Subsection (b) provides that amendments of applications shall, except as the Commissioner may otherwise provide by or pursuant to regulation, be subject to approval in the same manner as original applications.

This section provides that upon his approval of any applications for a grant under this part, the Commissioner shall reserve from the applicable allotment the Federal share of the cost of the project covered by such application. The Commissioner's reservation of any amount under this section may later be amended by him.

Section 607. Administration of State plans

This section provides that the Commissioner shall not finally disapprove any State plan without affording the State commission submitting the plan reasonable notice and opportunity for a hearing. It also provides for terminating the eligibility of a State whenever the Commissioner, after reasonable notice and opportunity for hearing to the State commission administering the State plan, finds that the State plan has been so changed that it no longer complies with the provision of section 603, or that in the administration of the plan there is a failure to comply substantially with any such provision.

Section 608. Judicial review

This section provides for judicial review if any State is dissatisfied with the Commissioner's final action with respect to the approval of its State plan submitted under this part or with his final action under section 607.

Section 609. Limitation on payment

This section prohibits grants under this part for equipment or materials for sectarian instruction or religious worship, or primarily in connection with the program of a school or department of divinity.

Part B

Faculty Development Programs

Section 621. Institutes authorized

Subsection (a) authorizes the appropriation of $5 million for fiscal year 1966 and for each of the two succeeding fiscal years to enable the Commissioner to arrange, through grants or contracts, with institutions of higher education for the operation by them of short-term workshops or short-term or regular session institutes. These workshops and institutes would be for individuals who are engaged in (or preparing to engage in) the use of educational media equipment in teaching in institutions of higher education, or who are (or preparing to be), in institutions of higher education, specialists in educational media or librarians or other specialists using such media.

Subsection (b) provides that for the fiscal years 1969 and 1970 only such sums may be appropriated as Congress hereafter authorizes by law.

Section 622. Stipends

This section provides that each individual who attends an institute operated under the provision of this part shall be eligible to receive a stipend at the rate of $75 per week for the period of his attendance at such institute, plus an additional stipend at the rate of $15 per week for each dependent. No stipends shall be paid for attendance at workshops.

Section 701. Expansion of grant purposes

Subsection (a) amends section 106 of the Higher Education Facilities Act of 1963 to remove the restriction which prohibited institutions of higher education (other than public community colleges and public technical institutes) from receiving grants for the construction of undergraduate academic facilities other than those especially designed for instruction or research in the natural or physical sciences, mathematics, modern foreign languages, or engineering, or for use as a library. This subsection also provides as an alternative to the requirement that projects result in an urgently needed substantial expansion or creation of student enrollment capacity, that the project result in such an expansion or creation of the institution's capacity to carry out extension and continuing education programs on the campus to be created or expanded.

Subsection (b) increases the fiscal year 1966 authorization for Title I of the Higher Education Facilities Act of 1963 (grants for construction of undergraduate academic facilities) from $230 to $460 million.

Subsection (c) increases the fiscal year 1966 authorization for Title II of the Act (grants for construction of graduate academic facilities) from $60 to $120 million.

Section 702. Technical amendments

Subsection (a). Making section 103 allotments available for section 104 institutions under certain circumstances.--Under Title I of the Higher Education Facilities Act of 1963, 22 percent of the sums appropriated are allotted among the States for use in providing facilities for public community colleges and public technical institutes, and the remainder of the appropriated sums are allotted among the States for use in providing facilities for other institutions of higher education. This subsection permits any portion of the funds allotted to a State for public community colleges and public technical institutes for which no applications have been received by January 1 of a particular fiscal year to be used, upon the request of the State commission for other institutions of higher education.

Subsection (b). Making section 104 allotments available to section 103 institutions under certain circumstances.--This amendment is the converse of the amendment made by subsection (a). It permits any portion of the funds allotted to a State for institutions of higher education other than public community colleges and public technical institutes for which no applications have been received by January 1 of a particular fiscal year to be used, upon the request of the State commission, for public community colleges and public technical institutes.

Subsection (c). Revising Federal share for public community colleges and public technical institutes.--Under Title I of the Higher Education Facilities Act of 1963, the Federal share of the cost of a project for a public community college or a public technical institute is 40 percent, whereas the Federal share of the cost of a project for any other institution may be any amount up to 33-1/3 percent. This subsection amends Title I so that the Federal share for a project for a public community college or a public technical institute could be any amount up to 40 percent, rather than simply an inflexible 40 percent.

Subsection (d). Three-year availability of sums appropriated under section 201.--Title II of the Higher Education Facilities Act of 1963 authorizes grants for the construction of graduate academic facilities. Prior to this amendment, under section 201, sums appropriated for this purpose were available for grants only during the year for which they were appropriated. This subsection amends section 201 so that sums appropriated pursuant to it remain available until the end of the second succeeding fiscal year.

Subsection (e). Two-year availability of Title III funds.--Title III of the Higher Education Facilities Act of 1963 authorizes loans for the construction of academic facilities. Prior to this amendment, under section 303 (c) sums appropriated for this purpose were available for loans only during the year for which they were appropriated. This subsection amends section 303 (c) so that sums appropriated pursuant to such section remain available for an additional fiscal year for making loans under Title III.

Subsection (f). Coordination with Part A (grants for expansion and improvement of nurse training) of Title VIII of the Public Health Service Act.--Section 401 of the Higher Education Facilities Act of 1963, defines the term "academic facilities" so as to exclude among other facilities, facilities to be used by a "school of nursing," as defined under section 724 of the Public Health Service Act. The term "school of nursing" is now defined more broadly under section 843 of that Act. Subsection (f) amends section 401 of the Higher Education Facilities Act of 1963, so as to reflect this change and thereby continue the policy of the Congress that particular classes of schools should receive particular types of assistance under only one Act of Congress.

Section 703. Change in interest rate for Title III loans.-

Formerly the law provided that loans for construction of academic facilities shall bear interest at a rate related to the average annual interest rate of all interest bearing obligations of the United States forming a part of a public debt. This section adds a provision which would limit the interest rate on such loans to the rate computed on the foregoing basis, but not to exceed 3 percent a year.

This section sets out the definition of various terms used in this act. The term "institution of higher education" in addition to meaning an educational institution in any State which (1) admits only secondary school graduates, (2) is legally authorized within such State to provide a program of postsecondary education, (3) either awards a bachelor's degree or provides at least a 2-year program acceptable for full credit toward such a degree, (4) is a public or other nonprofit institution, and (5) is accredited or, if not accredited, has its credits accepted on transfer by at least three institutions which are accredited, also includes any business school or technical institution meeting the provisions of clauses (1), (2), (4), and (5).

The term "State" includes Puerto Rico, the District of Columbia, Guam, American Samoa, and the Virgin Islands.

The term "Secretary" means the Secretary of Health, Education, and Welfare, and the term "Commissioner" means Commissioner of Education.

The terms "nonprofit", "secondary school", "local educational agency", "State educational agency" and "elementary school" are also defined in this section.

Section 802. Method of payment

This section provides that payments made under this act may be made in installments, and in advance or by way of reimbursement, and, in the case of grants or loans, with necessary adjustments on account of overpayments or underpayments.

Section 803. Federal administration

Subsection (a) authorizes the Commissioner to delegate any of his functions under this act, except the making of regulations, to any officer or employee of the Office of Education.

Subsection (b) authorizes the Commissioner to utilize the services and facilities of any agency of the Federal Government and of any other public or nonprofit agency or institution, in accordance with agreements between the Secretary of Health, Education, and Welfare and the head thereof.