Sec. 3. Audit and accountability of grantees
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In this section, the term unresolved audit finding means an audit report finding or recommendation that a grantee has used grant funds for an unauthorized expenditure or otherwise unallowable cost that is not closed or resolved during a 1-year period beginning on the date of an initial notification of the finding or recommendation. Beginning in fiscal year 2013, and every 3 years thereafter, the Inspector General of the Department of Justice shall conduct an audit of not less than 5 percent of all grantees that are awarded funding under— section 2976(b) of title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3797w(b)); part CC of title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3797q et seq.), as amended by this Act; part DD of title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3797s et seq.); part JJ of title I of the Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3797dd et seq.); or section 115, 201, or 211 of the Second Chance Act of 2007 ( 42 U.S.C. 17511 , 17521, and 17531).
A grantee that is found to have an unresolved audit finding under an audit conducted under subsection
(b)may not receive grant funds under the grant programs described in paragraphs
(1)through
(5)of subsection
(b)in the fiscal year following the fiscal year to which the finding relates. The Attorney General, in awarding grants under the programs described in paragraphs
(1)through
(5)of subsection
(b)shall give priority 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.
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Sec. 3
Audit and accountability of grantees
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