and suppressing money laundering and related fi-
nancial crimes; and
‘‘(3) provide for the general administration of
the program.
‘‘(c) ADMINISTRATION.—The Secretary shall appoint
an administrator to carry out the program.
‘‘(d) CONTRACTING.—The Secretary may employ any
necessary staff and may enter into contracts or agree-
ments with Federal and State law enforcement agencies
to delegate authority for the execution of grants and for
such other activities necessary to carry out this chapter.
‘‘§ 5352. Program authorization
‘‘(a) GRANT ELIGIBILITY.—To be eligible to receive
an initial grant or a renewal grant under this part, a State
or local law enforcement agency or prosecutor shall meet
each of the following criteria:
‘‘(1) APPLICATION.—The State or local law en-
forcement agency or prosecutor shall submit an ap-
plication to the Secretary in accordance with section
5353(a)(2).
‘‘(2) ACCOUNTABILITY.—The State or local law
enforcement agency or prosecutor shall—
‘‘(A) establish a system to measure and re-
port outcomes—
‘‘(i) consistent with common indica-
tors and evaluation protocols established
by the Secretary, in consultation with the
Attorney General; and
‘‘(ii) approved by the Secretary;
‘‘(B) conduct biennial surveys (or incor-
porate local surveys in existence at the time of
the evaluation) to measure the progress and ef-
fectiveness of the coalition; and
‘‘(C) provide assurances that the entity
conducting an evaluation under this paragraph,
or from which the applicant receives informa-
tion, has experience in gathering data related to
money laundering and related financial crimes.
‘‘(b) GRANT AMOUNTS.—
‘‘(1) GRANTS.—
‘‘(A) IN
GENERAL.—Subject to subpara-
graph (D), for a fiscal year, the Secretary of
the Treasury, in consultation with the Attorney
General, may grant to an eligible applicant
under this section for that fiscal year, an
amount determined by the Secretary of the
Treasury, in consultation with the Attorney
General, to be appropriate.
‘‘(B) SUSPENSION
OF
GRANTS.—If such
grant recipient fails to continue to meet the cri-
teria specified in subsection (a), the Secretary
may suspend the grant, after providing written
notice to the grant recipient and an opportunity
to appeal.
‘‘(C) RENEWAL GRANTS.—Subject to sub-
paragraph (D), the Secretary may award a re-
newal grant to a grant recipient under this sub-
paragraph for each fiscal year following the fis-
cal year for which an initial grant is awarded.
‘‘(D) LIMITATION.—The amount of a
grant award under this paragraph may not ex-
ceed $750,000 for a fiscal year.
‘‘(2) GRANT AWARDS.—
‘‘(A) IN GENERAL.—Except as provided in
subparagraph (B), the Secretary may, with re-
spect to a community, make a grant to 1 eligi-
ble applicant that represents that community.
‘‘(B) EXCEPTION.—The Secretary may
make a grant to more than 1 eligible applicant
that represent a community if—
‘‘(i) the eligible coalitions demonstrate
that the coalitions are collaborating with
one another; and
‘‘(ii) each of the coalitions has inde-
pendently met the requirements set forth
in subsection (a).
‘‘(c) CONDITION RELATING TO PROCEEDS OF ASSET
FORFEITURES.—
‘‘(1) IN GENERAL.—No grant may be made or
renewed under this part to any State or local law en-
forcement agency or prosecutor unless the agency or
prosecutor agrees to donate to the Secretary of the
Treasury for the program established under this
part any amount received by such agency or pros-
ecutor (after the grant is made) pursuant to any
criminal or civil forfeiture under chapter 46 of title
18, United States Code, or any similar provision of
State law.
‘‘(2) SCOPE OF APPLICATION.—Paragraph (1)
shall not apply to any amount received by a State
or local law enforcement agency or prosecutor pursu-
ant to any criminal or civil forfeiture referred to in
such paragraph in excess of the aggregate amount of
grants received by such agency or prosecutor under
this part.
‘‘(d) ROLLING GRANT APPLICATION PERIODS.—In
establishing the program under this part, the Secretary
shall take such action as may be necessary to ensure, to
the extent practicable, that—
‘‘(1) applications for grants under this part
may be filed at any time during a fiscal year; and
‘‘(2) some portion of the funds appropriated
under this part for any such fiscal year will remain
available for grant applications filed later in the fis-
cal year.
‘‘§ 5353. Information collection and dissemination
with respect to grant recipients
‘‘(a) APPLICANT AND GRANTEE INFORMATION.—
‘‘(1) APPLICATION
PROCESS.—The Secretary
shall issue requests for proposal, as necessary, re-
garding, with respect to the grants awarded under
section 5352, the application process, grant renewal,
and suspension or withholding of renewal grants.
Each application under this paragraph shall be in
writing and shall be subject to review by the Sec-
retary.
‘‘(2) REPORTING.—The Secretary shall, to the
maximum extent practicable and in a manner con-
sistent with applicable law, minimize reporting re-
quirements by a grant recipient and expedite any ap-
plication for a renewal grant made under this part.
‘‘(b) ACTIVITIES
OF SECRETARY.—The Secretary
may—
‘‘(1) evaluate the utility of specific initiatives
relating to the purposes of the program;
‘‘(2) conduct an evaluation of the program; and
‘‘(3) disseminate information described in this
subsection to—
‘‘(A) eligible State local law enforcement
agencies or prosecutors; and
‘‘(B) the general public.
‘‘§ 5354. Grants for fighting money laundering and re-
lated financial crimes
‘‘(a) IN GENERAL.— After the end of the 1-year pe-
riod beginning on the date the 1st national strategy for
combating money laundering and related financial crimes
is submitted to the Congress in accordance with section
5341, and subject to subsection (b), the Secretary may
review, select, and award grants for State or local law en-
forcement agencies and prosecutors to provide funding
necessary to investigate and prosecute money laundering
and related financial crimes in high-risk money laundering
and related financial crime areas.
‘‘(b) SPECIAL
PREFERENCE.—Special preference
shall be given to applications submitted to the Secretary
which demonstrate collaborative efforts of 2 or more State
and local law enforcement agencies or prosecutors who
have a history of Federal, State, and local cooperative law
enforcement and prosecutorial efforts in responding to
such criminal activity.
‘‘§ 5355. Authorization of appropriations
‘‘There are authorized to be appropriated the follow-
ing amounts for the following fiscal years to carry out the
purposes of this subchapter:
‘‘For fiscal year:
The amount authorized is:
1999 ...............................................
$5,000,000.
2000 ...............................................
$7,500,000.
2001 ...............................................
$10,000,000.
2002 ...............................................
$12,500,000.
2003 ...............................................
$15,000,000.’’.
(b) CLERICAL AMENDMENT.—The table of sub-
chapters for chapter 53 of title 31, United States Code,
is amended by adding at the end the following item:
‘‘SUBCHAPTER III—MONEY LAUNDERING AND RELATED
FINANCIAL CRIMES
‘‘5340. Definitions.
‘‘PART 1—NATIONAL MONEY LAUNDERING AND RELATED FINANCIAL
CRIMES STRATEGY
‘‘5341. National money laundering and related financial crimes strategy.
‘‘5342. High-risk money laundering and related financial crime areas.
‘‘PART 2—FINANCIAL CRIME-FREE COMMUNITIES SUPPORT PROGRAM
‘‘5351. Establishment of financial crime-free communities support program.
‘‘5352. Program authorization.
‘‘5353. Information collection and dissemination with respect to grant recipi-
ents.
‘‘5354. Grants for fighting money laundering and related financial crimes.
‘‘5355. Authorization of appropriations.’’.
(c) REPORT AND RECOMMENDATIONS.—Before the
end of the 5-year period beginning on the date the 1st
national strategy for combating money laundering and re-
lated financial crimes is submitted to the Congress pursu-
ant to section 5341(a)(1) of title 31, United States Code
(as added by section 2(a) of this Act), the Secretary of
the Treasury, in consultation with the Attorney General,
shall submit a report to the Committee on Banking and
Financial Services and the Committee on the Judiciary of
the House of Representatives and the Committee on
Banking, Housing, and Urban Affairs and the Committee
on the Judiciary of the Senate on the effectiveness of and
the need for the designation of areas, under section 5342
of title 31, United States Code (as added by such section
2(a)), as high-risk money laundering and related financial
crime areas, together with recommendations for such leg-
islation as the Secretary and the Attorney General may
determine to be appropriate to carry out the purposes of
such section.
Passed the House of Representatives October 5,
1998.
Attest:
Clerk.