; and (2) not more than 5 percent of the total amount received under this section to create articulation agreements between 2-year and 4-year institutions of higher education, in order to enhance collaboration and strengthen the transition pathways between such institutions for transfer students. (g) Special conditions and prohibitions (1) Availability to students A State, institution of higher education, or system of higher education receiving a grant or subgrant, as the case may be, under this section shall not charge any student an additional fee or charge to participate in the activities or services supported under this section. (2) Prohibited uses A State, institution of higher education, or system of higher education receiving a grant or subgrant, as the case may be, under this section shall not use any grant or subgrant funds for tuition, fees, room and board, or any other purpose outside the goals of the grant. (3) FERPA requirements Each State, institution of higher education, or system of higher education receiving a grant or subgrant, respectively, under this section that enters into a contract or other agreement with any outside entity to assist in carrying out the activities or services under such grant or subgrant, shall ensure that the outside entity complies with all requirements of section 444 of the General Education Provisions Act (commonly referred to as the Family Educational Rights and Privacy Act of 1974 ) that would apply to the State, institution, or system. (4) Coordination A State receiving a grant under this section shall ensure the coordination of the activities and services carried out under this section with any other activities carried out in the State that are similar to the goals of this program, and with any other entities that support the existing activities in the State, with the goal of minimizing duplication. (h) Report (1) In general A State receiving a grant under this section shall prepare and submit an annual report to the Secretary on the activities and services carried