Such grants may provide for the payment of costs, as pro-
vided in subsection (c), of projects developed by such orga-
nizations and agencies in cooperation with the Secretary 
in order to make such program effective or to supplement 
such program. No payment shall be made by the Secretary 
toward the cost of any project established or administered 
by any organization or agency unless the Secretary deter-
mines that such project— 
‘‘(A) shall provide authorized activities only for 
eligible individuals, and that not less than 50 per-
cent of hours worked (in the aggregate) shall be in 
community service employment-based training pro-
vided by a grantee in a program year; 
‘‘(B)(i) shall provide authorized activities for el-
igible individuals in the community in which such in-
dividuals reside, or in nearby communities, and that 
not less than 50 percent of hours worked (in the ag-
gregate) shall be in community service employment-
based training provided by a grantee in a program 
year; or 
‘‘(ii) if such project is carried out by a tribal or-
ganization that receives a grant under this sub-
section or receives assistance from a State that re-
ceives a grant under this subsection, will provide au-
thorized activities, including community service em-
ployment-based training for such individuals, includ-
ing those who are Indians residing on an Indian res-
ervation, as defined in section 2601(2) of the En-
ergy Policy Act of 1992 (25 U.S.C. 3501(2)); 
‘‘(C) together with all the projects carried out 
under this title in each program year by a grantee, 
will not provide for participation under this title by 
eligible individuals (in the aggregate) for an average 
period per capita that exceeds 24 months (whether 
or not consecutive) during the period including the 
program year for which the determination under this 
subparagraph is made and the previous program 
years in which such grantee carried out projects 
under this title; 
‘‘(D) will provide employment-based training to 
eligible individuals in service related to publicly 
owned and operated facilities and projects, or 
projects sponsored by profitmaking or nonprofit or-
ganizations (excluding political parties exempt from 
taxation under section 501(c)(3) of the Internal Rev-
enue Code of 1986), but excluding projects involving 
the construction, operation, or maintenance of any 
facility used or to be used as a place for sectarian 
religious instruction or worship;
‘‘(E) will contribute to the general welfare of 
the community, which may include support for chil-
dren, youth, and families; 
‘‘(F) is intended to result in unsubsidized em-
ployment for eligible individuals after completion of 
such program; 
‘‘(G)(i) will not reduce the number of job oppor-
tunities or vacancies that would otherwise be avail-
able to individuals not participating in such pro-
gram; 
‘‘(ii) will not displace currently employed work-
ers (including partial displacement, such as a reduc-
tion in the hours of non-overtime work, wages, or 
employment benefits); 
‘‘(iii) will not impair existing contracts or result 
in the substitution of Federal funds for other funds 
in connection with work that would otherwise be per-
formed; and 
‘‘(iv) will not place an eligible individual in em-
ployment-based training to perform work the same 
or substantially the same work as that performed by 
any other individual who is on layoff; 
‘‘(H) will coordinate with training and other 
services provided under title I of the Workforce In-
vestment Act, including utilizing the One-Stop deliv-
ery system to recruit eligible individuals to ensure 
that the maximum number of eligible individuals will 
have an opportunity to participate in the project; 
‘‘(I) will include such training (such as commu-
nity service employment-based training, work experi-
ence, on-the-job training, and classroom training) as 
may be necessary to make the most effective use of 
the skills and talents of those individuals who are 
participating; 
‘‘(J) will ensure that safe and healthy condi-
tions of the employment-based training facility or 
other training facility will be provided, and will en-
sure that individuals employed in community service 
and other jobs assisted under this title shall be paid 
wages that shall not be lower than whichever is the 
highest of— 
‘‘(i) the minimum wage that would be ap-
plicable to the employee under the Fair Labor 
Standards Act of 1938, if section 6(a)(1) of 
such Act applied to the participant and if the 
participant were not exempt under section 13 
thereof; 
‘‘(ii) the State or local minimum wage for 
the most nearly comparable covered employ-
ment; or
‘‘(iii) the prevailing rates of pay for indi-
viduals employed in similar occupations by the 
same employer; 
‘‘(K) will be established or administered with 
the advice of persons competent in the field of serv-
ice in which job training is being provided, and of 
persons who are knowledgeable about the needs of 
older individuals; 
‘‘(L) will authorize payment for necessary sup-
portive services costs, (including transportation 
costs) of eligible individuals that may be incurred in 
training in any project funded under this title, in ac-
cordance with rules issued by the Secretary; 
‘‘(M) will ensure that, to the extent feasible, 
such project will serve the needs of minority, limited 
English-speaking, and Indian eligible individuals, 
and eligible individuals who have the greatest eco-
nomic need, at least in proportion to their numbers 
in the State and take into consideration their rates 
of poverty and unemployment; 
‘‘(N)(i) will prepare an assessment of the par-
ticipants’ skills and talents and their needs for serv-
ices, except to the extent such project has, for the 
participant involved, recently prepared an assess-
ment of such skills and talents, and such needs, pur-
suant to another employment or training program 
(such as a program under the Workforce Investment 
Act of 1998 (29 U.S.C. 2801 et seq.), the Carl D. 
Perkins Vocational and Technical Education Act of 
1998 (20 U.S.C. 2301 et seq.), or part A of title IV 
of the Social Security Act (42 U.S.C. 601 et seq.)); 
‘‘(ii) will provide training and employment 
counseling to eligible individuals based on strategies 
that identify appropriate employment objectives and 
the need for supportive services, developed as a re-
sult of the assessment and service strategy provided 
for in clause (i), and provide other appropriate infor-
mation regarding such program; and 
‘‘(iii) will provide counseling to participants on 
their progress in meeting such objectives and satis-
fying their need for supportive services; 
‘‘(O) will provide appropriate services for par-
ticipants through the One-Stop delivery system as 
established under section 134(c) of the Workforce 
Investment Act of 1998 (29 U.S.C. 2864(c)), and 
will be involved in the planning and operations of 
such system pursuant to a memorandum of under-
standing with the local workforce investment board 
in accordance with section 121(c) of such Act (29 
U.S.C. 2841(c));
‘‘(P) will post in such project workplace a no-
tice, and will make available to each person associ-
ated with such project a written explanation— 
‘‘(i) clarifying the law with respect to polit-
ical activities allowable and unallowable under 
chapter 15 of title 5, United States Code, appli-
cable to the project and to each category of in-
dividuals associated with such project; and 
‘‘(ii) containing the address and telephone 
number of the Inspector General of the Depart-
ment of Labor, to whom questions regarding 
the application of such chapter may be ad-
dressed; 
‘‘(Q) will provide to the Secretary the descrip-
tion and information described in— 
‘‘(i) paragraph (8), relating to coordination 
with other Federal programs, of section 112(b) 
of the Workforce and Investment Act of 1998; 
and 
‘‘(ii) paragraph (14), relating to implemen-
tation of One-Stop delivery systems, of section 
112(b) of the Workforce Investment Act of 
1998; and 
‘‘(R) will ensure that entities that carry out ac-
tivities under the project (including State agencies,
local entities, subgrantees, subcontractors) and affili-
ates of such entities receive an amount of the admin-
istrative cost allocation determined by the Secretary 
to be sufficient. 
‘‘(2) The Secretary may establish, issue, and amend 
such regulations as may be necessary to effectively carry 
out this title. 
‘‘(3)(A) An assessment and service strategy required 
by paragraph (1) to be prepared for an eligible individual 
shall satisfy any condition for an assessment and service 
strategy or individual employment plan for an adult par-
ticipant under subtitle B of title I of the Workforce Invest-
ment Act of 1998 (29 U.S.C. 2811 et seq.), in order to 
determine whether such eligible individual also qualifies 
for intensive or training services described in section 
134(d) of such Act (29 U.S.C. 2864(d)). 
‘‘(B) An assessment and service strategy or indi-
vidual employment plan prepared under subtitle B of title 
I of the Workforce Investment Act of 1998 (29 U.S.C. 
2811 et seq.) for an eligible individual may be used to 
comply with the requirement specified in subparagraph 
(A). 
‘‘(c)(1) The Secretary may pay a share not to exceed 
90 percent of the cost of any project for which a grant
is made under subsection (b), except that the Secretary 
may pay all of such cost if such project is— 
‘‘(A) an emergency or disaster project; or 
‘‘(B) a project located in an economically de-
pressed area, as determined by the Secretary in con-
sultation with the Secretary of Commerce and the 
Secretary of Health and Human Services. 
‘‘(2) The non-Federal share shall be in cash or in 
kind. In determining the amount of the non-Federal share, 
the Secretary may attribute fair market value to services 
and facilities contributed from non-Federal sources. 
‘‘(3) Of the amount to be paid under this subsection 
by the Secretary for a project, not to exceed 13.5 percent 
shall be available for any fiscal year to pay the administra-
tive costs of such project, except that— 
‘‘(A) the Secretary may increase the amount 
available to pay administrative costs to an amount 
not to exceed 15 percent of the cost of such project 
if the Secretary determines, based on information 
submitted by the grantee under subsection (b), that 
such increase is necessary to carry out such project; 
and 
‘‘(B) if the grantee under subsection (b) dem-
onstrates to the Secretary that—