‘‘(ii) after making the allotment re-
quired by clause (i), an equal share of not
less than 50 percent of the remaining re-
served amount (if any) available for allot-
ment under this paragraph.
‘‘(B) Not more than 25 percent of the re-
served amount (if any) remaining after making
the allotment required by subparagraph (A)(i)
shall be available to the Director to make
grants under section 5.
‘‘(2) Not more than 75 percent amount referred
to in subsection (a)(1) shall be available to the Di-
rector to carry out section 5 to support the arts.
‘‘(c) ALLOTMENT OF FUNDS AVAILABLE TO SUP-
PORT THE HUMANITIES.—The amount referred to in sub-
section (a)(2) shall be allotted in accordance with this sub-
section.
‘‘(1) To carry out section 6 to support the hu-
manities, each eligible State shall be allotted the
sum of—
‘‘(A) an equal share of such amount until
the shares of all the States in the aggregate
equals $10,000,000, and
‘‘(B) the remaining amount available for
allotment under this subsection—
‘‘(i) an equal share of 44 percent of
such remaining amount, and
‘‘(ii) a proportionate share of 22 per-
cent such remaining amount allotted on
the basis of population.
‘‘(2) Thirty-four percent of the amount remain-
ing after making the allotment required by para-
graph (1)(A) shall be available to the Director to
carry out section 5 to support the humanities.
‘‘SEC. 10. COMPLIANCE AND ENFORCEMENT.
‘‘(a) DETERMINATIONS
BY DIRECTOR.—Whenever
the Director, after reasonable notice and opportunity for
hearing, finds that—
‘‘(1) a recipient of financial assistance provided
under this Act is not complying substantially with
this Act or with the terms or conditions in its ap-
proved application for such assistance,
‘‘(2) a State agency is not complying substan-
tially with terms and conditions of its State plan ap-
proved under this Act, or
‘‘(3) any financial assistance received from the
Director by a group or State agency is diverted from
the purposes for which such assistance was provided,
the Director shall immediately notify the Secretary of the
Treasury and such recipient or such State agency with re-
spect to which such finding was made that no additional
funds will be made available under this Act to such recipi-
ent or such State agency until there is no longer any de-
fault or failure to comply, or until the diversion has been
corrected, or, if compliance or correction is impossible,
until such recipient or such State agency repays or ar-
ranges the repayment of the Federal funds which have
been improperly diverted or expended.
‘‘(b) REPAYMENTS MADE.—Financial assistance re-
paid under this section to the Administration shall be de-
posited in the Treasury of the United States and credited
as miscellaneous receipts.
‘‘(c) REVIEWS BY INSPECTOR GENERAL.—The In-
spector General of the Administration shall conduct appro-
priate reviews to ensure that recipients of financial assist-
ance provided under this Act comply with the applicable
rules relating to such assistance, including rules relating
to accounting and financial matters.
‘‘SEC. 11. EVALUATIONS AND REPORTS.
‘‘(a) REPORTS BY RECIPIENTS.—
‘‘(1) CONTENT.—Each recipient of financial as-
sistance provided under section 5 by the Director
shall submit to the Director—
‘‘(A) a financial report containing such in-
formation as the Director deems necessary to
ensure that such financial assistance is ex-
pended in accordance with the terms and condi-
tions under which it is provided,
‘‘(B) a report describing the project, pro-
duction, workshop carried out with such finan-
cial assistance, and
‘‘(C) if practicable, as determined by the
Director, a copy of such project, production, or
workshop.
‘‘(2) DEADLINE FOR REPORT.—Such recipient
shall comply with the requirements of paragraph (1)
not later than 90 days after the end of the period
for which such financial assistance is provided. The
Director may extend the 90-day period only if the
recipient shows good cause why such an extension
should be granted.
‘‘(3) NONCOMPLIANCE.—If such recipient sub-
stantially fails to satisfy the purposes for which such
financial assistance is provided and paragraph (1),
as determined by the Director, then the Director
may—
‘‘(A) for purposes of determining whether
to provide any subsequent financial assistance,
take into consideration the results of the post-
award evaluation conducted under this sub-
section,
‘‘(B) prohibit the recipient of such finan-
cial assistance to use the name of, or in any
way associate such project, production, or work-
shop with the Administration that provided
such financial assistance, and
‘‘(C) if such project, production, or work-
shop is published, require that the publication
contain the following statement: ‘The opinions,
findings, conclusions, and recommendations ex-
pressed herein do not reflect the views of the
Administration.’.
‘‘(b) POST-AWARD EVALUATIONS BY DIRECTOR.—
The Director shall conduct a post-award evaluation of
projects, productions, and workshops for which financial
assistance is provided under sections 5 and 6. Such eval-
uation may include an audit to determine the accuracy of
the reports required to be submitted by recipients under
subparagraphs (A) and (B) of subsection (a)(1). As a con-
dition of receiving such financial assistance, a recipient
shall comply with the requirements specified in subsection
(a) that are applicable to the project, production, or work-
shop for which such financial assistance is received.