1264
Federal share.
PUBLIC LAW 89-329-NOV. 8, 1965
[79 STAT.
the institution serves students from two or more States or from outside the United States; and in no event shall an institution's readiness to admit such out-of-State students be considered as a priority factor adverse to such institution. (b) The Federal share for the purposes of this part shall not exceed 50 per centum of the cost of the project, except that a State commission may increase such share to not to exceed 80 per centum of such cost in the case of any institution proving insufficient resources to participate in the program under this part and inability to acquire such resources. An institution of higher education shall be eligible for a grant for a project pursuant to this part in any fiscal year only if such institution will expend during such year for the same purposes as, but not pursuant to, this part an amount at least equal to the amount expended by such institution for such purposes during the previous fiscal year. The Commissioner shall establish basic criteria for making determinations under this subsection. APPLICATION S FOR GRANTS A N D C O N D I T I O N S FOR APPROVAL
SEC. 605. (a) Institutions of higher education which desire to obtain grants under this part shall submit applications therefor at such time or times and in such manner as may be prescribed by the Commissioner, and such applications shall contain such information as may be required by or pursuant to regulation for the purpose of enabling the Commissioner to make the determinations required to be made by him under this part. (b) The Commissioner shall approve an application covering a project under this part and meeting the requirements prescribed pursuant to subsection (a) if— (1) the project has been approved and recommended by the appropriate State commission; (2) the State commission has certified to the Commissioner, in accordance with the State plan, the Federal share of the cost of the project, and sufficient funds to pay such Federal share are available from the applicable allotment of the State (including any applicable reallotment to the State); (3) the project has, pursuant to the State plan, been assigned a priority that is higher than that of all other projects within such State (chargeable to the same allotment) which meet all the requirements of this section (other than this clause) and for which Federal funds have not yet been reserved; (4) the Commissioner determines that the project will be undertaken in an economical manner and will not be overly elaborate or extravagant; and (5) the Commissioner determines that the application contains or is supported by satisfactory assurances— (A) that Federal funds received by the applicant will be used solely for defraying the cost of the project covered by such application, (B) that sufficient funds will be available to meet the nonFederal portion of such cost and to provide for the effective use of the equipment upon completion, and (C) that the institution will meet the maintenance of effort requirement in section 604(b). (b) 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.
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