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108th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                     108-16

======================================================================



 
                MUSEUM AND LIBRARY SERVICES ACT OF 2003

                                _______
                                

 February 25, 2003.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

    Mr. Boehner, from the Committee on Education and the Workforce, 
                        submitted the following

                              R E P O R T

                         [To accompany H.R. 13]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Education and the Workforce, to whom was 
referred the bill (H.R. 13) to reauthorize the Museum and 
Library Services Act, and for other purposes, having considered 
the same, report favorably thereon without amendment and 
recommend that the bill do pass.

                                Purpose

    H.R. 13, the Museum and Library Services Act of 2003, 
authorizes federal assistance to museums and libraries through 
fiscal year 2009. H.R. 13 maintains the modest but essential 
federal support for museums and libraries across the country; 
authorizes funds for the one federal agency--the Institute of 
Museum and Library Services--devoted exclusively to museums and 
libraries, which are natural partners with our nation's 
schools; and encourages model cooperation between museums and 
libraries. The Institute of Museum and Library Services and the 
Committee on Education and the Workforce note that funds 
allocated under the Museum and Library Services Act are not 
authorized for construction of facilities. Instead, the intent 
of authorized funds is to increase access to--and cooperation 
among--our nation's museums and libraries. Last Congress, the 
Committee on Education and the Workforce reported H.R. 3784, 
the Museum and Library Services Act of 2002. However, H.R. 3784 
was not scheduled for Floor consideration. H.R. 13 is a similar 
bill and a bipartisan attempt to reauthorize the Museum and 
Library Services Act.

                            Committee Action


                             107th Congress


Subcommittee hearing

    On Thursday, February 14, 2002, the Subcommittee on Select 
Education held a hearing in Washington, D.C. on ``Equipping 
Museums and Libraries for the 21st Century.'' The purpose of 
the hearing was to learn about activities and initiatives 
currently funded under the Museum and Library Services Act and 
to discuss issues related to its reauthorization.

Legislative action

    On February 26, 2002, Representatives Peter Hoekstra (R-MI) 
and Tim Roemer (D-IN) introduced H.R. 3784, the Museum and 
Library Services Act of 2002, a bipartisan bill to reauthorize 
the Museum and Library Services Act through fiscal year 2008.
    On March 6, 2002, the Subcommittee on Select Education 
considered H.R. 3784 in legislative session and reported it 
favorably, without amendment, to the Committee on Education and 
the Workforce by voice vote.
    On March 20, 2002, the Committee on Education and the 
Workforce considered H.R. 3784 in legislative session and 
reported it favorably, as amended, to the House of 
Representatives by voice vote. The Committee considered two 
amendments:
     The Committee adopted, by voice vote, a bipartisan 
substitute amendment offered by Representatives Peter Hoekstra 
(R-MI) and Tim Roemer (D-IN). The substitute amendment was 
drafted with input from the Institute of Museum and Library 
Services, the American Library Association, the Chief Officers 
of State Library Agencies, and the American Association of 
Museums. Specifically, the amendment: (1) authorizes a total of 
$350 million for the Museum and Library Services Act, with $300 
million for library services and $50 million for museum 
services; (2) increases the minimum allotment for the United 
States Virgin Islands, Guam, and American Samoa, the 
Commonwealth of the Northern Mariana Islands, the Republic of 
the Marshall Islands, the Federated States of Micronesia, and 
the Republic of Palau to $60,000 as long as each State receives 
its new minimum allotment of $500,000; and (3) makes technical 
and typographical changes to the legislation.
     The Committee rejected, by voice vote, an 
amendment offered by Representative Major Owens (D-NY) to add 
language to H.R. 3784 to require that the National Commission 
on Libraries and Information Science advise the Institute of 
Museum and Library Services Director on library programs.

                             108TH CONGRESS

    The Committee on Education and the Workforce did not hold 
hearings on the Museum and Library Services Act during the 
108th Congress.

Legislative action

    On January 7, 2003, Representative Peter Hoekstra (R-MI) 
introduced H.R. 13, the Museum and Library Services Act of 
2003, a bipartisan bill to reauthorize the Museum and Library 
Services Act through fiscal year 2009.
    On February 13, 2003, the Committee on Education and the 
Workforce considered H.R. 13 in legislative session and 
reported it favorably, without amendment, to the House of 
Representatives by voice vote.

                                Summary


                      TITLE I--GENERAL PROVISIONS

    H.R. 13, the Museum and Library Services Act of 2003 
authorizes the federal library and museums programs under the 
Institute of Museum and Library Services. Specifically, this 
title: requires the Institute of Museum and Library Services 
Director to establish procedural standards for making grants 
available to museums and libraries (ensuring that the criteria 
are consistent with the statutory purposes of the Act); 
prohibits projects that are determined to be obscene from 
receiving funding; ensures that library activities are 
coordinated with activities under P.L. 107-110, the No Child 
Left Behind Act of 2001; consolidates museum and library 
advisory board activities under a single statute; authorizes 
the Institute of Museum and Library Services Director to issue 
National Awards for Library Service and National Awards for 
Museum Service; and ensures that administrative funds are also 
used to conduct annual analyses of the impact of museum and 
library services.

               TITLE II--LIBRARY SERVICES AND TECHNOLOGY

    The purposes of this title are to: (1) consolidate federal 
library service programs; (2) promote improvement in library 
services in all types of libraries to better serve the people 
of the United States; (3) facilitate access to resources in all 
types of libraries toward an educated and informed citizenry; 
and (4) encourage resource sharing among all types of libraries 
toward economic and efficient delivery of library services to 
the public.
    Under this title, 3.75 percent of funds are reserved for 
national leadership competitive grants; 1.75 percent of funds 
are reserved for library services for Native Americans; up to 
3.5 percent of funds for federal administration; and the 
remainder of funds are allotted by formula to States via State 
Library Agencies.
    H.R. 13 increases the minimum State allotment for library 
programs to $680,000 and also ensures that no State's allotment 
falls below its FY 2003 level. If funding were insufficient to 
raise the minimum State allotment to $680,000, and, at the same 
time, hold all States harmless so they do not lose funds from 
their FY 2003 level, then the minimum State allotment is set at 
$340,000 (current law minimum State allotment). Additional 
funding would be distributed equally among the States until the 
minimum amount of $680,000 per State is reached and any funding 
above the State minimum of $680,000 would be awarded to States 
based on population (as under current law). H.R. 13 also 
increases the minimum allotment for the United States Virgin 
Islands, Guam, American Samoa, the Commonwealth of the Northern 
Mariana Islands, the Republic of the Marshall Islands, the 
Federated States of Micronesia, and the Republic of Palau to 
$60,000 as long as each State receives its new minimum 
allotment of $680,000.
    State grants under this title can be used for: (1) 
expanding services for learning and access to information and 
educational resources in a variety of formats in all types of 
libraries for individuals of all ages; (2) developing library 
services that provide all users access to information through 
electronic networks; (3) providing electronic and other 
linkages among and between all types of libraries; (4) 
developing public and private partnerships with other agencies 
and community-based organizations; (5) targeting library 
services to people of diverse geographic, cultural, and 
socioeconomic backgrounds, to individuals with disabilities, 
and to people with limited functional literacy or information 
skills; and (6) targeting library and information services to 
persons having difficulty using a library and to underserved 
urban and rural communities, including children from families 
with incomes below the poverty level.
    This title authorizes 3.75 percent of funds for national 
leadership grant to enhance the quality of library services 
nationwide and to provide coordination between libraries and 
museums. These competitive grants are used for activities that 
include: (1) education, recruitment, and training of persons in 
library and information science; (2) research and demonstration 
projects related to the improvement of libraries, education in 
library and information science, enhancement of library 
services through effective and efficient use of new 
technologies, and dissemination of information derived from 
such projects; (3) preservation or digitization of library 
materials and resources; and (4) model programs demonstrating 
cooperative efforts between libraries and museums.
    The Library Services and Technology title is authorized at 
$210 million for fiscal year 2004 and such sums as may be 
necessary for fiscal years 2005 through 2009.

                       TITLE III--MUSEUM SERVICES

    The purposes of this title are to: (1) encourage and 
support museums in carrying out their public service role of 
connecting the whole of society to the cultural, artistic, 
historical, natural, and scientific understandings that 
constitute our heritage; (2) encourage and support museums in 
carrying out their educational role; (3) encourage leadership, 
innovation and applications of the most current technologies 
and practices to enhance museum services; (4) assist, 
encourage, and support museums in carrying out their 
stewardship responsibilities to achieve the highest standards 
in conservation and care of the cultural, historic, natural, 
and scientific heritage of the United States; (5) assist, 
encourage, and support museums in achieving the highest 
standards of management and service to the public; and (6) 
support resource sharing and partnerships among museums, 
libraries, schools, and other community organizations.
    H.R. 13 authorizes the Institute of Museum and Library 
Services Director, subject to the policy direction of the 
expanded Museum and Library Services Board, to enter into 
arrangements, including grants, contracts, cooperative 
agreements, and other forms of assistance to museums and to 
other entities to pay for the federal share of the cost to 
support activities, that among other things: (1) support 
museums in providing learning and access to collections, 
information, and educational resources in a variety of formats; 
(2) support museums in building learning partnerships with the 
nation's schools; (3) support museums in assessing, conserving, 
researching, maintaining, and exhibiting their collections; (4) 
stimulate greater collaboration among museums, libraries, 
schools, and other community organizations; and (5) encourage, 
support, and disseminate model programs of museum and library 
collaboration.
    The Museum Services title is authorized at $35 million for 
fiscal year 2004 and such sums as may be necessary for fiscal 
years 2005 through 2009.

      TITLE IV--TECHNICAL CORRECTIONS; REPEALS; AND EFFECTIVE DATE

    This title makes technical corrections to the Museum and 
Library Services Act; consolidates museum and library advisory 
board activities within the Institute of Museum and Library 
Services; and states that the amendments made by this Act shall 
take effect on the date of enactment except that sections 203, 
204, and 305 shall take effect on October 1, 2003.

                            Committee Views

    Museums and libraries have become a fundamental part of our 
society. Attendance at American museums is now at more than 865 
million visits per year and today's 21st century library is not 
just a provider of books; instead, the typical American library 
coordinates a complete and comprehensive approach to community 
development and services.
    Museums play a vital role in the education of people of all 
ages and most American museums provide K-12 educational 
programming. Museums are an important source of cultural and 
historical knowledge for people, as they learn about the 
history and traditions of our country and our shared identity 
as Americans. Museums also serve as places where people of 
different backgrounds, economic levels, and home locations come 
together and not only share the experience of viewing their 
community's artifacts and natural objects, but also discuss 
community issues.
    Throughout our nation, libraries are at the forefront of 
reading and family literacy programs. Libraries serve as 
essential links to the business community, assisting with job 
creation, training programs, and business development 
initiatives. They are also critical to many people with 
disabilities, providing them with specialized materials and 
resources that are obtainable in a single location. For older 
Americans, libraries provide a place to interact with others, 
use the Internet, and receive services. For economically 
disadvantaged persons, or persons living in underserved and 
rural communities, libraries are the greater equalizer, 
providing access to books and reference materials, computer 
services, and community-based services that might not otherwise 
be available.
    H.R. 13, the Museum and Library Services Act of 2003 has 
the support of the Institute of Museum and Library Services, 
the American Library Association, the Chief Officers of State 
Library Agencies, and the American Association of Museums. In 
particular, the American Association of Museums sent a letter 
to the Committee on Education and the Workforce on February 6, 
2003 to offer its strong support of the bill. In the letter, 
Edward H. Able, Jr., the President and Chief Executive Officer 
of the Association, wrote:

          I commend the members of the committee for their 
        bipartisan efforts to craft a bill that reaffirms 
        federal support for the public service responsibilities 
        of America's museums, particularly with regard to K 
        through 12 [education] * * * This legislation also 
        provides great flexibility to address current and 
        future challenges, such as the use of new technologies 
        and broadcast media to enhance public access to museum 
        collections, programs and services.

In addition, the American Library Association noted in a letter 
sent to the Committee on Education and the Workforce on 
February 13, 2003 that it ``applauds the Committee's efforts 
over the past 2 years to craft a forward thinking, bi-partisan 
bill that unites the entire library community.''
    H.R. 13 continues the main objectives of the Museum and 
Library Services Act of 1996 and makes several modifications to 
current law to streamline and strengthen museum and library 
services across the country.

                      TITLE I--GENERAL PROVISIONS

Coordination

    Under current law, the Institute of Museum and Library 
Services Director must ensure coordination of the policies and 
activities of the Institute with the policies and activities of 
other agencies and offices of the federal government having 
interest in and responsibilities for the improvement of museums 
and libraries.
    H.R. 13 requires the Institute of Museum and Library 
Services Director, where appropriate, to ensure that library 
activities are also coordinated with activities under section 
1251 (Improving Literacy Through School Libraries) of P.L. 107-
110, the No Child Left Behind Act of 2001. School libraries are 
eligible for support under the Museum and Library Services Act 
and through the Department of Education's Improving Literacy 
Through School Libraries. The Committee believes this 
requirement for coordination will help ensure a consistent 
approach to federal support for school library services.

Review and evaluation of applications

    Under current law, there are no provisions regarding the 
review and evaluation of applications for assistance under the 
Museum and Library Services Act.
    H.R. 13 amends the Museum and Library Services Act by 
incorporating procedural standards for making grants available 
to museums and libraries. Under the new provisions, an 
application must be submitted in accordance with regulations or 
procedures established by the Director of the Institute of 
Museum and Library Services. In establishing these rules, the 
Director must ensure that the criteria by which the 
applications are considered are consistent with the purposes of 
the Museum and Library Services Act and take into consideration 
general standards of decency and respect for the diverse 
beliefs and values of the American public. In addition, H.R. 13 
prohibits projects that are determined to be obscene from 
receiving funding from the Institute of Museum and Library 
Services. The Committee notes that awards made by the National 
Endowment for the Arts are subject to similar standards (20 
U.S.C. Sec. 954(d)).

Museum and Library Services Board

    Advice on museum services is provided by the National 
Museum Services Board, an advisory board authorized within the 
Museum and Library Services Act. In 1996, the Museum and 
Library Services Act continued the National Museum Services 
Board and also put in place an advisory role for library 
services outside the agency. The National Commission on 
Libraries and Information Science was established under a 
separate statute in 1970 (P.L. 91-345). In 1996, the National 
Commission on Libraries and Information Sciences Act was 
amended to add authority for the National Commission to advise 
the Institute of Museum and Library Services Director on 
library programs.
    The Museum and Library Services Act of 2003 eliminates 
additional advisory duties assigned to the National Commission 
on Libraries and Information Science found in current law of 
the Museum and Library Services Act and consolidates those 
``advisory board responsibilities'' under the existing Museum 
Services Board that will expand to include library services. 
H.R. 13 does not repeal, nor does the Committee intend to 
eliminate the National Commission on Libraries and Information 
Science because it has been established under a separate 
statute and is not within the scope of the Museum and Library 
Services Act of 2003. The purpose of this change is to 
consolidate museum and library board activities under a single 
statute. The Museum and Library Services Board would include 
the Institute of Museum and Library Services Director, the two 
Institute of Museum and Library Services Deputy Directors, and 
twenty members (ten from the museum community and ten from the 
library community) appointed by the President, by and with the 
advice and consent of the Senate.
    The Committee notes that the American Library Association 
and the Chief Officers of State Library Agencies support H.R. 
13 as reported by the Committee on Education and the Workforce. 
In addition, the Institute of Museum and Library Services 
supports this change to the law--which was also included in 
H.R. 3784, the Museum and Library Services Act of 2002--as 
described in a letter sent to the Committee on Education and 
the Workforce on March 19, 2002. Specifically, the letter 
noted:

          IMLS needs an advisory board that can focus on the 
        entirety of the activities of the agency. Federal 
        grantmaking is complex and IMLS strives to develop 
        board expertise so that the board can provide advice 
        that best serves the American taxpayer and the 
        interests of the library and museum communities. 
        Developing board expertise for two separate entities is 
        redundant and time consuming. A board that exists for 
        the sole purpose of advising the agency is needed to 
        develop an advisory process that is most useful and 
        effective.
          It is inordinately complex and awkward to have one 
        federal agency advising another on federal grantmaking. 
        Prior to the establishment of the IMLS in 1996, the 
        National Commission on Libraries and Information 
        Science had existed for 25 years with its own 
        freestanding authorization and mission. The National 
        Museum Services Board existed within the Museum 
        Services Act for the sole purpose of advising the 
        agency. The Museum and Library Services Act of 1996 
        maintained the National Museum Services Board and 
        amended the NCLIS statute to add advising IMLS to its 
        existing responsibilities. The board envisioned by H.R. 
        3784 would consolidate advisory functions under one 
        statute, the Museum and Library Services Act. It would 
        not change NCLIS' authority and responsibility as they 
        existed for 25 years prior to 1996.

National Awards for Museum and Library Service

    Under current law, the Institute of Museum and Library 
Services Director is authorized to annually award a National 
Award for Museum Service to outstanding museums that have made 
significant contributions in service to their communities.
    H.R. 13 broadens the language in current law that allows 
the Institute of Museum and Library Services Director to award 
National Awards for Museum Service to also allow the Director 
to make similar awards for library service. This change makes 
the treatment of the award consistent for both libraries and 
museums. The awards program is an important way to highlight 
the vital roles that libraries and museums play in communities 
across the country.

Analyses of impact of Museum and Library Services

    Under current law, there are no provisions regarding any 
analysis of the impact of museum and library services.
    H.R. 13 ensures that administrative funds are also used to 
conduct annual analyses of the impact of museum and library 
services. Specifically, it authorizes the Institute of Museum 
and Library Services, in consultation with State, regional and 
national museum and library service agencies and service 
organizations, to conduct ongoing analysis of services being 
provided under the Act to identify needs for, and trends of, 
public museum and library services. These analyses will:
           Be conducted in ongoing consultation with 
        State library administrative agencies, State, regional, 
        and national museums, and other relevant agencies and 
        organizations;
           Identify national needs and trends of 
        services provided under museum and library programs;
           Report on the impact and effectiveness of 
        the Institute funded programs in addressing those 
        national needs; and
           Identify and disseminate best practices of 
        funded programs to State library administrative 
        agencies, State, regional, and national museum 
        organizations, and other relevant agencies and 
        organizations.
    The Committee believes that regular analyses of the impact 
and effectiveness of Institute of Museum and Library Services 
programs are necessary to ensure good management and to share 
best practices. The Committee also understands that it has a 
responsibility to ensure that taxpayer money is best spent 
appropriately on effective programs that support and enhance 
the public service missions of America's museums and libraries. 
Analyses of the impact of museum and library programs will help 
the Institute of Museum and Library Services make informed and 
responsible program decisions based on concrete, current, and 
reliable data.

               TITLE II--LIBRARY SERVICES AND TECHNOLOGY

Administration

    Under current law, not more than 3 percent of funds may be 
used to pay for federal administrative costs for carrying out 
programs authorized under this title.
    The Museum and Library Services Act of 2003 allows not more 
than 3.5 percent of funds for federal administrative costs. The 
Committee intends that the increase in funds of federal 
administrative be used to conduct the annual analyses of the 
impact of museum and library services.

Minimum state allotment

    Under current law, the minimum allotment for each State 
(which includes the District of Columbia and the Commonwealth 
of Puerto Rico) is $340,000, with the exception of outlying 
areas (Virgin Islands, Guam, American Samoa, the Northern 
Mariana Islands, the Marshall Islands, the Federated States of 
Micronesia, and Palau), which receives $40,000 as a minimum 
allotment. The remainder of funds above the minimum State 
allotment is awarded to States based on population.
    H.R. 13 increases the minimum State allotment to $680,000 
and also ensures that no State's allotment falls below its FY 
2003 level. If funding were insufficient to raise the minimum 
State allotment to $680,000, and, at the same time, hold all 
States harmless so they do not lose funds from their FY 2003 
level, then the minimum State allotment is set at $340,000 
(current law minimum State allotment). Additional funding would 
be distributed equally among the States until the minimum 
amount of $680,000 per State is reached and any funding above 
the State minimum of $680,000 would be awarded to States based 
on population (as under current law). H.R. 13 also increase the 
minimum allotment for outlying areas to $60,000 as long as each 
State receives its new minimum allotment of $680,000.
    The Institute of Museum and Library Services supports these 
changes--which were also included in H.R. 3784, the Museum and 
Library Services Act of 2002--as described in a letter sent to 
the Committee on Education and the Workforce on March 19, 2002. 
Specifically, the letter noted:

          The Institute notes that minimum allotment for the 
        States has not increased since 1971. The change 
        required by H.R. 3784 includes ``hold harmless'' 
        language that assures that no State would experience a 
        reduction in the allocation below the fiscal year 2002 
        level to accommodate this changes. The Institute also 
        notes that this change is based on a recommendation 
        from the library community carefully developed through 
        a consensus endorsed by the Chief Officers of State 
        Library Agencies.

                       TITLE III--MUSEUM SERVICES

Purpose

    H.R. 13 ensures that the Institute of Museum and Library 
Services will continue its role in promoting public service by 
museums in the 21st century by updating the purpose of the 
museum services program to, among other things, encourage and 
support museums in carrying out their public service and 
educational role as providers of learning in conjunction with 
schools, families, and communities. The Committee also believes 
that the museums, libraries, schools, and other community 
organizations.

Definition of museum

    Under current law, the term ``museum'' means a public or 
private nonprofit agency or institution organized on a 
permanent basis for essentially educational or aesthetic 
purposes, that utilizes a professional staff, owns or utilizes 
tangible objects, cares for the tangible objects, and exhibits 
the tangible objects to the public on a regular basis.
    The Museum and Library Services Act of 2003 expands the 
definition of ``museum'' to include aquariums, arboretums, 
botanical gardens, art museums, children's museums, general 
museums, historic houses and sites, history museums, nature 
centers, natural history and anthropology museums, 
planetariums, science and technology centers, specialized 
museums, and zoological parks. The Committee expands this 
definition in recognition of the wide variety of museum 
organizations. The Committee understands however, that this 
definition does not anticipate museum organizations that may 
arise in the future. Accordingly, the Committee intends that no 
organization that meets the requirements of the definition 
should be precluded from applying for a grant under the Act 
based solely on an absence from this list.

Museum service activities

    Under current law, the Institute of Museum and Library 
Services Director, subject to the policy direction of the 
Museum Board, may make grants to museums to pay for the federal 
share of the cost of increasing and improving museum services 
through various activities. In addition, the Director, subject 
to the policy direction of the Museum board, is authorized to 
use up to 15 percent of museum services funds to enter into 
contracts and cooperative agreements with appropriate entities, 
as determined by the Director, to pay for the federal share of 
enabling the entities to undertake projects designed to 
strengthen museum service.
    H.R. 13 eliminates the 15 percent limit for contracts and 
cooperative agreements under current law and authorizes the 
Director of the Institute of Museum and Library Services, 
subject to the policy direction of the expanded Museum and 
Library Services Board, to enter into arrangements, including 
grants, contracts cooperative agreements, and other forms of 
assistance to museums to pay for the federal share of the cost 
to support projects designed to strengthen museum services. The 
Committee believes this change is needed to allow the Institute 
of Museum and Library Services Director greater flexibility in 
awarding grants, contracts, and cooperative agreements to 
museums and other entities to strengthen museum services.

                      Section-by-Section Analysis

    Section 1.--Designates the short title of this Act as the 
``Museum and Library Services Act of 2003.''

                      TITLE I--GENERAL PROVISIONS

    Section 101.--Amends definitions.
    Section 102.--Adds authority for a National Museum and 
Library Services board within the Institute of Museum and 
Library Services.
    Section 103.--Ensures that library activities are 
coordinated with activities under P.L. 107-110, the No Child 
Left Behind Act of 2001; authorizes the director to promulgate 
rules and regulations; and defines application procedures 
(including review and evaluation of applications).
    Section 104.--Sets forth provisions regarding composition, 
procedures, duties, and powers of the National Museum and 
Library Services Board
    Section 105.--Authorizes the director to annually award 
National Awards for Library Service and National Awards for 
Museum Service to outstanding libraries and museums and 
requires the director to carry out and publish analyses of the 
impact of museum and library services.

               TITLE II--LIBRARY SERVICES AND TECHNOLOGY

    Section 201.--Updates the purpose of the Library Services 
and Technology Act.
    Section 202.--Amends definitions.
    Section 203.--Authorizes $210 million for fiscal year 2004 
and such sums as may be necessary for fiscal years 2005 through 
2009 for the Library Services and Technology Act and increases 
the reservation of funds for administration.
    Section 204.--Increases minimum State allotments to 
$680,000 (if sufficient funds are available).
    Section 205.--Updates provisions pertaining to State plans.
    Section 206.--Updates State grants uses of funds.
    Section 207.--Updates provisions pertaining to National 
Leadership Grants to clarify that funds can also be used to 
recruit librarians.

                       TITLE III--MUSEUM SERVICES

    Section 301.--Updates the purpose of the Museum Services 
Act.
    Section 302.--Amends definitions.
    Section 303.--Updates and amends provisions pertaining to 
uses of funds; federal share of funds; review and evaluation of 
assistance; applications for technical assistance; and services 
for native Americans with regard to museum services activities.
    Section 304.--Repeals sections 274 and 275 of the Museum 
and Library Services Act.
    Section 305.--Authorizes $35 million for fiscal year 2004 
and such sums as may be necessary for fiscal years 2005 through 
2009 for the Museum Services Act.
    Section 306.--Designates the short title of subtitle C as 
the ``Museum Services Act.''

        TITLE IV--TECHNICAL CORRECTIONS; REPEALS; EFFECTIVE DATE

    Section 401.--Makes technical corrections to the Museum and 
Library Services Act.
    Section 402.--Repeals sections of the National Commission 
on Libraries and Information Science Act and the Museum and 
Library Services Act of 1996 to consolidate museum and library 
advisory board activities within the Institute of Museum and 
Library Services.
    Section 403.--States that the amendments made by this Act 
shall take effect on the date of enactment except that sections 
203, 204, and 305 shall take effect on October 1, 2003.

                       Explanation of Amendments

    The bill was ordered favorably reported without amendment.

              Application of Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1 requires a 
description of the application of this bill to the legislative 
branch. This bill, H.R. 13, the ``Museum and Library Services 
Act of 2002,'' authorizes federal assistance to museums and 
libraries through fiscal year 2008. The bill does not prevent 
legislative branch employees from receiving the benefits of 
this legislation.

                       Unfunded Mandate Statement

    Section 423 of the Congressional Budget and Impoundment 
Control Act (as amended by Section 101(a)(2) of the Unfunded 
Mandates Reform Act, Public Law 104-4) requires a statement of 
whether the provisions of the reported bill include unfunded 
mandates. H.R. 13 authorizes federal assistance to museums and 
libraries. As such, the bill does not contain any unfunded 
mandates.

  Statement of Oversight Findings and Recommendations of the Committee

    In compliance with clause 3(c)(1) of rule XIII and clause 
(2)(b)(1) of rule X of the Rules of the House of 
Representatives, the Committee's oversight findings and 
recommendations are reflected in the body of this report.

   New Budget Authority and Congressional Budget Office Cost Estimate

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the House of Representatives and section 308(a) of the 
Congressional Budget Act of 1974 and with respect to 
requirements of 3(c)(3) of rule XIII of the House of 
Representatives and section 402 of the Congressional Budget Act 
of 1974, the Committee has received the following cost estimate 
for H.R. 13 from the Director of the Congressional Budget 
Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                 Washington, DC, February 24, 2003.
Hon. John A. Boehner,
Chairman, Committee on Education and the Workforce, House of 
        Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 13, the Museum and 
Library Services Act of 2003.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Donna Wong.
            Sincerely,
                                       Douglas Holtz-Eakin,
                                                          Director.
    Enclosure.

H.R. 13--Museum and Library Services Act of 2003

    Summary: H.R. 13 would reauthorize programs under the 
Museum and Library Services Act of 1996 that were authorized 
through 2002. Programs were authorized in 2003 by the 
Consolidated Appropriations Resolution, 2003 (Public Law 108-
10). H.R. 13 would reauthorize these programs through 2009.
    CBO estimates that authorizations under the bill would 
total $245 million in 2004 and about $1.5 billion over the 
2004-2009 period, assuming that annual levels are adjusted to 
keep pace with inflation when specific annual authorizations 
are not provided. CBO estimates that appropriations of the 
authorized levels would result in additional outlays of $1.3 
billion over the 2004-2009 period, if inflation adjustments are 
included (and about $1.2 billion without inflation 
adjustments). Enacting H.R. 13 would not affect direct spending 
or receipts.
    H.R. 13 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would impose no costs on state, local, or tribal 
governments. This bill would benefit states and other 
participating entities by authorizing grant funding for 
updating museum and library services. Any costs incurred by 
states to participate in this program would be voluntary.
    Estimated Cost to the Federal Government: The estimated 
budgetary impact of H.R. 13 is shown in the following table. 
The costs of this legislation fall within budget function 500 
(education, training, employment, and social services). CBO's 
estimate of authorized levels is the authorized amount for 2004 
with those amounts inflated in later years. The estimated 
outlays reflect CBO's current assumptions about spending 
patterns in the authorized programs.

----------------------------------------------------------------------------------------------------------------
                                                                 By fiscal year, in millions of dollars--
                                                         -------------------------------------------------------
                                                           2003    2004    2005    2006    2007    2008    2009
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

Spending Under Current Law:
    Budget Authority \1\................................     244       0       0       0       0       0       0
    Estimated Outlays...................................     231     185      71       0       0       0       0
Proposed Changes:
    Library Services:
        Estimated Authorization Level...................       0     210     214     219     223     228     233
        Estimated Outlays...............................       0      44     142     214     218     223     228
    Museum Services:
        Estimated Authorization Level...................       0      35      36      36      37      38      39
        Estimated Outlays...............................       0      10      35      36      37      37      38
    Total Proposed Changes:
        Estimated Authorization Level...................       0     245     250     255     260     266     272
        Estimated Outlays...............................       0      54     177     250     255     260     266
Total Spending Under H.R. 13:
    Estimated Authorization Level \1\...................     244     245     250     255     260     266     272
    Estimated Outlays...................................     231     239     248     250     255     260     266
----------------------------------------------------------------------------------------------------------------
\1\ The 2003 level is the amount appropriated for that year for the library and museum services programs.

    H.R. 13 would reauthorize programs created under the Museum 
and Library Services Act. Both the library and museum services 
programs would be reauthorized at specific levels for 2004 and 
for such sums as may be necessary for 2005 through 2009.
    H.R. 13 would authorize the appropriation of $245 million 
in 2004. CBO estimates that the bill would authorize total 
funding of $1.5 billion over the 2004-2009 period, assuming 
that ``such sums'' amounts provided after 2004 are adjusted for 
inflation. If the authorized amounts are appropriated, 
estimated outlays would total $54 million in the first year and 
about $1.3 billion over the six-year period. (Without inflation 
adjustments, outlays would total about $1.2 billion over the 
six years.)

Office of Library Services

    The Office of Library Services within the Institute of 
Museum and Library Services provides funding to public 
libraries through state formula grants so that libraries can 
promote wider access to learning and information. Competitive 
grants are also available for libraries that submit innovative 
ideas to improve information access. The program also supports 
collaborative activities between museums and libraries. The 
bill would authorize the library services program at $210 
million in 2004 and such sums as may be necessary for the 2005-
2009 period. CBO estimates the total authorized funding for the 
2004-2009 period would be about $1.3 billion, assuming 
adjustments for inflation, with resulting outlays of about $1.1 
billion over those six years.

Office of Museum Services

    The Office of Museum Services provides competitive grants 
to museums to improve museum programs and operations. The bill 
would reauthorize the current program at $35 million in 2004 
and such sums as may be necessary for each of the following 
five years. For this program, CBO estimates the total 
authorized funding for the 2004-2009 period would be $221 
million, assuming adjustments for inflation, with resulting 
outlays of $194 million over those six years.

National Museum and Library Services Board

    The bill would also add a National Museum and Library 
Services Board within the Institute of Museum and Library 
Services, allow the director to grant national awards to 
libraries and museums that have made significant contributions 
in service to their communities, and instruct the director to 
report on the impact of the museum and library services 
programs. Funding for the board's activities would come out of 
the amounts authorized for the Office of Library Services and 
the Office of Museum Services.
    Intergovernmental and private-sector impact: H.R. 13 
contains no intergovernmental or private-sector mandates as 
defined in UMRA and would impose no costs on state, local, or 
tribal governments. This bill would benefit states and other 
participating entities by authorizing grant funding for 
streamlining and updating museum and library services. Any 
costs incurred by states to participate in this program would 
be voluntary.
    Estimate prepared by: Federal Costs: Donna Wong; Impact on 
State, Local, and Tribal Governments: Gregory Waring; and 
Impact on the Private Sector: Nabeel Alsalam.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

         Statement of General Performance Goals and Objectives

    In accordance with clause (3)(c) of House rule XIII, the 
goal of H.R. 13 is to authorize federal assistance to museums 
and libraries. The Committee expects the Department of 
Education to comply with H.R. 13 and implement the changes to 
the law in accordance with the changes.

                   Constitutional Authority Statement

    Under clause 3(d)(1) of rule XIII of the Rules of the House 
of Representatives, the Committee must include a statement 
citing the specific powers granted to Congress in the 
Constitution to enact the law proposed by H.R. 13. The 
Committee believes that the amendments made by this bill to the 
Museum and Library Services Act are within Congress' authority 
under Article I, section 8, clause 1 of the Constitution.

                           Committee Estimate

    Clauses 3(d)(2) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs that would be incurred in carrying out 
H.R. 13. However, clause 3(d)(3)(B) of that rule provides that 
this requirement does not apply when the Committee has included 
in its report a timely submitted cost estimate of the bill 
prepared by the Director of the Congressional Budget Office 
under section 402 of the Congressional Budget Act.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

                    MUSEUM AND LIBRARY SERVICES ACT


                 [TITLE II--MUSEUM AND LIBRARY SERVICES


                    [Subtitle A--General Provisions]

                 TITLE II--MUSEUM AND LIBRARY SERVICES

                     Subtitle A--General Provisions

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Museum and Library 
Services Act''.

SEC. 202. GENERAL DEFINITIONS.

    As used in this title:
          [(1) Commission.--The term ``Commission'' means the 
        National Commission on Libraries and Information 
        Science established under section 3 of the National 
        Commission on Libraries and Information Sciences Act 
        (20 U.S.C. 1502).]
          (1) Determined to be obscene.--The term ``determined 
        to be obscene'' means determined, in a final judgment 
        of a court of record and of competent jurisdiction in 
        the United States, to be obscene.

           *       *       *       *       *       *       *

          (3) Final judgment.--The term ``final judgment'' 
        means a judgment that is--
                  (A) not reviewed by any other court that has 
                authority to review such judgment; or
                  (B) is not reviewable by any other court.
          (4) Indian tribe.--The term ``Indian tribe'' means 
        any tribe, band, nation, or other organized group or 
        community, including any Alaska native village, 
        regional corporation, or village corporation (as 
        defined in, or established pursuant to, the Alaska 
        Native Claims Settlement Act (43 U.S.C. 1601 et seq.)), 
        which is recognized by the Secretary of the Interior as 
        eligible for the special programs and services provided 
        by the United States to Indians because of their status 
        as Indians.
          [(4) Museum board.--The term ``Museum Board'' means 
        the National Museum Services Board established under 
        section 275.]
          [(3)] (5) Institute.--The term ``Institute'' means 
        the Institute of Museum and Library Services 
        established under section 203.
          (6) Museum and library services board.--The term 
        ``Museum and Library Services Board'' means the 
        National Museum and Library Services Board established 
        under section 207.
          (7) Obscene.--The term ``obscene'' means, with 
        respect to a project, that--
                  (A) the average person, applying contemporary 
                community standards, would find that such 
                project, when taken as a whole, appeals to the 
                prurient interest;
                  (B) such project depicts or describes sexual 
                conduct in a patently offensive way; and
                  (C) such project, when taken as a whole, 
                lacks serious literary, artistic, political, or 
                scientific value.

SEC. 203. INSTITUTE OF MUSEUM AND LIBRARY SERVICES.

    (a) * * *
    (b) Offices.--The Institute shall consist of an Office of 
Museum Services and an Office of Library Services. [There shall 
be a National Museum Services Board in the Office of Museum 
Services.]
  (c) Museum and Library Services Board.--There shall be a 
National Museum and Library Services Board within the 
Institute, as provided under section 207.

SEC. 204. DIRECTOR OF THE INSTITUTE.

    (a) * * *

           *       *       *       *       *       *       *

    (e) Coordination.--The  Director  shall ensure  
coordination  of  the  policies  and activities of  the  
Institute  with  the  policies  and activities of  other  
agencies  and  offices  of  the Federal Government having 
interest in and responsibilities for the improvement of museums 
and libraries and information services. Where appropriate, the 
Director shall ensure that activities under subtitle B are 
coordinated with activities under section 1251 of the 
Elementary and Secondary Education Act of 1965 (20 U.S.C. 
6383).
  (f) Regulatory Authority.--The Director may promulgate such 
rules and regulations as are necessary and appropriate to 
implement the provisions of this title.
  (g) Application Procedures.--
          (1) In general.--In order to be eligible to receive 
        financial assistance under this title, a person or 
        agency shall submit an application in accordance with 
        procedures established by the Director by regulation.
          (2) Review and evaluation.--The Director shall 
        establish procedures for reviewing and evaluating such 
        applications. Such procedures shall not be subject to 
        any review outside of the Institute. In establishing 
        such procedures, the Director shall ensure that the 
        criteria by which applications are evaluated are 
        consistent with the purposes of this title, taking into 
        consideration general standards of decency and respect 
        for the diverse beliefs and values of the American 
        public.
          (3) Treatment of projects determined to be obscene.--
                  (A) In general.--The procedures described in 
                paragraph (2) shall include provisions that 
                clearly specify that obscenity is without 
                literary, artistic, political, or scientific 
                merit, and is not protected speech.
                  (B) Prohibition.--No financial assistance may 
                be provided under this title with respect to 
                any project that is determined to be obscene.
                  (C) Treatment of application disapproval.--
                The disapproval of an application by the 
                Director shall not be construed to mean, and 
                shall not be considered as evidence that, the 
                project for which the applicant requested 
                financial assistance is or is not obscene.

           *       *       *       *       *       *       *


SEC. 207. NATIONAL MUSEUM AND LIBRARY SERVICES BOARD.

  (a) Establishment.--There is established in the Institute a 
board to be known as the ``National Museum and Library Services 
Board''.
  (b) Membership.--
          (1) Number and appointment.--The Museum and Library 
        Services Board shall be composed of the following:
                  (A) The Director.
                  (B) The Deputy Director for the Office of 
                Library Services.
                  (C) The Deputy Director for the Office of 
                Museum Services.
                  (D) 10 members appointed by the President, by 
                and with the advice and consent of the Senate, 
                from among individuals who are citizens of the 
                United States and who are specially qualified 
                in the area of library services by virtue of 
                their education, training, or experience.
                  (E) 10 members appointed by the President, by 
                and with the advice and consent of the Senate, 
                from among individuals who are citizens of the 
                United States and who are specially qualified 
                in the area of museum services by virtue of 
                their education, training, or experience.
          (2) Special qualifications.--
                  (A) Library members.--Of the members of the 
                Museum and Library Services Board appointed 
                under paragraph (1)(D)--
                          (i) 5 shall be professional 
                        librarians or information specialists, 
                        of whom--
                                  (I) at least 1 shall be 
                                knowledgeable about electronic 
                                information and technical 
                                aspects of library and 
                                information services and 
                                sciences; and
                                  (II) and at least 1 other 
                                shall be knowledgeable about 
                                the library and information 
                                service needs of underserved 
                                communities; and
                          (ii) the remainder shall have special 
                        competence in, or knowledge of, the 
                        needs for library and information 
                        services in the United States.
                  (B) Museum members.--Of the members of the 
                Museum and Library Services Board appointed 
                under paragraph (1)(E)--
                          (i) 5 shall be museum professionals 
                        who are or have been affiliated with--
                                  (I) resources that, 
                                collectively, are broadly 
                                representative of the 
                                curatorial, conservation, 
                                educational, and cultural 
                                resources of the United States; 
                                or
                                  (II) museums that, 
                                collectively, are broadly 
                                representative of various types 
                                of museums, including museums 
                                relating to science, history, 
                                technology, art, zoos, 
                                botanical gardens, and museums 
                                designed for children; and
                          (ii) the remainder shall be 
                        individuals recognized for their broad 
                        knowledge, expertise, or experience in 
                        museums or commitment to museums.
          (3) Geographic and other representation.--Members of 
        the Museum and Library Services Board shall be 
        appointed to reflect persons from various geographic 
        regions of the United States. The Museum and Library 
        Services Board may not include, at any time, more than 
        3 appointive members from a single State. In making 
        such appointments, the President shall give due regard 
        to equitable representation of women, minorities, and 
        persons with disabilities who are involved with museums 
        and libraries.
          (4) Voting.--The Director, the Deputy Director of the 
        Office of Library Services, and the Deputy Director of 
        the Office of Museum Services shall be nonvoting 
        members of the Museum and Library Services Board.
  (c) Terms.--
          (1) In general.--Except as otherwise provided in this 
        subsection, each member of the Museum and Library 
        Services Board appointed under subparagraph (D) or (E) 
        of subsection (b)(1) shall serve for a term of 5 years.
          (2) Initial board appointments.--
                  (A) Treatment of members serving on effective 
                date.--Notwithstanding subsection (b), each 
                individual who is a member of the National 
                Museum Services Board on the date of the 
                enactment of the Museum and Library Services 
                Act of 2003, may, at the individual's election, 
                complete the balance of the individual's term 
                as a member of the Museum and Library Services 
                Board.
                  (B) First appointments.--Notwithstanding 
                subsection (b), any appointive vacancy in the 
                initial membership of the Museum and Library 
                Services Board existing after the application 
                of subparagraph (A), and any vacancy in such 
                membership subsequently created by reason of 
                the expiration of the term of an individual 
                described in subparagraph (A), shall be filled 
                by the appointment of a member described in 
                subsection (b)(1)(D). When the Museum and 
                Library Services Board consists of an equal 
                number of individuals who are specially 
                qualified in the area of library services and 
                individuals who are specially qualified in the 
                area of museum services, this subparagraph 
                shall cease to be effective and the board shall 
                be appointed in accordance with subsection (b).
                  (C) Authority to adjust terms.--The terms of 
                the first members appointed to the Museum and 
                Library Service Board shall be adjusted by the 
                President as necessary to ensure that the terms 
                of not more than 4 members expire in the same 
                year. Such adjustments shall be carried out 
                through designation of the adjusted term at the 
                time of appointment.
          (3) Vacancies.--Any member appointed to fill a 
        vacancy shall serve for the remainder of the term for 
        which the predecessor of the member was appointed.
          (4) Reappointment.--No appointive member of the 
        Museum and Library Services Board who has been a member 
        for more than 7 consecutive years shall be eligible for 
        reappointment.
          (5) Service until successor takes office.--
        Notwithstanding any other provision of this subsection, 
        an appointive member of the Museum and Library Services 
        Board shall serve after the expiration of the term of 
        the member until the successor to the member takes 
        office.
  (d) Duties and Powers.--
          (1) In general.--The Museum and Library Services 
        Board shall advise the Director on general policies 
        with respect to the duties, powers, and authority of 
        the Institute relating to museum and library services, 
        including financial assistance awarded under this 
        title.
          (2) National awards.--The Museum and Library Services 
        Board shall assist the Director in making awards under 
        section 209.
  (e) Chairperson.--The Director shall serve as Chairperson of 
the Museum and Library Services Board.
  (f) Meetings.--
          (1) In general.--The Museum and Library Services 
        Board shall meet not less than 2 times each year and at 
        the call of the Director.
          (2) Vote.--All decisions by the Museum and Library 
        Services Board with respect to the exercise of its 
        duties and powers shall be made by a majority vote of 
        the members of the Board who are present and authorized 
        to vote.
  (g) Quorum.--A majority of the voting members of the Museum 
and Library Services Board shall constitute a quorum for the 
conduct of business at official meetings, but a lesser number 
of members may hold hearings.
  (h) Compensation and Travel Expenses.--
          (1) Compensation.--Each member of the Museum and 
        Library Services Board who is not an officer or 
        employee of the Federal Government may be compensated 
        at a rate to be fixed by the President, but not to 
        exceed the daily equivalent of the maximum annual rate 
        of pay authorized for a position above grade GS-15 of 
        the General Schedule under section 5108 of title 5, 
        United States Code, for each day (including travel 
        time) during which such member is engaged in the 
        performance of the duties of the Museum and Library 
        Services Board. Members of the Museum and Libraries 
        Services Board who are full-time officers or employees 
        of the Federal Government may not receive additional 
        pay, allowances, or benefits by reason of their service 
        on the Board.
          (2) Travel expenses.--Each member of the Museum and 
        Library Services Board shall receive travel expenses, 
        including per diem in lieu of subsistence, in 
        accordance with applicable provisions under subchapter 
        I of chapter 57 of title 5, United States Code.
  (i) Coordination.--The Director, with the advice of the 
Museum and Library Services Board, shall take steps to ensure 
that the policies and activities of the Institute are 
coordinated with other activities of the Federal Government.

SEC. [207.] 208. CONTRIBUTIONS.

    The Institute is authorized to solicit, accept, receive, 
and invest in the name of the United States, gifts, bequests, 
or devises of money and other property or services and to use 
such property [of] or services in furtherance of the functions 
of the Institute. Any proceeds from such gifts, bequests, or 
devises, after acceptance by the Institute, shall be paid by 
the donor or the representative of the donor to the Director. 
The Director shall enter the proceeds in a special-interest 
bearing account to the credit of the Institute for the purposes 
specified in each case.

SEC. 209. AWARDS.

  The Director, with the advice of the Museum and Library 
Services Board, may annually award National Awards for Library 
Service and National Awards for Museum Service to outstanding 
libraries and outstanding museums, respectively, that have made 
significant contributions in service to their communities.

SEC. 210. ANALYSIS OF IMPACT OF MUSEUM AND LIBRARY SERVICES.

  From amounts described in sections 214(c) and 275(b), the 
Director shall carry out and publish analyses of the impact of 
museum and library services. Such analyses--
          (1) shall be conducted in ongoing consultation with--
                  (A) State library administrative agencies;
                  (B) State, regional, and national library and 
                museum organizations; and
                  (C) other relevant agencies and 
                organizations;
          (2) shall identify national needs for, and trends of, 
        museum and library services provided with funds made 
        available under subtitles B and C;
          (3) shall report on the impact and effectiveness of 
        programs conducted with funds made available by the 
        Institute in addressing such needs; and
          (4) shall identify, and disseminate information on, 
        the best practices of such programs to the agencies and 
        entities described in paragraph (1).

           *       *       *       *       *       *       *


                      [Subtitle C--Museum Services


[SEC. 271. PURPOSE.

    [It is the purpose of this subtitle--
          [(1) to encourage and assist museums in their 
        educational role, in conjunction with formal systems of 
        elementary, secondary, and postsecondary education and 
        with programs of nonformal education for all age 
        groups;
          [(2) to assist museums in modernizing their methods 
        and facilities so that the museums are better able to 
        conserve the cultural, historic, and scientific 
        heritage of the United States; and
          [(3) to ease the financial burden borne by museums as 
        a result of their increasing use by the public.]

                      Subtitle C--Museum Services

SEC. 271. SHORT TITLE.

  This subtitle may be cited as the ``Museum Services Act''.

SEC. 272. PURPOSE.

  It is the purpose of this subtitle--
          (1) to encourage and support museums in carrying out 
        their public service role of connecting the whole of 
        society to the cultural, artistic, historical, natural, 
        and scientific understandings that constitute our 
        heritage;
          (2) to encourage and support museums in carrying out 
        their educational role, as core providers of learning 
        and in conjunction with schools, families, and 
        communities;
          (3) to encourage leadership, innovation, and 
        applications of the most current technologies and 
        practices to enhance museum services;
          (4) to assist, encourage, and support museums in 
        carrying out their stewardship responsibilities to 
        achieve the highest standards in conservation and care 
        of the cultural, historic, natural, and scientific 
        heritage of the United States to benefit future 
        generations;
          (5) to assist, encourage, and support museums in 
        achieving the highest standards of management and 
        service to the public, and to ease the financial burden 
        borne by museums as a result of their increasing use by 
        the public; and
          (6) to support resource sharing and partnerships 
        among museums, libraries, schools, and other community 
        organizations.

SEC. [272.] 273. DEFINITIONS.

    As used in this subtitle:
          (1) Museum.--The term ``museum'' means a public or 
        private nonprofit agency or institution organized on a 
        permanent basis for essentially educational or 
        aesthetic purposes, that utilizes a professional staff, 
        owns or utilizes tangible objects, cares for the 
        tangible objects, and exhibits the tangible objects to 
        the public on a regular basis. Such term includes 
        aquariums, arboretums, botanical gardens, art museums, 
        children's museums, general museums, historic houses 
        and sites, history museums, nature centers, natural 
        history and anthropology museums, planetariums, science 
        and technology centers, specialized museums, and 
        zoological parks.

           *       *       *       *       *       *       *


[SEC. 273. MUSEUM SERVICES ACTIVITIES.

    [(a) Grants.--The Director, subject to the policy direction 
of the Museum Board, may make grants to museums to pay for the 
Federal share of the cost of increasing and improving museum 
services, through such activities as--
          [(1) programs that enable museums to construct or 
        install displays, interpretations, and exhibitions in 
        order to improve museum services provided to the 
        public;
          [(2) assisting museums in developing and maintaining 
        professionally trained or otherwise experienced staff 
        to meet the needs of the museums;
          [(3) assisting museums in meeting the administrative 
        costs of preserving and maintaining the collections of 
        the museums, exhibiting the collections to the public, 
        and providing educational programs to the public 
        through the use of the collections;
          [(4) assisting museums in cooperating with each other 
        in developing traveling exhibitions, meeting 
        transportation costs, and identifying and locating 
        collections available for loan;
          [(5) assisting museums in the conservation of their 
        collections;
          [(6) developing and carrying out specialized programs 
        for specific segments of the public, such as programs 
        for urban neighborhoods, rural areas, Indian 
        reservations, and penal and other State institutions; 
        and
          [(7) model programs demonstrating cooperative efforts 
        between libraries and museums.
    [(b) Contracts and Cooperative Agreements.--
          [(1) Projects to strengthen museum services.--The 
        Director, subject to the policy direction of the Museum 
        Board, is authorized to enter into contracts and 
        cooperative agreements with appropriate entities, as 
        determined by the Director, to pay for the Federal 
        share of enabling the entities to undertake projects 
        designed to strengthen museum services, except that any 
        contracts or cooperative agreements entered into 
        pursuant to this subsection shall be effective only to 
        such extent or in such amounts as are provided in 
        appropriations Acts.
          [(2) Limitation on amount.--The aggregate amount of 
        financial assistance made available under this 
        subsection for a fiscal year shall not exceed 15 
        percent of the amount appropriated under this subtitle 
        for such fiscal year.
          [(3) Operational expenses.--No financial assistance 
        may be provided under this subsection to pay for 
        operational expenses.
    [(c) Federal Share.--
          [(1) 50 percent.--Except as provided in paragraph 
        (2), the Federal share described in subsection (a) and 
        (b) shall be not more than 50 percent.
          [(2) Greater than 50 percent.--The Director may use 
        not more than 20 percent of the funds made available 
        under this subtitle for a fiscal year to make grants 
        under subsection (a), or enter into contracts or 
        agreements under subsection (b), for which the Federal 
        share may be greater than 50 percent.
    [(d) Review and Evaluation.--The Director shall establish 
procedures for reviewing and evaluating grants, contracts, and 
cooperative agreements made or entered into under this 
subtitle. Procedures for reviewing grant applications or 
contracts and cooperative agreements for financial assistance 
under this subtitle shall not be subject to any review outside 
of the Institute.

[SEC. 274. AWARD.

    [The Director, with the advice of the Museum Board, may 
annually award a National Award for Museum Service to 
outstanding museums that have made significant contributions in 
service to their communities.

[SEC. 275. NATIONAL MUSEUM SERVICES BOARD.

    [(a) Establishment.--There is established in the Institute 
a National Museum Services Board.
    [(b) Composition and Qualifications.--
          [(1) Composition.--The Museum Board shall consist of 
        the Director and 14 members appointed by the President, 
        by and with the advice and consent of the Senate.
          [(2) Qualifications.--The appointive members of the 
        Museum Board shall be selected from among citizens of 
        the United States--
                  [(A) who are members of the general public;
                  [(B) who are or have been affiliated with--
                          [(i) resources that, collectively, 
                        are broadly representative of the 
                        curatorial, conservation, educational, 
                        and cultural resources of the United 
                        States; or
                          [(ii) museums that, collectively, are 
                        broadly representative of various types 
                        of museums, including museums relating 
                        to science, history, technology, art, 
                        zoos, and botanical gardens; and
                  [(C) who are recognized for their broad 
                knowledge, expertise, or experience in museums 
                or commitment to museums.
          [(3) Geographic and other representation.--Members of 
        the Museum Board shall be appointed to reflect persons 
        from various geographic regions of the United States. 
        The Museum Board may not include, at any time, more 
        than 3 members from a single State. In making such 
        appointments, the President shall give due regard to 
        equitable representation of women, minorities, and 
        persons with disabilities who are involved with 
        museums.
    [(c) Terms.--
          [(1) In general.--Each appointive member of the 
        Museum Board shall serve for a term of 5 years, except 
        that--
                  [(A) of the members first appointed, 3 shall 
                serve for terms of 5 years, 3 shall serve for 
                terms of 4 years, 3 shall serve for terms of 3 
                years, 3 shall serve for terms of 2 years, and 
                2 shall serve for terms of 1 year, as 
                designated by the President at the time of 
                nomination for appointment; and
                  [(B) any member appointed to fill a vacancy 
                shall serve for the remainder of the term for 
                which the predecessor of the member was 
                appointed.
          [(2) Reappointement.--No member of the Museum Board 
        who has been a member for more than 7 consecutive years 
        shall be eligible for reappointment.
          [(3) Service until successor takes office.--
        Notwithstanding any other provision of this subsection, 
        a member of the Museum Board shall serve after the 
        expiration of the term of the member until the 
        successor to the member takes office.
    [(d) Duties and Powers.--The Museum Board shall have the 
responsibility to advise the Director on general policies with 
respect to the duties, powers, and authority of the Institute 
relating to museum services, including general policies with 
respect to--
          [(1) financial assistance awarded under this subtitle 
        for museum services; and
          [(2) projects described in section 262(a)(4).
    [(e) Chairperson.--The President shall designate 1 of the 
appointive members of the Museum Board as Chairperson of the 
Museum Board.
    [(f) Meetings.--
          [(1) In general.--The Museum Board shall meet--
                  [(A) not less than 3 times each year, 
                including--
                          [(i) not less than 2 times each year 
                        separately; and
                          [(ii) not less than 1 time each year 
                        in a joint meeting with the Commission, 
                        convened for purposes of making general 
                        policies with respect to financial 
                        assistance for projects described in 
                        section 262(a)(4); and
                  [(B) at the call of the Director.
          [(2) Vote.--All decisions by the Museum Board with 
        respect to the exercise of the duties and powers of the 
        Museum Board shall be made by a majority vote of the 
        members of the Museum Board who are present. All 
        decisions by the Commission and the Museum Board with 
        respect to the policies described in paragraph 
        (1)(A)(ii) shall be made by a \2/3\ majority vote of 
        the total number of the members of the Commission and 
        the Museum Board who are present.
    [(g) Quorum.--A majority of the members of the Museum Board 
shall constitute a quorum for the conduct of business at 
official meetings of the Museum Board, but a lesser number of 
members may hold hearings. A majority of the members of the 
Commission and a majority of the members of the Museum Board 
shall constitute a quorum for the conduct of business at 
official joint meetings of the Commission and the Museum Board.
    [(h) Compensation and Travel Expenses.--
          [(1) Compensation.--Each member of the Museum Board 
        who is not an officer or employee of the Federal 
        Government may be compensated at a rate to be fixed by 
        the President, but not to exceed the daily equivalent 
        of the maximum rate authorized for a position above 
        grade GS-15 of the General Schedule under section 5108 
        of title 5, United States Code, for each day (including 
        travel time) during which such member is engaged in the 
        performance of the duties of the Museum Board. All 
        members of the Museum Board who are officers or 
        employees of the Federal Government shall serve without 
        compensation in addition to compensation received for 
        their services as officers or employees of the Federal 
        Government.
          [(2) Travel expenses.--The members of the Museum 
        Board may be allowed travel expenses, including per 
        diem in lieu of subsistence, in the same amounts and to 
        the same extent, as authorized under section 5703 of 
        title 5, United States Code, for persons employed 
        intermittently in Federal Government service.
    [(i) Coordination.--The Museum Board, with the advice of 
the Director, shall take steps to ensure that the policies and 
activities of the Institute are coordinated with other 
activities of the Federal Government.]

SEC. 274. MUSEUM SERVICES ACTIVITIES.

  (a) In General.--The Director, subject to the policy advice 
of the Museum and Library Services Board, may enter into 
arrangements, including grants, contracts, cooperative 
agreements, and other forms of assistance to museums and other 
entities as the Director considers appropriate, to pay for the 
Federal share of the cost--
          (1) to support museums in providing learning and 
        access to collections, information, and educational 
        resources in a variety of formats (including 
        exhibitions, programs, publications, and websites) for 
        individuals of all ages;
          (2) to support museums in building learning 
        partnerships with the Nation's schools and developing 
        museum resources and programs in support of State and 
        local school curricula;
          (3) to support museums in assessing, conserving, 
        researching, maintaining, and exhibiting their 
        collections, and in providing educational programs to 
        the public through the use of their collections;
          (4) to stimulate greater collaboration among museums, 
        libraries, schools, and other community organizations 
        in order to share resources and strengthen communities;
          (5) to encourage the use of new technologies and 
        broadcast media to enhance access to museum 
        collections, programs, and services;
          (6) to support museums in providing services to 
        people of diverse geographic, cultural, and 
        socioeconomic backgrounds and to individuals with 
        disabilities;
          (7) to support museums in developing and carrying out 
        specialized programs for specific segments of the 
        public, such as programs for urban neighborhoods, rural 
        areas, Indian reservations, and State institutions;
          (8) to support professional development and technical 
        assistance programs to enhance museum operations at all 
        levels, in order to ensure the highest standards in all 
        aspects of museum operations;
          (9) to support museums in research, program 
        evaluation, and the collection and dissemination of 
        information to museum professionals and the public; and
          (10) to encourage, support, and disseminate model 
        programs of museum and library collaboration.
  (b) Federal Share.--
          (1) 50 percent.--Except as provided in paragraph (2), 
        the Federal share described in subsection (a) shall be 
        not more than 50 percent.
          (2) Greater than 50 percent.--The Director may use 
        not more than 20 percent of the funds made available 
        under this subtitle for a fiscal year to enter into 
        arrangements under subsection (a) for which the Federal 
        share may be greater than 50 percent.
          (3) Operational expenses.--No funds for operational 
        expenses may be provided under this section to any 
        entity that is not a museum.
  (c) Review and Evaluation.--
          (1) In general.--The Director shall establish 
        procedures for reviewing and evaluating arrangements 
        described in subsection (a) entered into under this 
        subtitle.
          (2) Applications for technical assistance.--
                  (A) In general.--The Director may use up to 
                10 percent of the funds appropriated to carry 
                out this subtitle for technical assistance 
                awards.
                  (B) Individual museums.--Individual museums 
                may receive not more than 3 technical 
                assistance awards under subparagraph (A), but 
                subsequent awards for technical assistance 
                shall be subject to review outside the 
                Institute.
  (d) Services for Native Americans.--From amounts appropriated 
under section 275, the Director shall reserve 1.75 percent to 
award grants to, or enter into contracts or cooperative 
agreements with, Indian tribes and organizations that primarily 
serve and represent Native Hawaiians (as defined in section 
7207 of the Native Hawaiian Education Act (20 U.S.C. 7517)), to 
enable such tribes and organizations to carry out the 
activities described in subsection (a).

SEC. [276.] 275. AUTHORIZATION OF APPROPRIATIONS.

    (a) Grants.--For the purpose of carrying out this subtitle, 
there are authorized to be appropriated to the Director 
[$28,700,000 for the fiscal year 1997, and such sums as may be 
necessary for each of the fiscal years 1998 through 2002.] 
$35,000,000 for fiscal year 2004 and such sums as may be 
necessary for fiscal years 2005 through 2009.

           *       *       *       *       *       *       *

                              ----------                              


                  LIBRARY SERVICES AND TECHNOLOGY ACT

             [Subtitle B--Library Services and Technology]

Subtitle B--Library Services and Technology

           *       *       *       *       *       *       *


SEC. 212. PURPOSE.

    It is the purpose of this subtitle--
          (1) to consolidate Federal library service programs;
          [(2) to stimulate excellence and promote access to 
        learning and information resources in all types of 
        libraries for individuals of all ages;
          [(3) to promote library services that provide all 
        users access to information through State, regional, 
        national and international electronic networks;
          [(4) to provide linkages among and between libraries; 
        and
          [(5) to promote targeted library services to people 
        of diverse geographic, cultural, and socioeconomic 
        backgrounds, to individuals with disabilities, and to 
        people with limited functional literacy or information 
        skills.]
          (2) to promote improvement in library services in all 
        types of libraries in order to better serve the people 
        of the United States;
          (3) to facilitate access to resources in all types of 
        libraries for the purpose of cultivating an educated 
        and informed citizenry; and
          (4) to encourage resource sharing among all types of 
        libraries for the purpose of achieving economical and 
        efficient delivery of library services to the public.

SEC. 213. DEFINITIONS.

    As used in this subtitle:
          [(1) Indian tribe.--The term ``Indian tribe'' means 
        any tribe, band, nation, or other organized group or 
        community, including any Alaska native village, 
        regional corporation, or village corporation, as 
        defined in or established pursuant to the Alaska Native 
        Claims Settlement Act (43 U.S.C. 1601 et seq.), which 
        is recognized by the Secretary of the Interior as 
        eligible for the special programs and services provided 
        by the United States to Indians because of their status 
        as Indians.]
          [(2)] (1) Library.--The term ``library'' includes--
                  (A) * * *

           *       *       *       *       *       *       *

          [(3)] (2) Library consortium.--The term ``library 
        consortium'' means any local, statewide, regional, 
        interstate, or international cooperative association of 
        library entities which provides for the systematic and 
        effective coordination of the resources of school, 
        public, academic, and special libraries and information 
        centers, for improved services for the clientele of 
        such library entities.
          [(4)] (3) State.--The term ``State'', unless 
        otherwise specified, includes each of the 50 States of 
        the United States, the District of Columbia, the 
        Commonwealth of Puerto Rico, the United States Virgin 
        Islands, Guam, American Samoa, the Commonwealth of the 
        Northern Mariana Islands, the Republic of the Marshall 
        Islands, the Federated States of Micronesia, and the 
        Republic of Palau.
          [(5)] (4) State library administrative agency.--The 
        term ``State library administrative agency'' means the 
        official agency of a State charged by the law of the 
        State with the extension and development of public 
        library services throughout the State.
          [(6)] (5) State plan.--The term ``State plan'' means 
        the document which gives assurances that the officially 
        designated State library administrative agency has the 
        fiscal and legal authority and capability to administer 
        all aspects of this subtitle, provides assurances for 
        establishing the State's policies, priorities, 
        criteria, and procedures necessary to the 
        implementation of all programs under this subtitle, 
        submits copies for approval as required by regulations 
        promulgated by the Director, identifies a State's 
        library needs, and sets forth the activities to be 
        taken toward meeting the identified needs supported 
        with the assistance of Federal funds made available 
        under this subtitle.

SEC. 214. AUTHORIZATION OF APPROPRIATIONS.

    [(a) Authorization of Appropriations.--
          [(1) In general.--There are authorized to be 
        appropriated $150,000,000 for fiscal year 1997 and such 
        sums as may be necessary for each of the fiscal years 
        1998 through 2002 to carry out this subtitle.
          [(2) Transfer.--The Secretary of Education shall--
                  [(A) transfer promptly to the Director any 
                funds appropriated under the authority of 
                paragraph (1), to enable the Director to carry 
                out this subtitle; and
                  [(B) not exercise any authority concerning 
                the administration of this title other than the 
                transfer described in subparagraph (A).]
  (a) In General.--There are authorized to be appropriated to 
carry out this subtitle $210,000,000 for fiscal year 2004 and 
such sums as may be necessary for fiscal years 2005 through 
2009.

           *       *       *       *       *       *       *

    (c) Administration.--Not more than [3] 3.5 percent of the 
funds appropriated under this section for a fiscal year may be 
used to pay for the Federal administrative costs of carrying 
out this subtitle.

                 CHAPTER 1--BASIC PROGRAM REQUIREMENTS

SEC. 221. RESERVATIONS AND ALLOTMENTS.

    (a) * * *
    (b) Allotments.--
          (1) * * *

           *       *       *       *       *       *       *

          [(3) Minimum allotment.--
                  [(A) In general.--For the purposes of this 
                subsection, the minimum allotment for each 
                State shall be $340,000, except that the 
                minimum allotment shall be $40,000 in the case 
                of the United States Virgin Islands, Guam, 
                American Samoa, the Commonwealth of the 
                Northern Mariana Islands, the Republic of the 
                Marshall Islands, the Federated States of 
                Micronesia, and the Republic of Palau.
                  [(B) Ratable reductions.--If the sum 
                appropriated under the authority of section 214 
                and not reserved under subsection (a) for any 
                fiscal year is insufficient to fully satisfy 
                the aggregate of the minimum allotments for all 
                States for that purpose for such year, each of 
                such minimum allotments shall be reduced 
                ratably.
                  [(C) Special rule.--
                          [(i) In general.--Notwithstanding any 
                        other provision of this subsection and 
                        using funds allotted for the Republic 
                        of the Marshall Islands, the Republic 
                        of the Marshall Islands, the Federated 
                        States of Micronesia, and the Republic 
                        of Palau under this subsection, the 
                        Director shall award grants to Guam, 
                        American Samoa, the Commonwealth of the 
                        Northern Mariana Islands, the Republic 
                        of the Marshall Islands, the Federated 
                        States of Micronesia, or the Republic 
                        of Palau to carry out activities 
                        described in this subtitle in 
                        accordance with the provisions of this 
                        subtitle that the Director determines 
                        are not inconsistent with this 
                        subparagraph.
                          [(ii) Award basis.--The Director 
                        shall award grants pursuant to clause 
                        (i) on a competitive basis and pursuant 
                        to recommendations from the Pacific 
                        Region Educational Laboratory in 
                        Honolulu, Hawaii.
                          [(iii) Termination of eligibility.--
                        Notwithstanding any other provision of 
                        law, the Republic of the Marshall 
                        Islands, the Federated States of 
                        Micronesia, and the Republic of Palau 
                        shall not receive any funds under this 
                        subtitle for any fiscal year that 
                        begins after September 30, 2001.
                          [(iv) Administrative costs.--The 
                        Director may provide not more than 5 
                        percent of the funds made available for 
                        grants under this subparagraph to pay 
                        the administrative costs of the Pacific 
                        Region Educational Laboratory regarding 
                        activities assisted under this 
                        subparagraph.]
          (3) Minimum allotments.--
                  (A) In general.--For purposes of this 
                subsection, the minimum allotment for each 
                State shall be $340,000, except that the 
                minimum allotment shall be $40,000 in the case 
                of the United States Virgin Islands, Guam, 
                American Samoa, the Commonwealth of the 
                Northern Mariana Islands, the Republic of the 
                Marshall Islands, the Federated States of 
                Micronesia, and the Republic of Palau.
                  (B) Ratable reductions.--Notwithstanding 
                subparagraph (A), if the sum appropriated under 
                the authority of section 214 and not reserved 
                under subsection (a) for any fiscal year is 
                insufficient to fully satisfy the requirement 
                of subparagraph (A), each of the minimum 
                allotments under such subparagraph shall be 
                reduced ratably.
                  (C) Exception.--
                          (i) In general.--Notwithstanding 
                        subparagraph (A), if the sum 
                        appropriated under the authority of 
                        section 214 and not reserved under 
                        subsection (a) for any fiscal year 
                        exceeds the aggregate of the allotments 
                        for all States under this subsection 
                        for fiscal year 2003--
                                  (I) the minimum allotment for 
                                each State otherwise receiving 
                                a minimum allotment of $340,000 
                                under subparagraph (A) shall be 
                                increased to $680,000; and
                                  (II) the minimum allotment 
                                for each State otherwise 
                                receiving a minimum allotment 
                                of $40,000 under subparagraph 
                                (A) shall be increased to 
                                $60,000.
                          (ii) Insufficient funds to award 
                        alternative minimum.--If the sum 
                        appropriated under the authority of 
                        section 214 and not reserved under 
                        subsection (a) for any fiscal year 
                        exceeds the aggregate of the allotments 
                        for all States under this subsection 
                        for fiscal year 2003 yet is 
                        insufficient to fully satisfy the 
                        requirement of clause (i), such excess 
                        amount shall first be allotted among 
                        the States described in clause (i)(I) 
                        so as to increase equally the minimum 
                        allotment for each such State above 
                        $340,000. After the requirement of 
                        clause (i)(I) is fully satisfied for 
                        any fiscal year, any remainder of such 
                        excess amount shall be allotted among 
                        the States described in clause (i)(II) 
                        so as to increase equally the minimum 
                        allotment for each such State above 
                        $40,000.
                  (D) Special rule.--
                          (i) In general.--Notwithstanding any 
                        other provision of this subsection and 
                        using funds allotted for the Republic 
                        of the Marshall Islands, the Federated 
                        States of Micronesia, and the Republic 
                        of Palau under this subsection, the 
                        Director shall award grants to the 
                        United States Virgin Islands, Guam, 
                        American Samoa, the Commonwealth of the 
                        Northern Mariana Islands, the Republic 
                        of the Marshall Islands, the Federated 
                        States of Micronesia, or the Republic 
                        of Palau to carry out activities 
                        described in this subtitle in 
                        accordance with the provisions of this 
                        subtitle that the Director determines 
                        are not inconsistent with this 
                        subparagraph.
                          (ii) Award basis.--The Director shall 
                        award grants pursuant to clause (i) on 
                        a competitive basis and pursuant to 
                        recommendations from the Pacific Region 
                        Educational Laboratory in Honolulu, 
                        Hawaii.
                          (iii) Administrative costs.--The 
                        Director may provide not more than 5 
                        percent of the funds made available for 
                        grants under this subparagraph to pay 
                        the administrative costs of the Pacific 
                        Region Educational Laboratory regarding 
                        activities assisted under this 
                        subparagraph.

           *       *       *       *       *       *       *


SEC. 224. STATE PLANS.

    (a) State Plan Required.--
          (1) In general.--In order to be eligible to receive a 
        grant under this subtitle, a State library 
        administrative agency shall submit a State plan to the 
        Director [not later than April 1, 1997.] once every 5 
        years, as determined by the Director.

           *       *       *       *       *       *       *

    (b) Contents.--The State plan shall--
          (1) * * *

           *       *       *       *       *       *       *

          (5) describe the procedures that such agency will use 
        to involve libraries and library users throughout the 
        State in policy decisions regarding implementation of 
        this subtitle; [and]

           *       *       *       *       *       *       *

  (f ) Internet Safety.--
          (1) In general.--No funds made available under this 
        [Act] subtitle for a library described in section 
        213(2)(A) or (B) that does not receive services at 
        discount rates under section 254(h)(6) of the 
        Communications Act of [1934, as added by section 1721 
        of this Children's Internet Protection Act, may] 1934 
        (47 U.S.C. 254(h)(6)) may be used to purchase computers 
        used to access the Internet, or to pay for direct costs 
        associated with accessing the Internet, for such 
        library unless--
                  (A) * * *

           *       *       *       *       *       *       *

          (4) Timing and applicability of implementation.--
                  (A) In general.--A library covered by 
                paragraph (1) shall certify the compliance of 
                such library with the requirements of paragraph 
                (1) as part of the application process for the 
                next program funding year under this [Act] 
                subtitle following the effective date of this 
                subsection, and for each subsequent program 
                funding year thereafter.
                  (B) Process.--
                          (i) Libraries with internet safety 
                        policies and technology protection 
                        measures in place.--A library covered 
                        by paragraph (1) that has in place an 
                        Internet safety policy meeting the 
                        requirements of paragraph (1) shall 
                        certify its compliance with paragraph 
                        (1) during each annual program 
                        application cycle under this [Act] 
                        subtitle.
                          (ii) Libraries without internet 
                        safety policies and technology 
                        protection measures in place.--A 
                        library covered by paragraph (1) that 
                        does not have in place an Internet 
                        safety policy meeting the requirements 
                        of paragraph (1)--
                                  (I) for the first program 
                                year after the effective date 
                                of this subsection in which the 
                                library applies for funds under 
                                this [Act] subtitle, shall 
                                certify that it is undertaking 
                                such actions, including any 
                                necessary procurement 
                                procedures, to put in place an 
                                Internet safety policy that 
                                meets such requirements; and
                                  (II) for the second program 
                                year after the effective date 
                                of this subsection in which the 
                                library applies for funds under 
                                this [Act] subtitle, shall 
                                certify that such library is in 
                                compliance with such 
                                requirements.

                        Any library covered by paragraph (1) 
                        that is unable to certify compliance 
                        with such requirements in such second 
                        program year shall be ineligible for 
                        all funding under this [Act] subtitle 
                        for such second program year and all 
                        subsequent program years until such 
                        time as such library comes into 
                        compliance with such requirements.
                          (iii) Waivers.--Any library subject 
                        to a certification under clause 
                        (ii)(II) that cannot make the 
                        certification otherwise required by 
                        that clause may seek a waiver of that 
                        clause if State or local procurement 
                        rules or regulations or competitive 
                        bidding requirements prevent the making 
                        of the certification otherwise required 
                        by that clause. The library shall 
                        notify the Director of the Institute of 
                        Museum and Library Services of the 
                        applicability of that clause to the 
                        library. Such notice shall certify that 
                        the library will comply with the 
                        requirements in paragraph (1) before 
                        the start of the third program year 
                        after the effective date of this 
                        subsection for which the library is 
                        applying for funds under this [Act] 
                        subtitle.
          (5) Noncompliance.--
                  (A) Use of general education provisions act 
                remedies.--Whenever the Director of the 
                Institute of Museum and Library Services has 
                reason to believe that any recipient of funds 
                this [Act] subtitle is failing to comply 
                substantially with the requirements of this 
                subsection, the Director may--
                          (i) withhold further payments to the 
                        recipient under this [Act] subtitle,

           *       *       *       *       *       *       *

          (7) Definitions.--In this [section:] subsection:
                  (A) * * *

           *       *       *       *       *       *       *

                  (D) Obscene.--The term ``obscene'' has the 
                meaning [given] applicable to such term in 
                section 1460 of title 18, United States Code.

           *       *       *       *       *       *       *


                      CHAPTER 2--LIBRARY PROGRAMS

SEC. 231. GRANTS TO STATES.

    (a) In General.--Of the funds provided to a State library 
administrative agency under section 214, such agency shall 
expend, either directly or through subgrants of cooperative 
agreements, at least 96 percent of such funds for--
          [(1)(A) establishing or enhancing electronic linkages 
        among or between libraries;
          [(B) electronically linking libraries with 
        educational, social, or information services;
          [(C) assisting libraries in accessing information 
        through electronic networks;
          [(D) encouraging libraries in different areas, and 
        encouraging different types of libraries, to establish 
        consortia and share resources; or
          [(E) paying costs for libraries to acquire or share 
        computer systems and telecommunications technologies; 
        and
          [(2) targeting library and information services to 
        persons having difficulty using a library and to 
        underserved urban and rural communities, including 
        children (from birth through age 17) from families with 
        incomes below the poverty line (as defined by the 
        Office of Management and Budget and revised annually in 
        accordance with section 673(2) of the Community 
        Services Block Grant Act (42 U.S.C. 9902(2)) applicable 
        to a family of the size involved.]
          (1) expanding services for learning and access to 
        information and educational resources in a variety of 
        formats, in all types of libraries, for individuals of 
        all ages;
          (2) developing library services that provide all 
        users access to information through local, State, 
        regional, national, and international electronic 
        networks;
          (3) providing electronic and other linkages among and 
        between all types of libraries;
          (4) developing public and private partnerships with 
        other agencies and community-based organizations;
          (5) targeting library services to individuals of 
        diverse geographic, cultural, and socioeconomic 
        backgrounds, to individuals with disabilities, and to 
        individuals with limited functional literacy or 
        information skills; and
          (6) targeting library and information services to 
        persons having difficulty using a library and to 
        underserved urban and rural communities, including 
        children (from birth through age 17) from families with 
        incomes below the poverty line (as defined by the 
        Office of Management and Budget and revised annually in 
        accordance with section 673(2) of the Community 
        Services Block Grant Act (42 U.S.C. 9902(2))) 
        applicable to a family of the size involved.
    (b) Special Rule.--Each State library administrative agency 
receiving funds under this chapter may apportion the funds 
available for the purposes described in subsection (a) [between 
the two purposes described in paragraphs (1) and (2) of such 
subsection,] among such purposes, as appropriate, to meet the 
needs of the individual State.

CHAPTER 3--ADMINISTRATIVE PROVISIONS

           *       *       *       *       *       *       *



Subchapter B--Federal Requirements

           *       *       *       *       *       *       *



SEC. 262. NATIONAL LEADERSHIP GRANTS, CONTRACTS, OR COOPERATIVE 
                    AGREEMENTS.

    (a) In General.--From the amounts reserved under section 
221(a)(1)(B) for any fiscal year the Director shall establish 
and carry out a program of awarding grants or entering into 
contracts or cooperative agreements to enhance the quality of 
library services nationwide and to provide coordination between 
libraries and museums. Such grants, contracts, and cooperative 
agreements shall be used for activities that may include--
          (1) [education and training] education, recruitment, 
        and training of persons in library and information 
        science, particularly in areas of new technology and 
        other critical needs, including graduate fellowships, 
        traineeships, institutes, or other programs;

           *       *       *       *       *       *       *

    (b) Grants, Contracts, or Cooperative Agreements.--
          (1) In general.--The Director may carry out the 
        activities described in subsection (a) by awarding 
        grants to, or entering into contracts or [cooperative 
        agreements, with,] cooperative agreements with, 
        libraries, agencies, institutions of higher education, 
        or museums, where appropriate.

           *       *       *       *       *       *       *

                              ----------                              


   SECTION 5 OF THE NATIONAL COMMISSION ON LIBRARIES AND INFORMATION 
                              SCIENCE ACT


                               FUNCTIONS

  Sec. 5. (a) * * *
    [(b) The Commission shall have the responsibility to advise 
the Director of the Institute of Museum and Library Services on 
general policies with respect to the duties, powers, and 
authority of the Institute of Museum and Library Services 
relating to library services, including--
          [(1) general policies with respect to--
                  [(A) financial assistance awarded under the 
                Museum and Library Services Act for library 
                services; and
                  [(B) projects described in section 262(a)(4) 
                of such Act; and
          [(2) measures to ensure that the policies and 
        activities of the Institute of Museum and Library 
        Services are coordinated with other activities of the 
        Federal Government.
    [(c)(1) The Commission shall meet not less than 1 time each 
year in a joint meeting with the National Museum Services 
Board, convened for purposes of providing advice on general 
policy with respect to financial assistance for projects 
described in section 262(a)(4) of such Act.
    [(2) All decisions by the Commission and the National 
Museum Services Board with respect to the advice on general 
policy described in paragraph (1) shall be made by a \2/3\ 
majority vote of the total number of the members of the 
Commission and the National Museum Services Board who are 
present.
    [(3) A majority of the members of the Commission and a 
majority of the members of the National Museum Services Board 
shall constitute a quorum for the conduct of business at 
official joint meetings of the Commission and the National 
Museum Services Board.]
  [(d)] (b) The Commission is authorized to contract with 
Federal agencies and other public and private agencies to carry 
out any of its functions under subsection (a) and to publish 
and disseminate such reports, findings, studies, and records as 
it deems appropriate.
  [(e)] (c) The Commission is further authorized to conduct 
such hearings at such times and places as it deems appropriate 
for carrying out the purposes of this Act.
  [(f)] (d) The heads of all Federal agencies are, to the 
extent not prohibited by law, directed to cooperate with the 
Commission in carrying out the purposes of this Act.
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                MUSEUM AND LIBRARY SERVICES ACT OF 1996


TITLE VII--MUSEUM AND LIBRARY SERVICES ACT OF 1996

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[SEC. 704. TRANSFER OF FUNCTIONS FROM INSTITUTE OF MUSEUM SERVICES.

    [(a) Definitions.--For purposes of this section, unless 
otherwise provided or indicated by the context--
          [(1) the term ``Federal agency'' has the meaning 
        given to the term ``agency'' by section 551(1) of title 
        5, United States Code;
          [(2) the term ``function'' means any duty, 
        obligation, power, authority, responsibility, right, 
        privilege, activity, or program; and
          [(3) the term ``office'' includes any office, 
        administration, agency, institute, unit, organizational 
        entity, or component thereof.
    [(b) Transfer of Functions From the Institute of Museum 
Services and the Library Program Office.--There are transferred 
to the Director of the Institute of Museum and Library Services 
established under section 203 of the Museum and Library 
Services Act--
          [(1) all functions that the Director of the Institute 
        of Museum Services exercised before the date of 
        enactment of this section (including all related 
        functions of any officer or employee of the Institute 
        of Museum Services); and
          [(2) all functions that the Director of Library 
        Programs in the Office of Educational Research and 
        Improvement in the Department of Education exercised 
        before the date of enactment of this section and any 
        related function of any officer or employee of the 
        Department of Education.
    [(c) Determinations of Certain Functions by the Office of 
Management and Budget.--If necessary, the Office of Management 
and Budget shall make any determination of the functions that 
are transferred under subsection (b).
    [(d) Delegation and Assignment.--Except where otherwise 
expressly prohibited by law or otherwise provided by this 
section, the Director of the Institute of Museum and Library 
Services may delegate any of the functions transferred to the 
Director of the Institute of Museum and Library Services by 
this section and any function transferred or granted to such 
Director of the Institute of Museum and Library Services after 
the effective date of this section to such officers and 
employees of the Institute of Museum and Library Services as 
the Director of the Institute of Museum and Library Services 
may designate, and may authorize successive redelegations of 
such functions as may be necessary or appropriate, except that 
any delegation of any such functions with respect to libraries 
shall be made to the Deputy Director of the Office of Library 
Services and with respect to museums shall be made to the 
Deputy Director of the Office of Museum Services. No delegation 
of functions by the Director of the Institute of Museum and 
Library Services under this section or under any other 
provision of this section shall relieve such Director of the 
Institute of Museum and Library Services of responsibility for 
the administration of such functions.
    [(e) Reorganization.--The Director of the Institute of 
Museum and Library Services may allocate or reallocate any 
function transferred under subsection (b) among the officers of 
the Institute of Museum and Library Services, and may 
establish, consolidate, alter, or discontinue such 
organizational entities in the Institute of Museum and Library 
Services as may be necessary or appropriate.
    [(f) Rules.--The Director of the Institute of Museum and 
Library Services may prescribe, in accordance with chapters 5 
and 6 of title 5, United States Code, such rules and 
regulations as the Director of the Institute of Museum and 
Library Services determines to be necessary or appropriate to 
administer and manage the functions of the Institute of Museum 
and Library Services.
    [(g) Transfer and Allocations of Appropriations and 
Personnel.--Except as otherwise provided in this section, the 
personnel employed in connection with, and the assets, 
liabilities, contracts, property, records, and unexpended 
balances of appropriations, authorizations, allocations, and 
other funds employed, used, held, arising from, available to, 
or to be made available in connection with the functions 
transferred by this section, subject to section 1531 of title 
31, United States Code, shall be transferred to the Institute 
of Museum and Library Services. Unexpended funds transferred 
pursuant to this subsection shall be used only for the purposes 
for which the funds were originally authorized and 
appropriated.
    [(h) Incidental Transfers.--The Director of the Office of 
Management and Budget, at such time or times as the Director 
shall provide, may make such determinations as may be necessary 
with regard to the functions transferred by this section, and 
make such additional incidental dispositions of personnel, 
assets, liabilities, grants, contracts, property, records, and 
unexpended balances of appropriations, authorizations, 
allocations, and other funds held, used, arising from, 
available to, or to be made available in connection with such 
functions, as may be necessary to carry out this section. The 
Director of the Office of Management and Budget shall provide 
for the termination of the affairs of all entities terminated 
by this section and for such further measures and dispositions 
as may be necessary to effectuate the purposes of this section.
    [(i) Effect on Personnel.--
          [(1) In general.--Except as otherwise provided by 
        this section, the transfer pursuant to this section of 
        full-time personnel (except special Government 
        employees) and part-time personnel holding permanent 
        positions shall not cause any such employee to be 
        separated or reduced in grade or compensation for 1 
        year after the date of transfer of such employee under 
        this section.
          [(2) Executive schedule positions.--Except as 
        otherwise provided in this section, any person who, on 
        the day preceding the effective date of this section, 
        held a position compensated in accordance with the 
        Executive Schedule prescribed in chapter 53 of title 5, 
        United States Code, and who, without a break in 
        service, is appointed in the Institute of Museum and 
        Library Services to a position having duties comparable 
        to the duties performed immediately preceding such 
        appointment shall continue to be compensated in such 
        new position at not less than the rate provided for 
        such previous position, for the duration of the service 
        of such person in such new position.
    [(j) Savings Provisions.--
          [(1) Continuing effect of legal documents.--All 
        orders, determinations, rules, regulations, permits, 
        agreements, grants, contracts, certificates, licenses, 
        registrations, privileges, and other administrative 
        actions--
                  [(A) that have been issued, made, granted, or 
                allowed to become effective by the President, 
                any Federal agency or official of a Federal 
                agency, or by a court of competent 
                jurisdiction, in the performance of functions 
                that are transferred under this section; and
                  [(B) that were in effect before the effective 
                date of this section, or were final before the 
                effective date of this section and are to 
                become effective on or after the effective date 
                of this section;
shall continue in effect according to their terms until 
modified, terminated, superseded, set aside, or revoked in 
accordance with law by the President, the Director of the 
Institute of Museum and Library Services or other authorized 
official, a court of competent jurisdiction, or by operation of 
law.
          [(2) Proceedings not affected.--This section shall 
        not affect any proceedings, including notices of 
        proposed rulemaking, or any application for any 
        license, permit, certificate, or financial assistance 
        pending before the Institute of Museum Services on the 
        effective date of this section, with respect to 
        functions transferred by this section. Such proceedings 
        and applications shall be continued. Orders shall be 
        issued in such proceedings, appeals shall be taken from 
        the orders, and payments shall be made pursuant to the 
        orders, as if this section had not been enacted, and 
        orders issued in any such proceedings shall continue in 
        effect until modified, terminated, superseded, or 
        revoked by a duly authorized official, by a court of 
        competent jurisdiction, or by operation of law. Nothing 
        in this paragraph shall be construed to prohibit the 
        discontinuance or modification of any such proceeding 
        under the same terms and conditions and to the same 
        extent that such proceeding could have been 
        discontinued or modified if this section had not been 
        enacted.
          [(3) Suits not affected.--This section shall not 
        affect suits commenced before the effective date of 
        this section, and in all such suits, proceedings shall 
        be had, appeals taken, and judgments rendered in the 
        same manner and with the same effect as if this section 
        had not been enacted.
          [(4) Nonabatement of actions.--No suit, action, or 
        other proceeding commenced by or against the Institute 
        of Museum Services, or by or against any individual in 
        the official capacity of such individual as an officer 
        of the Institute of Museum Services, shall abate by 
        reason of the enactment of this section.
          [(5) Administrative actions relating to promulgation 
        of regulations.--Any administrative action relating to 
        the preparation or promulgation of a regulation by the 
        Institute of Museum Services relating to a function 
        transferred under this section may be continued by the 
        Institute of Museum and Library Services with the same 
        effect as if this section had not been enacted.
    [(k) Transition.--The Director of the Institute of Museum 
and Library Services may utilize--
          [(1) the services of such officers, employees, and 
        other personnel of the Institute of Museum Services 
        with respect to functions transferred to the Institute 
        of Museum and Library Services by this section; and
          [(2) funds appropriated to such functions for such 
        period of time as may reasonably be needed to 
        facilitate the orderly implementation of this section.
    [(l) References.--A reference in any other Federal law, 
Executive order, rule, regulation, or delegation of authority, 
or any document of or relating to--
          [(1) the Director of the Institute of Museum Services 
        with regard to functions transferred under subsection 
        (b), shall be deemed to refer to the Director of the 
        Institute of Museum and Library Services; and
          [(2) the Institute of Museum Services with regard to 
        functions transferred under subsection (b), shall be 
        deemed to refer to the Institute of Museum and Library 
        Services.
    [(m) Additional Conforming Amendments.--
          [(1) Recommended legislation.--After consultation 
        with the appropriate committees of Congress and the 
        director of the Office of Management and Budget, the 
        Director of the Institute of Museum and Library 
        Services shall prepare and submit to the appropriate 
        committees of Congress recommended legislation 
        containing technical and conforming amendments to 
        reflect the changes made by this section.
          [(2) Submission to congress.--Not later than 6 months 
        after the effective date of this section, the Director 
        of the Institute of Museum and Library Services shall 
        submit to the appropriate committees of Congress the 
        recommended legislation referred to under paragraph 
        (1).

[SEC. 705. SERVICE OF INDIVIDUALS SERVING ON DATE OF ENACTMENT.

    [Notwithstanding section 204 of the Museum and Library 
Services Act, the individual who was appointed to the position 
of Director of the Institute of Museum Services under section 
205 of the Museum Services Act (as such section was in effect 
on the day before the date of enactment of this Act) and who is 
serving in such position on the day before the date of 
enactment of this Act shall serve as the first Director of the 
Institute of Museum and Library Services under section 204 of 
the Museum and Library Services Act (as added by section 2 of 
this Act), and shall serve at the pleasure of the President.

[SEC. 706. CONSIDERATION.

    [Consistent with title 5, United States Code, in appointing 
employees of the Office of Library Services, the Director of 
the Institute of Museum and Library Services shall give strong 
consideration to individuals with experience in administering 
State-based and national library and information services 
programs.

[SEC. 707. TRANSITION AND TRANSFER OF FUNDS.

    [(a) Transition.--The Director of the Office of Management 
and Budget shall take appropriate measures to ensure an orderly 
transition from the activities previously administered by the 
Director of Library Programs in the Office of Educational 
Research and Improvement in the Department of Education to the 
activities administered by the Institute for Museum and Library 
Services under this Act. Such measures may include the transfer 
of appropriated funds.
    [(b) Transfer.--From any amounts available to the Secretary 
of Education for salaries and expenses at the Department of 
Education, the Secretary of Education shall transfer to the 
Director the amount of funds necessary to ensure the orderly 
transition from activities previously administered by the 
Director of the Office of Library Programs in the Office of 
Educational Research and Improvement in the Department of 
Education to the activities administered by the Institute for 
Museum and Library Services. In no event shall the amount of 
funds transferred pursuant to the preceding sentence be less 
than $200,000.]

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