34 U.S.C. § 60505 — Audit and accountability of grantees

Page 678 TITLE 34—CRIME CONTROL AND LAW ENFORCEMENT § 60503 1 So in original. Probably should be ‘‘as a competitive grant’’. 2 See References in Text note below. 1 See References in Text note below. CODIFICATION Section was formerly classified to section 17502 of Title 42, The Public Health and Welfare, prior to edi- torial reclassification and renumbering as this section. AMENDMENTS 2018—Pub. L. 115–391 amended section generally. Prior to amendment, text read as follows: ‘‘In this Act, the term ‘Indian Tribe’ has the meaning given that term in section 10251 of this title.’’ § 60503. Submission of reports to Congress Not later than January 31 of each year, the Attorney General shall submit to the Com- mittee on the Judiciary of the Senate and the Committee on the Judiciary of the House of Representatives each report required by the At- torney General under this Act or an amendment made by this Act during the preceding year. (Pub. L. 110–199, § 5, Apr. 9, 2008, 122 Stat. 660.) Editorial Notes REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 110–199, Apr. 9, 2008, 122 Stat. 657, known as the Second Chance Act of 2007: Community Safety Through Recidivism Preven- tion and also as the Second Chance Act of 2007. For complete classification of this Act to the Code, see Short Title of 2008 Act note set out under section 10101 of this title and Tables. CODIFICATION Section was formerly classified to section 17503 of Title 42, The Public Health and Welfare, prior to edi- torial reclassification and renumbering as this section. § 60504. Rule of construction Nothing in this Act or an amendment made by this Act shall be construed as creating a right or entitlement to assistance or services for any in- dividual, program, or grant recipient. Each grant made under this Act or an amendment made by this Act shall— (1) be made as competitive grants 1 to eligi- ble entities for a 12-month period, except that grants awarded under section 113 2, section 60521 of this title, section 60531 of this title, and section 60532 2 of this title or under section 10631 of this title may be made for a 24-month period; and (2) require that services for participants, when necessary and appropriate, be trans- ferred from programs funded under this Act or the amendment made by this Act, respec- tively, to State and community-based pro- grams not funded under this Act or the amend- ment made by this Act, respectively, before the expiration of the grant. (Pub. L. 110–199, § 6, Apr. 9, 2008, 122 Stat. 660; Pub. L. 115–391, title V, § 502(h), Dec. 21, 2018, 132 Stat. 5231.) Editorial Notes REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 110–199, Apr. 9, 2008, 122 Stat. 657, known as the Second Chance Act of 2007: Community Safety Through Recidivism Preven- tion and also as the Second Chance Act of 2007. For complete classification of this Act to the Code, see Short Title of 2008 Act note set out under section 10101 of this title and Tables. Section 113, referred to in par. (1), means section 113 of Pub. L. 110–199. For complete classification of sec- tion 113 of Pub. L. 110–199 to the Code, see Tables. Section 60532 of this title, referred to in par. (1), was repealed by Pub. L. 115–391, title V, § 504(a), Dec. 21, 2018, 132 Stat. 5233. CODIFICATION Section was formerly classified to section 17504 of Title 42, The Public Health and Welfare, prior to edi- torial reclassification and renumbering as this section. AMENDMENTS 2018—Par. (1). Pub. L. 115–391 inserted ‘‘or under sec- tion 10631 of this title’’ after ‘‘section 60532 of this title’’. § 60505. Audit and accountability of grantees (a) Definitions In this section— (1) the term ‘‘covered grant program’’ means grants awarded under section 60511, 60521, or 60531 of this title, as amended by this title; 1 (2) the term ‘‘covered grantee’’ means a re- cipient of a grant from a covered grant pro- gram; (3) the term ‘‘nonprofit’’, when used with re- spect to an organization, means an organiza- tion that is described in section 501(c)(3) of title 26, and is exempt from taxation under section 501(a) of such title; and (4) the term ‘‘unresolved audit finding’’ means an audit report finding in a final audit report of the Inspector General of the Depart- ment of Justice that a covered grantee has used grant funds awarded to that grantee under a covered grant program for an unau- thorized expenditure or otherwise unallowable cost that is not closed or resolved during a 12- month period prior to the date on which the final audit report is issued. (b) Audit requirement Beginning in fiscal year 2019, and annually thereafter, the Inspector General of the Depart- ment of Justice shall conduct audits of covered grantees to prevent waste, fraud, and abuse of funds awarded under covered grant programs. The Inspector General shall determine the ap- propriate number of covered grantees to be au- dited each year. (c) Mandatory exclusion A grantee that is found to have an unresolved audit finding under an audit conducted under subsection (b) may not receive grant funds under a covered grant program in the fiscal year following the fiscal year to which the finding re- lates. (d) Reimbursement If a covered grantee is awarded funds under the covered grant program from which it re- ceived a grant award during the 1-fiscal-year pe- riod during which the covered grantee is ineli- gible for an allocation of grant funds under sub- section (c), the Attorney General shall— Page 679 TITLE 34—CRIME CONTROL AND LAW ENFORCEMENT § 60511 (1) deposit into the General Fund of the Treasury an amount that is equal to the amount of the grant funds that were improp- erly awarded to the covered grantee; and (2) seek to recoup the costs of the repayment to the Fund from the covered grantee that was improperly awarded the grant funds. (e) Priority of grant awards The Attorney General, in awarding grants under a covered grant program shall give pri- ority to eligible entities that during the 2-year period preceding the application for a grant have not been found to have an unresolved audit finding. (f) Nonprofit requirements (1) Prohibition A nonprofit organization that holds money in offshore accounts for the purpose of avoid- ing the tax described in section 511(a) of title 26, shall not be eligible to receive, directly or indirectly, any funds from a covered grant program. (2) Disclosure Each nonprofit organization that is a cov- ered grantee shall disclose in its application for such a grant, as a condition of receipt of such a grant, the compensation of its officers, directors, and trustees. Such disclosure shall include a description of the criteria relied on to determine such compensation. (g) Prohibition on lobbying activity (1) In general Amounts made available under a covered grant program may not be used by any covered grantee to— (A) lobby any representative of the De- partment of Justice regarding the award of grant funding; or (B) lobby any representative of the Federal Government or a State, local, or tribal gov- ernment regarding the award of grant fund- ing. (2) Penalty If the Attorney General determines that a covered grantee has violated paragraph (1), the Attorney General shall— (A) require the covered grantee to repay the grant in full; and (B) prohibit the covered grantee from re- ceiving a grant under the covered grant pro- gram from which it received a grant award during at least the 5-year period beginning on the date of such violation. (Pub. L. 115–391, title V, § 503, Dec. 21, 2018, 132 Stat. 5232.) Editorial Notes REFERENCES IN TEXT As amended by this title, referred to in subsec. (a)(1), means as amended by title V of Pub. L. 115–391. § 60506. Federal interagency reentry coordina- tion (a) Reentry coordination The Attorney General, in consultation with the Secretary of Housing and Urban Develop- ment, the Secretary of Labor, the Secretary of Education, the Secretary of Health and Human Services, the Secretary of Veterans Affairs, the Secretary of Agriculture, and the heads of such other agencies of the Federal Government as the Attorney General considers appropriate, and in collaboration with interested persons, service providers, nonprofit organizations, and State, tribal, and local governments, shall coordinate on Federal programs, policies, and activities re- lating to the reentry of individuals returning from incarceration to the community, with an emphasis on evidence-based practices and pro- tection against duplication of services. (b) Report Not later than 2 years after December 21, 2018, the Attorney General, in consultation with the Secretaries listed in subsection (a), shall submit to Congress a report summarizing the achieve- ments under subsection (a), and including rec- ommendations for Congress that would further reduce barriers to successful reentry. (Pub. L. 115–391, title V, § 505, Dec. 21, 2018, 132 Stat. 5234.) SUBCHAPTER I—NEW AND INNOVATIVE PROGRAMS TO IMPROVE OFFENDER RE- ENTRY SERVICES § 60511. Careers training demonstration grants (a) Authority to make grants From amounts made available to carry out this section, the Attorney General shall make grants to States, units of local government, ter- ritories, nonprofit organizations, and Indian Tribes to provide career training, including sub- sidized employment, when part of a training program, to prisoners and reentering youth and adults. (b) Use of funds Grants awarded under subsection (a) may be used for establishing a program to train pris- oners for jobs and careers during the 3-year pe- riod before release from prison, jail, or a juve- nile facility, as well as upon transition and re- entry into the community. (c) Priority consideration Priority consideration shall be given to any application under this section that— (1) provides assessment of local demand for employees in the geographic areas to which of- fenders are likely to return; (2) conducts individualized reentry career planning upon the start of incarceration or post-release employment planning for each of- fender served under the grant; (3) demonstrates connections to employers within the local community; or (4) tracks and monitors employment out- comes. (d) Control of Internet access An entity that receives a grant under sub- section (a) shall restrict access to the Internet by prisoners, as appropriate, to ensure public safety. (e) Reports Not later than the last day of each fiscal year, an entity that receives a grant under subsection