Sec. 403. Accountability and oversight
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Title VI of the Juvenile Justice and Delinquency Prevention Act of 1974, as added by this Act, is amended by adding at the end the following: All grants awarded by the Attorney General under this Act shall be subject to the following accountability provisions: In this paragraph— the term Inspector General means the Inspector General of the Department of Justice; and the term unresolved audit finding means a finding in the final audit report of the Inspector General— that the audited grantee has used grant funds for an unauthorized expenditure or otherwise unallowable cost; and that is not closed or resolved during the 12-month period beginning on the date on which the final audit report is issued.
Beginning in the first fiscal year beginning after the date of enactment of this Act, and in each fiscal year thereafter, the Inspector General 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 appropriate number of grantees to be audited under subparagraph
(B)each fiscal year. A recipient of grant funds under this Act that is found to have an unresolved audit finding shall not be eligible to receive grant funds under this Act during the first 2 fiscal years beginning after the 12-month period described in subparagraph (A)(ii)(II). In awarding grants under this Act, the Attorney General shall give priority an eligible entity that did not have an unresolved audit finding during the 3 fiscal years prior to the date on which the eligible entity submits an application for a grant under this Act. 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 subparagraph (D), the Attorney General shall— deposit an amount equal to the amount of the grant funds that were improperly awarded to the grantee into the General Fund of the Treasury; and seek to recoup the costs of the repayment to the General Fund under clause
(i)from the grantee that was erroneously awarded grant funds. For purposes of this paragraph and the grant programs described in this Act, the term nonprofit organization means an organization that is described in section 501(c)(3) of the Internal Revenue Code of 1986 and is exempt from taxation under section 501(a) of such Code. The Attorney General may not award a grant under any grant program described in this Act to a nonprofit organization that holds money in offshore accounts for the purpose of avoiding paying the tax described in section 511(a) of the Internal Revenue Code of 1986. Each nonprofit organization that is awarded a grant under a grant program described in this Act and uses the procedures prescribed in regulations to create a rebuttable presumption of reasonableness for the compensation of its officers, directors, trustees, and key employees, shall disclose to the Attorney General, in the application for the grant, the process for determining such compensation, including— the independent persons involved in reviewing and approving such compensation; the comparability data used; and contemporaneous substantiation of the deliberation and decision. Upon request, the Attorney General shall make the information disclosed under clause
(i)available for public inspection. 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 discretionary funds through a cooperative agreement under this Act, to host or support any expenditure for conferences that uses more than $20,000 in funds made available to the Department of Justice, unless the Deputy Attorney General or such Assistant Attorney Generals, Directors, or principal deputies as the Deputy Attorney General may designate, provides prior written authorization that the funds may be expended to host a conference. 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, audiovisual equipment, honoraria for speakers, and entertainment. 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 Representatives on all conference expenditures approved under this paragraph. Amounts authorized to be appropriated under this Act may not be utilized by any recipient of a grant made using such amounts to— lobby any representative of the Department of Justice regarding the award of grant funding; or lobby any representative of a Federal, State, local, or tribal government regarding the award of grant funding. If the Attorney General determines that any recipient of a grant made using amounts authorized to be appropriated under this Act has violated subparagraph (A), the Attorney General shall— require the grant recipient to repay the grant in full; and prohibit the grant recipient from receiving another grant under this Act for not less than 5 years. Beginning in the first fiscal year beginning after the date of enactment of the Juvenile Justice and Delinquency Prevention Reauthorization Act of 2014 , the Attorney General shall submit, to the Committee on the Judiciary and the Committee on Appropriations of the Senate and the Committee on the Judiciary and the Committee on Appropriations of the House of Representatives, an annual certification that— all audits issued by the Office of the Inspector General of the Department of Justice under paragraph
(1)have been completed and reviewed by the appropriate Assistant Attorney General or Director; all mandatory exclusions required under paragraph (1)(D) have been issued; all reimbursements required under paragraph (1)(F)(i) have been made; and includes a list of any grant recipients excluded under paragraph (1)(D) during the preceding fiscal year. . The Juvenile Justice and Delinquency Prevention Act of 1974 is amended by striking section 407 (42 U.S.C. 5776a). The amendment made by paragraph
(1)shall take effect on the first day of the first fiscal year beginning after the date of enactment of this Act. In the case of an entity that is barred from receiving grant funds under paragraph
(2)or (7)(B)(ii) of section 407 of the Juvenile Justice and Delinquency Prevention Act of 1974 ( 42 U.S.C. 5776a ), the amendment made by paragraph
(1)of this subsection shall not affect the applicability to the entity, or to the Attorney General with respect to the entity, of paragraph (2), (3), or
(7)of such section 407, as in effect on the day before the effective date under paragraph
(2)of this subsection.
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Sec. 403
Accountability and oversight
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