able Francis Keppel, U.S. Commissioner of Education, gave an explanation of the program of Federal aid to certain federally affected localities. He said, in part:

The program of school assistance in federally affected areas (the popularly known Federal impact program) is now in its 13th year. As you know, the program consists of two separate although related parts: (1) Under the terms of Public Law 874, as amended, payments are made to school districts for current operating expenses; (2) under the terms of Public Law 815, as amended, payments are made to school districts for school construction.

The underlying justification for the Federal payments under both laws is that the payments compensate school districts which sustain a financial burden by reason of the impact on them of certain Federal activities. The principal payments are based on the impact occasioned by the tax immunity of Federal property, and these payments may be regarded as being in the nature of in lieu of taxpayments to cover the local share of the cost of providing free public education for children connected with the tax-exempt Federal property.

In addition to payments to local educational agencies, both laws provide that the Commissioner of Education shall make arrangements to provide free public education for children who reside on Federal property if no State or local funds may be expended for the free public education of such children or if he determines, after he has consulted with the State educational agency, that no local educational agency is able to provide suitable free public education for such children. These arrangements are made either with a local educational agency or with the head of a Federal department or agency administering the Federal property on which the children reside.38

On June 30, 1963, Representative John H. Dent introduced a new bill, H.R. 7156, to extend for 1 additional year certain of the temporary provisions of Public Laws 815 and 874, 81st Congress, relating to the construction, and maintenance, and operation of public schools in federally impacted areas, and for other purposes. H.R. 7156 was reported from the Committee on Education and Labor on July 9, 1963. The Select Subcommittee on Education of the Committee on Education and Labor held a hearing on this bill in Los Angeles, Calif., on August 12, 1963. The record of the hearing was printed in a volume of 40 pages.

2. Senate Action

In the Senate, hearings before the Subcommittee on Education (of the Committee on Labor and Public Welfare) on S. 580, title IV-D of which concerned school assistance to federally affected areas, began April 29 and were completed after 17 days of testimony on June 27, 1963. The record of the hearings was printed in 7 volumes totaling 4,429 pages. Volume IV contains the record of the principal consideration given by the subcommittee (on June 13, 1963) to proposed amendment and extension of the program of Federal aid to federally impacted school districts.

On September 11, 1963, the Senate Subcommittee on Education recommended that the vocational education bill, H.R. 4955, which had passed the House on August 6, 1963, be amended by striking the text of the bill and substituting, therefor, four new parts. One of these new parts (part C) called for amendment of Public Laws 815 and 874, 81st Congress, relating to public school construction and operation and maintenance costs of public schools in federally affected areas. The full Committee on Labor and Public Welfare reported H.R. 4955, containing part C, on October 1.

38 Hearings before the Select Subcommittee on Education of the Committee on Education and Labor, House of Representatives, 81st Cong., 1st sess., on H.R. 4878, H.R. 4880, and similar bills, Apr. 2-4, and 9, 1963, pp. 4-5.

3. Conference and Approval

The subsequent history of H.R. 4955 leading to its becoming Public Law 88-210 has been recounted in this report under the heading "Vocational Education Act of 1963, Conference and Approval."

4. Digest of Public Law 88-210, Part C

Part C of Public Law 88-210 amends Public Laws 815 and 874, 81st Congress, so as to extend for 2 years (to June 30, 1965) the programs of Federal assistance for public school construction and operation and maintenance of public schools in federally affected areas.

5. Text of the Law

Following is the text of Public Law 88-210, part C:

PUBLIC LAW 88-210, 88TH CONGRESS, H.R. 4955, DECEMBER 18, 1963

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

PART C-FEDERALLY AFFECTED AREAS

AMENDMENTS TO PUBLIC LAW 815

SEC. 31. (a) The first sentence of section 3 of the Act of September 23, 1950, as amended (20 U.S.C. 631-645), is amended by striking out "1963" and inserting in lieu thereof “1965".

(b) Subsection (b) of section 14 of such Act is amended by striking out “1963" each time it appears therein and inserting in lieu thereof "1965”.

(e) Paragraph (15) of section 15 of such Act is amended by striking out "1960-1961" and inserting in lieu thereof “1962-1963”.

AMENDMENTS TO PUBLIC LAW 874

SEC. 32. Sections 2(a), 3(b), and 4(a) of the Act of September 30, 1950, as amended (20 U.S.C. 236-44), are each amended by striking out "1963" each place where it appears and inserting in lieu thereof "1965”.

EFFECTIVE DATES

SEC. 33. The amendments made by sections 31 and 32 shall be effective July 1. 1963.

H. MANPOWER DEVELOPMENT AND TRAINING ACT AMENDMENTS

(Public Law 88-214, approved Dec. 19, 1963)

1. House Action

In July and August, 1963,39 the Select Committee on Labor of the House Committee on Éducation and Labor held hearings on the following bills that had been introduced by Representative Elmer J. Holland, of Pennsylvania, chairman of the subcommittee, to amend the Manpower Development and Training Act of 1962: H.R. 6991 and H.R. 7000 introduced on June 12, 1963; and H.R. 7377 introduced on

July 8-9, 15-16, 18-19, 22-24, 31; and Aug. 1, 5-7, 12, 14-15, 1963.

July 2, 1963. The record of the hearings was printed in a volume of 763 pages.

2. Senate Action

In the Senate, on July 16 and 18, 1963, the Subcommittee on Employment and Manpower of the Committee on Labor and Public Welfare held hearings on the following bills relating to the training and utilization of the manpower resources of the Nation: S. 1691, introduced by Senator Winston L. Prouty, of Vermont, on June 10, 1963; S. 1716, introduced by Senator Jennings Randolph, of West Virginia, and others, on June 13, 1963; S. 1725, introduced by Senator Quentin N. Burdick, of North Dakota, on June 17, 1963; and S. 1831, introduced by Senator Joseph S. Clark, of Pennsylvania, and others on July 2, 1963. The record of the Senate hearings was printed in a volume of 214 pages.

S. 1716 was reported in the Senate from the Committee on Labor and Public Welfare on August 23, 1963 (Rept. 458). The report on the bill stated that:

S. 1716 was proposed in a message to the Congress by the President on June 19, 1963. Its purpose is to postpone the effective date of the State matching requirements under the Manpower Development and Training Act of 1962 from June 30, 1964, to June 30, 1965, in order to provide the State legislatures with sufficient time to appropriate matching funds. This means that the Federal Government must assume full responsibility for financing for an additional year in order to maintain the training levels contemplated by the act at the time of its enactment. Accordingly, the bill also proposes to increase the third year authorization for training programs under the act from the present $161 million to $322 million." This bill was debated and passed by the Senate on September 4, 1963. Concerning Senate approval of this bill (S. 1716), an article in the New York Times commented in part:

41

The Senate approved today a $322 million bill to continue full Government financing of the manpower development and training program for another year. The action, taken by voice vote, was a rescue operation to save the administration's program. Twenty-five legislatures had failed to authorize State funds to meet 50 percent of the costs, starting in 1964.

The program calls for the preparation of training programs by the Secretary of Labor to offset the impacts of automation and other causes of displacement of workers. Proponents held that this project, a segment of the civil rights program, would collapse unless costs of the third year's operations, as well as the first two, were met by Federal funds.

Opponents contended that the program aimed at easing unemployment had failed to interest the States, some of which were satisfactorily operating their own projects.

Administration spokesmen countered that the program was just attaining a pace that assured success in meeting its goal of 400,000 trainees in the third year. The States, they said, had not had sufficient time to realize its potentials."

S. 1716 was referred to the House Committee on Education and Labor on September 5, 1963.

S. 1831, on which hearings had also been held, was reported in the Senate from the Committee on Labor and Public Welfare on September 4, 1963 (Rept. 480). It was debated and passed by the Senate by a record vote on September 6, 1963.43 It was referred to the House Committee on Education and Labor on September 9, 1963.

40 88th Cong., 1st sess., S. Rept. 458, p. 1.

41 Congressional Record (daily edition), Sept. 4, 1963, p. 15510.

42 Trussell, C. P., "Job Retraining Is Passed by Senate," New York Times, Sept. 5, 1963, 43 Congressional Record (daily edition), Sept. 6, 1963, p. 15608.

Concerning the purpose of S. 1831, the Senate committee report stated that:

In his message to the Congress on June 19, President Kennedy made certain recommendations "designed to improve the training, skills, and economic opportunities of the economically distressed and discontented, white and Negro alike." Included in these recommendations were amendments to the Manpower Development and Training Act "not only to increase the authorization ceiling and to postpone the effective date of State matching requirements, but also (in keeping with the recommendations of the President's Committee on Youth Employment) to lower the age for training allowances from 19 to 16, to allocate funds for literacy training, and to permit the payment of a higher proportion of the program's training allowances to out-of-school youths, with provisions to assure that no one drops out of school to take advantage of this program."

S. 1831 incorporates each of these proposals: (1) It provides for training in reading, writing, and arithmetic, as well as manual training in the use of tools, for those of the unemployed who are unable to take occupational training courses because they lack these skills; (2) it provides for the expansion of the youth training program by lowering the age limit for youth training allowances from 19 to 16; and (3) it would increase the percentage of funds available for the youth training program from 5 percent of the estimated total training allowances to 15 percent."

3. Subsequent Action

45

On October 7, 1963, Subcommittee Chairman Holland introduced a new bill, H.R. 8720, which proposed a number of amendments to the Manpower Development and Training Act of 1962. This bill was reported from the Committee on Education and Labor on October 18, 1963 (Rept. 861). It passed the House on December 12, 1963, and passed the Senate on December 13, 1963. It was approved by President Johnson on December 19, 1963, and became Public Law 88-214. Concerning President Johnson's signing of this bill the Washington Star commented in part:

46

The President [today] signed into law a bill extending and expanding the manpower retraining program, which he said should permit 93,000 more persons who lost their jobs because of automation to be retrained.

Describing this program as just a first step, he said “it will require the best efforts of all of us to meet the challenge of the 1960's." "

4. Summary of Public Law 88-214

Following is a digest of Public Law 88-214:

Provides that whenever appropriate the Secretary of Labor shall provide a special program for the testing, counseling, selection, and referral of youths 16 years of age or older, for occupational training and further schooling, who because of inadequate educational background and work preparation are unable to qualify for and obtain employment without such training and schooling.

Permits the Secretary of Labor under provisions of the Manpower Development and Training Act to refer for attainment of basic education and work skills eligible persons who will be able to pursue courses of occupational training of a type for which there appears to be reasonable expectation of employment. Makes such persons eligible for training allowances for not to exceed an additional 20 weeks.

88th Cong., 1st sess., S. Rept. 480, pp. 1-2.

Congressional Record (daily edition), Dec. 12, 1963, p. 23105.

Ibid., Dec. 13, 1963, p. 23342.

"Johnson Signs Manpower Bill," Washington Star, Dec. 19, 1963, p. A-8.

Training allowances shall not exceed $10 more than the average weekly unemployment compensation payment. The training allowance of a person engaged in full-time training shall not be reduced on account of his part-time employment which does not exceed 20 hours per week but shall be reduced in an amount equal to his full earnings for hours worked in excess of 20 hours per week. Generally training allowances shall be paid only to unemployed persons who have had not less than 2 years of experience in gainful employment and who are heads of families or heads of households. Payments may be made to youths 17 years of age or older under certain conditions.

For the fiscal year ending June 30, 1966, any amount paid to a State for training allowances or as reimbursement for unemployment compensation shall be paid on condition that the State shall bear 333 percent of the amount of such payments, and for each year thereafter such amounts shall be paid on condition that such State shall bear 50 percent of the amount of such payments. For the purpose of making expert assistance available to persons formulating and carrying on training programs under this act, the Secretary of Labor shall, where appropriate, require the organization of a community, State and/or regional basis of labor-management-public advisory committees.

Authorizes the Secretary of Labor to develop labor-mobility demonstration projects, to provide assistance in the form of grants or loans to involuntarily unemployed individuals who cannot reasonably be expected to secure full-time employment in the community in which they reside. Such grants may not exceed 50 percent of the expenses incurred reasonably necessary to the transportation of the person who is relocating, and his family, and their household effects. Aid in the form of loans, or a combination of grants and loans, may not exceed 100 percent of such expenses and shall be made subject to such terms and conditions as the Secretary of Labor may prescribe.

Increases the authorization for training programs under this act from $161 million for the fiscal year 1964 to $407 million for the fiscal year 1965, and $281 million for the fiscal year 1966.

5. Text of the Act

Following is the text of Public Law 88-214:

PUBLIC LAW 88-214, 88TH CONGRESS, H.R. 8720, DECEMBER 19, 1963

AN ACT To amend the Manpower Development and Training Act of 1962 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 101 of the Manpower Development and Training Act of 1962 (hereinafter referred to as "the Act") is amended by inserting after “sought out and trained" the following: “as quickly as is reasonably possible", and by inserting after "afforded to these people" the following: "with the least delay".

SEC. 2. (a) Subsection (a) of section 202 of the Act is amended by striking out the second sentence thereof.

(b) Section 202 of the Act is amended by redesignating subsections (b) through (g) as subsections (c) through (h), respectively, and by inserting immediately after subsection (a) the following new subsection:

"(b) Whenever appropriate the Secretary shall provide a special program for the testing, counseling, selection, and referral of youths, sixteen years of age or older, for occupational training and further schooling, who because of inadequate educational background and work preparation are unable to qualify for and obtain employment without such training and schooling."