by him, either upon approval of an amendment of the application or upon revision of the estimated cost of construction of the facility. "(c) In determining the amount of any grant under this title, there shall be excluded from the cost of construction an amount equal to the sum of (1) the amount of any other Federal grant which the applicant has obtained, or is assured of obtaining, with respect to the construction which is to be financed in part by grants authorized under this title, and (2) the amount of any nonFederal funds required to be expended as a condition of such other Federal grant. "RECAPTURE OF PAYMENTS "SEC. 807. If, within ten years after completion of any construction for which funds have been paid under this title "(1) the applicant or other owner of the facility shall cease to be a medical, dental, or public health school, or "(2) unless the Surgeon General determines, in accordance with regulations, that there is good cause for releasing the applicant or other owner from the obligation to use the facility for purposes for which it was constructed, the facility shall cease to be used for such purposes. the United States shall be entitled to recover from the applicant or other owner of the facility the amount bearing the same ratio to the then value (as determined by agreement of the parties or by action brought in the United States District Court for the district in which such facility is situated) of the facility, as the amount of the Federal participation bore to the cost of construction of such facility. "NONINTERFERENCE WITH ADMINISTRATION OF INSTITUTIONS "SEC. 808. Except as otherwise specifically provided in this title, nothing contained in this title shall be construed as authorizing any department, agency, officer, or employee of the United States to exercise any direction, supervision, or control over, or impose any requirement or condition with respect to the personnel, curriculum, methods of instruction, research, or administration of any medical, dental, or public health school. "REGULATIONS "SEC.. 809. (a) Within six months after the enactment of this title, the Surgeon General, after consultation with the Council and with the approval of the Secretary, shall prescribe general regulations covering the eligibility of institutions, and the terms and conditions for approving applications. "(b) The Surgeon General is authorized to make, with the approval of the Secretary, such administrative and other regulations as he finds necessary to carry out the provision of this title. "REPORTS "SEC. 810. On or before January 15, 1959, and annually thereafter, the Surgeon General, in consultation with the Council, shall prepare an annual report and submit it to the President for transmission to the Congress, summarizing the activities under this title and making such recommendations as he may deem appropriate. The report to be submitted on or before January 15, 1961, shall include an appraisal of the current program under this title in the light of its adequacy to meet the needs for funds for the construction of non-Federal facilities for medical, dental, or public health teaching or for research in the sciences related to health. Such reports and appraisals shall include minority views and recommendations, if any, of members of the Council." TITLE III SEC. 301. The Public Health Service Act is further amended by adding at the end of the title added to such Act by title II of this Act the following new title: “TITLE IX-NEW MEDICAL, DENTAL, AND PUBLIC HEALTH SCHOOLS "DECLARATION OF POLICY "SEC. 901. The Congress hereby finds and declares that in order to further carry out the policy set forth in section 801 of this Act, and in order to meet future needs arising from anticipated population increases in the United States, it is necessary to encourage the establishment of new medical, dental, and public health schools in the various geographical areas of the United States. "SEC. 902. As used in this title "DEFINITIONS "(1) the term 'Council' means the National Advisory Council on Health Research and Teaching Facilities established by section 703 of this Act; "(2) the terms 'construction' and 'cost of construction' include (A) the construction of new buildings and the expansion, remodeling, and alteration of existing buildings, including architects' fees, but not including the cost of acquisition of land or off-site improvements, and (B) equipping new buildings and existing buildings, whether or not expanded, remodeled, or altered; "(3) the term 'sciences related to health' includes medicine, osteopathy, dentistry, and public health, and fundamental and applied sciences when related thereto; "(4) the term 'medical school' means a new school which will provide training leading to a degree of doctor of medicine or osteopathy or a graduate degree in public health, which the Surgeon General finds, after consultation with the appropriate accreditation body or bodies, that there is reasonable assurance that the school will, upon completion of its facilities, meet the accreditation standards of such body or bodies; "(5) the term 'dental school' means a new school which wil provide training leading to a degree of doctor of dental surgery, or an equivalent degree, which the Surgeon General finds, after consultation with the appropriate accreditation body or bodies, that there is reasonable assurance that the school will, upon completion of its facilities, meet the accreditation standards of such body or bodies; "(6) the term 'public health school' means a new school which will provide comprehensive professional training, specialized consultative services, and technical assistance in the fields of public health and in the administration of State and local public health programs, which the Surgeon General finds, after consultation with the appropriate accreditation body or bodies, that there is reasonable assurance that the school will, upon completion of its facilities, meet the accreditation standards of such body or bodies; "NATIONAL ADVISORY COUNCIL ON HEALTH RESEARCH AND TEACHING FACILITIES "SEC. 903. The Council shall perform the same functions with respect to this title as it performs with respect to title VII of this Act. "AUTHORIZATION OF APPROPRIATIONS "SEC. 904. There is hereby authorized to be appropriated $100,000,000 for the period beginning July 1, 1958, and ending June 30, 1968, for making grants-in-aid as provided in this title for the construction of medical, dental, and public health teaching facilities, and facilities for the conduct of research in the sciences relating to health by medical, dental, and public health schools; and any sums appropriated pursuant to this section shall remain available until expended. "APPROVAL OF APPLICATIONS "SEC. 905. (a) Applications for grants under this title shall be made not later than June 30, 1967. "(b) To be approved for purposes of eligibility for a grant to assist in the construction of a facility for teaching or a facility for both teaching and research, an institution must be a medical school, dental school, or a public health school. "(c) A grant under this title may be made only if the application therefor is 28728-582 recommended for approval by the Council and is approved by the Surgeon General upon his determination that "(1) the applicant meets the eligibility conditions set forth in subsection (b); "(2) the application contains or is supported by reasonable assurances that (A) for not less than ten years after completion of construction, the facility will be used for the purposes for which it is to be constructed, (B) subject to subsection (d), sufficient funds wil be available to meet the non-Federal share of the cost of constructing the facility, and (C) sufficient funds will be available, when construction is completed, for effective use of the facility for the purposes for which it is being constructed. "(d) Within such aggregate monetary limit as the Surgeon General may prescribe, after consultation with the Council, applications which (solely by reason of the inability of the applicants to give the assurance required by clause (B) of subsection (c) (2)) fail to meet the requirements for approval set forth in subsection (c) may be approved upon condition that the applicants give the assurance required by such clause (B) within a reasonable time and upon such other reasonable terms and conditions as he may determine after consultation with the Council. "(e) In acting upon applications for grants, the Council and the Surgeon General shall take into consideration the relative effectiveness of the proposed facilities in expanding capacity for research in the sciences related to health, or for teaching medicine, dentistry, osteopathy, or public health, in improving the quality of such research or training, and in promoting an equitable geographical distribution of such research or training (giving due consideration to population, available scientific research workers or prospective student applicants, and available research or teaching resources in various areas of the Nation). "AMOUNT OF GRANT; PAYMENTS "SEC. 906. (a) The amount of any grant made under this title shall be that recommended by the Council or such lesser amount as the Surgeon General determines to be appropriate; except that in no event any such amount exceed 66 per centum of the necessary cost of the construction of such facility, as determined by him, or in the case of a multipurpose facility, 66% per centum of that part of the necessary cost of construction which the Surgeon General determines to be proportionate to the contemplated use of the facility for research in the sciencies related to health, or for teaching. "(b) Upon approval of any application for a grant under this title, the Surgeon General shall reserve, from any appropriation available therefor, the amount of such grant as determined under subsection (a), and shall pay such amount, in advance or by way of reimbursement, and in such installments consistent with construction progress, as he may determine. Such payments shall be made through the disbursement facilities of the Department of the Treasury. The Surgeon General's reservation of any amount under this section may be amended by him, either upon approval of an amendment of the application or upon revision of the estimated cost of construction of the facility. "(c) In determining the amount of any grant under this title, there shall be excluded from the cost of construction an amount equal to the sum of (1) the amount of any other Federal grant which the applicant has obtained, or is assured of obtaining, with respect to the construction which is to be financed in part by grants authorized under this title, and (2) the amount of any nonFederal funds required to be expended as a condition of such other Federal grant. "RECAPTURE OF PAYMENTS "SEC. 907. If, within ten years after completion of any construction for which funds have been paid under this title "(1) the applicant or other owner of the facility shall cease to be a medical, dental, or public health school, or "(2) unless the Surgeon General determines, in accordance with regulations, that there is a good cause for releasing the applicant or other owner from the obligation to use the facility for the purposes for which it was constructed, the facility shall cease to be used for such purposes, the United States shall be entitled to recover from the applicant or other owner of the facility the amount bearing the same ratio to the then value (as deter mined by agreement of the parties or by action brought in the United States District Court for the district in which such facility is situated) of the facility, as the amount of the Federal participation bore to the cost of construction of such facility. "NONINTERFERENCE WITH ADMINISTRATION OF INSTITUTIONS "SEC. 908. Except as otherwise specifically provided in this title, nothing contained in this title shall be construed as authorizing any department, agency, officer, or employee of the United States to exercise any direction, supervision, or control over, or impose any requirement or condition with respect to, the personnel, curriculum, methods of instruction, research, or administration of any medical, dental, or public health school. "REGULATIONS "SEC. 909. (a) Within six months after the enactment of this title, the Surgeon General, after consultation with the Council and with the approval of the Secretary, shall prescribe general regulations covering the eligibility of institutions, and the terms and conditions for approving applications. "(b) The Surgeon General is authorized to make, with the approval of the Secretary, such administrative and other regulations as he finds necessary to carry out the provisions of this title. "REPORTS "SEC. 910. On or before January 15, 1959, and annually thereafter, the Surgeon General, in consultation with the Council, shall prepare an annual report and submit it to the President for transmission to the Congress, summarizing the activities under this title and making such recommendations as he may deem appropriate. The report to be submitted on or before January 15, 1966, shall include an appraisal of the current program under this title in the light of its adequacy to meet the needs for funds for the construction of non-Federal facilities for medical or dental teaching or for research in the sciences related to health. Such reports and appraisals shall include minority views and recommendations, if any, of members of the Council." SEC. 302. (a) The Act of July 1, 1944 (58 Stat. 682), as amended, is hereby further amended by renumbering title VIII (as in effect prior to the enactment of this Act) as title X and by renumbering sections 801 through 814 (as in effect prior to the enactment of this Act), and references thereto, as sections 1001 through 1014, respectively. (b) Section 1 of the Public Health Service Act is amended to read as follows: "SHORT TITLE "SECTION 1. Titles I through IX, inclusive, of this Act may be cited as the 'Public Health Service Act'." EXECUTIVE OFFICE OF THE PRESIDENT, BUREAU OF THE BUDGET, Washington, D. C., May 15, 1957. Hon. OREN HARRIS, Chairman, Committee on Interstate and Foreign Commerce, MY DEAR MR. CHAIRMAN: This is in response to your letter of April 25, 1957, requesting the views of the Bureau of the Budget on H. R. 6874, to amend the provisions of the Public Health Service Act relating to grants for construction of research facilities so as to increase their duration from 3 to 5 years and to authorize grants for medical and dental teaching facilities. This bill would amend title VII of the Public Health Service Act to add the authorization of grants to accredited medical and dental schools to assist in the construction of teaching facilities. Grants under title VII are now limited to the construction of research facilities only. The amendment would also increase the present 3-year, $90 million authorization to $225 million over a 5-year period. Of the total authorization, $30 million would be reserved for grants for dental research and teaching facilities. The enactment of this bill would provide needed assistance for medical and dental research and training institutions, and would permit the sound expansion of the Nation's overall capacity for both research and teaching in the medical and dental fields. I am authorized to advise you that enactment of this bill would be in accord with the program of the President. Sincerely yours, Hon. OREN HARRIS, ROBERT E. MERRIAM, Assistant Director. DEPARTMENT OF LABOR, Chairman, Committee on Interstate and Foreign Commerce, House of Representatives, Washington, D. C. DEAR CONGRESSMAN HARRIS: This is with further reference to your request for my comments on H. R. 6874, a bill to amend the provisions of the Public Health Service Act relating to grants for construction of research facilities so as to increase their duration from 3 to 5 years and to authorize grants for medical and dental teaching facilities. This bill would expand the provisions of title VII of the act to include grants for construction of medical and dental teaching facilities as well as the presently authorized grants for construction of health-research facilities. The combined grant program would be extended to 5 years and the appropriations authorized for the program would be increased. As pointed out by President Eisenhower in his economic report, this expansion would provide necessary assistance in an area essential to the development of an adequate, coordinated, health program. Additional facilities for the training of physicians, dentists, and professional health personnel are required, not only to make effective any program of research assistance, but also to meet the dayto-day health needs of our population. I strongly recommend enactment of this legislation. I note, however, that this bill contains no provisions affording labor-standards protection to the workers who will be employed in construction of health and educational facilities which, under the terms of the bill, would be financed by Federal grants. The greatly expanded Federal assistance to construction activity under title VII of the Public Health Service Act provided in H. R. 6874 increases the importance of including this protection. Labor standards for construction financed with this kind of Federal assistance are now contained in title VI of the Public Health Service Act. Health facilities constructed under direct Federal contracts are, of course, subject to the Federal 8-hour laws requiring the payment to laborers and mechanics of not less than time and one-half for work in excess of 8 hours a day. A similar provision is contained in title III of the Defense Housing and Community Facilities Act of 1951, pertaining to construction financed in whole or part of Federal funds. Duties with respect to these and related labor-standards provisions are given to the Secretary of Labor by Reorganization Plan No. 14 of 1950 and section 2 of the Copeland Act, as amended. As a matter of principle, this Department would favor the inclusion in this bill of provisions which would secure laborers and mechanics the payment of not less than the prevailing wage rates in the locality, as determined by the Secretary of Labor in accordance with the Davis-Bacon Act, and not less than time and one-half for overtime work in excess of 8 hours in a day or 40 hours in a week, together with appropriate provisions for application of Reorganization Plan 14 and Copeland Act authority. Your committee may wish to consider an amendment along these lines. Suggested language that might be suitable for the purpose is enclosed. You will note that its inclusion of a 40-hour weekly limit on work at straight-time pay, which is consistent with the Fair Labor Standards Act and the Walsh-Healey Public Contracts Act, would prevent the practice, which some contractors have adopted under the existing 8-hour laws, of working employees a 56-hour week of seven 8-days without overtime payment. The Bureau of the Budget advises that it has no objection to the submission of this report. Sincerely yours, JAMES P. MITCHELL, |