justice expenditures for a unit of local government is in-
sufficient or inaccurate, the State shall—
‘‘(1) investigate the methodology used by the
unit to determine the accuracy of the submitted
data; and
‘‘(2) if necessary, use the best available com-
parable data regarding the number of violent crimes
or juvenile justice expenditures for the relevant years
for the unit of local government.
‘‘(d) LOCAL GOVERNMENT WITH ALLOCATIONS LESS
THAN $10,000.—If under this section a unit of local gov-
ernment is allocated less than $10,000 for a payment pe-
riod, the amount allotted shall be expended by the State
on services to units of local government whose allotment
is less than such amount in a manner consistent with this
part.
‘‘(e) DIRECT GRANTS
TO SPECIALLY QUALIFIED
UNITS.—
‘‘(1) IN GENERAL.—If a State does not qualify
or apply for funds reserved for allocation under sub-
section (a) by the application deadline established by
the Attorney General, the Attorney General shall re-
serve not more than 75 percent of the allocation that
the State would have received under subsection (a)
for such fiscal year to provide grants to specially
qualified units which meet the requirements for
funding under section 1802.
‘‘(2) AWARD BASIS.—In addition to the quali-
fication requirements for direct grants for specially
qualified units the Attorney General may use the av-
erage amount allocated by the States to units of
local government as a basis for awarding grants
under this section.
‘‘SEC. 1804. GUIDELINES.
‘‘(a) IN GENERAL.—The Attorney General shall issue
guidelines establishing procedures under which a State or
specially qualified unit of local government that receives
funds under section 1803 is required to provide notice to
the Attorney General regarding the proposed use of funds
made available under this part.
‘‘(b) ADVISORY BOARD.—The guidelines referred to
in subsection (a) shall include a requirement that such eli-
gible State or unit of local government establish and con-
vene an advisory board to review the proposed uses of such
funds. The board shall include representation from, if
appropriate—
‘‘(1) the State or local police department;
‘‘(2) the local sheriff’s department;
‘‘(3) the State or local prosecutor’s office;
‘‘(4) the State or local juvenile court;
‘‘(5) the State or local probation office;
‘‘(6) the State or local educational agency;
‘‘(7) a State or local social service agency;
‘‘(8) a nonprofit, nongovernmental victim advo-
cacy organization; and
‘‘(9) a nonprofit, religious, or community group.
‘‘SEC. 1805. PAYMENT REQUIREMENTS.
‘‘(a) TIMING OF PAYMENTS.—The Attorney General
shall pay, to each State or specially qualified unit of local
government that receives funds under section 1803 that
has submitted an application under this part, the amount
awarded to such State or unit not later than the later of
the following two dates:
‘‘(1) 180 days after the date that the amount
is available.
‘‘(2) The first day of the payment period if the
State has provided the Attorney General with the as-
surances required by subsection (c).
‘‘(b) REPAYMENT OF UNEXPENDED AMOUNTS.—
‘‘(1) REPAYMENT REQUIRED.—From amounts
awarded under this part, a State or specially quali-
fied unit shall repay to the Attorney General, before
the expiration of the 36-month period beginning on
the date of the award, any amount that is not ex-
pended by such State or unit.
‘‘(2) EXTENSION.—The Attorney General may
adopt policies and procedures providing for a one-
time extension, by not more than 12 months, of the
period referred to in paragraph (1).
‘‘(3) PENALTY FOR FAILURE TO REPAY.—If the
amount required to be repaid is not repaid, the At-
torney General shall reduce payment in future pay-
ment periods accordingly.
‘‘(4) DEPOSIT OF AMOUNTS REPAID.—Amounts
received by the Attorney General as repayments
under this subsection shall be deposited in a des-
ignated fund for future payments to States and spe-
cially qualified units.
‘‘(c) ADMINISTRATIVE COSTS.—A State or unit of
local government that receives funds under this part may
use not more than 5 percent of such funds to pay for ad-
ministrative costs.
‘‘(d) 
NONSUPPLANTING
REQUIREMENT.—Funds
made available under this part to States and units of local
government shall not be used to supplant State or local
funds as the case may be, but shall be used to increase
the amount of funds that would, in the absence of funds
made available under this part, be made available from
State or local sources, as the case may be.
‘‘(e) MATCHING FUNDS.—
‘‘(1) IN
GENERAL.—The Federal share of a
grant received under this part may not exceed 90
percent of the total program costs.
‘‘(2) CONSTRUCTION OF FACILITIES.—Notwith-
standing paragraph (1), with respect to the cost of
constructing juvenile detention or correctional facili-
ties, the Federal share of a grant received under this
part may not exceed 50 percent of approved cost.
‘‘SEC. 1806. UTILIZATION OF PRIVATE SECTOR.
‘‘Funds or a portion of funds allocated under this
part may be used by a State or unit of local government
that receives a grant under this part to contract with pri-
vate, nonprofit entities, or community-based organizations
to carry out the purposes specified under section 1801(b).
‘‘SEC. 1807. ADMINISTRATIVE PROVISIONS.
‘‘(a) IN GENERAL.—A State or specially qualified
unit that receives funds under this part shall—
‘‘(1) establish a trust fund in which the govern-
ment will deposit all payments received under this
part;
‘‘(2) use amounts in the trust fund (including
interest) during the period specified in section
1805(b)(1) and any extension of that period under
section 1805(b)(2);
‘‘(3) designate an official of the State or spe-
cially qualified unit to submit reports as the Attor-
ney General reasonably requires, in addition to the
annual reports required under this part; and
‘‘(4) spend the funds only for the purpose of
strengthening the juvenile justice system.
‘‘(b) TITLE I PROVISIONS.—Except as otherwise pro-
vided, the administrative provisions of part H shall apply
to this part and for purposes of this section any reference
in such provisions to title I shall be deemed to include
a reference to this part.
‘‘SEC. 1808. ASSESSMENT REPORTS.
‘‘(a) REPORTS TO ATTORNEY GENERAL.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (4), for each fiscal year for which a grant or
subgrant is awarded under this part, each State or
specially qualified unit of local government that re-
ceives such a grant shall submit to the Attorney
General a grant report, and each unit of local gov-
ernment that receives such a subgrant shall submit
to the State a subgrant report, at such time and in
such manner as the Attorney General may reason-
ably require.
‘‘(2) GRANT REPORT.—Each grant report re-
quired by paragraph (1) shall include—