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such duties and exercise such powers as the Board may 2 prescribe.

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(b) There shall be a Deputy Director of the Institute 4 who shall be appointed by the President and shall serve at 5 the pleasure of the President. The Deputy Director shall be 6 compensated at the rate provided for grade 18 of the General 7 Schedule set forth in section 5332 of title 5, United States 8 Code. The Deputy Director shall exercise such powers as

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the Director may prescribe, and the Deputy Director shall 10 serve as Director during the absence or disability of the

11 Director, or in the event of a vacancy in the Office of Direc

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tor. The position created by this paragraph shall be in addi13 tion to the number of positions placed in grade 18 of the 14 General Schedule under section 5108 of title 5, United 15 States Code.

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ACTIVITIES OF THE INSTITUTE

17 SEC. 206. (a) The Director, subject to the manage18 ment of the Board, is authorized to make grants to museums 19 to increase and improve museum services, through such 20 activities as

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(1) projects to enable museums to construct or

install displays, interpretations, and exhibitions in order to improve their services to the public;

(2) assisting them in developing and maintaining

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professionally-trained or otherwise experienced staff to

meet their needs;

(3) assisting them to meet their administrative costs in preserving and maintaining their collections, exhibiting them to the public, and providing educational programs to the public through the use of their collections;

(4) assisting museums in cooperation with each other in the development of traveling exhibitions, meeting transportation costs, and identifying and locating collections available for loan:

(5) assisting them in conservation of artifacts and art objects; and

(6) developing and carrying out specialized programs for specific segments of the public such as programs for urban neighborhoods, rural areas, Indian reservations, penal and other State institutions.

(b) Grants under this section may not exceed 75 per 19 centum of the cost of the program for which the grant is

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SEC. 207. The Institute shall have authority to accept in 23 the name of the United States, grants, gifts, or bequests of 24 money for immediate disbursement in furtherance of the func25 tions of the Institute. Such grants, gifts, or bequests, after

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1 acceptance by the Institute, shall be paid by the donor or 2 his representative to the Treasurer of the United States 3 whose receipt shall be their acquittance. The Treasurer of 4 the United States shall enter them in a special account to 5 the credit of the Institute for the purposes in each case 6 specified.

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AUTHORIZATION OF APPROPRIATIONS

SEC. 208. (a) For the purpose of making grants under 9 section 206 (a), there are hereby authorized to be appro10 priated $25,000,000 for the fiscal year ending June 30, 11 1975, and $30,000,000 for each of the succeeding fiscal 12 years ending prior to October 1, 1978.

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(b) For the purpose of enabling the Institute to carry 14 out its functions under this part, during the period beginning

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on the date of enactment of this Act and ending October 1, 16 1978, there is authorized to be appropriated an amount equal

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to the amount contributed during such period to the Institute 18 under section 207.

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222

DEFINITION

SEC. 209. For purposes of this part, the term "museum”

means a public or private nonprofit agency or institution.

22 organized on a permanent basis for essentially educational or 23 esthetic purposes, which, utilizing a professsional staff, owns

24 and utilizes tangible objects, cares for them, and exhibits 25 them to the public on a regular basis.

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PART B-EXHIBITIONS

SHORT TITLE

SEC. 221. This part may be cited as the "Arts and Arti

4 facts Indemnity Act".

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SEC. 222. (a) The Federal Council on the Arts and 6 Humanities (hereafter in this part referred to as the "Coun7 cil"), established under section 9 of the National Foundation

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on the Arts and the Humanities Act of 1965, is authorized

to indemnify against loss or damage such items as may be 10 eligible therefor under this part (as described in section

11 223)

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and

(1) in accordance with the provisions of this part;

(2) on such terms and conditions as the Council shall prescribe, by regulation, in order to achieve the

purpose of this part and, consistent with such purpose,

to protect the financial interest of the United States.

(b) For the purposes of this part, the Council shall be

an "agency" within the meaning of the appropriate defini20 tions of such term in title 5, United States Code.

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SEC. 223. (a) The Council may provide indemnification

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(1) works of art, including tapestries, paintings,

sculpture, folk art, graphics, and craft arts;

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(2) manuscripts, rare documents, books, and other

printed or published materials;

(3) other artifacts or objects; and

(4) motion pictures or audio and video tape;

5 which are (A) of educational, cultural, historical, or scien6 tific value and (B) the exhibition of which is certified by 7 the Secretary of State or his designee as being in the national 8 interest.

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(b) Items eligible for indemnification under this part 10 shall be covered by an indemnity while on exhibition in the 11 United States. For the purposes of this subsection, the term

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"on exhibition" includes that period of time which begins at

the point when the eligible items leave the premises of the 14 lender or place designated by the lender and ends when such 15 items are returned to the premises of the lender or place 16 designated by the lender.

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SEC. 224. (a) Any person, nonprofit agency, institu18 tion, or government desiring to obtain an indemnity for 19 eligible items under this part shall make application there20 for in accordance with such procedures, in such form, and 21 in such manner as the Council shall, by regulation, prescribe.

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(b) An application under subsection (a) shall

(1) described each item to be covered (including

an estimated value thereof);

(2) show evidence that the items are eligible under

subsection 223 (a) ; and

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