((a)) ** Types of activities authorized** Grants awarded under this subchapter shall be used by Hispanic-serving institutions of higher education to assist the institutions to plan, develop, undertake, and carry out programs to improve and expand the institutions’ capacity to serve Hispanic students and other low-income students.

((b)) ** Authorized activities** Grants awarded under this section shall be used for one or more of the following activities:

((1)) Purchase, rental, or lease of scientific or laboratory equipment for educational purposes, including instructional and research purposes.

((2)) Construction, maintenance, renovation, and improvement in classrooms, libraries, laboratories, and other instructional facilities.

((3)) Support of faculty exchanges, faculty development, curriculum development, academic instruction, and faculty fellowships to assist in attaining advanced degrees in the fellow’s field of instruction.

((4)) Purchase of library books, periodicals, and other educational materials, including telecommunications program material.

((5)) Tutoring, counseling, and student service programs designed to improve academic success, including innovative and customized instruction courses (which may include remedial education and English language instruction) designed to help retain students and move the students rapidly into core courses and through program completion.

((6)) Articulation agreements and student support programs designed to facilitate the transfer from two-year to four-year institutions.

((7)) Funds management, administrative management, and acquisition of equipment for use in strengthening funds management.

((8)) Joint use of facilities, such as laboratories and libraries.

((9)) Establishing or improving a development office to strengthen or improve contributions from alumni and the private sector.

((10)) Establishing or improving an endowment fund.

((11)) Creating or improving facilities for Internet or other distance education technologies, including purchase or rental of telecommunications technology equipment or services.

((12)) Establishing or enhancing a program of teacher education designed to qualify students to teach in public elementary schools and secondary schools.

((13)) Establishing community outreach programs that will encourage elementary school and secondary school students to develop the academic skills and the interest to pursue postsecondary education.

((14)) Expanding the number of Hispanic and other underrepresented graduate and professional students that can be served by the institution by expanding courses and institutional resources.

((15)) Providing education, counseling services, or financial information designed to improve the financial literacy and economic literacy of students or the students’ families, especially with regard to student indebtedness and student assistance programs under subchapter IV.

((16)) Other activities proposed in the application submitted pursuant to that—

((A)) contribute to carrying out the purposes of this subchapter; and

((B)) are approved by the Secretary as part of the review and acceptance of such application.

((c)) ** Endowment fund limitations**

((1)) ** Portion of grant** A Hispanic-serving institution may not use more than 20 percent of the grant funds provided under this subchapter for any fiscal year for establishing or improving an endowment fund.

((2)) ** Matching required** A Hispanic-serving institution that uses any portion of the grant funds provided under this subchapter for any fiscal year for establishing or improving an endowment fund shall provide from non-Federal funds an amount equal to or greater than the portion.

((3)) ** Comparability** The provisions of part C of subchapter III regarding the establishment or increase of an endowment fund, that the Secretary determines are not inconsistent with this subsection, shall apply to funds used under paragraph (1).