Both McCain and Obama Back New National-Service Bill

September 22, 2008

Both McCain and Obama Back New National-Service Bill

The top two presidential candidates, Republican Sen. John McCain and Democrat Sen. Barack Obama, have agreed to co-sponsor a bill to expand the country’s national-service programs and provide money to help nonprofit groups recruit volunteers and replicate innovative programs.

The Serve America Act, which would more than triple participation in year-long national-service programs like AmeriCorps by 2013 and create several new federal programs, was unveiled a little over a week ago at the ServiceNation Summit in New York.

The bill — drawn up by Sens. Edward Kennedy, Democrat of Massachusetts, and Orrin Hatch, Republican of Utah — has also attracted as co-sponsors Chris Dodd, Democrat of Connecticut; Hillary Clinton, Democrat of New York; and Thad Cochran, Republican of Mississippi.

The full text of the bill, S. 3487, is now available, providing more detail about the proposals, including budget figures for several programs to help charities:

Community Solutions Funds. The Corporation for National and Community Service would provide grants to help nonprofit groups replicate and expand innovative programs helping people in low-income neighborhoods. The money would go to grant-making institutions with an expertise in specific areas such as public-school education, access to health care, and energy efficiency — which would in turn make subgrants to nonprofit groups. Proposed budget: $50-million in fiscal year 2009, rising to $100-million by 2013 — with matching funds from non-federal sources required.

Innovation Fellowships. The Corporation for National and Community Service would provide two-year grants of up to $100,000 to individuals to help them create innovative charities. The grants would be limited to people who were veterans or had participated in certain national-service programs. Proposed budget: $3.5-million in fiscal year 2009 and $5-million each subsequent year through 2013.

Volunteer Generation Fund. The Corporation for National and Community Service would provide grants (for three to five years) to state commissions or nonprofit volunteer-coordinating groups to help them recruit more volunteers to work for charities. Proposed budget: $50-million in fiscal year 2009, rising to $100-million by 2013 — with matching funds required from non-federal sources.

In addition, the bill outlines plans for a Commission on Cross Sector Solutions. This 21-person panel would examine ways the federal government can “interact more efficiently and effectively” with charities, philanthropic organizations, and businesses to address social problems. It would study issues like how to make it easier for nonprofit groups to get federal grants and contracts, how government policies could make nonprofit groups more accountable, and whether the federal government should step up spending on social-service research.

The commission’s members — experts in areas like nonprofit management, social entrepreneurship, and business — would be appointed by the president and Senate and House majority and minority leaders.

Few other specific budget figures are spelled out in the legislation, but Senator Hatch told the New York conference that the bill as a whole would cost $5-billion over five years.

That price tag would be on top of the budget for existing national-service programs. A bill to reauthorize those programs, the GIVE Act, was defeated earlier this year by one vote. Senator Kennedy plans to combine the Serve America Act with new legislation to reauthorize the existing programs, an aide said.

— Suzanne Perry

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