article: SECTION 1. EARLY FEDERAL PELL GRANT COMMITMENT DEMONSTRATION PROGRAM. Subpart 1 of part A of title IV of the Higher Education Act of 1965 (20 U.S.C. 1070a et seq.) is amended by adding at the end the following: ``SEC. 401B. EARLY FEDERAL PELL GRANT COMMITMENT DEMONSTRATION PROGRAM. ``(a) Demonstration Program Authority.-- ``(1) In general.--The Secretary is authorized to carry out an Early Federal Pell Grant Commitment Demonstration Program under which-- ``(A) the Secretary awards grants to 4 State educational agencies, in accordance with paragraph (2), to pay the administrative expenses incurred in participating in the demonstration program under this section; and ``(B) the Secretary awards Federal Pell Grants to participating students in accordance with this section. ``(2) Grants.-- ``(A) In general.--From amounts appropriated under subsection (g) for a fiscal year, the Secretary is authorized to award grants to 4 State educational agencies to enable the State educational agencies to pay the administrative expenses incurred in participating in a demonstration program under which students in 8th grade who are eligible for a free or reduced price meal receive a commitment to receive a Federal Pell Grant early in their academic careers. ``(B) Equal amounts.--The Secretary shall award grants under this section in equal amounts to each of the 4 participating State educational agencies. ``(b) Demonstration Project Requirements.--Each of the 4 demonstration projects assisted under this section shall meet the following requirements: ``(1) Participants.-- ``(A) In general.--The State educational agency shall make participation in the demonstration project available to 2 cohorts of students, which shall consist of-- ``(i) 1 cohort of 8th grade students who begin the participation in academic year 2007- 2008; and ``(ii) 1 cohort of 8th grade students who begin the participation in academic year 2008- 2009. ``(B) Students in each cohort.--Each cohort of students shall consist of not more than 10,000 8th grade students who qualify for a free or reduced price meal under the Richard B. Russell National School Lunch Act or the Child Nutrition Act of 1966. ``(2) Student data.--The State educational agency shall ensure that student data from local educational agencies serving students who participate in the demonstration project, as well as student data from local educational agencies serving a comparable group of students who do not participate in the demonstration project, are available for evaluation of the demonstration project. ``(3) Federal pell grant commitment.--Each student who participates in the demonstration project receives a commitment from the Secretary to receive a Federal Pell Grant during the first academic year that student is in attendance at an institution of higher education as an undergraduate, if the student applies for Federal financial aid (via the FAFSA) during the student's senior year of secondary school and during succeeding years. ``(4) Applicability of federal pell grant requirements.-- The requirements of section 401 shall apply to Federal Pell Grants awarded pursuant to this section, except that the amount of each participating student's Federal Pell Grant only shall be calculated by deeming such student to have an expected family contribution equal to zero. ``(5) Application process.--The Secretary shall establish an application process to select State educational agencies to participate in the demonstration program and State educational agencies shall establish an application process to select local educational agencies within the State to participate in the demonstration project. ``(6) Local educational agency participation.--Subject to the 10,000 statewide student limitation described in paragraph (1), a local educational agency serving students, not less than 50 percent of whom are eligible for a free or reduced price meal under the Richard B. Russell National School Lunch Act or the Child Nutritional Act of 1966, shall be eligible to participate in the demonstration project. ``(c) State Educational Agency Applications.-- ``(1) In general.--Each State educational agency desiring to participate in the demonstration program under this section shall submit an application to the Secretary at such time and in such manner as the Secretary may require. ``(2) Contents.--Each application shall include-- ``(A) a description of the proposed targeted information campaign for the demonstration project and a copy of the plan described in subsection (f)(2); ``(B) a description of the student population that will receive an early commitment to receive a Federal Pell Grant under this section; ``(C) an assurance that the State educational agency will fully cooperate with the ongoing evaluation of the demonstration project; and ``(D) such other information as the Secretary may require. ``(d) Selection Considerations.-- ``(1) Selection of state educational agencies.--In selecting State educational agencies to participate in the demonstration program, the Secretary shall consider-- ``(A) the number and quality of State educational agency applications received; ``(B) the Department's capacity to oversee and monitor each State educational agency's participation in the demonstration program; ``(C) a State educational agency's-- ``(i) financial responsibility; ``(ii) administrative capability; ``(iii) commitment to focusing State resources, in addition to any resources provided under part A of title I of the Elementary and Secondary Education Act of 1965, on students who receive assistance under such part A; ``(iv) the ability and plans of a State educational agency to run an effective and thorough targeted information campaign for students served by local educational agencies eligible to participate in the demonstration project; and ``(v) ensuring the participation in the demonstration program of a diverse group of students with respect to ethnicity and gender. ``(2) Local educational agency.--In selecting local educational agencies to participate in a demonstration project under this section, the State educational agency shall consider-- ``(A) the number and quality of local educational agency applications received; ``(B) the State educational agency's capacity to oversee and monitor each local educational agency's participation in the demonstration project; ``(C) a local educational agency's-- ``(i) financial responsibility; ``(ii) administrative capability; ``(iii) commitment to focusing local resources, in addition to any resources provided under part A of title I of the Elementary and Secondary Education Act of 1965, on students who receive assistance under such part A; ``(iv) the ability and plans of a local educational agency to run an effective and thorough targeted information campaign for students served by the local educational agency; and ``(v) ensuring the participation in the demonstration project of a diverse group of students with respect to ethnicity and gender. ``(e) Evaluation.-- ``(1) In general.--From amounts appropriated under section (g) for a fiscal year, the Secretary shall reserve not more than $1,000,000 to award a grant or contract to an organization outside the Department for an independent evaluation of the impact of the demonstration program assisted under this section. ``(2) Competitive basis.--The grant or contract shall be awarded on a competitive basis. ``(3) Matters evaluated.--The evaluation described in this subsection shall-- ``(A) determine the number of individuals who were encouraged by the demonstration program to pursue higher education; ``(B) identify the barriers to the effectiveness of the demonstration program; ``(C) assess the cost-effectiveness of the demonstration program in improving access to higher education; ``(D) identify the reasons why participants in the demonstration program either received or did not receive a Federal Pell Grant; ``(E) identify intermediate outcomes (relative to postsecondary education attendance), such as whether participants-- ``(i) were more likely to take a college- prep curriculum while in secondary school; ``(ii) submitted any college applications; and ``(iii) took the PSAT, SAT, or ACT; ``(F) identify the number of individuals participating in the demonstration program who pursued an associate's degree or a bachelor's degree, as well as other forms of postsecondary education; ``(G) compare the findings of the demonstration program with respect to participants to comparison groups (of similar size and demographics) that did not participate in the demonstration program; and ``(H) identify the impact on the parents of students eligible to participate in the demonstration program. ``(4) Dissemination.--The findings of the evaluation shall be widely disseminated to the public by the organization conducting the evaluation as well as by the Secretary. ``(f) Targeted Information Campaign.-- ``(1) In general.--Each State educational agency receiving a grant under this section shall, in cooperation with the participating local educational agencies within the State and the Secretary, develop a targeted information campaign for the demonstration program assisted under this section. ``(2) Plan.--Each State educational agency receiving a grant under this section shall include in the application submitted under subsection (c) a written plan for their proposed targeted information campaign. The plan shall include the following: ``(A) Outreach.--Outreach to students and their families, at a minimum, at the beginning and end of each academic year of the demonstration project. ``(B) Distribution.--How the State educational agency plans to provide the outreach described in subparagraph (A) and to provide the information described in subparagraph (C). ``(C) Information.--The annual provision by the State educational agency to all students and families participating in the demonstration program of information regarding-- ``(i) the estimated statewide average higher education institution cost data for each academic year, which cost data shall be disaggregated by-- ``(I) type of institution, including-- ``(aa) 2-year public colleges; ``(bb) 4-year public colleges; and ``(cc) 4-year private colleges; ``(II) by component, including-- ``(aa) tuition and fees; and ``(bb) room and board; ``(ii) Federal Pell Grants, including-- ``(I) the maximum Federal Pell Grant for each academic year; ``(II) when and how to apply for a Federal Pell Grant; and ``(III) what the application process for a Federal Pell Grant requires; ``(iii) State-specific college savings programs; ``(iv) State-based merit aid; ``(v) State-based financial aid; and ``(vi) Federal financial aid available to students, including eligibility criteria for the Federal financial aid and an explanation of the Federal financial aid programs. ``(3) Cohorts.--The information described in paragraph (2)(C) shall be provided to 2 cohorts of students annually for the duration of the students' participation in the demonstration program. The 2 cohorts shall consist of-- ``(A) 1 cohort of 8th grade students who begin the participation in academic year 2007-2008; and ``(B) 1 cohort of 8th grade students who begin the participation in academic year 2008-2009. ``(4) Reservation.--Each State educational agency receiving a grant under this section shall reserve $200,000 of the grant funds received each fiscal year for each of the 2 cohorts of students (for a total reservation of $400,000 each fiscal year) served by the State to carry out their targeted information campaign described in this subsection. ``(g) Authorization of Appropriations.--There are authorized to be appropriated to carry out this section-- ``(1) $1,300,000 for fiscal year 2008, of which-- ``(A) $500,000 shall be available to carry out subsection (e); and ``(B) $800,000 shall be available to carry out subsection (f)(2)(C); ``(2) $1,600,000 for fiscal year 2009, of which $1,600,000 shall be available to carry out subsection (f)(2)(C); ``(3) $1,600,000 for fiscal year 2010, of which $1,600,000 shall be available to carry out subsection (f)(2)(C); ``(4) $2,100,000 for fiscal year 2011, of which-- ``(A) $500,000 shall be available to carry out subsection (e); and ``(B) $1,600,000 shall be available to carry out subsection (f)(2)(C); ``(5) $1,600,000 for fiscal year 2012, of which $1,600,000 shall be available to carry out subsection (f)(2)(C); ``(6) $14,600,000 for fiscal year 2013, of which-- ``(A) $800,000 shall be available to carry out subsection (f)(2)(C); and ``(B) $13,800,000 shall be available for Federal Pell Grants provided in accordance with this section; and ``(7) $13,800,000 for fiscal year 2014, of which $13,800,000 shall be available for Federal Pell Grants provided in accordance with this section.''.
summary: Amends the Higher Education Act of 1965 to authorize an Early Federal Pell Grant Demonstration Program. Directs the Secretary of Education to award grants to four states to cover administrative expenses incurred in the program. Limits a state to a cohort of up to 10,000 of its eighth grade students who are eligible for a free or reduced price meal under the Richard B. Russell National School Lunch Act or the Child Nutrition Act of 1966. Provides for a cohort for each of the academic years 2007-2008 and 2008-2009. Declares that each student who participates in the demonstration project receives a commitment to receive a Pell Grant during their first year of undergraduate study at an institution of higher education, subject to a specified condition. Requires state grantees to choose local educational agencies to participate in the program from among those serving students at least half of whom are eligible for free or reduced price meals. Calculates participating students' Pell Grants by deeming them to have no expected family contribution. Directs the Secretary to arrange for an independent evaluation of the demonstration program's effectiveness in providing needy students with access to, and an incentive to pursue, higher education. Requires state grantees annually to provide program participants with information concerning college costs, Pell Grants, state college savings programs, and other state and federal aid programs.