[Federal Register Volume 59, Number 230 (Thursday, December 1, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-29577]


[[Page Unknown]]

[Federal Register: December 1, 1994]


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DEPARTMENT OF JUSTICE
Bureau of Justice Statistics
[OJP No. 1016]
Z RIN 1121-ZA03

 

National Criminal History Improvement Program (NCHIP)

November 23, 1994.
AGENCY: Department of Justice, Office of Justice Programs, Bureau of 
Justice Statistics.

ACTION: Notice of Program Plan.

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SUMMARY: The Bureau of Justice Statistics (BJS) is publishing this 
notice to announce the initiation of the National Criminal History 
Improvement Program (NCHIP) in Fiscal Year 1995. The grant program 
implements the grant provisions of the Brady Handgun Violence 
Prevention Act and the National Child Protection Act of 1993, and those 
provisions of the Omnibus Crime Control and Safe Streets Act of 1968, 
as amended, and Violent Crime Control and Law Enforcement Act of 1994 
which pertain to the establishment, maintenance, or use of criminal 
history records and criminal record systems.
    This program announcement describes procedures applicable to awards 
to be made under the NCHIP program during FY 1995. A program 
announcement applicable to funding appropriated for years after FY 1995 
will reflect comments received during the intervening time. Updated 
guidelines governing use of Byrne Formula funds pursuant to the 5% set-
aside established under Section 509 of the Omnibus Crime Control and 
Safe Streets Act of 1968, as amended, will be issued shortly by the 
Bureau of Justice Assistance (BJA), in consultation with BJS. The Byrne 
Guidelines should be considered together with this program announcement 
in developing a state's program to meet the goals of the Brady Act and 
the Child Protection Act.

DATES: Up to $25 million will be awarded to states submitting 
applications before January 31, 1995.

ADDRESSES: Applications should be sent to Application Coordinator, the 
Bureau of Justice Statistics, 633 Indiana Avenue, N.W., 11th Floor, 
Washington, DC 20531.

FOR FURTHER INFORMATION CONTACT: Carol Kaplan, Assistant Deputy 
Director, the Bureau of Justice Statistics at (202) 307-0759.

SUPPLEMENTARY INFORMATION:

Program Goals

    The goal of the NCHIP grant program is to improve the nation's 
public safety by: Facilitating the accurate and timely identification 
of persons who are ineligible to purchase a firearm; ensuring that 
persons with responsibility for child care, elder care, or care of the 
disabled do not have disqualifying criminal records; and enhancing the 
quality, completeness and accessibility of the nation's criminal 
history record systems.
    More specifically, NCHIP is designed to assist states:

--To meet timetables for criminal history record completeness and 
participation in the FBI's Interstate Identification Index (III) 
established for each state by the Attorney General,
--To improve the level of criminal history record automation, accuracy, 
completeness and flagging,
--To expand and enhance participation in the FBI's Interstate 
Identification Index (III) and the National Instant Criminal Background 
Check System (NICS),
--To develop model procedures for accessing records of persons other 
than felons (including persons subject to civil restraining orders 
arising out of domestic or child abuse) who are ineligible to purchase 
firearms,
--To identify (through interface with the National Incident Based 
Reporting System (NIBRS) where necessary) records of crimes involving 
use of a handgun and/or abuse of children, elderly or disabled persons, 
and
--To ensure that states develop the capability to monitor and assess 
state progress in meeting legislative and programmatic goals.

    To ensure that all NCHIP-funded efforts support the development of 
the national criminal record system, the program will be closely 
coordinated with the FBI, the Bureau of Justice Assistance (BJA) and 
the Bureau of Alcohol, Tobacco and Firearms (BATF).
    Funding under the NCHIP program is available to both those states 
which are subject to the 5 day waiting period (``Brady states'') and 
those states which are operating under an alternative system pursuant 
to approval of BATF (``non-Brady states'').

Legislative Background

    The NCHIP program is authorized under Section 106(b) of the Brady 
Act, which provides that:

    The Attorney General, through the Bureau of Justice Statistics, 
shall, subject to appropriations and with preference to States that 
as of the date of enactment of this Act have the lowest percent 
currency of case dispositions in computerized criminal history 
files, make a grant to each State to be used (A) for the creation of 
a computerized criminal history record system or improvement of an 
existing system; (B) to improve accessibility to the national 
instant criminal background system; and (C) upon establishment of 
the national system, to assist the State in the transmittal of 
criminal records to the national system.

    The provisions of 18 USC 922(g) and (n), as amended by the Violent 
Crime Control Act of 1994, prohibit the sale of firearms to an 
individual who--(1) is under indictment for, or has been convicted in 
any court, of a crime punishable by imprisonment for a term exceeding 
one year; (2) is a fugitive from justice; (3) is an unlawful user of, 
or addicted to, any controlled substance; (4) has been adjudicated as a 
mental defective or been committed to a mental institution; (5) is an 
alien who is illegally or unlawfully in the United States; (6) was 
discharged from the Armed Forces under dishonorable conditions; (7) has 
renounced his United States citizenship; or (8) is subject to a civil 
restraining order arising out of domestic or child abuse.
    The latter category was added as part of the Violent Crime Control 
Act of 1994.
    The Brady Handgun Violence Prevention Act, enacted in November 1993 
and effective in February 1994, requires that licensed firearm dealers 
request a presale check on all potential handgun purchasers by the 
chief law enforcement officer in the purchaser's residence community to 
determine, based on available records, if the individual is legally 
prohibited from purchase of the firearm under the provisions of 18 USC 
922 or state law. The sale may not be completed for 5 days unless the 
dealer receives an approval before that time. The 5 day waiting period 
requirement terminates by 1998, at which time presale inquiries for all 
firearms will be made only to the National Instant Criminal Background 
Check System (NICS). Section 103 of the Brady Act provides that NICS 
will supply information on ``whether receipt of a firearm * * * would 
violate (18 USC 922) or state law.'' As noted above, Section 106(b) of 
the Brady Act establishes a grant program to assist states in upgrading 
criminal record systems and in improving access to, and, interface 
with, the NICS system.
    In addition, Section 106(a) of the Brady Act amended Section 509(d) 
of the Omnibus Crime Control and Safe Streets Act to specifically 
provide that funds from the 5% set-aside under the Byrne Formula grant 
program may be spent for ``the improvement of State record systems and 
the sharing * * * of records * * * for the purposes of implementing * * 
* (the Brady Act).''
    The National Child Protection Act of 1993, as amended by the 
Violent Crime Control Act, requires that records of abuse against 
children be transmitted to the FBI's national record system. The Act 
also encourages states to adopt legislation requiring background checks 
on individuals prior to assuming responsibility for care of children, 
the elderly, or the disabled. Section 4 of the Act establishes a grant 
program to assist states in upgrading records to meet the requirements 
of the Act. Under the definition set forth in Section 5(3) of the Act, 
``child abuse crimes'' include crimes under any law of the state and 
are not limited to felonies.
    Both the Brady and Child Protection Acts required that the Attorney 
General survey the status of state criminal history records and develop 
timetables for states to achieve complete and automated records. The 
survey was conducted during March 1994, and Governors were advised of 
timetables by the Attorney General in letters of May and June 1994. The 
letters indicated that compliance with timetable goals assumed 
availability of grant funds under each Act.
    The NCHIP program implements the requirements of the grant programs 
established under both the Brady and Child Protection Acts.
    In addition to the amendments noted above, Section 40602 of the 
Violent Crime Control Act authorized a program to assist states in 
entering data on stalking and domestic violence into local, state, and 
national databases. Although funding was deferred, the Act emphasizes 
the importance of ensuring that data on convictions for these crimes 
are included in data bases being developed with Federal funds.

Appropriation

    Section 106 (b) of the Brady Act authorized $200 million for the 
grant program; the Child Protection Act authorized $20 million. An 
appropriation of $100 million was made to implement Section 106 (b) of 
the Brady Act for FY 1995, to be available until expended. Of this 
amount, $6 million is being made available to the FBI for NICS, $1 
million is available for Federal agency administration, and $5 million 
will, consistent with the legislative history, be used to provide 
technical assistance to states, program coordination, and to undertake 
a program evaluation. The remaining $88 million will be made available 
directly to the states. Of this amount, not less than $5 million will 
be allocated to implement the requirement that preference be given to 
states with the lowest levels of dispositions in automated records. In 
light of the overlap between Brady and Child Protection Act goals, 
funds from this appropriation may be used to meet related goals of the 
Child Protection Act.

Program Strategy

General

    To achieve the goals of the NCHIP program, at least one grant will 
be made to each state with funds appropriated under the Brady Act. 
Technical assistance will also be provided under BJS grant awards to 
assist states in identifying areas of weakness, auditing record status, 
long term planning, and developing and implementing technical and 
administrative programs.
    Funds under the Byrne Formula 5% set-aside program will also be 
available to support the improvement of record systems and to meet the 
goals of the Brady Act.
    The NCHIP program includes three components: Core Activities, 
Permitted Activities in Selected States (``extended core activities''), 
and Least-Advanced ``Priority'' State Activities.

Core Activities

Basic System Development

    Core activities focus on establishing and enhancing computerized 
criminal history (CCH) records and on improving access to and interface 
between such systems and the national instant criminal background check 
(NICS) system. The Brady Act does not define the term criminal history 
record. As defined in 28 CFR part 20, and used in the BJS Criminal 
History Record Improvement (CHRI) program, however, the term is defined 
as: ``information collected by criminal justice agencies on individuals 
consisting of identifiable descriptions and notations of arrests, 
detentions, indictments, information, or other formal criminal charges, 
and any dispositions arising therefrom, sentencing, correctional 
supervision, and release * * *''.
    Specifically, core activities relating to basic system development 
include efforts to improve the quality of criminal history records 
(with emphasis on automation and disposition capture), increase 
participation in the FBI's Interstate Identification Index (III), and 
upgrade the accessibility of records for presale and preemployment 
checks (primarily through record flagging). In addition to the above 
activities relating to basic system development, core activities 
include the following:

Non-Felony Records

    Consistent with the Child Protection Act which defines a ``child 
abuse crime'' within the context of ``a crime committed under any law 
of a state,'' NCHIP core activities include efforts to increase system 
access to non-felony records, particularly in areas relating to child 
or domestic abuse or crimes against the elderly or disabled.

Interface With NIBRS

    In order to permit states to identify persons with records 
involving child, elderly, or disabled abuse, NCHIP core activities 
include efforts to establish an interface between criminal history 
record systems and any state data system which is compatible with 
NIBRS.

Information on Stalking and Domestic Violence

    Consistent with Section 40602 of the Violent Crime Control Act, 
core activities include the development of procedures to ensure that 
information on convictions relating to stalking and domestic abuse are 
included in, and accessible through, the criminal history database.

Research, Evaluation, Monitoring and Audit

    In order to maximize the utility of information collected as part 
of the NCHIP program, core activities include continuing efforts to 
evaluate, audit, or monitor progress in meeting legislative or program 
goals through statistical or other related means, and specific research 
studies relating to use of handguns.
    To ensure program continuity and emphasize criminal history record 
improvement in support of the NICS, the major portion of funds to be 
expended for core activities should be retained by the agency with 
responsibility for CCH records (if that is the agency designated to 
administer the program) or transferred directly to the agency with such 
responsibility. The application should indicate clearly the level of 
funds which will be made available to this agency for this purpose. The 
application should also indicate the level of funds which will be made 
directly available to the courts where the courts are the appropriate 
source for data on dispositions or other record data.

Permitted Activities in Selected States (``Extended Core Activities'')

    In addition to funding core improvements to criminal history 
records, BJS will provide a limited amount of NCHIP funds (not to 
exceed $5 million in total) to selected states to assist in the 
identification of persons other than felons who are prohibited from 
purchasing firearms under 18 USC 922 (g) and (n), as amended. The 
purpose of this effort will be to support the long-term goal of the 
permanent system established under Section 102(b) of the Brady Act by 
enhancing the effectiveness of the NICS.
    In addition to previously identified non-computerized criminal 
history (CCH) categories, the Violent Crime Control Act amended the 
Brady Act to prohibit firearm purchase by persons subject to a civil 
restraining order arising out of domestic or child abuse. Such orders, 
although not technically criminal, are enforced by the criminal justice 
system, which depends on the availability of data on such persons for 
implementation.
    Under the NCHIP ``extended core'' program, funds can be used to 
evaluate the feasibility of accessing such records and to develop 
protocols for interfacing with non-CCH systems for purposes of 
background checks.
    BJS will identify those states which are eligible to apply for 
funds to conduct such activities based on level of CCH development, 
participation in III, extent of automation and technical development, 
current efforts to interface with other categories of prohibited 
firearm purchasers (either within the state or interstate), and 
experience under the BJS CHRI program. States determined to be eligible 
will be notified by the end of January 1995. Funds will be in addition 
to funds provided for core activities, which will be required to be the 
major focus of the state's NCHIP program.
    Selected states which wish to apply for funding under this category 
should include a separate component in their grant application 
describing such activities and proposing a budget to cover the proposed 
efforts. This request may be submitted as a supplement or amendment to 
the basic application.
    States applying for funds under this section should understand that 
the goal of these efforts is to demonstrate the feasibility of multi-
database interface for background check purposes and that the projects 
are intended to provide guidance to, and serve as models for, future 
implementation by other jurisdictions. In particular, it is envisioned 
that the programs developed with NCHIP funds will serve as models for 
these efforts and that additional states will subsequently use Byrne 5% 
set-aside funds to develop system access to non-CCH data. For this 
reason, applications for funds under this section should include a 
description of proposed efforts to evaluate the success of activities 
undertaken and to prepare materials describing the project for exchange 
with other states. States should also realize that BJS will be 
documenting these efforts and that the applicant will be expected to 
provide input as requested by BJS for these materials.
    In light of the importance of these demonstration programs to the 
overall BJS NCHIP program, BJS will provide additional technical 
assistance to the selected states to ensure that, together, the 
activities being funded will advance the development of the NICS at 
both the state and Federal level.

Least-Advanced Priority State Activities (``Priority State 
Activities'')

    Section 106(b) of the Brady Act requires that BJS give ``preference 
to States that, as of the date of enactment *** have the lowest 
currency of case dispositions in computerized criminal history files 
***.'' To implement this requirement, at least $5 million will be 
allocated to states in this category. Designated states will also be 
eligible for priority technical assistance at no cost. The 
determination of states qualifying under this special provision will be 
made after release of the 1993 Survey of State CHRI Systems. States 
will be notified by December 31, 1994. States designated under this 
category may only use NCHIP funds to support the basic system 
development components of the core funding activity.

Application and Award Process

Eligibility Requirements

Designation of Agency To Administer NCHIP Program

    To participate in NCHIP, each state must designate an agency to 
submit an application and to administer the program. The agency should 
be the agency with primary responsibility for implementing the major 
activity to be funded with NCHIP funds or a parent agency with 
programmatic oversight over, and legislative authority to transfer 
funds to, such agency. Since the NCHIP program focuses on improvement 
of criminal records and interface with the NICS, BJS anticipates that, 
in a large number of cases, the NCHIP agency will have responsibility 
for maintenance of criminal records and liaison with the FBI and/or 
other record sources including NIBRS, if existing. As noted below, 
NCHIP procedures envision that strong state coordination will exist 
between the NCHIP and Byrne 5% set-aside programs to avoid overlap and 
maximize funding effectiveness. It is not necessary that the NCHIP 
agency be the same as the agency with administrative authority over 
Byrne 5% set-aside funds. The application should indicate the basis for 
the selection of the NCHIP agency, justified in terms of the 
organizational posture of the selected agency and its role in meeting 
the goals of the Brady and Child Protection Acts.
    Only one application will be accepted from each state for any 
period of funding. It is the responsibility of the Governor to select 
the applicant agency. A state may, however, choose to submit its 
application as part of a multi-state consortium or other entity. In 
such case, the application should include a statement of commitment 
from each state and be signed by an individual designated by the 
Governor of each participating state. The application should also 
indicate specific responsibilities, and include a separate budget for, 
each state. States may receive successive awards over time, assuming 
availability of funds.

Program Narrative

    In addition to the requirements set forth in the ``Application and 
Administrative Requirements'' section of the program announcement, the 
NCHIP application should include the following four parts:

Part I. Background

    This part should include a discussion of current and previous 
efforts relating to criminal history record improvement funded under 
the BJS CHRI program, the BJA Byrne 5% set-aside or with state funds 
over the past three years. The discussion should specify the amount of 
funds received under the BJS and Byrne programs and the funds remaining 
at the time of application. The section should also describe 
accomplishments with previous funding and the relationship to proposed 
NCHIP activities. A copy of the State plan and the most current update 
on the use of Byrne 5% set-aside funds, as submitted to BJA, should be 
appended, along with a copy of any other long term state plans for 
criminal history record improvement.

Part II. Identification of Needs

    This part should discuss audit or other evaluative efforts 
undertaken to identify the key areas of weakness in the state's 
criminal record system and in its ability to identify ineligible 
firearm purchasers or persons ineligible to hold positions involving 
children, the elderly or the disabled. Specific reference should be 
made to relevant studies and to the findings of any internal or 
external independent audits which have been completed in the past five 
years.

Part III. NCHIP Effort

    This part should describe the activities to be undertaken with 
NCHIP funds over the coming 36-month period. Specifically, each 
application should indicate the core activities to be undertaken to 
improve its criminal history system, to initiate or enhance 
participation in III, to support the state's interface with the NICS, 
and to meet the timetable established by the Attorney General. The 
section should also discuss proposed efforts, if any, to identify 
particular offender types (either through interface with NIBRS or other 
means); and to ensure that criminal records pertaining to stalking or 
domestic abuse are included in criminal record data bases. Discussions 
of proposed efforts to upgrade record completeness should indicate 
whether, and how, the courts or other record providers have been 
involved in preparation of the application and how funds will be made 
available to such entities.
    Part III of the application should also describe the efforts to be 
supported to monitor state compliance with legislative or programmatic 
goals through ongoing audits or other means such as statistical 
analysis, comparison between CCH records and NIBRS or UCR data. Studies 
relating to handgun use or sales approval, if proposed, should be 
described in this section. The application should include evidence 
that, where appropriate, the state Statistical Analysis Center was 
consulted in connection with the development of such projects.
    BJS is currently supporting the Firearm Inquiry STatistical 
(``FIST'') program to develop national level data on Brady 
implementation. BJS will advise states by the end of December 1994 of 
the scope of this project. In support of the basic elements of this 
project, however, the application should describe procedures to collect 
data on the number of Brady inquiries, ``hits'' and captures (including 
the total number of queries against data bases other than the criminal 
history record). The application should also indicate procedures for 
collection of data on the number of background checks on persons 
seeking positions involving children, the elderly, or the disabled and 
the number of records with action in the past five years which are 
complete and automated. States receiving NCHIP funds will be required 
to participate in the FIST effort and to submit other information for 
evaluation programs instituted under the NCHIP program.
    Permitted activities in selected states (``extended core 
activities''): States selected to apply for ``extended core'' funds, 
may apply for additional funds to develop, and/or implement procedures 
to access information on persons other than felons/fugitives who are 
Federally prohibited from purchasing a firearm. In addition to 
describing proposed activities, interested states should justify their 
request for such funding in terms of current CCH development and 
participation in III, and describe state procedures, if any, for 
interface between the criminal record system and other relevant 
databases. (See ``allowable costs'' for covered expenses in this area.)
    In order to permit assessment of state progress in meeting grant 
goals, Part III of all applications should set forth measurable 
benchmarks or goals for each proposed activity.

Part IV. Relationship to Byrne 5% Set-Aside Program

    This Part should describe activity to be undertaken with Byrne 5% 
set-aside funds during FY 1995 and 1996. A key part of this submission 
is a description of the relationship between these activities and the 
activities to be supported under the NCHIP program. Where the state has 
previously submitted a 1995 update to BJA, a copy of the submission 
should be included in this Part to meet this requirement. 
Alternatively, a copy of the material developed for this Part, may be 
submitted to BJA as the state's 1995 update, consistent with any other 
requirements as set forth in the Byrne 5% set-aside Guidelines to be 
issued. In the latter case, the state should have this section prepared 
by the agency with responsibility for administering the Byrne funds, 
rather than the agency designated to administer the NCHIP program. The 
relationship between the Byrne 5% set-aside and the NCHIP program is 
discussed more fully below.

Coordination Between NCHIP and the Byrne 5% Set-Aside Program

    The Bureau of Justice Statistics and the Bureau of Justice 
Assistance have jointly agreed that close and continuing coordination 
between the NCHIP and Byrne 5% set-aside program is critical to meeting 
the goals of the Brady Act and the National Child Protection Act of 
1993. Such coordinated efforts are also necessary to ensure the 
development of an effective interstate criminal history record system 
to meet the needs of law enforcement, the criminal justice community 
and the increasing number of non-criminal justice users of criminal 
history record information. To achieve this goal, BJS and BJA will, 
consistent with the legislative requirements, work together to prepare 
Guidelines governing use of the Byrne 5% set-aside funds. The 
Guidelines are expected to be finalized by the end of December 1994.
    BJS expects that program plans for projects to be funded under 
NCHIP and the Byrne 5% set-aside will be coordinated by the state 
agencies responsible for these programs. Where costs of a proposed 
activity exceed NCHIP available funds or are unallowable under NCHIP, 
the state might, for example, use Byrne funds to fill remaining needs. 
This joint effort, we believe, will maximize the effectiveness of both 
of these programs.

Award Period

    The application should cover a three-year period with specific 
information provided primarily for the first year. The budget should 
provide details for first-year expenses and should contain data in 
required categories for years two and three if applicable (see 
``Application Content'' in ``Application and Administrative 
Requirements'' section). The application should identify those agencies 
to receive direct funding and indicate the fiscal arrangements to 
accomplish fund transfer.

Application Submission and Due Dates

    The goal of the NCHIP program is to ensure that all states receive 
funding support. Absent special circumstances, applications should be 
received by July 1, 1995, to be eligible for FY 1995 funding. 
Applications may be submitted at any time after publication of this 
announcement and will be reviewed as received. Based on applications 
received by January 31, 1995, up to $25 million of funds available for 
core activities will be awarded by April 15, 1995. This does not 
include additional awards which may be made from set-asides for 
``priority'' states or states undertaking ``extended core'' activities. 
Initial awards may be for partial funding for some states. Partially 
funded applications will be reconsidered for additional funding at a 
later date. Since approval of funding under the NCHIP program will be 
based on proposed activities and the overall availability of 
appropriations, states submitting applications after the January 31 
deadline will not be disadvantaged in overall level of award.
    If a state which is eligible to apply for ``priority state'' 
funding or funding for ``extended core activities'' has already 
submitted its application for core activity, the application for 
additional funds can be submitted as an amendment or a supplement to 
the original application.

Allocation of Funds

    To implement the ``preference'' requirement of the Brady Act, not 
less than $5 million will be allocated to provide supplemental funding 
for the least-advanced ``priority'' states. $5 million will be set 
aside to cover the cost of ``extended core'' activities in the states 
receiving an award to undertake such projects. $5 million will also be 
used to cover costs of technical assistance, evaluation and 
coordination. The remainder of available funds will be allocated to 
cover the cost of core activities.
    States may receive funding from the core allocation as well as 
either the fund for ``priority'' states or the fund established for 
``extended core'' activity. Including both core funding and 
supplemental awards from the set- asides, the least-advanced 
``priority'' states will receive an aggregate of at least $10 million.

Review Criteria

    States should understand that full funding may not be possible for 
all proposed activities. Allocation of funds will be based on the 
amount requested and the following factors:
    (1) The legislatively mandated ``preference to states which * * * 
have the lowest percent currency of dispositions in computerized 
criminal history files'' as of 1993;
    (2) The extent to which the proposed activities will enable the 
state to meet the timetables established for the state by the Attorney 
General;
    (3) The extent to which improvements in the state system, by virtue 
of record numbers, levels of technical development, or operating 
procedures, will have a major impact on availability of records 
throughout the national system;
    (4) The proposed use or enhancement of innovative procedures which 
may be of value to other jurisdictions;
    (5) The technical feasibility of the proposal and the extent to 
which the proposal appears reasonable in light of the state's current 
level of system development and statutory framework;
    (6) Prior activity of the state with funds under the Byrne and CHRI 
programs;
    (7) State commitment to the national record system as evidenced by 
membership in III, and participation in the FBI's National Fingerprint 
File (NFF), Felon Identification in Firearms Sales (FIFS) programs, 
etc., and the current status of development of its CCH;
    (8) Reasonableness of the budget;
    (9) Evidence of state progress in meeting record improvement and 
background check goals as measured in terms of audits, and data 
collection relating to presale firearm checks and background checks on 
persons seeking positions involving children, the aged and the 
disabled;
    (10) Nature of the proposed expenditures;
    (11) The extent to which the plan reflects constructive interface 
between relevant components of the state organization and/or multi 
state systems; and
    (12) The reasonableness of the relationship between the proposed 
activities and the current status of the state system, in terms of 
technical development, legislation, current fiscal demands, and future 
operating costs.
    The program does not require either ``hard'' (cash) or ``soft'' 
(in-kind) match. Indications of state support, however, may be 
interpreted as expressions of commitment by the state to the program.
    All applicants must agree to participate in evaluations sponsored 
by the federal government. Applicants must also agree to provide data 
relating to Brady Act activity to the Firearm Inquiry Statistics (FIST) 
program in the format designated by the FIST program.

Allowable Costs

    To the extent possible, awards will be made to cover all allowable 
costs. States receiving funds from the allocation for ``priority'' 
states, however, will be required to limit expenditures to purposes 
directly related to establishment of the basic elements of the criminal 
history record system and steps necessary to permit participation in 
III. Among the remaining states, use of funds for non-CCH purposes will 
be approved only to the extent that the state is making progress toward 
the improvement of the criminal history record system and interface 
with the III.
    Allowable expenses are detailed below. All expenses are allowable 
only to the extent that they directly relate to programs described in 
the application's program narrative.

Core Activities

    (1) Participation in the Interstate Identification Index (III): 
This is a key goal, and costs should be related to achieving full 
participation. Covered costs include, but are not limited to, costs 
associated with automation of the database (see limitations in (4) 
below), synchronization of records between state and FBI, and 
development of necessary software and hardware enabling electronic 
access on an intrastate or interstate basis.
    (2) Database enhancement: Improving the quality, completeness and 
accuracy of criminal history records is a key goal of the NCHIP effort. 
Allowable costs include the costs associated with implementing improved 
record capture procedures, establishing more effective accuracy 
controls, and ensuring that records of all criminal events that start 
with an arrest or indictment are included in the database. In addition 
to felony records, limited funds may be used to capture data on serious 
misdemeanors, and to ensure that data on persons convicted of stalking 
and/or domestic abuse are included in the database. Use of funds for 
capture of data on misdemeanors and persons convicted of stalking will 
only be approved where the state has, or is actively undertaking 
efforts to upgrade, the basic elements of the criminal history record 
system.
    (3) Improved disposition capture: Automated interface between the 
criminal history repository and the courts, prosecutors, and/or 
corrections agencies is encouraged. Funds provided to courts or 
prosecutors for these purposes are allowable only to the extent that 
the function to be supported is related to the capture of disposition 
or other data relating to the offender record (for example, full costs 
associated with establishment of court MIS systems are not allowable 
under the NCHIP program).
    (4) Record Automation: These are allowable costs only with respect 
to records where the subject has been arrested, indicted, convicted, or 
released from confinement within 5 years of the date of automation. As 
appropriate, allowable costs also include costs associated with system 
design in states with non automated systems or in states proposing to 
enhance system operation to include access to non-CCH databases.
    (5) Flagging of Records: This is an important activity. Allowable 
costs include costs of flagging, or algorithms used for flagging, 
felony records and records of persons with convictions for crimes 
involving children, the elderly and/or the disabled. Costs may include 
the cost of technical record flagging as well as the costs associated 
with identification of records to be flagged (see (7) below re: 
Interface with NIBRS).
    (6) AFIS/Livescan: Automated Fingerprint Identification System 
(AFIS)/livescan equipment for local law enforcement agencies is 
allowable to improve the level of arrest and disposition reporting, but 
only where: (1) The state repository system is automated, participating 
or looking toward participation in III, and has in place the technical 
capability to accept AFIS transmissions, and (2) sufficient traffic can 
be demonstrated to justify the cost, possibly through the use of 
regional systems.
    AFIS/livescan in squad cars is not allowable since field inquiries 
are not a factor in checks under either the Brady Act or the Child 
Protection Act. Additionally, since data are not generally input to the 
system by the field unit, AFIS in the squad car would not support 
record improvement or completeness.
    AFIS/livescan for use in courts is allowable to support record 
completeness. The same conditions regarding repository capability and 
levels of traffic are also applicable to costs in this category.
    Costs associated with AFIS/livescan communication from the 
repository to the FBI national system (IAFIS) are allowable but only 
where the state can demonstrate adequate levels of record completeness 
(both arrest and disposition) and current membership in III.
    States should understand that Byrne 5% set-aside funds are 
available for AFIS and livescan, and that, accordingly, use of NCHIP 
funds for AFIS or livescan will only be allowable when justified as 
appropriate given the overall status of the state system, its 
participation in the national system and its planned use of Byrne 5% 
set-aside funds. This is particularly relevant as respects state 
proposals to use NCHIP funds to cover costs of local livescan 
equipment.
    (7) Interface with NIBRS: Funds may be used to interface with any 
state data system which is compatible with NIBRS for purposes of 
identifying persons convicted of crimes against children, the elderly, 
or the disabled, and/or identification of records involving firearm 
crimes for operational or research purposes. NCHIP funds are not 
available, however, to develop the NIBRS database.
    (8) Research, Evaluation, Monitoring and Audits: Costs associated 
with research or evaluation efforts are allowable to the extent that 
they are directly associated with a project approved in the 
application. Costs associated with monitoring state compliance with 
legislative or programmatic goals, through ongoing or periodic audits 
or other procedures, are allowable and encouraged. The purchase of 
equipment such as modems and the necessary communications and data 
software for storing and transmitting evaluative data between states 
and to BJS or other designated federal agencies is an allowable 
expense.
    (9) Conversion of juvenile records to the adult system: The 
Attorney General has recently amended Federal Regulations to allow the 
FBI to accept juvenile records if submitted by the state or local 
arresting agency. Expenditures to interface juvenile and adult records 
are allowable if consistent with relevant state law and undertaken to 
further the goals of the NCHIP program.
    (10) Missing Dispositions Backlog Reduction: These costs are 
allowable to improve the level of disposition reporting but only where 
limited to records with arrests within the past 5 years. States must 
also propose a strategy to prevent future backlogs from developing.
    (11) Equipment Upgrades: Upgrade costs are allowable where related 
to improving availability of data and where appropriate given the level 
of data completeness, participation in III, etc. Replacement costs will 
be considered but states are encouraged to contribute some portion of 
the total costs.
    (12) Training, participation in seminars and meetings: Limited 
funds may be used to cover costs of training and participation in 
state, regional or national seminars or conferences (including travel, 
where necessary).
    (13) Expenditures related to presale handgun background checks: 
Funds are allowable to cover costs incurred by a governmental agency 
for equipment or development of capability required to conduct presale 
background checks. This ``governmental agency'' limitation may be 
waived in a very limited number of cases where the state has 
implemented a functioning background check system and can demonstrate 
that the vast preponderance of inquiries are made by a limited number 
of dealers, that technical and procedural safeguards have been 
established to protect the privacy of potential purchasers, and that 
the equipment to be provided to dealers would be of use for operation 
under the permanent system. Waivers will only be considered in states 
which are participants in III and which have achieved high levels of 
automation and record completeness. NCHIP funds may not be used to 
cover costs of conducting presale background checks.

Extended Core Expenditures

    Interface with non-CCH databases: Costs associated with developing 
access to, and interface between, databases on persons other than 
felons who are ineligible to purchase a firearm are allowed. Such costs 
include, but are not limited to, costs of investigating the existence 
and completeness of other databases, identifying problems in accessing 
and interfacing with such databases, and developing and implementing 
protocols for accessing these categories of data, and, where 
appropriate, incorporating such data into criminal history record data 
systems. Costs of documenting these projects and presenting results 
thereof are also allowable. Costs in this category are allowable only 
for those selected states that receive a grant to conduct ``extended 
core'' activities.

Application and Administrative Requirements

Application Content

    All applicants must submit:
     Standard Form 424, Application for Federal Assistance
     Standard Form 424A, Budget Information
     OJP Form 4000/3 (Rev. 1-93), Program Narrative and 
Assurances
     OJP Form 4061/6 Certifications
     OJP Form 7120/1 (Rev. 1-93), Accounting System and 
Financial Capability Questionnaire (to be submitted by applicants who 
have not previously received Federal funds).
    Copies of these forms can be obtained from the BJS Application 
Coordinator.
    Applicants are requested to submit an original and two copies of 
the application and certifications to the following address: 
Application Coordinator, Bureau of Justice Statistics, 633 Indiana 
Avenue, NW., Washington, DC 20531, Phone: (202) 616-3500.
    Standard Form 424 (SF-424). The SF-424, a one page sheet with 18 
items, serves as a cover sheet for the entire application. This form is 
required for every application for Federal assistance. No application 
can be accepted without a completed, signed original SF-424. Directions 
to complete each item are included on the back of the form.
    Standard Form 424A (SF-424A). All applications must include SF-
424A, Budget Information for all years of project activity. Applicants 
should ensure that all appropriate columns and rows balance. Directions 
to complete this form are found on page 3 of SF-424A.
    Detailed Budget. Applicants must provide a detailed justification 
for all costs during year one and for any additional project years, as 
appropriate, including the basis for computation of these costs. For 
example, the detailed budget would include the salaries of staff 
involved in the project and the portion of those salaries to be paid 
from the award; fringe benefits paid to each staff person; travel costs 
related to the project; equipment to be purchased with the award funds; 
and supplies required to complete the project.
    Budget Narrative. The budget narrative closely follows the content 
of the detailed budget. The narrative should relate the items budgeted 
to project activities and allowable cost categories and should provide 
a justification and explanation for the budgeted items including the 
criteria and data used to arrive at the estimates for each budget 
category. Please note applications that include noncompetitive 
contracts for the provision of specific services must contain a sole 
source justification for any procurement in excess of $25,000. The 
budget narrative should indicate amounts to be made available to 
agencies identified in the program strategy (for example, the agency 
with responsibility for CCH, the courts, local agencies.)
    Program Narrative. All applications must include a program 
narrative which fully describes the expected design and implementation 
of the proposed program. In developing the narrative, refer to the 
program design (permitted core and noncore activities) as described in 
the program announcement. OJP Form 4000/3 (Rev. 1-93) provides 
additional detailed instructions for preparing the program narrative.
    The narrative should include a timeline of activities indicating, 
for each proposed activity, the projected duration of the activity, 
expected completion date, and any products expected.
    The application should include an explanation of the placement of 
the applicant agency within the State organization structure; a 
description of the roles and responsibilities of key organizational 
and/or functional components involved in project activities; and a list 
of key personnel responsible for managing and implementing the major 
elements of the program.
    Assurances. OJP Form 4000/3 (Rev 1-93) must be included in the 
application submission. If submitting this form separate from the SF-
424, the applicant must sign and date the form to certify compliance 
with the Federal statutes, regulations, and requirements as cited.
    Certification Regarding Lobbying; Debarment, Suspension, and Other 
Responsibility Matters; and Drug-Free Workplace. Applicants should 
refer to the regulations cited in OJP Form, 4061/6 to determine the 
certification to which they are required to attest. A copy of OJP Form 
4061/6 can be obtained from the BJS Application Coordinator. Applicants 
should also review the instructions for certification included in the 
regulations before completing this form. Signature of this form 
provides for compliance with certification requirements under 28 CFR 
Part 69, ``New Restrictions on Lobbying,'' and 28 CFR Part 67, 
``Government-wide Debarment and Suspension (Nonprocurement) and 
Government-wide Requirements for Drug-Free Workplace (Grants).'' The 
certifications shall be treated as a material representation of fact 
upon which reliance will be placed when the U.S. Department of Justice 
determines to award the covered transaction, grant, or cooperative 
agreement.

Financial and Administrative Requirements

    Discretionary grants are governed by the provisions of OMB 
Circulars applicable to financial assistance. The circulars, with 
additional information and guidance, are contained in the ``Financial 
and Administrative Guide for Grants,'' Office of Justice Programs, 
Guideline Manual, M7100, available from the Office of Justice Programs. 
This guideline manual, provided upon request, is intended to assist 
grantees in the administration of funds and includes information on 
allowable costs, methods of payment, Federal rights of access to 
records, audit requirements, accounting systems, and financial records.
    Complete and accurate information is required relative to the 
application, expenditure of funds, and program performance. The 
consequences of failure to comply with program guidelines and 
requirements will be determined at the discretion of the Department.

Civil Rights Obligations

    All applicants for Federal financial assistance must sign Certified 
Assurances that they are in compliance with the Federal laws and 
regulations which prohibit discrimination in any program or activity 
that receives such Federal funds. Section 809(c), Omnibus Crime Control 
& Safe Streets Act of 1968, 42 U.S.C. 3789d, provides that:

    No person in any State shall on the ground of race, color, 
religion, national origin, or sex be excluded from participation in, 
be denied the benefits of, or be subjected to discrimination under, 
or denied employment in connection with any program or activity 
funded in whole or in part with funds made available under this 
title.

    Section 504 of the Rehabilitation Act of 1973, and Title II of the 
Americans With Disabilities Act prohibit discrimination on the basis of 
disability.
    The applicant agency must discuss how it will ensure 
nondiscriminatory practices as they relate to:
    (1) Delivery of services or benefits--to ensure that individuals 
will not be denied access to services or benefits under the program or 
activity on the basis of race, color, religion, national origin, 
gender, age, or disability;
    (2) Employment practices--to ensure that its personnel in the 
program or activity are selected for employment without regard to race, 
color, religion, national origin, gender, age, or disability; and
    (3) Program participation--to ensure members of any planning, 
steering or advisory board, which is an integral part of the program or 
activity, are not excluded from participation on the basis of race, 
color, religion, national origin, gender, age or disability; and to 
encourage the selection of such members who are reflective of the 
diversity in the community to be served.

Audit Requirement

    In October 1984, Congress passed the Single Audit Act of 1984. On 
April 12, 1985, the Office of Management and Budget issued Circular A-
128, ``Audits of State and Local Governments'' which establishes 
regulations to implement the Act. OMB Circular A-128, ``Audits of State 
and Local Governments,'' outlines the requirements for organizational 
audits which apply to BJS grantees.

Disclosure of Federal Participation

    Section 8136 of the Department of Defense Appropriations Act 
(Stevens Amendment), enacted in October 1988, requires that, ``when 
issuing statements, press releases for proposals, bid solicitations, 
and other documents describing projects or programs funded in whole or 
in part with Federal money, all grantees receiving Federal funds, 
including but not limited to State and local governments, shall clearly 
state (1) the percentage of the total cost of the program or project 
which will be financed with Federal money, and (2) the dollar amount of 
Federal funds for the project or program.''

Intergovernmental Review of Federal Programs

    Federal Executive Order 12372, ``Intergovernmental Review of 
Federal Programs,'' allows States to establish a process for reviewing 
Federal programs in the State, to choose which programs they wish to 
review, to conduct such reviews, and to make their views known to the 
funding Federal agency through a State ``single point of contact.''
    If the State has established a ``single point of contact,'' and if 
the State has selected this program to be included in its review 
process, the applicant must send a copy of its letter or application to 
the State ``single point of contact'' at the same time that it is 
submitted to BJS. The letter or application submitted to BJS must 
indicate that this has been done. The State must complete its review 
within 60 days. The review period will begin on the date that the 
letter or application is officially received by BJS. If BJS does not 
receive comments from the State's ``single point of contact'' by the 
end of the review period, this will be interpreted as a ``no comment'' 
response.
    If the State has not established a ``single point of contact,'' or 
if it has not selected the BJS statistics development or criminal 
history improvement programs in its review process, this must be stated 
in the letter or application.
Jan M. Chaiken,
Director Bureau of Justice Statistics.
[FR Doc. 94-29577 Filed 11-30-94; 8:45 am]
BILLING CODE 4410-18-P