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110th Congress 
 1st Session                     SENATE                          Report
                                                                 110-52
_______________________________________________________________________

                                     

                                                       Calendar No. 114


                   TO EXTEND THE DISTRICT OF COLUMBIA

                       COLLEGE ACCESS ACT OF 1999

                               __________

                              R E P O R T

                                 of the

                   COMMITTEE ON HOMELAND SECURITY AND

                          GOVERNMENTAL AFFAIRS

                          UNITED STATES SENATE

                              to accompany

                                 S. 343

     TO EXTEND THE DISTRICT OF COLUMBIA COLLEGE ACCESS ACT OF 1999

<GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>


                 April 11, 2007.--Ordered to be printed
        COMMITTEE ON HOMELAND SECURITY AND GOVERNMENTAL AFFAIRS

               JOSEPH I. LIEBERMAN, Connecticut, Chairman
CARL LEVIN, Michigan                 SUSAN M. COLLINS, Maine
DANIEL K. AKAKA, Hawaii              TED STEVENS, Alaska
THOMAS R. CARPER, Delaware           GEROGE V. VOINOVICH, Ohio
MARK L. PRYOR, Arkansas              NORM COLEMAN, Minnesota
MARY L. LANDRIEU, Louisiana          TOM COBURN, Okalahoma
BARACK OBAMA, Illinois               PETE V. DOMENICI, New Mexico
CLAIRE McCASKILL, Missouri           JOHN WARNER, Virginia
JOHN TESTER, Montana                 JOHN E. SUNUNU, New Hampshire
                  Michael L. Alexander, Staff Director
              Donny R. Williams, Professional Staff Member
            Deborah P. Parkinson, Professional Staff Member
     Brandon L. Milhorn, Minority Staff Director and Chief Counsel
  David Cole, Professional Staff Member, Subcommittee on Oversight of 
   Government Management, the Federal Workforce, and the District of 
                                Columbia
            Amy L. Hall, Minority Professional Staff Member
                  Trina Driessnack Tyrer, Chief Clerk


                            C O N T E N T S

                              ----------                              
                                                                   Page
  I. Purpose and Summary..............................................1
 II. Background and Need for the Legislation..........................1
III. Legislative History..............................................2
 IV. Section-by-Section Analysis......................................2
  V. Evaluation of Regulatory Impact..................................2
 VI. Congressional Budget Office Cost Estimate........................3
VII. Changes in Existing Law Made by the Bill, as Reported............5
                                                       Calendar No. 114
110th Congress                                                   Report
                                 SENATE
 1st Session                                                     110-52

======================================================================



 
     TO EXTEND THE DISTRICT OF COLUMBIA COLLEGE ACCESS ACT OF 1999

                                _______
                                

                 April 11, 2007.--Ordered to be printed

                                _______
                                

Mr. Lieberman, from the Committee on Homeland Security and Governmental 
                    Affairs, submitted the following

                              R E P O R T

                         [To accompany S. 343]

    The Committee on Homeland Security and Governmental 
Affairs, to which was referred the bill (S. 343), to extend the 
District of Columbia College Access Act of 1999, having 
considered the same reports favorably thereon without amendment 
and recommends that the bill do pass.

                         I. Purpose and Summary

    The purpose of S. 343 is to reauthorize for five additional 
years the public school and private school tuition assistance 
programs established under the District of Columbia College 
Access Act of 1999.\1\
---------------------------------------------------------------------------
    \1\ Public Law 106-98.
---------------------------------------------------------------------------

              II. Background and Need for the Legislation

    The District of Columbia College Access Act of 1999 
established the District of Columbia Tuition Assistance Grant 
(D.C. TAG) program for District residents. The aim of the D.C. 
TAG program is to assist District students, who do not have 
access to state-supported education systems, in attending 
institutions of higher education.
    The D.C. TAG program provides scholarships to District 
residents to cover the difference between in-state and out-of-
state tuition at state universities nationwide. Individual 
scholarship awards are capped at $10,000 per student per school 
year, with a cumulative cap of $50,000. In addition, the law 
provides District residents who attend private institutions of 
higher education in Virginia, Maryland, and the District of 
Columbia with tuition grants of up to $2,500 per student per 
school year with a cumulative cap of $12,500 per student.
    In 2002, the District of Columbia College Access 
Improvement Act of 2001 \2\ amended the program to allow 
District residents attending Historically Black Colleges and 
Universities (HBCUs) nationwide to receive tuition grants of 
$2,500 per student per school year, with a cumulative cap of 
$12,500 per student. The 2002 Act also eliminated the 
requirement that District residents must continue on to college 
within three years of high school graduation; expanded 
eligibility to include all District residents who have resided 
in the District of Columbia for at least five consecutive years 
prior to applying for the grant and who were enrolled at an 
eligible institution as of the date of enactment; and 
established a dedicated account for the resident tuition 
support program. In 2004, the program was reauthorized for an 
additional two years.\3\
---------------------------------------------------------------------------
    \2\ Public Law 107-157.
    \3\ Public Law 108-457.
---------------------------------------------------------------------------
    Since the first grants were awarded in 2000, the program 
has dispersed more than 26,000 grants, totaling over $141 
million to 9,769 District students.\4\ More than 1,500 have 
graduated from college. The District of Columbia has seen a 60 
percent increase in college attendance,\5\ with 55 percent of 
the students being the first in their family to attend 
college.\6\
---------------------------------------------------------------------------
    \4\ Statistics provided by the District of Columbia State Education 
Office.
    \5\ Statistics provided by the District of Columbia State Education 
Office.
    \6\ Examining the Challenges the District will Face Today, 
Tomorrow, and in the Future: Hearing Before the Senate Subcommittee on 
Oversight of Government Management, the Federal Workforce, and the 
District of Columbia, Committee on Homeland Security and Governmental 
Affairs, S. Hrg. 109-511 (2006) (testimony of Anthony A. Williams).
---------------------------------------------------------------------------
    S. 343 extends the authorization for five additional years. 
The extension will ensure that District of Columbia residents 
continue to have access to institutions of higher education.

                        III. Legislative History

    On January 22, 2007, S. 343 was introduced by Senator 
Voinovich and cosponsored by Senators Akaka, Brownback, 
Landrieu, Lieberman, and Warner. The legislation was referred 
to the Homeland Security and Governmental Affairs Committee.
    On February 15, 2007, by voice vote, the Committee on 
Homeland Security and Governmental Affairs ordered S. 343 
reported favorably without amendment.

                    IV. Section-by-Section Analysis


Section 1. 5-Year reauthorization of tuition assistance programs

    This section amends the D.C. College Access Act of 1999 by 
striking `each of the 7 succeeding fiscal years' and inserting 
`each of the 12 succeeding fiscal years' in section 3, the 
public school program section, and in section 5, the private 
school section.

                   V. Evaluation of Regulatory Impact

    Pursuant to the requirement of paragraph 11(b)(1) of rule 
XXVI of the Standing Rules of the Senate the Committee has 
considered the regulatory impact of this bill. CBO states that 
there are no intergovernmental or private-sector mandates as 
defined in the Unfunded Mandates Reform Act and no costs on 
State, local, or tribal governments. The legislation contains 
no other regulatory impact.

                   VI. Estimated Cost of Legislation


S. 343--A bill to extend the District of Columbia College Access Act of 
        1999

    Summary: S. 343 would amend the District of Columbia 
College Access Act of 1999 and reauthorize the District of 
Columbia tuition assistance grant (DCTAG) program for students 
who are residents of Washington, D.C. Current law authorizes 
the appropriation of such sums as may be necessary through 
fiscal year 2007, and S. 343 would extend this authorization 
through fiscal year 2012. CBO estimates that the necessary 
appropriations would total $208 million over the 2008-2012 
period. Outlays would match this total over the same period. 
The bill would have no significant impact on direct spending or 
revenues.
    S. 343 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would impose no costs on state, local, or tribal 
governments.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 343 is presented in the following table. 
The cost of this legislation falls within budget function 500 
(education, training, employment, and social services).

                                      ESTIMATED BUDGETARY EFFECTS OF S. 343
----------------------------------------------------------------------------------------------------------------
                                                                  By fiscal year, in millions of dollars--
                                                           -----------------------------------------------------
                                                              2007     2008     2009     2010     2011     2012
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Spending Under Current Law:
    Estimated Authorization Level.........................       33        0        0        0        0        0
    Estimated Outlays.....................................       33        0        0        0        0        0
Proposed Changes:
    Estimated Authorization Level.........................        0       30       41       44       46       47
    Estimated Outlays.....................................        0       30       41       44       46       47
Spending Under S. 343:
    Estimated Authorization Level.........................       33       30       41       44       46       47
    Estimated Outlays.....................................       33       30       41       44       46       47
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For this estimate, CBO assumes that S. 
343 will be enacted during 2007 and that the estimated amounts 
will be appropriated for each year.

Current Law

    Under current law, DCTAG provides financial assistance to 
D.C. residents who attend public colleges outside of the 
District of Columbia, private postsecondary institutions in the 
District of Columbia, Maryland, or Virginia, or any 
historically black college or university. The private-school 
tuition grants are restricted to nonprofit institutions. 
Students who attend public schools receive assistance equal to 
the difference between the tuition paid by residents of the 
state in which the institution is located and the tuition 
charged to nonresident students, with an annual limit of 
$10,000 and a lifetime limit of $50,000. Private-school 
students receive a $2,500 maximum annual grant, with a lifetime 
limit of $12,500.
    According to data from the District of Columbia's State 
Education Office (SEO), the cost of DCTAG has grown 
substantially since the program's inception (academic year 
2000-2001). For the 2005-2006 academic year, the most recent 
year for which final data are available, just over 3,800 
students attending public institutions and 900 students 
attending private schools received awards. Both the number of 
participants and the size of average award have increased over 
time. Growth has been particularly high for students attending 
public schools.
    Current law authorizes the appropriation of such sums as 
may be necessary through fiscal year 2007. The Congress 
appropriated $33 million for this program in fiscal year 2007, 
although costs will likely exceed this total. Because costs for 
DCTAG were lower than the appropriated sums during the early 
years of the program, however, the SEO has been able to use 
carryover funds to supplement appropriated funds to make grants 
in recent years. As a result, the SEa has about $42 million 
available for the current academic year. The office has 
allocated just over $39 million for this award-year, but 
because not all students who receive award letters enroll in 
school, SEO's spending for financial assistance will likely be 
closer to $35 million. SEO also spends about 3 percent of its 
funds on operating costs.

Proposed extension

    S. 343 would authorize the appropriation of such sums as 
are necessary for DCTAG through 2012. CBO assumes that the SEO 
would use all of its estimated $7 million in carryover funds in 
2008, so while program costs would probably total almost $38 
million, additional federal funds needed to cover those costs 
would total only $30 million. CBO estimates that the necessary 
appropriations and resulting outlays would total $208 million 
over the 2008-2012 period. (Federal funds are disbursed and 
outlays are recorded when the SEO receives the funds, not when 
it actually makes the grants.) Based on population and high 
school graduation projections from the Census Bureau and the 
National Center for Education Statistics, respectively, CBO 
estimates that the number of participants would continue to 
grow, but at a slower rate than in the early years of the 
program. In addition, some of the early growth was likely 
attributable to recruitment efforts, which would be expected to 
have a smaller effect as DCTAG matures.
    CBO estimates that a total of about 5,500 students annually 
would participate in the program by 2012. Based on data from 
the SEO and the College Board, CBO also estimates that the 
average cost per grant would continue to rise as the cost of 
tuition and fees at both public and private schools rises, 
although a growing share of the grants would be limited by the 
annual caps. On that basis, CBO estimates that the average cost 
per grant would reach $9,500 for public schools and about 
$2,350 for private schools by 2012, assuming appropriation of 
the necessary funds.
    Intergovernmental and private-sector impact: S. 343 
contains no intergovernmental or private-sector mandates as 
defined in UMRA and would impose no costs on state, local, or 
tribal governments.
    Estimate prepared by: Federal Costs: Justin Humphrey. 
Impact on State, Local, and Tribal Governments: Lisa Ramirez-
Branum. Impact on the Private Sector: Fatimot Ladipo.
    Estimate approved by: Robert A. Sunshine, Assistant 
Director for Budget Analysis.

       VII. Changes in Existing Law Made by the Bill, as Reported

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the following changes in existing 
law made by the bill, as reported, are shown as follows: 
(existing law proposed to be omitted is enclosed in black 
brackets, new matter is printed in italic, existing law in 
which no change is proposed is shown in roman):

                       DISTRICT OF COLUMBIA CODE

                   TITLE 38. EDUCATIONAL INSTITUTIONS

                 Subtitle IX. College Access Assistance

                 CHAPTER 27. COLLEGE ACCESS ASSISTANCE


SEC. 38-2702. PUBLIC SCHOOL PROGRAM.

    (a) Grants.--
          (1) In general.--From amounts appropriated under 
        subsection (i) of this section the Mayor shall award 
        grants to eligible institutions that enroll eligible 
        students to pay the difference between the tuition and 
        fees charged for in-State students and the tuition and 
        fees charged for out-of-State students on behalf of 
        each eligible student enrolled in the eligible 
        institution.

           *       *       *       *       *       *       *

    (i) Authorization of Appropriations.--There are authorized 
to be appropriated to the District of Columbia to carry out 
this section $12,000,000 for fiscal year 2000 and (subject to 
Sec. 38-2706) such sums as may be necessary for [each of the 7 
succeeding fiscal years] each of the 12 succeeding fiscal 
years. Such funds shall remain available until expended.

           *       *       *       *       *       *       *


SEC. 38-2704. PRIVATE SCHOOL PROGRAM.

    (a) Grants.--
          (1) In general.--From amounts appropriated under 
        subsection (f) the Mayor shall award grants to eligible 
        institutions that enroll eligible students to pay the 
        cost of tuition and fees at the eligible institutions 
        on behalf of each eligible student enrolled in an 
        eligible institution. The Mayor may prescribe such 
        regulations as may be necessary to carry out this 
        section.

           *       *       *       *       *       *       *

    (f) Authorization of Appropriations.--There are authorized 
to be appropriated to the District of Columbia to carry out 
this section $5,000,000 for fiscal year 2000 and (subject to 
Sec. 38-2706) such sums as may be necessary for [each of the 7 
succeeding fiscal years] each of the 12 succeeding fiscal 
years. Such funds shall remain available until expended.

                                  <all>