I

103D CONGRESS

1ST SESSION H. R. 1193

To establish a program of voluntary national service for young people and

senior citizens.

IN THE HOUSE OF REPRESENTATIVES

MARCH 3, 1993

Mrs. KENNELLY introduced the following bill; which was referred jointly to

the Committees on Armed Services, Education and Labor, Veterans’ Affairs, Ways and Means, and Foreign Affairs

A BILL

To establish a program of voluntary national service for

young people and senior citizens.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘National Voluntary

5 Service and Educational Opportunity Act of 1993’’.

6 SEC. 2. TABLE OF CONTENTS.

7 The table of contents for this Act is as follows:

Sec. 1. Short title.

Sec. 2. Table of contents.

Sec. 3. Purposes.

Sec. 4. Definitions.

TITLE I—ESTABLISHMENT OF THE CITIZENS CORPS
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Sec. 101. Establishment of the Citizens Corps.

Sec. 102. Individuals eligible to serve in the Citizens Corps.

Sec. 103. Terms of service.

Sec. 104. Types of national and community service.

Sec. 105. Application to serve in the Citizens Corps.

TITLE II—ADMINISTRATION OF THE CITIZENS CORPS

Subtitle A—Administration of the Civilian Service and Senior Service

Sec. 201. Administration of the Civilian Service and Senior Service.

Sec. 202. Duties of the Commission.

Sec. 203. Eligibility for general grants.

Sec. 204. Allocation of funds.

Sec. 205. Reports.

Subtitle B—Provision of National Service Positions for Members of the

Civilian Service and Senior Service

Sec. 221. National service plans and volunteer service areas.

Sec. 222. Establishment of national service councils.

Sec. 223. Duties of national service councils.

Sec. 224. Volunteer recruitment and placement plan.

Sec. 225. Review and approval of plan.

Sec. 226. Service sponsors.

Subtitle C—Deferred Placement of Members of the Civilian Service

Sec. 231. Deferred Placement Program.

Sec. 232. Eligibility to participate in Deferred Placement Program.

Sec. 233. Acceptance.

Sec. 234. Limitation on the use of assistance and reduction of subsequent assistance.

Sec. 235. Placement.

Sec. 236. Breach of contract.

Subtitle D—Administration of the Citizens Corps With Regard to Service in

the Armed Forces

Sec. 241. Administration of the Citizens Corps with regard to service in the

Armed Forces.

Sec. 242. Deferred enlistment.

Sec. 243. Reports.

TITLE III—BENEFITS FOR PARTICIPATING IN THE CITIZENS

CORPS

Sec. 301. Stipend and support services for members of the Civilian Service and

Senior Service.

Sec. 302. Compensation for members of the Citizens Corps serving in the

Armed Forces.

Sec. 303. Educational and housing benefits for members of the Civilian Service

of the Citizens Corps.

Sec. 304. Educational and housing benefits for members of the Citizens Corps

serving in the Armed Forces.

Sec. 305. Provision of educational benefits.

Sec. 306. Provision of housing benefits.

Sec. 307. Time limitation on the use of assistance.
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Sec. 308. Exclusion of assistance from gross income.

Sec. 309. Recoupment of assistance.

Sec. 310. Reports.

TITLE IV—MISCELLANEOUS PROVISIONS

Sec. 401. Educational and housing benefits for participants in the Peace Corps

and VISTA.

Sec. 402. Authorization of appropriations.

Sec. 403. Effective date.

1 SEC. 3. PURPOSES.

2 The purposes of this Act are—

3 (1) to renew the ethic of civic obligation in the

4 United States and spread the responsibilities of

5 citizenship more equitably;

6 (2) to expand opportunities for young people in

7 the United States to—

8 (A) pursue educational, vocational, and

9 professional objectives after secondary school;

10 and

11 (B) purchase affordable housing;

12 (3) to mobilize young people and senior Ameri13 cans to deal with pressing social problems in the

14 United States, including health, education, literacy,

15 child care, hunger, housing, and homelessness;

16 (4) to give senior Americans the opportunity to

17 use their special skills and experience to—

18 (A) provide national service; and

19 (B) assist the Commission on National and

20 Community Service and national service coun21 cils in administering national service programs;
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1 (5) to strengthen national defense by—

2 (A) encouraging more young people to vol3 unteer for service in the active and reserve com4 ponents of the Armed Forces;

5 (B) making the composition of the Armed

6 Forces more representative of the country at

7 large; and

8 (C) assisting the Armed Forces in meeting

9 their personnel goals; and

10 (6) to give young people the experience, self-dis11 cipline, and self-confidence they need to overcome

12 barriers to opportunity.

13 SEC. 4. DEFINITIONS.

14 For purposes of this Act:

15 (1) The term ‘‘active duty’’ has the meaning

16 given to such term in section 101(22) of title 10,

17 United States Code.

18 (2) The term ‘‘area’’ means a volunteer service

19 area.

20 (3) The term ‘‘Armed Forces’’ has the meaning

21 given to such term in section 101(4) of title 10,

22 United States Code.

23 (4) The term ‘‘Citizens Corps’’ means the na24 tional service program established under section

25 101.
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1 (5) The term ‘‘Commission’’ means the Com2 mission on National and Community Service estab3 lished under section 190 of the National and Com4 munity Service Act of 1990 (42 U.S.C. 12651).

5 (6) The term ‘‘community service’’ means serv6 ice of the type described in section 104(a) and such

7 other services essential and necessary to the commu8 nity as the Corporation, by rule, may prescribe.

9 (7) The term ‘‘council’’ means a national serv10 ice council.

11 (8) The term ‘‘Deferred Placement Program’’

12 means the deferred placement program for members

13 of the Civilian Service established in subtitle C of

14 title II.

15 (9) The term ‘‘educational institution’’ means a

16 vocational school (including a technical school) or in17 stitution of higher learning.

18 (10) The term ‘‘Governor’’ means the

19 chief executive officer of a State.

20 (11) The term ‘‘Individual Ready Reserve’’

21 means that portion of the Ready Reserve not in a

22 Selected Reserve.

23 (12) The term ‘‘institution of higher learning’’

24 has the meaning given to such term in section

25 1652(f) of title 38, United States Code.
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1 (13) The term ‘‘local government’’ means a

2 general purpose political subdivision of a State which

3 has the power to levy taxes and spend funds, as well

4 as general corporate and police powers.

5 (14) The term ‘‘nonprofit organization’’ means

6 an organization—

7 (A) described in section 501(c) of the In8 ternal Revenue Code of 1986 (26 U.S.C.

9 501(c)); and

10 (B) exempt from taxation under section

11 501(a) of such Code (26 U.S.C. 501(a)).

12 (15) The term ‘‘program of education or train13 ing’’ means any curriculum or any combination of

14 unit courses or subjects pursued at an educational

15 institution or training establishment which is gen16 erally accepted as necessary to fulfill requirements

17 for the attainment of a predetermined and identified

18 educational, professional, or vocational objective.

19 Such term also means any curriculum of unit

20 courses or subject pursued at an educational institu21 tion or training establishment which fulfills require22 ments for the attainment of more than one predeter23 mined and identified educational, professional, or vo24 cational objective if the objectives pursued are gen-
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1 erally recognized as being reasonably related to a

2 single career field.

3 (16) The term ‘‘Ready Reserve’’ means the

4 Ready Reserve described in section 268(a) of title

5 10, United States Code.

6 (17) The term ‘‘reserve component’’ has the

7 meaning given to such term in 101(24) of title 37,

8 United States Code.

9 (18) The term ‘‘school dropout’’ has the mean10 ing established for such term by the Secretary of

11 Education under section 6201(a) of the Elementary

12 and Secondary Education Act of 1964 (20 U.S.C.

13 3271(a)).

14 (19) The term ‘‘Secretary concerned’’ has the

15 meaning given to such term in section 101(8) of title

16 10, United States Code.

17 (20) The term ‘‘senior’’ means an individual

18 who is age 65 or over and willing to work full- or

19 part-time in national service.

20 (21) The term ‘‘Selected Reserve’’ means the

21 Selected Reserve described in section 268(b) of title

22 10, United States Code.

23 (22) The term ‘‘State’’ means any of the sev24 eral States, the District of Columbia, American

25 Samoa, the Federated States of Micronesia, Guam,
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1 the Republic of the Marshall Islands, the Common2 wealth of the Northern Mariana Islands; the

3 Commonwealth of Puerto Rico, Palau, and

4 the Virgin Islands.

5 (23) The term ‘‘training establishment’’ has the

6 meaning given to such term in section 1652(e) of

7 title 38, United States Code.

8 (24) The term ‘‘vocational school’’ has the

9 meaning given to such term in section 435(c) of the

10 Higher Education Act of 1965 (20 U.S.C. 1085(c)).

11 TITLE I—ESTABLISHMENT OF

12 THE CITIZENS CORPS

13 SEC. 101. ESTABLISHMENT OF THE CITIZENS CORPS.

14 There is hereby established a Citizens Corps which

15 shall provide the following national service options:

16 (1) Civilian Service.

17 (2) Service in the Armed Forces.

18 (3) Senior Service.

19 SEC. 102. INDIVIDUALS ELIGIBLE TO SERVE IN THE CITI20 ZENS CORPS.

21 (a) CIVILIAN SERVICE.—

22 (1) ELIGIBILITY.—An individual may serve in

23 the Civilian Service of the Citizens Corps if such in24 dividual—

25 (A) is age 17 or over;
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1 (B) has received a high school diploma or

2 its equivalent or is a school dropout; and

3 (C) is a citizen of the United States or

4 lawfully admitted for permanent residence.

5 (2) SPECIAL RULE FOR SCHOOL DROPOUTS.—

6 An individual who is a school dropout may serve in

7 the Civilian Service of the Citizens Corps only if the

8 individual enters into an agreement with a national

9 service council to pursue a course of study, approved

10 by the appropriate State agency, designed to result

11 in the individual earning the equivalent of a high

12 school diploma during the term of service

13 of the individual.

14 (b) SERVICE IN THE ARMED FORCES.—Subject to

15 the then existing personnel requirements of the Armed

16 Forces, an individual shall be eligible to enlist for service

17 in the Armed Forces as a member of the Citizens Corps

18 if such individual—

19 (1) has received a high school diploma or its

20 equivalent;

21 (2) satisfies the applicable requirements for en22 listment in the Armed Forces specified in chapter 31

23 of title 10, United States Code; and

24 (3) satisfies such other eligibility criteria estab25 lished by the Secretary of Defense by rule.
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1 (c) SENIOR SERVICE.—An individual may serve in

2 the Senior Service of the Citizens Corps if such individ3 ual—

4 (1) is a senior; and

5 (2) meets the eligibility criteria for service in

6 the Senior Service established by the Commission.

7 SEC. 103. TERMS OF SERVICE.

8 (a) CIVILIAN SERVICE.—

9 (1) ONE-YEAR TERM.—An individual serving in

10 the Civilian Service of the Citizens Corps shall agree

11 to perform full-time national service in such service

12 for a one-year term.

13 (2) EXTENSION.—A member of the Civilian

14 Service of the Citizens Corps serving a one-year

15 term of service may request the extension of such

16 term for an additional year. The Commission shall

17 issue rules specifying the procedure for making and

18 considering such a request.

19 (b) SERVICE IN THE ARMED FORCES.—An individual

20 enlisting for service in the Armed Forces as a member

21 of the Citizens Corps shall select one of the following

22 service obligations in the Armed Forces:

23 (1) Two years of active duty in the Armed

24 Forces, two years in the Selected Reserve of a re-
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1 serve component, and four years in the Individual

2 Ready Reserve.

3 (2) Eight years in the Selected Reserve

4 of a reserve component.

5 (c) SENIOR SERVICE.—An Individual may serve in

6 the Senior Service of the Citizens Corps—

7 (1) for such period of time as allowed by the

8 Commission; and

9 (2) for either full- or part-time service.

10 SEC. 104. TYPES OF NATIONAL AND COMMUNITY SERVICE.

11 (a) CIVILIAN SERVICE AND SENIOR SERVICE.—An

12 individual serving in the Civilian Service or Senior Service

13 of the Citizens Corps may perform national service to meet

14 the unmet service needs of a State, local government or

15 other community. Such national service may include the

16 following types of service:

17 (1) Educational service, such as literacy pro18 grams, Head Start, tutorial assistance, and service

19 in schools, libraries, and adult education centers.

20 (2) Human service, such as—

21 (A) service in hospitals, hospices, clinics,

22 community health centers, homes for the elder23 ly, and child-care centers; and

24 (B) service in programs to assist the elder25 ly, poor, and homeless, including programs to
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1 build, restore, and maintain housing for the

2 poor and homeless.

3 (3) Conservation service, such as service in pro4 grams to conserve, maintain, and restore natural re5 sources in the urban and rural environment, provide

6 recreational opportunities, and encourage community

7 betterment or beautification.

8 (4) Public Safety service in support of the

9 criminal justice system, including police, courts,

10 prisons, and border patrol.

11 (5) Service in existing national programs, such

12 as referral and placement in the Peace Corps and

13 VISTA.

14 (b) SERVICE IN THE ARMED FORCES.—The Sec15 retary of Defense shall designate by rule appropriate na16 tional service positions for members of the Citizens Corps

17 serving in the Armed Forces.

18 SEC. 105. APPLICATION TO SERVE IN THE CITIZENS CORPS.

19 (a) CIVILIAN SERVICE AND SENIOR SERVICE.—

20 (1) APPLICATION.—To serve in the Civilian or

21 Senior Service of the Citizens Corps, an individual

22 shall submit an application to a national service

23 council established under section 222 for a volunteer

24 service area in the State in which the applicant is

25 a resident. The application shall be in such form and
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1 containing such information as the Commission shall

2 require by rule.

3 (2) RESIDENCY REQUIREMENTS.—For purposes

4 of paragraph (1), an individual shall be considered

5 a resident of a State if such individual has resided

6 in such State for the majority of the 1-year period

7 immediately preceding the date of such application.

8 The Corporation on an individual basis may waive

9 this residency requirement.

10 (3) PLACEMENT.—Upon the receipt of an appli11 cation, the national service council may place the ap12 plicant in a national service position in the area tak13 ing into consideration the preference and skills of

14 the applicant and the needs of the area. If the area

15 does not have a national service position available

16 for the applicant, or the council determines (after

17 consultation with the applicant) that the applicant is

18 better qualified for a position outside of the area,

19 the council may refer the applicant for placement to

20 another national service council or a Federal, State,

21 or local government agency accepting members of

22 the Citizens Corps.

23 (4) MEMBERS TREATED AS VOLUNTEERS.—For

24 purposes of Federal laws authorizing a Federal

25 agency to accept the services of a volunteer, an ap-
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1 plicant placed with an agency described in para2 graph (3) shall be considered to be a volunteer.

3 (b) SERVICE IN THE ARMED FORCES.—The Sec4 retary of Defense shall establish a system to enlist individ5 uals for service in the Armed Forces as members of the

6 Citizens Corps.

7 TITLE II—ADMINISTRATION OF

8 THE CITIZENS CORPS

9 Subtitle A—Administration of the

10 Civilian Service and Senior Service

11 SEC. 201. ADMINISTRATION OF THE CIVILIAN SERVICE AND

12 SENIOR SERVICE.

13 The Commission on National and Community Service

14 shall be responsible for administering the Civilian Service

15 and Senior Service of the Citizens Corps.

16 SEC. 202. DUTIES OF THE COMMISSION.

17 (a) ESTABLISHMENT OF POLICY AND OVERSIGHT

18 RESPONSIBILITIES.—The Corporation shall by rule—

19 (1) establish the types and amounts of allow20 ances and support authorized for members of the

21 Civilian and Senior Services under section 301;

22 (2) specify the types of national service activi23 ties appropriate for members of the Civilian and

24 Senior Services;
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1 (3) establish a procedure to monitor the provi2 sion of financial assistance under title III to assure

3 that—

4 (A) graduates of the Citizens Corps faith5 fully completed their terms of service before

6 receiving such assistance; and

7 (B) members of the Citizens Corps receiv8 ing such assistance during their terms of serv9 ice faithfully perform national service;

10 (4) establish a procedure for examining the ef11 fect that national service under this Act has on the

12 availability and terms of employment of employees in

13 the volunteer service area where such

14 service is performed; and

15 (5) establish the rates of pay, eligibility criteria,

16 and terms of service for members of the Sen17 ior Service.

18 (b) GENERAL GRANTS.—Pursuant to the allocation

19 formulas specified in section 204, the Commission shall

20 make grants to States to assist such States—

21 (1) in paying stipends and wages under section

22 301;

23 (2) in providing and administering national

24 service opportunities in each State for members of

25 the Civilian and Senior Services; and
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1 (3) in making grants to national service coun2 cils in each State to carry out their duties under this

3 Act.

4 (c) SUPPLEMENTAL GRANTS.—

5 (1) AUTHORITY TO PROVIDE.—The Commission

6 may make grants during a fiscal year—

7 (A) to a State which the Commission de8 termines has an unusual increase in the number

9 of members of the Civilian and Senior Services

10 (excluding members serving with Federal agen11 cies) in such State for such fiscal year; and

12 (B) to a Federal agency to assist such

13 agency in accepting or placing members of the

14 Civilian and Senior Services for such fiscal

15 year.

16 (2) ELIGIBILITY.—To be eligible for a grant

17 under paragraph (1), a Federal agency or State

18 shall submit to the Commission an application—

19 (A) in such form and at such time as the

20 Commission may require by rule;

21 (B) containing, in the case of an applica22 tion submitted by a State, the assurances speci23 fied in section 203(c); and

24 (C) containing such other information as

25 the Commission may require by rule.
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1 (d) OTHER DUTIES.—

2 (1) INFORMATION.—The Commission shall

3 serve as a source for information on national service

4 opportunities in the United States.

5 (2) PLACEMENT ASSISTANCE.—The Commis6 sion shall assist a State in placing applicants outside

7 of such State if the State is unable to place the ap8 plicant in a position in the State and shall assist

9 Federal agencies in acquiring participants for na10 tional service positions in the Federal Government.

11 (3) INVESTIGATIONS.—The Commission shall

12 receive and investigate claims of abuses in the place13 ment of participants or the administration of

14 national service opportunities by a State, na15 tional service council, or service provider.

16 (4) ACADEMIC CREDIT.—The Commission shall

17 encourage institutions of higher education to confer

18 appropriate academic credit to members of the Citi19 zens Corps who successfully complete their term of

20 service.

21 (e) RECORDS.—The Commission shall keep accurate

22 and complete records of its activities and transactions.

23 Such records shall be made available for audit and exam24 ination by the Comptroller General of the United States
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1 or duly authorized representatives of the Comp2 troller General.

3 SEC. 203. ELIGIBILITY FOR GENERAL GRANTS.

4 (a) APPLICATION REQUIRED.—To be eligible for a

5 grant under section 202(b), a State shall submit to the

6 Commission an application describing—

7 (1) each volunteer service area in such State;

8 (2) the method by which members of the Civil9 ian and Senior Services will be placed in national

10 service positions in the State;

11 (3) the anticipated number of such members

12 during such term;

13 (4) the training and support services that will

14 be provided such members; and

15 (5) the method by which service sponsors will

16 be selected and the requirements imposed on such

17 sponsors.

18 (b) COPIES OF MATERIALS.—A State shall include

19 in an application submitted under subsection (a) copies

20 of all volunteer recruitment and placement plans prepared

21 for the State for the period covered by the application.

22 (c) ASSURANCES.—An application submitted under

23 subsection (a) shall contain assurances by the State that

24 for the period covered by the application—
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1 (1) the State will use non-Federal funds to pay

2 not less than 25 percent of the cost (including the

3 cost of stipends, wages, and allowances provided by

4 the State under section 301) of providing and ad5 ministering national service positions in the State

6 for members of the Civilian and Senior Services

7 (other than members placed with Federal agencies);

8 and

9 (2) the State will maintain State expenditures

10 for community service programs operated by the

11 State on the effective date of this Act at a level

12 equal to not less than the average level of such ex13 penditures maintained by the State for the two-fis14 cal-year period immediately preceding the effective

15 date of this Act.

16 (d) TIME AND FORM.—An application under sub17 section (a) shall be in such form and shall be submitted

18 at such time as the Commission may require and shall

19 contain such other information as the Commission consid20 ers to be appropriate.

21 (e) EXCEPTION TO MATCHING FUNDS REQUIRE22 MENT.—A State may offset against the matching funds

23 requirement specified in subsection (c)(1) not more than

24 50 percent of the administrative costs incurred by the

25 State in administering community service programs for
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1 young people operated by the State on the effective date

2 of this Act.

3 (f) WAIVER OF REQUIREMENT TO MAINTAIN EX4 PENDITURES.—The Commission may, upon the request of

5 a State, waive the requirement specified in subsection

6 (c)(2) that the State maintain expenditures for community

7 service programs if the Commission determines that ex8 traordinary economic conditions in the State justify the

9 waiver.

10 SEC. 204. ALLOCATION OF FUNDS.

11 (a) TRANSITIONAL ALLOCATIONS.—For each fiscal

12 year during the five-year period beginning on the effective

13 date of this Act, the Commission shall make a grant to

14 an eligible State in an amount that bears the same ratio

15 to the sums appropriated for grants under section 202(b)

16 for such fiscal year as the anticipated average number of

17 members in the Civilian and Senior Services (as deter18 mined by the Commission and excluding anticipated mem19 bers serving with Federal agencies) in such State for such

20 fiscal year bears to the anticipated average number of

21 such members in all States for such fiscal year.

22 (b) SUBSEQUENT ALLOCATIONS.—For each fiscal

23 year beginning after the end of the five-year period re24 ferred to in subsection (a), the Commission shall make a

25 grant to an eligible State in an amount that bears the
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1 same ratio to the sums appropriated for grants under sec2 tion 202(b) for such fiscal year as the average number

3 of members in the Civilian and Senior Services (excluding

4 members serving with Federal agencies) in such State for

5 the preceding fiscal year bears to the average number of

6 such members in all States for the preceding fiscal year.

7 SEC. 205. REPORTS.

8 (a) REQUIRED.—On or before May 15 of each cal9 endar year, the Commission shall submit to the President

10 a report on the operation of the Civilian Service and the

11 Senior Service of the Citizens Corps and the activities of

12 the Commission during the preceding fiscal year. The

13 President shall transmit a copy of the report to

14 the Congress.

15 (b) CONTENT OF REPORT.—

16 (1) IN GENERAL.—Each report shall include a

17 comprehensive and detailed description of the oper18 ations, activities, financial condition, and accom19 plishments of the Commission under this Act during

20 the fiscal year covered by such report and

21 such recommendations as the Commission considers

22 appropriate.

23 (2) SPECIAL REQUIREMENTS FOR INITIAL RE24 PORTS.—In the first five reports submitted under

25 subsection (a), the Commission shall specify—
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1 (A) the anticipated number of national

2 service positions that will be available for mem3 bers of the Civilian Service and Senior Service

4 of the Citizens Corps in the fiscal year begin5 ning in the calendar year in which such report

6 is submitted; and

7 (B) the anticipated cost of operating the

8 Civilian Service and Senior Service for such

9 fiscal year.

10 Subtitle B—Provision of National

11 Service Positions for Members

12 of the Civilian Service and Sen13 ior Service

14 SEC. 221. NATIONAL SERVICE PLANS AND VOLUNTEER

15 SERVICE AREAS.

16 (a) NATIONAL SERVICE PLAN.—The Governor of

17 each State shall prepare a national service plan for the

18 State, which shall specify priorities in the State for provid19 ing national service opportunities for members of the

20 Civilian and Senior Services of the Citizens Corps.

21 (b) VOLUNTEER SERVICE AREAS.—Pursuant to the

22 plan prepared under subsection (a), the Governor shall

23 designate volunteer service areas for the State, each of

24 which—
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1 (1) is comprised of the State or one or more ju2 risdictions of units of general local government;

3 (2) will promote effective provision of national

4 services; and

5 (3) is consistent with other designated

6 areas in which related services are provided

7 under other Federal or State programs.

8 (c) CONSULTATION.—Before preparing the national

9 service plan or designating (or redesignating) a volunteer

10 service area, the Governor shall consult with—

11 (1) appropriate State and local government offi12 cials;

13 (2) representatives of community service organi14 zations, educational institutions, business organiza15 tions, and organized labor; and

16 (3) other affected persons or organizations in

17 the area.

18 (d) REDESIGNATION.—

19 (1) TWO YEAR DELAY.—Effective after the end

20 of the two-year period beginning on the date the

21 Governor first designates volunteer service areas

22 under subsection (b), the Governor may redesignate

23 such areas in accordance with such subsection.
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1 (2) SPECIAL RULE.—Notwithstanding para2 graph (1), the Governor shall consider making such

3 a redesignation at the request of the Commission.

4 SEC. 222. ESTABLISHMENT OF NATIONAL SERVICE COUN5 CILS.

6 (a) COMPOSITION OF LOCAL COUNCILS.—There shall

7 be a national service council for each volunteer service

8 area established under section 221. A council shall consist

9 of—

10 (1) representatives of nonprofit community

11 service organizations in the area who have substan12 tial management or policy responsibility with such

13 organizations;

14 (2) representatives of local governments;

15 (3) representatives of educational agencies and

16 institutions, business concerns, rehabilitation agen17 cies, community-based organizations, and economic

18 development agencies in the area; and

19 (4) representatives of organized labor.

20 (b) CHAIRPERSON.—The members of a council shall

21 select one of the members to serve as chairperson of the

22 council.

23 (c) SELECTION OF MEMBERS.—

24 (1) EDUCATION REPRESENTATIVES.—Edu25 cation representatives on a council shall be selected
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1 from among individuals recommended by local edu2 cational agencies, vocational education institutions,

3 institutions of higher learning, or general organiza4 tions of such agencies or institutions, and by private

5 and proprietary schools or general organizations of

6 such schools, within the area.

7 (2) LABOR REPRESENTATIVES.—Labor rep8 resentatives on a council shall be recommended by

9 recognized State and local labor organizations or

10 appropriate building trades councils.

11 (3) OTHER MEMBERS.—The remaining mem12 bers of a council shall be selected from individuals

13 recommended by interested organizations.

14 (d) METHOD OF SELECTION.—

15 (1) SINGLE LOCAL GOVERNMENT.—In any case

16 in which there is only one unit of local government

17 in the volunteer service area, the chief executive offi18 cer of such unit shall appoint members to the coun19 cil from the individuals recommended under sub20 section (c).

21 (2) MULTIPLE LOCAL GOVERNMENTS.—In any

22 case in which there are two or more such units of

23 local government in the area, the chief executive offi24 cers of such units shall appoint members to the

25 council from the individuals so recommended in ac-
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1 cordance with an agreement entered into by such

2 units of general local government. In the absence of

3 such an agreement, the appointments shall be

4 made by the Governor from the individuals so

5 recommended.

6 (e) NUMBER OF MEMBERS.—

7 (1) IN GENERAL.—Except as provided in para8 graph (2), the number of members of a council shall

9 be determined by the council.

10 (2) INITIAL SELECTION.—The initial number of

11 members of a council shall be determined—

12 (A) by the chief executive officer in the

13 case described in subsection (d)(1);

14 (B) by the chief executive officers in ac15 cordance with the agreement in the case

16 described in subsection (d)(2); or

17 (C) by the Governor in the absence of such

18 agreement.

19 (f) TERMS.—Members shall be appointed for fixed

20 and staggered terms and may serve until their successors

21 are appointed. Any vacancy in the membership of the

22 council shall be filled in the same manner as the original

23 appointment. Any member of the council may be removed

24 by the council for cause in accordance with procedures

25 established by the council.
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1 (g) CERTIFICATION OF COUNCIL.—

2 (1) IN GENERAL.—The Governor shall certify a

3 council if the Governor determines that its composi4 tion and appointments are consistent with the provi5 sions of this section. Such certification shall be made

6 or denied within 30 days after the date on which the

7 Governor receives a list of council members and any

8 supporting documentation the Governor considers

9 necessary.

10 (2) FAILURE TO CERTIFY.—If the Governor de11 nies certification, the Governor shall—

12 (A) inform the chief executive officer or of13 ficers submitting the list and documentation of

14 the reasons for denial; and

15 (B) provide for the review of any revised

16 list and documentation.

17 (3) EFFECT OF CERTIFICATION.—Upon certifi18 cation, a council shall be convened within 30 days by

19 the officer or officers who made the appointments to

20 such council under subsection (d) and may receive

21 funds, consistent with section 224, to carry out the

22 duties of the council under this Act.

23 SEC. 223. DUTIES OF NATIONAL SERVICE COUNCILS.

24 (a) RECRUITMENT AND PLACEMENT OF VOLUN25 TEERS.—A national service council shall—
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1 (1) accept applications from individuals seeking

2 to serve in the Civilian Service and Senior Service of

3 the Citizens Corps; and

4 (2) place such individuals in national service po5 sitions consistent with the volunteer recruitment and

6 placement plan of such council and section 104.

7 (b) PREPARATION AND IMPLEMENTATION OF VOL8 UNTEER RECRUITMENT AND PLACEMENT PLAN.—The

9 council shall be responsible for preparing and implement10 ing the volunteer recruitment and placement plan required

11 under section 224.

12 (c) OVERSIGHT.—The council shall provide policy

13 guidance for, and exercise oversight (including review,

14 monitoring, auditing, and evaluation) with respect to ac15 tivities under the volunteer recruitment and placement

16 plan for the volunteer service area of such council.

17 (d) OTHER DUTIES.—

18 (1) BUDGET.—In accordance with the volunteer

19 recruitment and placement plan, a council shall pre20 pare and approve a budget for operation of the

21 council.

22 (2) STAFF.—A council may hire staff or con23 tract for services from nonprofit organizations. In

24 hiring staff, a council is encouraged to include mem25 bers of the Senior Service of the Citizens Corps.
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1 (3) GIFTS.—A council may solicit and accept

2 contributions and grant funds from public and

3 private sources.

4 SEC. 224. VOLUNTEER RECRUITMENT AND PLACEMENT

5 PLAN.

6 (a) CONDITION FOR RECEIVING FUNDS.—Funds ap7 propriated for a fiscal year may not be provided under

8 this Act to a national service council unless the council

9 is certified pursuant to section 222(g). Such funds shall

10 be provided only pursuant to an approved volunteer re11 cruitment and placement plan prepared by such council

12 for a period of two fiscal years, including the fiscal year

13 for which such funds are provided.

14 (b) PREPARATION OF PLAN.—When preparing a vol15 unteer recruitment and placement plan, a council shall

16 consult the national service plan for the State prepared

17 by the Governor under section 221.

18 (c) CONTENTS OF PLAN.—Each volunteer recruit19 ment and placement plan shall—

20 (1) identify the national service council that will

21 administer the plan and is to be the grant recipient

22 of funds from the State;

23 (2) describe the national services to be pro24 vided, including the extent such services reflect the
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•HR 1193 IH

1 priorities contained in the national service plan for

2 the State;

3 (3) contain procedures for recruiting and plac4 ing members of the Citizens Corps;

5 (4) describe the support services to be provided

6 to members of the Citizens Corps, including the

7 types of assistance to be provided to members who

8 are school dropouts to assist such members earn the

9 equivalent of a high school diploma;

10 (5) contain procedures, consistent with section

11 226, for selecting service sponsors, including proce12 dures for council consideration of the past perform13 ance of each service sponsor in national services or

14 related activities, fiscal accountability, and ability to

15 meet performance standards;

16 (6) contain the budget for the council for the

17 two-fiscal year period covered by such plan;

18 (7) contain fiscal control, accounting, audit and

19 debt collection procedures that assure the proper

20 distribution and accounting of funds received under

21 this Act; and

22 (8) provide for the council to submit to the

23 Governor an annual report that includes a descrip24 tion of—
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1 (A) activities conducted during the fiscal

2 year covered by such report;

3 (B) service sponsors in the volunteer serv4 ice area;

5 (C) members of the Citizens Corps placed

6 by such council, including the number of mem7 bers who are school dropouts; and

8 (D) the extent to which the activities ex9 ceeded or failed to meet relevant performance

10 standards established by the Commission.

11 (d) MODIFICATION OF PLAN.—If changes in the na12 tional service needs of the volunteer service area, funding,

13 or other factors require substantial deviation from an ap14 proved plan, the national service council may submit a

15 modification of such plan, which shall be subject to review

16 in accordance with section 225.

17 SEC. 225. REVIEW AND APPROVAL OF PLAN.

18 (a) PUBLICATION OF PROPOSED PLAN.—Not later

19 than 120 days before the beginning of the two-fiscal year

20 period covered by a proposed volunteer recruitment and

21 placement plan, the council shall—

22 (1) publish the proposed plan or a summary

23 thereof; and

24 (2) make such plan available for public review

25 and comment.
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1 (b) SUBMISSION OF PLAN.—Not later than 80 days

2 before the beginning of the 2-fiscal year period covered

3 by a proposed volunteer recruitment and placement plan,

4 the council shall submit such plan to the Governor. Any

5 modification of such plan shall be published and submitted

6 to the Governor not later than 80 days before it is to be

7 effective.

8 (c) REVIEW.—

9 (1) CONDITIONS FOR APPROVAL.—The Gov10 ernor shall approve the volunteer recruitment and

11 placement plan (or modification thereof) unless the

12 Governor finds that—

13 (A) corrective measures for deficiencies

14 found in audits or in meeting performance

15 standards from previous years have not been

16 taken or are not being acceptably implemented;

17 (B) the council does not have the capacity

18 to administer the funds;

19 (C) there are inadequate safeguards for

20 the protection of funds received; or

21 (D) the plan (or modification) does not

22 comply with this Act or a rule of the Commis23 sion.

24 (2) TIME FOR REVIEW.—The Governor shall

25 approve or disapprove a volunteer recruitment and
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•HR 1193 IH

1 placement plan (or modification) within 30 days

2 after the date that the plan (or modifica3 tion) is submitted.

4 (3) EFFECT OF DISAPPROVAL.—If the Governor

5 disapproves a plan, the Governor shall—

6 (A) inform the council of the reasons for

7 such disapproval;

8 (B) provide for the review of any revised

9 plan; and

10 (C) take such steps as the Governor con11 siders necessary to provide for the recruitment

12 and placement of members of the Civilian and

13 Senior Services in the volunteer service area

14 affected by such disapproval.

15 SEC. 226. SERVICE SPONSORS.

16 (a) SELECTION OF SERVICE SPONSORS.—Subject to

17 subsection (b), in placing a member of the Civilian Service

18 or Senior Service of the Citizens Corps with a public agen19 cy or public or nonprofit organization, the council shall

20 give primary consideration to the effectiveness of the agen21 cy or organization in delivering community services and

22 shall give appropriate consideration to the extent to which

23 the agency or organization is a community-based service

24 sponsor. The council shall determine the effectiveness of

25 an agency or organization on the basis of the agency’s or
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1 organization’s demonstrated performance with regard to

2 attaining performance goals, reducing costs, and retaining

3 members of the Citizen Corps placed with such agency or

4 organization.

5 (b) PREVENTION OF WORKER DISPLACEMENT.—In

6 placing a member of the Civilian Service or Senior Service

7 of the Citizens Corps with a public agency or public or

8 nonprofit organization, the council shall take appropriate

9 measures to assure that such placement shall not result

10 in—

11 (1) the displacement of any currently employed

12 worker or position (including partial displacement

13 such as a reduction in the hours of nonovertime

14 work, wages, or employment benefits), or result in

15 the impairment of existing contracts for services or

16 collective bargaining agreements;

17 (2) such member filling a position with such

18 agency or organization when—

19 (A) any other individual is on layoff from

20 the same or any equivalent position with such

21 agency or organization; or

22 (B) the employer has terminated the em23 ployment of any regular employee or otherwise

24 reduced the work force of such employer with
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•HR 1193 IH

1 the effect of filling the vacancy so created with

2 such member; or

3 (3) any infringement of the opportunities of any

4 currently employed individual for promotion.

5 (c) GRIEVANCE PROCEDURE.—

6 (1) ESTABLISHMENT.—Each State shall estab7 lish and maintain a grievance procedure for resolv8 ing complaints by regular employees or their rep9 resentatives that the placement of a member of the

10 Civilian Corps or Senior Corps under this Act vio11 lates any of the prohibitions described in subsection

12 (b).

13 (2) APPEAL.—A decision of the State under

14 such procedure may be appealed to the Commission

15 for investigation and such action as the Commission

16 may find necessary.

17 (d) PAYMENTS BY PRIVATE NONPROFIT ORGANIZA18 TION.—

19 (1) IN GENERAL.—The Commission may re20 quire a private nonprofit organization to pay to the

21 Commission an amount not to exceed $1000 per

22 year for each member of the Civilian Service or Sen23 ior Service placed in a national service position with

24 such organization.
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1 (2) REDUCTION IN PAYMENT.—The Commis2 sion may reduce the payment required under para3 graph (1) to reflect national service provided—

4 (A) for a period of less than a full year; or

5 (B) in the case of a member of the Senior

6 Service, as part-time service.

7 (3) SHARING PAYMENTS.—The Commission

8 shall share any payment received under paragraph

9 (1) or (2) with the State that provides the stipend

10 or wage to the member of the Citizen Corps so

11 placed with a private nonprofit organization. The

12 share paid to the State shall correspond to the

13 matching funds requirement for the State as speci14 fied in section 203 and adjusted to reflect any offset

15 under such section.

16 Subtitle C—Deferred Placement of

17 Members of the Civilian Service

18 SEC. 231. DEFERRED PLACEMENT PROGRAM.

19 The Commission shall establish a special program for

20 members of the Civilian Service under which individuals

21 who are eligible to serve in the Civilian Service of the Citi22 zens Corps under section 102(a) may, before placement

23 for a term of service, receive the financial assistance pro24 vided to members of the Civilian Service under section 303

25 to assist such individuals pursue a program of education
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•HR 1193 IH

1 or training at an educational institution or training

2 establishment.

3 SEC. 232. ELIGIBILITY TO PARTICIPATE IN DEFERRED

4 PLACEMENT PROGRAM.

5 (a) INDIVIDUALS ELIGIBLE.—An individual shall be

6 eligible for selection as a participant in the Deferred

7 Placement Program if the individual—

8 (1) has received a high school diploma or its

9 equivalent and otherwise meets the eligibility

10 requirements contained in section 102(a); and

11 (2) is accepted for enrollment, or is enrolled, as

12 a full-time student—

13 (A) in an accredited (as determined by the

14 Commission) educational institution or training

15 establishment in a State; and

16 (B) in a program of education or training

17 offered by such institution or establishment and

18 approved by the Commission.

19 (b) APPLICATION.—An individual seeking selection

20 for the Deferred Placement Program shall submit an ap21 plication to participate in the Program and agree to enter

22 into a written contract (described in subsection (c))—

23 (1) to accept financial assistance provided

24 under this subtitle to assist such individual in such

25 program of education or training; and
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•HR 1193 IH

1 (2) upon the completion of such program of

2 education or training, to serve as a member of Civil3 ian Service for the term of service corresponding to

4 the amount of financial assistance received.

5 (c) ELEMENTS OF CONTRACT.—Subject to subsection

6 (d), the written contract between the Commission and an

7 individual selected to participate in the Deferred

8 Placement Program shall contain—

9 (1) an agreement by the Commission—

10 (A) to provide the participant with finan11 cial assistance not to exceed $20,000 during the

12 period in which such participant is pursuing a

13 program of education or training described in

14 subsection (a)(2)(B); and

15 (B) to accept (subject to the availability of

16 appropriated funds for carrying out this sub17 title) the participant into the Civilian Service of

18 the Citizens Corps; and

19 (2) an agreement by the participant—

20 (A) to accept provision of such financial

21 assistance;

22 (B) to maintain enrollment in a program

23 of education or training described in subsection

24 (a)(2)(B) until the participant completes the

25 program;
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•HR 1193 IH

1 (C) while enrolled in such program of edu2 cation or training, to maintain an acceptable

3 level of academic standing (as determined under

4 rules of the Commission by the educational in5 stitution or training establishment offering such

6 program); and

7 (D) to serve as a member of the Civilian

8 Service for a time period equal to one year if

9 the assistance provided is $10,000 or less or

10 two years if the assistance provided is more

11 than $10,000; and

12 (3) a statement of the damages to which the

13 United States is entitled under section 236 for the

14 breach of the contract.

15 (d) CONTRACTS SUBJECT TO AVAILABLE FUNDS.—

16 Any financial obligation of the United States arising out

17 of a contract entered into under this section and any obli18 gation of the participant which is conditioned thereon, is

19 contingent upon funds being appropriated for assistance

20 under this subtitle.

21 (e) INFORMATION PROVIDED BY THE COMMISSION.—

22 In disseminating application forms and contract forms to

23 individuals desiring to participate in the Program, the

24 Commission shall include with such forms a fair summary

25 of the rights and liabilities of an individual whose applica-
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•HR 1193 IH

1 tion is approved (and whose contract is accepted) by the

2 Commission, including a clear explanation of the damages

3 to which the United States is entitled under section 236

4 in the case of the breach of the contract.

5 (f) APPLICATION AND CONTRACT FORMS.—The ap6 plication form, contract form, and all other information

7 furnished by the Commission under this subtitle shall be

8 written in a manner calculated to be understood by the

9 average individual applying to participate in the Program.

10 The Commission shall make such application forms, con11 tract forms, and other information available to individuals

12 desiring to participate in the Program on a date suffi13 ciently early to ensure that such individuals have adequate

14 time to carefully review and evaluate such forms and

15 information.

16 SEC. 233. ACCEPTANCE.

17 (a) ACCEPTANCE.—(1) An individual shall become a

18 participant in the Deferred Placement Program only upon

19 the approval by the Commission of an application submit20 ted by the individual under section 232 and the acceptance

21 by the Commission of the contract signed by the individual

22 under such section. Upon the acceptance of an individual

23 to participate in the Deferred Placement Program, the

24 Commission shall promptly provide written notice of such

25 acceptance to such individual.
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1 (b) SELECTION PROCESS.—The Commission shall es2 tablish by rule uniform criteria for the selection on a com3 petitive basis of individuals to participate in the Program.

4 SEC. 234. LIMITATION ON THE USE OF ASSISTANCE AND RE5 DUCTION OF SUBSEQUENT ASSISTANCE.

6 (a) LIMITATION ON THE USE OF ASSISTANCE.—

7 Financial assistance provided under this subtitle—

8 (1) may be used by the participant solely for

9 the purposes described in section 305(d); and

10 (2) may not be used to purchase or construct

11 a dwelling to be owned and occupied by such partici12 pant as the primary residence of such participant.

13 (b) REDUCTION OF SUBSEQUENT ASSISTANCE.—Any

14 financial assistance provided under section 303 to a par15 ticipant in the Program after the completion of the term

16 of service of such participant shall be reduced by the

17 amount of assistance provided to such participant under

18 this subtitle.

19 SEC. 235. PLACEMENT.

20 Upon the completion of a program of education or

21 training described in section 232(a)(2)(B) by a participant

22 in the Program, the Commission shall—

23 (1) refer the participant to a national service

24 council or a Federal, State, or local agency accepting

25 members of the Citizens Corps; and
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•HR 1193 IH

1 (2) acting through such entity, place the partic2 ipant in a national service position taking into con3 sideration the preference and skills of the partici4 pant.

5 SEC. 236. BREACH OF CONTRACT.

6 (a) BREACH DURING A PROGRAM OF EDUCATION OR

7 TRAINING.—An individual who is selected to participate

8 in the Deferred Placement Program and who enters into

9 a written contract with the Commission under section 232

10 shall be considered to be in violation of the contract if

11 the participant—

12 (1) fails to maintain a status as a full-time

13 student;

14 (2) fails to maintain an acceptable level of aca15 demic standing in the educational institution or

16 training establishment in which the participant is

17 enrolled (such level to be determined by the institu18 tion or establishment under rules issued by the

19 Commission);

20 (3) is dismissed from such educational institu21 tion for disciplinary reasons;

22 (4) voluntarily terminates the program of edu23 cation or training described in section 232(a)(2)(B)

24 for which the participant is provided assistance
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•HR 1193 IH

1 under such contract, before the completion of such

2 program; or

3 (5) fails to accept payment, or instructs the

4 educational institution or training establishment in

5 which the individual is enrolled not to accept pay6 ment, in whole or in part, of assistance provided

7 under such contract;

8 (b) REPAYMENT REQUIRED.—In lieu of any service

9 obligation arising under a contract entered into under sec10 tion 232, an individual described in subsection (a) shall

11 be liable to the United States for the amount which has

12 been paid to the individual, or on behalf of the individual,

13 under the contract and interest on such amount at the

14 rate described in subsection (c).

15 (c) BREACH AFTER COMPLETING A PROGRAM OF

16 EDUCATION OR TRAINING.—If (for any reason not speci17 fied in subsection (a)) an individual fails either to begin

18 the term of service in the Citizens Corps agreed to by the

19 individual or to complete such term of service, the United

20 States shall be entitled to recover from the individual an

21 amount determined in accordance with the formula

22 A=3y(t-s/t)

23 in which—

24 (1) ‘‘A’’ is the amount the United States is en25 titled to recover;
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•HR 1193 IH

1 (2) ‘‘Y’’ is the sum of the amounts paid under

2 this subtitle to or on behalf of the individual and the

3 interest on such amounts which would be payable if

4 at the time the amounts were paid they were loans

5 bearing interest at the maximum legal prevailing

6 rate, as determined by the Treasurer of the United

7 States;

8 (3) ‘‘t’’ is the total number of months in the in9 dividual’s term of service; and

10 (4) ‘‘s’’ is the number of months of such term

11 of service served by the individual.

12 (d) PAYMENT OF AMOUNTS.—

13 (1) TIME FOR PAYMENT.—Any amount that the

14 United States is entitled to recover under this sec15 tion shall, within the one-year period beginning on

16 the date of the breach of the written contract (or

17 such longer period beginning on such date as speci18 fied by the Commission), be paid to the United

19 States.

20 (2) EXCESSIVE DELAY.—If any amount de21 scribed in paragraph (1) is delinquent for three or

22 more months, the Commission shall, for the purpose

23 of recovering such amount—
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1 (A) utilize collection agencies contracted

2 with by the Administrator of the General

3 Services Administration; or

4 (B) enter into contracts for the recovery of

5 such damages with collection agencies selected

6 by the Commission.

7 (3) CONDITIONS OF COLLECTION CON8 TRACTS.—Each contract referred to in paragraph

9 (2) shall provide that the contractor will submit to

10 the Commission not less than once every 180 days

11 a status report on the success of the contractor in

12 collecting such damages. Section 3718 of title 31,

13 United States Code, shall apply to any such contract

14 to the extent not inconsistent with this subsection.

15 (e) DISCLOSURE OF DELINQUENT PAYMENTS.—To

16 the extent not otherwise prohibited by law, the Commis17 sion shall disclose to all appropriate credit reporting agen18 cies information relating to amounts of more than $100

19 that—

20 (1) the United States is entitled to recover

21 under this section; and

22 (2) are delinquent by more than 60 days or

23 such longer period as is determined by the

24 Commission.
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1 Subtitle D—Administration of the

2 Citizens Corps With Regard to

3 Service in the Armed Forces

4 SEC. 241. ADMINISTRATION OF THE CITIZENS CORPS WITH

5 REGARD TO SERVICE IN THE ARMED FORCES.

6 (a) RESPONSIBILITY OF SECRETARY OF DEFENSE.—

7 The Secretary of Defense shall be responsible for admin8 istering the Citizens Corps with regard to service by mem9 bers of the Citizens Corps in the Armed Forces.

10 (b) RULEMAKING.—Not later than 60 days after the

11 date of the enactment of this Act, the Secretary shall issue

12 rules to carry out this subtitle.

13 SEC. 242. DEFERRED ENLISTMENT.

14 (a) SENIOR RESERVE OFFICERS’ TRAINING CORPS

15 PROGRAM.—The Secretary concerned, in consultation

16 with the Secretary of Defense, shall expand the Senior Re17 serve Officers’ Training Corps program under chapter 103

18 of title 10, United States Code, so that a certain number

19 of the individuals (as determined by the Secretary con20 cerned) who are eligible to enlist for service in the Armed

21 Forces as a member of the Citizens Corps under section

22 102(b) may, before performing a service obligation se23 lected under section 103(b), receive the financial assist24 ance provided to members of the Citizens Corps under sec25 tion 304 to assist such individuals pursue a program of
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1 education or training at an educational institution or

2 training establishment.

3 (b) OPERATION OF PROGRAM.—The Secretary con4 cerned shall operate the Senior Reserve Officers’ Training

5 Corps Program with regard to individuals referred to in

6 subsection (a) in the manner provided in subtitle C.

7 SEC. 243. REPORTS.

8 (a) REQUIRED.—On or before May 15 of each cal9 endar year, the Secretary of Defense shall submit to the

10 President a report describing the operation of the Citizen

11 Corps with regard to service in the Armed Forces and the

12 activities of the Secretary in administering such service

13 during the fiscal year ending September 30 of the preced14 ing calendar year, and the President shall transmit such

15 report to the Congress.

16 (b) CONTENT OF REPORT.—(1) Each report shall in17 clude a comprehensive and detailed description of the op18 erations, activities, financial condition, and accomplish19 ments of the Citizens Corps with regard to service in the

20 Armed Forces during the fiscal year covered by such re21 port and such recommendations as the Secretary considers

22 appropriate.

23 (2) In the first 5 reports submitted under subsection

24 (a), the Secretary shall specify—
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1 (A) the anticipated number of national service

2 positions that will be available in the Armed Forces

3 for members of the Citizens Corps in the fiscal year

4 beginning in the calendar year in which such report

5 is submitted; and

6 (B) the anticipated cost of operating the Citi7 zens Corps with regard to service in the Armed

8 Forces for such fiscal year.

9 TITLE III—BENEFITS FOR PAR10 TICIPATING IN THE CITIZENS

11 CORPS

12 SEC. 301. STIPEND AND SUPPORT SERVICES FOR MEMBERS

13 OF THE CIVILIAN SERVICE AND SENIOR

14 SERVICE.

15 (a) CIVILIAN SERVICE.—

16 (1) STIPEND.—The State shall provide a sti17 pend of $100 per week to each member of the Civil18 ian Service of the Citizens Corps performing service

19 in the State (except members placed with a Federal

20 agency) while such member is in training and pro21 viding full-time service during the term of service of

22 such member. If a member of the Civilian Service is

23 placed with a Federal agency, such agency shall be

24 responsible for providing a stipend of $100 per week

25 to such member while such member is in training
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1 and providing full-time service with such agency

2 during the term of service of such member.

3 (2) HEALTH COVERAGE.—The Commission

4 shall provide each member of the Civilian Service of

5 the Citizens Corps with health insurance.

6 (3) OTHER SUPPORT.—The Commission may

7 provide such other assistance as the Commission

8 considers necessary and appropriate for a member of

9 the Civilian Service of the Citizens Corps to carry

10 out the service obligation of such member.

11 (b) SENIOR SERVICE.—

12 (1) HOURLY WAGE.—The State or Federal

13 agency, as the case may be, shall pay to each mem14 ber of the Senior Service performing service in the

15 State or with the agency an hourly wage as deter16 mined by rule by the Commission.

17 (2) OTHER SUPPORT.—The Commission may

18 provide such other assistance as the Commission

19 considers necessary and appropriate for a member of

20 the Senior Service to carry out the service obligation

21 of such member.

22 SEC. 302. COMPENSATION FOR MEMBERS OF THE CITIZENS

23 CORPS SERVING IN THE ARMED FORCES.

24 (a) AMOUNT OF COMPENSATION.—Notwithstanding

25 any other provision of law, a member of the Citizens Corps
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1 serving in the Armed Forces shall receive basic pay, basic

2 allowance for subsistence, basic allowance for quarters at

3 66 percent of the rate applicable to other members of the

4 Armed Forces with the same pay grade and years of

5 service.

6 (b) LIMITATIONS.—A member of the Citizens Corps

7 serving in the Armed Forces, or a graduate of such serv8 ice, shall not be eligible to receive benefits under chapters

9 106, 107, and 109 of title 10, United States Code, or

10 chapters 30, 32, 34, 36, or 37 of title 38, United States

11 Code, as a result of such service.

12 SEC. 303. EDUCATIONAL AND HOUSING BENEFITS FOR

13 MEMBERS OF THE CIVILIAN SERVICE OF THE

14 CITIZENS CORPS.

15 (a) AMOUNT OF FINANCIAL ASSISTANCE.—An indi16 vidual who successfully completes a term of service as a

17 member of the Civilian Service of the Citizens Corps shall

18 be eligible to receive financial assistance pursuant to sec19 tion 305 or 306 in an amount not to exceed $10,000 for

20 each year of such term to assist such individual—

21 (1) pursue a program of education or training

22 at an educational institution or training establish23 ment; or
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1 (2) purchase or construct a dwelling to be

2 owned and occupied by such individual as the

3 primary residence of such individual.

4 (b) PARTIAL COMPLETION OF TERM OF SERVICE.—

5 If the Commission releases an individual from completing

6 a term of service in the Civilian Service for compelling per7 sonal circumstances for just cause shown by such member,

8 the Commission may provide such individual with a por9 tion of the financial assistance specified in subsection (a)

10 corresponding to the amount of the service obligation

11 completed by such individual.

12 SEC. 304. EDUCATIONAL AND HOUSING BENEFITS FOR

13 MEMBERS OF THE CITIZENS CORPS SERVING

14 IN THE ARMED FORCES.

15 (a) ACTIVE DUTY IN THE ARMED FORCES.—

16 (1) ELIGIBILITY.—A member of the Citizens

17 Corps serving in the Armed Forces pursuant to sec18 tion 103(b)(1) who is released from active duty after

19 two years of service (characterized by the Secretary

20 concerned as honorable service) on active duty shall

21 be eligible for the financial assistance specified in

22 paragraph (2) on the condition that—

23 (A) the member agrees to complete the

24 service obligation selected by such member; and
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1 (B) such further service is characterized by

2 the Secretary concerned as honorable service.

3 (2) AMOUNT OF BENEFITS.—The financial as4 sistance referred to in paragraph (1) shall be pro5 vided pursuant to section 305 or 306 in an amount

6 not to exceed $24,000 to assist such member—

7 (A) pursue a program of education or

8 training at an educational institution or train9 ing establishment; or

10 (B) purchase or construct a dwelling to be

11 owned and occupied by such individual as the

12 primary residence of such individual.

13 (b) SERVICE IN THE SELECTED RESERVE.—

14 (1) ELIGIBILITY.—A member of the Citizens

15 Corps serving in a reserve component of the Armed

16 Forces pursuant to section 103(b)(2) is eligible for

17 the financial assistance specified in paragraph (2)—

18 (A) after the member serves one year in

19 the Selected Reserve during which the member

20 participates satisfactorily in training as pre21 scribed by the Secretary concerned; and

22 (B) on the condition that the member

23 agrees to complete the service obligation se24 lected by such member and such service is char-
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1 acterized by the Secretary concerned as honor2 able service.

3 (2) AMOUNT OF BENEFITS.—The financial as4 sistance referred to in paragraph (1) shall be pro5 vided pursuant to section 305 or 306 in an amount

6 not to exceed $12,000 to assist such member—

7 (A) pursue a program of education or

8 training at an educational institution or train9 ing establishment; or

10 (B) purchase or construct a dwelling to be

11 owned and occupied by such individual as the

12 primary residence of such individual.

13 (c) PARTIAL COMPLETION OF TERM OF SERVICE.—

14 If the Secretary of Defense releases a member of the Citi15 zens Corps from completing a service obligation in the

16 Armed Forces with an honorable discharge, the Secretary

17 of Veterans Affairs may provide such member with a por18 tion of the financial assistance such individual would have

19 otherwise been entitled to corresponding to the amount of

20 the service obligation completed by such individual.

21 SEC. 305. PROVISION OF EDUCATIONAL BENEFITS.

22 (a) CIVILIAN SERVICE.—The Commission (in con23 sultation with the Secretary of Veterans Affairs) shall ad24 minister the provision of financial assistance under section

25 303 for individuals pursuing a program of education or
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1 training at an educational institution or training establish2 ment.

3 (b) SERVICE IN THE ARMED FORCES.—The Sec4 retary of Veterans Affairs (in consultation with the Com5 mission) shall administer the provision of financial assist6 ance under section 304 for individuals pursuing a program

7 of education or training at an educational institution or

8 training establishment.

9 (c) METHOD OF PROVIDING ASSISTANCE.—The

10 Commission and Secretary shall administer the provision

11 of educational benefits to an individual who is eligible for

12 financial assistance under section 303 or 304 in the man13 ner provided in sections 1663, 1670, 1671, 1673, 1674,

14 1676, 1682(g), and 1683 of title 38, United States Code,

15 and in subchapters I and II of chapter 36 of such title.

16 (d) USE OF ASSISTANCE.—Assistance provided under

17 section 303 or 304 as educational benefits may be used—

18 (1) to pay tuition, fees, books, supplies, equip19 ment, room and board, and other costs determined

20 by the Commission to be necessary to accomplish a

21 program of education or training at an educational

22 institution or training establishment; or

23 (2) to repay student loans that are—

24 (A) incurred by or on behalf of the individ25 ual eligible to receive the assistance; and
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1 (B) insured or guaranteed under part B of

2 title IV of the Higher Education Act of 1965

3 (20 U.S.C. 1071 et seq.) or made under part E

4 of such title (20 U.S.C. 1087 et seq.).

5 SEC. 306. PROVISION OF HOUSING BENEFITS.

6 (a) CIVILIAN SERVICE.—The Commission (in con7 sultation with the Secretary of Veterans Affairs) shall—

8 (1) establish a program by which an individual

9 eligible for financial assistance under section 303

10 may use all or part of such assistance to purchase

11 or construct a dwelling to be owned and occupied by

12 the individual as the primary residence of such indi13 vidual; and

14 (2) monitor the implementation of such pro15 gram.

16 (b) SERVICE IN THE ARMED FORCES.—The Sec17 retary of Veterans Affairs (in consultation with the

18 Commission) shall—

19 (1) establish a program by which an individual

20 eligible for financial assistance under section 304

21 may use all or part of such assistance to purchase

22 or construct a dwelling to be owned and occupied by

23 the individual as the primary residence of such

24 individual; and
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1 (2) monitor the implementation of such pro2 gram.

3 SEC. 307. TIME LIMITATION ON THE USE OF ASSISTANCE.

4 (a) IN GENERAL.—No assistance under section 303

5 or 304 may be provided an individual after the end of the

6 10-year period beginning on the date the term of service

7 of such individual is completed.

8 (b) EXCEPTION.—Subsection (a) shall not apply if

9 the Secretary of Veterans Affairs or the Commission, as

10 the case may be, determines on an individual basis that

11 an individual was unavoidably prevented from using such

12 assistance during such time period.

13 SEC. 308. EXCLUSION OF ASSISTANCE FROM GROSS IN14 COME.

15 (a) EXCLUSION.—For purposes of section 61 of the

16 Internal Revenue Code of 1986 (26 U.S.C. 61), in the case

17 of an individual, gross income shall not include any

18 amount received as assistance under section 303 or 304.

19 (b) NEED ANALYSIS FOR STUDENT ASSISTANCE.—

20 Notwithstanding subsection (a), amounts available as as21 sistance under section 303 or 304 shall be considered

22 when determining family contribution for purposes of a

23 financial need analysis under title IV of the Higher

24 Education Act of 1965 (20 U.S.C. 1070 et seq.).
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1 SEC. 309. RECOUPMENT OF ASSISTANCE.

2 (a) FAILURE TO COMPLETE SERVICE OBLIGATION IN

3 THE ARMED FORCES.—The Secretary of Veterans Affairs

4 shall establish by rule a system to recoup financial assist5 ance provided under section 304 and used by a member

6 of the Citizens Corps serving in the Armed Forces or a

7 reserve component of the Armed Forces in cases in which

8 the individual fails to honorably complete the required

9 service obligation.

10 (b) CALCULATION AND COLLECTION.—The amount

11 recouped under subsection (a) shall be calculated and

12 collected in the manner provided in section 236.

13 SEC. 310. REPORTS.

14 (a) REQUIRED.—(1) The Secretary of Veterans Af15 fairs and the Commission shall submit to the Congress

16 at least once every two years a joint report on the provi17 sion of financial assistance under sections 303 and 304.

18 (2) The first report required by paragraph (1) shall

19 be submitted not later than January 1, 1994.

20 (b) CONTENTS OF REPORT.—Each report submitted

21 under subsection (a) shall include—

22 (1) an assessment of the extent to which the fi23 nancial assistance provided under sections 303 and

24 304 is adequate to induce individuals to serve in the

25 Citizens Corps and complete their terms of service;
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1 (2) the amount of such assistance utilized dur2 ing the period covered by such report; and

3 (3) such recommendations for legislative

4 changes regarding the provision of such assistance

5 to members of the Citizens Corps and individuals

6 who have successfully completed their terms of serv7 ice in the Citizens Corps as the Secretary and

8 Commission consider appropriate.

9 TITLE IV—MISCELLANEOUS

10 PROVISIONS

11 SEC. 401. EDUCATIONAL AND HOUSING BENEFITS FOR PAR12 TICIPANTS IN THE PEACE CORPS AND VISTA.

13 (a) BENEFITS ALLOWED.—Subject to subsection (b),

14 an individual who is not a member of the Civilian Service

15 of the Citizens Corps but who successfully completes a

16 term of service in the Peace Corps or VISTA after the

17 effective date of this Act shall be entitled to financial as18 sistance under section 303 in the same manner as a mem19 ber of the Civilian Service.

20 (b) REDUCTION OF BENEFITS.—The Commission

21 shall reduce the amount of financial assistance available

22 to a former Peace Corps or VISTA volunteer under sub23 section (a) to reflect the amount of compensation received

24 by such volunteer over and above the stipend provided to

25 members of the Civilian Service.
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1 SEC. 402. AUTHORIZATION OF APPROPRIATIONS.

2 There is authorized to be appropriated to the Com3 mission to carry out this Act:

4 (1) $ llll for fiscal year 1994.

5 (2) $ llll for fiscal year 1995.

6 (3) $ llll for fiscal year 1996.

7 (4) Such sums as may be necessary for each

8 fiscal year thereafter.

9 SEC. 403. EFFECTIVE DATE.

10 This Act shall take effect on October 1, 1993.

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