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National Service Trust Act of 1993 Summary of Legislation
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National Service Trust Act of 1993 Summary of Legislation
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National Service Trust Act of 1993 Summary of Legislation
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1
NATIONAL SERVICE TRUST ACT OF 1993
SUMMARY
The National Service Trust Act of 1993 has four titles.
Title I contains programs: the new national service program
offering educational awards in return for service; amendments to
service programs for school-age youth and students in
institutions of higher education; and an investment fund to
promote quality and innovation in programming. Title I amends the
National and Community Service Act of 1990 ("NCSA").
Title II establishes the organizational framework for these
programs: State Commissions on National Service and a Federal
Corporation for National Service. Title II also amends the NCSA.
Title III reauthorizes the NCSA and the Domestic Volunteer
Service Act of 1973 ("DVSA"), amends DVSA and authorizes
appropriations for titles I and II of the Act.
Title IV contains the technical and conforming amendments.
SECTION-BY-SECTION SUMMARY
Section 1. Short Title and Table of Contents.
The short title of the bill is the National Service Trust
Act of 1993.
Section 2. Findings and Purposes.
The Congress finds the following:
(1) Throughout the United States, there are pressing unmet
human, educational, environmental and public safety needs.
(2) Americans desire to affirm common responsibilities and
shared values that transcend race, religion, or region.
(3) The rising costs of post-secondary education are
putting higher education out of reach for an increasing number of
citizens.
(4) Americans of all ages can improve their communities and
become better citizens through service to the United States.
(5) Nonprofit organizations, local governments, States, and
the Federal Government are already supporting a wide variety of
national service programs that deliver needed services in a cost-
effective manner.
It is the purpose of this Act to --
1
(1) meet the unmet human, educational, environmental, and
public safety needs of the United States, without displacing
existing workers;
(2) renew the ethic of civic responsibility and the spirit
of community throughout the United States;
(3) expand educational opportunity by rewarding individuals
who participate in national service with an increased ability to
pursue higher education or job training;
(4) encourage citizens of the United States, regardless of
age or income, to engage in full-time or part-time national
service;
(5) reinvent government to eliminate duplication, support
locally established initiatives, require measurable goals for
performance, and offer flexibility in meeting those goals;
(6) build on the existing organizational service
infrastructure of Federal State, and local programs and agencies
to expand full-time and part-time service opportunities for all
citizens; and
(7) provide tangible benefits to the communities in which
national service is performed.
TITLE I -- PROGRAMS AND RELATED PROVISIONS
Subtitle A -- Programs
Section 101. Federal Investment in Support of National Service.
Section 101 replaces Subtitle C of the NCSA with a new
National Service Program.
Subtitle C -- National Service Program
PART I -- INVESTMENT IN NATIONAL SERVICE
Section 121.¹ Authority To Provide Assistance and Approved
National Service Positions.
The Corporation for National Service ("Corporation") may
provide assistance to organizations in order to carry out, or
make grants to carry out, national service programs. The
Corporation will provide educational awards to participants of
any program that receives such program assistance. Organizations
eligible to apply for assistance to carry out programs include
nonprofit organizations, institutions of higher education, school
districts, local governments, States and Federal agencies.
1
Underlined section numbers indicate sections of this Act.
Non-underlined section numbers indicate amended sections of the
National and Community Service.
2
Not more than 5 percent of program assistance may be used
for administrative costs.
Federal assistance to programs under section 121, exclusive
of stipends and health and child care assistance (covered in
section 140), may not exceed 75 percent of total program costs.
The program will provide the other 25 percent in cash or in kind.
If inadequate financial resources are available at the local
level, the Corporation may waive this match requirement and the
other match requirements contained in section 140.
Section 122. Types of National Service Programs Eligible for
Program Assistance.
A variety of national service programs will be eligible to
receive funding. Programs will provide opportunities for full-
or part-time service that meets unmet human, educational,
environmental or public safety needs. Section 122 lists a number
of examples of qualified programs, to which the Corporation may
add others: (1) diverse community corps; (2) youth corps; (3)
service-learning programs; (4) specialized services programs; (5)
individualized placement programs with regular group activities;
(6) campus-based programs; (7) preprofessional programs with
summer training while in college; (8) professional corps; (9)
youthbuild programs; (10) national service entrepreneurship
programs; (11) intergenerational programs.
In consultation with experts in the fields, the Corporation
will establish different quality criteria for different types of
programs. The Corporation's criteria will apply to all grants
made under the Act, including grants by States and other programs
operating subgranting programs.
To focus national service programs on meeting particular
needs and for other purposes consistent with the Act, the
Corporation may establish priorities for the types of national
service programs to be assisted. The Corporation will provide
prompt notice of these priorities and any changes in these
priorities.
Section 123. Types of National Service Positions Eligible for
Approval for National Service Educational Awards.
All participants in programs that receive assistance will
receive educational awards. In addition, participants in certain
other service programs will be eligible for educational awards.
The following categories, to which the Corporation may add
others, will be eligible to receive educational awards: (1)
positions as participants in programs receiving assistance under
Section 121; (2) positions in approved national service programs
not receiving assistance; (3) positions as VISTA volunteers; (4)
positions as service-learning coordinators in programs receiving
3
assistance under the Serve-America program; (5) positions in the
Civilian Conservation Corps; (6) positions as crew leaders in
youth corps programs or other similar positions in national
service programs.
Section 124. Types of Program Assistance.
The Corporation may make several kinds of grants. Non-
renewable planning grants will be available for one year.
Renewable operating grants and renewable replication grants will
be available for up to three years. States and other
organizations operating grant programs may provide the same types
of assistance through subgrants.
Section 125. Training and Technical Assistance.
The Corporation is authorized to provide training and
technical assistance, either directly, or by grant or contract.
Training programs will help national service programs meet unmet
needs, develop leaders, instill an ethic of civic responsibility
in participants, improve their own management and budgetary
skills, and enhance the training of participants. Technical
assistance will help applicants develop programs and apply for
assistance.
Section 126. Other Special Assistance.
The Corporation may also provide assistance for several
other purposes. The Corporation is authorized to provide
assistance to a State to establish and operate a State
Commission. Corporation assistance will provide 85 percent of the
total cost of a Commission in the first year, declining at a rate
determined by the Corporation to not more than 50 percent of the
total cost in the fifth and any subsequent year.
The Corporation may provide assistance to corps and other
national service programs in order to provide disaster relief.
The Corporation may make challenge grants that offer $1 of
assistance for each $1 in cash raised by a national service
program from private sources. The Corporation will establish a
ceiling on the amount of assistance through challenge grants, and
establish criteria to ensure that they are made widely available
to a variety of high-quality programs.
Section 129 (c) establishes a limit on appropriations for
challenge grants of $10,000,000 in a fiscal year.
PART II -- APPLICATION AND APPROVAL PROCESS
Section 129. Provision of Assistance and Approved National
Service Positions by Competitive and Other Means.
4
National service programs must apply to the Corporation
through State Commissions on National Service ("State
Commissions") or directly. The Corporation may only distribute
such funds as are available in each fiscal year. Funds allocated
for educational awards will be maintained in a separate National
Service Trust and will not be available for program expenses.
Program funds and educational awards will be made available
in three ways: (a) by formula to States; (b) competitively to
States; and (c) competitively to entities (including States)
applying directly to the Corporation.
(a) One-third of program assistance and a corresponding
number of educational awards, will be allocated to States based
on population (one percent of all program assistance will be
reserved for Indian tribes and territories).
(b) Not less than one-third of program assistance and a
corresponding number of approved positions will be available to
States on a competitive basis. With their applications for
formula funding, States may include an application for additional
competitive funding.
(c) Up to one-third of program assistance and a
corresponding number of approved positions funds will be
allocated competitively by the Corporation. Priorities for funds
allocated under this section are contained in section 133.
Participants in programs operated directly by the
Corporation -- VISTA and the Civilian Community Corps -- will
automatically receive educational awards in any year when the
total number of educational awards is at least twice the total
number of such participants.
Individuals, corporations, foundations or other entities may
sponsor approved positions in designated areas. Such sponsored
positions will not be taken into account when the Corporation
allocates Federally-funded positions, and such funds will be
deposited in the National Service Trust.
If a State does not apply to the Corporation for an
allocation, the Corporation may use the funds that the State
would have received to make grants in that State and,
subsequently, to make grants in other States.
Section 130. Application for Assistance and Approved National
Service Positions.
In order to be eligible for program assistance and approved
positions, entities must submit applications either to State
Commissions or directly to the Corporation. The Corporation may
set reasonable deadlines and require reasonable information to be
5
provided in such applications, including descriptions of: (1)
programs to be carried out directly by the applicant; (2)
programs selected to receive grants; (3) other funding sources
that the program sought to use or used, particularly in the case
of an application for renewed funding; (4) the extent to which
the program will meet unmet needs and directly benefit the
community in which projects are performed; (5) the plan to
recruit participants, including economically disadvantaged
youths, for the programs supported; (6) the manner in which the
programs will build on existing programs; (7) the manner in which
the program will develop an ethic of civic responsibility in
participants; improve the lives of participants through training,
meaningful service experiences, and opportunities to reflect on
those experiences; and offer participants opportunities to design
and lead programs; (8) measurable goals for meeting unmet needs
and providing a meaningful service experience, and a strategy to
meet those goals; (9) the extent to which the program meets the
national service priorities established under section 122 (c) ;
(10) the past experience of the applicant; (11) the type and
number of national service positions that the participant
requests; (12) the extent to which participants, representatives
of the community served, community-based organizations and labor
organizations contributed to the program's development, including
the identity of the labor representative and the nature of the
consultation with him or her; and (13) such other information as
the Corporation may require.
In the case of applications for educational awards that do
not request program assistance, the Corporation may require
special application requirements.
In general, State Commissions will submit applications on
behalf of States. In submitting these applications, State
Commissions must provide an assurance that they have selected all
programs on a competitive basis. They must also provide an
assurance that not less than 60 percent of assistance is provided
to programs that are not run by the State. In the event that
insufficient qualified applications are submitted by non-State
applicants, additional funds may be requested for programs
administered directly by the State.
An application shall include written concurrence from any
local labor organization representing employees of the applicant
who are engaged in the same or substantially similar work as the
work proposed to be carried out.
The Corporation will reject the application of a program if
another application of the program is already pending before the
Corporation.
6
Section 131. National Service Program Assistance Requirements.
In order to be eligible for assistance, programs must
provide assurances regarding: (1) the positive impact of service
on communities and compliance with the nondisplacement and
nonduplication requirements of section 177; (2) the positive
impact of service on participants; (3) broad consultation with
representatives of the community served and community-based
organizations there; labor organizations representing employees
engaged in similar work, to ensure compliance with
nondisplacement provisions; and, in the case of programs not
funded through the States, the State Commission for the State
where the program is located; (4) development of performance
goals, arrangement of an independent evaluation, and compliance
with evaluation requirements; (5) provision of a living
allowance; (6) willingness to select some participants from among
prospective participants recruited at the State and national
level under section 138 (c), including the national leadership
pool recruited and trained by the Corporation.
Section 132. Ineligible Service Categories.
National service programs may not provide direct benefits to
businesses organized for profit, labor unions, or partisan
political organizations. Benefits may be provided to religious
organizations only if assistance is not used for and participants
do not provide religious instruction, conduct worship services,
or proselytize.
Section 133. Consideration of Applications.
The Corporation, States, and other applicants operating
subgrant programs will use the following criteria in determining
whether to provide assistance and approved slots to programs: (1)
program quality; (2) innovation and replicability; (3)
sustainability; (4) leadership quality, past performance, and the
extent to which new programs build on existing programs; (5)
involvement of participants and community residents in program
design, leadership and operations; (6) the extent to which
programs are in areas that most need them, such as enterprise
zones, environmentally distressed areas, or areas adversely
affected by reductions in defense spending; (7) in the case of
applicants other than States, consistency with applications under
section 130 of the State in which projects would be funded; and
(8) other criteria established by the Corporation.
The Corporation will also ensure that programs receiving
assistance are geographically diverse and in urban and rural
areas of States with the highest rates of poverty. Among programs
applying directly to the Corporation, the Corporation may
designate certain programs for priority consideration, such as:
(1) programs carried out by other Federal agencies; (2) programs
7
addressing national priorities; (3) innovative programs; (4)
private non-profit programs which would replicate in several
States a model already operating in at least one State; (5)
national grant programs operated by nonprofit organizations with
established expertise in national service or in providing
particular services; and (6) professional corps.
If the Corporation rejects the application of a State
Commission, the Corporation will promptly notify the Commission
of the reasons for the rejection. The Corporation must then
provide the Commission with reasonable opportunity to revise and
resubmit the application, and with technical assistance if the
Commission requests. If the request of a State Commission is
again rejected, the Corporation may reallocate funds to make
grants directly to programs in that State and, subsequently, to
programs in other States.
PART III -- NATIONAL SERVICE PARTICIPANTS
Section 137. Description of Participants.
In order to participate in a national service program, an
individual must in general be 17 years of age or older, a citizen
or permanent resident, have a high school diploma or agree to
obtain one while serving, meet eligibility requirements for the
particular program, and be selected by that program.
Out-of-school youths ages 16 to 25 are eligible to
participate in youth corps or youthbuild programs.
Section 138. Selection of National Service Participants.
In general, a program that receives assistance or approved
positions will be responsible for selecting participants. In
addition to ensuring that participants satisfy eligibility
requirements under section 137, programs must select participants
without regard to political affiliation, race, color, national
origin, sex, age, or disability.
Participants may serve for a second term of service only if
they have satisfactorily completed their first term of service.
While individual programs will be responsible for most
recruiting, the Corporation and State Commissions will establish
a recruiting and placement system from which programs may be
required to recruit a portion of their participants under section
131 (f) The Corporation and State Commissions will also
disseminate information about national service through
cooperation with secondary schools, institutions of higher
education, employment service offices, and other appropriate
entities, particularly those that provide outreach to
disadvantaged youths.
8
From among individuals it recruits, the Corporation will
establish a national leadership pool and training program. The
Corporation will make special efforts to include in the
leadership pool individuals who have served in the Peace Corps,
as VISTA volunteers, or in national service programs assisted
under section 121. The Corporation will assign these leaders to
national service programs that request them, in order to lead the
programs in ways not carried out by regular participants.
Section 139. Terms of Service.
In general, in order to receive an educational award, an
individual must serve either full-time (not less than 1,700 hours
over 9 months to 1 year) or part-time (not less than 1,700 hours
over 1 to 2 years). The Corporation is authorized to develop
guidelines for part-time participants to complete fewer hours of
service and receive a correspondingly smaller educational award.
Participants may be released by recipients of assistance
from completing a term of service for compelling personal reasons
or for cause. Participants released for compelling personal
reasons may be eligible for partial educational awards;
participants released for cause are not eligible for awards.
Section 140. Living allowances for national service participants.
All programs must provide living allowances within specified
guidelines. The provisions are designed to permit a great deal
of flexibility in designing programs which are attractive and
accessible to a wide range of potential participants in widely
differing economic circumstances, including college graduates,
high school graduates, and high school drop-outs who enroll in
high school equivalency programs.
The Corporation will support 85 percent of the living
allowances up to the total amount of the VISTA average annual
subsistence allowance, which is comparable to a minimum age
stipend. For living allowances up to the VISTA average annual
subsistence allowance, the program must provide the other 15
percent.
Programs may offer stipends up to twice this target stipend
level, but the Corporation will not match any amount in excess of
the total of the VISTA subsistence allowance.
Living allowances may be prorated in the case of part-time
participants who serve a reduced term of service. Living
allowances will not count in determining eligibility for any
benefits or assistance.
To encourage professional corps in underserved communities,
programs may provide living allowances above 200 percent of the
9
VISTA living allowance and stipend. In such instances, however,
the Corporation will provide no contributions toward such
stipends, and applications for this assistance will be approved
by the Corporation on a case-by-case, competitive basis.
The Corporation will also provide assistance to pay 85
percent of the cost of a basic health insurance policy for each
full-time participant who is not otherwise covered by a health
insurance policy. The Corporation will establish the contents of
the basic health insurance policy. The program must pay the other
15 percent of health care premium costs.
The Corporation will also make child care or a child care
allowance available for full-time participants who require such
services. The Corporation will establish guidelines for the
availability of child care.
The Corporation may waive the limitations on the Federal
share in this section due to lack of available financial
resources for a program.
Section 141. National Service Educational Awards.
In general, a participant in a national service program will
be eligible for an educational award if he or she serves in an
approved position and satisfies eligibility requirements under
section 146. VISTA volunteers shall not be eligible to receive
awards if they accept the VISTA readjustment allowance.
Section 102. National Service Trust and provision of national
service educational awards.
Section 102 replaces Subtitle D of the NCSA with the National
Service Trust.
Subtitle D -- National Service Trust and
Provision of National Service Educational Awards
Section 145. Establishment of the National Service Trust.
The National Service Trust is established as an account in
the United States Treasury. Funds in the Trust are available for
educational awards. The Trust consists of: (1) amounts designated
by the Corporation for educational awards, and for payment of
interest expenses under section (e), from amounts appropriated to
the Corporation and made available for this subtitle; (2) amounts
received by the Corporation as gifts, bequests, or in other such
ways; and (3) interest on, and proceeds from sale or redemption
of, any obligations held by the Trust.
10
The Secretary of the Treasury will invest amounts
appropriated to the Trust in interest-bearing obligations.
The Corporation will report to Congress every year on the
financial status of the Trust.
Section 146. Individuals Eligible to Receive a National Service
Educational Award from the Trust.
Individuals who complete a term of service in approved
national service positions will be eligible for an educational
award for each of up to two terms of service. Individuals may
participate in programs for more than two terms, but will not be
eligible for educational awards after the second term of service.
Awards must be used within five years after the completion
of service. The Corporation may waive this requirement if an
individual was unavoidably prevented from using the award or
performed another term of service during that period.
Section 147. Determination of the Amount of the National Service
Educational Award.
Educational awards of $5,000 will be provided for each term
of service. For individuals released from service for compelling
personal reasons, a partial award will be available.
Section 148. Disbursement of National Service Educational Awards.
Individuals may use educational awards to repay student
loans, to pay for attendance at an institution of higher
education, or to pay for expenses in an approved school-to-work
program.
An individual who wants to use his or her educational award
to repay loans will submit an application, in a manner prescribed
by the Corporation, that identifies or enables the Corporation
easily to identify the holder of the loan, the outstanding
principal and interest, and other basic information. The
Corporation will then disburse to the holder the amount to which
the individual is entitled. The Corporation may require
verification by the lender, and may aggregate payments to
holders.
Loans made, insured, or guaranteed under title IV of the
Higher Education Act ("HEA"), other than a loan to a parent under
section 428B of the Act, and loans made under title VII or VIII
of the Public Health Service Act, will be eligible for repayment.
During the period of service, interest on loans will be
deferred. At the completion of a participant's year of service,
the Corporation may by regulation prescribe for payment of
11
accrued interest. Such regulations will be prescribed after
consultation with the Secretary of Education.
An individual who intends to use an education award to pay
current educational expenses must verify eligibility through an
eligible institution of higher education. Institutions
designated by these individuals will notify the Corporation of
the names of those students and the amounts of educational awards
that will be claimed. In order to be eligible, these
institutions must also verify participation in programs under
section 487 of the HEA.
The Corporation will disburse the amount for which eligible
individuals have qualified, provided that combined with federal
means tested grant assistance and veterans' education benefits,
such payments do not exceed the cost of attendance. Disbursements
will be made in at least two installments, with the interval
between first and second to be not less than half of the
enrollment period. Institutions will be required to refund
amounts disbursed for individuals who do not complete their
periods of enrollment at those institutions.
The Corporation will establish regulations for the payment
of national service awards to individuals who participate in
school-to-work programs approved by the Secretaries of Labor and
Education.
National service awards will not be taken into account in
determining eligibility for any federal means-tested benefits or
be considered taxable income.
This section amends the Stafford loan forgiveness provisions
in existing law to make such forgiveness available to individuals
who were new borrowers after October 1, 1989, and provides that
such loan forgiveness will not be taken into account in
determining eligibility for any federal means-tested benefits or
be considered taxable income.
Section 103. School-based and Community-based Service Learning
Programs.
The section strikes Subtitle B, Part I of the National and
Community Service Act and replaces it with a similar program that
differs from existing law in the following ways: by authorizing
planning grants to local educational agencies to recruit and
train, or support, service-learning coordinators; eliminating
authority within existing Serve-America program for grants by the
State Educational Agency for community service programs for
school dropouts and out-of-school youth; authorizing the
Corporation to make grants to existing public or private non-
profit organizations that will make subgrants to eligible
organizations for service-learning programs; authorizing the
12
Corporation to reserve up to 25 percent of appropriated funds to
make competitive grants to States or existing public or private
non-profit organizations that will make subgrants; modifying
allocation of funds requirements; and making other improvements.
The section further authorizes the Corporation to provide
assistance through State Commissions for community-based programs
involving school-age youth (including school dropouts and out-of-
school youth) in community service.
The section further amends Subtitle B, Part II of the
National and Community Service Act by adding priority criteria to
be considered by the Corporation in allocating funds under the
Higher Education Innovative Projects, and making other
improvements.
Section 104. Quality and Innovation Activities.
Section 104 repeals subtitle E of Title I of the National
and Community Service Act, renumbers the Act, and authorizes an
investments for quality and innovation. Activities authorized
for funding include: support for innovative and model programs,
support for summer programs; provision of training and technical
assistance to community-based agencies that are service sponsors;
provision of training and technical assistance in applying for
assistance; national service fellowships; conferences and
materials; Peace Corps and VISTA training; promotion and
recruitment; provision of training for participants and
supervisors; research; intergenerational support; planning
coordination; activities to promote youth leadership; development
of a national program identity; clearinghouses; service-learning;
and Presidential awards. The section also makes a series of
technical and conforming amendments, including an extension of
authority under section 1092 (c) of the National Defense
Authorization Act for Fiscal Year 1993.
Subtitle B -- Related Provisions
Section 111. Definitions.
The section provides definitions of terms used in the
National and Community Service Act and makes a series of
technical and conforming amendments.
Section 112. Authority to Make Grants.
Repeals section 102 of the NCSA.
Section 113. Family and Medical Leave.
Provides that participants are employees of service sponsors
for purposes of the Family and Medical Leave Act of 1993.
13
Section 114. Reports
Provides that NCSA reporting requirements apply to both NCSA
and DVSA.
Section 115. Nondiscrimination.
Amends nondiscrimination provisions of NCSA to conform to
the Americans with Disabilities Act.
Section 116. Notice, Hearing and Grievance Procedures.
Amends administrative provisions of NCSA to provide a
process for decertification of approved national service
provisions and to clarify grievance procedures.
Section 117. Nondisplacement.
Amends the nondisplacement provisions of NCSA to protect
employees with recall rights pursuant to a collective bargaining
or personnel procedure.
Section 118. Evaluation.
Provides that NCSA evaluation requirements apply to both
NCSA and DVSA.
Sections 119-121. Conforming Amendments.
Make conforming amendments.
TITLE II -- ORGANIZATION
Section 201. State Commissions on National Service.
Section 201 replaces section 178 of the NCSA, describing
State advisory and in general requires the establishment of State
Commissions.
Section 178. State Commissions on National Service.
In order to be eligible for allotments under subtitle B or
C, a State must establish a State Commission on National Service.
For a transitional period and under other circumstances in which
wide participation in policy functions is ensured, the
Corporation may recognize already existing State programs as an
alternative to the State Commission.
State Commissions will consist of not less than 7 members
and not more than 13 members. The Governor of the State will
appoint members. There will be at least one representative of
national service programs, one representative of local
14
governments in the State, and one representative of local labor
organizations. Other appointments will be made from among the
following: representatives of community-based organizations,
youth who participate in service, educators, business, or experts
in the delivery of human, educational, environmental or public
safety services. Not more than 25 percent of Commission members
may be employees of State government, though more may sit as non-
voting ex officio members. A representative of the Corporation
will sit on the State Commission.
Not more than 50 percent of the State Commissions plus one
member may be from the same political party. To the maximum
extent possible, State Commissions should be balanced according
to race, ethnic background, age and gender. Members will serve
for 3 year terms, with shorter periods at first to ensure
staggered terms, and may only receive as compensation
reimbursements for travel expenses and per diems. State
Commissions will elect a chairperson from among the members of
the Commission.
The responsibilities of the State Commission include: (1)
preparation of a 3-year national service plan, updated annually;
(2) preparation of applications for funds under sections 117B and
130; (3) assistance in the preparation of applications by the
State educational agency under section 113; (4) preparation of
the application of the State for approved national service
provisions under section 130; (5) assistance to programs in
providing health care and child care benefits; (6) development of
a State recruitment, placement and information dissemination
system; (7) administration of the grant program, including
selection, oversight and evaluation of grant recipients; (8)
development of projects, training methods, curriculum materials,
and other activities related to service.
State commissions may not directly operate a national
service program. They may delegate nonpolicy duties to a State
agency or nonprofit organization, subject to limitations.
In order to establish the eligibility of the State
Commission to receive grants, the Governor must notify the
Corporation of its composition and authority under State law.
The Corporation may reject a State Commission if the Commission
does not comply with the requirements of this section. In such
instances, the Corporation must notify the State of its reasons,
provide technical assistance if requested, and give an
opportunity for resubmission.
Section 202. Interim authorities of the Corporation for National
Service and ACTION agency.
This section amends Subtitle G of Title I of the NCSA.
15
Subtitle G -- Corporation for
National Service
Section 191. Corporation for National Service.
Section 202 establishes a new Corporation for National
Service to administer the National Service Program. The
Corporation is a Government Corporation as defined in section 103
of title 5, United States Code.
Section 192. Board of Directors.
The Board of the Corporation will consist of eleven members,
appointed by the President and confirmed by the Senate. Board
members will have extensive experience in service and in State
government, represent a broad range of viewpoints, have expertise
in education, environmental, public safety or human services. To
the maximum extent practicable, the Board shall be diverse
according to race, ethnic background, age and gender. No more
than 6 Board members may be from the same political party.
No fewer than eight initial members of the Board will be
appointed from the individuals serving on the Board of Directors
of the Commission on National and Community Service. Ten Cabinet
members and agency directors will sit on the Corporation Board as
ex officio members.
Terms will generally be three years, except that certain
initial appointments will be for one year or two years in order
to stagger terms of service.
Section 192A. Authorities and Duties of Board of Directors.
The Board will meet at least three times each year. The
Board will elect a Vice-Chairperson from among its members, as
well as such other officers that the Board determines to be
appropriate.
The Board will establish an Inspector General Oversight
Committee, comprised of the Vice Chairperson and two members
selected by him or her. The Chairperson shall not serve on the
Oversight Committee.
Board members other than the chairperson will be reimbursed
only for travel and other business expenses, including a per diem
in lieu of subsistence.
Board members who are not otherwise Government employees
will be considered special Government employees. Board members
will be considered Federal employees for the purposes of tort
claims.
16
The duties of the Board include the following: (1) making
grants and allotments of national service positions; (2)
preparing for the Corporation a strategic plan every three years,
with updates annually; (3) making recommendations with respect to
the personnel system; (4) reviewing the actions of the
Chairperson with respect to standards, policies, procedures,
programs and initiatives, and informing the Chairperson of any
deviation from the strategic plan or Board recommendations; (5)
receiving and acting on the Inspector General's reports; (6)
arranging for evaluations; (7) providing for research; (8)
advising the President and Congress on national and community
service; (9) disseminating information; (10) other activities
determined by the Chairperson.
Section 193. Chairperson and Director.
The Chairperson will be appointed by the President and
confirmed by the Senate, and compensated at the rate provided for
Level III of the Executive Schedule.
The Chairperson will prescribe such rules and regulations as
are necessary and appropriate under this Act.
Section 193A. Authorities and Duties of the Chairperson.
The Chairperson will be responsible for the exercise of the
powers of the Corporation that are not reserved to the Board,
including authority and control over personnel.
The Chairperson will: (1) submit to the Board a proposal
regarding standards, policies and procedures necessary to carry
out this Act; (2) establish programs and initiatives necessary to
carry out the Act; (3) consult with other Federal agencies; (4)
on the recommendation of the Board, suspend or terminate
payments, or decertify programs and approved positions; (5)
prepare and submit to the Board an annual report and necessary
interim reports describing major actions with respect to
personnel and standards, policies, and procedures; (6) notify the
Board and explain to the Board any substantial difference between
the actions of the Chairperson and the strategic plan recommended
by the Board; (7) prepare an annual report for Congress on
donated services, money and property, and other matters.
The Chairperson may (1) establish and change the
organizational units within the Corporation; (2) with the
approval of the President, arrange with and reimburse other
Federal agencies for the performance of duties under this Act, or
delegate duties to the heads of other Federal agencies; (3)
accept or utilize the services and facilities of a Federal agency
or State; (4) allocate funds to other Federal agencies as may be
necessary to carry out this Act; (5) rent offices and expend
17
Corporation funds to acquire space; and (6) perform other
functions necessary to carry out this Act.
The Chairperson is authorized to bring legal actions on
behalf of the Corporation.
When programs administered by ACTION are transferred to the
Corporation, the Chairperson will assume the duties of the
Director of ACTION.
The Chairperson may not delegate a function of the Board
without permission of the Board.
Section 194. Officers.
There will be two managing directors within the Corporation,
one responsible for Federally operated programs and the other
responsible for investment programs. The managing directors will
be compensated at the rate provided for level IV of the Executive
Schedule.
There will be an Inspector General who will report directly
to the oversight committee. The Inspector General will be
compensated at rate provided for level IV of the Executive
Schedule.
There will be a Chief Financial Officer reporting directly
to the Chairperson. The Chief Financial Officer will be
compensated at level IV of the Executive Schedule.
Section 195. Employees, Consultants, and other Personnel.
The Corporation will establish a merit-based competitive
selection system based on job requirements and applicant
qualifications. Except for special circumstances, the personnel
of the Corporation may be appointed for terms that do not exceed
five years, with renewals for a period not to exceed seven years.
Employees will be covered by civil service health and life
insurance programs. Employees who transfer or separate after
working at the Corporation for three years will be eligible for
appointment in the competitive service. Service for one year or
more will be treated as a period of service for personnel seeking
employment in the competitive service.
After appropriate consultations, the Chairperson will
establish the compensation system, which will include pay-for
performance compensation and an upper limit on salaries of
Executive Level IV.
The Chairperson may also establish advisory committees to
assist in developing quality criteria for programs, outreach
programs, or other key elements of the initiative. Members of
18
advisory committees may have only their travel expenses
reimbursed.
Section 196. Administration.
The Corporation may solicit and accept voluntary services
and donations, consistent with reasonable conflict of interest
rules. The Corporation may also enter into contracts to carry
out this Act.
The functions of the Commission on National and Community
Service are transferred to the Corporation on October 1, 1993.
The Board of the Commission will continue to serve until such
time as the Board of the Corporation is formed.
Job search assistance will be provided for any personnel
from ACTION or the Commission who do not become employees of the
Corporation.
Section 203. Final Authorities of the Corporation.
During a transitional period not to exceed 18 months after
the date of enactment, the Corporation, together with the Office
of Management and Budget, will organize an orderly transfer of
certain functions from ACTION to the Corporation. To the extent
that ACTION personnel accept employment at the Corporation prior
to the transfer of function, such employment will be under the
Corporation's personnel system. To the extent that functions are
transferred, personnel who are transferred will retain their
rights under the competitive civil service system. At the point
that such transferred personnel separate from the Corporation,
these positions may be filled under the Corporation's personnel
system.
TITLE III -- REAUTHORIZATION
Subtitle A -- National and Community Service Act of 1990
Section 301. Authorization of Appropriations.
Section 501 of the NCSA is amended to read as follows.
Section 501. Authorization of Appropriations.
To provide financial assistance under title I, subtitle B,
$45,000,000 are authorized in fiscal year 1994, and such sums as
may be necessary for each of the fiscal years 1995 through 1998.
To provide financial assistance under title I, subtitles C,D
and H, $389,000,000 are authorized for fiscal year 1994, and such
19
sums as may be necessary for each of the fiscal years 1995
through 1998.
To carry out the provisions of title I, such sums as may be
necessary are authorized for each of the fiscal years 1994
through 1998.
To carry out the provisions of title III, assistance to the
Points of Light Foundation, $5,000,000 are authorized for each of
the fiscal years 1994 through 1998.
Funds appropriated under this section will remain available
until expended.
Subtitle B -- Domestic Volunteer Service Act of 1973
Section 311. Short Title; References.
Provides that this subtitle may be cited as the "Domestic
Volunteer Service Act Amendments of 1993" and provides that
amendments, unless otherwise specified, are to the Domestic
Volunteer Service Act.
Chapter 1 --- VISTA and other Anti-Poverty Programs.
Section 321. Purpose of the VISTA program.
Provides an addition to the Statement of purpose for the
VISTA program to include strengthening local agencies and
organizations to address the needs of low-income communities and
individuals.
Section 322. Selection and Assignment of VISTA volunteers.
Provides for a series of amendments affecting the selection
and assignment of VISTA volunteers, including clarifying that
volunteers may participate in programs similar to those
authorized under the VISTA Literacy Corps and repealing mandated
organizational structures, information systems, staffing levels,
hiring requirements, and content of an application to become a
VISTA volunteer. The section further revises authority for a
sponsoring organization to recruit a volunteer to clarify that it
is subject to the Director's approval; makes a series of changes
to the existing requirements concerning public awareness and
recruitment, the composition of the volunteer force, and spending
requirements related to promotion and recruitment; and encourages
the Director to enter into agreements with other Federal agencies
to place VISTA volunteers.
20
Section 323. Terms and Periods of Service.
Clarifies the terms and periods of service for VISTA
volunteers and authorizes the creation of a VISTA Summer
Associates program.
Section 324. Support for VISTA volunteers.
Provides for several amendments affecting the subsistence
allowance and stipend rates for VISTA volunteers.
Section 325. Participation of Younger and Older Persons
Revises the requirement for program participation to have
the Director take necessary steps to encourage the fullest
participation of younger and older individuals.
Section 326. Literacy Activities.
Repeals the requirement that funds made available under
VISTA Literacy Corps will be used to supplement and not supplant
the level of services provided under part A in fiscal year 1986
to address the problem of illiteracy.
Section 327. Applications for Assistance.
Restates the requirements related to the consideration of
applications under the VISTA program to clarify existing
statutory requirements.
Section 328. Repeal of Authority for Student Community Service
Programs.
Repeals authority to make grants for student community
service programs.
Section 329. University Year for VISTA.
Redesignates the University Year for ACTION program to the
University Year for VISTA program. Revises the minimum period of
service under the program from an academic year to an academic
semester or its equivalent.
Section 330. Authority to establish and operate special
volunteer and demonstration programs.
Authorizes the Director to conduct or make grants or
contracts for special volunteer and demonstration programs that
will fulfill the purpose of the Agency. Specifies that grants
will be made on the basis of merit. Deletes current provisions
restricting the flexibility of the Director under part C of title
21
I. Permits supporting both stipended and non-stipended volunteer
programs under part C.
Section 331. Technical and Financial Assistance.
Clarifies authority for the Director to provide technical
and financial assistance.
Section 332. Elimination of Separate Authority for Drug Abuse
Programs.
Deletes separate authority for drug abuse programs under
part C of title I.
Chapter 2 -- National Senior Volunteer Corps
Section 341. National Senior Volunteer Corps.
Revises all references to Older American Volunteer Program
to refer to National Senior Volunteer Corps.
Section 342. The Retired and Senior Volunteer Program.
Revises the name of the Retired Senior Volunteer Program to
the Retired and Senior Volunteer Program.
Section 343. Operation of the Retired and Senior Volunteer
Program.
Revises the minimum age for participation in the program
from 60 to 55 and recognizes the participation of older working
persons, in addition to retired individuals, in the program.
Also deletes an obsolete requirement to give State agencies
established under the Older Americans Act of 1965 the opportunity
to comment on any award within the State.
Section 344. Services Under the Foster Grandparent Program.
Modifies the statutory description of types of activities of
Foster Grandparents to reflect the current scope and breadth of
the program. Further, clarifies that Foster Grandparents may
provide services to multiple children.
Section 345. Stipends for Low-Income Volunteers.
Requires that the hourly stipend for low-income volunteers
under the Foster Grandparent and Senior Companion Programs be
adjusted once over the next several years, rounded to the nearest
five cents. Further requires that the stipend be a minimum of
$2.45 per hour, the current rate under the programs.
22
Section 346. Participation of Non-Low-Income Persons under Parts
B and C.
Revises the section allowing non-low-income persons to
participate under parts B and C of title II. Detailed statutory
requirements governing such participation are unnecessary. Local
projects retain the flexibility to determine whether volunteers
will be used.
Section 347. Conditions of Grants and Contracts.
Repeals a limitation on participation in the Foster
Grandparent and Senior Companions to those no longer in the work
force, thereby enabling these volunteers to work on a part-time
basis. Also repeals a requirement that grants under the Foster
Grandparent Program be made to a community action agency, and if
not made to that agency, that certain requirements be met.
Further, repeals a requirement that provides certain State
agencies with the opportunity to review and comment on
recommendations for awards within the State.
Section 348. Evaluation of the Senior Companion Program.
Deletes a duplicative provision requirement the evaluation
of the impact of projects assisted under the Senior Companion
Program.
Section 349. Agreements with Other Federal Agencies.
Inserts a section encouraging the Director to enter into
certain arrangements with other Federal agencies that will
promote both the mission of ACTION and the mission and programs
of those agencies.
Section 350. Programs of National Significance.
Eliminates a requirement that not less than one-third of the
new funds made available for Older American Volunteer Programs be
earmarked for programs of national significance, provides
discretion for the Director to determine which programs will be
supported in a particular year, expands the categories of
activities that may be funded, and replaces the limitation on
authorization with the authority to award such sums as necessary.
Section 351. Adjustments to Federal Financial Assistance.
Repeals reporting and certain other requirements with
respect to inflationary considerations.
23
Section 352. Demonstration Programs.
Provides for a new demonstration authority to fund projects
involving Older American volunteers.
Chapter 3 -- Administration
Section 361. Purpose of Agency.
Clarifies the responsibility of the agency to promote
coordination of volunteer efforts and other activities.
Section 362. Authority of the Director.
Provides authority to the Agency to solicit gifts and
services.
Section 363. Compensation for Volunteers.
Clarifies that only contributions from Volunteers and
beneficiaries is prohibited under the Act.
Section 364. Repeal of Report.
Repeals a requirement that the Director submit an annual
report to Congress on the recruitment plan and activities
conducted for the VISTA program.
Section 365. Application of Federal Law.
Revises the basis of computation for disability benefits for
volunteers under the VISTA program from the entrance salary of a
grade GS-7 employee to the entrance salary of a grade GS-5
employee.
Section 366. Evaluation of Programs.
Revises requirements for program evaluations.
Section 367. Nondiscrimination Provisions.
Replaces existing nondiscrimination provisions with those
currently provided for under the National and Community Service
Act, updated to conform to the Americans with Disabilities Act.
Section 368. Elimination of Separate Requirements for Setting
Regulations.
Eliminates a series of requirements related to prescribing
regulations under the Act.
Section 369. Clarification of Role of Inspector General.
24
Clarifies the Act to indicate that recipients of grants must
make records available to the Inspector General of ACTION.
Section 370. Copyright Protection.
Provides copyright protection for the major programs
operated by the Agency.
Section 371. Center for Research and Training.
Authorizes a Center for Research and Training on
Volunteerism.
Section 372. Deposit Requirement Credit for Service as a
Volunteer.
Amends title 5, United States Code, to provide that
retirement credit under the Civil Service Retirement System
(CSRS) and the Federal Employees Retirement System (FERS) for
time served as a VISTA volunteer will be available for all former
volunteers who become Federal employees subsequent to their
volunteer service, upon payment of a deposit based on their post
service stipends.
Chapter 4 -- Authorization of Appropriations and
Other Amendments
Section 381. Authorization of Appropriations for Title I.
Provides separate authorization for various parts and
sections under title I of the legislation for fiscal years 1994
through 1998. Also stipulates that the legislatively mandated
minimum subsistence allowance for VISTA volunteers may not be
reduced in order to increase the number of volunteer service
years. Specifies that any VISTA volunteers also working on
activities authorized under parts B and/or C of title I must meet
the antipoverty criteria specified under part A. Finally,
specifies that amounts appropriated for part A must provide for a
minimum number of volunteer service years in each fiscal year.
To carry out part A of title I, $40,000,000 is authorized
for fiscal year 1994, and such sums as may be necessary for each
of the fiscal years 1994 through 1998.
Section 382. Authorization of Appropriations for Title II.
Provides authorizes for programs under Title II for each of
the fiscal years 1994 through 1998.
To carry out part A of title II, the Retired and Senior
Volunteer Program, $35,800,000 is authorized in fiscal year 1994,
25
and such sums as may be necessary for each of the fiscal years
1995 through 1998.
To carry out part B of title II, the Foster Grandparent
Program, $68,800,000 is authorized for fiscal year 1994, and such
sums as may be necessary in fiscal years 1995 through 1998.
To carry out part C. of title II, the Senior Companion
Program, $31,700,000 are authorized for fiscal year 1994, and
such sums as may be necessary in fiscal years 1995 through 1998.
To carry out part E of title II, Demonstration Programs,
such sums as may be necessary are authorized for each of the
fiscal years 1995 through 1998.
Section 383. Authorization of Appropriations for Title IV.
Provides authorization for program administration under
title IV. Provides separate authorization for evaluation and the
Center for Research and Training.
Section 384. Conforming Amendments; Compensation for VISTA FECA
Claimants.
Provides for Conforming amendments.
Section 385. Repeal of Authority.
Repeals authority for Youthbuild.
Chapter 5 -- General Provisions
Section 391. Technical and Conforming Amendments
Amends the table of contents.
Section 392. Effective Date.
Makes October 1, 1993 or date of enactment effective date.
TITLE IV --- TECHNICAL AND CONFORMING AMENDMENTS
Sections 401 - 405.
Makes a series of technical and conforming amendments.
Section 404 provides that funding for the Points of Light
Foundation will be provided through the Corporation.
Section 406. Effective Date.
Establishes effective dates for the legislation.
26
THE WHITE HOUSE
WASHINGTON
FACT SHEET
NATIONAL SERVICE TRUST ACT OF 1993
The "National Service Trust Act of 1993" is innovative public policy founded on
traditional American values: offering educational opportunity, demanding personal
responsibility, and building the American community. In affirming these values, the initiative
also rejects big bureaucracy -- reinventing government to unleash the initiative of the
American people.
The President's support for service extends from the youngest elementary school
students to our oldest citizens, and includes everything from part-time volunteer activities to
full-time public service jobs.
The President's initiative will:
Build the American community through a new domestic Peace Corps that brings
Americans together to tackle pressing national problems.
Offer educational opportunity and reward individual responsibility by providing
educational awards to hundreds of thousands of Americans who serve our country.
Reinvent government by streamlining Federal bureaucracies, relying on locally driven
initiatives, and creating flexibility for students and competition among programs.
The Act will establish a Corporation for National Service that will offer Americans
who do vital work in the national service initiative an educational award.
The Corporation will establish quality criteria and require measurable impacts, but
within these bounds, communities will be able to design programs that meet their own
pressing needs. Programs will be expected to educate their participants both in the particular
skills their service demands and in the civic responsibility that our democracy requires. In all
respects, the Act is designed to build partnerships -- among Federal Government, State
governments, and the private sector; and within communities, among the schools, businesses,
and civic organizations that seek to fight common problems. Assistance will be distributed on
a competitive basis and no program will have a right to funding, but a wide variety of
organizations will have a chance to establish programs that serve our country.
1
Definition of National Service
Meets unmet educational, environmental, human, or public safety needs.
Improves the life of the participant, through citizenship education and training.
Does not displace or duplicate the functions of existing workers.
Organization
To reduce waste and promote an entrepreneurial government culture, a new
government Corporation for National Service will be established, combining the
Commission on National and Community Service and ACTION.
While maintaining existing programs such as VISTA, the new program makes
investments in new initiatives; neither the Corporation nor the State commissions will
operate them.
A small bipartisan Board will share power with a Chairperson.
Flexible and quality-driven personnel policies will include pay-for-performance and a
7-year limit on most tenures.
The Corporation may solicit and accept private contributions.
At the state level, commissions on national service will be established to mirror and
cooperate with the Federal Corporation.
Like the Corporation Board, commissions will be composed of bipartisan members
from a variety of fields. To ensure a genuine Federal/State partnership, a representative
of the Corporation will sit on the State commissions, and a State representative will sit
on the Corporation Board.
All programs will have to compete for support; none will be guaranteed funding.
One-third of funds will be allocated by population-based formula to State commissions
with approved plans for competitive distribution of funds; at least one-third to State
commissions on a competitive basis for competitive distribution; and up to one-third
will be reserved to the Corporation for allocation on a competitive basis.
Programs
National quality criteria for programming will be developed for every type of program
in conjunction with experts in the field.
Performance goals and independent evaluations will be required in every program.
2
An Inspector General will police fraud and abuse and perform oversight of funded
programs.
To encourage public/private partnership, programs must provide a 15 percent cash
match on stipends and health care and a 25 percent match for other program support.
Entities ranging from small community organizations to Federal agencies will be
eligible to operate service programs.
A broad array of possible programs will be eligible for funding: from youth corps for
at-risk youth, to specialized service programs for college graduates, to diverse
community corps for Americans of all backgrounds. Many other models are possible,
and venture capital will be available for new efforts.
Participants
To encourage wide and diverse participation, individuals aged 17 and over may serve
before, during, or after post-secondary education.
To target program participation to participant interests and community needs,
participants will be recruited and selected by approved local programs. A national or
State recruitment system will also be established to disseminate information and help
interested individuals locate placements in local programs. Information about
available positions will be widely disseminated through high schools, colleges, and
other placement offices.
To earn an educational award, a participant must complete at least 1 year of full-time
or 2 years of part-time service in an approved program. An individual may serve up to
two terms and earn up to two educational awards.
Educational awards of $5,000 will be provided for each term of service. Awards may
be used for past, present or future expenses, including 2- and 4-year colleges, training
programs, and graduate or professional programs.
Programs will set stipends within a limited range based at minimum wage. Health and
child care will be provided to those who need them.
Encouraging Service by All
The Act enhances the Serve-America program for school-age youth.
The Act extends and improves the VISTA and Older Americans Volunteer Programs.
The Act reauthorizes support for the Civilian Community Corps.
The Act reauthorizes support for the Points of Light Foundation.
3
THE WHITE HOUSE
WASHINGTON
OUTLINE OF LEGISLATION
NATIONAL SERVICE INITIATIVE
President Clinton's national service program will expand educational
opportunity, reward individual responsibility, and build the American community
by bringing citizens together to tackle common problems. The President's
support for service extends from the youngest elementary students to our oldest
citizens, and includes everything from part-time volunteer activities to full-time
public service jobs.
The centerpiece of the President's initiative to support service is a new
program to offer educational awards to Americans who make a substantial
commitment to service. In addition to this program, which builds on the youth
corps and demonstration programs of the National and Community Service Act
of 1990, the National Service Trust Act includes:
Extension and improvement of programs in the National and
Community Service Act of 1990 that enhance elementary and secondary
education through community service in schools, support after-school and
summer programs for school-age youth, and fund service programs on
college campuses.
Support for the Civilian Community Corps, to provide service
opportunities in areas adversely affected by defense cutbacks.
Support for the Points of Light Foundation, to support volunteerism.
Extension and improvement of VISTA and the Older American
Volunteer Programs authorized by the Domestic Volunteer Service Act.
Creation of a new Investment Fund for Quality and Innovation to
support model service programs and activities designed to ensure the
development of high quality national service programs.
1
NATIONAL SERVICE TRUST ACT
Focus of Service
National service must address unmet educational, environmental, human, or public
safety needs. National priorities may be established within these areas.
National service must improve the life of the participants, through citizenship
education and training.
Participants may not displace or duplicate the functions of existing workers.
Corporation for National Service
Structure
The national service program will be administered by a new government Corporation
for National Service, created by combining two existing independent federal agencies, the
Commission on National and Community Service and ACTION.
The corporation will be responsible for administering all programs authorized under
the National and Community Service Act and Domestic Volunteer Service Act, including
VISTA and the Older American Volunteer Programs. The Corporation will also fund training
and technical assistance, service clearinghouses and other activities.
The investment division of the corporation will administer the new trust program and
programs currently administered by the Commission on National and Community Service.
The operating division will administer programs currently run by the ACTION agency,
including VISTA and the Older American Volunteer Programs.
Flexible and quality-driven personnel policies will include pay-for-performance and a
7-year limit on most tenures.
The Corporation may solicit and accept private funds.
Governance
The corporation will have an eleven-member volunteer Board of Directors appointed
by the President and confirmed by the Senate. It will be bipartisan and include persons
experienced in national service, experts in providing educational, environmental, human, or
public safety service, and representatives of States.
The first Board members will be appointed primarily from the Board of Directors of
the Commission on National and Community. Service. Seven Cabinet secretaries will serve as
non-voting ex-officio members.
2
The Board will approve grant decisions, develop the corporation's strategic plan,
review other policy and personnel decisions, receive and act on reports from the Inspector
General, supervise evaluations, and advise the Corporation on all issues.
A Chairperson of the Board and a Managing Director for each division will be full-
time employees appointed by the President and confirmed by the Senate.
Oversight
An Inspector General will oversee programs to guard against fraud and abuse.
Programs must arrange for independent audits and evaluations, and may also be
required to participate in national or state evaluations.
State Commissions
Structure
In order to receive a grant, each state must establish a commission on national service.
The corporation will provide funding for the state commission.
Commissions will have 7 to 13 members appointed by the governors on a bipartisan
basis. There must be at least one representative of national service programs, one
representative of local governments, and one representative of local labor organizations on
each Board. The remaining members of the Board will be selected from among
representatives of community-based organizations, youth who participate in service, educators,
business, or experts in the delivery of particular services. Not more than 25 percent of voting
members may be state officials, although additional state agency representatives may sit on
the commissions as non-voting ex-officio members. Commissions will elect their own chair.
A representative of the corporation will sit on each commission as a voting member
and act as liaison between the commission and the corporation.
Duties
State commissions will be responsible for selecting programs to be funded under the
state formula allocation, and in any competitive grant states may request.
State commissions must also design strategic plans for service in the states, recruit
participants, and disseminate information about service opportunities.
State commissions may also support clearinghouses, training and technical assistance,
and other initiatives to support service. They may not operate national service programs, but
may use a portion of funds to support programs run by state agencies.
3
Transition
For a period of one year, existing state agencies may assume the responsibility of the
state commissions.
The Corporation may approve an alternative agency in place of a commission at a
state's request, if the agency ensures diverse participation in policy making.
Allocation of Funds
States submitting plans approved by the Corporation will receive one-third of funds
according to a population-based formula and one-third on a competitive basis.
One-third of funds will be allocated directly by the corporation. Programs eligible for
priority consideration include federal programs, national nonprofit organizations operating
multiple programs or competitive grant programs, national service initiatives in more than one
state and meeting priority needs, proposals to replicate successful programs in more than one
state, professional corps, and innovative national service programs.
Programs
Goals
Programs must set measurable goals regarding the impact of the service on the
community and on participants.
Eligibility
Programs eligible for national service designation include diverse community corps,
youth corps, specialized service programs focusing on a specific community need, individual
placement programs, campus-based service programs, programs that train and place service-
learning coordinators in schools or team leaders in corps programs, intergenerational
programs, national service entrepreneurship programs, and professional corps.
Programs may be run by non-profit organizations, institutions of higher education,
local governments, school districts, states, or federal agencies.
Programs may not provide direct benefits to for-profit businesses, labor unions, or
partisan political organizations, or involve participants in religious activities.
Selection
Selection criteria include quality (based on criteria developed in consultation with
experts in the field), innovation, sustainability, and replicability of programs.
4
Past experience and management skills of program leadership, involvement of
participants in leadership roles, and the extent to which the program builds on existing
programs will also be taken into account.
Programs serving and recruiting participants from communities of need, including
those designated as enterprise zones, community redevelopment areas, areas with high poverty
rates, environmentally distressed areas, and communities adversely affected by decreased
defense spending will also receive special consideration.
Funding
All participants will receive educational awards.
To develop programs, one-year planning grants will be available. To support national
service participants, three-year renewable grants will be available for program expansion or
replication.
Administrative costs will be limited to five percent of all grants other than planning
grants.
Programs must pay 15 percent of the stipend and health care benefits in cash and 25
percent of other program costs receiving federal support. The 25 percent match may be in
cash or in kind from any source other than programs funded under the National and
Community Service or Domestic Volunteer Service Acts.
Federal funds must supplement, not supplant, state and local dollars.
Participants
Eligibility
Individuals may serve before, during, or after post-secondary education.
In general, participants may be age 17 or older. Youth corps participants may be age
16 or older.
Participants must be high school graduates or agree to achieve their GED prior to
receiving educational awards.
Selection
Participants will be recruited and selected on a nondiscriminatory basis and without
regard to political affiliation by local programs designated by states or the federal
government.
A national or state recruitment system will help interested individuals locate
placements in local programs. Information about available positions will be widely
5
disseminated through high schools, colleges and other placement offices. A special leadership
corps may be recruited, trained, and placed to assist in the development of new national
service programs.
Term of Service
To earn an educational award, a participant one year of full-time or two years of part-
time service in a program designated by a state or the federal government. An individual
may serve up to two terms and earn up to two educational awards.
Educational Awards
Educational awards of $5,000 will be provided for a term of service. Educational
awards may be used to repay loans for higher education or to pay for higher education or
training.
Educational awards will be federally funded and deposited into a national service trust
on behalf of all participants accepted into the program. Organizations and individuals may
donate funds to support national service participants in the donor's community.
Payments will be made directly to qualified post-secondary educational institutions,
including two- and four-year colleges, training programs, and graduate or professional
programs.
In the case of participants with outstanding loan obligations for qualified educational
activities, awards will be paid directly to lenders.
Awards will not be taxable and must be used within five years of receipt.
Stipends
Programs will set stipends within program guidelines. However, federal support will
be limited to a match of 85 percent of an annual stipend equivalent to benefits received by
VISTA volunteers. Programs may provide additional stipends up to twice this amount, with
no federal match for the portion of the stipend in excess of the VISTA benefit.
In the limited case of designated professional corps in areas of great need, such as
teaching and public safety in underserved areas, participants may be paid a salary in excess of
the guidelines and receive an educational award. However, no federal support will be
available for a stipend, and professional corps will be selected on a case-by-case basis directly
by the Corporation.
Health and Child Care
All participants without access to health insurance will receive health coverage.
Federal dollars will pay up to 85 percent of the cost of these benefits.
Participants will receive child care assistance, if needed.
6
Serve-America
The proposal extends and expands the existing Serve-America program for school-age
youth and Higher Education Innovative Projects for Community Service. Modifications to
these programs are described below.
Service-Learning Program
Program Goals
To build a foundation for service among the nation's youth, inspiring them to serve
and instilling in them the values and attitude to serve effectively after graduation.
To create opportunities for all American children to serve our country.
Types of Programs
Programs may be partnerships of local education agencies and community-based
organizations.
Local educational agencies may receive planning grants to hire service-learning
coordinators.
Types of Funding
School-based programs will be eligible for funding through state educational agencies,
partly based on formula and partly through competition.
State educational agencies must develop state plans that indicate programs to be
funded and detail 3-year strategies for service-learning in their states. The Corporation must
approve state plans.
Programs may receive one-year planning grants for school-based programs.
Subgranting to experienced institutions for school-based programs will also be allowed.
All local programs will be required to provide at least 10 percent of total program
costs in the first year of funding, increasing to 50 percent in the fourth. Local programs may
utilize other federal education funds to meet the match requirement.
Training and Technical Assistance
Clearinghouses will be expanded to further enable them to disseminate information
and curriculum materials; train teachers, service sponsors and participants; and provide needs
assessments or technical assistance.
States will also receive additional resources to train and educate state educational
personnel.
7
Community-based Program for School-Age Youth
Community-based organizations working with school-age youth may receive grants
from the State Commission for programs to involve such youth in community service.
National non-profit organizations may apply to the Corporation to make subgrants or
run multi-state community-service programs for this population.
Higher Education Innovative Projects
Higher Education institutions, consortia of such institutions, or partnerships of higher
education institutions and non-profit institutions may receive grants from the Corporation for
student community-service programs or programs to train teachers in service-learning
methods.
Funds may supplement College Work-Study funds being used for community service
placements.
Extension of the Domestic Volunteer Service Act of 1973
The proposal extends and expands VISTA and Older American Volunteer Programs
authorized by the Domestic Volunteer Service Act. Following a transition period, these
programs will be administered by the corporation for national service.
VISTA
Extends authority for the VISTA program and increases number of VISTA volunteers.
Authorizes new VISTA Summer Associate program.
Authorizes a University Year for VISTA program to encourage student volunteer
efforts addressing the needs of low-income communities.
Removes restrictions limiting the flexibility to manage VISTA, while reaffirming
commitment to recruiting a diverse group of VISTA volunteers including young and older
adults.
Increases post-service stipends by $30 for each month of service. Such stipends are
not available if VISTA volunteer accepts an educational award under the national service
trust.
Continues support for VISTA Literacy Corps.
8
Special Volunteer Programs
Provides broadened authority under the Special Volunteer Programs to supporting
demonstrations and innovations, provide technical assistance, and promote other
entrepreneurial activities. Eliminates specific authority for student community service and
drug programs, which are covered under the broadened demonstration authority and under the
National and Community Service Act.
Older American Volunteer Programs
Renames the Older American Volunteer Programs as National Senior Volunteer Corps
and the Retired Senior Volunteer Program as the Retired and Senior Volunteer Program
(RSVP).
Lowers eligibility age for participation in the RSVP program to 55.
Clarifies that Foster Grandparents may work with children with special and
exceptional needs in Head Start programs, schools, and day care centers.
Provides for a new demonstration authority to enrich and strengthen older American
volunteer programs across the country.
Eliminates restrictions that limit the flexibility to administer the program.
Increases the stipend for low-income Foster Grandparents and Senior Companions
once over the next five years to account for inflation.
Administration
Encourages relationships between ACTION and other federal agencies where ACTION
volunteers might help further the purposes of other Federal programs.
Authorizes a Center for Research and Training on Volunteerism to strengthen
volunteer programs across the country.
Provides a technical amendment to restore the crediting of VISTA service for federal
pensions.
Provides copyright protection for the programs authorized under the Act.
9
The White House
The Office of National Service
FOR IMMEDIATE RELEASE
Contact: Diana Aldridge
May 6, 1993
(202) 456-6444
ADMINISTRATION INTRODUCES NATIONAL SERVICE LEGISLATION
PRESIDENT'S INITIATIVE GAINS EARLY BI-PARTISAN SUPPORT
Washington, D.C. The Administration's National Service Trust
Act of 1993 was introduced today with significant bi-partisan
support in both Houses of Congress.
Among the first-day cosponsors of the legislation were 18
Senators (14 Democrats and 4 Republicans) and 147 House Members
(128 Democrats and 19 Republicans).
"We are pleased by the support our national service
legislation is gaining on both sides of the political aisle, and
we will work hard over the next days and weeks to reach all
Members of Congress -- Democrats and Republicans alike," said Eli
Segal, Assistant to the President and Director of the Office of
National Service. "National Service is not about politics; it is
about basic goals that all of us share."
(See attached lists of Senate and House original co-sponsors)
***
SENATE COSPONSORS OF NATIONAL SERVICE TRUST ACT OF 1993
(As of May 6)
Breaux - D
Boren - D
Campbell - D
Chafee - R
Dodd - D
Durenberger - R
Jeffords - R
Kennedy - D
Lieberman - D
Mikulski - D
Nunn - D
Pell - D
Robb - D
Rockefeller - D
Specter - R
Simon - D
Wellstone - D
Wofford - D
HOUSE CO-SPONSORS OF NATIONAL SERVICE TRUST ACT OF 1993
(As of May 6)
Abercrombie - D
Horn - R
Serrano - D
Ackerman - D
Houghton - R
Shays - R
Andrews (N.J.) - D
Hoyer - D
Shepherd - D
Bacchus - D
Hughes - D
Skelton - D
Baesler - D
Jefferson - D
Slattery - D
Barlow - D
Johnson (GA) - D
Slaughter - D
Becerra - D
Kennedy - D
Snowe - R
Beilenson - D
Kennelly - D
Spratt - D
Bereuter - R
Kildee - D
Stokes - D
Berman - D
Klein - D
Strickland - D
Bevill - D
Klink - D
Studds - D
Bilbray - D
LaFalce - D
Stupak - D
Blute - R
Lancaster - D
Swett - D
Boucher - D
Lantos - D
Swift - D
Brewster - D
Larocco - D
Tanner - D
Browder - D
Lazio - R
Tauzin - D
Bryant - D
Leach - R
Thurman - D
Carr - D
Lewis (FLA) - R
Torkelson - R
Chapman - D
Lewis (GA) - D
Torres - D
Clay - D
Lipinski - D
Underwood - D
Clements - D
Lowey - D
Unsoeld - D
Cooper - D
McCurdy - D
Upton - R
Coopersmith - D
McDermott - D
Velasquez - D
Costello - D
McHale - D
Vento - D
Cramer - D
Machtley - R
Volkmer - D
Darden - D
Maloney - D
Waters - D
Deal - D
Manton - D
Watt - D
DeLauro - D
Martinez - D
Waxman - D
DeLugo - D
Mazzoli - D
Wheat - D
Derrick - D
Menendez - D
Williams - D
Dickey - R
Miller (CA) - D
Wise - D
Dicks - D
Mink - D
Woolsey - D
Engel - D
Mfume - D
English (AZ) - D
Mollahan - D
English (OK) - D
Montgomery - D
Eshoo - D
Moran - D
Faleomavaega - D
Morella - R
Fazio - D
Murphy - D
Fields (LA) - D
Murtha - D
Filner - D
Oberstar - D
Fish - R
Orton - D
Flake - D
Owens - D
Ford - D
Payne (N.J.) - D
Frank (MA) - D
Payne (VA) - D
Geren - D
Pelosi - D
Gilman - R
Penny - D
Gilmor - R
Peterson (MN) - D
Gordon - D
Poshard - D
Green - D
Price - D
Gunderson - R
Reed - D
Hayes - D
Richardson - D
Hefner - D
Roemer - D
Hinchey - D
Rose - D
Hochbrueckner - D
Sawyer - D
Hoekstra - R
Schenk - D
Holden - D
Scott - D
THE NEW YORK TIMES NATIONAL WEDNESDAY, MAY 5, 1993
Slow but Sure on National Service
President Clinton promised voters "a domestic
wouldn't be filled by anyone other than volunteers.
G.I. Bill that will pledge college assistance to any
The President also proposes to open college to
student who wants it." But the national service plan
students who don't volunteer for community service
he recently announced falls short of that lofty goal.
by providing affordable student loans. The current
Only a handful of students will participate, and they
loan program is a complex myriad of options under
will receive a fraction of what it takes to attend
which commercial banks extend loans with the
private colleges.
backing of Federal guarantees and subsidies.
Some are urging the President to move faster.
Mr. Clinton's would simplify the process by
But in the current political vortex faster is probably
having the Government directly lend to students,
wrong. Mr. Clinton is already trying to ram three
thereby cutting out the banks and saving money.
major bills - the budget, health care reform and
The plan would also give students the option to tie
the Mexican trade pact - through Congress this
repayment to their future income - - thereby elimi-
summer. Moreover, Congress needs his strong lead-
nating the fear of bankruptcy for those who enter
ership to strengthen and pass the campaign finance
low-paid occupations. Whether the plan would work
legislation expected to be unveiled later this week.
smoothly depends on details that have yet to be
To add an ambitious national service plan to the
provided.
Congressional agenda risks overload - and grid-
President Clinton's student ioan program
lock.
would be simpler than the current program. But it
So Mr. Clinton has decided to start national
may not be cheaper. The money saved by eliminat-
service off slowly. That's acceptable, as long as he
ing bank profits could easily be swallowed up by
honors his campaign promises by accelerating the
bloated bureaucracy and less vigilant collection
plan next year.
from deadbeats. And there are ways to cut out fat
from the existing program - by reducing the
subsidies paid to the banks and forcing them to bear
The Clinton plan would open college gates to
more of the risk from student defaults.
more students through national service and a re-
What's odd is Mr. Clinton's decision to revamp
structured student loan program. High school grad-
the system even before the results of a pilot project
uates who volunteer for a year or two of community
of direct lending is studied. Surely it would make
service would, besides earning the minimum wage,
sense to see how the program works on a small
receive awards of up to $10,000 toward post-second-
scale before launching it nationwide.
ary education or training.
The President's vision draws on the inspiring
The award isn't large enough to pay for four
model of the G.I. Bill of Rights, which put millions of
years at private colleges. And the program would
World War II veterans into college classrooms and
initially accommodate only 25,000 students - a tiny
made them the best educated, and most productive,
fraction of the eligible population. But a slow pace
workers American has ever had. His plan isn't up to
may prove wise.
that standard - yet. But Mr. Clinton is on to
Mr. Clinton's vision is grand: young Americans
something important - an idea that is fully consis-
advancing themselves as they combat illiteracy, aid
tent with his campaign pledge to fashion govern-
the homeless or rehabilitate housing. But if it IS
ment programs that help the needy only in ex-
rushed, the program could degenerate into a gov-
change for performance. This worthy endeavor
ernment bureaucracy handing out useless jobs that
need not be rushed.
This material may be protected by copyright law. (litie 11, U.S. Code)
N.Y.TIMES:05/01/93
CLINTON PROPOSES
SERVICE PROGRAM
TO AID STUDENTS
National Service Plan
$10,000 per student in school
ALSO URGES LENDING
grants would be available in
return for community work
($5,000 per year of service).
Students would also be paid at
$10,000 Grants Planned
least the minimum wage, and
receive health care and child
in Return for 2 Years
care assistance if needed.
in Community Jobs
25,000 students would take
part in 1994, working in
human services, education,
By THOMAS L. FRIEDMAN
the environment and safety.
Special 10 The New York Times
NEW ORLEANS, April 30 - Presi-
dent Clinton outlined a plan today to
Student Loan Overhaul
overhaul the way Americans pay for
MONEY would be lent to
college, offering students up to $10,000
for college or vocational training in
students directly by the
return for two years of community
Government.
service. In addition, he would change
REPAYMENT would be based
the student loan program to allow stu-
dents to borrow money directly from
Bypassing Banks
on a percentage of a worker's
the Government.
The other major component of the
income. Those with lower-
Mr. Clinton unveiled the aid program
aid program, to be introduced as a
income jobs would have
- a central promise of his campaign,
separate bill, is direct student loans
longer to pay.
with great appeal to middle-class vot-
from the Federal Government. Such
ers - to a cheering audience of stu-
loans are now guaranteed by the Gov-
WAGE WITHHOLDING might be
dents at the University of New Orleans,
ernment but made by banks. which
used by the Internal Revenue
saying that if adopted by Congress, it
earn a profit on the interest. The Presi-
Service to enforce loan
would "revive America's commitment
dent said direct aid would eliminate
collection.
to community and make affordable the
bank profits, making loans available at
cost of a college education for every
lower rates.
American."
In 1992, banks made $13.6 billion in
G.I. Bill of the 90's?
federally insured student loans. Ad-
ministration officials estimate that de-
He said his National Service Trust
mand for such loans could rise to $20
Act would be to the 1990's what the G.I.
billion to $25 billion a year after five
Bill was for the 1950's and the Peace
years. The Government would raise
Corps was for the 1960's - the place
the money it lends in the bond market,
"where higher learning goes hand in
not from taxes.
nand with the higher purpose of ad-
The legislation will include a pro-
dressing our unmet needs."
posal to allow graduates to repay tu-
If Congress passes the national serv-
ition loans at a monthly rate linked to
ice bill this year. Mr. Clinton said, the
their income, thereby reducing de-
program can start in 1994. The Nation-
faults and encouraging graduates to
al Service budget calls for $400 million
in 1994, which would cover about 25,000
Continued on Page 10, Column I
community service jobs, rising 10 $3.4
billion a year for 150,000 participants in
1997.
They would do minimum-wage jobs
in education, the environment, public
safety and human services. On top of
their wages, about $8,500 a year, they
would get $5,000 a year to repay college
loans or otherwise pay for education
and training.
THE NEW YORK TIMES NATIONAL SATURDAY, MAY 1,
Clinton Offers New Plan
The National Service Plan
To Aid College Students
Who
High school graduates and those with a
General Equivalency Diploma, 17 or older, can
qualify for school grants in return for community service.
Continued From Page I
tion by giving states the opportunity to
to get more if they come up with cre-
ative ideas. The states would decide
take low-paying community service
which groups would get slots and the
jobs. The payments would be collected
National Service Corporation in Wash-
the
through the Internal Revenue Service,
ington will simply ratify the choices.
Mr. Clinton said, most likely through
be paid for each year of service; students can
A community service program au-
payroll deductions or as part of income
thorized for three slots, for instance,
years The money could be used to repay
tax filings.
can make this offer to three people
for other education or training Students
Contrary Opinions
ages 17 years or older: If they will
minimum wage stipends, along with
work for the minimum wage of $4.25 an
Administration officials said they
health care assistance it needed
hour for one year, the national service
were cautiously optimistic that the
trust fund will provide up to $5,000
plan would have bipartisan support in
toward their tuition. room and board.
Congress. but early reaction was
broad areas. Here are examples:
That money, if used for tuition pay-
mixed.
ments, would be paid by the Govern-
teachers in Head Start or in classrooms.
"The President's plan gets two A's
ment directly to the college of the stu-
from me because it makes a college
The
Environment:
Worlding on recycling or conservation projects.
dent's choice; money for loan repay-
education or better job training more
ment for former students would be
Human
Providing care to homebound elderty Helping to
affordable and accessible to our young
made directly to the bank.
build
housing
people and our workers." said Repre-
Anyone could volunteer for national
sentative William D. Ford. of Michigan.
Public safety drug education seminars: Serving as a
service and receive the grants regard-
chairman of the House Education and
less of family income. If a volunteer
community officer.with a police department.
Labor Committee.
works for two years, the government
But Representative Marge Roukema
would pay $10,000 toward his educa-
of New Jersey. the senior Republican
tion, the maximum available under the
on Mr. Ford's committee. said the
program. The money must be used for
ernment will no longer have to extend a
which the Government would prov
President "should be concentrating on
education within five years of the serv-
subsidy to commercial banks to keep
all students with the opportunity to
reducing the deficit, instead of propos-
ice work. The Federal government
the loans below market rate, because
back their student loans as a perce
ing new multibillion-dollar entitlement
would also pay 85 percent of the $4.25
bank profits will be taken out of the
age of their income over time; the
programs."
minimum wage - roughly $6,000 a
equation and because the Government
the graduate makes, the more time
The night before his announcement,
year per person - with state and local
can borrow money for student loans
has to pay off the loan. The value of
Mr. Clinton decided to slash the com-
authorities expected to pick up the rest.
more cheaply than banks can. The loan
program, he said, is that gradua
pensation for community service from
The states would be responsible for
program is intended to pay for itself.
freed from the pressure of large 1
a maximum of $13,000 for two years'
monitoring the local service organiza-
In the 1991-92 school year, annual
payments, would be encouraged to 1
tions to prevent fraud, and the National
costs - tuition, room, board, books and
low-paying public service jobs.
Service Corporation would also have
expenses - at four-year public institu-
Mr. Clinton directed the Secreta
Assistance that
its own inspector general to monitor
tions averaged $7,584, according to the
of the Treasury and Education to CC
the programs. Any program caught in
College Board, while the costs of four-
up with a plan for I.R.S. collection
fraud would be removed.
year private institutions averaged
student loans, through wage withh
appeals to the
As for the student loan programs,
$16,292.
ings or some other means, to red
Mr. Clinton proposed two fundamental
The last program Mr. Clinton un-
defaults and simplify the system
middle-class.
changes. The first is the establishment
veiled is called Excel Accounts, under
borrowers.
of what is being called one-stop direct
student loans. Student loans are now
work to $10,000, in hopes of pre-empting
provided by commercial banks at be-
complaints from Republicans about
low-market interest rates and guaran-
costs, and to deal with Pentagon con-
teed by the Government. When stu-
cerns that too much cash would lure
dents default, the Government pays the
young people away from the military
banks; defaults cost the Government
which has its own scholarship program
about $3 billion a year.
in return for service.
Under the new program detailed by
Mr. Clinton said his proposal, which
Mr. Clinton today, the Federal Govern-
is the work of Eli Segal, the director of
ment would provide a pool of public
the White House national service bu-
money for student loans, replacing the
reau. had been designed to put as much
private capital being provided by com-
of the bureaucratic burden as possible
mercial banks. The government would
on state and local institutions.
grant student loans, with colleges and
vocational schools working as the mid-
Bones of the Program
diemen. Mr. Clinton said he would like
It would work as follows: A National
to phase in this program, beginning
Service Corporation would be set up by
with roughly $500 million in loan capi-
the Government to allocate National
tal for fiscal 1994 and eventually grow-
Service slots to states, which would
ing to cover all loans by 1997.
allot them to community service
The commercial banking industry IS
groups and municipalities.
expected to fight this proposal.
The number of a state's slots would
Mr. Clinton argued that in the long
be based on population, but the Admin-
run this program would save taxpay-
istration hopes to encourage competi-
ers money, primarily because the gov-