[Federal Register Volume 61, Number 102 (Friday, May 24, 1996)]
[Notices]
[Pages 26211-26218]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-13091]



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[[Page 26212]]


DEPARTMENT OF JUSTICE
Bureau of Justice Statistics
[OJP No. 1080]
RIN 1121-ZA34


National Criminal History Improvement Program (``NCHIP'')

AGENCY: Department of Justice, Office of Justice Programs, Bureau of 
Justice Statistics.

ACTION: Notice of program plan.

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SUMMARY: The Bureau of Justice Statistics (BJS) is publishing this 
notice to announce the continuation of the National Criminal History 
Improvement Program (NCHIP) in Fiscal Year 1996. The program implements 
the grant provisions of the Brady Handgun Violence Prevention Act 
(Brady Act), Pub. L. No. 103-159, 107 Stat. 1536 (1993), codified as 
amended at 18 U.S.C. 921 et seq., the National Child Protection Act of 
1993 (Child Protection Act), Pub. L. No. 103-209, 107 Stat. 2490 
(1993), codified as amended at 42 U.S.C. 3759, 5101 note, 5119, 5119a, 
5119b, 5119c, those provisions of the Omnibus Crime Control and Safe 
Streets Act of 1968 (Omnibus Act), Pub. L. No. 90-351, 82 Stat. 197 
(1968), codified as amended at 42 U.S.C. 3711 et seq., as amended, and 
the Violent Crime Control and Law Enforcement Act of 1994 (Violent 
Crime Control Act), Pub. L. No. 103-322, 108 Stat. 1796 (1994), 
codified as amended at 42 U.S.C. 13701 et seq. which pertain to the 
establishment, maintenance, or use of criminal history records and 
criminal record systems.
    Under NCHIP, States were asked to submit three year plans in FY 
1995. Every State received an award in 1995. Most States received 
partial funding last year. This program will provide additional funds 
in FY 1996 to assist States in continuing implementation of their 
multi-year programs and to address the Child Protection and National 
Stalker and Domestic Violence Reduction initiatives authorized under 
the new appropriation. Since the NCHIP program was designed as a multi-
year effort, 1996 applications will be less comprehensive than 
applications in 1995. Applicants are encouraged to use portions of last 
year's application when appropriate, or to reference the application by 
topic and page number.
    This program announcement describes procedures for awards which 
will be made under the NCHIP program with FY 1996 funds. Awards may be 
for up to 12 months. States will have the flexibility to begin 
activities under the award as early as September 1, 1996 and as late as 
the summer of 1997. Activities must be completed by June 1, 1998.
    Updated guidelines governing use of Byrne Formula funds pursuant to 
the 5% set-aside established under section 509 of the Omnibus Crime 
Control and Safe Streets Act of 1968, as amended, were issued on 
February 23, 1995 by the Bureau of Justice Assistance (BJA), in 
consultation with BJS. The Byrne Guidelines should be considered 
together with this program announcement in developing a State's program 
to meet the goals of the Brady Act and the Child Protection Act.

DATES: Eligible states must submit applications on or before July 29, 
1996.

ADDRESSES: Applications should be sent to Application Coordinator, the 
Bureau of Justice Statistics, 633 Indiana Avenue, N.W., 11th Floor, 
Washington, D.C. 20531.

FOR FURTHER INFORMATION CONTACT: Carol G. Kaplan, Chief, Criminal 
History Improvement Programs, (202) 307-0759. The BJS fax number is 
(202) 307-5846.

SUPPLEMENTARY INFORMATION:

The National Criminal History Improvement Program

Program Goals

    The goal of the NCHIP grant program is to improve the nation's 
public safety by:
    <bullet> Facilitating the accurate and timely identification of 
persons who are ineligible to purchase a firearm;
    <bullet> Ensuring that persons with responsibility for child care, 
elder care, or care of the disabled do not have disqualifying criminal 
records;
    <bullet> Improving access to protection orders and records of 
people wanted for stalking and domestic violence; and
    <bullet> Enhancing the quality, completeness and accessibility of 
the nation's criminal history record systems.
    More specifically, NCHIP is designed to assist States:
    <bullet> To meet timetables for criminal history record 
completeness and participation in the Federal Bureau of Investigations 
(FBI) Interstate Identification Index (III) established for each State 
by the Attorney General;
    <bullet> To improve the level of criminal history record 
automation, accuracy, completeness, and flagging;
    <bullet> To expand and enhance participation in the FBI's III and 
the National Instant Criminal Background Check System (NICS);
    <bullet> To develop and implement procedures for accessing records 
of persons other than felons who are ineligible to purchase firearms;
    <bullet> To identify (through interface with the National Incident-
Based Reporting System [NIBRS] where necessary) records of crimes 
involving use of a handgun and/or abuse of children, elderly, or 
disabled persons;
    <bullet> To identify, classify, collect, and maintain (through 
interface with the National Crime Information Center (NCIC) and the III 
where necessary) protection orders, warrants, arrests, and convictions 
of persons violating protection orders intended to protect victims of 
stalking and domestic violence; and
    <bullet> To ensure that States develop the capability to monitor 
and assess State progress in meeting legislative and programmatic 
goals.
    To ensure that all NCHIP-funded efforts support the development of 
the national criminal record system, the program will be closely 
coordinated with the FBI, BJA, and the Bureau of Alcohol, Tobacco and 
Firearms (BATF).
    Funding under the NCHIP program is available to both those States 
which are subject to the 5-day waiting period (Brady States) and those 
States which are operating under an alternative system pursuant to 
approval of BATF (Brady Alternative States).

Legislative Background

    Section 106(b) of the Brady Act, provides that:

    The Attorney General, through the Bureau of Justice Statistics, 
shall, subject to appropriations and with preference to States that 
as of the date of enactment of this Act have the lowest percent 
currency of case dispositions in computerized criminal history 
files, make a grant to each State to be used (A) for the creation of 
a computerized criminal history record system or improvement of an 
existing system; (B) to improve accessibility to the national 
instant criminal background system; and (C) upon establishment of 
the national system, to assist the State in the transmittal of 
criminal records to the national system.

    The provisions of 18 U.S.C. 922 (g) and (n), as amended by the 
Violent Crime Control Act, prohibit the sale of firearms to an 
individual who--
    (1) Is under indictment for, or has been convicted in any court, of 
a crime punishable by imprisonment for a term exceeding one year;
    (2) Is a fugitive from justice;
    (3) Is an unlawful user of, or addicted to, any controlled 
substance;
    (4) Has been adjudicated as a mental defective or been committed to 
a mental institution;
    (5) Is an alien who is illegally or unlawfully in the United 
States;
    (6) Was discharged from the Armed Forces under dishonorable 
conditions;
    (7) Has renounced his United States citizenship; or

[[Page 26213]]

    (8) Is subject to a court order restraining them from harassing, 
stalking, or threatening an intimate partner or child.
    The latter category was added as part of the Violent Crime Control 
Act.
    The Brady Act, enacted in November 1993 and effective in February 
1994, requires that licensed firearm dealers request a presale check on 
all potential handgun purchasers by the chief law enforcement officer 
in the purchaser's residence community to determine, based on available 
records, if the individual is legally prohibited from purchase of the 
firearm under the provisions of 18 U.S.C. 922 or State law. The sale 
may not be completed for 5 days unless the dealer receives an approval 
before that time. The 5 day waiting period requirement terminates by 
1998, at which time presale inquiries for all firearms will be made 
only to the National Instant Criminal Background Check System (NICS). 
Section 103 of the Brady Act provides that NICS will supply information 
on ``whether receipt of a firearm * * * would violate (18 U.S.C. 922) 
or State law.'' As noted above, section 106 (b) of the Brady Act 
establishes a grant program to assist States in upgrading criminal 
record systems and in improving access to, and, interface with, the 
NICS system.
    In addition, section 106 (a) of the Brady Act amended section 509 
(d) of the Omnibus Act to specifically provide that funds from the 5% 
set-aside under the Byrne Formula grant program may be spent for ``the 
improvement of State record systems and the sharing * * * of records * 
* * for the purposes of implementing * * * (the Brady Act).''
    The Child Protection Act, as amended by the Violent Crime Control 
Act, requires that records of abuse against children be transmitted to 
the FBI's national record system. The Child Protection Act also 
encourages States to adopt legislation requiring background checks on 
individuals prior to assuming responsibility for care of children, the 
elderly, or the disabled. Section 4 of the Act establishes a grant 
program to assist States in upgrading records to meet the requirements 
of the Act. Under the definition set forth in section 5 (3) of the Act, 
``child abuse crimes'' include crimes under any law of the State and 
are not limited to felonies.
    Both the Brady and Child Protection Acts required the Attorney 
General to survey the status of State criminal history records and 
develop timetables for States to achieve complete and automated 
records. The survey was conducted during March 1994, and Governors were 
advised of timetables by the Attorney General in letters of May and 
June 1994. The letters indicated that compliance with timetable goals 
assumed availability of grant funds under each Act.
    The National Stalker and Domestic Violence Reduction program 
(Stalker Reduction), section 40602 of the Violence Against Women Act 
(VAWA) Pub. L. No. 103-322, 108 Stat. 1902-1955 (1994), codified as 
amended at 42 U.S.C. 14031 which was included in the Violent Crime 
Control Act, authorized a program to assist States in entering data on 
stalking and domestic violence into local, State, and national data-
bases. The Act emphasizes the importance of ensuring that data on 
convictions for these crimes are included in databases being developed 
with Federal funds.
    Section 40606 of VAWA authorized technical assistance and training 
in furtherance of the purposes of the Stalker Reduction program. This 
section also allows for the evaluation of programs that receive funds 
under this provision.
    The NCHIP program implements the requirements of the programs 
established in the Brady Act, Child Protection Act, and the Stalker 
Reduction provision of VAWA.

Appropriation

    Section 106 (b) of the Brady Act authorized $200 million for the 
grant program; the Child Protection Act authorized $20 million; Section 
40603 of the Violent Crime Control Act authorized a total of $6 million 
over three years for the Stalker Reduction program included in VAWA.
    An appropriation of $100 million was made to implement section 
106(b) of the Brady Act for FY 1995, to be available until expended. No 
appropriation was made for Child Protection or Stalker Reduction 
activities in FY 1995.
    An appropriation of $25 million was made in FY 1996 to continue 
implementation of section 106(b) of the Brady Act and to implement 
section 4 (b) of the Child Protection Act. In addition, an 
appropriation of $1.5 million was made in FY 1996 for Stalker 
Reduction. In light of the overlap between Brady, Child Protection, and 
Stalker Reduction goals, these appropriations are combined under NCHIP.

Program Strategy

    The 1995 NCHIP program covered criminal history records 
improvements. The 1996 program includes criminal history records 
improvements and expands to incorporate serious misdemeanors against 
children, the elderly, and the disabled, and improving access to 
domestic violence protection orders.
    The 1996 NCHIP program also permits funds to be used to assist 
States in providing rapid, inexpensive, reliable background checks on 
individuals who wish to work with sensitive populations. This will 
include assisting States in identifying people who commit felony and 
serious misdemeanor offenses against children, the elderly, and/or the 
disabled. It also includes supporting background checks, and improving 
access to domestic violence protection orders.
    Consistent with section 40602, the Stalker Reduction program, BJS 
is allowing funds to be used to help State and local governments 
improve the process for classifying and entering data regarding 
stalking and domestic violence into local, State, and national crime 
information databases.

Application and Award Process

Eligibility Requirements

    Only one application will be accepted from each State. The 
application must be submitted by the agency previously designated by 
the Governor or by a successor agency designated by the Governor in 
writing to BJS. A State may, however, choose to submit its application 
as part of a multi-state consortium or other entity. In such case, the 
application should include a statement of commitment from each State 
and be signed by an individual designated by the Governor of each 
participating State. The application should also indicate specific 
responsibilities, and include a separate budget, for each State. States 
may receive successive awards over time, assuming availability of 
funds.
    A grant will be made to each State with funds from the 1996 
appropriation. States other than ``priority States'' are eligible to 
receive funds for criminal records improvement, Child Protection, and 
Stalker Reduction activities. Priority States, which received three-
year awards in FY 1995 for criminal records improvements, should apply 
for Child Protection and Stalker Reduction activities only.
    States may submit an application even though funds remain 
unexpended under the 1995 award. Applications must contain a start date 
and end date which fall between September 1, 1996 and June 1, 1998. FY 
1996 projects may overlap with FY 1995 projects or the projects may run 
consecutively.

Program Narrative

    In addition to the requirements set forth in Appendix A, the NCHIP

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application should include the following four parts:

Part I. Background

    This section should include a short update of current efforts 
relating to criminal history record improvement funded under the BJS 
NCHIP, Advanced State Award Program (ASAP), and Criminal History Record 
Improvements (CHRI) programs, and the BJA Byrne 5% set-aside or with 
State funds over the past year. The discussion should specify the 
amount of funds received under the BJS and Byrne programs and the funds 
remaining at the time of application. The section should also briefly 
describe accomplishments with these funds and the relationship to 
proposed FY 1996 NCHIP activities.

Part II. Identification of Needs

    This part should discuss any recent evaluative efforts undertaken 
to identify the key areas of weakness in the State's criminal record 
system. Applications should include a short discussion of the State's 
ability to identify ineligible firearm purchasers, persons ineligible 
to hold positions involving children, the elderly, or the disabled, and 
data on protection orders and people wanted, arrested, or convicted of 
stalking and/or domestic violence. Among other things, this section may 
include areas that were either eligible for funds last year, but did 
not receive funding, or that were not eligible for funds because of the 
wording of the FY 1995 appropriation. Proposals described in your 1995 
NCHIP application may be used or cited.

Part III. NCHIP Effort

    This section should describe the activities to be undertaken with 
NCHIP funds over the 12 month period. Specifically, each application 
should indicate the activities proceeding, how these activities relate 
to efforts funded under the 1995 award, and the results that will be 
achieved from 1996 funding.
    Part III of the application should also describe any efforts to be 
supported to monitor State compliance with legislative or programmatic 
goals through ongoing audits or other means such as statistical 
analysis, comparison between Computerized Criminal History (CCH) 
records and NIBRS or Uniform Crime Reporting (UCR) data. Studies 
relating to handgun use or sales approval, if proposed, should be 
described in this section.
    In furtherance of the Child Protection Act and the Stalker 
Reduction program, up to $6.5 million of the funds appropriated in FY 
1996 for Brady, Child Protection, and Stalker Reduction may go towards 
the following Child Protection and Stalker Reduction activities:
    <bullet> Capturing domestic violence and/or stalking protection 
orders;
    <bullet> Flagging of child abuse records and crimes against 
children, the elderly and the disabled, convictions for domestic 
violence and/or stalking, and domestic violence protection orders;
    <bullet> Incorporating serious misdemeanor offenses against 
children, the elderly and the disabled into existing criminal history 
records;
    <bullet> Offsetting the cost to volunteers for background checks, 
including development and implementation of technological and 
procedural advances;
    <bullet> Improving processes for entering data regarding stalking 
and domestic violence into local, State, and national crime information 
data bases.
    Section 4(b) of the Child Protection Act requires preference to be 
given to States that have in computerized criminal history files the 
lowest percentages of charges and dispositions of identifiable child 
abuse cases as of December 20, 1993. In accordance with this section of 
the Child Protection Act, the five ``priority States'' with the lowest 
percentages of charges and dispositions in their computerized criminal 
history files will be awarded a total of $1 million to be used for the 
Child Protection and Stalker Reduction activities listed above.
    Section 40602(b) of the Violent Crime Control Act states that in 
order to be eligible to receive a grant under the Stalker Reduction 
program, a State shall certify that it has or intends to establish a 
program that enters into the National Crime Information Center the 
following records:
    <bullet> Warrants for the arrest of persons violating protection 
orders intended to protect victims from stalking or domestic violence;
    <bullet> Arrests or convictions of persons violating protection or 
domestic violence orders; and
    <bullet> Protection orders for the protection of persons from 
stalking or domestic violence.
    The Bureau of Justice Statistics will coordinate the Stalker 
Reduction portion of NCHIP with the Violence Against Women Office 
(VAWO) at the Department of Justice.
    Because funds are limited for FY 1996, not every State which 
requests funds for Child Protection and/or Stalker Reduction activities 
may receive funds for these purposes.
    In light of the importance of complete and nationally accessible 
criminal records for the NICS instant check, Child Protection 
background checks, and to protect society against stalkers and domestic 
violence offenders, BJS, in reviewing applications requesting funds for 
Child Protection and Stalker Reduction tasks, will consider the extent 
to which the State has progressed in developing its State criminal 
records system and taken steps to achieve participation in the national 
system.
    In order to permit assessment of State progress in meeting grant 
goals, Part III of all applications should set forth measurable 
benchmarks or goals for each proposed activity.

Part IV. Coordination Between NCHIP and the Byrne 5% Set-Aside Program

    Funds under the Byrne Formula 5% set-aside program are available to 
support the improvement of record systems and to meet the goals of the 
Brady and Child Protection Acts.
    The Bureau of Justice Statistics and the Bureau of Justice 
Assistance have jointly agreed that close and continuing coordination 
between the NCHIP and Byrne 5% set-aside program is critical to meeting 
the goals of the Brady Act, and the National Child Protection Act. Such 
coordinated efforts are also necessary to ensure the development of an 
effective interstate criminal history record system to meet the needs 
of law enforcement, the criminal justice community and the increasing 
number of non-criminal justice users of criminal history record 
information. To achieve this goal, BJS and BJA prepared Guidelines 
governing use of the Byrne 5% set-aside funds. The Guidelines were 
issued February 23, 1995, to State Administrative Agencies that receive 
and distribute Byrne formula grant funds.
    BJS expects that program plans for projects to be funded under 
NCHIP and the Byrne 5% set-aside will be coordinated by the State 
agencies responsible for these programs in order to avoid overlap and 
maximize funding effectiveness. Where costs of a proposed activity 
exceed NCHIP available funds or are unallowable under NCHIP, the State 
might, for example, use Byrne funds to fill remaining needs. This joint 
effort, we believe, will maximize the effectiveness of both of these 
programs.

Award Period

    The application may be for up to 12 months. States will have the 
flexibility to begin activities under the award as early as September 
1, 1996 and as late as the summer of 1997. Activities must be completed 
by June 1, 1998. The budget should provide details for expenses in 
required categories and by individual task (see Appendix A, Application 
content). The application

[[Page 26215]]

should identify those agencies to receive direct funding and indicate 
the fiscal arrangements to accomplish fund transfer.

Application Submission and Due Dates

    Applications may be submitted at any time after publication of this 
announcement. Applications must be received by July 29, 1996, to be 
eligible for FY 1996 funding.
    States that submitted applications with multiple year budgets for 
FY 1995 NCHIP funds and received funding for the first year (extended 
to two years on February 8, 1996), may re-submit the parts of their 
proposals which did not receive funds in 1995.

Allocation of Funds

    All fifty States, including the District of Columbia, Puerto Rico, 
American Samoa, and Guam, received NCHIP FY 1995 awards. Certain III 
States received ASAP FY 1995 awards to assist in the identification of 
persons other than felons who are prohibited from purchasing firearms. 
Funds may be available in future years to implement those activities.
    Awards under this program announcement may be made from the Brady, 
Child Protection, and Stalker Reduction appropriations, and from 
residual FY 1995 funds. The 1996 appropriation is 26.5 percent of the 
FY 1995 amount. Up to $6.5 million will go for Child Protection and 
Stalker Reduction activities.

Review Criteria

    States should understand that full funding may not be possible for 
all proposed activities. Allocation of funds will be based on the 
amount requested and the following factors:
    (1) The extent to which the proposed activities will enable the 
State to meet the timetables established for the State by the Attorney 
General;
    (2) The extent to which improvements in the State system, by virtue 
of record numbers, levels of technical development, or operating 
procedures, will have a major impact on availability of records 
throughout the national system;
    (3) The proposed use or enhancement of innovative procedures which 
may be of value to other jurisdictions;
    (4) The technical feasibility of the proposal and the extent to 
which the proposal appears reasonable in light of the State's current 
level of system development and statutory framework;
    (5) Amount awarded under FY 1995 NCHIP program, including whether 
the State received funds as a priority State;
    (6) Prior activity of the State with funds under the NCHIP, ASAP, 
Byrne, and CHRI programs;
    (7) State commitment to the national record system as evidenced by 
membership in III, and participation in the FBI's National Fingerprint 
File (NFF), Felon Identification in Firearms Sales (FIFS) programs, 
etc., and the current status of development of its CCH;
    (8) Reasonableness of the budget;
    (9) Evidence of State progress in meeting record improvement and 
background check goals as measured in terms of audits, and data 
collection relating to presale firearm checks and background checks on 
persons seeking positions involving children, the aged and the 
disabled;
    (10) Appropriate focus on criminal history data improvement 
regarding protection orders and crimes against children, the elderly, 
and the disabled;
    (11) Documentation of a program or intention to establish a system 
to enter protection orders, and warrants, arrests, and convictions of 
people violating protection orders intended to protect victims from 
stalking or domestic violence (for States applying for Stalker 
Reduction activities);
    (12) Nature of the proposed expenditures;
    (13) The extent to which the plan reflects constructive interface 
between relevant components of the State organization and/or multi-
state systems; and
    (14) The reasonableness of the relationship between the proposed 
activities and the current status of the State system, in terms of 
technical development, legislation, current fiscal demands, and future 
operating costs.
    The program does not require either ``hard'' (cash) or ``soft'' 
(in-kind) match. Indications of State support, however, may be 
interpreted as expressions of commitment by the State to the program.
    All applicants must agree to participate in evaluations sponsored 
by the federal government. Applicants must also agree to provide data 
relating to Brady Act activity to the Firearm Inquiry STatistics (FIST) 
program in the format designated by the FIST program.

Allowable Costs

    Allowable expenses are detailed below. All expenses are allowable 
only to the extent that they directly relate to programs described in 
the application's program narrative.
    (1) Participation in III: This is a key goal, and costs should be 
related to achieving full participation. Covered costs include, but are 
not limited to, costs associated with automation of the database (see 
limitations in (4) below), synchronization of records between State and 
FBI, and development of necessary software and hardware enabling 
electronic access on an intrastate or interstate basis.
    (2) Database enhancement: Improving the quality, completeness and 
accuracy of criminal history records is a key goal of the NCHIP effort. 
Allowable costs include the costs associated with implementing improved 
record capture procedures, establishing more effective accuracy 
controls, and ensuring that records of all criminal events that start 
with an arrest or indictment are included in the database. In addition 
to felony records, limited funds may be used to capture data on serious 
misdemeanors, and to ensure that data on persons wanted, arrested, and 
convicted of stalking and/or domestic abuse are included in the 
database. Use of funds for capture of data on misdemeanors and persons 
convicted of stalking will only be approved where the state has, or is 
actively undertaking efforts to upgrade, the basic elements of the 
criminal history record system.
    (3) Improved disposition capture: Automated interface between the 
criminal history repository and the courts, prosecutors, and/or 
corrections agencies is encouraged. Funds provided to courts or 
prosecutors for these purposes are allowable only to the extent that 
the function to be supported is related to the capture of disposition 
or other data relating to the offender record (for example, full costs 
associated with establishment of court MIS systems are not allowable 
under the NCHIP program).
    (4) Record automation: These are allowable costs only with respect 
to records where the subject has been arrested, indicted, convicted, or 
released from confinement within 5 years of the date of automation. As 
appropriate, allowable costs also include costs associated with system 
design in States with non-automated systems or in States proposing to 
enhance system operation to include access to non-CCH databases.
    (5) Flagging of records: Upgrading the accessibility of records, 
through flagging, for presale and preemployment checks is an important 
activity. Allowable costs include costs of flagging, or algorithms used 
for flagging, felony records and records of persons with convictions 
for crimes involving children, the elderly, and/or the disabled, and 
persons convicted of crimes involving domestic violence and/or 
stalking. Costs may include the cost of technical record flagging as 
well as the costs associated with

[[Page 26216]]

identification of records to be flagged (see (7) below regarding 
interface with NIBRS).
    (6) AFIS/livescan: Automated Fingerprint Identification System 
(AFIS)/livescan equipment for local law enforcement agencies is 
allowable to improve the level of arrest and disposition reporting, but 
only where--
    (1) The State repository system is automated, participating or 
looking toward participation in III, and has in place the technical 
capability to accept AFIS transmissions, and
    (2) Sufficient traffic can be demonstrated to justify the cost, 
possibly through the use of regional systems.
    AFIS/livescan in squad cars is not allowable since field inquiries 
are not a factor in checks under either the Brady Act or the Child 
Protection Act. Additionally, since data are not generally input to the 
system by the field unit, AFIS in the squad car would not support 
record improvement or completeness. AFIS/livescan for use in courts is 
allowable to support record completeness. The same conditions regarding 
repository capability and levels of traffic are also applicable to 
costs in this category.
    Costs associated with AFIS/livescan communication from the 
repository to the FBI national system (IAFIS) are allowable but only 
where the State can demonstrate adequate levels of record completeness 
(both arrest and disposition) and current membership in III.
    States should understand that Byrne 5% set-aside funds are 
available for AFIS/livescan, and that, accordingly, use of NCHIP funds 
for AFIS or livescan will only be allowable when justified as 
appropriate given the overall status of the State system, its 
participation in the national system and its planned use of Byrne 5% 
set-aside funds. This is particularly relevant with respect to State 
proposals to use NCHIP funds to cover costs of local livescan 
equipment.
    (7) Interface with NIBRS: Funds may be used to interface with any 
State data system which is compatible with NIBRS for purposes of 
identifying persons convicted of crimes against children, the elderly, 
or the disabled, involving domestic violence and/or stalking, and/or 
identification of records involving firearm crimes for operational or 
research purposes. NCHIP funds are not available, however, to develop 
the NIBRS database.
    (8) Research, evaluation, monitoring, and audits: Costs associated 
with research or evaluation efforts are allowable to the extent that 
they are directly associated with a project approved in the 
application. Costs associated with monitoring State compliance with 
legislative or programmatic goals, through ongoing or periodic audits 
or other procedures, are allowable and encouraged. The purchase of 
equipment such as modems and the necessary communications and data 
software for storing and transmitting evaluative data between States 
and to BJS or other designated federal agencies is an allowable 
expense.
    (9) Conversion of juvenile records to the adult system: The 
Attorney General has recently amended Federal Regulations to allow the 
FBI to accept juvenile records if submitted by the State or local 
arresting agency. Expenditures to interface juvenile and adult records 
are allowable if consistent with relevant State law and undertaken to 
further the goals of the NCHIP program.
    (10) Missing dispositions backlog reduction: These costs are 
allowable to improve the level of disposition reporting but only where 
limited to records with arrests within the past 5 years. States must 
also propose a strategy to prevent future backlogs from developing.
    (11) Equipment upgrades: Upgrade costs are allowable where related 
to improving availability of data and where appropriate given the level 
of data completeness, participation in III, etc. Replacement costs will 
be considered but States are encouraged to contribute some portion of 
the total costs.
    (12) Training, participation in seminars and meetings: Limited 
funds may be used to cover costs of training and participation in 
State, regional, or national seminars or conferences (including travel, 
where necessary).
    (13) Expenditures related to presale handgun background checks: 
Funds are allowable to cover costs incurred by a governmental agency 
for equipment or development of capability required to conduct presale 
background checks. This ``governmental agency'' limitation may be 
waived in a very limited number of cases where the State has 
implemented a functioning background check system and can demonstrate 
that the vast preponderance of inquiries are made by a limited number 
of dealers, that technical and procedural safeguards have been 
established to protect the privacy of potential purchasers, and that 
the equipment to be provided to dealers would be of use for operation 
under the permanent system. Waivers will only be considered in States 
which are participants in III and which have achieved high levels of 
automation and record completeness. NCHIP funds may not be used to 
cover costs of conducting presale background checks.
    (14) Reducing cost of background checks: States may use funds to 
develop and implement technologies that lower costs of conducting 
background checks. These funds may also be used to pay all or part of 
the cost to the State of conducting background checks on persons who 
are employed by or volunteer with a public, not-for-profit, or other 
voluntary organization to reduce the amount of fees charged for such 
background checks.
    The Bureau of Justice Statistics is conducting parallel efforts to 
develop standard definitions of domestic violence and child abuse. 
States proposing to use funds for flagging or to interface with NIBRS 
to identify convictions for domestic violence and/or stalking, domestic 
violence protection orders, or crimes against children must coordinate 
their efforts with BJS.

Appendix A--Application and Administrative Requirements

Application Content

    All applicants must submit:
    * Standard Form 424, Application for Federal Assistance
    * Standard Form 424A, Budget Information
    * OJP Form 4000/3 (Rev. 1-93), Program Narrative and Assurances
    * OJP Form 4061/6 Certifications
    * OJP Form 7120/1 (Rev. 1-93), Accounting System and Financial 
Capability Questionnaire (to be submitted by applicants who have not 
previously received Federal funds).
    Applicants are requested to submit an original and two copies of 
the application and certifications to the following address: 
Application Coordinator, Bureau of Justice Statistics, 633 Indiana 
Avenue, NW, Washington, DC 20531, Phone: (202) 616-3500.
    Standard Form 424 (SF-424). The SF-424, a one page sheet with 18 
items, serves as a cover sheet for the entire application. This form is 
required for every application for Federal assistance. No application 
can be accepted without a completed, signed original SF-424. Directions 
to complete each item are included on the back of the form.
    Standard Form 424A (SF-424A). All applications must include SF-
424A, Budget Information for all years of project activity. Applicants 
should ensure that all appropriate columns and rows balance. Directions 
to complete this form are found on page 3 of SF-424A.
    Detailed budget. Applicants must provide a detailed justification 
for all

[[Page 26217]]

costs including the basis for computation of these costs. For example, 
the detailed budget would include the salaries of staff involved in the 
project and the portion of those salaries to be paid from the award; 
fringe benefits paid to each staff person; travel costs related to the 
project; equipment to be purchased with the award funds; and supplies 
required to complete the project.
    Budget narrative. The budget narrative closely follows the content 
of the detailed budget. The narrative should relate the items budgeted 
to specific tasks and allowable cost categories and should provide a 
justification and explanation for the budgeted items including the 
criteria and data used to arrive at the estimates for each budget 
category. Please note applications that include noncompetitive 
contracts for the provision of specific services must contain a sole 
source justification for any procurement in excess of $100,000.
    The budget narrative should indicate amounts to be made available 
to agencies other than the grant recipient (for example, the agency 
with responsibility for CCH, the courts, local agencies.)
    Applicants for grants must submit a budget narrative on separate 
sheets. The budget narrative should detail by budget category for 
Federal and non-Federal (in-kind and cash) share. The purpose of the 
budget narrative is to relate items budgeted to project activities and 
to provide justification and explanation for budget items, including 
criteria and data used to arrive at the estimates for each budget 
category. The following information is provided to assist the applicant 
in developing the budget narrative.
    a. Personnel Category. List each position by title (and name of 
employee if available), show annual salary rate and percentage of time 
to be devoted to the project by the employee. Compensation paid for 
employees engaged in Federally-assisted activities must be consistent 
with that paid for similar work in other activities of the applicant.
    b. Fringe Benefits Category. Indicate each type of benefit included 
and explain how the total cost allowable for employees assigned to the 
project is computed.
    c. Travel Category. Itemize travel expenses of project personnel by 
purpose (e.g., faculty to training site, field interviews, advisory 
group meetings, etc.) and show basis or computation (e.g., ``Five trips 
for `x' purpose at $80 average cost--$50 transportation and two days 
per diem at $15'' or ``Six people to 30 day meeting at $70 
transportation and $45 subsistence.''). In training projects where 
travel and subsistence for trainees is included, this should be 
separately listed indicating the number of trainees and the unit costs 
involved.
    (1) Identify the tentative location of all training sessions, 
meetings, and other travel.
    (2) Applicants should consult such references as the Official 
Airline Guide and the Hotel and Motel Redbook in projecting travel 
costs to obtain competitive rates.
    d. Equipment. List each type of equipment to be purchased or rented 
with unit or monthly costs.
    e. Supplies. List items within this category by major type (office 
supplies, training materials, research forms, postage) and show basis 
for computation. Provide unit or monthly estimates.
    f. Contractual Category. State the selection basis for any contract 
or subcontract or prospective contract or subcontract (including 
construction services and equipment).
    For individuals to be reimbursed for personal services on a fee 
basis, list by name or type of consultant or service the proposed fee 
(by day, week, or hour) and the amounts of time to be devoted to such 
services.
    For construction contracts and organization (including professional 
associations and education institutions performing professional 
services), indicate the type of service to be performed and the 
estimated contract cost data.
    g. Construction Category. Describe construction or renovation which 
will be accomplished using grant funds and the method used to calculate 
cost.
    h. Other Category. Include under ``other'' such items as rent, 
reproduction, telephone, and janitorial or security services. List 
items by major type with basis of computation shown. (Provide square 
footage and cost per square foot for rent--provide local and long 
distance telephone charges separately.)
    i. Indirect Charges Category. The Agency may accept an indirect 
cost rate previously approved for an applicant by a Federal agency. 
Applicants must enclose a copy of the approved rate agreement with the 
grant application.
    j. Program Income. If applicable, provide a detailed estimate of 
the amount of program income to be generated during the grant period 
and its proposed application (to reduce the cost of the project or to 
increase the scope of the project). Also, describe the source of 
program income, listing the rental rates to be obtained, sale prices of 
publications supported by grant funds, and registration fees charged 
for particular sessions. If scholarships (covering, for example, 
registration fees) are awarded by the organization to certain 
conference attendees, the application should identify the percentage of 
all attendees that are projected as ``scholarship'' cases and the 
precise criteria for their selection.
    Program narrative. All applications must include a program 
narrative which fully describes the expected design and implementation 
of the proposed program. OJP Form 4000/3 (Rev. 1-93) provides 
additional detailed instructions for preparing the program narrative.
    The narrative should include a time line of activities indicating, 
for each proposed activity, the projected duration of the activity, 
expected completion date, and any products expected.
    The application should include a description of the roles and 
responsibilities of key organizational and/or functional components 
involved in project activities; and a list of key personnel responsible 
for managing and implementing the major elements of the program.
    Assurances. OJP Form 4000/3 (Rev 1-93) must be included in the 
application submission. If submitting this form separate from the SF-
424, the applicant must sign and date the form to certify compliance 
with the Federal statutes, regulations, and requirements as cited.
    Certification Regarding Lobbying; Debarment, Suspension, and Other 
Responsibility Matters; and Drug-Free Workplace. Applicants should 
refer to the regulations cited in OJP Form, 4061/6 to determine the 
certification to which they are required to attest. A copy of OJP Form 
4061/6 can be obtained from the BJS Application Coordinator. Applicants 
should also review the instructions for certification included in the 
regulations before completing this form. Signature of this form 
provides for compliance with certification requirements under 28 C.F.R. 
part 69, ``New Restrictions on Lobbying,'' and 28 CFR part 67, 
``Government-wide Debarment and Suspension (Nonprocurement) and 
Government-wide Requirements for Drug-Free Workplace (Grants).'' The 
certifications shall be treated as a material representation of fact 
upon which reliance will be placed when the U.S. Department of Justice 
determines to award the covered transaction, grant, or cooperative 
agreement.

[[Page 26218]]

Financial and Administrative Requirements

    Discretionary grants are governed by the provisions of OMB 
Circulars applicable to financial assistance. The circulars, with 
additional information and guidance, are contained in the ``Financial 
and Administrative Guide for Grants,'' Office of Justice Programs, 
Guideline Manual, M7100, available from the Office of Justice Programs. 
This guideline manual, provided upon request, is intended to assist 
grantees in the administration of funds and includes information on 
allowable costs, methods of payment, Federal rights of access to 
records, audit requirements, accounting systems, and financial records.
    Complete and accurate information is required relative to the 
application, expenditure of funds, and program performance. The 
consequences of failure to comply with program guidelines and 
requirements will be determined at the discretion of the Department.

Civil Rights Obligations

    All applicants for Federal financial assistance must sign Certified 
Assurances that they are in compliance with the Federal laws and 
regulations which prohibit discrimination in any program or activity 
that receives such Federal funds. Section 809(c), Omnibus Crime Control 
& Safe Streets Act of 1968, provides that:
    No person in any State shall on the ground of race, color, 
religion, national origin, or sex be excluded from participation in, be 
denied the benefits of, or be subjected to discrimination under, or 
denied employment in connection with any program or activity funded in 
whole or in part with funds made available under this title.
    Section 504 of the Rehabilitation Act of 1973, and Title II of the 
Americans With Disabilities Act prohibit discrimination on the basis of 
disability. The applicant agency must discuss how it will ensure 
nondiscriminatory practices as they relate to:
    (1) Delivery of services or benefits--to ensure that individuals 
will not be denied access to services or benefits under the program or 
activity on the basis of race, color, religion, national origin, 
gender, age, or disability;
    (2) Employment practices--to ensure that its personnel in the 
program or activity are selected for employment without regard to race, 
color, religion, national origin, gender, age, or disability; and
    (3) Program participation--to ensure members of any planning, 
steering or advisory board, which is an integral part of the program or 
activity, are not excluded from participation on the basis of race, 
color, religion, national origin, gender, age or disability; and to 
encourage the selection of such members who are reflective of the 
diversity in the community to be served.

Audit Requirement

    In October 1984, Congress passed the Single Audit Act of 1984. On 
April 12, 1985, the Office of Management and Budget issued Circular A-
128, ``Audits of State and Local Governments'' which establishes 
regulations to implement the Act. OMB Circular A-128, ``Audits of State 
and Local Governments,'' outlines the requirements for organizational 
audits which apply to BJS grantees.

Disclosure of Federal Participation

    Section 8136 of the Department of Defense Appropriations Act 
(Stevens Amendment), enacted in October 1988, requires that, ``when 
issuing statements, press releases for proposals, bid solicitations, 
and other documents describing projects or programs funded in whole or 
in part with Federal money, all grantees receiving Federal funds, 
including but not limited to State and local governments, shall clearly 
state (1) the percentage of the total cost of the program or project 
which will be financed with Federal money, and (2) the dollar amount of 
Federal funds for the project or program.''

Intergovernmental Review of Federal Programs

    Federal Executive Order 12372, ``Intergovernmental Review of 
Federal Programs,'' allows States to establish a process for reviewing 
Federal programs in the State, to choose which programs they wish to 
review, to conduct such reviews, and to make their views known to the 
funding Federal agency through a State ``single point of contact.''
    If the State has established a ``single point of contact,'' and if 
the State has selected this program to be included in its review 
process, the applicant must send a copy of its letter or application to 
the State ``single point of contact'' at the same time that it is 
submitted to BJS. The letter or application submitted to BJS must 
indicate that this has been done. The State must complete its review 
within 60 days. The review period will begin on the date that the 
letter or application is officially received by BJS. If BJS does not 
receive comments from the State's ``single point of contact'' by the 
end of the review period, this will be interpreted as a ``no comment'' 
response.
    If the State has not established a ``single point of contact,'' or 
if it has not selected the BJS statistics development or criminal 
history improvement programs in its review process, this must be stated 
in the letter or application.
Jan M. Chaiken,
Director, Bureau of Justice Statistics.
[FR Doc. 96-13091 Filed 5-23-96; 8:45 am]
BILLING CODE 4410-18-P