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089603 1 (1976-05-07)

handle is hein.gao/gaobacvqu0001 and id is 1 raw text is: 


                  UNITED STATES GENERAL ACCOUNTING OFFICE
                          WASHINGTON, D.C. 2054B


MANPOWER AND WELFARE
     DIVISION                                   MAY 7  1976



   The Honorable  Terrel H. Bell
   Commissioner  of Education
   Office of  Education
   Department of  Health, Education,
     and Welfare

   Dear Dr. Bell:

        We  recently completed a limited survey of the Office  of
   Education's  State Student Incentive Grant program, authorized  by
   the Higher  Education Act of 1965, as amended  (20 U.S.C. 1070c).

        Our  survey was conducted at Office of Education headquarters
   and at State  scholarship agencies in Georgia, Illinois,  Maryland,
   Pennsylvania,  and Virginia.  These States received about  15 per-
   cent of program  funds in fiscal years 1974 and 1975.  The  survey
   objectives were  to determine

        --the program's  progress in meeting
          its legislative  objectives, and

        --the  efficiency of both the States' and
          Office  of Education's program administration.

   We did not  attempt to evaluate how the State grant program  inter-
   acts with  the other Office of Education student assistance  pro-
   grams.

        The program's  purpose is to assist States and  territories to
   initiate or  expand grant and scholarship programs for postsec-
   ondary education  students having substantial financial  need.
   Program funding  began in fiscal year 1974 for use in program
   year 1974-75.   Appropriations through fiscal year 1976  total $84
   million.

        The legislation  provides that funds be distributed  to a
   participating  State based on the ratio of the number  of students
   enrolled  at postsecondary institutions in that State  to the total
   number of  such students in all States.  Accordingly,  the Office of
   Education  has determined that enrollment includes students  attend-
   ing postsecondary  institutions (2- and 4-year public  and private
   and proprietary)  on at least a half-time basis.  Federal  funds
   must be matched  dollar for dollar by State funds.

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