An Act to amend the Manpower Development and Training Act of 1962, as amended, and for other purposes
PL 89-15 (S.974), enacted 04/26/1965

79 STAT. ] 
PUBLIC LAW 89-15-APR. 26, 1965 
75 
Public Law 89-15 
AN ACT 
April 26, 1965 
To amend the Manpower Development and Training Act of 1962, as amended, 
1
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and for other purposes. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress asserribled^ That this Act may 
Manpower Act o
f 
be cited as the "Manpower Act of 1965". 
^^^^• 
SEC. 2. Section 101 of the Manpower Development and Training Act 
of 1962, as amended (hereinafter referred to as the "Act"), is amended 
^^ ^f-- ^3-
by inserting before the last sentence thereof the following new sen-
tence : "The Congress further finds that many professional employees 
who have become unemployed because of the specialized nature of their 
previous employment are in need of brief refresher or reorientation 
educational courses in order to become qualified for other employment 
in their professions, where such training would further the purposes 
of this Act." 
SEC. 3. (a) Section 102(5) of the Act is amended by adding a comma 
42 use 2.572. 
after the word "arrange" and inserting "through grants or contracts," 
inunediately following the comma. 
(b) Section 102 of the Act is further amended by striking out 
"and" at the end of paragraph (4), by striking out the period at the 
end of paragraph (5) and inserting in lieu of such period "; and", 
and by adding at the end of such section the following new paragraph: 
"(6) establish a program of experimental, developmental, 
demonstration, and pilot projects, through grants to or contracts 
with public or private nonprofit organizations, or through con-
tracts with other private organizations, for the purpose of im-
proving techniques and demonstrating the effectiveness of special-
ized methods in meeting the manpower, employment, and training 
problems of worker groups such as the long-term unemployed, 
disadvantaged youth, displaced older workers, the handicapped, 
members of minority groups, and other similar groups. In carry-
ing out this subsection the Secretary of Labor shall, where appro-
priate, consult with the Secretaries of Health, Education, and 
"Welfare, and Commerce, and the Director of the Office of Eco-
nomic Opportunity. 
Where programs under this paragraph 
require institutional training, appropriate arrangements for such 
training shall be agreed to by the Secretary of Labor and the 
Secretary of Health, Education, and Welfare. 
He shall also seek 
the advice of consultants with respect to the standards governing 
the adequacy and design of proposals, the ability of applicants, 
and the priority of projects in meeting the objectives of this Act." 
SEC. 4. (a) Title I of the Act is amended by renumbering sections 
103 and 104 as sections 106 and 107, respectively, and by inserting 
immediately after section 102 the following new sections: 
42 u s e 2573, 
2574. 
<
( 
JOB DEVELOPMENT PROGRAMF 
"SEC. 103. The Secretary of Labor shall stimulate and assist, in 
cooperation with interested agencies both public and private, job 
development programs, through on-the-job training and other suitable 
methods, that will serve to expand employment by the filling of those 
service and related needs which are not now being met because of lack 
of trained workers or other reasons affecting employment or oppor-
tunities for employment. 
76 
PUBLIC LAW 89-15-APR. 26, 1965 
[79 STAT. 
"LABOR MOBILITY DEMONSTRATION 
PROJECTS 
"SEC. 104, (a) During the period ending June 30, 1967, the Secre-
tary of Labor shall develop and carry out, in a limited number of 
geographical areas, pilot projects designed to assess or demonstrate the 
effectiveness in reducing unemployment of programs to increase the 
mobility of unemployed workers by providing assistance to meet their 
relocation expenses. In carrying out such projects the Secretary may 
provide such assistance, in the form of grants or loans, or both, only 
to involuntarily unemployed individuals who cannot reasonably be 
expected to secure full-time employment in the community in which 
they reside, have bona fide offers of employment (other than temporary 
or seasonal employment), and are deemed qualified to perform the 
work for which they are being employed. 
Limitations. 
^^ (h) Loaus O
T grauts provided under this section shall be subject 
to such terms and conditions as the Secretary shall prescribe, with 
loans subject to the following limitations: 
" (1) there is reasonable assurance of repayment of the loan; 
"(2) the credit is not otherwise available on reasonable terms 
from private sources or other Federal, State, or local programs; 
"(3) the amount of the loan, together with other funds avail-
able, is adequate to assure achievement of the purposes for which 
the loan is made; 
"(4) the loan bears interest at a rate not less than (A) a rate 
determined by the Secretary of the Treasury, taking into con-
sideration the average market yield on outstanding Treasury 
obligations of comparable maturity, plus (B) such additional 
charge, if any, toward covering other costs of the program as 
the Secretary may determine to be consistent with its purposes; 
and 
" (5) the loan is repayable within not more than ten years. 
"(c) Of the funds appropriated for a fiscal year to carry out this 
Act, not more than $5,000,000 may be used for the purposes of this 
section. 
a, 
TRAINEE PLACEMENT ASSISTANCE DEMONSTRATION PROJECTS 
"SEC. 105. During the period ending June 30, 1967, the Secretary 
of Labor shall develop and carry out experimental and demonstration 
projects to assist in the placement of persons seeking employment 
through a public employment office who have successfully completed 
or participated in a federally assisted or financed training, counseling, 
work training, or work experience program and who, after appro-
priate counseling, have been found by the Secretary to be qualified and 
suitable for the employment in question, but to whom employment is 
or may be denied for reasons other than ability to perform, including 
difficulty in securing bonds for indemnifying their employers against 
loss from the infidelity, dishonesty, or default of such persons. 
In 
carrying out these projects the Secretary may make payments to or 
contracts with employers or institutions authorized to indemnify 
employers against such losses. Of the funds appropriated for fiscal 
years ending June 30,1966, and June 30,1967, not more than $200,000 
and $300,000, respectively, may be used for the purpose of carrying 
out this section." 
II ulc 2
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2
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(b) Section 102(2) of the Act is amended by striking out "104" and 
inserting in lieu thereof "107". 
79 STAT. ] 
PUBLIC LAW 89-15-APR. 26, 1965 
77 
SEC. 5. Section 202 (i) of the Act is amended by striking out ", and 
JJ stau .m^^ 
such persons shall be eligible for training allowances for not to exceed 
an additional twenty wrecks". 
SEC. 6. (a) Section 203 (a) of the Act is amended as follows: 
anle^'"'"^ ^"""•^' 
(1) Amend the second sentence thereof to read as follows: "Such 
76 stat. 25; 
payments shall be made for a period not exceeding one hundred and ''^42*usc^25*83 
four weeks, and the basic amount of any such payment in any week for 
persons undergoing training, including uncompensated employer-
provided training, shall not exceed $10 more than the amount of the 
average weekly gross unemployment compensation payment (includ-
ing allowances for dependents) for a week of total unemployment in 
the State making such payments during the most recent four-calendar-
quarter period for which such data are available: Provided^ That the 
basic amount of such payments may be increased by $5 a week for each 
dependent over two up to a maximum of four additional dependents: 
Provided further^ That in any week an individual w^ho, but for his 
training, would be entitled to unemployment compensation in excess 
of his total allowance, including payments for dependents, shall receive 
an allowance increased by the amount of such excess."; 
(2) Amend the second paragraph thereof to read as follows: 
"With respect to any week for which a person receives unemploy-
ment compensation under title XV of the Social Security Act or any 
^s stat. nao; 
other Federal or State unemployment compensation law which is less 
42 use lae'i-
than the total training allowance, including payments for dependents, 1371. 
provided for by the preceding paragraph, a supplemental training 
allowance may be paid to a person eligible for a training allowance 
under this Act. The supplemental training allowance shall not exceed 
the difference between his unemployment compensation and the train-
ing allowance provided by the preceding paragraph."; 
(3) Insert the words "under the training program" after "com-
pensated hours per week" in the third paragraph of such subsection; 
(4) In lieu of the foui-th paragraph of such subsection insert the 
following: 
"The training allowance of a person engaged in training under 
section 204 or 231 shall not be reduced on account of employment 
76 stat. 28.30; 
(other than employment under an on-the-job training program under ^^42*uscl2'584, 
section 204) which does not exceed twenty hours per week, but shall be 2601. 
reduced in an amount equal to his full earnings for hours worked 
(other than in employment under such an on-the-job training pro-
gram) in excess of twenty hours per week." 
(b) (1) Section 203(b) of the Act is amended by striking out the and'sCbsi's!enc°e" 
matter following "to defray transportation" and preceding "Pro- expenses'. 
vided^\ and by inserting in lieu of such matter the following: "ex- 
^e stat. 27. 
penses, and when such training is provided in facilities which are not 
within commuting distance of the trainee's regular place of residence, 
subsistence expenses for separate maintenance of the trainee:". 
(2) Such subsection is further amended by inserting immediately 
before the period at the end thereof the following: ", except in the case 
of local transportation where he may authorize reimbursement for the 
trainee's travel by the most economical mode of public transportation, 
and except that in noncontiguous States and in areas outside the 
continental United States where the per diem allowance prescribed 
under section 836 of title 5, United States Code, exceeds the maximum 
^l s*^*- ^^e; 
per diem allowance prescribed under that section for contiguous States, 
the Secretary may provide for a reasonable increase in the transporta-
75 stat. 339, 340. 
78 
PUBLIC LAW 89-15-APR. 26, 1965 
[79 STAT. 
Conditions. 
77 Stat. 422. 
42 use 2583. 
68A Stat. 3. 
26 use 1 et seq. 
Repeal. 
76 Stat. 27; 
77 Stat. 423. 
42 u s e 2583. 
Repeal. 
77 Stat. 423. 
42 u s e 2588. 
Agreements with 
States. 
42 u s e 2601. 
tion and subsistence expenses in such amounts as lie may deem neces-
sary to carry out the purposes of this Act, and subject to such limita-
tions as he may prescribe". 
(c) Section 203 (c) of the Act is amended as follows: 
(1) Strike the words "not less than" in the first sentence and insert 
"at least" in lieu thereof; 
(2) Strike out everything in the first sentence after the words 
"gainful employment", and insert the following in lieu thereof: 
": Provided^ That he shall not pay training allowances to members of 
a family or a household in which the head of the family or the head of 
the household as defined in the Internal Eevenue Code of 1954 is 
employed, unless the Secretary determines that such payments are 
necessary in order for the trainees to undertake or to continue training: 
Provided further^ That no allowances shall be paid to any member of 
a family or household if the Secretary of Labor determines that the 
head of such familj^ or household has terminated his employment for 
the purpose of qualifying such member for training allowances under 
this section."; 
(3) Amend the last sentence to read as follows: "The number of 
youths under the age of twenty-two who are receiving training allow-
ances (or who would be entitled thereto but for the receipt of unem-
ployment compensation) shall, except for such adjustments as may 
be necessary for effective management of programs under this section, 
not exceed 25 per centum of all persons receiving such allowances (or 
who would be entitled thereto but for the receipt of unemployment 
compensation). 
The Secretary of Labor may authorize continued 
])ayments of allowances to any youth who becomes twenty-two years 
of age during the course of his training, if he has completed a substan-
tial part of such training." 
(d) Subsection (d) of section 203 of the Act is repealed and sub-
sections (e), (f), (g), (h), (i),and (j) of such section are redesignated 
as (d), (e), (f), (g), (h), and (i), respectively. 
(e) The first sentence of section 203(g) (2) of the Act (as redesig-
nated by section 5(d) of this Act) is amended by striking out every-
thing that follows "all of such benefits paid" and inserting in lieu 
thereof a period. 
SEC. 7. Section 208 of the Act is repealed. 
SEC. 8. Section 231 of the Act is amended by striking out the second 
and third sentences and inserting in lieu thereof the following: "Such 
State agencies shall provide for such training through public educa-
tional agencies or institutions or through arrangements with private 
educational or training institutions where such private institutions can 
provide equipment or services not available in public institutions, par-
ticularly for training in technical and subprofessional occupations, or 
where such institutions can, at comparable cost, (1) provide substan-
tially equivalent training, or (2) make possible an expanded use of the 
individual referral method, or (3) aid in reducing more quickly 
unemployment or current and prospective manpower shortages. 
The 
State agency shall be paid not more than 90 per centum of the cost to 
the State of carrying out the agreement, unless the Secretary of Health, 
Education, and Welfare determines that payments in excess of 90 per 
centum are necessary because such payments with respect to private 
institutions are required to give full effect to the purposes of the Act: 
Provided^ That for the period ending June 30,1966, the State agency 
shall be paid 100 per centum of the cost to the State of carrying out 
the agreement. 
Non-Federal contributions may be in cash or kind. 
79 
STAT.] 
PUBLIC LAW 89-15-APR. 26, 1965 
79 
fairly evaluated, including but not limited to plant, equipment, and 
services." 
SEC. 9. (a) Title I I of the Act is amended by adding part C to 
76 stat. 25 
the end thereof to read as follows: 
42 u s e 2581-
2602. 
"PART C—REDEVELOPMENT AJIEAS 
"SEC. 241. The Secretaries of Labor and of Health, Education, and 
Welfare, in accordance with their respective responsibilities under 
parts A and B of this title, are authorized to provide a supplementary 
program of training and training allowances, in consultation with the 
Secretary of Commerce, for unemployed and underemployed persons 
residing in areas designated as redevelopment areas by the Secretary 
of Commerce under the Area Redevelopment Act or any subsequent 
Act authorizing such designation. 
Such program shall be carried out 
by the Secretaries of Labor and of Health, Education, and Welfare in 
accordance with the provisions otherwise applicable to programs under 
this Act and with their respective functions under those provisions, 
except that— 
" (1) the Secretary of Labor, in consultation with the Secretary 
of Commerce, shall determine the occupational training or retrain-
ing needs of unemployed or underemployed individuals residing 
in redevelopment areas; 
"(2) all unemployed or underemployed individuals residing in 
redevelopment areas who can reasonably be expected to obtain em-
ployment as a result of such training may be referred and selected 
for training and shall be eligible for training allowances under 
this section: Provided^ That the amount and duration of training 
allowances under this section shall in no event exceed the amount 
and duration of training allowances provided under section 
203(a) of this Act; 
"(3) the Secretaries of Labor and of Health, Education, and 
Welfare shall, each with respect to his functions under this sec-
tion, prescribe jointly with the Secretary of Commerce such rules 
and regulations as may be necessary to carry out the purposes of 
this section; and 
"(4) no funds available under this section shall be apportioned 
to any State pursuant to section 301 of this Act, nor shall any 
matching funds be required." 
(b) Sections 16 and 17 of the Area Redevelopment Act (42 U.S.C. 
2513 and 2514) are repealed. The repeal of these sections shall not 
affect the disbursement of funds under, or the carrying out of, any 
contract, commitment, or other obligation entered into pursuant to 
the Area Redevelopment Act prior to the effective date of the repeal 
of such sections. 
(c) This section and the amendments made by it shall take effect on 
July 1,1965. 
SEC. 10. Section 301 of the Act is amended by striking the period 
at the end thereof, inserting a colon, and adding the following proviso: 
'•''Provided^ That no fimds apportioned with respect to a State in any 
fiscal year shall be reapportioned before the expiration of the sixth 
month of such fiscal year and only upon 30 days' prior notice to such 
State of the proposed reapportionment, except that the requirement 
for prior notice shall not apply with respect to any reapportionment 
made during the last quarter of the fiscal year." 
SEC. 11. Section 302 of the Act is amended by striking the word 
"and" following "the Smith-Hughes Vocational Education Act" insert-
77 Stat. 422. 
75 Stat. 47. 
42 u s e 2501 
note. 
Training allow-
ances. 
Ante, p. 77. 
42 u s e 2583. 
Regulatory 
authority. 
76 Stat. 30. 
42 u s e 2611. 
Repeals. 
75 Stat. 58. 
42 u s e 2611. 
42 u s e 2612. 
39 Stat. 929. 
20 u s e 15i and 
note. 
80 
PUBLIC LAW 89-15-APR. 26, 1965 
[79 STAT. 
77 
20 
60 
20 
76 
42 
An 
42 
2574 
42 
2602 
An 
42 
26 20 
42 
Stat. 403. 
u s e 35 note. 
Stat. 775. 
u s e 15i note. 
Stat. 31. 
u s e 2614. 
te, pp. 75, 76 
u s e 2571-
use 
te, p. 
use 
use 
2581-
79. 
2611-
2615. 
ing a cQmma in lieu thereof, and inserting "and the Vocational Educa-
tion Act of 1963," following "the Vocational Education Act of 1946,". 
SEC. 12. Section 304 of the Act is amended to read as follows: 
42 
use 2616. 
42 
use 2582. 
77 
Stat. 424. 
42 
use 2619. 
42 u s e 2620. 
U 
APPROPRIATIONS 
AUTHORIZED 
"SEC. 304. (a) For the purposes of carrying out title I, there are 
hereby authorized to be appropriated not in excess of $46,000,000 for 
the fiscal year ending June 30,1966, and for each fiscal year thereafter 
such amounts as may be necessary. 
"(b) For the purpose of carrying out parts A and B of title II, 
there are hereby authorized to be appropriated not in excess of 
$385,000,000 for the fiscal year ending June 30,1966, and for each fiscal 
year thereafter such amounts as may be necessary. 
"(c) For the purpose of carrying out part C of title II, there are 
hereby authorized to be appropriated not in excess of $22,000,000 for 
the fiscal year ending June 30,1966, and for each year thereafter such 
amounts as may be necessary. 
"(d) For the purpose of carrying out title III, there are hereby 
authorized to be appropriated not in excess of $1,000,000 for the fiscal 
year ending June 30,1966, and for each year thereafter such amounts 
as may be necessary." 
SEC. 13. The following subsection is added to section 305 of the Act 
to read as follows: 
" (e) the costs of all training programs approved in any fiscal year, 
including the total cost of training allowances for such programs, may 
be paid from funds appropriated for such purposes for that fiscal year; 
and the amount of the Federal payment shall be computed on the basis 
of the per centum requirement in effect at the time such programs are 
approved: Provided, That funds appropriated for the fiscal year end-
ing June 30, 1966, may be expended for training programs approved 
under this Act prior to July 1,1965." 
SEC. 14. Subsection (a) of section 306 of the Act is amended by 
inserting after "procedures," the following: "including (subject to 
such policies, rules, and regulations as they may prescribe) the 
approval of any program under section 202, the cost of which does not 
exceed $75,000,". 
SEC. 15. Sections 309(a) and 309(b) of the Act are both amended 
by striking "Prior to March 1,1963, and again prior to April 1,1964, 
April 1, 1965, and April 1,1966" and inserting in lieu thereof: "Prior 
to April 1 in each year". 
SEC. 16. Section 310 of the Act is amended by striking out "1966" 
wherever it appears and inserting in lieu thereof "1969". 
Approved April 26, 1965.