---
kind: "section"
citation: "42 U.S.C. § 12606"
title: "42"
title_heading: "The Public Health and Welfare"
number: "12606"
heading: "Approval process for approved positions"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/12606"
units:
  - "Chapter 129 — National and Community Service"
  - "Subchapter I — National and Community Service State Grant Program"
  - "Division D — National Service Trust and Provision of Educational Awards"
---

# §12606. Approval process for approved positions

- (a) **Timing and recording requirements—**
  - (1) **In general—** Notwithstanding divisions C, D, and H, and any other provision of law, in approving a position as an approved national service position, an approved summer of service position, or an approved silver scholar position, the [Corporation](/usc/42/2297h.md?p=2)—
    - (A) shall approve the position at the time the [Corporation](/usc/42/2297h.md?p=2)—
      - (i) enters into an enforceable agreement with an individual participant to serve in a [program](/usc/42/12626.md?p=8) carried out under division E of this subchapter, section [12653b](/usc/42/12653b.md) or [12653c(a)](/usc/42/12653c.md?p=a) of this title, or under title I of the Domestic Volunteer Service Act of 1973 ([42 U.S.C. 4951](/usc/42/4951.md) et seq.), a summer of service [program](/usc/42/12626.md?p=8) described in [section 12563(c)(8) of this title](/usc/42/12563.md?p=c-8), or a silver scholarship [program](/usc/42/12626.md?p=8) described in [section 12653c(a) of this title](/usc/42/12653c.md?p=a); or
      - (ii) except as provided in [clause (i)](#a-1-A-i), awards a grant to (or enters into a contract or cooperative agreement with) an entity to carry out a [program](/usc/42/12626.md?p=8) for which such a position is approved under [section 12573 of this title](/usc/42/12573.md); and
    - (B) shall record as an obligation an estimate of the net present value of the national service educational award, summer of service educational award, or silver scholar educational award associated with the position, based on a formula that takes into consideration historical rates of enrollment in such a [program](/usc/42/12626.md?p=8), and of earning and using national service educational awards, summer of service educational awards, or silver scholar educational awards, as appropriate, for such a [program](/usc/42/12626.md?p=8) and remain available.
  - (2) **Formula—** In determining the formula described in [paragraph (1)(B)](#a-1-B), the [Corporation](/usc/42/2297h.md?p=2) shall consult with the [Director](/usc/42/12626.md?p=6) of the Congressional Budget Office.
  - (3) **Certification report—** The Chief Executive Officer of the [Corporation](/usc/42/2297h.md?p=2) shall annually prepare and submit to the authorizing committees a report that contains a certification that the [Corporation](/usc/42/2297h.md?p=2) is in compliance with the requirements of [paragraph (1)](#a-1).
  - (4) **Approval—** The requirements of this subsection shall apply to each approved national service position, approved summer of service position, or approved silver scholarship position that the [Corporation](/usc/42/2297h.md?p=2) approves—
    - (A) during fiscal year 2010; and
    - (B) during any subsequent fiscal year.
- (b) **Reserve account—**
  - (1) **Establishment and contents—**
    - (A) **Establishment—** Notwithstanding divisions C, D, and H, and any other provision of law, within the National Service Trust established under [section 12601 of this title](/usc/42/12601.md), the [Corporation](/usc/42/2297h.md?p=2) shall establish a reserve account.
    - (B) **Contents—** To ensure the availability of adequate funds to support the awards of approved national service positions, approved summer of service positions, and approved silver scholar positions, for each fiscal year, the [Corporation](/usc/42/2297h.md?p=2) shall place in the account—
      - (i) during fiscal year 2010, a portion of the funds that were appropriated for fiscal year 2010 or a previous fiscal year under [section 12681 of this title](/usc/42/12681.md) or section 501 of the Domestic Volunteer Service Act of 1973 ([42 U.S.C. 5081](/usc/42/5081.md)), were made available to carry out division C, D, or E of this subchapter, section [12653b](/usc/42/12653b.md) or [12653c(a)](/usc/42/12653c.md?p=a) of this title, subtitle A[^1] of title I of the Domestic Volunteer Service Act of 1973, or summer of service [programs](/usc/42/12626.md?p=8) described in [section 12563(c)(8) of this title](/usc/42/12563.md?p=c-8), and remain available; and
      - (ii) during fiscal year 2011 or a subsequent fiscal year, a portion of the funds that were appropriated for that fiscal year under [section 12681 of this title](/usc/42/12681.md) or section 501 of the Domestic Volunteer Service Act of 1973 ([42 U.S.C. 5081](/usc/42/5081.md)), were made available to carry out division C, D, or E of this subchapter, section [12653b](/usc/42/12653b.md) or [12653c(a)](/usc/42/12653c.md?p=a) of this title, subtitle A[^1] of title I of the Domestic Volunteer Service Act of 1973, or summer of service [programs](/usc/42/12626.md?p=8) described in [section 12563(c)(8) of this title](/usc/42/12563.md?p=c-8), and remain available.
  - (2) **Obligation—** The [Corporation](/usc/42/2297h.md?p=2) shall not obligate the funds in the reserve account until the [Corporation](/usc/42/2297h.md?p=2)—
    - (A) determines that the funds will not be needed for the payment of national service educational awards associated with previously approved national service positions, summer of service educational awards associated with previously approved summer of service positions, and silver scholar educational awards associated with previously approved silver scholar positions; or
    - (B) obligates the funds for the payment of national service educational awards for such previously approved national service positions, summer of service educational awards for such previously approved summer of service positions, or silver scholar educational awards for such previously approved silver scholar positions, as applicable.
- (c) **Audits—** The accounts of the [Corporation](/usc/42/2297h.md?p=2) relating to the appropriated funds for approved national service positions, approved summer of service positions, and approved silver scholar positions, and the records demonstrating the manner in which the [Corporation](/usc/42/2297h.md?p=2) has recorded estimates described in [subsection (a)(1)(B)](#a-1-B) as obligations, shall be audited annually by independent certified public accountants or independent licensed public accountants certified or licensed by a regulatory authority of a [State](/usc/42/12522.md?p=1) or other political subdivision of the United States in accordance with generally accepted auditing standards. A report containing the results of each such independent audit shall be included in the annual report required by [subsection (a)(3)](#a-3).
- (d) **Availability of amounts—** Except as provided in [subsection (b)](#b), all amounts included in the National Service Trust under paragraphs (1), (2), and (3) of [section 12601(a) of this title](/usc/42/12601.md?p=a) shall be available for payments of national service educational awards, summer of service educational awards, or silver scholar educational awards under [section 12604 of this title](/usc/42/12604.md).

## Footnotes

[^1]: See References in Text note below.

## Source credit

(Pub. L. 101–610, title I, § 149, as added Pub. L. 111–13, title I, § 1406(a), Apr. 21, 2009, 123 Stat. 1519.)

## Notes

### Editorial Notes

### References in Text

The Domestic Volunteer Service Act of 1973, referred to in subsecs. (a)(1)(A)(i) and (b)(1)(B)(i), (ii), 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. Reference to subtitle A of title I of the Act probably means part A of title I of the Act, which is classified generally to part A (§ 4951 et seq.) of subchapter I 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.

### Prior Provisions

A prior section 149 of Pub. L. 101–610 was classified to section 12579 of this title prior to the general amendment of subtitle D of title I of Pub. L. 101–610 (former part D of this subchapter) by Pub. L. 103–82, § 102(a).

### Statutory Notes and Related Subsidiaries

### Effective Date

Section effective 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.