§60505 Audit and accountability of grantees

Summary

Requires the Justice Department’s Inspector General to run yearly audits of people and groups that get certain DOJ grants, starting in fiscal year 2019. The IG will pick how many grantees to audit each year to stop waste, fraud, and abuse. If an audit finds an unresolved problem (an unauthorized or unallowed use of grant money not fixed within 12 months), the grantee cannot get covered grant money in the next fiscal year. If they are paid anyway while ineligible, the Attorney General must put that amount into the Treasury’s General Fund and try to get the money back from the grantee. The Attorney General must favor applicants with no unresolved findings in the past 2 years. Definitions and other rules: covered grant program = grants under sections 60511, 60521, or 60531; covered grantee = a grant recipient; nonprofit = an organization described in 501(c)(3) and tax‑exempt under 501(a); unresolved audit finding = audit problem not closed within 12 months. Nonprofits that use offshore accounts to avoid the tax in section 511(a) cannot get funds. Nonprofit grantees must list officer, director, and trustee pay and how it was set. Grant money cannot be used to lobby about getting grants. If a grantee illegally lobbies, they must repay the grant and are barred from that grant program for at least 5 years.