20 U.S.C. § 1011k | Recovery of payments

(a)

Public benefit

October 7, 1998July 23, 1992Congress declares that, if a facility constructed with the aid of a grant under part A of subchapter VII as such part A was in effect prior to , or part B of such subchapter as part B was in effect prior to , is used as an academic facility for 20 years following completion of such construction, the public benefit accruing to the United States will equal in value the amount of the grant. The period of 20 years after completion of such construction shall therefore be deemed to be the period of Federal interest in such facility for the purposes of such subchapter as so in effect.

(b)

Recovery upon cessation of public benefit

October 7, 1998July 23, 1992If, within 20 years after completion of construction of an academic facility which has been constructed, in part with a grant under part A of subchapter VII as such part A was in effect prior to , or part B of subchapter VII as such part B was in effect prior to —

(1)

the applicant under such parts as so in effect (or the applicant’s successor in title or possession) ceases or fails to be a public or nonprofit institution; or

(2)

the facility ceases to be used as an academic facility, or the facility is used as a facility excluded from the term “academic facility” (as such term was defined under subchapter VII, as so in effect), unless the Secretary determines that there is good cause for releasing the institution from its obligation,

the United States shall be entitled to recover from such applicant (or successor) an amount which bears to the value of the facility at that time (or so much thereof as constituted an approved project or projects) the same ratio as the amount of Federal grant bore to the cost of the facility financed with the aid of such grant. The value shall be determined by agreement of the parties or by action brought in the United States district court for the district in which such facility is situated.

(c)

Prohibition on use for religion

October 7, 1998Notwithstanding the provisions of subsections (a) and (b), no project assisted with funds under subchapter VII (as in effect prior to ) shall ever be used for religious worship or a sectarian activity or for a school or department of divinity.

Pub. L. 89–329, title I, § 122 Pub. L. 105–244, title I, § 101(a)Oct. 7, 1998112 Stat. 1601 (, as added , , .)

Editorial Notes

References in Text

Oct. 1, 1992Pub. L. 102–325, title VIIJuly 23, 1992106 Stat. 738–753 Oct. 1, 1998Pub. L. 105–244, title VII, § 701Oct. 7, 1998112 Stat. 1786 Subchapter VII, referred to in text, was amended, effective , by , §§ 703–707(a), , , by amending parts A to C generally, repealing part D, and redesignating former part E as D, and was further amended generally, effective , by , , , by substituting provisions relating to graduate and post-secondary improvement programs for former provisions relating to construction, reconstruction, and renovation of academic facilities.

Prior Provisions

section 1132i of this title Pub. L. 105–244Provisions similar to this section were contained in prior to the general amendment of subchapter VII of this chapter by .

section 122 of Pub. L. 89–329 Pub. L. 99–498, title I, § 101Oct. 17, 1986100 Stat. 1286 section 1016a of this title Pub. L. 102–325A prior , title I, as added , , , limited funds authorized to be appropriated and was classified to , prior to the general amendment of this subchapter by .