An Act to assist in expanding and improving community facilities and services for the health care of aged and other persons, and for other purposes
PL 87-395 (H.R.4998), enacted 10/05/1961

824 
PUBUC LAW 87-396-OCT. 6, 1961 
[76 ST AT4 
October 5, 1961 
[H. R. 4998] 
Public Law 87-395 
AN ACT 
To assist in expanding and improving community facilities and services for 
the health care of aged and other persons, and for other puriK>ses. 
C o m m u n i t y 
Health S e r v i c e s 
and Facilities Act 
of 1961. 
60 Stat. 424; 72 
Stat. 400. 
42 u s e 246. 
62 Stat. 469. 
Pay m e n t a t < 
States, reduction. 
42 u s e 243-247. 
Be it enacted hy the Seriate and House of Representatives 
of the 
United States of America in Congress assembled^ That this Act may 
be cited as the "Community Health Services and Facilities Act of 
1961". 
GRANTS FOR PUBLIC HEALTH SERVICES 
SEC. 2. (a) Subsection (c) of section 314 of the Public Health 
Service Act is amended by striking out "there is hereby authorized 
to be appropriated for each fiscal year a sum not to exceed 
$30,000,000" and inserting in lieu thereof "there is authorized to be 
appropriated for each of the first five fiscal years ending after June 
30, 1961, the sum of $50,000,000". 
(b) The second sentence of such subsection is amended (1) by 
striking out "an amount, not to exceed $3,000,000" and inserting in 
lieu thereof "such amount as may be necessary", and (2) by striking 
out "$1,000,000" and inserting in lieu thereof "$2,500,000". 
(c) Such subsection is further amended by inserting after the first 
sentence the following new sentence: "When so provided in any Act 
appropriating funds for carrying out the purposes of this subsection 
for any year, such amounts as may be specified in such Act shall be 
available only for allotments and payments for such services and activ-
ities included under this subsection as may be provided in such Act; 
and in such case the requirements of subsection (h) shall be separately 
applied to such allotments and payments." 
(d) Section 314 of such Act is further amended by adding at the 
end thereof the following new subsection: 
"(m) The Surgeon General, at the request of the State health 
authority or, where appropriate, the State mental health authority, 
may reduce the payments to a State under this section by the amount 
of the pay, allowances, traveling expenses, and any other costs in 
connection wdth the detail of an officer or employee of the Public 
Health Service to the State or any of its political subdivisions when 
such detail is made for the convenience of and at the request of the 
State and for purposes of carrying out its State plan approved under 
this section. 
The amount by which such payments are so reduced 
shall be available for pavment of such costs by the Surgeon General, 
but shall, for purposes oi subsection (h), bs deemed to have been paid 
to the State." 
(e) Part B of title I I I of the Public Health Service Act is fur-
ther amended by adding after section 315 the following new section: 
SPECIAL PROJECT GRANTS FOR IMPROVING COMMUNITY HEALTH SERVICES 
"SEC. 316. (a) There are hereby authorized to be appropriated for 
each of the first five fiscal years ending after June 30, 1961, the sum 
of $10,000,000, for grants to State or other public or nonprofit private 
agencies or organizations for studies, experiments, and demonstra-
tions looking toward develoj)ment of new or improved methods of 
providing health services outside the hospital, particularly for chroni-
cally ill or aged persons. Any grant for any such project made from 
an appropriation under this section for any fiscal year may include 
such amounts as the Surgeon General determines to be necessary for 
succeeding fiscal years for completion of the Federal participation in 
the project as approved by the Surgeon General. 
75 S T A T . ] 
PUBLIC LAW 87-895-OCT. 5, 1981 
825 
"(b) Payments under this section may be made in advance or by 
Method of pay-
way of reimbursement, and in such installments, as may be deter- ™*'*' 
mined by the Surgeon Greneral; and shall be made on such conditions 
as the Surgeon General finds necessary to carry out the purposes of 
this section. Nothing in this Act shall preclude a State or community 
from establishing ana collecting fees for personal health services which 
may be provided through programs financed from funds under this 
section when collection of such fees is authorized or required by State 
or local law. 
"(c) The Surgeon General, at the request of a State or other ii^^""^"' ''*'*"*=-
public agency, may reduce the grant to such agency under this 
section by the amount of the pay, allowances, traveling expenses, 
and any other costs in connection with the detail of an officer or 
employee of the Public Health Service to such agency when such 
detail is made for the convenience of and at the request of such 
agency and for the purpose of carrying out its study, experiment, 
or demonstration with respect to which a grant is made under this 
section. The amount by which such grant is so reduced shall 
be available for payment of such costs by the Surgeon General, but 
shall, for purposes of subsection (b), be deemed to have been paid 
to such agency." 
INCREASE I N GRANTS FOR CONSTRUCTION OF NONPROFIT NURSING HOMES 
68 Stat. 462; 72 
Stat. 616. 
42 u s e 291«. 
SEC. 3. (a) Paragraph (4) of section 651 of the Public Health 
Service Act is amended by striking out "$10,000,000" and inserting 
in lieu thereof "$20,000,000". 
(b) Section 652 of such Act is amended by striking out "(3) or 
^^ stat. 462. 
(4)" and inserting in lieu thereof "(3)" and by striking out "(1) 
^^ "^^ """ 
or (2)" and inserting in lieu thereof "(1), (2), or (4)". 
(c) The amendments made by subsections (a) and (b) shall be 
applicable in the case of fiscal years beginning after June 30, 1961. 
RESEARCH, EXPERIMENTS, AND DEMONSTRATIONS I N UTILIZATION OF 
MEDICAL FACILITIES 
SEC. 4. (a) Section 636 of the Public Health Service Act is amended 
^^ stat. 900. 
by striking out "hospital services, facilities, and resources" each time 
^^ "^^ ^^*"' 
it appears therein and inserting in lieu thereof "services, facilities, 
and resources of hospitals or other medical facilities" the first time 
and "services, facilities, and resources of hospitals or other medical 
facilities, agencies, or institutions, and including projects for the con-
struction of experimental or demonstration hospitals or other medical 
facilities and projects for acquisition of experimental or demonstra-
tion equipment for use in connection with hospitals or other medical 
facilities" the second time. 
(b) Section 636 of such Act is further amended by striking out the 
last sentence thereof and inserting the following in lieu of such sen-
tence : "Any award for any such project made from an appropriation 
under this section for any fiscal year may include such amounts as 
the Surgeon General determines to be necessary for succeeding fiscal 
years for completion of the Federal participation in the project as 
approved by the Surgeon General. Payments of any such grant may 
M
e
t
h
o
d of pay-
be made in advance or by way of reimbursement, and in such install- "*"*' 
ments, as may be determined by the Surgeon General; and shall be 
made on such conditions as the Surgeon General finds necessary to 
carry out the purposes of this section. Except where the Surgeon 
General determines that unusual circumstances make a larger per-
centage necessary in order to effectuate the purposes of this section, 
amounts paid under this section with respect to any project for con-
64207 0-62—55 
826 
PUBLIC LAW 87-395-OCT. 5, 1961 
[75 ST A T . 
63 Stat. 901. 
42 u s e 291h. 
Facilities. 
U. S. right of re-
covery. 
struction of a facility or for acquisition of equipment may not exceed 
66% per centum of so much of the cost of such facility or such equip-
ment as the Surgeon General determines is reasonably attributable 
to experimental or demonstration purposes. The provisions of clause 
(5) of the third sentence of subsection (a) of section 625 and any 
other provisions of such section which the Surgeon General deems 
appropriate shall be applicable, along with such other conditions as 
the Surgeon General may determine, to grants under this section for 
projects for construction or for acquisition of equipment. 
There is 
hereby authorized to be appropriated not to exceed $10,000,000 for 
any fiscal year to carry out the provisions of this section." 
(c) Such section is further amended by striking out "In carrying 
out the purposes of section 301 with respect to hospital facilities, the 
Surgeon General" and inserting in lieu thereof 
(a) The Surgeon 
General", and by adding at the end of such section the following new 
subsection: 
"(b) If, within twenty years after completion of any construction 
for which funds have been paid under this section— 
"(1) the applicant or other owner of the facility shall cease 
to be a public or other nonprofit institution or organization, or 
"(2) the facility shall cease to be used for the purposes for 
which it was constructed or for the provision of hospital or other 
services for which construction projects may be approved under 
this title, 
the United States shall be entitled to recover from the applicant or 
other owner of the facility an amount bearing the same ratio to the 
then value (as determined by agreement of the parties or by action 
brought in the United States district court for the district in which 
such facility is situated) of the facility, as the amount of the Federal 
participation bore to the cost of construction of such facility. 
Such 
right of recovery shall not constitute a lien on such facility prior to 
judgment." 
68 Stat. 466. 
42 u s e 291i. 
AMENDMENT TO DEFINITION OF REHABILITATION FACILITY 
SEC. 5. Section 631 (n) of the Public Health Service Act is amended 
to read as foUow^s: 
"(n) The term 'rehabilitation facility' means a facility which is 
operated for the primary purpose of assisting in the rehabilitation 
of disabled persons through an integrated program of— 
"(1) medical evaluation and services, and 
" (2) psychological, social, or vocational evaluation and services, 
tinder competent professional supervision, and in the case of which— 
"(3) the major portion of the required evaluation and services 
is furnished within the facility; and 
"(4) either (A) the facility is operated in connection with a 
hospital, or (B) all medical and related health services are pre-
scribed by, or are under the general direction of, persons licensed 
to practice medicine or surgery in the State." 
72 Stat. 489. 
42 u s e 291w. 
Partial repeal. 
64 Stat. 444. 
42 u s e 289c. 
EXTENSION OF AUTHORIZATION FOR LOANS 
SEC. 6. Section 661 of the Public Health Service Act is amended by 
striking out "prior to July 1, 1962" and inserting in lieu thereof 
"prior to July 1, 1964". 
SEC. 7. Effective July 1, 1962, the,parenthetical phrase in the first 
sentence of section 433 (a) of such Act which reads " (including grants-
in-aid for drawing plans, erection of buildings, and acquisition of 
land therefor)" is repealed. 
75 
S T A T . ] 
PUBLIC LAW 87-396-OCT. 5, 1961 
827 
SEC. 8. (a) Section 704 of the Public Health Service Act is hereby 
amended by striking out "five" and inserting "six", and by striking 
out "$30,000,000" and inserting "$50,000,000'\ 
(b) Section 705(a) of the Public Health Service Act is hereby 
amended by striking out "1961" and inserting "1962". 
(c) Section 706(a) of such Act is amended by striking out ", or 
in the case of a multipurpose facility," and inserting in lieu thereof 
"in the case of a facility which the Surgeon General determines is 
to be used for research, or research and purposes related thereto (in-
cluding research training), in the sciences related to health or, in the 
case of any other multipurpose facility,". 
(d) Sections 704 and 705(c) (2) of such Act are each amended by 
inserting ", or research and related purposes," after "research", 
wherever it appears therein. Section 705(e) of such Act is amended 
by inserting ", or research and related purposes," after "research" the 
first time it appears therein and inserting "or related purposes" after 
"research" the second time it appears therein. 
Section 707(b) of 
such Act is amended by inserting^', or research and related purposes," 
after "research purposes". Section 706(a) of such Act is amended 
by striking out ''facility for research" and inserting in lieu thereof 
"facility for research, or research and related purposes,". 
Section 
708 of such Act is amended by inserting "or related purposes" after 
"research". 
Approved October 5, 1961. 
70 Stat. 
Stat. 933. 
42 u s e 
42 use 
70 Stat. 
42 use 
718; 
292c. 
292d. 
719. 
292e. 
72 
42 
use 
292f. 
42 
use 
292g. 
Public Law 87-396 
AN ACT 
To amend title 14 of the United States Code to provide for an expansion of 
the functions of the Coast Guard. 
October 5, 1961 
[H. R. 6845] 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled^ That title 14 of 
the United States Code, relating to the Coast Guard, is amended by 
inserting in chapter 1, section 2, after the words "rescue facilities for 
the promotion of safety on and over the high seas and waters subject 
to the jurisdiction of the United States;" and before the words "and 
shall maintain a state of readiness" the words: "shall engage in 
oceanographic research on the high seas and in waters subject to the 
jurisdiction of the United States;" and is further amended by in-
serting at the end of chapter 5 the following new section: 
*
*
§ 94. Oceanographic research 
"The Coast Guard shall conduct such oceanographic research, use 
such equipment or instruments, and collect and analyze such oceano-
graphic data, in cooperation with other agencies of the Government, 
or not, as may be in the national interest. 
SEC. 2. The analysis of chapter 5 of title 14 of the United States 
Code is amended by inserting at the end thereof the following: 
"94. Oceanographic research." 
Approved October 5, 1961. 
Coast Guard. 
Oceanogr ap h i e 
research. 
63 Stat. 496. 
14 u s e 2. 
14 u s e 81-93.