[Code of Federal Regulations]
[Title 20, Volume 3]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 20CFR641.311]

[Page 375]
 
                      TITLE 20--EMPLOYEES' BENEFITS
 
 CHAPTER V--EMPLOYMENT AND TRAINING ADMINISTRATION, DEPARTMENT OF LABOR
 
PART 641--SENIOR COMMUNITY SERVICE EMPLOYMENT PROGRAM--Table of Contents
 
                       Subpart C--Grant Operations
 
Sec. 641.311  Enrollee wages and fringe benefits.

    (a) Wages. Upon engaging in part-time community service assignments, 
including orientation and training in preparation for community service 
assignments, each enrollee shall receive wages at a rate no less than 
the highest applicable rate:
    (1) The minimum wage which would be applicable to the enrollee under 
the Fair Labor Standards Act of 1938;
    (2) The State or local minimum wage for the most nearly comparable 
covered employment; or
    (3) The prevailing rates of pay for persons employed in similar 
public occupations by the same employer.
    (b) Fringe benefits. (1) The grantee or subgrantee shall ensure that 
enrollees receive all fringe benefits required by law.
    (2) Within a project or subproject, fringe benefits shall be 
provided uniformly to all enrollees, unless the Department agrees to 
waive this provision due to a determination that such a waiver is in the 
best interests of applicants, enrollees, and the project administration.
    (3) Physical examination. (i) Each enrollee shall be offered the 
opportunity to take a physical examination annually. A physical is a 
fringe benefit, and is not an eligibility criterion. The examining 
physician shall provide, to the enrollee only, a written report of the 
results of the examination. The enrollee may, at his or her option, 
provide the grantee or subgrantee a copy of the report. The results of 
the physical examination shall not be taken into consideration in 
determining placement into a community service assignment.
    (ii) An enrollee may refuse the physical examination offered. In 
such a case, the grantee or subgrantee should document this refusal, 
through a signed waiver or other means, within 60 work days after 
commencement of the community service assignment. Thereafter, grantees 
or subgrantees shall document an enrollee's refusal of the annual 
physical examination.
    (c) Retirement. Expenditures of grant funds for contributions into a 
retirement system or plan are prohibited, unless the grantee has 
documentation on hand showing that:
    (1) The costs are allowable under the appropriate cost principles 
indicated at Sec. 641.403(b); and
    (2) Such contributions bear a reasonable relationship to the cost of 
providing such benefits to enrollees because:
    (i) the benefits vest at the time contributions are made on behalf 
of the enrollees; or
    (ii) the charges to SCSEP funds are for contributions on behalf of 
enrollees to a ``defined benefit'' type of plan which do not exceed the 
amounts reasonably necessary to provide the specified benefit to 
enrollees, as determined under a separate actuarial determination.
    (d) Workers' compensation. Where an enrollee is not covered by the 
State workers' compensation law, the grantee or subgrantee shall provide 
the enrollee with workers' compensation benefits equal to that provided 
by law for covered employment. [Section 504(b) of the OAA.]
    (e) Unemployment compensation. The grantee is authorized to pay the 
cost of unemployment insurance for covered enrollees, where required by 
law. [Section 502(b)(1)(O) of the OAA.]