1998 Amendments to Higher Education Act of 1965=20
P.L. 105-244
Chapter 2 of subpart 2 of part A of title IV (20 U.S.C. 1070a-21 et = seq.) is=20 amended to read as follows:
`(a) PROGRAM AUTHORIZED- The Secretary is authorized, in accordance = with the=20 requirements of this chapter, to establish a program that--
`(1) encourages eligible entities to provide or maintain a guarantee = to=20 eligible low-income students who obtain a secondary school diploma (or = its=20 recognized equivalent), of the financial assistance necessary to permit = the=20 students to attend an institution of higher education; and
`(2) supports eligible entities in providing--
`(A) additional counseling, mentoring, academic support, outreach, = and=20 supportive services to elementary school, middle school, and secondary = school=20 students who are at risk of dropping out of school; and
`(B) information to students and their parents about the advantages = of=20 obtaining a postsecondary education and the college financing options = for the=20 students and their parents.
`(b) AWARDS-
`(1) IN GENERAL- From funds appropriated under section 404H for each = fiscal=20 year, the Secretary shall make awards to eligible entities described in=20 paragraphs (1) and (2) of subsection (c) to enable the entities to carry = out the=20 program authorized under subsection (a).
`(2) PRIORITY- In making awards to eligible entities described in = paragraph=20 (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=20 Amendments of 1998, carried out successful educational opportunity = programs=20 under this chapter (as this chapter was in effect on such day); and
`(ii) have a prior, demonstrated commitment to early intervention = leading to=20 college access through collaboration and replication of successful=20 strategies;
`(B) ensure that students served under this chapter on the day before = the=20 date of enactment of the Higher Education Amendments of 1998 continue to = receive=20 assistance through the completion of secondary school.
`(c) DEFINITION OF ELIGIBLE ENTITY- For the purposes of this chapter, = the=20 term `eligible entity' means--
`(1) a State; or
`(2) a partnership consisting of--
`(A) one or more local educational agencies acting on behalf of--
`(i) one or more elementary schools or secondary schools; and
`(ii) the secondary schools that students from the schools described = in=20 clause (i) would normally attend;
`(B) one or more degree granting institutions of higher education; = and
`(C) at least two community organizations or entities, such as = businesses,=20 professional associations, community-based organizations, philanthropic=20 organizations, State agencies, institutions or agencies sponsoring = programs=20 authorized under subpart 4, or other public or private agencies or=20 organizations.
`(a) FUNDING RULES-
`(1) CONTINUATION AWARDS- From the amount appropriated under section = 404H for=20 a fiscal year, the Secretary shall continue to award grants to States = under this=20 chapter (as this chapter was in effect on the day before the date of = enactment=20 of the Higher Education Amendments of 1998) in accordance with the terms = and=20 conditions of such grants.
`(2) DISTRIBUTION- From the amount appropriated under section 404H = that=20 remains after making continuation awards under paragraph (1) for a = fiscal year,=20 the Secretary shall--
`(A) make available--
`(i) not less than 33 percent of the amount to eligible entities = described in=20 section 404A(c)(1); and
`(ii) not less than 33 percent of the amount to eligible entities = described=20 in section 404A(c)(2); and
`(B) award the remainder of the amount to eligible entities described = in=20 paragraph (1) or (2) of section 404A(c).
`(3) SPECIAL RULE- The Secretary shall annually reevaluate the = distribution=20 of funds described in paragraph (2)(B) based on number, quality, and = promise of=20 the applications and adjust the distribution accordingly.'.
`(b) LIMITATION- Each eligible entity described in section = 404A(c)(1), and=20 each eligible entity described in section 404A(c)(2) that conducts a = scholarship=20 component under section 404E, shall use not less than 25 percent and not = more=20 than 50 percent of grant funds received under this chapter for the early = intervention component of an eligible entity's program under this = chapter,=20 except that the Secretary may waive the 50 percent limitation if the = eligible=20 entity demonstrates that the eligible entity has another means of = providing the=20 students with financial assistance that is described in the plan = submitted under=20 section 404C.
`(c) COORDINATION- Each eligible entity shall ensure that the = activities=20 assisted under this chapter are, to the extent practicable, coordinated = with,=20 and complement and enhance--
`(1) services under this chapter provided by other eligible entities = serving=20 the same school district or State; and
`(2) related services under other Federal or non-Federal = programs.
`(d) DESIGNATION OF FISCAL AGENT- An eligible entity described in = section=20 404A(c)(2) shall designate an institution of higher education or a local = educational agency as the fiscal agent for the eligible entity.
`(e) COORDINATORS- An eligible entity described in section 404A(c)(2) = shall=20 have a full-time program coordinator or a part-time program coordinator, = whose=20 primary responsibility is a project under section 404C.
`(f) DISPLACEMENT- An eligible entity described in 404A(c)(2) shall = ensure=20 that the activities assisted under this chapter will not displace an = employee or=20 eliminate a position at a school assisted under this chapter, including = a=20 partial displacement such as a reduction in hours, wages or employment=20 benefits.
`(g) COHORT APPROACH-
`(1) IN GENERAL- The Secretary shall require that eligible entities = described=20 in section 404A(c)(2)--
`(A) provide services under this chapter to at least one grade level = of=20 students, beginning not later than 7th grade, in a participating school = that has=20 a 7th grade and in which at least 50 percent of the students enrolled = are=20 eligible for free or reduced-price lunch under the National School Lunch = Act=20 (or, if an eligible entity determines that it would promote the = effectiveness of=20 a program, an entire grade level of students, beginning not later than = the 7th=20 grade, who reside in public housing as defined in section 3(b)(1) of the = United=20 States Housing Act of 1937); and
`(B) ensure that the services are provided through the 12th grade to = students=20 in the participating grade level.
`(2) COORDINATION REQUIREMENT- In order for the Secretary to require = the=20 cohort approach described in paragraph (1), the Secretary shall, where=20 applicable, ensure that the cohort approach is done in coordination and=20 collaboration with existing early intervention programs and does not = duplicate=20 the services already provided to a school or community.
`(a) PLAN REQUIRED FOR ELIGIBILITY-
`(1) IN GENERAL- In order for an eligible entity to qualify for a = grant under=20 this chapter, the eligible entity shall submit to the Secretary a plan = for=20 carrying out the program under this chapter. Such plan shall provide for = the=20 conduct of a scholarship component if required or undertaken pursuant to = section=20 404E and an early intervention component required pursuant to section = 404D.
`(2) CONTENTS- Each plan submitted pursuant to paragraph (1) shall be = in such=20 form, contain or be accompanied by such information or assurances, and = be=20 submitted at such time as the Secretary may require by regulation. Each = such=20 plan shall--
`(A) describe the activities for which assistance under this chapter = is=20 sought; and
`(B) provide such additional assurances as the Secretary determines = necessary=20 to ensure compliance with the requirements of this = chapter.
`(b) MATCHING REQUIREMENT-
`(1) IN GENERAL- The Secretary shall not approve a plan submitted = under=20 subsection (a) unless such plan--
`(A) provides that the eligible entity will provide, from State, = local,=20 institutional, or private funds, not less than 50 percent of the cost of = the=20 program, which matching funds may be provided in cash or in kind;
`(B) specifies the methods by which matching funds will be paid; = and
`(C) includes provisions designed to ensure that funds provided under = this=20 chapter shall supplement and not supplant funds expended for existing=20 programs.
`(2) SPECIAL RULE- Notwithstanding the matching requirement described = in=20 paragraph (1)(A), the Secretary may by regulation modify the percentage=20 requirement described in paragraph (1)(A) for eligible entities = described in=20 section 404A(c)(2).
`(c) METHODS FOR COMPLYING WITH MATCHING REQUIREMENT- An eligible = entity may=20 count toward the matching requirement described in subsection = (b)(1)(A)--
`(1) the amount of the financial assistance paid to students from = State,=20 local, institutional, or private funds under this chapter;
`(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=20 counseling provided by volunteers or paid staff of nonschool = organizations,=20 including businesses, religious organizations, community groups, = postsecondary=20 educational institutions, nonprofit and philanthropic organizations, and = other=20 organizations.
`(d) PEER REVIEW PANELS- The Secretary shall convene peer review = panels to=20 assist in making determinations regarding the awarding of grants under = this=20 chapter.
`(a) SERVICES-
`(1) IN GENERAL- In order to receive a grant under this chapter, an = eligible=20 entity shall demonstrate to the satisfaction of the Secretary, in the = plan=20 submitted under section 404C, that the eligible entity will provide=20 comprehensive mentoring, counseling, outreach, and supportive services = to=20 students participating in programs under this chapter. Such counseling = shall=20 include--
`(A) financial aid counseling and information regarding the = opportunities for=20 financial assistance under this title; and
`(B) activities or information regarding--
`(i) fostering and improving parent involvement in promoting the = advantages=20 of a college education, academic admission requirements, and the need to = take=20 college preparation courses;
`(ii) college admissions and achievement tests; and
`(iii) college application procedures.
`(2) METHODS- The eligible entity shall demonstrate in such plan, = pursuant to=20 regulations of the Secretary, the methods by which the eligible entity = will=20 target services on priority students described in subsection (c), if=20 applicable.
`(b) USES OF FUNDS-
`(1) IN GENERAL- The Secretary shall, by regulation, establish = criteria for=20 determining whether comprehensive mentoring, counseling, outreach, and=20 supportive services programs may be used to meet the requirements of = subsection=20 (a).
`(2) PERMISSIBLE ACTIVITIES- Examples of activities that meet the=20 requirements of subsection (a) include the following:
`(A) Providing eligible students in preschool through grade 12 with a = continuing system of mentoring and advising that--
`(i) is coordinated with the Federal and State community service = initiatives;=20 and
`(ii) may include such support services as after school and summer = tutoring,=20 assistance in obtaining summer jobs, career mentoring, and academic=20 counseling.
`(B) Requiring each student to enter into an agreement under which = the=20 student agrees to achieve certain academic milestones, such as = completing a=20 prescribed set of courses and maintaining satisfactory progress = described in=20 section 484(c), in exchange for receiving tuition assistance for a = period of=20 time to be established by each eligible entity.
`(C) Activities designed to ensure secondary school completion and = college=20 enrollment of at-risk children, such as identification of at-risk = children,=20 after school and summer tutoring, assistance in obtaining summer jobs, = academic=20 counseling, volunteer and parent involvement, providing former or = current=20 scholarship recipients as mentor or peer counselors, skills assessment,=20 providing access to rigorous core courses that reflect challenging = academic=20 standards, personal counseling, family counseling and home visits, staff = development, and programs and activities described in this subparagraph = that are=20 specially designed for students of limited English proficiency.
`(D) Summer programs for individuals who are in their sophomore or = junior=20 years of secondary school or are planning to attend an institution of = higher=20 education in the succeeding academic year that--
`(i) are carried out at an institution of higher education that has = programs=20 of academic year supportive services for disadvantaged students through = projects=20 authorized under section 402D or through comparable projects funded by = the State=20 or other sources;
`(ii) provide for the participation of the individuals who are = eligible for=20 assistance under section 402D or who are eligible for comparable = programs funded=20 by the State;
`(iii)(I) provide summer instruction in remedial, developmental or = supportive=20 courses;
`(II) provide such summer services as counseling, tutoring, or = orientation;=20 and
`(III) provide financial assistance to the individuals to cover the=20 individuals' summer costs for books, supplies, living costs, and = personal=20 expenses; and
`(iv) provide the individuals with financial assistance during each = academic=20 year the individuals are enrolled at the participating institution after = the=20 summer program.
`(E) Requiring eligible students to meet other standards or = requirements as=20 the State determines necessary to meet the purposes of this=20 section.
`(c) PRIORITY STUDENTS- For eligible entities not using a cohort = approach,=20 the eligible entity shall treat as priority students any student in = preschool=20 through grade 12 who is eligible--
`(1) to be counted under section 1124(c) of the Elementary and = Secondary=20 Education Act of 1965;
`(2) for free or reduced price meals under the National School Lunch = Act;=20 or
`(3) for assistance pursuant to part A of title IV of the Social = Security=20 Act.
`(d) ALLOWABLE PROVIDERS- In the case of eligible entities described = in=20 section 404A(c)(1), the activities required by this section may be = provided by=20 service providers such as community-based organizations, schools, = institutions=20 of higher education, public and private agencies, nonprofit and = philanthropic=20 organizations, businesses, institutions and agencies sponsoring programs = authorized under subpart 4, and other organizations the State deems=20 appropriate.
`(a) IN GENERAL-
`(1) STATES- In order to receive a grant under this chapter, an = eligible=20 entity described in section 404A(c)(1) shall establish or maintain a = financial=20 assistance program that awards scholarships to students in accordance = with the=20 requirements of this section. The Secretary shall encourage the eligible = entity=20 to ensure that a scholarship provided pursuant to this section is = available to=20 an eligible student for use at any institution of higher education.
`(2) PARTNERSHIPS- An eligible entity described in section 404A(c)(2) = may=20 award scholarships to eligible students in accordance with the = requirements of=20 this section.
`(b) GRANT AMOUNTS- The maximum amount of a scholarship that an = eligible=20 student shall be eligible to receive under this section shall be = established by=20 the eligible entity. The minimum amount of the scholarship for each = fiscal year=20 shall not be less than the lesser of--
`(1) 75 percent of the average cost of attendance for an in-State = student, in=20 a 4-year program of instruction, at public institutions of higher = education in=20 such State, as determined in accordance with regulations prescribed by = the=20 Secretary; or
`(2) the maximum Federal Pell Grant funded under section 401 for such = fiscal=20 year.
`(c) RELATION TO OTHER ASSISTANCE- Scholarships provided under this = section=20 shall not be considered for the purpose of awarding Federal grant = assistance=20 under this title, except that in no case shall the total amount of = student=20 financial assistance awarded to a student under this title exceed such = student's=20 total cost of attendance.
`(d) ELIGIBLE STUDENTS- A student eligible for assistance under this = section=20 is a student who--
`(1) is less than 22 years old at time of first scholarship award = under this=20 section;
`(2) receives a secondary school diploma or its recognized equivalent = on or=20 after January 1, 1993;
`(3) is enrolled or accepted for enrollment in a program of = undergraduate=20 instruction at an institution of higher education that is located within = the=20 State's boundaries, except that, at the State's option, an eligible = entity may=20 offer scholarship program portability for recipients who attend = institutions of=20 higher education outside such State; and
`(4) who participated in the early intervention component required = under=20 section 404D.
`(e) PRIORITY- The Secretary shall ensure that each eligible entity = places a=20 priority on awarding scholarships to students who will receive a Federal = Pell=20 Grant for the academic year for which the scholarship is awarded under = this=20 section.
`(f) SPECIAL RULE- An eligible entity may consider students who have=20 successfully participated in programs funded under chapter 1 to have met = the=20 requirements of subsection (d)(4).
`(a) AUTHORITY- The Secretary, using funds appropriated under section = 404H=20 that do not exceed $200,000 for a fiscal year--
`(1) shall ensure that certificates, to be known as 21st Century = Scholar=20 Certificates, are provided to all students participating in programs = under this=20 chapter; and
`(2) may, as practicable, ensure that such certificates are provided = to all=20 students in grades 6 through 12 who attend schools at which at least 50 = percent=20 of the students enrolled are eligible for a free or reduced price lunch = under=20 the National School Lunch Act.
`(b) INFORMATION REQUIRED- A 21st Century Scholar Certificate shall = be=20 personalized for each student and indicate the amount of Federal = financial aid=20 for college which a student may be eligible to receive.
`(a) EVALUATION- Each eligible entity receiving a grant under this = chapter=20 shall biennially evaluate the activities assisted under this chapter in=20 accordance with the standards described in subsection (b) and shall = submit to=20 the Secretary a copy of such evaluation. The evaluation shall permit = service=20 providers to track eligible student progress during the period such = students are=20 participating in the activities and shall be consistent with the = standards=20 developed by the Secretary pursuant to subsection (b).
`(b) EVALUATION STANDARDS- The Secretary shall prescribe standards = for the=20 evaluation described in subsection (a). Such standards shall--
`(1) provide for input from eligible entities and service providers; = and
`(2) ensure that data protocols and procedures are consistent and=20 uniform.
`(c) FEDERAL EVALUATION- In order to evaluate and improve the impact = of the=20 activities assisted under this chapter, the Secretary shall, from not = more than=20 0.75 percent of the funds appropriated under section 404H for a fiscal = year,=20 award one or more grants, contracts, or cooperative agreements to or = with public=20 and private institutions and organizations, to enable the institutions = and=20 organizations to evaluate the effectiveness of the program and, as = appropriate,=20 disseminate the results of the evaluation.
`(d) REPORT- The Secretary shall biennially report to Congress = regarding the=20 activities assisted under this chapter and the evaluations conducted = pursuant to=20 this section.
`There are authorized to be appropriated to carry out this chapter=20 $200,000,000 for fiscal year 1999 and such sums as may be necessary for = each of=20 the 4 succeeding fiscal years.'.