SECTION 1. SHORT TITLE.

    This Act may be cited as the ``NICS Reporting Improvement Act''.

SEC. 2. PENALTIES FOR STATES THAT DO NOT MAKE DATA ELECTRONICALLY 
              AVAILABLE TO THE NATIONAL INSTANT CRIMINAL BACKGROUND 
              CHECK.

    Section 102(b) of the NICS Improvement Amendments Act of 2007 (18 
U.S.C. 922 note) is amended to read as follows:
    ``(b) Implementation Plan.--
            ``(1) In general.--Not later than 1 year after the date of 
        enactment of this subsection, the Attorney General, in 
        coordination with the States, shall establish for each State or 
        Indian tribal government, a plan to ensure maximum coordination 
        and automation of the reporting of records or making of records 
        available to the National Instant Criminal Background Check 
        System, during a 4-year period specified in the plan.
            ``(2) Benchmark requirements.--Each plan required under 
        paragraph (1) shall include annual benchmarks, including 
        qualitative goals and quantitative measures, to enable the 
        Attorney General to assess implementation of the plan.
            ``(3) Penalties for non-compliance.--
                    ``(A) In general.--During the 4-year period covered 
                by the plan required under paragraph (1), the Attorney 
                General shall withhold--
                            ``(i) 10 percent of the amount that would 
                        otherwise be allocated to a State under section 
                        505 of title I of the Omnibus Crime Control and 
                        Safe Streets Act of 1968 (42 U.S.C. 3755) if 
                        the State does not meet the benchmark 
                        established pursuant to paragraph (2) for the 
                        first year in the 4-year period;
                            ``(ii) 11 percent of the amount that would 
                        otherwise be allocated to a State under section 
                        505 of title I of the Omnibus Crime Control and 
                        Safe Streets Act of 1968 (42 U.S.C. 3755) if 
                        the State does not meet the benchmark 
                        established pursuant to paragraph (2) for the 
                        second year in the 4-year period;
                            ``(iii) 13 percent of the amount that would 
                        otherwise be allocated to a State under section 
                        505 of title I the Omnibus Crime Control and 
                        Safe Streets Act of 1968 (42 U.S.C. 3755) if 
                        the State does not meet the benchmark 
                        established pursuant to paragraph (2) for the 
                        third year in the 4-year period; and
                            ``(iv) 15 percent of the amount that would 
                        otherwise be allocated to a State under section 
                        505 of title I of the Omnibus Crime Control and 
                        Safe Streets Act of 1968 (42 U.S.C. 3755) if 
                        the State does not meet the benchmark 
                        established pursuant to paragraph (2) for the 
                        fourth year in the 4-year period.
                    ``(B) Failure to establish a plan.--A State with 
                respect to which a plan is not established under 
                paragraph (1) shall be treated as having not met any 
                benchmark established pursuant to paragraph (2).
            ``(4) Annual doj report.--Not later than 1 year after the 
        date of enactment of this subsection, and each year thereafter, 
        the Attorney General shall publish a report on the website of 
        the Department of Justice on whether each State is in 
        compliance with the benchmarks established pursuant to 
        paragraph (2).''.

SEC. 3. GRANTS INCENTIVES TO STATES FOR IMPROVEMENT OF COORDINATION AND 
              AUTOMATION OF NICS RECORD REPORTING.

    (a) In General.--The NICS Improvement Amendments Act of 2007 (18 
U.S.C. 922 note) is amended--
            (1) by striking section 103 and inserting the following:

``SEC. 103. GRANTS TO STATES FOR IMPROVEMENT OF COORDINATION AND 
              AUTOMATION OF NICS RECORD REPORTING.

    ``(a) Authorization.--From amounts made available to carry out this 
section, the Attorney General shall make grants to States, Indian 
tribal governments, and State court systems, in a manner consistent 
with the National Criminal History Improvement Program and consistent 
with State plans for integration, automation, and accessibility of 
criminal history records, for use by the State, or units of local 
government of the State, Indian tribal government, or State court 
system to improve the automation and transmittal of any records that 
identify persons who are prohibited from possessing or receiving a 
firearm under section 922(g) of title 18, United States Code, in 
accordance with section 102 and the National Criminal History 
Improvement Program.
    ``(b) Use of Grant Amounts.--Grants awarded to States, Indian 
tribal governments, or State court systems under this section may only 
be used to--
            ``(1) carry out, as necessary, assessments of the 
        capabilities of the courts of the State or Indian tribal 
        government for the automation and transmission of arrest and 
        conviction records, court orders including those for domestic 
        violence, and mental health adjudications or commitments to 
        Federal and State record repositories;
            ``(2) implement policies, systems, and procedures for the 
        automation and transmission of arrest and conviction records, 
        court orders including those for domestic violence, and mental 
        health adjudications or commitments to Federal and State record 
        repositories;
            ``(3) create electronic systems that provide accurate and 
        up-to-date information which is directly related to checks 
        under the National Instant Criminal Background Check System, 
        including court disposition and corrections records;
            ``(4) assist States or Indian tribal governments in 
        establishing or enhancing their own capacities to perform 
        background checks using the National Instant Criminal 
        Background Check System; and
            ``(5) develop and maintain the relief from disabilities 
        program in accordance with section 105.
    ``(c) Eligibility.--To be eligible for a grant under this section, 
a State, Indian tribal government, or State court system shall certify, 
to the satisfaction of the Attorney General, that the State, Indian 
tribal government, or State court system is not prohibited by State law 
or court order from submitting mental health records to the National 
Instant Criminal Background Check System.
    ``(d) Federal Share.--
            ``(1) Studies, assessments, non-material activities.--The 
        Federal share of a study, assessment, creation of a task force, 
        or other non-material activity, as determined by the Attorney 
        General, carried out with a grant under this section shall be 
        not more than 25 percent.
            ``(2) Infrastructure or system development.--The Federal 
        share of an activity involving infrastructure or system 
        development, including labor-related costs, for the purpose of 
        improving State or Indian tribal government record reporting to 
        the National Instant Criminal Background Check System carried 
        out with a grant under this section may amount to 100 percent 
        of the cost of the activity.
    ``(e) Grants to Indian Tribes.--Up to 5 percent of the grant 
funding available under this section may be reserved for Indian tribal 
governments for use by Indian tribal judicial systems.
    ``(f) Preferential Consideration.--In awarding grants under this 
section, the Attorney General shall give preferential consideration to 
a State or Indian tribal government that has--
            ``(1) successfully met the benchmarks established under 
        section 102(b)(2); and
            ``(2) implemented a relief from disabilities program in 
        accordance with section 105.
    ``(g) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $100,000,000 for each of fiscal 
years 2016 through 2020.'';
            (2) by striking title III; and
            (3) in section 401(b), by inserting after ``of this Act'' 
        the following: ``and 18 months after the date of enactment of 
        the NICS Reporting Improvement Act''.
    (b) Technical and Conforming Amendment.--The table of sections in 
section 1(b) of the NICS Improvement Amendments Act of 2007 (18 U.S.C. 
922 note) is amended--
            (1) by striking the item relating to section 103 and 
        inserting the following:

``Sec. 103. Grants to States for improvement of coordination and 
                            automation of NICS record reporting.'';
            (2) by striking the item relating to title III; and
            (3) by striking the item relating to section 301.

SEC. 4. EFFECTIVE DATE.

    The amendments made by this Act shall take effect 180 days after 
the date of enactment of this Act.
Output: NICS Reporting Improvement Act This bill amends the NICS Improvement Amendments Act of 2007 to revise the requirement for states to provide to the Department of Justice (DOJ), as an eligibility condition to receive a grant under the NICS Act Record Improvement Program (NARIP) and a waiver of the grant match requirement under the National Criminal History Improvement Program, estimates of firearms-related disqualifying records.  It directs DOJ to establish a four-year state implementation plan, including benchmarks, to maximize the automation and submission of mental health and criminal history records to the National Instant Criminal Background Check System (NICS). DOJ must reduce a state's allocation of funds under the Edward Byrne Memorial Justice Assistance Grant Program for failing to comply with benchmarks. The bill reauthorizes through FY2020 the NARIP grant program and revises it, among other things, to: add state court systems to the list of eligible grant recipients; require a grant applicant to certify, as an eligibility condition, that no state law or court order prohibits the submission of mental health records to NICS; and create a preference for grant applicants that meet the benchmarks included in the state implementation plan.  The bill repeals the grant program for state and tribal court systems to improve the automation and submission of mental health and criminal history records.