20 U.S.C. § 1066d — Authority of Secretary

Page 307 TITLE 20—EDUCATION § 1066d Pub. L. 110–315, § 314(b)(1)(A), which directed the sub- stitution of ‘‘5’’ for ‘‘10’’, could not be executed because ‘‘10’’ did not appear subsequent to amendment by Pub. L. 105–244, § 306(b)(1). See 1998 Amendment note below. Subsec. (b)(12). Pub. L. 110–315, § 314(b)(2)–(4), added par. (12). Subsec. (e). Pub. L. 110–315, § 320(2), inserted heading. 1998—Subsec. (a). Pub. L. 105–244, § 301(c)(5)(A), sub- stituted ‘‘section 1066c’’ for ‘‘section 1132c–3’’. Subsec. (b). Pub. L. 105–244, § 301(c)(5)(B)(i), sub- stituted ‘‘sections 1066d(1) and 1066e’’ for ‘‘sections 1132c–4(1) and 1132c–5’’ in introductory provisions. Subsec. (b)(8). Pub. L. 105–244, § 306(b)(1), substituted ‘‘5 percent’’ for ‘‘10 percent’’ wherever appearing. Subsec. (b)(10). Pub. L. 105–244, § 301(c)(5)(B)(ii), sub- stituted ‘‘section 1066c’’ for ‘‘section 1132c–3’’. Subsec. (d). Pub. L. 105–244, § 301(c)(5)(B)(iii), made technical amendment to reference in original act which appears in text as reference to subsection (c)(1) of this section. Subsec. (e). Pub. L. 105–244, § 306(b)(2), added subsec. (e). 1994—Subsec. (b)(8)(A). Pub. L. 103–382, § 360C(1)(A), in- serted before semicolon ‘‘, with each eligible institu- tion required to maintain in the escrow account an amount equal to 10 percent of the outstanding principal of all loans made to such institution under this part’’. Subsec. (b)(8)(B)(ii). Pub. L. 103–382, § 360C(1)(B), amended cl. (ii) generally. Prior to amendment, cl. (ii) read as follows: ‘‘when all bonds under this part are re- tired or canceled, shall be divided among the eligible institutions making deposits into such account on the basis of the amount of each such institution’s de- posit;’’. Subsec. (b)(11). Pub. L. 103–382, § 360C(2), substituted ‘‘conditions’’ for ‘‘regulations’’. Statutory Notes and Related Subsidiaries 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 sec- tion 3 of Pub. L. 105–244, set out as a note under section 1001 of this title. § 1066c. Limitations on Federal insurance for bonds issued by designated bonding author- ity (a) Limit on amount At no time shall the aggregate principal amount of outstanding bonds insured under this part together with any accrued unpaid interest thereon exceed $1,100,000,000, of which— (1) not more than $733,333,333 shall be used for loans to eligible institutions that are pri- vate historically Black colleges and univer- sities; and (2) not more than $366,666,667 shall be used for loans to eligible institutions which are his- torically Black public colleges and univer- sities. For purposes of paragraphs (1) and (2), Lincoln University of Pennsylvania is an historically Black public institution. No institution of high- er education that has received assistance under section 123 of this title shall be eligible to re- ceive assistance under this part. (b) Limitation on credit authority The authority of the Secretary to issue letters of credit and insurance under this part is effec- tive only to the extent provided in advance by appropriations Acts. (c) Religious activity prohibition No loan may be made under this part for any educational program, activity or service related to sectarian instruction or religious worship or provided by a school or department of divinity or to an institution in which a substantial por- tion of its functions is subsumed in a religious mission. (d) Discrimination prohibition No loan may be made to an institution under this part if the institution discriminates on ac- count of race, color, religion, national origin, sex (to the extent provided in title IX of the Education Amendments of 1972 [20 U.S.C. 1681 et seq.]), or disabling condition; except that the prohibition with respect to religion shall not apply to an institution which is controlled by or which is closely identified with the tenets of a particular religious organization if the applica- tion of this section would not be consistent with the religious tenets of such organization. (Pub. L. 89–329, title III, § 344, formerly title VII, § 724, as added Pub. L. 102–325, title VII, § 704, July 23, 1992, 106 Stat. 745; renumbered title III, § 344, Pub. L. 105–244, title III, § 301(a)(3), (4), Oct. 7, 1998, 112 Stat. 1636; Pub. L. 110–315, title III, § 314(c), Aug. 14, 2008, 122 Stat. 3181.) Editorial Notes REFERENCES IN TEXT The Education Amendments of 1972, referred to in subsec. (d), is Pub. L. 92–318, June 23, 1972, 86 Stat. 235. Title IX of the Act, known as the Patsy Takemoto Mink Equal Opportunity in Education Act, is classified principally to chapter 38 (§ 1681 et seq.) of this title. For complete classification of title IX to the Code, see Short Title note set out under section 1681 of this title and Tables. CODIFICATION Section was formerly classified to section 1132c–3 of this title prior to renumbering by Pub. L. 105–244. PRIOR PROVISIONS A prior section 344 of Pub. L. 89–329 was classified to section 1069 of this title prior to the general amend- ment of this subchapter by Pub. L. 99–498. AMENDMENTS 2008—Subsec. (a). Pub. L. 110–315, § 314(c)(1), sub- stituted ‘‘$1,100,000,000’’ for ‘‘$375,000,000’’ in introduc- tory provisions. Subsec. (a)(1). Pub. L. 110–315, § 314(c)(2), substituted ‘‘$733,333,333’’ for ‘‘$250,000,000’’. Subsec. (a)(2). Pub. L. 110–315, § 314(c)(3), substituted ‘‘$366,666,667’’ for ‘‘$125,000,000’’. § 1066d. Authority of Secretary In the performance of, and with respect to, the functions vested in the Secretary by this part, the Secretary— (1) shall, within 120 days of August 14, 2008, publish in the Federal Register a notice and request for proposals for any private for-profit organization or entity wishing to serve as the designated bonding authority under this part, which notice shall— (A) specify the time and manner for sub- mission of proposals; and (B) specify any information, qualifica- tions, criteria, or standards the Secretary determines to be necessary to evaluate the financial capacity and administrative capa- bility of any applicant to carry out the re- Page 308 TITLE 20—EDUCATION § 1066e sponsibilities of the designated bonding au- thority under this part; (2) shall ensure that— (A) the selection process for the designated bonding authority is conducted on a com- petitive basis; and (B) the evaluation and selection process is transparent; (3) shall— (A) review the performance of the des- ignated bonding authority after the third year of the insurance agreement; and (B) following the review described in sub- paragraph (A), implement a revised competi- tive selection process, if determined nec- essary by the Secretary in consultation with the Advisory Board established pursuant to section 1066f of this title; (4) shall require that the first loans for cap- ital projects authorized under section 1066b of this title be made no later than March 31, 1994; (5) may sue and be sued in any court of record of a State having general jurisdiction or in any district court of the United States, and such district courts shall have jurisdiction of civil actions arising under this part without regard to the amount in controversy, and any action instituted under this part without re- gard to the amount in controversy, and any action instituted under this section by or against the Secretary shall survive notwith- standing any change in the person occupying the office of the Secretary or any vacancy in such office; (6)(A) may foreclose on any property and bid for and purchase at any foreclosure, or any other sale, any property in connection with which the Secretary has been assigned a loan pursuant to this part; and (B) in the event of such an acquisition, not- withstanding any other provisions of law re- lating to the acquisition, handling, or disposal of real property by the United States, com- plete, administer, remodel and convert, dis- pose of, lease, and otherwise deal with, such property, except that— (i) such action shall not preclude any other action by the Secretary to recover any defi- ciency in the amount of a loan assigned to the Secretary; and (ii) any such acquisition of real property shall not deprive any State or political sub- division thereof of its civil or criminal juris- diction in and over such property or impair the civil rights under the State or local laws of the inhabitants on such property; (7) may sell, exchange, or lease real or per- sonal property and securities or obligations; (8) may include in any contract such other covenants, conditions, or provisions necessary to ensure that the purposes of this part will be achieved; (9) may, directly or by grant or contract, provide technical assistance to eligible insti- tutions to prepare the institutions to qualify, apply for, and maintain a capital improvement loan, including a loan under this part; and (10) not later than 120 days after August 14, 2008, shall submit to the authorizing commit- tees a report on the progress of the Depart- ment in implementing the recommendations made by the Government Accountability Of- fice in October 2006 for improving the Histori- cally Black College and Universities Capital Financing Program. (Pub. L. 89–329, title III, § 345, formerly title VII, § 725, as added Pub. L. 102–325, title VII, § 704, July 23, 1992, 106 Stat. 745; amended Pub. L. 103–208, § 2(j)(16), Dec. 20, 1993, 107 Stat. 2481; re- numbered title III, § 345, and amended Pub. L. 105–244, title III, §§ 301(a)(3), (4), (c)(6), 306(c), Oct. 7, 1998, 112 Stat. 1636, 1637, 1647; Pub. L. 110–315, title III, § 314(d), Aug. 14, 2008, 122 Stat. 3181.) Editorial Notes CODIFICATION Section was formerly classified to section 1132c–4 of this title prior to renumbering by Pub. L. 105–244. PRIOR PROVISIONS A prior section 345 of Pub. L. 89–329 was classified to section 1069a of this title prior to the general amend- ment of this subchapter by Pub. L. 99–498. AMENDMENTS 2008—Par. (1). Pub. L. 110–315, § 314(d)(1), substituted ‘‘August 14, 2008,’’ for ‘‘July 23, 1992,’’ in introductory provisions. Pars. (2) to (9). Pub. L. 110–315, § 314(d)(2), (3), added pars. (2) and (3) and redesignated former pars. (2) to (7) as (4) to (9), respectively. Par. (10). Pub. L. 110–315, § 314(d)(4)–(6), added par. (10). 1998—Par. (2). Pub. L. 105–244, § 301(c)(6), substituted ‘‘section 1066b’’ for ‘‘section 1132c–2’’. Par. (7). Pub. L. 105–244, § 306(c), added par. (7). 1993—Pars. (2) to (6). Pub. L. 103–208 added par. (2) and redesignated former pars. (2) to (5) as (3) to (6), respec- tively. Statutory Notes and Related Subsidiaries 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 sec- tion 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. § 1066e. Repealed. Pub. L. 105–244, title III, § 306(d), Oct. 7, 1998, 112 Stat. 1647 Section, Pub. L. 89–329, title III, § 346, formerly title VII, § 726, as added Pub. L. 102–325, title VII, § 704, July 23, 1992, 106 Stat. 746; amended Pub. L. 103–208, § 2(j)(17), Dec. 20, 1993, 107 Stat. 2481; renumbered title III, § 346, Pub. L. 105–244, title III, § 301(a)(3), (4), Oct. 7, 1998, 112 Stat. 1636, prohibited institution receiving a loan under this part from receiving grant under former part A of subchapter VII of this chapter. Editorial Notes CODIFICATION Section was formerly classified to section 1132c–5 of this title prior to renumbering by Pub. L. 105–244. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF REPEAL Repeal effective Oct. 1, 1998, except as otherwise pro- vided in Pub. L. 105–244, see section 3 of Pub. L. 105–244,