EQUITABLE DISTRIBUTION OF ASSISTANCE.

SEC. 504. EQUITABLE DISTRIBUTION OF ASSISTANCE. (a) Allocation.— Paragraphs (1) and (2) of section 506(a) of the Older American Community Service Employment Act (42 U.S.C. 3056d(a)) are amended to read as follows: “(1) (A) Subject to subparagraph (B) and paragraph (2), from sums appropriated under this title for each fiscal year, the Secretary shall first reserve such sums as may be necessary for national grants or contracts with public agencies and public or nonprofit private organizations to maintain the level of activities carried on under such grants or contracts at least at the level of such activities supported under this title and under any other provision of Federal law relating to community service employment programs for older Americans in fiscal year 1978. “(B) (i) (I) For each fiscal year in which the sums appropriated under this title exceed the amount appropriated under this title for fiscal year 1978, the Secretary shall reserve not more than 45 percent of such excess, except as provided in subclause (II), to carry out clauses (ii), (iii), and (v). “(II) The Secretary shall reserve a sum sufficient to carry out clauses (iii) and (v). “(III) The Secretary in awarding grants and contracts under this paragraph from the sum reserved under this paragraph shall, to the extent feasible, assure an equitable distribution of activities under such grants and contracts designed to achieve the allotment among the States described in paragraph (3) of this subsection. “(ii) The Secretary shall reserve such sums as may be necessary for national grants or contracts with public or nonprofit national106 STAT. 1268 Indian aging organizations with the ability to provide employment services to older Indians and with national public or nonprofit Pacific Island and Asian American aging organizations with the ability to provide employment services to older Pacific Island and Asian Americans. “(iii) If the amount appropriated under this title for a fiscal year exceeds 102 percent of the amount appropriated under this title for fiscal year 1991, for each fiscal year described in clause (iv), the Secretary shall reserve for recipients of national grants and contracts under this paragraph such portion of the excess amount as the Secretary determines to be appropriate and is— “(I) at least 25 percent of the excess amount; or “(II) the portion required to increase the amount made available under this paragraph to each of the recipients so that the amount equals 1.3 percent of the amount appropriated under this title for fiscal year 1991. “(iv) From the portion reserved under clause (iii), the Secretary shall increase the amount made available under this paragraph to each of the recipients— “(I) for each fiscal year before the fiscal year described in sub clause (II), so that such amount equals, or more closely approaches, such 1.3 percent; and “(II) for the first fiscal year for which the portion is sufficient to make available under this paragraph to each of the recipients the amount equal to such 1.3 percent, so that such amount is not less than such 1.3 percent. “(v) For each fiscal year after the fiscal year described in clause (iv)(II), the Secretary shall make available under this paragraph to each of the recipients an amount not less than such 1.3 percent. “(C) Preference in awarding grants and contracts under this paragraph shall be given to national organizations, and agencies, of proven ability in providing employment services to eligible individuals under this program and similar programs. The Secretary, in awarding grants and contracts under this section, shall, to the extent feasible, assure an equitable distribution of activities under such grants and contracts, in the aggregate, among the States, taking into account the needs of underserved States, subject to subparagraph (B)(i)(III). “(2) (A) From sums appropriated under this title for each fiscal year after September 30, 1978, the Secretary shall reserve an amount which is at least 1 percent and not more than 3 percent of the amount appropriated in excess of the amount appropriated for fiscal year 1978 for the purpose of entering into agreements under section 502(e), relating to improved transition to private employment. “(B) After the Secretary makes the reservations required by paragraph (1)(B) and subparagraph (A), the remainder of such excess shall be allotted to the appropriate public agency of each State pursuant to paragraph (3).”. (b) Apportionment Within States.— Section 506(c) of the Older American Community Service Employment Act (42 U.S.C. 3056d(c)) is amended— (1) by striking “and (2)” and inserting “(2)”; and (2) by inserting before the period at the end the following: “, and (3) the relative distribution of (A) such individuals who are individuals with greatest economic need, (B) such individ-106 STAT. 1269uals who are minority individuals, and (C) such individuals who are individuals with greatest social need”. (c) Technical and Conforming Amendments.— (1) Section 502(c)(1), paragraphs (3) and (4) of section 506(a), and section 507(1) of the Older American Community Service Employment Act (42 U.S.C. 3056(c)(1), 3056d(a) (3) and (4), and 3056e(l)) are amended by striking “per centum” each place the term appears and inserting “percent”. (2) Section 502(e)(1) of the Older American Community Service Employment Act (42 U.S.C. 3056(e)(1) is amended by striking “506(a)(l)(B)” and inserting “506(a)(2)(A)”. (3) Section 506(a)(4)(B) of the Older American Community Service Employment Act (42 U.S.C. 3056d(a)(4)(B)) is amended by striking “him” and inserting “the Secretary”.