Authority: Regional Grants and Contracts: Discretionary Inclusion: Eminent Scholars: Discretionary Inclusion; Funds for Excellence: Discretionary Inclusion; Outstanding Faculty Recognition Program: Discretionary Inclusion; Graduate and Undergraduate Assistance; § 23-38.19:1.

A. No amount, or part of an amount, listed for any subprogram in this appropriation shall be expended for any other subprogram in this appropriation.

Appropriations in this item are subject to the conditions specified in Paragraphs B, C, D, E and F hereof.

B. Eminent Scholars

1. This appropriation includes $6,571,960 the first year and $6,571,960 the second year from the general fund which is to be made available for attracting and retaining eminent scholars in institutions of higher education.

2. These sums shall be apportioned, in accordance with plans approved by the Secretary of Education, to institutions of higher education, to match the interest earned by endowments created for this purpose after June 30, 1966.

3. However, this stipulation shall not prohibit the appropriation and expenditure of interest earned on these endowments that exceed the match for the state appropriation.

C. Regional Grants and Contracts

1. Out of this appropriation the following sums for regional education and scholarships are made available, to be expended in accordance with agreements between the Commonwealth of Virginia and the Southern Regional Education Board and for additional places in other out-of-state institutions:

a. For library science scholarships, $67,500 the first year and $67,500 the second year from the general fund.

b. For optometry scholarships, $209,807 the first year and $209,807 the second year from the general fund.

c. For forensic science scholarships, $34,600 the first year and $34,600 the second year from the general fund.

d. For the Commonwealth of Virginia's participation in the Southern Regional Educational Board initiative to increase the number of minority doctoral graduates, $177,000 the first year and $177,000 the second year from the general fund.

2. Out of the amounts for Regional Grants and Contracts the following sums are made available for third-year and fourth-year students from Accomack and Northampton Counties: $60,000 the first year and $60,000 the second year from the general fund for tuition grants for attendance at Salisbury State College and the University of Maryland Eastern Shore, in the State of Maryland.

3. Out of the amounts for Regional Grants and Contracts the following sums are made available for forestry scholarships: $66,300 the first year and $66,300 the second year from the general fund, out of which shall be paid the cost differential in tuition for any Virginia student to pursue the third and/or fourth years in specialized courses in pulp and paper technology, and forest products or utilization at an accredited out-of-state school of forestry to which he is accepted, when such specialized courses leading to an accredited degree are not offered by a state institution of higher education in Virginia.

4. Pilot Transfer Program

a. Out of this appropriation, $350,000 in the first year from the general fund shall be allocated for the second year of a pilot transfer program involving graduates of the two-year college transfer programs of the community colleges and Richard Bland College, and up to three of the Commonwealth's independent institutions as determined by the State Council of Higher Education. The per student subsidy for students at an independent college participating in the pilot program shall be the lesser of $3,500 or 50 percent of the tuition and required fees at the independent college. This amount shall be deducted from tuition on behalf of the student. Participating students shall not be eligible for Tuition Assistance Grants. The first-year amount shall be used to support the senior year of eligible students who entered the independent institutions in 1995-96.

b. The State Council of Higher Education and the participating independent institutions shall evaluate the program and make recommendations for the program to the Governor prior to November 1, 1996. Evaluation of the program shall include information about the performance of the students enrolled in the pilot project, how the pilot program has relieved enrollment pressures at the public colleges and universities, how the pilot program has assisted place-bound students, and the financial aid needs of the participating students and how the independent institutions met that need. Based on that report and the approval of the Governor, $350,000 in the second year from the general fund is included in this appropriation to continue the program. Allotment of the second year funds is contingent upon approval by the Governor.

D. Funds for Excellence

Out of the amounts for Funds for Excellence sums are made available for implementing innovative approaches to higher education subject to the following conditions:

1. The State Council of Higher Education shall make awards of these sums to the state-supported institutions of higher education.

2. The apportionment will be based on the merits of proposals submitted by the institutions, detailing how the use of such funds will enhance their programs.

3. Beginning with the 1994-96 biennium:

a. No more than 10 percent of the annual amount available for distribution shall be awarded to any one four-year institution, any one two-year college, or any one community college.

b. To be eligible for an award, an institution must provide an appropriate cash or in-kind match.

c. Awards shall be made only to carry out innovative approaches to undergraduate education. Studies or projects designed to carry out central policies for higher education in general should be funded from the State Council's operating budget.

d. Requests to fund computer equipment shall document why current equipment cannot be used for the proposed project and document that no other source, public or private, is available to supply or finance computer equipment.

E. Outstanding Faculty Recognition Program

Out of this appropriation the following sums are made available to recognize excellence in teaching, research, and public service, subject to the following:

1. The State Council of Higher Education shall annually provide a grant of not more than $5,000 to no more than 13 faculty members selected to be honored under this program.

2. The faculty members shall be selected from public and private institutions of higher education in Virginia, but recipients of Outstanding Faculty Recognition Awards shall not be eligible for the Awards in subsequent years.

F. Virginia Graduate and Undergraduate Assistance Program

1. This appropriation includes $125,000 the first year and $125,000 the second year from the general fund for the Virginia Graduate and Undergraduate Assistance Program.

2. These sums shall be apportioned, in accordance with plans approved by the Secretary of Education, to institutions of higher education, to match interest earned on endowments created for this purpose after June 30, 1991, notwithstanding § 23-38.19:2, Code of Virginia.

3. However, this stipulation shall not prohibit the appropriation and expenditure of interest earned on these endowments that exceed the match for the state appropriation.