A bill to amend the National Foundation on the Arts and the Humanities Act of 1965, as amended.

Authorizes the Chairman of the National Foundation on the Arts and the Humanities with the advice of the National Council to establish a program of contracts with, or grants in aid to, talented individuals or groups for the purpose of encouraging new project areas in the humanities.

Establishes those standards, criteria, and procedures which a State must follow in order to receive assistance for such projects in any fiscal year. Prescribes the minimum amount which is to be allotted to any State agency and procedures for alloting funds for each fiscal year.

Provides that assurances must be given to the Secretary of Labor that any State agency receiving funds shall pay all employees, involved in construction projects assisted by these funds, wages at rates not less than those prevailing on similar construction projects in the locality as determined by the Secretary of Labor under the Davis- Bacon Act.

Provides that the Council shall advise the Chairman with respect to policies, programs and procedures for carrying out his duties and responsibilities under the Act, and shall review applications or projects proposed for assistance. Prohibits the Chairman from approving or disapproving an application until a recommendation is received from the Council provided such recommendation is given within a reasonable time.

Authorizes the Chairman, with the advice of the National Council on the Humanities, to develop and encourage scholarship and research programs. Provides that all loans made by the Endowment shall be made in accordance with terms approved by the Secretary of the Treasury.

Names those persons who shall compose the Council and authorizes the President to designate the Chairman of the Council.

Enumerates those conditions upon which the Chairman may receive a gift.

Authorizes necessary appropriations to carry out the purposes of this Act for each year.