; and (ii) 25 percent of the institutional graduate student need (as determined under subparagraph (D)) for the preceding award year. (C) Institutional undergraduate student need calculation The institutional undergraduate student need for a participating institution for an award year shall be equal to the sum of the following: (i) An amount equal to 50 percent of the amount that bears the same proportion to the amount made available under subparagraph (A) for such award year as the total amount of Federal Pell Grant funds awarded at the participating institution for the preceding award year bears to the total amount of Federal Pell Grant funds awarded at all participating institutions for the preceding award year. (ii) An amount equal to 50 percent of the amount that bears the same proportion to the amount made available under subparagraph (A) for such award year as the total amount of the undergraduate student need at the participating institution for the preceding award year bears to the total amount of undergraduate student need at all participating institutions for the preceding award year. (D) Institutional graduate student need calculation The institutional graduate student need for a participating institution for an award year shall be equal to the amount that bears the same proportion to the amount made available under subparagraph (A) for such award year as the total amount of the graduate student need at the participating institution for the preceding award year bears to the total amount of graduate student need at all participating institutions for the preceding award year. (2) No funds to non-participating institutions The Secretary shall not make funds available under this subsection to any eligible institution that is not a participating institution. (3) Required minimum amount In no case shall the sum of a participating institution’s allocation of loan authority computed under paragraph (1)(B) be less than the average of the institution’s total principal amount of loans made under this part for