[United States Statutes at Large, Volume 119, 109th Congress, 1st Session]
[From the U.S. Government Publishing Office, www.gpo.gov]

119 STAT. 2057

Public Law 109-86
109th Congress

An Act


 
To provide the Secretary of Education with waiver authority for the
reallocation rules in the Campus-Based Aid programs, and to extend the
deadline by which funds have to be reallocated to institutions of higher
education due to a natural disaster.  NOTE: Oct. 7, 2005 -  [H.R.
3863]


Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,  NOTE: Natural Disaster
Student Aid Fairness Act.

SECTION 1. SHORT TITLE; REFERENCES.

(a) Short Title.--This Act may be cited as the ``Natural Disaster
Student Aid Fairness Act''.
(b) References.--References in this Act to ``the Act'' are
references to the Higher Education Act of 1965 (20 U.S.C. 1001 et seq.).

SEC. 2. ALLOCATION AND USE OF CAMPUS-BASED HIGHER EDUCATION ASSISTANCE.

(a) Waiver of Matching Requirements.--Notwithstanding sections
413C(a)(2), 443(b)(5), and 463(a)(2) of the Act (20 U.S.C. 1070b-
2(a)(2); 42 U.S.C. 2753(b)(5); 20 U.S.C. 1087cc(a)(2)), with respect to
funds made available for academic years 2004-2005 and 2005-2006--
(1) in the case of an institution of higher education
located in an area affected by a Gulf hurricane disaster, the
Secretary shall waive the requirement that a participating
institution of higher education provide a non-Federal share or a
capital contribution, as the case may be, to match Federal funds
provided to the institution for the programs authorized pursuant
to subpart 3 of part A, part C, and part E of title IV of the
Act; and
(2) in the case of an institution of higher education that
has accepted for enrollment any affected students, the Secretary
may waive that matching requirement after considering the
institution's student population and existing resources, using
consistent and objective criteria.

(b) Waiver of Reallocation Rules.--
(1) Authority to reallocate.--Notwithstanding sections
413D(d), 442(d), and 462(I) of the Act (20 U.S.C. 1070b-3(d); 42
U.S.C. 2752(d); 20 U.S.C. 1087bb(I)), the Secretary shall--
(A) reallocate any funds returned under any of those
sections that were allocated to institutions of higher
education for award year 2004-2005 to an institution of
higher education that is eligible under paragraph (2) of
this subsection; and

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119 STAT. 2058

(B) waive the allocation reduction for award year
2006-2007 for an institution returning more than 10
percent of its allocation under any of those sections.
(2) Eligible institutions for reallocation.--An institution
of higher education may receive a reallocation of excess
allocations under this subsection if the institution--
(A) participates in the program for which excess
allocations are being reallocated; and
(B)(i) is located in an area affected by a Gulf
hurricane disaster; or
(ii) has accepted for enrollment any affected
students in academic year 2005-2006.
(3) Basis of reallocation.--The Secretary shall determine
the manner in which excess allocations shall be reallocated to
institutions under paragraph (1), and shall give additional
consideration to the needs of institutions located in an area
affected by a Gulf hurricane disaster.
(4) Additional waiver authority.--Notwithstanding any other
provision of law, in order to carry out this subsection, the
Secretary may waive or modify any statutory or regulatory
provision relating to the reallocation of excess allocations
under subpart 3 of part A, part C, or part E of title IV of the
Act in order to ensure that assistance is received by affected
institutions for affected students.

(c) Availability of Funds Date Extension.--Notwithstanding any other
provision of law--
(1) any funds available to the Secretary under sections
413A, 441, and 461 of the Act (20 U.S.C. 1070b; 42 U.S.C. 2751;
20 U.S.C. 1087aa) for which the period of availability would
otherwise expire on September 30, 2005, shall be available for
obligation by the Secretary until September 30, 2006 for the
purposes of the programs authorized pursuant to subpart 3 of
part A, part C, and part E of title IV of the Act, respectively;
and
(2) the Secretary may recall any funds allocated to an
institution of higher education for award year 2004-2005 under
section 413D, 442, or 462 of the Act that, if not returned to
the Secretary as excess allocations pursuant to any of those
sections, would otherwise lapse on September 30, 2005, and
reallocate those funds in accordance with subsection (b)(1).

SEC. 3. EMERGENCY DESIGNATION.

Section 2 of this Act is designated as an emergency requirement
pursuant to section 402 of H. Con. Res. 95 (109th Congress).

SEC. 4. TERMINATION OF AUTHORITY.

The provisions of this Act shall cease to be effective one year
after the date of the enactment of this Act.

SEC. 5. DEFINITIONS.

In this Act:
(1) Secretary.--The term ``Secretary'' means the Secretary
of Education.
(2) Affected student.--The term ``affected student'' means
an individual who has applied for or received student financial
assistance under title IV of the Act, and who--

[[Page 2059]]
119 STAT. 2059

(A) was enrolled or accepted for enrollment, as of
August 29, 2005, at an institution of higher education
in an area affected by a Gulf hurricane disaster;
(B) was a dependent student enrolled or accepted for
enrollment at an institution of higher education that is
not in an area affected by a Gulf hurricane disaster,
but whose parents resided or were employed, as of August
29, 2005, in an area affected by a Gulf hurricane
disaster; or
(C) suffered direct economic hardship as a direct
result of a Gulf hurricane disaster, as determined by
the Secretary using consistent and objective criteria.
(3) Gulf hurricane disaster.--The term ``Gulf hurricane
disaster'' means a major disaster that the President declared to
exist, in accordance with section 401 of the Robert T. Stafford
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170),
and that was caused by Hurricane Katrina or Hurricane Rita.
(4) Area affected by a gulf hurricane disaster.--The term
``area affected by a Gulf hurricane disaster'' means a county or
parish, in an affected State, that has been designated by the
Federal Emergency Management Agency for disaster assistance for
individuals and households as a result of Hurricane Katrina or
Hurricane Rita.
(5) Affected state.--The term ``affected State'' means the
State of Alabama, Louisiana, Mississippi, or Texas.
(6) Institution of higher education.--The term ``institution
of higher education'' has the meaning given that term in section
102 of the Higher Education Act of 1965 (20 U.S.C. 1002).

Approved October 7, 2005.

LEGISLATIVE HISTORY--H.R. 3863:
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CONGRESSIONAL RECORD, Vol. 151 (2005):
Sept. 27, considered and passed House.
Sept. 30, considered and passed Senate.