PUBLIC LAWS-CH. 672-JULY 26, 1946 Restriction on use offunds. 48 Stat. 113. 58 Stat. 294. 38 U. S. C., Supp. V, §696b. 48 Stat. 114,115. 29 U. S. C. §§49d, 49e. Transfer of opera- tion and facilities to States. 48 Stat. 114. 29 U.S. C . §49c. Oondition. Certifications of funds. Retention, etc., of Federal employees. be expended by any Federal agency for any salary, to any individual engaged in employment service duties in any position within any local or field or State office, which substantially exceeds the salary which would apply to such position and individual if the relevant State merit system applied and if State operation of such office had continued without interruption: Provided further, That no portion of the sum herein appropriated shall be expended by any Federal agency for the salary of any person who is engaged for more than half of the time, as determined by the State director of unemployment compensation, including claims taking but excluding registration for work: Provided further, That the sum herein appropriated shall not be subject to the apportionment requirements of section 3679 of the Revised Statutes, as amended (U. S. C ., title 31, sec. 665). GRANTS TO STATES FOR PUBLIC EMPLOYMENT OFFICES For grants to the several States (including Alaska and Hawaii), beginning November 16, 1946, in accordance with the provisions of the Act of June 6, 1933, as amended (29 U. S. C. 4949i), and for carry- ing into effect section 602 of the Servicemen's Readjustment Act of 1944, including, upon the request of any State, the payment of rental for space made available to such State in lieu of grants for such pur- pose, $42,823,125, of which $360,625 shall be available to the United States Employment Service for all necessary expenses, including personal services, in connection with the operation of employment office facilities and services in the District of Columbia: Provided, That no State shall be required to make any appropriation as pro- vided in section 5 (a) of said Act of June 6, 1933, as amended, prior to July 1, 1948: Provided further, That notwithstanding the provi- sions of section 5 (a) and section 6 of the Act of June 6, 1933, as amended, the Secretary of Labor shall from time to time certify to the Secretary of the Treasury for payment to each State found to be in compliance with the requirements of the Act of June 6, 1933, as amended, such amounts as he determines to be necessary for the proper and efficient administration of its public employment offices. On November 15, 1946, the Secretary of Labor shall transfer, to the State agency in each State designated under section 4 of the Act of Congress approved June 6, 1933, as amended, as the agency to admin- ister the State-wide system of public employment offices in cooperation with the United States Employment Service under said Act, the opera- tion of State and local public employment office facilities and properties which were transferred by such State to the Federal Government in 1942 to promote the national war effort. The Secretary of Labor shall, on request of the State agency, also provide for the transfer and assign- ment to such State, without reimbursement therefor, of any other public employment office facilities and properties within such State, including records, files, and office equipment: Provided, That as a condition to such transfer and assignment of Federal properties, the Secretary may require the recipient State to waive any claim which may then exist or thereafter arise out of the use made by the Federal Government of, or for the loss of or damage to, property and facilities transferred to the Federal Government as hereinabove described. The Secretary of Labor may withhold or deny certifications of funds for a State system of public employment offices unless he finds that the State- (1) (a) has made provision for the transfer to and retention in the State-wide system of public employment offices of employees of the Federal Government who (on the effective date of this Act) were employed in State or local employment service functions in 684 [60 STAT.