Text: H.R.948 — 101st Congress (1989-1990)All Information (Except Text)

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B37 2/9/89 [Update]
HR 948 IH
101st CONGRESS
1st Session
 H. R. 948
To establish a corporation to administer a program of voluntary national
service, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
February 9, 1989
Mrs. KENNELLY introduced the following bill; which was referred jointly to
the Committees on Education and Labor, Armed Services, and Veterans' Affairs
A BILL
To establish a corporation to administer a program of voluntary national
service, and for other purposes.
  Be it enacted by the Senate and House of Representatives of the United
  States of America in Congress assembled,
SECTION 1. SHORT TITLE.
  This Act may be cited as the `National Voluntary Service and Educational
  Opportunity Act of 1989'.
SEC. 2. TABLE OF CONTENTS.
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Purposes.
Sec. 4. Definitions.
TITLE I--ESTABLISHMENT OF THE CITIZENS CORPS
Sec. 101. Establishment of the Citizens Corps.
Sec. 102. Eligibility.
Sec. 103. Terms of service.
Sec. 104. Types of national service.
Sec. 105. Application for national service.
TITLE II--ADMINISTRATION OF THE CITIZENS CORPS
Subtitle A--Administration of the Civilian Service and Senior Service
Sec. 201. Administration of the Civilian Service and Senior Service.
Sec. 202. Establishment of Corporation; application of District of Columbia
Nonprofit Corporation Act.
Sec. 203. Board of Directors.
Sec. 204. Officers and employees.
Sec. 205. Nonprofit and nonpolitical nature of the Corporation.
Sec. 206. Duties of the Corporation.
Sec. 207. Eligibility for general grants.
Sec. 208. Allocation of funds.
Sec. 209. Reports.
Subtitle B--Provision of National Service Positions for Members of the
Civilian Service and Senior Service
Sec. 221. Establishment of volunteer service areas.
Sec. 222. Establishment of national service councils.
Sec. 223. Duties of national service councils.
Sec. 224. Volunteer recruitment and placement plan.
Sec. 225. Review and approval of plan.
Sec. 226. Service sponsors.
Subtitle C--Administration of the Citizens Corps with regard to Service in
the Armed Forces
Sec. 241. Administration of the Citizens Corps with regard to service in
the Armed Forces.
Sec. 242. Reports.
TITLE III--BENEFITS FOR PARTICIPATING IN THE CITIZENS CORPS
Sec. 301. Stipend and support services for members of the Civilian Service
and Senior Service.
Sec. 302. Compensation for members of the Citizens Corps serving in the
Armed Forces.
Sec. 303. Educational and housing benefits for members of the Civilian
Service of the Citizens Corps.
Sec. 304. Educational and housing benefits for members of the Citizens Corps
serving in the Armed Forces.
Sec. 305. Provision of educational benefits.
Sec. 306. Provision of housing benefits.
Sec. 307. Time limitation on the use of assistance.
Sec. 308. Reports.
TITLE IV--MISCELLANEOUS PROVISIONS
Sec. 401. Educational and housing benefits for participants in the Peace
Corps and VISTA.
Sec. 402. Authorization of appropriations.
Sec. 403. Effective date.
SEC. 3. PURPOSES.
  The purposes of this Act are--
  (1) to renew the ethic of civic obligation in the United States and spread
  the responsibilities of citizenship more equitably;
  (2) to expand opportunities for young people in the United States to--
  (A) pursue educational, vocational, and professional objectives after
  secondary school; and
  (B) purchase affordable housing;
  (3) to mobilize young people and senior Americans to deal with pressing
  social problems in the United States, including health, education, literacy,
  child care, hunger, housing, and homelessness;
  (4) to give senior Americans the opportunity to use their special skills
  and experience to--
  (A) provide national service; and
  (B) assist the Corporation for National Service and national service
  councils in administering national service programs;
  (5) to strengthen national defense by--
  (A) encouraging more young people to volunteer for service in the active
  and reserve components of the Armed Forces;
  (B) making the composition of the Armed Forces more representative of the
  country at large; and
  (C) assisting the Armed Forces in meeting their personnel goals; and
  (6) to give young people the experience, self-discipline, and self-confidence
  they need to overcome barriers to opportunity.
SEC. 4. DEFINITIONS.
  For purposes of this Act:
  (1) The term `active duty' has the meaning given to such term in section
  101(22) of title 10, United States Code.
  (2) The term `area' means a volunteer service area.
  (3) The term `Armed Forces' has the meaning given to such term in section
  101(4) of title 10, United States Code.
  (4) The term `Board' means the Board of Directors of the Corporation for
  National Service.
  (5) The term `community service' means service of the type described in
  section 104(a) and such other services essential and necessary to the
  community as the Corporation, by rule, may prescribe.
  (6) The term `Corporation' means the Corporation for National Service.
  (7) The term `council' means a national service council.
  (8) The term `educational institution' means a vocational school (including
  a technical school) or institution of higher learning.
  (9) The term `Governor' means the chief executive officer of a State.
  (10) The term `Individual Ready Reserve' means that portion of the Ready
  Reserve not in a Selected Reserve.
  (11) The term `institution of higher learning' has the meaning given to
  such term in section 1652(f) of title 38, United States Code.
  (12) The term `local government' means a general purpose political
  subdivision of a State which has the power to levy taxes and spend funds,
  as well as general corporate and police powers.
  (13) The term `nonprofit organization' means an organization--
  (A) described in section 501(c) of the Internal Revenue Code of 1986
  (26 U.S.C. 501(c)); and
  (B) exempt from taxation under section 501(a) of such Code (26
  U.S.C. 501(a)).
  (14) The term `program of education or training' means any curriculum or any
  combination of unit courses or subjects pursued at an educational institution
  or training establishment which is generally accepted as necessary to
  fulfill requirements for the attainment of a predetermined and identified
  educational, professional, or vocational objective. Such term also means any
  curriculum of unit courses or subject pursued at an educational institution
  or training establishment which fulfills requirements for the attainment
  of more than one predetermined and identified educational, professional,
  or vocational objective if the objectives pursued are generally recognized
  as being reasonably related to a single career field.
  (15) The term `Ready Reserve' means the Ready Reserve described in section
  268(a) of title 10, United States Code.
  (16) The term `reserve component' has the meaning given to such term in
  101(24) of title 37, United States Code.
  (17) The term `Secretary concerned' has the meaning given to such term in
  section 101(8) of title 10, United States Code.
  (18) The term `senior' means an individual who is age 65 or over and
  willing to work full- or part-time in national service.
  (19) The term `Selected Reserve' means the Selected Reserve described in
  section 268(b) of title 10, United States Code.
  (20) The term `State' means any of the several States, the District
  of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the
  Northern Mariana Islands, the Federated States of Micronesia, the Republic
  of Marshall Islands, or any territory and possession of the United States.
  (21) The term `training establishment' has the meaning given to such term
  in section 1652(e) of title 38, United States Code.
  (22) The term `vocational school' has the meaning given to such term in
  section 435(c) of the Higher Education Act of 1965 (20 U.S.C. 1085(c)).
TITLE I--ESTABLISHMENT OF THE CITIZENS CORPS
SEC. 101. ESTABLISHMENT OF THE CITIZENS CORPS.
  There is established the Citizens Corps which shall provide the following
  national service options:
  (1) Civilian Service.
  (2) Service in the Armed Forces.
  (3) Senior Service.
SEC. 102. ELIGIBILITY.
  (a) CIVILIAN SERVICE- An individual may serve in the Civilian Service of
  the Citizens Corps if such individual--
  (1) is age 17 or over;
  (2) has received a high school diploma or its equivalent; and
  (3) is a citizen of the United States or lawfully admitted for permanent
  residence.
  (b) SERVICE IN THE ARMED FORCES- Subject to the then existing personnel
  requirements of the Armed Forces, an individual shall be eligible to
  enlist for service in the Armed Forces as a member of the Citizens Corps
  if such individual--
  (1) has received a high school diploma or its equivalent;
  (2) satisfies the applicable requirements for enlistment in the Armed
  Forces specified in chapter 31 of title 10, United States Code; and
  (3) satisfies such other eligibility criteria established by the Secretary
  of Defense by rule.
  (c) SENIOR SERVICE- An individual may serve in the Senior Service of the
  Citizens Corps if such individual--
  (1) is a senior; and
  (2) meets the eligibility criteria for service in the Senior Service
  established by the Corporation for National Service.
SEC. 103. TERMS OF SERVICE.
  (a) CIVILIAN SERVICE- (1) An individual serving in the Civilian Service
  of the Citizens Corps shall agree to perform full-time national service
  in such service for a 1-year term.
  (2) A member of the Civilian Service of the Citizens Corps serving a 1-year
  term of service may request the extension of such term for an additional
  year. The Corporation shall issue rules specifying the procedure for making,
  and considering, such a request.
  (b) SERVICE IN THE ARMED FORCES- An individual enlisting for service in
  the Armed Forces as a member of the Citizens Corps shall select one of
  the following service obligations in the Armed Forces:
  (1) Two years of active duty in the Armed Forces, 2 years in the Selected
  Reserve of a reserve component, and 4 years in the Individual Ready Reserve.
  (2) Eight years in the Selected Reserve of a reserve component.
  (c) SENIOR SERVICE- An Individual may serve in the Senior Service of the
  Citizens Corps--
  (1) for such period of time as allowed by the Corporation for National
  Service; and
  (2) for either full- or part-time service.
SEC. 104. TYPES OF NATIONAL SERVICE.
  (a) CIVILIAN SERVICE AND SENIOR SERVICE- An individual serving in the
  Civilian Service or Senior Service of the Citizens Corps may perform national
  service to meet the unmet service needs of a State, local government or other
  community. Such national service may include the following types of service:
  (1) Educational service, such as literacy and numeracy programs, Head
  Start, tutorial assistance, and service in schools, libraries, and adult
  education centers.
  (2) Human service, such as--
  (A) service in hospitals, hospices, clinics, community health centers,
  homes for the elderly, and child-care centers; and
  (B) service in programs to assist the elderly, poor, and homeless, including
  programs to build, restore, and maintain housing for the poor and homeless.
  (3) Conservation service, such as service in programs to conserve,
  maintain, and restore natural resources in the urban and rural environment,
  provide recreational opportunities, and encourage community betterment
  or beautification.
  (4) Public Safety service in support of the criminal justice system,
  including police, courts, prisons, and border patrol.
  (5) Service in existing national programs, such as referral and placement
  in the Peace Corps and VISTA.
  (b) SERVICE IN THE ARMED FORCES- The Secretary of Defense shall designate
  by rule appropriate national service positions for members of the Citizens
  Corps serving in the Armed Forces.
SEC. 105. APPLICATION FOR NATIONAL SERVICE.
  (a) CIVILIAN SERVICE AND SENIOR SERVICE- (1) To serve in the Civilian
  or Senior Service of the Citizens Corps, an individual shall submit an
  application (in such form and containing such information as the Corporation
  shall require by rule) to a national service council established under
  section 222 for a volunteer service area in the State in which the applicant
  is a resident.
  (2) For purposes of paragraph (1), an individual shall be considered a
  resident of a State if such individual has resided in such State for
  the majority of the 1-year period immediately preceding the date of
  such application. The Corporation on an individual basis may waive this
  residency requirement.
  (3) Upon the receipt of an application, the national service council may
  place the applicant in a national service position in the area taking into
  consideration the preference and skills of the applicant and the needs of
  the area.
  (4) If the area does not have a national service position available for
  the applicant, or the council determines (after consultation with the
  applicant) that the applicant is better qualified for a position outside
  of the area, the council may refer the applicant for placement to another
  national service council or a Federal, State, or local government agency
  accepting members of the Citizens Corps.
  (5) For purposes of Federal laws authorizing a Federal agency to accept
  the services of a volunteer, an applicant placed with an agency described
  in paragraph (4) shall be considered a volunteer.
  (b) SERVICE IN THE ARMED FORCES- The Secretary of Defense shall establish
  a system to enlist individuals for service in the Armed Forces as members
  of the Citizens Corps.
TITLE II--ADMINISTRATION OF THE CITIZENS CORPS
Subtitle A--Administration of the Civilian Service and Senior Service
SEC. 201. ADMINISTRATION OF THE CIVILIAN SERVICE AND SENIOR SERVICE.
  The Corporation for National Service shall be responsible for administering
  the Civilian Service and Senior Service of the Citizens Corps.
SEC. 202. ESTABLISHMENT OF CORPORATION; APPLICATION OF DISTRICT OF COLUMBIA
NONPROFIT CORPORATION ACT.
  (a) ESTABLISHMENT- There is established a nonprofit corporation, to be known
  as the `Corporation for National Service', which shall not be considered
  an agency or establishment of the United States Government.
  (b) APPLICATION OF DISTRICT OF COLUMBIA NONPROFIT CORPORATION ACT- The
  Corporation shall be subject to this Act, and to the extent consistent
  with this Act, to the District of Columbia Nonprofit Corporation Act.
SEC. 203. BOARD OF DIRECTORS.
  (a) APPOINTMENT- (1) The Corporation shall have a Board of Directors,
  consisting of 11 members appointed by the President, by and with the advice
  and consent of the Senate.
  (2) No more than 6 members of the Board appointed by the President may be
  members of the same political party.
  (3) Three of the members shall be appointed from individuals nominated by
  the Speaker of the House of Representatives, and 3 of the members shall
  be appointed from individuals nominated by the majority leader of the Senate.
  (b) QUALIFICATIONS- The members of the Board--
  (1) shall be selected from among citizens of the United States who are
  eminent in such fields as community service, education, civic affairs,
  business, labor, or military service; and
  (2) shall be selected so as to provide as nearly as practicable a broad
  representation of various regions of the United States, various professions
  and occupations, and a variety of talent and experience appropriate for
  the performance of the functions and responsibilities of the Corporation.
  (c) INCORPORATION- The members of the initial Board of Directors shall serve
  as incorporators and shall take whatever actions are necessary to incorporate
  the Corporation under the District of Columbia Nonprofit Corporation Act.
  (d) TERM OF OFFICE- The term of office of each member of the Board shall be
  7 years, except that any member appointed to fill a vacancy occurring prior
  to the expiration of the term for which the predecessor of such member was
  appointed shall be appointed for the remainder of such term. No member of
  the Board shall be eligible to serve more than 2 consecutive terms of 7
  years each.
  (e) VACANCY- A vacancy in the Board shall not affect its power and shall
  be filled in the same manner as the original appointment.
  (f) MEETINGS- A member of the Board shall attend not less than 50 percent
  of all duly convened meetings of the Board in any calendar year. A member
  who fails to meet the requirement of the preceding sentence shall forfeit
  membership, and the President shall appoint a new member to fill such
  vacancy (as provided in subsection (e)) not later than 30 days after such
  vacancy is determined by the Chairman of the Board.
  (g) ELECTION OF CHAIRPERSON AND VICE CHAIRPERSON- Members of the Board
  shall annually elect one of their members to be Chairperson and elect one
  or more of their members as a Vice Chairperson.
  (h) COMPENSATION OF BOARD MEMBERS- (1) A member of the Board shall not,
  by reason of such membership, be considered to be an officer or employee
  of the United States.
  (2) Except as provided in paragraphs (3) and (4), a member of the Board
  shall--
  (A) while attending meetings of the Board or while engaged in duties related
  to such meetings or other activities of the Board, be entitled to receive
  compensation at the rate of $150 per day, including travel time; and
  (B) while away from their homes or regular places of business, be allowed
  travel and actual, reasonable, and necessary expenses.
  (3) No member of the Board shall receive compensation under paragraph (2)
  of more than $10,000 in any fiscal year.
  (4) A member of the Board who is a full-time officer or employee of the
  United States shall receive no additional pay, allowances, or benefits by
  reason of membership.
SEC. 204. OFFICERS AND EMPLOYEES.
  (a) IN GENERAL- (1) The Corporation shall have a President, and such other
  officers and employees as may be named and appointed by the Board for terms
  and at rates of compensation fixed by the Board, except that no officer or
  employee of the Corporation may receive compensation at an annual rate of
  pay that exceeds the rate of basic pay payable from time to time for level I
  of the Executive Schedule under section 5312 of title 5, United States Code.
  (2) Only a citizen of the United States may serve as an officer of the
  Corporation.
  (3) No officer or employee of the Corporation may receive any salary or
  other compensation from any source other than the Corporation for services
  performed for the Corporation.
  (4) All officers and employees shall serve at the pleasure of the Board.
  (b) EMPLOYMENT OF SENIOR SERVICE MEMBERS- In selecting employees, the Board
  is encouraged to include members of the Senior Service of the Citizens Corps.
SEC. 205. NONPROFIT AND NONPOLITICAL NATURE OF THE CORPORATION.
  (a) LIMITATIONS ON POWERS- (1) The Corporation shall have no power to
  issue any shares of stock or to declare or pay any dividends.
  (2) No part of the income or assets of the Corporation shall inure to the
  benefit of any director, officer, employee, or any other individual except
  as salary or reasonable compensation for services.
  (b) NONPOLITICAL NATURE OF CORPORATION- The Corporation may not contribute
  to or otherwise support any political party or candidate for elective
  public office.
SEC. 206. DUTIES OF THE CORPORATION.
  (a) POLICY- The Corporation shall by rule--
  (1) establish the types and amounts of allowances and support authorized
  for members of the Civilian and Senior Services under section 301;
  (2) specify the types of national service activities appropriate for
  members of the Civilian and Senior Services;
  (3) establish a procedure to monitor the provision of financial assistance
  under title III to assure that--
  (A) graduates of the Citizens Corps faithfully completed their terms of
  service before receiving such assistance; and
  (B) members of the Citizens Corps receiving such assistance during their
  terms of service faithfully perform national service;
  (4) establish a procedure for examining the effect that national service
  under this Act has on the availability and terms of employment of employees
  in the volunteer service area where such service is performed; and
  (5) establish the rates of pay, eligibility criteria, and terms of service
  for members of the Senior Service.
  (b) GENERAL GRANTS- Pursuant to the allocation formulas specified in section
  208, the Corporation shall make grants to States to assist such States--
  (1) in paying stipends and wages under section 301;
  (2) in providing and administering national service opportunities in each
  State for members of the Civilian and Senior Services; and
  (3) in making grants to national service councils in each State to carry
  out their duties under this Act.
  (c) SUPPLEMENTAL GRANTS- (1) The Corporation may make grants during a
  fiscal year--
  (A) to a State which the Corporation determines has an unusual increase in
  the number of members of the Civilian and Senior Services (excluding members
  serving with Federal agencies) in such State for such fiscal year; and
  (B) to a Federal agency to assist such agency in accepting or placing
  members of the Civilian and Senior Services for such fiscal year.
  (2) To be eligible for a grant under paragraph (1), a Federal agency or
  State shall submit to the Corporation an application--
  (A) in such form and at such time as the Corporation may require by rule;
  (B) containing, in the case of an application submitted by a State, the
  assurances specified in section 207(a)(4); and
  (C) containing such information as the Corporation may require by rule.
  (d) OTHER DUTIES- The Corporation shall--
  (1) serve as a clearinghouse for information on national service
  opportunities in the United States;
  (2) assist a State in placing applicants outside of such State if the
  State is unable to place the applicant in a position in the State;
  (3) assist Federal agencies in acquiring participants for national service
  positions in the Federal Government;
  (4) receive and investigate claims of abuses in the placement of participants
  or the administration of national service opportunities by a State,
  national service council, or service provider; and
  (5) issue rules for administering and monitoring the performance of national
  service, and the provision of national service opportunities, under this Act.
  (e) RECORDS- The Corporation shall keep accurate and complete records of
  its activities and transactions. Such records shall be made available for
  audit and examination by the Comptroller General of the United States or
  duly authorized representatives of the Comptroller General.
  (f) APPLICATION OF THE ADMINISTRATIVE PROCEDURE ACT- In carrying out its
  duties under this Act, the Corporation shall be subject to subchapter II
  of chapter 5 of title 5, United States Code, and chapter 7 of such title
  in the same manner as an agency under section 551(1) of such title.
SEC. 207. ELIGIBILITY FOR GENERAL GRANTS.
  (a) APPLICATION REQUIRED- To be eligible for a grant under section 206(b),
  a State shall submit to the Corporation an application--
  (1) in such form and at such time as the Corporation may require by rule;
  (2) describing--
  (A) each volunteer service area in such State;
  (B) the method by which members of the Civilian and Senior Services will
  be placed in national service positions in the State;
  (C) the anticipated number of such members during such term as the
  Corporation may require;
  (D) the training and support services that will be provided such members; and
  (E) the method by which service sponsors will be selected and the
  requirements imposed on such sponsors;
  (3) providing copies of all volunteer recruitment and placement plans
  prepared for the State or a portion thereof for the period covered by
  such application;
  (4) containing assurances by such State that for the period covered by
  the application--
  (A) the State will use non-Federal funds to pay not less than 25 percent of
  the cost (including the cost of stipends, wages, and allowances provided
  by the State under section 301) of providing and administering national
  service positions in the State for members of the Civilian and Senior
  Services (other than members placed with Federal agencies); and
  (B) the State will maintain State expenditures for community service programs
  operated by the State on the effective date of this Act at a level equal
  to not less than the average level of such expenditures maintained by the
  State for the 2-fiscal year period immediately preceding the effective
  date of this Act; and
  (5) containing such information as the Corporation may require by rule.
  (b) EXCEPTION TO MATCHING FUNDS REQUIREMENT- A State may offset against
  the matching funds requirement specified in subsection (a)(4)(A) not
  more than 50 per cent of the administrative costs incurred by the State
  in administering community service programs for young people operated by
  the State on the effective date of this Act.
  (c) WAIVER OF REQUIREMENT TO MAINTAIN EXPENDITURES- The Corporation may,
  upon the request of a State, waive the requirement specified in subsection
  (a)(4)(B) that the State maintain expenditures for community service programs
  if the Corporation determines that extraordinary economic conditions in
  the State justify the waiver.
SEC. 208. ALLOCATION OF FUNDS.
  (a) TRANSITIONAL ALLOCATIONS- For each fiscal year during the 5-year period
  beginning on the effective date of this Act, the Corporation shall make
  a grant to an eligible State in an amount that bears the same ratio to the
  sums appropriated for grants under section 206(b) for such fiscal year as the
  anticipated average number of members in the Civilian and Senior Services (as
  determined by the Corporation and excluding anticipated members serving with
  Federal agencies) in such State for such fiscal year bears to the anticipated
  average number of such members in all States for such fiscal year.
  (b) SUBSEQUENT ALLOCATIONS- For each fiscal year beginning after the end
  of the 5-year period referred to in subsection (a), the Corporation shall
  make a grant to an eligible State in an amount that bears the same ratio
  to the sums appropriated for grants under section 206(b) for such fiscal
  year as the average number of members in the Civilian and Senior Services
  (excluding members serving with Federal agencies) in such State for the
  preceding fiscal year bears to the average number of such members in all
  States for the preceding fiscal year.
SEC. 209. REPORTS.
  (a) REQUIRED- On or before May 15 of each calendar year, the Corporation
  shall submit to the President a report on the operation of the Civilian
  Service and the Senior Service of the Citizens Corps and the activities of
  the Corporation during the fiscal year ending September 30 of the preceding
  calendar year, and the President shall transmit such report to the Congress.
  (b) CONTENT OF REPORT- (1) Each report shall include a comprehensive and
  detailed description of the operations, activities, financial condition,
  and accomplishments of the Corporation under this Act during the fiscal
  year covered by such report and such recommendations as the Corporation
  considers appropriate.
  (2) In the first 5 reports submitted under subsection (a), the Corporation
  shall specify--
  (A) the anticipated number of national service positions that will be
  available for members of the Civilian Service and Senior Service of the
  Citizens Corps in the fiscal year beginning in the calendar year in which
  such report is submitted; and
  (B) the anticipated cost of operating the Civilian Service and Senior
  Service for such fiscal year.
Subtitle B--Provision of National Service Positions for Members of the
Civilian Service and Senior Service
SEC. 221. ESTABLISHMENT OF VOLUNTEER SERVICE AREAS.
  (a) PLAN AND DESIGNATION REQUIRED- The Governor of each State shall--
  (1) prepare a national service plan for the State, which shall specify
  priorities in the State for providing national service opportunities for
  members of the Civilian and Senior Services of the Citizens Corps; and
  (2) pursuant to such plan, designate volunteer service areas for the State,
  each of which--
  (A) is comprised of the State or one or more jurisdictions of units of
  general local government;
  (B) will promote effective provision of national services; and
  (C) is consistent with other designated areas in which related services
  are provided under other Federal or State programs.
  (b) CONSULTATION- Before preparing the national service plan or designating
  (or redesignating) a volunteer service area under subsection (a), the
  Governor shall consult with--
  (1) appropriate State and local government officials;
  (2) representatives of community service organizations, educational
  institutions, business organizations, and organized labor; and
  (3) other affected persons or organizations in the area.
  (c) REDESIGNATION- (1) Effective after the 2-year period beginning on
  the date the Governor first designates volunteer service areas under
  subsection (a), the Governor may redesignate such areas in accordance with
  such subsection.
  (2) Notwithstanding paragraph (1), the Governor shall consider making such
  a redesignation at the request of the Corporation for National Service.
SEC. 222. ESTABLISHMENT OF NATIONAL SERVICE COUNCILS.
  (a) COMPOSITION OF LOCAL COUNCILS- There shall be a national service
  council for each volunteer service area established under section 221. A
  council shall consist of--
  (1) representatives of nonprofit community service organizations in the
  area who have substantial management or policy responsibility with such
  organizations;
  (2) representatives of local governments;
  (3) representatives of educational agencies and institutions, business
  concerns, rehabilitation agencies, community-based organizations, and
  economic development agencies in the area; and
  (4) representatives of organized labor.
  (b) CHAIRPERSON- The members of a council shall select one of the members
  to serve as chairperson of the council.
  (c) SELECTION OF MEMBERS- (1) Education representatives on a council shall be
  selected from among individuals recommended by local educational agencies,
  vocational education institutions, institutions of higher learning, or
  general organizations of such agencies or institutions, and by private
  and proprietary schools or general organizations of such schools, within
  the area.
  (2) Labor representatives shall be recommended by recognized State and
  local labor organizations or appropriate building trades councils.
  (3) The remaining members of a council shall be selected from individuals
  recommended by interested organizations.
  (d) METHOD OF SELECTION- (1) In any case in which there is only one unit of
  local government in the volunteer service area, the chief executive officer
  of such unit shall appoint members to the council from the individuals
  recommended under subsection (c).
  (2) In any case in which there are two or more such units of local
  government in the area, the chief executive officers of such units shall
  appoint members to the council from the individuals so recommended in
  accordance with an agreement entered into by such units of general local
  government. In the absence of such an agreement, the appointments shall
  be made by the Governor from the individuals so recommended.
  (e) NUMBER OF MEMBERS- (1) Except as provided in paragraph (2), the number
  of members of a council shall be determined by the council.
  (2) The initial number of members of a council shall be determined--
  (A) by the chief executive officer in the case described in subsection
  (d)(1);
  (B) by the chief executive officers in accordance with the agreement in
  the case described in subsection (d)(2); or
  (C) by the Governor in the absence of such agreement.
  (f) TERMS- Members shall be appointed for fixed and staggered terms
  and may serve until their successors are appointed. Any vacancy in the
  membership of the council shall be filled in the same manner as the original
  appointment. Any member of the council may be removed by the council for
  cause in accordance with procedures established by the council.
  (g) CERTIFICATION OF COUNCIL- (1) The Governor shall certify a council
  if the Governor determines that its composition and appointments are
  consistent with the provisions of this section. Such certification shall
  be made or denied within 30 days after the date on which the Governor
  receives a list of council members and any supporting documentation the
  Governor considers necessary.
  (2) If the Governor denies certification, the Governor shall--
  (A) inform the chief executive officer or officers submitting the list
  and documentation of the reasons for denial; and
  (B) provide for the review of any revised list and documentation.
  (3) Upon certification, a council--
  (A) shall be convened within 30 days by the officer or officers who made
  the appointments to such council under subsection (d); and
  (B) may receive funds, consistent with section 224, to carry out the duties
  of the council under this Act.
SEC. 223. DUTIES OF NATIONAL SERVICE COUNCILS.
  (a) RECRUITMENT AND PLACEMENT OF VOLUNTEERS- A national service council
  shall--
  (1) accept applications from individuals seeking to serve in the Civilian
  Service and Senior Service of the Citizens Corps; and
  (2) place such individuals in national service positions consistent with
  the volunteer recruitment and placement plan of such council and section 104.
  (b) PREPARATION AND IMPLEMENTATION OF VOLUNTEER RECRUITMENT AND PLACEMENT
  PLAN- The council shall be responsible for preparing and implementing the
  volunteer recruitment and placement plan required under section 224.
  (c) OVERSIGHT- The council shall provide policy guidance for, and exercise
  oversight (including review, monitoring, auditing, and evaluation) with
  respect to activities under the volunteer recruitment and placement plan
  for the volunteer service area of such council.
  (d) OTHER DUTIES- (1) In order to carry out its duties under this Act,
  a council--
  (A) shall, in accordance with the volunteer recruitment and placement plan,
  prepare, and approve a budget for such council;
  (B) may hire staff or contract for services from nonprofit organizations; and
  (C) may solicit and accept contributions and grant funds (from public and
  private sources).
  (2) In hiring staff under paragraph (1), a council is encouraged to include
  members of the Senior Service of the Citizens Corps.
SEC. 224. VOLUNTEER RECRUITMENT AND PLACEMENT PLAN.
  (a) CONDITION FOR RECEIVING FUNDS- No funds appropriated for any fiscal
  year may be provided under this Act to a national service council--
  (1) unless such council is certified pursuant to section 222(g); and
  (2) except pursuant to an approved volunteer recruitment and placement
  plan prepared by such council for a period of 2 fiscal years including
  the fiscal year for which such funds are provided.
  (b) PREPARATION OF PLAN- When preparing a volunteer recruitment and
  placement plan, a council shall consult the national service plan for the
  State prepared by the Governor under section 221.
  (c) CONTENTS OF PLAN- Each volunteer recruitment and placement plan shall--
  (1) identify the national service council that will administer the plan
  and is to be the grant recipient of funds from the State;
  (2) describe the national services to be provided, including the extent
  such services reflect the priorities contained in the national service
  plan for the State;
  (3) contain procedures for recruiting and placing members of the Citizens
  Corps;
  (4) contain procedures, consistent with section 226, for selecting
  service sponsors, including procedures for council consideration of the
  past performance of each service sponsor in national services or related
  activities, fiscal accountability, and ability to meet performance standards;
  (5) contain the budget for the council for the 2-fiscal year period covered
  by such plan;
  (6) contain fiscal control, accounting, audit and debt collection procedures
  that assure the proper disbursal of, and accounting for, funds received
  under this Act; and
  (7) provide for the council to submit to the Governor an annual report
  that includes a description of--
  (A) activities conducted during the fiscal year covered by such report;
  (B) service sponsors in the volunteer service area;
  (C) members of the Citizens Corps placed by such council; and
  (D) the extent to which the activities exceeded or failed to meet relevant
  performance standards established by the Corporation.
  (d) MODIFICATION OF PLAN- If changes in the national service needs of
  the volunteer service area, funding, or other factors require substantial
  deviation from an approved plan, the national service council may submit a
  modification of such plan, which shall be subject to review in accordance
  with section 225.
SEC. 225. REVIEW AND APPROVAL OF PLAN.
  (a) PUBLICATION OF PROPOSED PLAN- Not later than 120 days before the
  beginning of the 2-fiscal year period covered by a proposed volunteer
  recruitment and placement plan, the council shall--
  (1) publish the proposed plan or a summary thereof; and
  (2) make such plan available for public review and comment.
  (b) SUBMISSION OF PLAN- (1) Not later than 80 days before the beginning
  of the 2-fiscal year period covered by a proposed volunteer recruitment
  and placement plan, the council shall submit such plan to the Governor.
  (2) Any modification of such plan shall be published and submitted to the
  Governor not later than 80 days before it is to be effective.
  (c) REVIEW- (1) The Governor shall approve the volunteer recruitment and
  placement plan (or modification thereof) unless the Governor finds that--
  (A) corrective measures for deficiencies found in audits or in meeting
  performance standards from previous years have not been taken or are not
  being acceptably implemented;
  (B) the council does not have the capacity to administer the funds;
  (C) there are inadequate safeguards for the protection of funds received; or
  (D) the plan (or modification) does not comply with this Act or a rule of
  the Corporation.
  (2) The Governor shall approve or disapprove a volunteer recruitment and
  placement plan (or modification) within 30 days after the date that the plan
  (or modification) is submitted.
  (3) If the Governor disapproves a plan, the Governor shall--
  (A) inform the council of the reasons for such disapproval;
  (B) provide for the review of any revised plan; and
  (C) take such steps as the Governor considers necessary to provide for the
  recruitment and placement of members of the Civilian and Senior Services
  in the volunteer service area affected by such disapproval.
SEC. 226. SERVICE SPONSORS.
  (a) SELECTION OF SERVICE SPONSORS- Subject to subsection (b), in placing a
  member of the Civilian Service or Senior Service of the Citizens Corps with
  a public agency or public or nonprofit organization, the council shall give
  primary consideration to the effectiveness of the agency or organization
  in delivering community services and shall give appropriate consideration
  to the extent to which the agency or organization is a community-based
  service sponsor. The council shall determine the effectiveness of an
  agency or organization on the basis of the agency's or organization's
  demonstrated performance with regard to attaining performance goals,
  reducing costs, and retaining members of the Citizen Corps placed with
  such agency or organization.
  (b) PREVENTION OF WORKER DISPLACEMENT- In placing a member of the Civilian
  Service or Senior Service of the Citizens Corps with a public agency
  or public or nonprofit organization, the council shall take appropriate
  measures to assure that such placement shall not result in--
  (1) the displacement of any currently employed worker or position (including
  partial displacement such as a reduction in the hours of nonovertime work,
  wages, or employment benefits), or result in the impairment of existing
  contracts for services or collective bargaining agreements;
  (2) such member filling a position with such agency or organization when--
  (A) any other individual is on layoff from the same or any equivalent
  position with such agency or organization; or
  (B) the employer has terminated the employment of any regular employee
  or otherwise reduced the workforce of such employer with the effect of
  filling the vacancy so created with such member; or
  (3) any infringement of the opportunities of any currently employed
  individual for promotion.
  (c) GRIEVANCE PROCEDURE- (1) Each State shall establish and maintain a
  grievance procedure for resolving complaints by regular employees or their
  representatives that the placement of a member of the Civilian Corps or
  Senior Corps under this Act violates any of the prohibitions described in
  subsection (b).
  (2) A decision of the State under such procedure may be appealed to the
  Corporation for investigation and such action as the Corporation may
  find necessary.
  (d) PAYMENTS BY PRIVATE NONPROFIT ORGANIZATION- (1) The Corporation may
  require a private nonprofit organization to pay to the Corporation an amount
  not to exceed $1000 per year for each member of the Civilian Service or
  Senior Service placed in a national service position with such organization.
  (2) The Corporation may reduce the payment required under paragraph (1)
  to reflect national service provided--
  (A) for a period of less than a full year; or
  (B) in the case of a member of the Senior Service, as part-time service.
  (3) The Corporation shall share any payment received under paragraph (1)
  or (2) with the State that provides the stipend or wage to the member of
  the Citizen Corps so placed with a private nonprofit organization. The
  share paid to the State shall correspond to the matching funds requirement
  for the State as specified in section 207(a) and adjusted to reflect any
  offset under section 207(b).
Subtitle C--Administration of the Citizens Corps with regard to service in
the Armed Forces
SEC. 241. ADMINISTRATION OF THE CITIZENS CORPS WITH REGARD TO SERVICE IN
THE ARMED FORCES.
  (a) RESPONSIBILITY OF SECRETARY OF DEFENSE- The Secretary of Defense shall
  be responsible for administering the Citizens Corps with regard to service
  by members of the Citizens Corps in the Armed Forces.
  (b) RULEMAKING- Not later than 60 days after the date of the enactment of
  this Act, the Secretary shall issue rules to carry out this subtitle.
SEC. 242. REPORTS.
  (a) REQUIRED- On or before May 15 of each calendar year, the Secretary of
  Defense shall submit to the President a report describing the operation
  of the Citizen Corps with regard to service in the Armed Forces and the
  activities of the Secretary in administering such service during the fiscal
  year ending September 30 of the preceding calendar year, and the President
  shall transmit such report to the Congress.
  (b) CONTENT OF REPORT- (1) Each report shall include a comprehensive and
  detailed description of the operations, activities, financial condition,
  and accomplishments of the Citizens Corps with regard to service in
  the Armed Forces during the fiscal year covered by such report and such
  recommendations as the Secretary considers appropriate.
  (2) In the first 5 reports submitted under subsection (a), the Secretary
  shall specify--
  (A) the anticipated number of national service positions that will be
  available in the Armed Forces for members of the the Citizens Corps in
  the fiscal year beginning in the calendar year in which such report is
  submitted; and
  (B) the anticipated cost of operating the Citizens Corps with regard to
  service in the Armed Forces for such fiscal year.
TITLE III--BENEFITS FOR PARTICIPATING IN THE CITIZENS CORPS
SEC. 301. STIPEND AND SUPPORT SERVICES FOR MEMBERS OF THE CIVILIAN SERVICE
AND SENIOR SERVICE.
  (a) CIVILIAN SERVICE- (1) The State shall provide a stipend of $100 per week
  to each member of the Civilian Service of the Citizens Corps performing
  service in the State (except members placed with a Federal agency) while
  such member is in training and providing full-time service during the term
  of service of such member.
  (2) If a member of the Civilian Service of the Citizens Corps is placed
  with a Federal agency, such agency shall provide a stipend of $100 per week
  to such member while such member is in training and providing full-time
  service with such agency during the term of service of such member.
  (3) The Corporation--
  (A) shall provide each member of the Civilian Service with health insurance;
  and
  (B) may provide such other assistance as the Corporation considers
  necessary and appropriate for a member of the Civilian Service to carry
  out the service obligation of such member.
  (b) SENIOR SERVICE- (1) The State or Federal agency, as the case may be,
  shall pay to each member of the Senior Service performing service in
  the State or with the agency an hourly wage as determined by rule by
  the Corporation.
  (2) The Corporation may provide such other assistance as the Corporation
  considers necessary and appropriate for a member of the Senior Service to
  carry out the service obligation of such member.
SEC. 302. COMPENSATION FOR MEMBERS OF THE CITIZENS CORPS SERVING IN THE
ARMED FORCES.
  (a) AMOUNT OF COMPENSATION- Notwithstanding any other provision of law,
  a member of the Citizens Corps serving in the Armed Forces shall receive
  basic pay, basic allowance for subsistence, basic allowance for quarters
  at 66 percent of the rate applicable to other members of the Armed Forces
  with the same pay grade and years of service.
  (b) LIMITATIONS- A member of the Citizens Corps serving in the Armed
  Forces, or a graduate of such service, shall not be eligible to receive
  benefits under chapters 106, 107, and 109 of title 10, United States Code,
  or chapters 30, 32, 34, 36, or 37 of title 38, United States Code, as a
  result of such service.
SEC. 303. EDUCATIONAL AND HOUSING BENEFITS FOR MEMBERS OF THE CIVILIAN
SERVICE OF THE CITIZENS CORPS.
  (a) AMOUNT OF FINANCIAL ASSISTANCE- An individual who successfully completes
  a term of service as a member of the Civilian Service of the Citizens Corps
  shall be eligible to receive financial assistance pursuant to section 305
  or 306 in an amount not to exceed $10,000 for each year of such term to
  assist such individual--
  (1) pursue a program of education or training at an educational institution
  or training establishment; or
  (2) purchase or construct a dwelling to be owned and occupied by such
  individual as the primary residence of such individual.
  (b) PARTIAL COMPLETION OF TERM OF SERVICE- If the Corporation releases
  an individual from completing a term of service in the Civilian Service
  for compelling personal circumstances for just cause shown by such member,
  the Corporation may provide such individual with a portion of the financial
  assistance specified in subsection (a) corresponding to the amount of the
  service obligation completed by such individual.
  (c) EXCLUSION FROM GROSS INCOME- For purposes of section 61 of the Internal
  Revenue Code of 1986 (26 U.S.C. 61), in the case of an individual,
  gross income shall not include any amount received as assistance under
  this section.
SEC. 304. EDUCATIONAL AND HOUSING BENEFITS FOR MEMBERS OF THE CITIZENS CORPS
SERVING IN THE ARMED FORCES.
  (a) ACTIVE DUTY IN THE ARMED FORCES- (1) A member of the Citizens Corps
  serving in the Armed Forces pursuant to section 103(b)(1) who is released
  from active duty after 2 years of service (characterized by the Secretary
  concerned as honorable service) on active duty shall be eligible for the
  financial assistance specified in paragraph (2) on the condition that--
  (A) the member agrees to complete the service obligation selected by such
  member; and
  (B) such further service is characterized by the Secretary concerned as
  honorable service.
  (2) The financial assistance referred to in paragraph (1) shall be provided
  pursuant to section 305 or 306 in an amount not to exceed $24,000 to assist
  such member--
  (A) pursue a program of education or training at an educational institution
  or training establishment; or
  (B) purchase or construct a dwelling to be owned and occupied by such
  individual as the primary residence of such individual.
  (b) SERVICE IN THE SELECTED RESERVE- (1) A member of the Citizens Corps
  serving in a reserve component of the Armed Forces pursuant to section
  103(b)(2) is eligible for the financial assistance specified in paragraph
  (2)--
  (A) after the member serves 1 year in the Selected Reserve during which
  the member participates satisfactorily in training as prescribed by the
  Secretary concerned; and
  (B) on the condition that the member agrees to complete the service
  obligation selected by such member and such service is characterized by
  the Secretary concerned as honorable service.
  (2) The financial assistance referred to in paragraph (1) shall be provided
  pursuant to section 305 or 306 in an amount not to exceed $12,000 to assist
  such member--
  (A) pursue a program of education or training at an educational institution
  or training establishment; or
  (B) purchase or construct a dwelling to be owned and occupied by such
  individual as the primary residence of such individual.
  (c) PARTIAL COMPLETION OF TERM OF SERVICE- If the Secretary of Defense
  releases a member of the Citizens Corps from completing a service obligation
  in the Armed Forces with an honorable discharge, the Secretary of Veterans
  Affairs may provide such member with a portion of the financial assistance
  such individual would have otherwise been entitled to corresponding to
  the amount of the service obligation completed by such individual.
  (d) EXCLUSION FROM GROSS INCOME- For purposes of section 61 of the Internal
  Revenue Code of 1986 (26 U.S.C. 61), in the case of an individual,
  gross income shall not include any amount received as assistance under
  this section.
SEC. 305. PROVISION OF EDUCATIONAL BENEFITS.
  (a) CIVILIAN SERVICE- The Corporation (in consultation with the Secretary of
  Veterans Affairs) shall administer the provision of financial assistance
  under section 303 for individuals pursuing a program of education or
  training at an educational institution or training establishment.
  (b) SERVICE IN THE ARMED FORCES- The Secretary of Veterans Affairs
  (in consultation with the Corporation) shall administer the provision
  of financial assistance under section 304 for individuals pursuing a
  program of education or training at an educational institution or training
  establishment.
  (c) METHOD OF PROVIDING ASSISTANCE- The Corporation and Secretary shall
  administer the provision of educational benefits to an individual who is
  eligible for financial assistance under section 303 or 304 in the manner
  provided in sections 1663, 1670, 1671, 1673, 1674, 1676, 1682(g), and 1683
  of title 38, United States Code, and in subchapters I and II of chapter
  36 of such title.
  (d) USE OF ASSISTANCE- Assistance provided under section 303 or 304 as
  educational benefits may be used to pay tuition, fees, books, supplies,
  equipment, room and board, and other costs determined by the Corporation
  by rule to be necessary to accomplish a program of education or training
  at an educational institution or training establishment.
  (e) RECOUPMENT OF ASSISTANCE- The Secretary of Veterans Affairs shall
  establish by rule a system to recoup financial assistance provided under
  section 304 in cases in which an individual fails to honorably complete
  a service obligation after receiving such assistance. The amount of such
  recoupment shall be calculated and collected in the manner provided in
  section 338E(b)(1) of the Public Health Service Act (42 U.S.C. 254o(b)(1)).
SEC. 306. PROVISION OF HOUSING BENEFITS.
  (a) CIVILIAN SERVICE- The Corporation (in consultation with the Secretary
  of Veterans Affairs) shall--
  (1) establish a program by which an individual eligible for financial
  assistance under section 303 may use all or part of such assistance to
  purchase or construct a dwelling to be owned and occupied by the individual
  as the primary residence of such individual; and
  (2) monitor the implementation of such program.
  (b) SERVICE IN THE ARMED FORCES- The Secretary of Veterans Affairs (in
  consultation with the Corporation) shall--
  (1) establish a program by which an individual eligible for financial
  assistance under section 304 may use all or part of such assistance to
  purchase or construct a dwelling to be owned and occupied by the individual
  as the primary residence of such individual; and
  (2) monitor the implementation of such program.
SEC. 307. TIME LIMITATION ON THE USE OF ASSISTANCE.
  (a) IN GENERAL- No assistance under section 303 or 304 may be provided an
  individual after the end of the 10-year period beginning on the date the
  term of service of such individual is completed.
  (b) EXCEPTION- Subsection (a) shall not apply if the Secretary of Veterans
  Affairs or the Corporation, as the case may be, determines on an individual
  basis that an individual was unavoidably prevented from using such assistance
  during such time period.
SEC. 308. REPORTS.
  (a) REQUIRED- (1) The Secretary of Veterans Affairs and the Corporation
  shall submit to the Congress at least once every 2 years a joint report
  on the provision of financial assistance under sections 303 and 304.
  (2) The first report required by paragraph (1) shall be submitted not
  later than January 1, 1992.
  (b) CONTENTS OF REPORT- Each report submitted under subsection (a)
  shall include--
  (1) an assessment of the extent to which the financial assistance provided
  under sections 303 and 304 is adequate to induce individuals to serve in
  the Citizens Corps and complete their terms of service;
  (2) the amount of such assistance utilized during the period covered by
  such report; and
  (3) such recommendations for legislative changes regarding the provision
  of such assistance to members of the Citizens Corps and individuals who
  have successfully completed their terms of service in the Citizens Corps
  as the Secretary and Corporation consider appropriate.
TITLE IV--MISCELLANEOUS PROVISIONS
SEC. 401. EDUCATIONAL AND HOUSING BENEFITS FOR PARTICIPANTS IN THE PEACE
CORPS AND VISTA.
  (a) BENEFITS ALLOWED- Subject to subsection (b), an individual who is not
  a member of the Civilian Service of the Citizens Corps but who successfully
  completes a term of service in the Peace Corps or VISTA after the effective
  date of this Act shall be entitled to financial assistance under section
  303 in the same manner as a member of the Civilian Service.
  (b) REDUCTION OF BENEFITS- The Corporation shall reduce the amount of
  financial assistance available to a former Peace Corps or VISTA volunteer
  under subsection (a) to reflect the amount of compensation received by
  such volunteer over and above the stipend provided to members of the
  Civilian Service.
SEC. 402. AUTHORIZATION OF APPROPRIATIONS.
  There is authorized to be appropriated to the Corporation to carry out
  this Act:
  (1) $       for fiscal year 1991.
  (2) $       for fiscal year 1992.
  (3) $       for fiscal year 1993.
  (4) Such sums as may be necessary for each fiscal year thereafter.
SEC. 403. EFFECTIVE DATE.
  This Act shall take effect on October 1, 1990.