‘‘(E) ensure that youth participating in the 
project provide at least 100 hours of community 
service for the project; 
‘‘(F) recruit eligible youth to participate in 
the project; 
‘‘(G) recruit service sponsors for commu-
nity service activities carried out through the 
project, if the local provider intends to enter 
into an arrangement with such sponsors to pro-
vide project placements for the youth; 
‘‘(H) promote leadership development and 
build an ethic of civic responsibility among the 
youth; 
‘‘(I) provide team-oriented, adult-super-
vised experiences through the project; 
‘‘(J) conduct opening and closing cere-
monies honoring participants in the project; 
‘‘(K) involve youth who are participating in 
the project in the design and planning of the 
project; and 
‘‘(L) provide training, which may include 
life skills, financial education, and employment 
training, in addition to training concerning the 
specific community service to be provided 
through the project, for the youth; and 
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‘‘(3)(A) specifies project outcome objectives re-
lating to youth development or education achieve-
ment, community strengthening, and community im-
provement; 
‘‘(B) describes how the local provider will estab-
lish annual benchmarks for the objectives, and annu-
ally conduct an evaluation to measure progress to-
ward the benchmarks; and 
‘‘(C) provides an assurance that the local pro-
vider will annually make the results of such evalua-
tion available to the organization. 
‘‘(c) CONTINUED ELIGIBILITY.—To be eligible to re-
ceive funds under this section for a second or subsequent 
year of a subgrant period, a local provider shall dem-
onstrate that all the projects for which the subgrant was 
awarded met the annual benchmarks for the objectives de-
scribed in subsection (b)(3). 
‘‘(d) SELECTION
OF SUBGRANT RECIPIENTS.—In 
awarding subgrants under this section, the organization 
shall ensure that projects are funded in a variety of geo-
graphic areas, including urban and rural areas. 
‘‘SEC. 163B. SUMMER OF SERVICE PROJECTS. 
‘‘(a) USE OF FUNDS.— 
‘‘(1) IN GENERAL.—A local provider that re-
ceives a subgrant under section 163A shall use the 
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subgrant funds to carry out a community service 
project. 
‘‘(2) SPECIFIC USES.—The local provider may 
use the subgrant funds, to pay for— 
‘‘(A) hiring staff to administer the project; 
‘‘(B) developing or acquiring service-learn-
ing curricula for the project, to be integrated 
into academic programs, including making 
modifications for students who are individuals 
with disabilities and students with limited 
English proficiency; 
‘‘(C) forming local partnerships to develop 
and offer a variety of service-learning programs 
for local youth participating in the project; 
‘‘(D) establishing benchmarks, conducting 
evaluations, and making evaluation results 
available, as described in subparagraphs (B) 
and (C) of section 163A(b)(3); 
‘‘(E) conducting outreach and dissemina-
tion of program-related information to ensure 
the broadest possible involvement of local eligi-
ble youth and community partners in the 
project; 
‘‘(F) conducting ceremonies as described in 
section 163A(b)(2)(J); 
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‘‘(G) carrying out basic implementation of 
the community service project; and 
‘‘(H) carrying out planning activities, dur-
ing an initial 6 to 9 months of the grant period. 
‘‘(3) NON-FEDERAL SHARE.—A local provider 
that receives a subgrant under section 163A shall 
provide the non-Federal share of the cost described 
in section 163A(a)(1) from private or public sources 
other than the subgrant funds. The sources may in-
clude fees charged to the parents of the youth par-
ticipating in the community service project involved 
and determined on a sliding scale based on income. 
‘‘(b) SERVICE PROJECTS.— 
‘‘(1) ELIGIBLE
SERVICE
CATEGORIES.—The 
local provider may use the subgrant funds to carry 
out a community service project to meet unmet 
human, educational, environmental, or public safety 
needs. 
‘‘(2) INELIGIBLE
SERVICE
CATEGORIES.—The 
local provider may not use the subgrant funds to 
carry out a service project in which participants per-
form service described in section 132(a). 
‘‘(c) PERIOD OF SERVICE PROJECTS.—The local pro-
vider— 
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‘‘(1) shall carry out the community service 
project funded under section 163A during a period, 
the majority of which occurs in the months of June, 
July, and August; and 
‘‘(2) may carry out the project in conjunction 
with a related after school or in-school service-learn-
ing project operated during the remaining months of 
the year. 
‘‘(d) EDUCATIONAL AWARD.— 
‘‘(1) ELIGIBILITY.—Each eligible youth who 
provides at least 100 hours of community service for 
a project carried out under this part shall be eligible 
to receive an educational award of not more than 
$500. An eligible youth may participate in more 
than 1 such project but shall not receive in excess 
of $1,000 in total for such participation. 
‘‘(2) DISBURSEMENTS BY LOCAL PROVIDER.—If 
the Chief Executive Officer decides under section 
163(a)(2)(A) to include educational award funds in 
subgrants under this part, the local provider car-
rying out the project shall— 
‘‘(A) disburse an educational award de-
scribed in paragraph (1) in accordance with 
regulations issued by the Chief Executive Offi-
cer, which— 
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‘‘(i) may permit disbursal of the 
award to the parents of the youth that 
have established a qualified tuition pro-
gram account under section 529 of the In-
ternal Revenue Code of 1986, for deposit 
into the account; but 
‘‘(ii) shall not otherwise permit dis-
bursal of the award to the parents; or 
‘‘(B) enter into a contract with a private 
sector organization to hold the educational 
award funds and disburse the educational 
award as described in subparagraph (A). 
‘‘(3) DISBURSEMENTS
BY
CHIEF
EXECUTIVE 
OFFICER.—If the Chief Executive Officer decides 
under section 163(a)(2)(B) to reserve educational 
award funds, the Chief Executive Officer shall dis-
burse the educational award as described in para-
graph (2)(A). 
‘‘(e) APPLICATION OF SECTION.—References in this 
section to local providers, with respect to the use of 
subgrant funds received under section 163A, apply equally 
to organizations that carry out community service projects 
directly, with respect to the use of grant funds received 
under section 163. 
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‘‘SEC. 163C. SUPPLEMENTAL GRANTS. 
‘‘(a) IN GENERAL.—The Chief Executive Officer may 
award a supplemental grant to a local provider that 
demonstates the matters described in subsection (b), to 
assist the provider in carrying out a community service 
project in accordance with the requirements of this part, 
as determined appropriate by the Chief Executive Officer. 
‘‘(b) APPLICATION.—To be eligible to receive a sup-
plemental grant under subsection (a), a provider shall sub-
mit an application to the Chief Executive Officer, at such 
time, in such manner, and containing such information as 
the Chief Executive Officer may require, including infor-
mation demonstrating— 
‘‘(1) that the provider received a subgrant 
under section 163A for a community service project; 
and 
‘‘(2) that the provider would be unable to carry 
out the project without substantial hardship unless 
the provider received a supplemental grant under 
subsection (a). 
‘‘(c) AMOUNT OF GRANT.—The Chief Executive Offi-
cer shall award such a grant to a local provider for the 
project in the amount obtained by multiplying $250 and 
the number of youth who will participate in the project 
(to be used for project expenses). 
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‘‘PART III—SUMMER OF SERVICE NATIONAL 
ACTIVITIES 
‘‘SEC. 164. NATIONAL ACTIVITIES. 
‘‘(a) NATIONAL QUALITY AND OUTREACH ACTIVI-
TIES.—The Chief Executive Officer may use funds re-
served under section 165(b)(1), either directly or through 
grants and contracts, to— 
‘‘(1) provide technical assistance and training 
to recipients of grants and subgrants under parts I 
and II; 
‘‘(2) conduct outreach and dissemination of 
program-related information to ensure the broadest 
possible involvement of States, eligible entities, orga-
nizations, local providers, and eligible youth in pro-
grams carried out under parts I and II; and 
‘‘(3) to carry out other activities designed to 
improve the quality of programs carried out under 
parts I and II. 
‘‘(b) NATIONAL EVALUATION.— 
‘‘(1) RESERVATION.—For each fiscal year, the 
Chief Executive Officer shall reserve not more than 
the greater of $500,000, or 1 percent, of the funds 
described in subsection (a) for the purposes de-
scribed in paragraph (2). 
‘‘(2) EVALUATION.—The Chief Executive Offi-
cer shall use the reserved funds— 
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‘‘(A) to arrange for an independent evalua-
tion of the programs carried out under parts I 
and II, to be conducted in the second and third 
years in which the programs are implemented; 
‘‘(B) using the results of the evaluation, to 
collect and compile information on models and 
best practices for such programs; and 
‘‘(C) to disseminate widely the results of 
the evaluation. 
‘‘(3) REPORT.—The Chief Executive Officer 
shall annually submit to the Committee on Health, 
Education, Labor, and Pensions of the Senate and 
the Committee on Education and the Workforce of 
the House of Representatives, a report concerning 
the results of the evaluations conducted under para-
graph (2). Such reports shall also contain informa-
tion on models of best practices and any other find-
ings or recommendations developed by the Chief Ex-
ecutive Officer based on such evaluations. Such re-
ports shall be made available to the general public. 
‘‘PART IV—GENERAL PROVISIONS 
‘‘SEC. 165. AUTHORIZATION OF APPROPRIATIONS AND 
AVAILABILITY. 
‘‘(a) AUTHORIZATION OF APPROPRIATIONS.—There 
are authorized to be appropriated to carry out this subtitle 
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$100,000,000 for fiscal year 2008 and such sums as may 
be necessary for each subsequent fiscal year. 
‘‘(b) AVAILABILITY.—Of the funds appropriated 
under subsection (a) for a fiscal year, the Chief Executive 
Officer— 
‘‘(1) shall reserve not more than 4 percent to 
carry out activities under part III (relating to na-
tional activities); and 
‘‘(2) from the remainder of such funds, shall 
make available— 
‘‘(A) a portion equal to 662⁄3 percent of 
such funds for programs carried out under part 
I (relating to the State grant program), includ-
ing programs carried out under section 162D; 
and 
‘‘(B) a portion equal to 331⁄3 percent of 
such funds for programs carried out under part 
II (relating to the national direct grant pro-
gram). 
‘‘(c) REALLOCATION.—If the Chief Executive Officer 
determines that funds from the portion described in sub-
section (b)(2)(A) will not be needed to carry out programs 
under part I for a fiscal year, the Chief Executive Officer 
shall make the funds available for programs under part 
II for that fiscal year. 
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‘‘SEC. 165A. REVIEW PANELS. 
‘‘The Chief Executive Officer shall establish panels 
of experts for the purpose of reviewing applications sub-
mitted under sections 162, 162C, 162D, and 163. 
‘‘SEC. 165B. CONSTRUCTION. 
‘‘An individual participating in service in a program 
described in this subtitle shall not be considered to be an 
employee engaged in employment for purposes of the Fair 
Labor Standards Act of 1938 (29 U.S.C. 201 et seq.).’’. 
SEC. 4. CONFORMING AMENDMENTS. 
(a) REDESIGNATION OF SUBTITLES.— 
(1) Section 118(a) of the National and Commu-
nity Service Act of 1990 (42 U.S.C. 12551(a)) is 
amended by striking ‘‘subtitle H’’ and inserting 
‘‘subtitle I’’. 
(2) Section 122(a)(2) of such Act (42 U.S.C. 
12572(a)(2)) is amended by striking ‘‘subtitle I’’ 
and inserting ‘‘subtitle J’’. 
(3) Section 193A(f)(1) of such Act (42 U.S.C. 
12651d(f)(1)) is amended by striking ‘‘subtitles C 
and I’’ and inserting ‘‘subtitles C and J’’. 
(4) Section 501(a)(2) of such Act (42 U.S.C. 
12681(a)(2)) is amended— 
(A) in the paragraph heading, by striking 
‘‘SUBTITLES C, D, AND H’’ and inserting ‘‘SUB-
TITLES C, D, AND I’’; 
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(B) in subparagraph (A), by striking ‘‘sub-
titles C and H’’ and inserting ‘‘subtitles C and 
I’’; and 
(C) in subparagraph (B), by striking ‘‘sub-
title H’’ and inserting ‘‘subtitle I’’. 
(b) REDESIGNATION OF SECTIONS.— 
(1) Section 155(d)(3) of such Act (42 U.S.C. 
12615(d)(3)) is amended by striking ‘‘section 
162(a)(3)’’ and inserting ‘‘section 159C(a)(3)’’. 
(2) Section 156(d) of such Act (42 U.S.C. 
12616(d)) 
is 
amended 
by 
striking 
‘‘section 
162(a)(3)’’ and inserting ‘‘section 159C(a)(3)’’. 
(3) Section 159(c) of such Act (42 U.S.C. 
12619(c)) is amended— 
(A) in paragraph (2)(C)(i), by striking 
‘‘section 162(a)(2)’’ and inserting ‘‘section 
159C(a)(2)’’; and 
(B) in paragraph (3), by striking ‘‘section 
162(a)(2)(A)’’ 
and 
inserting 
‘‘section 
159C(a)(2)(A)’’. 
(4) Section 159B(b)(1)(B) of such Act (as re-
designated by section 3(2)) is amended by striking 
‘‘section 
162(a)(3)’’ 
and 
inserting 
‘‘section 
159C(a)(3)’’. 
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(c) RELATIONSHIP
TO NATIONAL SERVICE EDU-
CATIONAL AWARD PROVISIONS.— 
(1) NATIONAL SERVICE TRUST.—Section 145 of 
the National and Community Service Act of 1990 
(42 U.S.C. 12601) is amended— 
(A) in subsection (a)— 
(i) in paragraph (2), by striking 
‘‘and’’ at the end; 
(ii) in paragraph (3), by striking the 
period and inserting ‘‘, other than interest 
or proceeds described in paragraph (4)(B); 
and’’; and 
(iii) by adding at the end the fol-
lowing: 
‘‘(4)(A) any amounts deposited in the Trust 
under subtitle F; and 
‘‘(B) the interest on, and proceeds from the 
sale or redemption of, any obligations held by the 
Trust for a program carried out under subtitle F.’’; 
and 
(B) in subsection (c), by inserting ‘‘(other 
than any amounts deposited in the Trust under 
subtitle F)’’ after ‘‘Amounts in the Trust’’. 
(2) AVAILABILITY OF AMOUNTS IN NATIONAL 
SERVICE
TRUST.—Section 148(a) of the National 
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and Community Service Act of 1990 (42 U.S.C. 
12604(a)) is amended by inserting ‘‘(other than any 
amounts deposited in the Trust under subtitle F)’’ 
after ‘‘Amounts in the Trust’’. 
Æ 
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