II

106TH CONGRESS

2D SESSION S. 2789

To amend the Congressional Award Act to establish a Congressional

Recognition for Excellence in Arts Education Board.

IN THE SENATE OF THE UNITED STATES

JUNE 26, 2000

Mr. COCHRAN introduced the following bill; which was read twice and referred

to the Committee on Governmental Affairs

A BILL

To amend the Congressional Award Act to establish a Congressional Recognition for Excellence in Arts Education

Board.

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

3 SECTION 1. CONGRESSIONAL RECOGNITION FOR EXCEL4 LENCE IN ARTS EDUCATION.

5 (a) IN GENERAL.—The Congressional Award Act (2

6 U.S.C. 801–808) is amended by adding at the end the fol7 lowing:
2

•S 2789 IS

1 ‘‘TITLE II—CONGRESSIONAL

2 RECOGNITION FOR EXCEL3 LENCE IN ARTS EDUCATION

4 ‘‘SEC. 201. SHORT TITLE.

5 ‘‘This title may be cited as the ‘Congressional Rec6 ognition for Excellence in Arts Education Act’.

7 ‘‘SEC. 202. FINDINGS.

8 ‘‘Congress makes the following findings:

9 ‘‘(1) Arts literacy is a fundamental purpose of

10 schooling for all students.

11 ‘‘(2) Arts education stimulates, develops, and

12 refines many cognitive and creative skills, critical

13 thinking and nimbleness in judgment, creativity and

14 imagination, cooperative decisionmaking, leadership,

15 high-level literacy and communication, and the ca16 pacity for problem-posing and problem-solving.

17 ‘‘(3) Arts education contributes significantly to

18 the creation of flexible, adaptable, and knowledge19 able workers who will be needed in the 21st century

20 economy.

21 ‘‘(4) Arts education improves teaching and

22 learning.

23 ‘‘(5) Where parents and families, artists, arts

24 organizations, businesses, local civic and cultural

25 leaders, and institutions are actively engaged in in-
3

•S 2789 IS

1 structional programs, arts education is more suc2 cessful.

3 ‘‘(6) Effective teachers of the arts should be en4 couraged to continue to learn and grow in mastery

5 of their art form as well as in their teaching com6 petence.

7 ‘‘(7) The 1999 study, entitled ‘Gaining the Arts

8 Advantage: Lessons from School Districts that

9 Value Arts Education’, found that the literacy, edu10 cation, programs, learning and growth described in

11 paragraphs (1) through (6) contribute to successful

12 districtwide arts education.

13 ‘‘(8) Despite all of the literacy, education, pro14 grams, learning and growth findings described in

15 paragraphs (1) through (6), the 1997 National As16 sessment of Educational Progress reported that stu17 dents lack sufficient opportunity for participatory

18 learning in the arts.

19 ‘‘(9) The Arts Education Partnership, a coali20 tion of national and State education, arts, business,

21 and civic groups has demonstrated its effectiveness

22 in addressing the purposes described in section

23 205(a) and the capacity and credibility to administer

24 arts education programs of national significance.
4

•S 2789 IS

1 ‘‘SEC. 203. DEFINITIONS.

2 ‘‘In this title:

3 ‘‘(1) ARTS EDUCATION PARTNERSHIP.—The

4 term ‘Arts Education Partnership’ (formerly known

5 as the Goals 2000 Arts Education Partnership) is a

6 private, nonprofit coalition of education, arts, busi7 ness, philanthropic, and government organizations

8 that—

9 ‘‘(A) demonstrates and promotes the es10 sential role of arts education in enabling all stu11 dents to succeed in school, life, and work; and

12 ‘‘(B) was formed in 1995 through a coop13 erative agreement among—

14 ‘‘(i) the National Endowment for the

15 Arts;

16 ‘‘(ii) the Department of Education;

17 ‘‘(iii) the National Assembly of State

18 Arts Agencies; and

19 ‘‘(iv) the Council of Chief State

20 School Officers.

21 ‘‘(2) BOARD.—The term ‘Board’ means the

22 Congressional Recognition for Excellence in Arts

23 Education Awards Board established under section

24 204.
5

•S 2789 IS

1 ‘‘(3) ELEMENTARY SCHOOL; SECONDARY

2 SCHOOL.—The terms ‘elementary school’ and ‘sec3 ondary school’ mean—

4 ‘‘(A) a public or private elementary school

5 or secondary school (as the case may be), as de6 fined in section 14101 of the Elementary and

7 Secondary Education Act of 1965 (20 U.S.C.

8 8801); or

9 ‘‘(B) a bureau funded school as defined in

10 section 1146 of the Education Amendments of

11 1978 (25 U.S.C. 2026).

12 ‘‘(4) STATE.—The term ‘State’ means each of

13 the several States of the United States, the District

14 of Columbia, the Commonwealth of Puerto Rico,

15 Guam, American Samoa, the United States Virgin

16 Islands, the Commonwealth of the Northern Mar17 iana Islands, the Republic of the Marshall Islands,

18 the Federated States of Micronesia, and the Repub19 lic of Palau.

20 ‘‘SEC. 204. ESTABLISHMENT OF BOARD.

21 ‘‘There is established within the legislative branch of

22 the Federal Government a Congressional Recognition for

23 Excellence in Arts Education Awards Board. The Board

24 shall be responsible for administering the awards program

25 described in section 205.
6

•S 2789 IS

1 ‘‘SEC. 205. BOARD DUTIES.

2 ‘‘(a) AWARDS PROGRAM ESTABLISHED.—The Board

3 shall establish and administer an awards program to be

4 known as the ‘Congressional Recognition for Excellence in

5 Arts Education Awards Program’. The purpose of the pro6 gram shall be to—

7 ‘‘(1) celebrate the positive impact and public

8 benefits of the arts;

9 ‘‘(2) encourage all elementary schools and sec10 ondary schools to integrate the arts into the school

11 curriculum;

12 ‘‘(3) spotlight the most compelling evidence of

13 the relationship between the arts and student learn14 ing;

15 ‘‘(4) demonstrate how community involvement

16 in the creation and implementation of arts policies

17 enriches the schools;

18 ‘‘(5) recognize school administrators and faculty

19 who provide quality arts education to students;

20 ‘‘(6) acknowledge schools that provide profes21 sional development opportunities for their teachers;

22 ‘‘(7) create opportunities for students to experi23 ence the relationship between early participation in

24 the arts and developing the life skills necessary for

25 future personal and professional success;
7

•S 2789 IS

1 ‘‘(8) increase, encourage, and ensure com2 prehensive, sequential arts learning for all students;

3 and

4 ‘‘(9) expand student access to arts education in

5 schools in every community.

6 ‘‘(b) DUTIES.—

7 ‘‘(1) SCHOOL AWARDS.—The Board shall—

8 ‘‘(A) make annual awards to elementary

9 schools and secondary schools in the States in

10 accordance with criteria established under sub11 paragraph (B), which awards—

12 ‘‘(i) shall be of such design and mate13 rials as the Board may determine, includ14 ing a well-designed certificate or a work of

15 art, designed for the awards event by an

16 appropriate artist; and

17 ‘‘(ii) shall be reflective of the dignity

18 of Congress;

19 ‘‘(B) establish criteria required for a school

20 to receive the award, and establish such proce21 dures as may be necessary to verify that the

22 school meets the criteria, which criteria shall in23 clude criteria requiring—

24 ‘‘(i) that the school provides com25 prehensive, sequential arts learning and in-
8

•S 2789 IS

1 tegrates the arts throughout the cur2 riculum; and

3 ‘‘(ii) 3 of the following:

4 ‘‘(I) that the community serving

5 the school is actively involved in shap6 ing and implementing the arts policies

7 and programs of the school;

8 ‘‘(II) that the school principal

9 supports the policy of arts education

10 for all students;

11 ‘‘(III) that arts teachers in the

12 school are encouraged to learn and

13 grow in mastery of their art form as

14 well as in their teaching competence;

15 ‘‘(IV) that the school actively en16 courages the use of arts assessment

17 techniques for improving student,

18 teacher, and administrative perform19 ance; and

20 ‘‘(V) that school leaders engage

21 the total school community in arts ac22 tivities that create a climate of sup23 port for arts education; and

24 ‘‘(C) include, in the procedures necessary

25 for verification that a school meets the criteria
9

•S 2789 IS

1 described in subparagraph (B), written evidence

2 of the specific criteria, and supporting docu3 mentation, that includes—

4 ‘‘(i) 3 letters of support for the school

5 from community members, which may in6 clude a letter from—

7 ‘‘(I) the school’s Parent Teacher

8 Association (PTA);

9 ‘‘(II) community leaders, such as

10 elected or appointed officials; and

11 ‘‘(III) arts organizations or insti12 tutions in the community that partner

13 with the school; and

14 ‘‘(ii) the completed application for the

15 award signed by the principal or other edu16 cation leader such as a school district arts

17 coordinator, school board member, or

18 school superintendent;

19 ‘‘(D) determine appropriate methods for

20 disseminating information about the program

21 and make application forms available to schools,

22 which methods may include—

23 ‘‘(i) the Arts Education Partnership

24 web site and publications;
10

•S 2789 IS

1 ‘‘(ii) the Department of Education

2 Community Update newsletter;

3 ‘‘(iii) websites and publications of the

4 Arts Education Partnership steering com5 mittee members;

6 ‘‘(iv) press releases, public service an7 nouncements and other media opportuni8 ties; and

9 ‘‘(v) direct communication by postal

10 mail, or electronic means;

11 ‘‘(E) delineate such roles as the Board

12 considers to be appropriate for the Director in

13 administering the program, and set forth in the

14 bylaws of the Board the duties, salary, and ben15 efits of the Director;

16 ‘‘(F) raise funds for the operation of the

17 program;

18 ‘‘(G) determine, and inform Congress re19 garding, the national readiness for interdiscipli20 nary individual student awards described in

21 paragraph (2), on the basis of the framework

22 established in the 1997 National Assessment of

23 Educational Progress and such other criteria as

24 the Board determines appropriate; and
11

•S 2789 IS

1 ‘‘(H) take such other actions as may be

2 appropriate for the administration of the Con3 gressional Recognition for Excellence in Arts

4 Education Awards Program.

5 ‘‘(2) STUDENT AWARDS.—

6 ‘‘(A) IN GENERAL.—At such time as the

7 Board determines appropriate, the Board—

8 ‘‘(i) shall make annual awards to ele9 mentary school and secondary school stu10 dents for individual interdisciplinary arts

11 achievement; and

12 ‘‘(ii) establish criteria for the making

13 of the awards.

14 ‘‘(B) AWARD MODEL.—The Board may use

15 as a model for the awards the Congressional

16 Award Program and the President’s Physical

17 Fitness Award Program.

18 ‘‘(c) PRESENTATION.—The Board shall arrange for

19 the presentation of awards under this section to the recipi20 ents and shall provide for participation by Members of

21 Congress in such presentation, when appropriate.

22 ‘‘(d) DATE OF ANNOUNCEMENT.—The Board shall

23 determine an appropriate date or dates for announcement

24 of the awards under this section, which date shall coincide
12

•S 2789 IS

1 with a National Arts Education Month or a similarly des2 ignated day, week or month, if such designation exists.

3 ‘‘(e) REPORT.—

4 ‘‘(1) IN GENERAL.—The Board shall prepare

5 and submit an annual report to Congress not later

6 than March 1 of each year summarizing the activi7 ties of the Congressional Recognition for Excellence

8 in Arts Education Awards Program during the pre9 vious year and making appropriate recommendations

10 for the program. Any minority views and rec11 ommendations of members of the Board shall be in12 cluded in such reports.

13 ‘‘(2) CONTENTS.—The annual report shall con14 tain the following:

15 ‘‘(A) Specific information regarding the

16 methods used to raise funds for the Congres17 sional Recognition for Excellence in Arts Edu18 cation Awards Program and a list of the

19 sources of all money raised by the Board.

20 ‘‘(B) Detailed information regarding the

21 expenditures made by the Board, including the

22 percentage of funds that are used for adminis23 trative expenses.

24 ‘‘(C) A description of the programs formu25 lated by the Director under section 207(b)(1),
13

•S 2789 IS

1 including an explanation of the operation of

2 such programs and a list of the sponsors of the

3 programs.

4 ‘‘(D) A detailed list of the administrative

5 expenditures made by the Board, including the

6 amounts expended for salaries, travel expenses,

7 and reimbursed expenses.

8 ‘‘(E) A list of schools given awards under

9 the program, and the city, town, or county, and

10 State in which the school is located.

11 ‘‘(F) An evaluation of the state of arts

12 education in schools, which may include anec13 dotal evidence of the effect of the Congressional

14 Recognition for Excellence in Arts Education

15 Awards Program on individual school cur16 riculum.

17 ‘‘(G) On the basis of the findings described

18 in section 202 and the purposes of the Congres19 sional Recognition for Excellence in Arts Edu20 cation Awards Program described in section

21 205(a), a recommendation regarding the na22 tional readiness to make individual student

23 awards under subsection (b)(2).

24 ‘‘SEC. 206. COMPOSITION OF BOARD; ADVISORY BOARD.

25 ‘‘(a) COMPOSITION.—
14

•S 2789 IS

1 ‘‘(1) IN GENERAL.—The Board shall consist of

2 9 members as follows:

3 ‘‘(A) 2 Members of the Senate appointed

4 by the Majority Leader of the Senate.

5 ‘‘(B) 2 Members of the Senate appointed

6 by the Minority Leader of the Senate.

7 ‘‘(C) 2 Members of the House of Rep8 resentatives appointed by the Speaker of the

9 House of Representatives.

10 ‘‘(D) 2 Members of the House of Rep11 resentatives appointed by the Minority Leader

12 of the House of Representatives.

13 ‘‘(E) The Director of the Board, who shall

14 serve as a nonvoting member.

15 ‘‘(2) ADVISORY BOARD.—There is established

16 an Advisory Board to assist and advise the Board

17 with respect to its duties under this title, that shall

18 consist of 15 members appointed—

19 ‘‘(A) in the case of the initial such mem20 bers of the Advisory Board, by the leaders of

21 the Senate and House of Representatives mak22 ing the appointments under paragraph (1),

23 from among representatives of the Arts Edu24 cation Partnership selected from recommenda-
15

•S 2789 IS

1 tions received from the Arts Education Partner2 ship steering committee; and

3 ‘‘(B) in the case of any other such mem4 bers of the Advisory Board, by the Board, from

5 among representatives of the Arts Education

6 Partnership selected from recommendations re7 ceived from the Arts Education Partnership

8 steering committee.

9 ‘‘(3) SPECIAL RULE FOR ADVISORY BOARD.—In

10 making appointments to the Advisory Board, the in11 dividuals and entity making the appointments under

12 paragraph (2) shall consider recommendations sub13 mitted by any interested party, including any mem14 ber of the Board.

15 ‘‘(4) INTEREST.—

16 ‘‘(A) IN GENERAL.—Members of Congress

17 appointed to the Board shall have an interest in

18 1 of the purposes described in section 205(a).

19 ‘‘(B) DIVERSITY.—Representatives of the

20 Arts Education Partnership appointed to the

21 Advisory Board shall represent the diversity of

22 that organization’s membership, so that artistic

23 and education professionals are represented in

24 the membership of the Board, including at least
16

•S 2789 IS

1 1 representative who teaches in each of the fol2 lowing disciplines:

3 ‘‘(i) Music.

4 ‘‘(ii) Theater.

5 ‘‘(iii) Visual Arts.

6 ‘‘(iv) Dance.

7 ‘‘(b) TERMS.—

8 ‘‘(1) BOARD.—Members of the Board shall

9 serve for terms of 6 years, except that of the mem10 bers first appointed—

11 ‘‘(A) 1 Member of the House of Represent12 atives and 1 Member of the Senate shall serve

13 for terms of 2 years;

14 ‘‘(B) 1 Member of the House of Represent15 atives and 1 Member of the Senate shall serve

16 for terms of 4 years; and

17 ‘‘(C) 2 Members of the House of Rep18 resentatives and 2 Members of the Senate shall

19 serve for terms of 6 years,

20 as determined by lot when all such members have

21 been appointed.

22 ‘‘(2) ADVISORY BOARD.—Members of the Advi23 sory Board shall serve for terms of 6 years, except

24 that of the members first appointed, 3 shall serve

25 for terms of 2 years, 4 shall serve for terms of 4
17

•S 2789 IS

1 years, and 8 shall serve for terms of 6 years, as de2 termined by lot when all such members have been

3 appointed.

4 ‘‘(c) VACANCY.—

5 ‘‘(1) IN GENERAL.—Any vacancy in the mem6 bership of the Board or Advisory Board shall be

7 filled in the same manner in which the original ap8 pointment was made.

9 ‘‘(2) TERM.—Any member appointed to fill a

10 vacancy occurring before the expiration of the term

11 for which the member’s predecessor was appointed

12 shall be appointed only for the remainder of such

13 term.

14 ‘‘(3) EXTENSION.—Any appointed member of

15 the Board or Advisory Board may continue to serve

16 after the expiration of the member’s term until the

17 member’s successor has taken office.

18 ‘‘(4) SPECIAL RULE.—Vacancies in the mem19 bership of the Board shall not affect the Board’s

20 power to function if there remain sufficient members

21 of the Board to constitute a quorum under sub22 section (d).

23 ‘‘(d) QUORUM.—A majority of the members of the

24 Board shall constitute a quorum.
18

•S 2789 IS

1 ‘‘(e) COMPENSATION.—Members of the Board and

2 Advisory Board shall serve without pay but may be com3 pensated for reasonable travel expenses incurred by the

4 members in the performance of their duties as members

5 of the Board.

6 ‘‘(f) MEETINGS.—The Board shall meet annually at

7 the call of the Chairperson and at such other times as

8 the Chairperson may determine to be appropriate. The

9 Chairperson shall call a meeting of the Board whenever

1 10 ⁄3 of the members of the Board submit written requests

11 for such a meeting.

12 ‘‘(g) OFFICERS.—The Chairperson and the Vice

13 Chairperson of the Board shall be elected from among the

14 members of the Board, by a majority vote of the members

15 of the Board, for such terms as the Board determines.

16 The Vice Chairperson shall perform the duties of the

17 Chairperson in the absence of the Chairperson.

18 ‘‘(h) COMMITTEES.—

19 ‘‘(1) IN GENERAL.—The Board may appoint

20 such committees, and assign to the committees such

21 functions, as may be appropriate to assist the Board

22 in carrying out its duties under this title. Members

23 of such committees may include the members of the

24 Board, the Advisory Board, or such other qualified

25 individuals as the Board may select.
19

•S 2789 IS

1 ‘‘(2) SPECIAL RULE.—Any employee or officer

2 of the Federal Government may serve as a member

3 of a committee created by the Board, but may not

4 receive compensation for services performed for such

5 a committee.

6 ‘‘(i) BYLAWS AND OTHER REQUIREMENTS.—The

7 Board shall establish such bylaws and other requirements

8 as may be appropriate to enable the Board to carry out

9 the Board’s duties under this title.

10 ‘‘SEC. 207. ADMINISTRATION.

11 ‘‘(a) IN GENERAL.—In the administration of the

12 Congressional Recognition for Excellence in Arts Edu13 cation Awards Program, the Board shall be assisted by

14 a Director, who shall be the principal executive of the pro15 gram and who shall supervise the affairs of the Board.

16 The Director shall be nominated by the Arts Education

17 Partnership steering committee and appointed by a major18 ity vote of the Board.

19 ‘‘(b) DIRECTOR’S RESPONSIBILITIES.—The Director

20 shall, in consultation with the Board—

21 ‘‘(1) formulate programs to carry out the poli22 cies of the Congressional Recognition for Excellence

23 in Arts Education Awards Program;
20

•S 2789 IS

1 ‘‘(2) establish such divisions within the Con2 gressional Recognition for Excellence in Arts Edu3 cation Awards Program as may be appropriate; and

4 ‘‘(3) employ and provide for the compensation

5 of such personnel as may be necessary to carry out

6 the Congressional Recognition for Excellence in Arts

7 Education Awards Program, subject to such policies

8 as the Board shall prescribe under its bylaws.

9 ‘‘(c) APPLICATION.—Each school or student desiring

10 an award under this title shall submit an application to

11 the Board at such time, in such manner and accompanied

12 by such information as the Board may require.

13 ‘‘SEC. 208. LIMITATIONS.

14 ‘‘(a) IN GENERAL.—Subject to such limitations as

15 may be provided for under this section, the Board may

16 take such actions and make such expenditures as may be

17 necessary to carry out the Congressional Recognition for

18 Excellence in Arts Education Awards Program, except

19 that the Board shall carry out its functions and make ex20 penditures with only such resources as are available to the

21 Board from the Congressional Recognition for Excellence

22 in Arts Education Awards Trust Fund pursuant to section

23 210(e).

24 ‘‘(b) CONTRACTS.—The Board may enter into such

25 contracts as may be appropriate to carry out the business
21

•S 2789 IS

1 of the Board, but the Board may not enter into any con2 tract which will obligate the Board to expend an amount

3 greater than the amount available to the Board for the

4 purpose of such contract during the fiscal year in which

5 the expenditure is made.

6 ‘‘(c) GIFTS.—The Board may seek and accept, from

7 sources other than the Federal Government, funds and

8 other resources to carry out the Board’s activities. The

9 Board may not accept any funds or other resources that

10 are—

11 ‘‘(1) donated with a restriction on their use un12 less such restriction merely provides that such funds

13 or other resources be used in furtherance of the

14 Congressional Recognition for Excellence in Arts

15 Education Awards Program; or

16 ‘‘(2) donated subject to the condition that the

17 identity of the donor of the funds or resources shall

18 remain anonymous.

19 ‘‘(d) VOLUNTEERS.—The Board may accept and uti20 lize the services of voluntary, uncompensated personnel.

21 ‘‘(e) REAL OR PERSONAL PROPERTY.—The Board

22 may lease (or otherwise hold), acquire, or dispose of real

23 or personal property necessary for, or relating to, the du24 ties of the Board.
22

•S 2789 IS

1 ‘‘(f) PROHIBITIONS.—The Board shall have no

2 power—

3 ‘‘(1) to issue bonds, notes, debentures, or other

4 similar obligations creating long-term indebtedness;

5 ‘‘(2) to issue any share of stock or to declare

6 or pay any dividends; or

7 ‘‘(3) to provide for any part of the income or

8 assets of the Board to inure to the benefit of any

9 director, officer, or employee of the Board except as

10 reasonable compensation for services or reimburse11 ment for expenses.

12 ‘‘SEC. 209. AUDITS.

13 ‘‘The financial records of the Board may be audited

14 by the Comptroller General of the United States at such

15 times as the Comptroller General may determine to be ap16 propriate. The Comptroller General, or any duly author17 ized representative of the Comptroller General, shall have

18 access for the purpose of audit to any books, documents,

19 papers, and records of the Board (or any agent of the

20 Board) which, in the opinion of the Comptroller General,

21 may be pertinent to the Congressional Recognition for Ex22 cellence in Arts Education Awards Program.

23 ‘‘SEC. 210. TERMINATION.

24 ‘‘The Board shall terminate 6 years after the date

25 of enactment of this title. The Board shall set forth, in
23

•S 2789 IS

1 its bylaws, the procedures for dissolution to be followed

2 by the Board.

3 ‘‘SEC. 211. TRUST FUND.

4 ‘‘(a) ESTABLISHMENT OF FUND.—There is estab5 lished in the Treasury of the United States a trust fund

6 to be known as the ‘Congressional Recognition for Excel7 lence in Arts Education Awards Trust Fund’. The fund

8 shall consist of amounts donated to the Board under sec9 tion 208(c) and amounts credited to the fund under sub10 section (d).

11 ‘‘(b) INVESTMENT OF FUND ASSETS.—

12 ‘‘(1) IN GENERAL.—It shall be the duty of the

13 Secretary of the Treasury to invest in full the

14 amounts in the fund. Such investments may be

15 made only in interest-bearing obligations of the

16 United States or in obligations guaranteed as to

17 both principal and interest by the United States.

18 For such purpose, such obligations may be acquired

19 on original issue at the issue price or by purchase

20 of outstanding obligations at the marketplace.

21 ‘‘(2) SPECIAL RULE.—The purposes for which

22 obligations of the United States may be issued under

23 the Second Liberty Bond Act are hereby extended to

24 authorize the issuance at par of special obligations

25 exclusively to the fund. Such special obligations shall
24

•S 2789 IS

1 bear interest at a rate equal to the average rate of

2 interest, computed as to the end of the calendar

3 month next preceding the date of such issue, borne

4 by all marketable interest-bearing obligations of the

5 United States then forming a part of the public

6 debt, except that when such average rate is not a

multiple of 1 7 ⁄8 of 1 percent, the rate of interest of

such special obligations shall be the multiple of 1 8 ⁄8

9 of 1 percent next lower than such average rate. Such

10 special obligations shall be issued only if the Sec11 retary determines that the purchase of other inter12 est-bearing obligations of the United States, or of

13 obligations guaranteed as to both principal and in14 terest by the United States on original issue or at

15 the market price, is not in the public interest.

16 ‘‘(c) AUTHORITY TO SELL OBLIGATIONS.—Any obli17 gation acquired by the fund (except special obligations

18 issued exclusively to the fund) may be sold by the Sec19 retary of the Treasury at the market price, and such spe20 cial obligations may be redeemed at par plus accrued in21 terest.

22 ‘‘(d) PROCEEDS FROM CERTAIN TRANSACTIONS

23 CREDITED TO FUND.—The interest on, and the proceeds

24 from the sale or redemption of, any obligations held in

25 the fund shall be credited to and form a part of the fund.
25

•S 2789 IS

1 ‘‘(e) EXPENDITURES FROM TRUST FUND.—The Sec2 retary of the Treasury is authorized to pay to the Board

3 from the interest and earnings of the fund such sums as

4 the Board determines are necessary and appropriate to en5 able the Board to carry out this title.’’

6 (b) CONFORMING AMENDMENTS.—The Congres7 sional Award Act (2 U.S.C. 801–808) is amended—

8 (1) by inserting after section 1 the following:

9 ‘‘TITLE I—CONGRESSIONAL

10 AWARD PROGRAM’’,

11 (2) by redesignating sections 2 through 9 as

12 sections 101 through 108, respectively,

13 (3) in section 101 (as so redesignated)—

14 (A) by striking ‘‘Act’’ and inserting ‘‘title’’,

15 and

16 (B) by striking ‘‘section 3’’ and inserting

17 ‘‘section 102’’,

18 (4) in section 102(e) (as so redesignated)—

19 (A) by striking ‘‘section 5(g)(1)’’ and in20 serting ‘‘section 104(g)(1)’’, and

21 (B) by striking ‘‘section 7(g)(1)’’ and in22 serting ‘‘section 106(g)(1)’’, and

23 (5) in section 103(i), by striking ‘‘section 7’’

24 and inserting ‘‘section 106’’.

Æ