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86 STAT. 241

79 Stat. 1228. 20 USC 1041.

Reports to
Congress.

Effective date.

10 USC 1051.

Special

assistance.

Appropriation.

"Developing institution."

EVALUATION AND REPORT

SEC. 115. (a) Part C of title II of the Higher Education Act of 1965 is amended by adding at the end thereof the following new sec

tion:

"EVALUATION AND REPORT

"SEC. 232. No later than March 31 of each calendar year the Librarian of the Congress shall transmit to the respective committees of the Congress having legislative jurisdiction over this part and to the respective Committees on Appropriations of the Congress a report evaluating the results and effectiveness of acquisition and cataloging work done under this part, based to the maximum extent practicable on objective measurements, including costs, together with recommendations as to proposed legislative action.".

(b) The amendment made by subsection (a) shall be effective after June 30, 1972.

PART C-DEVELOPING INSTITUTIONS; EMERGENCY ASSISTANCE TO
INSTITUTIONS OF HIGHER EDUCATION

REVISION OF TITLE III (STRENGTHENING DEVELOPING INSTITUTIONS)

SEC. 121. (a) Title III of the Higher Education Act of 1965 is amended to read as follows:

“TITLE III-STRENGTHENING DEVELOPING

INSTITUTIONS

"AUTHORIZATION

"SEC. 301. (a) The Commissioner shall carry out a program of special assistance to strengthen the academic quality of developing institutions which have the desire and potential to make a substantial contribution to the higher education resources of the Nation but which are struggling for survival and are isolated from the main currents of academic life.

"(b) (1) For the purpose of carrying out this title, there are authorized to be appropriated $120,000,000 for the fiscal year ending June 30, 1973, and for each of the succeeding fiscal years ending prior to July 1, 1975.

"(2) Of the sums appropriated pursuant to this subsection for any fiscal year, 76 per centum shall be available only for carrying out the provisions of this title with respect to developing institutions which plan to award one or more bachelor's degrees during such year.

"(3) The remainder of the sums so appropriated shall be available only for carrying out the provisions of this title with respect to developing institutions which do not plan to award such a degree during such year.

"ELIGIBILITY FOR SPECIAL ASSISTANCE

"SEC. 302. (a) (1) For the purposes of this title, the term 'developing institution' means an institution of higher education in any State

which

"(A) is legally authorized to provide, and provides within the State, an educational program for which it awards a bachelor's degree, or is a junior or coinmunity college;

(B) is accredited by a nationally recognized accrediting agency or association determined by the Commissioner to be

reliable authority as to the quality of training offered or is, according to such an agency or association, making reasonable progress toward accreditation;

"(C) except as is provided in paragraph (2), has met the requirement of clauses (A) and (B) during the five academic years preceding the academic year for which it seeks assistance under this title; and

"(D) meets such other requirements as the Commissioner shall prescribe by regulation, which requirements shall include at least à determination that the institution

"(i) is making a reasonable effort to improve the quality of its teaching and administrative staffs and of its student services; and

86 STAT. 242

"(ii) is, for financial or other reasons, struggling for survival and isolated from the main currents of academic life. "(2) The Commissioner is authorized to waive the requirements Waiver. set forth in clause (C) of paragraph (1) in the case of applications for grants under this title by institutions located on or near an Indian reservation or a substantial population of Indians if the Commissioner determines such action will increase higher education for Indians, except that such grants may not involve an expenditure of funds in excess of 1.4 per centum of the sums appropriated pursuant to this title for any fiscal year.

"(b) Any institution desiring special assistance under the provisions Application. of this title shall submit an application for eligibility to the Commissioner at such time, in such form, and containing such information, as may be necessary to enable the Commissioner to evaluate the need of the applicant for such assistance and to determine its eligibility to be a developing institution for the purposes of this title. The Commissioner shall approve any application for eligibility under this subsection which indicates that the applicant is a developing institution meeting the requirements set forth in subsection (a).

"(c) For the purposes of clause (A) of paragraph (1) of subsection (a) of this section, the term 'junior or community college' means an institution of higher education

"(1) which does not provide an educational program for which it awards a bachelor's degree (or an equivalent degree);

"(2) which admits as regular students only persons having a certificate of graduation from a school providing secondary education (or the recognized equivalent of such a certificate); and "(3) which does

"(A) provide an educational program of not less than two years which is acceptable for full credit toward such a degree,

or

"(B) offer a two-year program in engineering, mathematics, or the physical or biological sciences, which program is designed to prepare a student to work as a technician and at the semiprofessional level in engineering, scientific, or other technological fields, which fields require the understanding and application of basic engineering, scientific, or mathematical principles of knowledge.

"ADVISORY COUNCIL ON DEVELOPING INSTITUTIONS

"Junior or com munity college."

"SEC. 303. (a) There is hereby established an Advisory Council Establishment. on Developing Institutions (in this title referred to as the "Council') consisting of nine members appointed by the Commissioner with the approval of the Secretary.

86 STAT. 243

Post, p. 326.

Grants and

awards.

Ante, p. 241.

National Teaching Fellowships.

Professors Emeritus Grants.

Application

approval conditions.

"(b) The Council shall, with respect to the program authorized by this title, carry out the duties and functions specified by part C of the General Education Provisions Act and, in particular, it shall assist the Commissioner—

"(1) in identifying developing institutions through which the purposes of this title may be achieved; and

"(2) in establishing the priorities and criteria to be used in making grants under section 304 (a).

“USES OF FUNDS: COOPERATIVE ARRANGEMENTS, NATIONAL TEACHING FELLOWSHIPS, AND PROFESSORS EMERITUS

"SEC. 304. (a) The Commissioner is authorized to make grants and awards, in accordance with the provisions of this title, for the purpose of strengthening developing institutions. Such grants and awards shall be used solely for the purposes set forth in subsection (b). "(b) Funds appropriated pursuant to section 301 (b) shall be

available for

"(1) grants to institutions of higher education to pay part of the cost of planning, developing, and carrying out cooperative arrangements between developing institutions and other institutions of higher education, and between developing institutions and other organizations, agencies, and business entities, which show promise as effective measures for strengthening the academic program and the administrative capacity of developing institutions, including such projects and activities as

"A) exchange of faculty or students, including arrangements for bringing visiting scholars to developing institutions, "(B) faculty and administration improvement programs, utilizing training, education (including fellowships leading to advanced degrees), internships, research participation, and other means,

"(C) introduction of new curricula and curricular materials.

"(D) development and operation of cooperative education programs involving alternate periods of academic study and business or public employment, and

"(E) joint use of facilities such as libraries or laboratories, including necessary books, materials, and equipment;

"(2) National Teaching Fellowships to be awarded by the Commissioner to highly qualified graduate students and junior faculty members of institutions of higher education for teaching at developing institutions; and

"(3) Professors Emeritus Grants to be awarded by the Com- · missioner to professors retired from active service at institutions of higher education to encourage them to teach or to conduct research at developing institutions.

(c) (1) An application for assistance for the purposes described in subsection (b) (1) shall be approved only if it

"(A) sets forth a program for carrying out one or more of the activities described in subsection (b) (1), and sets forth such policies and procedures for the administration of the program as will insure the proper and efficient operation of the program and the accomplishment of the purposes of this title;

"(B) sets forth such policies and procedures as will insure that Federal funds made available under this section for any fiscal year will be so used as to supplement and, to the extent practical, increase the level of funds that would, in the absence of such Federal funds be made available for the purposes of the activities described in subsection (b) (1), and in no case supplant such funds;

"(C) sets forth policies and procedures for the evaluation of the effectiveness of the project or activity in accomplishing its purpose;

"(D) provides for such fiscal control and fund accounting procedures as may be necessary to insure proper disbursement of and accounting for funds made available under this title to the applicant; and

(E) provides for making such reports, in such form and containing such information, as the Commissioner may require to carry out his functions under this title, and for keeping such records and affording such access thereto, as he may find necessary to assure the correctness and verification of such reports. The Commissioner shall, after consultation with the Council, establish by regulation criteria as to eligible expenditures for which funds from grants for cooperative arrangements under clause (1) of subsection (b) may be used, which criteria shall be so designed as to prevent the use of such funds for purposes not necessary to the achievement of the purposes for which the grant is made.

"(2) (A) Applications for awards described in clauses (2) and (3) of subsection (b) may be approved only upon a finding by the Commissioner that the program of teaching or research set forth therein is reasonable in the light of the qualifications of the applicant and of the educational needs of the institution at which the applicant intends

to teach.

(B) No application for a National Teaching Fellowship or a Professors Emeritus Grant shall be approved for an award of such a fellowship or grant for a period exceeding two academic years, except that the award of a Professors Emeritus Grant may be for such period, in addition to such two-year period of award, as the Commissioner. upon the advice of the Council, may determine in accordance with policies of the Commissioner set forth in regulations.

86 STAT. 244

"(C) Each person awarded a National Teaching Fellowship or a Stipend and Professors Emeritus Grant shall receive a stipend for each academic dependent year of teaching (or, in the case of a recipient of a Professors Emeritus allowance. Grant, research) as determined by the Commissioner upon the advice

of the Council, plus an additional allowance for each such year for cach dependent of such person. In the case of National Teaching Fellow- Limitation. ships, such allowance may not exceed $7,500, plus $400 for each dependent.

"ASSISTANCE TO DEVELOPING INSTITUTIONS UNDER OTHER PROGRAMS

"SEC. 305. (a) Each institution which the Commissioner determines Waivers, meets the criteria set forth in section 302 (a) shall be eligible for eligibility. waivers in accordance with subsection (b).

"(b) (1) Subject to, and in accordance with, regulations promulgated for the purpose of this section, in the case of any application by a developing institution for assistance under any program specified in paragraph (2), the Commissioner is authorized, if such application is otherwise approvable, to waive any requirement for a non-Federal share of the cost of the program or project, or, to the extent not inconsistent with other law, to give, or require to be given, priority consideration of the application in relation to applications from institutions which are not developing institutions.

"(2) The provisions of this section shall apply to any program authorized by title II, IV, VI, or VII of this Act.

Ante, p. 238;

"(c) The Commissioner shall not waive, under subsection (b), the Post, pp.247, non-Federal share requirement for any program for applications 288. which, if approved, would require the expenditure of more than 10 Non-Federal per centum of the appropriations for that program for any fiscal year.

share requirement.

86 STAT. 245

Effective date.

Post, p. 375.

79 Stat. 1219. 20 USC 1001 note.

Appropriation.

Grants.

Applications.

Approval conditions.

"LIMITATION

"SEC. 306. None of the funds appropriated pursuant to section 301 (b) (1) shall be used for a school or department of divinity or for any religious worship or sectarian activity.".

(b) The amendment made by subsection (a) shall be effective after, and only with respect to appropriations made for fiscal years beginning after, June 30, 1972.

EMERGENCY ASSISTANCE FOR INSTITUTIONS OF HIGHER EDUCATION

SEC. 122. (a) (1) The Congress hereby finds and declares that(A) the Nation's institutions of higher education constitute a national resource which significantly contributes to the security, general welfare, and economy of the United States;

(B) considerable evidence has been advanced which indicates that many institutions of higher education are in financial distress resulting from many causes, including, among others, efforts on the part of such institutions to increase enrollments, to improve the quality of education and training, and to enlarge educational opportunities; and

(C) various proposals have been presented to the Congress, in response to such condition of financial distress, for providing financial assistance to the Nation's institutions of higher education but, except for that necessary to justify payments provided for reimbursement for part of the cost of instruction as provided in title X of this Act, insufficient information is available on the basis of which the Congress can determine, with any degree of certainty, the nature and causes of such financial distress or the most appropriate means with which present and future conditions of financial distress may be dealt.

(2) It is the purpose of this section to provide to institutions of higher education, which are determined in accordance with this section to be in serious financial distress, interim emergency assistance to enable them to determine the nature and causes of such distress and the means by which such distress may be alleviated, and to improve their capabilities for dealing with financial problems using, to the extent appropriate, assistance authorized under the Higher Education Act of 1965 and all other sources of financial assistance.

(b) (1) There is authorized to be appropriated for the period beginning with the date of enactment of this Act, and ending June 30, 1974, $40,000,000 for the purpose of making grants under this section. Sums so appropriated shall remain available for obligation and expenditure until expended.

(2) (A) The Commissioner is authorized to make grants to institutions of higher education which are in serious financial distress, as such term is defined in regulations of the Commissioner, in accordance with the provisions of this section.

(B) A grant under this subsection may be made only upon application therefor to the Commissioner. Such applications shall be submitted at such time, in such form, and containing such information, assurances, policies, and procedures as the Commissioner may require in order to enable him to carry out his functions under this section. The Commissioner shall not approve any such application unless he finds that

(i) in the case of a public institution of higher education, the institution has submitted its application for emergency assistance under this subsection to the appropriate State agency, as provided by the law of the State in which it is located and in accordance with regulations of the Commissioner, if any such agency exists

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