U. S. Department of Justice
Office of Community Oriented Policing Services
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Methamphetamine Initiative
Methamphetamine Initiative 2001
Grant Owner's Manual
www.usdoj.gov/cops/

Methamphetamine Initiative 2001
Grant Owner's Manual
A step-by-step guide to assist law enforcement agencies in carrying
out and reporting on their Methamphetamine Initiative grant.
For more information about your COPS in Schools grant, contact
your COPS Grant Program Specialist. If you do not know who
your Grant Program Specialist is, or do not know his/her telephone
number, contact the U.S. Department of Justice Response Center at
1-800-421-6770.
U.S. Department of Justice
Office of Community Oriented Policing Services
1100 Vermont Avenue, NW
Washington, DC 20530
(For overnight delivery, please use 20005 as the zip code.)
COPS Office Internet web site: http://www.usdoj.gov/cops/
May 2001

Table of Contents
Section Page
Getting Started..iii
Glossary of Terms.v
I. Grant Acceptance, Terms, and Conditions...1
The Award Document
What is a Modified Award?
Grant Conditions
Reasons for grant conditions
Review of grant conditions
II. Procurement Process15
Justification for Non-Competitive Procurement
III. Accessing Grant Funds17
Can we receive advances?
How often do we request reimbursement of costs?
Can we earn interest on our grant funds?
Payment Methods
How does LOCES work?
What are the benefits of LOCES?
IV. Financial Record Maintenance.21
Accounting Systems
What items should be kept?
How long should documents be kept?
What if we have more than one grant?
Who may access our records?
V. Matching Funds23
VI. Federal Audit Requirements.25
Audit Requirements
Office of the Inspector General Audits
Single Audit Act Audits
VII. Reports..31
Program Progress Reports
How often will progress reports be submitted?
What kind of information will these reports require?
How and when will these forms be sent?
Financial Status Reports
How will the financial aspects of our grant be monitored?

Financial Status Reports under PAPRS
Financial Status Reports under LOCES
Reporting Violations (Fraud, Waste, and Abuse)
VIII.When The Grant Period Ends33
"Closing Out" Your Grant
When should all of the grant monies be spent?
Final Progress Reports
IX.
Epilogue.34
X.
Appendices.35
Appendix A  Allowable Costs
Appendix B  List of Source Documents
Appendix C  Assurances
Appendix D  Certifications
Appendix E  Monitoring and Compliance Division Contacts
Appendix F  28 C.F. R Part 23
Appendix G  Special Condition for Methamphetamine/Drug Hot Spots Program Grants:
Mitigation of Health, Safety, and Environmental Risks

Getting Started
Congratulations on receiving your award from the U.S. Department of
Justice, Office of Community Oriented Policing Services (COPS).
Through the Methamphetamine Initiative, COPS provides funding
directly to state, local, Indian tribal, and other public law enforcement
agencies who plan to utilize community policing strategies to address
methamphetamine problems in their local and surrounding
jurisdictions.
This Methamphetamine Initiative Grant Owner's Manual will assist
you with the administrative and financial matters associated with your
project. It was developed by the COPS Office to ensure that COPS
awardees clearly understand and meet all requirements of the
program. Please do not hesitate to call the COPS Office if you need
assistance with the implementation of your project.
Thank you for providing us with the opportunity to work in
partnership with your community.
For assistance, call
the COPS Office at 1800-421-6770.

Glossary of Terms
Allowable costs
Allowable costs are costs that will be paid for by this program. The
Methamphetamine Initiative provides funding for the payment of
approved salaries, overtime, and benefits for support personnel and
approved overtime for sworn law enforcement officers; equipment
and technology; and training and/or travel. All costs must be
approved in writing by the COPS Office. Upon review of your
submitted budget, any unallowable costs were removed and your total
budget amount was adjusted accordingly. A copy of the revised
budget clearance memorandum from the COPS Office Finance
Division identifying these revisions is included in your award package.
COPS must reapprove all changes to the originally approved budget
before funds are used. Allowable costs under the Methamphetamine
Initiative are located in Appendix A.
Authorized Official
The authorized official is the individual in your agency that has final
responsibility for all programmatic and financial decisions regarding
this award. This person may also be the Program Director.
Catalog of Federal Domestic Assistance (CFDA) Number
The CFDA is a government-wide publication orchestrated by the
General Services Administration. It is published annually. The CFDA
contains a description and index of all forms of Federal assistance
available from the Federal government. Each grant-making agency is
responsible for submitting descriptions of its programs. Each
program is assigned a CFDA number by the editors of the catalog.
The CFDA is used by auditors in tracking grant revenues under the
Single Audit Act, and used by the State Single Points of Contact in
conducting the required intergovernmental reviews under Executive
Order 12372 in those states that participate in that program. The
COPS CFDA number for this program is 16.710.
COPS Office
The Office of Community Oriented Policing Services (COPS) is your
"grantor agency" for your Methamphetamine Initiative award. The
COPS Office is responsible for administering your grant for the entire
grant period. You can reach the COPS Office at 1-800-421-6770.

Federal Cognizant Agency
Your Federal Cognizant Agency is generally the Federal agency that
provides you with the most Federal money. Your Federal Cognizant
Agency may have already been assigned to you by the Office of
Management and Budget. If this is the first Federal grant that your
organization has received, the U.S. Department of Justice (DOJ) is
your Federal Cognizant Agency. If the DOJ is your Federal Cognizant
Agency, your audit reports should be sent to the COPS office
Monitoring and Compliance Division Contacts, refer to Appendix E.
Grant
A grant is an award of financial assistance, including cooperative
agreements, in the form of money, or property in lieu of money, by
the Federal Government to an eligible grantee. (See 28 C.F.R. 66)
Grant Program Specialist
A point of contact designated by the COPS Office for administration
of your grant program.
Grant number
Your grant number will be in the following format: 2001-CK-WX-# #
# #. The number can be found on your grant Award Document. It
is assigned by the COPS Office and should be used when
corresponding with that office.
Obligation of Funds
Federal funds are considered to be "obligated" when the grant award
document is signed by the director of the COPS Office or his/her
designated official. Funds are reserved against the grant until all grant
monies are spent or refunded to the Federal Government.
ORI number
The Originating Agency Identifier (ORI) number is assigned by the
FBI as a law enforcement agency identifier; the first two letters are
your state abbreviation, the next three numbers are your county code,
and the final two numbers identify your jurisdiction within your
county. It is also a shortened version of the law enforcement agency
National Crime Information Center (NCIC) identifier. If your agency
does not have an ORI number assigned by the FBI, the COPS Office
assigns a non-official ORI code to use as an agency identifier (the last
2 digits will be "Z" if your code is a non-official ORI code). It can be
found on your award document.

Overtime
Overtime refers to paying currently employed sworn officers or
support personnel additional monies for working additional hours
beyond the normal work week to engage in activities related to this
grant. For purposes of this grant, an overtime wage is the amount
paid for each hour of overtime service. Additionally, by the
conditions of this grant, you are required to track all overtime funded
through the COPS Methamphetamine Initiative.
Prior Approval
Prior approval is documentation evidencing consent by the COPS
Office prior to incurring a specific cost.
Program Director
The point of contact assigned by the awarded agency to serve as the
primary liaison to the COPS Office. The Program Director is
responsible for the daily management and operation of the COPS
Methamphetamine Initiative activities. The Program Director is
tasked with ensuring compliance with the conditions of the award and
implementation of the program in accordance with the approved
application and other documents.
Program Income
Gross income received by the grantee, sub-grantee, or partner agency
directly generated by a grant supported activity, or earned only as a
result of the grant agreement during the grant period.
Supplanting
For the purpose of your COPS grant, supplanting means using
Federal COPS funds to replace state or local funds which otherwise
would have been spent on law enforcement purposes. You are
prohibited from supplanting throughout the award period. This
means that you may not use COPS funds to pay for any civilian
position, sworn officer position, or for sworn officer overtime which
otherwise would have been funded with state or local funds. Further,
you may not purchase any equipment, utilize funds for training, cleanup activity, or cover other expenses with COPS funds that otherwise
would have been purchased with state or local funds in the absence of
the COPS program. COPS funds must instead be used to supplement
your budget. For further information, please review Grant Condition
#3 and/or contact the COPS Office Legal Division at 202-514-3750.

Ven Number/EIN Number/Vendor Number
This number is usually your agency Federal identification number
assigned by the IRS. In some cases, the EIN has been previously
assigned to another agency within your jurisdiction. In such cases, a
new vendor number will be assigned by the Office of the Comptroller.
The new assigned vendor number is to be used for grant
administration uses only and should not be used for IRS purposes.

I. Grant Acceptance, Terms, and Conditions
In order to officially begin your grant, you will need to review the
Award Page and Conditions, sign the new Award or Modified Award
Page and return it to:
COPS Methamphetamine Initiative Control Desk, 9th floor
Office of Community Oriented Policing Services (COPS)
1100 Vermont Ave., NW
Washington, D.C. 20530
You will be able to draw down grant funds after:
1.
The COPS Office approves your budget.
2.
You sign your Award Page or Modification and return it to the
COPS Office.
3.
Grantee must complete and submit a LOCES or PAPRS
packet.
4.
After all steps are completed you may begin drawing down
funds through the LOCES or PAPRS systems.
Please Note: LOCES is only available for those grantees already set
up under the LOCES system.. All other grantees must
access funds through the PAPRS system.
The Award Document
The Award Document contains the pre-printed names and addresses
of your law enforcement and government officials. If this
information is incorrect or has changed, please correct it on an official
change of information sheet. One can be obtained by calling the
COPS Office Response Center at 1-800-421-6770. The award also
indicates your official grant funding amount, the award number, the
award date, and the grant period.
The Award start date for your grant is located on the enclosed Award
Document. This means that any allowable costs incurred on or after
the award date can be reimbursed by the COPS Office. The duration
of your Methamphetamine Initiative grant award is one year.
Your grant award number is in this format: 2001-CK-WX-# # ##.
It is used for financial purposes and should be referred to when
dealing with the COPS Office.
Your ORI number begins with your State abbreviation followed by
numbers and/or letters. This number is the number assigned by the

Federal Bureau of Investigation for use in tracking information for the
Uniform Crime Report. The COPS Office tracks programmatic grant
information based upon this ORI number.
If you have any questions regarding your grant, please refer to your
grant award number and your ORI number.
What is a Modified Award?
In a small number of cases, a Modified Award Document may be
included in this mailing. The final grant amount on this document
may differ from the estimated amount on your original Award
Document because the final amount is based upon your approved
budget. If you are receiving a Modified Award, take careful note of
the change between your estimated amount on the original document
and the actual amount of the Modified Award. If you have any
questions about the modification, refer to your budget clearance
memorandum. If you still have questions, please contact your
financial analyst at 1-800-421-6770. Financial analysts are assigned for
each state. After you review and understand this document, please
sign it, make a copy for your records, and mail the original back to the
COPS Office.
Grant Conditions
By accepting this grant, you are entering into a partnership with the
U.S. Department of Justice, Office of Community Oriented Policing
Services (COPS). As part of that partnership, you agree to a number
of grant conditions (and possibly additional special conditions specific
to your agency). These conditions are listed below and on the back of
the enclosed award document. The section that follows describes in
detail each of the most commonly questioned award conditions, their
rationale, and their implications. It also addresses many commonly
asked questions. If you have any additional questions concerning any
of these grant conditions, please contact your Grant Program
Specialist at 1-800-421-6770.
Reasons for Grant Conditions
The requirements of your Methamphetamine Initiative grant are
established within:
 the Public Safety Partnership and Community Policing Act of
1994 under which the COPS Office was established; and

 applicable rules, regulations and policies issued by the Department
of Justice, Office of Management and Budget (OMB), the
General Accounting Office (GAO), and the United States
Treasury.
A list of source documents for this booklet is provided in Appendix
B. You may request copies of any of these materials from the Office
of Administration, Publication Unit, Room G 236, New Executive
Office Building, Washington, DC 20503, or from either the COPS
Office or the Office of the Comptroller.
Review of Each Condition
#1 PROCUREMENT REQUIREMENTS
Grantees that have been awarded funding for the procurement of an
item in excess of $100,000 and have already identified a vendor must
provide a written sole source justification to the COPS Office prior to
obligating, expending, or drawing down grant funds for that item.
Rationale:
In general, grant recipients are required to conduct procurement
transactions in a manner that ensures maximum open and free
competition. However, in some instances, grantees may have already
determined that competition is not feasible.
Action:
If you have received an award for an item or service in excess of
$100,000 and have already identified a vendor through the solicitation
of only one source, you must provide a written justification that
explains why it is necessary to contract non-competitively.
The initial determination that competition is not feasible can be made
if you can demonstrate that one of the following circumstances exists:
1.
The item or service is available only from a single source or;
2.
A competitive solicitation would create an undesirable delay
affecting the grantee ability to meet program requirements or;
3.
A number of sources were solicited but were considered
inadequate.
The COPS Office will review your request and the supporting
information which you provide, and will make a written determination
as to whether or not an exception can be granted to the general rule
regarding competition. Written approval must be obtained prior to

drawing down or expending COPS funding on equipment or
technology purchased through sole source purchases. Please use the
format described in Section II: "Procurement Procedures" when
submitting your justification for non-competitive procurement.
#2 ALLOWABLE COSTS
The funding under this project is for the payment of approved
salaries, overtime, and benefits for support personnel and approved
overtime for sworn law enforcement officers; equipment and
technology; and training and/or travel. All costs must be approved in
writing by the COPS Office. The particular areas for which your
grant has been approved are listed on the budget clearance memo,
which is included in your award packet.
Rationale:
The Methamphetamine Initiative is meant to help policing agencies
further develop an infrastructure to institutionalize and sustain
community policing practices. The allowable costs should be used to
further this goal.
Action:
Support Personnel Salary and Benefits - To be eligible for payment
under the grant, civilian support personnel must be hired after the
grant award start date specifically for the COPS grant project. In
addition, a salary must be reasonable for the services rendered, and
must be paid to a person appointed under the law or rules governing
hiring by your agency. Salary payments must be based on payroll
records. Payroll records must be supported by time and attendance
records or the equivalent. Grant funded salary and benefit costs must
supplement, not supplant (replace), locally funded support personnel
costs that would have been funded even in the absence of this grant.
Fringe Benefits  may be paid if they are part of a reasonable
compensation package offered to your employees. Particular items of
fringe benefits must fall within the categories authorized by the COPS
Office. Authorized fringe benefits include FICA, Social Security,
health insurance, life insurance, vacation, sick leave, retirement,
worker's compensation, and unemployment insurance.
Equipment and Technology  To be eligible for payment under this
grant, the purchase of equipment and technology must occur after the
award start date, the items must be those specifically applied for and
approved by the COPS Office, and they must meet the guidelines
described in 28 C.F.R. 66.

Sworn Officer Overtime  To be eligible for payment under this grant,
overtime must be the wage normally paid for each hour of overtime
service to currently employed sworn officers for working additional
hours beyond the normal work week to engage in grant program
activities. Grant funded overtime costs must supplement, not
supplant (replace), locally funded overtime hours that would be
funded even in the absence of this grant. Additionally, by the
conditions of this grant, you are required to track all overtime funded
through the COPS Methamphetamine Initiative.
Training  To be eligible for payment under this grant, training costs
must directly contribute to the performance of individuals involved in
this grant program. This training must be pre-approved by the COPS
Office, but may be gained at local, state, or national conferences,
seminars or classes on the topic area addressed by your grant program.
Consultants/Contracts - The COPS Office requires written
justification of any consultant or contractor rate which exceeds $450
per day. Specific and detailed justification must be submitted to and
approved by the COPS Office prior to obligation or expenditure of
such funds.
Section IV of this manual outlines the types of records that must be
kept by you to ensure that you have followed this grant condition. As
long as funds are spent on the salary and benefits, equipment and
technology, overtime, or training costs that are documented in your
budget summary and were approved by your financial analyst, this
grant condition will be satisfied.
#3 SUPPLEMENT, NOT SUPPLANT (NOT REPLACE)
Methamphetamine Initiative grant funds must be used to supplement,
and not supplant (replace), funds for activities that would have taken
place in the absence of this grant. Grantees wishing to re-deploy an
experienced current employee to the grant project must continue to
pay that employee with local funds; the COPS grant funds may instead
be used to "backfill" the vacancy resulting from the redeployment with
a newly hired employee.
Rationale:
The Public Safety Partnership and Community Policing Act of 1994
specifically states that Federal funds under the COPS programs may
not be used to supplant local or state funds which would be spent on
law enforcement purposes in the absence of the COPS grant.

Action:
Officer and Support Resources  To meet this grant condition, you
must ensure that:

Each officer or civilian employed under the Methamphetamine
Initiative grant program is newly hired on or after the grant award
start date. If current personnel are redeployed into this program,
they must be paid with local funds. The COPS grant funds may
be used to backfill the resulting vacancy with newly hired
personnel for an equivalent amount of time;

The civilian(s) that you are hiring brings your force to a number
over and above the number of funded civilian positions that you
had on the date of your Methamphetamine Initiative grant
program application (including funded but vacant positions);

During the life of your grant, you must continue to hire as many
new, locally funded officers and/or civilians as you would have if
you had not received your grant. You may not cancel or postpone
spending money in your budget that is committed to hiring other
new officers and/or civilians;

You must take expeditious and timely steps to fill any vacancies
that were created on or after the date of your grant application by
retirement, resignation, or other reasons with new civilians other
than your Methamphetamine Initiative program civilians.
Example: If you are redeploying a current employee who would otherwise be paid
$30,000 in salary and benefits during the life of the grant project, your
agency must continue to pay this employee with local funds. The COPS
grant funds may be used to "backfill" the resulting vacancy with a new hire
even though the COPS funded civilian will not be working directly on the
Methamphetamine Initiative project.
Equipment and Technology  To meet this grant condition, you will
need to ensure that:
 Equipment or technology purchased on or after the award start
date must be in addition to purchases that the grantee is obligated
or funded to make in the current budget. Funds currently
allocated to purchase equipment or technology may not be
reallocated to other purposes or reimbursed upon the award of a
Methamphetamine Initiative grant.
Overtime  To meet this grant condition, you will need to ensure that:


Overtime exceeds expenditures that the grantee is obligated or
funded to pay in the current budget. Funds currently allocated to
pay for overtime may not be reallocated to other purposes or
reimbursed upon the award of a COPS Methamphetamine
Initiative grant. Additionally, by the conditions of this grant, you
are required to track all overtime funded through the COPS
Methamphetamine Initiative.
Training To meet this grant condition you must ensure that:

Any training provided by the Methamphetamine Initiative
program is in addition to the number of hours of training already
provided by your agency. Funds currently allocated for training
may not be reallocated to other purposes.
Note: Application to Partnership Agency: This condition applies
to all state or locally funded agencies working in partnership
with you under this grant. You are responsible for ensuring
that any state or locally funded partnership agencies use
COPS funds only to supplement, and not supplant, their state
or local funding as described in this condition
#4 FISCAL YEAR AND FEDERAL COGNIZANT AGENCY
Prior to withdrawal of funds under this award, the recipient must
provide the Control Desk, Office of the Comptroller, with the
recipient organization's fiscal year and the name of the recipient
organization's Cognizant Federal Agency.
Rationale:
In order to ensure that your agency is in compliance with Federal
audit requirements and OMB regulations, the Office of the
Comptroller and the Federal cognizant agencies must coordinate
tracking of all Federal funds awarded under grants. To accomplish
this, we need your cooperation in gathering the information.
Action:
This information was requested in the application form you submitted
for the COPS Methamphetamine Initiative. In most cases this
condition has been satisfied. However, if you did not provide this
information, your cognizant agency is the Federal department or
agency that provides you with the most Federal money. It may have
been assigned to your jurisdiction previously. If this is your first
Federal grant, your cognizant agency is most likely the U.S.

Department of Justice. Please contact your Grant Advisor if you
have any questions about the identity of your Federal Cognizant
Agency.
#5 TRAVEL COSTS
Travel costs for transportation, lodging, subsistence, and related items
are allowable under the Methamphetamine Initiative program with
prior approval from the COPS Office. These costs will be considered
reasonable and allowable only if such costs do not exceed the charges
normally allowed by your jurisdiction. If your jurisdiction does not
have a written policy with regard to travel costs, the rates and amounts
established under subchapter I of Chapter 57 of Title 5, United States
Code "Travel and Subsistence Expense, Mileage Allowances" or by the
Administrator of General Services (GSA) or the President or his
designee shall be used for travel under Federal Awards (see OMB
Circular A-87 "Cost Principles for State, Local and Indian Tribal
Governments").
Rationale:
Either local or Federal travel guidelines should be used to determine
travel expenses.
Action:
Requests for travel to specific sites made in the application budget
section may be used to attend training and technical assistance
conferences, seminars or classes, or to visit a site specified in the
application. You should be aware that lodging, meals, and incidental
expenses related to the project and funded by the Office of
Community Oriented Policing Services shall be limited to the
established federal rate or local rate for the geographic location of the
training, technical assistance, or conference. Any exception to this
policy must be justified in writing as cost effective and requires prior
written approval of the Office of Community Oriented Policing
Services. Any such per diem costs exceeding the Federal rate incurred
without prior justification and prior approval will be disallowed.
Expenses for lodging, meals and incidental expenses related to this
project which were included in the application have been pre-
approved in writing.
#6 ASSURANCES AND PROGRAM GUIDELINES
The grantee acknowledges its agreement to comply with the
assurances and certifications submitted with the COPS
Methamphetamine Initiative grant application.

Rationale:
Although the Department of Justice has made every effort to simplify
the process for applying for and receiving grants, provisions of
Federal law require us to seek your certification regarding certain
matters. Most of these assurances apply to all grants provided by the
Federal government.
Action:
When you submitted your original application, there was a list of
assurances that you signed and included with your completed
application. This condition merely restates your agreement to comply
with those assurances.
Another copy of the assurances is contained in Appendix C of this
Manual. If you have any questions about them, please contact your
Grant Advisor.
Note: By signing the grant award and agreeing to abide by the
assurances and other grant conditions you are taking
responsibility for being the lead agency under this grant. As
the lead agency, you have the ultimate responsibility for
ensuring that all grant funds are used properly by your agency
and by your partner(s). The lead agency remains accountable
for the use of the COPS funds throughout the grant period,
whether those funds are spent directly by you or by a
secondary participant in the funded project.
#7 NEPA SPECIAL CONDITION
This grantee acknowledges its agreement to comply with the Special
Condition submitted to COPS Office prior to the receipt of the
COPS Methamphetamine Initiative grant application.
Rationale:
This grantee agrees to comply with Federal, State, and Local
environmental, health and safety laws and regulations applicable to the
investigation and closure of clandestine methamphetamine
laboratories and the removal and the disposal of the chemicals,
equipment, and wastes used in or resulting from the operations of
these laboratories. The Special Condition states specific measures or
components for the grantee to implement in order to avoid or
mitigate the possible adverse health, safety, and environmental impacts
of its Program. In addition, through the Special Condition, the
grantee acknowledges its receipt and review of the Environmental

Assessment and the Finding of No Significant Impact, and its
agreement to abide by these documents.
Action:
Prior to receiving a grant application, you signed and submitted a
certification to abide by the Special Condition. This condition merely
restates your agreement to comply with that Special Condition.
#8 REPORTS
In order to assist the COPS Office in the monitoring of the award,
your agency will be responsible for submitting periodic program
progress reports and quarterly financial status reports. As those
reports become due, your Grant Advisor will assist you on the
progress reports and a Financial Analyst will assist you on the financial
status reports.
Rationale:
The Public Safety Partnership and Community Policing Act of 1994
and other Federal regulations and policies require that financial
assistance provided by the Federal government be monitored carefully
to ensure the proper use of Federal funds. In addition, the COPS
Office seeks to document, on a continuing basis, the progress of our
programs and grantees.
Action:
This grant condition is to make you aware of your responsibilities in
assisting us with reporting requirements. These reports are discussed
extensively in Section VII of this Manual. To meet this condition, you
will be requested to complete periodic program progress reports and
four financial status reports per year. We are currently exploring ways
to reduce the required amount of reporting while ensuring that
adequate information is collected.
#9 EVALUATION
The COPS Office may conduct or sponsor evaluations of the
Community Oriented Policing Services (COPS) program and the
Methamphetamine Initiative program. The grantee agrees to
cooperate with the evaluators to the extent possible.
Rationale:
The Public Safety Partnership and Community Policing Act of 1994
states that evaluations of the COPS program may be carried out or
commissioned by the Attorney General for the furtherance of the
purposes of the Act. The COPS Office conducts evaluations to

determine what programs are working, how programs may be
improved, and why certain programs are more effective than others.
Specifically, the COPS Office may assess the way in which you
implement your community policing program and how it impacts your
Methamphetamine problem. In some jurisdictions, COPS staff may
study the effectiveness of funded programs, projects, and activities.
Evaluators may collect information about the programmatic effect on
crime, victims of crime, and the quality of life in communities. In
addition, they may ask questions about how residents feel about
community policing and how police officers feel about their work.
This information will be useful to other communities and police
agencies across the country as they develop strategies to focus on
Methamphetamine.
Action:
When evaluations are undertaken, you may be contacted in writing
with specific requests for information. In general, evaluators may
need to speak with individuals in your department, observe activities
of your department, and obtain written reports about and from your
department. You may be asked to facilitate any site visits and
information gathering activities. In addition, you may be asked to
provide accurate and timely information about your grant activities.
#10 GRANT OWNER'S MANUAL
The grantee agrees to abide by the terms, conditions, and regulations
as found in the Methamphetamine Initiative Grant Owner's Manual
and the Uniform Administrative Requirements for Grants and
Cooperative Agreements to State and Local Governments, 28 C.F.R.
Part 66 or the Uniform Administrative Requirements for Grants and
Cooperative Agreements with Institutions of Higher Education,
Hospitals and Other Non-profit Organizations, 28 C.F.R. Part 70 as
applicable.
Rationale:
This Manual has been tailored to inform you of the policies,
procedures, and regulations that apply to your grant. You will be
responsible for the information and rules contained in this Manual
and in the applicable regulations and provisions of federal law that are
referenced in this Manual. More detailed guidance can be requested
through your Grant Program Specialist.
Action:
Please read the entire Methamphetamine Initiative Grant Owners
Manual carefully prior to signing the grant Award Document. If you

have any questions, please contact your Grant Program Specialist to
discuss them. When you sign the Award Document, you should
ensure that the proper reporting and financial systems are in place to
satisfy the requirements.
#11 EQUAL EMPLOYMENT OPPORTUNITY PLAN (EEOP)
For grants of $500,000 or more (or $1,000,000 or more in grants over
an eighteen month period), the grantee acknowledges that failure to
submit an acceptable Equal Employment Opportunity Plan (if grantee
is required to submit one under 28 C.F.R. 42.302) that is approved by
the Office of Justice Programs, Office of Civil Rights, is a violation of
its Assurances and may result in the suspension of the drawdown of
funds. For grants under $500,000, the grantee must submit a
completed EEOP Certification form and return it to the Office of
Justice Programs, Office of Civil Rights, within 120 days of the grant
award, to:
Office of Civil Rights
Office of Justice Programs
810 7th Street, NW
Washington, D.C. 20531
Rationale:
The Equal Employment Opportunity Plan (EEOP) ensures full and
equal participation of men and women regardless of race or national
origin in the workforce of the recipient agency. EEOPs do not
impose quotas or hiring requirements. The Department of Justice
(DOJ) regulations regarding the requirements for an EEOP for federal
grant recipients and the required contents of the document are fully
explained in 28 C.F.R. 42.301 et seq.
Action:

DOJ regulations require you to prepare and maintain an EEOP if
your organization:

has 50 or more employees

received a total of $25,000 or more in grants or sub-grants and

has 3 percent or more minorities in its service population. Even
if there is less than 3 percent of minorities in the service
population, the DOJ regulations require that the EEOP be written
to focus on women.
If you meet the above criteria and

receive over $500,000 (or a total of $1 million in grant funds
during an 18-month period), you are required to submit an EEOP
to:

Office of Civil Rights
Office of Justice Programs
810 7th Street, NW
Washington, D.C. 20531
If you meet the above criteria and your grant is for under $500,000 or
you have received less than $1 million in grant funds during an 18month period, you need to complete and return the one-page COPS
EEOP Certification form within 120 days of your grant award to
advise us whether you have an EEOP in effect or whether you are
exempt from this requirement. If you need help preparing an EEOP,
please consult the 7 Step Guide to Preparing an EEOP previously
mailed to you.
Note: If you have submitted an approved EEOP under another
grant program, and that EEOP remains in effect, you do not
need to take any further action to meet this condition.
#12 EXTENSIONS
You may request an extension of the grant award period to receive
additional time to implement your grant program. These extensions
do not provide additional funding. The COPS Office will contact you
during the last several months of your grant period to inquire whether
or not you need an extension. Only those grantees who can provide a
reasonable justification for delays will be granted no-cost extensions.
Rationale:
Under Federal regulations, grant extensions which merely request
additional time, not additional funding, require prior approval.
Without an approved extension, your funding will be automatically
stopped 90 days after the end of the grant period.
Action:
In an effort to reduce the number of extensions during the grant
period, the COPS Office asks that you delay any request for an
extension until the COPS Office requests such information, and you
are able to determine accurately when you expect the grant to be over.
If the COPS Office receives and approves your extension request, we
will ensure that you have continued access to your grant monies.
#13 IMMIGRATION AND NATURALIZATION 1-9 FORM
The recipient agrees to complete and keep on file, as appropriate, an
Immigration and Naturalization Service Employment Eligibility
Verification Form (I-9). This form is to be used by the recipients of

Federal funds to verify that persons are eligible to work in the United
States.
Rationale:
Under federal immigration law, all employers are required to take
certain steps to ensure that persons hired by your agency are legally
permitted to work in the United States. The Immigration and
Naturalization Service Employment Eligibility Verification Form (I-9)
outlines the types of documents that an employer should review to
confirm that a new hire is eligible to be employed. The provisions of
this law apply to employers regardless of whether or not they receive
Federal grant funding.
Action:
You do not need to submit any documentation to the COPS Office to
satisfy this condition. Rather, you should complete and maintain the
I-9 forms for all new employees under the guidelines set forth by the
Immigration and Naturalization Service. For information about this
requirement, you may call 202-514-4316 or your local INS Office.
#14 CRIMINAL INTELLIGENCE SYSTEMS
If any part of the funded project is subject to the requirements of the
Criminal Intelligence Systems Operating regulation, 28 C.F.R. Part 23,
the grantee agrees to comply with this federal regulation.
Rationale:
If your Methamphetamine Initiative grant provides funding to
purchase, maintain, or enhance equipment (hardware or software) that
will enable your agency to operate a interjurisdictional criminal
intelligence system, you must agree to comply with the operating
principles found at 28 C.F.R. Part 23. An "interjurisdictional criminal
intelligence system" is generally defined as a system which receives,
stores, analyzes, and exchanges or disseminates data regarding ongoing
criminal activities (such activities may include, but are not limited to,
loan sharking, drug or stolen property trafficking, gambling, extortion,
smuggling, bribery, and public corruption) and shares this data with
other law enforcement jurisdictions.
Action:
You must sign and submit the CIS Special Condition.

II. Procurement Process
Please review the enclosed Uniform Requirements for Grants and
Cooperative Agreements to State and Local Governments. If you
have any questions regarding the Federal Government requirements
that guide procurement procedures, please call 1-800-421-6770. All
grantees must follow the regulations listed in 28 C.F.R. 66.36
Procurement.
Justification for Non-Competitive Procurement
If you wish to purchase equipment/technology or enter into a
contract with an entity using non-competitive procurement
procedures, and the funding level would be in excess of $100,000, you
must request, in writing, an exception to the general rule regarding
competitive procurement using the following format:
Paragraph 1  A brief description of the project and what the
contract concerns.
Paragraph 2  Explanation of why it is necessary to contract non-
competitively, including the following:

Expertise of the contractor;

Management;

Responsiveness;

Knowledge of the project;

Experience of contractor personnel; and

Results of a market survey to determine competition
availability or, if one was not conducted, explain why not.
Paragraph 3  Time Constraints

When contractual coverage is required and why;

Impact on project if dates are not met; and

How long it would take another contractor to reach the same
level of competence (equate to dollars, if desired)
Paragraph 4  Uniqueness
Paragraph 5  Other points that should be covered to "sell the case."
Paragraph 6  A declaration that this action is in the "best interests"
of the agency.

III. Accessing Grant Funds
This section provides information about how you receive funds and
gives answers to payment-related questions. In your award packet, you
will find documents to help you set up access to your grant funds.

One of the most important financial-related documents is an
Automated Clearinghouse (ACH) Vendor/Miscellaneous Payment
(SF 3881) enrollment form. The ACH Vendor/Miscellaneous
Payment (SF 3881) enrollment form needs to be filled out
regardless of the payment method. The "Agency Information"
section has been filled out by our Accounting Division; your
agency needs to fill out the "Payee/Company Information"
section following the directions on the back of the form.
Additionally, please provide the grant number printed on the
award document on this form. Then you must get your financial
institution to complete the "Financial Institution Information"
section and have the appropriate financial official sign the form.
Once all portions have been completed, return this form to the
address printed at the top of the form prior to trying to access
funds.

As part of Federal auditing requirements, your agency must
complete a Financial Status Report (Standard Form 269) quarterly.
Payment requests will be denied if the current 269 is overdue.
Please make blank copies (both sides) of the form provided in
your award packet and retain them for future use. This form is a
report of the status of expenditures (the amount of money that
your agency has expended for the grant); filling out this form and
returning it does not mean that you will be reimbursed for the
amount shown as being expended on this form. The Financial
Status Report is due 45 days following the end of a calendar
quarter (calendar quarters end March 31, June 30, September 30,
and December 31). Even when you have not expended any funds
during a quarter, the Financial Status Report should be submitted
with zeros in the appropriate spaces. When setting up your
account, check to see when the last quarter ended and fill out a
Financial Status Report to reflect the amount of expenditures the
agency had for the grant, and submit the form along with the
ACH Vendor form. For the rest of the year, please submit
Financial Status Reports no later than May 15, August 15,
November 15, and February 15.

Since most COPS grantees will use the PAPRS method to access
grant funds (see "Payment Methods"), the PAPRS User's Manual
will be provided to you by the Office of Justice Programs (OJP).

Once you receive your OJP Vendor Number (which may or may
not be the same as your taxpayer identification number) and PIN
number, and have returned the ACH Vendor/Miscellaneous
Payment enrollment form, you can follow the directions in the
User's Manual to access your funds. To obtain a PAPRS manual,
please fax your agency name, grant number, vendor number, the
name, address, and telephone number of the person to whom the
packet should be sent to 202-616-5962.
If you are already a COPS Office grantee, you should have already
selected one of the two payment methods and filled out an ACH
Vendor/Miscellaneous Payment (SF 3881) enrollment form. If you
have any questions, please call the Accounting Division help line at
(202) 307-6232 for LOCES questions or (202) 307-5909 for PAPRS
questions.
Can we receive advances?
Yes. If you receive funds through electronic transfer, the period
allowed is ten (10) days in advance.
In general, the concept of "minimum cash-on-hand" applies to COPS
grants. The minimum cash-on-hand concept requires that you request
funds based upon immediate cash disbursement needs. You should
time your request for payment to ensure that Federal cash-on-hand is
the minimum that you need to make your immediate payments. There
should be no excess Federal grant funds on hand, except for approved
advances discussed above.
The Federal Government has four basic rules regarding advances.
Advances can be terminated if the grantee:

Is unwilling or unable to attain project goals;

Maintains excess cash on hand;

Does not adhere to the terms and conditions of the grant; or

Fails to submit reliable and/or timely reports.
How often do we request reimbursement of costs?
There are no definitive guidelines on how often you should request
reimbursements.

Can we earn interest on our grant funds?
You should minimize the time between your draw down of grant
funds and your payment of grant costs. You need to account for
interest earned on advance of Federal funds as follows:

You may keep interest earned on all advances of Federal grant
funds up to $250 per fiscal year; and

Annually remit interest earned (over and above $250 per fiscal
year) on advances of Federal grant funds to the U.S. Department
of Health and Human Services, Payment Management Systems,
Rockville, MD 20852.
Payment Methods
There are two methods of payment that you can use to access your
grant funds: PAPRS and LOCES.
The following explanation of payment methods will assist you in
determining which payment method you would like to use in accessing
your COPS grant funds.
A. PAPRS is the Phone Activated Paperless Request System. PAPRS
replaces the paper form H-3 (Request for Payment) by enabling
grantees to use their touch-tone telephone to request funds. The
system provides on-line information to grantees about the status
of their requests and will automatically schedule approved
payment requests for U.S. Treasury disbursement.
If you do not have a touch-tone phone, please contact the Accounting
Division help line at (202) 307-5909.
B. LOCES is the Letter of Credit Electronic Certification System.
The LOCES is a modem connection service that allows recipients
of Federal funds to electronically request payment and receive
those funds through a direct deposit to their bank account. It is
suitable for agencies that have a computer and a dedicated
modem, and desire flexibility in how much and when they request
their payments.
How does LOCES work?
LOCES is a modem communication system that allows recipients of
COPS funds to electronically request payment from any of their grant

funds and receive direct deposit to their bank accounts within 48
hours.
I. To make requests for payments through LOCES, you must have a
personal computer operating DOS 3.1 or higher. We recommend
a 28.8-baud modem.
II. LOCES is only available to grantees already set up with a LOCES
account. New grantees can no longer access LOCES and must use
PAPRS. Please refer to page 19, Payment Methods, section A of
this manual for more information on the PAPRS payment system.
What are the benefits of LOCES?
The LOCES method is a completely computerized method of
payment. It also allows you to file your quarterly Financial Status
Reports (SF-269) electronically.

IV. Financial Record Maintenance
Under the COPS Methamphetamine Initiative grant, you are required
to establish and maintain accounting systems and financial records to
accurately account for funds awarded and disbursed.
Accounting Systems
Your accounting system should:

present and itemize actual expenditures of funded items;

assure responsible use of grant funds;

assure that funds are spent in conformance with your grant
conditions; and

be able to provide the necessary information for periodic financial
review.
What items should be kept?
Your fiscal control and accounting systems should enable you to make
accurate, current, and complete disclosure of the financial activity
under your COPS Methamphetamine Initiative grant. Your
accounting records should contain information showing expenditures
under the grant, and must be supported by items such as payrolls, time
and attendance records, purchase orders, canceled checks, or similar
documents. You must adequately safeguard grant funds and make
sure that they are used for authorized purposes. You will be
responsible for refunding expenditures disallowed by auditors.
How long should documents be kept?
All financial records, including payroll, time and attendance records,
purchase orders, canceled checks, and similar documents associated
with your COPS Methamphetamine Initiative grant should be kept for
at least three years from the grant closing audit report date. If any
litigation, claim, negotiation, audit, or other action involving these
records has been started before the end of the three year period, the
records should be kept until completion of the action. These records
should be easily located and should be properly protected against fire
or other damage.
You should maintain your records so that you can identify them by
grant year or by your fiscal year, whichever you find more convenient.

What if we have more than one grant?
If you have more than one Federal grant, funds received under one
project may not be used to support another project. Your accounting
systems and financial records must reflect expenditures for each
project separately.
Who may access our records?
Authorized Federal representatives, including the representatives of
the Department of Justice and the Comptroller General for the U.S.,
may access these records as long as they exist for the purposes of
making audits, examinations, excerpts or transcripts.

V. Matching Funds
Under the COPS Methamphetamine Initiative, no local match is
required. The COPS Office is funding 100 percent of the allowable
items approved in your budget summary. Any agency desiring to
contribute additional funds to this project may do so.

VI. Federal Audit Requirements
Audit Requirements
In addition to oversight, guidance and counsel provided by the COPS
office, your grant may be subject to an audit by independent
examiners. The two primary types of audits are Single Audit Act
(SAA) audits and Department of Justice (DOJ), Office of Inspector
General (OIG) audits. These audits are designed to determine
whether you have systems in place, controls established, and reports
providing reasonable assurance that your organization is managing the
COPS Methamphetamine Initiative funds in compliance with laws,
regulations, and provisions specified in this manual. Failure to comply
with audit requirements may result in adverse current and future
funding determinations.
COPS' Monitoring and Compliance Division (MCD) serves as the
liaison between grantees and auditors in the conduct of audits. MCD
liaison responsibilities include, but are not limited to, addressing
grantee inquiries regarding audit processes; providing grantee's
technical assistance in responding to audit reporters; evaluating the
accuracy of identified findings (problem areas) and recommendations
to correct problem areas, facilitating closure on audit findings and
recommendations; and tracking current, pending, and completed audit
initiatives. Appendix D identifies the MCD point of contact in your
state. MCD management analysts and the Assistant Director are
available to address questions and provide assistance regarding the
SAA and OIG audit processes. Questions and comments regarding the
administration of your grant(s), not specifically related to an audit, should be
referred to your Grant Program Specialist or Financial Analyst, rather than
MCD.
Office of Inspector General Audits
What is the role of the Office of Inspector General?
The OIG is an independent agency within DOJ authorized to conduct
audits related to DOJ program, financial, and administrative
operations. OIG audits are designed to promote economy, efficiency,
and effectiveness in the administration of grants by evaluating
compliance with laws, regulations, and policies and procedures
governing the operations encompassed in the scope of the audit.

On what basis are COPS grants selected for an OIG audit?
Occasionally, OIG conducts a COPS grant audit in response to a
referral that OIG believes warrants further evaluation. OIG also
surveys DOJ agencies on an annual basis to solicit input on suggested
audit areas for the upcoming fiscal year. In most instances, however,
OIG selects grants taking into consideration many factors including,
but not limited to , geographical distribution of grants awarded, award
amount, population served, and type of grant. As such, the fact that your
grant has been selected for an OIG audit is not necessarily indicative of a
suspected concern or problem area; but, instead, is typically part of the overall
selection process.
What is encompassed in the scope of an OIG audit?
Typically, OIG audits encompass grants awarded to your agency, both
active and expired. OIG conducts testing to determine compliance
with program, administrative, and financial requirements for each of
the grants selected. Compliance areas may include, but not be limited
to, supplanting, retention, allowable costs, local match, redeployment,
financial and programmatic reporting, and community policing grant
provisions. Once testing is completed, OIG issues a report which
includes an analysis of areas deemed noncompliant and
recommendations to correct problem areas. OIG's recommendations
may include returning a portion or all of your grant funding. As such,
it is imperative that you remain aware of and comply with grant
provisions, implement effective accounting systems, and maintain
detailed, accurate records supporting the administration of your
grant(s).
How will I be notified of an upcoming OIG audit? What will I need to do to
prepare?
Typically, the OIG will notify COPS of upcoming audits, at which
time COPS will send you a notification letter indicating a COPS point
of contact to address your questions and comments and
information/documentation that will need to be made available to the
OIG during their scheduled on-site visit. If OIG notifies you of their
upcoming audit, prior to notification from the COPS office, please
feel free to call the COPS MCD to discuss questions and comments
regarding the audit process.
After COPS issues a notification letter to your organization, OIG will
issue a similar letter specifying the information that will be needed and

scheduled date for the introductory entrance conference. At this
point, you will work with both the OIG and COPS to further the
audit process.
What are the primary steps included in the OIG audit process?
After an entrance conference is conducted between your organization
and the OIG, the auditors will conduct analysis and inquiries regarding
the administration of your grant(s). Based on the
information/documentation obtained and response to inquiries, OIG
may identify potential/actual vulnerabilities and/or areas deemed
noncompliant with grant provisions, which collectively are referred to
as "findings". OIG will state their findings and recommendations in a
draft audit report, which will be furnished to your office and the
COPS office for review and comment. The response to the draft
audit report provides you and COPS an opportunity to indicate
concurrence or nonconcurrence with OIG's findings and
recommendations and what, if any, action has been or will be taken to
address the findings and recommendations. Upon receiving your
response and COPS' response to the draft audit report, OIG will issue
a final report identifying whether each recommendation is "open",
meaning additional action is needed to address the finding and
recommendation, or "closed", meaning all actions necessary to address
OIG's finding and recommendation have been fully implemented.
After the final report has been issued, COPS' MCD will continue
working as the liaison between your office and the OIG to close the
open audit findings and recommendations. Serving in this capacity,
COPS will advise you as to what information/documentation is
needed to attain closure on the open audit recommendations, evaluate
your information for accuracy and completeness, and furnish the
information to OIG to facilitate closure. This process continues until
all audit recommendations are closed, at which time you will be issued
a letter confirming closure of the entire audit. You must keep all
documentation related to the audit for a period of three years after the
audit closure date. If an investigation or official inquiry occurs either
during the audit period or within three years of the audit closure date,
you must keep all audit records until the investigation or inquiry has
been completed.

SINGLE AUDIT ACT AUDITS
What is a Single Audit Act Audit?
A SAA audit is an examination of a non-Federal entities' financial
statements and Federal awards by public accountants or Federal, State
or local government audit organizations. The purpose of the SAA
audit is to determine: 1) whether financial statements are presented
fairly, in conformity with generally accepted accounting principles, 2)
whether the schedule of expenditures of Federal awards is presented
fairly in relation to the financial statements taken as a whole, 3) if
internal controls are sufficient to minimize risk, and 4) compliance
with laws, regulations, and grant provisions having a material effect on
major programs.
What are the regulations governing SAA requirements?
The Single Audit Act was created in 1984, which established uniform
guidelines for state and local governments receiving Federal financial
assistance. The 1984 Act was amended in July 1996 to reflect revised
audit criteria and reporting requirements. The Office of Management
and Budget Circular A-133, Audits of States, Local Governments, and
Non-Profit Organizations provides additional guidelines regarding the
implementation of SAA requirements.
Who must have a SAA Audit?
Each non-Federal entity that expends a total amount of Federal awards
equal to or in excess of $300,000, in a fiscal year, shall have a SAA
audit for that fiscal year.
A non-Federal entity that expends Federal awards under more than
one Federal program shall undergo a SAA audit encompassing all
operations; or, at the option of the non-Federal entity, the SAA audit
may include a series of audits encompassing the organizational units
which expended or administered grants during the fiscal year. If the
latter alternative is selected, the SAA audit must include the financial
statements and schedule of expenditures of Federal awards for each
organizational unit encompassed in the audit.
When an entity expends Federal awards under only one Federal
program and the Federal program's laws, regulations, and grant
provisions do not require a financial statement for the Federal
program, your organization may elect to have a program-specific audit
conducted. Unlike a SAA audit, encompassing all of the entities'
operations, the scope of a program-specific audit includes the

financial, internal control, and compliance issues governing the
program under review.
How frequently are SAA Audits conducted?
SAA audits are conducted annually unless a State or local government
is required by constitution or statute, in effect on January 1, 1987, to
undergo audits less frequently than annually. If such constitution or
statute does exist, the entity is permitted to undergo an audit
biennially. Non-profit organizations that had biennial audits for all
biennial periods ending between July 1, 1992 and January 1, 1995, are
permitted to undergo biennial audits. All biennial audits must cover
both years within the biennial period.
What are the primary steps included in the SAA audit process?
The auditor retained by your organization will conduct testing to
determine whether the financial statement and schedule of
expenditures of Federal awards are presented fairly, in all material
respects. The auditor will also conduct internal control and
compliance testing to determine adherence to laws, regulations, and
grant provisions as well as adequate protection of resources from
fraud, waste, and abuse. Once testing is completed, the auditor will
issue a report reflecting the results of financial statement, internal
control, and compliance testing, which includes findings and
recommendations for areas deemed noncompliant and/or vulnerable.
Upon receiving the auditor's report, your organization will prepare a
corrective action plan for each finding and recommendation. The
corrective action plan reflects agreement or disagreement with the
findings and recommendations, information to support a position of
disagreement, and both completed and anticipated actions to address
the findings and recommendations.
The Assistant Director, MCD, Tracey Mock, is available to address questions
and provide assistance regarding the SAA audit process. Questions and comments
regarding the administration of your grant, not specifically related to an audit,
should be referred to your Grant Program Specialist or Financial Analyst, rather
than the Assistant Director, MCD.

VII. Reports
Periodically, you will be asked to provide two types of reports 
Program Progress Reports and Financial Status Reports. Funds and
future awards may be withheld if reports are not returned or are
excessively late.
Program Progress Reports
How often will progress reports be requested?
Program progress reports will be distributed on a periodic basis
throughout the grant period. Grant recipients must adhere to all
deadlines set forth for the submission of these reports.
What kind of information will these reports require?
These reports will request information on the status of funded
activities, as well as updates concerning the hiring of personnel and
the purchase and installation of equipment and technology.
Additionally, the COPS Office will ask questions regarding any
progress your agency makes as a result of your involvement in the
Methamphetamine Initiative.
How and when will these forms be sent?
These reports and instructions will be mailed to you in the next
several months. You will also receive periodic phone calls from your
Grant Program Specialist regarding the status of your grant. Your
Grant Program Specialist or other representatives of COPS may make
site visits to your agency during the grant period.
Financial Status Reports
How will the financial aspects of our grant be monitored?
The COPS Office monitors the financial aspects of your grant
through financial reports, meetings, telephone contacts, reports, audits,
review of grant change requests and special request submissions. In
specific cases, information may be requested during an on-site visit.
Financial Status Reports under PAPRS
Under the PAPRS system, you are required to complete and return
quarterly Financial Status Reports (SF-269) within 45 days after the

end of the calendar quarter. These reports request information on
your monies spent and the un-obligated amounts.
Blank copies of these forms may be requested through the Office of
Management and Budgets Fax Info line at 202-395-9068. The fax on
demand number for the Financial Status Report is # 2691. Financial
Status Report forms ( Sf-269) can also be accessed through the
Internet. The financial status reporting deadlines follow:
QUARTER:                MUST SEND NO LATER THAN:
1.Jan 1 - March 31            May 15
2. April 1 - June 30          Aug. 15
3. July 1 - Sept. 30          Nov. 15
4. Oct. 1 - Dec. 31           Feb. 15
Once completed, please fax these reports to 202-616-9004.
You will not be able to access funds in the PAPRS system unless
you have submitted these Financial Status Reports.
Financial Status Reports under LOCES
Under the LOCES payment method, you are required to complete
and return quarterly Financial Status Reports (SF-269) within 45 days
after the end of the calendar quarter. However, you will have the
option of completing those reports electronically each quarter.
Reporting Violations (Fraud, Waste, and Abuse)
If you suspect any alleged violations, serious irregularities, or acts that
may result in the use of public funds in a manner inconsistent with
the Public Safety Partnership and Community Policing Act of 1994 or
the purposes of this grant, please report such activities to the
Department of Justice Inspector General Hotline at 1-800-869-4499.
We would greatly appreciate your cooperation to help us ensure that
these Federal grant funds are spent responsibly.

VIII. When the Grant Period Has Ended
"Closing Out" Your Grant
At the end of your grant period, the COPS Office is responsible for
the "close out" of your grant. To fulfill this requirement, we must
determine that you, as well as the COPS Office, have completed all of
the work required of the grant.
When should all of the grant monies be spent?
Grant funds must be obligated by the end of the grant period.
Obligated funds cover expenses that you have incurred but not yet
paid. Grant funds that have been obligated have 90 days after the end
of the grant to be paid out (expended) to you. Any grant funds that
you do not request payment for by the end of the 90th day will revert
to the COPS Office. Any unspent funds must be returned to the
Federal Government.
Final Progress Reports
Within 90 days of the end of your grant period, the COPS Office
requires that you submit final financial and program progress reports.
The final program progress report and its instructions will be mailed
to you toward the end of your grant period.

IX. Epilogue
We hope that this Manual has assisted you with your grant questions.
We welcome and encourage any comments you have regarding the
COPS Methamphetamine Initiative and the materials we are
developing for its administration. If you have specific comments
regarding this Manual, please send them to COPS Methamphetamine
Initiative Team Leader, 1100 Vermont Ave., NW, 9th Floor,
Washington, D.C. 20530. We will review these comments and make
revisions as appropriate.
If you have any questions about your grant, please call 1-800-421-6770
or your Grant Program Specialist.

X. Appendices
Appendix A  Allowable Costs
The following information summarizes categories of allowable and
unallowable costs for funding from COPS under the
Methamphetamine Initiative. The budget items must
programmatically link to the activities described in the proposal.
While costs may be listed as allowable, the COPS Office will
determine appropriateness of requested funds for the activities within
each proposal. The burden to adequately demonstrate that the item
requested is directly related to the program is placed on the grantee
and the COPS Office may delete any unlinked items without
notification.
Although some of the statutory application requirements for COPS
grants have been waived for the COPS Methamphetamine Initiative,
the prohibition against supplanting remains in force. That is, funds
provided must be in addition to locally budgeted items, not in lieu of
these items.
Personnel
Allowable:
Law Enforcement officers

Approved overtime incurred after the award start date for existing
full-time officers working directly on this program
Employees other than law enforcement officers (civilian support staff)

Salaries and benefits of support staff hired after your award start
date to work directly on this program;

Salaries and benefits of support staff hired after your award start
date to backfill a vacancy created when your agency re-deploys an
experienced locally funded civilian to the COPS grant project.
Unallowable:

Salaries and benefits of existing employees; and

Salaries and benefits of grant writers or other staff that do not
directly contribute to the implementation or enhancement of the
program (unless hired to backfill a vacancy created by the
redeployment of a locally funded civilian to the grant project).
Note: When itemizing fringe benefits, FICA combined with Social
Security cannot exceed 7.65 percent, and if you are not
requesting reimbursement for FICA, Worker's Compensation
or Unemployment, please make a note that your agency plans
to cover these items, as they are required benefits.

Travel
Allowable:
 Reasonable out of town travel costs (lodging, meals, and
transportation costs if travel is over 50 miles from program
location) in accordance with applicable guidelines to visit other
jurisdictions engaged in similar programs or to attend
conferences/training directly related to the goals of the program.
Unallowable:
 Local travel costs (lodging, meals or transportation costs) within a
50-mile radius of the program location.
Technology and Equipment
Note: Any expenses under $5,000 per unit should be itemized under
"Supplies".
Allowable
 Technology and equipment that is purchased specifically for this
program after the award start date can be clearly linked to the
implementation or enhancement of the program. The burden is
on the grantee to adequately demonstrate this connection. (Some
potential examples may include computerized crime analysis
software, mapping software, or electronic bulletin boards to
enhance communication between police and citizens.)
Unallowable:

Standard police issue equipment [includes patrol cars, mobile
police units, weapons, vests, accessories, emergency equipment,
MDTs (MDCs and laptops are allowable), and uniforms]; and

Office furniture and equipment, such as copiers, shredders, desks,
chairs, etc.
Supplies
Allowable:
 Supplies such as copying, general office items, postage and others
if directly related to the program.
Unallowable:

Standard office supplies not directly related to the program.

No construction costs are allowable under this program.
Construction

Consultants/Contracts
Allowable:

Consultant/contractor costs if they directly contribute to the
implementation or enhancement of the program (Note:
Consulting and/or contractor costs may not exceed $450 per day
without prior approval by the COPS Office.);

Consultant or trainer fees only for additional training that
supplements, but does not replace, any current training of new or
re-deployed officers, civilians, and/or community members in
areas or topics that relate to the programs goals;

Supervisory training related to the program; and

Conference costs related to the program (registration fees, books).
Unallowable:
 Training in topics not directly linked to the program.
Miscellaneous
Allowable:

Performance evaluation development;

Publications relating to the program and community policing;

Reasonable and appropriate community incentives (subcontracts,
awards, etc.);

Local evaluation costs;
Examples of these costs include: small contracts with local colleges
and universities, in-house research staff costs, and focused technology
costs;

Training development costs directly related to the program;

Costs related to survey development, administration, and analysis
of survey information;

In-house newsletters;

Partnership or team building costs including travel, focus group
meetings, and other related activities (note, however, that meals
and refreshments for meetings are not allowed);

Video production if directly related to the program;

Costs of community meetings and workshops, including
reasonable room rental costs; and

Internet access fees, on-line research services, etc. if directly
related to the program.
Unallowable:

Other miscellaneous costs that do not directly lead to the
implementation or enhancement of the program; and

Meals or refreshment costs associated with meetings, etc.

Appendix B  List of Source Documents
Primary Sources:
Public Safety Partnership and Community Policing Act of 1994, 42
U.S.C.
U.S. Department of Justice, Office of Justice Programs, Financial and
Administrative Guide for Grants, OJP M 7100.1D: May 15, 1990
Additional Sources:
Code of Federal Regulations (CFR)
28 CFR Part 66 Uniform Administrative Requirements for
Grants and Cooperative Agreements to State and Local
Governments
28 CFR Part 67 Government-wide Requirements for Drug-
Free Workplaces (Grants)
28 CFR Part 69 Government-wide New Restrictions on
Lobbying
31 CFR Part 205 Treasury Department Regulations
Implementing for Cash Management Improvement Act of
1990
OMB Circular A-87 Cost Principles for State and Local Governments
OMB Circular A-33 Audits of Educational Institutions
Assurances for Universal Hiring (Included)
Executive Order 12547 "Non-Procurement Debarments and
Suspension"
Executive Order 12372, 28 CFR, Part 30 "Intergovernmental Review
of Federal Programs"
OMB Circular A-129 Managing Federal Credit Programs
4 CFR Parts 101-105 Department of Justice/General Accounting
Office, "Joint Federal Claims Collections Standards"

Appendices
5 CFR Part 1320 "Controlling the Paperwork Burden on the Public"
Executive Order 12291 "Regulations"
5 CFR Part 151 "Political Activities of State and Local Officials or
Employees"

Appendix C  Assurances
Several provisions of Federal law and policy apply to all grant programs. We (the Office of Community Oriented Policing Services) need
to secure your assurance that you (the applicant) will comply with these provisions. If you would like further information about any of the
matters on which we seek your assurance, please contact us.
By your authorized representatives signature, you assure us and certify to us that you will comply with all legal and administrative
requirements that govern the applicant for acceptance and use of Federal grant funds. In particular, you assure us that:
1.
You have been legally and officially authorized by the
appropriate governing body (for example, mayor or city council) to
apply for this grant and that the persons signing the application
and these assurances on your behalf are authorized to do so and
to act on your behalf with respect to any issues that may arise
during processing of this application.
2.
You will comply with the provisions of Federal law which limit
certain political activities of your employees whose principal employment is in connection with an activity financed in whole or in
part with this grant. These restrictions are set forth in 5 U.S.C. 
1501, et seq.
3.
You will comply with the minimum wage and maximum hours
provisions of the Federal Fair Labor Standards Act, if they apply
to you.
4.
You will establish safeguards, if you have not done so already, to
prohibit employees from using their positions for a purpose that
is, or gives the appearance of being, motivated by a desire for
private gain for themselves or others, particularly those with whom
they have family, business or other ties.
5.
You will give the Department of Justice or the Comptroller
General access to and the right to examine records and documents
related to the grant.
6.
You will comply with all requirements imposed by the Department of Justice as a condition or administrative requirement of
the grant; with the program guidelines; with the requirements of
OMB Circulars A-87 (governing cost calculations) and A-128 or
A-133 (governing audits); with the applicable provisions of the
Omnibus Crime Control and Safe Streets Act of 1968, as
amended; with 28 CFR Part 66 (Uniform Administrative
Requirements); with the provisions of the current edition of the
appropriate COPS grant owners manual; and with all other
applicable laws, orders, regulations or circulars.
7.
You will, to the extent practicable and consistent with applicable
law, seek, recruit and hire qualified members of racial and ethnic
minority groups and qualified women in order to further effective
law enforcement by increasing their ranks within the sworn
positions in your agency.
8.
You will not, on the ground of race, color, religion, national
origin, gender, disability or age, unlawfully exclude any person
from participation in, deny the benefits of or employment to any
person, or subject any person to discrimination in connection with
any programs or activities funded in whole or in part with Federal
funds. These civil rights requirements are found in the nondiscrimination provisions of the Omnibus Crime Control and Safe
Streets Act of 1968, as amended (42 U.S.C.  3789(d)); Title VI of
the Civil Rights Act of 1964, as amended (42 U.S.C.  2000d); the
Indian Civil Rights Act (25 U.S.C.  1301-1303); Section 504 of
the Rehabilitation Act of 1973, as amended (29 U.S.C.  794); Title
II, Subtitle A of the Americans with Disabilities Act (ADA) (42
U.S.C.
 12101, et seq.); the Age Discrimination Act of 1975 (42
U.S.C.
 6101, et seq.); and Department of Justice Non-
Discrimination Regulations contained in Title 28, Parts 35 and 42
(subparts C, D, E and G) of the Code of Federal Regulations.
A.
In the event that any court or administrative agency makes a
finding of discrimination on grounds of race, color, religion,
national origin, gender, disability or age against you after a due
process hearing, you agree to forward a copy of the finding to the
Office of Civil Rights, Office of Justice Programs, 810 7th Street,
NW, Washington, DC 20531.
B.
If you are applying for a grant of $500,000 or more and
Department regulations (28 CFR 42.301 et seq.) require you to
submit an Equal Opportunity Employment Plan, you will do so at
the time of this application, if you have not done so in the past. If
you are applying for a grant of less than $500,000 and the
regulations require you to maintain a Plan on file in your office,
you will do so within 120 days of your grant award.
9.
You will insure that the facilities under your ownership, lease or
supervision which shall be utilized in the accomplishment of the
project are not listed on the Environmental Protection Agencys
(EPA) list of Violating Facilities and that you will notify us if you
are advised by the EPA indicating that a facility to be used in this
grant is under consideration for listing by EPA.
10.
If your state has established a review and comment procedure
under Executive Order 12372 and has selected this program for
review, you have made this application available for review by the
state Single Point of Contact.
11.
You will devise a plan to retain the increased hiring level with
state and local funds after the conclusion of your grant.
I hereby certify compliance with the above assurances that govern the application and use of Federal funds.
Signature: ________________________________________________________________ Date: ______________________

Appendix D  Certifications
Regarding Lobbying; Debarment, Suspension and Other Responsibility Matters; Drug-Free Workplace
Requirements Coordination with Affected Agencies; Non-Supplanting; and Retention.
Although the Department of Justice has made every effort to simplify the application process, other provisions of Federal law require us to
seek your certification regarding certain matters. Applicants should read the regulations cited below and the instructions for certification
included in the regulations to understand the requirements and whether they apply to a particular applicant. Signature of this form provides
for compliance with certification requirements under 28 CFR Part 69, New Restrictions on Lobbying, and 28 CFR Part 67, Governmentwide Debarment and Suspension (Nonprocurement) and Government-wide Requirements for Drug-Free Workplace (Grants), and the
coordination and non-supplanting requirements of the Public Safety Partnership and Community Policing Act of 1994. The certifications
shall be treated as a material representation of fact upon which reliance will be placed when the Department of Justice determines to award
the covered grant.
1. Lobbying
As required by Section 1352, Title 31 of the U.S. Code, and
implemented at 28 CFR Part 69, for persons entering into a grant
or cooperative agreement over $100,000, as defined at 28 CFR
Part 69, the applicant certifies that:
A. No Federal appropriated funds have been paid or will be
paid, by or on behalf of the undersigned, to any person for
influencing or attempting to influence an officer or employee of
any agency, a Member of Congress, an officer or employee of
Congress, or an employee of a Member of Congress in
connection with the making of any Federal grant; the entering
into of any cooperative agreement; and the extension,
continuation, renewal, amendment or modification of any
Federal grant or cooperative agreement;
B. If any funds other than Federal appropriated funds have
been paid or will be paid to any person for influencing or
attempting to influence an officer or employee of any agency, a
Member of Congress, an officer or employee of Congress, or
an employee of a Member of Congress in connection with this
Federal grant or cooperative agreement, the undersigned shall
complete and submit Standard Form  LLL, Disclosure of
Lobbying Activities, in accordance with its instructions;
C. The undersigned shall require that the language of this
certification be included in the award documents for all
subawards at all tiers (including subgrants, contracts under
grants and cooperative agreements, and subcontracts) and that
all sub-recipients shall certify and disclose accordingly.
2. Debarment, Suspension and Other Responsibility Matters
(Direct Recipient)
As required by Executive Order 12549, Debarment and
Suspension, and implemented at 28 CFR Part 67, for prospective
participants in primary covered transactions, as defined at 28 CFR
Part 67, Section 67.510 
A. The applicant certifies that it and its principals:
(i) Are not presently debarred, suspended, proposed for
debarment, declared ineligible, sentenced to a denial of Federal
benefits by a state or Federal court, or voluntarily excluded from
covered transactions by any Federal department or agency;
(ii) Have not within a three-year period preceding this application
been convicted of or had a civil judgment rendered against them
for commission of fraud or a criminal offense in connection with
obtaining, attempting to obtain, or performing public (Federal,
state or local) transaction or contract under a public transaction;
violation of Federal or state antitrust statutes or commission of
embezzlement, theft, forgery, bribery, falsification or destruction
of records, making false statements, or receiving stolen property;
(iii) Are not presently indicted for or otherwise criminally or
civilly charged by a governmental entity (Federal, state or local)
with commission of any of the offenses enumerated in paragraph
(A)(ii) of this certification; and
(iv)
Have not within a three-year period preceding this application
had one or more public transactions (Federal, state or local)
terminated for cause or default; and
B.
Where the applicant is unable to certify to any of the
statements in this certification, he or she shall attach an
explanation to this application.
3. Drug-Free Workplace (Grantees Other Than Individuals)
As required by the Drug-Free Workplace Act of 1988, and
implemented at 28 CFR Part 67, Subpart F, for grantees, as
defined at 28 CFR Part 67, Sections 67.615 and 67.620 
A. The applicant certifies that it will, or will continue to, provide a
drug-free workplace by:
(i)
Publishing a statement notifying employees that the unlawful
manufacture, distribution, dispensing, possession or use of a
controlled substance is prohibited in the grantee's workplace and
specifying the actions that will be taken against employees for
violation of such prohibition;
(ii)
Establishing an on-going drug-free awareness program to
inform employees about 
(a)
The dangers of drug abuse in the workplace;
(b)
The grantee's policy of maintaining a drug-free workplace;
(c)
Any available drug counseling, rehabilitation and employee
assistance programs; and
(d)
The penalties that may be imposed upon employees for
drug-abuse violations occurring in the workplace;

(iii) Making it a requirement that each employee to be engaged in
the performance of the grant be given a copy of the statement
required by paragraph (i);
(iv)
Notifying the employee in the statement required by
paragraph (i) that, as a condition of employment under the grant,
the employee will 
(a)
Abide by the terms of the statement; and
(b)
Notify the employer in writing of his or her conviction for a
violation of a criminal drug statute occurring in the workplace no
later than five calendar days after such conviction;
(v)
Notifying the agency, in writing, within 10 calendar days after
receiving notice under subparagraph (iv)(b) from an employee or
otherwise receiving actual notice of such conviction. Employers of
convicted employees must provide notice, including position title,
to: COPS Office, 1100 Vermont Ave., NW, Washington, DC
20530. Notice shall include the identification number(s) of each
affected grant;
(vi)
Taking one of the following actions, within 30 calendar days
of receiving notice under subparagraph (iv)(b), with respect to any
employee who is so convicted 
(a)
Taking appropriate personnel action against such an employee,
up to and including termination, consistent with the requirements
of the Rehabilitation Act of 1973, as amended; or
(b)
Requiring such employee to participate satisfactorily in a drug
abuse assistance or rehabilitation program approved for such
purposes by a Federal, state or local health, law enforcement or
other appropriate agency;
(vii)
Making a good faith effort to continue to maintain a drug-
free workplace through implementation of paragraphs (i), (ii), (iii),
(iv), (v) and (vi).
B.
The grantee may insert in the space provided below the site(s)
for the performance of work done in connection with the specific
grant:
Place of performance (street address, city, county, state, zip code)
Check . if there are workplaces on file that are not identified
here.
Section 67.630 of the regulations provides that a grantee that is a
state may elect to make one certification in each Federal fiscal year,
a copy of which should be included with each application for
Department of Justice funding. States and state agencies may elect
to use OJP Form 4061/7.
Check . if the state has elected to complete OJP Form
4061/7.
4.
Coordination
The Public Safety Partnership and Community Policing Act of
1994 requires applicants to certify that there has been appropriate
coordination with all agencies that may be affected by the
applicant's grant proposal if approved. Affected agencies may
include, among others, the Office of the United States Attorney,
state or local prosecutors, or correctional agencies. The applicant
certifies that there has been appropriate coordination with all
affected agencies.
5.
Non-Supplanting
The applicant hereby certifies that Federal funds will not be used
to replace or supplant state or local funds, or funds supplied by
the Bureau of Indian Affairs, that would, in the absence of
Federal aid, be made available to or for law enforcement purposes.
6.
Retention
There is no retention requirement for the Methamphetamine
Initiative.
Grantee Name and Address: ____________________________________________________________________________________
Application No. and/or Project Name: ______________________________ Grantee IRS/ Vendor Number: ________________
Typed Name and Title of Law Enforcement Representative: _________________________________________________________
Signature: __________________________________________________________ Date: _____________________________________
As the duly authorized representative of the governing body, I hereby certify that the I am binding the governing body to the above
certifications, including the plan to retain. Elections of new officials will not relieve the governing body of its obligations under this grant.
Typed Name and Title of Government Representative: _____________________________________________________________
Signature: _________________________________________________________ Date: _____________________________________

Appendix E  Monitoring and Compliance Division Contacts
Name & Title Territories Covered Mailing Address Phone Number Fax Number
Andelman, David
Management
Analyst
Illinois, Indiana, Iowa, Kansas,
Michigan, Minnesota, Missouri,
Nebraska, Ohio, Wisconsin,
Maryland, Virginia, Washington
D.C., West Virginia
Department of Justice, COPS
Monitoring and Compliance
Division
1100 Vermont Ave, N.W.
3rd Floor
Washington, D.C. 20530
(202) 616-9419 (202) 616-5876
Glover, Cynthia
Management
Analyst
Alabama, Florida, Georgia,
Kentucky, Mississippi, North
Carolina, South Carolina,
Tennessee, Puerto Rico, Virgin
Islands, Connecticut, Delaware,
Maine, Massachusetts, New
Hampshire, New York, New
Jersey, Pennsylvania, Rhode
Island, Vermont
Department of Justice, COPS
Monitoring and Compliance
Division
1100 Vermont Ave, N.W.
3rd Floor
Washington, D.C. 20530
(202) 305-1664 (202) 616-5876
Knowles, Ward
Management
Analyst
Arkansas, Colorado, Louisiana,
Montana, New Mexico, North
Dakota, Oklahoma, South Dakota,
Texas, Utah, Wyoming
Department of Justice, COPS
Monitoring and Compliance
Division
1100 Vermont Ave, N.W.
3rd Floor
Washington, D.C. 20530
(202) 514-8056 (202) 616-5876
Murphy, John
Management
Analyst
Alaska, Arizona, California,
Hawaii, Idaho, Nevada, Oregon,
Washington, American Samoa,
Guam, Trust Territory of the
Commonwealth of the Northern
Marina Islands
Department of Justice, COPS
Monitoring and Compliance
Division
1100 Vermont Ave, N.W.
3rd Floor
Washington, D.C. 20530
(202) 616-9771 (202) 616-5876
Mock, Tracey
Assistant Director
Provides oversight, and serves as
a point of contact for all
territories.
Department of Justice, COPS
Monitoring and Compliance
Division
1100 Vermont Ave, N.W.
3rd Floor
Washington, D.C. 20530
(202) 616-5876

Appendix F  28 C.F.R. Part 23
Part 23  CRIMINAL INTELLIGENCE SYSTEMS OPERATING POLICIES
Sec.
23.1 Purpose.
23.2 Background.
23.3 Applicability.
23.20 Operating principles.
23.30 Funding guidelines.
23.40 Monitoring and auditing of grants for the funding of intelligence systems.
AUTHORITY: 42 U.S.C. 3782(a); 42 U.S.C. 3789g(c).
SOURCE: 58 FR 48452, Sept. 16, 1993, unless otherwise noted.
 23.1 Purpose.
The purpose of this regulation is to assure that all criminal intelligence systems operating through support under the Omnibus Crime Control and Safe Streets Act of 1968,
42 U.S.C. 3711, et seq., as amended (Pub. L. 90-351, as amended by Pub. L. 91-644,
Pub. L. 93-83, Pub. L. 93-415, Pub. L. 94-430, Pub. L. 94-503, Pub. L. 95-115, Pub. L.
96-157, Pub. L. 98-473, Pub. L. 99-570, Pub. L. 100-690, and Pub. L. 101-647), are utilized in conformance with the privacy and constitutional rights of individuals.
 23.2 Background.
It is recognized that certain criminal activities including but not limited to loan sharking, drug trafficking, trafficking in stolen property, gambling, extortion, smuggling,
bribery, and corruption of public officials often involve some degree of regular coordination and permanent organization involving a large number of participants over a
broad geographical area. The exposure of such ongoing networks of criminal activity
can be aided by the pooling of information about such activities. However, because the
collection and exchange of intelligence data necessary to support control of serious
criminal activity may represent potential threats to the privacy of individuals to whom
such data relates, policy guidelines for Federally funded projects are required.
 23.3 Applicability.
(a) These policy standards are applicable to all criminal intelligence systems operating
through support under the Omnibus Crime Control and Safe Streets Act of 1968, 42
U.S.C.
3711, et seq., as amended (Pub. L. 90-351, as amended by Pub. L. 91-644, Pub.
L.
93-83, Pub. L. 93-415, Pub. L. 94-430, Pub. L. 94-503, Pub. L. 95-115, Pub. L. 96157, Pub. L. 98-473, Pub. L. 99-570, Pub. L. 100-690, and Pub. L. 101-647.)
(b)
As used in these policies:
(1)
Criminal Intelligence System or Intelligence System means the arrangements,
equipment, facilities, and procedures used for the receipt, storage, interagency

exchange or dissemination, and analysis of criminal intelligence information;
(2)
Inter-jurisdictional Intelligence System means an intelligence system which
involves two or more participating agencies representing different governmental units
or jurisdictions;
(3)
Criminal Intelligence Information means data which has been evaluated to determine that it:
(i)
Is relevant to the identification of and the criminal activity engaged in by an individual who or organization which is reasonably suspected of involvement in criminal
activity, and
(ii)
Meets criminal intelligence system submission criteria;
(4)
Participating Agency means an agency of local, county, State, Federal, or other governmental unit which exercises law enforcement or criminal investigation authority
and which is authorized to submit and receive criminal intelligence information
through an inter-jurisdictional intelligence system. A participating agency may be a
member or a nonmember of an inter-jurisdictional intelligence system;
(5)
Intelligence Project or Project means the organizational unit which operates an
intelligence system on behalf of and for the benefit of a single agency or the organization which operates an inter-jurisdictional intelligence system on behalf of a group of
participating agencies; and
(6)
Validation of Information means the procedures governing the periodic review of
criminal intelligence information to assure its continuing compliance with system submission criteria established by regulation or program policy.
 23.20 Operating principles.
(a)
A project shall collect and maintain criminal intelligence information concerning
an individual only if there is reasonable suspicion that the individual is involved in
criminal conduct or activity and the information is relevant to that criminal conduct
or activity.
(b)
A project shall not collect or maintain criminal intelligence information about the
political, religious or social view, associations, or activities of any individual or any
group, association, corporation, business, partnership, or other organization unless
such information directly relates to criminal conduct or activity and there is reasonable
suspicion that the subject of the information is or may be involved in criminal conduct
or activity.
(c)
Reasonable Suspicion or Criminal Predicate is established when information exists

which establishes sufficient facts to give a trained law enforcement or criminal investigative agency officer, investigator, or employee a basis to believe that there is a reasonable possibility that an individual or organization is involved in a definable criminal activity or enterprise. In an inter-jurisdictional intelligence system, the project is
responsible for establishing the existence of reasonable suspicion of criminal activity
either through examination of supporting information submitted by a participating
agency or by delegation of this responsibility to a properly trained participating agency
which is subject to routine inspection and audit procedures established by the project.
(d)
A project shall not include in any criminal intelligence system information which
has been obtained in violation of any applicable Federal, State, or local law or ordinance. In an inter-jurisdictional intelligence system, the project is responsible for establishing that no information is entered in violation of Federal, State, or local laws, either
through examination of supporting information submitted by a participating agency or
by delegation of this responsibility to a properly trained participating agency which is
subject to routine inspection and audit procedures established by the project.
(e)
A project or authorized recipient shall disseminate criminal intelligence information only where there is a need to know and a right to know the information in the performance of a law enforcement activity.
(f)(1) Except as noted in paragraph (f)(2) of this section, a project shall disseminate
criminal intelligence information only to law enforcement authorities who shall agree
to follow procedures regarding information receipt, maintenance, security, and dissemination which are consistent with these principles.
(2)
Paragraph (f)(1) of this section shall not limit the dissemination of an assessment
of criminal intelligence information to a government official or to any other individual, when necessary, to avoid imminent danger to life or property.
(g)
A project maintaining criminal intelligence information shall ensure that administrative, technical, and physical safeguards (including audit trails) are adopted to
insure against unauthorized access and against intentional or unintentional damage.
A record indicating who has been given information, the reason for release of the information, and the date of each dissemination outside the project shall be kept.
Information shall be labeled to indicate levels of sensitivity, levels of confidence, and the
identify of submitting agencies and control officials. Each project must establish written definitions for the need to know and right to know standards for dissemination to
other agencies as provided in paragraph (e) of this section. The project is responsible
for establishing the existence of an inquirer's need to know and right to know the information being requested either through inquiry or by delegation of this responsibility to
a properly trained participating agency which is subject to routine inspection and audit
procedures established by the project. Each intelligence project shall assure that the fol

lowing security requirements are implemented:
(1)
Where appropriate, projects must adopt effective and technologically advanced
computer software and hardware designs to prevent unauthorized access to the information contained in the system;
(2)
The project must restrict access to its facilities, operating environment and documentation to organizations and personnel authorized by the project;
(3)
The project must store information in the system in a manner such that it cannot
be modified, destroyed, accessed, or purged without authorization;
(4)
The project must institute procedures to protect criminal intelligence information
from unauthorized access, theft, sabotage, fire, flood, or other natural or manmade disaster;
(5)
The project must promulgate rules and regulations based on good cause for implementing its authority to screen, reject for employment, transfer, or remove personnel
authorized to have direct access to the system; and
(6)
A project may authorize and utilize remote (off-premises) system data bases to the
extent that they comply with these security requirements.
(h)
All projects shall adopt procedures to assure that all information which is retained
by a project has relevancy and importance. Such procedures shall provide for the periodic review of information and the destruction of any information which is misleading,
obsolete or otherwise unreliable and shall require that any recipient agencies be advised
of such changes which involve errors or corrections. All information retained as a result
of this review must reflect the name of the reviewer, date of review and explanation of
decision to retain. Information retained in the system must be reviewed and validated
for continuing compliance with system submission criteria before the expiration of its
retention period, which in no event shall be longer than five (5) years.
(i)
If funds awarded under the Act are used to support the operation of an intelligence
system, then:
(1)
No project shall make direct remote terminal access to intelligence information
available to system participants, except as specifically approved by the Office of Justice
Programs (OJP) based on a determination that the system has adequate policies and
procedures in place to insure that it is accessible only to authorized systems users; and
(2)
A project shall undertake no major modifications to system design without prior
grantor agency approval.
(j)
A project shall notify the grantor agency prior to initiation of formal information

exchange procedures with any Federal, State, regional, or other information systems
not indicated in the grant documents as initially approved at time of award.
(k)
A project shall make assurances that there will be no purchase or use in the course
of the project of any electronic, mechanical, or other device for surveillance purposes
that is in violation of the provisions of the Electronic Communications Privacy Act of
1986, Public Law 99-508, 18 U.S.C. 2510-2520, 2701-2709 and 3121-3125, or any
applicable State statute related to wiretapping and surveillance.
(l)
A project shall make assurances that there will be no harassment or interference
with any lawful political activities as part of the intelligence operation.
(m)
A project shall adopt sanctions for unauthorized access, utilization, or disclosure
of information contained in the system.
(n)
A participating agency of an inter-jurisdictional intelligence system must maintain
in its agency files information which documents each submission to the system and
supports compliance with project entry criteria. Participating agency files supporting
system submissions must be made available for reasonable audit and inspection by
project representatives. Project representatives will conduct participating agency inspection and audit in such a manner so as to protect the confidentiality and sensitivity of
participating agency intelligence records.
(o)
The Attorney General or designee may waive, in whole or in part, the applicability
of a particular requirement or requirements contained in this part with respect to a
criminal intelligence system, or for a class of submitters or users of such system, upon
a clear and convincing showing that such waiver would enhance the collection, maintenance or dissemination of information in the criminal intelligence system, while
ensuring that such system would not be utilized in violation of the privacy and constitutional rights of individuals or any applicable State or Federal law.
 23.30 Funding guidelines.
The following funding guidelines shall apply to all Crime Control Act funded discretionary assistance awards and Bureau of Justice Assistance (BJA) formula grant program sub-grants, a purpose of which is to support the operation of an intelligence system. Intelligence systems shall only be funded where a grantee/sub-grantee agrees to
adhere to the principles set forth above and the project meets the following criteria:
(a)
The proposed collection and exchange of criminal intelligence information has
been coordinated with and will support ongoing or proposed investigatory or prosecutorial activities relating to specific areas of criminal activity.
(b)
The areas of criminal activity for which intelligence information is to be utilized

represent a significant and recognized threat to the population and:
(1)
Are either undertaken for the purpose of seeking illegal power or profits or pose a
threat to the life and property of citizens; and
(2)
Involve a significant degree of permanent criminal organization; or
(3)
Are not limited to one jurisdiction.
(c)
The head of a government agency or an individual with general policy making
authority who has been expressly delegated such control and supervision by the head of
the agency will retain control and supervision of information collection and dissemination for the criminal intelligence system. This official shall certify in writing that he
or she takes full responsibility and will be accountable for the information maintained
by and disseminated from the system and that the operation of the system will be in
compliance with the principles set forth in 23.20.
(d)(1) Where the system is an inter-jurisdictional criminal intelligence system, the governmental agency which exercises control and supervision over the operation of the system shall require that the head of that agency or an individual with general policy making authority who has been expressly delegated such control and supervision by the
head of the agency:
(i)
Assume official responsibility and accountability for actions taken in the name of
the joint entity, and
(ii)
Certify in writing that the official takes full responsibility and will be accountable
for insuring that the information transmitted to the inter-jurisdictional system or to
participating agencies will be in compliance with the principles set forth in 23.20.
(2)
The principles set forth in 23.20 shall be made part of the by-laws or operating
procedures for that system. Each participating agency, as a condition of participation,
must accept in writing those principles which govern the submission, maintenance and
dissemination of information included as part of the inter-jurisdictional system.
(e)
Intelligence information will be collected, maintained and disseminated primarily
for State and local law enforcement efforts, including efforts involving Federal participation.
 23.40 Monitoring and auditing of grants for the funding of intelligence systems.
(a)
Awards for the funding of intelligence systems will receive specialized monitoring
and audit in accordance with a plan designed to insure compliance with operating
principles as set forth in 23.20. The plan shall be approved prior to award of funds.
(b)
All such awards shall be subject to a special condition requiring compliance with

the principles set forth in 23.20.
(c) An annual notice will be published by OJP which will indicate the existence and the
objective of all systems for the continuing inter-jurisdictional exchange of criminal
intelligence information which are subject to the 28 CFR Part 23 Criminal Intelligence
Systems Policies.

Appendices
Appendix G  Special Condition for Methamphetamine/Drug Hot Spots Program Grants:
Mitigation of Health, Safety, and Environmental Risks
A. General Requirement: The applicant agrees to comply with
Federal, State, and local environmental, health, and safety laws and
regulations applicable to the investigation and closure of
clandestine methamphetamine laboratories and the removal and
the disposal of the chemicals, equipment, and wastes used in or
resulting from the operations of these laboratories.
B. Specific Requirements: The applicant understands and agrees that
any program or initiative involving either the identification,
seizure, or closure of clandestine methamphetamine laboratories,
hereafter referred to as the "Program", can result in adverse
health, safety, and environmental impacts to (1) the law
enforcement and other governmental personnel involved; (2) any
residents, occupants, users, and neighbors of the site of a seized
clandestine laboratory; (3) the seized laboratory site's immediate
and surrounding environment; and (4) the immediate and
surrounding environment of the site(s) where any remaining
chemicals, equipment, and wastes from a seized laboratory's
operations are placed or come to rest.
Therefore, the applicant further agrees that in order to avoid or
mitigate the possible adverse health, safety, and environmental
impacts of its Program, it will (1) include the nine, below listed
protective measures or components within its Program; (2)
provide for their adequate funding to include funding, as
necessary, beyond that provided by the grant agreement; and (3)
implement these protective measures throughout the life of the
grant agreement. In so doing, the applicant understands that it
may implement these protective measures directly through the use
of its own resources and staff or may secure the qualified services
of other agencies, contractors, or other qualified third parties.
The applicant agrees to include the following protective measures
within its Program:
1.
Provide medical screening of personnel assigned or to be
assigned by the applicant to the seizure or closure of
clandestine methamphetamine laboratories;
2.
Provide occupational Safety and Health Administration
(OSHA) required initial and refresher training for law
enforcement officials and other personnel assigned by the
applicant to either the seizure or the closure of clandestine
methamphetamine laboratories;

3.
As determined by their specific duties, equip personnel
assigned to the Program with OSHA required protective wear
and other required safety equipment;
4.
Assign properly trained personnel to prepare a comprehensive
contamination report of each closed laboratory;
5.
Employ qualified disposal contractors to remove all chemicals
and associated glassware, equipment and contaminated
materials and wastes from the site(s) of each seized
clandestine laboratory;
6.
Dispose of the chemicals, equipment, and contaminated
materials and wastes removed from the sites of seized
laboratories at properly licensed disposal facilities or, when
allowable, properly licensed recycling facilities;
7.
Monitor the transport, disposal, and recycling components of
subparagraphs numbered 5 and 6 Immediately above in order
to ensure proper compliance;
8.
Have in place and implement an inter-agency agreement or
other form of commitment with a responsible state
environmental agency that provides for that agency's (i) timely
evaluation of the environmental agency that provides for that
site of a closed clandestine laboratory and (ii) coordination
with the responsible party, property owner, or others to
ensure that any residual contamination is remediated, if
necessary, and in accordance with existing state and federal
requirements; and
9.
Include among the personnel involved in seizing clandestine
methamphetamine laboratories, or have immediate access to,
qualified personnel who can respond to the potential health
needs of any of the offender(s)' children or other children
present or living at the seized laboratory site. Response
actions should include, at a minimum and as necessary, taking
children into protective custody, immediately testing them for
methamphetamine toxicity, and arranging for any necessary
follow-up medical tests, examinations, or heath care.

C. Applicant's Acknowledgment and Agreement: Applicant
acknowledges that it has received and reviewed the Environmental
Assessment, including its appendices, and the Finding of No
Significant Impact that have been prepared for this grant.
Applicant agrees to abide by the Environmental Assessment,
including its appendices, and the Finding of No Significant
Impact throughout the implementation of this Program.
Applicant understands that this Environmental Assessment was
prepared under the requirements of the National Environmental
Policy Act, 42 U.S.C. 4321 et seq., and that this assessment
provides both the basis for the above listed protective measures as
well as references to several statutes, regulations, and guidelines
that are particularly relevant to the implementation of these
measures.

Image of United States Department of Justice seal
FOR MORE INFORMATION:
U.S. Department of Justice
Office of Community Oriented Policing Services
1100 Vermont Avenue, NW
Washington, D.C. 20530
To obtain details on COPS program, call the
U.S. Department of Justice Response Center at 1.800.421.6770
Visit the COPS internet web site by the address listed below.
e05011113 Created Date: June 18, 2001