form it to a comparable provision added to section 201 (described in the analysis of sec. 4 of the bill).

Section 3. Payments for administrative expenses and for planning

This section amends section 105(b) of the act, which presently authorizes the Commissioner to expend not more than $3 million yearly for the administration of State plans under title I, for the first 2 fiscal years of the title I program. The amendment made by this section authorizes the expenditure for the fiscal years ending in 1967, 1968, and 1969 of $7 million yearly, of which not more than $3 million may be expended yearly for the administration of State plans under title I. The remainder is to be available for grants, to the State commissions which submit the State plans under title I, for comprehensive planning to determine construction needs of institutions of higher education (and combinations thereof). Section 4. Extension of grants for construction of graduate academic facilities; extending availability of appropriations

Section 4 of the bill amends section 201 of the act, which established the title II program of grants to institutions of higher education for the construction of graduate academic facilities. This program presently expires on June 30, 1968, but for the last 2 fiscal years of the program no appropriations have been authorized to carry it out. The amendment made by this section of the bill would extend the program through the fiscal year ending in 1971, and would authorize appropriations of $60 million, $90 million, and $120 million for the fiscal years ending in 1967, 1968, and 1969, respectively.

This section also makes two technical changes in section 201. First, any excess of (1) a specific authorization for title II for a fiscal year, over (2) the appropriation pursuant to such authorization, may be carried over and added to the authorization for the succeeding year (if there otherwise is an authorization for such year). Second, appropriations for a fiscal year for title II would remain available until expended, instead of remaining available through the second succeeding fiscal year, as under present law.

Section 5. Extension of loans for construction of academic facilities

This section amends section 303 (c) of the act which contains provisions applicable to the title III program of loans to institutions of higher education for the construction of academic facilities. Section 303 (c) presently provides that the title III loan program will expire on June 30, 1968, but does not provide an authorization of appropriations for the last 2 years of the program. The amendment made by this section would extend the program through the fiscal year ending in 1971, and would authorize $200 million yearly for the fiscal years ending in 1967, 1968, and 1969, for carrying out the program. In addition, the amendment makes several technical changes in the provisions relating to carryover of unused authorizations and of unexpended appropriations to conform these provisions to the comparable provisions added to section 201 (described in the analysis of sec. 4 of the bill).

Section 6. Clarifying amendment of definition of development cost

This section amends the definition of "development cost" in section 401 (c) of the act. Development cost presently encompasses 401(c) the cost to the institution of construction of an academic facility

(including necessary site acquisition and improvement) less the amount of Federal assistance made available, and certain non-Federal contributions required, under other Federal programs. The amendment would include in development cost the cost of acquisition of works of art for the facility, to the extent that such cost does not exceed 1 percent of the cost of construction and site acquisition and improvement (computed without any deduction on account of Federal assistance made available, or of non-Federal contributions required, under other Federal programs).

Section 7. Repeal of authority to prescribe a schedule of fees for certain inspections and related activities

Section 7 of the bill repeals section 304 (b) of the act which permitted the Commissioner to condition loan agreements under title III upon the payment of fees (a schedule of which the Commissioner could prescribe) covering the costs of inspections at the site of projects being constructed with title III loans. The section also permitted the Commissioner to utilize other agencies on a reimbursable basis for making such inspections.

Section 8. One-year extension of assistance to developing institutions

Title III of the Higher Education Act of 1965 established a 1-year program (expiring on June 30, 1966) designed to encourage cooperative arrangements for assistance to certain financially handicapped colleges ("developing insitutions"), and to provide fellowships to encourage outstanding graduate students and junior faculty members to teach at such colleges. This section amends section 301(b)(1) of that title to extend the program for another year by authorizing $30 million for the fiscal year ending in 1967.

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

In compliance with clause 3 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 italics, existing law in which no change is proposed is shown in roman):

HIGHER EDUCATION FACILITIES ACT OF 1963

TITLE I-GRANTS FOR CONSTRUCTION OF
UNDERGRADUATE ACADEMIC FACILITIES

APPROPRIATIONS AUTHORIZED

SEC. 101. (a) The Commissioner of Education (hereinafter in this Act referred to as the "Commissioner") shall carry out during the fiscal year ending June 30, 1964, and each of the [four] seven succeeding fiscal years, a program of grants to instititions of higher education for the construction of academic facilities in accordance with this title.

(b) For the purpose of making grants under this title, there is hereby authorized to be appropriated the sum of $230,000,000 for the fiscal year ending June 30, 1964, and for the succeeding fiscal year,

[and the sum of $460,000,000 for the fiscal year ending June 30, 1966, $453,000,000 for the fiscal year ending June 30, 1967, $700,000,000 for the fiscal year ending June 30, 1968, and $900,000,000 for the fiscal year ending June 30, 1969; but for the fiscal year ending June 30, [1967] 1970, and the succeeding fiscal year, only such sums may be appropriated as [the] Congress may hereafter authorize by law. In addition to the sums authorized to be appropriated [under] for each fiscal year for which an appropriation is authorized by the preceding sentence, there is hereby authorized to be appropriated for [the fiscal year ending June 30, 1965, and the succeeding fiscal year,] that fiscal year for making such grants the difference (if any) between [the] any specific sums authorized to be appropriated under the preceding sentence for the preceding fiscal [years] year and the [aggregate of the] sums which were appropriated for such preceding [years] year under such sentence.

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STATE COMMISSIONS AND PLANS

SEC. 105. (a) ***

(b) The Commissioner is authorized to expend not exceeding $3,000,000 during [each of the first two fiscal years of the program under this title] the fiscal years ending June 30, 1965, and June 30, 1966, and not exceeding $7,000,000 for the fiscal year ending June 30, 1967, and each of the two succeeding fiscal years, in such amounts as he may consider necessary (1) for the proper and efficient administration of the State plans approved under this title, including expenses which he determines were necessary for the preparation of such plans, and (2) for grants, upon such terms and conditions as the Commissioner determines will best further the purposes of this Act, to State commissions for conducting, either directly or through other appropriate agencies and institutions, comprehensive planning to determine the construction needs of institutions (and particularly combinations and regional groupings of institutions) of higher education. Not more than $3,000,000 may be expended in any fiscal year for the purposes set forth in clause (1). For the fiscal year ending June 30, 1970, and the succeeding fiscal year, the Commissioner may expend for purposes of this subsection only such sums as Congress may hereafter authorize by law.

TITLE II-GRANTS FOR CONSTRUCTION OF GRADUATE ACADEMIC FACILITIES

APPROPRIATIONS AUTHORIZED

SEC. 201. In order to increase the supply of highly qualified personnel critically needed by the community, industry, government, research, and teaching, the Commissioner shall, during the fiscal year ending June 30, 1964, and each of the [four] seven succeeding fiscal years, make construction grants to assist institutions of higher education to improve existing graduate schools and cooperative graduate centers, and to assist in the establishment of graduate schools and cooperative graduate centers of excellence. For the purpose of making

grants under this title, there is hereby authorized to be appropriated the sum of $25,000,000 for the fiscal year ending June 30, 1964, the sum of $60,000,000 for the fiscal year ending June 30, 1965, [and] the sum of $120,000,000 for the fiscal year ending June 30, 1966, the sum of $60,000,000 for the fiscal year ending June 30, 1967, the sum of $90,000,000 for the fiscal year ending June 30, 1968, and the sum of $120,000,000 for the fiscal year ending June 30, 1969; but for the fiscal year ending June 30, [1967] 1970, and the succeeding fiscal year, only such sums may be appropriated as [the] Congress may hereafter authorize by law. In addition to the sums authorized to be appropriated for each fiscal year for which an appropriation is authorized by the preceding sentence, there is hereby authorized to be appropriated for that fiscal year for making such grants the difference (if any) between any specific sums authorized to be appropriated under the preceding sentence for the preceding fiscal year and the sums which were appropriated for such preceding year under such sentence. Sums appropriated pursuant to this [section] title for any fiscal year shall remain available for grants under this title until [the end of the second succeeding fiscal year] expended.

TITLE III-LOANS FOR CONSTRUCTION OF ACADEMIC

FACILITIES

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ELIGIBILITY CONDITIONS, AMOUNTS, AND TERMS OF LOANS Sec. 303. (a)

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(c) The Commissioner shall, during the fiscal year ending June 30, 1964, and each of the [four] seven succeeding fiscal years, make loans to institutions of higher education for the construction of academic facilities in accordance with the provisions of this title. For the purpose of making loans under this title, there is hereby authorized to be appropriated the sum of $120,000,000 for the fiscal year ending June 30, 1964, and each of the two succeeding fiscal years [; but for the fiscal year ending June 30, 1967,], the sum of $200,000,000 for the fiscal year ending June 30, 1967, and for each of the two succeeding fiscal years; but for the fiscal year ending June 30, 1970, and the succeeding fiscal year, only such sums may be appropriated as the Congress may hereafter authorize by law. In addition to the sums authorized to be appropriated [under] for each fiscal year for which an appropriation is authorized by the preceding sentence, there is hereby authorized to be appropriated for [the fiscal year ending June 30, 1965, and the succeeding] that fiscal year, for making such loans, the difference (if any) between [the] any specific sums authorized to be appropriated under the preceding sentence for the preceding fiscal [years] year and the [aggregate of the sums which were appropriated for such preceding Lyears year under such sentence. Sums appropriated pursuant to this subsection for any fiscal year shall [remain] be available without fiscal-year limitation for loans under this title until the end of the next succeeding fiscal year]. I

GENERAL PROVISIONS FOR LOAN PROGRAM

SEC. 304. (a) Such financial transactions of the Commissioner as the making of loans and vouchers approved by the Commissioner in connection with such financial transactions, except with respect to administrative expenses, shall be final and conclusive on all officers of the Government.

[(b) The Commissioner is authorized (1) to prescribe a schedule of fees which, in his judgment, would be adequate in the aggregate to cover necessary expenses of making inspections (including audits) and providing representatives at the site of projects in connection with loans under this title, and (2) to condition the making of such loans on agreement by the applicant to pay such fees. For the purpose of providing such services, the Commissioner may, as authorized by section 402(b), utilize any agency, and such agency may accept reimbursement or payment for such services from such applicant or from the Commissioner, and shall, if a Federal agency, credit such amounts to the appropriation or fund against which expenditures by such agency for such services have been charged.]

[(c)(b) In the performance of, and with respect to, the functions, powers, and duties vested in him by this title, the Commissioner may(1) prescribe such rules and regulations as may be necessary to carry out the purposes of this title;

(2) sue and be sued in any court of record of a State having general jurisdiction or in any district court of the United States, and such district courts shall have jurisdiction of civil actions arising under this title without regard to the amount in controversy, and any action instituted under this subsection by or against the Commissioner shall survive notwithstanding any change in the person occupying the office of Commissioner or any vacancy in such office; but no attachment, injunction, garnishment, or other similar process, mesne or final, shall be issued against the Commissioner or property under his control, and nothing herein shall be construed to except litigation arising out of activities under this title from the application of sections 507 (b) and 2679 of title 28 of the United States Code and of section 367 of the Revised Statutes (5 U.S.C. 316);

(3) foreclose on any property or commence any action to protect or enforce any right conferred upon him by any law, contract, or other agreement, and bid for and purchase at any foreclosure or any other sale any property in connection with which he has made a loan pursuant to this title; and, in the event of any such acquisition (and notwithstanding any other provisions of law relating to the acquisition, handling, or disposal of real property by the United States), complete, administer, remodel and convert, dispose of, lease, and otherwise deal with, such property: Provided, That any such acquisition of real property shall not deprive any State or political subdivision thereof of its civil or criminal jurisdiction in and over such property or impair the civil rights under the State or local laws of the inhabitants on such property;