-CITE- 36 USC CHAPTER 101 - GENERAL 01/03/2012 (112-90) -EXPCITE- TITLE 36 - PATRIOTIC AND NATIONAL OBSERVANCES, CEREMONIES, AND ORGANIZATIONS Subtitle II - Patriotic and National Organizations Part A - General CHAPTER 101 - GENERAL -HEAD- CHAPTER 101 - GENERAL -MISC1- Sec. 10101. Audits. 10102. Reservation of right to amend or repeal. -End- -CITE- 36 USC Sec. 10101 01/03/2012 (112-90) -EXPCITE- TITLE 36 - PATRIOTIC AND NATIONAL OBSERVANCES, CEREMONIES, AND ORGANIZATIONS Subtitle II - Patriotic and National Organizations Part A - General CHAPTER 101 - GENERAL -HEAD- Sec. 10101. Audits -STATUTE- (a) General. - Except as otherwise provided, the financial statements of each corporation in part B of this subtitle shall be audited annually in accordance with generally accepted auditing standards by an independent certified public accountant or independent licensed public accountant, certified or licensed by a regulatory authority of a State or other political subdivision of the United States. The audit shall be conducted where the financial statements of the corporation normally are kept. The person conducting the audit shall be given access to - (1) all records and property owned or used by the corporation necessary to facilitate the audit; and (2) full facilities for verifying transactions with the balances or securities held by depositories, fiscal agents, and custodians. (b) Report. - (1) The corporation shall submit a report of the audit to Congress not later than 6 months after the close of the fiscal year for which the audit is made. The report shall describe the scope of the audit and include - (A) statements necessary to present fairly the corporation's assets, liabilities, and surplus or deficit, and an analysis of the changes in those amounts during the year; (B) a statement in reasonable detail of the corporation's income and expenses during the year including the results of any trading, manufacturing, publishing, or other commercial-type endeavor; and (C) the independent auditor's opinion of those statements. (2) The report may not be printed as a public document, except as part of proceedings authorized to be printed under section 1332 of title 44. -SOURCE- (Pub. L. 105-225, Aug. 12, 1998, 112 Stat. 1283.) -MISC1- HISTORICAL AND REVISION NOTES -------------------------------------------------------------------- Revised Source (U.S. Code) Source (Statutes at Large) Section -------------------------------------------------------------------- 10101(a) 36:1084 (less (b) July 16, 1964, Pub. L. (2d sentence cl. 88-378, Sec. 14 (less (b) (2))). (2d sentence cl. (2))), 78 Stat. 327. 36:1101(1)-(76), Aug. 30, 1964, Pub. L. (77) (related to 88-504, Sec. 1(1)-(76), (77) Fleet Reserve (related to Fleet Reserve Association). Association), 78 Stat. 635; Dec. 15, 1975, Pub. L. 94-151, Sec. 2, 89 Stat. 809; Nov. 11, 1977, Pub. L. 95-167, Sec. 2, 91 Stat. 1348; Dec. 29, 1979, Pub. L. 96-165, Sec. 9(g), 93 Stat. 1272; Dec. 2, 1980, Pub. L. 96-489, Sec. 11, 94 Stat. 2554; Dec. 4, 1980, Pub. L. 96-497, Sec. 11, 94 Stat. 2596; Nov. 20, 1981, Pub. L. 97-82, Sec. 11, 95 Stat. 1093; Nov. 20, 1981, Pub. L. 97-83, Sec. 11, 95 Stat. 1095; June 1, 1982, Pub. L. 97-192, Sec. 11, 96 Stat. 110; Aug. 9, 1982, Pub. L. 97-231, Sec. 11, 96 Stat. 257; Aug. 10, 1982, Pub. L. 97-234, Sec. 11, 96 Stat. 263; Jan. 8, 1983, Pub. L. 97-427, Sec. 11, 96 Stat. 2266; Apr. 10, 1984, Pub. L. 98-257, Sec. 11, 98 Stat. 128; June 12, 1984, Pub. L. 98-314, Sec. 11, 98 Stat. 239; July 23, 1984, Pub. L. 98-372, Sec. 11, 98 Stat. 1240; Aug. 17, 1984, Pub. L. 98-382, Sec. 11, 98 Stat. 1345; Aug. 21, 1984, Pub. L. 98-391, Sec. 11, 98 Stat. 1360; Oct. 19, 1984, Pub. L. 98-520, Sec. 11, 98 Stat. 2429; Oct. 30, 1984, Pub. L. 98-561, Sec. 12, 98 Stat. 2912; Oct. 30, 1984, Pub. L. 98-565, Sec. 11, 98 Stat. 2921; Oct. 30, 1984, Pub. L. 98-584, Sec. 11, 98 Stat. 3098; Oct. 7, 1985, Pub. L. 99-119, Sec. 11, 99 Stat. 500; Dec. 9, 1985, Pub. L. 99-172, Sec. 11, 99 Stat. 1022; May 23, 1986, Pub. L. 99-318, Sec. 12, 100 Stat. 476; Nov. 6, 1986, Pub. L. 99-604, Sec. 11, 100 Stat. 3448; Apr. 6, 1988, Pub. L. 100-281, Sec. 12, 102 Stat. 75; Nov. 14, 1988, Pub. L. 100-655, title I, Sec. 111, 102 Stat. 3851; Nov. 5, 1990, Pub. L. 101-510, title XVI, Sec. 1611, 104 Stat. 1738; Dec. 10, 1991, Pub. L. 102-199, Sec. 2, 105 Stat. 1629; Oct. 23, 1992, Pub. L. 102-484, title XVIII, Secs. 1812, 1832, 106 Stat. 2583, 2585; Sept. 23, 1996, Pub. L. 104-201, title XVIII, Sec. 1811, 110 Stat. 2762. 36:1102. Aug. 30, 1964, Pub. L. 88-504, Secs. 2, 3, 78 Stat. 636. 36:1166. Aug. 11, 1971, Pub. L. 92-93, Sec. 16, 85 Stat. 319. 36:1213(a). Oct. 20, 1978, Pub. L. 95-493, Sec. 13(a), 92 Stat. 1646. 36:4315 (less (b) July 14, 1964, Pub. L. (2d sentence cl. 88-372, Sec. 15 (less (b) (2))). (2d sentence cl. (2))), 78 Stat. 317. 36:4514 (less (b) July 14, 1964, Pub. L. (2d sentence cl. 88-376, Sec. 14 (less (b) (2))). (2d sentence cl. (2))), 78 Stat. 323. 36:4610 (less (b) Aug. 19, 1964, Pub. L. (2d sentence cl. 88-449, Sec. 10 (less (b) (2))). (2d sentence cl. (2))), 78 Stat. 498. 36:5206(a). Oct. 26, 1992, Pub. L. 102-522, Sec. 207(a), 106 Stat. 3420. 36:5706(a). Oct. 11, 1996, Pub. L. 104-285, title II, Sec. 207(a), 110 Stat. 3385. 10101(b) 36:1103. -------------------------------------------------------------------- In this section, the text of 36:1101 is omitted as unnecessary because of the addition of the words "Except as otherwise provided" in subsection (a) of this section. The text of 36:1166, 1213(a), and 5206(a) is omitted as unnecessary because of the restatement of 36:1102 and 1103 as general provisions covering, except as otherwise provided, all federally chartered corporations referred to in part B of subtitle II of the revised title. The text of 36:1084 (less (b) (2d sentence cl. (2))), 4315 (less (b) (2d sentence cl. (2))), 4514 (less (b) (2d sentence cl. (2))), and 4610 (less (b) (2d sentence cl. (2))) is omitted as unnecessary because of the restatement in this section of the general audit provisions of 36:1102 and 1103. In subsection (a), before clause (1), the words "Except as otherwise provided" are added because certain corporations referred to in part B of subtitle II of the revised title are not covered by the audit requirements restated in the revised section. The words "at the place or places" and "or persons" are omitted as unnecessary. The words "financial statements" are substituted for "accounts" to use the generally accepted term for audits conducted by public accountants. The words "shall be given access to" are substituted for "shall be made available to" and "shall be afforded to" for consistency. In clause (1), the words "records and property owned or used by" are substituted for "books, accounts, financial records, reports, files, and all other papers, things, or property belonging to or in use by" for consistency in the revised title and with other titles of the United States Code and to eliminate unnecessary words. In subsection (b)(1)(B), the words "supplemented . . . by" and "carried on by the corporation" are omitted as unnecessary. TERMINATION OF REPORTING REQUIREMENTS With respect to corporations listed below, for termination, effective May 15, 2000, of reporting provisions in subsec. (b)(1) of this section, see section 3003 of Pub. L. 104-66, as amended, set out as a note under section 1113 of Title 31, Money and Finance, and pages 196 through 208 of House Document No. 103-7. Agricultural Hall of Fame American Chemical Society American Council of Learned Societies American Ex-Prisoners of War American Gold Star Mothers, Incorporated American Historical Association The American Legion The American National Theater and Academy The American Society of International Law American Symphony Orchestra League American War Mothers AMVETS (American Veterans) Army and Navy Union of the United States of America Aviation Hall of Fame Big Brothers-Big Sisters of America Blinded Veterans Association Blue Star Mothers of America, Inc. Board For Fundamental Education Boy Scouts of America Boys & Girls Clubs of America Catholic War Veterans of the United States of America, Incorporated Civil Air Patrol Congressional Medal of Honor Society of the United States of America Daughters of Union Veterans of the Civil War 1861-1865 Disabled American Veterans Former Members of Congress The Foundation of the Federal Bar Association Future Farmers of America General Federation of Women's Clubs Girl Scouts of the United States of America Gold Star Wives of America Italian American War Veterans of the United States Jewish War Veterans of the United States of America, Incorporated Jewish War Veterans, U.S.A., National Memorial, Incorporated Ladies of the Grand Army of the Republic Legion of Valor of the United States of America, Incorporated Little League Baseball, Incorporated Marine Corps League The Military Chaplains Association of the United States of America Military Order of the Purple Heart of the United States of America, Incorporated National Academy of Public Administration National Academy of Sciences National Conference of State Societies, Washington, District of Columbia National Conference on Citizenship National Council on Radiation Protection and Measurements National Federation of Music Clubs National Fund for Medical Education National Mining Hall of Fame and Museum National Music Council National Safety Council National Ski Patrol System, Incorporated National Society, Daughters of the American Colonists The National Society of the Daughters of the American Revolution National Society of the Sons of the American Revolution National Tropical Botanical Garden National Woman's Relief Corps, Auxiliary to the Grand Army of the Republic The National Yoemen F Naval Sea Cadet Corps Navy Club of the United States of America Navy Wives Clubs of America Non Commissioned Officers Association of the United States of America, Incorporated Paralyzed Veterans of America Pearl Harbor Survivors Association Polish Legion of American Veterans, U.S.A. Reserve Officers Association of the United States Sons of Union Veterans of the Civil War 369th Veterans' Association United Service Organizations, Incorporated United States Capitol Historical Society United States Submarine Veterans of World War II Veterans of Foreign Wars of the United States Veterans of World War I of the United States of America, Incorporated Vietnam Veterans of America, Inc. Women's Army Corps Veterans' Association -End- -CITE- 36 USC Sec. 10102 01/03/2012 (112-90) -EXPCITE- TITLE 36 - PATRIOTIC AND NATIONAL OBSERVANCES, CEREMONIES, AND ORGANIZATIONS Subtitle II - Patriotic and National Organizations Part A - General CHAPTER 101 - GENERAL -HEAD- Sec. 10102. Reservation of right to amend or repeal -STATUTE- (a) General. - Congress reserves the right to amend or repeal the provisions of part B of this subtitle. (b) Nonapplication. - Subsection (a) of this section does not apply to chapters 213, 407, 801, 1403, 1503 (except section 150302(b)), 1513, 1517, 1531, and 1539 of this title. -SOURCE- (Pub. L. 105-225, Aug. 12, 1998, 112 Stat. 1283.) -MISC1- HISTORICAL AND REVISION NOTES -------------------------------------------------------------------- Revised Source (U.S. Code) Source (Statutes at Large) Section -------------------------------------------------------------------- 10102 36:20g. June 9, 1906, ch. 3065 Sec. 7, 34 Stat. 228. 36:29. June 15, 1916, ch. 148, Sec. 9, 39 Stat. 229. 36:38a. Mar. 16, 1950, ch. 62, Sec. 9, 64 Stat. 24. 36:51. Sept. 16, 1919, ch. 59, Sec. 10, 41 Stat. 285. 36:59. Aug. 4, 1937, ch. 564, Sec. 5, 50 Stat. 559. 36:67s. July 23, 1947, ch. 298, Sec. 20, 61 Stat. 408. 36:78q. June 17, 1959, Pub. L. 86-47, Sec. 18, 73 Stat. 80. 36:90k. June 17, 1932, ch. 268, Sec. 11, 47 Stat. 322. 36:104. Feb. 24, 1925, ch. 303, Sec. 14, 43 Stat. 968. 36:120. May 28, 1936, ch. 471, Sec. 10, 49 Stat. 1391. 36:140 note. June 6, 1940, ch. 239, Sec. 5, 54 Stat. 233. 36:208. July 1, 1946, ch. 527, Sec. 8, 60 Stat. 347. 36:239. June 30, 1950, ch. 431, Sec. 19, 64 Stat. 315. 36:254 note. May 27, 1914, ch. 101, Sec. 2, 38 Stat. 383. 36:291. Aug. 30, 1950, ch. 823, Sec. 21, 64 Stat. 567. 36:352. Sept. 20, 1950, ch. 958, Sec. 12, 64 Stat. 872. 36:382. Sept. 21, 1950, ch. 975, title I, Sec. 112, as added Nov. 8, 1978, Pub. L. 95-606, Sec. 1(b), 92 Stat. 3049. 36:421. Apr. 3, 1952, ch. 131, Sec. 21, 66 Stat. 41. 36:447. Aug. 13, 1953, ch. 427, Sec. 17, 67 Stat. 565. 36:479. Aug. 13, 1953, ch. 429, Sec. 19, 67 Stat. 574. 36:518. July 19, 1954, ch. 536, Sec. 18, 68 Stat. 492. 36:550. Aug. 20, 1954, ch. 774, Sec. 20, 68 Stat. 752. 36:589. Aug. 24, 1954, ch. 911, Sec. 19, 68 Stat. 800. 36:617. Aug. 28, 1954, ch. 1036, Sec. 17, 68 Stat. 895. 36:647. Aug. 4, 1955, ch. 546, Sec. 17, 69 Stat. 490. 36:680. Aug. 1, 1956, ch. 824, Sec. 20, 70 Stat. 797. 36:707. Aug. 6, 1956, ch. 976, Sec. 17, 70 Stat. 1056. 36:780. July 18, 1958, Pub. L. 85-530, Sec. 20, 72 Stat. 375. 36:807. Aug. 14, 1958, Pub. L. 85-642, Sec. 17, 72 Stat. 601. 36:837. Aug. 26, 1958, Pub. L. 85-761, Sec. 17, 72 Stat. 859. 36:868. Aug. 27, 1958, Pub. L. 85-769, Sec. 18, 72 Stat. 927. 36:898. Sept. 2, 1958, Pub. L. 85-870, Sec. 18, 72 Stat. 1695. 36:926. Sept. 2, 1958, Pub. L. 85-903, Sec. 16, 72 Stat. 1741. 36:958. July 14, 1960, Pub. L. 86-653, Sec. 18, 74 Stat. 518. 36:988. Aug. 31, 1960, Pub. L. 86-680, Sec. 18, 74 Stat. 577. 36:1020. Sept. 7, 1962, Pub. L. 87-650, Sec. 20, 76 Stat. 506. 36:1059. Sept. 10, 1962, Pub. L. 87-655, Sec. 19, 76 Stat. 534. 36:1088. July 16, 1964, Pub. L. 88-378, Sec. 18, 78 Stat. 328. 36:1167. Aug. 11, 1971, Pub. L. 92-93, Sec. 17, 85 Stat. 319. 36:1218. Oct. 20, 1978, Pub. L. 95-493, Sec. 18, 92 Stat. 1647. 36:1309(h). Dec. 29, 1979, Pub. L. 96-165, Sec. 9(h), 93 Stat. 1272. 36:1512. Dec. 2, 1980, Pub. L. 96-489, Sec. 13, 94 Stat. 2555. 36:1612. Dec. 4, 1980, Pub. L. 96-497, Sec. 13, 94 Stat. 2597. 36:1712. Nov. 20, 1981, Pub. L. 97-82, Sec. 13, 95 Stat. 1093. 36:1812. Nov. 20, 1981, Pub. L. 97-83, Sec. 13, 95 Stat. 1096. 36:1912. June 1, 1982, Pub. L. 97-192, Sec. 13, 96 Stat. 111. 36:2012. Aug. 9, 1982, Pub. L. 97-231, Sec. 13, 96 Stat. 258. 36:2112. Aug. 10, 1982, Pub. L. 97-234, Sec. 13, 96 Stat. 263. 36:2212. Jan. 8, 1983, Pub. L. 97-427, Sec. 13, 96 Stat. 2267. 36:2312. Apr. 10, 1984, Pub. L. 98-257, Sec. 13, 98 Stat. 129. 36:2412. June 12, 1984, Pub. L. 98-314, Sec. 13, 98 Stat. 239. 36:2512. July 23, 1984, Pub. L. 98-372, Sec. 13, 98 Stat. 1241. 36:2612. Aug. 17, 1984, Pub. L. 98-382, Sec. 13, 98 Stat. 1345. 36:2712. Aug. 21, 1984, Pub. L. 98-391, Sec. 13, 98 Stat. 1360. 36:2812. Oct. 19, 1984, Pub. L. 98-520, Sec. 13, 98 Stat. 2430. 36:2913. Oct. 30, 1984, Pub. L. 98-561, Sec. 14, 98 Stat. 2912. 36:3012. Oct. 30, 1984, Pub. L. 98-565, Sec. 13, 98 Stat. 2922. 36:3112. Oct. 30, 1984, Pub. L. 98-584, Sec. 13, 98 Stat. 3099. 36:3209. Aug. 25, 1937, ch. 762, Sec. 9, 50 Stat. 800. 36:3310. July 5, 1935, ch. 373, Sec. 10, 49 Stat. 459. 36:3418. Oct. 15, 1962, Pub. L. 87-817, Sec. 18, 76 Stat. 933. 36:3612. Oct. 7, 1985, Pub. L. 99-119, Sec. 13, 99 Stat. 500. 36:3712. Dec. 9, 1985, Pub. L. 99-172, Sec. 13, 99 Stat. 1022. 36:3813. May 23, 1986, Pub. L. 99-318, Sec. 14, 100 Stat. 476. 36:3912. Nov. 6, 1986, Pub. L. 99-604, Sec. 13, 100 Stat. 3448. 36:4013. Apr. 6, 1988, Pub. L. 100-281, Sec. 14, 102 Stat. 75. 36:4112. Nov. 14, 1988, Pub. L. 100-655, title I, Sec. 113, 102 Stat. 3852. 36:4206. Apr. 17, 1916, ch. 77, Sec. 6, 39 Stat. 52. 36:4318. July 14, 1964, Pub. L. 88-372, Sec. 18, 78 Stat. 318. 36:4408. June 6, 1900, ch. 806, Sec. 8, 31 Stat. 663. 36:4517. July 14, 1964, Pub. L. 88-376, Sec. 17, 78 Stat. 324. 36:4617. Aug. 19, 1964, Pub. L. 88-449, Sec. 17, 78 Stat. 499. 36:4706. May 31, 1920, ch. 216, Sec. 6, 41 Stat. 694. 36:4812. Nov. 5, 1990, Pub. L. 101-510, title XVI, Sec. 1613, 104 Stat. 1738. 36:4910. Jan. 30, 1913, ch. 21, Sec. 10, 37 Stat. 655. 36:5013. Oct. 23, 1992, Pub. L. 102-484, title XVIII, Sec. 1814, 106 Stat. 2583; May 31, 1993, Pub. L. 103-35, title II, Sec. 202(a)(13), 107 Stat. 101. 36:5113. Oct. 23, 1992, Pub. L. 102-484, title XVIII, Sec. 1834, 106 Stat. 2586; May 31, 1993, Pub. L. 103-35, title II, Sec. 202(a)(13), 107 Stat. 101. 36:5311. June 30, 1906, ch. 3929, Sec. 11, 34 Stat. 808. 36:5402. Mar. 3, 1901, ch. 876, Sec. 2, 31 Stat. 1454; June 29, 1938, ch. 796, 52 Stat. 1226. 36:5612. Sept. 23, 1996, Pub. L. 104-201, title XVIII, Sec. 1813, 110 Stat. 2762. -------------------------------------------------------------------- In subsection (a), the source provisions are restated as a general provision to avoid the need to repeat identical provisions. The words "but no contract or individual right made or acquired shall be divested or impaired" in 36:104 and "but no contract or individual right made or acquired shall thereby be divested or impaired" in 36:5311 are omitted as unnecessary and for consistency in the revised title. Subsection (b) is added because the chapters referred to in subsection (b) restate laws which Congress did not expressly reserve the right to amend or repeal. -End- -CITE- 36 USC Part B - Organizations 01/03/2012 (112-90) -EXPCITE- TITLE 36 - PATRIOTIC AND NATIONAL OBSERVANCES, CEREMONIES, AND ORGANIZATIONS Subtitle II - Patriotic and National Organizations Part B - Organizations -HEAD- PART B - ORGANIZATIONS -MISC1- NATIONAL FOUNDATION ON FITNESS, SPORTS, AND NUTRITION Pub. L. 111-332, Dec. 22, 2010, 124 Stat. 3576, provided that: "SECTION 1. SHORT TITLE. "This Act may be cited as the 'National Foundation on Fitness, Sports, and Nutrition Establishment Act'. "SEC. 2. ESTABLISHMENT AND PURPOSE OF FOUNDATION. "(a) Establishment. - There is established the National Foundation on Fitness, Sports, and Nutrition (hereinafter in this Act referred to as the 'Foundation'). The Foundation is a charitable and nonprofit corporation and is not an agency or establishment of the United States. "(b) Purposes. - The purposes of the Foundation are - "(1) in conjunction with the Office of the President's Council on Fitness, Sports and Nutrition, to develop a list and description of programs, events and other activities which would further the purposes and functions outlined in Executive Order 13265 [42 U.S.C. 300u note], as amended, and with respect to which combined private and governmental efforts would be beneficial; "(2) to encourage and promote the participation by private organizations in the activities referred to in subsection (b)(1) and to encourage and promote private gifts of money and other property to support those activities; and "(3) in consultation with such Office, to undertake and support activities to further the purposes and functions of such Executive Order. "(c) Prohibition on Federal Funding. - The Foundation may not accept any Federal funds. "SEC. 3. BOARD OF DIRECTORS OF THE FOUNDATION. "(a) Establishment and Membership. - The Foundation shall have a governing Board of Directors (hereinafter referred to in this Act as the 'Board'), which shall consist of 9 members each of whom shall be a United States citizen and - "(1) 3 of whom should be knowledgeable or experienced in one or more fields directly connected with physical fitness, sports, nutrition, or the relationship between health status and physical exercise; and "(2) 6 of whom should be leaders in the private sector with a strong interest in physical fitness, sports, nutrition, or the relationship between health status and physical exercise. The membership of the Board, to the extent practicable, should represent diverse professional specialties relating to the achievement of physical fitness through regular participation in programs of exercise, sports, and similar activities, or to nutrition. The Assistant Secretary for Health, the Executive Director of the President's Council on Fitness, Sports and Nutrition, the Director for the National Center for Chronic Disease Prevention and Health Promotion, the Director of the National Heart, Lung, and Blood Institute, and the Director for the Centers for Disease Control and Prevention shall be ex officio, nonvoting members of the Board. Appointment to the Board or its staff shall not constitute employment by, or the holding of an office of, the United States for the purposes of laws relating to Federal employment. "(b) Appointments. - Within 90 days from the date of enactment of this Act [Dec. 22, 2010], the members of the Board shall be appointed by the Secretary [probably means the Secretary of Health and Human Services] in accordance with this subsection. In selecting individuals for appointments to the Board, the Secretary should consult with - "(1) the Speaker of the House of Representatives concerning the appointment of one member; "(2) the Majority Leader of the House of Representatives concerning the appointment of one member; "(3) the Majority Leader of the Senate concerning the appointment of one member; "(4) the President Pro Tempore concerning the appointment of one member; "(5) the Minority Leader of the House of Representatives concerning the appointment of one member; and "(6) the Minority Leader of the Senate concerning the appointment of one member. "(c) Terms. - The members of the Board shall serve for a term of 6 years, except that the original members of the Board shall be appointed for staggered terms as determined appropriate by the Secretary. A vacancy on the Board shall be filled within 60 days of the vacancy in the same manner in which the original appointment was made and shall be for the balance of the term of the individual who was replaced. No individual may serve more than 2 consecutive terms as a member. "(d) Chairman. - The Chairman shall be elected by the Board from its members for a 2-year term and shall not be limited in terms or service, other than as provided in subsection (c). "(e) Quorum. - A majority of the current membership of the Board shall constitute a quorum for the transaction of business. "(f) Meetings. - The Board shall meet at the call of the Chairman at least once a year. If a member misses 3 consecutive regularly scheduled meetings, that member may be removed from the Board and the vacancy filled in accordance with subsection (c). "(g) Reimbursement of Expenses. - Members of the Board shall serve without pay, but may be reimbursed for the actual and necessary traveling and subsistence expenses incurred by them in the performance of the duties of the Foundation, subject to the same limitations on reimbursement that are imposed upon employees of Federal agencies. "(h) Limitations. - The following limitations apply with respect to the appointment of employees of the Foundation: "(1) Employees may not be appointed until the Foundation has sufficient funds to pay them for their service. No individual so appointed may receive a salary in excess of the annual rate of basic pay in effect for Executive Level V [5 U.S.C. 5316] in the Federal service. A member of the Board may not receive compensation for serving as an employee of the Foundation. "(2) The first employee appointed by the Board shall be the Secretary of the Board who shall serve, at the direction of the Board, as its chief operating officer and shall be knowledgeable and experienced in matters relating to physical fitness, sports, and nutrition. "(3) No Public Health Service employee nor the spouse or dependent relative of such an employee may serve as a member of the Board of Directors or as an employee of the Foundation. "(4) Any individual who is an employee or member of the Board of the Foundation may not (in accordance with the policies developed under subsection (i)) personally or substantially participate in the consideration or determination by the Foundation of any matter that would directly or predictably affect any financial interest of - "(A) the individual or a relative (as such term is defined in section 109(16) of the Ethics in Government Act, 1978 [5 U.S.C. App.]) of the individual; or "(B) any business organization, or other entity, of which the individual is an officer or employee, is negotiating for employment, or in which the individual has any other financial interest. "(i) General Powers. - The Board may complete the organization of the Foundation by - "(1) appointing employees; "(2) adopting a constitution and bylaws consistent with the purposes of the Foundation and the provision of this Act; and "(3) undertaking such other acts as may be necessary to carry out the provisions of this Act. In establishing bylaws under this subsection, the Board shall provide for policies with regard to financial conflicts of interest and ethical standards for the acceptance, solicitation and disposition of donations and grants to the Foundation. "SEC. 4. POWERS AND DUTIES OF THE FOUNDATION. "(a) In General. - The Foundation - "(1) shall have perpetual succession; "(2) may conduct business throughout the several States, territories, and possessions of the United States; "(3) shall have its principal offices in or near the District of Columbia; and "(4) shall at all times maintain a designated agent authorized to accept service of process for the Foundation. The serving of notice to, or service of process upon, the agent required under paragraph (4), or mailed to the business address of such agent, shall be deemed as service upon or notice to the Foundation. "(b) Seal. - The Foundation shall have an official seal selected by the Board which may be used as provided for in section 5. "(c) Incorporation; Nonprofit Status. - To carry out the purposes of the Foundation under section 2, the Board shall - "(1) incorporate the Foundation in the District of Columbia; and "(2) establish such policies and bylaws as may be necessary to ensure that the Foundation maintains status as an organization that is described in section 501(c)(3) of the Internal Revenue Code of 1986 [26 U.S.C. 501(c)(3)]. "(d) Powers. - Subject to the specific provisions of section 2, the Foundation, in consultation with the Office of the President's Council on Fitness, Sports, and Nutrition, shall have the power, directly or by the awarding of contracts or grants, to carry out or support activities for the purposes described in such section. "(e) Treatment of Property. - For purposes of this Act, an interest in real property shall be treated as including easements or other rights for preservation, conservation, protection, or enhancement by and for the public of natural, scenic, historic, scientific, educational inspirational or recreational resources. A gift, devise, or bequest may be accepted by the Foundation even though it is encumbered, restricted, or subject to beneficial interests of private persons if any current or future interest therein is for the benefit of the Foundation. "SEC. 5. PROTECTION AND USES OF TRADEMARKS AND TRADE NAMES. "(a) Trademarks of the Foundation. - Authorization for a contributor, or a supplier of goods or services, to use, in advertising regarding the contribution, goods, or services, the trade name of the Foundation, or any trademark, seal, symbol, insignia, or emblem of the Foundation may be provided only by the Foundation with the concurrence of the Secretary or the Secretary's designee. "(b) Trademarks of the Council. - Authorization for a contributor or supplier described in subsection (a) to use, in such advertising, the trade name of the President's Council on Fitness, Sports, and Nutrition, or any trademark, seal, symbol, insignia, or emblem of such Council, may be provided - "(1) by the Secretary or the Secretary's designee; or "(2) by the Foundation with the concurrence of the Secretary or the Secretary's designee. "SEC. 6. AUDIT, REPORT REQUIREMENTS, AND PETITION OF ATTORNEY GENERAL FOR EQUITABLE RELIEF. "(a) Audits. - For purposes of the Act entitled 'An Act for audit of accounts of private corporations established under Federal law', approved August 30, 1964 (Public Law 88-504, [former] 36 U.S.C. 1101-1103 [see 36 U.S.C. 10101]), the Foundation shall be treated as a private corporation under Federal law. The Inspector General of the Department of Health and Human Services and the Comptroller General of the United States shall have access to the financial and other records of the Foundation, upon reasonable notice. "(b) Report. - The Foundation shall, not later than 60 days after the end of each fiscal year, transmit to the Secretary and to Congress a report of its proceedings and activities during such year, including a full and complete statement of its receipts, expenditures, and investments. "(c) Relief With Respect to Certain Foundation Acts or Failure To Act. - If the Foundation - "(1) engages in, or threatens to engage in, any act, practice or policy that is inconsistent with its purposes set forth in section 2(b); or "(2) refuses, fails, or neglects to discharge its obligations under this Act, or threaten[s] to do so; the Attorney General of the United States may petition in the United States District Court for the District of Columbia for such equitable relief as may be necessary or appropriate." -End-