20 U.S.C. § 1135d — Additional assistance for cost of education

(a) Institutional payments (1) In general The Secretary must (in addition to stipends paid to people under this subpart) pay to the institution of higher education, for each person awarded a fellowship under this subpart at that institution, an institutional allowance. Except as provided in paragraph (2), that allowance must be, for 2009–2010 and succeeding academic years, the same amount as the institutional payment made for 2008–2009 adjusted annually thereafter under inflation as determined by the Department of Labor’s Consumer Price Index for the previous calendar year. (2) Reduction The institutional allowance paid under paragraph (1) must be reduced by the amount the institution charges and collects from a fellowship recipient for tuition and other expenses as part of the recipient’s instructional program. (b) Use for overhead prohibited Funds made available under this subpart may not be used for the general operational overhead of the academic department or program.