To amend the Higher Education Act of 1965 in order to assist and improve college and university libraries in the United States.

Amends the Higher Education Act of 1965 with respect to academic libraries in an electronic networked environment.

Authorizes appropriations for: (1) college library technology and cooperation grants; (2) library education, research, and development; and (3) improvement of access to research library resources.

Requires that such programs be administered in the Department of Education by appropriate experts in library technology, library education, and related fields.

Revises the program for college library technology and cooperation grants. Specifies networking as one category of such grants. Increases the amount of the minimum grant award. Sets a maximum grant award amount per institution for any grants to institutions of higher education which need special assistance for certain purposes. Directs the Secretary to give priority for special assistance grants to projects which assist those developing institutions seeking to link one or more institutions to resource sharing networks.

Revises the library education research, and development program to allow library education and human resource development grants to be used for educating and training persons in information science (as well as in library science), particularly in areas of critical needs such as recruitment and retention of minorities. Requires that fellowship and traineeship recipients demonstrate need and be working toward a graduate degree. Permits the use of research and demonstration grants for education in information science and enhancement of library services through effective and efficient use of new technologies. Directs the Secretary of Education, in making grants to institutions with major research libraries, to endeavor to achieve broad and equitable geographical distribution throughout the Nation. Prohibits any institution receiving such a grant from receiving a college library technology and cooperation grant.