---
kind: "section"
citation: "42 U.S.C. § 12581"
title: "42"
title_heading: "The Public Health and Welfare"
number: "12581"
heading: "Provision of assistance and approved national service positions"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/12581"
units:
  - "Chapter 129 — National and Community Service"
  - "Subchapter I — National and Community Service State Grant Program"
  - "Division C — National Service Trust Program"
  - "Part II — Application and Approval Process"
---

# §12581. Provision of assistance and approved national service positions

- (a) **One percent allotment for certain territories—** Of the funds allocated by the [Corporation](/usc/42/2297h.md?p=2) for provision of assistance under [section 12571(a) of this title](/usc/42/12571.md?p=a) for a fiscal year, the [Corporation](/usc/42/2297h.md?p=2) shall reserve 1 percent for grants to the United States Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands upon approval by the [Corporation](/usc/42/2297h.md?p=2) of an application submitted under [section 12582 of this title](/usc/42/12582.md). The [Corporation](/usc/42/2297h.md?p=2) shall allot for a grant to each such territory under this subsection for a fiscal year an amount that bears the same ratio to 1 percent of the allocated funds for that fiscal year as the population of the territory bears to the total population of all such territories.
- (b) **Allotment for Indian tribes—** Of the funds allocated by the [Corporation](/usc/42/2297h.md?p=2) for provision of assistance under [section 12571(a) of this title](/usc/42/12571.md?p=a) for a fiscal year, the [Corporation](/usc/42/2297h.md?p=2) shall reserve at least 1 percent for grants to Indian tribes to be allotted by the [Corporation](/usc/42/2297h.md?p=2) on a competitive basis.
- (c) **Reservation of approved positions—** The [Corporation](/usc/42/2297h.md?p=2) shall ensure that each individual selected during a fiscal year for assignment as a VISTA volunteer under title I of the Domestic Volunteer Service Act of 1973 ([42 U.S.C. 4951](/usc/42/4951.md) et seq.) or as a participant in the National Civilian Community [Corps](/usc/42/12626.md?p=3) [Program](/usc/42/12626.md?p=8) under division E shall receive the national service educational award described in division D if the individual satisfies the eligibility requirements for the award. Funds for approved national service positions required by this paragraph for a fiscal year shall be deducted from the total funding for approved national service positions to be available for distribution under subsections [(d)](#d) and [(e)](#e) for that fiscal year.
- (d) **Allotment for competitive grants—**
  - (1) **In general—** Of the funds allocated by the [Corporation](/usc/42/2297h.md?p=2) for provision of assistance under [section 12571(a) of this title](/usc/42/12571.md?p=a) for a fiscal year and subject to [section 12585(d)(3) of this title](/usc/42/12585.md?p=d-3), the [Corporation](/usc/42/2297h.md?p=2) shall reserve not more than 62.7 percent for grants awarded on a competitive basis to [States](/usc/42/12522.md?p=1) specified in [subsection (e)(1)](#e-1) for national service [programs](/usc/42/12626.md?p=8), to [nonprofit](/usc/42/300s–3.md?p=3) organizations seeking to operate a national service [program](/usc/42/12626.md?p=8) in 2 or more of those [States](/usc/42/12522.md?p=1), and to Indian tribes.
  - (2) **Equitable treatment—** In the consideration of applications for such grants, the [Corporation](/usc/42/2297h.md?p=2) shall ensure the equitable [treatment](/usc/42/11851.md?p=11) of applicants from urban areas, applicants from rural areas, applicants of diverse sizes (as measured by the number of participants served), applicants from [States](/usc/42/12522.md?p=1), and applicants from national [nonprofit](/usc/42/300s–3.md?p=3) organizations.
  - (3) **Encore service programs—** In making grants under this subsection for a fiscal year, the [Corporation](/usc/42/2297h.md?p=2) shall make an effort to allocate not less than 10 percent of the financial assistance and approved national service positions provided through the grants for that fiscal year to eligible entities proposing to carry out encore service [programs](/usc/42/12626.md?p=8), unless the [Corporation](/usc/42/2297h.md?p=2) does not receive a sufficient number of applications of adequate quality to justify making that percentage available to those eligible entities.
  - (4) **Corps programs—** In making grants under this subsection for a fiscal year, the [Corporation](/usc/42/2297h.md?p=2)—
    - (A) shall select 2 or more of the national service [corps](/usc/42/12626.md?p=3) described in [section 12572(a) of this title](/usc/42/12572.md?p=a) to receive grants under this subsection; and
    - (B) may select national service [programs](/usc/42/12626.md?p=8) described in [section 12572(b) of this title](/usc/42/12572.md?p=b) to receive such grants.
- (e) **Allotment to certain States on formula basis—**
  - (1) **Grants—** Of the funds allocated by the [Corporation](/usc/42/2297h.md?p=2) for provision of assistance under [section 12571(a) of this title](/usc/42/12571.md?p=a) for a fiscal year, the [Corporation](/usc/42/2297h.md?p=2) shall make a grant to each of the several [States](/usc/42/12522.md?p=1), the District of Columbia, and the Commonwealth of Puerto Rico that submits an application under [section 12582 of this title](/usc/42/12582.md) that is approved by the [Corporation](/usc/42/2297h.md?p=2).
  - (2) **Allotments—** The [Corporation](/usc/42/2297h.md?p=2) shall allot for a grant to each such [State](/usc/42/12522.md?p=1) under this subsection for a fiscal year an amount that bears the same ratio to 35.3 percent of the allocated funds for that fiscal year as the population of the [State](/usc/42/12522.md?p=1) bears to the total population of the several [States](/usc/42/12522.md?p=1), the District of Columbia, and the Commonwealth of Puerto Rico, in compliance with [paragraph (3)](#e-3).
  - (3) **Minimum amount—** Notwithstanding [paragraph (2)](#e-2), the minimum grant made available to each [State](/usc/42/12522.md?p=1) approved by the [Corporation](/usc/42/2297h.md?p=2) under [paragraph (1)](#e-1) for each fiscal year shall be at least $600,000, or 0.5 percent of the amount allocated for the [State](/usc/42/12522.md?p=1) formula under this subsection for the fiscal year, whichever is greater.
- (f) **Effect of failure to apply—** If a [State](/usc/42/12522.md?p=1) or territory fails to apply for, or fails to give notice to the [Corporation](/usc/42/2297h.md?p=2) of its intent to apply for, an allotment under this section, or the [Corporation](/usc/42/2297h.md?p=2) does not approve the application consistent with [section 12585 of this title](/usc/42/12585.md), the [Corporation](/usc/42/2297h.md?p=2) may use the amount that would have been allotted under this section to the [State](/usc/42/12522.md?p=1) or territory to—
  - (1) make grants (and provide approved national service positions in connection with such grants) to other community-based entities under [section 12571 of this title](/usc/42/12571.md) that propose to carry out national service [programs](/usc/42/12626.md?p=8) in such [State](/usc/42/12522.md?p=1) or territory; and
  - (2) make reallotments to other [States](/usc/42/12522.md?p=1) or territories with approved applications submitted under [section 12582 of this title](/usc/42/12582.md), from the allotment funds not used to make grants as described in [paragraph (1)](#f-1).
- (g) **Application required—** The [Corporation](/usc/42/2297h.md?p=2) shall make an allotment of assistance (including the provision of approved national service positions) to a recipient under this section only pursuant to an application submitted by a [State](/usc/42/12522.md?p=1) or other applicant under [section 12582 of this title](/usc/42/12582.md).
- (h) **Approval of positions subject to available funds—** The [Corporation](/usc/42/2297h.md?p=2) may not approve positions as approved national service positions under this division for a fiscal year in excess of the number of such positions for which the [Corporation](/usc/42/2297h.md?p=2) has sufficient available funds in the National Service Trust for that fiscal year, taking into consideration funding needs for national service educational awards under division D based on completed service. If appropriations are insufficient to provide the maximum allowable national service educational awards under division D for all eligible participants, the [Corporation](/usc/42/2297h.md?p=2) is authorized to make necessary and reasonable adjustments to [program](/usc/42/12626.md?p=8) rules.
- (i) **Sponsorship of approved national service positions—**
  - (1) **Sponsorship authorized—** The [Corporation](/usc/42/2297h.md?p=2) may enter into agreements with persons or entities who offer to sponsor national service positions for which the person or entity will be responsible for supplying the funds necessary to provide a national service educational award. The distribution of those approved national service positions shall be made pursuant to the agreement, and the creation of those positions shall not be taken into consideration in determining the number of approved national service positions to be available for distribution under this section.
  - (2) **Deposit of contribution—** Funds provided pursuant to an agreement under [paragraph (1)](#i-1) shall be deposited in the National Service Trust established in [section 12601 of this title](/usc/42/12601.md) until such time as the funds are needed.
- (j) **Reservation of funds for special assistance—**
  - (1) **Reservation—** From amounts appropriated for a fiscal year pursuant to the authorization of appropriations in [section 12681(a)(2) of this title](/usc/42/12681.md?p=a-2) and allocated to carry out this division and subject to the limitation in such section, the [Corporation](/usc/42/2297h.md?p=2) may reserve such amount as the [Corporation](/usc/42/2297h.md?p=2) considers to be appropriate for the purpose of making assistance available under subsections (b) and (c) of [section 12576 of this title](/usc/42/12576.md).
  - (2) **Limitation—** The amount reserved under [paragraph (1)](#j-1) for a fiscal year may not exceed $10,000,000.
  - (3) **Timing—** The [Corporation](/usc/42/2297h.md?p=2) shall reserve such amount, and any amount reserved under [subsection (k)](#k) from funds appropriated and allocated to carry out this division, before allocating funds for the provision of assistance under any other provision of this division.
- (k) **Reservation of funds to increase the participation of individuals with disabilities—**
  - (1) **Reservation—** To make grants to public or private [nonprofit](/usc/42/300s–3.md?p=3) organizations to increase the participation of individuals with disabilities in national service and for demonstration activities in furtherance of this purpose, and subject to the limitation in [paragraph (2)](#k-2), the Chief Executive Officer shall reserve not less than 2 percent from the amounts, appropriated to carry out this division and divisions D, E, and H for each fiscal year.
  - (2) **Limitation—** The amount reserved under [paragraph (1)](#k-1) for a fiscal year may not exceed $20,000,000.
  - (3) **Remainder—** The Chief Executive Officer may use the funds reserved under [paragraph (1)](#k-1), and not distributed to make grants under this subsection for other activities described in [section 12681(a)(2) of this title](/usc/42/12681.md?p=a-2).
- (l) **Authority for fixed-amount grants—**
  - (1) **In general—**
    - (A) **Authority—** From amounts appropriated for a fiscal year to provide financial assistance under the national service laws, the [Corporation](/usc/42/2297h.md?p=2) may provide assistance in the form of fixed-amount grants in an amount determined by the [Corporation](/usc/42/2297h.md?p=2) under [paragraph (2)](#l-2) rather than on the basis of actual costs incurred by a [program](/usc/42/12626.md?p=8).
    - (B) **Limitation—** Other than fixed-amount grants to support [programs](/usc/42/12626.md?p=8) described in [section 12581a of this title](/usc/42/12581a.md), for the 1-year period beginning on the effective date of the Serve America Act, the [Corporation](/usc/42/2297h.md?p=2) may provide assistance in the form of fixed-amount grants to [programs](/usc/42/12626.md?p=8) that only offer full-time positions.
  - (2) **Determination of amount of fixed-amount grants—** A fixed-amount grant authorized by this subsection shall be in an amount determined by the [Corporation](/usc/42/2297h.md?p=2) that is—
    - (A) significantly less than the reasonable and necessary costs of administering the [program](/usc/42/12626.md?p=8) supported by the grant; and
    - (B) based on an amount per individual enrolled in the [program](/usc/42/12626.md?p=8) receiving the grant, taking into account—
      - (i) the capacity of the entity carrying out the [program](/usc/42/12626.md?p=8) to manage funds and achieve programmatic results;
      - (ii) the number of approved national service positions, approved silver scholar positions, or approved summer of service positions for the [program](/usc/42/12626.md?p=8), if applicable;
      - (iii) the proposed design of the [program](/usc/42/12626.md?p=8);
      - (iv) whether the [program](/usc/42/12626.md?p=8) provides service to, or involves the participation of, disadvantaged youth or otherwise would reasonably incur a relatively higher level of costs; and
      - (v) such other factors as the [Corporation](/usc/42/2297h.md?p=2) may consider under [section 12585 of this title](/usc/42/12585.md) in considering applications for assistance.
  - (3) **Requirements for grant recipients—** In awarding a fixed-amount grant under this subsection, the [Corporation](/usc/42/2297h.md?p=2)—
    - (A) shall require the grant recipient—
      - (i) to return a pro rata amount of the grant funds based upon the difference between the number of hours served by a participant and the minimum number of hours for completion of a term of service (as established by the [Corporation](/usc/42/2297h.md?p=2));
      - (ii) to report on the [program](/usc/42/12626.md?p=8)’s performance on standardized measures and performance levels established by the [Corporation](/usc/42/2297h.md?p=2);
      - (iii) to cooperate with any evaluation activities undertaken by the [Corporation](/usc/42/2297h.md?p=2); and
      - (iv) to provide assurances that additional funds will be raised in support of the [program](/usc/42/12626.md?p=8), in addition to those received under the national service laws; and
    - (B) may adopt other terms and conditions that the [Corporation](/usc/42/2297h.md?p=2) considers necessary or appropriate based on the relative risks (as determined by the [Corporation](/usc/42/2297h.md?p=2)) associated with any application for a fixed-amount grant.
  - (4) **Other requirements not applicable—** Limitations on administrative costs and matching fund documentation requirements shall not apply to fixed-amount grants provided in accordance with this subsection.
  - (5) **Rule of construction—** Nothing in this subsection shall relieve a grant recipient of the responsibility to comply with the requirements of [chapter 75](/usc/31/chstV/ch75.md) of title 31 or other requirements of Office of Management and Budget Circular A–133.

## Source credit

(Pub. L. 101–610, title I, § 129, as added Pub. L. 103–82, title I, § 101(b), Sept. 21, 1993, 107 Stat. 796; amended Pub. L. 111–13, title I, § 1306, Apr. 21, 2009, 123 Stat. 1501.)

## Notes

### Editorial Notes

### References in Text

The Domestic Volunteer Service Act of 1973, referred to in subsec. (c), is Pub. L. 93–113, Oct. 1, 1973, 87 Stat. 394. Title I of the Act is classified generally to subchapter I (§ 4951 et seq.) of chapter 66 of this title. For complete classification of this Act to the Code, see Short Title note set out under section 4950 of this title and Tables.

For the effective date of the Serve America Act, referred to in subsec. (l)(1)(B), as Oct. 1, 2009, see section 6101(a) of Pub. L. 111–13, set out as an Effective Date of 2009 Amendment note under section 4950 of this title.

### Prior Provisions

A prior section 129 of Pub. L. 101–610 was renumbered section 199H and is classified to section 12655h of this title.

### Amendments

2009—Pub. L. 111–13 amended section generally. Prior to amendment, section consisted of subsecs. (a) to (g) relating to allotments of assistance and approved national service positions to States and Indian tribes, reservation of the national service educational award for eligible individuals in approved positions, reservation of amounts appropriated as considered appropriate for special assistance, competitive distribution of remaining funds, application requirement, approval of positions subject to available funds, and sponsorship of approved national service positions.

### Statutory Notes and Related Subsidiaries

### Effective Date of 2009 Amendment

Amendment by Pub. L. 111–13 effective Oct. 1, 2009, see section 6101(a) of Pub. L. 111–13, set out as a note under section 4950 of this title.

### Effective Date

Section effective Oct. 1, 1993, see section 123 of Pub. L. 103–82, set out as an Effective Date of 1993 Amendment note under section 1701 of Title 16, Conservation.