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PUBLIC LAW 95-602-NOV. 6, 1978

"TRANSFER OF FUNDS

92 STAT. 2987

29 USC 715.

"SEC. 16. No funds appropriated under this Act for any research pro- Restriction. gram or activity may be used for any purpose other than that for which the funds were specifically authorized.". (b) Title I of the Rehabilitation Act of 1973 is further amended— (1) in parts A through C by striking out "Secretary" in each place it appears and inserting in lieu thereof "Commissioner";

and

(2) in section 121 (a) by inserting after the first sentence the following new sentence: "Payments may also be made under this section for the costs of the construction of facilities to be used in providing services under such State plan if provision for such construction is included in such State plan.".

(c) Title III of the Rehabilitation Act of 1973 is further amended

(1) in section 300

(A) by adding before the semicolon in paragraph (1) the following: "and authorize such staffing as the Commissioner deems appropriate";

(B) by striking out paragraph (4); and

(C) by redesignating paragraph (5) as paragraph (4);

29 USC 721,
722, 730-732,

740, 741.
29 USC 741.

29 USC 770.

(2) in section 301 by striking out "initial" each place it appears 29 USC 771. and by striking out "Secretary" in each place it appears and insert

ing lieu thereof "Commissioner";

(3) in section 302 by striking out "Secretary" in each place it 29 USC 772. appears and inserting in lieu thereof "Commissioner";

(4) in subsections (a), (c), (e), (f), and (i) of section 306 29 USC 776. by striking out "Secretary" in each place it appears and inserting

in lieu thereof "Commissioner";

(5) by amending paragraph (3) of section 306 (b) to read as

follows:

"(3) provide that the agency or organization receiving Federal Annual report. funds under this title will make an annual report to the Commissioner, which the Commissioner shall submit to the Secretary for inclusion (in summarized form) in the annual report submitted to the Congress under section 13;";

(6) in paragraph (4) of section 306(b) by striking out "Secretary" where it first occurs and inserting in lieu thereof "Commissioner"; and

Ante, p. 2985.

(7) by striking out "SPECIAL FEDERAL RESPONSI- 29 USC prec. BILITIES" in the title heading and inserting in lieu thereof 770. "SUPPLEMENTARY SERVICES AND FACILITIES". (d) Title V of the Rehabilitation Act of 1973 is further amended(1) in section 503 (a), by striking out "as defined in section 7(6)" and inserting in lieu thereof "as defined in section 7(7); and

(2) in section 504, by striking out "as defined in section 7(6)" and inserting in lieu thereof "as defined in section 7 (7)". (e) Section 412 of the Energy Conservation and Production Act is amended by striking out "as defined in section 7(6)" and inserting in lieu thereof "as defined in section 7 (7)".

(f) Section 1904 of title 38, United States Code, is amended

(1) by striking out "section 202(b) (2)" and inserting in lieu thereof "and section 204 (b) (2)"; and

(2) by striking out ", and section 405" and all that follows through "activities)".

29 USC 793. 29 USC 706.

29 USC 794.

42 USC 6862.

36-930 O -79-73

. 92 STAT. 2988

29 USC 701 note.

PUBLIC LAW 95-602-NOV. 6, 1978

(g) The table of contents for the Rehabilitation Act of 1973 is
amended-

(1) by inserting after the item relating to section 10 the fol-
lowing new items:

"Sec. 11. Application of other laws.

"Sec. 12. Administration of the Act.
"Sec. 13. Reports.

"Sec. 14. Evaluation.

"Sec. 15. Information clearinghouse.

"Sec. 16. Transfer of funds.";

(2) by striking out the items relating to part D of title I and
section 130 and inserting in lieu thereof the following:

"PART D-AMERICAN INDIAN VOCATIONAL REHABILITATION SERVICES

"Sec. 130. Vocational rehabilitation services grants.

"Sec. 131. Evaluation.

(3) by striking out the items relating to titles II and III and
to sections 200 through 204 and 300 through 306 and inserting in
lieu thereof the following:

"TITLE II-RESEARCH

"Sec. 200. Declaration of purpose.

"Sec. 201. Authorization of appropriations.

"Sec. 202. National Institute of Handicapped Research.

"Sec. 203. Interagency committee.

"Sec. 204. Research.

"TITLE III-SUPPLEMENTARY SERVICES AND FACILITIES

"PART A-MISCELLANEOUS PROGRAMS

"Sec. 300. Declaration of purpose.

"Sec. 301. Grants for construction of rehabilitation facilities.

"Sec. 302. Vocational Training Services for handicapped individuals.
"Sec. 303. Loan guarantees for rehabilitation facilities.

"Sec. 304. Training.

"Sec. 305. Comprehensive rehabilitation centers.

"Sec. 306. General grant and contract requirements.

"PART B-SPECIAL PROJECTS

"Sec. 310. Authorization of appropriations.
"Sec. 311. Special demonstration programs.
"Sec. 312. Migratory workers.

"Sec. 313. Helen Keller National Center.
"Sec. 314. Reader services for the blind.

"Sec. 315. Interpreter services for the deaf.

"Sec. 316. Special Recreational Programs."

(4) by striking out the items relating to title IV and sections
400 through 407 and inserting in lieu thereof the following:

"TITLE IV-NATIONAL COUNCIL ON THE HANDICAPPED

"Sec. 400. Establishment of National Council on the Handicapped.
"Sec. 401. Duties of National Council.

"Sec. 402. Compensation of National Council members.

"Sec. 403. Staff of National Council.

"Sec. 404. Administrative powers of National Council.

"Sec. 405. Authorization of appropriations.";

and

(5) by adding at the end of the items relating to title V the fol-
lowing new items:

"Sec. 505. Remedies and attorneys' fees.

"Sec. 506. Secretarial responsibilities.

"Sec. 507. Interagency Coordinating Council.".

PUBLIC LAW 95-602-NOV. 6, 1978

TITLE II-COMMUNITY SERVICE PILOT PROGRAMS;
PROJECTS WITH INDUSTRY

ESTABLISHMENT OF PROGRAMS

92 STAT. 2989

SEC. 201. The Rehabilitation Act of 1973 is amended by adding at 29 USC 701 note. the end thereof the following new title:

"TITLE VI-EMPLOYMENT OPPORTUNITIES FOR HANDI

CAPPED INDIVIDUALS

"SHORT TITLE

"SEC. 601. This title may be cited as the 'Employment Opportunities Employment for Handicapped Individuals Act'.

"PART A-COMMUNITY SERVICE EMPLOYMENT PILOT PROGRAMS

FOR HANDICAPPED INDIVIDUALS

"ESTABLISHMENT OF PILOT PROGRAM

Opportunities for
Handicapped
Individuals Act.

29 USC 795 note.

"SEC. 611. (a) In order to promote useful opportunities in commun- 29 USC 795. ity service activities for handicapped individuals who have poor employment prospects, the Secretary of Labor (hereinafter in this part referred to as the 'Secretary') is authorized to establish a community service employment pilot program for handicapped individuals. For "Eligible purposes of this part, the term 'eligible individuals' means persons who individuals.” are handicapped individuals (as defined in section 7(7) of this Act) 29 USC 706. and who are referred to programs under this part by designated State

units.

"(b) (1) The Secretary may enter into agreements with public or Agreements. private nonprofit agencies or organizations, including national organizations, agencies of a State government or a political subdivision of a State (having elected or duly appointed governing officials), or a combination of such political subdivisions, or tribal organizations in order to carry out the pilot program referred to in subsection (a). Such agreements may include provisions consistent with subsection (c) for the payment of the costs of projects developed by such organizations and agencies in cooperation with the Secretary. No payment shall be made by the Secretary toward the cost of any such project unless the Secretary determines that:

"(A) Such project will provide employment only for eligible individuals, except that if eligible individuals are not available to serve as technical, administrative, or supervisory personnel for a project then such personnel may be recruited from among other individuals.

"(B) Such project will provide employment for eligible individuals in the community in which such individuals reside, or in nearby communities.

"(C) Such project will employ eligible individuals in services related to publicly owned and operated facilities and projects, or projects sponsored by organizations, other than political parties, exempt from taxation under section 501 (c) (3) of the Internal 26 USC 501. Revenue Code of 1954, except for projects involving the construction, operation, or maintenance of any facility used or to be used as a place for sectarian religious instruction or worship.

92 STAT. 2990

29 USC 721.

Work-related expenses.

Placement services.

Rate of pay.

29 USC 201. 29 USC 213.

29 USC 214.

PUBLIC LAW 95-602-NOV. 6, 1978

"(D) Such project will contribute to the general welfare of the community in which eligible individuals are employed under such project.

"(E) Such project (i) will result in an increase in employment opportunities over those opportunities which would otherwise be available, (ii) will not result in any displacement of currently employed workers (including partial displacement, such as a reduction in the hours of nonovertime work or wages or employment benefits), and (iii) will not impair existing contracts or result in the substitution of Federal funds for other funds in connection with work that would otherwise be performed.

"(F) Such project will not employ any eligible individual to perform work which is the same or substantially the same as that performed by any other person who is on layoff from employment with the agency or organization sponsoring such project.

"(G) Such project will utilize methods of recruitment and selection (including the listing of job vacancies with the State agency units designated under section 101 (a) (2) (A) to administer vocational rehabilitation services under this Act) which will assure that the maximum number of eligible individuals will have an opportunity to participate in the project.

"(H) Such project will provide for (i) such training as may be necessary to make the most effective use of the skills and talents of individuals who are participating in the project, and (ii) during the period of such training, a reasonable subsistence allowance for such individuals and the payment of any other reasonable expenses related to such training.

"(I) Such project will provide safe and healthy working conditions for any eligible individual employed under such project and will pay any such individual at a rate of pay not lower than the rate of pay described in paragraph (2).

"(J) Such project will be established or administered with the advice of (i) persons competent in the field of service in which employment is being provided, and (ii) persons who are knowledgeable with regard to the needs of handicapped individuals.

(K) Such project will pay any reasonable costs for workrelated expenses, transportation, and attendant care incurred by eligible individuals employed under such project in accordance with regulations prescribed by the Secretary.

"(L) Such project will provide appropriate placement services for employees under the project to assist them in locating unsubsidized employment when the Federal assistance for the project terminates.

"(2) The rate of pay referred to in subparagraph (I) of paragraph (1) is the highest of the following:

"(A) the prevailing rate of pay for persons employed in similar occupations by the same employer.

"(B) The minimum wage which would be applicable to the employee under the Fair Labor Standards Act of 1938 if such employee were not exempt from such Act under section 13 thereof. "(C) The State or local minimum wage for the most nearly comparable covered employment.

The Department of Labor shall not issue any certificate of exemption under section 14 (c) of the Fair Labor Standards Act of 1938 with respect to any person employed in a project under this section.

PUBLIC LAW 95-602-NOV. 6, 1978

"(c) (1) The Secretary may pay not to exceed 90 percent of the cost of any project which is the subject of an agreement entered into under subsection (b). Notwithstanding the preceding sentence, the Secretary may pay all of the costs of any such project which is (A) an emergency or disaster project, or (B) a project located in an economically depressed area, as determined by the Secretary in consultation with the Secretary of Commerce and the Director of the Community Services Administration.

"(2) The non-Federal share of any project under this part may be in cash or in kind. In determining the amount of the non-Federal share, the Secretary may attribute fair market value to services and facilities contributed from non-Federal sources.

"(d) Payments under this part may be made in advance or by way of reimbursement, and in such installments as the Secretary may determine.

"ADMINISTRATION

"SEC. 612. (a). In order to effectively carry out the provisions of this part, the Secretary shall, through the Commissioner of the Rehalibitation Services Administration, consult with any designated State unit with regard to

"(1) the localities in which community service projects of the type authorized by this part are most needed;

"(2) the employment situations and types of skills possessed by eligible individuals in such localities; and

"(3) potential projects suitable for funding in such localities. "(b) The Secretary shall coordinate the pilot program established under this part with programs authorized under the Emergency Jobs and Unemployment Assistance Act of 1974, the Comprehensive Employment and Training Act of 1973, the Community Services Act of 1974, and the Emergency Employment Act of 1971. Appropriations under this part may not be used to carry out any program under the Acts referred to in the preceding sentence.

"(c) In carrying out this part, the Secretary may, with the consent of any other Federal, State, or local agency, use the services, equipment, personnel, and facilities of such agency with or without providing such agency with reimbursement and may use the services, equipment, and facilities of any other public or private entity on a similar basis.

"(d) Within one hundred and eighty days after the effective date of this part, the Secretary shall issue and publish in the Federal Register such regulations as may be necessary to carry out this part. "(e) The Secretary shall not delegate any function of the Secretary under this part to any other department or agency of the Federal Government.

"PARTICIPANTS NOT FEDERAL EMPLOYEES

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"SEC. 613. (a) Eligible individuals who are employed in any project 29 USC 795b. funded under this part shall not be considered to be Federal employees

as a result of such employment and shall not be subject to the provisions of part III of title 5, United States Code.

5 USC 2101 et seq.

(b) No contract shall be entered into under this part with a contractor who is, or whose employees are, under State law, exempted Contracts. from operation of any State workmen's compensation law generally applicable to employees, unless the contractor shall undertake to provide for persons to be employed under such contract, through insur

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