(1) Except as provided in paragraph (3), from the funds received by it for such purpose under this subpart, an institution which awards a supplemental grant to a
student for an academic year under this subpart shall, for each year, pay to that
student an amount not to exceed the lesser of
(A) the amount determined by the institution, in accordance with the provisions of part E of this subchapter, to be needed by that
student to enable the
student to pursue a course of study at the institution or in a program of study abroad that is approved for credit by the institution at which the
student is enrolled, or
(B) $4,000.
(2) If the amount determined under paragraph (1) with respect to a
student for any academic year is less than $100, no payment shall be made to that
student for that year. For a
student enrolled for less than a full academic year, the minimum payment required shall be reduced proportionately.
(3) For students participating in study abroad programs, the institution shall consider all reasonable costs associated with such study abroad when determining
student eligibility. The amount of grant to be awarded in such cases may exceed the maximum amount of $4,000 by as much as $400 if reasonable study abroad costs exceed the cost of attendance at the home institution.
