and
                  (E) enters into an agreement with the 
                Secretary to complete 5 consecutive years of 
                service in a position described in subparagraph 
                (D), starting on the date of the agreement.
          (3) Prior interest limitations.--The Secretary shall 
        not make any payments for interest that--
                  (A) accrues prior to the beginning of the 
                repayment period on a loan in the case of a 
                loan made under section 428H or a Federal 
                Direct Unsubsidized Stafford Loan; or
                  (B) has accrued prior to the signing of an 
                agreement under paragraph (2)(E).
          (4) Initial selection.--In selecting participants for 
        the program under this section, the Secretary--
                  (A) shall choose among eligible applicants on 
                the basis of--
                          (i) the national security, homeland 
                        security, and economic security needs 
                        of the United States, as determined by 
                        the Secretary, in consultation with 
                        other Federal agencies, including the 
                        Departments of Labor, Defense, Homeland 
                        Security, Commerce, and Energy, the 
                        Central Intelligence Agency, and the 
                        National Science Foundation; and
                          (ii) the academic record or job 
                        performance of the applicant; and
                  (B) may choose among eligible applicants on 
                the basis of--
                          (i) the likelihood of the applicant 
                        to complete the 5-year service 
                        obligation;
                          (ii) the likelihood of the applicant 
                        to remain in science, mathematics, or 
                        engineering after the completion of the 
                        service requirement; or
                          (iii) other relevant criteria 
                        determined by the Secretary.
          (5) Availability subject to appropriations.--Loan 
        interest payments under this section shall be subject 
        to the availability of appropriations. If the amount 
        appropriated for any fiscal year is not sufficient to 
        provide interest payments on behalf of all qualified 
        applicants, the Secretary shall give priority to those 
        individuals on whose behalf interest payments were made 
        during the preceding fiscal year.
          (6) Regulations.--The Secretary is authorized to 
        prescribe such regulations as may be necessary to carry 
        out the provisions of this section.
  (b) Duration and Amount of Interest Payments.--The period 
during which the Secretary shall pay interest on behalf of a 
student borrower who is selected under subsection (a) is the 
period that begins on the effective date of the agreement under 
subsection (a)(2)(E), continues after successful completion of 
the service obligation, and ends on the earlier of--
          (1) the completion of the repayment period of the 
        loan;
          (2) payment by the Secretary of a total of $5,000 on 
        behalf of the borrower;
          (3) if the borrower ceases to fulfill the service 
        obligation under such agreement prior to the end of the 
        5-year period, as soon as the borrower is determined to 
        have ceased to fulfill such obligation in accordance 
        with regulations of the Secretary; or
          (4) 6 months after the end of any calendar year in 
        which the borrower's gross income equals or exceeds 4 
        times the national per capita disposable personal 
        income (current dollars) for such calendar year, as 
        determined on the basis of the National Income and 
        Product Accounts Tables of the Bureau of Economic 
        Analysis of the Department of Commerce, as determined 
        in accordance with regulations prescribed by the 
        Secretary.
  (c) Repayment to Eligible Lenders.--Subject to the 
regulations prescribed by the Secretary by regulation under 
subsection (a)(6), the Secretary shall pay to each eligible 
lender or holder for each payment period the amount of the 
interest that accrues on a loan of a student borrower who is 
selected under subsection (a).
  (d) Application for Repayment.--
          (1) In general.--Each eligible individual desiring 
        loan interest payment under this section shall submit a 
        complete and accurate application to the Secretary at 
        such time, in such manner, and containing such 
        information as the Secretary may require.
          (2) Failure to complete service agreement.--Such 
        application shall contain an agreement by the 
        individual that, if the individual fails to complete 
        the 5 consecutive years of service required by 
        subsection (a)(2)(E), the individual agrees to repay 
        the Secretary the amount of any interest paid by the 
        Secretary on behalf of the individual.
  (e) Treatment of Consolidation Loans.--A consolidation loan 
made under section 428C of this Act, or a Federal Direct 
Consolidation Loan made under part D of title IV of this Act, 
may be a qualified loan for the purpose of this section only to 
the extent that such loan amount was used by a borrower who 
otherwise meets the requirements of this section to repay--
          (1) a loan made under section 428 or 428H of this 
        Act; or
          (2) a Federal Direct Stafford Loan, or a Federal 
        Direct Unsubsidized Stafford Loan, made under part D of 
        title IV of this Act.
  (f) Prevention of Double Benefits.--No borrower may, for the 
same service, receive a benefit under both this section and--
          (1) any loan forgiveness program under title IV of 
        this Act; or
          (2) subtitle D of title I of the National and 
        Community Service Act of 1990 (42 U.S.C. 12601 et 
        seq.).
  (g) Definitions.--As used in this section--
          (1) the term ``high need local educational agency'' 
        has the same meaning given such term in section 200; 
        and
          (2) the term ``mathematics, science, or engineering 
        professional'' means a person who--
                  (A) holds a baccalaureate, masters, or 
                doctoral degree (or a combination thereof) in 
                science, mathematics, or engineering; and
                  (B) works in a field the Secretary determines 
                is closely related to that degree, which shall 
                include working as a professor at a two- or 
                four-year institution of higher education.

SEC. 419C. FOREIGN LANGUAGE PARTNERSHIPS.

  (a) Purpose.--The purpose of this section is to increase the 
number of highly qualified teachers in, and the number of 
United States' students who achieve the highest level of 
proficiency in, foreign languages critical to the security and 
competitiveness of the Nation.
  (b) Program Authorized.--The Secretary is authorized to award 
grants to institutions of higher education, in partnership with 
one or more local educational agencies, to establish teacher 
preparation programs in critical foreign languages, and 
activities that will enable successful students to advance from 
elementary school through college to achieve proficiency in 
those languages.
  (c) Applications.--
          (1) Application required.--Any institution of higher 
        education that desires to receive a grant under this 
        section shall submit an application to the Secretary at 
        such time, in such manner, and containing such 
        information as the Secretary may require.
          (2) Contents.--Each Application shall--
                  (A) identify each local educational agency 
                partner and describe each such partner's 
                responsibilities (including how they will be 
                involved in planning and implementing the 
                program, what resources they will provide, and 
                how they will ensure continuity of student 
                progress from elementary school to the 
                postsecondary level); and
                  (B) describe how the applicant will support 
                and continue the program after the grant has 
                expired, including how it will seek support 
                from other sources, such as State and local 
                government, foundations, and the private 
                sector.
  (d) Uses of Funds.--Funds awarded under this section shall be 
used to develop and implement programs consistent with the 
purpose of this section by carrying out one or more of the 
following activities:
          (1) To recruit highly qualified teachers in critical 
        foreign languages and professional development 
        activities for such teachers at the elementary through 
        high school level.
          (2) To provide innovative opportunities for students 
        that will allow for critical language learning, such as 
        immersion environments, intensive study opportunities, 
        internships, and distance learning.
  (e) Matching Requirement.--Each grantee under this section 
shall provide, from non-Federal sources, an amount equal to 100 
percent of the amount of the grant (in cash or in kind) to 
carry out the activities supported by the grant.
  (f) Evaluation.--The Secretary shall evaluate the activities 
funded under this section and report the results of the 
evaluation to the appropriate Committees of Congress.

SEC. 419D. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
subpart $50,000,000 for fiscal year 2009 and such sums as may 
be necessary for each of the 4 succeeding fiscal years.

          Subpart 7--Child Care Access Means Parents in School

SEC. 419N. CHILD CARE ACCESS MEANS PARENTS IN SCHOOL.

  (a) * * *
  (b) Program Authorized.--
          (1) * * *
          (2) Amount of grants.--
                  (A) * * *
                  (B) Minimum.--A grant under this section 
                shall be awarded in an amount that is not less 
                than [$10,000] $30,000.

           *       *       *       *       *       *       *

          (4) Eligible institutions.--An institution of higher 
        education shall be eligible to receive a grant under 
        this section for a fiscal year if the total amount of 
        all Federal Pell Grant funds awarded to students 
        enrolled at the institution of higher education for the 
        preceding fiscal year equals or exceeds [$350,000] 
        $250,000.

           *       *       *       *       *       *       *

          (7) Definition of low-income student.--For the 
        purpose of this section, the term ``low-income 
        student'' means a student [who is eligible to receive] 
        whose income qualifies for eligibility for a Federal 
        Pell Grant for the fiscal year for which the 
        determination is made.
          (8) Publicity.--The Secretary shall publicize the 
        availability of grants under this section in 
        appropriate periodicals in addition to publication in 
        the Federal Register, and shall inform appropriate 
        educational organizations of such availability.

           *       *       *       *       *       *       *

  (g) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section [$45,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.] such sums as may be necessary 
for fiscal year 2009 and each of the 4 succeeding fiscal years.

           [Subpart 8--Learning Anytime Anywhere Partnerships

[SEC. 420D. FINDINGS.

  [Congress makes the following findings:
          [(1) The nature of postsecondary education delivery 
        is changing, and new technology and other related 
        innovations can provide promising education 
        opportunities for individuals who are currently not 
        being served, particularly for individuals without easy 
        access to traditional campus-based postsecondary 
        education or for whom traditional courses are a poor 
        match with education or training needs.
          [(2) Individuals, including individuals seeking basic 
        or technical skills or their first postsecondary 
        experience, individuals with disabilities, dislocated 
        workers, individuals making the transition from 
        welfare-to-work, and individuals who are limited by 
        time and place constraints can benefit from 
        nontraditional, noncampus-based postsecondary education 
        opportunities and appropriate support services.
          [(3) The need for high-quality, nontraditional, 
        technology-based education opportunities is great, as 
        is the need for skill competency credentials and other 
        measures of educational progress and attainment that 
        are valid and widely accepted, but neither need is 
        likely to be adequately addressed by the uncoordinated 
        efforts of agencies and institutions acting 
        independently and without assistance.
          [(4) Partnerships, consisting of institutions of 
        higher education, community organizations, or other 
        public or private agencies or organizations, can 
        coordinate and combine institutional resources--
                  [(A) to provide the needed variety of 
                education options to students; and
                  [(B) to develop new means of ensuring 
                accountability and quality for innovative 
                education methods.

[SEC. 420E. PURPOSE; PROGRAM AUTHORIZED.

  [(a) Purpose.--It is the purpose of this subpart to enhance 
the delivery, quality, and accountability of postsecondary 
education and career-oriented lifelong learning through 
technology and related innovations.
  [(b) Program Authorized.--
          [(1) Grants.--
                  [(A) In general.--The Secretary may, from 
                funds appropriated under section 420J make 
                grants to, or enter into contracts or 
                cooperative agreements with, eligible 
                partnerships to carry out the authorized 
                activities described in section 420G.
                  [(B) Duration.--Grants under this subpart 
                shall be awarded for periods that do not exceed 
                5 years.
          [(2) Definition of eligible partnership.--For 
        purposes of this subpart, the term ``eligible 
        partnership'' means a partnership consisting of 2 or 
        more independent agencies, organizations, or 
        institutions. The agencies, organizations, or 
        institutions may include institutions of higher 
        education, community organizations, and other public 
        and private institutions, agencies, and organizations.

[SEC. 420F. APPLICATION.

  [(a) Requirement.--An eligible partnership desiring to 
receive a grant under this subpart shall submit an application 
to the Secretary, in such form and containing such information, 
as the Secretary may require.
  [(b) Contents.--Each application shall include--
          [(1) the name of each partner and a description of 
        the responsibilities of the partner, including the 
        designation of a nonprofit organization as the fiscal 
        agent for the partnership;
          [(2) a description of the need for the project, 
        including a description of how the project will build 
        on any existing services and activities;
          [(3) a listing of human, financial (other than funds 
        provided under this subpart), and other resources that 
        each member of the partnership will contribute to the 
        partnership, and a description of the efforts each 
        member of the partnership will make in seeking 
        additional resources; and
          [(4) a description of how the project will operate, 
        including how funds awarded under this subpart will be 
        used to meet the purpose of this subpart.

[SEC. 420G. AUTHORIZED ACTIVITIES.

  [Funds awarded to an eligible partnership under this subpart 
shall be used to--
          [(1) develop and assess model distance learning 
        programs or innovative educational software;
          [(2) develop methodologies for the identification and 
        measurement of skill competencies;
          [(3) develop and assess innovative student support 
        services; or
          [(4) support other activities that are consistent 
        with the purpose of this subpart.

[SEC. 420H. MATCHING REQUIREMENT.

  [Federal funds shall provide not more than 50 percent of the 
cost of a project under this subpart. The non-Federal share of 
project costs may be in cash or in kind, fairly evaluated, 
including services, supplies, or equipment.

[SEC. 420I. PEER REVIEW.

  [The Secretary shall use a peer review process to review 
applications under this subpart and to make recommendations for 
funding under this subpart to the Secretary.

[SEC. 420J. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated to carry out this 
subpart $10,000,000 for fiscal year 1999 and such sums as may 
be necessary for each of the 4 succeeding fiscal years.]

                        Subpart 9--TEACH Grants

SEC. 420L. DEFINITIONS.

  For the purposes of this subpart:
          (1) Eligible institution.--The term ``eligible 
        institution'' means an institution of higher education, 
        as defined in section 102, that the Secretary 
        determines--
                  (A) * * *
                  (B) is financially [sound] responsible;

           *       *       *       *       *       *       *


SEC. 420M. PROGRAM ESTABLISHED.

  (a) Program Authority.--
          (1) Payments required.--The Secretary shall pay to 
        each eligible institution such sums as may be necessary 
        to pay to each teacher candidate who files an 
        application and agreement in accordance with section 
        420N, and who qualifies under paragraph (2) of section 
        420N(a), a TEACH Grant in the amount of $4,000 for each 
        [academic year] year during which that teacher 
        candidate is in attendance at the institution.

           *       *       *       *       *       *       *

  (c) Reductions in Amount.--
          (1) Part-time students.--In any case where a teacher 
        candidate attends an eligible institution on less than 
        a full-time basis (including a teacher candidate who 
        attends an eligible institution on less than a half-
        time basis) during any [academic year] year, the amount 
        of a grant under this subpart for which that teacher 
        candidate is eligible shall be reduced in proportion to 
        the degree to which that teacher candidate is not 
        attending on a full-time basis, in accordance with a 
        schedule of reductions established by the Secretary for 
        the purposes of this subpart, computed in accordance 
        with this subpart. Such schedule of reductions shall be 
        established by regulation and published in the Federal 
        Register in accordance with section 482 of this Act.
          (2) No exceeding cost.--The amount of a grant awarded 
        under this subpart, in combination with Federal 
        assistance and [other student assistance] other 
        assistance the student may receive, shall not exceed 
        the cost of attendance (as defined in section 472) at 
        the eligible institution at which that teacher 
        candidate is in attendance. [If, with respect to any 
        teacher candidate for any academic year, it is 
        determined that the amount of a TEACH Grant exceeds the 
        cost of attendance for that year, the amount of the 
        TEACH Grant shall be reduced until such grant does not 
        exceed the cost of attendance at the eligible 
        institution.]

           *       *       *       *       *       *       *


SEC. 420P. PROGRAM EVALUATION.

  The Secretary shall evaluate the effectiveness of TEACH 
grants with respect to the schools and students served by 
recipients of such grants. Such evaluation shall take into 
consideration information related to--
          (1) the number of TEACH grant recipients;
          (2) the gender, race, ethnicity, and age of such 
        recipients;
          (3) the degrees obtained by such recipients;
          (4) the location, including the school, local 
        educational agency, and State, where the recipients 
        completed the service agreed to under section 420N(b) 
        and the subject taught;
          (5) the duration of such service, including 
        information related to whether recipients serve for 
        more than the 4 years required under such section; and
          (6) any other data necessary to conduct such 
        evaluation.

Part B--Federal Family Education Loan Program

           *       *       *       *       *       *       *


SEC. 424. SCOPE AND DURATION OF FEDERAL LOAN INSURANCE PROGRAM.

  (a) Limitations on Amounts of Loans Covered by Federal 
Insurance.--The total principal amount of new loans made and 
installments paid pursuant to lines of credit (as defined in 
section 435) to students covered by Federal loan insurance 
under this part shall not exceed $2,000,000,000 for the period 
from July 1, 1976, to September 30, 1976, and for each of the 
succeeding fiscal years ending prior to October 1, [2012] 2013. 
Thereafter, Federal loan insurance pursuant to this part may be 
granted only for loans made (or for loan installments paid 
pursuant to lines of credit) to enable students, who have 
obtained prior loans insured under this part, to continue or 
complete their educational program; but no insurance may be 
granted for any loan made or installment paid after September 
30, [2016] 2017.

           *       *       *       *       *       *       *


SEC. 428. FEDERAL PAYMENTS TO REDUCE STUDENT INTEREST COSTS.

  (a) Federal Interest Subsidies.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) Duration of authority to make interest subsidized 
        loans.--The period referred to in subparagraph (B) of 
        paragraph (1) of this subsection shall begin on the 
        date of enactment of this Act and end at the close of 
        September 30, [2012] 2013, except that, in the case of 
        a loan made or insured under a student loan or loan 
        insurance program to enable a student who has obtained 
        a prior loan made or insured under such program to 
        continue his or her education program, such period 
        shall end at the close of September 30, [2016] 2017.

           *       *       *       *       *       *       *

  (c) Guaranty Agreements for Reimbursing Losses.--
          (1) * * *

           *       *       *       *       *       *       *

          (9) Guaranty agency reserve level.--(A) * * *

           *       *       *       *       *       *       *

          (K) The Secretary, within 3 months after the end of 
        each fiscal year, shall submit to the [House Committee 
        on Education and the Workforce and the Senate Committee 
        on Labor and Human Resources] authorizing committees a 
        report specifying the Secretary's assessment of the 
        fiscal soundness of the guaranty agency system.

           *       *       *       *       *       *       *

  (g) Action on Insurance Program and Guaranty Agreements.--If 
a nonprofit private institution or organization--
          (1) * * *

           *       *       *       *       *       *       *

the Secretary shall consider and act upon such application 
within 180 days, and shall forthwith notify the [Committee on 
Labor and Human Resources of the Senate and the Committee on 
Education and the Workforce of the House of Representatives] 
authorizing committees of his actions.
  (k) Information on Defaults.--
          (1) * * *

           *       *       *       *       *       *       *

          (4) Student loan information.--
                  (A) Notwithstanding any other provision of 
                law or regulation, if requested by an 
                institution of higher education or a third 
                party servicer (as defined in section 481(c)) 
                working on behalf of such institution to 
                prevent student loan defaults for borrowers who 
                currently attend or previously attended such 
                institution, a lender, secondary market, 
                holder, or guaranty agency shall provide, free 
                of charge and in a timely and effective manner, 
                any student loan information pertaining to 
                loans made under this title to such borrowers 
                maintained by that entity, provided that the 
                information requested is for a borrower who 
                currently attends or previously attended such 
                institution.
                  (B) An institution and any third party 
                servicer obtaining access to information under 
                subparagraph (A) shall safeguard that 
                information in order to prevent potential 
                abuses of that information, including identity 
                theft.
                  (C) Any third party servicer that obtains 
                information under this paragraph--
                          (i) shall only use the information in 
                        a manner directly related to the 
                        default prevention work the servicer is 
                        performing on behalf of the institution 
                        of higher education;
                          (ii) shall not sell the information 
                        to other entities;
                          (iii) shall not share the information 
                        with, or transfer the information to, 
                        entities other than the borrower or the 
                        institution of higher education 
                        referenced in subparagraph (A); and
                          (iv) shall be subject to any 
                        regulations established by the 
                        Secretary pursuant to section 432 
                        concerning the misuse of such 
                        information, including any penalties 
                        for such misuse.

           *       *       *       *       *       *       *

  (n) Blanket Certificate of Loan Guaranty.--
          (1) * * *

           *       *       *       *       *       *       *

          (4) Report required.--The Secretary shall, at the 
        conclusion of the pilot program under paragraph (3), 
        provide a report to the [Committee on Education and the 
        Workforce of the House of Representatives and the 
        Committee on Labor and Human Resources of the Senate] 
        authorizing committees on the impact of the blanket 
        certificates of guaranty on program efficiency and 
        integrity.

           *       *       *       *       *       *       *


SEC. 428A. VOLUNTARY FLEXIBLE AGREEMENTS WITH GUARANTY AGENCIES.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Public Notice.--
          (1) * * *

           *       *       *       *       *       *       *

          (2) Agreement notice.--The Secretary shall notify the 
        [Chairperson and the Ranking Minority Member of the 
        Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives] members of the authorizing 
        committees not later than 30 days prior to concluding 
        an agreement under this section. The notice shall 
        contain--
                  (A) * * *

           *       *       *       *       *       *       *

          (3) Waiver notice.--The Secretary shall notify the 
        [Chairperson and the Ranking Minority Member of the 
        Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives] members of the authorizing 
        committees not later than 30 days prior to the granting 
        of a waiver pursuant to subsection (a)(2) to a guaranty 
        agency that is not a party to a voluntary flexible 
        agreement.

           *       *       *       *       *       *       *

          (5) Modification notice.--The Secretary shall notify 
        the [Chairperson and the Ranking Minority Members of 
        the Committee on Labor and Human Resources of the 
        Senate and the Committee on Education and the Workforce 
        of the House of Representatives] members of the 
        authorizing committees 30 days prior to any 
        modifications to an agreement under this section.

           *       *       *       *       *       *       *


SEC. 428C. FEDERAL CONSOLIDATION LOANS.

  (a) * * *
  (b) Contents of Agreements, Certificates of Insurance, and 
Loan Notes.--
          (1) Agreements with lenders.--Any lender described in 
        subparagraph (A), (B), or (C) of subsection (a)(1) who 
        wishes to make consolidation loans under this section 
        shall enter into an agreement with the Secretary or a 
        guaranty agency which provides--
                  (A) * * *

           *       *       *       *       *       *       *

                  (E) that the lender will disclose, in a clear 
                and conspicuous manner, to borrowers who seek 
                to consolidate loans made under part E of this 
                title--
                          (i) that once the borrower adds a 
                        Federal Perkins Loan to a Federal 
                        Consolidation Loan, the borrower will 
                        lose all interest-free periods that 
                        would have been available, such as 
                        those when no interest accrues on the 
                        Federal Perkins Loan while the borrower 
                        is enrolled in school at least half-
                        time, during the grace period, and 
                        during periods when the borrower's 
                        student loan repayments are deferred;
                          (ii) that the borrower will no longer 
                        be eligible for loan cancellation of 
                        Federal Perkins Loans under any 
                        provision of section 465; and
                          (iii) in detail the occupations 
                        listed in section 465 for which the 
                        borrower will lose eligibility for 
                        Federal Perkins Loan cancellation;
                  [(E)] (F) that the lender shall offer an 
                income-sensitive repayment schedule, 
                established by the lender in accordance with 
                the regulations promulgated by the Secretary, 
                to the borrower of any consolidation loan made 
                by the lender on or after July 1, 1994; and
                  [(F)] (G) such other terms and conditions as 
                the Secretary or the guaranty agency may 
                specifically require of the lender to carry out 
                this section.

           *       *       *       *       *       *       *


[SEC. 428K. LOAN FORGIVENESS FOR CHILD CARE PROVIDERS.

  [(a) Purpose.--It is the purpose of this section--
          [(1) to bring more highly trained individuals into 
        the early child care profession; and
          [(2) to keep more highly trained child care providers 
        in the early child care field for longer periods of 
        time.
  [(b) Definitions.--In this section:
          [(1) Child care facility.--The term ``child care 
        facility'' means a facility, including a home, that--
                  [(A) provides child care services; and
                  [(B) meets applicable State or local 
                government licensing, certification, approval, 
                or registration requirements, if any.
          [(2) Child care services.--The term ``child care 
        services'' means activities and services provided for 
        the education and care of children from birth through 
        age 5 by an individual who has a degree in early 
        childhood education.
          [(3) Degree.--The term ``degree'' means an 
        associate's or bachelor's degree awarded by an 
        institution of higher education.
          [(4) Early childhood education.--The term ``early 
        childhood education'' means education in the areas of 
        early child education, child care, or any other 
        educational area related to child care that the 
        Secretary determines appropriate.
          [(5) Institution of higher education.--
        Notwithstanding section 102, the term ``institution of 
        higher education'' has the meaning given the term in 
        section 101.
  [(c) Demonstration Program.--
          [(1) In general.--The Secretary may carry out a 
        demonstration program of assuming the obligation to 
        repay, pursuant to subsection (d), a loan made, 
        insured, or guaranteed under this part or part D 
        (excluding loans made under sections 428B and 428C or 
        comparable loans made under part D) for any new 
        borrower after the date of enactment of the Higher 
        Education Amendments of 1998, who--
                  [(A) completes a degree in early childhood 
                education;
                  [(B) obtains employment in a child care 
                facility; and
                  [(C) has worked full time for the 2 
                consecutive years preceding the year for which 
                the determination is made as a child care 
                provider in a low-income community.
          [(2) Low-income community.--For the purposes of this 
        subsection, the term ``low-income community'' means a 
        community in which 70 percent of households within the 
        community earn less than 85 percent of the State median 
        household income.
          [(3) Award basis; priority.--
                  [(A) Award basis.--Subject to subparagraph 
                (B), loan repayment under this section shall be 
                on a first-come, first-served basis and subject 
                to the availability of appropriations.
                  [(B) Priority.--The Secretary shall give 
                priority in providing loan repayment under this 
                section for a fiscal year to student borrowers 
                who received loan repayment under this section 
                for the preceding fiscal year.
          [(4) Regulations.--The Secretary is authorized to 
        prescribe such regulations as may be necessary to carry 
        out the provisions of this section.
  [(d) Loan Repayment.--
          [(1) In general.--The Secretary shall assume the 
        obligation to repay--
                  [(A) after the second consecutive year of 
                employment described in subparagraphs (B) and 
                (C) of subsection (c)(1), 20 percent of the 
                total amount of all loans made after date of 
                enactment of the Higher Education Amendments of 
                1998, to a student under this part or part D;
                  [(B) after the third consecutive year of such 
                employment, 20 percent of the total amount of 
                all such loans; and
                  [(C) after each of the fourth and fifth 
                consecutive years of such employment, 30 
                percent of the total amount of all such loans.
          [(2) Construction.--Nothing in this section shall be 
        construed to authorize the refunding of any repayment 
        of a loan made under this part or part D.
          [(3) Interest.--If a portion of a loan is repaid by 
        the Secretary under this section for any year, the 
        proportionate amount of interest on such loan which 
        accrues for such year shall be repaid by the Secretary.
          [(4) Special rule.--In the case where a student 
        borrower who is not participating in loan repayment 
        pursuant to this section returns to an institution of 
        higher education after graduation from an institution 
        of higher education for the purpose of obtaining a 
        degree in early childhood education, the Secretary is 
        authorized to assume the obligation to repay the total 
        amount of loans made under this part or part D incurred 
        for a maximum of two academic years in returning to an 
        institution of higher education for the purpose of 
        obtaining a degree in early childhood education. Such 
        loans shall only be repaid for borrowers who qualify 
        for loan repayment pursuant to the provisions of this 
        section, and shall be repaid in accordance with the 
        provisions of paragraph (1).
          [(5) Ineligibility of national service award 
        recipients.--No student borrower may, for the same 
        volunteer service, receive a benefit under both this 
        section and subtitle D of title I of the National and 
        Community Service Act of 1990 (42 U.S.C. 12601 et 
        seq.).
  [(e) Repayment to Eligible Lenders.--The Secretary shall pay 
to each eligible lender or holder for each fiscal year an 
amount equal to the aggregate amount of loans which are subject 
to repayment pursuant to this section for such year.
  [(f) Application for Repayment.--
          [(1) In general.--Each eligible individual desiring 
        loan repayment under this section shall submit a 
        complete and accurate application to the Secretary at 
        such time, in such manner, and containing such 
        information as the Secretary may require.
          [(2) Conditions.--An eligible individual may apply 
        for loan repayment under this section after completing 
        each year of qualifying employment. The borrower shall 
        receive forbearance while engaged in qualifying 
        employment unless the borrower is in deferment while so 
        engaged.
  [(g) Evaluation.--
          [(1) In general.--The Secretary shall conduct, by 
        grant or contract, an independent national evaluation 
        of the impact of the demonstration program assisted 
        under this section on the field of early childhood 
        education.
          [(2) Competitive basis.--The grant or contract 
        described in subsection (b) shall be awarded on a 
        competitive basis.
          [(3) Contents.--The evaluation described in this 
        subsection shall--
                  [(A) determine the number of individuals who 
                were encouraged by the demonstration program 
                assisted under this section to pursue early 
                childhood education;
                  [(B) determine the number of individuals who 
                remain employed in a child care facility as a 
                result of participation in the program;
                  [(C) identify the barriers to the 
                effectiveness of the program;
                  [(D) assess the cost-effectiveness of the 
                program in improving the quality of--
                          [(i) early childhood education; and
                          [(ii) child care services;
                  [(E) identify the reasons why participants in 
                the program have chosen to take part in the 
                program;
                  [(F) identify the number of individuals 
                participating in the program who received an 
                associate's degree and the number of such 
                individuals who received a bachelor's degree; 
                and
                  [(G) identify the number of years each 
                individual participates in the program.
          [(4) Interim and final evaluation reports.--The 
        Secretary shall prepare and submit to the President and 
        the Congress such interim reports regarding the 
        evaluation described in this subsection as the 
        Secretary deems appropriate, and shall prepare and so 
        submit a final report regarding the evaluation by 
        January 1, 2002.
  [(h) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $10,000,000 for 
fiscal year 1999, and such sums as may be necessary for each of 
the 4 succeeding fiscal years.]

SEC. 428K. LOAN FORGIVENESS FOR SERVICE IN AREAS OF NATIONAL NEED.

  (a) Program Authorized.--
          (1) Loan forgiveness authorized.--The Secretary shall 
        forgive, in accordance with this section, the student 
        loan obligation of a borrower in the amount specified 
        in subsection (c) who--
                  (A) is employed full-time in an area of 
                national need described in subsection (b); and
                  (B) is not in default on a loan for which the 
                borrower seeks forgiveness.
          (2) Method of loan forgiveness.--To provide loan 
        forgiveness under paragraph (1), the Secretary is 
        authorized to carry out a program--
                  (A) through the holder of the loan, to assume 
                the obligation to repay a qualified loan amount 
                for a loan made, insured, or guaranteed under 
                this part (other than an excepted PLUS loan (as 
                such term is defined in section 493C(a))); and
                  (B) to cancel a qualified loan amount for a 
                loan made under part D of this title (other 
                than such an excepted PLUS loan).
          (3) Regulations.--The Secretary is authorized to 
        issue such regulations as may be necessary to carry out 
        the provisions of this section.
  (b) Areas of National Need.--For purposes of this section, an 
individual shall be treated as employed in an area of national 
need if the individual is employed full-time as any of the 
following:
          (1) Early childhood educators.--An individual who is 
        employed as an early childhood educator in an eligible 
        preschool program or eligible early childhood education 
        program in a low-income community, and who is involved 
        directly in the care, development, and education of 
        infants, toddlers, or young children age 5 and under.
          (2) Nurses.--An individual who is employed--
                  (A) as a nurse in a clinical setting; or
                  (B) as a member of the nursing faculty at an 
                accredited school of nursing (as those terms 
                are defined in section 801 of the Public Health 
                Service Act (42 U.S.C. 296)).
          (3) Foreign language specialists.--An individual who 
        has obtained a baccalaureate or advanced degree in a 
        critical foreign language and is employed--
                  (A) in an elementary or secondary school as a 
                teacher of a critical foreign language;
                  (B) in an agency of the United States 
                Government in a position that regularly 
                requires the use of such critical foreign 
                language; or
                  (C) in an institution of higher education as 
                a faculty member or instructor teaching a 
                critical foreign language.
          (4) Librarians.--An individual who is employed as a 
        librarian in--
                  (A) a public library that serves a geographic 
                area within which the public schools have a 
                combined average of 30 percent or more of their 
                total student enrollments composed of children 
                counted under section 1113(a)(5) of the 
                Elementary and Secondary Education Act of 1965; 
                or
                  (B) a high-need school.
          (5) Highly qualified teachers: serving students who 
        are limited english proficient, low-income communities, 
        and underrepresented populations.--An individual who--
                  (A) is highly qualified as such term is 
                defined in section 9101 of the Elementary and 
                Secondary Education Act of 1965; and
                  (B)(i) is employed as a teacher educating 
                students who are limited English proficient;
                  (ii) is employed as a teacher in a high-need 
                school; or
                  (iii) is an individual from an 
                underrepresented population in the teaching 
                profession, as determined by the Secretary.
          (6) Child welfare workers.--An individual who--
                  (A) has obtained a degree in social work or a 
                related field with a focus on serving children 
                and families; and
                  (B) is employed in public or private child 
                welfare services.
          (7) Speech-language pathologists.--An individual who 
        is a speech-language pathologist, who is employed in an 
        eligible preschool program or an elementary or 
        secondary school, and who has, at a minimum, a graduate 
        degree in speech-language pathology, or communication 
        sciences and disorders.
          (8) National service.--An individual who is engaged 
        as a participant in a project under the National and 
        Community Service Act of 1990 (as such terms are 
        defined in section 101 of such Act (42 U.S.C. 12511)).
          (9) School counselors.--An individual who is employed 
        as a school counselor (as such term is defined in 
        section 5421(e)(3) of Elementary and Secondary 
        Education Act of 1965 (20 U.S.C. 7245(e)(3))) in a 
        high-need school.
          (10) Public sector employees.--An individual who is 
        employed in public safety (including as a first 
        responder, firefighter, police officer, or other law 
        enforcement or public safety officer), emergency 
        management (including as an emergency medical 
        technician), public health (including full-time 
        professionals engaged in health care practitioner 
        occupations and health care support occupations, as 
        such terms are defined by the Bureau of Labor 
        Statistics), or public interest legal services 
        (including prosecution or public defense or legal 
        advocacy in low-income communities at a nonprofit 
        organization).
          (11) Nutrition professionals.--An individual who--
                  (A) is a licensed, certified, or registered 
                dietician who has completed a degree in a 
                relevant field; and
                  (B) has obtained employment in an agency of 
                the special supplemental nutrition program for 
                women, infants, and children under section 17 
                of the Child Nutrition Act of 1966 (42 U.S.C. 
                1786).
          (12) Medical specialists.--An individual who--
                  (A) has received his or her degree from an 
                accredited medical school (as accredited by the 
                Liaison Committee on Medical Education or as 
                defined by this title IV); and
                  (B)(i) has been accepted to, or currently 
                participates in, a graduate medical education 
                training program or fellowship (or both) to 
                provide health care services (as recognized by 
                the Accreditation Council for Graduate Medical 
                Education); or
                  (ii) has been accepted to, or currently 
                participates in, a graduate medical education 
                program or fellowship (or both) to provide 
                health care services that--
                          (I) requires more than 5 years of 
                        total graduate medical training; and
                          (II) has fewer United States medical 
                        school graduate applicants than the 
                        total number of training and fellowship 
                        positions available in the programs 
                        specified in subclause (I) of this 
                        clause.
          (13) Mental health professionals.--Individuals who 
        have at least a master's degree in social work, 
        psychology, or psychiatry and who are providing mental 
        health services to children, adolescents, or veterans.
  (c) Qualified Loan Amount.--At the end of each school, 
academic, or calendar year of full-time employment on or after 
the date of enactment of the College Opportunity and 
Affordability Act of 2007 in an area of national need described 
in subsection (b), not to exceed 5 years, the Secretary shall 
forgive not more than $2,000 of the student loan obligation of 
a borrower that is outstanding after the completion of each 
such school, academic, or calendar year of employment, as 
appropriate, not to exceed $10,000 in the aggregate for any 
borrower.
  (d) Priority.--The Secretary shall grant loan forgiveness 
under this section on a first-come, first-served basis, and 
subject to the availability of appropriations.
  (e) Construction.--Nothing in this section shall be construed 
to authorize the refunding of any repayment of a loan.
  (f) Segal Americorps Education Award and National Service 
Award Recipients.--A student borrower who qualifies for the 
maximum education award under subtitle D of title I of the 
National and Community Service Act of 1990 (42 U.S.C. 12601 et 
seq.) shall receive under this section the amount, if any, by 
which the maximum benefit available under this section exceeds 
the maximum education award available under such subtitle.
  (g) Ineligibility for Double Benefits.--No borrower may 
receive a reduction of loan obligations under both this section 
and section 428J or 460.
  (h) Definitions.--In this section:
          (1) Early childhood educator.--The term ``early 
        childhood educator'' means an early childhood educator 
        who works directly with children in an eligible 
        preschool program or eligible early childhood education 
        program who has completed a baccalaureate or advanced 
        degree in early childhood development, early childhood 
        education, or in a field related to early childhood 
        education.
          (2) Eligible preschool program.--The term ``eligible 
        preschool program'' means a program that provides for 
        the care, development, and education of infants, 
        toddlers, or young children age 5 and under, meets any 
        applicable State or local government licensing, 
        certification, approval, and registration requirements, 
        and is operated by--
                  (A) a public or private school that is 
                supported, sponsored, supervised, or 
                administered by a local educational agency;
                  (B) a Head Start agency serving as a grantee 
                designated under the Head Start Act (42 U.S.C. 
                9831 et seq.);
                  (C) a nonprofit or community based 
                organization; or
                  (D) a child care program, including a home.
          (3) Eligible early childhood education program.--The 
        term ``eligible early childhood education program'' 
        means--
                  (A) a family child care program, center-based 
                child care program, State prekindergarten 
                program, school program, or other out-of-home 
                early childhood development care program, 
                that--
                          (i) is licensed or regulated by the 
                        State; and
                          (ii) serves 2 or more unrelated 
                        children who are not old enough to 
                        attend kindergarten;
                  (B) a Head Start Program carried out under 
                the Head Start Act (42 U.S.C. 9831 et seq.); or
                  (C) an Early Head Start Program carried out 
                under section 645A of the Head Start Act (42 
                U.S.C. 9840a).
          (4) Low-income community.--The term ``low-income 
        community'' means a school attendance area (as defined 
        in section 1113(a)(2)(A) of the Elementary and 
        Secondary Education Act of 1965)--
                  (A) in which 70 percent of households earn 
                less than 85 percent of the State median 
                household income; or
                  (B) that includes a high-need school.
          (5) Nurse.--The term ``nurse'' means a nurse who 
        meets all of the following:
                  (A) The nurse graduated from--
                          (i) an accredited school of nursing 
                        (as those terms are defined in section 
                        801 of the Public Health Service Act 
                        (42 U.S.C. 296));
                          (ii) a nursing center; or
                          (iii) an academic health center that 
                        provides nurse training.
                  (B) The nurse holds a valid and unrestricted 
                license to practice nursing in the State in 
                which the nurse practices in a clinical 
                setting.
                  (C) The nurse holds one or more of the 
                following:
                          (i) A graduate degree in nursing, or 
                        an equivalent degree.
                          (ii) A nursing degree from a 
                        collegiate school of nursing (as 
                        defined in section 801 of the Public 
                        Health Service Act (42 U.S.C. 296)).
                          (iii) A nursing degree from an 
                        associate degree school of nursing (as 
                        defined in section 801 of the Public 
                        Health Service Act (42 U.S.C. 296)).
                          (iv) A nursing degree from a diploma 
                        school of nursing (as defined in 
                        section 801 of the Public Health 
                        Service Act (42 U.S.C. 296)).
          (6) Speech-language pathologist.--The term ``speech-
        language pathologist'' means a speech-language 
        pathologist who--
                  (A) has received, at a minimum, a graduate 
                degree in speech-language pathology or 
                communication sciences and disorders from an 
                institution of higher education accredited by 
                an agency or association recognized by the 
                Secretary pursuant to section 496(a) of this 
                Act; and
                  (B) provides speech-language pathology 
                services under section 1861(ll)(1) of the 
                Social Security Act (42 U.S.C. 1395x(ll)(1)), 
                or meets or exceeds the qualifications for a 
                qualified speech-language pathologist under 
                subsection (ll)(3) of such section (42 U.S.C. 
                1395x(ll)(3)).
  (i) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section such sums as may be 
necessary for fiscal year 2009 and each of the 4 succeeding 
fiscal years to provide loan forgiveness in accordance with 
this section.

SEC. 428L. LOAN REPAYMENT FOR CIVIL LEGAL ASSISTANCE ATTORNEYS.

  (a) Purpose.--The purpose of this section is to encourage 
qualified individuals to enter and continue employment as civil 
legal assistance attorneys.
  (b) Definitions.--In this section:
          (1) Civil legal assistance attorney.--The term 
        ``civil legal assistance attorney'' means an attorney 
        who--
                  (A) is a full-time employee of a nonprofit 
                organization that provides legal assistance 
                with respect to civil matters to low-income 
                individuals without a fee;
                  (B) as such employee, provides civil legal 
                assistance as described in subparagraph (A) on 
                a full-time basis; and
                  (C) is continually licensed to practice law.
          (2) Student loan.--The term ``student loan'' means--
                  (A) subject to subparagraph (B), a loan made, 
                insured, or guaranteed under part B, D, or E of 
                this title; and
                  (B) a loan made under section 428C or 455(g), 
                to the extent that such loan was used to 
                repay--
                          (i) a Federal Direct Stafford Loan, a 
                        Federal Direct Unsubsidized Stafford 
                        Loan, or a Federal Direct PLUS Loan;
                          (ii) a loan made under section 428, 
                        428B, or 428H; or
                          (iii) a loan made under part E.
  (c) Program Authorized.--The Secretary shall carry out a 
program of assuming the obligation to repay a student loan, by 
direct payments on behalf of a borrower to the holder or the 
Secretary in the case of a loan under part D or E of such loan, 
in accordance with subsection (d), for any borrower who--
          (1) is employed as a civil legal assistance attorney; 
        and
          (2) is not in default on a loan for which the 
        borrower seeks repayment.
  (d) Terms of Agreement.--
          (1) In general.--To be eligible to receive repayment 
        benefits under subsection (c), a borrower shall enter 
        into a written agreement with the Secretary that 
        specifies that--
                  (A) the borrower will remain employed as a 
                civil legal assistance attorney for a required 
                period of service of not less than 3 years, 
                unless involuntarily separated from that 
                employment;
                  (B) if the borrower is involuntarily 
                separated from employment on account of 
                misconduct, or voluntarily separates from 
                employment, before the end of the period 
                specified in the agreement, the borrower will 
                repay the Secretary the amount of any benefits 
                received by such employee under this agreement;
                  (C) if the borrower is required to repay an 
                amount to the Secretary under subparagraph (B) 
                and fails to repay such amount, a sum equal to 
                that amount shall be recoverable by the Federal 
                Government from the employee by such methods as 
                are provided by law for the recovery of amounts 
                owed to the Federal Government;
                  (D) the Secretary may waive, in whole or in 
                part, a right of recovery under this subsection 
                if it is shown that recovery would be against 
                equity and good conscience or against the 
                public interest; and
                  (E) the Secretary shall make student loan 
                payments under this section for the period of 
                the agreement, subject to the availability of 
                appropriations.
          (2) Repayments.--
                  (A) In general.--Any amount repaid by, or 
                recovered from, an individual under this 
                subsection shall be credited to the 
                appropriation account from which the amount 
                involved was originally paid.
                  (B) Merger.--Any amount credited under 
                subparagraph (A) shall be merged with other 
                sums in such account and shall be available for 
                the same purposes and period, and subject to 
                the same limitations, if any, as the sums with 
                which the amount was merged.
          (3) Limitations.--
                  (A) Student loan payment amount.--Student 
                loan repayments made by the Secretary under 
                this section shall be made subject to such 
                terms, limitations, or conditions as may be 
                mutually agreed upon by the borrower and the 
                Secretary in an agreement under paragraph (1), 
                except that the amount paid by the Secretary 
                under this section shall not exceed--
                          (i) $6,000 for any borrower in any 
                        calendar year; or
                          (ii) an aggregate total of $40,000 in 
                        the case of any borrower.
                  (B) Beginning of payments.--Nothing in this 
                section shall authorize the Secretary to pay 
                any amount to reimburse a borrower for any 
                repayments made by such borrower prior to the 
                date on which the Secretary entered into an 
                agreement with the borrower under this 
                subsection.
  (e) Additional Agreements.--
          (1) In general.--On completion of the required period 
        of service under an agreement under subsection (d), the 
        borrower and the Secretary may, subject to paragraph 
        (2), enter into an additional agreement in accordance 
        with subsection (d).
          (2) Term.--An agreement entered into under paragraph 
        (1) may specify that, notwithstanding subsection 
        (d)(1)(A), the required period of service during which 
        the borrower will remain employed as a civil legal 
        assistance attorney may be less than 3 years.
  (f) Award Basis; Priority.--
          (1) Award basis.--Subject to paragraph (2), the 
        Secretary shall provide repayment benefits under this 
        section on a first-come, first-served basis, and 
        subject to the availability of appropriations.
          (2) Priority.--The Secretary shall give priority in 
        providing repayment benefits under this section in any 
        fiscal year to a borrower who--
                  (A) has practiced law for 5 years or less 
                and, for at least 90 percent of the time in 
                such practice, has served as a civil legal 
                assistance attorney;
                  (B) received repayment benefits under this 
                section during the preceding fiscal year; and
                  (C) has completed less than 3 years of the 
                first required period of service specified for 
                the borrower in an agreement entered into under 
                subsection (d).
  (g) Regulations.--The Secretary is authorized to issue such 
regulations as may be necessary to carry out the provisions of 
this section.
  (h) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $10,000,000 for 
fiscal year 2009 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.

           *       *       *       *       *       *       *


SEC. 432. LEGAL POWERS AND RESPONSIBILITIES.

  (a) * * *
  (b) Financial Operations Responsibilities.--The Secretary 
shall, with respect to the financial operations arising by 
reason of this part prepare annually and submit a budget 
program as provided for wholly owned Government corporations by 
chapter 91 of title 31, United States Code. The transactions of 
the Secretary, including the settlement of insurance claims and 
of claims for payments pursuant to section 1078 of this title, 
and transactions related thereto and vouchers approved by the 
Secretary in connection with such transactions, shall be final 
and conclusive upon all accounting and other officers of the 
Government. The Secretary may not enter into any settlement of 
any claim under this Act that exceeds $1,000,000 unless the 
Secretary has asked the Attorney General to review the 
settlement agreement and issue an opinion to the Secretary and 
the authorizing committees related to such proposed settlement.

           *       *       *       *       *       *       *

  (f) Audit of Financial Transactions.--
          (1) Comptroller general and inspector general 
        authority.--The Comptroller General and the Inspector 
        General of the Department of Education shall each have 
        the authority to conduct an audit of the financial 
        transactions of--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) a representative sample of eligible 
                lenders under this part, upon the request of 
                [the Committee on Education and the Workforce 
                of the House of Representatives or the 
                Committee on Labor and Human Resources of the 
                Senate] either of the authorizing committees, 
                with respect to the payment of the special 
                allowance under section 438 in order to 
                evaluate the program authorized by this part.

           *       *       *       *       *       *       *

  (n) Default Reduction Management.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Plan for use required.--The Secretary shall 
        submit a plan, for inclusion in the materials 
        accompanying the President's budget each fiscal year, 
        detailing the expenditure of funds authorized by this 
        section to accomplish the 5 percent reduction in 
        defaults. At the conclusion of the fiscal year, the 
        Secretary shall report the Secretary's findings and 
        activities concerning the expenditure of funds and 
        whether the performance measure was met. If the 
        performance measure was not met, the Secretary shall 
        report the following:
                  (A) * * *

           *       *       *       *       *       *       *

        This report shall be submitted to the Appropriations 
        Committees of the House of Representatives and the 
        Senate and to the [Committee on Education and the 
        Workforce of the House of Representatives and the 
        Committee on Labor and Human Resources of the Senate] 
        authorizing committees.

           *       *       *       *       *       *       *


SEC. 433A. DELINQUENCY PREVENTION, DEFAULT AVERSION, AND CONSUMER 
                    EDUCATION INFORMATION PROGRAMS.

  (a) Guaranty Agency Duty.--Each guaranty agency, with respect 
to loans insured by the agency, shall develop specific programs 
designed to prevent delinquencies and avert defaults.
  (b) Training for Students and Families.--Each guaranty 
agency, after consulting with institutions of higher education 
(including institutions of higher education participating in 
the William Ford Direct Loan Program), shall develop and make 
available high quality educational programs and materials to 
provide training for students and families in budgeting and 
financial management, including debt management and other 
aspects of financial literacy, such as the cost of using high 
interest loans to pay for postsecondary education. Such 
programs and materials shall address budgeting and financial 
management relating to student loans, and shall be made 
available to students and families, in a form and language that 
is understandable, before, during, and after the students' 
enrollment.
  (c) Rule of Construction.--Nothing in this section shall be 
construed to prohibit a guaranty agency from using existing 
activities, programs, and materials in meeting the requirements 
of this section.

           *       *       *       *       *       *       *


SEC. 435. DEFINITIONS FOR STUDENT LOAN INSURANCE PROGRAM.

  As used in this part:
  (a) * * *

           *       *       *       *       *       *       *

  (d) Eligible Lender.--
          (1) In general.--Except as provided in paragraphs (2) 
        through (6), the term ``eligible lender'' means--
                  (A) a National or State chartered bank, a 
                mutual savings bank, a savings and loan 
                association, a stock savings bank, or a credit 
                union which--
                          (i) * * *
                          (ii) does not have as its primary 
                        consumer credit function the making or 
                        holding of loans made to students under 
                        this part unless (I) it is a bank which 
                        is wholly owned by a State, or a bank 
                        which is subject to examination and 
                        supervision by an agency of the United 
                        States, makes student loans as a 
                        trustee pursuant to an express trust, 
                        operated as a lender under this part 
                        prior to January 1, 1975, and which 
                        meets the requirements of this 
                        provision prior to the enactment of the 
                        Higher Education Amendments of 1992, 
                        (II) it is a single wholly owned 
                        subsidiary of a bank holding company 
                        which does not have as its primary 
                        consumer credit function the making or 
                        holding of loans made to students under 
                        this [part, or (III)] part, (III) it is 
                        a bank (as defined in section 3(a)(1) 
                        of the Federal Deposit Insurance Act 
                        (12 U.S.C. 1813(a)(1)) that is a wholly 
                        owned subsidiary of a nonprofit 
                        foundation, the foundation is described 
                        in section 501(c)(3) of the Internal 
                        Revenue Code of 1986 and exempt from 
                        taxation under section 501(1) of such 
                        Code, and the bank makes loans under 
                        this part only to undergraduate 
                        students who are age 22 or younger and 
                        has a portfolio of such loans that is 
                        not more than $5,000,000, or (IV) it is 
                        a National or State chartered bank with 
                        assets of less than $1,000,000,000;

           *       *       *       *       *       *       *

  (m) Cohort Default Rate.--
          (1) In general.--(A) Except as provided in paragraph 
        (2), the term ``cohort default rate'' means, for any 
        fiscal year in which 30 or more current and former 
        students at the institution enter repayment on loans 
        under section 428, 428A, or 428H, received for 
        attendance at the institution, the percentage of those 
        current and former students who enter repayment on such 
        loans (or on the portion of a loan made under section 
        428C that is used to repay any such loans) received for 
        attendance at that institution in that fiscal year who 
        default before the [end of the following fiscal year] 
        beginning of the third fiscal year following the fiscal 
        year in which the students entered repayment. The 
        Secretary shall require that each guaranty agency that 
        has insured loans for current or former students of the 
        institution afford such institution a reasonable 
        opportunity (as specified by the Secretary) to review 
        and correct errors in the information required to be 
        provided to the Secretary by the guaranty agency for 
        the purposes of calculating a cohort default rate for 
        such institution, prior to the calculation of such 
        rate.

           *       *       *       *       *       *       *

          (C) For any fiscal year in which fewer than 30 of the 
        institution's current and former students enter 
        repayment, the term ``cohort default rate'' means the 
        percentage of such current and former students who 
        entered repayment on such loans (or on the portion of a 
        loan made under section 428C that is used to repay any 
        such loans) in any of the three most recent fiscal 
        years, who default before the [end of the fiscal year 
        immediately following the year in which they entered 
        repayment] beginning of the third fiscal year following 
        the year in which they entered repayment.
          (2) Special rules.--(A) * * *

           *       *       *       *       *       *       *

          (C) Any loan which has been rehabilitated before the 
        [end of such following fiscal year is not considered as 
        in default for the purposes of this subsection] 
        beginning of the third fiscal year following the year 
        in which the loan entered repayment is not considered 
        as in default for purposes of this subsection. The 
        Secretary may require guaranty agencies to collect data 
        with respect to defaulted loans in a manner that will 
        permit the identification of any defaulted loan for 
        which (i) the borrower is currently making payments and 
        has made not less than 6 consecutive on-time payments 
        by the end of such following fiscal year, and (ii) a 
        guaranty agency has renewed the borrower's title IV 
        eligibility as provided in section 428F(b).

           *       *       *       *       *       *       *

          (4) [Collection and reporting of cohort default 
        rates.--(A) The Secretary shall collect data from all 
        insurers under this part and shall publish not less 
        often than once every fiscal year a report showing 
        default data for each category of institution, 
        including (i) 4-year public institutions, (ii) 4-year 
        private institutions, (iii) 2-year public institutions, 
        (iv) 2-year private institutions, (v) 4-year 
        proprietary institutions, (vi) 2-year proprietary 
        institutions, and (vii) less than 2-year proprietary 
        institutions.] Collection and reporting of cohort 
        default rates and life of cohort default rates.--
          (A) The Secretary shall collect data from all 
        insurers under this part and shall publish not less 
        often than once every fiscal year a report showing 
        cohort default data and life of cohort default data for 
        each category of institution, including (i) 4-year 
        public institutions, (ii) 4-year private nonprofit 
        institutions, (iii) 2-year public institutions, (iv) 2-
        year private institutions, (v) 4-year proprietary 
        institutions, (vi) 2-year proprietary institutions, and 
        (vii) less than 2-year proprietary institutions. For 
        purposes of this subparagraph, the life of cohort 
        default rate means, for any fiscal year in which 1 or 
        more current and former students at an institution 
        enter repayment on loans under section 428, 428A, or 
        428H, received for attendance at the institution, the 
        percentage of those current and former students who 
        enter repayment on such loans (or on the portion of a 
        loan made under section 428C that is used to repay any 
        such loans) received for attendance at the institution 
        in that fiscal year who default before the end of each 
        succeeding fiscal year.

           *       *       *       *       *       *       *


SEC. 437. REPAYMENT BY THE SECRETARY OF LOANS OF BANKRUPT, DECEASED, OR 
                    DISABLED BORROWERS; TREATMENT OF BORROWERS 
                    ATTENDING SCHOOLS THAT FAIL TO PROVIDE A REFUND, 
                    ATTENDING CLOSED SCHOOLS, OR FALSELY CERTIFIED AS 
                    ELIGIBLE TO BORROW.

  (a) Repayment in Full for Death and Disability.--If a student 
borrower who has received a loan described in subparagraph (A) 
or (B) of section 428(a)(1) dies or becomes permanently and 
totally disabled (as determined in accordance with regulations 
of the Secretary), then the Secretary shall discharge the 
borrower's liability on the loan by repaying the amount owed on 
the loan. A borrower who receives a permanent total disability 
rating from the Secretary of Veterans Affairs, and who provides 
documentation of such rating to the Secretary of Education, 
shall be considered permanently and totally disabled for the 
purpose of discharging such borrower's loans under this 
subsection, and such borrower shall not be required to present 
additional documentation for purposes of this subsection.

           *       *       *       *       *       *       *

  (c) Discharge.--
          (1) In general.--If a borrower who received, on or 
        after January 1, 1986, a loan made, insured, or 
        guaranteed under this part and the student borrower, or 
        the student on whose behalf a parent borrowed, is 
        unable to complete the program in which such student is 
        enrolled due to the closure of the institution or if 
        such student's eligibility to borrow under this part 
        was falsely certified by the eligible institution or 
        was falsely certified as a result of a crime of 
        identity theft, or if the institution failed to make a 
        refund of loan proceeds which the institution owed to 
        such student's lender, then the Secretary shall 
        discharge the borrower's liability on the loan 
        (including interest and collection fees) by repaying 
        the amount owed on the loan and shall subsequently 
        pursue any claim available to such borrower against the 
        institution and its affiliates and principals or settle 
        the loan obligation pursuant to the financial 
        responsibility authority under subpart 3 of part H. In 
        the case of a discharge based upon a failure to refund, 
        the amount of the discharge shall not exceed that 
        portion of the loan which should have been refunded. 
        The Secretary shall report to the [Committee on 
        Education and the Workforce of the House of 
        Representatives and the Committee on Labor and Human 
        Resources of the Senate] authorizing committees 
        annually as to the dollar amount of loan discharges 
        attributable to failures to make refunds.

           *       *       *       *       *       *       *


SEC. 439. STUDENT LOAN MARKETING ASSOCIATION.

  (a) * * *

           *       *       *       *       *       *       *

  (d) Authority of Association.--
          (1) In general.--The Association is authorized, 
        subject to the provisions of this section--
                  (A) * * *

           *       *       *       *       *       *       *

                  (E) to undertake any other activity which the 
                Board of Directors of the Association 
                determines to be in furtherance of the programs 
                of insured student loans authorized under this 
                part or will otherwise support the credit needs 
                of students, except that--
                          (i) * * *

           *       *       *       *       *       *       *

                          (iii) not later than 30 days prior to 
                        the initial implementation of a program 
                        undertaken pursuant to this 
                        subparagraph (E), the Association shall 
                        [advise the Chairman and the Ranking 
                        Member on the Committee on Labor and 
                        Human Resources of the Senate and the 
                        Chairman and the Ranking Member of the 
                        Committee on Education and Labor of the 
                        House of Representatives] advise the 
                        members of the authorizing committees 
                        in writing of its plans to offer such 
                        program and shall provide information 
                        relating to the general terms and 
                        conditions of such program.

           *       *       *       *       *       *       *

  (r) Safety and Soundness of Association.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Monitoring of safety and soundness.--The 
        Secretary of the Treasury shall conduct such studies as 
        may be necessary to monitor the financial safety and 
        soundness of the Association. In the event that the 
        Secretary of the Treasury determines that the financial 
        safety and soundness of the Association is at risk, the 
        Secretary of the Treasury shall [inform the Chairman 
        and ranking minority member of the Committee on Labor 
        and Human Resources of the Senate, the Chairman and 
        ranking minority member of the Committee on Education 
        and Labor of the House of Representatives,] inform the 
        members of the authorizing committees and the Secretary 
        of Education of such determination and identify any 
        corrective actions that should be taken to ensure the 
        safety and soundness of the Association.

           *       *       *       *       *       *       *

          (5) Capital restoration plan.--
                  (A) * * *
                  (B) Disapproval.--If the Secretary of the 
                Treasury does not approve a capital restoration 
                plan as provided in subparagraph (A), then not 
                later than the earlier of the date the 
                Secretary of the Treasury disapproves of such 
                plan by written notice to the Association or 
                the expiration of the 30-day consideration 
                period referred to in subparagraph (A) (as such 
                period may have been extended by mutual 
                agreement), the Secretary of the Treasury shall 
                submit the Association's capital restoration 
                plan, in the form most recently proposed to the 
                Secretary of the Treasury by the Association, 
                together with a report on the Secretary of the 
                Treasury's reasons for disapproval of such plan 
                and an alternative capital restoration [plan, 
                to the Chairman and ranking minority member of 
                the Senate Committee on Labor and Human 
                Resources and to the Chairman and ranking 
                minority member of the House Committee on 
                Education and Labor] plan, to the members of 
                the authorizing committees. A copy of such 
                submission simultaneously shall be sent to the 
                Association and the Secretary of Education by 
                the Secretary of the Treasury.

           *       *       *       *       *       *       *

          (6) Substantial capital ratio reduction.--
                  (A) * * *
                  (B) Disapproval.--If the Secretary of the 
                Treasury disapproves a capital restoration plan 
                or modified plan submitted pursuant to 
                subparagraph (A), then, not later than the 
                earlier of the date the Secretary of the 
                Treasury disapproves of such plan or modified 
                plan (by written notice to the Association) or 
                the expiration of the 30-day consideration 
                period described in subparagraph (A) (as such 
                period may have been extended by mutual 
                agreement), the Secretary of the Treasury shall 
                prepare and submit an alternative capital 
                restoration plan, together with a report on his 
                reasons for disapproval of the Association's 
                plan or modified [plan, to the Chairman and 
                ranking minority member of the Committee on 
                Labor and Human Resources of the Senate and to 
                the Chairman and ranking minority member of the 
                Committee on Education and Labor of the House 
                of Representatives] plan, to the members of the 
                authorizing committees. A copy of such 
                submission simultaneously shall be sent to the 
                Association and the Secretary of Education by 
                the Secretary of the Treasury. The Association, 
                within 5 days after receipt from the Secretary 
                of the Treasury of such submission, shall 
                submit to the [Chairmen and ranking minority 
                members of such Committees] members of the 
                authorizing committees, and the Secretary of 
                the Treasury, a written response to such 
                submission, setting out fully the nature and 
                extent of the Association's agreement or 
                disagreement with the Secretary of the Treasury 
                with respect to the disapproved plan and the 
                alternative plan of the Secretary of the 
                Treasury and any findings of the Secretary of 
                the Treasury.

           *       *       *       *       *       *       *

          (8) Critical capital standard.--(A) * * *

           *       *       *       *       *       *       *

          (C) Immediately upon a determination under 
        subparagraph (A) or (B) to implement a capital 
        restoration plan, the Secretary of the Treasury shall 
        submit the capital restoration plan to be [implemented 
        to the Chairman and ranking minority member of the 
        Committee on Labor and Human Resources of the Senate, 
        the Chairman and ranking minority member of the 
        Committee on Education and Labor of the House of 
        Representatives, and] implemented to the members of the 
        authorizing committees, and to the Secretary of 
        Education.

           *       *       *       *       *       *       *

          (10) Review by secretary of education.--The Secretary 
        of Education shall review the Secretary of the 
        Treasury's submission required pursuant to paragraph 
        (5)(B), (6)(B), or (8) and shall submit a report within 
        30 [days to the Chairman and ranking minority member of 
        the Senate Committee on Labor and Human Resources and 
        to the Chairman and ranking minority member of the 
        House Committee on Education and Labor] days to the 
        members of the authorizing committees--
                  (A) * * *

           *       *       *       *       *       *       *

  (s) Charter Sunset.--
          (1) * * *
          (2) Sunset plan.--
                  (A) Plan submission by the association.--Not 
                later than July 1, 2007, the Association shall 
                submit to the Secretary of the [Treasury and to 
                the Chairman and Ranking Member of the 
                Committee on Labor and Human Resources of the 
                Senate and the Chairman and Ranking Member of 
                the Committee on Economic and Educational 
                Opportunities of the House of Representatives] 
                Treasury and to the members of the authorizing 
                committees, a detailed plan for the orderly 
                winding up, by July 1, 2013, of business 
                activities conducted pursuant to the charter 
                set forth in this section. Such plan shall--
                          (i) * * *

           *       *       *       *       *       *       *

                  (B) Amendment of the plan by the 
                association.--The Association shall from time 
                to time amend such plan to reflect changed 
                circumstances, and submit such amendments to 
                the Secretary of the [Treasury and to the 
                Chairman and Ranking Minority Member of the 
                Committee on Labor and Human Resources of the 
                Senate and Chairman and Ranking Minority Member 
                of the Committee on Economic and Educational 
                Opportunities of the House of Representatives] 
                Treasury and to the members of the authorizing 
                committees. In no case may any amendment extend 
                the date for full implementation of the plan 
                beyond the dissolution date provided in 
                paragraph (3).

           *       *       *       *       *       *       *


                  Part C--Federal Work-Study Programs

SEC. 441. PURPOSE; APPROPRIATIONS AUTHORIZED.

  (a) * * *
  (b) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this part, [$1,000,000,000 for 
fiscal year 1999] $1,500,000,000 for fiscal year 2009 and such 
sums as may be necessary for each of the 4 succeeding fiscal 
years.
  (c) Community Services.--For purposes of this part, the term 
``community services'' means services which are identified by 
an institution of higher education, through formal or informal 
consultation with local nonprofit, governmental, and community-
based organizations, as designed to improve the quality of life 
for community residents, particularly low-income individuals, 
or to solve particular problems related to their needs, 
including--
          (1)  * * *

           *       *       *       *       *       *       *

          (3) support services to students with disabilities, 
        including students with disabilities who are enrolled 
        at the institution; [and]
          (4) activities in which a student serves as a mentor 
        for such purposes as--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) counseling, including career 
                counseling[.]; and
          (5) responding to the needs of the community, which 
        may include activities in preparation for and during 
        emergencies and natural disasters.

SEC. 442. ALLOCATION OF FUNDS.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Determination of Institution's Need.--(1)  * * *

           *       *       *       *       *       *       *

  (4)(A) * * *

           *       *       *       *       *       *       *

  (D) The allowance for books and supplies described in 
subparagraph (A)(iii) is equal to [$450] $600.

           *       *       *       *       *       *       *


SEC. 447. ADDITIONAL FUNDS TO CONDUCT COMMUNITY SERVICE WORK-STUDY 
                    PROGRAMS.

   [Each institution participating] (a) Community Service-
Learning.--Each institution participating under this part may 
use up to 10 percent of the funds made available under section 
489(a) and attributable to the amount of the institution's 
expenditures under this part to conduct that institution's 
program of community service-learning, including--
          (1)  * * *

           *       *       *       *       *       *       *

  (b) Off-Campus Community Service.--
          (1) Grants authorized.--In addition to funds made 
        available under section 443(b)(2)(B), the Secretary is 
        authorized to award grants to institutions 
        participating under this part to supplement off-campus 
        community service employment.
          (2) Use of funds.--In any year in which section 
        443(b)(2)(B) applies, an institution shall ensure that 
        funds granted to such institution under this subsection 
        are used in accordance with such section 443 to recruit 
        and compensate students (including compensation for 
        time spent in training and for travel directly related 
        to such community service).
          (3) Priority.--In awarding grants under this 
        subsection, the Secretary shall give priority to 
        applications that support postsecondary students 
        assisting with early childhood education activities and 
        activities in preparation for and during emergencies 
        and natural disasters.
          (4) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection such sums as may be necessary for fiscal 
        year 2009 and each of the 4 succeeding fiscal years.

SEC. 448. WORK COLLEGES.

  (a) Purpose.--The purpose of this section is to recognize, 
encourage, and promote the use of comprehensive [work-learning] 
work-learning-service programs as a valuable educational 
approach when it is an integral part of the institution's 
educational program and a part of a financial plan which 
decreases reliance on grants and loans.
  (b) Source and Use Funds.--
          (1) * * *
          (2) Activities authorized.--From the sums 
        appropriated pursuant to subsection (f), and from the 
        funds available under paragraph (1), eligible 
        institutions may, following approval of an application 
        under subsection (c) by the Secretary--
                  (A) support the educational costs of 
                qualified students through self-help payments 
                or credits provided under the [work-learning] 
                work-learning-service program of the 
                institution within the limits of part F of this 
                title;

           *       *       *       *       *       *       *

                  (C) carry out activities described in section 
                443 or 446;
                  (D) be used for the administration, 
                development and assessment of comprehensive 
                [work-learning] work-learning-service programs, 
                including--
                          (i) community-based [work-learning] 
                        work-learning-service alternatives that 
                        expand opportunities for community 
                        service and career-related work; and

           *       *       *       *       *       *       *

  [(e) Definitions.--For the purpose of this section--
          [(1) the term ``work-college'' means an eligible 
        institution that--
                  [(A) has been a public or private nonprofit 
                institution with a commitment to community 
                service;
                  [(B) has operated a comprehensive work-
                learning program for at least 2 years;
                  [(C) requires all resident students who 
                reside on campus to participate in a 
                comprehensive work-learning program and the 
                provision of services as an integral part of 
                the institution's educational program and as 
                part of the institution's educational 
                philosophy; and
                  [(D) provides students participating in the 
                comprehensive work-learning program with the 
                opportunity to contribute to their education 
                and to the welfare of the community as a whole; 
                and
          [(2) the term ``comprehensive student work-learning 
        program'' means a student work/service program that is 
        an integral and stated part of the institution's 
        educational philosophy and program; requires 
        participation of all resident students for enrollment, 
        participation, and graduation; includes learning 
        objectives, evaluation and a record of work performance 
        as part of the student's college record; provides 
        programmatic leadership by college personnel at levels 
        comparable to traditional academic programs; recognizes 
        the educational role of work-learning supervisors; and 
        includes consequences for nonperformance or failure in 
        the work-learning program similar to the consequences 
        for failure in the regular academic program.]
  (e) Definitions.--For the purpose of this section--
          (1) the term ``work college'' means an eligible 
        institution that--
                  (A) has been a public or private nonprofit, 
                four-year, degree granting institution with a 
                commitment to community service;
                  (B) has operated a comprehensive work-
                learning-service program for at least 2 years;
                  (C) requires all resident students, including 
                at least one-half of all students who are 
                enrolled on a full-time basis, to participate 
                in a comprehensive work-learning-service 
                program for at least 5 hours each week, or at 
                least 80 hours during each period of 
                enrollment, except summer school, unless the 
                student is engaged in an institutionally 
                organized or approved study abroad or 
                externship program; and
                  (D) provides students participating in the 
                comprehensive work-learning-service program 
                with the opportunity to contribute to their 
                education and to the welfare of the community 
                as a whole; and
          (2) the term ``comprehensive student work-learning-
        service program'' means a student work-learning-service 
        program that--
                  (A) is an integral and stated part of the 
                institution's educational philosophy and 
                program;
                  (B) requires participation of all resident 
                students for enrollment and graduation;
                  (C) includes learning objectives, evaluation, 
                and a record of work performance as part of the 
                student's college record;
                  (D) provides programmatic leadership by 
                college personnel at levels comparable to 
                traditional academic programs;
                  (E) recognizes the educational role of work-
                learning-service supervisors; and
                  (F) includes consequences for nonperformance 
                or failure in the work-learning-service program 
                similar to the consequences for failure in the 
                regular academic program.
  (f) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section [$5,000,000] such 
sums as may be necessary for fiscal year [1999] 2009 and such 
sums as may be necessary for each of the 4 succeeding fiscal 
years.

PART D--WILLIAM D. FORD FEDERAL DIRECT LOAN PROGRAM

           *       *       *       *       *       *       *


SEC. 455. TERMS AND CONDITIONS OF LOANS.

  (a) * * *
  (b) Interest Rate.--
          (1) * * *

           *       *       *       *       *       *       *

          (8) Repayment incentives.--
                  (A) * * *
                  (B) Accountability.--Prior to publishing 
                regulations proposing repayment incentives, the 
                Secretary shall ensure the cost neutrality of 
                such reductions. The Secretary shall not 
                prescribe such regulations in final form unless 
                an official report from the Director of the 
                Office of Management and Budget to the 
                Secretary and a comparable report from the 
                Director of the Congressional Budget Office to 
                the Congress each certify that any such 
                reductions will be completely cost neutral. 
                Such reports shall be transmitted to the 
                [Committee on Labor and Human Resources of the 
                Senate and the Committee on Education and the 
                Workforce of the House of Representatives] 
                authorizing committees not less than 60 days 
                prior to the publication of regulations 
                proposing such reductions.

           *       *       *       *       *       *       *

  (m) Repayment Plan for Public Service Employees.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Definitions.--In this subsection:
                  (A) * * *
                  [(B) Public service job.--The term ``public 
                service job'' means--
                          [(i) a full-time job in emergency 
                        management, government, military 
                        service, public safety, law 
                        enforcement, public health, public 
                        education (including early childhood 
                        education), social work in a public 
                        child or family service agency, public 
                        interest law services (including 
                        prosecution or public defense or legal 
                        advocacy in low-income communities at a 
                        nonprofit organization), public child 
                        care, public service for individuals 
                        with disabilities, public service for 
                        the elderly, public library sciences, 
                        school-based library sciences and other 
                        school-based services, or at an 
                        organization that is described in 
                        section 501(c)(3) of the Internal 
                        Revenue Code of 1986 and exempt from 
                        taxation under section 501(a) of such 
                        Code; or
                          [(ii) teaching as a full-time faculty 
                        member at a Tribal College or 
                        University as defined in section 316(b) 
                        and other faculty teaching in high-
                        needs areas, as determined by the 
                        Secretary.]
                  (B) Public service job.--The term ``public 
                service job'' means--
                          (i) a full-time job in emergency 
                        management, government (excluding time 
                        served as a member of Congress), 
                        military service, public safety, law 
                        enforcement, public health (including 
                        nurses, nurse practitioners, nurses in 
                        a clinical setting, and full-time 
                        professionals engaged in health care 
                        practitioner occupations and health 
                        care support occupations, as such terms 
                        are defined by the Bureau of Labor 
                        Statistics), public education, social 
                        work in a public child or family 
                        service agency, public interest law 
                        services (including prosecution or 
                        public defense or legal advocacy on 
                        behalf of low-income communities at a 
                        nonprofit organization), early 
                        childhood education (including licensed 
                        or regulated childcare, Head Start, and 
                        State funded prekindergarten), public 
                        service for individuals with 
                        disabilities, public service for the 
                        elderly, public library sciences, 
                        school-based library sciences and other 
                        school-based services, or at an 
                        organization that is described in 
                        section 501(c)(3) of the Internal 
                        Revenue Code of 1986 and exempt from 
                        taxation under section 501(a) of such 
                        Code; or
                          (ii) teaching as a full-time faculty 
                        member at a Tribal College or 
                        University as defined in section 316(b) 
                        and other faculty teaching in high-
                        needs subject areas or areas of 
                        shortage (including nurse faculty, 
                        foreign language faculty and part-time 
                        faculty at community colleges), as 
                        determined by the Secretary.
  (n) Identity Fraud Protection.--The Secretary of Education 
shall take such steps as may be necessary to ensure that 
monthly Direct Loan statements and other publications of the 
Department of Education do not contain more than 4 digits of 
the Social Security number of any individual.

           *       *       *       *       *       *       *


SEC. 458. FUNDS FOR ADMINISTRATIVE EXPENSES.

  (a) Administrative Expenses.--
          (1) * * *
          (2) Authorization for administrative costs beginning 
        in fiscal years 2007 through [2011] 2013.--For each of 
        the fiscal years 2007 through [2011] 2013, there are 
        authorized to be appropriated such sums as may be 
        necessary for administrative costs under this part and 
        part B, including the costs of the direct student loan 
        programs under this part.
          (3) Continuing mandatory funds for account 
        maintenance fees.--For each of the fiscal years 2007 
        through [2011] 2013, there shall be available to the 
        Secretary, from funds not otherwise appropriated, funds 
        to be obligated for account maintenance fees payable to 
        guaranty agencies under part B and calculated in 
        accordance with subsection (b).

           *       *       *       *       *       *       *

  (d) Audit of Direct Loan Servicing Portfolio and Direct Loan 
Servicing Contracts.--The Secretary shall have a financial and 
compliance audit of all loans owned by the Department of 
Education and made under the William D. Ford Federal Direct 
Loan Program and all contracts for the origination, servicing, 
collection, and related activities of such loans, conducted 
annually by a qualified independent organization from a list of 
qualified organizations promulgated by the Secretary in 
accordance with standards established by the Comptroller 
General. The standards shall measure the servicer's compliance 
with the due diligence standards and shall include a defined 
statistical sampling technique designed to measure the 
performance rating of the servicer for the purpose of this 
section. The Secretary shall submit the audit to Congress 
within 60 days of its completion and shall at the same time 
make the results of the audit publicly available.
  (e) Budget Justification and Quarterly Reports.--In addition 
to the requirements of subsection (c), and as a prerequisite to 
expending funds under this section, the Secretary shall--
          (1) make publicly available immediately upon 
        providing to Congress, its annual budget justification 
        referenced in the last sentence of subsection (c), 
        including the detailed descriptions of activities and 
        the costs for each such activity; and
          (2) make publicly available within 30 days of the 
        close of each calendar quarter, an interim report with 
        at least the same level of detail as the annual report 
        referred to above, showing the detailed descriptions of 
        activities and the costs for each such activity, for 
        the quarter, which shall include--
                  (A) amendments to any contracts entered into 
                by the Department for the purposes of 
                servicing, origination, consolidating, or 
                otherwise providing administrative support for 
                the Direct Loan program;
                  (B) a complete listing of all milestones for 
                upgrades and improvements in any of the 
                contracts referenced in section 458(d)(1) and 
                the progress towards meeting such milestones;
                  (C) un-reconciled balances in held loans by 
                year of origination;
                  (D) status and number of defaulted loans by 
                length of default in 30-day increments;
                  (E) status and number of delinquent loans by 
                length of delinquency in 30-day increments;
                  (F) information technology purchases made 
                under this section; and
                  (G) costs and terms of all contracts with 
                external consultants and employees of 
                institutions of higher education.
  (f) National Debt Report Card.--The Secretary shall make an 
annual report to Congress, included with the budget 
justification for the Department, of the aggregate dollar 
amount of increase in the national debt as a result of loans 
made under part D of this title. This reporting shall be made 
by calculating the net of the total outstanding amount lent by 
the Department and the United States Treasury, less the balance 
in principal of performing and non-defaulted loans outstanding 
in the Department's portfolio.

           *       *       *       *       *       *       *


                     Part E--Federal Perkins Loans

SEC. 461. APPROPRIATIONS AUTHORIZED.

  (a) * * *
  (b) Authorization of Appropriations.--(1) For the purpose of 
enabling the Secretary to make contributions to student loan 
funds established under this part, there are authorized to be 
appropriated [$250,000,000 for fiscal year 1999] $350,000,000 
for fiscal year 2009 and such sums as may be necessary for each 
of the 4 succeeding fiscal years.
  (2) In addition to the funds authorized under paragraph (1), 
there are hereby authorized to be appropriated such sums for 
fiscal year [2003] 2014 and each of the 5 succeeding fiscal 
years as may be necessary to enable students who have received 
loans for academic years ending prior to October 1, [2003] 
2014, to continue or complete courses of study.

           *       *       *       *       *       *       *


SEC. 462. ALLOCATION OF FUNDS.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Determination of Institution's Self-Help Need.--(1) * * *

           *       *       *       *       *       *       *

  (4)(A) * * *

           *       *       *       *       *       *       *

  (D) The allowance for books and supplies described in 
subparagraph (A)(iii) is equal to [$450] $600.

           *       *       *       *       *       *       *


SEC. 463. AGREEMENTS WITH INSTITUTIONS OF HIGHER EDUCATION.

  (a) Contents of Agreements.--An agreement with any 
institution of higher education for the payment of Federal 
capital contributions under this part shall--
          (1) * * *

           *       *       *       *       *       *       *

          (4) provide that where a note or written agreement 
        evidencing a loan has been in default despite due 
        diligence on the part of the institution in attempting 
        collection thereon--
                  (A) * * *
                  [(B) if the institution is not one described 
                in subparagraph (A), the Secretary may--
                          [(i) allow such institution to 
                        transfer its interest in such loan to 
                        the Secretary, for collection, and the 
                        Secretary may use any collections 
                        thereon (less an amount not to exceed 
                        30 percent of any such sums collected 
                        to cover the Secretary's collection 
                        costs) to make allocations to 
                        institutions of additional capital 
                        contributions in accordance with 
                        section 462; or
                          [(ii) allow such institution to refer 
                        such note or agreement to the 
                        Secretary, without recompense, except 
                        that any sums collected on such a loan 
                        (less an amount not to exceed 30 
                        percent of any such sums collected to 
                        cover the Secretary's collection costs) 
                        shall be repaid to such institution no 
                        later than 180 days after collection by 
                        the Secretary and treated as an 
                        additional capital contribution;]
                  (B) if the institution is not one described 
                in subparagraph (A), the Secretary may allow 
                such institution to refer such note or 
                agreement to the Secretary, without recompense, 
                except that any sums collected on such a loan 
                (less an amount not to exceed 30 percent of any 
                such sums collected to cover the Secretary's 
                collection costs) shall be repaid to such 
                institution no later than 180 days after 
                collection by the Secretary and treated as an 
                additional capital contribution under section 
                462;

           *       *       *       *       *       *       *

          (9) include such other reasonable provisions as may 
        be necessary to protect the United States from 
        unreasonable risk of loss and as are agreed to by the 
        Secretary and the institution, except that nothing in 
        this paragraph shall be construed to permit the 
        Secretary to require the assignment of loans to the 
        Secretary other than as is provided for in paragraphs 
        (4) and (5).

           *       *       *       *       *       *       *


SEC. 464. TERMS OF LOANS.

  (a) Terms and Conditions.--(1) * * *
  (2)(A) Except as provided in paragraph (4), the total of 
loans made to a student in any academic year or its equivalent 
by an institution of higher education from a loan fund 
established pursuant to an agreement under this part shall not 
exceed--
  (i) [$4,000] $5,500, in the case of a student who has not 
successfully completed a program of undergraduate education; or
  (ii) [$6,000] $8,000, in the case of a graduate or 
professional student (as defined in regulations issued by the 
Secretary).
  (B) Except as provided in paragraph (4), the aggregate unpaid 
principal amount for all loans made to a student by 
institutions of higher education from loan funds established 
pursuant to agreements under this part may not exceed--
          (i) [$40,000] $60,000, in the case of any graduate or 
        professional student (as defined by regulations issued 
        by the Secretary, and including any loans from such 
        funds made to such person before such person became a 
        graduate or professional student);
          (ii) [$20,000] $27,500, in the case of a student who 
        has successfully completed 2 years of a program of 
        education leading to a bachelor's degree but who has 
        not completed the work necessary for such a degree 
        (determined under regulations issued by the Secretary), 
        and including any loans from such funds made to such 
        person before such person became such a student; and
          (iii) [$8,000] $11,000, in the case of any other 
        student.

           *       *       *       *       *       *       *

  (e) Forbearance.--(1) The Secretary shall ensure that[, upon 
written request,], as documented in accordance with paragraph 
(2), an institution of higher education shall grant a borrower 
forbearance of principal and interest or principal only, 
renewable at 12-month intervals for a period not to exceed 3 
years, on such terms as are otherwise consistent with the 
regulations issued by the Secretary and agreed upon in writing 
by the parties to the loan, if--
          [(1)] (A) the borrower's debt burden equals or 
        exceeds 20 percent of such borrower's gross income;
          [(2)] (B) the institution determines that the 
        borrower should qualify for forbearance for other 
        reasons; or
          [(3)] (C) the borrower is eligible for interest 
        payments to be made on such loan for service in the 
        Armed Forces under section 2174 of title 10, United 
        States Code, and, pursuant to that eligibility, the 
        interest on such loan is being paid under subsection 
        (j), except that the form of a forbearance under this 
        paragraph shall be a temporary cessation of all 
        payments on the loan other than payments of interest on 
        the loan that are made under subsection (j).
  (2) For the purpose of paragraph (1), the terms of 
forbearance agreed to by the parties shall be documented by--
          (A) confirming the agreement of the borrower by 
        notice to the borrower from the institution of higher 
        education; and
          (B) recording the terms in the borrower's file.

           *       *       *       *       *       *       *

  (h) Rehabilitation of Loans.--
          (1) Rehabilitation.--
                  (A) In general.--If the borrower of a loan 
                made under this part who has defaulted on the 
                loan makes [12 ontime] 9 on-time, consecutive, 
                monthly payments of amounts owed on the loan, 
                as determined by the institution, or by the 
                Secretary in the case of a loan held by the 
                Secretary, the loan shall be considered 
                rehabilitated, and the institution that made 
                that loan (or the Secretary, in the case of a 
                loan held by the Secretary) shall request that 
                any credit bureau organization or credit 
                reporting agency to which the default was 
                reported remove the default from the borrower's 
                credit history.

           *       *       *       *       *       *       *

  (j) Armed Forces Student Loan Interest Payment Program.--
          (1) * * *
          (2) Forbearance.--During the period in which the 
        Secretary is making payments on a loan under paragraph 
        (1), the institution of higher education shall grant 
        the borrower forbearance in accordance with 
        subsection[(e)(3)] (e)(1)(C).

           *       *       *       *       *       *       *


SEC. 465. CANCELLATION OF LOANS FOR CERTAIN PUBLIC SERVICE.

  (a) Cancellation of Percentage of Debt Based on Years of 
Qualifying Service.--(1) * * *
  (2) Loans shall be canceled under paragraph (1) for service--
          [(A) as a full-time teacher for service in an 
        academic year in a public or other nonprofit private 
        elementary or secondary school which is in the school 
        district of a local educational agency which is 
        eligible in such year for assistance pursuant to title 
        I of the Elementary and Secondary Education Act of 
        1965, and which for the purpose of this paragraph and 
        for that year has been determined by the Secretary 
        (pursuant to regulations and after consultation with 
        the State educational agency of the State in which the 
        school is located) to be a school in which the 
        enrollment of children counted under section 111(c) of 
        the Elementary and Secondary Education Act of 1965 
        exceeds 30 percent of the total enrollment of that 
        school;]
          (A) as a full-time teacher for service in an academic 
        year in a high-need school;
          (B) as a full-time staff member in a preschool 
        program carried on under the [Head Start Act which] 
        Head Start Act, or in a prekindergarten or child care 
        program that is licensed or regulated by the State, 
        that is operated for a period which is comparable to a 
        full school year in the locality if the salary of such 
        staff member is not more than the salary of a 
        comparable employee of the local educational agency;

           *       *       *       *       *       *       *

          (H) as a full-time nurse or medical technician 
        providing health care services; [or]
          (I) as a full-time employee of a public or private 
        nonprofit child or family service agency who is 
        providing, or supervising the provision of, services to 
        high-risk children who are from low-income communities 
        and the families of such children[.];
          (J) as a full-time fire fighter for service to a 
        local, State, or Federal fire department or fire 
        district;
          (K) as a full-time faculty member at a Tribal College 
        or University, as that term is defined in section 316;
          (L) as a librarian, if the librarian has a master's 
        degree in library science and is employed in--
                  (i) an elementary school or secondary school 
                that is eligible for assistance under title I 
                of the Elementary and Secondary Education Act 
                of 1965; or
                  (ii) a public library that serves a 
                geographic area that contains 1 or more schools 
                eligible for assistance under title I of the 
                Elementary and Secondary Education Act of 1965; 
                or
          (M) as a full-time speech language therapist, if the 
        therapist has a master's degree and is working 
        exclusively with schools that are eligible for 
        assistance under title I of the Elementary and 
        Secondary Education Act of 1965.
For the purpose of this paragraph, the term ``children with 
disabilities'' has the meaning set forth in section 602 of the 
Individuals with Disabilities Education Act.
  (3)(A) The percent of a loan which shall be canceled under 
paragraph (1) of this subsection is--
  (i) in the case of service described in subparagraph (A), 
(C), (D), (F), (G), (H), [or (I)] (I), (J), (K), (L), or (M) of 
paragraph (2), at the rate of 15 percent for the first or 
second year of such service, 20 percent for the third or fourth 
year of such service, and 30 percent for the fifth year of such 
service;
  (ii) in the case of service described in subparagraph (B) of 
paragraph (2), at the rate of 15 percent for each year of such 
service; or
  [(iii) in the case of service described in subparagraph (D) 
of paragraph (2), not to exceed a total of 50 percent of such 
loan at the rate of 12\1/2\ percent for each year of qualifying 
service; or]
  [(iv)] (iii) in the case of service described in subparagraph 
(E) of paragraph (2) at the rate of 15 percent for the first or 
second year of such service and 20 percent for the third or 
fourth year of such service.

           *       *       *       *       *       *       *


PART F--NEED ANALYSIS

           *       *       *       *       *       *       *


SEC. 472. COST OF ATTENDANCE.

   For the purpose of this title, the term ``cost of 
attendance'' means--
          (1) * * *

           *       *       *       *       *       *       *

          (3) an allowance (as determined by the institution) 
        for room and board costs incurred by the student 
        which--
                  (A) * * *
                  (B) for students without dependents residing 
                in institutionally owned or operated housing, 
                shall be a standard allowance determined by the 
                institution based on the amount normally 
                assessed most of its residents for room and 
                board; [and]
                  (C) for students who live in housing located 
                on a military base or for which a basic 
                allowance is provided under section 403(b) of 
                title 37, United States Code, shall be an 
                allowance based on the expenses reasonably 
                incurred by such students for board but not for 
                room; and
                  [(C)] (D) for all other students shall be an 
                allowance based on the expenses reasonably 
                incurred by such students for room and board;

           *       *       *       *       *       *       *


SEC. 479A. DISCRETION OF STUDENT FINANCIAL AID ADMINISTRATORS.

  (a) In General.--Nothing in this part shall be interpreted as 
limiting the authority of the financial aid administrator, on 
the basis of adequate documentation, to make adjustments on a 
case-by-case basis to the cost of attendance or the values of 
the data items required to calculate the expected student or 
parent contribution (or both) to allow for treatment of an 
individual eligible applicant with special circumstances. 
However, this authority shall not be construed to permit aid 
administrators to deviate from the contributions expected in 
the absence of special circumstances. Special circumstances may 
include tuition expenses at an elementary or secondary school, 
[medical or dental expenses] medical, dental, or nursing home 
expenses not covered by insurance, unusually high child care 
costs, recent unemployment of a family member, the number of 
parents enrolled at least half-time in a degree, certificate, 
or other program leading to a recognized educational credential 
at an institution with a program participation agreement under 
section 487, or other changes in a family's income, a family's 
assets, or a student's status. Special circumstances shall be 
conditions that differentiate an individual student from a 
class of students rather than conditions that exist across a 
class of students. Adequate documentation for such adjustments 
shall substantiate such special circumstances of individual 
students. In addition, nothing in this title shall be 
interpreted as limiting the authority of the student financial 
aid administrator in such cases to request and use 
supplementary information about the financial status or 
personal circumstances of eligible applicants in selecting 
recipients and determining the amount of awards under this 
title. No student or parent shall be charged a fee for 
collecting, processing, or delivering such supplementary 
information.

           *       *       *       *       *       *       *


SEC. 480. DEFINITIONS.

  As used in this part:
  (a) Total Income.--(1) * * *

           *       *       *       *       *       *       *

  (3) Notwithstanding paragraph (1), with respect to dislocated 
workers (as defined in section 101 of the Workforce Investment 
Act of 1998 (29 U.S.C. 2801)), the term ``total income'' is 
equal to estimated adjusted gross income plus estimated untaxed 
income and benefits for the current tax year minus estimated 
excludable income (as defined in subsection (e)) in for the 
current tax year.
  (b) Untaxed Income and Benefits.--The term ``untaxed income 
and benefits'' means--
          (1) * * *

           *       *       *       *       *       *       *

          (6) housing, food, and other allowances (excluding 
        rent subsidies for low-income housing) for military, 
        clergy, and others (including cash payments and cash 
        value of benefits), except that the value of on-base 
        military housing or the value of basic allowance for 
        housing determined under section 403(b) of title 37, 
        United States Code, received by the parents, in the 
        case of a dependent student, or the student or 
        student's spouse, in the case of an independent 
        student, shall be excluded;

           *       *       *       *       *       *       *

  (j) Other Financial Assistance.--(1) * * *

           *       *       *       *       *       *       *

  (4) Notwithstanding paragraph (1), for the first year a 
student receives veterans' education benefits under chapter 30 
of title 38, United States Code, the amount of such veterans' 
education benefits that is treated as estimated financial 
assistance not received under this title for the purposes of 
section 471(3) shall be calculated by subtracting the amount 
that the student's basic pay was reduced under section 3011(b) 
or 3012(c) of such title in order to be eligible to receive 
such benefits from the amount of such veterans' education 
benefits.

           *       *       *       *       *       *       *


PART G--General Provisions Relating to Student Assistance Programs

           *       *       *       *       *       *       *


SEC. 482. MASTER CALENDAR.

  (a) Secretary Required To Comply With Schedule.--To assure 
adequate notification and timely delivery of student aid funds 
under this title, the Secretary shall adhere to the following 
calendar dates in the year preceding the award year:
          (1) Development and distribution of Federal and 
        multiple data entry forms--
                  (A) * * *
                  [(B) by March 1: proposed modifications and 
                updates pursuant to section 478 published in 
                the Federal Register;
                  [(C) by June 1: final modifications and 
                updates pursuant to section 478 published in 
                the Federal Register;]
                  (B) by March 1: proposed modifications, 
                updates, and notices pursuant to sections 478 
                and 483(a)(6) published in the Federal 
                Register;
                  (C) by June 1: final modifications, updates, 
                and notices pursuant to sections 478 and 
                483(a)(6) published in the Federal Register;

           *       *       *       *       *       *       *

  (d) Notice to Congress.--The Secretary shall notify the 
[Committee on Labor and Human Resources of the Senate and the 
Committee on Education and Labor of the House of 
Representatives] authorizing committees when a deadline 
included in the calendar described in subsection (a) is not 
met. Nothing in this section shall be interpreted to penalize 
institutions or deny them the specified times allotted to 
enable them to return information to the Secretary based on the 
failure of the Secretary to adhere to the dates specified in 
this section.
  (e) Compliance Calendar.--Prior to the beginning of each 
award year, the Secretary shall provide to institutions of 
higher education a list of all the reports and disclosures 
required under this Act. The list shall include--
          (1) the date each report or disclosure is required to 
        be completed and to be submitted, made available, or 
        disseminated;
          (2) the required recipients of each report or 
        disclosure;
          (3) any required method for transmittal or 
        dissemination of each report or disclosure;
          (4) a description of the content of each report or 
        disclosure sufficient to allow the institution to 
        identify the appropriate individuals to be assigned the 
        responsibility for such report or disclosure;
          (5) references to the statutory authority, applicable 
        regulations, and current guidance issued by the 
        Secretary regarding each report or disclosure; and
          (6) any other information which is pertinent to the 
        content or distribution of the report or disclosure.

SEC. 483. FORMS AND REGULATIONS.

  (a) Common Financial Aid Form Development and Processing.--
          [(1) Single form required.--The Secretary, in 
        cooperation with representatives of agencies and 
        organizations involved in student financial assistance, 
        shall produce, distribute, and process free of charge a 
        common financial reporting form to be used to determine 
        the need and eligibility of a student for financial 
        assistance under parts A through E of this title (other 
        than under subpart 4 of part A). The Secretary shall 
        include on the form developed under this subsection 
        such data items as the Secretary determines are 
        appropriate for inclusion. Such items shall be selected 
        in consultation with States to assist in the awarding 
        of State financial assistance. In no case shall the 
        number of such data items be less than the number 
        included on the form on the date of enactment of the 
        Higher Education Amendments of 1998. Such form shall 
        satisfy the requirements of section 401(d) of this 
        title.
          [(2) Charges to students and parents for use of form 
        prohibited.--The common financial reporting form 
        prescribed by the Secretary under paragraph (1) shall 
        be produced, distributed, and processed by the 
        Secretary and no parent or student shall be charged a 
        fee for the collection, processing, or delivery of 
        financial aid through the use of such form. The need 
        and eligibility of a student for financial assistance 
        under parts A through E of this title (other than under 
        subpart 4 of part A) may only be determined by using 
        the form developed by the Secretary pursuant to 
        paragraph (1) of this subsection. No student may 
        receive assistance under parts A through E of this 
        title (other than under subpart 4 of part A), except by 
        use of the form developed by the Secretary pursuant to 
        this section. No data collected on a form for which a 
        fee is charged shall be used to complete the form 
        prescribed under paragraph (1).]
          (1) In general.--The Secretary, in cooperation with 
        representatives of agencies and organizations involved 
        in student financial assistance, shall produce, 
        distribute, and process free of charge common financial 
        reporting forms as described in this subsection to be 
        used for application and reapplication to determine the 
        need and eligibility of a student for financial 
        assistance under parts A through E (other than subpart 
        4 of part A). These forms shall be made available to 
        applicants in both paper and electronic formats and 
        shall be referred to as the ``Free Application for 
        Federal Student Aid'' or the ``FAFSA''. The Secretary 
        shall work to make the FAFSA consumer-friendly and to 
        make questions on the FAFSA easy for students and 
        parents to read and understand, and shall ensure that 
        the FAFSA is available in formats accessible to 
        individuals with disabilities.
          (2) Early estimates.--The Secretary shall--
                  (A) permit applicants to enter data in such 
                forms as described in this subsection in the 
                years prior to enrollment in order to obtain a 
                non-binding estimate of the applicant's family 
                contribution (as defined in section 473);
                  (B) permit applicants to update information 
                submitted on forms described in this 
                subsection, without needing to re-enter 
                previously submitted information;
                  (C) develop a means to inform applicants, in 
                the years prior to enrollment, of student aid 
                options for individuals in similar financial 
                situations; and
                  (D) develop a means to provide a clear and 
                conspicuous notice that the applicant's 
                expected family contribution is subject to 
                change and may not reflect the final expected 
                family contribution used to determine Federal 
                student financial aid award amounts.
          (3) Paper format.--
                  (A) In general.--The Secretary shall produce, 
                distribute, and process common forms in paper 
                format to meet the requirements of paragraph 
                (1). The Secretary shall develop a common paper 
                form for applicants who do not meet the 
                requirements of subparagraph (B).
                  (B) EZ FAFSA.--
                          (i) In general.--The Secretary shall 
                        develop and use a simplified paper 
                        application form, to be known as the EZ 
                        FAFSA, to be used for applicants 
                        meeting the requirements of subsections 
                        (b) and (c) of section 479.
                          (ii) Reduced data requirements.--The 
                        EZ FAFSA shall permit an applicant to 
                        submit for financial assistance 
                        purposes, only the data elements 
                        required to make a determination of 
                        whether the applicant meets the 
                        requirements under subsections (b) and 
                        (c) of section 479.
                          (iii) State data.--The Secretary 
                        shall include on the EZ FAFSA such data 
                        items as may be necessary to award 
                        State financial assistance, as provided 
                        under paragraph (6), except that the 
                        Secretary shall not include a State's 
                        data if that State does not permit its 
                        applicants to use the EZ FAFSA for 
                        State assistance.
                          (iv) Free availability and 
                        processing.--The provisions of 
                        paragraph (7) shall apply to the EZ 
                        FAFSA, and the data collected by means 
                        of the EZ FAFSA shall be available to 
                        institutions of higher education, 
                        guaranty agencies, and States in 
                        accordance with paragraph (9).
                          (v) Testing.--The Secretary shall 
                        conduct appropriate field testing on 
                        the EZ FAFSA.
                  (C) Promoting the use of electronic fafsa.--
                          (i) In general.--The Secretary shall 
                        make all efforts to encourage all 
                        applicants to utilize the electronic 
                        forms described in paragraph (4).
                          (ii) Maintenance of the fafsa in a 
                        printable electronic file.--The 
                        Secretary shall maintain a version of 
                        the paper forms described in 
                        subparagraphs (A) and (B) in a 
                        printable electronic file that is 
                        easily portable. The printable 
                        electronic file will be made easily 
                        accessible and downloadable to students 
                        on the same website used to provide 
                        students with the electronic 
                        application forms described in 
                        paragraph (4) of this subsection. The 
                        Secretary shall enable students to 
                        submit a form created under this 
                        subparagraph that may be downloaded and 
                        printed from an electronic file format 
                        in order to meet the filing 
                        requirements of this section and in 
                        order to receive aid from programs 
                        under this title.
                          (iii) Reporting requirement.--The 
                        Secretary shall report annually to 
                        Congress on the impact of the digital 
                        divide on students completing 
                        applications for title IV aid described 
                        under this paragraph and paragraph (4). 
                        The Secretary will also report on the 
                        steps taken to eliminate the digital 
                        divide and reduce production of the 
                        paper form described in subparagraph 
                        (A) of this paragraph. The Secretary's 
                        report will specifically address the 
                        impact of the digital divide on the 
                        following student populations: 
                        independent students, traditionally 
                        underrepresented students, and 
                        dependent students.
          (4) Electronic format.--
                  (A) In general.--The Secretary shall produce, 
                distribute, and process common forms in 
                electronic format to meet the requirements of 
                paragraph (1). The Secretary shall develop 
                common electronic forms for applicants who do 
                not meet the requirements of subparagraph (C) 
                of this paragraph.
                  (B) State data.--The Secretary shall include 
                on the common electronic forms space for 
                information that needs to be entered for the 
                applicant to be eligible for State financial 
                assistance, as provided under paragraph (6), 
                except the Secretary shall not require 
                applicants to enter data required by any State 
                other than the applicant's State of residence.
                  (C) Simplified applications: fafsa on the 
                web.--
                          (i) In general.--The Secretary shall 
                        develop and use a simplified electronic 
                        application form to be used by 
                        applicants meeting the requirements 
                        under subsections (b) and (c) of 
                        section 479.
                          (ii) Reduced data requirements.--The 
                        simplified electronic application forms 
                        shall permit an applicant to submit for 
                        financial assistance purposes, only the 
                        data elements required to make a 
                        determination of whether the applicant 
                        meets the requirements under subsection 
                        (b) or (c) of section 479.
                          (iii) State data.--The Secretary 
                        shall include on the simplified 
                        electronic application forms such data 
                        items as may be necessary to award 
                        State financial assistance, as provided 
                        under paragraph (6), except that the 
                        Secretary shall not require applicants 
                        to enter data required by any State 
                        other than the applicant's State of 
                        residence.
                          (iv) Availability and processing.--
                        The data collected by means of the 
                        simplified electronic application forms 
                        shall be available to institutions of 
                        higher education, guaranty agencies, 
                        and States in accordance with paragraph 
                        (9).
                          (v) Testing.--The Secretary shall 
                        conduct appropriate field testing on 
                        the forms developed under this 
                        subparagraph.
                  (D) Use of forms.--Nothing in this subsection 
                shall be construed to prohibit the use of the 
                forms developed by the Secretary pursuant to 
                this paragraph by an eligible institution, 
                eligible lender, guaranty agency, State grant 
                agency, private computer software provider, a 
                consortium thereof, or such other entities as 
                the Secretary may designate.
                  (E) Privacy.--The Secretary shall ensure that 
                data collection under this paragraph complies 
                with section 552a of title 5, United States 
                Code, and that any entity using the electronic 
                version of the forms developed by the Secretary 
                pursuant to this paragraph shall maintain 
                reasonable and appropriate administrative, 
                technical, and physical safeguards to ensure 
                the integrity and confidentiality of the 
                information, and to protect against security 
                threats, or unauthorized uses or disclosures of 
                the information provided on the electronic 
                version of the forms. Data collected by such 
                electronic version of the forms shall be used 
                only for the application, award, and 
                administration of aid awarded under this title, 
                State aid awarded under section 415C, or aid 
                awarded by eligible institutions or such 
                entities as the Secretary may designate. No 
                data collected by such electronic version of 
                the forms shall be used for making final aid 
                awards under this title until such data have 
                been processed by the Secretary or a contractor 
                or designee of the Secretary, except as may be 
                permitted under this title.
                  (F) Signature.--Notwithstanding any other 
                provision of this Act, the Secretary may permit 
                an electronic form under this paragraph to be 
                submitted without a signature, if a signature 
                is subsequently submitted by the applicant or 
                if the applicant uses a personal identification 
                number provided by the Secretary under 
                subparagraph (G) of this paragraph.
                  (G) Personal identification numbers 
                authorized.--The Secretary may assign to 
                applicants personal identification numbers--
                          (i) to enable the applicants to use 
                        such numbers in lieu of a signature for 
                        purposes of completing a form under 
                        this paragraph;
                          (ii) to enable the applicants to use 
                        such numbers in lieu of a signature for 
                        purposes of completing forms required 
                        by States under section 415C; and
                          (iii) for any purpose determined by 
                        the Secretary to enable the Secretary 
                        to carry out this title.
                  (H) Personal identification number 
                improvement.--The Secretary shall implement a 
                real-time data match between the Social 
                Security Administration and the Department to 
                minimize the time required for an applicant to 
                obtain a personal identification number when 
                applying for aid under this title through an 
                electronic version of a form developed under 
                this paragraph.
          (5) Streamlining.--
                  (A) Streamlined reapplication process.--
                          (i) In general.--The Secretary shall 
                        develop streamlined reapplication forms 
                        and processes, including both paper and 
                        electronic reapplication processes, 
                        consistent with the requirements of 
                        this subsection, for an applicant who 
                        applies for financial assistance under 
                        this title in the next succeeding 
                        academic year subsequent to the year in 
                        which such applicant first applied for 
                        financial assistance under this title.
                          (ii) Mechanisms for reapplication.--
                        The Secretary shall develop appropriate 
                        mechanisms to support reapplication.
                          (iii) Identification of updated 
                        data.--The Secretary shall determine, 
                        in cooperation with States, 
                        institutions of higher education, 
                        agencies, and organizations involved in 
                        student financial assistance, the data 
                        elements that can be updated from the 
                        previous academic year's application.
                          (iv) Reduced data authorized.--
                        Nothing in this title shall be 
                        construed as limiting the authority of 
                        the Secretary to reduce the number of 
                        data elements required of reapplicants.
                          (v) Zero family contribution.--
                        Applicants determined to have a zero 
                        family contribution pursuant to section 
                        479(c) shall not be required to provide 
                        any financial data in a reapplication 
                        form, except that which is necessary to 
                        determine eligibility under such 
                        section.
                  (B) Reduction of data elements.--
                          (i) Reduction encouraged.--Of the 
                        number of data elements on the FAFSA on 
                        the date of enactment of the College 
                        Opportunity and Affordability Act of 
                        2007 (including questions on the FAFSA 
                        for the purposes described in paragraph 
                        (6)), the Secretary, in cooperation 
                        with representatives of agencies and 
                        organizations involved in student 
                        financial assistance, shall continue to 
                        reduce the number of such data elements 
                        required to be entered by all 
                        applicants, with the goal of reducing 
                        such number by 50 percent. Reductions 
                        of data elements under paragraph 
                        (3)(B), (4)(C), or (5)(A)(iv) shall not 
                        be counted towards such reduction 
                        unless those data elements are reduced 
                        for all applicants.
                          (ii) Report.--The Secretary shall 
                        submit a report on the process of this 
                        reduction to each the authorizing 
                        committees within 2 years after such 
                        date of enactment.
          (6) State requirements.--
                  (A) In general.--The Secretary shall include 
                on the forms developed under this subsection, 
                such State-specific nonfinancial data items as 
                the Secretary determines are necessary to meet 
                State requirements for need-based State aid 
                under section 415C, except as provided in 
                paragraphs (3)(B)(iii) and (4)(C)(iii) of this 
                subsection. Such items shall be selected in 
                consultation with State agencies that submit 
                applications under section 415C in order to 
                assist in the awarding of State financial 
                assistance in accordance with the terms of this 
                subsection, except as provided in paragraphs 
                (3)(B)(iii) and (4)(C)(iii) of this subsection. 
                The number of such data items shall not be less 
                than the number included on the form for the 
                2008-2009 academic year, unless a State 
                notifies the Secretary that the State no longer 
                requires those data items for the distribution 
                of State need-based aid.
                  (B) Annual review.--The Secretary shall 
                conduct an annual review process to determine 
                which forms and nonfinancial data items the 
                States require to award need-based State aid 
                and other application requirements that the 
                States may impose.
                  (C) State use of simplified forms.--The 
                Secretary shall encourage States to take such 
                steps as necessary to encourage the use of 
                simplified application forms, including those 
                described in paragraphs (3)(B) and (4)(C), to 
                meet the requirements under subsection (b) or 
                (c) of section 479.
                  (D) Federal register notice.--The Secretary 
                shall publish on an annual basis a notice in 
                the Federal Register requiring State agencies 
                to inform the Secretary--
                          (i) if the State agency is unable to 
                        permit applicants to utilize the 
                        simplified application forms described 
                        in paragraphs (3)(B) and (4)(C); and
                          (ii) of the State-specific 
                        nonfinancial data that the State agency 
                        requires for delivery of State need-
                        based financial aid.
                  (E) State notification to the secretary.--
                          (i) In general.--Each State agency 
                        that submits an application under 
                        section 415C shall notify the 
                        Secretary--
                                  (I) whether the State permits 
                                an applicant to file a form 
                                described in paragraph (3)(B) 
                                or (4)(A) of this subsection 
                                for purposes of determining 
                                eligibility for State need-
                                based grant aid; and
                                  (II) the State-specific 
                                nonfinancial data that the 
                                State agency requires for 
                                delivery of State need-based 
                                financial aid.
                          (ii) Acceptance of forms.--In the 
                        event that a State does not permit an 
                        applicant to file a form described in 
                        paragraph (3)(B) or (4)(A) of this 
                        subsection for purposes of determining 
                        eligibility for State need-based grant 
                        aid--
                                  (I) the State shall notify 
                                the Secretary if the State is 
                                not permitted to do so because 
                                of either State law or because 
                                of agency policy; and
                                  (II) the notification under 
                                subclause (I) shall include an 
                                estimate of the program cost to 
                                permit applicants to complete 
                                simplified application forms 
                                under paragraphs (3)(B) and 
                                (4)(A) of this subsection.
                          (iii) Lack of notification by the 
                        state.--If a State does not notify the 
                        Secretary pursuant to clause (i), the 
                        Secretary shall--
                                  (I) permit residents of that 
                                State to complete simplified 
                                application forms under 
                                paragraphs (3)(B) and (4)(A) of 
                                this subsection; and
                                  (II) not require any resident 
                                of that State to complete any 
                                nonfinancial data previously 
                                required by that State under 
                                this section.
          (7) Charges to students and parents for use of forms 
        prohibited.--
                  (A) Fees prohibited.--The FAFSA, in whatever 
                form (including the EZ FAFSA, paper, 
                electronic, simplified, or reapplication), 
                shall be produced, distributed, and processed 
                by the Secretary and no parent or student shall 
                be charged a fee for the collection, 
                processing, or delivery of financial aid 
                through the use of the FAFSA. The need and 
                eligibility of a student for financial 
                assistance under parts A through E of this 
                title (other than under subpart 4 of part A) 
                may only be determined by using the FAFSA 
                developed by the Secretary pursuant to this 
                subsection. No student may receive assistance 
                under parts A through E of this title (other 
                than under subpart 4 of part A), except by use 
                of the FAFSA developed by the Secretary 
                pursuant to this subsection. No data collected 
                on a form for which a fee is charged shall be 
                used to complete the FAFSA.
                  (B) Notice.--Any entity that provides to 
                students and parents, or charges students or 
                parents for, any value-added services with 
                respect to or in connection with the FAFSA, 
                such as completion of the FAFSA, submission of 
                the FAFSA, or tracking of the FAFSA for a 
                student, shall provide to students and parents 
                clear and conspicuous notice that--
                          (i) the FAFSA is a free Federal 
                        student aid application;
                          (ii) the FAFSA can be completed 
                        without professional assistance; and
                          (iii) includes the current Internet 
                        address for the FAFSA on the 
                        Department's web site.
          (8) Application processing cycle.--The Secretary 
        shall enable students to submit a form created under 
        this subsection in order to meet the filing 
        requirements of this section and in order to receive 
        aid from programs under this title and shall initiate 
        the processing of applications under this subsection as 
        early as practicable prior to October 15 of the year 
        prior to the student's planned year of enrollment.
          [(3)] (9) Distribution of data.--Institutions of 
        higher education, guaranty agencies, and States shall 
        receive, without charge, the data collected by the 
        Secretary using the form developed pursuant to this 
        section for the purposes of processing loan 
        applications and determining need and eligibility for 
        institutional and State financial aid awards. Entities 
        designated by institutions of higher education, 
        guaranty agencies, or States to receive such data shall 
        be subject to all the requirements of this section, 
        unless such requirements are waived by the Secretary.
          [(4)] (10) Contracts for collection and processing.--
        (A) * * *

           *       *       *       *       *       *       *

          [(5) Electronic forms.--(A) The Secretary, in 
        cooperation with representatives of agencies and 
        organizations involved in student financial assistance, 
        including private computer software providers, shall 
        develop an electronic version of the form described in 
        paragraph (1). As permitted by the Secretary, such an 
        electronic version shall not require a signature to be 
        collected at the time such version is submitted, if a 
        signature is subsequently submitted by the applicant. 
        The Secretary shall prescribe such version not later 
        than 120 days after the date of enactment of the Higher 
        Education Amendments of 1998.
  [(B) Nothing in this section shall be construed to prohibit 
the use of the form developed by the Secretary pursuant to 
subparagraph (A) by an eligible institution, eligible lender, 
guaranty agency, State grant agency, private computer software 
providers, a consortium thereof, or such other entities as the 
Secretary may designate.
  [(C) No fee shall be charged to students in connection with 
the use of the electronic version of the form, or of any other 
electronic forms used in conjunction with such form in applying 
for Federal or State student financial assistance.
  [(D) The Secretary shall ensure that data collection complies 
with section 552a of title 5, United States Code, and that any 
entity using the electronic version of the form developed by 
the Secretary pursuant to subparagraph (A) shall maintain 
reasonable and appropriate administrative, technical, and 
physical safeguards to ensure the integrity and confidentiality 
of the information, and to protect against security threats, or 
unauthorized uses or disclosures of the information provided on 
the electronic version of the form. Data collected by such 
version of the form shall be used only for the application, 
award, and administration of aid awarded under this title, 
State aid, or aid awarded by eligible institutions or such 
entities as the Secretary may designate. No data collected by 
such version of the form shall be used for making final aid 
awards under this title until such data have been processed by 
the Secretary or a contractor or designee of the Secretary.]
          [(6)] (11) Third party servicers and private software 
        providers.--To the extent practicable and in a timely 
        manner, the Secretary shall provide, to private 
        organizations and consortia that develop software used 
        by eligible institutions for the administration of 
        funds under this title, all the necessary 
        specifications that the organizations and consortia 
        must meet for the software the organizations and 
        consortia develop, produce, and distribute (including 
        any diskette, modem, or network communications) which 
        are so used. The specifications shall contain record 
        layouts for required data. The Secretary shall develop 
        in advance of each processing cycle an annual schedule 
        for providing such specifications. The Secretary, to 
        the extent practicable, shall use means of providing 
        such specifications, including conferences and other 
        meetings, outreach, and technical support mechanisms 
        (such as training and printed reference materials). The 
        Secretary shall, from time to time, solicit from such 
        organizations and consortia means of improving the 
        support provided by the Secretary.
          [(7)] (12) Parent's social security number and birth 
        date.--The Secretary is authorized to include on the 
        form developed under this subsection space for the 
        social security number and birth date of parents of 
        dependent students seeking financial assistance under 
        this title.
          (13) Early application and award demonstration 
        program.--
                  (A) Program required.--The Secretary shall, 
                no later than two years after the date of the 
                enactment of the College Opportunity and 
                Affordability Act of 2007, implement an early 
                application demonstration program enabling 
                dependent students to--
                          (i) complete applications under this 
                        subsection in such students' junior 
                        year of secondary school, or in the 
                        academic year that is 2 years prior to 
                        such students' intended year of 
                        enrollment at an institution of higher 
                        education;
                          (ii) receive an estimate of such 
                        students' financial aid awards;
                          (iii) update, in the year prior to 
                        such students' planned year of 
                        enrollment, the information contained 
                        in an application submitted under 
                        clause (i), using the process described 
                        in paragraph (5) to determine such 
                        students' final financial aid awards; 
                        and
                          (iv) receive final financial aid 
                        awards based on updated information 
                        described in clause (iii).
                  (B) Purpose and objectives.--The purpose of 
                the demonstration program under this paragraph 
                shall be to measure the benefits, in terms of 
                student aspirations and plans to attend 
                college, and the adverse effects, in terms of 
                program costs, integrity, distribution, and 
                delivery of aid under this title, of 
                implementing an early application system for 
                all dependent students that allows dependent 
                students to apply for financial aid using 
                information from the year prior to the year 
                prior to enrollment. Additional objectives 
                associated with implementation of the 
                demonstration program are the following:
                          (i) Measure the feasibility of 
                        enabling dependent students to apply 
                        for Federal, State, and institutional 
                        financial aid in their junior year of 
                        high school, using information from the 
                        year prior to the year prior to 
                        enrollment, by completing any of the 
                        application forms under this 
                        subsection.
                          (ii) Identify whether receiving final 
                        financial aid awards no later than the 
                        fall of the senior year provides 
                        students with additional time to 
                        compete for the limited resources 
                        available for State and institutional 
                        financial aid and positively impacts 
                        the college aspirations and plans of 
                        these students.
                          (iii) Measure the impact of using 
                        income information from the years prior 
                        to enrollment on--
                                  (I) eligibility for financial 
                                aid under this title and for 
                                other State and institutional 
                                aid; and
                                  (II) the cost of financial 
                                aid programs under this title.
                          (iv) Effectively evaluate the 
                        benefits and adverse effects of the 
                        demonstration program on program costs, 
                        integrity, distribution, and delivery 
                        of aid.
                  (C) Participants.--The Secretary shall select 
                States and institutions within those States to 
                participate in the demonstration program under 
                this paragraph that are participating in the 
                programs under this title and that are willing 
                to make final financial aid awards to students 
                based on their application information from the 
                year prior to the year prior to enrollment. The 
                Secretary shall also select as participants in 
                the demonstration program secondary schools and 
                dependent students that are located in the 
                participating States.
                  (D) Application process.--The Secretary shall 
                insure that the following provisions are 
                included in the demonstration program:
                          (i) Participating States and 
                        institutions shall--
                                  (I) encourage participating 
                                students to apply for estimates 
                                of financial aid awards as 
                                provided under this title in 
                                such students' junior year of 
                                secondary school, or in the 
                                academic year that is 2 years 
                                prior to such students' 
                                intended year of enrollment at 
                                an institution of higher 
                                education, using the most 
                                recent information available; 
                                and
                                  (II) make final financial aid 
                                awards to participating 
                                students based on the updated 
                                information contained on a form 
                                submitted using the process 
                                described in paragraph (5).
                          (ii) Financial aid administrators at 
                        participating institutions shall be 
                        allowed to use their discretion in 
                        awarding financial aid to participating 
                        students, as outlined under section 
                        479A and section 480(d)(7).
                  (E) Evaluation.--The Secretary shall conduct 
                a rigorous evaluation of this demonstration 
                program in order to measure its benefits and 
                adverse effects as indicated under subparagraph 
                (A).
                  (F) Outreach.--The Secretary shall make 
                appropriate efforts in order to notify States 
                of the demonstration program under this 
                paragraph. Upon determination of participating 
                States, the Secretary shall continue to make 
                efforts to notify institutions and dependent 
                students within participating States of the 
                opportunity to participate in the demonstration 
                program and of the participation requirements.
                  (G) Consultation.--The Secretary shall 
                consult with the Advisory Committee on Student 
                Financial Assistance, established under section 
                491, on the design and implementation of the 
                demonstration program and on the evaluation 
                described in subparagraph (E).
  [(b) Streamlined Reapplication Process.--(1) The Secretary 
shall develop a streamlined reapplication form and process, 
including electronic reapplication process, consistent with the 
requirements of subsection (a), for those recipients who apply 
for financial aid funds under this title in the next succeeding 
academic year subsequent to the initial year in which such 
recipients apply.
  [(2) The Secretary shall develop appropriate mechanisms to 
support reapplication.
  [(3) The Secretary shall determine, in cooperation with 
States, institutions of higher education, agencies and 
organizations involved in student financial assistance, the 
data elements that can be updated from the previous academic 
year's application.
  [(4) Nothing in this title shall be interpreted as limiting 
the authority of the Secretary to reduce the number of data 
elements required of reapplicants.
  [(5) Individuals determined to have a zero family 
contribution pursuant to section 479 shall not be required to 
provide any financial data, except that which is necessary to 
determine eligibility under that section.]
  [(c)] (b) Information to Committees of Congress.--Copies of 
all rules, regulations, guidelines, instructions, and 
application forms published or promulgated pursuant to this 
title shall be provided to the [Committee on Labor and Human 
Resources of the Senate and the Committee on Education and the 
Workforce of the House of Representatives] authorizing 
committees at least 45 days prior to their effective date.
  [(d)] (c) Toll-Free Information.--The Secretary shall 
contract for, or establish, and publicize a toll-free telephone 
service to provide timely and accurate information to the 
general public. The information provided shall include specific 
instructions on completing the application form for assistance 
under this title. Such service shall also include a service 
accessible by telecommunications devices for the deaf (TDD's) 
and shall, in addition to the services provided for in the 
previous sentence, refer such students to the national 
clearinghouse on postsecondary education that is authorized 
under section 685(d)(2)(C) of the Individuals with Disabilities 
Education Act.
  [(e)] (d) Preparer.--Any financial aid application required 
to be made under this title shall include the name, signature, 
address or employer's address, social security number or 
employer identification number, and organizational affiliation 
of the preparer of such financial aid application.
  (e) Addressing the Digital Divide.--The Secretary shall 
utilize savings accrued by moving more applicants to the 
electronic forms described in subsection (a)(4) to improve 
access to the electronic forms described in subsection (a)(4) 
for applicants meeting the requirements of section 479(b) or 
(c).

SEC. 484. STUDENT ELIGIBILITY.

  (a) In General.--In order to receive any grant, loan, or work 
assistance under this title, a student must--
          (1) * * *

           *       *       *       *       *       *       *

          (4) file with the Secretary, as part of the original 
        financial aid application process, a certification,, 
        which need not be notarized, but which shall include--
                  (A) * * *

           *       *       *       *       *       *       *

                  (B) such student's social security number, 
                except that the provisions of this subparagraph 
                shall not apply to a student from [the Republic 
                of the Marshall Islands, the Federated States 
                of Micronesia, or] the Republic of Palau;
          (5) be a citizen or national of the United States, a 
        permanent resident of the United States, able to 
        provide evidence from the Immigration and 
        Naturalization Service that he or she is in the United 
        States for other than a temporary purpose with the 
        intention of becoming a citizen or permanent resident, 
        [a citizen of any one of the Freely Associated States] 
        or, to the extent described in subsection (j), a 
        citizen of the Republic of Palau; and

           *       *       *       *       *       *       *

  [(j) Assistance Under Subparts 1 and 3 of Part A, and Part 
C.--Notwithstanding any other provision of law, a student shall 
be eligible until September 30, 2004, for assistance under 
subparts 1 and 3 of part A, and part C, if the student is 
otherwise qualified and--
          [(1) is a citizen of any one of the Freely Associated 
        States and attends an institution of higher education 
        in a State or a public or nonprofit private institution 
        of higher education in the Freely Associated States; or
          [(2) meets the requirements of subsection (a)(5) and 
        attends a public or nonprofit private institution of 
        higher education in any one of the Freely Associated 
        States.]
  (j) Assistance Under Subpart 1 of Part A for Students From 
Palau.--Notwithstanding any other provision of law, a student 
shall be eligible until September 30, 2009, for assistance 
under subpart 1 of part A if the student is otherwise qualified 
and--
          (1) is a citizen of the Republic of Palau and attends 
        an institution of higher education in a State or a 
        public or nonprofit private institution of higher 
        education in the Freely Associated States; or
          (2) meets the requirements of subsection (a)(5) and 
        attends a public or nonprofit private institution of 
        higher education in any one of the Freely Associated 
        States.

           *       *       *       *       *       *       *

  [(l) Courses Offered Through Telecommunications.--
          [(1) Relation to correspondence courses.--
                  [(A) In general.--A student enrolled in a 
                course of instruction at an institution of 
                higher education that is offered in whole or in 
                part through telecommunications and leads to a 
                recognized certificate, or a recognized 
                associate, baccalaureate, or graduate degree, 
                conferred by such institution, shall not be 
                considered to be enrolled in correspondence 
                courses.
                  [(B) Exception.--Subparagraph (A) shall not 
                apply to an institution or school described in 
                section 3(3)(C) of the Carl D. Perkins 
                Vocational and Technical Education Act of 1998 
                .
          [(2) Restriction or reductions of financial aid.--A 
        student's eligibility to receive grants, loans, or work 
        assistance under this title shall be reduced if a 
        financial aid officer determines under the 
        discretionary authority provided in section 479A that 
        telecommunications instruction results in a 
        substantially reduced cost of attendance to such 
        student.
          [(3) Special rule.--For award years prior to the date 
        of enactment of this subsection, the Secretary shall 
        not take any compliance, disallowance, penalty, or 
        other action against a student or an eligible 
        institution when such action arises out of such 
        institution's prior award of student assistance under 
        this title if the institution demonstrates to the 
        satisfaction of the Secretary that its course of 
        instruction would have been in conformance with the 
        requirements of this subsection.
          [(4) Definition.--For the purposes of this 
        subsection, the term ``telecommunications'' means the 
        use of television, audio, or computer transmission, 
        including open broadcast, closed circuit, cable, 
        microwave, or satellite, audio conferencing, computer 
        conferencing, or video cassettes or discs, except that 
        such term does not include a course that is delivered 
        using video cassette or disc recordings at such 
        institution and that is not delivered in person to 
        other students of that institution.]
  (l) Courses Offered Through Distance Education.--
          (1) Relation to correspondence courses.--
                  (A) In general.--A student enrolled in a 
                course of instruction at an institution of 
                higher education that is offered principally 
                through distance education and leads to a 
                recognized certificate, or associate, 
                baccalaureate, or graduate degree, conferred by 
                such institution, shall not be considered to be 
                enrolled in correspondence courses.
                  (B) Exception.--An institution of higher 
                education referred to in subparagraph (A) shall 
                not include an institution or school described 
                in section 3(3)(C) of the Carl D. Perkins 
                Career and Technical Education Act of 2006.
          (2) Restriction or reductions of financial aid.--A 
        student's eligibility to receive grants, loans, or work 
        assistance under this title shall be reduced if a 
        financial aid officer determines under the 
        discretionary authority provided in section 479A that 
        distance education results in a substantially reduced 
        cost of attendance to such student.
          (3) Special rule.--For award years prior to July 1, 
        2008, the Secretary shall not take any compliance, 
        disallowance, penalty, or other action against a 
        student or an eligible institution when such action 
        arises out of such institution's prior award of student 
        assistance under this title if the institution 
        demonstrates to the satisfaction of the Secretary that 
        its course of instruction would have been in 
        conformance with the requirements of this subsection.

           *       *       *       *       *       *       *

  (r) Suspension of Eligibility for Drug-Related Offenses.--
          (1) * * *
          (2) Rehabilitation.--A student whose eligibility has 
        been suspended under paragraph (1) may resume 
        eligibility before the end of the ineligibility period 
        determined under such paragraph if--
                  (A) the student satisfactorily completes a 
                drug rehabilitation program that--
                          (i) * * *
                          (ii) includes two unannounced drug 
                        tests; [or]
                  (B) the student successfully passes two 
                unannounced drug tests conducted by a drug 
                rehabilitation program that complies with such 
                criteria as the Secretary shall prescribe in 
                regulations for purposes of subparagraph 
                (A)(i); or
                  [(B)] (C) the conviction is reversed, set 
                aside, or otherwise rendered nugatory.
  (s) Students with Intellectual Disabilities.--
          (1) In general.--Notwithstanding subsections (a), 
        (c), and (d), in order to receive any grant or work 
        assistance under section 401 and subpart 3 of part A 
        and part C of this title, a student with an 
        intellectual disability shall--
                  (A) be an individual with an intellectual 
                disability whose mental retardation or other 
                significant cognitive impairment substantially 
                impacts the individual's intellectual and 
                cognitive functioning;
                  (B)(i) be a student eligible for assistance 
                under the Individuals with Disabilities 
                Education Act who has completed secondary 
                school; or
          (ii) be an individual who was, but is no longer, 
        eligible for assistance under the Individuals with 
        Disabilities Education Act because the individual has 
        exceeded the maximum age for which the State provides a 
        free appropriate public education;
                  (C) be enrolled or accepted for enrollment in 
                a comprehensive transition and postsecondary 
                education program that--
                          (i) is designed to support students 
                        with an intellectual disability who are 
                        seeking to continue academic, 
                        vocational, and independent living 
                        instruction at the institution in order 
                        to prepare for gainful employment and 
                        independent living;
                          (ii) includes an advising and 
                        curriculum structure; and
                          (iii) requires students to 
                        participate on at least a half-time 
                        basis, as determined by the 
                        institution, including--
                                  (I) regular enrollment in 
                                courses offered by the 
                                institution;
                                  (II) auditing or 
                                participating in courses 
                                offered by the institution for 
                                which the student does not 
                                receive regular academic 
                                credit;
                                  (III) enrollment in 
                                noncredit, nondegree courses;
                                  (IV) participation in 
                                internships; or
                                  (V) a combination of 2 or 
                                more of the activities 
                                described in clauses (i) 
                                through (iv);
                  (D) be maintaining satisfactory progress in 
                the program as determined by the institution, 
                in accordance with standards established by the 
                institution; and
                  (E) meet the requirements of paragraphs (3), 
                (4), (5), and (6) of subsection (a).
          (2) Regulations.--Notwithstanding rules applicable to 
        grant or work assistance awards made under section 401 
        of part A, subpart 3 of part A, and part C of this 
        title, including with respect to eligible programs, 
        instructional time, credit status, and enrollment 
        status as described in section 481, the Secretary shall 
        promulgate regulations allowing programs enrolling 
        students with intellectual disabilities otherwise 
        determined to be eligible under this subsection to 
        receive such awards.
  (t) Data Analysis on Access to Federal Student Aid For 
Certain Populations.--
          (1) Development of the system.--Within one year of 
        enactment of the College Opportunity and Affordability 
        Act of 2007, the Secretary shall, in consultation with 
        the Central Processing System, analyze data from the 
        FAFSA containing information regarding the number, 
        characteristics, and circumstances of students denied 
        Federal student aid based on a drug conviction while 
        receiving Federal aid.
          (2) Results from analysis.--The results from the 
        analysis of such information shall be made available on 
        a continuous basis via the Department of Education 
        website and the Digest of Education and Statistics.
          (3) Data updating.--The data analyzed under this 
        subsection shall be updated at the beginning of each 
        award year and at least one additional time during such 
        award year.
          (4) Report to congress.--The Secretary shall prepare 
        and submit to the authorizing committees of the 
        Congress, in each fiscal year, a report describing the 
        results obtained by the establishment and operation of 
        the data system authorized by this subsection.

SEC. 484A. STATUTE OF LIMITATIONS, AND STATE COURT JUDGMENTS.

  (a) * * *
  (b) Assessment of Costs and Other Charges.--Notwithstanding 
any provision of State law to the contrary--
          (1) a borrower who has defaulted on a loan made under 
        this title shall be required to pay, in addition to 
        other charges specified in this title, reasonable 
        collection costs; [and]
          (2) in collecting any obligation arising from a loan 
        made under part B of this title, a guaranty agency or 
        the Secretary shall not be subject to a defense raised 
        by any borrower based on a claim of infancy[.]; and
          (3) in collecting any obligation arising from a loan 
        made under part E of this title, an institution of 
        higher education that has an agreement with the 
        Secretary pursuant to section 463(a) shall not be 
        subject to a defense raised by any borrower based on a 
        claim of infancy.

           *       *       *       *       *       *       *


SEC. 484B. INSTITUTIONAL REFUNDS.

  (a) Return of Title IV Funds.--
          (1) * * *
          (2) Leave of absence.--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) Readmission requirements for 
                servicemembers.--Any institution of higher 
                education that requires any student--
                          (i) who is a member of the Armed 
                        Forces of the United States, or a 
                        member of such Armed Forces in a 
                        retired status, including members of 
                        the National Guard or other reserve 
                        component,
                          (ii) who is on active duty, or is 
                        called or ordered to active duty (as 
                        defined in section 481(d)), and
                          (iii) whose attendance at such 
                        institution is interrupted by such 
                        active duty,
                to apply for readmission to such institution of 
                higher education after the conclusion of such 
                active duty shall submit to the Secretary a 
                statement justifying such requirement.

           *       *       *       *       *       *       *


SEC. 485. INSTITUTIONAL AND FINANCIAL ASSISTANCE INFORMATION FOR 
                    STUDENTS.

  (a) Information Dissemination Activities.--(1) Each eligible 
institution participating in any program under this title shall 
carry out information dissemination activities for prospective 
and enrolled students (including those attending or planning to 
attend less than full time) regarding the institution and all 
financial assistance under this title. The information required 
by this section shall be produced and be made readily available 
upon request, through appropriate publications, mailings, and 
electronic media, to an enrolled student and to any prospective 
student. Each eligible institution shall, on an annual basis, 
provide to all enrolled students a list of the information that 
is required to be provided by institutions to students by this 
section and section 444 of the General Education Provisions Act 
(also referred to as the Family Educational Rights and Privacy 
Act of 1974), together with a statement of the procedures 
required to obtain such information. The information required 
by this section shall accurately describe--
          (A) * * *

           *       *       *       *       *       *       *

          (N) that enrollment in a program of study abroad 
        approved for credit by the home institution may be 
        considered enrollment in the home institution for 
        purposes of applying for Federal student financial 
        assistance; [and]
          (O) the campus crime report prepared by the 
        institution pursuant to subsection (f ), including all 
        required reporting categories[.]; and
          (P) institutional policies and sanctions related to 
        copyright infringement, including--
                  (i) an annual disclosure that explicitly 
                informs students that unauthorized distribution 
                of copyrighted material, including unauthorized 
                peer-to-peer file sharing, may subject the 
                students to civil and criminal liabilities;
                  (ii) a summary of the penalties for violation 
                of Federal copyright laws;
                  (iii) a description of the institution's 
                policies with respect to unauthorized peer-to-
                peer file sharing, including disciplinary 
                actions that are taken against students who 
                engage in unauthorized distribution of 
                copyrighted materials using the institution's 
                information technology system; and
                  (iv) a description of actions that the 
                institution takes to prevent and detect 
                unauthorized distribution of copyrighted 
                material on the institution's information 
                technology system.

           *       *       *       *       *       *       *

  (f) Disclosure of Campus Security Policy and Campus Crime 
Statistics.--(1) Each eligible institution participating in any 
program under this title, other than a foreign institution of 
higher education, shall on August 1, 1991, begin to collect the 
following information with respect to campus crime statistics 
and campus security policies of that institution, and beginning 
September 1, 1992, and each year thereafter, prepare, publish, 
and distribute, through appropriate publications or mailings, 
to all current students and employees, and to any applicant for 
enrollment or employment upon request, an annual security 
report containing at least the following information with 
respect to the campus security policies and campus crime 
statistics of that institution:
          (A) * * *

           *       *       *       *       *       *       *

          (F) Statistics concerning the occurrence on campus, 
        in or on noncampus buildings or property, and on public 
        property during the most recent calendar year, and 
        during the 2 preceding calendar years for which data 
        are available--
                  [(i) of the following criminal offenses 
                reported to campus security authorities or 
                local police agencies:
                          [(I) murder;
                          [(II) sex offenses, forcible or 
                        nonforcible;
                          [(III) robbery;
                          [(IV) aggravated assault;
                          [(V) burglary;
                          [(VI) motor vehicle theft;
                          [(VII) manslaughter;
                          [(VIII) arson; and
                          [(IX) arrests or persons referred for 
                        campus disciplinary action for liquor 
                        law violations, drug-related 
                        violations, and weapons possession; 
                        and]
                  (i) of the following criminal offenses 
                reported to campus security authorities or 
                local police agencies:
                          (I) murder;
                          (II) sex offenses, forcible or 
                        nonforcible;
                          (III) robbery;
                          (IV) aggravated assault;
                          (V) intimidation;
                          (VI) burglary;
                          (VII) larceny-theft;
                          (VIII) motor vehicle theft;
                          (IX) destruction, damage, or 
                        vandalism of property;
                          (X) simple assault;
                          (XI) manslaughter;
                          (XII) arson; and
                          (XIII) arrests or persons referred 
                        for campus disciplinary action for 
                        liquor law violations, drug-related 
                        violations, and weapons possession; and
                  (ii) [of the crimes described in subclauses 
                (I) through (VIII)] for degree-granting 
                institutions only, of the crimes described in 
                subclauses (I) through (XII) of clause (i), and 
                other crimes involving bodily injury to any 
                person in which the victim is intentionally 
                selected because of the actual or perceived 
                race, gender, religion, sexual orientation, 
                ethnicity, or disability of the victim that are 
                reported to campus security authorities or 
                local police agencies, which data shall be 
                collected and reported according to category of 
                prejudice.

           *       *       *       *       *       *       *

          (J) A statement of current campus policies regarding 
        immediate emergency response and evacuation procedures, 
        including the use of electronic and cellular 
        communication (if appropriate), which shall include 
        procedures--
                  (i) to notify the campus community in not 
                more than 30 minutes in the event of a 
                significant emergency or dangerous situation, 
                involving an immediate threat to the health or 
                safety of students or staff, occurring on the 
                campus, in or on noncampus buildings or 
                property, and on public property;
                  (ii) to publicize emergency response and 
                evacuation procedures on an annual basis in a 
                manner designed to reach students and staff; 
                and
                  (iii) to test emergency response and 
                evacuation procedures on an annual basis.

           *       *       *       *       *       *       *

  (5) On an annual basis, each institution participating in any 
program under this title shall submit to the Secretary a copy 
of the statistics required to be made available under paragraph 
(1)(F). The Secretary shall--
          (A) review such statistics and report to the 
        [Committee on Education and the Workforce of the House 
        of Representatives and the Committee on Labor and Human 
        Resources of the Senate] authorizing committees on 
        campus crime statistics by September 1, 2000;

           *       *       *       *       *       *       *

  (15) Compliance report.--The Secretary shall annually report 
to the authorizing committees regarding compliance with this 
subsection by institutions of higher education, including an 
up-to-date report on the Secretary's monitoring of such 
compliance.
  (16) Best practices.--The Secretary may seek the advice and 
counsel of the Attorney General concerning the development, and 
dissemination to institutions of higher education, of best 
practices information about campus safety and emergencies.
  (17) Retaliation prohibited.--No participating institution or 
officer, employee, or agent of the institution shall 
intimidate, threaten, coerce, or otherwise discriminate against 
any individual for the purpose of interfering with the 
implementation of any provision of this subsection, or any 
rights or privileges accorded under this subsection, or because 
the individual has complained, testified, assisted, or 
otherwise participated in any aspect of an investigation, 
proceeding, or hearing.
  [(15)] (18) This subsection may be cited as the ``Jeanne 
Clery Disclosure of Campus Security Policy and Campus Crime 
Statistics Act''.
  (g) Data Required.--
          (1) * * *

           *       *       *       *       *       *       *

          (4) Submission; report; information availability.--
        (A) * * *
          (B) The Secretary shall prepare a report regarding 
        the information received under subparagraph (A) and 
        submit such report to the [Committee on Education and 
        the Workforce of the House of Representatives and the 
        Committee on Labor and Human Resources of the Senate] 
        authorizing committees by April 1, 2000. The report 
        shall--
                  (i) * * *

           *       *       *       *       *       *       *

  (h) Transfer of Credit Policies.--
          (1) Disclosure.--Each institution of higher education 
        participating in any program under this title shall 
        publicly disclose in a readable and comprehensible 
        manner the transfer of credit policies established by 
        the institution which shall include a statement of the 
        institution's current transfer of credit policies that 
        includes, at a minimum--
                  (A) any established criteria the institution 
                uses regarding the transfer of credit earned at 
                another institution of higher education; and
                  (B) a list of institutions of higher 
                education with which the institution has 
                established an articulation agreement.
          (2) Rule of construction.--Nothing in this subsection 
        shall be construed to--
                  (A) authorize the Secretary or the National 
                Advisory Committee on Institutional Quality and 
                Integrity to require particular policies, 
                procedures, or practices by institutions of 
                higher education with respect to transfer of 
                credit;
                  (B) authorize an officer or employee of the 
                Department to exercise any direction, 
                supervision, or control over the curriculum, 
                program of instruction, administration, or 
                personnel of any institution of higher 
                education, or over any accrediting agency or 
                association;
                  (C) limit the application of the General 
                Education Provisions Act; or
                  (D) create any legally enforceable right on 
                the part of a student to require an institution 
                of higher education to accept a transfer of 
                credit from another institution.
  (i) Disclosure of Fire Safety Standards and Measures.--
          (1) Annual fire safety reports on student housing 
        required.--Each eligible institution participating in 
        any program under this title that maintains on-campus 
        student housing facilities shall, on an annual basis, 
        publish a fire safety report, which shall contain 
        information with respect to the campus fire safety 
        practices and standards of that institution, 
        including--
                  (A) statistics concerning the following in 
                each on-campus student housing facility during 
                the most recent calendar years for which data 
                are available:
                          (i) the number of fires and the cause 
                        of each fire;
                          (ii) the number of injuries related 
                        to a fire that result in treatment at a 
                        medical facility;
                          (iii) the number of deaths related to 
                        a fire; and
                          (iv) the value of property damage 
                        caused by a fire;
                  (B) a description of each on-campus student 
                housing facility fire safety system, including 
                the fire sprinkler system;
                  (C) the number of regular mandatory 
                supervised fire drills;
                  (D) policies or rules on portable electrical 
                appliances, smoking, and open flames (such as 
                candles), procedures for evacuation, and 
                policies regarding fire safety education and 
                training programs provided to students, 
                faculty, and staff; and
                  (E) plans for future improvements in fire 
                safety, if determined necessary by such 
                institution.
          (2) Report to the secretary.--Each eligible 
        institution participating in any program under this 
        title shall, on an annual basis submit to the Secretary 
        a copy of the statistics required to be made available 
        under subparagraph (A).
          (3) Current information to campus community.--Each 
        institution participating in any program under this 
        title shall--
                  (A) make, keep, and maintain a log, recording 
                all fires in on-campus student housing 
                facilities, including the nature, date, time, 
                and general location of each fire; and
                  (B) make annual reports to the campus 
                community on such fires.
          (4) Responsibilities of the secretary.--The Secretary 
        shall--
                  (A) make such statistics submitted to the 
                Secretary available to the public; and
                  (B) in coordination with nationally 
                recognized fire organizations and 
                representatives of institutions of higher 
                education, representatives of associations of 
                institutions of higher education, and other 
                organizations that represent and house a 
                significant number of students--
                          (i) identify exemplary fire safety 
                        policies, procedures, programs, and 
                        practices;
                          (ii) disseminate information to the 
                        Administrator of the United States Fire 
                        Administration;
                          (iii) make available to the public 
                        information concerning those policies, 
                        procedures, programs, and practices 
                        that have proven effective in the 
                        reduction of fires; and
                          (iv) develop a protocol for 
                        institutions to review the status of 
                        their fire safety systems.
          (5) Rules of construction.--Nothing in this 
        subsection shall be construed to--
                  (A) authorize the Secretary to require 
                particular policies, procedures, programs, or 
                practices by institutions of higher education 
                with respect to fire safety, other than with 
                respect to the collection, reporting, and 
                dissemination of information required by this 
                subsection;
                  (B) affect the Family Educational Rights and 
                Privacy Act of 1974 or the regulations issued 
                under section 264 of the Health Insurance 
                Portability and Accountability Act of 1996 (42 
                U.S.C. 1320d-2 note);
                  (C) create a cause of action against any 
                institution of higher education or any employee 
                of such an institution for any civil liability; 
                or
                  (D) establish any standard of care.
          (6) Compliance report.--The Secretary shall annually 
        report to the authorizing committees regarding 
        compliance with this subsection by institutions of 
        higher education, including an up-to-date report on the 
        Secretary's monitoring of such compliance.
          (7) Evidence.--Notwithstanding any other provision of 
        law, evidence regarding compliance or noncompliance 
        with this subsection shall not be admissible as 
        evidence in any proceeding of any court, agency, board, 
        or other entity, except with respect to an action to 
        enforce this subsection.
          (8) Retaliation prohibited.--No participating 
        institution or officer, employee, or agent of the 
        institution shall intimidate, threaten, coerce, or 
        otherwise discriminate against any individual for the 
        purpose of interfering with the implementation of any 
        provision of this subsection, or any rights or 
        privileges accorded under this subsection, or because 
        the individual has complained, testified, assisted, or 
        otherwise participated in any aspect of an 
        investigation, proceeding, or hearing.
  (j) Missing Person Procedures.--
          (1) Form and protocols.--Each institution of higher 
        education participating in any program under this title 
        shall--
                  (A) include on its form for registration or 
                enrollment of students an item in which the 
                student can elect to identify an individual to 
                be notified and police to be notified by the 
                university within 24 hours of when a student is 
                reported missing to the university, and
                  (B) establish protocols for missing students 
                that--
                          (i) require any missing person report 
                        relating to any student be referred to 
                        the institution's police or campus 
                        security department; and
                          (ii) if, on investigation of the 
                        report, such department determines that 
                        the missing person has been missing for 
                        more than 24 hours, require--
                                  (I) such department to refer 
                                to the item on the registration 
                                document required under 
                                subparagraph (A) and contact 
                                the individual named by the 
                                student in such item; and
                                  (II) if the student is under 
                                18 years of age, the 
                                institution of higher education 
                                to automatically contact the 
                                parents of such student.
          (2) Waiver.--The item required by paragraph (1)(A) 
        shall explicitly and prominently state that by 
        identifying an individual to contact in the case of 
        disappearance, the student waives any right to sue 
        based on Federal or State privacy law in the event that 
        a missing persons notification is made to the 
        individual named by such student in such item.
          (3) Additional remedies permitted.--Nothing in this 
        subsection shall be construed to prevent or discourage 
        an institution of higher education from taking 
        additional measures with respect to missing students 
        beyond those required by this subsection.
  (k) Notice to Students Concerning Penalties for Drug 
Violations.--Each institution of higher education shall provide 
to each student, upon enrollment, a separate, clear, and 
conspicuous written notice that advises the student of the 
penalties under section 484(r).

           *       *       *       *       *       *       *


SEC. 486. DISTANCE EDUCATION DEMONSTRATION PROGRAMS.

  (a) * * *

           *       *       *       *       *       *       *

  (e) Notification.--The Secretary shall make available to the 
public and to the [Committee on Labor and Human Resources of 
the Senate and the Committee on Education and the Workforce of 
the House of Representatives] authorizing committees a list of 
institutions, systems or consortia selected to participate in 
the demonstration program authorized by this section. Such 
notice shall include a listing of the specific statutory and 
regulatory requirements being waived for each institution, 
system or consortium and a description of the distance 
education courses to be offered.
  (f) Evaluations and Reports.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Reports.--
                  (A) In general.--Within 18 months of the 
                initiation of the demonstration program, the 
                Secretary shall report to the [Committee on 
                Labor and Human Resources of the Senate and the 
                Committee on Education and the Workforce of the 
                House of Representatives] authorizing 
                committees with respect to--
                          (i) * * *

           *       *       *       *       *       *       *

                  (B) Additional reports.--The Secretary shall 
                provide additional reports to the [Committee on 
                Labor and Human Resources of the Senate and the 
                Committee on Education and the Workforce of the 
                House of Representatives] authorizing 
                committees on an annual basis regarding--
                          (i) * * *

           *       *       *       *       *       *       *


SEC. 486A. ARTICULATION AGREEMENTS.

  (a) Program To Encourage Articulation Agreements.--
          (1) Program requirements.--The Secretary shall carry 
        out a program for States, in cooperation with public 
        institutions of higher education, to develop, enhance, 
        and implement comprehensive articulation agreements 
        among such institutions in a State, and (to the extent 
        practicable) across State lines, by 2010. Such 
        articulation agreements shall be made widely and 
        publicly available on the websites of States and 
        institutions, and on the application materials of such 
        institutions. In developing, enhancing, and 
        implementing articulation agreements, States and public 
        institutions of higher education may employ strategies, 
        where applicable, including--
                  (A) common course numbering;
                  (B) a general education core curriculum;
                  (C) developing or expanding articulation 
                agreements that include both public and private 
                institutions of higher education; and
                  (D) other strategies identified by the 
                Secretary.
          (2) Technical assistance provided.--The Secretary 
        shall provide technical assistance to States and 
        institutions of higher education for the purposes of 
        developing and implementing articulation agreements in 
        accordance with this subsection.
          (3) Rule of construction.--Nothing in this subsection 
        shall be construed to limit the academic freedom or 
        choices of institutions of higher education.
  (b) Study Required.--The Secretary shall conduct a study to 
review the articulation agreements at State-based college and 
university systems, including junior or community colleges, as 
well as those at other institutions of higher education, 
including private non-profit and for-profit institutions. Such 
study shall consider--
          (1) the extent to which States and institutions have 
        developed and implemented articulation agreements;
          (2) with respect to the articulation agreements 
        developed--
                  (A) the number and types of institutions 
                participating the programs offered;
                  (B) the cost-savings to the participating 
                institutions and to the students;
                  (C) what strategies are being employed, 
                including common course numbering and general 
                education core curriculum;
                  (D) the effective use of technologies to 
                contain costs, maintain quality of instruction, 
                and inform students; and
                  (E) a description of the students to whom the 
                articulation agreements are offered and, to the 
                extent practicable, a description of the 
                students who take advantage of the articulation 
                agreements;
          (3) best practices and innovative strategies employed 
        to implement effective articulation agreements; and
          (4) barriers to the implementation of articulation 
        agreements, including technological and informational 
        barriers.
  (c) Report.--The Secretary shall submit to the authorizing 
committees an interim report on the study required by this 
section not later than 2 years after the date of enactment of 
the College Opportunity and Affordability Act of 2007 and a 
final report on such study not later than January 1, 2013.
  (d) Definition.--In this section, the term ``articulation 
agreement'' means an agreement between institutions of higher 
education that specifies the acceptability of courses in 
transfer toward meeting specific degree requirements.

SEC. 487. PROGRAM PARTICIPATION AGREEMENTS.

  (a) Required for Programs of Assistance; Contents.--In order 
to be an eligible institution for the purposes of any program 
authorized under this title, an institution must be an 
institution of higher education or an eligible institution (as 
that term is defined for the purpose of that program) and 
shall, except with respect to a program under subpart 4 of part 
A, enter into a program participation agreement with the 
Secretary. The agreement shall condition the initial and 
continuing eligibility of an institution to participate in a 
program upon compliance with the following requirements:
          (1) * * *

           *       *       *       *       *       *       *

          (23)(A) * * *

           *       *       *       *       *       *       *

          (D) The institution shall be considered in compliance 
        with the requirements of subparagraph (A) for each 
        student to whom the institution electronically 
        transmits a message containing a voter registration 
        form acceptable for use in the State in which the 
        institution is located, or an Internet address where 
        such a form can be downloaded, provided such 
        information is in an electronic message devoted 
        exclusively to voter registration.
          (24)(A) A covered institution that has entered into a 
        preferred lender arrangement will compile, maintain, 
        and make available for students attending the 
        institution (or the parents of such students) a list, 
        in print or any other medium, of the specific lenders 
        for educational loans that the institution recommends, 
        promotes, or endorses in accordance with such preferred 
        lender arrangement. In compiling, maintaining, and 
        making available such list, the institution will--
                  (i) clearly and fully disclose on such list--
                          (I) no less than the information 
                        required to be disclosed in the model 
                        disclosure form, or updated model 
                        disclosure form, required under section 
                        153;
                          (II) why the institution has entered 
                        into a preferred lender arrangement 
                        with each listed lender, particularly 
                        with respect to terms and conditions 
                        favorable to the borrower; and
                          (III) that the students attending the 
                        institution (or the parents of such 
                        students) do not have to borrow from a 
                        listed lender;
                  (ii) ensure, through the use of the list 
                provided by the Secretary under subparagraph 
                (B), that--
                          (I) there are not less than 3 lenders 
                        of loans made under part B that are not 
                        affiliates of each other included on 
                        such list and, if the institution 
                        recommends, promotes, or endorses 
                        private educational loans, there are 
                        not less than 2 lenders of private 
                        educational loans that are not 
                        affiliates of each other included on 
                        such list;
                          (II) the list under this 
                        subparagraph--
                                  (aa) specifically indicates, 
                                for each listed lender, whether 
                                the lender is or is not an 
                                affiliate of each other lender 
                                on the list; and
                                  (bb) if a lender is an 
                                affiliate of another lender on 
                                the list, describes the details 
                                of such affiliation;
                  (iii) prominently disclose the method and 
                criteria used by the institution in selecting 
                lenders with which to enter into preferred 
                lender arrangements to ensure that such lenders 
                are selected on the basis of the benefits 
                provided to borrowers, including--
                          (I) highly competitive interest 
                        rates, terms, or conditions of Federal 
                        and private educational loans;
                          (II) high-quality servicing for such 
                        loans; or
                          (III) additional benefits beyond the 
                        standard terms and conditions for such 
                        loans;
                  (iv) exercise a duty of care and a duty of 
                loyalty to compile the list under this 
                subparagraph without prejudice and for the sole 
                benefit of the students attending the 
                institution (or the parents of such students);
                  (v) not deny or otherwise impede the 
                borrower's choice of a lender or cause 
                unnecessary delays in loan certification under 
                this title for those borrowers who choose a 
                lender that has not been recommended, promoted, 
                or endorsed by the institution; and
                  (vi) comply with such other requirements as 
                the Secretary may prescribe by regulation.
          (B) The Secretary shall maintain and update a list of 
        lender affiliates of all eligible lenders, and shall 
        provide such list to the institutions for use in 
        carrying out subparagraph (A).
          (C) For the purposes of subparagraph (A)--
                  (i) the term ``affiliate'' means a person 
                that controls, is controlled by, or is under 
                common control with another person;
                  (ii) a person controls, is controlled by, or 
                is under common control with another person 
                if--
                          (I) the person directly or 
                        indirectly, or acting through 1 or more 
                        others, owns, controls, or has the 
                        power to vote 5 percent or more of any 
                        class of voting securities of such 
                        other person;
                          (II) the person controls, in any 
                        manner, the election of a majority of 
                        the directors or trustees of such other 
                        person; or
                          (III) the Secretary determines (after 
                        notice and opportunity for a hearing) 
                        that the person directly or indirectly 
                        exercises a controlling interest over 
                        the management or policies of such 
                        other person;
                  (iii) the term ``preferred lender 
                arrangement'' has the meaning provided in 
                section 151;
                  (iv) the term ``educational loans'' has the 
                meaning provided in section 151, except that 
                such term does not include loans under section 
                499(b) or under parts D or E of this title.
          (25) The institution will submit to the Secretary 
        annually, in such form as the Secretary may prescribe, 
        data on--
                  (A) the number and percentage of students 
                taking classes in whole or in part on-line or 
                through distance education;
                  (B) of such students, the number and 
                percentage of those taking their classes 
                exclusively on-line or through distance 
                education; and
                  (C) the number and percentage of courses 
                offered by the institution that are offered on-
                line or through distance education.
          (26) The institution will, upon request, disclose to 
        the alleged victim of any crime of violence (as that 
        term is defined in section 16 of title 18), or a 
        nonforcible sex offense, the final results of any 
        disciplinary proceeding conducted by such institution 
        against a student who is the alleged perpetrator of 
        such crime or offense with respect to such crime or 
        offense. If the alleged victim of such crime or offense 
        is deceased, the next of kin of such victim shall be 
        treated as the alleged victim for purposes of this 
        paragraph.
          (27) A proprietary institution of higher education 
        (as defined in section 102(b)) will, as calculated in 
        accordance with subsection (f)(1) of this section, have 
        not less than 10 percent of its revenues from sources 
        other than funds provided under this title, or will be 
        subject to the sanctions described in subsection (f)(2) 
        of this section.
          (28)(A) The institution of higher education will 
        establish a policy on the disposal or disposition 
        (including selling, donating, returning upon lease end, 
        or destroying by recycling), of all technology assets 
        which may have personal and sensitive data of students. 
        Such policy may include a forensic scrub that ensures 
        total destruction of data on the technology assets and 
        include a designated for disposal or disposition, 
        transfer ownership and liability from that institution 
        to State and federally approved recyclers or de-
        manufacturers of such equipment.
          (B) For purposes of this paragraph, the term 
        ``technology assets'' means a computer central 
        processing unit, monitor, printer, router, server, 
        peripheral devices (such as switches, hubs, and 
        systems), firewalls, telephones, or other simple 
        network devices or single piece of information 
        technology equipment.

           *       *       *       *       *       *       *

  (c) Audits; Financial Responsibility; Enforcement of 
Standards.--(1) Notwithstanding any other provisions of this 
title, the Secretary shall prescribe such regulations as may be 
necessary to provide for--
          (A)(i) except as provided in [clauses (ii) and (iii)] 
        clauses (ii), (iii), and (iv), a financial audit of an 
        eligible institution with regard to the financial 
        condition of the institution in its entirety, and a 
        compliance audit of such institution with regard to any 
        funds obtained by it under this title or obtained from 
        a student or a parent who has a loan insured or 
        guaranteed by the Secretary under this title, on at 
        least an annual basis and covering the period since the 
        most recent audit, conducted by a qualified, 
        independent organization or person in accordance with 
        standards established by the Comptroller General for 
        the audit of governmental organizations, programs, and 
        functions, and as prescribed in regulations of the 
        Secretary, the results of which shall be submitted to 
        the Secretary and shall be available to cognizant 
        guaranty agencies, eligible lenders, State agencies, 
        and the appropriate State agency notifying the 
        Secretary under subpart 1 of part H, except that the 
        Secretary may modify the requirements of this clause 
        with respect to institutions of higher education that 
        are foreign institutions, and may waive such 
        requirements with respect to a foreign institution 
        whose students receive less than $500,000 in loans 
        under this title during the award year preceding the 
        audit period;
  (ii) with regard to an eligible institution which is audited 
under chapter 75 of title 31, United States Code, deeming such 
audit to satisfy the requirements of clause (i) for the period 
covered by such audit; [or]
  (iii) at the discretion of the Secretary, with regard to an 
eligible institution (other than an eligible institution 
described in section 102(a)(1)(C)) that has obtained less than 
$200,000 in funds under this title during each of the 2 award 
years that precede the audit period and submits a letter of 
credit payable to the Secretary equal to not less than \1/2\ of 
the annual potential liabilities of such institution as 
determined by the Secretary, deeming an audit conducted every 3 
years to satisfy the requirements of clause (i), except for the 
award year immediately preceding renewal of the institution's 
eligibility under section 498(g); or
  (iv) with respect to an eligible institution that is audited 
under clause (i), and for which it is determined through such 
audit that the percentage of students enrolled at the 
institution who were accepted for enrollment and made eligible 
for student financial assistance under this title by way of 
section 484(d)(2) exceeds 5 percent of the total enrollment of 
the institution for such academic year, an additional review to 
confirm that the institution is in compliance with the 
regulations prescribed by the Secretary under section 484(d);

           *       *       *       *       *       *       *

  (f) Implementation of Non-Title IV Revenue Requirement.--
          (1) Calculation.--In carrying out subsection (a)(27), 
        a proprietary institution of higher education shall--
                  (A) use the cash basis of accounting;
                  (B) consider as revenue only those funds 
                generated by the institution from--
                          (i) tuition, fees, and other 
                        institutional charges for students 
                        enrolled in programs eligible for 
                        assistance under this title;
                          (ii) activities conducted by the 
                        institution, to the extent not included 
                        in tuition, fees, and other 
                        institutional charges, that are 
                        necessary for the education or training 
                        of its students who are enrolled in 
                        programs eligible for assistance under 
                        this title, if such activities are--
                                  (I) conducted on campus or at 
                                a facility under the control of 
                                the institution;
                                  (II) performed under the 
                                supervision of a member of the 
                                institution's faculty; and
                                  (III) required to be 
                                performed by all students in a 
                                specific educational program at 
                                the institution; and
                          (iii) funds paid by a student, or on 
                        behalf of a student by a party other 
                        than the institution, for an education 
                        or training program that is not 
                        eligible for funds under this title, 
                        provided that the program is approved 
                        or licensed by the appropriate State 
                        agency and is accredited by an 
                        accrediting agency recognized by the 
                        Secretary;
                  (C) presume that any title IV program funds 
                disbursed or delivered to or on behalf of a 
                student will be used to pay the student's 
                tuition, fees, or other institutional charges, 
                regardless of whether the institution credits 
                those funds to the student's account or pays 
                those funds directly to the student, except to 
                the extent that the student's tuition, fees, or 
                other institutional charges are satisfied by--
                          (i) grant funds provided by non-
                        Federal public agencies or private 
                        sources independent of the institution;
                          (ii) funds provided under a 
                        contractual arrangement with Federal, 
                        State, or local government agencies for 
                        the purpose of providing job training 
                        to low-income individuals who are in 
                        need of that training; or
                          (iii) funds used by a student from 
                        savings plans for educational expenses 
                        established by or on behalf of the 
                        student and which qualify for special 
                        tax treatment under the Internal 
                        Revenue Code of 1986, provided that the 
                        institution can reasonable demonstrate 
                        such funds were used to pay the 
                        student's tuition, fees, or other 
                        institutional charges;
                  (D) include institutional aid as revenue to 
                the school only as follows:
                          (i) in the case of institutional 
                        loans, only the amount of loan 
                        repayments received during the fiscal 
                        year; and
                          (ii) in the case of institutional 
                        scholarships, only those provided by 
                        the institution in the form of monetary 
                        aid or tuition discounts based upon the 
                        academic achievements or financial need 
                        of students, disbursed during the 
                        fiscal year from an established 
                        restricted account, and only to the 
                        extent that funds in that account 
                        represent designated funds from an 
                        outside source or from income earned on 
                        those funds;
                  (E) exclude from revenues--
                          (i) the amount of funds it received 
                        under the Federal Work-Study program, 
                        unless the institution used those funds 
                        to pay a student's institutional 
                        charges;
                          (ii) the amount of funds it received 
                        under the Leveraging Education 
                        Assistance Partnership program;
                          (iii) the amount of institutional 
                        funds it used to match title IV program 
                        funds;
                          (iv) the amount of title IV program 
                        funds that must be refunded or 
                        returned; or
                          (v) the amount charged for books, 
                        supplies, and equipment unless the 
                        institution includes that amount as 
                        tuition, fees, or other institutional 
                        charges.
          (2) Sanctions.--
                  (A) An institution that fails to meet the 
                requirements of subsection (a)(27) for 2 
                consecutive fiscal years shall become 
                ineligible to participate in the programs 
                authorized by this title. To regain eligibility 
                to participate in the programs authorized by 
                this title, an institution that loses its 
                eligibility as a sanction under this 
                subparagraph must demonstrate compliance with 
                all eligibility requirements for at least the 3 
                fiscal years following the fiscal year the 
                institution became ineligible.
                  (B) In addition to such other means of 
                enforcing the requirements of this title as may 
                be available to the Secretary, if an 
                institution fails to meet the requirements of 
                subsection (a)(27) in any fiscal year, the 
                Secretary shall impose sanctions on the 
                institution, which shall include--
                          (i) placing the institution on 
                        provisional certification in accordance 
                        with section 498(h) until the 
                        institution demonstrates, to the 
                        satisfaction of the Secretary, that it 
                        is in compliance with subsection 
                        (a)(27);
                          (ii) requiring the institution to 
                        provide to the Secretary satisfactory 
                        evidence of its financial 
                        responsibility in accordance with 
                        section 498(c)(3); and
                          (iii) requiring such other increased 
                        monitoring and reporting requirements 
                        as the Secretary determines necessary 
                        until the institution demonstrates, to 
                        the satisfaction of the Secretary, that 
                        it is in compliance with subsection 
                        (a)(27).
          (3) Publication on college navigator website.--The 
        Secretary shall publicly disclose the identity of any 
        institution that fails to meet the requirements of 
        subsection (a)(27) on the College Navigator website.
          (4) Report to congress.--The Secretary shall annually 
        submit to the authorizing committees a report that 
        contains, for each institution subject to the 
        requirement of subsection (a)(27), the result of the 
        calculation of revenue performed by each such 
        institution pursuant to such subsection and paragraph 
        (1) of this subsection.

SEC. 487A. REGULATORY RELIEF AND IMPROVEMENT.

  (a) Quality Assurance Program.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) Review and evaluation.--The Secretary shall 
        review and evaluate the Quality Assurance Program 
        conducted by each participating institution and, on the 
        basis of that evaluation, make recommendations 
        regarding amendments to this Act that will streamline 
        the administration and enhance the integrity of Federal 
        student assistance programs. Such recommendations shall 
        be submitted to the [Committee on Labor and Human 
        Resources of the Senate and the Committee on Education 
        and the Workforce of the House of Representatives] 
        authorizing committees.
  (b) Regulatory Improvement and Streamlining Experiments.--
          [(1) In general.--The Secretary may continue any 
        experimental sites in existence on the date of 
        enactment of the Higher Education Amendments of 1998. 
        Any activities approved by the Secretary prior to such 
        date that are inconsistent with this section shall be 
        discontinued not later than June 30, 1999.]
          (1) In general.--The Secretary shall continue the 
        voluntary participation of any experimental sites in 
        existence as of July 1, 2007, unless the Secretary 
        determines that such site's participation has not been 
        successful in carrying out the purposes of this 
        section. Any activities approved by the Secretary prior 
        to such date that have not been successful in carrying 
        out the purposes of this section shall be discontinued 
        not later than June 30, 2009.
          [(2) Report.--The Secretary shall review and evaluate 
        the experience of institutions participating as 
        experimental sites during the period of 1993 through 
        1998 under this section (as such section was in effect 
        on the day before the date of enactment of the Higher 
        Education Amendments of 1998), and shall submit a 
        report based on this review and evaluation to the 
        Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives not later than 6 months after 
        the enactment of the Higher Education Amendments of 
        1998. Such report shall include--]
          (2) Report.--The Secretary shall review and evaluate 
        the experience of institutions participating as 
        experimental sites and shall, on a biennial basis, 
        submit a report based on the review and evaluation to 
        the authorizing committees. Such report shall include--
                  (A) a list of participating institutions and 
                the specific statutory or regulatory waivers 
                granted to each institution;
                  (B) the findings and conclusions reached 
                regarding each of the experiments conducted; 
                and
                  (C) recommendations for amendments to improve 
                and streamline this Act, based on the results 
                of the experiment.
          (3) Selection.--
                  (A) In general.--[Upon the submission of the 
                report required by paragraph (2), the] The 
                Secretary is authorized to periodically select 
                a limited number of additional institutions for 
                voluntary participation as experimental sites 
                to provide recommendations to the Secretary on 
                the impact and effectiveness of proposed 
                regulations or new management initiatives.
                  [(B) Consultation.--Prior to approving any 
                additional experimental sites, the Secretary 
                shall consult with the Committee on Labor and 
                Human Resources of the Senate and the Committee 
                on Education and the Workforce of the House of 
                Representatives and shall provide to such 
                Committees--
                          [(i) a list of institutions proposed 
                        for participation in the experiment and 
                        the specific statutory or regulatory 
                        waivers proposed to be granted to each 
                        institution;
                          [(ii) a statement of the objectives 
                        to be achieved through the experiment; 
                        and
                          [(iii) an identification of the 
                        period of time over which the 
                        experiment is to be conducted.]
                  [(C)] (B) Waivers.--The Secretary is 
                authorized to waive, for any institution 
                participating as an experimental site under 
                subparagraph (A), any requirements in this 
                title, including requirements related to the 
                award process and disbursement of student 
                financial aid (such as innovative delivery 
                systems for modular or compressed courses, or 
                other innovative systems), verification of 
                student financial aid application data, 
                entrance and exit interviews, or other 
                management procedures or processes as 
                determined in the negotiated rulemaking process 
                under section 492, or regulations prescribed 
                under this title, that will bias the results of 
                the experiment, except that the Secretary shall 
                not waive any provisions with respect to award 
                rules (other than an award rule related to an 
                experiment in modular or compressed schedules), 
                grant and loan maximum award amounts, and need 
                analysis requirements unless the waiver of such 
                provisions is authorized by another provision 
                under this title.

           *       *       *       *       *       *       *


SEC. 491. ADVISORY COMMITTEE ON STUDENT FINANCIAL ASSISTANCE.

  (a) Establishment and Purpose.--(1) * * *
  (2) The purpose of the Advisory Committee is--
          (A) * * *
          (B) to provide technical expertise with regard to 
        systems of needs analysis and application forms; [and]
          (C) to make recommendations that will result in the 
        maintenance of access to postsecondary education for 
        low- and middle-income students[.];
          (D) to provide knowledge and understanding of early 
        intervention programs and make recommendations that 
        will result in early awareness by low- and moderate-
        income students and families of their eligibility for 
        assistance under this title, and, to the extent 
        practicable, their eligibility for other forms of State 
        and institutional need-based student assistance; and
          (E) to make recommendations that will expand and 
        improve partnerships among the Federal Government, 
        States, institutions, and private entities to increase 
        the awareness and total amount of need-based student 
        assistance available to low- and moderate-income 
        students.

           *       *       *       *       *       *       *

  (d) Functions of the Committee.--The Advisory Committee 
shall--
          (1) * * *

           *       *       *       *       *       *       *

          (6) recommend to the Congress and to the Secretary 
        such studies, surveys, and analyses of student 
        financial assistance programs, policies, and practices, 
        including the special needs of low-income, 
        disadvantaged, and nontraditional students, and the 
        means by which the needs may be met[, but nothing in 
        this section shall authorize the committee to perform 
        such studies, surveys, or analyses];

           *       *       *       *       *       *       *

          (8) appraise the adequacies and deficiencies of 
        current student financial aid information resources and 
        services and evaluate the effectiveness of current 
        student aid information programs; [and]
          (9) monitor the adequacy of total need-based aid 
        available to low- and moderate-income students from all 
        sources, assess the implications for access and 
        persistence, and report those implications annually to 
        Congress and the Secretary; and
          [(9)] (10) make special efforts to advise Members of 
        Congress and such Members' staff of the findings and 
        recommendations made pursuant to this paragraph.

           *       *       *       *       *       *       *

  (j) Special Analyses and Activities.--The Advisory Committee 
shall--
          (1) monitor and evaluate the modernization of student 
        financial aid systems and delivery processes[, 
        including the implementation of a performance-based 
        organization within the Department, and report to 
        Congress regarding such modernization on not less than 
        an annual basis] and simplification, including 
        recommendations for improvement;

           *       *       *       *       *       *       *

          (4) assess the implications of distance education on 
        student eligibility and other requirements for 
        financial assistance under this title, and make 
        recommendations that will enhance access to 
        postsecondary education through distance education 
        while maintaining access, through on-campus instruction 
        at eligible institutions, and program integrity; [and]
          (5) not later than 6 months after the date of 
        enactment of the College Opportunity and Affordability 
        Act of 2007, advise the Secretary on means to implement 
        the activities under section 415E, and the Advisory 
        Committee shall continue to monitor, evaluate, and make 
        recommendations on the progress of partnerships that 
        receive allotments under such section; and
          [(5)] (6) make recommendations to the Secretary 
        regarding redundant or outdated provisions of and 
        regulations under this Act, consistent with the 
        Secretary's requirements under section 498B.
  (k) Term of the Committee.--Notwithstanding the sunset and 
charter provisions of the Federal Advisory Committee Act (5 
U.S.C. App. I) or any other statute or regulation, the Advisory 
Committee shall be authorized until October 1, [2004] 2011.

SEC. 492. REGIONAL MEETINGS AND NEGOTIATED RULEMAKING.

  (a) * * *
  (b) Draft Regulations.--
          (1) In general.--After obtaining the advice and 
        recommendations described in subsection (a)(1) and 
        before publishing proposed regulations in the Federal 
        Register, the Secretary shall prepare draft regulations 
        implementing this title as amended by the Higher 
        Education Amendments of 1998 and shall submit such 
        regulations to a negotiated rulemaking process. 
        Participants in the negotiations process shall be 
        chosen by the Secretary [from individuals nominated by 
        groups described in subsection (a)(1)] from individuals 
        who are nominated by groups described in subsection 
        (a)(1) and who have recognized legitimacy as designated 
        representatives of major stakeholders, sectors, and 
        constituencies in the higher education community, and 
        shall include both representatives of such groups from 
        Washington, D.C., and industry participants. To the 
        extent possible, the Secretary shall select individuals 
        reflecting the diversity in the industry, representing 
        both large and small participants, as well as 
        individuals serving local areas and national markets. 
        The negotiation process shall be conducted in a timely 
        manner in order that the final regulations may be 
        issued by the Secretary within the 360-day period 
        described in section 437(e) of the General Education 
        Provisions Act.

           *       *       *       *       *       *       *


SEC. 493C. INCOME-BASED REPAYMENT.

  (a) * * *
  (b) Income-Based Repayment Program Authorized.--
Notwithstanding any other provision of this Act, the Secretary 
shall carry out a program under which--
          (1) a borrower of any loan made, insured, or 
        guaranteed under part B or D (other than an excepted 
        PLUS loan or excepted consolidation loan) who has a 
        partial financial hardship (whether or not the 
        borrower's loan has been submitted to a guaranty agency 
        for default aversion [or is already in default]) may 
        elect, during any period the borrower has the partial 
        financial hardship, to have the borrower's aggregate 
        monthly payment for all such loans not exceed the 
        result described in subsection (a)(3)(B) divided by 12;

           *       *       *       *       *       *       *


SEC. 494. CAMPUS-BASED DIGITAL THEFT PREVENTION.

  (a) In General.--Each eligible institution participating in 
any program under this title shall to the extent practicable--
          (1) make publicly available to their students and 
        employees, the policies and procedures related to the 
        illegal downloading and distribution of copyrighted 
        materials required to be disclosed under section 
        485(a)(1)(P); and
          (2) develop a plan for offering alternatives to 
        illegal downloading or peer-to-peer distribution of 
        intellectual property as well as a plan to explore 
        technology-based deterrents to prevent such illegal 
        activity.
  (b) Grants.--
          (1) Program authority.--The Secretary may make grants 
        to institutions of higher education, or consortia of 
        such institutions, and enter into contracts with such 
        institutions, consortia, and other organizations, to 
        develop, implement, operate, improve, and disseminate 
        programs of prevention, education, and cost-effective 
        technological solutions, to reduce and eliminate the 
        illegal downloading and distribution of intellectual 
        property. Such grants or contracts may also be used for 
        the support of a higher education centers that will 
        provide training, technical assistance, evaluation, 
        dissemination, and associated services and assistance 
        to the higher education community as determined by the 
        Secretary and institutions of higher education.
          (2) Awards.--Grants and contracts shall be awarded 
        under paragraph (1) on a competitive basis.
          (3) Applications.--An institution of higher education 
        or a consortium of such institutions that desires to 
        receive a grant or contract under paragraph (1) shall 
        submit an application to the Secretary at such time, in 
        such manner, and containing or accompanied by such 
        information as the Secretary may reasonably require by 
        regulation.
          (4) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this 
        subsection such sums as may be necessary for fiscal 
        year 2009 and for each of the 4 succeeding fiscal 
        years.

           *       *       *       *       *       *       *


PART H--PROGRAM INTEGRITY

           *       *       *       *       *       *       *


               Subpart 2--Accrediting Agency Recognition

SEC. 496. RECOGNITION OF ACCREDITING AGENCY OR ASSOCIATION.

  (a) Criteria Required.--No accrediting agency or association 
may be determined by the Secretary to be a reliable authority 
as to the quality of education or training offered for the 
purposes of this Act or for other Federal purposes, unless the 
agency or association meets criteria established by the 
Secretary pursuant to this section. The Secretary shall, after 
notice and opportunity for a hearing, establish criteria for 
such determinations. Such criteria shall include an appropriate 
measure or measures of student achievement. Such criteria shall 
require that--
          (1) * * *

           *       *       *       *       *       *       *

          (4)(A) such agency or association consistently 
        applies and enforces standards that respect the stated 
        mission of the institution of higher education, 
        including religious missions, and that ensure that the 
        courses or programs of instruction, training, or study 
        offered by the institution of higher education, 
        including distance education courses or programs, are 
        of sufficient quality to achieve, for the duration of 
        the accreditation period, the stated objective for 
        which the courses or the programs are offered; and
          (B) if such agency or association has or seeks to 
        include within its scope of recognition the evaluation 
        of the quality of institutions or programs offering 
        distance education, such agency or association shall, 
        in addition to meeting the other requirements of this 
        subpart, demonstrate to the Secretary that--
                  (i) the agency or association's standards 
                effectively address the quality of an 
                institution's distance education in the areas 
                identified in paragraph (5), except that the 
                agency or association shall not be required to 
                have separate standards, procedures or policies 
                for the evaluation of distance education 
                institutions or programs in order to meet the 
                requirements of this subparagraph; and
                  (ii) the agency or association requires an 
                institution that offers distance education to 
                have processes through which the institution 
                establishes that the student who registers in a 
                distance education course or program is the 
                same student who participates in and completes 
                the program and receives the academic credit;

           *       *       *       *       *       *       *

          [(6) such agency or association shall apply 
        procedures throughout the accrediting process, 
        including evaluation and withdrawal proceedings, that 
        comply with due process, including--
                  [(A) adequate specification of requirements 
                and deficiencies at the institution of higher 
                education or program being examined;
                  [(B) notice of an opportunity for a hearing 
                by any such institution;
                  [(C) the right to appeal any adverse action 
                against any such institution; and
                  [(D) the right to representation by counsel 
                for any such institution;]
          (6) such agency or association shall establish and 
        apply review procedures throughout the accrediting 
        process, including evaluation and withdrawal 
        proceedings which comply with due process procedures 
        that provide for--
                  (A) adequate specification of requirements, 
                including clear and consistent standards for an 
                institution to be accredited, and deficiencies 
                at the institution of higher education or 
                program examined;
                  (B) an opportunity for a written response by 
                any such institution to be included, prior to 
                final action, in the evaluation and withdrawal 
                proceedings;
                  (C) upon the written request of an 
                institution, an opportunity for the institution 
                to appeal any adverse action, including denial, 
                withdrawal, suspension, or termination of 
                accreditation, at a hearing prior to such 
                action becoming final, before an appeals panel 
                that--
                          (i) shall not include current members 
                        of the agency or association's 
                        underlying decision-making body that 
                        made the adverse decision; and
                          (ii) is subject to a conflict of 
                        interest policy; and
                  (D) the right to representation by counsel 
                for such an institution during an appeal of the 
                adverse action;

           *       *       *       *       *       *       *

          [(8) such agency or association shall make available 
        to the public, upon request, and to the Secretary, and 
        the State licensing or authorizing agency a summary of 
        any review resulting in a final accrediting decision 
        involving denial, termination, or suspension of 
        accreditation, together with the comments of the 
        affected institution.]
          (8) such agency or association shall make available 
        to the public and the State licensing or authorizing 
        agency, and submit to the Secretary, a summary of 
        agency or association actions, including--
                  (A) the award of accreditation or 
                reaccreditation of an institution;
                  (B) final denial, withdrawal, suspension, or 
                termination of accreditation, and any findings 
                made in connection with the action taken, 
                together with the official comments of the 
                affected institution; and
                  (C) any other adverse action taken with 
                respect to an institution;
          (9) such agency or association confirms, as a part of 
        the agency or association's review for accreditation or 
        reaccreditation, that the institution has transfer of 
        credit policies--
                  (A) that are publicly disclosed; and
                  (B) that include a statement of the criteria 
                established by the institution regarding the 
                transfer of credit earned at another 
                institution of higher education;
          (10) such agency or association reviews and takes 
        into consideration the institution's response in any 
        review or determination, and includes in any 
        determination a written statement addressing the 
        institution's response and stating the basis for such 
        determination, and a copy of the institution's 
        response; and
          (11) such agency or association shall not make a 
        determination or take adverse action based upon an 
        unpublished or undocumented policy, practice, or 
        precedent.

           *       *       *       *       *       *       *

  (c) Operating Procedures Required.--No accrediting agency or 
association may be recognized by the Secretary as a reliable 
authority as to the quality of education or training offered by 
an institution seeking to participate in the programs 
authorized under this title, unless the agency or association--
          (1) performs, at regularly established intervals, on-
        site inspections and reviews of institutions of higher 
        education (which may include unannounced site visits) 
        with particular focus on educational quality and 
        program effectiveness, and ensures that accreditation 
        team members are well-trained and knowledgeable with 
        respect to their responsibilities, including those 
        regarding distance education;
          (2) monitors the growth of programs at institutions 
        that are experiencing significant enrollment growth;
          (3) requires an institution to submit a teach-out 
        plan for approval to the accrediting agency upon the 
        occurrence of any of the following events:
                  (A) the Department notifies the accrediting 
                agency of an action against the institution 
                pursuant to section 487(d);
                  (B) the accrediting agency acts to withdraw, 
                terminate, or suspend the accreditation of an 
                institution; and
                  (C) the institution notifies the accrediting 
                agency that the institution intends to cease 
                operations;
          [(2)] (4) requires that any institution of higher 
        education subject to its jurisdiction which plans to 
        establish a branch campus submit a business plan, 
        including projected revenues and expenditures, prior to 
        opening the branch campus;
          [(3)] (5) agrees to conduct, as soon as practicable, 
        but within a period of not more than 6 months of the 
        establishment of a new branch campus or a change of 
        ownership of an institution of higher education, an on-
        site visit of that branch campus or of the institution 
        after a change of ownership;
          [(4)] (6) requires that teach-out agreements among 
        institutions are subject to approval by the accrediting 
        agency or association consistent with standards 
        promulgated by such agency or association;
          [(5)] (7) maintains and makes publicly available 
        written materials regarding standards and procedures 
        for accreditation, appeal procedures, and the 
        accreditation status of each institution subject to its 
        jurisdiction; and
          [(6)] (8) discloses publicly whenever an institution 
        of higher education subject to its jurisdiction is 
        being considered for accreditation or reaccreditation.

           *       *       *       *       *       *       *

  (g) Limitation on Scope of Criteria.--Nothing in this Act 
shall be construed to permit the Secretary to establish 
criteria for accrediting agencies or associations that are not 
required by this section. Nothing in this Act shall be 
construed to prohibit or limit any accrediting agency or 
association from adopting additional standards not provided for 
in this section. Nothing in this section shall be construed to 
permit the Secretary to establish any criteria that specifies, 
defines, or prescribes the standards that accrediting agencies 
or associations shall use to assess any institution's success 
with respect to student achievement.

           *       *       *       *       *       *       *

  (o) Regulations.--The Secretary shall by regulation provide 
procedures for the recognition of accrediting agencies or 
associations and for the appeal of the Secretary's decisions. 
Notwithstanding any other provision of law, the Secretary shall 
not promulgate any regulation with respect to subsection 
(a)(5).

SEC. 497. ACCREDITATION OMBUDSMAN.

  (a) Appointment.--The Assistant Secretary for Postsecondary 
Education, in consultation with the Secretary, shall appoint an 
Accreditation Ombudsman to provide timely assistance to 
institutions of higher education, accrediting agencies and 
associations, and other participants in the accreditation 
process who may have grievances related to the functions 
described in subsection (c).
  (b) Public Information.--The Assistant Secretary for 
Postsecondary Education shall disseminate information about the 
availability and functions of the Ombudsman to institutions of 
higher education, accrediting agencies and associations, and 
other participants in the accreditation process.
  (c) Functions of Ombudsman.--The Ombudsman appointed under 
this section shall--
          (1) in accordance with regulations of the Secretary, 
        receive, review, and attempt to resolve complaints from 
        institutions of higher education, accrediting agencies 
        and associations, and other participants in the 
        accreditation process described in subsection (a), 
        including, as appropriate, attempts to resolve such 
        complaints within the Department of Education and with 
        institutions of higher education, accreditation 
        agencies and associations, and other participants in 
        title IV programs; and
          (2) compile and analyze data on institutions of 
        higher education and accrediting agency and association 
        complaints and make appropriate recommendations.
  (d) Report.--Each year, the Ombudsman shall submit a report 
to the Assistant Secretary for Postsecondary Education, for 
inclusion in the annual report under section 114, that 
describes the activities, and evaluates the effectiveness of 
the Ombudsman during the preceding year.

Subpart 3--Eligibility and Certification Procedures

           *       *       *       *       *       *       *


SEC. 498A. PROGRAM REVIEW AND DATA.

  (a) * * *
  (b) Special Administrative Rules.--In carrying out paragraphs 
(1) and (2) of subsection (a) and any other relevant provisions 
of this title, the Secretary shall--
          (1) * * *

           *       *       *       *       *       *       *

          (4) base any civil penalty assessed against an 
        institution of higher education resulting from a 
        program review or audit on the gravity of the 
        violation, failure, or misrepresentation; [and]
          (5) inform the appropriate State and accrediting 
        agency or association whenever the Secretary takes 
        action against an institution of higher education under 
        this section, section 498, or section 432[.];
          (6) provide the institution adequate opportunity to 
        review and respond to any program review report or 
        audit finding before any final program review or audit 
        determination is reached, including access to any and 
        all workpapers, notes, documentation, records, or other 
        information relating to the program review report or 
        audit finding;
          (7) review and take into consideration the 
        institution's response in any final program review or 
        audit determination, and include in the final 
        determination a written statement addressing the 
        institution's response and stating the basis for such 
        final determination, and a copy of the institution's 
        response; and
          (8) maintain and preserve at all times the 
        confidentiality of any program review report until the 
        requirements of paragraphs (6) and (7) are met, and 
        until a final program review determination has been 
        issued.

           *       *       *       *       *       *       *


SEC. 498B. REVIEW OF REGULATIONS.

  (a) * * *

           *       *       *       *       *       *       *

  (d) Reports to Congress.--
          (1) In general.--The Secretary shall submit, not 
        later than 1 year after the date of the enactment of 
        the Higher Education Amendments of 1998, a report to 
        the [Committee on Labor and Human Resources of the 
        Senate and the Committee on Education and the Workforce 
        of the House of Representatives] authorizing committees 
        detailing the Secretary's findings and recommendations 
        based on the reviews conducted under subsections (a) 
        and (b), including a timetable for implementation of 
        any recommended changes in regulations and a 
        description of any recommendations for legislative 
        changes.
          (2) Additional reports.--Not later than January 1, 
        2003, the Secretary shall submit a report to the 
        [Committee on Labor and Human Resources of the Senate 
        and the Committee on Education and the Workforce of the 
        House of Representatives] authorizing committees 
        detailing the Secretary's findings and recommendations 
        based on the review conducted under subsection (a), 
        including a timetable for implementation of any 
        recommended changes in regulations and a description of 
        any recommendations for legislative changes.

             PART I--COMPETITIVE LOAN AUCTION PILOT PROGRAM

SEC. 499. COMPETITIVE LOAN AUCTION PILOT PROGRAM.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Required Initial Evaluation.--The Secretary and Secretary 
of the Treasury shall jointly conduct an evaluation, in 
consultation with the Office of Management and Budget, the 
Congressional Budget Office, and the Comptroller General, of 
the pilot program carried out by the Secretary under this 
section. The evaluation shall determine--
          (1) the extent of the savings to the Federal 
        Government that are generated through the pilot 
        program, compared to the cost the Federal Government 
        would have incurred in operating the PLUS loan program 
        under section 428B in the absence of the pilot program;
          (2) the number of lenders that participated in the 
        pilot program, and the extent to which the pilot 
        program generated competition among lenders to 
        participate in the auctions under the pilot program;
          (3) the number and volume of loans made under the 
        pilot in each State;
          (4) the effect of the transition to and operation of 
        the pilot program on the ability of--
                  (A) lenders participating in the pilot 
                program to originate loans made through the 
                pilot program smoothly and efficiently;
                  (B) institutions of higher education 
                participating in the pilot program to disburse 
                loans made through the pilot program smoothly 
                and efficiently; and
                  (C) parents to obtain loans made through the 
                pilot program in a timely and efficient manner;
          (5) the differential impact, if any, of the auction 
        among the States, including between rural and non-rural 
        States;
          (6) the feasibility of using the mechanism piloted to 
        operate the other loan programs under part B of this 
        title; and
          (7) the feasibility of using other market mechanisms 
        to operate the loan programs under part B of this 
        title, including the sale of securities backed by 
        federally owned student loan assets originated by banks 
        acting as agents of the Federal Government.
  (d) Reports.--The Secretary and the Secretary of the Treasury 
shall submit to the authorizing committees--
          (1) not later than September 1, 2010, a preliminary 
        report regarding the findings of the evaluation 
        described in subsection (c);
          (2) not later than September 1, 2012, an interim 
        report regarding such findings; and
          (3) not later than September 1, 2013, a final report 
        regarding such findings.

           *       *       *       *       *       *       *


                    TITLE V--DEVELOPING INSTITUTIONS

PART A--HISPANIC-SERVING INSTITUTIONS

           *       *       *       *       *       *       *


SEC. 503. AUTHORIZED ACTIVITIES.

  (a) * * *
  (b) Authorized Activities.--Grants awarded under this section 
shall be used for one or more of the following activities:
          (1) * * *

           *       *       *       *       *       *       *

          (14) Providing education or financial information 
        designed to improve the financial literacy and economic 
        literacy of students or the students' parents, 
        especially with regard to student indebtedness and 
        student assistance programs under the title IV.
          [(14)] (15) Other activities proposed in the 
        application submitted pursuant to section 504 that--
                  (A) * * *

           *       *       *       *       *       *       *


    PART B--PROMOTING POSTBACCALAUREATE OPPORTUNITIES FOR HISPANIC 
                               AMERICANS

SEC. 511. PURPOSES.

  The purposes of this part are--
          (1) to expand postbaccalaureate educational 
        opportunities for, and improve the academic attainment 
        of, Hispanic students; and
          (2) to expand the postbaccalaureate academic 
        offerings and enhance the program quality in the 
        institutions that are educating the majority of 
        Hispanic college students and helping large numbers of 
        Hispanic and low-income students complete postsecondary 
        degrees.

SEC. 512. PROGRAM AUTHORITY AND ELIGIBILITY.

  (a) Program Authorized.--Subject to the availability of funds 
appropriated to carry out this part, the Secretary shall award 
competitive grants to Hispanic-serving institutions determined 
by the Secretary to be making substantive contributions to 
graduate educational opportunities for Hispanic students.
  (b) Eligibility.--For the purposes of this part, an 
``eligible institution'' means an institution of higher 
education that--
          (1) is an eligible institution under section 
        502(a)(2); and
          (2) offers a postbaccalaureate certificate or degree 
        granting program.

SEC. 513. AUTHORIZED ACTIVITIES.

  Grants awarded under this part shall be used for one 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 of classrooms, libraries, laboratories, and 
        other instructional facilities, including purchase or 
        rental of telecommunications technology equipment or 
        services.
          (3) Purchase of library books, periodicals, technical 
        and other scientific journals, microfilm, microfiche, 
        and other educational materials, including 
        telecommunications program materials.
          (4) Support for needy postbaccalaureate students 
        including outreach, academic support services, 
        mentoring, scholarships, fellowships, and other 
        financial assistance to permit the enrollment of such 
        students in postbaccalaureate certificate and degree 
        granting programs.
          (5) Support of faculty exchanges, faculty 
        development, faculty research, curriculum development, 
        and academic instruction.
          (6) Creating or improving facilities for Internet or 
        other distance learning academic instruction 
        capabilities, including purchase or rental of 
        telecommunications technology equipment or services.
          (7) Collaboration with other institutions of higher 
        education to expand postbaccalaureate certificate and 
        degree offerings.
          (8) Other activities proposed in the application 
        submitted pursuant to section 514 that--
                  (A) contribute to carrying out the purposes 
                of this part; and
                  (B) are approved by the Secretary as part of 
                the review and acceptance of such application.

SEC. 514. APPLICATION AND DURATION.

  (a) Application.--Any eligible institution may apply for a 
grant under this part by submitting an application to the 
Secretary at such time and in such manner as determined by the 
Secretary. Such application shall demonstrate how the grant 
funds will be used to improve postbaccalaureate education 
opportunities in programs and professions in which Hispanic 
Americans are underrepresented.
  (b) Duration.--Grants under this part shall be awarded for a 
period not to exceed 5 years.
  (c) Limitation.--The Secretary shall not award more than one 
grant under this part in any fiscal year to any Hispanic-
serving institution.

                     PART [B] C--GENERAL PROVISIONS

SEC. [511.] 521. ELIGIBILITY; APPLICATIONS.

  (a) * * *

           *       *       *       *       *       *       *


SEC. [512.] 522. WAIVER AUTHORITY AND REPORTING REQUIREMENT.

  (a) * * *

           *       *       *       *       *       *       *


SEC. [513.] 523. APPLICATION REVIEW PROCESS.

  (a) * * *

           *       *       *       *       *       *       *


SEC. [514.] 524. COOPERATIVE ARRANGEMENTS.

  (a) General Authority.--The Secretary may make grants to 
encourage cooperative arrangements with funds available to 
carry out this title, between Hispanic-serving institutions 
eligible for assistance under this title, and between such 
institutions and institutions not receiving assistance under 
this title, for the activities described in section 503 and 
section 513 so that the resources of the cooperating 
institutions might be combined and shared in order to achieve 
the purposes of this title, to avoid costly duplicative 
efforts, and to enhance the development of Hispanic-serving 
institutions.

           *       *       *       *       *       *       *


SEC. [515.] 525. ASSISTANCE TO INSTITUTIONS UNDER OTHER PROGRAMS.

  (a) * * *

           *       *       *       *       *       *       *


SEC. [516.] 526. LIMITATIONS.

  The funds appropriated under section 518 may not be used--
          (1) * * *

           *       *       *       *       *       *       *


SEC. [517.] 527. PENALTIES.

  Whoever, being an officer, director, agent, or employee of, 
or connected in any capacity with, any recipient of Federal 
financial assistance or grant pursuant to this title embezzles, 
willfully misapplies, steals, or obtains by fraud any of the 
funds that are the subject of such grant or assistance, shall 
be fined not more than $10,000 or imprisoned for not more than 
2 years, or both.

SEC. [518.] 528. AUTHORIZATIONS OF APPROPRIATIONS.

  [(a) Authorizations.--There are authorized to be appropriated 
to carry out this title $62,500,000 for fiscal year 1999 and 
such sums as may be necessary for each of the 4 succeeding 
fiscal years.]
  (a) Authorizations.--
          (1) Part a.--There are authorized to be appropriated 
        to carry out part A and part C of this title 
        $175,000,000 for fiscal year 2009 and such sums as may 
        be necessary for each of the 4 succeeding fiscal years.
          (2) Part b.--There are authorized to be appropriated 
        to carry out part B of this title $125,000,000 for 
        fiscal year 2009 and such sums as may be necessary for 
        each of the 4 succeeding fiscal years.

           *       *       *       *       *       *       *

  (c) Minimum Grant Amount.--The minimum amount of a grant 
under this title shall be $200,000.

               TITLE VI--INTERNATIONAL EDUCATION PROGRAMS

           PART A--INTERNATIONAL AND FOREIGN LANGUAGE STUDIES

SEC. 601. FINDINGS AND PURPOSES.

  (a) Findings.--Congress finds as follows:
          (1) * * *

           *       *       *       *       *       *       *

          (3) Dramatic [post-Cold War] changes in the world's 
        geopolitical and economic landscapes are creating needs 
        for American expertise and knowledge about a greater 
        diversity of less commonly taught foreign languages and 
        nations of the world.

           *       *       *       *       *       *       *

  (b) Purposes.--The purposes of this part are--
          (1)(A) * * *

           *       *       *       *       *       *       *

  (D) to promote access to research and training overseas[; 
and], including through linkages overseas with institutions of 
higher education and relevant organizations that contribute to 
the educational programs assisted under this part; and

           *       *       *       *       *       *       *

          (3) to coordinate the programs of the Federal 
        Government in the areas of foreign language, area 
        studies, and other international studies, including 
        professional international affairs education and 
        research, and international business and trade 
        competitiveness.

SEC. 602. GRADUATE AND UNDERGRADUATE LANGUAGE AND AREA CENTERS AND 
                    PROGRAMS.

  (a) National Language and Area Centers and Programs 
Authorized.--
          (1) Centers and programs.--
                  [(A) In general.--The Secretary is 
                authorized--
                          [(i) to make grants to institutions 
                        of higher education, or combinations 
                        thereof, for the purpose of 
                        establishing, strengthening, and 
                        operating comprehensive foreign 
                        language and area or international 
                        studies centers and programs; and
                          [(ii) to make grants to such 
                        institutions or combinations for the 
                        purpose of establishing, strengthening, 
                        and operating a diverse network of 
                        undergraduate foreign language and area 
                        or international studies centers and 
                        programs.]
                  (A) In general.--The Secretary is authorized 
                to make grants to institutions of higher 
                education or consortia of such institutions for 
                the purpose of establishing, strengthening, and 
                operating--
                          (i) comprehensive foreign language 
                        and area or international studies 
                        centers and programs; and
                          (ii) a diverse network of 
                        undergraduate foreign language and area 
                        or international studies centers and 
                        programs.

           *       *       *       *       *       *       *

          (2) Authorized activities.--Any such grant may be 
        used to pay all or part of the cost of establishing or 
        operating a center or program, including the cost of--
                  (A) * * *

           *       *       *       *       *       *       *

                  (G) summer institutes in the United States or 
                abroad designed to provide language and area 
                training in the center's field or topic; [and]
                  (H) support for faculty, staff, and student 
                travel in foreign areas, regions, or countries, 
                and for the development and support of 
                educational programs abroad for students[.];
                  (I) supporting instructors of the less 
                commonly taught languages; and
                  (J) projects that support in students an 
                understanding of science and technology in 
                coordination with foreign language proficiency.

           *       *       *       *       *       *       *

          (4) Outreach grants and summer institutes.--The 
        Secretary may make additional grants to centers 
        described in paragraph (1) for any one or more of the 
        following purposes:
                  (A) * * *
                  [(B) Programs of linkage or outreach with 2- 
                and 4-year colleges and universities.]
                  (B) Partnerships or programs of linkage and 
                outreach with 2-year and 4-year colleges and 
                universities, including colleges of education 
                and teacher professional development programs.
                  (C) Partnerships with local educational 
                agencies and public and private elementary and 
                secondary education schools that are designed 
                to increase student academic achievement in 
                foreign language and knowledge of world 
                regions, and to facilitate the wide 
                dissemination of materials related to area 
                studies.
                  [(C) Programs of linkage or outreach] (D) 
                Partnerships or programs of linkage and 
                outreach with departments or agencies of 
                Federal and State governments.
                  [(D)] (E) Programs of linkage or outreach 
                with the news media, business, professional, or 
                trade associations.
                  [(E)] (F) Summer institutes in [foreign area] 
                area studies, foreign language, and other 
                international fields designed to carry out the 
                programs [of linkage and outreach] described in 
                subparagraphs (A), (B), [(C), and (D)] (D), and 
                (E).
  (b) Graduate and Undergraduate Fellowships for Foreign 
Language and Area or International Studies.--
          (1) * * *
          [(2) Eligible students.--Students receiving stipends 
        described in paragraph (1) shall be individuals who are 
        engaged in an instructional program with stated 
        performance goals for functional foreign language use 
        or in a program developing such performance goals, in 
        combination with area studies, international studies, 
        or the international aspects of a professional studies 
        program, including predissertation level studies, 
        preparation for dissertation research, dissertation 
        research abroad, and dissertation writing.]
          (2) Eligible students.--A student receiving a stipend 
        described in paragraph (1) shall be engaged in an 
        instructional program with stated performance goals for 
        functional foreign language use or in a program 
        developing such performance goals, in combination with 
        area studies, international studies, or the 
        international aspects of a professional studies 
        program, including predissertation level studies, 
        preparation for dissertation research, dissertation 
        research abroad, and dissertation writing, and--
                  (A) in the case of graduate fellowships, 
                activities in connection with a program 
                described in this paragraph may include 
                predissertation level studies, preparation for 
                dissertation research, dissertation research 
                abroad, and dissertation writing; or
                  (B) in the case of undergraduate fellowships, 
                students may be allowed to use their 
                fellowships abroad for intermediate or advanced 
                study of a less commonly taught language.

           *       *       *       *       *       *       *


SEC. 603. LANGUAGE RESOURCE CENTERS.

  (a) Language Resource Centers Authorized.--The Secretary is 
authorized to make grants to and enter into contracts with 
institutions of higher education, or [combinations] consortia 
of such institutions, for the purpose of establishing, 
strengthening, and operating a small number of national 
language resource and training centers, which shall serve as 
resources to improve the capacity to teach and learn foreign 
languages effectively.

           *       *       *       *       *       *       *

  (c) Conditions for Grants.--Grants under this section shall 
reflect the purposes of this part and be made on such 
conditions as the Secretary determines to be necessary to carry 
out the provisions of this section.

SEC. 604. UNDERGRADUATE INTERNATIONAL STUDIES AND FOREIGN LANGUAGE 
                    PROGRAMS.

  (a) Incentives for the Creation of New Programs and the 
Strengthening of Existing Programs in Undergraduate 
International Studies and Foreign Language Programs.--
          (1) Authority.--The Secretary is authorized to make 
        grants to institutions of higher education, 
        [combinations] consortia of such institutions, or 
        partnerships between nonprofit educational 
        organizations and institutions of higher education, to 
        assist such institutions, [combinations] consortia or 
        partnerships in planning, developing, and carrying out 
        programs to improve undergraduate instruction in 
        international studies and foreign languages. Such 
        grants shall be awarded to institutions, [combinations] 
        consortia or partnerships seeking to create new 
        programs or to strengthen existing programs in foreign 
        languages, area studies, and other international 
        fields.
          (2) Use of funds.--Grants made under this section may 
        be used for Federal share of the cost of projects and 
        activities which are an integral part of such a 
        program, such as--
                  (A) * * *
                  (B) teaching, research, curriculum 
                development, faculty training in the United 
                States or abroad, and other related activities, 
                including--
                          (i) * * *
                          (ii) preservice and inservice 
                        [teacher training] teacher professional 
                        development;

           *       *       *       *       *       *       *

                  (I) the provision of grants for educational 
                programs abroad that are closely linked to the 
                program's overall goals and have the purpose of 
                promoting foreign language fluency and 
                knowledge of world regions, except that not 
                more than 10 percent of a grant recipient's 
                funds may be used for this purpose;
                  [(I)] (J) the development of programs 
                designed to integrate professional and 
                technical education with foreign languages, 
                area studies, and other international fields;
                  [(J)] (K) the establishment of linkages 
                overseas with institutions of higher education 
                and organizations that contribute to the 
                educational programs assisted under this 
                subsection;
                  [(K)] (L) the conduct of summer institutes in 
                foreign area, foreign language, and other 
                international fields to provide faculty and 
                curriculum development, including the 
                integration of professional and technical 
                education with foreign area and other 
                international studies, and to provide foreign 
                area and other international knowledge or 
                skills to government personnel or private 
                sector professionals in international 
                activities;
                  [(L)] (M) the development of partnerships 
                between--
                          (i) * * *
                          (ii) the private sector, government, 
                        or [elementary and secondary education 
                        institutions] local educational 
                        agencies and public and private 
                        elementary and secondary education 
                        schools,
                in order to enhance international knowledge and 
                skills; and
                  [(M)] (N) the use of innovative technology to 
                increase access to international education 
                programs.

           *       *       *       *       *       *       *

          (4) Special rule.--The Secretary may waive or reduce 
        the required non-Federal share for institutions that--
                  (A) * * *
                  (B) have submitted a grant application under 
                this section that demonstrates a need for a 
                waiver or reduction.
          (5) Priority.--In awarding grants under this section, 
        the Secretary shall give priority to applications from 
        institutions of higher education, [combinations] 
        consortia or partnerships that require entering 
        students to have successfully completed at least 2 
        years of secondary school foreign language instruction 
        or that require each graduating student to earn 2 years 
        of postsecondary credit in a foreign language (or have 
        demonstrated equivalent competence in the foreign 
        language) or, in the case of a 2-year degree granting 
        institution, offer 2 years of postsecondary credit in a 
        foreign language.
          (6) Grant conditions.--Grants under this subsection 
        shall reflect the purposes of this part and be made on 
        such conditions as the Secretary determines to be 
        necessary to carry out this subsection.

           *       *       *       *       *       *       *

          (8) Evaluation.--The Secretary [may] shall establish 
        requirements for program evaluations and require grant 
        recipients to submit annual reports that evaluate the 
        progress and performance of students participating in 
        programs assisted under this subsection.

           *       *       *       *       *       *       *

  [(c) Funding Support.--The Secretary may use not more than 10 
percent of the total amount appropriated for this part for 
carrying out the purposes of this section.]

SEC. 605. RESEARCH; STUDIES; ANNUAL REPORT.

  (a) Authorized Activities.--The Secretary may, directly or 
through grants or contracts, conduct research and studies that 
contribute to achieving the purposes of this part, including 
the systematic collection, analysis, and dissemination of data. 
Such research and studies may include--
          (1) * * *

           *       *       *       *       *       *       *


SEC. 606. TECHNOLOGICAL INNOVATION AND COOPERATION FOR FOREIGN 
                    INFORMATION ACCESS.

  (a) Authority.--The Secretary is authorized to make grants to 
institutions of higher education, public or nonprofit private 
libraries, [or consortia of such institutions or libraries] or 
partnerships between such institutions or libraries and 
nonprofit educational organizations including museums, to 
develop innovative techniques or programs using [new] 
electronic technologies to collect, organize, preserve, and 
widely disseminate information from foreign sources on world 
regions and countries other than the United States that address 
our Nation's teaching and research needs in international 
education and foreign languages.
  (b) Authorized Activities.--Grants under this section may be 
used--
          (1) to acquire and facilitate access to or preserve 
        foreign information resources in print or electronic 
        forms;

           *       *       *       *       *       *       *

          (3) to develop [new means of] new means and standards 
        for shared electronic access to international data;

           *       *       *       *       *       *       *

          (6) to assist teachers of less commonly taught 
        languages in acquiring, via electronic and other means, 
        materials suitable for classroom use; [and]
          (7) to promote collaborative technology based 
        projects in foreign languages, area studies, and 
        international studies among grant recipients under this 
        title[.];
          (8) to establish linkages between grant recipients 
        under subsection (a) with libraries, museums, 
        organizations, or institutions of higher education 
        located overseas to facilitate carrying out the 
        purposes of this section; and
          (9) to carry out other activities deemed by the 
        Secretary to be consistent with the purposes of this 
        section.

           *       *       *       *       *       *       *

  (e) Special Rule.--The Secretary may waive or reduce the 
required non-Federal share for institutions that--
          (1) are eligible to receive assistance under part A 
        or B of title III or under title V; and
          (2) have submitted a grant application under this 
        section that demonstrates a need for a waiver or 
        reduction.

SEC. 607. SELECTION OF CERTAIN GRANT RECIPIENTS.

  (a) * * *
  (b) Selection Criteria.--The Secretary shall set criteria for 
grants awarded under section 602 by which a determination of 
excellence shall be made to meet the differing [objectives] 
missions of graduate and undergraduate institutions. In keeping 
with the purposes of this part, the Secretary shall take into 
account the degree to which activities of centers, programs, 
and fellowships at institutions of higher education address 
national needs, generate and disseminate information, and 
foster debate on international issues.

           *       *       *       *       *       *       *


SEC. 608. EQUITABLE DISTRIBUTION OF CERTAIN FUNDS.

  (a) Selection Criteria.--The Secretary shall make excellence 
the criterion for selection of grants awarded under section 
602. Grants made under section 602 shall also reflect the 
purposes of this part.

           *       *       *       *       *       *       *


SEC. 610. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part $80,000,000 for fiscal year [1999] 2009, and such sums as 
may be necessary for each of the 4 succeeding fiscal years.

PART B--BUSINESS AND INTERNATIONAL EDUCATION PROGRAMS

           *       *       *       *       *       *       *


SEC. 612. CENTERS FOR INTERNATIONAL BUSINESS EDUCATION.

  (a) Program Authorized.--
          (1) In general.--The Secretary is authorized to make 
        grants to institutions of higher education, or 
        [combinations] consortia of such institutions, to pay 
        the Federal share of the cost of planning, establishing 
        and operating centers for international business 
        education which--
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) will provide research and training in the 
                international aspects of trade, commerce, 
                manufacturing software systems, technology 
                management, and other fields of study.

           *       *       *       *       *       *       *

  (c) Authorized Activities.--
          (1) Mandatory activities.--Programs and activities to 
        be conducted by centers assisted under this section 
        shall include--
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) collaborative programs, activities, or 
                research involving other institutions of higher 
                education, local educational agencies, 
                professional associations, businesses, firms, 
                or [combinations] consortia thereof, to promote 
                the development of international skills, 
                awareness, and expertise among current and 
                prospective members of the business community 
                and other professionals;
                  (E) research designed to strengthen and 
                improve the international aspects of business 
                and professional education and to promote 
                integrated curricula; and

           *       *       *       *       *       *       *

          (2) Permissible activities.--Programs and activities 
        to be conducted by centers assisted under this section 
        may include--
                  (A) * * *

           *       *       *       *       *       *       *

                  (E) outreach activities or consortia with 
                business programs located at other institutions 
                of higher education (including those that are 
                eligible to receive assistance under part A or 
                B of title III or under title V) for the 
                purpose of providing expertise regarding the 
                internationalization of such programs, such as 
                assistance in research, curriculum development, 
                faculty development, or educational exchange 
                programs; [and]
                  (F) programs encouraging the advancement and 
                understanding of cultural, technological 
                management, and manufacturing software systems 
                practices between institutions of higher 
                education in the United States and countries 
                with existing partnerships with other 
                countries, including those in Asian countries 
                focused on this industry; and
                  [(F)] (G) other eligible activities 
                prescribed by the Secretary.
  (d) Advisory Council.--
          (1) Establishment.--In order to be eligible for 
        assistance under this section, an institution of higher 
        education, or [combination] consortium of such 
        institutions, shall establish a center advisory council 
        which will conduct extensive planning prior to the 
        establishment of a center concerning the scope of the 
        center's activities and the design of its programs.
  (e) Grant Duration; Federal Share.--
          (1) * * *

           *       *       *       *       *       *       *

          (5) Special rule.--The Secretary may waive or reduce 
        the required non-Federal share for institutions that--
                  (A) are eligible to receive assistance under 
                part A or B of title III or under title V; and
                  (B) have submitted a grant application under 
                this section that demonstrates a need for a 
                waiver or reduction, as determined by the 
                Secretary.
  (f) Grant Conditions.--Grants under this section shall be 
made on such conditions as the Secretary determines to be 
necessary to carry out the objectives of this section. Such 
conditions shall include--
          (1) evidence that the institution of higher 
        education, or [combination] consortium of such 
        institutions, will conduct extensive planning prior to 
        the establishment of a center concerning the scope of 
        the center's activities and the design of its programs 
        in accordance with subsection (d)(1);

           *       *       *       *       *       *       *

          (4) assurance that the institution of higher 
        education, or [combination] consortium of such 
        institutions, will use the assistance provided under 
        this section to supplement and not to supplant 
        activities conducted by institutions of higher 
        education described in subsection (c)(1).

SEC. 613. EDUCATION AND TRAINING PROGRAMS.

  (a) * * *

           *       *       *       *       *       *       *

  (e) Special Rule.--The Secretary may waive or reduce the 
required non-Federal share for institutions that--
          (1) are eligible to receive assistance under part A 
        or B of title III or under title V; and
          (2) have submitted a grant application under this 
        section that demonstrates a need for a waiver or 
        reduction, as determined by the Secretary.

SEC. 614. AUTHORIZATION OF APPROPRIATIONS.

  (a) Centers for International Business Education.--There are 
authorized to be appropriated $11,000,000 for the fiscal year 
[1999] 2009 and such sums as may be necessary for each of the 4 
succeeding fiscal years to carry out the provisions of section 
612.
  (b) Education and Training Programs.--There are authorized to 
be appropriated $7,000,000 for fiscal year [1999] 2009, and 
such sums as may be necessary for the 4 succeeding fiscal 
years, to carry out the provisions of section 613.

           PART C--INSTITUTE FOR INTERNATIONAL PUBLIC POLICY

SEC. 621. [MINORITY FOREIGN SERVICE PROFESSIONAL DEVELOPMENT PROGRAM] 
                    PROGRAM FOR FOREIGN SERVICE PROFESSIONALS.

  (a) Establishment.--The Secretary is authorized to award a 
grant, on a competitive basis, to an eligible recipient to 
enable such recipient to establish an Institute for 
International Public Policy (hereafter in this part referred to 
as the ``Institute''). [The Institute shall conduct a program 
to significantly increase the numbers of African Americans and 
other underrepresented minorities in the international service, 
including private international voluntary organizations and the 
foreign service of the United States.] The Institute shall 
conduct a program to enhance the international competitiveness 
of the United States by increasing the participation of 
underrepresented populations in the international service, 
including private international voluntary organizations, the 
international commercial service, and the foreign service of 
the United States. Such program shall include a program for 
such students to study abroad in their junior year, fellowships 
for graduate study, internships, intensive academic programs 
such as summer institutes, or intensive language training.
  (b) Definition of Eligible Recipient.--
          (1) In general.--For the purpose of this part, the 
        term ``eligible recipient'' means a consortium 
        consisting of 1 or more of the following entities:
                  [(A) An institution eligible for assistance 
                under part B of title III of this Act.
                  [(B) An institution of higher education which 
                serves substantial numbers of African American 
                or other underrepresented minority students.]
                  (A) A Tribally Controlled College or 
                University or Alaska Native or Native Hawaiian-
                serving institution eligible for assistance 
                under title III, an institution eligible for 
                assistance under part B of title III, or a 
                Hispanic-serving institution eligible for 
                assistance under title V.
                  (B) An institution of higher education which 
                serves substantial numbers of underrepresented 
                minority students.

           *       *       *       *       *       *       *


SEC. 622. INSTITUTIONAL DEVELOPMENT.

  (a) In General.--The Institute shall award grants, from 
amounts available to the Institute for each fiscal year, to 
historically Black colleges and universities, Hispanic-serving 
institutions, Tribally Controlled Colleges or Universities, and 
minority institutions, to enable such colleges, universities, 
and institutions to strengthen international affairs programs 
and promote collaboration with colleges and universities that 
receive funds under this title.

           *       *       *       *       *       *       *


SEC. 623. STUDY ABROAD PROGRAM.

  (a) Program Authority.--The Institute shall conduct, by grant 
or contract, a junior year abroad program. The junior year 
abroad program shall be open to eligible students at 
institutions of higher education, including historically Black 
colleges and universities as defined in section 322 of this 
Act, tribally controlled Indian community colleges as defined 
in the Tribally Controlled Community College Assistance Act of 
1978, Alaska Native-serving, Native Hawaiian-serving, and 
Hispanic-serving institutions, and other institutions of higher 
education with significant minority student populations. 
Eligible student expenses shall be shared by the Institute and 
the institution at which the student is in attendance. Each 
student may spend not more than 9 months abroad in a program of 
academic study, as well as social, familial and political 
interactions designed to foster an understanding of and 
familiarity with the language, culture, economics and 
governance of the host country.

           *       *       *       *       *       *       *


SEC. 624. [MASTERS] ADVANCED DEGREE IN INTERNATIONAL RELATIONS.

  The Institute shall provide, in cooperation with the other 
members participating in the eligible recipient consortium, a 
program of study leading to [a masters degree in international 
relations. The masters degree program designed by the 
consortia] an advanced degree in international relations, 
international affairs, international economics, or other 
academic areas related to the Institute fellow's career 
objectives. The advanced degree study program shall be designed 
by the consortia, consistent with the fellow's career 
objectives, and shall be reviewed and approved by the 
Secretary. The Institute may grant fellowships in an amount not 
to exceed the level of support comparable to that provided by 
the National Science Foundation graduate fellowships, except 
such amount shall be adjusted as necessary so as not to exceed 
the fellow's demonstrated level of need according to 
measurement of need approved by the Secretary. A fellowship 
recipient shall agree to undertake full-time study and to enter 
the international service (including work with private 
international voluntary organizations) or foreign service of 
the United States.

SEC. 625. INTERNSHIPS.

  (a) In General.--The Institute shall enter into agreements 
with historically Black colleges and universities as defined in 
section 322 of this Act, tribally controlled Indian community 
colleges as defined in the Tribally Controlled Community 
College Assistance Act of 1978, Alaska Native-serving, Native 
Hawaiian-serving, and Hispanic-serving institutions, other 
institutions of higher education with significant numbers of 
minority students, and institutions of higher education with 
programs in training foreign service professionals, to provide 
academic year internships during the junior and senior year and 
summer internships following the sophomore and junior academic 
years, by work placements with an international voluntary or 
government organizations or agencies, including the Agency for 
International Development, the United States Information 
Agency, the International Monetary Fund, the National Security 
Council, the Organization of American States, the Export-Import 
Bank, the Overseas Private Investment Corporation, the 
Department of State, Office of the United States Trade 
Representative, the World Bank, and the United Nations.
  (b) Postbaccalaureate Internships.--The Institute shall enter 
into agreements with institutions of higher education described 
in the first sentence of subsection (a) to conduct internships 
for students who have completed study for a baccalaureate 
degree. The internship program authorized by this subsection 
shall--
          (1) assist the students to prepare for a master's 
        degree program;
          (2) be carried out with the assistance of the Woodrow 
        Wilson International Center for Scholars; and
          (3) contain work experience for the students designed 
        to contribute to the students' preparation for a 
        master's degree program[; and].
          [(4) be assisted by the Interagency Committee on 
        Minority Careers in International Affairs established 
        under subsection (c).]
  [(c) Interagency Committee on Minority Careers in 
International Affairs.--
          [(1) Establishment.--There is established in the 
        executive branch of the Federal Government an 
        Interagency Committee on Minority Careers in 
        International Affairs composed of not less than 7 
        members, including--
                  [(A) the Under Secretary for Farm and Foreign 
                Agricultural Services of the Department of 
                Agriculture, or the Under Secretary's designee;
                  [(B) the Assistant Secretary and Director 
                General, of the United States and Foreign 
                Commercial Service of the Department of 
                Commerce, or the Assistant Secretary and 
                Director General's designee;
                  [(C) the Under Secretary of Defense for 
                Personnel and Readiness of the Department of 
                Defense, or the Under Secretary's designee;
                  [(D) the Assistant Secretary for 
                Postsecondary Education in the Department of 
                Education, or the Assistant Secretary's 
                designee;
                  [(E) the Director General of the Foreign 
                Service of the Department of State, or the 
                Director General's designee;
                  [(F) the General Counsel of the Agency for 
                International Development, or the General 
                Counsel's designee; and
                  [(G) the Associate Director for Educational 
                and Cultural Affairs of the United States 
                Information Agency, or the Associate Director's 
                designee.
          [(2) Functions.--The Interagency Committee 
        established by this section shall--
                  [(A) on an annual basis inform the Secretary 
                and the Institute regarding ways to advise 
                students participating in the internship 
                program assisted under this section with 
                respect to goals for careers in international 
                affairs;
                  [(B) locate for students potential internship 
                opportunities in the Federal Government related 
                to international affairs; and
                  [(C) promote policies in each department and 
                agency participating in the Committee that are 
                designed to carry out the objectives of this 
                part.]
  (c) Ralph J. Bunche Fellows.--In order to assure the 
recognition and commitment of individuals from underrepresented 
student populations who demonstrate special interest in 
international affairs and language study, eligible students who 
participate in the internship programs authorized under 
subsections (a) and (b) shall be known as the Ralph J. Bunche 
Fellows.

SEC. 626. REPORT.

  The Institute shall [annually prepare a report] prepare a 
report biennially on the activities of the Institute and shall 
submit such report to the Secretary of Education and the 
Secretary of State.

           *       *       *       *       *       *       *


SEC. 628. AUTHORIZATION.

  There is authorized to be appropriated $10,000,000 for fiscal 
year [1999] 2009 and such sums as may be necessary for each of 
the 4 succeeding fiscal years to carry out this part.

        PART D--PREPARING FOR EARLY FOREIGN LANGUAGE INSTRUCTION

SEC. 631. PREPARING FOR EARLY FOREIGN LANGUAGE INSTRUCTION.

  (a) Definitions.--In this section:
          (1) Eligible partnership.--The term ``eligible 
        partnership'' means a partnership that--
                  (A) shall include--
                          (i) a foreign language department of 
                        an institution of higher education; and
                          (ii) a local educational agency; and
                  (B) may include--
                          (i) another foreign language or 
                        teacher education department of an 
                        institution of higher education;
                          (ii) another local educational 
                        agency, or an elementary or secondary 
                        school;
                          (iii) a business;
                          (iv) a nonprofit organization of 
                        demonstrated effectiveness, including a 
                        museum;
                          (v) heritage or community centers for 
                        language study;
                          (vi) language resource centers; or
                          (vii) the State foreign language 
                        coordinator or State educational 
                        agency.
          (2) High-need local educational agency.--The term 
        ``high-need local educational agency'' has the meaning 
        given the term in section 2102 of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 6602).
          (3) Articulated.--The term ``articulated'' means that 
        each grade level of the foreign language program is 
        designed to sequentially expand on the student 
        achievement of the previous level with a goal toward 
        achieving an established level of language proficiency.
  (b) Purpose.--The purpose of this section is to improve the 
performance of students in the study of foreign languages by 
encouraging States, institutions of higher education, 
elementary schools, and secondary schools to participate in 
programs that--
          (1) upgrade the status and stature of foreign 
        language teaching by encouraging institutions of higher 
        education to assume greater responsibility for 
        improving foreign language teacher education through 
        the establishment of a comprehensive, integrated system 
        of recruiting and advising such teachers;
          (2) focus on education of foreign language teachers 
        as a career-long process that should continuously 
        stimulate teachers' intellectual growth and upgrade 
        teachers' knowledge and skills;
          (3) bring foreign language teachers in elementary 
        schools and secondary schools together with linguists 
        or higher education foreign language professionals to 
        increase the subject matter knowledge and improve the 
        teaching skills of teachers through the use of more 
        sophisticated resources that institutions of higher 
        education are better able to provide than such schools; 
        and
          (4) develop more rigorous foreign language curricula 
        that contain--
                  (A) professionally accepted standards for 
                elementary and secondary education instruction;
                  (B) standards expected for postsecondary 
                study in foreign language; and
                  (C) articulated foreign language programs 
                from kindergarten through grade 12 that 
                demonstrate increased competence and 
                proficiency over time and grade.
  (c) Grants to Partnerships.--
          (1) In general.--The Secretary may award grants, on a 
        competitive basis, to eligible partnerships to enable 
        the eligible partnerships to pay the Federal share of 
        the costs of carrying out the authorized activities 
        described in this section.
          (2) Duration.--The Secretary shall award grants under 
        this section for a period of 5 years.
          (3) Federal share.--The Federal share of the costs of 
        the activities assisted under this section shall be--
                  (A) 75 percent of the costs for the first 
                year that an eligible partnership receives a 
                grant payment under this section;
                  (B) 65 percent of such costs for the second 
                such year; and
                  (C) 50 percent of such costs for each of the 
                third, fourth, and fifth such years.
          (4) Non-federal share.--The non-Federal share of the 
        costs of carrying out the authorized activities 
        described in this section may be provided in cash or in 
        kind, fairly evaluated.
          (5) Priority.--In awarding grants under this section, 
        the Secretary shall give priority to eligible 
        partnerships--
                  (A) that include high-need local educational 
                agencies; or
                  (B) that emphasize the teaching of commonly 
                taught and critical foreign languages in an 
                articulated program that demonstrates increased 
                competency and proficiency over grade and time.
  (d) Applications.--
          (1) In general.--Each eligible partnership desiring a 
        grant under this section shall submit an application to 
        the Secretary at such time, in such manner, and 
        accompanied by such information as the Secretary may 
        require.
          (2) Contents.--An application under paragraph (1) 
        shall include--
                  (A) an assessment of the teacher quality and 
                professional development needs of all the 
                schools and agencies participating in the 
                eligible partnership with respect to the 
                teaching and learning of foreign languages;
                  (B) a description of how the activities to be 
                carried out by the eligible partnership will be 
                based on a review of relevant research, and an 
                explanation of why the activities are expected 
                to improve student performance and to 
                strengthen the quality of foreign language 
                instruction; and
                  (C) a description of--
                          (i) how the eligible partnership will 
                        carry out the authorized activities 
                        described in subsection (e); and
                          (ii) the eligible partnership's 
                        evaluation and accountability plan as 
                        described in subsection (f).
  (e) Authorized Activities.--An eligible partnership shall use 
the grant funds provided under this section for 1 or more of 
the following activities related to elementary schools or 
secondary schools:
          (1) Creating opportunities for enhanced and ongoing 
        professional development that improves the subject 
        matter knowledge of foreign language teachers.
          (2) Recruiting university students with foreign 
        language majors for teaching.
          (3) Promoting strong teaching skills for foreign 
        language teachers and teacher educators.
          (4) Establishing foreign language summer workshops or 
        institutes (including follow-up) for teachers.
          (5) Establishing distance learning programs for 
        foreign language teachers.
          (6) Designing programs to prepare a teacher at a 
        school to provide professional development to other 
        teachers at the school and to assist novice teachers at 
        such school, including (if applicable) a mechanism to 
        integrate experiences from a summer workshop or 
        institute.
          (7) Developing instruction materials.
  (f) Evaluation and Accountability Plan.--Each eligible 
partnership receiving a grant under this section shall develop 
an evaluation and accountability plan for activities assisted 
under this section that includes strong performance objectives. 
The plan shall include objectives and measures for--
          (1) increased participation by students in advanced 
        courses in foreign language;
          (2) increased percentages of secondary school classes 
        in foreign language taught by teachers with academic 
        majors in foreign language; and
          (3) increased numbers of foreign language teachers 
        who participate in content-based professional 
        development activities.
  (g) Report.--Each eligible partnership receiving a grant 
under this section shall annually report to the Secretary 
regarding the eligible partnership's progress in meeting the 
performance objectives described in subsection (f).
  (h) Termination.--If the Secretary determines that an 
eligible partnership is not making substantial progress in 
meeting the performance objectives described in subsection (f) 
by the end of the third year of a grant under this section, the 
grant payments shall not be made for the fourth and fifth years 
of the grant.
  (i) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section, such sums as may be 
necessary for fiscal year 2009 and for each of the 4 succeeding 
fiscal years.

                     PART [D] E--GENERAL PROVISIONS

SEC. [631.] 641. DEFINITIONS.

  (a) * * *

           *       *       *       *       *       *       *


SEC. 642. EVALUATION, OUTREACH, AND DISSEMINATION.

  The Secretary may use not more than one percent of the funds 
made available for this title for program evaluation, national 
outreach, and information dissemination activities.

SEC. 643. STUDENT SAFETY.

  Applicants seeking funds under this title to support student 
travel and study abroad shall submit as part of their grant 
application a description of safety policies and procedures for 
students participating in the program while abroad.

SEC. 644. SCIENCE AND TECHNOLOGY ADVANCED FOREIGN LANGUAGE EDUCATION 
                    GRANT PROGRAM.

  (a) Purpose.--It is the purpose of this section to support 
programs in colleges and universities that--
          (1) encourage students to develop--
                  (A) an understanding of science and 
                technology; and
                  (B) foreign language proficiency; and
          (2) foster future international scientific 
        collaboration.
  (b) Development.--The Secretary shall develop a program for 
the awarding of grants to institutions of higher education that 
develop innovative programs for the teaching of foreign 
languages.
  (c) Regulations and Requirements.--The Secretary shall 
promulgate regulations for the awarding of grants under 
subsection (b). Such regulations shall require institutions of 
higher education to use grant funds for, among other things--
          (1) the development of an on-campus cultural 
        awareness program by which students attend classes 
        taught in a foreign language and study the science and 
        technology developments and practices in a non-English 
        speaking country;
          (2) immersion programs where students take science or 
        technology related course work in a non-English 
        speaking country; and
          (3) other programs, such as summer workshops, that 
        emphasize the intense study of a foreign language and 
        science technology.
  (d) Grant Distribution.--In distributing grants to 
institutions of higher education under this section, the 
Secretary shall give priority to--
          (1) institutions that have programs focusing on 
        curricula that combine the study of foreign languages 
        and the study of science and technology and produce 
        graduates who have both skills; and
          (2) institutions teaching critical foreign languages.
  (e) Science.--In this section, the term ``science'' means any 
of the natural and physical sciences including chemistry, 
biology, physics, and computer science. Such term does not 
include any of the social sciences.
  (f) Appropriations Authorized.--There are authorized to be 
appropriated to carry out this section, such sums as may be 
necessary for fiscal year 2009 and for each subsequent fiscal 
year.

SEC. 645. REPORTING BY INSTITUTIONS.

  (a) Applicability.--The data requirement in subsection (b) 
shall apply to an institution of higher education that receives 
funds for a center or program under this title if--
          (1) the amount of cash, or the fair market value, or 
        both, of the contributions received from a foreign 
        government or private sector corporation, foundation, 
        or any other entity or individual (excluding domestic 
        government entities) during any fiscal year exceeds 
        $1,000,000 in the aggregate; and
          (2) the aggregate contribution is intended for use 
        directly or indirectly by a center or program receiving 
        funds under this title.
  (b) Data Required.--The Secretary shall require of each 
institution to which this paragraph applies under subsection 
(a), as part of the Integrated Postsecondary Education Data 
System (IPEDS) annual data collection, that such institution 
report the following data:
          (1) The names and addresses of any foreign government 
        or private sector corporation, foundation, or any other 
        entity or individual that contributed such amount of 
        cash or such fair market value of other property as 
        described in subsection (a)(1).
          (2) The amount of such cash or the fair market value 
        of such property.
  (c) Exemption from Reporting.--The Secretary may, at the 
request of the donor, exempt domestic donors who make anonymous 
donations from the institutional reporting requirement of 
subsection (b)(1) to preserve the anonymity of their 
contribution. The data of institutions shall identify such 
donors as ``anonymous''. This exemption does not apply to non-
domestic donations.
  (d) Deadline.--Any report under subsection (b) shall be made 
no later than such date as the Secretary shall require.
  (e) Consequences of Failure To Report.--In the case of any 
institution from which a report is requested under subsection 
(b), if the Secretary does not receive a report in accordance 
with the deadline established under subsection (d), the 
Secretary shall--
          (1) make a determination that the institution of 
        higher education has failed to make the report required 
        by this paragraph;
          (2) transmit a notice of the determination to 
        Congress; and
          (3) publish in the Federal Register a notice of the 
        determination and the effect of the determination on 
        the eligibility of the institution of higher education 
        for contracts and grants under this title.

TITLE VII--GRADUATE AND POSTSECONDARY IMPROVEMENT PROGRAMS

           *       *       *       *       *       *       *


                  PART A--GRADUATE EDUCATION PROGRAMS

             Subpart 1--Jacob K. Javits Fellowship Program

SEC. 701. AWARD OF JACOB K. JAVITS FELLOWSHIPS.

  (a) Authority and Timing of Awards.--The Secretary is 
authorized to award fellowships in accordance with the 
provisions of this subpart for graduate study in the arts, 
humanities, and social sciences by students of superior ability 
selected on the basis of demonstrated achievement, financial 
need, and exceptional promise. The fellowships shall be awarded 
to students who are eligible to receive any grant, loan, or 
work assistance pursuant to section 484 and intend to pursue a 
doctoral degree, except that fellowships may be granted to 
students pursuing a master's degree in those fields in which 
the master's degree is the terminal highest degree awarded in 
the area of study. For purposes of the exception in the 
preceding sentence, a master's degree in fine arts shall be 
considered a terminal degree. All funds appropriated in a 
fiscal year shall be obligated and expended to the students for 
fellowships for use in the academic year beginning after July 1 
of the fiscal year following the fiscal year for which the 
funds were appropriated. The fellowships shall be awarded for 
only 1 academic year of study and shall be renewable for a 
period not to exceed 4 years of study.

           *       *       *       *       *       *       *

  (c) Interruptions of Study.--The institution of higher 
education may allow a fellowship recipient to interrupt periods 
of study for a period not to exceed 12 months for the purpose 
of work, travel, or independent study away from the campus, if 
such independent study is supportive of the fellowship 
recipient's academic program and shall continue payments for 
those 12-month periods during which the student is pursuing 
travel or independent study supportive of the recipient's 
academic program. In the case of other exceptional 
circumstances, such as active duty military service or personal 
or family member illness, the institution of higher education 
may also permit the fellowship recipient to interrupt periods 
of study for the duration of the tour of duty (in the case of 
military service) or not more than 12 months (in any other 
case), but without payment of the stipend.

           *       *       *       *       *       *       *


SEC. 702. ALLOCATION OF FELLOWSHIPS.

  (a) Fellowship Board.--
          (1) Appointment.--The Secretary shall appoint a Jacob 
        K. Javits Fellows Program Fellowship Board (hereinafter 
        in this subpart referred to as the ``Board'') 
        consisting of 9 individuals representative of both 
        public and private institutions of higher education 
        from diverse geographic regions who are especially 
        qualified to serve on the Board. In making 
        appointments, the Secretary shall give due 
        consideration to the appointment of individuals who are 
        highly respected in the academic community. The 
        Secretary shall assure that individuals appointed to 
        the Board are broadly representative of a range of 
        disciplines in graduate education in arts, humanities, 
        and social sciences. The Secretary shall also assure 
        that at least one representative appointed to the Board 
        represents an institution that is eligible for a grant 
        under title III or V of this Act.

           *       *       *       *       *       *       *


SEC. 703. STIPENDS.

  (a) Award by Secretary.--The Secretary shall pay to 
individuals awarded fellowships under this subpart such 
stipends as the Secretary may establish, reflecting the purpose 
of this program to encourage highly talented students to 
undertake graduate study as described in this subpart. In the 
case of an individual who receives such individual's first 
stipend under this subpart in academic year [1999-2000] 2009-
2010 or any succeeding academic year, such stipend shall be set 
at a level of support equal to that provided by the National 
Science [Foundation graduate fellowships] Foundation Graduate 
Research Fellowship Program on February 1 of such academic 
year, except such amount shall be adjusted as necessary so as 
not to exceed the fellow's demonstrated level of need 
determined in accordance with part F of title IV.
  (b) Institutional Payments.--
          (1) In general.--[(A) The Secretary shall (in 
        addition to stipends paid to individuals under this 
        subpart) pay to the institution of higher education, 
        for each individual awarded a fellowship under this 
        subpart at such institution, an institutional 
        allowance. Except as provided in subparagraph (B), such 
        allowance shall be, for 1999-2000 and succeeding 
        academic years, the same amount as the institutional 
        payment made for 1998-1999 under section 933(b) (as 
        such section was in effect on the day before the date 
        of enactment of the Higher Education Amendments of 
        1998) adjusted for 1999-2000 and annually thereafter in 
        accordance with inflation as determined by the 
        Department of Labor's Consumer Price Index for the 
        previous calendar year.] (A) The Secretary shall (in 
        addition to stipends paid to individuals under this 
        subpart) pay to the institution of higher education, 
        for each individual awarded a fellowship under this 
        subpart at such institution, an institutional 
        allowance. Except as provided in subparagraph (B), such 
        allowance shall be, for academic year 2009-2010 and 
        succeeding academic years, the same amount as the 
        institutional payment made for academic year 2008-2009, 
        adjusted for academic year 2009-2010 and annually 
        thereafter in accordance with inflation as determined 
        by the Department of Labor's Consumer Price Index for 
        All Urban Consumers for the previous calendar year.

           *       *       *       *       *       *       *


SEC. 705. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated $30,000,000 for 
fiscal year [1999] 2009 and such sums as may be necessary for 
each of the 4 succeeding fiscal years to carry out this 
subpart.

Subpart 2--Graduate Assistance in Areas of National Need

           *       *       *       *       *       *       *


SEC. 712. INSTITUTIONAL ELIGIBILITY.

  (a) * * *
  [(b) Designation of Areas of National Need.--After 
consultation with appropriate Federal and nonprofit agencies 
and organizations, the Secretary shall designate areas of 
national need. In making such designations, the Secretary shall 
take into account the extent to which the interest in the area 
is compelling, the extent to which other Federal programs 
support postbaccalaureate study in the area concerned, and an 
assessment of how the program could achieve the most 
significant impact with available resources.]
  (b) Designation of Areas of National Need.--After 
consultation with appropriate Federal and nonprofit agencies 
and organizations, including the National Science Foundation, 
the Department of Defense, the Department of Homeland Security, 
the National Academy of Sciences, and the Bureau of Labor 
Statistics, the Secretary shall designate areas of national 
need. In making such designations, the Secretary shall take 
into consideration--
          (1) the extent to which the interest in the area is 
        compelling;
          (2) the extent to which other Federal programs 
        support postbaccalaureate study in the area concerned;
          (3) an assessment of how the program may achieve the 
        most significant impact with available resources;
          (4) an assessment of current and future professional 
        workforce needs of the United States; and
          (5) the priority described in subsection (c).
  (c) Priority.--The Secretary shall establish a priority for 
grants in order to prepare individuals for the professorate who 
will train highly qualified elementary and secondary 
mathematics and science teachers, special education teachers, 
and teachers who provide instruction for limited English 
proficient individuals. Such grants shall offer program 
assistance and graduate fellowships for--
          (1) post baccalaureate study related to teacher 
        preparation and pedagogy in mathematics and science for 
        students who have completed a master's degree or are 
        pursuing a doctorate of philosophy in mathematics or 
        science;
          (2) post baccalaureate study related to teacher 
        preparation and pedagogy in special education and 
        English language acquisition and academic proficiency 
        for limited English proficient individuals; and
          (3) support of dissertation research in the fields of 
        mathematics, science, special education, or second 
        language pedagogy and second language acquisition.

SEC. 713. CRITERIA FOR APPLICATIONS.

  (a) * * *
  (b) Contents of Applications.--An academic department, 
program or unit of an institution of higher education, in the 
department, program or unit's application for a grant, shall--
          (1) * * *

           *       *       *       *       *       *       *

          (9) provide assurances that the academic department 
        will provide at least 1 year of supervised training in 
        instruction for students; [and]
          (10) in the case of an application from a department, 
        program, or unit in education or teacher preparation, 
        provide assurances that such department, program, or 
        unit will collaborate with departments, programs, or 
        units in all content areas to ensure a successful 
        combination of training in both teaching and such 
        content; and
          [(10)] (11) include such other information as the 
        Secretary may prescribe.

SEC. 714. AWARDS TO GRADUATE STUDENTS.

  (a) * * *
  (b) Amount of Stipends.--The Secretary shall make payments to 
institutions of higher education for the purpose of paying 
stipends to individuals who are awarded fellowships under this 
subpart. The stipends the Secretary establishes shall reflect 
the purpose of the program under this subpart to encourage 
highly talented students to undertake graduate study as 
described in this subpart. In the case of an individual who 
receives such individual's first stipend under this subpart in 
academic year [1999-2000] 2009-2010 or any succeeding academic 
year, such stipend shall be set at a level of support equal to 
that provided by the National Science [Foundation graduate 
fellowships] Foundation Graduate Research Fellowship Program on 
February 1 of such academic year, except such amount shall be 
adjusted as necessary so as not to exceed the fellow's 
demonstrated level of need as determined under part F of title 
IV.
  (c) Treatment of Institutional Payments.--An institution of 
higher education that makes institutional payments for tuition 
and fees on behalf of individuals supported by fellowships 
under this subpart in amounts that exceed the institutional 
payments made by the Secretary pursuant to [section 716(a)] 
section 715(a) may count such excess toward the amounts the 
institution is required to provide pursuant to [section 
714(b)(2)] section 713(b)(2).

           *       *       *       *       *       *       *


SEC. 715. ADDITIONAL ASSISTANCE FOR COST OF EDUCATION.

  (a) Institutional Payments.--
          (1) In general.--The Secretary shall (in addition to 
        stipends paid to individuals under this subpart) pay to 
        the institution of higher education, for each 
        individual awarded a fellowship under this subpart at 
        such institution, an institutional allowance. Except as 
        provided in paragraph (2), such allowance shall be, for 
        [1999-2000] 2009-2010 and succeeding academic years, 
        the same amount as the institutional payment made for 
        [1998-1999]-2008-2009 adjusted annually thereafter in 
        accordance with inflation as determined by the 
        Department of Labor's Consumer Price Index for All 
        Urban Consumers for the previous calendar year.

           *       *       *       *       *       *       *


SEC. 716. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated $35,000,000 for 
fiscal year [1999] 2009 and such sums as may be necessary for 
each of the 4 succeeding fiscal years to carry out this 
subpart.

   Subpart 3--Thurgood Marshall Legal Educational Opportunity Program

SEC. 721. LEGAL EDUCATIONAL OPPORTUNITY PROGRAM.

  (a) Program Authority.--The Secretary shall carry out a 
program to be known as the ``Thurgood Marshall Legal 
Educational Opportunity Program'' designed to provide low-
income, minority, or disadvantaged middle and high school 
college students with the information, preparation, and 
financial assistance to gain access to and complete law school 
study[.] and admission to law practice.
  (b) Eligibility.--A middle and high school or college student 
is eligible for assistance under this section if the student 
is--
          (1) * * *

           *       *       *       *       *       *       *

  (c) Contract or Grant Authorized.--The Secretary is 
authorized to enter into a contract with, or make a grant to, 
the Council on Legal Education Opportunity, for a period of not 
less than 5 years--
          (1) to identify middle and high school students 
        college students who are from low-income families, are 
        minorities, or are from disadvantaged backgrounds 
        described in subsection (b)(3);
          [(2) to prepare such students for study at accredited 
        law schools;]
          (2) to prepare such students for study at accredited 
        law schools and assist them with the development of 
        analytical skills and study methods to enhance their 
        success and promote completion of law school;

           *       *       *       *       *       *       *

          (4) to provide support services to such students who 
        are first-year law students to improve retention and 
        success in law school studies; [and]
          (5) to motivate and prepare such students with 
        respect to law school studies and practice in low-
        income communities[.]; and
          (6) to award Thurgood Marshall Fellowships to 
        eligible law school students--
                  (A) who participated in summer institutes 
                authorized by subsection (d) and who are 
                enrolled in an accredited law school; or
                  (B) who are eligible law school students who 
                have successfully completed a comparable summer 
                institute program certified by the Council on 
                Legal Educational Opportunity.
  (d) Services Provided.--In carrying out the purposes 
described in subsection (c), the contract or grant shall 
provide for the delivery of services through prelaw information 
resource centers, summer institutes, midyear seminars, and 
other educational activities, conducted under this section. 
Such services may include--
          (1) information and counseling regarding--
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) undergraduate preparatory courses in 
                analytical skills and study methods and 
                curriculum selection;

           *       *       *       *       *       *       *

  (h) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $5,000,000 for fiscal 
year [1999] 2009 and each of the 4 succeeding fiscal years.

              Subpart 4--Patsy T. Mink Fellowship Program

SEC. 722. PATSY T. MINK FELLOWSHIPS.

  (a) Purpose; Designation.--
          (1) Purpose.--It is the purpose of this subpart to 
        provide a program of fellowship awards to assist highly 
        qualified minorities and women to acquire the terminal 
        master's degree or the doctorate degree in academic 
        areas in which such individuals are underrepresented 
        for the purpose of entering the higher education 
        professoriate.
          (2) Eligible institutions.--For purposes of this 
        subpart, the term ``eligible institution'' means an 
        institution of higher education, or a consortium of 
        such institutions, that offers a program of post 
        baccalaureate study leading to a graduate degree.
          (3) Designation.--Each recipient of a fellowship 
        award from an institution receiving a grant under this 
        subpart shall be known as a Patsy T. Mink Graduate 
        Fellow.
  (b) Program Authorized.--
          (1) Grants by secretary.--
                  (A) In general.--From funds made available 
                under subsection (e), the Secretary shall make 
                grants to eligible institutions of higher 
                education to enable such institutions to make 
                fellowship awards to qualified students in 
                accordance with the provisions of this subpart.
                  (B) Priority consideration.--In making grant 
                awards under this subpart, the Secretary shall 
                consider the applicant institution's prior 
                experience in producing doctorates and terminal 
                master's degree holders who are minorities and 
                females, and shall give priority consideration 
                in making grants under this subpart to those 
                institutions with a demonstrated record of 
                producing minorities and women who have earned 
                such degrees.
          (2) Distribution and amounts of grants.--
                  (A) Equitable distribution.--In making such 
                grants the Secretary shall, to the maximum 
                extent feasible, ensure an equitable geographic 
                distribution of awards and an equitable 
                distribution among eligible public and private 
                institutions of higher education that apply for 
                grants under this subpart and that demonstrate 
                the ability to achieve the purpose of this 
                subpart.
                  (B) Special rule.--To the maximum extent 
                practical, the Secretary shall award at least 
                50 percent of the amount appropriated under 
                this subpart to institutions of higher 
                education eligible for assistance under titles 
                III and V, or to consortia composed of 
                otherwise eligible institutions of higher 
                education and such minority-serving 
                institutions.
          (2) Distribution and amounts of grants.--
                  (A) Equitable distribution.--In making such 
                grants the Secretary shall, to the maximum 
                extent feasible, ensure an equitable geographic 
                distribution of awards and an equitable 
                distribution among eligible public and private 
                institutions of higher education that apply for 
                grants under this subpart and that demonstrate 
                the ability to achieve the purpose of this 
                subpart.
                  (B) Special rule.--To the maximum extent 
                practical, the Secretary shall award at least 
                50 percent of the amount appropriated under 
                this subpart to institutions of higher 
                education eligible for assistance under titles 
                III and V, or to consortia composed of 
                otherwise eligible institutions of higher 
                education and such minority-serving 
                institutions.
                  (C) Allocation.--In making such grants the 
                Secretary shall, consistent with subparagraphs 
                (A) and (B), allocate appropriated funds to 
                those institutions whose applications indicate 
                the ability to significantly increase the 
                numbers of minorities and women entering the 
                higher education professoriate and that commit 
                institutional resources to the attainment of 
                the purpose of this subpart. No grant made 
                under this subpart shall support fewer than 
                fifteen degree candidates consistent with 
                subsection (d)(2).
                  (D) Reallotment.--Whenever the Secretary 
                determines that an institution of higher 
                education is unable to utilize all of the 
                amounts made available to it under this 
                subpart, the Secretary shall, on such dates 
                during the fiscal year as the Secretary may 
                determine, reallocate such unused amounts to 
                institutions which demonstrate that they can 
                use any reallocated grant funds to make 
                fellowship awards to qualified individuals 
                under this subpart.
  (c)  Applications.--
          (1) Applications required.--Any eligible institution 
        of higher education offering a program of post 
        baccalaureate study leading to a graduate degree that 
        meets the purpose of this subpart may apply for a 
        grant. Each such institution, or consortium of eligible 
        institutions (including those institutions specified in 
        subsection (b)(2)(B)) may make an application to the 
        Secretary at such time, in such manner, and containing 
        or accompanied by such information as the Secretary may 
        reasonably require.
          (2) Selection of applications.--In selecting 
        applications for the making grants to institutions of 
        higher education, the Secretary shall--
                  (A) take into account the number and 
                distribution of minority and female faculty 
                nationally, as well as the current and 
                projected need for highly trained individuals--
                          (i) in all areas of the higher 
                        education professoriate; and
                          (ii) in academic career fields in 
                        which minorities and women are 
                        underrepresented in the higher 
                        education professoriate; and
                  (B) consider the need to prepare a larger 
                number of minorities and women generally in 
                academic career fields of high national 
                priority, especially in areas in which such 
                individuals are traditionally underrepresented 
                in college and university faculties.
  (d) Fellowship Terms and Conditions.--
          (1) Selection of fellows.--
                  (A) Eligible applicants.--The Secretary shall 
                assure that, in awarding fellowships from funds 
                made available under this subpart, grantee 
                institutions make fellowship awards to 
                individuals who plan to pursue a career in 
                instruction at any institution of higher 
                education that is eligible to participate in 
                title IV programs.
                  (B) Academic progress.--Notwithstanding 
                subparagraph (A), no otherwise eligible student 
                selected for support shall receive a fellowship 
                award--
                          (i) during periods in which such 
                        student is enrolled, unless such 
                        student is maintaining satisfactory 
                        academic progress in, and devoting 
                        full-time to, study or research in the 
                        pursuit of the degree for which the 
                        fellowship support was awarded; or
                          (ii) if the student is engaged in 
                        gainful employment, other than part-
                        time employment related to teaching, 
                        research, or a similar activity 
                        determined by the institution to be 
                        consistent with and supportive of the 
                        student's progress toward the 
                        appropriate degree.
          (2) Service requirement.--
                  (A) Teaching required.--Each Patsy T. Mink 
                Graduate Fellow who earns the doctoral or 
                terminal master's degree with assistance 
                provided under this subpart shall teach at an 
                eligible institution for one year for each year 
                of fellowship assistance received under this 
                subpart.
                  (B) Institutional obligation.--Each 
                institution which receives an award from the 
                Secretary under this subpart shall provide an 
                assurance that it has inquired of and 
                determined the fellowship recipient's decision 
                to, within 3 years of receiving the doctorate 
                or terminal master's degree, begin employment 
                at an eligible institution of higher education 
                as required by this subpart.
                  (C) Agreement required.--Prior to receiving 
                the initial fellowship award, and upon the 
                annual renewal of the fellowship award, a 
                fellow shall sign an agreement with the 
                Secretary memorializing this commitment to 
                enter the professoriate.
                  (D) Consequences of failure.--If a fellowship 
                recipient fails to honor the service 
                requirement of this subsection, the Secretary 
                shall--
                          (i) require the individual to repay 
                        all or the applicable portion of the 
                        total fellowship amount awarded to the 
                        individual by converting the balance 
                        due to a loan at the interest rate 
                        applicable to loans made under part B 
                        of title IV; or
                          (ii) require the individual to pay an 
                        amount determined by the Secretary to 
                        be appropriate, except as provided in 
                        subparagraph (E).
                  (E) Modified service requirement.--The 
                Secretary may waive or modify the service 
                requirement of this paragraph based on 
                regulations, promulgated pursuant to and 
                consistent with criteria which determine the 
                circumstances under which compliance with the 
                service obligation by the fellowship recipient 
                would be inequitable and represent a 
                substantial hardship. The Secretary may waive 
                the service requirement if--
                          (i) compliance by the fellowship 
                        recipient would be deemed impossible 
                        because the individual is permanently 
                        and totally disabled at the time of the 
                        waiver request; or
                          (ii) compliance by the fellowship 
                        recipient is based on documentation 
                        presented to the Secretary of 
                        substantial economic or personal 
                        hardship, as determined in accordance 
                        with regulations prescribed by the 
                        Secretary.
          (3) Amount of fellowship awards.--
                  (A) In general.--From the grants made 
                pursuant to this subpart, eligible institutions 
                shall award stipends to individuals who are 
                awarded fellowships under this subpart. Such 
                stipends shall reflect the purpose of the 
                program authorized by this subpart to encourage 
                highly qualified minorities and women to pursue 
                graduate study for the purpose of entering the 
                higher education professoriate.
                  (B) Awards based on need.--Stipends shall be 
                in an amount equal to the level of support 
                provided by the National Science Foundation 
                graduate fellowships, except that such stipend 
                shall be adjusted as necessary so as not to 
                exceed the fellow's demonstrated need as 
                determined by the institution of higher 
                education where the graduate student is 
                enrolled.
          (4) Institutional payments.--
                  (A) In general.--The Secretary shall, in 
                addition to the amounts made available to 
                institutions for stipends to individuals under 
                this subpart, pay to grantee institutions of 
                higher education, for each individual awarded a 
                fellowship under this subpart at such 
                institution, an institutional allowance. Except 
                as provided for in subparagraph (C), such 
                allowance shall be, for academic year 2009-2010 
                and succeeding academic years, the same as the 
                institutional payment made for that year under 
                the Graduate Assistance in Areas of National 
                Need program in subpart 2 of part A, and shall 
                be adjusted annually thereafter in accordance 
                with inflation as determined by the Department 
                of Labor's Consumer Price Index for All Urban 
                Consumers for the previous calendar year.
                  (B) Use of funds.--Institutional payments may 
                be expended at the discretion of the 
                institution, except that such funds shall be 
                used to provide academic support and career 
                transition services for participating fellows.
                  (C) Reduction.--The institutional allowance 
                paid under subparagraph (A) shall be reduced by 
                the amount the institution charges and collects 
                from a fellowship recipient for tuition and 
                other expenses as part of the institution's 
                instructional program.
                  (D) Use for overhead prohibited.--Funds made 
                available pursuant to this subpart may not be 
                used for general operational overhead of the 
                academic department or institution receiving 
                such funds.
  (e) Authorization of Appropriations.--There are authorized to 
appropriated to carry out this subpart such sums as may be 
necessary for fiscal year 2009 and for each of the 4 succeeding 
fiscal years.

                   Subpart [4] 5--General Provisions

SEC. 731. ADMINISTRATIVE PROVISIONS FOR [SUBPARTS 1, 2, AND 3] SUBPARTS 
                    1 THROUGH 4.

  (a) Coordinated Administration.--In carrying out the purpose 
described in section 700(1), the Secretary shall provide for 
coordinated administration and regulation of graduate programs 
assisted under [subparts 1, 2, and 3] subparts 1 through 4 with 
other Federal programs providing assistance for graduate 
education in order to minimize duplication and improve 
efficiency to ensure that the programs are carried out in a 
manner most compatible with academic practices and with the 
standard timetables for applications for, and notifications of 
acceptance to, graduate programs.
  (b) Hiring Authority.--For purposes of carrying out [subparts 
1, 2, and 3] subparts 1 through 4, the Secretary shall appoint, 
without regard to the provisions of title 5, United States 
Code, that govern appointments in the competitive service, such 
administrative and technical employees, with the appropriate 
educational background, as shall be needed to assist in the 
administration of such parts. The employees shall be paid 
without regard to the provisions of chapter 51 and subchapter 
III of chapter 53 of such title relating to classification and 
General Schedule pay rates.

           *       *       *       *       *       *       *

  (d) Evaluation.--The Secretary shall evaluate the success of 
assistance provided to individuals under [subpart 1, 2, or 3] 
subpart 1, 2, 3, or 4 with respect to graduating from their 
degree programs, and placement in faculty and professional 
positions.
  [(e) Continuation Awards.--The Secretary, using funds 
appropriated to carry out subparts 1 and 2, and before awarding 
any assistance under such parts to a recipient that did not 
receive assistance under part C or D of title IX (as such parts 
were in effect prior to the date of enactment of the Higher 
Education Amendments of 1998) shall continue to provide funding 
to recipients of assistance under such part C or D (as so in 
effect), as the case may be, pursuant to any multiyear award of 
such assistance.]

      PART B--FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION

SEC. 741. FUND FOR THE IMPROVEMENT OF POSTSECONDARY EDUCATION.

  (a) Authority.--The Secretary is authorized to make grants 
to, or enter into contracts with, institutions of higher 
education, combinations of such institutions, and other public 
and private nonprofit institutions and agencies, to enable such 
institutions, combinations, and agencies to improve 
postsecondary education opportunities by--
          [(1) encouraging the reform, innovation, and 
        improvement of postsecondary education, and providing 
        equal educational opportunity for all;]
          (1) the encouragement of the reform and improvement 
        of, and innovation in, postsecondary education and the 
        provision of educational opportunity for all, 
        especially for the non-traditional student populations;
          (2) the creation of institutions, programs, and joint 
        efforts involving paths to career and professional 
        training, and combinations of academic and experiential 
        learning for postsecondary students, especially 
        institutions, programs, and joint efforts that provide 
        academic credit for programs;
          [(3) the establishment of institutions and programs 
        based on the technology of communications;]
          (3) the establishment of institutions and programs 
        based on the technology of communications, including 
        delivery by distance education;

           *       *       *       *       *       *       *

          [(6) the introduction of institutional reforms 
        designed to expand individual opportunities for 
        entering and reentering institutions and pursuing 
        programs of study tailored to individual needs;]
          (6) the introduction of institutional reforms 
        designed to expand individual opportunities for 
        entering and reentering postsecondary institutions and 
        pursuing programs of postsecondary study tailored to 
        individual needs;
          (7) the introduction of reforms in graduate 
        education, in the structure of academic professions, 
        and in the recruitment and retention of faculties; 
        [and]
          (8) the creation of new institutions and programs for 
        examining and awarding credentials to individuals, and 
        the introduction of reforms in current institutional 
        practices related thereto[.];
          (9) the assessment, in partnership with a public or 
        private nonprofit institution or agency, of the 
        performance of teacher preparation programs within 
        institutions of higher education in a State, using an 
        assessment which provides comparisons across such 
        institutions within the State based upon indicators 
        including teacher candidate knowledge in subject areas 
        in which such candidate has been prepared to teach;
          (10) the support of efforts to establish pilot 
        programs and initiatives to help college campuses 
        reduce illegal downloading of copyrighted content, in 
        order to improve the security and integrity of campus 
        computer networks and save bandwidth costs;
          (11) the support of increased fire safety in student 
        housing--
                  (A) by establishing a demonstration incentive 
                program for qualified student housing in 
                institutions of higher education;
                  (B) by making grants for the purpose of 
                installing fire alarm detection, prevention, 
                and protection technologies in student housing, 
                dormitories, and other buildings controlled by 
                such entities; and
                  (C) by requiring, as a condition of such 
                grants--
                          (i) that such technologies be 
                        installed professionally to technical 
                        standards of the National Fire 
                        Protection Association; and
                          (ii) that the recipient shall provide 
                        non-Federal matching funds in an amount 
                        equal to the amount of the grant;
          (12) the assessment, in partnership with a consortium 
        of higher education organizations, of the feasibility 
        and potential design of an inter-institution monitoring 
        organization on gender and racial equality in campus 
        faculty and administration;
          (13) the provision of support and assistance to 
        partnerships between institutions of higher education 
        and secondary schools with at least 10 percent of their 
        enrollment assessed as late-entering limited English 
        proficient students to establish programs that result 
        in increased secondary school graduation rates of 
        limited English proficient students and that increase 
        the number of eligible late-entering limited English 
        proficient students who pursue postsecondary education 
        opportunities;
          (14) the provision of support and assistance for 
        demonstration projects to provide comprehensive support 
        services to ensure that homeless students, or students 
        who were in foster care until the age of 18, enroll and 
        succeed in postsecondary education, including providing 
        housing to such students during periods when housing at 
        the institution of higher education is closed or 
        generally unavailable to other students;
          (15) the support of efforts to work with 
        organizations that are exempt from taxation under 
        section 501(c)(3) of the Internal Revenue Code of 1986 
        and institutions of higher education that seek to 
        promote cultural diversity in the entertainment media 
        industry including through the training of students in 
        production, marketing, and distribution of culturally 
        relevant content; and
          (16) the creation of consortia that join diverse 
        institutions of higher education to design and offer 
        curricular and co-curricular interdisciplinary programs 
        at the undergraduate and graduate levels, sustained for 
        not less than a 5 year period, that--
                  (A) focus on poverty and human capability; 
                and
                  (B) include--
                          (i) a service-learning component; and
                          (ii) the delivery of educational 
                        services through informational resource 
                        centers, summer institutes, mid-year 
                        seminars, and other educational 
                        activities that stress the effects of 
                        poverty and how poverty can be 
                        alleviated through different career 
                        paths.

           *       *       *       *       *       *       *

  (c) Scholarship Program for Family Members of Veterans or 
Members of the Military.--
          (1) Authorization.--The Secretary shall contract with 
        a nonprofit organization with demonstrated experience 
        in carrying out the activities described in this 
        subsection to carry out a program to provide 
        postsecondary education scholarships for eligible 
        students.
          (2) Eligible students.--In this subsection, the term 
        ``eligible student'' means an individual who is--
                  (A)(i) a dependent student who is a child 
                of--
                          (I) an individual who is--
                                  (aa) serving on active duty 
                                during a war or other military 
                                operation or national emergency 
                                (as defined in section 481); or
                                  (bb) performing qualifying 
                                National Guard duty during a 
                                war or other military operation 
                                or national emergency (as 
                                defined in section 481); or
                          (II) a veteran who died while serving 
                        or performing, as described in 
                        subclause (I), since September 11, 
                        2001, or has been disabled while 
                        serving or performing, as described in 
                        subclause (I), as a result of such 
                        event; or
                  (ii) an independent student who--
                          (I) is a spouse of an individual who 
                        is--
                                  (aa) serving on active duty 
                                during a war or other military 
                                operation or national emergency 
                                (as defined in section 481); or
                                  (bb) performing qualifying 
                                National Guard duty during a 
                                war or other military operation 
                                or national emergency (as 
                                defined in section 481); or
                          (II) was (at the time of the death of 
                        the veteran) a spouse of a veteran who 
                        died while serving or performing, as 
                        described in subclause (I), since 
                        September 11, 2001, or has been 
                        disabled while serving or performing, 
                        as described in subclause (I), as a 
                        result of such event; and
                  (B) enrolled as a full-time or part-time 
                student at an institution of higher education 
                (as defined in section 102).
          (3) Awarding of scholarships.--Scholarships awarded 
        under this subsection shall be awarded based on need 
        with priority given to eligible students who are 
        eligible to receive Federal Pell Grants under subpart 1 
        of part A of title IV.
          (4) Maximum scholarship amount.--The maximum 
        scholarship amount awarded to an eligible student under 
        this subsection for an academic year shall be the 
        lesser of--
                  (A) the difference between the eligible 
                student's cost of attendance (as defined in 
                section 472) and any non-loan based aid such 
                student receives; or
                  (B) $5,000.
          (5) Amounts for scholarships.--All of the amounts 
        appropriated to carry out this subsection for a fiscal 
        year shall be used for scholarships awarded under this 
        subsection, except that a nonprofit organization 
        receiving a contract under this subsection may use not 
        more than 1 percent of such amounts for the 
        administrative costs of the contract.
  (d) Center for Best Practices To Support Single Parent 
Students.--
          (1) Program authorized.--The Secretary is authorized 
        to award 1 grant or contract to an institution of 
        higher education to enable such institution to 
        establish and maintain a center to study and develop 
        best practices for institutions of higher education to 
        support single parents who are also students attending 
        such institutions.
          (2) Institution requirements.--The Secretary shall 
        award the grant or contract under this subsection to a 
        4-year institution of higher education that has 
        demonstrated expertise in the development of programs 
        to assist single parents who are students at 
        institutions of higher education, as shown by the 
        institution's development of a variety of targeted 
        services to such students, including on-campus housing, 
        child care, counseling, advising, internship 
        opportunities, financial aid, and financial aid 
        counseling and assistance.
          (3) Center activities.--The center funded under this 
        section shall--
                  (A) assist institutions implementing 
                innovative programs that support single parents 
                pursuing higher education;
                  (B) study and develop an evaluation protocol 
                for such programs that includes quantitative 
                and qualitative methodologies;
                  (C) provide appropriate technical assistance 
                regarding the replication, evaluation, and 
                continuous improvement of such programs; and
                  (D) develop and disseminate best practices 
                for such programs.
  (e) Prohibition.--No funds made available under this part may 
be used to provide financial assistance to students who do not 
meet the requirements of section 484(a)(5).

SEC. 742. BOARD OF THE FUND FOR THE IMPROVEMENT OF POSTSECONDARY 
                    EDUCATION.

  (a) * * *
  (b) Membership.--
          [(1) In general.--]The Secretary shall designate one 
        of the members of the Board as Chairperson of the 
        Board. A majority of the members of the Board shall be 
        public interest representatives, including students, 
        and a minority shall be educational representatives. 
        All members selected shall be individuals able to 
        contribute an important perspective on priorities for 
        improvement in postsecondary education and strategies 
        of educational and institutional change.
          [(2) Appointment of director.--The Secretary shall 
        appoint the Director of the Fund for the Improvement of 
        Postsecondary Education (hereafter in this part 
        referred to as the ``Director'').]
  (c) Duties.--The Board shall--
          (1) advise the Secretary [and the Director] on 
        priorities for the improvement of postsecondary 
        education and make such recommendations as the Board 
        may deem appropriate for the improvement of 
        postsecondary education and for the evaluation, 
        dissemination, and adaptation of demonstrated 
        improvements in postsecondary educational practice;
          (2) advise the Secretary [and the Director] on the 
        operation of the Fund for the Improvement of 
        Postsecondary Education, including advice on planning 
        documents, guidelines, and procedures for grant 
        competitions prepared by the Fund; and
  (d) Information and Assistance.--The [Director] Secretary 
shall make available to the Board such information and 
assistance as may be necessary to enable the Board to carry out 
its functions.

SEC. 743. ADMINISTRATIVE PROVISIONS.

  [(a) Technical Employees.--] The Secretary may appoint, for 
terms not to exceed 3 years, without regard to the provisions 
of title 5, United States Code, governing appointments in the 
competitive service, not more than 7 technical employees to 
administer this part who may be paid without regard to the 
provisions of chapter 51 and subchapter III of chapter 53 of 
such title relating to classification and General Schedule pay 
rates.
  [(b) Procedures.--The Director shall establish procedures for 
reviewing and evaluating grants and contracts made or entered 
into under this part. Procedures for reviewing grant 
applications or contracts for financial assistance under this 
section may not be subject to any review outside of officials 
responsible for the administration of the Fund for the 
Improvement of Postsecondary Education.]

SEC. 744. SPECIAL PROJECTS.

  (a) Grant Authority.--The [Director] Secretary is authorized 
to make grants to institutions of higher education, or 
consortia thereof, and such other public agencies and nonprofit 
organizations as the [Director] Secretary deems necessary for 
innovative projects concerning one or more areas of particular 
national need identified by the [Director] Secretary.

           *       *       *       *       *       *       *

  (c) Areas of National Need.--Areas of national need shall 
initially include, but shall not be limited to, the following:
          (1) * * *

           *       *       *       *       *       *       *

          (5) Establishment of academic programs including 
        graduate and undergraduate courses, seminars and 
        lectures, support of research, and development of 
        teaching materials for the purpose of supporting 
        faculty and academic programs that teach traditional 
        American history (including significant constitutional, 
        political, intellectual, economic, diplomatic, and 
        foreign policy trends, issues, and documents; the 
        history, nature, and development of democratic 
        institutions of which American democracy is a part; and 
        significant events and individuals in the history of 
        the United States).

SEC. 745. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part [$30,000,000 for fiscal year 1999] $40,000,000 for fiscal 
year 2009 and such sums as may be necessary for each of the 4 
succeeding fiscal years.

                    [PART C--URBAN COMMUNITY SERVICE

[SEC. 751. FINDINGS.

  [The Congress finds that--
          [(1) the Nation's urban centers are facing 
        increasingly pressing problems and needs in the areas 
        of economic development, community infrastructure and 
        service, social policy, public health, housing, crime, 
        education, environmental concerns, planning and work 
        force preparation;
          [(2) there are, in the Nation's urban institutions, 
        people with underutilized skills, knowledge, and 
        experience who are capable of providing a vast range of 
        services toward the amelioration of the problems 
        described in paragraph (1);
          [(3) the skills, knowledge and experience in these 
        urban institutions, if applied in a systematic and 
        sustained manner, can make a significant contribution 
        to the solution of such problems; and
          [(4) the application of such skills, knowledge and 
        experience is hindered by the limited funds available 
        to redirect attention to solutions to such urban 
        problems.

[SEC. 752. PURPOSE; PROGRAM AUTHORIZED.

  [(a) Purpose.--It is the purpose of this part to provide 
incentives to urban academic institutions to enable such 
institutions to work with private and civic organizations to 
devise and implement solutions to pressing and severe problems 
in their communities.
  [(b) Program Authorized.--The Secretary is authorized to 
carry out a program of providing assistance to eligible 
institutions to enable such institutions to carry out the 
activities described in section 754 in accordance with the 
provisions of this part.

[SEC. 753. APPLICATION FOR URBAN COMMUNITY SERVICE GRANTS.

  [(a) Application.--
          [(1) In general.--An eligible institution seeking 
        assistance under this part shall submit to the 
        Secretary an application at such time, in such form, 
        and containing or accompanied by such information and 
        assurances as the Secretary may require by regulation.
          [(2) Contents.--Each application submitted pursuant 
        to paragraph (1) shall--
                  [(A) describe the activities and services for 
                which assistance is sought; and
                  [(B) include a plan that is agreed to by the 
                members of a consortium that includes, in 
                addition to the eligible institution, one or 
                more of the following entities:
                          [(i) A community college.
                          [(ii) An urban school system.
                          [(iii) A local government.
                          [(iv) A business or other employer.
                          [(v) A nonprofit institution.
          [(3) Waiver.--The Secretary may waive the consortium 
        requirements described in paragraph (2) for any 
        applicant who can demonstrate to the satisfaction of 
        the Secretary that the applicant has devised an 
        integrated and coordinated plan which meets the purpose 
        of this part.
  [(b) Priority in Selection of Applications.--The Secretary 
shall give priority to applications that propose to conduct 
joint projects supported by other local, State, and Federal 
programs. In addition, the Secretary shall give priority to 
eligible institutions submitting applications that demonstrate 
the eligible institution's commitment to urban community 
service.
  [(c) Selection Procedures.--The Secretary shall, by 
regulation, develop a formal procedure for the submission of 
applications under this part and shall publish in the Federal 
Register an announcement of that procedure and the availability 
of funds under this part.

[SEC. 754. ALLOWABLE ACTIVITIES.

  [Funds made available under this part shall be used to 
support planning, applied research, training, resource 
exchanges or technology transfers, the delivery of services, or 
other activities the purpose of which is to design and 
implement programs to assist urban communities to meet and 
address their pressing and severe problems, such as the 
following:
          [(1) Work force preparation.
          [(2) Urban poverty and the alleviation of such 
        poverty.
          [(3) Health care, including delivery and access.
          [(4) Underperforming school systems and students.
          [(5) Problems faced by the elderly and individuals 
        with disabilities in urban settings.
          [(6) Problems faced by families and children.
          [(7) Campus and community crime prevention, including 
        enhanced security and safety awareness measures as well 
        as coordinated programs addressing the root causes of 
        crime.
          [(8) Urban housing.
          [(9) Urban infrastructure.
          [(10) Economic development.
          [(11) Urban environmental concerns.
          [(12) Other problem areas which participants in the 
        consortium described in section 753(a)(2)(B) concur are 
        of high priority in the urban area.
          [(13)(A) Problems faced by individuals with 
        disabilities regarding accessibility to institutions of 
        higher education and other public and private community 
        facilities.
          [(B) Amelioration of existing attitudinal barriers 
        that prevent full inclusion by individuals with 
        disabilities in their community.
          [(14) Improving access to technology in local 
        communities.

[SEC. 755. PEER REVIEW.

  The Secretary shall designate a peer review panel to review 
applications submitted under this part and make recommendations 
for funding to the Secretary. In selecting the peer review 
panel, the Secretary may consult with other appropriate 
Cabinet-level officials and with non-Federal organizations, to 
ensure that the panel will be geographically balanced and be 
composed of representatives from public and private 
institutions of higher education, labor, business, and State 
and local government, who have expertise in urban community 
service or in education.

[SEC. 756. DISBURSEMENT OF FUNDS.

  [(a) Multiyear Availability.--Subject to the availability of 
appropriations, grants under this part may be made on a 
multiyear basis, except that no institution, individually or as 
a participant in a consortium of such institutions, may receive 
such a grant for more than 5 years.
  [(b) Equitable Geographic Distribution.--The Secretary shall 
award grants under this part in a manner that achieves an 
equitable geographic distribution of such grants.
  [(c) Matching Requirement.--An applicant under this part and 
the local governments associated with the application shall 
contribute to the conduct of the program supported by the grant 
an amount from non-Federal funds equal to at least one-fourth 
of the amount of the grant, which contribution may be in cash 
or in kind.

[SEC. 757. DESIGNATION OF URBAN GRANT INSTITUTIONS.

  [The Secretary shall publish a list of eligible institutions 
under this part and shall designate these institutions of 
higher education as ``Urban Grant Institutions''. The Secretary 
shall establish a national network of Urban Grant Institutions 
so that the results of individual projects achieved in one 
metropolitan area can then be generalized, disseminated, 
replicated, and applied throughout the Nation. The information 
developed as a result of this section shall be made available 
to Urban Grant Institutions and to any other interested 
institution of higher education by any appropriate means.

[SEC. 758. DEFINITIONS.

  [As used in this part:
          [(1) Urban area.--The term ``urban area'' means a 
        metropolitan statistical area having a population of 
        not less than 350,000, or two contiguous metropolitan 
        statistical areas having a population of not less than 
        350,000, or, in any State which does not have a 
        metropolitan statistical area which has such a 
        population, the eligible entity in the State submitting 
        an application under section 753, or, if no such entity 
        submits an application, the Secretary, shall designate 
        one urban area for the purposes of this part.
          [(2) Eligible institution.--The term ``eligible 
        institution'' means--
                  [(A) a nonprofit municipal university, 
                established by the governing body of the city 
                in which it is located, and operating as of the 
                date of enactment of the Higher Education 
                Amendments of 1992 under that authority; or
                  [(B) an institution of higher education, or a 
                consortium of such institutions any one of 
                which meets all of the requirements of this 
                paragraph, which--
                          [(i) is located in an urban area;
                          [(ii) draws a substantial portion of 
                        its undergraduate students from the 
                        urban area in which such institution is 
                        located, or from contiguous areas;
                          [(iii) carries out programs to make 
                        postsecondary educational opportunities 
                        more accessible to residents of such 
                        urban area, or contiguous areas;
                          [(iv) has the present capacity to 
                        provide resources responsive to the 
                        needs and priorities of such urban area 
                        and contiguous areas;
                          [(v) offers a range of professional, 
                        technical, or graduate programs 
                        sufficient to sustain the capacity of 
                        such institution to provide such 
                        resources; and
                          [(vi) has demonstrated and sustained 
                        a sense of responsibility to such urban 
                        area and contiguous areas and the 
                        people of such areas.

[SEC. 759. AUTHORIZATION OF APPROPRIATIONS.

  [There are authorized to be appropriated $20,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years to carry out this part.]

              PART C--URBAN-SERVING RESEARCH UNIVERSITIES

SEC. 751. PURPOSE; PROGRAM AUTHORIZED.

  (a) Purpose.--It is the purpose of this part to provide 
incentives to urban-serving research universities to enable 
such universities to expand research knowledge and to develop 
and implement initiatives in partnership with community-based 
organizations and other public or nonprofit private entities to 
strengthen city economies, foster innovation and opportunity, 
and solve urban challenges.
  (b) Program Authorized.--The Secretary is authorized to award 
grants to urban-serving research universities to enable such 
universities to carry out the activities described in section 
753 in accordance with the provisions of this part.

SEC. 752. APPLICATION FOR URBAN-SERVING RESEARCH UNIVERSITY GRANTS.

  (a) Application.--An urban-serving research university 
seeking assistance under this part shall submit to the 
Secretary an application at such time, in such manner, and 
containing such information as the Secretary may reasonably 
require.
  (b) Priority in Selection of Applications.--The Secretary 
shall give priority to applications that propose to conduct 
joint projects supported by Federal, State, and local programs 
other than the program under this Act. In addition, the 
Secretary shall give priority to urban-serving research 
universities with a demonstrated record of effective engagement 
in serving the communities in which such universities are 
located.

SEC. 753. ALLOWABLE ACTIVITIES.

  An urban-serving research university shall use funds awarded 
under this part to further develop and apply research findings 
to the development, implementation, and ongoing evaluation of--
          (1) systemic initiatives with elementary and 
        secondary schools and other educational organizations 
        designed to--
                  (A) improve teacher quality and retention; or
                  (B) develop strategies to improve 
                postsecondary and workplace readiness, 
                particularly in fields related to science, 
                technology, engineering, and mathematics;
          (2) innovative economic revitalization efforts in 
        conjunction with community-based organizations and 
        other public or nonprofit private entities; or
          (3) public health outreach, education, and 
        intervention activities designed to reduce health 
        disparities in urban areas, in partnership with 
        community-based organizations and other public or 
        nonprofit private entities.

SEC. 754. DEFINITIONS.

  As used in this part:
          (1) Urban area.--The term ``urban area'' means a city 
        with a population of not less than 200,000 within a 
        metropolitan statistical area.
          (2) Urban-serving research university.--The term 
        ``urban-serving research university'' means a public 
        institution of higher education that--
                  (A) meets the requirements of section 101;
                  (B) is located in an urban area;
                  (C) has the capacity to conduct applicable 
                research, as demonstrated by awarding more than 
                10 doctoral degrees per academic year;
                  (D) draws a substantial portion of its 
                students from the urban area in which such 
                institution is located; and
                  (E) has demonstrated and sustained a sense of 
                responsibility to such urban area and the 
                people of such area.

SEC. 755. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part $50,000,000 for fiscal year 2009 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.

   PART D--[DEMONSTRATION PROJECTS] PROGRAMS TO ENSURE STUDENTS WITH 
            DISABILITIES RECEIVE A QUALITY HIGHER EDUCATION

                  Subpart 1--Quality Higher Education

SEC. 761. PURPOSES.

  It is the purpose of this [part] subpart to support model 
demonstration projects to provide technical assistance or 
professional development for faculty and administrators in 
institutions of higher education in order to provide students 
with disabilities a quality postsecondary education.

SEC. 762. GRANTS AUTHORIZED.

  (a) Competitive Grants Authorized.--The Secretary may award 
grants, contracts, and cooperative agreements, on a competitive 
basis, to institutions of higher education, of which at least 
two such grants shall be awarded to institutions that provide 
professional development and technical assistance in order for 
[students with learning disabilities] students with 
disabilities to receive a quality postsecondary education.
  (b) Duration; Activities.--
          (1) Duration.--Grants under this [part] subpart shall 
        be awarded for a period of 3 years.
          (2) Authorized activities.--Grants under this [part] 
        subpart shall be used to carry out one or more of the 
        following activities:
                  (A) Teaching methods and strategies.--The 
                development of innovative, effective, and 
                efficient teaching methods and strategies, 
                including methods and strategies consistent 
                with the principles of universal design for 
                learning to provide faculty and administrators 
                with the skills and supports necessary to teach 
                students with disabilities in order to improve 
                retention and completion. Such methods and 
                strategies may include inservice training, 
                professional development, customized and 
                general technical assistance, workshops, summer 
                institutes, distance learning, and training in 
                the use of assistive and educational 
                technology.
                  (B) Effective transition practices.--The 
                development of innovative, effective, and 
                efficient teaching methods and strategies to 
                ensure the smooth transition of students with 
                disabilities from high school to postsecondary 
                education.
                  [(B)] (C) Synthesizing research and 
                information.--Synthesizing research and other 
                information related to the provision of 
                postsecondary educational services to students 
                with disabilities.
                  (D) Distance learning.--The development of 
                innovative, effective, and efficient teaching 
                methods and strategies to provide faculty and 
                administrators with the ability to provide 
                accessible distance education programs or 
                classes that would enhance access of students 
                with disabilities to higher education, 
                including the use of accessible electronic 
                communication for instruction and advisement.
                  (E) Accessibility of education.--Making 
                postsecondary education more accessible to 
                students with disabilities through the use of 
                accessible instructional materials and 
                curriculum development, consistent with the 
                principles of universal design for learning.
                  [(C)] (F) Professional development and 
                training sessions.--Conducting professional 
                development and training sessions for faculty 
                and administrators from other institutions of 
                higher education to enable the faculty and 
                administrators to meet the postsecondary 
                educational needs of students with 
                disabilities.
          (3) Mandatory evaluation and dissemination.--Grants 
        under this [part] subpart shall be used for evaluation, 
        and dissemination to other institutions of higher 
        education, of the information obtained through the 
        activities described in [subparagraphs (A) through (C)] 
        subparagraphs (A) through (F).

           *       *       *       *       *       *       *

  (d) Report.--Not later than 3 years after the date of 
enactment of the College Opportunity and Affordability Act of 
2007, the Secretary shall prepare and disseminate a report 
reviewing the activities of the demonstration projects 
authorized under this subpart and providing guidance and 
recommendations on how successful projects can be replicated.

SEC. 763. APPLICATIONS.

   Each institution of higher education desiring to receive a 
grant, contract, or cooperative agreement under this [part] 
subpart shall submit an application to the Secretary at such 
time, in such manner, and accompanied by such information as 
the Secretary may require. Each application shall include--
          [(1) a description of how such institution plans to 
        address each of the activities required under this 
        part;]
          (1) a description of how such institution plans to 
        address the activities allowed under this subpart;
          (2) a description of how the institution consulted 
        with a broad range of people within the [institution to 
        develop] institution, including students with 
        disabilities, to develop activities for which 
        assistance is sought; [and]
          (3) a description of how the institution will 
        coordinate and collaborate with the office that 
        provides services to students with disabilities within 
        the institution[.]; and
          (4) a description of the extent to which an 
        institution will work to replicate the best practices 
        of institutions of higher education with demonstrated 
        success in serving students with disabilities.

SEC. 764. RULE OF CONSTRUCTION.

  Nothing in this [part] subpart shall be construed to impose 
any additional duty, obligation, or responsibility on an 
institution of higher education or on the institution's 
faculty, administrators, or staff than are required by section 
504 of the Rehabilitation Act of 1973 and the Americans with 
Disabilities Act of 1990.

SEC. 765. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated for this [part] 
subpart $10,000,000 for fiscal year[1999] 2009 and such sums as 
may be necessary for each of the 4 succeeding fiscal years.

    Subpart 2--National Technical Assistance Center; Commission on 
 Accessible Materials; Programs to Support Improved Access to Materials

SEC. 766. NATIONAL CENTER.

  (a) Purpose.--It is the purpose of this subpart to support 
the development of a national center to provide information and 
technical assistance for students with disabilities to improve 
the postsecondary recruitment, retention, and completion 
success rates of such students.
  (b) Establishment and Support.--The Secretary shall, by 
grant, contract, or cooperative agreement with an eligible 
entity or partnership of two or more eligible entities, provide 
for the establishment and support of a National Center for 
Information and Technical Support for Postsecondary Students 
with Disabilities (hereinafter in this subpart referred to as 
the ``Center'') which shall carry out the duties set forth in 
subsection (d).
  (c) Eligible Entity.--In this subpart, the term ``eligible 
entity'' means an institution of higher education or a private 
nonprofit organization with demonstrated expertise in--
          (1) supporting postsecondary students with 
        disabilities;
          (2) technical knowledge necessary for the accessible 
        dissemination of information; and
          (3) working with a diverse range of types of 
        institutions of higher education, including community 
        colleges.
  (d) Duties.--The duties of the Center shall include the 
following:
          (1) Assistance to students and families.--The Center 
        shall provide information and technical assistance to 
        students with disabilities, their families, and 
        disability support service personnel related to 
        practices supporting students across a broad spectrum 
        of disabilities, including--
                  (A) information to assist prospective 
                students with disabilities in planning their 
                postsecondary academic career while they are in 
                middle and secondary school;
                  (B) research-based supports, services, and 
                accommodations which are available in 
                postsecondary settings, including services 
                provided by other agencies such as vocational 
                rehabilitation;
                  (C) information on student mentoring and 
                networking opportunities; and
                  (D) successful recruitment and transition 
                programs in existence in postsecondary 
                institutions.
          (2) Assistance to institutions of higher education.--
        The Center shall provide information and technical 
        assistance to faculty, staff, and administrators of 
        institutions of higher education to improve the 
        services provided to, the accommodations for, the 
        retention rates of, and the completion rates of, 
        students with disabilities in higher education 
        settings, which may include--
                  (A) collection and dissemination of promising 
                practices and materials for accommodation and 
                support of students with disabilities;
                  (B) development and provision of training 
                modules for higher education faculty on 
                exemplary practices for accommodating and 
                supporting students with disabilities across a 
                range of academic fields; or
                  (C) development of Internet-based tutorials 
                for faculty, including graduate teaching 
                assistants and new faculty, on promising 
                practices related to support and retention of 
                students with disabilities in postsecondary 
                education.
          (3)  Information collection and dissemination.--The 
        Center shall be responsible for building and 
        maintaining a database of disability support services 
        information with respect to institutions of higher 
        education, which shall be available to the general 
        public through a website built to the highest technical 
        standards of accessibility currently practicable for 
        the broad spectrum of individuals with disabilities. 
        Such database and website shall include information 
        on--
                  (A) disability documentation requirements;
                  (B) support services available;
                  (C) links to financial aid;
                  (D) accommodations policies;
                  (E) accessible instructional materials;
                  (F) other topics relevant to students with 
                disabilities and prospective students with 
                disabilities; and
                  (G) the information in the report described 
                in paragraph (5).
          (4) Professional standards for disability support 
        personnel.--The Center shall consolidate and 
        disseminate information with respect to professional 
        standards in existence for disability support services 
        personnel and offices in institutions of higher 
        education and shall convene a panel of experts to 
        create and disseminate professional standards for such 
        personnel and offices.
          (5) Review and report.--The Center shall annually 
        prepare and disseminate a report analyzing the current 
        condition of postsecondary success for students with 
        disabilities. Such report shall include--
                  (A) a review of the activities of the 
                programs authorized under this part;
                  (B) enrollment and graduation rates of 
                students with disabilities in institutions of 
                higher education;
                  (C) guidance on how successful postsecondary 
                supports and services for students with 
                disabilities could be widely implemented at 
                institutions of higher education;
                  (D) guidance on how to reduce barriers to 
                full participation for students with 
                disabilities in higher education; and
                  (E) a description of activities necessary to 
                facilitate a substantial improvement in the 
                postsecondary success of such students.
  (e) Staffing of the Center.--The Center shall employ 
disability support personnel with proven expertise in providing 
training and technical assistance to practitioners. Such 
personnel shall provide technical assistance to individual 
colleges and universities seeking to provide appropriate 
supports and services to students with disabilities to improve 
enrollment, retention, and completion rates of such students.

SEC. 766A. ESTABLISHMENT OF ADVISORY COMMISSION ON ACCESSIBLE 
                    INSTRUCTIONAL MATERIALS IN POSTSECONDARY EDUCATION 
                    FOR STUDENTS WITH DISABILITIES.

  (a) Establishment.--
          (1) In general.--The Secretary shall establish a 
        commission to be known as the Advisory Commission on 
        Accessible Instructional Materials in Postsecondary 
        Education for Students with Disabilities, in this 
        subpart referred to as the ``Commission''.
          (2) Membership.--
                  (A) The Commission shall include one 
                representative of each of the following:
                          (i) Department of Education Office of 
                        Postsecondary Education.
                          (ii) Department of Education Office 
                        of Special Education and Rehabilitative 
                        Services.
                          (iii) Department of Education Office 
                        for Civil Rights.
                          (iv) Library of Congress National 
                        Digital Information and Infrastructure 
                        Preservation Program Copyright Working 
                        Group.
                          (v) Association on Higher Education 
                        and Disability.
                          (vi) Association of American 
                        Publishers.
                          (vii) Association of American 
                        University Presses.
                          (viii) National Association of 
                        College Stores.
                          (ix) National Council on Disability.
                  (B) The Commission shall be composed of at 
                least one but not more than two 
                representatives, as appointed by the Secretary, 
                of each of the following:
                          (i) Staff from institutions of higher 
                        education with demonstrated experience 
                        teaching or supporting students with 
                        print disabilities, representing each 
                        of the following:
                                  (I) Large public institution 
                                of higher education.
                                  (II) Small public institution 
                                of higher education.
                                  (III) Large private 
                                institution of higher 
                                education.
                                  (IV) Small private 
                                institution of higher 
                                education.
                                  (V) Large community college.
                                  (VI) Small community college.
                          (ii) Producers of materials in 
                        specialized formats, including each of 
                        the following:
                                  (I) Braille.
                                  (II) Audio or synthesized 
                                speech.
                                  (III) Digital media.
                          (iii) Developers of accessibility and 
                        publishing software and supporting 
                        technologies.
                          (iv) National organizations serving 
                        individuals with visual impairments 
                        that have demonstrated experience in 
                        technology evaluation research, 
                        academic publishing, production of 
                        material in accessible formats, and 
                        educational methodologies for such for 
                        individuals.
                          (v) Postsecondary students with 
                        visual impairment.
                          (vi) Postsecondary students with 
                        dyslexia or other learning disabilities 
                        related to reading.
                          (vii) Attorneys with expertise in 
                        copyright law.
                  (C) The Commission shall include at least 
                two, but not more than three, representatives 
                as appointed by the Secretary, of national 
                membership organizations representing 
                individuals with print disabilities, including 
                each of the following:
                          (i) Individuals with visual 
                        impairments.
                          (ii) Individuals with learning 
                        disabilities related to reading.
                  (D) The appointments of the members of the 
                Commission shall be made not later than 45 days 
                after the date of enactment of the College 
                Opportunity and Affordability Act of 2007.
          (3) Period of appointment; vacancies.--Members shall 
        be appointed for the life of the Commission. Any 
        vacancy in the Commission shall not affect its powers, 
        but shall be filled in the same manner as the original 
        appointment.
          (4) Initial meeting.--Not later than 30 days after 
        the date on which all members of the Commission have 
        been appointed, the Commission shall hold the 
        Commission's first meeting.
          (5) Meetings.--The Commission shall meet at the call 
        of the Chairperson. Meetings shall be publicly 
        announced in advance and open to the public.
          (6) Quorum.--A majority of the members of the 
        Commission shall constitute a quorum, but a lesser 
        number of members may hold hearings.
          (7) Chairperson and vice chairperson.--The Commission 
        shall select a chairperson and vice chairperson from 
        among the members of the Commission.
  (b) Duties of the Commission.--
          (1) Study.--
                  (A) In general.--The Commission shall conduct 
                a thorough study to assess the barriers, 
                systemic issues, and technical solutions 
                available which may affect or improve the 
                timely delivery and quality of accessible 
                instructional materials for postsecondary 
                students, faculty, and staff with print 
                disabilities, and make recommendations related 
                to the development of a comprehensive approach 
                that will ensure that postsecondary students 
                with print disabilities can access 
                instructional materials in specialized formats 
                in a timeframe comparable to the availability 
                of standard instructional materials for 
                students without disabilities.
                  (B) Existing information.--To the extent 
                practicable, in carrying out the study under 
                this paragraph, the Commission shall identify 
                and use existing research, recommendations, and 
                information from--
                          (i) the Model Demonstration Programs 
                        to Support Improved Access to 
                        Postsecondary Instructional Materials 
                        for Students with Print Disabilities, 
                        as described in section 766B;
                          (ii) the Advisory Council and the 
                        Technical Assistance and Development 
                        Centers of the National Instructional 
                        Materials Access Center;
                          (iii) the Library of Congress 
                        National Digital Information and 
                        Infrastructure Preservation Program 
                        Copyright Working Group;
                          (iv) the Association of Higher 
                        Education and Disabilities E-Text 
                        Solutions Working Group;
                          (v) the Recording for the Blind and 
                        Dyslexic's Technology Advisory 
                        Committee;
                          (vi) the Association of American 
                        Publishers Higher Education Division's 
                        Critical Issues Task Force; and
                          (vii) other existing research related 
                        to the creation and distribution of 
                        accessible instructional materials for 
                        students with print disabilities.
                  (C) Recommendations.--The Commission shall 
                develop recommendations to be used to inform 
                Federal regulation and legislation, to identify 
                best practices for systems of creating, 
                collecting, maintaining, processing, and 
                disseminating materials in specialized formats 
                to eligible students, faculty, and staff while 
                providing adequate copyright protections. In 
                developing such recommendations, the Commission 
                shall consider--
                          (i) how to ensure that students with 
                        print disabilities may obtain 
                        instructional materials in accessible 
                        formats within a timeframe comparable 
                        to the availability of materials for 
                        students without disabilities;
                          (ii) the feasibility and technical 
                        parameters of establishing national 
                        standardized electronic file formats 
                        such as, but not limited to, the 
                        National Instructional Materials 
                        Accessibility Standard as defined in 
                        section 674(e)(3)(B) of the Individuals 
                        with Disabilities Education Act, to be 
                        provided by publishers of instructional 
                        materials to producers of specialized 
                        formats, institutions of higher 
                        education, and eligible students;
                          (iii) the feasibility of the 
                        establishment of a national 
                        clearinghouse, repository, or file-
                        sharing network for electronic files in 
                        specialized formats and files used in 
                        producing instructional materials in 
                        specialized formats, and a list of 
                        possible entities qualified to 
                        administer such a clearinghouse, 
                        repository, or network;
                          (iv) the feasibility of including 
                        such a national clearinghouse, 
                        repository, or file-sharing network in 
                        the duties of the Center described in 
                        section 766;
                          (v) market-based solutions involving 
                        collaborations between publishers of 
                        instructional materials, producers of 
                        specialized formats, and institutions 
                        of higher education, including--
                                  (I) barriers and 
                                opportunities to market entry;
                                  (II) unique concerns 
                                affecting university presses, 
                                small publishers, and solutions 
                                incorporating such works into a 
                                shared system; and
                                  (III) solutions utilizing 
                                universal design;
                          (vi) solutions for low-incidence, 
                        high-cost requests for materials in 
                        specialized formats; and
                          (vii) definitions of instructional 
                        materials, authorized entities, and 
                        eligible students.
          (2) Report.--Not later than 24 months after the first 
        meeting, the Commission shall submit a report to the 
        Secretary and to Congress that shall contain a detailed 
        statement of the findings and conclusions of the 
        Commission resulting from the study under subsection 
        (a), together with the Commission's recommendations for 
        such legislation and administrative actions as the 
        Commission considers to be appropriate to implement the 
        development of a comprehensive approach that will 
        ensure that postsecondary students with print 
        disabilities can access instructional materials in 
        specialized formats in a timeframe comparable to the 
        availability of standard instructional materials for 
        students without disabilities.
          (3) Facilitation of exchange of information.--In 
        carrying out the study under subsection (a), the 
        Commission shall, to the extent practicable, facilitate 
        the exchange of information concerning the issues that 
        are the subject of the study among--
                  (A) officials of the Federal Government;
                  (B) educators from Federal, State, and local 
                institutions of higher education and secondary 
                schools;
                  (C) publishers of instructional materials;
                  (D) producers of materials in specialized 
                formats;
                  (E) representatives from the community of 
                individuals with print disabilities; and
                  (F) participants in the Model Demonstration 
                Programs to Support Improved Access to 
                Postsecondary Instructional Materials for 
                Students with Print Disabilities, as described 
                in section 766B.
  (c) Commission Personnel Matters.--
          (1) Compensation of members.--Each member of the 
        Commission who is not an officer or employee of the 
        Federal Government shall serve without compensation. 
        All members of the Commission who are officers or 
        employees of the United States shall serve without 
        compensation in addition to that received for their 
        services as officers or employees of the United States.
          (2) Travel expenses.--The members of the Commission 
        shall be allowed travel expenses, including per diem in 
        lieu of subsistence, at rates authorized for employees 
        of agencies under subchapter I of chapter 57 of title 
        5, United States Code, while away from their homes or 
        regular places of business in the performance of 
        services for the Commission.
          (3) Staff.--
                  (A) In general.--The Chairperson of the 
                Commission may, without regard to the civil 
                service laws and regulations, appoint and 
                terminate an executive director and such other 
                additional personnel as may be necessary to 
                enable the Commission to perform the 
                Commission's duties. The employment of an 
                executive director shall be subject to 
                confirmation by the Commission.
                  (B) Compensation.--The Chairperson of the 
                Commission may fix the compensation of the 
                executive director and other personnel without 
                regard to the provisions of chapter 51 and 
                subchapter III of chapter 53 of title 5, United 
                States Code, relating to classification of 
                positions and General Schedule pay rates, 
                except that the rate of pay for the executive 
                director and other personnel may not exceed the 
                rate payable for level V of the Executive 
                Schedule under section 5316 of such title.
          (4) Detail of government employees.--Any Federal 
        Government employee may be detailed to the Commission 
        without reimbursement, and such detail shall be without 
        interruption or loss of civil service status or 
        privilege.
          (5) Procurement of temporary and intermittent 
        services.--The Chairperson of the Commission may 
        procure temporary and intermittent services under 
        section 3109(b) of title 5, United States Code, at 
        rates for individuals that do not exceed the daily 
        equivalent of the annual rate of basic pay prescribed 
        for level V of the Executive Schedule under section 
        5316 of such title.
  (d) Termination of the Commission.--The Commission shall 
terminate on the date that is 90 days after the date on which 
the Commission submits the Commission's report under subsection 
(b)(2).

SEC. 766B. MODEL DEMONSTRATION PROGRAMS TO SUPPORT IMPROVED ACCESS TO 
                    POSTSECONDARY INSTRUCTIONAL MATERIALS FOR STUDENTS 
                    WITH PRINT DISABILITIES.

  (a) Purpose.--It is the purpose of this section to support 
model demonstration programs to encourage the development of 
systems to improve the timely delivery and quality of 
postsecondary instructional materials in specialized formats to 
students with print disabilities, including systems to improve 
efficiency and reduce duplicative efforts across multiple 
institutions of higher education.
  (b) In General.--The Secretary shall, on a competitive basis, 
award grants to, and enter into cooperative agreements with, a 
minimum of one partnership of two or more eligible entities to 
support the activities described in subsections (d) and (e).
  (c) Partnership of Eligible Entities.--In this section, a 
partnership of two or more eligible entities--
          (1) shall include--
                  (A) an institution of higher education with 
                demonstrated expertise in meeting the needs of 
                students with print disabilities, including 
                retention and completion of such students; and
                  (B) a public or private entity with 
                demonstrated expertise in working with the 
                creation of accessible instructional materials 
                in specialized formats for postsecondary 
                students with print disabilities, and the 
                technical development expertise necessary for 
                the efficient dissemination of such materials, 
                including procedures to protect against 
                copyright infringement with respect to the 
                creation, use, and distribution of print course 
                materials in specialized formats; and
          (2) may include one or more publishers of 
        instructional materials.
  (d) Required Activities.--The Secretary shall support the 
development and implementation of the following:
          (1) Processes and systems to help identify, and 
        verify eligibility of, postsecondary students with 
        print disabilities in need of instructional materials 
        in specialized formats.
          (2) Procedures and systems to facilitate and simplify 
        request methods for accessible instructional materials 
        in specialized formats from eligible students, which 
        may include a single point-of-entry system.
          (3) Procedures and systems to coordinate between 
        institutions of higher education, publishers of 
        instructional materials, and entities that produce 
        materials in specialized formats, to efficiently 
        facilitate requests for such materials, the responses 
        to such requests, and the delivery of such materials.
          (4) Delivery systems that will ensure the timely 
        provision of instructional materials in specialized 
        formats to eligible students, which may include 
        electronic file distribution.
          (5) Systems to encourage reduction of duplicative 
        conversions of the same instructional materials for 
        multiple eligible students at multiple institutions of 
        higher education when such conversions may be shared.
          (6) Procedures to protect against copyright 
        infringement with respect to the creation, use, and 
        distribution of instructional materials while 
        maintaining accessibility for students with print 
        disabilities, which may include digital technologies 
        such as watermarking, fingerprinting, and other 
        emerging strategies.
          (7) Awareness, outreach, and training activities for 
        faculty, staff, and students related to the acquisition 
        and dissemination of instructional materials in 
        specialized formats and instructional materials 
        utilizing universal design.
          (8) Evaluation of the effectiveness of the programs 
        under this section.
          (9) Guidance on how successful procedures and systems 
        described in paragraphs (1) through (7) could be 
        disseminated and implemented on a national basis.
  (e) Authorized Activities.--The Secretary may support the 
development and implementation of the following:
          (1) Approaches limited to instructional materials 
        used in smaller categories of postsecondary courses, 
        such as introductory, first-, and second-year courses.
          (2) Market-based approaches for making instructional 
        materials in specialized formats directly available to 
        eligible students at prices comparable to standard 
        instructional materials.
          (3) Approaches supporting a unified search across 
        multiple databases or lists of available materials.
  (f) Application.--A partnership of eligible entities that 
wishes to apply for a grant under this section shall submit an 
application for such grant at such time, in such manner and in 
such format as the Secretary may prescribe. The application 
shall include information on how the partnership will implement 
activities under subsection (d) and, as applicable, subsection 
(e).
  (g) Priority.--In awarding grants under this section, the 
Secretary shall give priority consideration to any applications 
that include development and implementation of the procedures 
and systems described in subsection (e)(2) or (e)(3).
  (h) Report to Congress.--The Secretary shall submit annually 
to the authorizing committees a report that includes--
          (1) the number of grants and the amount of funds 
        distributed under this section;
          (2) a summary of the purposes for which the grants 
        were provided and an evaluation of the progress made 
        under such grants;
          (3) a summary of the activities implemented under 
        subsection (d) and, as applicable, subsection (e), 
        including data on the number of students served and the 
        number of instructional material requests executed and 
        delivered in specialized formats; and
          (4) an evaluation of the effectiveness of programs 
        funded under this section.
  (i) Model Expansion.--After 3 years, the Secretary shall 
review the results of the evaluations of participating 
partnerships, as well as the Commission report described in 
section 766A. If the Secretary finds that models used under 
this section are effective in improving the timely delivery and 
quality of materials in specialized formats and provide 
adequate protections against copyright infringement, the 
Secretary may expand the demonstration program to additional 
grantees reflecting regional and programmatic partnerships.
  (j) Model Expansion Special Rule.--The Commission's 
recommendations shall be submitted to the Secretary and a 
public comment period shall be issued prior to any expansion 
under subsection (i). No later than 90 days after close of 
public comment period, the Secretary shall issue guidance to 
new and existing grantees, taking into consideration the final 
Commission recommendations and public comments.
  (k) Rule of Construction.--Nothing in this subpart shall be 
construed to limit or preempt any State law requiring the 
production or distribution of postsecondary instructional 
materials in accessible formats to students with disabilities.

SEC. 766C. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
subpart such sums as may be necessary for fiscal year 2009 and 
each of the 4 succeeding fiscal years.

     Subpart 3--Transition Programs for Students With Intellectual 
        Disabilities Into Higher Education; Coordinating Center

SEC. 767. PURPOSE.

  The purpose of this subpart is to support model demonstration 
programs that promote the successful transition of students 
with intellectual disabilities into higher education.

SEC. 768. DEFINITIONS.

  In this subpart:
          (1) Comprehensive transition and postsecondary 
        program for students with intellectual disabilities.--
        The term ``comprehensive transition and postsecondary 
        program for students with intellectual disabilities'' 
        means a degree, certificate, or nondegree program that 
        is--
                  (A) offered by an institution of higher 
                education; and
                  (B) is described in section 484(s)(3).
          (2) Student with an intellectual disability.--The 
        term ``student with an intellectual disability'' means 
        a student who meets the criteria described in 
        paragraphs (1) through (4) of section 484(s).

SEC. 769. MODEL COMPREHENSIVE TRANSITION AND POSTSECONDARY PROGRAMS FOR 
                    STUDENTS WITH INTELLECTUAL DISABILITIES.

  (a) Grants Authorized.--
          (1) In general.--The Secretary shall annually award 
        grants, on a competitive basis, to institutions of 
        higher education (or consortia of institutions of 
        higher education), to create or expand high-quality, 
        inclusive model comprehensive transition and 
        postsecondary programs for students with intellectual 
        disabilities.
          (2) Duration of grants.--A grant under this section 
        shall be awarded for a period of 5 years.
  (b) Application.--An institution of higher education (or a 
consortium) desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require.
  (c) Preference.--In awarding grants under this section, the 
Secretary shall give preference to institutions of higher 
education (or consortia) that--
          (1) will carry out a model program under the grant in 
        a State that does not already have a comprehensive 
        transition and postsecondary program for students with 
        intellectual disabilities; or
          (2) in the application submitted under subsection 
        (b), agree to incorporate 1 or more of the following 
        elements into the model programs carried out under the 
        grant:
                  (A) The formation of a partnership with any 
                relevant agency serving students with 
                intellectual disabilities, such as a vocational 
                rehabilitation agency.
                  (B) In the case of an institution of higher 
                education that provides institutionally owned 
                or operated housing for students attending the 
                institution, the integration of students with 
                intellectual disabilities into such housing.
                  (C) The involvement of students attending the 
                institution of higher education who are 
                studying special education, general education, 
                vocational rehabilitation, assistive 
                technology, or related fields in the model 
                program carried out under the grant.
  (d) Use of Funds.--An institution of higher education (or 
consortium) receiving a grant under this section shall use the 
grant funds to establish a model comprehensive transition and 
postsecondary program for students with intellectual 
disabilities that--
          (1) serves students with intellectual disabilities;
          (2) provides individual supports and services for the 
        academic and social inclusion of students with 
        intellectual disabilities in academic courses, 
        extracurricular activities, and other aspects of the 
        institution of higher education's regular postsecondary 
        program;
          (3) with respect to the students with intellectual 
        disabilities participating in the model program, 
        provides a focus on--
                  (A) academic enrichment;
                  (B) socialization;
                  (C) independent living, including self-
                advocacy skills; and
                  (D) integrated work experiences and career 
                skills that lead to gainful employment;
          (4) integrates person-centered planning in the 
        development of the course of study for each student 
        with an intellectual disability participating in the 
        model program;
          (5) participates with the coordinating center 
        established under section 770 in the evaluation of the 
        model program;
          (6) partners with 1 or more local educational 
        agencies to support the participation of students with 
        intellectual disabilities in the model program who are 
        still eligible for special education and related 
        services under the Individuals with Disabilities 
        Education Act, including regarding the utilization of 
        funds available under part B of such Act for such 
        students;
          (7) plans for the sustainability of the model program 
        after the end of the grant period; and
          (8) creates and offers a meaningful credential for 
        students with intellectual disabilities upon the 
        completion of the model program.
  (e) Matching Requirement.--An institution of higher education 
that receives a grant under this section shall provide matching 
funds toward the cost of the model comprehensive transition and 
postsecondary program for students with intellectual 
disabilities carried out under the grant, which may be provided 
in cash or in kind, in an amount not less than 25 percent of 
the amount of such grant funds.
  (f) Report.--Not later than 3 years after the date of 
enactment of the College Opportunity and Affordability Act of 
2007, the Secretary shall prepare and disseminate a report to 
the authorizing committees and to the public that reviews the 
activities of the model comprehensive transition and 
postsecondary programs for students with intellectual 
disabilities authorized under this subpart and provides 
guidance and recommendations on how successful programs can be 
replicated.

SEC. 770. COORDINATING CENTER FOR TECHNICAL ASSISTANCE, EVALUATION, AND 
                    DEVELOPMENT OF ACCREDITATION STANDARDS.

  (a) In General.--
          (1) Award.--The Secretary shall, on a competitive 
        basis, enter into a cooperative agreement with an 
        eligible entity, for the purpose of establishing a 
        coordinating center for technical assistance, 
        evaluation, and development of accreditation standards 
        for institutions of higher education that offer 
        inclusive model comprehensive transition and 
        postsecondary programs for students with intellectual 
        disabilities.
          (2) Duration.--The cooperative agreement under this 
        section shall be for a period of 5 years.
  (b) Requirements of Cooperative Agreement.--The eligible 
entity entering into a cooperative agreement under this section 
shall establish and maintain a center that shall--
          (1) serve as the technical assistance entity for all 
        model comprehensive transition and postsecondary 
        programs for students with intellectual disabilities 
        assisted under section 769;
          (2) provide technical assistance regarding the 
        development, evaluation, and continuous improvement of 
        such programs;
          (3) develop an evaluation protocol for such programs 
        that includes qualitative and quantitative methodology 
        measuring student outcomes and program strengths in the 
        areas of academic enrichment, socialization, 
        independent living, and competitive or supported 
        employment;
          (4) assist recipients of grants under section 769 in 
        efforts to award a meaningful credential to students 
        with intellectual disabilities upon the completion of 
        such programs, which credential takes into 
        consideration unique State factors;
          (5) develop model criteria, standards, and procedures 
        to be used in accrediting such programs that--
                  (A) include, in the development of the model 
                criteria, standards, and procedures for such 
                programs, the participation of--
                          (i) an expert in higher education;
                          (ii) an expert in special education;
                          (iii) a disability organization that 
                        represents students with intellectual 
                        disabilities; and
                          (iv) a national, State, or regional 
                        accrediting agency or association 
                        recognized by the Secretary under 
                        subpart 2 of part H of title IV; and
                  (B) define the necessary components of such 
                programs, such as--
                          (i) academic, vocational, social, and 
                        independent living skills;
                          (ii) evaluation of student progress;
                          (iii) program administration and 
                        evaluation;
                          (iv) student eligibility; and
                          (v) issues regarding the equivalency 
                        of a student's participation in such 
                        programs to semester, trimester, 
                        quarter, credit, or clock hours at an 
                        institution of higher education, as the 
                        case may be;
          (6) analyze possible funding streams for such 
        programs and provide recommendations regarding funding 
        streams;
          (7) develop model memoranda of agreement between 
        institutions of higher education and agencies providing 
        funding for such programs;
          (8) develop mechanisms for regular communication 
        between the recipients of grants under section 769 
        regarding such programs; and
          (9) host a meeting of all recipients of grants under 
        section 769 not less often than once each year.
  (c) Definition of Eligible Entity.--In this section, the term 
``eligible entity'' means an entity, or a partnership of 
entities, that has demonstrated expertise in the fields of 
higher education, students with intellectual disabilities, the 
development of comprehensive transition and postsecondary 
programs for students with intellectual disabilities, 
evaluation, and technical assistance.

SEC. 770A. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated such sums as may be 
necessary to carry out this subpart for fiscal year 2009 and 
each of the 4 succeeding fiscal years.

             PART E--COLLEGE ACCESS CHALLENGE GRANT PROGRAM

SEC. 771. COLLEGE ACCESS CHALLENGE GRANT PROGRAM.

  (a) * * *

           *       *       *       *       *       *       *

  (e) Subgrants to Nonprofit Organizations.--A State receiving 
a payment under this section may elect to make a subgrant to 
one or more nonprofit organizations in the State, including an 
eligible not-for-profit holder (as defined in section 435(p) of 
the Higher Education Act of 1965, as amended by section 303 of 
this Act), or those who have agreements with the Secretary 
under section 435(d)(5)(J), or a partnership of such 
organizations, to carry out activities or services described in 
subsection (f), if the nonprofit organization or partnership--
          (1) * * *

           *       *       *       *       *       *       *


                       PART F--NURSING EDUCATION

SEC. 776. ADDITIONAL CAPACITY FOR R.N. STUDENTS OR GRADUATE-LEVEL 
                    NURSING STUDENTS.

  (a) Authorization.--The Secretary shall award grants to 
institutions of higher education that offer--
          (1) a R.N. nursing program at the baccalaureate or 
        associate degree level to enable such program to expand 
        the faculty and facilities of such program to 
        accommodate additional R.N. nursing program students; 
        or
          (2) a graduate-level nursing program to accommodate 
        advanced practice degrees for Registered Nurses or to 
        accommodate students enrolled in a graduate-level 
        nursing program to provide teachers of nursing 
        students.
  (b) Determination of Number of Students and Application.--
Each institution of higher education that offers a program 
described in subsection (a) that desires to receive a grant 
under this section shall--
          (1) determine for the 4 academic years preceding the 
        academic year for which the determination is made the 
        average number of matriculated nursing program students 
        at such institution for such academic years; and
          (2) submit an application to the Secretary at such 
        time, in such manner, and accompanied by such 
        information as the Secretary may require, including the 
        average number determined under paragraph (1).
  (c) Grant Amount; Award Basis.--
          (1) Grant amount.--For each academic year after 
        academic year 2008-2009, the Secretary is authorized to 
        provide to each institution of higher education awarded 
        a grant under this section an amount that is equal to 
        $3,000 multiplied by the number of matriculated nursing 
        program students at such institution for such academic 
        year that is more than the average number determined 
        with respect to such institution under subsection 
        (b)(1). Such amount shall be used for the purposes 
        described in subsection (a).
          (2) Distribution of grants among different degree 
        programs.--
                  (A) In general.--Subject to subparagraph (B), 
                from the funds available to award grants under 
                this section for each fiscal year, the 
                Secretary shall--
                          (i) use 20 percent of such funds to 
                        award grants under this section to 
                        institutions of higher education for 
                        the purpose of accommodating advanced 
                        practice degrees or students in 
                        graduate-level nursing programs;
                          (ii) use 40 percent of such funds to 
                        award grants under this section to 
                        institutions of higher education for 
                        the purpose of expanding R.N. nursing 
                        programs at the baccalaureate degree 
                        level; and
                          (iii) use 40 percent of such funds to 
                        award grants under this section to 
                        institutions of higher education for 
                        the purpose of expanding R.N. nursing 
                        programs at the associate degree level.
                  (B) Distribution of excess funds.--If, for a 
                fiscal year, funds described in clause (i), 
                (ii), or (iii) of subparagraph (A) remain 
                available after the Secretary awards grants 
                under this section to all applicants for the 
                particular category of nursing programs 
                described in such clause, the Secretary shall 
                use equal amounts of the remaining funds to 
                award grants under this section to applicants 
                for the remaining categories of nursing 
                programs.
                  (C) Equitable distribution.--In awarding 
                grants under this section, the Secretary shall, 
                to the extent practicable, ensure--
                          (i) an equitable geographic 
                        distribution of the grants among the 
                        States; and
                          (ii) an equitable distribution of the 
                        grants among different types of 
                        institutions of higher education.
  (d) Prohibition.--
          (1) Use of funds.--Funds provided under this section 
        may not be used for the construction of new facilities.
          (2) Rule of construction.--Nothing in paragraph (1) 
        shall be construed to prohibit funds provided under 
        this section from being used for the repair or 
        renovation of facilities.

SEC. 777. NURSE FACULTY PILOT PROJECT.

  (a) Purposes.--The purposes of this section are to create a 
pilot program--
          (1) to provide scholarships to qualified nurses in 
        pursuit of an advanced degree with the goal of becoming 
        faculty members in an accredited nursing program; and
          (2) to provide grants to partnerships between 
        accredited schools of nursing and hospitals or health 
        facilities to fund release time for qualified nurse 
        employees, so that those employees can earn a salary 
        while obtaining an advanced degree in nursing with the 
        goal of becoming nurse faculty.
  (b) Assistance Authorized.--
          (1) Competitive grants authorized.--The Secretary 
        may, on a competitive basis, award grants to, and enter 
        into contracts and cooperative agreements with, 
        partnerships composed of an accredited school of 
        nursing at an institution of higher education and a 
        hospital or health facility to establish not more than 
        5 pilot projects to enable such hospital or health 
        facility to retain its staff of experienced nurses 
        while providing a mechanism to have such nurses become, 
        through an accelerated nursing education program, 
        faculty members of an accredited school of nursing.
          (2) Duration; evaluation and dissemination.--
                  (A) Duration.--Grants under this section 
                shall be awarded for a period of 3 to 5 years.
                  (B) Mandatory evaluation and dissemination.--
                Grants under this section shall be primarily 
                used for evaluation, and dissemination to other 
                institutions of higher education, of the 
                information obtained through the activities 
                described in subsection (a)(2).
          (3) Considerations in making awards.--In awarding 
        grants and entering into contracts and cooperative 
        agreements under this section, the Secretary shall 
        consider the following:
                  (A) Geographic distribution.--Providing an 
                equitable geographic distribution of such 
                grants.
                  (B) Rural and urban areas.--Distributing such 
                grants to urban and rural areas.
                  (C) Range and type of institution.--Ensuring 
                that the activities to be assisted are 
                developed for a range of types and sizes of 
                institutions of higher education.
                  (D) Prior experience or exceptional 
                programs.--The extent to which institutions of 
                higher education have demonstrated prior 
                experience in providing advanced nursing 
                education programs to prepare nurses interested 
                in pursuing a faculty role.
          (4) Uses of funds.--Funds made available by grant, 
        contract, or cooperative agreement under this section 
        may be used--
                  (A) to develop a new national demonstration 
                initiative to align nursing education with the 
                emerging challenges of healthcare delivery; and
                  (B) for any one or more of the following 
                innovations in educational programs:
                          (i) To develop a clinical simulation 
                        laboratory in a hospital, health 
                        facility, or accredited school of 
                        nursing.
                          (ii) To purchase distance learning 
                        technologies.
                          (iii) To fund release time for 
                        qualified nurses enrolled in the 
                        graduate nursing program.
                          (iv) To provide for faculty salaries.
                          (v) To collect and analyze data on 
                        educational outcomes.
  (c) Applications.--Each partnership desiring to receive a 
grant, contract, or cooperative agreement under this section 
shall submit an application to the Secretary at such time, in 
such manner, and accompanied by such information as the 
Secretary may require. Each application shall include 
assurances that--
          (1) the individuals enrolled in the program will be 
        qualified nurses in pursuit of a master's or doctoral 
        degree in nursing and have a contractual obligation 
        with the hospital or health facility that is in 
        partnership with the institution of higher education;
          (2) the hospital or health facility of employment 
        will be the clinical site for the accredited school of 
        nursing program;
          (3) individuals enrolled in the program will maintain 
        their employment on a part-time basis with the hospital 
        or health facility that allowed them to participate in 
        the program, and will receive an income from the 
        hospital or health facility, as a part-time employee, 
        and release times or flexible schedules to accommodate 
        their class schedule; and
          (4) upon completion of the program, such individuals 
        will be required to teach for 2 years in an accredited 
        school of nursing for each year of support the 
        individual received under this program.
  (d) Definition.--For purposes of this section, the term 
``health facility'' means an Indian Health Service center, a 
Native Hawaiian health center, a hospital, a federally 
qualified health center, a rural health clinic, a nursing home, 
a home health agency, a hospice program, a public health 
clinic, a State or local department of public health, a skilled 
nursing facility, or an ambulatory surgical center.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section not more than 
$10,000,000 for fiscal year 2009 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.

                    TITLE VIII--ADDITIONAL PROGRAMS

SEC. 800. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
title such sums as may be necessary for fiscal year 2009 and 
each of the 4 succeeding fiscal years.

                          PART A--LOW TUITION

SEC. 801. INCENTIVES AND REWARDS FOR LOW TUITION.

  (a) Rewards for Low Tuition.--
          (1) Competitive grants.--From funds made available 
        under section 800, the Secretary shall award grants on 
        a competitive basis to institutions of higher education 
        that, for academic year 2008-2009 or any succeeding 
        academic year, have an annual net tuition increase 
        (expressed as a percentage) for the most recent 
        academic year for which satisfactory data is available 
        that is equal to or less than the percentage change in 
        the higher education price index for such academic 
        year.
          (2) Use of funds.--Funds awarded to an institution of 
        higher education under paragraph (1) shall be 
        distributed by the institution in the form of need-
        based grant aid to students who are eligible for 
        Federal Pell Grants, except that no student shall 
        receive an amount under this section that would cause 
        the amount of total financial aid received by such 
        student to exceed the cost of attendance of the 
        institution.
  (b) Rewards for Guaranteed Tuition.--
          (1) Bonus.--For each institution of higher education 
        that the Secretary determines complies with the 
        requirements of paragraph (2) or (3) of this 
        subsection, the Secretary shall provide to such 
        institution a bonus amount. Such institution shall 
        award the bonus amount in the form of need-based aid 
        first to students who are eligible for Federal Pell 
        Grants who were in attendance at the institution during 
        the award year that such institution satisfied the 
        eligibility criteria for maintaining low tuition and 
        fees, then to students who are eligible for Federal 
        Pell Grants who were not in attendance at the 
        institution during such award year.
          (2) 4-year institutions.--An institution of higher 
        education that provides a program of instruction for 
        which it awards a bachelor's degree complies with the 
        requirements of this paragraph if such institution 
        guarantees that for any academic year (or the 
        equivalent) beginning on or after July 1, 2008, and for 
        each of the 4 succeeding continuous academic years, the 
        net tuition charged to an undergraduate student will 
        not exceed--
                  (A) the amount that the student was charged 
                for an academic year at the time he or she 
                first enrolled in the institution of higher 
                education, plus
                  (B) the product of the percentage increase in 
                the higher education price index for the prior 
                academic year, or the most recent prior 
                academic year for which data is available, 
                multiplied by the amount determined under 
                subparagraph (A).
          (3) Less-than 4-year institutions.--An institution of 
        higher education that does not provide a program of 
        instruction for which it awards a bachelor's degree 
        complies with the requirements of this paragraph if 
        such institution guarantees that for any academic year 
        (or the equivalent) beginning on or after July 1, 2008, 
        and for each of the 1.5 succeeding continuous academic 
        years, the net tuition charged to an undergraduate 
        student will not exceed--
                  (A) the amount that the student was charged 
                for an academic year at the time he or she 
                first enrolled in the institution of higher 
                education, plus
                  (B) the product of the percentage increase in 
                the higher education price index for the prior 
                academic year, or the most recent prior 
                academic year for which data is available, 
                multiplied by the amount determined under 
                subparagraph (A).
  (c) Maintaining Affordable Tuition.--
          (1) Institution reports.--If an institution of higher 
        education has an increase in annual net tuition 
        (expressed as a percentage), for the most recent 
        academic year for which satisfactory data is available, 
        that is greater than the percentage increase in the 
        higher education price index for such academic year, 
        the institution or a representative association is 
        required to submit to the Secretary the following 
        information, within 6 months of such determination:
                  (A) A report on the factors contributing to 
                the increase in the institution's costs and the 
                increase in net tuition and fees charged to 
                students, including identification of the major 
                areas in the institution's budget with the 
                greatest cost increases.
                  (B) The institution's 3 most recent Form 990s 
                submitted to the Internal Revenue Service, as 
                required under section 6033 of the Internal 
                Revenue Code of 1986.
                  (C) A description of the major areas of 
                expenditures in the institution's budget with 
                the greatest increase for such academic year.
                  (D) A description of actions being taken by 
                the institution to reduce net tuition.
          (2) Report to congress.--The Secretary shall compile 
        the information submitted under this subsection and 
        shall provide to the authorizing committees an annual 
        report relating to such information.
  (d) Definitions.--In this section:
          (1) Net tuition.--The term ``net tuition'' means the 
        average tuition and fees charged to a full-time 
        undergraduate student by an institution of higher 
        education for an academic year, minus the average grant 
        amount received by such a student for such academic 
        year.
          (2) Higher education price index.--The term ``higher 
        education price index'' means the higher education 
        price index developed pursuant to section 133(b).

                     PART B--COOPERATIVE EDUCATION

SEC. 811. STATEMENT OF PURPOSE; DEFINITION.

  (a) Purpose.--It is the purpose of this part to award grants 
to institutions of higher education or combinations of such 
institutions to encourage such institutions to develop and make 
available to as many of their students as possible work 
experience that will aid such students in future careers and 
will enable such students to support themselves financially 
while in school.
  (b) Definition.--In this part the term ``cooperative 
education'' means the provision of alternating or parallel 
periods of academic study and public or private employment to 
give students work experiences related to their academic or 
occupational objectives and an opportunity to earn the funds 
necessary for continuing and completing their education.

SEC. 812. RESERVATIONS.

  (a) Reservations.--Of the amount appropriated to carry out 
this part under section 800 in each fiscal year--
          (1) not less than 50 percent shall be available for 
        awarding grants to institutions of higher education and 
        combinations of such institutions described in section 
        813(a)(1)(A) for cooperative education under section 
        813;
          (2) not less than 25 percent shall be available for 
        awarding grants to institutions of higher education 
        described in section 813(a)(1)(B) for cooperative 
        education under section 813;
          (3) not to exceed 11 percent shall be available for 
        demonstration projects under paragraph (1) of section 
        814(a);
          (4) not to exceed 11 percent shall be available for 
        training and resource centers under paragraph (2) of 
        section 814(a); and
          (5) not to exceed 3 percent shall be available for 
        research under paragraph (3) of section 814(a).
  (b) Availability of Appropriations.--Appropriations under 
this part shall not be available for the payment of 
compensation of students for employment by employers under 
arrangements pursuant to this part.

SEC. 813. GRANTS FOR COOPERATIVE EDUCATION.

  (a) Grants Authorized.--
          (1) In general.--The Secretary is authorized, from 
        the amount available to carry out this part under 
        section 800 in each fiscal year and in accordance with 
        the provisions of this part--
                  (A) to award grants to institutions of higher 
                education or combinations of such institutions 
                that have not received a grant under this 
                paragraph in the 10-year period preceding the 
                date for which a grant under this section is 
                requested to pay the Federal share of the cost 
                of planning, establishing, expanding, or 
                carrying out programs of cooperative education 
                by such institutions or combinations of 
                institutions; and
                  (B) to award grants to institutions of higher 
                education that are operating an existing 
                cooperative education program as determined by 
                the Secretary to pay the cost of planning, 
                establishing, expanding, or carrying out 
                programs of cooperative education by such 
                institutions.
          (2) Program requirement.--Cooperative education 
        programs assisted under this section shall provide 
        alternating or parallel periods of academic study and 
        of public or private employment, giving students work 
        experience related to their academic or occupational 
        objectives and the opportunity to earn the funds 
        necessary for continuing and completing their 
        education.
          (3) Amount of grants.--
                  (A) The amount of each grant awarded pursuant 
                to paragraph (1)(A) to any institution of 
                higher education or combination of such 
                institutions in any fiscal year shall not 
                exceed $500,000.
                  (B)(i) Except as provided in clauses (ii) and 
                (iii), the Secretary shall award grants in each 
                fiscal year to each institution of higher 
                education described in paragraph (1)(B) that 
                has an application approved under subsection 
                (b) in an amount which bears the same ratio to 
                the amount reserved pursuant to section 
                812(a)(2) for such fiscal year as the number of 
                unduplicated students placed in cooperative 
                education jobs during the preceding fiscal year 
                by such institution of higher education (other 
                than cooperative education jobs under section 
                814 and as determined by the Secretary) bears 
                to the total number of all such students placed 
                in such jobs during the preceding fiscal year 
                by all such institutions.
                  (ii) No institution of higher education shall 
                receive a grant pursuant to paragraph (1)(B) in 
                any fiscal year in an amount which exceeds 25 
                percent of such institution's cooperative 
                education program's personnel and operating 
                budget for the preceding fiscal year.
                  (iii) The minimum annual grant amount which 
                an institution of higher education is eligible 
                to receive under paragraph (1)(B) is $1,000 and 
                the maximum annual grant amount is $75,000.
          (4) Limitation.--The Secretary shall not award grants 
        pursuant to paragraphs (1)(A) and (B) to the same 
        institution of higher education or combination of such 
        institution in any one fiscal year.
          (5) Uses.--Grants under paragraph (1)(B) shall be 
        used exclusively--
                  (A) to expand the quality of and 
                participation in a cooperative education 
                program;
                  (B) for outreach in new curricular areas; and
                  (C) for outreach to potential participants 
                including underrepresented and nontraditional 
                populations.
  (b) Applications.--Each institution of higher education or 
combination of such institutions desiring to receive a grant 
under this section shall submit an application to the Secretary 
at such time and in such manner as the Secretary shall 
prescribe. Each such application shall--
          (1) set forth the program or activities for which a 
        grant is authorized under this section;
          (2) specify each portion of such program or 
        activities which will be performed by a nonprofit 
        organization or institution other than the applicant, 
        and the compensation to be paid for such performance;
          (3) provide that the applicant will expend during the 
        fiscal year for which the grant is awarded for the 
        purpose of such program or activities not less than the 
        amount expended for such purpose during the previous 
        fiscal year;
          (4) describe the plans which the applicant will carry 
        out to assure, and contain a formal statement of the 
        institution's commitment which assures, that the 
        applicant will continue the cooperative education 
        program beyond the 5-year period of Federal assistance 
        described in subsection (c)(1) at a level which is not 
        less than the total amount expended for such program 
        during the first year such program was assisted under 
        this section;
          (5) provide that, in the case of an institution of 
        higher education that provides a 2-year program which 
        is acceptable for full credit toward a bachelor's 
        degree, the cooperative education program will be 
        available to students who are certificate or associate 
        degree candidates and who carry at least one-half of 
        the normal full-time academic workload;
          (6) provide that the applicant will--
                  (A) make such reports as may be necessary to 
                ensure that the applicant is complying with the 
                provisions of this section, including reports 
                for the second and each succeeding fiscal year 
                for which the applicant receives a grant with 
                respect to the impact of the cooperative 
                education program in the previous fiscal year, 
                including--
                          (i) the number of unduplicated 
                        student applicants in the cooperative 
                        education program;
                          (ii) the number of unduplicated 
                        students placed in cooperative 
                        education jobs;
                          (iii) the number of employers who 
                        have hired cooperative education 
                        students;
                          (iv) the income for students derived 
                        from working in cooperative education 
                        jobs; and
                          (v) the increase or decrease in the 
                        number of unduplicated students placed 
                        in cooperative education jobs in each 
                        fiscal year compared to the previous 
                        fiscal year; and
                  (B) keep such records as may be necessary to 
                ensure that the applicant is complying with the 
                provisions of this part, including the notation 
                of cooperative education employment on the 
                student's transcript;
          (7) describe the extent to which programs in the 
        academic disciplines for which the application is made 
        have had a favorable reception by public and private 
        sector employers;
          (8) describe the extent to which the institution is 
        committed to extending cooperative education on an 
        institution-wide basis for all students who can 
        benefit;
          (9) describe the plans that the applicant will carry 
        out to evaluate the applicant's cooperative education 
        program at the end of the grant period;
          (10) provide for such fiscal control and fund 
        accounting procedures as may be necessary to assure 
        proper disbursement of, and accounting for, Federal 
        funds paid to the applicant under this part;
          (11) demonstrate a commitment to serving all 
        underserved populations at the institution; and
          (12) include such other information as may be 
        necessary to carry out the provisions of this part.
  (c) Duration of Grants; Federal Share.--
          (1) Duration of grants.--No individual institution of 
        higher education may receive, individually or as a 
        participant in a combination of such institutions--
                  (A) a grant pursuant to subsection (a)(1)(A) 
                for more than 5 fiscal years; or
                  (B) a grant pursuant to subsection (a)(1)(B) 
                for more than 5 fiscal years.
          (2) Federal share.--The Federal share of a grant 
        under subsection (a)(1)(A) may not exceed--
                  (A) 85 percent of the cost of carrying out 
                the program or activities described in the 
                application in the first year the applicant 
                receives a grant under this section;
                  (B) 70 percent of such cost in the second 
                such year;
                  (C) 55 percent of such cost in the third such 
                year;
                  (D) 40 percent of such cost in the fourth 
                such year; and
                  (E) 25 percent of such cost in the fifth such 
                year.
          (3) Special rule.--Any provision of law to the 
        contrary notwithstanding, the Secretary shall not waive 
        the provisions of this subsection.
  (d) Maintenance of Effort.--If the Secretary determines that 
a recipient of funds under this section has failed to maintain 
the fiscal effort described in subsection (b)(3), then the 
Secretary may elect not to make grant payments under this 
section to such recipient.
  (e) Factors for Special Consideration of Applications.--
          (1) In general.--In approving applications under this 
        section, the Secretary shall give special consideration 
        to applications from institutions of higher education 
        or combinations of such institutions for programs which 
        show the greatest promise of success because of--
                  (A) the extent to which programs in the 
                academic discipline with respect to which the 
                application is made have had a favorable 
                reception by public and private sector 
                employers;
                  (B) the strength of the commitment of the 
                institution of higher education or combination 
                of such institutions to cooperative education 
                as demonstrated by the plans and formalized 
                institutional commitment statement which such 
                institution or combination has made to continue 
                the program after the termination of Federal 
                financial assistance;
                  (C) the extent to which the institution or 
                combination of institutions is committed to 
                extending cooperative education for all 
                students who can benefit; and
                  (D) such other factors as are consistent with 
                the purposes of this section.
          (2) Additional special consideration.--The Secretary 
        shall also give special consideration to applications 
        from institutions of higher education or combinations 
        of such institutions which demonstrate a commitment to 
        serving all underserved populations attending such 
        institutions.

SEC. 814. DEMONSTRATION AND INNOVATION PROJECTS; TRAINING AND RESOURCE 
                    CENTERS; AND RESEARCH.

  (a) Authorization.--The Secretary is authorized, in 
accordance with the provisions of this section, to make grants 
and enter into contracts--
          (1) from the amounts available in each fiscal year 
        under section 812(a)(3), for the conduct of 
        demonstration projects designed to demonstrate or 
        determine the feasibility or value of innovative 
        methods of cooperative education;
          (2) from the amounts available in each fiscal year 
        under section 812(a)(4), for the conduct of training 
        and resource centers designed to--
                  (A) train personnel in the field of 
                cooperative education;
                  (B) improve materials used in cooperative 
                education programs if such improvement is 
                conducted in conjunction with other activities 
                described in this paragraph;
                  (C) furnish technical assistance to 
                institutions of higher education to increase 
                the potential of the institution to continue to 
                conduct a cooperative education program without 
                Federal assistance;
                  (D) encourage model cooperative education 
                programs which furnish education and training 
                in occupations in which there is a national 
                need;
                  (E) support partnerships under which an 
                institution carrying out a comprehensive 
                cooperative education program joins with one or 
                more institutions of higher education in order 
                to (i) assist the institution that is not the 
                institution carrying out the cooperative 
                education program to develop and expand an 
                existing program of cooperative education, or 
                (ii) establish and improve or expand 
                comprehensive cooperative education programs; 
                and
                  (F) encourage model cooperative education 
                programs in the fields of science and 
                mathematics for women and minorities who are 
                underrepresented in such fields; and
          (3) from the amounts available in each fiscal year 
        under section 812(a)(5), for the conduct of research 
        relating to cooperative education.
  (b) Administrative Provision.--
          (1) In general.--To carry out this section, the 
        Secretary may--
                  (A) make grants to or contracts with 
                institutions of higher education, or 
                combinations of such institutions; and
                  (B) make grants to or contracts with other 
                public or private nonprofit agencies or 
                organizations, whenever such grants or 
                contracts will make an especially significant 
                contribution to attaining the objectives of 
                this section.
          (2) Limitation.--
                  (A) The Secretary may not use more than 3 
                percent of the amount appropriated to carry out 
                this section in each fiscal year to enter into 
                contracts described in paragraph (1)(A).
                  (B) The Secretary may use not more than 3 
                percent of the amount appropriated to carry out 
                this section in each fiscal year to enter into 
                contracts described in paragraph (1)(B).
  (c) Supplement Not Supplant.--A recipient of a grant or 
contract under this section may use the funds provided only so 
as to supplement and, to the extent possible, increase the 
level of funds that would, in the absence of such funds, be 
made available from non-Federal sources to carry out the 
activities supported by such grant or contract, and in no case 
to supplant such funds from non-Federal sources.

                   PART C--COLLEGE PARTNERSHIP GRANTS

SEC. 821. COLLEGE PARTNERSHIP GRANTS AUTHORIZED.

  (a) Grants Authorized.--From the amount appropriated to carry 
out this part under section 800, the Secretary shall award 
grants to eligible partnerships for the purposes of developing 
and implementing articulation agreements.
  (b) Eligible Partnerships.--For purposes of this part, an 
eligible partnership shall include at least two institutions of 
higher education, or a system of institutions of higher 
education, and may include either or both of the following:
          (1) A consortia of institutions of higher education.
          (2) A State higher education agency.
  (c) Priority.--The Secretary shall give priority to eligible 
partnerships that--
          (1) are located in a State that is in compliance with 
        section 486A; or
          (2) include--
                  (A) 1 or more junior or community colleges 
                (as defined by section 312(f) of this Act) that 
                award associate's degrees; and
                  (B) 1 or more institutions of higher 
                education that offer a baccalaureate or post 
                baccalaureate degree not awarded by the 
                institutions described in subparagraph (A) with 
                which it is partnered.
  (d) Mandatory Use of Funds.--Grants awarded under this part 
shall be used for--
          (1) the development of policies and programs to 
        expand opportunities for students to earn bachelor's 
        degrees, by facilitating the transfer of academic 
        credits between institutions and expanding articulation 
        and guaranteed transfer agreements between institutions 
        of higher education, including through common course 
        numbering and general education core curriculum;
          (2) academic program enhancements; and
          (3) programs to identify and remove barriers that 
        inhibit student transfers, including technological and 
        informational programs.
  (e) Optional Use of Funds.--Grants awarded under this part 
may be used for--
          (1) support services to students participating in the 
        program, such as tutoring, mentoring, and academic and 
        personal counseling; and
          (2) any service that facilitates the transition of 
        students between the partner institutions.
  (f) Prohibition.--No funds provided under this section shall 
be used to financially compensate an institution for the 
purposes of entering into an articulation agreement or for 
accepting students transferring into such institution.
  (g) Applications.--Any eligible partnership that desires to 
obtain a grant under this section shall submit to the Secretary 
an application at such time, in such manner, and containing 
such information or assurances as the Secretary may require.
  (h) Regulations.--The Secretary shall prescribe such 
regulations as may be necessary to carry out this section.
  (i) Definition.--For purposes of this section, the term 
``articulation agreement'' means an agreement between 
institutions of higher education that specifies the 
acceptability of courses in transfer toward meeting specific 
degree requirements.

                     PART D--STUDENT SUCCESS GRANTS

SEC. 826. STUDENT SUCCESS GRANTS.

  (a) Authorization of Pilot Program.--From the amount 
appropriated to carry out this part under section 800, the 
Secretary is authorized to award grants on a competitive basis 
to eligible institutions for the purposes of helping low-income 
students succeed in persisting in and completing postsecondary 
education and training programs.
  (b) Definitions.--
          (1) Eligible institution.--In this section, the term 
        ``eligible institution'' means an institution of higher 
        education in which, during the three-year period 
        preceding the year in which the institution is applying 
        for a grant under this section, an average of not less 
        than 50 percent of the institution's entering first-
        year students are enrolled in developmental courses to 
        bring reading, writing, or mathematics skills up to 
        college-level.
          (2) Eligible student.--In this section, the term 
        ``eligible student'' means a student who--
                  (A) is eligible to receive assistance under 
                section 401;
                  (B) is a first-year student at the time of 
                entering the pilot program; and
                  (C) is selected by an eligible institution to 
                participate in the pilot program.
  (c) Application.--An eligible institution seeking a grant 
under this section shall submit an application to the Secretary 
at such time, in such manner, and containing such information 
as the Secretary may require.
  (d) Student Success Grant Amount.--For an award year, each 
institution selected to participate in this pilot program shall 
receive an amount equal to $1,500 multiplied by the number of 
students the institution selects to participate in the pilot 
program in such year. An institution shall not select more than 
200 students to participate in the pilot program under this 
section during such year.
  (e) Priority for Replication of Evidence-Based Policies and 
Practices.--The Secretary shall give priority to applications 
submitted by eligible institutions that propose to replicate 
policies and practices that have proven effective in increasing 
persistence and completion by low-income students or students 
in need of developmental education.
  (f) Peer Review.--The Secretary shall convene a peer review 
process to review applications for grants under this section 
and to make recommendations to the Secretary regarding the 
selection of grantees. Members of the peer review committee 
shall include researchers and practitioners who are recognized 
experts on services and policies to increase low income student 
success in postsecondary education and training. No member of 
the committee shall be in a position to benefit financially 
from the grants to eligible institutions under subsection (d).
  (g) Mandatory Uses.--An eligible institution that receives a 
grant under this section shall use the grant funds to assign a 
Student Success Coach to every first-year student participating 
in the pilot program to provide intensive career and academic 
advising, ongoing personal help in navigating college services 
such as financial aid and registration, and assistance in 
connecting to community resources that can help students 
overcome family and personal challenges to success. Student 
Success Coaches--
          (1) shall work with not more than 50 new students 
        during any academic period;
          (2) may be employees of academic departments, student 
        services offices, community-based organizations, or 
        other entities as deemed appropriate by the 
        institution; and
          (3) shall meet with each eligible student selected 
        for the pilot program before registration for courses.
  (h) Permissible Uses.--An eligible institution that receives 
a grant under this section may use the grant funds to provide 
services and program innovations for students participating in 
the pilot, including the following:
          (1) College and career success courses, with tuition 
        and fees for the course covered by the Student Success 
        Grant. These courses may cover college success topics, 
        including how to take notes, how to study, how to take 
        tests, and how to budget time, and may also include a 
        substantial career exploration component. Institutions 
        may use such courses to help students develop a College 
        and Career Success Plan so that by the end of the first 
        semester the students have a clear sense of their 
        career goals and what classes to take to achieve such 
        goals.
          (2) Work-study jobs with private employers in the 
        students' fields of study.
          (3) Learning communities that ensure that students 
        participating in the pilot are clustered together for 
        at least two courses beginning in the first semester 
        after enrolling and have other opportunities to create 
        and maintain bonds that allow them to provide academic 
        and social support to each other.
          (4) Curricular redesign, which may include such 
        innovations as ``blended'' or accelerated remediation 
        classes that help Student Success Grant recipients to 
        attain college-level reading, writing, math skills (or 
        a combination thereof) more rapidly than traditional 
        remediation formats allow, and intensive skills 
        refresher classes, offered prior to each semester, to 
        help students who have tested into remedial coursework 
        to reach entry level assessment scores for the 
        postsecondary programs they wish to enter.
          (5) Instructional support, such as learning labs, 
        supplemental instruction, and tutoring.
          (6) Assistance with support services, such as child 
        care and transportation.
  (i) Grant Period; Additional Technical Assistance.--
          (1) Grant period.--Grants made under this section 
        shall be for a period of not less than 60 months.
          (2) Additional technical assistance.--After 36 
        months, the Secretary shall review the performance of 
        the Student Success Grant pilot program students at 
        each institution, and if no significant improvements 
        have been made by Student Success Grant pilot program 
        students in persistence and completion at an 
        institution, then the Secretary shall provide 
        additional technical assistance to help the institution 
        improve outcomes.
  (j) Required Non-Federal Share.--
          (1) In general.--Each institution participating in 
        the pilot program under this section shall provide a 
        non-Federal match of 25 percent of the amount of grant 
        to carry out the activities of the pilot program. The 
        non-Federal share under this section may be provided in 
        cash or in kind.
          (2) Effect on need analysis.--For the purpose of 
        calculating a student's need in accordance with part F 
        of this title, services or benefits under this section 
        shall not be considered to be an asset or income of the 
        student or the students parents.
  (k) Technical Assistance.--The Secretary shall enter into 
contracts with private entities to provide such technical 
assistance to grantees under this section as the Secretary 
determines appropriate.
  (l) Evaluation.--
          (1) Outcome evaluations.--The Secretary shall conduct 
        an evaluation of program outcomes under the pilot 
        program, and shall disseminate to the public the 
        findings from the evaluation and information on best 
        practices. The Secretary is encouraged to partner with 
        other providers of funds, such as private foundations, 
        to allow for use of an experimental or quasi-
        experimental evaluation in at least one of the pilot 
        program sites.
          (2) Institutional participation.--As a condition of 
        receiving grants under this section, participating 
        institutions shall work with the evaluator to track 
        persistence and completion outcomes for students in the 
        pilot program, specifically the proportion of these 
        students who take and complete developmental education 
        courses, the proportion who take and complete college-
        level coursework, and the proportion who complete 
        certificates and degrees. This data shall be broken 
        down by race, ethnicity, and age and the evaluator 
        shall assist institutions in analyzing this data to 
        compare Student Success Grant pilot program 
        participants to comparable nonparticipants, using 
        statistical techniques to control for differences in 
        the groups.
          (3) Annual reports.--Participating institutions under 
        this section shall report on the data specified in 
        paragraph (2) annually and the Secretary shall make 
        this data publicly available.

                        PART E--JOBS TO CAREERS

SEC. 831. GRANTS TO CREATE BRIDGES FROM JOBS TO CAREERS.

  (a) Authorization of Program.--From amounts appropriated to 
carry out this part under section 800, the Secretary shall 
award grants, on a competitive basis, to institutions of higher 
education for the purposes of improving developmental 
education, including English language instruction, by 
customizing developmental education to student career goals, 
and helping students move rapidly from developmental coursework 
into for-credit occupational program courses and through 
program completion. The grants under this section shall focus 
in particular on creating bridges to for-credit occupational 
certificate programs that are articulated to degree programs.
  (b) Application.--An eligible institution seeking a grant 
under this section shall submit an application to the Secretary 
at such time, in such manner, and containing such information 
as the Secretary may require.
  (c) Priorities.--The Secretary shall give priority to 
applications that--
          (1) are from institutions of higher education in 
        which not less than 50 percent of the institution's 
        entering first-year students who are subject to 
        mandatory assessment, are assessed as needing 
        developmental courses to bring reading, writing, or 
        mathematics skills up to college-level; and
          (2) propose to replicate practices that have proven 
        effective with adults or propose to collaborate with 
        adult education providers.
  (d) Peer Review.--The Secretary shall convene a peer review 
process to review applications for grants under this section 
and to make recommendations to the Secretary regarding the 
selection of grantees.
  (e) Mandatory Activity.--An eligible institution that 
receives a grant under this section shall use the grant funds 
to create workforce bridge programs that customize 
developmental education curricula, including English language 
instruction, to the content of the for-credit occupational 
certificate or degree programs, or clusters of such programs, 
in which developmental education students seek to enroll. Such 
bridge programs may include those that integrate the curricula 
and the instruction of both developmental and college-level 
coursework or that dually enroll students in remediation and 
college-level coursework.
  (f) Permissible Activities.--An eligible institution that 
receives a grant under this section, in addition to creating 
workforce bridge programs, may use the grant funds to carry out 
the following:
          (1) Design and implement innovative ways to improve 
        retention in and completion of developmental education 
        courses, including enrolling students in cohorts, 
        accelerating course content, integrating remediation 
        and college-level curricula and instruction, dually 
        enrolling students in developmental and college-level 
        courses, tutoring, providing counseling and other 
        supportive services, and giving small, material 
        incentives for attendance and performance.
          (2) In consultation with faculty in the appropriate 
        departments, redesignating class schedules to meet the 
        needs of working adults, such as by creating evening, 
        weekend, modular, compressed, distance-learning 
        formats, or other alternative schedules.
          (3) Improving the quality of teaching in remedial 
        courses through professional development, 
        reclassification of such teaching positions, or other 
        means the eligible institution determines appropriate.
          (4) Any other activities the eligible institution and 
        the Secretary determine will promote retention of, and 
        completion by, students attending institutions of 
        higher education.
          (5) Fully advise students on the range of options and 
        programs available, which may include: diploma; 
        certification; 2-year degree; associate's degree; 
        transfer degree to upper division; and career options.
  (g) Grant Period.--Grants made under this section shall be 
for a period of not less than 36 months and not more than 60 
months.
  (h) Technical Assistance.--The Secretary shall provide 
technical assistance to grantees under this section throughout 
the grant period.
  (i) Evaluation.--The Secretary shall conduct an evaluation of 
program impacts under the demonstration program, and shall 
disseminate to the public the findings from the evaluation and 
information on best practices. The Secretary is encouraged to 
partner with other providers of funds, such as private 
foundations, to allow for use of a random assignment evaluation 
in at least one of the demonstration sites.
  (j) Definition of Institution.--In this section, the term 
``institution of higher education'' means an institution of 
higher education as defined in section 101(a).

                          PART F--PROJECT GRAD

SEC. 836. PROJECT GRAD.

  (a) Purposes.--The purposes of this part are--
          (1) to provide support and assistance to programs 
        implementing integrated education reform services in 
        order to improve secondary school graduation and 
        college attendance and completion rates for 
        disadvantaged students; and
          (2) to promote the establishment of new programs to 
        implement such integrated education reform services.
  (b) Grant Authorized.--From the amount appropriated to carry 
out this part under section 800, the Secretary is authorized to 
award a grant to Project GRAD USA (referred to in this part as 
the ``grantee''), a nonprofit educational organization that has 
as its primary purpose the improvement of secondary school 
graduation and college attendance and completion rates for 
disadvantaged students, to implement and sustain the integrated 
education reform services described in subsection (d)(3) at 
existing Project GRAD program sites and to promote the 
expansion of such programs to new sites.
  (c) Requirements of Grant Agreement.--The Secretary shall 
enter into an agreement with the grantee that requires that the 
grantee shall--
          (1) enter into subcontracts with nonprofit 
        educational organizations that serve a substantial 
        number or percentage of low-income students (referred 
        to in this part as ``subcontractors''), under which the 
        subcontractors agree to implement the programs 
        described in subsection (d) and provide matching funds 
        for such programs;
          (2) directly carry out--
                  (A) activities to implement and sustain the 
                literacy, mathematics, classroom management, 
                social service, and college access programs 
                further described in subsection (d)(3);
                  (B) activities to build the organizational 
                and management capacity of the subcontractors 
                to effectively implement and sustain the 
                programs;
                  (C) activities for the purpose of improving 
                and expanding the programs, including but not 
                limited to activities to further articulate a 
                program for one or more grade levels and across 
                grade levels, to tailor a program for a 
                particular target audience, and provide tighter 
                integration across programs;
                  (D) activities for the purpose of 
                implementing new Project GRAD program sites;
                  (E) activities for the purpose of promoting 
                greater public awareness of integrated 
                education reform services to improve secondary 
                school graduation and college attendance rates 
                for disadvantaged students; and
                  (F) other activities directly related to 
                improving secondary school graduation and 
                college attendance and completion rates for 
                disadvantaged students; and
          (3) use grant funds available under this part to 
        pay--
                  (A) the amount determined under subsection 
                (f)(1); and
                  (B) costs associated with carrying out the 
                activities and providing the services, as 
                provided in paragraph (2) of this subsection.
  (d) Supported Programs.--
          (1) Designation.--The subcontractor programs referred 
        to in subsection (c)(1) shall be known as Project GRAD 
        programs.
          (2) Feeder patterns.--Each subcontractor shall 
        implement a Project GRAD program and shall, with the 
        agreement of the grantee--
                  (A) identify or establish not less than one 
                ``feeder pattern'' of public schools, where 
                ``feeder pattern'' is defined as a high school 
                and the elementary schools and middle schools 
                that channel students into that high school; 
                and
                  (B) provide the integrated educational reform 
                services described in paragraph (3) at the 
                identified feeder pattern or feeder patterns.
          (3) Integrated education reform services.--The 
        services provided through a Project GRAD program may 
        include--
                  (A) research-based programs in reading, 
                mathematics, and classroom management;
                  (B) campus-based social services programs, 
                including a systematic approach to increase 
                family and community involvement in the schools 
                served by the Project GRAD program;
                  (C) a college access program that includes--
                          (i) providing college scholarships 
                        for students who meet established 
                        criteria;
                          (ii) proven approaches for increasing 
                        student and family college awareness; 
                        and
                          (iii) assistance for such students in 
                        applying for higher education financial 
                        aid; and
                  (D) such other services identified by the 
                grantee as necessary to increase secondary 
                school graduation and college attendance and 
                completion rates.
  (e) Use of Funds.--Of the funds made available to carry out 
this part under section 800, not more than 8 percent of such 
funds, or $4,000,000, whichever is less, shall be used by the 
grantee to pay for administration of the grant, with the 
remainder of funds to be used for the purposes described in 
subsections (c)(1) and (2).
  (f) Grantee Contribution and Matching Requirement.--
          (1) In general.--The grantee shall provide to each 
        subcontractor an average of $200 for each pupil served 
        by the subcontractor in the Project GRAD program, 
        adjusted to take into consideration--
                  (A) the resources available in the area where 
                the subcontractor will implement the Project 
                GRAD program; and
                  (B) the need for Project GRAD programs in 
                such area to improve student outcomes.
          (2) Matching requirement.--Each subcontractor shall 
        provide funds for the Project GRAD program in an amount 
        that is equal to the amount received by the 
        subcontractor from the grantee. Such matching funds may 
        be provided in cash or in kind, fairly evaluated.
          (3) Waiver authority.--The grantee may waive, in 
        whole or in part, the requirement of paragraph (2) for 
        a subcontractor, if the subcontractor--
                  (A) demonstrates that it would not otherwise 
                be able to participate in the program; and
                  (B) enters into an agreement with the grantee 
                with respect to the amount to which the waiver 
                will apply.
          (4) Decrease in grantee share.--Based on the funds or 
        resources available to a subcontractor, the grantee may 
        elect to provide the subcontractor with an amount that 
        is less than the amount determined under paragraph (1).
  (g) Evaluation.--
          (1) Evaluation by the secretary.--The Secretary shall 
        select an independent entity to evaluate, every 3 
        years, the performance of students who participate in a 
        Project GRAD program under this part. The evaluation 
        shall--
                  (A) be conducted using a rigorous research 
                design for determining the effectiveness of the 
                Project GRAD programs funded under this part; 
                and
                  (B) compare reading and mathematics 
                achievement and, where applicable, the 
                secondary school graduation, college 
                attendance, and college completion rates of 
                students who participate in a Project GRAD 
                program funded under this part with those 
                indicators for students of similar backgrounds 
                who do not participate in such program.
          (2) Evaluation by grantee and subcontractors.--
                  (A) In general.--The grantee shall require 
                each subcontractor to prepare an in-depth 
                report of the results and the use of funds of 
                each Project GRAD program funded under this 
                part that includes--
                          (i) data on the reading and 
                        mathematics achievement of students 
                        involved in the Project GRAD program;
                          (ii) statistics on secondary school 
                        graduation, college attendance, and 
                        college completion rates; and
                          (iii) such financial reporting as 
                        required by the Secretary to review the 
                        effectiveness and efficiency of the 
                        program.
                  (B) Form of report.--The report shall be in a 
                form and include such content as shall be 
                determined by the grantee, in consultation with 
                the Secretary or the entity selected by the 
                Secretary to evaluate the Project GRAD programs 
                in accordance with paragraph (1).
          (3) Availability of evaluations.--Copies of any 
        evaluation or report prepared under this subsection 
        shall be made available to--
                  (A) the Secretary; and
                  (B) the chairperson and ranking member of the 
                authorizing committees.
  (h) Definitions.--In this part the term ``low-income 
student'' means a student who is determined by a local 
educational agency to be from a low-income family using the 
measures described in section 1113(a)(5) of the Elementary and 
Secondary Education Act of 1965 (20 U.S.C. 6313(a)(5)).

       PART G--IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS

SEC. 841. IMPROVING COLLEGE ENROLLMENT BY SECONDARY SCHOOLS.

  (a) In General.--From the amount appropriated to carry out 
this part under section 800, the Secretary shall contract with 
one nonprofit organization described in subsection (b) to 
enable the nonprofit organization--
          (1) to make publicly available the year-to-year 
        higher education enrollment rate trends of secondary 
        school students, disaggregated by secondary school, in 
        compliance with the Family Education Rights and Privacy 
        Act of 1974;
          (2) to identify not less than 50 urban local 
        educational agencies and 5 States with significant 
        rural populations, each serving a significant 
        population of low-income students, and to carry out a 
        comprehensive needs assessment in the agencies and 
        States of the factors known to contribute to improved 
        higher education enrollment rates, which factors shall 
        include--
                  (A) an evaluation of the local educational 
                agency's and State's leadership strategies;
                  (B) the secondary school curriculum and class 
                offerings of the local educational agency and 
                State;
                  (C) the professional development used by the 
                local educational agency and the State to 
                assist teachers, higher education counselors, 
                and administrators in supporting the transition 
                of secondary students into higher education;
                  (D) secondary school student attendance and 
                other factors demonstrated to be associated 
                with enrollment into higher education;
                  (E) the data systems used by the local 
                educational agency and the State to measure 
                college enrollment rates and the incentives in 
                place to motivate the efforts of faculty and 
                students to improve student and school-wide 
                outcomes; and
                  (F) strategies to mobilize student leaders to 
                build a college-bound culture; and
          (3) to provide comprehensive services to improve the 
        school-wide higher education enrollment rates of each 
        of not less than 10 local educational agencies and 
        States, with the federally funded portion of each 
        project declining by not less than 20 percent each year 
        beginning in the second year of the comprehensive 
        services, that--
                  (A) participated in the needs assessment 
                described in paragraph (2); and
                  (B) demonstrated a willingness and commitment 
                to improving the higher education enrollment 
                rates of the local educational agency or State, 
                respectively.
  (b) Grant Recipient Criteria.--The recipient of the grant 
awarded under subsection (a) shall be a nonprofit organization 
with demonstrated expertise--
          (1) in increasing school-wide higher education 
        enrollment rates in low-income communities nationwide 
        by providing curriculum, training, and technical 
        assistance to secondary school staff and student peer 
        influencers; and
          (2) in a college transition data management system.

                    PART H--DIPLOMA MILL PREVENTION

SEC. 851. PURPOSE; DEFINITIONS.

  (a) Purpose.--The purpose of this part is to protect 
institutions of higher education, businesses and other 
employers, professional licensing boards, patients and clients 
of degree holders, taxpayers, and other individuals from any 
person claiming to possess a legitimate academic degree that in 
fact was issued by a fraudulent or nonexistent school, by a 
non-educational entity posing as a school, or by any entity in 
violation of Federal or State law.
  (b) Definitions.--In this part:
          (1) Degree-granting institution.--The term ``degree-
        granting institution'' means any entity that offers or 
        confers an academic, professional, or occupational 
        degree, diploma, or certificate, if such degree, 
        diploma, or certificate may be used to represent to the 
        general public that the individual possessing such 
        degree, diploma, or certificate has completed a program 
        of education or training beyond secondary education.
          (2) Diploma mill.--The term ``diploma mill'' means 
        any entity that--
                  (A) lacks valid accreditation by an agency 
                recognized by a Federal agency or a State 
                government or other organization or association 
                that recognizes accrediting agencies as a valid 
                accrediting agency of institutions of higher 
                education; and
                  (B) offers degrees, diplomas, or 
                certifications, for a fee, that may be used to 
                represent to the general public that the 
                individual possessing such a degree, diploma, 
                or certification has completed a program of 
                education or training beyond secondary 
                education, but little or no education or course 
                work is required to obtain such a degree, 
                diploma, or certification.
          (3) Institution of higher education.--The term 
        ``institution of higher education'' has the meaning 
        given such term in section 102.

SEC. 852. RECOGNIZED ACCREDITING AGENCIES AND INSTITUTIONS.

  (a) Lists Maintained by the Department of Education.--Not 
later than 30 days after the date of the enactment of this 
part, the Secretary of Education shall make available (in a 
regularly updated, electronic format) to the Secretary of 
Homeland Security and the heads of other appropriate Federal 
agencies, a list of--
          (1) accrediting agencies and associations, recognized 
        by the Secretary of Education under section 496, or, at 
        the discretion of the Secretary, other organizations 
        involved in accreditation;
          (2) eligible institutions, as defined under section 
        435(a); and
          (3) to the extent practicable, foreign degree-
        granting institutions that--
                  (A) have degree-granting authority, as 
                granted by the appropriate agency or ministry 
                of jurisdiction in the home country of such 
                institution;
                  (B) issue degrees that are accepted for 
                professional licensure, public employment, and 
                admission into graduate programs of degree-
                granting institutions in the home country (as 
                determined by the Secretary of State);
                  (C) are determined by the Secretary of 
                Education to be academically equivalent to an 
                eligible institution, as defined in section 
                435(a); and
                  (D) are located in a home country that is 
                capable of performing an effective academic 
                evaluation of the degree-granting institutions 
                to which it issues degree-granting authority, 
                as determined by the Secretary of State, in 
                consultation with the Secretary of Education,
for the purposes of assisting the Secretary of Homeland 
Security and the heads of such Federal agencies to determine, 
for immigration and Federal employment and hiring purposes, the 
legitimacy of degree-granting institutions and degrees issued 
by such institutions.
  (b) Revisions to Lists.--The Secretary of Education shall 
modify and maintain the lists described in subsection (a) as 
necessary to ensure that the lists and the information 
contained in the lists are accurate and up-to-date, based on 
the most recent information available to the Secretary.
  (c) Notice of Recognition.--To be eligible to receive funds 
under title IV, each eligible institution described in 
subsection (a)(2) shall, not later than 60 days after the date 
of the enactment of this part, prominently display on the 
institution's Internet website a notice indicating that the 
institution is recognized by the Secretary of Education as a 
legitimate institution for immigration and Federal employment 
and hiring purposes. If the Secretary of Education determines 
that an institution no longer qualifies as a legitimate degree-
granting institutions described in subsection (a)(2), and 
removes the institution from the list maintained under such 
subsection, the institution shall, not later than 15 days after 
the removal of the institution from such list, delete the 
notice required by this subsection from the institution's 
Internet website.

SEC. 853. ACCREDITING AGENCIES.

  No accrediting agency or association may be considered to be 
a reliable authority as to the quality of education or training 
offered by a degree-granting institution for any purpose 
related to immigration, Federal employment and hiring 
practices, or for any other Federal purposes, unless the agency 
or association is on the list of accrediting agencies and 
associations recognized by the Secretary of Education and 
provided to the Secretary of Homeland Security under section 
852. The Secretary may consult with other organizations, such 
as the Council for Higher Education Accreditation, for such 
purposes.

SEC. 854. TASK FORCE.

  (a) Task Force Established.--The Secretary of Education shall 
establish within the Department of Education the Diploma Mill 
Task Force (referred to in this part as the ``Task Force'').
  (b) Membership.--
          (1) Number and appointment.--The Task Force shall, if 
        practicable, be composed of 19 members, as follows:
                  (A) The Assistant Secretary of Education for 
                Postsecondary Education.
                  (B) A representative of the Department of 
                Education with experience related to the 
                determination of the legitimacy and quality of 
                degrees from foreign institutions of higher 
                education, selected by the Secretary of 
                Education.
                  (C) A representative of the Department of 
                Justice, selected by the Attorney General.
                  (D) A representative of the Federal Trade 
                Commission, selected by the Chairman of such 
                agency.
                  (E) A representative of the Secret Service, 
                selected by the Director of the Secret Service.
                  (F) A representative of the Department of 
                State, selected by the Secretary of State.
                  (G) A representative of the Department of 
                Homeland Security, selected by the Secretary of 
                Homeland Security.
                  (H) A representative of the Office of 
                Personnel Management, selected by the Director 
                of such Office.
                  (I) A representative of a national 
                accreditation association.
                  (J) A representative of a national 
                organization representing collegiate registrars 
                and admissions officers.
                  (K) Two representatives of State degree 
                approval agencies, selected by agreement of at 
                least 3 of the Speaker of the House of 
                Representatives, the Senate Majority Leader, 
                the House Minority Leader, and the Senate 
                Minority Leader.
                  (L) Two representatives from regionally 
                accredited institutions of higher education, 
                selected by agreement of at least 3 of the 
                Speaker of the House of Representatives, the 
                Senate Majority Leader, the House Minority 
                Leader, and the Senate Minority Leader.
                  (M) One representative from a nationally 
                accredited institution of higher education, 
                selected by agreement of at least 3 of the 
                Speaker of the House of Representatives, the 
                Senate Majority Leader, the House Minority 
                Leader, and the Senate Minority Leader.
                  (N) Four individuals from the general 
                population with experience in higher education, 
                the detection of fraudulent degrees and degree-
                granting institutions, or law enforcement 
                related to credential fraud, selected as 
                follows:
                          (i) One individual selected by the 
                        Speaker of the House of 
                        Representatives.
                          (ii) One individual selected by the 
                        Minority Leader of the House of 
                        Representatives.
                          (iii) One individual selected by the 
                        Majority Leader of the Senate.
                          (iv) One individual selected by the 
                        Minority Leader of the Senate.
          (2) Criteria for membership.--All members of the Task 
        Force shall be persons who are especially qualified to 
        serve on the Task Force by virtue of their education, 
        training, or experience, particularly in the fields of 
        higher education, accreditation of institutions of 
        higher education, foreign higher education standards, 
        State regulation of institutions of higher education, 
        immigration, Federal employment requirements and hiring 
        practices, or fraud prevention, detection, or 
        enforcement.
          (3) Terms.--Each member shall be appointed for the 
        life of the Task Force.
          (4) Vacancies.--A vacancy in the Task Force shall be 
        filled in the manner in which the original appointment 
        was made.
          (5) Chair.--At the first meeting of the Task Force, 
        the members of the Task Force shall elect a member of 
        the Task Force to serve as Chair.
  (c) Duties.--
          (1) Guidelines.--The Task Force shall develop 
        guidelines, to be used for the development of Federal 
        legislation, to identify degree-granting institutions 
        as legitimate or fraudulent degree-granting 
        institutions for Federal purposes. In developing such 
        guidelines, the Task Force shall consider--
                  (A) characteristics of degree-granting 
                institutions that help determine the legitimacy 
                of the institution, such as whether an entity--
                          (i) offers or confers degrees, 
                        diplomas, or certificates--
                                  (I) for little or no 
                                meaningful academic work;
                                  (II) without requiring an 
                                appropriate level of academic 
                                achievement for the attainment 
                                of such degrees, diplomas, or 
                                certificates; or
                                  (III) without imposing 
                                academic or other requirements 
                                for admittance into the 
                                institutions or programs 
                                offering such degrees, 
                                diplomas, or certificates;
                          (ii) has fiscal and administrative 
                        structures and capacity appropriate to 
                        the specified scale of educational 
                        operations;
                          (iii) has resources to support claims 
                        as a degree-granting institution, 
                        including curricula, qualified faculty, 
                        facilities, equipment, and supplies, 
                        student support services, objectives of 
                        the degrees or credentials offered, 
                        admissions practices, academic 
                        calendars and catalogs, and a grading 
                        system; and
                          (iv) has degree-granting authority 
                        issued by the States in which degrees, 
                        or instruction leading to degrees, are 
                        offered, and is recognized by such 
                        States as an approved institution of 
                        higher education;
                  (B) the feasibility of defining the term 
                ``fraudulent degree-granting institution'' 
                (commonly referred to as ``diploma mills''), 
                and if feasible, shall define such term to 
                propose for use in Federal laws and 
                regulations;
                  (C) issues related to--
                          (i) the detection of new and existing 
                        fraudulent degree-granting 
                        institutions;
                          (ii) recognition and prevention of 
                        the practices used by such fraudulent 
                        degree-granting institutions to avoid 
                        detection;
                          (iii) the enforcement of laws and 
                        regulations prohibiting such fraudulent 
                        degree-granting institutions and 
                        practices and the use of fraudulent 
                        degrees; and
                          (iv) the prosecution of such 
                        fraudulent degree-granting institutions 
                        and practices and the use of fraudulent 
                        degrees;
                  (D) difficulties in identifying fraudulent 
                degree-granting institutions located in foreign 
                countries, or that claim recognition or degree-
                granting authority from foreign countries;
                  (E) means to alert and educate the public 
                about fraudulent degree-granting institutions 
                and the use of fraudulent degrees;
                  (F) laws, regulations, and other means used 
                by States to address fraudulent degree-granting 
                institutions and the use of fraudulent degrees;
                  (G) the potential need for coordination and 
                cooperation among various Federal agencies to 
                investigate and prosecute suspected fraudulent 
                degree-granting institutions, and the detailed 
                recommendations of the Task Force regarding 
                such coordination and cooperation;
                  (H) the study and the report to the Task 
                Force required under this section; and
                  (I) the purposes for which various agencies 
                of the United States need to identify 
                fraudulent degree-granting institutions, and 
                identify, prohibit, and prevent the use of 
                degrees issued by such fraudulent institutions, 
                and the ability of such agencies to implement 
                any guidelines considered by the Task Force.
          (2) Development of federal plan.--The Task Force 
        shall develop a strategic diploma integrity protection 
        plan (referred to in this section as the ``Plan'') to 
        address the sale and use of fraudulent degrees for 
        Federal purposes. The Plan shall include the following:
                  (A) Recommendations to Congress regarding the 
                implementation by Federal agencies of the 
                guidelines developed under paragraph (1).
                  (B) Recommendations to the Federal Trade 
                Commission regarding the application of the 
                guidelines developed under paragraph (1) to any 
                rulemaking under section 856 and to the 
                enforcement of the rules promulgated under such 
                section.
          (3) Submission of report to congress.--Not later than 
        one year after the date of the enactment of this part, 
        the Task Force shall submit to the appropriate 
        congressional committees a report, including--
                  (A) the guidelines developed under paragraph 
                (1);
                  (B) the Plan developed under paragraph (2); 
                and
                  (C) a legislative proposal for consideration 
                by Congress.

SEC. 855. SENSE OF THE CONGRESS REGARDING USE BY STATES OF THE FEDERAL 
                    PLAN AS GUIDELINES.

  It is the sense of the Congress that--
          (1) each State should implement a strategic diploma 
        integrity plan similar to any strategic diploma 
        integrity plan developed under section 854, to the 
        extent practicable and as soon as practicable after the 
        date of the adoption of such a plan under such section; 
        and
          (2) States may adopt more stringent standards than 
        those standards contained in the Federal strategic 
        diploma integrity plan and used by agencies of the 
        United States to identify fraudulent degree-granting 
        institutions operating within such State, except that 
        State law does not preempt Federal law as applied to 
        the employment and hiring practices of Federal 
        employees working in such State.

SEC. 856. UNFAIR AND DECEPTIVE ACTS AND PRACTICES REGARDING DIPLOMAS 
                    AND PROFESSIONAL CERTIFICATIONS.

  Not later than 180 days after the date of enactment of this 
part, the Secretary shall request in writing that the Federal 
Trade Commission shall develop a plan to address diploma mills 
based on section 18 of Federal Trade Commission Act (15 U.S.C. 
57a).

         PART I--STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT

SEC. 861. STUDENT SAFETY AND CAMPUS EMERGENCY MANAGEMENT.

  (a) Grants Authorized.--
          (1) In general.--From the amount appropriated to 
        carry out this part under section 800, the Secretary is 
        authorized to award grants, on a competitive basis, to 
        institutions of higher education or consortia of 
        institutions of higher education to enable institutions 
        of higher education or consortia to pay the Federal 
        share of the cost of carrying out the authorized 
        activities described in subsection (c).
          (2) Consultation with the attorney general and the 
        secretary of homeland security.--Where appropriate, the 
        Secretary shall award grants under this section in 
        consultation with the Attorney General of the United 
        States and the Secretary of Homeland Security.
          (3) Duration.--The Secretary shall award each grant 
        under this section for a period of 2 years.
          (4) Limitation on institutions and consortia.--An 
        institution of higher education or consortium shall be 
        eligible for only 1 grant under this section.
  (b) Federal Share; Non-Federal Share.--
          (1) In general.--The Federal share of the activities 
        described in subsection (c) shall be 50 percent.
          (2) Non-federal share.--The institution of higher 
        education or consortium shall provide the non-Federal 
        share, which may be provided from other Federal, State, 
        and local resources dedicated to emergency preparedness 
        and response.
  (c) Authorized Activities.--Each institution of higher 
education or consortium receiving a grant under this section 
may use the grant funds to carry out 1 or more of the 
following:
          (1) Developing and implementing a state-of-the-art 
        emergency communications system for each campus of an 
        institution of higher education or consortium, in order 
        to contact students via cellular, text message, or 
        other state-of-the-art communications methods when a 
        significant emergency or dangerous situation occurs. An 
        institution or consortium using grant funds to carry 
        out this paragraph shall also, in coordination with the 
        appropriate State and local emergency management 
        authorities--
                  (A) develop procedures that students, 
                employees, and others on a campus of an 
                institution of higher education or consortium 
                will be directed to follow in the event of a 
                significant emergency or dangerous situation; 
                and
                  (B) develop procedures the institution of 
                higher education or consortium shall follow to 
                inform, within a reasonable and timely manner, 
                students, employees, and others on a campus in 
                the event of a significant emergency or 
                dangerous situation, which procedures shall 
                include the emergency communications system 
                described in this paragraph.
          (2) Supporting measures to improve safety at the 
        institution of higher education or consortium, such 
        as--
                  (A) security assessments;
                  (B) security training of personnel and 
                students at the institution of higher education 
                or consortium;
                  (C) where appropriate, coordination of campus 
                preparedness and response efforts with local 
                law enforcement, local emergency management 
                authorities, and other agencies, to improve 
                coordinated responses in emergencies among such 
                entities; and
                  (D) establishing a hotline that allows a 
                student or staff member at an institution or 
                consortium to report another student or staff 
                member at the institution or consortium who the 
                reporting student or staff member believes may 
                be a danger to the reported student or staff 
                member or to others.
          (3) Coordinating with appropriate local entities the 
        provision of mental health services for students and 
        staff of the institution of higher education or 
        consortium, including mental health crisis response and 
        intervention services for students and staff affected 
        by a campus or community emergency.
  (d) Application.--Each institution of higher education or 
consortium desiring a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require.
  (e) Technical Assistance.--The Secretary shall coordinate 
technical assistance provided by State and local emergency 
management agencies, the Department of Homeland Security, and 
other agencies as appropriate, to institutions of higher 
education or consortia that request assistance in developing 
and implementing the activities assisted under this section.
  (f) Rule of Construction.--Nothing in this section shall be 
construed--
          (1) to provide a private right of action to any 
        person to enforce any provision of this section;
          (2) to create a cause of action against any 
        institution of higher education or any employee of the 
        institution for any civil liability; or
          (3) to affect the Family Educational Rights and 
        Privacy Act of 1974 or the regulations issued under 
        section 264 of the Health Insurance Portability and 
        Accountability Act of 1996 (42 U.S.C. 1320d-2 note).

SEC. 862. MODEL EMERGENCY RESPONSE POLICIES, PROCEDURES, AND PRACTICES.

  The Secretary of Education, in consultation with the Attorney 
General of the United States and the Secretary of Homeland 
Security, shall--
          (1) advise institutions of higher education on model 
        emergency response policies, procedures, and practices; 
        and
          (2) disseminate information concerning those 
        policies, procedures, and practices.

SEC. 863. PREPARATION FOR FUTURE DISASTERS PLAN BY THE SECRETARY.

  (a) Planning.--The Secretary shall develop and maintain a 
disaster relief plan, in consultation with the appropriate 
agencies, to ensure a procedure is in place to address the 
needs of institutions of higher education in the event of a 
disaster with respect to which the President has declared a 
major disaster or emergency. The plan shall take into 
consideration the immediate safety and well-being of students, 
faculty, and staff. Additionally, such plan shall outline steps 
that can be taken to ensure institutions of higher education 
have a timely recovery.
  (b) Submission to Congress.--The Secretary shall submit to 
the authorizing committees the plan required by subsection (a) 
and any revisions of such plan.

SEC. 864. EDUCATION DISASTER AND EMERGENCY RELIEF LOAN PROGRAM.

  (a) Program Authorized.--The Secretary is authorized to 
establish an Education Disaster and Emergency Relief Loan 
Program for institutions of higher education for direct or 
indirect losses incurred as a result of a federally declared 
major disaster or emergency.
  (b) Use of Assistance.--The Secretary may, subject to the 
availability of appropriations, provide any assistance under 
the Education Disaster and Emergency Relief Loan program to 
institutions of higher education pursuant to this section only 
after the declaration of a major disaster or emergency by the 
President. Loan funds provided under this section may be used 
for--
          (1) direct and indirect construction, replacement, 
        and renovation costs associated with or resulting from 
        or preparing for a major disaster or emergency;
          (2) faculty salaries and incentives for retaining 
        faculty; or
          (3) reimbursement for lost tuition and other 
        revenues.
  (c) Application Requirements.--To be considered for a loan 
under this section, an institution of higher education shall--
          (1) submit a financial statement and other 
        appropriate data, documentation, or evidence requested 
        by the Secretary that indicates that the institution 
        incurred losses resulting from the impact of a major 
        disaster or emergency and the monetary amount of such 
        losses; and
          (2) demonstrate that the institution attempted to 
        minimize the cost of any losses by pursuing collateral 
        source compensation from the Federal Emergency 
        Management Agency and insurance coverage prior to 
        seeking a loan under this section, except that an 
        institution of higher education shall not be required 
        to receive collateral source compensation from the 
        Federal Emergency Management Agency and insurance prior 
        to being eligible for a loan under this section.
  (d) Audit.--The Secretary may audit a financial statement 
submitted under subsection (c) and an institution of higher 
education shall provide any information that the Secretary 
determines necessary to conduct such an audit.
  (e) Reduction in Loan Amounts.--To determine the amount of a 
loan to make available to an institution of higher education 
under this section, the Secretary shall calculate the monetary 
amount of losses incurred by such institution as a result of a 
federally declared major disaster or emergency, and shall 
reduce such amount by the amount of collateral source 
compensation the institution has already received from 
insurance, the Federal Emergency Management Agency, and the 
Small Business Administration.
  (f) Establishment of Loan Program.--In order to disburse 
loans under this section, the Secretary shall prescribe 
regulations that--
          (1) establish the loan program, taking into 
        consideration the structure of existing capital 
        financing loan programs under this Act; and
          (2) that set forth--
                  (A) terms for the loan program under this 
                section;
                  (B) procedures for an application for a loan 
                under this section; and
                  (C) minimum requirements for the loan program 
                and for receiving a loan under this section, 
                including the following:
                          (i) Online forms to be used in 
                        submitting request for a loan under 
                        this section.
                          (ii) Information to be included in 
                        such forms.
                          (iii) Procedures to assist in filing 
                        and pursing a loan under this section.
  (g) Definitions.--In this section:
          (1) Institution affected by a gulf hurricane 
        disaster.--The term ``institution affected by a Gulf 
        hurricane disaster'' means an institution of higher 
        education that--
                  (A) is located in an area affected by a Gulf 
                hurricane disaster; and
                  (B) is able to demonstrate that the 
                institution--
                          (i) incurred physical damage 
                        resulting from the impact of a Gulf 
                        hurricane disaster;
                          (ii) was not able to fully reopen in 
                        existing facilities or to fully reopen 
                        to the pre-hurricane levels for 30 days 
                        or more on or after August 29, 2005.
          (2) Area affected by a gulf hurricane disaster; gulf 
        hurricane disaster.--The terms ``area affected by a 
        Gulf hurricane disaster'' and ``Gulf hurricane 
        disaster'' have the meanings given such terms in 
        section 209 of the Higher Education Hurricane Relief 
        Act of 2005 (Public Law 109-148, 119 Stat. 2809).
          (3) Emergency.--The term ``emergency'' has the 
        meaning given such term in section 102(1) of the Robert 
        T. Stafford Disaster Relief and Emergency Assistance 
        Act.
          (4) Institutions of higher education.--The term 
        ``institution of higher education'' has the meaning 
        given such term in section 101.
          (5) Major disaster.--The term ``major disaster'' has 
        the meaning given the term in section 102(2) of the 
        Robert T. Stafford Disaster Relief and Emergency 
        Assistance Act.
  (h) Effective Date.--This section shall take effect on the 
date of the enactment of the College Opportunity and 
Affordability Act of 2007, and assistance provided to 
institutions of higher education pursuant to this section shall 
be available only with respect to federally declared major 
disasters or emergencies that occur after the date of the 
enactment of the College Opportunity and Affordability Act of 
2007, except in the case of an institution affected by a Gulf 
hurricane disaster.

SEC. 865. GUIDANCE ON MENTAL HEALTH DISCLOSURES FOR STUDENT SAFETY.

  Not later than 90 days after the date of enactment of the 
College Opportunity and Affordability Act of 2007, the 
Secretary shall provide guidance that clarifies the role of 
institutions of higher education with respect to the disclosure 
of education records, including to a parent or legal guardian 
of a dependent student, in the event that such student 
demonstrates that the student poses a significant risk of harm 
to himself or herself or to others, including a significant 
risk of suicide, homicide, or assault. Such guidance shall 
further clarify that an institution of higher education that, 
in good faith, discloses education records or other information 
in accordance with the requirements of this Act and the Family 
Educational Rights and Privacy Act of 1974 shall not be liable 
to any person for that disclosure.

  PART J--RURAL DEVELOPMENT GRANTS FOR RURAL COLLEGES AND UNIVERSITIES

SEC. 871. PURPOSE.

  The purposes of this part are--
          (1) to increase--
                  (A) enrollment and graduation rates from 2-
                year and 4-year colleges, and articulation from 
                2-year degree programs into 4-year degree 
                programs, of graduates of rural high schools; 
                and
                  (B) degree completion for nontraditional 
                students from rural areas; and
          (2) to promote economic growth and development in 
        rural America through partnership grants to consortia 
        of rural colleges and universities and other entities, 
        such as local education agencies, employers, education 
        service agencies, and nonprofit organizations.

SEC. 872. DEFINITIONS.

  For the purposes of this part:
          (1) Rural institution of higher education.--The term 
        ``rural institution of higher education'' means an 
        institution of higher education that primarily serves 
        rural areas.
          (2) Rural area.--The term ``rural area'' means an 
        area in which there is located a rural local 
        educational agency.
          (3) Rural local education agency.--The term ``rural 
        local education agency'' means a local educational 
        agency (as such term is defined in section 9101 of the 
        Elementary and Secondary Education Act of 1965) all of 
        the schools of which meet a metro-centric locale code 
        of 41, 42, or 43 as determined by the National Center 
        for Education Statistics (NCES), in conjunction with 
        the Bureau of the Census, using the NCES system for 
        classifying local educational agencies.
          (4) Nontraditional student.--The term 
        ``nontraditional student'' means an individual who--
                  (A) delays enrollment in an institution of 
                higher education by 3 or more years after 
                completing high school;
                  (B) attends an institution of higher 
                education part-time or less than part-time; or
                  (C) attends an institution of higher 
                education and--
                          (i) works full-time;
                          (ii) is an independent student;
                          (iii) has one or more dependents 
                        other than a spouse;
                          (iv) is a single parent; or
                          (v) does not have a high school 
                        diploma.
          (5) Regional employer.--The term ``regional 
        employer'' means employers qualifying as businesses or 
        other entities employing individuals within a rural 
        area.

SEC. 873. ENSURING COLLEGE ACCESS FOR RURAL HIGH SCHOOL GRADUATES.

  (a) Grants Authorized.--From the amounts appropriated to 
carry out this part under section 800, the Secretary of 
Education is authorized to make grants in accordance with this 
section to partnerships formed between one or more rural 
institution of higher education and any of the following 
entities:
          (1) One or more rural local educational agencies.
          (2) One or more rural education service agencies.
          (3) One or more regional employers.
          (4) One or more nonprofit organizations with 
        expertise in rural education.
  (b) Eligible Partnerships; Applications.--To be eligible for 
a grant under this section, a partnership that meets the 
requirements of subsection (a) shall submit to the Secretary an 
application in such form and containing such information as the 
Secretary shall prescribe. In determining which applications to 
approve for a grant under this section, the Secretary shall 
consider--
          (1) the percentage of graduates, attendees, or former 
        attendees of high schools from rural local educational 
        agencies enrolled or otherwise affiliated with the 
        entity;
          (2) in the case of employers, the percentage of 
        employees that are graduates of high schools in rural 
        local educational agencies.
  (c) Use of Grant Amounts.--Funds made available by a grant 
under this section to a partnership that meets the requirements 
of subsection (b) shall be used--
          (1) to improve enrollment rates for graduates and 
        former attendees of rural high schools at rural 
        institutions of higher education, including--
                  (A) programs to provide information about 
                college costs and financial aid options, 
                assistance with college enrollment 
                applications, and assistance with financial aid 
                applications;
                  (B) programs or initiatives that provide such 
                graduates or former attendees of rural high 
                schools access and exposure to campuses, 
                classes, programs, and facilities of rural 
                institutions of higher education, including 
                covering the cost of transportation to and from 
                institutions of higher education;
                  (C) the formation of groups or other 
                initiatives that create support groups of such 
                students expressing interest in attending rural 
                institutions of higher education;
                  (D) extracurricular activities, such as 
                internships, community service, and other 
                activities for such individuals in advance of 
                attending institutions of higher education; and
                  (E) other initiatives that assist such 
                individuals in applying and developing interest 
                in attending rural institutions of higher 
                education; and
          (2) to encourage participation of nontraditional 
        students in degree programs at rural institutions of 
        higher education, including--
                  (A) programs to provide information about 
                college costs and financial aid options, 
                assistance with college enrollment 
                applications, and assistance with financial aid 
                applications for institutions of higher 
                education;
                  (B) outreach to nontraditional students 
                through community initiatives; and
                  (C) formation of support groups for 
                nontraditional students enrolling in 2-year 
                degree programs and articulating from 2-year 
                degree programs to 4-year degree programs.

SEC. 874. ECONOMIC DEVELOPMENT PARTNERSHIPS.

  (a) Grants Authorized.--From the amounts appropriated to 
carry out this part under section 800, the Secretary of 
Education is authorized to make grants in accordance with this 
section to partnerships formed between one or more rural 
institutions of higher education and one or more regional 
employers.
  (b) Eligible Partnerships; Applications.--To be eligible for 
a grant under this section, a partnership that meets the 
requirements of subsection (a) shall submit to the Secretary an 
application in such form and containing such information as the 
Secretary shall prescribe. In determining which applications to 
approve for a grant under this section, the Secretary shall 
consider--
          (1) the potential of the employer to employ graduates 
        of rural institutions of higher education after 
        graduation;
          (2) the potential of the employer engaged in the 
        partnership to spur economic development in the region; 
        and
          (3) the relevance of the employer to the regional 
        economy.
  (c) Use of Grant Amounts.--Funds made available by a grant 
under this section to a partnership that meets the requirements 
of subsection (a) shall be used--
          (1) to provide additional career training to 
        attendees of rural institutions of higher education in 
        fields relevant to the regional economy; and
          (2) to encourage regional businesses to employ 
        graduates of rural institutions of higher education.

SEC. 875. QUALITY OF LIFE IN RURAL AREAS.

  (a) Grants Authorized.--From the amounts appropriated to 
carry out this part under section 800, the Secretary of 
Education is authorized to make grants in accordance with this 
section to rural institutions of higher education.
  (b) Use of Grant Amounts.--Funds made available by a grant 
under this section to a partnership that meets the requirements 
of subsection (a) shall be used to create or strengthen 
academic programs to prepare graduates to enter into high-need 
occupations in the regional and local economies.

SEC. 876. ALLOCATION OF APPROPRIATIONS.

  (a) Grant Considerations.--In making grant allocations under 
this part to qualifying institutions and partnerships, the 
Secretary shall consider--
          (1) the percentage of graduates of rural high schools 
        attending rural institutions of higher education in 
        proximity to the entity receiving the grant;
          (2) employment needs of regional employers in 
        proximity to entities receiving the grant; and
          (3) the health of the regional economy of the region 
        surrounding the entity receiving the grant.
  (b) Maximum and Minimum Grants.--No grant awarded by the 
Secretary under this part shall be less than $200,000 or more 
than $500,000.
  (c) Grant Duration.--A grant awarded under this part shall be 
awarded for one 3-year period.

  PART K--IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 
  EDUCATION WITH A FOCUS ON ALASKA NATIVE AND NATIVE HAWAIIAN STUDENTS

SEC. 880. IMPROVING SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS 
                    EDUCATION WITH A FOCUS ON ALASKA NATIVE AND NATIVE 
                    HAWAIIAN STUDENTS.

  (a) Purpose.--The purpose of this section is--
          (1) to develop or expand programs for the development 
        of professionals in the fields of science, technology, 
        engineering, and mathematics; and
          (2) to focus resources on meeting the educational and 
        cultural needs of Alaska Natives and Native Hawaiians.
  (b) Definitions.--In this section:
          (1) Alaska native.--The term ``Alaska Native'' has 
        the meaning given the term ``Native'' in section 3(b) 
        of the Alaska Natives Claims Settlement Act (43 U.S.C. 
        1602(b)).
          (2) Eligible partnership.--The term ``eligible 
        partnership'' means a partnership that includes--
                  (A) 1 or more colleges or schools of 
                engineering;
                  (B) 1 or more colleges of science or 
                mathematics;
                  (C) 1 or more institutions of higher 
                education that offer 2-year degrees; and
                  (D) 1 or more private entities that--
                          (i) conduct career awareness 
                        activities showcasing local technology 
                        professionals;
                          (ii) encourage students to pursue 
                        education in science, technology, 
                        engineering, and mathematics from 
                        elementary school through college, and 
                        careers in those fields, with the 
                        assistance of local technology 
                        professionals;
                          (iii) develop internships, 
                        apprenticeships, and mentoring programs 
                        in partnership with relevant 
                        industries; and
                          (iv) assist with placement of interns 
                        and apprentices.
          (3) Native hawaiian.--The term ``Native Hawaiian'' 
        has the meaning given the term in section 7207 of the 
        Elementary and Secondary Education Act of 1965.
  (c) Grant Authorized.--From the amounts appropriated to carry 
out this part under section 800, the Secretary is authorized to 
award a grant to an eligible partnership to enable the eligible 
partnership to expand programs for the development of science, 
technology, engineering, or mathematics professionals, from 
elementary school through college, including existing programs 
for Alaska Native and Native Hawaiian students.
  (d) Uses of Funds.--Grant funds under this section shall be 
used for 1 or more of the following:
          (1) Development or implementation of cultural, 
        social, or educational transition programs to assist 
        students to transition into college life and academics 
        in order to increase such students' retention rates in 
        the fields of science, technology, engineering, or 
        mathematics, with a focus on Alaska Native or Native 
        Hawaiian students.
          (2) Development or implementation of academic support 
        or supplemental educational programs to increase the 
        graduation rates of students in the fields of science, 
        technology, engineering, or mathematics, with a focus 
        on Alaska Native and Native Hawaiian students.
          (3) Development or implementation of internship 
        programs, carried out in coordination with educational 
        institutions and private entities, to prepare students 
        for careers in the fields of science, technology, 
        engineering, or mathematics, with a focus on programs 
        that serve Alaska Native or Native Hawaiian students.
          (4) Such other activities as are consistent with the 
        purposes of this section.
  (e) Application.--Each eligible partnership that desires a 
grant under this section shall submit an application to the 
Secretary at such time, in such manner, and containing such 
information as the Secretary may require.
  (f) Priority.--In awarding grants under this section, the 
Secretary shall give priority to an eligible partnership that 
provides 1 or more programs in which 30 percent or more of the 
program participants are Alaska Native or Native Hawaiian.
  (g) Period of Grant.--A grant under this section shall be 
awarded for a period of 5 years.
  (h) Evaluation and Report.--Each eligible partnership that 
receives a grant under this section shall conduct an evaluation 
to determine the effectiveness of the programs funded under the 
grant and shall provide a report regarding the evaluation to 
the Secretary not later than 6 months after the end of the 
grant period.

PART L--NATIONAL DATABASE ON FINANCIAL ASSISTANCE FOR STUDY OF SCIENCE, 
                TECHNOLOGY, ENGINEERING, AND MATHEMATICS

SEC. 881. NATIONAL DATABASE ON FINANCIAL ASSISTANCE FOR STUDY OF 
                    SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS.

  (a) Establishment and Maintenance of Database.--
          (1) Database.--The Secretary of Education shall 
        establish and maintain, on the public website of the 
        Department of Education, a database consisting of 
        information on scholarships, fellowships, and other 
        programs of financial assistance available from public 
        and private sources for the study of science, 
        technology, engineering, or mathematics at the 
        postsecondary and post baccalaureate levels.
          (2) Presentation of information.--The information 
        maintained on the database established under this 
        section shall be displayed on the website in the 
        following manner:
                  (A) Separate information shall be provided 
                for each of the fields of study referred to in 
                paragraph (1) and for postsecondary and post 
                baccalaureate programs of financial assistance.
                  (B) The database shall provide specific 
                information on any programs of financial 
                assistance which are targeted to individuals of 
                a particular gender, ethnicity, or other 
                demographic group.
                  (C) If the sponsor of any program of 
                financial assistance included on the database 
                maintains a public website, the database shall 
                provide hyperlinks to the website.
                  (D) In addition to providing the hyperlink to 
                the website of a sponsor of a program of 
                financial assistance as required under 
                subparagraph (C), the database shall provide 
                general information that an interested person 
                may use to contact the sponsor, including the 
                sponsor's electronic mail address.
                  (E) The database shall have a search 
                capability which permits an individual to 
                search for information on the basis of each 
                category of the information provided and on the 
                basis of combinations of categories of the 
                information provided, including whether the 
                scholarship is need- or merit-based and by 
                relevant academic majors.
                  (F) The database shall include a 
                recommendation that students and families 
                should carefully review all of the application 
                requirements prior to applying for aid, and a 
                disclaimer that the scholarships presented in 
                the database are not provided or endorsed by 
                the Department of Education or the Federal 
                Government.
  (b) Dissemination of Information on Database.--The Secretary 
shall take such actions as may be necessary on an ongoing 
basis, including sending notices to secondary schools and 
institutions of higher education, to disseminate information on 
the database established and maintained under this part and to 
encourage its use by interested parties.
  (c) Use of Vendor To Obtain Information.--In carrying out 
this part, the Secretary of Education shall enter into a 
contract with a private entity under which the entity shall 
furnish and regularly update all of the information required to 
be maintained on the database established under this section.
  (d) Encouraging the Provision of Information.--In carrying 
out this part, the Secretary of Education and the contracted 
entity shall consult with public and private sources of 
scholarships and make easily available a process for such 
entities to provide regular and updated information.

                 PART M--TRAINING FOR REALTIME WRITERS

SEC. 882. PROGRAM TO PROMOTE TRAINING AND JOB PLACEMENT OF REALTIME 
                    WRITERS.

  (a) Authorization of Grant Program.--
          (1) In general.--From the amounts appropriated to 
        carry out this part under section 800, the Secretary of 
        Commerce shall make competitive grants to eligible 
        entities under subsection (b) to promote training and 
        placement of individuals, including individuals who 
        have completed a court reporting training program, as 
        realtime writers in order to meet the requirements for 
        closed captioning of video programming set forth in 
        section 713 of the Communications Act of 1934 (47 
        U.S.C. 613) and the rules prescribed thereunder.
          (2) Eligible entities.--For purposes of this part, an 
        eligible entity is a court reporting program that--
                  (A) can document and demonstrate to the 
                Secretary of Commerce that it meets minimum 
                standards of educational and financial 
                accountability, with a curriculum capable of 
                training realtime writers qualified to provide 
                captioning services;
                  (B) is accredited by an accrediting agency 
                recognized by the Department of Education; and
                  (C) is participating in student aid programs 
                under title IV.
          (3) Priority in grants.--In determining whether to 
        make grants under this section, the Secretary of 
        Commerce shall give a priority to eligible entities 
        that, as determined by the Secretary--
                  (A) possess the most substantial capability 
                to increase their capacity to train realtime 
                writers;
                  (B) demonstrate the most promising 
                collaboration with local educational 
                institutions, businesses, labor organizations, 
                or other community groups having the potential 
                to train or provide job placement assistance to 
                realtime writers; or
                  (C) propose the most promising and innovative 
                approaches for initiating or expanding training 
                or job placement assistance efforts with 
                respect to realtime writers.
          (4) Duration of grant.--A grant under this section 
        shall be for a period of 2 years.
          (5) Maximum amount of grant.--The amount of a grant 
        provided under subsection (a) to an entity eligible may 
        not exceed $1,500,000 for the 2-year period of the 
        grant under paragraph (4).
  (b) Application.--
          (1) In general.--To receive a grant under subsection 
        (a), an eligible entity shall submit an application to 
        the Secretary of Commerce at such time and in such 
        manner as the secretary may require. The application 
        shall contain the information set forth under paragraph 
        (2).
          (2) Information.--Information in the application of 
        an eligible entity under subsection (a) for a grant 
        under subsection (a) shall include the following:
                  (A) A description of the training and 
                assistance to be funded using the grant amount, 
                including how such training and assistance will 
                increase the number of realtime writers.
                  (B) A description of performance measures to 
                be utilized to evaluate the progress of 
                individuals receiving such training and 
                assistance in matters relating to enrollment, 
                completion of training, and job placement and 
                retention.
                  (C) A description of the manner in which the 
                eligible entity will ensure that recipients of 
                scholarships, if any, funded by the grant will 
                be employed and retained as realtime writers.
                  (D) A description of the manner in which the 
                eligible entity intends to continue providing 
                the training and assistance to be funded by the 
                grant after the end of the grant period, 
                including any partnerships or arrangements 
                established for that purpose.
                  (E) A description of how the eligible entity 
                will work with local workforce investment 
                boards to ensure that training and assistance 
                to be funded with the grant will further local 
                workforce goals, including the creation of 
                educational opportunities for individuals who 
                are from economically disadvantaged backgrounds 
                or are displaced workers.
                  (F) Additional information, if any, of the 
                eligibility of the eligible entity for priority 
                in the making of grants under subsection 
                (a)(3).
                  (G) Such other information as the Secretary 
                may require.
  (c) Use of Funds.--
          (1) In general.--An eligible entity receiving a grant 
        under subsection (a) shall use the grant amount for 
        purposes relating to the recruitment, training and 
        assistance, and job placement of individuals, including 
        individuals who have completed a court reporting 
        training program, as realtime writers, including--
                  (A) recruitment;
                  (B) subject to paragraph (2), the provision 
                of scholarships;
                  (C) distance learning;
                  (D) further developing and implementing both 
                English and Spanish curriculum to more 
                effectively train realtime writing skills, and 
                education in the knowledge necessary for the 
                delivery of high-quality closed captioning 
                services;
                  (E) mentoring students to ensure successful 
                completion of the realtime training and provide 
                assistance in job placement;
                  (F) encouraging individuals with disabilities 
                to pursue a career in realtime writing; and
                  (G) the employment and payment of personnel 
                for all such purposes.
          (2) Scholarships.--
                  (A) Amount.--The amount of a scholarship 
                under paragraph (1)(B) shall be based on the 
                amount of need of the recipient of the 
                scholarship for financial assistance, as 
                determined in accordance with part F of title 
                IV.
                  (B) Agreement.--Each recipient of a 
                scholarship under paragraph (1)(B) shall enter 
                into an agreement with the school in which the 
                recipient is enrolled to provide realtime 
                writing services for the purposes described in 
                subsection (a)(1) for a period of time 
                appropriate (as determined by the Secretary of 
                Commerce or the Secretary's designee) for the 
                amount of the scholarship received.
                  (C) Coursework and employment.--The Secretary 
                of Commerce or the Secretary's designee shall 
                establish requirements for coursework and 
                employment for recipients of scholarships under 
                paragraph (1)(B), including requirements for 
                repayment of scholarship amounts in the event 
                of failure to meet such requirements for 
                coursework and employment. Requirements for 
                repayment of scholarship amounts shall take 
                into account the effect of economic conditions 
                on the capacity of scholarship recipients to 
                find work as realtime writers.
          (3) Administrative costs.--The recipient of a grant 
        under this section may not use more than 5 percent of 
        the grant amount to pay administrative costs associated 
        with activities funded by the grant. The Secretary of 
        Commerce shall use not more than 5 percent of the 
        amount available for grants under this part in any 
        fiscal year for administrative costs of the program.
          (4) Supplement not supplant.--Grants amounts under 
        this part shall supplement and not supplant other 
        Federal or non-Federal funds of the grant recipient for 
        purposes of promoting the training and placement of 
        individuals as realtime writers.
  (d) Reports.--
          (1) Annual reports.--Each eligible entity receiving a 
        grant under subsection (a) shall submit to the 
        Secretary of Commerce, at the end of each year of the 
        grant period, a report on the activities of such entity 
        with respect to the use of grant amounts during such 
        year.
          (2) Report information.--
                  (A) In general.--Each report of an entity for 
                a year under paragraph (1) shall include a 
                description of the use of grant amounts by the 
                entity during such year, including an 
                assessment by the entity of the effectiveness 
                of activities carried out using such funds in 
                increasing the number of realtime writers. The 
                assessment shall utilize the performance 
                measures submitted by the entity in the 
                application for the grant under subsection 
                (b)(2).
                  (B) Final report.--The final report of an 
                entity on a grant under paragraph (1) shall 
                include a description of the best practices 
                identified by the entity as a result of the 
                grant for increasing the number of individuals 
                who are trained, employed, and retained in 
                employment as realtime writers.
          (3) Annual review.--The Inspector General of the 
        Department of Commerce shall conduct an annual review 
        of the management, efficiency, and effectiveness of the 
        grants made under this part.

       PART N--CENTERS OF EXCELLENCE FOR VETERAN STUDENT SUCCESS

SEC. 883. MODEL PROGRAMS FOR CENTERS OF EXCELLENCE FOR VETERAN STUDENT 
                    SUCCESS.

  (a) Purpose.--It is the purpose of this section to encourage 
model programs to support veteran student success in 
postsecondary education by coordinating services to address the 
academic, financial, physical, and social needs of veteran 
students.
  (b) Grants Authorized.--
          (1) In general.--Subject to the availability of 
        appropriations under section 800, the Secretary shall 
        award grants to institutions of higher education to 
        develop model programs to support veteran student 
        success in postsecondary education.
          (2) Grant period.--A grant awarded under this section 
        shall be awarded for a period of 3 years.
  (c) Use of Grants.--
          (1) Required activities.--An institution of higher 
        education receiving a grant under this section shall 
        use such grant to carry out a model program that 
        includes--
                  (A) establishing of a Center of Excellence 
                for Veteran Student Success on the campus of 
                the institution to provide a single point of 
                contact to coordinate comprehensive support 
                services for veteran students;
                  (B) establishing a veteran students support 
                team, including representatives from the 
                offices of the institution responsible for 
                admissions, registration, financial aid, 
                veterans benefits, academic advising, student 
                health, personal or mental health counseling, 
                career advising, disabilities services, and any 
                other office of the institution that provides 
                support to veteran students on campus;
                  (C) providing a full-time or part-time 
                coordinator whose primary responsibility is to 
                coordinate the model program carried out under 
                this section;
                  (D) monitoring the rates of veteran student 
                enrollment, persistence, and completion; and
                  (E) developing a plan to sustain the Center 
                of Excellence for Veteran Student Success after 
                the grant period.
          (2) Other authorized activities.--An institution of 
        higher education receiving a grant under this section 
        may use such grant to carry out any of the following 
        activities with respect to veteran students:
                  (A) Outreach and recruitment of such 
                students.
                  (B) Supportive instructional services for 
                such students, which may include--
                          (i) personal, academic, and career 
                        counseling, as an on-going part of the 
                        program;
                          (ii) tutoring and academic skill-
                        building instruction assistance, as 
                        needed; and
                          (iii) assistance with special 
                        admissions and transfer of credit from 
                        previous postsecondary education or 
                        experience.
                  (C) Assistance in obtaining student financial 
                aid.
                  (D) Housing support for students living in 
                institutional facilities and commuting 
                students.
                  (E) Cultural events, academic programs, 
                orientation programs, and other activities 
                designed to ease the transition to campus life 
                for such students.
                  (F) Support for veteran student organizations 
                and veteran student support groups on campus.
                  (G) Coordination of academic advising and 
                admissions counseling with military bases and 
                national guard units in the area.
                  (H) Other support services the institution 
                determines to be necessary to ensure the 
                success of such students in achieving their 
                educational and career goals.
  (d) Application; Selection.--
          (1) Application.--To be considered for a grant under 
        this section, an institution of higher education shall 
        submit to the Secretary an application at such time, in 
        such manner, and accompanied by such information as the 
        Secretary may require.
          (2) Selection considerations.--In awarding grants 
        under this section, the Secretary shall consider--
                  (A) the number of veteran students enrolled 
                at an institution of higher education; and
                  (B) the need for model programs to address 
                the needs of veteran students at a wide range 
                of institutions of higher education, including 
                the need to provide--
                          (i) an equitable distribution of such 
                        grants to institutions of higher 
                        education of various types and sizes;
                          (ii) an equitable geographic 
                        distribution of such grants; and
                          (iii) an equitable distribution of 
                        such grants among rural and urban 
                        areas.
  (e) Evaluation and Accountability Plan.--The Secretary shall 
develop an evaluation and accountability plan for model 
programs funded under this section to objectively measure the 
impact of such programs, including a measure of whether 
postsecondary education enrollment, persistence, and completion 
for veterans increases as a result of such programs.

               PART O--UNIVERSITY SUSTAINABILITY PROGRAMS

               Subpart 1--Sustainability Planning Grants

SEC. 884. GRANTS AUTHORIZED.

  (a) Program Authorized.--
          (1) In general.--From the amounts appropriated to 
        carry out this part under section 800, the Secretary 
        shall make grants to eligible entities to establish 
        sustainability programs to design and implement 
        sustainability practices, including in the areas of 
        energy management, green building, waste management, 
        purchasing, transportation, and toxics management, and 
        other aspects of sustainability that integrate campus 
        operations with multidisciplinary academic programs and 
        are applicable to the private and government sectors.
          (2) Period of grant.--The provision of payments under 
        a grant under paragraph (1) may extend over a period of 
        not more than 4 fiscal years.
          (3) Definition of eligible entities.--For purposes of 
        this part, the term ``eligible entity'' means--
                  (A) an institution of higher education that 
                grants 2 or 4-year undergraduate degrees, or 
                masters and doctoral degrees, or both; or
                  (B) a non-profit consortia, association, 
                alliance, or collaboration operating in 
                partnership with one or more institutions of 
                higher education that received funds for the 
                implementation of work associated with 
                sustainability programs under this part.
  (b) Applications.--
          (1) In general.--To receive a grant under subsection 
        (a)(1), an eligible entity shall submit an application 
        to the Secretary at such time, in such form, and 
        containing such information as the Secretary may 
        reasonably require.
          (2) Assurances.--Such application shall include 
        assurances that the eligible entity--
                  (A) has developed or shall develop a plan, 
                including an evaluation component, for the 
                program component established pursuant to 
                subsection (c);
                  (B) shall use Federal funds received from a 
                grant under subsection (a) to supplement, not 
                supplant, non-Federal funds that would 
                otherwise be available for projects funded 
                under such section;
                  (C) shall provide, with respect to any fiscal 
                year in which such entity receives funds from a 
                grant under subsection (a)(1), non-Federal 
                funds or an in-kind contribution in an amount 
                equal to 20 percent of funds from such grant, 
                for the purpose of carrying out the program 
                component established in subsection (c); and
                  (D) shall collaborate with business, 
                government, and the nonprofit sectors in the 
                development and implementation of its 
                sustainability plan.
  (c) Use of Funds.--
          (1) Individual institutions.--Grants made under 
        subsection (a) may be used by an eligible entity that 
        is an individual institution of higher education for 
        the following purposes:
                  (A) To develop and implement administrative 
                and operations practices at institutions of 
                higher education that test, model, and analyze 
                principles of sustainability.
                  (B) To establish multidisciplinary education, 
                research, and outreach programs at institutions 
                of higher education that address the 
                environmental, social, and economic dimensions 
                of sustainability.
                  (C) To support research and teaching 
                initiatives that focus on multidisciplinary and 
                integrated environmental, economic, and social 
                elements.
                  (D) To establish initiatives in the areas of 
                energy management, green building, waste 
                management, purchasing, toxics management, 
                transportation, and other aspects of 
                sustainability.
                  (E) To support student, faculty, and staff 
                work at institutions of higher education to 
                implement, research, and evaluate sustainable 
                practices.
                  (F) To establish sustainability literacy as a 
                requirement for undergraduate and graduate 
                degree programs.
                  (G) To integrate sustainability curriculum in 
                all programs of instruction, particularly in 
                business, architecture, technology, 
                manufacturing, engineering, and science 
                programs.
          (2) Partnerships.--Grants made under subsection (a) 
        may be used by an eligible entity that is a non-profit 
        consortia, association, alliance, or collaboration 
        operating as a partnership with one or more 
        institutions of higher education for the following 
        purposes:
                  (A) To conduct faculty, staff and 
                administrator training on the subjects of 
                sustainability and institutional change.
                  (B) To compile, evaluate, and disseminate 
                best practices, case studies, guidelines and 
                standards.
                  (C) To conduct efforts to engage external 
                stakeholders such as business, alumni, and 
                accrediting agencies in the process of building 
                support for research, education, and technology 
                development for sustainability.
                  (D) To conduct professional development 
                programs for faculty in all disciplines to 
                enable faculty to incorporate sustainability 
                content in their courses.
                  (E) To enable an appropriate non-profit 
                consortia, association, alliance, or 
                collaboration operating in partnership with an 
                institution of higher education to create the 
                analytical tools necessary for institutions of 
                higher education to assess and measure their 
                individual progress toward fully sustainable 
                campus operations and fully integrating 
                sustainability into the curriculum.
                  (F) To develop educational benchmarks for 
                institutions of higher education to determine 
                the necessary rigor and effectiveness of 
                academic sustainability programs.
  (d) Reports.--An eligible entity that receives a grant under 
subsection (a) shall submit to the Secretary, for each fiscal 
year in which the entity receives amounts from such grant, a 
report that describes the work conducted pursuant to subsection 
(c), research findings and publications, administrative savings 
experienced, and an evaluation of the program.
  (e) Allocation Requirement.--The Secretary may not make 
grants under subsection (a) to any eligible entity in a total 
amount that is less than $250,000 or more than $2,000,000.

                  Subpart 2--Summit on Sustainability

SEC. 885. SUMMIT ON SUSTAINABILITY.

  Not later than September 30, 2008, the Secretary of Education 
shall convene a summit of higher education experts working in 
the area of sustainable operations and programs, 
representatives from agencies of the Federal Government, and 
business and industry leaders to focus on efforts of national 
distinction that--
          (1) encourage faculty, staff, and students at 
        institutions of higher education to establish 
        administrative and academic sustainability programs on 
        campus;
          (2) enhance research by faculty and students at 
        institutions of higher education in sustainability 
        practices and innovations that assist and improve 
        sustainability;
          (3) encourage institutions of higher education to 
        work with community partners from the business, 
        government, and nonprofit sectors to design and 
        implement sustainability programs for application in 
        the community and workplace;
          (4) identify opportunities for partnerships involving 
        institutions of higher education and the Federal 
        Government to expand sustainable operations and 
        academic programs focused on environmental and economic 
        sustainability; and
          (5) charge the summit participants or steering 
        committee to submit a set of recommendations for 
        addressing sustainability through institutions of 
        higher education.

                PART P--MODELING AND SIMULATION PROGRAMS

SEC. 886. MODELING AND SIMULATION.

  (a) Purpose; Definition.--
          (1) Purpose.--The purpose of this section is to 
        promote the study of modeling and simulation at 
        institutions of higher education, through the 
        collaboration with new and existing programs, and 
        specifically to promote the use of technology in such 
        study through the creation of accurate models that can 
        simulate processes or recreate real life, by--
                  (A) establishing a task force at the 
                Department of Education to raise awareness of 
                and define the study of modeling and 
                simulation;
                  (B) providing grants to institutions of 
                higher education to develop new modeling and 
                simulation degree programs; and
                  (C) providing grants for institutions of 
                higher education to enhance existing modeling 
                and simulation degree programs.
          (2) Definition.--In this section, the term ``modeling 
        and simulation'' means a field of study related to the 
        application of computer science and mathematics to 
        develop a level of understanding of the interaction of 
        the parts of a system and of a system as a whole.
  (b) Establishment of Task Force.--
          (1) In general.--Subject to the availability of 
        appropriations, the Secretary shall establish a 
        taskforce within the Department of Education to study 
        modeling and simulation and to support the development 
        of the modeling and simulation field. The activities of 
        such taskforce shall include--
                  (A) helping to define the study of modeling 
                and simulation (including the content of 
                modeling and simulation classes and programs);
                  (B) identifying best practices for such 
                study;
                  (C) identifying core knowledge and skills 
                that individuals who participate in modeling 
                and simulation programs should acquire; and
                  (D) providing recommendations to the 
                Secretary with respect to--
                          (i) the information described in 
                        subparagraphs (A) through (C); and
                          (ii) a system by which grants under 
                        this section will be distributed.
          (2) Taskforce membership.--The membership of the 
        taskforce under this subsection shall be composed of 
        representatives from--
                  (A) institutions of higher education with 
                established modeling and simulation degree 
                programs;
                  (B) the National Science Foundation;
                  (C) Federal Government agencies that use 
                modeling and simulation extensively, including 
                the Department of Defense, the National 
                Institute of Health, the Department of Homeland 
                Security, the Department of Health and Human 
                Services, the Department of Energy, and the 
                Department of Transportation;
                  (D) private industries with a primary focus 
                on modeling and simulation; and
                  (E) national modeling and simulation 
                organizations.
  (c) Enhancing Modeling and Simulation at Institutions of 
Higher Education.--
          (1) Enhancement grants authorized.--
                  (A) In general.--The Secretary is authorized 
                to award grants, on a competitive basis, to 
                eligible institutions to enhance modeling and 
                simulation degree programs at such eligible 
                institutions.
                  (B) Duration of grant.--A grant awarded under 
                this subsection shall be awarded for a 3-year 
                period, and such grant period may be extended 
                for not more than 2 years if the Secretary 
                determines that an eligible institution has 
                demonstrated success in enhancing the modeling 
                and simulation degree program at such eligible 
                institution.
                  (C) Minimum grant amount.--Subject to the 
                availability of appropriations, a grant awarded 
                to an eligible institution under this 
                subsection shall not be less than $750,000.
                  (D) Non-federal share.--Each eligible 
                institution receiving a grant under this 
                subsection shall provide, from non-Federal 
                sources, in cash or in kind, an amount equal to 
                25 percent of the amount of the grant to carry 
                out the activities supported by the grant. The 
                Secretary may waive the non-Federal share 
                requirement under this subparagraph for an 
                eligible institution if the Secretary 
                determines a waiver to be appropriate based on 
                the financial ability of the institution.
          (2) Eligible institutions.--For the purposes of this 
        subsection, an eligible institution is an institution 
        of higher education that--
                  (A) has an established modeling and 
                simulation degree program, including a major, 
                minor, or career-track program; or
                  (B) has an established modeling and 
                simulation certificate or concentration 
                program.
          (3) Application.--To be considered for a grant under 
        this subsection, an eligible institution shall submit 
        to the Secretary an application at such time, in such 
        manner, and containing such information as the 
        Secretary may require. Such application shall include--
                  (A) a letter from the president or provost of 
                the eligible institution that demonstrates the 
                institution's commitment to the enhancement of 
                the modeling and simulation program at the 
                institution of higher education;
                  (B) an identification of designated faculty 
                responsible for the enhancement of the 
                institution's modeling and simulation program; 
                and
                  (C) a detailed plan for how the grant funds 
                will be used to enhance the modeling and 
                simulation program of the institution.
          (4) Uses of funds.--A grant awarded under this 
        subsection shall be used by an eligible institution to 
        carry out the plan developed in accordance with 
        paragraph (3)(C) to enhance modeling and simulation 
        programs at the institution, which may include--
                  (A) in the case of an institution that is 
                eligible under paragraph (2)(B), activities to 
                assist in the establishment of a major, minor, 
                or career-track modeling and simulation program 
                at the eligible institution;
                  (B) expanding the multi-disciplinary nature 
                of the institution's modeling and simulation 
                programs;
                  (C) recruiting students into the field of 
                modeling and simulation through the provision 
                of fellowships or assistantships;
                  (D) creating new courses to compliment 
                existing courses and reflect emerging 
                developments in the modeling and simulation 
                field;
                  (E) conducting research to support new 
                methodologies and techniques in modeling and 
                simulation; and
                  (F) purchasing equipment necessary for 
                modeling and simulation programs.
  (d) Establishing Modeling and Simulation Programs.--
          (1) Establishment grants authorized.--
                  (A) In general.--The Secretary is authorized 
                to award grants to institutions of higher 
                education to establish a modeling and 
                simulation program, including a major, minor, 
                career-track, certificate, or concentration 
                program.
                  (B) Duration of grant.--A grant awarded under 
                this subsection shall be awarded for a 3-year 
                period, and such grant period may be extended 
                for not more than 2 years if the Secretary 
                determines that an eligible institution has 
                demonstrated success in establishing a modeling 
                and simulation degree program at such eligible 
                institution.
                  (C) Minimum grant amount.--Subject to the 
                availability of appropriations, a grant awarded 
                to an eligible institution under this 
                subsection shall not be less than $750,000.
                  (D) Non-federal share.--Each eligible 
                institution receiving a grant under this 
                subsection shall provide, from non-Federal 
                sources, in cash or in kind, an amount equal to 
                25 percent of the amount of the grant to carry 
                out the activities supported by the grant. The 
                Secretary may waive the non-Federal share 
                requirement under this subparagraph for an 
                eligible institution if the Secretary 
                determines a waiver to be appropriate based on 
                the financial ability of the institution.
          (2) Application.--To apply for a grant under this 
        subsection, an eligible institution shall submit to the 
        Secretary an application at such time, in such manner, 
        and containing such information as the Secretary may 
        require. Such application shall include--
                  (A) a letter from the president or provost of 
                the eligible institution that demonstrates the 
                institution's commitment to the establishment 
                of a modeling and simulation program at the 
                institution of higher education;
                  (B) a detailed plan for how the grant funds 
                will be used to establish a modeling and 
                simulation program at the institution; and
                  (C) a description of how the modeling and 
                simulation program established under this 
                subsection will complement existing programs 
                and fit in to the institution's current program 
                and course offerings.
          (3) Uses of funds.--A grant awarded under this 
        subsection may be used by an eligible institution to--
                  (A) establish, or work toward the 
                establishment of, a modeling and simulation 
                program, including a major, minor, career-
                track, certificate, or concentration program at 
                the eligible institution;
                  (B) provide adequate staffing to ensure the 
                successful establishment of the modeling and 
                simulation program, which may include the 
                assignment of full-time dedicated or supportive 
                faculty; and
                  (C) purchasing equipment necessary for a 
                modeling and simulation program.
  (e) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section $40,000,000 for 
fiscal year 2009 and such sums as may be necessary for each of 
the 4 succeeding fiscal years. Of the amounts authorized to be 
appropriated for each fiscal year--
          (1) $1,000,000 is authorized to carry out the 
        activities of the task force established pursuant to 
        subsection (b); and
          (2) of the amount remaining after the allocation for 
        paragraph (1)--
                  (A) 50 percent is authorized to carry out the 
                grant program under subsection (c); and
                  (B) 50 percent is authorized to carry out the 
                grant program under subsection (d).

                PART Q--BUSINESS WORKFORCE PARTNERSHIPS

SEC. 887. GRANTS TO CREATE BUSINESS WORKFORCE PARTNERSHIPS.

  (a) Purpose and Authorization.--
          (1) Purpose.--The purpose of this section is to 
        provide grants to institutions of higher education 
        partnering with employers to strengthen ties between 
        college degree credit offerings and business and 
        industry workforce needs, and expand opportunities for 
        worksite learning.
          (2) Authorization of program.--The Secretary shall 
        award grants, on a competitive basis, to eligible 
        partnerships for the purposes of creating business and 
        industry workforce partnerships.
  (b) Definition of Business and Industry Workforce 
Partnership.--
          (1) In general.--For purposes of this section, the 
        term ``business and industry workforce partnership'' 
        means a partnership between an institution of higher 
        education and--
                  (A) an employer or group of employers, or a 
                local board (as such term is defined in section 
                101 of the Workforce Investment Act of 1998), 
                or both; and
                  (B) labor organizations, where applicable, 
                that represent workers locally in the 
                businesses or industries that are the focus of 
                the partnership, including as a result of such 
                organization's representation of employees at a 
                worksite at which the partnership proposes to 
                conduct activities under this section.
          (2) Exception.--In the case of a State that does not 
        operate local boards, paragraph (1)(A) shall be applied 
        by substituting ``State board'' for ``local board''.
  (c) Application.--A business and industry workforce 
partnership seeking a grant under this section shall submit an 
application to the Secretary at such time, in such manner, and 
containing such information as the Secretary may require.
  (d) Priority for Applications Focused on Serving 
Nontraditional Students.--The Secretary shall give priority to 
applications focused on serving nontraditional students who are 
independent, as defined in section 480(d), do not already have 
a bachelor's degree, and who have one or more of the following 
characteristics:
          (1) Are the first generation in their family to 
        attend college.
          (2) Have delayed enrollment in college.
          (3) Have dependents.
  (e) Peer Review.--The Secretary shall convene a peer review 
process, which shall include individuals knowledgeable about 
workforce education for working adults, to review applications 
for grants under this section, and make recommendations to the 
Secretary on the selection of grant recipients.
  (f) Mandatory Activities.--A partnership that receives a 
grant under this section shall use the grant funds to carry out 
all of the following activities:
          (1) Identify high demand occupations in the regional 
        labor market which offer or can lead to high wages, in 
        coordination with the State employment security agency 
        funded under the Wagner-Peyser Act.
          (2) Develop linked career and educational pathways 
        for those occupations and related ones, including, 
        where appropriate, pathways involving registered 
        apprenticeships.
          (3) Consult with employers offering jobs in 
        occupations identified under paragraph (1) to determine 
        workforce development needs.
          (4) Consult with labor organizations representing 
        workers locally in the occupations identified in 
        paragraph (1), where applicable.
          (5) Identify existing college degree credit offerings 
        or create new degree credit offerings that prepare 
        students to meet business and industry workforce needs, 
        including offerings connected to registered 
        apprenticeship programs.
  (g) Permissible Activities.--A partnership that receives a 
grant under this section may use the grant funds to carry out 
one or more of the following activities:
          (1) In consultation with faculty in the appropriate 
        departments, adapt college offerings identified and 
        created under subsection (f)(5) to the schedules and 
        needs of working students, such as by creating evening, 
        weekend, modular, compressed, or distance learning 
        formats, enrolling students in learning communities, or 
        other relevant innovations.
          (2) Create bridge programs that prepare students with 
        lower skills or limited English proficiency to enter 
        the college offerings identified or created under 
        subsection (f)(5).
          (3) Expand worksite learning opportunities.
          (4) Other activities that the institution and the 
        Secretary deem appropriate to carry out the purposes of 
        this program.
  (h) Grant Period.--Grants made under this section shall be 
for a period of at least 36 months and not more than 60 months.
  (i) Technical Assistance.--The Secretary shall provide 
technical assistance to grantees under this section throughout 
the grant period.
  (j) Evaluation.--The Secretary shall conduct an evaluation of 
the effectiveness of the program under this section and 
disseminate the findings of such evaluation, as well as 
information on promising practices developed under this 
section.
  (k) Report to Congress.--Not less than 36 months after the 
first grant is awarded under this section, the Secretary, 
jointly with the Secretary of Labor, shall report to Congress 
on:
          (1) Changes to the Higher Education Act and related 
        Acts, such as the Perkins Vocational and Technical 
        Education Act and the Workforce Investment Act (both 
        Title I and Title II), that would help create and 
        sustain business and industry workforce partnerships at 
        colleges.
          (2) Other changes to the Higher Education Act and 
        related Acts, such as the Perkins Vocational and 
        Technical Education Act and the Workforce Investment 
        Act, that would more generally strengthen the links 
        between business and industry workforce needs, 
        workforce development programs, and other college 
        degree credit offerings.
                              ----------                              


EDUCATION OF THE DEAF ACT OF 1986

           *       *       *       *       *       *       *


  TITLE I--GALLAUDET UNIVERSITY; NATIONAL TECHNICAL INSTITUTE FOR THE 
                                  DEAF

Part A--Gallaudet University

           *       *       *       *       *       *       *


SEC. 104. [ELEMENTARY AND SECONDARY EDUCATION PROGRAMS.] LAURENT CLERC 
                    NATIONAL DEAF EDUCATION CENTER.

  (a) General Authority.--(1)(A) The Board of Trustees of 
Gallaudet University is authorized, in accordance with the 
agreement under section 105, to maintain and operate the 
Laurent Clerc National Deaf Education Center (referred to in 
this section as the ``Clerc Center'') to carry out exemplary 
elementary and secondary education programs, projects, and 
activities for the primary purpose of developing, evaluating, 
and disseminating innovative curricula, instructional 
techniques and strategies, and materials that can be used in 
various educational environments serving individuals who are 
deaf or hard of hearing throughout the Nation.

           *       *       *       *       *       *       *

  (b) Administrative Requirements.--(1) The [elementary and 
secondary education programs] Clerc Center shall--
          (A) * * *

           *       *       *       *       *       *       *

  (2) To the extent possible, the [elementary and secondary 
education programs] Clerc Center shall provide the services 
required under paragraph (1)(B) in an equitable manner, based 
on the national distribution of students who are deaf or hard 
of hearing in educational environments as determined by the 
Secretary for purposes of section 618(a)(1) of the Individuals 
with Disabilities Education Act. Such educational environments 
shall include--
          (A) * * *

           *       *       *       *       *       *       *

  (4) If the parents or guardian places a child in one of the 
elementary or secondary education programs, the University 
shall--
          (A) * * *

           *       *       *       *       *       *       *

          (C) provide the child a free appropriate public 
        education in accordance with part B of the Individuals 
        with Disabilities Education Act and procedural 
        safeguards in accordance with the following provisions 
        of section 615 of such Act:
                  (i) Paragraphs (1), and (3) through [(6)] (8) 
                of subsection (b).

           *       *       *       *       *       *       *

                  (vi) Subsections (k) through [(m)] (o).
  (5) The University, for purposes of the elementary and 
secondary education programs carried out at the Clerc Center, 
shall--
          (A)(i)(I) select challenging academic content 
        standards, challenging student academic achievement 
        standards, and academic assessments of a State, adopted 
        and implemented, as appropriate, pursuant to paragraphs 
        (1) and (3) of section 1111(b) of the Elementary and 
        Secondary Education Act of 1965 (20 U.S.C. 6311(b)(1) 
        and (3)) and approved by the Secretary; or
          (II) develop such standards and assessments subject 
        to the approval of the Secretary; and
          (ii) implement such standards and assessments for 
        such programs by not later than the beginning of the 
        2009-2010 academic year;
          (B) annually determine whether such programs at the 
        Clerc Center are making adequate yearly progress, as 
        determined according to the definition of adequate 
        yearly progress defined (pursuant to section 
        1111(b)(2)(C) of such Act (20 U.S.C. 6311(b)(2)(C))) 
        by--
                  (i) the State that has adopted and 
                implemented the standards and assessments 
                selected under subparagraph (A)(i)(I); or
                  (ii) the University, if the University 
                develops standards and assessments in 
                accordance with subparagraph (A)(i)(II); and
          (C) publicly report the results of the academic 
        assessments implemented under subparagraph (A), except 
        where such reporting would not yield statistically 
        reliable information or would reveal personally 
        identifiable information about an individual student, 
        and whether the programs at the Clerc Center are making 
        adequate yearly progress, as determined under 
        subparagraph (B).

SEC. 105. AGREEMENT WITH GALLAUDET UNIVERSITY.

  (a) * * *
  (b) Provisions of Agreement.--The agreement shall--
          (1) * * *

           *       *       *       *       *       *       *

          (4) provide that any laborer or mechanic employed by 
        any contractor or subcontractor in the performance of 
        work on any construction aided by Federal funds 
        appropriated for the benefit of the Kendall 
        Demonstration Elementary School or the Model Secondary 
        School for the Deaf will be paid wages at rates not 
        less than those prevailing on similar construction in 
        the locality as determined by the Secretary of Labor in 
        accordance with [the Act of March 3, 1931 (40 U.S.C. 
        276a-276a-5) commonly referred to as the Davis-Bacon 
        Act] subchapter IV of chapter 31 of title 40, United 
        States Code, commonly referred to as the Davis-Bacon 
        Act; except that the Secretary of Labor shall have, 
        with respect to the labor standards specified in this 
        paragraph, the authority and functions set forth in 
        Reorganization Plan Numbered 14 of 1950 (5 U.S.C. App.) 
        and [section 2 of the Act of June 13, 1934 (40 U.S.C. 
        276c)] section 3145 of title 40, United States Code; 
        and

           *       *       *       *       *       *       *


Part B--National Technical Institute for the Deaf

           *       *       *       *       *       *       *


SEC. 112. AGREEMENT FOR THE NATIONAL TECHNICAL INSTITUTE FOR THE DEAF.

  (a) General Authority.--(1) The Secretary is authorized to 
establish or continue an agreement with [an institution of 
higher education] the Rochester Institute of Technology, 
Rochester, New York for the establishment and operation, 
including construction and equipment, [of a] of the National 
Technical Institute for the Deaf. [The Secretary, in 
considering proposals from institutions of higher education to 
enter into an agreement under this part, shall give preference 
to institutions which are located in metropolitan industrial 
areas.]
  (2) If, pursuant to the agreement established under paragraph 
(1), either the Secretary or the Rochester Institute of 
Technology terminates the agreement, the Secretary shall 
consider proposals from other institutions of higher education 
and enter into an agreement with one of those institutions for 
the establishment and operation of a National Technical 
Institute for the Deaf.
  [(2)] (3) The Secretary and the institution of higher 
education with which the Secretary has an agreement under this 
section--
          (A) * * *

           *       *       *       *       *       *       *

  (b) Provisions of Agreement.--The agreement shall--
          (1) * * *

           *       *       *       *       *       *       *

          (3) provide that the Board of Trustees or other 
        governing body of the institution will prepare and 
        submit to the Secretary, not later than June 1 
        following the fiscal year for which the report is 
        submitted, an annual report containing an accounting of 
        all indirect costs paid to the institution of higher 
        education under the agreement with the Secretary, which 
        accounting the Secretary shall transmit to the 
        Committee on Education and Labor of the House of 
        Representatives and to the [Committee on Labor and 
        Human Resources of the Senate] Committee on Health, 
        Education, Labor, and Pensions of the Senate, with such 
        comments and recommendations as the Secretary may deem 
        appropriate;

           *       *       *       *       *       *       *

          (5) provide that any laborer or mechanic employed by 
        any contractor or subcontractor in the performance of 
        work on any construction aided by Federal funds 
        appropriated for the benefit of NTID will be paid wages 
        at rates not less than those prevailing on similar 
        construction in the locality as determined by the 
        Secretary of Labor in accordance with [the Act of March 
        3, 1931 (40 U.S.C. 276a-276a-5) commonly referred to as 
        the Davis-Bacon Act] subchapter IV of chapter 31 of 
        title 40, United States Code, commonly referred to as 
        the Davis-Bacon Act; except that the Secretary of Labor 
        shall have, with respect to the labor standards 
        specified in this paragraph, the authority and 
        functions set forth in Reorganization Plan Numbered 14 
        of 1950 (5 U.S.C. App.) and [section 2 of the Act of 
        June 13, 1934 (40 U.S.C. 276c)] section 3145 of title 
        40, United States Code; and

           *       *       *       *       *       *       *


TITLE II--GENERAL PROVISIONS

           *       *       *       *       *       *       *


SEC. 203. AUDIT.

  (a) * * *
  (b) Independent Financial and Compliance Audit.--
          (1) * * *
          (2) Compliance.--As used in paragraph (1), compliance 
        means compliance with [sections 102(b), 105(b)(4), 
        112(b)(5), and 203(c), paragraphs (2) and (3) of 
        section 207(b), subsections (b)(2), (b)(3), and (c) 
        through (f), of section 207, and subsections (b) and 
        (c) of section 210.] sections 102(b), 105(b)(4), 
        112(b)(5), 203(c), 207(b)(2), subsections (c) through 
        (f) of section 207, and subsections (b) and (c) of 
        section 209.
          (3) Submission of audits.--A copy of each audit 
        described in paragraph (1) shall be provided to the 
        Secretary and the Committee on Education and Labor of 
        the House of Representatives and the Committee on 
        Health, Education, Labor, and Pensions of the Senate 
        within 15 days of acceptance of the audit by the 
        University or the institution authorized to establish 
        and operate the NTID under section 112(a), as the case 
        may be, but not later than January 10 of each year.
  (c) Limitations Regarding Expenditure of Funds.--
          (1) * * *
          (2) Policies.--
                  (A) Not later than 180 days after the date of 
                the enactment of the Education of the Deaf Act 
                Amendments of 1992, the University and NTID 
                shall develop policies, to be applied 
                uniformly, for the allowability of expenditures 
                for each institution. These policies should 
                reflect the unique nature of these 
                institutions. The principles established by the 
                Office of Management and Budget for costs of 
                educational institutions may be used as 
                guidance in developing these policies. General 
                principles relating to allowability and 
                reasonableness of all costs associated with the 
                operations of the institutions shall be 
                addressed. These policies shall be submitted to 
                the Secretary for review and comments, and to 
                the Committee on Education and Labor of the 
                House of Representatives and the [Committee on 
                Labor and Human Resources of the Senate] 
                Committee on Health, Education, Labor, and 
                Pensions of the Senate.

           *       *       *       *       *       *       *


SEC. 204. REPORTS.

  The Board of Trustees of Gallaudet University and the Board 
of Trustees or other governing body of the institution of 
higher education with which the Secretary has an agreement 
under section 112 shall prepare and submit an annual report to 
the Secretary, and to the Committee on Education and Labor of 
the House of Representatives and the [Committee on Labor and 
Human Resources of the Senate] Committee on Health, Education, 
Labor, and Pensions of the Senate, not later than 100 days 
after the end of each fiscal year, which shall include the 
following:
          (1) The number of students during the preceding 
        academic year who enrolled and whether these were 
        first-time enrollments, who graduated, who found 
        employment, or who left without completing a program of 
        study, reported under each of the programs of the 
        University (elementary, secondary, [preparatory,] 
        undergraduate, and graduate) and of NTID.
          (2) For the preceding academic year, and to the 
        extent possible, the following data on individuals who 
        are deaf and from minority backgrounds and who are 
        students (at all educational levels) or employees:
                  (A) * * *

           *       *       *       *       *       *       *

                  (C) The disposition of these students [upon 
                graduation/completion] on the date that is 1 
                year after the date of graduation or completion 
                of programs at NTID and at the University and 
                its elementary and secondary schools in 
                comparison to students from non-minority 
                backgrounds.

           *       *       *       *       *       *       *

          (3) (A) A summary of the annual audited financial 
        statements and auditor's report of the University, as 
        required under section 203, and (B) a summary of the 
        annual audited financial statements and auditor's 
        report [of the institution of higher education with 
        which the Secretary has an agreement under section 112, 
        including specific schedules and analyses for all NTID 
        funds, as required under section 203, and such 
        supplementary schedules presenting financial 
        information for NTID for the end of the Federal fiscal 
        year as determined by the Secretary.] of NTID programs 
        and activities.

SEC. 205. MONITORING, EVALUATION, AND REPORTING.

  (a) Activities.--The Secretary shall conduct monitoring and 
evaluation activities of the education programs and activities 
and the administrative operations of the University (including 
the elementary, secondary, [preparatory,] undergraduate, and 
graduate programs) and of NTID. The Secretary may also conduct 
studies related to the provision of preschool, elementary, 
secondary, and postsecondary education and other related 
services to individuals who are deaf or hard of hearing. In 
carrying out the responsibilities described in this section, 
the Secretary is authorized to employ such consultants as may 
be necessary pursuant to section 3109 of title 5, United States 
Code.
  (b) Report.--[The Secretary, as part of the annual report 
required under section 426 of the Department of Education 
Organization Act, shall include a description of] The Secretary 
shall annually transmit information to Congress on the 
monitoring and evaluation activities pursuant to subsection 
(a), together with such recommendations, including 
recommendations for legislation, as the Secretary may consider 
necessary.
  (c) Authorization of Appropriations.--There are authorized to 
be appropriated such sums as may be necessary for each of the 
[fiscal years 1998 through 2003] fiscal years 2008 through 2013 
to carry out the monitoring and evaluation activities 
authorized under this section.

SEC. 206. LIAISON FOR EDUCATIONAL PROGRAMS.

  (a) Designation of Liaison.--[Not later than 30 days after 
the date of enactment of this Act, the] The Secretary shall 
designate an individual in the Office of Special Education and 
Rehabilitative Services of the Department of Education from 
among individuals who have experience in the education of 
individuals who are deaf to serve as liaison between the 
Department and Gallaudet University, the National Technical 
Institute for the Deaf, and other postsecondary educational 
programs for individuals who are deaf under the Individuals 
with Disabilities Education Act, the Rehabilitation Act of 
1973, and other Federal or non-Federal agencies, institutions, 
or organizations involved with the education or rehabilitation 
of individuals who are deaf or hard of hearing.

           *       *       *       *       *       *       *


SEC. 207. FEDERAL ENDOWMENT PROGRAMS FOR GALLAUDET UNIVERSITY AND THE 
                    NATIONAL TECHNICAL INSTITUTE FOR THE DEAF.

  (a) * * *

           *       *       *       *       *       *       *

  (h) Authorization of Appropriations.--
          (1) In the case of the University, there are 
        authorized to be appropriated for the purposes of this 
        section such sums as may be necessary for each of the 
        [fiscal years 1998 through 2003] fiscal years 2008 
        through 2013.
          (2) In the case of NTID, there are authorized to be 
        appropriated for the purposes of this section such sums 
        as may be necessary for each of the [fiscal years 1998 
        through 2003] fiscal years 2008 through 2013.

           *       *       *       *       *       *       *


SEC. 208. OVERSIGHT AND EFFECT OF AGREEMENTS.

  (a) Oversight Activities.--Nothing in this Act shall be 
construed to diminish the oversight activities of the 
[Committee on Labor and Human Resources of the Senate and the 
Committee on Education and the Workforce of the House of 
Representatives] Committee on Education and Labor of the House 
of Representatives and the Committee on Health, Education, 
Labor, and Pensions of the Senate with respect to any agreement 
entered into between the Secretary of Education and Gallaudet 
University, and the institution of higher education with which 
the Secretary has an agreement under part B of title I.

           *       *       *       *       *       *       *


SEC. 209. INTERNATIONAL STUDENTS.

  (a) Enrollment.--[Effective with]
          (1) In general.--Except as provided in paragraph (2), 
        effective with new admissions for academic year 1993-
        1994 and each succeeding academic year, the University 
        (including [preparatory, undergraduate,] undergraduate 
        and graduate students) and NTID shall limit the 
        enrollment of international students to approximately 
        15 percent of the total postsecondary student 
        population enrolled respectively at the University or 
        NTID, except that in any school year no United States 
        citizen who is qualified to be admitted to the 
        University or NTID and applies for admission to the 
        University or NTID shall be denied admission because of 
        the admission of an international student.
          (2) Distance learning.--International students who 
        participate in distance learning courses that are at 
        NTID or the University and who are residing outside of 
        the United States shall--
                  (A) not be counted as international students 
                for purposes of the cap on international 
                students under paragraph (1), except that in 
                any school year no United States citizen who 
                applies to participate in distance learning 
                courses that are at the University or NTID 
                shall be denied participation in such courses 
                because of the participation of an 
                international student in such courses; and
                  (B) not be charged a tuition surcharge, as 
                described in subsection (b).
  [(b) Tuition Surcharge.--Effective with new admissions, the 
tuition for postsecondary international students enrolled in 
the University (including preparatory, undergraduate, and 
graduate students) or NTID shall include a surcharge of 100 
percent for the academic year 1999-2000 and any succeeding 
academic year.
  [(c) Reduction of Surcharge.--Beginning with the academic 
year 1993-1994, the University or NTID may reduce the surcharge 
under subsection (b) to 50 percent if--
          [(1) a student described under subsection (b) is from 
        a developing country;
          [(2) such student is unable to pay the tuition 
        surcharge under subsection (b); and
          [(3) such student has made a good faith effort to 
        secure aid through such student's government or other 
        sources.
  [(d) Definition.--For purposes of subsection (c), the term 
``developing country'' means a country that has a 1990 per 
capita income not in excess of $4,000 in 1990 United States 
dollars.]
  (b) Tuition Surcharge.--Except as provided in subsections 
(a)(2)(B) and (c), the tuition for postsecondary international 
students enrolled in the University (including undergraduate 
and graduate students) or NTID shall include, for academic year 
2008-2009 and any succeeding academic year, a surcharge of--
          (1) 100 percent for a postsecondary international 
        student from a non-developing country; and
          (2) 50 percent for a postsecondary international 
        student from a developing country.
  (c) Reduction of Surcharge.--
          (1) In general.--Beginning with the academic year 
        2008-2009, the University or NTID may reduce the 
        surcharge--
                  (A) under subsection (b)(1) from 100 percent 
                to not less than 50 percent if--
                          (i) a student described under 
                        subsection (b)(1) demonstrates need; 
                        and
                          (ii) such student has made a good-
                        faith effort to secure aid through such 
                        student's government or other sources; 
                        and
                  (B) under subsection (b)(2) from 50 percent 
                to not less than 25 percent if--
                          (i) a student described under 
                        subsection (b)(2) demonstrates need; 
                        and
                          (ii) such student has made a good 
                        faith effort to secure aid through such 
                        student's government or other sources.
          (2) Development of sliding scale.--The University and 
        NTID shall develop a sliding scale model that--
                  (A) will be used to determine the amount of a 
                tuition surcharge reduction pursuant to 
                paragraph (1); and
                  (B) shall be approved by the Secretary.
  (d) Definition.--In this section, the term ``developing 
country'' means a country with a per-capita income of not more 
than $4,825, measured in 1999 United States dollars, as 
adjusted by the Secretary to reflect inflation since 1999.

SEC. 210. RESEARCH PRIORITIES.

  (a) * * *
  (b) Research Reports.--The University and NTID shall each 
prepare and submit an annual research report, to the Secretary, 
the [Committee on Education and the Workforce of the House of 
Representatives, and the Committee on Labor and Human Resources 
of the Senate] Committee on Education and Labor of the House of 
Representatives, and the Committee on Health, Education, Labor, 
and Pensions of the Senate, not later than January 10 of each 
year, that shall include--
          (1) * * *

           *       *       *       *       *       *       *


SEC. 211. NATIONAL STUDY ON THE EDUCATION OF THE DEAF.

  (a) Conduct of Study.--
          (1) In general.--The Secretary shall establish a 
        commission on the education of the deaf (in this 
        section referred to as the ``commission'') to conduct a 
        national study on the education of the deaf, to 
        identify education-related barriers to successful 
        postsecondary education experiences and employment for 
        individuals who are deaf, and those education-related 
        factors that contribute to successful postsecondary 
        education experiences and employment for individuals 
        who are deaf.

           *       *       *       *       *       *       *

  (b) Public Input and Consultation.--
          (1) In general.--In conducting such study, the 
        [Secretary] commission shall obtain input from the 
        public. To obtain such input, the [Secretary] 
        commission shall--
                  (A)  * * *

           *       *       *       *       *       *       *

                  (C) take such other action as the [Secretary] 
                commission deems appropriate, which may include 
                holding public meetings.
          (2) Structured opportunities.--The [Secretary] 
        commission shall provide structured opportunities to 
        receive and respond to the viewpoints of the 
        individuals and organizations described in paragraph 
        (1)(B).
  (c) Report.--The [Secretary shall report to Congress not 
later than 18 months after the date of enactment of the 
Education of the Deaf Amendments of 1998] commission shall 
report to the Secretary and Congress not later than 18 months 
after the date of the enactment of the College Opportunity and 
Affordability Act of 2007 regarding the results of the study. 
The report shall contain--
          (1) [recommendations,]  recommendations relating to 
        educated-related factors that contribute to successful 
        postsecondary education experiences and employment for 
        individuals who are deaf, including recommendations for 
        legislation, that the [Secretary] commission deems 
        appropriate; and
          (2) a detailed summary of the input received under 
        subsection (b) and the ways in which the report 
        addresses such input.
  (d) Authorization of Appropriations.--There are authorized to 
be appropriated [$1,000,000 for each of the fiscal years 1999 
and 2000] such sums as may be necessary for each of the fiscal 
years 2008 and 2009 to carry out the provisions of this 
section.

SEC. 212. AUTHORIZATION OF APPROPRIATIONS.

  (a) Gallaudet University.--There are authorized to be 
appropriated such sums as may be necessary for each of the 
[fiscal years 1998 through 2003] fiscal years 2008 through 2013 
to carry out the provisions of title I and this title, relating 
to--
          (1) * * *

           *       *       *       *       *       *       *

  (b) National Technical Institute for the Deaf.--There are 
authorized to be appropriated such sums as may be necessary for 
each of the [fiscal years 1998 through 2003] fiscal years 2008 
through 2013 to carry out the provisions of title I and this 
title relating to the National Technical Institute for the 
Deaf.

           *       *       *       *       *       *       *

                              ----------                              


    TRIBALLY CONTROLLED COLLEGE OR UNIVERSITY ASSISTANCE ACT OF 1978

  Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, [That this 
Act may be cited as the ``Tribally Controlled College or 
University Assistance Act of 1978''.]

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Tribally Controlled Colleges 
and Universities Assistance Act of 1978''.

                              DEFINITIONS

  Sec. 2. (a) For purposes of this Act, the term--
  (1) * * *

           *       *       *       *       *       *       *

  (6) ``national Indian organization'' means an organization 
which the Secretary finds is nationally based, represents a 
substantial Indian constituency, and has expertise [in the 
field of Indian education] in the fields of tribally controlled 
colleges and universities and Indian higher education;
  (7) ``Indian student'' means a student who is--
          (A) a member of an Indian tribe; or
          (B) a biological child of a member of an Indian 
        tribe, living or deceased;
  [(7)] (8) ``Indian student count'' means a number equal to 
the total number of Indian students enrolled in each tribally 
controlled college or university, determined in a manner 
consistent with subsection (b) of this section on the basis of 
the quotient of the sum of the credit hours of all Indian 
students so enrolled, divided by twelve; and
  [(8)] (9) ``satisfactory progress toward a degree or 
certificate'' has the meaning given to such term by the 
institution at which the student is enrolled.
  (b) The following conditions shall apply for the purpose of 
determining the Indian student count pursuant to [paragraph (7) 
of subsection (a)] subsection (a)(8):
          (1) * * *

           *       *       *       *       *       *       *

          [(5) Credits earned in a continuing education program 
        shall be converted to a credit-hour basis in accordance 
        with the tribally controlled college or university's 
        system for providing credit for participation in such 
        program.
          [(6) No credit hours earned by an Indian student who 
        is not making satisfactory progress toward a degree or 
        certificate, shall be taken into account.]
          (5) Determination of credits.--Eligible credits 
        earned in a continuing education program--
                  (A) shall be determined as 1 credit for every 
                10 contact hours in the case of an institution 
                on a quarter system, or 15 contact hours in the 
                case of an institution on a semester system, of 
                participation in an organized continuing 
                education experience under responsible 
                sponsorship, capable direction, and qualified 
                instruction, as described in the criteria 
                established by the International Association 
                for Continuing Education and Training; and
                  (B) shall be limited to 10 percent of the 
                Indian student count of a tribally controlled 
                college or university.

TITLE I--TRIBALLY CONTROLLED COLLEGES OR UNIVERSITIES

           *       *       *       *       *       *       *


                       ELIGIBLE GRANT RECIPIENTS

  Sec. 103. To be eligible for assistance under this title, a 
tribally controlled college or university must be one which--
          (1) * * *
          (2) demonstrates adherence to stated goals, a 
        philosophy, or a plan of operation which is directed to 
        meet the needs of Indians; [and]
          (3) if in operation for more than one year, has 
        students a majority of whom are Indians[.]; and
          (4)(A) is accredited by a nationally recognized 
        accrediting agency or association determined by the 
        Secretary of Education to be a reliable authority with 
        regard to the quality of training offered; or
          (B) according to such an agency or association, is 
        making reasonable progress toward accreditation.

           *       *       *       *       *       *       *


                    [TECHNICAL ASSISTANCE CONTRACTS

  [Sec. 105. The Secretary shall]

SEC. 105. TECHNICAL ASSISTANCE CONTRACTS.

  (a) Technical Assistance.--
          (1) In general.--The Secretary shall provide, upon 
        request from a tribally controlled college or 
        university which is receiving funds under section 108, 
        technical assistance either directly or through 
        contract. [In the awarding of contracts for technical 
        assistance, preference shall be given]
          (2) Designated organization.--The Secretary shall 
        require that a contract for technical assistance under 
        paragraph (1) shall be awarded to an organization 
        designated by the tribally controlled college or 
        university to be assisted. [No authority]
  (b) Effect of Section.--No authority to enter into contracts 
provided by this section shall be effective except to the 
extent authorized in advance by appropriations Acts.

           *       *       *       *       *       *       *


                            AMOUNT OF GRANTS

  Sec. 108. [(a) Except as provided in section 111,]
  (a) Requirement.--
          (1) In general.--Except as provided in paragraph (2) 
        and section 111, the Secretary shall, subject to 
        appropriations, grant for each academic year to each 
        tribally controlled college or university having an 
        application approved by [him] the Secretary an amount 
        equal to the [product of] product obtained by 
        multiplying--
                  [(1)] (A) the Indian student count at such 
                college or university during the academic year 
                preceding the academic year for which such 
                funds are being made available, as determined 
                by the Secretary in accordance with [section 
                2(a)(7)] section 2(a)(8); and
                  [(2) $6,000,] (B) $8,000, as adjusted 
                annually for inflation.
[except that no grant shall exceed the total cost of the 
education program provided by such college or university.]
          (2) Exception.--The amount of a grant under paragraph 
        (1) shall not exceed an amount equal to the total cost 
        of the education program provided by the applicable 
        tribally controlled college or university.

           *       *       *       *       *       *       *


                      APPROPRIATION AUTHORIZATION

  Sec. 110. (a)(1) There is authorized to be appropriated, for 
the purpose of carrying out section 105, $3,200,000 for fiscal 
year [1999] 2008 and such sums as may be necessary for each of 
the [4 succeeding] 5 succeeding fiscal years.
  (2) There is authorized to be appropriated for the purpose of 
carrying out section 107, [$40,000,000] such sums as may be 
necessary for fiscal year [1999] 2008 and such sums as may be 
necessary for each of the [4 succeeding] 5 succeeding fiscal 
years.
  (3) There is authorized to be appropriated for the purpose of 
carrying out sections 112(b) and 113, [$10,000,000] such sums 
as may be necessary for fiscal year [1999] 2008 and such sums 
as may be necessary for each of the [4 succeeding] 5 succeeding 
fiscal years.
  (4) Funds appropriated pursuant to the authorizations under 
this section for the fiscal year [1999] 2008 and for each of 
the [succeeding 4] 5 succeeding fiscal years shall be 
transferred by the Secretary of the Treasury through the most 
expeditious method available, with each of the tribally 
controlled colleges or universities being designated as its own 
certifying agency.

           *       *       *       *       *       *       *


TITLE III--TRIBALLY CONTROLLED COLLEGE OR UNIVERSITY ENDOWMENT PROGRAM

           *       *       *       *       *       *       *


                    AUTHORIZATION OF APPROPRIATIONS

  Sec. 306. (a) There are authorized to be appropriated to 
carry out the provisions of this title, $10,000,000 for fiscal 
year [1999] 2008 and such sums as may be necessary for each of 
the [4 succeeding] 5 succeeding fiscal years.

           *       *       *       *       *       *       *


    TITLE V--TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                              INSTITUTIONS

SEC. 501. DEFINITION OF TRIBALLY CONTROLLED POSTSECONDARY CAREER AND 
                    TECHNICAL INSTITUTION.

  In this title, the term ``tribally controlled postsecondary 
career and technical institution'' has the meaning given the 
term in section 3 of the Carl D. Perkins Career and Technical 
Education Act of 2006 (20 U.S.C. 2302).

SEC. 502. TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                    INSTITUTIONS PROGRAM.

  (a) In General.--Subject to the availability of 
appropriations, for fiscal year 2008 and each fiscal year 
thereafter, the Secretary shall--
          (1) subject to subsection (b), select 2 tribally 
        controlled postsecondary career and technical 
        institutions to receive assistance under this title; 
        and
          (2) provide funding to the selected tribally 
        controlled postsecondary career and technical 
        institutions to pay the costs (including institutional 
        support costs) of operating postsecondary career and 
        technical education programs for Indian students at the 
        tribally controlled postsecondary career and technical 
        institutions.
  (b) Selection of Certain Institutions.--
          (1) Requirement.--For each fiscal year during which 
        the Secretary determines that a tribally controlled 
        postsecondary career and technical institution 
        described in paragraph (2) meets the definition 
        referred to in section 501, the Secretary shall select 
        that tribally controlled postsecondary career and 
        technical institution under subsection (a)(1) to 
        receive funding under this section.
          (2) Institutions.--The 2 tribally controlled 
        postsecondary career and technical institutions 
        referred to in paragraph (1) are--
                  (A) the United Tribes Technical College; and
                  (B) the Navajo Technical College.
  (c) Method of Payment.--For each applicable fiscal year, the 
Secretary shall provide funding under this section to each 
tribally controlled postsecondary career and technical 
institution selected for the fiscal year under subsection 
(a)(1) in a lump sum payment for the fiscal year.
  (d) Distribution.--
          (1) In general.--For fiscal year 2009 and each fiscal 
        year thereafter, of amounts made available pursuant to 
        section 504, the Secretary shall distribute to each 
        tribally controlled postsecondary career and technical 
        institution selected for the fiscal year under 
        subsection (a)(1) an amount equal to the greater of--
                  (A) the total amount appropriated for the 
                tribally controlled postsecondary career and 
                technical institution for fiscal year 2006; or
                  (B) the total amount appropriated for the 
                tribally controlled postsecondary career and 
                technical institution for fiscal year 2008.
          (2) Excess amounts.--If, for any fiscal year, the 
        amount made available pursuant to section 504 exceeds 
        the sum of the amounts required to be distributed under 
        paragraph (1) to the tribally controlled postsecondary 
        career and technical institutions selected for the 
        fiscal year under subsection (a)(1), the Secretary 
        shall distribute to each tribally controlled 
        postsecondary career and technical institution selected 
        for that fiscal year a portion of the excess amount, to 
        be determined by--
                  (A) dividing the excess amount by the 
                aggregate Indian student count (as defined in 
                section 117(h) of the Carl D. Perkins Career 
                and Technical Education Act of 2006 (20 U.S.C. 
                2327(h))) of such institutions for the prior 
                academic year; and
                  (B) multiplying the quotient described in 
                subparagraph (A) by the Indian student count of 
                each such institution for the prior academic 
                year.

SEC. 503. APPLICABILITY OF OTHER LAWS.

  (a) In General.--Paragraphs (4) and (7) of subsection (a), 
and subsection (b), of section 2, sections 105, 108, 111, 112 
and 113, and titles II, III, and IV shall not apply to this 
title.
  (b) Indian Self-Determination and Education Assistance.--
Funds made available pursuant to this title shall be subject to 
the Indian Self-Determination and Education Assistance Act (25 
U.S.C. 450 et seq.).
  (c) Election To Receive.--A tribally controlled postsecondary 
career and technical institution selected for a fiscal year 
under section 502(b) may elect to receive funds pursuant to 
section 502 in accordance with an agreement between the 
tribally controlled postsecondary career and technical 
institution and the Secretary under the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450 et 
seq.) if the agreement is in existence on the date of enactment 
of the College Opportunity and Affordability Act of 2007.
  (d) Other Assistance.--Eligibility for, or receipt of, 
assistance under this title shall not preclude the eligibility 
of a tribally controlled postsecondary career and technical 
institutions to receive Federal financial assistance under--
          (1) any program under the Higher Education Act of 
        1965 (20 U.S.C. 1001 et seq.);
          (2) any program under the Carl D. Perkins Career and 
        Technical Education Act of 2006; or
          (3) any other applicable program under which a 
        benefit is provided for--
                  (A) institutions of higher education;
                  (B) community colleges; or
                  (C) postsecondary educational institutions.

SEC. 504. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated such sums as are 
necessary for fiscal year 2008 and each fiscal year thereafter 
to carry out this title.
                              ----------                              


 SECTION 403 OF THE TRIBAL ECONOMIC DEVELOPMENT AND TECHNOLOGY RELATED 
                    EDUCATION ASSISTANCE ACT OF 1990

SEC. 403. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated for grants under this 
subchapter, [$2,000,000 for fiscal year 1999] such sums as may 
be necessary for fiscal year 2008 and such sums as may be 
necessary for each of the [4 succeeding] 5 succeeding fiscal 
years.
                              ----------                              


 SECTION 117 OF THE CARL D. PERKINS CAREER AND TECHNICAL EDUCATION ACT 
                                OF 2006

SEC. 117. TRIBALLY CONTROLLED POSTSECONDARY CAREER AND TECHNICAL 
                    INSTITUTIONS.

  [(a) Grants Authorized.--The Secretary shall, subject to the 
availability of appropriations, make grants pursuant to this 
section to tribally controlled postsecondary career and 
technical institutions that are not receiving Federal support 
under the Tribally Controlled College or University Assistance 
Act of 1978 (25 U.S.C. 1801 et seq.) or the Navajo Community 
College Act (25 U.S.C. 640a et seq.) to provide basic support 
for the education and training of Indian students.]
  (a) Grant Program.--Subject to the availability of 
appropriations, the Secretary shall make grants under this 
section, to provide basic support for the education and 
training of Indian students, to tribally controlled 
postsecondary career and technical institutions that are not 
receiving Federal assistance as of the date on which the grant 
is provided under--
          (1) title I of the Tribally Controlled College or 
        University Assistance Act of 1978 (25 U.S.C. 1802 et 
        seq.); or
          (2) the Navajo Community College Act (25 U.S.C. 640a 
        et seq.).

           *       *       *       *       *       *       *

  [(d) Applications.--Any tribally controlled postsecondary 
career and technical institution that is not receiving Federal 
support under the Tribally Controlled College or University 
Assistance Act of 1978 (25 U.S.C. 1801 et seq.) or the Navajo 
Community College Act (25 U.S.C. 640a et seq.) that desires to 
receive a grant under this section shall submit an application 
to the Secretary in such manner and form as the Secretary may 
require.]
  (d) Applications.--To be eligible to receive a grant under 
this section, a tribally controlled postsecondary career and 
technical institution that is not receiving Federal assistance 
under title I of the Tribally Controlled College or University 
Assistance Act (25 U.S.C. 1802 et seq.) or the Navajo Community 
College Act (25 U.S.C. 640a et seq.) shall submit to the 
Secretary an application at such time, in such manner, and 
containing such information as the Secretary may require.
                              ----------                              


NAVAJO COMMUNITY COLLEGE ACT

           *       *       *       *       *       *       *


                                PURPOSE

  Sec. 2. It is the purpose of this Act to assist the [Navajo 
Tribe of Indians] Navajo Nation in providing education to the 
members of the tribe and other qualified applicants through a 
community college, established by that tribe, known as [the 
Navajo Community College] Dine College.

                                 GRANTS

  Sec. 3. The Secretary of the Interior is authorized to make 
grants to the [Navajo Tribe of Indians] Navajo Nation to assist 
the tribe in the construction, maintenance, and operation of 
[the Navajo Community College] Dine College. Such college shall 
be designed and operated by the [Navajo Tribe] Navajo Nation to 
insure that the [Navajo Indians] Navajo people and other 
qualified applicants have educational opportunities which are 
suited to their unique needs and interests.

                       STUDY OF FACILITIES NEEDS

  Sec. 4. (a) The Secretary shall conduct a detailed survey and 
study of the academic facilities needs of [the Navajo Community 
College] Dine College, and shall report to the Congress not 
later than [August 1, 1979] October 31, 2010, the results of 
such survey and study. Such report shall include any 
recommendations or views submitted by the governing body of 
such College and by the governing body of the [Navajo Tribe] 
Navajo Nation, and shall include detailed recommendations by 
the Secretary as to the number, type, and cost of academic 
facilities which are required, ranking each such required 
facility by relative need.
  (b) Funds to carry out the purposes of this section may be 
drawn from general administrative appropriations to the 
Secretary made after [the date of enactment of the Tribally 
Controlled Community College Assistance Act of 1978] October 1, 
2007.
  (c) No later than March 1991, an inventory prepared by [the 
Navajo Community College] Dine College identifying repairs, 
alterations, and renovations to facilities required to meet 
health and safety standards shall be submitted to the Secretary 
and appropriate committees of Congress. Within 60 days 
following the receipt of such inventory, the Secretary shall 
review the inventory, evaluating the needs identified, and 
transmit the written comments of the Department of the Interior 
to the appropriate committees of Congress, together with the 
Department's evaluation prepared by the health and safety 
division of the Bureau of Indian Affairs.

                    AUTHORIZATION OF APPROPRIATIONS

  Sec. 5. (a)(1) For the purpose of making construction grants 
under this Act, there are authorized to be appropriated 
[$2,000,000 for fiscal year 1999 and such sums as may be 
necessary for each of the 4 succeeding fiscal years.] such sums 
as are necessary for fiscal years 2008 through 2013.

           *       *       *       *       *       *       *

  (3) Sums described in paragraph (2) shall be used to provide 
grants for construction activities, including the construction 
of buildings, water and sewer facilities, roads, information 
technology and telecommunications infrastructure, classrooms, 
and external structures (such as walkways).
  (b)(1) There are authorized to be appropriated for grants to 
[the Navajo Community College] Dine College[, for each fiscal 
year, an amount necessary to pay expenses incurred for--] such 
sums as are necessary for fiscal years 2008 through 2013 to pay 
the cost of--
          (A) the maintenance and operation of the [college] 
        College, including--
                  (i) basic, special, developmental, 
                vocational, technical, and special handicapped 
                education costs[,];
                  (ii) annual capital expenditures, including 
                equipment needs, minor capital improvements and 
                remodeling projects, physical plant maintenance 
                and operation costs, and exceptions and 
                supplemental need account[, and]; and
                  (iii) summer and special interest 
                programs[,];
          (B) major capital improvements, including internal 
        capital outlay funds and capital improvement 
        projects[,];
          (C) mandatory payments, including payments due on 
        bonds, loans, notes, or lease purchases[, and];
          (D) supplemental student services, including student 
        housing, food service, and the provision of access to 
        books and services[.]; and
          (E) improving and expanding the College, including by 
        providing, for the Navajo people and others in the 
        community of the College--
                  (i) higher education programs;
                  (ii) career and technical education;
                  (iii) activities relating to the preservation 
                and protection of the Navajo language, 
                philosophy, and culture;
                  (iv) employment and training opportunities;
                  (v) economic development and community 
                outreach; and
                  (vi) a safe learning, working, and living 
                environment.

           *       *       *       *       *       *       *

  (c) The Secretary of the Interior is authorized and directed 
to establish by rule procedures to insure that all funds 
appropriated under this Act are properly identified for grants 
to [the Navajo Community College] Dine Collegee and that such 
funds are not commingled with appropriations historically 
expended by the Bureau of Indian Affairs for programs and 
projects normally provided on the Navajo Reservation for Navajo 
beneficiaries.

                          EFFECT ON OTHER LAWS

  Sec. 6. (a) Except as specifically provided by law, 
eligibility for assistance under this Act shall not, by itself, 
preclude the eligibility of [the Navajo Community College] Dine 
College to receive Federal financial assistance under any 
program authorized under the Higher Education Act of 1965 or 
any other applicable program for the benefit of institutions of 
higher education, community colleges, or postsecondary 
educational institutions.
  (b) Notwithstanding any other provision of law, funds 
provided under this Act to [the Navajo Community College] Dine 
College may be treated as non-Federal, private funds of the 
College for purposes of any provision of Federal law which 
requires that non-Federal or private funds of the [college] 
College be used in a project or for a specific purpose.

                           PAYMENTS; INTEREST

  Sec. 7. (a) * * *

           *       *       *       *       *       *       *

  (b)(1)(A) Notwithstanding any provision of law other than 
subparagraph (B), any interest or investment income that 
accrues on any funds provided under this Act after such funds 
are paid to [the Navajo Community College] Dine College and 
before such funds are expended for the purpose for which such 
funds were provided under this Act shall be the property of 
[the Navajo Community College] Dine College and shall not be 
taken into account by any officer or employee of the Federal 
Government in determining whether to provide assistance, or the 
amount of assistance, to [the Navajo Community College] Dine 
College under any provision of Federal law.
  (B) All interest or investment income described in 
subparagraph (A) shall be expended by [the Navajo Community 
College] Dine College by no later than the close of the fiscal 
year succeeding the fiscal year in which such interest or 
investment income accrues.
  (2) Funds provided under this Act may only be invested by 
[the Navajo Community College] Dine College in obligations of 
the United States or in obligations or securities that are 
guaranteed or insured by the United States.
                              ----------                              


HIGHER EDUCATION AMENDMENTS OF 1998

           *       *       *       *       *       *       *


           TITLE VIII--STUDIES, REPORTS, AND RELATED PROGRAMS

                            Part A--STUDIES

[SEC. 801. STUDY OF MARKET MECHANISMS IN FEDERAL STUDENT LOAN PROGRAMS.

  [(a) Study Required.--The Comptroller General and the 
Secretary of Education shall convene a study group including 
the Secretary of the Treasury, the Director of the Office of 
Management and Budget, the Director of the Congressional Budget 
Office, representatives of entities making loans under part B 
of title IV of the Higher Education Act of 1965, 
representatives of other entities in the financial services 
community, representatives of other participants in the student 
loan programs, and such other individuals as the Comptroller 
General and the Secretary may designate. The Comptroller 
General and Secretary, in consultation with the study group, 
shall design and conduct a study to identify and evaluate means 
of establishing a market mechanism for the delivery of loans 
made pursuant to such title IV.
  [(b) Design of Study.--The study required under this section 
shall identify not fewer than 3 different market mechanisms for 
use in determining lender return on student loans while 
continuing to meet the other objectives of the programs under 
parts B and D of such title IV, including the provision of 
loans to all eligible students. Consideration may be given to 
the use of auctions and to the feasibility of incorporating 
income-contingent repayment options into the student loan 
system and requiring borrowers to repay through income tax 
withholding.
  [(c) Evaluation of Market Mechanisms.--The mechanisms 
identified under subsection (b) shall be evaluated in terms of 
the following areas:
          [(1) The cost or savings of loans to or for 
        borrowers, including parent borrowers.
          [(2) The cost or savings of the mechanism to the 
        Federal Government.
          [(3) The cost, effect, and distribution of Federal 
        subsidies to or for participants in the program.
          [(4) The ability of the mechanism to accommodate the 
        potential distribution of subsidies to students through 
        an income-contingent repayment option.
          [(5) The effect on the simplicity of the program, 
        including the effect of the plan on the regulatory 
        burden on students, institutions, lenders, and other 
        program participants.
          [(6) The effect on investment in human capital and 
        resources, loan servicing capability, and the quality 
        of service to the borrower.
          [(7) The effect on the diversity of lenders, 
        including community-based lenders, originating and 
        secondary market lenders.
          [(8) The effect on program integrity.
          [(9) The degree to which the mechanism will provide 
        market incentives to encourage continuous improvement 
        in the delivery and servicing of loans.
          [(10) The availability of loans to students by 
        region, income level, and by categories of 
        institutions.
          [(11) The proposed Federal and State role in the 
        operation of the mechanism.
          [(12) A description of how the mechanism will be 
        administered and operated.
          [(13) Transition procedures, including the effect on 
        loan availability during a transition period.
          [(14) Any other areas the study group may include.
  [(d) Preliminary Findings and Publication of Study.--Not 
later than November 15, 2000, the study group shall make the 
group's preliminary findings, including any additional or 
dissenting views, available to the public with a 60-day request 
for public comment. The study group shall review these comments 
and the Comptroller General and the Secretary shall transmit a 
final report, including any additional or dissenting views, to 
the Committee on Education and the Workforce of the House of 
Representatives, the Committee on Labor and Human Resources of 
the Senate, and the Committees on the Budget of the House of 
Representatives and the Senate not later than May 15, 2001.

[SEC. 802. STUDY OF THE FEASIBILITY OF ALTERNATIVE FINANCIAL 
                    INSTRUMENTS FOR DETERMINING LENDER YIELDS.

  [(a) Study Required.--The Comptroller General and the 
Secretary of Education shall convene a study group including 
the Secretary of the Treasury, the Director of the Office of 
Management and Budget, the Director of the Congressional Budget 
Office, representatives of entities making loans under part B 
of title IV of the Higher Education Act of 1965, 
representatives of other entities in the financial services 
community, representatives of other participants in the student 
loan programs, and such other individuals as the Comptroller 
General and the Secretary of Education may designate. The 
Comptroller General and the Secretary of Education, in 
consultation with the study group, shall evaluate the 91-day 
Treasury bill, 30-day and 90-day commercial paper, and the 90-
day London Interbank Offered Rate (in this section referred to 
as ``LIBOR'') in terms of the following:
          [(1) The historical liquidity of the market for each, 
        and a historical comparison of the spread between: (A) 
        the 30-day and 90-day commercial paper rate, 
        respectively, and the 91-day Treasury bill rate; and 
        (B) the spread between the LIBOR and the 91-day 
        Treasury bill rate.
          [(2) The historical volatility of the rates and 
        projections of future volatility.
          [(3) Recent changes in the liquidity of the market 
        for each such instrument in a balanced Federal budget 
        environment and a low-interest rate environment, and 
        projections of future liquidity assuming the Federal 
        budget remains in balance.
          [(4) The cost or savings to lenders with small, 
        medium, and large student loan portfolios of basing 
        lender yield on either the 30-day or 90-day commercial 
        paper rate or the LIBOR while continuing to base the 
        borrower rate on the 91-day Treasury bill, and the 
        effect of such change on the diversity of lenders 
        participating in the program.
          [(5) The cost or savings to the Federal Government of 
        basing lender yield on either the 30-day or 90-day 
        commercial paper rate or the LIBOR while continuing to 
        base the borrower rate on the 91-day Treasury bill.
          [(6) Any possible risks or benefits to the student 
        loan programs under the Higher Education Act of 1965 
        and to student borrowers.
          [(7) Any other areas the Comptroller General and the 
        Secretary of Education agree to include.
  [(b) Report Required.--Not later than 6 months after the date 
of enactment of this Act, the Comptroller General and the 
Secretary shall submit a final report regarding the findings of 
the study group to the Committee on Education and the Workforce 
of the House of Representatives and the Committee on Labor and 
Human Resources of the Senate.

[SEC. 803. STUDENT-RELATED DEBT STUDY REQUIRED.

  [(a) In General.--The Secretary of Education shall conduct a 
study that analyzes the distribution and increase in student-
related debt in terms of--
          [(1) demographic characteristics, such as race or 
        ethnicity, and family income;
          [(2) type of institution and whether the institution 
        is a public or private institution;
          [(3) loan source, such as Federal, State, 
        institutional or other, and, if the loan source is 
        Federal, whether the loan is or is not subsidized;
          [(4) academic field of study;
          [(5) parent loans, and whether the parent loans are 
        federally guaranteed, private, or property-secured such 
        as home equity loans; and
          [(6) relation of student debt or anticipated debt 
        to--
                  [(A) students' decisions about whether and 
                where to enroll in college and whether or how 
                much to borrow in order to attend college;
                  [(B) the length of time it takes students to 
                earn baccalaureate degrees;
                  [(C) students' decisions about whether and 
                where to attend graduate school;
                  [(D) graduates' employment decisions;
                  [(E) graduates' burden of repayment as 
                reflected by the graduates' ability to save for 
                retirement or invest in a home; and
                  [(F) students' future earnings.
  [(b) Report.--After conclusion of the study required by 
subsection (a), the Secretary of Education shall submit a final 
report regarding the findings of the study to the Committee on 
Labor and Human Resources of the Senate and the Committee on 
Education and the Workforce of the House of Representatives not 
later than 18 months after the date of enactment of the Higher 
Education Amendments of 1998.
  [(c) Information.--After the study and report under this 
section are concluded, the Secretary of Education shall 
determine which information described in subsection (a) would 
be useful for families to know and shall include such 
information as part of the comparative information provided to 
families about the costs of higher education under the 
provisions of part C of title I.]

           *       *       *       *       *       *       *


              [Part C--COMMUNITY SCHOLARSHIP MOBILIZATION

[SEC. 811. SHORT TITLE.

  [This part may be cited as the ``Community Scholarship 
Mobilization Act''.

[SEC. 812. FINDINGS.

  [Congress finds that--
          [(1) the local community, when properly organized and 
        challenged, is one of the best sources of academic 
        support, motivation toward achievement, and financial 
        resources for aspiring postsecondary students;
          [(2) local communities, working to complement or 
        augment services currently offered by area schools and 
        colleges, can raise the educational expectations and 
        increase the rate of postsecondary attendance of their 
        youth by forming locally based organizations that 
        provide both academic support (including guidance, 
        counseling, mentoring, tutoring, encouragement, and 
        recognition) and tangible, locally raised, effectively 
        targeted, publicly recognized, financial assistance;
          [(3) proven methods of stimulating these community 
        efforts can be promoted through Federal support for the 
        establishment of regional, State, or community program 
        centers to organize and challenge community efforts to 
        develop educational incentives and support for local 
        students; and
          [(4) using Federal funds to leverage private 
        contributions to help students from low-income families 
        attain educational and career goals is an efficient and 
        effective investment of scarce taxpayer-provided 
        resources.

[SEC. 813. DEFINITIONS.

  [In this part:
          [(1) Regional, state, or community program center.--
        The term ``regional, State, or community program 
        center'' means an organization that--
                  [(A) is a division or member of, responsible 
                to, and overseen by, a national organization; 
                and
                  [(B) is staffed by professionals trained to 
                create, develop, and sustain local entities in 
                towns, cities, and neighborhoods.
          [(2) Local entity.--The term ``local entity'' means 
        an organization that--
                  [(A) is a nonprofit organization that is 
                described in section 501(c)(3) of the Internal 
                Revenue Code of 1986, and exempt from taxation 
                under section 501(a) of such Code (or shall 
                meet this criteria through affiliation with the 
                national organization);
                  [(B) is formed for the purpose of providing 
                educational scholarships and academic support 
                for residents of the local community served by 
                such organization;
                  [(C) solicits broad-based community support 
                in its academic support and fund-raising 
                activities;
                  [(D) is broadly representative of the local 
                community in the structures of its volunteer-
                operated organization and has a board of 
                directors that includes leaders from local 
                neighborhood organizations and neighborhood 
                residents, such as school or college personnel, 
                parents, students, community agency 
                representatives, retirees, and representatives 
                of the business community;
                  [(E) awards scholarships without regard to 
                age, sex, marital status, race, creed, color, 
                religion, national origin, or disability; and
                  [(F) gives priority to awarding scholarships 
                for postsecondary education to deserving 
                students from low-income families in the local 
                community.
          [(3) National organization.--The term ``national 
        organization'' means an organization that--
                  [(A) has the capacity to create, develop and 
                sustain local entities and affiliated regional, 
                State, or community program centers;
                  [(B) has the capacity to sustain newly 
                created local entities in towns, cities, and 
                neighborhoods through ongoing training support 
                programs;
                  [(C) is described in section 501(c)(3) of the 
                Internal Revenue Code of 1986, and exempt from 
                taxation under section 501(a) of such Code;
                  [(D) is a publicly supported organization 
                within the meaning of section 170(b)(1)(A)(iv) 
                of such Code;
                  [(E) ensures that each of the organization's 
                local entities meet the criteria described in 
                subparagraphs (C) and (D); and
                  [(F) has a program for or experience in 
                cooperating with secondary and postsecondary 
                institutions in carrying out the organization's 
                scholarship and academic support activities.
          [(4) High poverty area.--The term ``high poverty 
        area'' means a community with a higher percentage of 
        children from low-income families than the national 
        average of such percentage and a lower percentage of 
        children pursuing postsecondary education than the 
        national average of such percentage.
          [(5) Secretary.--The term ``Secretary'' means the 
        Secretary of Education.
          [(6) Students from low-income families.--The term 
        ``students from low-income families'' means students 
        determined, pursuant to part F of title IV of the 
        Higher Education Act of 1965 (20 U.S.C. 1087kk et 
        seq.), to be eligible for a Federal Pell Grant under 
        subpart 1 of part A of title IV of such Act (20 U.S.C. 
        1070a).

[SEC. 814. PURPOSE; ENDOWMENT GRANT AUTHORITY.

  [(a) Purpose.--It is the purpose of this part to establish 
and support regional, State or community program centers to 
enable such centers to foster the development of local entities 
in high poverty areas that promote higher education goals for 
students from low-income families by--
          [(1) providing academic support, including guidance, 
        counseling, mentoring, tutoring, and recognition; and
          [(2) providing scholarship assistance for the cost of 
        postsecondary education.
  [(b) Endowment Grant Authority.--From the funds appropriated 
pursuant to the authority of section 816, the Secretary shall 
award an endowment grant, on a competitive basis, to a national 
organization to enable such organization to support the 
establishment or ongoing work of regional, State or community 
program centers that foster the development of local entities 
in high poverty areas to improve secondary school graduation 
rates and postsecondary attendance through the provision of 
academic support services and scholarship assistance for the 
cost of postsecondary education.

[SEC. 815. GRANT AGREEMENT AND REQUIREMENTS.

  [(a) In General.--The Secretary shall award one or more 
endowment grants described in section 814(b) pursuant to an 
agreement between the Secretary and a national organization. 
Such agreement shall--
          [(1) require a national organization to establish an 
        endowment fund in the amount of the grant, the corpus 
        of which shall remain intact and the interest income 
        from which shall be used to support the activities 
        described in paragraphs (2) and (3);
          [(2) require a national organization to use 70 
        percent of the interest income from the endowment fund 
        in any fiscal year to support the establishment or 
        ongoing work of regional, State or community program 
        centers to enable such centers to work with local 
        communities to establish local entities in high poverty 
        areas and provide ongoing technical assistance, 
        training workshops, and other activities to help ensure 
        the ongoing success of the local entities;
          [(3) require a national organization to use 30 
        percent of the interest income from the endowment fund 
        in any fiscal year to provide scholarships for 
        postsecondary education to students from low-income 
        families, which scholarships shall be matched on a 
        dollar-for-dollar basis from funds raised by the local 
        entities;
          [(4) require that at least 50 percent of all the 
        interest income from the endowment be allocated to 
        establish new local entities or support regional, State 
        or community program centers in high poverty areas;
          [(5) require a national organization to submit, for 
        each fiscal year in which such organization uses the 
        interest from the endowment fund, a report to the 
        Secretary that contains--
                  [(A) a description of the programs and 
                activities supported by the interest on the 
                endowment fund;
                  [(B) the audited financial statement of the 
                national organization for the preceding fiscal 
                year;
                  [(C) a plan for the programs and activities 
                to be supported by the interest on the 
                endowment fund as the Secretary may require;
                  [(D) an evaluation of the programs and 
                activities supported by the interest on the 
                endowment fund as the Secretary may require; 
                and
                  [(E) data indicating the number of students 
                from low-income families who receive 
                scholarships from local entities, and the 
                amounts of such scholarships;
          [(6) contain such assurances as the Secretary may 
        require with respect to the management and operation of 
        the endowment fund; and
          [(7) contain an assurance that if the Secretary 
        determines that such organization is not in substantial 
        compliance with the provisions of this part, then the 
        national organization shall pay to the Secretary an 
        amount equal to the corpus of the endowment fund plus 
        any accrued interest on such fund that is available to 
        the national organization on the date of such 
        determination.
  [(b) Returned Funds.--All funds returned to the Secretary 
pursuant to subsection (a)(7) shall be available to the 
Secretary to carry out any scholarship or grant program 
assisted under title IV of the Higher Education Act of 1965 (20 
U.S.C. 1070 et seq.).

[SEC. 816. AUTHORIZATION OF APPROPRIATIONS.

  There are authorized to be appropriated to carry out this 
part $10,000,000 for fiscal year 2000.

   [Part D--GRANTS TO STATES FOR WORKPLACE AND COMMUNITY TRANSITION 
               TRAINING FOR INCARCERATED YOUTH OFFENDERS

[SEC. 821. GRANTS TO STATES FOR WORKPLACE AND COMMUNITY TRANSITION 
                    TRAINING FOR INCARCERATED YOUTH OFFENDERS.

  [(a) Findings.--Congress makes the following findings:
          [(1) Over 150,000 youth offenders age 21 and younger 
        are incarcerated in the Nation's jails, juvenile 
        facilities, and prisons.
          [(2) Most youth offenders who are incarcerated have 
        been sentenced as first-time adult felons.
          [(3) Approximately 75 percent of youth offenders are 
        high school dropouts who lack basic literacy and life 
        skills, have little or no job experience, and lack 
        marketable skills.
          [(4) The average incarcerated youth has attended 
        school only through grade 10.
          [(5) Most of these youths can be diverted from a life 
        of crime into productive citizenship with available 
        educational, vocational, work skills, and related 
        service programs.
          [(6) If not involved with educational programs while 
        incarcerated, almost all of these youths will return to 
        a life of crime upon release.
          [(7) The average length of sentence for a youth 
        offender is about 3 years. Time spent in prison 
        provides a unique opportunity for education and 
        training.
          [(8) Even with quality education and training 
        provided during incarceration, a period of intense 
        supervision, support, and counseling is needed upon 
        release to ensure effective reintegration of youth 
        offenders into society.
          [(9) Research consistently shows that the vast 
        majority of incarcerated youths will not return to the 
        public schools to complete their education.
          [(10) There is a need for alternative educational 
        opportunities during incarceration and after release.
  [(b) Definition.--For purposes of this part, the term ``youth 
offender'' means a male or female offender under the age of 25, 
who is incarcerated in a State prison, including a prerelease 
facility.
  [(c) Grant Program.--The Secretary of Education (in this 
section referred to as the ``Secretary'') shall establish a 
program in accordance with this section to provide grants to 
the State correctional education agencies in the States, from 
allocations for the States under subsection (i), to assist and 
encourage incarcerated youths to acquire functional literacy, 
life, and job skills, through the pursuit of a postsecondary 
education certificate, or an associate of arts or bachelor's 
degree while in prison, and employment counseling and other 
related services which start during incarceration and continue 
through prerelease and while on parole.
  [(d) Application.--To be eligible for a grant under this 
section, a State correctional education agency shall submit to 
the Secretary a proposal for a youth offender program that--
          [(1) identifies the scope of the problem, including 
        the number of incarcerated youths in need of 
        postsecondary education and vocational training;
          [(2) lists the accredited public or private 
        educational institution or institutions that will 
        provide postsecondary educational services;
          [(3) lists the cooperating agencies, public and 
        private, or businesses that will provide related 
        services, such as counseling in the areas of career 
        development, substance abuse, health, and parenting 
        skills;
          [(4) describes the evaluation methods and performance 
        measures that the State correctional education agency 
        will employ, which methods and measures--
                  [(A) shall be appropriate to meet the goals 
                and objectives of the proposal; and
                  [(B) shall include measures of--
                          [(i) program completion;
                          [(ii) student academic and vocational 
                        skill attainment;
                          [(iii) success in job placement and 
                        retention; and
                          [(iv) recidivism;
          [(5) describes how the proposed programs are to be 
        integrated with existing State correctional education 
        programs (such as adult education, graduate education 
        degree programs, and vocational training) and State 
        industry programs;
          [(6) addresses the educational needs of youth 
        offenders who are in alternative programs (such as boot 
        camps); and
          [(7) describes how students will be selected so that 
        only youth offenders eligible under subsection (f) will 
        be enrolled in postsecondary programs.
  [(e) Program Requirements.--Each State correctional education 
agency receiving a grant under this section shall--
          [(1) integrate activities carried out under the grant 
        with the objectives and activities of the school-to-
        work programs of such State, including--
                  [(A) work experience or apprenticeship 
                programs;
                  [(B) transitional worksite job training for 
                vocational education students that is related 
                to the occupational goals of such students and 
                closely linked to classroom and laboratory 
                instruction;
                  [(C) placement services in occupations that 
                the students are preparing to enter;
                  [(D) employment-based learning programs; and
                  [(E) programs that address State and local 
                labor shortages;
          [(2) annually report to the Secretary and the 
        Attorney General on the results of the evaluations 
        conducted using the methods and performance measures 
        contained in the proposal; and
          [(3) provide to each State for each student eligible 
        under subsection (f) not more than $1,500 annually for 
        tuition, books, and essential materials, and not more 
        than $300 annually for related services such as career 
        development, substance abuse counseling, parenting 
        skills training, and health education, for each 
        eligible incarcerated youth.
  [(f) Student Eligibility.--A youth offender shall be eligible 
for participation in a program receiving a grant under this 
section if the youth offender--
          [(1) is eligible to be released within 5 years 
        (including a youth offender who is eligible for parole 
        within such time); and
          [(2) is 25 years of age or younger.
  [(g) Length of Participation.--A State correctional education 
agency receiving a grant under this section shall provide 
educational and related services to each participating youth 
offender for a period not to exceed 5 years, 1 year of which 
may be devoted to study in a graduate education degree program 
or to remedial education services for students who have 
obtained a secondary school diploma or its recognized 
equivalent. Educational and related services shall start during 
the period of incarceration in prison or prerelease and may 
continue during the period of parole.
  [(h) Education Delivery Systems.--State correctional 
education agencies and cooperating institutions shall, to the 
extent practicable, use high-tech applications in developing 
programs to meet the requirements and goals of this section.
  [(i) Allocation of Funds.--From the funds appropriated 
pursuant to subsection ( j) for each fiscal year, the Secretary 
shall allot to each State an amount that bears the same 
relationship to such funds as the total number of students 
eligible under subsection (f) in such State bears to the total 
number of such students in all States.
  [(j) Authorization of Appropriations.--There are authorized 
to be appropriated to carry out this section $17,000,000 for 
fiscal year 1999 and such sums as may be necessary for each of 
the 4 succeeding fiscal years.]

        Part D--GRANTS FOR TRAINING FOR INCARCERATED INDIVIDUALS

SEC. 821. GRANTS FOR IMPROVED WORKPLACE AND COMMUNITY TRANSITION 
                    TRAINING FOR INCARCERATED INDIVIDUALS.

  (a) Definition.--In this section:
          (1) Incarcerated individual.--The term ``incarcerated 
        individual'' means a male or female offender who is 
        incarcerated in a State or Federal prison, including a 
        prerelease facility.
          (2) Secretary.--The term ``Secretary'' means the 
        Secretary of Education.
  (b) Grant Program.--The Secretary--
          (1) shall establish a program in accordance with this 
        section to provide grants to the State correctional 
        education agencies in the States, and to the Federal 
        Bureau of Prisons, to assist and encourage incarcerated 
        individuals to acquire educational and job skills, 
        through--
                  (A) coursework to prepare students to take 
                college-level courses, such as remedial math 
                and English for postsecondary preparation;
                  (B) the pursuit of a postsecondary education 
                certificate, or an associate or bachelor's 
                degree, provided by a regionally or nationally 
                accredited body while in prison; and
                  (C) employment counseling and other related 
                services which start during incarceration and 
                end not later than 1 year after release from 
                confinement; and
          (2) may establish such performance objectives and 
        reporting requirements for State correctional education 
        agencies and the Federal Bureau of Prisons receiving 
        grants under this section as the Secretary determines 
        are necessary to assess the effectiveness of the 
        program under this section.
  (c) Application.--To be eligible for a grant under this 
section, a State correctional education agency or the Federal 
Bureau of Prisons shall submit to the Secretary a proposal for 
an incarcerated individual program that--
          (1) identifies the scope of the problem, including 
        the number of incarcerated individuals in need of 
        postsecondary education and vocational training;
          (2) lists the accredited public or private 
        educational institution or institutions with campuses 
        established outside the prison facility that will 
        provide postsecondary preparatory or postsecondary 
        educational services;
          (3) lists the cooperating agencies, public and 
        private, or businesses that will provide related 
        services, such as counseling in the areas of career 
        development, substance abuse, health, and parenting 
        skills;
          (4) describes specific performance objectives and 
        evaluation methods (in addition to, and consistent 
        with, any objectives established by the Secretary under 
        subsection (b)(2)) that the State correctional 
        education agency or the Federal Bureau of Prisons will 
        use in carrying out its proposal, including--
                  (A) specific and quantified student outcome 
                measures that are referenced to outcomes for 
                non-program participants with similar 
                demographic characteristics; and
                  (B) measures, consistent with the data 
                elements and definitions described in 
                subsection (d)(1)(A), of--
                          (i) program completion, including an 
                        explicit definition of what constitutes 
                        a program completion within the 
                        proposal;
                          (ii) knowledge and skill attainment, 
                        including specification of instruments 
                        that will measure knowledge and skill 
                        attainment;
                          (iii) attainment of employment both 
                        prior to and subsequent to release;
                          (iv) success in employment indicated 
                        by job retention and advancement; and
                          (v) recidivism, including such 
                        subindicators as time before subsequent 
                        offense and severity of offense;
          (5) describes how the proposed programs are to be 
        integrated with existing State and Federal correctional 
        education programs (such as adult education, graduate 
        education degree programs, and vocational training) and 
        State and Federal prison industry programs; and
          (6) describes how the proposed programs will have 
        considered or will utilize technology to deliver the 
        services under this section.
  (d) Program Requirements.--Each State correctional education 
agency and Federal Bureau of Prisons entity receiving a grant 
under this section shall--
          (1) annually report to the Secretary regarding--
                  (A) the results of the evaluations conducted 
                using data elements and definitions provided by 
                the Secretary for the use of State correctional 
                education programs and the Federal Bureau of 
                Prisons;
                  (B) any objectives or requirements 
                established by the Secretary pursuant to 
                subsection (b)(2);
                  (C) the additional performance objectives and 
                evaluation methods contained in the proposal 
                described in subsection (c)(4) as necessary to 
                document the attainment of project performance 
                objectives; and
                  (D) how the funds provided under this section 
                are being allocated among postsecondary 
                preparatory education, postsecondary academic, 
                and vocational education programs; and
          (2) provide to each State and the Federal Bureau of 
        Prisons for each student eligible under subsection (e) 
        not more than--
                  (A) $3,000 annually for tuition, books, and 
                essential materials; and
                  (B) $300 annually for related services such 
                as career development, substance abuse 
                counseling, parenting skills training, and 
                health education.
  (e) Education Delivery Systems.--State correctional education 
agencies, the Federal Bureau of Prisons, and cooperating 
institutions shall, to the extent practicable, use high-tech 
applications in developing programs to meet the requirements 
and goals of this section.
  (f) Length of Participation.--Services carried out with a 
grant under this section shall be available to incarcerated 
individuals as follows:
          (1) Educational services shall start during the 
        period of incarceration or prerelease and shall end 
        upon release.
          (2) Related services shall start during the period of 
        incarceration or prerelease and may continue for not 
        more than one year after release.
  (g) Federal Bureau of Prisons Grant Eligibility.--
Notwithstanding any other provision of law, the Federal Bureau 
of Prisons shall be eligible to apply for and receive a grant 
under this section, provided that the Federal Bureau of Prisons 
meets the application and program requirements under this 
section.
  (h) Allocation of Funds.--
          (1) States.--From the funds appropriated pursuant to 
        subsection (i) for each fiscal year, the Secretary 
        shall allot to each State an amount that bears the same 
        ratio to such funds as the total number of incarcerated 
        individuals in such State bears to the total number of 
        such incarcerated individuals in all States.
          (2) Federal bureau of prisons facilities.--From the 
        funds appropriated pursuant to subsection (h) for each 
        fiscal year, the Secretary shall allot to each Federal 
        Bureau of Prisons facility an amount that bears the 
        same ratio to such funds as the total number of inmates 
        in such facility bears to the total number of inmates 
        in all Bureau of Prisons facilities.
  (i) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out this section such sums as may be 
necessary for fiscal year 2009 and each of the 4 succeeding 
fiscal years.

           *       *       *       *       *       *       *


[Part F--IMPROVING UNITED STATES UNDERSTANDING OF SCIENCE, ENGINEERING, 
                      AND TECHNOLOGY IN EAST ASIA

[SEC. 831. IMPROVING UNITED STATES UNDERSTANDING OF SCIENCE, 
                    ENGINEERING, AND TECHNOLOGY IN EAST ASIA.

  [(a) Establishment.--The Director of the National Science 
Foundation is authorized, beginning in fiscal year 2000, to 
carry out an interdisciplinary program of education and 
research on East Asian science, engineering, and technology. 
The Director shall carry out the interdisciplinary program in 
consultation with the Secretary of Education.
  [(b) Purposes.--The purposes of the program established under 
this section shall be to--
          [(1) increase understanding of East Asian research, 
        and innovation for the creative application of science 
        and technology to the problems of society;
          [(2) provide scientists, engineers, technology 
        managers, and students with training in East Asian 
        languages, and with an understanding of research, 
        technology, and management of innovation, in East Asian 
        countries;
          [(3) provide program participants with opportunities 
        to be directly involved in scientific and engineering 
        research, and activities related to the management of 
        scientific and technological innovation, in East Asia; 
        and
          [(4) create mechanisms for cooperation and 
        partnerships among United States industry, 
        universities, colleges, not-for-profit institutions, 
        Federal laboratories (within the meaning of section 
        4(6) of the Stevenson-Wydler Technology Innovation Act 
        of 1980 (15 U.S.C. 3703(6))), and government, to 
        disseminate the results of the program assisted under 
        this section for the benefit of United States research 
        and innovation.
  [(c) Participation by Federal Scientists, Engineers, and 
Managers.--Scientists, engineers, and managers of science and 
engineering programs in Federal agencies and the Federal 
laboratories shall be eligible to participate in the program 
assisted under this section on a reimbursable basis.
  [(d) Requirement for Merit Review.--Awards made under the 
program established under this section shall only be made using 
a competitive, merit-based review process.
  [(e) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $10,000,000 for 
fiscal year 2000.]

           *       *       *       *       *       *       *


                      Part H--UNDERGROUND RAILROAD

SEC. 841. UNDERGROUND RAILROAD EDUCATIONAL AND CULTURAL PROGRAM.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Authorization of Appropriations.--There are authorized to 
be appropriated to carry out [this section $6,000,000 for 
fiscal year 1999, $6,000,000 for fiscal year 2000, $6,000,000 
for fiscal year 2001, $3,000,000 for fiscal year 2002, and 
$3,000,000 for fiscal year 2003.] this section $3,000,000 for 
fiscal years 2009 and the 4 succeeding fiscal years.

           *       *       *       *       *       *       *


                [Part J--WEB-BASED EDUCATION COMMISSION

[SEC. 851. DEFINITIONS.

  [(a) In General.--This part may be cited as the ``Web-Based 
Education Commission Act''.
  [(b) Definitions.--In this part:
          [(1) Commission.--The term ``Commission'' means the 
        Web-Based Education Commission established under 
        section 852.
          [(2) Information technology.--The term ``information 
        technology'' has the meaning given that term in section 
        5002 of the Information Technology Management Reform 
        Act of 1996 (110 Stat. 679).
          [(3) State.--The term ``State'' means each of the 
        several States of the United States and the District of 
        Columbia.

[SEC. 852. ESTABLISHMENT OF WEB-BASED EDUCATION COMMISSION.

  [(a) Establishment.--There is established a commission to be 
known as the Web-Based Education Commission.
  [(b) Membership.--
          [(1) Composition.--The Commission shall be composed 
        of 16 members, of which--
                  [(A) three members shall be appointed by the 
                President, from among individuals representing 
                the Internet technology industry;
                  [(B) three members shall be appointed by the 
                Secretary, from among individuals with 
                expertise in accreditation, establishing 
                statewide curricula, and establishing 
                information technology networks pertaining to 
                education curricula;
                  [(C) two members shall be appointed by the 
                Majority Leader of the Senate;
                  [(D) two members shall be appointed by the 
                Minority Leader of the Senate;
                  [(E) two members shall be appointed by the 
                Speaker of the House of Representatives;
                  [(F) two members shall be appointed by the 
                Minority Leader of the House of 
                Representatives;
                  [(G) one member shall be appointed by the 
                Chairperson of the Committee on Health, 
                Education, Labor, and Pensions of the Senate 
                from among members of the Senate; and
                  [(H) one member shall be appointed by the 
                Chairperson of the Committee on Education and 
                the Workforce of the House of Representatives 
                from among members of the House of 
                Representatives.
          [(2) Date.--The appointments of the members of the 
        Commission shall be made not later than 45 days after 
        the date of enactment of this Act.
  [(c) Period of Appointment; Vacancies.--Members shall be 
appointed for the life of the Commission. Any vacancy in the 
Commission shall not affect its powers, but shall be filled in 
the same manner as the original appointment.
  [(d) Initial Meeting.--Not later than 30 days after the date 
on which all members of the Commission have been appointed, the 
Commission shall hold the Commission's first meeting.
  [(e) Meetings.--The Commission shall meet at the call of the 
Chairperson.
  [(f) Quorum.--A majority of the members of the Commission 
shall constitute a quorum, but a lesser number of members may 
hold hearings.
  [(g) Chairperson and Vice Chairperson.--The Commission shall 
select a chairperson and vice chairperson from among the 
members of the Commission.

[SEC. 853. DUTIES OF THE COMMISSION.

  [(a) Study.--
          [(1) In general.--The Commission shall conduct a 
        thorough study to assess the educational software 
        available in retail markets for secondary and 
        postsecondary students who choose to use such software.
          [(2) Public hearings.--As part of the study conducted 
        under this subsection, the Commission shall hold public 
        hearings in each region of the United States concerning 
        the assessment referred to in paragraph (1).
          [(3) Existing information.--To the extent 
        practicable, in carrying out the study under this 
        subsection, the Commission shall identify and use 
        existing information related to the assessment referred 
        to in paragraph (1).
  [(b) Report.--Not later than 12 months after the first 
meeting of the Commission, the Commission shall submit a report 
to the President and Congress that shall contain a detailed 
statement of the findings and conclusions of the Commission 
resulting from the study, together with the Commission's 
recommendations--
          [(1) for such legislation and administrative actions 
        as the Commission considers to be appropriate; and
          [(2) regarding the appropriate Federal role in 
        determining quality educational software products.
  [(c) Facilitation of Exchange of Information.--In carrying 
out the study under subsection (a), the Commission shall, to 
the extent practicable, facilitate the exchange of information 
concerning the issues that are the subject of the study among--
          [(1) officials of the Federal Government, and State 
        governments and political subdivisions of States; and
          [(2) educators from Federal, State, and local 
        institutions of higher education and secondary schools.

[SEC. 854. POWERS OF THE COMMISSION.

  [(a) Hearings.--The Commission may hold such hearings, sit 
and act at such times and places, take such testimony, and 
receive such evidence as the Commission considers advisable to 
carry out the duties of the Commission.
  [(b) Information From Federal Agencies.--The Commission may 
request from the head of any Federal agency or instrumentality 
such information as the Commission considers necessary to carry 
out the provisions of this part. Each such agency or 
instrumentality shall, to the extent permitted by law and 
subject to the exceptions set forth in section 552 of title 5, 
United States Code (commonly referred to as the Freedom of 
Information Act), furnish such information to the Commission 
upon request.
  [(c) Postal Services.--The Commission may use the United 
States mails in the same manner and under the same conditions 
as other departments and agencies of the Federal Government.
  [(d) Gifts.--The Commission may accept, use, and dispose of 
gifts or donations of services or property.

[SEC. 855. COMMISSION PERSONNEL MATTERS.

  [(a) Compensation of Members.--Except as provided in 
subsection (b), each member of the Commission who is not an 
officer or employee of the Federal Government shall serve 
without compensation. All members of the Commission who are 
officers or employees of the United States shall serve without 
compensation in addition to that received for their services as 
officers or employees of the United States.
  [(b) Travel Expenses.--The members of the Commission shall be 
allowed travel expenses, including per diem in lieu of 
subsistence, at rates authorized for employees of agencies 
under subchapter I of chapter 57 of title 5, United States 
Code, while away from their homes or regular places of business 
in the performance of services for the Commission.
  [(c) Staff.--
          [(1) In general.--The Chairperson of the Commission 
        may, without regard to the civil service laws and 
        regulations, appoint and terminate an executive 
        director and such other additional personnel as may be 
        necessary to enable the Commission to perform the 
        Commission's duties. The employment of an executive 
        director shall be subject to confirmation by the 
        Commission.
          [(2) Compensation.--The Chairperson of the Commission 
        may fix the compensation of the executive director and 
        other personnel without regard to the provisions of 
        chapter 51 and subchapter III of chapter 53 of title 5, 
        United States Code, relating to classification of 
        positions and General Schedule pay rates, except that 
        the rate of pay for the executive director and other 
        personnel may not exceed the rate payable for level V 
        of the Executive Schedule under section 5316 of such 
        title.
  [(d) Detail of Government Employees.--Any Federal Government 
employee may be detailed to the Commission without 
reimbursement, and such detail shall be without interruption or 
loss of civil service status or privilege.
  [(e) Procurement of Temporary and Intermittent Services.--The 
Chairperson of the Commission may procure temporary and 
intermittent services under section 3109(b) of title 5, United 
States Code, at rates for individuals that do not exceed the 
daily equivalent of the annual rate of basic pay prescribed for 
level V of the Executive Schedule under section 5316 of such 
title.

[SEC. 856. TERMINATION OF THE COMMISSION.

  [The Commission shall terminate on the date that is 90 days 
after the date on which the Commission submits the Commission's 
report under section 853(b).

[SEC. 857. AUTHORIZATION OF APPROPRIATIONS.

  [(a) In General.--There are authorized to be appropriated 
$450,000 for fiscal year 1999 to the Commission to carry out 
this part.
  [(b) Availability.--Any sums appropriated under the 
authorization contained in this section shall remain available, 
without fiscal year limitation, until expended.]

           *       *       *       *       *       *       *

                              ----------                              


HIGHER EDUCATION AMENDMENTS OF 1992

           *       *       *       *       *       *       *


TITLE XV--RELATED PROGRAMS AND AMENDMENTS TO OTHER LAWS

           *       *       *       *       *       *       *


Part E--OLYMPIC SCHOLARSHIPS

           *       *       *       *       *       *       *


SEC. 1543. OLYMPIC SCHOLARSHIPS.

  (a) * * *

           *       *       *       *       *       *       *

  (d) Authorization of Appropriations.--There are authorized to 
be appropriated $5,000,000 for fiscal year [1999] 2009 and such 
sums as may be necessary for each of the 4 succeeding fiscal 
years to carry out this section.

           *       *       *       *       *       *       *

                              ----------                              


DEPARTMENT OF EDUCATION ORGANIZATION ACT

           *       *       *       *       *       *       *


TITLE II--ESTABLISHMENT OF THE DEPARTMENT

           *       *       *       *       *       *       *


                           PRINCIPAL OFFICERS

  Sec. 202. (a) * * *
  (b)(1) There shall be in the Department--
          (A) * * *

           *       *       *       *       *       *       *

          (E) an Assistant Secretary for Civil Rights; [and]
          (F) an Assistant Secretary for International and 
        Foreign Language Education; and
          [(F)] (G) a General Counsel.

           *       *       *       *       *       *       *

  (e) There shall be in the Department four additional officers 
who shall be appointed by the President, by and with the advice 
and consent of the Senate. The officers appointed under this 
subsection shall perform such functions as the Secretary shall 
prescribe, including--
          (1) * * *

           *       *       *       *       *       *       *

          (4) management and budget functions; and
          (5) planning, evaluation, and policy development 
        functions, including development of policies to promote 
        the efficient and coordinated administration of the 
        Department and its programs and to encourage 
        improvements in education[; and].
          [(6) functions related to encouraging and promoting 
        the study of foreign languages and the study of 
        cultures of other countries at the elementary, 
        secondary, and postsecondary levels.]

           *       *       *       *       *       *       *

  (j) The Assistant Secretary for International and Foreign 
Language Education--
          (1) shall be an individual with extensive background 
        and experience in international and foreign language 
        education; and
          (2) notwithstanding any other provision of law, shall 
        report directly to the Secretary.

           *       *       *       *       *       *       *


         OFFICE OF INTERNATIONAL AND FOREIGN LANGUAGE EDUCATION

  Sec. 207A. There shall be in the Department an Office of 
International and Foreign Language Education, to be 
administered by the Assistant Secretary for International and 
Foreign Language Education appointed under section 202(b). In 
addition to performing such functions affecting international 
and foreign language education as the Secretary may prescribe, 
the Assistant Secretary shall--
          (1) have responsibility for encouraging and promoting 
        the study of foreign languages and the study of 
        cultures of other countries at the elementary, 
        secondary, and postsecondary levels in the United 
        States;
          (2) carry out the administration of all Department 
        programs on international and foreign language 
        education and research;
          (3) coordinate with related international and foreign 
        language education programs of other Federal 
        departments and agencies; and
          (4) administer and coordinate the Department of 
        Education's activities in international affairs.

           *       *       *       *       *       *       *

                              ----------                              


           OMNIBUS CRIME CONTROL AND SAFE STREETS ACT OF 1968

TITLE I--JUSTICE SYSTEM IMPROVEMENT

           *       *       *       *       *       *       *


      Part JJ--LOAN REPAYMENT FOR PROSECUTORS AND PUBLIC DEFENDERS

SEC. 3111. GRANT AUTHORIZATION.

  (a) Purpose.--The purpose of this section is to encourage 
qualified individuals to enter and continue employment as 
prosecutors and public defenders.
  (b) Definitions.--In this section:
          (1) Prosecutor.--The term ``prosecutor'' means a 
        full-time employee of a State or local agency who--
                  (A) is continually licensed to practice law; 
                and
                  (B) prosecutes criminal or juvenile 
                delinquency cases (or both) at the State or 
                local level, including an employee who 
                supervises, educates, or trains other persons 
                prosecuting such cases.
          (2) Public defender.--The term ``public defender'' 
        means an attorney who--
                  (A) is continually licensed to practice law; 
                and
                  (B) is--
                          (i) a full-time employee of a State 
                        or local agency who provides legal 
                        representation to indigent persons in 
                        criminal or juvenile delinquency cases 
                        (or both), including an attorney who 
                        supervises, educates, or trains other 
                        persons providing such representation;
                          (ii) a full-time employee of a 
                        nonprofit organization operating under 
                        a contract with a State or unit of 
                        local government, who devotes 
                        substantially all of such full-time 
                        employment to providing legal 
                        representation to indigent persons in 
                        criminal or juvenile delinquency cases 
                        (or both), including an attorney who 
                        supervises, educates, or trains other 
                        persons providing such representation; 
                        or
                          (iii) employed as a full-time Federal 
                        defender attorney in a defender 
                        organization established pursuant to 
                        subsection (g) of section 3006A of 
                        title 18, United States Code, that 
                        provides legal representation to 
                        indigent persons in criminal or 
                        juvenile delinquency cases (or both).
          (3) Student loan.--The term ``student loan'' means--
                  (A) a loan made, insured, or guaranteed under 
                part B of title IV of the Higher Education Act 
                of 1965 (20 U.S.C. 1071 et seq.);
                  (B) a loan made under part D or E of title IV 
                of the Higher Education Act of 1965 (20 U.S.C. 
                1087a et seq. and 1087aa et seq.); and
                  (C) a loan made under section 428C or 455(g) 
                of the Higher Education Act of 1965 (20 U.S.C. 
                1078-3 and 1087e(g)) to the extent that such 
                loan was used to repay a Federal Direct 
                Stafford Loan, a Federal Direct Unsubsidized 
                Stafford Loan, or a loan made under section 428 
                or 428H of such Act.
  (c) Program Authorized.--The Attorney General shall, subject 
to the availability of appropriations, establish a program by 
which the Department of Justice shall assume the obligation to 
repay a student loan, by direct payments on behalf of a 
borrower to the holder of such loan, in accordance with 
subsection (d), for any borrower who--
          (1) is employed as a prosecutor or public defender; 
        and
          (2) is not in default on a loan for which the 
        borrower seeks forgiveness.
  (d) Terms of Loan Repayment.--
          (1) Borrower agreement.--To be eligible to receive 
        repayment benefits under subsection (c), a borrower 
        shall enter into a written agreement with the Attorney 
        General that specifies that--
                  (A) the borrower will remain employed as a 
                prosecutor or public defender for a required 
                period of service of not less than 3 years, 
                unless involuntarily separated from that 
                employment;
                  (B) if the borrower is involuntarily 
                separated from employment on account of 
                misconduct, or voluntarily separates from 
                employment, before the end of the period 
                specified in the agreement, the borrower will 
                repay the Attorney General the amount of any 
                benefits received by such employee under this 
                section; and
                  (C) if the borrower is required to repay an 
                amount to the Attorney General under 
                subparagraph (B) and fails to repay such 
                amount, a sum equal to that amount shall be 
                recoverable by the Federal Government from the 
                employee (or such employee's estate, if 
                applicable) by such methods as are provided by 
                law for the recovery of amounts owed to the 
                Federal Government.
          (2) Repayment by borrower.--
                  (A) In general.--Any amount repaid by, or 
                recovered from, an individual or the estate of 
                an individual under this subsection shall be 
                credited to the appropriation account from 
                which the amount involved was originally paid.
                  (B) Merger.--Any amount credited under 
                subparagraph (A) shall be merged with other 
                sums in such account and shall be available for 
                the same purposes and period, and subject to 
                the same limitations, if any, as the sums with 
                which the amount was merged.
                  (C) Waiver.--The Attorney General may waive, 
                in whole or in part, a right of recovery under 
                this subsection if it is shown that recovery 
                would be against equity and good conscience or 
                against the public interest.
          (3) Limitations.--
                  (A) Student loan payment amount.--Student 
                loan repayments made by the Attorney General 
                under this section shall be made subject to the 
                availability of appropriations, and subject to 
                such terms, limitations, or conditions as may 
                be mutually agreed upon by the borrower and the 
                Attorney General in an agreement under 
                paragraph (1), except that the amount paid by 
                the Attorney General under this section shall 
                not exceed--
                          (i) $10,000 for any borrower in any 
                        calendar year; or
                          (ii) an aggregate total of $60,000 in 
                        the case of any borrower.
                  (B) Beginning of payments.--Nothing in this 
                section shall authorize the Attorney General to 
                pay any amount to reimburse a borrower for any 
                repayments made by such borrower prior to the 
                date on which the Attorney General entered into 
                an agreement with the borrower under this 
                subsection.
  (e) Additional Agreements.--
          (1) In general.--On completion of the required period 
        of service under an agreement under subsection (d), the 
        borrower and the Attorney General may, subject to 
        paragraph (2), enter into an additional agreement in 
        accordance with subsection (d).
          (2) Term.--An agreement entered into under paragraph 
        (1) may require the borrower to remain employed as a 
        prosecutor or public defender for less than 3 years.
  (f) Award Basis; Priority.--
          (1) Award basis.--The Attorney General shall provide 
        repayment benefits under this section--
                  (A) subject to the availability of 
                appropriations; and
                  (B) in accordance with paragraph (2), except 
                that the Attorney General shall determine a 
                fair allocation of repayment benefits among 
                prosecutors and defenders, and among employing 
                entities nationwide.
          (2) Priority.--In providing repayment benefits under 
        this section in any fiscal year, the Attorney General 
        shall give priority to borrowers--
                  (A) who, when compared to other eligible 
                borrowers, have the least ability to repay 
                their student loans (considering whether the 
                borrower is the beneficiary of any other 
                student loan repayment program), as determined 
                by the Attorney General; or
                  (B) who--
                          (i) received repayment benefits under 
                        this section during the preceding 
                        fiscal year; and
                          (ii) have completed less than 3 years 
                        of the first required period of service 
                        specified for the borrower in an 
                        agreement entered into under subsection 
                        (d).
  (g) Regulations.--The Attorney General is authorized to issue 
such regulations as may be necessary to carry out the 
provisions of this section.
  (h) Report by Inspector General.--Not later than 3 years 
after the date of the enactment of this section, the Inspector 
General of the Department of Justice shall submit to Congress a 
report on--
          (1) the cost of the program authorized under this 
        section; and
          (2) the impact of such program on the hiring and 
        retention of prosecutors and public defenders.
  (i) GAO Study.--Not later than one year after the date of the 
enactment of this section, the Comptroller General shall 
conduct a study of, and report to Congress on, the impact that 
law school accreditation requirements and other factors have on 
the costs of law school and student access to law school, 
including the impact of such requirements on racial and ethnic 
minorities.
  (j) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out this section $25,000,000 for each 
of the fiscal years 2008 through 2013.
                              ----------                              


TITLE 18, UNITED STATES CODE

           *       *       *       *       *       *       *


Part I--CRIMES

           *       *       *       *       *       *       *


CHAPTER 11--BRIBERY, GRAFT, AND CONFLICTS OF INTEREST

           *       *       *       *       *       *       *


Sec. 209. Salary of Government officials and employees payable only by 
                    United States

  (a) * * *

           *       *       *       *       *       *       *

  (i) This section does not prohibit--
          (1) a public or private institution of higher 
        education from providing an officer or employee of the 
        executive branch of the United States Government, of 
        any independent agency of the United States, or of the 
        District of Columbia who is a current or former student 
        of such institution, financial assistance for the 
        purpose of repaying a student loan or providing 
        forbearance of student loan repayment: Provided, that 
        such repaying or providing forbearance--
                  (A) is not provided exclusively to officers 
                and employees of the executive branch of the 
                United States Government, of any independent 
                agency of the United States, and of the 
                District of Columbia; and
                  (B) is provided to any such officer or 
                employee--
                          (i) in accordance with a written, 
                        published policy of the institution 
                        relating to repaying or providing 
                        forbearance, respectively, for students 
                        who perform public service; and
                          (ii) under the same terms and 
                        conditions as are available under such 
                        policy to other students of the 
                        institution who are performing public 
                        service and who qualify for such 
                        repayment or forbearance; and
          (2) an officer or employee of the executive branch of 
        the United States Government, of any independent agency 
        of the United States, or of the District of Columbia 
        from receiving repayment or forbearance permitted under 
        paragraph (1).

           *       *       *       *       *       *       *

                              ----------                              


STEVENSON-WYDLER TECHNOLOGY INNOVATION ACT OF 1980

           *       *       *       *       *       *       *


SEC. 5. EXPERIMENTAL PROGRAM TO STIMULATE COMPETITIVE TECHNOLOGY.

  (a) * * *

           *       *       *       *       *       *       *

  (c) Minority Serving Institution Digital and Wireless 
Technology Opportunity Program.--
          (1) In general.--The Secretary shall establish a 
        Minority Serving Institution Digital and Wireless 
        Technology Opportunity Program to assist eligible 
        institutions in acquiring, and augmenting their use of, 
        digital and wireless networking technologies to improve 
        the quality and delivery of educational services at 
        eligible institutions.
          (2) Authorized activities.--An eligible institution 
        may use a grant, cooperative agreement, or contract 
        awarded under this subsection--
                  (A) to acquire equipment, instrumentation, 
                networking capability, hardware and software, 
                digital network technology, wireless 
                technology, and infrastructure to further the 
                objective of the Program described in paragraph 
                (1);
                  (B) to develop and provide training, 
                education, and professional development 
                programs, including faculty development, to 
                increase the use of, and usefulness of, digital 
                and wireless networking technology;
                  (C) to provide teacher education, including 
                the provision of preservice teacher training 
                and in-service professional development at 
                eligible institutions, library and media 
                specialist training, and preschool and teacher 
                aid certification to individuals who seek to 
                acquire or enhance technology skills in order 
                to use digital and wireless networking 
                technology in the classroom or instructional 
                process, including instruction in science, 
                mathematics, engineering, and technology 
                subjects;
                  (D) to obtain capacity-building technical 
                assistance, including through remote technical 
                support, technical assistance workshops, and 
                distance learning services; and
                  (E) to foster the use of digital and wireless 
                networking technology to improve research and 
                education, including scientific, mathematics, 
                engineering, and technology instruction.
          (3) Application and review procedures.--
                  (A) In general.--To be eligible to receive a 
                grant, cooperative agreement, or contract under 
                this subsection, an eligible institution shall 
                submit an application to the Secretary at such 
                time, in such manner, and containing such 
                information as the Secretary may require. Such 
                application, at a minimum, shall include a 
                description of how the funds will be used, 
                including a description of any digital and 
                wireless networking technology to be acquired, 
                and a description of how the institution will 
                ensure that digital and wireless networking 
                will be made accessible to, and employed by, 
                students, faculty, and administrators. The 
                Secretary, consistent with subparagraph (C) and 
                in consultation with the advisory council 
                established under subparagraph (B), shall 
                establish procedures to review such 
                applications. The Secretary shall publish the 
                application requirements and review criteria in 
                the Federal Register, along with a statement 
                describing the availability of funds.
                  (B) Advisory council.--The Secretary shall 
                establish an advisory council to advise the 
                Secretary on the best approaches to encourage 
                maximum participation by eligible institutions 
                in the program established under paragraph (1), 
                and on the procedures to review proposals 
                submitted to the program. In selecting the 
                members of the advisory council, the Secretary 
                shall consult with representatives of 
                appropriate organizations, including 
                representatives of eligible institutions, to 
                ensure that the membership of the advisory 
                council includes representatives of minority 
                businesses and eligible institution 
                communities. The Secretary shall also consult 
                with experts in digital and wireless networking 
                technology to ensure that such expertise is 
                represented on the advisory council.
                  (C) Review panels.--Each application 
                submitted under this subsection by an eligible 
                institution shall be reviewed by a panel of 
                individuals selected by the Secretary to judge 
                the quality and merit of the proposal, 
                including the extent to which the eligible 
                institution can effectively and successfully 
                utilize the proposed grant, cooperative 
                agreement, or contract to carry out the program 
                described in paragraph (1). The Secretary shall 
                ensure that the review panels include 
                representatives of minority serving 
                institutions and others who are knowledgeable 
                about eligible institutions and technology 
                issues. The Secretary shall ensure that no 
                individual assigned under this subsection to 
                review any application has a conflict of 
                interest with regard to that application. The 
                Secretary shall take into consideration the 
                recommendations of the review panel in 
                determining whether to award a grant, 
                cooperative agreement, or contract to an 
                eligible institution.
                  (D) Information dissemination.--The Secretary 
                shall convene an annual meeting of eligible 
                institutions receiving grants, cooperative 
                agreements, or contracts under this subsection 
                to foster collaboration and capacity-building 
                activities among eligible institutions.
                  (E) Matching requirement.--The Secretary may 
                not award a grant, cooperative agreement, or 
                contract to an eligible institution under this 
                subsection unless such institution agrees that, 
                with respect to the costs incurred by the 
                institution in carrying out the program for 
                which the grant, cooperative agreement, or 
                contract was awarded, such institution shall 
                make available, directly, or through donations 
                from public or private entities, non-Federal 
                contributions in an amount equal to one-quarter 
                of the grant, cooperative agreement, or 
                contract awarded by the Secretary, or $500,000, 
                whichever is the lesser amount. The Secretary 
                shall waive the matching requirement for any 
                institution or consortium with no endowment, or 
                an endowment that has a current dollar value 
                lower than $50,000,000.
                  (F) Awards.--
                          (i) Limitation.--An eligible 
                        institution that receives a grant, 
                        cooperative agreement, or contract 
                        under this subsection that exceeds 
                        $2,500,000 shall not be eligible to 
                        receive another grant, cooperative 
                        agreement, or contract.
                          (ii) Consortia.--Grants, cooperative 
                        agreements, and contracts may only be 
                        awarded to eligible institutions. 
                        Eligible institutions may seek funding 
                        under this subsection for consortia 
                        which may include other eligible 
                        institutions, a State or a State 
                        education agency, local education 
                        agencies, institutions of higher 
                        education, community-based 
                        organizations, national nonprofit 
                        organizations, or businesses, including 
                        minority businesses.
                          (iii) Planning grants.--The Secretary 
                        may provide funds to develop strategic 
                        plans to implement such grants, 
                        cooperative agreements, or contracts.
                          (iv) Institutional diversity.--In 
                        awarding grants, cooperative 
                        agreements, and contracts to eligible 
                        institutions, the Secretary shall 
                        ensure, to the extent practicable, that 
                        awards are made to all types of 
                        institutions eligible for assistance 
                        under this subsection.
                          (v) Need.--In awarding funds under 
                        this subsection, the Secretary shall 
                        give priority to the institution with 
                        the greatest demonstrated need for 
                        assistance.
                  (G) Annual report and evaluation.--
                          (i) Annual report required from 
                        recipients.--Each institution that 
                        receives a grant, cooperative 
                        agreement, or contract awarded under 
                        this subsection shall provide an annual 
                        report to the Secretary on its use of 
                        the grant, cooperative agreement, or 
                        contract.
                          (ii) Independent assessment.--Not 
                        later than 6 months after the date of 
                        enactment of this subsection, the 
                        Secretary shall enter into a contract 
                        with the National Academy of Public 
                        Administration to conduct periodic 
                        assessments of the program. The 
                        Assessments shall be conducted once 
                        every 3 years during the 10-year period 
                        following the enactment of this 
                        subsection. The assessments shall 
                        include an evaluation of the 
                        effectiveness of the program in 
                        improving the education and training of 
                        students, faculty and staff at eligible 
                        institutions that have been awarded 
                        grants, cooperative agreements, or 
                        contracts under the program; an 
                        evaluation of the effectiveness of the 
                        program in improving access to, and 
                        familiarity with, digital and wireless 
                        networking technology for students, 
                        faculty, and staff at all eligible 
                        institutions; an evaluation of the 
                        procedures established under paragraph 
                        (3)(A); and recommendations for 
                        improving the program, including 
                        recommendations concerning the 
                        continuing need for Federal support. In 
                        carrying out its assessments, the 
                        National Academy of Public 
                        Administration shall review the reports 
                        submitted to the Secretary under clause 
                        (i).
                          (iii) Report to congress.--Upon 
                        completion of each independent 
                        assessment carried out under clause 
                        (ii), the Secretary shall transmit the 
                        assessment to Congress along with a 
                        summary of the Secretary's plans, if 
                        any, to implement the recommendations 
                        of the National Academy of Public 
                        Administration.
                  (H) Definitions.--In this subsection:
                          (i) Digital and wireless networking 
                        technology.--The term ``digital and 
                        wireless networking technology'' means 
                        computer and communications equipment 
                        and software that facilitates the 
                        transmission of information in a 
                        digital format.
                          (ii) Eligible institution.--The term 
                        ``eligible institution'' means an 
                        institution that is--
                                  (I) a historically Black 
                                college or university that is a 
                                part B institution, as defined 
                                in section 322(2) of the Higher 
                                Education Act of 1965 (20 
                                U.S.C. 1061(2)), an institution 
                                described in section 
                                326(e)(1)(A), (B), or (C) of 
                                that Act (20 U.S.C. 
                                1063b(e)(1)(A), (B), or (C)), 
                                or a consortium of institutions 
                                described in this subparagraph;
                                  (II) a Hispanic-serving 
                                institution, as defined in 
                                section 502(a)(5) of the Higher 
                                Education Act of 1965 (20 
                                U.S.C. 1101a(a)(5));
                                  (III) a tribally controlled 
                                college or university, as 
                                defined in section 316(b)(3) of 
                                the Higher Education Act of 
                                1965 (20 U.S.C. 1059c(b)(3));
                                  (IV) an Alaska Native-serving 
                                institution under section 
                                317(b) of the Higher Education 
                                Act of 1965 (20 U.S.C. 
                                1059d(b));
                                  (V) a Native Hawaiian-serving 
                                institution under section 
                                317(b) of the Higher Education 
                                Act of 1965 (20 U.S.C. 
                                1059d(b)); or
                                  (VI) an institution of higher 
                                education (as defined in 
                                section 365 of the Higher 
                                Education Act of 1965 (20 
                                U.S.C. 1067k)) with an 
                                enrollment of needy students 
                                (as defined in section 312(d) 
                                of the Higher Education Act of 
                                1965 (20 U.S.C. 1058(d))).
                          (iii) Institution of higher 
                        education.--The term ``institution of 
                        higher education'' has the meaning 
                        given the term in section 101 of the 
                        Higher Education Act of 1965 (20 U.S.C. 
                        1001).
                          (iv) Local educational agency.--The 
                        term ``local educational agency'' has 
                        the meaning given the term in section 
                        9101 of the Elementary and Secondary 
                        Education Act of 1965 (20 U.S.C. 7801).
                          (v) Minority business.--The term 
                        ``minority business'' includes HUBZone 
                        small business concerns (as defined in 
                        section 3(p) of the Small Business Act 
                        (15 U.S.C. 632(p))).
                          (vi) Minority individual.--The term 
                        ``minority individual'' means an 
                        American Indian, Alaskan Native, Black 
                        (not of Hispanic origin), Hispanic 
                        (including persons of Mexican, Puerto 
                        Rican, Cuban and Central or South 
                        American origin), or Pacific Islander 
                        individual.
                          (vii) State.--The term ``State'' has 
                        the meaning given the term in section 
                        9101 of the Elementary and Secondary 
                        Education Act of 1965 (20 U.S.C. 7801).
                          (viii) State educational agency.--The 
                        term ``State educational agency'' has 
                        the meaning given the term in section 
                        9101 of the Elementary and Secondary 
                        Education Act of 1965 (20 U.S.C. 7801).

           *       *       *       *       *       *       *

                              ----------                              


TRUTH IN LENDING ACT

           *       *       *       *       *       *       *


                TITLE I--CONSUMER CREDIT COST DISCLOSURE

CHAPTER 1--GENERAL PROVISIONS

           *       *       *       *       *       *       *


Sec. 104. Exempted transactions

   This title does not apply to the following:
          (1) * * *

           *       *       *       *       *       *       *

          (3) Credit transactions, other than those in which a 
        security interest is or will be acquired in real 
        property, or in personal property used or expected to 
        be used as the principal dwelling of the consumer and 
        other than private educational loans (as that term is 
        defined in section 140(a)), in which the total amount 
        financed exceeds $25,000.

           *       *       *       *       *       *       *


                     CHAPTER 2--CREDIT TRANSACTIONS

Sec.  
121. General requirement of disclosure.
     * * * * * * *
140. Preventing unfair and deceptive private educational lending 
          practices and eliminating conflicts of interest.
     * * * * * * *

Sec. 128. Consumer credit not under open end credit plans

  (a) * * *

           *       *       *       *       *       *       *

  (e) Terms and Disclosure with Respect to Private Educational 
Loans.--
          (1) Disclosures required in private educational loan 
        applications and solicitations.--In any application for 
        a private educational loan, or a solicitation for a 
        private educational loan without requiring an 
        application, the creditor shall disclose to the 
        borrower, clearly and conspicuously--
                  (A) the potential range of rates of interest 
                applicable to the private educational loan;
                  (B) whether the rate of interest applicable 
                to the private educational loan is fixed or 
                variable;
                  (C) limitations on interest rate adjustments, 
                both in terms of frequency and amount, or the 
                lack thereof;
                  (D) requirements for a co-borrower, including 
                any changes in the applicable interest rates 
                without a co-borrower;
                  (E) potential finance charges, late fees, 
                penalties, and adjustments to principal, based 
                on defaults or late payments of the borrower;
                  (F) fees or range of fees applicable to the 
                private educational loan;
                  (G) the term of the private educational loan;
                  (H) whether interest will accrue while the 
                student to whom the private educational loan 
                relates is enrolled at an institution of higher 
                education;
                  (I) payment deferral options, including 
                whether the deferment would apply to interest 
                or principal, or both;
                  (J) general eligibility criteria for the 
                private educational loan;
                  (K) an example of the total cost of the 
                private educational loan over the life of the 
                loan--
                          (i) which shall be calculated using 
                        the principal amount and the maximum 
                        rate of interest actually offered by 
                        the creditor; and
                          (ii) calculated both with and without 
                        capitalization of interest, if that is 
                        an option for postponing interest 
                        payments;
                  (L) a statement that an institution of higher 
                education may have school-specific educational 
                loan benefits and terms not detailed on the 
                disclosure form;
                  (M) that the borrower may qualify for Federal 
                financial assistance through a program under 
                title IV of the Higher Education Act of 1965, 
                in lieu of, or in addition to, a loan from a 
                non-Federal source;
                  (N) the interest rates available with respect 
                to such Federal financial assistance through a 
                program under title IV of the Higher Education 
                Act of 1965;
                  (O) that the consumer may obtain additional 
                information concerning such Federal financial 
                assistance from their institution of higher 
                education or at the website of the Department 
                of Education;
                  (P) that, as provided in paragraph (6)--
                          (i) the borrower shall have up to 30 
                        calendar days following the date on 
                        which the application for the private 
                        educational loan is approved and the 
                        borrower receives the disclosure 
                        documents required under this 
                        subsection for the loan to accept the 
                        terms of the private educational loan 
                        and consummate the transaction; and
                          (ii) except for changes based on 
                        adjustments to the index used for a 
                        loan, the rates and terms of the loan 
                        may not be changed by the creditor 
                        during that 30-day period; and
                  (Q) such other information as the Board shall 
                prescribe, by rule, as necessary or appropriate 
                for consumers to make informed borrowing 
                decisions.
          (2) Written acknowledgment of receipt.--In each case 
        in which a disclosure is provided pursuant to paragraph 
        (1) and an application initiated, a creditor shall 
        obtain a written acknowledgment from the consumer that 
        the consumer has read and understood the disclosure.
          (3) Disclosures at the time of private educational 
        loan approval.--Subject to the rules of the Board, 
        contemporaneously with the approval of a private 
        educational loan application, and before the loan 
        transaction is consummated, the creditor shall disclose 
        to the borrower, clearly and conspicuously--
                  (A) the applicable rate of interest in effect 
                on the date of approval;
                  (B) whether the rate of interest applicable 
                to the private educational loan is fixed or 
                variable;
                  (C) limitations on interest rate adjustments, 
                both in terms of frequency and amount, or the 
                lack thereof;
                  (D) the initial approved principal amount;
                  (E) applicable finance charges, late fees, 
                penalties, and adjustments to principal, based 
                upon borrower defaults or late payments;
                  (F) the maximum term under the private 
                educational loan program;
                  (G) an estimate of the total amount for 
                repayment, at both the interest rate in effect 
                on the date of approval and at the maximum 
                possible rate of interest actually offered by 
                the creditor, to the extent that such maximum 
                rate may be determined, or if not, a good faith 
                estimate thereof;
                  (H) any principal and interest payments 
                required while the student to whom the private 
                educational loan relates is enrolled at an 
                institution of higher education and interest 
                which will accrue during such enrollment;
                  (I) payment deferral options, including 
                whether the deferment would apply to interest 
                or principal, or both;
                  (J) whether monthly payments are graduated;
                  (K) that, as provided in paragraph (7)--
                          (i) the borrower shall have up to 30 
                        calendar days following the date on 
                        which the application for the private 
                        educational loan is approved and the 
                        borrower receives the disclosure 
                        documents required under this 
                        subsection for the loan to accept the 
                        terms of the private educational loan 
                        and consummate the transaction; and
                          (ii) except for changes based on 
                        adjustments to the index used for a 
                        loan, the rates and terms of the loan 
                        may not be changed by the creditor 
                        during that 30-day period;
                  (L) that the borrower may qualify for Federal 
                financial assistance through a program under 
                title IV of the Higher Education Act of 1965, 
                in lieu of, or in addition to, a loan from a 
                non-Federal source;
                  (M) the interest rates available with respect 
                to such Federal financial assistance through a 
                program under title IV of the Higher Education 
                Act of 1965;
                  (N) the maximum monthly payment, calculated 
                using the maximum rate of interest actually 
                offered by the creditor, to the extent that 
                such maximum rate may be determined, or if not, 
                a good faith estimate thereof; and
                  (O) such other information as the Board shall 
                prescribe, by rule, as necessary or appropriate 
                for consumers to make informed borrowing 
                decisions.
          (4) Provision of information.--Before a creditor may 
        issue any funds with respect to an extension of credit 
        described in paragraph (1) for an amount equal to more 
        than $1,000, the creditor shall notify the relevant 
        institution of higher education, in writing, of the 
        proposed extension of credit and the amount thereof.
          (5) Disclosures at the time of private educational 
        loan consummation.--Subject to the regulations 
        prescribed by the Board, contemporaneously with the 
        consummation of a private educational loan, the 
        creditor shall make each of the disclosures described 
        in subparagraphs (A) through (J) and (L) through (O) of 
        paragraph (3) to the borrower.
          (6) Format of disclosures.--Disclosures required 
        under paragraphs (1), (3), and (5) shall appear in a 
        clearly legible, uniform format, subject to section 
        122(c).
          (7) Effective period of approved rate of interest and 
        loan terms.--
                  (A) In general.--With respect to a private 
                educational loan, the borrower shall have the 
                right to accept the terms of the loan and 
                consummate the transaction at any time within 
                30 calendar days following the date on which 
                the application for the private educational 
                loan is approved and the borrower receives the 
                disclosure documents required under this 
                subsection for the loan, and the rates and 
                terms of the loan may not be changed by the 
                creditor during that period, subject to the 
                rules of the Board.
                  (B) Prohibition on changes.--Except for 
                changes based on adjustments to the index used 
                for a loan, the rates and terms of the loan may 
                not be changed by the creditor prior to the 
                earlier of--
                          (i) the date of acceptance of the 
                        terms of the loan and consummation of 
                        the transaction by the borrower, as 
                        described in subparagraph (A); or
                          (ii) the expiration of the 30-day 
                        period referred to in subparagraph (A).
                  (C) Prohibition on disbursement.--No funds 
                may be disbursed with respect to a private 
                educational loan until acceptance of the loan 
                by the borrower under subparagraph (A) and the 
                expiration of the 3-day period under paragraph 
                (7).
          (8) Right to cancel.--With respect to a private 
        educational loan, the borrower may cancel the loan, 
        without penalty to the borrower, at any time within 3 
        business days of the date on which the loan is 
        consummated, subject to the rules of the Board. No 
        funds may be transferred to the borrower during that 3-
        day period.
          (9) Definitions.--For purposes of this subsection, 
        the following definitions shall apply:
                  (A) Institution of higher education.--The 
                term ``institution of higher education'' has 
                the same meaning as in section 102 of the 
                Higher Education Act of 1965 (20 U.S.C. 1002).
                  (B) Private educational lender.--The term 
                ``private educational lender'' means any 
                creditor engaged in the business of soliciting, 
                making, or extending private educational loans.
                  (C) Private educational loan.--The term 
                ``private educational loan''--
                          (i) means a loan provided by a 
                        private educational lender that--
                                  (I) is not made, insured, or 
                                guaranteed under part B of 
                                title IV of the Higher 
                                Education Act of 1965 (20 
                                U.S.C. 1070 et seq.); and
                                  (II) is issued by a private 
                                educational lender expressly 
                                for postsecondary educational 
                                expenses to a student, or the 
                                parent of the student, 
                                regardless of whether the loan 
                                involves enrollment 
                                certification by the 
                                educational institution that 
                                the student attends, or whether 
                                the loan is provided through 
                                the educational institution 
                                that the subject student 
                                attends or directly to the 
                                borrower from the lender; and
                          (ii) does not include an extension of 
                        credit under an open end consumer 
                        credit plan, a reverse mortgage 
                        transaction, a residential mortgage 
                        transaction, or any other loan that is 
                        secured by real property or a dwelling.

           *       *       *       *       *       *       *


Sec. 130. Civil liability

  (a) Except as otherwise provided in this section, any 
creditor who fails to comply with any requirement imposed under 
this chapter, including any requirement under section 125, or 
chapter 4 or 5 of this title with respect to any person is 
liable to such person in an amount equal to the sum of--
          (1) * * *

           *       *       *       *       *       *       *

          (3) in the case of any successful action to enforce 
        the foregoing liability or in any action in which a 
        person is determined to have a right of rescission 
        under section 125 or section 128(e)(8), the costs of 
        the action, together with a reasonable attorney's fee 
        as determined by the court; and

           *       *       *       *       *       *       *

In determining the amount of award in any class action, the 
court shall consider, among other relevant factors, the amount 
of any actual damages awarded, the frequency and persistence of 
failures of compliance by the creditor, the resources of the 
creditor, the number of persons adversely affected, and the 
extent to which the creditor's failure of compliance was 
intentional. In connection with the disclosures referred to in 
subsection (a) and (b) of section 127, a creditor shall have a 
liability determined under paragraph (2) only for failing to 
comply with the requirements of section 125, section 127(a), or 
of paragraph (4), (5), (6), (7), (8), (9), or (10) of section 
127(b) or for failing to comply with disclosure requirements 
under State law for any term or item which the Board has 
determined to be substantially the same in meaning under 
section 111(a)(2) as any of the terms or items referred to in 
section 127(a) or any of those paragraphs of section 127(b). In 
connection with the disclosures referred to in subsection (c) 
or (d) of section 127, a card issuer shall have a liability 
under this section only to a cardholder who pays a fee 
described in section 127(c)(1)(A)(ii)(I) or section 
127(c)(4)(A)(i) or who uses the credit card or charge card. In 
connection with the disclosures referred to in section 128, a 
creditor shall have a liability determined under paragraph (2) 
only for failing to comply with the requirements of section 
[125 or] 125, of paragraph (2) (insofar as it requires a 
disclosure of the ``amount financed''), (3), (4), (5), (6), or 
(9) of section 128(a), or of section 128(e), or for failing to 
comply with disclosure requirements under State law for any 
term which the Board has determined to be substantially the 
same in meaning under section 111(a)(2) as any of the terms 
referred to in any of those paragraphs of section 128(a). With 
respect to any failure to make disclosures required under this 
chapter or chapter 4 or 5 of this title, liability shall be 
imposed only upon the creditor required to make disclosure, 
except as provided in section 131.

           *       *       *       *       *       *       *

  (e) Any action under this section may be brought in any 
United States district court, or in any other court of 
competent juridisdiction, within one year from the date of the 
occurrence of the violation or, in the case of a violation 
involving a private educational loan, 1 year from the date on 
which the first regular payment of principal is due under the 
loan. This subsection does not bar a person from asserting a 
violation of this title in an action to collect the debt which 
was brought more than one year from the date of the occurrence 
of the violation as a matter of defense by recoupment or set-
off in such action, except as otherwise provided by State law. 
An action to enforce a violation of section 129 may also be 
brought by the appropriate State attorney general in any 
appropriate United States district court, or any other court of 
competent jurisdiction, not later than 3 years after the date 
on which the violation occurs. The State attorney general shall 
provide prior written notice of any such civil action to the 
Federal agency responsible for enforcement under section 108 
and shall provide the agency with a copy of the complaint. If 
prior notice is not feasible, the State attorney general shall 
provide notice to such agency immediately upon instituting the 
action. The Federal agency may--
          (1) * * *

           *       *       *       *       *       *       *


Sec. 140. Preventing unfair and deceptive private educational lending 
                    practices and eliminating conflicts of interest

  (a) Definitions.--For purposes of this section, the following 
definitions shall apply:
          (1) Covered educational institution.--The term 
        ``covered educational institution''--
                  (A) means any educational institution that 
                offers a postsecondary educational degree, 
                certificate, or program of study (including any 
                institution of higher education); and
                  (B) includes an agent or employee of the 
                educational institution.
          (2) Gift.--The term ``gift''--
                  (A) means any gratuity, favor, discount, 
                entertainment, hospitality, loan, or other item 
                having a monetary value of more than a de 
                minimis amount, including a gift of services, 
                transportation, lodging, or meals, whether 
                provided in kind, by purchase of a ticket, 
                payment in advance, or reimbursement after the 
                expense has been incurred;
                  (B) does not include--
                          (i) standard informational material 
                        related to a loan or financial literacy 
                        (such as a brochure);
                          (ii) food, refreshments, training, or 
                        informational material furnished to an 
                        employee or agent of a covered 
                        educational institution, as an integral 
                        part of a training session that is 
                        designed to improve the service of the 
                        private educational lender to the 
                        covered educational institution, if 
                        such training contributes to the 
                        professional development of the 
                        employee or agent of the covered 
                        educational institution; or
                          (iii) favorable terms, conditions, 
                        and borrower benefits on an educational 
                        loan provided to a student employed by 
                        the covered educational institution if 
                        such terms, conditions, or benefits are 
                        comparable to those provided to all 
                        students of the institution; and
                  (C) includes a gift to a family member of an 
                officer, employee, or agent of a covered 
                institution, or a gift to any other individual 
                based on that individual's relationship with 
                the officer, employee, or agent, if--
                          (i) the gift is given with the 
                        knowledge and acquiescence of the 
                        officer, employee, or agent; and
                          (ii) the officer, employee, or agent 
                        has reason to believe the gift was 
                        given because of the official position 
                        of the officer, employee, or agent.
          (3) Institution of higher education.--the term 
        ``institution of higher education'' has the same 
        meaning as in section 102 of the Higher Education Act 
        of 1965 (20 U.S.C. 1002).
          (4) Postsecondary educational expense.--The term 
        ``postsecondary educational expenses'' means any of the 
        expenses that are included as part of the cost of 
        attendance of a student, as defined under section 472 
        of the Higher Education Act of 1965 (20 U.S.C. 1087ll).
          (5) Private educational lender.--The term ``private 
        educational lender'' means a creditor which solicits, 
        makes, or extends private educational loans.
          (6) Private educational loan.--The term ``private 
        educational loan''--
                  (A) means a loan provided by a private 
                educational lender that--
                          (i) is not made, insured, or 
                        guaranteed under part B of title IV of 
                        the Higher Education Act of 1965 (20 
                        U.S.C. 1070 et seq.); and
                          (ii) is issued by a private 
                        educational lender expressly for 
                        postsecondary educational expenses to a 
                        student, or the parent of the student, 
                        regardless of whether the loan involves 
                        enrollment certification by the 
                        educational institution that the 
                        student attends, or whether the loan is 
                        provided through the educational 
                        institution that the subject student 
                        attends or directly to the borrower 
                        from the lender; and
                  (B) does not include an extension of credit 
                under an open end consumer credit plan, a 
                residential mortgage transaction, or any other 
                loan that is secured by real property or a 
                dwelling.
          (7) Revenue sharing.--the term ``revenue sharing'' 
        means an arrangement between a covered educational 
        institution and a private educational lender under 
        which--
                  (A) a private educational lender provides or 
                issues private educational loans to students 
                attending the covered educational institution 
                or to the parents of such students;
                  (B) the covered educational institution 
                recommends to students or others the private 
                educational lender or the private educational 
                loans of the private educational lender; and
                  (C) the private educational lender pays a fee 
                or provides other material benefits, including 
                profit or revenue sharing, to the covered 
                educational institution or to the officers, 
                employees, or agents of the covered educational 
                institution in connection with the private 
                educational loans provided to students 
                attending the covered educational institution 
                or a borrower acting on behalf of a student.
  (b) Prohibition on Certain Gifts and Arrangements.--A private 
educational lender, including any officer or employee thereof, 
may not, directly or indirectly--
          (1) offer or provide any gift to a covered 
        educational institution or a covered educational 
        institution employee, nor may such covered educational 
        institution, officer, or employee receive any such 
        gift, in exchange for any advantage or consideration 
        provided to such private educational lender related to 
        its private educational loan activities; or
          (2) engage in revenue sharing with a covered 
        educational institution.
  (c) Prohibition on Co-branding.--A private educational lender 
may not use the name, emblem, mascot, or logo of the covered 
educational institution, or other words, pictures, or symbols 
readily identified with the covered educational institution, in 
the marketing of private educational loans in any way that 
implies that the covered educational institution endorses the 
private educational loans offered by the lender.
  (d) Ban on Participation on Advisory Councils.--
          (1) In general.--An officer, employee, or agent who 
        is employed in the financial aid office of a covered 
        institution, or who otherwise has responsibilities with 
        respect to private educational loans, shall not serve 
        on or otherwise participate with advisory councils of 
        private educational lenders or affiliates of such 
        lenders.
          (2) Rules of construction.--No provision of this 
        subsection shall be construed as--
                  (A) prohibiting private educational lenders 
                from seeking advice from covered institutions 
                or groups of covered institutions (including 
                through telephonic or electronic means, or a 
                meeting) in order to improve products and 
                services for borrowers, to the extent that no 
                gifts or compensation (including for 
                transportation, lodging, or related expenses) 
                are provided by private educational lenders in 
                connection with seeking this advice from such 
                institutions; or
                  (B) prohibiting an employee, officer, or 
                agent of a covered institution from serving on 
                the board of directors of a private educational 
                lender, if required by State law.
  (e) Prohibition on Prepayment or Repayment Fees or Penalty.--
It shall be unlawful for any private educational lender to 
impose a fee or penalty on a borrower, directly or indirectly, 
for early repayment or prepayment, of any private educational 
loan.

           *       *       *       *       *       *       *

                              ----------                              


COMMUNITY REINVESTMENT ACT OF 1977

           *       *       *       *       *       *       *


TITLE VIII--COMMUNITY REINVESTMENT

           *       *       *       *       *       *       *


  Sec. 804. (a) * * *

           *       *       *       *       *       *       *

  (d) Low-Cost Educational Loans.--In assessing and taking into 
account, under subsection (a), the record of a financial 
institution, the appropriate Federal financial supervisory 
agency shall consider, as a factor, low-cost educational loans 
provided by the financial institution to low-income borrowers.

           *       *       *       *       *       *       *
 



                           XVIII. Additional Views

                            ADDITIONAL VIEWS

    Since its inception four decades ago, the Higher Education 
Act has provided hundreds of billions of dollars to students, 
as well as significant resources to colleges and universities 
themselves. The Higher Education Act is responsible for helping 
generations of American students successfully complete 
postsecondary studies and reap the benefits that come with 
higher education. The Act is unique in its focus on providing 
students with a portable funding source that they may use at 
the institution of their choosing, modeling the success that 
can be achieved through authentic educational choice. Yet 
despite this clear success, Committee Republicans believe the 
Higher Education Act has failed to achieve a fundamental goal: 
lowering the cost of college so that every American can achieve 
the dream of higher education. The Department of Education 
currently makes available $82 billion in student aid for higher 
education. This figure does not include student aid disbursed 
by other Federal agencies nor does the figure include the 
billions ``spent'' by the Federal government in the form of tax 
credits for higher education expenses. For every dollar 
increase in Federal student aid, it seems there is a larger 
dollar increase in college tuition. The result is an unending 
spiral of financial confusion that leaves far too many American 
students unable to pursue a college education.
    This reauthorization provides a vital opportunity to 
reassess the effectiveness of the Federal investment in higher 
education, realign our priorities to ensure that the focus of 
the Higher Education Act is students, and redefine what it 
means to hold colleges and universities accountable. 
Policymakers have an opportunity--and an obligation--to enact 
meaningful reforms on behalf of American students, families, 
and taxpayers.
    Historically speaking, and perhaps even more so today, 
Federal involvement in higher education is primarily viewed in 
financial terms. Committee Republicans believe this emphasis on 
funding has both positive and negative implications for 
students and taxpayers. On the positive side, Committee 
Republicans strongly believe that what has made the Higher 
Education Act so effective is that it targets funds directly to 
students. The Higher Education Act is a shining example of how 
educational freedom encourages competition and serves students 
by allowing them to make decisions about what educational 
opportunity will best meet their needs. On the negative side, 
however, Committee Republicans believe the vast Federal 
investment has allowed America's higher education system to 
become complacent in its efforts to expand service, increase 
efficiency, hold down costs, and increase quality. Some would 
even argue that the infusion of Federal resources has stifled 
the type of innovation and competition that would exist in a 
more demand-driven system that was not so dependent on third-
party payments.
    Funding for higher education has indeed gone up 
dramatically in recent years. According to information from the 
College Board in its 2007 Trends in Student Aid report, 
federally-supported student aid programs have increased by 128 
percent in the last decade. This includes increases in Pell 
Grants, Supplemental Educational Opportunity Grants, Federal 
Work Study, support for veterans and other military personnel, 
and student loans.
    Committee Republicans are proud of the financial commitment 
Congress has demonstrated in recent years toward higher 
education. This support will continue. However, Committee 
Republicans are concerned that the value of this investment may 
be diminished by a lack of market discipline, meaningful 
competition, and consumer awareness. As such, Committee 
Republicans believe that while the financial focus of the 
Higher Education Act is important to its success, there is also 
a need to refocus on the principles of access, accountability, 
affordability, and quality. Committee Republicans believe that, 
for the most part, H.R. 4137 achieves those principles. 
However, the principles could have been further enhanced 
through the acceptance of several key Republican amendments.
Student speech and association rights
    Committee Republicans believe it is critical that students 
and members of the campus community are able to exercise their 
right to speak freely and express their views in organizations 
and events on campus. Therefore, Representative Mark Souder (R-
IN) offered an amendment to adjust the existing Sense of 
Congress on Student Speech and Association Rights to ensure 
that institutions of higher education are protecting these 
rights for students. These rights include that students should 
be judged solely on their knowledge and reasoned answers; that 
student funds should be used to present diverse views at campus 
events, lectures and programs; that institutions should present 
students with an array of material in the instructional setting 
that includes dissenting views; and that students should not be 
unfairly punished because of their ideology or political 
beliefs.
    Beginning in the 1980s and 1990s, institutions began 
enacting harassment policies or ``free speech codes,'' 
institutional policies or regulations designed to prevent 
speech and expression that, in an off-campus environment, would 
otherwise be constitutionally protected. Courts have held that 
several of these policies and codes are too broad and vague to 
be constitutional.\1\ Committee Republicans encourage 
institutions to re-examine their speech codes to ensure 
compliance with the law.
---------------------------------------------------------------------------
    \1\See, e.g., UWM Post, Inc. v. Bd of Regents of the Univ. of Wis. 
Sys., 774 F. Supp. 1163 (E.D. Wis. 1991); Bair v. Shippensburg Univ., 
280 F. Supp. 2d 357 (M.D. Pa. 2003); Doe v. Univ. of Mich., 721 F. 
Supp. 852 (E.D. Mich. 1989); Dambrot v. Central Mich. Univ., 55 F.3d 
1177 (6th Cir. 1995).
---------------------------------------------------------------------------
    Further, Committee Republicans recognize that a good 
education involves free academic inquiry and thought in all 
fields of study. There is evidence to suggest, however, that 
both faculty and students have been harassed or discriminated 
against because of the expression of their personal or 
professional judgments, opinions or beliefs that may be 
considered political, ideological or religious. Sometimes these 
opinions or beliefs may, in fact, be well-researched and 
intellectually informed, but because they are deemed 
controversial, the faculty or students who hold these beliefs 
may be harassed or limited in some way from academic or 
professional advancement. However, rather than put forward 
alternatives to our language, Committee Democrats simply chose 
to vote down this amendment by a 19-23 predominately party line 
vote. Committee Republicans believe that such discrimination 
discourages the type of intellectual curiosity necessary for a 
free, democratic society to flourish and we therefore encourage 
universities to promote intellectual pluralism within the 
context of the university's institutional mission. This 
amendment was simply building on a Sense of Congress included 
under current law and would have demonstrated the Committee's 
commitment to ensuring the free flow exchange of ideas on 
college campuses across the country.

Performance pay

    One of the most important goals of the No Child Left Behind 
Act is to ensure that all public school students are taught by 
teachers with subject matter knowledge and teaching skills 
capable of effectively driving student learning gains in 
schools, particularly schools with high concentrations of low-
income students.
    Committee Republicans are concerned that the manner in 
which public school teachers are generally compensated (paying 
teachers according to a structured scale on the basis of their 
level of education and number of years in the classroom, even 
though neither of these factors is necessarily associated with 
better teaching or higher student achievement) may work against 
the goals in No Child Left Behind.
    There is growing recognition that alternative compensation 
systems that reward teachers for demonstrated growth in student 
achievement can be a catalyst for school improvement and an 
important recruitment tool for school districts seeking 
talented prospective teachers. A study produced earlier this 
year by researchers at the University of Florida demonstrated 
that student learning increased when teachers were provided 
financial incentives.
    Representative Tom Price (R-GA) introduced an amendment 
that would have permitted grantees in the title II Partnership 
Grants program to develop performance pay systems for teachers. 
This authority, which is similar to language already in current 
law, would encourage greater experimentation with performance 
pay to build on efforts already underway across the country to 
capitalize on this promising teacher quality improvement 
strategy. Unfortunately, the Committee rejected this amendment 
by a vote of 16 to 26.
    Committee Republicans remain confident that this amendment 
permitting the development of performance pay systems would 
have allowed partnerships to implement reforms to teacher 
compensation systems that would result in improved learning 
environments and increased academic achievement for our 
nation's neediest students.

Adjunct Teacher Corps

    School districts around the country are facing a shortage 
of qualified teachers in the fields of math, science, and 
critical foreign languages. A recent report cited by the U.S. 
Department of Education found that approximately one-third of 
middle and high school math and science teachers did not have a 
major or minor in their subject area or related discipline, 
with well over half of teachers in the physical sciences 
lacking such a degree. This shortage in qualified teachers in 
these high-need subjects has a profound impact on our country's 
ability to produce graduates with the skills in these high-need 
fields necessary to maintain our competitiveness in the global 
economy.
    Representative Cathy McMorris Rodgers (R-WA) offered an 
amendment to address this issue by establishing an Adjunct 
Teacher Corps. This program would provide grants to local 
educational agencies and public or private educational 
organizations to recruit well-qualified individuals to serve as 
adjunct teachers in secondary school math, science, and 
critical foreign language courses. These individuals might be 
mid-career professionals with unique expertise and experiences 
that could fill gaping holes in schools' teaching forces. The 
amendment would require school districts to provide adjunct 
teachers pre-service training and on-going mentoring by highly 
qualified teachers to ensure that the adjunct teachers have 
both the subject matter knowledge and pedagogical skills to be 
effective classroom instructors.
    Committee Republicans continue to believe that school 
districts must be granted more flexibility to make up for the 
shortfall in teachers prepared through the traditional pipeline 
with expertise in high-need fields. The Adjunct Teacher Corps 
would provide this flexibility by allowing schools to 
capitalize on the unique subject matter knowledge and 
experiences of individuals within the math, science, and 
critical foreign languages fields. Despite the talent that 
these individuals would bring to our nation's schools through 
the Adjunct Teacher Corps, this amendment was rejected 19-25 in 
Committee. Committee Republicans look forward to working with 
Committee Democrats on this amendment before the bill is 
brought up on the Floor.

Student Loan Auctions

    Committee Republicans remain concerned about the PLUS loan 
auction proposal included in The College Cost Reduction and 
Access Act, H.R. 2669. Under this proposal, the Department of 
Education is responsible for starting and managing 50 statewide 
auctions every two years. Committee Republicans have serious 
concerns about the Department of Education's ability to manage 
this new complicated scheme. Further, Committee Republicans 
also have concerns about how the PLUS auction will complicate 
lending for parents. A parent with several children attending 
colleges in different States may be forced to take out PLUS 
loans from two or three different lenders, depending upon the 
lender that won the bid in each State. Such a process does 
nothing to simplify the loan process for families and in fact, 
has the potential to lead to greater confusion for students, 
parents and institutions. The College Opportunity and 
Affordability Act of 2007 includes an evaluation of the auction 
proposal. While Committee Republicans support an evaluation, we 
believe that the simple amendment offered by Representative 
Mark Souder (R-IN) should have been adopted. Rep. Souder's 
amendment did not abolish the auction. In fact, it did not even 
set a test through which the Secretary would be required to end 
the auction. The amendment simply gave the Secretary the 
authority to discontinue the auction at any point if the 
evaluation determined that the auction was not in the best 
interests of taxpayers or students. This amendment was 
eventually withdrawn with the understanding that we could work 
out a compromise prior to the bill being brought up on the 
Floor. Committee Republicans look forward to working with 
Committee Democrats on this amendment.

Borrower choice in student loans

    Since the creation of the Direct Loan program in 1992, the 
reauthorizations of the Higher Education Act have put forward 
proposals designed to level the playing field between the 
Federal Family Education Loan (FFEL) program and the Direct 
Loan (DL) program. The competition between the two programs has 
significantly increased the quality of service in both 
programs. Currently, approximately 80 percent of loans are 
originated in the FFEL program and 20 percent in the DL 
program.
    In the FFEL program, students are permitted to select their 
own lender. In fact, this bill includes several provisions that 
improve borrower choice by requiring that every institution 
operating a preferred lender list recommend at least three 
unaffiliated lenders on the list. In addition, the bill builds 
on provisions included in the bipartisan H.R. 890, The Student 
Loan Sunshine Act, and requires that institutions conspicuously 
post a notice to students that they are permitted to select any 
lender, even if the lender does not appear on the preferred 
lender list.
    At the same time that H.R. 4137 reinforces the policy that 
institutions must provide student choice, however, the bill 
limits the choice of students who attend institutions 
participating in the Direct Loan program. Committee Republicans 
supported the amendment by Representative Ric Keller (R-FL) 
that would have permitted borrower choice at Direct Loan 
schools.
    The theme of the investigation by New York Attorney General 
Andrew Cuomo and the investigations by the Committee has been 
that students should have the ultimate choice in choosing their 
lender. However, students attending institutions participating 
in the Direct Loan program have no choice in their lender. In 
fact, the lender is automatically selected for them by their 
institution. In the FFEL program, investigations occurred when 
institutions tried to find the best deals for their students 
and offered recommendations. In the Direct Loan program, 
institutions mandate the Federal government as the lender even 
though students could get better loan tenns from a FFEL lender. 
This amendment would simply have ensured that all students are 
provided free choice when it comes to their student loan lender 
regardless of the institution they attend. However, instead, 
Committee Democrats chose to vote down this amendment by a vote 
of 13-28, thereby supporting the idea that not all borrowers 
deserve a choice in their lender.

Accountability in international education

    International education programs at the postsecondary level 
play a vital role in building and maintaining the nation's 
ability to supply expertise in critical foreign languages, area 
studies and international business arenas. In order to continue 
the nation's established leadership role in international 
affairs, the opportunities for students to become knowledgeable 
in international issues and critical foreign languages has 
become increasingly important. America's interests and national 
security are inextricably tied to our knowledge and 
understanding of the rest of the world.
    Committee Republicans believe that when selecting grantees, 
the Secretary should take into account the degree to which 
activities of centers, programs, and fellowships at 
institutions of higher education advance national interests, 
generate and disseminate information, and foster debate on 
American foreign policy from diverse intellectual perspectives. 
In addition, Committee Republicans believe that the 
international education programs funded by the Federal 
government and operated at our country's institutions should be 
meeting the national security and intelligence needs of our 
country. For that reason, Representative Peter Hoekstra (R-MI) 
introduced an amendment that built on a number of refolins of 
the title VI programs included in H.R 609, The College Access 
and Opportunity Act of 2006, from last Congress and the Senate 
reauthorization bill. The amendment required the Secretary to 
consult with various federal agencies, including the 
Departments of Commerce, Defense, and State and the National 
Security agency and the office of the Director of National 
Intelligence, in determining the national need for expertise in 
foreign languages and world regions. Congress should be 
enacting policies that tailor the laws to the country's needs. 
While this amendment was withdrawn, Committee Republicans look 
forward to working with Committee Democrats to supplement the 
amendment offered by Representative Rush Holt (D-NJ) to create 
a new Assistant Secretary position for international education 
with some of these important ideas and principles to ensure 
accountability in the title VI programs.
    Over the past several Congresses, the Committee has heard 
testimony from a number of different experts and government 
officials that have pleaded for ways to fulfill important 
shortages. These officials need graduates to have expertise in 
critical foreign languages and in different regions of the 
world. This provision in the amendment would have provided the 
Secretary with the tools to gain a better understanding of the 
country's needs, award grant funds based on that new knowledge, 
and determine where the graduates of these programs are going 
upon graduation.
    Committee Republicans also believe that international 
education programs need to develop an environment that fosters 
debate and offers diverse perspectives to our nation's 
students. In order to meet that goal, the amendment required 
the Secretary to collect information on how the program will 
reflect a wide range of viewpoints. Committee Republicans have 
heard one anecdote after another about how students with 
certain viewpoints are stifled in the classroom and through 
their coursework. For this reason, Committee Republicans also 
believe it is vital for the Secretary to gather information 
about how the grantees will address disputes related to the 
offering of diverse perspectives. Students with opinions that 
may be different from other students or their professors must 
know that there is a procedure in place to address concerns of 
discrimination.
    Finally, Committee Republicans also believe that the bill 
should clearly require that recruiters from the military and 
Federal agencies be given the same access as is granted to 
prospective employers who wish to recruit students for non-
government related employment opportunities. Committee 
Republicans believe students who benefit from the programs 
funded under title VI have instrumental and unique skills in 
critical foreign languages, world regions and international 
affairs that would benefit the military and agencies of the 
Federal government and those employers should be peiiiiitted to 
recruit students on campus for this purpose.

International advisory board

    In a June 2005 report from the Congressional Research 
Service, there was significant discussion regarding the 
establishment of a ``multi-agency board, endowment, foundation 
or other independent Federal entity to coordinate and/or 
administer all Federal programs dealing with foreign language 
and international studies.'' The report further suggested that 
one function of such board or agency might be ``relatively 
long-range planning to attempt to meet both the Federal 
government's and the Nation's needs for foreign language and 
area studies specialists in a coordinated manner.''
    During a June 2003 hearing on title VI, Dr. Stanley Kurtz, 
a Research Fellow with the Hoover Institution, argued that a 
board, similar to those that govern the Fulbright and National 
Security Education Programs, was needed to help enhance the 
programs under title VI. Dr. Kurtz proposed that a board should 
be inclusive of all points of view and should therefore ``be 
able to hold annual [public] hearings on title VI activities, 
including the outreach activities of the National Resource 
Centers.''
    In a book entitled, ``Language and National Security in the 
21st Century,'' published by the National Foreign Language 
Center, the authors recommend an ``establishment of mechanisms 
to monitor national needs and capacity in language and to 
assess how those needs and that capacity are addressed by 
Federal, State, and local programs, including title VI.'' In 
response to all of these sources, Representative Peter Hoekstra 
(R-MI) introduced an amendment, rejected along party lines by a 
voice vote, that would create an International Advisory Board. 
The Board authorized by the amendment would be responsible for 
making specific recommendations that would assist the Secretary 
and the Congress to improve the programs under title VI to 
better reflect the national needs related to homeland security, 
international education, and international affairs, including 
the assessment of the national needs and training provided by 
the institutions of higher education that receive a grant for 
expert and non-expert level foreign language training.
    Committee Republicans believe that the programs authorized 
under title VI of the Higher Education Act are crucially 
important because they ensure the expansion of the 
international knowledge base of the nation's citizenry and 
promote the growth and development in national need areas 
related to addressing national security interests and 
international commerce. The International Advisory Board, 
rather than a new Assistant Secretary position at the 
Department of Education, would be the best entity to provide 
advice, counsel and recommendations to the Secretary and the 
Congress on international education issues for higher education 
in order to improve international education program. Rather 
than go through a political appointment process and be subject 
to the political winds of the time, the International Advisory 
Board would be appointed by the House of Representatives, the 
Senate, and the Secretary, who must select two representatives 
from agencies with diplomacy, national security, international 
commerce or other international activity responsibilities. 
These agencies may include, but not be limited to, the 
Department of Defense, the Department of Homeland Security, the 
Department of State, the Department of Commerce, and the 
Central Intelligence Agency.
    The International Advisory Board would be authorized to 
hold public hearings to review the recommendations provided by 
the Board to the Secretary and the Congress. Committee 
Republicans believe the creation of the International Advisory 
Board would be an important first step to engage the 
independent board with the grantees, communities and 
constituencies who are most interested in the objectives and 
outcomes of the programs authorized under title VI. Committee 
Republicans also believe strongly that the creation of such a 
Board would not provide them with the authority to mandate, 
direct, or control an institution of higher education's 
specific instructional content, curriculum, or program of 
instruction.

New programs & regulations

    Committee Republicans remain concerned about the overall 
expansion of the federal government included in H.R. 4137. The 
bill creates approximately 20 new programs and requires many 
more new reporting requirements. These facts are in direct 
conflict to the streamlining and simplification effort promoted 
by the Committee Republicans at the beginning of this 
reauthorization process.
    At that time, the Committee believed the first step in 
developing meaningful reforms was not simply to impose new 
regulations on top of the existing framework, but to identify 
ways to actually reduce red tape and bureaucracy for students, 
financial aid personnel, and colleges and universities. Known 
as the FED UP project, this bipartisan initiative was the first 
step toward developing a more efficient and effective Federal 
student aid system.
    In an effort to identify outdated, redundant, or overly 
burdensome provisions in title IV of the Higher Education Act 
and its regulations, the ``Upping the Effectiveness of Our 
Federal Student Aid Programs,'' or ``FED UP,'' was developed by 
then-21st Century Competitiveness Subcommittee Chairman Howard 
P. ``Buck'' McKeon (R-CA) and the late Representative Patsy 
Mink (D-HI) in 2001. The project, which was launched in May 
2001, solicited suggestions from the higher education community 
as to what provisions in the Higher Education Act and which 
regulations should be changed or eliminated and why. More than 
3,000 responses were received and logged from loan 
professionals, financial aid officers, students, higher 
education associations and concerned citizens. The Department 
of Education completed a negotiated rulemaking session based on 
the proposals submitted through FED UP and released new 
regulations.
    H.R. 609 incorporated the suggestions from FED UP and 
specifically addressed statutory changes that are necessary to 
relieve some of the administrative burdens on students, 
financial aid professionals, student loan providers and 
institutions of higher education, while providing clarification 
of other provisions currently in law. Committee Republicans 
fear that H.R. 4137 is heading in the opposite direction by 
requiring new reporting requirements for institutions, the 
result of which will be thousands of reports arriving every 
year at the doors of the Department of Education. Some of the 
reporting provisions in the bill require that the Secretary 
actually publicize the information required in the reports on 
the Department's web site. Other provisions do not specify what 
actions need to be taken. Committee Republicans remain deeply 
concerned about additional burdens imposed on students, 
institutions and other partners in the field. Committee 
Republicans look forward to working with Chairmen Miller and 
Hinojosa, and other Committee Democrats, in ensuring that the 
reporting requirements are not burdensome or duplicative and 
remain useful.
    Committee Republicans also look forward to working with 
Committee Democrats to further limit the new initiatives and 
programs included in the bill. Creating new programs on top of 
existing programs generally creates duplication and waste. The 
programs already funded under the Higher Education Act cover a 
wide range of services and activities designed to meet the 
needs of students and, before creating and funding a new 
program, the Committee should carefully examine existing 
programs in order to ensure against creating more bureaucracy 
when the existing bureaucracy is already in place to do the 
job. Creating new authorizations simply burdens the 
appropriators to find funding for every program instead of 
focusing resources on the programs that are truly effective in 
helping our nation's students obtain a postsecondary education.

                                   Howard P. ``Buck'' McKeon.
                                   Peter Hoekstra.
                                   Mark E. Souder.
                                   Ric Keller.
                                   Joe Wilson.
                                   John Kline.
                                   Cathy McMorris Rodgers.
                                   Kenny Marchant.
                                   Charles W. Boustany, Jr.
                                   David Davis (TN).
                                   Dean Heller.

   ADDITIONAL VIEWS ON THE ADVISORY COMMITTEE FOR STUDENT FINANCIAL 
                               ASSISTANCE

    As the importance of a postsecondary education grows along 
with the need for a greater federal investment in student 
financial assistance, it is essential that Congress maintain a 
mechanism for on-going independent analysis and advice on the 
implementation of the student aid programs. Since its 
establishment in the 1986 Amendments to the Higher Education 
Act, the Advisory Committee on Student Financial Assistance has 
been that mechanism.
    What has made the Advisory Committee an invaluable source 
of technical expertise and advice to the Congress and the 
Secretary of Education has been its independence--both from the 
administration and from outside interest groups. The Advisory 
Committee's agenda is set in statute by the Congress. The 
congressional mandate requires the Advisory Committee to 
conduct objective, nonpartisan, and independent analyses on 
important aspects of the student assistance programs under 
Title IV of the HEA. in addition, Congress has and may call 
upon the Committee to conduct special evaluations, studies, and 
analyses that address the basic structure and effectiveness of 
the individual programs under Title IV.
    The Advisory Committee provides an open, public process 
that incorporates input from a broad range of stakeholders for 
monitoring and making recommendations for improvements to the 
student aid programs. The Advisory Committee membership 
includes a cross-section of stakeholders in the student aid 
community with members appointed by the Congress and the 
Secretary of Education representing institutions of higher 
education, secondary schools, financial institutions, students, 
and parents. More than half of the members must be appointed on 
the basis of technical expertise and professional standing in 
the field of higher education and student aid administration. 
All Advisory Committee hearings and reports are a matter of 
public record.
    To fulfill its congressional responsibilities over the past 
20 years, the Advisory Committee has held more than 100 formal 
meetings, hearings, and symposia. In addition, the Committee 
has developed background papers on a myriad of issues 
pertaining to student financial assistance. The recent work of 
the Advisory Committee, including its three reports, Access 
Denied: Restoring the Nation's Commitment to Equal Educational 
Opportunity, Empty Promises: The Myth of College Access in 
America, and Mortgaging Our Future: How Financial Barriers to 
College Undercut America's Global Competitiveness has 
demonstrated to policy-makers, educators, and members of the 
higher education community that federal policy must be mindful 
of the barriers to access and persistence facing low- and 
moderate-income students. As a result of these reports, 
numerous efforts to encourage increases in need-based aid for 
low- and moderate-income students have occurred at the federal, 
state, and institutional levels.
    These barriers include the complexities of the student aid 
system. As a result, the Advisory Committee has been an active 
participant in discussions on ways to streamline and simplify 
both need analysis and aid application. The Advisory 
Committee's efforts on this issue have been met with 
significant success. In the 1990s, its work on financial aid 
simplification led to the introduction of a free common 
financial aid form that serves as an application for federal 
aid and most state and institutional aid. The Advisory 
Committee also worked toward expanding and implementing two 
streamlined need analysis formulas that are used for low-income 
students: the Simplified Needs Test (SNT) and the automatic-
zero Expected Family Contribution, or the auto-zero EFC.
    Congress charged the Advisory Committee in the fiscal year 
2004 Consolidated Appropriations Act with conducting a one-year 
simplification study to identify ways to streamline the 
financial aid system and make it easier, more responsive, and 
fairer for students and families. The central question put 
forth by Congress was whether a broad and cost-effective 
simplification initiative could increase the power of student 
aid to achieve greater access to college, especially for low-
income students. In 2005, the Committee submitted to Congress 
and the Secretary of Education the simplification study's final 
report, The Student Aid Gauntlet: Making Access to College 
Simple and Certain. The report recommended a sweeping, but cost 
effective, simplification initiative, consisting of four 
national imperatives for improving access that would increase 
the return on our nation's already sizeable investment in 
student aid. The recommendations are as follows:
           Create a system of early financial aid 
        information.
           Make federal need analysis transparent, 
        consistent, and fair.
           Expand existing simplification to more 
        students.
           Allow all students to apply for financial 
        aid earlier.
           Make the FAFSA relevant and understandable.
           Create a simpler paper form for low-income 
        students.
           Phase out the full paper form and increase 
        the use of technology.
           Simplify and streamline FAFSA on the Web.
           Simplify the verification process.
           Create a national partnership to make access 
        simple and certain.
    Nine of the ten recommendations were included, in whole or 
in part, in the Deficit Reduction Act of 2005, which was signed 
into law by the President on February 8, 2006 and the College 
Cost Reduction and Access Act, signed into law on September 27, 
2007. The recommendation not included was to simplify the 
verification process.
    The Advisory Committee's tenth proposal, to create a new 
national access and persistence partnership, is designed to 
leverage federal funds in order to encourage states to create 
public-private collaborations that increase college enrollment 
and success for low-income students. This recommendation is 
reflected in the provisions to establish Grants for Access and 
Persistence (GAP) in H.R. 4137.
    As is evident from its recent activities, the Advisory 
Committee on Student Financial Assistance continues to provide 
valuable input and advice to Congress. With the enactment of 
major changes to the student aid programs in the College Cost 
Reduction and Access Act and in H.R. 4137, the Advisory 
Committee will continue to play a critical role in ensuring 
that the student aid programs achieve the goal of access to 
postsecondary education for low- and middle-income students.

                                                    Ruben Hinojosa.

  ADDITIONAL VIEW OF THE COLLEGE OPPORTUNITY AND AFFORDABILITY ACT OF 
                          2007 REPORT LANGUAGE

    I support the bill and agree with the comments made in the 
full report. I would like to offer as additional views the 
following:
    Feasibility study on renegotiated student loan interest 
rates (Sec. 808): This study should include an evaluation of 
the feasibility of treating student loans like home mortgages, 
such as allowing students to refinance their loans at any time 
to take advantage of lower interest rates or to convert to a 
variable rather than a fixed interest rate and what conversion 
fees might be appropriate.
    Diversity in the Arts grant program (Sec. 705(a)(15)): 
Programs receiving these funds should seek to promote cultural 
diversity in the entertainment media industry to work in 
collaborations with schools and their students. A good example 
of an organization is the Legacy Media Institute, in 
Petersburg, Virginia. Legacy Media Institute is a nonprofit 
organization which seeks to diversify the entertainment media 
industry. They attain this goal by educating students aspiring 
to be professionals in the entertainment industry through 
interactions with leading professionals in the industry and 
educators.
    Secretary's disaster plan (Sec. 863): The disaster relief 
plan shall include plans to accommodate either man-made or 
natural disasters.

                                         Robert C. ``Bobby'' Scott.

                                  
