‘‘(4) An assurance that, for each fiscal year cov-
ered by an application, the applicant shall maintain 
and report such data, records, and information (pro-
grammatic and financial) as the Attorney General 
may reasonably require. 
‘‘(5) A certification, made in a form acceptable 
to the Attorney General and executed by the chief ex-
ecutive officer of the applicant (or by another officer 
of the applicant, if qualified under regulations pro-
mulgated by the Attorney General), that— 
‘‘(A) the programs to be funded by the grant 
meet all the requirements of this subpart; 
‘‘(B) all the information contained in the 
application is correct; 
‘‘(C) there has been appropriate coordina-
tion with affected agencies; and 
‘‘(D) the applicant will comply with all 
provisions of this subpart and all other applica-
ble Federal laws. 
‘‘SEC. 503. REVIEW OF APPLICATIONS. 
‘‘The Attorney General shall not finally disapprove 
any application (or any amendment to that application) 
submitted under this subpart without first affording the ap-
plicant reasonable notice of any deficiencies in the applica-
tion and opportunity for correction and reconsideration.
‘‘SEC. 504. RULES. 
‘‘The Attorney General shall issue rules to carry out 
this subpart. The first such rules shall be issued not later 
than one year after the date on which amounts are first 
made available to carry out this subpart. 
‘‘SEC. 505. FORMULA. 
‘‘(a) ALLOCATION AMONG STATES.— 
‘‘(1) IN GENERAL.—Of the total amount appro-
priated for this subpart, the Attorney General shall, 
except as provided in paragraph (2), allocate— 
‘‘(A) 50 percent of such remaining amount 
to each State in amounts that bear the same 
ratio of— 
‘‘(i) the total population of a State 
to— 
‘‘(ii) the total population of the United 
States; and 
‘‘(B) 50 percent of such remaining amount 
to each State in amounts that bear the same 
ratio of— 
‘‘(i) the average annual number of part 
1 violent crimes of the Uniform Crime Re-
ports of the Federal Bureau of Investigation 
reported by such State for the three most re-
cent years reported by such State to—
‘‘(ii) the average annual number of 
such crimes reported by all States for such 
years. 
‘‘(2) MINIMUM
ALLOCATION.—If carrying out 
paragraph (1) would result in any State receiving an 
allocation less than 0.25 percent of the total amount 
(in this paragraph referred to as a ‘minimum alloca-
tion State’), then paragraph (1), as so carried out, 
shall not apply, and the Attorney General shall in-
stead— 
‘‘(A) allocate 0.25 percent of the total 
amount to each State; and 
‘‘(B) using the amount remaining after car-
rying out subparagraph (A), carry out para-
graph (1) in a manner that excludes each min-
imum allocation State, including the population 
of and the crimes reported by such State. 
‘‘(b) ALLOCATION BETWEEN STATES AND UNITS OF 
LOCAL GOVERNMENT.—Of the amounts allocated under 
subsection (a)— 
‘‘(1) 60 percent shall be for direct grants to 
States, to be allocated under subsection (c); and 
‘‘(2) 40 percent shall be for grants to be allocated 
under subsection (d). 
‘‘(c) ALLOCATION FOR STATE GOVERNMENTS.—
‘‘(1) IN
GENERAL.—Of the amounts allocated 
under subsection (b)(1), each State may retain for the 
purposes described in section 501 an amount that 
bears the same ratio of— 
‘‘(A) total expenditures on criminal justice 
by the State government in the most recently 
completed fiscal year to— 
‘‘(B) the total expenditure on criminal jus-
tice by the State government and units of local 
government within the State in such year. 
‘‘(2) REMAINING AMOUNTS.—Except as provided 
in subsection (e)(1), any amounts remaining after the 
allocation required by paragraph (1) shall be made 
available to units of local government by the State for 
the purposes described in section 501. 
‘‘(d) ALLOCATIONS TO LOCAL GOVERNMENTS.— 
‘‘(1) IN
GENERAL.—Of the amounts allocated 
under subsection (b)(2), grants for the purposes de-
scribed in section 501 shall be made directly to units 
of local government within each State in accordance 
with this subsection, subject to subsection (e). 
‘‘(2) ALLOCATION.— 
‘‘(A) IN GENERAL.—From the amounts re-
ferred to in paragraph (1) with respect to a 
State (in this subsection referred to as the ‘local
amount’), the Attorney General shall allocate to 
each unit of local government an amount which 
bears the same ratio to such share as the average 
annual number of part 1 violent crimes reported 
by such unit to the Federal Bureau of Investiga-
tion for the 3 most recent calendar years for 
which such data is available bears to the number 
of part 1 violent crimes reported by all units of 
local government in the State in which the unit 
is located to the Federal Bureau of Investigation 
for such years. 
‘‘(B) 
TRANSITIONAL
RULE.—Notwith-
standing subparagraph (A), for fiscal years 
2006, 2007, and 2008, the Attorney General shall 
allocate the local amount to units of local gov-
ernment in the same manner that, under the 
Local Government Law Enforcement Block 
Grants program in effect immediately before the 
date of the enactment of this section, the reserved 
amount was allocated among reporting and non-
reporting units of local government. 
‘‘(3) ANNEXED UNITS.—If a unit of local govern-
ment in the State has been annexed since the date of 
the collection of the data used by the Attorney General 
in making allocations pursuant to this section, the
Attorney General shall pay the amount that would 
have been allocated to such unit of local government 
to the unit of local government that annexed it. 
‘‘(4) 
RESOLUTION
OF
DISPARATE
ALLOCA-
TIONS.—(A) Notwithstanding any other provision of 
this subpart, if— 
‘‘(i) the Attorney General certifies that a 
unit of local government bears more than 50 per-
cent of the costs of prosecution or incarceration 
that arise with respect to part 1 violent crimes 
reported by a specified geographically con-
stituent unit of local government; and 
‘‘(ii) but for this paragraph, the amount of 
funds allocated under this section to— 
‘‘(I) any one such specified geographi-
cally constituent unit of local government 
exceeds 150 percent of the amount allocated 
to the unit of local government certified 
pursuant to clause (i); or 
‘‘(II) more than one such specified geo-
graphically constituent unit of local govern-
ment exceeds 400 percent of the amount al-
located to the unit of local government cer-
tified pursuant to clause (i),
then in order to qualify for payment under this sub-
section, the unit of local government certified pursu-
ant to clause (i), together with any such specified geo-
graphically constituent units of local government de-
scribed in clause (ii), shall submit to the Attorney 
General a joint application for the aggregate of funds 
allocated to such units of local government. Such ap-
plication shall specify the amount of such funds that 
are to be distributed to each of the units of local gov-
ernment and the purposes for which such funds are 
to be used. The units of local government involved 
may establish a joint local advisory board for the 
purposes of carrying out this paragraph. 
‘‘(B) In this paragraph, the term ‘geographically 
constituent unit of local government’ means a unit of 
local government that has jurisdiction over areas lo-
cated within the boundaries of an area over which a 
unit of local government certified pursuant to clause 
(i) has jurisdiction. 
‘‘(e) LIMITATION
ON ALLOCATIONS
TO UNITS
OF 
LOCAL GOVERNMENT.— 
‘‘(1) MAXIMUM ALLOCATION.—No unit of local 
government shall receive a total allocation under this 
section that exceeds such unit’s total expenditures on 
criminal justice services for the most recently com-
pleted fiscal year for which data are available. Any 
amount in excess of such total expenditures shall be 
allocated proportionally among units of local govern-
ment whose allocations under this section do not ex-
ceed their total expenditures on such services. 
‘‘(2) ALLOCATIONS UNDER $10,000.—If the alloca-
tion under this section to a unit of local government 
is less than $10,000 for any fiscal year, the direct 
grant to the State under subsection (c) shall be in-
creased by the amount of such allocation, to be dis-
tributed (for the purposes described in section 501) 
among State police departments that provide crimi-
nal justice services to units of local government and 
units of local government whose allocation under this 
section is less than $10,000. 
‘‘(3) NON-REPORTING
UNITS.—No allocation 
under this section shall be made to a unit of local 
government that has not reported at least three years 
of data on part 1 violent crimes of the Uniform 
Crime Reports to the Federal Bureau of Investigation 
within the immediately preceding 10 years. 
‘‘(f) FUNDS NOT USED BY THE STATE.—If the Attor-
ney General determines, on the basis of information avail-
able during any grant period, that any allocation (or por-
tion thereof) under this section to a State for such grant
period will not be required, or that a State will be unable 
to qualify or receive funds under this subpart, or that a 
State chooses not to participate in the program established 
under this subpart, then such State’s allocation (or portion 
thereof) shall be awarded by the Attorney General to units 
of local government, or combinations thereof, within such 
State, giving priority to those jurisdictions with the highest 
annual number of part 1 violent crimes of the Uniform 
Crime Reports reported by the unit of local government to 
the Federal Bureau of Investigation for the three most re-
cent calendar years for which such data are available. 
‘‘(g) SPECIAL RULES FOR PUERTO RICO.— 
‘‘(1) ALL
FUNDS
SET
ASIDE
FOR
COMMON-
WEALTH GOVERNMENT.—Notwithstanding any other 
provision of this subpart, the amounts allocated under 
subsection (a) to Puerto Rico, 100 percent shall be for 
direct grants to the Commonwealth government of 
Puerto Rico. 
‘‘(2) NO LOCAL ALLOCATIONS.—Subsections (c) 
and (d) shall not apply to Puerto Rico. 
‘‘(h) UNITS OF LOCAL GOVERNMENT IN LOUISIANA.— 
In carrying out this section with respect to the State of Lou-
isiana, the term ‘unit of local government’ means a district 
attorney or a parish sheriff.
‘‘SEC. 506. RESERVED FUNDS. 
‘‘Of the total amount made available to carry out this 
subpart for a fiscal year, the Attorney General shall reserve 
not more than— 
‘‘(1) $20,000,000, for use by the National Insti-
tute of Justice in assisting units of local government 
to identify, select, develop, modernize, and purchase 
new technologies for use by law enforcement, of which 
$1,000,000 shall be for use by the Bureau of Justice 
Statistics to collect data necessary for carrying out 
this subpart; and 
‘‘(2) $20,000,000, to be granted by the Attorney 
General to States and units of local government to de-
velop and implement antiterrorism training pro-
grams. 
‘‘SEC. 507. INTEREST-BEARING TRUST FUNDS. 
‘‘(a) TRUST FUND REQUIRED.—A State or unit of 
local government shall establish a trust fund in which to 
deposit amounts received under this subpart. 
‘‘(b) EXPENDITURES.— 
‘‘(1) IN GENERAL.—Each amount received under 
this subpart (including interest on such amount) shall 
be expended before the date on which the grant period 
expires. 
‘‘(2) REPAYMENT.—A State or unit of local gov-
ernment that fails to expend an entire amount (in-