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SEC. 203.

(j) (1) Under such regulations as he may prescribe, the Administrator is authorized in his discretion to donate without cost (except for costs of care and handling) for use in any State for purposes of education, public health, or civil defense, or for research for any such purpose, any equipment, materials, books, or other supplies (including those capitalized in a working capital or similar fund) under the control of any executive agency which shall have been determined to be surplus property and which shall have been determined under paragraph (2), (3), or (4) of this subsection to be usable and necessary for any such purpose. In determining whether property is to be donated under this subsection, no distinction shall be made between property capitalized in a working-capital fund established under section 405 of the National Security Act of 1947, as amended, or any similar fund, and any other property. No such property shall be transferred for use within any State except to the State agency designated under State law for the purpose of distributing, in conformity with the provisions of this subsection, all property allocated under this subsection for use within such State.

(2) In the case of surplus property under the control of the Department of Defense, the Secretary of Defense shall determine whether such property is usable and necessary for educational activities. which are of special interest to the armed services, such as maritime academies or military, naval, Air Force, or Coast Guard preparatory schools. If such Secretary shall determine that such property is usable and necessary for such purposes, he shall allocate it for transfer by the Administrator to the appropriate State agency for distribution to such property is usable and necessary for educational activities. is not usable and necessary for such purposes, it may be disposed of in accordance with paragraph (3) or paragraph (4) of this subsection.

(3) Determination whether such surplus property (except surplus property allocated in conformity with paragraph (2) of this subsection) is usable and necessary for purposes of education or public health, or for research for any such purpose, in any State shall be made by the Secretary of Health, Education, and Welfare, who shall allocate such property on the basis of needs and utilization for transfer by the Administrator to such State agency for distribution to (A) tax-supported medical institutions, hospitals, clinics, health centers, school systems, schools, colleges, universities, schools for the mentally retarded, schools for the physically handicapped, and radio and television stations licensed by the Federal Communications Commission as educational radio or educational television stations, (B) other nonprofit medical institutions, hospitals, clinics, health centers, schools, colleges, universities, schools for the mentally retarded, schools for the physically handicapped, and radio and television stations licensed by the Federal Communications Commission as educational radio or educational television stations, which are exempt from from taxation under section 501(c)(3) of the Internal Revenue Code of 1954, [and (C) public libraries.] (C) public libraries, and (D) public museums. No such property shall be transferred to any State agency until the Secretary of Health, Education, and Welfare has received, from such State agency, a certification that such property is

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usable and needed for educational or public health purposes in the State, and until the Secretary has determined that such State agency has conformed to minimum standards of operation prescribed by the Secretary for the disposal of surplus property.

(4) Determination whether such surplus property (except surplus property allocated in conformity with paragraph (2) of this subsection) is usable and necessary for civil defense purposes, including research, in any State shall be made by the President," who shall allocate such property on the basis of need and utilization for transfer by the Administrator of General Services to such State agency for distribution to civil defense organizations of such State, or political subdivisions and instrumentalities thereof, which are established pursuant to State law. No such property shall be transferred until the President 10 has received from such State agency a certification that such property is usable and needed for civil defense purposes in the State, and until the President 11 has determined that such State agency has conformed to minimum standards of operation prescribed by the President 12 for the disposal of surplus property. The provisions of sections 201 (b), 401 (c), 401 (e), and 405 of the Federal Civil Defense Act of 1950, as amended, shall apply to the performance by the President 13 of his responsibilities under this section.

(5) The Secretary of Health, Education, and Welfare and the President 14 may impose reasonable terms, conditions, reservations, and restrictions upon the use of any single item of personal property donated under paragraph (3) or paragraph (4), respectively, of this subsection which has an acquisition cost of $2,500 or more.

(6) The term "State", as used in this subsection, includes the District of Columbia, the Commonwealth of Puerto Rico, and the Territories and possessions of the United States.

(7) The term "public library", as used in this subsection, means a library that serves free all residents of a community, district, State, or region, and receives its financial support in whole or in part from public funds.

(8) The term "public museum," as used in this subsection, means a museum that serves free the general public and receives its financial support in whole or in part from public funds.

(k) (1) Under such regulations as he may prescribe, the Administrator is authorized, in his discretion, to assign to the Secretary of

Public Law 148, 84th Cong., approved July 12, 1955, 69 Stat. 297, an act to amend the Federal Property and Administrative Services Act of 1949, as amended, and for other purposes.

10 Public Law 200, 84th Cong., approved Aug. 1, 1955, 69 Stat. 430, an act to amend the Federal Property and Administrative Services Act of 1949, as amended, to authorize the Administrator of General Services to donate certain property to the American National Red Cross.

11 Public Law 373, 84th Cong., approved Aug. 12, 1955, 69 Stat. 695, Joint Resolution to provide for the acceptance and maintenance of presidential libraries, and for other

purposes.

12 Public Law 388, 84th Cong., approved Aug. 12, 1955, 69 Stat. 721, an act to amend the Federal Property and Administrative Services Act of 1949 to make temporary provision for making payments in lieu of taxes with respect to certain real property transferred by the Reconstruction Finance Corporation and its subsidiaries to other Government departments.

18 Public Law 655, 84th Cong., approved July 3, 1956, 70 Stat. 493, an act to amend the Federal Property and Administrative Services Act of 1949, as amended, to authorize the disposal of surplus property for civil defense purposes, and for other purposes.

14 Public Law 971, 84th Cong., approved Aug. 3, 1956, 70 Stat. 1020, an act to amend the Federal Property and Administrative Services Act of 1949, as amended, to extend until July 31, 1958, the period during which disposals of surplus property may be made by negotiation.

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Health, Education, and Welfare for disposal such surplus real property, including buildings, fixtures, and equipment situated thereon, as is recommended by the Secretary of Health, Education, and Welfare as being needed for school, classroom, or other educational use, or for use in the protection of public health, including research.

(A) Subject to the disapproval of the Administrator within thirty days after notice to him by the Secretary of Health, Edution, and Welfare of a proposed transfer of property for school, classroom, or other educational use, the Secretary of Health, Education, and Welfare, through such officers or employees of the Department of Health, Education, and Welfare as he may designate, may sell or lease such real property including buildings, fixtures, and equipment situated thereon, for educational purposes to the States and their political subdivisions and instrumentalities, and tax-supported educational institutions, and to other nonprofit educational institutions which have been held exempt from taxation under section 101 (6) of the Internal Revenue Code.

(B) Subject to the disapproval of the Administrator within thirty days after notice to him by the Secretary of Health, Education, and Welfare of a proposed transfer of property for public-health use, the Secretary of Health, Education, and Welfare, through such officers or employees of the Department of Health, Education, and Welfare as he may designate, may sell or lease such real property for public-health purposes, including research, to the States and their political subdivisions and instrumentalities, and to tax-supported medical institutions, and to hospitals or other similar institutions not operated for profit which have been held exempt from taxation under section 101 (6) of the Internal Revenue Code.

(C) In fixing the sale or lease value of property to be disposed of under subparagraph (A) and subparagraph (B) of this paragraph, the Secretary of Health, Education, and Welfare shall take into consideration any benefit which has accrued or may accrue to the United States from the use of such property by any such State, political subdivision, instrumentality, or institution. (D) "States" as used in this subsection includes the District of Columbia, the Commonwealth of Puerto Rico, and the Territories and possessions of the United States.

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91ST CONGRESS 1st Session

SENATE

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REPORT No.91- 424

AMENDING THE FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF 1949 TO PERMIT THE ROTATION OF CERTAIN PROPERTY WHENEVER ITS REMAINING STORAGE OR SHELF LIFE IS TOO SHORT TO JUSTIFY ITS RETENTION, AND FOR OTHER PURPOSES

SEPTEMBER 24, 1969.-Ordered to be printed

Mr. ALLEN, from the Committee on Government Operations, submitted the following

REPORT

[To accompany S. 406]

The Committee on Government Operations, to which was referred the bill (S. 406) to amend the Federal Property and Administrative Services Act of 1949, to permit the rotation of certain property whenever its remaining storage or shelf life is too short to justify its retention, and for other purposes, having considered the same, reports favorably thereon with amendments and recommends that the bill as amended do pass.

AMENDMENTS

The amendments correct printing errors as follows:
On page 3, line 5, after "SEC. 402" insert a "period".

On page 3, line 10, after the word "out" insert the word "in".

PURPOSE

S. 406 would authorize the head of any Federal department or agency who is responsible for the storage of medical materials or medical supplies held for a national emergency to determine when their shelf life is of too short duration for continued retention. Under the provisions of this bill, the head of the agency could declare such medical supplies excess to his needs and have them transferred to, or ex

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