6 1 alteration of physical facilities to be used in carrying out the 2 projects authorized by this title. No assistance shall be pro3 vided under this subsection unless the Director finds that(1) suitable facilities cannot be rented or leased in 4 5 the community to be served by the project; or 6 7 со (2) purchase, construction, renovation, or alteration will be economically more advantageous to the Government than rental or lease of facilities. 9 No agency or organization may receive assistance under this 10 subsection unless it agrees that the assisted facilities shall be 11 available for public purposes for a period not less than ten years from the date of purchase or completion of construction, 13 alteration, or renovation. 12 14 "(b) The Director is authorized to make separate con 15 tracts for annual grants to organizations receiving assistance 16 under section 502 to reduce the cost of borrowing funds for 17 the purposes enumerated in section 503 (a). Annual grants to reduce such borrowing costs shall be made over a fixed 18 19 20 21 22 23 24 25 period not exceeding forty years, and provision for such grants shall be embodied in a contract guaranteeing their payment over such period so long as the facilities are used for public purposes. Each such grant shall be in an amount equal to the difference between (1) the average annual debt service required to be paid, during the life of the loan, on the amount borrowed, and (2) the average annual debt 7 1 service which would be required to be paid, during the life 2 of the loan, with respect to such amount if the applicable 3 interest rate were 3 per centum per annum. The Director 4 shall not enter into a contract for grants under this subsec5 tion unless he determines that the amount borrowed does 6 not exceed the total amount necessary to carry out the above 7 purposes in an economical manner. Contracts for annual grants under this section shall not be entered into for an 9 aggregate amount greater than is authorized in appropria10 tion Acts; and in any event the total amount of annual 11 grants which may be paid in any year pursuant to contracts 12 entered into under this section shall not exceed $15,000,000, 13 which amount shall be increased by $20,000,000 on July 1, 1971, and by $30,000,000 on July 1, 1973. 8 14 15 16 "TECHNICAL ASSISTANCE AND TRAINING "SEC. 504. (a) The Director may provide directly or 17 through grants, contracts, or other arrangements, such tech18 nical assistance or training of personnel as may be required to implement effectively the purposes of this title. "(b) For the purpose of increasing the supply of spe cially qualified persons available to work in child develop ment programs serving disadvantaged children, the Director may, pursuant to such regulations as he may prescribe, lend to any person desiring to pursue a career in child develop ment work, especially one who intends to work with dis 8 1 advantaged children, sufficient funds to enable such persons 2 to take suitable courses at an institution of higher learning 3 to prepare for such a career. The Director shall pay the por4 tion of the funds lent for tuition and other academic fees 5 directly to the institution, and may pay directly to the 6 student funds lent to meet such other costs as are reasonably 7 necessary for the student to complete his training, including 8 subsistence expenses, up to a maximum of $3,000 a year. 9 The period of training provided to any person under this 10 subsection shall not exceed two academic years. 11 14 Loans shall bear interest at 3 per centum per annum, 12 and shall be repayable by the person thus assisted over a 13 ten-year period, beginning on the date of his completion of or withdrawal from the course of instruction in which he is 15 enrolled, excluding any period, not in excess of three years, 16 in which such person is a member of the Armed Forces of 17 the United States, the Peace Corps, or such other periods as may be specified in regulations prescribed by the Director. 19 Collections of principal and interest on student loans shall be 18 20 deposited in the miscellaneous receipts account of the 21 Treasury. 22 23 24 25 Not to exceed 30 per centum of the amount loaned to an individual, plus accrued interest, shall be waived in each year following completion of the training in which he engages full-time in child development work in a project, determined 9 1 by the Director, to be serving substantially children from 2 low-income families. 3 "PILOT PROGRAMS AND RESEARCH, AND EVALUATION 4 "SEC. 505. (a) The Director may contract or provide 5 financial assistance to public or private agencies for pilot 6 or demonstration projects which are designed to test or as7 sist in the development of new approaches or methods that I will aid in overcoming special child development problems, 9 with particular attention to those referred to in section 502 10 (f) or otherwise furthering the purposes of this title. He 11 may also contract or provide financial assistance for re12 search pertaining to the purposes of this title. 13 "(b) The Director shall provide for the careful and 14 systematic evaluation of the program authorized under this 15 title, directly or by contracting for independent evaluations, 16 with a view to measuring specific benefits, so far as prac17 ticable, and providing information needed to assess the 21 "SEC. 506. Unless otherwise provided in this title, 2235 23 financial assistance extended to a public or private agency or organization pursuant to section 502 of this title shall 24 not exceed 90 per centum of the approved cost of the 10 1 assisted programs or activities. The Director may, how 2 ever, approve assistance in excess of such percentage if he 3 determines, in accordance with regulations establishing ob4 jective criteria, that such action is required in furtherance of 5 the purposes of this title. Non-Federal contributions may be 6 in cash or in kind, fairly evaluated, including but not limited 7 to plant, equipment, or services. 8 9 "COORDINATION OF PROGRAMS "SEC. 507. The Director and the Secretary of Health, 10 Education, and Welfare shall take all necessary steps to 11 coordinate programs under their jurisdictions which provide 12 day care or child development services, with a view to estab13 lishing, insofar as possible, a common set of program stand14 ards and regulations, and mechanisms for coordination at the 15 State and local levels. In approving applications for assistance under this part, the Director shall take into considera 16 17 tion (1) the extent to which applicants show evidence of 18 coordination and cooperation between their projects and 19 other child development programs in the areas which they will serve, and (2) the extent to which unemployed or low 20 |