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achievement. For the purposes of this Act, the number of high school graduates shall be limited to the number who graduated in the most recent school year for which satisfactory data are available from the Department of Health, Education, and Welfare. The interpretation of the definition of "high school graduate" shall fall within the authority of the Commissioner of Education;

(7) the term "per capita income" means the average of the per capita income for the three most recent years for which satisfactory data are available from the Department of Commerce;

(8) the term "national base" means with respect to any fiscal year, an amount equal to three times the quotient of (A) the amount appropriated for such year under the authorization in section 4, divided by (B) the number of high school graduates: and

(9) the term "State agency" means the agency designated by a State in its State plan in accordance with section 7 (1).

AUTHORIZATION OF FUNDS

SEC. 4. For the purpose of this Act there is authorized to be appropriated $50,000,000 for each of the five successive fiscal years beginning with the fiscal year beginning on July 1, 1961.

ALLOTMENTS TO STATES AND FEDERAL SHARE

SEC. 5. (a) The sums appropriated pursuant to section 4 shall be allotted among the States on the basis of the income per person and the number of high school graduates of the respective States. Such allotments shall be made as follows: The Commissioner shall allot to each State for each fiscal year an amount which bears the same ratio to the sums appropriated pursuant to section 4 for such year as the product of

(A) the number of high school graduates of the State, and

(B) the State's allotment ratio (as determined under subsection (c)) bears to the sum of the corresponding products for all the States.

(b) The allotment to any State under this section for any fiscal year shall be available until the end of the succeeding fiscal year for payment to it of the amounts certified, not later than the end of the fiscal year for which the allotment was made, by the State agency as the Federal share of the cost of the junior college facilities constructed by it under the State plan approved pursuant to section 7.

(c) For purposes of this Act

(1) The "allotment ratio" for any State shall be 1.00 less the product of (A) .50 and (B) the quotient obtained by dividing the income per person for the State by the income per person for the continental United States, except that (A) the allotment ratio shall in no case be less than .25 or more than .75 and except further that the allotment ratio for Puerto Rico, Virgin Islands, and Guam shall be .75;

(2) The allotment ratios shall be promulgated by the Commissioner as soon as possible after enactment of this Act on the basis of the average of the incomes per person of the continental United States for the three most recent consecutive calendar years for which satisfactory data are available from the Department of Commerce, and on the basis of the number of high school graduates as determined by the Commissioner for the most recent school year for which satisfactory data are available from the Office of Education.

(3) The term "continental United States" includes Alaska.

MATCHING REQUIREMENT

SEC. 6. Payment of the full Federal allotment to a State shall be contingent upon the matching of Federal funds by State funds, as follows: Each State shall add to the Federal allotment an amount equal to the product of (A) the number of high school graduates in the State and (B) the difference between the national base and the Federal allotment to the State per high school graduate of the State: Provided, That in no case is the State matching payment required to be more than twice the Federal allotment. To the extent that a State's matching payment falls short of the matching requirement, its Federal allotment shall be proportionately reduced.

STATE PLANS

SEC. 7. (a) Any State desiring to accept the benefits of this Act shall submit a State plan for carrying out the purpose of this Act. Such plan shall

(1) designate the State agency responsible for administering the plan throughout the State;

(2) contain satisfactory evidence that such State agency will have authority to carry out such plan in conformity with this Act;

(3) provide fiscal control and fund accounting procedures as may be necessary to assure proper disbursement and accounting for Federal funds under this Act and to assure proper application of non-Federal funds used in connection therewith;

(4) provide for the establishment of standards, in accordance with the purpose of this Act, for locating, planning, and constructing public community college facilities;

(5) provide for affording to every applicant, whose application for funds for a construction project under the State plan is denied, an opportunity for a hearing before the State agency; and

(6) provide that the State agency will make such reports to the Commissioner, in such form and containing such information, as are reasonably necessary to enable the Commissioner to carry out the provisions of this Act.

(b) The Commissioner shall approve any State plan and any modification thereof which complies with the provisions of subsection (a), but shall not fully disapprove any State plan or modification thereof without first affording to the State agency reasonable notice and opportunity for a hearing.

(c) Whenever the Commissioner, after reasonable notice and opportunity for hearing to the State agency, finds that—

(1) the State plan submitted by such agency and approved under this section has been so changed that it no longer complies with the provisions of subsection (a); or

(2) in the administration of such plan there is a failure to comply substantially with any such provision; the Commissioner shall withhold further payments under section 8 to the State or withhold further payments for any project designated by the Commissioner as being directly affected by such failure, as the Commissioner may determine to be appropriate under the circumstances, until he is satisfied that there is no longer any such failure to comply, or if compliance is impossible, until the State repays or arranges for the repayment of Federal moneys which have been diverted or improperly expended; except that the foregoing provisions of this subsection shall not apply to payment of any amount already reserved under section 8(a) with respect to any public community college facilities project not directly affected by such failure. After notice as provided in this subsection to any State, the Commissioner may suspend the making of further reservations of funds under section 8(a) for projects in such State pending the making of the findings under this subsection.

PAYMENTS TO STATES

SEC. 8. (a) Upon a certification by a State agency

(1) listing a public community college facilities project (or projects) approved by it during a fiscal year under a State plan approved under section 6; and

(2) setting forth the estimated cost of each such project, the amount of the Federal share of such cost, and such further description of such project as may be required by the Commissioner in order to carry out the provisions of this Act,

the Commissioner shall reserve an amount equal to such Federal share of such cost out of the State's allotment for such fiscal year. Payment of such amount shall be made by the Commissioner to the State, upon request of the State agency, through the disbursing facilities of the Department of the Treasury and prior to audit or settlement by the General Accounting Office, at such time or times and in such installments (in advance of the incurring of cost or otherwise) as the Commissioner may determine. Such payments shall be used exclusively to meet the cost of construction of the project (or projects) for which such amount has been reserved. The Commissioner shall change any amount so reserved upon request of the State agency and receipt of an amended certification from

such agency, but only to the extent such change is not inconsistent with the other provisions of this Act.

(b) If any project with respect to which payments have been made under this section is terminated or abandoned or not completed within such reasonable period as may be determined in accordance with the regulations of the Commissioner, the States which certified such project shall be liable to repay to the United States, for deposit in the Treasury of the United States as miscellaneous receipts, the amount of such payments or such lesser amounts as the Commissioner deems reasonable under the circumstances.

JUDICIAL REVIEW

SEC. 9. (a) If any State is dissatisfied with the Commissioner's final action under section 7 (c), such State may appeal to the United States court of appeals for the circuit in which such State is located. The summons and notice of appeal may be served at any place in the United States. The Commissioner shall forthwith certify and file in the court the transcript of the proceedings and the record on which he based his action.

(b) The findings of fact by the Commissioner, unless substantially contrary to the weight of the evidence, shall be conclusive; but the court, for good cause shown, may remand the case to the Commissioner to take further evidence, and the Commissioner may thereupon make new or modified findings of fact and may modify his previous action, and shall certify to the court the transcript and record of the further proceedings. Such new or modified findings of fact shall likewise be conclusive unless substantially contrary to the weight of the evidence.

(c) The court shall have jurisdiction to affirm the action of the Commissioner or to set it aside, in whole or in part. The judgment of the court shall be subject to review by the Supreme Court of the United States upon certiorari or certification as provided in title 28, United States Code, section 1254.

ADMINISTRATION

SEC. 10. (a) The Commissioner is authorized to delegate to any officer or employee of the Office of Education any of his functions under this Act except the making of regulations.

(b) There are hereby authorized to be appropriated for Federal administrative expenses such sums as may be necessary to carry out the provisions of this Act.

PROHIBITION AGAINST FEDERAL CONTROL

SEC. 11. Except as specifically provided by this Act, no department, agency, officer, or employee of the United States shall exercise any direction, supervision, or control over, or prescribe any requirement with respect to, any State agency or educational agency or institution to which any funds have been or may be paid under this Act.

[S. 1232, 87th Cong., 1st sess.]

A BILL To provide assistance to the States in certain surveying and planning with respect to college facilities

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

STATEMENT

OF APPROPRIATION, AND DEFINITIONS

OF PURPOSE, AUTHORIZATION SECTION 1. (a) For the purposes of assisting the States to inventory existing college facilities, to survey the need for additional college facilities especially in relation to the distribution of population, to develop State plans for college expansion programs, and to study the adequacy of State and other resources available to meet college facilities requirements, there is authorized to be appropriated the sum of $2,500,000 to remain available until expended. Sums appropriated pursuant to this section shall be used for making payments to States whose applications for funds for carrying out such purposes have been approved.

(b) Grants under the provisions of this Act shall not be deemed to commit the Congress in any way to authorize or appropriate funds for any college facilities or college expansion programs.

(c) As used in this Act

(1) the term "State" means a State, Puerto Rico, the Virgin Islands, or the District of Columbia;

(2) the term "Commissioner" means the Commissioner of Education, Department of Health, Education, and Welfare;

(3) the term "school-age population" means that part of the population which is between the ages of five and seventeen, both inclusive, and the school-age population of the several States shall be determined on the basis of the most recent estimates by the Department of Commerce.

STATE APPLICATIONS

SEC. 2. The Commissioner shall approve any application for funds for carrying out the purposes of this Act if such application

(1) designates the State agency for carrying out such purposes;

(2) provides a plan, in such detail as may be required by the Commissioner, for carrying out such purposes; and

(3) provides that such State agency will make such reports, in such form, and containing such information as the Commissioner may from time to time reasonably require, and, to assure verification of such reports, give the Commissioner, upon request, access to the records upon which such information is based.

ALLOTMENTS AND PAYMENTS TO STATES

SEC. 3. (a) Amounts appropriated in accordance with section 1 of this Act shall be allotted among the several States in the same proportion as their respective school-age populations bear to the total school-age population of all the States, except that no such allotment to any State shall be less than $10,000. Within its allotment each State shall be entitled to receive an amount equal to 50 per centum of its expenditures in carrying out the purposes of this Act in accordance with its application.

(b) The Commissioner shall from time to time estimate the sum to which each State will be entitled under this section during such ensuing period as he may determine and shall thereupon certify to the Secretary of the Treasury the amount so estimated, reduced or increased, as the case may be, by any sum by which the Commissioner finds that his estimate for any prior period was greater or less than the amount to which the State was entitled for such period. The Secretary of the Treasury shall thereupon, prior to audit or settlement by the General Accounting Office, pay to the State, at the time or times fixed by the Commissioner, the amount so certified.

WITHHOLDING OF CERTIFICATION

SEC. 4. (a) Whenever the Commissioner, after reasonable notice and opportunity for hearings to a State agency designated in accordance with section 2 of this Act, finds (1) that such State agency is not complying substantially with the provisions of this Act or the terms and conditions of its application approved under this Act, or (2) that any funds paid to such State agency under this Act have been diverted from the purposes for which they had been allotted or paid, the Commissioner may forthwith notify the Secretary of the Treasury and such State agency that no further certification will be made under this Act with respect to such agency until there is no longer any failure to comply or the diversion has been corrected or, if compliance or correction is impossible, until such State agency repays or arranges for the repayment of Federal moneys which have been diverted or improperly expended.

(b) The final refusal of the Commissioner to approve any application made under this Act, and the Commissioner's final action under subsection (a) of this section, shall be subject to judicial review on the record, in the United States court of appeals for the circuit in which the State is located, in accordance with the provisions of the Administrative Procedure Act.

ADMINISTRATION

SEC. 5. (a) The Commissioner is authorized to delegate to any officer or employee of the Office of Education any of his functions under this Act except the making of regulations.

(b) There are hereby authorized to be appropriated for Federal administrative expenses such sums as may be necessary to carry out the provisions of this Act.

[S. 1241, 87th Cong., 1st sess.]

A BILL To authorize assistance to public and other nonprofit institutions of higher education in financing the construction, rehabilitation, or improvement of needed academic and related facilities and to authorize scholarships for undergraduate study in such institutions

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 "College Academic Facilities and Scholarship Act”.

FINDINGS AND DECLARATION OF POLICY

SEC. 2. The Congress hereby finds that the security and welfare of the United States require that this and future generations of American youth be insured ample opportunity for the fullest development of their intellectual capacities, and that this opportunity will be jeopardized unless the Nation's colleges and universities are encouraged and assisted in their efforts to accommodate rapidly growing numbers of youth who aspire to a higher education, and unless steps are taken to encourage promising youth in their pursuit of this goal by holding out to them both the prospect of national recognition of their promise and the assurance that economic obstacles to self-fulfillment can be overcome. The Congress further finds and declares that these needs are so great and these steps so urgent that it is incumbent upon the Nation to take positive and immediate action to meet these needs through assistance to institutions of higher education in providing classrooms and other academic facilities, and through undergraduate scholarships for young people of outstanding ability who need such scholarship assistance to go to college.

TITLE I-LOANS FOR CONSTRUCTION OF ACADEMIC FACILITIES

LENDING AUTHORITY

SEC. 101. The Commissioner of Education (hereinafter in this title referred to as "Commissioner") may, in accordance with the provisions of this title, make loans to institutions of higher education or to higher-education building agencies for construction of academic facilities.

LOAN LIMIT FOR ANY STATE

SEC. 102. Not more than 122 per centum of the funds provided for in this title in the form of loans shall be used for loans to institutions of higher education or higher-education building agencies within any one State.

ELIGIBILITY CONDITIONS, amounts, anND TERMS OF LOANS

SEC. 103. (a) No loan pursuant to this title shall be made unless the Commissioner finds (1) that not less than one-fourth of the development cost of the facility will be financed from non-Federal sources, (2) that the applicant is unable to secure the amount of such loan from other sources upon terms and conditions equally as favorable as the terms and conditions applicable to loans under this title, and (3) that the construction will be undertaken in an economical manner and that it will not be of elaborate or extravagant design or materials.

(b) A loan pursuant to this title shall be secured in such manner, and shall be repaid within such period not exceeding fifty years, as may be determined by the Commissioner; and shall bear interest at a rate determined by the Commissioner which shall not be more than the higher of (1) 24 per centum per annum, or (2) a per annum rate that is one-quarter of 1 percentage point above the rate of interest paid by the Commissioner on funds obtained from the Secretary of the Treasury as provided in subsection (d) of this section.

(c) In order to obtain funds for loans under this title, the Commissioner may, on or after July 1, 1961, from time to time issue notes and obligations for purchase by the Secretary of the Treasury. The maximum aggregate principal amount of such notes and obligations outstanding at any one time shall be such amount as may be specified from time to time in appropriation Acts, but the amount so outstanding at any time shall not exceed (1) the initial sum of $300,000,000 until June 30, 1962, inclusive, and (2) thereafter, $300,000,000 plus such additional sums as are equal to a rate of annual increase of $300,000,000 in such initial sum as of July 1 of each of the calendar years 1962 to 1965.

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