 
      CHAPTER 28--HIGHER EDUCATION RESOURCES AND STUDENT ASSISTANCE
 
                    SUBCHAPTER IV--STUDENT ASSISTANCE
 
   Part A--Grants to Students in Attendance at Institutions of Higher 
                                Education
 
    subpart 4--leveraging educational assistance partnership program
 
Sec. 1070c-2. Applications for leveraging educational assistance 
        partnership programs
        

(a) Submission and contents of applications

    A State which desires to obtain a payment under this subpart for any 
fiscal year shall submit annually an application therefor through the 
State agency administering its program under this subpart as of July 1, 
1985, unless the Governor of that State so designates, in writing, a 
different agency to administer the program. The application shall 
contain such information as may be required by, or pursuant to, 
regulation for the purpose of enabling the Secretary to make the 
determinations required under this subpart.

(b) Payment of Federal share of grants made by qualified program

    From a State's allotment under this subpart for any fiscal year the 
Secretary is authorized to make payments to such State for paying up to 
50 percent of the amount of student grants pursuant to a State program 
which--
        (1) is administered by a single State agency;
        (2) provides that such grants will be in amounts not in excess 
    of $5,000 per academic year (A) for attendance on a full-time basis 
    at an institution of higher education, and (B) for campus-based 
    community service work learning study jobs;
        (3) provides that--
            (A) not more than 20 percent of the allotment to the State 
        for each fiscal year may be used for the purpose described in 
        paragraph (2)(B);
            (B) grants for the campus-based community work learning 
        study jobs may be made only to students who are otherwise 
        eligible for assistance under this subpart; and
            (C) grants for such jobs be made in accordance with the 
        provisions of section 2753(b)(1) of title 42;

        (4) provides for the selection of recipients of such grants or 
    of such State work-study jobs on the basis of substantial financial 
    need determined annually on the basis of criteria established by the 
    State and approved by the Secretary, except that for the purpose of 
    collecting data to make such determination of financial need, no 
    student or parent shall be charged a fee that is payable to an 
    entity other than such State;
        (5) provides that, effective with respect to any academic year 
    beginning on or after October 1, 1978, all nonprofit institutions of 
    higher education in the State are eligible to participate in the 
    State program, except in any State in which participation of 
    nonprofit institutions of higher education is in violation of the 
    constitution of the State or in any State in which participation of 
    nonprofit institutions of higher education is in violation of a 
    statute of the State which was enacted prior to October 1, 1978;
        (6) provides for the payment of the non-Federal portion of such 
    grants or of such work-study jobs from funds supplied by such State 
    which represent an additional expenditure for such year by such 
    State for grants or work-study jobs for students attending 
    institutions of higher education over the amount expended by such 
    State for such grants or work-study jobs, if any, during the second 
    fiscal year preceding the fiscal year in which such State initially 
    received funds under this subpart;
        (7) provides that if the State's allocation under this subpart 
    is based in part on the financial need demonstrated by students who 
    are independent students or attending the institution less than full 
    time, a reasonable proportion of the State's allocation shall be 
    made available to such students;
        (8) provides for State expenditures under such program of an 
    amount not less than the average annual aggregate expenditures for 
    the preceding three fiscal years or the average annual expenditure 
    per full-time equivalent student for such years;
        (9) provides (A) for such fiscal control and fund accounting 
    procedures as may be necessary to assure proper disbursement of and 
    accounting for Federal funds paid to the State agency under this 
    subpart, and (B) for the making of such reports, in such form and 
    containing such information, as may be reasonably necessary to 
    enable the Secretary to perform his functions under this subpart; 
    and
        (10) for any academic year beginning after June 30, 1987, 
    provides the non-Federal share of the amount of student grants or 
    work-study jobs under this subpart through a direct appropriation of 
    State funds for the program under this subpart.

(c) Reservation and disbursement of allotments and reallotments

    Upon his approval of any application for a payment under this 
subpart, the Secretary shall reserve from the applicable allotment 
(including any applicable reallotment) available therefor, the amount of 
such payment, which (subject to the limits of such allotment or 
reallotment) shall be equal to the Federal share of the cost of the 
students' incentive grants or work-study jobs covered by such 
application. The Secretary shall pay such reserved amount, in advance or 
by way of reimbursement, and in such installments as the Secretary may 
determine. The Secretary may amend the reservation of any amount under 
this section, either upon approval of an amendment of the application or 
upon revision of the estimated cost of the student grants or work-study 
jobs with respect to which such reservation was made. If the Secretary 
approves an upward revision of such estimated cost, the Secretary may 
reserve the Federal share of the added cost only from the applicable 
allotment (or reallotment) available at the time of such approval.

(Pub. L. 89-329, title IV, Sec. 415C, as added Pub. L. 99-498, title IV, 
Sec. 401(a), Oct. 17, 1986, 100 Stat. 1333; amended Pub. L. 102-325, 
title IV, Sec. 404(b)-(d), July 23, 1992, 106 Stat. 507; Pub. L. 103-
208, Sec. 2(b)(27), Dec. 20, 1993, 107 Stat. 2459; Pub. L. 105-244, 
title IV, Sec. 407(a)(2)(B), Oct. 7, 1998, 112 Stat. 1666.)


                            Prior Provisions

    A prior section 1070c-2, Pub. L. 89-329, title IV, Sec. 415C, as 
added Pub. L. 92-318, title I, Sec. 131(b)(1), June 23, 1972, 86 Stat. 
256; amended Pub. L. 94-482, title I, Sec. 123(b), Oct. 12, 1976, 90 
Stat. 2094; Pub. L. 95-43, Sec. 1(a)(6), June 15, 1977, 91 Stat. 213; 
Pub. L. 95-566, Sec. 3, Nov. 1, 1978, 92 Stat. 2403; Pub. L. 96-374, 
title IV, Sec. 404(c), title XIII, Sec. 1391(a)(1), (2), Oct. 3, 1980, 
94 Stat. 1407, 1503, related to payment of grants to States for State 
student incentives, prior to the general revision of this part by Pub. 
L. 99-498.


                               Amendments

    1998--Pub. L. 105-244 substituted ``leveraging educational 
assistance partnership'' for ``State student incentive grant'' in 
section catchline.
    1993--Subsec. (b)(7). Pub. L. 103-208 substituted a semicolon for 
period at end.
    1992--Subsec. (b)(2). Pub. L. 102-325, Sec. 404(b), substituted 
``$5,000'' for ``$2,500''.
    Subsec. (b)(4). Pub. L. 102-325, Sec. 404(c), inserted before 
semicolon at end ``, except that for the purpose of collecting data to 
make such determination of financial need, no student or parent shall be 
charged a fee that is payable to an entity other than such State''.
    Subsec. (b)(7). Pub. L. 102-325, Sec. 404(d), amended par. (7) 
generally. Prior to amendment, par. (7) read as follows: ``provides 
that, if the institution's allocation under this subpart is based in 
part on the financial need demonstrated by students attending the 
institution less than full time, a reasonable proportion of the 
institution's allocation shall be made available to such students;''.


                    Effective Date of 1998 Amendment

    Amendment by Pub. L. 105-244 effective Oct. 1, 1998, except as 
otherwise provided in Pub. L. 105-244, see section 3 of Pub. L. 105-244, 
set out as a note under section 1001 of this title.


                    Effective Date of 1993 Amendment

    Amendment by Pub. L. 103-208 effective as if included in the Higher 
Education Amendments of 1992, Pub. L. 102-325, except as otherwise 
provided, see section 5(a) of Pub. L. 103-208, set out as a note under 
section 1051 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 1070c-1, 1070c-3, 1070c-3a 
of this title.
