To enhance homeland security by preventing unauthorized access to explosive materials stored by State or local agencies.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Safeguarding Explosives for Homeland 
Security Act''.

SEC. 2. PREVENTION OF UNAUTHORIZED ACCESS TO EXPLOSIVE MATERIALS STORED 
              BY STATE OR LOCAL AGENCIES.

    (a) Reports on Locations, Types, and Amounts of Stored Explosive 
Materials.--
            (1) Initial reports.--Within 6 months after the date of the 
        enactment of this Act, each State shall submit to the Attorney 
        General a written report that specifies each location at which 
        any agency operating under State law stores or keeps explosive 
        materials that have been shipped or transported in interstate 
        or foreign commerce, and the types and amounts of such 
        materials stored or kept at the location.
            (2) Subsequent reports.--At such times as the Attorney 
        General shall provide in regulations, each State shall submit 
        to the Attorney General a written report that updates the most 
        recent report submitted by the agency pursuant to this 
        subsection.
    (b) Regulations Governing Storage of Explosive Materials.--Within 6 
months after the date of the enactment of this Act, the Attorney 
General shall prescribe final regulations governing the storage and 
keeping by State or local agencies of explosive materials that have 
been shipped or transported in interstate or foreign commerce. The 
regulations shall set forth the standards of public safety and security 
against theft which any place at which explosive materials that have 
been shipped or transported in interstate or foreign commerce are so 
stored or kept shall meet, and shall, at a minimum, require any such 
place to be subject to video surveillance or to have in operation an 
alarm system capable of notifying the agency of unauthorized entry.
    (c) Inspection Authority.--The Attorney General may enter during 
business hours any place where a State or local agency stores or keeps 
explosive materials that have been shipped or transported in interstate 
or foreign commerce, for the purpose of inspecting the explosive 
materials and determining whether the materials are being stored or 
kept in compliance with the regulations prescribed under subsection 
(b).
    (d) Authority to Impose Penalty for Noncompliance.--
            (1) Authority to reduce grants.--If a State or local agency 
        fails to comply with this section or any regulation prescribed 
        under this section, the Attorney General may reduce by 10 
        percent the funds that the agency would otherwise receive, or 
        would otherwise be allocated, under any grant program of the 
        Department of Justice.
            (2) Reallocation of funds.--Any funds that are not 
        allocated to a State or local agency by reason of paragraph (1) 
        shall be reallocated to other State or local agencies whose 
        grants are not reduced by reason of paragraph (1).

SEC. 3. MATCHING GRANTS.

    (a) Application.--A State or local agency may submit to the 
Secretary of Homeland Security an application for a grant under this 
section, which shall contain--
            (1) a good faith estimate of the total amount the agency 
        will need to expend to comply with the regulations prescribed 
        under section 2(b); and
            (2) a certification that the agency has obtained 
        commitments to receive from State or local sources sums 
        totalling not less than \1/2\ of the amount referred to in 
        paragraph (1), and will expend the sums to achieve such 
        compliance.
    (b) Grant Authority.--The Secretary of Homeland Security may make a 
grant under this section to an applicant therefor if--
            (1) the application contains the information required by 
        subsection (a)(1) of this section; and
            (2) the applicant has submitted to the Secretary of 
        Homeland Security all reports required from the applicant by or 
        under section 2(a).
    (c) Amount of Grant.--The amount of the grant to be made to an 
applicant under this section shall not exceed \1/2\ of the amount set 
forth in the application pursuant to subsection (a)(1).
    (d) Use of Grant.--An applicant who receives a grant under this 
section shall use the grant only to cover the cost of complying with 
the regulations prescribed under section 2(b).
    (e) Limitations on Authorization of Appropriations.--For grants 
under this section, there are authorized to be appropriated to the 
Secretary of Homeland Security $10,000,000, without fiscal year 
limitation.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Explosive materials.--The term ``explosive materials'' 
        has the meaning given in section 841(c) of title 18, United 
        States Code.
            (2) Agency.--The term ``agency'' does not include any 
        component of the National Guard.
            (3) State.--The term ``State'' includes the District of 
        Columbia.

Summary: Safeguarding Explosives for Homeland Security Act - Requires each state to submit to the Attorney General a written report that specifies each location at which any agency operating under state law stores or keeps explosive materials that have been transported in interstate or foreign commerce and the types and amounts of such materials. Directs the Attorney General to prescribe final regulations governing the storage of such materials by state or local agencies, including public safety and security standards and requirements for video surveillance or an alarm system. Authorizes the Attorney General to enter during business hours any place where a state or local agency stores explosive materials that have been transported in interstate or foreign commerce, for the purpose of inspecting and determining whether they are stored in compliance with such regulations. Authorizes the Attorney General to reduce by 10 the funds that an agency would otherwise receive under any Department of Justice grant program if it fails to comply. Authorizes the Secretary of Homeland Security to make matching grants to state and local law enforcement agencies to cover the cost of complying with such regulations.