Pub. L. 102-73, tit. VII, sec. 125

“SEC. 125. (a) The Director is authorized to award challenge grants to eligible public agencies and private organizations to pay the Federal share of the costs of establishing, operating or expanding community or employee literacy programs or projects that include the use of full-time or part-time volunteers as one method of addressing illiteracy. “(b) Each eligible organization desiring a grant under this section shall submit to the ACTION Agency an application in such form and accompanied by such information as the Director may reasonably require. Each such application shall— “(1) describe the activities for which assistance is sought, “(2) contain assurances that the eligible organization will provide from non-Federal sources the non-Federal share of the cost of the program or project, “(3) provide assurances, satisfactory to the Director, that the literacy project will be operated in cooperation with other public and private agencies and organizations interested in, and qualified to, combat illiteracy in the community where the project is to be conducted, and “(4) contain such other information and assurances as the Director may reasonably require. “(c) (1) (A) The Federal share of the cost of a program or project authorized by this section administered by a public agency, a nonprofit organization other than an organization described in paragraph (2), or a private, for-profit organization shall not exceed— “(i) 80 percent in the first fiscal year; “(ii) 70 percent in the second fiscal year; and “(iii) 60 percent in the third fiscal year. “(B) The non-Federal share paid by a private, for-profit organization shall be in cash. “(2) The Federal share of the cost of a program or project administered by a nonprofit or community-based organization shall not exceed— “(A) 90 percent in the first fiscal year; “(B) 80 percent in the second fiscal year; and “(C) 70 percent in the third fiscal year. “(3) The non-Federal share provided by a public agency or a nonprofit or community-based organization may be provided in cash, or in kind, fairly evaluated, and may include the use of plant, equipment, and services.”. 105 STAT. 359 (2) Conforming Amendment.— The table of contents contained in the first section of the Domestic Volunteer Service Act of 1973 (42 U.S.C. 4951 note) is amended by inserting after the item relating to section 124 the following new item. “Sec. 125. Literacy challenge grants.”. (b) Authorization of Appropriations.— Section 501(c) of the Domestic Volunteer Service Act of 1973 (42 U.S.C. 5081(c)) is amended— (1) by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively; (2) by inserting “(1)” after the subsection designation; and (3) by inserting at the end the following: “(2) Except as provided in paragraph (3) and in addition to the amounts authorized to be appropriated pursuant to paragraph (1) there is authorized to be appropriated $2,500,000 for the fiscal year 1992 and such sums as may be necessary for 1993 for Literacy Challenge Grants under section 125. “(3) No funds shall be appropriated pursuant to paragraph (2) in any fiscal year unless— “(A) the funds available in such fiscal year for the VISTA Program under part A of title I are sufficient to provide the years of volunteer service specified for such fiscal year under section 501(d)(1) for the VISTA Program; and “(B) the funds available in such fiscal year for the VISTA Literacy Corps under part A of title I are sufficient to provide at least the same years of volunteer service as were provided in the fiscal year preceding such fiscal year.“.