 
      CHAPTER 28--HIGHER EDUCATION RESOURCES AND STUDENT ASSISTANCE
 
                  SUBCHAPTER V--DEVELOPING INSTITUTIONS
 
                  Part A--Hispanic-Serving Institutions
 
Sec. 1101b. Authorized activities


(a) Types of activities authorized

    Grants awarded under this subchapter shall be used by Hispanic-
serving institutions of higher education to assist the institutions to 
plan, develop, undertake, and carry out programs to improve and expand 
the institutions' capacity to serve Hispanic students and other low-
income students.

(b) Authorized activities

    Grants awarded under this section shall be used for one or more of 
the following activities:
        (1) Purchase, rental, or lease of scientific or laboratory 
    equipment for educational purposes, including instructional and 
    research purposes.
        (2) Construction, maintenance, renovation, and improvement in 
    classrooms, libraries, laboratories, and other instructional 
    facilities.
        (3) Support of faculty exchanges, faculty development, 
    curriculum development, academic instruction, and faculty 
    fellowships to assist in attaining advanced degrees in the fellow's 
    field of instruction.
        (4) Purchase of library books, periodicals, and other 
    educational materials, including telecommunications program 
    material.
        (5) Tutoring, counseling, and student service programs designed 
    to improve academic success.
        (6) Funds management, administrative management, and acquisition 
    of equipment for use in strengthening funds management.
        (7) Joint use of facilities, such as laboratories and libraries.
        (8) Establishing or improving a development office to strengthen 
    or improve contributions from alumni and the private sector.
        (9) Establishing or improving an endowment fund.
        (10) Creating or improving facilities for Internet or other 
    distance learning academic instruction capabilities, including 
    purchase or rental of telecommunications technology equipment or 
    services.
        (11) Establishing or enhancing a program of teacher education 
    designed to qualify students to teach in public elementary schools 
    and secondary schools.
        (12) Establishing community outreach programs that will 
    encourage elementary school and secondary school students to develop 
    the academic skills and the interest to pursue postsecondary 
    education.
        (13) Expanding the number of Hispanic and other underrepresented 
    graduate and professional students that can be served by the 
    institution by expanding courses and institutional resources.
        (14) Other activities proposed in the application submitted 
    pursuant to section 1101c of this title that--
            (A) contribute to carrying out the purposes of this 
        subchapter; and
            (B) are approved by the Secretary as part of the review and 
        acceptance of such application.

(c) Endowment fund limitations

                        (1) Portion of grant

        A Hispanic-serving institution may not use more than 20 percent 
    of the grant funds provided under this subchapter for any fiscal 
    year for establishing or improving an endowment fund.

                        (2) Matching required

        A Hispanic-serving institution that uses any portion of the 
    grant funds provided under this subchapter for any fiscal year for 
    establishing or improving an endowment fund shall provide from non-
    Federal funds an amount equal to or greater than the portion.

                          (3) Comparability

        The provisions of part C of subchapter III of this chapter 
    regarding the establishment or increase of an endowment fund, that 
    the Secretary determines are not inconsistent with this subsection, 
    shall apply to funds used under paragraph (1).

(Pub. L. 89-329, title V, Sec. 503, as added Pub. L. 105-244, title V, 
Sec. 501, Oct. 7, 1998, 112 Stat. 1768.)


                            Prior Provisions

    A prior section 503 of Pub. L. 89-329 was classified to section 
1102b of this title prior to the general amendment of this subchapter by 
Pub. L. 105-244.
    Another prior section 503 of Pub. L. 89-329 was classified to 
section 1091b of this title prior to repeal by Pub. L. 94-482.

                  Section Referred to in Other Sections

    This section is referred to in section 1103c of this title.
