An Act to promote economic growth by supporting State and regional centers to place the findings of science usefully in the hands of American enterprise
PL 89-182 (S.949), enacted 09/14/1965

79 STAT. ] 
PUBLIC LAW 89-182-SEPT. 14, 1965 
679 
Public Law 89-181 
A N A C T 
September 11, 1965 
To increase the authorization of appropriations for the support of the Gorgas 
[S. 5ii] 
Memorial Laboratory. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That, effective for ^iilT^b^ i^emo-
fiscal years ending after June 30, 1963, the first section of the Act "^ 
^ oratory. 
entitled "An Act to authorize a permanent annual appropriation for 
the maintenance and operation of the Gorgas Memorial Laboratory", 
approved May 7, 1928, as amended (45 Stat. 491; 22 U.S,C. 278), is 
^3 stat. 573. 
amended by striking out "$250,000" and inserting in lieu thereof "not 
to exceed $500,000". 
Approved September 11, 1965. 
Public Law 89-182 
A N A C T 
September 14, 1965 
rS 9491 
To promote commerce and encourage economic growth by supporting State and 
' 
interstate programs to place the findings of science usefully in the hands of 
American enterpri>«e. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of Ameiica in Congress asserribled^ 
DECLARATION OF PURPOSE 
SECTION 1. That Congress finds that wider diffusion and more effec-
tive application of science and technology in business, commerce, and 
industry are essential to the growth of the economj^, to higher levels of 
employment, and to the competitive position of United States products 
in world markets. The Congress also finds that the benefits of feder-
ally financed research, as well as other research, must be placed more 
effectively in the hands of American business, commerce, and indus-
trial establishments. The Congress further finds that the several 
States through cooperation with universities, communities, and indus-
tries can contribute significantly to these purposes by providing tech-
nical services designed to encourage a more effective application of 
science and technology to both new and established business, com-
merce, and industrial establishments. 
The Congress, therefore, 
declares that the purpose of this Act is to provide a national program 
of incentives and support for the several States individually and in 
cooperation with each other in their establishing and maintaining 
State and interstate technical service programs designed to achieve 
these ends. 
DEFINITIONS 
SEC. 2. For the purposes of this Act— 
(a) "Technical services" means activities or programs designed to 
enable businesses, commerce, and industrial establishments to acquire 
and use scientific and engineering infonnatioii more effectively 
through such means as— 
(1) preparing and disseminating technical reports, abstracts, 
computer tapes, microfilm, reviews, and similar scientific or engi-
neering information, including the establishment of State or inter-
state technical information centers for this purpose; 
state Technical 
Services Act of 
1965. 
680 
PUBLIC LAW 89-182-SEPT. 14, 1965 
[79 STAT. 
(2) providing a reference service to identify sources of engi-
neering and other scientific expertise; and 
(3) sponsoring industrial workshops, seminars, training pro-
grams, extension courses, demonstrations, and field visits designed 
to encourage the more effective application of scientific and engi-
neering information. 
(b) "Designated agency" means the institution or agency which has 
been designated as administrator of the program for any State or 
States under section 3 or section 7 of this Act. 
(c) "Qualified institution" means (1) an institution of higher learn-
ing with a program leading to a degree in science, engineering, or 
business administration which is accredited by a nationally recognized 
accrediting agency or association to be listed by the United States 
Commissioner of Education, or such an institution which is listed 
separately after evaluation by the United States Commissioner of 
Education pursuant to this subsection; or (2) a State agency or a 
private, nonprofit institution which meets criteria of competence 
established by the Secretary of Commerce and published in the Fed-
eral Eegister. For the purpose of this subsection the United States 
Commissioner of Education shall publish a list of nationally recog-
nized accrediting agencies or associations which he determines to be 
reliable authority as to the quality of science, engineering, or business 
education or training offered. 
When the Commissioner determines 
that there is no nationally recognized accrediting agency or association 
(][ualified to accredit such programs, he shall publish a list of institu-
tions he finds qualified after prior evaluation by an advisory commit-
tee, composed of persons he determines to be specially qualified to 
evaluate the training provided under such programs. 
(d) "Participating institution" means each qualified institution in 
a State, which participates in the administration or execution of the 
State technical services program as provided by this Act. 
(e) "Secretary" means the Secretary of Commerce. 
(f) "State" means one of the States of the United States, the 
District of Columbia, the (Commonwealth of Puerto Rico, or the Virgin 
Islands. 
(g) "Governor", in the case of the District of Columbia, means the 
Board of Commissioners of the District of Columbia. 
SELECTION o r DESIGNATED AGENCY 
SEC. 3. The Governor of any State which wishes to receive Federal 
payments under this Act in support of its existing or planned technical 
services program shall designate, under appropriate State laws and 
regulations, an institution or agency to administer and coordinate 
that program and to prepare and submit a plan and programs to the 
Secretary of Commerce for approval under this Act. 
PLANS AND 
PROGRAMS 
SEC. 4. The designated agency shall prepare and submit to the 
Secretary in accordance with such regulations as he may publish— 
Five-year plan. 
^^^^ ^ five-yeaT plan wliich may be revised annually and which 
shall: (1) outline the technological and economic conditions of the 
State, taking into account its region, business, commerce, and its 
industrial potential and identify the major regional and industrial 
problems; (2) identify the general approaches and methods to be used 
m the solution of these problems and outline the means for measuring 
the impact of such assistance on the State or regional economy; and 
79 STAT. ] 
PUBLIC LAW 89-182-SEPT. 14, 1965 
681 
(3) explain the methods to be used in administering and coordinating 
the technical services program. 
(b) An annual technical services program which shall (1) identify 
specific methods, which may include contracts, for accomplishing par-
ticular goals and outline the likely impact of these methods in terms 
of the five-year plan; (2) contain a detailed budget, together with 
procedures for adequate fiscal control, fund accounting, and auditing, 
to assure proper disbursement for funds paid to the State under 
this Act; and (3) indicate the specific responsibilities assigned to each 
participating institution in the State. 
Annual tech-
nical services 
program. 
REVIEW OF PLANS AND PROGRAMS BY 
SECRETARY 
SEC. 5. The Secretary shall not accept the five-year plan of a State 
for review and approval under this Act unless the Governor of the 
State or his desi^ee determines and certifies that the plan is consistent 
with State policies and objectives; and the Secretary shall not accept 
an annual technical services program for review and approval under 
this Act unless the designated agency has, as certified thereto by the 
Governor or his designee— 
(a) invited all qualified institutions in the State to submit pro-
posals for providing technical services under the Act; 
(b) coordinated its programs with other States and with other 
publicly supported activities within the State, as appropriate; 
(c) established adequate rules to insure that no officer or em-
ployee of the State, the designated agency, or any participating 
institution, shall receive compensation for technical services he 
performs, for which funds are provided under this Act, from 
sources other than his employer, and shall not otherwise maintain 
any private interest in conflict with his public responsibility; 
(d) determined that matching funds will be available from 
State or other non-Federal sources; 
(e) determined that such technical services program does not 
provide a service which on the date of such certification is eco-
nomically and readily available in such State from private tech-
nical services, professional consultants, or private institutions; 
(f) planned no services specially related to a particular firm 
or company, public work, or other capital project except insofar 
as the services are of general concern to the industry and com-
merce of the community, State, or region; 
(g) provided for making public all reports prepared in the 
course of furnishing technical services supported under this Act 
or for making them available at cost to any person on request. 
Conflict of 
interest. 
Availability of 
information,, 
APPROVAL BY SECRETARY 
SEC. 6. The Secretary shall review the five-year plan and each annual 
program submitted by a designated agency under section 4 or section 7, 
and shall approve only those which (1) bear the certification required 
by the Governor or his designee under section 5; (2) comply with 
regulations and meet criteria that the Secretary shall promulgate and 
publish in the Federal Register; and (3) otherwise accomplish the 
purposes of this Act. 
INTERSTATE PROGRAMS 
SEC. 7. Two or more States may cooperate in administering and 
coordinating their plans and programs supported under this Act, in 
which event all or part of the sums authorized and payable under 
section 10 to all of the cooperating States may be paid to the designated 
49-850 0-66—46 
682 
PUBLIC LAW 89-182-SEPT. 14, 1965 
[79 STAT. 
agency, participating institutions, or persons authorized to receive 
them under the terms of the agreement between the cooperating States. 
When the cooperative agreement designates an interstate agency to 
act on behalf of all of the cooperating States, it shall submit to the 
Secretary for review and approval under section 6 an interstate five-
year plan and an annual intei'state technical services program which, as 
nearly as practicable, shall meet the requirements of section 4 and sec-
tion 5. 
Interstate 
compacts. 
CONSENT OF CONGRESS 
SEC. 8. (a) The consent of the Congress is given to any two or 
more States to enter into agreements or compacts, not in conflict with 
any law of the United States, for cooperative efforts and mutual 
assistance and in designating agencies, under section 7, for accom-
plishing the purposes of this Act. 
(b) The n^ht to alter, amend, or repeal this section, or consent 
granted by this section, is expressly reserved. 
Reports. 
Expenses. 
ADVISORY COUNCIL 
SEC. 9. Each designated agency shall appoint an advisory council 
for technical services, the members of which shall represent broad 
community interests and shall be qualified to evaluate programs sub-
mitted under section 4. The advisory council shall review each annual 
program, evaluate its relation to the purposes of this Act, and report 
its findings to the designated agency and the Governor or his designee. 
Each report of each advisory council shall be available to the Secre-
tary on request. Members of any such advisory fcouncil shall not be 
compensated for serving as such, but may be reimbursed for necessary 
expenses incurred by them in connection with attending meetings of 
any advisory council of which they are members. 
Publication in 
Federal Register. 
Publication in 
Federal Register. 
AUTHORIZATION OF APPROPRIATIONS AND PAYMENTS 
SEC. 10. (a) There are authorized to be appropriated for the pur-
poses of this Act, $10,000,000 for the fiscal year ending June 30,1966; 
$20,000,000 for the fiscal year ending June 30,1967; $30,000,000 for the 
fiscal year ending June 30,1968. 
(b) From these amounts, the Secretary is authorized to make an 
annual payment to each designated agency, participating institution, 
or person authorized to receive payments in support of each approved 
technical services program. Maximum amounts which may be paid 
to the States under this subsection shall be fixed in accordance with 
regulations which the Secretary shall promulgate and publish in the 
Federal Register from time to time, considering (1) population 
according to the last decennial census; (2) business, commercial, 
industrial and economic development and productive efficiency; and 
(3) technical resources. 
(c) The Secretary may reserve an amount equal to not more than 
20 per centum of the total amount appropriated for each year under 
this section and is authorized to make payments from such amount 
to any designated agency or participating institution for technical 
services programs which he determines have special merit or to any 
qualified institution for additional programs which he determines 
are necessary to accomplish the purposes of this Act, under criteria 
and regulations that he shall promulgate and publish in the Federal 
Register. 
79 STAT. ] 
PUBLIC LAW 89-182-SEPT. 14, 1965 
(d) An amount equal to not more than 5 per centum of the total 
amount appropriated each year under this section shall be available 
to the Secretary for the direct expenses of administering this Act. 
(e) (1) No amount paid for any technical services program under 
subsection (b) or (c) shall exceed the amount of non-Federal funds 
expended to carry out such program: Provided^ That the Secretary 
may pay an amount not to exceed $25,000 a year for each of the first 
three fiscal years to each designated agency, other than a designated 
agency under section 7, to assist in the preparation of the five-year 
plan and the initial annual technical services pro-ams, without 
regard to any of the preceding requirements of this section. 
(2) No funds appropriated pursuant to the provisions of this 
section shall be paid to any designated agency, participating institu-
tion, or person on account of any such agency or institution, to carry 
out any technical services activity or program in any State if such 
activity or program duplicates any activity or program readily avail-
able in such State from Federal or State agencies, including publicly 
supported institutions of higher learning in such State. 
683 
Restrictions. 
ASSISTANCE BY T H E 
SECRETARY 
SEC. 11. The Secretary is authorized and directed to aid designated 
agencies in carrying out their technical services programs by provid-
ing reference services which a designated agency may use to obtain 
scientific, technical, and engineering information from sources outside 
the State or States which it serves, for the purposes of this Act. 
RULES AND REGULATIONS 
SEC. 12. The Secretary is authorized to establish such policies, 
standards, criteria, and procedures and to prescribe such niles and 
regulations as he may deem necessary or appropriate for the adminis-
tration of this Act. 
LIMITATIONS 
SEC. 13. (a) Nothing contained in this Act shall be construed as 
authorizing a department, agency, officer, or employee of the United 
States to exercise any direction, supervision, or control over, or impose 
any requirements or conditions with respect to the personnel, cur-
riculum, methods of instruction, or administration of any educational 
institution. 
(b) Nothing contained in this Act shall be deemed to affect the 
functions or responsibilities under law of any other department or 
agency of the United States. 
A N N U A L 
REPORT 
SEC. 14. (a) Each designated agency shall make a.n annual report 
to the Secretary on or before the fii*st day of September of each 
year on the work accomplished mider the teclmical services program 
and the status of current services, together with a detailed statement 
of the amounts received under any of the provisions of this Act during 
the preceding fiscal year, and of their disbursement. 
(b) The Secretary shall make a complete report with respect to pr^s?dent*'Lnd 
the administration of this Act to the President and the Congress not congress. 
later than January 31 following the end of each fiscal year for which 
amounts are appi-opriated pursuant to this Act. 
684 
PUBLIC L
A
W 89-182-SEPT. 14, 1965 
[79 STAT. 
EVALUATION 
Public com-
mittee, appoint-
ment. 
Report. 
SEC. 15. Within three yeai-s from the date of the enactment of this 
Act, the Secretary shall appoint a public committee, none of the 
members of which shall have been directly concerned with the prep-
aration of plans, administration of programs or participation in pro-
grams under this Act. The Committee shall evaluate the significance 
and impact of the program under this Act and make i-ecommendations 
concerning the program. A report shall be transmitted to the Secre-
tary within sixty days after the end of such three-year period. 
TERMINATION" 
Noncompliance. 
ggc. 16. Whenever the Secretary, aftcT rcasomible iiotice and Oppor-
tunity for hearing to any designated agency or participating institu-
tion receiving funds under this Act finds that— 
(a) the agency or institution is not complying substantially 
with provisions of this Act, with the regulations promulgated by 
the Secretary, or with the approved annual technical services 
program; or 
(b) any funds paid to the agency or institution under the pro-
visions of this Act have been lost, misapplied, or otherwise 
diverted from the purposes for which they were paid or 
furnished— 
the Secretary shall notify such agency or institution that no further 
payments will be made under the provisions of this Act until he is 
satisfied that there is substantial compliance or the diversion has been 
corrected or, if compliance or correction is impossible, until such 
agency or institution repays or arranges for the repayment of Federal 
funds which have been diverted or improperly expended. 
REPAYMENT 
SEC. 17. Upon notice by the Secretary to any desi^ated agency or 
participating institution that no further payments will be made pend-
ing substantial compliance, correction, or repayment under section 16, 
any funds which may have been paid to such agency or institution 
under this Act and which are not expended by the agency or institu-
tion on the date of such notice, shall be repaid to the Secretary and 
be deposited to the accoimt of the appropriations from which they 
originally were paid. 
RECORDS 
SEC. 18. (a) Each recipient of a grant under this Act shall keep 
such records as the Secretary shall prescribe, including records which 
fully disclose the amount and the disposition of such grant, the total 
cost of the related approved program, the amount and nature of the 
cost of the program supplied by other sources, and such other records 
as will facilitate an effective audit. 
(b) The Secretary and the Comptroller General of the United 
States, or any of their duly authorized representatives, shall have 
access to any books, documents, papers, and records of the recipient 
that are pertinent to amounts received under this Act, 
SHORT TITLE 
SEC. 19. This Act may be cited as the "State Technical Services 
Act of 1965". 
Approved September 14, 1965.