An Act to authorize a local public works capital development and investment program, to establish an antirecessionary program, and for other purposes.
PL 94-369 (S.3201), enacted 07/22/1976

PUBLIC LAW 94-369—JULY 22, 1976 
90 STAT. 99<) 
Public Law 94-369 
94th Congress 
An Act 
To authorize a local public works capital development and investment pro-
gram, to establish an antirecessionary program, and for other purposes. 
Be it enacted hy the Senate and House of Representatives of the 
United States of America in Congress assembled^ That this Act may 
be cited as the "Public Works Employment Act of 1976". 
TITLE I—LOCAL PUBLIC WORKS 
SEC. 101. This title may be cited as the "Local Public Works Capital 
Development and Investment Act of 1976". 
SEC. 102. As used in this title, the term— 
(1) "Secretary" means the Secretary of Commerce, acting 
through the Economic Development Administration. 
(2) "State" includes the several States, the District of Colum-
bia, the Commonwealth of Puerto Rico, the Virgin Islands, 
Guam, and ximerican Samoa. 
(3) "local government" means any city, county, town, parish, 
or other political subdivision of a State, and any Indian tribe. 
SEC. 103. (a) The Secretary is authorized to make grants to any 
State or local government for construction (including demolition and 
other site preparation activities), renovation, repair, or other improve-
ment of local public works projects including but not limited to those 
public works projects of State and local governments for which Fed-
eral financial assistance is authorized under provisions of law other 
than this Act. In addition the Secretary is authorized to make grants 
to any State or local government for the completion of plans, specifi-
cations, and estimates for local public works projects where either 
architectural design or preliminary engineei'ing or related planning 
has already been undertaken and where additional architectural and 
engineering work or related planning is required to permit construc-
tion of the project under this Act. 
(b) The Federal share of any project for which a grant is made 
under this section shall be 100 per centum of the cost of the project. 
SEC, 104. In addition to the grants otherwise authorized by this Act, 
the Secretary is authorized to make a grant for the purpose of increas-
ing the Federal contribution to a public works project for which Fed-
eral financial assistance is authorized under provisions of law other 
than this Act. Any grant made for a public Avorks project under this 
section shall be in such amount as may be necessary to make the 
Federal share of the cost of such project 100 per centum. No grant 
shall be made for a project under this section unless the Federal finan-
cial assistance for such project authorized under provisions of law 
other than this Act is immediately available for such project and 
construction of such project has not yet been initiated because of lack 
of funding for the non-Federal share. 
SEC. 105. In addition to the grants otherwise authorized by this 
Act, the Secretary is authorized to make a grant for the purpose of 
providing all or any portion of the required State or local share of 
the cost of any public works project for which financial assistance is 
July 22, 1976 
[S. 3201] 
Public Works 
Employment Act 
of 1976. 
42 u s e 6701 
note. 
Local Public 
Works Capital 
Development and 
Investment Act of 
1976. 
42 u s e 6701 
note. 
Definitions. 
42 u s e 6701. 
Grants. 
42 u s e 6702. 
Federal share. 
42 u s e 6703. 
42 u s e 6704. 
90 STAT. 1000 
PUBLIC LAW 94-369—JULY 22, 1976 
authorized under any provision of State or local law requiring such 
contribution. Any grant made for a public works project under this 
section shall be made in such amount as may be necessary to provide 
the requested State or local share of the cost of such project. A grant 
shall be made under this section for either the State or local share of 
the cost of the project, but not both shares. No grant shall be made 
J' - 
for a project under this section unless the share of the financial 
assistance for such project (other than the share with respect to which 
a grant is requested under this section) is immediately available for 
such project and construction of such project has not yet been 
initiated. 
42 use 6705. 
SEC. 106. (a) No grant shall be made under section 103, 104, or 105 
of this Act for any project having as its principal purpose the 
channelization, damming, diversion, or dredging of any natural 
watercourse, or the construction or enlargement of any canal (other 
• 
than a canal or raceway designated for maintenance as an historic 
site) and having as its permanent effect the channelization, damming, 
diversion, or dredging of such watercourse or construction or enlarge-
ment of any canal (other than a canal or raceway designated for 
maintenance as an historic site). 
(b) No part of any grant made under section 103, 104, or 105 of 
this Act shall be used for the acquisition of any interest in real 
property, 
(c) Nothing in this Act shall be construed to authorize the pay-
ment of maintenance costs in connection with any projects constructed 
(in whole or in part) with Federal financial assistance under this Act. 
(d) Grants made by the Secretary under this Act shall be made 
only for projects for which the applicant gives satisfactory assurances, 
in such manner and form as may be required by the Secretary and in 
accordance with such terms and conditions as the Secretary may 
prescribe, that, if funds are available, on-site labor can begin within 
ninety days of project approval. 
Rules and 
SEC. 107. The Secretary shall, not later than thirty days after date 
regulations. 
of enactment of this Act, prescribe those rules, regulations, and proce-
4/ usi^ o/uo. 
dures (including application forms) necessary to carry out this Act. 
Such rules, regulations, and procedures shall assure that adequate 
consideration is given to the relative needs of various sections of the 
'• 
country. The Secretary shall consider among other factors (1) the 
severity and duration of unemployment in proposed project areas, 
(2) the income levels and extent of underemployment in proposed 
project area, and (3) the extent to which proposed projects will con-
tribute to the reduction of unemployment. The Secretary shall make 
a final determination with respect to each application for a grant 
submitted to him under this Act not later than the sixtieth day after 
the date he receives such application. Failure to make such final deter-
mination within such period shall be deemed to be an approval by the 
Secretary of the grant requested. For purposes of this section, in 
considering the extent of unemployment or underemployment, the 
Secretary shall consider the amount of unemployment or under-
employment in the construction and construction-related industries. 
42 use 6707. 
SEC. 108. (a) Not less than one-half of 1 per centum or more than 
121/^ per centum of all amounts appropriated to carry out this title 
shall be granted under this Act for local public works projects within 
any one State, except that in the case of Guam, Virgin Islands, and 
American Samoa, not less than one-half of 1 per centum in the 
PUBLIC LAW 94-369—JULY 22, 1976 
90 STAT. 1001 
aggregate shall be granted for such projects in all three of these 
jurisdictions. 
(b) In making grants under this Act, the Secretary shall give 
priority and preference to public works projects of local governments. 
(c) In making grants under this Act, if for the three most recent 
consecutive months, the national unemployment rate is equal to or 
exceeds 6i/^ per centum, the Secretary shall (1) expedite and give 
priority to applications submitted by States or local governments 
having unemployment rates for the three most recent consecutive 
' * 
months in excess of the national unemployment rate and (2) shall give 
priority thereafter to applications submitted by States or local gov-
ernments having unemployment rates for the three most recent con-
secutive months in excess of 614 per centum, but less than the national 
unemployment rate. Information regarding unemployment rates may 
be furnished either by the Federal Government, or by States or local 
governments, provided the Secretary determines that the unemploy-
ment rates furnished by States or local governments are accurate, and 
shall provide assistance to States or local governments in the calcula-
tion of such rates to insure validity and standardization. 
(d) Seventy per centum of all amounts appropriated to carry out 
- • . 
this Act shall be granted for public works projects submitted by State 
or local governments given priority under clause (1) of the first sen-
tence of subsection (c) of this section. The remaining 30 per centum 
shall be available for public works projects submitted by State or 
local governments in other classifications of priority. 
(e) The unemployment rate of a local government shall, for the 
purposes of this Act, and upon request of the applicant, be based upon 
the unemployment rate of any community or neighborhood (defined 
without regard to political or other subdivisions or boundaries) within 
the jurisdiction of such local government, except that any grant made 
to a local government based upon the unemployment rate of a commu-
nity or neighborhood within its jurisdiction must be for a project of 
direct benefit to, or provide employment for, unemployed persons 
who are residents of that community or neighborhood. 
(f) In determining the unemployment rate of a local government 
for the purposes of this section, unemployment in those adjoining areas 
from which the labor force for such project may be drawn, shall, upon 
request of the applicant, be taken into consideration. 
(g) States and local governments making application under this 
Act should (1) relate their specific requests to existing approved plans 
and programs of a local community development or regional develop-
ment nature so as to avoid harmful or costly inconsistencies or con-
tradictions; and (2) where feasible, make requests which, although 
capable of early initiation, will promote or advance longer range plans 
and programs. 
SEC. 109. All laborers and mechanics employed by contractors or 
Labor standards, 
subcontractors on projects assisted by the Secretary under this Act 
^.2 USC 6708. 
shall be paid wages at rates not less than those prevailing on similar 
construction in the locality as determined by the Secretary of Labor 
in accordance with the Davis-Bacon Act, as amended (40 IJ.S.C. 
276a—276a-5). The Secretary shall not extend any financial assistance 
under this Act for such project without first obtaining adequate assur-
ance that these labor standards will be maintained upon the construc-
tion work. The Secretary of Labor shall have, with respect to the 
labor standards specified in this provision, the authority and func-
tions set forth in Eeorganization Plan Numbered 14 of 1950 (15 F.K. 
90 STAT. 1002 
PUBLIC LAW 94-369—JULY 22, 1976 
5 u s e app. I. 
Nondiscrim-
ination. 
42 use 6709. 
42 use 2000d. 
Appropriation 
authorization. 
42 use 6710. 
3176; 64 Stat. 1267; 5 U.S.(1 133z-15), and section 2 of the Act of 
June 13, 1964, as amended (40 U.S.C. 276c). 
SEC. 110. No person shall on the ground of sex be excluded from 
participation in, be denied the benefits of, or be subjected to discrim-
ination under any project receiving Federal grant assistance under 
this Act, including any supplemental grant made under this Act. 
This provision will be enforced through agency provisions and rules 
similar to those already established, with respect to racial and other 
discrimination under title VI of the Civil Rights Act of 1964. However, 
this remedy is not exclusive and will not prejudice or cut off any other 
legal remedies available to a discriminatee. 
SEC. 111. There is authorized to be appropriated not to exceed 
$2,000,000,000 for the period ending September 30, 1977, to carry out 
this Act. 
TITLE II—ANTIRECESSION PROVISIONS 
FINDINGS OF FACT AND DECLARATION OF POLICY 
42 use 6721. 
SEC. 201. FINDINGS.—The Congress finds— 
(1) that State and local governments represent a significant 
segment of the national economy whose economic health is essen-
tial to national economic prosperity; 
(2) that present national economic problems have imposed 
considerable hardships on State and local government budgets; 
(3) that those governments, because of their own fiscal diiffi-
culties, are being forced to take budget-related actions which 
tend to undermine Federal Government efforts to stimulate the 
economy; 
(4) that efforts to stimulate the economy through reductions 
in Federal Government tax obligations are weakened when State 
and local governments are forced to increase taxes; 
(5) that the net effect of Federal Government efforts to reduce 
unemployment through public service jobs is substantially lim-
ited if State and local governments use federally financed public 
service employees to replace regular employees that they have been 
forced to lay off; 
(6) that efforts to stimulate the construction industry and 
reduce unemployment are substantially undermined when State 
and local governments are forced to cancel or delay the con-
struction of essential capital projects; and 
(7) that efforts by the Federal Government to stimulate the eco-
nomic recovery will be substantially enhanced by a program of 
emergency Federal Government assistance to State and local gov-
ernments to help prevent those governments from taking budget-
related actions which undermine the Federal Government efforts 
to stimulate economic recovery. 
FINANCIAL A S S I S T A N C E AUTHORIZED 
42 use 6722. 
SEC. 202. (a) PAYMENTS TO STATE AND LOCAL GOVERNMENTS.—The 
Secretary of the Treasury (hereafter in this title referred to as the 
"Secretary") shall, in accordance with the provisions of this title, 
make payments to States and to local governments to coordinate 
budget-related actions by such governments with Federal Government 
efforts to stimulate economic recovery. 
• .^v • * ..« » 
. • - -
PUBLIC LAW 94-369—JULY 22, 1976 
90 STAT. 1003 
(b) AUTHORIZATION OF APPROPRIATIONS.—Subject to the provisions 
of subsections (c) and (d), there are authorized to be appropriated for 
each of the five succeeding calendar quarters (beginning with the 
calendar quarter which begins on July 1, 1976) for the purpose of 
payments under this title— 
(1) $125,000,000 plus 
(2) $62,500,000 multiplied by the number of one-half per- 
f*.:.: ^^r.^ i 
centage points by which the rate of seasonally adjusted national 
unemployment for the most recent calendar quarter which ended 
three months before the beginning of such calendar quarter 
exceeded 6 percent. 
(c) AGGREGATE AUTHORIZATION.—In no case shall the aggregate 
amount authorized to be appropriated under the provisions of sub-
section (b) for the five calendar quarters beginning with the calendar 
quarter which begins July 1, 1976, exceed $1,250,000,000. 
(d) TERMINATION.—No amount is authorized to be appropriated 
under the provisions of subsection (b) for any calendar quarter if— 
(1) the average rate of national unemployment during the most 
recent calendar quarter which ended three months before the 
beginning of such calendar quarter did not exceed 6 percent, and 
(2) the rate of national unemployment for the last month of 
the most recent calendar quarter which ended three months 
before the beginning of such calendar quarter did not exceed 
6 percent. 
' 
ALLOCATION 
SEC. 203. (a) RESERVATIONS.— 
42 USC 6723. 
(1) ELIGIBLE STATES.—The Secretary shall reserve one-third 
of the amounts appropriated pursuant to authorization under 
section 202 for each calendar quarter for the purpose of making 
payments to eligible State governments under subsection (b). 
(2) 
ELIGIBLE UNITS OF LOCAL GOVERNMENT.—The Secretary 
shall reserve two-thirds of such amounts for the purpose of mak-
ing payments to eligible units of local government under subsec-
tion (c). 
(b) STATE ALLOCATION.— 
(1) I N GENERAL.—The Secretary shall allocate from amounts 
reserved under subsection (a) (1) an amount for the purpose of 
making payments to each State equal to the total amount reserved 
under subsection (a) (1) for the calendar quarter multiplied by 
the applicable State percentage. 
(2) APPLICABLE STATE PERCENTAGE.—For purposes of this sub-
section, the applicable State percentage is equal to the quotient 
resulting from the division of the product of— 
(A) the State excess unemployment percentage, multi-
plied by 
(B) the State revenue sharing amount by the sum of such 
" 
products for all the States. 
(3) DEFINITIONS.—For the purposes of this section— 
(A) the term "State" means each State of the United 
States; 
(B) the State excess unemployment percentage is equal 
to the difference resulting from the subtraction of 4.5 per-
centage points from the State unemployment rate for that 
State but shall not be less than zero; 
90 STAT. 1004 
PUBLIC LAW 94-369—JULY 22, 1976 
(C) the State unemployment rate is equal to the rate of 
unemployment in the State during the appropriate calendar 
quarter, as determined by the Secretary of Labor and 
reported to the Secretary; and 
(D) the State revenue sharing amount is the amount deter-
mined under section 107 of the State and Local Fiscal Assist-
31 use 1226. 
ance Act of 1972 for the one-year period beginning on July 1, 
1975. 
(c) LOCAL GOVERNMENT ALLOCATION.— 
(1) I N GENERAL.—The Secretary shall allocate from amounts 
reserved under subsection (a) (2) an amount for the purpose of 
making payments to each local government, subject to the provi-
sions of paragraphs (3) and (5), equal to the total amount 
reserved under such subsection for calendar quarter multiplied 
by the local government percentage. 
' 
(2) LOCAL GOVERNMENT PERCENT 
AGE.—For purposes of this sub-
section, the local government percentage is equal to the quotient 
resulting from the division of the product of— 
(A) the local excess unemployment percentage, multiplied 
by 
(B) the local revenue sharing amount, by the sum of such 
products for all local governments. 
(3) SPECIAL RULE.— 
(A) For purposes of paragraphs (1) and (2), all local 
governments within the jurisdiction of a State other than 
identifiable local governments shall be treated as though they 
cSM J ? ? 
were one local government. 
(B) The Secretary shall set aside from the amount allo-
cated under paragraph (1) of this subsection for all local 
government within the jurisdiction of a State which are 
treated as though they are one local government under sub-
paragraph (A) an amount determined under subparagraph 
(C) for the purpose of making payments to each local gov-
ernment, other than identifiable local governments within 
the jurisdiction of such State. 
(C) The amount set aside for the purpose of making pay-
ments to each local government, other than an identifiable 
local government, with the jurisdiction of a State under sub-
paragraph (B) shall be— 
(i) equal to the total amount allocated under para-
graph (1) of this subsection for all local governments 
within the jurisdiction of such State which are treated 
as though they are one local government under subpara-
graph (A) multiplied by the local government percent-
age as defined in paragraph (2) (determined without 
r 
regard to the parenthetical phrases at the end of para-
r-K 
graphs (4) (B) and (C) of this subsection), unless 
(ii) such State submits, within thirty days, after the 
effective date of this title, an allocation plan which has 
been approved by the State legislature and which meets 
the requirements set forth in section 206(a), and is 
approved by the Secretary under the provisions of sec-
tion 206(b). In the event that a State legislature is not 
scheduled to meet in regular session within three months 
after the effective date of this title, the Governor of such 
State shall be authorized to submit an alternative plan 
PUBLIC LAW 94-369—JULY 22, 1976 
90 STAT. 1005 
which meets the requirements set forth in section 206(a), 
and is approved by the Secretary under the provisions 
of section 206(b). 
. 
. 
, 
(D) If local unemployment rate data (as defined in 
paragraph (4) (B) of this subsection without regard to the 
parenthetical phrase at the end of such definition) for a local 
government jurisdiction is unavailable to the Secretary for 
purposes of determining the amount to be set aside for such 
government under subparagraph (C) then the Secretary 
shall determine such amount under subparagraph (C) by 
using the local unemployment rate determined under the 
parenthetical phrase of subsection (4) (B) for all local 
governments in such State treated as one jurisdiction under 
paragraph (A) of this subsection unless better unemploy-
ment rate data, certified by the Secretary of Labor, is 
available. 
(4) DEriNiTiONS.—For purposes of this subsection— 
* '• • 
(A) the local excess unemployment percentage is equal 
to the difference resulting from the subtraction of 4.5 per-
centage points from the local unemployment rate, but shall 
not be less than zero; 
(B) the local unemployment rate is equal to the rate of 
unemployment in the jurisdiction of the local government 
during the appropriate calendar quarter, as determined by 
the Secretary of Labor and reported to the Secretary (in the 
case of local governments treated as one local government 
under paragraph (3) (A), the local unemployment rate shall 
be the unemployment rate of the State adjusted by excluding 
consideration of unemployment and of the labor force within 
identifiable local governments, other than county govern-
ments, within the jurisdiction of that State); 
(C) the local revenue sharing amount is the amount deter-
mined under section 108 of the State and Local Fiscal Assist-
ance Act of 1972 for the one-year period beginning on July 1, 31 USC 1227. 
1975 (and in the case of local governments treated as one 
local government under paragraph (3) (A), the local revenue 
sharing amount shall be the sum of the local revenue sharing 
amounts of all eligible local governments within the State, 
adjusted by excluding an amount equal to the sum of the 
local revenue sharing amounts of identifiable local govern-
ments within the jurisdiction of that State); 
(D) the term "identifiable local government" means a unit 
of general local government for which the Secretary of Labor 
has made a determination concerning the rate of unemploy-
ment for purposes of title I I or title VI of the Comprehensive 
Employment and Training Act of 1973 during the current or 29 USC 841, 
preceding fiscal year; and 
961. 
(E) the term "local government" means the government 
of a county, municipality, township, or other unit of govern-
ment below the State which— 
(i) is a unit of general government (determined on 
the basis of the same principles as are used by the Social 
., "l •" 
and Economic Statistics Administration for general 
statistical purposes), and 
(ii) performs substantial governmental 
functions. 
Such term includes the District of Columbia and also 
90 STAT. 1006 
PUBLIC LAW 94-369—JULY 22, 1976 
U 
includes the recognized governing body of an Indian 
tribe of Alaskan Native village which performs substan-
tial governmental functions. Such term does not include 
the government of a township area unless such govern-
ment performs substantial governmental functions. 
For the purpose of paragraph (4) (D), the Secretary of Labor 
shall, notwithstanding any other provision of law, continue 
to make determinations with respect to the rate of unem-
29 use 961. 
ployment for the purposes of such title VI. 
(5) SPECIAL LIMITATION.—If the amount which would be allo-
cated to any unit of local government under this subsection is 
less than $100, then no amount shall be allocated for such unit of 
local government under this subsection. 
USES o r 
PAYMENTS 
42 use 6724. 
SEC. 204. Each State and local government shall use payments made 
under this title for the maintenance of basic services customarily pro-
vided to persons in that State or in the area under the jurisdiction of 
that local government, as the case may be. State and local governments 
may not use emergency support grants made under this title for the 
acquisition of supplies and materials and for construction unless such 
supplies and materials or construction are to maintain basic services. 
STATEMENT OF ASSURANCES 
Rules. 
SEC. 205. Each State and unit of local government may receive pay-
42 use 6725. 
ments under this title only upon filing with the Secretary, at such 
time and in such manner as the Secretary prescribes by rule, a state-
ment of assurances. Such rules shall be prescribed by the Secretary 
not later than ninety days after the effective date of this title. The 
Secretary may not require any State or local government to file more 
than one such statement during each fiscal year. Each such statement 
:-,;c;| r 
shall contain— 
(1) an assurance that payments made under this title to the 
State or local government will be used for the maintenance, to the 
^ 
extent practical, of levels of public employment and of basic serv-
ices customarily provided to persons in that State or in the area 
under the jurisdiction of that unit of local government which is 
consistent with the provisions of section 204 ; 
(2) an assurance that the State or unit of local government 
will— 
(A) use fiscal, accounting, and audit procedures which 
conform to guidelines established therefor by the Secretary 
(after consultation with the Comptroller General of the 
,- 
United States), and 
(B) provide to the Secretary (and to the Comptroller Gen-
eral of the United States), on reasonable notice, access to, 
and the right to examine, such books, documents, papers, or 
records as the Secretary may reasonably require for purposes 
of reviewing compliance with this title; 
Reports, 
(3) an assurance that reasonable reports will be furnished to 
publication. 
the Secretary in such form and containing such information as 
the Secretary may reasonably require to carry out the purposes 
of this title and that such report shall be published in a news-
paper of general circulation in the jurisdiction of such govern-
ment unless the cost of such publication is excessive in relation 
to the amount of the payments received by such government under 
PUBLIC LAW 94-369—JULY 22, 1976 
90 STAT. 1007 
this title or other means of publicizing such report is more appro-
priate, in which case such report shall be publicized pursuant to 
rules prescribed by the Secretary; 
(4) an assurance that the requirements of section 207 will be 
complied with; 
(5) an assurance that the requirements of section 208 will be 
complied with; 
(6) an assurance that the requirements of section 209 will be 
complied with; 
(7) an assurance that the State or unit of local government will 
spend any payment it receives under this title before the end of 
the six-calendar-month period which begins on the day after the 
date on which such State or local government receives such pay-
ment; and 
(8) an assurance that the State or unit of local government will 
spend amounts received under this title only in accordance with 
the laws and procedures applicable to the expenditure of its own 
revenues. 
OPTIONAL ALLOCATION PLANS 
SEC. 
206. 
(a) 
STATE ALLOCATION PLANS FOR PURPOSES OF SECTION Rules. 
203 (c) (3) .—A State may file an allocation plan with the Secretary for 
42 USC 6726. 
purposes of section 203(c) (3) (C) (ii) at such time, in such manner, 
and containing such information as the Secretary may require by 
rule. Such rules shall be provided by the Secretary not later than sixty 
days of the effective date of this title. Such allocation plan shall meet 
the following requirements: 
(1) the criteria for allocation of amounts among the local gov-
ernments within the State shall be consistent with the allocation 
formula for local governments under section 203(c) (2); 
(2) the plan shall use— 
(A) the best available unemployment rate data for such 
government if such data is determined in a manner which 
is substantially consistent with the manner in which local 
unemployment rate data is determined, or 
(B) if no consistent unemployment rate data is available, 
the local imemployment rate data for the smallest unit of 
identifiable local government in the jurisdiction of which 
' ' 
* 
such government is located, 
(3) the allocation criteria must be specified in the plan, and 
(4) the plan must be developed after consultation with appro-
priate officials of local governments within the State other than 
identifiable local governments. 
(b) APPROVAL,—The Secretary shall approve any allocation plan 
that meets the requirements of subsection (a) Avithin thirty days after 
^ 
^' 
he receives such allocation plan, and shall not finally disapprove, in 
whole or in part, any allocation plan for payments under this title 
without first affording the State or local governments involved reason-
able notice and an opportunity for a hearing. 
NONDISCRIMINATION 
SEC. 207. (a) I N GENERAL.—NO person in the United States shall, 42 USC 6727. 
on the grounds of race, religion, color, national origin, or sex, be 
excluded from participation in, be denied the benefits of, or be sub-
jected to discrimination under any program or activity funded in 
whole or in part with funds made available under this title. 
, 
-194 O—78—pt. 1 
67 
90 STAT. 1008 
PUBLIC LAW 94-369—JULY 22, 1976 
(b) AUTHORITY OF THE SECRETARY.—Whenever the Secretary deter-
mines that a State government or unit of local government has failed 
to comply with subsection (a) or an applicable regulation, he shall, 
within ten days, notify the Governor of the State (or, in the case of 
a unit of local government the Governor of the State in which such 
unit is located, and the chief elected official of the unit) of the non-
compliance. If within thirty days of the notification compliance is not 
achieved, the Secretary shall within ten days thereafter— 
(1) exercise all the powers and functions provided by title VI 
42 use 2000d. 
of the Civil Eights Act of 1964 (42 IJ.S.C. 2000e); 
(2) refer the matter to the Attorney General with a recom-
mendation that an appropriate civil action be instituted; 
(3) take such other action as may be provided by law. 
(c) ENFORCEMENT.—Upon his determination of discrimination 
under subsection (b), the Secretary shall have the full authority to 
withhold or temporarily suspend any payment under this title, or 
otherwise exercise any authority contamed in title VI of the Civil 
Rights Act of 1964, to assure compliance with the requirement of 
nondiscrimination in federally assisted programs funded, in whole 
or in part, under this title. 
_ ^^ 
(d) APPLICABILITY OF CERTAIN CIVIL RIGHTS ACTS.— 
' 
(1) Any party who is injured or deprived within the meaning 
of section 1979 of the Revised Statutes (42 U.S.C. 1983) or of 
section 1980 of the Revised Statutes (42 U.S.C. 1985) by any per-
son, or two or more persons in the case of such section 1980, in 
connection with the administration of a payment under this title 
! 
may bring a civil action under such section 1979 or 1980, as appli-
cable, subject to the terms and conditions of those sections. 
(2) Any person who is aggrieved by an unlawful employment 
practice within the meaning of title VII of the Civil Rights Act 
of 1964 (42 U.S.C. 2000e et seq.) by any employer in connection 
with the administration of a payment under this title may bring 
a civil action under section 706(f)(1) of such Act (42 U.S.C. 
2000e-5(f) (1)) subject to the terms and conditions of such title. 
LABOR STANDARDS 
42 use 6728. 
SEC. 208. All laborers and mechanics employed by contractors on all 
construction projects funded in whole or in part by payments under 
this title shall be paid wages at rates not less than those prevailing on 
similar projects in the locality as determined by the Secretary of 
Labor in accordance with the Davis-Bacon Act (40 U.S.C. 276a to 
276a-5). The Secretary of Labor shall have, with respect to the labor 
standards specified in this section, the authority and functions set 
5 use app. I. 
forth in Reorganization Plan Numbered 14 of 1950 (15 C.F.R. 3176) 
and section 2 of the Act of June 13, 1934, as amended (40 U.S.C. 
276c). 
SPECIAL REPORTS 
42 use 6729. 
SEC. 209. Each State and unit of local government which receives a 
payment under the provisions of this title shall report to the Secretary 
any increase or decrease in any tax which it imposes and any sub-
•' "" •" 
stantial reduction in the number of individuals it employs or in serv-
ices which such State or local government provides. Each State which 
receives a payment under the provisions of this title shall report to 
the Secretary any decrease in the amount of financial assistance which 
the State provides to the units of local governments during the twelve-
PUBLIC LAW 94-369—JULY 22, 1976 
90 STAT. 1009 
month period which ends on the last day of the calendar quarter imme-
diately preceding the date of enactment of this title, together with an 
explanation of the reasons for such decrease. Such reports shall be 
made as soon as it is practical and, in any case, not more than six 
months after the date on which the decision to impose such tax increase 
or decrease, such reductions in employment or services, or such 
decrease in State financial assistance is made public. 
PAYMENTS 
SEC. 210. (a) IN GENERAL.—From the amount allocated for State 42 USC 6730. 
and local governments under section 203, the Secretary shall pay not 
later than five days after the beginning of each quarter to each State 
and to each local government which has filed a statement of assurances 
under section 205, an amount equal to the amount allocated to such 
State or local government under section 203. 
(b) ADJUSTMENTS.—Payments under this title may be made with 
necessary adjustments on account of overpayments or underpayments. 
(c) TERMINATION.—No amount shall be paid to any State or local 
government under the provisions of this section for any calendar 
quarter if— 
(1) the average rate of unemployment within the jurisdiction 
of such State or local government during the most recent calendar 
quarter which ended three months before the beginning of such 
calendar quarter was less than 4.5 percent, and 
(2) the rate of unemployment within the jurisdiction of such 
government for the last month of the most recent calendar quarter 
which ended three months before the beginning of such calendar 
quarter did not exceed 4.5 percent. 
STATE AND LOCAL GOVERNMENT ECONOMIZATION 
SEC. 211. Each State or unit of local government which receives 42 USC 6731. 
payments under this title shall provide assurances in writing to the 
Secretary, at such time and in such manner and form as the Secretary 
may prescribe by rule, that it has made substantial economies in its 
operations and that payments under this title are necessary to main-
tain essential services without weakening Federal Government 
efforts to stimulate the economy through reductions in Federal tax 
obligations. 
WITHHOLDING 
SEC. 212. Whenever the Secretary, after affording reasonable notice Notice and 
and an opportunity for a hearing to any State or unit of local govern- hearing, 
ment, finds that there has been a failure to comply substantially with ^^ ^^^ ^^^2-
any assurance set forth in the statement of assurances of that State 
or units of local government filed under section 205, the Secretary 
shall notify that State or unit of local government that further pay-
ments will not be made under this title until he is satisfied that there 
is no longer any such failure to comply. Until he is so satisfied, no 
further payments shall be made under this title. 
REPORTS 
SEC. 213. The Secretary shall report to the Congress as soon as is 42 USC 6733. 
practical after the end of each calendar quarter during which pay-
ments are made under the provisions of this title. Sucli report shall 
include information on the amounts paid to each State and units of 
90 STAT. 1010 
PUBLIC LAW 94-369—JULY 22, 1976 
local government and a description of any action which the Secretary 
has taken under the provisions of section 212 during the previous 
calendar quarter. The Secretary shall report to Congress as soon as is 
practical after the end of each calendar year during which payments 
are made under the provisions of this title. Such reports shall include 
detailed information on the amounts paid to State and units of local 
government under the provisions of this title, any actions with which 
the Secretary has taken under the provisions of section 212. and an 
evaluation of the purposes to which amounts paid under this title 
were put by State and units of local government and economic impact 
' 
' ' ' of such expenditures during the previous calendar year. 
ADMINISTRATION 
42 use 6734. 
SEC. 214. (a) RULES.—The Secretary is authorized to prescribe, after 
consultation with the Secretary of Labor, such rules as may be neces-
sary for the purpose of carrying out his functions under this title. 
Such T'ules should be prescribed by the Secretary not later than ninety 
days of the effective date of this title. 
(b) AUTHORIZATION OF APPROPRIATIONS.—There are authorized to 
be appropriated such sums as may be necessary for the administration 
of this title. 
PROGRAM S T U D I E S AND 
RECOMMENDATIONS 
42 use 6735. 
SEC. 215. (a) EVALUATION.—The Comptroller General of the United 
States shall conduct an investigation of the impact which emergency 
support grants have on the operations of State and local governments 
and on the national economy. Before and during the course of such 
investigation the Comptroller General shall consult with and coordi-
nate his activities with the Congressional Budget Office and the Advi-
Report to 
sory Commission on Intergovernmental Relations. The Comptroller 
Congress. 
General shall report the results of such investigation to the Congress 
within one year after the date of enactment of this title together with 
an evaluation of the macroeconomic effect of the program established 
under this title and any recommendations for improving the effective-
ness of similar programs. All officers and employees of the United 
States shall make available all information, reports, data, and any 
other material necessary to carry out the provisions of this subsection 
to the Comptroller General upon a reasonable request. 
(b) COUNTERCYCLICAL STUDY.—^The Congressional Budget Office 
and the Advisory Commission on Intergovernmental Relations shall 
' ' 
conduct a study to determine the most effective means by which the 
Federal Government can stabilize the national economy during periods 
of rapid economic growth and high inflation through programs 
directed toward State and local governments. Such study shall include 
a comparison of the effectiveness of alternative factors for triggering 
and measuring the extent of the fiscal coordination problem addressed 
by this program, and the effect of the recession on State and local 
expenditures. Before and during the course of such study, the Con-
gressional Budget Office and the Advisory Commission shall consult 
with and coordinate their activities with the Comptroller General of 
Report to 
the United States. The Congressional Budget Office and the Advisory 
Congress. 
Commission shall report the results of such study to Congress within 
two years after the date of enactment of this title. Such study shall 
include the opinions of the Comptroller General Avith respect to such 
study. 
PUBLIC LAW 94-369—JULY 22, 1976 
90 STAT. 1011 
TITLE III—FEDERAL WATER POLLUTION 
CONTROL ACT AMENDMENTS 
SEC. 301. There is authorized to be appropriated to carry out title II Appropriation 
of the Federal Water Pollution Control Act, other than sections 206, authorization. 
208, and 209, for the fiscal year ending September 30, 1977, not to 33 USC 1287 
exceed $700,000,000 which sum (subject to such amounts as are pro- 33*ug(;; ^281 
vided in appropriation Acts) shall be allotted to each State listed in 
column 1 of table IV contained in House Public Works and Trans-
portation Committee Print numbered 94-25 in accordance with the 
percentages provided for such State (if any) in column 5 of such 
table. The sum authorized by this section shall be in addition to, and 
not in lieu of, any funds otherwise authorized to carry out such title 
during such fiscal year. Any sums allotted to a State under this section 
shall be available until expended. 
CARL ALBERT 
Speaker of the House of Representatives. 
JOHN CULVER 
Acting President of the Senate pro tempore. 
IN THE SENATE OF THE UNITED STATES, 
July 21, 1976. 
The Senate having proceeded to reconsider the bill (S. 3201) entitled 
"An Act to authorize a local public works capital development and 
investment program, to establish an antirecessionary program, and for 
other purposes", returned by the President of the United States with his 
objections, to the Senate, in which it originated, it was 
Resolved, That the said bill pass, two-thirds of the Senators present 
having voted in the affirmative. 
Attest: 
FRANCIS R. VALEO 
Secretary. 
I certify that this Act originated in the Senate. 
FRANCIS R. VALEO 
Secretary. 
IN THE HOUSE OF REPRESENTATIVES, U.S., 
July 22, 1976. 
The House of Representatives having proceeded to reconsider the bill 
(S. 3201) entitled "An Act to authorize a local public works capital 
development and investment program, to establish an antirecessionary 
program, and for other purposes", returned by the President of the 
United States with his objections, to the Senate, in which it originated, 
and passed by the Senate on reconsideration of the same, it was 
90 STAT. 1012 
PUBLIC LAW 94-369—JULY 22, 1976 
Resolved, That the said bill pass, two-thirds of the House of Repre-
sentatives agreeing to pass the same. 
Attest: 
' 
EDMUND L. HENSHAW, JR. 
Clerk. 
LEGISLATIVE HISTORY; 
HOUSE REPORTS: No. 94-1077 accompanying H.R. 12972 (Coram, on Public Works 
and Transportation) and No. 94-1260 (Coram, of Conference). 
SENATE REPORTS: No. 94-710 (Corara. on Public Works) and No. 94-939 (Comra. of 
Conference). 
CONGRESSIONAL RECORD, Vol. 122 (1976): 
Apr. 12, 13, considered and passed Senate. 
May 13, considered and passed House, amended, in lieu of H.R. 12972. 
June 16, Senate agreed to conference report. 
June 23, House agreed to conference report. 
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 12, No. 28: 
July 6, vetoed; Presidential message. 
CONGRESSIONAL RECORD, Vol. 122 (1976): 
July 21, Senate overrode veto. 
July 22, House overrode veto. 
' ' '' *