2276 PUBLIC LAW 93-642-JAN. 4, 1975 [88 STAT.

2276PUBLIC LAW 93-642-JAN. 4, 1975[88STAT.Secretary under this section may include such recommendations ashe considers appropriate for termination or consolidation of any suchreporting requirements.TECHNICAL A M E N D M E N T42 u s e 300e-4.SEC. 8. Section 1305(b)(1) of the Public Health Service Act isamended to read as follows:" (b) (1) Except as provided in paragraph (2), the aggregate amountof principal of loans made or guaranteed, or both, under this sectionfor a health maintenance organization may not exceed 2,500,000.I n any fiscal year, the amount disbursed under a loan or loans made orguaranteed under this section for a health maintenance organizationmay not exceed 1,000,000,000."Approved January 4, 1975.Public Law 93-642January 4, 1975[S.3548]Harry S TrumanMemorial Scholarship Act.20 u s e 2001note.20 u s e 2001.AN ACTTo establish the Harry S Truman memorial scholarships, and for other purposes.Be it enacted hy the Senate and House of Representatives of theUnited States of America in Congress assembled, That this Act maybe cited as the "Harry S Truman Memorial Scholarship Act".S T A T E M E N T OF F I N D I N G SSEC. 2. The Congress finds that—because a high regard for the public trust and a lively exerciseof political talents were outstanding characteristics of the thirtythird President of the United States;because a special interest of the man from Independence inAmerican history and a broad knowledge and understanding ofthe American political and economic system gained by study andexperience in county and National Government culminated inthe leadership of America remembered for the quality of his character, courage, and commonsense;because of the desirability of encouraging young people torecognize and provide service in the highest and best traditions ofthe American political system at all levels of government, it isespecially appropriate to honor former President Harry STruman through the creation of a perpetual education scholarship program to develop increased opportunities for youngAmericans to prepare and pursue careers in public service.DEFINITIONS20 u s e 2002.SEC. 3. As used in this Act, the term—(1) "Board" means the Board of Trustees of the Harry STruman Scholarship Foundation;

88 STAT. ]PUBLIC LAW 93-642-jAN. 4, 1975(2) "Foundation" means the H a r r y S Truman ScholarshipFoundation;(3) "fund" means the H a r r y S Truman Memorial ScholarshipFund;(4) "institution of higher education" means any such institutionas defined by section 1201(a) of the Higher Education Act of1965;(5) "State" means each of the several States, the District ofColumbia, the Commonwealth of Puerto Rico, and, considered asa single entity, Guam, the Virgin Islands, American Samoa, andthe Trust Territory of the Pacific Islands; and(6) "Secretary" means the Secretary of the Treasury,".SEC. 4. The H a r r y S Truman Scholarship Program as authorizedby this Act shall be the sole Federal memorial to President H a r r y STruman.227720 u s e 1141.20 u s e 2003.E S T A B L I S H M E N T OF T H E H A R R Y S T R U M A N S C H O L A R S H I P PROGRAMSEC. 5. (a) There is established, as an independent establishment ofthe executive branch of the United States Government, the H a r r y STruman Scholarship Foundation.(b) (1) The Foundation shall be subject to the supervision anddirection of a Board of Trustees. The Board shall be composed ofthirteen members, as follows:(A) two Members of the Senate, one from each political party,to be appointed by the President of the Senate;(B) two Members of the House of Representatives, one fromeach political party, to be appointed by the Speaker;(C) eight members, not more than four of whom shall beof the same political party, to be appointed by the Presidentwith the advice and consent of the Senate, of whom one shall bea chief executive officer of a State, one a chief executive officer of acity or county, one a member of a Federal court, one a member ofa State court, one a person active in postsecondary education,and three representatives of the general public; and(D) the Commissioner of Education or his designate, whoshall serve ex officio as a member of the Board, but shall not beeligible to serve as Chairman.(c) The term of office of each member of the Board shall besix years; except that (1) the members first taking office shall serveas designated by the President, four for terms of two years, five forterms of four years, and four for terms of six years, and (2) anymember appointed to fill a vacancy shall serve for the remainder ofthe tei"m for which his predecessor was appointed, and shall beappointed in the same manner as the original appointment for thatvacancy was made.(d) Members of the Board shall serve without pay, but shall beentitled to reimbursement for travel, subsistence, and other necessaryexpenses incurred in the performance of their duties.38-194 O - 76 - 61 Pt. 2Establishment.20 u s e 2004.Membership.Term.Compensation,

2278PUBLIC LAW 93-642-JAN. 4, 1975[88 STAT.SCHOLARSHIPS20 use 2005.gj c g (a) Xhe Foundation is authorized to award scholarshipsto persons who demonstrate outstanding potential for and whoplan to pursue a career in public service. Award recipients shall beknown as Truman scholars.(b) Scholarships under this Act shall be awarded for such periodsas the Foundation may prescribe but not to exceed four academicyears.(c) A student awarded a scholarship under this Act may attend anyinstitution of higher education offering courses of study, training, orother educational activities designed to prepare persons for a careerin public service as determined pursuant to criteria established by theFoundation.(d) Each student awarded a scholarship under this Act must haveindicated a serious intent to enter the public service upon the completion of his or her educational program. Each institution of highereducation at which such a student is in attendance will make reasonablecontinuing efforts to encourage such a student to enter the publicservice upon completing his or her educational program.SELECTION OF T R U M A N20 use 2006.SCHOLARSgjjc. 7. (a) The Foundation is authorized, either directly or bycontract, to provide for the conduct of a nationwide competition forthe purpose of selecting Truman scholars.(b) The Foundation shall adopt selection procedures which shallassure that at least one Truman scholar shall be selected each yearfrom each State in which there is at least one resident applicant whomeets the minimum criteria established by the Foundation.STIPENDS20 use 2007.gjjQ 3 Each student awarded a scholarship under this Act shallreceive a stipend which shall not exceed the cost to such student fortuition, fees, books, room and board, or 5,000 whichever is less foreach academic year of study.SCHOLARSHIP20 u s e 2008.Reports.CONDITIONSS E C 9. (a) A student awarded a scholarship under the provisions ofthis Act shall continue to receive the payments provided in this Actonly during such periods as the Foundation finds that he or she ismaintaining satisfactory proficiency and devoting full time to studyor research designed to prepare him or her for a career in public serviceand is not otherwise engaging in gainful employment other thanemployment approved by the Foundation pursuant to regulation. rpj Fouudatiou is authorized to require reports containing suchinformation in such form and to be filed at such times as the Foundation determines to be necessary from any student awarded a scholarship under the provisions of this act. Such reports shall beaccompanied by a certificate from an appropriate official at the institution of higher education, approved by the Foundation, stating that suchstudent is making satisfactory progress in, and is devoting essentiallyfull time to, study or research, except as otherwise provided in subsection (a).

88STAT.]PUBLIC LAW 93-642-JAN. 4, 19752:279TRUMAN MEMORIAL SCHOLARSHIP FUNDSEC. 10. (a) There is established in the Treasury of the UnitedStates a trust fund to be known as the H a r r y S Truman MemorialScholarship Trust Fund. The fund shall consist of amounts appropriated to it by section 14 of this act.(b) I t shall be the duty of the Secretaiy to invest in full the amountsappropriated to the fund. Such investments may be made only ininterest-bearing obligations of the United States or in obligationsguaranteed as to both principal and interest by the United States. Forsuch purpose, such obligations may be acquired (1) on original issueat the issue price, or (2) by purchase of outstanding obligations atthe market place. The purposes for which obligations of the UnitedStates may be issued under the Second Liberty Bond Act, as amended,are hereby extended to authorize the issuance at par of special obligations exclusively to the fund. Such special obligations shall bearinterest at a rate equal to the average rate of interest, computed as tothe end of the calendar month next preceding the date of such issue,borne by all marketable interest-bearing obligations of the UnitedStates then forming a part of the public debt; except that where suchaverage rate is not a multiple of one-eighth of 1 per centum, the rateof interest of such special obligations shall be the multiple of oneeighth of 1 per centum next lower than such average i-ate. Such specialobligations shall be issued only if the Secretaiy determines that thepurchase of other interest-bearing obligations of the United States,or of obligations guaranteed as to both principal and interest by theUnited States or original issue or at the market price, is not in thepublic interest.(c) Any obligation acquired by the fund (except special obligationsissued exclusively to the fund) may be sold by the Secretary at themarket price, and such special obligations may be redeemed at parplus accrued interest.(d) The interest on, and the proceeds from the sale or redemptionof, any obligations held in the fund shall be credited to and form apart of the fund.Establishment.20 u s e 2009.31 u s e 774.EXPENDITURES FROM THE FUNDSEC. 11. (a) The Secretary is authorized to pay to the Foundationfrom the interest and earnings of the fund such sums as the Boarddetermines are necessary and appropriate to enable the Foundation tocarry out the purposes of the Act.(b) The activities of the Foundation under this Act may be auditedby the General Accounting Office under such rules and regulationsas may be prescribed by the Comptroller General of the United States.The representatives of the General Accounting Office shall have accessto all books, accounts, records, reports, and files and all other papers,things, or property belonging to or in use by the Foundation, pertaining to such activities and necessary to facilitate the audit.20 u s e 2010.GAO audit.