34 U.S.C. § 10263 — Oversight and accountability

Page 82 TITLE 34—CRIME CONTROL AND LAW ENFORCEMENT § 10262 210302(c)(4) of Pub. L. 103–322, set out as an Effective Date note under section 10511 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–473 effective Oct. 12, 1984, see section 609AA(a) of Pub. L. 98–473, set out as an Ef- fective Date note under section 10101 of this title. CONSTRUCTION OF 2008 AMENDMENT For construction of amendments by Pub. L. 110–199 and requirements for grants made under such amend- ments, see section 60504 of this title. USE OF FUNDS AVAILABLE UNDER FORMER SUBSECTION (a)(20) Pub. L. 104–134, title I, § 101[(a)] [title I, § 114(b)(1)(B)(ii)], Apr. 26, 1996, 110 Stat. 1321, 1321–21, provided that: ‘‘Notwithstanding the provisions of sub- paragraph (A) [repealing sections 3796ii to 3796ii–8 of Title 42, The Public Health and Welfare], any funds that remain available to an applicant under paragraph (20) of [section 1001(a) of] title I of the Omnibus Crime Control and Safe Streets Act of 1968 [former 42 U.S.C. 3793(a)(20)] shall be used in accordance with part V of [title I of] such Act [former 42 U.S.C. 3796ii to 3796ii–8] as if [sic] such Act [part] was in effect on the day pre- ceding the date of enactment of this Act [Apr. 26, 1996].’’ FINANCIAL SUPPORT FOR PROGRAMS, ETC., DEVOTED TO INTERNATIONAL ASPECTS OF CRIME PREVENTION AND CRIMINAL JUSTICE Pub. L. 96–132, § 20(a), Nov. 30, 1979, 93 Stat. 1049, pro- vided that: ‘‘The National Institute of Justice, the Bu- reau of Justice Statistics, and the Law Enforcement Assistance Administration are authorized to use funds, and to authorize States to use funds, for programs, projects or events devoted to the international aspects of crime prevention and criminal justice.’’ § 10262. State and local governments to consider courts The Attorney General may require, as appro- priate, that whenever a State or unit of local government or Indian tribe applies for a grant from the Department of Justice, the State, unit, or tribe demonstrate that, in developing the ap- plication and distributing funds, the State, unit, or tribe— (1) considered the needs of the judicial branch of the State, unit, or tribe, as the case may be; (2) consulted with the chief judicial officer of the highest court of the State, unit, or tribe, as the case may be; and (3) consulted with the chief law enforcement officer of the law enforcement agency respon- sible for the security needs of the judicial branch of the State, unit, or tribe, as the case may be. (Pub. L. 110–177, title III, § 302(c), Jan. 7, 2008, 121 Stat. 2539.) Editorial Notes CODIFICATION Section was enacted as part of the Court Security Im- provement Act of 2007, and not as part of title I of the Omnibus Crime Control and Safe Streets Act of 1968 which comprises this chapter. Section was formerly classified to section 3702 of Title 42, The Public Health and Welfare, prior to edi- torial reclassification and renumbering as this section. § 10263. Oversight and accountability All grants awarded by the Department of Jus- tice that are authorized under this Act shall be subject to the following: (1) Audit requirement Beginning in fiscal year 2016, and each fiscal year thereafter, the Inspector General of the Department of Justice shall conduct audits of recipients of grants under this Act to prevent waste, fraud, and abuse of funds by grantees. The Inspector General shall determine the ap- propriate number of grantees to be audited each year. (2) Mandatory exclusion A recipient of grant funds under this Act that is found to have an unresolved audit find- ing shall not be eligible to receive grant funds under this Act during the 2 fiscal years begin- ning after the 12-month period described in paragraph (5). (3) Priority In awarding grants under this Act, the At- torney General shall give priority to eligible entities that, during the 3 fiscal years before submitting an application for a grant under this Act, did not have an unresolved audit finding showing a violation in the terms or conditions of a Department of Justice grant program. (4) Reimbursement If an entity is awarded grant funds under this Act during the 2-fiscal-year period in which the entity is barred from receiving grants under paragraph (2), the Attorney Gen- eral shall— (A) deposit an amount equal to the grant funds that were improperly awarded to the grantee into the General Fund of the Treas- ury; and (B) seek to recoup the costs of the repay- ment to the fund from the grant recipient that was erroneously awarded grant funds. (5) Defined term In this section, the term ‘‘unresolved audit finding’’ means an audit report finding in the final audit report of the Inspector General of the Department of Justice that the grantee has utilized grant funds for an unauthorized expenditure or otherwise unallowable cost that is not closed or resolved within a 12- month period beginning on the date when the final audit report is issued. (6) Nonprofit organization requirements (A) Definition For purposes of this section and the grant programs described in this Act, the term ‘‘nonprofit 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. (B) Prohibition The Attorney General shall not award a grant under any grant program described in this Act to a nonprofit organization that holds money in offshore accounts for the Page 83 TITLE 34—CRIME CONTROL AND LAW ENFORCEMENT § 10271 purpose of avoiding paying the tax described in section 511(a) of title 26. (C) Disclosure Each nonprofit organization that is award- ed a grant under a grant program described in this Act and uses the procedures pre- scribed in regulations to create a rebuttable presumption of reasonableness for the com- pensation of its officers, directors, trustees and key employees, shall disclose to the At- torney General, in the application for the grant, the process for determining such com- pensation, including the independent per- sons involved in reviewing and approving such compensation, the comparability data used, and contemporaneous substantiation of the deliberation and decision. Upon re- quest, the Attorney General shall make the information disclosed under this subsection available for public inspection. (7) Administrative expenses Unless otherwise explicitly provided in au- thorizing legislation, not more than 7.5 per- cent of the amounts authorized to be appro- priated under this Act may be used by the At- torney General for salaries and administrative expenses of the Department of Justice. (8) Conference expenditures (A) Limitation No amounts authorized to be appropriated to the Department of Justice under this Act may be used by the Attorney General or by any individual or organization awarded dis- cretionary funds through a cooperative agreement under this Act, to host or support any expenditure for conferences that uses more than $20,000 in Department funds, un- less the Deputy Attorney General or the ap- propriate Assistant Attorney General, Direc- tor, or principal deputy as the Deputy Attor- ney General may designate, provides prior written authorization that the funds may be expended to host a conference. (B) Written approval Written approval under subparagraph (A) shall include a written estimate of all costs associated with the conference, including the cost of all food and beverages, audio/vis- ual equipment, honoraria for speakers, and any entertainment. (C) Report The Deputy Attorney General shall submit an annual report to the Committee on the Judiciary of the Senate and the Committee on the Judiciary of the House of Representa- tives on all conference expenditures ap- proved by operation of this paragraph. (9) Prohibition on lobbying activity (A) In general Amounts authorized to be appropriated under this Act may not be utilized by any grant recipient to— (i) lobby any representative of the De- partment of Justice regarding the award of grant funding; or (ii) lobby any representative of a Fed- eral, State, local, or tribal government re- garding the award of grant funding. (B) Penalty If the Attorney General determines that any recipient of a grant under this Act has violated subparagraph (A), the Attorney General shall— (i) require the grant recipient to repay the grant in full; and (ii) prohibit the grant recipient from re- ceiving another grant under this Act for not less than 5 years. (10) Preventing duplicative grants (A) In general Before the Attorney General awards a grant to an applicant under this Act, the At- torney General shall compare potential grant awards with other grants awarded under this Act to determine whether dupli- cate grants are awarded for the same pur- pose. (B) Report If the Attorney General awards duplicate grants to the same applicant for the same purpose, the Attorney General shall submit to the Committee on the Judiciary of the Senate and the Committee on the Judiciary of the House of Representatives a report that includes— (i) a list of all duplicate grants awarded, including the total dollar amount of any duplicate grants awarded; and (ii) the reason the Attorney General awarded the duplicate grants. (Pub. L. 114–324, § 15, Dec. 16, 2016, 130 Stat. 1959.) Editorial Notes REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 114–324, Dec. 16, 2016, 130 Stat. 1948, known as the Justice for All Re- authorization Act of 2016. For complete classification of this Act to the Code, see Short Title of 2016 Act note set out under section 10101 of this title and Tables. CODIFICATION This section was enacted as part of the Justice for All Reauthorization Act of 2016, and not as part of title I of the Omnibus Crime Control and Safe Streets Act of 1968 which comprises this chapter. Section was formerly classified to section 3793c of Title 42, The Public Health and Welfare, prior to edi- torial reclassification and renumbering as this section. SUBCHAPTER X—CRIMINAL PENALTIES § 10271. Misuse of Federal assistance Whoever embezzles, willfully misapplies, steals, or obtains by fraud or endeavors to em- bezzle, willfully misapply, steal, or obtain by fraud any funds, assets, or property which are the subject of a grant or contract or other form of assistance pursuant to this chapter, whether received directly or indirectly from the Office of Justice Programs, Bureau of Justice Assistance, the National Institute of Justice, the Bureau of Justice Statistics, or whoever receives, con- ceals, or retains such funds, assets or property with intent to convert such funds, assets or property to his use or gain, knowing such funds, assets, or property has been embezzled, willfully misapplied, stolen or obtained by fraud, shall be