; and (B) by striking equal to the Federal funds and inserting equal to 50 percent of the Federal funds ; and (2) by inserting after subparagraph (C) the following: (D) Scholarships An eligible institution that uses grant funds provided under this section to establish or increase an endowment fund may use the interest proceeds from such endowment to provide scholarships to students for the purposes of attending such institution. . (c) Definition of student count; use of unexpended funds; elimination of pre-Approval requirement Section 316(d) of the Higher Education Act of 1965 ( 20 U.S.C. 1059c(d) ) is amended— (1) by striking paragraph (1); (2) by redesignating paragraphs (2) through (4) as paragraphs (1) through (3), respectively; and (3) in paragraph (2), as so redesignated— (A) in subparagraph (B)(i)(I), by striking based on the respective Indian student counts (as defined in section 2(a) of the Tribally Controlled Colleges and Universities Assistance Act of 1978 ( 25 U.S.C. 1801(a) ) of the Tribal Colleges and Universities. and inserting based on the respective full-time equivalent of all enrolled students.