SPECIAL PROJECT GRANTS

SPECIAL PROJECT GRANTS Sec. 501. Section 303 of the Public Health Service Act (42 U. S. C. 242a) is amended to read as follows: “MENTAL HEALTH “Sec. 303. (a) In carrying out the purposes of section 301 with respect to mental health, the Surgeon General is authorized— “(1) to provide training and instruction and to establish and maintain traineeships, in accordance with the provisions of section 433 (a); “(2) to make grants to State or local agencies, laboratories, and other public or nonprofit agencies and institutions, and to individuals for investigations, experiments, demonstrations, studies, and research projects with respect to the development of improved methods of diagnosing mental illness, and of care, treatment, and rehabilitation of the mentally ill, including grants to State agencies responsible for administration of State institutions for care, or care and treatment, of mentally ill persons for developing and establishing improved methods of operation and administration of such institutions. “(b) Grants under paragraph (2) of subsection (a) may lie made only upon recommendation of the National Advisory Mental Health Council. Such grants may be paid in advance or by way of reimbursement, as may be determined by the Surgeon General; and shall be made on such conditions as the Surgeon General finds necessary.”