An Act to amend the provisions of the Public Health Services Act relating to the construction and modernization of hospitals and other medical facilities by providing separate authorizations of appropriations for new construction and for modernization of facilities, authorizing Federal guarantees of loans for such construction and modernization and Federal payment of part of the interest thereon, authorizing grants for modernization of emergency rooms of general hospitals, and extending and making other improvements in the program authorized by these provisions
PL 91-296 (H.R.11102), enacted 06/30/1970

336 
PUBLIC LAW 91-295-JUNE 30, 1970 
[84 STAT. 
June 30, 1970 
[H. R. 5554] 
Child Nutrition 
Act of 1966, 
amendment. 
80 Stat. 885. 
42 u s e 1772. 
"United 
States." 
Public Law 91-295 
AN ACT 
To provide a special milk program for children. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That section 3 of 
the Child Nutrition Act of 1966 is amended to read as follows: 
"SEC. 3. There is hereby authorized to be appropriated for the fiscal 
year ending June 30, 1970, and for each succeeding fiscal year, not to 
exceed $120,000,000, to enable the Secretary of Agriculture, under such 
rules and regulations as he may deem in the public interest, to encour-
age consumption of fluid milk by children in the United States in (1) 
nonprofit schools of high school grade and under, and (2) nonprofit 
nursery schools, child-care centers, settlement houses, summer camps, 
and similar nonprofit institutions devoted to the care and training of 
children. For the purposes of this section 'United States' means the 
fifty States, Guam, and the District of Columbia. The Secretary shall 
administer the special milk program provided for by this section to 
the maximum extent practicable in the same manner as he adminis-
tered the special milk program provided for by Public Law 89-642, 
as amended, during the fiscal year ending June 30, 1969." 
[Note by the Office of the Federal Register.—The foregoing Act, having been presented 
to the President of the United States on Wednesday, June 17, 1970, for his approval and 
not having been returned by him to the House of Congress in which it originated within the 
time prescribed by the 
Constitution of the United States, has become a law without his 
approval on June 30, 1970.] 
June 30, 1970 
[H. R. 11102] 
Public Law 91-296 
AN ACT 
To amend the Public Health Service Act to revise, extend, and improve the 
program established by title VI of such Act, and for other purposes. 
Medical Facil-
ities Construction 
and Moderniza-
tion Amendments 
of 1970. 
"Secretary." 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled. 
SHORT TITLE; 
DEFINITION 
SECTION 1. (a) This Act may be cited as the "Medical Facilities 
Construction and Modernization Amendments of 1970*'. 
(b) As used in the amendments made by this Act, the term "Secre-
tary", unless the context otherwise requires, means the Secretary of 
Health, Education, and Welfare. 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
337 
TITLE 
I—GRANTS 
FOR CONSTRUCTION 
AND MOD-
ERNIZATION OF HOSPITALS AND OTHER MEDICAL 
FACILITIES 
PART A—EXTENSION OF GRANT PROGRAM 
AtJTHORIZATION OF APPROPRIATIONS FOR CONSTRUCTION (JRANTS 
SEC. 101. (a) Section 601 of the Public Health Service Act (4^2 U.S.C. 
219a) is amended— 
78 stat. 448; 
(1) by striking out "next five" in paragraph (a) and inserting ^^42*usc'29Va. 
in lieu thereof "next eight"; 
(2) (A) by striking out "$70,000,000" in subparagraph (1) of 
paragraph (a) and inserting in lieu thereof "$85,000,000", 
(B) by striking out "$20,000,000" in subparagraph (2) of such 
paragraph and inserting in lieu thereof "$70,000,000", and 
(C) by striking out "$10,000,000" in subparagraph (3) of such 
paragraph and inserting in lieu thereof "$15,000,000"; and 
(3) by striking out in paragraph (b) "and $195,000,000 for 
the fiscal year ending June 30, 1970." and inserting in lieu 
thereof "$195,000,000 for tbe fiscal year ending June 30, 1970, 
$147,500,000 for the fiscal year ending June 30, 1971, $152,500,000 
for the fiscal year ending June 30, 1972, and $157,500,000 for the 
fiscal year ending June 30,1973; and". 
(b) The amendments made by subsection (a) shall take effect with 
Effective date. 
resj)ect to appropriations made under such section 601 for fiscal years 
beginning after June 30,1970. 
AUTHORIZATION OF APPROPRIATIONS FOR MODERNIZATION GRANTS 
SEC. 102. (a) Effective with respect to appropriations made under 
section 601 of the Public Health Service Act for fiscal years beginning 
after June 30,1970, such section is further amended— 
(1) by striking out in paragraph (b) the following: "and for 
grants for modernization of such facilities and the facilities 
referred to in paragraph (a)"; 
(2) by adding alter paragraph 
(b) the following new 
paragraph: 
"(c) for grants for modernization of the facilities referred 
to in paragraphs (a) and (b), $65,000,000 for the fiscal year 
ending June 30, 1971, $80,000,000 for the fiscal year ending 
June 30,1972, and $90,00C,000 for the fiscal year ending June 30, 
1973."; and 
338 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 STAT. 
(3) by inserting "AND MODERNIZATION" after "CONSTRUCTION' 
in tlie section heading. 
Ante, p. 337. 
78 Stat. 448; 
82 Stat. 1011. 
Allotment study. 
Report to 
Congress. 
STATE ALLOTMENTS 
SEC. 103. (a) Etl'ective with respect to appropriations pursuant to 
section 601 of the Public Health Service Act for fiscal years beginning 
after June 30, 1970, section 602(a) of such Act (42 U.S.C. 291b) is 
amended to read as follows: 
"(a)(1) Each State shall be entitled for each fiscal year to an 
allotment bearing the same ratio to the sums appropriated for such 
year pursuant to subparagraphs (1), (2), and (3), respectively, of 
section 601(a), and to an allotment bearing the same ratio to the 
sums appropriated for such year pursuant to section 601(b), as the 
product of— 
"(A) the population of such State, and 
"(B) the square of its allotment percentage, 
bears to the sum of the corresponding products for all of the States. 
"(2) For each fiscal year, the Secretary shall, in accordance with 
regulations, make allotments among the States, from the sums appro-
priated for such year under section 601(c), on the basis of the popula-
tion, the financial need, and the extent of the need for modernization 
of the facilities referred to in paragraphs (a) and (b) of section 601, 
of the respective States." 
(b) Effective with respect to allotments from such appropriations, 
section 602(b) (1) of such Act is amended by— 
(1) striking out "$25,000" and "$50,000" in subparagraph (A) 
and inserting in lieu thereof "$50,000" and "$100,000", respec-
tively ; 
(2) striking out "$50,000" and "$100,000" in subparagraph (B) 
and inserting in lieu thereof "$100,000" and "$200,000", respec-
tively ; 
(3) striking out "$100,000" and "$200,000" in subparagraph 
(C) and inserting in lieu thereof "$200,000" and "$300,000", 
respectively; and 
(4) striking out "or" at the end of subparagraph (B), insert-
ing "or" at the end of subparagraph (C), and adding after and 
below subparagraph (C) the following new subparagraph: 
"(D) $200,000 for the Virgin Islands, American Samoa, the 
Trust Territory of the Pacific Islands, or Guam and $300,000 for 
any other State in the case of an allotment for grants for the 
modernization of facilities referred to in paragraphs (a) and (b) 
of section 601,". 
(c) The Secretary of Health, Education, and Welfare shall conduct 
a study of the effects of the formula specified in section 602(a) (1) of 
the Public Health Service Act for allotment among the States of sums 
appropriated for construction of health facilities, and shall report to 
the Congress on May 15, 1972, the result of such study, together with 
recommendations for such changes, if any, in such formula as he may 
determine to be desirable, together with his justification for any 
changes so recommended. 
TRANSFER OF ALLOTMENTS 
SEC. 104. Effective with respect to allotments from appropriations 
made pursuant to section 601 of the Public Health Service Act for 
fiscal years beginning after June 30, 1970, section 602(e) of the Public 
Health Service Act is amended to read as follows: 
" (e) (1) Upon the request of any State that a specified portion of any 
allotment of such State under subsection (a) for any fiscal year l>e 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
339 
added to any other allotment or allotments of such State under such 
subsection for such year, the Secretary shall promptly (but after appli-
cation of subsection (b)) adjust the allotments of such State in accord- 
^^ ^^^ ^gfb 
ance with such request and shall notify the State agency; except that 
the aggregate of the portions so transferred from an allotment for a 
fiscal year pursuant to this paragraph may not exceed the amount 
specified with respect to such allotment in clause (A), (B), (C), or 
(D), as the case may be, of subsection (b) (1) which is applicable to 
such State, 
"(2) In addition to the transfer of portions of allotments under 
paragraph (1), upon the request of any State that a specified portion 
of any allotment of such State under subsection (a), other than an 
allotment for grants for the construction of public or other nonprofit 
rehabilitation facilities, be added to another allotment of such State 
under such subsection, other than an allotment for grants for the con-
struction of public or other nonprofit hospitals and public health 
centers, and upon simultaneous certification to the Secretary by the 
State agency in such State to the effect that— 
"(A) it has afforded a reasonable opportunity to make appli-
cations for the portion so specified and there have been no approv-
able applications for such portion, or 
"(B) in the case of a request to transfer a portion of an allot-
ment for grants for the construction of public or other nonprofit 
hospitals and public health centers, use of such portion as requested 
by such State agency will better carry out the purposes of this title, 
the Secretary shall promptly (but after application of subsection (b)) 
adjust the allotments of such State in accordance with such request and 
shall notify the State agency. 
"(3) In addition to the transfer of portions of allotments under 
paragraph (1) or (2), upon the request of any State that a specified 
portion of an allotment of such State under paragraph (2) of subsec-
tion (a) be added to an allotment of such State under paragraph (1) 
of such subsection for grants for the construction of public or other 
nonprofit hospitals and public health centers, and upon simultaneous 
certification by the State agency in such State to the effect that the need 
for new public or other nonprofit hospitals and public health centers 
is substantially greater than the need for modernization of facilities 
referred to in paragraph (a) or (b) of section 601, the Secretary shall 
promptly (but after application of subsection (b) of this section) 
adjust the allotments of such State in accordance with such request and 
shall notify the State agency. 
"(4) After adjustment of allotments of any State, as provided in 
paragraph (1), (2), or (3) of this subsection, the allotments as so 
adjusted shall be deemed to be the State's allotments under this section." 
PART B—OPERATION OF GRANT PROGRAM 
PRIORITY o r PROJECTS 
SEC. 110. Effective with respect to applications approved under title 
VI of the Public Health Service Act after June 30,1970, section 603 (a) 2/1 ^^^^ ^^^" 
of such Act (42 LT.S.C. 291c) is amended— 
78 stat. 451. 
(1) by striking out "rural communities and areas with rela-
tively small financial resources" in clause (1), and inserting in lieu 
thereof "areas with relatively small financial resources and, at the 
option of the State, rural communities"', 
(2) by striking out "and" at the end of clause (2), and 
(3) by adding after clause (3) the following new clauses: 
" (4) in the case of projects for construction or modernization of 
outpatient facilities, to any outpatient facility that will be loca-
340 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 
STAT. 
ted in, and provdde services for residents of, an area determined 
by the Secretary to be a rural or urban poverty area; 
"(5) to projects for facilities which, alone or in conjunction 
with other facilities, will provide comprehensive health care, 
including outpatient and preventive care as well as hospitalization • 
"(()) to facilities which will provide training in health or allied 
health professions; and 
"(7) to facilities which will provide to a significant extent, for 
the treatment of alcoholism;". 
42 u s e 291-
291o. 
78 Stat. 453. 
80 Stat. 1181. 
42 u s e 246. 
AREAWIDE AND STATE HEALTH PLANNING AGENCIES 
SEC. 111. (a) P^ffective with respect to applications approved under 
title VI of the Public Health Service Act after June 30, 1970, clause 
(4) of the first sentence of section 605 (b) of such Act (42 U.S.C. 291e) 
is amended by striking out "State agency and" and inserting in lieu 
tliereof "State agency, opportunity has been provided, prior to sudh 
approval and recommendation, for consideration of the project by the 
public or nonprofit private agency or organization which has developed 
the comprehensive regional, metropolitan area, or other local area 
plan or plans referred to in section 314^b) covering the ai-ea in which 
such project is to be located or, if there is no such agency or organiza-
tion, by the State agency administering or supervising the administi-a-
tion of the State plan approved under section 314(a), and the 
application is for a project which". 
(b) Section 314(b) of such Act (42 U.S.C. 246) is amended by 
adding after the first sentence the following new sentence: "No grant 
may be made under this subsection after June 30,1970, to any agency 
or organization to develop or revise health plans for an area unless 
tlie Secretary determines that such agency or organization provides 
means for appropriate representation of the interests of the hospitals, 
other health care facilities, and practicing physicians serving such 
area, and the general public." 
78 Stat. 454. 
PORTION OF ALLOTMENT AVAILABLE FOR STATE PLAN ADMINISTRATION 
SEC. 112. Effective with respect to expenditures under a State plan 
approved under title VI of the Public Health Service Act which are 
made for administration of such plan during any fiscal year beginning 
after June 30, 1970— 
(1) the first sentence of subsection (c) (1) of section 606 of 
such Act (42 U.S.C. 291f) is amended (A) by striking out "2 
per centum" and inserting in lieu thereof "4 per centum'', and 
(B) by striking out "$50,000" and inserting in lieu thereof 
"$100,000"; and 
(2) paragraph (2) of subsection (c) of such section 606 is 
amended by striking out "June 30, 1964" and inserting in lieu 
thereof "June 30, 1970". 
Post, p. 344. 
"Federal 
share." 
Ante, p. 337. 
FEDERAL SHARE 
SEC. 113. Effective with respect to projects approved under title 
VI of the Public Health Service Act after June 30, 1970, the section 
of such Act herein redesignated as section 645(b) (42 U.S.C. 291o) 
is amended to read as follows: 
" (b) (1) The term 'Federal share' with respect to any project means 
the proportion of the cost of such project to be paid by the Federal 
Government under this title. 
"(2) With respect to any project in any State for which a grant is 
made from an allotment from an appropriation under section 601, 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
341 
78 Stat. 452. 
42 u s e 291d. 
the Federal share shall be the amount determined by the State agency 
designated in accordance with section 604, but not more than 66% per 
centum or the State's allotment percentage, whichever is the lower, 
except that, if the State's allotment percentage is lower than 50 per 
centum, such allotment percentage shall be deemed to be 50 per 
centum for purposes of this paragraph. 
"(3) Prior to the approval of the first project in a State during 
any fiscal year the State agency designated in accordance with sec-
tion 604 shall give the Secretary written notification of the maximum 
Federal share established pursuant to paragraph (2) for projects in 
such State to be approved by the Secretary during such fiscal year 
and the method for determining the actual Federal share to be paid 
with respect to such projects; and such maximum Federal share and 
such method of determination for projects in such State approved 
during such fiscal year shall not be changed after such approval. 
"(4) Notwithstanding the provisions of paragraphs (2) and (3) 
of this subsection, the Federal share shall, at the option of the State 
agency, be equal to the per centum provided under such paragraphs 
plus an incentive per centum (which when combined with the per 
centum provided under such paragraphs shall not exceed 90 per cen-
tum) specified by the State agency in the case of (A) projects that will 
provide services primarily for persons in an area determined by the 
Secretary to be a rural or urban poverty area, and (B) projects that 
offer potential for reducing health care costs through shared services 
among health care facilities, through interfacility cooperation, or 
through the construction or modernization of free-standing outpatient 
facilities." 
DEFINITION OF HOSPITAL 
SEC. 114. (a) Ejffective with respect to applications approved under 
title VI of the Public Health Service Act after June 30, 1970, para- .
^
'
^
^
^ "sc 291 
graph (c) of the section of such Act redesignated (by section 201 of 
this Act) as section 645 is amended— 
(1) by inserting after "nurses' home facilities," the following: 
"extended care facilities, facilities related to programs for home 
health services, self-care units,"; and 
(2) by inserting a comma immediately before "operated" and 
inserting immediately before "but does not include" the follow-
ing : "and also includes education or training facilities for health 
professions personnel operated as an integral part of a hospital,". 
STATE ADVISORY COUNCILS 
29 lo. 
Post, p. 344. 
SEC. 115. Effective July 1, 1970, section 604(a) (3) of the Public 
Health Service Act (42 U.S.C. 291d) is amended— 
(a) by inserting " ( A ) " after "shall include", and 
(b) by inserting after "rehabilitation services, and" the follow-
ing: "representatives particularly concerned with education or 
training of health professions personnel, and (B)". 
CHANGE I N 
NAME AND CLARIFICATION 
OF FUNCTIONS 
OF DIAGNOSTIC 
OR TREATMENT 
CENTER 
SEC. 116. (a) Sections 601(a) (2) and 602(b) (1) (B) of the Public 
Health Service Act (42 U.S.C. 291a, 291b) are each amended by strik-
ing out "diagnostic or treatment centers" and inserting in lieu thereof 
"outpatient facilities". 
78 Stat. 452. 
342 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 STAT. 
78 Stat. 452. 
(^j) Sectioii 604(a) (4) (C) of such Act (42 U.S.C. 291d) is amended 
by striking out "diagnostic or treatment centers'' and inserting in lieu 
tliereof "outpatient facilities" and by striking out "such centers'' and 
inserting in lieu thereof "such facilities". 
(c) Section 604(a) (5) of such Act (42 U.S.C. 291d) is amended by 
striking out "diagnostic or treatment centers" and inserting in lieu 
thereof "outpatient facilities". 
(d) Section 609(b) of such Act (42 U.S.C. 201i) is amended by 
strikmg out "diagnostic or treatment center'' and inserting in lieu 
thereof "outpatient facility". 
42 use 29ie. 
(^^ Sectiou 605 (e) of such Act (42 U.S.C. 29 (e)) is amended by— 
(1) striking out "a diagnostic or treatment center'' and inserting 
in lieu thereof "an outpatient facility", and 
(2) inserting before the period at the end thereof "or which 
provides reasonable assurance that the services of a general hos-
pital will be available to patients of such facility who are in need 
of hospital care". 
(f) Paragraph (f) of the section of the Public Health Service Act 
redesignated (by section 201 of this Act) as section 645 (42 U.S.C. 
Post, p. 344. 
291o) IS amended— 
(1) by striking out "diagnostic or treatment center'' and insert-
ing in lieu thereoi "outpatient facility", 
(2) by inserting after "means a facility" the following: 
" (located in or apart from a hospital)", 
(3) by inserting after "ambulatory patients" the following: 
"(including ambulatory inpatients)", and 
(4) by striking out the period at the end of paragraph (2) and 
inserting in lieu thereof "; or" and by adding after paragraph (2) 
the following new paragraph: 
"(3) which offers to p)atients not requiring hospitalization the 
services of licensed physicians in various medical specialties, and 
which provides to its patients a reasonably full-range of diagnostic 
and treatment services." 
Effective date. 
^g^ -pj^^ amendments made by subsection (e) and paragraphs (2) 
and (3) of subsection (f) of this section shall apply with respect to 
42 use 291-2910. applications approved under title VI of such Act after June 30, 19Y0. 
DEFINITION OF FACILITY FOR LONG-TERM CARE 
SEC. 117. Effective with respect to applications approved under 
title VI of the Public Health Ser\nce Act after June 30, 1970, para-
graph (h) of the section of such Act redesignated (by section 201 
of this Act) as section 645 (42 U.S.C. 291o) is amended by inserting 
after "means a facility" the following: "(including an extended care 
facility)". 
GRANTS FOR 
EQUIPMENT 
SEC. 118. Effective with respect to projects approved under title 
VI of the Public Health Service Act after June 30, 1970, paragraph 
(i) of the section of such Act redesignated (by section 201 of this 
Act) as section 645 (42 U.S.C. 291o) is further amended by inserting 
before the semicolon "and, in any case in which it will help to provide 
a service not previously provided in the community, equipment of any 
buildings". 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
343 
INCLUSIOX OF T H E TRUST TERRITORY OF T H E PACIFIC ISLANDS 
78 Stat. 448. 
SEC. 119. (a)(1) Subparagraphs (A), (B), and (C) of paragraph 
(1) of subsection (b) of section 602 of the Public Health Service Act 
(42 U.S.C. 291b) are each amended by inserting "the Trust Territory 
of the Pacific Islands," after "American Samoa,". 
(2) Paragraph (2) of such subsection is amended by inserting "the 
Trust Territory of the Pacific Islands," after "American Samoa,". 
(b) Paragraph (1) of subsection (c) of such section is amended by 
inserting "the Trust Territory of the Pacific Islands," after "American 
Samoa,". 
(c) Paragraphs (1) and (2) of subsection (d) of such section are 
each amended by inserting "the Trust Territory of the Pacific 
Islands," after "American Samoa,". 
(d) The section of such Act redesignated (by section 201 of this 
Act) as section 645(a) (42 U.S.C. 291o) is amencied by inserting "the 
P°^f' P- 3^*". 
Trust Territory of the Pacific Islands," after "American Samoa,". 
(e) The amendments made by this section shall apply with respect 
to allotments (and grants therefrom) under part A of title VI of the 
l^ublic Health Service Act for fiscal years ending after June 30, 1970, 29^."^^ ^^^^" 
and with respect to loan guarantees and loans under part B of such 
title made after June 30,1970. 
2/10."^'' ^^^"^ 
WAIVING OF RIGHT OF RECOVERY 
SEC. 120. Section (3) (b) of the Hospital and Medical Facilities 
Amendments of 1964 (Public Law 88-443) is amended by striking out 
H us^c'g'^l/Aote. 
the period at the end of paragraph (5) and inserting in lieu thereof a 
semicolon, and by adding after such paragraph the following new 
paragraph: 
"(6) the provisions of clause (b) of section 609 of the Public 
Health Ser\'ice Act, as amended by this Act, shall apply with re-
spect to any project whether it was approved, and whether the 
event specified in such clause occurred, before, on, or after the date 
of enactment of this Act, except that it shall not apply in the case 
of any project with respect to which recovery under title VI of 
such Act has been made prior to the enactment of this paragraph." 
FINANCIAL STATEMENTS FOR FACILITIES ASSISTED UNDER TITLE VI OF T H E 
PUBLIC HEALTH SERVICE ACT 
SEC. 121. Title VI of the Public Health Service Act is amended by 
adding at the end thereof the following new section: 
42 u s e 291 i.. 
42 u s e 291-2910. 
(( 
FINANCIAL 
STATEMENTS 
"SEC. 646. In the case of any facility for which a grant, loan, or loan 
guarantee has been made under this title, the applicant for such grant, 
loan, or loan guarantee (or, if appropriate, such other person as the 
Secretary may prescribe) shall file at least annually with the State 
agency for the State in which the facility is located a statement which 
shall be in such form, and contain such information, as the Secretary 
may require to accurately show— 
" (1) the financial operations of the facility, and 
" (2) the costs to the facility of providing health services in the 
facility and the charges made by the facility for providing such 
services, 
during the period with respect to which the statement is filed." 
47-348 O - 72 - 26 (Pt. 1) 
344 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 STAT. 
Ante, p. 337. 
78 Stat. 449. 
42 u s e 291b. 
CARKYOVEK OF ALLOTMENTS 
SEC. 122. Effective with respect to allotments made from appro-
priations under section 601 of the Public Health Service Act for fiscal 
years beginning after June 30, 1970, section 602(d) (1) of such Act 
is amended (1) by striking out "for the next fiscal year (and for such 
year only)" and inserting in lieu thereof "for the next two fiscal 
years (and for such years only)"", and (2) by striking out "purpose for 
such next fiscal year"" and inserting in lieu thereof "purposes for such 
next two fiscal years"". 
State plans. 
Exception. 
AVAII^\BIHTY 
or 
EXTENDED CAKE SERVICES TO PATIENTS OF GENERAL 
HOSPITALS 
SEC. 123. Section 604(a) of the Public Health Service Act (42 
IT.S.C. 291d) is amended by striking out "and" at the end of paragraph 
(11), by striking out the period at the end of paragraph (12) and 
inserting in lieu thereof "; and", and by adding after paragraph (12) 
the following new paragraph. 
"(13) Effective July 1, 1971, provide that before any project for 
construction or modernization of any general hospital is approved by 
the State agency there will be reasonable assurance of adequate provi-
sion for extended care services (as determined in accordance with reg-
ulations) to patients of such hospital when such services are medically 
appropriate for them, with such services being provided in facilities 
which (A) are structurally part of, physically connected with, or in 
immediate proximity to, such hospital, and (B) either (i) are under 
the supervision of the professional staff of such hospital or (ii) have 
organized medical staffs and have in effect transfer agreements with 
such hospital; except that the Secretary may, at the request of the 
State agency, waive compliance with clause (A) or (B), or both such 
clauses, as the case may be, in the case of any project if the State 
agency has determined that compliance with such clause or clauses 
in such case would be inadvisable." 
78 Stat. 447. 
42 u s e 291-
291o. 
42 u s e 291j. 
TITLE II—LOAN GUARANTEES AND LOANS FOR MOD-
ERNIZATION 
AND CONSTRUCTION 
OF 
HOSPITALS 
AND OTHER MEDICAL FACILITIES 
LOAN GUARANTEES AND LOANS FOR MODERNIZATION AND CONSTRUCTION 
OF HOSPITALS AND OTHER MEDICAL FACILITIES 
SEC. 201. Title VI of the Public Health Service Act is amended by 
redesignating part B as part D; by redesignating sections 621 through 
625 (42 U.S.C. 291k-291o), and all references thereto, as sections 641 
through 645, respectively; and by inserting after section 610 (42 U.S.C. 
291i) the following new part: 
"PART B—LOAN • GUARANTEES AND LOANS FOR MODERNIZATION AND 
CONSTRUCTION OF HOSPITALS AND OTHER MEDICAL FACILITIES 
"AUTHORIZATION OF L(X\N GUARANTEES AND LOANS 
"SEC. 621. (a) (1) In order to assist nonprofit private agencies to 
carry out needed projects for the modernization or construction of non-
profit private hospitals, facilities for long-term care, outpatient facili-
ties, and rehabilitation facilities, the Secretary, during the period 
July 1, 1970, through June 30, 1973, may, in accordance with the pro-
Administrative 
assistance. 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
345 
visions of this part, guarantee to non-Federal lenders making loans to 
such agencies for such projects, payment of principal of and interest on 
loans, made by such lenders, which are approved under this part. 
"(2) In order to assist public agencies to carry out needed projects 
for the modernization or construction of public health centers, and 
public hospitals, facilities for long-term care, outpatient facilities, and 
rehabilitation facilities, the Secretary, during the period July 1,1970, 
through June 30, 1973, may, in accordance with the provisions of this 
part, make loans to such agencies which shall be sold and guaranteed 
m accordance with section 627. 
^°«'' P- 349. 
"(b)(1) No loan guarantee under this part with respect to any 
cost limitations. 
modernization or construction project may apply to so much of the 
principal aanount thereof as, when added to the amount of any grant or 
loan under part A with respect to such project, exceeds 90 per centum of 
^f ^*|^- 
^^f^^ 
the cost of such project. 
" (2) No loan to a public agency under this part shall be made in an 
amount which, when added to the amount of any grant or loan under 
part A with respect to such project, exceeds 90 per centum of the cost of 
such project. 
"(c) The Secretary, with the consent of the Secretary of Housing 
and Urban Development, shall obtain from the Department of Hous-
ing and Urban Development such assistance with respect to the admin-
istration of this part as will promote efficiency and economy thereof. 
"ALLOCATION AMONG THE STATES 
"SEC. 622. (a) For each fiscal year, the total amount of principal of 
Allotment pro-
loans to nonprofit private agencies which may be guaranteed or loans to '"^'°"^* 
public agencies which may be directly made under this part shall be 
allotted by the Secretary among the States, in accordance with regula-
tions, on the basis of each State's relative population, financial need, 
need for construction of the facilities referred to in section 621 (a), and 
need for modernization of such facilities. 
" (b) Any amount allotted under subsection (a) to a State for a fiscal Reaiiotment pro-
year ending before July 1,1973, and remaining unobligated at the end ^^^'°"^-
of such year s'hall remain available to such State, for the purpose for 
which made, for the next two fiscal years (and for such years only), 
and any such amount shall be in addition to the amounts allotted to 
such State for such purpose for each of such next two fiscal years; 
except that, with the consent of any such State, any such amount re-
maining unobligated at the end of the first of such next fiscal year 
may be reallotted (on such basis as the Secretary deems equitable and 
consistent with the purposes of this title) to other States which have 
need therefor. Any amounts so reallotted to a State shall be available ^^'^I'^^Vfo^'"*^' 
for the purposes for which made until the close of the second such next """"" '"" 
two fiscal years and shall be in addition to the amount allotted and 
available to such State for the same period. 
"(c) Any amount allotted or reallotted to a State under this section 
for a fiscal year shall not, until the expiration of the period during 
which it is available for obligation, be considered as available for allot-
ment for a subsequent fiscal year. 
"(d) The allotments of any State under subsection (a) for the fiscal 
year ending June 30, 1971, and the succeeding fiscal year shall also be 
available to guarantee loans with respect to any project, for moderniza-
tion or construction of a nonprofit private hospital or other health fa-
cility referred to in section 621(a) (1), if the modernization or con-
struction of such facility was not commenced earlier than January 1, 
1968, and if the State certifies and the Secretary finds that without 
expiration. 
78 Stat. 452. 
42 u s e 291cl. 
346 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 STAT. 
such guaranteed loan such facility could not be completed and begin 
to operate or could not continue to operate, but with such guaranteed 
loan would be able to do so: Provided, That this subsection shall not 
apply to more than two projects in any one State. 
"APPLICATIONS AND CONDITIONS 
"SEC. (i23. (a) For each project for which a guarantee of a loan to a 
nonprofit private agency or a direct loan to a public agency is sought 
iinder this part, there shall be submitted to the Secretary, through the 
State agency designated in accordance with section 604, an application 
by such private nonprofit agency or by such public agency. If two or 
more private nonprofit agencies, or two or more public agencies, join 
in the project, the application may be filed by one or more such agen-
cies. Such application shall (1) set forth all of the descriptions, plans, 
specifications, assurances, and information which are required by the 
42 use 29ie. 
third seuteucc of section 605(a) (other than clause (6) thereof) with 
respect to applications submitted under that section, (2) contain such 
other information as the Secretary may require to carry out the pur-
poses of this part, and (3) include a certification by the State agency of 
the total cost of the project and the amount of the loan for which a 
guarantee is sought under this part, or the amount of the direct loan 
sought under this part, as the case may be. 
"(b) The Secretary may approve such application only if— 
"(1) there remains sufficient balance in the allotment deter-
mined for such State pursuant to section 622 to cover the amount 
of the loan for w^hich a guarantee is sought, or the amount of the 
direct loan sought (as the case may be), in such application, 
"(2) he makes each of the findings which are required by 
clauses (1) through (4) of section 605(b) for the approval of 
applications for projects thereunder (except that, in the case of 
the finding required under such clause (4) of entitlement of a 
project to a priority established under section 603(a), such find-
ing' shall be made without regard to the provisions of clauses (1) 
and (3) of such section), 
" (3) he finds that there is compliance with section 605 (e), 
"(4) he obtains assurances that the applicant will keep such 
records, and afford such access thereto, and make such reports, in 
such form and containing such information, as the Secretary may 
reasonably require, and 
"(5) he also determines, in the case of a loan for which a 
f
uarantee is sought, that the terms, conditions, maturity, security 
if any), and schedule and amounts of repayments with respect 
to the loan are sufficient to protect the financial interests of the 
United States and are otherwise reasonable and in accord with 
regulations, including a determination that the rate of interest 
does not exceed such per centum per annum on the principal 
obligation outstanding as the Secretary determines to be reason-
able, taking into account the range of interest rates prevailing 
in the private market for similar loans and the risks assumed by 
the United States. 
"(c) No application under this section shall be disapproved until 
the Secretary has afforded the State agency an opportunity for a 
liearing. 
"(d) Amendment of an approved application shall be subject to 
approval in the same manner as an original application. 
Recovery right. 
''''{&) (1) lu the case of auv loau to a nonprofit private agency, the 
United States shall be entitled to recover from the applicant the 
Ante, 
p. 339. 
Ante, 
p. 342. 
Hearing. 
84 STAT.] 
PUBLIC LAW 91-296-JUNE 30, 1970 
347 
amount of any payments made pursuant to any guarantee of such 
loan under this part, unless the Secretary for good cause waives its 
right of recovery, and, upon making any such payment, the United 
States shall be subrogated to all of the rights of the recipient of the 
payments with respect to which the guarantee was made. 
"(2) Guarantees of loans to nonprofit private agencies under this 
part shall be subject to such further terms and conditions as the Secre-
tary determines to be necessary to assure that the purposes of this part 
will be achieved, and, to the extent permitted by subsection (f), any of 
such terms and conditions may be modified by the Secretary to the 
extent he determines it to be consistent with the financial interest of 
the United States. 
"(f) Any guarantee of a loan to a nonprofit private agency made by 
the Secretary pursuant to this part shall be incontestable in the hands 
of an applicant on whose behalf such guarantee is made, and as to any 
person who makes or contracts to make a loan to such applicant in 
reliance thereon, except for fraud or misrepresentation on the part of 
such applicant or such other person. 
a 
PAYMENT OF INTEREST ON GUARANTEED LOAN 
"SEC. 624. (a) Subject to the provisions of subsection (b), in the 
case of a guarantee of any loan to a nonprofit private agency under this 
part with respect to a hospital or other medical facility, the Secretary 
shall pay, to the holder of such loan and for and on behalf of such 
hospital or other medical facility amounts sufficient to reduce by 3 per 
centum per annum the net effective interest rate otherwise payable on 
such loan. Each holder of a loan, to a nonprofit private agency, which 
is guaranteed under this part shall have a contractual right to receive 
from the United States interest payments required by me preceding 
sentence. 
"(b) Contracts to make the payments provided for in this section 
shall not carry an aggregate amount greater than such amount as 
may be provided in appropriations Acts. 
" L I M I T A T I O N 
O N 
A M O U N T 
OF 
L O A N S 
G U A R A N T E E D 
OR DIRECTLY MADE 
"SEC. 625. The cumulative total of the principal of the loans out-
standing at any time with respect to which guarantees have been issued, 
or which have been directly made, under this part may not exceed the 
lesser of— 
"(1) such limitations as may be specified in appropriations 
Acts, or 
"(2) in the case of loans covered by allotments for the fiscal 
year ending June 30,1971, $500,000,000; for the fiscal year ending 
June 30, 1972, $1,000,000,000; and for the fiscal year ending 
June 30, 1973, $1,500,000,000. 
Terms and 
conditions. 
Incontestable 
guarantee. 
Exception. 
"LOAN GUARANTEE AND LOAN FUND 
"SEC. 626. (a)(1) There is hereby established in the Treasury a 
loan guarantee and loan fund (hereinafter in this section referred to 
as the 'fund') which shall be available to the Secretary without fiscal 
year limitation, in such amounts as may be specified from time to time 
m appropriations Acts, (i) to enable him to discharge his responsibil-
ities under guarantees issued by him under this part, (ii) for payment 
of interest on the loans to nonprofit agencies which are guaranteed, 
(iii) for direct loans to public agencies which are sold and guaranteed, 
(iv) for payment of interest with respect to such loans, and (v) for 
348 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 STAT. 
Notes or other 
obligations. 
issuance. 
Interest rates. 
40 Stat. 288. 
31 use 744. 
Sale. 
repurchase by liini of direct loans to public agencies which have been 
sold and guaranteed. There are authorized to be appropriated to the 
fund from time to time such amounts as may be necessary to provide 
capital required for the fund. To the extent authorized from time to 
time in appropriation Acts, there shall be deposited in the fund 
amounts received by the Secretary as interest payments or repay-
ments of principal on loans and any other moneys, property, or assets 
derived by him from his operations under this part, including any 
moneys derived from the sale of assets. 
"(2) Of the moneys in the fund, there shall be available to the 
Secretary for the purpose of making of direct loans to public agencies 
only such sums as shall have been appropriated for such purpose 
pursuant to section 627 or sums received by the Secretary from the 
sale of such loans (in accordance with such section) and authorized 
in appropriations Acts to be used for such purpose. 
"(b) If at any time the moneys in the fund are insufficient to enable 
the Secretary to discharge his responsibilities under this part— 
" (i) to make payments oi interest on loans to nonprofit private 
agencies which he has guaranteed under this part; 
"(ii) to otherwise comply with guarantees under this part of 
loans to nonprofit private agencies; 
"(iii) to make payments of interest subsidies with respect to 
loans to public agencies which he has made, sold, and guaranteed 
under this part; 
"(iv) in the event of default by public agencies to make pay-
ments of principal and interest on loans which the Secretary has 
made, sold, and guaranteed, under this part, to make such pay-
ments to tlie purchaser of such loan; 
" (V) to repurchase loans to public agencies which have been sold 
and guaranteed under this part, 
he is authorized to issue to the Secretary of the Treasury notes or other 
obligations in such forms and denominations, bearing such maturities, 
and subject to such terms and conditions, as may be prescribed by the 
Secretary with the approval of the Secretary of the Treasury, but only 
in such amounts as may be specified from time to time in appropriations 
Acts. Such notes or other obligations shall bear interest at a rate deter-
mined by the Secretary of the Treasury, taking into consideration the 
current average market yield on outstanding marketable obligations of 
the United States of comparable maturities during the month preceding 
the issuance of the notes or other obligations. The Secretary of the 
Treasury is authorized and directed to purchase any notes and other 
obligations issued hereunder and for that purpose he is authorized to 
use as a public debt transaction the proceeds from the sale of any 
securities issued under the Second Liberty Bond Act, as amended, and 
the purposes for which securities may be issued under that Act, as 
amended, are extended to include any purchase of such notes and 
obligations. The Secretary of the Treasury may at any time sell any 
of the notes or other obligations acquired by him under this subsection. 
All redemptions, purchases, and sales by the Secretary of the Treasury 
of such^notes or other obligations shall be treated as public debt transac-
tions of the L^nited States. Sums borrowed under this subsection shall 
be deposited in the fund and redemption of such notes and obligations 
shall be made by the Secretary from such fund. 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
349 
a 
PROVISIONS APPLICABLE 'W LOANS TO PUBLIC FACILITIES 
Interest rates. 
Distribution. 
Sale. 
"SEC. 627. (a) (1) Any loan made by the Secretary to a public 
agency under this part for the modernization or construction of a 
public hospital or other health facility shall require such public agency 
to pay interest thereon at a rate comparable to the current rate of 
interest prevailing with respect to loans, to nonprofit private agencies, 
which are guaranteed under this part, for the modernization or con-
struction of similar facilities in the same or similar areas, minus 3 
per centum per annum. 
"(2) (A) No loan to a public agency shall be made under this part 
unless— 
"(i) the Secretary is reasonably satisfied that such agency will 
be able to make payments of principal and interest thereon when 
due, and 
" (ii) such agency provides the Secretary with reasonable assur-
ances that there will be available to such agency such additional 
funds as may be necessary to complete the project with respect 
to which such loan is requested. 
"(B) Any loan to a public agency shall have such security, have 
such maturity date, be repayable in such installments, and be subject 
to such other terms and conditions (including provision for recovery 
in case of default) as the Secretary determines to be necessary to carry 
out the purposes of this part while adequately protecting the financial 
interests of the United States. 
" (3) In making loans to public agencies under this part, the Secre-
tary shall give due regard to achieving an equitable geographical 
distribution of such loans. 
" (b) (1) The Secretary shall from time to time, but with due regard 
to the financial interests of the United States, sell loans referred to in 
subsection (a) (1) either on the private market or to the Federal 
National Mortgage Association in accordance with section 302 of the 
Federal National Mortgage Association Charter Act. 
post^^p.%50^' 
"(2) Any loan so sold shall be sold for an amount which is equal 
12'use 1717. 
(or approximately equal) to the amount of the unpaid principal of 
such loan as of the time of sale. 
"(c)(1) The Secretary is authorized to enter into an agreement 
Agreements. 
with the purchaser of any loan sold under this part under which the 
Secretary agrees— 
"(A) to guarantee to such purchaser (and any successor in 
interest to such purchaser) payment of the principal and interest 
payable under such loan, and 
(B) to pay as an interest subsidy to such purchaser (and any 
successor in interest of such purchaser) amounts which when 
added to the amount of interest payable on such loan, are eq^uiv-
alent to a reasonable rate of interest on such loan as determined 
by the Secretary, after taking into account the range of pre-
vailing interest rates in the private market on similar loans and 
the risks assumed by the United States. 
" (2) Any such agreement— 
"(A) may provide that the Secretary shall act as agent of any 
such purchaser, for the purpose of collecting from the public 
agency to which such loan was made and paying over to such 
purchaser, any payments of principal and interest payable by 
such agency under such loan; 
"(B) may provide for the repurchase by the Secretary of any 
such loan on such terms and conditions as may be specified in the 
agreement; 
350 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 STAT. 
Right of recov-
ery, waiver. 
68A Stat. 3. 
26 u s e 1-1388. 
Sales proceeds, 
deposit and use. 
Appropriation. 
"(C) shall provide that, in the event of any default by the 
public agency to which such loan was made in payment of princi-
pal and interest due on such loan, the Secretary shall, upon 
notification to the purchaser (or to the successor in interest of 
such purchaser), have the option to close out such loan (and any 
obligations of the Secretary with respect thereto) by paying to 
the purchaser (or his successor in interest) the total amount of 
outstanding principal and interest due thereon at the time of 
such notification; and 
"(D) shall provide that, in the event such loan is closed out as 
provided in subparagraph (C), or in the event of any other loss 
incurred by the Secretary by reason of the failure of such public 
agency to make payments of principal and interest on such loan, 
the Secretary shall be subrogated to all rights of such purchaser 
for recovery of such loss from such public agency. 
"(d) The Secretary may, for good cause, waive any right of recovery 
which he has against a public agency by reason of the failure of such 
agency to make payments of principal and interest on a loan made to 
such agency under this part. 
" (e) After any loan to a public agency under this part has been sold 
and guaranteed, interest paid on such loan and any interest subsidy 
paid by the Secretary with respect to such loan which is received by the 
purchaser thereof (or his successor in interest) shall be included in 
gross income for the purposes of chapter 1 of the Internal Revenue 
Code of 1954. 
"(f) Amounts received by the Secretary as proceeds from the sale of 
loans under this section shall be deposited in the loan fund established 
by section 626, and shall be available to the Secretary for the making 
of further loans under this part in accordance with the provisions of 
subsection (a) (2) of such section. 
"(g) There is authorized to be appropriated to the Secretary, for 
deposit in the loan fund established by section 626, $30,000,000 to pro-
vide initial capital for the making of direct loans by the Secretary to 
public agencies for the modernization or construction of facilities re-
ferred to in subsection (a) (1)." 
68 Stat. 613; 
75 Stat. 176; 
82 Stat. 537. 
12 u s e 1717. 
Ante, 
p. 344. 
AMENDMENT TO FEDERAL NATIONAL MORTGAGE ASSOCIATION 
CHARTER 
ACT 
SEC. 202. The first sentence of section 302 (b) of the Federal National 
Mortgage Association Charter Act is amended by inserting after the 
first semicolon the following: "and to purchase, service, sell, or other-
wise deal in any loans made to a public agency under part B of 
title VI of the Public Health Service Act;". 
TITLE III—GEANTS FOR CONSTRUCTION OR MODERN-
IZATION 
OF 
EMERGENCY 
ROOMS 
OF 
GENERAL 
HOSPITALS 
SEC. 301. Title VI of the Public Health Service Act is further 
amended by adding after part B (added by section 201 of this Act) the 
following new part: 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
3S1 
"PART C—CONSTRUCTION OR MODERNIZATION OF EMERGENCY KOOMS 
"AUTHORIZATION 
"SEC. 631. In order to assist in the provision of adequate emergency 
Appropriation. 
room service in various communities of the Nation for treatment of 
accident victims and handling of other medical emergencies through 
special project grants for the construction or modernization of emer-
gency rooms of general hospitals, there are authorized to be appropri-
ated $20,000,000 each for the fiscal year ending June 30, 1971, and the 
next two fiscal years. 
"ELIGIBILITY FOR GRANTS 
"SEC. 632. Funds appropriated pursuant to section 631 shall be 
cost limitation. 
available for grants by the Secretary for not to exceed 50 per centum of 
the cost of construction or modernization of emergency rooms of public 
or nonprofit general hospitals, including provision or replacement of 
medical transportation facilities. Such grants shall be made by the 
Secretary only after consultation with the State agency designated in 
accordance with section 604(a) (1) of the Public Health Service Act. 
H us'c'29i^d. 
In order to be eligible for a grant under this part, the project, and the 
applicant therefor, must meet such criteria as may be prescribed by 
regulations. Such regulations shall be so designed as to provide aid 
only with respect to projects for which adequate assistance is not 
readilj available from other Federal, State, local, or other sources, and 
to assist in providing modern, efficient, and effective emergency room 
service needed to care for victims of highway, industrial, agricultural, 
or other accidents and to handle other medical emergencies, and to 
assist in providing such service in geographical areas w^hich have 
special need therefor. 
"PAYMENTS 
"SEC. 633. Grants under this part shall be paid in advance or by way 
of reimbursement, in such installments and on such conditions, as in the 
judgment of the Secretary will best carry out the purposes of this part." 
TITLE IV—EVALUATION OF HEALTH PROGRAMS 
SEC. 401. (a) Title V of the Public Health Service Act is amended 
ss stat. 709; 
by inserting at the end thereof the following new section: 
*^42*usc 2^9-
229a. 
a 
EVALUATION OF PROGRAMS 
"SEC. 513. Such portion as the Secretary may determine, but not more 
than 1 per centum, of any appropriation for grants, contracts, or other 
payments under any provision of this Act, the Mental Retardation 
Facilities Construction Act, the Community Mental Health Centers 
Act, the Act of August 5, 1954 (Public Law 568, Eighty-third Con- 
H ^'^'-^^\ 
gress), or the Act of August 16, 1957 (Public Law 85-151), for any nole.Tesi^SoJe. 
fiscal year beginning after June 30,1970, shall be available for evalua- 
es stat. 674; 
tion (directly, or by grants or contracts) of any program authorized ^^^2*1180 2001-
by this Act or any of such other Acts, and, in the case of allotments 2004a, 
from any such api)ropriation, the amount available for allotment shall 
H ^^c 2
^
0
0
^
5
-
be reduced accordingly." 
2oo5f. 
352 
PUBLIC LAW 91-296-JUNE 30, 1970 
[84 STAT. 
Appropriations, 
effective dates. 
81 Stat. 535. 
80 Stat. 1190; 
81 Stat. 540. 
81 Stat. 540. 
Repeal. 
82 Stat. 788. 
82 Stat. 1005. 
Repeal. 
82 Stat. 1010. 
(b) (1) Effective with respect to appropriations for fiscal years be-
ginning after June 30,1970— 
(A) section 304(d) of the Public Health Service Act (42 XJ.S.C. 
242b) is amended by striking out "; except that for any fiscal 
year ending after June 30, 1968" and all that follows down to but 
not including the period; 
(B) section 309(c) of such Act (42 U.S.C. 242g) is amended by 
striking out "(1)", and by striking out ", and (2)" and all that 
follows down to but not including the period; 
(C) section 314(d) (1) of such Act (42 U.S.C. 246) is amended 
by striking out ", except that, for any fiscal year ending after 
June 30, 1968" and all that follows down to but not including 
the period; 
(U) section 314(e) of such Act (42 U.S.C. 246) is amended 
by striking out the last sentence; 
(E) section 797 of such Act (42 U.S.C. 295h-6) is repealed; 
and 
(F) section 901(a) of such Act (42 U.S.C. 299a) is amended 
by striking out the last sentence. 
(2) Effective with respect to appropriations for fiscal years begin-
ning after June 30,1970, section 262 of the Community Mental Health 
Centers Act (42 U.S.C. 2688p) is repealed. 
TITLE V~MARIHUANA 
CONGRESSIONAL FINDINGS 
SEC. 501. The Congress finds that the use of marihuana is increasing 
in the United States, especially among the young people thereof, and 
that there is need for a better understanding of the health conse-
quencies of using marihuana. The Congress further finds that, not-
withstanding the various studies carried out, and research engaged 
in, with respect to the use of marihuana, there is a lack of an authori-
tative source for obtaining information involving the health conse-
quences of using marihuana. 
Reports to 
Congress. 
HEALTH-RESEARCH REPORTS 
SEC. 502. The Secretary of Health, Education, and Welfare, after 
consultation with the Surgeon General and other appropriate individ-
uals, shall transmit a report to the Congress on or before January 31, 
1971, and annually thereafter (1) containing current information on 
the health consequences of using marihuana, and (2) containing such 
recommendations for legislative and administrative action as he may 
deem appropriate. A preliminary report shall be transmitted to the 
Congress by the Secretary concerning current information on the 
health consequences of using marihuana not later than ninety (90) 
days after the date of enactment of this title. 
Citation of 
title. 
SHORT TITLE 
SEC. 503. This title may be cited as the "Marihuana and Health 
Reporting Act". 
84 STAT. ] 
PUBLIC LAW 91-296-JUNE 30, 1970 
353 
TITLE VI—AVAILABILITY OF APPROPRIATIONS 
SEC. 601. Notwithstanding any other provision of law, unless 
enacted after the enactment of this Act expressly in limitation of the 
provisions of this section, funds appropriated for any fiscal year 
ending prior to July 1, 1973, to carry out any program for which 
appropriations are authorized by the Public Health Service Act 
(Public Law 410, Seventy-eighth Congress, as amended) or the 
42usc'2^of* 
Mental Retardation Facilities and Community Mental Health Centers note. 
Construction Act of 1963 (Public Law 88-164, as amended) shall 
^^^8^2661 
remain available for obligation and expenditure until the end of note. 
such fiscal year. 
JOHN W. MCCORMACK 
Speaker of the House of 
Representatives^ 
J A M E S B . A L L E N 
Acting President 
of the Senate fro 
tempore. 
IN THE HOUSE OF REPRESENTATIVES, U.S., 
June 25, 1970. 
The House of Representatives having proceeded to recongider 
the bill (H. R. 11102) entitled "An Act to amend the Public Health 
Service Act to revise,extend, and improve the program established 
by title VI of such Act, and for other purposes", returned by the 
President of the United States with his objections, to the House 
of Representatives, in which it originated, it was 
Resolved, 
That the said bill pass, two-thirds of the House of 
Representatives agreeing to pass the same. 
Attest: 
W. P A T J E N N I N G S 
Clerkt 
I certify that this Act originated in the House of Representatives. 
W. P A T J E N N I N G S 
Clerk, 
IN THE SENATE OF THE UNITED STATES, 
June 30, 1970. 
The Senate having proceeded to reconsider the bill(H. R. 11102) 
entitled "An Act to amend the Public Health Service Act to revise, 
extend, and improve the program established by title VI of such 
Act, andforotherpurposes", returned by the President of the United 
States with his objections, to the House of Representatives, in 
which it originated, it was 
Resolved, 
That the said bill pass, two-thirds of the Senators 
present having voted in the affirmative. 
Attest: 
F R A N C I S R . V A L E O 
Secretary.